TCREUR_Public/130304.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

             Monday, March 4, 2013, Vol. 14, No. 44



AI CHEM: High Debt Leverage Cues Moody's to Assign 'B1' CFR


DDALEKOVOD: To Draw Up New Plan for Settlement of Creditor Claims

C Z E C H   R E P U B L I C

ODEVNI PODNIK: Administrator Can Start Sale of Trademarks


BELVEDERE SA: Shareholders Back Debt Restructuring Plan
CMA CGM: S&P Raises Long-Term Corporate Credit Rating to 'B-'
GAD SAS: Placed Under Judicial Administration by Rennes Court
SOLOCAL GROUP: Moody's Affirms 'B3' CFR; Outlook Negative


FRANKFURTER RUNDSCHAU: Allgemeine Zeitung's Takeover Approved
* Moody's Says Compensation Costs Won't Impact German Insurers


MAL: Nemzeti Reorganizacios to Take Over Operations


ALLIED IRISH: Welcomes Minister's Decision to End ELGS Scheme
CAPPOQUIN POULTRY: In Receivership, Owes Nearly EUR4 Million
REPUBLIC FASHION: Two Irish Stores Face Closure; 49 Jobs Affected
* Irish Bank Guarantee End Another Recovery Step, Fitch Says


CODEIS SECURITIES: S&P Assigns Prelim. BB Rating to Coupon Notes


EURASIAN NATURAL: S&P Affirms 'BB-/B' Corporate Credit Ratings


COSAN LUXEMBOURG: Moody's Rates New $400MM Senior Notes 'Ba2'
COSAN LUXEMBOURG: S&P Assigns 'BB' Rating to 10-Yr. Senior Notes
COSAN LUXEMBOURG: Fitch Assigns 'BB+' Rating to Unsecured Notes
Z BETA: Moody's Assigns 'B2' CFR Following Refinancing


COPERNICUS EURO: Fitch Affirms 'C' Rating on Class D Notes
JUBILEE CDO: Fitch Affirms Rating on Class D Notes at 'CCC'
KONINKLIJKE KPN: Moody's Rates Proposed Hybrid Securities (P)Ba1
KONINKLIJKE KPN: S&P Rates Proposed Hybrid Securities 'BB'
NEW WORLD: S&P Cuts Corporate Rating to 'B+'; Outlook Stable

ROYAL KPN: Fitch Rates Long-Dated Capital Securities 'BB(EXP)'


CENTRAL EUROPEAN: Moody's Lowers CFR to Ca; Outlook Negative


TDA IBERCAJA 6: S&P Lowers Rating on Class D Notes to 'BB-'


GATEGROUP HOLDING: S&P Affirms 'BB' Corp. Credit Rating


GALATASARAY: Survival Hinges on Share Capital Increase

U N I T E D   K I N G D O M

ARQIVA BROADCAST: Moody's Assigns 'B3' Rating to GBP600MM Notes
ARQIVA BROADCAST: Fitch Assigns 'B-' Rating to GBP600MM Notes
DEWEY & LEBOEUF: Deal With Former UK Partners Approved
DFS FURNITURE: Moody's Rates New GBP310MM Notes Issuance (P)B2
DFS FURNITURE: S&P Rates New GBP310MM Sr. Secured Notes 'B'

MID-STAFFORDSHIRE: To be Put Into Administration, Needs Subsidy
TEXTILES DIRECT: In Administration, Six Jobs at Risk


* Moody's Sees Challenges Ahead for CIS Coking Coal Producers
* Moody's Says Euro Sovereign Debt Market Outlook Still Negative
* BOND PRICING: For the Week February 25 to March 1, 2013



AI CHEM: High Debt Leverage Cues Moody's to Assign 'B1' CFR
Moody's Investors Service assigned a corporate family rating of B1
and a probability of default rating of B1-PD to AI Chem & CY
S.C.A., the ultimate holding company of the subsidiary guarantors
to the group's senior credit facilities.

Concurrently, Moody's has assigned a provisional (P)Ba3 rating to
AI Chem's proposed first-lien senior secured credit agreement and
a provisional (P)B3 to the company's proposed US$200 million
second-lien senior secured credit facility due 2020. The first-
lien senior secured credit facility consists of a US$120 million
revolving credit facility (RCF) due 2018 and a US$565 million term
loan B facility due 2019. The outlook on the ratings is stable.
This is the first time that Moody's has assigned ratings to AI

US-headquartered Cytec Industries Incorporated (Cytec; Baa2
stable) recently announced that funds managed or advised by
private equity firm Advent International Corporation have signed
an agreement to acquire its Coating Resins business for a total
purchase consideration of approximately US$1.0 billion in a
transaction that is expected to close by the end of June 2013. The
assets of this former Cytec business are to become those of the
newly established AI Chem. Proceeds from the proposed first-lien
and second-lien senior secured credit facilities will be used to
partially finance this transaction.

"The assigned B1 CFR reflects AI Chem's high financial leverage
and our expectation that the company is likely to remain
significantly exposed to a challenging European cyclical chemicals
trading environment, given its expected low levels of unencumbered
future free cash flow," says Anthony Hill, a Moody's Vice
President - Senior Analyst and lead analyst for AI Chem.

Moody's issues provisional ratings in advance of the final sale of
debt instruments and these ratings reflect the rating agency's
preliminary credit opinion regarding the transaction only. Upon a
conclusive review of the final documentation, Moody's will
endeavor to assign a definitive rating to the debt. A definitive
rating may differ from a provisional rating.

Ratings Rationale:

The B1 CFR assigned to AI Chem reflects the company's high
financial leverage, which Moody's expects will be around 4.2x
debt/EBITDA (on a Moody's-adjusted basis) for the financial year-
end December 2012 and pro forma the transaction. While Moody's
expects the company to reduce leverage over the coming quarters,
AI Chem, with expected low levels of unencumbered future free cash
flow, will remain significantly exposed to the challenging
European cyclical chemicals trading environment that is expected
to exist through at least 2013. The rating also reflects Moody's
cautious outlook regarding the company's competitive position pro
forma the transaction, when AI Chem is fully separated from its
current parent group, Cytec. AI Chem's global competition can come
from the resin-producing divisions of substantially larger and
more financially flexible companies such as BASF (SE) (A1 stable),
Royal DSM N.V. (A3 positive), and Dow Chemical Company (Baa2

Furthermore, Moody's believes that the clear economic slowdown in
Europe has, and will continue to, negatively affect top-line
revenue generation and profitability at AI Chem. The rating agency
expects margin pressure to increase for the company over the near
term. However, with a business plan focused on high-value product
segments, such as eco-friendly waterborne resins, and growth
regions, such as China and the US, the negative impact on AI
Chem's profitability should be less pronounced.

However, more positively, the B1 CFR also reflects Moody's
positive view that AI Chem (1) is a leading specialty chemicals
producer for the global industrial coatings industry with a track
record of maintaining a solid market share position across a
diverse product line; (2) has a proven ability to generate solid
cash flows through global and European economic cycles; and (3)
has a resilient business model, as demonstrated by solid operating
performance, and an ability to pass through material and
production costs while simultaneously improving marginal income
despite the challenging trading environment in Europe.

AI Chem's liquidity position, pro forma the transaction, appears
to be adequate for its near-term requirements. Pro forma the
transaction, Moody's expects the company to exhibit an adjusted
cash balance of approximately US$20 million at financial year-end
December 2012. Internally generated cash flow and the undrawn
US$120 million RCF should cover the company's ongoing basic cash
needs, such as debt service and amortization, working capital
needs and expected capital expenditures.

Using Moody's Loss Given Default (LGD) methodology, the PDR is
equal to the CFR. This is based on a 50% recovery rate, as is
typical for a debt capital structure that primarily consists of
senior secured facilities. Also in accordance with Moody's LGD
methodology, the RCF and first-lien senior secured credit facility
are rated (P)Ba3, one notch above the B1 CFR. This is due to the
first-lien senior secured facility's ranking priority over the
subordinated US$200 million notional second-lien senior secured
credit facility, which is rated (P)B3, two notches below the CFR.
The second-lien senior secured credit facility is notched
downwards from the CFR, reflecting its subordinated ranking in the
capital structure.


The stable outlook on the rating reflects Moody's expectation that
AI Chem will (1) maintain its current performance and continue to
generate positive FCF; and (2) reduce its indebtedness over the
next 18 months through both mandatory debt amortization and excess
cash flow sweep.

What Could Change the Rating Up/Down

Positive pressure on the rating could materialize if AI Chem (1)
maintains its current operating performance; (2) generates a
sustained positive FCF/debt ratio of around 8%; and (3) improves
its leverage profile such that its Moody's-adjusted debt/EBITDA
ratio is solidly below 4.0x.

Conversely, negative pressure on the ratings would emerge if AI
Chem's liquidity profile and credit metrics deteriorate as a
result of (1) a weakening of its operational performance; (2)
acquisitions; or (3) an aggressive change in its financial policy.
Quantitatively, Moody's would also consider downgrading AI Chem's
ratings if (1) the company's Moody's-adjusted EBITDA margin falls
sustainably below 8%; (2) its debt/EBITDA ratio rises towards
5.0x; or (3) its Moody's-adjusted FCF/debt ratio falls towards 4%.

Principal Methodology

The principal methodology used in rating AI Chem & CY S.C.A. was
the Global Chemicals Industry Methodology, published in December
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.

Headquartered in Brussels, Belgium, AI Chem & CY S.C.A. is a
global producer of resins for coatings with a broad product
portfolio and well-established market positions. For the fiscal
year ended December 31, 2012, Moody's estimates that the company's
Moody's-adjusted revenues and EBITDA, pro forma the transaction
and on an unaudited basis, will be approximately US$1.4 billion
and US$205 million, respectively. Moody's expects approximately
51% of the company's 2012 revenues to have been generated in
Europe, 23% in Asia-Pacific, 21% in North America, and 5% in Latin


DDALEKOVOD: To Draw Up New Plan for Settlement of Creditor Claims
SeeNews reports that Dalekovod said that the Settlement Council
accepted proposals of the majority of creditors for the
preparation of a new plan for their claims settling at a court
hearing on pre-bankruptcy settlement proceedings.

According to SeeNews, Dalekovod said on Tuesday in a filing to the
Zagreb bourse that the decision for a new plan has been prompted
by changed circumstances in relation to the proposed plan at the
opening of the pre-bankruptcy settlement proceedings started on
December 20, as well as talks conducted with the company's major

Dalekovod will have 15 days to draft the new plan and submit it to
the council, SeeNews discloses.

Dalekovod is a Croatian power transmission equipment maker.

C Z E C H   R E P U B L I C

ODEVNI PODNIK: Administrator Can Start Sale of Trademarks
CTK, citing the insolvency register, reports that the insolvency
administrator of Odevni podnik Miloslava Horska can start sale of
roughly 30 trademarks, including flagship OP Profashion, and the
offered price will be the only criterion.

According to CTK, the sale was allowed by the Regional Court in
Brno on Feb. 26.  Experts estimate the value of the around 30
trademarks at some CZK3 million, CTK discloses.

CTK notes that information from the insolvency register shows 55
creditors have filed claims worth over CZK2 billion on the company
in total.

Odevni podnik is a clothing manufacturer based in the Czech

Odevni podnik was declared insolvent in January 2010.  The company
was originally declared bankrupt in May 2010, as nobody submitted
a reorganization plan, but the bankruptcy was cancelled in
December 2010 following a complaint of its largest creditor Ceska
sporitelna.  In January-July 2010, the company recorded a total
loss of CZK303.3 million.


BELVEDERE SA: Shareholders Back Debt Restructuring Plan
Alice Cannet and Matthieu Protard at Reuters report that
shareholders of Belvedere approved the debt-laden company's debt-
restructuring plan after an unruly meeting lasting more than five
hours on Thursday, giving it a chance to avoid an otherwise likely

The plan, which must still be approved by a court at a March 11
hearing, was supported by more than 70% of shareholders, while
investors rejected resolutions to dismiss the company's board
added to the agenda at the last minute, Reuters discloses.

Threatened with a substantial dilution of their holdings under the
plan, some shareholders had asked that the board of Belvedere,
which has been in the hands of a court-appointed administrator
since March 2012, be immediately dismissed, Reuters notes.

At the end of a meeting marked by shouts and heckles, shareholders
backed the plan, which will dilute their holdings to just 13% of
the capital as Belvedere's entire debt --
EUR672 million (US$879 million) at end-June -- is converted into
shares, Reuters relates.

This will turn Belvedere's main creditor, Oaktree Capital
Management, owner of rival Stock Spirits which makes Polish Orzel
vodka, into the company's largest shareholder, with 38% of its
capital but limited voting rights of 19.9%, Reuters states.

Belvedere's administrator had warned earlier this month that
failure to ratify the plan could mean mass layoffs at the company,
which employs 3,315 staff worldwide, including 713 in France and
1,903 in Poland, Reuters recounts.

Belvedere posted 2012 sales of EUR894 million but has not yet
published earnings, Reuters notes.  The 2011 current operating
loss reached EUR5 million, with a net loss of EUR55 million,
Reuters discloses.

Belvedere SA -- is a France-based
company engaged in the production and distribution of beverages.
The Company's range of products includes vodka and spirits,
wines, and other beverages, under such brands as Sobieski,
William Peel, Marie Brizard, Danzka and others.  Belvedere SA
operates through its subsidiaries, including Belvedere Czeska,
Belvedere Scandinavia, Belvedere Baltic, Belvedere Capital
Management, Sobieski SARL and Sobieski USA, among others.  It is
present in a number of countries, such as Poland, Lithuania,
Bulgaria, Denmark, France, Spain, Russia, Ukraine, the United
States and others.  In addition, the Company holds a minority
stake in Abbaye de Talloires, involved in the hotel and wellness

Belvedere filed for pre-insolvency protection in 2008 after
breaching the floating rate note covenant by repurchasing more of
its stock than terms allowed.  In July 2011, a commercial court in
Nimes in southeastern France granted the company creditor

CMA CGM: S&P Raises Long-Term Corporate Credit Rating to 'B-'
Standard & Poor's Ratings Services said that it raised its long-
term corporate credit rating on France-based container ship
operator CMA CGM S.A. to 'B-' from 'CCC+'.  S&P also raised its
issue rating on the company's senior unsecured notes to 'CCC' from
'CCC-'.  The recovery rating on the notes remains at '6',
indicating S&P's expectation of negligible (0%-10%) recovery in
the event of a payment default.  The ratings remain on CreditWatch
with positive implications.

The rating action reflects CMA CGM's improved liquidity position,
following the completion of its financial restructuring and equity
deal, and its improved cash flow performance.  Furthermore, S&P
expects that CMA CGM's liquidity will likely improve further over
the coming months if the company successfully finalizes its
outstanding measures to increase liquidity sources.

S&P understands that CMA CGM has reached a final agreement with
its lender syndicate over the financial restructuring, which
provides a better distribution of the company's debt maturity
profile and amendment of the covenant package to ensure sufficient
headroom.  Meanwhile, the company has finalized an equity deal
with the Turkish holding company Yildirim Group, which has
subscribed to bonds redeemable in shares of CMA CGM for
US$100 million, which CMA CGM received in February 2013.  S&P
notes that the company's liquidity position is further underpinned
by its significantly improved operating performance and,
therefore, cash flow generation, mainly thanks to the realized
cost efficiencies.  In the first nine months of 2012, the company
reported positive operating cash flow (after interest paid) of
US$395 million compared with about US$25 million in 2011.

S&P believes CMA CGM's liquidity could improve further over the
coming months if it successfully closes the disposal of its 49%
stake in Terminal Link to China Merchants Holdings for
EUR400 million in cash, as announced in February 2013, and an
additional equity deal with the French Fonds Strategique
d'Investissement (FSI), which in January 2013 agreed to subscribe
to bonds redeemable in shares of CMA CGM for an amount of
US$150 million.  Both transactions are subject to regulatory
approvals, which are likely to be granted by the end of May 2013.

S&P will resolve the CreditWatch after CMA CGM completes the
disposal of its stake in Terminal Link and equity deal with FSI,
and once S&P has reviewed the impact the related cash inflows will
have on the company's liquidity profile.

S&P could raise the rating on CMA CGM, most likely by one notch,
if its liquidity improved markedly and sustainably and its credit
measures appeared to be consistently commensurate with the higher
rating.  Conversely, S&P could affirm or lower the ratings if the
disposal or equity deal were delayed or did not materialize.

GAD SAS: Placed Under Judicial Administration by Rennes Court
Stuart Todd at reports that Gad SAS was placed under
judicial administration by Rennes commercial court on
Feb. 27 for a period of six months renewable.

In a statement, Gad said it would continue to trade normally, relates.

According to, a spokesman told earlier
this month that Gad had lost money over the past three years and
that efforts to stabilize the group's financial position had been
insufficient.  He said the group's difficulties reflected the poor
market conditions currently affecting the French pork sector, notes.

Brittany-based Gad SAS employs around 1,700 staff across four
locations.  It posted a 2012 turnover of EUR453 million and
processed EUR2.4 million pigs.  It is majority-owned by food
co-operative CECAB.

SOLOCAL GROUP: Moody's Affirms 'B3' CFR; Outlook Negative
Moody's Investors Service changed the outlook on the ratings of
Solocal Group S.A, formerly called PagesJaunes, to negative from
stable. Moody's has also affirmed the company's B3 corporate
family rating, B3-PD probability of default rating of Solocal
Group S.A and the rating of the EUR350 million senior secured
notes due 2018 issued by PagesJaunes Finance & Co. S.C.A.

Ratings Rationale:

"The change in outlook to negative from stable reflects Moody's
increased concerns about near-term prospects of stabilization in
the company's top line and earnings in a weak macro-economic
environment", says Tanya Savkin, a Moody's Vice President --
Senior Analyst and lead analyst for Solocal. "In this context, and
with covenant thresholds tightening towards the end of 2013, any
substantial operating underperformance may lead to a reduced
covenant headroom. Finally, Moody's does not expect that the
company will deleverage materially in the near term despite the
dividend suspension and cash flow sweep mechanism."

Solocal reported a 3.2% decline in revenue and 4.4% decline in
adjusted gross operating margin (GOM) for 12 months ended 31
December 2012 leading to a 0.6% decrease in GOM margin. The online
business represented c. 58% of total revenue. Although revenue
decline of 3% and adjusted GOM of EUR471 million fell within the
revised full-year 2012 guidance provided by the company in
November 2012 Solocal achieved only the lowest end of the estimate
due to a weaker than expected Q4. Solocal continues to face the
challenge of print revenue decline, as well the slowdown in
internet growth in an uncertain macroeconomic environment
affecting the French advertising market. Solocal believes it has
so far outperformed the online market thanks to its market
position, more resilient (and somewhat late cyclical) subscription
model and faster growth in mobile, however the market slowdown is
expected to continue into 2013 leading to further revenue decline.

The company's guidance for 2013 assumes a decline in revenue of
between 3% and 5% and GOM ranging between EUR425 million and
EUR445 million. Given that the covenant headroom as of 31 December
2012 fell below 10%, the year-on-year deterioration in the
operational performance is likely to put covenant headroom under
further pressure in the last quarter of 2013, when the net
leverage covenant level steps down.

As of December 31, 2012 the company's liquidity consisted of
EUR112 million cash on balance sheet and EUR20 million undrawn
amount under its EUR96 million revolving credit facility (RCF).
Moody's expects that the liquidity profile will remain weak,
driven by scheduled debt repayments and the reduction in RCF size
to EUR71 million in Q4 2013 under the revised terms of the credit
agreement. Any significant operating underperformance may lead to
a reduced covenant headroom in the last quarter of 2013. Following
its protracted bank negotiation process, Moody's retains concerns
about any future negotiations that may be necessary with its

The negative outlook reflects Moody's expectation of declining
operating performance weighted down by further decline in print
business and slowdown in internet growth leading to lack of
deleveraging, concerns about covenant compliance and ultimately
the ability to refinance successfully the remaining EUR1.2 billion
bank debt due in September 2015.

In the context of the rating positioning and drivers, there is
limited prospect of a ratings upgrade. The outlook could stabilize
if the company manages to increase covenant headroom and increase
confidence that it will successfully address the refinancing of
the debt maturing in September 2015.

Downward pressure on the ratings could result from either: (a)
further deterioration in operating performance, leading either to
adjusted Gross Debt/ EBITDA moving above 4.5x or free cash flow
generation becoming negative; (b) a weaker liquidity profile
including increased covenant pressure; (c) any additional factors
which decreased the possibility of a successful refinancing,
including the failure to address the refinancing burden before the
second half of 2014.

Solocal is the leading provider of local media advertising and
local website and digital marketing services, with the majority of
its operations (approximately 96% of 2011 total revenue) in France
and the remainder (approximately 4%) of operations in Spain
mainly. The company reported EUR1,066 million revenues in 2012.
Solocal is listed on the Paris stock exchange.

The principal methodology used in this rating was the Global
Publishing Industry published in December 2011. Other
methodologies used include Loss Given Default for Speculative-
Grade Non-Financial Companies in the U.S., Canada and EMEA
published in June 2009.


FRANKFURTER RUNDSCHAU: Allgemeine Zeitung's Takeover Approved
Reuters reports that Frankfurter Rundschau appears to have been
saved from insolvency but with many job losses.

According to Reuters, anti-monopolies officials have approved its
takeover by Frankfurt's Allgemeine Zeitung.

Only some 30 of the Frankfurter Rundschau's 450 jobs would remain,
said insolvency administrators on Wednesday, but added that is
survival seemed assured, assuming that purchase details were
resolved on Thursday, Reuters relates.

The Bonn-based federal anti-monopolies bureau said Wednesday it
had no misgivings that a nationwide domination in terms of
readership or advertising would ensue if the center-right
Frankfurter Allgemeine Zeitung (FAZ) -- in itself a leading German
newspaper -- took over the traditional center-left liberal FR,
which filed for insolvency in November, Reuters notes.

Had the Bonn officials rejected the takeover, the liberal
Frankfurter Rundschau (FR) would have vanished from Germany's
newsstands from Friday, Reuters states.

Insolvency administrators had already rejected as unsustainable a
rival purchase bid for the FR from the Turkish media concern Burak
Akbay, Reuters recounts.

The chairman of the FR's works council which represents employees,
Marcel Mathis told the German DPA news agency that Wednesday's
anti-monopolies clearance still left most of his colleagues
grasping layoff notices, Reuters discloses.

Frankfurter Rundschau is a major German newspaper.

* Moody's Says Compensation Costs Won't Impact German Insurers
Courts in Germany ruled in H1 2012 that the early termination fees
previously applied by German life insurers were invalid. But while
the costs of the retrospective claims should be manageable, the
attention that the rulings generated could impair the insurers'
market reputations, says Moody's Investors Service in a new
Special Comment entitled "German Life Insurance: Compensation
Costs Unlikely to Pose Risks to Industry's Financial Strength."

Moody's estimates that initially the costs of retrospective claims
for the entire German life industry, net of tax and policyholders'
participation, will remain below EUR200 million. Increasing
pressure from customer associations could further inflate the
costs, pushing the final costs for the German life industry
considerably higher, but Moody's currently expects that the final
cost will not exceed EUR1 billion if these costs are shared with
policyholders. "Essentially, we believe that the financial impact
of these claims will remain limited for the German life industry,
and will not threaten the financial strength of insurers, at least
in the short to medium term" says Benjamin Serra, a Moody's Vice
President - Senior Analyst and author of the report.

However, Moody's says that the attention the claims have generated
and the potential reputational damage the claims might cause, are
of more concern to the industry.

