TCREUR_Public/160304.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

           Friday, March 4, 2016, Vol. 17, No. 045


                            Headlines


A U S T R I A

HETA ASSET: Austria Makes Last-Ditch Offer to German Creditors


A Z E R B A I J A N

AZERBAIJAN MORTGAGE: Fitch Lowers IDR to 'BB+', Outlook Negative


G E O R G I A

RUSTAVI AZOT: S&P Withdraws 'B-' Corporate Credit Rating


G R E E C E

HELLENIC VEHICLES: May Get Reprieve as Gov't Lines Up Projects


I T A L Y

IDREG PIEMONTE: March 31 Bid Submission Deadline Set for Unit


L I T H U A N I A

BITE LIETUVA: Fitch Affirms 'B-' IDR, Then Withdraws Rating


N E T H E R L A N D S

EURO-GALAXY II: S&P Raises Rating on Class E Notes to BB+
JUBILEE CDO VIII: S&P Raises Rating on Cl. E Notes to 'BB+'
NEPTUNO CLO II: S&P Raises Rating on Class D Notes to 'BB+'


N O R W A Y

BULK INVEST: Files for Bankruptcy After Restructuring Talks Fail


P O R T U G A L

NOVO BANCO: Investors Won't Get Payouts Following ISDA Ruling


R U S S I A

AKCIA OJSC: Placed Under Provisional Administration
BANK AVERS: Fitch Assigns 'BB-' Issuer Default Rating
BANKIRSKY DOM: Placed Under Provisional Administration
INVESTTORGBANK PJSC: DIA's Provisional Administration Role Ends
VOKBANK JSC: DIA's Provisional Administration Functions Ends


S W E D E N

COM HEM: S&P Raises Corp. Credit Rating to 'BB', Outlook Stable


U N I T E D   K I N G D O M

BRIGHT FUTURE: In Liquidation After Cutting 300 Jobs
C J PRYOR: Transport Giant Hargreaves Acquires Firm
POWA TECHNOLOGIES: Two Units Sold Following Administration
PREMIER ASPHALT: Slips Into Administration
QUALITY CONTRACT: Goes Into Administration

UK: Court Orders Bogus Construction Firms Into Liquidation
WISE PLC 2006-1: Moody's Cuts Rating on Class A Notes to B2(sf)


X X X X X X X X

* BOOK REVIEW: Competitive Strategy for Health Care Organizations


                            *********


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


HETA ASSET: Austria Makes Last-Ditch Offer to German Creditors
--------------------------------------------------------------
Boris Groendahl and Nicholas Comfort at Bloomberg News report
that Austrian Finance Minister Hans Joerg Schelling ventured into
the lion's den to make his final sales pitch to German creditors
of bad bank Heta Asset Resolution AG.

Speaking in Frankfurt on March 1, Mr. Schelling made a last-ditch
offer to an audience representing the biggest group of Heta's
creditors: accept a discounted offer for Heta's bonds before
March 11, and offset part of your loss by buying a special
government bond at a below-market price, Bloomberg relates.

The Austrian province of Carinthia is offering to buy EUR10.8
billion (US$11.7 billion) of Heta's bonds to neutralize
guarantees it gave for its former state bank, Bloomberg
discloses.  It's bidding 75% of face value for senior debt and
30% for juniors, Bloomberg relays.  The deal needs acceptance by
two-thirds of creditors to succeed, Bloomberg notes.  Bondholder
groups claiming to represent EUR5.5 billion of debt have said
they reject the offer, Bloomberg recounts.

Mr. Schelling offered investors who tender their bonds to become
eligible to buy 18-year zero-coupon notes issued by the Austrian
Treasury at 75% of face value with the cash they receive in the
buyout, Bloomberg says.

According to Bloomberg, Mr. Schelling told his audience in
Frankfurt that they shouldn't expect a better deal if they don't
take up Carinthia's offer by March 11.

"When March 11 passes, the offer is dead and there won't be
another," Bloomberg quotes Mr. Schelling as saying.  "There's a
short window for a solution, and if we don't find one, it won't
get better."

Heta Asset Resolution AG is a wind-down company owned by the
Republic of Austria.  Its statutory task is to dispose of the
non-performing portion of Hypo Alpe Adria, nationalized in 2009,
as effectively as possible while preserving value.



===================
A Z E R B A I J A N
===================


AZERBAIJAN MORTGAGE: Fitch Lowers IDR to 'BB+', Outlook Negative
----------------------------------------------------------------
Fitch Ratings has downgraded Azerbaijan Mortgage Fund under the
Central Bank of Azerbaijan Republic's (AMF) Long-term foreign and
local currency Issuer Default Ratings (IDRs) to 'BB+' from
'BBB-'. The Outlook is Negative.

The rating actions follow Fitch's recent downgrade of
Azerbaijan's Long-term foreign and local currency IDRs to 'BB+'
from 'BBB-'. The Negative Outlook reflects that of the sovereign.
The Country Ceiling has been revised to 'BB+' from 'BBB-'.

                        KEY RATING DRIVERS

AMF's ratings are equalized with Azerbaijan's sovereign ratings,
reflecting the entity's public sector status, its tight control
by the sovereign through the central bank and its important role
in the government's housing finance policy.  AMF also benefits
from a buyback guarantee for its bonds from the central bank.
Fitch uses its public-sector entities rating criteria to rate
AMF, which it views as a credit-linked entity.

                        RATING SENSITIVITIES

A rating change would be triggered by changes to the ratings of
the sovereign.  Changes to the legal status and public control
that would lead to a dilution of control or likelihood of support
by the sovereign could result in the ratings being notched down
from the sovereign ratings.



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G E O R G I A
=============


RUSTAVI AZOT: S&P Withdraws 'B-' Corporate Credit Rating
--------------------------------------------------------
Standard & Poor's Ratings Services withdrew its 'B-' long-term
corporate credit rating on Georgia-based fertilizer producer
Rustavi Azot LLC.

At the same time, S&P withdrew its 'B-' issue rating on the
company's proposed $180 million senior unsecured notes due in
2020, which the company did not place in the market.

The withdrawal comes at the company's request.  S&P has withdrawn
the ratings without affirming them, as it has not received
sufficient analytical information to maintain ratings
surveillance.



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


HELLENIC VEHICLES: May Get Reprieve as Gov't Lines Up Projects
--------------------------------------------------------------
Guy Anderson at IHS Jane's Defence Weekly reports that Hellenic
Vehicles Industry (ELVO) may have a stay of execution after
deputy defense minister Demetris Vitsa said that the government
had put together a schedule of regeneration and development for
the state-owned firm.

