/raid1/www/Hosts/bankrupt/TCREUR_Public/090708.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
Wednesday, July 8, 2009, Vol. 10, No. 133
Headlines
A U S T R I A
AUSTRIAN AIRLINES: To Cut 1,000 Jobs in Restructuring Drive
LEITZ-AUSTRIA: Seeks Administration With EUR19MM in Unsec. Debts
NAGY GABOR: Claims Filing Deadline is July 13
JOHANNIK DENTAL: Creditors Must File Claims by July 13
SCHELLENBERGER EDUARD: Creditors Must File Claims by July 15
WITTIG UND OEZDAR: Claims Filing Deadline is July 15
WV - PERSONAL SCHENK: Claims Filing Deadline is July 15
B E L G I U M
DE ROUCK: Nivelles Court Grants Six-Month Creditor Protection
F R A N C E
BPCE SA: Fitch Assigns 'BB+' Rating on Subordinated Notes
NATIXIS: Moody's Cuts Bank Financial Strength Rating to 'D'
G E R M A N Y
ARCANDOR AG: Attracts Potential Buyers; Mulls Restructuring
ESCADA AG: CEO Optimistic on Investors' Support of Rescue Plan
LEAR CORP: Case Summary & 50 Largest Unsecured Creditors
TREVIRA GROUP: Gets 11 Expressions of Interest, Administrator Says
G R E E C E
ARIES MARITIME: PwC Raises Going Concern Doubt
TOP SHIPS: Deloitte Hadjipavlou Raises Going Concern Doubt
H U N G A R Y
* HUNGARY: Liquidations Rose 30% in First Half of 2009, Opten Says
I R E L A N D
DEKANIA EUROPE: Fitch Cuts Ratings on Class C and D Notes to 'B'
INDEPENDENT NEWS: Deloitte to Serve as Administrator if Talks Fail
SCIENS CFO I: Moody's Confirms Junk Ratings on 3 Classes of Notes
* IRELAND: Corporate Failures Up 135% in 2009 First Half, FGS Says
K A Z A K H S T A N
ALAKON JSC: Creditors Must File Claims by July 17
CITY KZ: Creditors Must File Claims by July 17
ENERGO DETAIL: Creditors Must File Claims by July 17
UK STROY: Creditors Must File Claims by July 17
VOSTOK TSEM: Creditors Must File Claims by July 17
K Y R G Y Z S T A N
DDD TRADE: Creditors Must File Claims by July 24
L U X E M B O U R G
BREEZE FINANCE: Moody's Reviews 'Ba1'-Rated Class B Notes
N E T H E R L A N D S
HYDE PARK: Moody's Junks Rating on Class E Notes From 'B3'
SOUND I: Moody's Lowers Rating on Class D Notes to 'Ba1'
P O L A N D
ZLOMREX SA: Moody's Puts 'Caa3/LD' Probability of Default Rating
R U S S I A
KRASAIR: Declared Bankrupt by East Siberian Court
NATIONAL MORTGAGE: Moody's Assigns 'Ba1' Rating on Class B Notes
S W I T Z E R L A N D
CLARIANT AG: Moody's Assigns 'Ba1' Rating on Senior Unsec. Notes
U K R A I N E
BUSINESS-MASTER SERVICE: Creditors Must File Claims by July 11
INSTALLATION BUILDING: Bankruptcy Supervision Procedure Opened
OBOLON COMMON: Creditors Must File Claims by July 11
PANAKEYA LLC: Creditors Must File Claims by July 11
SHEVCHENKO AGRICULTURAL: Creditors Must File Claims by July 11
U N I T E D K I N G D O M
ANTARCTICA CFO: Moody's Affirms Junk Ratings on 4 Classes of Notes
BRITISH AIRWAYS: Workers Turn Down Cost-Cutting Proposals
CATTLES PLC: Fails to Pay Interest Payment on GBP400-Mil. Bond
CENTURY LITHO: Goes Into Administration; 60 Jobs Affected
CHARISMA COLOUR: Liquidator to Be Appointed on July 14
DEVELOPERS WATCHWORD: Goes Into Administration
EPIC PLC: Moody's Downgrades Ratings on Class A Notes to 'Ba3'
JJB SPORTS: Mulls GBP50 Mln Capital Raising
KAUPTHING SINGER: Action Group Wants PwC Removed as Liquidator
MG ROVER: Mandelson Calls in SFO to Probe Into Collapse
NORTHERN ROCK: To Be Sold to Smaller Player in Mortage Market
SEA SCOT: Bought Out of Liquidation by Marescot
THA GROUP: In Administration; KPMG Appointed
WEST BROMWICH: PIBS Holders Mull Legal Action Over Coupon Payment
WHISTLEJACKET CAPITAL: Moody's Withdraws C Rating on Senior Debt
WHITE TOWER: Halabi Cos Fail to Remedy Default on GBP1.15BB Bonds
*********
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A U S T R I A
=============
AUSTRIAN AIRLINES: To Cut 1,000 Jobs in Restructuring Drive
-----------------------------------------------------------
AFP reports that Austrian Airlines AG plans to cut 1,000 jobs as
part of restructuring efforts following record losses in 2008.
AFP relates the airline, which currently has around 8,000
employees, said "some 1,000 posts to be cut by mid-2010."
According to AFP, the airline, which has debts of EUR225 million
(US$315 million), posted a net loss of EUR429.5 million last year
-- a record slump.
Lufthansa Takeover
AFP discloses the European Commission said it would open an in-
depth investigation into the Lufthansa's takeover of the airline
because of fears over anti-trust issues. Competition Commissioner
Neelie Kroes, as cited by AFP, said the deal could lead to higher
ticket prices for passengers and fewer flights on some routes.
As reported in the Troubled Company Reporter-Europe on Feb. 9,
2009, Reuters said Austrian state holding company and key
Austrian Airlines shareholder OeIAG warned the Austrian flag
carrier could go insolvent if a planned takeover by Germany's
Lufthansa falls through.
Austrian Airlines AG -- http://www.austrianairlines.co.at/deu/--
is an Austria-based holding company of Austrian Airlines Group,
operating in the air transportation sector. The Group is
comprised of Austrian Airlines, an operator of scheduled passenger
flights; Lauda Air, which is engaged in the charter flight sector,
and Tyrolean Airways, which operates as a short-haul carrier under
the consumer brand Austrian arrows. The Company divides its
activities into three segments: scheduled services, charter and
complementary services. The scheduled flights of the Group
operate under the brands of Austrian and Austrian arrows, while
charter flights are handled under the Lauda Air brand. The
Company has six affiliated companies and six wholly owned
subsidiaries, including Lauda Air Luftfahrt GmbH, Austrian
Airlines Lease & Finance Company Ltd., AUA Beteiligungen GmbH,
Austrian Airlines Technik Marketing GmbH, Austrian Airlines
Technik Bratislava sro and Tyrolean Airways TirolerLuftfahrt GmbH.
LEITZ-AUSTRIA: Seeks Administration With EUR19MM in Unsec. Debts
----------------------------------------------------------------
Mobiles News reports that Leitz-Austria, the parent and European
distribution partner of Nascent handset brand Hyundai Mobile, has
sought administration before the commercial court of Vienna.
According to the report, the commercial court of Vienna said
Leitz-Austria has assets of EUR2.7 million and unsecured
liabilities of EUR19.07 million, which includes debt of EUR17.4
million. The company has 130 creditors and 44 staff, the report
discloses.
NAGY GABOR: Claims Filing Deadline is July 13
---------------------------------------------
Creditors of Nagy Gabor have until July 13, 2009, to file their
proofs of claim.
A court hearing for examination of the claims has been scheduled
for July 23, 2009 at 9:00 a.m .
For further information, contact the company's administrator:
Mag. Christina Maria Juritsch
Hochweg 24
2500 Siegenfeld
Austria
Tel: 02252/433 38
Fax: 02252/4333815
E-mail: juritsch@lexacta.com
JOHANNIK DENTAL: Creditors Must File Claims by July 13
------------------------------------------------------
Creditors of Johannik Dental GmbH have until July 13, 2009, to
file their proofs of claim.
A court hearing for examination of the claims has been scheduled
for July 27, 2009, at 10:00 a.m.
For further information, contact the company's administrator:
Dr. Werner Stanek
Wollzeile 33/20
1010 Wien
Austria
Tel: 512 29 02
Fax: 512 29 02 30
E-mail: werner-stanek@chello.at
SCHELLENBERGER EDUARD: Creditors Must File Claims by July 15
------------------------------------------------------------
Creditors of Schellenberger Eduard have until July 15, 2009, to
file their proofs of claim.
A court hearing for examination of the claims has been scheduled
for July 29, 2009 at 10:00 a.m.
For further information, contact the company's administrator:
Dr. Richard Proksch
Am Heumarkt 9/1/11
1030 Wien
Austria
Tel: 713 46 51
Fax: 713 84 35
E-mail: proksch@eurojus.at
WITTIG UND OEZDAR: Claims Filing Deadline is July 15
----------------------------------------------------
Creditors of Wittig und Oezdar OEG have until July 15, 2009, to
file their proofs of claim.
A court hearing for examination of the claims has been scheduled
for July 29, 2009 at 9:00 a.m.
For further information, contact the company's administrator:
Mag. Emanuel Dolezal
Elisabethstr. 2
2340 Moedling
Austria
Tel: 02236/42210
Fax: 02236742210-25
E-mail: emanuel.dolezal@bkb-partner.at
WV - PERSONAL SCHENK: Claims Filing Deadline is July 15
-------------------------------------------------------
Creditors of WV - Personal Schenk KG have until July 15, 2009, to
file their proofs of claim.
A court hearing for examination of the claims has been scheduled
for July 29, 2009 at 1:30 p.m.
For further information, contact the company's administrator:
Dr. Gerhard Roessler
Hamerlingstrasse 1
3910 Zwettl
Austria
Tel: 02822/52208
Fax: 02822/52208-20
E-mail: office@anwalt-zwettl.at
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B E L G I U M
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DE ROUCK: Nivelles Court Grants Six-Month Creditor Protection
-------------------------------------------------------------
John Martens at Bloomberg News reports that De Rouck Geomatics SA
obtained creditor protection for six months from the commercial
court in Nivelles, allowing the company to reorganize itself.
Bloomberg News relates the company said it plans invite creditors
for a meeting to reach a collective agreement.
De Rouck Geomatics SA -- http://www.derouckgeomatics.be-- is a
Belgium-based cartography company that creates maps of Belgium in
different formats, such as guides, maps, atlas, compact disc read
only memory (CD-ROM) or databases. Its range of products includes
Mapscope, StreetFinder, GeoTwig and VIP Security. The Mapscope
product allows users to see their location on a color-coded map of
Belgium. It also markets the software StreetFinder, which is a
tool that helps structuring databases of addresses. The Company's
products are intended to both professionals and private users.
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F R A N C E
===========
BPCE SA: Fitch Assigns 'BB+' Rating on Subordinated Notes
---------------------------------------------------------
Fitch Ratings has assigned BPCE's four planned issues of deeply
subordinated notes an expected 'BB+' rating. This rating is on
Rating Watch Negative.
These instruments will be issued in exchange of existing Tier 1
securities of Natixis, NBP Capital Trust I and NBP Capital Trust
III. The amount to be issued is subject to the delivery of
existing Tier 1 securities of Natixis, NBP Capital Trust I and NBP
Capital Trust III by holders of these securities. The proceeds of
this issue will constitute Tier 1 capital for BPCE.
BPCE will be the central body of Groupe BPCE to be created on
July 31, 2009 from the merger of Groupe Caisse d'Epargne and
Groupe Banque Populaire.
The rating reflects the risk that the coupons on these instruments
could be forfeited given Groupe BPCE's expected Individual rating,
and is in line with Fitch's methodology on the rating of hybrid
capital. Under Fitch's criteria, banks whose ratings are driven
by support have their hybrid ratings determined by the level of
their Individual rating. Unlike the case of Issuer Default
Ratings, Fitch has consistently argued that hybrid instruments
cannot reliably be considered as benefiting from external
sovereign support.
These four issues would be assigned a 100% equity credit by Fitch.
The existing Tier 1 securities that holders can exchange are:
-- Tier 1 securities issued by NBP Capital Trust I on 28 June
2000 (ISIN Code: XS0113462609)
-- Tier 1 securities issued by NBP Capital Trust III on 27
October 2003 (ISIN Code: XS0176710068)
-- Tier 1 securities issued by Natixis on 25 January 2005 (ISIN
Code: FR0010154278)
-- Tier 1 securities issued by Natixis on 18 October 2007 (ISIN
Code: FR0010531012)
-- Tier 1 securities issued by Natixis on 31 March 2008 (ISIN
Code: FR0010600163)
-- Tier 1 securities issued by Natixis on 16 April 2008 (ISIN
Code: FR0010607747)
-- Tier 1 securities issued by Natixis on 30 April 2008 (ISIN
Code: US63872AAA88 for rule 144A notes and ISIN Code:
USF6483LHM57 for regulation S notes)
NATIXIS: Moody's Cuts Bank Financial Strength Rating to 'D'
-----------------------------------------------------------
Moody's Investors Service said that it expects to assign a bank
financial strength rating of C- to the newly created BPCE SA,
conditional on completion of the ongoing merger between Groupe
Banque Populaire and Groupe Caisse d'Epargne (GCE) scheduled for
July 31, 2009. BPCE is to be the central body of the newly formed
Groupe BPCE. At the same time, Moody's affirmed the outstanding
senior debt ratings of Natixis, Banque Federale des Banques
Populaires and Caisse Nationale des Caisses d'Epargne at Aa3 with
a stable outlook, but downgraded the BFSRs of CNCE to C- from C,
BFBP to C- from C+ and Natixis to D from D+. The outlook on all
the BFSRs is negative.
CNCE and BFBP are, respectively, the current central entities of
the mutual banking groups GCE and GBP, the parent companies of
Natixis, which is the groups' investment banking and financial
services arm. Upon completion of the merger between GBP and GCE,
BPCE will effectively become the central body of the newly formed
Groupe BPCE via the transfer of certain assets from CNCE and BFBP
to BPCE.
The BFSR downgrades reflect the potential risks from the higher
than initially understood exposure, especially on credit
derivative product companies, from the discontinued activities of
Natixis's corporate and investment banking unit. Moody's views
the risks for Natixis to be higher than it had previously
estimated, potentially significantly impairing Natixis'
creditworthiness and affecting its current and future parent
companies.
On the other hand, Moody's affirmation of the Aa3 senior debt and
deposit ratings with a stable outlook signals the rating agency's
opinion of the continued importance of GBP and GCE to the domestic
retail market. Accordingly, the senior debt ratings incorporate
Moody's expectation of high intra-group solidarity as well as a
very high probability of ongoing systemic support from the Aaa-
rated French government if needed.
Natixis' D BFSR now maps to a Baseline Credit Assessment (BCA) of
Ba2 from Ba1 previously. The C- BFSRs of CNCE and BFBP and the
provisional C- BFSR of BPCE all map to BCAs of Baa2. All the
short-term ratings were affirmed at Prime-1.
Simultaneously, Moody's took these rating actions on the group's
subordinated and hybrid instruments:
-- the subordinated debt ratings of Natixis, BFBP and CNCE were
affirmed at A1 with a stable outlook;
-- all Natixis's hybrid instruments were downgraded to B2 from
A3. This rating action concludes the review for possible
downgrade that was initiated on 6 March 2009;
-- CNCE's A1 junior debt and A2 preferred stock ratings were
affirmed;
-- the new undated deeply subordinated notes to be issued in four
series by BPCE under the exchange offer for seven issues of
outstanding Tier 1 securities issued by Natixis, NBP Capital
Trust I and NBP Capital Trust III were assigned provisional
ratings of (P)A2. These ratings are conditional on completion
of the ongoing merger, which implies the effective transfer of
certain assets from CNCE and BFBP to BPCE.
