TCREUR_Public/110916.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

           Friday, September 16, 2011, Vol. 12, No. 184

                            Headlines



B U L G A R I A

ALMA TOUR: Bulgaria Air May Demand Insolvency


C Z E C H   R E P U B L I C

SAZKA AS: Has Three Bidders, Administrator Says


C R O A T I A

TRANSADRIA: Croatian Court Opens Bankruptcy Proceedings


G R E E C E

OMEGA NAVIGATION: HSH Nordbank Seeks Stay Lift to Take Ships
OMEGA NAVIGATION: Panel Taps First Int'l as Financial Advisors
OMEGA NAVIGATION: Committee Taps Winston & Strawn as Counsel
* GREECE: Should Default on Debt, Slovak Lawmaker Says


I R E L A N D

ANGLO IRISH: Regulator to Hold Disciplinary Hearing vs. E&Y
EIRCOM GROUP: Senior Lenders Support Three-Month Covenant Waiver
IRISH POST: Two Sealed Offers for Newspaper Lodged


I T A L Y

* ITALY: Corporate Bankruptcies Up 13.1% in 2011 Second Quarter


K A Z A K H S T A N

TSESNA BANK: Moody's Withdraws 'Caa1' Debt & Deposit Ratings


N E T H E R L A N D S

MARCO POLO: Court Approves Blank Rome as Committee's Attorney
MARCO POLO: Lender Wants Seaarland Case Tossed for No U.S. Ties
MARCO POLO: Can Use RBS and Credit Agricole Cash Collateral
MESDAG CHARLIE: S&P Lowers Rating on Class E Notes to 'D'


S P A I N

CAJASTUR: Moody's Withdraws 'D-' Bank Finc'l Strength Rating


S W E D E N

SAAB AUTOMOBILE: Court Decision on Appeal Expected in Few Days


S W I T Z E R L A N D

NYCOMED SCA: S&P Keeps 'B+' Corp. Credit Rating on Watch Positive


U N I T E D   K I N G D O M

CREST NICHOLSON: Has Financial Restructuring Deal with Varde
EUROCASTLE CDO: Fitch Says Notes Repurchase Has No Ratings Impact
INDUS PLC: S&P Downgrades Rating on Class E Notes to 'CCC (sf)'
LUMINAR ENTERTAINMENT: Relies on Freshers to Avoid Administration
PINNACLE TRAVEL: Goes Into Administration, Sells Assets

TAURUS CMBS: Fitch Cuts Rating on GBP7-Mil. Class D Notes to 'C'
THE BOURSE: Opus North Acquires Firm's Assets
THE PLOUGH: Councilors Urge Village Group to Acquire Firm


X X X X X X X X

* BOOK REVIEW: Performance Evaluation of Hedge Funds


                            *********


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B U L G A R I A
===============


ALMA TOUR: Bulgaria Air May Demand Insolvency
---------------------------------------------
Novinite.com reports that attorneys for Bulgaria Air, Bulgaria's
national airline carrier and heir to Balkan Airlines, are still
considering what are the exact legal steps to undertake in the
dispute with tour operator, Alma Tour.

The statement was made Wednesday by Plamen Atanasov, CEO of
Bulgarian Aviation Group, owner of Bulgaria Air, Novinite.com
relates.

Some 700 Russians, 200 Finns and dozens of persons from Lithuania
waited for days to get home after their flights were canceled
Friday and Saturday, due to an alleged EUR3.6 million debt to
carrier Bulgaria Air from operator Alma Tours, Novinite.com
discloses.

It was also reported that Alma Tour Fly is collateral for a loan
amounting to EUR1 million from Emporiki Bank and for two loans
from Bulgaria Air -- of EUR5.9 million and US$21.3 million,
Novinite.com notes.  A check of the Trade Register had revealed
that according to the contract, Bulgaria Air has the right to
acquire Alma Tour Fly and take over its management if the latter
fails to make payments on the loans, Novinite.com states.

According to Novinite.com, when asked by the Bulgarian Dnevnik
daily if the national carrier can demand declaring Alma Tour
insolvent, Mr. Atansov replied that this was standard procedure.
Bulgaria Air CEO Yanko Georgiev, on his part, declined to comment
on the dispute over the still ongoing negotiations, Novinite.com
notes.


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


SAZKA AS: Has Three Bidders, Administrator Says
-----------------------------------------------
Lenka Ponikelska at Bloomberg News reports that Sazka AS's
administrator said there are three bidders for the company.

According to Bloomberg, the administrator said on Wednesday in an
e-mailed statement that all three bidders complied with
conditions approved by a Prague court and deposited CZK500,000
(US$27,913) into a bank account.

Bloomberg notes that the statement said the bidders are obliged
to file binding bids by Sept. 23 and have to deposit the full bid
amount into a bank.  It didn't give the names of the bidders,
Bloomberg states.

KKCG's spokesman Daniel Plovajko said by phone that Czech
financial groups PPF AS and KKCG filed their bids in a joint
group, Bloomberg relates.

According to Bloomberg, spokeswoman Magda Pekarova said Synot
Holding, a Czech gaming operator, also bid for Sazka.

iHned, as cited by Bloomberg, said Charlcoal, a Cyprus-registered
company that is linked with a Czech financier Pavel Tykac, is the
third bidder for Sazka.  Mr. Tykac's spokesman Jan Chudomel told
iHned that the Czech financier would participate in providing
finance to the company in case it wins the tender, Bloomberg
discloses.

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.


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C R O A T I A
=============


TRANSADRIA: Croatian Court Opens Bankruptcy Proceedings
-------------------------------------------------------
According to SeeNews, Transadria said on Wednesday in a statement
posted on Zagreb Stock Exchange Web site that the Rijeka
commercial court has initiated bankruptcy proceedings against the
company.

Transadria is a local transportation company.  The company
provides international forwarding and customs brokerage, shipping
agency and warehousing services.


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


OMEGA NAVIGATION: HSH Nordbank Seeks Stay Lift to Take Ships
------------------------------------------------------------
HSH Nordbank AG, as senior facilities agent, asks the U.S.
Bankruptcy Court for the Southern District of Texas to lift the
automatic stay to allow it to exercise its contractual and legal
rights and remedies against Omega Navigation Enterprises, Inc.,
et al.'s ships.

HSH Nordbank, as agent for certain bank lenders under certain
senior facilities agreement with the Debtors, seeks the right to
pursue liquidation of its collateral, namely eight marine vessels
which secure a loan that matured on June 9, 2011, and the Debtors
refuse to repay.

The lenders' claims as of the Petition Date (US$242 million in
outstanding principal, plus unpaid prepetition interest, fees and
expenses) already exceed the value of the ships, which had an
aggregate value of $239 million as of
Aug. 25, 2011.

HSH Nordbank notes that its Lift Stay Motion is filed along with
its Motion to Dismiss the Debtors' Chapter 11 cases.  HSH
Nordbank believes the dismissal of these cases or the appointment
of an independent Chapter 7 fiduciary to liquidate the Debtors is
appropriate relief, but recognizes that relief from stay
accomplishes much of its goal.

An Oct. 24 hearing has been set for HSH Nordbank's lift stay
request.

                      About Omega Navigation

Athens, Greece-based Omega Navigation Enterprises Inc. and
affiliates, owner and operator of tankers carrying refined
petroleum products, filed for Chapter 11 protection (Bankr. S.D.
Tex. Lead Case No. 11-35926) on July 8, 2011, in Houston.

Omega is an international provider of marine transportation
services focusing on seaborne transportation of refined petroleum
products.  The Debtors disclosed assets of US$527.6 million and
debt totaling US$359.5 million.  Together, the Debtors wholly own
a fleet of eight high-specification product tankers, with each
vessel owned by a separate debtor entity.

Judge Karen K. Brown presides over the case.  Bracewell &
Giuliani LLP serves as counsel to the Debtors.  Jefferies &
Company, Inc., is the financial advisor and investment banker.

