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

                          E U R O P E

          Friday, May 12, 2023, Vol. 24, No. 96

                           Headlines



G E R M A N Y

ADLER PELZER: Moody's Affirms B3 CFR, Rates New Secured Notes B3
LUFTHANSA: Ryanair Wins Court Case Over Pandemic State Aid
TAKKO FASHION: Moody's Appends 'LD' Designation to Ca-PD PDR


I R E L A N D

RYANAIR HOLDINGS: Egan-Jones Retains BB Senior Unsecured Ratings
SCULPTOR EUROPEAN V: Moody's Affirms B2 Rating on EUR12MM F Notes
SEAGATE TECHNOLOGY: Egan-Jones Retains BB+ Sr. Unsecured Ratings


L U X E M B O U R G

DANA FINANCING: Moody's Rates New EUR425MM Unsecured Notes 'B1'


P O R T U G A L

LUSITANO MORTGAGES 4: Moody's Ups Rating on EUR24MM D Notes to B3


T U R K E Y

ANADOLUBANK AS: Fitch Affirms LongTerm IDRs at B-, Outlook Negative
FIBABANKA ANONIM: Fitch Affirms 'B-' Foreign Curr. IDR, Outlook Neg
ODEA BANK: Fitch Affirms LongTerm IDR at 'B-', Outlook Negative
SEKERBANK TAS: Fitch Affirms LongTerm IDR at 'B-', Outlook Negative


U N I T E D   K I N G D O M

M&CO: Suppliers, Unsecured Creditors Set to Get Low Repayments
POLO FUNDING 2021-1: Moody's Affirms B1 Rating on Class D Notes
PTARMIGAN HOMES: Goes Into Liquidation, Owes More Than GBP820,000
TILLERY VALLEY: On Brink of Administration, 250 Jobs at Risk
UK: Corporate Insolvencies Up 22% Year-on-Year in Q1 2023



X X X X X X X X

[*] BOOK REVIEW: Transnational Mergers and Acquisitions

                           - - - - -


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G E R M A N Y
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ADLER PELZER: Moody's Affirms B3 CFR, Rates New Secured Notes B3
----------------------------------------------------------------
Moody's Investors Service has affirmed the B3 long term corporate
family rating and B3-PD probability of default rating of German
auto parts supplier Adler Pelzer Holding GmbH. Moody's further
affirmed the B3 ratings on the group's existing EUR350 million and
EUR75 million guaranteed senior secured notes due April 2024 and
assigned a B3 rating to its proposed new EUR350 million backed
senior secured notes (net of an applicable original issue discount)
due April 2027. The outlook on all ratings remains negative.

On May 10, Adler Pelzer announced the refinancing of its existing
aggregate EUR425 million 4.125% guaranteed senior secured notes due
April 2024. The refinancing will be funded with (i) EUR350 million
proceeds from the proposed new backed senior secured notes due
April 2027, (ii) an expected EUR120 million equity injection in the
form of a subordinated shareholder loan (SHL), and (iii) EUR14
million of cash on hand. The cash sources from transaction will
further be used to repay an existing EUR40 million super senior
term loan due June 2023, EUR11 million of other short-term bank
borrowings, as well as expected transaction costs and fees.

The transaction also comprises a proposed EUR55 million super
senior revolving credit facility (SSRCF), maturing in October 2026.
Both the SHL and SSRCF are conditional upon the proposed
refinancing.

The B3 instrument rating on the existing EUR350 million and EUR75
million guaranteed senior secured notes due 2024 will be withdrawn
upon their repayment.

RATINGS RATIONALE

The rating affirmation reflects Adler Pelzer's improving liquidity
following the proposed transaction, which will significantly reduce
its near-term refinancing needs given the maturity of the backed
senior secured notes in 2027, and considering the proposed and
initially undrawn EUR55 million SSRCF. The group's continued
sizeable cash position of more than EUR200 million (pro forma (PF)
for the transaction closing as of December 31, 2022), additionally
supports its liquidity.

The rating affirmation reflects the group's modest leverage for the
B3 rating category with an expected Moody's-adjusted debt/EBITDA
ratio of below 4.5x for 2023, based on Moody's treatment of the
proposed EUR120 million shareholder loan as equity, which is
subordinated to all other debt of the group and will mature 12
months after the maturity of the senior debt.

Moody's recognizes Adler Pelzer's solid financial performance in
2022, as shown by group revenue climbing to EUR2.1 billion (+18%
year-over-year at constant perimeter) and EUR166 million of
reported EBITDA (+15%). Moody's forecasts Adler Pelzer's sales and
earnings to further recover in 2023, reflecting its sizeable order
backlog that continues to provide good visibility, anticipated
mid-single-digit growth in global light vehicle sales and
additional compensation for input cost inflation via price
increases. Considering an expected much higher coupon of the new
backed senior secured notes (around 10% assumed by Moody's),
compared with 4.125% of the existing guaranteed senior secured
notes, however, the group's interest burden will increase, lowering
its interest cover to a weak level for the B3 rating category
initially (around 1.0x Moody's-adjusted EBITA/interest expense
expected for 2023) and weighing on Moody's-adjusted free cash flow
(FCF) which the rating agency expects to turn slightly negative
this year.

The affirmed B3 CFR continues to reflect as credit challenges the
group's exposure to volatile commodity prices, which increased and
could not entirely be passed on to customers in 2022; exposure to
the cyclicality of the automotive industry, which has faced
sluggish and volatile production on prolonged material shortages in
2022, as well as challenges from tightening emission regulations
and rising investments in new drivetrain technologies; Moody's
forecast of slowing economic growth, continued high inflation and
geopolitical risks, potentially weighing on consumer sentiment this
year; and limited FCF generation due to growth investments and the
expected higher interest burden after the proposed transaction.

The CFR positively incorporates Adler Pelzer's position as a
leading automotive supplier of products for noise, vibration and
harmonics (NVH) applications in light vehicles and trucks;
long-term and well-established relationships with a diverse mix of
automotive original equipment manufacturers (OEMs); history of
revenue growth in excess of global light vehicle production;
positive exposure to the trend towards electrified vehicles; a
sizeable EUR12.1 billion order book for the period 2023-2032 as of
December 31, 2022; and a general commitment of the main shareholder
to support the group, if needed.

LIQUIDITY

Adler Pelzer's previously weak liquidity will significantly improve
after the proposed transaction to an adequate level. This
assessment primarily reflects the elimination of short-term
refinancing risk in case of a successful completion of the
transaction. Besides the remaining substantial cash position of
over EUR200 million at completion of the refinancing, Adler
Pelzer's cash sources further comprise its proposed new EUR55
million SSRCF, maturing in October 2026. While Moody's projects
moderate negative Moody's-adjusted FCF for 2023, due to the
increasing interest costs, working capital needs and capital
spending of around 3.5% of sales (plus about EUR40 million of
annual lease payments), the group's FCF should turn positive again
from 2025.

As stipulated in the new SSRF agreement, Adler Pelzer needs comply
with one financial covenant (net leverage), under which Moody's
expects the group to maintain adequate headroom.

STRUCTURAL CONSIDERATIONS

In Moody's loss-given-default (LGD) assessment, the proposed new
backed senior secured notes, which are guaranteed by material
subsidiaries of the group and will benefit from an improved
security package after the transaction, will rank junior to the
proposed SSRCF as well as certain borrowings at the level of
non-guaranteeing subsidiaries. Borrowings of guaranteeing
subsidiaries and trade payables rank in line with the notes as the
most significant senior debt, followed by unsecured pensions and
short-term lease commitments. The subordinated shareholder loan is
excluded from the LGD assessment given Moody's treatment of the
instrument as equity.

Based on Moody's 50% standard recovery assumption for capital
structures consisting of bank and bond debt, the new backed senior
secured notes are rated B3 in line with the CFR.

ESG CONSIDERATIONS

Moody's governance assessment for Adler Pelzer incorporates its
leveraged capital structure, high risk tolerance, as illustrated by
relatively late refinancing (less than one year before maturity)
that previously constrained its liquidity, and concentrated
ownership and board structure. The rating action positively factors
in Adler Pelzer's improving liquidity and leverage that will be
reduced to modest levels for the B3 rating category after the
proposed refinancing. Moody's also acknowledges the strong support
through sizeable equity contributions by Adler Pelzer's
shareholders as part of the proposed transaction.

RATIONALE FOR THE NEGATIVE OUTLOOK

The negative outlook indicates a possible downgrade if the group
failed to complete the transaction over the next few weeks,
implying a further weakening of its liquidity and heightening
refinancing risks. The outlook also reflects Moody's expectation of
an expected weak interest coverage and negative FCF generation,
possibly also beyond 2023.

That said, given Moody's expectation of Adler Pelzer's leverage to
reduce to a modest level after the proposed refinancing and its
operating performance to continue to recover this year, combined
with its improving liquidity, Moody's might revisit the negative
outlook once the transaction is successfully completed.

