TCREUR_Public/170427.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, April 27, 2017, Vol. 18, No. 83


                            Headlines


B E L G I U M

LANGERLO NV: Coal-Fired Plant Operator Files for Insolvency


F R A N C E

LA FINANCIERE: S&P Affirms 'B+' CCR, Outlook Positive


G E R M A N Y

DF DEUTSCHE: Takes Write-Downs Against Restructuring Portfolio
KION GROUP: S&P Affirms 'BB+' CCR & Revises Outlook to Stable
SENVION HOLDING: S&P Affirms 'B+' CCR on Planned Refinancing


G R E E C E

GREECE: Int'l Creditors Check Progress of Reform Program


I T A L Y

ALITALIA SPA: To Enter Administration After Rescue Plan Rejected


N E T H E R L A N D S

JACOBS DOUWE: S&P Affirms 'BB' CCR, Outlook Stable


R U S S I A

COMMERCIAL BANK: S&P Affirms 'B/B' Counterparty Credit Ratings


T U R K E Y

OJER TELEKOMUNIKASYON: License Issues Hamper Bailout Plan


U K R A I N E

DIAMANTBANK: Deposit Fund Introduces Interim Administration


U N I T E D   K I N G D O M

HARBEN FINANCE 2017-1: S&P Assigns 'BB' Rating to Cl. G Notes
JAEGER COMPANY: Suppliers Express Interest in Buying Chain
RIPON MORTGAGES: S&P Assigns 'BB' Rating to Class G Notes
TRANSLINE: Files Notice of Intention to Appoint Administrators


                            *********



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B E L G I U M
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LANGERLO NV: Coal-Fired Plant Operator Files for Insolvency
-----------------------------------------------------------
Argus Media reports that Belgian coal-fired power plant Langerlo
filed for insolvency on April 21.

The 556MW plant, owned by Baltic wood pellet producer Graanul
Invest, filed the request with the Antwerp commercial court's
Tongeren division, the report says. Two receivers of Langerlo
were appointed.

According to Argus, the decision was made after the Felmish
Energy Agency (VEA) refused an application earlier this month to
extend the deadline to convert Langerlo to biomass by the summer
of 2018. If the project was not operational by this date it was
due to lose its subsidies, the report notes.

Plant manager Marc Rommens said VEA on April 20 rejected a final
plan to convert Langerlo to biomass and gas, Argus relays.

Langerlo was expected to generate 1.8mn t/yr of wood pellet
demand once converted to biomass, the report notes.

Based in Genk, Belgium, Langerlo NV operates coal-based and
biomass power plants.


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F R A N C E
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LA FINANCIERE: S&P Affirms 'B+' CCR, Outlook Positive
-----------------------------------------------------
S&P Global Ratings affirmed its 'B+' long-term corporate credit
rating on French facilities services provider La Financiere
Atalian SAS.  The outlook is positive.

At the same time, S&P assigned its 'B+' issue rating to the
proposed EUR600 million senior unsecured notes.  The recovery
rating is '4', indicating S&P's expectation of average recovery
(30%-50%; rounded estimate 35%) in the event of a payment
default.

S&P also raised its issue rating on Atalian's existing EUR400
million senior unsecured notes to 'B+' from 'B'.  The recovery
rating is now '4', indicating S&P's expectation of average
recovery (30%-50%; rounded estimate 35%) in the event of a
payment default.  S&P expects to withdraw the ratings on the
existing senior unsecured notes upon refinancing with the
proposed issuance.

The rating actions reflect S&P's belief that Atalian's proposed
full refinancing of its EUR400 million senior unsecured notes
maturing in 2020 with EUR600 million proposed senior unsecured
notes will have limited impact on its S&P Global Ratings'
adjusted credit metrics.  The company plans to use part of the
proceeds from the refinancing to fund the group's acquisitive
strategy, which S&P thinks will help improve Atalian's EBITDA
generation, while reducing its reliance on the French market.

As of Aug. 31, 2017, S&P continues to forecast the S&P Global
Ratings' adjusted debt-to-EBITDA ratio at 4.5x-5.0x and funds
from operations (FFO) to debt at around 13%, metrics that are
commensurate with the current rating.  However, S&P thinks that
if the group continues successfully integrating acquired assets
while growing organically its international business, this will
likely translate into stronger credit metrics over time.  As
such, S&P forecasts that for August 2018, Atalian's adjusted
leverage will improve toward 4.0x-4.5x, with FFO to debt heading
toward 14%-15% and FFO interest cover of more than 3.0x.

Atalian operates in a highly competitive and fragmented sector
with limited barriers to entry, fairly low margins, and
significant exposure to wage-cost inflation.  Atalian's margins
continue to be supported by the tax credit CICE ("credit d'impot
pour la competitivite et l'emploi"), which represented about 23%
of the group's EBITDA in fiscal 2016 (ended August 31), since S&P
treats it as operating income.  S&P also expects Atalian's
reliance on CICE to decrease over time as the group expands
operations abroad.  The company's geographic diversification has
already improved over the past two years, and S&P expects this
will continue as the group will continue to acquire businesses,
mainly outside of France.

