/raid1/www/Hosts/bankrupt/TCREUR_Public/171114.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

          Tuesday, November 14, 2017, Vol. 18, No. 226


                            Headlines


C R O A T I A

AGROKOR DD: Croatia Survives Parliamentary No-Confidence Vote


C Y P R U S

OCEAN RIG: Highland Fights Bid to Block Marshall Islands Case


I R E L A N D

G HOTEL: Gerry Barrett Finalizing Bid for Business


I T A L Y

ASTALDI SPA: Capital Increase Positive for B+ Rating, Fitch Says


L U X E M B O U R G

GAZ CAPITAL: Moody's Assigns Ba1 Rating to Proposed Sr. EUR LPNs


N E T H E R L A N D S

CAIRN CLO VIII: Moody's Assigns B2 Rating to Class F Notes
CANDIDE FINANCING: Fitch Hikes Rating on Cl. B Notes From BBsf
TIKEHAU CLO III: Moody's Assigns B2 Rating to Class F Notes
TIKEHAU CLO: Fitch Assigns B-sf(EXP) Rating to Class F-R Notes

* NETHERLANDS: Corporate Bankruptcies Up in October 2017


R U S S I A

SVERDLOVSK REGION: Fitch Affirms BB+ Long-Term IDR


S P A I N

FERROVIAL SA: Fitch Rates EUR500MM Perpetual Sub. Securities BB+


S W E D E N

VERISURE MIDHOLDING: Moody's Lowers Corporate Family Rating to B2


U N I T E D   K I N G D O M

BURNTISLAND FABRICATORS: Cash Flow Woes May Prompt Administration
MISSOURI TOPCO: Moody's Hikes CFR to B3, Outlook Stable
VOYAGE BIDCO: Fitch Plans to Withdraw B- Long-Term IDR


X X X X X X X X

* Non-Preferred Senior Will Aid EU Bank Resolution, Fitch Says


                            *********



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


AGROKOR DD: Croatia Survives Parliamentary No-Confidence Vote
-------------------------------------------------------------
Reuters reports that the Croatian government survived a
parliamentary no-confidence vote that the opposition demanded
over the handling of a debt crisis at the country's largest
private firm Agrokor.

According to Reuters, in the vote, which followed 12 hours of a
parliamentary debate, 59 deputies in the 151-seat parliament were
in favor of the removal of the conservative-led cabinet, while 78
were opposed to it.

The no-confidence motion came as the opposition led by the Social
Democrats said a liquidity loan agreed in recent months with
creditors, including foreign investment funds, to finance
Agrokor's operations through a 15-month period of restructuring
lacked transparency and favored some creditors, Reuters relates.

The government and Agrokor's crisis manager Ante Ramljak rejected
the accusations, Reuters notes.

                        About Agrokor DD

Founded in 1976 and based in Zagreb, Crotia, Agrokor DD is the
biggest food producer and retailer in the Balkans, employing
almost 60,000 people across the region with annual revenue of
some HRK50 billion (US$7 billion).

On April 10, 2017, the Zagreb Commercial Court allowed the
initiation of the procedure for extraordinary administration over
Agrokor and some of its affiliated or subsidiary companies.  This
comes on the heels of an April 7, 2017 proposal submitted by the
management board of Agrokor Group for the administration
proceedings for the Company pursuant to the Law of Extraordinary
Administration for Companies with Systemic Importance for the
Republic of Croatia.

Mr. Ante Ramljak was simultaneously appointed extraordinary
commissioner/trustee for Agrokor on April 10.

In May 2017, Agrokor dd, in close cooperation with its advisors,
established that as of March 31, 2017, it had total liabilities
of HRK40.409 billion.  The company racked up debts during a rapid
expansion, notably in Croatia, Slovenia, Bosnia and Serbia, a
Reuters report noted.

On June 2, 2017, Moody's Investors Service downgraded Agrokor
D.D.'s corporate family rating (CFR) to Ca from Caa2 and the
probability of default rating (PDR) to D-PD from Ca-PD. The
outlook on the company's ratings remains negative.  Moody's also
downgraded the senior unsecured rating assigned to the notes
issued by Agrokor due in 2019 and 2020 to C from Caa2.  The
rating actions reflect Agrokor's decision not to pay the coupon
scheduled on May 1, 2017 on its EUR300 million notes due May 2019
at the end of the 30-day grace period. It also factors in Moody's
understanding that the company is not paying interest on any of
the debt in place prior to Agrokor's decision in April 2017 to
file for restructuring under Croatia's law for the Extraordinary
Administration for Companies with Systemic Importance.

On June 8, 2017, Agrokor's Agrarian Administration signed an
agreement on a financial arrangement agreement worth EUR480
million, including EUR80 million of loans granted to Agrokor by
domestic banks in April. In addition to this amount, additional
buffers are also provided with additional EUR50 million of
potential refinancing credit. The total loan arrangement amounts
to EUR1,060 million, of which a new debt totaling EUR530 million
and the remainder is intended to refinance old debt.


===========
C Y P R U S
===========


OCEAN RIG: Highland Fights Bid to Block Marshall Islands Case
-------------------------------------------------------------
Tiffany Kary at Bloomberg News reports that Highland Capital
Management LP objects to a bid by the bankrupt offshore driller
Ocean Rig to block it from continuing a legal fight in the
Marshall Islands.

Ocean Rig UDW Inc. and three subsidiaries already had
restructuring approved in Cayman courts, Bloomberg notes.  The
company currently seeks an order in New York bankruptcy court
blocking Highland from pursuing further litigation in Marshall
Islands, Bloomberg discloses.

According to Bloomberg, Highland says in court papers filed on
Nov. 9 that it opposes the motion, arguing that if the New York
court rules in favor of Ocean Rig, it will be favoring the law of
Cayman Islands over law of Republic of the Marshall Islands.

The case is CASE: 17-10736, In re Ocean Rig UDW Inc.; U.S.
Bankruptcy Court.

                         About Ocean Rig

Nicosia, Cyprus-based Ocean Rig UDW Inc. (NASDAQ: ORIG) --
http://www.ocean-rig.com/-- is an international offshore
drilling contractor providing oilfield services for offshore oil
and gas exploration, development and production drilling, and
specializing in the ultra-deepwater and harsh-environment segment
of the offshore drilling industry.

On March 24, 2017, Ocean Rig UDW Inc., et al., filed winding up
petitions with the Cayman Court and issued summonses for the
appointment of joint provisional liquidators for the purpose of
the Restructuring.  By orders of the Cayman Court dated March 27,
2017, Simon Appell and Eleanor Fisher were appointed as the JPLs
and duly authorized foreign representatives, and the Cayman
Provisional Liquidation Proceedings were commenced.

Simon Appell and Eleanor Fisher of AlixPartners, LLP, in their
capacities, as the joint provisional liquidators and authorized
foreign representatives, filed for Chapter 15 protection for
Ocean Rig and its affiliates (Bankr. S.D.N.Y. Lead Case No. 17-
10736) on March 27, 2017, to seek recognition of the Cayman
proceedings.

The JPLs' U.S. counsel are Evan C. Hollander, Esq., and Raniero
D'Aversa Jr., Esq., at Orrick, Herrington & Sutcliffe LLP, in New
York.

                          *     *     *

On Sept. 15, 2017, the Grand Court of the Cayman Islands
sanctioned the schemes of arrangements of the Company and its
subsidiaries, Drill Rigs Holdings Inc. ("DRH"), Drillships
Financing Holding Inc. ("DFH"), and Drillships Ocean Ventures
Inc., ("DOV," and together with UDW, DRH and DFH, the "Scheme
Companies").  The terms of the restructuring have therefore been
approved by the Cayman Court.



