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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

            Thursday, July 5, 2001, Vol. 4, No. 130


                         Headlines


A U S T R A L I A

ALPHA HEALTHCARE: New Company Secretary Appointed
ALPHA HEALTHCARE: Ramsay Changes Holding
BEACONSFIELD GOLD: BankWest Confirms Trevor's Appointment
BRDIGEDFS LIMITED: Requests Trading Halt
BRIDGEDFS LIMIITED: Trading Halt Announced
ISIS COMMUNICATIONS: Signs Equity Deal With Brighton
MTM ENTERTAINMENT: Babcock & Brown Changes Holding
MTM ENTERTAINMENT: Babcock & Brown To Provide Liquidity Package
MTM ENTERTAINMENT: MTM Funds Lodges Target Statement With ASIC
MTM ENTERTAINMENT: Macquarie Extends Loan Facility To Dec 31
NORMANS WINES: Merger Restructuring Extended


C H I N A   &   H O N G  K O N G

CIL HOLDINGS: Goddwins Issues Writ
CLIMAX INT'L: Lim Resigns As Director
FULBOND HOLDINGS: Chan Named As New Independent Director
FULL HONEST: Winding Up Petition Set For Hearing
GREAT CHANCE: Winding Up Petition To Be Heard
GREAT GIANT: Faces Winding Up Petition
INFOSTAR INVESTMENT: Winding Up Petition Scheduled
PACIFIC CENTURY: Lodges Annual Report With US SEC
SMART VIEW: Hearing of Winding Up Petition Set


I N D O N E S I A

BANK INTERNASIONAL: Bank Mandiri Takeover Likely
DHARMALA INTILAND: To Finalize Debt Workout This Year


J A P A N

CHOGIN NAGASAKI: Gets FRA Approval On Operation Plan
CHOGIN YAMAGUCHI: FSA Approves Handover
NISSAN MOTOR: To Sell Stake In Exedy To Aisin Seiki


K O R E A

CHO HUNG: Gov't To Dispose Of Stake
DAEDONG SHIPBUILDING: Hanjin Heavy To Take Over
HYNIX SEMICON: Completes Spin-Off Of Non-core Ops
HYUNDAI ENGINEERING: Overdue US$100M In Bonds Remain Unpaid
LG GROUP: Non-financial Units' Debt Stands At W35.74T


M A L A Y S I A

KEMAYAN CORP: Seeking Extension On Stay Order
LAND & GENERAL: Acts On Statutory Notice Re Default
LAND & GENERAL: Winding Up Petition Hearing Postponed
PSC INDUSTRIES: PSCA Sells Menara PSCI To Amin Shah
TECHNOLOGY RESOURCES: To Undertake Proposed Restricted Issue


P H I L I P P I N E S

BENPRES HOLDINGS: Credit Suisse Names Financial Adviser
CAPITOL WIRELESS: Seeking Two-Year Extension For Debt Repayment
NATIONAL BANK: BSP Calls For Resolution On Equity Issue
NATIONAL POWER: To Earn $2.7B From Transmission Assets Sale


S I N G A P O R E

BRIERLEY INVESTMENTS: Longleaf Partners Changes Holding
THAKRAL CORP: Sustains A Decline In Turnover
VAN DER HORST: Half-year Turnover At $9.13M


T H A I L A N D

BARA FINANCE: Bankrupt, FRA Declares
CATHAY FINANCE: Bankrupt; Placed Under Absolute Receivership
PREECHA GROUP: Shareholders Approve Capital Increase
QUALITY HOUSES: Board Approves Capital Reduction


=================
A U S T R A L I A
=================


ALPHA HEALTHCARE: New Company Secretary Appointed
-------------------------------------------------
Alpha Healthcare Limited posted the following corporate changes,
effective Monday 2 July 2001:

   a) Appointment Of Company Secretary

      Larry Ransley has been appointed Company Secretary upon
the resignation of Neil Hooper on 30 June 2001.

   b) Change Of Registered Office

      The registered office for Alpha Healthcare Limited and its
subsidiary companies was changed to:

      Level 9,
      154 Pacific Highway
      St Leonard NSW 2065


ALPHA HEALTHCARE: Ramsay Changes Holding
----------------------------------------
Ramsay Centauri Pty Ltd increased its relevant interest in Alpha
Healthcare Limited on 02 July 2001, from 40,066,456 ordinary
shares (88.8 percent) to 40,775,948 ordinary shares (90.4
percent).


BEACONSFIELD GOLD: BankWest Confirms Trevor's Appointment
---------------------------------------------------------
Bank of Western Australia Limited (BankWest) confirms that last
week it appointed Garry Trevor of Ferrier Hodgson as the
Receiver and Manager of Beaconsfield Gold NL.

This appointment follows Michael Ryan of Taylor Woodings'
appointment as the voluntary administrator of Allstate
Explorations NL, the other joint venturer and Manager of the
Beaconsfield Gold Mine in Northern Tasmania.

BankWest has a lending exposure to Beaconsfield Gold NL of
$32.75 million and also provides gold hedging facilities
currently assessed at $5.7 million.

The Voluntary Administrator is continuing to operate the mine
supported by BankWest and Macquarie Bank Limited, the principal
lender to Allstate. The Banks are in the process of
commissioning a valuation of the mine and will move to an
orderly sale of the project as a going concern.

While it is too early to identify the level of any required
provision, based on information currently available, BankWest
does not anticipate that there will be a material impact on the
level of provisioning required in the Bank's half-year accounts.


BRDIGEDFS LIMITED: Requests Trading Halt
----------------------------------------
BridgeDFS Limited requested a securities trading halt from the
start of trading Tuesday 3 July.

The halt was requested because the Bridge Information Systems'
55 percent holding in the company was disposed of via an
institutional bookbuild on 3 July. The directors believed the
halt should be in place until the company informs the market of
the results of the book build. It is anticipated this will be
before the start of trading on Wednesday 4 July.


BRIDGEDFS LIMIITED: Trading Halt Announced
------------------------------------------
The securities of BridgeDFS Limited (the Company) will be placed
in pre-open pending the release of a Company announcement
regarding the completion of the sale of Bridge Information
System's shareholding in the Company via an institutional
bookbuild. Unless ASX decides otherwise, the securities will
remain in pre-open until the earlier of the commencement of
normal trading on Wednesday, 4 July 2001 or when the
announcement is released to the market.


ISIS COMMUNICATIONS: Signs Equity Deal With Brighton
----------------------------------------------------
ISIS Communications Ltd has entered into an equity facility
agreement with Brighton Opportunity Fund.

Under the terms of the Facility agreement, Brighton is committed
to making available A$4 million of equity funding to ISIS over
the three-year term of the agreement. Brighton Opportunity Fund
is a US registered investment fund based in California, USA.

The Facility agreement provides that, at the Company's
discretion, Brighton can be required to subscribe for ordinary
fully paid shares in the capital of the Company from time to
time, subject to limits on the subscription amount in respect of
each tranche. All funds invested in ISIS by Brighton will be as
equity in the form of ordinary shares. The Facility does not
involve any debt funding. Shares may only be issued under the
Facility in accordance with the Australian Stock Exchange (ASX)
Listing Rule 7.1.

The purpose of the Facility is to enable the Company to tap
additional funds as may be required for working capital purposes
to fund the further growth of its core broadcast media services
and education business units.

In February this year the Company announced the launch of the
only fully dedicated, high definition post-production studio in
Australasia. The Sydney based facility, known as ICON Kotij, is
a new business unit of ISIS Broadcast Media Pty Ltd which
services the film, television and advertising industries.

The Company's school-focused multimedia education business unit,
XSIQ, now has a full suite of content developed for both primary
and secondary levels. XSIQ is now installed in 90 Australian
schools compared with 5 schools 12 months ago. The Tasmanian
Catholic Education Office also has purchased XSIQ licenses for a
large group of their schools in Hobart and Launceston.

The Company's majority owned language learning software
business, Planet Learning Pty Ltd has been expanding its reach
in China with its Planet English program through its
distributor, Australian International Educational Resources Pty
Ltd. Other distributors are in place for the Hong Kong, South
Korean and Malaysian markets and appointments for other markets
are under review. Planet English software currently has 11,600
registered student users and this number is expected to exceed
30,000 by the year-end.

The amount of the funds committed by Brighton may be increased
beyond the current A$4 million limit at a future date, however,
any such increase will be subject to the condition of the
financial markets at the time, the requirements of ISIS, and the
consent of Brighton.

The Facility is subject to other terms and conditions including
that their being no material adverse changes in the Company or
market conditions during the term of the Facility.

Any queries with respect to the Facility should be directed to
Alan Humphris, Finance Director, on (02) 8295 2250.


MTM ENTERTAINMENT: Babcock & Brown Changes Holding
--------------------------------------------------
Babcock & Brown Group increased its relevant interest in MTM
Entertainment Trust on 29 June 2001, from 19,073,646 ordinary
units (23.84 percent) to 23,791,960 ordinary units (29.74
percent).


MTM ENTERTAINMENT: Babcock & Brown To Provide Liquidity Package
---------------------------------------------------------------
This statement is a supplementary statement and supplements the
Bidder's Statement lodged by Sunderton Pty Ltd (Sunderton) for
the purchase of all of the units in the MTM Entertainment Trust
(MTM) lodged with the ASIC on 21 May 2001.

There has been one previous supplementary statement lodged with
ASIC on 7 June 2001 in relation to the bid. This statement is to
be read together with the statement it supplements and any
previous supplementary statements.

This supplementary statement supplements the Bidder's Statement
by providing the following information.

Interim Liquidity Package

Babcock & Brown Pty Limited as nominee for Babcock & Brown Lease
Management Services Partnership (Babcock & Brown) has agreed to
provide an interim liquidity package to MTM and MTM has accepted
the liquidity package. Babcock & Brown's liquidity package is
subject to a number of conditions as set out in the attached
terms sheet in Schedule 1.

Macquarie Bank has agreed to an extension of the existing
facility, subject to the Babcock & Brown liquidity package and
otherwise on the terms and conditions set out in the attached
term sheet in Schedule 2.

Provided all documentation is completed by 5 July 2001, and if
the conditions of the liquidity package have been met, then:

   * Sunderton will declare its takeover offer for MTM
unconditional on
5 July;

   * Babcock & Brown will agree that no success fee is payable
by MTM to Babcock & Brown;

   * Sunderton will exercise rights it has to acquire the shares
in and take control of MTM Funds Management Limited.

Purported Termination Of Lease

Sunderton has become aware that Hoyts has purported to terminate
its $425,000 per annum lease obligation at the South Bank
convention and cinema complex in Brisbane. MTM has disputed the
validity of the termination.

Letter From Babcock & Brown to:

MTM Funds Management Limited (MTM)
MTM Entertainment Trust (MME)

Attached is an Indicative Term Sheet (B&B Term Sheet) from
Sunderton Pty Limited (Sunderton) and Babcock & Brown Securities
Pty Limited (B&B). As an annexure to the B&B Term Sheet is a
copy of an Indicative Term Sheet ("MBL Term Sheet") from
Macquarie Bank Limited.

Sunderton and B&B confirm that they offer to make the Loan,
underwrite the Rights Issue and otherwise perform their
obligations, on the terms and conditions of the B&B Term Sheet.

You should note that the obligations of Sunderton and B&B are
subject to the Conditions Precedent. Those Conditions Precedent
are for the benefit of Sunderton and B&B only.

If you wish to accept the offer of B&B and Sunderton, you may do
so by signing the attached copy of this letter in the space
provided and returning to B&B. If you accept that offer, each of
us will immediately have the legally binding obligations
contemplated by the B&B Term Sheet. We note that any acceptance
by MTM will bind it only in its capacity as responsible entity
to MME and not in its personal capacity.

We look forward to working with you to complete the transactions
contemplated by the B&B Term Sheet.

R Topfer

The terms and conditions of the attached B&B Term Sheet are
agreed and accepted by MTM Funds Management Limited (as the
responsible entity for the MTM Entertainment Trust)

N Miles

A. Loan

   1. Subject to the Conditions Precedent (below), Babcock &
Brown Securities Pty Limited (B&B) will lend MTM Funds
Management Limited, as the responsible entity for the MTM
Entertainment Trust, (MME) up to A$2,000,000 (Loan) to meet
interest payments under the existing A$37,500,000 facility
provided by Macquarie Bank Limited (MBL) to MME (MBL Facility).

B&B will only be required to provide such funds where MME can
demonstrate that it does not have sufficient funds from its own
resources to meet interest payments due under the MBL Facility
taking into account its other liabilities and prudent working
capital requirements. B&B will be provided with complete access
to the books and records of MME.

   2. B&B will receive the following security for all amounts
outstanding under or in relation to the Loan:

      * B&B will be secured by the existing security supporting
the MBL
Facility.

      * Subject to the following, B&B will enter into credit
arrangements with MBL, such that it is second ranking to amounts
outstanding under the MBL Facility.

      * B&B will be first ranking in relation to the first $2.5
million of the Rights Issue (see below) proceeds.

   3. The interest rate applicable to outstandings under the
Loan will be 8 percent pa monthly in arrears. The default rate
will be 11 percent per annum.

   4. All amounts outstanding under the Loan will be repayable
on the earlier of the repayment date of the MBL Facility and 31
December 2001.

   5. The Events of Default applicable to the Loan will be:

      * non payment of any monetary amounts to B&B;

      * MBL Facility acceleration.

   6. The fees and costs applicable to the Loan will be:

      * an up front fee of $150,000 payable on the earlier of
the date of first drawdown and 30 July 2001;

      * an undrawn fee of 2 percent pa on the undrawn amount of
the Loan;

     * all third party costs and expenses will be to MME's
account

B. MME Rights Issue

   7. MME must immediately announce and proceed with an
underwritten pro rata renounceable rights issue of not less than
A$7,000,000 within 30 days of the close of the current Sunderton
Takeover Offer. The issue price under the Rights Issue will be
$0.265 per unit.

   8. B&B will underwrite up to A$7,000,000 of the Rights Issue,
at the issue price of $0.265 per unit.

   9. B&B will be paid an underwriting fee of $400,000 payable
on the earlier of receipt by MME of the Rights Issue proceeds
and 30 October 2001. MME will meet all B&B's third party costs
in relation to the Rights Issue.

   10. The proceeds of the Rights Issue shall be applied as
follows:

      * up to A$2,500,000 to B&B in repayment of the Loan;

      * A$2,500,000 to prepay MBL Facility;

      * the balance, to working capital.

   11. MME will use its best endeavors to have the units issued
pursuant to the Rights Issue listed on the ASX, if MME is then
listed.

