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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

                        A S I A   P A C I F I C

                 Tuesday, May 8, 2001, Vol. 4, No. 90


                               Headlines


A U S T R A L I A

ALSTOM AUSTRALIA: Fined Over $7-M For Price Fixing
BHP LIMITED: Responds To ASIC Request
BLACK ON WHITE: Violates Trade Laws, Says Federal Court
COLES MYER: Moody's Assigns `A3' And `Baa1' For Notes
FRANKLINS AUSTRALIA: In Talks Re Sale To Fresco
ISIS COMMUNICATIONS: Arrangements Announced Re Subsidiary
JOYCE CORPORATION: Suspended From Official Quotation
JOYCE CORPORATION: Seeks Appointment Of Receiver
JOYCE CORP: Receivership Implemented
ONESTEEL LIMITED: Earnings Update For FY2000/2001
WAREHOUSE GROUP: Reports Quarterly Sales


C H I N A   &   H O N G  K O N G

BROADWORLD INDUSTRIAL: Faces Winding Up Petition
CHINA DIGICONTENT: Requests Shares Suspension
CHINA VENTURE: Shares To Fall Under `ST' Curb
FAN WAH: Faces Winding Up Petition
GUANGDONG BUILDING: Posts Notice Of AGM
GUANGDONG BUILDING: Proposes Change To Company Name
HOLD SOURCE: Winding Up Petition To Be Heard
KIN DON: Suspension Of Trading
LEADING SPIRIT: Seeks Suspension Pending Announcement
LEADING SPIRIT: Receives Summons To Appear In Court
STRUCTURAL STEELWORK: Faces Winding Up Petition


I N D O N E S I A

PASIFIK SATELIT: Creditors OK To Restructure Debts
WAHANA PERKASA: Production Of Buses Stopped


K O R E A

DAEWOO ELECTRONICS: Creditors Bailout Plan Possible
DAEWOO MOTOR: Bupyong Plant Exclusion In Buyout Likely
HANVIT BANK: KDIC To Evaluate 1st Qtr Performance
HYNIX SEMICON: Creditors To Iron Out Kinks In Bailout Plan


M A L A Y S I A

INNOVEST BERHAD: Comes Up With Alternative Plan
ISUTA HOLDINGS: Announced Revisions Of Proposal
L&M CORP: Defaults Interest Payment
SOUTHERN PLASTIC: Revised Restructuring Plan Submitted
SRIWANI HOLDINGS: Auditors Issue Disclaimer Of Opinion
SRIWANI HOLDINGS: Reports Status Of Restoration Plan
SRIWANI HOLDINGS: Seeks Extension For Submission Of Plan


P H I L I P P I N E S

NATIONAL BANK: Moody's Confirms Debt Rating Of `Ba3'
NATIONAL POWER: Gov't Review Raises Concerns  
URBAN BANK: SSS To Extend P600-M Loan To Exportbank


S I N G A P O R E

ASIA PULP: Court Orders Payment Of Over US$10-M


T H A I L A N D

RAIMON LAND: Court Postpones Decision On Rehab Plan

     -  -  -  -  -  -  -  -  -

=================
A U S T R A L I A
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ALSTOM AUSTRALIA: Fined Over $7-M For Price Fixing
--------------------------------------------------
Justice Finklestein in the Federal Court, Melbourne, has imposed
corporate penalties totaling $7 million against Alstom Australia
Limited and an individual penalty of $150,000 against its
Managing Director, RG Elliot, for their involvement in serious
price fixing and market sharing contraventions of the Trade
Practices Act.

The judgment is the first in two important sets of proceedings
brought by the Australian Competition and Consumer Commission
(ACCC) alleging extensive cartel conduct between the principal
firms in the Australian transformer industry.

Alstom Australian Limited admitted its involvement in the
unlawful conduct, cooperated fully with the ACCC and made joint
submissions with the ACCC as to the appropriate pecuniary
penalties and the other relief the Court should impose.

Power Transformer Proceedings

Alstom Australia Limited made admissions to the Court it engaged
in extensive market sharing and price fixing cartel conduct in
the market for power transformers from in or about 1989 until
the end of 1995.

RG Elliot was the Managing Director of Alstom throughout the
period of the power transformer cartel. Elliot did not
participate in meetings or telephone conversations with
competitors, but he admitted senior managers of Alstom made him
aware on a number of occasions his company was involved in the
cartel. Significantly, Elliot took no steps to ensure the
illegal conduct ceased. The penalty imposed upon Elliot is the
highest individual penalty awarded by the Court for
contraventions of the Trade Practices Act.

"Senior executives, particularly those at the board level, of
large organizations cannot simply turn a blind eye when they are
made aware of serious contraventions of the law," said ACCC
Chairman Professor Allan Fels. "In such cases, these executives
are ultimately responsible for the actions of their firms. The
Court has made it clear that very substantial penalties will be
awarded against senior executives that are knowingly concerned
in serious breaches of the Trade Practices Act."

In joint submissions put to the Court it was submitted the
existence of the power transformer cartel created and maintained
substantial inefficiencies in the power transformer market,
insulated the members of the cartel from ordinary competitive
forces and was clearly contrary to Government policies aimed at
creating more efficient and competitive markets for the benefit
of all Australians.
In His Reasons for Judgment Justice Finklestein stated:

"When the contraventions occurred, Alstom did not have a trade
practices corporate compliance program and did not provide its
executives, employees and other representatives with trade
practices education or training. Still, the executives engaged
in the contravening conduct covertly and clandestinely, with
full knowledge of its illegality."

His Honour went on to say:

"The arrangement came to an end in late 1995. That was around
the time when multi-million dollars penalties were imposed in
respect of cartel arrangements in the Australian express freight
industry. and the pre-mixed concrete industry. This shows that
high penalties will deter unlawful conduct."

Justice Finklestein imposed the following pecuniary penalties
and awarded a payment towards the ACCC's costs:

Party Penalty Costs
Alstom, $5.5 million, $60,000; RG Elliot: $150,000;

Distribution Transformer Proceedings

Alstom Australia Limited also made admissions to the Court that
it engaged in customer sharing and price fixing conduct in
respect to two tenders in the market for distribution
transformers in 1994 and 1996 respectively.

Justice Finklestein imposed the following pecuniary penalty and
awarded a payment towards the ACCC's costs:

Party Penalty Costs
Alstom: $1.5 million $40,000

In both sets of proceedings the Federal Court also made other
orders sought by the ACCC including injunctions against Alstom
and its relevant senior management restraining them from
engaging in similar conduct in the future.

The level of penalty in these proceedings reflects a number of
factors including the size of the company, the seriousness and
covert nature of the unlawful conduct, the number of separate
contraventions, the amount of commerce affected by the
arrangements and the level of management involved.

The Trade Practices Act allows for pecuniary penalties of up to
$10M per contravention against corporations and up to $500,000
per contravention against individuals.

In referring to the level of penalties that have been imposed in
the past for serious contraventions of the Trade Practices Act,
Justice Finklestein observed:

"If general deterrence is the principal object of imposing a
penalty, the number of cases that still come before the court,
and the seriousness of the conduct that is involved in some of
them, suggests that past penalties are not achieving that
object. For a penalty to have the desired effect, it must be
imposed at a meaningful level. Most antitrust violations are
profitable. Accordingly, the penalty must be at a level that a
potentially-offending corporation will see as eliminating any
prospect of gain."

In joint submissions put to the Court the parties to these
proceedings acknowledged the pecuniary penalties imposed by the
Court could have been much higher if it was not for the
substantial cooperation provided by Alstom and its management to
the ACCC during its investigation and throughout the Court
proceedings.

"After Alstom was contacted by the ACCC it made full admissions
of the conduct and has assisted the ACCC in its investigation of
other persons involved," Professor Fels said. "This resulted in
the ACCC making submissions to the Court that the level of
pecuniary penalty that otherwise would have been appropriate
should be reduced.

"In this case the ACCC also made a decision not to seek
pecuniary penalties against two senior managers of Alstom who
participated in the conduct. This was due to their high level of
cooperation, including their truthful disclosure of the unlawful
conduct at a very early stage, and the fact that they were not
the most senior representatives of Alstom involved."

The ACCC has published a flexible policy of cooperation and
leniency in enforcement and it will make submissions to the
Court in accordance with that policy in appropriate
circumstances.

"In circumstances where a company has been involved in
contraventions of the competition provisions of the Trade
Practices Act and it comes forward to the ACCC of its own
volition before the ACCC has commenced an investigation with
information of illegal activity the ACCC will even consider
giving that company and its senior executives immunity from
prosecution," Professor Fels said.

A hearing of these proceedings against other corporate and
individual respondents allegedly involved in the unlawful
conduct has been set for July 30 and 31, 2001.

Background to Power Transformer Proceedings

ABB Power Transmission Pty Ltd (in liquidation), Alstom
Australia Limited and Wilson Transformer Company Pty Ltd were
the principal manufacturers and suppliers of power transformers
in Australia and New Zealand. Power transformers are used in the
transmission of power through the electricity transmission and
distribution network and where large amounts of electrical power
are required. The annual value of power transformers sold in
Australia was approximately $60,000,000.

The ACCC has alleged in documents filed with the Court ABB Power
Transmission Pty Ltd (in liquidation), Alstom Australia Limited
and Wilson Transformer Company Pty Ltd formalized a pre-existing
collusive agreement in 1993 to share the demand for power
transformers in Australia and New Zealand amongst themselves
according to agreed percentages.

The ACCC further alleges that agreement was put into effect
until late 1995 through the allocation of a large number of
significant tenders among these companies. The allocation of
tenders allegedly occurred during a series of covert meetings
and telephone calls between senior executives of the companies
throughout the period. It is alleged the parties ensured the
company allocated a specific tender would win by agreeing that
that company would tender the lowest bid.

The ACCC has sought orders against each of the companies
including declarations, injunctions, findings of fact and costs.
The ACCC has also sought pecuniary penalties against the
companies and four additional senior executives.

The proceeding against all other parties are continuing.

Background to Distribution Transformer Proceedings

ABB Transmission and Distribution Limited, Wilson Transformer
Company Pty Ltd, Schneider Electric (Australia) Pty Ltd, AW
Tyree Transformers Pty Ltd and Alstom Australia Limited are the
principal manufacturers and suppliers of distribution
transformers in Australia. Distribution transformers are used in
the electricity distribution networks and where large amounts of
electrical power are required. The primary consumers of
distribution transformers are electricity utilities.