According to IHS Jane, Mr. Vitsa was reported to have said that
the government had identified military programs that could be put
through ELVO and had examined the potential for international
sales.  He added that projects had been identified with the
Ministry of Transport concerning civilian vehicle activities, IHS
Jane relates.

ELVO was placed in receivership in January 2014 following years
of losses, IHS Jane recounts.

Hellenic Vehicles Industry (ELVO) is a Greek armoured vehicle
maker.



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


IDREG PIEMONTE: March 31 Bid Submission Deadline Set for Unit
-------------------------------------------------------------
Mario Leonardo Marta, the official receiver of Idreg Piemonte SpA
(Bankruptcy No. 98/2015), has opened a competitive bidding
procedure for a company unit engaged in the production and sale
of hydroelectric power, under the terms set out in the Notice of
Sale and the annexes thereof.

Terms of sale and competitive procedure: single lot; procedures
and terms set out in the Notice of Sale and the annexes thereof.

Bid submission deadline: no later than 11:00 a.m. on March 31,
2016, at the office of Notary Ceraolo in Via C. Colombo no. 1,
Turin.

Parties interested in taking part in the Sale Procedure may view
the Notice of Sale and the annexes thereof through:

-- appointment arranged by phone with the office of Official
    Receiver Mario Leonardo Marta, at Tel. No.: 011-745-551;

-- statement submitted at the Official Receiver's office in Via
    Morghen no. 33, Turin, signed by a person empowered to
    legally commit the company requesting access, whereby the
    requesting company declares that the individual appearing at
    the Official Receiver's office is a representative authorized
    to collect a copy of the documents;

-- signing of a confidentiality agreement according to the text
    draw up by the Bankrupt Entity.

The Bankrupt Entity may also provide other specific documents
and/or additional information and/or clarifications only to those
parties who have complied with the above and with the further
conditions laid down in the Notice of sale.



=================
L I T H U A N I A
=================


BITE LIETUVA: Fitch Affirms 'B-' IDR, Then Withdraws Rating
-----------------------------------------------------------
Fitch Ratings has affirmed UAB Bite Lietuva's Long-term Issuer
Default Rating at 'B-' with a Stable Outlook.  Fitch has
simultaneously withdrawn all of Bite's ratings.

Fitch has withdrawn the rating as Bite has chosen to stop
participating in the rating process for commercial reasons.  The
company repaid its senior secured floating-rate notes due 2018
and senior secured revolving credit facility after its
acquisition by Providence Equity Partners and has no public debt
under its new capital structure.  Fitch will no longer provide
ratings or analytical coverage for Bite.

                        KEY RATING DRIVERS

New Shareholder

Bite was acquired by Providence Equity Partners in February 2016.
Following the acquisition Bite repaid the outstanding senior
secured floating-rate notes and the drawn part of RCF as per
instruments' documentation requirements.  Fitch estimates that
the company's pro-forma leverage with the new capital structure
would be slightly higher than the net debt/EBITDA of 3.5x
reported at end-3Q15.

Strong Operating and Financial Performance

Bite demonstrated strong operating and financial performance in
both the Lithuanian and Latvian markets in the nine months to
September 2015, driven by an improving macroeconomic backdrop, a
stable pricing environment and the rollout of LTE networks.
Growing penetration of smart devices and higher mobile data
consumption are among the key contributors to the company's
success.  Competition in both markets remains rational as mobile
operators continue to focus on profits from their existing
subscribers rather than on acquisition of new customers.

RATING SENSITIVITIES
Not applicable

FULL LIST OF RATING ACTIONS

UAB Bite Lietuva
  Long-term IDR: affirmed at 'B-', Outlook Stable; withdrawn

Bite Finance International BV
  Senior secured RCF repaid: 'B'/'RR3' withdrawn
  Senior secured bonds repaid: 'B-'/'RR4', withdrawn



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


EURO-GALAXY II: S&P Raises Rating on Class E Notes to BB+
---------------------------------------------------------
Standard & Poor's Ratings Services raised its credit ratings on
Euro-Galaxy II CLO B.V.'s class A, B, C, D, and E notes.

The upgrades follow S&P's analysis of the transaction's
performance and the application of its relevant criteria.

Since S&P's Oct. 16, 2013 review, the class A notes have
continued to amortize.  Taking into account the notes'
amortization and the evolution of the total collateral amount,
overcollateralization has increased for all the rated classes of
notes since S&P's previous review.  The class E notes have
benefited from a turbo amortization and now represent 70% of
their notional amount at closing.

S&P subjected the capital structure to its cash flow analysis to
determine the break-even default rate (BDR) for each class of
notes at each rating level.  The BDRs represent S&P's estimate of
the level of asset defaults that the notes can withstand and
still fully pay interest and principal to the noteholders.

S&P has estimated future defaults in the portfolio in each rating
scenario by applying its updated corporate collateralized debt
obligation (CDO) criteria.

S&P's analysis shows that the available credit enhancement for
all of the rated notes is now commensurate with higher ratings
than those previously assigned.  Therefore, S&P has raised its
ratings on the class A, B, C, D, and E notes.

None of the ratings were capped by the application of S&P's
largest obligor test or its largest industry test--two
supplemental stress tests that S&P outlines in its corporate CDO
criteria.

Euro-Galaxy II CLO is a cash flow collateralized loan obligation
(CLO) transaction managed by Pinebridge Investments Europe Ltd.
A portfolio of loans to U.S. and European speculative-grade
corporates backs the transaction.  Euro-Galaxy II CLO closed in
August 2007 and its reinvestment period ended in October 2014.

RATINGS LIST

Euro-Galaxy II CLO B.V.
EUR415 mil senior secured floating-rate notes
                                 Rating
Class            Identifier      To                   From
A                29871YAA8       AAA (sf)             AA+ (sf)
B                29871YAB6       AA+ (sf)             AA- (sf)
C                29871YAC4       A+ (sf)              BBB+ (sf)
D                29871YAD2       BBB- (sf)            BB+ (sf)
E                29871YAE0       BB+ (sf)             CCC+ (sf)


JUBILEE CDO VIII: S&P Raises Rating on Cl. E Notes to 'BB+'
-----------------------------------------------------------
Standard & Poor's Ratings Services raised its credit ratings on
Jubilee CDO VIII B.V.'s class A-1, A-2, B, C, D, and E notes.

The upgrades follow S&P's credit and cash flow analysis of the
transaction using data from the January payment date report and
the application of its relevant criteria.  S&P conducted its cash
flow analysis to determine the break-even default rates (BDR) for
each rated class of notes at each rating level.  The BDR
represents S&P's estimate of the maximum level of gross defaults,
based on its stress assumptions, that a tranche can withstand and
still pay interest and fully repay principal to the noteholders.

