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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

          Tuesday, May 19, 2020, Vol. 21, No. 100

                           Headlines



B E L A R U S

BELARUS: Fitch Affirms 'B' LongTerm IDR, Outlook Stable


C R O A T I A

ZAGREBACKA BANKA: Fitch Cuts LT IDR to BB+, Outlook Stable


F R A N C E

SOCIETE GENERALE: S&P Cuts Rating on 2014-165 Notes to 'Bp'


G R E E C E

PIRAEUS BANK: Fitch Affirms 'CCC/C' Issuer Default Ratings


H U N G A R Y

NITROGENMUVEK ZRT: Fitch Affirms B- LongTerm IDR, Outlook Stable


I R E L A N D

BANK OF IRELAND: Moody's Gives Ba2(hyb) Rating to EUR675MM Notes


M A C E D O N I A

NORTH MACEDONIA: Fitch Alters Outlook on BB+ IDR to Negative


R O M A N I A

ALPHA BANK: Moody's Alters Outlook on Ba2 Deposit Rating to Stable


R U S S I A

BANCA INTESA: Fitch Cuts LT IDRs to BB+ on Parent Downgrade


S P A I N

AUTOVIA DEL NOROESTE: S&P Affirms BB+ Debt Rating, Outlook Stable


S W E D E N

DOMETIC GROUP: S&P Affirms 'BB-' LongTerm ICR, Off Watch Negative


U N I T E D   K I N G D O M

BREASLEY: Mattress & Bedding Division Bought Out in Pre-pack Deal
CABLE & WIRELESS: Moody's Alters Outlook on Ba3 CFR to Negative
HM PROJECTS: Enters Into Administration Amid Mine Development
INTU GROUP: May Default on Debt Amid Coronavirus Pandemic
NOSTRUM OIL: Moody's Cuts CFR to Ca, Outlook Negative

TRANSPORT FOR LONDON: Set to Receive GBP1.6BB Government Bailout
WINDBOATS MARINE: Enters Administration, Seeks Buyer for Business

                           - - - - -


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B E L A R U S
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BELARUS: Fitch Affirms 'B' LongTerm IDR, Outlook Stable
-------------------------------------------------------
Fitch Ratings has affirmed Belarus's Long-Term Foreign-Currency
Issuer Default Rating at 'B' with a Stable Outlook.

KEY RATING DRIVERS

The affirmation reflects Fitch's expectation that Belarus's
improved policy mix will preserve macroeconomic stability and
manage refinancing risks on large foreign-currency debt payments
through access to external bilateral and multilateral financing and
partial use of the government cash buffers, despite the significant
impact of the COVID-19 pandemic on growth and general government
debt to GDP level.

Belarus's rating reflects improved macroeconomic stability, high
income per capita, relatively prudent fiscal policy and a clean
debt repayment record against low foreign exchange reserves, weak
growth prospects, government debt highly exposed to foreign
currency risks, a weak banking sector, high external indebtedness
and weak governance indicators relative to rating peers. Despite
progress towards diversification, Belarus maintains high economic
dependence on Russia, and so is vulnerable to shifts in Russian
policy.

Fitch forecasts the Belarussian economy will contract by 5% in 2020
reflecting the severe deterioration in external demand, the impact
of containment measures (albeit with lower intensity relative to
other countries) and limited space for counter-cyclical policy
stimulus. Under its baseline scenario, the economy recovers to 3.2%
in 2021, in line with improved global growth prospects.

Economic outturns could be significantly weaker for 2020 and 2021
in the event of a prolonged and sharper first wave of infections, a
second wave of infections or a tightening of containment measures.
A deeper and longer health shock on the Belarussian economy could
in turn exacerbate structural growth constraints, in terms of
adverse demographics and a large state-owned enterprise (SOE)
sector with high leverage and efficiency challenges and weaken
fiscal and external finances.

Belarus's response to the health crisis is restrained in comparison
with regional and rating peers. There is no official lockdown in
place, and in the economic sphere, the government has targeted
increases in health expenditure, household social protection and
revenue measures to support businesses. With multilateral support
on health and social protection, current measures amount to 1.2% of
GDP. Further IFI support could be directed towards providing credit
lines, trade finance and working capital to non-government
entities.

Fitch forecasts the adjusted general government budget deficit will
reach 4.3% of GDP in 2020 (surplus of 1.6% in 2019), reflecting a
deficit of 2% of GDP in the officially reported consolidated budget
(2.4% of GDP surplus in 2019), lower-than-previously expected
nuclear power plant (NPP)-related capex (1.4% of GDP against
originally budgeted 3.2%) and net off-budget outlays (0.9% of GDP).
As the space for counter-cyclical fiscal stimulus is limited,
authorities are committed to preventing a significant widening in
the consolidated deficit through post-postponement and
reprioritisation of spending not related to social and healthcare
areas. The budget remained in surplus in 1Q20 despite lower growth
and oil supply disruptions.

The adjusted general government deficit will decline to 2.9% of GDP
in 2021, reflecting an improvement in the officially reported
consolidated deficit to 0.8% of GDP. The 2020 budget does not
include compensation for Russia's oil tax manoeuvre, but
authorities have still to outline a longer-term plan to compensate
the gradual reduction in oil custom duties. Belarus's track record
of generating surpluses at the consolidated budget level and
limited financing sources to sustain large deficits underpin its
expectation for fiscal consolidation post-crisis.

Fitch forecasts that the general government debt will increase to
49.6% of GDP (including 7.7% in government guarantees), up from
41.9% (5.7% in guarantees) in 2019 but still below the forecast 'B'
median of 60%, due to the impact of the Belarusian ruble (19%
depreciation against the US dollar yoy) and the contraction of the
economy. Debt dynamics are highly vulnerable to currency risk due
to the large share of foreign-currency debt (92.1% at end-2019).
The risk of crystallisation of additional contingent liabilities
from the large SOE sector is high, given the sharp economic
downturn and weaker currency.

Near-term financing risks are contained due to the availability of
alternative sources of financing and cash buffers. Foreign currency
debt amortisations in 2020 equal USD2.5 billion, of which
USD797million (31% of total) has been paid in the first four months
of the year. Belarus has applied for the IMF Rapid Financing
Instrument and is also negotiating two bilateral loans with China.
Although Belarus postponed its 1Q20 plan for a Eurobond issuance,
it has issued USD135.6 million in the Russian market and could
issue a similar amount under its RUB30 billion programme later in
the year. Belarus also plans to direct SOE repayments of government
loans towards debt repayments, and, if required, could refinance
its full USD900 million domestic amortisations.

The government holds USD4.2 billion in foreign currency cash (part
of international reserves) to provide short-term financing
flexibility. Belarus plans to finance its consolidated budget
deficit using accumulated local currency deposits (BYN5 billion in
May or 3.7% of 2020 GDP).

International reserves declined by USD1.1 billion to USD7.8 billion
in March, reflecting debt service and FX intervention to smooth the
volatility derived from the sharp Russian rouble depreciation.
Although reserves recovered to USD7.9 billion in April, Fitch
forecast that reserves will finish 2020 at USD7.1 billion due to
public debt repayment and lower FX purchases in the local market by
the National Bank of the Republic of Belarus (NBRB) compared with
previous years. As international reserves will remain roughly
stable in 2021, reserve coverage will average 2.1 months in
2020-2021, lower than the forecast 'B' median average of 3.9
months. External liquidity, measured by the ratio of the country's
liquid external assets to its liquid external liabilities, is low.

The current account deficit will widen moderately to 3.1% of GDP in
2020, up from 1.8% of GDP in 2019 but below the forecast 5.2% for
the 'B median. Weaker Belarusian rouble and domestic demand
combined with slower execution of the NPP Project, lower oil prices
and continued growth in the IT service sector will partly mitigate
the decline in demand for exports and reduced transfers of oil
re-customisation revenues (after the expiration of the 2017 gas
price agreement with Russia).

Fitch expects Belarus's improved policy and flexibility to reduce
risks to macroeconomic stability. Inflationary pressures remain
contained. Annual CPI rose to 5.4% in April, close to the 5%
objective, and inflationary risks derived from the sharp March
depreciation and planned utility tariff hikes will be balanced by
the deteriorating domestic economic activity. Inflation is forecast
to average 5.6% in 2020, slightly above the forecast 5% for the 'B'
median. The NBRB cut its policy rate by 75bp in May to 8%, but
further space for easing will likely not only depend on domestic
inflation dynamics but external risks, especially from Russia's
exposure to oil prices and its policy response.

Despite no formal conclusion of integration negotiations between
Belarus and Russia, Fitch neither anticipates budget compensation
or bilateral lending in 2020-2021 nor additional disruptions in the
supply of oil in the near term. Nevertheless, Belarussian
refineries will be able to access oil with a USD7 discount, which
will help reduce pressures on profitability and the impact on
economic activity. While Belarus and Russia have agreed on the
majority of the 31 roadmaps, Fitch understands that the countries
will pursue further economic integration under the framework of the
Eurasian Economic Union.

The NBRB has provided increased liquidity to the financial sector,
recommended banks to postpone principal repayments and interest on
loans granted to natural persons in a targeted manner and allowed
temporary regulatory forbearance to maintain credit availability.
NPLs rose to 5.3% in March and Fitch considers that asset quality
is likely to be considerably weaker when assessed in terms of IFRS
9 impaired loans. High financial dollarisation (61% deposits and
49% loans) represents a vulnerability. The banking system saw
moderate deposit outflows in March and the Belarusian rouble
depreciation will lead to weaker asset quality and pressure on
capitalisation. As 60% of the system is state-owned, it represents
a contingent liability for the sovereign and could require
additional capital injections.

Political power is concentrated in the hands of President
Lukashenko, who has been in power since 1994. Presidential
elections have been scheduled for August 9, 2020. Fitch expects
President Lukashenko to win a new term and does not anticipate a
change in economic policy direction or a change in the gradual
approach to SOE and utilities reform.

ESG - Governance: Belarus has an ESG Relevance Score of 5 for both
Political Stability and Rights and for the Rule of Law,
Institutional and Regulatory Quality and Control of Corruption, as
is the case for all sovereigns. Theses scores reflect the high
weight that the World Bank Governance Indicators have in its
proprietary Sovereign Rating Model. Belarus has a medium WBGI
ranking at 34th percentile, reflecting the high concentration of
power in the hands of President Lukashenko who has been in office
since 1994, a relatively low level of rights for participation in
the political process, moderate institutional capacity and a
moderate level of corruption.

SOVEREIGN RATING MODEL AND QUALITATIVE OVERLAY

Fitch's proprietary SRM assigns Belarus a score equivalent to a
rating of 'BB-' on the Long-Term Foreign-Currency IDR scale.

{Fitch's sovereign rating committee adjusted the output from the
SRM to arrive at the final LT FC IDR by applying its QO, relative
to rated peers, as follows:

  - Macro: -1 notch, to reflect weaker medium-term growth prospects
relative to rating peers due to adverse demographic dynamics and a
large public sector facing productivity, high leverage and
efficiency challenges; and risks to macroeconomic stability in the
event of pressure for policy stimulus to boost growth above
capacity

  - External finances: -1 notch, to reflect a high gross external
financing requirement, low net international reserves, and close
financial, trade and economic links with Russia, which are
vulnerable to changes in bilateral relations. Belarus's net
external debt/GDP is high.

Fitch's SRM is the agency's proprietary multiple regression rating
model that employs 18 variables based on three-year centred
averages, including one year of forecasts, to produce a score
equivalent to a LT FC IDR. Fitch's QO is a forward-looking
qualitative framework designed to allow for adjustment to the SRM
output to assign the final rating, reflecting factors within its
criteria that are not fully quantifiable and/or not fully reflected
in the SRM.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

Increase in international reserves, particularly if supported by
further progress in diversification of external financing sources.

Fiscal consolidation at the broader general government level post
coronavirus shock leading to a sustained reduction in government
debt/GDP and/or contingent liabilities.

Improvement in Belarus's medium-term growth prospects in the
context of macroeconomic stability, for example stemming from
implementation of structural reforms.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

Re-emergence of external financing pressures and erosion of
international reserves, for example due to failure to secure
external financing and/or contagion from international financial
markets' volatility

Sustained increase in government debt, e.g. from exchange rate
shocks, a failure to consolidate public finances post-coronavirus
crisis, further weakening of growth prospects and/or
crystallisation of contingent liabilities.