The annual value of distribution transformers acquired by
electricity utilities in Australia is approximately
$100,000,000.

The ACCC has alleged in documents filed with the Court senior
executives of ABB Power Transmission Pty Ltd (in liquidation),
Wilson Transformer Company Pty Ltd and AW Tyree Transformers Pty
Ltd reached collusive agreements from in or about 1993 not to
compete for tenders let by utilities for the supply of
distribution transformers in Australia. Schneider Electric
(Australia) Pty Ltd allegedly became a party to the price fixing
and customer sharing arrangements from in or about 1995.

Following a corporate restructure of the ABB group of companies,
ABB Transmission and Distribution Limited also allegedly became
a party to the price fixing and customer sharing arrangements
from January 1, 1996.

The ACCC further alleges these agreements were put into effect
on many occasions until early 1999 though the exchange of
detailed pricing information. The arrangements not to compete
and subsequent price agreements were allegedly made during a
series of covert meetings and telephone calls between senior
executives of the companies throughout the period. It is alleged
that the parties arranged each of them would win specific tender
items by agreeing which company would tender the lowest bid for
those items.

Alstom Australia Limited agreed to enter into and give effect to
customer sharing and price fixing arrangements in respect to two
tenders for the supply of distribution transformers in 1994 and
1996 but it was not involved in the broader cartel arrangements.
The ACCC has sought orders against ABB Transmission and
Distribution Limited, ABB Power Transmission Pty Ltd (in
liquidation), Wilson Transformer Company Pty Ltd, Schneider
Electric (Australia) Pty Ltd, AW Tyree Transformers Pty Ltd and
Alstom Australia Limited including declarations, injunctions,
findings of fact and costs. The ACCC has also sought pecuniary
penalties against each of these companies and eight additional
senior executives.

The proceeding against all other parties is continuing.


BHP LIMITED: Responds To ASIC Request
-------------------------------------
BHP Limited responded Friday last week to Australian Securities
and Investment Commission's (ASIC) requests for additional
information in connection with the proposed merger of BHP with
Billiton Plc. The additional information is included in a letter
to BHP shareholders to update them on merger progress.

BHP Chairman Don Argus said: "We welcome the input of ASIC in
reviewing the proposed merger transaction. One of the areas of
information about which some shareholders have enquired has been
the commodity and currency assumptions used in the merger
valuation analysis.

"The merger with Billiton is a ground-breaking transaction. It
transcends numerous international borders and regulatory
jurisdictions. Its implementation requires a number of
modifications to the law by ASIC.

"Discussions with ASIC have been underway for several weeks. The
additional information, particularly the commodity and currency
assumptions, provides further background to the Directors'
recommendations to our shareholders."

Letter To Shareholders

The following is BHP Limited Chairman D Argus' letter to the
company's shareholders:

"You will by now have received the Explanatory Memorandum for
the proposed merger of BHP Ltd and Billiton Plc (DLC Merger),
including the notice of the BHP Extraordinary General Meeting to
be held on May 18, 2001 at the Concert Hall, 100 St Kilda Road,
Melbourne, Australia.

"With just over two weeks to the shareholder meeting, I thought
it appropriate to update you on the DLC Merger process, and to
respond to some common questions.

"1. Does Your Vote Matter?

"The proposed merger is a very important step in your Company's
history and we urge you to vote. Your Directors unanimously
recommend you vote at that meeting in favor of the resolutions
proposed. As set out in the Explanatory Memorandum you can vote
in one of four ways:

* in person;

* by corporate representative;

* by attorney; or

* by proxy.

"Proxy forms must be received at the BHP Share Department no
later than 9:30 AM on May 16, 2001 (Melbourne time). If you have
not already done so, we urge you to send in your proxies as soon
as possible if you are not planning to attend the meeting in
person.

"2. What is happening to ensure a smooth implementation of the
merger?

"Since the Explanatory Memorandum was sent to you, BHP and
Billiton senior management have been busy presenting the DLC
Merger to shareholders and investors in Australia and overseas.
Pending shareholder and regulatory approvals, senior management
is planning for the integration of the two groups. They have
visited BHP and Billiton offices and operations around the world
and I am pleased to be able to report that, as they continue to
work and plan, the BHP team's enthusiasm for the merger has only
increased.

"3. Key Elements Of The DLC Structure?

"BHP and Billiton will retain their separate corporate
identities and will also maintain their separate stock exchange
listings. BHP shareholders will continue to hold their shares in
BHP. Billiton shareholders will continue to hold their shares in
Billiton.

"The implementation of the DLC merger does not involve any
transfer of assets between the BHP and Billiton Groups.

"BHP and Billiton will operate and be managed as if they were a
single unified entity. As BHP and Billiton will remain separate
corporate entities, they will each continue to have a Board of
Directors. The Boards and senior executive management of each
company will be comprised of the same persons.

"4. Your Directors' Recommendations

Your Directors unanimously recommend that you vote in favor of
the resolutions being put before the Extraordinary General
Meeting. Your Directors consider that they are in the best
position to evaluate the future impact of the DLC Merger on BHP
shareholders and take full responsibility for their
recommendation.

"Your Directors' have set out in clear and unambiguous terms
their recommendations in respect to the DLC Merger and their
reasoning in reaching those recommendations in Section 1 of the
Explanatory Memorandum, under the heading "Issues For You To
Consider". These recommendations were made after extensive
review, analysis and consideration. It is appropriate to
reiterate (in paragraphs 5 and 6 below) some of the key factors
that underpin those recommendations.

"5. Is the merger in the best interest of BHP Shareholders?

"There is no doubt that, from the viewpoint of your Directors,
the principal driver for this merger is to create shareholder
value by achieving the key merger benefits. These benefits, as
set out in Section 1.2 of the Explanatory Memorandum, include
enhanced access to organic growth opportunities, improved
diversification and resilience to risk, increased financial
strength, as well as better access to world capital markets and
enhanced scale. Your Directors remain firmly of the opinion set
out in Section 1.1(f) of the Explanatory Memorandum that the DLC
Merger is in the best interests of BHP shareholders as a whole.

"In reaching this conclusion, as set out in Section 1 of the
Explanatory Memorandum, your Directors considered each of the
advantages and disadvantages of the merger and the future
alternatives available for BHP. They have considered the future
of BHP in the context of the global minerals industry and
concluded that, to enhance sustainable and future financial
performance, BHP required both greater depth in its portfolio of
growth opportunities, and diversification into new product areas
and geographic regions.

"Your Directors believe that a premier global resources company
will be better positioned to deliver strong sustainable returns
for all of its shareholders if it has:

"* the capability and opportunity to develop large scale, long
lead time projects in a broad range of acceptable technical and
political environments including those that are more difficult,
without any one or two projects dominating the asset portfolio;

"* sufficient depth to its growth project portfolio to allow
flexibility in allocation of capital to projects and production
capacity to maximize the likelihood that capital spent will
deliver  returns in excess of the cost of such capital; and

"* the financial strength, size, and portfolio diversity to
manage the risk and returns associated with future large scale
developments and future economic and political change, and
access to global capital markets at the most favorable rates.

"This DLC Merger offers BHP and BHP shareholders strong
enhancement of all three factors, with consequent implications
for increased future shareholder value.

"In your Directors' view, the enhanced growth portfolio and risk
diversification offered by this DLC Merger would take
considerable time to achieve by other means, with your Company
incurring additional costs and risks. Significantly, your
Directors do not consider that these benefits could
realistically be achieved by other means in any meaningful time-
frame.

"Your Directors, as a result of their analysis, believe that the
DLC Merger will be earnings per share (EPS) accretive for BHP
shareholders, beginning in the financial year ending June 30,
2002.

"6. Are merger terms fair and reasonable?

"In Section 1.l(e) of the Explanatory Memorandum your Directors
set out their opinion that the merger terms are fair and
reasonable, and the background as to how they arrived at that
conclusion. They stated "the assessed likely value conferred by
a BHP share in BHP Billiton will depend in part on the current
value of BHP and Billiton assets and liabilities. However, it is
expected that the assessed value will be positively impacted by
a number of other factors, including synergies expected to be
realised by BHP Billiton and, from an investor's perspective,
the expected enhanced profile of BHP Billiton in the context of
the global minerals industry, reshaped by the ongoing
consolidation process."

"As explained in that document and in Attachment 1 to this
letter, the primary approach to the value analysis adopted by
your Directors was to examine the net present values of the key
businesses, assets and liabilities of BHP and of BHP Billiton
respectively, in order to determine the impact of the merger
terms on the likely value of a BHP share. The key economic
assumptions adopted by your Directors for use in the value
analysis are also set out in Attachment 1 (although it is
recognized that different assumptions may be used by others).
That analysis concluded that the likely value conferred by a BHP
share in BHP Billiton, including synergies, would be
approximately 5 percent higher than the value of that same BHP
share if the status quo were maintained.

"In addition, and of potentially greater significance, your
Directors believe that the enhanced profile of BHP Billiton,
including enhanced growth, risk diversification, financial
strength and access to international capital markets, as
discussed in paragraph 5 above, should lead to a positive
relative re-rating of BHP's shares compared to the rating such
shares would enjoy in the event that the status quo was
maintained. Your Directors consider that, without this merger,
BHP would see its competitive position erode as others in the
resources industry pro-actively move toward consolidation. While
it is not possible to quantify reliably what the extent of that
re-rating may be, or its timing, your Directors regard this as
an additional value enhancing benefit that may accrue as a
result of the DLC Merger.

"7. How important are the synergy benefits?

"The Directors of BHP and Billiton have identified expected
merger synergy benefits through, among other things,
efficiencies in procurement, shared business services, market
services, ocean freight, and the elimination of duplicated
overheads. These benefits are described in more detail in
Section 3.2 of the Explanatory Memorandum. They are currently
expected to amount to approximately US$270 million before tax in
the Financial Year ending June 30, 2003, with further benefits
expected to be realized thereafter.

"Synergies and cost savings are not the principal driver for
this merger. As stated in paragraph 5 above, the principal
driver is to create shareholder value by achieving the key
merger benefits set out in Section 1.2 of the Explanatory
Memorandum.

"US$270 million in expected annual merger synergy benefits, in
the context of BHP Billiton pro-forma unaudited Profit and Loss
Information for the combined group for the period ended 30 June
2000, as set out in the Section 4 of the Explanatory Memorandum,
represents less than 2 percent of the "Related Operating Costs."

