/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/220819.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Friday, August 19, 2022, Vol. 23, No. 160 Headlines G E R M A N Y UNIPER: Posts EUR12.3BB Loss in 1H 2022, On Verge of Insolvency I R E L A N D ANCHORAGE CAPITAL 6: S&P Assigns B- (sf) Rating to Cl. F Notes K A Z A K H S T A N AB KAZAKHSTAN-ZIRAAT INT'L: Fitch Lowers IDRs to 'B-'; Outlook Neg. U N I T E D K I N G D O M ALTERA INFRASTRUCTURE: Files Chapter 11 Bankruptcy Protection HARRIS CM: Financial Challenges Prompt Administration NEWCASTLE GLASSWORKS: Enters Administration W STIRLAND: Set to Go Into Administration WINDOW GLASS: Enters Administration, Buyer Sought for Business WORCESTER WARRIORS: At Risk of Liquidation Over Unpaid Tax Bill X X X X X X X X [*] BOOK REVIEW: Hospitals, Health and People - - - - - ============= G E R M A N Y ============= UNIPER: Posts EUR12.3BB Loss in 1H 2022, On Verge of Insolvency --------------------------------------------------------------- Olaf Storbeck at The Financial Times reports that German utility Uniper reported a EUR12.3 billion first-half loss, saying it had become a "pawn" in the Ukraine conflict and had been pushed to the "brink of insolvency" by a huge drop in Russian gas deliveries. Uniper chief executive Klaus-Dieter Maubach warned on Aug. 17 that Europe faced a grim energy outlook this winter, saying the gas supply crisis made it "almost impossible" to predict the group's performance in the second half of the year, the FT relates. Uniper, majority-owned by Finnish utility Fortum, last month received a EUR15 billion bailout from the German government, which will take a 30% stake and also provide loans to prevent a collapse, the FT recounts. Uniper's share price has lost more than 81% this year, bringing its market capitalisation down to EUR2.8 billion, the FT notes. The company has been squeezed by a drop of up to 80% in Russian gas deliveries since June, forcing it to buy expensive supplies on the spot market to meet contractual obligations to provide gas to clients in Germany, including 100 regional utilities owned by municipalities, the FT discloses. From October, Uniper will be able to pass on 90% of the higher costs to consumers, the FT states. The company warned that it would nonetheless continue to generate operating losses for the coming 18 months but hoped it could "return to positive territory" in 2024, the FT notes. According to the FT, Uniper said that since Russian gas supplies through the Nord Stream 1 pipeline started to dwindle in mid-June, it had suffered an average daily loss of EUR60 million. Under the Uniper bailout, the company will be able to access up to EUR7.7 billion in government support, the FT discloses. ============= I R E L A N D ============= ANCHORAGE CAPITAL 6: S&P Assigns B- (sf) Rating to Cl. F Notes -------------------------------------------------------------- S&P Global Ratings assigned credit ratings to Anchorage Capital Europe CLO 6 DAC's class A, B-1, B-2, C, D, E, and F notes. The issuer has also issued subordinated notes. The ratings reflect S&P's assessment of: -- The diversified collateral pool, which primarily comprises broadly syndicated speculative-grade senior-secured term loans and bonds that are governed by collateral quality tests. -- The credit enhancement provided through the subordination of cash flows, excess spread, and overcollateralization. -- The collateral manager's experienced team, which can affect the performance of the rated notes through collateral selection, ongoing portfolio management, and trading. -- The transaction's legal structure, which is bankruptcy remote. -- The transaction's counterparty risks, which is in line with S&P's counterparty rating framework. Portfolio Benchmarks CURRENT S&P weighted-average rating factor 2,973.11 Default rate dispersion 459.36 Weighted-average life (years) 5.22 Obligor diversity measure 120.23 Industry diversity measure 18.21 Regional diversity measure 1.26 Transaction Key Metrics CURRENT Portfolio weighted-average rating derived from S&P's CDO evaluator B 'CCC' category rated assets (%) 4.75 Covenanted 'AAA' weighted-average recovery (%) 34.31 Covenanted weighted-average spread (%) 4.00 Covenanted weighted-average coupon (%) 4.75 Rating rationale Under the transaction documents, the rated notes will pay quarterly interest unless a frequency switch event occurs. Following this, the notes will switch to semiannual payments. The portfolio's reinvestment period will end approximately two years after closing. The portfolio is well-diversified, primarily comprising broadly syndicated speculative-grade senior-secured term loans and senior-secured bonds. Therefore, S&P has conducted its credit and cash flow analysis by applying our criteria for corporate cash flow CDOs. S&P said, "In our cash flow analysis, we used the EUR400 million target par amount, the covenanted weighted-average spread (4.00%), the reference weighted-average coupon (4.75%), the covenanted weighted-average recovery rate at 'AAA' (34.31%), and the identified portfolio's weighted-average recovery rates at all other rating levels. We applied various cash flow stress scenarios, using four different default patterns, in conjunction with different interest rate stress scenarios for each liability rating category." The transaction also features a principal redemption mechanism for the class F notes (turbo redemption). Via the turbo redemption, 30% of remaining interest proceeds available before