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       T R O U B L E D   C O M P A N Y   R E P O R T E R

                          E U R O P E

          Tuesday, December 15, 2020, Vol. 21, No. 250

                           Headlines



D E N M A R K

NORDIC AVIATION: Covid-19 Impact Prompts Corporate Restructuring


G E R M A N Y

TUI AG: Gets EUR1.5 Billion Cash Injection from German Gov't


L U X E M B O U R G

EP BCO: S&P Alters Outlook to Negative, Affirms 'BB-' LT ICR


N O R W A Y

NORWEGIAN AIR: Creditors in Scandinavia File Claims of EUR170MM


R U S S I A

URALKALI PJSC: S&P Places 'BB-' ICR on CreditWatch Negative


S P A I N

HAYA REAL ESTATE: S&P Raises ICR to CCC+ on Debt Repurchase


U N I T E D   K I N G D O M

ARGENTUM 47: Has $230,000 Net Loss for the Quarter Ended Sept. 30
DELTIC GROUP: Files Notice of Intention to Appoint Administrators
INTERGEN NV: S&P Affirms B+ long-term ICR, Outlook Stable
RANGERS FC: Tax Bill Reduced by Further GBP3.1MM Amid HMRC Talks
TED BAKER: Losses Widen Due to Heavy Discounting Amid Pandemic

[*] UK: High Street Company Insolvencies Hit Private Credit Funds

                           - - - - -


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D E N M A R K
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NORDIC AVIATION: Covid-19 Impact Prompts Corporate Restructuring
----------------------------------------------------------------
Sandy Bhadare at ICLG.com reports that Nordic Aviation Capital is
the first large aircraft leasing company to be engaged in a
corporate restructuring due to Covid-19.

On Aug. 20, the company released a press statement announcing the
appointment of a new CEO, Patrick de Castelbajac, ICLG.com relates.


According to ICLG.com, in the same statement, the company published
its financial results for the 12 months ending June 30, 2020,
stating that the year has been "extremely challenging" for the
business and "while Nordic Aviation posted its strongest first-half
financial performance in its 30-year history, it was followed by
its most challenging last quarter to date on the back of the
Covid-19 pandemic".

In February, about a month before the Covid-19 pandemic began to
spread rapidly, the company priced a record-breaking private
placement of US$859 million, the largest private placement to be
made by an aircraft lessor, ICLG.com recounts.  

However, it stated in the August press release that "due to the
significant impact of Covid-19 on the business, material
impairments of goodwill and other intangible assets led to a loss
of US$639 million for the year", ICLG.com notes.

Shareholders collectively invested US$60 million of new equity into
the business in the year, ICLG.com discloses.

The company announced in August that the scheme of arrangement for
the restructuring had been approved, ICLG.com relays.

It said it was required "to ensure stability as the aviation market
gradually recovers", ICLG.com relates.

Linklaters acted for the ad hoc committee of unsecured revolving
credit facility credit agreement lenders on the US$6 billion
restructuring of Nordic Aviation, ICLG.com discloses.

The restructuring, which was implemented via a solvent Irish scheme
of arrangement, restructured English, New York and German governed
debt, ICLG.com states.

The restructuring scheme, unique to the market as it involved a
parent company acting as guarantor for debt owed by its affiliates,
has resulted in a years' standstill and a deferral of payments of
principal and interest on Nordic Aviation's borrowed money over the
next 12 months, ICLG.com says.

Also under the scheme, unsecured lenders were granted new security
over the entire previously unsecured fleet on 236 aircrafts,
ICLG.com discloses.

A world-leading aircraft leasing company, Nordic Aviation serves 75
airlines in over 50 countries.  The company is based in Denmark.




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

TUI AG: Gets EUR1.5 Billion Cash Injection from German Gov't
------------------------------------------------------------
Bryce Elder at The Financial Times reports that few companies have
had to move faster this year than Tui, whose AGM presentation in
mid February mentioned coronavirus only once. "

Barely a month later, the world's biggest tour operator was seeking
a bailout from the German government, its first of three in the
year to date, the FT discloses.

Results on Dec. 10 speak of the urgency to save the group from
extinction, the FT notes.