C. Conditions Precedent

   12. The obligations of B&B in relation to the Loan are
subject to the following conditions precedent being satisfied to
the reasonable satisfaction of B&B:

      * extension of the MBL Facility as contemplated by the
attached
Indicative Term Sheet;

     * execution of documentation in relation to the Loan
(including security), the Rights Issue and the extension of the
MBL Facility in a form and substance reasonably satisfactory to
B&B;

     * Inanda Associates Pty Limited and Multiplex Constructions
Pty Limited, each agree in writing with Sunderton that the
"Purchase Price" as defined) payable under its Option Deed with
Sunderton, in relation to the issued capital of MTM Funds
Management Limited (Option Deed), is, in each case, A$800,000.

    * Multiplex confirming in writing that subject to Sunderton
exercising the Inanda Associates Option Deed, it will use its
reasonable endeavors to assist Sunderton in appointing its
nominees to the board or MTM Funds Management Limited;

    * in the reasonable opinion of B&B, there is no material
adverse change in the financial position or prospects of MME
prior to execution of the documentation referred to above; and

    * no regulatory authority (including the ASIC) has notified
Sunderton, B&B, Multiplex, Inanda or MME (or any of their
directors) that it is investigating or proposes to take any
action in relation to any matter in connection with the
Sunderton Takeover Offer for MME, the Loan or the Rights Issue
or where such authority has given such notice, B&B is reasonably
satisfied that no action will be taken in relation to such
notice.

   13. The obligations of B&B in relation to the underwriting of
the Rights Issue are subject to the following conditions
precedent being satisfied to the reasonable satisfaction of B&B:

      * in the reasonable opinion of B&B, there is no material
adverse change in the financial condition or trading position of
MME prior to the books closing date for the Rights Issue;

      * the conditions precedent in relation to the Loan having
been satisfied.

D. Documentation

   14. B&B, MME and MBL will each use their reasonable endeavors
to document the Loan (including security), the Rights Issue and
the extension to the MBL Facility as contemplated by this
Indicative Term Sheet by not later than 5 July 2001.
Notwithstanding a failure to execute such documentation, by the
relevant time, this Indicative Term Sheet will be binding on
MME.

   15. The third party costs in relation to that documentation
shall be to the account of MME.

E. B&B Undertakings

   16. Provided the documentation referred to in 14 is completed
by 5 July 2001 and, as at that date, the Conditions Precedent
have been satisfied B&B and Sunderton undertake as follows:

      * Sunderton will have extended the date for acceptance of
its takeover offer of MME to at least 1 August;

      * Sunderton will on 5 July 2001 declare its takeover offer
for  MME unconditional;

      * B&B will, on or before 5 July 2001, acknowledge that the
Success Fee payable by MME to Babcock & Brown Pty Limited is not
payable in any circumstances;

      * the Purchase Price paid by Sunderton under each Option
Deed will not exceed A$800,000;

      * Sunderton will, on or before 5 July 2001, exercise its
rights under the Inanda Associates Option Deed and will seek to
appoint a majority of its nominees on the board of MTM.

Facility To MTM Entertainment Trust: Request For Extension

We refer to our recent discussions and are pleased to offer you
an extension of the existing Syndicated Facility provided to you
as responsible entity of the Trust (the Existing Facility) on
the terms and conditions set out below.

Terms used in this letter have the same meaning as applicable to
them in the Existing Facility.

In addition:

Unconditional Requirements means the occurrence of each of the
following:

   (a) The declaration on or before 5 July 2001 by Sunderton Pty
Ltd (Sunderton) that its takeover offer for the Trust is
unconditional;

   (b) The exercise of the put or call option entered into by
Sunderton in relation to the shares held by Neville Miles and
Simon Tripp (or entities associated with them) in the capital of
MTM Funds Management Ltd and the completion of the transfer of
such shares to Sunderton by 10 July 2001; and

   (c) The exercise of Sunderton's right to appoint a majority
of directors of the board of MTM Funds Management Limited by 30
July 2001.

Babcock & Brown Funding Arrangements means the provision of a
loan facility up to an amount of $2,000,000 by Babcock & Brown
Securities Pty Ltd to the Trust to be secured by second ranking
securities over the assets of the Trust. These arrangements are
to be subject to satisfactory priority documentation with the
Security Trustee.

Rights Issue means a rights issue in relation to units in the
Trust, to be implemented within 30 days of the close of the
takeover offer by Sunderton of the Trust, to raise not less than
$7 million which is to be applied in repayment of the Babcock &
Brown Funding Arrangements, the payment of $2.5 million to the
Bank in permanent reduction of the Facility and with the balance
being retained by the Trust for working capital purposes.

1. Term:

The term of the Existing Facility is to be extended to 31
December 2001.

2. Amount Of The Facility:

Subject to paragraph 3, the Facility Limit is to remain at
$37,500,000 (being the limit of the Existing Facility). In other
words, there is to be no increased funding provided.

3. Interest:

The Interest Rate applicable to the Facility, as from 1 July
2001, will be the sum of the Bank Bill Rate for the relevant
Interest Period and 3% per annum.

The Default Rate from 1 July 2001 will be the rate per annum
which is the sum of 6 percent per annum and the Bank Bill Rate
for the Default Interest Period.

The Bank will allow interest accruing on the Existing Facility
since the last Interest Payment Date up to 5 July 2001 to be
capitalized and added to the Principal Outstanding. The Interest
Rate applicable to such interest will, up to 30 June 2001, be
the Interest Rate applicable to the Existing Facility up to 30
June 2001 and, from 1 July 2001, will be the rate referred to
above.

Any amount in excess of the Facility Limit of $37,500,000 must
be repaid to the Bank no later than 5 July 2001. Failure to do
so will be an Event of Default and the restrictions in paragraph
8 of this letter will not apply.

4. Fees:

An Extension Fee of $200,000 is payable, of which $75,000 is
payable upon acceptance.

Should the Unconditional Requirements be satisfied, the Bank
agrees to waive the payment of the balance of the Extension Fee
provided that if the Facility is not refinanced by 30 September
2001, the balance of the Extension Fee will be payable on 1
October 2001.

Should the Unconditional Requirements not be satisfied, the
balance of the Extension Fee will be payable on 1 August 2001.

5. Valuation:

The Bank requires all Security Properties to be revalued. This
revaluation must be on terms acceptable to the Lender and should
take account of the profitability of the current operations of
each property and consider whether or not alternative uses for
the property are more appropriate. The Bank is to be involved in
determining the instructions to be provided to the valuer and
such valuation must be addressed to the Bank and the Facility
Agent as well as to you as responsible entity of the Trust. The
cost of such valuation is to be borne by the Trust.

The valuations must be completed no later than 30 August 2001.

6. Investigative Accountants Report:

An Investigative Accountants Report is to be prepared for the
Bank to review the actual and projected financials of the Trust
so as to objectively determine the likely success of MTM Funds
Management Ltd in achieving forecast performance. It is proposed
that Ernst & Young be appointed to this role. The cost of such
report is to be borne by the Trust.

If the Unconditional Requirements are not satisfied, the Bank or
the Facility Agent may immediately instruct Ernst & Young to
carry out the review and provide the report. Should the
Unconditional Requirements be satisfied, the Bank/Facility Agent
will only request Ernst & Young to carry out the Report if the
Existing Facility is not refinanced in full by 30 September
2001.

7. Repayment:

All moneys (after payment of mediation and legal costs) payable
to the Trust as a result of any settlement reached with Force
Corporation in relation to the dispute concerning the Force
Entertainment Centre are to be paid to the Bank (or the Facility
Agent on its behalf) in permanent reduction of the Facility.

An amount of $2,500,000 raised from the Rights Issue must be
applied in permanent reduction of the Facility.

MTM Funds Management Ltd is to provide the Facility Agent with a
detailed schedule outlining the payments it intends to make in
reduction of the Existing Facility, demonstrating that the
Existing Facility will be repaid in full by 31 December 2001.
This detailed schedule must be provided no later than 30
September 2001 unless the Existing Facility is fully repaid on
or before that date.

8. Enforcement Of Security:

Should the Unconditional Requirements be satisfied, the Bank
agrees that, subject to the other terms of this letter, it will
not request the Facility Agent or the Security Trustee to call
an Event of Default under the Facility (other than in respect of
monetary default or the occurrence of an Insolvency Event in
relation to the Trust, MTM Funds Management Ltd or Sunderton Pty
Ltd) until 31 December 2001.

Should the Unconditional Requirements not be satisfied, neither
the Bank, the Facility Agent nor the Security Trustee will be
restricted in calling an Event of Default under the Existing
Facility or any Transaction Document for any existing or future
Event of Default.

9. Operational Arrangement

The Bank requires operating arrangements (reasonably acceptable
to the Bank) to be put in place in respect of the operation of
the Imax Cinemas no later than 30 September 2001.  MTM Funds
Management Ltd must keep the Bank fully informed as to the
formalization of operating arrangements.

10. Arrangements With Statutory Authorities

The Bank requires arrangements reasonably acceptable to the Bank
to be put in place by 30 September 2001 with Sydney Harbour
Foreshore Authority, Museum of Victoria and Southbank
Corporation to ensure continuation of ground leases and Step In
Rights Deeds in respect of the Sydney, Melbourne and Brisbane
Imax Cinemas. MTM Funds Management Ltd must keep the Bank fully
informed as to the liaison with and actions of each of the
statutory authorities.

11. Rights Issue

MTM Funds Management Ltd will use all reasonable endeavors to
effect and complete the Rights Issue on or before 30 September
2001 including, without limitation, the payment to the Bank of
$2,500,000 in permanent reduction of the Facility.

12. Review Of Events:

Should either of the requirements set out in paragraph 9 and 10
of this letter not be satisfied by 30 September 2001, a Review
Event will be deemed to have occurred entitling the Bank or the
Facility Agent to request the Borrower to satisfy the Bank that
appropriate arrangements will be put in place by 30 October
2001.

The Borrower must within five business days of receiving such
request satisfy the Bank that the appropriate arrangements will
be put in place 30 October 2001.

If the Bank is not satisfied with what is proposed the failure
to comply with either paragraph 9 or 10 of this letter will be
an Event of Default on 30 October 2001 and the Bank will be
entitled to request the Facility Agent or the Security Trustee
to call an Event of Default under the Facility notwithstanding
the restriction in paragraph 8 above.

Should the Babcock & Brown Funding Arrangements not be completed
by 5 July 2001, or Babcock & Brown do not underwrite the Rights
Issue, a Review Event will also be deemed to have occurred
entitling the Bank or the Facility Agent to request the Borrower
to satisfy the Bank that it will be able to comply with all of
the terms of the Facility for the duration of the term of the
Facility.

The Borrower must satisfy the Bank that it will be able to
comply with the terms of the Facility no later than 2 business
days after receiving the request to do so from the Bank or the
Facility Agent. If the Bank is not satisfied with the Borrower's
response or alternatively the Borrower cannot satisfy the Bank
that it will be able to comply with all of the requirements of
the Facility for the balance of the term of the Facility, the
failure to complete the Babcock & Brown Funding Arrangements by
5 July 2001 or the failure of Babcock & Brown to fully
underwrite the Rights Issue (as the case may be) will be an
Event of Default and the Bank will be entitled to request the
Facility Agent or the Security Trustee to call an Event of
Default under the Facility notwithstanding the restriction in
paragraph 8 above.

13. Other Terms:

The terms of the Existing Facility are to be amended
consistently with those previously negotiated with MTM Funds
Management Ltd in relation to the proposed arrangements with
Imax Corporation (except to the  extent that they are
inconsistent with the other terms of this letter).

14. Costs

All costs incurred by the Bank, Security Trustee and the
Facility Agent in negotiating and documenting the arrangements
set out in this letter are to be borne by the Trust.

15. Documentation:

Those that are usual for facilities of this nature, including
without limitation:

   (a) Due execution, stamping and registration of all documents
required to give effect to the terms of this letter;

   (b) Receipt by the Bank of such other documentation or
information as the Bank or its solicitors may reasonably
require; and

   (c) The documentation will reflect the matters set out in
this letter in addition to the existing terms and conditions of
the Facility loan and security documentation, as well as
customary provisions dealing with such matters as costs and
expenses.

The offer contained in this letter will expire on 30 June 2001
unless accepted or revoked prior to that date.  If you wish to
accept these general terms, please sign the attached copy of
this letter and return it to us together with $75,000 on account
of the Extension Fee referred to above and a letter from Babcock
& Brown Securities Pty Ltd addressed to both MTM Funds
Management Ltd and the Facility Agent confirming it will provide
the Babcock & Brown Funding Arrangements by 5 July 2001,
underwrite the Rights Issue and providing details of these
arrangements.  We require Sunderton to also acknowledge the
terms of this letter (as set out in the attached copy of this
letter).

       * * *

MTM Funds Management Ltd (as the responsible entity of the
Trust) hereby accepts the terms upon which the Bank will extend
the Existing Facility as set out in the above letter and agrees
to execute the documentation required to give effect to this
letter. We attach a Trust cheque in the amount of $75,000 in
payment of the Extension Fee referred to in point 4 above.

Sunderton Pty Ltd, as the bidder under a takeover offer of all
of the units on issue by the Trust and the issued shares of MTM
Funds Management Ltd, hereby acknowledges the terms upon which
the bank is prepared to extend the Existing Facility (as set out
above) and agrees that it will use its reasonable endeavors to
procure that MTM Funds Management Limited (as the responsible
entity of the Trust) and Trust Company of Australia Ltd (as the
Custodian of the assets of the Trust) enter into all such
documents as is necessary to give effect to the terms of the
above letter.


MTM ENTERTAINMENT: MTM Funds Lodges Target Statement With ASIC
--------------------------------------------------------------
Clayton UTZ announces that MTM Funds Management Limited, as
responsible entity of MME Tuesday lodged with ASIC a copy of a
Supplementary Target's Statement in response to the takeover bid
by Sunderton Pty Limited for all of the issued units in MME.

For queries call:

Michael Parshall                Eddy Goldsmith
PARTNER                         SOLICITOR
9353 4204                       9353 4603
mparshall@claytonutz.com        egoldsmith@claytonutz.com


MTM ENTERTAINMENT: Macquarie Extends Loan Facility To Dec 31
------------------------------------------------------------
This document is the Supplementary Target's Statement made by
MTM Funds Management Limited (MTM Funds), as responsible entity
of the MTM Entertainment Trust (MME) under Part 6.5, Division 4
of the Corporations Law on 2 July 2001 (Supplementary Target's
Statement) which supplements the Target's Statement dated 13
June 2001 lodged with the Australian Securities & Investments
Commission (ASIC) on 15 June 2001. This Supplementary Target's
Statement is to be read together with the Target's Statement.

MTM Funds wishes to update you in relation to matters in the
context of the takeover bid by Sunderton Pty Limited for all of
the units in MME. Terms in this document have the same meaning
as in the Target's Statement.

