TCREUR_Public/110817.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, August 17, 2011, Vol. 12, No. 162

                            Headlines



A U S T R I A

A-TEC INDUSTRIES: Business Issues on Penta Investments Bid Solved
HYPO ALPE-ADRIA: Ex-CEO Faces Second Suit Over Misuse of Funds


F R A N C E

TYROL ACQUISITION: S&P Assigns 'B' Long-Term Corp. Credit Rating


G E O R G I A

BASISBANK: Fitch Affirms Individual Rating at 'D/E'


G R E E C E

* GREECE: Should Quit Eurozone Due to Massive Debts, Soros Says


I R E L A N D

ACA EURO: Moody's Upgrades Rating on Class E Notes to 'B1 (sf)'
BOWEN GROUP: Owes Subcontractors EUR10MM Before Administration
EURO ATLANTIS: Moody's Upgrades Rating on Class D Notes to 'Ba3'
IRON HILL: Moody's Upgrades Rating on Class C Notes to 'Ba2'
JACOB FRUITFIELD: Bank of Scotland Places Owners In Receivership

QUEEN STREET: S&P Rates US$150MM Principal-At-Risk Notes at 'B+'
REAL ESTATE: NAMA Expects EUR85-Mil. Loss on Junior Loan
SUPEQUINN: Founder Supports Musgrave Group Takeover
* IRELAND: Green Prop., Lloyds to Help Manage Receivership Assets


I T A L Y

ISLAND REFINANCING: Fitch Affirms Rating on Class D Notes at Bsf
* ITALY: Unveils Measures to Balance Budget Amid Euro-zone Crisis


N E T H E R L A N D S

CLOCK FINANCE: Fitch Affirms 'Bsf' Ratings on Class F1/F2 Notes
DUTCH MORTGAGE: S&P Affirms Rating on Class D Notes at 'BB+'


P O R T U G A L

* PORTUGAL: Should Quit Eurozone Due to Massive Debts, Soros Says


R O M A N I A

* BUCHAREST CITY: Fitch Lifts LT Foreign Currency Rating From BB+


R U S S I A

NKNK OAO: Fitch Upgrades Long-Term IDR to 'B+'; Outlook Stable
PETERSBURG SOCIAL: Moody's Lifts LongTerm Deposit Ratings to 'B2'
SVYAZNOY BANK: Moody's Affirms 'E+' BFSR; Outlook Stable
* NOGINSK MUNICIPAL: Fitch Withdraws All Low 'B' Ratings


S P A I N

FTA PYMES: Fitch Assigns 'CCsf' Rating to EUR34MM Class C Notes


S W E D E N

SAAB AUTOMOBILE: Almost 9,000 People May Lose Jobs in Shutdown


T U R K E Y

CALIK HOLDING: Fitch Affirms B- Long-Term IDRs; Outlook Negative


U K R A I N E

EXPRESS-BANK: Moody's Withdraws 'B3' Deposit Ratings


U N I T E D   K I N G D O M

BRITSPACE: Enters Into Administration, 200 Jobs at Risk
HEARTS FC: Vows to Pay Tax Bill to Avoid Administration
LLANGOLLEN HOTELS: Administrators Boost Wynnstay Hotel's Security
LOMBOK: Goes Into Administration, Closes 9 Stores
UK WBS: Fitch Maintains Rating Watch Negative on Pub Transactions

* UK: Scottish Bankruptcy Laws Put Up for Consultation
* UK: Government to Unveil New 'Pre-Pack' Administration Rules


                            *********


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A U S T R I A
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A-TEC INDUSTRIES: Business Issues on Penta Investments Bid Solved
-----------------------------------------------------------------
Douglas Lytle at Bloomberg News reports that Penta Investments
said it has solved some business issues with the board of
directors at A-Tec Industries AG regarding its binding offer for
all of the Austrian company's assets.

According to Bloomberg, the central European investment company
said in an e-mailed press release on Monday that an appropriate
level of guarantees "is of crucial importance for Penta and is a
subject for further negotiations" with insolvent A-Tec.

As reported by the Troubled Company Reporter-Europe on Aug. 1,
2011, Bloomberg related that Penta extended validity of its bid
for A-Tec through the end of August.

On Oct. 22, 2010, the Troubled Company Reporter-Europe, citing
Bloomberg News, reported that A-Tec sought court clearance to
reorganize debt after losing access to its line of credit because
of an Australian power-station project's financial difficulties.
A-Tec said in an Oct. 20 statement that it had filed for self-
administered reorganization proceedings at the Vienna Commercial
Court and appointed trustees for bondholders, Bloomberg
disclosed.  The company has a EUR798 million (US$1.11 billion)
revolving credit facility and EUR302 million in outstanding
bonds, according to Bloomberg data.

A-TEC Industries AG engages in plant construction, drive
technology, machine tools, and minerals and metals businesses in
Europe and internationally.  The company is based in Vienna,
Austria.


HYPO ALPE-ADRIA: Ex-CEO Faces Second Suit Over Misuse of Funds
--------------------------------------------------------------
Elizabeth Amon at Bloomberg News reports that Wolfgang Kulterer,
former chief executive officer of Hypo Alpe-Adria-Bank
International AG, was charged by Austrian prosecutors in a second
case over misuse of funds linked to loans given to buyers of
Hypo Alpe shares.

Mr. Kulterer and Guenter Striedinger, a former board member,
arranged loans by the bank to companies in Liechtenstein who used
it to buy stakes in Hypo Alpe's leasing subsidiary,
Bloomberg says, citing a statement by Gabriele Lutschounig, a
spokeswoman for the prosecutors' office in Klagenfurt, Austria.
According to Bloomberg, the spokeswoman said the move was a
misuse of the former executives' authority to manage Hypo Alpe's
funds as well as violating capital rules in Austrian banking law.

The prosecutors also charged a lawyer and a tax consultant for
aiding Messrs. Kulterer and Striedinger, Bloomberg notes.

Prosecutors in the office of Manhattan U.S. Attorney Preet
Bharara claimed Koifman and William Shternfeld ran A.R. Capital
Global Fund LP, an unregistered investment adviser, and ARC
Global Fund, a hedge fund that claimed to invest in equity of
international real estate, Bloomberg discloses.

                            EU Probe

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

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

                          *     *     *

Hypo Alpe-Adria International AG continues to carry a bank
financial strength rating of 'E' and a subordinated debt rating
of 'Ba1' from Moody's Investors Service with negative outlook.


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F R A N C E
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TYROL ACQUISITION: S&P Assigns 'B' Long-Term Corp. Credit Rating
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' long-term
corporate credit rating to Tyrol Acquisition 1 SAS (TA1 SAS), the
ultimate holding of France-based TDF group (TDF), a broadcasting
and telecom infrastructure company. The outlook is stable.

"The action follows the success of the amendment process through
which the group was seeking to extend existing bank debt
maturities (with a 92.8% success rate for the extension, higher
than our previous 85% assumption) and the successful issuance of
two new term loan tranches for a combined EUR250 million maturing
in 2016," S&P said.

"The rating reflects our assessment of a 'highly leveraged'
financial risk profile, based on the group's very aggressive
capital structure, our anticipation of modest free cash flow
generation over the next three years, some requirements for
scheduled amortization of the not-extended debt, and a heavy
maturity wall in 2016. These weaknesses are mitigated by our
assessment of a 'strong' business risk profile, which balances
the group's strong positions in the French and German broadcast
and telecom infrastructure businesses, our favorable credit view
of the industry in spite of a continued decline in analogue TV
revenues, and TDF's ongoing restructuring costs to adapt to
shifting demand patterns," S&P related.

"Our assessment of TDF's financial risk profile reflects very
high adjusted leverage, as we think the operating-lease and
pension-adjusted ratio of debt to EBITDA will remain higher than
10x in the next five years, calculated using EBITDA after
restructuring charges, and including about EUR1.1 billion of
shareholder loans in debt (about 8x before the latter two
adjustments)," S&P said.

The issue rating on the first lien bank debt facilities is 'B',
in line with the corporate credit rating. "The recovery rating is
'3', indicating our expectation of meaningful (50%-70%) recovery
in the event of a payment default. In addition, we have assigned
a recovery rating of '6' to the second lien bank debt, indicating
our expectation of negligible (0%-10%) recovery prospects for
lenders, with an issue rating two notches below the corporate
rating on TA1 SAS at 'CCC+'," S&P related.

"We have updated our recovery analysis to reflect the outcome of
the amendment and extension of TDF's bank facilities," S&P said.

"The stable outlook assumes that TDF will maintain adequate
liquidity under our criteria, which likely will require new
refinancing initiatives to be successfully implemented by the end
of calendar year 2011 in order to materially strengthen TDF's
liquidity position," S&P said.

"The stable outlook also reflects our anticipation that TDF will
manage to partly offset the decline from its analogue TV profits
with growth in digital TV, telecom, and other businesses, report
unadjusted EBITDA before restructuring of close to EUR600 million
in the year ending March 31, 2012, and at least stabilize EBITDA
before restructuring thereafter, while restructuring costs reach
a peak in calendar 2012 and then sharply decline, paving the way
for significant free cash flow improvement," S&P said.

"Failure to maintain adequate liquidity could lead to a
downgrade, as could a material increase in leverage compared with
our base-case rating assumptions," S&P said.

"Given the group's strong business risk profile, we could
consider an upgrade over the medium term, but this would likely
require improving deleveraging and cash generation prospects,"
S&P added.


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G E O R G I A
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BASISBANK: Fitch Affirms Individual Rating at 'D/E'
---------------------------------------------------
Fitch Ratings has affirmed two Georgian banks' Long-term Issuer
Default Ratings (IDR).  Basisbank has been affirmed at 'B-' with
a Stable Outlook and VTB Bank (Georgia) (VTBG) has been affirmed
at 'BB-' with a Positive Outlook.

Basisbank's ratings reflect its limited franchise (focused mainly
on the small and medium-sized enterprise and retail segments),
significant foreclosed assets and its mostly short-term funding.
However, they are supported by the bank's currently adequate
capitalization and low non-performing loans (NPLs; loans overdue
by more than 90 days) and the generally favorable operating
environment.

Assets foreclosed during the crisis, mostly in 2008-2009,
constituted a high 41% of the bank's regulatory equity at end-
H111.  Substantial reserves created on these negatively affect
the bank's capital ratios, although Fitch core capital (FCC)/risk
weighted assets was still 18.6% at end-2010.  NPLs stood at 2.1%
of total loans at end-Q111, with an additional 1.8% being
restructured.  However, these ratios should be viewed in
conjunction with recent loan growth (18% in H111 and 14% in 2010)
and the significant portion of foreclosed property.

The balance sheet remains quite concentrated, with the top 20
groups of borrowers representing 32% of the loan book and the top
20 depositors representing 33% of customer funding at end-Q111.
Foreign currency-denominated loans increased to 74% of total
loans at end-H111, which is broadly in line with the rest of the
sector, but would represent a significant source of potential
credit risk, if devaluation of the GEL occurred. Some progress
has been made in diversifying funding, and liquidity is
comfortable at present.  However, the funding base still consists
primarily of short-term customer accounts.