S&P used the portfolio balance that it considers to be
performing, the reported weighted-average spread, and the
weighted-average recovery rates that S&P considered to be
appropriate.  S&P incorporated various cash flow stress scenarios
using its standard default patterns and timings for each rating
category assumed for each class of notes, combined with different
interest stress scenarios as outlined in S&P's criteria.

The portfolio's credit quality has improved as the proportion of
assets rated 'BB-' and above has increased since S&P's April 24,
2014 review.  A portfolio currency swap, euro-denominated
options, and asset-specific currency swaps with various
derivatives counterparties hedge the portfolio's non-euro-
denominated assets. In S&P's opinion, the derivative
documentation does not fully reflect its current counterparty
criteria.  Therefore, in S&P's cash flow analysis, for ratings
above our long-term issuer credit rating plus one notch on each
of the derivative counterparties, S&P has considered scenarios
where the relevant counterparty does not perform and where the
transaction may be exposed to greater currency risk as a result.
The results of S&P's cash flow analysis following the application
of the stresses to the derivatives counterparties where
applicable indicate that the all classes of notes are now able to
sustain defaults at higher rating levels.

The largest obligor test measures the risk of several of the
largest obligors within the portfolio defaulting simultaneously.
The rating levels of the class C and D notes are constrained by
the application of this test.  Under S&P's cash flow analysis,
the class C and D notes' BDRs exceed their scenario default rates
(SDRs) at higher rating levels (the SDR is the minimum level of
portfolio defaults that S&P expects each CDO tranche to be able
to support at the specific rating level using CDO Evaluator).

Jubilee CDO VIII is a cash flow collateralized loan obligation
(CLO) transaction that securitizes loans to primarily
speculative-grade corporate firms.  The transaction closed in
December 2007 and is managed by Alcentra Ltd.

Its reinvestment period ended in January 2014 and the issuer used
all scheduled principal proceeds to redeem the notes in the
transaction's documented priority of payments.

RATINGS LIST

Jubilee CDO VIII B.V.
EUR400 mil senior secured floating-rate notes

                                       Rating         Rating
Class            Identifier            To             From
A-1              48125AAA4             AAA (sf)       AA+ (sf)
A-2              48125AAB2             AAA (sf)       AA- (sf)
B                48125AAC0             AA+ (sf)       A+ (sf)
C                48125AAD8             A+ (sf)        BBB+ (sf)
D                48125AAE6             BBB+ (sf)      BB+ (sf)
E                48125AAF3             BB+ (sf)       B+ (sf)


NEPTUNO CLO II: S&P Raises Rating on Class D Notes to 'BB+'
-----------------------------------------------------------
Standard & Poor's Ratings Services raised its credit ratings on
all classes of notes in Neptuno CLO II B.V.

The upgrades follow S&P's assessment of the transaction's
performance using data from the January 2016 payment date report.
Neptuno CLO II's senior notes have been amortizing since the end
of its reinvestment period in January 2013.

Since S&P's July 9, 2013 review, the aggregate collateral balance
has decreased to EUR155.9 million from EUR402.5 million.

S&P subjected the capital structure to a cash flow analysis to
determine the break-even default rate (BDR) for each rated class
at each rating level.  The BDR represents S&P's estimate of the
maximum level of gross defaults, based on its stress assumptions,
that a tranche can withstand and still fully repay the
noteholders.  In S&P's analysis, it used the portfolio balance
that it considers to be performing, the current weighted-average
spread as reported in the payment date report, the principal cash
balance and the weighted-average recovery rates calculated in
line with S&P's corporate collateralized debt obligations (CDOs)
criteria.

S&P applied various cash flow stresses, using its standard
default patterns, in conjunction with different interest rate and
currency stress scenarios.  The available credit enhancement has
increased for all of the rated classes of notes due to the
transaction's structural deleveraging post its re-investment
period.

The class A notes, which are the senior most class of notes
outstanding, have amortized to EUR46.8 million from EUR290.3
million since S&P's previous review.  The increased credit
enhancement is the main rating driver for the upgrades.

The weighted-average spread earned on the assets has decreased to
294 basis points (bps) from 333 bps since our previous review.
The par coverage tests comply with the documented required
triggers.  Neptuno CLO II has entered into an asset swap
agreement with JPMorgan Chase Bank N.A. to hedge any resultant
currency risk from non-euro-denominated assets in the pool.  The
documented downgrade provisions in these asset swap contracts do
not fully comply with S&P's current counterparty criteria.  S&P
has therefore applied currency stresses on these noneuro assets
to test the effect on the notes that could achieve ratings that
are higher than one notch above the rating on the counterparty.
S&P has also applied its nonsovereign ratings criteria.  S&P has
considered the transaction's exposure to sovereign risk because
some of the portfolio's assets -- 23.95% of the transaction's
aggregate collateral balance -- are based in Spain, Italy, and
Portugal.  In 'AAA' rating scenarios, S&P has limited credit to
10% of the transaction's collateral balance, to correspond to
assets based in these sovereigns in S&P's calculation of the
aggregate collateral balance.

In S&P's opinion, the increased available credit enhancement for
the rated notes is now commensurate with higher ratings than
those previously assigned.  S&P has therefore raised its ratings
on all classes of rated notes in the transaction.

Neptuno CLO II is a cash flow collateralized loan obligation
(CLO) transaction that securitizes loans granted to primarily
speculative-grade corporate firms.

The transaction closed in December 2007.

S&P's ratings on the class A and B notes address the timely
payment of interest and the ultimate payment of principal.  S&P's
ratings on the class C to E notes address the ultimate payment of
principal and interest.

RATINGS LIST

Neptuno CLO II B.V.
EUR450 mil senior secured floating-rate notes
                                       Rating
Class            Identifier            To            From
A                64080PAA1             AAA (sf)      AA (sf)
B                64080PAB9             AA+ (sf)      A+ (sf)
C                64080PAC7             A+ (sf)       BBB+ (sf)
D                64080PAD5             BB+ (sf)      BB (sf)
E                64080PAE3             CCC+ (sf)     CCC- (sf)



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N O R W A Y
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BULK INVEST: Files for Bankruptcy After Restructuring Talks Fail
----------------------------------------------------------------
Marcus Hand at Seatrade Maritime reports that Bulk Invest,
formerly Western Bulk, has filed for bankruptcy just weeks after
it sold its chartering division to parent Kistefos, in an attempt
to survive.

While Bulk Invest had sought a restructuring solution seven
shipowners that had filed and injunction against the sale of WB
Chartering to Kistefos also rejected its restructuring proposal,
Seatrade Maritime relates.

