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        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, March 10, 2010, Vol. 11, No. 048

                            Headlines



C Y P R U S

REMEDIAL CYPRUS: To Auction Support Vessels in April


C Z E C H   R E P U B L I C

MORAVAN AVIATION: Court Turns Down Restructuring Proposal
ODEVNI PODNIK: Court Approves Restructuring Proposal
SELIKO: To Dismiss 86 Staff, Wind Up Production


F R A N C E

PEUGEOT CITROEN: Mitsubishi to Supply 100,000 Electric Cars
RHODIA SA: Moody's Changes Outlook on 'Ba3' Rating to Stable


G E R M A N Y

COMMERZBANK CAPITAL: S&P Cuts Eurohypo Tier 1 Instruments to 'C'
DEUTSCHE LUFTHANSA: Union Talks in Pilot Dispute to Continue
GENERAL MOTORS: Union Representative Seeks Talks on Opel Plan
KABEL DEUTSCHLAND: Plans to Raise About EUR700 Million in IPO

* GERMANY: Company Insolvencies Up 11.6% to 32,687 in 2009


G R E E C E

NEWLEAD HOLDINGS: Net Loss Widens to US$163.6-Mil. in 2009


I C E L A N D

* ICELAND: Icesave Dispute to Drag Until Mid-2011, Moody's Says


I R E L A N D

IRISH LIFE: Should Launch Right Issue to Raise Extra Capital


K A Z A K H S T A N

BTA BANK: Given Permanent Relief in Chapter 15
KAUPTHING BANK: Liabilities Exceed Assets by 2-1/2 Times


L I T H U A N I A

BANKAS SNORAS: Fitch Affirms 'B+' Long-Term IDR; Outlook Stable
SEB AB: Fitch Revises Outlook on Long-Term IDR to Stable


N E T H E R L A N D S

PANTHER CDO: Fitch Affirms CCC Rating on Three Classes of Notes


N O R W A Y

PETROJACK ASA: Files for Bankruptcy With Oslo Court


P O L A N D

* POLAND: Over 600 Companies Filed "Sham" Bankruptcies in 2009


S P A I N

AYT DEUDA: S&P Puts Credit Ratings on CreditWatch Negative


S W E D E N

* SWEDEN: Corporate Bankruptcies Down 21% to 478 in February


U N I T E D   K I N G D O M

CLARIS IV: Moody's Cuts Rating on Series 6/2006 Notes to 'C'
ICAP PLC: May Shutter Cash Equities Business
MANCHESTER UNITED: Red Knights Taps Nomura in Takeover Campaign
RANGERS FOOTBALL: Majority Owner In Takeover Talks
REVERB: Put Into Liquidation; Creditors Meeting Set for March 24

ROYAL BANK: Has Largest Pension Deficit Among FTSE 350 Firms
ROYAL NORFOLK: In Administration; Begbies Traynor On Board
STRAWINSKY I: Moody's Cuts Rating on Class B Notes to 'Caa2'
STROUD & SWINDON: In Merger Talks with Coventry
UK RECEIVABLES: Moody's Lifts Ratings on Class C Notes From Ba1

* UK: Moody's to Phase Out Extraordinary Bank Rating Support
* Melanie Willems Joins Chadbourne & Parke With IDR Team


X X X X X X X X

* Moody's: European Default Rate Falls to 9.7% in February
* Moody's: Global Default Rate Falls to 11.6% in February 2010
* Dresdner Ex-CEO Says Big Banks at Risk of Bankruptcy




                         *********



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C Y P R U S
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REMEDIAL CYPRUS: To Auction Support Vessels in April
----------------------------------------------------
Bill Rochelle at Bloomberg News reports that Remedial (Cyprus)
Public Co. scheduled a March 10 hearing before a bankruptcy court
in the United States to set up procedures for an auction of the
company's two elevated support vessels for the offshore oil and
gas industry.  Absent higher and better offers, secured
bondholders owed $230 million will purchase ownership of the two
uncompleted vessels in exchange for $120 million in debt, plus
whatever is outstanding on the $5 million post-bankruptcy loan.
The bondholders also will pay costs to cure contract defaults.
The deadline for other offers, the auction and the sale-approval
hearing are slated for April.

                      About Remedial (Cyprus)

Based in Limassol, Cyprus, Remedial (Cyprus) Public Company owns
and operates self-propelled jack up rigs called Elevating Support
Vessels. The vessels facilitate offshore well intervention
activities and work-over services.

Remedial (Cyprus) Public Company Ltd. -- dba Brufani
Shipmanagement Limited and Remedial Cyprus Limited -- filed for
Chapter 11 bankruptcy protection on February 17, 2010 (Bankr.
S.D.N.Y. Case No. 10-10782).  Kenneth A. Rosen, Esq., at
Lowenstein Sandler, P.C., assists the Company in its restructuring
effort.  The Company estimated its assets and debts at
US$100,000,001 to US$500,000,000.


===========================
C Z E C H   R E P U B L I C
===========================


MORAVAN AVIATION: Court Turns Down Restructuring Proposal
---------------------------------------------------------
The Regional Court in Brno turned down a restructuring proposal
for Moravan Aviation s.r.o., CTK reports, citing the court's
spokeswoman Miroslava Sedlackova.

According to CTK, Moravan Aviation owes CZK101 million to around
91 creditors.

CTK notes Ms. Sedlackova said if the firm is rescued or sent to
bankruptcy will be decided at a meeting of creditors at the end of
March.

As reported by the Troubled Company Reporter-Europe on Jan. 26,
2010, CTK said the court declared Moravan Aviation bankrupt on
Jan. 22.  CTK disclosed the company, bought by QucomHaps of
Ireland for CZK50 million three years ago, has been in insolvency
proceeding since July last year.

Moravan Aviation s.r.o. is an aircraft manufacturer based in
Otrokovice.


ODEVNI PODNIK: Court Approves Restructuring Proposal
----------------------------------------------------
The Regional Court in Brno has approved a restructuring proposal
for Odevni podnik, a.s. drawn up my main creditor Ceska
sporitelna, CTK reports, citing the insolvency register on
www.justice.cz.

CTK recalls creditors approved the proposal last week.

According to CTK, the company has debts of around CZK1.6 billion.

Odevni podnik, a.s. is a textile company based in Prostejov.


SELIKO: To Dismiss 86 Staff, Wind Up Production
-----------------------------------------------
Czech cannery Seliko will dismiss most of its 86 employees and
wind up production at its plant in Opava, northern Moravia, CTK
reports, citing the company's liquidator Martin Zadrapa.

According to the report, Hame will take over Seliko's production
and distribution under an agreement signed in January.


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F R A N C E
===========


PEUGEOT CITROEN: Mitsubishi to Supply 100,000 Electric Cars
-----------------------------------------------------------
Mitsubishi Motors Corp. has signed a Final Cooperative Agreement
with PSA Peugeot Citroen on the development and supply of the new-
generation electric vehicle i-MiEV with PSA.

MMC and PSA signed a Framework Agreement in September 2009.
Following the Framework Agreement, both parties reached a final
consensus on development and supply of EVs based on the i-MiEV for
the European market.

The main points of the agreement are:

   * PSA will sell the EVs under the Peugeot and Citroen brands.

   * Production is to commence in October 2010 and product launch
     in the European market will be by the end of 2010.

   * A total of 100,000 units are expected to be supplied in the
     frame of this Agreement.

                          Equity Tie-Up

As reported by the Troubled Company Reporter-Europe on March 5,
2010, Bloomberg News said that PSA Peugeot Citroen S.A. ended
talks about an equity tie-up and said they'll concentrate on
broadening their five-year partnership.  Bloomberg disclosed
Peugeot Chief Executive Officer Philippe Varin said the French
company decided against buying a stake in Mitsubishi partly out of
concern that the plan would damage its debt ratings.  According to
Bloomberg, buying a controlling stake in Mitsubishi would have
stretched the finances of Europe's second-largest automaker, which
had net debt of EUR1.99 billion (US$3 billion) as of Dec. 31 and
bonds graded below investment level by Standard & Poor's and Fitch
Ratings.  Peugeot is rated BB+ by Standard & Poor's.


PSA Peugeot Citroen S.A. -- http://www.psa-peugeot-citroen.com/
-- is a France-based manufacturer of passenger cars and light
commercial vehicles.  It produces vehicles under the Peugeot and
Citroen brands.  In addition to its automobile division, the
Company includes Banque PSA Finance, which supports the sale of
Peugeot and Citroen vehicles by financing new vehicle and
replacement parts inventory for dealers and offering financing and
related services to car buyers; Faurecia, an automotive equipment
manufacturer focused on four component families: seats, vehicle
interior, front end and exhaust systems; Gefco, which offers
logistics services covering the entire supply chain, including
overland, sea and air transport, industrial logistics, container
management, vehicle preparation and distribution, and customs and
value added tax (VAT) representation, and Peugeot Motocycles,
which manufactures scooters and motorcycles.  In 2008, PSA Peugeot
Citroen S.A. sold over 3.2 million vehicles in 150 countries
worldwide.


RHODIA SA: Moody's Changes Outlook on 'Ba3' Rating to Stable
------------------------------------------------------------
Moody's Investors Service has changed the outlook on all ratings
of Rhodia S.A. (CFR: Ba3) to Stable from Negative.  All ratings of
the group remain unaffected.

The stabilization of the outlook on Rhodia was prompted by a
strong improvement of the credit and liquidity profile of the
group since Moody's last changed Moody's outlook to negative on
May 11, 2009, with a sharp sequential recovery in operating
performance (reported recurring EBITDA surged from EUR2 million in
Q1 2009 to EUR200 million in Q4 2009).  The recovery was driven by
improved capacity utilization, continued deflationary raw material
price environment combined with sustained strong pricing power,
cost cutting initiatives as well as focus on free cash flow
generation with lower capex and improved structural working
capital management.  Rhodia's Polyamide and Silcea businesses
largely contributed to the sequential improvement in operating
performance.  After two quarters of sharp destocking in Q4 2008
and Q1 2009, capacity utilization surged from 67% and 72%
respectively in Q1 2009 to 93% in Q4 2009.

Going forward Moody's expects Rhodia to be able to further improve
its credit profile over the next two to three quarters supported
by sustained demand levels in the first half of fiscal year 2010,
undemanding comparatives for Q1 and Q2 2010 and CER contribution
from allocated but yet unsold carbon credits resulting in a better
positioning of the issuer in its current rating category.  The
agency notes that operating margins might come under pressure from
the record level reached in Q4 2009 as more costly raw materials
(purchased in Q3-Q4 2009) will be hitting the P&L of the group in
H1 2010.  However Moody's continues to expect that Rhodia will be
able to sustain strong pricing power especially at its Polyamide
segment in H1 2010 at least on the back of continued tight supply
/ demand situation with the company's French plant going into
maintenance shutdown in the first half and some other players
facing difficulties in ramping up production capacity after
shutdowns in fiscal year 2009.