VTBG's 'BB-' IDRs are driven by potential support from its
majority owner, the state-controlled second-largest bank in
Russia JSC Bank VTB (VTB; 'BBB'/Stable; 96% stake in VTBG) and
constrained by the Georgian Country Ceiling of 'BB-'.  In Fitch's
view, VTB would have a strong propensity to support VTBG, but
Georgian transfer and convertibility risks limit the extent to
which this support can be factored into the ratings.  VTBG's
Long-term IDRs are likely to move in line with the Country
Ceiling. The Positive Outlook on VTBG's Long-term IDRs reflects
the sovereign's rating Outlook and the likelihood of an upgrade
of Georgia's Country Ceiling of 'BB-', should the sovereign
rating be upgraded.

VTBG's 'b-' Viability Rating remains constrained by the bank's
relatively narrow franchise, limited track record under new
management and still significant level of impaired loans.
However, satisfactory reserve coverage and capital and the
favorable operating environment support the rating.  Problem
exposures relating to the real estate and construction sectors
are the main driver of the still relatively high level of NPLs
and restructured loans, mainly issued in 2007-2008, which stood
at 6.5% and 6.2% of total loans, respectively, at end-M711.
However, Fitch notes that impairment reserves (equal to 11% of
loans at end-M711) and collateral adequately covered the
problems.  At the same time, Fitch notes that the concentrations
on top borrowers and share of loans provided in foreign currency
are still sizable.

The bank's capital position was supported by significant equity
injections of GEL62m from VTB in 2009-2010.  In H111, the
recovery of provisions on one of the largest problem loans also
supported the bank's capitalization and profitability.  At end-
2010 the bank's FCC ratio was 16%. However, as in Basisbank's
case, this ratio is affected by foreclosed assets, which
represented 33% of the bank's FCC at end-2010.  Fitch notes that
VTB remains a significant source of VTBG's funding (27% of non-
equity funding at end-H111), but the share of customer funding
increased to 57% from 39% at end-2008.

The rating actions are as follows:

Basisbank

  -- Long-term IDR affirmed at 'B-', Stable Outlook
  -- Short-term IDR affirmed at 'B'
  -- Viability Rating affirmed at 'b-'
  -- Individual Rating affirmed at 'D/E'
  -- Support Rating affirmed at '5'
  -- Support Rating floor affirmed at 'NF'

VTBG

  -- Long-term IDR affirmed at 'BB-', Positive Outlook
  -- Short-term IDR affirmed at 'B'
  -- Viability Rating affirmed at 'b-'
  -- Individual Rating affirmed at 'D/E'
  -- Support Rating affirmed at '3'


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G R E E C E
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* GREECE: Should Quit Eurozone Due to Massive Debts, Soros Says
---------------------------------------------------------------
Agence France-Presse reports that George Soros, the US speculator
turned billionaire philanthropist, has suggested both Greece and
Portugal quit the European Union and the euro-zone because of
their massive debts.

Mr. Soros, as cited by AFP, said in an interview published Sunday
by the German magazine Spiegel, "One has so mishandled the Greek
problem that the best way forward at present might be an orderly
exit" with Greece leaving both the EU and the euro common
currency.

Mr. Soros suggested the same might go for Portugal, AFP states.

Debt-stricken Greece and Portugal are struggling to implement
eurozone and International Monetary Fund-mandated reforms, by
slashing spending and raising taxes in exchange for financial
aid, AFP discloses.

Mr. Soros also suggested the time had come for eurozone members
to accept the introduction of eurobonds, AFP relates.

Both Greece and Portugal, along with Ireland, have been granted
multi-billion EU-IMF rescue loans to prevent them from defaulting
on their huge debts, AFP notes.


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I R E L A N D
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ACA EURO: Moody's Upgrades Rating on Class E Notes to 'B1 (sf)'
---------------------------------------------------------------
Moody's Investors Service has upgraded the ratings of these notes
issued by ACA Euro CLO 2007-1 PLC:

Issuer: ACA Euro CLO 2007-1 PLC

   -- EUR26.4M Class A-2 Senior Secured Floating Rate Notes due
      2024, Upgraded to Aaa (sf); previously on Jun 22, 2011 Aa2
      (sf) Placed Under Review for Possible Upgrade

   -- EUR32M Class B Senior Secured Floating Rate Notes due 2024,
      Upgraded to Aa2 (sf); previously on Jun 22, 2011 Baa1 (sf)
      Placed Under Review for Possible Upgrade

   -- EUR25.6M Class C Secured Deferrable Floating Rate Notes due
      2024, Upgraded to A3 (sf); previously on Jun 22, 2011 Ba1
      (sf) Placed Under Review for Possible Upgrade

   -- EUR24M Class D Secured Deferrable Floating Rate Notes due
      2024, Upgraded to Ba1 (sf); previously on Jun 22, 2011 B2
      (sf) Placed Under Review for Possible Upgrade

   -- EUR13.6M Class E Secured Deferrable Floating Rate Notes due
      2024, Upgraded to B1 (sf); previously on Jun 22, 2011 Caa3
      (sf) Placed Under Review for Possible Upgrade

Ratings Rationale

ACA Euro CLO 2007-1 PLC, issued in June 2007, is a multi currency
Collateralised Loan Obligation ("CLO") backed by a portfolio of
mostly high yield European loans. The portfolio is managed by
Avoca Capital Holdings Limited. This transaction will be in
reinvestment period until June 16, 2014. It is predominantly
composed of senior secured loans.

According to Moody's, the rating actions taken on the notes are
primarily a result of applying Moody's revised CLO assumptions
described in "Moody's Approach to Rating Collateralized Loan
Obligations" published in June 2011. The actions also reflect
consideration of credit improvement of the underlying portfolio
since the rating action in August 2010.

The actions reflect key changes to the modeling assumptions,
which incorporate (1) a removal of the temporary 30% default
probability macro stress implemented in February 2009, (2)
increased BET liability stress factors as well as (3) change to a
fixed recovery rate modeling framework. Additional changes to the
modeling assumptions include (1) standardizing the modeling of
collateral amortization profile, and (2) changing certain credit
estimate stresses aimed at addressing the lack of forward looking
indicators as well as time lags in receiving information required
for credit estimate updates.

Moody's also notes that this action also reflects improvements of
the transaction performance since the last rating action.

The overcollateralization ratios of the rated notes have improved
since the rating action in August 2010. The senior class, Class
B, Class C and Class D overcollateralization ratios are reported
at 143.09%, 126.60%, 115.91% and 107.41%, respectively, versus
July 2010 levels of 135.31%, 119.89%, 109.77% and 101.58%,
respectively, and overcollateralization tests for these classes
are currently in compliance. However, class E
overcollateralization test at 102.78% is still in breach. Moody's
also notes that the Class C and Class D Notes are no longer
deferring interest and that all previously deferred interest has
been paid in full.

WARF has increased from 2760 to 2847 between July 2010 and July
2011. The change in reported WARF understates the actual credit
quality improvement because of the technical transition related
to rating factors of European corporate credit estimates, as
announced in the press release published by Moody's on 1
September 2010. In addition, securities rated Caa or lower make
up approximately 10.25% of the underlying portfolio versus 16.7%
in July 2010. Additionally, defaulted securities total about
EUR6.2 million of the underlying portfolio compared to EUR14.8
million in July 2010.

Due to the impact of revised and updated key assumptions
referenced in "Moody's Approach to Rating Collateralized Loan
Obligations" published in June 2011, key model inputs used by
Moody's in its analysis, such as the portfolio par amount, WARF,
diversity score, and weighted average recovery rate, may be
different from the trustee's reported numbers. In its base case,
Moody's analyzed the underlying collateral pool to have a
performing par and principal proceeds balance of EUR358.7
million, defaulted par of EUR6.2 million, a weighted average
default probability of 19.44% (consistent with a WARF of 2858), a
weighted average recovery rate upon default of 47.12% for a Aaa
liability target rating, and a diversity score of 35.8. The
default probability is derived from the credit quality of the
collateral pool and Moody's expectation of the remaining life of
the collateral pool. The average recovery rate to be realized on
future defaults is based primarily on the seniority of the assets
in the collateral pool. For a Aaa liability target rating,
Moody's assumed that 92.8% of the portfolio exposed to senior
secured corporate assets would recover 50% upon default, while
the remainder non first-lien loan corporate assets would recover
10%. In each case, historical and market performance trends and
collateral manager latitude for trading the collateral are also
relevant factors. These default and recovery properties of the
collateral pool are incorporated in cash flow model analysis
where they are subject to stresses as a function of the target
rating of each CLO liability being reviewed.

Moody's notes that this transaction is subject to a high level of
macroeconomic uncertainty, as evidenced by (1) uncertainties of
credit conditions in the general economy and (2) the large
concentration of speculative-grade debt maturing between 2012 and
2015 which may create challenges for issuers to refinance. CLO
notes' performance may also be impacted by (1) the manager's
investment strategy and behavior and (2) divergence in legal
interpretation of CDO documentation by different transactional
parties due to embedded ambiguities.

Sources of additional performance uncertainties are:

1) Moody's also notes that around 64% of the collateral pool
   consists of debt obligations whose credit quality has been
   assessed through Moody's credit estimates.

2) Recovery of defaulted assets: Market value fluctuations in
   defaulted assets reported by the trustee and those assumed to
   be defaulted by Moody's may create volatility in the deal's
   overcollateralization levels. Further, the timing of
   recoveries and the manager's decision to work out versus sell
   defaulted assets create additional uncertainties.

3) Weighted average life: The notes' ratings are sensitive to the
   weighted average life assumption of the portfolio, which may
   be extended due to the manager's decision to reinvest into new
   issue loans or other loans with longer maturities and/or
   participate in amend-to-extend offerings.

4) Other collateral quality metrics: The deal is allowed to
   reinvest and the manager has the ability to deteriorate the
   collateral quality metrics' existing cushions against the
   covenant levels

5) The deal has significant exposure to non-EUR denominated
   assets. Volatilities in foreign exchange rate will have a
   direct impact on interest and principal proceeds available to
   the transaction, which may affect the expected loss of rated
   tranches.

The principal methodology used in this rating was "Moody's
Approach to Rating Collateralized Loan Obligations" published in
June 2011.

Moody's modeled the transaction using the Binomial Expansion
Technique, as described in Section 2.3.2.1 of the "Moody's
Approach to Rating Collateralized Loan Obligations" rating
methodology published in June 2011.

The cash flow model used for this transaction, whose description
can be found in the methodology listed above, is Moody's EMEA
Cash-Flow model.

In addition to the quantitative factors that are explicitly
modeled, qualitative factors are part of the rating committee
considerations. These qualitative factors include the structural
protections in each transaction, the recent deal performance in
the current market environment, the legal environment, specific
documentation features, the collateral manager's track record,
and the potential for selection bias in the portfolio. All
information available to rating committees, including
macroeconomic forecasts, input from other Moody's analytical
groups, market factors, and judgments regarding the nature and
severity of credit stress on the transactions, may influence the
final rating decision.


BOWEN GROUP: Owes Subcontractors EUR10MM Before Administration
--------------------------------------------------------------
Barry O'Halloran at Irish Times reports that building group
Bowen's British business owed almost EUR10 million to
subcontractors before court-appointed administrators took control
of the company.