"Impaired reputations also attract policymakers' scrutiny, and the
recent developments are consequently likely to influence any
future debates on reforms impacting life insurers. Longer term, we
believe that regulators might also impose increasing constraints
on life insurers that would be accompanied by rising costs for
meeting new requirements," explains Mr. Serra.

In particular, the claims against German insurers might prompt
policymakers to implement legislative changes in line with
consumer sentiment, often to the detriment of the industry's
financial strength. Moody's believes that if the market takes an
increasingly negative view of German insurers, this could
translate into further indirect factors that might damage those
companies' franchises in the longer term.


MAL: Nemzeti Reorganizacios to Take Over Operations
MTI-Econews reports that the National Development Ministry said on
Wednesday state-owned liquidator Nemzeti Reorganizacios Nonprofit
is to take over the management and operation of MAL after a court
has ordered the company to be liquidated based on a claim
submitted by one of the creditors.

MAL was declared a company of strategic importance in September
2012, MTI-Econews relates.

The statement said that the Hungarian National Asset Management
Company will provide appropriate funds for reasonable measures
serving to maintain operation and thousands of jobs at the company
and its suppliers, MTI-Econews notes.

MAL came under pressure following a red sludge spill in October,
2010, which killed several people and caused huge damage, MTI-
Econews recounts.

MAL is a Hungarian alumina maker.


ALLIED IRISH: Welcomes Minister's Decision to End ELGS Scheme
Allied Irish Banks, p.l.c., welcomes the decision of the Minister
for Finance of the ending of the ELGS for new liabilities with
effect from midnight on March 28, 2013.  AIB said this decision
further demonstrates the ongoing improvement in the stability of
the financial system in Ireland.  As disclosed in AIB's Interim
Management Statement in November 2012, AIB's funding position has
continued to improve due to customer deposit flows, progress in
deleveraging, together with successful returns to the funding
markets both in 2012 and January 2013.

David Duffy, AIB CEO, said, "The ELGS was introduced as a measure
to stabilise the financial system at a time of unprecedented
market turbulence, which is no longer evident.  We welcome the
announcement today and expect that this move will have a positive
impact on the operating performance of AIB over time as the bank
returns to long term sustainability."

                     Exhibits to Annual Reports

Allied Irish Banks, p.l.c., filed an amendment on Form 20-F/A to
its annual report for the fiscal year ended Dec. 31, 2011, which
was originally filed with the Securities and Exchange Commission
on April 24, 2012, to file certain additional Exhibits required by
Item 19.

Copies of the Exhibits are available for free at:


                      About Allied Irish Banks

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

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

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

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

The Company reported a loss of EUR2.29 billion in 2011, a loss of
EUR10.16 billion in 2010, and a loss of EUR2.33 billion in 2009.

Allied Irish's consolidated statement of financial position for
the year ended Dec. 31, 2011, showed EUR136.65 billion in total
assets, EUR122.18 billion in total liabilities and EUR14.46
billion in shareholders' equity.

Allied Irish's balance sheet at June 30, 2012, showed EUR129.85
billion in total assets, EUR116.59 billion in total liabilities
and EUR13.26 billion in total shareholders' equity.

CAPPOQUIN POULTRY: In Receivership, Owes Nearly EUR4 Million
Vincent Ryan at Irish Examiner reports that Cappoquin Poultry Ltd
has appointed receivers after failing to repay almost
EUR4 million in debts to Henry Good Ltd feed mill in Kinsale, Co

Kieran Wallace -- -- and David Swinburne
-- -- of KPMG were appointed joint
receivers to Henry Good.

The management of the company requested KBC Bank to appoint
receivers to protect the business, according to Irish Examiner.
The report relates that the debts owed to the bank were not very

The report notes that sources close to the process said Henry Good
had been looking to find an investor to help cover the losses that
arose out of Cappoquin's debts, which went unpaid and left the
company facing a "solvency issue."

Henry Good employs 50 people and will continue to trade on a
"business as usual" basis, the report discloses.

The report says that the receivers have moved to sell the business
and assets of Henry Good as a going concern.

The company's directors attempted to restructure the business last
summer, the report recalls.  Irish Examiner says that the company
applied for receivers to be appointed to Cappoquin Poultry in
August after debts that were owed to the feed company ballooned
from EUR346,000 in Dec 2010 to EUR3.98 million.

Despite the appointment of a receiver to Cappoquin Poultry, Henry
Good only received a small portion of the monies owed, the report

The report says that Cappoquin Poultry was bought out of
examinership by the Cappoquin Poultry Co-op for EUR900,000, which
took over the company with the support of Bank of Ireland.

The receivers acknowledged that it is a very difficult day for
Henry Good's directors, Cameron Good, Roger Frederick Dale, and
Timothy Francis Kelly, as the business has been in the Good family
since 1927, the report adds.

REPUBLIC FASHION: Two Irish Stores Face Closure; 49 Jobs Affected
Ciaran Hancock at The Irish Times reports that two Irish stores
operated by the Republic fashion chain are to close with the loss
of 49 jobs.

The joint administrators for Republic Fashion (ROI) Ltd announced
on Feb. 28 that stores in Liffey Valley and Blanchardstown would
not be part of a rescue of the wider group, the Irish Times

The UK retailer was acquired on Feb. 28 by Sports Direct for an
undisclosed sum, the Irish Times discloses.

Administrators for Republic said this would safeguard more than
2,100 jobs in Britain and secure a future for the brand, the Irish
Times notes.

However, the two Dublin shops were not part of this deal, the
Irish Times states.

The Irish company, which appears to have been trading profitably,
was incorporated in February 2010, the Irish Times recounts.

Accounts for the year to the end of January 2012 show that the
Irish business made a pre-tax profit of EUR129,000 on turnover of
EUR4.2 million, the Irish Times discloses.

In the 11 months to the end of January 2011, the company had
recorded an operating profit of EUR530,000 on turnover of EUR2.75
million, the Irish Times notes.

* Irish Bank Guarantee End Another Recovery Step, Fitch Says
The announcement of the end of the Irish Bank Eligible Liabilities
Guarantee (ELG) scheme is another step towards the recovery of the
banking sector, Fitch Ratings says. "We believe government support
for the largest Irish banks will not change despite the withdrawal
of the guarantee and so any negative impact on bank funding is
likely to be limited," Fitch says.

"We had expected the scheme to end during 2013. The banks have
been preparing for this by reducing their use of it: Bank of
Ireland's (BoI) covered liabilities fell by a third in the first
11 months of 2012, while Allied Irish Banks' (AIB) came down by
20% in the first 10 months. They withdrew their UK, Isle of Man
and Northern Ireland subsidiaries from the scheme and increased
non-ELG covered deposits for corporate and institutional investors
during 2012.

"Risk of deposit flight is unlikely to be heightened by the
withdrawal of the ELG for new liabilities from midnight on 28
March. There was no adverse impact on deposits when overseas
subsidiaries left the scheme. Most of the domestic deposits are
covered under the Republic of Ireland deposit guarantee scheme and
volumes have been stable since the bank recapitalizations in
July 2011. Deposits at banks covered by the ELG increased 4.8% for
the year to January, according to data from the Department of

"Sentiment towards Irish banks is improving slowly as they
progress with their restructuring and recovery. They have been
able to tap external funding markets in recent months. In Q412 and
Q113 both BOI and AIB issued covered bonds (EUR1.0 billion each).
BOI also raised EUR250 million in subordinated bonds and completed
the sale of its EUR1 billion contingent capital stake previously
held by the Irish sovereign. We expect the banks to raise further
secured funding in 2013 because access to senior unsecured markets
at economic prices is still challenging. However, their dependence
on central bank funding is likely to remain high until confidence
is fully restored.

"Confidence could improve if the banks correct funding imbalances
and return to profitability. The removal of the guarantee should
help the Irish banks improve their earnings. Their net interest
margins have already benefitted from lower ELG fees as covered
liabilities reduced last year. Fees should decline more quickly
after the ELG withdrawal as the guaranteed liabilities run down.
But the banks still face many challenges in generating sustainable
profits, such as having to bear additional losses on their loan

"There is a risk that rising mortgage arrears could hinder the
recovery of the banking sector. We see the current situation as in
line with the moderate stress test under the 2011 Prudential
Capital Assessment Reviews (PCAR). However, as long as mortgage
arrears continue to rise there is the risk that losses will exceed
the PCAR assumptions. This risk is reflected in the low Viability
Ratings of the banks (BoI has a VR of 'b', AIB is


CODEIS SECURITIES: S&P Assigns Prelim. BB Rating to Coupon Notes
Standard & Poor's Ratings Services assigned its preliminary
'BB/Watch Neg' credit rating to Codeis Securities S.A.'s (Codeis,
or the issuer) first fixed-coupon and variable-rate index-linked
coupon notes (the Codeis notes).

The transaction is a repackaging of three zero-coupon bonds and
one note issuance from Societe Generale Effekten GmbH (the SGE

   -- Banca Monte dei Paschi di Siena SpA's (MPS) zero-coupon
      bond, which matures in February 2018 (the MPS zero bond);

   -- The Republic of Italy's euro-denominated zero-coupon bond,
      which matures in February 2018 (the Italian zero bond);

   -- The Republic of Italy's euro-denominated zero-coupon bond,
      which matures in February 2014 (the Italian income bond);

   -- The SGE notes.

The credit risk applicable to the Codeis notes is equal to that of
the four assets listed above.  As such, S&P has weak-linked its
preliminary rating on the Codeis notes to the rating on the
lowest-rated asset (the most severely constraining factor), the
MPS zero bond.  On Jan. 31, 2013, S&P lowered and kept on
CreditWatch negative its rating on the MPS zero bond issuer (and
consequently its rating on the proposed MPS zero bond) to
'BB/Watch Neg' from 'BB+/Watch Neg'.  Therefore, S&P has assigned
its preliminary 'BB/Watch Neg' rating to the Codeis notes.

The MPS zero bond, the SGE notes, and the Codeis notes will be
issued simultaneously.

S&P has assigned its preliminary rating based on the information
it has received for this transaction as of Sept. 24, 2012.

                         RATING RATIONALE

In S&P's analysis, it has applied its weak-linking approach that
it uses to base its ratings on repackaged securities, supported by
its analysis of each cash flow source.  S&P's preliminary rating
on Codeis' notes is weak-linked to the ratings on four entities:

   -- MPS zero bond as collateral, which as it stands will have a
      'BB/Watch Neg' rating.

   -- The Italian zero bond and the Italian income bond as
      collateral, the rating on which is at the same level as the
      unsolicited 'BBB+' long-term rating on the Republic of

   -- Societe Generale, the guarantor of the SGE notes, the fixed
      interest on which is used to pay the structure's costs.

   -- Societe Generale Bank & Trust (A/Negative/A-1), as
      custodian.  This is because there is no replacement
      language, in line with S&P's 2012 counterparty criteria.

S&P's weak-linking approach determines the overall
creditworthiness of the issuer's notes using the weakest link,
i.e., the most severely constraining factor--in this case, the MPS
zero bond.

Therefore, S&P's rating on the Codeis notes is weak-linked to the
rating on the MPS zero bond.  In addition, the performance of the
Codeis notes, in S&P's view, will likely depend on that of the MPS
zero bond.


S&P currently awaits the issuer's legal opinions and the
transaction documents, including the collateral management
agreement, the custody agreement, and the trust deed.

The final rating on the Codeis notes is subject to S&P's review of
the transaction documents, legal opinions, and the final rating on
the MPS zero bond.

                     17G-7 DISCLOSURE REPORT

SEC Rule 17g-7 requires an NRSRO, for any report accompanying a
credit rating relating to an asset-backed security as defined in
the Rule, to include a description of the representations,
warranties and enforcement mechanisms available to investors and a
description of how they differ from the representations,
warranties and enforcement mechanisms in issuances of similar

There is no Standard & Poor's 17g-7 Disclosure Report included in
this credit rating report because, in S&P's view, there are no
representations, warranties, and enforcement mechanisms available
to investors.


EURASIAN NATURAL: S&P Affirms 'BB-/B' Corporate Credit Ratings
Standard & Poor's Ratings Services said it affirmed its 'BB-/B'
long- and short-term corporate credit ratings on Kazakhstan-based
mining group Eurasian Natural Resources Corp. PLC (ENRC).  The
outlook remains negative.

The affirmation reflects S&P's expectation that management will
moderate its investment appetite in 2013-2014 and prevent debt
from rising through disposals and other actions, while improving
its liquidity and governance.  Near-term deviations from these
assumptions would lead S&P to lower the ratings.

The affirmation factors in ENRC's significant cuts to its 2013
capital expenditure (capex) program.  S&P projects that adjusted
debt will stabilize in 2013 at about US$5.8 billion, which will
likely require some disposals of noncore assets or other
management action to balance potentially negative free operating
cash flow (FOCF).  The affirmation also factors in S&P's
expectation of a near-term improvement in liquidity, which S&P
currently sees as "less than adequate" under its criteria.
Specifically, S&P expects a revision of the covenant threshold
under the group's US$2 billion long-term facility from Sberbank
soon, an increase in the amount of committed credit lines, and
further improvement in the group's maturity profile later in 2013.
Management and the board's ability to deliver on their plans to
raise the group's corporate governance standards and improve
management's depth and breadth will be an additional crucial
element in maintaining the rating at the current level.

"Under our revised forecast, we see ENRC's adjusted debt
stabilizing at about US$5.8 billion in 2013 with funds from
operations (FFO) to debt in a range from 20% to 25%, compared with
our 2012 forecast at the lower part of the range.  We factor in no
new acquisitions and capex of only US$1.7-US1.8 billion in 2013.
Underlying 2013 assumptions are high carbon ferrochrome prices of
US$0.93/pound and iron ore prices coming down to an average
US$120/metric ton.  The contribution from ENRC's copper and cobalt
assets in the Democratic Republic of the Congo (DRC) will be
modest for the next couple of years, but we foresee substantial
upside from these assets after 2014, provided the company
successfully manages associated the high country and project
risks," S&P said.

S&P's assessment of management and governance as "weak" according
to its criteria takes ENRC's previous track record into account.
That said, S&P views the group's 2012 initiatives positively,
including the appointment of a new chairman and senior independent
director, commitment to raising corporate governance standards,
and intention to improve management's depth and breadth.

The rating continues to reflect S&P's assessment of the groups
business risk profile as "fair."  Commodity price and exchange
rate volatility, the capital intensity of ENRC's business, and
project risks related to its sizable investment plan constrain the
group's business risk profile.

The rating reflects the group's stand-alone credit quality.
Although ENRC is 11.6% government owned, we see a "low" likelihood
that the Republic of Kazakhstan (BBB+/Stable/A-2) would provide
timely and sufficient support to ENRC in the event of financial

The negative outlook continues to reflect the possibility of a
downgrade in 2013 if the company fails to improve liquidity in the
next several months, including increasing the covenant threshold,
as S&P currently anticipates.  S&P might also consider a downgrade
over the next six to 12 months if it were to see a significant
increase in debt because of higher-than-assumed negative free cash
flow without disposals or other actions, such that FFO to debt
remained below 20%.

S&P might revise the outlook to stable if the group's FFO-to-debt
ratio remained comfortably within the 20% to 25% range and it saw
a marked improvement in liquidity and a positive track record in
management and governance.


COSAN LUXEMBOURG: Moody's Rates New $400MM Senior Notes 'Ba2'
Moody's Investors Service assigned a Ba2 foreign currency rating
to Cosan Luxembourg's proposed issuance of US$400 million 10-year
senior unsecured notes. The Ba2/ Corporate Family rating and
Ba2 existing senior notes rating are unaffected by this action.
The ratings outlook is stable. The proposed notes will be
unconditionally guaranteed by Cosan S.A. Proceeds will be used to
repay part of the company's BRL3.3 billion debentures, used to
fund the Comgas acquisition.

Ratings Rationale:

Cosan's Ba2 ratings reflect primarily the company's diversified
portfolio of businesses, including the entire sugar-ethanol chain,
fuel and lubes distribution, land management, and commodities
transportation and logistics in Brazil. The acquisition of a 60.1%
in gas distributor Comgas (Baa3 Stable), concluded on November
5th, will further diversify the company's earnings stream and
translate into a more stable cash source over the long-term.
Moreover, Moody's expects Raizen and Comgas to distribute a
significant amount of dividends over the next several years, which
will represent the bulk of the company's cash generation.

Constraining the ratings is Cosan's acquisitive profile, which
includes, in addition to Comgas, the potential acquisition of a
5.67% stake in ALL (Ba3/Stable) amounting to BRL897 million.
Comgas transaction pressured Cosan's credit metrics in the short-
term, leading to an increase in pro-forma adjusted gross leverage
(including Comgas but excluding Raizen) to about 5.0x in December
2012, . Moreover, Moody's views execution risks related to the
integration of such different operations to be high and could
impact financial performance and reduce management focus.

Moody's considers Cosan's current liquidity as adequate. Its
reported cash position of BRL2.3 billion as of December 2012 is
sufficient to cover short term debt by about 1.3x. With the
incorporation of Comgas, Cosan's capital expenditures would
increase by about BRL 600 million to BRL3.3 to BRL3.5 billion per
year by Moody's estimates. In Moody's view, this could reduce
liquidity in the case of a lower than expected dividend stream.
Moreover, Cosan's liquidity commitment in the joint up to USD 500
million committed facility with Shell to Raizen in case of
emergency financial needs may be an additional call on Cosan's
liquidity. Although not likely, given Raizen's strong credit
profile, Moody's estimates that Cosan could have a cash
disbursement of at least BRL300 million as a result of this

Cosan's notes may be subject to structural subordination depending
on the future debt and guarantee structure at its subsidiaries and
could be notched down from the CFR.

The stable outlook reflects Moody's view that Cosan will be able
to fund future capital investments with cash generation and also
from the dividends inflow from Raizen and Comgas, thus being able
to maintain leverage below 3.5x over time and profitability near
current levels. It also considers that the company will conduct
any future acquisition plans in a prudent manner, in order not to
impact its current credit metrics.

The ratings could be upgraded if Cosan proves able to integrate
its recent acquisitions, while preserving cash generation and
current credit metrics. Quantitatively, that would be the case if
leverage approaches 3.0x, CFO/Net Debt above 35% and
EBITA/interest expense higher than 4.0x.

A downgrade could result from a deterioration in liquidity and
also from the inability of keeping operating margins near current
levels. More specifically, the ratings could be downgraded if
total adjusted debt to EBITDA is sustained above 4.0x, CFO/Net
Debt less than 20% and EBITA/ interest expense below 3.5x. A large
debt funded acquisition could also put downward pressure on the

Headquartered in Sao Paulo, Cosan S.A. Industria e Comercio, is a
conglomerate with businesses in the sugar & ethanol space, fuel
and gas distribution, land management of agricultural properties,
logistics and production and commercialization of lubes. For the
LTM period ended in December, 2012 the company posted net sales of
BRL 27.3 billion and adjusted EBITDA margin of 12.7%.

The company's largest assets are Raizen (50% stake) and Comgas
(60% stake). Raizen (Baa3 Stable), formed through a 50-50 JV with
Shell, is globally one of the leading players in the growing of
sugar and ethanol business, with an installed crushing capacity of
65 million tons of sugarcane, and domestically the third largest
fuel distributor, with 4,700 service stations principally under
the Shell brand. Comgas (Baa3 Stable) is the largest distributor
of natural gas in Brazil, with a concession area that covers 27%
of country's GDP. Since Comgas' acquisition was closed in
November, 2012 only two months of financials were so far
consolidated into Cosan's results. Cosan also produces and
distributes lubes and base oils under the Mobil brand; has a 75%
stake in Rumo, a leading logistics provider for the transportation
and loading of sugar and has a 37.7% stake in Radar, a land
management company with various interests in agricultural
properties. The acquisition of a 5.7% stake in ALL, a provider of
rail and trucking logistics services with six concessions in
Brazil and Argentina, is still pending.

The principal methodology used in this rating was the Global Food
- Protein and Agriculture Industry Methodology published in
September 2009.

Moody's National Scale Ratings (NSRs) are intended as relative
measures of creditworthiness among debt issues and issuers within
a country, enabling market participants to better differentiate
relative risks. NSRs differ from Moody's global scale ratings in
that they are not globally comparable with the full universe of
Moody's rated entities, but only with NSRs for other rated debt
issues and issuers within the same country. NSRs are designated by
a ".nn" country modifier signifying the relevant country, as in
".mx" for Mexico.

COSAN LUXEMBOURG: S&P Assigns 'BB' Rating to 10-Yr. Senior Notes
Standard & Poor's Ratings Services said that it assigned its 'BB'
issue-level rating to Cosan Luxembourg S.A.'s proposed 10-year
senior unsecured notes.  The rating on the issue reflects the
credit quality of Cosan Luxembourg's parent company, Cosan S.A.
Industria e Comercio (Cosan; BB/Positive/--), which will
irrevocably and unconditionally guarantee the notes.

Cosan will use the proceeds of the notes to refinance part of the
R$3.3 billion debenture proceeds, which it used to acquire
Companhia de Gas de Sao Paulo (Comgas) in November 2012.  In S&P's
view, this will help to smooth Cosan's debt amortizations and
improve its capital structure.

S&P has recently revised the outlook on Cosan to positive from
stable.  S&P expects that the Comgas' acquisition and Cosan's
increased cash flows derived from stable segments--such as gas and
fuel distribution and logistics--to result in more resilient and
predictable cash flows.  Stronger cash generation, which could
lower adjusted debt to EBITDA to less than 3.5x, coupled with the
maintenance of an adequate liquidity could lead to an upgrade.


Cosan S.A. Industria e Comercio
  Corporate credit rating         BB/Positive/--

Rating Assigned

Cosan Luxembourg S.A.
  Senior unsecured notes*         BB

(Guaranteed by Cosan S.A. Ind£stria e Comercio)

COSAN LUXEMBOURG: Fitch Assigns 'BB+' Rating to Unsecured Notes
Fitch Ratings has assigned a 'BB+' rating to a proposed senior
unsecured notes issue of Cosan Luxembourg S.A., in the amount of
US$400 million due 2023. The notes will be unconditionally and
irrevocably guaranteed by Cosan S.A. Industria e Comercio and will
rank equally with all Cosan's unsecured indebtedness. Net proceeds
will be used to prepay a portion of Cosan's BRL3.3 billion
debentures issued to finance Comgas' acquisition.


Cosan's ratings reflect the increasing contribution of a more
diversified asset portfolio and more predictable cash flow
businesses on a consolidated basis, which partially soften the
impacts of the volatility of the sugar and ethanol industry.
Cosan's ratings fundamental has been positively enhanced by the
creation of a joint-venture with Shell Brazil Holdings BV, under
conservative financial terms, and it is strongly linked to
Raizen's credit profile, given the relevance of this joint venture
compared to Cosan's consolidated performance (55% of 2013 EBITDA,
as per Fitch estimates). Cosan's pro forma credit ratios,
considering the last 12 months (LTM) EBITDA of Comgas, its robust
liquidity position and its manageable debt profile further support
the ratings.

The high volatile sugar & ethanol industry fundamentals, exposure
to climatic conditions and challenges related to the ethanol's
industry dynamics in Brazil, currently strongly linked to gasoline
regulated prices and governmental policies related to this issue,
are further incorporated into the ratings.