According to the FT, a EUR3 billion underlying loss for the year to
September was larger than expected but academic to its hastily
arranged, regularly replenished survival funds.  Tui chief
executive Fritz Joussen, as cited by the FT, said current liquidity
of EUR2.5 billion ought to see Tui through to profitability in
2022.

But with no financial targets given for 2021, and with new cost
savings only able to cut monthly cash burn to between EUR400
million and EUR450 million, his confidence is tricky to backtest,
according to the FT.

If recovery hopes prove misplaced, Germany can be relied upon to
step in with another rescue package, the FT says.  Haste has
distracted from the escalating costs, however, the FT notes.  Each
bailout pulls Tui closer to Berlin, the FT states.

A EUR1.5 billion cash injection agreed recently will give Germany's
economic stabilization fund a hybrid convertible instrument that's
valid for as long as Tui's debts go unpaid, the FT discloses.  It
gives Germany the option of seizing 25% of the group's equity at a
EUR1 per share conversion price, less than a quarter of the current
market value, the FT relates.  The fund also takes two seats on
Tui's supervisory board, the FT notes.

From profitability targets to balance sheet rebuilds, not much in
Tui's immediate future is within management's control, the FT says.





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

EP BCO: S&P Alters Outlook to Negative, Affirms 'BB-' LT ICR
------------------------------------------------------------
S&P Global Ratings revised its outlook on EP Bco S.A., the
nonoperating holding company of international port infrastructure
operator Euroports Holdings S.a.r.l. (Euroports), to negative from
stable and affirmed its 'BB-' long-term issuer credit rating on the
company.

S&P said, "At the same time, we are affirming our 'BB-' issue and
'3' recovery ratings on the first-lien term loan and RCF and our
'B' issue and '6' recovery ratings on the second-lien term loan.
The negative outlook reflects the risk that weaker operating
performance than we expect over the next six-to-12 months could
cause the company's FFO to debt fall below 7% and its adjusted debt
leverage to exceed 6.5x on a sustained basis."

The negative outlook reflects Euroports' growing debt and delayed
deleveraging.   The company plans to issue an incremental EUR50
million add-on to its term loan B to finance EUR40 million of
acquisition costs and repay EUR9 million of EUR18 million of RCF
borrowings. S&P said, "We expect that the company's S&P Global
Ratings-adjusted debt to EBITDA post the acquisition will remain
close to 7x in 2021, significantly higher than our previous
expectations. We also expect Euroports' funds from operations (FFO)
to debt to have no rating headroom in 2020-2022, at about 7% on
average, the same level as our downgrade trigger."

S&P's adjusted debt figure includes the addition of EUR25 million
of outstanding nonrecourse factoring liabilities and about EUR250
million of lease liabilities. A reduction in leverage will depend
on the company's ability to deliver on its growth strategy, which
includes improving the performance of its less profitable
terminals, increasing efficiencies, and capturing new business
opportunities, as well as better trading prospects.

In 2020, the EUR19 million of cost synergies Euroports has realized
since a consortium of three companies acquired it in 2018 has
mitigated the impact on the top line from the pandemic, resulting
in an improvement in profitability. S&P said, "However, in our
view, pandemic-related volatility in the commodity markets and
difficulties in gaining new clients in the current environment are
increasing risks around the execution and pace of improvements in
operating performance and credit metrics. Therefore, we expect a
delay in the company keeping to its budget and deleveraging."

The acquisition is a good fit in Euroports' portfolio.   Euroports
is looking to acquire shares from a joint venture partner in
Western Europe, as well as related assets that Euroports currently
leases. We see the acquisition as strategic for Euroports, because
it already has an established presence in the terminal area.
Furthermore, the acquisition will allow Euroports to diversify its
commodity mix, which is currently focused on traditional dry bulk
and break bulk industries, with forest products accounting for 46%
of total revenue in 2019.

Together, the term loan add-on and associated repricing are neutral
to Euroports' interest expenses.  Euroports is seeking to reprice
its EUR365 million first-lien term loan (including the proposed
add-on) by 25-50 basis points (bps), from the current rate of
EURIBOR +425 bps. The add-on, in conjunction with successful
repricing, would result in a limited impact, if any, on the
company's annual interest expense burden.

