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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

          Thursday, March 10, 2022, Vol. 23, No. 44

                           Headlines



C Y P R U S

RCB BANK: S&P Lowers LongTerm ICR to 'B+', On CreditWatch Negative


C Z E C H   R E P U B L I C

SAZKA GROUP: Fitch Gives Final 'BB-' Rating to 2028 Secured Notes


D E N M A R K

DFDS A/S: Egan-Jones Retains B+ Senior Unsecured Ratings


G R E E C E

PUBLIC POWER: Fitch Affirms 'BB-' LongTerm IDR, Outlook Stable


I R E L A N D

CARLYLE GLOBAL 2015-3: Moody's Affirms B1 Rating on Class E Notes


I T A L Y

CASTOR SPA: S&P Assigns 'B' Issuer Credit Rating, Outlook Stable
SAIPEM SPA: Banks Mull EUR850M Bridge-Loan State-Backed Guarantee
TELECOM ITALIA: Moody's Cuts CFR to Ba3, Outlook Remains Negative


R O M A N I A

CEC BANK: Fitch Assigns 'BB' LongTerm IDR, Outlook Stable


R U S S I A

RUSSIA: Fitch Lowers LongTerm Foreign Currency IDR to 'C'
[*] RUSSIA: Central Bank Takes Steps to Support Finance Firms
[*] RUSSIA: European Commission Prepares New Package of Sanctions
[*] RUSSIA: US, UK to Ban Russian Oil Following Ukraine Invasion


S P A I N

CLAVEL RESIDENTIAL: S&P Assigns B- Rating on Class F Notes
OBRASCON HUARTE: Moody's Hikes CFR to B3, Outlook Remains Positive


S W I T Z E R L A N D

GAZPROMBANK LTD: Fitch Lowers LT IDR to 'B-', On Wach Negative


U K R A I N E

MHP SE: S&P Downgrades ICR to 'B-', On CreditWatch Negative


U N I T E D   K I N G D O M

CARDIFF AUTO 2022-1: DBRS Gives Prov. BB Rating on Class E Notes
CHARLES STREET 2: Moody's Assigns Ba1 Rating to GBP33.8MM C Notes
DERBY COUNTY FOOTBALL: Consortium Frustrated of Administration Pace
GREAT HALL 2007-2: S&P Raises Rating on 2 Tranches to BB+
HOLLICOM: Enters Liquidation Due to Unsustainable Debts

PAVILLION POINT 2021-1A: Fitch Gives 'BB+(EXP)' Rating to F Notes

                           - - - - -


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C Y P R U S
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RCB BANK: S&P Lowers LongTerm ICR to 'B+', On CreditWatch Negative
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S&P Global Ratings lowered its long-term issuer credit rating on
Cyprus-based RCB Bank Ltd. to 'B+' from 'BB-' and placed the
ratings on CreditWatch with negative implications. At the same
time, S&P affirmed its 'B' short-term issuer credit rating.

On Feb. 24, 2022, VTB Bank PJSC sold its 46.3% stake in
Cyprus-based RCB Bank to the bank's Cypriot shareholders, who
represent the management. The sale was made as part of management's
plan to protect RCB Bank from escalating geopolitical tensions.

RCB Bank's business prospects will likely be affected by weakened
volumes, lack of support from VTB Bank (previously its largest
shareholder), business origination, and the potential second-hand
effects of Russian economic activity, including deposit run-offs.

S&P thinks that RCB Bank has been protected through a mix of
forward planning actions and a change of control. VTB Bank's sale
of its stake in RCB Bank contributed to alleviating RCB Bank's
financial profile. Additionally, RCB Bank's capitalization and risk
profile have somewhat improved, through RCB Bank's unwinding of its
largest loan in Kazakhstan, which made up over 30% of its loans. As
a result, S&P now expects its risk-adjusted capital ratio to be
sustainably above 10%. The loan book is now also more granular,
provided there are no further shocks that affect the bank. RCB Bank
also increased its long-term funding through the issuance of a
EUR200 million senior-nonpreferred instrument and a EUR300 million
term deposit (both funded by VTB Bank), providing some buffer for
customer deposit outflows.

RCB Bank's business prospects and the sustainability of its
business model will be hampered by its new stand-alone model.
Without VTB's support for business growth, the bank will have to
reshuffle its business strategy. In S&P's view, this will take
time, and might be complicated given the bank's niche and limited
franchise. Meanwhile, reduced loan volumes, which declined by over
30% following the unwinding of RCB Bank's largest loan in January
2022, and volatile market conditions will likely weigh on the
bank's profitability prospects in the next 12-18 months. RCB Bank's
market franchise in Cyprus is limited compared with the two largest
players (about 8% loan market share). Also, its niche focus might
hamper its business profile due to second-hand effects from the
military conflict between Russia and Ukraine.

S&P said, "Given the uncertainty on several factors, we think that
the ratings on RCB Bank could come under further pressure. The
regulatory approval needed from the European Single Supervisory
Mechanism for the change of control, potential changes to the
capital management policy under new business plans, possible
further customer deposit outflows, or, in a more adverse scenario,
regulatory sanctions could all weigh on the ratings on RCB Bank.

"The negative CreditWatch placement reflects our opinion that the
increased geopolitical and economic risks to the Russian economy
could further constrain RCB Bank's customer deposit outflows and
its funding profile. It also reflects the uncertainties on the
pending regulatory approval and any potential governance risks that
could arise from historical links between RCB Bank and VTB Bank.

"We aim to resolve the CreditWatch once we have more clarity on the
full macroeconomic repercussions of the sanctions against Russia
and its related entities and the evolution of the geopolitical
conflict, as well as visibility on the volatility of RCB Bank's
customer deposits, and the regulatory approval of the change of
control."




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C Z E C H   R E P U B L I C
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SAZKA GROUP: Fitch Gives Final 'BB-' Rating to 2028 Secured Notes
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Fitch Ratings has assigned SAZKA Group a.s.'s (SAZKA) new issue of
2028 senior secured floating-rate notes (FRN) a final 'BB-' rating
with a Recovery Rating 'RR4'. The notes were issued by SAZKA's
UK-based subsidiary Allwyn Entertainment Financing (UK) plc.

The assignment of the final rating is based on post-transaction
documents conforming to information already reviewed.

The additional EUR100 million FRNs to the previously announced
EUR500 million combined issuance of senior secured notes and FRNs
do not have a material impact on SAZKA's Long-Term Issuer Default
Rating (IDR), which Fitch has affirmed at 'BB-' with a Stable
Outlook, or on existing senior secured notes, which have also been
affirmed at 'BB-'/'RR4'.

SAZKA is the holding company of wholly-owned and majority equity
stakes in gaming operations across EMEA. The IDR of SAZKA reflects
stable performance across its operating regions. The Stable Outlook
reflects Fitch's assumption that SAZKA will maintain current
leverage post-refinancing, with no further sizeable debt additions
at SAZKA and opco levels.

KEY RATING DRIVERS

SPAC Transaction Neutral: The recently announced intention of
SAZKA's parent company, Allwyn (formerly Sazka Entertainment AG, to
become public via a merger with NYSE-listed Cohn-Robbins Holding
Corp. (special purpose acquisition company - (SPAC)) is not
expected to directly materially affect SAZKA's cash flows. However,
any changes to the capital structure at Allwyn that would lead to
cash outflows may require cash to be up-streamed from SAZKA, as the
latter remains the sole source of operational cash flows for
Allwyn. Fitch's forecasts do not anticipate any imminent expansion
in the U.S. market in the near term for SAZKA (or for Allwyn that
may lead to cash being up-streamed from the holdco).

UK National Lottery Bid: SAZKA is bidding for the UK National
Lottery (UK NL) tender, the outcome of which is expected in 1H22.
In the event of a successful bid, Fitch believes that SAZKA will be
able to fund the necessary capex via internally generated cash
flows. Fitch would view the potential integration of UK NL as
enhancing SAZKA's scale and geographical diversification since the
UK represents the largest gaming market in EMEA.

Coronavirus-Tested Lottery Resilience: SAZKA's business profile,
concentrated in lotteries (74% of revenue), proved resilient during
the pandemic, except for an extraordinary one-month suspension of
lottery drawings in Italy, and partial closure of the group's
retail distribution network in Greece and Cyprus. Double-digit
online growth in 2021, expected to continue in 2022, helped offset
revenue shortfall in land-based venues, and performed particularly
well in the Czech Republic.

Solid Performance at Group Level: Although SAZKA 's operations
demonstrated an uneven improvement in 2021, net gaming revenue in
most regions of operations surpassed pre-pandemic levels on a
quarterly basis since 2Q21. Occasional reinstatements of certain
restrictions affected casinos' performance in Austria and retail
points of sale in Greece, which was offset by strong online growth.
Fitch still expects SAZKA's gross gaming revenue (GGR) on a
comparable basis to reach 2019 levels in 2022.

Manageable Leverage Post-refinancing: The refinancing slightly
increases SAZKA's debt quantum, leading to forecast proportionally
consolidated funds from operations (FFO) adjusted gross leverage of
7.0x in 2022. However, Fitch believes that a strong free cash flow
(FCF) margin, expected to remain at 10%-14% in 2022-2024, will
continue to support the group's deleveraging capacity. Funds
available to SAZKA after the refinancing may be used to fund capex
in new markets, bolt-on acquisitions, as well as for consolidating
a larger stake in its existing business. Any sizeable M&A that
would require additional external debt is not considered under the
current Fitch forecast.

Expansionary Business Growth: Fitch expects the lottery segment to
grow at slower single digits over the long term, and forecast SAZKA
to continue business growth primarily through acquisitions (EUR150
million p.a. as per Fitch forecast), and through continued
increases in its stake in OPAP through scrip dividend and
open-market purchases. For existing businesses, Fitch expects
growth to come primarily from online operations. As a result, Fitch
expects revenue at SAZKA to grow at mid-to-high single digits in
2022-2024.

FCF Driven Primarily by OPAP: OPAP, SAZKA's subsidiary in Greece,
pays materially lower cash taxes on a major part of its GGR since
October 2020, due to a sizeable prepayment of gaming taxes OPAP
made when it extended one of its licenses until 2030. Fitch
estimates these savings at EUR150 million-EUR250 million p.a. over
Fitch's four-year forecast horizon, allowing SAZKA to maintain
solid FCF margins. However, a review of eligibility of the majority
of OPAP's revenue for tax prepayment would be an event risk.

Geographic Diversification Mitigates Risks: SAZKA holds stakes in
gaming companies with strong competitive positions in Greece, Italy
and Austria, and is the top operator in the lottery segment in all
three countries, in addition to the Czech Republic. Fitch believes
the regulatory environments for EMEA lottery games are 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's exposure to some
heavily indebted European sovereigns, the group could face gaming
tax increases (as seen in the Czech Republic in 2020) or possible
limits on wagers that could restrict cash flows.

DERIVATION SUMMARY

SAZKA's profitability, measured by EBITDA and EBITDAR margins, is
strong relative to that of gaming peers, such as Flutter
Entertainment plc (BBB-/Stable) or Entain plc (BB/Positive), which
are the largest sportsbook operators globally.

SAZKA has high concentration on lottery revenue, which is less
volatile, and displays good geographical diversification across
Europe with businesses in the Czech Republic, Austria, Greece,
Cyprus and Italy, albeit weaker than the multi-regional revenue
base of Flutter and Entain. However, it is smaller in scale and has
higher leverage than Flutter and Entain, as well as a more complex
group structure, all of which justify SAZKA's lower rating.

KEY ASSUMPTIONS

-- Revenue growth in low single digits for the land-based
    business and double digits for online, in 2021, and
    stabilising in mid-single digits from 2022-2023;

-- Growth in 2022-2024 driven by increased online volume in core
    markets (Czech Republic, Greece, Austria), to varying degree
    by country, depending on local platform strength;

-- Consolidated EBITDA margin to gradually improve to pre-
    pandemic levels before gaming tax benefits;

-- Gaming tax benefits for OPAP at around 15% of its total GGR to
    2024;

-- Stable dividend distribution from all opcos;

-- Bolt-on acquisitions of EUR150 million p.a. starting from
    2022, at enterprise value (EV)/EBITDA of 10x;

-- No capex or cash flows related to the UK NL bid outcome.

RATING SENSITIVITIES

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

-- Reduced group-structure complexity, for example, via
    permanently falling intermediate holdco or opco debt together
    with further clarity on commitment to financial and dividend
    policies at SAZKA to support deleveraging;

-- Further strengthening of operations combined with increased
    access to respective cash flows;

-- Sound financial discipline leading to proportionally
    consolidated FFO lease-adjusted gross leverage sustainably
    below 4.5x;

-- Lease-adjusted debt/EBITDAR consistently below 3.5x;

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

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

-- Deterioration of operating performance, for example, linked to
    renewed Covid-19 restrictions or increased regulation and
    taxation leading to consolidated EBITDA margin below 25% on a
    sustained basis;

-- More aggressive financial policy as reflected in
    proportionally consolidated FFO lease-adjusted gross leverage
    sustainably above 5.5x;

-- Lease-adjusted debt/EBITDAR consistently above 4.5x;

-- Proportionally consolidated FFO fixed charge cover below 2.5x
    and gross dividend/interest at holdco of less than 2.0x on a
    sustained basis;

-- Raising material, structurally senior debt at intermediate
    holdco or at subsidiary levels could lead to notching down the
    senior secured debt rating from the IDR.

BEST/WORST CASE RATING SCENARIO

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

LIQUIDITY AND DEBT STRUCTURE

Improved Financial Flexibility: Liquidity at SAZKA is solid on a
proportionally consolidated basis with around EUR0.5 billion at
end-2021 under Fitch's rating case, and remains broadly stable
post-refinancing.

