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

                          E U R O P E

          Wednesday, September 1, 2021, Vol. 22, No. 169

                           Headlines



G E R M A N Y

SGL CARBON: Moody's Affirms Caa1 CFR, Alters Outlook to Positive
ZF FRIEDRICHSHAFEN: Moody's Affirms 'Ba1' CFR, Outlook Negative


I T A L Y

COMDATA SPA: Moody's Hikes CFR to Caa1 & Rates EUR375MM Loan Caa1


R U S S I A

CB RUSSIAN: DIA to Send RUB646.23MM for Settlement with Creditors
NIZHNEKAMSKNEFTEKHIM PJSC: Moody's Alters Outlook on B1 CFR to Pos.


U K R A I N E

[*] UKRAINE: Insolvent Banks Get UAH134MM from Fund in July


U N I T E D   K I N G D O M

BHS GROUP: Fifth of Former Stores Remain Empty After Closure
NORTHERN POWEHOUSE: Llandudno Hotel Sold Out of Administration
PEAK JERSEY: S&P Affirms 'B-' Issuer Credit Rating, Outlook Neg.
PRISM ARCHITECTURAL: Enters Liquidation with Deficit of GBP4.46MM
[*] UNITED KINGDOM: Corporate Insolvencies Up 13% in July 2021


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G E R M A N Y
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SGL CARBON: Moody's Affirms Caa1 CFR, Alters Outlook to Positive
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Moody's Investors Service has affirmed SGL Carbon SE's corporate
family rating and probability of default rating at Caa1 and Caa1-PD
respectively. Concurrently Moody's has affirmed the B3 rating of
the EUR250 million guaranteed senior secured notes issued by SGL.
The outlook on the ratings has been changed to positive from
negative.

RATINGS RATIONALE

The change of the outlook on SGL's rating reflects i) improvements
in the company's liquidity profile as a result of proactive
liquidity management as well as positive FCF generation, and ii)
progress in the execution of the company's restructuring program.
The later results in improving profitability, which is also
supported by improving demand for the company's products across
most of its business units. Moody's expects that continued solid
demand in some key end-market for the company such as wind energy,
semiconductor and the automotive industry will support a
deleveraging to below 7x by year end 2021 from 8.9x (excluding
equity accounted income and non-recurring positive one off's but
including restructuring expenses) as of June 2021. Moody's also
expects that sound operating performance in combination with
continued capex discipline will result in positive FCF for the
year.

SGL's Caa1 rating at this junction remains constrained by lack of
track record of consistently growing its revenue base. Low capacity
utilization in particular at its former CFM business unit and a
cost structure set up for a higher revenue base did drag down the
company's profitability, which at this stage still remains weak
with Moody's adjusted EBITDA margin of around 9.5% (excluding
equity accounted income and non-recurring positive one off's but
including restructuring expenses) for the LTM June 21 period.
Moody's expects further improvements in the company's EBITDA margin
to around 12% by year's end.

These improvements are supported by a solid execution of its
restructuring program. The company's restructuring program was
initiated in response to the persistent margin weakness. The
restructuring program was announced in October 2020 and the company
expects this program to result in an increase in profitability of
more than EUR100 million by 2023. The company estimated that around
EUR60 million of targeted cost savings have been realized as of
June 2021. Continued successful execution of this restructuring
program will be one of the factors which will support any
improvements in credit quality and hence potential positive rating
actions in the future.

LIQUIDITY PROFILE

SGL's liquidity is solid. Its liquidity sources consist of an
undrawn EUR175 million RCF, around EUR184 million cash on its
balance sheet as of end June 2021 and forecasted internal cash
generation. These sources are sufficient to cover the company's
Moody's adjusted capital spending (around EUR60 million forecast
for 2021), working cash needs and unexpected swings in working
capital as well as cash outflow related to its restructuring
program in the next 12-18 months.

The company's RCF, maturing in January 2023 contains two covenants,
including a net debt/EBITDA covenant. Moody's rating incorporates
the expectation that the company will meet the covenant requirement
under its RCF at all times.

STRUCTURAL CONSIDERATIONS

SGL's outstanding guaranteed senior secured notes are rated B3,
which is one notch above the CFR, because they are, similar to the
obligations under the RCF, effectively senior to the EUR151 million
2023 convertible bonds. The rating assigned to the notes reflects
the fact that the senior secured notes are guaranteed by
subsidiaries representing in aggregate at least 70% of the
consolidated EBITDA of the group and are secured by share pledges.

OUTLOOK

The positive outlook on SGL's rating reflects the expectation that
the company will continue to demonstrate solid progress on its
restructuring program, which will support credit metrics in line
with a B3 rating in the next 12-18 months.

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

Moody's could consider upgrading SGL Carbon's rating if leverage
would decrease to below 7x on a sustainable basis, supported by a
sustainable EBITDA contribution of its Composite Solutions and
Carbon Fibers businesses. An upgrade would furthermore require that
the company consistently generates at least break even FCF,
maintains an adequate liquidity profile including comfortable
covenant headroom under its revolving credit facility at all times
and proactively addresses upcoming debt maturities.

Although currently unlikely, Moody's could downgrade SGL Carbon's
ratings if its liquidity profile became inadequate and if continued
operational underperformance would lead to an increased likelihood
of a debt restructuring.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Chemical
Industry published in March 2019.