equity distribution are used to pay down principal on the class F notes. S&P has not given credit to this turbo redemption in its cash flow analysis, considering some of the senior payments in the waterfall and the ability to divert interest proceeds to purchase workout loans, received obligations in a bankruptcy exchange, and received obligations in a distressed exchange. S&P said, "Under our structured finance sovereign risk criteria, we consider that the transaction's exposure to country risk is sufficiently mitigated at the assigned ratings. "Until the end of the reinvestment period on Aug. 17, 2024, the collateral manager may substitute assets in the portfolio for so long as our CDO Monitor test is maintained or improved in relation to the initial ratings on the notes. This test looks at the total amount of losses that the transaction can sustain as established by the initial cash flows for each rating, and it compares that with the current portfolio's default potential plus par losses to date. As a result, until the end of the reinvestment period, the collateral manager may through trading deteriorate the transaction's current risk profile, as long as the initial ratings are maintained. "The transaction's documented counterparty replacement and remedy mechanisms adequately mitigate its exposure to counterparty risk under our current counterparty criteria. "The transaction's legal structure and framework is bankruptcy remote, in line with our legal criteria. "Following our analysis of the credit, cash flow, counterparty, operational, and legal risks, we believe our ratings are commensurate with the available credit enhancement for the class A to E notes. Our credit and cash flow analysis indicates that the available credit enhancement for the class B-1, B-2, and C notes could withstand stresses commensurate with higher ratings than those we have assigned. However, as the CLO will commence its reinvestment phase, during which the transaction's credit risk profile could deteriorate, we have capped our ratings assigned to the notes. "For the class F notes, our credit and cash flow analysis indicates that the available credit enhancement could withstand stresses that are commensurate with a lower rating. However, we have applied our 'CCC' rating criteria resulting in a 'B- (sf)' rating on this class of notes." The ratings uplift (to 'B-') reflects several key factors, including: -- The available credit enhancement for this class of notes is in the same range as other CLOs that S&P rates, and that have recently been issued in Europe. -- The portfolio's average credit quality is similar to other recent CLOs. -- S&P's model generated break-even default rate at the 'B-' rating level of 27.64% (for a portfolio with a weighted-average life of 5.22 years), versus if it was to consider a long-term sustainable default rate of 3.1% for 5.22 years, which would result in a target default rate of 16.18%. -- The actual portfolio is generating higher spreads versus the covenanted thresholds that it has modelled in its cash flow analysis. -- For S&P to assign a rating in the 'CCC' category, it also assessed (i) whether the tranche is vulnerable to non-payments in the near future, (ii) if there is a one in two chance of this tranche defaulting, and (iii) if it envisions this tranche to default in the next 12-18 months. -- Following this analysis, S&P consider that the available credit enhancement for the class F notes is commensurate with a 'B- (sf)' rating. -- Taking the above factors into account and following S&P's analysis of the credit, cash flow, counterparty, operational, and legal risks, it believes that its ratings are commensurate with the available credit enhancement for all the rated classes of notes. S&P said, "In addition to our standard analysis, to provide an indication of how rising pressures among speculative-grade corporates could affect our ratings on European CLO transactions, we have also included the sensitivity of the ratings on the class A to E notes to five of the 10 hypothetical scenarios we looked at in our publication "How Credit Distress Due To COVID-19 Could Affect European CLO Ratings," published on April 2, 2020. "As our ratings analysis makes additional considerations before assigning ratings in the 'CCC' category, and we would assign a 'B-' rating if the criteria for assigning a 'CCC' category rating are not met, we have not included the above scenario analysis results for the class F notes." The transaction securitizes a portfolio of primarily senior-secured leveraged loans and bonds, and it is managed by Anchorage CLO ECM LLC. Environmental, social, and governance (ESG) factors S&P said, "We regard exposure to ESG credit factors in the transaction as being broadly in line with our benchmark for the sector. Primarily due to the diversity of the assets within CLOs, exposure to environmental credit factors is viewed as below average, social credit factors are below average, and governance credit factors are average." For this transaction, the documents prohibit assets from being related to the following industries: -- Derives more than 5% of its revenue from the sale of tobacco or tobacco products; -- Derives more than 10% of its revenue from (i) activities adversely affecting animal welfare, (ii) the production of palm oil not certified to the Roundtable on Sustainable Palm Oil (RSPO), (iii) the extraction of shale oil and/or shale gas, or (iv) the speculative extraction of oil and gas; -- Drives more