S&P Global Ratings believes there remains a high degree of
uncertainty about the evolution of the coronavirus pandemic.  
Reports that at least one experimental vaccine is highly effective
and might gain initial approval by the end of the year are
promising, but this is merely the first step toward a return to
social and economic normality; equally critical is the widespread
availability of effective immunization, which could come by the
middle of next year. S&P said, "We use this assumption in assessing
the economic and credit implications associated with the pandemic.
As the situation evolves, we will update our assumptions and
estimates accordingly."

S&P said, "The negative outlook on EP Bco reflects our expectations
that Euroports may not be able to maintain its FFO to debt above 7%
and reduce its financial leverage toward 6.5x on average for the
next few years. While the company has demonstrated some resilience
to the pandemic and the new shareholders were successful in their
introduction of cost-saving programs, the difficult operating
environment has increased execution risk for the company's growth
strategy, with delays in delivering some projects and difficulties
in winning new clients."

S&P could lower its ratings on EP Bco if:

-- Weighted average FFO to debt falls below 7% and debt to EBITDA
fails to recover to 6.5x on average over 2020-2022. This could
result from a setback in operating performance in connection with a
shortfall in revenues from key customers or a failure to achieve
the planned improvement in operating performance. Under S&P's
adjusted leverage metrics, a material increase in lease or
factoring obligations could also trigger a downgrade;

-- S&P's view of the company's business position weakens, for
example, as a result of the underperformance of key sectors, and a
failure to continue mitigating its exposure to trade volumes and
commodity prices through diversification and contractual
agreements;

-- The credit quality of Monaco Resources Group (MRG)--a global
group specializing in natural resources and Euroports' majority
shareholder--deteriorates as a result of additional leverage or
more severe operational underperformance than we expect at its
trading business (which S&P sees as risker than Euroports), and S&P
believes this will affect our ratings on EP Bco; and

-- A risk of breaching the springing covenant on total
consolidated net leverage, tested if drawings on the RCF exceed 40%
of the available commitment.

S&P could revise the outlook on EP Bco to stable if it is certain
that the company can maintain adjusted FFO to debt of at least 7%
and debt to EBITDA of no greater than 6.5x on a sustainable basis.
This would likely require the company to adopt a more cautious
financial policy.




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

NORWEGIAN AIR: Creditors in Scandinavia File Claims of EUR170MM
---------------------------------------------------------------
Barry O'Halloran at The Irish Times reports that creditors in
Scandinavia have filed claims of close to EUR170 million against
troubled airline Norwegian Air Shuttle (NAS), which has court
protection in the Republic and its home country.

NAS and five Irish subsidiaries which hold most of its assets got
provisional High Court protection from creditors last month, which
Mr. Justice Michael Quinn confirmed on Dec. 7, The Irish Times
recounts.

Mr. Justice Quinn also confirmed the appointment of Kieran Wallace
of KPMG as examiner to NAS, along with Irish-registered Arctic
Aviation Assets, three of that company's subsidiaries, and
Norwegian Air International, The Irish Times relates.

NAS itself was granted parallel protection in the Norwegian courts
the following day, The Irish Times discloses.  Irish lawyers for
the group, which owes creditors more than EUR4.1 billion, had said
it would seek this in anticipation of any action taken against it
in its home country, The Irish Times notes.

According to The Irish Times, filings show that 17 creditors owed a
total of NOK1.8 billion (EUR169 million) filed claims against NAS
in Oslo.  However, the protection granted by its local court means
that these debts cannot be enforced until that order is lifted, The
Irish Times states.  The creditors are mainly suppliers, some of
which have secured debts, according to The Irish Times.

Senior counsel Brian Kennedy for the companies that were placed in
examinership, told the High Court on Dec. 7 that the Irish
proceedings would take precedence over the Norwegian court action,
The Irish Times recounts.




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

URALKALI PJSC: S&P Places 'BB-' ICR on CreditWatch Negative
-----------------------------------------------------------
S&P Global Ratings placed the 'BB-' long-term issuer credit rating
on Uralkali PJSC on CreditWatch with negative implications.