The EUR600 million debt refinancing comprised a combined issuance
of EUR400 million new senior 2028 secured FRNs and a tap of EUR200
million on SAZKA's existing 2027 senior secured notes. The proceeds
are being used to repay EUR200 million of outstanding 'Slovak
bonds' and EUR100 million of a drawn revolving credit facility
(RCF). This leaves additional liquidity for a EUR55 million
amortisation of term loan A due in July and funding the recently
announced acquisition of its remaining minority stake in SAZKA
Delta, through which SAZKA holds parts of its interest in OPAP, for
a consideration of EUR327.4 million. The Allwyn transaction will
improve financial flexibility by giving the group access to
public-equity capital markets through its listed entity.

A fully available EUR200 million RCF after the EUR100 million
repayment as proposed in this refinancing provides additional
liquidity over the rating horizon. Fitch expects flexibility in
up-streaming dividends to the holdco from its various opcos,
providing satisfactory debt service at SAZKA. This is despite
additional interest costs from increased debt at holdco in 2020 and
2021, underpinned by no debt service requirements at the
intermediate holdcos.

Reported liquidity was sound at end-2020 with EUR842 million of
cash on balance sheet on a fully consolidated basis. Under the new
consolidation scope including Casinos Austria AG, Fitch has
restricted EUR40 million for winnings and jackpots.

ISSUER PROFILE

SAZKA has become the largest European private lottery operator and
remains the leader of lotteries in Austria, the Czech Republic, and
Greece and the only provider of fixed-odds numerical lotteries in
Italy.

SUMMARY OF FINANCIAL ADJUSTMENTS

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

Forecast Fitch-adjusted proportionally consolidated FFO leverage
metrics differ from Fitch-adjusted fully consolidated FFO leverage
metrics by up to 0.5x.

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance 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 the way in which they are being
managed by the entity.




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D E N M A R K
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DFDS A/S: Egan-Jones Retains B+ Senior Unsecured Ratings
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Egan-Jones Ratings Company, on February 23, 2022, maintained its
'B+' foreign currency and local currency senior unsecured ratings
on debt issued by DFDS A/S.

Headquartered in Copenhagen, Denmark, DFDS A/S operates focused
transport corridors combining ferry infrastructure, including port
terminals and rail connections, and logistics solutions including
door-door full/part loads for dry goods and cold chain as well as
contract logistics for select industries.




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G R E E C E
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PUBLIC POWER: Fitch Affirms 'BB-' LongTerm IDR, Outlook Stable
--------------------------------------------------------------
Fitch Ratings has affirmed Public Power Corporation S.A.'s (PPC)
Long-Term Issuer Default Rating (IDR) and senior unsecured rating
at 'BB-'. Fitch continues to assess the company's Standalone Credit
Profile (SCP) at 'b+'. The Outlook on the IDR is Stable.

The rating of PPC reflects a less than mature and volatile
regulatory and operating environment in Greece, high leverage and
increasingly negative free cash flow (FCF) as it shifts to a
cleaner capacity mix away from lignite. It also reflects its fully
integrated business structure and dominant generation and supply
position in the domestic market.

The Stable Outlook reflects Fitch's forecast of broadly stable
funds from operations (FFO) net leverage at around 5.7x on average
for 2021-2026, plus PPC's shift to a more balanced generation and
supply position and to an indexed customer tariff structure.

The IDR incorporates a one-notch uplift from PPC's SCP, reflecting
overall moderate links with the Greek state (BB/Positive),
notwithstanding the latter's ownership dilution following a capital
increase in November 2021.

KEY RATING DRIVERS

SCP Unaffected by Weaker FFO: Fitch continues to assess the SCP of
PPC at 'b+', notwithstanding weaker operating cash-flows expected
in 2022-2023, accelerated expansion in renewables and the
resumption of dividends from 2024 compared with last year's
expectations. This is because their impact on leverage metrics is
offset by EUR2.7 billion of cash proceeds received from the capital
increase and the sale of a minority stake in Hellenic Distribution
Network Operation S.A. (HEDNO) up to 2023 and normalised cash-flows
from 2024. Leverage is within Fitch's guidelines for the 'b+' SCP
and broadly in line with Fitch's expectations last year.

Heavily Negative FCF: Fitch forecasts negative FCF on average at
slightly below EUR1 billion for 2021-2026, with a capex-driven peak
in 2024 at EUR1.6 billion, from around a previously expected
average EUR350 million for 2021-2023. Fitch sees this as less
sustainable for the credit profile and potentially impairing PPC's
credit quality if it extends beyond the group's current business
plan.

Financial Policy Consistent with SCP: PPC has reiterated its
commitment to maintain a maximum 3.5x net debt-to-EBITDA (as
defined by the company) through to 2026, which is largely
consistent with Fitch's FFO net leverage guidelines for the 'b+'
SCP at 5.0x-6.0x, but with minimal leverage headroom. Recurring
EBITDA (as reported by PPC) includes sizable positive non-cash
items, largely reversal of bad debt provisions, which explains the
large difference between the two metrics as FFO is focused on
operational cash generation.

SU Downgrade Risk: The sale of its minority stake in HEDNO has
shifted EUR1.4 billion loans from PPC to the opco at end-2021,
which drove prior-ranking debt within the group to 2.3x EBITDA from
0.9x. Further, PPC is required to use 50% of the proceeds to prepay
holdco debt in 2022, which raises the ratio beyond the 2.5x
threshold in Fitch's criteria. Therefore the funding strategy for
its renewable expansion, largely from 2023, initially designed as
project-financing debt at opco level, could lead to a one-notch
downgrade of the senior unsecured holdco debt rating due to
structural subordination. PPC is considering alternative funding
structures that will ensure swift strategy execution while
addressing structural subordination.

Volatile Supply Business: PPC underperformed its EBITDA
expectations for the supply business due to a challenging energy
price environment in 2021. Average system marginal price (SMP)
doubled in 2021 to around EUR90/MWh, substantially increasing the
cost of wholesale energy purchases to cover PPC's customer demand
while customer tariffs were not indexed to SMP and the forward
market is fairly illiquid in Greece. Fitch took into account these
features when initially determining the debt capacity of PPC.

Improved Generation Not Fully Offsetting: In contrast,
stabilisation of balancing prices (ie. revenue from assets
contributing to balancing the system's generation load) and
stronger SMP have lifted average prices achieved for conventional
technologies, outperforming Fitch's previous expectations. However,
this has been not sufficient to fully offset supply
underperformance, hence resulting in expected weaker cash-flows
through to 2026.

Tariff Indexation Limits Volatility: PPC has started to index low
voltage (LV) and medium-voltage (MV) tariffs to SMP since August
2021 and November 2021, respectively. Indexation serves as a
hedging mechanism as the cost to purchase energy in the pool is
transferred to customers, but it also limits the upside in a
decreasing price environment. The more SMP-sensitive tariff
structure and the consolidation of a newly implemented market
structure in Greece (introducing the forward, intraday and
balancing markets on top of the current day-ahead market) should
help reduce volatility in margins, which is credit positive.

Accelerated Capex Plan Manageable: Gross capex plan is forecast at
around EUR1.6 billion annually for 2021-2026 (versus EUR0.7 billion
previously), of which 95% is related to growth. More than half is
for building a renewable capacity of 6.1GW by end-2026 (versus
0.2GW at end-2021) largely in Greece and, secondarily, in Romania
and Bulgaria. Execution risks are manageable given good visibility
from PPC's 10GW pipeline (3GW already secured) and that most of the
land and connections are reutilised from decommissioned lignite
sites. Moreover, expansion is not reliant on the country's
subsidies or auctions as it will largely be in merchant capacity,
supported by internal power purchase agreements (PPAs). Around 20%
additional capex is allocated to grid modernisation.

Bad Debt Provisions Reversal: Fitch estimates doubtful receivables
stock at EUR2.3 billion at end-2021 and EUR1.9 billion by 2026,
down from EUR2.9 billion in 2019. The positive trend in collections
should lead to the reversal of more than EUR500 million in non-cash
bad debt provisions over 2022-2026. Fitch will keep monitoring
collections especially in the context of escalating energy prices.

Generation Capacity Mix Shift: PPC decommissioned in 2020 and 2021
1.1GW of lignite capacity while another 0.25GW has ceased operation
for decommissioning in 2022. Fitch expects the new 660MW Ptolomaida
V lignite plant, to be commissioned in 2022, to switch to natural
gas by 2025, depending on market conditions. From that date two
thirds of the total capacity would be made of clean technologies
(solar, wind and hydro).

State Links Warrants Uplift: Fitch assigns a one-notch uplift to
PPC's SCP of 'b+', reflecting close links with Greece under Fitch's
Government-Related Entities Criteria. This reflects Fitch's
expectations that the government will remain PPC's largest
shareholder with a 34% indirect stake and that it will maintain
effective control of PPC's board of directors and its guarantees on
about 25% of PPC's total debt at end-2021. Fitch's view is also
reinforced by PPC's role as the incumbent utility company and a
large employer in the country, and material exposure of domestic
banks to PPC.

Fitch assumes that the government will keep providing support to
PPC through favourable legislation given its instrumental role in
the country's energy transition.

DERIVATION SUMMARY

PPC is the incumbent electricity utility in Greece, with the
closest domestic rated peer being Mytilineos S.A. (MYTIL;
BB/Stable), although the latter lags PPC in market share and scale.
MYTIL is a diversified group operating in the more volatile and
cyclical metallurgy (aluminium) and engineering, procurement and
construction sectors and in the power sector, with generation and
supply contributing around 50% of EBITDA at end-2020. MYTIL
benefits from a higher renewable capacity in its business mix, more
profitable gas-fired plants and no exposure to loss-making lignite.
The two-notch rating difference, on a standalone basis for PPC, is
explained by MYTIL's substantially lower forecast net leverage
trending to 2.0x by 2024 versus PPC's around 5.5x-6.0x. The
single-notch uplift for government links for PPC narrows the final
difference between the two IDRs to one notch.

Among neighbouring countries, PPC's closest peer is Bulgarian
Energy Holding EAD (BEH; BB/Positive) with a 'b+' SCP and
marginally lower FFO net leverage averaging 4.9x for 2021-2024.
However, Fitch sees a slightly better business risk profile and
higher debt capacity for PPC, due to its larger scale, and the more
regulated and contracted nature of its cash flows. BEH's support
score from the sovereign parent under Fitch's GRE criteria is the
same as for PPC, but it allows for a larger uplift of two notches
compared with one for PPC, due to the higher sovereign rating of
Bulgaria (BBB/Positive) versus that of Greece (BB/Positive).

PPC's integrated business structure and strategic position in the
domestic market make the company comparable to some of
investment-grade central European peers such as PGE Polska Grupa
Energetyczna S.A. (BBB+/Stable) and ENEA S.A. (BBB/Stable), which
share issues related to coal mining and coal-fired generation, but
which are profitable for them and loss-making for PPC. In addition,
PPC operates in a more volatile and less transparent regulatory
environment than ENEA and its results are less predictable with a
history of political intervention. Overall better business risk
profile, a healthier operating environment and lower leverage
explain the multi-notch difference with the central European peers.
PPC's rating includes a single-notch uplift to reflect links with
the sovereign, whereas this is not the case for PGE or ENEA.

KEY ASSUMPTIONS

Fitch's key assumptions within its rating case for the issuer
include:

Electricity Generation:

-- EBITDA from conventional generation (including hydro)
    decreasing to around EUR200 million by 2026 (EUR360 million in
    2021); renewables EBITDA rising to around EUR380 million by
    2026 (EUR19 million in 2021);

-- SMP in Greece at EUR74-EUR58/MWh in 2021-2026 (EUR90/MWh in
    2021E);

-- Phase-out of existing lignite-fired power plants by 2023,
    total phase-out including new 0.61GW Ptolemaida V (to be
    commissioned in 2022) conversion to gas by 2025;
    decommissioning cash costs are on average around EUR50 million
    per year;

-- Gradual ramp-up of renewables to 6.1GW by end-2026 (from 0.2GW
    at end-2021) mostly contracted with internal PPAs at declining
    average prices;

-- Market share in generation to decrease to 36% in 2026 from 48%
    in 2021;

-- Cashflow from new businesses, ie. waste-to-energy or fiber
    optic, not meaningful over the rating horizon.

Networks:

-- EBITDA slightly growing to EUR470 million by 2026;

-- Regulatory asset base increasing to EUR3.3 billion in 2026,
    from an estimated EUR2.9 billion in 2021;

-- Weighted average cost of capital of 6.7% for 2021-2026.

Supply:

-- Supply EBITDA growing to around EUR450 million by 2026 (EUR64
    million in 2021);

-- Supply market share (interconnected system) declining to
    around 50% domestically by end-2026 from 62% at end-2021;

-- Supply tariffs to reflect largely the evolution of SMP;

-- EUR1.9 billion of doubtful receivables by 2026, down from
    EUR2.3 billion at end-2021.

General:

-- Total capex (net of customer contributions and grants) of
    about EUR8.9 billion for 2021- 2026, of which 60% is beyond
    2023;

-- Annual dividends paid to minorities of HEDNO slightly above
    EUR40 million from 2022;

-- Dividends resumption from 2024 at a pay-out of 35%-45%.

RATING SENSITIVITIES

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

-- Further tangible government support, such as a material
    increase in the share of state-guaranteed debt, and generally
    stronger links with the state could lead us to align PPC's
    rating with that of Greece but this is unlikely following the
    state dilution to 34% ownership.