than 10% its production from fields located in the Arctic as defined by the Arctic Monitoring & Assessment Program (AMAP); -- Derives more than 20% of its revenue from mining, extraction, or production of crude bitumen; -- Derives over 20% of its production from shale and tight reservoirs; -- Derives over 25% of its revenue from (i) the transportation of speculative extraction of oil and gas, production from fields located in the Arctic or shale and tight reservoirs, (ii)) defense-related products, (iii) nuclear energy, or (iv)) the mining of, and trade in, coal, uranium, and minerals produced in zones of military conflict; -- Derives the majority of its revenue from the speculative trading in food commodity derivatives; or -- Derives any revenue from (i) the extraction of thermal coal or oil sands, (ii) the production, distribution, or sale of pornography or trade in prostitution, (iii) the development, production, maintenance, trade, or stockpiling of controversial weapons, (iv) the production of civilian firearms, (v) the production or trade of illegal drugs or narcotics, or (vi) payday lending or predatory lending activities. Accordingly, since the exclusion of assets from these industries and areas does not result in material differences between the transaction and S&s ESG benchmark for the sector, no specific adjustments have been made in its rating analysis to account for any ESG-related risks or opportunities. Environmental, social, and governance (ESG) corporate credit indicators S&P said, "The influence of ESG factors in our credit rating analysis of European CLOs primarily depends on the influence of ESG factors in our analysis of the underlying corporate obligors. To provide additional disclosure and transparency of the influence of ESG factors for the CLO asset portfolio in aggregate, we've calculated the weighted-average and distributions of our ESG credit indicators for the underlying obligors. We regard this transaction's exposure as being broadly in line with our benchmark for the sector, with the environmental and social credit indicators concentrated primarily in category 2 (neutral) and the governance credit indicators concentrated in category 3 (moderately negative)." Corporate ESG Credit Indicators ENVIRONMENTAL SOCIAL GOVERNANCE Weighted-average credit indicator* 2.05 2.26 2.94 E-1/S-1/G-1 distribution (%) 0.00 0.25 0.00 E-2/S-2/G-2 distribution (%) 69.51 58.36 8.56 E-3/S-3/G-3 distribution (%) 2.50 9.00 61.45 E-4/S-4/G-4 distribution (%) 0.75 5.15 1.25 E-5/S-5/G-5 distribution (%) 0.00 0.00 1.50 Unmatched obligor (%) 12.99 12.99 12.99 Unidentified asset (%) 14.25 14.25 14.25 *Only includes matched obligor Ratings List CLASS RATING AMOUNT INTEREST RATE CREDIT (MIL. EUR) ENHANCEMENT (%) A AAA (sf) 224.30 3mE + 2.12% 43.93 B-1 AA (sf) 31.50 3mE + 3.56% 32.30 B-2 AA (sf) 15.00 6.00% 32.30 C A (sf) 28.90 3mE + 4.60% 25.08 D BBB- (sf) 25.80 3mE + 6.75% 18.63 E BB- (sf) 16.90 3mE + 8.11% 14.40 F B- (sf) 12.00 3mE + 11.37% 11.40 Subordinated NR 29.38 N/A N/A NR--Not rated. N/A--Not applicable. 3mE--Three-month Euro Interbank Offered Rate. =================== K A Z A K H S T A N =================== AB KAZAKHSTAN-ZIRAAT INT'L: Fitch Lowers IDRs to 'B-'; Outlook Neg. ------------------------------------------------------------------- Fitch Ratings has downgraded AB Kazakhstan - Ziraat International Bank JSC's (KZI) Long-Term Foreign- and Local-Currency Issuer Default Ratings (IDRs) to 'B-' from 'B'. The Outlooks are Negative. KEY RATING DRIVERS Downgrade of Support-Driven Ratings: The downgrade of KZI's IDRs follows a similar rating action on the Foreign-Currency IDR of the bank's parent, Turkiye Cumhuriyeti Ziraat Bankasi A.S. (ZB, B-/Negative). The Negative Outlook on KZI mirrors that on the parent bank. High Support Propensity: In Fitch's view, ZB has a high propensity to support KZI, given virtually full ownership, common branding, the high level of integration between the two banks, the low cost of potential support due to the subsidiary's small size and recent record of considerable equity support (equal to 4% of risk-weighted assets received in 1Q22 and another 18% expected in 3Q22). However, ZB's ability to provide support to KZI is constrained by the parent's 'B-' Long-Term Foreign-Currency IDR. Ratings Equalised with Parent's: The equalisation of KZI's and ZB's ratings reflects the high integration between the subsidiary and the parent insofar the former operates similarly to a branch. The ratings are also equalised because Fitch is more likely to assign the same ratings to parents and subsidiaries at the lower end of the rating scale. No Viability Rating Assigned: KZI is a small bank with total assets of about USD0.3 billion at end-2Q22. KZI's client base on both sides of its balance sheet mostly comprises ZB's group clients and other Turkish businesses. Fitch has not assigned KZI a Viability Rating (VR), because KZI is heavily reliant on its parent for new business origination and risk management, as ZB's representatives are involved in all major decision-making at the subsidiary level. RATING SENSITIVITIES Factors that could, individually or collectively, lead to negative rating action/downgrade: -- KZI's ratings would likely be downgraded if ZB's Foreign- Currency IDR is further downgraded. KZI's IDRs could also be downgraded on considerable weakening in the propensity of the parent to support its subsidiary although we view this as unlikely. Factors that could, individually or collectively, lead