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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

          Friday, June 12, 2020, Vol. 21, No. 118

                           Headlines



C Z E C H   R E P U B L I C

SAZKA GROUP: Fitch Alters Outlook on BB- LT IDR to Negative


F R A N C E

CASSINI SAS: S&P Puts 'B-' LongTerm ICR on Watch Negative
EUROPCAR MOBILITY: Moody's Lowers CFR to Caa1, Outlook Stable
RENAULT SA: Mulls Restructuring of French Factories


G E R M A N Y

K+S AG: Egan-Jones Lowers Foreign Currency Unsec. Rating to B+
LUFTHANSA: To Axe 22,000 Jobs, Permanently Ground 100 Planes
REVOCAR 2020 UG: S&P Assigns BB- Rating on Class D Notes


I R E L A N D

BABSON EURO 2014-2: Moody's Confirms B2 on EUR16.5MM Class F Notes
TORO EUROPEAN 2: Moody's Cuts Rating on EUR11.3MM Cl. F Notes to B3


I T A L Y

ATLANTIA SPA: Egan-Jones Lowers Senior Unsecured Ratings to B
CREDIT SUISSE: Fitch Affirms BB Rating on EUR20MM CLN
SOCIETA CATTOLICA: S&P Lowers Rating on Tier 2 Notes to 'BB'


N E T H E R L A N D S

HUVEPHARMA INT'L: Moody's Alters Outlook on Ba3 CFR to Positive


N O R W A Y

NORSK HYDRO: Egan-Jones Lowers Senior Unsecured Ratings to BB-
NORWEGIAN AIR: Q1 Losses Widens Due to Pandemic


R O M A N I A

AUTONOM SERVICES: Fitch Assigns B+ LongTerm IDR, Outlook Negative


R U S S I A

X5 RETAIL: S&P Raises ICR to 'BB+' on Strengthening Credit Metrics


S P A I N

FOODCO BONDCO: S&P Cuts ICR to 'CCC-' on Debt Restructuring Risk
GRUPO ALDESA: Moody's Upgrades CFR to B1, Outlook Stable
REPSOL SA: Egan-Jones Lowers Senior Unsecured Ratings to BB-


S W E D E N

SAS AB: S&P Lowers ICR to 'CCC' on Potential Debt Restructuring


U N I T E D   K I N G D O M

DEBENHAMS PLC: Cuts Hundreds of Office Employees
DOLYA HOLDCO 18: Moody's Rates New USD Vendor Notes Due 2028 'B1'
INTERNATIONAL GAME: Egan-Jones Lowers Sr. Unsecured Ratings to B-
MARKS & SPENCER: Egan-Jones Lowers Senior Unsecured Ratings to B-
THOMAS COOK: Collapse Prompts Germany to Launch Industry Fund

VIRGIN ATLANTIC: Hires Financial Advisers Ahead of Restructuring
VODAFONE GROUP: Egan-Jones Lowers Senior Unsecured Ratings to BB+
[*] S&P Puts Ratings on 7 Classes From 6 European CLOs on Watch Neg


X X X X X X X X

[*] BOOK REVIEW: Mentor X

                           - - - - -


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C Z E C H   R E P U B L I C
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SAZKA GROUP: Fitch Alters Outlook on BB- LT IDR to Negative
-----------------------------------------------------------
Fitch Ratings has revised Sazka Group a.s.'s Outlook to Negative
from Stable; and affirmed Sazka Group's Long-Term Issuer Default
Rating (IDR) at 'BB-'.

The Negative Outlook reflects the uncertainty around the pace of
recovery, mainly for sports-betting and land-based casinos. The
deleveraging path encapsulated in the current ratings may be
delayed beyond 2021, which could put pressure on the ratings.

The affirmation of the 'BB-' IDR reflects a rather resilient
business profile characterized by fairly steady revenue streams
from lottery activities. Fitch expects a rapid recovery in the
lottery markets as government restrictions in respective countries
are lifted, along with solid liquidity and strong debt service
capabilities at Sazka Group (at holdco level), supported by
long-term, recurring dividends from controlling and non-controlling
stakes. The ratings are constrained by fairly high leverage, with
funds from operations (FFO) lease-adjusted gross leverage on a
proportionally consolidated basis at 5.4x for end-2019 (net: 4.4x),
which Fitch expects to decrease to below 5.0x (net: 4.0x) by 2022
following a spike in 2020 due to the pandemic.

Post-pandemic Fitch expects structurally senior gross debt at opco
to be below 2.0x in 2021 and below 1.5x thereafter, therefore not
triggering any material structural subordination for Sazka Group's
bondholders over the next four years.

KEY RATING DRIVERS

Coronavirus Tested Lottery Resilience: Sazka Group's business
profile, concentrated in lotteries (70% of revenue) has proven
resilient so far in the coronavirus pandemic, except for the
extraordinary one-month suspension of lottery drawings in Italy,
and partial closure of its retail distribution network in other
jurisdictions. Double-digit online growth helped offset revenue
shortfall in all geographies, performing particularly well in the
Czech Republic.

Leading European Lottery Operator: Sazka Group is the undisputed
lottery gaming and betting operator leader in the Czech Republic
with a 95% market share. Following the acquisition of stakes in
leading lottery operations in other central and southern European
jurisdictions (such as OPAP in Greece) Sazka Group has become the
largest European private lottery operator. It holds stakes in
gaming companies with strong competitive positions in Greece and
Italy (number 1 lottery operator in both) and in Austria (number 1
lottery and land-based casinos).

Geographic Diversity Mitigates Risks: Fitch believes the regulatory
environment for lottery games is more stable and less susceptible
to government interference than other types of gaming, such as
sports-betting and casino games. However, regulatory risks still
exist, and given Sazka Group's exposure to some heavily indebted
European sovereigns, the group could face gaming tax increases (as
seen in Czech Republic in January 2020) or possible limits on
wagers that could restrict future cash flows. Its geographical
diversification should allow it, however, to weather adverse
regulatory change in any one country over the next four years; this
has also proven to be a strong mitigating factor to revenue loss
during the pandemic.

Strong Cash Flow Generation: The ratings reflect the steady
dividend stream from controlled subsidiaries (OPAP and Sazka a.s.)
as well as from non-controlling stakes (CASAG and LottoItalia).
Even though profitability will be hit in 2020 due to
pandemic-linked precautionary measures, debt service should remain
comfortable at holdco level. Fitch expects the group to continue to
generate positive cash flow from the rapid recovery of the lottery
business, underpinned by the rollout of more retail and online
products such as e-casino and virtual games, scratch cards, video
lottery terminals, notably in Greece and sports-betting in its main
markets.

Operating Profitability to Recover post Pandemic: Sazka Group's
consolidated EBITDA margin is high by gaming industry standards
(32% in 2019, pro-forma for the divestment of the Croatian business
SuperSport), which Fitch expects to decline in 2020 to 26.2%,
reflecting the revenue loss during the lockdown periods and the
cost of the social-distancing measures implemented since the start
of the pandemic. Fitch expects the EBITDA margin to recover by
end-2021 and to remain stable thereafter.

Deleveraging Expected after 2020 Peak: As consolidation progresses
in the European gaming sector, Sazka Group has completed
significant debt-funded acquisitions in the last three years. This
has led us to project high FFO-lease adjusted net leverage of 4.5x
at end-2021, on a proportionally consolidated basis. This is
sustainable as the business generates strong free cash flow (FCF)
and should gradually reduce proportionally consolidated net
leverage towards 4.0x by 2022 after a spike in 2020 due to
coronavirus-related disruptions.

Less Complex Capital Structure: Sazka Group's fairly complex
structure, including consolidated entities with significant
minority interests and equity-accounted investments, results in
large cash leakage to minorities when dividends are up-streamed to
holdco (around 65% of dividends paid by opcos). Its capital
structure also includes priority debt at opcos that need to be
serviced before cash is up-streamed to Sazka Group. The complexity
of the group's debt structure has nevertheless reduced due to full
debt repayment at intermediate holdcos with proceeds from recent
notes issues. However, further clarity on its M&A appetite and
leverage targets should help define the future rating trajectory.

Lower Debt Service Coverage in 2020: Given lack of contractual debt
repayments at holdco in the next four years Fitch estimates
comfortable dividend-to-debt service (on proportionally
consolidated basis under Fitch's methodology) at around 4.0x in
2020, before gradually recovering to pre-crisis levels (over 6.0x)
in 2021. A continuation of dividend scrip from OPAP could put some
pressure on debt service coverage at Sazka Group, but Fitch expects
satisfactory debt servicing capabilities until 2023 relative to its
2.0x negative sensitivity since the next holdco debt maturities are
due in 2024 and beyond.

Reduction in Structural Subordination: Intermediate holdco debt
repayment with the February 2020 notes proceeds has reduced
structural subordination, albeit subject to potential increase from
future debt-funded M&A raising additional intermediate holdco debt.
Priority debt by end-2020 of EUR732 million relates to
proportionally consolidated opco debt and additional debt-funded
acquisitions assumed under its rating case. Fitch expects priority
gross debt-to-EBITDA to peak at 3.1x in 2020, before gradually
declining below 2.0x in 2021 (1.8x net of cash) and thereafter.
Fitch therefore does not notch down Sazka Group's unsecured debt
rating, as priority debt should remain below 2.0x EBITDA
post-pandemic after 2021.

DERIVATION SUMMARY

Sazka Group's profitability, measured by EBITDA and EBITDAR
margins, is strong relative to that of peers in the gaming sector
such as Flutter Entertainment plc (BBB-/Negative) or GVC Holdings
Plc (BB/Negative), the largest sportsbook operators globally. Sazka
Group has high concentration on lottery revenue, which is less
volatile, and also displays good geographical diversification
across Europe with businesses in the Czech Republic, Austria,
Greece, and Italy, albeit weaker than the multi-regional revenue
base of Flutter and GVC. However, it has a significantly lower
scale and higher leverage than Flutter and GVC, which justify
Sazka's lower rating.

KEY ASSUMPTIONS

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

  - Lottery sales affected by pandemic restrictions in March and
April 2020 (especially in Italy) although showing a rapid recovery.
Land-based casino and sports-betting businesses more severely
affected and recovering to pre-crisis levels only by end-2021 or
beyond (not including Stoiximan acquisition);

  - Online platforms offsetting retail sales underperformance, to
varying degree by country, depending on local platform strength;

  - Consolidated EBITDA margin to decline to 26% in 2020 before
recovering to around 32% in 2021 and beyond;

  - Dividend distribution from all opcos remaining stable; and

  - Bolt-on acquisitions of EUR80 million p.a. starting from 2021,
with around EUR10 million of EBITDA contribution.

RATING SENSITIVITIES

Developments That May, Individually or Collectively, Lead to
Upgrade

  - Reduced group structure complexity, for example, via
permanently falling intermediate holdco or opco debt together with
further clarity on future financial and dividend policy at Sazka
Group.

  - Further strengthening of operations with an established
competitive profile in online gaming, a fully stabilized Czech
retail business and lower reliance on the Czech market.

  - Proportionally consolidated FFO lease-adjusted net leverage
sustainably below 4.0x (2019: 4.4x), due to sustainably growing
dividend from equity stakes.

  - Proportionally consolidated FFO fixed charge cover above 3.0x
and gross dividend/ gross interest ratio at holdco of above 2.5x on
a sustained basis.

Developments That May, Individually or Collectively, Lead to the
Outlook being revised to Stable

  - Stabilization of operating performance post-coronavirus leading
to consolidated EBITDA margins trending towards 31% on a sustained
basis.

  - FFO lease-adjusted net leverage sustainably below 5.5x.

  - Proportionally consolidated FFO fixed charge cover stabilizing
towards 3.0x and gross dividend/interest at holdco above 2.0x on a
sustained basis.

Developments That May, Individually or Collectively, Lead to
Negative Rating Action/Downgrade

  - Deterioration of operating performance linked to prolonged
coronavirus impact and /or increased regulation and taxation
leading to consolidated EBITDA margin below 25% on a sustained
basis.

- More aggressive financial policy reflected in proportionally
consolidated FFO lease-adjusted net leverage sustainably above
5.5x.

- Proportionally consolidated FFO fixed charge cover below 2.0x and
gross dividend/interest at holdco of less than 2.0x on a sustained
basis.

LIQUIDITY AND DEBT STRUCTURE

Strong Liquidity: Liquidity is solid on a proportionally
consolidated basis with around EUR280 million of available cash at
end-2019. This is supplemented by robust proportionally
consolidated FFO fixed charge coverage under its rating case of
2.9x in 2020, expected to reach 3.8x in 2022.

Fitch expects flexibility on the dividend being up streamed through
the group structure, underpinned by no debt service requirements at
intermediate holdco, despite the additional interest payable from
the recently issued notes.

Reported liquidity was sound at end-2019 with EUR763 million (2018:
EUR313 million) of cash on balance sheet on a fully consolidated
basis. There are no revolving facilities in place as the group is
highly cash-generative, receiving cash upfront from punters and
always has a significant amount of cash in hand. However, Fitch has
restricted EUR30 million for winnings and jackpots.

SUMMARY OF FINANCIAL ADJUSTMENTS

Fitch's credit metrics are based on the proportionate consolidation
of the Sazka Group's stake in the Greek operations (OPAP), and
dividends up-streamed only from equity stakes in the Italian
(LottoItalia) and Austrian operations (CASAG). This differs from
the group management's definition of proportionate consolidation as
well as published financials, which are shown on a
fully-consolidated basis.