-- An upward revision of the SCP to 'b+' may result from FFO net
    leverage falling below 5.0x, FFO interest coverage higher than
    3.5x, lower regulatory and political risk, or higher earnings
    predictability. However, this would result in an upgrade of
    the IDR only if coupled with an upgrade of Greece.

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

-- Weaker links with Greece, including additional dilution of the
    state's ownership or a material reduction of the share of
    state-guaranteed debt.

-- Weaker SCP, for example, due to FFO net leverage exceeding
    6.0x on a sustained basis or FFO interest coverage lower than
    2.5x.

-- A deviation from the stated financial policy of 3.0x-3.5x net
    debt-to-EBITDA (as reported by PPC) or additional debt-funded
    capex, without corresponding offsetting financial measures.

-- Worsened operating environment in Greece, coupled with the
    escalation of regulatory, social or political risk, such as
    the reversal or failed implementation of main energy reforms
    initiated in 2019, or failure to improve trade receivables
    collections.

-- Increase of prior-ranking debt above 2.5x consolidated EBITDA,
    ie due to the ramp-up of project finance debt for renewables
    expansion, could lead to a one-notch downgrade of the senior
    unsecured rating at the holdco level.

BEST/WORST CASE RATING SCENARIO

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

LIQUIDITY AND DEBT STRUCTURE

Adequate Liquidity: At end-September 2021, readily available cash
and cash equivalents were EUR823.9 million, which excluded EUR58.2
million of restricted cash mostly related to debt servicing, and
EUR16 million in revolver and overdraft availability.

In addition, in November 2021 PPC cashed the EUR1.35 billion
capital increase and in March 2022 received the EUR1.3 billion
proceeds from the 49% HEDNO stake sale, of which 50% contributed to
liquidity due to holdco debt prepayment with the remaining 50%. All
in all, this is sufficient to cover debt maturities of EUR466
million and negative cash flow of around EUR735 million until
end-2022.

Exposure to Greek Financial System: PPC has considerably decreased
its exposure to Greek financial institutions to around 20% of its
total debt in 2022, but most of the cash at end-September 2021 was
located within various Greek banks. Remaining debt is held in
supranational financial institutions, such as the EIB and the BSTD
bank, which had required state guarantees in the past. Financial
condition of the Greek banks has improved substantially over the
last 12 months, as reflected in positive rating actions recently.

ISSUER PROFILE

PPC is the largest power generation company in Greece, with 10.4GW
installed at end-2021, and the country's largest power supply
provider to approximately six million customers at end-2021. PPC
holds assets in lignite mines, power generation and distribution.
Its generation portfolio consists of conventional thermal plants
(lignite, gas and oil fired), and hydro power plants, as well as
renewables. PPC is also the majority owner of HEDNO.

ESG CONSIDERATIONS

PPC has an ESG Relevance Score of 4 on both 'emissions from
operations' and 'fuel use to generate energy'. This is due to an
over 24% share of lignite coal in its electricity generation mix,
which is carbon-intensive and under pressure in the EU. Fitch
projects falling lignite fuel usage and CO2 emissions over the
rating horizon, due to PPC's ambitious decommissioning plan, but
for lignite-fired plants to remain loss-making throughout 2023.
Lignite plants are expected to be completely decommissioned by
2025, subject to the conversion of Ptolemaida V to natural gas.
This has a negative impact on the credit profile and is relevant to
the ratings in conjunction with other factors.

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance 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 the way in which they are being
managed by the entity.




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CARLYLE GLOBAL 2015-3: Moody's Affirms B1 Rating on Class E Notes
-----------------------------------------------------------------
Moody's Investors Service has upgraded the ratings on the following
notes issued by Carlyle Global Market Strategies Euro CLO 2015-3
Designated Activity Company:

EUR52,200,000 Class A2-A Senior Secured Floating Rate Notes due
2030, Upgraded to Aaa (sf); previously on Jan 17, 2018 Definitive
Rating Assigned Aa2 (sf)

EUR15,000,000 Class A2-B Senior Secured Fixed Rate Notes due 2030,
Upgraded to Aaa (sf); previously on Jan 17, 2018 Definitive Rating
Assigned Aa2 (sf)

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

EUR344,000,000 Class A1-A Senior Secured Floating Rate Notes due
2030, Affirmed Aaa (sf); previously on Jan 17, 2018 Definitive
Rating Assigned Aaa (sf)

EUR10,000,000 Class A1-B Senior Secured Fixed Rate Notes due 2030,
Affirmed Aaa (sf); previously on Jan 17, 2018 Definitive Rating
Assigned Aaa (sf)

EUR57,600,000 Class B Senior Secured Deferrable Floating Rate
Notes due 2030, Affirmed A2 (sf); previously on Jan 17, 2018
Definitive Rating Assigned A2 (sf)

EUR16,400,000 Class C-1 Senior Secured Deferrable Floating Rate
Notes due 2030, Affirmed Baa2 (sf); previously on Jan 17, 2018
Definitive Rating Assigned Baa2 (sf)

EUR10,000,000 Class C-2 Senior Secured Deferrable Floating Rate
Notes due 2030, Affirmed Baa2 (sf); previously on Jan 17, 2018
Definitive Rating Assigned Baa2 (sf)

EUR33,600,000 Class D Senior Secured Deferrable Floating Rate
Notes due 2030, Affirmed Ba2 (sf); previously on Jan 17, 2018
Definitive Rating Assigned Ba2 (sf)

EUR18,600,000 Class E Senior Secured Deferrable Floating Rate
Notes due 2030, Affirmed B1 (sf); previously on Jan 17, 2018
Definitive Rating Assigned B1 (sf)

Carlyle Global Market Strategies Euro CLO 2015-3 Designated
Activity Company, issued in December 2015 and refinanced in January
2018, is a collateralised loan obligation (CLO) backed by a
portfolio of mostly high-yield senior secured European loans. The
portfolio is managed by CELF Advisors LLP. The transaction's
reinvestment period ended in January 2022.

RATINGS RATIONALE

The rating upgrades on the Class A2-A and A2-B Notes are primarily
a result of the benefit of the transaction having reached the end
of the reinvestment period in January 2022.

The rating affirmations on the Class A1-A, A1-B, B, C-1, C-2, D and
E Notes reflect the expected losses of the notes continuing to
remain consistent with their current ratings after taking into
account the CLO's latest portfolio, its relevant structural
features and its actual over-collateralization levels.

In light of reinvestment restrictions during the amortisation
period, and therefore the limited ability to effect significant
changes to the current collateral pool, Moody's analysed the deal
assuming a higher likelihood that the collateral pool
characteristics would maintain an adequate buffer relative to
certain covenant requirements.

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 used the following assumptions:

Performing par and principal proceeds balance: EUR591.1m

Defaulted Securities: None

Diversity Score: 58

Weighted Average Rating Factor (WARF): 3032

Weighted Average Life (WAL): 4.34 years

Weighted Average Spread (WAS) (before accounting for Euribor
floors): 3.70%

Weighted Average Coupon (WAC): 4.08%

Weighted Average Recovery Rate (WARR): 45.13%

Par haircut in OC tests and interest diversion test: None

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.

Methodology Underlying the Rating Action:

The principal methodology used in these ratings was "Moody's Global
Approach to Rating Collateralized Loan Obligations" published in
December 2021.

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 May 2021. 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
notes, 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 behavior; (2) divergence in the legal interpretation of CDO
documentation by different transactional parties because of
embedded ambiguities.

Additional uncertainty about performance is due to the following:

Portfolio amortisation: The main source of uncertainty in this
transaction is the pace of amortisation of the underlying
portfolio, which can vary significantly depending on market
conditions and have a significant impact on the notes' ratings.
Amortisation could accelerate as a consequence of high loan
prepayment levels or collateral sales by the collateral manager or
be delayed by an increase in loan amend-and-extend restructurings.
Fast amortisation would usually benefit the ratings of the notes
beginning with the notes having the highest prepayment priority.

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.




=========
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CASTOR SPA: S&P Assigns 'B' Issuer Credit Rating, Outlook Stable
----------------------------------------------------------------
S&P Global Ratings assigned its 'B' long-term issuer credit rating
to Cerved Group SpA (Cerved) and its 'B' issue rating and '3'
recovery rating to the EUR1.4 billion of senior secured floating
and fixed rate notes. The recovery rating on the notes is '3',
indicating its expectation of meaningful recovery prospects
(50%-70%; rounded estimate: 60%) in the event of a payment
default.

The stable outlook indicates that Cerved's revenue will increase by
about 9% in 2022, thanks to a rebound in corporate activity
following the pandemic's worst effects, continued high demand for
digital services, and more favorable market conditions for
nonperforming loans (NPLs), with higher inflows of assets under
management and better recovery rates. Cost-cutting initiatives will
also help support an improvement in the adjusted EBITDA margin of
about 500 basis points (bps), resulting in deleveraging toward 6.0x
by the end of 2022.

On Feb. 11, 2022, ION Investment Group Ltd. (ION) successfully
delisted Cerved Group SpA (Cerved) from the Borsa Italiana. ION
holds 100% of Cerved shares via Castor Bidco Spa.

Cerved has a strong position in credit information and credit risk
management in Italy, with high entry barriers thanks to its
comprehensive database and the mission-critical nature of its
products.

Cerved's leading market position in business information and risk
analytics in Italy is evident from its 5x-7x and 2.5x relative
market shares with financial institutions and corporates,
respectively. The group has built relationships with over 95% of
Italian banks over the past 40 years, while the products it
provides to support the credit processes of its clients, including
daily monitoring services, such as changes in credit positions or
ratings, are mission critical to the clients' risk management and
benefit from integration with the clients' own systems. S&P
believes that this creates high switching costs for Cerved's
clients, while the underlying proprietary data platform is backed
by a mix of private and proprietary sources and public data
including yearly data sets purchased from the official Italian
chambers of commerce. Apart from the database, which has been built
over 40 years, proprietary algorithms and processes support data
organization and analysis, resulting in proprietary scores as well
as meaningful connections created among the data points. This makes
it difficult for other companies to enter the market and thus
strengthens Cerved's leading position. On the credit management
side, Cerved is a leading independent servicer of NPLs and benefits
from a strong brand reputation, which will continue to support
future growth.

Cerved has resilient business characteristics, supported by high
recurring revenue and strong margins. S&P considers Cerved's
adjusted EBITDA margin to be above average compared with the
margins of its broader industry peers. The majority of the data
intelligence business, which accounts for around two-thirds of
total sales, is based on subscription-based contracts due to the
nature of Cerved's platform-based products. This supports the
predictability of cash flows from strong recurring revenues. While
the group continues to update its product mix and grow its
project-based revenues, S&P does not expect a material change in
the recurring revenue base. This should allow Cerved to sustain its
stable business characteristics.

Cerved's business risk profile is constrained by its limited scale,
lack of geographical diversification, and some margin volatility in
recent years. Cerved generated over 95% of its 2020 revenue from
Italy. It is also limited in size, generating about EUR490 million
of total revenue and over EUR200 million of S&P Global
Ratings-adjusted EBITDA in 2020. Consequently, Cerved lacks scale
and geographical diversification compared with larger global peers
such as Dun & Bradstreet or Moody's. S&P said, "Additionally, we
believe that the credit management division exhibits customer
concentration, with about 60% of total revenue coming from the top
10 customers, mainly linked to large servicing contracts with banks
(49% of segment revenue in 2020), partially mitigated by the
revenue diversification exhibited through the other service lines
of the segment including corporate receivables (20% of segment
revenue in 2020), credit operations (20% of segment revenue in
2020), as well as legal services (11% of segment revenue in 2020).
Compared with the risk intelligence segment, we see more
competitive dynamics in the NPL space, which, coupled with the
continued consolidation and sale of NPLs, leads to greater
switching activity among providers. The latter is evident from the
loss of Cerved's servicing contract with the Italian bank Banca
Monte dei Paschi di Siena (MPS) in 2019 due to the nationalization
of MPS by the Italian government and the subsequent transfer of the
servicing contract to AMCO which is a government related entity.
Some contracts, such as the MPS servicing agreement, contain
clauses for the payment of indemnity fees in the case of early
termination, adding a layer of protection. Cerved received EUR40
million in such fees in 2019, which largely compensate the revenue
loss over the expected 10-year life of the contract. We view the
loss of key NPL servicing contracts in Italy as a key risk to the
margin stability of the business, even though the credit management
division has partly diversified its revenue base, with roughly 10%
of revenue coming from Greece and Romania."

S&P said, "We view ION as a permanent financial sponsor owner. Pro
forma the refinancing, we expect adjusted debt to EBITDA around 6x
by year-end 2022 a strong decline from above 8x estimated for
year-end 2021. The group will likely remain highly leveraged in the
coming years, but we expect it to deleverage significantly by over
one turn year on year.

"We view positively Cerved's ability to generate stable free
operating cash flow (FOCF) even during challenging market
conditions. Despite the impact of the COVID-19 pandemic, which led
to a revenue decline and significant margin compression, Cerved was
able to generate FOCF of above EUR50 million in 2020, underlining
the resilience of its operating model. In 2021, we expect FOCF to
be close to EUR30 million, despite being affected by one-off
transaction fees. However, we expect FOCF to improve significantly
to about EUR75 million-EUR110 million between 2022 and 2023,
supported by a relatively low capital expenditure (capex)
requirement, modest working capital outflows, and an improved
EBITDA base due to significant cost cutting.

"The final ratings are in line with the preliminary ratings we
assigned in February 2022, following our review of the final
transaction documentation.