Further positive rating pressure would be predicated upon a
sustained recovery in demand across all business segments of
Rhodia in the second half of this year and into fiscal year 2011.
Moody's notes that the sequential recovery in demand over the last
three quarters has been largely driven by both a positive
inventory cycle after very significant destocking in Q4 2008 and
Q1 2009 and fiscal stimulus across most regions.  The gradual
phasing out of stimulus measures and a more neutral growth impact
from the inventory cycle could lead to pressure on demand in H2
2010 and in 2011.

The liquidity profile of Rhodia is strong.  The issuer had
EUR691mio of cash & cash equivalents on balance sheet and access
to a largely undrawn EUR600mio revolving credit facility
(EUR543mio undrawn at December 31, 2009).  Rhodia has obtained
covenant resets for its revolver in April 2009 and currently
enjoys comfortable headroom under its covenants further supporting
the liquidity situation of the group.  The main cash flow needs
over the next twelve months (Working Capital, capex and modest
dividends) are expected to be covered from operating cash flows.

The last rating action was on May 11, 2009, when Moody's changed
the outlook on all ratings of Rhodia to negative from stable.

Rhodia S.A., headquartered in Paris, France, is a diversified
specialty chemicals group with leading market positions in most of
its business applications.  Rhodia reported consolidated revenues
of EUR4.031 billion and a recurring EBITDA of EUR487 million for
the fiscal year ended December 31, 2009.


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G E R M A N Y
=============


COMMERZBANK CAPITAL: S&P Cuts Eurohypo Tier 1 Instruments to 'C'
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it took various
rating actions on hybrid instruments issued by members of the
Commerzbank group.

S&P raised the issue rating on debt issued by Dresdner Funding
Trust IV (Dresdner FT IV) to 'A-' from 'CCC'.

At the same time, S&P lowered the issue ratings on hybrid Tier 1
instruments issued by Eurohypo Capital Funding Trust II to 'C'
from 'CC'.

S&P also lowered the issue ratings on hybrid Tier 1 instruments
issued by Commerzbank Capital Funding Trust I, II, and III to 'CC'
from 'CCC'.

S&P affirmed the 'CCC' issue ratings on hybrid Tier 1 instruments
issued by Dresdner Funding Trust I and III (Dresdner FT I and III)
and the 'CC' issue ratings on Eurohypo Capital Funding Trust I as
well as the 'C' ratings on hybrid capital instruments issued by
HT1 Funding GmbH and UT2 Funding PLC.

The upgrade on the Dresdner FT IV debt reflects S&P's assessment
that coupon payments on this instrument are no longer subject to a
regulatory capital test and that the instrument will now rank pari
passu with other lower Tier 2 instruments in liquidation.  The
instrument no longer qualifies as regulatory Tier 1 capital, but
is expected to qualify as regulatory lower Tier 2 capital with
revised terms, which, in S&P's view, are now similar to those of
other senior subordinated instruments issued by Commerzbank AG
(A/Negative/A-1).  S&P considers this conversion to be unusual,
but consistent with the spirit of the European Commission's
decision when it granted approval for the state aid provided to
Commerzbank in 2009.  S&P understands that the German regulators,
the EC, and the German financial institutions rescue fund have
approved the conversion.

The downgrade of the Tier 1 instrument issued by Eurohypo FT II to
'C' reflects that Eurohypo FT II missed coupon payments on this
instrument that were due on March 8, 2010.

The downgrade of the Commerzbank FT I-III Tier 1 hybrids reflects
S&P's view that the next coupon payments will be missed.  The
Dresdner FT IV issue is no longer considered a parity security to
the remaining hybrid Tier 1 instruments issued by Commerzbank.
Therefore, a coupon payment on the Dresdner FT IV instrument will
no longer trigger coupon payments on other instruments.
Nevertheless, S&P believes that Commerzbank's announced
unconsolidated net loss for 2009 will prevent it from making
coupon payments on the Commerzbank FT I-III instruments.  This is
because Commerzbank has to comply with the conditions under which
the EC approved the state aid it received, which stipulate that
Commerzbank and its subsidiaries must not release reserves to make
payments on profit-related instruments unless contractually
obliged to do so.  All of these factors make coupon deferrals
imminent, in S&P's view.  S&P will lower the ratings on the
Commerzbank FT I-III instruments to 'C' from 'CC' if, as S&P
anticipates, Commerzbank FT III misses the coupon payment due on
March 18, 2010, and Commerzbank FT I and II miss the coupon
payments due on April 12, 2010.

S&P will review the ratings again once Commerzbank resumes coupon
payments on its hybrid instruments.

The affirmation of the 'CCC' ratings on the Dresdner FT I and III
instruments reflects S&P's view that coupon payments would be
possible.  This is because S&P believes Commerzbank's regulatory
capital ratios will likely be above the regulatory minimum
requirements when coupon payments are due on June 30.  The
affirmation also reflects that S&P consider it possible that
regulatory intervention may prevent a coupon payment, considering
that Commerzbank's financial profile will likely remain under
pressure and that it has received substantial amounts of state aid
to prevent a default.

S&P affirmed its 'CC' ratings on Eurohypo FT I's instrument and
the 'C' ratings on hybrid capital instruments issued by HT1
Funding GmbH and UT2 Funding PLC, which are not affected by the
conversion of the Dresdner FT IV instrument.  S&P doesn't expect
coupon payments on the Eurohypo FT I instrument to be made and
will revise the ratings to 'C' from 'CC' if, as S&P anticipates,
payments are missed on May 23, 2010.

                           Ratings List

                             Upgraded

                    Dresdner Funding Trust IV

                                              To        From
                                              --        ----
     Senior Subordinated (1)                  A-        CCC
     (Previously Junior Subordinated)

                             Downgraded

                 Eurohypo Capital Funding Trust II

                                              To        From
                                              --        ----
     Preferred Stock (2)                      C         CC

               Commerzbank Capital Funding Trust I

                                              To        From
                                              --        ----
     Preferred Stock (1)                      CC        CCC

               Commerzbank Capital Funding Trust II

                                              To        From
                                              --        ----
     Preferred Stock (1)                      CC        CCC

               Commerzbank Capital Funding Trust III

                                              To        From
                                              --        ----
     Preferred Stock (1)                      CC        CCC

                         Ratings Affirmed

                     Dresdner Funding Trust I

           Junior Subordinated (1)                  CCC

                    Dresdner Funding Trust III

           Junior Subordinated (1)                  CCC

                 Eurohypo Capital Funding Trust I

           Preferred Stock (2)                      CC

                         HT1 Funding GmbH

           Junior Subordinated (3)                  C

                          UT2 Funding PLC

           Junior Subordinated (3)                  C

                 (1) Supported by Commerzbank AG.
                  (2) Guaranteed by Eurohypo AG.
                   (3) Supported by Allianz SE.


DEUTSCHE LUFTHANSA: Union Talks in Pilot Dispute to Continue
------------------------------------------------------------
Cornelius Rahn at Bloomberg News reports that the Vereinigung
Cockpit union pledged to carry on negotiating with Deutsche
Lufthansa AG in a dispute over the deployment of pilots from
recently purchased companies.

Bloomberg relates Jan Krawitz, a spokesman for union, said talks
will carry on even after a two-week negotiating period ordered by
a court expired Monday.

According to Bloomberg, Lufthansa spokeswoman Claudia Lange said
that the Cologne, Germany-based carrier is continuing talks as it
seeks to avoid the resumption of a four-day strike put on hold by
the Frankfurt labor court after less than 24 hours on Feb. 22.

Bloomberg says pilots at Europe's second-largest airline are
seeking a pledge that lower-paid crews from newly acquired
airlines won't be used at the main German units.

Bloomberg recalls last month's brief walkout halted two-thirds of
services, and Lufthansa has estimated that a strike will cost at
least EUR25 million (US$34 million) a day.

                               Loss

Citing Bloomberg News, the Troubled Company Reporter-Europe
reported on March 4, 2010, that Lufthansa said in a statement
Tuesday it posted a net loss of EUR112 million (US$152 million)
for 2009 compared with restated net income of EUR542 million in
2008.
Bloomberg disclosed the carrier said it won't pay a dividend
on 2009 earnings because of the net loss, the first for a full
year since 2003.

Deutsche Lufthansa AG -- http://www.lufthansa.com/-- is an
aviation company with operations worldwide.  It operates in five
business segments: Passenger Transportation, Logistics,
Maintenance, Repair and Overhaul (MRO), Information Technology
(IT) services and Catering.  On January 22, 2008, it acquired 19%
of the shares in JetBlue Airways.  In October 2008, Lufthansa
established an Italian company called Lufthansa Italia as it mulls
to make Milan based Malpensa airport its third hub after Frankfurt
and Munich.  In September 2009, Austrian Airlines AG was taken
over by Deutsche Lufthansa AG.  Austrian Airlines will therefore
become part of the Lufthansa Group as of September 2009.

                           *     *     *

As reported in the Troubled Company Reporter-Europe on Sept. 7,
2009, Moody's Investors Service lowered the long-term and short-
term issuer ratings of Deutsche Lufthansa AG to Ba1/Not-prime from
Baa3/Prime-3.  At the same time Moody's withdrew the long-
term issuer rating and assigned a Corporate Family Rating and
Probability of Default Rating at Ba1.  Moody's said the outlook is
stable.


GENERAL MOTORS: Union Representative Seeks Talks on Opel Plan
-------------------------------------------------------------
Christoph Rauwald at Dow Jones Newswires reports that German labor
union IG Metall representative and Adam Opel GmbH supervisory
board member Armin Schild said Friday that parent firm General
Motors Co.'s move to increase funding for its German brand was an
important signal to start talks over the planned restructuring.

Dow Jones relates in a statement, Mr. Schild said the German
federal government "has more responsibility than it realized so
far."

Mr. Schild, as cited by Dow Jones, said a roundtable should be
held with GM, labor unions and representatives from the federal
government, as well as from the German states with Opel plants.

Citing the Financial Times, the Troubled Company Reporter-Europe
reported on March 3, 2010, that General Motors announced on
March 2 that it was increasing its contribution to the
restructuring of Opel from EUR600 million to EUR1.9 billion
(US$2.6 billion).

According to the FT, GM said that the increased funding -- which
comes after pressure from Germany and other governments -- would
come in the form of both equity and loans.

"Under its viability plan, Opel/Vauxhall had estimated funding
requirements of EUR3.3 billion," the FT quoted the company as
saying in a statement.  "However, an additional EUR415 million had
been requested by the respective European governments to offset
the potential impact of adverse market developments."

As a result, the amount GM was seeking from European governments
would decline from EUR2.7 billion to less than EUR2 billion, the
FT stated.

The FT noted Mr. Reilly also said that he hoped to have the plan
agreed with unions and five European countries from which it is
seeking EUR2.7 billion of loans and guarantees within a month.

                       About General Motors

General Motors Company -- http://www.gm.com/-- is one of the
world's largest automakers, tracing its roots back to 1908.  With
its global headquarters in Detroit, GM employs 209,000 people in
every major region of the world and does business in some 140
countries.  GM and its strategic partners produce cars and trucks
in 34 countries, and sell and service these vehicles through these
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Opel,
Vauxhall and Wuling.  GM's largest national market is the United
States, followed by China, Brazil, the United Kingdom, Canada,
Russia and Germany.  GM's OnStar subsidiary is the industry leader
in vehicle safety, security and information services.