National Asset Management Agency (NAMA) and the Bank of Ireland
appointed Paul McCann of Grant Thornton as receiver to the key
Bowen group companies in July on foot of a number of secured
debts, according to Irish Independent.

The report notes that the British high court appointed insolvency
specialist Zolfo Cooper as administrators to the group's London-
based arm, Bowen plc, after it emerged that the business could
not pay its debts as they fell due.

As reported in the Troubled Company Reporter on June 1, 2011, The
Irish Times related that Duffy Contracting Services filed a
petition with the companies court in London to have Bowen plc
wound up over an unpaid debt.  According to The Irish Times, it
was not known how much Bowen plc owes Duffy Contracting, but some
sources say the figure is between GBP200,000 and GBP270,000.
Bowen told its 29 staff not to report for work on May 19 and
suspended its operations in late May, The Irish Times relayed.

Irish Times discloses that a statement of affairs prepared by the
company's directors show that it owed an estimated
GBP8.6 million (EUR9.8 million) to subcontractors at the end of
May.  The report relates that the figures show there was a
shortfall of GBP5.3 million between the amount due to
subcontractors and the amount that it is due to realize from its
various projects.

Overall, the directors estimate the company's assets could
realize GBP5.1 million while its liabilities are GBP9.3 million,
Irish Times says.

Irish Times says that administrators confirmed some weeks ago
that the company was insolvent and could not meet its liabilities
to suppliers and other creditors; and work had been halted on all
its contracts.

In Ireland, Irish Times relates the Bowen's problems emerged two
weeks ago when the High Court appointed John McStay of McStay
Luby as liquidator to Bowen Construction Ltd, the group's main
trading entity.  Shortly afterwards, the report notes, NAMA and
Bank of Ireland appointed Mr. McCann to a number of group
entities, including Bowen Construction and Bowen Holdings.  The
insolvency resulted in the loss of 76 jobs.

Established in 1968, Bowen is a building and civil engineering
contractor.  It has offices in Cork, Dublin, Belfast, Limerick
and Waterford.


EURO ATLANTIS: Moody's Upgrades Rating on Class D Notes to 'Ba3'
----------------------------------------------------------------
Moody's Investors Service has upgraded the ratings of these notes
issued by Euro Atlantis CLO Limited:

   -- EUR 171,125,000 Class A Senior Secured Floating Rate Notes
      due 2020 (current outstanding balance of EUR 112,492,627),
      Upgraded to Aa1 (sf); previously on Jun 22, 2011 A2 (sf)
      Placed Under Review for Possible Upgrade

   -- EUR 11,400,000 Class B Senior Secured Deferrable Floating
      Rate Notes due 2020, Upgraded to A3 (sf); previously on Jun
      22, 2011 Ba3 (sf) Placed Under Review for Possible Upgrade

   -- EUR 7,325,000 Class C Senior Secured Deferrable Floating
      Rate Notes due 2020, Upgraded to Baa3 (sf); previously on
      Jun 22, 2011 Caa1 (sf) Placed Under Review for Possible
      Upgrade

   -- EUR 9,250,000 Class D Senior Secured Deferrable Floating
      Rate Notes due 2020, Upgraded to Ba3 (sf); previously on
      Jun 22, 2011 Ca (sf) Placed Under Review for Possible
      Upgrade

Ratings Rationale

Euro Atlantis CLO Limited, issued in June 2008, is a single
currency Collateralised Loan Obligation ("CLO") backed by a
portfolio of mostly high yield European loans. The portfolio is
comprised primarily of senior secured loans, but also includes
second lien loans and mezzanine loans. The transaction is static.
Pramerica Investment Management, acting as a collateral servicer,
may act on behalf of the Issuer to dispose of credit impaired and
defaulted obligations, subject to certain conditions set out in
the collateral servicer agreement.

According to Moody's, the rating actions taken on the notes are
primarily a result of applying Moody's revised CLO assumptions
described in "Moody's Approach to Rating Collateralized Loan
Obligations" published in June 2011. The actions also reflect
consideration of an increase in the transaction's
overcollateralization ratios and deleveraging of the senior notes
since the rating action in July 2009.

The actions reflect key changes to the modeling assumptions,
which incorporate (1) a removal of the temporary 30% default
probability macro stress implemented in February 2009, (2)
increased BET liability stress factors as well as (3) change to a
fixed recovery rate modeling framework. Additional changes to the
modeling assumptions include changing certain credit estimate
stresses aimed at addressing the lack of forward looking
indicators as well as time lags in receiving information required
for credit estimate updates.

Moody's notes that the Class A notes have been paid down by
approximately 30% or EUR49 million since the rating action in
July 2009. As a result of the deleveraging, the
overcollateralization ratios have increased since the rating
action in July 2009. As of the latest trustee report dated June
30, 2011, the Class B, Class C and Class D overcollateralization
ratios are reported at 137.44%, 129.77% and 121.22%,
respectively, versus June 2009 levels of 126.51%, 120.94% and
114.48%, respectively. All related overcollateralization tests
are currently in compliance. Moody's also notes that the Class C
and Class D Notes are no longer deferring interest and that all
previously deferred interest has been paid in full.

Trustee Reported WARF has increased from 2834 to 3148 between
June 2009 and June 2011. However, this reported WARF overstates
the actual deterioration in credit quality because of the
technical transition related to rating factors of European
corporate credit estimates, as announced in the press release
published by Moody's on 1 September 2010. Additionally, defaulted
securities have been reduced to zero compared to EUR13.5 million
in June 2009.

Due to the impact of revised and updated key assumptions
referenced in "Moody's Approach to Rating Collateralized Loan
Obligations" published in June 2011, key model inputs used by
Moody's in its analysis, such as the portfolio par amount, WARF,
diversity score, and weighted average recovery rate, may be
different from the trustee's reported numbers. In its base case,
Moody's analyzed the underlying collateral pool to have a
performing par and principal proceeds balance of EUR173.6
million, defaulted par of zero, a weighted average default
probability of 24.40% (consistent with a WARF of 3793), a
weighted average recovery rate upon default of 45.3% for a Aaa
liability target rating, a weighted average spread of 2.63% and a
diversity score of 24. The default probability is derived from
the credit quality of the collateral pool and Moody's expectation
of the remaining life of the collateral pool. The average
recovery rate to be realized on future defaults is based
primarily on the seniority of the assets in the collateral pool.
For a Aaa liability target rating, Moody's assumed that 88% of
the portfolio exposed to senior secured corporate assets would
recover 50% upon default, while the remainder non first-lien loan
corporate assets would recover 10%. In each case, historical and
market performance trends and collateral manager latitude for
trading the collateral are also relevant factors. These default
and recovery properties of the collateral pool are incorporated
in cash flow model analysis where they are subject to stresses as
a function of the target rating of each CLO liability being
reviewed.

The underlying collateral pool in this transaction exhibits a low
level of diversity. In order to capture the potential impact
resulting from asset heterogeneity within the pool, Moody's
supplemented its BET analysis by using CDOROMTM in order to
simulate default scenarios. Those default scenarios have then
been applied as an input in the cash flow model.

Moody's notes that this transaction is subject to a high level of
macroeconomic uncertainty, as evidenced by 1) uncertainties of
credit conditions in the general economy and 2) the large
concentration of speculative-grade debt maturing between 2012 and
2015 which may create challenges for issuers to refinance. CLO
notes' performance may also be impacted by divergence in legal
interpretation of CDO documentation by different transactional
parties due to embedded ambiguities.

Sources of additional performance uncertainties are:

1) Deleveraging: The main source of uncertainty in this
   transaction is whether delevering from unscheduled principal
   proceeds will continue and at what pace. Deleveraging may
   accelerate due to high prepayment levels in the loan market
   and/or collateral sales by the manager, which may have
   significant impact on the notes' ratings.

2) Moody's also notes that around 73% of the collateral pool
   consists of debt obligations whose credit quality has been
   assessed through Moody's credit estimates. Large single
   exposures to obligors bearing a credit estimate have been
   subject to a stress applicable to concentrated pools as per
   the report titled "Updated Approach to the Usage of Credit
   Estimates in Rated Transactions" published in October 2009.

The principal methodology used in this rating was Moody's
Approach to Rating Collateralized Loan Obligations published in
June 2011.

Moody's modeled the transaction using the Binomial Expansion
Technique, as described in Section 2.3.2.1 of the Moody's
Approach to Rating Collateralized Loan Obligations rating
methodology published in June 2011.

The cash flow model used for this transaction, whose description
can be found in the methodology listed above, is Moody's EMEA
Cash-Flow model.

In addition to the quantitative factors that are explicitly
modeled, qualitative factors are part of the rating committee
considerations. These qualitative factors include the structural
protections in each transaction, the recent deal performance in
the current market environment, the legal environment, specific
documentation features, the collateral manager's track record,
and the potential for selection bias in the portfolio. All
information available to rating committees, including
macroeconomic forecasts, input from other Moody's analytical
groups, market factors, and judgments regarding the nature and
severity of credit stress on the transactions, may influence the
final rating decision.


IRON HILL: Moody's Upgrades Rating on Class C Notes to 'Ba2'
------------------------------------------------------------
Moody's Investors Service has upgraded and confirmed the ratings
of these notes issued by Iron Hill CLO Limited:

   -- US$16.342M Class C Senior Secured Deferrable Floating Rate
      Notes due 2025, Upgraded to Ba2 (sf); previously on Jun 22,
      2011 Ba3 (sf) Placed Under Review for Possible Upgrade

   -- US$14.007M Class B Senior Secured Deferrable Floating Rate
      Notes due 2025, Confirmed at Baa3 (sf); previously on Jun
      22, 2011 Baa3 (sf) Placed Under Review for Possible Upgrade

Ratings Rationale

Iron Hill CLO Limited, issued in March 2008, is a multicurrency
Collateralised Loan Obligation ("CLO") backed by a portfolio of
mostly high yield European loans of approximately EUR 305
million. The portfolio is managed by Guggenheim Partners Europe
Limited. This transaction has passed its reinvestment period. It
is predominantly composed of senior secured loans. As of the
latest trustee report dated July 2011, the reported Class A,
Class B, and Class C overcollateralization ratios were 124.39%,
119.54% and 114.33% respectively, and securities rated Caa or
lower made up approximately 3.67% of the underlying portfolio.

According to Moody's, the rating actions taken on the notes are
primarily a result of applying Moody's revised CLO assumptions
described in "Moody's Approach to Rating Collateralized Loan
Obligations" published in June 2011.

The actions reflect key changes to the modeling assumptions,
which incorporate (1) a removal of the temporary 30% default
probability macro stress implemented in February 2009, (2)
increased BET liability stress factors as well as (3) change to a
fixed recovery rate modeling framework. Additional changes to the
modeling assumptions include (1) standardizing the modeling of
collateral amortization profile, and (2) changing certain credit
estimate stresses aimed at addressing the lack of forward looking
indicators as well as time lags in receiving information required
for credit estimate updates.