Increased Diversification & Lower Exposure to Sugar & Ethanol:
Comgas' acquisition was strategically positive for Cosan, as it
contributes to broader business diversification and should lessen
its cash flow volatility. This transaction also enhanced Cosan's
presence in the energy segment, which, together with logistics,
are the main focus on the company's business plan going forward.
As per Fitch estimates, the contribution of more stable business
for Cosan's cash flow should range from 52% in the 2011/2012
harvest period to the 65%-75% range in the next three years,
depending on the sugar and ethanol prices behavior and speed of
planned expansion projects. Fitch estimates Cosan 2013 EBITDA
breakdown by segment as follows: 35% natural gas distribution, 32%
sugar and ethanol, 19% fuel distribution, 8% logistics and 6%

Leverage on a Declining Trend as Expected:
Cosan's pro forma net debt/EBITDA considering Comgas' LTM EBITDA
is 3.2x, despite lower than historical EBITDA margins of the
acquired company in that period, due to some cost mismatches to be
passed through its tariffs. Considering a normalized EBITDA for
Comgas, Cosan's pro forma net leverage on a consolidated basis
would be around 3.1x. This ratio compares favorably with the 3.3x
pro forma net leverage ratio as of March, 2012. Fitch's debt
calculations also consider rescheduled taxes net of credits to be
received from ExxonMobil, pension fund obligations (mostly
migrated from Comgas) and intercompany loans.

Considering the mid-point of the sugar and ethanol price cycle,
the agency estimates that Cosan should maintain its net leverage
around 3.0x while preserving a robust liquidity position to reduce
the risks related to the inherent cyclicality of some of its

Robust Liquidity Essential to Support Ratings:
Cosan has maintained robust liquidity. As of Dec. 31, 2012, its
consolidated cash position amounted to BRL2.3 billion and covered
its short-term debt of BRL1.8 billion by 1.3x. Considering also
cash flow from operations (CFFO), the cash+CFFO/short-term debt
ratio would be strong at 3.0x. Debt maturity profile was
adequately distributed, with concentration in the long term.

Fitch expects that Cosan will continue to adequately manage its
short-term debt maturities and to preserve a robust liquidity, in
order to be prepared for occasional market downturns. The
favorable terms of the financing line obtained to finance the
Comgas acquisition, characterized by an eight-year tenor with a
two-year grace period, also positively contributed for the
company's financial profile.

Increased Cash Flow Generation:

Cosan presented a robust operational performance on a consolidated
basis in the LTM period ended December 2012. Net revenues, EBITDA
and CFFO amounted to BRL27.3 billion, BRL2.5 billion and BRL3.1
billion, respectively, which compare positively to BRL24.1
billion, BRL2.1 billion and BRL2 billion reported in March 2012,
excluding the non-recurring effects of the creation of Raizen
(BRL3.2 billion).

Cosan's EBITDA expansion reflects, among other factors, the strong
performance of the fuel distribution activities, which benefited
from advances in the gas stations rebranding process and a
favorable product mix and higher operational margins in the sugar,
ethanol and cogeneration business, driven mainly by a greater
crushing volume, adequate price hedging strategy and increased
cogeneration revenues in that period. The beginning of
consolidation of the agricultural land development business,
conducted through the subsidiary Radar, also contributed with an
incremental EBITDA of BRL96 million.

Pending Negotiations on Acquisition of ALL Shares:
Cosan is also negotiating the purchase of a 5.7% stake on America
Latina Logistica, for BRL896.5 million, which was not incorporated
in Fitch's financial projections. The transaction is still
dependent upon the approval of other signatories of ALL's
shareholders agreement and also from the Brazilian Transport
Regulatory Agency and the Brazilian Antitrust Council. In case the
acquisition is concluded, Fitch estimates that Cosan's
consolidated net debt/EBITDA ratio on a pro forma basis would
range between 3.0x and 3.3x depending on the funding strategy for
this transaction.


A positive rating action could be driven in the medium term by
lower than expected leverage, coupled with the maintenance of more
stable and predictable cash flows.

Any action related to Raizen's ratings could have an impact on
Cosan's ratings. Factors that could lead to a negative rating
action include further acquisitions or investments not
contemplated in the current business plan that could result in
leverage levels beyond expectations and/or material refinancing
needs. Should net leverage exceed Fitch expectations and be above
3.5x on a recurring basis, it would trigger a negative rating

Fitch currently rates Cosan as follows:

-- Foreign and local currency Issuer Default Ratings (IDRs)
-- National scale rating 'AA-(bra)'.

Cosan Overseas:
-- Foreign currency IDR 'BB+';
-- Perpetual notes 'BB+'.

The Rating Outlook of the corporate ratings is Stable.

Z BETA: Moody's Assigns 'B2' CFR Following Refinancing
Moody's Investors Service assigned a definitive B2 corporate
family rating and B2-PD probability of default rating to Z Beta
S.a.r.l. following the successful execution of the group's
refinancing and review of the final credit documentation.
Concurrently, Moody's has assigned a definitive B2 instrument
rating to the EUR180 million of Senior Secured Guaranteed Notes,
which were issued by Zobele Holding S.p.a., a wholly owned
subsidiary of Z Beta S.a.r.l. The stable outlook on all ratings
remains unchanged.

Ratings Rationale:

The B2 CFR assigned to Zobele reflects the group's (i) leading
market positions in the development and manufacturing of air care
and insecticides devices for the consumer industry, (ii) strong
and longstanding customer relationships with blue chip companies
in the "Fast Moving Consumer Goods" (FMCG) segment such as Henkel,
Procter & Gamble and Reckitt Benckiser, (iii) exposure to
defensive consumer goods end markets notwithstanding that the
demand for air care and insecticides devices is more discretionary
than other segments of the consumer goods industry, (iv)
acceptable barriers to entry through an established track record
and long term customer relationships, technological know-know, a
broad production and distribution network, and through a large
portfolio of products and patents in its segments of aircare and
insecticides devices, and (v) the group's relatively good
geographical diversification notwithstanding that Zobele is
currently largely exposed to mature developed economies where
penetration rates of air care and insecticides devices is already

The current rating remains constrained by the group's (i)
relatively low and declining operating margins both at the EBITDA
level and in relation to the capital employed by the group, (ii)
customer concentration, with the top four customers accounting for
approximately 80% of group revenues (iii) constrained asset base
as a result of robust demand growth over the last three years,
driven by the strong growth of volumes supplied to key global FMCG
customers, which has negatively impacted operating margins and
free cash flow generation in the recent past due to operating
inefficiencies (210 basis points negative impact on first margin
over the last three years, which Moody's believes has translated
directly into the weaker EBITDA margin), and (iv) relatively weak
free cash flow generation, which is a reflection of the group's
low operating margins and the working capital and capex
investments required to accommodate the strong top line growth.

The liquidity profile of Zobele is adequate pro-forma of the
refinancing with approximately EUR26 million of cash on balance
sheet as adjusted for the offering of the notes and as of
September 2012, EUR30 million availability under the group's new
super senior revolving credit facility and approximately EUR15
million availability under existing factoring lines. Alongside the
group's operating cash flow generation (pre working capital),
which Moody's expects to range between EUR20 million and EUR30
million over the next two years this would be sufficient to cover
operating cash needs mainly resulting from working cash (estimated
at EUR10 million or 3% of revenues), working capital swings of
approximately EUR20-25 million (the insecticides business is very
seasonal and is expected to grow more strongly over the next few
years, which could increase the seasonal working capital swings),
capex required to grow the business (estimated at around EUR20
million per annum) and potential increases in working capital
consumption beyond the seasonal requirements. Moody's gains
comfort from Zobele's portfolio of very strong accounts
receivable, which could be used to increase the group's liquidity
buffer if needed. Moody's notes that Zobele is already using
factoring as a source of liquidity with EUR15 million being
currently raised.

Structural Considerations:

The senior secured notes have been issued by Zobele Holding S.p.a
., a wholly owned subsidiary of Z Beta The guarantors of
the notes and revolving credit facility generated 80.2% of EBITDA
for the twelve months ended 30th September 2012. The security
package mainly consists of pledges over the shares of the main
companies of the Zobele group. There are only immaterial pledges
of tangible assets, receivables or inventories of the group (less
than 10% of group assets).

Zobele has also access to a super senior revolver of EUR30
million, which does not include any maintenance covenants.

Moody's has not applied any notching to the notes due to the low
amount of the revolving credit facility, which ranks ahead of the
senior secured notes.

Moody's also notes that Zobele has converted a EUR146.5 million
shareholder loan into ordinary shares pursuant to the placement of
the notes.

Positive pressure on the rating is currently not anticipated.
Positive pressure would arise over time if Debt / EBITDA would
drop below 4.0x and Zobele would generate sustainably positive
free cash flow leading to a stronger liquidity profile.

Debt / EBITDA trending towards 5.5x coupled with adjusted EBITDA
margin dropping below 12% as well as negative free cash flow
generation leading to a deterioration of the liquidity position of
the group would exert negative pressure on the rating.

Founded in 1919, Zobele is the world's leading developer and
manufacturer of air care and insecticide devices to major FMCG
(Fast moving consumer goods) companies including Henkel, Procter &
Gamble and Reckitt Benckiser. Zobele also markets its products to
regional FMCG companies or retailers such as Lidl, Carrefour or

Zobele is majority owned by UK-based private equity firm Doughty
Hanson, which owns a 75.6% stake in the business.

Zobele operates 7 manufacturing plants, 5 R&D centers, employs
4,600 people, generated revenues of EUR313 mio and an EBITDA of
EUR40 mio in 2011

The principal methodology used in this rating was the Global
Packaged Goods published in December 2012. Other methodologies
used include Loss Given Default for Speculative-Grade Non-
Financial Companies in the U.S., Canada and EMEA published in June


COPERNICUS EURO: Fitch Affirms 'C' Rating on Class D Notes
Fitch Ratings has affirmed Copernicus Euro CDO I B.V. as follows:

EUR9m Class D (ISIN XS0131037045): affirmed at 'Csf', Recovery
Estimate is 0%


The affirmation of the class D note reflects the inevitability of
default on the notes as the current portfolio balance represent
only 29% of the outstanding balance of the class D notes. However,
no writedowns on the notes have been made yet.


Given the current ratings of the notes, sensitivity analysis will
not have any detrimental impact on the ratings.

Copernicus Euro CDO I B.V. is a cash securitization of mainly
European high-yield bonds and leveraged loans. At closing, the
total note issuance of EUR350m was used to invest in a target
portfolio of EUR337.7m.

JUBILEE CDO: Fitch Affirms Rating on Class D Notes at 'CCC'
Fitch Ratings has affirmed Jubilee CDO II B.V., as follows:

-- EUR104m Class A1 (ISIN XS0150181278): affirmed at 'AAAsf';
    Outlook Negative

-- EUR1.0m Class A2 (ISIN XS0150183647): affirmed at 'AAAsf';
    Outlook Negative

-- EUR36.0m Class A-X (ISIN XS0150194768): affirmed at 'AAsf';
    Outlook Negative

-- EUR45.8m Class B1 (ISIN XS0150204740): affirmed at 'BBBsf';
    Outlook Negative

-- EUR7.5m Class B2 (ISIN XS0150210127): affirmed at 'BBBsf'';
    Outlook Negative

-- EUR15.0m Class C1 (ISIN XS0150212503): affirmed at 'Bsf';
    Outlook Negative

-- EUR5.0m Class C2 (ISIN XS0150215860): affirmed at 'Bsf';
    Outlook Negative

-- EUR11.3m Class C3 (ISIN XS0150224003): affirmed at 'Bsf';
    Outlook Negative

-- EUR6.6m Class D (ISIN XS0150227790): affirmed at 'CCCsf';
    Recovery Estimate 0%

-- EUR2.0m Class Q (ISIN XS0150237328): affirmed at 'B+sf';
    Outlook Negative

-- EUR4.3m Class R (ISIN XS0150238219): affirmed at 'BBB+sf';
    Outlook Negative


The affirmation is based on the quality of the portfolio as well
as the available levels of credit enhancement for the notes. The
Negative Outlooks reflect the portfolio's exposure to the long
dated bucket and their subsequent vulnerability to market value
risk. The Negative Outlook on the junior notes is also reflective
of their weak interest coverage ratios which indicate potential
deferral of interest.

The portfolio's exposure to long-dated assets has increased by 14%
to 33% as the transaction is approaching its legal final maturity
in July 2015. In addition, the portfolio is increasingly
concentrated at obligor and industry levels. The top one, top
three and top five obligors represent 8%, 20% and 30%,
respectively while the top three industries, Broadcasting & Media,
Retail, and Banking & Finance represent 35.4% of the pool.

The notes benefit from robust levels of credit enhancement (CE)
due to the transaction deleveraging. Over the past yet the senior
notes were paid down from 96% of their original balance to current
35% as the as transaction benefited from EUR118 million of
prepayments and paydowns. The increase in CE has mitigated the
decrease in Fitch's weighted average rating factor to 'B-' from
'B'/'B-' over the past year.

All over-collateralization tests have been passing since closing
and cushions have been steadily improving since late 2009.


As part of its analysis, the agency considered the sensitivity of
the notes' ratings to the stresses on (i) default rates and (ii)
recovery rates. Lowering the rating of all the assets in the
portfolio by one notch or applying a recovery haircut of 25% to
the assets would not have a material impact on the senior notes'
ratings but may result in downgrades of the mezzanine and junior

Jubilee CDO II B.V. is a securitization of mainly European senior
secured loans, senior unsecured loans, second-lien loans,
mezzanine obligations and high-yield bonds. At closing, a total
note issuance of EUR471.2 million was used to invest in a target
portfolio of EUR450 million. The portfolio is actively managed by
Alcentra Ltd.

KONINKLIJKE KPN: Moody's Rates Proposed Hybrid Securities (P)Ba1
Moody's Investors Service assigned a provisional (P)Ba1 long-term
rating to the proposed issuance of "Capital Securities" (the
"hybrid debt") by Koninklijke KPN N.V. The outlook on the rating
is negative. The size and completion of the hybrid debt remain
subject to market conditions. All other ratings and outlook remain

Moody's issues provisional ratings in advance of the final sale of
securities and these ratings reflect Moody's preliminary credit
opinion regarding the transaction only. Upon a conclusive review
of the final documentation, Moody's will endeavor to assign a
definitive rating to the hybrid debt. A definitive rating may
differ from a provisional rating.

Ratings Rationale:

The (P)Ba1 rating assigned to the hybrid debt is two notches below
the group's senior unsecured rating of Baa2. The two-notch rating
differential primarily reflects the deeply subordinated nature of
the hybrid debt, which is senior only to ordinary shares and ranks
pari passu with preference shares.

The hybrid debt has the following features: (1) these are 60-
year/perpetual securities; (2) KPN has the option to defer coupons
on a cumulative basis and there are payment restrictions on parity
securities and ordinary shares; (3) there is no step-up prior to
year 10, with the first step-up being 25basis points (bps) and the
second step-up taking effect 20 years after the first par call
date with an incremental 75 bps; and (4) there is a step-up of 500
bps upon a change-of-control event and all senior debt gets repaid
first upon such event.

Moody's will treat the hybrid entirely as debt until shareholders
approve the EUR3 billion rights issue in the Annual General
Meeting of Shareholders (AGM) of April 10, 2013, since failure to
complete the rights issue would lead to a step-up of 500bps, which
in Moody's view, represents a high incentive for KPN to call this
instrument. Moody's expectation is that shareholder approval for
the rights issue will be granted, since America Movil, KPN's
largest shareholder with a 29.8% equity stake, has already backed
the rights issue. Once approval for the rights issue is granted,
Moody's expects to assign some equity credit to the hybrid debt.

KPN intends to use the net proceeds from the hybrid debt issuance
primarily to strengthen its capital structure by reducing net
indebtedness. The EUR3 billion rights issue and proposed issuance
of hybrid debt will allow KPN to reduce its leverage and improve
its liquidity profile. This is in the context of a challenging
operating environment in which KPN's performance will remain weak,
affected by regulation, fierce competition and the weak
macroeconomic environment.

The Baa2 senior unsecured rating is supported principally by KPN's
leading position in the Dutch market and the benefits derived from
its geographical diversification in Germany and Belgium, where the
group operates as a mobile-centric market challenger. The rating
also reflects KPN's expected solid liquidity profile after the
successful completion of its announced rights issue and hybrid
debt issuance. These considerations are balanced by (1) KPN's
relatively weak metrics for the rating category, with net
debt/EBITDA (as adjusted by Moody's) trending towards 3.0x through
the rating horizon; (2) its track record of declining operating
performance and profit warnings; and (3) its lack of financial
flexibility, as it has run out of internal options to protect its
financial profile.

Rating Outlook

The negative outlook on the ratings reflects (1) Moody's
expectation that KPN's credit metrics will be weakly positioned
for the Baa2 rating for a sustained period; (2) the current lack
of visibility due to the rapid deterioration in the group's
operating performance; and (3) the execution risk embedded in the
group's business plan. The rating assumes that the EUR3 billion
rights issue and proposed hybrid debt offering will be
successfully completed. Failure to execute the capital raising as
planned would lead to downward pressure on the rating.

What Could Change The Rating Up/Down

As the hybrid rating is positioned relative to another rating of
KPN, either (1) a change in the senior unsecured rating of KPN or
(2) a re-evaluation of its relative notching could have an impact
on the hybrid rating.

Given the negative rating outlook, Moody's does not currently
anticipate upward rating pressure on KPN's senior unsecured
rating. However, the outlook could revert back to stable if KPN is
able to stabilize its operating performance in the Dutch market
and successfully implement its strategy in Germany and Belgium,
while maintaining a net adjusted debt/EBITDA ratio (as adjusted by
Moody's) sustainably below 3.0x and retained cash flow(RCF)/net
adjusted debt in the 20%-25% range.

Conversely, downward pressure on the rating could result from any
deterioration in KPN's operating performance beyond Moody's
expectations for 2013. Specifically, the rating could come under
negative pressure if the company's credit protection measures
weaken, such that its RCF/net adjusted debt drops below 20% and
its net adjusted debt/EBITDA (as adjusted by Moody's) does not
trend towards 3.0x. Moody's anticipates a one-off deterioration in
KPN's metrics in 2014 following the consolidation of Reggefiber,
but also expects leverage ratios to improve thereafter.

Principal Methodologies

The methodologies used in this rating were Global
Telecommunications Industry published in December 2010 and Updated
Summary Guidance for Notching Bonds, Preferred Stocks and Hybrid
Securities of Corporate Issuers published in February 2007.

Koninklijke KPN N.V. is an integrated provider of
telecommunication services in the Netherlands. KPN also provides
mobile telephony services in Germany and Belgium through its
subsidiaries e-plus and BASE. In 2012, the company generated
revenues of EUR12.7 billion and EBITDA of EUR4.5 billion.

KONINKLIJKE KPN: S&P Rates Proposed Hybrid Securities 'BB'
Standard & Poor's Ratings Services said that it had assigned its
'BB' long-term issue rating to the proposed, optionally
deferrable, and deeply subordinated hybrid capital securities to
be issued by Netherlands-based telecom operator Koninklijke KPN
N.V. (BBB-/Stable/A-3).  The instruments are undated in case of
euro-denominated instruments or dated 60 years in case of
sterling-denominated instruments.

S&P understands that the transaction volume and currency-
denomination of the hybrid capital securities is subject to market
conditions but that it will not exceed an equivalent of
EUR2 billion.

S&P considers the proposed hybrid capital securities to have
"intermediate" equity content until their first call dates, which
are not expected to be before 2018, because they meet S&P's hybrid
capital criteria in terms of their subordination, permanence, and
optional deferability during this period.  However, this
assessment is conditional on completion of the announced EUR3
billion rights issue, which is subject to shareholder approval at
the annual general meeting scheduled for April 10, 2013.  KPN's
largest shareholder America Movil (AMX; 29.8% ownership stake)
announced that it will support the rights issue.

If the rights issue is not completed within six months after the
issue date of the proposed hybrid capital securities, KPN has the
right to redeem the securities at 101% of par.  If the securities
are not called, their interest rate increases by 5%.  In that
case, S&P would view these securities as debt instruments with
"minimal" equity content because it would expect the incentive for
KPN to be very high to redeem this instrument as soon as possible.

Furthermore, S&P understands that the proposed hybrid capital
securities will be tax deductible.  Finally, S&P expects that the
amount of issued hybrid capital securities will not exceed 15% of
the group's capitalization in the next five years.

S&P arrives at its 'BB' issue rating on the proposed hybrid
capital securities by notching down from its 'BBB-' long-term
corporate credit rating (CCR) on KPN.  The two-notch differential
between the issue rating and the CCR reflects S&P's notching
methodology, which calls for:

   -- A one-notch deduction for subordination because the CCR on
      KPN is investment grade (that is, 'BBB-' or above); and

   -- An additional one-notch deduction for payment flexibility
      to reflect the fact that the deferral of interest is
      optional and that the CCR is investment grade.

The notching of the proposed hybrid capital securities reflects
S&P's view that there is a relatively low likelihood that KPN will
defer interest.  Should S&P's view change, however, it could
significantly increase the number of downward notches that it
apply to the issue rating.  In addition, S&P would apply a two-
notch deduction for subordination if it downgraded the CCR on KPN
to 'BB+' or below.

In view of what S&P sees as the "intermediate" equity content of
the proposed hybrid capital securities, S&P allocates 50% of the
related payments on these securities as a fixed-interest charge
and 50% as equivalent to a common dividend, in line with its
hybrid capital criteria.  The 50% treatment (of principal and
accrued interest) also applies to S&P's adjustment of debt.


Although the hybrid capital securities are perpetual in case of
the proposed euro-denominated tranche or very-long dated in case
of the proposed sterling-denominated tranche (60-year maturity),
they can be called at any time for tax, gross-up, rating agency,
accounting, or change-of-control events.

KPN can also redeem them for cash as of the first call dates,
which are not expected to be before 2018, and on defined dates
thereafter.  KPN has stated that, if any of these events occurs,
it intends to replace the instrument, although it is not obliged
to do so.  In S&P's view, KPN's statement of intent mitigates the
likelihood of open market purchases by the company, as does its
financial policy, which primarily aims to maintain a conservative
balance sheet and an investment-grade rating.  To support its
credit metrics and balance sheet, KPN announced in December 2012
that it will not pay a final dividend for fiscal year 2012 (ended
Dec. 31).  Furthermore, the dividend for fiscal years 2013 and
2014 was reduced to 3 eurocent per share, compared with
85 eurocent for fiscal year 2011.

The interest to be paid on the proposed capital securities will
increase by 25 basis points in 2023, and a further 75 basis points
20 years after the first call date.  S&P considers the cumulative
100 basis points as a material step-up, which is currently
unmitigated by any commitment to replace the instruments at that
time.  This step-up provides, in S&P's view, an incentive for KPN
to redeem the instruments as early as 2038.

Consequently, in accordance with S&P's criteria, it will no longer
recognize the instruments as having "intermediate" equity content
after the first call date, because the remaining period until its
call date would, by then, be less than 20 years.  However, S&P
will classify the instruments' equity content as "intermediate"
until the first call date as long as S&P believes that the loss of
the beneficial intermediate equity content treatment will not
cause KPN to call the instruments.  KPN's willingness to maintain
or replace the instruments in the event of a reclassification of
equity content to "minimal" is underpinned by its aforementioned
statement of intent.


In S&P's view, KPN's option to defer payment of interest on the
proposed hybrid capital securities is discretionary.  This means
that the company may elect not to pay accrued interest on an
interest payment date because it has no obligation to do so.
However, any outstanding deferred interest payment would have to
be settled in cash if KPN declared or paid an equity dividend or
interest on equal-ranking securities, or if KPN or any of its
subsidiaries redeemed or repurchased common shares or equal-
ranking securities subject to certain exemptions.  S&P sees this
as a negative factor in its assessment of equity content.  That
said, this condition remains acceptable under S&P's rating
methodology because, once the issuer has settled the deferred
amount, it can choose to defer payment on the next interest
payment date.

KPN retains the option to defer coupons throughout the
instruments' life.  The deferred interest on the proposed hybrid
capital securities is cash cumulative, and will ultimately be
settled in cash.