The outlooks on the ratings of all hybrid instruments of Natixis
and CNCE and on the provisional ratings of hybrid instruments to
be issued by BPCE are stable. In that respect, Moody's cautions
however that it released a Request for Comment entitled, "Moody's
Proposed Changes to Bank Subordinated Capital Ratings", dated 16
June 2009, requesting market feedback on potential changes to its
bank hybrid rating methodology. Should Moody's implement this
revised methodology as proposed, the ratings on the hybrid
securities could potentially be negatively affected by a multi-
notch downgrade, possibly to non-investment grade.
BFSR Actions Reflect Potential Risks From Natixis'
Segregated Portfolios
The downgrade of Natixis' BFSR to D from D+ was triggered by
potential adverse effects stemming from the segregated assets of
the non-core activities of the bank's CIB unit, managed on a run-
off basis. As already stated, the losses reported by Natixis in
Q1 2009 were near the upper boundary of Moody's expected stress
scenario. The inclusion of the more granular exposure to credit
derivative product companies within the rating agency's stress
tests, not included previously, have resulted in significant
larger potential losses when compared with those anticipated at
the time of the last rating action on 6 March 2009.
The negative outlook on Natixis's BSFR continues to reflect the
bank's particular vulnerability to current market conditions given
its high risk profile, which includes sizeable concentrations in a
number of sectors, including ship finance, aerospace and real
estate. In addition, Moody's continues to believe that the
ongoing comprehensive transformation of Natixis' CIB should take
time to result in a less volatile business model over the medium
term.
On a positive side, Moody's expects that the new simplified
organisational structure, with closer links to one single parent
company, should, overtime, improve governance and risk management
and result in better integration and cohesion within the enlarged
BPCE group, thus accelerating Natixis' transformation process.
The downgrades of the BFSRs of BFBP and CNCE to C- from C+ and C,
respectively, also incorporate Moody's opinion that Natixis could,
due to the reasons noted above, require further parental support
to protect it from additional losses and shore up its capital
position, as shown by the recent significant capital-reinforcement
measures totalling EUR3.5 billion so far, which have been equally
split between BFBP and CNCE. All this results in lower loss
absorption capacity at the level of the parent companies, also
reflected in BPCE's provisional C- BFSR. Although both retail
networks will continue to operate separately under their own
brands, Moody's opinion on the intrinsic financial strength of the
new central body takes into account the strength, complementarity
and critical size of the combined Caisse d'Epargne and Banque
Populaire networks given BPCE's central role in conducting
policies and strategic orientations of the enlarged group and its
affiliated entities. Overtime, Natixis should also fully benefit
from the strength of the combined networks.
The negative outlook on the BFSRs of BFBP and CNCE and on the
conditional BFSR of BPCE incorporates Moody's expectation that,
despite the large retail base and relative resilience of the
savings and regional banks' activities and their recurring
underlying revenue generation capacity, the profitability of the
enlarged group is likely to remain significantly affected by
Natixis' performance. The negative outlook also reflects the
challenges arising from implementing an effective merger of the
previously separate BFBP and CNCE entities. Moody's will monitor
the higher cohesion, integration and streamlining of the
organizational structure that it expects to result from the
merger, notably in terms of group-wide risk management and
controls, but notes the challenges in terms of piloting such a
complex organization and improving profitability and cost
efficiency in a more difficult market and macro environment. The
rating agency anticipates to resolve its negative outlook within
the next 18 months once a more detailed strategic plan and review
of the various activities' strategic importance to the enlarged
group have been completed.
Senior Debt Ratings Continue To Benefit From Intra-Group
Solidarity Schemes And Systemic Support
Natixis, CNCE and BFBP's long-term debt and deposit ratings have
been affirmed at Aa3 with a stable outlook, reflecting the full
support that Moody's expects from the solidarity mechanisms and
cross-guarantees prevailing within the two mutualist groups'
respective domestic retail networks. Moody's notes that, by law,
a strong solidarity and cross guarantee mechanism will continue
within the enlarged BPCE group, to be implemented by BPCE and
including Natixis as affiliated subsidiary. As such, Natixis'
debt and deposit ratings still benefit from a very high
probability of group support due to its strategic importance to
the combined group, thus enjoying an eight-notch uplift from the
bank's baseline credit assessment of Ba2.
Moody's assessment of a very high probability of systemic support
for the combined group, confirmed by the French state's total
equity contribution of EUR5 billion upon completion of the
combined transaction, which will enable the state to take a stake
of up to 20% in the new central body after five years, remains
valid. The stable outlook on the Aa3 long-term debt and deposit
ratings of Natixis, CNCE and BFBP reflects, inter alia, the
stability of expected support especially in the light of the
increasing importance of their retail business to the French
banking market, from a combined perspective.
Rating Actions on Hybrid Instruments
The downgrade to B2 stable from A3 of the non-cumulative Tier I
instruments issued by Natixis and its vehicles, NBP Preferred
Capital I LLC and NBP Preferred Capital III LLC, reflects, in
Moody's opinion, a lower probability that these hybrid instruments
would receive support in the future, especially given the
substantially weakened profitability outlook for Natixis.
Although the weak solvency triggers attached to these Tier I
issues are less likely to be breached in the medium term, the risk
of coupon deferral has increased in the rating agency's opinion,
given:
(i) a lesser protection from the dividend pusher after the bank
has announced that no dividend would be paid to common
shareholders;
(ii) the risk of a suspension of interest payments due to
regulatory intervention has, in Moody's view, increased in
the current adverse environment, especially given the support
provided to Natixis so far;
iii) the high loss severity in case of coupon non-payment due to
the non-cumulative nature of these instruments.
The affirmation of CNCE's preferred stocks at A2 incorporates
Moody's opinion that the weak solvency triggers attached to these
Tier 1 issues are less likely to be breached in the medium term.
Also, the payment of dividends by CNCE, both on its ordinary and
preferred stocks, lowers the risk of coupon deferral. Similarly,
Moody's provisional ratings of (P)A2 on the new undated deeply
subordinated notes to be issued in four series by BPCE under the
exchange offer for seven of the outstanding Tier 1 securities
issued by Natixis, NBP Capital Trust I and NBP Capital Trust III,
reflects the low risk of breach of any deferral clause. It is
Moody's understanding that CNCE's long-term debt outstanding,
including hybrid instruments, will be transferred to BPCE upon
completion of the transaction combination.
The outlooks on the ratings of all hybrid instruments of Natixis
and CNCE and on the provisional ratings of hybrid instruments to
be issued by BPCE are stable.
Last Rating Actions and Moody's Methodologies
The last rating action on Natixis was on March 6, 2009, when
Moody's placed the A3 ratings of all its hybrid instruments on
review for possible downgrade. In addition, the outlook on
Natixis' D+ BFSR was changed to negative from stable. Moody's
also affirmed the bank's Aa3 long-term deposit and senior
unsecured debt ratings and short-term Prime-1 deposit rating, in
line with the deposit and senior unsecured debt ratings of
Natixis' two parent companies, CNCE and BFBP.
The last rating action on CNCE was on March 6, 2009, when Moody's
downgraded its BFSR to C (with a negative outlook) from C+. The
Aa3 long-term debt and deposit ratings (with a stable outlook) and
the Prime-1 short-term rating were affirmed.
The last rating action on BFBP was on March 6, 2009, when Moody's
affirmed its C+ BFSR and changed the outlook on it to negative
from stable. The Aa3 long-term debt and deposit ratings (with a
stable outlook) and the Prime-1 short-term rating were affirmed.
Based in Paris, Groupe Caisse d'Epargne posted audited,
consolidated assets of EUR650 billion and a Tier 1 capital ratio
of 8.14% (Basel II) at the end of 2008.
Based in Paris, Groupe Banque Populaire posted audited,
consolidated assets of EUR403 billion at the end of 2008 and a
Tier 1 capital ratio of 7.7% (Basel II) at year-end 2008.
Based in Paris, Natixis reported audited, consolidated assets of
EUR556 billion and a Tier 1 ratio of 8.2% at the end of 2008 and
net losses, group share, of EUR2.8 billion for the full year.
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G E R M A N Y
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ARCANDOR AG: Attracts Potential Buyers; Mulls Restructuring
-----------------------------------------------------------
Eva Kuehnen and Alexander Huebner at Reuters report that Quelle,
Arcandor AG's mail-order unit, is already attracting interest from
potential buyers.
Reuters relates Joerg Nerlich, the administrator in charge of
Quelle, however, told German newspaper Sueddeutsche Zeitung
it would not be possible to preserve the mail-order unit in its
current form. Mr. Nerlich, Reuters says, told the paper "We will
present first key points of a restructuring program still in
July."
Karstadt
Reuters discloses German newspaper Westdeutsche Allgemeine
Zeitung, citing Rolf Weidmann, who is also part of the insolvency
administration and in charge of Karstadt, reported Arcandor's
department store business had a good chance of surviving, although
the unit would still need a broad restructuring.
Printing Halted
Kirsten Bienk at Dow Jones Newswires reports Quelle said Prinovis
stopped printing the mail-order unit's new catalog due to a lack
of material from suppliers Schlott and Print.Forum. Dow Jones
relates Prinovis said it doesn't make the decision about when
printing can resume. According to Dow Jones Quelle said Schlott
will receive payment this week, at the earliest.
Loan
As reported in the Troubled Company Reporter-Europe on July 2,
2009, The Financial Times said on June 30, the European Union
approved a German state loan for the Quelle catalogue business of
Arcandor's Primondo unit. The FT disclosed Berlin on June 29
agreed to join the states of Bavaria and Saxony in providing
Arcandor with EUR50 million (US$70 million) in six-month
financing. According to the FT, the European Union approved the
loan as a temporary "rescue aid" measure under its normal state
aid rules. The FT said the retailer will have to come up with a
more fundamental restructuring plan if the assistance lasts beyond
six months. The loan, the FT said, is needed to restart the flow
of cash advances from Arcandor's bank, which stopped providing
factoring services -- designed to bridge the month-long gap
between bills being sent out and customers paying them -- after
demanding more collateral when the retailer went bankrupt.
About Arcandor AG
Germany-based Arcandor AG (FRA:ARO) -- http://www.arcandor.com/--
formerly KarstadtQuelle AG, is a tourism and retail group. Its
three core business areas are tourism, mail order services and
department store retail. The Company's business areas are covered
by its three operating segments: Thomas Cook, Primondo and
Karstadt. Thomas Cook Group plc is a tour operator with
operations in Europe and North America, set up as a result of a
merger between MyTravel and Thomas Cook AG. It also operates the
e-commerce platform, Thomas Cook, supporting travel services.
Primondo has a portfolio of European universal and specialty mail
order companies, including the core brand Quelle. Karstadt
operates a range of department stores, such as cosmopolitan
stores, including KaDeWe (Kaufhaus des Westens), Karstadt
Oberpollinger and Alsterhaus; Karstadt brand department stores;
Karstadt sports department stores, offering sports goods in a
variety of retail outlets, and a portal, karstadt.de that offers
online shopping, among others.
The Troubled Company Reporter-Europe, citing Bloomberg News,
reported that Arcandor on June 9 filed for bankruptcy protection
after the German government turned down its request for loan
guarantees. German Chancellor Angela Merkel, as cited by
Bloomberg News, said Arcandor's collapse was "unavoidable" after
investors and banks offered too little to save the retailer.
Bloomberg News said the government on June 8 rejected two
applications for help by Arcandor, which employs 43,000 people.
According to Bloomberg News, the retailer sought loan guarantees
of EUR650 million (US$904 million) from Germany's Economy Fund
program as debt came due this week. It also sought a further
EUR437 million from a state-owned bank, Bloomberg News said.
ESCADA AG: CEO Optimistic on Investors' Support of Rescue Plan
--------------------------------------------------------------
Claudia Rach at Bloomberg News reports that Escada AG Chief
Executive Officer Bruno Saelzer said he's optimistic investors
will back his refinancing plan for the company.
Bloomberg News relates Mr. Saelzer said in an interview in Berlin
he gets about 15 calls from bondholders a day, and feedback so far
indicates they support his plan. Mr. Saelzer, as cited by
Bloomberg News, said he wants to avoid insolvency out of concern
for the luxury brand's image.
According to Bloomberg News, backing from bondholders will
guarantee Escada support from UniCredit Spa's German unit for a
EUR13 million-loan, and trigger a capital increase of at least
EUR29 million backed by the company’s main shareholders, which
include German billionaire siblings Wolfgang and Michael Herz, as
well as a subsidiary of Spanish builder Acciona SA.
On July 1, 2009, the Troubled Company Reporter-Europe, citing
Bloomberg News, reported that Escada asked corporate bondholders
to accept conditions that cut the nominal value of their
investment by about 60 percent, as the company seeks to avoid
insolvency. According to Bloomberg News, the company said
investors were asked to exchange EUR200 million (US$281 million)
in seven-year bonds due 2012.
Citing the company, Bloomberg News stated each EUR1,000 in old
debt will be replaced by one bond worth EUR250 maturing in 2014
and a second bond worth EUR125 due 2016. According to Bloomberg
News, Escada said a EUR25 cash bonus for signing up early raises
the nominal value of the new offer to EUR400 per EUR1,000 held.
The EUR25 cash offer is valid until July 14, Bloomberg News said.
Bloomberg News said according to Escada spokesman Frank Elsner, a
minimum acceptance rate representing 80 percent of the original
nominal value must be reached by the end of July for the new
conditions to apply to all holders of the old bond.
As reported in the TCR-Europe on June 24, 2009, Reuters said at
the end of April, Escada's net debt was at EUR187.6 million
(US$260.7 million), compared with EUR177.1 million at the end of
October. Escada's cash and cash equivalents had declined to
EUR24.7 million after the first six months of its fiscal year,
compared with EUR26.6 million a year earlier, Reuters disclosed.
ESCADA AG -- http://www.escada.com/-- is a Germany-based fashion
group engaged in women's designer fashion. The Company is
structured into two segments: ESCADA and PRIMERA. Under its core
brand ESCADA, the Company sells women's designer fashions for
daytime, evening, business, leisure, wellness and special
occasions, as well as couture. The fashion range is supplemented
with accessories like handbags, shoes and small leather goods.
Fragrances, eyewear, kids wear and jewelry from licensed partners
are also sold under the ESCADA brand. The Company also offers the
ESCADA Sport product line with clothes and accesoires. Through
its wholly owned subsidiary, PRIMERA AG, the Company additionally
sells the mid-priced brands apriori, BiBA, cavita and Laurel. As
of October 31, 2008, ESCADA AG operated 182 own shops and 225
franchise shops in more than 60 countries. Its manufacture
capacities are mainly outsourced to partner operations, located in
Germany, Italy, Eastern Europe and Asia.
LEAR CORP: Case Summary & 50 Largest Unsecured Creditors
--------------------------------------------------------
Debtor: Lear Corporation
21557 Telegraph Road
Southfield, MI 48033
Bankruptcy Case No.: 09-14326
Debtor-affiliates filing separate to Chapter 11 petitions:
Entity Case No.