Still, in fiscal 2016, the group sourced about 65% of its
revenues from its core market, France, where it has a leading
position.  The adjusted EBITDA margin remains weak at about 5%-
6%, which is below the average that S&P sees for facilities
management companies. Atalian's adjusted EBITDA margin
deteriorated slightly in fiscal 2016 to 5.4% from 5.7% in fiscal
2015 on the integration of lower-margin international business.
S&P expects adjusted profitability will remain between 5%-6% as
S&P thinks the group will continue to acquire and integrate
lower-margin businesses.

The positive outlook indicates that S&P could raise the long-term
corporate credit rating within the next two to three quarters if
Atalian's credit metrics strengthen on continued successful
integration of acquired businesses and slight organic growth.

S&P is likely to raise the rating on Atalian if EBITDA growth and
cash flow generation result in stronger credit metrics, such as
lower net leverage in the 4.0x-4.5x range, stronger FFO to debt
at more than 15%, and FFO interest cover higher than 3.0x, on a
sustainable basis.  This would occur if Atalian is able to
sustain a track record of moderated acquisition activity and
successful integration of acquired assets, while continuing
organic expansion.

S&P could revise its outlook to stable if the company's adjusted
debt to EBITDA remained above 4.5x and FFO to debt below 15%, or
if the group failed to improve its cash interest coverage.  This
could result from weaker-than-expected operating performance,
with the adjusted EBITDA margin reducing to less than 5%.


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G E R M A N Y
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DF DEUTSCHE: Takes Write-Downs Against Restructuring Portfolio
--------------------------------------------------------------
DF Deutsche Forfait AG on April 25 took write-downs in the amount
of EUR8.4 million against the restructuring portfolio defined in
the insolvency plan dated April 29, 2016.  Taken as part of the
adoption of the financial statements for the short financial year
from July 2, 2016 to December 31, 2016, these write-downs include
both the EUR4.9 million write-down announced in January 2017 and
another EUR3.5 million in write-downs against two blocks of
receivables included in the restructuring portfolio.  While the
write-downs will not impact DF Deutsche Forfait AG's consolidated
result directly as they will exclusively impact the value of the
restructuring portfolio set aside to pay off the insolvency
creditors, the company has established a provision of EUR0.8
million through profit/loss to account for the now elevated
likelihood of having to make compensation payments to the
insolvency creditors.

Coming in at EUR-2.8 million, DF Deutsche Forfait AG's
consolidated result for the short financial year is within the
previously published guidance range of between EUR-2.0 and
EUR-3.0 million.  The full Annual Report will be published on
April 28, 2017.

DF Deutsche Forfait AG is German-based company engaged in the
non-recourse purchase and sale of receivables -- the forfeiting
business -- as well as the acceptance of risks through purchasing
commitments.


KION GROUP: S&P Affirms 'BB+' CCR & Revises Outlook to Stable
-------------------------------------------------------------
S&P Global Ratings revised its outlook on German materials
handling original equipment manufacturer KION GROUP AG to stable
from negative.  S&P also affirmed its 'BB+' long-term corporate
credit rating on KION.

The outlook revision follows KION's solid operational and
financial performance and successful measures to refinance large
parts of the Dematic acquisition financing package with equity
and long-term debt issuance.

S&P expects that KION's key credit metrics, particularly its
adjusted funds from operations (FFO)-to-debt ratio, will continue
to strengthen.  This improvement should follow the group's solid
cash flow generation, and factors in S&P's expectation that the
group will successfully execute a second capital increase after
the acquisition.  S&P sees KION as committed to maintaining its
cross-over credit profile and expect the second capital increase
of up to 10% to enable the group to return to its pretransaction
credit metrics in 2017.

In S&P's base-case forecast, it expects revenues of about
EUR7.2 billion-EUR7.6 billion in 2017, with an EBITDA margin at
about 16.5%, and moderate revenue growth and margin expansion in
2018.  S&P further expects the group will steadily allocate about
2.5%-3.0% of its revenues to capital expenditure (capex) in its
operations and expand through smaller add-on acquisitions.
Resulting solid free cash flow generation translates to adjusted
FFO to debt at 20%-22% in 2017, and 24%-26% in 2018, as per S&P's
base case-forecast, with further improvement thereafter depending
on the group's financial policy.

The stable outlook reflects S&P's expectation that KION's key
credit ratios will be in line with the rating by the end of 2017,
mainly owing to expected solid cash flow and equity issuance.
S&P also takes into account that KION will continue its solid
operational and financial performance over our 12-month outlook
horizon.  S&P regards an FFO-to-debt ratio sustainably in the
20%-30% range as commensurate with the current rating on KION.

Rating upside could materialize if KION implemented its planned
measures to strengthen its balance sheet, and its operating and
financial performance exceeded S&P's expectations, translating in
turn into credit ratios toward the upper end of the 20%-30%
bracket, with perceived sustainable strengthening beyond that
level.  S&P would also consider a positive rating action if it
observed that continuous solid operational performance and cash
generation were substantiated by supportive financial policy
framework and commitment for a higher rating level.  In addition,
rating upside could materialize through perceived increased
support from the group's largest shareholder Weichai Power Co.
Ltd. (BBB/Negative/--), which currently holds a 43% stake.

