Tour operator Orizonia is restructuring around 640 million euros ($818 million) of loans, according to people close to talks with creditors, as it battles to survive Spain's economic downturn, Reuters reported. Private equity-owned Orizonia, formerly known as Iberostar, has a cash hole in its finances after revenues slumped as the euro zone crisis intensified, a senior investor said. The travel company is expected to complete a debt restructuring by the end of November.

The story of housing boom and housing bust, debt and unemployment is repeated in towns and villages across Spain. It weighs heavily on the Spanish government as it ponders the political dangers and economic merits of a European Union bailout, the Financial Times reported. But for millions of Spaniards, the country’s severe recession is above all else a fact of daily life, reflected in empty storefronts and crowded soup kitchens, in crushing personal debt, skipped mortgage payments and the looming threat of eviction.

Europe's governments and the European Central Bank are at odds about who should shoulder the financial burden of giving Greece more time to repay its loans and remain part of the euro zone, The Wall Street Journal reported. The search for a solution for Greece, whether by forgiving some of the money it owes or giving it yet more bailout loans, has come back to haunt the currency union ahead of the ECB's monthly policy meeting on Thursday.

The Polish central bank expects the country’s commercial banks to tighten lending conditions further for consumers and businesses in the fourth quarter because of a deterioration in both the economic outlook and their portfolios, The Wall Street Journal Emerging Europe blog reported. Poland’s conservatively managed banks—with negligible exposure to toxic assets and a low bad-debt ratio—have proven resilient to the economic crisis that has roiled the euro zone.

The Danish bank Sydbank has agreed to take over all activities of local rival Tønder Bank, The Copenhagen Post reported. The deal came after Finanstilsynet (FSA), the financial supervisory administration, said last Friday that Tønder Bank didn't have enough capital to continue as an independent company. Under the agreement, Sydbank will take over around 18,000 customers and a balance sheet of roughly 2.3 billion kroner. Over the past few weeks, regulators inspected Tønder Bank's books and found that they were short 300 million kroner.

British retail sales slowed sharply in October as Britons limited to spending to essentials such as food and drink, the British Retail Consortium said on Tuesday, dampening hopes that consumers will drive the economic recovery, Reuters reported. Like-for-like retail sales - a measure that strips out changes in floor space and is favoured by equity analysts - fell by 0.1 percent in value terms on the year, the BRC said, making October one of the worst months for the sector this year.

Antonis Samaras, the Greek prime minister, invoked the prospect of his nation tumbling out of the eurozone as he sought to rally wobbling MPs ahead of critical parliamentary votes that could determine whether the government gains access to a desperately-needed €31.2bn loan payment, the Financial Times reported. “We have to save the country from catastrophe . . . Leaving the euro would be a nightmare and we intend to avert it,” Mr Samaras said.

German regulator BaFin has asked Deutsche Bank AG and at least 14 other banks to draw up emergency blueprints for restructuring during a crisis, Reuters reported. The plans form part of a global effort by regulators to avoid multi-billion taxpayer bailouts of distressed lenders and prevent any one lender from causing a systemic crisis for the entire financial system. "The aim is to get banks and regulators thinking about emergency plans," BaFin executive Raimund Roeseler said on Friday.

Mortgage misery will be eased for thousands next month, but only if the banks play ball, the Irish Times reported in a commentary. This week, the most important piece of legislation to come from this Government reaches report stage in Dail Eireann. It will then do one more lap of the Oireachtas before being passed into law next month. Minister Shatter's intention for the Personal Insolvency Bill is admirable, but its success requires a fundamental shift from the banks in how they deal with borrowers. The Bill provides three legal mechanisms.

Greece's negotiations with international lenders for desperately needed rescue funds some two weeks before bankruptcy looms are stuck, the IMF said Thursday, sending Greek stocks plunging, The Sydney Morning Herald reported. The International Monetary Fund said the talks were stalled over the conditions for financing Greece as it seeks a two-year extension to meet fiscal goals.