TCREUR_Public/140904.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

          Thursday, September 4, 2014, Vol. 15, No. 175



BDZ: Owes BGN600 Million to Creditors; Negotiations Expected
HUVEPHARMA INT'L: Moody's Assigns 'B1' Corporate Family Rating


COMMERZBANK CAPITAL: S&P Raises Sr. Sub. Debt Rating to 'BB+'
DECO 10: Fitch Raises Rating on Class B Notes to 'B+sf'


KAUPTHING SINGER: Sept. 10 Proofs of Debt Submission Deadline Set


O'BRIEN AND O'FLYNN: Faces Liquidation Over EUR71 Million Debt


BLUE PANORAMA: September 30 Deadline Set for Binding Offers


GOL LUXCO: S&P Assigns 'B-' Rating to New Sr. Unsecured Notes


CARLSON TRAVEL: Moody's Assigns 'B2' Corporate Family Rating


NATIONAL ELECTRIC VEHICLE: L.E. Gustafsson Named Administrator


ARCELIK AS: Fitch Assigns 'BB+(EXP)' Rating to EUR500MM Notes


UKRAINE: May Face US$3.5-Bil. Funding Gap if Fighting Continues

U N I T E D   K I N G D O M

CORNERSTONE TITAN 2005-2: S&P Cuts Ratings on 2 Notes to 'CC'
GYG EXCHANGE: Put Into Creditors' Voluntary Liquidation
JAGUAR LAND: S&P Revises Outlook to Pos. & Affirms 'BB' CCR
MANCON LOGOATRUVA: Goes to Voluntary Liquidation
NUTRAFEED: In Administration; 17 Jobs Affected

WEEWORLD: In Liquidation; 19 Jobs Affected



BDZ: Owes BGN600 Million to Creditors; Negotiations Expected
FOCUS News Agency reports that Bulgarian Interim Minister of
Transport, Information Technologies and Communications Nikolina
Anelkova said Bulgarian State Railways (BDZ) owes BGN600 million
to creditors and shareholders.

Mr. Angelkova explained that there would be negotiations with the
creditors, FOCUS News relates.

"It is important to continue the active dialogue with them so as
to defer the payments.  A small sum of money is provided under
the budget for the payment of the capital and the interests.  The
BDZ has to pay BGN3 million a month until the end of the year.
The money is highly insufficient."

"We now expect a notification from the European Commission (EC)
for a state aid of BGN172 million, which should be provided in
the budget and concern old debts of the BDZ until 2007, mostly to
the German creditors," FOCUS News quotes the interim minister as

Established in 1885, The Bulgarian State Railways, commonly known
as BDZ, is Bulgaria's state railway company and the largest
railway carrier in the country.  The company's headquarters is
located in the capital Sofia.

HUVEPHARMA INT'L: Moody's Assigns 'B1' Corporate Family Rating
Moody's Investors Service assigned a definitive B1 corporate
family rating (CFR) to Huvepharma International BV (Huvepharma),
a parent company of Huvepharma AD. Concurrently, Moody's has also
assigned a B2-PD probability of default rating (PDR) to the
company and a definitive B1 rating with a loss given default
(LGD) assessment of LGD3/35% to the EUR75 million senior secured
term loan A, EUR180 million senior secured term loan B and EUR20
million senior secured revolving credit facility. The outlook on
the ratings is positive.

Ratings Rationale

Moody's assigned definitive ratings upon a conclusive review of
the loans documentation with the final terms of the Loans
Agreement being mostly in line with the drafts reviewed to assign
the provisional ratings. Moody's definitive ratings are in line
with the provisional ratings assigned on July 24, 2014. Moody's
rating rationale was set out in a press release on that date.

The PDR at B2-PD reflects a higher-than-average family recovery
rate (65%) given the all-bank debt capital structure upon the
completion of the buyback of a 37% share currently held by TRG
(unrated). Following the transaction, Huvepharma's debt capital
will mainly comprise an amortizing EUR75 million senior secured
Term Loan A due maturing in 2019, EUR180 million senior secured
Term Loan B due in 2020 and EUR20 million senior secured
revolving credit facility due in 2019.

Rationale for Positive Outlook

The positive outlook on the ratings reflects the potential for
the upgrade of Huvepharma's ratings by early 2016 based on
Moody's expectation that the company will continue to deliver on
its growth strategy as planned while maintaining robust operating
performance and a solid liquidity profile which should allow the
company to quickly deleverage, with adjusted debt/EBITDA reducing
to below 4.0x at year-end 2015. The prospects of an upgrade will
also however remain constrained by potential impact on operating
performance from potential regulatory changes.

What Could Change the Rating Up/Down

Moody's would consider upgrading Huvepharma's rating if the
company were to (1) continue demonstrating robust operational
performance; (2) with a clear trajectory for leverage (measured
as adjusted debt/EBITDA) towards below 4.0x while sustaining
retained cash flow to net debt at above 15%; and (3) maintain a
solid liquidity profile and positive free cash flow generation.

