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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, September 25, 2013, Vol. 14, No. 190

                            Headlines

E S T O N I A

LETOFIN TRADING: Criminal Proceeding Prompts Liquidation


G E R M A N Y

* EU Approach Likely Unchanged By German Coalition Switch


I R E L A N D

IRISH BANK: Objectors Delay US Bankruptcy Bid by Several Weeks


I T A L Y

ALITALIA SPA: Air France-KLM to Strengthen Role, Minister Says
DEXIA CREDIOP: S&P Raises Counterparty Credit Rating to 'BB-'
INTERATTIVA: Police Arrests Mediaset Director in Bankruptcy Case


K A Z A K H S T A N

ALLIANCE BANK: S&P Lowers Rating to 'CCC+'; Outlook Stable
ALLIANCE BANK: Recapitalization Plan Neutral for Fitch Ratings
KAZKOMMERTSBANK JSC: S&P Lowers Ratings to 'B/C'; Outlook Stable


L U X E M B O U R G

MOSSI & GHISOLFI: Moody's Withdraws B2 Corporate Family Rating


N E T H E R L A N D S

MAGYAR TELECOM: Obtains Consents From Senior Secured Note Holders
PANTHER CDO V: S&P Affirms 'BB+' Rating on Class C Notes


R U S S I A

STROYKREDIT BANK: Moody's Withdraws 'Ba2.ru' Deposit Rating
* PENZA REGION: Fitch Affirms 'BB' Long-Term Currency Ratings


S P A I N

ABENGOA FINANCE: Moody's Rates EUR250MM Senior Notes 'B2'
BANKIA SA: Purges Hundreds of External Directorships


U N I T E D   K I N G D O M

CALYPSO CAPITAL: S&P Assigns Prelim. 'BB-' Rating to Cl. A Notes
GO SCIENCE: Thalassa Holdings Proposes Acquisition of Business
HERON TOWER: Ronson Close to Concluding a GBP300MM Refinancing
JERROLD FINCO: Fitch Rates GBP200MM Senior Unsecured Notes 'B+'
RMAC SECURITIES 1: S&P Affirms 'B-' Ratings on Two Note Classes

ROYAL MINT: Capita Asset Services Appoints Savills as Receiver
SAFEHOSTS LTD: To Make an Administration Order
SMARTOFFICE TECHNOLOGIES: In Administration; 14 Jobs Affected
STANTON MBS I: Fitch Affirms Rating on Class D Notes at 'CC'
TAILORMADE INDEPENDENT: Goes Into Administration

W. PROMOTIONS: Hearn Reacts to Warren Comments
* UK: Financial Crisis Turns 2.5 Million Companies Into "Zombies"


                            *********


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E S T O N I A
=============


LETOFIN TRADING: Criminal Proceeding Prompts Liquidation
--------------------------------------------------------
Toomas Hobemagi at Baltic Business News, citing Aripaev, reports
that Letofin Trading, a fuel and oils trader that is co-owned by
banker Juri Mois, has been put up for liquidation due to a
criminal procedure launched against the company by the tax
authority in the spring of 2011.

Mr. Mois who is former chairman of the company's supervisory
board said that the criminal proceeding has made further
operations impossible and that the tax authority has seized the
company's bank accounts, BBN relates.

Among others, the company's office was raided by the tax
authority's anti-fraud unit with the presence of a special police
unit, BBN discloses.  The state claims EUR0.6 million from the
company in connection with a shipment of vegetable oil, BBN says.
According to BBN, Mr. Mois has said that the shipment changed
owners during transport and that the tax authority was
considering it as a fictitious business transaction.

Other shareholders of Letofin Trading are Mark and Leonid Eivin,
BBN notes.

Letofin Trading is based in Estonia.



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


* EU Approach Likely Unchanged By German Coalition Switch
---------------------------------------------------------
The German authorities' approach to the eurozone crisis is
unlikely to alter significantly whatever coalition the CDU/CSU
form, despite the collapse of the Free Democratic Party, Fitch
Ratings says. The pending election had slowed the bloc's crisis
response in 2013. However, a number of potential flashpoints
between now and year-end will highlight the unresolved issues and
tensions within the eurozone on how best to deepen Economic and
Monetary Union.

The political consensus in Germany reflects popular support for
the country's existing approach to the eurozone, with its
emphasis on fiscal and economic reform to improve
competitiveness, and resistance to debt mutualization.
Politicians are also mindful of the possibility of legal
challenges in the Constitutional Court to extending the remit of
existing stabilization mechanisms.

This is reflected in pre-election comments from CDU/CSU, SPD, and
some smaller parties, who oppose using ESM funds for direct bank
recapitalization without strict conditionality; they oppose a
common deposit guarantee fund; and are in favor of eurozone
members that receive support having to make a more formal
commitment to reform. On debt mutualization, the SPD has
significantly toned down its earlier support for common eurozone
bonds. Overall, Fitch does not not expect the German authorities
to significantly modify their approach to the crisis post-
election even where it is at odds with other eurozone members or
central institutions.

Market pressure on policy makers to speed up their response to
the crisis may lie dormant as long as the European Central Bank
stands ready to intervene in sovereign bond markets. However, a
number of unresolved issues will re-emerge in the coming months.

There is little clarity about the terms of future EU support for
sovereigns. This remains a key issue and has already resurfaced
in talk of a possible funding gap in 2014 in Greece's second
program, which will require additional financing to be identified
this autumn (we have previously acknowledged the possibility of
minor funding shortfalls appearing after 2013).

Ireland's program is due to end in December this year, and
Portugal's in May next year. Our base case remains that Portugal
will need and receive further official support; deciding how to
provide it may test relations between Portugal and its
international creditors, including Germany, as Portugal seeks to
have its deficit target under the program increased.

Policy makers will also try to decide the final shape of the
Single Resolution Mechanism (SRM) for eurozone banks this autumn.
Germany's preference (shared by some other eurozone members) is
that current proposals could require changes to the Lisbon Treaty
and approval by all EU members; this threatens to complicate or
delay a decision based on existing proposals, further slowing
progress towards banking union in the eurozone.

The expected continuity in Germany's approach to the crisis
suggests that the process of deepening EMU integration via
institutional reform and achieving greater clarity on the terms
of financial and fiscal risk sharing will remain slow.

This is in line with our long-standing base-case that resolving
the crisis will take time and the eurozone authorities will
continue with an ad hoc policy-making approach. Political
commitment to maintaining the currency union remains strong and
our base case is that a break up will be avoided, but the path to
resolution will remain bumpy.



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I R E L A N D
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IRISH BANK: Objectors Delay US Bankruptcy Bid by Several Weeks
--------------------------------------------------------------
Mark Paul at The Irish Times reports that the slew of objections
filed this week in the US bankruptcy proceedings of Irish Bank
Resolution Corporation has delayed by several weeks its bid to
protect up to US$1 billion of its assets from potential seizure
by creditors.

Kieran Wallace and Eamonn Richardson of KPMG, the special
liquidators of IBRC, had originally sought an emergency hearing
at a Delaware court on Thursday for Chapter 15 protection, The
Irish Times relates.

This would protect its US assets from a litany of lawsuits
brought against it by US creditors, until the bank's Irish wind-
down was completed, The Irish Times notes.

However, IBRC agreed to shelve the hearing and replace it with a
"scheduling conference" to come to arrangements on a timetable
for discovery of documents with the objectors, The Irish Times
states.

According to The Irish Times, the objectors argue IBRC is not
entitled to the protection.  They include a number of Anglo
borrowers led by John Flynn, a US resident who developed several
properties in Smithfield early in the Dublin property boom, The
Irish Times says.  Mr. Flynn's group has taken a New York fraud
case against the bank, which would be halted if the protection
was granted, The Irish Times discloses.

The liquidators on Thursday asked the court to limit the scope of
documents sought by two other objectors, a pair of hedge funds
controlled by US billionaire Paul Singer, The Irish Times
recounts.

                         About Irish Bank

Irish Bank Resolution Corp., the liquidation vehicle for what was
once one of Ireland's largest banks, filed a Chapter 15 petition
(Bankr. D. Del. Case No. 13-12159) on Aug. 26, 2013, to protect
U.S. assets of the former Anglo Irish Bank Corp. from being
seized by creditors.

Irish Bank Resolution is seeking assistance from the U.S. court
in liquidating Anglo Irish Bank Corp. and Irish Nationwide
Building Society.  The two banks failed and were merged into IBRC
in July 2011.  IBRC was tasked with winding them down and
liquidating their assets.  In February, when Irish lawmakers
adopted the Irish Bank Resolution Corp., IBRC was placed into a
special liquidation in the Irish High Court to complete
liquidation and distribution of the two banks' assets.