Policy slippage or inconsistencies that lead to increased risks for
macroeconomic stability and increase external vulnerabilities.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Public Finance issuers have a
best-case rating upgrade scenario (defined as the 99th percentile
of rating transitions, measured in a positive direction) of three
notches over a three-year rating horizon; and a worst-case rating
downgrade scenario (defined as the 99th percentile of rating
transitions, measured in a negative direction) of three notches
over three years. The complete span of best- and worst-case
scenario credit ratings for all rating categories ranges from 'AAA'
to 'D'. Best- and worst-case scenario credit ratings are based on
historical performance.

KEY ASSUMPTIONS

Fitch's assumes that Belarus will maintain close economic links
with Russia and that there is no major breakdown in the bilateral
relationship notwithstanding periodic disputes.

Fitch expects the global economy to go through a deep but
short-lived recession in 2020 due to the COVID-19 pandemic. In
particular, Russia's GDP is expected to fall by 3.3% in 2020,
followed by 2.5% growth in 2021, as described in Fitch's Global
Economic Outlook dated April 22, 2020. There is an unusually high
level of uncertainty around the projections at present.

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING

The principal sources of information used in the analysis are
described in the Applicable Criteria.

ESG CONSIDERATIONS

Belarus has an ESG Relevance Score of 5 for Political Stability and
Rights as World Bank Governance Indicators have the highest weight
in Fitch's SRM and are highly relevant to the rating and a key
rating driver with a high weight.

Belarus has an ESG Relevance Score of 5 for Rule of Law,
Institutional & Regulatory Quality and Control of Corruption as
World Bank Governance Indicators have the highest weight in Fitch's
SRM and are therefore highly relevant to the rating and are a key
rating driver with a high weight.

Belarus has an ESG Relevance Score of 4 for Human Rights and
Political Freedoms as Voice and Accountability is reflected in the
World Bank Governance Indicators that have the highest weight in
the SRM. They are relevant to the rating and a rating driver.

Belarus has an ESG Relevance Score of 4 for International Relations
and Trade, as relations with Russia are important given close
economic linkages and a record of bilateral financial support,
which is relevant to the rating and a rating driver.

Belarus has an ESG Relevance Score of 4 for Creditor Rights as
willingness to service and repay debt is relevant to the rating and
is a rating driver for Belarus, as for all sovereigns.

Except for the matters discussed, the highest level of ESG credit
relevance, if present, is a score of 3. This means ESG issues are
credit-neutral or have only a minimal credit impact on the
entity(ies), either due to their nature or to the way in which they
are being managed by the entity(ies).




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

ZAGREBACKA BANKA: Fitch Cuts LT IDR to BB+, Outlook Stable
----------------------------------------------------------
Fitch Ratings has downgraded Zagrebacka Banka d.d.'s Long-Term
Issuer Default Rating to 'BB+' from 'BBB-'. The Outlook is Stable.
Fitch has also downgraded the bank's Support Rating to '3' from '2'
and affirmed its Viability Rating at 'bb+'.

ZABA's downgrade follows a downgrade of the bank's ultimate parent,
UniCredit S.p.A. (BBB-/Stable/bbb-), and reflects its view of its
reduced ability to provide extraordinary support to the
subsidiary.

Operating environment risks have significantly increased for
Croatian banks and will put pressure on their financial metrics.
Fitch forecasts the economy will contract by 5.5% in 2020 due to
the impact of the COVID-19 pandemic (a downward revision of 8pp
since Fitch's last review in December 2019). Moreover, downside
risks to this forecast are significant given the uncertainty around
the duration of the pandemic and lockdown measures (including
travel restrictions). Croatia is highly dependent on tourism and
tourism-related activities, with these sectors accounting for an
estimated 25% of GDP and a similar share of total employment. Fitch
has revised the outlook on its 'bb+' assessment of the operating
environment for Croatian banks to negative from stable.

Croatian authorities' monetary and fiscal relief measures targeting
businesses and individuals should be supportive for banks, at least
in the near term. Nonetheless, Fitch expects ZABA's asset quality
to weaken compared with previous expectations and its earnings to
suffer mostly from reduced business volumes and higher loan
impairment charges.

KEY RATING DRIVERS

IDRs, SR

ZABA's IDRs and SR reflect Fitch's view of a moderate probability
of support, if required, from its parent. Fitch believes that
UniCredit continues to have a strong propensity to support ZABA as
the Croatian subsidiary is based in the CEE region, which is
strategically important for UniCredit. This is further underpinned
by ZABA's close operational integration with its parent and
potential reputational damage for UniCredit from a subsidiary
default. ZABA's relatively small size (about 2% of UniCredit's
consolidated assets) means that potential support should be
immaterial for the parent. The Stable Outlook on ZABA's IDR
reflects that on UniCredit.

VR

The affirmation of ZABA's VR reflects its view that the weaker
economic outlook represents a medium-term risk to its ratings. This
in turn is driven by the bank's high capital buffers, leading
domestic banking franchise and strong deposit-driven funding and
liquidity profile. Fitch believes that ZABA's sound capitalisation
supports the resilience of its credit profile to potential credit
losses it might face as a result of the deteriorating operating
environment. According to its estimates, the bank's CET1 capital
buffer (adjusted by the retained 2019 profit) over regulatory
requirements provided sizeable loss absorption capacity of around
11% of gross customer loans as of end-2019. Fitch has maintained
stable outlooks on the bank's capitalisation & leverage as well as
funding & liquidity scores.

Fitch sees downside risks to its assessment of ZABA's asset quality
and profitability; therefore, Fitch has changed its outlook on both
to negative from stable. In the short term, the negative impact on
asset quality metrics and risk costs from the expected economy
recession may be partly mitigated by loan moratoria and government
support measures to borrowers, but ultimately it will depend on the
duration of the economic downturn. ZABA has moderate credit
exposure to the potentially most vulnerable sectors (tourism,
transport and services). The bank's concentration in larger
corporates and the public sector could mitigate some pressures,
nonetheless Fitch believes that a significant increase of loan loss
allowances is likely. The Stage 3 loans ratio fell to 5.8% at
end-2019 from 11.3% at end-2018.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

  - The bank's Long-Term IDR will be downgraded if simultaneously
its VR is downgraded and parent support weakens in its view. The
latter could be triggered by a downgrade of UniCredit's Long-Term
IDR or a reduced propensity of the parent to support ZABA.

  - A downgrade of the VR could be driven by a significant
weakening of the bank's capitalisation due to asset quality or
profitability deterioration.

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

  - The bank's Long-Term IDR would be upgraded if UniCredit was
upgraded. However, this is unlikely at present.

  - In the event ZABA is able to withstand rating pressure arising
from the pandemic, an upgrade of its VR would require a substantial
improvement of the operating environment, which is unlikely in the
medium term.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Financial Institutions
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING

The principal sources of information used in the analysis are
described in the Applicable Criteria.

PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS

ZABA's Long-Term IDR is notched down once from UniCredit S.p.A.'s
IDR.

ESG CONSIDERATIONS

The highest level of ESG credit relevance, if present, is a score
of 3. This means ESG issues are credit-neutral or have only a
minimal credit impact on the entity(ies), either due to their
nature or to the way in which they are being managed by the
entity(ies).




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

SOCIETE GENERALE: S&P Cuts Rating on 2014-165 Notes to 'Bp'
-----------------------------------------------------------
S&P Global Ratings lowered its credit rating to 'Bp' from 'B+p' on
Societe Generale's series 2014-165 notes.

The rating action follows its May 8, 2020, rating action on its
long-term ICR on Staples Inc.

Under S&P's "Global Methodology For Rating Repackaged Securities"
criteria, it weak-links its rating on Societe Generale's series
2014-165 notes to the lowest of:

-- S&P's rating on the $6.0 billion medium-term note program
issued by Societe Generale; and

-- S&P's ICR on Staples Inc. as the reference entity.

Therefore, following S&P's recent downgrade of Staples Inc., it has
consequently lowered its rating on Societe Generale's series
2014-165 notes.

Staples entered the current economic recession with a highly
leveraged balance sheet and limited financial flexibility to
withstand an extended economic downturn. Under S&P's base-case
forecast, it assumes U.S. GDP declines by 5.2% in 2020, supporting
a mid-teens percentage decline in Staples' revenue for the year.
S&P expects the largest contraction in its revenue to occur in the
second quarter as the temporary business shutdowns and stay-at-home
orders reduce product demand across virtually all of the company's
product channels. With the exception of its Janitorial and
Sanitation (Jan San) products and Staples.com channel (which have
benefitted from increased demand for cleaning products and orders
from telecommuters), the demand for its core products (ink, paper,
toner) has continued to decline. Though Staples has tried to manage
its costs through employee furloughs and executive compensation
reductions, increased logistics costs will pressure margins,
contributing to S&P's forecast adjusted margin decline of 50 basis
points (bps)-100 bps in 2020. S&P expects adjusted leverage to
increase over 8x in 2020 and remain above 7x through 2021.

S&P Global Ratings acknowledges a high degree of uncertainty about
the rate of spread and peak of the coronavirus outbreak. S&P said,
"Some government authorities estimate the pandemic will peak about
midyear, and we are using this assumption in assessing the economic
and credit implications. We believe the measures adopted to contain
COVID-19 have pushed the global economy into recession. As the
situation evolves, we will update our assumptions and estimates
accordingly."

Environmental, social, and governance (ESG) credit factors for this
credit rating change:

-- Health and safety




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

PIRAEUS BANK: Fitch Affirms 'CCC/C' Issuer Default Ratings
----------------------------------------------------------
Fitch Ratings has affirmed the Long-Term Issuer Default Ratings of
Greek banks Eurobank S.A. (CCC+), National Bank of Greece S.A.
(CCC+), Alpha Bank AE (CCC+) and Piraeus (CCC).

The affirmations in the 'CCC' category reflect the already weak
credit profiles of the four systemic Greek banks and downside risks
resulting from the economic and financial implications of the
coronavirus outbreak.

The most immediate downside sensitivity for the ratings now relates
to the economic and financial-market impact of the coronavirus
outbreak on the already weak capital and asset-quality positions of
the sector. Fitch forecasts real GDP in Greece to decline by 8.1%
in 2020, reflecting the necessary restrictive measures to slow the
spread of the pandemic, the global recession and sharp fall in
tourism, and expects some recovery in activity in 2H20 and 2021,
with GDP growth reaching 5.1% in 2021. There are downside risks to
these projections around the extent and duration of the coronavirus
outbreak. Prolonged lockdown periods or a second wave of infections
in Greece and other European countries would imply much larger
declines in output in 2020 and a weaker recovery in 2021.

Before the outbreak of the pandemic, the Greek banking sector was
progressing well with the asset-quality clean-up through a
combination of sales of problem assets, write-offs and
restructuring. In 2019, the stock of non-performing loans in the
sector declined by 16%, although it still was a very high 41% of
gross loans at end-2019. The banking sector was planning to reduce
the NPL ratio to below 20% by end-2021, mainly driven by large
securitisations of problem assets this year following the approval
of the Hercules Asset Protection Scheme. However, the economic
fallout from the pandemic is going to delay most of these planned
securitisations, in its view, and will likely result in an increase
in new NPLs.

In response to the crisis, Greek banks have introduced moratoria on
debt payments to individuals and businesses that were performing
before the pandemic outbreak. The guidelines by the European
Banking Authority on the treatment of non-borrower-specific
moratoria in light of coronavirus-related measures should avoid
triggering a forbearance classification or the treatment of such
exposures as defaulted in the near term. The provision of state
loan guarantees, interest loan subsidies and support to affected
individuals and businesses by the Greek government will also
mitigate near-term asset-quality deterioration. However, large
credit losses could eventually materialise if the economic fallout
from the current crisis is long lasting.

Fitch expects earnings challenges to increase due to lower business
volumes and rising loan impairment charges. This is despite the
European Central Bank allowing for greater flexibility in the
prudential treatment of loans backed by coronavirus-related
measures and its recommendation to avoid excessive pro-cyclical
effects when applying the IFRS 9 international accounting
standards.