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

Moody's could downgrade Adler Pelzer's ratings, if the group failed
to successfully complete the proposed transaction over the next few
weeks. Downgrade pressure could further evolve, if Adler Pelzer's
(1) Moody's-adjusted EBITA margin decreased to below 3%, (2)
leverage exceeded 5.5x Moody's-adjusted debt/EBITDA, (3)
Moody's-adjusted interest coverage remained constantly below 1.25x
EBITA/interest expense, (4) Moody's-adjusted FCF turned sustainably
negative.

Moody's could upgrade the ratings, if Adler Pelzer's (1)
Moody's-adjusted EBITA margin returned to at least 4%, (2) leverage
reduced to sustainably below 4.5x Moody's-adjusted debt/EBITDA, (3)
interest coverage increased towards 2.0x (4) Moody's-adjusted FCF
turned positive, supporting consistent adequate liquidity.

LIST OF AFFECTED RATINGS

Issuer: Adler Pelzer Holding GmbH

Affirmations:

LT Corporate Family Rating, Affirmed B3

Probability of Default Rating, Affirmed B3-PD

Senior Secured Regular Bond/Debenture, Affirmed B3

Assignments:

BACKED Senior Secured Regular Bond/Debenture, Assigned B3

Outlook Actions:

Outlook, Remains Negative

PRINCIPAL METHODOLOGY

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

COMPANY PROFILE

Adler Pelzer is a global automotive supplier, headquartered in
Hagen, Germany. The group is a global leader in the design,
engineering and manufacturing of acoustic and thermal components
and systems for light passenger vehicles and trucks.

Its largest product portfolio is for passenger compartments, and
includes floor trim, door shields, seals, and felt and foam
insulation parts. Adler Pelzer also produces panels and trims for
the engine compartment and the trunk. In 2022, the group generated
revenue of EUR2.1 billion and EBITDA of EUR166 million. Adler
Pelzer is a wholly owned subsidiary of Adler Group S.p.A., owned by
Adler Plastic S.p.A. (71.93% share) and Japanese Hayashi Telempu
Corporation (28.07%). Adler Plastic S.p.A. is owned by members of
the Scudieri family (a 35% direct stake), and the joint-venture
Global Automotive Interior Alliance (GAIA) with a 65% stake, of
which the family owns a 61.58% share and Hayashi Telempu
Corporation the remaining 38.42%.

LUFTHANSA: Ryanair Wins Court Case Over Pandemic State Aid
----------------------------------------------------------
Javier Espinoza and Guy Chazan at The Financial Times report that
Ryanair has won a European court case against the EU's decision to
grant Lufthansa billions of euros in state aid to help the German
carrier during the pandemic, in a major setback to regulators in
Brussels.

According to the FT, the General Court said the European Commission
made "several errors", saying Brussels was wrong to consider that
Lufthansa "was unable to obtain financing on the markets for the
entirety of its needs".

EU regulators approved EUR6 billion in state aid to help Lufthansa
as the German government sought to acquire a 20 per cent stake in
the bloc's largest airline to prevent its collapse, the FT
discloses.

At the time, Carsten Spohr, Lufthansa's chief executive, said the
original planned bailout exceeded what the company needed, drawing
further scrutiny on regulators, the FT notes.

Under state aid rules companies cannot receive more than the amount
necessary to keep trading without skewing competition, the FT
states.

Since then, Lufthansa said it had repaid or cancelled all remaining
government support given in aid during the Covid-19 crisis, the FT
relates.


TAKKO FASHION: Moody's Appends 'LD' Designation to Ca-PD PDR
------------------------------------------------------------
Moody's Investors Service appended a limited default (LD)
designation to Takko Fashion S.a r.l.'s Ca-PD probability of
default rating. The PDR has therefore been changed to Ca-PD/LD from
Ca-PD. All other ratings remain unchanged. The rating outlook is
negative.

The "/LD" indicator reflects that the amendment to extend the
maturity of the EUR80 million term loan B which was due May 9, 2023
and is now due at closing of the capital structure restructuring,
which the company intends to complete by the July 6, 2023. Moody's
views the amendment to extend the maturity of the term loan B as a
distressed exchange ("DE"), which is a default in accordance with
Moody's definition. The rating agency views this extension as a DE,
as it is driven by Takko's inability to service the upcoming
maturity with existing cash. The PDR will revert to Ca-PD and the
/LD designation will be removed in approximately three business
days.

On April 19, 2023 Takko entered into a lock up agreement and an SFA
amendment letter with its creditors the latter of which provides
for, inter alia, the extension. Under the terms, Takko's
restructuring will involve a debt-to-equity swap for the EUR510
million backed senior secured notes due in November 2023 issued by
Takko Luxembourg 2 S.C.A., which Moody's would consider as a
distressed exchange. The negative rating outlook continues to
reflect a high probability of another default resulting out of the
restructuring, under Moody's definition. More specifically, it
reflects the high probability that Takko will complete by July 6,
2023 the restructuring of its debt, including the debt to equity
swap.

COMPANY PROFILE

Founded in 1982, Takko Fashion S.a r.l. (Takko) is a German
discount fashion retailer, offering a range of own-label apparel
products and accessories for women, men and children. Takko
operates a portfolio of 1921 retail stores, principally in
out-of-town locations. For the 12 months ended October 30, 2022,
Takko reported net sales of around EUR1.0 billion and
company-reported EBITDA of EUR229 million. The company is mostly
present in Germany and also has a presence in 16 other European
countries, including Austria, the Netherlands, the Czech Republic,
Hungary, Romania, Poland, Slovakia and Italy.  



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RYANAIR HOLDINGS: Egan-Jones Retains BB Senior Unsecured Ratings
----------------------------------------------------------------
Egan-Jones Ratings Company on February 21, 2023, maintained its
'BB' foreign currency and local currency senior unsecured ratings
on debt issued by Ryanair Holdings plc. EJR also withdrew its 'A2'
rating on commercial paper issued by the Company.

Headquartered in Swords, Ireland, Ryanair Holdings plc provides low
fare passenger airline services to destinations in Europe.



SCULPTOR EUROPEAN V: Moody's Affirms B2 Rating on EUR12MM F Notes
-----------------------------------------------------------------
Moody's Investors Service has upgraded the ratings on the following
notes issued by Sculptor European CLO V DAC:

EUR19,000,000 Class B-1 Senior Secured Floating Rate Notes due
2032, Upgraded to Aa1 (sf); previously on Nov 18, 2021 Affirmed Aa2
(sf)

EUR20,000,000 Class B-2 Senior Secured Floating Rate Notes due
2032, Upgraded to Aa1 (sf); previously on Nov 18, 2021 Definitive
Rating Assigned Aa2 (sf)

EUR27,000,000 Class C Senior Secured Deferrable Floating Rate
Notes due 2032, Upgraded to A1 (sf); previously on Nov 18, 2021
Definitive Rating Assigned A2 (sf)

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

EUR248,000,000 Class A Senior Secured Floating Rate Notes due
2032, Affirmed Aaa (sf); previously on Nov 18, 2021 Definitive
Rating Assigned Aaa (sf)

EUR24,000,000 Class D Senior Secured Deferrable Floating Rate
Notes due 2032, Affirmed Baa3 (sf); previously on Nov 18, 2021
Definitive Rating Assigned Baa3 (sf)

EUR22,000,000 Class E Senior Secured Deferrable Floating Rate
Notes due 2032, Affirmed Ba2 (sf); previously on Nov 18, 2021
Affirmed Ba2 (sf)

EUR12,000,000 Class F Senior Secured Deferrable Floating Rate
Notes due 2032, Affirmed B2 (sf); previously on Nov 18, 2021
Affirmed B2 (sf)

Sculptor European CLO V DAC, issued in December 2018 and refinanced
in November 2021, is a collateralised loan obligation (CLO) backed
by a portfolio of mostly high-yield senior secured European loans.
The portfolio is managed by Sculptor Europe Loan Management
Limited. The transaction's reinvestment period will end in July
2023.

RATINGS RATIONALE

The rating upgrades on the Class B-1, Class B-2 and Class C notes
are primarily a result of the benefit of the shorter period of time
remaining before the end of the reinvestment period in July 2023.

The affirmations on the ratings on the Class A, Class D, Class E
and Class F Notes are primarily a result of the expected losses on
the notes remaining consistent with their current rating levels,
after taking into account the CLO's latest portfolio, its relevant
structural features and its actual over-collateralisation ratios.

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. In particular, Moody's assumed that
the deal will benefit from a shorter amortisation profile than it
had assumed at the last review in August 2022.

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: EUR396.17m

Defaulted Securities: EUR4.03m

Diversity Score: 60

Weighted Average Rating Factor (WARF): 2884

Weighted Average Life (WAL): 3.88 years

Weighted Average Spread (WAS) (before accounting for Euribor
floors): 3.82%

Weighted Average Coupon (WAC): 3.76%

Weighted Average Recovery Rate (WARR): 44.05%

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 June 2022. 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:

The rated notes' performance is subject to uncertainty. The notes'
performance is sensitive to the performance of the underlying
portfolio, which in turn depends on economic and credit conditions
that may change. The collateral manager's investment decisions and
management of the transaction will also affect the notes'
performance.