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


G HOTEL: Gerry Barrett Finalizing Bid for Business
--------------------------------------------------
Philip Connolly and Brian Carey at The Sunday Times report that
developer Gerry Barrett has held talks with James Murphy, the
founder of consumer goods group Lifes2Good, about investing in
his Galway hotel, leisure and property interests.

According to The Sunday Times, Mr. Barrett is finalizing a bid
for G and Meyrick hotels, the Eye cinema, 38 apartments, a retail
park, house and a development site in the city.

The properties and trading businesses, known as the Edward
Capital Group, are currently under the protection of the High
Court, The Sunday Times notes.

Examiner Neil Hughes -- neil.hughes@bakertillyhb.ie -- of Baker
Tilly Hughes Blake is expected to consider investment proposals
to secure the future of the group as early as this week, The
Sunday Times discloses.



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


ASTALDI SPA: Capital Increase Positive for B+ Rating, Fitch Says
----------------------------------------------------------------
Fitch Ratings says that a planned EUR200 million capital increase
would be positive for Astaldi S.p.A.'s rating (B+/Stable) only if
used to reduce gross debt.

Astaldi's gross debt was EUR2.1 billion at end-June 2017, an
increase of more than EUR100m compared to end-2016, which
reflects the typical working capital seasonality of the
construction business. Fitch expects Astaldi's payment cycle to
reverse in the second half of the year, when its cash collection
is generally more favourable. Fitch expects this, together with
the rights issue announced on Nov. 9, and the potential proceeds
from its disposal plan, to help the company to restore metrics to
within Fitch guidelines.

Although the disposal of concessions is at the core of the
company's strategy, the uncertainty related to the timing and
completion of sale of its key assets remains high. A protracted
delay could put pressure on the current ratings.

In absence of material cash flows from its core construction
business, or substantial proceeds from disposals therefore, the
benefit of a EUR200 million share issue would be very limited.

Following the sale of the A4 motorway and its stake in the M5
Milan underground, Astaldi's disposal plan includes its stake in
the third Bosphorus Bridge in Turkey, one of its most valuable
assets.


===================
L U X E M B O U R G
===================


GAZ CAPITAL: Moody's Assigns Ba1 Rating to Proposed Sr. EUR LPNs
----------------------------------------------------------------
Moody's Investors Service has assigned a Ba1 rating with a loss
given default assessment of LGD4 to the proposed senior unsecured
EUR loan participation notes (LPNs) to be issued by, but with
limited recourse to, Gaz Capital S.A. (Ba1 stable), a public
limited liability company incorporated in Luxembourg. Gaz Capital
will in turn on-lend the proceeds to Gazprom, PJSC (Ba1 stable)
for general corporate purposes. Therefore, the noteholders will
rely solely on Gazprom's credit quality to service and repay the
debt.

"The Ba1 rating assigned to the notes is the same as Gazprom's
corporate family rating because the notes will rank on par with
the company's other outstanding unsecured debt," says Denis
Perevezentsev, a Moody's Vice President -- Senior Credit Officer
and lead analyst for Gazprom.

LPNs will be issued as Series 44 under the existing $40 billion
multicurrency medium-term note programme (rated (P)Ba1) for
issuing loan participation notes. The notes will be issued for
the sole purpose of financing a euro-denominated loan to Gazprom
under the terms of a supplemental loan agreement between Gaz
Capital and Gazprom supplemental to a facility agreement between
the same parties dated 7 December 2005.

RATINGS RATIONALE

The Ba1 rating assigned to the notes is the same as Gazprom's
corporate family rating (CFR), which reflects Moody's view that
the proposed notes will rank pari passu with other outstanding
unsecured debt of Gazprom. The rating is also on par with the
Russian government's foreign-currency bond rating and the
foreign-currency bond country ceiling.

The noteholders will have the benefit of certain covenants made
by Gazprom, including a negative pledge and restrictions on
mergers and disposals. The cross-default clause embedded in the
bond documentation will cover, inter alia, a failure by Gazprom
or any of its principal subsidiaries to pay any of its financial
indebtedness in the amount exceeding $20 million.

Gazprom's Ba1 CFR reflects its strong business profile as
Russia's largest producer and monopoly exporter of pipeline gas,
owner and operator of the world's largest gas transportation and
storage system, and Europe's largest gas supplier. Gazprom's
credit profile benefits from high levels of government support
resulting from economic, political and reputational importance of
the company to the Russian state. The rating also recognizes
Gazprom's strong financial metrics, robust cash flow generation,
underpinned by contracted foreign-currency-denominated revenues,
and modest leverage.

The rating is constrained by Gazprom's exposure to the credit
profile of Russia and is in line with Russia's sovereign rating
and the foreign-currency bond country ceiling of Ba1. The company
remains exposed to the Russian macroeconomic, regulatory and
operating environment, despite its high volume of exports, given
that most of the company's production facilities are located
within Russia.

WHAT COULD CHANGE THE RATINGS UP/DOWN

Moody's would consider an upgrade of Gazprom's ratings if it were
to upgrade Russia's sovereign rating and/or raise the foreign-
currency bond country ceiling provided that the company's
operating and financial performance, market position and
liquidity remain commensurate with Moody's current expectations
and there are no adverse changes in the probability of the
Russian government providing extraordinary support to the company
in the event of financial distress.

The ratings are likely to be downgraded if (1) there is a
downgrade of Russia's sovereign rating and a lowering of the
foreign-currency bond country ceiling; (2) the company's
operating and financial performance, market position, and/or
liquidity profile deteriorate materially; and/or (3) the risk of
negative government intervention increases/materialises.

PRINCIPAL METHODOLOGIES

The methodologies used in this rating were Global Integrated Oil
& Gas Industry published in October 2016, and Government-Related
Issuers published in August 2017.

Headquartered in Moscow, Russia, Gazprom is one of the world's
largest integrated oil and gas companies. It is focused on the
exploration, production and refining of gas and oil, as well as
the transportation and distribution of gas to domestic, former
Soviet Union and European markets. Gazprom also owns and operates
the Unified Gas Supply System in Russia, and is the leading
exporter of pipeline gas to Western Europe.

As of December 31, 2016, Gazprom had proved total oil and gas
reserves of approximately 132.7 billion barrels of oil
equivalent, with proved gas reserves of approximately 18.6
trillion cubic meters, which are equivalent to more than one
sixth of the world's total. For the last twelve months ended June
30, 2017, Gazprom produced 456.4 billion cubic meters of natural
gas and 64.7 million tonnes of liquid hydrocarbons. For the same
period, Gazprom reported a revenue of RUB6.3 trillion and its
Moody's-adjusted EBITDA amounted to RUB1.7 trillion.


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


CAIRN CLO VIII: Moody's Assigns B2 Rating to Class F Notes
----------------------------------------------------------
Moody's Investors Service announced that it has assigned the
following definitive ratings to notes issued by Cairn CLO VIII
B.V.:

-- EUR214,400,000 Class A Senior Secured Floating Rate Notes due
    2030, Definitive Rating Assigned Aaa (sf)

-- EUR27,300,000 Class B-1 Senior Secured Floating Rate Notes
    due 2030, Definitive Rating Assigned Aa2 (sf)

-- EUR10,000,000 Class B-2 Senior Secured Fixed Rate Notes due
    2030, Definitive Rating Assigned Aa2 (sf)

-- EUR23,900,000 Class C Senior Secured Deferrable Floating Rate
    Notes due 2030, Definitive Rating Assigned A2 (sf)

-- EUR18,500,000 Class D Senior Secured Deferrable Floating Rate
    Notes due 2030, Definitive Rating Assigned Baa2 (sf)

-- EUR22,300,000 Class E Senior Secured Deferrable Floating Rate
    Notes due 2030, Definitive Rating Assigned Ba2 (sf)

-- EUR9,300,000 Class F Senior Secured Deferrable Floating Rate
    Notes due 2030, Definitive Rating Assigned B2 (sf)

RATINGS RATIONALE

Moody's definitive rating of the rated notes addresses the
expected loss posed to noteholders by the legal final maturity of
the notes in 2030. The definitive ratings reflect the risks due
to defaults on the underlying portfolio of loans given the
characteristics and eligibility criteria of the constituent
assets, the relevant portfolio tests and covenants as well as the
transaction's capital and legal structure. Furthermore, Moody's
is of the opinion that the collateral manager, Cairn Loan
Investments LLP ("Cairn Loan Investments"), has sufficient
experience and operational capacity and is capable of managing
this CLO.