With pressure on asset quality and earnings intensifying, and
despite the capital-relief measures introduced by the European
authorities, capital is at greater risk of deterioration. In light
of the coronavirus, the ECB has allowed banks to operate
temporarily below the capital conservation buffer and to use
capital instruments that do not qualify as common equity Tier 1
capital, such as additional Tier 1 or Tier 2 instruments, to meet
the Pillar 2 requirements. Banks will also be permitted to
neutralise new credit losses from Stage 1 and Stage 2 exposures
when calculating regulatory capital, if the recent proposal by the
European Commission is introduced. However, Greek banks'
capitalisation remains highly vulnerable to further asset-quality
deterioration considering the significant encumbrance from
unreserved problem assets and the weak capacity to generate
earnings.

The funding position of the Greek banking sector has continued to
strengthen supported by deposit inflows, which have remained
resilient in 1Q20, according to the most recent publicly available
data from the Bank of Greece. Access to wholesale funding was also
improving before the pandemic, and some banks successfully issued
subordinated debt in mid-2019 and early 2020. The sector's
liquidity position has also improved, as reflected by the increase
in the liquidity coverage ratio to 130% at end-2019 from 48% at
end-2018, but remains relatively weak by European standards and is
sensitive to depositor and investor confidence.

Fitch considers the risks to funding profiles from the current
crisis to be long-term (eg term debt refinancing and market
issuance) rather than near-term risks, given the reduced use by
Greek banks of short-term wholesale funding (mostly secured repos)
and the extensive policy support facilities, including targeted
longer-term refinancing operations and the ECB's EUR750 billion
Pandemic Emergency Purchase Programme, which includes Greek
government debt in contrast to most previous asset purchase
schemes. The inclusion in the Pandemic Emergency Purchase Programme
has contained the increase of Greek government spreads, limiting
valuation losses on the banks' securities holdings. The ECB has
also relaxed collateral standards for Eurosystem refinancing
operations to accept Greek government debt, which further increases
the contingent liquidity sources of the banks.

KEY RATING DRIVERS

EUROBANK

Eurobank's Long-Term IDR and Viability Rating of 'CCC+' and 'ccc+',
respectively, reflect the bank's still weak asset quality and high
capital encumbrance by unreserved non-performing exposures,
although both improved in 2019 and compare favourably with the
other Greek banks. Eurobank managed to reduce the stock of impaired
loans by about 20% in 2019, leading to an NPE ratio of 29% at
end-2019 (down from 37% a year earlier) according to Fitch's
estimations. Coverage of impaired loans by loan loss allowances
remained moderate at 55%.

Eurobank plans to complete the securitisation of EUR7.5 billion of
problem assets in 2Q20, which would reduce the NPE ratio to about
15%. In December 2019, Eurobank announced that it reached an
agreement with doValue, an Italian loan management servicer, for
the sale of an 80% stake of its fully owned servicer and on a
partial sale of mezzanine and junior notes of the securitisation.
The remaining notes are expected to be distributed to Eurobank's
current shareholders, while the bank will retain the 5% of the
mezzanine and junior notes and 100% of the senior notes guaranteed
by the APS.

Eurobank's CET1 and total capital ratios increased to 16.7% and
19.2%, respectively, at end-2019, benefiting primarily from the
merger with Grivalia. Capital encumbrance from unreserved impaired
loans improved in 2019, but remained high (85% of CET1 at end-2019,
down from 143% a year earlier).

The bank's earnings have benefited from the positive contribution
of its international operations in recent years, contrary to other
Greek entities. However, the bank's operating profitability remains
weak and is likely to be pressured by higher LICs in the current
environment.

The bank continued to strengthen its funding in 2019 following loan
deleveraging and deposit inflows, but it remains sensitive to
depositor and investor confidence. Liquidity remains relatively
weak with the LCR at 80% on a solo basis at end-2019 (97% for the
group).

Eurobank's long-term senior preferred debt ratings, including those
issued under debt programmes of its issuing vehicles, are notched
down twice from its Long-Term IDR, reflecting poor recovery
prospects in the event of a default on senior preferred debt given
weak asset quality, high levels of senior-ranking liabilities
(comprising mainly insured retail and SME deposits) and high asset
encumbrance. This is reflected in the 'RR6' recovery rating
assigned to the notes.

NBG

NBG's Long-Term IDR and VR of 'CCC+' and 'ccc+', respectively,
reflect the bank's still weak asset quality and high capital
encumbrance by unreserved NPEs, although both improved in 2019 and
compare favourably with other Greek banks. NBG managed to reduce
the stock of impaired loans by about 30% in 2019, leading to an NPE
ratio of 31% at end-2019 (down from 41% a year earlier) according
to Fitch's estimations. Coverage of impaired loans by LLAs remained
moderate at 53%. The bank is relatively more exposed to debt
securities than peers, with Greek government debt representing
about 100% of NBG's CET1, of which about 15% are accounted at fair
value.

NBG was planning to complete a securitisation of EUR6 billion of
problem assets in 2020 making use of the APS, similar to other
Greek banks. However, Fitch expects this transaction to be delayed
given its view that investor appetite is likely to be lower in the
COVID-19 crisis.

NBG's CET1 and total capital ratios were 16% and 16.9%,
respectively, at end-2019. In January 2020, NBG realised a
significant gain of EUR515 million resulting from the exchange of
debt securities with the Greek government, which will add up to
140bp to the bank's capital ratios. Capital encumbrance from
unreserved impaired loans improved in 2019, but remained high (85%
of CET1 at end-2019, down from 120% a year earlier).

Operating profitability remains weak and is likely to be pressured
by higher LICs in the current environment, although this will be
mitigated by the high extraordinary trading gains of about EUR800
million in 1Q20. NBG's earnings benefited from higher core income
and trading gains in 2019, although the bank recorded EUR0.5
billion of impairment losses from its insurance business. The bank
was expected to sell 80% of its insurance business this year,
although the current situation poses execution risks and reduces
the potential positive impact on capital, in its view.

Funding continued strengthening in 2019 following loan deleveraging
and deposit inflows and compares favourably with the sector, but it
remains sensitive to weaker confidence. In 2019, NBG significantly
reduced the reliance on repo funding and issued EUR400 million of
subordinated notes, taking advantage of favourable market
conditions. The bank has been able to restore the LCR to adequate
levels (207% at end-2019) ahead of peers.

NBG's long-term senior preferred debt, including those issued under
debt programmes of its issuing vehicles, and subordinated debt
ratings are notched down twice from its Long-Term IDR, reflecting
poor recovery prospects in the event of a default on senior
preferred debt given weak asset quality, high levels of
senior-ranking liabilities (comprising mainly insured retail and
SME deposits) and high asset encumbrance. This is reflected in the
'RR6' recovery rating assigned to the notes.

ALPHA

Alpha's Long-Term IDR and VR of 'CCC+' and 'ccc+', respectively,
reflect the bank's still weak asset quality and high capital
encumbrance by unreserved NPEs, which compare unfavourably with
some of its peers. Alpha managed to reduce the stock of impaired
loans by about 15% in 2019, leading to a NPE ratio of 46% at
end-2019 (down from 50% a year earlier) according to Fitch's
estimations. Coverage of impaired loans by LLAs was low at 42%
given the large stock of NPEs, and exposes Alpha to collateral
valuation shocks.

Alpha was planning to complete a large securitisation of EUR12
billion of problem assets in 2020 making use of the APS, similar to
other Greek banks, which would have reduced the NPE ratio to about
20%. However, Fitch expects this transaction to be delayed given
its view that investor appetite is likely to be lower in the
COVID-19 crisis.

The ratings also factor in Alpha's stronger capitalisation compared
with Greek peers, with CET1 and total capital ratios both at 17.9%
at end-2019. In February 2020, the bank issued EUR500 million of
subordinated debt notes, further strengthening the total capital
ratio to 19%. However, the bank's capital remains highly vulnerable
to unreserved NPEs, which were about 155% of the CET1 capital, down
from 172% a year earlier.

Capacity to generate capital internally remains weak and is likely
to be pressured by higher LICs in the current environment.

The bank's funding continued strengthening in 2019 following loan
deleveraging and deposit inflows, but it is still sensitive to
confidence shocks. Liquidity remains relatively weak as the bank's
LCR was still below 100% at end-2019.

Alpha's long-term senior preferred debt ratings, including those
issued under the debt programmes of its issuing vehicles, are
notched down twice from its Long-Term IDR, reflecting poor recovery
prospects in the event of a default on senior preferred debt given
weak asset quality, high levels of senior-ranking liabilities
(comprising mainly insured retail and SME deposits) and high asset
encumbrance. This is reflected in the 'RR6' recovery rating
assigned to the notes.

Hybrid securities are notched off the bank's VR. The 'C'/'RR6'
rating on Alpha's legacy preferred securities, issued through a
funding vehicle, reflect exceptionally high credit risk and poor
recovery prospects. This explains the four-notch difference between
the bank's Long-Term IDR and the preferred securities ratings. The
issue is non-performing as the obligations under the securities are
currently not being paid.

PIRAEUS

Piraeus' Long-Term IDR and VR of 'CCC' and 'ccc', respectively,
reflect the bank's exceptionally weak asset quality and very high
capital encumbrance by unreserved NPEs. Piraeus managed to reduce
the stock of impaired loans by about 10% in 2019, leading to an NPE
ratio of 50% at end-2019 (down from 53% a year earlier) according
to Fitch's estimations. Coverage of impaired loans by LLAs was low
at 44% given the large stock of NPEs, and exposes Piraeus to
weakening collateral valuation.

Piraeus was planning to complete two securitisations for a total of
EUR7 billion of problem assets in 2020 making use of the APS,
similar to other Greek banks, which would have reduced the NPE
ratio to about 35%. However, Fitch expects these transactions to be
delayed given its view that investor appetite is likely to be lower
in the COVID-19 crisis.

Piraeus's CET1 and total capital ratios improved to 14.1% and
14.9%, respectively, benefiting from capital-enhancement actions in
2019. These included the issuance of EUR400 million of subordinated
debt notes in June 2019 and signing a strategic partnership
agreement with debt collection company Intrum to manage the NPEs,
which will reduce the operating cost base of the bank. The bank
issued EUR500 million of subordinated debt notes in February 2020,
leading to a pro-forma total capital ratio of 16%. However, the
bank's capital remains highly vulnerable to unreserved NPEs, which
accounted for 222% of the CET1 at end-2019, broadly stable compared
with the levels of a year earlier.

Capacity to generate capital internally remains weak and is likely
to be pressured by higher LICs in the current environment.

Funding and liquidity continued strengthening in 2019 following
loan deleveraging and deposit inflows and compares favourably with
the sector, although remains sensitive to confidence shocks.
Piraeus was the second Greek systemic bank to restore the LCR above
the regulatory threshold, with a ratio of 117% at end-2019.

Piraeus's long-term senior preferred debt ratings, including those
issued under debt programmes of its issuing vehicles, are notched
down twice from its Long-Term IDR, reflecting poor recovery
prospects in the event of a default on senior preferred debt given
weak asset quality, high levels of senior-ranking liabilities
(comprising mainly insured retail and SME deposits) and high asset
encumbrance. This is reflected in the 'RR6' recovery rating
assigned to the notes.

SUPPORT RATING AND SUPPORT RATING FLOOR

The SR of '5' and SRF of 'No Floor' for the four banks highlight
its view that support from the state cannot be relied on. This is
because of Greece's limited resources and the implementation of the
Bank Recovery and Resolution Directive.

RATING SENSITIVITIES

EUROBANK

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

Eurobank's ratings could be upgraded if the group successfully
completes its planned securitisation of NPEs in 2Q20 without
significantly weakening its capital position, and the outlook for
the operating environment in Greece does not weaken further as a
result of the coronavirus outbreak. Earnings resilience in the
current environment and improvements in the bank's liquidity
position would also be rating-positive.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

Eurobank's ratings would likely be downgraded if the deterioration
in the operating environment results in a permanent damage of the
bank's capital and asset quality, including a temporary break of
capital buffers without a clear path for capital ratios to be
restored within a reasonable timeframe. Downside pressure on the
ratings could also arise if depositor and investor confidence
weaken, compromising the bank's already weak liquidity profile.
Support measures by authorities, including state loan guarantees,
liquidity facilities or sector-wide NPL work-out schemes, could
mitigate the negative rating pressures for the bank.