The proposed hybrid capital securities (and coupons) are intended
to constitute direct, unsecured, and deeply subordinated
obligations of KPN.  In addition, they rank junior to all present
and future unsubordinated and subordinated obligations of KPN, and
are senior only to share capital.  As per S&P's criteria, however,
despite their deep subordination, it notches the proposed notes
down by only one notch for subordination.

New Rating

Koninklijke KPN N.V.
Junior Subordinated                    BB

NEW WORLD: S&P Cuts Corporate Rating to 'B+'; Outlook Stable
Standard & Poor's Ratings Services said that it lowered its long-
term corporate rating on Netherlands-headquartered coal miner New
World Resources N.V. (NWR) to 'B+' from 'BB-'.  The outlook is

At the same time, S&P lowered its issue ratings on NWR's senior
secured debt to 'B+' from 'BB-' and on NWR's senior unsecured debt
to 'B-' from 'B'.

The downgrade reflects NWR's very weak results in the fourth
quarter of 2012 and S&P's forecast that its Standard & Poor's-
adjusted debt to EBITDA may increase to about 5.0x in 2013,
compared with the 3.0x-3.5x that S&P sees as commensurate with the
previous 'BB-' rating.  The forecast reflects S&P's view that
NWR's profitability is likely to remain under pressure.  This is
because S&P believes that currently weak coal prices--hard coking
coal of about EUR120 per ton and thermal coal of EUR60 per ton--
together with the unfavorable quality of NWR's production output
will persist through 2013, with only a modest recovery in 2014.

In response to the currently weak industry fundamentals, S&P
understands that management will limit its capital expenditure
(capex) to EUR130 million in 2013, with the aim of achieving
neutral free operating cash flow.  However, in S&P's view, it will
be difficult for NWR to achieve this objective if the current coal
prices persist, particularly because current capex represents
almost the minimum requirement for 2013, and a reduction could
impair the quality of the existing mines' output over time.

Traditionally, S&P has considered NWR's high cash balances and its
moderate financial policy of maintaining maximum reported net debt
to EBITDA at 2x over the cycle as key positive factors for the
rating.  However, NWR's financial flexibility has declined
substantially over the past two years, notably on the back of
weakening coal prices and mining output.  Cash balances have
declined to EUR267 million from EUR529 million over the past two
years and the ratio of reported net debt to EBITDA has risen to
2.5x (as of Dec. 31, 2012).

In S&P's view, NWR is able to achieve mildly negative to neutral
FOCF in the coming 12-18 months in the context of low coal prices,
while maintaining "adequate" liquidity.  S&P considers adjusted
debt to EBITDA of 4.0x-4.5x over the cycle as commensurate with
the rating.  Although S&P forecasts that this ratio will be about
5x in 2013, it projects that it will recover in 2014.

The ratings could come under pressure if NWR achieves adjusted
debt to EBITDA of more than 4.5x on a prolonged basis or if it
expects to report greater negative FOCF in 2013 than S&P assumes.
This could occur in the event of production challenges and/or
lower coal prices than S&P assumes under its base-case scenario
(for example, a decline in output to 10 Mt in 2013 and hard
coking coal of less than EUR120 per ton).  Moreover, S&P do not
believe that there is any meaningful headroom at the current
rating for NWR to undertake a large debt-financed acquisition.

A positive rating action could be triggered by a substantial
recovery in coking coal prices, leading to a sustainable
improvement in NWR's profitability and credit metrics.

ROYAL KPN: Fitch Rates Long-Dated Capital Securities 'BB(EXP)'
Fitch Ratings has assigned Royal KPN N.V.'s (KPN, 'BBB-'/Stable)
proposed reset subordinated perpetual and long-dated capital
securities an expected rating of 'BB(EXP)'. The final rating is
contingent on the receipt of final documents conforming materially
to the preliminary documentation.

KPN intends to raise EUR2 billion in hybrid securities in EUR and
GBP tranches over time. The upcoming hybrid securities are
proposed to be deeply subordinated and to rank senior only to
KPN's ordinary shares, while coupon payments can be deferred at
the option of the issuer. As a result of these features, the
'BB(EXP)' rating assigned to the proposed securities is two
notches below KPN's 'BBB-' Long-term Issuer Default Rating (IDR),
which reflects the securities' increased loss severity and
heightened risk of non-performance relative to the senior
obligations. This approach is in accordance with Fitch's criteria,
"Treatment and Notching of Hybrid in Nonfinancial Corporate and
REIT Credit Analysis" dated December 13, 2012 at

Subject to KPN's AGM on 10 April 2013 approving the company's
EUR3bn rights issue, the proposed securities qualify for 50%
equity credit as they meet Fitch's criteria with regards to
subordination, effective maturity of at least five years, full
discretion to defer coupons for at least five years and limited
events of default. If the rights issue is not completed, KPN may
redeem the securities or there will be a 5% coupon step-up six
months after the securities have been issued.

KPN has a call option to redeem the notes on the first call date
not before 2018, and there will be a coupon step-up of 25bps not
before 10 years after issue and a further incremental step-up of
75 bps 20 years after the first call date. KPN will also have the
option to redeem the notes prior to the first call date for
accounting, tax, rating agency or change of control reasons.

The proposed EUR securities have no maturity date while the GBP
securities are expected to have a 60 year maturity. However, the
issues will no longer be subject to replacement language
disclosing the company's intent to redeem the instrument from 20
years after the first call date with the proceeds of a similar
instrument or with equity. Hence this date is viewed as the
securities' effective maturity date. The instrument's equity
credit would switch to zero five years prior to this date (i.e. 15
years after the first call date).

There is no look-back provision in the securities' documentation,
which gives the issuer full discretion to defer ongoing coupon
payments on these securities. Deferrals of coupon payments are
cumulative. The company will be obliged to make a mandatory
settlement of deferred interest payments under certain
circumstances, including a declaration or payment of a dividend.


KPN's plans to strengthen its balance sheet show that the company
is committed to maintaining its investment grade profile. However,
Q412 results show that the company continues to operate in a
challenging environment. Fitch does not expect KPN's operating
free cash flow to recover significantly in 2013 and 2014.

- Muted Cash Flow Generation
Fitch expects KPN's 2013 underlying EBITDA to be significantly
lower than in 2012. Fitch expects capex to remain around 2012
levels as KPN continues to upgrade its networks to maintain its
leading position in the Netherlands and to boost growth in
Germany. Improvements in operating free cash flow over the next
few years will depend on how successful KPN is in stabilizing its
domestic position and taking market share in Germany.

- Mobile New Entrant Threat
KPN has managed to obtain a good spectrum in the auction, which
should help underpin the company's longer-term competitive
position in the Dutch mobile market. However, Tele2 plans to
launch the fourth mobile network in the Netherlands after
purchasing attractive 800MHz spectrum in the auction to complement
its previously acquired 2.6GHz spectrum. This new entrant is
likely to be intent on gaining market share, which could lead to
increased price competition.

- High Domestic Fixed-Line Competition
Competition also remains intense in the fixed-line segment, where
Dutch cable TV operators are the main threat. Although KPN
stabilized domestic residential broadband subscribers in Q312,
profitability remains under pressure. In response to the cable
threat, KPN is upgrading its network through Reggefiber, KPN's
joint venture to rollout a fibre-to-the-home (FTTH) network in the

- Reggefiber liabilities
KPN could own 100% of Reggefiber by 2017 (after the exercise of
two options, subject to regulatory approval) which leads us to
include all of the Reggefiber-related liabilities when assessing
KPN's credit profile. These liabilities include the exercise of
options to buy the 49% of Reggefiber that KPN does not own, and
the shareholder loans and external financing incurred to support
the FTTH network rollout. By end-2014, when KPN might have to
fully consolidate Reggefiber, Fitch estimates these liabilities
could amount to around EUR2 billion, including the contingent
liability from the last option exercisable as of 2017.


- Continued deterioration in KPN's domestic fixed and mobile

- An expectation that net debt/EBITDA (including Reggefiber-
   related liabilities) could exceed 3.5x on a sustained basis
   could lead to a downgrade


- Successful completion of the proposed EUR4 billion rights
   issue would result in KPN's leverage falling below the key
   3.0x threshold. To consider positive rating action, Fitch
   would also want to see clear evidence that there is a
   sustained improvement in KPN's domestic fixed and mobile


CENTRAL EUROPEAN: Moody's Lowers CFR to Ca; Outlook Negative
Moody's Investors Service downgraded the corporate family rating
(CFR) of Central European Distribution Corporation to Ca and its
probability of default rating to Ca-PD. Concurrently, Moody's has
downgraded to Ca from Caa2 the rating on the senior secured notes
due in 2016 issued by CEDC Finance Corporation International. The
outlook on the ratings is negative.

Ratings Rationale:

"[The] rating action follows the company's announcement on 25
February 2013 of its offer to existing bondholders to exchange
part of their stakes into common equity and part into a reduced
amount of new notes bearing a lower coupon, and Moody's view that
the debt exchange offer -- if it is approved by bondholders --
will represent a distressed exchange", says Paolo Leschiutta, a
Moody's Vice President - Senior Credit Officer and lead analyst
for CEDC. "The offer follows CEDC's failure to secure adequate
financing to repay its US$310 million convertible notes due 15
March 2013 and the unsustainable capital structure given the
currently depressed profitability of the company", continued Mr.

The PDR of Ca-PD reflects Moody's expectation that there will be a
transaction, either in line with the proposed offer or under other
conditions, which is going to represent a distressed exchange. The
CFR of Ca reflects the relatively low recovery rate for notes
holders that will accept the offer and the fact that these
represent most of the liability structure of the company.

The company's proposed offer, which expires on March 22, includes
the following: (1) holders of the US$380 million 9.125% senior
secured notes due 2016 will receive US$508.21 principal amount of
6.5% new senior secured notes due 2020 and 16.52 new shares of
CEDC common stock in exchange for each US$1,000 principal amount
of their notes; (2) holders of the ca. EUR430 million 8.875%
senior secured notes due 2016 will receive US$682.37 principal
amount of 6.5% senior secured notes due 2020 and 22.18 new shares
of CEDC in exchange for each EUR1,000 principal amount of their
notes; and (3) holders of the US$310 million 3% convertible senior
notes due 2013 will receive 8.86 new shares of CEDC common stock
for each US$1,000 principal amount of the notes.

The negative outlook recognizes that further downward pressure
could be exerted on the ratings in the coming weeks if the company
failed to reach an agreement with its bondholders or if other form
of debt restructuring takes place resulting in a greater loss for
bondholders or in a default.

What Could Change the Rating Up/Down

Downward pressure on the rating could develop if (1) the
convertible notes were not re-paid on time or (2) CEDC were to
pursue a debt restructuring through a bankruptcy procedure.
Ratings might be repositioned upwards once the company completes
its restructuring process and manages to reduce its debt burden.

Principal Methodology

The principal methodology used in these ratings was the Global
Alcoholic Beverage Rating Methodology published in September 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.

Headquartered in Warsaw, Poland, CEDC is one of the largest vodka
producers in the world, with annual sales of around 33.2 million
nine-litre cases, mainly in Russia and Poland. Following
investments in Russia over the past two years and the
consolidation since February 2011 of Whitehall Group, an importer
and distributor of premium spirits and wine, CEDC generated net
revenues of around US$830 million during financial year-end
December 2011.


TDA IBERCAJA 6: S&P Lowers Rating on Class D Notes to 'BB-'
Standard & Poor's Ratings Services lowered its credit ratings on
TDA Ibercaja 6, Fondo de Titulizacion de Activos' class A, B, and
D notes.  At the same time, S&P has affirmed its rating on the
class C notes.

On April 30, 2012, S&P lowered its long-term issuer credit rating
(ICR) on Banco Espanol de Credito S.A. (BBB/Negative/A-2).

Banco Espanol de Credito is the swap provider for TDA Ibercaja 6.
Following its April 30, 2012 downgrade, it took the remedy actions
in accordance with the transaction documents.  After further
analysis, S&P has concluded that the documented remedies are not
in line with its 2012 counterparty criteria or with any previously
published versions.  Therefore, while giving benefit to the swap
in S&P's analysis, the maximum rating achievable by the notes in
this transaction is the long-term ICR on the swap provider.  S&P
has conducted its analysis without giving benefit to the swap
agreement to see if the notes are able to achieve a rating higher
than the long-term ICR on the swap provider ('BBB').

In accordance with S&P's 2012 counterparty criteria and using the
latest available portfolio and structural features information,
S&P has conducted a credit, cash flow, and structural analysis--
with and without giving benefit to the swap agreement.

This transaction has experienced an increasing level of long-term
delinquencies.  As of Dec. 31, 2012, 90+ days arrears up to
defaults (defined in this transaction as loans in arrears for more
than 18 months), represented 1.32% of the outstanding balance of
the pool, which is almost twice the previous year's level.
Cumulative defaults now represent 1.35% of the initial balance of
the pool.  The transaction's performance has slightly deteriorated
and the reserve fund has been partially used to cure defaults in
the underlying portfolio since August 2012.

The swap agreement in this transaction provides a significant
amount of support to the structure.  The swap counterparty pays
three-month EURIBOR (Euro Interbank Offered Rate) plus a margin of
60 basis points (bps), plus servicing fees if the servicer is
replaced.  While in the scenarios where S&P assumes that there is
no swap agreement, interest income (in addition to three-month
EURIBOR) is limited to the margin on the pool, which as of
Dec. 31, 2012 was 53 bps--after assuming margin compression and
further stresses.

"In our cash flow analysis without giving benefit to the swap
agreement, none of the classes of notes has experienced a
sufficient increase in credit enhancement to allow it to support a
rating higher than the long-term 'BBB' ICR on the swap
counterparty.  Since we first rated this transaction (February
2011), the credit enhancement for the class A notes has increased
to 9.03% from 7.73% and for the class B notes to 6.14% from 5.29%.
Therefore, the maximum rating that the class A and B notes can
achieve in scenarios without giving benefit to the swap agreement
is 'BBB (sf)', which is the long-term ICR on the swap provider,
Banco Espanol de Credito.  We have therefore lowered our ratings
on the class A and B notes to 'BBB (sf)' from 'A+ (sf)' and 'A-
(sf)', respectively," S&P said.

"We analyzed the class C and D notes, which we already rate below
the long-term ICR on Banco Espanol de Credito, while giving
benefit to the swap agreement.  The maximum ratings that the class
C and D notes can achieve under this assumption are 'BBB- (sf)'
and 'BB- (sf)', respectively.  We have therefore lowered to 'BB-
(sf)' from 'BB (sf)' our rating on the class D notes and have
affirmed our 'BBB- (sf)' rating on the class C notes," S&P added.

Should the remedy actions under the transaction documents be
amended to comply with S&P's 2012 counterparty criteria, it would
conduct further analysis giving benefit to the swap and take
rating actions accordingly.  All else being equal, only the class
A notes could achieve a rating above the long-term ICR on the swap
provider if such amendments take place.

TDA Ibercaja 6 is a residential mortgage-backed securities (RMBS)
transaction issued by Ibercaja Banco S.A.  It securitizes a
portfolio of first-ranking mortgage loans granted to individuals
in Spain to buy a residential property.


SEC Rule 17g-7 requires an NRSRO, for any report accompanying a
credit rating relating to an asset-backed security as defined in
the Rule, to include a description of the representations,
warranties and enforcement mechanisms available to investors and a
description of how they differ from the representations,
warranties and enforcement mechanisms in issuances of similar
securities.  The Rule applies to in-scope securities initially
rated (including preliminary ratings) on or after Sept. 26, 2011.

If applicable, the Standard & Poor's 17g-7 Disclosure Report
included in this credit rating report is available at:



Class             Rating
            To               From

TDA Ibercaja 6, Fondo de Titulizacion de Activos
EUR1.521 Billion Asset-Backed Floating-Rate Notes

Ratings Lowered

A           BBB (sf)         A+ (sf)
B           BBB (sf)         A- (sf)
D           BB- (sf)         BB (sf)

Rating Affirmed

C           BBB- (sf)


GATEGROUP HOLDING: S&P Affirms 'BB' Corp. Credit Rating
Standard & Poor's Ratings Services said that it revised its
outlook on Switzerland-based airline solutions provider gategroup
Holding AG to negative from stable.

At the same time, S&P affirmed the corporate credit rating at
'BB'.  S&P also affirmed its 'BB' issue rating on the
EUR350 million 6.75% senior unsecured notes due 2019, issued by
wholly owned subsidiary gategroup Finance (Luxembourg) S.A.  The
recovery rating on this instrument is '4', indicating S&P's
expectation of average (30%-50%) recovery prospects in the event
of a payment default.

The negative outlook reflects the deterioration of gategroup's
profitability during 2012, which was weaker than S&P previously
forecasts.  The company reported preliminary like-for-like revenue
growth of 11.3% in 2012, as a result of the Helios acquisition,
rising volumes, and a change in the product mix.  However, in the
same period, the group's reported EBITDA decreased by 15.3% to
Swiss franc (CHF) 170.8 million, reflecting an EBITDA margin of
5.7%.  S&P believes that this resulted from ongoing weak
conditions in the European airline industry, affecting gategroup's
European Airline Solutions business, which accounts for about 40%
of its total revenues.  While the rest of the business showed
reasonably stable growth, this wasn't enough to compensate for the
weak results in Europe.  As a result, S&P calculates that
gategroup's credit measures were weak for the rating category in
the rolling 12 months to Sept. 30, 2012, with Standard & Poor's-
adjusted funds from operations (FFO) to debt of 18.4% and Standard
& Poor's-adjusted debt to EBITDA of 3.8x.  This compares to S&P's
previous forecasts of about 24% and 3.8x, respectively, for 2012.

S&P understands that gategroup has implemented restructuring
measures in its Airline Solutions business in order to align its
operations with the weaker market.  These restructuring measures
will continue in 2013 and include direct labor savings, back-
office streamlining, and portfolio optimization measures.  In
S&P's opinion, if gategroup fails to benefit from these efficiency
improvements in a timely manner, its EBITDA margin could remain
depressed over the next 12-24 months.  The company's recent
operating performance has reflected its inability to fully pass on
cost increases in the short term.  Also, as high jet fuel prices
continue to affect European airline carriers, and they look to cut
costs and implement further cost restructuring programs, S&P
thinks gategroup's profitability could be further affected.

In S&P's view, gategroup's credit profile could remain weak for
the rating category over the next 12-18 months, as the group's
financial risk profile is under pressure from the ongoing weak
conditions in the European airline industry.  In S&P's opinion,
this could lead to the EBITDA margin remaining depressed, such
that it is below 6%, and could result in credit measures that are
weaker than S&P considers commensurate for the 'BB' rating.  S&P
could lower the rating if it were to believe that adjusted FFO to
debt was to fall below 20%, on a sustainable basis.

S&P could revise the outlook to stable if gategroup improves its
reported EBITDA margin through the successful implementing of its
restructuring plan and/or if operating performance improves
significantly as a result of improved market conditions, leading
to FFO to debt of between 20%-25%, on a sustainable basis.


GALATASARAY: Survival Hinges on Share Capital Increase
Hurriyet Daily News reports that Galatasaray Chairman Unal Aysal
has said the club faces risk of bankruptcy if a planned share
capital increase does not materialize.

According to Hurriyet, Mr. Aysal, as cited by daily Radikal, said
that when he took office he realized that the club was in critical
financial condition and he would not have accepted the presidency
if he knew it.

Mr. Aysal also said the club had a deficit of TRY251 million on
May 14, 2011, the day he was elected, Hurriyet notes.

Hurriyet relates that Mr. Aysal, as quoted by Radikal, said some
16 investors have blocked Galatasaray's capital increase by filing
lawsuits against the club and those 16 are not members of the

U N I T E D   K I N G D O M

ARQIVA BROADCAST: Moody's Assigns 'B3' Rating to GBP600MM Notes
Moody's Investors Service assigned a definitive B3 rating to
GBP600 million 9.5% notes due 2020 issued by Arqiva Broadcast
Finance Plc and unconditionally and irrevocably guaranteed by its
sister company Arqiva Financing No 2 Limited and its parent
company Arqiva Broadcast Parent Limited. The Notes have a loss
given default assessment of LGD6 (93%), reflecting their deep
subordination to approximately GBP2.3 billion of senior debt to be
raised within a ring-fenced financing structure around Arqiva
Financing No 1 Limited, a subsidiary of Arqiva Financing No 2.

Concurrently, Moody's has assigned a definitive B1 Corporate
Family Rating and B1-PD probability of default rating (PDR) to
Arqiva Broadcast Parent Limited. The outlook on all ratings is

Ratings Rationale:

The B3 rating of the Notes reflects:

- the medium business risk profile of the Arqiva group as a
primary UK broadcasting and wireless communications infrastructure
services provider;

- forecast gearing of around 7.0x of Consolidated Net Debt to
EBITDA with up to 7.5x allowed before a dividend lock-up is

- financial covenants and other structural features embedded in
the ring-fenced financing around Arqiva Financing No 1, which
restricts the ability of this sub-group to upstream cash to Arqiva
Financing No 2 and, therefore, its ability to service the
intercompany loans on which Arqiva Broadcast Finance relies to pay
debt service under the Notes; and

  - the terms and conditions of the Notes issued by Arqiva
Broadcast Finance.

The B1 CFR assigned to Arqiva Broadcast Parent reflects the medium
business risk profile of the Arqiva group and takes into account
its very high consolidated leverage.

The medium business risk profile is underpinned by relatively
stable and predictable cash flows from the monopoly terrestrial
broadcasting services that Arqiva provides under long-term
contracts, and which Moody's estimates to contribute around 40% of
the group's EBITDA, but which may reduce over time as other
activities such as mobile site sharing grow. The Arqiva group
operates mobile site-sharing towers, where it benefits from a
strong market position in an environment that provides limited
opportunities for new competitors to enter the market, and a
strong customer relationship with high barriers to exit.

Taken together, the broadcasting and wireless tower operations
contribute around two-thirds of the Arqiva group's EBITDA.
However, the strength of its tower operations is somewhat offset
by its satellite operations, which Moody's estimates currently
account for (and expect to continue to account for) slightly more
than 10% of EBITDA. The satellite activities are subject to
significant competitive pressures and lower margins than the
group's tower activities. The Arqiva group also operates digital
broadcasting platforms (leasing spectrum capacity to digital
terrestrial broadcasters), which complement its terrestrial
broadcasting services and are a driver of management's revenue
growth initiatives. However, the future growth of its digital
capacity has been negatively affected by the deferral of the 600
megahertz spectrum auction, which was previously expected to take
place by December 2012.

Certain terms of the financing arrangements at Arqiva Financing No
1 might be considered of some benefit to holders of the Notes
issued by Arqiva Broadcast Finance as, for example, they restrict
the Arqiva group's ability to engage in activities outside of its
core business. However, the occurrence of a trigger event or
distribution lock-up would deprive Arqiva Broadcast Finance of the
revenue on which it would be reliant for its debt service. In
terms of leverage, there is an additional covenant included in the
terms of the Notes, which would restrict distributions from Arqiva
Financing No 2 before the Senior Net Debt/EBITDA trigger level
ratio is breached, providing some protection. However, there is no
dividend cover covenant that would restrict the ability of Arqiva
Financing No 2 to pay dividends if there was a cash shortfall,
arising from either weakness within the operational business or
other lock-up event at Arqiva Financing No 1.

Moody's also notes that part of the senior debt at Arqiva
Financing No 1 will start amortizing in 2018 and some of this
senior bank debt includes terms that will trigger an automatic
cash sweep if these facilities remain outstanding after their
expected maturity dates. If such a cash sweep provision is
triggered, Arqiva Financing No 2 will not receive any
distributions from Arqiva Financing No 1.

