TCREUR_Public/110908.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

          Thursday, September 8, 2011, Vol. 12, No. 178


C Z E C H   R E P U B L I C

SAZKA AS: 15 Firms Seek Basic Information Related to Sale


RHODIA SA: Moody's Withdraws 'Ba3' Long-term Corp. Family Rating


LANTIQ DEUTSCHLAND: Moody's Cuts CFR to 'B3'; Outlook Negative
* GERMANY: Business Insolvencies Down 8.4% to 2,520 in June 2011


* ICELAND: Ex-PM's Trial Over 2008 Bank Crisis May Face Hurdles


QUINN INSURANCE: Sale to Liberty Mutual Gets EU Green Light
RAY GREHAN: No Incentive to Repay NAMA Debts
RMF EURO: S&P Raises Rating on Class V Notes to 'BB (sf)'


ABN AMRO: S&P Raises Junior Subordinated Debt Ratings to 'BB+'
CAIRN CLO: S&P Affirms Rating on Class E Notes at 'CCC- (sf)'


ZLOMREX SA: S&P Raises Long-Term Corp. Credit Rating to 'CCC+'


CITY MALL: Liquidator Expects to Find Buyer by Year-End


ER-TELECOM HOLDING: Moody's Assigns 'B3' Corporate Family Rating


SAAB AUTOMOBILE: Files for Creditor Protection to Raise Funds

U N I T E D   K I N G D O M

BROWNE SMITH: Goes Into Administration Over Reduced Turnover
DRAGON RESCUE: Goes Into Liquidation
HEX HOLDINGS: Goes Into Administration, 20 Jobs at Risk
NOVAE GROUP: Moody's Affirms 'Ba1' Subordinated Debt Rating
PLYMOUTH ARGYLE: Heaney Denies Takeover Deal Collapse

SAVEKER: Former CEO Gets Offer to Buy Back Business
VON ESSEN: Administrators Get 19 Offers for Hotels
* UK: Banks Call on Global Regulators to Revise Wind-Up Plans
* UK: More Retailers to Fall Into Administration, BRC Reveals


* Upcoming Meetings, Conferences and Seminars


C Z E C H   R E P U B L I C

SAZKA AS: 15 Firms Seek Basic Information Related to Sale
Lenka Ponikelska at Bloomberg News reports that the administrator
for Sazka AS received requests from 15 firms for basic
information about the company.

According to Bloomberg, Lenka Ticha, a spokeswoman for
administrator Josef Cupka, said that the companies have until
Sept. 9 to take part in a sale.  Ms. Ticha, as cited by
Bloomberg, said that the bidders will have until Sept. 23 to file

As reported by the Troubled Company Reporter-Europe on Aug. 24,
2011, Bloomberg News related that the Prague Municipal Court,
which placed Sazka in bankruptcy in May, approved the terms for
the company's tender proposed by its administrator and the
creditors' committee.  The terms include a CZK500 million
(US$29.35 million) deposit from each bidder before doing due
diligence on the company, Bloomberg disclosed.  The price offered
by bidders will be the main criterion for choosing the new owner,
Bloomberg noted.  The administrator, as cited by Bloomberg, said
that the rules of the tender also include a fine of
CZK1.5 billion if the winner fails to get an approval of anti-
monopoly bodies to take over Sazka.

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


RHODIA SA: Moody's Withdraws 'Ba3' Long-term Corp. Family Rating
Moody's Investors Service has downgraded its senior unsecured
ratings on Solvay S.A. and its guaranteed subsidiaries to Baa1/P-
2, and the rating on the preferred stock issued by Solvay Finance
SA to Baa3.

At the same time, Moody's upgraded the ratings of the senior
notes and convertible notes of Rhodia S.A. to Baa2. The corporate
family rating of Rhodia SA was withdrawn.

Moody's expects that following the successful closing of the
takeover bid by Solvay SA for Rhodia SA on August 24, 2011,
Rhodia SA shares will be delisted and the company will become
over time a 100% subsidiary of Solvay.

The outlook on all the ratings is negative.

These rating actions conclude the review of Solvay's and Rhodia's
ratings initiated by Moody's on April 4, 2011.

The transaction entails c. EUR3.4 billion cash payment that
Solvay will fund from the accumulated cash proceeds from the
earlier disposal of its pharmaceuticals business. The transaction
also includes the offer to purchase EUR595 million 2014
convertible notes issued by Rhodia S.A, which Moody's also
expects to be funded from Solvay's cash balances.

These ratings are affected by this announcement:

Solvay S.A.

Senior Unsecured (domestic currency) ratings of Baa1

Senior Unsecured MTN (domestic currency) ratings of (P)Baa1

Solvay Finance (America) Inc.

BACKED Senior Unsecured MTN (foreign currency) ratings of

BACKED Commercial Paper (domestic currency) ratings of P-2

Solvay Finance B.V.

BACKED Senior Unsecured MTN (domestic currency) ratings of

Solvay Finance S.A.

BACKED Pref. Stock (domestic currency) ratings of Baa3

Rhodia S.A.

Long-Term Corporate Family Ratings of Ba3 was withdrawn

Probability of Default rating of Ba3 was withdrawn

Senior Unsecured (domestic currency) ratings of Baa2;

Senior Unsecured (foreign currency) ratings of Baa2;


The downgrade of Solvay's ratings by one notch to Baa1 follows
the re-investment of the capital proceeds from the sale in 2010
of the high-margin and relatively stable pharmaceutical
operations into a relatively levered chemicals business with
weaker profitability characteristics.

The transaction allowed Solvay to double in size with PF 2Q 2011
revenues reaching c. EUR13.4 billion and also boosted product and
geographical diversification of its chemicals operations. The
enlarged group enjoys leading global market positions in several
segments, including base and intermediate chemicals (soda ash,
hydrogen peroxide, polyamide, vinyls), as well as specialty
products (such as advanced materials, specialty polymers and
consumer chemicals).

Moody's expects that following closing of the transaction,
Solvay's immediate focus will shift to the execution of the
integration plan, as well as further efficiency improvements (its
Horizon program is expected to yield c. EUR120 million in savings
by the end of 2012), while integration may offer further
operating and financial synergies in the medium term. The rating
also takes into consideration the high historical volatility in
earnings displayed by both Solvay (in its chemicals and plastics
divisions) and Rhodia, compared to Baa1-rated peers.

The acquisition creates a broader platform for investment-led
organic growth. From 2012, additional volumes and expected
improvement in profitability should support stronger operating
cash flow generation. While growth is underpinned by a program of
sizable investment in the next several years, Moody's expects
Solvay to retain its flexibility in managing the CAPEX
commitments and maintain a strong credit profile during the

Taking into account expected changes in Solvay's senior
management team in 2013, Moody's is mindful of potential changes
in the financial policies in the future. The Baa1 rating is
supported by Solvay's track-record of conservative balance sheet
and risk management, that if maintained would limit the potential
effects of any such changes.