The Official Committee of Unsecured Creditors has tapped Winston
& Strawn as local counsel; Jager Smith as lead counsel; and First
International as financial advisor.


OMEGA NAVIGATION: Panel Taps First Int'l as Financial Advisors
--------------------------------------------------------------
The Official Committee of Unsecured Creditors in the Chapter 11
cases of Omega Navigation Enterprises, Inc., et al., asks the
U.S. Bankruptcy Court for the Southern District of Texas for
permission to retain First International Corporation as its
financial advisors.

First International will, among other things:

   (a) advise the Committee on matters concerning any capital and
       equity expenditures proposed by the Debtors;

   (b) advise the Committee on matters concerning any asset
       valuation issues; and

   (c) advise the Committee and assist the estates in identifying
       possible bidders for any of the Debtors' assets proposed
       to be sold to achieve the highest and best values for
       proposed asset sales.

For professional services, First International has agreed that
its fees will be based on an $375 hourly rate.  First
International and the Committee have agreed that the firm will be
reimbursed for its ordinary and necessary expenses.

To the best of the Committee's knowledge, First International is
a  "disinterested person" as that term is defined under Section
101(14) of the Bankruptcy Code.

An Oct. 3 hearing has been set on the Committee's proposed
retention of First International.

                      About Omega Navigation

Athens, Greece-based Omega Navigation Enterprises Inc. and
affiliates, owner and operator of tankers carrying refined
petroleum products, filed for Chapter 11 protection (Bankr. S.D.
Tex. Lead Case No. 11-35926) on July 8, 2011, in Houston.

Omega is an international provider of marine transportation
services focusing on seaborne transportation of refined petroleum
products.  The Debtors disclosed assets of US$527.6 million and
debt totaling US$359.5 million.  Together, the Debtors wholly own
a fleet of eight high-specification product tankers, with each
vessel owned by a separate debtor entity.

Judge Karen K. Brown presides over the case.  Bracewell &
Giuliani LLP serves as counsel to the Debtors.  Jefferies &
Company, Inc., is the financial advisor and investment banker.

The Official Committee of Unsecured Creditors has tapped Winston
& Strawn as local counsel; Jager Smith as lead counsel; and First
International as financial advisor.


OMEGA NAVIGATION: Committee Taps Winston & Strawn as Counsel
------------------------------------------------------------
The Official Committee of Unsecured Creditors in the Chapter 11
cases of Omega Navigation Enterprises, Inc., et al., asks the
U.S. Bankruptcy Court for the Southern District of Texas for
permission to retain Winston & Strawn LLP as its local counsel.

Winston & Strawn will, among other things:

   (a) consult with the Committee and the Debtors concerning
       administration of the cases;

   (b) assist the Committee in its investigation of the acts,
       conduct, assets, liabilities, and financial condition of
       the Debtors, operation of the Debtors' businesses and the
       desirability of continuing or selling such business or
       assets, the formulation of a chapter 11 plan, and any
       other matter relevant to the cases; and

   (c) assist the Committee in evaluating claims against the
       estates, including analysis of and possible objections to
       the validity, priority, amount, subordination, or
       avoidance of claims and transfers of property in
       consideration of the claims.

The Committee related that it applied to retain Jager Smith as
counsel.  The Committee assures the Court that Winston & Strawn
and Jager Smith will communicate to ensure that the legal
services to be provided to the Committee by each firm are not
duplicative.

The Committee notes that James Donnell, Esq., partner, will be
supervising attorney for Winston & Strawn.  Sarah Trum, Esq.,
associate, will be the bankruptcy attorney providing most of the
services on behalf of Winston & Strawn in assisting Jager Smith,
which will be acting as lead counsel on most matters.

The hourly rates of Winston & Strawn are:

           Partners               $580 to $1,130
           Associates             $350 to $600
           Legal Assistants       $150 to $335

To the best of the Committee's knowledge, Winston & Strawn is a
"disinterested person" as that term is defined under Section
101(14) of the Bankruptcy Code.

An Oct. 3 hearing has been set on the Committee's proposed
retention of Winston & Strawn.

                      About Omega Navigation

Athens, Greece-based Omega Navigation Enterprises Inc. and
affiliates, owner and operator of tankers carrying refined
petroleum products, filed for Chapter 11 protection (Bankr. S.D.
Tex. Lead Case No. 11-35926) on July 8, 2011, in Houston.

Omega is an international provider of marine transportation
services focusing on seaborne transportation of refined petroleum
products.  The Debtors disclosed assets of US$527.6 million and
debt totaling US$359.5 million.  Together, the Debtors wholly own
a fleet of eight high-specification product tankers, with each
vessel owned by a separate debtor entity.

Judge Karen K. Brown presides over the case.  Bracewell &
Giuliani LLP serves as counsel to the Debtors.  Jefferies &
Company, Inc., is the financial advisor and investment banker.

The Official Committee of Unsecured Creditors has tapped Winston
& Strawn as local counsel; Jager Smith as lead counsel; and First
International as financial advisor.


* GREECE: Should Default on Debt, Slovak Lawmaker Says
------------------------------------------------------
Radoslav Tomek at Bloomberg News reports that Greece should
default on its debt and abandon the euro as further loans won't
solve its crisis, a Slovak lawmaker said whose vote in parliament
may decide whether the country backs a bailout package for the
currency area.

According to Bloomberg, founder and parliamentary speaker Richard
Sulik said in an interview that the Freedom and Solidarity party,
a member of Slovakia's coalition government, will vote in
parliament against the European bailout system.  Bloomberg says
Mr. Sulik's party, known as the SaS, wants member states to "keep
to the rules" guiding the euro and "start saving money."

"The first step is, Greece has to go bankrupt," Bloomberg quotes
Mr. Sulik as saying at his office in the Slovak parliament in
Bratislava.  "There is no possibility that Greece -- not now, not
in the future, not in 50 years --will pay back the loans.  My
personal opinion is it would be better for Greece to leave the
eurozone," Mr. Sulik stated.

Greece is seeking this month to win a sixth tranche of loans
under last year's EUR110 billion (US$150 billion) aid package
from the euro region and International Monetary Fund and to avoid
a default, Bloomberg discloses.  Prime Minister George
Papandreou's government also wants to benefit from a planned
second aid package of EUR159 billion approved by euro-area
leaders on July 21, Bloomberg notes.

The European Commission and the European Central Bank have urged
member countries to speed up adoption of the second package,
which includes bolstering the size of the bailout fund and
boosting its powers to provide direct loans to distressed
countries and buy their bonds, Bloomberg states.  Failure to
ratify the agreement in Slovakia would force countries to come up
with a different plan to deal with spreading of the crisis,
according to Bloomberg.

"We will vote against the bad solution," Mr. Sulik, as cited by
Bloomberg, said.  "I'm sorry if we cause some problems for
Europe."


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


ANGLO IRISH: Regulator to Hold Disciplinary Hearing vs. E&Y
-----------------------------------------------------------
Adam Jones and Jamie Smyth at The Financial Times report that
Ernst & Young faces a fresh threat to its reputation after an
Irish accounting regulator said it would hold a disciplinary
hearing to examine E&Y's auditing of Anglo Irish Bank, a lender
that had to be rescued by the Irish government in 2009.

Already contesting a U.S. lawsuit over its vetting of Lehman
Brothers' accounts, E&Y's handling of the Anglo Irish audit has
been challenged in three key areas by a special investigator
hired by the Chartered Accountants Regulatory Board, the FT
discloses.

According to the FT, the Irish arm of E&Y on Wednesday said it
would defend itself vigorously, saying it "fundamentally
disagrees" with the decision to initiate a formal disciplinary
process.

"This is a preliminary stage of the process and, for the
avoidance of doubt, there has been no adverse finding made
against Ernst & Young in respect of the audit of Anglo Irish
Bank," the E&Y quotes the FT as saying.