GM acquired its operations from General Motors Company, n/k/a
Motors Liquidation Company, on July 10, 2009, pursuant to a sale
under Section 363 of the Bankruptcy Code.  Motors Liquidation or
Old GM is the subject of a pending Chapter 11 reorganization case
before the U.S. Bankruptcy Court for the Southern District of New
York.

At September 30, 2009, GM had US$107.45 billion in total assets
against US$135.60 billion in total liabilities.

                     About Motors Liquidation

General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026).  General Motors changed its name to Motors
Liquidation Co. following the sale of its key assets to a company
60.8% owned by the U.S. Government.

The Honorable Robert E. Gerber presides over the Chapter 11 cases.
Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H.
Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors
in their restructuring efforts.  Al Koch at AP Services, LLC, an
affiliate of AlixPartners, LLP, serves as the Chief Executive
Officer for Motors Liquidation Company.  GM is also represented by
Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as
counsel.  Cravath, Swaine, & Moore LLP is providing legal advice
to the GM Board of Directors.  GM's financial advisors are Morgan
Stanley, Evercore Partners and the Blackstone Group LLP.

Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


KABEL DEUTSCHLAND: Plans to Raise About EUR700 Million in IPO
-------------------------------------------------------------
Aaron Kirchfeld at Bloomberg News reports that Kabel Deutschland
GmbH plans to raise about EUR700 million (US$957 million) in an
initial public offering.

Citing a prospectus posted on Kabel Deutschland's Web site,
Bloomberg says the company may sell as many as 45 million shares.
Bloomberg notes the company said that's excluding the so-called
greenshoe option of as many as 6.75 million additional shares.

According to Bloomberg, the company on Monday said the IPO price
range is to be announced from March 10 to March 12, with an
offering period starting from March 11 to March 15 and ending on
March 19.  Trading in the shares is expected to start on March 22,
Bloomberg states citing the prospectus.

Martin Arnold at The Financial Times reports Deutsche Bank and
Morgan Stanley are joint global co-ordinators and joint
bookrunners on the IPO, JPMorgan and UBS are joint bookrunners,
and BNP Paribas, Societe Generale and Royal Bank of Scotland are
co-lead managers.

Kabel Deutschland, or KDG, -- http://www.kabeldeutschland.com/--
provides digital TV and radio, Internet, and telephone connections
via cable to more than a dozen of Germany's 16 states serving
about 15 million homes.  The company also offers mobile phone
service in conjunction with partner 02 (Germany).  It carries
about 33 networks in various cable, Internet, or phone only and
bundled packages, as well as pay-per-view offerings (under the
TV/Radio banner).  Cable access accounts for about three-quarters
of KDG's revenue.  Subsidiary TKS provides cable, Internet, and
phone access to NATO troops stationed in Germany. Investment firm
Providence Equity Partners owns KDG.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Jan. 19,
2010, Fitch Ratings said Kabel Deutschland's proposal to amend its
existing senior credit facilities is broadly credit neutral.  The
extension of a significant portion of its debt maturities would
reduce medium-term refinancing risk, but the positive impact of
such a move would be somewhat offset by other changes which
increase the probability of further acquisitions.

Fitch presently rates Kabel Deutschland Vertrieb und Service GmbH
& Co AG's Long-term Issuer Default Rating at 'BB-' with a Stable
Outlook.  The company's senior secured bank facilities are rated
'BB+', while the holding company Kabel Deutschland GmbH's senior
notes are rated 'BB-'.

KDG is proposing to extend the maturity of up to EUR1.3 billion of
its senior secured credit facility to March 2014.  This facility
accounts for EUR1.685 billion of KDG's bank borrowing in two
tranches of EUR1.15 billion and EUR535 million which mature in
March 2012 and March 2013 respectively.  If accepted by lenders,
the extension of a significant portion of KDG's debt maturity
would reduce the company's medium-term refinancing risk.  Together
with the company's improving operational and financial
performance, this would point to upward rating momentum.

However, according to Fitch, there is acquisition risk to
consider.  According to Fitch, other credit facility amendments
KDG is proposing point to a more tangible appetite for
acquisitions, in line with the company's publicly stated interest
in being an active consolidator of the German cable market.  The
amendments to the existing credit facilities would allow
acquisitions of up to EUR800 million in value.  Amongst other
changes, the ongoing covenant leverage test, following any major
acquisition of over EUR400 million in value, would widen by 0.50x
on the closing of such a transaction.  This is mitigated by the
fact that KDG is only permitted to close such a transaction if on
a 12-month look-forward basis at closing KDG's leverage remains
within 0.25x of the current covenant limit.


* GERMANY: Company Insolvencies Up 11.6% to 32,687 in 2009
----------------------------------------------------------
Matthew Brockett at Bloomberg News reports that German company
insolvencies surged last year after the economy suffered its worst
recession since World War II.

According to Bloomberg, the Federal Statistics Office in Wiesbaden
said in an e-mailed statement Tuesday German courts reported
32,687 companies went bankrupt, 11.6% more than in 2008 and the
first annual increase since 2003.


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


NEWLEAD HOLDINGS: Net Loss Widens to US$163.6-Mil. in 2009
----------------------------------------------------------
NewLead Holdings Ltd. said for the quarter ended December 31,
2009, total revenues from continuing operations increased by 11.1%
to US$15.9 million compared to total revenues of US$14.3 million
recorded for the quarter ended December 31, 2008.

Net loss from continuing operations was US$36.9 million for the
quarter ended December 31, 2009, compared to a net loss of
US$10.0 million, recorded for the quarter ended December 31, 2008.
The results for the fourth quarter of 2009 reflect significantly
lower net revenues generated for the product tankers in the spot
market as well as increased operating expenses and also include
higher interest expenses of roughly US$20.1 million as a result of
the Company's recapitalization during the quarter and is primarily
attributable to the 7% senior convertible notes which included a
US$17.0 million non-cash charge from the amortization of the
beneficial conversion feature embedded in the 7% notes.
Furthermore, the results for the fourth quarter of 2009 included
transaction costs of US$9.7 million relating to the
recapitalization, as well as, a US$4.2 million non-cash gain from
the change in the fair value of derivatives.  The results for the
same period of 2008 included a US$5.8 million non-cash loss from
the change in the fair value of derivatives.

The net loss for the quarter ended December 31, 2009 and 2008 was
US$39.9 million and US$42.4 million respectively.  These include
losses from discontinued operations of US$3.0 million in 2009 and
US$32.5 million in 2008, which were primarily related to the
Company's exit from the container market.

The Company said for the 12 months ended December 31, 2009, total
revenues from continuing operations decreased by 15.6% to
US$47.7 million, compared to total revenues of US$56.5 million for
the 12 months ended December 31, 2008.

Net loss from continuing operations was US$131.3 million for the
12 months ended December 31, 2009, compared to a net loss of
US$16.6 million, recorded for the 12 months ended December 31,
2008. Besides the significantly lower net revenues generated for
the product tankers in the spot market and increased operating
expenses, the results for the 12 months ended December 31, 2009,
reflect a US$68.0 million vessel impairment charge, a US$3.7
million provision for charter claims, as well as, higher interest
expenses of roughly US$19.2 million as consequence of the
company's recapitalization during the quarter and primarily
attributable to the 7% senior convertible notes which included a
US$17.0 million non-cash charge from the amortization of the
beneficial conversion feature embedded in the notes.  Furthermore,
the results for 2009 also include transaction costs of US$12.4
million associated with the recapitalization and US$5.6 million
non-cash gain from the change in the fair value of derivatives.
The results for the same period of 2008 included a US$6.5 million
non-cash loss from the change in the fair value of derivatives.

The net loss for the year ended December 31, 2009 and 2008 was
US$163.6 million and US$39.8 million, respectively.  These include
losses from discontinued operations of US$32.3 million in 2009 and
US$23.3 million in 2008, which primarily relate to the Company's
exit from the container market.

At December 31, 2009, the Company had total assets of
US$399.285 million against total liabilities of US$326.809
million.  The Company had accumulated deficit of US$37.872 million
and shareholders' equity of US$72.476 million.

NewLead had a positive working capital position of roughly
US$67.2 million, reflecting US$106.3 million cash and cash
equivalents as of December 31, 2009 compared with a negative
working capital position of roughly US$231.7 million as of
December 31, 2008.  Total Debt amounted to US$278.7 million for
the period ending December 31, 2009, compared to US$223.7 million
as of December 31, 2008.  The long term portion of the debt
amounted to US$223.0 million for the period ended December 31,
2009 compared to nil as of December 31, 2008.  In 2008, the debt
of US$223.7 million was classified under short term debt due to
violation of certain covenants of the credit facility, which has
subsequently refinanced as part of the recent recapitalization.

A full-text copy of the Company's earnings release is available at
no charge at http://ResearchArchives.com/t/s?578f

                       Going Concern Doubt

During the three months ended September 30, 2009, and 2008, the
Company incurred a net loss of US$111.3 million and a net loss of
US$4.3 million, respectively, and for the nine months ended
September 30, 2009 and 2008, the Company incurred a net loss of
US$123.8 million and a gain of US$2.0 million, respectively.  As
of
September 30, 2009, the Company reported working capital deficit
of US$244.4 million, which includes US$221.4 million of debt
reflected as current.

During the nine months ended September 30, 2009, and for the year
ended December 31, 2008, the Company was not in compliance with
certain covenants of its loan facility and absent any further
relaxation from the lenders, the lenders had the ability to demand
repayment of outstanding borrowings.  The US$221.4 million
facility agreement, dated October 13, 2009, entered into by the
Company to refinance the Company's existing revolving credit
facility provided for the waiver of all financial covenants
(excluding working capital and minimum liquidity covenants) for a
period ranging from 30 to 36 months.  The conditions and events
raise substantial doubt about the Company's ability to continue as
a going concern.

                      About NewLead Holdings

Headquartered in Piraeus, Greece, NewLead Holdings Ltd. (Nasdaq:
NEWL) -- http://www.newleadholdings.com/-- was incorporated on
January 12, 2005, under the name of "Aires Maritime Holdings
Limited.  The Company is an international shipping company that
owns and operates product tanker and dry bulk 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 three dry bulk vessels secured on period charters.

The Company is an indirect subsidiary of Aries Energy Corporation.
Aries Energy, an affiliate through its wholly-owned subsidiary
Rocket Marine Inc., currently owns approximately 23% of the
Company's outstanding common shares.

On October 13, 2009, the Company announced an approximately
US$400.0 million recapitalization which resulted in Grandunion
Inc.
acquiring control of the Company.  Pursuant to the Stock Purchase
Agreement entered into on September 16, 2009, a company controlled
by Michail S. Zolotas and Nicholas G. Fistes, acquired 18,977,778
newly issued common shares of the Company in exchange for three
drybulk carriers.


=============
I C E L A N D
=============


* ICELAND: Icesave Dispute to Drag Until Mid-2011, Moody's Says
---------------------------------------------------------------
Tasneem Brogger at Bloomberg News reports that Moody's Investors
Service said that Icelanders' rejection of a foreign depositor
bill complicates the prospect of a settlement and may leave the
government unable to resolve a dispute with the U.K. and the
Netherlands for at least a year.