to positive rating action/upgrade: -- Positive rating action on the parent's Foreign-Currency IDR could result in similar rating action on the subsidiary. PUBLIC RATINGS WITH CREDIT LINKAGE TO OTHER RATINGS KZI's ratings are linked to ZB's IDRs. RATING ACTIONS ENTITY/DEBT RATING PRIOR ----------- ------ ----- AB Kazakhstan LT IDR B- Downgrade B - Ziraat International Bank JSC ST IDR B Affirmed B LC LT IDR B- Downgrade B Natl LT B+(kaz) Downgrade BB(kaz) Shareholder b- Downgrade b Support =========================== U N I T E D K I N G D O M =========================== ALTERA INFRASTRUCTURE: Files Chapter 11 Bankruptcy Protection ------------------------------------------------------------- Altera Infrastructure LP, an offshore energy services provider owned by affiliates of Brookfield Asset Management, filed for Chapter 11 bankruptcy protection in Houston. Altera is a midstream services provider to the oil and gas industry, supplying critical infrastructure assets to its customers primarily in offshore regions of the North Sea, Brazil, and the East Coast of Canada. Altera has 2,450 employees who either serve as crew or in onshore support roles for Altera's 41 vessels around the world. Altera operates in five principal business segments: (a) the processing and storage of hydrocarbons through Altera's four wholly owned and two joint-venture floating production, storage, and offloading vessels ("FPSO"), as well as the management of FPSOs owned by third parties; (b) the provision of supplementary storage capabilities through Altera's two floating storage and off-take vessels ("FSO"); (c) the deployment of eight long-distance towage vessels to assist with, among other things, the tow from yard to operating area and installation of large floating production facilities, storage units, exploration units, and other vessels ("Towage"); (d) the operation of one unit to provide accommodations and maintenance and safety services to projects on offshore installations ("Accommodation" and together with FPSO, FSO and Towage, "FFTA"); and (e) the transportation of hydrocarbons from offshore oil field installations to terminals and refineries located onshore, as well as conventional tanking operations, using Altera's 24 shuttle tanker vessels ("Shuttle Tankers"). The Debtors consist only of FFTA entities. The FPSO joint ventures and the Shuttle Tankers entities are not Debtors in these chapter 11 cases. CFO Jan Rune Steinsland explained in court filings that Altera has recently faced declining revenues as a result of market headwinds, contract expirations, and the aging of its fleet, which has necessitated the recycling or sale of certain older vessels. These challenges have been exacerbated by significant payment obligations due under various interest-rate swap arrangements. While the recent rise in energy prices has helped, Altera's ability to capture that upside is limited by the terms of its existing contracts and the fact that re-contracting its most significant assets requires substantial lead time and investment. This has resulted in a mismatch between operating cash flows and the cost of the Debtors' ongoing debt service. Cash flows currently generated from the FFTA assets are not sufficient to support the funded debt obligations. Because of this mismatch, the Debtors have been proactive over the course of this year in approaching the holders of their funded debt obligations regarding a balance sheet restructuring, initiating negotiations with their secured bank lenders and Brookfield Business Partners L.P. (together with certain of its affiliates and certain of its and their respective managed funds and accounts, collectively, "Brookfield") in its capacity as both secured lender and equity sponsor. After many months, these negotiations have proven successful. The Debtors have been able to achieve consensus with a diverse group of stakeholders and enter chapter 11 with the broad support necessary to efficiently implement a comprehensive balance sheet restructuring that will position them well for success in the future. While a group of unsecured noteholders does not presently support the restructuring, the Debtors intend to continue negotiations with them during chapter 11 to try to build additional consensus. Debtors' Capital Structure The Debtors' capital structure includes: (a) approximately $552 million of asset-level bank debt (the "Bank Facilities," and the lenders thereunder, the "Bank Lenders") spread across seven facilities and secured by certain of the Debtors' vessels and earnings and guaranteed by Altera Parent; (b) approximately $769 million of secured debt (the "IntermediateCo Obligations") issued at Altera Parent's 100%-owned direct subsidiary, Altera Infrastructure Holdings L.L.C. ("IntermediateCo"), which is structurally junior to the Bank Facilities and also guaranteed by Altera Parent (and all of which is held by Brookfield); and (c) approximately $276 million of unsecured notes (the "Altera Parent Unsecured Notes") issued by Altera Parent, which are structurally junior to the Bank Facilities and the IntermediateCo Obligations. The total amount of debt guaranteed by Altera Parent is $1.32 billion. Altera Parent also issued preferred equity with an aggregate liquidation preference of approximately $408 million. Brookfield owns 97.98% of Altera Parent's common equity. Separately, the non-Debtor entities comprising Altera's wholly owned Shuttle Tankers business and FPSO joint ventures (and certain direct parent