1. Funding of MME

   1.1 Macquarie Bank

       In its Target's Statement, MTM Funds stated that a credit
paper had been completed and submitted for credit approval by
Macquarie Bank to extend its $37.5 million loan facility which
was due to expire on 30
June 2001 and to seek an increase in the facility limit.

       While Macquarie Bank has not agreed to increase its
facility limit, Macquarie Bank has agreed to extend its facility
to 31 December 2001. This extension is subject to:

      * Sunderton declaring its takeover offer for MME
unconditional on or before 5 July 2001;

      * the exercise of the put or call option entered into by
Sunderton in relation to shares held by Inanda in the capital of
MTM Funds and the completion of the transfer of such shares to
Sunderton by 10 July 2001;

      * the exercise of Sunderton's right to appoint a majority
of directors to the board of MTM Funds by 30 July 2001; and

      * execution of formal documentation.

   The material terms of the Macquarie Bank extension are as
follows:

      * an extension fee of $200,000, including an up front fee
of $75,000;

      * interest payable at 3% over bank bill rate with a
default rate of 6 percent over bank bill rate; and

      * repayment to Macquarie Bank of $2.5 million from the
proposed rights issue by MME (Rights Issue) (see paragraph 2
below).

   The terms of the Macquarie Bank extension are set out in
Schedule 1 to this document.

   1.2 Babcock & Brown Interim Liquidity Package

      Babcock & Brown, as nominee for Babcock & Brown Lease
Management Services Partnership, intends to lend MME up to $2
million solely to meet interest payments under MME's loan
facility with Macquarie Bank (Liquidity Package).

      MME accepted the Liquidity Package to ensure that it has
sufficient funds to cover ongoing operations following Macquarie
Bank's refusal to provide additional funding under its existing
debt facility.

  The Liquidity Package is subject to a number of conditions
including:

      * Approval of the terms of the extension of the Macquarie
Bank loan facility;

      * Agreement that the exercise price payable to each of
Inanda and
Multiplex under their MTM Options is reduced by $550,000 each;

      * no material adverse change in the financial position or
prospects of MME prior to execution of the documentation for the
Liquidity Package;

     * no regulatory authority intervening in relation to
Sunderton's takeover offer for MME, the Liquidity Package or the
Rights Issue; and

     * execution of binding documentation in relation to the
Liquidity
Package on or before 5 July 2001.

   The terms of the Liquidity Package are set out in the
attached letter and term sheet in Schedule 2 to this document
including an upfront fee of $150,000 payable on the earlier of
drawdown and 30 July 2001.

Consequences Of Liquidity Package

Provided all documentation for the Liquidity Package is
completed by
5 July 2001, and if the conditions of the Babcock & Brown
Liquidity
Package have been satisfied, then:

   * Sunderton will declare its takeover offer for MME
unconditional on
5 July 2001;

   * Babcock & Brown will agree that no success fee is payable
by MME to Babcock & Brown under the Babcock & Brown Mandate (see
paragraph 3.1 of the Target's Statement);

   * Sunderton will exercise its rights under the MTM Options to
acquire the shares in MTM Funds held by Inanda and take control
of MTM.

This will satisfy a number of the conditions of Macquarie Bank
(see 1.1 above).

2. Rights Issue

   2.1 Terms and Timing

      Under the Liquidity Package, MME undertook to proceed with
an underwritten renounceable Rights Issue of Units of not less
than $7 million within 30 days of the closing date of
Sunderton's takeover offer. The offer price under the Rights
Issue will be $0.265 per Unit, being the closing price of Units
on the ASX on the business day prior to Sunderton's takeover
announcement.

      Babcock & Brown will underwrite the Rights Issue at the
offer price and will receive an underwriting fee of $400,000.

      Further terms of the Rights Issue are set out in Schedule
2 to this document.

   2.2 Consequences of Rights Issue

      Unitholders who have not accepted Sunderton's takeover
offer will be diluted if they do not take up their rights under
the Rights Issue.

      The proceeds of the Rights Issue will be used to repay
Babcock &
Brown up to $2.5 million, reduce the Macquarie Bank facility by
$2.5 million and the balance will be available for working
capital of MME.

3. Status of Offer

   3.1 Extension of offer period

      Sunderton has announced that it has extended the offer
period under its takeover bid to 8 August 2001.

   3.2 Conditionality of Offer

      As mentioned in 1.3, if the conditions to the Liquidity
Package are completed on or by 5 July 2001, Sunderton will
declare its takeover
offer unconditional.

4. Hoyts

In another development, Hoyts has purported to terminate its
$425,000 per annum lease obligation at the South Bank convention
and cinema complex in Brisbane.

MME disputes the entitlement of Hoyts to terminate the lease and
does not accept Hoyts allegations that MME has repudiated the
lease.

5. Formal matters

   5.1 Approval

      This Supplementary Target's Statement was approved by a
resolution passed by the Directors of MTM Funds at a Board
Meeting on 2 July 2001 on and was lodged with ASIC on 3 July
2001. Messrs Roberts and Corcoran absented themselves from the
Board Meeting to approve this Supplementary Target's Statement.

   5.2 Responsibility

      Although named in this document, none of ASIC, Inanda,
Multiplex, Macquarie Bank, Babcock & Brown, Sunderton or Hoyts
has authorized the issue of this document nor takes any
responsibility for the contents of this document or any of the
documents set out in the schedules to this document.


NORMANS WINES: Merger Restructuring Extended
--------------------------------------------
The Heads of Agreement, announced on 26 June 2001, for
restructuring the merger of Normans and Xanadu has been extended
to 6 July 2001.

Both parties continue to work together to achieve a positive
outcome.


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


CIL HOLDINGS: Goddwins Issues Writ
----------------------------------
The Board of Directors of CIL Holdings Limited said that on 27
June 2001, a writ was issued against the Company and Collections
International Limited, a wholly owned subsidiary of the Company,
by Goodwins Properties Group Ltd.

As part of the security for a loan of HK$4,000,000 (the Loan)
granted to the Company by Power Forward Finance Limited,
Goodwins and Collections entered into a share mortgage, charging
their interests in Nanning Haiqi Real Estate Development Co.
Ltd. (the Joint Venture Company, a jointly owned entity of the
Company) in favor of Power Forward Finance Limited to secure the
obligations of the Company. Goodwins and Collections
respectively hold 47.3 percent and 52.7 percent of the Joint
Venture Company.

Pursuant to a deed of indemnity dated 11 November 2000, the
Company and Collections agreed to indemnify Goodwins against all
actions and costs arising out of the Share Mortgage. Action was
commenced by Power Forward Finance Limited against the Company,
Collections and Goodwins and on 14 May 2001, judgment was
granted that the Company, Collections and Goodwins pay Power
Forward Finance Limited HK$4,000,000 together with interest.

As a result, Goodwins alleged that it has suffered loss and
damages of HK$4,000,000 being the Loan amount and HK$47,000,000
being the alleged investment by Goodwins into the Joint Venture
Company. However, as far as the Company is aware, Power Forward
Finance Limited has not enforced its rights under the Share
Mortgage as at the date of this Announcement.

On 27 June 2001, a writ (the Second Writ) was issued against the
Company, Joseph Szeto and Peter Ho, by China Gold Finance
Limited.

It was alleged in the Second Writ that the Company was indebted
to China Gold for a sum of HK$40,000,000 (plus interest of
approximately HK$29 million) which was incurred by the Company
pursuant to a loan agreement dated 30 April 1999 between the
Company and China Gold. The HK$40,000,000 was guaranteed by Mr.
Joseph Szeto and Mr. Peter Ho in favor of China Gold pursuant to
loan guarantee dated 30th April, 1999.

As disclosed in the announcement by the Company dated 8 June
2001 and save for the First Writ and the Second Writ disclosed
above there are currently a number of legal proceedings against
the Group companies which involve HK$88,875,000 approximately to
the best knowledge of the Board and there are currently disputes
and legal or arbitration proceedings between the Group Companies
and its ex-employees.

The Company intends to rigorously dispute the allegations under
the First Writ and the Second Writ and is seeking independent
legal advice. Further announcement will be made in relation to
the First Writ and the Second Writ as and when appropriate.

The directors of the Company note the recent increase in the
trading volume of the shares of the Company and wish to state
that they are not aware of any reasons for such increase, save
as disclosed above.

This statement is made at the request of The Stock Exchange of
Hong Kong Limited. The directors of the Company confirm that
they are not aware of any matter discloseable under the general
obligation imposed by paragraph 2 of the Listing Agreement,
which is or may be of a price-sensitive nature.


CLIMAX INT'L: Lim Resigns As Director
-------------------------------------
The Board of Directors of Climax International Company Limited
revealed Lim Bin Hua resigned as executive director of the
Company with effect from 1 July 2001.

The Directors would like to thank Lim for his valuable
contribution to the Company during his service, Company
Secretary Tong Man Ching says.

Financial year of 2000/2001 was another difficult and yet
challenging year for the Company and the Group. On the one hand,
it had to face severe competition in the industry under the
sluggish global markets and on the other hand, it was also
haunted by the unstable position under the long dragging process
of debt restructuring in the past two years.

However, with the determination of the management, the Group
successfully managed to overcome such extreme difficulties.
Therefore, even under the pressure of stringent operating
resources, the Group's sales recorded only a slight drop of 6.5
percent to HK$305 million for the year.

In order to secure for a better cash position, the Group was
directed to accept orders even at a lower profit margin. Gross
profit thereby reduced HK$27.5 million to HK$44.9 million this
year.

Operating loss improved by HK$6.5 million from HK$11.6 million
to HK$5.1 million as a result of a series of cost control
measures implemented during the year.

Cost Control

Such measures included the strict implementation of a cost
saving program that aimed at lowering administration cost,
streamlining the management team and staff to improve overall
productivity.

In October 2000, the Group shifted its printing operation to its
existing production facilities in China from its headquarter in
Tai Po Industrial Estate which had been disposed to reduce bank
debt.

In February 2001, the Group consolidated its production plants
from three to two in China.

The cost controlling is an ongoing process. The emphasis in the
coming year is the price negotiation with raw material suppliers
and identification of new suppliers, which is expected to result
in cost reductions for certain raw materials by margin of 5
percent to 60 percent.

With the successful completion of the bank debt restructuring
agreement on 11 January 2001, interest expenses for the year
reduced substantially by HK$15.4 million to HK$27.5 million and
is expected to reduce further to a much lower level in the
coming year owing to the scheduled repayments of the bank debts.

Net loss for the year improved by HK$18.4 million to HK$32.8
million.


FULBOND HOLDINGS: Chan Named As New Independent Director
--------------------------------------------------------
Fulbond Holdings Limited announces Chan Ting Fung has been
appointed as an independent non-executive director of the
Company. Cheung Yuk-Leung has resigned as an independent non-
executive director of the Company, effective 29 June 2001.


FULL HONEST: Winding Up Petition Set For Hearing
------------------------------------------------
The petition to wind up Full Honest Trading Limited is set for
hearing before the High Court of Hong Kong on August 8, 2001 at
9:30 am. The petition was filed with the court on May 30, 2001
by Kwong Wai Hung of Room 506, 5th Floor, Ting Tai House, On
Ting Estte, Tuen Mun, New Territories, Hong Kong.


GREAT CHANCE: Winding Up Petition To Be Heard
---------------------------------------------
The petition to wind up Great Chance Holdings Limited is set for
hearing before the High Court of Hong Kong on July 11, 2001 at
9:30 am. The petition was filed with the court on May 15, 2001
by Sin Hua Bank Limited, Hong Kong Branch whose principal place
of business is situated at 2A Des Voeux Road Central, Hong Kong.


GREAT GIANT: Faces Winding Up Petition
--------------------------------------
The petition to wind up Great Giant International Development
Limited will be heard before the High Court of Hong Kong on July
11, 2001 at 9:30am. The petition was filed with the court on May
11, 2001 by The National Commercial Bank, Limited whose
registered office is situated at 1-3 Wyndham Street, Central,
Hong Kong.


INFOSTAR INVESTMENT: Winding Up Petition Scheduled
--------------------------------------------------
The petition to wind up Infostar Investment Limited is scheduled
for hearing before the High Court of Hong Kong on July 11, 2001
at 9:30 am. The petition was filed with the court on May 14,
2001 by The China & South Sea Bank, Limited Hong Kong Branch
whose principal place of business is situated at 136 Des Voeux
Road Central, Hong Kong.


PACIFIC CENTURY: Lodges Annual Report With US SEC
-------------------------------------------------
Pacific Century CyberWorks Limited (PCCW) announces that on July
2, 2001 it filed its annual report on Form 20-F with the United
States Securities and Exchange Commission (SEC) in accordance
with the requirements of the United States securities laws. As
the disclosure requirements of United States securities laws
differ from those of Hong Kong, which is where the Company has
its primary listing, certain information included in the
Company's annual report on Form 20-F has not previously been
announced by the Company for the general information of the
Company's shareholders and public investors.

In particular, certain financial information of the Company and
its subsidiaries for the year ended December 31, 2000 included
in the Form 20-F has been reconciled to generally accepted
accounting principles in the United States, which differs in
certain significant respects from accounting principles
generally accepted in Hong Kong.

The most significant of these differences include (a) the
accounting for the Company's merger with PCCW Properties that
was completed in August 1999 and was required to be reflected as
a reverse merger under US GAAP; (b) the Company's acquisition of
HKT, in particular the requirement to consolidate its interests
in HKT Group's IP Backbone Business and Hong Kong wireless
business until the completion of the Telstra Alliance in
February 2001 under US GAAP; (c) the requirement for the Company
to recognize goodwill as an asset for US GAAP and amortize the
value over its expected useful life in contrast to charging
goodwill directly to shareholders' reserves as allowed under HK
GAAP for transactions completed prior to January 1, 2001; (d)
the requirements for marking-to-market derivatives and trading
securities under US GAAP; and (e) the requirement under US GAAP
to measure assets acquired in exchange for the Company's options
based on the fair value of those options.

Introduction

As a result of the Company's acquisition of Cable & Wireless HKT
Limited in August, 2000, the Company's shares, in the form of
American Depositary Receipts (ADRs), were listed on the New York
Stock Exchange. The Company became subject to certain filing
requirements under the securities laws of the United States. In
accordance with those requirements, on July 2, 2001 the Company
filed its annual return on Form 20-F with the SEC.

As the disclosure requirements of the US securities laws differ
from those of Hong Kong, which is where the Company has its
primary listing, certain information included in the Company's
annual report on Form 20-F has not previously been announced by
the Company for the general information of the Company's
shareholders and public investors.

The Company wishes to announce certain information for the
general information of the Company's shareholders and public
investors.