"The final restructuring proposal presented to the shipowners
included immediate cash payments to the shipowners, the
continuance of the Bulk Invest group's charter parties at rates
significantly above the current market, and an envisaged
recapitalization of the Company in the amount of approximately
US$40 million," Seatrade Maritime quotes Bulk Invest as saying in
statement to Oslo Bors.

However, it commented that the same seven shipowners who filed
against the sale of WB Chartering had "firmly rejected" the
restructuring efforts of the company, Seatrade Maritime relays.

Bulk Invest, as cited by Seatrade Maritime, said that after
dialogue was no longer a basis to continue with restructuring
efforts and there was no longer a basis for continued operation.

"As the assumption of a going concern cannot be upheld, the
company will immediately file a petition for bankruptcy,"
Seatrade Maritime quotes Bulk Invest as saying.

In light of the bankruptcy filing, Bulk Invest has halted trading
of its shares on Oslo Bors, Seatrade Maritime discloses.

Bulk Invest is based in Oslo, Norway.



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


NOVO BANCO: Investors Won't Get Payouts Following ISDA Ruling
-------------------------------------------------------------
Katie Linsell and Tom Beardsworth at Bloomberg News report that
investors facing huge losses on Novo Banco SA bonds suffered
another defeat.

According to Bloomberg, the International Swaps & Derivatives
Association, the group that oversees the credit-default swaps
market, declined to amend any contracts insuring the Portuguese
bank's debt, probably killing off swapholders' last chance of
getting a payout following the transfer of about EUR2 billion
(US$2.2 billion) of bonds to a bad bank.  The ISDA said in a
release on March 2 all committee members voted against changes,
Bloomberg relates.

The rejection may add to doubts about the insurance offered to
bondholders through the US$13 trillion credit-default swap market
after investors failed to get payouts from contracts tied to Novo
Banco debt last month, Bloomberg states.  The two decisions also
suggest that rules introduced in 2014 still aren't enough to give
bondholders full protection when governments or regulators
intervene in banks, Bloomberg notes.

ISDA's committee of 15 money managers and dealers said that the
Novo Banco bond transfer didn't meet the criteria for a so-called
succession event, Bloomberg relays.  A ruling in favor would have
resulted in at least some Novo Banco credit-default swaps being
rewritten and linked to the bad bank, Bloomberg says.

ISDA's ruling on March 2 means all 2,658 credit-default swap
contracts outstanding will stay linked to Novo Banco and won't
cover the five bonds that were moved, Bloomberg discloses.  A net
US$387 million of Novo Banco debt was protected as of
Feb. 26, Depository Trust & Clearing Corp. data show.

Headquartered in Lisbon, Novo Banco, S.A. provides various
financial products and services to private, corporate, and
institutional customers.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on Jan. 6,
2016, Moody's Investors Service downgraded to Caa1 from B2 the
senior debt and long-term deposit ratings of Portugal's Novo
Banco, S.A. and its supported entities.  This follows the Bank of
Portugal's (BoP) announcement on Dec. 29, 2015, that it had
approved the recapitalization of Novo Banco by transferring
EUR1,985 million of senior debt back to Banco Espirito Santo,
S.A. (BES unrated).  Moody's said the outlook on Novo Banco's
deposit and senior debt ratings is now developing.



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


AKCIA OJSC: Placed Under Provisional Administration
---------------------------------------------------
The Bank of Russia, by its Order No. OD-728, dated February 3,
2016, revoked the banking license of Ivanovo-based credit
institution Joint-Stock Commercial Bank JSCB Akcia OJSC from
February 3, 2016.

The Bank of Russia took such an extreme measure -- revocation of
the banking license -- because of the credit institution's
failure to comply with federal banking laws and Bank of Russia
regulations, due to repeated application within a year of
measures envisaged by the Federal Law "On the Central Bank of the
Russian Federation (Bank of Russia)", considering a real threat
to the creditors' and depositors' interests.

JSCB Akcia OJSC implemented a high-risk lending policy connected
with the placement of funds in low-quality assets.  An adequate
assessment of the risks assumed and a reliable recognition of the
bank's assets resulted in the grounds for the credit institution
to implement measures to prevent the bank's insolvency
(bankruptcy).  The management and owners of the bank failed to
take effective measures to normalise its activities.

The Bank of Russia, by its Order No. OD-729, dated February 3,
2016, appointed a provisional administration to JSCB Akcia OJSC
for the period until the appointment of a receiver pursuant to
the Federal Law "On the Insolvency (Bankruptcy)" or a liquidator
under Article 23.1 of the Federal Law "On Banks and Banking
Activities".  In accordance with federal laws, the powers of the
credit institution's executive bodies have been suspended.

JSCB Akcia OJSC is a member of the deposit insurance system. The
revocation of the banking licence is an insured event as
stipulated by Federal Law No. 177-FZ "On the Insurance of
Household Deposits with Russian Banks" in respect of the bank's
retail deposit obligations, as defined by law.  The said Federal
Law stipulates the insurance premium as 100% reimbursement of the
balance of funds to bank depositors, including individual
entrepreneurs, but not more than RUR1.4 million in aggregate per
depositor.

According to the financial statements, as of February 1, 2016,
JSCB Akcia OJSC ranked 625th by assets in the Russian banking
system.


BANK AVERS: Fitch Assigns 'BB-' Issuer Default Rating
-----------------------------------------------------
Fitch Ratings has assigned LLC Bank Avers a Long-Term Issuer
Default Rating of 'BB-'.  The Outlook is Stable.

                       KEY RATING DRIVERS

IDRS, VR AND NATIONAL RATING

Avers' Long-term IDRs are driven by its standalone
creditworthiness as expressed by its Viability Rating (VR) of
'bb-'.  The ratings take into account the bank's currently solid
capitalization, good asset quality and reasonable profitability.
The ratings also reflect the benefits to business origination and
performance from Avers' close cooperation with TAIF group (a
large oil refining/petrochemical holding in Tatarstan ultimately
controlled, like the bank, by individuals close to former head of
the republic, Fitch understands) for which Avers performs
treasury functions.

The ratings also factor in the bank's so far limited market
franchise, significant loan concentrations, including in respect
to companies from TAIF, and very high reliance on funding from
TAIF and private shareholders, as well as a limited track record
of operations under new management/strategy and rapid recent and
planned growth.

Avers' asset composition reflects the bank's moderate risk
appetite and the treasury function it performs for TAIF.  Only
one-third of assets are loans and the rest are securities and
bank placements of good credit quality (about 97% of non-lending
exposure was rated BBB-BB).  NPLs (loans over 90 days overdue)
were limited at 1.2% of the portfolio at end-1H15 and fully
reserved.  Corporate loans (85% of total loans) are concentrated
with the top 20 borrowers comprising 73% of loans (87% of Fitch
Core Capital (FCC)) at end-1H15.  The largest of these was a
working capital rouble-denominated loan to a company from TAIF,
which was 60% covered by the borrower's foreign currency deposits
(net exposure equal to 19% of FCC).  Risks relating to this
exposure are mitigated by the moderate counterparty risk, short-
tenor, and cash coverage.