Additional uncertainty about performance is due to the following:

Portfolio amortisation: Once reaching the end of the reinvestment
period in July 2023, 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.

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

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

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.

SEAGATE TECHNOLOGY: Egan-Jones Retains BB+ Sr. Unsecured Ratings
----------------------------------------------------------------
Egan-Jones Ratings Company on February 15, 2023, maintained its
'BB+' foreign currency and local currency senior unsecured ratings
on debt issued by Seagate Technology PLC.

Headquartered in Dublin, Ireland, Seagate Technology PLC designs,
manufactures, and markets hard disk drives for enterprise
applications, client compute applications, client non-compute
applications, personal data backup systems, portable external
storage systems and digital media systems.




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L U X E M B O U R G
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DANA FINANCING: Moody's Rates New EUR425MM Unsecured Notes 'B1'
---------------------------------------------------------------
Moody's Investors Service assigned a B1 rating to Dana Financing
Luxembourg S.a.r.l.'s (Dana Luxembourg) proposed EUR425 million of
senior unsecured notes. Dana Luxembourg is a financing subsidiary
of Dana Incorporated (Dana), and Dana will unconditionally
guarantee the Dana Luxembourg notes on a senior unsecured basis.
Dana Luxembourg does not have any operating subsidiaries. All other
ratings are unaffected including Dana's Ba3 corporate family rating
and B1 senior unsecured rating. The outlook is stable.

The senior unsecured notes proposed by Dana Luxembourg are fully
and unconditionally guaranteed by the parent company, Dana. As
such, Moody's believes the risk is similar to Dana's domestic
senior unsecured notes rated B1. The indenture for the non-US notes
restricts Dana Luxembourg from conducting business operations other
than those in connection with the issuance of the notes and other
debt.

Proceeds from these proposed Euro notes are expected to redeem a
portion of the 2025 senior unsecured notes and pay down revolving
credit facility borrowings.

Moody's took the following rating action on Dana Financing
Luxembourg S.a.r.l.:

Assignment:

Issuer: Dana Financing Luxembourg S.a.r.l.

Backed Senior Unsecured Regular Bond/Debenture, Assigned B1

RATINGS RATIONALE

Dana's ratings reflect a strong competitive position and good
diversity as a supplier of driveline products and thermal sealants
for light, commercial and off-road vehicles. The company's Light
Vehicle segment mix is weighted towards trucks and SUVs, which
continue to grow as a percentage of overall vehicle production.
Additionally, key operating segments are expected to benefit from
resilient demand conditions - light trucks, SUVs/CUVs, heavy and
medium-duty trucks, agriculture, construction and mining - that
will support earnings and cash flow growth despite lingering cost
headwinds and operating inefficiencies from improving but still
uneven OEM production runs.

The stable outlook reflects Moody's expectation for a steady,
protracted recovery in operating results through much of 2023 as
key end markets (light vehicle, commercial vehicle and agriculture)
maintain favorable demand fundamentals despite growing
macroeconomic uncertainty.

Dana's SGL-1 Speculative Grade Liquidity Rating indicates Moody's
expectation for the company to maintain very good liquidity, with a
cash position sustained around $400 million ($401 million at March
31, 2023) and ample availability (approximately $840 million at
March 31, 2023) under a $1.15 billion revolving credit facility set
to expire March 2028.  Free cash flow is expected to fall sharply
from the 2022 level (over $140 million) but remain modestly
positive due to the need for higher capital investment to support
accelerated EV growth and new platforms.  Free cash flow in 2024
should rebound back towards a more normalized level but will
continue to be impacted by growth in electrification programs.

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

The ratings could be upgraded with expectations of sustained
revenue growth leading to EBITA-to-interest over 3.5x,
debt-to-EBITDA approaching 3x and consistent free cash flow in
excess of $150 million annually while maintaining very good
liquidity. An EBITA margin approaching high single digits, boosted
by continued cost structure improvements to better manage through
cyclicality, could also support an upgrade.

Ratings could be downgraded if Moody's believes that
EBITA-to-interest coverage is expected to approach 2x or
debt-to-EBITDA is sustained at or above 4x. Other developments that
could lead to a downgrade of the ratings include deteriorating
liquidity and aggressive debt funded acquisitions or shareholder
returns that result in leverage increasing and remaining elevated.

The principal methodology used in this rating was Automotive
Suppliers published in May 2021.

Dana Incorporated is a global manufacturer of drive systems (axles,
driveshafts, transmissions), sealing solutions (gaskets, seals, cam
covers, oil pan modules) and thermal-management technologies
(transmission and engine oil cooling, battery and electronics
cooling) serving OEMs in the light vehicle, commercial vehicle and
off-highway markets. Revenue for the twelve months ended March 31,
2023 was over $10.3 billion.



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LUSITANO MORTGAGES 4: Moody's Ups Rating on EUR24MM D Notes to B3
-----------------------------------------------------------------
Moody's Investors Service has upgraded the ratings of 6 notes in
Lusitano Mortgages No. 4 plc, Lusitano Mortgages No. 5 plc and
Lusitano Mortgages No. 6 Designated Activity Company. The upgrades
reflect the better than expected collateral performances and the
increased levels of credit enhancement for the affected Notes.
Moody's affirmed the ratings of the notes that had sufficient
credit enhancement to maintain their current ratings.

Issuer: Lusitano Mortgages No. 4 plc

EUR1134M Class A Notes, Affirmed Aa2 (sf); previously on Aug 1,
2022 Affirmed Aa2 (sf)

EUR22.8M Class B Notes, Affirmed A2 (sf); previously on Aug 1,
2022 Affirmed A2 (sf)

EUR19.2M Class C Notes, Affirmed Baa3 (sf); previously on Aug 1,
2022 Upgraded to Baa3 (sf)

EUR24M Class D Notes, Upgraded to B3 (sf); previously on Aug 1,
2022 Affirmed Caa1 (sf)

Issuer: Lusitano Mortgages No. 5 plc

EUR1323M Class A Notes, Affirmed Aa2 (sf); previously on Sep 22,
2021 Upgraded to Aa2 (sf)

EUR26.6M Class B Notes, Upgraded to A3 (sf); previously on Sep 22,
2021 Upgraded to Baa2 (sf)

EUR22.4M Class C Notes, Upgraded to Ba1 (sf); previously on Sep
22, 2021 Upgraded to Ba3 (sf)

EUR28M Class D Notes, Upgraded to Caa2 (sf); previously on Sep 22,
2021 Upgraded to Caa3 (sf)

Issuer: Lusitano Mortgages No. 6 Designated Activity Company

EUR943.25M Class A Notes, Affirmed Aa2 (sf); previously on Sep 22,
2021 Upgraded to Aa2 (sf)

EUR65.45M Class B Notes, Affirmed Aa2 (sf); previously on Sep 22,
2021 Upgraded to Aa2 (sf)

EUR41.8M Class C Notes, Upgraded to A1 (sf); previously on Sep 22,
2021 Upgraded to A3 (sf)

EUR17.6M Class D Notes, Upgraded to Ba3 (sf); previously on Sep
22, 2021 Upgraded to B3 (sf)

The maximum achievable rating is Aa2 (sf) for structured finance
transactions in Portugal, driven by the corresponding local
currency country ceiling of the country.

RATINGS RATIONALE

The rating action is prompted by decreased key collateral
assumptions, namely the portfolio Expected Loss (EL) and MILAN CE
assumptions due to better than expected collateral performance and
an increase in credit enhancement for the affected tranches.

Revision of Key Collateral Assumptions:

As part of the rating action, Moody's reassessed its lifetime loss
expectation for the portfolio reflecting the collateral performance
to date.

The performance of the transactions has been better than previously
expected. 90 days plus arrears as percentage of the current balance
have decreased in the past year, standing at 0.16% in Lusitano
Mortgages No. 4 plc, 0.21% in Lusitano Mortgages No. 5 plc and
0.19% in Lusitano Mortgages No. 6 Designated Activity Company. The
cumulative written-off mortgage assets currently stand at 7.41%,
9.06% and 11.68% of original pool balance respectively and remained
broadly stable from a year earlier.

Moody's decreased the expected loss assumption of Lusitano
Mortgages No. 4 plc, Lusitano Mortgages No. 5 plc, and Lusitano
Mortgages No. 6 Designated Activity Company to 1.90%, 3.10% and
3.10% as a percentage of current pool due to the improving
performance. The revised expected loss assumption corresponds to
3.75%, 5.60% and 7.24% as a percentage of original pool balance for
those three transactions.

Moody's also assessed loan-by-loan information as part of its
detailed transaction review to determine the credit support
consistent with target rating levels and the volatility of future
losses. As a result, Moody's has decreased the MILAN CE assumption
of Lusitano Mortgages No. 4 plc to 8.0% from 9.0%; of Lusitano
Mortgages No. 5 plc to 12.0% from 15.0% and of Lusitano Mortgages
No. 6 Designated Activity Company to 13.0% from 16.0%.