------ --------
Lear South Africa Limited 09-14325
Lear #50 Holdings, LLC 09-14327
Lear Argentine Holdings Corporation #2 09-14328
Lear Automotive Dearborn, Inc. 09-14329
Lear Automotive Manufacturing, LLC 09-14330
Lear Canada 09-14331
Lear Canada Investments Ltd. 09-14332
Lear Corporation (Germany) Ltd. 09-14333
Lear Corporation Canada Ltd. 09-14334
Lear Corporation EEDS and Interiors 09-14335
Lear Corporation Global Development, Inc. 09-14336
Lear EEDS Holdings, LLC 09-14337
Lear European Operations Corporation 09-14338
Lear Holdings, LLC 09-14339
Lear Investments Company, LLC 09-14340
Lear Mexican Holdings Corporation 09-14341
Lear Mexican Holdings, LLC 09-14342
Lear Mexican Seating Corporation 09-14343
Lear Operations Corporation 09-14344
Lear Seating Holdings Corp. #50 09-14345
Lear South American Holdings Corporation 09-14346
Lear Trim L.P. 09-14347
Renosol Seating, LLC 09-14348
Type of Business: Lear Corporation is one of the world's
leading suppliers of automotive seating systems,
electrical distribution systems and electronic
products. The Company's products are designed,
engineered and manufactured by a diverse team of
80,000 employees at 210 facilities in 36
countries. Lear's headquarters are in
Southfield, Michigan, and Lear is traded on the
New York Stock Exchange under the symbol [LEA].
Outside the United States, Lear has subsidiaries
in Germany, Luxembourg, Sweden, Singapore,
China, India and Mexico, among others.
Chapter 11 Petition Date: July 7, 2009
Court: Southern District of New York (Manhattan)
Judge: Allan L. Gropper
Debtors' Counsel: James H.M. Sprayregen, Esq.
Marc Kieselstein, Esq.
Ryan Blaine Bennett, Esq.
Paul Wierbicki, Esq.
Kirkland & Ellis LLP
Citigroup Center
601 Lexington Avenue
New York, NY 10022
Tel: (212) 446-4800
Fax: (212) 446-4900
http://www.kirkland.com/
Debtors' Creditors
Arrangement Act
Counsel: Joel Scoler, Esq.
Kevin McElcheran, Esq.
McCarthy Tetrault LLP
Suite 5300, TD Bank Tower
Toronto Dominion Centre
Toronto, ON M5K 1E2
Tel: (877) 244-7711
Fax: (416) 868-0673
http://www.mccarthy.ca/
Special Counsel: Winston & Strawn LLP
200 Park Avenue
New York, New York 10166-4193
Tel: (212) 294-6700
Fax: (212) 294-4700
http://www.winston.com/
Restructuring
Advisors: Alvarez & Marsal North America LLC
Global HQ, 6th Floor
600 Lexington Avenue
New York, NY 10022
Tel: (212) 759-4433
Fax: (212) 759-5532
http://www.alvarezandmarsal.com/
Special Michigan
and Other Counsel: Bodman LLP
201 West Big Beaver Road, Suite 500
Troy, Michigan 48084
Tel: (248) 743-6000
Fax: (248) 743-6002
http://www.bodmanllp.com/
Special Counsel: Brooks Kushman P.C.
1000 Town Center
Twenty-Second Floor
Southfield, Michigan 48075-1238
Tel: (248) 358-4400
Fax: (248) 358-3351
http://www.brookskushman.com/
Auditors and Tax
Advisors: Ernst & Young LLP
One Kennedy Square, Suite 1000
777 Woodward Avenue
Detroit, MI 48226
Tel: (313) 628 7100
Fax: (313) 628 7013
http://www.ey.com/
Notice and Claims
Agent: Kurtzman Carson Consultants LLC
2335 Alaska Avenue
El Segundo, CA 90245
Tel: (866) 927-7093
http://www.kccllc.net/
The Debtors' financial condition as of May 30, 2009:
Total Assets: US$1,270,800,000
Total Debts: US$4,536,000,000
The Debtors' Largest Unsecured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
The Bank of New York Mellon Bond Debt US$589,250,000
Trust Company, N.A.,
Indenture Trust
Attn: Roxane J. Ellwanger
2016 Indenture
480 Washington Blvd, 27th Floor
Jersey City, NJ 07310
United States
Tel: (312) 827-8574
Fax: (312) 827-8542
The Bank of New York Mellon Bond Debt US$399,524,000
Trust Company, N.A.,
Indenture Trust
Attn: Roxane J. Ellwanger
2016 Indenture
480 Washington Blvd, 27th Floor
Jersey City, NJ 07310
United States
Tel: (312) 827-8574
Fax: (312) 827-8542
The Bank of New York Mellon Bond Debt US$298,000,000
Trust Company, N.A.,
Indenture Trust
Attn: Roxane J. Ellwanger
2016 Indenture
480 Washington Blvd, 27th Floor
Jersey City, NJ 07310
United States
Tel: (312) 827-8574
Fax: (312) 827-8542
Johnson Controls, Inc. Trade Payable US$5,076,686
Attn: Larry Mathias, Vice
President
48200 Halyard Drive
Plymouth, MI 48170
United States
Tel: (616) 283-2365
Fax: (734) 254-5222
CRH-DAS, L.L.C. Trade Payable US$4,655,165
Attn: Dean Lenane, President
24800 Warner Ave
Warren, MI 48091
United States
Tel: (586) 757-0000
Fax: (586) 620-7300
Rozmor Land Co. Promissory Note US$4,151,741
Attn: Lowell D. Salesin
28400 Northwestern Highway
Third Floor
Southfield, MI 48034-1839
United States
Tel: (248) 827-1889
Fax: (248) 359-6189
Tyco Electronics Corp. Trade Payable US$3,763,893
Attn: Tom Lynch, Chief
Executive Officer
1050 Westlakes Dr.
Berwyn, PA 19312
United States
Tel: (610) 893-9800
Fax: (717) 986-7575
Porter Engineered Systems Inc Trade Payable US$3,034,901
Attn: John Ball, President
and Chief Executive Officer
28700 Cabot Drive, Suite 800
Novi, MI 48377
United States
Tel: (248) 994-8105
Fax: (248) 994-8102
Jay Industries, Inc. Trade Payable US$2,996,559
Attn: Rick Taylor, President
150 E. Longview Avenue
Mansfield, OH 44903
United States
Tel: (734) 994-8800 x15
Fax: (419) 521-0121
TK Holdings, Inc Trade Payable US$2,718,257
Attn: Kevin Kennedy, Vice
President Sales
2500 Takata Drive
Auburn Hills, MI 48326
United States
Tel: (248) 377-6127
Fax: (248) 475-2414
Sumitomo Mitsui Banking US$2,500,000
Corporation
Attn: CBDA-1
277 Park Avenue, 6th Floor
New York, NY 10172
United States
Tel: (212) 224-4000
Fax: (212) 593-9514
Woodbridge Corporation Trade Payable US$2,362,645
Attn: Richard J. Jocsak
Senior Vice President and
Chief Financial Officer
4240 Sherwoodtowne Boulevard
Mississauga, ON L4Z 2G6
Canada
Tel: (905) 896-3882 ext. 447
Fax: (905) 896-3558
Autoliv Inc. Trade Payable US$2,326,320
Attn: William Campbell, Chief
Financial Officer
3350 Airport road
Odgen, UT 84405
United States
Tel: (801) 620-8272
Fax: (801) 625-8236
Canadian General Tower Ltd. Trade Payable US$2,128,658
Attn: Jan Chaplin, President
and Chief Executive Officer
52 Middelton Street
Cambridge, ON N1R5T6
Canada
Tel: (519) 623-1633
Fax: (519) 623-5803
International Automotive Trade Payable US$2,579,212
Components Group North
America, Inc.
Attn: James Kamsickas
President & CEO
5300 Auto Club Drive
Dearborn, MI 48126
United States
Tel: (313) 240-3000
Fax: (313) 240-3100
Robert Bosch LLC Trade Payable US$1,878,963
Attn: Danny Hyman, Regional
President
15000 Haggerty Road
Plymouth, MI 481740
United States
Tel: (734) 979-3290
Fax: (734) 979-3820
Four-Way Tool & Die Inc. Trade Payable US$1,848,830
Attn: Larry Erickson - CEO
239 Indusco Ct
Troy, MI 48083
United States
Tel: (248) 585-8255
Fax: (248) 585-3846
The Bank of Tokyo Mitsubishi US$1,700,000
UFJ, Ltd.
Attn: Mr. Kawabata, Japanese
Corporate Finance
227 W. Monroe Street
Suite 2300
Chicago, IL 60606
United States
Tel: (312) 696-4603
Fax: (312) 696-4534
Leoni Kabel GMBH Trade Payable US$1,652,727
Attn: Wolfgang Losch, Chief
Executive Officer
Stieberstrasse 5
Roth, 91154
Germany
Tel: (499171) 804-2391
Fax: (499171) 804-2190
Yazaki North America Inc. Trade Payable US$1,525,425
Attn: George Perry, President
and Chief Executive Officer
6801 Haggerty Road
Canton, MI 48187
United States
Tel: (734) 983-1000
Fax: (734) 983-2843
Grammer Industries, Inc. Trade Payable US$1,197,712
Attn: Dimitri Moustakeas, VP
Sales and Engineering
201 Forrester Dr. Suite C6
Forrester Industrial Pk.
Greenville, SC 29607
United States
Tel: (248) 530-1245
Fax: (248) 530-1221
Delphi Corporation Trade Payable US$1,154,122
Attn: Rodney O'Neal, President
and Chief Executive Officer
5725 Delphi Drive
Troy, MI 48098
United States
Tel: (248) 813-2557
Fax: (248) 813-2333
John Wm. Butler Jr., Partner
John K. Lyons, Partner
Ron E. Meisler, Partner
Skadden, Arps, Slate,
Meagher & Flom LLP
333 West Wacker Drive
Suite 2100
Chicago, IL 60606
Tel: (800) 718-5305
Fax: (312) 407-0411
Molex, Inc. Trade Payable US$1,142,421
Attn: Martin P. Slark, Vice
Chairman and Chief Executive
Officer
2222 Wellington Ct
Lisle, IL 60532
United States
Tel: (630) 969-4550
Fax: (630) 416-4918
Fisher & Company, Inc. Trade Payable US$1,097,471
Attn: Michael Fisher
President
33180 Freeway Drive
St. Clair Shores, MI 48082
United States
Tel: (586) 746-2000
Fax: (586) 746-3301
Aunde Group Trade Payable US$1,061,157
Attn: Gerwald Meilen, Vice
President
3000 Town Center
Suite 1385
Southfield, MI 48075
United States
Tel: (248) 358-0810
Fax: (248) 358-0815
Faurecia Trade Payable US$1,055,216
Attn: Robert Scales, Vice
President
2380 Meijer Drive
Troy, MI 48084
United States
Tel: (248) 288-8482
Fax: (248) 288-1074
Draka Philippines Inc. Trade Payable US$1,049,358
Attn: Dr. Martina Lupberger
President
Mactan Economic Zone II
Basak
Lapu Lapu, 6015
Phillipines
Tel: (01149202) 296-2517
Fax: (01149202) 296-2000
Diversified Technologies Trade Payable US$985,082
International
Attn: Chris Wiegel, Chief
Operating Officer
32969 Glendale Ave.
Livonia, MI 48150
United States
Tel: (734) 524-1450
Fax: (734) 524-1449
Omron Automotive Electronics Trade Payable US$881,374
Inc.
Attn: Mike Van Gendt, President
2270 Bristol Circle
Oakville, ON L6H 5S3
Canada
Tel: (905) 829-0136
Fax: (905) 829-0432
Kenwal Steel Corporation Trade Payable US$876,527
Attn: David Bazzy, President
8223 W. Warren
Detroit, MI 48126
United States
Tel: (313) 739-1000
Fax: (313) 739-2325
Hatch Stamping Company Trade Payable US$875,513
Attn: Daniel Craig, President
and Chief Operating Officer
635 E. Industrial Drive
Chelsea, MI 48118
United States
Tel: (734) 475-6242
Fax: (734) 475-6255
The Bank of New York Mellon Bond Debt US$816,000
Trust Company, N.A., Indenture
Trust
480 Washington Blvd
27th Floor
Jersey City, NJ 7310
United States
Tel: (312) 827-8574
Fax: (312) 827-8542
Key Safety Systems, Inc. Trade Payable US$785,718
Attn: David M. Smith, Sr.
Vice President and Chief
Financial Officer
World Headquarters
7000 Nineteen Mile Road
Sterling Heights, MI 48314
United States
Tel: (586) 726-4107
Fax: (586) 997-4670
W.E.T. Automotive Systems Ltd. Trade Payable US$767,682
Attn: Robert O. Klein
Managing Director
9472 Twin Oaks Drive
Windsor, ON N8N 5B8
Canada
Tel: (519) 739-4104
Fax: (519) 735-5239
Pullman De Puebla Trade Payable US$737,986
S.A. DE C.V.
Attn: Daniel Fernandez
Operations Director
Carr.QRO-SAN LIUS POTOSI
KM.26.5 LT.25-2 MZA SANTA ROSA
Santiago, Queretaro,
Mexico
Tel: (5222) 273-7606
Fax: (5222) 273-7603
Keyang Electric Machinery Co. Trade Payable US$732,405
Attn: Mr. Lee, Hyoung Ho
President
161 Dohari Sunghwan-eup
Cheonan Choongnam, 330-802
Korea
Tel: (8241) 580-0543
Fax: (8241) 580-0549
IEE Automotive Usa, Inc Trade Payable US$716,896
Attn: Mr. Scott Whetter
President
1121 Centre Road
Auburn Hills, MI 48326
United States
Tel: (248) 364-0101
Fax: (248) 373-9924
Foamex International Inc. Trade Payable US$711,971
Attn: John G Johnson, Jr.
President and Chief Executive
Officer
Rose Tree Corporate Center II
1400 N. Providence Rd.
Suite 2000
Media, PA 19063-2076
United States
Tel: (610) 744-2107
Fax: (610) 744-2190
Milliken & Co. Trade Payable US$711,883
Attn: Ashely Allen, President
and Chief Executive Officer
295 Broadcast DR.
Spartanburg, SC 29303
United States
Tel: (864) 503-2141
Fax: (864) 503-1304
Celestica Philippines Inc. Trade Payable US$698,795
Attn: Andy Smith, Senior VP
and General Manager
1612 Specht Point Road
Suite 119
Fort Collins, CO 80525-4300
United States
Tel: (970) 225-0039
Fax: (970) 225-0039
Panasonic Electric Works Asia Trade Payable US$669,803
Attn: Yojiro Yamamoto -
General Manager
629 Central Ave
New Providence, NJ 07974-1526
United States
Tel: (908) 464-3550 ext 2021
Fax: (908) 771-5658
Manufacturers Industrial Trade Payable US$644,492
Group, LLC
Attn: Andre Gist - CEO
659 Natchez Trace Drive
Lexington, TN 38351
United States
Tel: (731) 967-0001
Fax: (731) 968-3320
Bridge Of Weir Leather Co Ltd Trade Payable US$631,445
Attn: Karen Marshall, Director
Baltic Works
Kilbarchan Road
Renfrewshire, PA11 3RH
Scotland
Tel: (44150) 561-2132
Fax: (44150) 561-4964
C. Rob. Hammerstein GMBH & Co. Trade Payable US$619,367
KG / CRH NORTH AMERICA
Attn: Robert Houston
President
24800 Warner Ave.
Warren, MI 48091
United States
Tel: (586) 620-7273
Fax: (586) 620-7300
Dixie wire AFL Trade Payable US$608,660
Autom/Hondura
c/o Alcoa Electrical &
Electronic Solutions
Attn: William C. Brown, VP
Developing Markets
36555 Corporate Drive
Suite 185, MD 3W
Farmington Hills, MI 48331
United States
Tel: (248) 489-4705
Fax: (248) 489-4722
Serviacero Planos Trade Payable US$603,717
S.A. DE C.V.