Following the acquisition, Solvay will increase its level of
liabilities, reflecting a higher leverage of the target company
(incl. pension liabilities). The rating requires a sustained
improvement in profitability and conservative management of debt
levels to allow solid debt coverage metrics with (RCF- CAPEX) /
Debt trending in high single digits in the next 12 months and a
strong FCF/Debt coverage through the cycle. Following the
acquisition, the company will have significant cash balances that
should offer additional flexibility in managing its liabilities
and with respect to the implementation of its growth initiatives.

Structural Considerations

The upgrade of the ratings on Rhodia's bonds reflects, in part,
the improvement in the credit profile of Rhodia supported by the
expected reduction in debt (through the repayment of its
convertible notes), as well as the assumption of a high degree of
integration of the two businesses going forward. As Solvay SA
offers no guarantee for Rhodia's bonds, the ratings on the
remaining Rhodia bonds reflect a degree of structural
subordination compared to other liabilities of the enlarged
group; Rhodia's notes are supported by the assets and cash flows
of Rhodia in the first instance. The upgrade of the bond ratings
by four notches reflects Moody's view that Solvay will have a
strong economic interest in supporting Rhodia's obligations as
Rhodia is expected to represent around half of the group's
assets, cash flows and revenues. Moody's will regularly check
that these assumptions are correct to ensure that the one notch
difference between the ratings of Solvay's unsecured bonds (Baa1)
and Rhodia's unsecured bonds (Baa2) remains justified.

Moody's notes that it is only able to maintain the ratings on
Rhodia's notes as long as the company continues to provide
audited financial and operating reports, sufficient to monitor
the assets and operating performance of the issuer. Rhodia's
indentures include the requirement for the provision of such
information. Should the company stop providing audited
information, Moody's would have to withdraw the ratings on
Rhodia's notes.

Rating Outlook

The negative outlook reflects Moody's assessment of risks
associated with the on-going investment-led expansion and
achieving the targeted improvement in profitability, with target
average EBITDA margins trending to 18% through the cycle.
Stabilizing the outlook will require a proactive management of
investment plans and debt levels to ensure a strong credit
profile through the cycle.


Solvay maintains a strong liquidity position. At the end of 2Q
2011, Solvay reported EUR5.3 billion in cash and cash-like
balances that will fund the anticipated EUR3.4 billion payment
for the acquisition and the pre-payment of Rhodia's 2014 0.5%
EUR595 million convertible notes. (While Rhodia reported EUR0.9
billion in cash balances at the end of 2Q 2011). Solvay also
enjoys access to c. EUR1 billion in committed bank facilities
(undrawn), as well as to additional bi-lateral credit facilities.

Solvay has limited maturities in the next 12-18 months, including
Rhodia's 2013 floating rate senior notes (of which only c. EUR229
million remains outstanding) and c. EUR227 million of Rhodia's
bank facilities.

The principal methodology used in rating Rhodia S.A. and Solvay
S.A. is the Global Chemical Industry methodology published in
December 2009.

Rhodia S.A., headquartered in Paris, France, is a diversified
chemicals company with leading market positions in chemical
intermediates and engineering plastics, as well as in other
applications across the chemicals value chain. For the fiscal
year ended December 31, 2010, the company generated consolidated
revenues of EUR5.226 million and reported a recurring EBITDA of
EUR905 million (EUR4.031 million and EUR 487 million for the
fiscal year ended December 31, 2009).

Based in Brussels, Solvay S.A. is an international chemicals
group. Following the disposal of its pharmaceuticals business in
the beginning of 2010, the group has focused on its chemicals and
plastics portfolio. The group enjoys leading global market
positions in several segments (such as soda ash, hydrogen
peroxide and electrochemistry products, as well as vinyls and
some specialty polymers). For the fiscal year ended December 31,
2010, Solvay reported consolidated sales of EUR7,109 million and
recurring EBITDA of EUR1,051 million.

Moody's last rating actions on Solvay S.A. and Rhodia S.A. were
on 4 April 2011, when the rating agency placed all ratings of
Solvay S.A. and its subsidiaries under review for downgrade
following the announcement of its takeover bid for Rhodia S.A.
and placed all ratings of Rhodia S.A. on review for upgrade.


LANTIQ DEUTSCHLAND: Moody's Cuts CFR to 'B3'; Outlook Negative
Moody's Investors Service downgraded to B3 from B2 the Corporate
Family Rating (CFR), to Caa2 from B3 the Probability of Default
Rating (PDR), and to B3 from B2 the bank loan rating of Lantiq
Deutschland GmbH (Lantiq). The outlook for the ratings is

Ratings Rationale

The rating action was triggered by Lantiq's recent operating
trends in which revenues and cash flows developed substantially
below budget and below Moody's expectations for the rating. This
resulted in cash balances at June 30, 2011, at less than half of
budget as well as of short term debt and tight covenants on the
main, quarterly amortizing credit facility. For alternate
liquidity sources, Lantiq relies on the continued support of the
owners, a private investment entity managed by Golden Gate

Issuer: Lantiq Deutschland GmbH


   -- Corporate Family Rating, Downgraded to B3 from B2

   -- Probability of Default Rating, Downgraded to Caa2 from B3

   -- Senior Secured Bank Credit Facility, Downgraded to B3 from
      B2; LGD changed to 24% - LGD2 from 32% - LGD3

In the first nine months of its fiscal year ending September 30,
2011, revenues came in 11% and EBITDA more than 20% below the
initial budget, with a markedly faster deceleration in the latter
part of the period. Given relatively weak demand currently,
management expects no material turnaround in revenues until a new
range of communication products is introduced in first quarter
2012. While Lantiq has achieved a slightly positive free cash
flow in fiscal Q3, 2011, this did benefit from strong collection
of receivables and an increase in provisions from June 2011,
which may not be repeated.

Moody's understands that the company that owns the shares of
Lantiq does have available sizable liquid funds to support
Lantiq's business plan on which funds the company will likely
rely in the coming months. However, there is no guarantee or
legal obligation to do so. At the same time, tightening covenants
may necessitate amendments to the terms of its US$190 million
term loan and USD 20 million revolving credit facility. Moody's
sees an increased probability that such amendments may constitute
a default under Moody's definitions, though with only modest loss
to lenders, and thus has lowered the PDR by two notches to Caa2.