Increase in Available Credit Enhancement

For Lusitano Mortgages No. 4 plc and Lusitano Mortgages No. 5 plc,
the non-amortizing reserve funds led to the increase in the credit
enhancement available in both transactions. For instance, the
credit enhancement for Class A notes in Lusitano Mortgages No. 5
plc increased to 21.27% from 20.86% and the credit enhancement for
Class B notes increased to 14.65% from 14.24% since the last rating
action in September 2021. Currently the notes in both transactions
are paid pro rata. For Lusitano Mortgages No. 5 plc the
amortization of principal will switch to sequential upon the pool
factor decreasing below 10% of original pool balance.

For Lusitano Mortgages No. 6 Designated Activity Company, the
sequential amortization led to the increase in the credit
enhancement available in this transaction. For instance, the credit
enhancement for Class D notes increased to 12.32% from 9.63% since
the last rating action in September 2021.

The principal methodology used in these ratings was "Moody's
Approach to Rating RMBS Using the MILAN Framework" published in
July 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 to an upgrade or downgrade of the ratings:

Factors or circumstances that could lead to an upgrade of the
ratings include (1) performance of the underlying collateral that
is better than Moody's expected, (2) an increase in available
credit enhancement, (3) improvements in the credit quality of the
transaction counterparties and (4) a decrease in sovereign risk.

Factors or circumstances that could lead to a downgrade of the
ratings include (1) an increase in sovereign risk, (2) performance
of the underlying collateral that is worse than Moody's expected,
(3) deterioration in the notes' available credit enhancement and
(4) deterioration in the credit quality of the transaction
counterparties.



===========
T U R K E Y
===========

ANADOLUBANK AS: Fitch Affirms LongTerm IDRs at B-, Outlook Negative
-------------------------------------------------------------------
Fitch Ratings has affirmed Anadolubank A.S.'s Long-Term
Foreign-Currency (LTFC) and Long-Term Local-Currency (LTLC) Issuer
Default Ratings (IDRs) at 'B-'. The Outlooks are Negative. Fitch
has also affirmed the bank's Viability Rating (VR) at 'b-'. The
National Rating has been affirmed at 'A-(tur)' with a Stable
Outlook.

KEY RATING DRIVERS

Anadolubank's IDRs are driven by its standalone creditworthiness,
as captured by its VR, reflecting its exposure to the volatile
Turkish operating environment, resilient profitability
notwithstanding its limited franchise, adequate capitalisation and
limited refinancing risks. The Negative Outlooks on the IDRs
reflect heightened operating environment risks.

The affirmation of the National Rating reflects its unchanged view
of Anadolubank's creditworthiness in LC relative to other Turkish
issuers.

The bank's 'B' Short-Term IDRs are the only possible option mapping
to the LT IDRs in the 'B' rating category.

Operating Environment Risks: Anadolubank is exposed to significant
operating environment pressures, given heightened risks to macro
and financial stability in Turkiye amid policy uncertainty, high
inflation and external vulnerabilities, with further uncertainty
stemming from the election outcome and earthquake impact. Multiple
macroprudential regulations imposed on banks to promote the
government's policy agenda add to the challenges of operating in
Turkiye.

Small Domestic Franchise: Anadolubank has a small market share of
0.4% of sector assets at end-2022 and limited pricing power. Its
self-funded Dutch subsidiary (30% of consolidated assets) brings
some diversification to operations. The bank's small size and high
balance sheet flexibility (reflecting the short-term nature of its
operations) have enabled the bank to adapt to and thereby minimise
its exposure to the macroprudential regulations in Turkiye.

Short-Term Lira Lending Focus: New loan origination is focused on
short-term local-currency lending to lower-risk corporates. At
end-2022, 85% of loans matured in under one year (93% on a solo
bank basis). Foreign-currency lending comprises 38% of the loan
book and is largely originated by the Dutch subsidiary.

Asset Quality Risks: The Stage 3 loans (NPL) ratio improved to 2.7%
at end-2022 (sector average: 2.1%), reflecting limited NPL inflows,
strong collections and loan growth in 2022 (up 7.5%, FX-adjusted).
Specific reserves coverage of NPLs was 70%. The short-term nature
of the bank's lending, low Stage 2 loans ratio (end-2022: 2.5%),
focus on short-term LC loans to the corporate segment and moderate
loan growth mitigate asset quality risks. Nevertheless, credit
risks remain heightened given sensitivity to the macro outlook and
high FC lending.

Resilient Profitability: The operating profit/risk-weighted assets
(RWA) ratio increased to 7.1% in 2022 (sector: 6.4%) from 2.4% in
2021, mainly supported by the wider net interest margin (2022:
5.1%; 2021: 3.4%). It reflected increased interest income from
loans and the bank's ability to keep cost of deposits under
control. Trading gains were sizeable (equal to 25% of operating
profit).

The bank's cost efficiency is below the sector average due to
limited economies of scale and digital banking investments. Fitch
expects profitability to weaken due to lower GDP growth and margin
tightening, while it remains sensitive to asset quality risks and
potential further regulatory developments.

Adequate Capitalisation: The bank's common equity Tier 1 (CET1)
ratio rose to 18.8% at end-2022 including forbearance uplift of
412bp (end-2021: 15.3%), reflecting strong internal capital
generation (2022: return-on-average equity ratio of 36%) in the
high inflation environment. Excluding forbearance, the bank's CET1
ratio was still adequate at 14.6%. Capitalisation remains sensitive
to macro risks, lira depreciation (due to high FC RWA) and asset
quality risks. Pre-impairment profit (2022: equal to 7.6% of
average loans) provides a solid buffer to absorb unexpected credit
losses through the income statement.

Limited Refinancing Risk: Customer deposits (end-2022: 91% of total
funding) are fairly granular aside from related-party deposits, but
short term, and the share of FC deposits is high (52%; sector:
43%). However, 53% of the latter comprise deposits held at the
Dutch subsidiary. The bank's loans-to-deposits ratio (consolidated
basis) fell to 77% (sector: 87%) at end-2022, as deposit growth
outpaced loan growth. Anadolubank has limited FC wholesale funding
exposure (5.5% of total non-equity funding). FC liquidity could
come under pressure from sector-wide deposit instability.

RATING SENSITIVITIES

Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade

Anadolubank's IDRs are sensitive to a downgrade of its VR or to an
increase in government intervention risk in the banking sector,
which caps most Turkish banks' LTFC IDRs at 'B-'.

The VR could be downgraded due to further marked deterioration in
the operating environment, particularly if it leads to an erosion
in the bank's capital buffer, or in its FC liquidity buffer, for
example, due to potential sector-wide FC-deposit instability. The
VR is also potentially sensitive to a sovereign downgrade.

The Short-Term IDRs are sensitive to changes in the bank's LT
IDRs.

The National Rating is sensitive to an adverse change in the bank's
LC creditworthiness relative to that of other Turkish issuers.

Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade

An upgrade of the bank's ratings is unlikely given the Negative
Outlooks and its view of government intervention risk in the
banking sector.

The National Rating is sensitive to a positive change in the bank's
creditworthiness in LC relative to that of other Turkish issuers.

Anadolubank's Government Support Rating (GSR) of 'No Support' (ns)
reflects its view that state support cannot be relied upon, in case
of need, given the bank's limited systemic importance.

VR ADJUSTMENTS

The 'b-' operating environment score for Anadolubank is lower than
the category implied score of 'bb' due to the following adjustment
reasons: sovereign rating (negative) and macro-economic stability
(negative). The latter adjustment reflects heightened market
volatility, high dollarisation and high risk of foreign-exchange
movements in Turkiye.

ESG CONSIDERATIONS

Anadolubank's ESG Relevance scores for Management Strategy have
been changed to '4' from '3', reflecting increased regulatory
intervention in the Turkish banking sector, which hinders the
operational execution of management strategy, constrains management
ability to determine strategy and price risk and creates an
additional operational burden for the entities. This has a
moderately negative credit impact on the entities' ratings in
combination 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.

   Entity/Debt                       Rating               Prior
   -----------                       ------               -----
Anadolubank A.S.   LT IDR             B-     Affirmed        B-
                   ST IDR             B      Affirmed        B
                   LC LT IDR          B-     Affirmed        B-
                   LC ST IDR          B      Affirmed        B
                   Natl LT            A-(tur)Affirmed   A-(tur)
                   Viability          b-     Affirmed        b-
                   Government Support ns     Affirmed       ns

FIBABANKA ANONIM: Fitch Affirms 'B-' Foreign Curr. IDR, Outlook Neg
-------------------------------------------------------------------
Fitch Ratings has affirmed Fibabanka Anonim Sirketi's Long-Term
Foreign-Currency (LTFC) Issuer Default Rating (IDR) at 'B-' with a
Negative Outlook and Viability Rating (VR) at 'b-'.

Fitch has downgraded Fibabanka's Long-Term Local-Currency (LTLC)
IDR to 'B-' from 'B' with a Negative Outlook. This reflects its
view that the bank's qualifying junior debt (QJD) buffer is
unlikely to remain clearly and sustainably above 10% of
risk-weighted assets (RWA) - a level sufficient to protect senior
obligations in case of default and permit a one-notch uplift of the
bank's Long-Term IDR above the VR, according to Fitch's criteria.
This partly reflects RWA volatility.