Attn: Benjamin Zermeno
Vice President
Blvd. Hermanos Aldama No. 4002
Col. Ciudad Industrial
Leon, GTO, 37490
Mexico
Tel: (477) 152-6000
Fax: (477) 152-6010
Cosma International, Inc Trade Payable US$544,828
c/o Autoteck Mexico
S.A. DE C.V.
Attn: Eric Wilds, Exec, VP
Sales & Marketing
1807 E. Maple Rd
Troy, MI 48083
United States
Tel: (248) 524-5300
Fax: (248) 524-4674
Circuit Controls Corp Trade Payable US$543,702
Attn: Ms. Lisa Whatley
Senior Sales Manager
6801 Haggerty Road
Canton, MI 48187
United States
Tel: (734) 502-6993
Fax: (734) 983-2843
Pension Benefit Guaranty Corp. pension liability undetermined
Attn: Jack Butler, Financial
Analyst
Corporate Finance and
Restructuring Group
1200 K Street, N.W.
Suite 270
Washington, DC 20005-4026
United States
Tel: (202) 326-4070
Fax: (202) 842-2643
The Debtors' Five Largest Secured Creditors:
Entity Nature of Claim Claim Amount
------ --------------- ------------
JP Morgan Chase Bank, N.A. revolving US$1,192,003,208
Loan and Agency Services Group facility
1111 Fannin, 10th Floor
Houston, Texas 77002
JP Morgan Chase Bank, N.A. term loan US$985,000,000
Loan and Agency Services Group
1111 Fannin, 10th Floor
Houston, Texas 77002
Bank of America, N.A. unknown
Attn: Capital Markets
Documentation
100 N. Tryon St.
NC1-007-13-01
Charlotte, NC 28255
Fax: (704) 386-4113
Banque Paribas; BNP Paribas unknown
Attn: BFI/Boltit
20 Boulevard des Italiens
Paris, 75009 France
BNP Paribas
Attn: Legal and Transaction
Management Group
10 Harewood Avenue
London NW1 6AA, England
Fax: (212) 471-8078
Credit Suisse unknown
Attn: Credit Suisse
International
One Cabot Square
London, E14 4QJ England
Fax: (917) 326-8603
The petition was signed by Matthew J. Simoncini.
TREVIRA GROUP: Gets 11 Expressions of Interest, Administrator Says
------------------------------------------------------------------
Fibre2fashion.com reports that Werner Schneider, the provisional
insolvency administrator of Trevira Group, said he got 11
expressions of interest for the company.
According to the report, interested parties include both strategic
and financial investors. The report says sales discussions, which
entered their second phase last week, are expected to conclude by
July 31. "We remain very optimistic that we will find a robust
investor for the entire company group by the scheduled date, one
who will continue to operate the business in the long term," the
report quoted Mr. Schneider as saying.
The report discloses according to the insolvency administrator,
the company has around 2,500 creditors, of whom 1,700 are Trevira
employees. The report states amounts receivable total some EUR85
million at present, a relatively small sum for a company the size
of the Trevira.
Insolvencies
As reported in the Troubled Company Reporter-Europe on June 8,
2009, Trevira, a unit of India's Reliance Industries Limited,
filed an application with the court in Augsburg Court in State of
Bavaria, Germany for the commencement of insolvency proceedings
with a restructuring plan. The move follows major efforts by the
company to overcome the impact of industrial slowdown in Europe
particularly of the automotive and textile sectors to whom it is
an important supplier.
Trevira's subsidiaries in Poland, Spain, Italy and Belgium also
filed for insolvency in June. Mr. Schneider was appointed
provisional administrator in the subsidiaries' cases.
Trevira manufactures polyster fibers and filament yarns for the
automotive industries, home textiles as well as for technical
applications. The company has production units in Germany,
Denmark, Poland and Belgium. After the acquisition by Reliance
Netherlands B.V., Trevira improved its' operations and gained in
reputation before being severely impacted by the recent global
financial crisis resulting in considerable demand contraction in
its' principal market segments.
===========
G R E E C E
===========
ARIES MARITIME: PwC Raises Going Concern Doubt
----------------------------------------------
Aries Maritime Transport Limited says the audit report of the
Company's independent registered public accounting firm,
PricewaterhouseCoopers S.A., included in the Company's Form 20-F
filed with the U.S. Securities and Exchange Commission contains an
explanatory paragraph which notes that there are specific factors
which raise substantial doubt about the Company's ability to
continue as a going concern. These factors include the Company's
2008 and 2007 net losses and a previously announced re-
classification of long term debt due to its inability to meet
certain financial covenants under its revolving credit facility.
Aries Maritime is currently in negotiations with its lenders to
obtain waivers for certain financial covenants. The Company has
plans in place to improve the performance and financial strength
of the Company. These plans primarily relate to the reduction of
expenses, possible sales of vessels and the potential addition of
assets to enhance future cash earnings.
On June 24, 2009, the Company signed a non-binding letter of
intent with Grandunion, Inc., a company controlled by Nicholas
Fistes and Michael Zolotas., that contemplates, among other
things, the acquisition of three Capesize drybulk carriers with an
approximate net asset value of US$36.0 million in exchange for
15,977,778 newly issued shares of the Company and a change of
control of the Company's board of directors. There is no assurance
that the Company will enter into definitive agreements with
Grandunion, Inc.
Aries Maritime on June 26, 2009, filed its annual report on Form
20-F for the year ended December 31, 2008, with the U.S.
Securities and Exchange Commission. The Company filed a Form 6-K
four days later to disclose first quarter 2009 unaudited financial
results.
Total revenues from continuing operations of US$16.8 million were
recorded for the three months ended March 31, 2009, compared to
total revenues of US$20 million recorded for the three months
ended March 31, 2008. For the three month periods ended March 31,
2009 and March 31, 2008, the Company reported revenues of US$13.9
million and US$17.5 million, respectively, excluding deferred
revenue due to the assumption of charters associated with certain
vessel acquisitions as well as direct expenses including
commissions and voyage expenses. The decrease in revenues is
primarily attributable to 90 out-of-service days related to the
Nordanvind as well as lower charter rates achieved for the MSC
Seine and the Chinook during the three months ended March 31,
2009, compared to the three months ended March 31, 2008. Vessel
operating days for the three months ended March 31, 2009 were
1,080, compared to operating days of 1,092 for the three months
ended March 31, 2008.
Net loss from continuing operations was US$4.2 million or US$0.15
basic and diluted loss per share, for the three months ended March
31, 2009, compared to a net loss of US$5.1 million, or US$0.18
basic and diluted loss per share, recorded for the three months
ended March 31, 2008. The results for the first quarter of 2009
include a US$100,000 non-cash loss from the change in the fair
value of derivatives. The results for the same period of 2008
include a US$3.6 million non-cash loss from the change in the fair
value of derivatives.
Net loss from continuing and discontinued operations for the three
months ended March 31, 2009, was US$4.2 million, or US$0.15 basic
and diluted loss per share, compared to a net loss of US$6.9
million, or US$0.24 basic and diluted loss per share, recorded for
the three months ended March 31, 2008.
Adjusted EBITDA for the three months ended March 31, 2009, was
US$4.8 million compared to US$8.1 million for the three months
ended March 31, 2008.
At March 31, 2009, the Company had US$309,426,000 in total assets
and US$248,010,000 in total liabilities.
A full-text copy of the Company's Form 6-K filing is available at
no charge at http://ResearchArchives.com/t/s?3eba
A full-text copy of the Company's Form 20-F filing is available at
no charge at http://ResearchArchives.com/t/s?3eb4
About Aries Maritime Transport
Based in Athens, Greece, Aries Maritime Transport Limited is an
international shipping company that owns and operates products
tankers and container vessels. The Company's products tanker
fleet consists of five MR tankers and four Panamax tankers, all of
which are double-hulled. The Company also owns a fleet of two
container vessels, excluding the Ocean Hope, with a capacity of
2,917 TEU per vessel. Seven of the Company's 11 vessels are
secured on period charters. Charters for two of the Company's
products tanker vessels currently have profit-sharing components.
TOP SHIPS: Deloitte Hadjipavlou Raises Going Concern Doubt
----------------------------------------------------------
Deloitte. Hadjipavlou, Sofianos, & Cambanis S.A. in Athens,
Greece, in its June 26, 2009, raised substantial doubt about the
ability of Top Ships Inc. to continue as a going concern.
The auditor cites the Company's inability to comply with financial
covenants under its current loan agreements as of December 31,
2008 and its negative working capital position.
As of December 31, 2008, the Company was in breach of the minimum
asset cover ratio and other covenants contained in the Company's
loan agreements relating to the Company's overall outstanding
indebtedness of US$342,479. These constitute an event of default
and could result in the lenders requiring immediate repayment of
the loans. As a result of these covenant breaches and cross-
default provisions, the Company has classified all its debt as
current. A cross-default provision means that if the Company is
in default with regards to a specific loan then it is
automatically in default of all its loans with cross-default
provisions. For this reason, the Company is not able to breakdown
its debt obligations into current and long term unless it is able
to receive waivers for all covenant breaches. The amount of long
term debt that has been reclassified and presented together with
current liabilities amounts to US$289,954. The Company has
received waivers for minimum asset cover, as defined by each bank,
and other covenants from two of its lenders and is in negotiations
with its remaining lenders to obtain waivers and restructure the
debt.
Management expects that the lenders will not demand payment of the
loans before their maturity, provided that the Company pays loan
installments and accumulated or accrued interest as they fall due
under the existing credit facilities. Management plans to settle
the loan interest and scheduled loan repayments with existing cash
reserves, cash generated from operations and proceeds of an equity
offering or at the market sales which will be initiated during the
second half of 2009.
Management does not expect that existing cash reserves together
with cash generated from the operations of the vessels owned or
operated by the Company to be sufficient to repay the total
balance of loans in default if such debt is accelerated by the
lenders.
Management believes that during 2009 the Company may be in breach
of covenants relating to minimum liquidity, as defined by each
bank. However, it is management's belief that banks will not
accelerate their loan repayments as long as loan installments are
paid on time. Nevertheless, during 2009, the Company expects to
be in breach of covenants relating to the minimum liquidity and
EBITDA as defined by each bank.
As of December 31, 2008, the Company had total indebtedness under
various senior secured credit facilities of US$346.9 million,
excluding unamortized financing fees of US$4.4 million, with
lenders the Royal Bank of Scotland, HSH Nordbank, DVB Bank, ALPHA
BANK and EMPORIKI BANK, maturing from 2008 through 2015.
As of December 31, 2008, the Company had a working capital deficit
of US$329.8 million. At December 31, the Company had
US$698,375,000 in total assets; US$386,934,000 in total current
liabilities, US$3,911,000 in fair value of below market time
charter, and US$15,479,000 in deferred gain on sale and leaseback
of vessels; and Total stockholders' equity of US$292,051,000. The
Company posted a net income of US$25,639,000 for year 2008.
Based in Athens, Greece, TOP Ships Inc. (NasdaqGS: TOPS), formerly
known as TOP Tankers Inc., is an international provider of
worldwide seaborne crude oil and petroleum products and drybulk
transportation services. The company operates a combined tanker
and drybulk fleet.
=============
H U N G A R Y
=============
* HUNGARY: Liquidations Rose 30% in First Half of 2009, Opten Says
------------------------------------------------------------------
Budapest Times reports that according to corporate researcher
Opten, the number of Hungarian companies going into liquidation
rose more than 30% year-on-year in the first six months of 2009.
According to Budapest Times, some 7,391 liquidation procedures
were initiated in the first half of the year.
Budapest Times discloses the number of bankruptcies and
insolvencies declined slightly last month, compared to May.
The biggest number of bankruptcies came from the car sales sector,
Budapest Times notes.
=============
I R E L A N D
=============
DEKANIA EUROPE: Fitch Cuts Ratings on Class C and D Notes to 'B'
----------------------------------------------------------------
Fitch Ratings has downgraded the ratings of Dekania Europe CDO I
plc, which is a collateralized debt obligation backed primarily by
subordinate debt and perpetual preferred securities issued by
insurance companies and, to a lesser extent, banks. Fitch has
also assigned Rating Outlooks and Loss Severity ratings to the
notes rated 'B' and better. The rating actions are:
-- EUR134,749,651 class A1, downgraded to 'AA' from 'AAA',
placed on Rating Watch Evolving;
-- EUR11,500,000 class A2, downgraded to 'A' from 'AAA',
assigned Stable Outlook and 'LS3';
-- EUR13,000,000 class A3, downgraded to 'A' from 'AAA',
assigned Stable Outlook and 'LS3';
-- EUR35,000,000 class B1, downgraded to 'BBB' from 'AA',
assigned Negative Outlook and 'LS3';
-- EUR15,000,000 class B2, downgraded to 'BBB' from 'AA',
assigned Negative Outlook and 'LS3';
-- EUR29,500,000 class C, downgraded to 'B' from 'A-', assigned
Negative Outlook and 'LS3';
-- EUR15,461,821 class D, downgraded to 'B' from 'BBB', assigned
Negative Outlook and 'LS4'.
Fitch's rating actions reflect the rating review methodology
described in the press release 'Fitch Revises Criteria for
Reviewing U.S. CDOs Backed by Bank & Insurance TruPS' dated
March 25, 2009. More specifically, the rating actions incorporate
the impact of the first-time application of Fitch's Portfolio
Credit Model to evaluate the pool of bank and insurance corporate
assets supporting the CDO notes. PCM is Fitch's main analytical
tool used to determine default, recovery and loss rates for
portfolios of corporate debt. The PCM correlation framework
captures the risk of industry and sector concentrations, a
prevalent characteristic of bank and insurance TruPS CDOs, as well
as regional and country concentrations. The application of PCM
resulted in increased rating loss rates for the highly
concentrated bank and insurance portfolios. The elevated rating
loss rates translated into insufficient credit enhancement to
support existing ratings, hence the downgrades.
As part of these rating actions, Fitch has also assigned Rating
Outlooks to the bonds rated 'B' and better to reflect the likely
direction of any rating change over a one- to two-year period.
The Negative Rating Outlook reflects the limited ability of the
notes to absorb additional defaults, as well as Fitch's overall
negative outlook for the European insurance and banking sectors.
Future rating actions will be largely driven by performance in
terms of deferrals and defaults of the bank and insurance
companies underlying these transactions.
Assured Guaranty provides a primary wrap for the class A1 notes of
Dekania Europe I. On May 4, 2009, Fitch downgraded the Insurer
Financial Strength rating of Assured Guaranty Corp. (Assured
Guaranty) to 'AA', Rating Watch Evolving from 'AAA'. The ratings
on the Dekania Europe I class A1 notes have an unenhanced rating
in the 'AA' category. The unenhanced rating categories are based
on the quality of the underlying collateral as well as available
credit enhancement to the tranches. Pending final resolution of
the Evolving Rating Watch on Assured Guaranty's IFS rating, Fitch
may shift its rating of the class A1 tranches to the higher of the
unenhanced rating or the financial guarantor IFS rating.