Conversely, Moody's would consider downgrading the ratings,
though currently unlikely, in the event of a material
deterioration in Huvepharma competitive position within its core
product lines, negative impact on operating performance from the
increasing regulatory risks or other related developments, which
may delay the company's deleveraging process with adjusted
debt/EBITDA remaining around 5x and retained cash flow to net
debt below 12% on a sustained basis.

Principal Methodology

The principal methodology used in this rating was Global
Manufacturing Companies published in July 2014. 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 Sofia, Bulgaria, Huvepharma AD is a vertically
integrated developer, manufacturer and distributor of a wide
range of animal health products to livestock animals, with a
focus on poultry and swine markets. Huvepharma sells over 95
products in more than 95 countries, with Europe and North America
being its key markets. In 2013, the company generated around
EUR200 million of revenues.


COMMERZBANK CAPITAL: S&P Raises Sr. Sub. Debt Rating to 'BB+'
Standard & Poor's Ratings Services said that it has raised its
rating on debt issued by Commerzbank Capital Funding Trust I
(Commerzbank FT I) to 'BB+' from 'B+'.

The rating action follows the debt issue's conversion into senior
subordinated debt through changes in the documentation.  In S&P's
view, the instrument will now rank pari passu with other lower
Tier 2 capital instruments in a liquidation scenario.  In
addition, S&P believes that coupon payments on this instrument
are no longer subject to a profit trigger.

The instrument no longer qualifies as regulatory Tier 1 capital,
but S&P expects it to qualify as regulatory lower Tier 2 capital
with the revised terms, which, in S&P's view, are now similar to
those of other senior subordinated instruments issued by
Commerzbank AG (A-/Negative/A-2).

S&P considers this conversion to be unusual but consistent with
the Chancery Court ruling of the State of Delaware on July 16,
2013.  Among other things, this ruling required Commerzbank to
elevate Commerzbank FT II's debt to the same lower Tier 2 capital
class as the debt of another member of the group, Dresdner
Funding Trust IV.  Commerzbank FT II converted its debt into
senior subordinated debt instruments early in 2014, while
Dresdner Funding Trust IV did so in 2010.

DECO 10: Fitch Raises Rating on Class B Notes to 'B+sf'
Fitch Ratings has upgraded DECO 10 - Pan Europe 4 p.l.c's (DECO
10) class A2 and B notes and affirmed the others, as follows:

  EUR114.8 million class A2 (XS0276271375) upgraded to 'BB+sf'
  from 'BBsf'; Outlook Stable

  EUR31.9 million class B (XS0276272001) upgraded to 'B+sf' from
  'B-sf'; Outlook Stable

  EUR31.9 million class C (XS0276273074) affirmed at 'CCsf';
  Recovery Estimate (RE) 85%

  EUR18.9 million class D (XS0276273660) affirmed at 'Csf'; RE0%

Deco 10 is a CMBS transaction secured by seven loans backed by
commercial real estate assets in Germany (six loans, 75.8% of the
pool) and the Netherlands (one loan, 24.2% of the pool).


The upgrade of the class A2 and B notes is driven by the full
repayment of the CHF138.3 million Emmen Wohncenter and the
CHF74.3 million Swisscom loan at the interest payment dates
(IPDs) in January and April 2014, respectively.  Fitch believed
these two previously-defaulted loans were vulnerable to loss.
The strength of the Swiss franc meant that such an outcome would
have caused noteholders to suffer more loss from the depletion of
collateral used to make up for Swiss franc shortfalls under
related currency swaps.  Full repayment eliminated this risk.

The repayment in full in April of the EUR65.8 million Dresdner
Office loan (a 50% pari-passu syndicated loan participation
secured by a portfolio of offices throughout Germany) may have
seemed of greater importance, but this outcome was expected and
reflected in the previous rating action.

Despite these favorable developments, the portfolio still
contains sources of risk, with all but one (German multifamily
housing) loan considered by Fitch to be vulnerable to loss.  The
accumulation of idiosyncratic risks constrains the rating of the
senior notes below investment grade.

The largest loan, EUR89.4 million Treveria II (43.5% of the pool;
a 50% participation), is secured by 43 retail warehouses located
across western Germany and let to strong national retailers (the
weighted average lease term is 4.2 years).  The loan failed to
repay at maturity in July 2011, and after a one-year extension
entered special servicing.  In this time, only five properties
have been sold, which supports Fitch's expectation of a long
workout characterized by piecemeal sales.  Approximately five
years remain until bond maturity.

Sales to date imply a principal loss of 13% versus the allocated
loan amount of the properties.  Three additional assets that are
notarized for sale imply a greater principal loss of 22%, a rate
which giving account to possible negative selection, Fitch
expects will apply broadly to the remainder of the pool.  In its
latest update, the special servicer Situs Asset Management
anticipated disposals of three to four assets per quarter, citing
"common land charges" as a reason for the protracted workout.