"Your Directors have assumed that annual merger synergy benefits
in excess of US$270 million will be realized in the years
following June 30, 2003. However, even if no more than the
US$270 million were achieved for the financial year ending 30
June 2003, and for each subsequent year in the 20 year valuation
period, referred to in Attachment 1, your Directors consider the
likely value conferred by a BHP share in BHP Billiton, in these
circumstances (including synergies and before any re-rating)
would still be approximately 4 percent higher than the value of
that same BHP share if the status quo were maintained.

"8. Progress Towards Implementation Of Merger

"Billiton has printed and posted its Circular to Shareholders
and expects to hold its shareholder meeting to vote on the DLC
Resolutions required to be adopted by Billiton Plc on Tuesday  
May 15, 2001, three days prior to BHP's meeting.

"The DLC Merger is subject to regulatory approvals as set out in
Section 5.3(b) of the Explanatory Memorandum. At this stage good
progress has been made toward securing the required approvals.
The key approvals which have already been obtained are:

* approval of the Australian Stock Exchange of the amendments
proposed to BHP's constitution;

* a private binding ruling from the Australian Taxation Office
that Billiton will not be a resident of Australia for Australian
tax purposes; and

* indication from the UK Inland Revenue that, under the DLC
structure as it is proposed to operate, (i) Billiton will remain
UK resident, on the basis of the Australian Taxation Office
ruling noted above, and (ii) BHP will not become a UK resident,
for UK tax purposes;

"Applications for approval are progressing with the European
Commission and the Foreign Investment Review Board respectively.
Submissions for the necessary relief have also been filed with
the Australian Securities and Investments Commission. The
companies are in discussions with these regulators and your
Directors consider that, subject to shareholder and regulatory
approval, implementation of the DLC Merger and the BHP Bonus
issue could occur as early as the middle of this calendar year.

"9. How have the shares of BHP performed since announcement?

"The chart below shows how BHP shares have recently traded. Your
Board is very pleased with this performance which we consider
underlines investment markets support for the strength and
prospects of the combined BHP Billiton.

"10. What happens to your dividends?

"Shareholders will continue to receive dividends from the
company in which they currently hold their shares. However, BHP
shareholders and Billiton shareholders will have an economic
interest in the Combined Group and an appropriate policy for
dividend payments (including the timing of payments) will be
established which reflects earnings growth, financial conditions
and prospects for the Combined Group.

"Each Company will pay an equivalent cash amount on each share.

"Initially, dividends from BHP Billiton will be consistent with
the dividend level currently paid by BHP.

"For BHP shareholders:

* cash dividends will continue to be paid in the currency in
which they are currently paid; and

* dividends will be franked to the extent that franking credits
are available.

"As set out above, subject to both shareholder and regulatory
approvals, the BHP Bonus issue could occur as early as the
middle of this calendar year.

"11. Will the headquarters remain in Melbourne?

"BHP will remain an Australian public company with a primary
listing on the ASX. The Combined Group will have its
headquarters in Melbourne, Australia with a significant
corporate management center in London.

"12. BHP's Future

"Today, BHP's business and shareholder base is essentially
global in nature, with a core Australian representation. Your
Directors are proud of BHP's heritage and proud of its
achievements to date but believe that this merger is absolutely
vital in its next phase of development into a global resources
company.

"BHP Billiton will be equipped with the assets, growth
opportunities, international capital markets recognition, scale
and global reach necessary to become an investment of choice for
investors around the world. Standing still is not an option and
your Directors look forward to the future with the greatest
confidence.

"All BHP Directors intend to vote in favor of the resolutions
and unanimously recommend that BHP shareholders do the same."


BLACK ON WHITE: Violates Trade Laws, Says Federal Court
-------------------------------------------------------
Justice Spender of the Federal Court, Brisbane made orders
declaring Black on White Pty Ltd, trading as the Australian
Early Childhood College, had breached the Trade Practices Act by
engaging in misleading and deceptive conduct, and unconscionable
conduct.

The Court's declaration and finding of fact follow proceedings
instituted by the Australian Competition and Consumer Commission
which alleged the company misled consumers about accreditation
associated with courses offered in 1997; the existence of a
deferred payment scheme for tuition fees; and had engaged in
unconscionable conduct by signing students up to contracts
without disclosing the onerous nature of some of the clauses in
those contracts. The company subsequently went into liquidation
and was deregistered.

The College offered courses in child-care and related fields at
its three campuses in Brisbane, Sydney and Melbourne. The
company represented that courses it offered during 1997 were
accredited with VETEC (Vocational Education Training and
Employment Commission of Queensland); were accredited nationally
pursuant to the National Framework for the Recognition of
Training (NFROT) agreement (being an agreement between the
Commonwealth and various State and Territory Governments); and
that the College qualified for the use of the trade marks or
logos relating to VETEC accreditation and National Accreditation
in relation to those courses.

Justice Spender also found that James Poteri was knowingly
concerned in misleading and unconscionable conduct, and that his
son, Nicholas Poteri was knowingly concerned in the company's
contraventions with respect to representations regarding
accreditation.

The conduct of the company in not disclosing the clauses of the
agreement is highlighted by the findings in respect to one
witness, McPherson.

The Court found: "In the case of Ms McPherson, at the time in
early January 1996 when she signed the enrollment form, said: `I
am awaiting advice from QTAC as to my acceptance into university
or TAFE', and was told by a female employee of the college,
`That's OK, we will just hold the enrolment form until we get
further notification from you'. In January, Mr McPherson
telephoned the college advising of Ms McPherson's acceptance
into university, and was told, `Just write into the College and
let us know that she won't be going ahead with her application',
and on January 17, Mr McPherson wrote advising that his daughter
had been accepted into QUT.

"There was notification from the college that the refund was
outside the cancellation period without liability for total
tuition payment or refund. After further correspondence, nothing
further was heard until a demand on May 21, 1996 for $9,025
being the balance of the full tuition fees. In December 1996 Ms
McPherson was served with a plaint and summons issued against
both Ms McPherson and Mr McPherson for recovery of that sum. I
am satisfied that the conduct concerning the holding of the
enrollment form and further failure to advise her on signing the
enrolment form she would be immediately bound to pay the full
tuition fees without a right of cancellation under the enrolment
form, constituted conduct in contravention of s 52 and that the
conduct in respect to Ms McPherson was unconscionable contrary
to s 51AB of the Act."

"This case demonstrates the care young consumers and their
guardians need to take when signing contracts, but also
demonstrates that the Trade Practices Act can come to their aid
when they are subjected to sharp practices," said ACCC Chairman
Professor Allan Fels.

"Corporations dealing with young and inexperienced consumers
need to take special care to explain contractual obligations. It
is no longer acceptable for companies to trick people into
signing onerous and disadvantageous contracts. Business must
realize that the fact that a contract has been signed does not
prevent the Court from finding conduct to be unconscionable in
breach of the Trade Practices Act."


COLES MYER: Moody's Assigns `A3' And `Baa1' For Notes
-----------------------------------------------------
Moody's Investors Service Friday last week assigned ratings of
A3 for Senior Notes and Baa1 for Subordinated Notes to Coles
Myer Limited's (CML) proposed A$3,000 million Debt Issuance
Programme (DIP). Moody's also affirmed CML's issuer rating of
A3. The rating outlook for CML has been changed to negative from
stable, reflecting the challenges facing CML in a problematic
economic and competitive environment.

CML's ratings reflect its strong position in the Australian
retailing market, with good diversity of risk provided by its
varied retail formats. In particular, the ratings are supported
by the continued solid performance of the supermarket business.
The ratings also consider high effective leverage, including
significant ongoing lease commitments, together with CML's
limited capacity to reduce debt levels due to current poor
performance and demands on cash flow for shareholder returns and
capital expenditure.

Moody's noted that participants in the retail industry are
constantly exposed to economic cycles, changing consumer
behavior, and evolving competitive dynamics. Retailers with
either a flawed strategy and/or poor execution will experience a
disproportionate drop-off in sales during weaker periods of
economic activity. Moreover, their ability to turn around
business and reduce debt becomes more challenging as the economy
slows. CML has had the misfortune of a downturn in retails sales
(due in part to the introduction of the GST and rising interest
rates in 2000) at a time when two of its divisions, Myer Grace
Bros and Target, were vulnerable. The difficult operating
conditions in CML's apparel-based businesses will affect current
year profitability. The company's response has been threefold
involving changes in management personnel; fine-tuning formats
in the apparel segments; and realigning of the company into two
core groups.

CML continues to centralize its buying functions with the
objective of creating a more cost effective and efficient buying
chain. The cost savings associated with this strategy are
apparent. It is more problematic, however, as to whether a
centralized buying function is appropriate for a company of
CML's regional and business diversity.

CML recently announced that it would be paying a special
dividend of A$120 million. The company also has the ability to
buy-back 30 million shares, which roughly equates to A$200
million. These prospective capital returns are at the low end of
expectations and are consistent with the company's strategy when
it undertook the A$700 million ReCAPS issue in late 2000.
Moody's notes it is CML's current intention that share buy-backs
be undertaken when warranted by market conditions, with due
attention given to maintenance of a level of financial
flexibility appropriate for the current rating.

Coles Myer Ltd, based in Melbourne, Australia, is the largest
retailer in the country.


FRANKLINS AUSTRALIA: Parent To Undertake Sell-Down
--------------------------------------------------
As detailed in its announcement of January 22, 2001, Dairy Farm
International Holdings Limited, with the assistance of its
advisors, JP Morgan, has been undertaking a strategic review of
its Australian supermarket business, Franklins. Dairy Farm
announced that this review has been completed and that the Group
has determined that further investment in Franklins is not in
the best interests of its shareholders.

In view of the regulatory constraints relating to market
competition in Australia, Dairy Farm has concluded a managed
sell-down is the most effective way of realizing value from its
investment, while also meeting the objectives of other
Franklins' stakeholders.

The expected outcome was Franklins' store network would be sold
down to a number of industry operators, with the majority going
to independent operators. Full details of the managed sell-down
are being finalized and are subject to clearance from the
Australian Competition and Consumers Commission (ACCC). The
sell-down process is expected to take six to nine months.

Ronald J. Floto, Group CEO of Dairy Farm said, "The managed
sell-down is the most effective solution - it addresses the
complex regulatory requirements, ensures the maximum number of
Franklins' stores remain open and competitive, and should
provide continuity of employment for the majority of Franklins'
25,000 staff. The sell-down will allow us to concentrate capital
and management attention on our other markets."