Rating downside could materialize if KION didn't show a strong
commitment to maintaining the strength of its financial profile
and credit protection ratios as expected.  Pressure on the rating
could also emerge if the group's operating results and cash flow
generation remained below expectations and prolonged the recovery
in credit metrics.  Additionally, S&P could consider a downgrade
if KION adopted a more aggressive financial policy than S&P
currently expects, or it undertook further large debt-funded
acquisitions that weighed on its financial risk profile.


SENVION HOLDING: S&P Affirms 'B+' CCR on Planned Refinancing
------------------------------------------------------------
S&P Global Ratings affirmed its 'B+' long-term corporate credit
rating on Germany-based wind turbine manufacturer Senvion Holding
GmbH.  The outlook is stable.

At the same time, S&P assigned its 'B+' issue rating to the
group's proposed EUR400 million senior secured notes.  The
recovery rating is '3', indicating S&P's expectation of
meaningful recovery prospects (50%-70%; rounded estimate: 60%) in
the event of a payment default.

In addition, S&P affirmed its:

   -- 'BB' issue ratings on the group's EUR125 million revolving
      credit facility (RCF).  The recovery rating is '1',
      indicating S&P's expectation of very high recovery
      prospects (90%-100%, rounded estimate: 95%); and

   -- 'B+' issue ratings on the outstanding EUR400 million senior
      secured notes maturing in 2020.  The recovery rating on
      these notes is '3', reflecting S&P's expectations of
      meaningful recovery prospects (50%-70%; rounded estimate:
      60%).  S&P expects to withdraw the issue and recovery
      ratings on this instrument once the proposed transaction is
      completed.

The rating on the proposed senior secured notes is subject to the
successful completion of the transaction and S&P's review of the
final documentation.  If S&P Global Ratings does not receive the
final documentation within a reasonable timeframe, or if the
final documentation departs from the materials S&P has already
reviewed, it reserves the right to withdraw or revise its
ratings.

The rating actions follow Senvion's announced plans to replace
its existing EUR400 senior secured notes by placing new senior
secured notes of the same amount.

The transaction will not affect Senvion's leverage, but S&P
expects some interest savings of around EUR10 million each year,
given the lower interest rate on the new issued senior notes
compared to the existing instrument.  S&P also understands that
the interest margin on the RCF will likely be lowered and its
maturity extended to 2022.  Once the refinancing is completed,
S&P forecasts that the group's S&P Global Ratings-adjusted debt-
to-EBITDA ratio will be around 4.0x in 2017 and trending toward
3.0x-3.5x in 2018, on the back of the group's strengthened
operating performance.  S&P understands that Senvion intends to
pay the transaction costs from its cash balance.

Senvion maintains a low market share worldwide in the fragmented
wind turbine manufacturing industry, and it has a limited
geographic footprint--about two-thirds of the group's sales are
generated in Europe, where the company is the fifth-largest
player, with a high dependence on the German market.  With about
12% of the group's total sales, the aftermarket business makes
only a small contribution to earnings stability, leading to heavy
reliance on new projects.  However, the volume of service revenue
is increasing in line with the installed asset base.  Senvion is
exposed to policy-driven demand cyclicality, as expected in
Germany with the policy adjustment for renewable energy (EEG
2017) effective in 2017, limiting additions of onshore wind parks
and increasing cost pressure by shifting toward auction-based
system that intensifies competitive pressure.  In addition, the
group is exposed to project execution risks that could translate
into volatile cash flows, as recently experienced in 2016 when
the company booked a EUR55 million provision for one of its
offshore projects.  The failure to develop new wind turbines to
timely meet client needs might lead to market share
deterioration.  Moreover, intense pricing pressure--created by
overcapacity, the industry's fragmented structure, and policy
changes toward an auction-based subsidies schemes, notably in
Europe--could spur a decline in the group's profit margins.

Nevertheless, Senvion maintains a solid footprint in its core
markets, supported by a diversified customer and supplier with
long-lasting relationships.  The company has some visibility to
future revenues and earnings given its strong order back log, and
it was able to introduce several new turbine models during the
past two years, broadening its product portfolio.  S&P notes that
the group has started to adjust its strategy toward a more global
profile to capture growth potential outside of Europe, as well as
implementing restructuring measures to strengthening its cost
position and fit its production profile to the strategy.

The stable outlook on Senvion is based on S&P's anticipation that
the group will be able to maintain credit metrics in line with
current rating thanks to solid operating performance supported by
its strong order back log over the outlook horizon.  S&P views an
adjusted ratio of debt to EBITDA of less than 4.5x and an FFO
cash interest coverage ratio of above 3x to be in line with the
current rating.

Rating pressure could arise if market conditions weakened further
than expected and Senvion's operating results deteriorated as a
result.  This could dent sales, squeeze the group's reported
EBITDA margin, and weaken the adjusted ratio of debt to EBITDA to
more than 4.5x and FFO cash interest cover ratio to less than 3x.
This scenario could unfold if the European market contracts
further than expected and experiences changes in government
policies and subsidies that leads to less support for the wind
energy industry.  The rating could also come under pressure if
the group's FOCF turned substantially negative because of lower
cash conversion.