companies thereof) are obligated on approximately $2.1 billion of additional debt obligations, none of which will be affected by the Debtors' restructuring or these chapter 11 cases. As of the Petition Date, the Debtors were liable for approximately $1.6 billion in aggregate principal amount of funded debt obligations, and, through Altera Parent, had issued $408 million of outstanding preferred equity. In addition, the entities comprising the Shuttle Tankers business, the FPSO joint ventures, and certain other non-Debtors are liable for approximately $2.1 billion in additional funded debt obligations: Principal Outstanding (USD) as of Funded Debt Petition Date ----------- ------------- Debtor Facilities: FPSO Segment $815M facility due 2023â€“2026 (Knarr Facility) $290,625,000 $75M facility due 2024 (Petrojarl I Facility) $43,750,000 FSO Segment $230M facility due 2022 (Gina Krog Facility) $52,026,865 $26.25M facility (Suksan Salamander Facility) $12,500,000 Towage Segment $185M facility due 2028 (4x ALP Facilities) $101,705,413 $150M of facilities due 2023 (6x ALP Facility) $42,544,000 Accommodation Segment $112.5M facility due 2023 (Arendal Facility) $8,500,000 IntermediateCo Obligations $32M facility due 2022 $32,000,000 11.50% PIK Notes due 20267 $736,872,300 Altera Parent Obligations 8.50 % Senior Notes due 2023 $275,730,000 Non-Debtor Facilities: $120M facility due 2027 (Libra HoldCo Facility) $92,262,744 FPSO Joint Venture Obligations Joint Venture Secured Debt $221,544,320 Shuttle Tankers Obligations Secured Vessel-Level Debt $1,256,679,914 Unsecured Notes (Publicly Held) $449,463,619 Unsecured Brookfield PIK Notes $74,912,149 -------------- Total Debt Obligations $3,691,116,324 Through these chapter 11 cases, the Debtors seek to re-profile the obligations under the Bank Facilities to better match anticipated vessel-level cash flows, achieve an overall deleveraging through the equitization of more than $1 billion in junior debt obligations (comprised of the IntermediateCo Obligations and the Altera Parent Unsecured Notes), and eliminate Altera Parent's preferred and common equity. As reflected in the restructuring support agreement dated as of August 12, 2022 (the "Restructuring Support Agreement"), Brookfield (in its capacity as equity sponsor and holder of 100% of the IntermediateCo Obligations) and 71% of the Bank Lenders (the "Consenting Bank Lenders") have agreed to support the Debtors' restructuring. Restructuring Support Agreement According to Altera, Brookfield has provided substantial financial support to Altera since 2019, including through more than $374 million in capital infusions and by exchanging approximately $699 million of indebtedness from cash interest bearing obligations to "paid in kind" IntermediateCo Obligations that extended the relevant maturities to 2026. These steps were critical in creating the necessary runway to reach the agreement embodied in the Restructuring Support Agreement. A key component of the RSA is Brookfield's commitment to equitize the IntermediateCo Obligations in exchange for 100% of the common equity in reorganized Altera Parent. The Altera Parent Unsecured Notes will also be equitized under the Restructuring Support Agreement in exchange for the New Warrants issued by reorganized Altera Parent. The Restructuring Support Agreement contemplates the following key terms, among others: (a) Brookfield will provide a $50 million new-money debtor-in-possession financing facility on a junior basis relative to the claims and liens of the Bank Lenders (together with the proposed roll-up of a portion of the IntermediateCo RCF, the "DIP Facility") to fund these chapter 11 cases, which Brookfield has agreed to equitize, along with certain associated fees, upon emergence in connection with the restructuring contemplated by the Restructuring Support Agreement (unless repaid from the proceeds of an equity rights offering); (b) Brookfield will equitize all outstanding IntermediateCo Obligations in return for 100% of the common equity in reorganized Altera Parent, together with any equitization of the DIP Facility; (c) the Consenting Bank Lenders will agree to a comprehensive re-profiling of the Bank Facilities, including maturity extensions, interest and amortization relief, and other covenant relief, and will agree to the satisfaction of their Altera Parent guarantees in exchange for warrants to acquire their pro rata share of 7.6% of the new common stock of Reorganized Altera Parent (the "New Warrants"); (d) the Consenting Bank Lenders will agree to the Debtors' consensual use of their cash collateral; (e) a corporate reorganization, the result of which will be a "siloed" FFTA structure providing for certain cross-guarantees to the Bank Lenders and direct ownership by reorganized Altera Parent of the Shuttle Tankers business and FPSO joint ventures; (f) certain of the Consenting Bank Lenders and Brookfield will agree to provide commitments for an approximately $183 million new-money financing facility to fund the Debtors' portion of the financing of the Knarr FPSO upgrade costs under the Knarr Contract; (g) the Altera Parent Unsecured Notes will be equitized in exchange for their pro rata share of the New Warrants; (h) general unsecured claims at subsidiary Debtors, trade and contract claims, and administrative and priority claims will generally be paid in full in cash in the ordinary course of business; and (i) all existing common and preferred equity in Altera Parent will be canceled