ZF FRIEDRICHSHAFEN: Moody's Affirms 'Ba1' CFR, Outlook Negative
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Moody's Investors Service has affirmed the Ba1 corporate family
rating of ZF Friedrichshafen AG and its Ba1-PD probability of
default rating. Concurrently, Moody's has affirmed the senior
unsecured ratings of the company and its subsidiaries ZF Europe
Finance B.V., ZF Finance GmbH, ZF North America Capital, Inc. and
TWR Automotive Inc. The outlook on all ratings remains negative.

"The affirmation of the ratings with a negative outlook reflects
our expectation that ZF's profitability and credit metrics will
recover during 2021, but remain weak for a Ba1 rating over the next
two years", said Falk Frey, a Moody's Senior Vice President and
lead analyst for ZF. "Despite an expected market recovery in 2021,
the rating action also factors in a still unstable business
environment caused by the ongoing coronavirus pandemic, disrupted
supply chains, such as for semiconductors, and increasing raw
material and research and development (R&D) costs" added Mr. Frey.

RATINGS RATIONALE

The affirmation of ZF's ratings with a negative outlook reflects
Moody's expectation that ZF's profitability and credit metrics will
recover during 2021, but remain weak for a Ba1 rating over the next
two years including an EBITA margin (Moody's adjusted) of at least
5% (5.3% as of the 12 months that ended June 2021) and leverage of
a maximum of 3.5x debt/EBITDA (Moody's adjusted).

Moody's acknowledges the positive trend in key financial metrics ZF
has been able to generate in H1 2021, however, Moody's believe that
restoring credit metrics, in particular the reduction in leverage,
to levels prior to the covid pandemic will take at least until FY
2022 and the still unstable business environment provides low
visibility currently. While the company is working on measures to
cut costs and improve efficiency, these are partly mitigated by
cost inflation. Also, synergies from the recent Wabco acquisition
will take some time to materialize with upfront costs to incur.

ZF's Ba1 ratings continue to reflect the company's leading market
position as one of the largest tier 1 global automotive suppliers,
combined with its sizeable industry-facing operations, and regional
and customer diversification; clear focus on innovation and new
product development; positive strategic alignment to address the
disruptive trends of automotive electrification and autonomous
driving; relatively conservative financial policy, reflected in its
moderate dividend payments, which emphasises debt reduction and
cash flow generation; and good liquidity.

However, ZF's ratings also reflect the company's high leverage,
with debt/EBITDA (Moody's adjusted) of 5.9x as of the 12 months
that ended June 2021; its modest operating profitability, with an
EBITA margin of 5.3% as of the 12 months that ended June 2021,
although broadly in line with the industry average; ZF's continued
high capital and R&D spending, reflecting the group's focus on
innovation; and an increase in its leverage because of the
acquisition of Wabco (closed in the second quarter of 2020).

Moody's forecasts for the global automotive sector a 7% increase in
unit sales in 2021, with a recovery in the second half of some of
the sales lost in the first half of 2021 from the ongoing
semiconductor chip shortage. Moody's expect 2022 industry unit
sales to continue to grow at 6.1%. However, future demand for
vehicles could be weaker than Moody's current estimates, the
already competitive environment in the auto sector could intensify
further, and ZF could encounter greater headwinds than currently
anticipated.

LIQUIDITY

ZF has good liquidity over the next 12 months. As of June 30, 2021,
the company had EUR1.84 billion in cash and cash equivalents, and
EUR3 billion available under its revolving credit facility
agreements, compared with its current financial liabilities of
EUR1.3 billion. Moody's expect ZF to generate operating cash flow
of around EUR2.7 billion over the next 12 months, which will bring
its total liquidity sources to EUR7.6 billion.

This expected liquidity will be sufficient to cover cash uses of
around EUR4.9 billion, comprising debt repayments of EUR1.3
billion; estimated capital spending of EUR2.1 billion; an estimated
dividend payout of around EUR100 million- EUR150 million; an
estimated EUR300 million working capital build-up; and working cash
of EUR1.2 billion.

RATIONALE FOR THE NEGATIVE OUTLOOK

The negative rating outlook reflects the negative impact that the
pandemic will have on ZF's operating performance and credit metrics
at least into 2022; continued difficulties in the automotive
industry, such as electrification and disruptive technologies,
which require ongoing high amounts of R&D spending and limit FCF;
and the company's high leverage because of the debt-funded
acquisition of Wabco.

In this environment, it may be difficult for ZF to improve its
credit metrics by year-end 2022 to levels commensurate with the Ba1
rating, including an EBITA margin (Moody's adjusted) of at least 5%
(5.3% as of the 12 months that ended June 2021) and leverage of a
maximum of 3.5x debt/EBITDA (Moody's adjusted).

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

For a rating upgrade to Baa3 it would be conditional on ZF
achieving (1) a further improvement in its EBITA margin to above 7%
(Moody's adjusted), (2) a further reduction in its leverage, as
reflected by debt/EBITDA moving towards 3.0x (Moody's adjusted),
(3) retained cash flow (RCF)/net debt above 25% on a sustained
basis, and (4) FCF above EUR500 million a year.

ZF's ratings could be downgraded if the company's (i) EBITA margin
falls below 5%, (ii) debt/EBITDA increases above 3.5x on a
sustained basis, or (iii) FCF weakens to less than EUR500 million a
year.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Automotive
Suppliers published in May 2021.