The ratings of senior preferred debt are sensitive to changes in
the Long-Term IDR and to the level of asset encumbrance. A material
reduction of asset encumbrance or improved asset-quality could
result in a lower notching from the Long-Term IDR.

NBG

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

An upgrade of the bank's ratings is unlikely in the current
environment and would require NBG to show that it is able to
withstand pressure on asset quality and earnings during the crisis.
The most likely trigger for an upgrade would be a reduction of
capital encumbrance from unreserved problem assets and a
strengthening of capital buffers. An improved capacity to generate
capital internally through operating profit would also be
rating-positive.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

NBG's ratings would likely be downgraded if the deterioration in
the operating environment results in a permanent damage of the
bank's asset quality and capital, including a break of capital
buffers without a clear path for capital ratios to be restored
within a reasonable timeframe. Downside pressure on the ratings
could also arise if depositor and investor confidence weaken,
affecting the bank's liquidity profile. Support measures by
authorities, including state loan guarantees, liquidity facilities
or sector-wide NPL work-out schemes, could mitigate the negative
rating pressures for the bank.

The ratings of senior preferred debt and subordinated debt are
sensitive to changes in the Long-Term IDR and to the level of asset
encumbrance. A material reduction of asset encumbrance or improved
asset-quality could result in a lower notching of senior preferred
debt ratings from the Long-Term IDR.

ALPHA

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

An upgrade of the bank's ratings is unlikely in the current
environment and would require Alpha to show that it is able to
withstand pressure on asset quality and capitalisation during the
crisis. The most likely trigger for an upgrade in such a scenario
would be a reduction of capital encumbrance from unreserved problem
assets and a strengthening of capital buffers. Improved capacity to
generate capital internally through operating profit and
improvements in the bank's liquidity position would also be
rating-positive.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

Alpha's ratings would likely be downgraded if the deterioration in
the operating environment results in a permanent damage of the
bank's asset quality and capital, including a break of capital
buffers without a clear path for capital ratios to be restored
within a reasonable timeframe. Downside pressure on the ratings
could also arise if depositor and investor confidence weaken,
compromising the bank's already weak liquidity. Support measures by
authorities, including state loan guarantees, liquidity facilities
or sector-wide NPL work-out schemes, could mitigate the negative
rating pressures for the bank.

The ratings of senior preferred debt are sensitive to changes in
the Long-Term IDR and to the level of asset encumbrance. A material
reduction of asset encumbrance or improved asset-quality could
result in a lower notching from the Long-Term IDR.

The ratings of preferred securities issued by a funding vehicle and
guaranteed by Alpha could be upgraded if they become performing and
if there is an upgrade of Alpha's VR.

PIRAEUS

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

An upgrade of the bank's ratings is unlikely in the current
environment and would require Piraeus to show that it is able to
withstand pressure on asset quality and capitalisation during the
crisis. The most likely trigger for an upgrade in such a scenario
would be a reduction of capital encumbrance from unreserved problem
assets and a strengthening of capital buffers. Improved capacity to
generate capital internally and improvements in the bank's
liquidity position would also be rating-positive.

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

Piraeus's ratings would likely be downgraded if the deterioration
in the operating environment results in a permanent damage of the
bank's asset quality and capital, including a break of capital
buffers without a clear path for capital ratios to be restored
within a reasonable timeframe. Downside pressure on the ratings
could also arise if depositor and investor confidence weaken,
compromising the bank's liquidity profile. Support measures by the
authorities, including state loan guarantees, liquidity facilities
or sector-wide NPL work-out schemes, could mitigate the negative
rating pressures for the bank.

The ratings of senior preferred debt are sensitive to changes in
the Long-Term IDR and to the level of asset encumbrance. A material
reduction of asset encumbrance or improved asset-quality could
result in a lower notching from the Long-Term IDR.

SR AND SRF

Any upgrade of the SR and upward revision of the SRF for all the
banks under review would be contingent on a positive change in
Greece's ability and propensity to support its banks. While not
impossible, this is highly unlikely in Fitch's view.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Financial Institutions
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING

The principal sources of information used in the analysis are
described in the Applicable Criteria.

ESG CONSIDERATIONS

The highest level of ESG credit relevance, if present, is a score
of 3. This means ESG issues are credit-neutral or have only a
minimal credit impact on the entity(ies), either due to their
nature or to the way in which they are being managed by the
entity(ies).

ERB Hellas PLC  
    
  - Senior preferred; LT CCC-; Affirmed

  - Senior preferred; ST C; Affirmed

Alpha Credit Group PLC      

  - Senior preferred; LT CCC-; Affirmed

  - Senior preferred; ST C; Affirmed

Piraeus Group Finance PLC      

  - Senior preferred; LT CC; Affirmed

  - Senior preferred; ST C; Affirmed

Eurobank S.A.

  - LT IDR CCC+; Affirmed

  - ST IDR C; Affirmed

  - Viability ccc+; Affirmed

  - Support 5; Affirmed

  - Support Floor NF; Affirmed

  - Senior preferred; LT CCC-; Affirmed

  - Senior preferred; ST C; Affirmed

Alpha Group Jersey Limited      

  - Subordinated; LT C; Affirmed

ERB Hellas (Cayman Islands) Ltd.      

  - Senior preferred; LT CCC-; Affirmed

  - Senior preferred; ST C; Affirmed

National Bank of Greece S.A.

  - LT IDR CCC+; Affirmed

  - ST IDR C; Affirmed

  - Viability ccc+; Affirmed

  - Support 5; Affirmed

  - Support Floor NF; Affirmed

  - Subordinated; LT CCC-; Affirmed

NBG Finance plc      

  - Senior preferred; LT CCC-; Affirmed

  - Senior preferred; ST C; Affirmed

Piraeus Bank S.A.

  - LT IDR CCC; Affirmed

  - ST IDR C; Affirmed
  
  - Viability ccc; Affirmed

  - Support 5; Affirmed

  - Support Floor NF; Affirmed

  - Senior preferred; LT CC; Affirmed

  - Senior preferred; ST C; Affirmed

Alpha Bank AE

  - LT IDR CCC+; Affirmed

  - ST IDR C; Affirmed

  - Viability ccc+; Affirmed

  - Support 5; Affirmed

  - Support Floor NF; Affirmed

  - Senior preferred; LT CCC-; Affirmed

  - Senior preferred; ST C; Affirmed




=============
H U N G A R Y
=============

NITROGENMUVEK ZRT: Fitch Affirms B- LongTerm IDR, Outlook Stable
----------------------------------------------------------------
Fitch Ratings affirmed Hungary-based fertiliser company
Nitrogenmuvek Zrt's Long-Term Foreign-Currency Issuer Default
Rating at 'B-' with Stable Outlook.

The rating reflects volatility in Nitrogenmuvek's cash flows,
driven by price dynamics and unplanned plant outages, and its
expectation that the company's funds from operations gross leverage
will remain elevated, despite a visible improvement in 2019-2020,
as Fitch forecasts EBITDA margin to come under pressure from 2021
on rising gas prices. While Fitch forecasts a more moderate net
leverage over 2020-2023, medium-term dividend plans and the ability
to manage unplanned shutdowns may affect the company's ability to
generate free cash flow and sustain reduced net leverage.

KEY RATING DRIVERS

Better Metrics in 2019: Decline in natural gas prices (accounting
for 46% of Nitrogenmuvek's fertiliser production costs), coupled
with higher average calcium ammonium nitrate prices, more than
offset a 13% reduction in volumes impacted by scheduled maintenance
works. As a result, EBITDA in 2019 recovered to HUF17.8 billion
from 2018's HUF6.2 billion. Stronger performance, in tandem with
positive working capital inflow of HUF14.7 billion, drove 2019 FFO
net leverage down to 3.5x versus its forecast of 6.0x.

Gross Leverage Remains High: Fitch expects temporary reduction in
FFO gross leverage to 4.0x in 2020 from 5.4x in 2019. However, as
Fitch forecasts gas prices to increase from 2021 from the current
low levels, Fitch expects EBITDA margin to fall below 20% in 2021
and gross leverage to remain above 4.5x over 2021-2023. In its
forecasts, Fitch assumes no dividend payments and very low
maintenance capex (around 1% of revenue) as well as no unplanned
shutdowns over 2020-2023, which underpins positive FCF generation.
Nitrogenmuvek's medium-term financial policy along with its
management of operational outages will shape the FCF and net
leverage profile on a sustained basis. Payment of dividends is
subject to restrictions under notes documentation.

Improved Operating Performance: The number of unplanned plant
shutdowns fell to 10 days in 2019 versus 58 days in 2018. Fitch
understands from management that historical unplanned outages in
2013-2017 were linked to the company's ammonia plant upgrade.
Material operational failures should reduce as the company does not
plan any new major capacity upgrades but a record of consistently
good performance is yet to be established. Its single-plant
operations result in higher potential financial impact from
operational issues due to the lack of alternative to offset lost
volumes. However, Fitch recognises this risk is now reduced with
the termination of the capex cycle.

Limited Impact of COVID-19: Operations have not been affected by
manufacturing or supply-chain disruptions to date. Demand for
fertilisers and crop prices in Europe remains stable whereas
supplies of feedstock have not been impeded by the pandemic.
Nitrogenmuvek has introduced mitigating measures limiting the
physical presence of employees at production sites, spare shift at
its ammonia plant, as well as remote working for office staff.

Essential Product Nature: Fertilisers are an essential part of food
manufacturing and therefore their distribution is not currently
subject to transportation restrictions. Higher demand from domestic
customers can potentially offset lower international sales in the
unlikely event of restrictions on cross-border movements between EU
countries.

Large Domestic Market Share: Nitrogenmuvek is the only producer of
nitrogen fertilisers in Hungary with a significant market share.
Barriers to entry include limited return on investment given the
small regional market, the lead time of four to five years for new
plant construction, high transportation costs for importers
(Hungary is landlocked) and import tariffs for non-EU producers.
The company also benefits from the higher growth potential of
central European countries where nitrogen fertiliser use per
hectare remains below that of mature agricultural markets,
especially of calcium ammonium nitrate as it suits Europe's
environmental regulations for fertilisers and is easy to store.

Price and Gas Cost Volatility: Nitrogenmuvek lacks the product and
geographical diversification of its international peers, and is at
the upper part of the global ammonia cost curve, which leaves it
more exposed to nitrogen price volatility than lower-cost players.
It is also exposed to volatility in natural gas prices, its main
raw material, which it buys through spot or short-term contracts on
the Austrian VTP in Vienna. Nitrogen fertiliser prices are expected
to soften in 2020, despite balanced supply-demand dynamics, but are
expected to recover in 2021. Intra-year volatility continues to be
driven by feedstock and gas costs, weather patterns and
uncertainties around global supply and trade patterns.

DERIVATION SUMMARY

Nitrogenmuvek has a smaller scale, higher product concentration and
weaker cost position and profitability than Fitch-rated EMEA
nitrogen fertiliser players PJSC Acron (BB-/Stable) and EuroChem
Group AG (BB/Stable). These two companies also benefit from a more
diversified business profile as Acron is active in complex
fertilisers and EuroChem now has exposure to all the three
nutrients (nitrogen, phosphorus, potassium) after the launch of
Usolskiy mine (potash). This is somewhat mitigated by
Nitrogenmuvek's status as the sole domestic producer and its
dominant market share in landlocked Hungary, with high
transportation costs for competing importers.

KEY ASSUMPTIONS

Fitch's Key Assumptions Within its Rating Case for the Issuer

Fertiliser prices generally following Fitch's global fertiliser
price assumptions.

Fertiliser sales volumes increase to 1,173kt in 2020, 1,265kt in
2021 before decreasing to 1,069kt in 2022 due to scheduled
maintenance with a focus on calcium ammonium nitrate;

Non-fertiliser segment to decrease to around 23% of total revenue
2020 and 2021 before increasing to 28% in 2022.

Cost of goods sold at 67% in 2020 of total revenues gradually
increasing with rising gas prices to 72% in 2021, 75% in 2022 and
2023.

Annual capex at around HUF1billion in 2020 and 2021 followed by
HUF4.9 billion in 2022 driven by the three-year turnaround at the
ammonia plant.