Due to the impact of revised and updated key assumptions
referenced in "Moody's Approach to Rating Collateralized Loan
Obligations" published in June 2011, key model inputs used by
Moody's in its analysis, such as par, weighted average rating
factor, diversity score, and seniority distribution in the asset
pool, may be different from the trustee's reported numbers. In
its base case, Moody's analyzed the underlying collateral pool to
have a performing par and principal proceeds balance of EUR305.6
million, a weighted average default probability of 18.8%
(implying a WARF of 2921), a weighted average recovery rate upon
default of 48.20% for a Aaa liability target rating, and a
diversity score of 33.

The default probability is derived from the credit quality of the
collateral pool and Moody's expectation of the remaining life of
the collateral pool. The average recovery rate to be realized on
future defaults is based primarily on the seniority of the assets
in the collateral pool. For a Aaa liability target rating,
Moody's assumed that 94.28% of the portfolio exposed to senior
secured corporate assets would recover 50% upon default, while
the remainder non first-lien loan corporate assets would recover
10%. In each case, historical and market performance trends and
collateral manager latitude for trading the collateral are also
factors. These default and recovery properties of the collateral
pool are incorporated in cash flow model analysis where they are
subject to stresses as a function of the target rating of each
CLO liability being reviewed.

Moody's notes that this transaction is subject to a high level of
macroeconomic uncertainty, as evidenced by 1) uncertainties of
credit conditions in the general economy and 2) the large
concentration of speculative-grade debt maturing between 2012 and
2014 which may create challenges for issuers to refinance. CLO
notes' performance may also be impacted by 1) the manager's
investment strategy and behavior and 2) divergence in legal
interpretation of CLO documentation by different transactional
parties due to embedded ambiguities.

Sources of additional performance uncertainties are:

1) Moody's also notes that around 46.29% of the collateral pool
   consists of debt obligations whose credit quality has been
   assessed through Moody's credit estimates.

2) Weighted average life: The notes' ratings are sensitive to the
   weighted average life assumption of the portfolio, which may
   be extended due to the manager's decision to participate in
   amend-to-extend offerings. Moody's tested for a possible
   extension of the actual weighted average life in its analysis.

The principal methodology used in this rating was "Moody's
Approach to Rating Collateralized Loan Obligations" published in
June 2011.

Moody's modeled the transaction using the Binomial Expansion
Technique, as described in Section 2.3.2.1 of the "Moody's
Approach to Rating Collateralized Loan Obligations" rating
methodology published in June 2011.

The cash flow model used for this transaction, whose description
can be found in the methodology listed above, is Moody's EMEA
Cash-Flow model.

In addition to the quantitative factors that are explicitly
modeled, qualitative factors are part of the rating committee
considerations. These qualitative factors include the structural
protections in each transaction, the recent deal performance in
the current market environment, the legal environment, specific
documentation features, the collateral manager's track record,
and the potential for selection bias in the portfolio. All
information available to rating committees, including
macroeconomic forecasts, input from other Moody's analytical
groups, market factors, and judgments regarding the nature and
severity of credit stress on the transactions, may influence the
final rating decision.


JACOB FRUITFIELD: Bank of Scotland Places Owners In Receivership
----------------------------------------------------------------
Gavin Daly at The Sunday Business Post Online reports that three
property companies connected with the owners of Jacob Fruitfield
have been put into receivership by Bank of Scotland (Ireland)
with EUR40 million in debts.

The bank has taken control of firms owned by businessmen Michael
Carey, David Andrews, and Michael Tunney, who sold Jacob
Fruitfield for up to EUR100million, according to The Sunday
Business Post Online.

The report relays that the companies own Jacob Fruitfield's two
main properties at Belgard Road and Blessington Road in Tallaght,
Dublin, as well as property in Drogheda and land in the North.

The Sunday Business Post Online says some of the properties have
been leased to Jacob Fruitfield, which paid more than EUR3.9
million in rent to the businessmen in 2009.  However, the report
relates, the lease on the Blessington Road property expired in
January last year and the remaining leases are due to expire next
January.

Kieran Wallace and Cormac O'Connor of KPMG have been appointed
receivers to Westport Investment Property Fund plc, Avid
Investments, and Kasumi.  The property companies were set up in
2007 in conjunction with a restructuring of Jacob Fruitfield.

The Sunday Business Post Online discloses that Westport
Investment Property Fund, which is the parent company to Avid
Investments and Kasumi, owes EUR40.6 million to Bank of Scotland
(Ireland).

Messrs. Carey, Andrews and Tunney did not give personal
guarantees over the borrowings of the companies, according to the
report.

The receivers will manage the properties and attempt to find
buyers over time, The Sunday Business Post Online notes.

The Sunday Business Post Online cites that the three businessmen
are not directors of the property companies but, according to
Jacob Fruitfield's last accounts, "certain of the shareholders in
Westport are also shareholders and directors of Jacob
Fruitfield".

The deal is subject to Competition Authority approval.


QUEEN STREET: S&P Rates US$150MM Principal-At-Risk Notes at 'B+'
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned a rating of 'B+ (sf)'
to the US$150 million principal-at-risk variable-rate notes
issued by Queen Street III Capital Ltd. and sponsored by Munich
Re (AA-/Stable/--). "As a result of an administrative oversight
regarding Standard & Poor's SEC Rule 17g(5)-related processes, we
have suspended our rating. We expect to reinstate our 'B+ (sf)'
rating on the notes on Aug. 19, 2011," S&P said.


REAL ESTATE: NAMA Expects EUR85-Mil. Loss on Junior Loan
--------------------------------------------------------
Emmet Oliver at Irish Independent reports that Fitch Ratings on
Friday night claimed that the National Asset Management Agency
looks set to be the main loser when some loans given to Real
Estate Opportunities to fund a group of 16 Irish properties fail
to be fully repaid.

Irish Independent relates that Fitch has downgraded a series of
bonds behind the properties, citing the weakening property market
and plans by the Government to scrap upward-only rent reviews.

NAMA owns a junior loan behind the properties and Fitch said it
expected a loss of EUR85 million on the loan, Irish Independent
discloses.

"Full losses are expected on the EUR85 million junior loan, which
was transferred to NAMA in 2010," according to a note seen by the
Irish Independent.

The loans behind the portfolio were pooled into a bond product in
2006, known as Opera Finance CMH, according to Irish Independent.
Fitch claims that at the outset the portfolio was worth EUR570
million, but it is currently worth EUR283 million, Irish
Independent notes.

As reported by the Troubled Company Reporter-Europe on Nov. 2,
2010, Sunday Independent related that REO's latest financial
results, which cover the half-year to the end of August 2010,
showed that the company's liabilities exceed its assets by more
than GBP750 million.

Real Estate Opportunities is a UK-listed property company
controlled by Johnny Ronan and Richard Barrett's Treasury
Holdings.


SUPEQUINN: Founder Supports Musgrave Group Takeover
---------------------------------------------------
Peter Flanagan at Irish Independent reports that Musgrave Group's
controversial takeover of Superquinn was all but sealed on Monday
after the deal received the blessing of Superquinn founder
Feargal Quinn.

Musgrave has set up a fund, which should see suppliers reimbursed
to the tune of 70% for debts they were owed by the supermarket
before it collapsed, Irish Independent discloses.

The collapse of Superquinn into receivership and ensuing buyout
by Musgraves has been one of the more contentious takeovers in
Irish business this year, with Superquinn management attempting
to put the company into examinership, apparently in an effort to
avoid selling to Musgrave, Irish Independent notes.  That
application was later withdrawn, Irish Independent recounts.

                          About Superquinn

Superquinn is one of Ireland's largest domestic retailers.  It
employs around 2,800 people in 23 stores around the country.
Superquinn is owned by Select Retail Holdings, which bought the
retailer for EUR350 million in 2005.

                          *     *     *

As reported in the Troubled Company Reporter on July 20, 2011,
Reuters said RTE News reported Superquinn was put into
receivership by a syndicate of banks, including Allied Irish
Banks, Bank of Ireland, and National Irish Bank after building up
debts of more than EUR400 million (US$561 million).  Kieran
Wallace and Eamonn Richardson, representatives of professional
services firm KPMG, have been appointed as receivers to the firm.


* IRELAND: Green Prop., Lloyds to Help Manage Receivership Assets
-----------------------------------------------------------------
Simon Carswell at Irish Times reports that United Kingdom Bank
Lloyds has teamed up with Dublin-based Green Property to help
manage Irish commercial properties which have been put into
receivership by the bank.

Green Property will offer property management services to
receivers on assets in the EUR13 billion commercial property book
at what was formerly Bank of Scotland (Ireland), according to
Irish Times.  The report relates that it is estimated that
properties supporting up to EUR1 billion of commercial loans in
Lloyds' Irish subsidiary could fall under Green Property's
management if receivers choose to avail of the company's
services.

Lloyds closed Bank of Scotland (Ireland) last year, announcing
its exit from the Irish market, the report cites.  The bank is
being run down by a company called Certus, led by former
management of the bank.

The agreement with Green Property is a sign Lloyds does not see
an immediate recovery from its Irish loan book, given the lack of
activity in the Irish property market, Irish Times notes.

Richard Dakin, managing director of Lloyds's corporate real
estate business support unit, said the arrangement with Green
Property would help the bank to recoup more on the loans, Irish
Times states.  The bank stressed the deal would not lead to more
receivers being appointed to use Green's services, the report
relates.

Irish Times notes that Lloyds reported last week that GBP10.8
billion (EUR12.3 billion) of its GBP11.9 billion Irish commercial
property loans were impaired at the end of June.

The bank may provide further finance to complete properties or
increase asset values as part of the deal, said Andrew Wilson,
head of solutions at Lloyds' corporate real estate business
support unit, Irish Times adds.


=========
I T A L Y
=========


ISLAND REFINANCING: Fitch Affirms Rating on Class D Notes at Bsf
----------------------------------------------------------------
Fitch Ratings has affirmed Island Refinancing Srl's floating rate
non-performing loan (NPL) notes, due July 2025, as follows:

  -- EUR59m Class A (IT0004293558): affirmed at 'AAAsf'; Outlook
     Stable;

  -- EUR62m Class B (IT0004293574): affirmed at 'BBBsf'; Outlook
     Stable;

  -- EUR60m Class C (IT0004293582): affirmed at 'BBsf'; Outlook
     revised to Stable from Negative;

  -- EUR32m Class D (IT0004293590): affirmed at 'Bsf'; Outlook
     Negative

The affirmations reflect Fitch's unchanged credit opinion on the
collateral and the transaction's structural features since the
last rating action.  In 2009 and 2010, the agency took into
account the underperformance of the deal compared with the
business plan of the servicer, Prelios Credit Servicing
('CSS2+/RSS2+').  However, while realization is subject to
various layers of risk, Fitch believes that the portfolio's
residual value is still commensurate with an investment-grade
rating for the classes A and B notes.  The revision of the
Outlook for the class C notes is driven by the better-than-
expected collection recorded in H210, which, although followed by
a disappointing performance in H111, deleveraged the outstanding
debt more than the agency had anticipated in its 'BBsf' stresses,
therefore reducing the risk of a downgrade in the short-to-medium
term.

As of the last interest payment date (IPD), 25 July 2011,
cumulative net collections stood at 55% of the business plan
provided by the servicer at closing, broadly in line with
performance since year-end 2009.  In nominal terms, the EUR13m of
net collections in the last semester represents the lowest since
transaction closing (in December 2007).