The move by the CARB, the regulatory arm of the Chartered
Accountants Ireland professional body, follows a report by John
Purcell, a former Irish comptroller and auditor-general, who said
there appeared to be a disciplinary case for E&Y to answer in
three areas of financial disclosure, the FT relates.

The first concerned loans worth tens of millions of euros
extended by the bank to its former chairman, Sean FitzPatrick,
the FT states.

Mr. Purcell also questioned the way the auditor dealt with
transactions between Anglo Irish and Irish Life & Permanent, a
rival, during the 2008 banking crisis, the FT notes.

Mr. Purcell also said there was a case for E&Y to answer over a
loan made by the bank to William McAteer, a former Anglo Irish
director, the FT notes.  However, he decided there was no case to
answer on four other points, according to the FT.

E&Y said it did not instigate or encourage the actions
highlighted by Mr. Purcell, adding that it was aiding continuing
criminal investigations, the FT relates.

The CARB has not yet set a date for the disciplinary hearing, the
FT says.

                     Irish Nationwide Merger

As reported by the Troubled Company Reporter-Europe on July 1,
2011, BreakingNews.ie related that The European Commission
cleared a bailout plan for Anglo Irish Bank and the Irish
Nationwide Building Society.  BreakingNews.ie disclosed that the
proposal, which was submitted for approval in January, provides
for the merger of the two troubled institutions and their winding
down over the next 10 years.  Anglo Irish and Irish Nationwide
jointly received EUR34.7 billion in capital injections from the
State to cover losses on property loans, BreakingNews.ie noted.

Anglo Irish Bank Corp PLC -- http://www.angloirishbank.com/--
operates in three core areas: business lending, treasury and
private banking.  The Bank's non-retail business is made up of
more than 11,000 commercial depositors spanning commercial
entities, charities, public sector bodies, pension funds, credit
unions and other non-bank financial institutions.  The Company's
retail deposits comprise demand, notice and fixed term deposit
accounts from personal savers with maturities of up to two years.
Non-retail deposits are sourced from commercial entities,
charities, public sector bodies, pension funds, credit unions and
other non-bank financial institutions.  In addition, at Sept. 30,
2008, its non-retail deposits included deposits from Irish
Life Assurance plc.  The Private Bank offers tailored products
and solutions for high net worth clients and operates the Bank's
lending business in Ireland and the United Kingdom.


EIRCOM GROUP: Senior Lenders Support Three-Month Covenant Waiver
----------------------------------------------------------------
Ciaran Hancock at The Irish Times reports that Eircom Group's
senior lenders have agreed to a three-month waiver of the
covenants relating to EUR2.7 billion worth of debt owed to them
by the company.

According to The Irish Times, the waiver prevents a debt default
by Eircom and allows the Irish telecoms group the breathing space
to restructure its loans.

Eircom has been negotiating with a coordinating committee of
first-lien lenders on this matter since early July, The Irish
Times notes.

Second lien lenders were also eligible to vote on the waiver, The
Irish Times states.  It is understood that about 200 banks and
bondholders were involved in the vote, The Irish Times discloses.

Eircom had previously indicated that it was likely to breach its
covenants by the end of August, The Irish Times recounts.

In return for the waiver, Eircom will pay 50 basis points on the
debt owed to the lenders, The Irish Times states.  This however
will only apply to the lenders who have consented to the waiver,
according to The Irish Times.

Approval from two-thirds of lenders was required for the waiver
to be approved, The Irish Times discloses.

It was not clear on Wednesday night how many of the lenders had
given the green light to the waiver, The Irish Times notes.
Eircom's maximum exposure will be EUR13.5 million, The Irish
Times says.

Headquartered in Dublin, Ireland, Eircom Group --
http://www.eircom.ie/-- is an Irish telecommunications company,
and former state-owned incumbent.  It is currently the largest
telecommunications operator in the Republic of Ireland and
operates primarily on the island of Ireland, with a point of
presence in Great Britain.


IRISH POST: Two Sealed Offers for Newspaper Lodged
--------------------------------------------------
Mark Hennessy at The Irish Times reports that two sealed bids
have been lodged for the Irish Post newspaper while a third
investor is expressing interest.

As reported in the Troubled Company Reporter-Europe on Aug. 22,
2011, The Irish Times said the biggest selling Irish community
newspaper in Britain, the Irish Post, went into liquidation.
Berkshire-based FPM Accountants has been appointed liquidator to
the newspaper by owner Thomas Crosbie Holdings (TCH).

The Irish Times relates that a creditors meeting in London was
told that most of the money owed by the London-based newspaper,
which has served the Irish in Britain for 40 years, is owed to
TCH.

Fourteen days have been given to those interested in the title,
the report says.

According to the report, the decision to close the Irish Post in
August with no notice angered many in the Irish community in
Britain, who believe TCH should have approached possible buyers
before stopping publication.

Seventy MPs in the House of Commons have signed a motion
expressing concern about the newspaper, saying it played a key
role in representing the opinions of the Irish community in
Britain, The Irish Times relates.

The report notes that former staff of the Irish Post disagree
with circulation figures given by TCH, which says it was selling
17,000 copies.  Staff insist sales were 3,000 higher and that the
potential for extra sales exists because of the rise in
emigration, The Irish Times adds.

Those interested in saving the paper can express their interest
to savetheirishpost@hotmail.co.uk, The Irish Times relates.

Established in 1970 by Clare-born journalist Breandan Mac Lua and
accountant Tony Beatty, the Irish Post employs 10 full-time
employees.


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


* ITALY: Corporate Bankruptcies Up 13.1% in 2011 Second Quarter
---------------------------------------------------------------
According to SeeNews, a report by market research specialist
Cerved group released on Tuesday showed that the number of
companies in Italy which went bankrupt in the second quarter of
2011 rose by 13.1% on the year to some 3,400.

Cerved said that failures increased by 8.8% in seasonally
adjusted terms compared with the previous three months, which
represents a trend reversal following two consecutive quarters of
decline in corporate bankruptcies, SeeNews relates.

A total 6,400 businesses went bankrupt in the first half of 2011,
up 10.3% year-on-year, SeeNews recounts.  Some 44% of these
companies had less than EUR2 million (US$2.7 million) in assets
each, SeeNews notes.

In the first half of 2011, the biggest jump in the number of
bankruptcies, by 11.1% on the year, was registered in the center-
south region of Italy, followed by the north-west with a 10.3%
increase and the north-east, with an 8.7% rise in bankruptcies,
SeeNews states.


===================
K A Z A K H S T A N
===================


TSESNA BANK: Moody's Withdraws 'Caa1' Debt & Deposit Ratings
------------------------------------------------------------
Moody's Investors Service has withdrawn these ratings of Tsesna
Bank:

  -- Long-term local and foreign currency debt and deposit
     ratings of Caa1;

  -- Short-term local and foreign currency ratings of Not Prime;
     and

  -- Bank financial strength rating (BFSR) of E.

All ratings carried a stable outlook at the time of withdrawal.

Ratings Rationale

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

Moody's notes that, as of the date of the ratings withdrawal,
Tsesna Bank had no outstanding debt rated by Moody's.

Based in Astana, Kazakhstan, Tsesna Bank reported IFRS total
assets of US$1.5 billion at year end 2010 and net profit of
US$4.7 million for 2010.


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


MARCO POLO: Court Approves Blank Rome as Committee's Attorney
-------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
authorized the Official Committee of Unsecured Creditors of Marco
Polo Seatrade B.V. and its debtor-affiliates to retain Blank Rome
LLP as its attorney to provide legal services and advice as may
be necessary for the orderly conduct of the Chapter 11 case.

The firm's professionals will charge the Debtors' estates at
these rates:

      Partners and Counsel          US$400-US$815
      Associates                    US$225-US$500
      Legal Assistants              US$105-US$290

The Committee assured the Court that the firm is a "disinterested
person" within the meaning of Section 101(14) of the Bankruptcy
Code.