The EUR49.7 million Rubicon Nike loan (24.2% of the pool) is
secured by Nike's European headquarters, a purpose-built campus
on the outskirts of Amsterdam.  Nike is contracted for less than
five years.  With the loan maturing in October 2014, this lease
income is valuable in allowing for cash trapping and some capex.
However, with few operators likely to be interested in occupying
the site if Nike were to leave, as the lease runs off, exposure
to an uncertain terminal property value grows.  Fitch expects the
loan to suffer a loss.

Of the other five loans, all but the German multifamily housing
one have defaulted and been transferred to special servicing.
DFK Portfolio loan (11.7%) defaulted as a result of a
revaluation-led LTV breach, while Lubeck Retail, Edeka Retail and
Toom DIY all failed to repay at maturity in October 2013.  These
defaulted loans are all credit challenged, with the prospects for
the matured loans reliant on the motives of a handful of tenants
in sum.


With five years left until bond maturity, and similar lease terms
in several cases, unless a key lease is re-geared ahead of time,
the key rating sensitivity over the short term will likely relate
to Treveria II or DFK.  Both loans are secured on liquidating
portfolios, with recoveries dependent on the recent rally in
German secondary real estate markets being sustained.

Fitch estimates 'Bsf' proceeds of approximately EUR161.4m.


KAUPTHING SINGER: Sept. 10 Proofs of Debt Submission Deadline Set
Michael Simpson, Joint Liquidator of Kaupthing Singer &
Friedlander (Isle of Man) Limited, in liquidation, intends to
declare a Ninth Dividend to unsecured non-preferential creditors
of the Company.

Creditors are required on or before September 10, 2014, to
provide proof of debt to the joint liquidators of the Company,
Michael Simpson and Peter Spratt, Sixty Circular Road, Douglas,
Isle of Man, British Isles, 1M1 1SA, and, if so requested, to
provide such further details, or produce such documentary or
other evidence as may appear to the joint liquidators to be

A creditor who has not proved his debt by September 10, 2014,
will be excluded from the initial payment run in respect to the
Ninth Dividend, but may be paid at a later date.

It is intended to declare the Ninth Dividend within two months
from August 19, 2014.


O'BRIEN AND O'FLYNN: Faces Liquidation Over EUR71 Million Debt
-------------------------------------------------------------- reports that O'Brien and O'Flynn Ltd. is to be
wound up over a EUR71 million debt to the National Asset
Management Agency.

The High Court has approved the appointment of liquidators to the
company which fought the petition, relates.

As reported in the Aug. 7, 2014 edition of The Troubled Company
Reporter-Europe, related that NAMA subsidiary
National Assets Loan Management Ltd (NALM) asked Mr. Justice Paul
Gilligan to appoint joint provisional liquidators to ensure an
orderly winding up of O'Brien and O'Flynn Ltd Building
Contractors.  The court heard the company owes the National Asset
Management Company (NAMA) some EUR71.2 million with assets worth
less than half that amount. The debt to NAMA arose after it took
over loans advanced to the company by Bank of Ireland and AIB in
2010 and 2008, the report noted.  According to the report, Mr.
Justice Gilligan said he was satisfied to appoint John McStay and
Tom Rogers of insolvency practitioners McStay Luby as provisional
liquidators of the company.

O'Brien and O'Flynn is a Cork building firm.  The company
directors are Dan and Denis O'Flynn.


BLUE PANORAMA: September 30 Deadline Set for Binding Offers
Giuseppe Leogrande, Extraordinary Commissioner of Blue Panorama
Airlines S.pA., on Aug. 25 disclosed that interested parties have
until 6:00 p.m. (Italian time) on September 30, 2014, to submit
binding offers for the Company.

On June 18, 2014, the Extraordinary Commission filed the Sale
Program before the Ministry of Economic Development.

On July 2, 2014, the Ministry of Economic Development authorized
the implementation of the Program.

On August 11, 2014, the Extraordinary Commissioner has been
authorized by the Ministry of Economic Development to begin the
procedure for the submission of binding offers in respect of the
purchase of the business of the Company under Extraordinary
Administration, according to the modalities, terms and conditions
set forth under the call for the submission of binding offers.

Any interested party is invited to review the long-form of the
Call, which specifies the modalities, terms and conditions for
the submission of binding offers, as well as documents to be
enclosed to such offers.  The long-form of the Call and
documentation relating to the company's business are available at (username: guest, password:

For additional information, any interested party can contact:

          Laura Pierallini
          Gianluigi Ascenzi
          Studio Legale Pierallini
          Viale Liege no. 26
          00198-Rome, Italy
          Telephone; +39 06-8841713
          Fax: +39 06-8840249

Any resolution on the selected purchaser of the Company's
business is conditional upon, and in any case subject to, the
authorization by the Ministry of Economic Development pursuant to
the applicable laws.