LIST OF AFFECTED RATINGS

Affirmations:

Issuer: TRW Automotive Inc.

BACKED Senior Unsecured Regular Bond/Debenture, Affirmed Ba1

Issuer: ZF Europe Finance B.V.

BACKED Senior Unsecured Regular Bond/Debenture, Affirmed Ba1

Issuer: ZF Finance GmbH

BACKED Senior Unsecured Medium-Term Note Program, Affirmed (P)Ba1

BACKED Senior Unsecured Regular Bond/Debenture, Affirmed Ba1

Issuer: ZF Friedrichshafen AG

Probability of Default Rating, Affirmed Ba1-PD

LT Corporate Family Rating, Affirmed Ba1

Senior Unsecured Medium-Term Note Program, Affirmed (P)Ba1

Issuer: ZF North America Capital, Inc.

BACKED Senior Unsecured Regular Bond/Debenture, Affirmed Ba1

Outlook Actions:

Issuer: TRW Automotive Inc.

Outlook, Remains Negative

Issuer: ZF Europe Finance B.V.

Outlook, Remains Negative

Issuer: ZF Finance GmbH

Outlook, Remains Negative

Issuer: ZF Friedrichshafen AG

Outlook, Remains Negative

Issuer: ZF North America Capital, Inc.

Outlook, Remains Negative

COMPANY PROFILE

ZF Friedrichshafen AG (ZF), headquartered in Friedrichshafen,
Germany, is a leading global automotive technology company
specialised in driveline and chassis technology, and active and
passive safety technology. The company generates most of its
revenue from the passenger car and commercial vehicle industries
but delivers to other markets as well, including the construction
and agricultural machinery sector. ZF is one of the largest
automotive suppliers on a global scale, with revenue of EUR38.4
billion as of the 12 months that ended June 2021, similar in size
to Robert Bosch GmbH, Denso and Magna. ZF, which is owned by two
foundations, employs more than 147,797 people and is represented at
about 230 locations in 41 countries.



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COMDATA SPA: Moody's Hikes CFR to Caa1 & Rates EUR375MM Loan Caa1
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Moody's Investors Service has upgraded Comdata S.p.A.'s corporate
family rating to Caa1 from Caa3, as well as the company's
probability of default rating to Caa1-PD/LD from C-PD/LD. The "/LD"
designation on the PDR reflects a limited default assignment by
Moody's because the company's recent debt restructuring has
resulted in a material reduction of the company's senior secured
credit facilities and significant losses for Comdata's lenders,
which Moody's considers to be a distressed exchange, a form of
default under the rating agency's definition. The /LD will be
removed after three business days.

Concurrently, Moody's has assigned a Caa1 rating to the reinstated
EUR375 million senior secured term loan due 2024 borrowed by
Comdata (which has replaced the EUR510 million senior secured term
loan B and EUR85 million senior secured revolving credit facility
that were outstanding prior to the restructuring), and upgraded the
rating on the currently outstanding EUR224.9 million Series 1
senior secured notes due July 2024 issued by Comway SPV S.r.l.
(Comway) to Caa1, from Caa3. Additionally, the rating agency has
assigned Caa1 ratings to each of the currently outstanding EUR5.4
million Series 2, EUR10.5 million Series 3 and EUR9.5 million
Series 4 senior secured notes due July 2024 issued by Comway. The
outlook on all ratings is stable.

"The two notch upgrade to Caa1 reflects the reduction in leverage
and improvement in liquidity profile following the debt
structuring", says Fabrizio Marchesi, Moody's Vice President and
lead analyst for Comdata. "That said, the rating also reflects the
significant execution risk associated with delivering the future
gains in Moody's-adjusted EBITDA, which are required to achieve
positive free cash flow (FCF) generation on a sustained basis and a
further reduction in leverage, in order to ensure a truly
sustainable capital structure", added Mr. Marchesi.

RATINGS RATIONALE

Comdata's Caa1 CFR reflects the company's relatively weak credit
metrics, including high leverage, weak interest coverage and
limited FCF expected by Moody's over the next 12 to 18 months.

Comdata's operating performance recovered strongly in the first
half of 2021, following a significant downturn in 2020, when
lockdowns and social distancing measures led to a reduction in
demand and a shortfall in supply, due to a high level of on-site
absenteeism. The associated improvement in company-adjusted LTM
EBITDA to EUR63 million as of June 30, 2021, from only EUR39
million in 2020, in combination with a significant 37% reduction in
financial debt outstanding as a result of the debt restructuring,
has led to a reduction in Moody's-adjusted (gross) leverage to
around 8x as of June 30, 2021. That said, leverage remains elevated
and FCF, while no longer negative, is also dependent on a
temporary, part-suspension of cash interest payments agreed by
lenders until December 31, 2022.

According to Moody's projections, the company's operating
performance is likely to gradually improve, with company-adjusted
EBITDA rising towards EUR72 million in 2021 and EUR77 million in
2022. This will help Moody's adjusted leverage improve towards 7.5x
in 2021 and 7.3x, in 2022. That said, the rating agency considers
that there is a significant amount of uncertainty associated with
the aforementioned improvement, given the company's weak historic
financial track record. Moody's also notes that company-adjusted
EBITDA will need to increase to at least around EUR75 million in
order for FCF generation to at least break-even once interest
payments return to full cash-pay status starting in 2023. This
required improvement carries significant execution risk.