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
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CASSINI SAS: S&P Puts 'B-' LongTerm ICR on Watch Negative
---------------------------------------------------------
S&P Global Ratings placed its 'B-' long-term issuer credit and
issue ratings on France-based Comexposium (Cassini SAS) and its
debt on CreditWatch with negative implications.

S&P anticipates Comexposium's credit metrics will be much weaker
than previously expected, and there remains a high degree of
uncertainty regarding the speed of earnings and cash flow
recovery.

The CreditWatch placement reflects a revision of S&P's forecast for
Comexposium's revenue and EBITDA for 2020 and 2021, which resulted
in our expectation that adjusted leverage could temporarily rise to
about 12.0x from 9.6x in 2019. S&P said, "Since our last rating
action on March 20, 2020, Comexposium announced the postponement of
the Europa Group acquisition and provided an update on the COVID-19
pandemic's effects on its operations. Given the significant impact
of the pandemic on trade shows, the planned acquisition of health
care congresses organizer Europa has been put on hold and we do not
except Comexposium to raise the EUR85 million add-on to its term
loan B (TLB) to finance the acquisition for now. We believe that
the group's credit metrics could further deteriorate, while its
liquidity position could worsen, if events scheduled in third- and
fourth-quarter 2020 are cancelled or postponed again, questioning
the sustainability of the group's capital structure in such a
context."

Under its revised 2020 budget, the company assumes a significant
number of shows are rescheduled between Sept. 1 and year-end 2020.
Despite a strong start to the year, with four of its top shows
organized out of 12, Comexposium's recurring EBITDA was 22% lower
than its initial budget in first-quarter 2020 due to
COVID-19-related effects on its operations. Indeed, since March the
French government has prohibited events with large audiences and
implemented travel bans to contain the virus. Despite the gradual
easing of lockdown measures since mid-May, public gatherings of
more than 5,000 people are still prohibited until at least Sept. 1,
leaving Comexposium without any revenue from shows scheduled
between April and September 2020. S&P said, "Consequently, we
estimate an about EUR50 million EBITDA shortfall for the period, of
which we understand about EUR19 million could be classified as
nonrecurring costs (impact of pandemic)--as per the TLB
documentation and not included in the financial covenant
calculation. We understand that the majority of Comexposium's shows
are postponed until September with no refund possible if they are
not cancelled, with venues already secured for the news dates.
However, we believe further downside risks are contingent on the
possibility of a prolonged ban on public gatherings in France,
which would affect the execution of Comexposium's revised business
plan for 2020 and 2021."

Comexposium's business concentration on trade shows leaves the
company more exposed to event risks.  S&P has revised downward its
assessment of Comexposium's business risk profile to weak,
reflecting the group's revenue concentration on trade shows, which
are highly exposed to external risks such as pandemics, terrorist
attacks, or political events. These risks could materially affect
visitor and exhibitors numbers and, in the case of a pandemic,
governments can force shows organizers to cancel events to limit
the spread. With revenue of about EUR320 million and adjusted
EBITDA of about EUR66.4 million in 2019, Comexposium's scale
remains limited compared with some rated industry peers, including
Informa PLC (BBB-/Stable/--) and Emerald X, Inc. (B/Watch Neg/--),
with adjusted EBITDA of about GBP957 million in 2019 and about $150
million in fiscal 2019 (ending March 31, 2019), respectively. Since
Comexposium still generated about 50% of annualized revenue through
its top-10 trade shows in 2019, S&P sees revenue concentration on
major events as relatively high. Larger players with greater
diversification and more shows also benefit from less seasonality
in earnings from events that may be biennial or triennial, which
provides less cash flow volatility.

S&P said, "Currently, we view Comexposium's liquidity sources as
sufficient to withstand headwinds this year, although they could
deteriorate if COVID-19 effects persist longer than expected.  As
of April 1, 2020, the company had about EUR125 million of cash on
balance, of which EUR90 million was from the fully drawn revolving
credit facility (RCF), maturing in January 2025. We understand that
the company has taken a number of cost-saving measures to preserve
its liquidity position and the current cash burn rate is about
EUR11.5 million per month (including payment of cash paid interest
on the TLB and RCF), which should allow it to cope with
approximately 11 months of expenses without any revenue. We expect
that the company's liquidity sources will be sufficient to cover
working capital needs, capital expenditure (capex), and other
spending for the next 12 months. The group's debt consists of one
EUR481 million senior secured TLB maturing in January 2026 and the
EUR90 million RCF maturing in January 2025, hence there are no
large debt maturities or refinancing risks in the near term.
Although the company does not immediately need additional credit
lines to secure its liquidity, it is in discussions with banks to
secure a EUR60 million state-guaranteed Prêt Garantie par l'Etat
(PGE) loan. We understand that this loan will be dedicated to
financing increased working capital requirements at year-end 2020
and the beginning of 2021 to grant longer payment terms to its
customers. This should facilitate customers' access to
Comexposium's shows in the context of a weak macroeconomic
environment."

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

-- Health and safety

The CreditWatch placement reflects high uncertainty regarding the
effects and severity of the COVID-19 pandemic on Comexposium, and
the timing of recovery.

S&P said, "We intend to resolve the CreditWatch once we have more
visibility on the termination date of France's ban on public
gatherings, the realization of rebooked and postponed shows for the
rest of the year, and earnings expected for 2020.

"We could lower the rating if the economic effects of COVID-19 are
more significant than we currently expect or if the ban on public
gatherings is extended, and leads to further show cancellations and
delays in 2020 and 2021. This could result in lower EBITDA and
increased working capital outflows, translating into higher
negative FOCF than expected, as well as weaker liquidity, such that
the group's capital structure becomes unsustainable in the medium
term. A downgrade could also stem from increasing risk of a debt
buyback materially below par that we would view as distressed.

"We could remove the ratings from CreditWatch and affirm them if
the effects of the pandemic on social gatherings subside, allowing
Comexposium to continue shows currently scheduled for the rest of
2020 as planned, with sufficient improvements in earnings and cash
flow during the rest of the year and a clear recovery path in 2021.
The rating affirmation would also require liquidity to be adequate,
with sufficient sources to cover working capital needs and adequate
covenant headroom."


EUROPCAR MOBILITY: Moody's Lowers CFR to Caa1, Outlook Stable
-------------------------------------------------------------
Moody's Investors Service downgraded the ratings of France-based
car rental company Europcar Mobility Group S.A. including the
corporate family rating (CFR) to Caa1 from B2, the probability of
default rating (PDR) to Caa1-PD from B2-PD, the ratings on the
senior unsecured notes due 2024 and 2026 to Caa3 from Caa1. Moody's
has also downgraded the rating on the senior secured notes due 2022
at EC Finance plc to B3 from B2. The outlook on both entities has
been changed to stable.

This concludes the review for downgrade that was initiated on March
31, 2020.

"T[he] rating action reflects the longer lasting effect that the
coronavirus outbreak will have on car rental demand, which will
result in EMG's credit metrics and corporate free cash flow
remaining weak through at least 2021", says Eric Kang, a Moody's
Vice President-Senior Analyst and lead analyst on EMG. "While
liquidity is adequate at this stage thanks to the state-guaranteed
loans the company has received to date, there is limited headroom
for any material downside deviation from its base scenario", adds
Mr. Kang.

RATINGS RATIONALE

The action reflects the impact on EMG of the breadth and severity
of the shock caused by the coronavirus outbreak and the broad
deterioration in credit quality it has triggered. Moody's views
this as a social risk under its ESG framework, given the
substantial credit implications on public health and safety.

Moody's expects demand for car rental to remain subdued over the
next 12-18 months, even if lockdown and travel measures are easing
across EMG's core markets, because of lower corporate travel and
air passenger traffic. The rating agency expects air passenger
demand to remain severely depressed in 2021 with passenger volumes
only recovering to 35%-55% of 2019 levels. There is also limited
visibility around a substantial recovery in car rental demand in
2022 given the risk of lower discretionary spending due to weaker
economic growth and likely sustained high unemployment.

In its base scenario, Moody's forecasts that EMG's revenue will
decline by c.35% in 2020 before bouncing back by c.25%-30% in 2021
although this will remain 15%-20% below 2019 levels. Assuming that
EMG's average fleet reduces by c.20% in 2020 and remains broadly
stable in 2021, these revenue forecasts will result in
Moody's-adjusted debt/EBITDA peaking at c.10x in 2020 from 5.1x
(post IFRS16) in 2019, before reducing to c.6.0x in 2021.
Concurrently, Moody's-adjusted EBIT/interest will likely be
negative in 2020 compared to 1.3x in 2019 before recovering to
c.1.0x in 2021.

EMG's is liquidity is adequate at this stage reflecting the
c.EUR380million of new credit facilities the company has managed to
secure since the beginning of the coronavirus outbreak, including
loans guaranteed by the French and Spanish states of EUR220 million
and c.EUR100million, respectively. The remainder relates to a new
US$70 million fleet facility which refinanced drawings under the
revolving credit facility (RCF) initially used to fund Fox's fleet
at the time of the acquisition in December 2019. The RCF was also
increased by EUR20 million to EUR670 million in May 2020. These new
facilities will help cushion the material cash outflow that Moody's
anticipates in 2020. The rating agency forecasts that corporate
free cash flow (as defined by the company) after interests will be
negative at c. EUR390 million in 2020, and then slightly below
breakeven in 2021. Prior to obtaining these new facilities, the
company had EUR190 million of unrestricted cash on its balance
sheet (excluding cash intended to finance the fleet) as of March
31, 2020 and EUR39 million available under the RCF due 2023.

The RCF includes a financial maintenance covenant, requiring cash
flow cover to debt service to remain above 1.10:1, for which
Moody's expects the company to maintain sufficient headroom. The
senior secured and unsecured notes have standard incurrence
covenant terms. The Senior Asset Revolving Facility (SARF) and the
fleet notes are subject to a quarterly loan-to-value maintenance
test of a maximum of 95%.

Excluding the fleet securitization debt which funded the fleet
acquisitions and will be covered by normal disposal of the fleet,
the nearest debt maturities are the EUR50 million bilateral term
loan and the EUR500 million fleet notes which mature in December
2020 and November 2022, respectively.

STRUCTURAL CONSIDERATIONS

For Moody's Loss Given Default (LGD) assessment, the securitisation
and the local fleet financing facilities are excluded because they
are self-liquidating in the event of a default. In addition, these
facilities have ring-fenced security over the fleet assets but do
not have a claim on the operating businesses.

The Caa3 instrument ratings on the EUR600 million senior unsecured
notes due 2024 and the EUR450 million senior unsecured notes due
2026 reflect their relatively weaker security package and/or the
absence of guarantees from operating subsidiaries compared with
Europcar's other debt facilities, including the EUR670 million RCF
due 2022 and the EUR500 million senior secured notes due 2022 (the
fleet notes). They also have a junior ranking compared to the debt
instruments sitting at a lower level in the group structure,
notably the new state guaranteed loans. The EUR220 million French
state-guaranteed loan were entered into by EC International and
Europcar Participations while the c.EUR100 Spanish state-guaranteed
loans were entered into by Spanish operating entities. These
facilities are also unsecured and unguaranteed by operating
companies.

The fleet notes, rated B3, benefit from guarantees by Europcar
International S.A.S.U. and Europcar Mobility Group S.A. and second
ranking over the fleet collateral of the SARF while the RCF
benefits from share pledges, as well as guarantees, by the majority
of Europcar's operating entities. Moody's notes that a payment
default under certain master operating leases entered with fleetcos
in relation to the SARF could trigger a cross default under the
RCF. With regards to priority of payments among the fleetcos, the
fleet notes rank junior relative to sizeable fleet debt instruments
such as the SARF. The SARF has a first priority ranking on some
fleet assets and receivables under buy-back agreements while the
fleet notes have second priority interest on same fleet assets and
receivables as mentioned.

The company has two different intercreditor agreements (ICAs): an
ICA which regulates fleet entities and their fleet financing debt
and a corporate ICA which regulates opcos and the corporate debt
such as RCF and senior unsecured notes.

RATING OUTLOOK

The stable outlook reflects Moody's base case scenario in which EMG
will limit the impact of the lower revenue on profitability and
corporate free cash flow by timely adjusting its fleet, in light of
the flexibility provided by the use of buyback options and
operating leases financings. In this scenario, Moody's expects that
liquidity will remain adequate over the next 12-18 months, although
there is limited headroom for any material downside deviation from
the base scenario.

The stable outlook also balances the risk of a slow economic
recovery in 2021 that could create further negative pressure on
liquidity and the ratings and the potential for positive rating
pressure to develop in the second half of 2021 in its base case
scenario, when EMG's credit metrics would get close to the
indicated guidance for upward pressure.

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

Downward rating pressure could arise if a prolonged weakness in
demand results in an untenable capital structure or weak liquidity.
Downward rating pressure could also materialise if Moody's-adjusted
(gross) debt/EBITDA remains sustainably above 6.0x or Moody's
EBIT/interest remains weak for a prolonged period of time.

An upgrade is unlikely to occur before market conditions normalize
as evidenced by sustained organic growth in revenues and earnings.
Over time, upward rating pressure could develop if Moody's-adjusted
(gross) debt/EBITDA reduces below 6.0x, Moody's EBIT/interest
increases well above 1.0x, on a sustainable basis, and the company
maintains a solid liquidity profile including positive corporate
free cash flow after interests.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Equipment and
Transportation Rental Industry published in April 2017.

COMPANY PROFILE

Headquartered in Paris, France, Europcar Mobility Group S.A. is the
European leader in car rental services, providing short- to
medium-term rentals of passenger vehicles and light trucks to
corporate, leisure and replacement.