Following the completion of the transaction, Uralkali is now owned
by a parent with potentially weaker credit quality.  On Dec. 2,
2020, Russian ammonia and phosphate fertilizer producer Uralchem
(ultimately owned by Dmitry Mazepin) increased its stake in
Uralkali to 81.47% from 46.37% by acquiring shares from Rinsoco
Trading Co. Ltd. (ultimately controlled by Dmitry Lobyak). Uralchem
has been one of Uralkali's key shareholders since March 2014 and
has helped determine its strategies and major business decisions,
including through board of directors representation. Uralchem is a
sizable supplier of fertilizers on the domestic market, with about
15% market share, and exported about half of its production in
2019. However, we understand that the company is comparably smaller
than S&P said, "Uralkali and faces strong competition in the
fertilizer market, notably from PhosAgro PJSC and EuroChem Group
AG. Based on public sources, we also consider that Uralchem may be
carrying sizable balance sheet debt. In our view, Mr. Mazepin and
Uralchem will likely have strong influence over Uralkali's
strategies and financial decisions, including payment of dividends,
following the transaction."

S&P said, "We understand that a merger of the two companies is
currently not contemplated.   In his public interview in early
December 2020, Mr. Mazepin revealed there are no plans to merge
Uralchem and Uralkali in the medium term. We think both companies
will continue operating separately, although there might be certain
logistical and marketing synergies. Mr. Mazepin mentioned there
will likely be no single management company for Uralchem and
Uralkali. We note recent leadership changes at both companies, with
Uralkali's former technical director, Vitaly Lauk, becoming its new
CEO. We will continue to monitor the situation to assess the impact
on Uralkali's corporate governance."

CreditWatch

S&P said, "The CreditWatch negative placement reflects our view
that we could lower the rating on Uralkali by one or more notches
upon our evaluation of Uralchem's business and financial positions.
This will depend on our assessment of the credit quality of the
wider group, its governance, the position of Uralkali within the
group, and potential effects on Uralkali's strategy and financial
policies. We plan to resolve the CreditWatch in the next three
months."




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

HAYA REAL ESTATE: S&P Raises ICR to CCC+ on Debt Repurchase
-----------------------------------------------------------
S&P Global Ratings raised its long-term issuer credit rating on
Haya Real Estate S.A.U (Haya) to 'CCC+' from 'SD' (selective
default) and its issue-level rating on the senior secured notes to
'CCC+' from 'D' (default).

The recovery rating on the notes remains '4', but it has increased
recovery prospects to '4' (35%) from '4' (30%) to reflect the
reduced outstanding debt.

Haya Real Estate S.A.U (Haya) has repurchased EUR51 million of
senior secured notes with cash, but S&P still views its capital
structure as unsustainable, with the notes due to mature in
November 2022.

S&P said, "The 'CCC+' long term issuer credit rating reflects our
view of the unsustainable capital structure, absent favorable
conditions.   Haya's senior secured notes mature in 2022 and we
anticipate that, absent favorable business, financial, or economic
conditions, it may not meet its financial commitments. Our current
expectation is that the company will likely not engage in any
further tender offers, which we would likely view as another
potential debt exchange, but instead build cash on the balance
sheet to support the upcoming refinancing. We acknowledge the
recent repurchase of EUR51 million of senior secured notes and the
company's existing cash balance, sufficient liquidity, and expected
continued free cash flow in the coming years. However, absent
significant new contract wins or a new portfolio pipeline, this may
be insufficient to address the upcoming maturity.

"We expect COVID-19-related effects to linger into 2021. Haya's
performance during 2020 was affected by both the pandemic and the
revised contract with Spain's government-owned "bad bank" SAREB.
The pandemic has created increased market uncertainty and delays in
the ligation processes, leading to lower asset sales and
collections and affecting volume fees as a result. The renewal of
the SAREB contract to mid-year 2022 incorporated a lower service
level and, in turn, a reduction in management fees. We expect about
a 50% decline on S&P Global Ratings-adjusted EBITDA as a full-year
impact of both factors. Similar to our base case in May 2020, we
expect a rebound in Haya's performance in 2021 as real estate
activity picks up. That said, we do not expect the company to
regain lost ground next year due to our forecast of continued
market uncertainty into 2021, which could lead to slower
collections and a weaker property market in the short term. In our
view, the industry will see its pipeline of assets under management
(AUMs) increase as the effects of the pandemic wear off and bank
moratoriums ease in second-half 2021, which could be a potential
opportunity for Haya. However, absent new contract, wins we believe
that greater uncertainty remains regarding its refinancing.