Comdata's Caa1 CFR also reflects the highly fragmented and
competitive customer relationship management & business process
outsourcing (CRM & BPO) industry, which could limit profitability
improvements; a relatively concentrated customer base; and risks
related to technological change, whereby increasing automation
could replace a portion of more routine end-customer requests from
physical agents.

Concurrently, the rating is supported by Comdata's position as a
leading operator in the European CRM & BPO sector, with a leading
share in the Italian market; its long-standing relationships with
key customers; and some geographic diversity.

Comdata is owned by private equity firm Carlyle. As is often the
case in highly levered, private equity sponsored deals, owners have
a high tolerance for leverage/risk.

LIQUIDITY

While Comdata's liquidity has improved following the debt
restructuring, Moody's considers that it remains weak, consisting
of EUR81 million of cash on balance at June 30, 2021 (proforma the
issuance of EUR25 million of super-senior notes as part of the
financial restructuring), as well as the presence of short-term
bilateral lines and uncommitted on-recourse factoring facilities,
which are expected to be renewed on an annual basis. The rating
agency considers that, while current levels of liquidity should be
enough to cover intra-month swings of around EUR30-40 million,
there is execution risk related to the company's ability to
generate positive FCF on a sustained basis and there is little room
for deviation from Moody's forecasts. Also, although there are no
material debt maturities until June 2024, when the super senior
notes and senior secured term loan are due, the company will
realistically need to consider how to refinance these by the end of
2022.

STRUCTURAL CONSIDERATIONS

The Caa1 instrument rating assigned to the reinstated senior
secured term loan is in line with the company's CFR, reflecting its
pari-passu ranking with other liabilities in the capital structure
such as trade payables. The reinstated senior secured term loan
benefits from share pledges over Comdata S.p.A. and each borrower
and guarantor. Guarantors represent equal or greater than 80% of
consolidated EBITDA of Comdata S.p.A. and its subsidiaries.

The Caa1 instrument ratings assigned to the Comway senior secured
notes are in line with the instrument rating on the reinstated
senior secured term loan, reflecting their pari-passu nature and
full pass-through characteristics.

The Caa1-PD/LD probability of default rating is at the same level
as the CFR, reflecting Moody's assumption of a 50% family recovery
rate.

RATIONALE FOR A STABLE OUTLOOK

The stable outlook incorporates Moody's expectations that the
company's operating performance will improve over time, leading to
a progressive deleveraging and Moody's adjusted FCF at least at
breakeven levels.

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

Upward rating pressure could develop over time if Comdata delivers
sustained revenue and EBITDA growth as well as a material reduction
in exceptional items; Moody's adjusted leverage improves to below
6x and Moody's adjusted EBITA/interest expense improves to around
1.5x, both on a sustained basis; and the company maintains an
adequate liquidity profile, supported by sustained positive Moody's
adjusted FCF / debt in the low single-digits.

Downward rating pressure could arise if the company fails to
deliver further improvements in operating performance, resulting in
a deterioration in its credit metrics and liquidity, and signs that
a further debt restructuring may be likely.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Business and
Consumer Service Industry published in October 2016.

COMPANY PROFILE

Headquartered in Milan, Italy, Comdata S.p.A. is the leading
provider of outsourced Customer Relationship Management (CRM)
services in Italy with a market presence in other European
countries and in Latin America. In 2020, the company reported
revenue and EBITDA, of EUR897 million and EUR39 million,
respectively, before IFRS 16 and exceptional costs (or EUR76
million on a Moody's adjusted basis). Following the leveraged
buyout (LBO) of the business in 2016, The Carlyle Group is the main
shareholder, owning approximately 85% of the group.



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CB RUSSIAN: DIA to Send RUB646.23MM for Settlement with Creditors
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AK&M reports that the DIA will additionally send RUB646.23 million
for settlements with creditors of the first stage of CB "Russian
Mortgage Bank" (LLC), whose claims are included in the register of
creditors' claims.

Thus, the percentage of satisfaction of the claims of creditors of
the first stage of the bank will be increased to 39.37% of the
amount of established claims, AK&M discloses.

According to AK&M, the increase in the percentage was achieved due
to the proceeds to the bankruptcy estate of funds received from the
sale of the bank's property.




NIZHNEKAMSKNEFTEKHIM PJSC: Moody's Alters Outlook on B1 CFR to Pos.
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Moody's Investors Service has changed the outlook to positive from
stable on the corporate family rating and probability of default
rating of Nizhnekamskneftekhim PJSC (NKNK or the company), a major
Russian petrochemical company located in the Republic of Tatarstan.
Concurrently, Moody's affirmed the company's B1 CFR and B1-PD PDR.

RATINGS RATIONALE

The change of outlook to positive follows the approval by the
Russian Federal Antimonopoly Service (FAS) of the contemplated
acquisition by Sibur Holding, PJSC (Sibur, Baa3 stable) of 100% of
voting shares of JSC TAIF, that will include at the time of the
deal closure three entities: NKNK, Kazanorgsintez PJSC (KOS) and
generation company TGK-16. The merged entity will account for
around 70% of total petrochemical production in Russia, and will
become one of the top five global polyolefins and rubbers
producers.