Cairn CLO VIII B.V. is a managed cash flow CLO. At least 90% of
the portfolio must consist of senior secured loans and senior
secured bonds and up to 10% of the portfolio may consist of
unsecured obligations, second-lien loans, mezzanine loans and
high yield bonds. The portfolio is expected to be approximately
70% ramped up as of the closing date and to be comprised
predominantly of corporate loans to obligors domiciled in Western
Europe.

Cairn Loan Investments will manage the CLO. It will direct the
selection, acquisition and disposition of collateral on behalf of
the Issuer and may engage in trading activity, including
discretionary trading, during the transaction's four-year
reinvestment period. Thereafter, purchases are permitted using
principal proceeds from unscheduled principal payments and
proceeds from sales of credit risk and credit improved
obligations, and are subject to certain restrictions.

In addition to the seven classes of notes rated by Moody's, the
Issuer will issue EUR17.8m of subordinated M-1 notes and EUR17.7m
of subordinated M-2 notes, which will not be rated.

The transaction incorporates interest and par coverage tests
which, if triggered, divert interest and principal proceeds to
pay down the notes in order of seniority.

Factors that would lead to an upgrade or downgrade of the
ratings:

The rated notes' performance is subject to uncertainty. The
notes' performance is sensitive to the performance of the
underlying portfolio, which in turn depends on economic and
credit conditions that may change. Cairn Loan Investments'
investment decisions and management of the transaction will also
affect the notes' performance.

Loss and Cash Flow Analysis:

Moody's modeled the transaction using CDOEdge, a cash flow model
based on the Binomial Expansion Technique, as described in
Section 2.3 of the "Moody's Global Approach to Rating
Collateralized Loan Obligations" rating methodology published in
August 2017. The cash flow model evaluates all default scenarios
that are then weighted considering the probabilities of the
binomial distribution assumed for the portfolio default rate. In
each default scenario, the corresponding loss for each class of
notes is calculated given the incoming cash flows from the assets
and the outgoing payments to third parties and noteholders.
Therefore, the expected loss or EL for each tranche is the sum
product of (i) the probability of occurrence of each default
scenario and (ii) the loss derived from the cash flow model in
each default scenario for each tranche. As such, Moody's
encompasses the assessment of stressed scenarios.

Moody's used the following base-case modeling assumptions:

Par amount: EUR350,000,000

Diversity Score: 34

Weighted Average Rating Factor (WARF): 2800

Weighted Average Spread (WAS): 3.70%

Weighted Average Recovery Rate (WARR): 43.5%

Weighted Average Life (WAL): 8.5 years

Moody's has analysed the potential impact associated with
sovereign related risk of peripheral European countries. As part
of the base case, Moody's has addressed the potential exposure to
obligors domiciled in countries with local currency country risk
ceiling (LCC) of A1 or below. As per the portfolio constraints,
exposures to countries with a LCC between A1 and A3 cannot exceed
10%. In addition, the obligation is not an obligation of an
obligor or obligors domiciled in a country with a LLC of less
than A3. Given the portfolio concentration limit and eligibility
criteria, it is not possible to have exposures to countries with
a LCC below A3.

Stress Scenarios:

Together with the set of modeling assumptions above, Moody's
conducted additional sensitivity analysis, which was an important
component in determining the definitive rating assigned to the
rated notes. This sensitivity analysis includes increased default
probability relative to the base case. Below is a summary of the
impact of an increase in default probability (expressed in terms
of WARF level) on each of the rated notes (shown in terms of the
number of notch difference versus the current model output,
whereby a negative difference corresponds to higher expected
losses), holding all other factors equal:

Percentage Change in WARF: WARF + 15% (to 3220 from 2800)

Ratings Impact in Rating Notches:

Class A Senior Secured Floating Rate Notes: 0

Class B-1 Senior Secured Floating Rate Notes: -2

Class B-2 Senior Secured Fixed Rate Notes: -2

Class C Senior Secured Deferrable Floating Rate Notes:-2

Class D Senior Secured Deferrable Floating Rate Notes: -2

Class E Senior Secured Deferrable Floating Rate Notes:-1

Class F Senior Secured Deferrable Floating Rate Notes: 0

Percentage Change in WARF: WARF +30% (to 3640 from 2800)

Ratings Impact in Rating Notches:

Class A Senior Secured Floating Rate Notes: -1

Class B-1 Senior Secured Floating Rate Notes: -3

Class B-2 Senior Secured Fixed Rate Notes: -3

Class C Senior Secured Deferrable Floating Rate Notes:-4

Class D Senior Secured Deferrable Floating Rate Notes: -2

Class E Senior Secured Deferrable Floating Rate Notes: -1

Class F Senior Secured Deferrable Floating Rate Notes: -1

Further details regarding Moody's analysis of this transaction
may be found in the pre-sale report available on Moodys.com.

Methodology Underlying the Rating Action:

The principal methodology used in these ratings was "Moody's
Global Approach to Rating Collateralized Loan Obligations"
published in August 2017.


CANDIDE FINANCING: Fitch Hikes Rating on Cl. B Notes From BBsf
--------------------------------------------------------------
Fitch Ratings has upgraded Candide Financing 2011-1 B.V.'s class
B notes, affirmed the class A notes and removed both classes from
Rating Watch Evolving (RWE). The rating actions follow the
application of the newly published European RMBS Rating Criteria
and are:

Class A (XS0625067680) affirmed at 'AAAsf'; off RWE; Outlook
Stable
Class B (XS0625071526) upgraded to 'BBB-sf' from 'BBsf'; off RWE;
Outlook Stable

The Dutch RMBS transactions comprise loans originated by Bank of
Scotland, Amsterdam Branch, which is a 100%-owned subsidiary of
Lloyds Banking Group plc (A+/Stable/F1).

KEY RATING DRIVERS

Stable Asset Performance and Credit Enhancement (CE)
Over the 12 months prior to the last reporting date, late stage
arrears (loans with more than three monthly instalments overdue)
decreased to 18bps from 23bps. The CE available to the junior
notes has increased to 1.9% from 1.7%, and is sufficient to
absorb Fitch's 'BBB-sf' expected losses.

High Concentration of Interest Only (IO) Loans
Fitch identifies periods of elevated balloon risk where the
ratings would be particularly affected by high foreclosure
frequency (FF) among IO loans, as the result of an economic
downturn (and reduced refinance possibilities) coinciding with
such periods. In addition, IO loans maturing within a three-year
period make up more than 20% of the portfolio, Fitch assessed the
sensitivity of the ratings assuming a higher FF for these loans.
There was no rating impact, despite the 75% IO proportion in the
pool.

Performance Adjustment Factor (PAF)
As per Fitch's revised European RMBS Rating Criteria, the
comparison between actual and expected foreclosures led to a
lower PAF than previous reviews. Nevertheless, Fitch did not give
positive credit to performance as the pool has a high percentage
of high LTV IO loans, resulting in a higher back-loaded risk
profile.

RATING SENSITIVITIES

Deterioration in asset performance may result from economic
factors, in particular the effect of increasing unemployment. A
corresponding increase in new defaults and associated pressure on
excess spread levels and the reserve fund could result in
negative rating action.