RENAULT SA: Mulls Restructuring of French Factories
---------------------------------------------------
Reuters reports that French car manufacturer Renault said on June
5, it launched talks with labor unions to reorganize and to cease
the assembly of vehicles in several plants in the country as it
cuts about 15,000 jobs worldwide and to refocus to survive the
decline in sales.

Faced with a downturn in demand that has been exacerbated by the
coronavirus crisis, Renault is aiming to find EUR2 billion (US$2.22
billion) in savings over the next three years as it shrinks
production and hones in on more profitable models, Reuters
discloses.

According to Reuters, Renault said the restructuring measures,
including the job cuts and employment transfers that would affect
just under 10% of its global workforce, would cost EUR1.2 billion.

The group, which is 15% owned by the French state, said some plants
like the one in Flins, close to Paris, where it makes its electric
Zoe models, could cease to assemble cars and focus on recycling
activities instead, Reuters notes.  Six sites in all, including
component factories, will be under review, Reuters states.

Renault, like its Japanese partner Nissan, was already under
pressure when the coronavirus pandemic hit, posting its first loss
in a decade in 2019, Reuters relays.  Like peers, it is now trying
to juggle a revenue slump with industry-wide changes like rising
investment in cleaner cars, according to Reuters.

Renault said it would slash costs by cutting the number of
subcontractors in areas such as engineering, reducing the number of
components it uses, freezing expansion plans in Romania and Morocco
and shrinking gearbox manufacturing worldwide, Reuters relates.

The company plans to trim its global production capacity to 3.3
million vehicles in 2024 from 4 million now, focusing on areas like
small vans or electric cars, Reuters says.

                  About Renault SA

Headquartered in Boulogne-Billancourt, France, Renault S.A. is
Europe's third-largest car manufacturer by unit sales. In addition
to the Renault brand, the company manufactures cars under the
Dacia, Renault Samsung Motors (South Korea), Alpine and Lada
Russia) brands. In 2019, the company sold close to 3.8 million
vehicles and reported total revenue of EUR55.5 billion. Renault
currently holds a 43.4% equity stake in Nissan Motor Co., Ltd.




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

K+S AG: Egan-Jones Lowers Foreign Currency Unsec. Rating to B+
--------------------------------------------------------------
Egan-Jones Ratings Company, on June 1, 2020, downgraded the foreign
currency senior unsecured rating on debt issued by K+S AG on to B+
from BB. EJR also downgraded the rating on commercial paper issued
by the Company to B from A2.

K+S AG is a German chemical company headquartered in Kassel.


LUFTHANSA: To Axe 22,000 Jobs, Permanently Ground 100 Planes
------------------------------------------------------------
Oliver Gill at The Telegraph reports that bailed-out German flag
carrier Lufthansa will axe 22,000 jobs as the airline grapples with
a collapse in demand.

According to The Telegraph, around 100 of the firm's 300 planes
will be permanently grounded after the coronavirus crisis brought a
halt to a golden of air travel, forcing the firm to sack roughly
16% of its workforce.

The carrier hopes to agree a redundancy program with unions by June
22, The Telegraph notes.  It wants to mitigate the scale of the
cuts through actions such as working shorter shifts, The Telegraph
states.

Airlines around the world are grappling with a huge drop in
traveller numbers as lockdowns are gradually replaced with a
patchwork of quarantine rules and social distancing regulations
which will slash capacity on jets, The Telegraph discloses.


REVOCAR 2020 UG: S&P Assigns BB- Rating on Class D Notes
--------------------------------------------------------
S&P Global Ratings has assigned its credit ratings to RevoCar 2020
UG (haftungbeschränkt)'s class A through D-Dfrd notes.

The collateral in RevoCar 2020 comprises German auto loan
receivables that Bank11 für Privatkunden und Handel GmbH (Bank11)
originated and granted to private (97%) and commercial customers
(3.0%) for the purchase of new (50.0%) and used vehicles (50.0%),
primarily cars. The portfolio also includes 0.9% of loans for
motorbikes and leisure vehicles. This transaction is Bank11's
eighth German public ABS securitization. The transaction is
revolving for a maximum period of 24 months.

According to the transaction's terms and conditions, interest can
be deferred on any class of notes, except for the class A notes if
the undercollateralization of the relevant class exceeds a certain
threshold. Furthermore, there is no compensation mechanism that
would accrue interest on deferred interest, and all previously
deferred interest will not be due immediately when the class
becomes the most senior. S&P said, "Considering the abovementioned
factors, we have assigned ratings that address the ultimate payment
of interest and principal on the class B-Dfrd, C-Dfrd, and D-Dfrd
notes based on our interest shortfall methodology. Our rating on
the class A notes instead addresses the timely payment of interest
and ultimate payment of principal."

S&P's ratings reflect its analysis of the transaction's payment
structure, its exposure to counterparty and operational risks, and
the results of our cash flow analysis to assess whether the rated
notes would be repaid under stress test scenarios.

A liquidity reserve provides only liquidity support to interest on
the class A notes, if the servicer fails to transfer collections to
the special-purpose entity (SPE) following a servicer termination
event.

The transaction features a combined waterfall. The notes will
amortize sequentially when the revolving period ends.

S&P's ratings in this transaction are not constrained by the
application of our sovereign risk criteria for structured finance
transactions or our counterparty risk criteria. The application of
our operational risk criteria does not cap the ratings in this
transaction.

At closing, RevoCar 2020 issued unrated class E-Dfrd subordinated
notes, which provide credit enhancement to the class A through
D-Dfrd notes because the tranche ranks below the other classes of
notes for the payment of interest and principal.

The pool comprises auto loans with equal fixed installments during
the contract's life ("EvoClassic"). "EvoSupersmart" and "EvoSmart"
receivables contain balloon payments at the end of the promotion
period. According to the pool, 56% of the closing principal balance
are EvoSupersmart contracts and 8.5% are "EvoSmart" contracts.
Overall, considering both balloon products, the share of the
balloon component is 38.8% of the total pool. More specifically,
the balloon component of EvoSmart only contracts is 53.6%, whereas
for EvoSupersmart, it is 61.1%.

  Ratings List

  RevoCar 2020 UG (haftungbeschränkt)

  Class     Rating     Amount (mil. EUR)
  A         AAA (sf)   717.3
  B-Dfrd    A (sf)     34.5
  C-Dfrd    BBB (sf)   16.5
  D-Dfrd    BB- (sf)   10.7
  E-Dfrd    NR         21.0

  NR--Not rated.
  Dfrd--Deferrable.



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

BABSON EURO 2014-2: Moody's Confirms B2 on EUR16.5MM Class F Notes
------------------------------------------------------------------
Moody's Investors Service has confirmed the ratings on the
following notes issued by Babson Euro CLO 2014-2 B.V.:

EUR28,500,000 Class D Senior Secured Deferrable Floating Rate Notes
due 2029, Confirmed at Baa2 (sf); previously on Apr 20, 2020 Baa2
(sf) Placed Under Review for Possible Downgrade

EUR38,000,000 Class E Senior Secured Deferrable Floating Rate Notes
due 2029, Confirmed at Ba2 (sf); previously on Apr 20, 2020 Ba2
(sf) Placed Under Review for Possible Downgrade

EUR16,500,000 Class F Senior Secured Deferrable Floating Rate Notes
due 2029, Confirmed at B2 (sf); previously on Apr 20, 2020 B2 (sf)
Placed Under Review for Possible Downgrade

Moody's has also affirmed the ratings on the following notes:

EUR297,400,000 Class A-1 Senior Secured Floating Rate Notes due
2029, Affirmed Aaa (sf); previously on May 25, 2017 Definitive
Rating Assigned Aaa (sf)

EUR31,600,000 Class A-2 Senior Secured Fixed Rate Notes due 2029,
Affirmed Aaa (sf); previously on May 25, 2017 Definitive Rating
Assigned Aaa (sf)

EUR37,900,000 Class B-1 Senior Secured Floating Rate Notes due
2029, Affirmed Aa2 (sf); previously on May 25, 2017 Definitive
Rating Assigned Aa2 (sf)

EUR 21,100,000 Class B-2 Senior Secured Fixed Rate Notes due 2029,
Affirmed Aa2 (sf); previously on May 25, 2017 Definitive Rating
Assigned Aa2 (sf)

EUR 35,000,000 Class C Senior Secured Deferrable Floating Rate
Notes due 2029, Affirmed A2 (sf); previously on May 25, 2017
Definitive Rating Assigned A2 (sf)

Babson Euro CLO 2014-2 B.V., issued in November 2014 and reset in
May 2017, is a collateralised loan obligation backed by a portfolio
of mostly high-yield senior secured European loans. The portfolio
is managed by Barings (U.K.) Limited. The transaction's
reinvestment period will end in May 2021.

RATINGS RATIONALE

Its action concludes the rating review on the Classes D, E and F
notes initiated on 20 April 2020 as a result of the deterioration
of the credit quality and/or the reduction of the par amount of the
portfolio following from the coronavirus outbreak.

Stemming from the coronavirus outbreak, the credit quality has
deteriorated as reflected in the increase in Weighted Average
Rating Factor and of the proportion of securities from issuers with
ratings of Caa1 or lower. Securities with default probability
ratings of Caa1 or lower currently make up approximately 12.7% of
the underlying portfolio, triggering the application of an
over-collateralisation haircut to the computation of the OC tests.
Consequently, the over-collateralisation levels have weakened
across the capital structure. According to the trustee report dated
May 2020 the Class A/B, Class C, Class D, Class E, and Class F OC
ratios are reported at 138.1%[1], 126.7%[1], and 118.7%[1],
109.5%[1], 105.9%[1] compared to Nov 2019 levels of 142.2%[2],
130.5%[2], 122.2%[2], 112.8%[2], and 109.1%[2] respectively.
Moody's notes that none of the OC tests are currently in breach and
the transaction remains in compliance with the following collateral
quality tests: Diversity Score, Weighted Average Recovery Rate,
Weighted Average Spread and Weighted Average Life.

Despite the increase in the WARF, Moody's concluded that the
expected losses on all the rated notes remain consistent with their
current ratings following the analysis of the CLO's latest
portfolio and taking into account the recent trading activities as
well as the full set of structural features of the transaction.
Consequently, Moody's has confirmed the ratings on the Class D, E
and F notes and affirmed the ratings on the Class A-1, A-2, B-1,
B-2, and C notes.

The key model inputs Moody's uses in its analysis, such as par,
weighted average rating factor, diversity score and the weighted
average recovery rate, are based on its published methodology and
could differ from the trustee's reported numbers. In its base case,
Moody's analysed the underlying collateral pool as having a
performing par and principal proceeds balance of EUR 544.8 million,
a weighted average default probability of 27.9% (consistent with a
WARF of 3786 over 4.6 years), a weighted average recovery rate upon
default of 44.9% for a Aaa liability target rating, a diversity
score of 59 and a weighted average spread of 3.76%.

The default probability derives from the credit quality of the
collateral pool and Moody's expectation of the remaining life of
the collateral pool. The estimated average recovery rate on future
defaults is based primarily on the seniority of the assets in the
collateral pool. In each case, historical and market performance
and a collateral manager's latitude to trade collateral are also
relevant factors. Moody's incorporates these default and recovery
characteristics of the collateral pool into its cash flow model
analysis, subjecting them to stresses as a function of the target
rating of each CLO liability it is analysing.

Its analysis has considered the effect of the coronavirus outbreak
on the global economy as well as the effects that the announced
government measures, put in place to contain the virus, will have
on the performance of corporate assets.

The contraction in economic activity in the second quarter will be
severe and the overall recovery in the second half of the year will
be gradual. However, there are significant downside risks to its
forecasts in the event that the pandemic is not contained and
lockdowns have to be reinstated. As a result, the degree of
uncertainty around its forecasts is unusually high. Moody's regards
the coronavirus outbreak as a social risk under its ESG framework,
given the substantial implications for public health and safety.

The principal methodology used in these ratings was "Moody's Global
Approach to Rating Collateralized Loan Obligations" published in
March 2019.

Counterparty Exposure:

Its rating action took into consideration the notes' exposure to
relevant counterparties, such as account bank and swap providers,
using the methodology "Moody's Approach to Assessing Counterparty
Risks in Structured Finance" published in June 2020. Moody's
concluded the ratings of the notes are not constrained by these
risks.

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

This transaction is subject to a high level of macroeconomic
uncertainty, which could negatively affect the ratings on the note,
in light of uncertainty about credit conditions in the general
economy. In particular, the length and severity of the economic and
credit shock precipitated by the global coronavirus pandemic will
have a significant impact on the performance of the securities. CLO
notes' performance may also be impacted either positively or
negatively by: (1) the manager's investment strategy and behaviour;
(2) divergence in the legal interpretation of CDO documentation by
different transactional parties because of embedded ambiguities;
and (3) the additional expected loss associated with hedging
agreements in this transaction which may also impact the ratings
negatively.

Additional uncertainty about performance is due to the following:

  - Weighted average life: The notes' ratings are sensitive to the
weighted average life assumption of the portfolio, which could
lengthen as a result of the manager's decision to reinvest in new
issue loans or other loans with longer maturities, or participate
in amend-to-extend offerings. The effect on the ratings of
extending the portfolio's weighted average life can be positive or
negative depending on the notes' seniority.

  - Recovery of defaulted assets: Market value fluctuations in
trustee-reported defaulted assets and those Moody's assumes have
defaulted can result in volatility in the deal's
over-collateralisation levels. Further, the timing of recoveries
and the manager's decision whether to work out or sell defaulted
assets can also result in additional uncertainty. Recoveries higher
than Moody's expectations would have a positive impact on the
notes' ratings.