The change of outlook to positive reflects Moody's expectations
that the acquisition of the majority stake in the company by Sibur
via TAIF will over time enhance NKNK's credit profile via the
integration between the two businesses and credit support from a
stronger parent. The scope of credit linkages and rating support
will ultimately depend on the future organisational structure of
the larger group, financial policy and the level of minority
interests in the company.

The positive outlook is also supported by expected improvement in
NKNK's performance in H1 2021, however Moody's notes that on a
standalone basis NKNK's credit profile will remain vulnerable to
the volatility of the petrochemical markets because of the elevated
leverage amid active construction stage. However, becoming part of
a much larger group (NKNK's revenue and EBITDA would account for
around one-fifth and less than 10% of those of Sibur, respectively,
on a pro-forma basis) would support NKNK's business and market
positioning, improve efficiency of operations, bringing along
logistical and feedstock synergies, and underpin liquidity and
market access. Moody's also believes, that petrochemical sector
recovery in 2021 and more favourable than expected price
environment would underpin NKNK's cash flow generation this year
and somewhat alleviate the pressure of its investment project on
the company's standalone financial and liquidity profiles.

The B1 CFR takes into account NKNK's balanced product mix;
long-term contractual access to low-cost feedstock; and significant
share of export sales, which mitigates foreign currency risks.
NKNK's rating is constrained by its susceptibility to risks
inherent to the volatile petrochemical industry; its exposure to
risks associated with the recently launched, predominantly
debt-funded, large olefin project; and vulnerabilities associated
with NKNK's single-site location and moderate size. NKNK is exposed
to the operating environment in Russia (Government of Russia, Baa3
stable) and the Republic of Tatarstan (Tatarstan, Ba1 stable)
because the company generates half of its revenue in Russia, and
all of its production facilities and some of its major raw
materials suppliers are located in Tatarstan.

NKNK has a strong foothold in the international synthetic rubber
market. The company was the first to start production of halobutyl
rubber in Russia in 2004 and currently holds 16.3% share of global
halobutyl and butyl rubber market. The company also has strong
positions in polyisoprene and butadiene rubber. The efficiency of
rubber production at NKNK is driven by the manufacturing
integration with the olefin complex because its byproducts are used
as feedstock for rubber production. Three-quarters of the company's
rubber output is sold under long-term contracts with tyre
manufacturers.

NKNK is also the leading supplier of polystyrene, polypropylene and
polyethylene with 58.7%, 11.6% and 7.3% share of total production
in Russia, respectively.

LIQUIDITY

The company has a benign debt maturity profile with substantial
repayments only starting beyond 2024, following the launch of it
large-scale olefin project. According to Moody's estimates, NKNK's
liquidity is supported by around RUB30 billion (around $400
million) cash balances as of the end of June 2021. Moody's notes,
that the company is currently in compliance with its tightest net
debt/EBITDA covenant, which is embedded in its debt documentation
and is set at 3.5x for 2020-22. The agency expects NKNK to manage
its liquidity, including the pace of investments and cash balances,
in a prudent way to avoid breach of the covenant that would
constrain project-related disbursements and, in the worst case,
trigger the acceleration of outstanding debt, in part or in full.
In Moody's view, NKNK as part of the larger Sibur group will be
more favourably positioned to negotiate bank funding for the second
phase of its investment project, as well as access capital
markets.

RATIONALE FOR THE POSITIVE OUTLOOK

The positive outlook reflects the increasing likelihood that the
acquisition will go ahead as intended, with NKNK consolidated by
Sibur within the next 12-18 months. The development should improve
the company's market positioning and, to an extent, its access to
favourably-priced liquidity. The positive outlook is also supported
by Moody's expectation that NKNK's performance will improve in
2021.

ENVIRONMENTAL, SOCIAL AND GOVERNANCE CONSIDERATIONS

Moody's characterizes the risk to the commodity chemical sector as
"Emerging -- Elevated Risk". Air, soil and water pollution have
been and are likely to remain the primary environmental risks for
this sector. In 2020 NKNK completed its 2014-20 4th Environmental
Programme. In 2020, the company invested more than RUB828 million
into environmental activities that allowed to decrease the
consumption of river water by 14.8%, the volume of wastewater - by
7%, air emissions by 13.8%. The company also carries out a
comprehensive energy efficiency improvement programme.

Governance risks are an important consideration for all debt
issuers and are relevant to bondholders and banks because
governance weaknesses can lead to a deterioration in a company's
credit quality, while governance strengths can benefit a company's
credit profile. NKNK has a concentrated ownership structure. AO
TAIF and Telecom Management LLC own more than 50% of NKNK. There
are no other shareholders with more than 20% ownership. The
concentrated ownership structure creates the risk of rapid changes
in the company's strategy and development plans, revisions to its
financial policy and an increase in shareholder payouts that could
weaken the company's credit quality. Independent directors make up
less than one-third of the Board of Directors.

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

The ratings could be upgraded as a result of NKNK becoming part of
Sibur group, subject to further clarity on the final organisational
structure of the larger group and credit linkages between NKNK and
the parent.

Moody's would stabilise the outlook if the deal does not go ahead
as intended, and the company's financial and liquidity profiles
remain in line with Moody's expectations for the current rating
positioning. The ratings could be downgraded if NKNK continued to
operate on a standalone basis, and its credit quality deteriorated
beyond Moody's expectations for the current rating category, with
debt/EBITDA remaining above 5.5x and RCF/debt below 10% on a
sustained basis. A deterioration in liquidity (including covenants
management) and failure to secure funding for the olefin project
would also have a negative effect on the rating.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Chemical
Industry published in March 2019.