GOL LUXCO: S&P Assigns 'B-' Rating to New Sr. Unsecured Notes
Standard & Poor's Ratings Services assigned its 'B-' global scale
rating to Gol LuxCo S.A.'s proposed senior unsecured notes for up
to $500 million, due 2022.  Gol Linhas Aereas Inteligentes S.A.
(Gol; B/Stable/--) will fully and unconditionally guarantee the
notes.  The company will use the proceeds primarily to purchase
Gol's senior unsecured notes due 2017, 2020 and 2023, in
connection with the company's recent tender offer.  Any remaining
portion of the proceeds will be used for general corporate

S&P rates the proposed issuance one notch below the 'B' corporate
credit rating on Gol, as the senior unsecured notes are
structurally subordinated to the company's secured debt.  Under
S&P's criteria, operating and financial leases that carry
aircraft as collateral would have priority of payment relative to
unsecured debt.


Gol Linhas Aereas Inteligentes S.A.
  Corporate credit rating                     B/Stable/--

Ratings Assigned
Gol LuxCo S.A.
Senior unsecured notes due 2022              B-


CARLSON TRAVEL: Moody's Assigns 'B2' Corporate Family Rating
Moody's Investors Service has assigned a B2 corporate family
rating (CFR) and B2-PD probability of default rating (PDR) to
Carlson Travel Holdings, Inc., the parent entity of Carlson
Wagonlit B.V. (CWT). In addition, Moody's has downgraded the
USD100 million revolving credit facility (RCF) -- made available
to Carlson Wagonlit UK Limited, CWT Beheermaatschappij B.V., and
Carlson Wagonlit Travel, Inc. -- to Ba2 from Ba1. Concurrently,
Moody's has also withdrawn Carlson Wagonlit B.V.'s B1 CFR and B1-

Moody's has also assigned a definitive Caa1 rating to the USD360
million PIK toggle notes due 2019 issued by Carlson Travel
Holdings, Inc. (CTH) and affirmed the existing B1-ratings on
CWT's senior secured notes due 2019.

The rating action follows the completion of the PIK notes
offering and the completion of Carlson's (unrated) acquisition of
the 45% stake in CWT it did not already own. The action concludes
the review which was initiated on June 23, 2014.

Ratings Rationale

On August 19, CWT announced Carlson had completed the acquisition
of the 45% equity stake in CWT it did not already own. CWT has
also successfully completed a USD50 million tender offering for
its outstanding senior secured notes.

Moody's has moved the CFR to CTH to reflect that all of CWT's
group debt including the PIK Toggle Notes should be considered in
the consolidated metrics. Gross leverage (including the PIK
notes) as adjusted by Moody's is expected to be around 5.7x at
the transaction closing. As a consequence of the downgrade of the
CFR to B2 from B1, Moody's has also downgraded the RCF to Ba2
from Ba1. The PIK Toggle Notes include a "pay if you can"
mechanism of cash interest payments, subject to cash availability
and the maximum amount of permitted dividends, distributions or
restricted payments available for up-streaming.

The affirmation of the B1 senior secured notes reflects Moody's
view that negative pressure on ratings linked to the lower CFR
under the new structure is offset, in the case of the senior
secured notes, by an uplift resulting from the addition of the
subordinated PIK Toggle Notes, now included in the LGD model.

The definitive Caa1 rating assigned to the USD360 million PIK
notes reflects their structural subordination to all other debt
instruments within the capital structure. The notes are not
guaranteed by any of CTH's subsidiaries including the existing
senior secured bond group.

Liquidity Profile

Moody's anticipates that the company's liquidity profile will
remain adequate following the transaction, supported by Moody's
expectations of positive free cash flows and access to the USD100
million RCF. However, Moody's expects an ongoing cash leakage out
of the restricted bond group in order to serve interest payments
on the PIK toggle notes, and this may have an influence on the
company's financial policies. Moody's also considers that the PIK
notes at some point may add an additional layer of event risk to
the structure should the PIK notes remain in place for a longer
period of time and there would be a need for refinancing.

Rationale for the Stable Outlook

The stable outlook reflects Moody's expectations that CWT will
maintain a stable operating performance with continued growth in
EBITDA and positive free cash flows allowing for the company's
leverage -- measured as debt/EBITDA -- to be comfortably
positioned below 5.5x.

What Could Change the Rating Up/Down

Positive rating pressure could build if CWT decreases its
debt/EBITDA ratio towards 4.5x. Equally, negative rating pressure
could arise should CWT continue to operate with leverage above
5.5x for a sustained period of time or if Moody's becomes
concerned about the company's liquidity.

Principal Methodology

The principal methodology used in these ratings was Global
Business & Consumer Service Industry Rating Methodology published
in October 2010. 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 the Netherlands, Carlson Wagonlit B.V. is a
global leader in travel management, serving corporations of all
sizes and government institutions. The company reported net
revenues of USD1.7 billion and an EBITDA of USD196 million in


NATIONAL ELECTRIC VEHICLE: L.E. Gustafsson Named Administrator
Motoring Research reports that the district court in Vanersborg,
Sweden approved the application of National Electric Vehicle
Sweden (NEVS) for reorganization.  NEVS' preferred choice of
administrator, Lars Eric Gustafsson, has also been appointed.