Other large loans were also of good credit quality due to
borrowers' good financial metrics and/or adequate collateral
coverage.  Retail lending (15% of loans) was also of good
quality, represented mostly by mortgages issued under
state/regional programmes or loans to employees of TAIF.

Profitability is reasonable (ROAE of 11% in 1H15), supported by
the moderate cost of funding (5-6%) reflecting significant
placements by TAIF/shareholders.

Capitalization is solid (regulatory Tier 1 ratio of 35% at end-
2015, allowing for about 76% reserve coverage of the existing
loan portfolio).  Additionally, annualized pre-impairment profit
for 1H15 would be sufficient to cover 13% of average loans.  The
bank plans to gradually decrease the capital ratio to about 20%
during 2016-2020 as a result of expected growth and dividend pay-
outs of around 60%-80% of net profits.  However, according to
management, the bank is planning to remain relatively risk-
averse, and actual growth will depend on its ability to attract
reasonably good borrowers in order not to compromise credit
quality.

Funding is mainly from TAIF and the bank's shareholders (about
90% of liabilities) and is viewed as sticky by Fitch.  Liquidity
is significant (liquid assets covered over 80% of customer
accounts at end-3Q15) and further supported by the short-term
lending. Refinancing risk is negligible, as the bank is not
present in capital/debt markets and loans from banks are also
small.

              SUPPORT RATING AND SUPPORT RATING FLOOR

The '5' Support Rating and 'No Floor' Support Rating Floor
reflect the bank's small size, market shares and retail deposit
franchise, making government support uncertain.  In Fitch's view,
support from the bank's private shareholders, while possible, can
also not be relied upon.

                        RATING SENSITIVITIES

IDRS, VR, NATIONAL RATING

The bank's IDRs could be downgraded if rapid growth results in
asset quality becoming compromised, and capitalization weakens
without being supported by new injections.  The ratings could be
also downgraded if the current benefits of cooperation with TAIF
reduce.

Upside potential for the ratings is limited in the near term
given the bank's small franchise, short track record under new
management and the weak operating environment.  However, greater
business diversification and a longer track record of good
performance would be positive for the credit profile.

The rating actions are:

  Long-term foreign currency IDR: assigned at 'BB-', Outlook
   Stable

  Long-term local currency IDR: assigned at 'BB-', Outlook Stable

  Short-term foreign currency IDR: assigned at 'B'

  Viability Rating: assigned at 'bb-'

  Support Rating: assigned at '5'

  Support Rating Floor: assigned at 'No Floor'

  National Long-Term rating: assigned at 'A+(rus)', Outlook
   Stable


BANKIRSKY DOM: Placed Under Provisional Administration
------------------------------------------------------
The Bank of Russia, by Order No. OD-726, dated March 3, 2016,
revoked the banking license of Saint Petersburg-based credit
institution JSCB Bankirsky Dom JSC from March 3, 2016.

The Bank of Russia took such an extreme measure -- revocation of
the banking license -- because the capital adequacy ratio of this
credit institution was below 2% and its equity capital dropped
down below the minimum authorised capital established by the Bank
of Russia as of the date of the state registration of the credit
institution.

The Bank of Russia revealed a large cash shortage in the tills of
JSCB Bankirsky Dom JSC. While making provisions for possible
losses on actually absent assets, the credit institution fully
lost its capital.  Moreover, the bank was involved in suspicious
operations.  The management and owners of the credit institution
failed to take effective measures to bring the situation back to
normal.  Given the circumstances, the Bank of Russia has
performed its duty to revoke the banking license of JSCB
Bankirsky Dom JSC.

The Bank of Russia, by its Order No. OD-727, dated March 3, 2016,
the Bank of Russia appointed a provisional administration to JSCB
Bankirsky Dom JSC for the period until the appointment of a
receiver pursuant to the Federal Law "On Insolvency (Bankruptcy)"
or a liquidator under Article 23.1 of the Federal Law "On Banks
and Banking Activities".  In compliance with federal laws, the
powers of the credit institution's executive bodies have been
suspended.

JSCB Bankirsky Dom JSC is a participant in the deposit insurance
system.  The revocation of the banking licence is recognised as
an insured event stipulated by Federal Law No. 177-FZ "On
Insurance of Household Deposits in Russian Banks" with regard to
the bank's obligations to honour household deposits identified in
accordance with the procedure established by law.  The said
Federal Law provides for the payment of indemnities to the bank's
depositors, including individual entrepreneurs, in the amount of
100% of the balance of funds but no more than 1.4 million rubles
per one depositor.

According to reporting data, as of February 1, 2016, JSCB
Bankirsky Dom JSC ranked 422nd in the Russian banking system in
terms of assets.


INVESTTORGBANK PJSC: DIA's Provisional Administration Role Ends
---------------------------------------------------------------
The Bank of Russia issued a ruling, Order No. OD-654, dated
February 24, 2016, to terminate from February 27, 2016, the
functions of the provisional administration the Deposit Insurance
Agency performs for Joint-stock Commercial Bank INVESTMENT
TRADING BANK Public Joint-Stock company (JSCB Investtorgbank
(PJSC)) following the agency's application.

The Bank of Russia previously appointed the DIA, by Order No. OD-
3465 dated August 27, 2015, to perform the functions of
provisional administration for the entity.


VOKBANK JSC: DIA's Provisional Administration Functions Ends
------------------------------------------------------------
The Bank of Russia entered a decision, Order No. OD-655, to
terminate from February 12, 2016, the functions of the
provisional administration the Deposit Insurance Agency performs
for Joint-Stock Company Volgo-Oksky Commercial Bank (JSC VOKBANK)
following the agency's application.

The Bank of Russia previously appointed the DIA, by Order No.
OD-2266, dated August 27, 2015, to perform the functions of
provisional administration for the entity.



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


COM HEM: S&P Raises Corp. Credit Rating to 'BB', Outlook Stable
---------------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term corporate
credit rating on Swedish cable operator Com Hem Holding AB (publ)
to 'BB' from 'BB-'.  The outlook is stable.

At the same time, S&P raised its issue credit ratings on its
senior secured loans and notes to 'BB' from 'BB-'.  The recovery
rating on the senior secured debt is unchanged at '3', indicating
S&P's expectation of meaningful recovery (50%-70%; lower half of
the range) in the event of a payment default.