"The stable outlook reflects our view that Cerved's revenue will
increase by about 9% in 2022, thanks to a rebound in corporate
activity following the pandemic's worst effects, continued high
demand for digital services, and more favorable market conditions
for NPLs, with higher inflows of assets under management and better
recovery rates. Cost-cutting initiatives will also help support an
improvement in the adjusted EBITDA margin of about 500 bps,
resulting in deleveraging toward 6.0x by the end of 2022.

"We could raise the ratings if Cerved materially improved its
business strength, evident from increased scale, market position,
and geographical diversification, while maintaining adjusted debt
to EBITDA at about 5x and funds from operations (FFO) to debt at
about 12%. In addition, the permanent financial sponsor owner would
need to commit to a financial policy that sustains the metrics at
these levels."

S&P could lower the ratings if:

-- Cerved's operating performance weakened due to contract losses,
resulting in persistent low-single-digit or negative FOCF;

-- The FFO cash interest coverage ratio dropped below 2x; or

-- S&P assessed the group's financial policy as increasingly
aggressive, with debt-funded acquisitions or shareholder returns
increasing leverage.

ESG credit indicators: E-2, S-2, G-3

S&P said, "Governance factors are a moderately negative
consideration in our credit rating analysis of Castor SpA. Our
assessment of the company's financial risk profile as highly
leveraged reflects corporate decision-making that prioritizes the
interests of the controlling owners, in line with our view of the
majority of rated entities owned by private-equity sponsors. Our
assessment also reflects generally finite holding periods and focus
on maximizing shareholder returns."


SAIPEM SPA: Banks Mull EUR850M Bridge-Loan State-Backed Guarantee
-----------------------------------------------------------------
Daniele Lepido and Sonia Sirletti at Bloomberg News report that a
group of banks led by UniCredit SpA is considering options
including a state-backed guarantee for a EUR850 million (US$929
million) bridge-loan for troubled Italian engineering firm Saipem
SpA, according to people familiar with the matter.

The team of banks, which includes Intesa Sanpaolo SpA, started
discussing the option in a confidential meeting on Tuesday, March
8, the people said, asking not to be named since the project isn't
public, Bloomberg relates.

According to Bloomberg, the people said the banks plan to ask Sace
SpA, Italy's trade-credit insurer, for the guarantee.

They added no final decision has been taken and the plan could
change, Bloomberg notes.


TELECOM ITALIA: Moody's Cuts CFR to Ba3, Outlook Remains Negative
-----------------------------------------------------------------
Moody's Investors Service has downgraded the corporate family
rating and the ratings of all senior unsecured debt instruments
issued (or guaranteed) by Telecom Italia S.p.A. ("Telecom Italia",
"the company" or "the group") and its subsidiaries to Ba3/(P)Ba3
from Ba2/(P)Ba2. Concurrently, Moody's has downgraded to Ba3-PD
from Ba2-PD the company's probability of default rating. The
outlook for the entities remains negative.

The action follows the reporting of Telecom Italia's 2021 results,
which showed a significant reduction in organic EBITDA by 21.9% in
the fourth quarter (-9.6% for the full year), due to weak domestic
operations partially offset by steady contribution from Brazil, and
the announcement [1] of the new 2022-2024 plan, with an additional
EBITDA decline in the low teens in percentage terms in 2022, and an
expected recovery afterwards, implying a flat compound annual
growth rate over 2021-2024.

The company also said it is exploring the separation of its
wholesale operations, mostly including the primary and secondary
networks, from the retail activities, mainly focusing on consumer
and enterprise customers. The company outlined the benefits
associated with the so-called delayering of its operations, as the
entities operating independently would increase their strategic
focus, while gaining some regulatory relief and benefiting from a
more efficient capital allocation. The process would take 12-18
months to complete with more details around the capital structure
of each entity to be provided later in 2022.

Despite the potential for a network separation, Telecom Italia's
rating considers the company's current perimeter and configuration
and factors in the evolution of the credit metrics based on the
guidance for the group as a whole. However, should the company
proceed with the delayering strategy, Moody's would assess its
implications on the business model of each entity, as well as the
future financial profile including the deleveraging trajectory and
potential to generate free cash flow. This could ultimately lead to
a different rating outcome.

"The downgrade of Telecom Italia's ratings reflects the company's
much weaker than expected credit metrics due to the exposure to the
highly competitive market conditions in the Italian market and the
negative impact from Telecom Italia's content strategy," says
Ernesto Bisagno, a Moody's Vice President -- Senior Credit Officer
and lead analyst for Telecom Italia.

"While the dividend suspension will allow for some cash savings,
the negative outlook takes into account that the improvement in
credit metrics will depend on the company's ability to restore
earnings growth in 2023 in a highly competitive market," adds Mr
Bisagno.

RATINGS RATIONALE

Moody's has downgraded Telecom Italia's ratings because of the
deterioration in the company's credit metrics following the decline
in EBITDA which, combined with ongoing high capex investment, the
spectrum payment, as well as the impact from restructuring costs
will drive an increase in leverage, with Moody's-adjusted net debt
to EBITDA ratio increasing towards 5.5x in 2022, up from 4.3x in
2021, based on Moody's preliminary calculations. Moody's expects
net leverage to progressively return to 4.25x by 2024, driven a
recovery in EBITDA and improved cash flow generation.

In addition, there will be additional outflows associated with the
contract with DAZN, with regards to the football distribution to
Telecom Italia's customers. While the company took a prudent
approach and recognized the negative impact from the contract, it
also suggests minimum guaranteed volumes for DAZN, which had a
negative impact on Telecom Italia's profits because of lower than
expected volumes.

Moody's has factored into its decision the corporate governance
considerations associated with the company's financial strategy and
risk management and its track record. Despite the dividend
suspension, which will allow cash savings of around EUR320 million
in 2022, leverage will spike due to a combination of additional
earnings decline combined with significant outflows associated with
the spectrum payment in Italy and Brazil and investment needs.
While the full details of the capital structure post delayering
will come later in the year, the company has indicated the
potential for higher distribution to shareholders, following the
network separation.

The company has shown tolerance to operate at higher than expected
leverage levels for a longer period of time, while frequent changes
to senior management have led to changes in the strategic direction
of the group. The new management will be embarking into a
significant shift of the strategy with the potential network
separation which could unlock some asset value through the
delayering. The new top management brings significant experience
from past turnaround of Brazilian operations that could benefit the
execution of Telecom Italia's strategy. However, with four
different chief executive officers in six years, Telecom Italia has
had a high turnover in senior management roles which suggests
difficulties in adapting to evolving market conditions, and has
demonstrated an uneven track record at achieving its earnings
guidance.

As a result, Moody's has changed its assessment of the company's
Financial Strategy and Risk Management to 4 from 3, and the overall
exposure to governance risks (Issuer Profile Score or "IPS") to
highly negative (G-4) from moderately negative (G-3). Moody's has
also changed Telecom Italia's ESG Credit Impact Score to highly
negative (CIS-4) from moderately negative (CIS-3), reflecting
revised governance considerations which, despite better scores in
the environmental (E-2) and social (S-3) categories, have a
discernible negative impact on the current rating.

The Ba3 rating primarily reflects (1) the company's scale and
position as the incumbent service provider in Italy, with strong
market shares in both fixed and mobile segments; (2) the
international diversification in Brazil which have reported steady
earnings growth; ànd (3) the strong profitability and continued
focus on cost control. The rating is constrained by (1) the
company's high Moody's-adjusted net debt/EBITDA ratio at 4.3x as of
December 2021, expected to increase towards 5.5x in 2022; (2) the
high competitive pressures in Italy; (3) the ongoing earnings
decline; (4) the negative Moody's-adjusted free cash flow (FCF)
because of a high need for capital spending; and (5) the complexity
of the group's structure.

LIQUIDITY

Telecom Italia's liquidity position at December 31, 2021 is ample
with cash and cash equivalents of EUR8.3 billion and EUR4 billion
available under its revolving credit facility agreements due in
2026, with no financial covenants. However, the company is likely
to generate negative free cash flow of around EUR1.2 billion in
2022 before spectrum payments of EUR2 billion, and has significant
debt maturities of around EUR3.9 billion in 2022 and EUR3.2 billion
in 2023.

RATIONALE FOR NEGATIVE OUTLOOK

The negative outlook on the rating reflects Telecom Italia's
current high leverage, with additional increase expected in 2022,
before a potential decline from 2023 onwards. However, the
improvement in leverage and cash flows will depend on the company's
ability to restore profit growth which could be difficult, given
the highly competitive market conditions in the Italian market.

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

Upward rating pressure in the next 12-18 months is unlikely given
the pressure on credit metrics. However, upward pressure could
develop if operating performance shows signs of significant
improvement, such that Telecom Italia's Moody's-adjusted
debt/EBITDA remains comfortably below 3.75x on a sustained basis.

Further downward rating pressure could develop in the near term if
Telecom Italia's fails to rapidly demonstrate its capacity to
rebuild earnings growth in 2023 by more effective operational
actions and/or with a new strategic shift; its Moody's-adjusted net
leverage ratio does not progressively reduce towards 4.25x; or it
does not maintain its ample liquidity headroom.

LIST OF AFFECTED RATINGS

Downgrades:

Issuer: Telecom Italia S.p.A.

Probability of Default Rating, Downgraded to Ba3-PD from Ba2-PD

LT Corporate Family Rating, Downgraded to Ba3 from Ba2

Senior Unsecured Bank Credit Facility, Downgraded to Ba3 from Ba2

Senior Unsecured Medium-Term Note Program, Downgraded to (P)Ba3
from (P)Ba2

Senior Unsecured Regular Bond/Debenture, Downgraded to Ba3 from
Ba2

Issuer: Olivetti Finance N.V.

BACKED Senior Unsecured Regular Bond/Debenture, Downgraded to Ba3
from Ba2

Issuer: Telecom Italia Capital S.A.

BACKED Senior Unsecured Regular Bond/Debenture, Downgraded to Ba3
from Ba2

Issuer: Telecom Italia Finance, S.A.

BACKED Senior Unsecured Medium-Term Note Program, Downgraded to
(P)Ba3 from (P)Ba2

BACKED Senior Unsecured Regular Bond/Debenture, Downgraded to Ba3
from Ba2

Outlook Actions:

Issuer: Olivetti Finance N.V.

Outlook, Remains Negative

Issuer: Telecom Italia Capital S.A.

Outlook, Remains Negative

Issuer: Telecom Italia Finance, S.A.

Outlook, Remains Negative

Issuer: Telecom Italia S.p.A.

Outlook, Remains Negative

PRINCIPAL METHODOLOGY

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

COMPANY PROFILE

Telecom Italia (comprising Telecom Italia and its subsidiaries) is
the leading integrated telecommunications provider in Italy. The
company provides a full range of services and products, including
telephony, data exchange, interactive content, and information and
communications technology solutions. In addition, the group is one
of the leading telecom companies in the Brazilian mobile market,
operating through its subsidiary, TIM Brasil. Vivendi SE (Vivendi,
Baa2 negative) and Cassa Depositi e Prestiti S.p.A. (Baa3 stable)
are the main shareholders of Telecom Italia, with 23.8% and 9.8%
shares, respectively. In 2021, Telecom Italia reported EUR15.3
billion in revenue and EUR6.2 billion in company-organic EBITDA.




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CEC BANK: Fitch Assigns 'BB' LongTerm IDR, Outlook Stable
---------------------------------------------------------
Fitch Ratings has assigned Romania-based CEC Bank S.A. (CEC) a
Long-Term Issuer Default Rating (IDR) of 'BB' with Stable Outlook,
Viability Rating (VR) of 'bb' and Government Support Rating (GSR)
of 'b'.

KEY RATING DRIVERS

IDR and VR

CEC's IDRs and VR reflect the bank's moderate albeit strengthening
business profile, solid capitalisation and reasonable funding and
liquidity profile. These offset asset quality and profitability
that are weaker than the sector. The bank's risk profile is
commensurate with its relatively simple business model, with
underwriting standards broadly in line with domestic industry
standards, but with somewhat decentralised lending approval,
coupled with relatively unsophisticated risk controls.

CEC is a medium sized, commercial bank in Romania (ranked seventh
by assets), fully owned by the Romanian state. The bank has a
market share of about 7.9% of the sector's assets at end-2021, and
loans and a modestly higher market share in customer deposits. The
bank operates a traditional universal bank business model with
lending skewed towards the non-retail segment, including
significant exposure to public sector entities, funded largely by
retail customer deposits. The strength of the bank 's franchise is
boosted by a significant branch network outside of the largest
cities, where competitive pressure is lower as a greater proportion
of the population is underbanked. As a result, the bank is able to
generate a good level of fee and commission income, despite a
fairly basic product range.

CEC's capitalisation is a rating strength underpinned by its high
capital ratios, modest capital encumbrance by unprovisioned
impaired loans and a reasonable risk profile. At end-3Q21, the
bank's common equity Tier 1 (CET1) ratio stood at 22.3%, but is
expected to reduce to an estimated 18% at end-2021, given the
declared sizable dividend to be paid out of 2020 and 2019 profits,
and the impact of negative revaluation of sovereign debt on the
bank's capital. CEC maintains solid buffers above minimum
regulatory requirements. Regulatory capital ratios will be further
supported by the Tier 2 eligible subordinated debt (equal to about
7.2% of risk-weighted assets; RWA) recently issued to the state and
meant to also cover the bank's interim resolution requirement
targets. Fitch expects the bank to operate at slightly higher
capital ratios compared with peers, partly due to more difficult
process for capital injection form the owner, given state aid
considerations.