Extracts From Form 20-F

The following is extracted and summarized from the Form 20-F and
the exhibits thereto filed with the SEC.

Our primary financial statements have been prepared in
accordance with HK GAAP, which differ in certain significant
respects from US GAAP. Following is a summary of the Group's
major balance sheet captions under HK GAAP compared to the
corresponding balances under US GAAP as of December 31, 2000 and
1999.

                          HK GAAP               US GAAP
As at Dec 31,         2000        1999      2000        1999
                            (all in HK$'000)

Total assets         69,317      13,911    242,635  25,673
Net (liabilities)/assets (14,133) 11,356   146,616  22,142
Minority interests   723         5  723  5
Share capital       1,094       453  1,094  453
(Deficit)/reserves  (15,950)   10,898  144,799  21,684
Shareholders' equity  (14,856)  11,351  145,893  22,137

The following table summarizes the effect on shareholders'
equity of the differences between HK GAAP and US GAAP.
                                       Notes        December 31,
2000 1999
(in HK$'000)

Shareholders' equity as reported under HK GAAP  (14,856)  11,351
US GAAP adjustments:
-- Reverse acquisition accounting for Tricom (b) 189  189
-- Goodwill and intangible assets  (d), (e), (n) 159,605  5,271
-- Accumulated depreciation on investment property
                                             (g) (153)  (50)
-- Investments in derivatives and investment securities
   (f) 602  5,149
-- Property revaluation reserve  (g) (342)  (123)
-- Retirement scheme costs  (j) 64  --
-- Share option scheme  (l) 885  350
-- Deferral of up-front fees  (k) (94)  --
-- Deferred taxes  (i) (80)  --
-- Share options granted to non-employees      (11)  --
-- Others       84  --
   160,749  10,786
Shareholders' equity under US GAAP   145,893  22,137

The following table summarizes the adjustments considered
necessary to restate profit attributable to shareholders (net
income) to US GAAP giving effect to significant differences
between HK GAAP and US GAAP.

                           Notes       Year ended December 31,
                                       2000     1999       1998
                                    (all in HK$'000 except per
share
                                          and per ADS data)

Profit (loss) attributable to
shareholders as reported under HK GAAP  (6,907) 347      (62)
US GAAP adjustments:
-- Reverse acquisition
accounting for Tricom  (b) --       17       92
-- Amortization of goodwill
and
intangibles        (b), (c), (d), (e) (4,051)  (231)    (3)
-- Provision for impairment of
goodwill and intangibles  (n)      (4,364)    --       --
-- Depreciation of investment
property  (g)       (103)    (50)     (17)
-- Mark-to-market of
derivatives
and marketable securities  (f)        1,648    (1,422)   --
-- Retirement scheme costs  (j) 57       --       --
-- Employee share option
scheme  (l)         (392)     (50)    --
-- Deferral of up-front fees (k) (94)      --      --
-- Deferred taxation  (i) (80)      34      --
-- Non-employee share options (m)      (401)      --      --
-- Others    116      --      --
Profit (loss) attributable to
shareholders under US GAAP            (14,571)  (1,355)   10
Earnings (loss) per share
under US GAAP
Basic  (93.82) cents (21.41) cents  0.20
cents
Diluted             N/A     N/A  0.20 cents
Earnings (loss) per ADS
under US GAAP*
Basic  (938.20) cents (214.10) cents 2.00
cents
Diluted    N/A    N/A 2.00 cents

* One ADS is equivalent to 10 Shares.

(a) Accounting for subsidiaries under temporary control

   Under HK GAAP, and in light of the then planned Telstra
Alliance, the Group's control over its interests in HKT Group's
IP Backbone Business and Hong Kong wireless business was
intended to be temporary, and accordingly, the Group did not
consolidate the subsidiaries that operated these businesses.
Under US GAAP, the application of accounting principles with
regard to temporary control is restricted to those circumstances
that lie outside of the Group's control, except in specific
situations wherein the disposal of an entire subsidiary is
contemplated at the time of acquisition in a business
combination. Accordingly, the Group is precluded from excluding
these businesses from its consolidation under US GAAP until the
completion of the Telstra Alliance in February 2001.

   As a result of this difference, the Group's consolidated
assets and liabilities as of December 31, 2000, and operating
revenues and expenses for the year ended December 31, 2000
reported under US GAAP are significantly higher than the
corresponding amounts reported under HK GAAP.

   Following completion of the Telstra Alliance, the Group will
present its respective interests in the Telstra Alliance joint
ventures under US GAAP using the equity method of accounting.
Accordingly, a fundamental change will occur from February 2001
in the presentation of the Group's financial results in
accordance with US GAAP, including (i) the de-consolidation of
individual categories of assets and liabilities to reflect such
amounts as part of the investment in each business under the
one-line equity method, and (ii) the exclusion of separate
categories of revenues and expenses for these businesses,
reflecting such amounts as equity in earnings of associates
based on the Group's economic interest in each business.

(b) Accounting for reverse acquisitions

   Under HK GAAP, there was no specific guidance on reverse
acquisition accounting. The common practice was for the
accounting treatment to follow the legal treatment, i.e. the
legal acquirer is treated as the accounting acquirer. The legal
acquirer applies the purchase method to the separable assets,
including goodwill, and liabilities of the target company and
accordingly, such assets and liabilities will be carried at
their fair values in the consolidated financial statements of
the combined enterprise. The assets and liabilities of the legal
acquirer are recorded at their historical carrying values in the
consolidated financial statements of the combined enterprise.

   Under US GAAP, when control of the combined enterprise passes
to the owners of the target company whose shares have been
acquired, the target company is considered the "accounting
acquirer". In these circumstances, the legal acquirer is
treated, for accounting purposes, as the target company. The
accounting acquirer applies the purchase method of accounting to
the separable assets, including goodwill, and liabilities of the
legal acquirer. The assets and liabilities of the accounting
acquirer are recorded at their historical carrying values in the
consolidated financial statements of the combined enterprise.

   As a result of PCCW Properties' reverse acquisition of Tricom
under US GAAP in 1999, the reconciliation of the 1998 net income
from HK GAAP to US GAAP results in the elimination of Tricom's
historical results and the inclusion of the combined financial
results of PCCW Properties.

(c) Measurement date for the market price of acquirer securities

   Under HK GAAP, the value of the acquirer's marketable equity
securities issued to effect a purchase business combination is
determined on the effective date of the acquisition which is the
earlier of the date on which consideration passes or the date on
which an offer becomes or is declared unconditional.

   Under US GAAP, the value of the acquirer's marketable equity
securities issued to effect a purchase business combination
should be determined based on the earliest date, from the date
the terms of the acquisition are agreed to and announced to the
date of final application of the formula pursuant to the
acquisition agreement, on which subsequent applications of the
formula do not result in a change in the number of shares or the
amount of other consideration without regard to the need to
obtain shareholders' and regulatory approvals.

   The measurement date for the acquisition of HKT has been
determined for US GAAP to be May 25, 2000, the announcement date
confirming of the recommendation of the Scheme of Arrangement by
the HKT board and independent directors to its shareholders. The
use of this measurement date has resulted in a decrease in
goodwill for US GAAP purposes of HK$9,789 million.

(d) Accounting for goodwill

   Under HK GAAP, goodwill arising on the acquisitions of
subsidiaries, businesses, associated companies or jointly
controlled companies has been charged directly to reserves on
consolidation.

   Under US GAAP, the purchase consideration has been allocated
to the identifiable net assets acquired based on their fair
values, with any residual accounted for as an intangible asset
and amortized over the estimated period of benefits ranging from
ten years for Internet and technology businesses and up to 20
years for telecommunications businesses.

(e) Accounting for identifiable intangible assets

   In the Group's HK GAAP financial statements, identifiable
intangible assets have been limited to those assets that can be
identified and controlled, and for which the existence of future
economic benefits can be determined. In the event the criteria
cannot be met, identifiable intangibles are required to be
classified as a component of goodwill.

   Under US GAAP, identifiable intangible assets are required to
be determined separately from goodwill based on fair value.

   As of December 31, 2000, changes in circumstances indicated
that the carrying values of certain goodwill and intangible
assets, acquired in purchase business combinations and recorded
under US GAAP, were no longer recoverable. Management has
performed an assessment of these circumstances and provided for
impairments of those assets based on the excess of their
carrying value over the expected net cash flows to be derived
from those assets, or in the case of goodwill, based on
management's estimate of the business enterprise value less the
net assets as of the assessment date. Provisions for impairment
under US GAAP totaling HK$4,225 million for the year ended
December 31, 2000 are primarily associated with impairment of
goodwill on Business-to-Consumer segment operations acquired
prior to January 1, 2000.

(f) Investment in Marketable Equity Securities

   Under HK GAAP, investments in marketable equity securities
are classified as either investment securities or other
investments. Investment securities are included in the balance
sheet at cost less any provision for impairment. Provisions, if
any, are reversed to the income statement when the circumstances
and events that led to the provision ceasing to exist. Other
investments are carried at fair value in the balance sheet and
any unrealized holding gain or loss is recognized in the income
statement.

   Under US GAAP, investments in marketable equity securities
are classified as either available-for-sale or trading
securities. Trading securities are bought and held principally
for the purpose of selling them in the near term and, thus, held
for only a short period of time. Trading securities are carried
at fair value and any unrealized gains or losses are included in
net profit or loss for the period. Available-for-sale securities
are investments not classified as trading securities. Available-
for-sale securities are carried at fair value and any unrealized
gains or losses are reported as a component of comprehensive
income.

   If a decline in fair value of available-for-sale securities
is judged to be other than temporary, the cost basis of the
individual security shall be written down to fair value as a new
cost basis and the amount of the write-down shall be included in
earnings as a realized loss under US GAAP. The new cost basis is
not changed for subsequent recoveries in fair value. Subsequent
increases in the fair value (and subsequent decreases in fair
value, if not other-than-temporary) of available-for-sale
securities are included as a component of comprehensive income.

(g) Investment properties

   Under HK GAAP, investment properties are stated on the basis
of appraised values and depreciation is not provided. Under US
GAAP, investment properties are stated at historical cost less
accumulated depreciation.

(h) Impairment of long-lived assets

   Under HK GAAP, an impairment of long-lived assets is charged
to the income statement as an expense unless it reverses a
previous revaluation increase, in which case, it is charged
directly against any related revaluation reserve to the extent
the reduction does not exceed the amount held in the revaluation
reserve in respect of the same item.

   Under US GAAP, impairments of long-lived assets are charged
to the income statement as an expense if the total expected cash
flows or salvage value is less than the carrying value of the
asset, establishing a new cost basis. The new cost basis is not
changed for subsequent recoveries in fair value.

(i) Deferred income taxes

   Under HK GAAP, the Group provides for deferred taxes for
timing differences only to the extent that it is probable that a
liability or asset will crystallize in the foreseeable future.
US GAAP requires full provision for deferred taxes under the
asset and liability method on all temporary differences.

   For HK GAAP purposes, deferred taxes are provided using the
liability method whereby it is calculated using tax rates
estimated to be applicable when timing differences reverse.

   For US GAAP purposes, deferred tax assets and liabilities are
recognized for the expected future tax consequences of existing
differences between financial reporting and tax reporting bases
of assets and liabilities, and loss or tax credit carry forwards
using enacted tax rates expected to be in effect when these
differences are realized. Valuation allowances are recorded for
deferred tax assets for which it is more likely than not that
such assets will not be realized.

   Under HK GAAP, deferred income taxes are recognized in a
business combination to the extent that there is a reasonable
probability that an asset or liability will arise in the
foreseeable future.

   Under US GAAP, a deferred tax liability or asset is
recognized for differences between the assigned values and the
tax bases of the assets and liabilities except for goodwill that
is not deductible for tax purposes.

(j) Retirement scheme costs

   The Group's policy is that the regular cost of providing
retirement benefits is charged to the profit and loss account
over the service lives of the members of the schemes on the
basis of level percentages of pensionable pay. Variations from
regular cost arising from periodic actuarial valuations are
allocated to the profit and loss account over the expected
remaining service lives of the members. US GAAP requires
retirement scheme costs to be recorded in each accounting period
based on the cost of providing retirement benefits earned by
employees in that period.

   US GAAP requires the assignment of the purchase price in a
business combination to individual assets acquired and
liabilities assumed. This assignment shall include a liability
for the projected benefit obligation in excess of plan assets or
an asset for plan assets in excess of the projected benefit
obligation, thereby eliminating any previously existing
unrecognized net gain or loss, unrecognized prior service costs,
or unrecognized net obligation or net asset existing at the date
of acquisition.

   In conjunction with the acquisition of HKT, PCCW assumed
sponsorship of HKT's defined benefit plans.

(k) Revenue recognition

   Under HK GAAP, revenues are recognized when services are
provided, including up-front fees received for installation of
equipment and activation of customer service, among others.

   In December 1999, SEC issued Staff Accounting Bulletin (SAB)
No. 101, "Revenue Recognition in Financial Statements." SAB No.
101, applicable to financial statements prepared in accordance
with US GAAP, requires in certain cases, non-refundable up-front
fees for services to be deferred and recognized over the longer
of the contractual period or the expected customer relationship.
Under US GAAP, the Group amortizes these up-front fees over
periods up to 20 years.

(l) Share option scheme

   The Group follows the current practice in Hong Kong that no
accounting entry is made on grant of share options to employees.
Under US GAAP, compensation expense for share options is
recognized at the date of grant and amortized over the vesting
period. The amount of compensation expense is determined based
upon the excess, if any, of the quoted market price of the
shares over the exercise price of the options at the date of the
grant and is amortized over the vesting period of the option
concerned.

(m) Share options

   Under HK GAAP, share options issued for the provision of
goods and services are not recognized in the Group's financial
statements. Under US GAAP, the fair value of the share options
granted is recorded to reflect these transactions on a similar
basis as if such goods or services had been paid for in cash.

(n) Derivative instruments

Under HK GAAP, derivative instruments are not recognized in
financial statements.

Under US GAAP, derivative instruments not designated and
effective as hedges are reflected at their fair value with a
corresponding entry to consolidated income.

In 1999, the Group issued an option to the minority shareholder
of a subsidiary to enable the minority shareholder to exchange
its shares in the subsidiary for a fixed number of shares to be
issued by the Company. For US GAAP purposes, the transaction has
been reflected as if the acquisition of the minority interest in
a subsidiary operating in the Business-to-Consumer segment had
occurred at the date of grant. This instrument has been recorded
based on the fair value at the date of grant and purchase
accounting has been applied to allocate value to the net assets
acquired.


SMART VIEW: Hearing of Winding Up Petition Set
----------------------------------------------
The petition to wind up Smart View Trading Limited will be heard
before the High Court of Hong Kong Court on July 18, 2001 at
9:30 am.  The petition was filed with the court on May 21, 2001
by The National Commercial Bank, Limited Hong Kong Branch whose
principal place of business is situated at 1-3 Wyndham Street,
Central, Hong Kong.