S&P views a low likelihood of a positive rating action over its
outlook horizon.  S&P might consider raising the rating if
Senvion's operating and financial performances significantly
strengthened over the coming two years, coupled with marked
deleveraging.  However, at this stage, the financial risk profile
is restricted by the group's financial sponsor ownership.  An
improvement in S&P's assessment of the financial policy could
arise if it anticipated that the sponsor was going to relinquish
control over the medium term.


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G R E E C E
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GREECE: Int'l Creditors Check Progress of Reform Program
--------------------------------------------------------
Deutsche Presse-Agentur reports that representatives of
international creditors were in Athens on April 25 to check the
progress of Greece's economic reform program.

Greece, whose economy was crippled after the 2008 financial
crisis, has promised major reforms in exchange for a new aid
package of up to EUR86 billion (US$94 billion dollars), dpa
relates.

Privatizations -- including that of electricity company DEI --
would be the focus, dpa relays, citing sources at the Greek
Finance Ministry.

Over the next few days, reforms over striking rights and trade
unions, tax increases and reductions in pensions are due to be
examined, dpa notes.

Experts from the European Commission, the European Central Bank
(ECB), the European Stability Mechanism (ESM) and the
International Monetary Fund (IMF) are expected to remain in
Athens until the beginning of next week, dpa discloses.

If they are satisfied, they will submit a report to the Eurogroup
of EU finance ministers, according to dpa.

Only after a successful review of Greece's reforms can another
bailout be paid, dpa notes.


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I T A L Y
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ALITALIA SPA: To Enter Administration After Rescue Plan Rejected
----------------------------------------------------------------
Tommaso Ebhardt and Chiara Albanese at Bloomberg News report that
Alitalia SpA said it exhausted all options after workers voted
against job cuts aimed at salvaging the cash-strapped Italian
airline, pushing it toward administration for the second time in
a decade.

According to Bloomberg, the Rome-based airline said a EUR2
billion (US$2.2 billion) recapitalization tied to the savings
plan is effectively dead and Alitalia will start appropriate
"legal procedures" as funds run out.

Chairman Luca Cordero Di Montezemolo "formally" communicated to
the Italy aviation authority that the carrier decided to start
the process of naming an administrator, Bloomberg relates.

The decision to appoint an administrator is the first step for
being placed in a legal reorganization process, making it almost
impossible a last-minute rescue of the carrier as it exists
today, Bloomberg notes.

Italy has said it won't nationalize Alitalia whatever the
circumstances, Bloomberg states.  Abu Dhabi-based Etihad, the
carrier's main backer, as cited by Bloomberg, said the employees'
rejection means "all parties lose," and that it supports the
board's move to hold a shareholders' meeting today, April 27, "to
start preparing the procedures provided by law."

Economic Development Minister Carlo Calenda told TG3 in a
television interview on April 25 "The most likely scenario is
that we will go towards a short period of special administration
that may be concluded within six months with a partial or total
sale of Alitalia's assets or with liquidation", Bloomberg relays.

The company was last put into bankruptcy in 2008 after political
and labor opposition thwarted sale plans, and has stumbled on
since, with ties to Air France-KLM Group and Etihad Airways
PJSC failing to end losses, Bloomberg recounts.

The Italian aviation authority, or ENAC, said conditions are in
place to allow Alitalia to continue its operations and flights
regularly, says the report.

Alitalia employees voted against a rescue plan that included pay
cuts and the elimination of hundreds of jobs, according to
results of a ballot published on April 24, Bloomberg discloses.

The package rejected by workers included 1,600 job losses
designed to help the carrier break even, down from 2,000 proposed
under an earlier proposal, Bloomberg states.  The carrier has
12,500 employees, according to Bloomberg.

Alitalia's board met following the outcome of the poll calling a
shareholders meeting Apr. 27 to formalize its decisions,
Bloomberg discloses.

The recapitalization, for which the cost cuts were a
precondition, included about EUR900 million of new funding,
Bloomberg relays, citing Alitalia's latest business plan, leaving
the company facing a liquidity crunch.

Once Alitalia declares itself insolvent, the government would
appoint a special administrator to take formal charge and develop
a rescue plan within 180 days, which could be extended for a
further 90 days, Bloomberg states.  The plan might entail asset
sales, reduced operations and consequently unlimited job cuts
aimed at making the airline viable within two years, according to
Bloomberg.  Alternatively, the person may decide that a
turnaround isn't possible and order the carrier to be liquidated,
Bloomberg notes.

                         About Alitalia

Alitalia-Compagnia Aerea Italiana has navigated its way through
a successful restructuring.  After filing for bankruptcy
protection in 2008, Alitalia found additional investors, acquired
rival airline Air One, and re-emerged as Italy's leading airline
in early 2009.  Operating a fleet of about 150 aircraft, the
airline now serves more than 75 national and international
destinations from hubs in Fiumicino (Rome), Milan, Turin, Venice,
Naples, and Catania.  Alitalia extends its network as a member of
the SkyTeam code-sharing and marketing alliance, which also
includes Air France, Delta Air Lines, and KLM.  An Italian
investor group owns a majority of the company, while Air France-
KLM owns 25%.