IBRC's principal asset as of June 2012 was a loan portfolio
valued at some 25 billion euros (US$33.5 billion). About 70
percent of the loans were to Irish borrowers. Some 5 percent of
the portfolio was under U.S. law, according to a court filing.
Total liabilities in June 2012 were about EUR50 billion,
according to a court filing.

Most assets in the U.S. have been sold already.  IBRC is involved
in lawsuits in the U.S.

The IRBC liquidators want the U.S. bankruptcy judge to rule that
Ireland is home to the so-called foreign main bankruptcy
proceeding.  If the judge agrees and determines that IBRC
otherwise qualifies, creditor actions in the U.S. will halt
automatically.



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I T A L Y
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ALITALIA SPA: Air France-KLM to Strengthen Role, Minister Says
--------------------------------------------------------------
Giulio Piovaccari at Reuters reports that Italian transport
minister Maurizio Lupi said on Monday Air France-KLM will
strengthen its role in Alitalia SpA.

"I expect that Air France will strongly reaffirm that Alitalia is
a strategic asset for Air France, and therefore that there will
be a strengthening of Air France's role," Reuters quotes Mr. Lupi
as saying at the margins of an industry conference in Milan.

Air France-KLM owns 25% of the loss-making Alitalia following the
Italian firm's rescue from bankruptcy in 2008, and media reports
have predicted the Franco-Dutch group will decide what to do with
its stake in the coming week, Reuters discloses.

                          About Alitalia

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


DEXIA CREDIOP: S&P Raises Counterparty Credit Rating to 'BB-'
-------------------------------------------------------------
Standard & Poor's Ratings Services raised to 'BB-' from 'B+' its
long-term counterparty credit rating on Italy-based bank Dexia
Crediop SpA.  At the same time, S&P affirmed its 'B' short-term
counterparty credit rating.

S&P is also removing the ratings from CreditWatch with negative
implications, where it placed them on July 12, 2013.  The outlook
is negative.

The rating action follows S&P's analysis of the impact of
Crediop's decision to unwind its special-purpose vehicle, Dexia
Crediop per la Cartolarizzazione s.r.l. (DCC), in the broader
context of the Dexia S.A. Group's run-off.

DCC is a special-purpose vehicle that has a EUR3.7 billion book
value; its portfolio consists of local authorities bonds.
Crediop has announced that it will unwind it by the end of 2013
by selling most of the underlying portfolio to Caisse Fran‡aise
de Financement Local (CAFFIL; formerly known as Dexia Municipal
Agency).  When Crediop first announced the DCC unwind, S&P
considered it possible that the unwind would not mitigate the
impact on Crediop of what it saw as increased economic and
industry risks for Italian banks.  S&P therefore kept the rating
on CreditWatch negative.  In particular, S&P's decision was
influenced by its view of the negative effect of these economic
and industry risks on its anchor--the starting point for
assigning a bank a long-term rating--for Crediop and other banks
operating predominantly in Italy.  In addition, S&P took into
account the negative effect a tougher economic and operating
environment might have on Crediop's own credit standing,
particularly its solvency.

Nevertheless, after assessing the context of the unwind as well
as its impact on Crediop's financial profile, S&P concluded that
the benefits of the unwind, combined with our view of the
increased potential for support from the Dexia group, outweighed
the negative impact on the ratings of the heightened economic and
industry risk S&P sees in Italy.

The negative outlook on Crediop reflects the possibility that,
all else being equal, S&P could lower the ratings if it
anticipates that one or more of the following conditions will
occur:

  -- The economic or industry risk in which Italian banks operate
     deteriorates further; or

   -- Crediop's solvency weakens, particularly if this is due to
      extraordinary costs causing losses or to the impact of a
      potential downgrading of the sovereign and public sector
      entities, to which Crediop remains highly exposed.


INTERATTIVA: Police Arrests Mediaset Director in Bankruptcy Case
----------------------------------------------------------------
Telecompaper reports that Andrea Ambrogetti, director of
institutional relations of Italian commercial broadcaster
Mediaset, has been arrested by the Financial Police in Milan,
along with five other people, in relation to the collapse of
Interattiva, which went bankrupt in 2012.

Telecompaper, citing Italian news agency Ansa, reports that
Ambrogetti was placed under house arrest as a "de facto
administrator" of the company in bankruptcy with liabilities of
about EUR3 million.  Mediaset is totally unrelated to the case,
Telecompaper notes.

According to Telecompaper, the six are charged with the crime of
fraudulent bankruptcy, attempted fraud and bid rigging, including
an attempted scam at the Ministry of University and Research.

Interattiva is an Italian telecommunications company.



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


ALLIANCE BANK: S&P Lowers Rating to 'CCC+'; Outlook Stable
----------------------------------------------------------
Standard & Poor's Ratings Services said it lowered its long-term
counterparty credit rating on Kazakhstan-based Alliance Bank JSC
to 'CCC+' from 'B-'.  S&P also lowered the Kazakhstan national
scale rating to 'kzB' from 'kzBB-' and affirmed its 'C' short-
term counterparty credit rating on the bank.  The outlook is
stable.

The rating action reflects S&P's view that the importance of
Alliance Bank to the Kazakh government has decreased since the
bank's default in 2009.

Alliance Bank ranked among the top five banks in Kazakhstan prior
to the default, with a leading market share of about 20% in
retail loans, including more than 50% in express consumer loans
in 2008. Following the subsequent restructuring in 2010, the bank
ranked only No. 9 at mid-year 2013.  Other midsize banks without
a large legacy of problem loans have grown faster than Alliance
Bank and have advanced their market positions.  They have also
challenged Alliance Bank's leading market position in unsecured
consumer loans, the most rapidly growing customer segment in
Kazakhstan.

In S&P's view, a second possible default of Alliance Bank would
have a limited impact for the Kazakh government because the bank
does not offer any unique products or services.  It has a small
4% market share, and other Kazakh commercial banks could provide
similar services.  S&P considers that Alliance Bank has low
systemic importance in the Kazakh banking sector, in view of its
limited market share in total loans and retail deposits.

S&P continues to consider Alliance Bank as a government-related
entity (GRE), but it notes that the Kazakh government has
announced its intention to sell its majority stake in 2013.
However, S&P thinks a sale in the next 12 months is uncertain, in
the absence of actions to bolster the bank's solvency to make it
more attractive to a potential acquirer.

As a result, S&P has revised its view of Alliance Bank's role for
the Kazakh government as a GRE to "limited importance" from
"important," and now considers that the likelihood of
extraordinary government support to the bank is "moderate" versus
"moderately high" previously.  Consequently, S&P now includes
only one notch of uplift in the long-term rating on the bank,
reflecting potential future government support.

The stable outlook on Alliance Bank reflects S&P's expectation
that the bank's SACP will remain unchanged over the next 12
months and the government will remain a supportive owner during
this period.  S&P expects the bank to meet regulatory
requirements on liquidity and capitalization, but foresees no
material improvement in its asset quality or capitalization in
the next 12 months, given the time-consuming recovery process and
the bank's low core profitability.

In S&P's view, the most likely driver of a rating change on the
bank would be an announced sale.  S&P would review the
implications for the ratings on Alliance Bank if a sale is
announced.  S&P would likely remove the one notch of uplift it
currently incorporates into the ratings for the "moderate"
likelihood of support from the Kazakh government.  However,
whether the ratings were affected or not would depend on the
nature and terms of the sale, which are factors that could
influence the SACP, and the identity of the acquirer.

Separately, S&P could take a negative rating action on the bank
if it saw significant liquidity deterioration, mainly due to
deposit withdrawals.  However, this is not S&P's base-case
scenario.


ALLIANCE BANK: Recapitalization Plan Neutral for Fitch Ratings
--------------------------------------------------------------
Fitch Ratings says it does not expect to take any rating action
on Kazakhstan's Alliance Bank JSC following the approval by the
National Bank of Kazakhstan (NBK) of a recapitalization plan for
the bank. Alliance's 'CCC' Long-term IDR continues to reflect the
bank's weak solvency and considerable uncertainty in respect to
continued support from the Kazakh authorities.

In its H113 IFRS accounts, Alliance disclosed that the NBK had
approved the bank's seven-year recapitalization plan. The
adoption of the plan in turn enabled the NBK to provide Alliance
with a waiver, valid to end-2015, with respect to compliance with
the regulatory open currency position limit, which the bank
breached at end-H113.

Fitch has not so far been provided with a copy of the
recapitalization plan and has only received limited information
on its contents. However, the agency's current understanding is
that adoption of the plan more likely represents formal
fulfillment of a requirement for granting Alliance waivers on
regulatory breaches, rather than any firm commitment to provide
capital to the bank. As such, the agency views the plan as only
marginally positive, in that it seems to confirm the authorities'
readiness to continue extending regulatory forbearance to the
bank, at least in the near term pending a decision on the bank's
resolution. However, adoption of the plan is neutral for the
bank's ratings, given the absence of any public commitment of the
Kazakh authorities or any potential new shareholder to provide
capital support.