The negative outlook for the ratings reflects the low visibility
of Lantiq's revenues currently and uncertainty about the scope
and credit impact should Lantiq revise its financial strategy. A
further rating downgrade is possible if business volumes are seen
to continue on a declining trend and negative cash flows to
accumulate with weakening comfort in shareholder and lender
support. Moody's may upgrade Lantiq's ratings if and when the
company is on track towards achieving positive operating
profitability as well as material free cash flow with a robust
liquidity profile.

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

Lantiq Deutschland GmbH, headquartered in Neubiberg (Munich,
Germany), is a leading designer of communications semiconductors
deployed by major carriers in traditional voice and broadband
access networks around the world. Headquartered in Neubiberg
(Munich, Germany), Lantiq generated around US$339 million in the
first nine months of its fiscal year ending September 30, 2011.

* GERMANY: Business Insolvencies Down 8.4% to 2,520 in June 2011
According to RTTNews, the Federal Statistical Office on Wednesday
said that German insolvency courts recorded a total of 2,520
business insolvencies in June, 8.4% less than the same month last

The total number of insolvencies fell 10.7% year-on-year to
12,839, while insolvencies of consumers increased 12.1% to 8,176,
RTT says.

During the January to June period, 80,315 insolvencies were
registered, representing an annual decline of 5%, RTT discloses.
RTT notes that while corporate insolvencies fell 7.4% during the
period, consumer insolvencies decreased 3.9%.


* ICELAND: Ex-PM's Trial Over 2008 Bank Crisis May Face Hurdles
Omar R. Valdimarsson at Bloomberg News reports that Iceland's
trial of former Prime Minister Geir H. Haarde for his role in the
island's 2008 bank crisis may face hurdles as policies he backed
have since proved key in propelling the nation's economic

Mr. Haarde in September last year became the first political
leader to be indicted for mismanagement of economic affairs
during the financial crisis, Bloomberg discloses.  Since then,
Iceland's economy has shown signs of recovering faster than the
average for the 17-member euro area with a smaller public
deficit, in part because of measures supported by Mr. Haarde
before he was forced to step down in 2009, Bloomberg says.

According to Bloomberg, the Haarde government's decision to
impose emergency legislation at the end of 2008 allowed it to
save domestic bank assets and impose capital controls in an
effort to protect the currency.  Nobel Laureate Paul Krugman, as
cited by Bloomberg, said that the island, which completed a
33-month International Monetary Fund program last month, wouldn't
have recovered as fast had it not been for policy makers' crisis-

"It's clear that Haarde gets the credit for Iceland's emergency
legislation," Bloomberg quotes Omar Kristmundsson, a professor in
political science at the University of Iceland, as saying in a
phone interview.  "Most people agree that this indictment is
completely ridiculous."

Mr. Haarde said in a Sept. 5 interview in Reykjavik that he
expects to be "completely vindicated in this matter."  According
to Bloomberg, his lawyer, Andri Arnason, this month asked the
court to dismiss the case, arguing the charges are "unclear and

Prosecutor Sigridur Fridjonsdottir said in an interview that the
court can take as long as four weeks to respond, Bloomberg


QUINN INSURANCE: Sale to Liberty Mutual Gets EU Green Light
Ann Cahill at Irish Examiner reports that the European Commission
has given the go-ahead for the sale of Quinn Insurance to the US
insurer, Liberty Mutual Group.

According to Irish Examiner, the remaining agreement required is
with the Central Bank to finalize the deal.

The transfer is set to be completed on Oct. 4 in a deal that
promises to save the 1,570 jobs in the Republic and the North to
continue to deal with the 275,000 existing insurance policies,
Irish Examiner notes.

The sale, to a joint venture company formed by the Boston
insurance company and Anglo Irish Bank, was precipitated by the
collapse of the business empire of Sean Quinn, Irish Examiner

The Quinn family owed EUR2.8 billion to Anglo Irish Bank, which
took control of the Quinn Group last April and also the family's
EUR500 million property empire, all of which had been mortgaged
to the bank, Irish Examiner discloses.

                      About Quinn Insurance

Quinn Insurance is owned by Sean Quinn, who was once Ireland's
richest man, and his family.  The company has more than 20% of
the motor and health insurance market in Ireland.  Employing
almost 2,800 people in Britain and Ireland, it was founded in
1996 and entered the UK market in 2004.

As reported by the Troubled Company Reporter-Europe, The Irish
Times said the Financial Regulator put Quinn Insurance into
administration in March 2010 after his office discovered
guarantees had been provided by the insurer's subsidiaries as far
back as 2005 on Quinn Group debts of more than EUR1.2 billion.
The regulator said the guarantees reduced the amount the firm had
in reserve to protect policyholders against possible claims,
putting 1.3 million customers at risk, according to the Irish

RAY GREHAN: No Incentive to Repay NAMA Debts
Irish Times reports that Ray Grehan, whose property interests
have been put into receivership by the National Asset Management
Agency, has said there is no incentive for him to stay in Ireland
and repay his debts to the State loans agency.

Mr. Grehan said NAMA would continue to pursue him for the full
EUR650 million in property loans he owes even though the agency
has removed his ability to repay his debts, according to Irish

Mr. Grehan, the report notes, was one of a number of contributors
to NAMA-land, a program about the workings of the State agency
broadcast by RTE's Prime Time.

Mr. Grehan said he was looking at his options but that there was
no opportunity left for him in Ireland after NAMA appointed
receivers to his property assets in Ireland and the UK, Irish
Times discloses.  "They have taken the opportunity away from me
to repay my borrowings.  Therefore if I come back in five or six
years' time and I create a business in the UK or elsewhere in the
world and I create wealth again, they can come after that as well
. . . .  This is not an opportunity to start again - this is an
opportunity to knock our lights out," Irish Times quoted Mr.
Grehan as saying.

Irish Times discloses that speaking to Prime Time, economist
Peter Bacon, the architect of NAMA, said the agency was not an
asset or property management company as he had envisaged it but a
debt collection agency.  The aim of NAMA was to repair the
balance sheets of the banks, not to make a profit, he said.  NAMA
underpaid the banks for EUR72 billion in loans it acquired, Mr.
Bacon said, according to the report.

Mr. Grehan was a top 20 developer and tried at the tail end of
the property boom to boost the market by providing interest-free
loans to buyers.

RMF EURO: S&P Raises Rating on Class V Notes to 'BB (sf)'
Standard & Poor's Ratings Services raised its credit ratings on
RMF Euro CDO III PLC's class I, III, IV, and V notes. "At the
same time, we have affirmed our ratings on the class II notes,"
S&P related.

"The rating actions follow our assessment of the transaction's
performance and the application of the relevant criteria for CDO
transactions (see 'Related Criteria And Research')," S&P said.