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N E T H E R L A N D S
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JACOBS DOUWE: S&P Affirms 'BB' CCR, Outlook Stable
--------------------------------------------------
S&P Global Ratings affirmed its 'BB' long-term corporate credit
rating on JACOBS DOUWE EGBERTS International B.V. (JDE).  The
outlook is stable.

At the same time, S&P affirmed its 'BB' issue rating on the
group's senior secured term loan facilities including the
proposed incremental EUR500 million tap to the existing term loan
B tranche.  The recovery rating is '3' reflecting S&P's
expectation of meaningful (50%-70%; rounded estimate 55%)
recovery in the event of a payment default.

The affirmation follows JDE's plans to increase the financing
under their credit facilities by up to EUR500 million to
refinance the drawn amounts under its revolving credit facility
(RCF).  These amounts are linked to its ongoing transaction to
acquire Super Group Ltd. (Super), which enjoys market leading
positions in the Southeast Asian market.  Super is an integrated
food and beverage manufacturer with a product focus in branded
consumer products including instant coffee, teas, and cereals.
S&P views this acquisition as supportive to the JDE group's
operations as it will help to drive its market penetration in
that region.  S&P expects JDE to generate accretive earnings for
the combined group and, as a result, support higher cash flow
generation and deleveraging over the next 12-24 months.

S&P understands that the company is in the process of engaging
with its lenders to re-price the existing term loan B tranches
under its credit facility.  S&P expects to maintain the issue and
recovery ratings following these negotiations.

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

   -- Annual sales growth of 2.5%-5.0% driven by new product
      development, a full-year contribution from bolt-on
      acquisitions including Super, and pass-through of raw
      material price movements;

   -- Increased cost savings and synergies leading to enhanced
      and stable EBITDA margins of 20%-22%;

   -- Annual capital expenditure (capex) of about 3.0%-4.0% of
      revenues;

   -- Reduced working capital needs as management improves
      logistics and supply channels thus enhancing throughput
      time;

   -- Excess cash flow sweep, amortizing term loan and
      limitations on dividend payments enabling the company to
      focus on debt reduction; and

   -- Small bolt-on acquisitions of EUR100 million-EUR200 million
      annually.

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

   -- Debt to EBITDA of 4.5x-5.0x in 2017 and 4.0x-4.5x in 2018;

   -- Free operating cash flow (FOCF) to debt of 9%-12% in 2017
      and 2018; and

   -- EBITDA interest coverage of at least 6.0x.

The stable outlook reflects S&P's view that JDE will generate
solid FOCF well above EUR400 million and record adjusted debt to
EBITDA of 4.0x-5.0x over the next 12-18 months.  S&P expects the
group to maintain its strong positions in branded coffee across
developed markets and successfully integrate bolt-on acquisitions
including Super.  S&P anticipates steady sales growth and
improving profitability, allowing JDE to record EBITDA interest
coverage metrics above 6.0x (reflecting the recent re-pricing
transactions) while delivering solid FOCF to debt of 9%-12%.

S&P could consider an upgrade should JDE's adjusted debt-to-
EBITDA ratio fall below 4.0x and its FOCF-to-debt ratio increase
to comfortably more than 10% on a sustainable basis, all else
being equal.  This would most likely occur if JDE accelerated its
sales growth significantly following recent acquisitions, and
supported by-product innovation and an effective marketing
strategy.  Prudent management of operating expenses and capital
investment would also support earnings and cash flow generation
and bolster the group's deleveraging profile.

S&P could consider lowering the ratings if JDE's leverage rises
to above 5.0x for the foreseeable future.  This could result from
a material reduction in FOCF generation from the levels S&P
currently expects, or from a change in the group's financial
policies that impairs its discretionary cash flow generation.
The latter would most likely occur if the synergies JDE expects
from recent acquisitions do not materialize, resulting in the
group being unable to increase profitability, or if JDE did not
maintain its leading shares in its core markets.


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R U S S I A
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COMMERCIAL BANK: S&P Affirms 'B/B' Counterparty Credit Ratings
--------------------------------------------------------------
S&P Global Ratings affirmed its 'B/B' long- and short-term
counterparty credit ratings and 'ruBBB+' Russia national scale
rating on Russia-based Commercial Bank National Standard LLC
(NSB).  At the same time, S&P removed the ratings from
CreditWatch negative where it placed them on Feb. 7, 2017.  The
outlook is negative.

The affirmation and removal from CreditWatch reflect S&P's
diminishing concerns regarding the bank's immediate ability to
achieve reasonable earnings while converting its business model.
At the same time, S&P still believes that sustainability of the
bank's strategy is vulnerable because of competition and the
difficult operating conditions in Russia.

S&P expects that NSB's business franchise will remain relatively
narrow in the next 12 months, given its cautious expansion
strategy.