                         About Marco Polo

Marco Polo Seatrade B.V. operates an international commercial
vessel management company that specializes in providing
commercial and technical vessel management services to third
parties.  Founded in 2005, the Company mainly operates under the
name of Seaarland Shipping Management and maintains corporate
headquarters in Amsterdam, the Netherlands.  The primary assets
consist of six tankers that are regularly employed in
international trade, and call upon ports worldwide.

Marco Polo and three affiliated entities filed for Chapter 11
protection (Bankr. S.D.N.Y. Lead Case No. 11-13634) on July 29,
2011.  The other affiliates are Seaarland Shipping Management
B.V.; Magellano Marine C.V.; and Cargoship Maritime B.V.

Marco Polo is the sole owner of Seaarland, which in turn is the
sole owner of Cargoship, and also holds a 5% stake in Magellano.
The remaining 95% stake in Magellano is owned by Amsterdam-based
Poule B.V., while another Amsterdam company, Falm International
Holding B.V. is the sole owner of Marco Polo.  Falm and Poule
didn't file bankruptcy petitions.

The filings were prompted after lender Credit Agricole Corporate
& Investment Bank seized one ship on July 21, 2011, and was on
the cusp of seizing two more on July 29.  The arrest of the
vessel was authorized by the U.K. Admiralty Court.  Credit
Agricole also attached a bank account with almost US$1.8 million
on July 29.  The Chapter 11 filing precluded the seizure of the
two other vessels.

Evan D. Flaschen, Esq., Robert G. Burns, Esq., and Andrew J.
Schoulder, Esq., at Bracewell & Giuliani LLP, serve as bankruptcy
counsel.  The cases are before Judge James M. Peck.

The petition noted that the Debtors' assets and debt are both
more than US$100 million and less than US$500 million.


MARCO POLO: Lender Wants Seaarland Case Tossed for No U.S. Ties
---------------------------------------------------------------
Dow Jones' DBR Small Cap reports that lender Royal Bank of
Scotland PLC is escalating its protests in Marco Polo Seatrade
BV's bankruptcy case, this time insisting that the Dutch ship
owner's proceedings should be thrown out entirely.

Bill Rochelle, the bankruptcy columnist for Bloomberg News,
reports that Seaarland Shipping Management will give a U.S.
bankruptcy judge an opportunity to decide whether a company with
few, if any, ties to the U.S. can file for bankruptcy
reorganization to stop foreclosure by foreign creditors.

According to the report, Amsterdam-based Seaarland sought Chapter
11 protection in New York in July to preclude secured lender
Credit Agricole Corporate & Investment Bank from seizing two more
of its six vessels.  The French bank had seized one vessel and
was on the cusp of arresting the other two.  The bank is agent
for lenders owed $89.7 million secured by the three vessels.

Mr. Rochelle relates that although Credit Agricole already called
the U.S. bankruptcy filing a "sham," Royal Bank of Scotland drew
first blood on the issue by filing papers this week asking U.S.
Bankruptcy Judge James M. Peck to dismiss the bankruptcy.
Edinburgh-based RBS alleges that Seaarland has no officers or
employees in the U.S.  The assets sail the high seas; the loans
are governed by foreign law; the main creditors are foreign, and
the creditors' committee is populated with "foreign entities,"
RBS said in court papers.

RBS contends that allowing a U.S. bankruptcy would defeat the
bank's "legitimate commercial expectation that RBS would not be
hauled into a U.S. Bankruptcy Court."

The dispute is scheduled for a hearing in Judge Peck's courtroom
on Oct. 3.

                         About Marco Polo

Marco Polo Seatrade B.V. operates an international commercial
vessel management company that specializes in providing
commercial and technical vessel management services to third
parties.  Founded in 2005, the Company mainly operates under the
name of Seaarland Shipping Management and maintains corporate
headquarters in Amsterdam, the Netherlands.  The primary assets
consist of six tankers that are regularly employed in
international trade, and call upon ports worldwide.

Marco Polo and three affiliated entities filed for Chapter 11
protection (Bankr. S.D.N.Y. Lead Case No. 11-13634) on July 29,
2011.  The other affiliates are Seaarland Shipping Management
B.V.; Magellano Marine C.V.; and Cargoship Maritime B.V.

Marco Polo is the sole owner of Seaarland, which in turn is the
sole owner of Cargoship, and also holds a 5% stake in Magellano.
The remaining 95% stake in Magellano is owned by Amsterdam-based
Poule B.V., while another Amsterdam company, Falm International
Holding B.V. is the sole owner of Marco Polo.  Falm and Poule
didn't file bankruptcy petitions.

The filings were prompted after lender Credit Agricole Corporate
& Investment Bank seized one ship on July 21, 2011, and was on
the cusp of seizing two more on July 29.  The arrest of the
vessel was authorized by the U.K. Admiralty Court.  Credit
Agricole also attached a bank account with almost US$1.8 million
on July 29.  The Chapter 11 filing precluded the seizure of the
two other vessels.

Evan D. Flaschen, Esq., Robert G. Burns, Esq., and Andrew J.
Schoulder, Esq., at Bracewell & Giuliani LLP, serve as bankruptcy
counsel.  The cases are before Judge James M. Peck.

The petition noted that the Debtors' assets and debt are both
more than US$100 million and less than US$500 million.


MARCO POLO: Can Use RBS and Credit Agricole Cash Collateral
-----------------------------------------------------------
Judge James Peck of the U.S. Bankruptcy Court for the Southern
District of New York granted Marco Polo Seatrade B.V. authority
to use the cash collateral of Royal Bank of Scotland, PLC, and
Credit Agricole Corporate and Investment Bank.

The Court overruled all objections to the cash collateral motion.

The Debtors are authorized to use the RBS Cash Collateral, which
will be paid from the respective RBS vessel accounts numbered
00362585, 00384570, and 00362615 in accordance with a budget.
The Debtors are allowed a 15% per line item allowance for
variance and the Debtors may carry over any unused portion of a
line item to successive weeks.

The Senior Lenders are granted the following adequate protection:

    (a) Adequate Protection Liens: The Senior Lenders are granted
        additional and replacement security interests and liens
        in and upon all of the Debtors' cash, and cash collateral
        of the Senior Lenders; provided that the Adequate
        Protection Liens will only be granted to the extent that
        Senior Lenders would have been entitled to a security
        interest or right of setoff in the Cash Collateral under
        the RBS Credit Agreement or applicable law.

    (b) 507(b) Claims: RBS and the RBS Lenders are  granted an
        allowed superpriority administrative expense claim
        pursuant to Section 507(b) of the Bankruptcy Code in each
        of the applicable Chapter 11 Cases.

The Debtors' right to use the Cash Collateral arising under the
RBS Credit Agreement will terminate on the occurrence of:

     i. the effective date of any plan of reorganization with
        respect to any Debtor;

    ii. the date of conversion of any Chapter 11 Case to a case
        under Chapter 7 of the Bankruptcy Code;

   iii. the date of dismissal of the Chapter 11 Case of any
        Debtor;

    iv. the date of any termination of the exclusivity period for
        any Debtor; or

     v. the date of any appointment of a Chapter 11 trustee or
        other disinterested person with expanded powers pursuant
        to Bankruptcy Code Section  1104(c).

                          About Marco Polo

Marco Polo Seatrade B.V. operates an international commercial
vessel management company that specializes in providing
commercial and technical vessel management services to third
parties.  Founded in 2005, the Company mainly operates under the
name of Seaarland Shipping Management and maintains corporate
headquarters in Amsterdam, the Netherlands.  The primary assets
consist of six tankers that are regularly employed in
international trade, and call upon ports worldwide.

Marco Polo and three affiliated entities filed for Chapter 11
protection (Bankr. S.D.N.Y. Lead Case No. 11-13634) on July 29,
2011.  The other affiliates are Seaarland Shipping Management
B.V.; Magellano Marine C.V.; and Cargoship Maritime B.V.