Alliance has so far avoided breaching minimum regulatory capital
ratios primarily as a result of booking significantly lower loan
impairment reserves in its statutory accounts than in its IFRS
statements. At end-H113, the difference was KZT31bn, equal to
5.9% of regulatory risk weighted assets, and the regulatory tier
1 and total capital ratios were 9.9% and 13.2%, respectively
(Basel I ratios: 2.5% and 5.0%). In accordance with a new Kazakh
bank regulation, adopted in July 2013, local banks were obliged
to equalize their statutory reserves with those under IFRS level
as of Aug. 1, 2013. However, Alliance increased its reserves by
only KZT5 billion at this date, and Fitch believes the NBK's
tolerance of still markedly different statutory and IFRS
provision levels at Alliance may also be a result of the adoption
of the bank's recapitalization plan.

Fitch downgraded Alliance's Long-term IDR to 'CCC' in May 2013,
reflecting the agency's view that a new restructuring of the
bank's liabilities has become a real possibility. This view was
based on (i) the plan of the major shareholder, National Wealth
Fund Samruk Kazyna (SK), to sell the bank; (ii) Fitch's
understanding that SK is unlikely to inject capital into Alliance
prior to any sale in order to support the bank's viability; and
(iii) the agency's understanding that regulatory forbearance with
respect to the bank's capitalization is unlikely to be extended
beyond the near term, meaning that a restructuring of the bank is
likely if a buyer is not found in a reasonably short time.
Adoption of the recapitalization plan may be marginally positive
for Alliance in that it could signal the readiness of the
authorities to extend regulatory forbearance beyond the near
term. However, in Fitch's view, the risk of a restructuring
remains high, as SK has yet to report on any significant progress
with the sale of the bank or announced any plans for the bank's
recapitalization.

Alliance's 'cc' VR reflects the bank's weak stand-alone financial
strength, including (i) negative Fitch core capital (FCC); (ii)
the high level of impaired non-earning assets and significant
restructured loans, the latter potentially resulting in further
pressure on capital; (iii) weak pre-impairment profitability; and
(iv) increasing refinancing risk. The H113 IFRS accounts did not
suggest any significant improvements in the bank's standalone
profile, with FCC remaining negative at end-H113, loans overdue
by 90 days or more comprising 49% of the portfolio (the same
level as at end-2012) and liquid assets of US$267 million
(including US$98 million of cash and US$169 million of repoable
sovereign and SK bonds) accounting for a moderate 7% of the
balance sheet. Pre-impairment profit turned moderately positive
in H113 after a loss in 2012, but was more than offset by
negative AFS securities revaluations, booked directly to equity.

Alliance's IDRs could ultimately be downgraded to 'RD' and the VR
to 'f' if SK fails to find a buyer for Alliance and announces
that it will seek to resolve the bank through a restructuring of
its liabilities. The IDRs could also be downgraded if the bank is
sold to a weak new shareholder without measures being taken to
strengthen the bank's capitalization by either SK or the new
owner. Conversely, the ratings could stabilize at their current
levels, or be moderately upgraded, if the bank's capitalization
is strengthened as a result of a sale.

Alliance Bank JSC's ratings are:

Long-Term foreign currency IDR: 'CCC'
Short-Term foreign currency IDR: 'C'
Long-Term local currency IDR: 'CCC'
Viability Rating: 'cc'
Support Rating: 5
Support Rating Floor: 'CCC'
Senior debt rating: 'CCC'; Recovery Rating 'RR4'
Subordinated debt rating: 'C'; Recovery Rating 'RR6'


KAZKOMMERTSBANK JSC: S&P Lowers Ratings to 'B/C'; Outlook Stable
----------------------------------------------------------------
Standard & Poor's Ratings Services said it lowered its long- and
short-term counterparty credit ratings on Kazakhstan-based
Kazkommertsbank JSC to 'B/C' from 'B+/B'.  The outlook is stable.

S&P also lowered its Kazakhstan national scale rating on the bank
to 'kzBB+' from 'kzBBB-'.

Finally, S&P lowered its rating on the bank's dated subordinated
debt instruments to 'CCC+' from 'B-', and affirmed its rating on
its junior subordinated instruments at 'CCC-'.

The downgrade reflects continuing pressure on Kazkommertsbank's
capitalization, driven by poor asset recovery dynamics and weak
revenue generation.  It also reflects S&P's view that the bank's
current level of provisioning is likely inadequate--not
sufficient to cover any further deterioration of the loan
portfolio--despite provisioning increase in 2012.  S&P has
reflected its view of these potential unprovisioned embedded
losses, and the possibility that the bank will likely continue to
take a long-term approach to the workout of these assets, by
adjusting S&P's assessment of the bank's risk position to "weak"
from "moderate."

Like many of its peers in the Kazakh banking system,
Kazkommertsbank experienced significant credit growth before the
2008 crisis.  However, in S&P's view, the bank demonstrated a
more excessive risk appetite and weaker underwriting and risk
management practices than its peers, and it is still suffering
the consequences.  The bank has particularly high loan
concentration in real-estate related loans including residential
and commercial real estate, construction, and investment in land-
-segments that continue to suffer from significantly depressed
prices and slow recovery.  As of June 30, 2013, total exposure
related to these segments exceeded 50% of the bank's loan
portfolio on a net basis. Moreover, many of these exposures are
not performing.

Kazkommertsbank's portfolio quality has deteriorated
significantly since the bursting of the real estate bubble in
late 2008 and the slowing of the economy afterwards.  Loans
overdue 90 days and more accounted for 26.8% of the bank's total
loans as of June 30, 2013, in line with the Kazakh banking sector
average.  Also, nonperforming loan (NPL) stock constantly
increased between the end of 2009 and June 30, 2013, and so far
S&P sees no signs of this trend reversing.  In addition, the bank
reports that restructured loans account for a further 20% of
total loans.  In S&P's view, a significant share of these
restructured loans are nonperforming, making the bank's actual
NPL figure closer to 35%-40% of the total portfolio.

S&P thinks that the overall level of loan loss provisioning, at
33% of the total gross loan portfolio, is likely insufficient to
cover potential further deterioration of the loan portfolio.
This is in particular due to the bank's high reliance on
collateral values, and high uncertainty over the timing for
completion of many real-estate related projects and the sale of
the related properties.  According to S&P's estimation, there is
a high probability that the bank will need to create significant
additional provisions if it is to comprehensively address these
distressed assets.  At the same time, S&P currently sees little
prospect that the bank's shareholders would inject the
substantial additional capital that would be needed to neutralize
the negative effect of these additional provisions.  S&P has
reflected its view of these unprovisioned embedded losses, and
the possibility that the bank will likely continue to take a
long-term approach to the workout of these assets in S&P's
assessment of the bank's risk position.

"According to our risk-adjusted capital (RAC) methodology, the
bank's RAC ratio before adjustment for diversification was just
5.2%, down from 5.9% a year earlier.  In our view,
Kazkommertsbank's earnings generation remains weak due to
depressed margins and high NPLs, and thus internal earnings
generation cannot be considered a significant capital support
source.  Moreover, we note that accrued interest has been
exceeding interest actually received in cash by 25%-27% in the
past few years.  As of Dec. 31, 2012, accrued interest on large,
impaired corporate loans where no cash flows are expected to be
received in the next few years totaled Kazakh tenge
(KZT)42 billion, or 18.1% of reported interest income for 2012
(KZT21 billion for the six months to June 2013).  Management
recognized this issue by creating additional provisions for 2010-
2012 and the first six months of 2013.  However, we cannot
exclude the need to create additional provisions of a similar
nature in the future, which will further depress the bank's
capital position," S&P said.

"We continue to regard the bank as "highly systemic" in
Kazakhstan, and to see the government as "supportive" of its
banking system.  As a result, we factor in two notches for
potential government support into the long-term rating on the
bank.  For banks in Kazkhstan, we continue to assume govermnment
support would extend to dated subordinated debt, and so we notch
the bank's instruments from the 'b' group credit profile, rather
than the bank's 'ccc+' stand-alone credit profile (SACP)," S&P
added.

The stable outlook reflects S&P's expectation that
Kazkommertsbank's creditworthiness will remain little changed
over the coming year, with modest volumes of new business, a high
and still slowly rising stock of distressed assets, no
significant change in provisioning policy, and fairly weak
capital generation.