  - Other collateral quality metrics: Because the deal can
reinvest, the manager can erode the collateral quality metrics'
buffers against the covenant levels.

In addition to the quantitative factors that Moody's explicitly
modelled, qualitative factors are part of the rating committee's
considerations. These qualitative factors include the structural
protections in the transaction, its recent performance given the
market environment, the legal environment, specific documentation
features, the collateral manager's track record and the potential
for selection bias in the portfolio. All information available to
rating committees, including macroeconomic forecasts, input from
other Moody's analytical groups, market factors, and judgments
regarding the nature and severity of credit stress on the
transactions, can influence the final rating decision.


TORO EUROPEAN 2: Moody's Cuts Rating on EUR11.3MM Cl. F Notes to B3
-------------------------------------------------------------------
Moody's Investors Service taken a variety of rating actions on the
following notes issued by Toro European CLO 2 Designated Activity
Company:

EUR27,400,000 Class D Secured Deferrable Floating Rate Notes due
2030, Confirmed at Baa3 (sf); previously on Apr 20, 2020 Baa3 (sf)
Placed Under Review for Possible Downgrade

EUR22,750,000 Class E Secured Deferrable Floating Rate Notes due
2030, Confirmed at Ba2 (sf); previously on Apr 20, 2020 Ba2 (sf)
Placed Under Review for Possible Downgrade

EUR11,300,000 Class F Secured Deferrable Floating Rate Notes due
2030, Downgraded to B3 (sf); previously on Apr 20, 2020 B2 (sf)
Placed Under Review for Possible Downgrade

Moody's has also affirmed the ratings on the following notes:

EUR2,500,000 (Outstanding Amount EUR 625,000) Class X Secured
Floating Rate Notes due 2030, Affirmed Aaa (sf); previously on Oct
16, 2018 Definitive Rating Assigned Aaa (sf)

EUR248,000,000 Class A Secured Floating Rate Notes due 2030,
Affirmed Aaa (sf); previously on Oct 16, 2018 Definitive Rating
Assigned Aaa (sf)

EUR17,500,000 Class B-1 Secured Floating Rate Notes due 2030,
Affirmed Aa2 (sf); previously on Oct 16, 2018 Definitive Rating
Assigned Aa2 (sf)

EUR17,000,000 Class B-2 Secured Fixed Rate Notes due 2030, Affirmed
Aa2 (sf); previously on Oct 16, 2018 Definitive Rating Assigned Aa2
(sf)

EUR26,500,000 Class C Secured Deferrable Floating Rate Notes due
2030, Affirmed A2 (sf); previously on Oct 16, 2018 Definitive
Rating Assigned A2 (sf)

Toro European CLO 2 Designated Activity Company, issued in
September 2016 and refinanced in October 2018, is a collateralised
loan obligation (CLO) backed by a portfolio of mostly high-yield
senior secured European loans. The portfolio is managed by
Chenavari Credit Partners LLP. The transaction's reinvestment
period will end in October 2020.

RATINGS RATIONALE

The action concludes the rating review on the Class D, E and F
Notes announced on April 20, 2020.

Stemming from the coronavirus outbreak, the credit quality of the
portfolio has deteriorated as reflected in the increase of the
Weighted Average Rating Factor (WARF) and an increase in the
proportion of securities from issuers with ratings of Caa1 or
lower. The trustee reported WARF worsened by about 17% to 3546 [1]
from 3022 [2] in February 2020 and is now significantly above the
reported covenant of 3135 [1]. The trustee reported securities with
ratings of Caa1 or lower have increased to 9.3% [1] from 3.6% [2]
in February 2020. An over-collateralisation (OC) haircut of EUR
2.76 million to the computation of the OC tests is applied.
Consequently, the over-collateralisation (OC) levels have weakened
across the capital structure. According to the trustee report dated
May 2020 the Class A/B, Class C, Class D, Class E, and Class F OC
ratios are reported at 138.75% [1], 126.85% [1], and 116.52% [1],
109.14% [1], 105.81% [1] compared to February 2020 levels of
140.60% [2], 128.55% [2], 118.08% [2], 110.60% [2], and 107.22% [2]
respectively.

Moody's notes that the transaction remains in compliance with the
following collateral quality tests: Diversity Score, Weighted
Average Recovery Rate (WARR), Weighted Average Spread (WAS) and
Weighted Average Life (WAL).

As a result of this deterioration, the Class F notes were
downgraded. Moody's however concluded that the expected losses on
remaining rated notes remain consistent with their current ratings.
Consequently, Moody's has confirmed the ratings on the Class D and
E notes and affirmed the ratings on the Class X, A, B-1, B-2 and C
notes.

The key model inputs Moody's uses in its analysis, such as par,
weighted average rating factor, diversity score and the weighted
average recovery rate, are based on its published methodology and
could differ from the trustee's reported numbers. In its base case,
Moody's analysed the underlying collateral pool as having a
performing par and principal proceeds balance of EUR 394.7 million,
a defaulted par of EUR 0.99 million, a weighted average default
probability of 28.1% (consistent with a WARF of 3610 over a
weighted average life of 5.1 years), a weighted average recovery
rate upon default of 44.3% for a Aaa liability target rating, a
diversity score of 54 and a weighted average spread of 3.8%.

The default probability derives from the credit quality of the
collateral pool and Moody's expectation of the remaining life of
the collateral pool. The estimated average recovery rate on future
defaults is based primarily on the seniority of the assets in the
collateral pool. In each case, historical and market performance
and a collateral manager's latitude to trade collateral are also
relevant factors. Moody's incorporates these default and recovery
characteristics of the collateral pool into its cash flow model
analysis, subjecting them to stresses as a function of the target
rating of each CLO liability it is analysing.

Its analysis has considered the effect of the coronavirus outbreak
on the global economy as well as the effects that the announced
government measures, put in place to contain the virus, will have
on the performance of corporate assets.

The contraction in economic activity in the second quarter will be
severe and the overall recovery in the second half of the year will
be gradual. However, there are significant downside risks to its
forecasts in the event that the pandemic is not contained and
lockdowns have to be reinstated. As a result, the degree of
uncertainty around its forecasts is unusually high. Moody's regards
the coronavirus outbreak as a social risk under its ESG framework,
given the substantial implications for public health and safety.

Methodology Underlying the Rating Action:

The principal methodology used in these ratings was "Moody's Global
Approach to Rating Collateralized Loan Obligations" published in
March 2019.

Counterparty exposure:

The rating action took into consideration the notes' exposure to
relevant counterparties, such as account bank, using the
methodology "Moody's Approach to Assessing Counterparty Risks in
Structured Finance" published in June 2020. Moody's concluded the
ratings of the notes are not constrained by these risks.

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

This transaction is subject to a high level of macroeconomic
uncertainty, which could negatively affect the ratings on the note,
in light of uncertainty about credit conditions in the general
economy. In particular, the length and severity of the economic and
credit shock precipitated by the global coronavirus pandemic will
have a significant impact on the performance of the securities. CLO
notes' performance may also be impacted either positively or
negatively by: (1) the manager's investment strategy and behaviour;
(2) divergence in the legal interpretation of CDO documentation by
different transactional parties because of embedded ambiguities;
and (3) the additional expected loss associated with hedging
agreements in this transaction which may also impact the ratings
negatively.

Additional uncertainty about performance is due to the following:

  -- Weighted average life: The notes' ratings are sensitive to the
weighted average life assumption of the portfolio, which could
lengthen as a result of the manager's decision to reinvest in new
issue loans or other loans with longer maturities, or participate
in amend-to-extend offerings. The effect on the ratings of
extending the portfolio's weighted average life can be positive or
negative depending on the notes' seniority.

  -- Other collateral quality metrics: Because the deal can
reinvest, the manager can erode the collateral quality metrics'
buffers against the covenant levels.

In addition to the quantitative factors that Moody's explicitly
modelled, qualitative factors are part of the rating committee's
considerations. These qualitative factors include the structural
protections in the transaction, its recent performance given the
market environment, the legal environment, specific documentation
features, the collateral manager's track record and the potential
for selection bias in the portfolio. All information available to
rating committees, including macroeconomic forecasts, input from
other Moody's analytical groups, market factors, and judgments
regarding the nature and severity of credit stress on the
transactions, can influence the final rating decision.




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

ATLANTIA SPA: Egan-Jones Lowers Senior Unsecured Ratings to B
-------------------------------------------------------------
Egan-Jones Ratings Company, on June 2, 2020, downgraded the foreign
currency and local currency senior unsecured ratings on debt issued
by Atlantia SpA to B from B+. EJR also downgraded the rating on
commercial paper issued by the Company to B from A3.

Headquartered in Rome, Italy, Atlantia SpA is a holding company
active in the infrastructure sector.


CREDIT SUISSE: Fitch Affirms BB Rating on EUR20MM CLN
-----------------------------------------------------
Fitch Ratings has affirmed the EUR20 million Credit Suisse CLN
linked to the Republic of Italy due December 2030 and maintained
Argentum Capital S.A. 2019-133 on Rating Watch Negative. The rating
actions follow similar rating action on their risk-presenting
entities.

EUR20 million Credit Suisse CLN linked to the Republic of Italy due
December 2030  

  - EUR20 million Credit Suisse CLN linked to the Republic of
    Italy due December 2030 XS1289135649; LT BBsf; Affirmed

Argentum Capital S.A. 2019-133      

  - 2019-133 XS2022019389; LT A-sf; Rating Watch Maintained

KEY RATING DRIVERS

Rating Action on Risk-Presenting Entities

Barclays Plc (A/RWN) is the weakest link entity in the Argentum
transaction, and Italy (BBB-/Stable) is the weakest link in the
EUR20m Credit Suisse CLN. The additional risk-presenting entities
are Credit Suisse International and Credit Suisse AG (both
A/Stable) for Argentum and the EUR20m Credit Suisse CLN,
respectively. The ratings were determined using its Two-Risk CLN
Matrix - for the EUR20m Credit Suisse CLN the weakest-link rating
is applied with a one-notch reduction in the matrix as a
restructuring of Italy is an event of default.

On May 29, Fitch maintained Barclays Plc on RWN. On the same date,
Fitch affirmed Credit Suisse International and Credit Suisse AG and
revised their Outlooks to Stable from Negative.

The rating actions on the risk-presenting entities do not affect
the ratings, Outlook or Rating Watches on the notes.

For Argentum, the revision of the Outlook on its additional
risk-presenting entity Credit Suisse International does not change
RWN on the notes. The RWN from its weakest link, Barclays Plc,
prevails over the Outlook on the additional risk-presenting
entity.

The Outlook on the EUR20m Credit Suisse CLN is primarily driven by
the Outlook on the weakest link entity, Italy, which was already
Stable. Hence, the revision of the Outlook on the additional
risk-presenting entity has no impact on the Outlook on the CLN.

Coronavirus Impact

The CLNs' ratings are affected by changes in the ratings of their
risk-presenting entities. These may be affected by the economic
fallout from the spread of coronavirus (see Fitch's research on the
risk-presenting entities for the respective details of their
sensitivity to the virus).

RATING SENSITIVITIES

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

Argentum:

If the weakest link entity, Barclays Plc, was upgraded by one
notch, the notes' rating would not change. However, in this case
Barclays would become the additional risk-presenting entity and
Credit Suisse International would become the weakest-link.

If the additional risk-presenting entity, Credit Suisse
International, was upgraded by one notch, the notes' rating would
not change.

If both entities were upgraded by one notch, the notes' rating
would be upgraded by one notch.

EUR20m Credit Suisse CLN:

If the weakest link entity, Italy, was upgraded by one notch, the
notes' rating would be upgraded by one notch.

If the additional risk-presenting entity, Credit Suisse AG, was
upgraded by one notch, the notes' rating would not change.

If both entities were upgraded by one notch, the notes' rating
would be upgraded by one notch.

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

Argentum:

If the weakest link entity, Barclays Plc, was downgraded by one
notch, the notes' rating would be downgraded by one notch.

If the additional risk-presenting entity, Credit Suisse
International, was downgraded by one notch, the notes' rating would
be downgraded by one notch and Credit Suisse International would
become the weakest link and Barclays the additional risk-presenting
entity.

If both entities were downgraded by one notch, the notes' rating
would be downgraded by one notch.

EUR20m Credit Suisse CLN:

If the weakest link entity, Italy, was downgraded by one notch, the
notes' rating would be downgraded by one notch.

If the additional risk-presenting entity, Credit Suisse AG, was
downgraded by one notch, the notes rating would not change.

If both entities were downgraded by one notch, the notes' rating
would be downgraded by one notch.

BEST/WORST CASE RATING SCENARIO

International scale credit ratings of Structured Finance
transactions have a best-case rating upgrade scenario (defined as
the 99th percentile of rating transitions, measured in a positive
direction) of seven 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 seven notches over three years. The complete span of best- and
worst-case scenario credit ratings for all rating categories ranges
from 'AAAsf' to 'Dsf'. Best- and worst-case scenario credit ratings
are based on historical performance.

USE OF THIRD PARTY DUE DILIGENCE PURSUANT TO SEC RULE 17G -10

Form ABS Due Diligence-15E was not provided to, or reviewed by,
Fitch in relation to this rating action.

DATA ADEQUACY

Fitch has not conducted any checks on the consistency and
plausibility of the information it has received about the
performance of the asset pools and the transactions. Fitch has not
reviewed the results of any third-party assessment of the asset
portfolio information or conducted a review of origination files as
part of its ongoing monitoring.

Overall and together with the assumptions referred to above,
Fitch's assessment of the information relied upon for the agency's
rating analysis according to its applicable rating methodologies
indicates that it is adequately reliable.