Marco Polo is the sole owner of Seaarland, which in turn is the
sole owner of Cargoship, and also holds a 5% stake in Magellano.
The remaining 95% stake in Magellano is owned by Amsterdam-based
Poule B.V., while another Amsterdam company, Falm International
Holding B.V. is the sole owner of Marco Polo.  Falm and Poule
didn't file bankruptcy petitions.

The filings were prompted after lender Credit Agricole Corporate
& Investment Bank seized one ship on July 21, 2011, and was on
the cusp of seizing two more on July 29.  The arrest of the
vessel was authorized by the U.K. Admiralty Court.  Credit
Agricole also attached a bank account with almost US$1.8 million
on July 29.  The Chapter 11 filing precluded the seizure of the
two other vessels.

Evan D. Flaschen, Esq., Robert G. Burns, Esq., and Andrew J.
Schoulder, Esq., at Bracewell & Giuliani LLP, serve as bankruptcy
counsel.  The cases are before Judge James M. Peck.

The petition noted that the Debtors' assets and debt are both
more than US$100 million and less than US$500 million.


MESDAG CHARLIE: S&P Lowers Rating on Class E Notes to 'D'
---------------------------------------------------------
Standard & Poor's Ratings Services lowered its credit ratings on
MESDAG (Charlie) B.V.'s class C, D, and E notes.

"Our rating actions follow an interest shortfall on the class E
notes and our expectation of principal losses on the TOR loan--
the largest in the pool," S&P related.

                             Class E Notes

In April 2011, Hatfield Philips International Ltd., the special
servicer, accepted a discounted purchase offer on the Schiphol
loan. This resulted in NIBC Bank N.V., the cash manager, debiting
the class E notes principal deficiency ledger (PDL) by EUR2.1
million to reflect the loss on the loan. On the July interest
payment date, the cash manager calculated interest payable under
the class E notes by reference to its balance reduced by the
principal loss referenced in the PDL, rather than to its current
outstanding balance.

"Because noteholders did not receive interest on the full amount
of the class E notes, we consider that an interest shortfall has
occurred. Therefore, we have lowered our rating on this class of
notes to 'D (sf)'," S&P said.

                        Class C and D Notes

The special servicer has indicated that it has received bids on
the TOR loan portfolio, which it began to market for sale due to
the mandatory prepayment obligation triggered by a loan-to-value
ratio covenant breach (see "Ratings Lowered On CMBS Transaction
MESDAG (Charlie)'s Class B, C, D, And E Notes; Affirmed On Class
A And X Notes," published May 19, 2011). "Therefore, we believe
that the anticipated principal losses could crystallize in the
near term. Moreover, the loan is scheduled to mature in September
2013 and any repayment before that date would likely trigger
swap-breakage costs, which rank senior to noteholders in the
priority of payments. We further note that, as per the servicing
agreement, there would be a 1% liquidation fee payable to the
special servicer upon sale of the portfolio," S&P related.

"Considering our valuation of the assets, together with swap-
breakage costs and the liquidation fee, our analysis indicates
that the portfolio backing the TOR loan will not yield enough
proceeds to fully repay this loan. Accordingly, we have lowered
our ratings on the class C and D notes to 'BB (sf)' and 'B-
(sf)' to reflect our view on the reduced likelihood of full
principal recovery," S&P said.

MESDAG (Charlie) is a European commercial mortgage-backed
securities (CMBS) transaction that closed in April 2007. It is
currently backed by seven loans, down from nine at closing,
secured against residential and mixed-use commercial properties
in Germany and The Netherlands. The legal final maturity of the
notes is in January 2019.

Ratings List

MESDAG (Charlie) B.V.
EUR493.65 Million Commercial Mortgage-Backed Variable- and
Floating-Rate Notes

Class            Rating
            To            From

Ratings Lowered

C           BB (sf)       BB+ (sf)
D           B- (sf)       B (sf)
E           D (sf)        CCC- (sf)

Ratings Unaffected

A           A (sf)
B           A (sf)


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


CAJASTUR: Moody's Withdraws 'D-' Bank Finc'l Strength Rating
----------------------------------------------------------------
Moody's Investors Service has assigned long and short-term debt
and deposit ratings of Baa1/Prime-2 and a standalone bank
financial strength rating of C- (mapping to Baa2 on the long-term
scale) to the new entity Liberbank. This follows the transfer to
Liberbank (effective as of August 11, 2011) of the financial
businesses of three savings banks:

  (i) Caja de Ahorros de Asturias (Cajastur, Baa2, P-2 on review
      for downgrade/D+)

(ii) Caja de Ahorros de Santander y Cantabria (Caja Cantabria,
      Baa2, P-2 on review for downgrade/D-)

(iii) Caja de Ahorros y Monte de Piedad de Extremadura (Caja
      Extremadura, unrated)

Moody's rates Liberbank's dated subordinated debt Baa2, the
preference shares Ba3 (hyb) and the government-guaranteed debt at
Aa2. The outlook on all the ratings is negative.

At the same time, following the transfer, Moody's has withdrawn
Cajastur and Caja Cantabria's standalone BFSRs, long-term and
short-term deposit ratings and long-term issuer ratings.

DETAILS OF THE TRANSACTION

On June 29 and 30, the three savings banks approved the transfer
of all of their assets and liabilities to Liberbank, a newly
constituted commercial bank -- with the exception of the social
welfare projects. Liberbank's creation was part of the savings
banks' recapitalization plan, which involved the transfer of
their financial business to a commercial bank. This is a
precondition for savings banks -- if they expect to receive
public funds in the form of capital or raise capital from
investors -- as these institutions do not have share capital.

The segregation of all assets and liabilities from the savings
banks to Liberbank took place on August 11. Following the
transfer, the savings banks' role is to manage their social
welfare projects financed through dividends paid by Liberbank.
Subsequently, all of the debt obligations of the savings banks
have been assumed by Liberbank. All of the other ratings of
Cajastur and Caja Cantabria have been withdrawn.

RATINGS RATIONALE

ASSIGNMENT OF BFSR AND DEPOSIT RATINGS

The C- standalone BFSR -- which maps to Baa2 on the long-term
scale -- reflects (i) Liberbank's well established franchise in
its core markets (the regions of Asturias, Extremadura, Cantabria
and Castilla La Mancha); (ii) adequate capital levels, with a
core capital ratio of 9.35% (according to the RD 2/2011) at end-
June 2011, which will be reinforced to 10% before end-September
2011 as part of the entity's recapitalization plan; (iii) a solid
liquidity position, with modest refinancing requirements over the
next 12 months, and; (iv) adequate risk positioning, albeit with
a high degree of credit-risk concentrations by borrower and
sector. The BFSR of Liberbank also reflects the credit strength
of Cajastur, which is the major shareholder of the bank with 66%
of the capital. Moody's had always rated highly Cajastur but for
the acquisition of Caja Castilla La Mancha (CCM; unrated) and the
potential integration into Banco Base. Given the good progress on
the integration of CCM and the failed integration into Banco Base
(for further details please see "Debt ratings of CAM, Cajastur
and Caja Cantabria under pressure following the break of Banco
Base" published on April 1, 2011), the positive fundamentals of
Cajastur come to the fore again and are a key driver of
Liberbank's overall credit profile.

The BFSR also takes into consideration Liberbank's weakening
asset-quality indicators, which despite comparing favorably with
the system average -- the bank reported a problem loan ratio of
5.3% at end June 2011 vs. 6.42% for the banking system as a whole
-- they remain challenged by Spain's weak economic outlook and
the uncertainties within the real-estate sector. Furthermore,
Moody's expects that the very difficult domestic operating
environment will continue to subdue growth and exert downward
margin pressures arising from the increased level of non-earning
assets and higher funding costs. This is likely to limit internal
capital generation from recurrent sources. Overall, the BFSR
incorporates the resilience of Liberbank's credit profile to
Moody's base case scenario, although it may not be entirely
resilient to a stress scenario.