without any distribution. With a deal in hand -- and in a significantly strained liquidity position -- the Debtors commenced these chapter 11 cases to gain access to the DIP Facility and implement the terms of the Restructuring Support Agreement. To limit the administrative cost and burden on the Debtors' businesses, it is critical that the Debtors move through their chapter 11 process as efficiently as possible. To that end, the Debtors propose to proceed with these chapter 11 cases along the following timeline: (a) no later than 5 days after the Petition Date, the Debtors shall have obtained entry of an interim order approving the DIP Facility and authorizing the use of cash collateral; (b) no later than 45 days after the Petition Date, the Debtors shall have obtained entry of a final order approving the DIP Facility and authorizing the use of cash collateral; (c) no later than 90 days after the Petition Date, the Debtors shall have obtained entry of an order approving the form of solicitation materials to be used in connection with voting on the Debtors' plan of reorganization (the "Plan") and scheduling a hearing to consider confirmation of the Plan; (d) no later than 120 days after the Petition Date, the Debtors shall have obtained confirmation of the Plan; and (e) no later than the earlier of (i) 150 days after the Petition Date and (ii) the maturity of the DIP Facility, the Debtors shall have consummated the transactions contemplated by the Plan. About Altera Infrastructure Westhill, United Kingdom-based Altera Infrastructure L.P. (NYSE: ALIN-A) is a global energy infrastructure services partnership primarily focused on the ownership and operation of critical infrastructure assets in the offshore oil regions of the North Sea, Brazil and the East Coast of Canada. Altera has consolidated assets of approximately $3.8 billion comprised of 44 vessels, including floating production, storage and offloading (FPSO) units, shuttle tankers, floating storage and offtake (FSO) units, long-distance towing and offshore installation vessels and a unit for maintenance and safety (UMS). The majority of Altera's fleet is employed on medium-term, stable contracts. After agreeing to a debt-for-equity plan with bank lenders and owner Brookfield, Altera Infrastructure L.P. and 37 affiliate sought Chapter 11 protection (Bankr. S.D. Tex. Lead Case No. 22-90130) on Aug. 12, 2022. As of the Petition Date, the Debtors were liable for approximately $1.6 billion in aggregate principal amount of funded debt. Kirkland & Ellis LLP and Jackson Walker LLP serve as the Debtors' counsel. Stretto is the claims agent. HARRIS CM: Financial Challenges Prompt Administration ----------------------------------------------------- Stephen Farrell at Insider Media reports that a Yorkshire construction company that worked on a host of projects in the region has entered administration. RSM Restructuring Advisory was recently instructed by the directors of Harris CM Ltd to place the company into administration, with Jamie Miller and Gareth Harris were appointed as joint administrators on August 12, 2022, Insider Media relates. Harris CM, based in Pontefract, was a multi-disciplinary construction company that worked on a range of projects predominantly in the Yorkshire area. At the date of appointment, the company was actively working on nine sites and employed 25 staff directly, alongside a large number of contractors. All the sites were closed approximately one week prior to the administration appointment and employees have been informed that they have been made redundant, Insider Media discloses. According to Insider Media, Jamie Miller, RSM Restructuring Advisory partner and joint administrator, said: "The company has been faced with a combination of significant financial challenges, in particular the spiralling costs of raw materials and an inability to pass these on to customers due to fixed price contracts. "Despite the best efforts of the management team, the accumulated losses from these contracts have unfortunately led to the ultimate cessation of trade of the company. This is another example of the wide-ranging challenges facing the construction sector at present. "The joint administrators and the directors are trying to work with customers to ensure a smooth handover of the existing sites to alternative contractors." NEWCASTLE GLASSWORKS: Enters Administration ------------------------------------------- Tom Keighley at BusinessLive reports that an oversupply of student accommodation in Newcastle prompted a forced administration of the businesses behind the Newcastle Glassworks building, administrators say. Newcastle Glassworks Limited, Newcastle Glassworks Management Limited and Bricks K5 Capital Ltd -- all part of the wider Hong Kong-based Bricks Capital group -- went into administration at the end of July having not made capital repayments on GBP11.6 million of debt since 2016, and no interest repayments since 2018, BusinessLive relates. The property -- which was only completed in 2016 using an innovative pre-fabricated container method -- was sold in a pre-pack deal to the Chinese lender CIMC, which owns the company that provided the containers, BusinessLive discloses. It followed months of failed negotiations in which Bricks had tried to refinance its debt, BusinessLive notes. CIMC paid GBP1.5 million cash for the property which was valued at about GBP6.5 million, along with a GBP9.2 million "credit bid" which used the debt it was owed, BusinessLive