"Potentially we could see this dragging on until the middle of
2011," Bloomberg quoted Moody's Senior Credit Analyst Kenneth
Orchard as saying in a telephone interview before the vote.  "The
voting down of the referendum is going to complicate getting a
deal."

Bloomberg recalls 93% of voters rejected the so-called Icesave
bill in the March 6 plebiscite.

According to Bloomberg, the bill, covering repayment of a USUS$5.3
billion loan, which would saddle each citizen with USUS$16,400 in
debt equivalent to 45% of 2009 economic output, sought to cover
U.K. and Dutch depositor claims after the 2008 failure of
Landsbanki Islands hf and unfreeze Iceland's international
bailout.

Mr. Orchard, as cited by Bloomberg, said "If they don't come to an
agreement very soon, then it gets put on hold through the Dutch
and the British elections and then you may not see talks back on
until this summer."

Bloomberg notes failure to reach an agreement on the bill has left
Iceland's USUS$4.6 billion International Monetary Fund-led loan in
limbo and prompted Fitch Ratings to cut its credit grade to junk.
Standard & Poor's has signaled it may follow suit, Bloomberg says.

Bloomberg recalls Moody's on Feb. 26 said its Baa3 rating, which
carries a negative outlook, may be lowered to junk if the issue
isn't resolved.


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


IRISH LIFE: Should Launch Right Issue to Raise Extra Capital
------------------------------------------------------------
Geoff Percival at Irish Examiner.com reports that Merrion
Stockbrokers said Irish Life & Permanent should launch a rights
issue to raise extra capital.

According to the report, Merrion said Monday, via a detailed
research note on the financial services group, that it now values
IL&P's recapitalization needs at EUR800 million -- for the group
to achieve an 8% equity tier-1 capital ratio.

"We expect IL&P will look to raise capital via a rights issue.
This should be done regardless of potential participation in Irish
banking sector consolidation.  Other self-help options include
potential gains from liability management or asset disposals," the
report quoted Merrion's Sebastian Orsi as saying in the note.

Headquartered in Dublin, Irish Life & Permanent plc --
http://www.irishlifepermanent.ie/-- is a provider of personal
financial services to the Irish market.  Its business segments
include banking, which provides retail banking services; insurance
and investment, which includes individual and group life assurance
and investment contracts, pensions and annuity business written in
Irish Life Assurance plc and Irish Life International, and the
investment management business written in Irish Life Investment
Managers Limited; general insurance, which includes property and
casualty insurance carried out through its associate, Allianz-
Irish Life Holdings plc, and other, which includes a number of
small business units.  On June 30, 2008, it acquired the rest of
the 50% interest in Joint Mortgage Holdings No. 1 Limited (the
parent of Springboard Mortgages Limited), resulting in Springboard
Mortgages becoming a wholly owned subsidiary.  On December 23,
2008, it acquired an additional 23% of Cornmarket Group Financial
Services Ltd, bringing its interest to 98%.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Feb. 12,
2010, Moody's Investors Service concluded the review on the
remaining hybrid debt instruments in Ireland, downgrading the
ratings on Irish Life & Permanent's Upper Tier 2 securities to Ba3
from Ba1, in line with its revised "Guidelines for Rating Bank
Hybrids and Subordinated Debt" published in November 2009.

These were the only rated bank hybrids in Ireland under review for
possible downgrade following the publication of the revised
guidelines.  This concludes the review for possible downgrade
initiated on November 18, 2009.  All other ratings of Irish Life &
Permanent, including its D BFSR, remain unchanged, together with
their negative outlook, in place since July 7, 2009.


===================
K A Z A K H S T A N
===================


BTA BANK: Given Permanent Relief in Chapter 15
----------------------------------------------
Bill Rochelle at Bloomberg News reports that JSC BTA Bank was
granted relief in the U.S. under Chapter 15 when the bankruptcy
judge in New York ruled t that the court in Kazakhstan abroad is
home to the "foreign main proceeding."  Consequently, creditor
actions in the U.S. are permanently halted, forcing creditors to
hash out their claims and receive distributions in Kazakhstan.

BTA Bank earlier said a court in Kiev, Ukraine, on February 17
issued a ruling "recognizing" the legitimacy of its debt
restructuring process.  BTA Bank also said Dec. 22 the High Court
of Justice of England and Wales recognized the bank's
restructuring, giving the bank a suspension of proceedings against
its assets.

                          About BTA Bank

BTA Bank AO (BTA Bank JSC), formerly Bank TuranAlem AO --
http://bta.kz/-- is a Kazakhstan-based financial institution,
which is involved in the provision of banking and financial
products for private and corporate clients.

The BTA Group is one of the leading banking groups in the
Commonwealth of Independent States and has affiliated banks in
Russia, Ukraine, Belarus, Georgia, Armenia, Kyrgyzstan and Turkey.
In addition, the Bank maintains representative offices in Russia,
Ukraine, China, the United Arab Emirates and the United Kingdom.
The Bank has no branch or agency in the United States, and its
primary assets in the United States consist of balances in
accounts with correspondent banks in New York City.

As of November 30, 2009, the Bank employed 5,043 people inside
and 4 people outside Kazakhstan. It has no employees in the United
States.  Most of the Bank's assets, and nearly all its tangible
assets, are located in Kazakhstan.

JSC BTA Bank, also known as BTA Bank of Kazakhstan, filed for
Chapter 15 bankruptcy protection in New York on Feb. 4, 2010
(Bankr. S.D.N.Y. Case No. 10-10638), listing more than US$1
billion
in both assets and debt.

BTA Bank wants the Bankruptcy Court in Manhattan to enter an order
recognizing the voluntary judicial restructuring proceeding that
was initiated by the bank in the Specialized Financial Court of
Almaty City in Kazakhstan and opened pursuant to an Oct. 16, 2009
decision of the Financial Court, as a foreign main proceeding
pursuant to 11 U.S.C. Secs. 1515 and 1517.

BTA Bank is represented in the Chapter 15 proceedings by White &
Case LLP.


KAUPTHING BANK: Liabilities Exceed Assets by 2-1/2 Times
--------------------------------------------------------
Omar R. Valdimarsson at Bloomberg News reports that Kaupthing Bank
hf owes more than 2-1/2 times what it has in assets.

Citing a revised creditors' report released Tuesday, Bloomberg
says total assets stood at USUS$12.3 billion, compared with
liabilities of USUS$32.2 billion at the end of last year.

Bloomberg relates the report showed the bank's asset value, net of
pledged positions, rose by ISK214 billion (USUS$1.67 billion) at
the end of last year.

According to Bloomberg, Kaupthing, which since its state takeover
has been renamed Arion Bank hf, has received 28,167 claims from
creditors seeking to recoup their losses after the bank's October
2008 collapse.

Bloomberg notes the report showed total claims, including disputed
derivative claims and off-balance sheet items, stood at ISK5.5
trillion at the end of last year.

                       About Kaupthing Bank

Headquartered in Reykjavik, Kaupthing Bank --
http://www.kaupthing.com/-- is Iceland's largest bank and among
the Nordic region's 10 largest banking groups.  With operations in
more than a dozen countries, the bank offers a range of services
including retail banking, corporate finance, asset management,
brokerage, private banking, treasury, and private wealth
management.  Kaupthing was created by the 2003 merger of
Bunadarbanki and Kaupthing Bank.  In October 2008 the Icelandic
government assumed control of Kaupthing Bank after taking similar
measures with rivals Landsbanki and Glitnir.

As reported by the Troubled Company Reporter on Nov. 30, 2008,
Olafur Gardasson, assistant for Kaupthing Bank hf., in a
proceeding under Act No. 21/1991, pending before the Reykjavik
District Court, and foreign representative of the Debtor, filed a
petition under chapter 15 of title 11 of the United States Code in
the United States Bankruptcy Court for the Southern District of
New York commencing the Debtor's chapter 15 case ancillary to the
Icelandic Proceeding and seeking recognition for the Icelandic
Proceeding as a "foreign main proceeding" under the Bankruptcy
Code and relief in aid of the Icelandic Proceeding.


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


BANKAS SNORAS: Fitch Affirms 'B+' Long-Term IDR; Outlook Stable
---------------------------------------------------------------
Fitch Ratings has revised the Outlooks for Lithuania-based AB SEB
Bank's and Bankas Snoras' Long-term Issuer Default Ratings to
Stable from Negative.

The revision of SEB Bank's and Snoras' rating Outlooks follows
Fitch's revision of Lithuania's sovereign rating Outlook to Stable
from Negative.

SEB Bank's Long- and Short-term IDRs are based on the extremely
high potential support that the bank can expect to receive from
its parent, Skandinaviska Enskilda Banken (rated
'A+'/Stable/'F1'), in case of need.

Snoras' Long-term IDR of 'B+' is at its Support Rating Floor,
which reflects the limited probability of support from the
Lithuanian authorities, if required, in view of the bank's
relative importance to the country's banking system.  Snoras'
share of retail deposits at end-November 2009 was about 14% and of
assets 7%.

SEB Bank is the largest bank in Lithuania and the second-largest
in the Baltic region.  Its subsidiaries are involved in leasing,
venture capital, life insurance, corporate finance and asset
management.

At end-November 2009 Snoras was the fifth-largest bank in
Lithuania by total assets.  The bank is 67.28% owned by the
Russian businessman Vladimir Antonov and 25.01% by the Lithuanian
businessman Raimondas Baranauskas.  The bank has to repay about
EUR100 million Eurobonds outstanding in May 2010.  According to
unaudited accounts, the amount of liquid assets at end-2009
amounted to LTL2,322 million (EUR670 million).

The rating actions are:

AB SEB Bank:

  -- Long-term Issuer Default Rating (IDR): affirmed at 'A';
     Outlook revised to Stable from Negative

  -- Short-term IDR: 'F1'

  -- Individual Rating: 'D/E'

  -- Support Rating: '1'

Bankas Snoras:

  -- Long-term IDR: affirmed at 'B+'; Outlook revised to Stable
     from Negative

  -- Senior unsecured debt: 'B+'

  -- Short-term IDR: 'B'

  -- Individual Rating: 'D/E'

  -- Support Rating: '4'

  -- Support Rating Floor: 'B+'

In Fitch's rating criteria, a bank's standalone risk is reflected
in Fitch's Individual ratings and the prospect of external support
is reflected in Fitch's Support ratings.  Collectively these
ratings drive Fitch's Long- and Short-term IDRs.


SEB AB: Fitch Revises Outlook on Long-Term IDR to Stable
--------------------------------------------------------
Fitch Ratings has revised the Outlooks for Lithuania-based AB SEB
Bank's and Bankas Snoras' Long-term Issuer Default Ratings to
Stable from Negative.

The revision of SEB Bank's and Snoras' rating Outlooks follows
Fitch's revision of Lithuania's sovereign rating Outlook to Stable
from Negative.

SEB Bank's Long- and Short-term IDRs are based on the extremely
high potential support that the bank can expect to receive from
its parent, Skandinaviska Enskilda Banken (rated
'A+'/Stable/'F1'), in case of need.