Loss Severity ratings were also assigned with these rating
actions. LS ratings were introduced in February 2009 to
complement the existing Long-Term Credit ratings for structured
finance securities. LTC ratings exclusively address the
probability of default of a security. The LS ratings provide an
indication of the relative degree of loss that a security might
incur in the event that the security defaults; as such it is
necessary to consider loss severity (as indicated by the LS
rating) in conjunction with probability of default (as indicated
by the LTC rating.) The LS rating scale consists of five rating
categories from 'LS1' to 'LS5'. LS ratings are assigned to
securities that have corresponding LTC ratings in rating
categories 'AAA' through 'B'.
INDEPENDENT NEWS: Deloitte to Serve as Administrator if Talks Fail
------------------------------------------------------------------
Dan Sabbagh at The Times reports that Independent News & Media plc
has positioned Deloitte, one of its advisers, as standby
administrator in case its debt-restructuring talks collapse.
The Times relates INM is in talks to refinance a EUR200 million
bond. The Times notes a deadline of July 24 has been set for
agreeing a refinancing of the bond.
The Times says Deloitte is expected to be appointed as examiner --
a form of bankruptcy protection under Irish law that is similar to
the American Chapter 11 system -- if the talks fail to reach an
agreement.
On June 23, 2009, the Troubled Company Reporter-Europe, citing the
FT, reported INM is also in danger of breaching covenants on a
further EUR653 million debt, which is held by a syndicate of eight
banks and secured on the company's assets in the UK and Ireland.
The company has total debts of EUR1.4 billion, built up through
its overseas expansion, the FT said.
Headquartered in Dublin, Ireland, Independent News & Media PLC
(ISE:IPD) -- http://www.inmplc.com/-- is engaged in printing and
publishing of metropolitan, national, provincial and regional
newspapers in Australia, India, Ireland, New Zealand, South Africa
and the United Kingdom. It also has radio operations in Australia
and New Zealand, and outdoor advertising operations in Australia,
New Zealand, South-East Asia and across Africa. The Company also
has online operations across each of its principal markets. The
Company has three business segments: printing, publishing, online
and distribution of newspapers and magazines and commercial
printing; radio, and outdoor advertising. INM publishes over 200
newspaper and magazine titles, delivering a combined weekly
circulation of over 32 million copies with a weekly audience of
over 100 million consumers. In March 2008, it acquired The Sligo
Champion. During the year ended December 31, 2007, the Company
acquired the remaining 50% interest in Toowoomba Newspapers Pty
Ltd.
SCIENS CFO I: Moody's Confirms Junk Ratings on 3 Classes of Notes
-----------------------------------------------------------------
Moody's Investors Service has confirmed its ratings of five
classes of notes issued by Sciens CFO I Limited.
Originally rated on December 14, 2006, Sciens CFO I Limited is a
collateralized fund obligation backed by equity interest in a
diversified fund of hedge funds. An early redemption event has
been called following a breach in a test due to the recent market
dislocation. The proceeds of this forced liquidation are expected
to represent more than 39% of the capital structure at the end of
the period. In August, at the next semi-annual payment date, the
notes will start to be paid down according to the priority of
payments. The transaction will be likely winding down soon.
The latest determined net asset value (NAV) was EUR156 Million
(+3% since latest rating action).
The ratings are confirmed to their current levels because the
uncertainty associated with the previously anticipated credit
deterioration has been reduced and the transaction is in the
process of unwinding.
Moody's initially analyzed and continues to monitor this
transaction using primarily the methodology as described in
Moody's Special Report below:
-- Moody's Approach to Rating Collateralized Funds of Hedge Fund
Obligations (2003)
The rating actions are:
Sciens CFO I Limited:
(1) Class A Floating Rate Notes due 2014
-- Current Rating: Baa1
-- Prior Rating: Baa1, on review for possible downgrade
-- Prior Rating Date: 29 Januray 2009, downgraded and placed
under review for possible downgrade
(2) Class B Floating Rate Notes due 2014
-- Current Rating: B3
-- Prior Rating: B3, on review for possible downgrade
-- Prior Rating Date: 22 December 2008, downgraded and placed
under review for possible downgrade
(3) Class C Floating Rate Notes due 2014
-- Current Rating: Caa3
-- Prior Rating: Caa3, on review for possible downgrade
-- Prior Rating Date: 22 December 2008, downgraded and placed
under review for possible downgrade
(4) Class D Floating Rate Notes due 2014
-- Current Rating: Confirmed at Ca
-- Prior Rating: Ca, on review for possible downgrade
-- Prior Rating Date: 10 December 2008, downgraded and placed
under review for possible downgrade
(5) Class E Floating Rate Notes due 2014
-- Current Rating: Ca
-- Prior Rating: Ca, on review for possible downgrade
-- Prior Rating Date: 10 December 2008, downgraded and placed
under review for possible downgrade
* IRELAND: Corporate Failures Up 135% in 2009 First Half, FGS Says
------------------------------------------------------------------
Declan Taite, FGS Corporate Restructuring & Insolvency Partner,
said the number of Creditors' Voluntary Liquidations, High Court
Liquidations, Receiverships and Examinerships in the six months
ended June 30, 2009 has increased by a staggering 135% on the same
period in 2008.
Figures compiled by FGS show that 733 companies were placed in
liquidation, receivership or examinership in the first six months
of 2009, representing a dramatic increase (135%) on the 312
failures for the same period in 2008.
The acceleration in the number of failures in 2009 has continued
from the first three months of the year where some 351 failures
occurred. Should the trend continue for the remainder of 2009 it
is probable that some 1,500 to 1,600 failures will occur compared
to 753 failures in 2008.
The figures, while representing significant increases are not
overly surprising when set against a backdrop of continued
recession both nationally and internationally fuelled by the
ongoing lack of liquidity, cashflow constraints, increasing
unemployment, negative consumer sentiment etc.
The ongoing demise in the construction sector is obvious from the
statistics. Some 253 or 35% of all failures occurred in this
sector. This compares with 35% in 2007 and 41% in 2008. To put
these figures into context, there were nearly as many failures
recorded within the sector in the first six months of 2009 than
were recorded in the same periods in 2006, 2007 and 2008
collectively.
The failures in the construction sector, in the main, continue to
be small to medium sized developers and or sub contractors.
However in the past number of weeks there has been an increase in
the size of the entities failing. The ongoing reduction in house
prices, a virtual stop in the number of new units being built,
uncertainty regarding the availability of credit for small to
medium type developers and purchasers all indicate that much
uncertainty is likely to prevail in the short term. It is likely
that margins for sub contractors will continue to be eroded due to
increased competitiveness.
With regard to the trends emerging from the first six months of
2009 it is noted that Dublin continues to account for the majority
of failures. Some 312 or 43% of all failures in the period took
place in the capital in contrast to 76 or (43%) in 2007 and 143
(46%) in 2008.
Significant increases in the number of failures in Cork (26 in
2008 as opposed to 63 in 2009); Galway (16 in 2008 as opposed to
49 in 2009); Limerick (13 in 2008 as opposed to 51 in 2009) and
Kildare (13 in 2008 with 38 in 2009) should be noted.
Notable trends in the industry sectors, in which the failures have
occurred, include the significant increase in failures in the
hospitality sector such as pubs, restaurants and suppliers to the
industry where 111 collapses occurred or 15% of the total. This
compares with 42 failures in the sector in the same period in
2008.
Other notable sectors in which failures occurred were professional
services (42), retail (51) of which 20 were recorded in the
clothing retail area and home furnishings / interior design (81).
In addition the motor industry experienced a dramatic increase in
failures from 4 in 2008 to 49 in 2009.
A significant increase in the number of receiverships was recorded
in the first six months of 2009 when compared with the same period
in 2008. Between January and June 2009 financial institutions /
debenture holders appointed receivers to 79 businesses as opposed
to a mere 23 in the same period in 2008. The majority of these
receivership appointments have occurred in the construction /
development and hospitality sectors.
The utilization of the examinership process has also increased in
the first half of 2009. A total of 58 companies had examiners
appointed to them in the first six months of 2009 as opposed to 16
in the same period in 2008.
It would appear that there is now a greater awareness and appetite
amongst distressed and ailing businesses to look at restructuring
options, in particular examinerships as a credible alternative to
the traditional liquidation or receivership process. However this
must be measured against the recent comments from Justice Peter
Kelly regarding the number of companies that do not successfully
come through the process.
FSG anticipates that the numbers of receiverships and
examinerships will continue to increase throughout 2009.
FGS -- http://www.fgspartnership.com/-- is a financial advisory
firm, with offices in Dublin, Belfast and Longford. It provides
financial advisory services to business owners, public bodies and
high net worth individuals in Ireland.
===================
K A Z A K H S T A N
===================
ALAKON JSC: Creditors Must File Claims by July 17
-------------------------------------------------
Creditors of JSC Alakon have until July 17, 2009, to submit proofs
of claim to:
Kazybek bi Str. 50
Almaty
Kazakhstan
The Specialized Inter-Regional Economic Court of Almaty commenced
bankruptcy proceedings against the company on May 4, 2009, after
finding it insolvent.
The Court is located at:
The Specialized Inter-Regional
Economic Court of Almaty
Baizakov Str. 273b
Almaty
Kazakhstan
CITY KZ: Creditors Must File Claims by July 17
----------------------------------------------
Creditors of LLP City KZ Stroy have until July 17, 2009, to submit
proofs of claim to:
The Specialized Inter-Regional
Economic Court of Almaty
Baizakov Str. 273b
Almaty
Kazakhstan
The Specialized Inter-Regional Economic Court of Almaty commenced
bankruptcy proceedings against the company on April 29, 2009.
ENERGO DETAIL: Creditors Must File Claims by July 17
----------------------------------------------------
Creditors of LLP Energo Detail have until July 17, 2009, to submit
proofs of claim to:
Jambyl Str. 9
Karaganda
Karaganda
Kazakhstan
The Specialized Inter-Regional Economic Court of Karaganda
commenced bankruptcy proceedings against the company on April 6,
2009, after finding it insolvent.
The Court is located at:
The Specialized Inter-Regional
Economic Court of Karaganda
Alalykin Str. 9
Karaganda
Kazakhstan
UK STROY: Creditors Must File Claims by July 17
-----------------------------------------------
Creditors of LLP UK Stroy Snub have until July 17, 2009. to submit
proofs of claim to:
The Specialized Inter-Regional
Economic Court of East Kazakhstan
Bajov Str. 2
070000 Ust-Kamenogorsk
East Kazakhstan
Kazakhstan
The Specialized Inter-Regional Economic Court of East Kazakhstan
commenced bankruptcy proceedings against the company on April 20,
2009.
VOSTOK TSEM: Creditors Must File Claims by July 17
--------------------------------------------------
Creditors of LLP Vostok Tsem Service have until July 17, 2009, to
submit proofs of claim to:
Bajov Str. 2
070000 Ust-Kamenogorsk
East Kazakhstan
Kazakhstan
The Specialized Inter-Regional Economic Court of East Kazakhstan
commenced bankruptcy proceedings against the company on April 20,
2009.
The Court is located at:
The Specialized Inter-Regional
Economic Court of East Kazakhstan
Bajov Str. 2
070000 Ust-Kamenogorsk
East Kazakhstan
Kazakhstan
===================
K Y R G Y Z S T A N
===================
DDD TRADE: Creditors Must File Claims by July 24
------------------------------------------------
LLP DDD Trade is currently undergoing liquidation. Creditors have
until July 24, 2009, to submit proofs of claim to:
Inquiries can be addressed to (+996 312) 29-41-07
===================
L U X E M B O U R G
===================
BREEZE FINANCE: Moody's Reviews 'Ba1'-Rated Class B Notes
---------------------------------------------------------
Moody's Investors Service has placed on review for possible
downgrade the ratings of two classes of notes issued by Breeze
Finance S.A.
-- EUR287,000,000 4.524 percent Class A Guaranteed Secured Bonds
due 2027, current rating Baa2
-- EUR84,000,000 6.708 percent Class B Guaranteed Secured Bonds
due 2027, current rating Ba1
The review is prompted by worse than expected wind flow in the
winter months of 2008 - 2009 coupled with the poor technical
performance of several wind farms. The combination of poor
availability and low wind resulted in a decrease in energy
production of approximately 20% from the same period last year.
The poor technical performance detailed in the Turbine Generation
Overview published in May 2009 is mainly attributed to a serial
defect in 10 Nordex turbines that required replacement in late
2008. There are also concerns over the structural integrity of
the foundations of 17 Vestas turbines. Whilst there is no damage
to the foundations to date, there is an increased risk that over
time this could manifest itself. Both issues raise concerns over
the long term technical reliability of the projects in the
portfolio.
Wind flow has been approximately 30% lower than expected in the
winter months. This has left Breeze Finance in a highly
constrained liquidity position. However, even if current
conditions prevail it should not be necessary to draw on the Debt
Service Reserve Account in order to pay the Class A Bonds in
October. In respect of the Class B Bonds, it is likely that a
portion of the scheduled payments will be met by drawing the Debt
Service Reserve Account. Moody's notes that wind resource has
improved recently with the figures for May showing wind index
levels 14% above expectations.
In Moody's view, the long term persistence of the 2009 wind
conditions would not, in and of itself, result in losses to the
Class A Bonds. However, under this scenario the transaction is
highly sensitive to technical problems with the turbines and any
significant deterioration in availability would impact the Class A
Bonds.
Moody's notes that the natural cycles in the wind regime and the
relatively long-term nature of the transaction would imply that it
is too early to conclude on the long-term average wind production
based on one particular below average wind year. However, the
Class A Bonds are exposed to annual vagaries of wind energy rather
than the long term mean due to the non deferrable nature of the
scheduled amounts due to the Class A investors. As a result, if
there is a single extremely poor wind year, the Class A Bonds
could experience an event of default.
In contrast, the Class B Bonds are structured with deferrable
payments and, as such, are exposed more to the long term wind
resource level. This is reflected in the pure expected loss
nature of the rating assigned to these bonds.
Moody's last rating action on Breeze Finance S.A. was on 18
February 2009, when the ratings on the Class A Bonds were
downgraded to Baa2 from Baa1 due to the downgrade of MBIA.
Moody's ratings address only the credit risks associated with the
transaction, other non-credit risks have not been addressed, but
may have significant effect on yield to investors. Moody's
ratings are subject to revision, suspension or withdrawal at any
time at Moody's absolute discretion. The ratings are expressions
of opinion and not recommendations to purchase, sell or hold
securities.
The rating is published. Moody's will publicly disseminate any
change in the ratings through normal print and electronic media,
and in response to requests to the Moody's rating desk, in
accordance with Moody's standard practice at the time.
=====================
N E T H E R L A N D S
=====================
HYDE PARK: Moody's Junks Rating on Class E Notes From 'B3'
----------------------------------------------------------
Moody's Investors Service has downgraded its ratings of five
classes of notes and confirmed the rating of one class of notes
issued by Hyde Park CDO B.V. Given that Hyde Park is a relatively
well-performing CLO, the senior-most tranches remain Aaa.
This transaction is a managed cash leveraged loan collateralized
loan obligation with exposure to predominantly European senior
secured loans, as well as some mezzanine loans, second lien loans,
and exposure to non-Euro issuers with individual asset swaps.
The rating actions reflect Moody's revised assumptions with
respect to default probability and the calculation of the
Diversity Score as described in the press release dated
February 4, 2009, titled "Moody's updates key assumptions for
rating CLOs." These revised assumptions have been applied to all
corporate credits in the underlying portfolio. The revised
assumptions for the treatment of ratings on "Review for Possible
Downgrade", "Review for Possible Upgrade", or with a "Negative
Outlook" have been applied to those corporate credits that are
publicly rated.