COMPANY PROFILE

Nizhnekamskneftekhim PJSC (NKNK) is a major Russian petrochemical
company located in the Republic of Tatarstan. NKNK's nine core
production units produce rubber, plastics, monomers and other
petrochemicals, and they are located on two adjacent production
sites that have centralised transportation, energy and
telecommunication infrastructure. In 2020, the company reported
sales of RUB154 billion and adjusted EBITDA of RUB29.5 billion. The
company derived around half of its revenue from export activities.
Of NKNK's ordinary shares, 81.16% (or 75.6% of the company's total
equity) are held by the TAIF group, a Tatarstan-based industrial
group operating oil and gas processing and petrochemical
businesses, along with operations in the telecommunication,
construction and banking sectors. The rest of the equity is in free
float. The Tatarstan government retains the golden share of NKNK,
which gives the government veto power over certain major corporate
decisions.



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[*] UKRAINE: Insolvent Banks Get UAH134MM from Fund in July
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Ukrinform reports that receipts of funds to banks liquidated by the
Individual Deposit Guarantee Fund in January-July 2021 amounted to
UAH1,377.7 million, of which UAH147.2 million was allocated in July
alone.

"Receipts by banks managed by the Fund in July 2021 amounted to
more than UAH147.2 million," Ukrinform quotes the Fund's statement
as saying.

According to Ukrinform, it is noted that the vast majority of
funds, UAH134 million, came in July to the accounts of insolvent
banks from the sale of assets through open and transparent
e-auctions.

The largest amounts of funds from the sale of assets in July were
seen by JSC JSCB Arkada (UAH96.3 million); VTB Bank JSC (UAH16.3
million); and JSC City Bank (UAH10.3 million), Ukrinform
discloses.

A total of UAH11.7 million was received from loan repayments, of
which the largest receipts were reported by PJSC CB Premium (UAH5.8
million); JSC JSCB Arkada (UAH5.6 million); and JSC Rodovid Bank
(UAH0.1 million), Ukrinform notes.

In July, banks managed by the Fund received UAH 1.5 million off of
property lease, Ukrinform relays.

In total, in January-July 2021, inflows of funds to insolvent banks
stood at UAH1,377.7 million, including UAH1,171.7 million from the
sale of property, UAH131.6 million from loan repayment, UAH64.9
million from repayment of securities, and UAH9.5 million from
property lease, according to Ukrinform.

As Ukrinform reported earlier, in June 2021, the inflow of funds to
banks liquidated by the Fund amounted to UAH927.5 million.




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

BHS GROUP: Fifth of Former Stores Remain Empty After Closure
------------------------------------------------------------
Joanna Partridge at The Guardian reports that revelations that a
fifth of former BHS stores remain empty on the fifth anniversary of
the chain's closure suggest gaps left by closed-down department
stores on UK high streets and in shopping centres may become
permanent.

According to The Guardian, out of BHS's 167 stores, 35 are still
unoccupied five years after their doors closed for the final time
in August 2016, according to research conducted for the Guardian by
the Local Data Company (LDC).

Kirkcaldy, Stevenage, Huddersfield, Hull and Ipswich are among the
many places that have not managed to find an occupier for their
former BHS store, The Guardian states.

Just over half (55%) of former BHS stores are occupied,
representing 92 sites -- with some taken over by other retailers,
while others have become adventure parks, The Guardian relays,
citing an analysis of the former BHS store estate.

Since the demise of BHS, the pandemic and months of shop closures
during successive lockdowns have accelerated consumers' switch to
online shopping and increased the pressure on struggling department
stores, The Guardian notes.

BHS collapsed into administration in April 2016, with the loss of
11,000 jobs, after the company ran out of money, The Guardian
recounts.  The 88-year-old retailer had been owned for just a year
by the serial bankrupt Dominic Chappell, who had bought it for GBP1
from Sir Philip Green, The Guardian discloses.

In the years since BHS's closure, 14% of the department store's
branches have been demolished, and 10% have either been split up or
merged with a different shop, The Guardian states.


NORTHERN POWEHOUSE: Llandudno Hotel Sold Out of Administration
--------------------------------------------------------------
Owen Hughes at BusinessLive reports that a hotel on Llandudno
seafront has been sold out of administration.

Gavin Woodhouse's company Northern Powehouse Development (NPD) saw
its hotels in Llandudno and the Conwy Valley go into the hands of
administrators Duff & Phelps in the summer of 2019, BusinessLive
recounts.

The Llandudno Bay Hotel, Queens Hotel and The Belmont Hotel in
Llandudno and Caer Rhun Hall near Ty'n-y-Groes had initially
continued to trade in administration but shut last year when the
pandemic hit, BusinessLive notes.

Now a deal has been done for the 61-bedroom Llandudno Bay Hotel
with sale agreements on other sites looking imminent, BusinessLive
states.

The sales had been complicated due to the leases held on the sites
by investors in the Gavin Woodhouse business, according to
BusinessLive.

The Serious Fraud Office (SFO) is investigating suspected fraud and
money laundering in relation to the conduct of business by Gavin
Woodhouse and individuals and companies associated with him,
BusinessLive discloses.

But now it looks hopeful that these key sites in the resort will
start to reopen in the coming months, BusinessLive relays.