Snoras' Long-term IDR of 'B+' is at its Support Rating Floor,
which reflects the limited probability of support from the
Lithuanian authorities, if required, in view of the bank's
relative importance to the country's banking system.  Snoras'
share of retail deposits at end-November 2009 was about 14% and of
assets 7%.

SEB Bank is the largest bank in Lithuania and the second-largest
in the Baltic region.  Its subsidiaries are involved in leasing,
venture capital, life insurance, corporate finance and asset
management.

At end-November 2009 Snoras was the fifth-largest bank in
Lithuania by total assets.  The bank is 67.28% owned by the
Russian businessman Vladimir Antonov and 25.01% by the Lithuanian
businessman Raimondas Baranauskas.  The bank has to repay about
EUR100 million Eurobonds outstanding in May 2010.  According to
unaudited accounts, the amount of liquid assets at end-2009
amounted to LTL2,322 million (EUR670 million).

The rating actions are:

AB SEB Bank:

  -- Long-term Issuer Default Rating (IDR): affirmed at 'A';
     Outlook revised to Stable from Negative

  -- Short-term IDR: 'F1'

  -- Individual Rating: 'D/E'

  -- Support Rating: '1'

Bankas Snoras:

  -- Long-term IDR: affirmed at 'B+'; Outlook revised to Stable
     from Negative

  -- Senior unsecured debt: 'B+'

  -- Short-term IDR: 'B'

  -- Individual Rating: 'D/E'

  -- Support Rating: '4'

  -- Support Rating Floor: 'B+'

In Fitch's rating criteria, a bank's standalone risk is reflected
in Fitch's Individual ratings and the prospect of external support
is reflected in Fitch's Support ratings.  Collectively these
ratings drive Fitch's Long- and Short-term IDRs.


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


PANTHER CDO: Fitch Affirms CCC Rating on Three Classes of Notes
---------------------------------------------------------------
Fitch Ratings has affirmed all classes of Panther CDO IV B.V.'s
and Panther CDO V B.V.'s notes.  The agency has also revised
Panther V's class A2 notes Outlook to Negative from Stable.  The
rating actions are detailed below.  Both transactions are managed
by Prudential M&G Investment Management Limited.

Panther IV

  -- Class A-1 (XS0276065124) affirmed at 'BBB'; Outlook Stable;
     Loss Severity Rating 'LS-3'

  -- Class A-2 (XS0276066361) affirmed at 'BB'; Outlook Negative;
     'LS-5'

  -- Class B (XS0276068730) affirmed at 'B'; Outlook Negative;
     'LS-5'

  -- Class C (XS0276070553) affirmed at 'CCC'

Panther V

  -- Class A1 (XS0308593671) affirmed at 'A'; Outlook Stable; 'LS-
     2'

  -- Class A2 (XS0308594059) affirmed at 'BBB'; Outlook revised to
     Negative from Stable; 'LS-4'

  -- Class B (XS0308594489) affirmed at 'BB'; Outlook Negative;
     'LS-5'

  -- Class C (XS0308594729) affirmed at 'B'; Outlook Negative;
     'LS-5'

  -- Class D (XS0308595296) affirmed at 'CCC'

  -- Class E (XS0308595536) affirmed at 'CCC'

Panther IV currently has four defaulted assets that represent 1.8%
of the target par amount of the transaction.  In addition, 21.1%
of the portfolio is rated 'CCC' or lower.  The affirmation of the
class A-1, A-2, B and C notes reflects sufficient support for
their respective current ratings driven by over-collateralization
and excess spread.  On the September 2009 payment date, EUR4m of
interest proceeds were diverted to de-leverage the transaction due
to a breach of coverage tests.  While a major source of pressure
on Panther IV was the concentration of property B-notes in the
portfolio, as highlighted by Fitch at the last review in March
2009, the proportion of property B-notes has reduced to 14.6% from
18.6% of the portfolio in March 2009.

Panther V currently has 10 defaulted assets that represent 4.8% of
the target par amount of the transaction.  In addition, 15.4% of
the portfolio is rated 'CCC' or lower.  The affirmation of the
class A-1, A-2, B, C, D and E notes reflects sufficient support
for their respective current ratings driven by OC and excess
spread.  On the last two payment dates in April 2009 and October
2009, a total EUR6.5m of interest proceeds were diverted to de-
leverage the transaction due to a breach of coverage tests.
However, negative rating migration of the portfolio since the last
review in March 2009 has contributed to the Outlook on the A-2
notes being revised to Negative from Stable.  While a major source
of pressure on Panther V was the concentration of property B-notes
in the portfolio, as highlighted by Fitch at the last review, the
proportion of property B-notes has reduced slightly to 11.7% from
13.5% of the portfolio in March 2009.

Within Panther IV and Panther V's diverse portfolios of corporate
and structured finance assets, Fitch believes that the structured
finance assets portions of the portfolios are most likely to cause
the credit profile of the transactions to deteriorate.  This view
is based on the 'CCC' and below rated buckets being primarily
composed of RMBS, CDO and CMBS assets including property B-notes.
From a structural view, the agency believes that the excess spread
that continues to be captured by the structure of the transactions
will mitigate limited portfolio deterioration and minimize the
risk of the respective transaction's under-collateralization event
of default (EOD) trigger being breached.

The agency has assigned Issuer Report Grades of "satisfactory"
(three stars) to both Panther IV and Panther V.  The reporting
characteristics that helped the transactions earn IRGs of
"satisfactory" include reports that are produced on a monthly
basis and provide coverage test calculation steps.  Reporting
characteristics that prevent the transactions from earning IRGs
higher than "satisfactory" include the under-collateralization EOD
levels not being provided in the reports.

Fitch employed its global rating criteria for corporate CDOs and
global criteria for SF CDOs to analyze the quality of the
underlying assets.  In accordance with the agency's cash flow
analysis criteria, Fitch also modelled the transactions' priority
of payments, including relevant structural features such as the
excess spread-trapping mechanism and coverage tests.


===========
N O R W A Y
===========


PETROJACK ASA: Files for Bankruptcy With Oslo Court
---------------------------------------------------
Caroline Binham at Bloomberg News reports that Petrojack ASA on
Monday said it would file for bankruptcy at the Oslo District
Court.

According to Bloomberg, Petrojack said in a statement the company
has been unable to pay interest on its bonds since November, as
well as other debts including tax liabilities due in December and
January.

The company, as cited by Bloomberg, said the board decided
creditors' interests are best served by a bankruptcy.

"The company has in close co-operation with its principal
creditors explored the possibilities for restructuring its debt or
divesting its assets," Bloomberg quoted Petrojack as saying in the
statement. "It has not been possible to find a solution that can
secure the continued operation of the company or a solvent
liquidation."

Petrojack ASA -- http://www.petrojack.no/-- is a Norway-based
company active within the offshore drilling business.  The Company
is engaged in the development, rental and project management of
offshore oilrigs.  It specializes in the construction and
operation of jack-up rigs, which are comprised of self-contained
combination drilling rigs and floating barges, fitted with long
support legs that can be raised or lowered independently of each
other.  The Company operates through three wholly owned
subsidiaries of which Petrojack II Pte Ltd and Petrojack IV Pte
Ltd are domiciled in Singapore, and Petrojack Ltd. registered in
Cyprus.


===========
P O L A N D
===========


* POLAND: Over 600 Companies Filed "Sham" Bankruptcies in 2009
--------------------------------------------------------------
RIA Novosti, citing Polish daily Dziennik Gazeta Prawna, reports
that of 700 companies declared bankrupt last year over 600 might
have been "frauds".

The report relates Dziennik Gazeta Prawna, as quoted by the Polish
Radio Foreign Service, said about 1,500 companies are expected to
go bankrupt in 2010.

"Most of these bankruptcies will be a sham," the report quoted
Elzbieta Maczynska of the Warsaw School of Economics as saying.

According to the report, Ms. Maczynska said company owners prefer
to declare bankruptcy in order not to pay back debts or to pay
just a part of their liabilities.


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


AYT DEUDA: S&P Puts Credit Ratings on CreditWatch Negative
----------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch negative
its credit ratings on AyT Deuda Subordinada I, Fondo de
Titulizacion de Activos's class A and B notes.  The rating on
class C is unaffected.

The CreditWatch placements follow S&P's review of the collateral
credit quality.

S&P believes that the credit quality of the underlying pool has
deteriorated further since S&P's last rating action in October
2008.  The deterioration in credit quality has occurred on most of
the underlying obligors.  The shift in the credit quality of the
underlying obligors may result in higher default assumptions for
the overall portfolio.  S&P will now carry out further analysis to
assess whether the outstanding ratings of senior notes can
withstand S&P's revised stress assumptions at each rating level.

AyT Deuda Subordinada I, Fondo de Titulizacion de Activos issued
EUR298 million of notes in November 2006, backed by nine
subordinated debt bonds issued by Spanish savings banks.

                           Ratings List

    AyT Deuda Subordinada I, Fondo de Titulizacion de Activos
         EUR298 Million Asset-Backed Floating-Rate Notes

              Ratings Placed On CreditWatch Negative

                                Rating
                                ------
               Class     To                    From
               -----     --                    ----
               A         A/Watch Neg          A
               B         BBB-/Watch Neg       BBB-


                        Rating Unaffected

                        Class     Rating
                        -----     ------
                        C         BB


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


* SWEDEN: Corporate Bankruptcies Down 21% to 478 in February
------------------------------------------------------------
Peter Vinthagen Simpson at The Local, citing statistics from UC,
Sweden's largest business and credit information agency, reports
that the number of business failures in Sweden declined by 21% to
478 in February.

The report says all three of Sweden's big city regions showed a
decline in bankruptcies, with retail and services rebounding
strongly.

According to the report, for the year to date, 962 firms have
filed for bankruptcy, a decline of 18% on the corresponding period
of last year.


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


CLARIS IV: Moody's Cuts Rating on Series 6/2006 Notes to 'C'
------------------------------------------------------------
Moody's Investors Service announced this rating action on notes
issued by Claris IV Limited Series 06/2006.

  -- Series 6/2006 EUR5,000,000 Carmel Valley 2006-3 Synthetic
     CDO of RMBS, Withdrawn; previously on Apr 23, 2009 Downgraded
     to C

The rating action follows the repurchase and subsequent
cancellation of the notes on March 3, 2010.  The notes were
repurchased for EUR0, incurring a 100% loss.


ICAP PLC: May Shutter Cash Equities Business
--------------------------------------------
ICAP Plc may shutter its cash equities business unless it finds a
partner or buyer for the unit, Alexis Xydias, Nandini Sukumar and
Christopher Condon at Bloomberg News report, citing people
familiar with the situation.

Bloomberg recalls ICAP said on Feb. 5 trading levels were
"severely reduced" at its cash equity operations as it cut its
pretax profit estimate to as much as GBP315 million from a high
estimate of GBP354 million.

"Cash equities is a competitive business," Bloomberg quoted Sarah
Spikes, a financial services analyst at Arden Partners Plc in
London, as saying.  "I don't think anything that happens with the
equities division is material for the company.  But everything
they do, they do well, so it's disappointing they haven't been
able to make a go of it."