S&P thinks that NSB's business model is currently poorly
diversified, as demonstrated by high concentrations on both sides
of its balance sheet.  The bank's clientele still mostly consists
of large and midsize Russian corporations, though the bank aims
to diversify its business by focusing on small and midsize
enterprises in regions where it operates instead of large
corporates, as was previously the case.  S&P understands that it
will likely take time to improve the diversity of its business
activity and restore earnings power.  At the same time, S&P
believes that the bank is in a transition period and
deterioration in its financial performance is largely a result of
a continued shift in its strategy and business model.  As such,
S&P has included a one-notch positive adjustment for additional
factors into the rating.

In 2016, the bank experienced a structural decline in the
earnings power and the dynamism of its core business.  S&P
expects net losses of Russian ruble (RUB) 700 million-RUB750
million (about $11.5 million-$12.4 million) for 2016 under
International Financial Reporting Standards (IFRS), or about 15%
of the bank's reported shareholder equity as of Dec. 31, 2016.
At the same time, the bank was able to curb deterioration in its
net interest margin at the level of 4% which is generally in line
with the sector average.  Additionally, the bank reported net
profit of about RUB150 million (under Russian GAAP) for the first
quarter of 2017.

"We believe that the bank's risk-adjusted capital (RAC) ratio is
likely to remain above 5% over our outlook horizon of 12-18
months.  At the same time, we note that the bank's total
regulatory capital adequacy ratio was at a high 27% on March 1,
2017, comfortably above the regulatory minimum of 8% because of
an additional buffer from Tier 2 subordinated issues.  As of
March 1, 2017, cash and equivalents including interbank
placements accounted for 10% of the bank's total assets.  At the
same date, NSB's unpledged portfolio of liquid bonds amounted to
about RUB3.8 billion (or 13% of the bank's total assets).  The
bank is mainly funded by customer deposits, which made up 60% of
its total liabilities on Dec. 31, 2016.  The depositor base is
quite concentrated, with the top-20 depositors amounting to about
35% of total deposits.  The ratio of broad liquid assets to
short-term wholesale funding stood at 3x as of Dec. 31, 2016,
which is better than most of the bank's peers," S&P said.

The negative outlook on NSB reflects S&P's view that the bank's
ability to restore its earning power, supporting sustainability
of the changing business model, will remain under pressure in the
next 12 months, due to tight competition in Russia and the
current operating environment.

S&P might downgrade NSB if it is not able to curb credit costs
and sustainably restore earnings capacity, while improving the
diversity of its business activity.  S&P could also review its
assessment of the bank's business position if S&P was to see its
franchise and business sustainability continue to deteriorate
substantially, which could result in a downgrade.

S&P could revise the outlook on NSB to stable in the coming 12
months if the bank demonstrated sustainable operating profit and
if its loan portfolio quality remained at least stable, which
could support S&P's view on the sustainability of the bank's
business position.


===========
T U R K E Y
===========


OJER TELEKOMUNIKASYON: License Issues Hamper Bailout Plan
---------------------------------------------------------
Ercan Ersoy at Bloomberg News reports that a plan to bailout the
majority owner of Turkey's biggest phone operator is being
hindered because the operator's license doesn't leave enough time
for potential buyers to recoup their investments.

According to Bloomberg, three people with direct knowledge of the
matter said Saudi Telecom Co. and investors from Qatar had looked
into acquiring a stake in Ojer Telekomunikasyon AS, which owns
55% in the Ankara-based Turk Telekomunikasyon AS.

The people said investors may be swayed into making the purchase
if regulators extend Turk Telekom's license beyond its expiry in
2026, Bloomberg relates.

Ojer Telekomunikasyon, knows as Otas, depends on dividends from
Turk Telekom to service a US$4.75 billion loan it took out in
May 2013, Bloomberg discloses.  A 50% slump in the lira against
the dollar since the inception of the loan has eroded the
value of dividends the company receives in the local currency,
Bloomberg says.  Otas, wholly owned by Lebanese Hariri
family's Oger Telecom, missed two repayments of US$290 million
each in September and March on the borrowing, the biggest
syndicated loan by a Turkish company to date, Bloomberg relays.

The loan was originally secured from 29 Turkish and international
lenders including Akbank TAS, Turkiye Garanti Bankasi AS, Turkiye
Is Bankasi AS and BNP Paribas that were among bookrunners,
Bloomberg notes.

According to Bloomberg, people with knowledge of the matter have
said a plan by Saudi Telecom, which owns 35% in Oger Telecom, to
buy a direct stake in Otas failed as the lenders rejected a US$1
billion reduction in the original loan amount in exchange for the
STC investment.



=============
U K R A I N E
=============


DIAMANTBANK: Deposit Fund Introduces Interim Administration
-----------------------------------------------------------
UNIAN reports that Ukraine's Deposit Guarantee Fund has
introduced interim administration at Diamantbank after the
National Bank of Ukraine declared the bank insolvent.

Diamantbank is based in Kyiv.


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


HARBEN FINANCE 2017-1: S&P Assigns 'BB' Rating to Cl. G Notes
-------------------------------------------------------------
S&P Global Ratings assigned credit ratings to Harben Finance
2017-1 PLC's class A, B-Dfrd, C-Dfrd, D-Dfrd, E-Dfrd, F-Dfrd, and
G notes.  At closing, the issuer also issued unrated class R and
Z notes.