relays. According to BusinessLive, in a report filed by the administrators at Interpath, the loss-making Glassworks was said to have under-performed against its business plan due to a "high level of supply of student accommodation in Newcastle" and was forced to bring rents down. The most recent accounts for Newcastle Glassworks Limited show the company suffered losses of GBP3.49 million in 2020, BusinessLive discloses. Writing in the accounts published earlier this year, director Peter Prickett -- founder of the Bricks Group, which says it owns GBP500 million worth of development assets -- said he was working to finder a buyer for Newcastle Glassworks that could refinance the loan, BusinessLive notes. According to BusinessLive, he wrote: "The cashflow forecasts prepared by the company to assess its going concern status recognise that the entity has a loan facility available that is overdue and was due for repayment in March 2019 and at the year end the liability totals GBP9.77 million. However, at the date of approving the financial statements, the director is in active discussions to resolve the repayment of the loan via a sale of the company and a refinancing of the loan." W STIRLAND: Set to Go Into Administration ----------------------------------------- Grant Prior at Construction Enquirer reports that Chichester-based contractor W Stirland is heading for administration after nearly 100 years in business. The firm started trading back in 1928 and is run by the third generation of the founding Stirland family. W Stirland has filed a notice of intent to appoint an administrator with the contractor set to go into administration next week, The Enquirer relates. The Enquirer understands all staff have been sent home and employees are actively looking for new jobs. Latest accounts filed at Companies House show W Stirland made a pre-tax loss of GBP566,248 from a turnover of GBP27.2 million for the year to January 31, 2021, and employed 48 staff, The Enquirer discloses. WINDOW GLASS: Enters Administration, Buyer Sought for Business -------------------------------------------------------------- Andrew Arthur at BusinessLive reports that an established window manufacturing firm in Bristol has entered administration amid inflated costs and delays to key projects. Audit, tax, and advisory firm Mazars said it had been appointed joint administrator for The Window Glass Company (Bristol) Ltd, trading as Window Glass, as of Tuesday, Aug. 16, BusinessLive relates. According to BusinessLive, Mazars said Window Glass, which employees 31 people and operates out of a 55,000 sq ft factory in Brislington, had been impacted by the Covid-19 pandemic and Brexit over the past two years, resulting in losses. The administrator added that after Window Glass had stabilised its trading position by generating sales of around GBP3.4 million, rising energy and raw material prices -- combined with delays to key projects -- resulted in the firm incurring further losses, BusinessLive notes. Despite having a future order book of around GBP2 million and a number of live contracts, Mazars said Window Glass faced an immediate cashflow requirement that could not be met, with bosses left with no option but to enter the company into administration, according to BusinessLive. A buyer is being sought for all or part of Window Glass' business and assets, while the viability of continuing to complete certain key projects is assessed, BusinessLive discloses. Established in 1970, Window Glass designs, makes and installs aluminium window systems and curtain walling for public and private sector buildings, including schools, supermarkets and hospitals. WORCESTER WARRIORS: At Risk of Liquidation Over Unpaid Tax Bill --------------------------------------------------------------- John Westerby at The Times reports that Worcester Warriors are hopeful of securing their financial future, despite being served with a winding-up petition over an unpaid tax bill. According to The Times, Warriors, who finished 11th in the Gallagher Premiership last season, are seeking a "speedy and satisfactory resolution" with HM Revenue & Customs that would enable them to start the season as planned, to prevent them from slipping into liquidation and jeopardising the future of the club. In May this year, there was a delay in the payment of salaries to players, which the club put down to a "short-term cashflow issue", The Times recounts. Emails had also been sent to suppliers in both April and May from Jason Whittingham, co-owner of the club with Colin Goldring, asking for patience in relation to outstanding payments, The Times notes. =============== X X X X X X X X =============== [*] BOOK REVIEW: Hospitals, Health and People --------------------------------------------- Author: Albert W. Snoke, M.D. Publisher: Beard Books Softcover: 232 pages List Price: $34.95 Order your personal copy today at http://www.beardbooks.com/beardbooks/hospitals_health_and_people.html Hospitals, Health and People is an interesting and very readable account of the career of a hospital administrator and physician from the 1930's through the 1980's, the formative years of today's health care system. Although much has changed in hospital administration and health care since the book was first published in 1987, Dr. Snoke's discussion of the evolution of the modern hospital provides a unique and very valuable perspective for readers who wish to better understand the forces at work in our current health care system. The