CEC's asset quality is weaker than peers, largely reflecting
problem loans in its sizable corporate/SME loan portfolio, with a
meaningful share of some legacy bad debts. The bank's impaired
loans ratio stood at around 6.1% at end-3Q21 compared with the
sector average of around 3.8%. Coverage of problem loans is
reasonable (albeit lower than at peers) and has been steadily
growing over the last five years, with total provisions covering
close to 80% of impaired loans. Fitch expects the bank to continue
to build its provision coverage and resolve legacy bad debts.
However, improvement in asset quality metrics will only be gradual,
given the bank's plans to increasingly compete in the higher-risk,
higher-margin retail unsecured lending segment.

Profitability is moderate, reflecting the structure of the lending
portfolio, which is dominated by lower margin non-retail lending
and mortgage lending. In 9M21, the bank's operating profit to RWA
moderately improved to about 2.8% from about 2.4% in 2020 largely
reflecting lower loan impairment charges, while net revenues
suffered due to net interest margin pressure. The bank's strategy
to continue to increase more profitable retail unsecured loans will
be positive for profitability, but significant investment is needed
to accelerate the lagging digital transformation. Together with a
normalising loan impairment charge, this means that profitability
improvements are unlikely in the short to medium term.

CEC's funding and liquidity profile is reasonable, reflecting its
sizable liquidity cushion and potential ordinary support from the
owners. Liquidity is solid, covering the bank's modest refinancing
needs well, while regulatory liquidity ratios remain well above the
minimum requirements.

The bank has a stable and granular deposit base, which underpins
its healthy gross loans to customer deposit ratio (about 67% at end
3Q21). Despite the ratio, Fitch considers its deposit franchise to
be just moderate as it relies on more expensive term deposit
funding because of its weaker customer relationships. This is
somewhat mitigated by lower competition from other Romanian banks
in the regions where CEC mainly operates. The bank's non-deposit
funding is largely composed of subordinated debt issued to the
state at end-2021. It plans to further increase its non-deposit
funding.

GSR

CEC's GSR reflect Fitch's view that there is a limited probability
of extraordinary support being provided to CEC by the Romanian
state (BBB-/Negative), its 100% owner. Fitch considers that the
likelihood of such support is reduced by the Bank Recovery and
Resolution Directive and the Single Resolution Mechanism, which
limits the ability for banks to be supported without the bail-in of
senior creditors. Fitch's view of potential support available to
the bank is based on direct, full and willing state ownership and
the bank's significant presence in underbanked regions of Romania.

RATING SENSITIVITIES

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

-- The Stable Outlook on CEC's ratings reflect the sizeable
    rating headroom. The most likely cause of a downgrade of the
    bank's ratings would be if its capitalisation metrics weaken
    meaningfully compared with Fitch's base expectations of around
    18%. This could happen in particular due to significantly
    faster than expected lending growth not matched by improvement
    in internal capital generation, continued significant capital
    distributions or weakening of the bank's asset quality, which
    would signal a deterioration of the bank's risk profile.

-- CEC's VR and IDR could also be downgraded in case of a sharp
    deterioration of the operating environment in Romania,
    although Fitch believes this risk is currently remote.

-- GSR could be downgraded in case the sovereign's ability or
    propensity to support the bank weakens.

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

-- An upgrade of the bank's ratings is unlikely in the near term,
    given its business profile and market position. Fitch could
    upgrade the ratings if the bank shows a record of sustained
    improvement in earnings and profitability, underpinned by a
    structural improvement of its business profile, while also
    converging is asset quality metrics to domestic peers.

-- The IDRs and VR could also be upgraded if the operating
    environment was upgraded and the bank maintains a resilient
    credit profile.

-- An upgrade of the bank's GSR would be contingent on a positive
    change in the sovereign's propensity to support the bank.
    While not impossible, this is highly unlikely, in Fitch's
    view.

VR ADJUSTMENTS

The operating environment score of 'bb+' has been assigned below
the implied score, due to the following adjustment: Macroeconomic
Stability (negative).

The asset quality score of 'bb-' has been assigned above the
implied score due to the following adjustments: Impaired Loan
Formation (positive).

The capitalisation and leverage score of 'bb+' has been assigned
below the implied score due to the following adjustments:
Historical and Future Metrics (negative)

BEST/WORST CASE RATING SCENARIO

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

ESG CONSIDERATIONS

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance 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 the way in which they are being
managed by the entity.




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

RUSSIA: Fitch Lowers LongTerm Foreign Currency IDR to 'C'
---------------------------------------------------------
Fitch Ratings, on March 8, 2022, downgraded Russia's Long-Term
Foreign Currency Issuer Default Rating (IDR) to 'C' from 'B'.

Fitch typically does not assign Outlooks or apply modifiers for
sovereigns with a rating of 'CCC' or below.

EU CALENDAR DEVIATION DISCLOSURE

Under EU credit rating agency (CRA) regulation, the publication of
sovereign reviews is subject to restrictions and must take place
according to a published schedule, except where it is necessary for
CRAs to deviate from this in order to comply with their legal
obligations. Fitch interprets this provision as allowing us to
publish a rating review in situations where there is a material
change in the creditworthiness of the issuer that Fitch believes
makes it inappropriate for us to wait until the next scheduled
review date to update the rating or Outlook/Watch status. The next
scheduled review date for Fitch's sovereign rating on Russia will
be 27 May 2022 but Fitch believes that developments in the country
warrant such a deviation from the calendar and Fitch's rationale
for this is set out in the High weight factors of the Key Rating
Drivers section below.

KEY RATING DRIVERS

The downgrade reflects the following key rating drivers and their
relative weights:

HIGH

The 'C' rating reflects Fitch's view that a sovereign default is
imminent.

This rating action follows Fitch's downgrade of the Long-Term
Foreign-Currency IDR to 'B'/Rating Watch Negative on 2 March, and
developments since then have, in Fitch's view, further undermined
Russia's willingness to service government debt.

This includes the Presidential Decree of 5 March, which could
potentially force a redenomination of foreign-currency sovereign
debt payments into local currency for creditors in specified
countries. In addition, the application of Central Bank of Russia
regulation has restricted the transfer of local-currency OFZ debt
coupons to non-residents since late last week.

More generally, the further ratcheting up of sanctions, and
proposals that could limit trade in energy, increase the
probability of a policy response by Russia that includes at least
selective non-payment of its sovereign debt obligations.

To a lesser extent, the risk of imposition of technical barriers to
servicing debt, including through the direct blocking of transfer
of funds, or through clearing and settlement systems, have also
risen somewhat since Fitch's last review.

The lowering of the Country Ceiling to 'B-' reflects the expected
impact of capital controls in impeding transfer and convertibility.
The differential to the Long-Term IDRs is due to the potential for
a degree of selective enforcement of capital controls or the
potential ability for some entities to make payments.

ESG - Governance: Russia has an ESG Relevance Score (RS) of '5' for
both Political Stability and Rights and for the Rule of Law,
Institutional and Regulatory Quality and Control of Corruption, as
is the case for all sovereigns. These scores reflect the high
weight that the World Bank Governance Indicators (WBGI) have in
Fitch's proprietary Sovereign Rating Model. Russia has a low WBGI
ranking at the 29th percentile reflecting relatively weak rights
for participation in the political process, weak institutional
capacity, uneven application of the rule of law and a high level of
corruption. Russia has an ESG Relevance Score of '5' for
International Relations and Trade reflecting the detrimental impact
of sanctions. Russia also has an ESG Relevance Score of '5' for
Creditor Rights due to very weak willingness to service and repay
debt.

RATING SENSITIVITIES

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

-- Failure to fulfil commercial debt payment within stipulated
    grace periods.

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

-- Improved confidence in Russia's willingness to repay debt, for
    example due to implementation of policy that is consistent
    with its continuing servicing of debt obligations, alongside
    expectations there will be continued capacity to execute debt
    payments.

SOVEREIGN RATING MODEL (SRM) AND QUALITATIVE OVERLAY (QO)

In accordance with its rating criteria, Fitch's sovereign rating
committee has not utilised the SRM and QO to explain the ratings,
which are instead guided by the ratings definitions.

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

BEST/WORST CASE RATING SCENARIO

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

ESG CONSIDERATIONS

Russia has an ESG Relevance Score of '5' for Political Stability
and Rights as World Bank Governance Indicators have the highest
weight in Fitch's SRM and are therefore highly relevant to the
rating and a key rating driver with a high weight. As Russia has a
percentile rank below 50 for the respective Governance Indicator,
this has a negative impact on the credit profile. The ESG.RS also
reflects geopolitical risk.

Russia has an ESG Relevance Score of '5' for Rule of Law,
Institutional & regulatory Quality and Control of Corruption as
World Bank Indicators have the highest weight in Fitch's Sovereign
Rating Model and are therefore highly relevant to the rating and a
key rating driver with high weight. As Russia has a percentile rank
below 50 for the respective Governance Indicators, this has a
negative impact on the credit profile.

Russia has an ESG Relevance Score of '5' for Russia for
International Relations and Trade reflecting the detrimental impact
of sanctions, which has a negative impact on the credit profile, is
highly relevant to the rating and a key rating driver with a high
weight.

Russia has an ESG Relevance Score of '5' for Creditor Rights due to
very weak willingness to service and repay debt, which has a
negative impact on the credit profile, is highly relevant to the
rating and a key rating driver with a high weight.

Russia has an ESG Relevance Score of '4' for Human Rights and
Political Freedoms as the Voice and Accountability pillar of the
World Bank Governance Indicators is relevant to the rating and a
rating driver. As Russia has a percentile rank below 50 for the
respective Governance Indicator, this has a negative impact on the
credit profile.

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 by the entity.


[*] RUSSIA: Central Bank Takes Steps to Support Finance Firms
-------------------------------------------------------------
Reuters reports that Russia's central bank announced on March 8 a
series of steps to help financial market players such as private
pension funds and management companies cope with the current
"crisis situation," including relaxing some regulations.

Russia's financial markets have been thrown into turmoil by severe
economic sanctions over its invasion of Ukraine, Reuters relates.

The central bank has more than doubled its key interest rate to 20%
and provided extra liquidity to banks, and the government has
rolled out some support measures, but the rouble has tanked and
securities like bonds have sold off heavily, Reuters discloses.

According to Reuters, in a statement on the Telegram messaging app,
the central bank said its new measures included adapting regulatory
requirements to the new economic conditions, waiving penalties for
some regulatory violations if they are linked to the current market
situation, and extending timeframes for market players to implement
some rules.

It added they were part of efforts to lower the regulatory and
supervisory burden, Reuters states.


[*] RUSSIA: European Commission Prepares New Package of Sanctions
-----------------------------------------------------------------
Francesco Guarascio, Jan Strupczewski and John Chalmer at Reuters
report that the European Commission has prepared a new package of
sanctions against Russia and Belarus over the invasion of Ukraine
that will hit additional Russian oligarchs and politicians and
three Belarusian banks, three sources told Reuters on March 8.

According to Reuters, one source said the draft sanctions were
adopted by the EU executive on March 8 and will be discussed by EU
ambassadors.

The draft package will ban three Belarusian banks from the SWIFT
banking system and add several more oligarchs and Russian lawmakers
to the EU blacklist, the sources told Reuters.

The sources said the package also bans exports from the EU of naval
equipment and software to Russia and provides guidance on the
monitoring of cryptocurrencies to avoid their use to circumvent EU
sanctions, Reuters relates.

EU diplomats have so far approved sanctions proposed by the EU
Commission against Russia and Belarus without any changes, Reuters
notes.

The EU has already excluded seven Russian banks from SWIFT, but had
not included Belarusian banks, Reuters states.

The sources declined to name the new lenders to be sanctioned.

According to Reuters, one source said the package also listed
oligarchs and members of Russia's Federation Council, which is the
upper house of the Russian Parliament.

So far EU sanctions have hit hundreds of members of the lower
house, the Duma, who voted in favour of Russia's recognition of the
self-proclaimed people's republics of Donetsk and Luhansk in
eastern Ukraine, Reuters discloses.

The sources, as cited by Reuters, said EU will also expand its ban
on EU exports of advanced technology to Russia, mostly supporting
the ban on the export of maritime technology.


[*] RUSSIA: US, UK to Ban Russian Oil Following Ukraine Invasion
----------------------------------------------------------------
BBC News reports that the US and UK are banning Russian oil and the
EU is ending its reliance on Russian gas, stepping up the economic
response to the invasion of Ukraine.

US President Joe Biden said the move targeted "the main artery of
Russia's economy", BBC relates.

Energy exports are a vital source of revenue for Russia but the
move is also likely to impact Western consumers, BBC states.

Major brands have meanwhile continued to pull out of Russia, with
McDonald's and Coca-Cola the latest to leave, BBC relays.

Russia's economy is heavily dependent on energy.  It is the world's
third-biggest oil producer, behind Saudi Arabia and the US.

Before the measures were announced, Russia warned of "catastrophic"
consequences for the global economy and said it might close its
main gas pipeline to Germany, BBC recounts.

The conflict has already sent petrol prices to record highs in the
US and the UK and experts warn they could go even higher, BBC
discloses.

However, Venezuela could increase its oil production to help
replace Russian oil, according to BBC.

Reinaldo Quintero, president of the association that represents
Venezuelan oil companies told the BBC that the country could
potentially raise its production levels by 400,000 barrels a day.

President Biden's announcement followed pressure from both sides of
the US political divide to do more to target the Russian economy.

"We're banning all imports of Russian oil and gas and energy," BBC
quotes Mr. Biden as saying.

"That means Russian oil will no longer be acceptable at US ports
and the American people will deal another powerful blow to
[President Vladimir] Putin."

Mr. Biden admitted the move was "not without cost at home," adding
the decision was taken "in close consultation" with allies, BBC
notes.