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.


SOCIETA CATTOLICA: S&P Lowers Rating on Tier 2 Notes to 'BB'
------------------------------------------------------------
S&P Global Ratings downgraded Societa Cattolica di Assicurazione's
(Cattolica's) Tier 2 notes to 'BB' from 'BB+'. S&P also affirmed
the 'BBB' long-term insurer financial strength and issuer credit
ratings on the company with a negative outlook.

The solvency II (SII) ratio decline increases the likelihood of
coupon deferral. S&P said, "Under our methodology for rating junior
subordinated debt issues, we currently rate Cattolica's Tier 2
notes two notches below the 'BBB' long-term issuer credit rating.
The rating on the notes reflects their subordination and interest
deferral features. As the group's SII gets closer to the regulatory
minimum, we see a higher risk--albeit still remote--that Cattolica
could defer the coupon payments to protect its capitalization.
Taking into account that Cattolica announced its interim estimated
SII ratio dropped to 122% on May 22, 2020, we now add a one-notch
negative adjustment for increased risk of coupon nonpayment, and
have lowered the rating on these notes from 'BB+' to 'BB'."

S&P said, "We see deferral risk as still remote, since we expect
Cattolica to undertake capital management actions in the coming
months to materially strengthen its SII ratio. We understand that
Cattolica management's initial proposal is a capital equity raise
combined with an exchange offer of some existing Tier 2 instruments
into restricted Tier 1 instruments. We also observe that the spread
on Italian government bonds has significantly declined since May 22
(by about 40 basis points) which will have materially increased
SII."

Cattolica's concentration in Italian government bonds links its SII
ratio to volatile spread dynamics. The group's SII ratio for
first-quarter 2020 was 147%, down from 175% at year-end 2019, due
to COVID-19-related market turmoil. S&P understands that the
additional drop in May is the consequence of unfavorable movements
in the risk free curve, Italian government bond spreads, and the
volatility adjustment. The group was particularly affected because
Italian government bonds still account for 55% of total invested
assets, despite a partial diversification effort conducted in
recent years.

S&P said, "Short-term market volatility does not hamper our view of
the group's intrinsic creditworthiness. We expect Cattolica's
operating performance will remain resilient in 2020 despite the
COVID-19 pandemic, since the company has confirmed its pre-crisis
guidance. Despite a deceleration in gross written premium growth
with respect to our previous forecast, driven by severe lockdown
measures imposed in Italy between March and May, we believe that
sound technical performance in property/casualty business lines,
especially motor, will enable the company to reach a net income
(before minority interests) above EUR100 million this year."

Furthermore, S&P's fair assessment of Cattolica's financial risk
profile is well positioned in its current category, and less
subject to short-term market dynamics than the SII ratio.

S&P said, "As Cattolica's regulatory capital position evolves, we
could alter the notching on the notes to reflect changes in the
likelihood of suspension on the hybrids. We could narrow the
notching between the rating on the hybrid notes and the issuer
credit rating if we observe a sustainable and significant increase
in Cattolica's SII ratio. In this regard, we understand that
Italy's Institute for the Supervision of Insurance has requested
Cattolica conduct a substantial capital increase. However, the
timing and size of this increase remains uncertain, in our view."

The negative outlook mirrors that on Italy.

S&P could lower the ratings on Cattolica if it lowers its long-term
rating on Italy.

S&P could revise its outlook to stable if it revises the outlook on
Italy to stable.




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

HUVEPHARMA INT'L: Moody's Alters Outlook on Ba3 CFR to Positive
---------------------------------------------------------------
Moody's Investors Service changed Huvepharma International BV's
outlook to positive from stable. At the same time, Moody's affirmed
Huvepharma's Ba3 corporate family rating (CFR) and B1-PD
probability of default rating (PDR).

RATINGS RATIONALE

The change of outlook to positive from stable reflects Moody's
expectation that Huvepharma's credit metrics will improve over the
next 12-18 months thanks to strong operating and financial
performance and the upcoming completion of its large investment
program. The rating action also reflects the company's continuing
and profitable growth and a significant increase in scale over the
recent years. In addition, favourable industry fundamentals support
the company's credit quality.

Huvepharma substantially increased its size over the last four
years, with revenue growing by 84% to EUR548 million in 2019 from
EUR297 in 2015, mainly through organic expansion. Moody's expects
annual double-digit growth in percentage terms to persist in
2020-21, with revenue reaching around EUR700 million in 2021. At
the same time, the company's profitability is solid, with Moody's
adjusted EBITDA margin being well above 20% in 2018-19. The EBITDA
margin should be at around 25% over the next two years thanks to
the growing economy of scale and the launch of a new fermentation
facility in 2019, which will strengthen vertical integration.

Moody's expects Huvepharma's leverage, measured as Moody's adjusted
debt/EBITDA, will decrease to 3.0x-3.5x in 2020 and below 3.0x in
2021 from 4.0x in 2019 due to a growth in earnings and gradual
repayment of debt, supported by improving free cash flow (FCF). In
2018-19, the company executed a large investment program of around
EUR305 million, spending EUR70 million on three small bolt-on
acquisition in France and the US, EUR70 million on product
development, EUR30 million on maintenance and EUR135 million on
capacity expansion, including the fermentation facility, which was
launched in 2019, and a new vaccine plant, which start-up is
scheduled for 2021. Because capital spending will subside to EUR80
million in 2020 and EUR60 million in 2021, Huvepharma's FCF will
rise materially over the next two years from flat to negative in
2018-19.

The rating action also factors in favourable industry fundamentals
which support long term revenue growth. Global population growth
and the rising consumption of animal-based protein support the
global animal health industry. In addition, the global food supply
chain continues to increase efficiency, and animal health products
will play a role in productivity increases.

Huvepharma's credit quality is supported by the company's (1) low
cost vertically integrated business model; (2) strong positions in
key niche segments; (3) balanced geographical and product
diversification; (4) continuing product development; and (5) proven
ability to rapidly expand its operations while preserving its high
profit margin, primarily through organic growth of the existing
product portfolio and new launches.

However, the rating also factors in Huvepharma's (1) small size,
compared with its peers; (2) lack of diversification into the
companion animal segment; (3) large debt maturities of around
EUR350 million in Q3 2022; and (4) concentrated ownership
structure.

The B1-PD PDR reflects a higher-than-average family recovery rate
(65%), given the presence of an all-bank debt capital structure.

ENVIRONMENTAL, SOCIAL AND GOVERNANCE (ESG) CONSIDERATIONS

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. Moody's regards
the coronavirus outbreak as a social risk under its ESG framework,
given the substantial implications for public health and safety.

The animal health sector has been so far only marginally affected
by the shock, given its correlation to the non-discretionary and
essential food consumption. Huvepharma has not had any material
operational disruptions thanks to its vertical integration. On the
contrary, the company has had an increased demand for its products
because of some operational disruption in the global supply of
active pharmaceuticals ingredients (API). The lack of a companion
animal business is also supportive in this environment because of
its greater susceptibility to changes in consumer demand amid the
pandemic.

Beyond the outbreak, regulatory changes will continue to represent
environmental and social risks for Huvepharma. Outside the US and
Europe, many developing countries do not have any significant
regulations curbing the use of antibiotics in livestock and may
over time, pursue regulatory actions. Consumer preferences are
gradually shifting away from proteins produced with the use of
antibiotics, which will be a long-term headwind. Moody's believes
that this will be partially offset by growth in products that are
used as alternatives to antibiotics in protein production. In
addition, as other public rivals are making their antibiotics
business less of a priority, Huvepharma would be able to increase
its share in a shrinking market.

Governance considerations include Huvepharma's concentrated private
ownership structure, because the company is ultimately controlled
by the Domuschiev family, which creates a risk of rapid changes in
the company's strategy, financial policies and development plans.
However, the owners' historically conservative financial policy
towards Huvepharma partly mitigate the company's exposure to
excessive shareholder distributions. In addition, dividend payments
will likely remain at moderate levels over the next few years,
according to the company.

RATIONALE FOR THE POSITIVE OUTLOOK

The positive outlook reflects Moody's expectation that the company
will sustain its robust and profitable growth and scale down
investment spending, resulting in sizeable positive FCF; gradually
reduce its debt; pursue a balanced financial policy; and decrease
debt/EBITDA below 3.0x over the next 18 months.

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

Moody's could upgrade Huvepharma's rating if the company were to
(1) continue to increase its scale and demonstrate robust
operational performance; (2) reduce its adjusted gross debt/EBITDA
below 3.0x on a sustainable basis while maintaining retained cash
flow/net debt above 20%; and (3) maintain a strong liquidity
profile and positive post-dividend FCF.

Moody's could stabilise the outlook if the company fails to achieve
the targets for an upgrade above over the next 12-18 months.

Moody's could downgrade the rating in the event of (1) a material
deterioration in the company's competitive position within its core
product lines; (2) a negative impact on its operating performance
owing to increasing regulatory risks; (3) aggressive debt financed
M&A deals or shareholder distributions; or (4) other related
developments that could weaken its liquidity position, or increase
its leverage, with adjusted gross debt/EBITDA trending towards 4.5x
and retained cash flow/net debt trending towards the low teens in
percentage terms on a sustained basis.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Manufacturing
Methodology published in March 2020.

Huvepharma International BV is a vertically integrated developer,
manufacturer and distributor of a wide range of health products for
livestock. The company sells its products in more than 100
countries, with Europe and North America being its key markets. In
the 12 months ended March 31, 2020, the company generated EUR566
million of revenue.




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

NORSK HYDRO: Egan-Jones Lowers Senior Unsecured Ratings to BB-
--------------------------------------------------------------
Egan-Jones Ratings Company, on June 2, 2020, downgraded the foreign
currency and local currency senior unsecured ratings on debt issued
by Norsk Hydro ASA on to BB- from BBB-.

Headquartered in Oslo, Norway, Norsk Hydro ASA is a supplier of
aluminum and aluminum products.


NORWEGIAN AIR: Q1 Losses Widens Due to Pandemic
-----------------------------------------------
Reuters reports that the financial losses of Norwegian Air widens
as COVID-19 impacted the global travel industry, said the company
on May 28,2020, days after it complete a financial rescue of
creditors, who took control of the carrier.

The company reported January to March 2020 pretax loss of 3.28
billion Norwegian crowns (US$332 million) versus a loss of 1.98
billion a year earlier, Reuters discloses.

In March 2020, it furloughed some 7,300 employees, or about 90% of
its staff, and in April 2020 subsidiaries in Denmark and Sweden had
filed for bankruptcy, Reuters relays.

"The company is currently in hibernation mode and at the same time
is conducting significant restructuring of the organisation,
including establishing a new strategy and updated business plans,"
Reuters quotes the budget airline as saying in a statement.

Before the COVID-19 outbreak, Norwegian had set out a plan to
regain annual profitability in 2020 after posting losses for three
consecutive years, but instead found itself fighting to survive,
Reuters notes.

"Our goal is to ensure that Norwegian has a strong position in the
future airline industry with a clear direction and strategy,"
Reuters quotes CEO Jacob Schram as saying in a statement.

The airline has grounded most of its fleet and this month secured
NOK3 billion in government loans after completing a NOK12.7 billion
debt conversion and share sale, Reuters recounts.

A preliminary recovery plan published in April 2020 calls for
operating just seven aircraft for up to a year, followed by a
gradual build-up to 110-120 aircraft in 2022, down from a current
fleet of 147, Reuters notes.

"As soon as the world returns to normalcy, we will be prepared to
return with improved service to our customers," Mr. Schram, as
cited by Reuters, said.

                       About Norwegian Air

Norwegian Air is a low-cost international airline that carries
millions of passengers and generates billions in revenue on an
annual basis.




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

AUTONOM SERVICES: Fitch Assigns B+ LongTerm IDR, Outlook Negative
-----------------------------------------------------------------
Fitch Ratings has assigned Autonom Services S.A. (Autonom) a
Long-Term Issuer Default Rating (IDR) of 'B+' with Negative Outlook
and a senior unsecured debt rating of 'B-'.

KEY RATING DRIVERS

The Long-Term IDR of Autonom reflects its company profile as a
Romanian car lessor providing operational leasing and short-term
rental to SMEs where the market is, by global standards, small but
growing. The rating factors in Autonom's small but growing
franchise, adequate profitability, reasonable asset quality,
experienced management team and a funding profile that is
predominantly secured.

The Negative Outlook primarily reflects Fitch's view that the
fallout from the coronavirus pandemic will put pressure on
Autonom's asset quality and profitability, as well as constrain
potential funding access, limiting near-term growth prospects.

Fitch notched down twice Autonom's senior unsecured debt rating
from the company's Long-Term IDR, to reflect its contractual
subordination to predominantly secured funding. Consequently, Fitch
has assigned a Recovery Rating of 'RR6' to outstanding senior
unsecured debt, indicating expectations of below-average
recoveries.

Autonom has a moderate franchise by international standards in the
growing segment of operational fleet leasing in Romania (total
assets of RON656 million at end-2019). Autonom caters to Romanian
SMEs, mostly outside Bucharest, which are not served by its
international competitors. Autonom also offers short-term rental
solutions (about 25% of its fleet), but only a minor portion of
these is dependent on tourist arrivals at airports.

Autonom is a family-owned company, founded by brothers Marius and
Dan Stefan. A longstanding management team, an articulated
medium-term strategy and the intention to adopt managerial best
practices partly mitigate key-person risks in relation to its
founders and less developed corporate governance, which is in line
with other privately-held peers'. The latter is reflected in
Fitch's ESG governance score of '4'. Autonom reacted swiftly to the
coronavirus crisis, but Fitch expects that previously-defined
targets will come under pressure.