Assumptions on Recovery Analysis:

The recovery analysis assumes that Nitrogenmuvek would be
liquidated rather than treated as going-concern, as the estimated
value derived from the sale of the company's assets is higher than
estimated going- concern enterprise value post restructuring.

The liquidation estimate reflects Fitch's view of the value of
inventory and other assets that can be realised in a reorganisation
and distributed to creditors.

Property, plant and equipment is discounted by 50%; the value of
accounts receivables is discounted by 25% and the value of
inventory discounted by 50% in line with peers and industry
trends.

EUR200 million bond ranks pari passu with the company's bank debt.

After deduction of 10% for administrative claims, its waterfall
analysis generated a ranked recovery in the RR3 band, indicating a
'B' instrument rating. The waterfall analysis output percentage on
current metrics and assumptions was 70%.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

  - FFO gross leverage below 4.5x on a sustained basis

  - Positive FCF translating into FFO net leverage below 4.0x on a
sustained basis

  - Through-the-cycle EBITDA above USD40 million

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

  - Weak cash flow or unexpected maintenance leading to sustained
FFO net leverage above 6.5x and FFO gross leverage above 7x

  - Continuous deterioration in EBITDA margin to below 10%

  - FCF sustainably negative

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Non-Financial Corporate
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

LIQUIDITY AND DEBT STRUCTURE

Comfortable Liquidity: At end-2019, Nitrogenmuvek had HUF30.6
billion of cash on balance sheet (HUF16 billion in 2018). Debt
maturities over the next four years are low at HUF3.4 billion and
reflect amortisations of a EUR10 million, 10-year loan maturing in
2025 and a EUR95.6 million, 12-year loan due in 2027. Refinancing
risk is not expected prior to the maturity of the EUR200 million
bond due in 2025. Nitrogenmuvek has no material liquidity back-up
credit facilities but based on its forecast its cash balance is
expected to increase further in 2020.

SUMMARY OF FINANCIAL ADJUSTMENTS

  - HUF28.8 million gain on sale of assets reclassified as
non-operating income

  - HUF8.6 billion change in other working capital reclassified as
working capital change

  - HUF87.4 million current lease liabilities reclassified as other
liabilities

  - HUF5.2 million interest related to lease liabilities
reclassified as lease expenses

  - HUF72.7 million D&A related to right-of-use assets subtracted
from EBITDA

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING

The principal sources of information used in the analysis are
described in the Applicable Criteria.

ESG CONSIDERATIONS

The highest level of ESG credit relevance, if present, is a score
of 3. This means ESG issues are credit-neutral or have only a
minimal credit impact on the entity(ies), either due to their
nature or to the way in which they are being managed by the
entity(ies).



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

BANK OF IRELAND: Moody's Gives Ba2(hyb) Rating to EUR675MM Notes
----------------------------------------------------------------
Moody's Investors Service has assigned a Ba2(hyb) rating to the
"high trigger" additional tier 1 Pref. Stock Non-Cumulative EUR675
million note to be issued by Bank of Ireland Group plc, the holding
company of Bank of Ireland ("BOI" A2 stable).

This perpetual non-cumulative AT1 security ranks junior to all
liabilities of BOI Group and ranks senior to common shares. Coupons
may be cancelled on a non-cumulative basis at the issuer's option
and on a mandatory basis subject to the availability of
distributable items and regulatory discretion. The principal of the
security will be written-down if BOI's Common Equity Tier 1 ratio
falls below 7%. The principal amount can be written-up at the sole
discretion of the bank.

RATINGS RATIONALE

The Ba2(hyb) rating assigned to the security is based on multiple
risks, including the likelihood of BOI's capital ratio reaching the
conversion trigger, the likelihood of coupon suspension on a
non-cumulative basis and the probability of a bank-wide failure and
loss severity, if any or all these events occur. Moody's assesses
the probability of a trigger breach using an approach that is
model-based, incorporating the bank's creditworthiness, its most
recent reported CET1 ratio and qualitative considerations,
particularly with regard to how the bank may manage its CET1 ratio
on a forward-looking basis. Moody's rates these notes to the lower
of the model-based outcome and BOI's non-viability security rating,
which also captures the risk of coupon suspension on a
non-cumulative basis. Moody's approach to rating high-trigger
contingent capital securities is described in its "Banks
Methodology", published on November 2019.

BOI has a Baseline Credit Assessment of baa2, which incorporates
the bank's overall intrinsic credit strength and the most recently
published group level fully-loaded CET1 ratio, which was 13.5% at
end-March 2020. BOI's BCA, its group-level fully-loaded CET1 ratio
and forward-looking assumptions on its regulatory ratio, were used
as inputs to the model, which corresponds to an output of
Ba1(hyb).

The model output was then compared to the issuer's non-viability
security rating, Ba2(hyb), which is positioned based on Moody's
Advanced Loss Given Failure analysis and also captures both the
probability of impairment associated with non-cumulative coupon
suspension as well as the probability of a bank failure. The 'high
trigger' security rating is constrained by the rating on the
non-viability security, leading to the assignment of a Ba2(hyb)
rating to BOI Group's 'high trigger' AT1 securities.

In addition, Moody's ran a model sensitivity analysis on BOI that
factors in changes to the group and bank's CET1 ratio. The outcome
of this sensitivity analysis confirms that a Ba2(hyb) rating is
resilient under the main plausible scenarios.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATING

The rating of BOI Group's AT1 notes is currently constrained by the
rating on the issuer's non-viability security, which in turn could
be upgraded if BOI's baa2 BCA were to be upgraded.

Conversely, downward pressure on the rating of this instrument
could develop if BOI's BCA was adjusted downward or if its CET1
ratio were to decline substantially on a sustained basis. In
addition, Moody's would also reconsider the rating in the event of
an increased probability of a coupon suspension.

PRINCIPAL METHODOLOGY

The principal methodology used in this rating was Banks Methodology
published in November 2019.




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=================

NORTH MACEDONIA: Fitch Alters Outlook on BB+ IDR to Negative
------------------------------------------------------------
Fitch Ratings has revised the Outlook on North Macedonia's
Long-Term Issuer Default Ratings to Negative from Stable and
affirmed the IDRs at 'BB+'.

KEY RATING DRIVERS

The revision of the Outlook reflects the following key rating
drivers and their relative weights:

HIGH

Fitch forecasts the North Macedonian economy contracts by 4.2% in
2020 (a downward revision of 7.7pp since its last review six months
ago) following growth of 3.6% in 2019. This is driven by the impact
of lockdown measures on domestic demand, the sharp fall in eurozone
demand and disruption to supply chains particularly in the auto
sector. Some support is provided by moderate fiscal stimulus, the
benefits of lower energy prices, the capacity of the banking sector
to continue lending, and scope for further monetary policy easing.
Fitch projects GDP growth of 5.1% in 2021 (1.8pp higher than its
previous forecast) due to some investment catch-up, and revival of
private consumption and external demand. There are sizeable
downside risks to its forecasts, and to the external demand that
has underpinned Macedonia's FDI-driven economic model, should the
COVID-19 pandemic not be contained in 2H20 in line with Fitch's
current baseline assumption.

The general government deficit is set to widen sharply this year,
to a forecast 6.6% of GDP from 2.1% in 2019. The announced fiscal
response totals 1.8% of projected GDP, around 60% of which is wage
subsidies (at the level of the minimum wage). Other measures
include covering 50% of employer social security contributions, and
corporate and income tax deferrals for three months. The government
has announced offsetting expenditure cuts of 1.1% of GDP, which
Fitch assumes will be greater due to under-execution of capital
projects. The full economic support package is still being
developed, including proposals to provide transfers that have
greater reach to North Macedonia's large informal economy, and
possible introduction of a credit guarantee scheme and extension of
existing measures over a longer period. Fitch forecasts the general
government deficit will narrow to 3.7% of GDP in 2021, in line with
economic recovery and the unwinding of fiscal support, which is
below the projected 'BB' median of 4.6% of GDP. However, there are
downside risks and it may prove difficult to implement post-crisis
consolidation measures that stabilise public debt.

North Macedonia faces a heavier debt repayment schedule of EUR837
million, including interest (7.7% of projected GDP) in 2020 and
EUR836 million in 2021 (2019: EUR398 million), adding to financing
needs. For 2020, the government intends to draw down available IFI
financing of EUR316 million (IMF COVID-19 Rapid Financing
Instrument facility, and World Bank) and EUR200 million of EU
finance. Planned net domestic issuance totals a further EUR200
million (70% of which has already been executed) and the government
is considering a Eurobond. Fitch assumes higher domestic issuance,
and a 0.5pp drawdown of fiscal reserves to 4.3% of GDP, reflecting
more difficult external financing conditions. There is also
sizeable concessional financing available using World Bank MIGA
guarantees available to North Macedonia.

Fitch forecasts general government debt will rise to 47.9% of GDP
at end-2020, from 40.3% at end-2019, 6.9pp higher than at its
previous forecast. Government guarantees of public entities total a
further 8.6% of GDP (almost three-quarters of which are roads
projects) but none of these have previously been called. General
government debt is projected to stabilise in 2021, at 48.2% of GDP,
below the projected 'BB' median of 56.3%. In its medium-term debt
dynamics, which assume the primary deficit steadily recovers to the
2019 level of -0.9% of GDP by 2023, and GDP growth averages 3.6% in
2022-2024, debt edges down to 47.4% at end-2024. Fiscal discipline
in recent years enhances confidence in a post-coronavirus fiscal
adjustment but there is added policy risk due to this year's
election. A higher share of North Macedonia's debt is
FX-denominated than the 'BB' median (73%, versus 56%) but this is
predominately in euros and the exchange rate risk is mitigated by
the longevity and credibility of the exchange rate peg.

MEDIUM

External financing risks have increased somewhat due to challenging
financing conditions and an expected reduction in net FDI inflows
to 1.5% of GDP this year, from 2.5% in 2019 (and 5.6% in 2018).
Fitch forecasts a 0.2pp increase in the current account deficit in
2020 to 3.0% of GDP, driven by weaker remittances, narrowing to
2.1% in 2021. The benefit of lower energy prices more than offsets
the cost of the collapse of tourism (the net energy deficit has
averaged 6.1% of GDP since 2015, compared with net tourism of
1.0%), and lower exports, FDI, and domestic demand will also
contribute to a sharp fall in imports. There has been moderate
balance of payments pressures since the beginning of March, with FX
interventions totaling EUR115 million (3% of FX reserves). Fitch
forecasts a further EUR200 million fall in FX reserves this year,
but recovering next year to 4.4 months of current external
payments, compared with the 'BB' median of 4.2 months. Net external
debt is projected to increase from 22.1% of GDP in 2019 to 25.5% in
2021, which is in line with the peer group median of 25.4%.

North Macedonia's 'BB+' IDRs also reflect the following key rating
drivers:

North Macedonia's governance, human development, and ease of doing
business indicators compare favourably with the 'BB' medians, and
there is a track record of coherent macroeconomic and financial
policy, which underpins the longstanding exchange rate peg to the
euro. The EU accession process helps to anchor policy and support
exports and solid FDI inflows, albeit concentrated in Development
Zones that are not well integrated with the rest of the economy.
Set against these factors are the greater exposure of public debt
to exchange rate risk than the peer group median, banking sector
euroisation, and still-high structural unemployment, partly
reflecting a large informal economy and skills mismatches, together
with weak productivity growth.

The European Council decision in March to open EU accession
negotiations, and NATO membership, which was agreed last year, have
provided a boost to investor confidence and FDI prospects. It is a
multi-year process, taking eight years to complete in the case of
the previous EU accession country, and there has since been a
general weakening in appetite for enlargement, which could
translate into more stringent requirements to align standards.
Solid public support in North Macedonia for EU membership and
ongoing economic integration will help bind the process. The EU is
likely to agree the detail of the negotiating framework in 2H20 and
Fitch anticipates the initial focus of reforms will remain on
issues of rule of law in the judiciary and freedom of expression,
tackling corruption, and improving public administration, and that
the new government will continue to make steady progress.