To support the divestment program, Franklins and Metcash have
entered into an agreement to establish a Joint Independent
Divestment Alliance. This will manage the progressive sale of
approximately 120 stores in New South Wales, Victoria,
Queensland and South Australia to independent retailers.
Franklins has substantially concluded discussions with
Woolworths for the sale of approximately 80 stores in New South
Wales, Victoria, Queensland and South Australia.

The agreement reached with Metcash and the proposed agreement
with Woolworths were both conditional upon ACCC consideration of
the likely effect on competition.

Discussions concerning the remaining stores are in progress with
several other established retailers and Franklins is presently
in negotiation with Foodland with regard to selective
acquisition of stores and associated distribution facilities in
Queensland and New South Wales. A small number of under-
performing stores may be closed over the next six months.

Further details will be announced as binding agreements are
concluded.

As stated in its year-end results announcement, the Group
recognized an impairment charge of US$129 million in its 2000
accounts to write down the carrying value of Franklins' and
associated assets. The carrying value of these assets will be
reassessed when the Group releases half-year results as at 30th
June 2001.

Dairy Farm is a leading food and drugstore retailer in the Asia-
Pacific Region. On December 31, 2000, the Group and its
associates operated over 2,200 outlets, principally
supermarkets, hypermarkets, convenience stores and drugstores,
employed some 79,000 people in nine territories and had sales of
US$6.6 billion in 2000.


FRANKLINS AUSTRALIA: In Talks Re Sale To Fresco
-----------------------------------------------
Dairy Farm International Holding Limited is reportedly
fasttracking negotiations with an independent chain operator
said to be Fresco Supermarkets, after the competition watchdog,
Australian Competition and Consumer Commission opposed the
proposal for Woolworths Limited to acquire 80 Franklins stores,
Asian Wall Street Journal reported yesterday, citing a report of
the Australian Financial Review.


ISIS COMMUNICATIONS: Arrangements Announced Re Subsidiary
---------------------------------------------------------
ISIS Communications Limited announced the following information
in relation to its subsidiary, Planet Learning Pty Limited.

New Product Launch

Planet Learning Pty Limited is to officially launch its latest
multimedia foreign language product, Album Indonesia, at a
function in Sydney on May 17, 2001. The Hon. John Aquilina, NSW
Minister for Education & Training is to officiate at the launch.

The interactive CD product was developed by Planet Learning in
conjunction with the NSW Department of Education & Training.
Album Indonesia will be sold to schools, students and other
Indonesian language learners.

Other foreign language multimedia products already developed and
being sold by Planet Learning are the Italian, Japanese and
Chinese albums. The Italian product, Album Italiano, has been
shortlisted as a finalist in this year's prestigious ATOM awards
for Film, Television, Radio and Multimedia, which are scheduled
to be announced May 26, 2001.

Planet Learning's major product is the English language learning
software known as Planet English which is sold under license to
language colleges, universities, schools, other educational
nstitutions and corporations in Australia and offshore markets.
This year, Planet Learning has appointed sales distributors for
Planet English to new markets in South Korea and Hong Kong.
Distributors are already operating in China and Malaysia. An
active process, which is expected to lead to the appointment of
distributors for other offshore markets is currently in train.

Last year (2000) was Planet Learning's first full year of
commercial operations. Directors of ISIS anticipate Planet
Learning will operate profitably over the current year.

Shareholding Arrangements

ISIS, which currently owns 51 percent of Planet Learning, has
revised its agreement with its co-shareholder, Unisearch Limited
(100 percent owned by the University of NSW), such that ISIS
will now acquire a further 14.5 percent shareholding in Planet
Learning this month and a further 14.5 percent by March 31,
2002. Under the original agreement between the parties ISIS was
to acquire two tranches each of 24.5 percent. The revised
agreement provides for Unisearch/UNSW to retain a long-term
shareholding of 20 percent in Planet Learning although ISIS is
to hold a call option over those shares.

ISIS was keen to retain the presence of Unisearch/UNSW as a co-
shareholder beyond March 2002 in view of their standing as a
leading university in the region and their contribution to
Planet Learning.


JOYCE CORPORATION: Suspended From Official Quotation
----------------------------------------------------
The securities of Joyce Corporation Ltd have been suspended from
official quotation at the request of the company pending a
release of an announcement.

Security Codes: JYC

Request For Suspension

"The directors of Joyce Corporation Ltd advised that, due to the
adverse seasonal and trading conditions affecting suppliers to
the rural industry and having an impact on Joyce Rural Pty Ltd,
the Group has sought additional short-term finance facilities to
meet the seasonal finance requirements of Joyce Rural. The
Group's bankers have not granted approval for the additional
facilities and alternatives are now being pursued.

"Under the circumstances, the directors of Joyce Corporation Ltd
request that the company's shares be suspended pending further
advice."


JOYCE CORPORATION: Seeks Appointment Of Receiver
------------------------------------------------
Further to the Joyce Corporation Limited's letter to the
Exchange dated April 27, 2001 requesting that trading of the
company's securities be suspended, the directors advise that the
company's bankers have, under their security documentation,
taken action to appoint a receiver to Joyce Corporation Ltd and
its subsidiary companies.

As advised to the Exchange on April 27, the Group's bankers had
declined to provide additional short-term finance facilities to
meet the seasonal requirements of its subsidiary, Joyce Rural
Pty Ltd. Since that time, the directors have pursued and have
negotiated alternate funding arrangements to meet those short-
term needs.

However, the alternative sources of finance obtained were not
acceptable to the Group's bankers and, as a consequence of the
position in which the company has been placed and the
professional advice obtained on the matter, the directors had no
option other than to allow the Bank to proceed with the
appointment of a receiver.

Despite this development, the directors believe the company has
a financially viable future and that the short-term issues
facing the company can be successfully resolved.


JOYCE CORP: Receivership Implemented
------------------------------------
Joyce Corporation was put into receivership Friday last week
with debts totaling A$65 million, of which A$30 million is owed
to secured creditors Westpac/Challenge and ANZ, and the rest to
unsecured creditors, Australasian Business Intelligence reported
over the weekend.

According to Joyce Chairman and CEO Dan Smetana, the report
said, the action taken by the creditors was too fast, without
even giving the company enough time to liquidate its assets,
which was projected to generate as much as A$19 million by next
month.


ONESTEEL LIMITED: Earnings Update For FY2000/2001
-------------------------------------------------
In February 2001, at the time of OneSteel Limited's Interim
Report, it was stated that no comment would be made on financial
expectations for 2000/2001 until the first three trading months
of this calendar year were complete.

Over the period from January to March 2001, trading conditions
have deteriorated. The sluggishness in the domestic construction
and engineering sectors continues to impact OneSteel's sales and
hence its sales' margins.

In response to the deteriorating domestic trading conditions,
OneSteel has adjusted its sales mix from higher margin domestic
to lower margin export sales to provide production load for
OneSteel's Whyalla Steelworks. In the six months to December
2000, exports accounted for 8.5 percent of ton dispatched,
compared with 20.8 percent in the March quarter this year.
Coupled with this shift, export prices in the March Quarter were
30% below those recorded in the six months to December 2000.

Stemming from the lower underlying trading conditions net profit
after tax for the months January to March was around break-even.
A similar outcome is expected for the months April to June.
Before taking into consideration corrective long term actions as
outlined below, at the EBITDA level, the full year profit is
likely to be approximately $200 million.

In light of its continuing review of the structuring of OneSteel
at spinout and in the context of the current domestic trading
conditions, OneSteel also announces measures to protect the
delivery of future earnings. These are:

* The closure of OneSteel's Bar Mill in Brisbane. This follows
an examination of mill configuration to determine optimal output
to provide the lowest cost outcomes across OneSteel's product
mix.

* The outsourcing of the Whyalla Steelworks Laboratory.

* Acceleration in OneSteel's restructuring program.

To undertake these measures, a provision of $64 million at the
EBITDA level ($50 million after tax), will be booked in
financial year 2000/01. The full year benefit of these measures
will be $10.4 million at the EBITDA level and $13.7 million at
the EBIT level once fully implemented. The $64 million provision
includes the write-off of $22 million of goodwill associated
with the Brisbane facility arising from the transfer of assets
from BHP, at the time of the OneSteel spin out.

Despite the continuing weak trading conditions, OneSteel's cash
generation remains strong. The accelerated inventory reduction
program, announced with the release of the Interim Report, is on
track to deliver a significant reduction in OneSteel's inventory
levels.

At the end of December 2000, OneSteel's inventories were at
$646.4 million. Already inventories are below $580 million and
will continue to decline as stock levels are realigned with
current trading conditions (this does not include the Email
inventories for reasons of comparison).

The cash generated through the inventory reduction program and
other initiatives is being utilized to repay debt.

The restructuring program is continuing. In the six months to
December 2000, $24 million in costs were extracted from the
businesses. An amount of similar magnitude is on track to be
achieved in the second half. Staff numbers at the end of March
were 6,798, compared with 7,336 at the end of March 2000, a
decline of 7.3 percent.

The merging of our allocation of Email Metals assets and
OneSteel's distribution businesses is proceeding to plan, with
the transfer of assets completed on April 30. Proceeds from the
Email residual business divestment program are expected to
exceed $130 million by the end of June 2001, and will be used
towards retiring some of the $300 million acquisition debt.

Trading conditions are expected to improve in the second half of
the 2001/2002 financial year. More specifically, the recent
awarding of the Alice to Darwin rail contract and the Duke
Energy pipeline contract will assist OneSteel's overall
performance.

BHP has advised that it will not be exercising its option to buy
the two OneSteel Sheet & Coil distribution businesses in
Victoria and Western Australia.

In terms of the 2000/01 final dividend determination, the
Directors will be taking into consideration OneSteel's positive
cash flow and retained earnings position, as well as the likely
impact the initiatives outlined above will have in protecting
the delivery of future earnings.


WAREHOUSE GROUP: Reports Quarterly Sales
----------------------------------------
The Warehouse Group Limited reports its sales for the quarter
ended April 30, 2001, including nine months sales for the
Australian businesses - Clints Crazy Bargain Stores and Silly
Solly's which were acquired by The Warehouse on 1st August 2000.
Pro-forma sales for the previous year for these two entities
have also been included to provide comparatives. These
comparatives have been derived from management reports from
Clints and Solly's.