Autonom reported new gross unpaid receivables-to-gross lease income
of 4.1% in 2019. However, Fitch sees SMEs as intrinsically
high-risk, also in light of Romania's less developed and
potentially more volatile operating environment, increasing the
exposure to residual-value risk. Swift repossession, low
concentration by counterparty, higher yield on SMEs and the secured
nature of operational leasing help to partly mitigate some of the
credit risk.

Autonom's focus on corporate clients and lower exposure to volumes
reliant on tourism arrivals and airport traffic helps to reduce the
vulnerability of profitability to the current economic crisis. An
adequate all-in yield on its fleet supports Autonom's
profitability, but which Fitch expects to moderate and remain
sensitive to short-term currency volatility. Fitch treats
depreciation charges as a regular business expense for Autonom,
because the company needs to renovate its fleet on a rolling
basis.

Fitch's assessment of the Autonom's funding profile is constrained
by a high share of secured funding (about 80% at end-2019), mostly
encumbered assets (about 75% at end-2019) and outstanding covenant
breaches, which result in reclassification of borrowings to
short-term, causing maturity mismatches, all of which has the
potential to constrain funding flexibility. Funding and liquidity
risks are partly balanced by Autonom's more recent initiatives to
diversify funding sources.

RATING SENSITIVITIES

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

Material deterioration in asset quality negatively impacting
earnings and cash-flow generation capacity.

Weaker funding flexibility or rising refinancing risks driven by
deterioration in economic conditions.

Deterioration in Autonom's competitive position.

A downgrade of Autonom's Long-Term IDR would be mirrored in a
downgrade of the senior unsecured debt rating.

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

A material increases of business scale with maintenance of sound
profitability and adequate leverage, coupled with a more formalized
governance structure.

Further diversification and extension of the funding profile,
especially in unsecured debt, would together with other factors
support a higher rating.

The senior unsecured debt rating could be upgraded following an
upgrade of Autonom's Long-Term IDR or following an upward revision
of recovery expectations, for example due to a lower share of
secured debt.

ESG CONSIDERATIONS

Autonom has an ESG Relevance Score of 4 for key-person risk.

Except for the matters discussed above, 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, either due to their nature or to the way in which they
are being managed.




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

X5 RETAIL: S&P Raises ICR to 'BB+' on Strengthening Credit Metrics
------------------------------------------------------------------
S&P Global Ratings upgraded Russia-based retailer X5 Retail Group
N.V. to 'BB+' from 'BB'.

S&P said, "We expect lower leverage and sustainably stronger credit
metrics due to healthy demand in the food retail segment, cost
control, and cash preservation measures amid lower interest rates.

"Our upgrade of X5 reflects our expectation that its revenue base
will grow by around 9% year-over-year (yoy) in the next 24 months,
supported by new store openings and by like-for-like growth,
allowing X5 secure its leading market share, which was 11.5% in
2019 (compared to 10.7% a year before) across Russia and widening
the gap with the peers, in particular with Magnit, whose market
share in food retail was 7.6% in 2019, according to X5. We factor
in that the management expects top-line growth of 11-12% per year
in 2020-2021.

"We believe revised capex will support X5's metrics in 2020, which
we currently expect to stay almost flat yoy at around Russian ruble
(RUB) 75 billion compared to around RUB85 billion we expected
previously. We also factor in the improving interest rate
environment with the Russian Central Bank rate down to 5.5% in
March 2020 from 6.0% previously. As a result, we now expect X5's
cash flow generation capacity will improve, allowing it to
gradually improve the adjusted debt to EBITDA ratio to around 3.1x
in 2020 from 3.3x in 2019, and support its FFO to debt sustainably
above 20% in 2020-2021."

X5 demonstrated strong results in the first quarter of 2020, and
this should shield it from a moderate slowdown of demand in the
subsequent quarters.  X5 posted revenue growth of 15.6% yoy in the
first-quarter of 2020. This was supported by an 11% selling space
growth and 5.7% like-for-like sales growth, out of which traffic
growth was 3.7%. S&P understands that part of this growth was
driven by consumer stockpiling due to COVID-19 fears, and believe
part of this demand would likely slow in the subsequent months of
2020 as lockdown measures relax and real incomes soften.
Nevertheless, in the COVID-19 environment, the proximity stores
format is gaining popularity at the expense of larger retail
formats. In the first quarter of 2020, X5's Pyaterochka stores
operating in the proximity stores segment generated around 79% of
the total revenues, having increased by 17.4% yoy driven by 6.1%
increase of like-for-like sales and 12.9% increase of selling
space.

S&P said, "The e-grocery segment should support growth, although we
do not factor in any contribution to EBITDA before 2022.   We
consider X5's development of its e-grocery segment to meet consumer
demand during the coronavirus pandemic, will contribute to its
top-line growth, although we do not expect the overall addition to
revenues to exceed several percentage points in the next year or
two. In April 2020, X5 gained the leading market position in the
Russian e-grocery market by turnover, including express delivery as
well as online supermarket operations, and it expects to expand to
other large Russian cities in the coming months from Moscow, Moscow
region, St. Petersburg, Nizhniy Novgorod, and Krasnodar.
Nevertheless, we do not factor in any contribution to EBITDA until
2022."

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

-- Health and safety

S&P said, "The stable outlook reflects our expectation that X5 will
maintain its leading market position in the Russian food retail
market and grow its business over the next 12-24 months with
broadly stable profitability margins. It also assumes the group
will expand its positive FOCF after all lease payments, and
gradually improve the headroom under its credit metrics. In
particular, we forecast that in 2020, X5 will post FFO to debt of
21%-23%, positive FOCF (after all lease payments), and dividend
payments only partially funded with debt at more beneficial
interest rates than was historically the case.

"We could take a negative rating action over the next 12 months if
X5 is unable to maintain its leading market position or continue
its profitable growth due to operational setbacks, fierce
competition, or softer macroeconomic conditions in Russia, thus
resulting in weaker earnings and cash flow generation. This would
result in adjusted FFO to debt falling to 20% or less, FOCF after
leases close to neutral, leading to increasingly debt-funded
dividend cover. Sizable debt-funded acquisitions or shareholder
returns significantly above our base case, leading to sustained
increase in leverage and weakening of cash flow metrics, could also
prompt a negative rating action.

"We view an upgrade over the next 12 months as unlikely at this
stage due to relatively limited headroom under the rating, even
taking into account the improvement in trading and credit metrics
incorporated in our base case. Likewise, COVID-19 prompted a high
level of uncertainty affecting trading conditions over the medium
term, which curbs upside potential for X5 rating at this time."




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

FOODCO BONDCO: S&P Cuts ICR to 'CCC-' on Debt Restructuring Risk
----------------------------------------------------------------
S&P Global Ratings lowered its rating on telepizza group subsidiary
Foodco Bondco SAU and its senior secured notes to 'CCC-' from
'CCC+'.

The downgrade reflects S&P's view that Telepizza's capital
structure has become unsustainable and the company could pursue a
debt restructuring within the next six months.

Telepizza announced on May 29, 2020, that it had engaged advisors
to evaluate potential options for their capital structure. While
the company has no near-term debt maturities, its secured notes
currently trade at a significant discount to par. In S&P's view,
the distressed trading levels and the company's announcement could
increase the likelihood of a debt exchange or restructuring under
which lenders receive less than originally promised. At the same
time, the company has an upcoming semiannual coupon payment of
EUR10.5 million in July, and it sees an increased risk of
nonpayment if liquidity continues to deteriorate.

Telepizza's operations have been significantly affected by
COVID-19.  In its first-quarter results presentation, Telepizza
noted the coronavirus outbreak's severe impact on the group's
earnings, despite the group generating about 60% of its revenue in
Spain from deliveries (pre-COVID 19). In Latin America, the impact
has been much more pronounced because of a lower proportion of
deliveries and strict lockdown measures. Weak top-line growth
translated into company-adjusted EBITDA (pre-International
Financial Reporting Standards [IFRS] 16) of EUR3.7 million, down
80% relative to first-quarter 2019. Performance further
deteriorated in April and May; in Chile, for example--the
second-largest market in Latin America in terms of number of stores
(as of March 2020)--system sales were down 75% in April.
Furthermore, Telepizza reported negative company-adjusted EBITDA of
EUR0.8 million in April and estimates EBITDA of EUR0.4
million-EUR0.6 million in May. Prior to the pandemic, performance
was also affected by social unrest in Chile during January and
February.

The company provided the market with EBITDA guidance for 2020,
expecting to achieve company adjusted EBITDA (pre-IFRS 16) of EUR17
million-EUR24 million. Reported EBITDA (pre-IFRS 16) will be lower
due to costs related to the Pizza Hut alliance and, in S&P's view,
by provisions of unrecoverable receivables in respect to billings
to franchisees.

In the context of lower profitability and significant cash burn,
S&P understands Telepizza has not yet been able to renegotiate its
agreement with Yum!, the owner of Pizza Hut and partner in the
alliance. The agreement sets an obligation for Telepizza to
transform all the Telepizza sites in Latin America and Chile to the
Pizza Hut brand within five years and 10 years, respectively, and
to open 1,300 stores over a period of 10 years. Telepizza announced
that failing to renegotiate the targets with Yum! could lead to the
termination of the agreement in 2021. As a result of this, and
given the paramount importance of this agreement to the group's
overall operations and growth and deleveraging prospects, the
group's capital structure's sustainability is called into
question.

Liquidity will come under pressure if Telepizza is not able to
secure additional funding.   The company reported a cash balance of
EUR77 million as of April 2020, and estimates cash burn of EUR22
million-EUR27 million in May, resulting in EUR50 million-EUR55
million cash. Telepizza provided guidance for year-end cash flow,
estimating negative cash flow available for debt service (that is,
before interest and additional debt issuance) of EUR14
million-EUR22 million. S&P said, "We understand that capital
spending will be in the range of EUR20 million-EUR30 million in
2020 and EUR60 million-EUR70 million in 2021 (including one-off),
in the absence of flexibility given by Yum!. We consider that the
viability of Telepizza's business depends partly on the health of
its franchisee base and the extent to which it receives payments
from franchisees; the continuity of some franchisees' operations
could be at risk."

While the company took several measures to reduce short-term cash
burn, including temporarily suspending rent for April and May,
increased use of its reverse factoring facilities, and temporary
lay-offs, it is facing liquidity pressures. The company announced
that it requires EUR95 million-EUR115 million of additional funding
before debt service to deliver its turnaround plan and maintain
adequate liquidity, including partial repayment of the drawn EUR45
million revolving credit facility (RCF). It is in discussions with
Spanish banks to obtain state-guaranteed financing of up to EUR20
million, but this has not been secured at this point.

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

-- Health and safety

The negative outlook reflects the heightened risk that the company
could default on its debt obligations or pursue a distressed debt
restructuring within the next six months.

S&P could lower its rating on Telepizza:

-- To 'SD' (selective default) if it completed a debt
restructuring or exchange offer that we considered distressed; or

-- To 'D' if it missed the upcoming interest payments due in July,
and we did not expect it to be paid within the grace period.

S&P could raise its ratings:

-- If Telepizza demonstrated a significant improvement in
earnings, provided that it has visibility regarding the future of
the alliance with Yum!; and

-- If the company improved its liquidity position and reduced the
risk of distressed debt restructuring.


GRUPO ALDESA: Moody's Upgrades CFR to B1, Outlook Stable
--------------------------------------------------------
Moody's Investors Service upgraded to B1 from Caa1 the corporate
family rating and to B1-PD from Caa1-PD the probability of default
rating of Spanish construction company Grupo Aldesa S.A. (Aldesa or
group). The outlook has been changed to stable from ratings under
review.

This action concludes the review process on Aldesa's ratings, which
Moody's had initiated on December 30, 2019 following the group's
announcement of its acquisition by Chinese CRCC International
Investment Group (CRCCII), which was completed on May 8, 2020.

RATINGS RATIONALE

The upgrade to B1 recognizes the completion of the acquisition of a
75% stake in Aldesa by CRCCII, a subsidiary of China Railway
Construction Corp Ltd (CRCC, A3 stable) via a EUR256 million
capital increase, and the subsequent redemption of its outstanding
EUR245 million senior secured notes on May 19, 2020. As a result,
refinancing risk for the group has been eliminated, which Moody's
factored into the previous Caa1 rating, besides the fast
deterioration in Aldesa's operating performance during 2019.
Moody's acknowledges the group's improved liquidity profile without
any near-term refinancing needs, expected slightly positive free
cash flow generation over the next two years and strong financial
support from CRCC, if and when needed.

The B1 rating incorporates a one notch uplift from Moody's current
B2 standalone rating assessment for Aldesa, reflecting the rating
agency's view of moderate strategic importance of Aldesa to its new
majority shareholder CRCC. Moody's expects Aldesa to benefit from
the sound operating track record and financial strength of CRCC,
one of the world's largest construction groups, supporting its
planned expansion in new regions and larger and more profitable
projects, including in the concessions segment.