TIKEHAU CLO III: Moody's Assigns B2 Rating to Class F Notes
-----------------------------------------------------------
Moody's Investors Service announced that it has assigned the
following definitive ratings to notes issued by Tikehau CLO III
B.V. (the "Issuer"):

-- EUR244,700,000 Class A Senior Secured Floating Rate Notes due
    2030, Definitive Rating Assigned Aaa (sf)

-- EUR57,700,000 Class B Senior Secured Floating Rate Notes due
    2030, Definitive Rating Assigned Aa2 (sf)

-- EUR28,600,000 Class C Senior Secured Deferrable Floating Rate
    Notes due 2030, Definitive Rating Assigned A2 (sf)

-- EUR19,700,000 Class D Senior Secured Deferrable Floating Rate
    Notes 2030, Definitive Rating Assigned Baa2 (sf)

-- EUR26,250,000 Class E Senior Secured Deferrable Floating Rate
    Notes due 2030, Definitive Rating Assigned Ba2 (sf)

-- EUR12,600,000 Class F Senior Secured Deferrable Floating Rate
    Notes due 2030, Definitive Rating Assigned B2 (sf)

RATINGS RATIONALE

Moody's definitive ratings of the rated notes addresses the
expected loss posed to noteholders by legal final maturity of the
notes in 2030. The definitive ratings reflect the risks due to
defaults on the underlying portfolio of loans given the
characteristics and eligibility criteria of the constituent
assets, the relevant portfolio tests and covenants as well as the
transaction's capital and legal structure. Furthermore, Moody's
is of the opinion that the collateral manager, Tikehau Capital
Europe Limited ("Tikehau"), has sufficient experience and
operational capacity and is capable of managing this CLO.

Tikehau CLO III B.V. is a managed cash flow CLO. At least 90% of
the portfolio must consist of senior secured obligations and up
to 10% of the portfolio may consist of senior unsecured
obligations, second-lien loans, mezzanine obligations and high
yield bonds. The portfolio is expected to be 70% ramped up as of
the closing date and to be comprised predominantly of corporate
loans to obligors domiciled in Western Europe. The remainder of
the portfolio will be acquired during the six month ramp-up
period in compliance with the portfolio guidelines.

Tikehau will manage the CLO. It will direct the selection,
acquisition and disposition of collateral on behalf of the Issuer
and may engage in trading activity, including discretionary
trading, during the transaction's four-year reinvestment period.
Thereafter, purchases are permitted using principal proceeds from
unscheduled principal payments and proceeds from sales of credit
risk obligations or credit improved obligations, and are subject
to certain restrictions.

In addition to the six classes of notes rated by Moody's, the
Issuer will issue EUR45,600,000 of subordinated notes which will
not be rated.

The transaction incorporates interest and par coverage tests
which, if triggered, divert interest and principal proceeds to
pay down the notes in order of seniority.

Factors that would lead to an upgrade or downgrade of the
ratings:

The rated notes' performance is subject to uncertainty. The
notes' performance is sensitive to the performance of the
underlying portfolio, which in turn depends on economic and
credit conditions that may change. Tikehau's investment decisions
and management of the transaction will also affect the notes'
performance.

Loss and Cash Flow Analysis:

Moody's modeled the transaction using CDOEdge, a cash flow model
based on the Binomial Expansion Technique, as described in
Section 2.3 of the "Moody's Global Approach to Rating
Collateralized Loan Obligations" rating methodology published in
August 2017. The cash flow model evaluates all default scenarios
that are then weighted considering the probabilities of the
binomial distribution assumed for the portfolio default rate. In
each default scenario, the corresponding loss for each class of
notes is calculated given the incoming cash flows from the assets
and the outgoing payments to third parties and noteholders.
Therefore, the expected loss or EL for each tranche is the sum
product of (i) the probability of occurrence of each default
scenario and (ii) the loss derived from the cash flow model in
each default scenario for each tranche.

Moody's used the following base-case modeling assumptions:

Par Amount: EUR420,000,000

Diversity Score: 38

Weighted Average Rating Factor (WARF): 2775

Weighted Average Spread (WAS): 3.60%

Weighted Average Coupon (WAC): 4.75%

Weighted Average Recovery Rate (WARR): 43.00%

Weighted Average Life (WAL): 8.5 years.

Stress Scenarios:

Together with the set of modelling assumptions above, Moody's
conducted an additional sensitivity analysis, which was an
important component in determining the definitive rating assigned
to the rated notes. This sensitivity analysis includes increased
default probability relative to the base case. Below is a summary
of the impact of an increase in default probability (expressed in
terms of WARF level) on each of the rated notes (shown in terms
of the number of notch difference versus the current model
output, whereby a negative difference corresponds to higher
expected losses), holding all other factors equal.

Percentage Change in WARF: WARF + 15% (to 3191 from 2775)

Ratings Impact in Rating Notches:

Class A Senior Secured Floating Rate Notes: 0

Class B Senior Secured Floating Rate Notes: -2

Class C Senior Secured Deferrable Floating Rate Notes: -2

Class D Senior Secured Deferrable Floating Rate Notes: -2

Class E Senior Secured Deferrable Floating Rate Notes: -1

Class F Senior Secured Deferrable Floating Rate Notes: 0

Percentage Change in WARF: WARF +30% (to 3608 from 2775)

Ratings Impact in Rating Notches:

Class A Senior Secured Floating Rate Notes: -1

Class B Senior Secured Floating Rate Notes: -3

Class C Senior Secured Deferrable Floating Rate Notes: -4

Class D Senior Secured Deferrable Floating Rate Notes: -2

Class E Senior Secured Deferrable Floating Rate Notes: -1

Class F Senior Secured Deferrable Floating Rate Notes: -1

Further details regarding Moody's analysis of this transaction
may be found in the upcoming pre-sale or new issue report,
available soon on Moodys.com.

Methodology Underlying the Rating Action:

The principal methodology used in these ratings was "Moody's
Global Approach to Rating Collateralized Loan Obligations"
published in August 2017.


TIKEHAU CLO: Fitch Assigns B-sf(EXP) Rating to Class F-R Notes
--------------------------------------------------------------
Fitch Ratings has assigned Tikehau CLO B.V.'s refinancing notes
expected ratings:

EUR161.0 million class A-1R notes: assigned 'AAAsf(EXP)'; Outlook
Stable
EUR39.0 million class B-R notes: assigned 'AA+sf(EXP)'; Outlook
Stable
EUR28.0 million class C-R notes: assigned 'Asf(EXP)'; Outlook
Stable
EUR16.0 million class D-R notes: assigned 'BBBsf(EXP)'; Outlook
Stable
EUR21.2 million class E-R notes: assigned 'BBsf(EXP)'; Outlook
Stable
EUR7.8 million class F-R notes: assigned 'B-sf(EXP)'; Outlook
Stable

The assignment of the final ratings is contingent on the receipt
of documents conforming to information already reviewed.

Tikehau CLO B.V. is a cash-flow collateralised loan obligation
securitising a portfolio of mainly European leveraged loans and
bonds. Net proceeds from the notes are being used to refinance
the current outstanding A-1, and B to D notes. The portfolio is
managed by Tikehau Capital Europe Limited.

KEY RATING DRIVERS

Moderate Portfolio Credit Quality: Fitch Ratings has determined
the average credit quality to be in the 'B' to 'B-' range. The
weighted average rating factor (WARF) of the identified portfolio
is 33.19.

High Expected Recoveries: At least 90% of the portfolio will
comprise senior secured obligations. Recovery prospects for these
assets are typically more favourable than for second-lien,
unsecured and mezzanine assets. The weighted average recovery
rating (WARR) of the identified portfolio is 64.15%.