"Haya's contract diversity and maturity still constrain the rating.
  We note that the SAREB contract, which was recently renewed at
reduced terms, still represents a meaningful portion of the
company's EBITDA. Absent the addition of a contract extension with
SAREB or meaningful new contract wins, we believe that short-term
refinancing risk is heightened, which is reflected in our negative
outlook."

S&P Global Ratings believes there remains a high degree of
uncertainty about the evolution of the coronavirus pandemic.  
Reports that at least one experimental vaccine is highly effective
and might gain initial approval by the end of the year are
promising, but this is merely the first step toward a return to
social and economic normality; equally critical is the widespread
availability of effective immunization, which could come by the
middle of next year. S&P said, "We use this assumption in assessing
the economic and credit implications associated with the pandemic.
As the situation evolves, we will update our assumptions and
estimates accordingly."

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

-- Health and safety

The negative outlook reflects the uncertainty surrounding
COVID-19's impact on operations in the coming year and Haya's
ability to win or extend contracts in the run up to the pending
maturity of the senior notes. It also highlights the heightened
pressure on the rating, absent an improvement in business
operations, and the increased refinancing risk as a result.

S&P said, "We could lower the ratings if the company faces greater
operational disruption than anticipated, which in our view
heightens timely refinancing risk. This would likely mean a
slower-than-expected rebound in EBITDA or no favorable uplift from
new contracts, primarily due to the prolonged effects of the
pandemic.

"Similarly, if we felt the company was more likely to enter into a
further distressed exchange offer, this would likely lead to a
downgrade by more than one notch.

"We could revise the outlook to stable if Haya materially adds to
its AUMs with new contract wins to support EBITDA growth,
deleveraging, and continued cash generation that could minimize
refinancing risk on the pending senior secured notes. New contract
wins would also support diversification with existing customers and
extend the maturity profile of the portfolio."




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U N I T E D   K I N G D O M
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ARGENTUM 47: Has $230,000 Net Loss for the Quarter Ended Sept. 30
-----------------------------------------------------------------
Argentum 47, Inc. filed its quarterly report on Form 10-Q,
disclosing a net loss of $229,969 on $19,382 of revenue for the
three months ended Sept. 30, 2020, compared to a net income of
$275,164 on $23,549 of revenue for the same period in 2019.

At Sept. 30, 2020, the Company had total assets of $1,143,912,
total liabilities of $2,243,233, and $1,099,321 in total
stockholders' deficit.

Argentum 47 said, "The Company had a net income of US$17,523 and
net cash used in operations of US$283,517 for the nine months ended
September 30, 2020; working capital deficit, stockholder's deficit
and accumulated deficit of US$503,444, US$1,099,321 and
US$13,205,665, respectively as of September 30, 2020.  It is
management's opinion that these factors raise substantial doubt
about the Company's ability to continue as a going concern for
twelve months from the issuance date of this report."

A copy of the Form 10-Q is available at:

                       https://bit.ly/3494oEV

Argentum 47, Inc. provides corporate advisory services worldwide.
It operates through two segments, Consultancy and Insurance
Brokerage. The company offers general business consulting and fund
administration, as well as exchange listings and quotations on OTC
markets quotation boards. It also provides services, such as
corporate restructuring, exchange listings and development for
corporate marketing, investor and public relations, regulatory
compliance, and introductions to financiers. In addition, the
company offers computerized investment management services that
include advising on investments in unit trusts, investment bonds,
shares, investment trusts, government bonds, and individual savings
accounts, as well as advices investors on pension contracts that
include personal pensions, executive pensions, small
self-administered plans, pension mortgages, and others. Further, it
provides brokerage services for lump sum or single premium
insurance policies and regular premium investment insurance
policies. The company was formerly known as Global Equity
International, Inc. and changed its name to Argentum 47, Inc. in
March 2018. Argentum 47, Inc. was founded in 2009 and is based in
Hedon, the United Kingdom.

DELTIC GROUP: Files Notice of Intention to Appoint Administrators
-----------------------------------------------------------------
Katherine Price at The Caterer reports that Deltic Group has filed
notice of intention to appoint administrators, although hopes
remain that the group could be rescued by an acquisition.