At the same time, the B1 rating is constrained by Aldesa's recently
weakening operating performance and its typically volatile and
often negative free cash flow (FCF) generation in the past combined
with potential operational challenges as a consequence of the
current coronavirus-related macroeconomic weakness. In 2019, the
group's consolidated Moody's-adjusted FCF turned to EUR149 million
negative from EUR65 million positive in the prior year 2018, owing
to a considerable decline in earnings and a much higher than
anticipated working capital consumption. Moody's expects Aldesa's
FCF generation to remain volatile with difficult-to-predict working
capital needs also in the future, although its reduced interest
burden after the redemption of the senior secured notes (7.25%
coupon) in May 2020 should enable slightly positive FCF over the
next 12-18 months. The rating is also constrained by Aldesa's
continued high leverage in its restricted group, considering a 4.2x
reported gross debt/EBITDA ratio or 5.2x on a Moody's-adjusted
basis in 2019 (including adjustments for operating leases,
confirming and receivables factoring), pro forma for intercompany
financing received from CRCC, which the group used, among others,
to repay its outstanding EUR100 million revolving credit facility.
Anticipating 2020 to be a challenging year against a
coronavirus-driven slowdown in construction activity in most of
Aldesa's regions and segments, Moody's projects its adjusted
recourse leverage to temporarily exceed 6x by the end of this
year.

Moody's understands that Aldesa intends to continue to engage in
sizeable external financing in the form of factoring and confirming
lines. While these are partially uncommitted and need to be renewed
on an annual basis, Moody's regards the risk of non-extension as
very low currently.

LIQUIDITY

Aldesa's liquidity profile is adequate. This assessment
incorporates Moody's expectation of continuous financial support
from CRCC in case of need, considering that Aldesa currently lacks
any committed credit lines. Such support could be required during
times of spiking working capital or capital spending requirements,
but also from a possible repayment of utilized confirming lines,
i.e. if existing lines were terminated. That said, Moody's
understands that Aldesa recently signed a new framework agreement
with its main relationship banks, in which it extended the limits
of its confirming lines.

Following the redemption of the EUR250m senior notes and
cancellation of the RCF in May 2020, the group has no material debt
maturities.

OUTLOOK

The stable outlook balances the group's volatile FCF generation and
relatively high Moody's-adjusted financial leverage with its
improved liquidity position and Moody's assumption of consistent
support from its financially much stronger majority shareholder
CRCC.

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

The ratings could be upgraded if (1) the group builds a track
record of positive free cash flow, (2) Moody's-adjusted recourse
gross debt/EBITDA declines sustainably below 5x, (3) liquidity
remains at least adequate, (4) Aldesa establishes a prudent
financial policy under its new ownership by CRCC.

Downward pressure on the ratings would build, if Aldesa's (1) free
cash flow remains negative, (2) Moody's-adjusted recourse gross
debt/EBITDA exceeds 6x, (3) liquidity deteriorates, (4) signs of
weakening support from CRCC were to emerge.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Construction
Industry published in March 2017.

COMPANY PROFILE

Grupo Aldesa S.A., headquartered in Madrid, Spain, is a Spanish
construction company, mostly focused on transport infrastructure,
but also on construction of solar and wind energy plants. In 2019,
Aldesa generated sales of EUR798 million and reported consolidated
EBITDA of EUR65.5million (8.2% margin). Consolidated EBITDA
includes the group's non-recourse activities, which generated
around 40% of EBITDA during this period. The group's customer base
mainly consists of public entities with an increasing exposure to
private sectors. In 2019, Aldesa generated 65% of its revenue
outside of Spain, mainly in Mexico (43% of group revenue) and
Poland (15%).

REPSOL SA: Egan-Jones Lowers Senior Unsecured Ratings to BB-
------------------------------------------------------------
Egan-Jones Ratings Company, on, June 1, 2020, downgraded the
foreign currency and local currency senior unsecured ratings on
debt issued by Repsol S.A. on to BB- from BB.

Headquartered in Madrid, Spain, Repsol S.A., through subsidiaries,
explores for and produces crude oil and natural gas, refines
petroleum, and transports petroleum products and liquefied
petroleum gas (LPG).




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

SAS AB: S&P Lowers ICR to 'CCC' on Potential Debt Restructuring
---------------------------------------------------------------
S&P Global Ratings lowered its issuer credit rating on SAS AB to
'CCC' from 'B' and maintained the rating on CreditWatch with
negative implications, reflecting a high probability of a debt
restructuring within the next few weeks.

SAS will generate negative EBITDA and post unsustainable credit
metrics in fiscal 2020 (ending Oct. 31, 2020).  This is due to the
drop in air traffic demand in Scandinavia and globally, caused by
the pandemic, not being sufficiently offset by the airline's
ongoing initiatives. SAS has been taking steps to cope with the
collapse in air travel demand in recent months, including
cost-saving, operating efficiency, and cash preservation
initiatives, as well as capacity reductions. S&P said, "However, we
don't think these will be sufficient to counterbalance the severe
slump in revenue. We expect that cost-savings from the extensive
personnel restructuring plan, which involves up to 5,000
redundancies to adjust to reduced demand, will materialize only
from fiscal 2021 given the required six-month notice period. We
estimate that SAS's adjusted EBITDA will turn materially negative
in fiscal 2020, which combined with adjusted debt increasing to
more than Swedish krona (SEK) 40 billion (compared with SEK37
billion as of April 30, 2020) points to an unsustainable financial
leverage ratio."

S&P said, "We assess SAS's liquidity as weak, weighed down by
significantly negative operating cash flow we forecast in fiscal
2020.   We previously regarded SAS' liquidity as less than
adequate. We now expect SAS's liquidity sources will not cover uses
over the 12 months started May 1, 2020. Furthermore, we believe the
airline is dependent on further state support to meet its financial
commitments.

"We understand SAS is evaluating capital structure alternatives
under the currently negotiated recapitalization plan with key
shareholders, including Sweden and Denmark, as well as selected
stakeholders.   According to SAS, any potential solution will
require both government and market participation, as well as
burden-sharing measures involving stakeholders in the company. We
believe there is a high probability SAS will pursue a restructuring
of its debt obligations, which we would likely view as tantamount
to default."

As a part of its CreditWatch resolution, S&P will reassess SAS'
status as a government-related entity, as well as the likelihood of
government support.

At the 'CCC' stand-alone credit profile level, S&P's rating does
not factor in any notches for government support.

Environmental, social, and governance (ESG) factors relevant to the
rating action:  

-- Health and safety.

S&P said, "The CreditWatch negative reflects our view that there is
a high likelihood that SAS will embark on debt restructuring--such
that lenders would receive less than originally promised and we
would likely consider it distressed--in the next few weeks. We will
resolve the CreditWatch once we have more details regarding the
ongoing recapitalization efforts and clarity if the airline will
take steps to restructure its debt."




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

DEBENHAMS PLC: Cuts Hundreds of Office Employees
------------------------------------------------
James Davey, writing for Channel News Asia, reports that British
department store chain Debehhams cuts "hundreds" of jobs at its
head office as it decreases administrative functions to support a
small business in the future, people with knowledge of the
situation told Reuters.

One of the people said about 160 jobs had gone from Debenhams'
merchandising department and a similar number from buying. Other
jobs have gone in design and human resources, Channel News Asia
notes.

In April, Debenhams went into administration for the second time in
a year, seeking to protect itself from legal action by creditors
during the coronavirus crisis that could have pushed it into
liquidation, Channel News Asia recounts.

                          About Debenhams

Debenhams is the UK's largest department store group by number of
stores (166 in fiscal 2017), and operates internationally through
11 stores in the Republic of Ireland, six owned stores in Denmark
{which trade as Magasin du Nord), 63 franchise stores in more than
20 countries that are owned and operated by local partners, and
international online sales. The company is listed on the London
Stock Exchange has a market capitalisation of approximately GBP140
million.


DOLYA HOLDCO 18: Moody's Rates New USD Vendor Notes Due 2028 'B1'
-----------------------------------------------------------------
Moody's Investors Service assigned a B1 rating to Dolya HoldCo 18
Designated Activity Company's proposed USD-denominated vendor
financing notes (VFNs) due 2028. The outlook on the rating is
negative. All other ratings of the Virgin Media Inc. group (VMED)
remain unchanged.

The proposed USD-denominated VFNs due 2028 alongside the proposed
GBP-denominated add-on to Virgin Media Vendor Financing Notes III
Designated Activity Company's GBP500 million VFNs due 2028 which
will total approximately GBP800 million (equivalent) will be used
to refinance the existing GBP800 million Receivables Financing
Notes (RFNs) due 2024 issued by Virgin Media Designated Activity
Company.

Similar to Virgin Media Vendor Financing Notes III Designated
Activity Company, Dolya HoldCo 18 Designated Activity Company (to
be renamed Virgin Media Vendor Financing Notes IV Designated
Activity Company) is a Republic of Ireland-domiciled orphan special
purpose vehicle (SPV) created solely for the purpose of issuing the
VFNs.

RATINGS RATIONALE

The B1 rating for the new USD-denominated VFNs due 2028 is in line
with the B1 rating of the VFNs due 2028 issued by Virgin Media
Vendor Financing Notes III Designated Activity Company. The B1
rating on all VFNs is one notch lower than VMED's Ba3 Corporate
Family Rating (CFR) and senior secured debt ratings at Virgin Media
Investment Holdings Ltd, Virgin Media Bristol LLC, Virgin Media SFA
Finance Limited, and Virgin Media Secured Finance PLC, and a notch
higher than the group's B2 rated senior unsecured debt issued by
Virgin Media Finance PLC.

While the VFNs are issued out of independent special purpose
vehicles (SPVs) that are not owned or consolidated by VMED, the
majority of the proceeds from the VFNs are indirectly on-lent from
the SPV to VMED via the vendor financing program administered by
ING Bank N.V. (ING, rated Aa3 stable). This vendor financing is
reported as debt in VMED's consolidated audited financial
statements.

Under the vendor financing program, VMED and the supplier agree the
price for the goods/services. VMED sometimes receives a discount
from the supplier for early payment. The purchase order and the
invoice are issued at an agreed price and payment terms. VMED then
grosses up the invoice based on LIBOR + and uploads it to the ING
Vendor Financing Platform (ING VF Platform) with a new payment term
of up to 360 days from the invoice date. VMED makes an English law
Irrevocable Payment Undertaking (IPU) with respect to the Vendor
Financing Receivable (Receivable). The ING VF Platform then pays
the supplier and subsequently becomes the owner of the Receivable.
The Receivable is thereafter sold by the ING VF Platform to the VFN
issuer. Ultimately, the VFN issuer is paid by VMED the grossed-up
value specified in the IPU at maturity of the Receivable.

To the extent there are insufficient trade payables available for
the VFN Issuer to fund, notes proceeds are on-lent from the SPV to
VMED group via unsecured credit facilities (the VM Facilities).
While the transaction operates through a rather complex structure,
VMED is ultimately responsible for the payment of coupon and
principal on the VFNs via the IPU arrangement and/ or the unsecured
loan under the VM Facilities.

The creditworthiness of the supplier is irrelevant for the
bondholders under this mechanism as the supplier sells the
receivable to the ING VF Platform and reduces its payment days.
ING's credit risk in contrast is to a certain degree relevant
because of its role as the sole intermediary in this transaction
but Moody's takes comfort from the protection that the transaction
agreements provide as well as ING's strong rating. Despite several
protection mechanisms built in to the transaction agreements, there
are certain structural risks such as commingling, that could
potentially lead to some delay or loss to bond holders in a
insolvency situation at VMED. While Moody's recognizes these risks,
it does not consider them material enough to affect the B1 rating
on the VFNs.

The VFNs have security over both the Receivables and the VM
Facilities. Both of these represent unsecured claims into VMED and
are supported by the key VMED entities (Virgin Media Investment
Holdings Ltd, Virgin Media Senior Investments Limited, Virgin Media
Limited and Virgin Mobile Telecoms Limited), which represent more
than 70% of VMED's total assets as of March 31, 2020 and more than
85% of VMED's revenue the last twelve months period to March 31,
2020. Both the Receivables and the VM Facilities are in particular
supported by Virgin Media Senior Investments Ltd, which sits in a
structurally senior position to the guarantors of the existing
unsecured bonds. The B1 ratings on the VFNs therefore reflect the
fact that the unsecured claims related to the VFNs are
contractually junior to the existing Ba3 rated VMED's Credit
Facilities and Senior Secured Notes, which benefit from fixed asset
security, and structurally senior to the existing B2 rated Senior
Unsecured Notes.

RATING OUTLOOK

The negative outlook reflects Moody's expectation that VMED will
experience continued pressure on revenues over the next 18 months
with limited de-leveraging from a high level.

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

While positive pressure on the rating in unlikely in the
short-term, the outlook could be stabilized if (1) operating
performance improves, (2) leverage decreases towards 5.0x through
among others, the use of excess cash for debt prepayment or by way
of an equity injection from the parent. Over time the rating could
be upgraded if VMED's (1) growth returns to healthy levels on a
sustained basis; (2) Moody's-adjusted gross debt/EBITDA falls below
4.0x on a sustained basis; and (3) cash flow generation improves,
such that it achieves a Moody's-adjusted CFO/debt above 20% on a
sustained basis.

Downward rating pressure on the ratings will arise if (1) VMED does
not take effective measures to reduce leverage towards 5.0x in the
short-term; (2) there is a sustained loss of momentum in VMED's
revenue-generating unit (RGU) and ARPU growth, resulting in weak
operating performance in and beyond 2019; and/or (3) VMED's
Moody's-adjusted CFO/debt sustainably deteriorates to below 15%.

PRINCIPAL METHODOLOGY

The principal methodology used in this rating was Pay TV published
in December 2018.

COMPANY PROFILE

VMED is a cable communications company, offering broadband
internet, television, mobile telephony and fixed line telephony
services to residential and commercial customers in the UK and in
Ireland. In 2019, VMED generated GBP5.2 billion in revenue and
GBP2.2 billion in Operating Cash Flow (as defined by VMED).