In a similar move, the UK is to phase out Russian oil imports by
the end of 2022, BBC relates.

According to BBC, the UK Prime Minister, Boris Johnson, accepted
that the move would not hit Russia immediately but added "what it
will do is add to the pressure we're already seeing on Russia and
don't forget that the economic impact of the sanctions that the UK
has led has been extreme".

About 8% of US oil and refined product imports come from Russia,
while Russia makes up about 6% of the UK's oil imports.

By contrast, the EU is much more reliant on Russian energy, so the
bloc's response stopped short of a ban.

The European Commission said it would switch to alternative
supplies and expand clean energy faster to fill the shortfall, with
the aim of making Europe independent from Russian fossil fuels
"well before 2030", BBC notes.

Russia later announced plans to ban the exports of certain
commodities and raw materials, BBC recounts.  The details are still
to be worked out, but Russia is a major exporter of grain and
metals, BBC states.

Even countries with low Russian energy imports are set to feel the
impact as the measures are likely to boost already high wholesale
prices, BBC discloses.




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

CLAVEL RESIDENTIAL: S&P Assigns B- Rating on Class F Notes
----------------------------------------------------------
S&P Global Ratings assigned ratings to Clavel Residential DAC's
class A, B-Dfrd, C-Dfrd, D-Dfrd, E-Dfrd, and F-Dfrd notes. At
closing the issuer also issued unrated class Z notes.

This is a static RMBS transaction. The pool of EUR175,590,000
comprises 2,832 loan parts originated by Catalunya Banc S.A., Caixa
d'Estalvis de Catalunya, Caixa d'Estalvis de Tarragona, and Caixa
d'Estalvis de Manresa. The assets are primarily first-ranking
owner-occupied loans secured against properties in Spain. The
portfolio is concentrated in Catalonia (73.51%) and contains 92% of
restructured loans.

At closing, the issuer used the class A to Z notes' issuance
proceeds to purchase the "participaciones hipotecarias" and
"certificados de participación hipotecaria" from the seller.

Credit enhancement for the rated notes comprises subordination and
excess spread.

There is a liquidity reserve fund for the class A notes that was
fully funded at closing by the class Z notes.

There are no rating constraints in the transaction under S&P's
operational, counterparty, legal, or structured finance sovereign
risk criteria.

S&P's ratings address the timely payment of interest and ultimate
payment of principal on the class A notes. Its ratings on the class
B-Dfrd to F-Dfrd notes address the ultimate payment of interest and
principal, until they become the most senior notes outstanding.

  Ratings

  CLASS      RATING*    AMOUNT (MIL. EUR)

  A          AAA (sf)     115.89

  B-Dfrd     AA+ (sf)      13.61

  C-Dfrd     A+ (sf)        8.78

  D-Dfrd     BBB+ (sf)      8.78

  E-Dfrd     BB (sf)        4.83

  F-Dfrd     B- (sf)        2.64

  Z          NR            21.06

*S&P's ratings address timely receipt of interest and ultimate
repayment of principal on the class A notes and the ultimate
payment of interest and principal on the other rated notes. S&P's
ratings also address timely interest on current interest due when
they become most senior outstanding. Any deferred interest is due
by maturity.
Dfrd--Deferrable.
NR--Not rated.


OBRASCON HUARTE: Moody's Hikes CFR to B3, Outlook Remains Positive
------------------------------------------------------------------
Moody's Investors Service upgraded Obrascon Huarte Lain S.A.'s
("OHLA") corporate family rating to B3 from Caa1 and the company's
probability of default rating to B3-PD from Caa1-PD. Concurrently,
Moody's upgraded the instrument rating of the EUR487 million
guaranteed senior secured notes due 2026 issued by OHL Operaciones
S.A.U., a wholly-owned subsidiary of OHLA, to B3 from Caa2. The
outlook for OHLA and OHL Operaciones S.A.U. remains positive.

RATINGS RATIONALE

The upgrade of the CFR to B3 reflects (1) an almost EUR100 million
debt reduction (equal to 15% of OHLA's Moody's-adjusted debt as of
December 2021); (2) Moody's expectation that OHLA will further
reduce its debt (including through mandatory repayment under the
asset sale regime) and its EBITDA will gradually expand on
increased economic activity in the construction business and
profitability improvement - altogether resulting in deleveraging to
around 4.0x-4.5x Moody's-adjusted debt/EBITDA over the next 12-18
months; (3) a strong order intake of around EUR3.7 billion in 2021,
which provides some visibility into 2022-23 revenue; and (4)
continued profitability improvement despite pressures from cost
inflation. In 2021, OHLA's leverage decreased to 5.5x
Moody's-adjusted debt/EBITDA (based on nominal value of the
guaranteed senior secured notes) from 10x in 2020 and further to
4.7x pro forma for the repayment of the EUR54 million
Spanish-government guaranteed bank loan and EUR43 million partial
tender offer of the guaranteed senior secured notes in Q1 2022.

The two-notch upgrade of the guaranteed senior secured notes to B3
from Caa2 incorporates the repayment of the Spanish-government
guaranteed loan, which ranked ahead of the bondholders in Moody's
priority of claim analysis. Following this repayment in early 2022,
the group's capital structure consists primarily of a single class
of debt, and the instrument rating and CFR are therefore aligned.

The positive outlook acknowledges the improvement in the capital
structure and operating trends balanced against growing uncertainty
around the global economic environment and OHLA's ability to
sustain its recent gains in profitability despite increasing
inflationary pressure on key cost components, such as building
materials and labour. Achieving a higher rating hinges primarily on
OHLA's ability to demonstrate a track record of sustainable
profitable growth, which translates into consistently positive free
cash flow (FCF). This would require OHLA to execute on its sizable
short-term order backlog of EUR5.4 billion.

The B3 rating is supported by (1) expectations for the company to
sustain its improved operating performance in the construction
segment, where it achieved a 4.5% reported EBITDA margin in 2021
(2.7% in 2020); (2) management's commitment reduce business risk,
with a focus on the cash conversion of projects; and (3) a sizeable
short-term total order backlog of EUR5.4 billion as of December 31,
2021, covering around 22 months of construction revenue, with a
balanced split of the construction order book between its core
geographies of the North America (37%), Europe (36%), Latin America
(26%) and other (1%); (4) currently strong demand for
infrastructure projects in the public sector.

OHLA's credit profile continues to be constrained by (1) Moody's
expectation of muted FCF in the next 12-18 months, partly due
investments in working capital to support growth; (2) still limited
track record of improvement in operating and financial performance,
though Moody's recognises the improvement over the last two years;
and (3) thin margins which provide minimal cushion for
underperformance or any unexpected incremental costs.

LIQUIDITY

OHLA's liquidity is adequate. As of December 31, 2021, the company
had around EUR360 million in cash on hand, excluding cash sitting
at joint-ventures and associates (around EUR148 million) and cash
used as collateral (EUR140 million), which is not necessarily
immediately available to the parent. Moody's expects the cash
balance together with expected funds from operations of around
EUR80 million over the next 12 months to be sufficient to cover
working capital needs, capital spending of around EUR45 million
(including lease payments) and short-term debt maturities
(excluding mandatory repayment under the asset sale regime). The
nearest material debt maturity is March 2025, when 50% of the
EUR487 million guaranteed senior secured notes fall due.

OHLA does not have any committed long-term revolving facilities,
which limits room for underperformance in its regular construction
business or larger seasonal working capital swings than currently
anticipated by Moody's. The current liquidity assessment does not
include the proceeds from potential disposal of Canalejas (with a
book value of around EUR200 million as of end-December 2021),
albeit Moody's recognises that these could provide some liquidity
buffer.

STRUCTURAL CONSIDERATIONS

OHL Operaciones S.A.U., is an indirect wholly-owned subsidiary of
OHLA and is the issuer of the EUR487 million guaranteed senior
secured notes, 50% of which are due in March 2025 and the remaining
in March 2026, which represent the bulk of the debt capital
structure and are therefore rated in line with the CFR. The notes
are guaranteed by operating subsidiaries that generate at least 90%
of the group's revenue and benefit from a customary security
package, including pledge over shares in certain subsidiaries,
certain bank accounts and intercompany receivables.

RATIONALE FOR THE POSITIVE OUTLOOK

The positive outlook reflects Moody's expectation that over the
next 12-18 months OHLA will increase its revenue and EBITDA
generation on the back of its sizeable order backlog, continue to
reduce leverage and maintain its adequate liquidity.

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

Upward pressure on the ratings could arise if OHLA (1) demonstrates
a track record of profitable growth with Moody's-adjusted EBITA
trending towards EUR100 million; (2) maintains its leverage below
5.0x Moody's-adjusted gross debt/EBITDA on a sustainable basis; (3)
increases Moody's-adjusted EBITA/interest expense above 1.5x on a
sustainable basis; (4) consistently generates positive FCF; and (5)
maintains its adequate liquidity.

Downward pressure on the ratings could arise if OHLA's (1) leverage
exceeds 6.5x Moody's-adjusted debt/EBITDA on a sustained basis; (2)
interest coverage falls below 1.0x Moody's-adjusted EBITA/interest
expense; and (3) liquidity weakens, including because of
persistently negative FCF.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was Construction
published in September 2021.

COMPANY PROFILE

Headquartered in Madrid, OHLA is one of Spain's leading
construction groups. The group's activities include its core
engineering and construction business (including the industrial and
services divisions); and concessions development in identified core
markets in Europe, North America and Latin America. In 2021, OHLA
reported sales of around EUR2.8 billion and company-adjusted EBITDA
of around EUR91 million.

OHLA's main shareholders are the Mexican Amodio family (26%) via
their investments in Forjar Capital S.L.U. and Solid Rock Capital
S.L.U., Villar Mir family (7%) via Inmobiliaria Espacio S.A., the
Backstop providers under the financial restructuring scheme (20%)
and Tyrus Capital (2%). The remaining shares are in free float and
are traded on the Madrid and the Barcelona Stock Exchanges.




=====================
S W I T Z E R L A N D
=====================

GAZPROMBANK LTD: Fitch Lowers LT IDR to 'B-', On Wach Negative
--------------------------------------------------------------
Fitch Ratings has downgraded Gazprombank (Switzerland) Ltd's (GBPS)
Long-Term Issuer Default Rating (IDR) to 'B-' from 'BBB' and placed
it on Rating Watch Negative (RWN).

The downgrade follows the downgrade of its parent, Gazprombank
(Joint-stock Company), to 'B'/RWN (see "Fitch Downgrades Russian
Banks Following Sovereign Rating Action; Places on Rating Watch
Negative" dated March 4, 2022).

Fitch has also withdrawn GPBS's Support Rating of '2' as it is no
longer relevant for the agency's coverage following the publication
of its updated Bank Rating Criteria on 12 November 2021. In line
with the updated criteria, Fitch has assigned a Shareholder Support
Rating (SSR) of 'b-'/RWN.

KEY RATING DRIVERS

The downgrade of GBPS's ratings is primarily driven by the
downgrade of its parent and support provider, Gazprombank. The
one-notch difference between the ratings of GBPS and Gazprombank
reflects incremental regulatory risks to the parent's ability to
provide timely support to the subsidiary, given the rapidly
changing regulatory restrictions on foreign-currency transfers
abroad from Russia. The 'B' Short-Term IDR is the only option
mapping to a 'B-' Long-Term IDR.

The RWN on GPB's ratings mirror the RWN on Gazprombank's Long-Term
IDR.

In accordance with Fitch's policies, the issuer appealed and
provided additional information to Fitch that resulted in a rating
action that is different than the original rating committee
outcome.

RATING SENSITIVITIES

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

-- The ratings will likely be downgraded if GBPS's parent is
    downgraded, or if the ability or propensity of Gazprombank to
    provide support weakens further. A regulatory intervention by
    the Swiss authorities imposing limits on GBPS's ability to
    timely service its obligations would also lead to a downgrade.

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

-- The ratings could be upgraded if GBPS's parent's ratings were
    upgraded.

BEST/WORST CASE RATING SCENARIO

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

PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS

GBPS's ratings are driven by support from its parent Gazprombank.

ESG CONSIDERATIONS

GPBS has an ESG Relevance Score of '4' for Governance Structure,
which mirrors that of its parent, Gazprombank. The score reflects
weaknesses in governance and controls at the group level, which are
also relevant for GPBS, as a highly-integrated subsidiary. This has
a negative impact on the credit profile, and is relevant to the
rating in conjunction with other factors.

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance 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 the way in which they are being
managed by the entity.




=============
U K R A I N E
=============

MHP SE: S&P Downgrades ICR to 'B-', On CreditWatch Negative
-----------------------------------------------------------
S&P Global Ratings lowered its issuer credit rating on
Ukraine-Based MHP SE and its issue rating on its senior unsecured
notes to 'B-' from 'B', and placed them on CreditWatch with
negative implications.

The CreditWatch negative placement mirrors that on the sovereign
and reflects the uncertainty that the conflict bears on Ukraine's
economy and financial and agricultural export capacity, and
therefore that of MHP.

On Feb. 25 2022, S&P Global Ratings lowered its long-term foreign
and local currency sovereign credit ratings on Ukraine to 'B-' from
'B', and placed them on CreditWatch with negative implications. The
ongoing conflict poses risks to Ukraine's economic growth,
financial stability, external position, and public finances.

S&P said, "We see material risks from the deterioration in the
economic and financing conditions in Ukraine. Material risks for
agricultural companies like MHP, Ukraine's largest poultry meat
producer and exporter, are linked to severe trade flow restrictions
and weak harvesting conditions for key crops as we move into
planting season over the next few weeks.