Following the downgrade of Fibabanka's LTLC IDR, its National
Rating has been downgraded to 'A-(tur)' from 'A(tur)', with a
Stable Outlook, reflecting Fitch's view of the bank's
creditworthiness in LC relative to other Turkish issuers.

KEY RATING DRIVERS

Fibabanka's LT IDRs are driven by its standalone creditworthiness,
as captured by its VR, reflecting its exposure to the volatile
Turkish operating environment, strong profitability
(notwithstanding the bank's limited franchise) supported by the
expansion of digital banking operations, improved asset quality,
only adequate capitalisation and refinancing risks. The Negative
Outlooks on the IDRs reflect heightened operating environment
risks.

The bank's 'B' Short-Term (ST) IDRs are the only possible option
mapping to LT IDRs in the 'B' rating category.

Challenging Operating Environment: Fibabanka is exposed to
significant operating environment pressures, given heightened risks
to macro and financial stability in Turkiye amid policy
uncertainty, high inflation and external vulnerabilities, and
further uncertainty stemming from the election outcome and
earthquake impact. Multiple macroprudential regulations imposed on
banks to promote the government's policy agenda add to the
challenges of operating in Turkiye.

Small Franchise, Digital Focus: Fibabanka has a small franchise
(end-2022: 0.5% of sector assets), resulting in limited competitive
advantages versus larger banks in the volatile Turkish operating
environment, where its operations are concentrated. Nevertheless,
the bank has reached 4.5 million customers, reflecting the success
of its digital banking channels and notably its partnerships with
well-known retailers across Turkiye, where it provides instant
loans for the purchase of goods via its app-based channel.

Concentrated Portfolio: The loan book is concentrated by sector and
borrower, notwithstanding deleveraging in recent years, especially
in FX lending. As a result, Fibabanka's FC loans (16% of loans) are
significantly below the sector average. Business loans are
concentrated in the wholesale and retail trade (end-2022: 22% of
business loans), tourism (8%), construction (7%) and metal sectors
(7%). A high and growing share of unsecured retail loans (25%) also
creates credit risks amid macro uncertainty, although the loans are
granular, fixed rate and in lira.

Asset Quality Risks: Fibabanka's non-performing loans (NPL; Stage
3) ratio (end-2022: 1.7%) is below the sector average (2.2%)
reflecting strong collections, high nominal growth (2022: 73%) in
the inflationary environment and NPL sales. Stage 2 loans (89%
restructured) have also fallen (end-2022: 8%; end-2021: 16%). NPLs
are 75%-covered by specific reserves, average Stage 2 coverage was
13.5%. Credit risks are heightened given risks to macro and market
stability and loan seasoning. The earthquake disaster creates
additional risks, although the bank's exposure to the
worst-affected cities appears limited.

Profitability Supported by Trading Income: Fibabanka's operating
profitability rose significantly in 2022 (7.3% of RWA; 2021: 1.9%)
boosted by significant trading gains (equal to 85% of operating
profit) but also reflecting net interest margin widening (due to
core spread improvement) and loan growth. The bank booked material
free provisions in 2022, equal to 28% of operating profit. Fitch
expects performance to weaken in 2023 due to slower GDP growth, the
impact of macroprudential measures and higher funding costs. It
remains sensitive to asset-quality risks and macro and regulatory
developments.

Capitalisation Only Adequate: Fibabanka's common equity Tier 1
(CET1) ratio increased to 10.6% at end-2022 (10.2% excluding
forbearance) from 7.7% at end-2021 (7.1% excluding forbearance),
reflecting the conversion of USD30 million of additional Tier 1
from its main shareholder to common equity and strong internal
capital generation. The total capital ratio (19.5%; 18.8% net of
forbearance) includes USD238 million of subordinated debt (maturity
in 2027), which provides a partial hedge against lira
depreciation.

Capitalisation is supported by strong reserves coverage of NPLs and
free provisions equal to 2.8% of RWA, but is sensitive to the macro
outlook, lira depreciation, asset quality weakening and growth.
Leverage is also fairly high (end-2022: 8.0% tangible common
equity/tangible assets ratio).

Refinancing Risks: Customer deposits (end-2022: 62% of total
funding) are granular but a high 35% are in FC (sector: 46%),
despite the latter falling significantly thanks to the FX protected
lira deposit scheme. FC wholesale funding exposure (25%) remains
high, increasing refinancing risks, given the bank's exposure to
investor sentiment amid market volatility. FC liquidity was
sufficient to cover Fibabanka's FC debt due within a year as of
end-2022 but is mainly reliant on FC swaps with the Central Bank,
access to which could become uncertain at times of market stress.
FC liquidity could come under pressure in case of a loss of market
access or sector-wide deposit instability.

RATING SENSITIVITIES

Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade

Fibabanka's LT IDRs are mainly sensitive to a downgrade of the
bank's VR or to an increase in government intervention risk in the
banking sector (which caps most Turkish banks' LTFC IDRs at 'B-').

The VR could be downgraded due to a marked deterioration in the
operating environment, or if the bank's CET1 ratio falls and
remains below 8% for a sustained period, or if FC liquidity comes
under pressure most likely due to a loss of market access or
sector-wide FC-deposit instability. The VR is also potentially
sensitive to a sovereign downgrade.

The Short-Term IDRs are sensitive to changes in the bank's LT
IDRs.

The National Rating is sensitive to negative changes in Fibabanka's
creditworthiness in LC relative to other Turkish issuers.

Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade

An upgrade of the bank's LTFC IDR is unlikely in the near term
given the Negative Outlook and Fitch's view of government
intervention risk in the banking sector. A VR upgrade is unlikely
given the bank's exposure to heightened operating environment risks
in Turkiye.

An upgrade of the bank's LTLC IDR and National Rating would require
a clear and sustainable record of the bank maintaining a QJD buffer
above 10% of its RWAs.

The National Rating is sensitive to positive changes in Fibabanka's
LTLC IDR and its creditworthiness in local currency relative to
other Turkish issuers.

OTHER DEBT AND ISSUER RATINGS: KEY RATING DRIVERS

Fibabanka's subordinated notes' rating has been downgraded to 'CCC'
from 'CCC+'. The notes' rating is notched down twice from the VR
anchor rating for loss severity, reflecting its expectation of poor
recoveries in case of default and its view that the bank's QJD
buffer is unlikely to remain clearly and sustainably above 10% of
RWAs.

The bank's 'no support' Government Support Rating reflects Fitch's
view that support from the Turkish authorities cannot be relied
upon, given the bank's small size and limited systemic importance.
In addition, support from Fibabanka's shareholders, while possible,
cannot be relied upon.

OTHER DEBT AND ISSUER RATINGS: RATING SENSITIVITIES

Fibabanka's subordinated debt rating is sensitive to any change in
its VR anchor rating. It is also sensitive to an increase in the
size of the bank's QJD buffer. An increase in this buffer to above
10% of RWAs on a sustained basis would likely result in a narrowing
of the notching to one notch from the VR reflecting reduced loss
severity.

VR ADJUSTMENTS

The operating environment score of 'b-' for Turkish banks is lower
than the category implied score of 'bb', due to the following
adjustment reasons: sovereign rating (negative) and macroeconomic
stability (negative). The latter adjustment reflects heightened
market volatility, high dollarisation and high risk of FX movements
in Turkiye.

ESG CONSIDERATIONS

Fibabanka's ESG Relevance Scores for Management Strategy have been
changed to '4' from '3' reflecting increased regulatory
intervention in the Turkish banking sector, which hinders the
operational execution of management strategy, constrains management
ability to determine strategy and price risk and creates an
additional operational burden for the entities. This has a
moderately negative credit impact on the entity's ratings in
combination 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 Fibabanka,
either due to their nature or to the way in which they are being
managed by the bank.

   Entity/Debt                     Rating         Recovery  Prior
   -----------                     ------         --------  -----
Fibabanka
Anonim Sirketi   LT IDR             B-     Affirmed            B-
                 ST IDR             B      Affirmed            B
                 LC LT IDR          B-     Downgrade           B
                 LC ST IDR          B      Affirmed            B
                 Natl LT            A-(tur)Downgrade       A(tur)
                 Viability          b-     Affirmed            b-
                 Government Support ns     Affirmed           ns

   Subordinated  LT                 CCC    Downgrade   RR6   CCC+

ODEA BANK: Fitch Affirms LongTerm IDR at 'B-', Outlook Negative
---------------------------------------------------------------
Fitch Ratings has affirmed Odea Bank A.S.'s Long-Term Issuer
Default Ratings (IDRs) at 'B-' with Negative Outlook and Viability
Rating (VR) at 'b-'.

KEY RATING DRIVERS

Odea's IDRs are driven by its standalone strength, as reflected in
its VR. The VR reflects the bank's concentration in the volatile
Turkish operating environment, limited franchise, weak but
improving asset quality and tight capitalisation. It also reflects
the bank's adequate funding and liquidity profile and limited
refinancing risks. The Negative Outlook on the Long-Term IDRs
mirrors that on the operating environment.