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


BANK INTERNASIONAL: Bank Mandiri Takeover Likely
------------------------------------------------
Troubled PT Bank Internasional Indonesia is to be acquired by
state-owned PT Bank Mandiri, The Asian Wall Street Journal
reports Tuesday, citing Finance Minister Rizal Ramli though he
refused to give further details.

The government has been seeking ways to bail out the company.
Its exposure to Sinar Mas Group's cash-strapped Asia Pulp and
Paper (APP) kindles the company's financial distress. Around
US$1.75 billion are loaned to APP, which declared a debt
standstill on March on its US$13.4 billion borrowings.

The Indonesian Bank Restructuring Agency has agreed to rescue
the company, covering the US$1 billion loan to prevent it from
falling. But the company still suffered deficits over its
capital-adequacy ratio, which is 9.1 percent and could be much
lower if APP's loans are considered as nonperforming.

The idea of merging the company with the Mandiri came out last
week but analysts think that it would only transfer the dilemma
to the country's largest lender.


DHARMALA INTILAND: To Finalize Debt Workout This Year
-----------------------------------------------------
PT Dharmala Intiland (DILD), a property company under Dharmala
Group, announced after its general meeting of shareholders that
it would target completion of its debt restructuring plan for
this year, IndoExchange reported Monday.

"Such target is important to us so we can fully concentrate
again to develop the company," President Director Hendro S.
Gondokusumo said.

The debts restructured as of the moment are with the following
institutions:

     * With Indonesian Bank Restructuring Agency (IBRA)
amounting to Rp548 billion, interest rate excluded, but the rate
guaranteed was at least 125 percent of the company's debt.

  * With Bank Sumitomo Mitsui Indonesia. Summary of
Restructuring Structure
has been signed on October 5, 2000, value of $55 million with
the interest rate SIBOR + 2.5 percent, payable until December
31, 2005.

     * With Bank Panin, with total debt amounting to Rp61.6
billion, with time period until 2009.

The debt with IBRA involves PT Dharmala Intiland, PT Taman
Harapan Indah, PT Dharmala Land, PT Sinar Puspapersada, PT
Dharmasejahtera Sakti, PT Grand Interwisata and PT Grande Family
View. PT Dharmasejahtera Sakti and PT Grand Interwisata have
already paid their principal debts and rupiah cash debt on
December 2000 while PT Grand Interwisata's dollar-denominated
debts are novated to PT Taman Harapan Indah.

The company also reported a net earnings of Rp199.1 billion and
gross profits of Rp26.2 billion last year mainly from developing
housing sector, which comprises 72.11 percent, and the rest came
from office space rental, apartments, hotels, among others.

Net loss amounted to Rp274.3 billion mostly due to forex loss of
Rp242.7 billion.


=========
J A P A N
=========


CHOGIN NAGASAKI: Gets FRA Approval On Operation Plan
----------------------------------------------------
Failed credit union Chogin Nagasaki, which is under
administration, has won the approval of the Financial Services
Agency (FSA) to proceed with its planned operation handover to
Chogin Nishi in Okayama Prefecture, Kyodo News reported Tuesday.

The collapse of the credit union, which serves pro-Pyongyang
Korean businesses and residents in the local area, was
attributed to non-performing loans, the report says.

For the year ended March 31, Chogin Nagasaki suffered a net loss
of Y600 million, with a negative net worth standing at Y800
million and non-performing loans at Y800 million.


CHOGIN YAMAGUCHI: FSA Approves Handover
---------------------------------------
The Financial Services Agency (FSA) has given failed credit
union Chogin Yamaguchi the go-ahead to proceed with its planned
handover of operations to Chogin Nishi in Okayama Prefecture,
Kyodo News reported Tuesday, citing Chogin's administrators.

Nonperforming loans dragged the credit union to its collapse.

In October 1999, the union, together with four other failed
credit unions, entered into a deal which would call for the
handover of a healthy part of their operations to Chogin Nishi.

For the fiscal year ended March 31, Chogin Yamaguchi sustained a
net loss of Y6.8 billion, with a negative net worth standing at
Y57.7 billion and bad loans at Y63.1 billion.


NISSAN MOTOR: To Sell Stake In Exedy To Aisin Seiki
---------------------------------------------------
Nissan Motor Company intends to complete by early next month the
sale of its 23.4 percent stake in Japanese car parts maker Exedy
Corporation to the Aisin Seiki Company group, a parts supplier
affiliated with Toyota Motor Corporation, Dow Jones reported
Tuesday, citing a company disclosure.

The company did not divulge the sale price.

This planned sale is part of Nissan's "Revival Plan", which
involves, among others, restructuring and realignment aimed at
enhancing the company's supplier network competitiveness.

Aisin, for the year ended March 31, posted a group sales of
Y1.129 trillion.


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


CHO HUNG: Gov't To Dispose Of Stake
-----------------------------------
The government is selling its 30 percent stake in Cho Hung Bank
by end of this year to yield to management autonomy for the
bank, The Digital Chosun reported Tuesday, citing Cho Hung Bank
President Wee Sung-bok.

Under the disposal plan, the bank will repay a part of the money
the bank received through the debt rescheduling exercise
initiated by the government.

Apart from this, the bank is currently working to issue
depository receipts to draw foreign investors.


DAEDONG SHIPBUILDING: Hanjin Heavy To Take Over
-----------------------------------------------
Hanjin Heavy Industries and Construction has tendered a letter
of intent to KPMG regarding takeover of Daedong Shipbuilding
Company, the country's seventh largest shipbuilder, The Digital
Chosun reported Tuesday, citing a Hanjin official.

Daedong has been under court control, since it was declared
bankrupt resulting from its failure to settle heavy interest
payments on huge debt facilities opened at the height of the
Asian financial crisis in 1997.


HYNIX SEMICON: Completes Spin-Off Of Non-core Ops
------------------------------------------------
Hynix Semiconductor announced it has completed spinning off all
of its non-semiconductor operations. The company intends to
focus on its chip-making business, The Asian Wall Street Journal
reported Tuesday.

A total of 11 non-semiconductor operations have been spun off
since last year, while the sale of its thin film transistor
liquid crystal display (TFT-LCD) to its joint venture with
Beijing Orient Electric Group Company (China) and Cando
Corporation (Taiwan) is currently being finalized.

Assets to be disposed of in the second half of this year are
expected to fetch W600 million.


HYUNDAI ENGINEERING: Overdue US$100M In Bonds Remain Unpaid
-----------------------------------------------------------
Hyundai Engineering and Construction (HDEC) has failed to pay
its overseas bonds with warrant (BWs) worth US$100 million which
matured over the weekend, adding up to a total of US$50 million
in unpaid BWs, The Digital Chosun reported Tuesday.

In April, the ailing builder failed to make payments on US$50
million in BWs.


LG GROUP: Non-financial Units' Debt Stands At W35.74T
-----------------------------------------------------
The debts of LG Group's non-financial units now stand at W35.74
trillion, opposed to assets of W11.57 trillion, The Asian Wall
Street Journal reported Monday, citing Yonhap News Agency.

Moreover, in its consolidated financial statement, the group's
debt-to-equity ratio has tripled in 2000. It had more than
doubled in the previous year, according to the newspaper.

LG Group has five financial units and 44 non-financial units.

The group's non-financial units booked a total revenue of W60.36
trillion, compared to W48.58 trillion in revenues recorded in
the preceding year, registering a combined net profit of W1.07
trillion, down from W2.78 trillion.


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


KEMAYAN CORP: Seeking Extension On Stay Order
---------------------------------------------
Kemayan Corporation Berhad said that Kemayan has filed an
application for extension on the Restraining and Stay Order
which is expiring on 30 June 2001 to the Kuala Lumpur High
Court.

The hearing has been scheduled for 2 August 2001. The Court has
granted an interim extension of the restraining order until 2
August 2001.


LAND & GENERAL: Acts On Statutory Notice Re Default
---------------------------------------------------
The Board of Directors of Land & General Berhad (L&G) revealed
that L&G, through its solicitors, replied to Bayerische
Landesbank Girozentrale's (the Lender) statutory notice served
under Section 218 of the Companies Act 1965 and their letter
dated 22nd June 2001. On 20 June 2001 and 25 June 2001,
respectively, L&G advised the Lender not to proceed or to take
any steps to present a winding-up petition against the Company
and to withdraw the statutory notice.

In addition, on 26 June 2001, L&G had taken the following legal
action to defend and protect its interests:

   (a) filed a Writ of Summons and Statement of Claim seeking
amongst others that the Lender be restrained and an injunction
order be granted to prevent the Lender from presenting any
petition for the winding-up of the Company based on the
statutory notice for the alleged debt of US$14.8 million or any
part thereof; and

   (b) filed an application for an interlocutory injunction to
restrain the Lender from presenting a winding-up petition
against the Company pursuant to the statutory notice.

The Court fixed the hearing of L&G's application for the
interlocutory injunction on 28 June 2001.

On 28 June 2001, the Court recorded the mutual agreement between
the Company and the Lender to a standstill period until 15 July
2001 in order to maintain status quo pending negotiations
between the Company and the Lender.

The aforesaid agreement to the standstill is without prejudice
to the respective parties' rights and remedies in the pending
action. The Court has fixed 16 July 2001 as the next mention
date for the application of the interlocutory injunction.


LAND & GENERAL: Winding Up Petition Hearing Postponed
-----------------------------------------------------
The Board of Directors of Land & General Berhad announces that
the Court has postponed the hearing date for the winding-up
petition against Lang Furniture (Selangor) Sdn BHd, a wholly
owned subsidiary, to 14 September 2001. The subsidiary will be
defending the petition.


PSC INDUSTRIES: PSCA Sells Menara PSCI To Amin Shah
---------------------------------------------------
The Board of Directors of PSC Industries Berhad (PSCI) announces
that PSC Asset Holdings Sdn Bhd (PSCA), a wholly-owned
subsidiary of PSCI, on 29 June 2001 entered into a conditional
Sale and Purchase Agreement with Amin Shah Holdings Sdn Bhd
(ASHSB), for the proposed disposal of Menara PSCI to ASHB for a
total cash consideration of RM70,000,000.

Details Of The Proposed Disposal

   1.1 Details of Menara PSCI And Original Cost of Investment

       Menara PSCI is a commercial building bearing the postal
address of No. 39, Jalan Sultan Ahmad Shah, 10050 Penang which
is situated on the pieces of freehold land measuring 6,672 sq.
m. known as Lot Nos. 1197, 1198 and 1199, Section 13, North East
District of Penang and comprised in Grant (First Grade) Nos.
27123, 27124 and 27125 (Land). PSCA is the registered owner of
the Land together with the building erected thereon, namely
Menara PSCI.

      Menara PSCI was acquired on 7 November 1994 at a cost of
RM79,100,000 and is approximately 7 years old. Based on the
latest audited financial statements of PSCA as at 31 December
2000, the book value of Menara PSCI is RM117,000,000 which was
based on a revaluation undertaken in 1997.

      Menara PSCI is encumbered by a charge created by PSCA as
security for loan facilities granted to PSCA and PSCI by OCBC
Bank (Malaysia) Berhad (OCBC).

      Menara PSCI currently has an occupancy rate of
approximately 90 percent. The expected amount of rental revenue
per annum for Menara PSCI is approximately RM4,000,000.

Menara PSCI has the following approximate gross floor area and
lettable floor area:

              Gross Floor Area      Lettable Floor Area
                sq. m.                    sq. m.

Main Building  26,663      19,695
Car Park Building 6,782          -
Total 33,445      19,695

   1.2 Basis Of The Sale Consideration

       The total sale consideration for the Proposed Disposal of
RM70,000,000 was arrived at on a "willing-buyer, willing-seller"
basis after taking into consideration the valuation of Menara
PSCI ascribed by the independent professional valuers, Messrs.
Henry Butcher, Lim & Long (N) Sdn Bhd (HBLL) of RM67,000,000. In
arriving at the said valuation, HBLL had relied on the
comparison and investment methods of valuation as a basis.

The sale consideration of RM70,000,000 represents a premium of
4.5 percent or RM3,000,000 from the abovementioned valuation of
Menara PSCI.

   1.3 Salient Features Of The Agreement

Menara PSCI will be disposed off free from any encumbrances with
vacant possession but subject to the tenancies granted to
various occupants.

The completion of the Proposed Disposal shall take place on or
before the expiry of twelve (12) months from the date of
execution of the agreement. The sale consideration shall be paid
by ASHSB to PSCA in the following manner:

   (i) a sum equivalent to five percent of the sale
consideration or RM3,500,000 as deposit and towards part payment
of the sale consideration, within fourteen days from the date of
the Agreement and PSCA would have to submit to OCBC for their
acknowledgement of the sale of Menara PSCI; and

   (ii) balance of the purchase consideration of RM66,500,000
shall be paid by ASHSB on or before the Completion Date.

In the event that the balance of the Loan exceeds the balance of
the sale consideration, PSCA undertakes to make the necessary
arrangement to pay OCBC the difference based on the acceptable
terms of OCBC.

In the event that the approval of the relevant authorities are
not obtained on or before twelve months from the date of the
Agreement (Cut-Off Date), the Agreement shall automatically
terminate unless the parties mutually agree to an extension of
time.

In the event that the Cut-Off Date is not extended, PSCA shall
refund to ASHSB the deposit and all other sums paid free of
interest and ASHSB shall return the transfer and other related
documents deposited with ASHSB's solicitors to PSCA, whereupon
neither party shall have any claims whatsoever against the
other.

In the event that ASHSB fails to make payment of the balance of
the purchase consideration on or before the Completion Date,
PSCA shall be at liberty to either specifically enforce the
Agreement or terminate the Agreement by giving notice in writing
to ASHSB. In the event of such termination, PSCA shall be at
liberty to forfeit the deposit paid as agreed liquidated damages
and refund to ASHSB all other monies paid by ASHSB to PSCA (if
any) within fourteen days from the date of termination.

The Memorandum of Transfer and related documents shall then be
returned to PSCA and thereafter, the Agreement shall be null and
void and neither party shall have any claim against the other.

In the event that ASHB requests for the extension of the
Completion Date, PSCA shall grant such extension with the
entitlement to charge interest at two percent above the
prevailing Base Lending Rate of Maybank per annum on the
outstanding balance of the sale consideration calculated on a
daily basis until full settlement.