Dynamic Obligor Concentration Limit: The transaction will allow
for the manager to choose between two matrices - one for a top 10
obligor limit at 20%, and another for top 10 at 26.5% and higher.
Additionally, the manager will be allowed to choose a point in
between and interpolate the WARRs from the two matrices to be
used for the WARR test.

Partial Interest Rate Hedge: During the first five years of the
transaction, interest rate risk is naturally hedged for most of
the portfolio, as fixed-rate liabilities and assets initially
represent 11.8% and up to 7.5% of target par, respectively. As
the fixed-paying class A-2 notes are senior in the structure and
switch to floating after 2.75 years, the notional amount of
fixed-rate liabilities will reduce one year after the
reinvestment period, limiting the benefit of the hedge.

Hedged Non-Euro Assets Exposure: The transaction is permitted to
invest up to 20% of the portfolio in non-euro assets, provided
perfect asset swaps can be entered into.

TRANSACTION SUMMARY

Tikehau CLO B.V. closed in July 2015. The transaction is still in
in its reinvestment period, which is set to expire in August
2019. The issuer is now issuing new notes to refinance part of
the original liabilities. The class A-1, B, C D, E and F notes
will be redeemed in full as a consequence of the refinancing.

The refinancing notes bear interest at a lower margin over
EURIBOR than the notes being refinanced.

In addition to the lower margin, the credit enhancement and OC
Test triggers for the class C-R, D-R, and E-R notes have been
changed, and the WAL covenant has been extended by 18 months to
7.1 years from the refinancing date and the Fitch matrix has been
updated. The remaining terms and conditions of the refinancing
notes (including seniority) are the same as the refinanced notes.

In its analysis, Fitch has applied a 15bp haircut to the weighted
average spread calculation. In this transaction, the aggregate
funded spread calculation for floating rate collateral debt
obligation with a Euribor floor is artificially inflated by the
negative portion of Euribor.

VARIATIONS FROM CRITERIA

The "Fitch Ratings Definitions" was amended so that assets that
are not rated by Fitch but rated privately by the other agency
rating the liabilities can be assumed to be of 'B-' credit
quality for up to 10% of the aggregated portfolio notional. This
is a variation from Fitch's criteria, which requires all assets
unrated by Fitch and without public ratings to be treated as
'CCC'. The change was motivated by Fitch's policy change of no
longer providing credit opinions for EMEA companies over a
certain size. Instead Fitch expects to provide private ratings
that would remove the need for the manager to treat assets under
this leg of the "Fitch Rating Definition".

The amendment has only a small impact on the ratings. Fitch has
modelled the transaction at the pricing point with 10% of the 'B-
' assets with a 'CCC' rating instead, which resulted in a two-
notch downgrade at the 'A' rating level and one-notch downgrade
at the 'BBB' rating level. All other notes were unaffected.

RATING SENSITIVITIES

A 25% increase in the obligor default probability would lead to a
downgrade of up to two notches for the rated notes. A 25%
reduction in expected recovery rates would lead to a downgrade of
up to two notches for the rated notes.


* NETHERLANDS: Corporate Bankruptcies Up in October 2017
--------------------------------------------------------
Statistics Netherlands reports that the number of corporate
bankruptcies in the Netherlands has increased in October 2017.

According to Statistics Netherlands, there were 20 more
bankruptcies in October than in September 2017.  Despite this
increase, the trend is still downward, Statistics Netherlands
notes.  Most bankruptcies in October were recorded in the trade
sector, Statistics Netherlands states.

If the number of court session days is not taken into account,
288 businesses and institutions (excluding one-man businesses)
were declared bankrupt in October 2017, Statistics Netherlands
discloses.  With a total of 56, the trade sector suffered most,
Statistics Netherlands relays.

In October, the number of bankruptcies was relatively highest in
the sector transport and storage, according to Statistics
Netherlands.



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


SVERDLOVSK REGION: Fitch Affirms BB+ Long-Term IDR
--------------------------------------------------
Fitch Ratings has affirmed Russian Sverdlovsk Region's Long-Term
Foreign- and Local-Currency Issuer Default Ratings (IDRs) at
'BB+' with Stable Outlooks and Short-Term Foreign-Currency IDR at
'B'. The region's outstanding senior unsecured domestic debt has
been affirmed at BB+.

KEY RATING DRIVERS

The ratings reflect Fitch's expectation that Sverdlovsk will
maintain a moderate debt level and sound operating performance
with an operating balance sufficient for interest payment
coverage. The ratings also factor in the region's developed
industrialised economy, albeit exposed to business cycle
volatility, and weak institutional framework for Russian sub-
nationals.

Fitch forecasts Sverdlovsk's operating balance will consolidate
at 8%-9% of operating revenue in 2017-2019 (2016: 8.4%),
supported by moderate expansion of the tax base on the back of
Russia's economic recovery. During 9M17 Sverdlovsk collected
76.5% of its revenue budgeted for the full year and incurred only
68.5% of its full-year budgeted expenditure, which resulted in an
interim budget surplus of almost RUB6.9 billion.

Fitch projects that seasonal acceleration of expenditure in 4Q17
will likely turn the positive interim result into a full-year
deficit of 2.8% of total revenue. This is close to 2016 actuals
(3.1%), but a significant improvement on the 2013-2015 average
annual deficit of 12.8%. Fitch expects a further narrowing of the
budget deficit before debt to 1%-2% in 2018-2019.

However, Fitch notes that the region's expenditure flexibility is
limited. The scope for capex reduction is almost exhausted, with
the share of capital outlays expected to drop below 10% of total
expenditure in the medium term (2016:12%), lagging its national
peers.

Following the interim surplus the region's direct risk has
reduced since the beginning of the year and accounted for RUB54.4
billion at 1 October 2017 (2016:RUB71 billion). Fitch forecasts
direct risk will increase by year-end driven by growing
expenditure and reach RUB76.8 billion or a moderate 38% of
current revenue (2016: 37.8%).

Like most of its national peers, Sverdlovsk remains exposed to
refinancing pressure with 68% of maturities due in 2017-2019. The
weighted average life of debt at three years as of 1 October 2017
is short compared with international peers and lower than the
region's projected direct risk payback (direct risk-to-current
balance) of 6 years for 2017-2019. In October 2017 the region
issued RUB10 billion domestic bond due in 2025, the proceeds of
which will be used to replace part of the medium-term bank loans.

The region has a developed industrial economy weighted towards
the metallurgical and machine-building sectors. Its wealth
metrics are above the median for Russian regions with GRP per
capita 25% above the median in 2015. However, the overall
concentration on a few sectors of the processing industry exposes
the region's revenue to economic cycles. According to the
regional government's estimate, GRP grew by 2.5% in 2016, in
contrast to the national economic decline of 0.2%. Fitch expects
moderate recovery of the national economy at 2.0%-2.2% per year
in 2017-2018 and Sverdlovsk's economy will likely follow this
trend.

The region's credit profile remains constrained by the weak
institutional framework for Russian local and regional
governments (LRGs), which has a shorter record of stable
development than many of its international peers. Weak
institutions lead to lower predictability of Russian LRGs'
budgetary policies, which are subject to the federal government's
continuous reallocation of revenue and expenditure
responsibilities within government tiers.

RATING SENSITIVITIES
A weak operating balance that was insufficient to cover interest
expenditure and continuous growth of direct risk toward 60% of
current revenue would lead to a downgrade.

A sound budgetary performance with operating balance at above 10%
of operating revenue, accompanied by improvement of direct risk
payback below weighted average life of debt could lead to an
upgrade.



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


FERROVIAL SA: Fitch Rates EUR500MM Perpetual Sub. Securities BB+
----------------------------------------------------------------
Fitch Ratings has assigned Spanish construction, services and
concessions operator Ferrovial SA's (BBB/Stable) EUR500 million
perpetual subordinated securities a final rating of 'BB+'. The
securities will be issued by Ferrovial Netherlands B.V. and
guaranteed on a subordinated basis by Ferrovial SA.