The B3 rating for the Notes issued by Arqiva Broadcast Finance and
guaranteed by Arqiva Financing No 2, which is two notches lower
than the B1 CFR and B1-PD PDR, takes into account the deeply
subordinated nature of the Notes. This subordination may result in
very high loss severity in the event of default, particularly in
circumstances where any or all of the financings with higher
priority ranking have also defaulted. The LGD6 (93%) assumption
reflects the debt burden of the wider Arqiva Broadcast Parent
group, which includes approximately GBP2.3 billion of senior
secured debt ranking ahead of the Notes.

Rating Outlook

The stable outlook on the ratings reflects Moody's view that the
financing structure of the Arqiva group is reasonably resilient to
downside sensitivities, given the high visibility of its long-term
contracted cash flows.

What Could Change The Rating Up/Down

Given the group's high leverage and Moody's expectation that there
will be only limited de-leveraging over the life of the Notes,
there is little potential for an upgrade. However, the ratings
could come under downward pressure if there was (i) a material and
adverse change in the industry structure affecting the viability
of terrestrial broadcasting; (ii) the occurrence of a trigger
event or dividend lock-up at Arqiva Financing No 1 or any other
factors were to arise that could increase the likelihood of such
events occurring; and/or (iii) adverse funding conditions which
would make it difficult for the Arqiva group to refinance maturing
debt on reasonable terms. In particular, Moody's will monitor the
amortization profile of the Arqiva Financing No 1 transaction and
the risk of automatic cash sweeps being triggered for certain
senior debt, if not refinanced as expected, which would increase
the risk of cash not being distributed to Arqiva Financing No 2.

The methodologies used in these ratings were Global Communications
Infrastructure Rating Methodology published in June 2011, and Loss
Given Default for Speculative-Grade Non-Financial Companies in the
U.S., Canada and EMEA published in June 2009.

Arqiva Broadcast Finance provides senior secured funding to Arqiva
Financing No 2, an intermediate holding company in the Arqiva
Group of companies. The principal operating subsidiaries of the
group are held within Arqiva Financing No 1.

The Arqiva group owns and operates a portfolio of communications
infrastructure assets and provides television and radio
transmission services, tower sites rental to mobile network
operators, media services and radio communications in the UK and
satellite services in the UK, Europe and the US. In the financial
year ended 30 June 2012, the group delivered revenue of around
GBP832 million and operating profit (after exceptional items) of
GBP124 million.

The Arqiva group is wholly owned by Arqiva Broadcast Holdings
Limited which is itself owned by a consortium of seven shareholder
companies, the two largest being Canada Pension Plan Investment
Board (CPPIB) with a 48% holding and Macquarie European
Infrastructure Fund 2 (MEIF 2) with 25%. Various other Macquarie-
managed funds account for approximately 1.5%, Industry Funds
Management (IFM) holds around 15%, Health Super Investments Pty
Ltd around 5.4%, and Motor Trades Association of Australia (MTAA)
holds around 5.2%.

ARQIVA BROADCAST: Fitch Assigns 'B-' Rating to GBP600MM Notes
Fitch Ratings has assigned Arqiva Financing plc's Series 2013-1a
and Series 2013-1b notes (whole business securitization (WBS)
senior debt) and Arqiva Broadcast Finance plc's senior notes (high
yield (HY) junior debt) final ratings, as follows:

Arqiva Financing plc (WBS issuer):

-- GBP350m Series 2013-1a (WBS) (secured 4.04% fixed-rate) due
    June 2035 (with expected maturity in June 2020): 'BBB';
    Outlook Stable

-- GBP400m Series 2013-1b (WBS) (secured 4.882% fixed-rate) due
    December 2032: 'BBB'; Outlook Stable

Arqiva Broadcast Finance plc (HY issuer):

-- GBP600m senior notes (HY) (9.5% fixed-rate) due March 2020:
    'B-'; Outlook Stable

The transaction is the refinancing of senior and junior bank debt
issued by Arqiva Financing No.1 and No. 2 Limited through the
issuances of GBP750 million of WBS notes, plus GBP1.59 billion of
FinCo term loans (the underlying secured FinCo/senior borrower
loans ranking pari-passu with the underlying WBS issuer/senior
borrower loans), and GBP600 million of structurally subordinated
HY notes. The FinCo term loans are expected to be refinanced under
the WBS programme at a later stage. Arqiva's operations consist of
its ownership of UK's terrestrial TV & radio broadcasting
infrastructure, wireless towers and satellite transmission


The ratings reflect Arqiva's strong operating performance to date
(with EBITDA over the past three years growing at a compounded
annual growth rate (CAGR) of 9.5% with FY12 (financial year ending
June 2012) EBITDA reaching GBP402.6 million), relatively stable
revenues (secured by long-term contracts with many customers
backed by strong credit profiles), and high barriers to entry
(with monopolistic positions in key telecom infrastructure
segments notably in UK digital terrestrial television (DTT) and
radio broadcasting, all under the regulation of UK-based Ofcom,
and a dominant position in the wireless towers sector with 24%
market share). The transaction also benefits from strong
structural features, notably for the senior debt, namely a solid
security package, a full suite of performance-related cash lock-up
triggers, and untypical cash sweep mechanisms (notably for the
FinCo term loans and the Series 2013-1a notes, which are features
not usually seen in UK WBS transactions with the notable exception
of CPUK Finance Ltd which closed a year ago).

Fitch's analysis included assessing how quickly the transaction's
debt levels reduce to compensate for mid-to-long term revenues
risks. For example, these risks could arise from potential funding
issues (e.g. with cuts from both public and private customers of
DTT or radio broadcasting networks) or threats from alternative
technology (such as IPTV), for instance, lowering the demand for
DTT viewing, with key stress points culminating at the contracts'
renewals. Fitch's base case factors in these risks and assumes
some stresses in satellite and radio revenues in the medium term
with low single digit growth, and below inflation increases in
revenues for both the digital platform and wireless towers
divisions (with nominal stresses at renewal of key contracts).

The leverage and prepayment speed brings some comfort as from a
day-one unaudited trailing-12-month (TTM) December 2012 EBITDA
senior leverage of 5.7x (with EBITDA at GBP414.3 million), the
senior debt is expected to be paid back in full under Fitch's base
case (assuming no refinancing) by 2023 (with the exception of the
Series 2013-1b notes which has a fixed scheduled amortization to
2032). This rapid deleveraging is mainly driven by cash sweep
amortization. The junior debt's leverage is assumed to reduce
under Fitch's base case (assuming a generic refinancing scenario)
from over 7.1x to below 6.0x in 2020 (at maturity of the HY notes)
mitigating its refinancing risk. However, the junior debt remains
highly speculative being deeply subordinated and exposed to
dividends pay-out disruptions from the WBS group (which could
trigger their default).

Fitch's synthetic base case debt service coverage ratio for the
senior bonds is relatively high at 1.7x (for the next 15 years)
and 2.0x (until legal final maturity of the amortizing Series
2013-1b notes). These higher levels are warranted given the higher
(long-term) obsolescence risk of Arqiva's underlying technology
compared with other WBS transactions at the same rating level.


An unforeseen change in regulation (by Ofcom) notably with regard
to any changes in its pricing formulas (for DTT or radio
broadcasting), licensing costs (e.g. administrative incentive
pricing (AIP)) or even spectrum allocations could hit Arqiva's
future cash flow and impact the ratings. In addition, the risk of
alternative and emerging technologies (such as IPTV) could
threaten Arqiva's revenues either through technology obsolescence
risk or lower ad-pool available to linear TV content providers.
This risk is currently mitigated by the potential fast
deleveraging of the transaction (assuming cash sweep amortization)
and the long-term contracts securing significant revenues.

A new issue report will shortly be available at

DEWEY & LEBOEUF: Deal With Former UK Partners Approved
Defunct firm Dewey & LeBoeuf LLP creditors filed with the
bankruptcy court in New York in the U.S. a creditor payoff plan
after reaching a settlement with former partners.  In February, a
total of 125 retired Dewey partners, most of them from legacy firm
LeBoeuf, Lamb, Green & MacRae, signed off on a 'partner
contribution plan' under which they agreed to repay the bankruptcy
estate a portion of money they received from the firm in 2011 and
2012 and waive claims against the estate.  In October 2012, 440
former partners agreed to a settlement under which they will
receive releases from clawback claims in return for US$71.5
million in contributions.

Aside from confirming Dewey's Chapter 11 plan on Wednesday, the
Bankruptcy Court approved Wednesday a settlement agreement between
Dewey & LeBoeuf and the Debtor's former UK partners, pursuant to
which the former partners from the United Kingdom will pay at
least US$650,000 in new Partnership Contribution Plan ("PCP")
proceeds to the estate of the UK LLP, the Debtor's separate
limited liability partnership in London.

The bankruptcy court in New York also approved the settlement
reached with the ad hoc committee of retired partners of LeBoeuf,
Lamb, Leiby & MacRae, and certain settling former partners of the
legacy firm that merged into Dewey & LeBoeuf in 2007.  Dewey on
Feb. 26 updated schedule of former partners who have agreed to
participate in the settlement.  A copy of the updated schedule,
dated as of Feb. 26, 2013, is available at

                    Bankruptcy Plan Confirmed

The U.S. Bankruptcy Court confirmed Wednesday Dewey & Leboeuf
LLP's Second Amended Chapter 11 Plan of Liquidation dated Jan. 7,

Pursuant to the declaration of James F. Daloia on behalf of Epiq
Solutions, LLC, holders of Secured Lender Claims (Class 2) Other
Secured Claims (Class 3), and General Unsecured Claims (Class 4)
voted to accept the Plan.  Holders of Insured Malpractice Claims
(Class 5) voted to reject the Plan.

On the effective date of the Plan, Alan M. Jacobs will be deemed
appointed as the liquidation trustee, FTI Consulting, Inc., will
be deemed appointed as the secured lender trustee, and Wilmington
Trust will be deemed appointed as the Delaware trustee for both
trusts established under the Plan.

As of the Effective Date, the Debtor will be dissolved without the
need for any filings with any governmental official or entity.

A copy of the order confirming the Debtor's Modified Second
Amended Chapter 11 Plan of Liquidation dated Jan. 7, 2013, is
available at

The Bankruptcy Court also approved a settlement inked by the
Debtor with the U.S. Pension Benefit Guaranty Corporation, which
settlement provides that Claim No. 635 filed on behalf of the PBGC
(relating to the three D&L Pension Plans) will be allowed as a
non-priority, general unsecured claim in the Bankruptcy case in
the amount of US$120,000,000 which will be paid pro rata with
other creditors' allowed non-priority, general unsecured claims
against the Debtor in accordance with the Plan.

                       About Dewey & LeBoeuf

Dewey & LeBoeuf LLP sought Chapter 11 bankruptcy (Bankr. S.D.N.Y.
Case No. 12-12321) to complete the wind-down of its operations.
The firm had struggled with high debt and partner defections.
Dewey disclosed debt of US$245 million and assets of US$193
million in its chapter 11 filing late evening on May 29, 2012.

Dewey & LeBoeuf LLP operated as a prestigious, New York City-
based, law firm that traced its roots to the 2007 merger of Dewey
Ballantine LLP -- originally founded in 1909 as Root, Clark & Bird
-- and LeBoeuf, Lamb, Green & MacCrae LLP -- originally founded in
1929.  In recent years, more than 1,400 lawyers worked at the firm
in numerous domestic and foreign offices.

At its peak, Dewey employed about 2,000 people with 1,300 lawyers
in 25 offices across the globe.  When it filed for bankruptcy,
only 150 employees were left to complete the wind-down of the

Dewey's offices in Hong Kong and Beijing are being wound down.
The partners of the separate partnership in England are in process
of winding down the business in London and Paris, and
administration proceedings in England were commenced May 28.  All
lawyers in the Madrid and Brussels offices have departed.  Nearly
all of the lawyers and staff of the Frankfurt office have
departed, and the remaining personnel are preparing for the
closure.  The firm's office in Sao Paulo, Brazil, is being
prepared for closure and the liquidation of the firm's local
affiliate.  The partners of the firm in the Johannesburg office,
South Africa, are planning to wind down the practice.

The firm's ownership interest in its practice in Warsaw, Poland,
was sold to the firm of Greenberg Traurig PA on May 11 for
US$6 million.  The Pension Benefit Guaranty Corp. took US$2
million of the proceeds as part of a settlement.

Judge Martin Glenn oversees the case.  Albert Togut, Esq., at
Togut, Segal & Segal LLP, represents the Debtor.  Epiq Bankruptcy
Solutions LLC serves as claims and notice agent.  The petition was
signed by Jonathan A. Mitchell, chief restructuring officer.

JPMorgan Chase Bank, N.A., as Revolver Agent on behalf of the
lenders under the Revolver Agreement, hired Kramer Levin Naftalis
& Frankel LLP.  JPMorgan, as Collateral Agent for the Revolver
Lenders and the Noteholders, hired FTI Consulting and Gulf
Atlantic Capital, as financial advisors.  The Noteholders hired
Bingham McCutchen LLP as counsel.

The U.S. Trustee formed two committees -- one to represent
unsecured creditors and the second to represent former Dewey
partners.  The creditors committee hired Brown Rudnick LLP led by
Edward S. Weisfelner, Esq., as counsel.  The Former Partners hired
Tracy L. Klestadt, Esq., and Sean C. Southard, Esq., at Klestadt &
Winters, LLP, as counsel.

Dewey filed a Chapter 11 Plan of Liquidation and an accompanying
Disclosure Statement on Nov. 21, 2012.  It filed amended plan
documents on Dec. 31, in an attempt to address objections lodged
by various parties.  A second iteration was filed Jan. 7, 2013.
The plan is based on a proposed settlement between secured lenders
and Dewey's official unsecured creditors' committee, as well as a
settlement with former partners.

DFS FURNITURE: Moody's Rates New GBP310MM Notes Issuance (P)B2
Moody's Investors Service assigned a provisional (P)B2 rating with
a loss given default assessment of 3 (LGD3) to the proposed
issuance of GBP310 million of senior secured notes due 2018 by DFS
Furniture Holdings plc. DFS's B2 corporate family rating, B2-PD
probability of default rating and the B2 rating (LGD3) of its
existing GBP170 million senior secured notes due 2017 remain
unchanged. The outlook on all ratings is stable.

DFS plans to utilize the proceeds from the bond offering to (1)
fully refinance its existing senior secured notes due 2017 (GBP170
million), in addition to a GBP20.3 million redemption premium and
accrued interest; and (2) fund a GBP113.0 million dividend
distribution to shareholders.

"The (P)B2 rating we have assigned to the proposed notes is in
line with DFS's CFR, reflecting the limited amount of debt ranking
ahead of the notes in DFS's overall capital structure," says
Richard Morawetz, a Moody's Vice President - Senior Credit Officer
and lead analyst for DFS. "DFS's B2 CFR balances the company's
small scale, the potential for short-term volatility in its
metrics and the expected increase in its leverage following the
transaction with the company's excellent name recognition and
leading market share in the UK upholstered furniture market, and
recent positive trend in earnings."

Moody's issues provisional ratings in advance of the final sale of
debt instruments and these ratings reflect the rating agency's
preliminary credit opinion regarding the transaction only. Upon a
conclusive review of the final documentation, Moody's will
endeavor to assign a definitive rating to the debt. A definitive
rating may differ from a provisional rating.

Ratings Rationale:

The (P)B2 rating assigned to the proposed senior secured notes is
at the same level as the CFR, reflecting the limited amount of
debt ranking ahead of the notes in DFS's overall capital
structure, notably its GBP30 million super senior revolving credit
facility (RCF). Under the terms of an intercreditor agreement, the
liens securing the senior secured notes will rank pari passu with
the liens that secure the RCF, while in the event of an
enforcement of the security, holders of the senior secured notes
will receive proceeds from the security only after the lenders
under the RCF have been repaid in full.

Following the proposed transaction, the company's debt structure
will consist entirely of the GBP310 million of senior secured
notes due 2018, as well as the undrawn RCF. The notes and the
company's RCF are guaranteed by and secured on the assets of the
guarantors, which represented 100% of the company's EBITDA and
99.9% of its assets as of 27 October 2012.

DFS's B2 CFR continues to reflect DFS's excellent name recognition
and leading market share in the UK upholstered furniture market.
The rating further reflects the company's general growth in
earnings in recent years, with reported EBITDA climbing to GBP82
million in FY2012 from GBP71.8 million in FY2010 (before
transaction costs and other minor adjustments). However, the
rating remains constrained by (1) the company's small scale; (2)
the potential for short-term volatility in its metrics principally
due to its exposure to discretionary spending; and (3) its high

In Moody's view, the expected increase in DFS's leverage as a
result of the proposed refinancing transaction will leave the
leverage metric within Moody's guidance for the current rating,
albeit with limited headroom. On the back of DFS's earnings growth
in the past two years, DFS was deemed strongly positioned in the
rating category, with gross adjusted leverage as of October 2012
at approximately 5.3x (before the repurchase of 10% of the then-
outstanding notes in the amount of GBP18.9 million). However,
following the proposed transaction, Moody's expects the related
increase in debt to elevate the company's gross adjusted leverage
(debt/EBITDA pro-forma for the proposed refinancing transaction)
to approximately 6.3x as of October 2012, leaving it weakly
positioned for the rating category and with very limited headroom
for any potential deterioration in earnings. Moody's notes that
the company is estimating further modest growth in EBITDA in the
second quarter of FY2013 (to January 2013), and last-12-month
EBITDA of between GBP83.9 million and GBP84.9 million. Moreover,
the proposed distribution of dividends demonstrates a somewhat
less creditor friendly financial policy even though Moody's
acknowledges that DFS had been actively repurchasing a portion of
its 2010 notes.

Moody's anticipates that DFS's liquidity profile will remain solid
on the basis of continued free cash flow generation, although the
rating agency expects the company's cash balance after the
transaction to fall to approximately GBP10 million (from GBP27
million as of October 2012, which was after a GBP17 million
dividend payment in November 2012 and prior to the debt
repurchased in December 2012).

DFS's liquidity will be further supported by its RCF of GBP30
million, which has remained undrawn since the company was acquired
by the current shareholders in 2010. Moody's expects this RCF to
be fully rolled over during the proposed refinancing. Moody's
notes, however, that the previous leverage covenant of the RCF
will be replaced with a maintenance covenant based on an agreed
EBITDA level, while the notes will contain only debt incurrence
covenants (notably a fixed charge coverage ratio of at least 2.0x
to 1.0x and a senior secured leverage ratio of 3.5x to 1.0x). In
this regard, Moody's believes that the new structure offers
somewhat less protection to creditors in the event of weaker
performance. A weakening in the credit profile could, however,
lead Moody's to revise the current PDR of B2-PD, which reflects
the use of a 50% family recovery rate assumption, consistent with
a loan and bond capital structure. As DFS's debt structure will
consist entirely of the new notes due 2018, with the undrawn RCF
maturing in 2018, the company does not report any short-term debt.


Moody's believes that this transaction will result in the company
being weakly positioned in the rating category and allows limited
headroom for under-performance. However, the stable outlook
reflects Moody's view that, despite the relative weakness in DFS's
metrics following the refinancing, it will be able to sustain its
recent profitable growth trajectory, in part with the benefit of
new store openings, although Moody's expects the company's top-
line growth to remain under pressure in 2013.

What Could Change the Rating Up/Down

For DFS to become more solidly positioned within the rating
category, the company's leverage would need to trend below 6.0x in
the coming quarters. Although upward pressure is unlikely over the
medium term due to the proposed refinancing transaction, a
continued strengthening in earnings in the coming quarters, with
gross adjusted debt trending below 5.5x, could have positive
implications for the rating or outlook. Conversely, the rating or
outlook would likely come under negative pressure if weak consumer
demand results in a decline in DFS's earnings, with gross adjusted
leverage rising above 6.5x on a continued basis. Although not
expected at this time, any concerns about liquidity could also
negatively affect the rating.

Principal Methodology

The principal methodology used in this rating was the Global
Retail Industry published in June 30 2011. Other methodologies
used include Loss Given Default for Speculative-Grade Non-
Financial Companies in the U.S., Canada and EMEA published in June

DFS is a UK retailer of upholstered furniture market. As of
October 2012, the company operated 92 stores across the UK and the
Republic of Ireland, with approximately 1.4 million square feet of
selling space. The company is based in Doncaster, and reported
GBP640.5 million and GBP83.5 million in revenues and EBITDA
respectively during the 52 weeks ended October 27, 2012.

DFS FURNITURE: S&P Rates New GBP310MM Sr. Secured Notes 'B'
Standard & Poor's Ratings Services said that it had affirmed its
'B' corporate credit rating on upholstered furniture retailer DFS
Furniture Holdings PLC (DFS).  The outlook is stable.

At the same time, S&P assigned a 'B' issue rating to the proposed
GBP310 million senior secured notes that DFS plans to issue.  The
recovery rating on these notes is '3', indicating S&P's
expectation of meaningful (50%-70%) recovery in the event of a
payment default.

S&P will withdraw the existing 'B+' issue rating and '2' recovery
rating on the company's existing senior secured notes when the
proposed transaction closes.

S&P notes that the final ratings on the proposed notes are subject
to the closing of the proposed issuance and S&P's receipt and
satisfactory review of the final transaction documentation.

"Our affirmation of the corporate credit rating follows DFS'
proposed dividend recapitalization for GBP310 million.  It
reflects our view that the refinancing will not alter DFS' "highly
leveraged" financial risk and "fair" business risk profiles.  We
understand that DFS intends to use the proceeds of the senior
notes to repay existing GBP191 million notes (including a
redemption premium and accrued interest), distribute a dividend to
its shareholders, and pay for transaction fees.  We also
understand that as part of the transaction, Advent International
Corp., which owns the majority of DFS' share capital, might use
about GBP113 million of the dividend proceeds to reduce the
outstanding balance of the preference shares (accrued interest and
some principal), which we consolidate as debt," S&P said.

S&P's assessment of DFS' financial risk profile takes into account
its highly leveraged capital structure, including significant
operating lease commitments and specific preference shares that
S&P considers as debt.  On the positive side, S&P views liquidity
as "adequate" under its criteria and acknowledge that there are no
near-term refinancing needs.  Another positive factor is the
company's ability to maintain positive free cash flow generation
through difficult market conditions.

DFS' business risk profile continues to be underpinned by its
leading position in the U.K. furniture market, with strong brand
recognition, limited inventory risks, and increased vertical
integration.  In S&P's opinion, weaknesses include its exposure to
adverse discretionary spending trends, weak U.K. macroeconomic
conditions, a limited online presence, and significant marketing

The stable outlook reflects S&P's assessment that DFS will sustain
sales growth of at least low single digits while maintaining its
operating performance momentum, despite ongoing challenges from
softer demand and the overall higher vulnerability of big-ticket
durable-item retailers in the gloomy U.K. retail environment.
Moreover, S&P believes that the company will retain a financial
policy commensurate with the ratings, supported by positive FOCF.

A weakening of DFS' financial profile due to poor trading or
capital investments not fully mitigated by improvements in
earnings could lead S&P to lower the rating.  Specifically, if
FOCF turns negative, adjusted EBITDA cash interest cover falls to
less than 1.5x, or headroom under financial covenants decreases to
less than 15%.

Given the moderate pace of deleveraging that S&P anticipates,
particularly as a result of high interest accrual on the
preference shares and pressures on demand, S&P currently views
ratings upside as remote.  S&P believes an upgrade is unlikely
until DFS' ratio of adjusted debt to EBITDA (including the
preference shares) falls to less than 5.0x.