INTERNATIONAL GAME: Egan-Jones Lowers Sr. Unsecured Ratings to B-
-----------------------------------------------------------------
Egan-Jones Ratings Company, on June 3, 2020, downgraded the foreign
currency and local currency senior unsecured ratings on debt issued
by International Game Technology to B- from B.

Headquartered in London, United Kingdom International Game
Technology PLC designs, develops, manufactures, and distributes
computerized gaming equipment, software, and network systems.



MARKS & SPENCER: Egan-Jones Lowers Senior Unsecured Ratings to B-
-----------------------------------------------------------------
Egan-Jones Ratings Company, on June 3, 2020, downgraded the foreign
currency and local currency senior unsecured ratings on debt issued
by Marks & Spencer Group Plc to B- from B. EJR also downgraded the
rating on commercial paper issued by the Company to C from B.

Headquartered in London, United Kingdom, Marks & Spencer Group Plc
is a holding company.


THOMAS COOK: Collapse Prompts Germany to Launch Industry Fund
-------------------------------------------------------------
Oliver Gill at The Telegraph reports that Germany is launching a
travel industry lifeboat to protect customers' deposits after
thousands of holidaymakers suffered losses from the collapse of
Thomas Cook.

According to The Telegraph, Chancellor Angela Merkel's cabinet is
discussing the launch of an industry fund that pays out if travel
firms fall into bankruptcy, ensuring those who are unable to travel
can get a refund.

The proposal is likely to be closely watched by campaigners in
Britain, where millions of people are still waiting for money back
on cancelled flights booked before the Covid-19 pandemic struck,
The Telegraph notes.

European Union rules require companies to offer a refund for
cancelled trips, but swathes of companies are dragging their feet
due to fears they could go bust if forced to hand back what is
owed, The Telegraph states.

As reported by the Troubled Company Reporter-Europe on March 20,
2020, The Financial Times related that the collapse of Thomas Cook
will land the UK government with a bill of more than GBP156 million
and drain the travel industry's insurance scheme of funds just as
airlines have warned that they may not survive the summer.
According to the FT, the National Audit Office said in a report
that the Air Travel Organiser's Licence (Atol) scheme will pay
GBP481 million to refund Thomas Cook customers, wiping out almost
all of its resources.


VIRGIN ATLANTIC: Hires Financial Advisers Ahead of Restructuring
----------------------------------------------------------------
Brinkwire reports that advisers have been hired by a group of banks
invested in Virgin Atlantic Airways, ahead of an expected
restructuring of the firm, according to reports.

The group have asked Deloitte to advise them on the impact of being
exposed to Richard Branson's firm, Brinkwire relates.

According to Brinkwire, one source told Sky News it had at least
GBP250 million owed to them by the company.

The airline has been facing problems since the start of the
coronavirus outbreak, Brinkwire notes.  Virgin put administration
advisers, Alvarez & Marsal (A&M), on standby in case it went bust,
Brinkwire recounts.

It has already confirmed it will make around a third of its staff
redundant in an attempt to stay afloat, Brinkwire states.

At one point, it was expected Mr. Branson would ask the Government
for a bailout due to the impact of the pandemic, Brinkwire relays.
But this was scrapped after facing criticism, Brinkwire notes.

According to Brinkwire, Ryanair boss Michael O'Leary said at the
time that Branson -- worth an estimated GBP3.8 billion -- should
"bail himself out" while a petition was set up calling for him to
be stripped of his knighthood.

A Virgin Atlantic spokesperson, as cited by Brinkwire, said:
"Because of significant costs to our business caused by
unprecedented market conditions which the Covid-19 crisis has
brought with it, we are exploring all available options to obtain
additional external funding."

"Houlihan Lokey has been appointed to assist the process, focusing
on private sector funding. Meanwhile, we continue to take decisive
action to reduce our costs, preserve cash and protect as many jobs
as possible."

"Discussions with a number of stakeholders continue and are
constructive, meanwhile the airline remains in a stable position."

"Virgin Atlantic is committed to continuing to provide essential
connectivity on competitive terms to consumers and businesses in
Britain and beyond, once we emerge from this crisis."

In an attempt to get back on its feet, the 2021 schedule has now
been announced for flights, Brinkwire notes.

                   About Virgin Atlantic Airways

Virgin Atlantic is one of Great Britain's major international
airlines, headquartered in London. It utilizes a fleet of Airbus
and Boeing wide-body aircraft. It operates a network of
international services to North America, the Caribbean, Africa and
Asia from its hub at London's Heathrow.


VODAFONE GROUP: Egan-Jones Lowers Senior Unsecured Ratings to BB+
-----------------------------------------------------------------
Egan-Jones Ratings Company, on June 2, 2020, downgraded the foreign
and local currency senior unsecured ratings on debt issued by
Vodafone Group PLC on to BB+ from BBB-.

Headquartered Berkshire, United Kingdom, Vodafone Group PLC is a
mobile telecommunications company providing a range of services,
including voice and data communications.


[*] S&P Puts Ratings on 7 Classes From 6 European CLOs on Watch Neg
-------------------------------------------------------------------
S&P Global Ratings placed its ratings on seven classes from six
reinvesting European broadly syndicated collateralized loan
obligations (BSL CLOs) on CreditWatch with negative implications.

During the past few weeks, a growing number of companies with loans
held in European CLOs have experienced negative rating actions,
largely due to coronavirus-related concerns and the current
economic dislocation. The negative CreditWatch placements primarily
affect our rated BSL CLOs that are in their reinvesting period.

S&P said, "Our actions reflect a combination of multiple factors
that affected these transactions, with the primary one being the
increased exposure to 'CCC' category loans. Other factors include
pressure on the overcollateralization ratios, a decline in
portfolio credit quality, credit enhancement, and indicative
preliminary cash flow results. We also considered qualitative
factors to reflect our forward-looking view of the CLO portfolios.
In our analysis, based on the latest trustee report data available
as of May 27, 2020, some of the CLO tranches showed that the
break-even default rate (BDR) was lower than the scenario default
rates (SDRs)." Nevertheless, the seniority of those tranches in the
capital structure, available credit enhancement, the degree of
failure at the current rating levels, and available
overcollateralization ratio cushion resulted in no action on some
of the senior notes we rate.

"For CLO tranches rated 'B-' and below, in addition to the above
factors, we applied our 'CCC' criteria. Our rating analysis makes
additional considerations before assigning ratings in the 'CCC'
category or placing a 'B-' rated note on CreditWatch."

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."

S&P said, "We will continue to review the ratings on our remaining
transactions in light of these macroeconomic events. We will take
further rating actions, including CreditWatch placements, as we
deem appropriate.

'We typically resolve CreditWatch placements within 90 days after
we complete a cash flow analysis and committee review for each of
the affected transactions. As we work to resolve these CreditWatch
placements, we will attempt to contact the managers of these
transactions to ensure we have the most current data, including any
credit risk sales or other trades that may have occurred but have
yet to be reflected in trustee reports, and understand the
strategies for their portfolios moving forward."

  Ratings List

  Issuer    Class       ISIN           To rating       From rating

  Black Diamond CLO 2017-2 DAC
             F      XS1713078480 B (sf)/Watch Neg      B (sf)

  Black Diamond CLO 2019-1 DAC
             D      XS2010633613    BBB (sf)/Watch Neg    BBB (sf)

  Black Diamond CLO 2019-1 DAC
             E      XS2010634264    BB (sf)/Watch Neg     BB (sf)

  Cairn CLO VIII B.V.
             E      XS1693025535    BB (sf)/Watch Neg     BB (sf)

  Carlyle Global Market Strategies Euro CLO 2015-1 DAC
            D-R     XS2109448931    BB (sf)/Watch Neg     BB (sf)

  Dryden 35 Euro CLO 2014 B.V.
            E-R     XS2092261622    BB- (sf)/Watch Neg    BB- (sf)

  Dryden 52 Euro CLO 2017 B.V.
            E       XS1625026387    BB (sf)/Watch Neg     BB (sf)




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

[*] BOOK REVIEW: Mentor X
-------------------------
The Life-Changing Power of Extraordinary Mentors
Author: Stephanie Wickouski
Publisher: Beard Books
Hard cover: 156 pages
ISBN: 978-1-58798-700-7
List Price: $24.75

Order this Book: https://is.gd/EIPwnq

Long-time bankruptcy lawyer Stephanie Wickouski at Bryan Cave
impressively tackles a soft problem of modern professionals in an
era of hard data and scientific intervention in her third published
book entitled Mentor X. In an age where employee productivity is
measured by artificial intelligence and resumes are prescreened by
computers, Stephanie Wickouski adds spirit and humanity to the
professional journey.

The title is disarmingly deceptive and book browsers could be
excused for assuming this work is just another in a long line of
homogeneous efforts on mentorship. Don't be fooled; Mentor X is
practical, articulate and lively. Most refreshingly, the book
acknowledges the most important element of human development: our
intuition.

Mrs. Wickouski starts by describing what a mentor is and
distinguishes that role from a teacher, coach, role model, buddy or
boss. Younger professionals may be skeptical of the need for a
mentor, but Mrs. Wickouski deftly disabuses that notion by relating
how a mentor may do nothing less than change the course of a
protege's life. Newbies to this genre need little convincing
afterwards.

One of the book's worthiest contributions is a definition of mentor
that will surprise most readers. Mentors are not teachers, the
latter of which impart practical knowledge. Instead, according to
Mrs. Wickouski, her mentors "showed me secrets that I could learn
nowhere else. They showed me how doors are opened. They showed me
how to be an agent of change and advance innovative and
controversial ideas." What ambitious professional doesn't want more
of that in their life?

The practicality of the book continues as Mrs. Wickouski outlines
the qualities to look for in a mentor and classifies the various
types of mentors, including bold mentors, charismatic mentors, cold
and distant mentors, dissolute mentors, personally bonded mentors,
younger mentors, and unexpected mentors. Mentor X includes charts
and workbooks which aid the reader in getting the most out of a
mentor relationship. In a later chapter, Mrs. Wickouski provides an
enormously helpful suggestion about adopting a mentor: keep an open
mind. Often, mentors will come in packages that differ from our
expectations. They may be outside of our profession, younger, less
educated, etc . . . but the world works in mysterious ways and Mrs.
Wickouski encourages readers to think about mentors broadly.  In
this modern era of heightened workplace ethics, Mrs. Wickouski
articulates the dark side of mentors. She warns about "dementors"
and "tormentors" -- false mentors providing dubious and sometimes
self-destructive advice, and those who abuse a mentor relationship
to further self-interested, malign ends, respectively. She
describes other mentor dysfunctions, namely boundary-crossing,
rivalry, corruption, and a few others. When a mentor manifests such
behaviors, Mrs. Wickouski counsels it's time to end the
relationship.

Mrs. Wickouski tells readers how to discern when the mentor
relationship is changing and when it is effectively over. Those
changes can be precipitated by romantic boundaries crossed,
emergence of rivalrous sentiment, or encouragement of unethical
behavior or corruption. Mrs. Wickouski aptly notes that once
insidious energies emerge, the mentorship is effectively over. At
this point, certain readers may say to themselves, "Okay, I've got
it. Now I can move on." Or, "My workplace has a formal mentorship
program. I don't need this book anymore." Or even, "Can't modern
technology handle my mentor needs, a Tinder of mentorship, so to
speak?"

Mrs. Wickouski refutes that notion. She analyzes how many mentoring
programs miss the mark. In one of the best passages in the book,
Mrs. Wickouski writes, "Assigning or brokering mentors negates the
most critical components of a true mentor–protege relationship:
the individual process of self-awareness which leads a person to
recognize another individual who will give the advice singularly
needed. That very process is undermined by having a mentor assigned
or by going to a mentoring party." She does not just criticize; she
offers a solution with three valuable tips for choosing the right
mentor and five qualities to ascertain a true mentor in the
unlimited sea of possibilities.

Next, Mrs. Wickouski distinguishes between good advice and bad
advice. She punctuates that discussion with many relevant and
relatable examples that are easy to read and colorfully enjoyable.
This section includes interviews with proteges who have had
successful mentorships. The punchline: in the best mentorships, the
parties harmoniously share personal beliefs and values. Also
important, the protege draws inspiration and motivation from the
mentor. The book winds down as usefully as it started: Mrs.
Wickouski interviews proteges, asking them what they would have
done differently with their mentors if they could turn back the
clock. A common thread seems to be that the proteges would have
gone deeper with their mentors -- they would have asked more
questions, spent more time, delved into their mentors' thinking in
greater depth.

The book wraps up lightly by sharing useful and practical
suggestions for maintenance of the mentor relationship. She answers
questions such as, "Do I invite my mentor to my wedding?" and "Who
pays for lunch?"

Mentor X is an enjoyable read and a useful book for any
professional in any industry at, frankly, any point in time.
Advanced individuals will learn much from the other side, i.e., how
to be more effective mentors. Mrs. Wickouski does a wonderful job
of encouraging use of that all knowing aspect of human existence
which never fails us: proper use of our intuition.

                         About The Author

Stephanie Wickouski is widely regarded as an innovator and
strategic advisor. A nationally recognized lawyer, she has been
named as one of the 12 Outstanding Restructuring Lawyers in the US
by Turnarounds & Workouts and as one of US News' Best Lawyers in
America. She is the author of two other books: Indenture Trustee
Bankruptcy Powers & Duties, an essential guide to the legal role of
the bond trustee, and Bankruptcy Crimes, an authoritative resource
on bankruptcy fraud. She also writes the Corporate Restructuring
blog.



                           *********


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
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Europe subscription rate is US$775 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial subscription
or balance thereof are US$25 each.  For subscription information,
contact Peter Chapman at 215-945-7000.


                * * * End of Transmission * * *