Fitch views the proposed hybrid securities as being deeply
subordinated, ranking senior only to Ferrovial's share capital,
while coupon payments can be deferred at the discretion of the
issuer. As a result of these features, the 'BB+' rating is two
notches below Ferrovial's Long-Term Issuer Default Rating (IDR),
which reflects the securities' increased loss severity and
heightened risk of non-performance relative to senior
obligations. This approach is in accordance with Fitch's
criteria, "Non-financial Corporates Hybrids Treatment and
Notching Criteria" dated 27 April 2017, available at
www.fitchratings.com.

The proposed securities qualify for 50% equity credit as they
meet Fitch's criteria with regard to subordination, effective
maturity of at least five years, full discretion to defer coupons
for at least five years and limited events of default, as well as
the absence of material covenants and look-back provisions.

The proposed securities will be issued in euros and have no
formal maturity date. The issuer has a call option to redeem the
notes on the first call date, which will be no earlier than five
years, and every interest payment date thereafter.

There will be a coupon step-up of 25bp in 5.5 years and an
additional step-up of 75bp after 20 years. According to Fitch's
criteria, the first call date and the coupon step-up date are not
treated as effective maturity dates due to the cumulative amount
of the step-ups being lower or equal to 1% throughout the life of
the instruments.

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

Following the issue of the securities, Fitch expects both
Ferrovial's net cash position and the net leverage to improve.
The gross debt quantum is set to increase only by 50% of the size
of the hybrid. Consequently, Fitch-adjusted funds from operations
(FFO) gross leverage for Ferrovial is expected to slightly
increase at end-2017 compared with Fitch previous forecast.
However, Fitch expects Ferrovial to repay its EUR500 million bond
maturing in 2018 with available cash, reducing its gross debt
quantum and improving its gross debt ratios.

KEY RATING DRIVERS

Leverage Ratios Peaked: The acquisition of Broadspectrum in 2016
and the issuance of two bonds totalling EUR1 billion since
September 2016 increased gross debt, reversing a Fitch-adjusted
net cash position to net indebtedness. Ferrovial, however,
expects to repay EUR500 million of debt maturing in 2018, which,
in the absence of any large M&A transactions, will decrease Fitch
FFO adjusted gross leverage to under Fitch negative guidance
within the next two years.

Mixed Operating Environment: Margins in the construction and
services divisions are under pressure. Construction margins have
been shrinking owing to a number of projects being in preliminary
stages, fewer high-margin toll-road concession contracts, as well
as a limited number of loss-making projects in Colombia and the
UK. At the same time, cuts in public-sector expenditure and
uncertainty in the UK are affecting the overall profitability of
the services business. Fitch expects the challenging market
conditions to continue through the second half of the year and
potentially beyond.

Toll-road and airport operations remain healthy. Ferrovial's two
main assets - ETR 407 and Heathrow - continue to deliver
predictable, stable cash flows and to outperform expectations.

Working-Capital Management: Ferrovial effectively manages working
capital, particularly compared with its domestic engineering and
construction (E&C) peers. Recourse working capital (excluding
concessions) has remained below EUR1 billion for several years
and fell below EUR700 million in 2016. Fitch expects recourse
working capital to remain steady with no substantial increases
over the next three years.

Further M&A Detrimental: Although beneficial for the group's
business profile, additional large investments or large equity
injections into concessions at a time when Ferrovial's leverage
exceeds Fitch negative sensitivities would put pressure on the
company's ratings. Ferrovial, however, does not forecast any
substantial new investments over the next three years and is
planning to fund its I66 road project in the US mostly with
equity investments.

DERIVATION SUMMARY

Ferrovial is among the top Fitch-rated E&C companies. Solid
construction and services operations paired with significant
geographic diversification are key elements to the company's
investment-grade ratings - among the few in the industry. Similar
to Vinci S.A.(A-/Stable), contribution from solid, mature infra-
assets is a credit strength for Ferrovial. Financial discipline
and conservative balance-sheet management have prevented the
company from falling into speculative-grade territory.

KEY ASSUMPTIONS

Fitch's key assumptions within Fitch rating case for the issuer
include:
- Decline in construction margins in 2017, before partially
   recovering in 2018;
- Stable and recurring dividends inflow from toll roads and
   airports;
- Annual dividends outflow similar to previous years; and
- No further large acquisitions.

RATING SENSITIVITIES

Future Developments That May, Individually or Collectively, Lead
to Positive Rating Action
- Increase in diversification and quality of dividend streams;
- Positive free cash flow on a sustained basis; and
- Fitch FFO adjusted gross leverage below 1.5x (end-2016: 3.3x)
   on a sustained basis.

Future Developments That May, Individually or Collectively, Lead
to Negative Rating Action
- Significant decrease in order backlog or loss of cash flow
   visibility;
- Evidence that the recourse group is providing material
   financial support or guarantees to under-performing non-
   recourse projects;
- Fitch FFO adjusted gross leverage above 3.0x on a sustained
   basis; and
- Material debt-funded M&A.

LIQUIDITY

Ample Liquidity: Ferrovial has a strong liquidity profile,
comprising EUR3.5 billion of reported cash and EUR1.3 billion of
undrawn committed lines at end-June 2017. This more than covers
recourse debt maturing over the next 12 months of EUR509 million.
Fitch restricts EUR1 billion of cash, including cash held at
local subsidiaries or required to cover potentially adverse
working-capital.


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


VERISURE MIDHOLDING: Moody's Lowers Corporate Family Rating to B2
-----------------------------------------------------------------
Moody's Investors Service has downgraded the corporate family
rating (CFR) of Verisure Midholding AB (Verisure), a monitored
alarm company incorporated in Sweden, to B2 from B1 and
probability of default rating (PDR) to B2-PD from B1-PD.

The rating action is driven by a significant increase in
financial leverage ratios post proposed dividend recapitalization
(all based on Moody's adjusted metrics, net of capitalized
arrangement fees):

- Gross debt to EBITDA ratio to 7.5x proforma for transaction
   from 5.4x LTM September 2017

- steady-state basis (excluding costs of growing the subscriber
   base but including costs of replacing customer contract
   cancellations) to 6.1x from 4.4x

- debt-to-recurring-monthly revenue (RMR) to 42x from 30x

- on last quarter annualized basis to 7.0x from 5.0x

Concurrently, Moody's has downgraded to B1 from Ba3 the ratings
of the EUR1,690 million senior secured term loan maturing in 2022
(to be increased to EUR2,380 million at closing of the
transaction), the EUR300 million senior secured revolving credit
facility maturing in 2021 and the EUR630 million senior secured
notes due 2022, all issued by Verisure Holding AB.

Moody's has also assigned a Caa1 rating to the EUR1,145 million
senior unsecured notes due 2023 to be issued by Verisure
Midholding AB.

Other ratings of Verisure remain unchanged, namely Verisure
Midholding AB's existing EUR400 million and SEK2.8 billion
private unsecured notes due 2023 at B3. The ratings will be
withdrawn upon their repayment in full at the transaction
closing.

The outlook on all ratings is stable.

The rating action follows Verisure's announcement of a consent
request issued to its debt holders to raise new debt facilities,
the proceeds of which will be used to (i) pay a distribution to
shareholders to the total of EUR1,042 million, (ii) repay the
private unsecured notes in full; (iii) repay a drawing under its
revolving credit facility (RCF), (iv) pay transaction expenses
and notes redemption cost, and (v) add cash on the balance sheet
for the remaining amount.

RATINGS RATIONALE

The downgrade reflects an increase in the company's leverage to
the level incompatible with its B1 rating. Despite EBITDA growth
expectations Moody's does not expect Verisure's leverage to
return to the levels associated with B1 rating in the near-term.