"Our analysis indicates that the credit quality of the portfolio
has improved, due to a reduction in the percentage of assets in
the pool rated 'CCC+' or below and an increase in the weighted-
average spread earned on the portfolio. We have also observed an
increase in credit enhancement. These factors, in our view,
support the higher ratings on the class I, III, IV, and V notes.
We have therefore raised our ratings on these notes," S&P stated.

"We have affirmed our rating on the class II notes to reflect our
view that credit support available to this tranche remains
commensurate with the current rating," S&P related.

"None of the ratings has been constrained by the application of
the largest obligor default test -- a supplemental stress test
that we introduced as part of our criteria update -- or by the
largest industry default test -- another of our supplemental
stress tests (see 'Update To Global Methodologies And Assumptions
For Corporate Cash Flow And Synthetic CDOs,' published Sept. 17,
2009)," S&P related.

"We have also applied our 2010 counterparty criteria and, in our
view, the participants in the transaction are appropriately rated
to support our ratings on the notes (see 'Counterparty and
Supporting Obligations Methodology and Assumptions,' published
Dec. 6, 2010)," S&P stated.

RMF Euro CDO III is a cash flow collateralized loan obligation
(CLO) transaction that securitizes loans to primarily
speculative-grade corporate firms.

Ratings List

EUR357 Million Secured Floating-Rate Notes

Class               Rating
               To            From

Ratings Raised

I              AA+ (sf)      AA (sf)
III            A- (sf)       BBB+ (sf)
IV             BB+ (sf)      BB (sf)
V              BB (sf)       B- (sf)

Rating Affirmed

II             A+ (sf)


ABN AMRO: S&P Raises Junior Subordinated Debt Ratings to 'BB+'
Standard & Poor's Ratings Services raised its junior subordinated
debt ratings to 'BB+' from 'B' on GBP149 million in Upper Tier 2
securities and on a EUR1 billion Tier 1 instrument issued by
Dutch bank ABN AMRO Bank N.V. (A/Stable/A-1).

Standard & Poor's sees a significantly lower risk of coupon
deferral on ABN AMRO's hybrid capital instruments since the bank
announced it would pay an interim dividend this year and because
of S&P's view of the bank's improving earnings performance.  On
Aug. 26, 2011, ABN AMRO announced plans to pay a EUR200 million
interim dividend this year on its ordinary shares and paid it out
on Sept. 1.

"The 'BB+' ratings on both instruments now stand five notches
below our 'A' long-term issuer credit rating (ICR) and four
notches below our stand-alone credit profile (SACP) on ABN AMRO.
This reflects our view that the bank's risk of coupon deferral is
still higher than for better-performing banks, given the EU's ban
on its hybrid coupon payments and the fact that the bank's SACP
is still lower than its ICR. According to our criteria, the SACP
is the key indicator of potential pressure to defer payments on
hybrid securities. The 'BB+' ratings on the securities include
one notch for extraordinary government support," S&P stated.

Last year, the EC imposed a ban on ABN AMRO's coupon payments up
to March 2013 for its Tier 1 and Tier 2 instruments, unless there
was a legal obligation to do so. There is such an obligation
under the terms of the Tier 1 and Upper Tier 2 issues, where an
ordinary share dividend payment on the bank or its holding
company would push coupon payments on the issues into the next
12-month period, unless the bank is in breach of regulatory
capital ratios.

On April 5, 2011, the European Commission made no reference to
hybrid capital instruments when it released the outcome of its
State Aid investigation into ABN AMRO, with an approbation of the
support package, subject to certain conditions, in particular a
ban on acquisitions. "However, we understand that while the EC
still in principle holds to the ban on hybrid coupon payments up
to the 2013 coupon payment dates, it has no opposition to ABN
AMRO paying an ordinary dividend if it is a minimum EUR100
million and if it is consistent with the bank's improved
financial situation," S&P stated.

"ABN AMRO's interim dividend in our view is in line with its
already announced general ordinary share dividend. The bank
targets a payout of 40% of reported annual profit. ABN AMRO
posted a EUR864 million reported profit for first-half 2011," S&P

"Despite an improving trend, we consider that ABN AMRO's
profitability will remain below that of comparable peers in 2011-
2012. However, we expect that reported net profit should be
compatible with the likely payment of some ordinary dividend in
2012. This would reduce the risk of coupon suspension for 2013
under the EC ban. We also see that a coupon suspension as very
unlikely because of a breach of regulatory capital ratios. That's
because ABN AMRO's ratios are currently high, with the Tier 1
ratio at 13.9% on June 30, 2011. In addition, we expect the
bank's capital position to stabilize over the coming two years,"
S&P added.

CAIRN CLO: S&P Affirms Rating on Class E Notes at 'CCC- (sf)'
Standard & Poor's Ratings Services lowered and removed from
CreditWatch negative its credit ratings on Cairn CLO II B.V.'s
class A-1E, A-1S, and A-1R notes. "At the same time, we affirmed
our ratings on the class A-2, B, C, D, and E notes," S&P related.

"Since our March 2010 review of the transaction, we have observed
that the class E overcollateralization test is no longer
failing," S&P said. This is mainly due to:

    A reduction in the amount of defaulted assets;

    A reduction in the proportion of assets that are rated 'CCC+'
    to 'CCC-', and a subsequent reduction in the haircut applied
    to the numerator of the overcollateralization ratio; and

    The repayment of class A-1R advances.

The overcollateralization test is designed to act as a
deleveraging/early-amortization mechanism. If any of the rated
notes' overcollateralization tests are breached, the issuer will
begin using its cash receipts (e.g., its interest and principal
proceeds) to redeem the notes sequentially (within each class
pari passu and pro rata) until the test is brought back into
compliance or the targeted tranches have been redeemed in full.

"Accordingly, we have revised our assumption with regard to
reinvestments and the use of available principal cash. In our
March 2010 analysis, we assumed that the available principal cash
was used to amortize the class A-1 notes and that any future
principal receipt would not be reinvested. With all the
overcollateralization tests in compliance, we have assumed that
the currently available principal cash will be reinvested. In
this analysis. We also assumed a longer weighted-average maturity
for the portfolio, compared with our March 2010 analysis, when we
assumed no reinvestment of assets. As a result, we believe that
the more senior notes will be outstanding over a longer time
period and consequently be more vulnerable to defaults," S&P

"In our opinion, the ratings on the class A-1E, A-1S, and A-1R
notes are no longer commensurate with a 'AAA (sf)' rating.
Consequently, we lowered these ratings to 'AA+ (sf)'," S&P noted.

"The affirmations of the ratings on the class A-2, B, C, D, and E
notes reflect our view that the tranches have adequate credit
support to maintain their current ratings," S&P stated.