first half of Hospitals, Health and People is devoted to the functional parts of the hospital system, as observed by Dr. Snoke between the late 1930's through 1969, when he served first as assistant director of the Strong Memorial Hospital in Rochester, New York, and then as the director of the Grace-New Haven Hospital in Connecticut. In these first chapters, Dr. Snoke examines the evolution and institutionalization of a number of aspects of the hospital system, including the financial and community responsibilities of the hospital administrator, education and training in hospital administration, the role of the governing board of a hospital, the dynamics between the hospital administrator and the medical staff, and the unique role of the teaching hospital. The importance of Hospitals, Health and People for today's readers is due in large part to the author's pivotal role in creating the modern-day hospital. Dr. Snoke and others in similar positions played a large part in advocating or forcing change in our hospital system, particularly in recognizing the importance of the nursing profession and the contributions of non-physician professionals, such as psychologists, hearing and speech specialists, and social workers, to the overall care of the patient. Throughout the first chapters, there are also many observations on the factors that are contributing to today's cost of care. Malpractice is just one example. According to Dr. Snoke, "malpractice premiums were negligible in the 1950's and 1960's. In 1970, Yale-New Haven's annual malpractice premiums had mounted to about $150,000." By the time of the first publication of the book, the hospital's premiums were costing about $10 million a year. In the second half of Hospitals, Health and People, Dr. Snoke addresses the national health care system as we've come to know it, including insurance and cost containment; the role of the government in health care; health care for the elderly; home health care; and the changing role of ethics in health care. It is particularly interesting to note the role that Senator Wilbur Mills from Arkansas played in the allocation of costs of hospital-based specialty components under Part B rather than Part A of the Medicare bill. Dr. Snoke comments: "This was considered a great victory by the hospital-based specialists. I was disappointed because I knew it would cause confusion in working relationships between hospitals and specialists and among patients covered by Medicare. I was also concerned about potential cost increases. My fears were realized. Not only have health costs increased in certain areas more than anticipated, but confusion is rampant among the elderly patients and their families, as well as in hospital business offices and among physicians' secretaries." This aspect of Medicare caused such confusion that Congress amended Medicare in 1967 to provide that the professional components of radiological and pathological in-hospital services be reimbursed as if they were hospital services under Part A rather than part of the co-payment provisions of Part B. At the start of his book, Dr. Snoke refers to a small statue, Discharged Cured, which was given to him in the late 1940's by a fellow physician, Dr. Jack Masur. Dr. Snoke explains the significance the statue held for him throughout his professional career by quoting from an article by Dr. Masur: "The whole question of the responsibility of the physician, of the hospital, of the health agency, brings vividly to mind a small statue which I saw a great many years ago.it is a pathetic little figure of a man, coat collar turned up and shoulders hunched against the chill winds, clutching his belongings in a paper bag-shaking, tremulous, discouraged. He's clearly unfit for work-no employer would dare to take a chance on hiring him. You know that he will need much more help before he can face the world with shoulders back and confidence in himself. The statuette epitomizes the task of medical rehabilitation: to bridge the gap between the sick and a job." It is clear that Dr. Snoke devoted his life to exactly that purpose. Although there is much to criticize in our current healthcare system, the wellness concept that we expect and accept today as part of our medical care was almost nonexistent when Dr. Snoke began his career in the 1930's. Throughout his 50 years in hospital administration, Dr. Snoke frequently had to focus on the big picture and the bottom line. He never forgot the importance of Discharged Cured, however, and his book provides us with a great appreciation of how compassionate administrators such as Dr. Snoke have contributed to the state of patient care today. Albert Waldo Snoke was director of the Grace-New Haven Hospital in New Haven, Connecticut from 1946 until 1969. In New Haven, Dr. Snoke also taught hospital administration at Yale University and oversaw the development of the Yale-New Haven Hospital, serving as its executive director from 1965-1968. From 1969-1973, Dr. Snoke worked in Illinois as coordinator of health services in the Office of the Governor and later as acting executive director of the Illinois Comprehensive State Health Planning Agency. Dr. Snoke died in April 1988. ********* 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 publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR Europe subscription rate is US$775 per half-year, delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Peter Chapman at 215-945-7000. * * * End of Transmission * * *