S&P might consider a negative rating action if it observed
further substantial deterioration of the bank's asset quality,
leading to a need to create significant new reserves.  S&P could
reflect this in its assessment of the bank's capital and earnings
or risk position.

The possibility of positive rating action is remote at this time.
S&P might consider a positive rating action if it observed that
the bank was comprehensively addressing the provisioning and
workout of its troubled assets, particularly if it received
additional capital to support such an exercise.



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


MOSSI & GHISOLFI: Moody's Withdraws B2 Corporate Family Rating
--------------------------------------------------------------
Moody's Investors Service has withdrawn the B2 Corporate Family
Rating and the B2-PD Probability of Default Rating of Mossi &
Ghisolfi International S.A.

The withdrawal follows the recent merger transaction which
resulted in the absorption of Mossi & Ghisolfi International S.A.
into Mossi & Ghisolfi International Sarl (formerly "Chemtex
Global Sarl"). The ratings on the Company have therefore been
withdrawn since Mossi & Ghisolfi International S.A. has ceased to
exist as a stand-alone entity, after its absorption into Mossi &
Ghisolfi International Sarl .



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


MAGYAR TELECOM: Obtains Consents From Senior Secured Note Holders
-----------------------------------------------------------------
Magyar Telecom B.V. on Sept. 23 disclosed that the Company has
obtained consents from holders of a majority in aggregate
principal amount of its 9.50% Senior Secured Notes due 2016 to
certain proposed amendments and waivers of certain provisions of
the indenture governing the Existing Notes.

The Consents were obtained pursuant to a solicitation of consents
from holders of Existing Notes launched on September 9, 2013.
The Amendments and Waivers facilitate the implementation of the
restructuring set out in the restructuring agreement dated
July 15, 2013 between the Company and holders of over 70% of the
Existing Notes, and became effective on the execution of a
supplemental indenture dated September 20, 2013.

                    About Magyar Telecom B.V.

Magyar Telecom B.V. is a private company with limited liability
incorporated in the Netherlands and registered at the Chamber of
Commerce (Kamer van Koophandel) for Amsterdam with number
33286951 and registered as an overseas company at Companies House
in the UK with UK establishment number BR016577 and its address
at 6 St Andrew Street, London EC4A 3AE, United Kingdom
(telephone:+44 (0)207 832 8936, Fax: +44 (0)207 832 8950).


                           *     *     *

As reported by the Troubled Company Reporter-Europe on July 19,
2013, Moody's Investors Service downgraded the corporate family
rating of Magyar Telecom B.V. to Ca from Caa3, and the
probability of default rating to Ca-PD/LD from Caa3-PD.
Concurrently, Moody's downgraded Invitel's EUR350 million 9.5%
senior secured notes due 2016 to Ca from Caa3.  Moody's said the
outlook on the ratings remains negative.


PANTHER CDO V: S&P Affirms 'BB+' Rating on Class C Notes
--------------------------------------------------------
Standard & Poor's Ratings Services took various credit rating
actions on all classes of notes in Panther CDO V B.V.

Specifically, S&P has:

   -- Lowered to 'AA (sf)' from 'AA+ (sf)' its rating on the
      class A1 notes;

   -- Raised to 'AA- (sf)' from 'A+ (sf)' its rating on the class
      A2 notes, to 'B (sf)' from 'CCC+ (sf)' its rating on the
      class D notes, and to 'CCC+ (sf)' from 'CCC- (sf)' its
      rating on the class E notes; and

   -- Affirmed its 'BBB+ (sf)' and 'BB+ (sf)' ratings on the
      class B and C notes, respectively.

The rating actions follows S&P's assessment of the transaction's
performance using data from the latest available trustee report
(dated July 31, 2013).

S&P subjected the capital structure to its cash flow analysis to
determine the break-even default rate for each class of notes at
each rating level.  In S&P's analysis, it used the reported
portfolio balance that it considers to be performing, the current
weighted-average spread, and the weighted-average recovery rates
that it calculated in accordance with its criteria.  S&P applied
various cash flow stress scenarios, using different default
patterns, in conjunction with different interest rate stress
scenarios for each liability rating category.

S&P also applied its current counterparty criteria to assess the
counterparty and supporting party risk.  S&P analyzed the
transaction's exposure to the derivative counterparties and
concluded that the derivative exposure is currently sufficiently
limited, so as not to affect the ratings that S&P has assigned.

The transaction is in its reinvestment period, which will end in
October 2014.  Although the class E par value test and the
reinvestment overcollateralization test have been failing, the
transaction is reinvesting in accordance with the transaction
documents.  The deleveraging of the senior notes has resulted in
higher credit enhancement for the class A1 notes compared with
S&P's previous review on Feb. 13, 2013.

Since S&P's previous review, it has also observed a decrease in
the assets in the pool that it considers to be rated in the 'CCC'
category ('CCC+', 'CCC', or 'CCC-') and that it considers to be
defaulted (assets rated 'CC', 'C', 'SD' [selective default], and
'D'), both in notional and percentage terms.  S&P has also
observed an overall positive rating migration in the collateral
pool.

In addition, S&P has noted that the weighted-average spread has
decreased marginally to 235 basis points (bps) from 238 bps over
the same period.  S&P has also observed a further increase in the
outstanding balance of the class E notes, which can defer
interest, based on their terms and conditions.  The class D and E
par value tests remain below the target levels.

The transaction is highly exposed to lower-rated sovereigns,
which, according to S&P's nonsovereign ratings criteria, limits
the highest rating that it can assign to the notes.  Under S&P's
criteria, it gives no credit to assets that represent more than
10% of the collateral pool, which are domiciled in sovereigns
rated six notches below its ratings on the notes.

Taking into account the results of S&P's credit and cash flow
analysis, it considers that the levels of available credit
enhancement for the class A1 notes is commensurate with a lower
rating.  This is due mainly to the sovereign haircut that S&P has
applied to the 'AA+' and 'AA' rating categories in its cash flow
model.  S&P has therefore lowered to 'AA (sf)' from 'AA+ (sf)'
its rating on the class A1 notes.

S&P's credit and cash flow analysis of the class A2, D, and E
notes indicated that the level of available credit enhancement is
commensurate with higher ratings than previously assigned.  S&P
has therefore raised to 'AA- (sf)' from 'A+ (sf)' its rating on
the class A2 notes, to 'B (sf)' from 'CCC+ (sf)' its rating on
the class D notes, and to 'CCC+ (sf)' from 'CCC- (sf)' its rating
on the class E notes.  These classes of notes are not affected by
S&P's nonsovereign ratings criteria.

S&P's credit and cash flow analysis of the class B and C notes
indicated that the level of credit enhancement is commensurate
with the currently assigned ratings.  S&P has therefore affirmed
its 'BBB+ (sf)' and 'BB+ (sf)' ratings on the class B and C
notes, respectively.

Panther CDO V is a cash flow collateralized debt obligation (CDO)
transaction backed by pools of structured finance assets and
corporate loans and bonds.  The transaction closed in August 2007
and is managed by M&G Investment Management Ltd.

          STANDARD & POOR'S 17G-7 DISCLOSURE REPORT

SEC Rule 17g-7 requires an NRSRO, for any report accompanying a
credit rating relating to an asset-backed security as defined in
the Rule, to include a description of the representations,
warranties and enforcement mechanisms available to investors and
a description of how they differ from the representations,
warranties and enforcement mechanisms in issuances of similar
securities.  The Rule applies to in-scope securities initially
rated (including preliminary ratings) on or after Sept. 26, 2011.

If applicable, the Standard & Poor's 17g-7 Disclosure Report
included in this credit rating report is available at:

            http://standardandpoorsdisclosure-17g7.com

RATINGS LIST

Class                Rating
               To             From

Panther CDO V B.V.
EUR350 Million Senior Secured And Deferrable Floating-Rate Notes
And
Subordinated Notes

Rating Lowered

A1             AA (sf)       AA+ (sf)

Ratings Raised

A2             AA- (sf)      A+ (sf)
D              B (sf)        CCC+ (sf)
E              CCC+ (sf)     CCC- (sf)

Ratings Affirmed

B              BBB+ (sf)
C              BB+ (sf)



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


STROYKREDIT BANK: Moody's Withdraws 'Ba2.ru' Deposit Rating
-----------------------------------------------------------
Moody's Interfax Rating Agency has withdrawn Stroykredit Bank's
Ba2.ru national scale deposit rating (NSR).

Moody's has withdrawn the rating for its own business reasons.

Headquartered in Moscow, Russia, Stroykredit Bank reported total
assets of US$800 million and net income of US$0.50 million,
according to its 2012 audited financial statements prepared under
IFRS.