"None of the ratings was affected by either the largest obligor
default test or the largest industry default test, two
supplemental stress tests we introduced as part of our criteria
update (see 'Update To Global Methodologies And Assumptions For
Corporate Cash Flow And Synthetic CDOs,' published Sept. 17,
2009)," S&P stated.

Ratings List

Cairn CLO II B.V.
EUR380 Million, GBP13.473 Million Secured Floating-Rate Notes

Class                  Rating
                To               From

Ratings Lowered and Removed From CreditWatch Negative

A-1E            AA+ (sf)         AAA (sf)/Watch Neg
A-1S            AA+ (sf)         AAA (sf)/Watch Neg
A-1R            AA+ (sf)         AAA (sf)/Watch Neg

Ratings Affirmed

A-2             A+ (sf)
B               BBB+ (sf)
C               BB+ (sf)
D               B+ (sf)
E               CCC- (sf)

Rating Unaffected

Subordinated    NR

NR--Not rated.


ZLOMREX SA: S&P Raises Long-Term Corp. Credit Rating to 'CCC+'
Standard & Poor's Ratings Services raised its long-term corporate
credit rating on Poland-based steel maker Zlomrex S.A. to 'CCC+'
from 'CCC-'. "At the same time, we raised the short-term
corporate credit rating on Zlomrex to 'B' from 'C'. In addition,
we revised the outlook to stable from negative," S&P related.

"The upgrades reflect our view that Zlomrex's default risk has
decreased thanks to improved profitability. The improvement in
profitability is a result of supportive conditions in the steel
industry, as well as the company's improving liquidity following
the completion of the disposal of its distribution activities,"
S&P stated.

"Zlomrex received EUR62 million in proceeds from the disposal of
its distribution businesses in the first half of 2011. This is to
be followed by deferred installments amounting to EUR21 million
until 2013. The disposals have allowed the company to repay its
short-term bank debt and improve its liquidity to the extent that
we no longer consider it to be in a distressed state," S&P

"At the moment, we still qualify Zlomrex's liquidity as less than
adequate, because we believe that the company still needs to
rebuild working capital and re-establish its relationships with
Polish banks. In that respect, we view Zlomrex's recent
establishment of a new revolving credit facility (RCF), although
small, at PLN25 million, as the first step in re-establishing
bank support. As of June 30, 2011, Zlomrex reported outstanding
debt of PLN535 million (about EUR135 million), most of which is
due in 2014," S&P related.

"In our view, Zlomrex will be able to meet its financial
obligations over the next 12 months, given recent improvements in
its liquidity position. We anticipate that free cash flow will be
breakeven under our relatively prudent assumption of about PLN90
million EBITDA a year. In addition, we understand that some of
the proceeds from the disposals have been set aside to cover the
February 2012 interest payment on the senior secured notes. As a
result, Zlomrex's next financial hurdle will be the August 2012
interest payment on the notes," S&P stated.

"We do not see any upward rating potential given our assessment
of the company's vulnerable business and highly leveraged
financial risk profile. At the very least, upside would require
re-established banking relationships, sustainably stronger credit
metrics, and better visibility on Zlomrex's ability to meet the
hefty maturities in 2014," S&P related.

Downward rating pressure could arise if demand for steel were to
weaken substantially in Poland and result in negative free cash
flow, or if Zlomrex had difficulty establishing short- and
medium-term credit facilities.


CITY MALL: Liquidator Expects to Find Buyer by Year-End
Mediafax reports that Transilvania Insolvency House, the
designated liquidator of Bucharest shopping center City Mall, is
confident it will find a buyer for the troubled company by year-
end, after several investors have bought the documents to attend
direct negotiation proceedings due Sept. 16.

In August, Transilvania Insolvency House had to switch
liquidation strategy, after five unsuccessful sale attempts,
Mediafax recounts.  The latest sale price tag was around
EUR21 million, according to Mediafax.

City Mall went bankrupt in November 2010, after owner Victoria
Holding, a unit of Austria's investment fund APN European Retail
Trust, was unable to repay the loans taken for its construction,
Mediafax discloses.

According to the preliminary chart of debts, the three banks that
financed the project stand to collect a total RON176 million
(over EUR41 million), notes.

City Mall has a total surface of 38,000 square meters and a
lettable area of 19,000 square meters.


ER-TELECOM HOLDING: Moody's Assigns 'B3' Corporate Family Rating
Moody's Investors Service has assigned a B3 corporate family
rating (CFR) and probability of default rating to CJSC ER-Telecom
Holding. This is the first time that Moody's has rated ER-
Telecom. The outlook on the ratings is stable.

Ratings Rationale

ER-Telecom's ratings are supported by the company's viable
business profile and its successful track record of geographic
expansion and growth. However, the rating also takes into account
the risks associated with the company's currently underfunded
ambitious investment program, the strengthening competition in
the broadband sector and uncertainties related to the economic
environment in view of the exposure to possible future changes in
the regulatory environment as the market continues to evolve.

ER-Telecom's B3 corporate family rating reflects: (i) the
company's modest size compared to its peers; (ii) its weak
financial performance projections over the next two years,
negatively affected by the active growth underway; (iii) the
risks associated with the execution of the company's ambitious
capex program which could be accompanied by a prolonged period of
lower profitability and reduced cash flow generation as the
company pursues increased market share; and (iv) increasing
competition from the integrated operators and incumbent providers
currently forming part of Rostelecom, and actively developing
technologies such as IP-TV and wireless broadband, as well as
satellite broadcasting.

More positively, the ratings take into account: (i) the company's
track record of execution which has seen growth exceed 100% per
annum over the past three years; (ii) the company's leading
competitive position and strong brand recognition, alongside
robust profitability and free cash flow (FCF) generation in all
the markets where the company has operated for more than three
years; (iii) the company's financial strategy aimed at
establishing a longer-term debt capital portfolio matching its
investment profile while maintaining debt service coverage
headroom; and (iv) the active financial and management support of
the company' shareholders, in particular Perm Financial and
Industrial Group (PFIG). Moody's expects PFIG to underpin ER-
Telecom's financial profile until the completion of the network
construction and the achievement of sustainable standalone
financial performance.

The stable outlook on the ratings reflects Moody's expectation
that the company will successfully implement its network
construction program while maintaining satisfactory liquidity
profile and leading market positions.

Negative pressure would develop as a result of: (i) a failure to
achieve positive EBITDA margins on a consolidated level in the
next 24 months; (ii) a weakening of the company's competitive
position in its mature markets; (iii) an increase in leverage
beyond currently anticipated levels and liquidity constraints.
Any change in the shareholder structure in the context of
potentially leading to a change in support would be assessed by
the agency for its potential impact on ER-Telecom's business and
financial policies.