Bloomberg relates Vivek Raja, an analyst at Panmure Gordon & Co.
in London, said new businesses will reduce profit before tax by
about GBP28 million (USUS$42 million), should no buyer be found
for the unit.  ICAP, which is due to report earnings in May, said
new businesses lost GBP7 million in operating profit in the six
months to September, Bloomberg notes.

ICAP's cash equities division employs about 200 people in eight
countries and is run by Glenn Poulter, who joined from Citigroup
Inc. in 2008, and Daryl Bowden, who has been with the firm since
2007, Bloomberg discloses.  The business offers research, sales
and trading of stocks for clients, according to Bloomberg.

ICAP plc -- http://www.icap.com/-- is a voice and electronic
interdealer broker, delivering specialist intermediary broking
services to trading professionals in the wholesale financial
markets.  The Company covers a range of over-the-counter financial
products and services in commodities, foreign exchange, interest
rates, credit and equity markets, as well as data, commentary and
indices.  It is active in both established and emerging markets.
Its electronic networks deliver global connectivity to customers
seeking unparalleled liquidity and flow in an orderly marketplace.
ICAP provides a specialist service by matching up buyers and
sellers in the wholesale financial markets.  Its customers include
investment and commercial banks and they pay a commission to use
them to complete a transaction.  On April 7, 2008, the Company
acquired Link. On April 1, 2008, the Company acquired a 78% of
ICAP Equities Limited.  In August 2008, it acquired Escorfin SA.
In July 2008, it acquired Moving Pictures and Television LLC.


MANCHESTER UNITED: Red Knights Taps Nomura in Takeover Campaign
---------------------------------------------------------------
The Red Knights have approached Nomura in a further signal of
their intentions to wrest control of Manchester United football
club from the Glazer family, Roger Blitz at The Financial Times
reports, citing people close to the situation.

According to the FT, the Japanese investment bank was contacted on
Friday by the group of financiers to see if it would act as
corporate adviser, although no decision has yet been made.

Nomura and the Red Knights both declined to comment, the FT notes.

The FT says recruitment of Nomura would be a significant boost to
the Red Knights campaign, which is being orchestrated by Jim
O'Neill, Goldman Sachs' chief economist who was a United board
member until the Glazers' GBP790 million (USUS$1.2 billion)
leveraged buy-out.

The Troubled Company Reporter-Europe, citing the FT, reported on
March 8, 2010, that the Red Knights, the wealthy financiers
raising funds from Manchester United fans to bid for the football
club, has received two offers from individuals, each promising
GBP500 million to the pool.  As reported by the Troubled Company
Reporter-Europe, BBC Sport said Manchester the club's high level
of debt -- now at GBP716.5 million -- has prompted much unease.

Manchester United Limited -- http://www.manutd.com/-- operates
Manchester United Football Club, one of the most popular and
successful soccer teams in the world.  Man U is currently the top
soccer team the UK's Premier League, boasting 18 championships and
11 FA Cup titles.  Manchester United generates revenue primarily
through ticket sales at venerable Old Trafford stadium, as well as
through broadcasting rights and sales of Red Devils merchandise.
Man U was founded as Newton Heath in 1878 before changing its name
in 1902.  It is owned by American tycoon Malcolm Glazer, whose
holdings include the Tampa Bay Buccaneers NFL team and a majority
stake in Zapata.


RANGERS FOOTBALL: Majority Owner In Takeover Talks
--------------------------------------------------
Roger Blitz at The Financial Times reports that Murray
International Holdings, the majority owner of Rangers Football
Club, was in takeover talks with a London-based property
developer.

According to the FT, Sir David Murray has been seeking to sell the
club, which is heavily indebted to Lloyds Banking Group, for some
months.  The FT notes Rangers' operations are said to be in the
control of the bank, with senior staff employed on short-term
arrangements.

The FT relates a statement on the club's Web site said that Murray
International Holdings were in informal talks with interested
parties, including Andrew Ellis, a former director of Queen's Park
Rangers.

The FT says annual finances released by the club in November
showed that the club was GBP31 million in debt.  It made a pre-tax
loss of GBP12.7 million, against a GBP7.2 million loss the
previous year, the FT discloses.

Rangers Football Club PLC -- http://www.rangers.premiumtv.co.uk/
-- is a United Kingdom-based company engaged in the operation of a
professional football club.  The Company has launched its own
Internet television station, RANGERSTV.tv.  The station combines
the use of Internet television programming alongside traditional
Web-based services.  Services offered include the streaming of
home matches and on-demand streaming of domestic and European
games, which include dedicated pre-match, half-time and post-match
commentary.  The Company will produce dedicated news magazine and
feature programs, while the fans can also access a library of
classic European, Old Firm and Scottish Premier League (SPL)
action.  Its own dedicated television studio at Ibrox provides
onsite production, editing and encoding facilities to produce
content for distribution on all media platforms.


REVERB: Put Into Liquidation; Creditors Meeting Set for March 24
----------------------------------------------------------------
Andy Barrett at MI Pro reports that that the Reverb chain of MI
retail stores has been placed into imminent liquidation.

According to the report, licensed insolvency practitioners David
Rubin & Partners has been appointed to convene a meeting of the
creditors on March 24 and is actively looking for purchasers of
the stock and other assets.

The report notes the company's three stores are now officially
closed and the former staff members have all received letters
announcing their redundancy as of Friday, March 5.

"We are still looking into the reasons," the report quoted David
Rubin & Partners, representing David Rubin & Partners, as saying.
"It seems to be the state of the economy.  Once we have been
appointed -- probably on March 23rd -- we hope to be able to make
a full statement."


ROYAL BANK: Has Largest Pension Deficit Among FTSE 350 Firms
------------------------------------------------------------
Kevin Crowley at Bloomberg News, citing a study, reports that
Royal Bank of Scotland Group Plc has the largest pension deficit
relative to its market value out of U.K. finance firms in the FTSE
350 index.

According to Bloomberg, Hymans Robertson LLP, a London-based
pension consultant, said Tuesday RBS's pension deficit is 69% of
its market value, higher than any other financial firm among
Britain's 350 leading companies.  The firm's calculations stripped
out short-term reductions in plans' liabilities caused by the
financial crisis, Bloomberg discloses.

"It's an extra burden on RBS to recover from the financial
crisis," Bloomberg quoted Clive Fortes, head of corporate
consulting at Hymans Robertson, as saying.  "Not only does it have
to recover its business operations, it also has to recover its
pension scheme."

Bloomberg notes the study said about GBP400 billion of
shareholders' funds in the FTSE 350 are at risk from being used to
fund pension deficits.

The Royal Bank of Scotland Group plc (NYSE:RBS) --
http://www.rbs.com/-- is a holding company of The Royal Bank of
Scotland plc (Royal Bank) and National Westminster Bank Plc
(NatWest), which are United Kingdom-based clearing banks.  The
company's activities are organized in six business divisions:
Corporate Markets (comprising Global Banking and Markets and
United Kingdom Corporate Banking), Retail Markets (comprising
Retail and Wealth Management), Ulster Bank, Citizens, RBS
Insurance and Manufacturing.  On October 17, 2007, RFS Holdings
B.V. (RFS Holdings), a company jointly owned by RBS, Fortis N.V.,
Fortis SA/NV and Banco Santander S.A. (the Consortium Banks) and
controlled by RBS, completed the acquisition of ABN AMRO Holding
N.V. (ABN AMRO).  In July 2008, the company disposed its entire
interest in Global Voice Group Ltd.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Dec. 22,
2009, Fitch Ratings upgraded The Royal Bank of Scotland Group's
(RBS Group) and The Royal Bank of Scotland's Individual Ratings to
'D/E' from 'E' and removed the Rating Watch Positive.  The upgrade
of the Individual Ratings reflects improvements in the group's
capital combined with some progress in restructuring the balance
sheet.


ROYAL NORFOLK: In Administration; Begbies Traynor On Board
----------------------------------------------------------
Jon Beard and Geoff Rhodes of the Brighton office of Begbies
Traynor were appointed administrators of The Royal Norfolk Hotel
2004 Ltd, the trading company which runs the 180-year-old Bognor
Regis hotel, on March 4, 2010.

The landmark building on The Esplanade closed its doors to guests
and local community users at the weekend.  The majority of its 28
staff members have been made redundant.

The premises are owned by Christ for the Nations UK, a charitable
trust which acquired the Royal Norfolk in May 2004 and has
retained the Winchester office of Christie & Co to market the
hotel.

As trading company administrators, Begbies Traynor will be working
with the parent company in a bid to secure a joint sale of the 50
room AA-three-star establishment together with its fixtures and
fittings.

Administrator Jon Beard said: "This is a sad day in the long
history of a well-known Bognor Regis business.

"The Royal Norfolk Hotel has been hard hit by spending cutbacks in
both the corporate and leisure sectors but all efforts are now
firmly focused on finding a new owner for the landmark listed
building and its contents."

The hotel was licensed to perform Christian wedding ceremonies and
has conference facilities for 150 delegates.  Existing bookings
are being referred to other local venues.


STRAWINSKY I: Moody's Cuts Rating on Class B Notes to 'Caa2'
------------------------------------------------------------
Moody's Investors Service took these rating actions on notes
issued by Strawinsky I PLC.

  -- EUR58.63M Class A1-R Senior Secured Floating Rate Notes due
     2024, Confirmed at A1; previously on Oct 23, 2009 Downgraded
     to A1 and Placed Under Review for Possible Downgrade

  -- EUR105.5M Class A1-T Senior Secured Floating Rate Notes due
     2024, Confirmed at A1; previously on Oct 23, 2009 Downgraded
     to A1 and Placed Under Review for Possible Downgrade

  -- EUR43M Class A2 Senior Secured Floating Rate Notes due 2024,
     Downgraded to B3; previously on Oct 23, 2009 Downgraded to B2
     and Remained On Review for Possible Downgrade

  -- EUR23M Class B Senior Secured Floating Rate Notes due 2024,
     Downgraded to Caa2; previously on Oct 23, 2009 Downgraded to
     Caa1 and Remained On Review for Possible Downgrade

Strawinsky I PLC is a managed cash collateralized loan obligation
with exposure to predominantly European senior secured loans, as
well as approximately 14% mezzanine loan exposure.

The rating actions reflects the further recent deterioration in
the credit quality of the portfolio.  This is observed through a
decline in the portfolio weighted average rating factor 'WARF'
(3562 in February 2010, compared to 3219 in October 2009) and an
increase in the proportion of securities rated Caa1 and below in
the portfolio (30.49% in February 2010, compared to 24% in October
2009).  These measures were taken from trustee reports.  Moody's
also performed a number of sensitivity analyses, including
consideration of a further decline in portfolio WARF quality
combined with a decrease in the expected recovery rates.  Due to
the impact of the aforementioned stresses, key model inputs used
by Moody's in its analysis, such as par, weighted average rating
factor, and weighted average recovery rate, may be different from
trustee's reported numbers.

The documentation of Strawinsky CLO allows for an Event of Default
to be triggered by the Class A1 noteholders, should the Class A/B
par value test fall below 100%.  In addition, for the purpose of
computing this test, assets rated Caa1 and below, in excess of 5%
of the portfolio, have to be carried at their market value.  As a
result, Moody's believes that the recent growth in Caa1 and below
rated assets increases the sensitivity of Strawinsky I P.L.C.  to
loan price volatility which may, in turn, have an impact on the
risk of Event of Default.