The upgrade reflects Com Hem's improved cash flow generation,
following a stronger-than-expected operating performance and, to
a lesser extent, lower interest expenses.  S&P now expects Com
Hem's revenues and EBITDA to increase faster than S&P previously
forecasted over 2016 and 2017.  Com Hem offers superior products
in S&P's view (very high broadband speed and the competitive TiVo
platform for digital-TV), which S&P anticipates will enable it to
achieve volume and price increases in these two segments.

The company has recently focused on the small enterprise segment
and has announced that it may offer services to one-family homes.
Although S&P has not factored the latter into its revised base
case for Com Hem, its chosen markets could also support further
growth.  S&P has also slightly revised its profitability
estimates.

Furthermore, interest expenses materially decreased because in
November 2015 Com Hem refinanced its EUR186.6 million (SEK1.7
billion) notes, which bore a 10.75% coupon, by raising two bank
loans totaling SEK1.5 billion at a much lower rate.  As a result,
its average interest rate decreased to 3.6% in the last quarter
of 2015 from 5.3% in the last quarter of 2014.  On the back of
higher EBITDA and lower interest expenses, S&P now estimates the
company's annual free operating cash flow (FOCF) will not fall
from the 2015 level (SEK0.8 billion) in the coming years; it was
negative SEK63 million in 2014.

S&P's assessment of Com Hem's business risk profile is still
supported by the company's established position in the Swedish
market; it has connections to about 40% of the country's
households.  Com Hem has a well-invested and upgraded hybrid-
fiber-coaxial DOCSIS 3.0 network that offers Internet speeds of
500 megabits per second in 92% of its coverage area, which is far
superior to the speeds offered by its competitors.

In digital TV, S&P expects Com Hem's revenues to continue to
benefit from its TiVo box, which it continues to upgrade to offer
new functionalities.  Moreover, Com Hem's basic cable-TV access
business has a stable and diverse customer base of landlords.
Revenues generated from landlords are associated with a low
turnover rate and high barriers to entry.

Other strengths include high profitability, with a Standard &
Poor's-adjusted EBITDA margin around 50%, and growth
opportunities as the overall penetration rate in Com Hem's
network area is still low at 46% (about 10% in the enterprise
segment) and customer satisfaction is improving.

These strengths are partly offset by intense competition from
various technology platforms in multidwelling areas, including a
70% overlap with fiber networks (although Com Hem's superior
network offers higher speeds in 80% of the area in which it
operates).  Com Hem competes with TeliaSonera AB and Telenor ASA,
which are much larger operators and use several alternative
technologies, including digital subscriber lines and fiber optic
networks.

S&P's assessment of Com Hem's financial risk profile remains
constrained by the company's relatively high leverage and a
shareholder remuneration policy (including dividends and share
buybacks) that S&P thinks will result in distributing nearly all
of its FOCF.  However, S&P also expects the company will remain
committed to its financial policy, which targets a reported
leverage ratio of 3.5x-4.0x.  S&P anticipates that this will
translate into Standard & Poor's-adjusted leverage of 4.1x-4.5x.
Therefore, S&P expects adjusted leverage will remain below 4.5x
in 2016 and 2017.  In 2015, Com Hem's FOCF significantly
improved, and S&P thinks it will at least stabilize at this level
in the coming years.

In S&P's base case, it assumes:

   -- Organic revenue growth of about 4%, based on higher
      penetration in digital-TV thanks to the TiVo platform,
      customers migrating to faster broadband speeds, and from
      cross-selling opportunities leading to increased uptake of
      bundled offers;

   -- Price increases in broadband services and digital-TV to
      represent 50% of the growth in 2016.  S&P expects further
      modest price increases in coming years and no material
      long-term impact on the churn rate following a recent
      improvement in customer satisfaction;

   -- Continued price pressure in the landlord segment and likely
      erosion in telephony;

   -- An adjusted EBITDA margin of about 50%;

   -- Capital expenditures of about 20% of revenues in 2016 and
      2017; and

   -- Dividends of SEK293 million in 2016 and annual share
      buybacks of about SEK700 million in 2016-2017.

Based on these assumptions, S&P arrives at these credit measures:

   -- Adjusted debt to EBITDA at 4.2x-4.3x in 2016-2017;
   -- FOCF to debt close to 9% in 2016-2017; and
   -- EBITDA interest coverage of 5x-6x in 2016-2017.

The stable outlook reflects S&P's expectation that Com Hem's
revenues, EBITDA, and FOCF will continue to rise.  It also
reflects S&P's anticipation that adjusted debt to EBITDA will
remain sustainably below 4.5x, while FOCF to debt will stabilize
at about 8%-9%.

S&P could lower the rating if revenues and EBITDA are weaker than
S&P expects, for example, if prices are lower or Com Hem sees
market-share erosion.  S&P could also lower the rating if FOCF to
debt fell below 5% or if adjusted debt to EBITDA exceeded 4.5x,
following acquisitions or larger shareholder remuneration than
S&P currently anticipates.

S&P currently views an upgrade as remote given the company's
financial policy.  An upgrade would likely require an adjusted
debt-to-EBITDA ratio well below 4.0x on a sustainable basis and
FOCF to debt well into the 10%-15% range.



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


BRIGHT FUTURE: In Liquidation After Cutting 300 Jobs
----------------------------------------------------
Manchester Evening News reports that MediaCity software firm
Bright Future has gone into liquidation leaving hundreds of
employees out of a job.

Eudie Thompson, chief executive, confirmed her company was no
more after laying off 300 workers -- including 180 apprentices,
according to Manchester Evening News.

The report notes that Ms. Thompson blamed the loss of a large
contract and the withdrawal of a 'major equity prospect' for the
firm's collapse.

UKFast entrepreneur Lawrence Jones has swooped in to offer
redundant staff new roles at his company for some of the
apprentices at his Manchester base, the report notes.

The report relays that Ms. Thompson said: "The Bright Future
leadership team is deeply saddened and disappointed by recent
events.  The retraction of a major equity prospect and the loss
of a large contract in quick succession severely impacted our
cashflow and led to us regretfully putting the company into
liquidation.

"We have worked around the clock to support our staff during this
very difficult time.  We have received offers of employment for
all 85 of our current Level 3 apprentices and we will continue to
search for roles for our Level 4 and 5 apprentices," Mr. Thomson
continued.

"We are also working closely with our software mentors to find
suitable employment.  The idea underpinning Bright Future was
unique, with young people able to gain both an education and
hands-on experience in software development, led by experienced
mentors," Mr. Thomson said, the report relays.

"We had some incredible successes with almost 200 people
completing software development apprenticeships.  Unfortunately,
delivering long-term sustainability proved unattainable," Mr.
Thomson added.