Given the company's intention to continue active debt-funded
investments over the next two years, positive pressure on the
ratings in the medium term is unlikely. In the longer term,
successful completion of the capex program leading to an increase
in operational scale and material improvements in the financial
metrics, could positively impact the ratings.

ER-Telecom is a telecommunications company providing cable --TV,
high-speed internet access and fixed-telephony services in
Russia. The company's network currently services 5.4 million
households in 35 cities with a total population of 24.6 million
people and actively constructs networks in 4 cities. ER-telecom
accounts for 8.3% of the Russian cable TV and 8.6% of the Russian
internet markets in terms of revenue. ER-Telecom is 75.5% owned
by the Perm Industrial and Financial group (PFIG), 10% by Baring
Vostok Capital Partners (10%), and 14.5% by the management.

For the twelve months ended December 31, 2010 the company
reported $243 million in revenue and $41 million in EBITDA.

Principal Methodolgies

The principal methodology used in rating ER-Telecom Holding, CJSC
was the Global Cable Television Industry Methodology published in
July 2009.


SAAB AUTOMOBILE: Files for Creditor Protection to Raise Funds
Ola Kinnander at Bloomberg News reports that Saab Automobile, the
64-year-old Swedish automaker that halted production in June,
applied for protection from creditors on Wednesday in a bid to
raise money to restart operations.

According to Bloomberg, Saab said in a statement that the filing
was made at the Vaenersborg District Court to shield Saab from a
potential bankruptcy petition by its unions.  Pending court
approval, the reorganization process will last at least three
months and can be extended to up to a year, Bloomberg notes.

"We have concluded that a voluntary reorganization process will
provide us with the necessary time, protection and stabilization
of the business," Bloomberg quotes Chief Executive Officer Victor
Muller as saying in the statement.

Saab, as cited by Bloomberg, said that the company plans to
present a restructuring plan to its creditors within three weeks
to lower costs and create a "viable, competitive and independent

Saab proposed Guy Lofalk as administrator, Bloomberg discloses.
The Swedish lawyer oversaw Saab's reorganization under GM in
2009, Bloomberg notes.  Bloomberg says the administrator can
apply for state guarantees to pay workers and Saab expects wages
to be paid shortly after court approval.

According to Bloomberg, Darko Davidovic, counsel at the union,
which represents about 1,500 Saab workers, said that IF Metall,
Saab's biggest union, will hold off on a filing to force the
company into bankruptcy.

"A reorganization would be much quicker than a bankruptcy process
in ensuring that our members get their state salary guarantee,"
Mr. Davidovic, as cited by Bloomberg, said on Wednesday by phone.
"It also gives Saab another chance."

Bloomberg notes that Saab on Wednesday said the company is
"confident" of securing short-term funding for its reorganization
and is currently in negotiations with several parties.  The
carmaker said that financing to exit reorganization would be
provided by agreements with Pang Da Automobile Trade Co. and
Zhejiang Youngman Lotus Automobile Co. if they receive approval,
Bloomberg relates.

Ally Financial Inc., Saab's financing partner in the U.S. and
Europe, said it would continue to provide loans to Saab dealers
and consumers during the reorganization process, Bloomberg notes.

According to Bloomberg, NYSE Euronext said in a statement on
Wednesday that trading in Saab owner Swedish Automobile NV's
shares was suspended in Amsterdam at the request of the

As reported by the Troubled Company Reporter-Europe on Aug. 29,
2011, Bloomberg News related that Saab delayed paying wages for
the third month in a row.  Saab was scheduled to pay factory
workers on Aug. 25 and administrative employees on Aug. 26,
Bloomberg disclosed.  The Swedish government's Debt Enforcement
Agency started collection proceedings last month at the request
of component suppliers with unpaid bills, Bloomberg recounted.

Saab Automobile AB is a Swedish car manufacturer owned by Dutch
automobile manufacturer Swedish Automobile NV, formerly Spyker
Cars NV.

U N I T E D   K I N G D O M

BROWNE SMITH: Goes Into Administration Over Reduced Turnover
Insider Media reports that Architects' practice Browne Smith
Baker has gone into administration after a reduction in turnover
caused it to fail.  A total of 25 employees including 6 partners
lost their jobs in the process, according to the report.

Operating from Newcastle, Darlington, Leeds and Hull, the limited
liability partnership was behind project management business BSB
Project Services, which has also gone into administration,
Insider Media relates.

Administrators from Grant Thornton in Newcastle have been
appointed to the business.

A spokesman for the administrators told Insider Media in an
interview that there was no prospect of the business being sold
and it would try to collect debts and the work in progress before
selling the firm's assets.

Insider Media notes that Browne Smith Baker failed after delays
to a number of projects led to a significant reduction in
turnover. Prior to its problems, the report relays that the
business had posted turnover approaching GBP4 million, but the
reduction in this was such that the business was no longer

Headquartered in Leeds, Browne Smith Baker Architects Limited was
incorporated on August 31 by the former directors of Browne Smith
Baker.  It has offices in Yorkshire and the North East.

DRAGON RESCUE: Goes Into Liquidation
------------------------------------'s Laurie Dealer reports that Dragon Rescue has
entered liquidation citing diminishing levels of work and banks
withdrawing financial support.

Laurie Dealer says Dragon Rescue Chairman Stephen Powell put the
company into liquidation on Sept. 1, 2011, with auditor and
consultant Deloitte.  According to the report, Mr. Powell
explained that with levels of work being down and unsupportive
banks, he was faced with little choice.

Deloitte has confirmed that all Dragon Rescue employees have been
made redundant, the report notes.

Dragon Rescue is a vehicle recovery company in South Wales.

HEX HOLDINGS: Goes Into Administration, 20 Jobs at Risk
EDP24 News reports that Hex Holdings has gone into administration
putting 20 jobs at risk at the firm's Norwich branch.

"The cash flow of the company has been tight for the past few
years but the recent slow period of trading has made the position
unmanageable. . . .  Our core business has been bodyshops who are
free to choose their supplier of paint refinishing materials and
as you are aware, this market has drastically reduced in the past
5 years - this has been a real challenge for Hex," EDP24 News
quoted founder Nigel Hecks as saying.

Matt Ingram and John Whitfield, partners at corporate
restructuring firm MCR were appointed joint administrators of Hex
Holdings Ltd.

Mr. Ingram said the business was continuing to trade while a
buyer was sought, according to EDP24 News.

Founded by Nigel and Adena Hecks in 1970, the Leicestershire-
based Hex Holdings, which employs 170 staff, was the UK's fourth
largest supplier of paint, equipment and panels to the re-
finishing industry, with eight branches across the country
including one at Whiffler Road, and a GBP20.4 million turnover.