Moody's also notes that an Event of Default leading to a
liquidation of the portfolio would expose the transaction to
market value risk, impacting all rated tranches but primarily the
Class A2 and lower.  As a result, Moody's will monitor closely the
evolution of the Class A/B Par Value Test in the future.

Moody's however confirms the rating on the A1 notes primarily
because this class benefits directly from the cash diversion
mechanisms applicable in the transaction.  The Class A/B Par Value
test increased to 106.24% in February 2010 from 104.36% in
January, primarily due to a diversion of approximately EUR 10m of
interest and principal cash flows to the Class A1 notes.


STROUD & SWINDON: In Merger Talks with Coventry
-----------------------------------------------
Iain Dey at The Sunday Times reports that Coventry Building
Society is in merger talks with struggling rival Stroud & Swindon.

According to the report, Coventry has opened discussions with
Stroud & Swindon, with a tie-up expected to emerge in the next few
weeks.

The report relates the talks follow a string of recent mergers
between Britain's building societies, many of which have been
forced to seek a partner because of the pressures of the credit
crunch.

The report notes Stroud & Swindon lost almost GBP3 million last
year but has repeatedly told members it remains financially sound.
David Hill, its chief executive, retired suddenly last August, the
report recounts.

The talks with Coventry are believed to have been encouraged by
John Sutherland, Stroud & Swindon's chief executive, who took on
the job only last week, the report says.

Coventry and Stroud & Swindon both declined to comment, according
to the report.  Combined, the two societies would have assets of
almost GBP25 billion, the report states.


UK RECEIVABLES: Moody's Lifts Ratings on Class C Notes From Ba1
---------------------------------------------------------------
Moody's Investors Service has affirmed the ratings of the Class A
asset-backed notes issued under the UK Receivables Trust and UK
Receivables Trust II.  Moody's has also taken rating actions on
the mezzanine and subordinated classes of notes issued under these
two trusts.

The rating actions conclude the review process that Moody's
initiated in March 2009 for the senior notes and October 2009 for
the mezzanine and subordinated notes.  The notes were initially
placed on review, amongst others, due to concerns stemming from
rapid performance deterioration and a review of the purchase rate
assumption.

The affirmation of the senior ratings and the upgrade of the
mezzanine and subordinated classes of notes is driven by a
significant increase in credit enhancement available to
outstanding securities.  Specifically, MBNA issued additional
series of subordinated notes under both UK RTI and UK RT II and
has effectively increased the credit enhancement available to all
outstanding issuances.  Class A, B and C notes issued under UK RT
II now benefit from 30%, 26% and 20.4% credit enhancement
respectively whereas Class A and Class B issued under UK RTI
benefit from 30% and 26.8%.

Three new series have been issued to support all outstanding rated
notes issued out of UK RT I and UK RT II:

  -- Series 2009-A supports all outstanding series issued under UK
     RT I

  -- Series 2009-1 supports all outstanding linked series issued
     out of Deva 1 under UK RT II

  -- Series 2009-2 supports all outstanding de-linked series
     issued out of Deva 3 under UK RT II

Series 2009-A Reference Series and associated rating actions:

UK Receivables Trust:

Issuer: Chester Asset Receivables Dealings No.  11 PLC

  -- EUR730M Class A, Confirmed at Aaa; previously on Mar 3, 2009
     Aaa Placed Under Review for Possible Downgrade

  -- GBP20M Class B, Upgraded to Aa2; previously on Oct 5, 2009 A3
     Placed Under Review for Possible Downgrade

Issuer: Chester Asset Receivables Dealings No.  12 PLC

  -- GBP264M Class A, Confirmed at Aaa; previously on Mar 3, 2009
     Aaa Placed Under Review for Possible Downgrade

  -- GBP12M Class B, Upgraded to Aa2; previously on Oct 5, 2009 A3
     Placed Under Review for Possible Downgrade

Series 2009-1 Reference Series and associated rating actions:

UK Receivables Trust II:

Issuer: Chester Asset Receivables Dealings 2001-B PLC

  -- GBP220M Class A, Confirmed at Aaa; previously on Mar 3, 2009
     Aaa Placed Under Review for Possible Downgrade

  -- GBP12.5M Class B, Upgraded to Aa2; previously on Oct 5, 2009
     A3 Placed Under Review for Possible Downgrade

  -- GBP17.5M Class C, Upgraded to A1; previously on Oct 5, 2009
     Ba1 Placed Under Review for Possible Downgrade

Issuer: Chester Asset Receivables Dealings 2003-B PLC

  -- GBP220M Class A, Confirmed at Aaa; previously on Mar 3, 2009
     Aaa Placed Under Review for Possible Downgrade

  -- GBP12.5M Class B, Upgraded to Aa2; previously on Oct 5, 2009
     A3 Placed Under Review for Possible Downgrade

  -- GBP17.5M Class C, Upgraded to A1; previously on Oct 5, 2009
     Ba1 Placed Under Review for Possible Downgrade

Issuer: Chester Asset Receivables Dealings 2003-C PLC

  -- EUR621M Class A, Confirmed at Aaa; previously on Mar 3, 2009
     Aaa Placed Under Review for Possible Downgrade

  -- EUR35.5M Class B, Upgraded to Aa2; previously on Oct 5, 2009
     A3 Placed Under Review for Possible Downgrade

  -- EUR49.5M Class C, Upgraded to A1; previously on Oct 5, 2009
     Ba1 Placed Under Review for Possible Downgrade

Issuer: Chester Asset Receivables Dealings 2004-1 PLC

  -- GBP440M Class A, Confirmed at Aaa; previously on Mar 3, 2009
     Aaa Placed Under Review for Possible Downgrade

  -- GBP25M Class B, Upgraded to Aa2; previously on Oct 5, 2009 A3
     Placed Under Review for Possible Downgrade

  -- GBP35M Class C, Upgraded to A1; previously on Oct 5, 2009 Ba1
     Placed Under Review for Possible Downgrade

Series 2009-A and Series 2009-1 provide additional credit
enhancement by reducing the allocation of defaults to the
respective reference series, thus providing enhanced subordination
to the outstanding series.  In summary, Series 2009-A and Series
2009-1 Issuers have entered into a defaulted receivables purchase
agreement with the beneficiaries of UK RTI and UK RTII
respectively.  Pursuant to this agreement, in specific
circumstances, defaulted receivables will be purchased by Series
2009-A and Series 2009-1 from the Receivables Trustee and thus
reduce the amount of defaulted receivables allocated to the
respective reference series.

Moody's has considered legal analysis provided by transaction
counsel to MBNA Europe Bank Limited, which concludes that the
proposed structure will not be affected by, and will survive, the
insolvency of the Transferor, MBNA Europe Bank Limited.
Furthermore, transaction documents specify that the excess spread
amortization trigger for all the Series 2009-1 reference series
will be calculated excluding the repurchase of any defaulted
receivables by the Series 2009-1 Issuer.  Series 2009-1 and Series
2009-A can be partially amortized when a particular reference
series has been entirely redeemed.

Class C (Series 2009-2) Reference Series and associated rating
actions:

UK Receivables Trust II:

Issuer: Chester Asset Receivables Dealings Issuer Limited

  -- GBP300M Series 2004 A1 Notes, Confirmed at Aaa; previously on
     Mar 3, 2009 Aaa Placed Under Review for Possible Downgrade

  -- EUR125M Series 2004 B1 Notes, Upgraded to Aa2; previously on
     Oct 5, 2009 A3 Placed Under Review for Possible Downgrade

  -- EUR175M Series 2004 C1 Notes, Upgraded to A1; previously on
     Oct 5, 2009 Ba1 Placed Under Review for Possible Downgrade

  -- GBP250M Series 2006 A1 Notes, Confirmed at Aaa; previously on
     Mar 3, 2009 Aaa Placed Under Review for Possible Downgrade

  -- GBP50M Series 2006 B1 Notes, Upgraded to Aa2; previously on
     Oct 5, 2009 A3 Placed Under Review for Possible Downgrade

  -- GBP70M Series 2006 C1 Notes, Upgraded to A1; previously on
     Oct 5, 2009 Ba1 Placed Under Review for Possible Downgrade

  -- EUR350M Series 2008 A1 Notes, Confirmed at Aaa; previously on
     Mar 3, 2009 Aaa Placed Under Review for Possible Downgrade

  -- GBP300M Series 2008 A2 Notes, Confirmed at Aaa; previously on
     Mar 3, 2009 Aaa Placed Under Review for Possible Downgrade

The Class C (Series 2009-2) is issued under the existing de-linked
platform to support all the outstanding series issued by the
Chester Asset Receivables Dealings (CARDS) issuer.  Although
Series 2009-2 is a Class C note, various features of this series
ensure that this class is subordinated to all outstanding and
future issuances of Class A, B and C notes.  Amongst others, the
principal collections allocated to Class C (Series 2009-2) will be
used to reduce aggregate investor default amounts thereby leading
to reduced un-reimbursed losses allocated to Class A, B and C
notes and allocation of write-offs to Class C (Series 2009-2)
occurs in priority to other Class C loan notes.

Moody's expects charge-offs to range between 12% and 14% on a
medium to long-term basis for the UK MT II and between 11% and 13%
for UK MT I.  It expects payment rates to range between 11% and
13% for UK MT II and between 9.5% and 11.5% for UK MT I and yield
to range between 19% and 21% for UK MT II and between 19% and 21%
for UK MT I.  These performance expectations indicate Moody's
forward-looking view of the likely range of performance over the
medium term.  Furthermore, MBNA is also expected to exercise the
Discounting Option whereby new receivables will be sold at a
discount to the trust.  The discounting option is currently
exercised for a period of five months with a ramp down period of
another four months where the discounting percentage will decrease
by 1% each month.


* UK: Moody's to Phase Out Extraordinary Bank Rating Support
------------------------------------------------------------
As the UK financial sector slowly emerges from the recent crisis,
the extraordinary support from which the country's banking system
has benefited is likely to be gradually withdrawn, Moody's
Investors Service says in a new Special Comment.  As a result,
Moody's expects that -- over the next one to three years -- it
will phase out the extraordinary support assumptions currently
incorporated into the senior debt and deposit ratings of a number
of UK financial institutions and revert to its lower, pre-crisis
support assumptions.  Any resulting rating migration is expected
to be gradual.

"Over the last 18 months, the UK banking system has benefited from
extraordinary support provided by both the government and the Bank
of England.  Given the systemic nature of the crisis, whereby the
failure of any bank had implications for the overall system, in
the case of a number of rated institutions Moody's increased its
assessments of the likelihood that the entity would receive
systemic support in the event of need," says Elisabeth Rudman, a
Moody's Vice-President -- Senior Credit Officer and author of the
report.

These increased support assumptions have provided stability for
the senior debt and deposit ratings of some banks whose standalone
bank financial strength ratings (BFSRs) have been downgraded by
Moody's during the crisis, in many cases by several notches and to
non-investment grade levels -- an indication of their fragile
standalone creditworthiness.