Moody's has assigned a negative outlook to Liberbank's standalone
BFSR, consistent with the negative outlook on the Spanish banking
system, taking into account the very weak economic environment,
ongoing asset quality challenges and the negative outlook on
profitability, all of which continue to provide a challenging
backdrop for the bank's operations and place a negative bias on
the assigned ratings.

Liberbank's senior debt and deposit ratings of Baa1 incorporate
Moody's assumption of a moderate probability of systemic support
for the bank, resulting in a one-notch uplift from its standalone
credit strength. The outlook on the senior debt and deposit
ratings is negative, reflecting the current review for possible
downgrade of the Kingdom of Spain's Aa2 bond rating and the
negative outlook on Liberbank's standalone BFSR.

METHODOLOGIES USED

The methodologies used in this rating were Bank Financial
Strength Ratings: Global Methodology published in February 2007,
Incorporation of Joint-Default Analysis into Moody's Bank
Ratings: A Refined Methodology published in March 2007, and
Moody's Guidelines for Rating Bank Hybrid Securities and
Subordinated Debt published in November 2009.

Headquartered in Madrid, Spain, Liberbank had total assets of
EUR52.3 billion as of end-June 2011.


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


SAAB AUTOMOBILE: Court Decision on Appeal Expected in Few Days
--------------------------------------------------------------
Simon Johnson at Reuters reports that a Swedish court said on
Wednesday it would decide in the next few days whether to allow
Saab Automobile to appeal a ruling denying it protection from
creditors, with Saab almost certain to slide into bankruptcy if
its case is rejected.

"The case will be dealt with as a priority and a decision in the
question of the right to appeal will probably be announced in a
few days," Reuters quotes the Court of Appeal for western Sweden
as saying in a statement.

Saab wants creditor protection to give it time until a promised
investment of EUR245 million from car firms Pangda Automobile
Trade Co. Ltd. and Zhejiang Youngman Lotus Automobile gets the
nod from Chinese authorities, Reuters notes.

According to Reuters, Saab said it expects the approval to come
in November, but some analysts are skeptical about whether
China's authorities will go along with the plan and about whether
the money would be enough to pay off suppliers and workers and
get production restarted even if they do.

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


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


NYCOMED SCA: S&P Keeps 'B+' Corp. Credit Rating on Watch Positive
-----------------------------------------------------------------
Standard & Poor's Ratings Services is keeping its 'B+' long-term
corporate credit rating on Switzerland-headquartered
pharmaceuticals group Nycomed S.C.A. SICAR on CreditWatch
positive, where it was placed on May 20, 2011.

The ongoing CreditWatch status continues to reflect the
acquisition of Nycomed A/S by Takeda Pharmaceutical Co. Ltd.
(Takeda; AA/Watch Neg/A-1+) for EUR9.6 billion. "In addition, the
CreditWatch status now reflects our understanding that on the
closure of the acquisition, Nycomed will repay its outstanding
senior secured debt of about EUR4 billion in full using the
proceeds from the disposal of Nycomed A/S. This will leave a much
smaller but debt-free company," S&P stated.

"As a result of the acquisition, Nycomed's operations will be
significantly reduced, initially being limited to the operations
of U.S. dermatology business Nycomed U.S. Consequently, we will
likely assess Nycomed's business risk profile as weak, reflecting
its sole focus on dermatologic therapeutics and its position as a
small player in the fragmented global dermatology market, where
it will compete with larger players such as GlaxoSmithKline PLC
(A+/Stable/A-1), through Steifel Laboratories, and Warner
Chilcott Corp. (BB/Stable/--). In our view, these negative
factors are mitigated by Nycomed's position as the largest
manufacturer of topical pharmaceuticals in the U.S., its
reasonable degree of product diversification, a lack of near-term
patent expiries, and healthy margin percentages in the mid-20s,"
S&P related.

"The rating on Nycomed continues to reflect our view of the
company's aggressive financial risk profile, with a track record
of using debt as the primary source of financing acquisitions.
However, after the closing of the Takeda transaction, Nycomed's
financial risk profile would initially reflect a debt-free
balance sheet. Nevertheless, we will seek to clarify the
company's financial policy, specifically its acquisition plans,
after the transaction. We believe that there is potential for the
company's financial risk profile to improve to what we classify
as significant if it adopts a more conservative approach to
leverage in its capital structure," S&P stated.

"In our view, Nycomed's debt protection metrics could improve
significantly following the repayment of its outstanding debt
with the proceeds from the disposal of Nycomed A/S. However, this
will depend on the direction of Nycomed's financial policy and
new capital structure," S&P related.

"We aim to review the CreditWatch placement within three months
of the closure of the acquisition by Takeda, and after we have
confirmed management's financial policy," S&P said.


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


CREST NICHOLSON: Has Financial Restructuring Deal with Varde
------------------------------------------------------------
Gill Plimmer at The Financial Times reports that Crest Nicholson
has agreed a financial restructuring that will give an American
hedge fund majority control of the group.

Varde, a distressed debt specialist based in Minneapolis, will
acquire 60% of the equity following the conversion of Crest's
GBP500 million (US$789 million) debt into shares, the FT
discloses.  The remaining 40% will be shared by the management
and a consortium of banks including New Amsterdam Capital
Partners, Landesbank, Deutsche, KBC and Natixis, the FT says.
The deal, the FT says, leaves Crest with GBP100 million cash and
a four-year credit facility of GBP150 million.

On Wednesday, Crest appointed a new chairman: William Rucker,
chief executive of Lazard, chairman of Quintain and a non-
executive director at Rentokil, will replace Alan Goldman, who
joined in March 2009 to arrange restructuring, the FT relates.

Crest Nicholson -- http://www.crestnicholson.com/-- is a
residential development company with property interests primarily
in central and southern England.  The firm focuses on developing
sustainable master-planned communities and mixed-use
developments, along with urban regeneration and commercial
property developments.


EUROCASTLE CDO: Fitch Says Notes Repurchase Has No Ratings Impact
-----------------------------------------------------------------
Fitch Ratings says that the recent partial repurchase of
Eurocastle CDO II and Eurocastle CDO III's class A1 notes will
not in itself impact the ratings of the notes.

As per Condition 7 (h) of the Eurocastle CDO II and Eurocastle
CDO III's prospectuses, the issuer may at any time, at the
direction of the portfolio manager, purchase senior or mezzanine
notes in the open market or in privately negotiated transactions,
at a price not exceeding the notes' par value.  Under the
buyback, the repurchase of GBP3.6 million of Eurocastle CDO II's
class A1 notes and EUR12.8 million of Eurocastle CDO III's class
A1 notes will be undertaken at a discounted purchase price.  The
repurchased notes will subsequently be cancelled, thereby
marginally increasing the available credit enhancement to all
rated notes.  The repurchase will be funded using cash available
in the principal collection account.

The senior and mezzanine par value tests are currently breaching
their limits.  Fitch notes that all par value ratios will improve
slightly as a result of the repurchase.  Consequently, the amount
of interest required to be diverted on future payment dates to
the senior notes to cure the par value tests may be reduced.

The notes are rated as follows:

Eurocastle CDO II

-- GBP174,763,555 class A1: 'CCCsf'
-- GBP33,000,000 class A2: 'CCsf'
-- GBP28,500,000 class B: 'Csf'
-- GBP9,409,024 class C: 'Csf'
-- GBP10,283,469 class D: 'Csf'
-- GBP3,272,000 class E: 'Csf'

Eurocastle CDO III

-- EUR480,671,618 class A1: 'Bsf'; Outlook Negative
-- EUR82,500,000 class A2: 'CCCsf'
-- EUR63,750,000 class B: 'CCsf'
-- EUR23,353,163 class C: 'CCsf'
-- EUR19,677,460 class D: 'Csf'
-- EUR6,156,694 class E: 'Csf'


INDUS PLC: S&P Downgrades Rating on Class E Notes to 'CCC (sf)'
---------------------------------------------------------------
Standard & Poor's Ratings Services lowered its credit ratings on
Indus (ECLIPSE 2007-1) PLC's class D and E notes. "At the same
time, we affirmed our ratings on the class A, B, C, and X notes,"
S&P related.