North Wales Live had been told a deal had been done on Llandudno
Bay and this has been confirmed in an administrator's report by
Kroll Advisory, who have taken over the administration, for the
Belmont.  It states that Llandudno Bay has been sold, BusinessLive
notes.

It says Mysing, which was the main creditor and held the charge
over the hotel site, has received GBP351,000 from the sale of
Llandudno Bay, BusinessLive states.  It had been on the market for
GBP1.95 million, BusinessLive discloses.

Belmont, BusinessLive says, looks set to be next but administrators
say that the venture has to initially be placed in creditor's
voluntary liquidation.

This is because there are currently 'buy-back' agreements in place
for leaseholders which guarantee the purchase of the existing
leases for 125% of the original investment.

The report states that claims from the investors in Belmont total
over GBP543,000 while the total claims from all creditors is GBP3
million.


PEAK JERSEY: S&P Affirms 'B-' Issuer Credit Rating, Outlook Neg.
----------------------------------------------------------------
S&P Global Ratings affirmed its 'B-' rating on sports data and
content provider Peak Jersey Holdco Ltd. (operating as Stats
Perform), and its $400 million first lien debt and GBP50 million
revolving credit facility (RCF).

The negative outlook continues to indicate that S&P could lower its
ratings on Stats Perform within the next 12 months should credit
metrics weaken more than S&P expects. This could stem from revenue
slippage in the second half of 2021 or narrower margins because of
sports rights cost inflation, higher-than-anticipated exceptional
costs, or the loss of any key customers.

Stats Perform has benefited from the increasing popularity and
traction of sports betting. Sports data and content operators are
witnessing strong revenue growth as the sports betting market
expands and regulations in various countries are relaxed to permit
such activities. Despite the niche nature of this industry, Peak
Jersey's vast content database, innovative offerings, and
long-standing relationships with leading betting operators should
support its growth potential. Since the start of 2021, Stats
Perform has signed numerous new contracts to distribute Women's
Tennis Association (WTA) data. At the same time, the company has
expanded contracts with existing customers to include additional
content. This has underpinned the company's strong 2021 results so
far. Stats Perform's management accounts indicate that revenue rose
about 18% in the first half of 2021. If it maintains this momentum,
revenue should reach about $395 million in 2021. The company's
business model benefits from operating leverage that helps its
EBITDA expand faster than revenue. S&P said, "We forecast the
group's 2021 EBITDA, as adjusted by S&P Global Ratings, will
improve to about $70 million, from $11 million in the prior year.
Our EBITDA calculation for 2021 includes a deduction for
capitalized development costs of about $20 million and
restructuring costs of $7 million."

Credit metrics will remain stretched in 2021, when adjusted debt to
EBITDA is likely to exceed 8x. This makes it vulnerable to external
shocks. Peak Jersey Holdco was formed in 2019 and had a highly
leveraged capital structure. During 2019 and 2020, the company
incurred significant restructuring costs that, combined with
COVID-19-related customer credits, materially reduced EBITDA and
cash flow. S&P said, Despite the anticipated improvement in 2021,
we still expect credit metrics to be stretched, with adjusted
leverage of 8.5x and negative free operating cash flow (after lease
payments) of $20 million. Therefore, Stats Perform's revenue should
grow by 5%-10% beyond 2021, while improving its EBITDA margins, in
order to keep credit metrics commensurate with S&P's 'B-' rating."
Although Stats Perform has largely completed its planned cost
synergies, the pandemic has delayed the company's ambitious growth
plans for its artificial-intelligence-powered tools. A large part
of management's plan to reduce leverage in 2022 and beyond depends
on a notable uptick in this segment.

S&P forecasts that Stats Perform's free operating cash flow (FOCF)
will be negative in 2021. Stats Perform recognized customer
credit/rebates of $27.5 million in 2020 as a reimbursement to its
customers after numerous sporting events were cancelled because of
various government-imposed restrictions during the pandemic.
Refunds related to these rebates were partly paid out in the first
half of 2021, likely resulting in a negative FOCF of about $20
million at year-end. FOCF should turn positive in 2022.

Stats Perform faces strong competition from peers such as
Sportsradar and Genius Sport as demand for Tier 1 sporting events
heats up. Both these peers have a solid presence in the U.S., and a
portion of their revenue is linked to the gross gaming revenue
generated by their sportsbook customers. In S&P's base case, it
expects Stats Perform to remain disciplined when bidding for sports
rights and to maintain overall spending at about 40% of total
revenue.

Beyond 2021, S&P expects exceptional costs to be minimal, at less
than $3 million per year. Since Stats and Perform merged,
management has been restructuring the group's activities to achieve
cost synergies of about $32 million--the end of this process should
free up cash. The group incurred restructuring costs of $7 million
in 2019 and $17 million in 2020. Management recently indicated that
it expects the final installment, of $7.5 million, to be paid in
2021. Restructuring will therefore become less of a drag on
profitability and cash flow.

The outcome of the upcoming regulatory review of the U.K. Gambling
Act could dampen near-term U.K. earnings of Stats Perform's
sportsbook customers. Stats Perform reported that it derived 24% of
its total revenue from the U.K. in 2020. In S&P's view, gambling
companies with material U.K. operations may be affected by the
upcoming review. Regulatory changes, which restrict consumers'
current level of sports betting engagement, including in-play
sports betting, could depress the financial results of sportsbook
customers. Unlike its peers', Stats Perform's existing revenue is
governed by fixed license fees and is not exposed to any gross
gaming revenue-linked changes. But adverse regulatory changes that
reduce gambling companies' profitability could limit Stats
Perform's ability to push annual price increases to this customer
segment.