NEVS, the company that was set up to revive the bankrupt Saab
brand, has itself applied to go into voluntary administration to
"create more time for negotiations" and delay threatened action
from unpaid suppliers, according to Motoring Research.

The firm said it made the application to the district court
because discussions currently underway with potential key
partners are taking longer than it expected.

"The tripartite negotiations we have with two global vehicle
manufacturers are still progressing, but are complex and have
taken more time than we predicted," the report quoted NEVS
President Mattias Bergman as saying.

The firm does still "fully pay our debts to our suppliers," the
report quoted Mr. Bergman as saying.  It is pressure from some of
these suppliers, revealed the firm, that has forced NEVS into
making the voluntary administration application, the report adds.

NEVS has 400 suppliers of direct materials and 50 suppliers of
indirect materials.  Most of these have agreed to wait for any
outstanding payments while current negotiations with the two
unnamed vehicle manufacturers are ongoing, Motoring Research

Some creditors have, however, filed applications with the Swedish
Enforcement Authority for an order to pay: this "may involve
mandatory sale of assets that are supposed to be included in
Nevs' agreement with above mentioned manufacturers," according to
a statement obtained by Motoring Research.

"Loss of such assets could obstruct finalizing a contract with
them.  To get more time to complete the negotiations, Nevs has
filed for a reorganisation," the statement relayed.

                             About NEVS

National Electric Vehicle Sweden AB (NEVS) is a Swedish holding
company.  NEVS is majority owned by British Virgin Islands-
registered, Hong Kong-based, National Modern Energy Holdings
Ltd., an energy company with operations in China, Macau, and Hong
Kong.  NEVS bought bankrupt carmaker Saab in 2012.

On Aug. 29, 2014, NEVS convinced a Swedish court to grant it
creditor protection while it buys time to finalize negotiations
for funding.


ARCELIK AS: Fitch Assigns 'BB+(EXP)' Rating to EUR500MM Notes
Fitch Ratings has assigned Arcelik AS's prospective notes of up
to EUR500 million an expected rating of 'BB+(EXP)'.  The final
rating of the bond is contingent upon Fitch receiving final
documents conforming to information already received.

The expected rating is in line with Arcelik's Issuer Default
Rating (IDR) and senior unsecured rating of 'BB+', as the notes
will be direct, unconditional, unsubordinated and unsecured
obligations of Arcelik and rank parri passu with all other other
outstanding unsecured and unsubordinated obligations of the

The notes are expected to be used to refinance exisiting short-
term debt and for general corporate purposes.  The bonds include
a negative pledge provision binding Arcelik, as well as financial
reporting obligations, restrictions on certain corporate
reorganizations, cross-acceleration and certain events related to
bankruptcy and insolvency of the company or any other principal
subsidiary, and a covenant limiting transactions with affiliates
that do not comply with an arms-length principle.


Stable Financial Performance

Arcelik's 2Q14 financial results were broadly stable and within
Fitch's expectations.  A recent slowdown in the domestic economy
was balanced by international revenue growth, supported by market
share gains and depreciation in the Turkish lira.  Free cash flow
(FCF) remained negative in 2013 due to increasing working capital
needs.  Fitch expects muted revenue growth in the medium term as
the domestic economy further slows down, and funds from
operations (FFO) margins to be in line with historical averages.

High Working Capital Needs

Arcelik has a high working capital-to-sales ratio due to the
Turkish market practice of the manufacturer providing financing
for customer purchases.  Working capital needs increased to 38%
of sales as of end-2013 from 32% at end-2012, also due to the
depreciation in the Turkish lira and political instability in
3Q13.  Fitch believes that the scope for slowing cash drain will
depend on inventory management and a focus on receivables.
Effective working capital management remains key to returning
Arcelik to positive FCF generation.  Persistent negative FCF
would place pressure on the ratings.

Strong Growth in International Markets

Arcelik has achieved strong top line growth in the past two years
outside Turkey, taking advantage of both more price-conscious
consumers in western Europe and its previous marketing and
distribution network expansion efforts.  Further growth in
developed markets in the short- to medium-term is likely as the
company continues to capitalize on its present momentum and
current market trends, although this may place pressure on
profitability as the company focuses on expanding market share.
Although the company's geographic diversity is improving, Turkey
still accounts for 37% of revenue, which remains a negative
rating factor.

Stable Adjusted Leverage Expected

Arcelik's reported leverage is negatively affected by its higher-
than-average working capital needs, as a significant portion of
durable goods are sold on credit in Turkey.  While this is partly
financed by Arcelik, consumer credit risk is transferred to
retailers while Arcelik's credit risk to retailers is covered by
bank letters of credit.  Fitch adjusts Arcelik's debt by netting
off the debt portion of trade receivables above 60 days of
revenues to enable a more accurate peer comparison.  On this
basis, Arcelik's FFO-adjusted leverage was 1.9x at end-2013 (down
from 2.8x at end-2012).  Fitch expects slower deleveraging in the
next two years until political risk subsidies, but still
forecasts FFO adjusted leverage slightly below 2.0x, supporting
the current ratings.