Deltic is one of many late night businesses hit hard by coronavirus
restrictions in the UK, The Caterer discloses.  It has been unable
to operate any of its venues as nightclubs since March, The Caterer
notes.

According to The Caterer, names that have been reported as
interested bidders include Scandinavia's largest nightlife group
Rekom, and private equity firms Greybull Capitaland Aurelius.

Until this year, Deltic Group ran 53 clubs and late-night bars
across the UK, with brands including Atik, Prysm and Oceana, The
Caterer states.  

The business put itself up for sale in October in a bid to stave
off bankruptcy, The Caterer relates.


INTERGEN NV: S&P Affirms B+ long-term ICR, Outlook Stable
---------------------------------------------------------
S&P Global Ratings affirming our 'B+' long-term issuer credit
rating on U.K.-based energy producer InterGen N.V.

The stable outlook reflects S&P's expectation that the group will
maintain S&P Global Ratings-adjusted debt to EBITDA significantly
below 5x and funds from operations (FFO) to debt above 12% for 2020
and 2021, making no large debt-funded acquisitions or large
dividend distributions over that period.

Accelerated pound sterling notes' redemption supports further
deleveraging and will offset an expected weaker operating
performance for 2020.   S&P said, "We expect InterGen's operating
performance to weaken in 2020, compared with 2019, with EBITDA and
FFO down by about 20%. This decline relates to the pandemic's
negative impact on power demand (between 10% and 20% lower) and
short-term prices during lockdown in the U.K., coupled with
unplanned outages, notably at Rocksavage power plant. This impact
was somewhat mitigated by the provision of ancillary services to
the system operator, as the lower demand coincided with a
heightened level of volatility in U.K. power prices. In our view,
this illustrates both the flexibility and efficiency of InterGen's
U.K. power plants (where value often emerges only hours before
dispatch). It also demonstrates the growing opportunities offered
by additional demand for flexible generation, which stems from the
increase in renewables as a source of power generation in the U.K.
However, we also recognize that positive nonrecurring items
(approximately GBP20 million) were recorded in 2019, such as
business interruption insurance recoveries, and--coupled with the
recovery of capacity market payments from the fourth quarter of
2018, when the scheme was interrupted--these have partly
contributed to the operating performance decline."

S&P said, "Despite the relative weakness of the operating
performance this year, we expect the group's credit metrics to
remain sound for 2020 and 2021, thanks to prudent financial policy
measures and continuous deleveraging. In August 2020, InterGen
redeemed, using its available funds, the 7.5% GBP senior secured
notes due June 2021 with payment of GBP93.4 million. This has been
further extended with the repurchase of $10 million of its 7% U.S.
dollar senior secured notes due June 2023. We still expect free
cash flow to remain strongly positive for the coming years, and
InterGen benefits from robust near-term liquidity, with cash on
hand of GBP88 million as of September 2020, limiting any near-term
pressure on debt service. We also anticipate that capital
expenditure (capex) will remain modest for 2020, given the
relatively recent completion of the Welland (Spalding Energy
Expansion Limited or SEEL) open-cycle gas turbine (OCGT) project,
and do not expect dividends to exceed the exceptional GBP30 million
distributed in the middle of the year in conjunction with debt
repurchases."

Free cash flow for 2020 will reflect both the catch-up payment of
GBP36 million of capacity market payments during the scheme
interruption and a GBP37.3 million settlement with the U.K. energy
regulator (Ofgem), both roughly offsetting each other. The Ofgem
investigation had started in mid-2017 and was related to InterGen's
physical notifications on its plant availability and other dynamic
data that the group submitted to the National Grid about the
Rocksavage, Coryton, and Spalding power stations on several days in
the fourth quarter of 2016. The group settled the investigation in
April 2020 for GBP37 million. In our view, the incident is a
negative signal for the group's management and governance policies
and control. S&P said, "However, we understand that InterGen
implemented a comprehensive action plan to resolve the
shortcomings, including the introduction of stringent policies and
procedures, and the appointment of a new trading management team.
We therefore do not expect the incident to affect the group's
credit quality."