The B2 CFR reflects Verisure's (i) high debt/recurring monthly
revenue (RMR) on a Moody's adjusted basis of 42x at September
2017, pro forma for the transaction; (ii) free cash flow after
new subscriber cost remaining negative for at least the next 12
months as a result of significant investment to capture new
subscribers; (iii) high, although improving, geographic
concentration of revenue in Spain (around one-third of revenues);
and (iv) the potential long term threat from new entrants and
existing players. Finally, the rating is negatively impacted by
continued additional debt raising exercises to pay dividend and
support customer acquisition growth.

The CFR also positively reflects the group's (i) leading position
in the European residential home and small business monitored
alarms (RHSB) market, which remains underpenetrated compared to
the US offering continued high growth potential; (ii) stable and
resilient business model, with low cancellation rates at 6.4% as
of September 2017; (iii) solid track record of continuous growth
in average revenue per user (ARPU) and positive deleveraging
prospects; (iv) Moody's expectation of a gradual cash flow
improvement supported by maturing customer portfolio growth, low
churn rate and at least stable or improving payback period.

Verisure continued to report strong results in the nine months to
September 2017, with revenue and adjusted EBITDA up by 19% and
25% respectively, compared to the same period last year. This was
mainly underpinned by robust growth in the subscriber base
reaching 2.5 million in September 2017, improved cancellation
rates to 6.4% and an increase in upfront fees and in average
revenue per user (ARPU). The growth trend is expected to continue
in the next 12-18 months as the European market remains
underpenetrated particularly when compared to the US. The company
also continues to implement a large cost saving initiative which
is expected to further improve its margins over the next two
years.

Moody's considers the company's liquidity position to be good
with a cash balance estimated to be at around EUR31 million pro
forma for the transaction and a EUR300 million RCF expected to be
undrawn at closing. Despite Moody's expectation of limited free
cash flow generation in the medium term, on a steady-state basis
Moody's expects some significant improvement supported by its low
churn rate and cost saving measures. In addition the company is
expected to maintain a good headroom under its single portfolio
net leverage springing covenant, only applicable when the RCF is
drawn above a certain threshold and re-set to 7.1x as part of the
debt holders consent request.

Using Moody's Loss Given Default (LGD) methodology with a 50%
recovery rate, as is typical for transactions with both loan and
bond structure, the RCF due 2021, term loan B due 2022 and senior
secured notes due 2022 are rated B1, one notch above the CFR at
B2, whilst the new senior notes due 2023 are rated Caa1, two
notches below the CFR, reflecting the junior position of the
notes behind a significant amount of secured debt.

Rating Outlook

The stable outlook reflects Moody's expectation of sustained
deleveraging through EBITDA growth whilst cancellation rates and
customer acquisition costs remain stable. Moody's expects the
subscriber base to grow leading to improved cash flow on a
steady-state basis before growth in new subscribers. Moody's also
anticipates no further material debt-financed dividends.

What Could Change the Rating - Up

Positive rating pressure could develop if Verisure reduces its
debt / RMR below 35x and increases free cash flow (before growth
spending) to debt to 10%, with free cash flow (after growth
spending) becoming positive. It also assumes at least stable
cancellation rate and customer acquisition costs and limited
requirements for additional debt financing and dividend payments.

What Could Change the Rating - Down

Downward rating pressure could develop if the company's debt /
RMR increases above its current 42x level, steady-state
generation trends towards zero, or if liquidity concerns arise.

The principal methodology used in these ratings was Business and
Consumer Service Industry published in October 2016.

Corporate Profile

Incorporated in Malmo, Sweden, Verisure Midholding AB
("Verisure"), is a leading provider of monitored alarm solutions
operating under the Securitas Direct and Verisure brand names. It
designs, sells and installs alarms and provides ongoing
monitoring services to residential and small sized businesses
across 14 countries in Europe and Latin America. The customer
base consists of approximately 2.5 million subscribers. The
company has over 11,000 employees and for the last twelve months
ended 30 September 2017, it reported revenues of approximately
EUR1.4 billion. After a 9% stake in the company was acquired by
the Government of Singapore ("GIC") during Q3 2017 the company
remains controlled by Hellman & Friedman (85% equity) with a 6%
stake owned by the management.


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


BURNTISLAND FABRICATORS: Cash Flow Woes May Prompt Administration
-----------------------------------------------------------------
Chris McCall at The Scotsman reports that Burntisland
Fabricators, known as BiFab, is on the verge of appointing
administrators due to a cash flow problem.

The company, which employs 600 staff across its three yards, has
had cash flow problems, and has filed court papers with an
intention to go into administration, The Scotsman relays, citing
BBC.

It is understood that discussions have been held with the
Scottish Government's economic development agency, The Scotsman
notes.

Burntisland Fabricators is headquartered in the Fife port town
and operates two further yards in Methil and in Stornoway.  It
builds large-scale equipment for the offshore oil and gas
industry but has increasingly moved into the renewables sector in
recent years.


MISSOURI TOPCO: Moody's Hikes CFR to B3, Outlook Stable
-------------------------------------------------------
Moody's Investors Service has upgraded the corporate family
rating (CFR) of UK value apparel retailer Missouri TopCo Limited
(Matalan) to B3 from Caa1.

"Our decision to upgrade Matalan's ratings reflects Moody's view
that the recovery in financial performance and consequent
improvement in credit metrics will enable the company to
successfully refinance its debt in the coming months," says David
Beadle, a Moody's Vice President - Senior Credit Officer and lead
analyst for Matalan. "In the context of a highly competitive
market, where peers have cited weak consumer demand amid FX-
driven cost pressures, Matalan's return to sales growth and
recovery in profitability has been notable", he added.

Concurrently the rating agency has upgraded Matalan's probability
of default rating (PDR) to B3-PD, from Caa1-PD. Moody's has also
upgraded the ratings of the GBP342 million first lien senior
secured notes due in June 2019 issued by Matalan Finance plc to
B2 from B3 and the rating of the c. GBP138 million outstanding
second lien senior secured notes due in June 2020 and also issued
by Matalan Finance plc to Caa2 from Caa3.

The outlook on all ratings is stable.

RATINGS RATIONALE

Matalan's B3 CFR reflects (1) the company's position as one of
the leading value clothing retailers in the UK, with a
diversified product range and sizeable active customer base; (2)
improvements in execution over the last 18 months, which has
supported a recovery in profitability; (3) moderately positive
free cash flows; (4) deleveraging to a level that would support a
successful refinancing in the coming months; and (5) ongoing
commercial and strategic initiatives designed to support ongoing
improvements in sales growth and profitability.

However, the company's CFR remains constrained by (1) still
incomplete recovery in profitability after a significant fall in
2015; (2) limited geographic scope and small scale compared with
some rated peers; and (3) a highly competitive operating
environment which makes consistent execution extremely important.

Moody's previously stated that if Matalan was unable to return to
the levels of profitability recorded before 2015 the
sustainability of its capital structure would be questionable.
However, over the past year or more Matalan's execution has been
strong as a variety of initiatives have in combination enabled
the company to report improved results. The rating agency
believes that Matalan is now on track to record the pre-2015
levels of profitability. Initiatives include improved marketing,
strong focus on and growth in online and homewares sales, and
commencement of a multi-year store refresh programme.
Furthermore, the benefits of more efficient stock replenishment
systems are now coming through to support better store-by-store
stock levels and lower discounting.

As such, Moody's-adjusted gross leverage has improved
significantly, to 6.1x currently versus 7.8x as at the end of its
fiscal year to 27 February 2016 (FY15/16), and adjusted EBIT to
Interest cover has improved to 1.3x versus 0.8x in FY15/16.
Moody's expects Matalan to record continued growth in
profitability in the second half of FY17/18 leading to modest
further improvement in credit metrics. However, the rating agency
cautions that despite ongoing momentum in online sales and from
the store refresh programme, Matalan's ability to achieve further
earnings growth into FY18/19 and beyond will be challenging in
light of continued FX cost headwinds.