Increased Macroeconomic Risks

A prolonged decline in the Turkish lira, together with other
domestic shocks from the country's political crisis, poses a risk
for Turkish corporate ratings in 2014.  Although Arcelik's FX
exposure is somewhat balanced by its export revenues and hedging,
it is still vulnerable to a sharper-than-expected slowdown in the
domestic market and any cost increases that could result from
Turkish lira depreciation.


Negative: Future developments that could lead to negative rating
action include:

   -- Receivables-adjusted FFO gross leverage ratio above 2.0x
   -- FFO margin below 8% (FYE13: 10%)
   -- Consistently negative FCF
   -- Increase in the unhedged gap between foreign currency debt
      and receivables

Positive: Future developments that could lead to positive rating
actions include:

   -- Significant improvement in the business profile
   -- Reduced structural FX risks
   -- Receivable-adjusted FFO gross leverage ratio below 1x
   -- FFO margins consistently above 10%
   -- FCF margin above 2% on a sustained basis


UKRAINE: May Face US$3.5-Bil. Funding Gap if Fighting Continues
Ian Tally at The Wall Street Journal reports that the
International Monetary Fund said on Tuesday, Sept. 2, in its
latest review of the emergency bailout that Ukraine is facing a
US$3.5 billion funding gap and could need additional financing
worth US$19 billion next year if fighting continues through 2015.

The continuing conflict between Kiev's forces and pro-Russian
separatists in the eastern region of Ukraine, where the country's
manufacturing is centered, is forcing the economy deeper into
recession and raising rescue costs, the Journal discloses.  The
IMF late last week approved the latest tranche of the fund's
US$17 billion bailout, part of a larger, US$30 billion
international financing package, the Journal recounts.  IMF
Managing Director Christine Lagarde, as cited by the Journal,
said Friday that "downside risks to the program remain very

"The program hinges crucially on the assumption that the conflict
will begin to subside in the coming months," the Journal quotes
IMF staff as saying in its review of the bailout.  "Should active
fighting continue well beyond that, the small buffers under the
revised baseline would be quickly exhausted, requiring a new
strategy, including additional external financing."

The war has accelerated a near free fall in the Ukrainian
currency's value, fueled inflation to nearly 20%, forced a 20%
contraction in gross domestic product in the eastern region,
siphoned off emergency cash reserves and cut government revenue
even as military spending mushroomed, the Journal relates.

According to the Journal, even if the conflict winds down by the
end of the year, the IMF said Ukraine will need an additional
US$3.5 billion by the end of next year to keep the bailout
program afloat as the country's economic situation has
deteriorated beyond the fund's original expectations.  The
government plans to raise roughly US$200 million from new bonds,
the Journal says.  But the rest may have to come from Europe, the
U.S. and other international lenders, the Journal notes.

Any intensification of the fighting or further escalation in the
political or trade frictions with Russia would require a new
bailout strategy, the IMF, as cited by the Journal, said,
"supported by significant additional external assistance."

U N I T E D   K I N G D O M

CORNERSTONE TITAN 2005-2: S&P Cuts Ratings on 2 Notes to 'CC'
Standard & Poor's Ratings Services lowered to 'CC (sf)' from
'CCC- (sf)' its credit ratings on Cornerstone Titan 2005-2 PLC's
class F and G notes.

The rating actions reflect the repayment at a loss of the sole
remaining loan in the transaction, the Bradford Retail loan.
This loan was secured by a retail block in the center of
Bradford.  The asset sold for a gross sale price of GBP3.45
million and net proceeds were distributed by the issuer to the
noteholders on the July 2014 note payment date.

The issuer used some of the net proceeds to service the notes and
applied the remaining GBP2.9 million to partially amortize the
class F notes.  The recovery proceeds were insufficient for the
issuer to fully repay the outstanding principal on the class F
and G notes.  As a result, the issuer applied nonaccruing
interest amounts to the class F and G notes.  S&P understands
that while the issuer is administrating the windup of the
transaction, there is no prospect for additional recoveries that
would enable the issuer to fully repay the class F and G notes'
outstanding amount.

Given the above, S&P believes that the class F and G notes will
experience principal losses on their final note payment date in
Oct. 2014 (the legal final maturity date).  S&P has therefore
lowered to 'CC (sf)' from 'CCC- (sf)' its ratings on the class F
and G notes in accordance with its criteria.

Cornerstone Titan 2005-2 is a U.K. commercial mortgage-backed
securities (CMBS) transaction, which closed in July 2005.  It was
originally backed by a pool of seven loans secured against nine
commercial properties in the U.K.