NOVAE GROUP: Moody's Affirms 'Ba1' Subordinated Debt Rating
Moody's Investors Service affirmed the A2 Insurance Financial
Strength Rating (IFSR) of Lloyd's Syndicate 2007 - Novae
Syndicates Limited and the Ba1 Novae Group Plc subordinated debt
rating, both with a stable outlook. The affirmation reflects both
the improving underlying financial fundamentals of Novae's
business, notwithstanding the H1 loss and the aggregate financial
position of the Central Resources of the Lloyd's of London
insurance market (Lloyd's).

Ratings Rationale

Novae Syndicate 2007 operates in the Lloyd's of London insurance
market and is (from 2010 onwards) entirely backed by Novae Group
plc. Moody's stated that the A2 IFSR on Syndicate 2007 reflects
its franchise as a leading syndicate within its core business
areas in the Lloyd's market and its very good business
diversification, particularly following the creation of Novae Re
in 2009, and the consequent more even split of property and
liability business, offset by continued high levels of gross
underwriting leverage.

Novae Re has been negatively impacted by the Q1 natural
catastrophe events, and Novae Group plc in aggregate reported
interim 2011 results of a post-tax loss GBP24.9 million (H1 2010:
post-tax profit of GBP10.8 million), driven by the H1 catastrophe
events (New Zealand and Japanese earthquakes, cyclone Yasi, the
Brisbane floods and the US tornadoes), which collectively were
estimated to cost Novae US$80.2 million, as at H1 2011. While the
net reduction in shareholders' equity during H1 2011 was 11%,
Moody's considers Novae well placed to take advantage of the
expected premium rate hardening following the H1 losses.

As a business operating within Lloyd's, Novae Syndicate 2007
benefits from the Lloyd's franchise and the Central Resources
underpinning the limited mutuality of the market. Moody's
elaborated that its rating policy for individual syndicate
ratings was to evaluate syndicates on a stand-alone basis and
then consider the extent of Central Resources, including the
Lloyd's Central Fund, to provide enhancement to individual
syndicate ratings, with potential access to Central Resources
being considered as a positive factor in the ratings.

Moody's stated that Lloyd's overall aggregate financial position
had been steadily improving since 2001, with Central Resources
also steadily improving. Lloyd's on an aggregate, pro-forma basis
delivered a good return on average equity of 12% for 2010, on an
annually accounted basis, with its 5 year average return on
average equity being 22% (both Moody's calculations), although
the 2011 results will likely be lower, reflecting the H1 natural
catastrophe losses, together with potential losses arising out of
the US windstorm season. As at YE 2010, Lloyd's reported an
excess of central assets over solvency shortfalls for solvency
purposes of GBP2,923 million for the Society (2006: GBP1,801
million), a healthy level in Moody's view.

In the same rating action, Moody's affirmed the Ba1 rating on
Novae Group plc's GBP100 million subordinated notes due 2017,
although as at June 30, 2011 and following debt buybacks, the
carrying value on the balance sheet was GBP67.9 million. Moody's
said that the Ba1 subordinated debt rating had a stable outlook,
reflecting Moody's view of the Group's stand-alone credit
quality. While the Lloyd's Central Fund potentially provides
support to Lloyd's policyholders, it does not afford the same
protection to bondholders and thus the Ba1 debt rating reflects
Moody's standard practice for notching European insurance

Commenting on what could lead to a future positive rating action,
Moody's noted that this would likely be driven by some
combination of improvements in Lloyd's overall financial
aggregate position and improvements in Novae's underlying
business. Specifically, positive rating action could occur if
Novae consistently delivers cross-cycle returns on average
capital of at least 7%, if reinsurance recoverables remain
consistently below 125% of equity and if financial leverage is
consistently below 25%. Conversely, Moody's noted that negative
rating action would be triggered by a meaningful deterioration in
Lloyd's financial position and/or if Novae produces annual
returns on capital below 5%, if Novae's leverage exceeds 35% or
if gross underwriting leverage exceeds 6x.

These ratings were affirmed with a stable outlook:

Lloyd's Syndicate 2007: A2 insurance financial strength rating

Novae Group Plc: Ba1 subordinated debt rating

Novae Syndicate 2007 is a leading Non-Marine orientated syndicate
backed 100% by Novae Group plc for the 2011 Year of Account,
which operates in the Lloyd's of London insurance market.

Moody's most recent rating action on Lloyd's Syndicate 2007,
Novae Group plc's principal insurance operation, was on 03
September 2010, when the rating agency affirmed the syndicate's
insurance financial strength rating at A2 with a stable outlook
and affirmed the Ba1 subordinated debt rating, also with a stable

The principal methodology used in rating Syndicate 2007 was
Moody's Global Rating Methodology for Property & Casualty
Insurers published in May 2010.

PLYMOUTH ARGYLE: Heaney Denies Takeover Deal Collapse
Edd Moore at Plymouth Herald reports that businessman Kevin
Heaney, the man at the centre of a stuttering takeover bid for
Plymouth Argyle has denied the deal is facing collapse.

The Plymouth Herald relates that concerns over the GBP6 million
being sourced by Mr. Heaney have led administrators to re-open
dialogue with rival bidders.

According to the report, three companies led by the Cornwall-
based developer were on Monday ordered by a court to pay up a
GBP10,000-plus debt to legal firm Foot Anstey.  But Mr. Heaney
vowed to appeal, insisting money was not a problem, the Plymouth
Herald says.

The Plymouth Herald relates Mr. Heaney said only the Football
League stood in the way of the Argyle deal and that its board was
expected to give the green light on Thursday.

"Everything the administrators have asked of us we have done,"
the report quotes Mr. Heaney as saying.  "We have to wait for the
Football League.

"All I'm trying to do is save Plymouth Argyle Football Club from

The Herald notes that the proposal would see offshore firm Bishop
International Limited, led by Mr. Heaney, clear Argyle's debts in
exchange for its land assets, then hand the club itself to acting
chairman Peter Ridsdale.

But Mr. Ridsdale and lawyer David Hinchliffe are now in ongoing
talks with other parties -- and cash concerns are shared by
administrators, the report adds.

SAVEKER: Former CEO Gets Offer to Buy Back Business
Dani Saveker, the former chief executive of engineering group
Savekers, told Insider Media an interview that she was recently
offered the opportunity to buy the business back.

Ms. Saveker, according to Insider Media, said she would now
"continue to monitor" the Birmingham company's progress and would
not rule out a deal in the future.

Ms. Saveker said that she is wary of entering into any agreement
to buy back her former family-owned firm because she has seen
similar deals go wrong in the past, according to Insider Media.