The company's first debt maturities are currently just over
eighteen months away, with both the GBP342 million first lien
senior secured notes and GBP50 million RCF due in June 2019.
Moody's notes positively that the secondary prices of the first
lien notes and the second lien notes due to mature in June 2020
are currently above par. In the circumstances, and in the light
of the relatively strong performance over recent times, the
rating agency expects the company to undertake a successful
refinancing in the coming months.

In the meantime, the company has an adequate liquidity position.
As of August 26, 2017, the company had a GBP104 million cash
balance leaving it well positioned ahead of the typical low point
in the annual cash flow cycle towards the end of Q3. The level of
profitability Moody's forecasts in fiscal 2017/18 should prove
sufficient to cover interest, tax and capex expenses.

STRUCTURAL CONSIDERATIONS

The issuing entity under Matalan's bonds is Matalan Finance plc,
which directly owns Matalan Limited, the parent company of the
principal operating subsidiary (Matalan Retail Limited),
representing more than 95% of consolidated EBITDA and assets.

Matalan Finance plc is also a borrower under the RCF, which ranks
ahead of the other senior debt instruments in the company's debt
structure. Both the RCF and the first lien senior secured notes
are guaranteed by the holding company and certain material
subsidiary guarantors, which, collectively, represent 98% of the
assets, and are secured on a first-ranking basis by fixed and
floating charges on substantially all of the assets and property
of the issuer and guarantors. The second lien senior notes are
contractually subordinated to the first lien senior-secured debt
instruments.

RATIONALE FOR THE STABLE OUTLOOK

The stable outlook reflects Moody's view that Matalan will make
be able to complete a refinancing in the coming months to extend
its debt maturities. The rating agency expects the company to
make further progress in recovering profitability during the
second half of its fiscal 2017/18 and to sustain at least stable
profitability during fiscal 2018/19.

WHAT COULD CHANGE THE RATING UP/DOWN

Upward pressure is unlikely in the short term given Moody's
expectations of only moderate deleveraging prospects for now.
However, positive rating pressure could arise in the event of a
further sustained improvement in Matalan's key financial metrics,
including like-for-like sales growth, and further recovery in
margins, leading to Moody's-adjusted leverage of sustainably less
than 5.5x. Continued positive free cash flow generation would
also be a pre-requisite for upward rating pressure.

Downward pressure on the rating could arise if Matalan's recent
trend of improving profitability were to reverse; or the company
experienced a sustained period of negative free cash flow; or
there was any negative pressure on liquidity, including concerns
about the company's ability to successfully refinance in the
first half of 2018.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Retail
Industry published in October 2015.

COMPANY PROFILE

Headquartered in Liverpool, UK, Matalan is one of the leading
value clothing retailers in the UK, with total annual revenues of
around GBP1.0 billion and reported EBITDA of GBP90 million in the
twelve months to August 26, 2017. The company operates through
227 stores across the UK, primarily in out-of-town retail parks,
as well as online and through franchise stores in the Middle
East.

Matalan was a public company from 1998 until 2006, when it was
withdrawn from the stock exchange by its founder, John
Hargreaves, who remains, with his family, the company's principal
shareholder.


VOYAGE BIDCO: Fitch Plans to Withdraw B- Long-Term IDR
------------------------------------------------------
Fitch Ratings plans to withdraw the ratings on Voyage Bidco Ltd.
(Voyage) and Voyage Care Bondco PLC within the next 30 days for
commercial reasons.

Fitch currently rates Voyage as follows:

Voyage Bidco Ltd:
Long-Term Issuer Default Rating at 'B-'/Stable Outlook

Voyage Care Bondco PLC
Super senior RCF rating at 'BB-'/'RR1'
Senior secured notes rating at 'BB-'/'RR1'
Second lien notes at 'B-'/'RR4'

Fitch reserves the right in its sole discretion to withdraw or
maintain any rating at any time for any reason it deems
sufficient. Fitch believes that investors benefit from increased
rating coverage by the agency and is providing approximately 30
days' notice to the market of the rating withdrawal of Voyage and
any related entities. Ratings are subject to analytical review
and may change up to the time Fitch withdraws the ratings.

Fitch's last rating action on Voyage was on 24 May 2017 when the
rating was affirmed at 'B-'/Stable. Subsequently the ratings were
reviewed on 20 October 2017 with no action taken.


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


* Non-Preferred Senior Will Aid EU Bank Resolution, Fitch Says
--------------------------------------------------------------
The EU's recent agreement to introduce a new debt class, non-
preferred senior, is an important step towards clarity on how
troubled EU banks will be resolved, Fitch Ratings says. Non-
preferred senior debt will help shield preferred senior
obligations from default in a resolution. Fitch expect it to
become a material component of banks' minimum requirement for own
funds and eligible liabilities (MREL), which will reduce the need
to use state resources to protect financial stability. EU member
states will have to implement the new debt class into their
national legislation by January 2019. Notably, France has already
done this and Italy has started the process.

Once banks have built up sufficient subordinated and non-
preferred senior liabilities to meet MREL, or the similar total
loss-absorbing capacity (TLAC) requirements for global
systemically important banks, bail-in under resolution should be
easier to apply without threatening financial stability. It is
likely to be more palatable for authorities to bail in non-
preferred senior debt, assuming it is not widely distributed to
retail investors. Contagion risk is likely to be limited given
that the purpose of the new instrument is to act as a buffer for
other senior creditors in resolution or insolvency, particularly
uninsured deposits and senior operating liabilities.

Alignment of creditor hierarchies across member states will
reduce the risk of legal challenges, particularly for resolution
of cross-border banking groups. The treatment of troubled banks
in Spain and Italy this year raised questions about the
consistent application of EU rules and approaches to failing and
failed banks.

Senior creditors of Spain's Banco Popular were spared losses when
the bank was sold to Banco Santander under the resolution
process, following an extreme liquidity crunch, with losses borne
by shareholders and junior bondholders being sufficient to meet
its estimated equity shortfall.

Italy's Banca Popolare di Vicenza and Veneto Banca were able to
issue state-guaranteed bonds to support liquidity; their failure
related to solvency. Shareholders and junior bondholders bore
losses but state funds were used in the national insolvency
process applied to these banks and senior creditors were spared.

State aid in conjunction with avoidance of losses by senior
creditors may appear to go against the EU's principle that a high
degree of losses should be imposed on creditors before state
funds are used. Italy justified the state aid on the grounds that
regional contagion risk that could have arisen from a disorderly
wind-up would be mitigated by enabling another bank, Intesa
Sanpaolo, to purchase parts of the two banks' activities. The
Italian authorities were particularly reluctant for senior debt
to be bailed in, as many retail investors in Italy hold senior
debt, and losses for them could hit financial stability. Senior
bondholders would have been vulnerable to losses if the banks had
been put into resolution, given their thin junior debt buffers.

The Banco Popular resolution and the use of sovereign funds to
prevent senior debt default at the Italian banks do not change
Fitch view that extraordinary support for senior creditors of the
vast majority of EU commercial banks, while possible, cannot be
relied upon. EU bail-in rules, liquidation risk and the phase-in
of non-preferred senior debt -- a reference liability for Fitch
Issuer Default Ratings (IDRs) -- mean a high likelihood of some
form of default at the IDR level when a bank fails.

The agreement to create the new debt class was reached by the
European Parliament, European Council and European Commission on
October 25. It will be subject to a plenary vote in the European
Parliament this month.



                            *********

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.
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 Joseph Cardillo at
856-381-8268.


                 * * * End of Transmission * * *