Moody's Interfax Rating Agency's National Scale Ratings (NSRs)
are intended as relative measures of creditworthiness among debt
issues and issuers within a country, enabling market participants
to better differentiate relative risks. NSRs differ from Moody's
global scale ratings in that they are not globally comparable
with the full universe of Moody's rated entities, but only with
NSRs for other rated debt issues and issuers within the same
country. NSRs are designated by a ".nn" country modifier
signifying the relevant country, as in ".ru" for Russia.


* PENZA REGION: Fitch Affirms 'BB' Long-Term Currency Ratings
-------------------------------------------------------------
Fitch Ratings has affirmed Penza Region's Long-term foreign and
local currency ratings at 'BB', with Stable Outlooks, and its
Short-term foreign currency rating at 'B'. The agency has also
affirmed the region's National Long-term rating at 'AA-(rus)'
with Stable Outlook.

Key Rating Drivers

The affirmation reflects Penza's sound operating performance,
moderate albeit increasing direct risk, which Fitch expects to
continue in 2013-2015. The ratings also factor in the small size
of the republic's economy, which creates dependence on transfers
from the federal government.

Fitch expects that the region will continue to demonstrate a
sound operating balance close to 14% of operating revenue in
2013-2015. The operating margin improved to 13.1% in 2012 from
8.3% in 2011 due to the region's ability to control operating
expenditure. The high level of capital spending will lead to a
large deficit in 2013, which will account for around 13% of total
revenue.

Fitch expects capital expenditure to decline starting from 2014
after a relatively high level in 2011-2013. This was linked to a
large program of infrastructure modernization in the City of
Penza due to the celebration of its 350-year anniversary, which
took place in September 2013. The capital expenditure peaked at
35% of total spending in 2012, which caused a continuous increase
of indebtedness.

Fitch forecasts for the further growth of direct risk in 2013
caused by the necessity to finance a large deficit. Direct risk
will remain moderate in relative terms, at around 52% of current
revenue in 2013 (2012: 43%). The region mostly relies on bank
loans with two years' maturity, which composes around 65% of the
direct risk. It requires about a third of total direct risk to be
refinanced every year.

Fitch assumes the region will have no problems with the
refinancing of direct risk in 2013. The region has to repay RUB3
billion of bank loans and RUB0.4 billion of loans from the
federal budget by end-2013. The region plans to refinance this
amount by new bank loans, and already has committed but
unutilized credit lines with commercial banks totaling RUB4
billion. In 2014-2015 Fitch expects the debt growth rates to
decelerate as less capex is expected. The administration plans to
lengthen the maturity profile of bank loans to five years in the
medium-term.

Penza's economy is historically weaker than the average for
Russian regions. This has led to it having relatively weak tax
capacity compared with national peers. Current federal transfers
constitute a significant proportion of operating revenue (close
to 40% in 2012), which limits the region's revenue flexibility.
During 2011-2012 the regional economy demonstrated growth rates
that exceeded the national one. In 2013 the administration
expects gross regional product to increase by 5.1% yoy.

Rating Sensitivities

Debt stabilization would be positive. The region's ratings could
be positively affected by the maintenance of a sound operating
balance and direct risk stabilization coupled with the
lengthening of the direct debt maturity profile

Deterioration of operating balance would be negative. Decline of
operating balance below 5% of operating revenue and operating
balance insufficient for debt-servicing needs will lead to a
downgrade.

Key Assumptions

   - Russia has an evolving institutional framework with the
     system of intergovernmental relations between federal,
     regional and local governments still under development.
     However, Fitch expects Penza Region will continue to receive
     a steady flow of transfers from the federation.

   - Russia's economy will continue to demonstrate modest
     economic growth. Fitch does not expect dramatic external
     macroeconomic shocks.

   - The federal government's budgetary performance will remain
     sound and will serve as a supporting factor for Penza
     Region.

   - Penza Region will continue to have fair access to the
     domestic financial markets sufficient for refinancing of
     maturing debt.



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


ABENGOA FINANCE: Moody's Rates EUR250MM Senior Notes 'B2'
---------------------------------------------------------
Moody's Investors Service has announced that Abengoa Finance,
S.A.U's proposed EUR250 million tap on the existing senior
secured notes rated B2 with a loss given default assessment (LGD)
of LGD 3-45%. The additional senior unsecured notes will be
issued under the indenture governing the existing EUR250 million
senior notes due 2018.

All other ratings including Abengoa S.A.'s B2 Corporate Family
Rating and the B2-PD Probability of Default Rating remain
unchanged. The outlook on all ratings is stable.

Ratings Rationale:

The B2 rating on the senior unsecured notes reflects that these
notes will be unsecured senior obligations of Abengoa and will
rank equally with the company's existing senior indebtedness but
ahead of the outstanding convertible notes. Abengoa intends to
use the proceeds from the offering to prepay existing debt under
its syndicated loan, by not later than the next interest payment
due date (January 22, 2014).

The B2 CFR continues to reflect Abengoa's persistently high
leverage, both on a corporate and consolidated level including
the concession activities (consolidated adjusted net debt/EBITDA
8.0x, reported gross corporate debt/EBITDA 6.8x and reported net
corporate debt/EBITDA 3.2x at June 30, 3013). Abengoa's rapid
expansion of its concession portfolio has required substantial
up-front investments over the recent years with positive EBITDA
contribution from concessions only becoming visible after these
have entered into operation. Consequently, free cash flow
generation has been highly negative over recent years (EUR3.4
billion in 2012) and asset disposals have been insufficient to
reduce leverage.

Moody's expects that Abengoa's consolidated free cash flow will
remain highly negative in 2013 (-EUR770 million in H1 2013),
albeit materially reduced from the peak level in 2012 and it
expects balanced free cash flow generation on a corporate level
in 2013 on a reported basis, which is defined as EBITDA minus
corporate capex. In addition, the B2 rating assumes that Abengoa
can reduce consolidated adjusted net debt/EBITDA to below 8.0x in
the next 12 months.

Moody's notes positively the company's recently announced targets
to amongst others, (1) reduce current net corporate leverage of
3.2x to around 3.0x in 2013 and to around 2.5x from 2014 by
realizing asset disposals in the amount of EUR1.5 billion and to
(2) cap Abengoa's equity investments in new projects and maintain
corporate capex below EUR450 million from 2014 which should
support positive corporate free cash flow generation in 2014.

While the group's asset disposal strategy could support future
debt reduction, a more solidly positioning of the B2 rating would
also require confidence that Abengoa would not use the proceeds
over time to fund future growth of its concession portfolio. In
case of major asset disposals Moody's would also consider the
resulting balance between mature and profitable assets versus new
investments.

Abengoa's increased focus on debt reduction is also necessary in
light of a tightening of its net corporate debt/EBITDA financial
covenant under its syndicated loan to 2.5x from December 31, 2014
from 3.0x. In addition, the high leverage has resulted in
increased vulnerability to a deterioration in operating
performance and cash flow generation at any of its major
divisions. Continuous need to refinance debt maturities also
exposes Abengoa to risks regarding the ability of the markets to
absorb these requirements.

The stable outlook reflects Moody's expectation that the share of
EBITDA from Abengoa's concession portfolio will increase over
time and will provide for stable earnings and cash contributions.
It also reflects Moody's expectation that Abengoa will maintain
adequate liquidity and sufficient headroom under financial
covenants.

Other factors considered in the B2 rating are (1) Moody's
expectation that Abengoa will maintain adequate liquidity and
sufficient headroom under financial covenants; (2) the good
medium term revenue and cash flow generation visibility of its
concession activities once in operation; (3) Abengoa's exposure
to austerity measures implemented by the Spanish government
affecting its operations in Spain (25% of revenues); (4) the
historically high proportion of the company's engineering and
construction (E&C) projects that required equity contributions;
(5) the company's need for continued regulatory support with
regard to its innovation, solar energy generation or power
transmission activities; (6) technical challenges the E&C segment
faces to complete advanced installations on time and on budget,
albeit mitigated by Abengoa's consistent long-term trend and
track record of growth and profitability; (7) the diversity of
its businesses, both in terms of industry and geography, with
limited correlation; and (8) management's strategy to enter into
new concessions only once project finance (and partner equity) is
firmly committed.

What Could Change The Rating Up/Down

Abengoa's ratings could be downgraded if the company's liquidity
profile worsens or if the company fails to reduce Moody's
adjusted net consolidated debt/EBITDA to around 8.0x in the next
12 (8.0x at June 30, 2013). Moody's would take account of the
quality of Abengoa's investments, its financial strategy and the
maturity of its concession portfolio.