Nevertheless, the recovered amount on closed positions has
exceeded the servicer's expectations since closing, as evidenced
by an overall profitability ratio of 104%.  Fitch has been
informed that approximately EUR105m has been deposited in the
tribunals' accounts, awaiting approval by the same courts for
distribution (to bondholders).  Although these funds should be
distributed in their entirety, extreme delays are not uncommon in
Italy, especially in southern, and some central, regions.  For
this reason, the agency did not incorporate a swift disbursal of
funds in its analysis.

For the class B to D notes, the transaction features an interest
deferral mechanism calibrated against the servicer's initial
business plan.  This structural feature preserves principal for
senior note investors, which is primarily supportive of class A
credit quality.  Given the underperformance, cumulative unpaid
interest on these bonds amounts to EUR18m, which is likely to
increase.

Island Refinancing is a refinancing of Island Finance (ICR4)
S.p.A. (ICR4) and Island Finance 2 (ICR7) S.r.l.. ICR4 and ICR7
were two securitizations of NPLs originated in Italy by Banco di
Sicilia S.p.A. (BdS, part of the Unicredit banking group, rated
'A'/Negative/'F1').  The portfolio consisted of secured and
unsecured loans numbering 7,824 business plan credit lines to
3,395 borrowers for a total unresolved gross book value (GBV) of
EUR1,902 million.

As of the July 2011 IPD, the reported mortgage GBV was EUR1,257
million and cumulative net cash flows stood at EUR251 million.


* ITALY: Unveils Measures to Balance Budget Amid Euro-zone Crisis
-----------------------------------------------------------------
Christopher Emsden and Stacy Meichtry at Dow Jones Newswires
report that Italian Prime Minister Silvio Berlusconi's government
unveiled measures Friday to balance Italy's budget by 2013, a
year earlier than planned, by slashing EUR45 billion
(US$64 billion) in public spending in a bid to pull Italy back
from the brink of the euro-zone crisis.

According to Dow Jones, the measures, composed of tax increases
and spending cuts, seek to retool a fiscal-tightening package the
government passed in July that disappointed investors, driving
Italy's borrowing costs up to euro-era highs.  Nearly all the
cuts contained in the earlier package were due to kick in after
elections in 2013, giving the next government leeway to unravel
the measures and deepening investor worries over Italy's
creditworthiness, Dow Jones states.

The European Central Bank's decision to begin to buy Italian
bonds last week helped restore funding to Italy's EUR1.9 trillion
in public debt, but the help came with demands that Italy do
more, Dow Jones notes.

The measures unveiled Friday, which must be approved by
Parliament, call for EUR20 billion in fiscal savings to take
effect in 2012 while an additional EUR25 billion will kick in a
year later, Dow Jones discloses.  The plan, Dow Jones says, also
calls for an amendment to make balancing Italy's budget a
constitutional duty.

According to Dow Jones, to generate those cost-savings, the
measures will slash ministry budgets and increase the capital-
gains tax on all securities except government bonds to 20% from
12.5%.  The government also plans to pass a two-year "solidarity"
tax on annual incomes above EUR90,000 and to withhold
EUR9.5 billion in funding to regional governments, Dow Jones
notes.


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


CLOCK FINANCE: Fitch Affirms 'Bsf' Ratings on Class F1/F2 Notes
---------------------------------------------------------------
Fitch Ratings has affirmed Clock Finance No 1 B.V.'s notes due
2015 as follows:  The rating actions are as follows:

  -- CHF132,000,000 Class A (ISIN: XS0289546201) affirmed at
     'AAAsf'; Stable Outlook

  -- CHF20,000,000 Class B1 (ISIN: XS0289629320) affirmed at
     'AAsf'; Stable Outlook

  -- EUR45,400,000 Class B2 (ISIN: XS0289550062) affirmed at
     'AAsf'; Stable Outlook

  -- CHF13,000,000 Class C1 (ISIN: XS0289638230) affirmed at
     'Asf'; Stable Outlook

  -- EUR52,700,000 Class C2 (ISIN: XS0289550815) affirmed at
     'Asf'; assigned Stable Outlook

  -- EUR56,300,000 Class D (ISIN: XS0289551623) affirmed at
     'BBB+sf'; Stable Outlook

  -- EUR40,300,000 Class E (ISIN: XS0289552191) affirmed at
     'BB+sf'; Negative Outlook

  -- CHF10,000,000 Class F1 (ISIN: XS0289641614) affirmed at
     'Bsf'; Negative Outlook

  -- EUR18,700,000 Class F2 (ISIN: XS0289552514) affirmed at
     'Bsf'; Negative Outlook

The affirmation reflects the transaction's stable performance to
date.  According to the July 2011 investor report, total default
assets since close represent 1.20% of the maximum portfolio
balance.  Of this amount, 0.72% remained outstanding defaults
(settlements pending). The weighted average recovery rate on
assets that have completed the work out process is 49.76%.

The portfolio comprises exposures to Swiss enterprises and is
well-diversified in terms of regions and industries.  The largest
sector is currently industrial/manufacturing representing 11.6%
of the portfolio.  Additionally, the obligor concentration in the
portfolio is relatively low with the top one, 10 and 20 obligors
at 0.91%, 7.39% and 12.62%, respectively, of the portfolio as of
the July 2011 report.

Despite the relatively low obligor concentration, the Outlook on
the class E, F1 and F2 notes is Negative due to their current
credit enhancement levels, exposure to single obligor
concentrations and junior position in the capital structure.  The
credit enhancement levels for the class E, F1 and F2 notes
currently withstand Fitch's single obligor tests. However, these
notes are vulnerable to large obligor defaults and increases in
obligor concentration.

Additionally, Credit Suisse AG, Guernsey Branch (CSG), a
subsidiary of Credit Suisse AG (CS, 'AA'/Stable/'F1+'/Support
Rating '1'), serves as the cash deposit bank and holds issuance
proceeds deposited with CSG at closing.  The issuer may invest
the proceeds in eligible investments and accompanying repurchase
agreements.  Significant proceeds that remain deposited with CSG
and not invested in eligible investments present the risk of
excessive counterparty dependency to CSG.  Should CSG jump to
default the proceeds will be commingled with the bankruptcy
estate of CSG.  However, Fitch considers CS's current ratings as
sufficient to affirm the ratings.

Fitch has assigned an Issuer Report Grade (IRG) of one star
("Poor") to the transaction's reports.  The absence of several
items such as rating triggers for all counterparties and
delinquency buckets prior to 90 days past due prevent the
assignment of a higher IRG.

The transaction is a partially funded synthetic collateralized
debt obligation referencing a portfolio of loans to Swiss small-
and medium-sized enterprises granted by the private banking
division of CS.


DUTCH MORTGAGE: S&P Affirms Rating on Class D Notes at 'BB+'
------------------------------------------------------------
Standard & Poor's Ratings Services raised its credit ratings on
Dutch Mortgage Portfolio Loans II B.V.'s class B and C notes. "At
the same time, we affirmed our ratings on the class A and D
notes," S&P said.

"The rating actions follow our credit and cash flow analysis of
the most recent transaction information that we have received.
The rating actions are primarily due to deleveraging of the
transaction and continued low arrears levels. This resulted in
the class A, B, and C notes benefiting from increased credit
enhancement, which means they can withstand greater losses," S&P
said.

"We have calculated that this transaction has an unindexed
weighted-average loan-to-foreclosure value (WALFTV) of 43.89%,
seasoning of 11.75 years, and arrears of 0.17%. Our weighted-
average foreclosure frequencies and weighted-average loss
severities for the pool have significantly reduced for each
rating level since closing, due to a decrease in the calculated
WALFTV and an increase in seasoning. The subsequent reduction in
credit coverage, together with the increase in credit enhancement
for the class A, B, and C notes, means the notes pass our cash
flow stresses at higher ratings. Therefore, we have raised our
ratings on the class B and C notes accordingly, and affirmed our
'AAA (sf)' rating on the class A notes," S&P related.

"In our view, the prepayment rates have remained high, relative
to other transactions, over the life of the transaction, with a
current prepayment rate of 11.64%. We therefore expect the credit
enhancement of the class A notes to continue to increase as these
notes pay down," S&P said.

"We have affirmed our rating on the class D notes at 'BB+ (sf)'
as this class will not be eligible to start to pay down until May
2013, using excess spread. There is a swap in place for this
transaction that guarantees excess spread of 35 basis points.
However, the amount of available excess spread is unpredictable,
as the notional amount under the swap agreement will be reduced
to the extent that there are debit balances on the principal
deficiency ledgers. Therefore, we have not raised the rating to
investment-grade. We will continue to monitor the excess spread
over the next two years," S&P said.

"The rating actions also follow the application of our 2010
counterparty criteria (see 'Counterparty and Supporting
Obligations Methodology And Assumptions,' published on Dec. 6,
2010), which became effective on Jan. 18, 2011 (see 'EMEA
Structured Finance CreditWatch Actions In Connection With
Revised Counterparty Criteria')," S&P related.

"The issuer has amended the transaction documents to reflect our
2010 criteria," S&P added.

Ratings List

Class              Rating
            To               From
Dutch Mortgage Portfolio Loans II B.V.
EUR1.005 Billion Fixed- and Floating-Rate Notes

Ratings Raised

B           AAA (sf)         AA (sf)
C           AA (sf)          A (sf)

Ratings Affirmed

A           AAA (sf)
D           BB+ (sf)


===============
P O R T U G A L
===============


* PORTUGAL: Should Quit Eurozone Due to Massive Debts, Soros Says
-----------------------------------------------------------------
Agence France-Presse reports that George Soros, the US speculator
turned billionaire philanthropist, has suggested both Portugal
and Greece quit the European Union and the euro-zone because of
their massive debts.

According to AFP, Mr. Soros, as cited by AFP, said in an
interview published Sunday by the German magazine Spiegel that,
"One has so mishandled the Greek problem that the best way
forward at present might be an orderly exit" with Greece leaving
both the EU and the euro common currency.

Mr. Soros suggested the same might go for Portugal, AFP states.

Debt-stricken Portugal and Greece are struggling to implement
eurozone and International Monetary Fund-mandated reforms, by
slashing spending and raising taxes in exchange for financial
aid, AFP discloses.

Mr. Soros also suggested the time had come for eurozone members
to accept the introduction of eurobonds, AFP relates.

Both Portugal and Greece, along with Ireland, have been granted
multi-billion EU-IMF rescue loans to prevent them from defaulting
on their huge debts, AFP notes.


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


* BUCHAREST CITY: Fitch Lifts LT Foreign Currency Rating From BB+
-----------------------------------------------------------------
Fitch Ratings has upgraded the Romanian city of Bucharest's Long-
term foreign currency ratings to 'BBB-' from 'BB+' and the Long-
term local currency ratings to 'BBB' from 'BBB-'.  The Outlooks
are Stable.  The agency has also upgraded the Short-term foreign
currency rating to 'F3' from 'B'.  The ratings have been removed
from Rating Watch Positive where they were placed on July 7,
2011, after Romania's sovereign ratings were upgraded.
Bucharest's ratings are now equalized with the sovereign's.