The affirmation of the National Rating at 'BBB(tur)' reflects its
view that Odea's creditworthiness in LC relative to other Turkish
issuers is unchanged. The revision of the Outlook to Stable from
Negative reflects its view of Odea's stable LC creditworthiness
relative to other Turkish issuers.

Challenging Operating Environment: Odea is exposed to significant
operating environment pressures, given heightened risks to macro
and financial stability in Turkiye amid policy uncertainty, high
inflation, external vulnerabilities, and further uncertainty
stemming from election outcome and earthquake impact. Multiple
macroprudential regulations imposed on banks to promote the
government policy agenda further add to challenges of operating in
Turkiye.

Limited Franchise, Lebanese Ownership: Odea is a small Turkish bank
with market shares of sector assets, deposits and loans below 1% at
end-2022. The bank's focus is on corporate and commercial customers
and it has limited retail presence. Odea operates independently of
its 76% shareholder, Lebanon-based Bank Audi SAL, and has no
exposure to Lebanese risk.

Ongoing De-Risking: Odea has contracted its loan book on an
FX-adjusted basis every year since 2017. Single-name obligor and
sector concentrations remain high due to the commercial nature of
the portfolio, but have been reducing. FC lending (end-2022: 45% of
gross loans) is significant but declining, reflecting new lending
largely extended in lira.

Asset Quality Risks: Odea's non-performing loans (NPL; Stage 3)
ratio improved to 4.6% at end-2022 (end-2021: 7.2%), supported by
tighter underwriting standards, collections and low NPL inflows.
Stage 2 loans (22%; end-2021: 32%), mostly restructured, remain
higher than peers, partially reflecting concentrations. Specific
NPL reserve coverage was moderate at 50% at end-2022, reflecting
reliance on loan collaterals. Stage 2 loan coverage was 16%. Credit
risks remain heightened given macro uncertainty, still high FC
lending given lira weakness and loan concentrations.

Moderate Profitability: Odea's operating profit/risk-weighted
assets (RWA) ratio improved to 2.3% at end-2022 (end-2021: 0.8%),
mainly supported by higher returns on CPI linkers. Profitability
remained moderate due to low loan growth and high provisions,
although the latter largely reflected a sizeable free provision.
Fitch expects profitability to decline in 2023 due to slower GDP
growth and lower CPI-linker gains, while remaining sensitive to
asset quality weakening and potential macro and regulatory
developments.

Tight Capitalisation: Odea's common equity Tier 1 (CET1) ratio
declined to 10.5% (including forbearance) at end-2022 (end-2021:
12.6%) due to RWAs growth, driven by lira depreciation. Free
provisions (1.3% of RWAs) and a solid pre-impairment profit (2022:
6.5% of average loans) provide capacity to absorb unexpected credit
losses. Nevertheless, capitalisation remains tight given exposure
to macro risks, sensitivity to lira depreciation and asset-quality
risks.

Adequate FC Liquidity: Odea is mainly customer-deposit funded
(end-2022: 82% of non-equity funding). FC wholesale funding largely
comprises subordinated debt due in 2027. FC liquidity, including FX
swaps with the Central Bank, access to which could be uncertain
during market stress, were sufficient to cover FC wholesale funding
due within a year and 35% of FC deposits.

RATING SENSITIVITIES

Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade

Odea's Long-Term IDRs are mainly sensitive to a downgrade of the
bank's VR or to Fitch's view of an increase in government
intervention risk in the banking sector, which caps most Turkish
banks' LTFC IDRs at 'B-'.

The VR could be downgraded due to a marked deterioration in the
operating environment, or if the bank's CET1 ratio falls and
remains below 8% for a sustained period, or if FC liquidity comes
under pressure potentially due to sector-wide FC-deposit
instability. The VR is also potentially sensitive to a sovereign
downgrade.

The Short-Term IDRs are sensitive to changes in the bank's
Long-Term IDRs.

The National Rating is sensitive to an adverse change in the bank's
creditworthiness in LC relative to that of other Turkish issuers.

Factors that Could, Individually or Collectively, Lead to Positive
Rating Action/Upgrade

An upgrade of the bank's ratings is unlikely given the Negative
Outlook on the bank and its view of government intervention risk in
the banking sector.

The National Rating is sensitive to positive changes in Odea's
creditworthiness in LC relative to that of other Turkish issuers.

OTHER DEBT AND ISSUER RATINGS: KEY RATING DRIVERS

Odea's subordinated notes' rating has been affirmed at 'CCC' with a
Recovery Rating of RR6, and is notched down twice from the VR
anchor rating for loss severity, reflecting its expectation of poor
recoveries in case of default.

Odea's Government Support Rating of 'no support' (ns) reflects
Fitch's view that support from the Turkish authorities cannot be
relied upon, given the bank's small size and limited systemic
importance. In addition, support from Odea's parent Bank Audi SAL
cannot be relied on given the financial crisis in Lebanon.

OTHER DEBT AND ISSUER RATINGS: RATING SENSITIVITIES

The subordinated debt rating is sensitive to a change in Odea's VR
anchor rating. The debt rating could also be downgraded should
Fitch adversely change its assessment of non-performance risk.

VR ADJUSTMENTS

The operating environment score of 'b-' for Turkish banks is lower
than the category implied score of 'bb', due to the following
adjustment reasons: Sovereign rating (negative) and macroeconomic
stability (negative).

ESG CONSIDERATIONS

Odea's ESG Relevance scores for Management Strategy have been
changed to '4' from '3' reflecting increased regulatory
intervention in the Turkish banking sector, which hinders the
operational execution of management strategy, constrains management
ability to determine strategy and price risk and creates an
additional operational burden for the entities. This has a
moderately negative credit impact on the entities' ratings in
combination 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 Odea, either
due to their nature or to the way in which they are being managed
by the bank.

   Entity/Debt                     Rating           Recovery Prior
   -----------                     ------           -------- -----
Odea Bank A.S.   LT IDR             B-      Affirmed           B-
                 ST IDR             B       Affirmed           B
                 LC LT IDR          B-      Affirmed           B-
                 LC ST IDR          B       Affirmed           B
                 Natl LT            BBB(tur)Affirmed      BBB(tur)
                 Viability          b-      Affirmed           b-
                 Government Support ns      Affirmed          ns

   Subordinated  LT                 CCC     Affirmed   RR6   CCC

SEKERBANK TAS: Fitch Affirms LongTerm IDR at 'B-', Outlook Negative
-------------------------------------------------------------------
Fitch Ratings has affirmed Sekerbank T.A.S.'s (Sekerbank) Long-Term
Foreign-Currency (LTFC) and Long-Term Local-Currency (LTLC) Issuer
Default Ratings (IDRs) at 'B-'. The Outlooks are Negative. Fitch
has also affirmed the bank's Viability Rating (VR) at 'b-'.

Fitch has upgraded Sekerbank's National Rating to 'BBB(tur)' from
'BBB-(tur)' reflecting a strengthening in its creditworthiness
relative to other Turkish issuers in LC, given the improvement in
the bank's capitalisation, underlying profitability and asset
quality. The Stable Outlook reflects its view of Sekerbank's stable
LC creditworthiness relative to other Turkish issuers.

KEY RATING DRIVERS

Standalone Creditworthiness Drives Ratings: Sekerbank's LT IDRs are
driven by its standalone creditworthiness, as reflected in its VR.
The VR considers the concentration of its operations in the
volatile Turkish operating environment, where the bank has a
limited franchise and small market shares, albeit a more meaningful
regional presence in Anatolia. It also considers the bank's
moderate core capitalisation, adequate FC liquidity and exposure to
cyclical sectors. The Negative Outlooks on the IDRs reflect
heightened operating environment risks.

The bank's 'B' Short-Term IDRs are the only possible option mapping
to the LT IDRs in the 'B' rating category.

Operating Environment Risks: Sekerbank is exposed to significant
operating environment pressures, given heightened risks to macro
and financial stability in Turkiye amid policy uncertainty, high
inflation and external vulnerabilities, with further uncertainty
stemming from the elections and earthquake impact. Multiple
macroprudential regulations imposed on banks to promote government
policy add to the challenges of operating in Turkiye.

Regional Player: Sekerbank comprised under 1% of sector assets,
loans and deposits at end-1Q23. Despite its small size, it has a
more well-established franchise in the central Anatolian region as
well as a niche in agro lending (end-2022: 8% of loans).

Exposure to Vulnerable Sectors: Sekerbank is highly exposed to the
cyclical SME segment (50% of performing loans at end-2022) and the
riskier tourism (16%), construction (15%) and agro sectors.
Nevertheless, it has tightened its underwriting standards and
focused on the clean-up of its loan book following heightened asset
quality problems, evidenced by an improvement in its asset quality
metrics, a reduction in FC lending (40% of gross loans at
end-1Q23), and muted LC loan growth (2022: 15%), significantly
below inflation and the sector average (80%).