Group Sales

The Directors of The Warehouse Group Limited report that
unaudited third quarter sales for the three months ended April
30, 2001 were $354 million. This figure is 13.6 percent, or $42
million, above that for the corresponding quarter last year of
$312 million. Group same-store sales (excluding Clints and
Solly's) for the quarter was 6.9 percent ahead of the same
quarter last year.

Year to date sales for the nine months ended April 30, 2001 was
$1,260 million. This is $152 million, or 13.7 percent above the
$1,108 million achieved for the same period last year.

The Warehouse Limited

The Warehouse retail stores recorded unaudited sales for the
quarter ended April 30, 2001 of $248 million. This represents a
15.3 percent increase in sales above the $215 million achieved
for the corresponding three-month period ended April 30, 2000.

Same-store sales rose 5.1 percent for the quarter.

In the last quarter The Warehouse extended the Paraparaumu store
and completed reworking the retail space at Downtown Auckland to
include a Warehouse Stationery store. The Warehouse store area
was expanded by 571 square meters during the quarter. As of
April 30, 2001 The Warehouse retail chain consisted of 74 stores
representing 299,924 square meters of retail space (an increase
of 19.6 percent over April 2000). The Warehouse will complete
the extension of the Nelson store and open a new store in
Dannevirke by July 2001. The Warehouse is planning to extend
four stores and open two new stores before Christmas 2001.

Weighted average sales per square meter for the twelve months
ended April 30, 2001 amounted to $3,930 (April 2000: $4,030).

Warehouse Stationery

Warehouse Stationery achieved unaudited sales for the three
months ended April 30, 2001 of $25.7 million. This represents a
48.6 percent, or $8.4 million, increase in sales over the
corresponding quarter last year. The number of stores remains
unchanged at 32. Same-store sales for the quarter were 27.9 per
cent ahead of the same quarter last year.

Retail selling space at the end of April was 36,256 square
meters, up 34 percent from a year ago. Warehouse Stationery plan
to open one new store in Auckland by the end of July 2001.

Clints And Solly's

Clints and Solly's achieved unaudited sales for the three months
ended April 30, 2001 of NZ$81 million (A$66.1 million). This
represents a 1.3 percent (in NZ dollar terms) or a 3.1 percent
(in Australian dollar terms) increase in sales over the
corresponding quarter last year.

Retail selling space at the and of April 2001 was 141,339 sq
meters comprising 118 stores. In the last quarter Clints and
Solly's opened three new stores in new locations Villawood
(NSW), Woden (ACT) and Dromana (VIC) and closed two stores.
Clints and Solly's plan to open up to six new stores, three in
new locations and three replacement stores before the end of
July 2001. While one store is expected to close in the next
quarter.

Same-store sales comparison for Clints and Solly's are not
disclosed. The impact of store development during the period
when The Warehouse did not own either entity is unclear making
accurate same-store comparisons uncertain.

Gold Pre-paid Mobile Phone Sales

The Warehouse sold 12,000 mobile phones for the quarter. Handset
sales have not been included in the trading sales disclosed in
this release.


================================
C H I N A   &   H O N G  K O N G
================================


BROADWORLD INDUSTRIAL: Faces Winding Up Petition
------------------------------------------------
Broadworld Industrial Limited is facing a winding up petition
filed with the High Court of Hong on March 22, 2001 by Hua Chiao
Commercial Bank Limited of No. 92 Des Voeux Road, Central Hong
Kong. The petition will be heard before the court on May 23,
2001 at 10:00 AM.


CHINA DIGICONTENT: Requests Shares Suspension
---------------------------------------------
China Digicontent Company Limited has sought the suspension of
its shares trading, pending further announcement regarding legal
actions filed against the company by its financial creditors,
AFX reported Wednesday last week, citing an announcement of the
Stock Exchange of Hong Kong.


CHINA VENTURE: Shares To Fall Under `ST' Curb
---------------------------------------------
China Venture Capital shares are expected to plunge into the
special treatment trading curb today when the Shenzhen Stock
Exchange resumes trading, after the company reported net losses
of 329.48 million yuan for the year ended December 31, South
China Morning Post reported Friday last week.

The company's investment losses pegged at 280.48 million yuan
dragged the company's finances last year. Its annual report
noted, "After the re-organisation of the company's shareholder
structure, new shareholders jointly manipulated the decision-
making authorities of the shareholders' meetings and the board
of directors."

Companies that have been making losses for two consecutive years
are usually assigned to the `special treatment' category, and
under such category, price movements of stocks are limited to 5
percent plus or minus.


FAN WAH: Faces Winding Up Petition
----------------------------------
Fan Wah Engineering Company Limited is facing a winding up
petition, which will be heard before the High Court of Hong Kong
on May 16, 2001 at 10:00 AM. The petition was filed with the
court on March 14, 2001 by Regent Plan Limited whose registered
office is situated at Flat N, 10th Floor, Lladro Centre, 72-80
Hoi Yuen Road, Kwun Tong, Kowloon, Hong Kong.


GUANGDONG BUILDING: Posts Notice Of AGM
---------------------------------------
The Annual General Meeting of Guangdong Building Industries
Limited will be held at Suite 2316, 23/F, One International
Finance Centre, 1 Harbour View Street, Central, Hong Kong, on
Wednesday, May 23, 2001 at 10:00 AM for the following purposes:

1. To receive and consider the audited Consolidated Financial
Statements and the Reports of the Directors and the Auditors for
the year ended December 31, 2000.

2. To re-elect retiring Directors and to authorize the Board of
Directors to fix the Directors' fees.

3. To re-appoint Auditors and to authorize the Board of
Directors to fix their remuneration.

4. As Special Business, to consider and if thought fit, pass
with or without amendments, the following resolution as an
Ordinary Resolution:

"That:

(A) subject to the following provisions of this Resolution and
pursuant to Section 57B of the Hong Kong Companies Ordinance and
the Rules Governing the Listing of Securities on the Stock
Exchange of Hong Kong Limited, the exercise by the Directors of
the Company during the Relevant Period (as hereinafter defined)
of all the powers of the company to allot, issue and deal with
additional shares or securities convertible into shares, or
options, warrants or similar rights to subscribe for any shares
or such convertible securities in the capital of the company and
to make or grant offers, agreements and options which would or
might require the exercise of such powers be and is hereby
generally and unconditionally approved;

(B) the approval in paragraph (A) of this Resolution shall be in
addition to any other authorization given to the Directors of
the Company and shall authorize the Directors of the Company
during the Relevant Period to make or grant offers, agreements
and options which would or might require the exercise of such
powers after the end of the Relevant Period;

(C) the aggregate nominal amount of share capital allotted or
agreed conditionally or unconditionally to be allotted (whether
pursuant to an option or otherwise) by the Directors of the
Company pursuant to the approval in paragraph (A) of this
Resolution, otherwise than pursuant to (i) a Rights Issue (as
hereinafter defined), (ii) the exercise of the subscription or
conversion rights attaching to any warrants, convertible bonds
or other securities issued (if any) by the company which are
convertible into shares of the company, (iii) the exercise of
options granted by the company, any share option scheme or
similar arrangement adopted (if any) for the grant or issue to
executives and/or employees of the company and/or any of its
subsidiaries of shares or rights to acquire shares in the
capital of the company, or (iv) any scrip dividend or similar
arrangement providing for the allotment of shares in lieu of the
whole or part of a dividend on shares of the company in
accordance with the Articles of Association of the company,
shall not exceed 20 percent of the aggregate nominal amount of
the share capital of the company in issue as at the date of the
passing of this Resolution and the approval shall be limited
accordingly; and

(D) for the purpose of this Resolution:

"Relevant Period" means the period from the passing of this
Resolution until whichever is the earliest of:

(i) the conclusion of the next annual general meeting of the
company;

(ii) the expiration of the period within which the next annual
general meeting of the company is required by the Articles of
Association of the company or any applicable laws to be held;
and

(iii) the revocation or variation of the authority given under
this Resolution by an ordinary resolution of the shareholders of
the company in general meeting; and

"Rights Issue" means an offer of shares of the company or issue
of options, warrants or other securities giving the right to
subscribe for shares of the company, open for a period fixed by
the company (or by the Directors of the Company) to holders of
shares on the register of shareholders of the company (and,
where appropriate, to holders of other securities of the company
entitled to the offer) on a fixed record date in proportion to
their then holdings of such shares of the company or, where
appropriate, such other securities (subject to such exclusions
or other arrangements as the Directors of the Company may deem
necessary or expedient in relation to fractional entitlements or
having regard to any restrictions or obligations under the laws
of, or the requirements of, any recognized regulatory body or
any stock exchange in any territory applicable to the company)."

5. As special business, to consider and if thought fit, pass
with or without amendments, the following resolution as a
Special Resolution:

"That:

The name of the company be changed to Hi Sun Holdings Limited

6. To transact other business, if necessary.


GUANGDONG BUILDING: Proposes Change To Company Name
---------------------------------------------------
The motion in relation to the change of company name of
Guangdong Building Industries Limited shall be proposed to the
shareholders of the company at the annual general meeting (AGM)
of the company to be held at Suite 2316, 23rd Floor, One
International Finance Centre, 1 Harbour View
Street, Central, Hong Kong on Wednesday, May 23, 2001 at 10:00
am (or the adjournment thereof).

The purpose of this circular is to give you further information
regarding the Proposal.

Change Of Company Name

(A) The directors of the company (the "Directors") propose to
change the existing name of the company to "Hi Sun Holdings
Limited". Completion of Change of Company Name is subject to the
passing of a special resolution by the Shareholders at the AGM
and the issuance of the Certificate of Change of Name from the
Companies Registry in Hong Kong which date shall be around June
8, 2001.

Subject to the passing of the special resolution, the company
will carry out the necessary filing procedures with the
Companies Registry in Hong Kong.

The company will make a further announcement upon completion of
all filing procedures relating to the Change of Company Name.

Rationale For Motion

The company underwent a change of shareholding structure in
March 2001 as a result of which Hi Sun Limited became the
controlling shareholder of the company and the company became
part of the Hi Sun group of companies. Following the change of
shareholding structure, there was a change of management, which
took effect from April 10, 2001. The new management would like
to change the name of the company to a name, which is more
closely aligned and associated with the new management.