"The rating actions follow our review of the loan portfolio and
our expectations of a near-term repayment of the Adelphi loan,
currently the largest loan in the pool," S&P said.

"Whereas we have observed a gradual deterioration in the credit
quality of most of the loans in the Indus pool and would
therefore expect to see a downward adjustment of our ratings, we
believe this trend will be largely offset by the repayment of the
Adelphi loan. This is because Adelphi accounts for 27% of the
loan pool and we expect the proceeds to be applied to the notes
sequentially, thereby repaying the class A notes by one-third,"
S&P said.

This would, in turn, increase the credit enhancement for the
class A notes to 28.6% from 20.8%, for the class B notes to 20.3%
from 14.7%, and for the class C notes to 11.0% from 8.0%.

"Although this is a positive change, particularly for the most
senior classes of notes, we believe that increased credit
enhancement will be required to support the current ratings,
given our loss expectations on the other loans. Conversely, if
the loan is not repaid as we expect, we may revise our ratings on
the class A, B, C, and X notes," S&P stated.

According to reports in the press, financial services firm
Perella Weinberg is in advanced talks to buy the building
securing the Adelphi loan for more than GBP285 million. This
would be sufficient to repay the principal balance of the loan
and the associated hedge break costs. (The loan is hedged against
interest rate risk using an interest rate swap that expires in
October 2016. If the loan repays before that date, the borrower
will be required to pay a break fee to the swap counterparty.)

Barclays Capital Mortgage Servicing Ltd. -- the special servicer
-- has announced that it is confident that the securitized loan
will be repaid in full on or before the loan maturity date.

Of the other loans, three are in default and five in special
servicing. The three defaulted loans are the Greater London
Portfolio loan (12.4% of the pool balance after repayment of
Adelphi), the Gullwing loan (2.3% of the pool balance after
repayment of Adelphi), and the Apex loan (0.8% of the pool
balance after repayment of Adelphi). The three defaulted loans
are in special servicing together with the Agora Max loan (6.3%)
and the Workspace Portfolio loan (4.7%).

"Based on our analysis and our views on the property values
securing these five loans, we believe that the borrowers under
all five of the loans mentioned above will likely fail to repay
their loans in full. Our analysis also suggests that the
Amsterdam Place loan (0.9%) may not be repaid in full at its
scheduled maturity date in October 2014," S&P related.

"Our rating actions on the class D and E notes are primarily due
to the recent developments regarding the Agora Max loan, which
failed to meet its maturity obligations in March 2011. This loan
was initially backed by three shopping centers, of which the
borrower sold one (the Pallasades shopping center in Birmingham).
Pallasades was sold below the allocated loan amount following a
compulsory purchase order by the city of Birmingham. A new
valuation was provided for the other two assets -- The Grange and
the Pyramids Shopping Centre in Birkenhead -- resulting in a
senior loan-to-value (LTV) ratio of 122%, which is above the
covenant of 70%," S&P stated.

The security agent for the Agora Max loan issued a preservation-
of-rights letter following the breach of the LTV ratio covenant,
and the special servicer now retains all surplus cash after
interest payments on the senior loan. In accordance with the
intercreditor agreement, the junior lender received no interest
payments since the loan defaulted.

The issuer holds a one-third participation in the Agora Max loan,
and the other portions rank pari passu. When the loan failed to
repay at the maturity date, the co-senior lenders entered into a
standstill agreement with the special servicer while they are
working on a sale strategy. "If the properties are sold, we
believe that the issuer would suffer a loss that would affect the
class E notes. If the loss from the loan exceeded 28% of the loan
balance, it could also affect the class D notes, but we believe
this is unlikely," S&P related.

"Nonetheless, together with the expected losses from the other
loans mentioned above, we believe there is a high likelihood that
the issuer will fail to repay the class D and E notes in full,
and we have therefore lowered our ratings on these two classes to
'B- (sf)' and 'CCC (sf)'," S&P noted.

Indus (ECLIPSE 2007-1) is a U.K. commercial mortgage-backed
securities (CMBS) transaction initially backed by 19 loans. Two
loans have repaid in full and the note balance has amortized by
13%. Most of the remaining loans mature over the next three
years; only one loan matures in 2017. The legal final maturity
date is in January 2020.

Ratings List

Indus (ECLIPSE 2007-1) PLC
GBP894.53 Million Commercial Mortgage-Backed Floating-Rate Notes

Class                  Rating
            To                       From

Ratings Lowered

D           B- (sf)                  B (sf)
E           CCC (sf)                 B- (sf)

Ratings Affirmed

A           AA- (sf)
B           A- (sf)
C           BB (sf)
X           AA- (sf)


LUMINAR ENTERTAINMENT: Relies on Freshers to Avoid Administration
-----------------------------------------------------------------
Umar Rauf and Joe Sandler Clarke at The Mancunion report that
Luminar Entertainment is relying on Freshers' Week to stay in
business.

Luminar Entertainment has told lenders to wait until after the
start of the university year to make a decision about whether to
push the company into administration, according to The Mancunion.

The report relates that the company has been making a net loss
for the past 24 months and its share price has plummeted from
highs of GBP8 a share in 2007 to just under 3p last week.

The Mancunion notes that the deteriorating state of the company's
finances last year forced Luminar to issue a profit warning,
leading to the departure of founder and chief executive Stephan
Thomas in March.

New Chief Executive Officer Simon Douglas, aware that the company
has been hit hard by high youth unemployment, has revealed plans
to boost performance by targeting older customers, expanding the
range of drinks and offering more live music, the report
discloses.

Last December, The Mancunion recalls, the company refinanced its
borrowing with Lloyds banking group, Royal Bank of Scotland and
Barclays arranging a three-year loan of 99m with an interest
rate of 7.8%.

Luminar Entertainment is Britain's largest nightclub operator.


PINNACLE TRAVEL: Goes Into Administration, Sells Assets
-------------------------------------------------------
TravelWeekly reports that Pinnacle Travel has gone into
administration with no clients abroad but several hundred forward
bookings.

Visions Holiday Group, an independent specialist tour operator,
will acquire some of the assets and goodwill, according to
TravelWeekly.  Antony Batty and Stephen Evans of law firm Antony
Batty & Co have been appointed joint administrators.

The report notes that Pinnacle Travel was fully Atol licensed and
all customers with forward bookings will be protected.  The
report relates that school groups with trips booked will be
offered a refund, paid on completion of a claims form or given
the option to assign their bookings to Visions Holiday Group.

"We are devastated at the collapse of the company we built up
over 13 years to be one of the leading brands in the quality
school travel market.  However, I'm relieved this happened so
early in the school year, which means there are no trips overseas
and no young people have been left distressed or stranded,"
TravelWeekly quoted Pinnacle Travel Managing Director Nigel
Parker, one of three owners of the company, as saying.

TravelWeekly notes that Mr. Parker attributed the collapse to
"exceptional circumstances", including the disruption caused by
volcanic ash last year.  Mr. Parker also blamed consolidation in
the airline industry which had resulted in rising air fares,
TravelWeekly relates.

Visions Travel Group is an independent tour operator based in
Bolney, West Sussex, which specializes in tailor-made holidays to
Africa and Europe.

Tour operator Pinnacle Travel is a specialist in tailor-made
school trips.  It was a direct-sell operator sending about 5,500
pupils a year to Europe, America, Africa and Asia on sports, ski,
performing arts and science trips.  The company also traded as
2001 -- A Ski Odyssey.  It was established in 1998, and has no
connection to Northern Irish agency Pinnacle Worldwide.