Moody's also notes that a material proportion of the collateral
pool consists of debt obligations whose credit quality has been
assessed through Moody's credit estimates. As credit estimates do
not carry credit indicators such as ratings reviews and outlooks,
a stress of a quarter notch-equivalent assumed downgrade was
applied to each of these estimates.
According to Moody's, the rating actions taken on the notes are
also a result of credit deterioration of the underlying portfolio.
This is observed in, among other measures as per the trustee
report dated June 3, 2009, a decline in the average credit rating
as measured through the weighted average rating factor (2679)
breaching the collateral quality test, and an increase in the
proportion of securities from issuers rated Caa1 and below (8.8%
of the portfolio).
In addition to the quantitative factors that are explicitly
modeled, qualitative factors are part of the rating committee
considerations. These qualitative factors include the structural
protections in each transaction, the recent deal performance in
the current market environment, the legal environment, specific
documentation features, the collateral manager's track record, and
the potential for selection bias in the portfolio.
Moody's initially analyzed and continues to monitor this
transaction using primarily the methodology and its supplements
for cash flow CLOs as described in the Moody's Special Report
below, and as updated from time to time:
-- Moody's Approach to Rating Collateralized Loan Obligations
(December 2008)
The rating actions are:
Hyde Park CBO B.V.:
(1) EUR29,500,000 Class B-1 Senior Secured Floating Rate Notes due
2022
-- Current Rating: A2
-- Prior Rating: Aa2, on review for possible downgrade
-- Prior Rating Date: 4 March 2009, Aa2 placed under review for
possible downgrade
(2) EUR14,000,000 Class B-2 Senior Secured Fixed Rate Notes due
2022
-- Current Rating: A2
-- Prior Rating: Aa2, on review for possible downgrade
-- Prior Rating Date: 4 March 2009, Aa2 placed under review for
possible downgrade
(3) EUR42,500,000 Class C Senior Secured Deferrable Floating Rate
Notes due 2022
-- Current Rating: Ba1, confirmed
-- Prior Rating: Ba1, on review for possible downgrade
-- Prior Rating Date: 19 March 2009, downgraded to Ba1 from A3,
and remains under review for possible downgrade
(4) EUR20,000,000 Class D Senior Secured Deferrable Floating Rate
Notes due 2022
-- Current Rating: B2
-- Prior Rating: B1, on review for possible downgrade
-- Prior Rating Date: 19 March 2009, downgraded to B1 from Baa3,
and remains under review for possible downgrade
(5) EUR11,500,000 Class E Senior Secured Deferrable Floating Rate
Notes due 2022
-- Current Rating: Caa2
-- Prior Rating: B3, on review for possible downgrade
-- Prior Rating Date: 19 March 2009, downgraded to B3 from Ba2,
and remains under review for possible downgrade
(6) EUR21,900,000 Class T Combination Notes due 2022
-- Current Rating: A3
-- Prior Rating: Aa3, on review for possible downgrade
-- Prior Rating Date: 4 March 2009, Aa3 placed under review for
possible downgrade
SOUND I: Moody's Lowers Rating on Class D Notes to 'Ba1'
--------------------------------------------------------
Moody's Investors Service has downgraded the ratings of the senior
class and 3 junior classes issued by Sound I B.V. The classes of
notes affected by the rating actions are:
-- Class A, Downgraded to Aa1; previously on 17 March 2009 Aaa on
review for possible downgrade;
-- Class B, Downgraded to A2; previously on 17 March 2009 Aa3 on
review for possible downgrade;
-- Class C, Downgraded to Baa2; previously on 17 March 2009 A2 on
review for possible downgrade;
-- Class D, Downgraded to Ba1; previously on 17 March 2009 Baa2
on review for possible downgrade; and
-- Class E, Confirmed at Ba2; previously on 17 March 2009 Ba2 on
review for possible downgrade.
As outlined in the methodology update published on March 17, 2009,
the refinements to Moody's MILAN model for mortgages with a
guarantee under the "Nationale Hypotheek Guarantie" result in
higher required credit enhancement levels for Dutch RMBS pools
backed by NHG mortgage loans. Sound I is one of the transactions
flagged by Moody's and all classes of notes were placed on review
for possible downgrade on 17 March 2009. The actions conclude a
detailed review of the transaction.
Sound I closed in October 2005 and its current pool factor is
59.2%. The total credit enhancement, in the form of subordination,
under the Class A notes is currently 2.02% (initially 1.20%). The
transaction does not have the benefit of a reserve fund and there
are no principal deficiency ledgers. As of the May 2009 reporting
date, 2.0% of current portfolio balance was reported delinquent.
The 60+ delinquencies represent 0.37% of CB. The cumulative
realised losses for the transaction since close were EUR124,316 or
approximately 0.01% of the original portfolio balance. The Class
F notes have been reduced with these losses. The transaction is
performing in line with Moody's expectations.
Milan And Portfolio Expected Loss
Following the methodology update, Moody's has assessed updated
loan-by-loan information of the outstanding portfolio to determine
the increase in credit support needed for a Aaa-rated senior note
and the volatility of future losses. The original loan-to-
foreclosure value of the portfolio is 110.4% and the current loan-
to-foreclosure value is 108.3%. The proportion of interest only
loans is 34.68%. Furthermore, 64.60% of the portfolio is interest
only with separate repayment structures either in the form of a
savings insurance policy (14.35%) or in the form of a life
insurance policy or investment account (48.26% and 2.06%
respectively).
Besides updated loan-by-loan information, Moody's received loan-
by-loan data on claims made to WEW under the NHG guarantee. The
average pay-out ratio of these claims was better than the average
Moody's observes in the Dutch market and did not result in an
increase for the rescission rate assumption in the MILAN
modelling. As a consequence of the updated modelling approach and
based on the current pool composition and additional information
Moody's received, Moody's has revised its MILAN Aaa CE to 2.6%
from a range of 0.6% to 0.8% at closing. Moody's expected loss
assumption is 0.13% as of original portfolio balance.
Set-Off
Moody's was provided with loan-by-loan information on insurance
companies linked to loan parts. Based on this data, Moody's was
able to construct a distribution of insurance companies. Moody's
used this distribution of insurance companies and the linked
current balances of the loan parts in a Monte Carlo simulation
simulating the defaults of the insurance companies, resulting in
losses for the transaction due to set-off. Moody's notes that
losses due to set-off are not included in the realized loss
definition. Moody's therefore assumed in its cash flow model that
set-off losses would crystallize at the end of the transaction.
Besides using the outcome of the Monte Carlo simulation in the
cash flow model, Moody's also focussed on the proportion of loan
parts linked to unrated insurance companies in comparison to the
available credit enhancement under the Class A notes. 4.09% of
current balance is linked to unrated insurance companies. Moody's
assumes that the value of the policies linked to this proportion
of the pool builds up over time, ultimately to 4.09% of the
outstanding balance. Over time, Moody's also expects that the
credit enhancement under the Class A notes will increase. Moody's
is comfortable assigning Aa1 to the Class A notes given the
current proportion of loans linked to unrated insurance companies
compared to the available credit enhancement under the Class A
notes.
Moody's ratings address the expected loss posed to investors by
the legal final maturity of the notes. Moody's ratings address
only the credit risks associated with the transaction. Other
risks have not been addressed, but may have a significant effect
on yield to investors.
===========
P O L A N D
===========
ZLOMREX SA: Moody's Puts 'Caa3/LD' Probability of Default Rating
----------------------------------------------------------------
Moody's Investors Service assigned a Caa3/LD probability of
default rating to Zlomrex SA following the company's recent
disclosure that it repurchased EUR20 million face value of its
senior secured notes issued by Zlomrex International Finance at
substantial discounts to par after a number of buy-backs which had
been conducted at the end of 2008 and beginning of 2009, bringing
the total face amount of bonds bought back to EUR43 million. The
open market transactions, considered together, constitute a
distressed exchange and a limited default by Moody's definition.
The LD designation signifies a limited default and also
incorporates Moody's expectation of additional open market
transactions at substantial discounts to par over the next twelve
months. Moody's expects to remove the LD designation after
approximately three business days.
At the same time Moody's has affirmed the Caa3 corporate family
rating with a negative outlook.
The rating of the bonds remains at Ca which is in line with
Moody's LGD (loss given default) methodology and implies a
somewhat higher recovery rate going forward than the around 20%
rate at which the last bond buy backs have been conducted.
Moody's notes that these transactions help Zlomrex reducing its
overall debt load and reduce the repayment risk at the time when
the bond comes due. It does, however, not solve the immediate
liquidity and performance pressure which the company is facing due
to a high amount of short term debt and the company's reliance on
the willingness of its banks to extend maturing credit lines and
the very weak operating performance during the last couple of
months. Therefore, despite the considerable reduction of overall
indebtedness, Moody's continues to view Zlomrex' credit risk
relatively high reflected in the Caa3 corporate family rating.
Adjustment:
Issuer: Zlomrex S.A.
-- Probability of Default Rating, Adjusted to Caa3/LD from Caa3
Moody's last rating action on Zlomrex was to downgrade its
corporate family rating to Caa3 on 16 June 2009.
Headquartered in Poraj, Poland, Zlomrex SA is the largest trade of
steel scrap and among the leading producers and distributors of
high grade long steel products in its domestic market. Founded in
1990 as a pure scrap trader, the company has transformed itself
into a fully integrated producer of steel products through a range
of acquisitions mainly in the long steel production and
distribution business. Zlomrex SA is privately owned; 100% of the
company's shares are held by its founder Mr. Przemyslaw
Sztuczkowski.
===========
R U S S I A
===========
KRASAIR: Declared Bankrupt by East Siberian Court
-------------------------------------------------
RIA Novosti reports that an East Siberian court of arbitration has
declared Russian airline KrasAir bankrupt.
RIA Novosti relates Valentina Bezrukikh, a court spokeswoman, said
bankruptcy proceedings have already been initiated.
RIA Novosti discloses the Ilyushin Finance aircraft leasing
company filed a bankruptcy petition against KrasAir at the
Krasnoyarsk Territory's court of arbitration over the airline's
debt of RUR92 million (US$2.9 million) for the rental of three
planes.
RIA Novosti recalls the airline, which has about 2,500 employees,
ceased operations last October over a liquidity crisis. It has
wage arrears estimated at RUR340 million (US$10 million), RIA
Novosti says.
KrasAir -- http://www.krasair.ru/-- is a Russian international
scheduled service airline based in Krasnoyarsk and part of the
AirUnion alliance.
NATIONAL MORTGAGE: Moody's Assigns 'Ba1' Rating on Class B Notes
----------------------------------------------------------------
Moody's Investors Service has assigned definitive long-term credit
ratings to Notes issued by National Mortgage Agent VTB 001:
-- A3 to the RUB9,990,697,000 Class A Residential Mortgage
Backed Variable Rate Notes 2009 due 2039;
-- Ba1 to the RUB2,027,098,000 Class B Residential Mortgage
Backed Variable Rate Notes 2009 due 2039;
Moody's did not assign ratings to the Class C Notes.
This transaction represents the second securitization of Russian
residential mortgage loans originated by VTB24 and has been
arranged by JSC VTB Bank.
Closed Joint Stock Company "National Mortgage Agent VTB 001",
which is incorporated under the laws of the Russian Federation,
has issued three classes of Russian Ruble denominated notes to
refinance the purchase of a portfolio of Mortgage Certificates
(zakladnaya) with rights to receivables arising from Russian Ruble
denominated mortgage loans originated by VTB24 in 62 regions of
the Russian Federation. The portfolio will be serviced by VTB24.
The transfer of Mortgage Certificates (zakladnaya) and all
transaction documents are governed by Russian law.
The Mortgage Agent operates under the legislation of the Russian
Federation, and in particular Federal Law No. 152-FZ of 11
November 2003 "On Mortgage Backed Securities", as amended. The
entire issued share capital is held by Stichting National Mortgage
Agent VTB 001-1 and Stichting National Mortgage Agent VTB 001-2.
The ratings of the notes are based inter alia on (i) favorable
pool characteristics such as the moderate weighted average LTV of
49.7%, and low weighted average loan size (ii) credit enhancement
provided by subordination, excess spread and non-amortizing
Special Reserve, (iii) high credit quality of the transaction
parties, in particular VTB24 (long term senior unsecured rating of
Baa1), which make adverse scenarios less likely, (iv) non-
amortizing Commingling Reserve in the amount of RUB 524.1 million,
and (v) non-amortizing Legal Reserve in the amount of
RUB25.8 million. VTB24 performs various roles such as servicer
and collection account bank. In addition, the custodial services
are provided by ZAO ODK -- a subsidiary of VTB, which is the
parent company of VTB24. This exposes the Notes to the credit of
VTB Group: all things being equal, a downgrade of VTB24 current
rating will lead to a downgrade of the Notes.
The pool consists of fixed rate loans, denominated in Rubles and
secured by mortgages on 11,575 residential properties located
throughout the Russian Federation. A significant share of the
properties is originated in these regions: Moscow and Moscow
Region (18.6%), St. Petersburg (6.3%), Kemerovo Region (5.8%),
Tyumen Region (4.4%), Novosibirsk Region (4.3%), Sverdlovsk Region
(4.0%), Republic of Altai (3. 6%), and Republic of Bashkortostan
(3.5%). The non-amortizing Special Reserve of RUB 289.6 million
(2.0% of Note issuance) was fully funded at closing.
The key parameters used by Moody's to calibrate the loss
distribution curve are (i) Milan CE of 14.2%, and (ii) Expected
Loss of 4.0%.
On April 20, 2009, Moody's published a report introducing
Volatility Scores and Parameter Sensitivities for the major EMEA
RMBS sectors. Moody's V Scores provide a relative assessment of
the quality of available credit information and the potential
variability around the various inputs to a rating determination.
The V Score ranks transactions by the potential for significant
rating changes owing to uncertainty around the assumptions due to
data quality, historical performance, the level of disclosure,
transaction complexity, the modeling and the transaction
governance that underlie the ratings. V Scores apply to the
entire transaction (rather than individual tranches).
The V Score for this transaction is High, which is in line with
the V Score assigned for the Russian RMBS sector. Additionally,
the four broad components underlying the V Score have each been
assessed High or Medium/High assumption uncertainty for the
National Mortgage Agent VTB 001, which are also the same
assessments for the Russian RMBS sector.
Parameter Sensitivities provide a quantitative, model-indicated
calculation of the number of notches that a Moody's-rated
structured finance security may vary if certain input parameters
used in the initial rating process differed. The analysis assumes
that the deal has not aged. It is not intended to measure how the
rating of the security might migrate over time, but rather, how
the initial rating of the security might differ as certain key
parameters vary.
In rating the Notes, the historical loss data, VTB24's
underwriting criteria and servicing procedures, economic and legal
environment, as well as portfolio characteristics and the loan-by-
loan data, and certain other inputs are used to calculate the
median expected loss and the MILAN CE level, which in turn are the
two inputs used to determine a new lognormal loss distribution.
New lognormal loss distributions were calculated by assuming these
three expected loss and MILAN CE combinations: (1) 4.5%/17.0%, (2)
5.5%/19.9% and (3) 7.5%/22.7% from the base case of 4.0%/14.2%.
The quantitative/model indicated Parameter Sensitivities for the
Class A Notes under these three additional scenarios are: zero
notches (i.e. the rating remains at A3 level), zero notches, and
one notch (i.e. to Baa1 from A3) respectively. Whereas for Class
B the Parameter Sensitivities are: one notch, two notches and four
notches respectively.