   1.4 Salient Features Of the Valuation Report

       The open market valuation of Menara PSCI as ascribed by
HBLL is RM67,000,000 based on the valuation carried out on 18
June 2001. Material facts of the valuation and particulars of
Menara PSCI are as follows:

The Property: Menara PSCI

Postal Address/Lot No: No. 39, Jalan Sultan Ahmad Shah, 10050
Penang situated on Lot Nos. 1197, 1198 and 1999 of Section 13,
North East District of Penang

Title No: Geran (First Grade) Nos. 27123, 27124 and 27125

Tenure: Freehold

Surveyed Land Area: 4,060 sq. m. (Lot 1199), 1,904 sq. m. (Lot
1197), 708 sq. m. (Lot 1198)

Registered Owner: PSC Asset Holdings Sdn Bhd

Annual Rent: Approximately RM4.035 million

Encumbrances*: The subject property is charged to:

(i) OCBC Bank (Malaysia) Berhad vide
Gadaian Perserahan No. 17438/94 Jilid No. 619 Folio No. 149,
registered on 5 November 1994.

(ii) OCBC Finance Berhad vide Gadaian
Perserahan No. 16838/95 Jilid No. 659 Folio No. 199, registered
on 28 September 1995.

(iii) OCBC Finance Berhad vide Gadaian
Perserahan No. 16839/95 Jilid No. 659 Folio No. 200, registered
on 28 September 1995.

Express Conditions: (i) the land shall not be affected by any
provision of the National Land Code limiting the compensation
payable on the exercise by the State Authority of a right of
access or use conferred by Chapter 3 of Part Three of the code
or the creation of a Collector's right of way; and

                    (ii) Subject to the implied condition that
land is liable to be reentered if it is abandoned for more than
three years, shall revert to the State only if the proprietor
for the time being dies without heirs; and

                    (iii) the title shall confer the absolute
right to all forest produce and to all oil, mineral and other
natural deposits on or below the surface of the (including the
right to work or extract any such produce or deposit and remove
it beyond the boundaries of the land).

Restriction In Interest: Nil

Market Value: RM67,000,000

Date of Valuation: 18 June 2001

Method(s) of Valuation: Comparison method and investment method

* Menara PSCI will be disposed free of any encumbrances with
vacant possession subject to the Tenancies upon the terms and
conditions of the Agreement as well as the expressed or implied
conditions and restrictions imposed on the issue document(s) of
title to the Land.

The comparison method entails comparing Menara PSCI with similar
properties that were sold recently. The characteristics, merits
and demerits of these properties are noted and appropriate
adjustments are then made to arrive at the value of Menara PSCI.
The investment method involves the capitalization of the net
income that could be derived from the property at the current
rate of return of similar properties during its remaining
economic life.

Evidence of values were obtained from surveys and investigations
of sales involving comparable properties in the vicinity and a
list of transactions of comparable properties is included in the
valuation report.

   1.5 Liabilities To Be Assumed By ASHSB

There are no liabilities to be assumed by ASHSB arising from the
Proposed Disposal.

   1.6 Proposed Utilization of Proceeds

The gross proceeds of RM70,000,000 arising from the Proposed
Disposal are proposed to be utilized for the part repayment of
existing borrowings, pursuant to the Restated Debt Restructuring
Agreement dated 6 December 2000 ("RDRA") which forms part of the
Proposed Debt Restructuring of PSCI Group as announced on 6
December 2000.

The Proposed Disposal will enable the PSCI Group to partially
repay its debt owing to OCBC pursuant to the terms of the RDRA.
The Proposed Disposal will allow PSCA to dispose Menara PSCI at
a premium above the market value of RM67,000,000 which is the
minimum value at which Menara PSCI can be sold in the open
market by OCBC, based on the terms of the RDRA.

Information on PSCA

PSCA was incorporated on 10th April 1990 in Malaysia under the
Companies Act, 1965 as a private limited company. PSCA's present
authorized capital is RM10,000,000 comprising 10,000,000
ordinary shares of RM1.00 each while its issued and paid-up
capital is RM10,000,000 comprising 10,000,000 ordinary shares of
RM1.00 each. PSCA's principal activities are property
investment, commercial letting of apartment buildings, building
management and provision of property management services. PSCA
is wholly-owned subsidiary of PSCI.

Information on ASHSB

ASHSB was incorporated on 11 April 1991 in Malaysia under the
Companies Act, 1965 as a private limited company. ASHSB's
present authorised capital is RM500,000 comprising 500,000
ordinary shares of RM1.00 each while its issued and paid-up
capital is RM58,022 comprising 58,022 ordinary shares of RM1.00
each. ASHSB has not commenced business since incorporation.

The proforma financial effects of the Proposed Disposal on the
share capital, major shareholders' shareholding, earnings per
share (EPS) and net tangible asset (NTA) of PSCI Group are
illustrated below:

   Share Capital

The Proposed Disposal will not have any effect on the issued and
paid-up share capital of PSCI.

   Major Shareholders' Shareholding

The Proposed Disposal will not have any effect on the
shareholdings of the major shareholder's of PSCI.

   Earnings

The Proposed Disposal will result in a loss on disposal of
RM9,100,000 for the financial year ending 31 December 2001.

   NTA

The proforma effects of the Proposed Disposal on the NTA of the
PSCI group based on the audited financial statements of PSCI for
the financial year ended 31 December, 2000 on the assumption the
Proposed Disposal had been effected on that date are as follows:

                              Audited as at   After Proposed
                              31 Dec 2000     Disposal
                                RM'000          RM'000

Share Capital 79,129 79,129
Share Premium 81,309 81,309
Retained Profits 84, 108 75,083
Other Reserves 40,883 3,006
Shareholders Funds 285,429 238,527
Less :
Goodwill (213,956) (213,956)
Intangibles (2,162) (2,162)
Deferred assets (82,972) (82,972)
Deferred Expenditure (16,566) (16,566)
NTA (30,227) (77,129)
NTA per Share (0.38) (0.97)

Approval Required

The Proposed Disposal is subject to the following approvals
being obtained on or before twelve (12) months from the date of
the Agreement:

   (i) Foreign Investment Committee;

   (ii) OCBC for the restructuring and/or assumption of the
balance of the Loan, mode of payment and the execution by OCBC
of all the relevant and necessary documents to effect
registration of the discharge of Charge with the relevant land
office;

   (iii) the State Authority's consent, if required;

   (iv) shareholders of PSCI at a an Extraordinary General
Meeting to be convened; and

   (v) any other relevant authorities.

PSCA shall also obtain OCBS's prior written approval for the
sale and transfer of Menara PSCI.


TECHNOLOGY RESOURCES: To Undertake Proposed Restricted Issue
------------------------------------------------------------
Technology Resources Industries Berhad (TRI or Company)
announces that the Directors of TRI have resolved for TRI to
undertake the following proposals:

   (a) Proposed Restricted Issue - The proposed restricted issue
of up to 724,138,000 new ordinary shares of RM1.00 each in TRI
at an issue price of RM1.45 per Restricted Share to investors to
be determined and suppliers, to raise gross proceeds of up to
approximately RM1.05 billion.

   (b) Proposed Rights Issue - The proposed rights issue of
754,907,661 new ordinary shares of RM1.00 each in TRI to the
shareholders of TRI at an issue price of RM1.00 per share on the
basis of one Rights Share for every one existing share held in
TRI, to raise gross proceeds of approximately RM754.9 million.

   (c) Proposed Early Redemption Option - The proposed
prepayment, redemption and discharge by TRI of each of the
following in cash and at a discount, to be agreed upon, to their
outstanding amount which, in aggregate, was approximately
RM2.065 billion as at 31 March 2001, under the following
facilities:

      (i) restructured US$200 million worth of bonds due 2004
(now US$ variable rate bonds due 2002) of TRI;

      (ii) restructured US$175 million worth of bonds due 2004
(now USD variable rate bonds due 2002) of TRI; and

      (iii) restructured RM50 million in overdraft and revolving
credit facility with Danaharta Urus Sdn Bhd (Danaharta Loan).

   (d) Proposed Debt Refinancing - The proposed refinancing of
debt obligations of Celcom (Malaysia) Sdn Bhd, a wholly-owned
subsidiary of TRI, of approximately RM2.0 billion via bank
borrowings, issue of private debt securities and suppliers'
financing.

   (e) Proposed Internal Restructuring - The proposed internal
reorganization of the corporate structure of TRI and its
subsidiary and associated companies (TRI Group) after the
Proposed Restricted Issue, Proposed Rights Issue and the
Proposed Debt Refinancing. Pursuant to the proposed internal
reorganization, Celcom would become the new holding company,
which would assume the listing status of TRI and emerge as the
new listing vehicle of the restructured TRI Group on the Main
Board of the KLSE.

1.2 The Proposed Rights Issue, Proposed Early Redemption Option,
Proposed Debt Refinancing and Proposed Internal Restructuring
are inter-conditional, and are conditional on the Proposed
Restricted Issue. However, the Proposed Restricted Issue is not
conditional on the Proposed Rights Issue, Proposed Early
Redemption Option, Proposed Debt Refinancing and Proposed
Internal Restructuring.

1.3 In order to facilitate the implementation of the Proposed
Equity Issues, TRI is proposing to increase its authorized share
capital from RM1,000,000,000 comprising 1,000,000,000 ordinary
shares of RM1.00 each in TRI to RM4,000,000,000 comprising
4,000,000,000 shares.

                 Details Of The Proposals

Details of the Proposed Restricted Issue

TRI is proposing to undertake a restricted issue of up to
724,138,000 Restricted Shares at an issue price of RM1.45 per
Restricted Share to investors to be determined and suppliers, to
raise gross proceeds of up to approximately RM1.05 billion.

In the event the Proposed Rights Issue is not implemented, TRI
may undertake the Proposed Restricted Issue by issuing up to
583,333,000 Restricted Shares at an issue price of RM1.80 per
Restricted Share to raise the same amount of gross proceeds of
up to approximately RM1.05 billion (Alternative Scenario).

Basis in arriving at the issue price

TRI is proposing for the issue price of the Proposed Restricted
Issue to be pre-fixed at RM1.45 per Restricted Share or RM1.80
per Restricted Share under the Alternative Scenario, subject to
the approval of the SC.

The proposed issue price of RM1.45 per Restricted Share
represents a premium of eleven sen or approximately 8.21 percent
from the theoretical ex-rights price of RM1.34 per share, based
on the weighted average market price of TRI shares as traded on
the KLSE for the past five market days from 21 June 2001 to 27
June 2001 (being the latest practicable date prior to this
announcement) of RM1.68 (Weighted Price).

The proposed issue price of RM1.80 per Restricted Share under
the Alternative Scenario represents a premium of twelve sen or
approximately 7.14 percent from the Weighted Price.

Ranking of the Restricted Shares

The Restricted Shares shall, upon allotment and issue, rank
pari-passu in all respects with the existing issued and paid up
shares of TRI save and except that they will not be entitled to
participate in the Proposed Rights Issue, and will not be
entitled to any dividends, allotments, rights or distributions
which may be declared, the record date of which precedes the
date of allotment of the Restricted Shares. For the purpose
hereof, the record date means the date as at the close of
business on which shareholders must be registered as members of
the Company in order to participate in any dividends,
allotments, rights or other distributions.

Details of the Proposed Rights Issue

The Proposed Rights Issue involves the issue by TRI of
754,907,661 Rights Shares at RM1.00 per Rights Share to the
shareholders of TRI on the basis of one Rights Share for every
one existing share held at a date to be determined later, to
raise gross proceeds of approximately RM754.9 million.

In order for the Company to meet certain interest payment
obligations for the Bonds and the Danaharta Loan, TRI may issue
up to 86,000,000 new shares in TRI (Monetization Shares), for
which TRI has obtained the requisite approvals, with reference
to the last announcement of TRI dated 21 June 2001. In the event
the Monetization Shares are fully issued prior to the
entitlement date for the Proposed Rights Issue, the size of the
Proposed Rights Issue would be up to 840,907,661 Rights Shares.

Issue price

TRI is proposing for the issue price of the Proposed Rights
Issue to be fixed at RM1.00 per Rights Share, subject to the
approval of the SC. The proposed issue price of RM1.00
represents a discount of thirty-four sen or approximately 25.37
percent from the theoretical ex-rights price of RM1.34 per
share, computed based on the Weighted Price.

In line with the present SC guidelines, the discount rate
represented by the proposed issue price of RM1.00 per Rights
Share shall be reviewed against the theoretical ex-rights market
price of TRI shares as traded on the KLSE for a five market day
period between the receipt of SC's approval for the Proposed
Rights Issue and the books closure date for the same. Should the
said discount rate be more than 30 percent, the Directors and
promoters of TRI shall provide the SC with their respective
undertakings that they shall not dispose of any shares held by
them in TRI from the "ex-date" of the shares until ten market
days after the listing of the Rights Shares.

Shareholders' entitlements

The books closure date to determine shareholders' entitlements
for the Proposed Rights Issue is to be determined and announced
by the Directors of TRI after the requisite approvals have been
obtained for the Proposed Rights Issue.

Ranking of the Rights Shares

The Rights Shares shall, upon allotment and issue, rank pari-
passu in all respects with the existing issued and paid-up
shares of the Company except that they shall not be entitled to
any dividends, allotments, rights or distributions which may be
declared, the record date of which precedes the date of
allotment of the Rights Shares. For the purpose hereof, the
record date means the date as at the close of business on which
shareholders must be registered as members of the Company in
order to participate in any dividends, allotments, rights or
other distributions.

Substantial shareholders' undertakings/Underwriting

The Company will seek to procure irrevocable undertakings from
its substantial shareholders to subscribe in full for their
respective entitlements to the Proposed Rights Issue.
Underwriting arrangements will be made by TRI for the portion of
the Proposed Rights Issue which is not covered by such
irrevocable undertakings.

Proposed Debt Refinancing

In conjunction with the Proposed Equity Issues, it is also
proposed for Celcom to refinance its debt obligations of
approximately RM2.0 billion via bank borrowings, issue of
private debt securities and suppliers' financing. However, the
terms and conditions of the debt refinancing are being finalised
at the time of this announcement.