The ratings take into account the city's improvement in budgetary
performance and its good track record of debt coverage ratios.
The ratings take also into account Bucharest's increasing debt,
which is prudently managed in Fitch's view.

A positive rating action would result from operating performance
remaining at current levels, a debt to current revenue ratio
below 100% and ongoing healthy debt coverage ratios, provided
there was an upgrade of the sovereign's ratings.  Changes in law,
granting Bucharest higher revenue flexibility would be also
rating positive, as Bucharest has a strong tax gaining capacity.

A negative rating action would be triggered by a deterioration of
the operating performance, as this would reduce Bucharest's
ability for self-financing large parts of its high capital
investments, which Fitch currently views positively.
Deterioration in operating performance would also put pressure on
the debt coverage ratios and increase the debt payback ratio.  An
increase of debt above 100% of current revenues would also be
rating negative, especially if it was accompanied by a weaker
operating performance.

Operating margin averaged a strong 30% in 2006-2010 and was 32%
in 2010.  This was sufficient to cover interest paid by more than
10 times.  A strong operating performance is a precondition for
the funding of the city's investment plan, as the ability to gain
capital revenues is limited.  Its current balance was sufficient
to fund 82% of Bucharest's capital expenditure.  The city has
stated a margin of around 30% for 2011-2014 in its four-year
financial plan.

Outstanding direct debt amounted to RON3.1 billion at end-2010
(76% of current revenue) and was just 2.5 years of current
balance. If Bucharest maintains its operating performance and
capital expenditure in line with projections, debt will start
slightly decreasing in 2012.  However, Bucharest faces a large
refinancing risk, when the EUR500 million Eurobond will mature in
2015, which Fitch will closely monitor.  Bucharest is exposed to
debt service for and guarantees provided to two fully owned
companies and for one minority shareholding amounting to about
RON300 million (9.7% of direct debt) at end-2010, covered more
than 2.5 times by the city's strong cash position.

The local wealth level is more then 2.5 times above the national
average and the economy is quite robust through economic cycles.
As Romania's capital, the city is the socio-economic centre and
employment is partly correlated to public administration.  This
is reflected in the stable employment market conditions, even
during the crisis, when unemployment rate increased from 1.7% in
2008 to 2.3% at end-2009.  Unemployment rate was 2% in June 2011,
well below that of Romania (4.4%) at the same time.


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


NKNK OAO: Fitch Upgrades Long-Term IDR to 'B+'; Outlook Stable
--------------------------------------------------------------
Fitch Ratings has upgraded OAO Nizhnekamskneftekhim's (NKNK)
Long-term foreign currency Issuer Default Rating (IDR) to 'B+'
from 'B'.  The Outlook is Stable.  Fitch has also upgraded NKNK's
National Long-term Rating to 'A-(rus)' from 'BBB-(rus)' with a
Stable Outlook and the senior unsecured rating of the existing
bond issues to 'B+' from 'B'.  The Short-term foreign currency
IDR has been affirmed at 'B'.

The upgrades reflect NKNK's improved operational profile, as
reflected in the increasing share of high value-added products.
The issuer has demonstrated significant improvement in financial
metrics driven both by the recent end-market recovery and
deleveraging due to lower capex.

NKNK has a notable presence in the rubber market as the top-10
global rubber producer by capacity. Customer relationships have
also strengthened, as reflected in the growing share of direct
contracts with leading global tyre manufacturers, which increased
to 56% in 2010 from 15% in 2006.

NKNK improved its positions in the plastics market with the
launch of new 230ktpa polyethylene capacity in 2009.  With a
reported 2010 Russian market share of 11%, this new capacity will
add to the company's top positions in the Russian polypropylene
and polystyrene markets.

The issuer is limited with one production site but benefits from
lower logistic costs.  Additional cost advantage comes from the
proximity of NKNK's production site to key input suppliers.
However, supply risk, expressed in disadvantageous or volatile
pricing as well as strong energy and fuel inflation remains.

The overall medium-term outlook remains positive for most of
NKNK's markets, driven by expected emerging market growth for the
synthetic rubber segment and the strong potential for Russian
plastics market growth.

Fitch notes certain corporate governance issues due to the not
fully transparent ownership structure.  As the issuer's key
operations are located in Russia, it is additionally exposed to
the country risk related with the business, operational and legal
environment.

Fitch expects strong revenue growth for 2011 with some moderation
in the following years and 2010-2014 CAGR of 12%.  EBITDA margin
is conservatively expected to decrease in 2011 reflecting strong
input price growth but remaining at double-digit level in the
following years.  The company is expected to deleverage to net
adjusted debt/EBITDA of 0.6x in 2012 given strong cash flow from
operations, sustained dividend payout ratio and appropriate
capex.

Positive rating action could be driven by sustainable improvement
in corporate governance and shareholder transparency along with
sustainable improvement in the operational profile leading to
EBITDAR margin above 25% and net adjusted debt/EBITDA below 1.0x.

Negative rating action could be driven by market deterioration or
realization of supply risk leading to EBITDAR margin below
double-digit level.  Negative free cash flow sustained (i.e. for
two consecutive years) due to significant investment activities
or strong increase in dividend payout ratio could also result in
negative rating action.

The Stable Outlook reflects Fitch's expectations that the company
is able to sustain its conservative leverage and attractive
financial profile in the forthcoming years.


PETERSBURG SOCIAL: Moody's Lifts LongTerm Deposit Ratings to 'B2'
-----------------------------------------------------------------
Moody's Investors Service has upgraded the long-term deposit
ratings of Petersburg Social Commercial Bank's (PSCB) to B2 from
B3, following PSCB's robust financial performance and its
improved market position over recent years. The standalone E+
bank financial strength rating (BFSR) and Not Prime short-term
bank deposit ratings were affirmed.

Moody's re-assessment of the bank's credit standing within the E+
BFSR category is largely based on PSCB's audited financial
statements for 2010 prepared under IFRS.

Ratings Rationale

Moody's says that the upgrade is driven by PSCB's track record of
solid financial performance in the recent years and by Moody's
expectation that PSCB's financial indicators will remain
satisfactory in the medium term.

Moody's notes that PSCB has maintained consistently robust asset
quality over recent years. Non-performing loans (NPLs, defined as
loans 90+ days overdue) decreased to 2.1% of the portfolio at
end-2010, from 2.6% at year-end 2009 and remained well below the
system's average.

Moody's also notes that PSCB's financial performance was solid in
2009-2010, as PSCB generated a stable flow of interest and
commission income -- sufficient to cover operating expenses --
and solid loan-loss provision levels. The rating agency notes
that PSCB's solid profitability metrics are driven by its healthy
net interest margins (5% in 2010) and a strong fee-generating
capacity. PSCB's proprietary universal payment system
'Kassira.net' remains the important source of its fee and
commission earnings, which, in turn, composed 43% of its
operating revenues at year-end 2010.

In addition, Moody's views PSCB's risk appetite as relatively
conservative, with the focus mainly on selective borrowers of
satisfactory credit standing. PSCB also maintains relatively low
single-borrower concentrations in its loan portfolio; as reported
under audited IFRS, its exposure to top-20 borrowers stood at
167% of total equity at year-end 2010.

Although PSCB's funding base is largely short term, its liquidity
position is supported by a high level of liquid assets,
accounting for more than 50% of its total assets. Its
capitalization has also been adequate, with the total capital
ratio exceeding 15% at YE2010, largely sufficient to absorb
expected medium-term credit losses under Moody's stress-test
scenarios.

Moody's also notes that the ratings continue to be constrained by
PSCB's (i) small size and limited geographical diversification;
and (ii) the low diversification of its funding base.

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.

Headquartered in Saint Petersburg, Russia, PSCB reported audited
IFRS total assets of RUB12 billion and total shareholders equity
of RUB1.5 billion at YE2010.


SVYAZNOY BANK: Moody's Affirms 'E+' BFSR; Outlook Stable
--------------------------------------------------------
Moody's Investors Service has affirmed the E+ standalone bank
financial strength rating and B3/Not Prime long-term and short-
term local and foreign currency deposit ratings of Svyaznoy Bank.
The outlook on the BFSR and long-term global scale ratings is
stable.

Moody's affirmation of Svyaznoy's ratings is based on the bank's
audited financial statements for 2010 prepared under IFRS, and
its H1 2011 unaudited results prepared under local GAAP.

Ratings Rationale

According to Moody's, Svyaznoy's E+ BFSR, which maps to B3 on the
long-term scale, reflects (i) its currently limited -- albeit
growing -- franchise, (ii) a short track record under its present
business model, (iii) the operational and credit risks stemming
from its aggressive growth strategy and (iv)its weak
profitability. At the same time the ratings are supported by (i)
Svyaznoy's adequate liquidity position, (ii) sufficient
capitalization and (iii) Moody's expectation that Svyaznoy's
strategic partnership with Svyaznoy Group will support the bank's
growth, geographical and business diversification.

Moody's notes that in 2010, Svyaznoy (formerly known as
Promtorgbank) adopted a new strategy for developing its retail
business. This strategy is being implemented through its
strategic partnership with Svyaznoy Group -- the second-largest
mobile phone retailer in Russia -- which operates a nationwide
distribution network that includes more than 3,000 points of
sales.

Moody's observes that Svyaznoy's high appetite for credit risk is
demonstrated by the very rapid growth of its loan portfolio,
(increased by more than 100% in H12011), which represents a key
risk.

Although Svyaznoy's asset quality improved in 2010, (loans
overdue 30+ days decreased by 20%, accounting for 8.8% in 2010)
its rapidly growing retail loan book is not seasoned and its
quality remains uncertain.

Moody's notes that Svyaznoy was operationally loss-making in 2010
due to a material increase in operating expenses related to the
execution of its new retail strategy and significantly reduced
lending activity. However, the bank's bottom-line profitability
was positively affected by the reversal of loan loss reserves,
enabling the bank to report profit. In Moody's view, Svyaznoy's
profitability in the medium term could remain challenged by the
possibility of slower-than-expected credit growth, increased
funding cost and still growing operating expenses.

Moody's explained that Svyaznoy's ratings could be positively
affected in the medium term if the bank demonstrates a sustained
track record of improvement in profitability and maintains
control over asset quality. Downward pressure could be exerted on
Svyaznoy's ratings by any material adverse changes in the bank's
risk profile, particularly significant impairment of the bank's
liquidity position, and any failure to maintain control over its
asset quality

Previous Rating Actions and Principal Methodologies

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.

Headquartered in Moscow, Russia, Svyaznoy reported total assets
of RUB12.5 billion (US$410.2 million) and net income of RUB86.4
million (US$2.8 million) -- in accordance with audited IFRS -- as
at year-end 2010.


* NOGINSK MUNICIPAL: Fitch Withdraws All Low 'B' Ratings
--------------------------------------------------------
Fitch Ratings has affirmed Noginsk Municipal District's Long-term
foreign and local currency ratings at 'B-', Short-term foreign
currency at 'B' and National Long-term rating at 'BB-(rus)' with
Stable Outlooks.