Listings & Dealings

The proposed Change of Company Name will not affect any of the
rights of the Shareholders. After the Change of Company Name
becomes effective, all existing share certificates in issue
having the former name of the company will continue to be
evidence of title to the relevant shares of the company and be
valid for trading, settlement and delivery for the same number
of shares in the new name of the company. There will be no
special arrangement for exchange of the existing share
certificates of the company for the new share certificate(s)
printed in the company's new name. However, shareholders who
apply for issuance or exchange of share certificates after May
23, 2001 will receive new share certificates printed in the
company's new name at a fee as normally charged by the share
registrar of the company. Unless otherwise instructed, new share
certificates will be issued in board lots of 1000.

Notice Of AGM

Notice of AGM are enclosed in the Annual Report of the company
to be dispatched to the Shareholders at the time of dispatch of
this circular. At the AGM, resolutions will be proposed to
approve, inter alia, the Change of Company Name.

A form of proxy for use at the AGM is also contained in the
Annual Report of the company. Whether or not you are able to
attend the meeting, you are requested to complete the form of
proxy in accordance with the instructions printed thereon and
return it to Tengis Limited, the principal share registrar of
the company at 4th Floor, Hutchison House, 10 Harcourt Road,
Central, Hong Kong or the company's Australian Branch Registrar,
Computershare Investor Services Pty Ltd at Level 12, 565 Bourke
Street, Melbourne, Victoria 3000, Australia, not less than 48
hours before the time appointed for holding the AGM. Completion
and return of the proxy will not prevent Shareholders from
attending and voting at the aforesaid meeting if they so wish.

Recommendation

The Directors consider that the Proposal is in the best
interests of the company and its Shareholders generally. In view
of this, the Directors recommend the Shareholders vote in favor
of the resolution relating to the Proposal to be proposed at the
AGM.


HOLD SOURCE: Winding Up Petition To Be Heard
--------------------------------------------
The winding up petition filed against Hold Source Limited is
scheduled to be heard before the High Court of Hong Kong on June
12, 2001 at 9:30 AM. The petition was filed with the court on  
April 12, 2001 by Cheer Ridge Investment Limited of Shop K,
Ground Floor, Witty Commercial Building, 1A-1L Tung Choi Street,
Kowloon, Hong Kong.


KIN DON: Suspension Of Trading
------------------------------
At the request of Kin Don Holdings Limited, trading in the
company's shares was suspended effective 10:00 AM yesterday
pending the release of an announcement by the company in
relation to the progress of the hearing of a winding up petition
against the company as referred in the company's announcement
dated April 17, 2001.


LEADING SPIRIT: Seeks Suspension Pending Announcement
-----------------------------------------------------
Leading Spirit High-Tech (Holdings) Company Limited has sought
the suspension of its shares trading, pending a company
announcement on the progress of legal actions filed against the
company by its financial creditors, AFX reported Wednesday last
week, citing a disclosure by the Stock Exchange of Hong Kong.


LEADING SPIRIT: Receives Summons To Appear In Court
---------------------------------------------------
The directors of Leading Spirit High-Tech (Holdings) Company
Limited (LSH) and China DigiContent Company Limited (CDC) refer
to the joint announcements of the two companies dated March 28,
2001 and April 19, 2001 respectively, in connection with, among
other things, the status of both companies' debt restructuring
exercise.

Further to the previous announcements, on April 30, 2001, each
of LSH and CDC received at its registered office in Bermuda a
document issued by the Bermuda court for a court hearing in
respect of Standard Chartered Bank's (SCB) application for the
appointment of provisional liquidators. Each company also
received an affidavit made in support of SCB's application.

The affidavit relating to each company referred to a petition
for the winding up of that company having been presented to the
court. However, neither LSH nor CDC has received service of a
petition. Both LSH and CDC applied to the court on May 3, 2001
(Bermuda time) and were granted an adjournment for the hearing
of SCB's applications to take place on May 10, 2001 (Bermuda
time) so that both companies may take advice on the possible
course of actions available to them.

Further announcement will be made as and when appropriate in
relation to further developments in connection with the above
actions. Meanwhile, the directors of both companies advised
investors to exercise caution when dealing in the securities of
LSH and CDC.

Trading in the securities of LSH and CDC was suspended with
effect from 2:30 p.m. on May 2, 2001 at the request of both
companies pending the issue of this announcement. Applications
have been made to The Stock Exchange of Hong Kong Limited for
the resumption of trading in the securities of LSH and CDC with
effect from 10:00 a.m. on May 7, 2001.

Note: Bermuda time is 12 hours behind Hong Kong time.


STRUCTURAL STEELWORK: Faces Winding Up Petition
-----------------------------------------------
A petition to wind up has been filed against Far East Structural
Steelwork Engineering Limited with the High Court of Hong Kong
on April 17, 2001 by Shenzhen Rush Door Steel Fabrication
Company Limited whose registered office is situated at
Honghualing Industrial Estate, Xili, Shenzhen, China. The  
Petition is set to be heard before the Court at 9:30 AM on June
13, 2001.


=================
I N D O N E S I A
=================


PASIFIK SATELIT: Creditors OK To Restructure Debts
--------------------------------------------------
Creditors of PT Pasifik Satelit Nusantara (PSN) have decided to
proceed with the restructuring of the satellite communications
provider's debts worth US$213 million, Jakarta Post reported
Friday last week. The restructuring exercise took effect April
27.

Part of the concession of the creditors, including the
Indonesian Bank Restructuring Agency, was a conversion of debts
into bonds set to mature within 2002 and 2005.

Also, under the same plan, PSN will be given the option to
extend the 2005 maturities by one to two more years.


WAHANA PERKASA: Production Of Buses Stopped
-------------------------------------------
PT Wahana Perkasa Auto Jaya, a subsidiary of the Texmaco Group,
has stopped its production of buses for public utility, as the
company remains beset with financial problems, notwithstanding
its memorandum of understanding (MoU) with DKI Jaya regional
government, IndoExchange reported late last week.

The unsettled terms of payment in a deal with bus operators has
added to the problem . The company's general manager for
marketing, William H. Sirait said the company has been giving
the bus operators assistance in accessing financing loans,
although nothing has been closed yet.

PT Texmaco is not in a position to source new financing since
the company is still under the management of the Indonesian Bank
Restructuring Agency (IBRA). However, according to Sirait, the
company keeps its hopes high that the government could extend
soft loans to fund the production of buses.


=========
K O R E A
=========


DAEWOO ELECTRONICS: Creditors Bailout Plan Possible
---------------------------------------------------
Creditors of Daewoo Electronics might approve a proposed bailout
plan for the troubled company, and allow the company to proceed
with a debt-to-equity conversion, after reviewing the company's
business operations for fiscal year 2000, The Digital Chosun
reported yesterday. The conversion may cover W1 trillion of the
total P4.37 trillion in debts owed to several finance firms.


DAEWOO MOTOR: Bupyong Plant Exclusion In Buyout Likely
------------------------------------------------------
As General Motors (GM) is firming up its proposal to take over
Daewoo Motor, the Korean government anticipates that Daewoo's
Bupyong Plant may be excluded from the American automaker's bid,
The Digital Chosun reported yesterday, citing a top official in
the government. GM's bid will, however, aim to acquire the
Korean automaker's auto sales division and the Kunsan plant.  

The proposal, reported to be completed, will then have to pass  
consultations with GM's strategic partner Fiat and the GM board,
before it will be presented to the Korean government.

The government official said GM is interested in undertaking a
purchase and acquisition contract patterned after the purchase
deal between Renault Motor and Samsung Motor. The official also
added in the joint venture of GM and Daewoo, the former would
keep 51 percent stake holding in Daewoo, and the rest would go
to Daewoo's creditors.

The takeover will be made partly through cash payments. The rest
of the entire deal will be acquired by GM by taking over
Daewoo's outstanding loans.


HANVIT BANK: KDIC To Evaluate 1st Qtr Performance
------------------------------------------------
The Korea Deposit Insurance Corporation (KDIC) is set to
evaluate the first quarter performance of Hanvit Bank, one of
the ten financial institutions that have been provided bailout
funds by the state, The Digital Chosun reported yesterday. The
performance evaluation will take place during a three-week
period, beginning yesterday.

As agreed by both the state corporation and the bank, through a
memorandum of understanding (MoU), this evaluation is aimed at
measuring the progress of the bank's business performance along
with the implementation of its self-rescue program. Should KDIC
find out otherwise, KDIC may act on the matter by issuing
sanctions, or ordering revamp in management, suspension of
operations, or additional restructuring.

Results of the evaluation will be reported to the National
Assembly.


HYNIX SEMICON: Creditors To Iron Out Kinks In Bailout Plan
----------------------------------------------------------
Creditors of Hynix Semiconductor Incorporated are set to iron
out disagreements over the purchase of Hynix bonds as proposed
in the bailout plan for the company, The Korea Herald reported
yesterday.

The proposal, raised by Hynix financial adviser Salomon Smith
Barney, calls for the purchase of W1 trillion worth of Hynix
bonds by creditors including those from the investment trust
sector which oppose the purchase of W760 billion worth of bonds.

However, seven investment trust management companies have come
up with a compromise rescue plan, calling for payment guarantees
to be provided by Seoul Guarantee Insurance on the purchase of
W600 billion worth of bonds, while the remainder will be bought
without guarantee from any third party.

Hynix major creditor Korea Exchange Bank was scheduled to meet
yesterday with the seven investment trust management companies
to discuss the counter-proposal.


===============
M A L A Y S I A
===============


INNOVEST BERHAD: Comes Up With Alternative Plan
-----------------------------------------------
Due to the rejection by the Securities Commission on December 6,
2000 of Innovest Berhad's proposed restructuring plan involving
a proposed capital reduction, rights issue, restricted issue,
debt conversion and employees' shares option scheme, the Board
of Directors of the company announced Thursday last week the
company has formulated an alternative strategy to restore the
financial health of the Group by choosing a three-pronged
approach as follows:

ú Amicable debt restructuring and settlement of debts with major
creditors under negotiated terms which are acceptable to the
Group, Company and creditors;

ú Divestment of the Group's assets and investments located
overseas and in non-core areas of operations; and

ú Concentration of business in the core timber operations and
formulating a business strategy for the future.

Debt Restructuring and Settlement Scheme

The debt restructuring and settlement scheme with the following
major creditors of the Company and the Group are in various
stages of development as summarized below:

1. Wilayah Leasing Sdn Bhd

As announced on April 26, 2001, the Company together with three
wholly-owned subsidiary companies have entered into a Settlement
Agreement with Wilayah Leasing Sdn Bhd on December 13, 2000 for
the disposal of 3 units of commercial properties located at
Selayang Capitol Complex for a consideration of RM23 million as
full and final settlement of debt owing of RM24.94 million.