MID-STAFFORDSHIRE: To be Put Into Administration, Needs Subsidy
The Independent reports that scandal-hit Mid-Staffordshire NHS
Foundation Trust is to be put into administration, an NHS
regulator said.

The move comes two months after officials from Monitor, the NHS
Foundation Trust regulator, concluded it was "clinically and
financially unsustainable" after it was revealed it would need a
subsidy of GBP73 million over five years to keep it afloat,
according to The Independent.

The report relates that Monitor said it was making the move "in
order to safeguard services for local patients."  The trust is
likely to be broken up and some services transferred elsewhere,
the report discloses.

Last month, the report recalls that a public inquiry into failings
at the trust  said patients had suffered appalling care between
2005 and 2009 and that the trust had put corporate  self-interest
and cost control ahead of quality and patient safety.

The report notes that the trust has been the subject of three
inquiries in the last four years and the damage to its reputation
has made it difficult to recruit medical staff and retain the
confidence of patients.

However, the report relates that existing patient services have
been a clean bill of health by the Care Quality Commission.

Monitor is consulting the Health Secretary, Jeremy Hunt, and other
organizations about its proposed move but it is unlikely to be
opposed and once it gets the go-ahead it will appoint special
administrators to take over the running of the Trust, the report

The report notes that the special administrators will produce a
plan for the reorganization of the trust which will go out to
public consultation.

Mid Staffordshire is the first foundation trust - the flagships of
the NHs - to be put into administration, and only the second NHS
trust after the South London Healthcare Trust suffered the same
fate last year, following a report showing it was losing over GBP1
million a week, the report discloses.

TEXTILES DIRECT: In Administration, Six Jobs at Risk
This is Cheshire reports that six more jobs in the town are under
threat after Textiles Direct said they had gone into

Employees were called with the news at the Cockhedge Centre store
and are now hoping bosses can find a buyer, according to This is

The report relates that Jane Lee, who has been working at the
store for four years, said: "We have put closing down signs up but
for now we're trading as normal until we know more."


* Moody's Sees Challenges Ahead for CIS Coking Coal Producers
A recovery in iron ore prices and fairly stable domestic demand
are likely to drive improvements in the financial performance of
iron ore mining companies based in the Commonwealth of Independent
States this year, says Moody's in its latest report on CIS coal
and iron ore mining companies entitled "Recovery in Iron Ore
Prices Is Credit Positive for Producers, But Picture for Coal Is

"While stable demand from domestic electricity generators should
help underpin CIS thermal coal producers' margins in 2013,
challenges lie ahead for CIS coking coal producers as weak
domestic demand and global pricing pressures are likely to
constrain margins," says Denis Perevezentsev, a Vice President -
Senior Analyst in Moody's Corporate Finance Group and author of
the report.

CIS iron ore producers, such as JSC Holding Company METALLLOINVEST
(Ba3 positive), Ferrexpo plc (B3 negative) and Eurasian Natural
Resources Corporation Plc (ENRC, Ba3 negative), are set to benefit
from higher iron ore prices. After hitting a low of about
US$90/ton last September, iron ore prices have surged to about
US$150/ton since the start of this year, a credit positive
development for producers. Although export prices are likely to
moderate, Moody's expects them to remain well above CIS producers'
production costs even after transportation expenses, potentially
leading them to increase exports to China in 2013.

Stable demand for thermal coal within the Russian electric power
sector will support issuers' ratings in 2013, but any upside in
revenue will be export driven. This is because natural gas, which
is widely available in Russia, remains a significantly cheaper
source of fuel and this seems unlikely to change soon. Russian
producers, such as Coal Company KuzbassRazrezUgol, OJSC (KRU, B2
stable) and Siberian Coal Energy Company, OJSC (SUEK, Ba3 stable),
are likely to increase their exports, but stiff competition and
higher transportation costs will constrain margins.

Moody's expects 2013 to be another challenging year for Russian
coking coal producers amid weak domestic demand and global pricing
pressure. However, as Raspadskaya OAO (B1 stable) has low
production costs and fairly strong credit metrics relative to its
rating category, such an environment will not necessarily result
in negative rating actions. Raspadskaya is also ramping up its
coking coal output, which could help support its performance in
2013. Mechel OAO (B2 stable) is more vulnerable because it is
weakly positioned and its rating or outlook might come under
pressure unless its restructuring program generates results very

* Moody's Says Euro Sovereign Debt Market Outlook Still Negative
As the past few days have demonstrated, Moody's Investors Service
believes that euro area's sovereign debt markets remain vulnerable
to further shocks to investor confidence because of limited
advances in euro area countries' growth prospects, debt
trajectories and institutional reforms. As a result, Moody's
outlooks on most euro area sovereign ratings remain negative for
now. Prerequisites for improvements in creditworthiness are not
just a sustained period of calm, but also a reversal of at least
some of the broader economic and political pressures.

Moody's has observed an easing of market tensions in recent
months, with risk premia falling and investors appearing
increasingly willing to invest in debt instruments issued by
peripheral sovereigns and by other borrowers. The oversubscribed
recent bond issuances by Ireland and Portugal and take-up of
issuances from corporates and financial institutions from
peripheral countries are indicative of this trend.

However, market volatility in recent days proves that the euro
area sovereign debt markets remain vulnerable to further shocks to
investor confidence because of the limited fundamental changes in
euro area countries' economic indicators, debt trajectories or
institutional reforms since last July. The growth outlook for
peripheral countries is still weak, and progress in reversing debt
trajectories remains slow and halting. Political and
implementation risks remain significant, with little evidence of
cohesion among policymakers and a rising risk of complacency
setting in as market pressure for reforms subsides. And while the
introduction of the Outright Monetary Transaction facility by the
European Central Bank has successfully reversed the rise in
sovereign debt yields for now, the potential for further shocks
remains, for example with investors in Greece (C) and Cyprus
(Caa3, negative) still exposed to heightened default risk.

Overall, for most euro area countries, the balance of
macroeconomic, political and implementation risks as well as the
'event' risks of further shocks to confidence remain firmly to the
downside, supporting Moody's negative outlooks for most euro area
sovereign ratings.

* BOND PRICING: For the Week February 25 to March 1, 2013

Issuer                  Coupon    Maturity  Currency     Price
------                  ------    --------  --------     -----

A-TEC INDUSTRIES          8.750  10/27/2014      EUR      27.75
A-TEC INDUSTRIES          2.750   5/10/2014      EUR      29.13
IMMOFINANZ                4.250    3/8/2018      EUR       4.29
RAIFF CENTROBANK          8.907   7/24/2013      EUR      58.30
RAIFF CENTROBANK          8.588   1/23/2013      EUR      73.37
RAIFF CENTROBANK          7.965   1/23/2013      EUR      55.53
RAIFF CENTROBANK          7.873   1/23/2013      EUR      66.96
RAIFF CENTROBANK          7.646   1/23/2013      EUR      45.43
RAIFF CENTROBANK          5.097   1/23/2013      EUR      58.24
RAIFF CENTROBANK          8.417   1/22/2014      EUR      67.62
RAIFF CENTROBANK          7.122   1/22/2014      EUR      66.49
RAIFF CENTROBANK         11.134   7/24/2013      EUR      66.13
RAIFF CENTROBANK          9.200   7/24/2013      EUR      56.71
RAIFF CENTROBANK          9.304   1/23/2013      EUR      62.19
RAIFF CENTROBANK          9.876   1/23/2013      EUR      60.11
RAIFF CENTROBANK          9.558   1/23/2013      EUR      67.69
RAIFF CENTROBANK          8.920   1/23/2013      EUR      52.62

ECONOCOM GROUP            4.000    6/1/2016      EUR      22.94
TALVIVAARA                4.000  12/16/2015      EUR      72.61

AIR FRANCE-KLM            4.970    4/1/2015      EUR      12.38
ALCATEL-LUCENT            5.000    1/1/2015      EUR       2.62
ALTRAN TECHNOLOG          6.720    1/1/2015      EUR       5.62
ASSYSTEM                  4.000    1/1/2017      EUR      23.27
ATOS ORIGIN SA            2.500    1/1/2016      EUR      58.17
CAP GEMINI SOGET          3.500    1/1/2014      EUR      38.69
CGG VERITAS               1.750    1/1/2016      EUR      31.64
CLUB MEDITERRANE          6.110   11/1/2015      EUR      17.80
EURAZEO                   6.250   6/10/2014      EUR      55.33
FAURECIA                  3.250    1/1/2018      EUR      17.91
FAURECIA                  4.500    1/1/2015      EUR      19.45
INGENICO                  2.750    1/1/2017      EUR      48.14
MAUREL ET PROM            7.125   7/31/2015      EUR      17.13
MAUREL ET PROM            7.125   7/31/2014      EUR      18.15
NEXANS SA                 2.500    1/1/2019      EUR      66.69
NEXANS SA                 4.000    1/1/2016      EUR      56.09
ORPEA                     3.875    1/1/2016      EUR      47.89
PEUGEOT SA                4.450    1/1/2016      EUR      23.56
PIERRE VACANCES           4.000   10/1/2015      EUR      73.63
PUBLICIS GROUPE           1.000   1/18/2018      EUR      54.06
SOC AIR FRANCE            2.750    4/1/2020      EUR      21.24
SOITEC                    6.250    9/9/2014      EUR       7.25
TEM                       4.250    1/1/2015      EUR      54.36