As reported in the Troubled Company Reporter-Europe on June 8,
2009, Engineering group WTTR Holdings acquired the business and
assets of Savekers Limited, established by Thomas Saveker in
1903, from administrators John Kelly and James Martin, of the
Birmingham office of business rescue, recovery and restructuring
specialists Begbies Traynor, for an undisclosed sum.  The
GBP4 million firm's failure came as orders plummeted in the wake
of troubles in the construction, retail and leisure sectors, all
hit hard in the downturn.  A total of 20 jobs have been saved out
of a workforce of 60 at the time of the collapse but sadly the
Saveker ties have finally been severed as none of the family has
been retained in the ongoing business.

                          About Savekers

Savekers, one of Birmingham's oldest manufacturing companies had
a major input into Britain's war effort.  The company produced 75
different parts for Spitfire fighter planes, over 280 parts for
Lancaster bombers, parts for Sten guns and over a quarter of a
million stirrup pumps.

The factory survived the war, though not unscathed.  Two
incendiary bombs fell on the plating shop.  One went straight
into a vat and the other bounced off a roof beam and then into
the vat, both being extinguished by the vat's contents.

Another incident saw a high explosive bomb strike close to a
sunken air raid shelter in the factory yard but fail to go off.
The next night two more were heard to fall nearby and both
exploded; fortunately the area had been evacuated and no one was

However, bowed metal window frames facing the crater remained as
a reminder until the building was demolished in 1998.

VON ESSEN: Administrators Get 19 Offers for Hotels
BBC News reports that von Essen hotel chain's administrators
Ernst & Young said it had offers for the firm's 19 hotels,
including Cliveden in Berkshire.

Bath's Royal Crescent Hotel may be sold, according to BBC News.
But others, such as Thornbury Castle near Bristol and Seaham Hall
in County Durham, are still up for sale, the report relates.

BBC News notes that Chris Day, from Christie and Co, which is
acting as agents for the administrators, said the hotels could
not be sold together.  "It was decided that the route to best
value was through a sale on a sub-group and individual basis,"
BBC News quoted Mr. Day as saying.

von Essen hotel chain owns 28 luxury hotels in the UK and France.

                           *     *     *

As reported in the Troubled Company Reporter-Europe on April 25,
2011, BBC News said the holding company of the von Essen hotel
chain has appointed accountants Ernst & Young as administrators. related that von Essen is reported to have debts of
more than GBP25 million. noted that while
administrators have been appointed and the portfolio of hotels
are expected to be sold off either as a group or as individual
properties, the hotels are all expected to continue to trade as
usual.  "It is business as normal for the hotels and customers of
von Essen Hotels can continue to enjoy their stay," The Northern
Echo quoted Angela Swarbrick, joint administrator, as saying.

* UK: Banks Call on Global Regulators to Revise Wind-Up Plans
Jim Brunsden at Bloomberg News reports that U.K. banks are
calling on global regulators to revise plans for the orderly
closure of failing lenders, saying the proposals wouldn't ensure
national regulators work together to handle cross-border crises.

The Financial Stability Board's proposals published in July
"leave too much scope for some home regulators to potentially act
in their own interests rather than in the interests of stability
as a whole," Bloomberg quotes Angela Knight, the chief executive
officer of the British Bankers' Association, as saying in an
e-mailed statement on Wednesday.

World leaders at the Group of 20 nations asked the FSB to agree
on measures for winding down failing banks avoiding wider
repercussions for the financial system, Bloomberg relates.  Such
resolution processes can lead to either a bank being broken up
and its assets sold on or a lender being resurrected with a
smaller balance sheet with higher capital ratios, Bloomberg

Measures in the FSB paper include requiring banks to draw up
so-called living wills indicating how they could be closed in a
crisis, and requiring a failed bank's senior bondholders to take
losses to cover the costs of shutting down its operations,
Bloomberg discloses.

* UK: More Retailers to Fall Into Administration, BRC Reveals
Jon Whiteaker at Retail Gazette reports Nick Moser, Taylor
Wessing head of restructuring & corporate recovery, said that
sales figures released by the British Retail Consortium (BRC)
prove that a number of U.K. retailers are likely to fall into
administration over the next few months.

Mr. Moser argued a perfect storm of negative factors could lead
to imminent retail closures, according to Retail Gazette.

The report notes that BRC data showed like-for-like sales values
had reduced by 0.6% last month year-on-year and BDO's High Street
Sales Tracker posted revealed August was the worst month for
retail for two years.

Retail Gazette discloses that rental payments are due again at
the end of this month and following a number of high profile
insolvencies just before the last 'quarter day', including
Habitat, Haldanes and Homeform, Mr. Moser thinks the BRC numbers
show yet more retailers are now close to the edge.

Retail Gazette notes that though for many there is no other
option, insolvency expert for law firm Faegre & Benson Richard
Curtin commented ahead of the previous quarter day that retailers
should always attempt to negotiate with landlords before the
point of no return.

Speaking to the Retail Gazette previously, Mr. Curtin did not
believe that this forthcoming quarter day would be significant
but argued the following rental payment due during the Christmas
period could be decisive for many.


* Upcoming Meetings, Conferences and Seminars

Oct. 14, 2011
     NCBJ/ABI Educational Program
        Tampa Convention Center, Tampa, Fla.
           Contact: 1-703-739-0800;

Oct. __, 2011
     International Insolvency Symposium
        Dublin, Ireland
           Contact: 1-703-739-0800;

Oct. 25-27, 2011
     Hilton San Diego Bayfront, San Diego, CA

Dec. 1-3, 2011
     23rd Annual Winter Leadership Conference
        La Quinta Resort & Spa, La Quinta, Calif.
           Contact: 1-703-739-0800;

April 3-5, 2012
     TMA Spring Conference
        Grand Hyatt Atlanta, Atlanta, Ga.

Apr. 19-22, 2012
     Annual Spring Meeting
        Gaylord National Resort & Convention Center,
        National Harbor, Md.
           Contact: 1-703-739-0800;

July 14-17, 2012
     Southeast Bankruptcy Workshop
        The Ritz-Carlton Amelia Island, Amelia Island, Fla.
           Contact: 1-703-739-0800;

Aug. 2-4, 2012
     Mid-Atlantic Bankruptcy Workshop
        Hyatt Regency Chesapeake Bay, Cambridge, Md.
           Contact: 1-703-739-0800;

November 1-3, 2012
     TMA Annual Convention
        Westin Copley Place, Boston, Mass.

Nov. 29 - Dec. 2, 2012
     Winter Leadership Conference
        JW Marriott Starr Pass Resort & Spa, Tucson, Ariz.
           Contact: 1-703-739-0800;

April 10-12, 2013
     TMA Spring Conference
        JW Marriott Chicago, Chicago, Ill.

October 3-5, 2013
     TMA Annual Convention
        Marriott Wardman Park, Washington, D.C.


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

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  Go to 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 * * *