The definitive ratings address the expected loss posed to
investors by the legal final maturity. Moody's ratings address
only the credit risks associated with the transaction. Other
non-credit risks have not been addressed, but may have a
significant effect on yield to investors.
=====================
S W I T Z E R L A N D
=====================
CLARIANT AG: Moody's Assigns 'Ba1' Rating on Senior Unsec. Notes
----------------------------------------------------------------
Moody's assigned Ba1 / LGD 4 (54) rating to CHF300 million senior
unsecured convertible notes issued by Clariant AG. The outlook is
stable.
The new instrument will, in Moody's view, have debt-like features
that underpin its basket "A" treatment, i.e. 100% debt for
financial leverage purposes. The basket allocation is based on
these rankings for the three dimensions of equity: (a) 5 year
maturity and absence of mandatory conversion mechanism; (b) no
option to defer on-going interest payment that will be made in
cash; as well as (c) senior unsecured claim in an event of
bankruptcy.
The Ba1 / LGD 4 (54) ratings on the company's 2012 and 2013 notes
and the convertible bond remain at the level of the issuer rating
reflecting absence of secured liabilities, while the terms of the
new notes include the negative pledge provision relating to the
company's capital market indebtedness only. Moody's notes that
Clariant maintains some CHF261 million in senior unsecured loans
raised by operating subsidiaries to fund local operations.
The stable outlook on the Ba1 ratings reflects some headroom at
this level to accommodate weakening in the operating performance
over the medium term as the company continues to implement the
broad restructuring programme. Furthermore, the stable outlook
continues to reflect the successful and proactive management of
the liquidity position. Moody's notes that proceeds from the
CHF300 million in convertible notes raised in 3Q 2009 should
further support the liquidity position of the company and help
meet the substantial restructuring costs anticipated in 2009/2010.
Moody's furthermore notes that delays in the implementation and a
timely conclusion of the restructuring efforts or further
deterioration in the operating environment from the current
depressed levels may lead to a change in the stable outlook.
Clariant's liquidity position is supported by CHF438 million in
cash balances at the end of March 2009, strong WC inflows in 1Q of
2009 and availability under the WC facility that remains undrawn.
Moody's notes that proceeds from CHF300 million in convertible
notes raised in 3Q 2009 should further support the liquidity
position of the company during the restructuring phase. In 2008,
the company has refinanced its shorter-term maturities and has
only limited refinancing needs until 2011.
Moody's last rating action on Clariant was on March 3, 2009, when
the rating agency downgraded the ratings of Clariant AG rating by
one notch to Ba1 and assigned a stable outlook on the ratings.
Headquartered in Muttenz, Switzerland, Clariant AG is a leading
international specialty chemicals group. In the fiscal year ended
in December 2008, Clariant reported net revenues of
CHF8.1 billion.
=============
U K R A I N E
=============
BUSINESS-MASTER SERVICE: Creditors Must File Claims by July 11
--------------------------------------------------------------
Creditors of LLC Business-Master Service (code EDRPOU 33831522)
have until July 11, 2009, to submit proofs of claim to:
S. Kruglikov
Insolvency Manager
Polevaya Str. 39
Kiev
Ukraine
The Economic Court of Kiev commenced bankruptcy proceedings
against the company on May 26, 2009. The case is docketed under
Case No. 44/218-b.
The Court is located at:
The Economic Court of Kiev
B. Hmelnitskiy Str. 44-b
01030 Kiev
Ukraine
The Debtor can be reached at:
LLC Business-Master Service
Office 22
Mechnikov Str. 8
Kiev
Ukraine
INSTALLATION BUILDING: Bankruptcy Supervision Procedure Opened
--------------------------------------------------------------
The Economic Court of Lvov commenced bankruptcy supervision
procedure on CJSC Installation Building Connection (code EDRPOU
22361371). The the company's insolvency manager is V. Ratushniak.
The Court is located at:
The Economic Court of Lvov
Lichakovskaya Str. 128
79010 Lvov
Ukraine
The Debtor can be reached at:
CJSC Installation Building Connection
Mir Str. 20
Razdel
Nikolayev
81650 Lvov
Ukraine
OBOLON COMMON: Creditors Must File Claims by July 11
----------------------------------------------------
Creditors of Common Agricultural Enterprise Obolon (code EDRPOU
23582482) have until July 11, 2009, to submit proofs of claim to:
Brovary Basic Regional Job Center
Insolvency Manager
Kirov Str. 92
Brovary
07401 Kiev
Ukraine
The Economic Court of Kiev commenced bankruptcy proceedings
against the company on April 14, 2009. The case is docketed under
Case No. B3/082-09.
The Court is located at:
The Economic Court of Kiev
Komintern Str. 16
01032 Kiev
Ukraine
The Debtor can be reached at:
Common Agricultural Enterprise Obolon
October Str. 85
Gogolev
Brovary District
Kiev
Ukraine
PANAKEYA LLC: Creditors Must File Claims by July 11
----------------------------------------------------
Creditors of LLC Panakeya (code EDRPOU 30994094) have until
July 11, 2009, to submit proofs of claim to:
I. Boliak
Insolvency Manager
Office 8
Strimka Str. 4
Lvov
Ukraine
The Economic Court of Lvov commenced bankruptcy proceedings
against the company on June 2,2009. The case is docketed under
Case No. 33/7.
The Court is located at:
The Economic Court of Lvov
Lichakovskaya Str. 128
79010 Lvov
Ukraine
The Debtor can be reached at:
LLC Panakeya
Morshyn Str. 2
79044 Lvov
Ukraine
SHEVCHENKO AGRICULTURAL: Creditors Must File Claims by July 11
--------------------------------------------------------------
Creditors of LLC Shevchenko Agricultural Enterprise (code EDRPOU
31945535) have until July 11, 2009, to submit proofs of claim to:
Brovary Basic Regional Job Center
Insolvency Manager
Kirov Str. 92
Brovary
07401 Kiev
Ukraine
The Economic Court of Kiev commenced bankruptcy proceedings
against the company on April 14, 2009. The case is docketed under
Case No. B3/081-09.
The Court is located at:
The Economic Court of Kiev
Komintern Str. 16
01032 Kiev
Ukraine
The Debtor can be reached at:
LLC Shevchenko Agricultural Enterprise
Brovary Str. 1
Bolshaya Dymerka
Brovary
Kiev
Ukraine
===========================
U N I T E D K I N G D O M
===========================
ANTARCTICA CFO: Moody's Affirms Junk Ratings on 4 Classes of Notes
------------------------------------------------------------------
Moody's Investors Service has confirmed its ratings of five
classes of notes issued by Antarctica CFO I Limited.
Originally rated on the July 30, 2007, Antarctica CFO I Limited
is a collateralized fund obligation backed by equity interest in a
diversified fund of hedge funds. Pending vote of the Noteholders
of the controlling class, a breach in a test due to the recent
market dislocation is likely to trigger the change in the priority
of payments and force the liquidation of the transaction. The
proceeds of this forced liquidation are expected to represent more
than 25% of the capital structure at the end of the period.
The latest determined net asset value was EUR258 Million (+2%
since latest rating action). The required decline in NAV leading
to losses is (from the senior to junior notes list below): 35%,
23%, 12%, 2% and 0%.
The ratings are confirmed to their current levels because the
uncertainty associated with the previously anticipated credit
deterioration has been reduced and the transaction is in the
process of unwinding.
Moody's initially analyzed and continues to monitor this
transaction using primarily the methodology as described in
Moody's Special Report below:
-- Moody's Approach to Rating Collateralized Funds of Hedge Fund
Obligations (2003)
The rating actions are:
Antarctica CFO I Limited:
(1) Class A EUR175,500,000 Floating Rate Notes Due 2014
-- Current Rating: A2
-- Prior Rating: A2, on review for possible downgrade
-- Prior Rating Date: 22 December 2008, downgraded and placed
under review for possible downgrade
(2) Class B EUR29,250,000 Deferrable Floating Rate Notes Due 2014
-- Current Rating: Ba3
-- Prior Rating: Ba3, on review for possible downgrade
-- Prior Rating Date: 28 January 2009, downgraded and placed
under review for possible downgrade
(3) Class C EUR29,250,000 Deferrable Floating Rate Notes Due 2014
-- Current Rating: Caa2
-- Prior Rating: Caa2, on review for possible downgrade
-- Prior Rating Date: 28 January 2009, downgraded and placed
under review for possible downgrade
(4) Class D EUR26,000,000 Deferrable Floating Rate Notes Due 2014
-- Current Rating: Ca
-- Prior Rating: Ca, on review for possible downgrade
-- Prior Rating Date: 10 December 2008, downgraded and placed
under review for possible downgrade
(5) Class E EUR4,420,000 Deferrable Floating Rate Notes Due 2014
-- Current Rating: Ca
-- Prior Rating: Ca, on review for possible downgrade
-- Prior Rating Date: 10 December 2008, downgraded and placed
under review for possible downgrade
BRITISH AIRWAYS: Workers Turn Down Cost-Cutting Proposals
---------------------------------------------------------
BBC News reports that British Airways plc's cabin crew workers
rejected the airline's proposals to reduce costs by cutting jobs
and freezing pay.
BBC News says workers instead backed a union plan, which officials
said could save between GBP100 million and GBP130 million.
According to BBC News, the union Unite said it was prepared to
consider a two-year freeze on pay.
BBC News recalls the company, which seeks to cut costs after
reporting a record annual loss of GBP401 million in May, had set a
deadline of June 30 to reach a deal on about 3,500 job cuts, a pay
freeze and other changes, but no agreement was made.
BBC News discloses conciliation service Acas will chair a meeting
between BA and unions today, July 8, to try to reach an agreement.
As reported in the Troubled Company Reporter-Europe on July 3,
2009, Dow Jones Newswires said that Britain's Unite union could
strike if the airline tries to impose permanent wage freezes and
changes to work practices.
About British Airways
Headquartered in Harmondsworth, England, British Airways Plc
(LON:BAY) -- http://www.ba.com/-- is engaged in the operation of
international and domestic scheduled air services for the carriage
of passengers, freight and mail, and the provision of ancillary
services. The Company's principal place of business is Heathrow.
The Company also operates a worldwide air cargo business with its
scheduled passenger services. The Company operates international
scheduled airline route networks, comprising some 300 destinations
at March 31, 2008. During the fiscal year ended March 31, 2008
(fiscal 2008), British Airways carried more than 33 million
passengers. It carried 805,000 tons of cargo to destinations in
Europe, the Americas and worldwide. At March 31, 2008, it had 245
aircraft in service. In July 2008, British Airways plc completed
the purchase of French airline L'Avion.
* * *
As reported in the Troubled Company Reporter-Europe on March 10,
2009, Standard & Poor's Ratings Services said that it lowered its
long-term corporate credit rating on U.K.-based British Airways
PLC to 'BB+' from 'BBB-'. At the same time, the rating remains on
CreditWatch with negative implications, where it was originally
placed on Jan. 27, 2009.
On Feb. 13, 2009, the TCR-Europe reported Moody's lowered the
Corporate Family Rating of British Airways plc ('BA', or 'the
company') to Ba1, and assigned a Probability of Default Rating of
Ba1; the senior unsecured and subordinate ratings have been
lowered to Ba2 and Ba3, respectively. The ratings remain under
review for possible downgrade.
CATTLES PLC: Fails to Pay Interest Payment on GBP400-Mil. Bond
--------------------------------------------------------------
Adam Jones at The Financial Times reports that Cattles plc
defaulted on an interest payment due to its bondholders on Sunday,
July 5.
The FT relates that, in a market statement on Monday, Cattles said
that holders of about GBP400 million (US$650 million) of a 7.125
per cent bond due for repayment in 2017 had not received the
interest payment due on July 5.
Cattles, as cited by FT, said it continues to be in "constructive
discussions" with its finance providers.
Debt-Holder Dispute
According to the FT, discussions over a standstill agreement have
been hampered by disagreements among debtholders over who would
rank highest in payment priority if Cattles went into
administration. The FT says if no resolution is forthcoming in
the next few weeks, then Cattles is expected to fall into
administration and the debt-holder dispute is likely to go to
court.
Cattles plc -- http://www.cattles.co.uk/-- is a financial
services company specializing in providing consumer credit to non-
standard customers in United Kingdom. The Company also provides
debt recovery services to external clients and its consumer credit
business, and working capital finance for small- and medium-sized
businesses. It also has a car retail operation, which is an
introducer of hire purchase customers to its consumer credit
business. Its business divisions include Welcome Financial
Services, The Lewis Group and Cattles Invoice Finance. Welcome
Financial Services consists of three businesses: Welcome Finance,
Shopacheck and Welcome Car Finance. Shopacheck provides short-
term home collected loans to some 260,000 customers through 52
branches. The Lewis Group provides debt recovery and
investigation services, serving both external clients and Welcome
Financial Services. In September 2007, it announced the
acquisition of a debt portfolio of United Kingdom credit card,
loan and overdraft receivables.
CENTURY LITHO: Goes Into Administration; 60 Jobs Affected
---------------------------------------------------------
Adam Hooker at printweek.com reports that Cornwall-based printer
Century Litho (Truro) Ltd. has gone into administration, resulting
in the loss of 60 jobs.
The report relates administrators Greg Palfrey and Steve Adshead
of insolvency practitioner Smith & Williamson were appointed to
the Redruth-based company, which traded under the Century Print
brand, on June 29. "Our appointment followed several days of
intense negotiations to find a buyer for some or all of the
businesses. While there was some interest, all parties ultimately
withdrew," the report quoted Mr. Palfrey as saying. "Measures
have been taken to support the staff in making rapid claims to the
National Insurance Fund, which will pay former staff some of the
entitlements that the company cannot. We would welcome any
further expressions of interest in the business and assets."
The GBP3 million-turnover business has ceased trading, the report
notes.
CHARISMA COLOUR: Liquidator to Be Appointed on July 14
------------------------------------------------------
Adam Hooker at printweek.com reports that Charisma Colour Print
Ltd/ is expected to be put liquidation after being hit by the
increase in online advertising.
According to the report, the company is in talks with insolvency
practitioner O'Hara & Co, which is expected to be named as
liquidator at a meeting of creditors on Tuesday, July 14.
The report relates the company ceased trading Monday last week,
resulting in the loss of about 20 jobs.
Based in Sheffield, Charisma Colour Print Ltd is a print and
mailing company.
DEVELOPERS WATCHWORD: Goes Into Administration
----------------------------------------------
Gareth McPherson at Maidenhead Advertiser Online reports that
Developers Watchword Ltd. has gone into administration, putting a
plan to resurrect the famous Skindles hotel in Taplow under
threat.
The report relates Malcolm Cohen and Shay Bannon, of BDO Stoy
Hayward LLP, were appointed as administrators of the company,
which bought the Taplow site in 2006 for GBP30.25 million, in the
High Court on June 23.
EPIC PLC: Moody's Downgrades Ratings on Class A Notes to 'Ba3'
--------------------------------------------------------------
Moody's Investors Service has downgraded and placed on review for
possible further downgrade the Class A Notes issued by Epic
(Industrious) plc (amount reflects initial outstandings):
-- GBP309,560,000 Class A Floating-Rate Notes due 2014 downgraded
to Ba3 from A3; previously downgraded to A3 from Aa2 on 6
March 2009.
Moody's does not rate the Classes B, C, D, E, F, and X Notes
issued by Epic (Industrious) plc.
Epic (Industrious) plc is a fully funded synthetic securitization
of a single commercial mortgage loan originated by Royal Bank of
Scotland plc which closed in October 2006. The loan was
originally secured by 120 industrial properties throughout the UK.