The general election, which has been pushed back from April and is
now expected in late June or early July, somewhat increases policy
uncertainty. In the latest polls, the ruling centre-left SDSM has a
narrow lead over the more nationalist centre-right VMRO-DPMNE and
the outcome could depend on coalition agreements struck with pro
ethnic-Albanian parties. Although the opposition has been critical
of elements of the EU process, particularly on the Prespa Agreement
name change, Fitch anticipates a broad continuation of current
policies on EU accession and macroeconomic management should they
be elected. The election process will constrain implementation of
new measures between the expiry of the COVID-19 State of Emergency
(due on May 16) and the formation of a new government (potentially
around one month after the elections depending on coalition
negotiations), which could impede the near-term policy response to
the crisis.

The banking sector has sound credit fundamentals and is well placed
to weather the coronavirus crisis and provide credit support. A
majority of the sector is controlled by foreign-owned institutions,
which also reduces contingent liability risk. The sector Tier 1
capital ratio was 14.8% at end-2019 and the NPL ratio has been
broadly stable, at 5.0% in 1Q20. Profitability is relatively high,
with a return on equity of 12.8% in 2019, helping to absorb credit
losses, but Fitch nevertheless expects a marked increase in the NPL
ratio next year after recent regulatory forbearance measures
(including lengthening the NPL classification from 90 to 150 days)
are removed.

The coronavirus shock has had a moderate impact on bank deposits,
which slowed to 0.1% month-on-month in March. The share of
local-currency deposits in total deposits increased to 59.1% at
end-March from 57.9% six months earlier but compares unfavourably
with the 'BB' median of 75.2%. Banking sector liquidity is high,
and the Central Bank has cut interest rates by 50bp since the
beginning of March to 1.5% and reduced the amount of central bank
bills auctioned but not the reserve requirements. Together with
government measures to subsidise lending through the Development
Bank of North Macedonia and a potential government credit guarantee
scheme, this underpins its expectation for mildly positive credit
growth for 2020 as a whole.

ESG - Governance: North Macedonia has an ESG Relevance Score of 5
for both Political Stability and Rights and for the Rule of Law,
Institutional and Regulatory Quality and Control of Corruption, as
is the case for all sovereigns. These scores reflect the high
weight that the World Bank Governance Indicators have in its
proprietary Sovereign Rating Model. North Macedonia has a medium
WBGI ranking, at the 50th percentile, reflecting a moderate level
of rights for participation in the political process, moderate
institutional capacity, established rule of law and a moderate
level of corruption.

SOVEREIGN RATING MODEL AND QUALITATIVE OVERLAY

Fitch's proprietary SRM assigns North Macedonia a score equivalent
to a rating of 'BB+' on the Long-Term FC IDR scale.

Fitch's sovereign rating committee did not adjust the output from
the SRM to arrive at the final Long-Term Foreign-Currency IDR.

Fitch's SRM is the agency's proprietary multiple regression rating
model that employs 18 variables based on three-year centred
averages, including one year of forecasts, to produce a score
equivalent to a LT FC IDR. Fitch's QO is a forward-looking
qualitative framework designed to allow for adjustment to the SRM
output to assign the final rating, reflecting factors within its
criteria that are not fully quantifiable and/or not fully reflected
in the SRM.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

  - Failure to put government debt/GDP on a downward trajectory
over the medium term for example due to a more severe or prolonged
recession, greater structural fiscal loosening, or crystallisation
of contingent liabilities.

  - An increase in external vulnerabilities, for example due to a
larger widening of the current account deficit net of FDI exerting
pressure on foreign currency reserves and/or the currency peg
against the euro.

  - Adverse political developments that affect governance standards
and the economy.

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

  - Greater confidence that general government debt/GDP will
stabilise from next year, for example due to economic recovery and
a post-coronavirus-shock fiscal consolidation.

  - Further improvement in governance standards, reduction in
political and policy risk, and progress towards EU accession.

  - An improvement in medium-term growth prospects, for example
through implementation of structural economic reform measures.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Public Finance issuers have a
best-case rating upgrade scenario (defined as the 99th percentile
of rating transitions, measured in a positive direction) of three
notches over a three-year rating horizon; and a worst-case rating
downgrade scenario (defined as the 99th percentile of rating
transitions, measured in a negative direction) of three notches
over three years. The complete span of best- and worst-case
scenario credit ratings for all rating categories ranges from 'AAA'
to 'D'. Best- and worst-case scenario credit ratings are based on
historical performance.

KEY ASSUMPTIONS

  - Fitch assumes that the global economy develops in line with its
Global Economic Outlook published on April 22.

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING

The principal sources of information used in the analysis are
described in the Applicable Criteria.

ESG CONSIDERATIONS

North Macedonia has an ESG Relevance Score of 5 for Political
Stability and Rights as World Bank Governance Indicators have the
highest weight in Fitch's SRM and are highly relevant to the rating
and a key rating driver with a high weight.

North Macedonia has an ESG Relevance Score of 5 for Rule of Law,
Institutional & Regulatory Quality and Control of Corruption as
World Bank Governance Indicators have the highest weight in Fitch's
SRM and are therefore highly relevant to the rating and are a key
rating driver with a high weight.

North Macedonia has an ESG Relevance Score of 4 for Human Rights
and Political Freedoms as voice and accountability is reflected in
the World Bank Governance Indicators that have the highest weight
in the Sovereign Rating Model. They are relevant to the rating and
a rating driver.

North Macedonia has an ESG Relevance Score of 4 for Creditor Rights
as willingness to service and repay debt is relevant to the rating
and is a rating driver for North Macedonia, as for all sovereigns.

Except for the matters discussed, the highest level of ESG credit
relevance, if present, is a score of 3. This means ESG issues are
credit-neutral or have only a minimal credit impact on the
entity(ies), either due to their nature or to the way in which they
are being managed by the entity(ies).




=============
R O M A N I A
=============

ALPHA BANK: Moody's Alters Outlook on Ba2 Deposit Rating to Stable
------------------------------------------------------------------
Moody's Investors Service has affirmed the Ba2 long-term and NP
short-term local and foreign currency deposit ratings of Alpha Bank
Romania S.A. and changed the outlook on the long-term deposit
ratings to stable from positive.

Concurrently, Moody's has affirmed the bank's Baseline Credit
Assessment and Adjusted BCA at b1, its long-term Counterparty Risk
Assessment at Ba1(cr) and its long-term Counterparty Risk Ratings
at Ba1. The bank's NP CRRs and its short-term NP(cr) CR Assessment
have also been affirmed.

The rating actions follow the affirmation of the Caa1 long-term
deposit ratings and outlook change to stable from positive of Alpha
Bank AE (AB; deposit and senior unsecured Caa1 stable, BCA caa1),
the parent bank of ABR.

RATINGS RATIONALE

-- AFFIRMATION OF RATINGS

The affirmation of ABR's Ba2 deposit ratings with a change in the
outlook to stable from positive is driven by the change in the
outlook to stable on the Greek parent's ratings, thereby taking
into account the constraint on ABR's ratings due to the weaker
credit profile of its parent bank.

More specifically, while the rating agency is taking into account
the overall stronger and more resilient financial fundamentals of
ABR versus the weaker standalone profile of its parent AB, Moody's
limits ABR's b1 BCA at three notches above the caa1 BCA of AB. The
three notches difference remains underpinned by brand association
but at the same time limited operational and materially declined
financial links with its parent. The BCA also reflects ABR's
domestically focused operations and its track record of
successfully withstanding challenges to its funding and
capitalisation since the unfolding of the Greek banking crisis in
2010. ABR's unconstrained ba3 standalone financial profile captures
the bank's improved solvency following the clean-up of its balance
sheet and strengthened capital buffers due to earnings retention
despite weaker-than-peers profitability, as well as the overall
moderate funding profile but solid liquidity buffers. ABR's
affirmed b1 BCA further reflects the resilience of the bank's
intrinsic financial strength even against the background of a
deteriorating operating environment following the coronavirus
outbreak in Europe. Moody's regards the coronavirus outbreak as a
social risk under its Environmental Social and Governance
framework, given the substantial implications for public health and
safety.

The affirmation of ABR's Ba2 deposit ratings reflects the (1)
affirmation of the bank's b1 BCA, as well as (2) unchanged two
notches of uplift following the application of Moody's Advanced
Loss Given Failure Analysis on the bank's balance sheet, and (3)
Moody's low assumption of government support from Romania (Baa3
negative) in case of need which results in no further rating
uplift.

  -- OUTLOOK CHANGE TO STABLE FROM POSITIVE

The outlook on ABR's long term deposit ratings has been changed to
stable from positive and is aligned with the stable outlook on the
parent bank's ratings reflecting the still tangible inter-linkages
between parent and subsidiary bank.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

As indicated by the stable outlook, upward pressure on the ratings
is currently limited.

ABR's deposit ratings - and thus CRA and CRRs - could be upgraded
following: (1) an upgrade of its parent bank's BCA and consequently
ABR's BCA subject to Moody's assessment of group interlinkages, or
(2) an additional volume of subordinated instruments, which would
provide additional buffers for depositors, resulting in a higher
uplift following the application of its Advanced LGF analysis.

ABR's deposit ratings - and thus CRA and CRRs - could be downgraded
following a downgrade of its BCA or a reduction in uplift as a
result of the application of its Advanced LGF analysis. ABR's BCA
could be downgraded (1) if the bank's financial fundamentals worsen
significantly because of a sharp weakening of its asset quality,
reducing ABR's capital buffers and profitability or due to a large
increase in ABR's reliance on parental funding reversing the
current trend; or (2) as a result of a downgrade of AB's caa1 BCA.
Changes in the banks' liability structures reducing the loss
absorption buffers for depositors could reduce the rating uplift
resulting by the application of Moody's Advanced LGF leading to a
downgrade of the deposit ratings.

LIST OF AFFECTED RATINGS

Issuer: Alpha Bank Romania S.A.

Affirmations:

Adjusted Baseline Credit Assessment, Affirmed b1

Baseline Credit Assessment, Affirmed b1

Short-term Counterparty Risk Assessment, Affirmed NP(cr)

Long-term Counterparty Risk Assessment, Affirmed Ba1(cr)

Short-term Counterparty Risk Ratings, Affirmed NP

Long-term Counterparty Risk Ratings, Affirmed Ba1

Short-term Bank Deposits, Affirmed NP

Long-term Bank Deposits, Affirmed Ba2, Outlook Changed To Stable
From Positive

Outlook Actions:

Outlook, Changed to Stable from Positive

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Banks
Methodology published in November 2019.




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

BANCA INTESA: Fitch Cuts LT IDRs to BB+ on Parent Downgrade
-----------------------------------------------------------
Fitch Ratings has downgraded Banca Intesa Russia's and CIB Bank
Zrt's Long-Term Issuer Default Ratings to 'BB+' from 'BBB-'. The
Outlooks are Stable. At the same time, Fitch has downgraded the
banks' Short-Term IDRs to 'B' from 'F3' and their Support Ratings
to '3' from '2'. The Viability Ratings of both banks are
unaffected.

The downgrade of the IDRs and Support Ratings followed a downgrade
of Intesa Sanpaolo S.p.A. (ISP, BBB-/Stable/bbb-). This reflects
ISP's reduced ability to provide extraordinary support to the
subsidiaries.

KEY RATING DRIVERS

IDRS AND SR

BIR and CIB Bank's IDRs and SRs are driven by its view that there
is moderate probability of support from ISP, in case of need. This
reflects its view of the banks' strategic importance to ISP, their
strong synergies and their high level of management and operational
integration with the parent.

In its assessment of support propensity, Fitch also considers the
potential high reputational risk to ISP should the subsidiary banks
default. ISP's ability to support is weaker, as reflected in the
downgrade of its ratings, but Fitch believes any required support
would be immaterial relative to its ability to provide it. The
Stable Outlooks reflect that on the parent.

RATING SENSITIVITIES

Factors that could, individually or collectively, lead to negative
rating action/downgrade:

BIR and CIB Bank's Long-Term IDRs would be likely to be downgraded
if the parent is downgraded. Both banks' support-driven ratings are
also sensitive to a weakening of the parent's propensity to provide
support, which Fitch views as unlikely.

The Support Ratings of both banks are sensitive to a multi-notch
downgrade of ISP's Long-Term IDR.