Abengoa's ratings could be upgraded if Abengoa reduces leverage
on a sustainable basis evidenced by (1) Abengoa's reported net
corporate debt/EBITDA at or below 3.0x (3.2x at June 30, 2013);
(2) reported gross corporate debt /EBITDA moving below 5.5x (6.8x
at June 30, 2013) and (3) Moody's-adjusted net debt/EBITDA moving
comfortably below 7.0x (8.0x at June 31, 2013). In addition,
rating upward pressure would require further improvements in its
liquidity profile with a more balanced debt maturity profile.

The principal methodology used in this rating/analysis was the
Global Heavy Manufacturing Rating Methodology published in
November 2009. Other methodologies used include Loss Given
Default for Speculative-Grade Non-Financial Companies in the
U.S., Canada and EMEA published in June 2009.

Abengoa S.A. is a vertically integrated environment and energy
group whose activities range from engineering & construction and
utility-type operation (via concessions) of solar energy plants,
electricity transmission networks and water treatment plants to
industrial production activities such as biofuels. Headquartered
in Seville, Spain, Abengoa generated EUR7.8 billion in revenues
in 2012, of which 75% came from outside Spain.


BANKIA SA: Purges Hundreds of External Directorships
----------------------------------------------------
Miles Johnson at The Financial Times reports that Bankia SA is
purging hundreds of external directorships across its network of
industrial holdings as the nationalized Spanish bank removes
politicians and trade unionists it paid to sit on the boards of
related companies before its government rescue.

The bank, a symbol of the heavily politicized and unprofessional
management of Spain's savings banks since it received the
country's largest ever bailout last year, has cut more than 800
of its 1,000 external directors in a year, the FT discloses.
According to the FT, people close to the bank said that the cuts
saved EUR7 million a year.

Before this, large numbers of directorships in often small
private companies in which the savings bank held shares were
given to external candidates linked to political parties, and who
had received their positions as a result of patronage, the FT
notes.

According to the FT, since the arrival of Bankia's post-
nationalization executive chairman, former BBVA chief executive
Jose Ignacio Goirigolzarri, the lender has banned all external
directorships in its industrial holdings.  Directors are also
prevented from earning salaries in addition to their pay at
Bankia, the FT states.

Bankia has been required by Brussels to offload its shareholdings
in other companies as a result of its bailout, which forced the
Spanish government to last year request European aid to pay for
the rescue, the FT discloses.

Bankia SA is a Spanish banking conglomerate that was formed in
December 2010, consolidating the operations of seven regional
savings banks.  As of 2012, Bankia is the fourth largest bank of
Spain with 12 million customers.



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


CALYPSO CAPITAL: S&P Assigns Prelim. 'BB-' Rating to Cl. A Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB- (sf)'
preliminary rating to the class A notes and 'B+ (sf)' preliminary
rating to the class B notes issued by Calypso Capital II Ltd. and
sponsored by AXA Global P&C, the risk transfer counterparty.

The notes will cover on a per occurrence basis losses from
European windstorm events that occur in Belgium, Denmark, France
(excluding overseas territories), Germany, Ireland, Luxemburg,
The Netherlands, Norway, Switzerland, Sweden, and the U.K.

The preliminary ratings are based on the lower of the rating on
the catastrophe risk ('BB-' for class A and 'B+' for class B) and
the issuer credit rating on the European Bank for Restructuring
and Development (EBRD) as the issuer of the assets in the
collateral accounts ('AAA').

S&P do not rate AXA Global P&C. To isolate noteholders from the
risk of AXA Global P&C failing to make its quarterly contract
payments, a periodic payment deposit account will be set up, in
which AXA Global P&C will deposit three months' worth of premium.
This will ensure that the issuer can pay scheduled interest if
the notes are redeemed due to AXA Global P&C's failure to make
its quarterly interest payment.


GO SCIENCE: Thalassa Holdings Proposes Acquisition of Business
--------------------------------------------------------------
Thalassa Holdings Limited Directors disclosed that the company
has entered into heads of terms and paid a non-refundable deposit
of GBP360,000 in respect of the proposed acquisition of the
business, intellectual property and other assets of GO Science
Limited.  GO Science Limited was placed into administration on
July 31, 2013.

GO Science, which has six employees, provides mobile sensor grid
services and products, in the UK and overseas, to multi-national
clients in the oil and gas, defence and homeland security
sectors. It offers innovative mobile sensor grid solutions in
seismic exploration, life of field extension, undersea asset
integrity inspection and survey, acoustic arrays, electro-
magnetic arrays, surveillance, communications and ocean sensing.

These solutions are provided using unmanned submersible vehicles,
developed by GO Science, which are designed to manoeuvre, swarm
and communicate with each other, at depths of in excess of 2,000
metres, in order to form a mobile sensor grid.

GO Science has 21 granted patents and 31 pending patents, in a
total of 33 countries, each of which will be transferred to
Thalassa under the proposed sale and purchase agreement.

Thalassa has agreed to acquire GO Science for a consideration
payable to the administrators, on behalf of GO Science Limited,
of GBP3.6 million, which comprises the initial deposit of
GBP360,000 and a further cash sum on completion of GBP3,240,000.
In addition, Thalassa may issue up to GBP4.4 million of new
Thalassa shares to the shareholders of GO Science Limited,
provided, inter alia and at the discretion of Thalassa, Go
Science's principal customer contracts are re-activated.

In the year ended December 31, 2012, GO Science Limited reported
a loss before interest, taxation, depreciation and amortization
of GBP0.3 million on turnover of GBP2.5 million.  Its gross
assets at that date were GBP2.3 million.

A further announcement will be made when Thalassa has entered
into the sale and purchase agreement.

Duncan Soukup, Chairman of Thalassa, stated:

"This is a highly exciting acquisition for Thalassa.

"We had been monitoring the situation at GO Science Limited since
we first became aware of the technology and its potential to have
a massive impact on the way marine seismic data is collected.  As
a result of GO Science Limited being put into administration,
Thalassa has benefited from an unexpected opportunity to acquire
the business.

"We believe that GO Science has developed a significantly
disruptive technology which, having already successfully
concluded various tests on behalf of both oil and gas and defense
organizations, will lead to substantial demand for its products
and services.

"GO Science is capable of deploying unmanned submersible vessels
into deep water or challenging conditions which are beyond the
performance capability of current technologies.

"In many respects, GO Science's business is highly complementary
with Thalassa's WGP business which also provides to a similar
customer base seismic acquisition services in challenging
conditions.  Thalassa will also be able to apply its experience
in the development, design and manufacture of high technology
marine components.

"GO Science will however be operated as a standalone business
within the Thalassa group, drawing on, in the same fashion as
WGP, the group's central management and administration
functions."

Thalassa Holdings Ltd, incorporated and registered in the BVI and
quoted on AIM, is a holding company with a focus on marine
seismic operations.  The corporate strategy for the Group is
"Exploration and Beyond".


HERON TOWER: Ronson Close to Concluding a GBP300MM Refinancing
--------------------------------------------------------------
The Times reports that property entrepreneur Gerald Ronson is
close to concluding a GBP300 million refinancing of a City
skyscraper after resolving a fractious bust-up with his main
shareholders.

The developer's Heron International Group is understood to have
reached agreement with the Middle Eastern investors who helped to
finance the construction of the 46-storey Heron Tower, which
boasts one of Europe's largest private aquariums in its
reception, according to The Times.

The report relates that talks are between Heron, which owns a
third of the tower, Prince Abdul Aziz bin Fahd, the son of Saudi
Arabia's late King Fahd, who owns 25 per cent, and the State
General Reserve of Oman, which owns the remaining shares.

As reported in the Troubled Company Reporter-Europe on Sept. 20,
2013, Spearswms.com said that bankers to the 46-storey Heron
Tower on Bishopsgate, which briefly became the financial
district's biggest skyscraper, are contemplating calling in
receivers in the coming days as a consequence of the row.
According to the report, the move, which would result in the
Tower being put up for sale, would come despite last-ditch talks
between its three investors, who are led by Heron International,
the developer headed by Gerald Ronson, the property entrepreneur.
The report related that the three are said to be in dispute over
the management of the building as well as the circumstances in
which they can realize value from their investments.
Spearswms.com disclosed that the appointment of receivers would
underline a remarkable failure for a skyscraper hailed as a
symbol of the City's efforts to shed the legacy of the 2008
financial crisis when it opened three years later.


JERROLD FINCO: Fitch Rates GBP200MM Senior Unsecured Notes 'B+'
---------------------------------------------------------------
Fitch Ratings has assigned Jerrold FinCo plc's GBP200 million
9.750% senior unsecured notes a 'B+'/'RR4' final rating. The
rating is in line with the expected rating assigned on July 16,
2013. Jerrold FinCo plc is an issuing vehicle 100%-held by
Jerrold Holdings and the issued notes benefit from the guarantee
of Jerrold Holdings' operating entities.