2. Arab-Malaysian Bank Berhad

As announced on April 26, 2001, the Company has accepted the
Letter of Offer dated February 20, 2001 from Arab-Malaysian Bank
Berhad in relation to the proposed settlement of revolving
credit facility of RM3.0 million by way of the transfer of
ownership of 9 units of townhouses located at Palm Spring, Port
Dickson as full and final settlement of the principal amount and
accrued interest owing to the said bank. Currently, the relevant
agreements are in the final stage of preparation for execution.

3. Danaharta Managers Sdn Bhd (Danaharta)

In the previous years, Danaharta Managers Sdn Bhd had acquired
loans of two subsidiary companies from Sime Bank Berhad and MBF
Finance Berhad. The Company and the subsidiary companies are
presently in an advance stage of negotiation with Danaharta to
accept the Group's offer to swap the undeveloped industrial land
in Johor Bahru, subject to an independent valuation of the land,
as partial settlement of the amount owing to Danaharta of
approximately RM71 million inclusive of accrued interest.
Danaharta has agreed in principle, via their letter dated April
18, 2001, to the swap value of the property and the remaining
debt, if any, to be restructured into a long-term loan.


ISUTA HOLDINGS: Announced Revisions Of Proposal
-----------------------------------------------
In view of current weak market conditions, Isuta Holdings Berhad
(IHB) has proposed to revise the Proposals, which was approved
by the Securities Commission (SC) on December 13, 2000, as
follows:

(a) Abortion of the Proposed Rights Issue;

(b) Revision to the number of shares to be issued pursuant to
the Proposed Special Issue; and

(c) Revision to the number of shares to be privately placed by
the Offerors pursuant to the Private Placement/Offer for Sale

Details Of The Revisions

Abortion of the Proposed Rights Issue

In view of current weak market conditions, IHB wishes to abort
the Proposed Rights Issue. The closing market price of IHB
shares as of May 3, 2001 was only RM0.60 as opposed to the issue
price of the Rights Shares of RM1.00. As such, it is almost
impossible to secure underwriters for the Proposed Rights Issue.
As a result of the abortion of the Proposed Rights Issue, the
proceeds from the Proposals is reduced to RM34.167 million, and
will be utilized.

Revision to the number of shares to be issued pursuant to the
Proposed Special Issue

In view of the abortion of the Proposed Rights Issue, IHB
proposes to revise the number of shares to be issued pursuant to
the Proposed Special Issue to 30,030,878 new ordinary shares of
RM1.00 each in IHB. The proposed revision is essentially
designed to round-up the share capital of IHB while increasing
the Bumiputera equity content as much as possible.

Furthermore, in view of the resignation of Y.M. Tengku Dato'
Adnan bin Tengku Mansor from the Board of Directors of IHB since
his appointment as Deputy Minister in the Prime Minister's
Department, IHB proposes to allocate the Proposed Special Issue
shares to Y. Bhg. Dato' Hamzah bin Zainudin (DHZ).

DHZ was appointed Director of IHB on March 15, 2001. However,
the proposed allocation of the Proposed Special Issue shares to
DHZ will be subject to the approval of Ministry of International
Trade and Industry (MITI) and the shareholders of IHB.

Revision to the Private Placement/Offer for Sale

In view of the abortion of the Proposed Rights Issue, the
Offerors propose to revise the number of shares to be privately
placed/offered to Bumiputera investors approved by MITI to
32,500,000 ordinary shares of RM1.00 each in IHB. The proposed
revision is essentially to comply with the Bumiputera equity
content as required under the National Vision Policy.

Earnings

The Revisions are not expected to have any material effect on
the earnings of the IHB Group for the 17 months ending June 30,
2001.

Background

A Penang-based Group, Isuta focuses on the manufacture and
trading of critical environment products and related merchandise
like garments, rubber gloves and packaging materials. Raw
materials are sourced locally and from Korea, Japan and the US.

Its customer base includes the electronics, medical,
pharmaceutical and food industries.

The Group is the only company to offer a complete range of
critical manufacturing products and requirements from the design
stage of the cleanroom to packaging materials for finished
products, to all intermediate stages.


L&M CORP: Defaults Interest Payment
-----------------------------------
As of April 30, 2001, L&M Corporation Berhad's total default
payments to financial institutions in respect to various credit
facilities by L&M Group has already reached RM188,399,124.63.

Background

On May 29, 2000, the High Court granted the company a
restraining and stay order pursuant to section 176 of the
Companies Act, 1965, which has been extended.

On November 22, 2000 the company filed an application for
another extension for a further period of 90 days from December
1, 2000 to February 28, 2001.

Meanwhile, L&M proposes to undertake a restructuring scheme
which involves:

(i) transfer of its listing status to Eastern Atlas Bhd (EAB), a
newly incorporated company;

(ii) disposal of the entire equity interests in L&M Geotechnic
Sdn Bhd (LMG) and L&M Instrumentation Sdn Bhd (LMI) to EAB;

(iii) rights issue;

(iv) composite scheme of arrangement with financial institutions
and trade and other creditors of L&M and/or LMG and/or the
subsidiaries of L&M with corporate guarantees from L&M
encompassing five separate schemes of arrangement;

(v) acquisition by EAB of the entire equity interests in
Satujaya Sdn Bhd, Kayman Integrated Sdn Bhd and Vistashine Sdn
Bhd;

(vi) liquidation of the remaining subsidiaries of L&M, excluding
LMG and LMI; and listing of EAB on KLSE.

L&M and its companies had mainly provided specialized
engineering and construction services. Currently, other than the
Pelabuhan Tanjung Pelepas Project undertaken by L&M Geotechnic
Sdn Bhd, there are neither any on-going projects nor new
projects secured by other subsidiary companies.

Subsidiaries L&M Piling Sdn Bhd and L&M Prestressing Specialist
Sdn Bhd were wound up by creditors on June 1, 2000 and July 5,
2000 respectively.


SOUTHERN PLASTIC: Revised Restructuring Plan Submitted
------------------------------------------------------
Southern Plastic Holdings Berhad announced Thursday last week
that the revised proposal to restructure the financial
institution (FI) debt obligations (Scheme Creditors) of the
Company and its selected subsidiaries have been submitted to the
respective Scheme Creditors for their consideration.

The Company expects to obtain the approvals of the Scheme
Creditors for the revised proposal in due course. Upon obtaining
the approvals from the Scheme Creditors, the Company will
proceed to secure the approvals from the relevant authorities
for the revised proposal prior to implementation.

Background

The Southern Plastic Group, which originally produced both
finished and semi-finished plastic and plastic electrical
products for the local and export market, has diversified into
plastic packaging and manufacturing and trading of timber
products. Timber supply is sourced from within Malaysia and the
products are exported mainly to Thailand, China, Japan and the
US.

The Group's factories are located in Province Wellesley in the
North and Sungei Buloh and Sungei Besi in Selangor.

On November 25, 1999, the Company proposed to undertake a bonus
issue, a rights issue and an ESOS to partially meet the SC's
revised requirement on the share capital of Second Board
companies and to reduce its gearing. As such, the Company's
authorized capital will be revised upwards from RM25 million to
RM100 million.

Subsequently, in May 2000, the Company aborted the proposed
bonus issue after considering the pre-tax loss position of its
third quarterly results. The revised proposal incorporating a
rights issue and an ESOS was submitted to the SC on June 2,
2000.

In November 2000, the Company appointed Arthur Andersen
Consulting to assist it in restructuring the Company's
substantial banking facilities. As of March 2000, the Company is
refining its restructuring scheme, taking into consideration the
comments from its creditor banks.


SRIWANI HOLDINGS: Auditors Issue Disclaimer Of Opinion
------------------------------------------------------
The Board of Directors of Sriwani Holdings Berhad announced
Thursday last week that Arthur Andersen & Co., the Auditors of
the Company have issued a disclaimer of opinion in respect of
the financial statements for the financial year ended December
31, 2000.

The details of the audit qualification made in the Auditors'
Report addressed to the Shareholders of the Company dated April
27, 2001 which has been attached together with the financial
statements as of December 31, 2000 was released to Kuala Lumpur
Stock Exchange on April 30, 2001.

The audit qualification made by the Auditors as at the date of
the report was mainly due to the significance of the following
matters:

(i) The appropriateness of the going concern assumption may be
affected by the uncertainties of the final outcome of the
proposed restructuring scheme, as elaborated in Note 37 to the
financial statements, which is conditional upon the approval of
amongst others, creditors, the regulatory authorities and
shareholders. The outcome of the proposed restructuring scheme
could result in adjustments being made to certain amounts and
classification of assets and liabilities of the Group and the
Company.

(ii) As of December 31, 2000, the Group and the Company incurred
net losses of RM327,787,979 and RM359,260,850 respectively and
as at that date, the Group's and the Company's current
liabilities exceeded its current assets by RM732,146,784 and
RM315,290,215 respectively. These factors along with the matters
highlighted in (i) above raised substantial doubt that the Group
and the Company will be able to continue as a going concern. The
ability of the Group and the Company to continue as a going
concern is dependent on the successful outcome of the proposed
restructuring scheme elaborated in Note 37 to the financial
statements and resumption of normal operations and return to
profitability of the Group and the Company. The financial
statements of the Group and the Company do not include any
adjustments to the amounts and classification of assets and
liabilities that might be necessary should the Group and the
Company be unable to continue as a going concern.

(iii) The recovery of the amount due from subsidiaries for which
no further provision has been set aside was RM151,697,091 is
dependent on the successful implementation of the proposed
restructuring scheme as mentioned in (i) above, and the success
of future operations of the respective subsidiaries.

(iv) Various legal proceedings have been instituted against the
Group mainly for non-payments of amounts outstanding and the
Company acts as corporate guarantor for various banking and
other credit facilities granted to the subsidiaries, of which
the subsidiaries have defaulted in the repayment of certain
outstanding debts. The Auditors are unable to determine the
extent of the possible crystallization of the said contingent
liabilities as disclosed in Note 31 to the financial statements.