Loan Book Clean-Up: The bank's Stage 3 (NPL) loan ratio continued
to improve to 3.4% at end-1Q23 (end-2022: 4.0%), reflecting high
collections, NPL sales, write-offs and lower NPL inflows. Stage 2
loans were a moderate 7.5% of loans, of which two-thirds were
restructured. NPLs were 86%-covered by specific reserves, average
reserve coverage of Stage 2 loans was 17%. Credit risks remain high
given macro uncertainty, high FC lending, and exposure to risky
segments. Recent loan origination has mainly been short-term and in
lira, mitigating risks to some extent.

Boosted Profitability: The bank's annualised operating profit/
risk-weighted assets (RWA) ratio declined to 4.2% at end-1Q23
(end-2022: 5.9%) reflecting muted growth and the impact of the
macroprudential measures. Profitability materially improved in
2022, driven by CPI-linker gains (36% of total operating income)
and margin expansion. Fitch expects profitability to continue to
weaken amid slower GDP growth and the impact of the macroprudential
measures. It remains sensitive to asset quality risks and potential
macro and regulatory developments.

Strengthened Capital Buffers: The common equity Tier 1 (CET1) ratio
fell to 15.9% (including forbearance) at end-1Q23 (end-2022:
17.0%), reflecting the tightening of regulatory forbearance on FC
RWAs. Excluding forbearance, the CET1 ratio remained relatively
stable (end-1Q23: 15.7%; end-2022: 15.5%). Capitalisation is
underpinned by improved profitability (2022: ROAE of 42%), TRY1.8
billion in free provisions and USD85 million of Tier 2 debt
(maturing in 2032), providing a partial hedge against lira
depreciation.

Fitch considers capitalisation to be moderate, given sensitivity to
macro risks, lira depreciation and asset quality risks.

Adequate FX Liquidity: Sekerbank is mainly funded by granular
deposits (end-2022: 83% of non-equity funding), 50% of which were
in FC (sector: 46%). FC wholesale funding (12% of total funding)
largely comprises funding from international financial institutions
and subordinated debt, with generally medium- to long-term tenors,
mitigating refinancing risks.

FC liquidity, largely comprising FX swaps with the Central Bank of
Turkiye, access to which could become uncertain in stressed market
conditions, cash and placements at foreign banks, was sufficient to
cover short-term debt up to one year and about 16% of FC deposits
at end-1Q23. FC liquidity could come under pressure in case of
sector-wide deposit instability.

RATING SENSITIVITIES

Factors that Could, Individually or Collectively, Lead to Negative
Rating Action/Downgrade

The bank's Long-Term IDRs are mainly sensitive to a downgrade of
the bank's VR or to an increase in government intervention risk in
the banking sector (which caps most Turkish banks' LTFC IDRs at
'B-').

The VR could be downgraded due to further marked deterioration in
the operating environment, particularly if it leads to an erosion
of the bank's capitalisation or FC liquidity buffers, for example,
due to sector-wide deposit instability. The VR is also potentially
sensitive to a sovereign downgrade.

The Short-Term IDRs are sensitive to changes in the Long-Term
IDRs.

Sekerbank's National Rating is sensitive to a negative change in
the entity's creditworthiness relative to other rated Turkish
issuers in LC.

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
the Negative Outlook and Fitch's view of government intervention
risk in the banking sector.

The National Rating is sensitive to a positive change in
Sekerbank's creditworthiness in LC relative to other rated Turkish
issuers.

OTHER DEBT AND ISSUER RATINGS: KEY RATING DRIVERS

Sekerbank's subordinated notes' rating is notched down twice from
its VR anchor rating for loss severity, reflecting its expectation
of poor recoveries in case of default.

The bank's Government Support Rating of 'no support' reflects
Fitch's view that support from the Turkish authorities cannot be
relied upon, given the bank's small size and limited systemic
importance. In addition, support from Sekerbank's shareholders,
while possible, cannot be relied upon.

OTHER DEBT AND ISSUER RATINGS: RATING SENSITIVITIES

The subordinated debt rating is primarily sensitive to a change in
Sekerbank's VR anchor rating. It is also sensitive to a revision in
Fitch's assessment of non-performance risk.

VR ADJUSTMENTS

The operating environment score of 'b-' for Turkish banks is lower
than the category implied score of 'bb', due to the following
adjustment reasons: sovereign rating (negative) and macroeconomic
stability (negative). The latter adjustment reflects heightened
market volatility, high dollarisation and high risk of FX movements
in Turkiye.

ESG CONSIDERATIONS

Sekerbank's ESG Relevance Score for Management Strategy has been
revised to '4' from '3', reflecting increased regulatory
intervention in the Turkish banking sector, which hinders the
operational execution of management strategy, constrains management
ability to determine strategy and price risk, and creates an
additional operational burden for the bank. This has a moderately
negative impact on the bank's ratings in combination 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.

   Entity/Debt                 Rating            Recovery  Prior
   -----------                 ------            --------  -----
Sekerbank T.A.S.  LT IDR        B-      Affirmed              B-
                  ST IDR        B       Affirmed              B
                  LC LT IDR     B-      Affirmed              B-
                  LC ST IDR     B       Affirmed              B
                  Natl LT       BBB(tur)Upgrade            
BBB-(tur)
                  Viability     b-      Affirmed              b-
                  Gov’t Support ns      Affirmed             ns

   Subordinated   LT            CCC     Affirmed    RR6     CCC



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

M&CO: Suppliers, Unsecured Creditors Set to Get Low Repayments
--------------------------------------------------------------
Jasdip Sensi at Internet Retailing reports that M&Co suppliers and
unsecured creditors are set to receive "very low" repayments
following the retailers' collapse in December last year.

According to a report filed at Companies House, unsecured creditors
are owed a total of GBP40.6 million, which includes money owed to
suppliers, resulting in them being paid less than a penny in the
pound, Internet Retailing discloses.

Administrators Teneo added that the total figure is predicted to be
higher due to certain liabilities haven't being taken into account
including "intercompany creditors" and "landlord claims", Internet
Retailing notes.

However, it continued that it was unlikely that funds will be
recovered, indicating that any repayments are "likely to be very
low", Internet Retailing states.

"We estimate that a dividend under the prescribed part is likely to
be made to unsecured creditors, however, having regard to the size
of the claims against the company, the amount of any such dividend
is likely to be very low, i.e, less than a penny in the pound,"
Internet Retailing quotes Teneo as saying in a statement.

The news follows the fashion retailer plunging into administration
in December last year, with AK Retail Holdings acquiring the brand
its intellectual property in February, resulting in 170 store
closures and around 2,000 job cuts, Internet Retailing discloses.


POLO FUNDING 2021-1: Moody's Affirms B1 Rating on Class D Notes
---------------------------------------------------------------
Moody's Investors Service has upgraded the ratings of two notes in
Polo Funding 2021-1 PLC. The rating action reflects the increased
levels of credit enhancement for the affected notes and better than
expected collateral performance.

Moody's affirmed the ratings of the notes that had sufficient
credit enhancement to maintain their current ratings.

GBP125.7M Class A Notes, Affirmed Aaa (sf); previously on Oct 7,
2021 Definitive Rating Assigned Aaa (sf)

GBP29.3M Class B Notes, Upgraded to Aaa (sf); previously on Oct 7,
2021 Definitive Rating Assigned Aa1 (sf)

GBP27.2M Class C Notes, Upgraded to Aa3 (sf); previously on Oct 7,
2021 Definitive Rating Assigned A3 (sf)

GBP16.7M Class D Notes, Affirmed B1 (sf); previously on Oct 7,
2021 Definitive Rating Assigned B1 (sf)

RATINGS RATIONALE

The rating action is prompted by an increase in credit enhancement
for the affected tranches and decreased key collateral assumptions,
namely the default probability assumption on original balance due
to better than expected collateral performance.

Increase in Available Credit Enhancement

Sequential amortization led to the increase in the credit
enhancement available in this transaction.

The credit enhancement for Classes B and C increased to 48.7% and
24.9% (using current pool balance excluding defaulted loans) from
27.7% and 13.1% since closing.

Key Collateral Assumptions:

As part of the rating action, Moody's reassessed its default
probability and recovery rate assumptions for the portfolio
reflecting the collateral performance to date.

The performance of the transaction has been better than expected
since closing. 90 days plus arrears are currently standing at 1.5%
of current pool balance. Cumulative defaults currently stand at
1.7% of original pool balance, with the pool factor at 57%.

The current default probability is 15% of the current portfolio
balance, which translates into a decrease of the default
probability assumption on original balance to 10.3% from 15%.
Moody's maintained the assumption for the recovery rate at 20% and
the portfolio credit enhancement of 36%.

The principal methodology used in these ratings was "Moody's
Approach to Rating Consumer Loan-Backed ABS" published in December
2022.

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

Factors or circumstances that could lead to an upgrade of the
ratings include (1) performance of the underlying collateral that
is better than Moody's expected, (2) an increase in available
credit enhancement and (3) improvements in the credit quality of
the transaction counterparties.

Factors or circumstances that could lead to a downgrade of the
ratings include (1) an increase in sovereign risk, (2) performance
of the underlying collateral that is worse than Moody's expected,
(3) deterioration in the notes' available credit enhancement and
(4) deterioration in the credit quality of the transaction
counterparties.