The GBP488 million securitised loan is the senior facility of a
GBP585 million whole loan. The Whole Loan is split into four
separate loan facilities, which are all subject to the regulations
of one joined intercreditor agreement. The Whole Loan is
structured as a five-year interest-only loan maturing in
April 2011.
The Class A Notes have been repeatedly downgraded in recent
quarters, mainly driven by declining property values,
deteriorating net rental cash flows, and Moody's expectation that
available property cash flows and in turn the property value will
deteriorate further. Following a breach of the LTV covenant and
the appointment of receivers to the borrower, the Whole Loan
referenced by this transaction is in default since September 2008,
which caused a credit event under the credit default swap. Since
October 2008, the servicer reports interest shortfalls on the
Super Senior Facility, driven by declining net rental cash flows
and increased costs. However, all payments due on the Class A
Notes have been made to date.
The downgrade and review action was prompted by (i) more severe
and faster than expected further property value declines, (ii)
very limited available information on the property portfolio's
current net rental performance, and (iii) a continuing lack of
visibility regarding the enforcement and recovery strategy of the
relevant parties, including the special servicer and the
receivers.
Moody's notes that there is public information available regarding
the receivers' intention to pursue a bloc sale of the entire
property portfolio. This is in contrast to Moody's earlier
assumption of more staggered, opportunistic property disposals
while continuing to collect rental cash flows. Moody's has not
been provided with any further update and has determined that the
lack of visibility and resulting uncertainty is not commensurate
with an investment grade rating.
Moody's has adjusted its portfolio value assumption downwards,
driven by increased non-recoverable costs assumptions and further
yield widening since March this year. After this adjustment, the
likelihood that recovery proceeds might not be sufficient to cover
the total Class A Note amounts outstanding has increased
substantially. The amount of ultimate recovery proceeds will
depend to a significant extent on the recovery strategy applied by
the relevant parties. As such, Moody's intends to resolve the
review for possible further downgrade as soon as sufficient
details on the receivers' actions become available.
JJB SPORTS: Mulls GBP50 Mln Capital Raising
-------------------------------------------
Michael Kavanagh at the Financial Times reports that JJB Sports
plc said it was considering a highly dilutive GBP50 million
fundraising as it prepares to repay a GBP25 million loan to
Barclays, which is due by August 31.
The FT relates JJB, which was saved from administration through a
company voluntary arrangement, said it was reviewing a range of
options, including the disposal of non-core assets, an extension
of the maturity date of its working capital facility beyond
September 2010, and "a possible equity capital raising by way of a
placing and open offer".
Distortion Allegations
Helen Power at The Times reports that Sir David Jones, the
executive chairman of JJB, has been accused of asking Sports
Direct executives to distort the facts about a GBP1.5 million
personal loan from his rival Mike Ashley, the Sports Direct
founder, in a last-ditch attempt to keep the controversial loan
secret. Mr. Jones did not respond to inquiries from The Times
about the loan.
About JJB Sports
Headquartered in Wigan, England, JJB Sports plc --
http://www.jjbcorporate.co.uk/-- is engaged in the retailing of
sportswear and sporting equipment. The company also operates a
chain of fitness clubs, which has a smaller number of indoor
soccer centers attached to them. It also operates a television
broadcasting and marketing business, which specializes in the
marketing of golf products and fitness equipment through Sky
Television.
KAUPTHING SINGER: Action Group Wants PwC Removed as Liquidator
--------------------------------------------------------------
Hannah Stodell at Money Marketing reports that 96 per cent of the
Kaupthing Singer & Friedlander Isle of Man depositors action group
are in favor of removing PricewaterhouseCoopers as liquidator of
the bank over potential conflicts of interest.
Money Marketing relates according to the action group, PwC may
have personal and political conflicts of interest in terms of
pursuing other potentially liable parties on the island as PwC
representative Mike Simpson has worked there for many years.
Money Marketing discloses resolution meetings for the appointment
of liquidator and the creditors committee are due to take place
today, July 8.
On May 29, 2009, the Troubled Company Reporter-Europe, citing
iomtoday.co.im, reported that Kaupthing Singer & Friedlander (Isle
of Man) was put into liquidation after creditors rejected the
government's scheme of arrangement. iomtoday.co.im said that in
the High Court, Deputy Deemster Andrew Corlett granted a winding
up order on the grounds that the bank is unable to pay its debts
as they fall due.
Kaupthing Singer & Friedlander (Isle of Man) Ltd. --
http://www.kaupthingsingers.co.im/-- is the Isle of Man
subsidiary of Iceland-based Kaupthing Bank hf.
MG ROVER: Mandelson Calls in SFO to Probe Into Collapse
-------------------------------------------------------
Katherine Griffiths and Dominic Walsh at Times Online report that
Lord Mandelson, the Business Secretary, has asked the Serious
Fraud Office to investigate the collapse of MG Rover four years
ago.
The SFO, Times Online says, is expected to delay publication of an
inquiry report into MG Rover indefinitely to avoid prejudicing its
investigation. The report, which cost GBP15.9 million, was
delivered to Lord Mandelson almost a month ago, Times Online
notes.
Times Online relates Richard Alderman, SFO director, said the
group planned to make a speedy decision on whether to launch a
criminal investigation into the MG Rover collapse. Mr. Alderman,
as cited by Times Online, said he had set up a team of four to
investigate the report sent by the Department of Business and
would reach an initial decision as to whether to take the case on
for investigation within 20 days.
Times Online discloses the collapse of MG Rover into
administration in 2005 led to closure of its plant at Longbridge,
in Birmingham, with the loss of 6,000 jobs. Times Online recalls
the Department for Trade and Industry, now the Department for
Business, launched an inquiry following accusations of asset-
stripping by the four directors of Phoenix Venture Holdings, MG
Rover's parent.
About MG Rover
Headquartered in Birmingham, United Kingdom, MG Rover Group
Limited -- http://www1.mg-rover.com/-- produced automobiles under
the Rover and MG brands, together with engine maker Powertrain
Ltd. Previously owned by Phoenix Venture Holdings, the company
faced huge losses in recent years, reaching GBP64.1 million in
2004, which were blamed on reduced sales.
MG Rover collapsed on April 8, 2005, after a tie-up with China's
largest carmaker, Shanghai Automotive Industry Corp., failed to
materialize. It appointed Ian Powell, Tony Lomas and Rob Hunt,
partners in PricewaterhouseCoopers, as joint administrators.
The crisis left 6,000 people jobless, and caused a domino effect
on related businesses, particularly in the West Midlands.
Days later, eight European subsidiaries -- MG Rover Deutschland
GmbH; MG Rover Nederland B.V.; MG. Rover Belux S.A./N.V.; MG
Rover Espana S.A.; MG Rover Italia S.p.A.; MG Rover Portugal-
Veiculos e Pecas LDA; Rover France S.A.S., and Rover Ireland
Limited -- also fell into administration.
NORTHERN ROCK: To Be Sold to Smaller Player in Mortage Market
-------------------------------------------------------------
BreakingNews.ie reports that UK Chancellor Alistair Darling will
this week outline plans to sell Northern Rock plc to a player with
little presence in the mortgage market.
BreakingNews.ie relates that Mr. Darling's White Paper on banks
and regulation reform -- expected today, July 8 -- will reveal
that the Treasury aims to reignite rivalry between banks after the
financial crisis lessened competition through the consolidation
and collapse of major players.
About Northern Rock
Headquartered in Newcastle upon Tyne, England, Northern Rock plc
-- http://www.northernrock.co.uk/-- deals with mortgages, savings
accounts, loans and insurance. The company also promotes secured
loans to its existing mortgage customers. The company had more
than US$200 billion in assets at the end of June 2007.
* * *
The Troubled Company Reporter-Europe reported on June 15, 2009,
that Fitch Ratings revised the Rating Watch on Northern Rock's
Long-term Issuer Default Rating of 'A-' to Evolving from Positive.
The agency simultaneously affirmed NR's Short-term IDR at
'F1+' and the Individual Rating at 'F'. Fitch placed the
Support Rating of '1' on Rating Watch Negative.
As reported in the Troubled Company Reporter on April 2, 2009,
Moody's Investors Service downgraded to E from E+ Northern Rock's
Bank Financial Strength Rating. The E BFSR maps into a Baseline
Credit Assessment of Caa1. The bank's dated and undated hybrid
subordinated debts were also downgraded to Ca from B1 and B3,
respectively. The outlook on the subordinated instruments is
negative. The senior long term and short term ratings of A2/P-1
were affirmed with a developing outlook.
SEA SCOT: Bought Out of Liquidation by Marescot
-----------------------------------------------
Jane Bradley at The Scotsman reports that Isle of Skye-based
shellfish supplier Sea Scot has been bought out of liquidation by
Marescot, the UK subsidiary of Barcelona-based seafood processing
company Maresmar, for an undisclosed sum.
The deal, the report discloses, secured eight jobs at Sea Scot,
which fell into the hands of liquidator Tenon at the end of April.
THA GROUP: In Administration; KPMG Appointed
--------------------------------------------
Richard Philpott and Mark Orton of KPMG Restructuring have been
appointed joint administrators of Leicester-based corporate event
companies THA Group Ltd and Thomas Hannah & Associates Ltd.
THA Group Ltd, the main trading company, employed 56 members of
staff at its headquarters in Thurmaston, Leicester. A total of 48
employees have been made redundant with immediate effect.
Established for 17 years, THA Group Ltd provides a range of
services to corporate clients including communications, event
management, motivational events and business travel.
Commenting on the appointment, Richard Philpott, joint
administrator and KPMG partner said: "The business has been
suffering due to the decline in spending in the corporate
entertainment sector. Unfortunately it cannot continue to trade
in its current format and we will now be exploring options for the
company."
THA Group Ltd's sister company Quorn Business Travel Ltd continues
to trade.
WEST BROMWICH: PIBS Holders Mull Legal Action Over Coupon Payment
-----------------------------------------------------------------
Philip Aldrick at Telegraph.co.uk reports that a group of private
investors in West Bromwich Building Society is planning to take
legal action against the mutual for changing the terms of their
benefits as part of its rescue restructuring last month.
According to Telegraph.co.uk, holders of GBP75 million-worth of
"permanent interest bearing shares" are furious that the coupon
has been slashed. Telegraph.co.uk relates Peter Morgan, a former
accountant who bought 11,000 PIBS to provide for his retirement,
has written to 800 other West Brom PIBS holders into action
against the society. Mr. Morgan, who has lost GBP7,500, claims
the society has breached its July 2005 prospectus by altering the
terms of the PIBS permanently, Telegraph.co.uk states.
"Although it is denied by the society, these proposals amount to a
fundamental change in the terms and conditions of PIBS because
they have a permanent effect on the coupon," Telegraph.co.uk
quoted Mr. Morgan as saying in the letter. "The prospectus
provides only for one-off reductions in, or cancellation, of a
coupon payment. Fundamental changes require the consent of a
three-quarters majority of PIBS holders at a specially convened
meeting, as set out on page 22 of the prospectus."
"Consortium" Tie-Up
In a report on June 28 Telegraph.co.uk disclosed West Brom chief
executive Robert Sharpe revealed he was in early talks about a
"consortium" tie-up with rivals before the authorities devised a
new capital instrument to repair the society's battered balance
sheet. Mr. Sharpe sounded out rival executives but talks never
became formal, Telegraph noted. According to Telegraph.co.uk,
Mr. Sharpe believed by merging and stripping out costs, the
societies could recapitalize independently.
West Bromwich Building Society, along with its subsidiaries --
http://www.westbrom.co.uk-- operates in three business segments.
Retail lending is engaged in incorporating core society lending,
mortgage company lending, private customer savings and financial
services. Commercial is engaged in incorporating commercial
lending. Property is engaged in property rental. Some of its
wholly owned subsidiaries include West Bromwich Mortgage Company
Limited, which holds and disposes debts secured on land and lend
money on the security of land; West Bromwich Commercial Limited,
which is engaged in commercial lending; MortgageForce Limited,
which is a franchised mortgage broker; WBBS Computer Finance
Limited, which is engaged in leasing and licensing computer
equipment, and West Bromwich Homes Limited, which is engaged in
investment in property for rental.
* * *
As reported in the Troubled Company Reporter-Europe on June 17,
2009, Moody's Investors Service changed the outlook on the E+ bank
financial strength rating of West Bromwich Building Society to
stable from negative. At the same time, Moody's affirmed West
Brom's Baa3/Prime-3 long- and short-term debt and deposit ratings
and Ca junior subordinated debt rating, and downgraded the
entity's subordinated debt rating to Ca from Caa3.
WHISTLEJACKET CAPITAL: Moody's Withdraws C Rating on Senior Debt
----------------------------------------------------------------
Moody's Investors Service announced that, following the
distribution of the sale proceeds of Whistlejacket's portfolio, it
has withdrawn the ratings assigned to the senior debt programs of
Whistlejacket Capital Limited (in Receivership) and Whistlejacket
Capital LLC.
Whistlejacket cannot issue further debt from its senior debt
programmes.
The rating action is:
(1) EUR and US Medium Term Note Programmes
-- Current Rating: WR
-- Prior Rating: C and Not Prime
-- Prior Rating Date: 9 May 2009, downgraded to C and Not Prime
from B2 and Not Prime.
(2) EUR and US Commercial Paper Programmes
-- Current Rating: WR
-- Prior Rating: Not Prime
-- Prior Rating Date: 12 February 2008, downgraded to Not Prime
from Prime-1
WHITE TOWER: Halabi Cos Fail to Remedy Default on GBP1.15BB Bonds
-----------------------------------------------------------------
Chris Bourke and John Glove at Bloomberg News report investor
Simon Halabi's real-estate companies failed to remedy a default on
GBP1.15 billion (US$1.9 billion) of commercial mortgage bonds.
Bloomberg News relates that, according to debt administrator
Hatfield Philips International Ltd., Mr. Halabi's companies had
until the close of business on Thursday, July 2, to stave off a
default on bonds that repackage loans to nine London properties
including JPMorgan Chase & Co.'s offices at 125 London Wall and 60
Victoria Embankment. Bloomberg News discloses the issuer of the
notes, White Tower 2006-3 Plc, had 10 days to remedy the default
after the bonds, which mature in 2012, breached covenants because
the properties halved in value.
Bloomberg News notes Andrew Currie, head of Europe commercial
mortgage-backed securities at Fitch Ratings in London, said
Mr. Halabi's companies are unlikely to repay the bonds and will
probably be forced to sell the underlying properties, which were
valued at GBP929 million as of June 8, down from GBP1.83 billion
in October 2006.
White Tower is the largest commercial mortgage bond sold by a
single borrower to default this year in Britain, Bloomberg News
says.
*********
Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par. Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable. Those sources may not,
however, be complete or accurate. The Monday Bond Pricing table
is compiled on the Friday prior to publication. Prices reported
are not intended to reflect actual trades. Prices for actual
trades are probably different. Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind. It is likely that some entity
affiliated with a TCR editor holds some position in the issuers'
public debt and equity securities about which we report.
Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than US$3 per
share in public markets. At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets. A company may establish reserves on its balance sheet for
liabilities that may never materialize. The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.
A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com
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., Frederick,
Maryland USA. Valerie C. Udtuhan, Marites O. Claro, Rousel Elaine
C. Tumanda, Joy A. Agravante and Peter A. Chapman, Editors.
Copyright 2009. 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$625 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 Christopher Beard at 240/629-3300.
* * * End of Transmission * * *