Factors that could, individually or collectively, lead to positive
rating action/upgrade:

BIR and CIB Bank's IDRs and Support Ratings could be upgraded if
ISP is upgraded.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Financial Institutions
issuers have a best-case rating upgrade scenario (defined as the
99th percentile of rating transitions, measured in a positive
direction) of three notches over a three-year rating horizon; and a
worst-case rating downgrade scenario (defined as the 99th
percentile of rating transitions, measured in a negative direction)
of four notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAA' to 'D'. Best- and worst-case scenario credit ratings are
based on historical performance.

REFERENCES FOR SUBSTANTIALLY MATERIAL SOURCE CITED AS KEY DRIVER OF
RATING

The principal sources of information used in the analysis are
described in the Applicable Criteria.

PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS

BIR and CIB Bank's Long-Term IDRs and Support Ratings are linked to
the IDR of its ultimate parent.

ESG CONSIDERATIONS

The highest level of ESG credit relevance, if present, is a score
of 3. This means ESG issues are credit-neutral or have only a
minimal credit impact on the entity(ies), either due to their
nature or to the way in which they are being managed by the
entity(ies).

Banca Intesa

  - LT IDR BB+; Downgrade

  - ST IDR B; Downgrade

  - LC LT IDR BB+; Downgrade

  - LC ST IDR B; Downgrade

  - Support 3; Downgrade

CIB Bank Zrt

  - LT IDR BB+; Downgrade

  - ST IDR B; Downgrade

  - Support 3; Downgrade




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

AUTOVIA DEL NOROESTE: S&P Affirms BB+ Debt Rating, Outlook Stable
-----------------------------------------------------------------
S&P Global Ratings affirmed its 'BB+' issue rating on Autovia del
Noroeste Concesionaria de la Comunidad Autonoma de la Region de
Murcia (AUNOR), with the '1' recovery rating unchanged; S&P also
withdrew the ratings at the issuer's request. The outlook at the
time of the withdrawal was stable.

AUNOR issued EUR54 million fixed rate bonds due in 2025 and, in
turn, applied the proceeds to refinance the debt it raised for the
construction of RM-15, a 62.4-kilometer shadow toll road in
southeastern Spain. The project entered in operation in October
2001 and operates the road under a concession agreement from the
regional government of Murcia (Comunidad Autonoma de la Region de
Murcia; CARM), expiring in September 2026.

STRENGTHS

-- AUNOR has undertaken operations and maintenance since 2001,
during which time its performance has remained strong with no
penalties imposed.

-- The company's revenue structure is based on a shadow banding
mechanism. However, current traffic levels are almost double the
maximum traffic remunerated by the granting authority. Therefore,
AUNOR's payment mechanism resembles an availability-based one,
which reduces operating risk and supports cash flow stability and
predictability.

-- The company's annual revenue entitlement is floored at 95% of
current revenues, owing to a minimum revenue guarantee from CARM.

WEAKNESSES

-- AUNOR is directly responsible for lifecycle maintenance and
bears the associated risk that the required maintenance expenditure
could exceed budgeted amounts, especially in the latter part of the
project term as properties age and the concessionaire approaches
handback.

-- The rating is constrained by the creditworthiness of the
granting authority.

S&P said, "The affirmation reflected AUNOR's resilience to the
traffic decline that we expect on account of COVID-19 containment
measures. We subsequently withdrew the rating and the recovery
rating at the issuer's request. At the time of the withdrawal, the
outlook was stable, reflecting our view of CARM's
creditworthiness.

"We expect the measures introduced by the Spanish government to
combat the COVID-19 pandemic and the social distancing policies
likely to continue for some time will lead to a material traffic
decline. Under our downside scenario, we expect that light
vehicles--which represented close to 90% of traffic in 2019--will
decline by 25% in 2020. Nevertheless, we don't expect the traffic
drop to weaken AUNOR's credit quality. This is because the
company's revenue structure is based on a shadow banding mechanism
with abundant headroom between the actual and the maximum traffic
remunerated by CARM.

"In addition, the project benefits from a minimum revenue guarantee
from CARM that backs approximately 95% of current annual revenues,
supporting the view that AUNOR would persevere through harsh
downside scenarios, regardless of its base‐case ADSCRs.
Therefore, our assessment of the performance under a downside
scenario informs our view of the project's operations phase
stand-alone credit profile (SACP). This provides unique insight
into the project's default risk that is not captured in our minimum
base-case ADSCR forecasts.

"Due to a prior error in the application of our Project Finance
Operations Methodology, we previously excluded the final debt
repayment period ADSCR, which was abnormally low. The ADSCR was not
excluded due to foreseeable operational reasons, which is a
misapplication of our methodology."




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

DOMETIC GROUP: S&P Affirms 'BB-' LongTerm ICR, Off Watch Negative
-----------------------------------------------------------------
S&P Global Ratings removed Dometic Group AB's (Dometic) ratings
from CreditWatch negative where S&P placed them on March 31, 2020.
S&P also affirmed the 'BB-' long-term issuer credit and issue
ratings on the company and its senior unsecured bank facilities and
notes.

S&P said, "We expect the company to maintain sufficient headroom
under the amended covenant requirements, alleviating the risk of an
event of default due to a covenant breach.   Dometic has
successfully amended its maintenance financial covenants
requirements with lenders, resulting in increased flexibility and
headroom over the next four quarters. Although details of the
amendment have not been disclosed publically, we believe it will
benefit the company in complying with requirements and retaining
sufficient headroom, amid the COVID-19-related challenging economic
backdrop."

Dometic's operating performance will weaken substantially in 2020,
due to demand headwinds stirred by COVID-19, resulting in weaker
credit metrics.  The company's product base is highly discretionary
in nature, and the current recessionary environment will pressure
demand from consumers for products such as recreational vehicles
(RVs) or marine . In first-quarter 2020 alone, the company's
revenue fell by 10% compared with the corresponding period in 2019,
and adjusted EBITDA narrowed to 14.7% from 18%. The second quarter
is typically the strongest for the company and nearly all of its
major markets were under lockdown through April, which will dent
revenue. S&P now expects Dometic's revenue to fall by about 25% in
2020, followed by growth of 6% in 2021. Such a decline, along with
restructuring charges from the ongoing program will weigh on the
company's margins, with its expectation for an adjusted EBITDA
margin of about 12% in 2020. Weaker operating performance will lead
to pressured credit metrics with funds from operations (FFO) to
debt in the low teens, compared with our prior threshold of 25%.

Despite the weak operating performance, S&P expects the company to
generate positive free operating cash flow (FOCF) this year.  
Dometic has taken several steps to mitigate the effects of the
COVID-19 pandemic. Management has switched focus to cost control,
put acquisitions on hold, scaled back its capital expenditure
(capex), and withdrawn its dividend proposal. These actions will
help sustain cash generation, with FOCF expected to be about
Swedish krona (SEK) 800 million.

Environmental, social, and governance (ESG) credit factors for this
credit rating change:

-- Health and safety

The negative outlook reflects the risk of more prolonged weakness
in consumer demand than expected due to COVID-19 pandemic, leading
to FFO to debt remaining below 15% and DCF to debt falling below 5%
on a sustained basis.

S&P could lower its ratings on Dometic if its FFO to debt falls
below 15% and its DCF to debt falls below 5% on a sustained basis.

S&P could revise its outlook back to stable if demand for Dometic's
products picks up and cash flow protection measures lead to FFO to
debt comfortably above 15% and DCF to debt comfortably above 5%.




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

BREASLEY: Mattress & Bedding Division Bought Out in Pre-pack Deal
-----------------------------------------------------------------
Consultancy.uk reports that the mattress and bedding division of
Breasley has been bought in a pre-pack deal backed by an investor
based in China, who has a broad portfolio of investments in
property, service and soft furnishing industries.

According to Consultancy.uk, a total of 60 jobs have subsequently
been saved.

Volatile trading conditions in the last year saw Breasley collapse
into administration, Consultancy.uk recounts.

Earlier in May, Benjamin Wiles and Philip Dakin, both of Duff &
Phelps, were appointed joint administrators at Breasley Pillows,
which is based in Water Lane, Wirksworth, Consultancy.uk relates.
After being appointed, the professionals began a review of the
company and determined that a pre-pack administration would be
possible, Consultancy.uk notes.

"We are thrilled that we have been able to secure the future of the
mattress and bedding division of Breasley, saving 60 jobs in the
process.  This was especially important to us in the current
climate," Consultancy.uk quotes Mr. Wiles as saying.

The foam conversion division of Breasley remains in the control of
the administrators, Consultancy.uk states.  A sale of the property
is also being pursued as a going concern, according to
Consultancy.uk.

Founded in 1977, Breasley was one of the first companies in Britain
to launch a range of vacuum-packed mattresses.


CABLE & WIRELESS: Moody's Alters Outlook on Ba3 CFR to Negative
---------------------------------------------------------------
Moody's Investors Service has affirmed the corporate family rating
of Cable & Wireless Communications Limited at Ba3. At the same
time, Moody's also affirmed the ratings on the group's senior
secured debt at Ba3 and the ratings on the group's senior unsecured
debt at B2. All outlooks were changed to negative from stable.

The following rating actions were taken:

Affirmations:

Issuer: Cable & Wireless Communications Limited

Corporate Family Rating, Affirmed Ba3

Issuer: CORAL-US CO-BORROWER LLC

Gtd Senior Secured Term Loan B5, Affirmed Ba3

Issuer: Sable International Finance Limited

Senior Secured Revolving Credit Facility, Affirmed Ba3

Gtd Senior Secured Regular Bond/Debenture, Affirmed Ba3

Issuer: C&W Senior Finance Limited

Gtd Senior Unsecured Regular Bond/Debenture, Affirmed B2

Outlook Actions:

Issuer: Cable & Wireless Communications Limited

Outlook, Changed to Negative from Stable

Issuer: CORAL-US CO-BORROWER LLC

Outlook, Changed to Negative from Stable

Issuer: Sable International Finance Limited

Outlook, Changed to Negative from Stable

Issuer: C&W Senior Finance Limited

Outlook, Changed to Negative from Stable

RATINGS RATIONALE

The change of CWC's outlook to negative reflects its exposure to
the breadth and severity of the credit shock caused by the spread
of the coronavirus outbreak. The rapid and widening spread of the
coronavirus outbreak, a deteriorating global economic outlook and
asset price declines are creating a severe and extensive credit
shock across many sectors, regions and markets. Although the
telecom industry is not directly exposed to the impact of the
coronavirus outbreak in the way other sectors are, with
telecommunications considered essential services during lockdowns,
it will not be immune to GDP contraction. Moody's expects CWC's
credit metrics to be impacted by a weaker operating environment,
with sharp GDP contractions in most of its markets, which are
dependent on travel and tourism. Moody's regards the coronavirus
outbreak as a social risk under its ESG framework, given the
substantial implications for public health and safety.

CWC operates in Panama and the Caribbean and most of its markets
have large exposures to travel and tourism. The coronavirus
outbreak has resulted in a sharp drop in tourist arrivals, with
borders closed and lockdowns in place around the globe. Moody's
projects that tourist arrivals in CWC's markets will at best
gradually restart in Q3 2020 and are unlikely to return to
pre-coronavirus levels before 2022. Moody's currently projects
large GDP contractions, of 5-10% in the Caribbean countries that
are most dependent on tourism, and smaller GDP contractions in
Panama and Trinidad and Tobago, with downside risk still high for
all markets.

CWC's operating results and financial profile will be affected by
the downturn in its markets, which will result in reduced revenue
and EBITDA and greater working capital outflow from an increase in
receivable days. Among the company's business segments, B2B and
mobile (primarily prepaid) will be most affected, while fixed and
subsea will be more resilient and temporarily benefit from the
greater need for connectivity and increased traffic during the
lockdown period. Moody's currently projects CWC's leverage
(Moody's-adjusted debt/EBITDA) to peak at 5.5x-6.0x in 2020 and
then gradually return to pre-coronavirus levels in 2021-22,
although downside risk remains elevated.