Key Rating Drivers

The notes are senior unsecured and have a maturity of five years.
Their rating is in line with Jerrold Holdings' Long-term IDR, in
keeping with the 'average recoveries' indicated by the 'RR4'
Recovery assigned by Fitch

Rating Sensitivities

The notes are primarily sensitive to any movement in their anchor
rating, Jerrold Holdings' Long-term IDR, but could also be
sensitive to any weakening of Fitch's recovery assumptions in
respect of Jerrold Holdings' assets.


RMAC SECURITIES 1: S&P Affirms 'B-' Ratings on Two Note Classes
---------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its credit ratings on
all classes of notes in RMAC Securities No. 1 PLC's series 2006-
NS4 and series 2007-NS1.

The affirmations follows S&P's performance review, where it
conducted its credit and cash flow analysis using the most recent
loan-level information and investor reports that it has received
(dated June 2013).  S&P has also applied its relevant criteria.

            RMAC Securities No. 1's SERIES 2006-NS4

The available credit enhancement continues to increase, due to
deleveraging of the transaction combined with its fully funded
reserve fund.  The notes are currently amortizing sequentially,
as not all of the documented pro rata triggers have been
satisfied. However, in S&P's analysis, it has considered the
possibility of these triggers being satisfied.  The transaction
benefits from highly seasoned assets and decreasing arrears.  The
weighted-average seasoning of the loans is 81 months.  Arrears of
more than 90 days represent 15.12% of the pool, down from 20.52%
in December 2011.

S&P's current weighted-average foreclosure frequency (WAFF) and
weighted-average loss severity (WALS) assumptions have decreased
for this transaction since its previous review on March 30, 2012.
This improvement is primarily because arrears have declined.

S&P's WAFF and WALS assumptions at each rating level are listed
below:

  Rating level         WAFF      WALS
                       (%)       (%)
  AAA                 41.99     38.95
  AA                  36.39     34.68
  A                   30.16     26.69
  BBB                 25.55     22.24
  BB                  21.17     19.09
  B                   18.89     16.17

Using S&P's WAFF and WALS assumptions in its cash flow model, all
of the classes of notes pass our cash flow stresses at their
current rating levels.  Taking into consideration the stable
performance of the collateral pool over the past year, the U.K.'s
macroeconomic conditions, and the results of our cash flow
analysis, S&P has affirmed its ratings on the class A3a, M1a,
M1c, M2a, M2c, B1a, and B1c notes.

The currency swap agreement is not in line with S&P's current
counterparty criteria.  Accordingly, S&P's ratings on the notes
in this transaction are capped at its 'A' long-term issuer credit
rating (ICR) on Barclays Bank PLC (A/Stable/A-1).

             RMAC Securities No. 1's SERIES 2007-NS1

The available credit enhancement continues to increase due to the
deleveraging of the transaction.  In addition, the reserve fund
is at its target level.  The notes are currently amortizing
sequentially, as not all of the documented pro rata triggers have
been satisfied.  However, in S&P's analysis, it has considered
the possibility of these triggers being satisfied.  The
transaction benefits from highly seasoned assets and decreasing
arrears.  The weighted-average seasoning of the loans is 80
months.  Arrears of more than 90 days represent 17.16% of the
pool, down from 22.54% in December 2011.

S&P's WAFF and WALS assumptions have decreased for this
transaction since its previous review on April 10, 2012.  This
improvement is primarily because of the increased seasoning of
the loans and declining arrears.  S&P's WAFF and WALS assumptions
at each rating level are listed below:

  Rating level         WAFF      WALS
                       (%)       (%)
  AAA                 40.73     38.84
  AA                  35.73     34.98
  A                   29.92     27.81
  BBB                 25.68     23.83
  BB                  21.70     20.97
  B                   19.52     18.29

Taking into consideration the stable performance of the
collateral pool over the past year, the U.K.'s macroeconomic
conditions, and the results of S&P's cash flow analysis, it has
affirmed its ratings on the class A2a, A2b, A2c, M1a, M1c, M2c,
B1a, and B1c notes.

The currency swap agreement is not in line with S&P's current
counterparty criteria.  Accordingly, S&P's ratings on the notes
in this transaction are capped at its 'A' long-term ICR on
Barclays Bank plus one notch (i.e., 'A+').

For both transactions, S&P's credit stability analysis indicates
that the maximum projected deterioration that it would expect at
each rating level over one- and three-year periods, under
moderate stress conditions, are in line with S&P's credit
stability criteria.

RMAC Securities No. 1's series 2006-NS4 and series 2007-NS1 are
U.K. nonconforming residential mortgage-backed securities
transactions. GMAC-RFC Ltd. originated the loans.

          STANDARD & POOR'S 17G-7 DISCLOSURE REPORT

SEC Rule 17g-7 requires an NRSRO, for any report accompanying a
credit rating relating to an asset-backed security as defined in
the Rule, to include a description of the representations,
warranties and enforcement mechanisms available to investors and
a description of how they differ from the representations,
warranties and enforcement mechanisms in issuances of similar
securities.  The Rule applies to in-scope securities initially
rated (including preliminary ratings) on or after Sept. 26, 2011.

If applicable, the Standard & Poor's 17g-7 Disclosure Reports
included in this credit rating report are available at:

            http://standardandpoorsdisclosure-17g7.com

RATINGS LIST

Class         Rating

RMAC Securities No. 1 PLC
EUR263.8 Million, GBP830 Million, US$477 Million Mortgage-Backed
Floating-Rate Notes Series 2006-NS4

Ratings Affirmed

A3a           A (sf)
M1a           BBB+ (sf)
M1c           BBB+ (sf)
M2a           BB+ (sf)
M2c           BB+ (sf)
B1a           B- (sf)
B1c           B- (sf)

RMAC Securities No. 1 PLC
EUR214 Million, GBP296.8 Million, $168 Million Mortgage-Backed
Floating-Rate Notes Series 2007-NS1

Ratings Affirmed

A2a           A+ (sf)
A2b           A+ (sf)
A2c           A+ (sf)
M1a           BB (sf)
M1c           BB (sf)
M2c           B (sf)
B1a           B- (sf)
B1c           B- (sf)


ROYAL MINT: Capita Asset Services Appoints Savills as Receiver
--------------------------------------------------------------
Neil Callanan at Bloomberg News reports that Capita Asset
Services said in an Irish stock exchange filing on Monday that it
appointed Savills as receiver of mortgage titles linked to Royal
Mint Court office complex in City of London.

According to Bloomberg, the loan was originated by Barclays and
is linked to Equinox (Eclipse 2006-1) CMBS.

The stock exchange filing said that receivers are expected to
remain pending appointment of an administrator to the borrower,
Bloomberg relates.


SAFEHOSTS LTD: To Make an Administration Order
----------------------------------------------
The Lawyer reports that the court will make an administration
order if it is satisfied that the company is or is likely to
become unable to pay its debt and the administration order is
reasonably likely to achieve the purpose of the administration.

There was insufficient supporting evidence for the proposed
administrator's assertion that the administration of the company
would achieve one of the statutory purposes of administration,
according to The Lawyer.  The report relates that the court could
not make an administration order but appointed a provisional
liquidator instead.

The report notes that creditors of Safehosts (London) Ltd made an
application to court for an order that it be placed into
administration.  At the time of the application, the company was
insolvent as it owed debts amounting to at least GBP1.7million,
the report relays.

The Lawyer discloses that the court held that it was plainly
clear that the company was insolvent and could not pay its debts.


SMARTOFFICE TECHNOLOGIES: In Administration; 14 Jobs Affected
-------------------------------------------------------------
Scott McCulloch at Business7 reports that SmartOffice
Technologies has entered into administration.

Provisional liquidators Brian Milne and Linda Barr of
French Duncan, have been appointed to parent company Picsel
International Ltd., based in Malta, Business7 relates.

Messrs. Milne and Barr have also been appointed as joint
administrators to subsidiary SmartOffice Technologies, which
employs 31 staff in Paisley and six in Asia, Business7 discloses.

Following the appointment of administrators, 14 staff were axed
at the Paisley base, leaving 17 staff at the site, Business7
relays.

According to Business7, administrators said that the business
entered administration due to "cashflow difficulties, ultimately
resulting in creditor pressure which was undermining its ability
to perform".

Both businesses are being marketed as a combined package for
sale, Business7 says.

Paisley-based SmartOffice Technologies develops document viewing
and editing solutions for mobile devices.