S&P has based its credit analysis on the closing pool, which
totals GBP1.92 billion.  The pool comprises first-lien U.K.
residential mortgage loans, which Bradford & Bingley PLC (B&B)
and Mortgage Express (MX) originated.

At closing, the issuer purchased the beneficial interest in a
portfolio of U.K. residential mortgage buy-to-let loans from the
seller, using the notes' issuance proceeds.  The legal title of
each loan remains with B&B and MX, and moves to the long-term
servicer on the transfer date, which is 12 months after closing
(or earlier if a perfection trigger occurs).

B&B is the interim servicer of the loans in the pool, with a
delegation to Computershare Mortgage Services Ltd. until the
transfer date.  After that, Topaz Finance Ltd. starts servicing
the assets as a long-term servicer with a delegation to Homeloan
Management Ltd.  In S&P's cash flow modeling, it stressed a
servicing fee equal 0.53% during the first year and thereafter
equal to 0.50% (which after a period increases yearly to mitigate
the risk of rising inflation), as in S&P's opinion, this reflects
the likely cost of replacing the servicer.

The reserve fund comprises a liquidity reserve fund and a general
reserve fund.  The liquidity reserve fund's required amount is
2.5% of the outstanding balance of the class A and B-Dfrd notes
and amortizes as these classes of notes amortize.  The liquidity
reserve is available to pay for senior fees and interest on the
class A and B-Dfrd notes.  The general reserve fund's required
amount is 2.5% of the class A and B-Dfrd notes' closing balance,
less the liquidity reserve fund.  Therefore, the reserve fund was
empty at closing.  The general reserve fund is available to
provide credit enhancement to the notes (excluding the class G,
R, and Z notes).

S&P's ratings address the timely receipt of interest and ultimate
repayment of principal on the class A notes.  The ratings
assigned to the class B-Dfrd to F-Dfrd notes are interest-
deferred ratings and address the ultimate payment of interest and
principal.

S&P has assessed the transaction's payment structure, cash flow
mechanics, and the results of S&P's cash flow analysis to assess
whether the notes would be repaid under stress test scenarios.
Subordination, the general reserve, and excess spread provide
credit enhancement to the rated notes.  Taking these factors into
account, S&P considers that the available credit enhancement for
the rated notes is commensurate with the ratings assigned.

RATINGS LIST

Harben Finance 2017-1 PLC
GBP1.96 Billion Mortgage-Backed Floating-Rate And Unrated Notes

Class         Rating           Amount
                             (mil. GBP)

A             AAA (sf)          1,493
B-Dfrd        AA (sf)           125.2
C-Dfrd        A+ (sf)           120.4
D-Dfrd        BBB+ (sf)          57.8
E-Dfrd        BBB+ (sf)           4.8
F-Dfrd        BBB- (sf)          19.2
G             BB (sf)            19.2
R             NR                 40.4
Z             NR                 86.7

NR--Not rated.


JAEGER COMPANY: Suppliers Express Interest in Buying Chain
----------------------------------------------------------
Drapers reports that a group of suppliers who claim to be owed
millions of pounds following the demise of Jaeger have expressed
an interest in taking over the collapsed retailer.

Drapers relates that the bid is being led by Cesar Araujo, owner
of Portuguese textile group Calvelex, which has supplied Jaeger
for more than 20 years.  Mr. Araujo was in London last week and
spoke to administrators about the proposal.

According to the report, Mr. Araujo wants Harold Tillman, the
former chairman and owner of Jaeger, to come back on board and
recruit a new team for the business, which Mr. Araujo believes
"can become a world leader once again".

Drapers relates that Mr. Tillman said he would return to the
brand, which he said was profitable under his leadership. "I have
a duty and obligation to the brand, employees and suppliers," he
told Drapers. "There are too many pre-pack deals around. We need
to enhance our morals and ethics in business in this country."

Mr. Araujo told Drapers he thinks the UK government should review
insolvency laws to provide a more "ethical, moral and level
playing field", which gives all creditors access to information
and the opportunity to have an input in the future of a company
in administration.

"Suppliers are often left with nothing and it is completely
unacceptable," Mr. Araujo, as cited by Drapers, argued. "The law
needs to change. It is affecting people's jobs and livelihoods."

He added that it is "increasingly difficult" for suppliers to do
business with British retailers without running the risk of
losing money due to firms falling into insolvency, Drapers
relates.

Peter Saville, Ryan Grant, and Catherine Williamson of
AlixPartners were appointed joint administrators of The Jaeger
Company's Shops Limited, Jaeger London Limited, Jaeger Holdings
Limited and the Jaeger Company Limited on April 10.

Jaeger announced last week it was closing 20 stores and making
209 redundancies across its head office, distribution centre and
store network, Drapers adds.


RIPON MORTGAGES: S&P Assigns 'BB' Rating to Class G Notes
---------------------------------------------------------
S&P Global Ratings assigned its credit ratings to Ripon Mortgages
PLC's class A1 to G notes.  S&P's ratings address the timely
receipt of interest and ultimate repayment of principal to the
class A1 and A2 notes.  The ratings assigned to the class B1-Dfrd
to F-Dfrd notes are interest-deferred ratings and address the
ultimate payment of interest and principal.