TAURUS CMBS: Fitch Cuts Rating on GBP7-Mil. Class D Notes to 'C'
----------------------------------------------------------------
Fitch Ratings has affirmed Taurus CMBS (UK) 2006-2 plc's class A
and B notes and downgraded the class C and D notes, as follows:
GBP255.2 million class A due April 2024 (XS0271522103) affirmed
at

-- 'AAAsf'; Outlook revised to Stable from Negative
    GBP31.8m class B due April 2024 (XS0271523259) affirmed at

-- 'BBBsf'; Outlook Stable
    GBP28.6m class C due April 2024(XS0271523846) downgraded to

-- 'Csf' from 'CCCsf'; Recovery Rating 'RR4' assigned
    GBP7.0m class D due April 2024 (XS0271524653) downgraded to
    'Csf' from 'CCsf'; Recovery Rating 'RR6' assigned

The rating actions reflect the sale and full repayment of the St
Katherine's Dock loan and the continued deterioration of the
Times Square shopping centre.

The St Katherine's Dock loan (26.1%) failed to repay at maturity
in July 2010 and was subsequently transferred to special
servicing.  A sale to Max Property Group was agreed for GBP156.3
million in August 2011, significantly above the latest valuation
of GBP115.8 million.  The sales price was enough to pay off the
senior loan in full, of which the CMBS had a 69% participation.
The principal receipts will be used to pay down the class A notes
sequentially.

The Time Square loan continues to under-perform.  It was
transferred to special serving in March 2009 due to the
borrower's non-cooperation and has been accelerated. Since then,
the shopping centre has experienced rising vacancy and falling
rents.  T J Hughes, one of the anchor tenants whose rental
contribution previously made up 7.8% of aggregate net operating
income (NOI), is in administration and has now left the premises.
Moreover, there is further uncertainty surrounding the TK Maxx
lease, which accounted for 6.4% of NOI.  The market value has
steadily eroded, with little sign that the centre can be
successfully repositioned without both considerable capex spent
and a general uptick in consumer demand.  As such, Fitch believes
that the special servicer, Capita Asset Services (rated 'CSS2'),
has instructed the receiver to market the property for sale.

The remaining three loans (Mapeley STEPs, Iron Mountain and
Dundee) have not experienced any material changes since the last
rating action in April 2011.


THE BOURSE: Opus North Acquires Firm's Assets
---------------------------------------------
Insider Media Limited reports that Ilkley-based property
developer Opus North has acquired Leeds city centre office
building The Bourse in a joint venture with Palmer Capital.

The mixed office and retail complex, acquired out of Law of
Property Act Receivers (LPA) Receivership by the Palmer Active
Value Fund, was purchased for GBP7.4 million, according to
Insider Media Limited.

DTZ Leeds office acted for Opus and Palmer, while Cushman &
Wakefield acted for the LPA Receivers.

The report relates that this reflected a net initial yield of
9.9% and followed an 18-month receivership.

The Bourse comprises 50,000 sq ft of space across three buildings
-- Equity House, Sterling House and Bond House.  Its 20 tenants
which includes Anthony's restaurant, William Hill and Evans
Cycles.


THE PLOUGH: Councilors Urge Village Group to Acquire Firm
---------------------------------------------------------
Alice Hutton at roystonweeklynews.co.uk reports that Shepreth
residents are being urged to consider whether they could dig deep
and help buy The Plough, which went into administration earlier
this year, before developers appeal against a refusal to turn it
into a home.

The plan, which was mooted by local councilors, has captured the
village's imagination and nearly 100 people packed out a meeting
to discuss the possibility of stumping up the GBP595,000 asking
price, according to roystonweeklynews.co.uk.

The report notes that an application to change the pub's status
to residential was rejected by South Cambridgeshire District
Council last week after planning bosses ruled the village, which
has already lost its only shop and post office, could not afford
to also lose its only pub.

roystonweeklynews.co.uk relates that councilor Surinder Soond,
who represents the village on South Cambridgeshire District
Council and is also a member of the parish council and vehemently
opposed the developer's plans, said the idea of the co-op had
been "accepted with great enthusiasm."

There are currently six co-operatively owned pubs across the
country, with multiple stakeholders, including one in Cumbria
which opened just last month, the report discloses.

"If we are able to turn the Plough into the seventh co-operative
pub . . . . it would safeguard it against being turned into
anything but an establishment that serves the community . . . .
The main issue would be the price.  The village has about 800
residents, which would mean shares of about GBP700, which is a
lot, and would only go up if we couldn't get everyone on board,"
the report quoted councilor Soond as saying.

Among the issues discussed at the meeting was also whether the
potentially re-opened pub could function as a village shop and
post office to return the vital facilities already closed,
roystonweeklynews.co.uk adds.


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


* BOOK REVIEW: Performance Evaluation of Hedge Funds
----------------------------------------------------
Edited by Greg N. Gregoriou, Fabrice Rouah, and Komlan Sedzro
Publisher: Beard Books
Hardcover: 203 pages
Listprice: $59.95
Review by Henry Berry

Hedge funds can be traced back to 1949 when Alfred Winslow Jones
formed the first one to "hedge" his investments in the stock
market by betting that some stocks would go up and others down.
However, it has only been within the past decade that hedge funds
have exploded in growth.  The rise of global markets and the
uncertainties that have arisen from the valuation of different
currencies have given a boost to hedge funds.  In 1998, there
were approximately 3,500 hedge funds, managing capital of about
$150 billion.  By mid-2006, 9,000 hedge funds were managing $1.2
trillion in assets.

Despite their growing prominence in the investment community,
hedge funds are only vaguely understood by most people.
Performance Evaluation of Hedge Funds addresses this shortcoming.
The book describes the structure, workings, purpose, and goals of
hedge funds.  While hedge funds are loosely defined as "funds
with no rules," the editors define these funds more usefully as
"privately pooled investments, usually structured as a
partnership between the fund managers and the investors."  The
authors then expand upon this definition by explaining what sorts
of investments hedge funds are, the work of the managers, and the
reasons investors join a hedge fund and what they are looking for
in doing so.

For example, hedge funds are characterized as an "important
avenue for investors opting to diversify their traditional
portfolios and better control risk" -- an apt characterization
considering their tremendous growth over the last decade.  The
qualifications to join a hedge fund generally include a net worth
in excess of $1 million; thus, funds are for high net-worth
individuals and institutional investors such as foundations, life
insurance companies, endowments, and investment banks.  However,
there are many individuals with net worths below $1 million that
take part in hedge funds by pooling funds in financial entities
that are then eligible for a hedge fund.

This book discusses why hedge funds have become "notorious as
speculating vehicles," in part because of highly publicized
incidents, both pro and con.  For example, George Soros made $1
billion in 1992 by betting against the British pound.
Conversely, the hedge fund Long-Term Capital Management (LTCP)
imploded in 1998, with losses totalling $4.6 billion.
Nonetheless, these are the exceptions rather than the rule, and
the editors offer statistics, studies, and other research showing
that the "volatility of hedge funds is closer to that of bonds
than mutual funds or equities."

After clarifying what hedge funds are and are not, the book
explains how to analyze hedge fund performance and select a
successful hedge fund.  It is here that the book has its greatest
utility, and the text is supplemented with graphs, tables, and
formulas.

The analysis makes one thing clear: for some investors, hedge
funds are an investment worth considering.  Most have a
demonstrable record of investment performance and the risk is
low, contrary to common perception.  Investors who have the
necessary capital to invest in a hedge fund or readers who aspire
to join that select club will want to absorb the research,
information, analyses, commentary, and guidance of this unique
book.

Greg N. Gregoriou teaches at U. S. and Canadian universities and
does research for large corporations.  Fabrice Rouah also teaches
at the university level and does financial research.  Komlan
Sedzro is a professor of finance at the University of Quebec and
an advisor to the Montreal Derivatives Exchange.


                            *********

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 * * *