Proposed Internal Restructuring

Upon completion of the Proposed Equity Issues and the Proposed
Debt Refinancing, TRI would undertake an internal restructuring
exercise to reorganize the corporate structure of the TRI Group,
whereby Celcom would become the new holding company, which would
assume the listing status of TRI and emerge as the new listing
vehicle of the restructured TRI Group on the Main Board of the
KLSE. The Proposed Internal Restructuring would involve the
following:

   (a) Issue of redeemable shares - proposed issue by TRI of two
redeemable shares of RM1.00 each with voting rights to two
individuals, to be identified, at an issue price of RM1.00 per
share. The two shares shall only be redeemable at par, at the
option of TRI;

   (b) Repayment to TRI and capitalization of inter-company
debts - proposed repayment (to the extent necessary and as
permitted by creditors of Celcom) by TRI of inter-company debts
from Celcom in order to enable TRI to make up any shortfall of
funds from the Proposed Equity Issues which are necessary to
enable TRI to raise the funds to redeem the Bonds and to
discharge the Danaharta Loan pursuant to the Proposed Early
Redemption Option;

In order to facilitate the capital repayment of Celcom shares to
the shareholders of TRI, the outstanding inter-company advances
from TRI to Celcom are to be capitalized into Celcom shares at
an amount calculated to ensure that one (1) Celcom share would
be distributed to TRI shareholders for every one (1) TRI share
held after the Proposed Equity Issues;

   (c) Capital repayment by TRI - proposed capital repayment
scheme by TRI, subsequent to the capitalization of debts, to be
implemented pursuant to Section 64 of the Companies Act, 1965 by
the cancellation of the entire enlarged ordinary share capital
of TRI and the distribution by TRI of all the ordinary shares of
Celcom held by TRI to TRI shareholders on the basis of one
Celcom share for every one TRI share held;

   (d) Issue of new shares to Celcom - proposed subscription by
Celcom for 1,000 new TRI shares at par, upon completion of the
capital repayment scheme described above. At the same time, TRI
would redeem the two redeemable shares for cash at par. At this
point, TRI would become a wholly-owned subsidiary of Celcom; and

   (e) Transfer of listing status - proposed transfer of the
listing status of TRI to Celcom, which would then assume the
listing status of TRI and emerge as the new listing vehicle of
the TRI Group on the KLSE Main Board.

Utilization Of Proceeds

The Proposed Equity Issues will raise total gross proceeds of up
to approximately RM1.805 billion, out of which TRI is proposing
to utilize approximately RM1.765 billion to settle the Bonds and
Danaharta Loan, whilst the balance is proposed to be utilized to
pay interest and related expenses.

Rationale For The Proposals

The Directors of TRI believe that the Proposals represent a
comprehensive long-term plan to recapitalize and reposition TRI
to meet the challenges of a rapidly evolving communications
industry and in particular, the fast growing mobile
communications segment. The Directors of TRI view Celcom as a
leader in the mobile communications market and in this regard,
the Proposals are undertaken with the aim of strengthening
further its market position in the competitive mobile
communications market.

The approval of the shareholders of TRI on 21 June 2001 for the
restructuring of the Bonds and Danaharta Loan represents only an
interim solution which was intended to provide time for the
Company to source for the necessary funding to retire the Bonds
and the Danaharta Loan. The Proposed Equity Issues are aimed to
provide a complete solution to TRI Group's debt situation which,
in the TRI Directors' view, was in part brought about by the
Asian currency crisis which arose in 1997 - the transactions
under the Proposals have been arrived at after having reviewed
the available options under the present capital market
conditions.

As part of the Proposals, Celcom (the main operating entity of
the TRI Group) would be transformed into the holding company and
listed entity of the Group (Celcom Group). The Directors of the
Company expect the corporate structure reorganization to enhance
the credit profile and equity valuation of the Group.

The successful completion of the Proposals would also provide a
platform for the new Celcom Group to reposition itself for long-
term sustainable growth and hence, re-affirm its position in the
industry. The new Celcom Group would be expected to have greater
financing flexibility for capital and operational expenditure to
grow its mobile communication business by strengthening its
existing voice services and rolling out new data and other value
added applications. Together with the interest savings arising
from the equity recapitalization and debt refinancing, the
Directors of TRI expect the new Celcom Group to be able to enjoy
stronger profitability and cashflows in the future.

The Directors of TRI believe that the true value of Celcom is
not reflected in the prevailing market price of TRI shares. The
successful completion of the Proposals is expected to address
the issues affecting its share price and also "unlock" the
potential equity valuation of Celcom to the existing
shareholders of TRI.

With the resolution of its debt situation, TRI Group's
management should be able to refocus their energy and resources
to consolidate Celcom's position in the mobile communications
market.

Approvals Required

The Proposals are conditional upon approvals being obtained from
the following:

   (a) the SC, for the Proposed Rights Issue, Proposed
Restricted Issue, Proposed Internal Restructuring and the
Proposed Debt Refinancing (if relevant);

   (b) the Foreign Investment Committee (FIC), for the Proposed
Restricted Issue;

   (c) the KLSE for:

      (i) the listing of and quotation for the new shares in TRI
to be issued pursuant to the Proposed Rights Issue and Proposed
Restricted Issue on the KLSE; and

      (ii) the de-listing of the entire issued and paid-up share
capital of TRI, and the admission to the Official List and the
listing of and quotation for the entire issued and paid-up share
capital of Celcom on the KLSE Main Board, pursuant to the
Proposed Internal Restructuring;

   (d) the Exchange Control Department of the Bank Negara
Malaysia, for the obtaining of credit facilities via the
Proposed Debt Refinancing to re-finance foreign currency
denominated borrowings;

   (e) the High Court of Malaya, pursuant to Section 64 of the
Companies Act, 1965, in relation to the Proposed Internal
Restructuring;

   (f) the shareholders of TRI at an extraordinary general
meeting ("EGM") to be convened, in relation to the Proposals;

   (g) the shareholders of Celcom at an EGM to be convened, in
relation to the Proposed Internal Restructuring;

   (h) the holders of the Bonds, for the Proposed Early
Redemption Option;

   (i) the Ministry of Energy, Telecommunications and
Multimedia/Malaysian Commission of Multimedia and
Communications, in relation to the proposed distribution of
Celcom shares to TRI shareholders under the Proposed Internal
Restructuring; and

   (j) any other relevant authorities.

The completion or the early redemption of the Bonds is subject
to Danaharta Urus Sdn Bhd agreeing to a comparable early
repayment plan in respect of the Danaharta Loan.

The Abridged Prospectus and the related forms to be issued to
the shareholders of TRI pursuant to the Proposed Rights Issue,
are required to be approved by and registered with the SC, and
lodged with the Registrar of Companies.

None of the Directors and/or substantial shareholders of TRI or
any other company which is its subsidiary or holding company or
a subsidiary of its holding company, would have any interest,
direct or indirect, in the Proposed Rights Issue beyond their
respective entitlements as shareholders (if relevant) and the
right to apply for any excess Rights Shares, the rights of which
would also be available to all other shareholders.

As the investors for the Restricted Shares are to be determined
only at a later date, the Directors of TRI are not able to
comment at this juncture as to whether the Directors and/or
substantial shareholders of TRI or any other company which is
its subsidiary or holding company or a subsidiary of its holding
company, would have any interest, direct or indirect, in the
Proposed Restricted Issue. However, TRI intends to approach
Naluri Berhad, an existing substantial shareholder of the
Company, to initiate discussions with a view to Naluri
participating in the Proposed Restricted Issue.

Neither the Directors and/or substantial shareholders of TRI nor
any other company which is its subsidiary or holding company or
a subsidiary of its holding company, has any interest, direct or
indirect in the Proposed Internal Restructuring beyond their
respective entitlements to the distribution of Celcom shares by
TRI as shareholders (if relevant).

Application To The SC

Barring unforeseen circumstances, the Directors of TRI expect to
submit an application to the SC in relation to the Proposed
Rights Issue, Proposed Restricted Issue and Proposed Internal
Restructuring before end-August 2001.

Departure From Guidelines Of The SC

In line with a press release of the SC dated 30 December 1999,
the issue prices of rights and placement/restricted issue shares
are to be set at a price fixing date to be determined after
approval of the SC for the issues concerned.

As the Directors of TRI are proposing to pre-fix the issue
prices for the Restricted Shares and Rights Shares, this would
be a departure from the said SC guideline. In this respect, TRI
will be seeking an exemption from the SC from having to comply
with the said guideline of the SC.

EGM Circular

A circular to the shareholders of TRI, setting out information
on the Proposals, together with the notice of the EGM, would be
dispatched to the shareholders of TRI in due course.


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


BENPRES HOLDINGS: Credit Suisse Names Financial Adviser
-------------------------------------------------------
Benpres Holdings Corporation announced it has appointed Credit
Suisse First Boston Corporation (CSFB) as the company's
financial adviser, The Asian Wall Street Journal reported
Monday.

According to the report, Benpres said CSFB will assist the
company in reviewing strategic initiatives to settle the
company's debt problems, and to toughen up the financial
structure of the company and it subsidiaries.

Benpres' debt burden now rests at P10 billion.


CAPITOL WIRELESS: Seeking Two-Year Extension For Debt Repayment
---------------------------------------------------------------
Capitol Wireless Inc (Capwire) is asking its creditor banks to
extend the grace period on the repayment of its P1-billion loan
to another two years, apart from a lower interest rate, Business
World reports Monday.

In addition, Capwire Senior VP and CFO Joel Aguilar told the
newspaper the company is proposing a 10-year repayment schedule
on the first tranche of the loan and an 11-year repayment period
for the second tranche, from eight and nine years respectively,
as covered in the original debt restructuring plan.


NATIONAL BANK: BSP Calls For Resolution On Equity Issue
-------------------------------------------------------
The Bangko Sentral ng Pilipinas (BSP or Central Bank) is urging
taipan Lucio Tan and the national government to resolve within
this month the Philippine National Bank's equity issue, to
proceed with the rehabilitation planning for the financially
troubled bank, The Philippine Daily Inquirer reports Monday.

BSP Governor Rafael Buenaventura was quoted as saying that the
completion of the negotiations between Mr Tan and the
government, through the Philippine Deposit Insurance Corporation
(PDIC), was set for this month, so as to commence the
rehabilitation program for PNB.

The negotiations, the report says, will also cover the terms of
the rehabilitation, apart from the main issue, which will deal
with the price to convert a fraction of the P25 billion in
emergency loans extended by both the BSP and PDIC to the bank
last year into government equity.

This emergency loan, Buenaventura further noted, will then be
treated as the government's exposure to the bank.

Moreover, the price will help determine the extent the dilution
will be made on Tan's 67 percent stake holding in the bank,
including the P10-billion capital infusion Tan made last year,
the newspaper says.


NATIONAL POWER: To Earn $2.7B From Transmission Assets Sale
-----------------------------------------------------------
The sale of the transmission assets of beleaguered state-owned
National Power Corporation (Napocor) is projected to earn for
the national government as much as $2.7 billion, The Philippine
Star reported Monday, citing Energy Secretary Vincent S. Perez.

The sale of the assets, along with Napocor's generating
companies, is part of the privatization program of the utility
firm under the Power Industry Reform Act, or Republic Act 9136.

Managing the sale will be the Power Sector Assets and
Liabilities Management (PSALM) Corporation, under the
stewardship of Finance Secretary Jose Isidro Camacho.

Furthermore, Transmission Company (Transco) OIC Asiselo Gonzaga
was quoted as saying that the privatization of Napocor's
abovementioned assets will be made through either
`concessionaire' or `outright sale', the newspaper says.

Two Japanese firms have already expressed their interest in
acquiring the Transco, the report says. The firms are Kyushu
Corporation and Energy Power Development Corporation.


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


BRIERLEY INVESTMENTS: Longleaf Partners Changes Holding
-------------------------------------------------------
Longleaf Partners International Fund increased its relevant
deemed interest in Brierley Investments Limited on 27 June 2001,
from 101,197,000 (7.4 percent) to 101,563,000 (7.42 percent).

Longleaf Partners International Fund increased its relevant
deemed interest in Brierley Investments Limited on 28 June 2001,
from 101,563,000 (7.42 percent) to 102,563,000 (7.5 percent).

Longleaf Partners International Fund increased its relevant
deemed interest in Brierley Investments Limited on 29 June 2001,
from 102,563,000 (7.5 percent) to 103,353,000 (7.56 percent).


THAKRAL CORP: Sustains A Decline In Turnover
--------------------------------------------
For the financial year ended 31 March 2001, Thakral Corporation
Limited (the Group) booked a turnover of S$584.8 million
compared to S$742.2 million in the preceding year.

This decline in turnover was attributed primarily to the Group's
decision, which was announced last year, to exit certain non-
core activities, which it had considered to be not viable or
essential for its long term growth strategy.

On a comparable basis, the turnover for FY 2000 would have been
S$618.8 million, as compared to S$584.8 million for the current
year.

Excluding turnover from the non-core divested businesses, the
decline in the Group's turnover in FY 2001 would have only been
about 5.0 percent from the previous year.

Notwithstanding the decline in turnover, the Group's operational
performance in FY 2001 reflected a positive improvement. For FY
2001, it reported operating losses of S$9.0 million before tax,
exceptional items, interest, depreciation and amortization. The
corresponding figure in the previous financial year was a loss
of S$11.9 million.

The improvement in the Group's operational performance was
primarily due to better margins generated from the Group's main
core activities across all its main business units, including
its distribution and trading of consumer electronics, its
manufacturing business in Shanghai and the home entertainment
distribution unit. Margins on a Group basis, showed a healthy
increase from 8.1 percent in FY 2000 to 8.8 percent in FY 2001.

Also, during the year, the Group continued with its efforts to
streamline its operations and rationalize its costs. As a
result, operating expenses declined to S$36.7 million from
S$42.6 million in the previous year.

For FY 2001, the Group also recognized certain charges totaling
S$39.3 million as exceptional items. These included provisions
of S$34.2 million made against inventories, trade debtors and
write-off of certain assets relating to discontinuation of non-
core businesses and S$5.1million incurred as consultancy fees in
connection with the restructuring exercise that the Group is
implementing.

The Group has continued to service interest on its bank
borrowings from its internal resources. The interest charge
incurred on the Group's borrowings for the FY 2001 amounted to
S$41.8 million.

As a result of the above, the Group reported operating losses
after income tax of S$98.8 million.

Commentary on current year prospects

Although the Group's turnover from its core businesses
experienced some decline in FY 2001 compared to the previous
year's, nevertheless the Group expects that market conditions
for its products will improve in the current year. The Group's
actual turnover and operational results for the months of April
and May of the current financial year reflect such improvement.

Distribution of Electronic Products (EPD)

In its principal core business, the distribution of branded
consumer products, margins improved to 6.23 percent from 5.45
percent last year and gross profit was S$31.8 million compared
to S$29.6 million in FY 2000. Segment results significantly
improved to a profit of S$0.68 million from a loss of S$3.51
million in the previous year.

This improvement reflects the benefits resulting from the
various strategies that the Group has implemented to strengthen
its product lines, its distribution channels and geographical
coverage.

While China and Hong Kong remain the two principal markets for
the Group's products, nevertheless the Group has been successful
in developing other markets for its products and in FY 2001
these markets accounted for almost 28 percent of the total
revenues of its consumer electronics distribution and trading
business.

Assembly of Electronic Products/Contract Manufacturing (EPM)

The Group has repositioned its Shanghai plant as a contract
manufacturer and is currently negotiating important contracts
with a number of potential customers. Accordingly, it expects to
see an improvement in the performance of its manufacturing unit
in the current year.