Consolidation among the gambling companies could support growth as
well as present risks.Mergers and acquisitions have been on the
rise within the gambling space. Like all mergers, we expect these
gambling companies to rationalize their vendors where there is
overlap. With its exclusive access to certain sports rights and
historical databases, Stats Perform is somewhat insulated from such
vendor rationalization, but its negotiating power against much
larger-sized customers will be limited. The company's largest
customer represents about 18% of its total revenue. S&P's current
rating assessment includes our assumption that the company will
retain this contract at the next renewal date.

The negative outlook indicates that S&P could lower its ratings on
Stats Perform should credit metrics weaken below its base case.
This could occur for various reasons, including if it cannot
maintain the strong revenue growth profile seen in the first half
of 2021; if margins come under pressure due to sports rights costs
inflation or higher-than-anticipated exceptional costs; or it loses
any key customers.

S&P could lower the rating if Stats Perform's operating performance
deteriorated such that the group:

-- Fails to attract sufficient revenue growth to sustain positive
FOCF, jeopardizing the sustainability of the capital structure;

-- Comes closer to being unable to cover its cash interest
expenses and our adjusted EBITDA interest cover ratio falls below
1.0x;

-- Depletes its existing liquidity balances and its covenant
headroom reduces, such that liquidity weakens;

-- Undertakes a material debt-financed acquisition or shareholder
returns; or

-- Looks like it might undertake debt buybacks materially below
par value, which S&P would view as distressed.

Although it is less likely within the next 12 months, S&P could
revise the outlook to stable if:

-- Stats Perform demonstrates a track record of sustained
improvement in credit metrics, including sustainable positive FOCF,
adjusted EBITDA interest coverage improving to more than 1.5x, and
adjusted leverage reducing to about 8x; and

-- The stable macroeconomic environment boosts consumer confidence
so that discretionary spending on sports betting continues; and

-- Liquidity remains adequate.


PRISM ARCHITECTURAL: Enters Liquidation with Deficit of GBP4.46MM
-----------------------------------------------------------------
Mark Smulian at Construction News reports that glazing and cladding
specialist Prism Architectural has appointed liquidators after
ceasing to trade last month.

According to Construction News, a statement of affairs filed with
Companies House showed the Cambridge-registered firm had a
deficiency of GBP4.46 million.  The company owed trade and expense
creditors GBP3.8 million, HMRC GBP200,068, subcontractor PAYE costs
GBP195,115 and employees GBP162,555, Construction News discloses.

The firm turned over GBP15 million in 2020 according to its last
published accounts, up from GBP9.4 million the year before,
Construction News states.  It recorded pre-tax profit of GBP232,822
in 2020, up from GBP8,046 in 2019, Construction News notes.

Liquidators from Cambridge accountancy firm Ensors have been
appointed, Construction News relates.


[*] UNITED KINGDOM: Corporate Insolvencies Up 13% in July 2021
--------------------------------------------------------------
Business Money reports that insolvency figures released for July
2021 by the government's Insolvency Service show a 13% increase in
corporate insolvencies compared to the same month last year (1094
in July 2021 and 965 in July 2020).

However insolvencies are 24% lower than the number registered two
years previously (pre-pandemic; 1,442 in July 2019), Business Money
relates.

According to Business Money, leading restructuring and insolvency
professional, Oliver Collinge from PKF GM said: "This trend of
rising corporate insolvency numbers is not surprising.  July saw
the lifting of the final lockdown restrictions and many businesses
in the region will now have to start making payments in relation to
their BBLS and CBILS loans.

"We expect the numbers to continue to rise as furlough comes to an
end and the temporary restrictions on the use of certain creditor
enforcement actions are lifted.  It is inevitable that insolvency
numbers will return at least to pre-pandemic levels relatively soon
and possibly higher for a period of time.

"One of these temporary restrictions, namely the moratorium on
issuing winding up petitions, is due to end on 30 September 2021
which, if not pushed back again, could trigger a sharp rise in
corporate insolvencies in the coming months as creditors will be
able to enforce their rights again.  The end of the furlough scheme
is also due at the end of September 2021, which will put further
cash flow pressure on some companies in the region and will likely
increase insolvencies in the last quarter of 2021 and the start of
2022.

"There will be multiple added pressures on businesses in the coming
months, particularly those that weren't in robust financial health
before Covid.

"It's critical businesses act early and seek advice if they are
struggling now, or think cash flow may be squeezed in coming
months.  The earlier they act, the more options they'll have to
continue trading and recover."

Of the 1,094 registered company insolvencies in July 2021, there
were 1,007 CVLs, which is 70% higher than in July 2020 but the same
as in July 2019, Business Money states.

A total of 41 were compulsory liquidations, which is 77% lower than
July 2020 and 84% lower than July 2019, Business Money notes.

Six were CVAs, which is 65% lower than July 2020 and 85% lower than
July 2019, Business Money says.

There were 40 Administrations, which is 78% lower than July 2020
and 73% lower than July 2019; and there were no receivership
appointments, Business Money relays.



                           *********


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 2021.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
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Information contained herein is obtained from sources believed to
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