The agency has simultaneously withdrawn all of Noginsk Municipal
District's ratings as Fitch will not be able to assess the
region's credit quality due to insufficient information.
Accordingly, Fitch will no longer provide ratings or analytical
coverage for the Noginsk Municipal District.


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


FTA PYMES: Fitch Assigns 'CCsf' Rating to EUR34MM Class C Notes
---------------------------------------------------------------
Fitch Ratings has placed FTA Pymes Banesto 2's notes on Rating
Watch Negative (RWN), as follows:

  -- EUR 297,018,227 class A2(ISIN ES0372260010): 'BBB-sf',
     placed on RWN

  -- EUR 24,300,000 class B(ISIN ES0372260028): 'Bsf',
     placed on RWN.

  -- EUR 34,000,000 class C (ISIN ES0372260036): 'CCsf',
     placed on RWN

Fitch has placed the notes on RWN as sufficient data has not been
provided by the originator for Fitch to conduct its surveillance
analysis.  Portfolio level data provided by the originator is
missing fundamental fields for evaluating default and recovery
stresses.  Fitch expects to resolve the RWN within 90 days.


===========
S W E D E N
===========


SAAB AUTOMOBILE: Almost 9,000 People May Lose Jobs in Shutdown
--------------------------------------------------------------
Ola Kinnander and Joshua Armstrong at Bloomberg News reports that
in Saab Automobile's hometown of Trollhaettan, political leaders
are already preparing for the possibility of life without the
town's largest employer.

Of Saab's 3,700 employees, 3,500 work in Trollhaettan, Bloomberg
discloses.  According to the report, Paul Akerlund, the city's
mayor, said in an interview, that in total, almost 9,000 people
in the region could lose their jobs in a shutdown.

"We have discussed what to do if Saab fails, and we have a Plan
B," Mr. Akerlund, as cited by Bloomberg, said, adding the town's
current 10% unemployment rate would soar.  He said that actions
would include helping the unemployed get into university for
retraining, Bloomberg notes.

Meanwhile, Bloomberg News relates that New Salem Saab in Albany,
New York, closed its doors Aug. 12 after 50 years in business.

Bloomberg notes that dealer president Darryl F. Carl wrote on its
Web site that the "continual disruptions of the Saab brand and
its operational difficulties" caused the demise.

"It's definitely a tough, tough time being a Saab dealer,"
Bloomberg quotes Wes Harris, general manager of Dirito Brothers
Saab in Walnut Creek, California, as saying.  "A lot of the
customers that are coming in that are Saab buyers are definitely
nervous about the car company and what's going on."

With an annual production of up to 126,000 cars, Saab's current
models include the 9-3 (available as a convertible or sport
sedan), the luxury 9-5 sedan (also available in a sport wagon),
and the seven-passenger 9-7X SUV.  As it prepared to separate
from General Motors, Saab filed for bankruptcy protection in
February 2009.  A year later, in February 2010, GM sold Saab to
Dutch sports car maker Spyker Cars for about US$400 million in
cash and stock.


===========
T U R K E Y
===========


CALIK HOLDING: Fitch Affirms B- Long-Term IDRs; Outlook Negative
----------------------------------------------------------------
Fitch Ratings has affirmed Calik Holding A.S.'s Long-term foreign
and local currency Issuer Default Ratings (IDR) at 'B-'National
Long-term rating at 'BB-(tur)'.  The Outlooks are Negative.
Fitch has also affirmed Globus Capital Finance S.A.'s US$200
million 8.5% 2012 senior unsecured notes, which are guaranteed by
Calik, at 'B-' with a Recovery Rating of 'RR4'.

Fitch has additionally affirmed Calik's subsidiary, GAP Guneydogu
Tekstil A.S.'s, National Long-term rating at 'BB-(tur)'.  The
Outlook is Negative.  Fitch applies its Parent and Subsidiary
Linkage Rating Methodology to this rating and highlights the
strong linkage between Calik and GAP, which justifies equating
the National Long-term rating of both entities.

The Negative Outlook chiefly reflects Fitch's concerns about
Calik's short-term refinancing risk.  Calik has a US$200 million
Eurobond maturing in 2012 (of which it has already bought back
US$50 million).  Fitch will continue to monitor the progress made
by the company on the refinancing of its Eurobond and could take
negative rating action if no clear plan is in place at least six
months before maturity.

Turkuvaz Media Group, Calik's subsidiary, has to meet US$100
million yearly principal payments on its US$750 million
acquisition loan.  Fitch considers it unlikely that Turkuvaz will
be able to meet these repayments out of its operational cash
flows and will either need to refinance the maturing debt or
receive cash injection from its parent.  The affirmation at the
current rating level reflects that Fitch assumes that Calik will
maintain good access to local banks. Any sign that the
relationship with local banks is weakening would be a negative
rating factor.

Fitch notes that the Sabah-ATV media asset is still thinly
capitalized, considering the competitive market it is in, and its
current and projected working capital needs.  Calik took on
US$750 million bank debt in April 2008 to finance this
acquisition.  The sector was severely negatively impacted in 2009
and the division generated negative operating profit. Operating
margins and advertising revenues improved in 2010, mainly on the
broadcasting front, bringing the operating margin of Turkuvaz
Media to 9.7%.  However, Fitch still believes the ability of the
media business to service its debt obligations on its own remains
challenging in the intermediate term.

Excluding all the media business related debt, which is non-
recourse to Calik, and financial debt related to subsidiaries in
the regulated financial sector, Calik's net leverage ratio is
high with net debt/EBITDA of 6x at FYE10.

Calik's operating performance improved slightly on a consolidated
basis to 9% (operating margin) in 2010 (8% in 2009), despite a
lower contribution from core segments like textile and
construction.  Most of the improvement in margins came from
improving performance from the media segment.

Following the sale of the gas distribution assets in 2008, Calik
did not have any operating energy assets in its portfolio.  In
2010, the company finally finished the acquisition of YEDAS, the
electricity distribution company.   The company distributes
electricity to 1.5 million subscribers in five mid-sized Turkish
cities.  Fitch believes YEDAS will help the company achieve more
stable cash flow and revenue contribution.  Nonetheless there are
over 10 energy projects in the pipeline waiting to be built.
Fitch continues to take Calik's planned long-term expansion into
electricity generation, petrochemicals, and oil and gas sectors
into consideration.  However, the funding structures and eventual
financial impact of such expenditures on the group results remain
to be seen.

Positive rating factors include sustainable positive operating
performance coming from its media and energy segments as well as
substantial and sustained decrease in refinancing risk.
Conversely, negative factors include further leveraging of the
company, mainly through expansion to new business areas and
performance below projections at the media division, continuous
negative free cash flow, and setbacks in refinancing maturing
debt.


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


EXPRESS-BANK: Moody's Withdraws 'B3' Deposit Ratings
----------------------------------------------------
Moody's Investors Service has withdrawn the following ratings of
Express-Bank: B3 long-term and Not Prime short-term local- and
foreign-currency deposit ratings, standalone E+ Bank Financial
Strength Rating (BFSR) and the long-term national scale rating
(NSR) of Baa3.ua. Before this withdrawal, Express-Bank's BFSR and
long-term deposit ratings carried a stable outlook. The NSR
carries no specific outlook.

Ratings Rationale

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

The rating withdrawal does not reflect a change in the companies'
creditworthiness. Express-Bank had no outstanding debt rated by
Moody's at the time of the withdrawal.

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 Kiev, Ukraine, Express-Bank reported unaudited
total assets of US$280 million at Q1 2011, according to Ukrainian
Accounting Standards.


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


BRITSPACE: Enters Into Administration, 200 Jobs at Risk
-------------------------------------------------------
BBC News reports that Britspace has gone into administration,
putting up to 200 jobs at risk.  No redundancies have been
announced and Britspace continues to trade as a going concern,
the report notes.

Administrators from restructuring and insolvency specialist FRP
Advisory LLP took over the company, Construction Inquirer relates
in a separate report.

"The company has suffered significant cash flow difficulties over
the last few months and, despite receiving significant orders,
has been unable to fulfill all customer requirements.  To protect
the business, Britspace has entered administration; currently no
redundancies have been made and it continues to trade as a going
concern.  We are working hard with Britspace's management team to
find a buyer for the business, and are hopeful that it will
attract a number of interested parties," Construction Inquirer
quoted joint administrator David Thornhill as saying.

Construction Inquirer notes that latest results show Britspace
had a turnover of GBP42 million.

Headquartered in East Yorkshire, Britspace has been trading since
1972 and specializes in manufacturing modular buildings and
bathroom pods.


HEARTS FC: Vows to Pay Tax Bill to Avoid Administration
-------------------------------------------------------
BBC News reports that Heart of Midlothian Football Club (Hearts)
have insisted that an outstanding tax bill will be paid in full
on Aug. 16, following a threat to put the club into
administration.

A petition for an administration order was lodged by the Advocate
General for Scotland on July 29, granting Her Majesty's Revenue
and Customs (HMRC) the right to serve the order on the club,
according to BBC News.

"The situation is under control. The amount will be paid in full
[on Aug. 16]," an unnamed Hearts FC spokesman told BBC News in an
interview.

Hearts was issued with a winding-up order by HMRC in July 2009
over the same case, BBC News recalls.  However, the report
relates, that was subsequently cancelled when a payment agreement
was struck between the two parties.

Heart of Midlothian Football Club, more commonly known as Hearts,
is a Scottish football club from Edinburgh who currently plays in
the Scottish Premier League.


LLANGOLLEN HOTELS: Administrators Boost Wynnstay Hotel's Security
-----------------------------------------------------------------
The Leader reports that Llangollen Hotels Ltd's administrator
KPMG has introduced round-the-clock security to Wynnstay Hotel.
KPMG, the report relates, has also ordered the building to be
boarded up to protect against further burglaries.

"We are still responsible for the lease on the Wynnstay and are
still in negotiations with the landlord.  We are aware of the
break-ins so we have imposed 24-hour security and are boarding up
what we can.  Unfortunately, we can't board everything up because
it's a listed building," the Leader quoted KPMG as saying.

Wynnstay Hotel has been lying empty since its operators,
Stephanie Booth's Llangollen Hotels group, went into
administration, according to the Leader.

As reported in the Troubled Company Reporter-Europe on July 27,
2011, Business Sale said four hotels in Wales have been put on
the market following the administration of Llangollen Hotels Ltd
and its parent company, Global Investments Group.  The business
had been issued with a winding-up order from Her Majesty Revenue
& Customs (HMRC), which led to the immediate closure of some of
the hotels in the portfolio, according to Business Sale.  The
report, citing The Leader, relates that property agent Colliers
International has been called in to manage the sale of the
remaining hotels by administrators KPMG.


LOMBOK: Goes Into Administration, Closes 9 Stores
-------------------------------------------------
Jamie Grierson at The Independent reports that furniture chain
Lombok went into administration on Aug. 16, resulting in the
closure of nine stores.

Management and investors at Angora, the private owner of Lombok,
have immediately bought the retailer out of pre-pack
administration in a move that will see three stores and one
concession remain open, according to The Independent.

BBC News reports that stores being closed are in Guildford,
Hampstead, Brighton, Leamington Spa, Kingston, Wimbledon,
Bluewater, Chiswick, and London's Kings Road.