"As the UK authorities implement their strategy to phase out the
provision of extraordinary liquidity support to the UK banking
sector and, in the long term, solvency support for banks, Moody's
expects to reduce the extraordinary systemic support assumptions
factored into our debt and deposit ratings and return to our lower
pre-crisis support assumptions," Ms. Rudman says.  "As a result,
our approach to assessing institutions' probability of receiving
systemic support will revert to a case-by-case assessment of the
impact of a failure of the bank on the system's financial
stability."

Moody's Special Comment discusses the background to these
developments and the triggers that the rating agency will assess
in its analysis to determine the appropriate degree and timing for
removing extraordinary support assumptions from individual
institutions' senior debt and deposit ratings.  Key determining
factors will include the importance of the bank and the pace of
recovery of the UK economy.  Moody's will also assess on an
ongoing basis the extent to which legal and regulatory
developments in the UK may reduce the likelihood of 'normalized',
i.e. non-extraordinary, levels of support being extended.

The principal methodologies used in rating UK banks and building
societies are "Bank Financial Strength Ratings: Global
Methodology" and "Incorporation of Joint-Default Analysis into
Moody's Bank Ratings: A Refined Methodology," which are available
on www.moodys.com in the Rating Methodologies sub-directory under
the Research & Ratings tab.  Other methodologies and factors that
may have been considered in the process of rating these issuers
can also be found in the Rating Methodologies sub-directory on
Moody's website.

The report, entitled "Phasing Out Extraordinary Support
Assumptions from UK Bank Ratings", is available at www.moodys.com.


* Melanie Willems Joins Chadbourne & Parke With IDR Team
--------------------------------------------------------
The international law firm of Chadbourne & Parke LLP disclosed
that Melanie Willems will be joining the International Dispute
Resolution (IDR) practice as a partner in the London office. A
team of three lawyers will be joining the firm with her.

Ms. Willems has extensive experience in complex arbitrations
before major tribunals, advising in matters before the ICC, the
LCIA, the International Centre for Settlement of Investment
Disputes (ICSID), as well as in ad hoc proceedings.  She also
undertakes litigation in English courts and all forms of
alternative dispute resolution.  Ms. Willems, 42, comes to
Chadbourne from Howrey LLP, where she was head of the
international arbitration group in London.

"Melanie adds depth and hands-on experience to our IDR practice,"
said Chadbourne Managing Partner Charles K. O'Neill.  "Her
international ADR and litigation skills will help us to expand and
capitalize on significant opportunities coming to us from Russia,
Central and Eastern Europe, the Middle East, Turkey and Africa."

The hiring of Ms. Willems continues the expansion of the firm's
core IDR practice to its London office.  The firm bolstered its
IDR practice when it reopened an office in Dubai in 2007 and
welcomed back partner Jack Greenwald.  The growth continued in
2008 when the firm hired lateral partners Oliver Armas in New York
and Luis Enrique Graham in Mexico City.  In 2009, IDR partner C.
Ignacio Suarez Anzorena joined Chadbourne in Washington D.C.

"Melanie has particular experience in dealing with disputes
arising from projects in the Middle East, Asia and Africa," said
Claude S. Serfilippi, Managing Partner of Chadbourne's London
office. "Her client service abilities, combined with her
bicultural background and fluency in French, will help to support
and reinforce our existing relationships and to grow the
practice."

Ms. Willems has clients in a wide range of industry sectors
including engineering, energy, construction, transport and other
infrastructure, property development, technology and insurance,
and has advised on projects ranging from the dredging of the Suez
Canal to petrochemical plants, and more recently, renewable energy
work.

"Melanie has strong experience in construction law disputes,
including the resolution of issues arising from large-scale
commercial developments," said Mr. Armas, one of Chadbourne's IDR
practice leaders.  "She is incredibly talented, energetic and
resourceful.  We feel extremely fortunate to have her joining our
team as we gear up to add more new talent to further support
expansion across our 12 office international network."

The three-lawyer team joining with Ms. Willems includes UK
qualified Markus Esly and Robert Blackett, as well as junior
lawyer Richard Oliver.

"It's an excellent move for me both culturally and professionally.
The platform offered by Chadbourne & Parke is outstanding and our
team's clients will be very comfortable," said Ms. Willems.  "We
are enthusiastic about the great synergies with Chadbourne's
impressive client base and are delighted at joining forces with
practitioners of the quality and experience that Chadbourne has
assembled."

Ms. Willems is a qualified mediator and a Solicitor-Advocate. She
has appeared as lead advocate in the Technology and Construction
Court and acts as advocate in international arbitrations.

Ms. Willems earned her master's degree in law from Universite de
Paris I (the Sorbonne) (1989).  She received an LLB from Kings
College in London in 1989 and an MSc in Construction Law and
Arbitration also from Kings College in 1993.  She has been
recognized by both Chambers and Legal 500 for her work in
arbitration law.

                 About Chadbourne & Parke LLP

Chadbourne & Parke LLP, an international law firm headquartered in
New York City, provides a full range of legal services, including
mergers and acquisitions, securities, project finance, private
funds, corporate finance, energy/renewable energy, communications
and technology, commercial and products liability litigation,
arbitration/IDR, securities litigation and regulatory enforcement,
special investigations and litigation, intellectual property,
antitrust, domestic and international tax, insurance and
reinsurance, environmental, real estate, bankruptcy and financial
restructuring, employment law and ERISA, trusts and estates and
government contract matters.  Major geographical areas of
concentration include Russia, Central and Eastern Europe, the
Middle East and Latin America.  The Firm has offices in New York,
Washington, D.C., Los Angeles, Mexico City, London (an affiliated
partnership), Moscow, St. Petersburg, Warsaw, Kyiv, Almaty, Dubai
and Beijing.


===============
X X X X X X X X
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* Moody's: European Default Rate Falls to 9.7% in February
----------------------------------------------------------
The European speculative-grade default rate fell from a revised
10.9% in January to 9.7% in February, said Moody's Investors
Service in its latest monthly default report.  The default rate
stood low at 2.8% in February 2009.  Globally, the speculative-
grade default rate declined to 11.6% in February, down from
January's level of 12.5%. A year ago, the global default rate
stood at only 5.8%. The ratings agency's default rate forecasting
model now predicts that the global speculative-grade default rate
will decline sharply to 2.9% by the end of this year and then edge
lower to 2.7% by February 2011.

"The trailing 12-month global default rate will likely decline
rapidly over the next several months as the bulge of defaults that
occurred in the first half of 2009 move out of the trailing
twelve-month window," said Moody's Director of Default Research
Kenneth Emery.  Among European speculative-grade issuers, Moody's
forecasting model projects the speculative-grade default rate will
arrive at 1.7% in December 2010 followed by a small up-tick to
2.0% by February 2011.  For U.S. speculative-grade issuers,
Moody's forecasting model foresees default rate falling to 3.3% by
December 2010, and 3.0% a year from now.

Measured on a dollar volume basis, the European speculative-grade
bond default rate fell to 10.3% in February from a revised level
of 12.2% in January.  At this time last year, the European
speculative-grade bond default rate was 1.5%.

In the U.S., the dollar-weighted speculative-grade bond default
rate ended at 15.4% in February, down from 16.3% in January. The
comparable rate was 8.0% in February 2009.

Moody's speculative-grade corporate distress index -- which
measures the percentage of rated issuers that have debt trading at
distressed levels -- came in at 16.5% in February, unchanged from
the revised level in January.  A year ago, the index stood much
higher at 49.0%.  In the leveraged loan market, only one Moody's-
rated loan issuer - Penton Media, Inc - defaulted in February.
The trailing 12 month U.S. leveraged loan default rate fell from
11.4% in January to 10.9% in February. A year ago, the loan
default rate was 4.5%.

Across industries over the coming year, default rates are expected
to be highest in the Business Service sector in Europe and in the
Consumer Transportation sector in the U.S. Moody's "February
Default Report" is now available -- as are Moody's other default
research reports -- in the Ratings Analytics section of
Moodys.com.


* Moody's: Global Default Rate Falls to 11.6% in February 2010
--------------------------------------------------------------
The trailing 12-month global speculative-grade default rate fell
to 11.6% in February, down from January's level of 12.5%, said
Moody's Investors Service in its latest default report.  A year
ago, the global default rate stood at only 5.8%.  The ratings
agency's default rate forecasting model now predicts that the
global speculative-grade default rate will decline sharply to 2.9%
by the end of this year and then edge lower to 2.7% by February
2011.

"The trailing 12-month default rate will likely decline rapidly
over the next several months as the bulge of defaults that
occurred in the first half of 2009 move out of the trailing
twelve-month window," said Moody's Director of Default Research
Kenneth Emery.

In the U.S., the speculative-grade default rate edged lower from
January's 13.6% to 12.7% in February, while in Europe, the default
rate among speculative-grade issuers fell from a revised 10.9% in
January to 9.7% in February.  At this time last year, the U.S.
default rate stood at 6.5% and the European default rate was even
lower at 2.8%. Among U.S. speculative-grade issuers, Moody's
forecasting model foresees the default falling to 3.3% by December
2010 and 3.0% a year from now.  In Europe, the forecasting model
projects the speculative-grade default rate will arrive at 1.7% in
December 2010 followed by a small up-tick to 2.0% by February
2011.

Overall, only two of Moody's-rated corporate debt issuers
defaulted in February, which sends the year-to-date default count
to 10.  Both of the February defaulters were based in the U.S. In
comparison, there were 45 defaults in the first two months of last
year.  Across industries over the coming year, default rates are
expected to be highest in the Consumer Transportation sector in
the U.S. and the Business Service sector in Europe.

Measured on a dollar volume basis, the global speculative-grade
bond default rate fell from a revised level of 16.0% in January to
14.8% in February. Last year, the global dollar-weighted default
rate stood at 7.0% in February.

In the U.S., the dollar-weighted speculative-grade bond default
rate ended at 15.4% in February, down from 16.3% in January.  The
comparable rate was 8.0% in February 2009.

Moody's speculative-grade corporate distress index -- which
measures the percentage of rated issuers that have debt trading at
distressed levels -- came in at 16.5% in February, unchanged from
the revised level in January.  A year ago, the index was much
higher at 49.0%.  In the leveraged loan market, only one Moody's-
rated loan issuer -- Penton Media, Inc. -- defaulted in February.
The trailing 12 month U.S. leveraged loan default rate fell from
11.4% in January to 10.9% in February.  A year ago, the loan
default rate stood at 4.5%.

Moody's "February Default Report" is now available -- as are
Moody's other default research reports -- in the Ratings Analytics
section of Moodys.com.


* Dresdner Ex-CEO Says Big Banks at Risk of Bankruptcy
------------------------------------------------------
Bloomberg News reports that Dresdner Bank AG's former chief
executive officer, Herbert Walter told Boersen-Zeitung in an
interview that he thinks big banks can go bankrupt in the future
as governments can't afford rescue actions.

According to Bloomberg, Mr. Walter, as cited by the newspaper,
said such a bankruptcy could cause dangerous chain financial
reactions.

                            *********

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 USUS$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-Fernandez, Joy A. Agravante and Peter A. Chapman,
Editors.

Copyright 2010.  All rights reserved.  ISSN 1529-2754.

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