UKFast entrepreneur Lawrence Jones offered redundant staff new
roles at his company, the repot relays.

Mr. Jones said UKFast will hold an open day for those affected on
Wednesday and he will take on 50 apprentices at his Manchester
headquarters, the report relays.

The report notes that Mr. Jones said: "We're doing our bit to
look after these people who have had the rug pulled from under
them. I'm committing to taking on 40-50 apprentices.

"But we're offering all of them guidance, careers advice and a
helping hand so they can recover from this.  We will pay for
psychometric profiling to discover their strengths and to help
them work out the direction they need to go in," Mr. Jones added.


C J PRYOR: Transport Giant Hargreaves Acquires Firm
---------------------------------------------------
Construction Enquirer reports that C J Pryor (Contracts) Limited
and C J Pryor (Plant) were briefly placed in administration.

Certain assets of the firms were then acquired shortly after to
Hargreaves in a "pre-pack" deal, according to Construction
Enquirer.

C J Pryor put itself up for sale in January following a cash flow
crisis, the report notes.

A core team of around 60 staff were kept on from the original
workforce to service ongoing contracts while a buyer was sought,
the report relays.

The sale and administration was handled by FRP Advisory.

The report discloses that Glyn Mummery --
glyn.mummery@frpadvisory.com --, partner and joint administrator
at FRP Advisory, said: "The sale of this long established Harlow-
based business to Hargreaves is good news for all concerned — the
ongoing construction contracts which depended on the business'
earth moving expertise and of course the regional economy.

"We would like to thank a supportive customer base who, together
with a loyal workforce, helped see the business through the
administration process," the report quoted Mr. Mummery as saying.

"We wish all concerned under the new ownership of Hargreaves, an
established operator in the construction market, the very best
for the future," he added.


POWA TECHNOLOGIES: Two Units Sold Following Administration
----------------------------------------------------------
Kadhim Shubber at The Financial Times reports that two units of
Powa Technologies have been sold to separate groups of investors,
weeks after the UK company once valued at US$2.7 billion fell
into administration as it struggled to pay staff and raise new
investment.

PowaWeb, a unit that runs ecommerce websites for companies such
as Electrolux, has been acquired by London-based marketing agency
Greenlight Digital, the FT discloses.

According to the FT, PowaTag, an app for buying products by
taking photos of adverts with a smartphone, has been sold to a
consortium led by Ben White, a director of Powa Technologies who
was appointed in January.

Twenty PowaWeb staff employed at the time of the sale will be
retained and those who have not been paid will receive back pay,
the FT says.

Powa Technologies Group, the holding company for two operating
subsidiaries, went into administration after Wellington
Management, its main investor, pulled its loans and appointed
Deloitte, the FT recounts.  Powa Technologies Limited, one of the
subsidiaries, soon followed, the FT relays.

The group founded by Dan Wagner had received about US$225 million
in debt and equity investment, but failed to generate meaningful
sales, the FT states.

Deloitte, as cited by the FT, said the deals announced on March 3
did not amount to "wrapping up all their businesses".

Powa Technologies is a mobile commerce group.


PREMIER ASPHALT: Slips Into Administration
------------------------------------------
Insider Media Limited reports that Aintree-based Premier Asphalt,
a GBP16 million-turnover road-surfacing firm in Liverpool that
can trace its history back more than 30 years, has slipped into
administration.

Premier Asphalt entered administration on February 19, 2016, with
Alan Fallows -- allan.fallows@kayjohnsongee.com , and Peter
Anderson -- peter.anderson@kayjohnsongee.com , of Kay Johnson Gee
Corporate Recovery alongside Paul Boyle --
paulboyle@harrisons.uk.com -- of Harrisons Business Recovery
named joint administrators following an appointment by the
qualifying floating charge holder, according to Insider Media
Limited.

According to its most recent set of accounts, the business had a
turnover of GBP15.7 million in the year to March 31, 2014,
compared to a turnover of GBP14.5 million in the prior year, the
report notes.  The business also had 66 members of staff on
average in 2013/14, the report relays.

A statement by Kay Johnson Gee said: "The Liverpool-based company
had traded for over 30 years providing asphalt laying services
for numerous building projects including residential developments
and commercial ventures, the report discloses.

"The joint administrators are currently working with their agents
with a view to locating a potential purchaser," Mr. Gee added.

Premier Asphalt, which was founded in 1985, is majority owned by
Wirral millionaire Paul Winskill.


QUALITY CONTRACT: Goes Into Administration
------------------------------------------
The Construction Index reports that Quigley UK Lifting Services
Ltd, a company is run by Shaun Quigley, has gone into
administration.  A previous crane hire business of belonging to
him and his brother Gary had entered administration three years
ago, according to Construction Index.

Quigley UK Lifting Services Ltd had in turn been created when the
brothers purchased the assets of their previous business, Quigley
UK Ltd, in 2006, soon after that too had been put into
administration, the report relays.

The administrators are Ben Woolrych --
ben.woolrych@frpadvisory.com -- and Russell Stewart Cash --
Russell.cash@frpadvisory.com -- of FRP Advisory on King Street,
Manchester.

Quality Contract Lifting Ltd, whose principal trading address is
on Barton Hall Business Park in Manchester, carries out contract
lifting, crane hire and plant installation.  Projects featured on
its website include the removal of an old Victorian railway
footbridge in Altrincham.


UK: Court Orders Bogus Construction Firms Into Liquidation
----------------------------------------------------------
Robyn Wilson at Construction News reports that 15 fraudulent
construction and civil engineering companies, with combined sales
of GBP50 million and assets of GBP8.4 million, have been ordered
into liquidation.

The companies had been set up to fraudulently buy goods on
credit.

Petitions to wind up the companies were issued by the business
secretary, following an investigation by the Insolvency Service's
company investigations division, according to Construction News.

The report notes that the court heard how the bogus companies had
been bought "off the shelf" from two company formation agents by
a person calling himself Jonathan Hunting.

The Insolvency Service described how fictitious directors were
appointed to dormant companies, with the appointments back-dated
by several years, the report relays.  This was done "to lend
legitimacy" to false accounts filed by the companies' new owners,
who were then able to report "significant assets," the report
says.

It added that the companies had no physical presence at their
registered office, which were located across the UK, the report
notes.

Company investigations supervisor Chris Mayhew said these
companies had no legitimate purpose and existed solely to buy
goods, such as expensive cars, on credit, the report says.

Mr. Mayhew added: "False accounts were filed by some of the
companies to create the impression that they were substantial and
credit-worthy businesses and had been trading profitably for a
number of years, which the investigation found to be blatantly
untrue, the report says.