BBC News relates that the stores that will remain open are shops
in Tottenham Court Road in London; Batley in West Yorkshire; and
a clearance outlet in Fulham.

The Independent relays that an unnamed spokeswoman for Lombok
said a consultation on job losses was under way but could not
confirm the number of redundancies expected to be made.  "Lombok
remains under the control of its directors and continues to
trade, with customer orders and deposits placed at all stores
unaffected.  In order to secure the future of Lombok in very
challenging trading conditions, Lombok is in the final stages of
an essential restructuring which is refocusing the company on its
successful online offering and key flagship stores. . . Certain
assets are being sold immediately to its management team and
existing investors," The Independent quotes the spokeswoman as
saying.

The chain is the latest victim of the consumer downturn, brought
on by a toxic combination of high inflation, low wage growth and
fears over Government austerity measures, The Independent relays.

Lombok, named after the Indonesian island, was founded by Alex
Cresswell-Turner, who wanted to develop a range of Eastern-
inspired furniture in the UK.  The stores sell bedroom, dining
room, lounge and office furniture.


UK WBS: Fitch Maintains Rating Watch Negative on Pub Transactions
-----------------------------------------------------------------
Fitch Ratings has downgraded EPIC (Barchester)'s class A and B
notes and Mitchells & Butlers Finance's class A and AB notes.  At
the same time, the agency has also placed (or maintained) all
other Whole Business Securitisation (WBS) pubs transactions on
Rating Watch Negative (RWN).

The rating actions follow the publication of Fitch's updated UK
Whole Business Securitisation (WBS) criteria.  The downgrades are
due to the application of new industry caps, as outlined in the
updated criteria.

The key changes in the updated UK WBS criteria which will
potentially impact the ratings include:

  -- Revision to the debt service coverage ratio (DSCR)
     thresholds that are applied in the cash flow analysis to
     provide greater differentiation between different
     industries. The revised thresholds have been devised based
     on analysis of historical transaction performance across
     different industries.

  -- The incorporation of industry caps to limit the effect of
     debit tranching, recognizing that financial engineering
     cannot completely remove a debt instrument from the
     fundamentals of a transaction's business profile.

The agency will resolve the RWN within the next six months, but
stresses that the application of the new criteria will not
necessarily result in further downgrades in all of the
transactions.  Fitch also notes that the new industry caps will
result in notes with different seniority having identical
ratings.

The rating actions are as follows:

Mitchells & Butlers Finance Plc:

  -- Class A1N floating-rate notes due 2030: downgraded to 'A+'
     from 'AAA'; Outlook Stable

  -- Class A2 fixed-rate notes due 2030: downgraded to 'A+' from
     'AAA'; Outlook Stable

  -- Class A3N floating-rate notes due 2030: downgraded to 'A+'
     from 'AAA'; Outlook Stable

  -- Class A4 floating-rate notes due 2030: downgraded to 'A+'
     from 'AAA'; Outlook Stable

  -- Class AB floating-rate notes due 2033: downgraded to 'A+'
     from 'AA'; placed on RWN

  -- Class B1 fixed-rate notes due 2025: 'A'; placed on RWN

  -- Class B2 fixed-rate notes due 2030: 'A'; placed on RWN

  -- Class C1 fixed-rate notes due 2032: 'BBB+'; placed on RWN

  -- Class C2 floating-rate notes due 2034: 'BBB+'; placed on RWN

  -- Class D1 floating-rate notes due 2036: 'BBB'; placed on RWN

EPIC (Barchester) Plc:

  -- Class A floating-rate notes due 2031: downgraded to 'AA+'
     from 'AAA'; Outlook Stable

  -- Class B floating-rate notes due 2031: downgraded to 'AA+'
     from 'AAA'; Outlook Stable

  -- Class C floating-rate notes due 2031: 'AA'; Outlook Stable
     (Unaffected)

  -- Class D floating-rate notes due 2031: 'AA'; Outlook Stable
     (Unaffected)

  -- Class E floating-rate notes due 2031: 'A'; Outlook Stable
     (Unaffected)

Punch Taverns Finance Plc:

  -- Class A1(R) fixed-rate notes due 2022: 'A+', maintained on
     RWN

  -- Class A2(R) fixed-rate notes due 2020: 'A+', maintained on
     RWN

  -- Class M1 fixed-rate notes due 2026: 'BBB-', maintained on
     RWN

  -- Class M2(N) floating-rate notes due 2029: 'BBB-', maintained
     on RWN

  -- Class B1 fixed-rate notes due 2026: 'BB-', maintained on RWN

  -- Class B2 fixed-rate notes due 2029: 'BB-', maintained on RWN

  -- Class B3 floating-rate notes due 2031: 'BB-', maintained on
     RWN

  -- Class C(R) fixed-rate notes due 2033: 'B+', maintained on
     RWN

  -- Class D1 floating-rate notes 2032: 'B', maintained on RWN

Punch Taverns Finance B Limited:

  -- Class A3 fixed-rate notes due 2022: 'BBB'; maintained on RWN

  -- Class A6 fixed-rate notes due 2024: 'BBB'; maintained on RWN

  -- Class A7 fixed-rate notes due 2033: 'BBB'; maintained on RWN

  -- Class A8 floating-rate notes due 2033: 'BBB'; maintained on
     RWN

  -- Class B1 fixed-rate notes due 2025: 'BB'; maintained on RWN

  -- Class B2 fixed-rate notes due 2028: 'BB'; maintained on RWN

  -- Class C1 floating-rate notes due 2035: 'BB-'; maintained on
     RWN

Spirit Issuer plc:

  -- Class A1 notes due 2028: 'BB'; placed on RWN
  -- Class A2 notes due 2031: 'BB'; placed on RWN
  -- Class A3 notes due 2021: 'BB'; placed on RWN
  -- Class A4 notes due 2027: 'BB'; placed on RWN
  -- Class A5 notes due 2034: 'BB'; placed on RWN

Greene King Finance Plc:

  -- Class A1 floating rate notes due 2031: 'BBB+'; placed on RWN
  -- Class A2 fixed rate notes due 2031: 'BBB+'; placed on RWN
  -- Class A3 floating rate notes due 2021: 'BBB+'; placed on RWN
  -- Class A4 fixed rate notes due 2034: 'BBB+'; placed on RWN
  -- Class A5 floating rate notes due 2033: 'BBB+'; placed on RWN
  -- Class AB1 floating rate notes due 2036: 'BBB'; placed on RWN
  -- Class B1 fixed rate notes due 2034: 'BBB-'; placed on RWN
  -- Class B2 floating rate notes due 2036: 'BBB-'; placed on RWN

Marston's Issuer Plc:

  -- Class A1 floating-rate notes due 2020: 'BBB+'; placed on RWN
  -- Class A2 fixed rate notes due 2027: 'BBB+'; placed on RWN
  -- Class A3 fixed-rate notes due 2032: 'BBB+'; placed on RWN
  -- Class A4 floating-rate notes due 2031: 'BBB+'; placed on RWN
  -- Class AB1 floating-rate notes due 2035: 'BBB'; placed on RWN
  -- Class B fixed-rate notes due 2035: 'BB+'; placed on RWN

Unique Pub Finance Plc:

  -- Class A2N floating-rate secured bonds due 2013: 'BB+';
     placed on RWN

  -- Class A3 fixed-rate secured bonds due 2021: 'BB+'; placed on
     RWN

  -- Class A4 fixed-rate secured bonds due 2027: 'BB+'; placed on
     RWN

  -- Class M fixed-rate secured bonds due 2024: 'BB-'; placed on
     RWN

  -- Class N fixed-rate secured bonds due 2032: 'B+'; placed on
     RWN

Wellington Pub Company Plc:

  -- Class A fixed-rate notes due 2029: 'A-'; placed on RWN
  -- Class B fixed-rate notes due 2029: 'BBB-'; placed on RWN


* UK: Scottish Bankruptcy Laws Put Up for Consultation
------------------------------------------------------
BBC News reports that proposals to "tidy up" Scottish bankruptcy
laws have been put forward by the Scottish Law Commission.

The independent body has published a consultation paper on
consolidating existing bankruptcy legislation, BBC relates.  It
said the Bankruptcy (Scotland) Act 1985 had "lost coherence"
after being heavily amended in recent years, BBC notes.
According to BBC, the commission added that the proposals were
intended to "remove anomalies, treat like cases in the same way
or to omit provisions that no longer serve any purpose".

The commission has prepared a draft of a Bankruptcy (Scotland)
Bill to consolidate the legislation and an order which would give
effect to some provisions of the bill in other parts of the UK,
BBC discloses.

The commission, which was set up in 1965 to promote the reform of
the law of Scotland, worked closely with the Accountant in
Bankruptcy in producing the drafts, BBC states.

Responses are invited by Nov. 30, BBC says.


* UK: Government to Unveil New 'Pre-Pack' Administration Rules
--------------------------------------------------------------
James Thompson at The Independent reports that the UK Government
will unveil a new draft regulation as early as next month that
could make it harder for insolvency practitioners to push through
controversial pre-packaged (pre-pack) administrations.

The Independent relates that the Department of Business,
Innovation and Skills (BIS) plans to inject greater transparency
by introducing a new rule that will require an administrator to
give creditors three clear days advance notice if they propose to
sell a significant proportion of a business to a connected party,
where there has been no open marketing of the assets.

The Independent notes that pre-pack administrations, often dubbed
"phoenix" rescues, are when a company is placed into
administration and then sold quickly to pre-selected new owners
with reduced liabilities.  Crucially, says The Independent,
insolvency practitioners do not currently have to give notice to
unsecured creditors, although the permission of secured lenders,
such as the bank, is required.

However, R3, the insolvency trade association, opposes the plans,
arguing the three-day notice period could lead to a sudden loss
of customers, suppliers and associated revenues at a company,
according to The Independent.  The Independent says R3 argues
this might result in more directors opting for a liquidation,
which would lead to significantly more job losses and reduced
returns for both secured and unsecured creditors than under a
pre-pack.

The Independent quotes Frances Coulson, the president of R3, as
saying that, "It is important to note that a pre-pack is chosen
due to the speed of the procedure which helps preserve the value
of the business.  Three days is a long time in business, and if
unable to trade in that period, it's at risk of losing key staff
and customers."  The draft regulation is expected in late
September or early October, but BIS declined to comment on a
timeframe, The Independent notes.

This year, UK companies including the fashion chain Jane Norman,
the music group EMI, and the mortgage broker John Charcol have
been put through a pre-pack administration after they were unable
to pay their debts in a dire consumer environment.

"It is crucial the UK's business rescue culture is as effective
as it can be and pre-packs play a part in that," the report
quotes Ms. Coulson as saying.  Ms. Coulson added that insolvency
practitioners are already required to provide creditors with
significant information as to why a pre-pack was used instead of
another insolvency procedure, the report says.

However, in March, Edward Davey, the BIS minister responsible for
insolvency, said he wanted to make sure "creditors have a fair
chance to have their voice heard," The Independent reports.
Mr. Davey, according to The Independent, also pointed out that
competitor firms who pay their debts in full also suffer as
rivals that implement a pre-pack emerge with substantially
reduced liabilities.


                             *********

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 * * *