SRIWANI HOLDINGS: Reports Status Of Restoration Plan
----------------------------------------------------
The following events have taken place since the last
announcement on April 5, 2001 by Commerce International Merchant
Bankers Berhad (CIMB) on behalf of the Board of Directors of
Sriwani Holdings Berhad, pertaining to the status of SHB's plan
to regularize its financial condition:

(a) On April 19, 2001, CIMB, on behalf of the Board of Directors
of SHB, announced that the High Court of Malaya has at the
hearing on April 18, 2001 granted an order specifying, inter
alia, the following:

(i) SHB is to convene separate meetings of its shareholders and
with each class of creditors included in the proposed scheme of
arrangement under Section 176 of the Companies Act, 1965 to be
implemented by SHB for the purpose of considering and, if
thought fit, approve the Proposed Plan with or without any
modifications; and

(ii) The above meetings are to be convened within a period of 6
months from the date of the order pursuant to Section 176 (1) of
the Companies Act, 1965.

(b) On April 26, 2001, CIMB, on behalf of the Board of Directors
of SHB, announced that the Kuala Lumpur Stock Exchange has on  
April 23, 2001 granted SHB an extension of four months, from  
April 23, 2001 to August 22, 2001, for the Company to submit to
the relevant authorities its plan to regularize its financial
condition.

In compliance with the requirements of Paragraph 4.1 (b) of PN
4/2001, CIMB, on behalf of the Board of Directors of SHB, hereby
advises that there is no further change in the status of the
Company's plan to regularize its financial condition other than
that mentioned above.


SRIWANI HOLDINGS: Seeks Extension For Submission Of Plan
--------------------------------------------------------
Sriwani Holdings Berhad (SHB) has announced that the company has
intentions to seek a waiver from the Kuala Lumpur Stock Exchange
(KLSE) from having to comply with Paragraph 5.1 (b) of the
Practice Note No. 4/2001 Criteria and Obligations Pursuant To
Paragraph 8.14 of the Listing Requirements and to seek an
extension of time from two to six months from February 23, 2001
to make the submission to the relevant authorities for the
Proposed Plan.

The company also announced that the KLSE on April 23, 2001
granted SHB an extension of four months, from April 23, 2001 to
August 23, 2001, for the Company to submit to the relevant
authorities its plan to regularize its financial condition.

Background

Sriwani's main business is trading of duty free merchandise. The
Company operates 24 duty free outlets around the globe, its duty
free complex in Johor Bahru being one of the largest integrated
duty free tourism complexes in the region. Original interests
encompassed import and distribution of consumables, tours, and
the food business.

Following a restructuring and rationalization exercise in 1990,
companies that are involved in duty free trading and which are
owned by either the Sriwani Group or other vendors, were placed
under subsidiary Sriwani Trading Sdn Bhd as the new holding
company. At the same time, non-duty free trading companies were
divested. Since then, the Group's main focus has been trading,
wholesaling and retailing of duty free merchandise.

The Group diversified into tourism-related activities in 1992
with the acquisition of land in Penang for resort development.
Its first accommodation facility, the Eden Garden Hotel in Johor
Bahru, opened in December 1997.

The Group further diversified into food-related business in 1993
with the acquisition of the Eden Enterprises (M) Sdn Bhd Group,
owner of western cuisine and seafood restaurants, catering
services, gourmet supply outlets, and bakeries.

The Group has since also opened Eden Floating Palace, Johor
Bahru, and Planet VOR, Bukit Mertajam.


=====================
P H I L I P P I N E S
=====================


NATIONAL BANK: Moody's Confirms Debt Rating Of `Ba3'
---------------------------------------------------
Moody's Investors Service downgraded the bank financial strength
ratings of three Philippine banks - Metropolitan Bank & Trust,
Bank of the Philippine Islands (BPI) and Equitable-PCI Bank. The
deposit ratings for all three banks were confirmed.

The rating agency also confirmed the ratings of two other banks
- Philippine National Bank (PNB) and Allied Banking Corporation.
This concludes the reviews of these banks that began in November
2000, and January 2001 in the case of Equitable-PCI.

The rating actions also incorporated Moody's review of the bank
financial strength ratings of all rated Philippine banks in
light of the recent revision to its BFSR definitions and the
introduction of the (-) modifiers. The outlooks for the ratings
of these and other rated Philippine banks remain negative.

The ratings downgrades of Metrobank, BPI and Equitable-PCI
result from the pressure on these banks' financial fundamentals
arising from the deteriorating operating environment.

More specifically, the downgrade of Metrobank follows from its
acquisition of smaller banks that have not added significantly
to the bank's franchise but, rather, contributed to declines in
asset quality.

BPI's financial position has, the rating agency said, been
weakened by its acquisition of Far East Bank & Trust in 2000 and
the uncertain prospects for business synergies. Equitable-PCI
suffers from ongoing disputes among the major shareholders of
the bank, which include a prominent ethnic Chinese family and
the government insurance and social security funds.

Moody's notes that this has created uncertainties as to the
future ownership of the bank.

The rating agency said that the bank financial strength ratings
of these banks, which represent the major banks in the system,
had been among the highest in the country and indeed the region
itself. This reflected the banks' strong franchises and superior
competitive positions within the Philippine banking industry.

However, prospects for improvements in the banks' declining
asset quality and profitability appear diminished given the
country's poor economic performance and continuing high level of
competition within the industry.

The Philippine economy also faces significant longer-term
challenges such as its high dependence on foreign investment,
which has declined significantly, to help build its weak
industrial infrastructure.

Moody's confirmations of the ratings of PNB and Allied Bank
reflect its belief that the current ratings adequately capture
the inherent risks and challenges of these banks.

PNB has suffered from severe financial stress and has been
undergoing government-led restructuring, which has included the
provision of substantial amounts of liquidity.

Allied Bank remains a bank with a modest franchise and has
experienced above-industry average asset quality deterioration,
though its niche in lending to the middle market ethnic Chinese
businesses has historically provided it with high returns.

The following ratings were affected:

Metropolitan Bank & Trust Co. - The bank financial strength
rating was lowered to D from D+. The Ba2 and Not Prime ratings
for the bank's long- and short-term foreign currency deposits
remain unaffected. The outlook is negative.

Bank of the Philippine Islands - The bank financial strength
rating was lowered to C- from C. The Ba2 and Not Prime ratings
for the bank's long- and short-term foreign currency deposits
remain unaffected. The outlook is negative.

Equitable-PCI Bank - The bank financial strength rating was
lowered to D- from D. The Ba1 rating for the bank's senior long-
term foreign currency debt, and Ba2 and Not Prime ratings for
its long- and short-term foreign currency deposits, remain
unaffected. The outlook is negative.

Philippine National Bank - The long-term foreign currency debt
rating of Ba3 and its long-term foreign currency deposit rating
of Ba3 were confirmed. The short-term foreign currency deposit
rating of Not Prime and the bank financial strength rating of E
remain unaffected. The outlook is negative.

Allied Banking Corporation - The long-term foreign currency
deposit rating of Ba3 and the bank financial strength rating of
E+ were confirmed. The short-term foreign currency deposit
rating of Not Prime remains unaffected. The outlook is negative.


NATIONAL POWER: Gov't Review Raises Concerns  
--------------------------------------------
National Power Corporation (Napocor) is wary about the
government's plan to review laws concerning guarantees for debts
of government firms, which according to Napocor President Jesus
Alcordo will have adverse implications on the state utility
firm, Business World reported Friday last week.

Napocor is banking on the national government for financing to
service its debts.

"Napocor on its own cannot pay those loans. It needs the
government guarantees," Alcordo said. At present, the government
is providing payment guarantees for the power firm's US$350-
million loan which Napocor is working out to acquire this year
to pay for principal payments and accumulated interest charges
amounting to P27 billion and P15 billion, respectively.

The Department of Finance (DoF) is pushing this review of laws
regarding government guarantees, as part of the department's
plan to cut down the government's contingent liabilities, which
currently stand at P600 billion.


URBAN BANK: SSS To Extend P600-M Loan To Exportbank
---------------------------------------------------
The Social Security System will likely approve a secured three-
year convertible loan worth P600 million to Export and Industry
Bank within the week to rehabilitate the closed Urban Bank
Incorporated, The Philippine Daily Inquirer reported yesterday,
citing SSS Chairman Vitaliano Na¤agas II.

Na¤agas told Inquirer, "The SSS has some P290 million in
investments in UBI. That one will have to be solved in the
manner applied to all other shareholders. We're trying to
recover that by putting in the extra P600 million."

The Export and Industry Bank (Exportbank) joined forces last
month with the National Association of Urban Bank Depositors and
Creditors (Naud) to produce and submit a joint rehabilitation
proposal for Urban Bank to the Urban Bank receiver Philippine
Deposit Insurance Corporation (PDIC) and the Securities and
Exchange Commission (SEC).

The joint plan would entail a merger between Exportbank and
Urban Bank, to be undertaken before the year ends, to create a
new entity whose capital base will be P6 billion.


=================
S I N G A P O R E
=================


ASIA PULP: Court Orders Payment Of Over US$10-M
-----------------------------------------------
The High Court issued to Asia Pulp & Paper Company (APP) an
order for payment of over US$10 million to two of the
beleaguered company's suppliers, Asian Wall Street Journal
reported yesterday. Failure to comply with the court order,
according to legal experts, would compel both suppliers to drag
the company into bankruptcy or to urge the court to appoint an
administrator to the company.

It is unknown how the order would be implemented or how the
payment would be made.

"The question is, how are you going to enforce the judgments?" a
Singaporean lawyer said. "Here in Singapore you have one of the
most effective legal systems. The APP case is interesting
because, if it works, Singapore's reputation as a center for
dispute resolution will be greatly enhanced."

The two APP suppliers are Avebe (Far East) Pte Ltd, a
Singaporean unit of a Dutch manufacturer and supplier of starch
used in paper production, and Fiber Source International
Corporation, with claims of $9.9 million and $1.53 million,
respectively.

APP, according to a company announcement, is currently working
out plans to restructure billions of dollars in debt, with the
help of Credit Suisse First Boston as its financial adviser and
J.P. Morgan, it adviser on its planned sale of assets.


===============
T H A I L A N D
===============


RAIMON LAND: Court Postpones Decision On Rehab Plan
---------------------------------------------------
The Central Bankruptcy Court, on May 3, 2001 postponed a
decision on the Raimon Land Plc's Rehabilitation Plan pending a
ruling by the Constitutional Court on the legality of certain
provisions within the Bankruptcy Act as incorporated in Raimon
Land's Rehabilitation Plan.

The Central Bankruptcy Court has set a hearing date of August 17,
2001 when it is anticipated a decision will be given on the
Creditor approved Rehabilitation Plan.


S U B S C R I P T I O N  I N F O R M A T I O N

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Copyright 2000.  All rights reserved.  ISSN: 1520-9482.

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