This segment improved its operational performance with gross
profit reported at S$3.7 million in FY 2001 compared to S$0.5
million in the previous year. Losses were reduced to S$3.74
million from S$12.39 million in the previous year. This includes
depreciation & amortization of S$4.36 million.

Home Entertainment (HED and HEM)

The Group's combined home entertainment and distribution
business reported total turnover of S$34.3 million compared to
S$23.8 million in the previous year. Gross profit also improved
to S$10.0 million from S$7.6 million last year although the
results of this activity were negatively impacted by exceptional
charges resulting primarily from the write-off of royalty fees
that were contracted for at the early start-up of the unit prior
to 1999.

Its replicating facility in Hong Kong, which accounted for a
loss of S$3.5 million in this segment, has been closed in April
2001. The facility in Beijing continues to be profitable.

The Group has now re-negotiated its licensing agreements on more
favorable terms to reflect the current market conditions and it
expects that the performance of its home entertainment unit to
benefit accordingly in the current year.

Debt Restructuring Plan

During FY 2001, the Group has continued to work with its
financial advisors towards the restructuring of its balance
sheet, reducing its debt and rearranging its borrowings. As part
of this process, the Group has implemented certain initiatives,
which include the following:

   1. As previously announced on 28 December 2000, the Group had
disposed of total non-core assets of S$47.5 million including
its property investment in Australia.

   2. As of 31 March 2001, the Group paid down a total of S$97.2
million of its outstanding debt. Amount due to banks at 31 March
2001 stood at S$478.6 million.

   3. As a result of the initiatives taken to enhance its
liquidity, the Group had cash balances of S$89 million as at 15
June 2001.

   4. The Group has continued to service interest on its bank
debt from its internal resources. The interest charge incurred
on the Group's borrowing for the FY 2001 amounted to S$41.8
million

The Group, with the assistance of its Independent Financial
Advisor, has proposed to its bank creditors a debt restructuring
plan to restructure its indebtedness. The debt restructuring
plan will be by way of a scheme of arrangement under section 210
of the Companies Act and will include the following:

   1. Debt buy-back exercise to be funded by a sum of S$20
million from funds of the Company and S$15 million cash
injection by the Thakral Family into the company;

   2. Cash distribution of up to S$40 million to the remaining
bank creditors after the debt buy-back;

   3. The remaining bank debts estimated at S$292 million
(subject to the outcome of the debt buy-back exercise), and the
S$15 million cash injection by the Thakral Family will be
converted to equity at a price of S$0.25 per share;

   4. A long-term debt level of S$87 million which has been
confirmed to be sustainable by an independent financial
consultant will be retained by the Group after restructuring;
and

   5. Application to Court for capital reduction to reduce the
par value of the shares and to offset the accumulated losses
against the share premium account.


The Company is issuing another announcement providing fuller
details of the debt restructuring plan simultaneously with this
announcement.

Upon completion of the restructuring of the Group's borrowings,
the interest charge on the residual debt is expected to decrease
significantly and is estimated at S$6.7 million in the first
full year following the restructuring compared to the present
interest burden of S$41.8 million. The Group's cashflow from
operations before interest for FY 2001 amounted to S$22.6
million.

Accordingly, the Group expects that its cashflow in future years
will be adequate to service and repay its long-term debt and
fund its future business growth.

The Directors are confident of a successful conclusion of the
negotiations with the Group's bankers on the debt restructuring
plan.

The Directors also expect that the restructuring when completed
will have a very positive impact on the Company's shareholder
funds, its net tangible assets and future health and
profitability of the Group. They estimate that, based on the NTA
of the Group as at 31 March 2001, on completion of the debt
restructuring and capital reduction, the current negative NTA of
S$160.18 million will be converted to a positive NTA of S$147
million and the NTA per share will improve from a negative NTA
per share of S$0.27 to a positive NTA per share of S$0.08.


VAN DER HORST: Half-year Turnover At $9.13M
-------------------------------------------
Van Der Horst Limited announces the Group's half year turnover
of $9.13 million is derived entirely from the Service
Engineering Division. This represents a reduction of 8 percent
from $9.97 million reported in the previous half year and is the
result of intense competition in the market.

The Group reported an improved operating profit of $0.83
million, which was largely enhanced by higher interest income
and the reduction in management salaries.

The interest on borrowings decreased by 78 percent to $1.12
million. The current period's interest costs reflect interest
claims of $1.12 million made by certain bank creditors based on
their statutory proof of debts. The interest costs have ceased
to accumulate on the appointment of Judicial Managers.

In view of the restructuring of the Company's US dollar
liabilities under a Scheme to be proposed to the Company's
creditors, there was no revaluation of the US$91.61 million
borrowings in the accounts as at 31 March 2001. To avoid
distortion of the operating profits arising from exchange rate
differences, the accounts reflect the US dollar liabilities
based on the translation rate as at 30 September 2000. If the US
dollar loans were revalued using the prevailing exchange rate on
31 March 2001, the Group and Company will show further foreign
exchange loss of $5.66 million. The Group's foreign exchange
loss of $0.63 million related to the unrealized losses from the
translation of foreign subsidiaries' working capital balances.

Save as disclosed in this announcement and earlier announcements
made by the Company, the directors are of the opinion that,
between 31 March 2001 and the date of this report, no item or
event has occurred that may have a material impact on the
results of the operations of the Group and the Company for the
half-year ended 31 March 2001.

The Group's performance in the current year will be derived from
the Service Engineering Division. In the light of continuing
intense competition and poor global economic prospects, it is
anticipated that the business is likely to remain at about the
same level as the previous six months.

Concurrent with the debt restructuring exercise, the Judicial
Managers are in discussions with several parties who are
interested in investing in the Group. However, at the date of
this announcement, the negotiations are still ongoing and the
management and the judicial managers are not in a position to
provide further details. At the appropriate time, the judicial
managers and the Company will inform shareholders of the outcome
of these negotiations.

Dividend

  (a) Any dividend declared for the present financial period?
None
  (b) Any dividend declared for the previous corresponding
period? None

Details of any changes in the company's issued share capital

On 17 March 2001, the Company completed the Capital Reduction
and Share Consolidation exercise pursuant to an approval granted
by the High Court of Singapore. Consequently, the issued share
capital was reduced by 94 percent from 112, 727,774 shares of
$1.00 each to the existing 6,763,512 shares of $1.00 each.


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


BARA FINANCE: Bankrupt, FRA Declares
------------------------------------
The Central Bankruptcy Court on June 26, 2001 declared suspended
company Bara Finance and Securities Public Company Limited
bankrupt and put the company under absolute receivership.

The company was ordered to suspend operations by the Ministry of
Finance on August 5, 1997 and was under the supervision of the
Financial Sector Restructuring Authority (FRA) before being
taken into the bankruptcy process.

Kamol Juntima, the FRA Chairman, said that the company, along
with Cathay Finance and Securities Plc, have already distributed
the proceeds from asset sales amounting to Bt5,255.53 million to
the eligible creditors who had filed their claims with the FRA.
Of this amount, Bt4,851.95 million or 92.32 percent were paid to
the Financial Institutions Development Fund (FIDF).

Bara Finance and Securities Plc was established on December 8,
1994. The company's creditors have been repaid amounting to
Bt2,312.74 million, of which Bt2,130.22 million was paid to the
FIDF.

After completing debt repayments under the FRA's procedures, the
company has Bt4,442.57 million of outstanding debts and
Bt1,984.98 million of remaining assets as of May 31, 2001. Most
of the remaining assets are under foreclosure process.


CATHAY FINANCE: Bankrupt; Placed Under Absolute Receivership
------------------------------------------------------------
The Central Bankruptcy Court on June 26, 2001 declared suspended
company Cathay Finance and Securities Public Company Limited
bankrupt and put the company under absolute receivership.

The company was ordered to suspend operations by the Ministry of
Finance on August 5, 1997 and was under the supervision of the
Financial Sector Restructuring Authority (FRA) before being
taken into the bankruptcy process.

Kamol Juntima, the FRA Chairman, said that the company, along
with Bara Finance and Securities Plc, have already distributed
the proceeds from asset sales amounting to Bt5,255.53 million to
the eligible creditors who had filed their claims with the FRA.
Of this amount, Bt4,851.95 million or 92.32 percent were paid to
the Financial Institutions Development Fund (FIDF).

Cathay Finance and Securities Plc. was established on February
17,1994. The company's creditors have been repaid amounting to
Bt2,942.79 million, of which Bt2,721.73 million was paid to the
FIDF.

After completing debt repayments under the FRA's procedures, the
company has Bt5,778.36 million of outstanding debts and
Bt3,194.81 million of remaining assets as of May 31, 2001. Most
of the remaining assets are under foreclosure process.

Kamol said that up to now the FRA has already brought 25
suspended companies into the bankruptcy process, six of them
before distributing payments to the creditors.

In July 2001, ten suspended companies will be distributing
payments to their creditors and eight more will convene
creditors' meetings.


PREECHA GROUP: Shareholders Approve Capital Increase
----------------------------------------------------
Preecha Group Public Company Limited reports the resolutions
made at the Extraordinary Shareholders Meeting No. 1/2001 held
on June 29, 2001, as follows:

   1. To increase the Company's registered capital of
Bt744,000,000 to Bt1,344,000,000 by issuing 74,400,000 new
ordinary shares, with par value at Bt10 each.

   2. To amend the Clause 4. of the Memorandum of Association in
consequence with the increase of the registered capital.

   3. The allotment of the 74,400,000 new ordinary shares are as
follows:

      3.1 60,000,000 new ordinary shares will be offered to the
existing shareholders at the ratio of one new share, per one
existing share, the offering price is Bt0.10 per share. The
subscription period is from 17 to 21 September 2001 from 9:00
a.m. to 3:30 p.m. The Company will close the share registration
to determine the shareholders' right for the subscription (XR)
on 9 July 2001 at 12:00 a.m.

      3.2 14,400,000 new ordinary shares will be offered to
National Finance Public Company Limited which is an institution
qualified under seventeen categories of the Announcement of the
Securities and Exchange Commission.  The offering price is Bt7.0
per share. The subscription period is from 3 to 5 July 2001,
during 9:00 a.m. to 3:30 p.m. Only the board or the person
authorized by the Board of Directors can specifies the procedure
and other conditions of the subscription.

          If there are some remaining shares as a result of the
above allocation to the existing shareholders, these remaining
shares may be allocated at the discretion of the Board of
Directors in one or several transactions from time to time by
private placement in accordance with the Notification of the
Securities and Exchange Commission. The price will be Bt0.10 per
share. The board or person authorized by the board is eligible
to set conditions and procedures for selling the remaining
shares.


QUALITY HOUSES: Board Approves Capital Reduction
------------------------------------------------
The Board of Directors' Meeting No.11/2001 of Quality Houses
Public Company Limited held on 29 June, 2001 between 10.00 a.m.
and 12.00 a.m. at the Office of the Company, located at 11 South
Sathorn Road, Khet Sathorn, Bangkok, has resolved the following:

   1. That the Minutes of the Board of Directors' Meeting
No.10/2001, held on 14 June 2001, be certified.

   2. That the reduction of the Company's registered and paid-up
capital for the purpose of writing off accumulated losses by
reducing the par value of Bt10 each to Bt5 each be approved.

   3. That the amendment to Clause 4. of the Memorandum of
Association as to reflect the decrease of the registered and
paid-up capital, be approved.

   4. That the Articles of Association of the Company be amended
as follows:

      4.1 Cancel the existing Clause 4 and use the new Clause as
follows:

          Existing Clause 4

          "Clause 4. Shares of the Company are ordinary shares
and specified shareholders.

          All shares of the Company shall be paid-up in full by
one payment, a subscriber or purchaser shall not offset any
debts with the Company."

          New  Clause 4

          "Clause 4. Shares of the Company are ordinary shares
and specified shareholders.

           All shares of the Company shall be paid-up in full by
one payment,
a subscriber or purchaser shall not offset any debts with the
Company except where the Company conducts its debt restructuring
by way of issuing new shares to settle its debts to the
creditors under the debt-equity swap scheme with the approval of
the three-quarter vote of all shareholders present and eligible
to vote at the shareholders' meeting.

          The issue of new shares for debt settlement and debt-
equity swap scheme under paragraph two shall be subject to the
rules and procedures prescribed in the ministerial regulations."

      4.2 Cancel the existing Clause 9 and use the new Clause as
follows:

        Existing  Clause 9
          "Clause 9. The Company shall not own its share or take
them in pledge."

        New Clause 9

         "Clause 9. The Company shall not own its share or take
them in pledge, except for the following:

        (1) the Company may buy back its shares from any
shareholders who, by reason that he/she is unfairly treated,
votes against a shareholders' meeting's resolution to make
amendments to the articles of association concerning the voting
right and dividend entitlement; and

       (2) the Company may buy back its shares for the purpose
of administering its financial affairs when the company has
accumulated profit and surplus liquidity, provided that the
relevant buy-back will not lead the Company to encounter any
financial difficulties.

       Such shares held by the Company will neither be counted
to form a quorum of the shareholders' meeting nor be eligible to
vote and receive dividend payments."


      4.3 The following shall be inserted in the Articles of
Associations as Clause 46

          "Clause 46. The Company may reduce its registered
capital either by lowering the par value of each share or by
reducing the number three-quarter of all votes of shareholders
present and eligible to vote at the shareholders' meeting.

         However, the capital of the Company shall not be
reduced to less than one quarter of its original total amount
except the Company's making compensation for the accumulated
losses in the order as specified by the law but the accumulated
losses still remain.

         The reduction of the capital of the Company to less
than one quarter of its original amount under paragraph 2 above,
must be approved by passing a shareholders' resolution of not
less than three-quarter of all votes of shareholders present and
eligible to vote at the shareholders' meeting."

   5. That the Extraordinary General Meeting of Shareholders
No.1/2001 be held on 9 August 2001, at 10.00 a.m. at the office
of the Company, located
at M floor, Q-House Sathorn Building, 11 South Sathorn Road,
Khet Sathorn, Bangkok, to consider the following agenda:

      1. To certify the Minutes of the Annual General Meeting of
Shareholders paid-up capital for the purpose of writing off
accumulated losses by reducing the par value of Bt10 each to Bt5
each.

      3. To consider and approve the amendment to Caluse 4 of
the Memorandum of Association (capital reduction).

     4. To consider and approve the amendment of the Articles of
Association.

     5. To consider any other business.

     6. That the share register book be closed from 20 July 2001
at 12.00 noon until conclusion of the shareholders' meeting in
order to determine the shareholders' entitlement to attend the
Extraordinary General Meeting of Shareholders No.1/2001.


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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