"We think MHP's creditworthiness has deteriorated substantially
following the outbreak of conflict in Ukraine. We have revised our
assessment of the company's business risk to vulnerable from fair,
reflecting our recent revision of the country risk assessment on
Ukraine to very high versus high previously. Our business risk
assessment on MHP is very sensitive to changes in our country risk
assessment on Ukraine because about 88% of MHP's revenue-generating
physical assets are located in the country. The conflict poses
risks to Ukraine's economic growth, financial stability, external
position, and public finances. Ukraine now faces the possibility of
disruption to key economic sectors, such as its significant
agricultural exports and gas pipeline network. As a result of the
military invasion by Russia, we now align our ratings on Ukraine
with those on the sovereign, reflecting the severe disruption on
the company's operations as it is unable to export Ukrainian
produce (about 53% of total revenue) from the country. Moreover, we
see material operational risks for MHP to be able to source
feedstock and manufacture chicken products, given the high
logistical disruptions in the country.

"Our ratings on MHP continue to reflect the company's adequate
liquidity assessment. As of Sept. 30, 2021, the company boasted
about $286.7 million of cash on balance sheet with very low amounts
of short-term debt ($16.4 million). None of the company's three
Eurobonds outstanding are due until May 2024, when its $500 million
7.75% fixed-rate coupon notes are due."

S&P Global Ratings acknowledges a high degree of uncertainty about
the extent, outcome, and consequences of the military conflict
between Russia and Ukraine.

Irrespective of the duration of military hostilities, sanctions and
related political risks are likely to remain in place for some
time. Potential effects could include dislocated commodities
markets -- notably for oil and gas -- supply chain disruptions,
inflationary pressures, weaker growth, and capital market
volatility. As the situation evolves, S&P will update its
assumptions and estimates accordingly.

CreditWatch

S&P said, "The CreditWatch placement of our ratings on MHP and its
senior unsecured notes mirrors that of the sovereign rating on
Ukraine, which speaks to the multiple risks to Ukraine's economy,
balance of payments, public finances, and financial and political
stability stemming from the ongoing conflict. We aim to resolve the
CreditWatch within 90 days. We could lower our ratings on MHP if we
lowered our foreign currency long-term sovereign credit rating on
Ukraine." This could happen should the uncertainty posed by the
conflict lead to a drain on Ukraine's external liquidity or a rise
in contingent liabilities from its commercial banking system. The
rating might also come under pressure if we expected military
actions would prevent the Ukrainian authorities from servicing
commercial debt.

On a stand-alone basis, downward rating pressure on MHP could occur
if the group cannot operate its key production and export
facilities and collect cash over a prolonged time, such that S&P
sees clear indications of a rapid and sharp deterioration in the
company's liquidity position. S&P aims to resolve the CreditWatch
within 90 days.




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

CARDIFF AUTO 2022-1: DBRS Gives Prov. BB Rating on Class E Notes
----------------------------------------------------------------
DBRS Ratings Limited assigned provisional ratings to the following
classes of notes (the Rated Notes) to be issued by Cardiff Auto
Receivables Securitization 2022-1 plc (the Issuer):

-- Class A Notes at AAA (sf)
-- Class B Notes at A (high) (sf)
-- Class C Notes at A (low) (sf)
-- Class D Notes at BBB (low) (sf)
-- Class E Notes at BB (sf)

DBRS Morningstar did not assign a provisional rating to the Class S
Notes (together with the Rated Notes, the Notes) also expected to
be issued in this transaction.

The Issuer is a public limited company incorporated under the laws
of England and Wales, acting as a special-purpose entity
specifically for the purpose of this transaction.

The ratings on the Rated Notes address the timely payment of
scheduled interest and the ultimate repayment of principal by the
legal final maturity date.

The ratings are provisional and based on the information and data
available to this date. The ratings will be finalized upon review
of the final version of the transaction documents and of the
relevant opinions.

The Notes are collateralized by a static portfolio of assets
selected from a provisional portfolio of approximately GBP 665
million in receivables related to personal contract purchase (PCP)
auto loans granted by Black Horse Limited (Black Horse or the
Seller) to borrowers in England and Wales. The underlying motor
vehicles related to the finance contracts consist of both new and
used vehicles. The receivables are serviced by Black Horse.

PCP agreements include a component related to guaranteed future
values (GFV). The GFV affords the borrower an option to hand back
the underlying vehicle at contract maturity as an alternative to
repaying or refinancing the final balloon payment; this feature
directly exposes the Issuer to residual value (RV) risk. The
portfolio also includes certain receivables regulated by the UK
Consumer Credit Act (CCA). Pursuant to sections 99 and 100 of the
CCA, obligors may voluntarily terminate (VT) their loan agreement
once one-half of the monies due under the agreement has been paid.
Black Horse's sale of a vehicle returned after the obligor
exercises its right to VT may result in recoveries less than what
remains outstanding under the financing contract; this feature
directly exposes the Issuer to VT risk.

DBRS Morningstar based its provisional ratings on a review of the
following analytical considerations:

-- The transaction capital structure, including form and
sufficiency of available credit enhancement;

-- Relevant credit enhancement in the form of subordination, the
liquidity reserve, and excess spread;

-- Credit enhancement levels that are sufficient to support DBRS
Morningstar's projected cumulative net loss and RV loss under
various stressed cash flow assumptions for the Rated Notes;

-- The ability of the transaction to withstand stressed cash flow
assumptions and repay investors according to the terms under which
they have invested. The ratings assigned to the Rated Notes address
the timely payment of scheduled interest and the ultimate repayment
of principal by the legal final maturity date;

-- Black Horse's capabilities with regard to originations,
underwriting, and servicing and its financial strength;

-- The transaction parties' financial strength with regard to
their respective roles;

-- The credit quality of the collateral and historical and
projected performance of the Seller's portfolio;

-- The sovereign rating on the United Kingdom, currently at AA
(high) with a Stable trend; and

-- The expected consistency of the transaction's legal structure
with DBRS Morningstar's "Legal Criteria for European Structured
Finance Transactions" methodology and the presence of legal
opinions that are expected to address the true sale of the assets
to the Issuer.

TRANSACTION STRUCTURE

The transaction incorporates separate interest and principal
waterfalls that allow for the fully sequential payment of both
interest and principal among the Notes. Available interest
collections are available to cover principal deficiencies in
relation to each of the Rated Notes after interest has been paid in
relation to the same class of Rated Notes and the respective class'
liquidity reserve subledger has been replenished.

The structure benefits from a liquidity reserve fund comprising
five subledgers, each linked to a class of Rated Notes. The target
size of each subledger is 0.75% of the principal amount outstanding
of the related Class of Rated Notes as at the closing date. The
liquidity reserve forms part of the available interest collections,
but is not available to cover principal deficiencies allocated to
note specific ledgers. On the redemption of a class of Rated Notes,
the balance of the related liquidity reserve subledger is released
back to the subordinated loan provider.

All underlying contracts are fixed rate while the Class B Notes to
the Class E Notes are floating-rate obligations. Interest rate risk
for the Class B to Class E Notes is mitigated through an interest
rate swap provided by Black Horse and guaranteed irrevocably and
unconditionally by Lloyds Bank plc (Lloyds Bank). The Class A Notes
and Class S Notes both attract fixed interest rates.

DBRS Morningstar analyzed the transaction cash flow structure in
Intex DealMaker.

COUNTERPARTIES

Lloyds Bank has been appointed as the Issuer's account bank for the
transaction. DBRS Morningstar has a Long-Term Issuer Rating of AA
(low) and a Long Term Critical Obligations Rating of AA (high) with
Negative trends on Lloyds Bank. The transaction is expected to
contain downgrade provisions relating to the account bank
consistent with DBRS Morningstar's criteria.

Black Horse has been appointed as the swap counterparty backed by a
guarantee provided by Lloyds Bank. DBRS Morningstar reviewed the
guarantee and expects to receive an opinion confirming that it
represents an irrevocable and unconditional obligation. DBRS
Morningstar does not rate Black Horse. The hedging documents are
expected to contain downgrade provisions consistent with DBRS
Morningstar's criteria.

CORONAVIRUS DISEASE (COVID-19) CONSIDERATIONS

The Coronavirus Disease (COVID-19) and the resulting isolation
measures have caused an immediate economic contraction, leading in
some cases to increases in unemployment rates and income reductions
for many borrowers. DBRS Morningstar anticipates that delinquencies
may continue to increase in the coming months for many asset-backed
securities (ABS) transactions. The ratings are based on additional
analysis to expected performance as a result of the global efforts
to contain the spread of the coronavirus.

Notes: All figures are in British pound sterling unless otherwise
noted.


CHARLES STREET 2: Moody's Assigns Ba1 Rating to GBP33.8MM C Notes
-----------------------------------------------------------------
Moody's Investors Service has assigned definitive ratings to Notes
issued by Charles Street Conduit Asset Backed Securitisation 2
Limited:

GBP175M Class A1 Mortgage Backed Floating Rate Notes due December
2067, Assigned Aa2 (sf)

GBP975M Class A2 Mortgage Backed Floating Rate Notes due December
2067, Assigned Aa2 (sf)

GBP67.6M Class B Mortgage Backed Floating Rate Notes due December
2067, Assigned Baa1 (sf)

GBP33.8M Class C Mortgage Backed Floating Rate Notes due December
2067, Assigned Ba1 (sf)

Moody's has not assigned ratings to the GBP101.5M Subordinated Note
due December 2067. The Classes A1 and A2 Notes (collectively, the
Class A Notes) rank pari passu without preference or priority among
themselves at all times as to payments of interest and principal.

RATINGS RATIONALE

This transaction represents a warehouse securitisation of loans
originated by Blemain Finance Limited, Harpmanor Limited, Together
Commercial Finance Limited and Together Personal Finance Limited
(collectively Together, NR), which are wholly owned subsidiaries of
Together Financial Services Limited (NR). The transaction is a
revolving cash securitisation of residential mortgage loans
extended to borrowers in the UK; the length of the revolving period
is 48 months. The portfolio consists of loans secured by mortgages
on residential properties in England, Scotland and Wales extended
to 9,295 borrowers. The current pool balance is equal to around
GBP679.7 million at the September 30, 2021 pool cut-off date.

The ratings of the Notes are based on an analysis of the
characteristics and credit quality of the underlying mortgage pool,
sector wide and originator specific performance data, protection
provided by credit enhancement, the roles of external
counterparties and the structural features of the transaction.

MILAN CE for this pool is 28.0% and the expected loss is 5.5%.

The expected is 5.5% and is based on Moody's assessment of the
lifetime loss expectation for the pool taking into account: (i)
46.4% of the pool consists of second-lien mortgages; (ii) the
performance of comparable originators; (iii) the current
macroeconomic environment and Moody's view of the future
macroeconomic environment in the UK; and (iv) benchmarking with
similar transactions in the UK non-conforming sector.

The MILAN CE for this pool is 28.0% and follows Moody's assessment
of the loan-by-loan information taking into account the following
key drivers: (i) the presence of second lien loans; (ii) 69.9% of
the loans in the pool are secured by non-owner occupied properties;
(iii) 58.5% of the loans are interest-only mortgages; (iv) the
revolving nature of the deal and the portfolio limits on LTV,
regional concentration, arrears and loan purpose; and (v) the
current portfolio characteristics including current LTV of 56.7%,
the low weighted average seasoning of the pool of 3.3 years and the
presence of 13.2% of the borrowers with a CCJ.

The transaction benefits from a reserve fund which is equal to 1.5%
of the closing principal balance of the Class A, B and C notes. The
reserve fund will amortise together with the balances of the Class
A, B and C notes and is available to pay senior expenses and
interest on the Class A notes.

Operational Risk Analysis

The subsidiaries of Together are acting as servicers in the
transaction and are not rated by Moody's. In order to mitigate the
operational risk, BCMGlobal Mortgage Services Limited (NR) will act
as back-up servicer. In addition, US Bank Global Corporate Trust
Limited (NR) will act as a backup cash manager.

All of the payments under the loans in this pool will be paid into
a separate collection account in the name of the originator at
National Westminster Bank PLC (A1/P-1 bank deposits rating).
Payments are transferred daily from the collection account to the
issuer account held at Lloyds Bank plc (A1/P-1 bank deposits
rating) with a transfer requirement if the short-term senior
unsecured rating of the collection account bank falls below P-2.
There is a collection account declaration of trust, made between
the originators, the issuer and the security trustee over the funds
held in the collection account in favour of the issuer.

To ensure payment continuity over the transaction's lifetime the
transaction documents incorporate estimation language whereby the
cash manager can use the three most recent servicer reports to
determine the cash allocation in case no servicer report is
available.

Interest Rate Risk Analysis

87.9% of the loans in the final pool are SVR-linked loans.

Should the share of the fixed rate mortgages exceed 10% of the
pool, a cash equivalent of 2.5% of the fixed rate mortgages'
principal balance in excess of 10% will be deposited as a separate
cash reserve or an interest rate hedge will be implemented. The
issuer will additionally implement interest rate hedging, if the
share of the fixed rate mortgage loans in the pool exceeds 17.5%.

PRINCIPAL METHODOLOGY

The principal methodology used in these ratings was "Moody's
Approach to Rating RMBS Using the MILAN Framework" published in
February 2022.

The analysis undertaken by Moody's at the initial assignment of
ratings for RMBS securities may focus on aspects that become less
relevant or typically remain unchanged during the surveillance
stage.