BNP EMIS-U.HANDE          9.750  12/28/2012      EUR      58.32
BNP EMIS-U.HANDE         10.500  12/28/2012      EUR      47.62
BNP EMIS-U.HANDE          9.500  12/31/2012      EUR      64.67
BNP EMIS-U.HANDE          7.750  12/31/2012      EUR      49.92
COMMERZBANK AG            6.000  12/27/2012      EUR      73.49
COMMERZBANK AG            7.000  12/27/2012      EUR      60.71
COMMERZBANK AG           13.000  12/28/2012      EUR      47.48
COMMERZBANK AG           16.750    1/3/2013      EUR      73.77
COMMERZBANK AG            8.400  12/30/2013      EUR      13.74
COMMERZBANK AG            8.000  12/27/2012      EUR      43.32
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      69.20
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      64.90
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      67.10
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      72.90
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      71.60
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      74.20
DEUTSCHE BANK AG         12.000   2/28/2013      EUR      75.00
DEUTSCHE BANK AG         11.000    4/2/2013      EUR      73.80
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      69.50
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      72.10
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      70.30
DEUTSCHE BANK AG         15.000   2/20/2013      EUR      68.00
DEUTSCHE BANK AG         11.000   1/18/2013      EUR      73.10
DEUTSCHE BANK AG         15.000  12/20/2012      EUR      62.10
DEUTSCHE BANK AG         12.000  12/20/2012      EUR      66.50
DEUTSCHE BANK AG         12.000  12/20/2012      EUR      41.90
DEUTSCHE BANK AG         12.000  12/20/2012      EUR      68.10
DEUTSCHE BANK AG         10.000  12/20/2012      EUR      74.90
DEUTSCHE BANK AG         10.000  12/20/2012      EUR      72.10
DEUTSCHE BANK AG         10.000  12/20/2012      EUR      63.00
DEUTSCHE BANK AG          9.000  12/20/2012      EUR      62.90
DEUTSCHE BANK AG          9.000  12/20/2012      EUR      73.40
DEUTSCHE BANK AG          8.000  12/20/2012      EUR      61.20
DEUTSCHE BANK AG          8.000  12/20/2012      EUR      70.40
DEUTSCHE BANK AG          8.000  12/20/2012      EUR      69.50
DEUTSCHE BANK AG          8.000  12/20/2012      EUR      38.60
DEUTSCHE BANK AG          7.000  12/20/2012      EUR      69.40
DEUTSCHE BANK AG         12.000  11/29/2012      EUR      65.20
DEUTSCHE BANK AG          9.000  11/29/2012      EUR      67.10
DEUTSCHE BANK AG          6.500   6/28/2013      EUR      53.50
DEUTSCHE BANK AG         12.000    4/2/2013      EUR      74.50
DEUTSCHE BANK AG          8.000  11/29/2012      EUR      71.50
DZ BANK AG               15.500  10/25/2013      EUR      71.05
DZ BANK AG               15.750   9/27/2013      EUR      74.86
DZ BANK AG               15.750   7/26/2013      EUR      71.21
DZ BANK AG               15.000   7/26/2013      EUR      75.00
DZ BANK AG                6.000   7/26/2013      EUR      69.50
DZ BANK AG               22.000   6/28/2013      EUR      73.36
DZ BANK AG               18.000   6/28/2013      EUR      69.28
DZ BANK AG               14.000   6/28/2013      EUR      73.43
DZ BANK AG                6.500   6/28/2013      EUR      67.14
DZ BANK AG                6.000   6/28/2013      EUR      65.07
DZ BANK AG               19.500   4/26/2013      EUR      61.83
DZ BANK AG               18.500   4/26/2013      EUR      57.11
DZ BANK AG               17.000   4/26/2013      EUR      15.42
DZ BANK AG               16.500   4/26/2013      EUR      59.63
DZ BANK AG               15.750   4/26/2013      EUR      43.33
DZ BANK AG               14.500   4/26/2013      EUR      56.77
DZ BANK AG               20.000   3/22/2013      EUR      70.81
DZ BANK AG               18.500   3/22/2013      EUR      74.74
DZ BANK AG               13.000   3/22/2013      EUR      74.16
DZ BANK AG               13.000   3/22/2013      EUR      73.95
DZ BANK AG               12.500   3/22/2013      EUR      72.97
DZ BANK AG               12.250   3/22/2013      EUR      74.07
DZ BANK AG               13.750    3/8/2013      EUR      54.29
DZ BANK AG               10.000    3/8/2013      EUR      68.17
DZ BANK AG                9.750    3/8/2013      EUR      73.96
DZ BANK AG               15.000   2/22/2013      EUR      74.66
DZ BANK AG               10.000  11/23/2012      EUR      72.63
DZ BANK AG               18.000   1/25/2013      EUR      61.25
DZ BANK AG               19.000   1/25/2013      EUR      44.10
DZ BANK AG               10.250    2/8/2013      EUR      71.38
DZ BANK AG               10.250    2/8/2013      EUR      71.88
DZ BANK AG               15.000   2/22/2013      EUR      70.66
DZ BANK AG               15.000   2/22/2013      EUR      71.94
DZ BANK AG               15.000   2/22/2013      EUR      69.43
DZ BANK AG               15.000   2/22/2013      EUR      73.27
DZ BANK AG               15.000   2/22/2013      EUR      68.24
DZ BANK AG               15.000   2/22/2013      EUR      67.09
DZ BANK AG               11.500  11/23/2012      EUR      74.94
DZ BANK AG               16.750  11/23/2012      EUR      63.46
DZ BANK AG               20.000  11/23/2012      EUR      41.34
DZ BANK AG                5.000  12/14/2012      EUR      69.68
DZ BANK AG                9.750  12/14/2012      EUR      66.05
DZ BANK AG                6.000    1/2/2013      EUR      74.23
DZ BANK AG                9.500    1/2/2013      EUR      71.10
DZ BANK AG               12.000    1/2/2013      EUR      65.09
DZ BANK AG               16.250    1/2/2013      EUR      68.65
DZ BANK AG               10.500   1/11/2013      EUR      66.00
DZ BANK AG               14.000   1/11/2013      EUR      48.04
DZ BANK AG               15.500   1/11/2013      EUR      53.41
DZ BANK AG               12.500   1/25/2013      EUR      50.73
GOLDMAN SACHS CO         13.000   3/20/2013      EUR      74.90
GOLDMAN SACHS CO         17.000   3/20/2013      EUR      73.30
GOLDMAN SACHS CO         16.000   6/26/2013      EUR      74.30
GOLDMAN SACHS CO         18.000   3/20/2013      EUR      69.10
GOLDMAN SACHS CO         14.000  12/28/2012      EUR      72.60
GOLDMAN SACHS CO         15.000  12/28/2012      EUR      71.70
GOLDMAN SACHS CO         13.000  12/27/2013      EUR      72.70
HSBC TRINKAUS            25.500   6/28/2013      EUR      57.61
HSBC TRINKAUS            30.000   6/28/2013      EUR      46.90
HSBC TRINKAUS            26.000   6/28/2013      EUR      48.63
HSBC TRINKAUS             7.500   3/22/2013      EUR      74.76
HSBC TRINKAUS             7.500   3/22/2013      EUR      74.06
HSBC TRINKAUS             8.000   3/22/2013      EUR      67.07
HSBC TRINKAUS             8.500   3/22/2013      EUR      67.98
HSBC TRINKAUS            10.500   3/22/2013      EUR      72.84
HSBC TRINKAUS            10.500   3/22/2013      EUR      62.42
HSBC TRINKAUS            10.500   3/22/2013      EUR      45.38
HSBC TRINKAUS            10.500   3/22/2013      EUR      65.52
HSBC TRINKAUS            12.000   3/22/2013      EUR      72.94
HSBC TRINKAUS            13.000   3/22/2013      EUR      60.74
HSBC TRINKAUS            13.500   3/22/2013      EUR      60.07
HSBC TRINKAUS            13.500   3/22/2013      EUR      61.08
HSBC TRINKAUS            14.000   3/22/2013      EUR      74.53
HSBC TRINKAUS            14.000   3/22/2013      EUR      61.21
HSBC TRINKAUS            15.000   3/22/2013      EUR      71.40
HSBC TRINKAUS            15.500   3/22/2013      EUR      41.52
HSBC TRINKAUS            16.000   3/22/2013      EUR      72.28
HSBC TRINKAUS            16.000   3/22/2013      EUR      67.45
HSBC TRINKAUS            16.500   3/22/2013      EUR      74.88
HSBC TRINKAUS            17.500   3/22/2013      EUR      58.58
HSBC TRINKAUS            17.500   3/22/2013      EUR      65.46
HSBC TRINKAUS            17.500   3/22/2013      EUR      56.90
HSBC TRINKAUS            18.000   3/22/2013      EUR      74.29
HSBC TRINKAUS            18.000   3/22/2013      EUR      69.93
HSBC TRINKAUS            18.000   3/22/2013      EUR      66.09
HSBC TRINKAUS            18.500   3/22/2013      EUR      55.92
HSBC TRINKAUS            18.500   3/22/2013      EUR      73.85
HSBC TRINKAUS            18.500   3/22/2013      EUR      69.38
HSBC TRINKAUS            18.500   3/22/2013      EUR      39.60
HSBC TRINKAUS            19.000   3/22/2013      EUR      55.12
HSBC TRINKAUS            19.500   3/22/2013      EUR      71.17
HSBC TRINKAUS            19.500   3/22/2013      EUR      67.58
HSBC TRINKAUS            20.000   3/22/2013      EUR      72.33
HSBC TRINKAUS            20.500   3/22/2013      EUR      56.78
HSBC TRINKAUS            21.000   3/22/2013      EUR      70.74
HSBC TRINKAUS            21.000   3/22/2013      EUR      54.43
HSBC TRINKAUS            21.000   3/22/2013      EUR      70.19
HSBC TRINKAUS            22.000   3/22/2013      EUR      38.33
HSBC TRINKAUS            22.000   3/22/2013      EUR      54.00
HSBC TRINKAUS            22.500   3/22/2013      EUR      67.68
HSBC TRINKAUS            23.000   3/22/2013      EUR      52.08
HSBC TRINKAUS            23.500   3/22/2013      EUR      65.24
HSBC TRINKAUS            24.000   3/22/2013      EUR      61.96
HSBC TRINKAUS            24.000   3/22/2013      EUR      67.46
HSBC TRINKAUS            24.000   3/22/2013      EUR      73.10
HSBC TRINKAUS            26.500   3/22/2013      EUR      61.24
HSBC TRINKAUS            27.000   3/22/2013      EUR      53.26
HSBC TRINKAUS            27.500   3/22/2013      EUR      43.48
HSBC TRINKAUS             6.000   6/28/2013      EUR      74.16
HSBC TRINKAUS             6.500   6/28/2013      EUR      68.24
HSBC TRINKAUS             7.000   6/28/2013      EUR      73.22
HSBC TRINKAUS             8.000   6/28/2013      EUR      49.20
HSBC TRINKAUS             8.000   6/28/2013      EUR      72.27
HSBC TRINKAUS             8.500   6/28/2013      EUR      69.16
HSBC TRINKAUS            10.000   6/28/2013      EUR      73.12
HSBC TRINKAUS            10.000   6/28/2013      EUR      67.56
HSBC TRINKAUS            10.000   6/28/2013      EUR      67.11
HSBC TRINKAUS            10.500   6/28/2013      EUR      46.20
HSBC TRINKAUS            11.000   6/28/2013      EUR      63.23
HSBC TRINKAUS            12.500   6/28/2013      EUR      63.33
HSBC TRINKAUS            13.500   6/28/2013      EUR      61.67
HSBC TRINKAUS            14.000   6/28/2013      EUR      70.50
HSBC TRINKAUS            14.000   6/28/2013      EUR      43.06
HSBC TRINKAUS            14.000   6/28/2013      EUR      61.82
HSBC TRINKAUS            15.500   6/28/2013      EUR      67.79
HSBC TRINKAUS            16.500   6/28/2013      EUR      59.22
HSBC TRINKAUS            16.500   6/28/2013      EUR      41.80
HSBC TRINKAUS            16.500   6/28/2013      EUR      71.08
HSBC TRINKAUS            16.500   6/28/2013      EUR      59.77
HSBC TRINKAUS            16.500   6/28/2013      EUR      67.72
HSBC TRINKAUS            17.000   6/28/2013      EUR      57.46
HSBC TRINKAUS            17.500   6/28/2013      EUR      74.75
HSBC TRINKAUS            17.500   6/28/2013      EUR      71.43
HSBC TRINKAUS            18.000   6/28/2013      EUR      70.95
HSBC TRINKAUS            18.500   6/28/2013      EUR      73.14
HSBC TRINKAUS            18.500   6/28/2013      EUR      57.51
HSBC TRINKAUS            19.000   6/28/2013      EUR      40.97
HSBC TRINKAUS            19.000   6/28/2013      EUR      74.92
HSBC TRINKAUS            19.500   6/28/2013      EUR      71.78
HSBC TRINKAUS            19.500   6/28/2013      EUR      59.74
HSBC TRINKAUS            19.500   6/28/2013      EUR      56.67
HSBC TRINKAUS            19.500   6/28/2013      EUR      71.65
HSBC TRINKAUS            21.000   6/28/2013      EUR      54.87
HSBC TRINKAUS            21.000   6/28/2013      EUR      64.56
HSBC TRINKAUS            21.500   6/28/2013      EUR      68.02
HSBC TRINKAUS            22.500   6/28/2013      EUR      60.02
HSBC TRINKAUS            23.500   6/28/2013      EUR      64.88
LANDESBK BERLIN           5.500  12/23/2013      EUR      72.60
LB BADEN-WUERTT           9.000   7/26/2013      EUR      74.42
LB BADEN-WUERTT           6.000   8/23/2013      EUR      74.40
LB BADEN-WUERTT           7.000   8/23/2013      EUR      72.18
LB BADEN-WUERTT           9.000   8/23/2013      EUR      69.10
LB BADEN-WUERTT          10.000   8/23/2013      EUR      73.11
LB BADEN-WUERTT          10.000   8/23/2013      EUR      71.91
LB BADEN-WUERTT          12.000   8/23/2013      EUR      68.83
LB BADEN-WUERTT          12.000   8/23/2013      EUR      69.40
LB BADEN-WUERTT           7.000   9/27/2013      EUR      74.38
LB BADEN-WUERTT           9.000   9/27/2013      EUR      71.33
LB BADEN-WUERTT          11.000   6/28/2013      EUR      67.25
LB BADEN-WUERTT          11.000   9/27/2013      EUR      70.06
LB BADEN-WUERTT           7.000   6/28/2013      EUR      73.23
LB BADEN-WUERTT           7.500   6/28/2013      EUR      67.52
LB BADEN-WUERTT           7.500   6/28/2013      EUR      72.98
LB BADEN-WUERTT           7.500   6/28/2013      EUR      73.55
LB BADEN-WUERTT           9.000   6/28/2013      EUR      69.23
LB BADEN-WUERTT          10.000   6/28/2013      EUR      71.99
LB BADEN-WUERTT          10.000   6/28/2013      EUR      68.21
LB BADEN-WUERTT          10.000   6/28/2013      EUR      65.70
LB BADEN-WUERTT           5.000  11/23/2012      EUR      49.15
LB BADEN-WUERTT           5.000  11/23/2012      EUR      18.44
LB BADEN-WUERTT           5.000  11/23/2012      EUR      49.68
LB BADEN-WUERTT           5.000  11/23/2012      EUR      70.65
LB BADEN-WUERTT           5.000  11/23/2012      EUR      71.98
LB BADEN-WUERTT           7.500  11/23/2012      EUR      73.69
LB BADEN-WUERTT           7.500  11/23/2012      EUR      41.51
LB BADEN-WUERTT           7.500  11/23/2012      EUR      67.76
LB BADEN-WUERTT           7.500  11/23/2012      EUR      42.64
LB BADEN-WUERTT           7.500  11/23/2012      EUR      64.20
LB BADEN-WUERTT           7.500  11/23/2012      EUR      15.76
LB BADEN-WUERTT           7.500  11/23/2012      EUR      61.12
LB BADEN-WUERTT           7.500  11/23/2012      EUR      63.31
LB BADEN-WUERTT          10.000  11/23/2012      EUR      36.96
LB BADEN-WUERTT          10.000  11/23/2012      EUR      14.49
LB BADEN-WUERTT          10.000  11/23/2012      EUR      58.79
LB BADEN-WUERTT          10.000  11/23/2012      EUR      55.36
LB BADEN-WUERTT          10.000  11/23/2012      EUR      71.19
LB BADEN-WUERTT          10.000  11/23/2012      EUR      69.90
LB BADEN-WUERTT          10.000  11/23/2012      EUR      67.15
LB BADEN-WUERTT          10.000  11/23/2012      EUR      38.06
LB BADEN-WUERTT          10.000  11/23/2012      EUR      56.82
LB BADEN-WUERTT          10.000  11/23/2012      EUR      70.92
LB BADEN-WUERTT          10.000  11/23/2012      EUR      74.57
LB BADEN-WUERTT          10.000  11/23/2012      EUR      56.18
LB BADEN-WUERTT          15.000  11/23/2012      EUR      46.61
LB BADEN-WUERTT           5.000    1/4/2013      EUR      51.63
LB BADEN-WUERTT           5.000    1/4/2013      EUR      38.27
LB BADEN-WUERTT           5.000    1/4/2013      EUR      67.54
LB BADEN-WUERTT           5.000    1/4/2013      EUR      18.70
LB BADEN-WUERTT           5.000    1/4/2013      EUR      57.92
LB BADEN-WUERTT           5.000    1/4/2013      EUR      63.31
LB BADEN-WUERTT           7.500    1/4/2013      EUR      54.39
LB BADEN-WUERTT           7.500    1/4/2013      EUR      65.07
LB BADEN-WUERTT           7.500    1/4/2013      EUR      51.99
LB BADEN-WUERTT           7.500    1/4/2013      EUR      32.90
LB BADEN-WUERTT           7.500    1/4/2013      EUR      58.58
LB BADEN-WUERTT           7.500    1/4/2013      EUR      72.77
LB BADEN-WUERTT           7.500    1/4/2013      EUR      16.46
LB BADEN-WUERTT           7.500    1/4/2013      EUR      59.10
LB BADEN-WUERTT           7.500    1/4/2013      EUR      67.25
LB BADEN-WUERTT          10.000    1/4/2013      EUR      66.61
LB BADEN-WUERTT          10.000    1/4/2013      EUR      30.35
LB BADEN-WUERTT          10.000    1/4/2013      EUR      52.62
LB BADEN-WUERTT          10.000    1/4/2013      EUR      70.66
LB BADEN-WUERTT          10.000    1/4/2013      EUR      15.06
LB BADEN-WUERTT          10.000    1/4/2013      EUR      52.34
LB BADEN-WUERTT          10.000    1/4/2013      EUR      60.85
LB BADEN-WUERTT          10.000    1/4/2013      EUR      49.73
LB BADEN-WUERTT          10.000    1/4/2013      EUR      61.11
LB BADEN-WUERTT          10.000    1/4/2013      EUR      58.93
LB BADEN-WUERTT           5.000   1/25/2013      EUR      74.47
LB BADEN-WUERTT           5.000   1/25/2013      EUR      72.12
LB BADEN-WUERTT           5.000   1/25/2013      EUR      25.04
LB BADEN-WUERTT           7.500   1/25/2013      EUR      22.14
LB BADEN-WUERTT           7.500   1/25/2013      EUR      65.50
LB BADEN-WUERTT           7.500   1/25/2013      EUR      61.75
LB BADEN-WUERTT           7.500   1/25/2013      EUR      67.92
LB BADEN-WUERTT           7.500   1/25/2013      EUR      65.65
LB BADEN-WUERTT          10.000   1/25/2013      EUR      73.79
LB BADEN-WUERTT          10.000   1/25/2013      EUR      57.74
LB BADEN-WUERTT          10.000   1/25/2013      EUR      70.62
LB BADEN-WUERTT          10.000   1/25/2013      EUR      61.42
LB BADEN-WUERTT          10.000   1/25/2013      EUR      55.00
LB BADEN-WUERTT          10.000   1/25/2013      EUR      62.58
LB BADEN-WUERTT          10.000   1/25/2013      EUR      72.60
LB BADEN-WUERTT          10.000   1/25/2013      EUR      20.18
LB BADEN-WUERTT          10.000   1/25/2013      EUR      74.43
LB BADEN-WUERTT           5.000   2/22/2013      EUR      72.06
LB BADEN-WUERTT           7.500   2/22/2013      EUR      62.21
LB BADEN-WUERTT          10.000   2/22/2013      EUR      55.52
LB BADEN-WUERTT          15.000   2/22/2013      EUR      47.17
LB BADEN-WUERTT           8.000   3/22/2013      EUR      68.03
LB BADEN-WUERTT          10.000   3/22/2013      EUR      65.16
LB BADEN-WUERTT          12.000   3/22/2013      EUR      66.23
LB BADEN-WUERTT          15.000   3/22/2013      EUR      74.79
LB BADEN-WUERTT          15.000   3/22/2013      EUR      59.20
LB BADEN-WUERTT           5.000   6/28/2013      EUR      68.83
MACQUARIE STRUCT         13.250    1/2/2013      EUR      67.09
MACQUARIE STRUCT         18.000  12/14/2012      EUR      63.38
Q-CELLS                   6.750  10/21/2015      EUR       1.08
QIMONDA FINANCE           6.750   3/22/2013      USD       4.50
SOLON AG SOLAR            1.375   12/6/2012      EUR       0.58
TAG IMMO AG               6.500  12/10/2015      EUR       9.73
TUI AG                    2.750   3/24/2016      EUR      56.50
VONTOBEL FIN PRO         11.150   3/22/2013      EUR      68.40
VONTOBEL FIN PRO         11.850   3/22/2013      EUR      55.54
VONTOBEL FIN PRO         12.000   3/22/2013      EUR      65.10
VONTOBEL FIN PRO         12.050   3/22/2013      EUR      62.30
VONTOBEL FIN PRO         12.200   3/22/2013      EUR      43.92
VONTOBEL FIN PRO         12.200   3/22/2013      EUR      70.66
VONTOBEL FIN PRO         12.700   3/22/2013      EUR      71.00
VONTOBEL FIN PRO         13.700   3/22/2013      EUR      42.16
VONTOBEL FIN PRO         14.000   3/22/2013      EUR      63.30
VONTOBEL FIN PRO         14.500   3/22/2013      EUR      50.88
VONTOBEL FIN PRO         15.250   3/22/2013      EUR      40.58
VONTOBEL FIN PRO         16.850   3/22/2013      EUR      39.28
VONTOBEL FIN PRO         17.450  12/31/2012      EUR      56.96
VONTOBEL FIN PRO         17.100  12/31/2012      EUR      50.44
VONTOBEL FIN PRO         17.050  12/31/2012      EUR      54.28
VONTOBEL FIN PRO         16.950  12/31/2012      EUR      56.32
VONTOBEL FIN PRO         16.850  12/31/2012      EUR      60.40
VONTOBEL FIN PRO         16.700  12/31/2012      EUR      71.48
VONTOBEL FIN PRO         16.550  12/31/2012      EUR      73.86
VONTOBEL FIN PRO         16.450  12/31/2012      EUR      73.60
VONTOBEL FIN PRO         16.350  12/31/2012      EUR      57.44
VONTOBEL FIN PRO         16.150  12/31/2012      EUR      63.18
VONTOBEL FIN PRO         16.100  12/31/2012      EUR      71.56
VONTOBEL FIN PRO         16.050  12/31/2012      EUR      72.06
VONTOBEL FIN PRO         15.900  12/31/2012      EUR      73.46
VONTOBEL FIN PRO         15.750  12/31/2012      EUR      74.18
VONTOBEL FIN PRO         15.250  12/31/2012      EUR      57.52
VONTOBEL FIN PRO         14.950  12/31/2012      EUR      74.14
VONTOBEL FIN PRO         14.700  12/31/2012      EUR      73.84
VONTOBEL FIN PRO         14.600  12/31/2012      EUR      72.78
VONTOBEL FIN PRO         14.600  12/31/2012      EUR      53.42
VONTOBEL FIN PRO         14.550  12/31/2012      EUR      73.38
VONTOBEL FIN PRO         14.500  12/31/2012      EUR      63.86
VONTOBEL FIN PRO         14.450  12/31/2012      EUR      53.02
VONTOBEL FIN PRO         14.350  12/31/2012      EUR      70.94
VONTOBEL FIN PRO         14.350  12/31/2012      EUR      71.90
VONTOBEL FIN PRO         14.300  12/31/2012      EUR      71.30
VONTOBEL FIN PRO         14.300  12/31/2012      EUR      48.14
VONTOBEL FIN PRO         14.100  12/31/2012      EUR      74.06
VONTOBEL FIN PRO         14.000  12/31/2012      EUR      70.76
VONTOBEL FIN PRO         13.600  12/31/2012      EUR      72.66
VONTOBEL FIN PRO         13.550  12/31/2012      EUR      57.82
VONTOBEL FIN PRO         13.500  12/31/2012      EUR      61.24
VONTOBEL FIN PRO         13.150  12/31/2012      EUR      70.92
VONTOBEL FIN PRO         13.050  12/31/2012      EUR      67.64
VONTOBEL FIN PRO         12.900  12/31/2012      EUR      50.58
VONTOBEL FIN PRO         12.800  12/31/2012      EUR      46.66
VONTOBEL FIN PRO         12.650  12/31/2012      EUR      56.42
VONTOBEL FIN PRO         12.650  12/31/2012      EUR      73.70
VONTOBEL FIN PRO         12.550  12/31/2012      EUR      73.98
VONTOBEL FIN PRO         12.250  12/31/2012      EUR      68.20
VONTOBEL FIN PRO         12.000  12/31/2012      EUR      61.78
VONTOBEL FIN PRO         11.950  12/31/2012      EUR      72.42
VONTOBEL FIN PRO         11.950  12/31/2012      EUR      56.12
VONTOBEL FIN PRO         11.950  12/31/2012      EUR      49.92
VONTOBEL FIN PRO         11.900  12/31/2012      EUR      72.76
VONTOBEL FIN PRO         11.850  12/31/2012      EUR      68.54
VONTOBEL FIN PRO         11.750  12/31/2012      EUR      55.44
VONTOBEL FIN PRO         11.700  12/31/2012      EUR      61.98
VONTOBEL FIN PRO         11.600  12/31/2012      EUR      74.12
VONTOBEL FIN PRO         11.450  12/31/2012      EUR      54.80
VONTOBEL FIN PRO         11.400  12/31/2012      EUR      58.20
VONTOBEL FIN PRO         11.150  12/31/2012      EUR      72.30
VONTOBEL FIN PRO         11.000  12/31/2012      EUR      70.90
VONTOBEL FIN PRO         11.000  12/31/2012      EUR      70.64
VONTOBEL FIN PRO         10.900  12/31/2012      EUR      66.40
VONTOBEL FIN PRO         10.550  12/31/2012      EUR      58.50
VONTOBEL FIN PRO         10.550  12/31/2012      EUR      58.28
VONTOBEL FIN PRO         10.500  12/31/2012      EUR      41.50
VONTOBEL FIN PRO         10.050  12/31/2012      EUR      63.46
VONTOBEL FIN PRO          9.950  12/31/2012      EUR      52.92
VONTOBEL FIN PRO          9.950  12/31/2012      EUR      61.94
VONTOBEL FIN PRO          9.900  12/31/2012      EUR      72.76
VONTOBEL FIN PRO          9.650  12/31/2012      EUR      70.46
VONTOBEL FIN PRO          9.600  12/31/2012      EUR      72.14
VONTOBEL FIN PRO          9.600  12/31/2012      EUR      71.92
VONTOBEL FIN PRO          9.500  12/31/2012      EUR      59.22
VONTOBEL FIN PRO          9.400  12/31/2012      EUR      73.08
VONTOBEL FIN PRO          9.400  12/31/2012      EUR      54.40
VONTOBEL FIN PRO          9.350  12/31/2012      EUR      72.40
VONTOBEL FIN PRO          9.250  12/31/2012      EUR      41.18
VONTOBEL FIN PRO          9.150  12/31/2012      EUR      73.58
VONTOBEL FIN PRO          9.050  12/31/2012      EUR      73.74
VONTOBEL FIN PRO          8.650  12/31/2012      EUR      66.36
VONTOBEL FIN PRO         18.500   3/22/2013      EUR      38.32
VONTOBEL FIN PRO         20.900   3/22/2013      EUR      72.12
VONTOBEL FIN PRO         21.750   3/22/2013      EUR      73.52
VONTOBEL FIN PRO          8.200  12/31/2012      EUR      65.04
VONTOBEL FIN PRO          7.950  12/31/2012      EUR      52.66
VONTOBEL FIN PRO         19.700  12/31/2012      EUR      62.56
VONTOBEL FIN PRO         23.600   3/22/2013      EUR      70.72
VONTOBEL FIN PRO          4.000   6/28/2013      EUR      44.06
VONTOBEL FIN PRO          6.000   6/28/2013      EUR      63.20
VONTOBEL FIN PRO          8.000   6/28/2013      EUR      71.76
VONTOBEL FIN PRO          7.700  12/31/2012      EUR      67.42
VONTOBEL FIN PRO          7.400  12/31/2012      EUR      55.46
VONTOBEL FIN PRO          9.550   6/28/2013      EUR      74.90
VONTOBEL FIN PRO          7.250  12/31/2012      EUR      53.62
VONTOBEL FIN PRO         13.050   6/28/2013      EUR      72.48
VONTOBEL FIN PRO          7.389  11/25/2013      EUR      44.60
VONTOBEL FIN PRO          5.100   4/14/2014      EUR      32.80
VONTOBEL FIN PRO         18.200  12/31/2012      EUR      72.38
VONTOBEL FIN PRO         18.200  12/31/2012      EUR      73.86
VONTOBEL FIN PRO         18.850  12/31/2012      EUR      50.70
VONTOBEL FIN PRO         18.850  12/31/2012      EUR      63.10
VONTOBEL FIN PRO         18.900  12/31/2012      EUR      51.46
VONTOBEL FIN PRO         18.950  12/31/2012      EUR      68.80
VONTOBEL FIN PRO         19.300  12/31/2012      EUR      66.04
VONTOBEL FIN PRO         20.000  12/31/2012      EUR      69.94
VONTOBEL FIN PRO         20.850  12/31/2012      EUR      72.94
VONTOBEL FIN PRO         21.150  12/31/2012      EUR      68.12
VONTOBEL FIN PRO         21.200  12/31/2012      EUR      54.82
VONTOBEL FIN PRO         21.200  12/31/2012      EUR      74.18
VONTOBEL FIN PRO         22.250  12/31/2012      EUR      66.40
VONTOBEL FIN PRO         22.700  12/31/2012      EUR      66.06
VONTOBEL FIN PRO         24.700  12/31/2012      EUR      43.38
VONTOBEL FIN PRO         24.900  12/31/2012      EUR      51.50
VONTOBEL FIN PRO         26.050  12/31/2012      EUR      69.82
VONTOBEL FIN PRO         27.600  12/31/2012      EUR      40.62
VONTOBEL FIN PRO         28.250  12/31/2012      EUR      38.08
VONTOBEL FIN PRO         11.000    2/1/2013      EUR      55.10
VONTOBEL FIN PRO         13.650    3/1/2013      EUR      35.30
VONTOBEL FIN PRO         10.100    3/8/2013      EUR      74.60
VONTOBEL FIN PRO          5.650   3/22/2013      EUR      68.18
VONTOBEL FIN PRO          7.500   3/22/2013      EUR      73.88
VONTOBEL FIN PRO          8.550   3/22/2013      EUR      61.34
VONTOBEL FIN PRO          8.850   3/22/2013      EUR      73.64
VONTOBEL FIN PRO          9.200   3/22/2013      EUR      65.12
VONTOBEL FIN PRO          9.950   3/22/2013      EUR      70.06
VONTOBEL FIN PRO         10.150   3/22/2013      EUR      59.84
VONTOBEL FIN PRO         18.050  12/31/2012      EUR      64.74
VONTOBEL FIN PRO         17.650  12/31/2012      EUR      73.18
VONTOBEL FIN PRO         10.300   3/22/2013      EUR      70.72
VONTOBEL FIN PRO         10.350   3/22/2013      EUR      73.54
VONTOBEL FIN PRO         10.750   3/22/2013      EUR      46.30
WGZ BANK                  8.000  12/28/2012      EUR      59.08
WGZ BANK                  8.000  12/21/2012      EUR      66.08
WGZ BANK                  5.000  12/28/2012      EUR      73.18
WGZ BANK                  6.000  12/28/2012      EUR      67.75
WGZ BANK                  7.000  12/28/2012      EUR      63.10
WGZ BANK                  6.000  12/21/2012      EUR      74.00
WGZ BANK                  7.000  12/21/2012      EUR      68.47

BCV GUERNSEY              8.020    3/1/2013      EUR      56.54
BKB FINANCE              10.950   5/10/2013      CHF      62.57
BKB FINANCE              10.150   9/11/2013      CHF      73.89
BKB FINANCE              13.200   1/31/2013      CHF      50.08
BKB FINANCE               9.450    7/3/2013      CHF      68.52
BKB FINANCE              11.500   3/20/2013      CHF      59.30
BKB FINANCE               8.350   1/14/2013      CHF      54.15
EFG INTL FIN GUR         14.500  11/13/2012      EUR      73.04
EFG INTL FIN GUR         17.000  11/13/2012      EUR      64.12
EFG INTL FIN GUR         12.830  11/19/2012      CHF      70.07
EFG INTL FIN GUR          8.000  11/20/2012      CHF      62.03
EFG INTL FIN GUR          8.300  11/20/2012      CHF      64.99
EFG INTL FIN GUR         11.500  11/20/2012      EUR      55.05
EFG INTL FIN GUR         14.800  11/20/2012      EUR      65.84
EFG INTL FIN GUR          9.250  11/27/2012      CHF      68.70
EFG INTL FIN GUR         11.250  11/27/2012      CHF      64.89
EFG INTL FIN GUR         14.500  11/27/2012      CHF      31.64
EFG INTL FIN GUR         16.000  11/27/2012      EUR      59.21
EFG INTL FIN GUR          9.750   12/3/2012      CHF      72.96
EFG INTL FIN GUR         13.750   12/6/2012      CHF      35.12
EFG INTL FIN GUR          8.500  12/14/2012      CHF      58.17
EFG INTL FIN GUR         14.250  12/14/2012      EUR      66.29
EFG INTL FIN GUR         17.500  12/14/2012      EUR      62.97
EFG INTL FIN GUR          9.300  12/21/2012      CHF      64.50
EFG INTL FIN GUR         10.900  12/21/2012      CHF      64.73
EFG INTL FIN GUR         12.600  12/21/2012      CHF      64.81
EFG INTL FIN GUR          8.830  12/28/2012      USD      57.56
EFG INTL FIN GUR         10.000    1/9/2013      EUR      52.73
EFG INTL FIN GUR          9.000   1/15/2013      CHF      27.36
EFG INTL FIN GUR         10.250   1/15/2013      CHF      23.41
EFG INTL FIN GUR         11.250   1/15/2013      GBP      73.41
EFG INTL FIN GUR         12.500   1/15/2013      CHF      28.91
EFG INTL FIN GUR         13.000   1/15/2013      CHF      74.41
EFG INTL FIN GUR         16.500   1/18/2013      CHF      50.63
EFG INTL FIN GUR          5.800   1/23/2013      CHF      69.35
EFG INTL FIN GUR         19.050   2/20/2013      USD      74.67
EFG INTL FIN GUR         15.000    3/1/2013      CHF      71.34
EFG INTL FIN GUR         10.000    3/6/2013      USD      71.83
EFG INTL FIN GUR         12.250  12/27/2012      GBP      67.82
EFG INTL FIN GUR          8.000    4/2/2013      CHF      63.34
EFG INTL FIN GUR         16.000    4/4/2013      CHF      23.40
EFG INTL FIN GUR          7.530   4/16/2013      EUR      49.58
EFG INTL FIN GUR          7.000   4/19/2013      EUR      55.27
EFG INTL FIN GUR         12.000   4/26/2013      CHF      66.95
EFG INTL FIN GUR          9.500   4/30/2013      EUR      28.64
EFG INTL FIN GUR         14.200    6/7/2013      EUR      71.88
EFG INTL FIN GUR          6.500   8/27/2013      CHF      51.39
EFG INTL FIN GUR          8.400   9/30/2013      CHF      63.25
EFG INTL FIN GUR         19.000   10/3/2013      GBP      74.39
EFG INTL FIN GUR          8.160   4/25/2014      EUR      71.56
EFG INTL FIN GUR          5.850  10/14/2014      CHF      57.06
EFG INTL FIN GUR          6.000  11/12/2012      CHF      56.98
EFG INTL FIN GUR          6.000  11/12/2012      EUR      57.81
EFG INTL FIN GUR         10.500  11/13/2012      CHF      65.60
EFG INTL FIN GUR         10.500  11/13/2012      CHF      65.60
EFG INTL FIN GUR         12.750  11/13/2012      CHF      22.70
EFG INTL FIN GUR         12.750  11/13/2012      CHF      71.49
EFG INTL FIN GUR         13.000  11/13/2012      CHF      22.91
EFG INTL FIN GUR         13.000  11/13/2012      CHF      74.82
EFG INTL FIN GUR         14.000  11/13/2012      USD      23.41
EFG INTL FIN GUR         10.750   3/19/2013      USD      71.27
ZURCHER KANT FIN          9.250   11/9/2012      CHF      62.81
ZURCHER KANT FIN          9.250   11/9/2012      CHF      54.03
ZURCHER KANT FIN         12.670  12/28/2012      CHF      70.24
ZURCHER KANT FIN         11.500   1/24/2013      CHF      59.11
ZURCHER KANT FIN         17.000   2/22/2013      EUR      59.39
ZURCHER KANT FIN         10.128    3/7/2013      CHF      64.97
ZURCHER KANT FIN         13.575   4/10/2013      CHF      74.72
ZURCHER KANT FIN          7.340   4/16/2013      CHF      70.68
ZURCHER KANT FIN         12.500    7/5/2013      CHF      70.56
ZURCHER KANT FIN         10.200   8/23/2013      CHF      67.39
ZURCHER KANT FIN          9.000   9/11/2013      CHF      69.23