PTARMIGAN HOMES: Goes Into Liquidation, Owes More Than GBP820,000
-----------------------------------------------------------------
Philip Murray at The Inverness Courier reports that a Highland
housebuilder has collapsed into liquidation barely six years after
it rose from the ashes of another bust developer in the region.

Liquidators were appointed last week to handle the winding up of
Ptarmigan Homes Ltd, which specialised in self-build homes, The
Inverness Courier relates.

The Inverness-based company had itself emerged from the remains of
the now defunct Roy Homes back in 2017 after the latter entered
administration amid serious cash flow problems, The Inverness
Courier notes.

At the time, Roy Homes, which was the largest supplier of bespoke
homes across the north of Scotland, and its sister timber frame
company, both ceased trading with the loss of 17 jobs, The
Inverness Courier relays.

But just hours after, the administrators made an announcement that
someone was being sought to buy their assets, a third company --
Roy Homes Developments Ltd, which shared a common management team
with Roy Homes Ltd -- stepped in with an offer, The Inverness
Courier recounts.

This was subsequently successful, and Roy Homes Developments Ltd
took on the assets before rebranding as Ptarmigan Homes, The
Inverness Courier discloses.

However, Ptarmigan Homes has itself also now collapsed, with
Companies House confirming the "appointment of a provisional
liquidator in a winding-up by the court" in documents uploaded on
May 5, The Inverness Courier relates.

The firm's most recently filed statement of its financial position,
an unaudited financial statement dated March 31 last year, revealed
that it owed more than GBP820,000 to its creditors at that time --
with almost GBP798,000 of that being monies due within a year,
according to The Inverness Courier.


TILLERY VALLEY: On Brink of Administration, 250 Jobs at Risk
------------------------------------------------------------
Lauran O'Toole at South Wales Argus reports that directors of
Tillery Valley Foods (TVF), which has supplied meals to the NHS for
decades, are understood to have been in talks with potential
administrators.

TVF currently employees around 250 people, South Wales Argus
notes.

According to one worker, employees were notified last week that TVF
was placed onto an accelerated sale, South Wales Argus relates.

They added: "We believe that in the coming days there is every
likelihood we will go into administration and there is a high
potential of our doors shutting once and for all."   

They added the potential job losses would have a "considerable"
impact on the local economy, both through the increased burden on
the taxpayer, and a reduction in money being spent.

Peredur Owen Griffiths, Plaid Cymru MS for South Wales East, has
called on the Welsh Government to safeguard the workforces jobs,
South Wales Argus discloses.


UK: Corporate Insolvencies Up 22% Year-on-Year in Q1 2023
---------------------------------------------------------
Business Plus reports that corporate insolvencies increased 22%
year-on-year in the first quarter, jumping from 120 to 146,
according to the latest figures from Deloitte.

However, insolvencies fell from 152 in the previous quarter, so a
forecasted increase in corporate insolvency activity has as yet
failed to materialise, Business Plus discloses.

David Van Dessel, partner for financial advisory at Deloitte, said
the figures suggest that corporate insolvency activity is returning
to pre-pandemic levels, Business Plus relates.

"However, taking 2019 as a previous 'norm', we are not yet seeing a
material fallout from the economic impact of Covid, or that of
increased interest rates and current inflation," Business Plus
quotes Mr. Van Dessel as saying. "In all situations of financial
distress, early action by company directors dramatically increases
the chances of avoiding foreclosure and with the successful
introduction of SCARP, directors of struggling SMEs now have a
restructuring process that is bespoke for the SME sector."

Creditors' voluntary liquidations (CVLs) accounted for 100 or 68%
of insolvencies in Q1, up from 60 or 67% in Q1 2022 and from the
quarterly average for 2022 of 96 due to economic damage from Covid,
rising interest rates, lack of consumer spending and inflation,
Business Plus states.

A total of 24 corporate receiverships were recorded during the
quarter, representing 16% of insolvencies and a decline of 43%
year-on-year from 43 receiverships in Q1 2022, Business Plus
notes.

However, there were triple the number of receiverships in Q1 2023
when compared with Q4 2022, with just eight recorded in the last
three months of the previous year, Business Plus discloses.

Just seven court liquidations were recorded, down from 10 in both
Q1 2022 and Q4 2022, and there were 11 SCARP and four examinership
appointments during the first three months of the year, double the
seven restructuring procedureships in Q1 2022, Business Plus
notes.

The wide-ranging services sector made up a third of insolvencies in
Q1 at 46, up from 32 in the same period a year earlier, Business
Plus says.

Within the services, sector financial services accounted for 14 or
10% of insolvencies, fitness and beauty six, and technical and
professional services and real estate services both recording five
insolvencies, according to Business Plus.

Outside the services sector, the construction sector saw 21
insolvencies in Q1 (14% of total), which represents a 24% increase
from Q4 2022, when there were 17, Business Plus discloses.

The hospitality sector recorded 19 insolvencies in the first
quarter of 2023, a decrease from 35 in Q4 2022, Business Plus
relays.  However, this is a significant increase compared with Q1
2022 when there were just four hospitality related insolvencies,
Business Plus notes.

The retail sector recorded 16 insolvencies in Q1, representing a
50% increase from Q1 2022 when 10 were recorded, Business Plus
states.  However, this was a 20% decrease from the 20 retail
insolvencies recorded in Q4 2022, accordign to Business Plus.

The manufacturing sector reported 12 insolvencies in Q1, while the
IT, Transport and wholesale sectors recorded nine, seven and six
respectively, Business Plus relates.  There were 10 insolvencies in
sectors classified as "other business activities", Business Plus
notes.

"Should the level of restructuring activity in Q1 2023 continue at
the same rate for the remainder of the year, we expect to see
upwards of 60 SCARP and examinerships -- which would be almost
double the number experienced in 2022 of 32," Business Plus quotes
Mr. Van Dessel as saying.

Mr. Van Dessel, as cited by Business Plus, said there could be up
to 600 insolvencies this year if current rates persist,
representing the highest number since 2018 (768) and a return to
pre-pandemic insolvency activity (568).





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

[*] BOOK REVIEW: Transnational Mergers and Acquisitions
-------------------------------------------------------
Author: Sarkis J. Khoury
Publisher: Beard Books
Softcover: 292 pages
List Price: $34.95
Order your personal copy today at http://is.gd/hl7cni

Transnational Mergers and Acquisitions in the United States will
appeal to a wide range of readers. Dr. Khoury's analysis is
valuable for managers involved in transnational acquisitions,
whether they are acquiring companies or being acquired themselves.
At the same time, he provides a comprehensive and large-scale look
at the industrial sector of the U.S. economy that proves very
useful for policy makers even today. With its nearly 100 tables of
data and numerous examples, Khoury provides a wealth of information
for business historians and researchers as well.

Until the late 1960s, we Americans were confident (some might say
smug) in our belief that U.S. direct investment abroad would
continue to grow as it had in the 1950s and 1960s, and that we
would dominate the other large world economies in foreign
investment for some time to come. And then came the 1970s, U.S.
investment abroad stood at $78 billion, in contrast to only $13
billion in foreign investment in the U.S. In 1978, however, only
eight years later, foreign investment in the U.S. had skyrocketed
to nearly #41 billion, about half of it in acquisition of U.S.
firms. Foreign acquisitions of U.S. companies grew from 20 in 1970
to 188 in 1978. The tables had turned an Americans were worried.
Acquisitions in the banking and insurance sectors were increasing
sharply, which in particular alarmed many analysts.

Thus, when it was first published in 1980, this book met a growing
need for analytical and empirical data on this rapidly increasing
flow of foreign investment money into the U.S., much of it in
acquisitions. Khoury answers many of the questions arising from the
situation as it stood in 1980, many of which are applicable today:
What are the motives for transnational acquisitions? How do foreign
firms plans, evaluate, and negotiate mergers in the U.S.? What are
the effects of these acquisitions on competition, money and capital
markets; relative technological position; balance of payments and
economic policy in the U.S.?

To begin to answer these questions, Khoury researched foreign
investment in the U.S. from 1790 to 1979. His historical review
includes foreign firms' industry preferences, choice of location in
the U.S., and methods for penetrating the U.S. market. He notes the
importance of foreign investment to growth in the U.S.,
particularly until the early 20th century, and that prior to the
1970s, foreign investment had grown steadily throughout U.S.
history, with lapses during and after the world wars.

Khoury found that rates of return to foreign companies were not
excessive. He determined that the effect on the U.S. economy was
generally positive and concluded that restricting the inflow of
direct and indirect foreign investment would hinder U.S. economic
growth both in the short term and long term. Further, he found no
compelling reason to restrict the activities of multinational
corporations in the U.S. from a policy perspective. Khoury's
research broke new ground and provided input for economic policy at
just the right time.

Sarkis J. Khoury holds a Ph.D. in International Finance from
Wharton. He teaches finance and international finance at the
University of California, Riverside, and serves as the Executive
Director of International Programs at the Anderson Graduate School
of Business.




                           *********


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 2023.  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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