"Where no trading accounts had been filed the first step,
backdating the date of the director's appointment, had been taken
to continue with the fraud," Mr. Mayhew said.

"I would urge businesses approached for credit to question why a
potential new corporate customer would choose to back date the
appointment of its recorded officers and to file accounts showing
significant trading and assets at a time when clearly the company
was still on the shelf of the company formation agent dormant
awaiting sale," Mr. Mayhew added.


WISE PLC 2006-1: Moody's Cuts Rating on Class A Notes to B2(sf)
---------------------------------------------------------------
Moody's Investors Service announced that it has downgraded the
rating of one class of notes issued by WISE 2006-1 PLC:

-- GBP30,000,000 Class A Credit-Linked Notes due 2058,
    Downgraded to B2 (sf); previously on May 22, 2015 Downgraded
    to B1 (sf)

Moody's affirmed the ratings of two classes of notes issued by
WISE 2006-1 PLC:

-- GBP22,500,000 Class B Credit-Linked Notes due 2058, Affirmed
    Caa1 (sf); previously on May 22, 2015 Downgraded to Caa1 (sf)

-- GBP11,250,000 Class C Credit-Linked Notes due 2058, Affirmed
    Caa3 (sf); previously on May 22, 2015 Downgraded to Caa3 (sf)

Moody's also affirmed the rating of the Super Senior CDS, entered
into by Dexia Credit Local (protection buyer):

Issuer: Dexia Credit Local - Super Senior Credit Default Swap
WISE 2006-1 PLC

-- GBP1436.25 million (current outstanding balance GBP 1320.9M)
    Super Senior Swap Notes, Affirmed Aa2 (sf); previously on May
    22, 2015 Downgraded to Aa2 (sf)

The transaction is a synthetic project finance CDO with an
underlying portfolio consisting of GBP denominated PFI and
regulated utility bonds, each guaranteed by one of seven
monolines.

RATINGS RATIONALE

The rating actions are primarily a result of the deterioration in
the credit quality of the underlying reference portfolio since
the last rating action in May 2015. The deterioration in credit
quality is largely attributable to the downgrade of the
guaranteed index linked senior secured bonds issued by Catalyst
Healthcare (Manchester) Financing, a UK based PPP project in the
healthcare sector. Catalyst Healthcare (Manchester) Financing's
bonds were initially downgraded to Ba1, under review for further
downgrade, from Baa1 in June 2015; and later confirmed at Ba1 in
September 2015.

Deterioration in credit quality is observed through a higher
average rating factor of the portfolio (as measured by the
weighted average rating factor "WARF"). In particular, the WARF
(as calculated by Moody's) has increased to 341 as of January
2016 from 310 in May 2015.

Moody's analysis also incorporates the downgrade to MBIA
Insurance corporation ("MBIA Corp") Insurance Financial Strength
rating on January 19, 2016 to B3, under review for further
downgrade.

MBIA Corp, one of the seven monolines, provides a guaranty to
three regulated utility bonds for a notional of GBP150 million,
or 10.8% of the portfolio.



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


* BOOK REVIEW: Competitive Strategy for Health Care Organizations
-----------------------------------------------------------------
Authors: Alan Sheldon and Susan Windham
Publisher: Beard Books
Softcover: 190 pages
List Price: $34.95
Review by Francoise C. Arsenault
Order your personal copy today at http://bit.ly/1nqvQ7V

Competitive Strategy for Health Care Organizations: Techniques
for Strategic Action is an informative book that provides
practical guidance for senior health care managers and other
health care professionals on the organizational and competitive
strategic action needed to survive and to be successful in
today's increasingly competitive health care marketplace. An
important premise of the book is that the development and
implementation of good competitive strategy involves a profound
understanding of change. As the authors state at the outset:
"What may need to be done in today's environment may involve
great departure from the past, including major changes in the
skills and attitudes of staff, and great tact and patience in
bringing about the necessary strategic training."

Although understanding change is certainly important in most
fields, the authors demonstrate the particular importance of
change to the health care field in the first and second chapters.
In Chapter 1, the authors review the three eras of medical care
(individual medicine, organizational medicine, and network
medicine) and lay the groundwork for their model for competitive
strategy development. Chapter 2 describes the factors that must
be taken into account for successful strategic decision-making.
These factors include the analysis of the environmental trends
and competitive forces affecting the health care field, past,
current, and future; the analysis of the competitive position of
the organization; the setting of goals, objectives, and a
strategy; the analysis of competitive performance; and the
readaptation of the business, if necessary, through positioning
activities, redirection of strategy, and organizational change.
Chapters 3 through 7 discuss in detail the five positioning
activities that are part of the model and therefore critical to
the development and implementation of a successful strategy:
scanning; product market analysis; collaboration; restructuring;
and managing the physician. The chapter on managing the physician
(Chapter 7) is the only section in the book that appears dated
(the book was first published in 1984). In this day of
physicianowned hospitals and physician-backed joint ventures, it
is difficult to envision the physician in the passive role of
"being managed." However, even the changing role of physicians
since the book's first publication correlates with the authors'
premise that their model for competitive strategic planning is
based exactly on understanding and anticipating change, which is
no better illustrated than in health care where change is
measured not in years but in months. These middle chapters and
the other chapters use a mixture of didactic presentation, graphs
and charts, quotations from famous individuals, and anecdotes to
render what can frequently be dry information in an entertaining
and readable format.

The final chapter of the book presents a case example (using the
"South Clinic") as a summary of many of the issues and strategic
alternatives discussed in the previous chapters. The final
chapter also discusses the competitive issues specific to various
types of health care delivery organizations, including teaching
hospitals, community hospitals, group practices, independent
practice associations, hospital groups, super groups and
alliances, nursing homes, home health agencies, and for-profits.
An interesting quote on for-profits indicates how time and change
are indeed important factors in strategic planning in the health
care field: "Behind many of the competitive concerns lies the
specter of the for profits.

Their competitive edge has lain until now in the excellence of
their management. But developments in the past half decade
have shown that the voluntary sector can match the for profits
in management excellence. Despite reservations that may
not always be untrue, the for-profit sector has demonstrated that
good management can pay off in health care. But will the
voluntary institutions end up making the same mistakes and having
the same accusations leveled at them as the for-profits have? It
is disturbing to talk to the head of a voluntary hospital group
and hear him describe physicians as his potential competitors."


                            *********

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 Amazon.com.  Go to
http://www.bankrupt.com/booksto order any title today.


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., USA.
Valerie U. Pascual, Marites O. Claro, Rousel Elaine T. Fernandez,
Joy A. Agravante, Ivy B. Magdadaro, and Peter A. Chapman,
Editors.

Copyright 2016.  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
202-362-8552.


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