KAUPTHING                 0.800   2/15/2011      EUR      26.50

ARCELORMITTAL             7.250    4/1/2014      EUR      21.66

BLT FINANCE BV           12.000   2/10/2015      USD      24.88
EM.TV FINANCE BV          5.250    5/8/2013      EUR       5.89
KPNQWEST NV              10.000   3/15/2012      EUR       0.13
LEHMAN BROS TSY           7.500   9/13/2009      CHF      22.63
LEHMAN BROS TSY           6.600   2/22/2012      EUR      22.63
LEHMAN BROS TSY           7.000   2/15/2012      EUR      22.63
LEHMAN BROS TSY           6.000   2/14/2012      EUR      22.63
LEHMAN BROS TSY           2.500  12/15/2011      GBP      22.63
LEHMAN BROS TSY          12.000    7/4/2011      EUR      22.63
LEHMAN BROS TSY          11.000    7/4/2011      CHF      22.63
LEHMAN BROS TSY          11.000    7/4/2011      USD      22.63
LEHMAN BROS TSY           4.000    1/4/2011      USD      22.63
LEHMAN BROS TSY           8.000  12/31/2010      USD      22.63
LEHMAN BROS TSY           9.300  12/21/2010      EUR      22.63
LEHMAN BROS TSY           9.300  12/21/2010      EUR      22.63
LEHMAN BROS TSY          14.900  11/16/2010      EUR      22.63
LEHMAN BROS TSY           4.000  10/12/2010      USD      22.63
LEHMAN BROS TSY          10.500    8/9/2010      EUR      22.63
LEHMAN BROS TSY           6.000   7/28/2010      EUR      22.63
LEHMAN BROS TSY           6.000   7/28/2010      EUR      22.63
LEHMAN BROS TSY           4.000   5/30/2010      USD      22.63
LEHMAN BROS TSY          11.750    3/1/2010      EUR      22.63
LEHMAN BROS TSY           7.000   2/15/2010      CHF      22.63
LEHMAN BROS TSY           1.750    2/7/2010      EUR      22.63
LEHMAN BROS TSY           8.800  12/27/2009      EUR      22.63
LEHMAN BROS TSY          16.800   8/21/2009      USD      22.63
LEHMAN BROS TSY           8.000    8/3/2009      USD      22.63
LEHMAN BROS TSY           4.500    8/2/2009      USD      22.63
LEHMAN BROS TSY           8.500    7/6/2009      CHF      22.63
LEHMAN BROS TSY          11.000   6/29/2009      EUR      22.63
LEHMAN BROS TSY          10.000   6/17/2009      USD      22.63
LEHMAN BROS TSY           5.750   6/15/2009      CHF      22.63
LEHMAN BROS TSY           5.500   6/15/2009      CHF      22.63
LEHMAN BROS TSY           9.000   6/13/2009      USD      22.63
LEHMAN BROS TSY          15.000    6/4/2009      CHF      22.63
LEHMAN BROS TSY          17.000    6/2/2009      USD      22.63
LEHMAN BROS TSY          13.500    6/2/2009      USD      22.63
LEHMAN BROS TSY          10.000   5/22/2009      USD      22.63
LEHMAN BROS TSY           8.000   5/22/2009      USD      22.63
LEHMAN BROS TSY           8.000   5/22/2009      USD      22.63
LEHMAN BROS TSY          16.200   5/14/2009      USD      22.63
LEHMAN BROS TSY           4.000   4/24/2009      USD      22.63
LEHMAN BROS TSY           3.850   4/24/2009      USD      22.63
LEHMAN BROS TSY           7.000   4/14/2009      EUR      22.63
LEHMAN BROS TSY           9.000   3/17/2009      GBP      22.63
LEHMAN BROS TSY          13.000   2/16/2009      CHF      22.63
LEHMAN BROS TSY          11.000   2/16/2009      CHF      22.63
LEHMAN BROS TSY          10.000   2/16/2009      CHF      22.63
LEHMAN BROS TSY           0.500   2/16/2009      EUR      22.63
LEHMAN BROS TSY           7.750   1/30/2009      EUR      22.63
LEHMAN BROS TSY          13.432    1/8/2009      ILS      22.63
LEHMAN BROS TSY          16.000  12/26/2008      USD      22.63
LEHMAN BROS TSY           7.000  11/28/2008      CHF      22.63
LEHMAN BROS TSY          10.442  11/22/2008      CHF      22.63
LEHMAN BROS TSY          14.100  11/12/2008      USD      22.63
LEHMAN BROS TSY          16.000   11/9/2008      USD      22.63
LEHMAN BROS TSY          13.150  10/30/2008      USD      22.63
LEHMAN BROS TSY          16.000  10/28/2008      USD      22.63
LEHMAN BROS TSY           7.500  10/24/2008      USD      22.63
LEHMAN BROS TSY           6.000  10/24/2008      EUR      22.63
LEHMAN BROS TSY           5.000  10/24/2008      CHF      22.63
LEHMAN BROS TSY           8.000  10/23/2008      USD      22.63
LEHMAN BROS TSY          10.000  10/22/2008      USD      22.63
LEHMAN BROS TSY          16.000   10/8/2008      CHF      22.63
LEHMAN BROS TSY           7.250   10/6/2008      EUR      22.63
LEHMAN BROS TSY          18.250   10/2/2008      USD      22.63
LEHMAN BROS TSY           7.375   9/20/2008      EUR      22.63
LEHMAN BROS TSY          23.300   9/16/2008      USD      22.63
LEHMAN BROS TSY          14.900   9/15/2008      EUR      22.63
LEHMAN BROS TSY           3.000   9/12/2036      JPY       5.50
LEHMAN BROS TSY           6.000  10/30/2012      USD       5.50
LEHMAN BROS TSY           2.500   8/23/2012      GBP      22.63
LEHMAN BROS TSY          13.000   7/25/2012      EUR      22.63
Q-CELLS INTERNAT          1.375   4/30/2012      EUR      26.88
Q-CELLS INTERNAT          5.750   5/26/2014      EUR      26.88
RENEWABLE CORP            6.500    6/4/2014      EUR      61.31
SACYR VALLEHERM           6.500    5/1/2016      EUR      51.72

Rorvik Timber             6.000   6/30/2016      SEK      66.00

BANK JULIUS BAER          8.700    8/5/2013      CHF      60.55
BANK JULIUS BAER         15.000   5/31/2013      USD      69.05
BANK JULIUS BAER         13.000   5/31/2013      USD      70.65
BANK JULIUS BAER         12.000    4/9/2013      CHF      56.05
BANK JULIUS BAER         10.750   3/13/2013      EUR      66.60
BANK JULIUS BAER         17.300    2/1/2013      EUR      54.65
BANK JULIUS BAER          9.700  12/20/2012      CHF      75.00
BANK JULIUS BAER         11.500   2/20/2013      CHF      47.15
BANK JULIUS BAER         12.200   12/5/2012      EUR      54.40
CLARIDEN LEU NAS          0.000   6/10/2014      CHF      62.19
CLARIDEN LEU NAS          0.000   6/10/2014      CHF      62.13
CLARIDEN LEU NAS          0.000   5/26/2014      CHF      65.30
CLARIDEN LEU NAS          0.000   5/13/2014      CHF      63.03
CLARIDEN LEU NAS          0.000   2/24/2014      CHF      55.39
CLARIDEN LEU NAS          0.000   2/11/2014      CHF      54.50
CLARIDEN LEU NAS         18.400  12/20/2013      EUR      74.64
CLARIDEN LEU NAS          0.000  11/26/2013      CHF      64.17
CLARIDEN LEU NAS          4.500   8/13/2014      CHF      48.74
CLARIDEN LEU NAS         16.500   9/23/2013      USD      57.03
CLARIDEN LEU NAS          0.000   9/23/2013      CHF      50.04
CLARIDEN LEU NAS          3.250   9/16/2013      CHF      49.05
CLARIDEN LEU NAS          7.500  11/13/2012      CHF      58.71
CLARIDEN LEU NAS          7.250  11/13/2012      CHF      74.60
CLARIDEN LEU NAS         10.250  11/12/2012      CHF      73.60
CLARIDEN LEU NAS          0.000   8/27/2014      CHF      55.45
CLARIDEN LEU NAS          0.000   9/10/2014      CHF      51.16
CLARIDEN LEU NAS          0.000  10/15/2014      CHF      57.48
CLARIDEN LEU NAS          5.250    8/6/2014      CHF      51.70
CLARIDEN LEU NAS          7.000   7/22/2013      CHF      72.18
CLARIDEN LEU NAS         10.000   6/10/2013      CHF      70.08
CLARIDEN LEU NAS          0.000   5/31/2013      CHF      55.87
CLARIDEN LEU NAS          6.500   4/26/2013      CHF      58.21
CLARIDEN LEU NAS          0.000   3/25/2013      CHF      59.57
CLARIDEN LEU NAS          0.000   3/18/2013      CHF      74.71
CLARIDEN LEU NAS         12.500    3/1/2013      USD      74.21
CLARIDEN LEU NAS          9.000   2/14/2013      CHF      66.37
CLARIDEN LEU NAS         11.500   2/13/2013      EUR      57.40
CLARIDEN LEU NAS          0.000   1/24/2013      CHF      66.96
CLARIDEN LEU NAS          8.750   1/15/2013      CHF      68.73
CLARIDEN LEU NAS          8.250  12/17/2012      CHF      61.30
CLARIDEN LEU NAS          0.000  12/17/2012      EUR      67.37
CLARIDEN LEU NAS         12.500  12/14/2012      EUR      72.83
CLARIDEN LEU NAS          0.000  12/14/2012      CHF      36.53
CLARIDEN LEU NAS         12.000  11/23/2012      CHF      47.83
CLARIDEN LEU NAS          8.000  11/20/2012      CHF      74.87
CLARIDEN LEU NAS          7.125  11/19/2012      CHF      58.17
CLARIDEN LEU NAS          7.250  11/16/2012      CHF      58.79
CREDIT SUISSE LD          8.900   3/25/2013      EUR      57.79
CREDIT SUISSE LD         10.500    9/9/2013      CHF      66.05
S-AIR GROUP               0.125    7/7/2005      CHF      10.63
SARASIN CI LTD            8.000   4/27/2015      CHF      68.67
SARASIN/GUERNSEY         13.600   2/17/2014      CHF      71.51
SARASIN/GUERNSEY         13.200   1/23/2013      EUR      72.52
SARASIN/GUERNSEY         15.200  12/12/2012      EUR      73.12
UBS AG                   11.870   8/13/2013      USD       4.68
UBS AG                    9.600   8/26/2013      USD      15.21
UBS AG                   10.200   9/20/2013      EUR      61.15
UBS AG                   12.900   9/20/2013      EUR      57.98
UBS AG                   15.900   9/20/2013      EUR      55.99
UBS AG                   17.000   9/27/2013      EUR      73.19
UBS AG                   17.750   9/27/2013      EUR      73.50
UBS AG                   18.500   9/27/2013      EUR      71.56
UBS AG                   19.750   9/27/2013      EUR      74.84
UBS AG                   20.000   9/27/2013      EUR      70.19
UBS AG                   20.500   9/27/2013      EUR      74.87
UBS AG                   20.500   9/27/2013      EUR      71.43
UBS AG                   21.750   9/27/2013      EUR      72.53
UBS AG                   22.000   9/27/2013      EUR      71.57
UBS AG                   22.500   9/27/2013      EUR      70.55
UBS AG                   22.750   9/27/2013      EUR      67.91
UBS AG                   23.000   9/27/2013      EUR      72.72
UBS AG                   23.250   9/27/2013      EUR      68.81
UBS AG                   23.250   9/27/2013      EUR      68.35
UBS AG                   24.000   9/27/2013      EUR      69.47
UBS AG                   24.750   9/27/2013      EUR      65.71
UBS AG                    8.060   10/3/2013      USD      19.75
UBS AG                   13.570  11/21/2013      USD      16.25
UBS AG                    6.980  11/27/2013      USD      34.85
UBS AG                   17.000    1/3/2014      EUR      74.48
UBS AG                   17.500    1/3/2014      EUR      73.41
UBS AG                   18.250    1/3/2014      EUR      73.31
UBS AG                   18.250    1/3/2014      EUR      74.28
UBS AG                   19.500    1/3/2014      EUR      73.10
UBS AG                   20.000    1/3/2014      EUR      74.53
UBS AG                   20.500    1/3/2014      EUR      71.30
UBS AG                   20.750    1/3/2014      EUR      71.59
UBS AG                   21.000    1/3/2014      EUR      72.44
UBS AG                   22.250    1/3/2014      EUR      74.19
UBS AG                   23.000    1/3/2014      EUR      71.55
UBS AG                   23.250    1/3/2014      EUR      70.29
UBS AG                   23.250    1/3/2014      EUR      70.57
UBS AG                   24.000    1/3/2014      EUR      72.95
UBS AG                   24.250    1/3/2014      EUR      68.40
UBS AG                   24.250    1/3/2014      EUR      70.18
UBS AG                    6.440   5/28/2014      USD      51.67
UBS AG                    3.870   6/17/2014      USD      38.08
UBS AG                    6.040   8/29/2014      USD      35.22
UBS AG                    7.780   8/29/2014      USD      20.85
UBS AG                   11.260  11/12/2012      EUR      47.13
UBS AG                   11.660  11/12/2012      EUR      34.35
UBS AG                   13.120  11/12/2012      EUR      68.36
UBS AG                   13.560  11/12/2012      EUR      36.51
UBS AG                   13.600  11/12/2012      EUR      56.96
UBS AG                   13.000  11/23/2012      USD      62.55
UBS AG                    8.150  12/21/2012      EUR      72.14
UBS AG                    8.250  12/21/2012      EUR      74.88
UBS AG                    8.270  12/21/2012      EUR      74.19
UBS AG                    8.990  12/21/2012      EUR      72.49
UBS AG                    9.000  12/21/2012      EUR      69.13
UBS AG                    9.150  12/21/2012      EUR      71.84
UBS AG                    9.450  12/21/2012      EUR      74.42
UBS AG                    9.730  12/21/2012      EUR      70.24
UBS AG                    9.890  12/21/2012      EUR      66.37
UBS AG                   10.060  12/21/2012      EUR      72.98
UBS AG                   10.060  12/21/2012      EUR      69.64
UBS AG                   10.160  12/21/2012      EUR      73.41
UBS AG                   10.490  12/21/2012      EUR      68.12
UBS AG                   10.690  12/21/2012      EUR      71.60
UBS AG                   10.810  12/21/2012      EUR      63.85
UBS AG                   11.000  12/21/2012      EUR      67.59
UBS AG                   11.260  12/21/2012      EUR      66.14
UBS AG                   11.270  12/21/2012      EUR      70.63
UBS AG                   11.330  12/21/2012      EUR      70.28
UBS AG                   11.770  12/21/2012      EUR      61.53
UBS AG                   11.970  12/21/2012      EUR      65.67
UBS AG                   11.980  12/21/2012      EUR      69.02
UBS AG                   12.020  12/21/2012      EUR      64.27
UBS AG                   12.200  12/21/2012      EUR      56.09
UBS AG                   12.400  12/21/2012      EUR      68.07
UBS AG                   12.760  12/21/2012      EUR      59.39
UBS AG                   12.800  12/21/2012      EUR      62.51
UBS AG                   12.970  12/21/2012      EUR      63.87
UBS AG                   13.320  12/21/2012      EUR      66.64
UBS AG                   13.560  12/21/2012      EUR      65.71
UBS AG                   13.570  12/21/2012      EUR      60.85
UBS AG                   13.770  12/21/2012      EUR      57.41
UBS AG                   13.980  12/21/2012      EUR      62.18
UBS AG                   14.350  12/21/2012      EUR      59.29
UBS AG                   14.690  12/21/2012      EUR      64.44
UBS AG                   14.740  12/21/2012      EUR      63.53
UBS AG                   14.810  12/21/2012      EUR      55.58
UBS AG                   15.000  12/21/2012      EUR      60.59
UBS AG                   15.130  12/21/2012      EUR      57.81
UBS AG                   15.860  12/21/2012      EUR      53.88
UBS AG                   15.920  12/21/2012      EUR      56.41
UBS AG                   15.930  12/21/2012      EUR      61.51
UBS AG                   16.030  12/21/2012      EUR      59.10
UBS AG                   16.600  12/21/2012      EUR      50.18
UBS AG                   16.710  12/21/2012      EUR      55.09
UBS AG                   16.930  12/21/2012      EUR      52.30
UBS AG                   17.070  12/21/2012      EUR      57.69
UBS AG                   17.500  12/21/2012      EUR      53.84
UBS AG                   18.000  12/21/2012      EUR      50.83
UBS AG                   19.090  12/21/2012      EUR      51.52
UBS AG                   10.770    1/2/2013      USD      38.33
UBS AG                   13.030    1/4/2013      EUR      73.40
UBS AG                   13.630    1/4/2013      EUR      71.63
UBS AG                   14.230    1/4/2013      EUR      69.95
UBS AG                   14.820    1/4/2013      EUR      68.36
UBS AG                   15.460    1/4/2013      EUR      74.82
UBS AG                   15.990    1/4/2013      EUR      65.39
UBS AG                   16.500    1/4/2013      EUR      73.32
UBS AG                   17.000    1/4/2013      EUR      73.98
UBS AG                   17.150    1/4/2013      EUR      62.69
UBS AG                   17.180    1/4/2013      EUR      74.58
UBS AG                   18.000    1/4/2013      EUR      73.54
UBS AG                   18.300    1/4/2013      EUR      60.23
UBS AG                   19.440    1/4/2013      EUR      57.99
UBS AG                   19.750    1/4/2013      EUR      69.92
UBS AG                   20.500    1/4/2013      EUR      70.21
UBS AG                   20.570    1/4/2013      EUR      55.94
UBS AG                   21.700    1/4/2013      EUR      54.05
UBS AG                   21.750    1/4/2013      EUR      69.65
UBS AG                   23.750    1/4/2013      EUR      66.55
UBS AG                   11.020   1/25/2013      EUR      67.05
UBS AG                   12.010   1/25/2013      EUR      65.34
UBS AG                   14.070   1/25/2013      EUR      62.22
UBS AG                   16.200   1/25/2013      EUR      74.54
UBS AG                    8.620    2/1/2013      USD      14.04
UBS AG                    8.980   2/22/2013      EUR      72.86
UBS AG                   10.590   2/22/2013      EUR      69.90
UBS AG                   10.960   2/22/2013      EUR      67.35
UBS AG                   13.070   2/22/2013      EUR      63.96
UBS AG                   13.660   2/22/2013      EUR      61.23
UBS AG                   13.940   2/22/2013      EUR      73.02
UBS AG                   15.800   2/22/2013      EUR      67.24
UBS AG                    8.480    3/7/2013      CHF      58.00
UBS AG                   10.000    3/7/2013      USD      72.30
UBS AG                   12.250    3/7/2013      CHF      59.20
UBS AG                    9.000   3/22/2013      USD      11.16
UBS AG                    9.850   3/22/2013      USD      19.75
UBS AG                   16.500    4/2/2013      EUR      72.16
UBS AG                   17.250    4/2/2013      EUR      72.45
UBS AG                   18.000    4/2/2013      EUR      73.44
UBS AG                   19.750    4/2/2013      EUR      69.63
UBS AG                   21.250    4/2/2013      EUR      69.05
UBS AG                   21.500    4/2/2013      EUR      73.98
UBS AG                   21.500    4/2/2013      EUR      73.88
UBS AG                   22.250    4/2/2013      EUR      67.19
UBS AG                   22.250    4/2/2013      EUR      69.43
UBS AG                   24.250    4/2/2013      EUR      65.24
UBS AG                   24.750    4/2/2013      EUR      68.24
UBS AG                   10.860    4/4/2013      USD      37.21
UBS AG                    9.650   4/11/2013      USD      27.17
UBS AG                    9.930   4/11/2013      USD      24.77
UBS AG                   11.250   4/11/2013      USD      24.39
UBS AG                   10.170   4/26/2013      EUR      67.84
UBS AG                   10.970   4/26/2013      EUR      66.50
UBS AG                   12.610   4/26/2013      EUR      64.06
UBS AG                    7.900   4/30/2013      USD      33.75
UBS AG                    9.830   5/13/2013      USD      30.07
UBS AG                    8.000   5/24/2013      USD      63.90
UBS AG                   11.670   5/31/2013      USD      35.12
UBS AG                   12.780    6/7/2013      CHF      62.60
UBS AG                   16.410    6/7/2013      CHF      64.70
UBS AG                    9.330   6/14/2013      USD      22.00
UBS AG                   11.060   6/14/2013      USD      28.17
UBS AG                    6.770   6/21/2013      USD      10.43
UBS AG                    7.120   6/26/2013      USD      29.83
UBS AG                   15.250   6/28/2013      EUR      74.98
UBS AG                   17.000   6/28/2013      EUR      74.05
UBS AG                   17.250   6/28/2013      EUR      72.59
UBS AG                   19.250   6/28/2013      EUR      70.54
UBS AG                   19.500   6/28/2013      EUR      70.28
UBS AG                   20.250   6/28/2013      EUR      74.82
UBS AG                   20.500   6/28/2013      EUR      70.91
UBS AG                   21.000   6/28/2013      EUR      68.62
UBS AG                   22.000   6/28/2013      EUR      71.86
UBS AG                   22.500   6/28/2013      EUR      66.83
UBS AG                   23.000   6/28/2013      EUR      67.15
UBS AG                   23.500   6/28/2013      EUR      71.72
UBS AG                   24.000   6/28/2013      EUR      68.94
UBS AG                   24.500   6/28/2013      EUR      67.97
UBS AG                   11.450    7/1/2013      USD      27.96
UBS AG                    6.100   7/24/2013      USD      30.07
UBS AG                    8.640    8/1/2013      USD      27.87
UBS AG                   13.120    8/5/2013      USD       4.62
UBS AG                    0.500   4/27/2015      CHF      52.50
UBS AG                    6.070  11/12/2012      EUR      65.82
UBS AG                    8.370  11/12/2012      EUR      59.26
UBS AG                    8.590  11/12/2012      EUR      53.53
UBS AG                    9.020  11/12/2012      EUR      43.76
UBS AG                    9.650  11/12/2012      EUR      37.64
UBS AG                   10.020  11/12/2012      EUR      71.72
UBS AG                   10.930  11/12/2012      EUR      64.23
BARCLAYS BK PLC          11.000   6/28/2013      EUR      43.13
BARCLAYS BK PLC          11.000   6/28/2013      EUR      74.83
BARCLAYS BK PLC          10.750   3/22/2013      EUR      41.06
BARCLAYS BK PLC          10.000   3/22/2013      EUR      42.44
BARCLAYS BK PLC           6.000    1/2/2013      EUR      50.37
BARCLAYS BK PLC           8.000   6/28/2013      EUR      47.66
ESSAR ENERGY              4.250    2/1/2016      USD      72.62
MAX PETROLEUM             6.750    9/8/2013      USD      40.36


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., Washington, D.C., USA.
Valerie U. Pascual, Marites O. Claro, Rousel Elaine T. Fernandez,
Joy A. Agravante, Ivy B. Magdadaro, Frauline S. Abangan and Peter
A. Chapman, Editors.

Copyright 2013.  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$775 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 Peter Chapman at 215-945-7000 or Nina Novak at

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