At closing, Ripon Mortgages also issued unrated class R and Z
notes and X and Y certificates.

Ripon Mortgages is a securitization of a pool of buy-to-let (BTL)
residential mortgage loans concentrated in London and southeast
England.

On the closing date, the issuer purchased the beneficial interest
in a portfolio of U.K. residential mortgage BTL loans from the
seller, using the notes' issuance proceeds.  The legal title of
each loan remained with Bradford & Bingley and Mortgage Express
and moves to the long-term servicer on the transfer date, which
is 12 months after closing (or earlier in case a perfection
trigger occurs).

Of the mortgage loans, 100% are flexible, which means that
relevant borrowers may request a capital redraw from the lender
of amounts representing previous overpayments.  In addition, an
amount not exceeding the total amount of previous overpayments
made by such borrower may be applied not as overpayments but
toward the borrowers' subsequent monthly payments up to a maximum
of six months (payment holiday).  If the relevant legal title
holder is unable to fund a borrow-back, the borrower may be able
to set off amounts payable under the loans.  There is no redraw
reserve in place to mitigate this risk.  S&P has determined the
potential redraw risk and have sized an additional 1.9% set-off
amount of the closing pool balance in our cash flow analysis.

The reserve fund comprises a liquidity reserve fund and a general
reserve fund.  The liquidity reserve fund's required amount is
2.5% of the outstanding balance of the class A and B-Dfrd notes
and amortizes as the class A1, A2, B1-Dfrd, and B2-Dfrd notes
amortize.  The liquidity reserve is available to pay for senior
fees and interest on the class A1, A2, B1-Dfrd, and B2-Dfrd notes
and the class X certificates.  The general reserve fund's
required amount is 2.5% of the class A1, A2, B1-Dfrd, and B2-Dfrd
notes' closing balance, minus the liquidity reserve fund.
Therefore, the amount at closing was 0%.  The general reserve is
available to provide credit enhancement to the notes (excluding
the class G, R, and Z notes).  The general reserve can also be
used to cover interest shortfalls on the class X certificates and
to cover any shortfalls on senior and junior fees.

S&P's ratings reflect its assessment of the transaction's payment
structure, cash flow mechanics, and the results of S&P's cash
flow analysis to assess whether the notes would be repaid under
stress test scenarios.  Subordination, the general reserve, and
excess spread provide credit enhancement to the rated notes.
Taking these factors into account, S&P considers that the
available credit enhancement for the rated notes is commensurate
with the ratings assigned.

RATINGS LIST

Ripon Mortgages PLC
GBP10.06 Billion Residential Mortgage-Backed Floating-Rate and
Unrated Notes

Class                Rating         Amount
                                  (mil. GBP)
A1                    AAA (sf)       2,179
A2                    AAA (sf)       5,460
X certificates       N/A               N/A
B1-Dfrd               AA (sf)        409.4
B2-Dfrd               AA (sf)        231.2
C1-Dfrd               A+ (sf)        214.7
C2-Dfrd               A+ (sf)        401.3
D1-Dfrd               BBB+ (sf)      117.3
D2-Dfrd               BBB+ (sf)      178.3
E-Dfrd               BBB (sf)         24.6
F-Dfrd               BB+ (sf)         98.5
G                    BB (sf)          98.5
R                    NR              207.0
Z                    NR              443.6
Y certificates       N/A               N/A

N/A--Not applicable. NR--Not rated.


TRANSLINE: Files Notice of Intention to Appoint Administrators
--------------------------------------------------------------
Simon Goodley at The Guardian reports that Transline, the
temporary employment agency that became embroiled in the Sports
Direct scandal, has submitted court documents preparing the
company for insolvency.

The business has filed a "notice of intention of appointing
administrators" at a court in Leeds, and has sounded out the
accountancy firm Deloitte as a potential administrator, The
Guardian relates.

"The company has suffered as a result of a continued move to
tighter margins in the recruitment industry.  We are close to
securing inward investment that will allow us to drive forward
with continued growth and infrastructure development, and have
lodged the 'notice of intention' to protect the business, our
employees and our customers as we complete this process," The
Guardian quotes a Transline spokesperson as saying.

The employment agency has had a torrid 16 months since the
publication of the Guardian's investigation into working
conditions at Sports Direct, which resulted in a deal where the
retailer, Transline and a second agency, The Best Connection,
agreed to make about GBP1m available in back pay to affected
workers, The Guardian discloses.

However, it emerged at a parliamentary select committee hearing
last month that Transline has failed to honour part of that deal,
leaving scores of workers who were paid less than the legal
minimum without the back pay they are owed for their shifts, The
Guardian notes.

According to The Guardian, the payments were to be backdated to
May 2012, although Transline has not yet refunded unpaid wages
from before it took over workers at the site from a rival agency,
Blue Arrow, in 2014.



                            *********

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, Julie Anne L. Toledo, Ivy B. Magdadaro, and
Peter A. Chapman, Editors.

Copyright 2017.  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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