Cornerstone Titan 2005-2 PLC
GBP398.781 mil commercial mortgage-backed floating-rate notes
Class        Identifier        To             From
F            21924SAC1         CC (sf)        CCC- (sf)
G            21924SAD9         CC (sf)        CCC- (sf)

GYG EXCHANGE: Put Into Creditors' Voluntary Liquidation
Rupert Hall at WalesOnline reports that GYG Exchange Limited has
been placed into liquidation.

The board of directors convened meetings of shareholders and
creditors to resolve to place the company into creditors'
voluntary liquidation, WalesOnline relates.

John Kelly -- --, Nigel Price -- -- and David Hill -- -- of business recovery and
insolvency specialists Begbies Traynor were appointed as joint
liquidators, WalesOnline discloses.

According to WalesOnline, a spokesman for the directors of GYG
Exchange Limited said: "There has been significant investment
into this historic old building over many years.

"Unfortunately, in difficult market conditions and due to
increasing holding and maintenance costs, the company has been
unable to complete a sale to facilitate the proposed
redevelopment scheme of this iconic building.

"The liabilities and contingent liabilities associated to the
building continue to accrue and we were left with no alternative
other than to liquidate the company."

GYG Exchange Limited owns the Coal Exchange building in Cardiff

JAGUAR LAND: S&P Revises Outlook to Pos. & Affirms 'BB' CCR
Standard & Poor's Ratings Services revised its outlook on U.K.-
based auto manufacturer Jaguar Land Rover Automotive PLC (JLR) to
positive from stable.  At the same time, S&P affirmed its 'BB'
long-term corporate credit rating on JLR.

S&P also affirmed its 'BB' issue ratings on the senior unsecured
notes issued by the company.  The recovery rating remains '3',
indicating S&P's expectation of meaningful (50%-70%) recovery in
the event of a payment default.

The outlook revision on JLR follows that on its parent company
Tata Motors Ltd., and reflects S&P's view that JLR will continue
to generate strong operating cash flows over fiscal years 2015
and 2016 (year-end March 31).  S&P sees at least a one-in-three
chance that despite significant capital expenditures (capex) and
potentially negative free operating cash flows (FOCF), JLR's
leverage metrics will remain sufficiently strong to support a
higher rating on Tata Motors during the next 12 months.

S&P's base-case scenario takes a cautious view of JLR's future
volume growth in fiscal years 2015 and 2016, which will include
new products for both the Jaguar sports saloon and sports car
brand, and the Land Rover premium/luxury sports utility vehicle
brand.  S&P estimates generally stable reported EBITDA margins in
the 16%-17% range over the same period.

Importantly, JLR is continuing to increase capex to fund new
products, improve and develop existing assets, and to a lesser
extent spend on capacity additions outside the U.K.  For fiscal
2015, S&P forecasts capex of GBP3.5 billion-GBP3.7 billion, with
continued heavy spending in fiscal 2016.  S&P therefore sees a
risk that operating cash flow may not be sufficient to fully meet
expected capex, and thereby factor in negative FOCF during the
next two years, causing JLR's adjusted debt (negligible as of
March 31, 2014) to rise commensurately.  S&P forecasts JLR will
continue to pay only limited annual dividends to Tata Motors,
consistent with the GBP150 million paid in respect of financial
2014, enabling JLR to largely retain its cash flows for funding

S&P recognizes that the additional debt would weaken adjusted
credit metrics, but it expects JLR to maintain credit metrics
which are strong for the ratings, with adjusted debt to EBITDA of
no more than 1.0x by fiscal 2016, and funds from operations (FFO)
to adjusted debt of not less than 50% by fiscal 2016.

S&P continues to assess JLR's financial risk profile
"intermediate," supported by the currently very strong leverage
metrics due to very low adjusted debt, as well as significant
operating cash flow generation.  JLR also has sizable retained
cash balances, which provide a potential source of financing and
ongoing limited dividend payments to Tata Motors.  S&P also
factors in the possibility of higher cash flow volatility in the
event of stress.  An upgrade would likely require a revision of
our financial risk profile assessment on JLR to "modest."

As of March 31, 2014, adjusted debt was negligible at only GBP65
million.  S&P makes analytical adjustments to reported gross debt
of GBP2.0 billion, mainly by subtracting GBP2.6 billion for
surplus cash (after applying a 25% haircut) and adding GBP0.6
billion for pensions.

S&P's assessment of JLR's business risk profile remains "fair,"
supported by the group's well-established market position as a
global premium auto manufacturer with well-recognized brands,
particularly Range Rover.  JLR also benefits from above-average
growth rates in the premium segment, supported by demand in
emerging markets -- notably China, which is the group's largest
market by volume.  The company has also shown improving
profitability during fiscal 2014 and first-quarter fiscal 2015.
JLR has a lengthening track-record of successful product
extension and development, which continues to improve its
competitive position.

These strengths are partly offset by JLR's still-modest size and
limited product range and scope compared with larger global
peers. While S&P expects the Jaguar brand to continue to be
supported by the roll-out of new products, (including the
imminent launch of the new Jaguar XE), it sees the potential for
execution risks in the roll-out of new models, and consider that
the range of cars remains limited.  Cyclical demand for premium
and luxury cars is also a constraining factor in S&P's business
risk profile assessment.