Key uncertainties remain beyond 2021 in terms of future cash flow
visibility and profitability, strategic prospects, and 2023
refinancing.   S&P said, "Despite the group's inherent ability to
generate robust positive free cash flow, we consider that its
contracted aspect remains relatively modest and will likely reduce
beyond 2021. This is because the Spalding CCGT power plant, which
comprises 27% of InterGen's global portfolio capacity, will likely
see the end of a well in-the-money tolling contract, at least in
its current terms, by September 2021. This contract provides a
significant part of the group's contracted cash flow, and we expect
its expiry, absent any extension from the off-taker, will lead to
reduced future cash flow visibility and potentially lower
profitability for U.K. assets." Other contracted cash flow comes
from capacity market payments for the group's Spalding, Coryton,
and Rocksavage power plants until 2024, Welland OCGT until 2035,
and the hedging program for 480 megawatts (MW) of capacity split
between two Australian coal-fired plants, Callide (203MW) and
Millmerran (276MW), in which InterGen has a 25% and 32.5% equity
interest, respectively. Both assets are partly hedged through 2022
with approximately 80% of 2020 and 2021 volumes sold at an average
price of about Australian dollar (A$) 60, above the current low
prices of a A$40.

S&P said, "In addition, we expect future distributions from
Australian assets to fall significantly for the next two years.
This is because the steady fall in Australian forward power prices
(to about A$40 September 2020 from about A$65 a year before) will
gradually be reflected into lower future free cash flow generation,
as higher prices-hedged positions mature by 2022. We also expect
future cash flow retention at Millmerran's project level to fund an
approximately GBP38 million (A$69 million) term debt due 2021.

"InterGen's future corporate strategy remains uncertain, and we
expect the group to continue to communicate publicly about the
strategy over the next 12-24 months, regarding the nature of future
investments (targeted technology, size, country of operation, type
of remuneration) and funding structures to be implemented. In our
view, this could lead to potential changes--not only to the group's
business risk profile, but also to its capital structure, if
InterGen were for example to make significant debt-funded
investments or acquisitions. The significant deleveraging
trajectory coupled with the resumption of dividend distributions
for 2020 are, in our view, opportunistic, and signal that the group
was still assessing its strategic options over the course of 2020.
At this stage, we expect InterGen will continue to target the
provision of flexible generation, essential for system stability,
in relying on its existing thermal generation assets.

"Understanding future strategy will be particularly crucial in our
view, as the group edges closer to the refinancing of its $410
million 7% senior secured notes (approximately GBP318 million) due
in June 2023 and accounting for most of its debt. In our view, the
refinancing must be considered against the backdrop of the
prevalence of environmental, social, and governance factors in
lenders' considerations, and how the perception of ESG-related
risks can negatively affect fossil fuel and carbon-intensive
generators such as InterGen.

"The stable outlook on InterGen reflects our expectation that the
group will maintain adjusted debt to EBITDA of 3x-3.5x and FFO to
debt of about 20%-25% for 2020-2021, making no large debt-funded
acquisitions or large dividend distributions over that period.
Furthermore, it indicates that power price and clean spark spread
and power demand will continue to recover in the U.K."

However, there is uncertainty regarding the group's future
strategic direction and financial policy.

S&P said, "We could lower our rating on InterGen if the group's
debt to EBITDA exceeds 5x and FFO to debt drops below 12% for a
prolonged period as a result of a significant deterioration in
profitability. This could occur if there were significant prolonged
unplanned outages for any of the group's assets, coupled with
prolonged unexpected declines in U.K. or Australian electricity
prices without any remediation measures implemented by the group.
Higher-than-expected gas prices in the U.K. or new and unfavorable
coal regulations in Australia could also lead to a negative rating
action.

"We could also lower the ratings if we were to notice a significant
reduction in revenue predictability beyond 2021 or if we consider
that InterGen fails to implement a credible refinancing plan ahead
of its 2023 U.S. dollar debt maturity.

"Finally, we could also consider a negative rating action if
InterGen's ownership demonstrated a more aggressive financial
strategy--for example, making large debt-funded acquisitions or
larger dividend distributions--leading to a weakening of the
group's balance sheet without any offsetting measures.

"We could raise our rating on InterGen if the group's future
strategy and capital structure become clearer and we believe credit
metrics will continue to stabilize its FFO to debt and debt to
EBITDA at significantly above 20% and below 4x. We believe that an
upgrade is also linked to the group's ability to increase future
revenue predictability; for instance, in expanding its proportion
of contracted revenue."