FACTORS THAT WOULD LEAD AN UPGRADE OR DOWNGRADE OF THE RATINGS:

Significantly different actual losses compared with Moody's
expectations at close due to either a change in economic conditions
from Moody's central scenario forecast or idiosyncratic performance
factors would lead to rating actions. For instance, should economic
conditions be worse than forecast, the higher defaults and loss
severities resulting from a greater unemployment, worsening
household affordability and a weaker housing market could result in
a downgrade of the ratings. Deleveraging of the capital structure
or conversely a deterioration in the Notes available credit
enhancement could result in an upgrade or a downgrade of the
ratings, respectively.


DERBY COUNTY FOOTBALL: Consortium Frustrated of Administration Pace
-------------------------------------------------------------------
Tom Pegden at BusinessLive reports that a consortium set up to
support Derby County Football Club's fight out of administration
says it remains frustrated over the lack of public information on
the future of the club.

Back in January, a group including Marketing Derby, Derby City
Council and local MPs established a new group called Team Derby to
work with administrators Quantuma and the league to find a
solution, BusinessLive relates.

Derby's three manufacturing giants -- Alstom, Rolls-Royce and
Toyota -- also gave their backing to a campaign to save the city's
football club, BusinessLive notes.

The Rams went into administration last autumn and attempts to find
a new owner have been recently hampered by financial claims against
the club from Middlesbrough and Wycombe Wanderers, BusinessLive
recounts.

According to BusinessLive, in a new statement Team Derby said: "A
further meeting was held [] between representatives of Team Derby
-– Derby City Council, Marketing Derby and local Members of
Parliament -- with Quantuma (the Derby County Football Club
Administrators).

"Its purpose was to seek an update on progress to identify a
preferred bidder and ensure the future of Derby County in seeking
to exit administration.

"Quantuma have reconfirmed interest remains in buying the club and
they are urgently clarifying details before announcing the
preferred bidder.

"They explained the types of clarifications they are having to
undertake and the reasons behind these.

"Whilst understanding the complexities, Team Derby remain
frustrated and concerned about the pace of progress and urged
Quantuma to communicate with stakeholders as is reasonably
possible.

"Our primary concern remains, not only the survival of Derby
County, but the impact of this continuing uncertainty on the wider
community of Derby and surrounding areas -- the fans, communities
and businesses -- whose passion continues to bring an incredible
energy and profile to attempts to save the club.

"Quantuma have agreed to provide an update in a further meeting to
be held later this week."

                About Derby County Football Club

Founded in 1884, Derby County Football Club is a professional
association football club based in Derby, Derbyshire, England.  The
club competes in the English Football League Championship  (EFL,
the 'Championship'), the second tier of English football.  The team
gets its nickname, The Rams, to show tribute to its links with the
First Regiment of Derby Militia, which took a ram as its mascot.
Mel Morris is the owner while Wayne Rooney is the manager of the
club.  

On Sept. 22, 2021, the club went into administration.  The EFL
sanctioned a 12-point deduction on the club, putting the team at
the bottom of the Championship.  Andrew Hosking, Carl Jackson and
Andrew Andronikou, managing directors at business advisory firm
Quantuma, had been appointed joint administrators to the club.


GREAT HALL 2007-2: S&P Raises Rating on 2 Tranches to BB+
---------------------------------------------------------
S&P Global Ratings raised its credit ratings on Great Hall
Mortgages No. 1's Series 2007-2's class Aa, Ab, Ac, Ba, Ca, Cb, Da,
Db, Ea, and Eb notes.

The rating actions reflect the transaction's consistent, stable
credit performance and the deleveraging of the capital structure.

S&P said, "Since last review, our weighted-average foreclosure
frequency (WAFF) assumptions have increased at 'AAA', 'AA, 'A',
'BBB', 'BB', and 'B'. Based on our macroeconomic forecasts, we
revised the 'B' foreclosure frequency assumptions in our global
residential loans criteria for the U.K. archetypal pool to 1.75%
from 1.50%. Our weighted-average loss severity (WALS) assumptions
at each rating level have decreased over the same period due to the
lower current weighted-average loan-to-value (LTV) ratio."

  Credit Analysis Results

  RATING LEVEL    WAFF (%)    WALS (%)   CREDIT COVERAGE (%)

  AAA             28.06       29.48         8.27

  AA              22.69       20.82         4.72

  A               19.67        9.24         1.82

  BBB             16.63        4.51         0.75

  BB              13.21        2.47         0.33

  B               12.41        2.00         0.25

WAFF--Weighted-average foreclosure frequency.
WALS--Weighted-average loss severity.

S&P said, "Under our counterparty criteria, our ratings on the
notes continue to be capped by the rating on the guaranteed
investment contract (GIC) provider, Danske Bank (A+/Negative/A-1).
Also, the transaction account does not have replacement language,
which introduces another rating cap on the notes, at that of the
transaction account provider, Bank of New York Mellon
(AA-/Stable/A-1+).

"We have reviewed the currency and basis swap agreements under our
revised counterparty criteria and assess the collateral framework
as weak. In combination with the 'BBB-' replacement trigger, these
agreements cap our ratings on the notes exposed to currency risk at
the resolution counterparty rating (RCR) on the swap provider,
JPMorgan Chase Bank N.A. ('A+').

"We have modeled one month of collections' worth of commingling
risk due to the absence of replacement language on the collection
account. Because there is a declaration of trust in the issuer's
favor, we model this commingling risk as a liquidity risk in rating
stresses that are at or below the ICR on the collection account
provider, National Westminster Bank PLC (A/Stable/A-1), and as a
loss for runs above that rating level.

"The application of the stresses specific to U.K. residential loans
in our updated global residential loans criteria, including our
updated credit figures and cash flow analysis, indicates that the
available credit enhancement for all classes of notes is now
commensurate with higher ratings than those currently assigned.
However, our counterparty criteria constrain our ratings on classes
A, B, C, D, and E at the 'A+' ICR on the GIC account provider and
the RCR of the swap provider.

"Moreover, our analysis indicates that the class E notes could
withstand our stresses at a higher rating level than that assigned
and would still be within the counterparty constraints. However,
our rating reflects the low credit enhancement available for this
class, as well as its slow increase compared to that for other
classes and sensitivity to excess spread. Our rating also reflects
the class E notes' junior position in the capital structure,
especially in light of both the sequential payment structure and
the high proportion of interest-only loans in the pool, which makes
this class particularly vulnerable to tail risk."

  Ratings List

  ISSUER  

  Great Hall Mortgages No. 1 series 2007-2

  CLASS      RATING TO     RATING FROM

  Aa         A +(sf)       A (sf)

  Ab         A+ (sf)       A (sf)

  Ac         A +(sf)       A (sf)

  Ba         A+ (sf)       A (sf)

  Ca         A+ (sf)       A (sf)

  Cb         A+ (sf)       A (sf)

  Da         A+ (sf)       A- (sf)

  Db         A+ (sf)       A- (sf)

  Ea         BB+ (sf)      B (sf)

  Eb         BB+ (sf)      B (sf)


HOLLICOM: Enters Liquidation Due to Unsustainable Debts
-------------------------------------------------------
John Glover at insider.co.uk reports that Scottish PR and
communications agency Hollicom has entered into liquidation, as the
company was unable to pay its debts.

Companies House records reveal that a court order for winding up
the business was submitted on March 4 after it entered insolvency
on February 28, insider.co.uk relates.

According to insider.co.uk, Stuart Robb and Callum Carmichael,
partners with FRP Advisory, have been appointed joint interim
liquidators.

The total share capital of Hollicom is valued at just under
GBP45,000 -- which was paid up on February 28, insider.co.uk
discloses.

The business entered provisional liquidation on February 4, due to
rising costs, unsustainable debts and a downturn in business,
insider.co.uk recounts.

The company has ceased trading and all seven staff have been made
redundant, insider.co.uk states.


PAVILLION POINT 2021-1A: Fitch Gives 'BB+(EXP)' Rating to F Notes
-----------------------------------------------------------------
Fitch Ratings has assigned Pavillion Point of Sale 2021-1A PLC's
(Pavillion) notes expected ratings.

The assignment of final ratings is contingent on the receipt of
documentation conforming to information already reviewed.

DEBT                RATING
----                ------
PAVILLION POINT OF SALE 2021-1 LIMITED

Class A   LT AAA(EXP)sf  Expected Rating
Class B   LT AA+(EXP)sf  Expected Rating
Class C   LT A+(EXP)sf   Expected Rating
Class D   LT A-(EXP)sf   Expected Rating
Class E   LT BBB(EXP)sf  Expected Rating
Class F   LT BB+(EXP)sf  Expected Rating
Class R   LT NR(EXP)sf   Expected Rating
Class X   LT NR(EXP)sf   Expected Rating
Class Z   LT NR(EXP)sf   Expected Rating

TRANSACTION SUMMARY

Pavillion is a securitisation of unsecured point-of-sale finance
consumer loans originated by Clydesdale Financial Services Limited
(CFS). CFS is also known under the trading name of Barclays Partner
Finance, a wholly owned subsidiary of Barclays Principal
Investments Limited. The transaction will feature a 10-month
revolving period, with the last month of replenishment falling in
December 2022.

An amortising liquidity reserve will be funded at closing by
proceeds from the class R notes, which is equal to 1.25% of the
class A and class B notes balance. The assets are interest-free and
will be sold to the issuer at retailer-specific discount rates. The
issuer will enter into an interest-rate swap to mitigate the
interest-rate exposure arising between the floating rate of
interest payable on the notes and the fixed discount rate applied
to the receivables.

KEY RATING DRIVERS

Obligor Default Risk: Fitch has assumed a default base case of 1.8%
for the total portfolio, which factors in that the data histories
of retailers are generally short and reflective of a mostly benign
period. The default base case also considers origination and
servicing practices and Fitch's macroeconomic expectations for the
UK. Fitch applied a 'AAA' default multiple of 6.7x for the total
pool, which is towards the higher end of the range.

The recovery base case was set at 10%, with a haircut of 50%
applied at 'AAA'. The prepayment base case was set at 5%.

Retailer Performance Differences: The portfolio consists of
interest-free point-of-sale loans, originated through the following
five retailers: Apple, British Gas, DFS, Next and Wren, which have
shown distinct historical default performance. Fitch ran various
projections to assess the potential adverse migration of the
portfolio during the revolving period and considered the
concentration limits sufficiently tight to contain the risk.

Default Trigger Effectiveness Limited: The 10-month revolving
period increases exposure to the macroeconomic environment and
increases asset performance risks relative to static portfolios.
The transaction has two default-based early amortisation triggers,
but Fitch sees limited effectiveness in them as the default
definition is six months and the defaulted receivables trigger must
be breached for three consecutive payment dates. The combination of
excess spread and principal deficiency ledger triggers partially
mitigate the risk, but Fitch considered the weak triggers in its
stresses.

Servicing Continuity Risk Mitigated: The servicer is unrated and
there will be no back-up servicer or back-up servicer facilitator
in place at closing. However, Fitch believes the liquidity coverage
provided by the liquidity reserve is sufficient to bridge payment
disruptions until a replacement servicer becomes operational. In
addition, the market-standard nature of both the product and
borrower characteristics, and the UK's deep consumer loan servicing
market, would ease the transition to a capable replacement
servicer, in Fitch's view.

RATING SENSITIVITIES

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

Expected impact on the notes' ratings of decreased defaults (class
A/B/C/D/E/F):

-- Decrease default rate by 10%:
    'AA+sf'/'AAsf'/'Asf'/'BBB+sf'/'BBB-sf'/'BBsf'

-- Decrease default rate by 25%: 'AA+sf'/'AA-sf'/'A-
    sf'/'BBBsf'/'BB+sf'/'BB-sf'

-- Decrease default rate by 50%: 'AA-sf'/'Asf'/'BBB+sf'/'BBB-
    sf'/'BB-sf'/'Bsf'

Expected impact on the notes' ratings of increased recoveries
(class A/B/C/D/E/F):

-- Increase recovery rate by 10%: 'AAAsf'/'AA+sf'/'A+sf'/'A-
    sf'/'BBB-sf'/'BB+sf'

-- Increase recovery rate by 25%: 'AAAsf'/'AA+sf'/'A+sf'/'A-
    sf'/'BBB-sf'/'BBsf'

-- Increase recovery rate by 50%: 'AAAsf'/'AA+sf'/'A+sf'/'A-
    sf'/'BBB-sf'/'BBsf'

Expected impact on the notes' ratings of decreased defaults and
increased recoveries (class A/B/C/D/E/F):

-- Decrease default rates by 10% and increase recovery rates by
    10%: 'AA+sf'/'AAsf'/'Asf'/'BBB+sf'/'BBB-sf'/'BBsf'

-- Decrease default rates by 25% and increase recovery rates by
    25%: 'AAsf'/'A+sf'/'A-sf'/'BBBsf'/'BBsf'/'BB-sf'

-- Decrease default rates by 50% and increase recovery rates by
    50%: 'A+sf'/'Asf'/'BBBsf'/'BB+sf'/'BB-sf'/'Bsf'

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

-- Increase in credit enhancement ratios post revolving period
    end-date as the transaction deleverages;

-- Smaller losses than assumed.

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.

DATA ADEQUACY

Fitch reviewed the results of a third-party assessment conducted on
the asset portfolio information, and concluded that there were no
findings that affected the rating analysis.

Overall, and together with any 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.

ESG CONSIDERATIONS

Pavillion has an ESG Relevance Score of '4' for Transaction Parties
& Operational Risk, which deviates from the sector default score in
this category of '3'. This is due to the Financial Conduct
Authority-commissioned skilled person review focusing on CFS's
broker and affordability processes, which has a negative impact on
the credit profile, and is relevant to the ratings in conjunction
with other factors.

Unless otherwise disclosed in this section, the highest level of
ESG credit relevance 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 the way in which they are being
managed by the entity.



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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 2022.  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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