S&P's base case assumes:

   -- Volume growth to continue in fiscal 2015 and 2016, assisted
      by growth in the premium segment ahead of the overall auto
      market, and supported by new product launches.

   -- Generally stable reported EBITDA margins in the range of

   -- Sizable capex in fiscal 2015 of GBP3.5 billion-GBP3.7
      billion, with continued heavy spending the following year.

   -- Negative free operating cash flows during fiscal 2015 and

   -- Limited annual dividend payments to Tata Motors, consistent
      with the GBP150 million paid for financial 2014.

Based on these assumptions, S&P arrives at the following credit
measures for fiscal 2015 and 2016:

   -- Adjusted debt to EBITDA of no more than 1x.

   -- FFO to adjusted debt of no less than 50%.

JLR is a wholly owned subsidiary of India-based Tata Motors, and
S&P applies its group rating methodology in its rating analysis.
JLR is a significant part of the consolidated Tata Motors group,
representing an increased 90% of group EBITDA for fiscal 2014 and
S&P now classifies JLR as a "highly strategic" group entity,
rather than "strategically important."  This reflects S&P's view
that JLR is unlikely to be sold, has a long-term commitment from
Tata Motors, constitutes a significant proportion of the
consolidated group, and shares a reputation with the parent.  S&P
also notes, however, that JLR is operationally separate from Tata
Motors, and does not serve the same customer base.

JLR's stand-alone credit profile is 'bb+'.  The rating is one
notch lower at 'BB', in line with the rating on Tata Motors.
This reflects S&P's view of the risk that in a credit-stress
scenario, Tata Motors could draw support from JLR.

The positive outlook reflects that on JLR's parent company Tata
Motors, and S&P's expectation that JLR's strong operating cash
flow generation, if sustained, can result in stronger leverage
metrics than S&P expects.  This would lead to Tata Motors
sustaining a ratio of FFO to debt above 30%, despite a
significant increase in capex.

S&P would raise its rating on JLR if it raises the rating on Tata
Motors.  S&P may raise its rating on Tata Motors if the strong
operating cash flows of JLR partly offset the increased capex,
such that the ratio of FFO to debt for Tata Motors is sustained
above 30%.  S&P may also upgrade Tata Motors if the successful
positioning of the Jaguar range of vehicles improves the business
risk profile.

S&P may revise the outlook on JLR to stable if it do the same on
Tata Motors.  S&P may revise the outlook to stable on Tata Motors
if the ratio of FFO to debt declines toward 25%.  This may happen
if operating performance weakens, for example due to lower demand
for JLR's products in key markets like China, or due to new
product launches, or if capex is higher than expected.

MANCON LOGOATRUVA: Goes to Voluntary Liquidation
Prolific North reports that ManCon logoAtruva Limited, the
limited company behind the publication of the what's on web site
Manchester Confidential, has gone into voluntary liquidation
owing around GBP300,000.

Atruva follows the failure of the previous four limited companies
which have published ManCon, beginning with the liquidation of 2M
Media in 2007, according to Prolific North.

The web site still continues to trade and it's believed that the
publisher, Mark Garner, who owns the url, will continue to
publish the title as a sole trader rather through the protection
of a limited company, the report notes.  The related titles
including Liverpool and Leeds also continue to publish.

Last autumn, Mr. Garner was handed a 12-year disqualification as
a director for running a business while being an undischarged
bankrupt, the report recalls.

Atruva's sole director and shareholder was Georgina Hague, Mr.
Garner's daughter.  The company was incorporated in 2012.

Jon Mercer of the liquidators Leonard Curtis was unable to
respond to any questions.

NUTRAFEED: In Administration; 17 Jobs Affected
Northamptonshire Telegraph reports that Nutrafeed has folded with
the loss of 17 jobs.  The company went into administration last
Aug. 20, the report cites.

Insolvency firm Duff & Phelps have been appointed administrators
and will sell the company's assets, Northamptonshire Telegraph

Nutrafeed is a Corby food recycling company.  The company, which
also has a plant in Wrexham, north Wales, recycled food waste
from supermarkets and food and drink manufacturers for use as
animal feed.

WEEWORLD: In Liquidation; 19 Jobs Affected
BBC News reports that WeeWorld has gone into liquidation with the
loss of 19 jobs.

Tom MacLennan -- -- and Iain Fraser
-- -- from FRP have been appointed as
joint provisional liquidators of the firm, BBC relates.

The liquidators said the company had encountered cash flow
problems, BBC relates.  According to the report, the Company said
11 of the 30 staff at its Blythswood Square headquarters had been
retained while a buyer was sought.

WeeWorld is Glasgow firm behind the "WeeMees" internet brand.  It
produces a social network site targeted towards teenagers and
children, offering instant messaging and avatar-based chat.


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.

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, and Peter A. Chapman,

Copyright 2014.  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

                 * * * End of Transmission * * *