The affirmation of CWC's Ba3 CFR considers its solid liquidity and
its expectation that, after a weak 2020, CWC will return to more
solid free cash flow generation in 2021-22. CWC has levers that it
can pull to preserve cash: Liberty Latin America Ltd (LLA), CWC's
parent company, already announced a USD150 million reduction in
operating costs and capital expenditures, most of which Moody's
expects to take place at CWC. CWC's liquidity is supported by a
large cash balance of USD687 million as of March 31, 2020 and
availability of USD313 million under its USD625 million committed
revolving credit facilities. CWC does not face any large debt
maturity before 2026. The group has one financial covenant in its
term loan agreement, under which it has a large leeway.

CWC's Ba3 CFR continues to reflect its effective business model,
strong profitability and leading market positions throughout the
Caribbean and Panama. At the same time, the rating also takes into
consideration the company's large exposure to emerging economies,
increased competitive pressures in some of its largest markets and
its high leverage.

The B2 ratings of the USD500 million senior unsecured notes due
2026 and USD1,220 million senior unsecured notes due 2027 continue
to reflect their positioning in the waterfall behind the USD1,510
million senior secured term loan due 2028 and the USD550 million
senior secured notes due 2027, both rated Ba3, in line with the
CFR.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

A rating upgrade could be considered if more conservative financial
policies lead to deleveraging to under 3.0x (Moody's-adjusted
debt/EBITDA) on a consolidated basis, while maintaining adjusted
EBITDA margin at least around 40% and generating strong positive
free cash flow, all on a sustained basis.

CWC's ratings could be downgraded if the effects from the
coronavirus outbreak on its operating results are greater than
Moody's currently expects, or recovery of its financial profile
takes longer. A material weakening of its liquidity position could
also trigger a downgrade. Quantitatively, a downgrade could take
place if (1) the company's leverage does not recover towards 4.0x
(on a consolidated basis) by 2022; (2) its adjusted EBITDA margin
declines toward 35% on a sustained basis; (3) it makes a large cash
distribution to its parent company.

The principal methodology used in these ratings was
Telecommunications Service Providers published in January 2017.

CWC is an integrated telecommunications provider offering mobile,
broadband, video, fixed-line, business, IT and wholesale services
in Panama, Jamaica, the Bahamas, Trinidad and Tobago, Barbados and
other markets in the Caribbean. In 2019, the company generated
revenue of $2.4 billion. CWC is a subsidiary of LLA, which was
split off from Liberty Global plc on December 29, 2017, and is
listed on the NASDAQ.


HM PROJECTS: Enters Into Administration Amid Mine Development
-------------------------------------------------------------
In-Cumbria reports that HM Projects Development, the company behind
a controversial mining site for the Northumberland and Cumbria
border, has gone into administration before work to restore the
land had started.

The community of Halton Lea Gate, near Haltwhistle, fought for more
than a decade to prevent land at Halton Lea Farm becoming an
opencast mine, In-Cumbria relates.

At the end of April, Benjamin Wiles and Steven Muncaster, of Duff &
Phelps, were appointed as joint administrators, In-Cumbria
discloses.

According to In-Cumbria, Mr. Wiles said: "The company has been
working on the development of a high profile opencast mining
operation on the border of Northumberland and Cumbria for a number
of years.  It is our intention to work closely with officers from
Northumberland County Council and other stakeholders, including the
company's lender, to secure the future of the operation given its
impact on the local community.

"We are aware of the history surrounding the site, and hope that we
are able to engage with the local community to ensure that the
strategy we adopt for the mine has a more positive result for all
stakeholders."


INTU GROUP: May Default on Debt Amid Coronavirus Pandemic
---------------------------------------------------------
BBC News reports that shopping center operator Intu has warned that
it risks defaulting on its debts unless its lenders give the firm
significant breathing space.

The coronavirus pandemic has hit rental income and Intu said there
was no certainty how quickly the market would recover once the
lockdown is lifted, BBC relates.

According to BBC, it also said it was unable to sell any of its
shopping centers to raise funds.

The owner of Manchester's Trafford Centre is now asking lenders for
a grace period of up to December 2021, BBC discloses.

The firm said its shopping centers would remain "semi-closed" until
at least June 1, BBC notes.

Intu, which also controls Lakeside in Essex, was already struggling
under GBP4.6 billion worth of debt prior to the Covid-19 crisis,
BBC states.

Earlier this year, it planned to tap investors for GBP1.3 billion
but was forced to abandon the fund raising attempt, BBC recounts.

It is now seeking a so-called standstill agreement with its
lenders, which would delay both debt repayments and tests on
whether Intu has breached the covenants on its borrowings, BBC
says.

Intu recently appointed David Hargrave, a former partner at
accountancy firms PwC and EY, as its chief restructuring officer,
BBC relays.


NOSTRUM OIL: Moody's Cuts CFR to Ca, Outlook Negative
-----------------------------------------------------
Moody's Investors Service has downgraded Nostrum Oil & Gas Plc's
corporate family rating to Ca from Caa3 and probability of default
rating to Ca-PD from Caa3-PD. Concurrently, Moody's has downgraded
to Ca from Caa3 the ratings of senior unsecured notes issued by
Nostrum's wholly owned subsidiary Nostrum Oil & Gas Finance B.V.
The outlooks of Nostrum and Nostrum Oil & Gas Finance B.V. remain
negative.

RATINGS RATIONALE

Its downgrade of Nostrum's CFR to Ca reflects a very high
likelihood of default, including a potential debt restructuring,
over the next 12-18 months on the company's $725 million notes due
July 2022 and $400 million notes due February 2025 which represent
all of the company's financial debt, because of the continuing
deterioration in the company's operating cash flow generation and
liquidity in the current oil price environment.

While there is a significant degree of uncertainty regarding the
recovery rate on the notes in case of default, the negative outlook
on the rating reflects Moody's assumption that the recovery rate
could be lower than 35%, particularly if a default were to occur in
the near time, given the sharp decline both in Nostrum's asset
value and earnings.

Moody's expects that Nostrum's already weak cash flow generation
will significantly deteriorate further over the next 12-18 months
because of the coronavirus-induced drop in oil prices, while the
prospects of monetising the spare capacity of Nostrum's
underutilised gas treatment facilities by processing third-party
gas remain uncertain. As a result, beyond 2020 the company may not
have sufficient cash to cover interest payments of around $43
million semi-annually on its financial debt, represented by the two
notes.

On March 31, 2020, Nostrum announced that it will seek to engage
with its bondholders regarding a possible restructuring of its
outstanding bonds[1]. Moody's would view such a restructuring as a
distressed exchange, which is a form of default under the rating
agency's definitions.

As of December 30, 2019, Nostrum's cash balance of $94 million and
operating cash flow of below $70 million before interest payments,
which Moody's expects the company to generate over the following 12
months, were sufficient to cover its interest payments of $86
million and Moody's-estimated maintenance capital spending over the
same period, while the company has no debt maturities until July
2022 when its $725 million notes are due. However, Nostrum's
accumulated cash buffer available as of year-end 2019 will diminish
by year-end 2020 because of the weak operating cash flow and high
interest payments, elevating the likelihood of the company's
inability to continue to pay interest on its notes in 2021.

Nostrum's oil and gas production has been declining since 2017,
when it lost two production wells because of an uncontrollable
water influx. Since then, the company has not been able to offset
the natural output decline with new wells, because of continuing
geological challenges. In 2020, the company expects its hydrocarbon
production to decline to around 20,000 barrels of oil equivalent
per day (boepd), compared with 28,587 boepd produced in 2019.

Moody's expects Nostrum's Moody's-adjusted EBITDA to decline below
$50 million in 2020, assuming the average oil price for the year at
$35 per barrel of Brent, from $198 million in 2019. Moody's also
expects the company's Moody's-adjusted retained cash flow (RCF) to
be negative in 2020, compared with $91 million in 2019.
Consequently, Nostrum's leverage, measured as Moody's-adjusted
debt/EBITDA, will likely increase above 20x as of year-end 2020
from 5.8x as of year-end 2019.

The rapid and widening spread of the coronavirus outbreak,
deteriorating global economic outlook, falling oil prices, and
asset price declines are creating a severe and extensive credit
shock across many sectors, regions and markets. The combined credit
effects of these developments are unprecedented. The oil and gas
sector has been one of the sectors most significantly affected by
the shock given its sensitivity to consumer demand and sentiment,
and oil prices. More specifically, the weaknesses in Nostrum's
credit profile have left it vulnerable to shifts in market
sentiment in these unprecedented operating conditions and Nostrum
remains vulnerable to the outbreak continuing to spread, and oil
prices remaining low. Moody's regards the coronavirus outbreak as a
social risk under its ESG framework, given the substantial
implications for public health and safety. Its rating action
reflects the impact on Nostrum of the breadth and severity of the
shock, and further deterioration in credit quality it has
triggered.

RATIONALE FOR THE NEGATIVE OUTLOOK

The negative outlook reflects the risk that recovery rate on
Nostrum's outstanding notes in case of default could be lower than
35%, particularly if a default were to occur in the near time,
given the sharp decline both in Nostrum's asset value and earnings
in the current oil price environment.

FACTORS THAT COULD LEAD TO AN UPGRADE OR DOWNGRADE OF THE RATINGS

An upgrade of Nostrum's ratings is currently unlikely, and would be
conditional upon the company establishing a sustainable capital
structure and restoring its liquidity position.

Nostrum's ratings could be downgraded further in case of default,
including a formal debt restructuring, if Moody's estimates that
expected losses for the company's creditors will be higher than
those implied by the Ca CFR.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Independent
Exploration and Production Industry published in May 2017.

Registered in England and Wales, Nostrum Oil & Gas Plc, via its
indirect subsidiary Zhaikmunai LLP, is engaged in the exploration,
development, and production of oil and gas in Kazakhstan under the
framework of production-sharing agreements related to the
Chinarevskoye field and three subsoil use contracts. Nostrum's
largest shareholders are Mayfair Investments B.V. (25. 68%), ICU
Investment Management Ltd (23.83%) and Baring Vostok Capital
Partners Ltd (17.91%). In 2019, Nostrum generated revenue of $322
million and Moody's-adjusted EBITDA of $198 million. In 2019, the
company's average daily hydrocarbon production was 28,587 boepd.
Its proved reserves were 54.3 million barrels of oil equivalent
(mmboe) as of January 1, 2020, down from 98.4 mmboe a year
earlier.


TRANSPORT FOR LONDON: Set to Receive GBP1.6BB Government Bailout
----------------------------------------------------------------
Jim Pickard and Bethan Staton at The Financial Times report that
Transport for London is set to receive a government bailout of
GBP1.6 billion after it came close to running out of money
following a plunge in passenger numbers during the coronavirus
lockdown.

According to the FT, government officials confirmed on May 14 that
the Treasury and Department for Transport had agreed the rescue
package after weeks of negotiation with TfL, which runs public
transport in the capital.

As part of the deal the government will undertake a review of TfL's
finances, which is expected to lead to fare increases in the coming
months, the FT states.  The government will also put two people on
the TfL board to increase its oversight, the FT notes.

The authority will have to guarantee the return of all transport
services back to pre-pandemic levels -- higher than the 75% level
London mayor Sadiq Khan was aiming for this week, the FT says.

And TfL has agreed to take adverts telling people to "Stay Alert",
the government's controversial replacement for the previous "Stay
at Home" anti-coronavirus ad campaign, according to the FT.

The deal was reached just hours after Mr. Khan had warned of deep
cuts to services if the government did not agree to a financial
rescue package by the end of May 14, the FT recounts.

The mayor, as cited by the FT, said the capital's transport
authority was "running out" of money and he was concerned about the
steps he would have to take if the DfT failed to step in to plug an
anticipated GBP4 billion black hole in TfL's finances.


WINDBOATS MARINE: Enters Administration, Seeks Buyer for Business
-----------------------------------------------------------------
Eleanor Pringle at Eastern Daily Press reports that Windboats
Marine, a family-owned boatbuilder which has been operating in
Norfolk for 100 years, has entered administration.

The company filed for administration due to a "general downturn in
orders and the untimely impact of the Covid-19 pandemic", Eastern
Daily Press relates.

The team of 60 who work at the boatbuilders have not been made
redundant as administrators are hopeful to find a buyer for the
business, Eastern Daily Press discloses.

According to Eastern Daily Press, parties interested in buying the
business should contact Mark Upton mark.upton@ensors.co.uk or Ben
Croston ben.croston@ensors.co.uk.



                           *********


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

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

Copyright 2020.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
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