RANGERS FC: Tax Bill Reduced by Further GBP3.1MM Amid HMRC Talks
----------------------------------------------------------------
Greig Cameron at The Times reports that a further GBP3.1 million
has been wiped off the tax bill owed by the company which formerly
owned Rangers FC.

Sources in the financial sector told The Times the bill appeared
likely to be reduced further as liquidators confirmed they were
having "positive discussions" with HMRC.

According to The Times, an update to creditors by BDO, the
accountancy firm handling the liquidation of RFC 2012, also states
that a legal case against the former administrators of the business
is moving forward with a hearing set for May.

About GBP51 million of the tax claim is being disputed by
liquidators with the bulk of that relating to the use of employee
benefit trusts (EBTs), The Times discloses.


TED BAKER: Losses Widen Due to Heavy Discounting Amid Pandemic
--------------------------------------------------------------
Patricia Nilsson at The Financial Times reports that losses at Ted
Baker, the upmarket UK fashion brand, have ballooned during the
pandemic as it was forced into heavy discounting to offset the
slump in sales.

The chain, which this year launched a turnround after a series of
profit warnings, on Dec. 7 said pre-tax losses almost quadrupled,
increasing more than GBP63 million to GBP86 million in the six
months ending August, the FT relates.  Sales over the period
dropped 46% year on year to GBP170 million, the FT discloses.

According to the FT, retail margins fell steeply due to heavy
discounting that "was necessary for us to compete" and plummeting
demand for formalwear, which Ted Baker is best known for, as
coronavirus put a stop to most social events.

Ted Baker, as cited by the FT, said that online revenues rose 42%
in the period to GBP74 million.  This was, however, not enough to
offset a 70% drop in store sales that wiped out GBP112 million in
revenues compared with last year, the FT says.

Analysts at Liberum highlighted that cash flow had been good,
adding that while "Covid-19 has understandably impacted the
first-half profit performance", they were "optimistic" about Ted
Baker's turnround strategy, the FT notes.  They warned, however,
that trading would "remain challenging" in the wake of the
pandemic, the FT states.


[*] UK: High Street Company Insolvencies Hit Private Credit Funds
-----------------------------------------------------------------
Nikou Asgari and Robert Smith at The Financial Times report that
insolvencies among UK high street companies have ricocheted to
investors who made private loans to them, highlighting the limits
of central bank interventions that staved off a string of defaults
in the public debt market.

According to the FT, firms including Alcentra, KKR and Pemberton,
which specialize in making loans to private companies, have faced
losses as months of social restrictions punish a sector that was
already struggling before the spread of coronavirus.

The strain shows that while central banks have propped up public
debt markets, helping larger companies borrow their way out of
trouble, smaller businesses reliant on direct lenders have faced
more difficulties, the FT notes.

"Restructurings have been a bit of a mess because lenders are
trying to catch a rapidly falling knife," the FT quotes Leo
Fletcher-Smith, head of European private credit strategy at
advisory firm Aksia, as saying.  "Where it's been more fundamental,
and there has been lender enforcement, value erosion has often been
quite significant."

A string of insolvencies on the high street has been particularly
painful for private credit funds, which typically can recover only
pennies on the pound when retailers go bust, the FT discloses.

New lending from private credit funds slowed significantly in the
first half of the year, as these investors tried to help their
existing borrowers cope with the disruption stemming from national
lockdowns, the FT states.

"A lot of companies are really suffering and as a result direct
lenders are struggling," one private debt investor, as cited by the
FT, said.  "They are dealing with significant impairments or
private equity firms are having to put more money into these
businesses."

Many high street chains were already struggling with substantial
debts before the pandemic, but the imposition of
coronavirus-related restrictions tipped many bricks-and-mortar
businesses over the brink, the FT notes.

According to the FT, Anthony Forshaw, managing director at
investment bank Houlihan Lokey, said some mid-market loans had not
been well-drafted to cope with the sudden loss of earnings seen
this year.

Despite the turmoil, some credit funds that previously took over
high street chains through debt-for-equity swaps have managed to
sell the businesses this year, although they may not have recouped
their original investments, the FT relays.



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

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

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

This material is copyrighted and any commercial use, resale or
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