STANTON MBS I: Fitch Affirms Rating on Class D Notes at 'CC'
------------------------------------------------------------
Fitch Ratings has affirmed Stanton MBS I, as follows:

  Class A1 (ISIN XS0202635040): affirmed at 'Asf', Outlook Stable

  Class A2 (ISIN XS0202637418): affirmed at 'BBsf', Outlook
  Negative

  Class B (ISIN XS0202637848): affirmed at 'Bsf', Outlook
  Negative

  Class C (ISIN XS0202638499): affirmed at 'CCCsf'

  Class D (ISIN XS0202639208): affirmed at 'CCsf'

Key Rating Drivers

The affirmation reflects the transaction's stable performance
since the previous review. The class A1 note continues to
amortize after the overcollateralization tests breached in 2008.
Since the previous review the A1 note has repaid a further EUR16
million.

This deleveraging has increased credit enhancement for notes
class A1 by 5.74%, class A2 by 3.65%, class B by 2.51% and class
C by 1.33% and class D by 0.22%. The transaction has an exposure
of 22.6% to peripheral countries and a 60% exposure to RMBS
assets, 92.5% of which are non-senior. The 'CCC' and below bucket
has increased since the previous review to 15.6% from 11%. Sub
investment grade assets are down to 55.13% of the portfolio from
68% last year.

Stanton MBS I is a securitization of European structured finance
assets, mainly mezzanine RMBS and CMBS assets of sub-investment
grade quality. The portfolio is actively managed by Cambridge
Place Investment Management LLP, a specialist manager, focused on
asset-backed securities and related instruments.

Rating Sensitivities

Fitch tested the impact on the ratings of bringing the maturity
of the assets in the portfolio to their legal maturity. This
stress would result in a downgrade of the class A1 note to
'BBB+', class A2's rating remaining stable, a downgrade of the
class B note to 'CCC' and of classes C and D to below 'CCC'.


TAILORMADE INDEPENDENT: Goes Into Administration
------------------------------------------------
Jim Atkins at iexpats.com reports that a financial advice firm
that promoted property investments that included the resorts
under construction in the Caribbean that are part of Harlequin
Property has gone into administration.

Tailormade Independent Ltd gave advice on self-invested pensions
involving Harlequin development until the Financial Conduct
Authority made a public announcement raising concerns about the
investments, according to iexpats.com.

The report notes that the company, based in Warrington, Cheshire,
claims advice on Harlequin related investments was stopped soon
after the FCA warning was made.  The report relates that an
internal review was then started into the advice the firm was
giving clients.

"We are working with the directors of Tailormade Independent Ltd
towards bringing forward the liquidation of the company. . . .
With this in mind, a creditors' meeting has been called for
October 2013, at which time we will be able to release further
information," the report quoted Paul Finnity of RSM Tenon
Restructuring, which is consulting for Tailormade Independent, as
saying.

                           Speculation

The report notes that separately, much speculation has followed
the fortunes of Harlequin Property.

The report says that not only has the FCA warned independent
financial advisers about recommending the company, but the
Serious Fraud Office is also looking at complaints alleging
criminal offences involving the company.

The report discloses that a subsidiary firm, Harlequin Management
Services (South East) Limited, has entered administration and the
firm is working with a group of lawyers representing investors to
discuss restructuring options.

Meanwhile, the report relays that Harlequin won a High Court
challenge against a former contractor charged with developing the
company's resorts who allegedly misappropriated GBP8.5 million
handed over to fund construction.

The report notes that development halted on Harlequin's Buccament
Bay resort in Barbados in April pending the outcome of the court
case.

                     Victims of Wrongdoing

The report says that Harlequin and the company's director David
Ames claim that they are the victims of wrongdoing that has
starved the company of cash and led to work stopping at the
resorts.

The report notes that around 3,000 British investors have pumped
an estimated GBP300 million cash into the troubled property
group.

The report relates that Harlequin claims investors owe around
GBP30 million on completed properties, but lawyers counter-claim
only 300 out of a promised 6,000 luxury resort properties have
been finished.

The report discloses that besides investment issues, Harlequin
has been hamstrung by publicity problems.


W. PROMOTIONS: Hearn Reacts to Warren Comments
----------------------------------------------
boxingscene.com reports that at a press conference hosted by
Frank Warren, when referring to the administration of his
company, W. Promotions Limited (formerly Frank Warren Promotions
Limited), Mr. Warren stated: "It's not just us, I think Matchroom
Boxing went into Administration . . . . I'm sorry went into some
form of . . . . they wound it up."

In response, the report notes that Barry Hearn, Chairman of
Matchroom Sport Limited said: "Mr. Warren's comment about
Matchroom Boxing is untrue and misleading.  He has suggested that
one of my businesses has been closed due to insolvency, when that
is simply not the case."

"By saying 'it's not just us'", Mr. Warren has sought to compare
Matchroom to his own insolvent company, W. Promotions Limited,
which was put into administration last month owing, what is
thought to be, over GBP3 million to creditors . . . . This
follows the liquidation of Frank Warren's previous trading
vehicle, Sports Network Limited, which had reported creditors of
over GBP5.5million," the report quoted Mr. Hearn as saying.

"I feel strongly that Mr. Warren's statement should be corrected
as I have never wound up or put any company into Administration
owing money to creditors.  All of our boxing business is run
through the parent company, Matchroom Sport Limited, which has
been trading successfully for the last 31 years.  Matchroom
Boxing Limited was a subsidiary company which was dissolved with
no creditors, having been dormant for nearly ten years," Mr.
Hearn said, the report notes.

"Given the misleading and potentially defamatory nature of Mr.
Warren's comments our lawyers have written to him asking that he
correct his comments and make a donation to the British Boxing
Board Charity.  Having been given 7 days to respond he has failed
to do so," Mr. Hearn added, the report discloses.


* UK: Financial Crisis Turns 2.5 Million Companies Into "Zombies"
-----------------------------------------------------------------
Dominic Jeff at The Scotsman reports that years of recession and
financial crisis have turned almost one in ten of the UK's 2.5
million companies into "zombies", threatening a "surge of
insolvencies" as they are left behind by the improving economy.

In new report published on Monday, financial health monitoring
group Company Watch says the number of so-called zombie
businesses has soared by 108% in the last five years, to 227,000,
The Scotsman relates.

According to The Scotsman, these companies, which are producing
at best only enough cash to service their bank and supplier
debts, have liabilities far in excess of their assets and yet
collectively employ around 500,000 people.

Company Watch estimates that these businesses have a total
negative net worth of about GBP70 billion, which it describes as
"dead money languishing in unproductive businesses", The Scotsman
notes.

In many cases desperate attempts to stay afloat -- such as
"suicide pricing", in which a company sacrifices its
profitability in an attempt to win work -- are creating problems
for healthy competitors, The Scotsman states.

Nick Hood, business risk analyst at Company Watch, as cited by
The Scotsman, said: "The problem with this ever-growing army of
zombies goes well beyond any immediate threat of insolvency.

"These struggling businesses distort fair competition right
across the economy as they underbid for contracts in their
desperate ongoing battle to generate cash to keep their creditors
at bay.

"The damage they cause to healthier companies can be seen
especially in sectors like construction, where 'suicide pricing'
is depressing the profitability of the entire industry."

Construction is one of the worst affected sectors, with an
estimated 26,000 zombie operators, The Scotsman discloses.
According to The Scotsman, there are a further 16,500 negatively
valued property firms, as well as 15,500 hotels, clubs and pubs
which are barely staying afloat.

The largest number of zombie firms are in the business services
sector, where 65,000 firms are staggering on with little prospect
of breaking even, The Scotsman says.  There are a further 21,000
such firms in the media sector and 20,000 in retail, The Scotsman
states.

The research shows that 63,000 British companies have negative
equity of between GBP50,000 and GBP1 million, while nearly 3,500
are sitting on debts of GBP1 million or more beyond the value of
their assets, The Scotsman discloses.


                            *********

Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par.  Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable.  Those sources may not,
however, be complete or accurate.  The Monday Bond Pricing table
is compiled on the Friday prior to publication.  Prices reported
are not intended to reflect actual trades.  Prices for actual
trades are probably different.  Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind.  It is likely that some entity
affiliated with a TCR editor holds some position in the issuers'
public debt and equity securities about which we report.

Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than US$3 per
share in public markets.  At first glance, this list may look
like the definitive compilation of stocks that are ideal to sell
short.  Don't be fooled.  Assets, for example, reported at
historical cost net of depreciation may understate the true value
of a firm's assets.  A company may establish reserves on its
balance sheet for liabilities that may never materialize.  The
prices at which equity securities trade in public market are
determined by more than a balance sheet solvency test.

A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Each Friday's edition of the TCR includes a review about a book
of interest to troubled company professionals.  All titles are
available at your local bookstore or through Amazon.com.  Go to
http://www.bankrupt.com/booksto order any title today.


                            *********


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

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

Copyright 2013.  All rights reserved.  ISSN 1529-2754.

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                 * * * End of Transmission * * *