/raid1/www/Hosts/bankrupt/TCRAP_Public/020208.mbx
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
Friday, February 8, 2002, Vol. 5, No. 28
Headlines
A U S T R A L I A
ANSETT AUSTRALIA: Operations Loss Reaches A$4M In Three Months
BRAMBLES INDUSTRIES: Notifies Major Interests in Shares
EARTH SANCTUARIES: Issues Expiry of Options Notice
HIH INSURANCE: Releases Commission Hearing Schedule
MTM ENTERTAINMENT: To Accept Force Litigation Settlement
NORMANDY MINING: Newmont to extend bid Until February 26
NORMANDY MINING: NZO Will Not Accept Takeover Offer
C H I N A & H O N G K O N G
CENTRAL CHAIN: Winding Up Sought By Siu Sing
CHINA SEA: Petition To Wind Up Heard
G-PROP HOLDINGS: Turnover Movement Unexplainable
GUANGDONG KELON: Still Conducting Internal Audit
KENFORD INTERNATIONAL: Faces Winding Up Petition
KWONG NAM: Winding Up Petition Pending
MANDARIN RESOURCES: Registrar of Companies OKs Change of Name
METROWELL HOLDINGS: Winding Up Petition Conducted
SANDER INDUSTRIAL: Winding Up Petition to be Heard
I N D O N E S I A
BANK CENTRAL: Stanchart Denies Berca's Ties to Salim Group
SEMEN GRESIK: Government Proposing Management Reshuffle
J A P A N
DAIEI INC: Founder Nakauchi Gives Up Executive Posts
FUJITSU LIMITED: Consolidating Four US, Britain Subsidiaries
HITACHI LTD: Unit's COO Speaks to Californian Conference
MARUBENI CORP: Debts Likely To Fall to Y2.5T in 2003
MITSUBISHI CHEMICAL: Dainippon to Buy Plastic Pellets Business
MITSUI MUTUAL: S&P Affirms BB-Minus Rating After Y100B Injection
NIPPON TELEGRAPH: Union Not Seeking Uniform Base Wage Hike
SNOW BRAND: Farm Ministry Against Foreign Capital Alliance
K O R E A
ASIANA AIRLINES: Fitch Lowers Ratings to B, Watch Negative
DAEWO MOTOR: GM Proposal Expected This Week, KDB Says
HYUNDAI MOTOR: Signs 50-50 JV With Beijing Automotive
MEDISON CO: Files For Receivership, To Pay W394.7B Debts By 2011
SAMSUNG ELECTRONICS: Top Execs Earn W3.6B Last Year
* FSS Says Under Workout Cos Escape Complete Capital Erosion
M A L A Y S I A
ASIAN PAC: Debt Restructuring Plan Completed
KUALA LUMPUR: Submits Proposal Revision
MBF CAPITAL: Gets SC's Nod on Proposed Extension
MBF CAPITAL: Proposed Acquisition Finalized
MGR CORPORATION: Posts Auditors' 2001 Report Qualification
PSC INDUSTRIES: Receivers, Managers Appointed on Unit
PSC INDUSTRIES: Seeks Proposal Implementation Time Extension
SAP HOLDINGS: Proposes Articles of Association Amendment
SPORTMA CORPORATION: SC OKs Debt Restructuring Scheme Amendments
TA ENTERPRISE: Land Disposal SPA Duly Executed
TALAM CORPORATION: Strikes Off Dormant Subsidiary
TECHNOLOGY RESOURCES: To Raise RM700M Through Share Issuance
P H I L I P P I N E S
MAYNILAD WATER: Expects Payment Extension for US$100M Loan
NATIONAL BANK: Tan Group, Govt Signing MOA Today
NATIONAL BANK: Posts P4.5 Billion 2001 Prelim Net Loss
NATIONAL POWER: Proceeds US$500M Bond Offer; 8T Posts Vacant
NATIONAL POWER: Govt Tapping New Offers From Investment Banks
NATIONAL STEEL: Creditors Propose Danaharta's Stake Retention
S I N G A P O R E
ASIA FOOD: Reschedules US$226.7M Debt as at January End
CAPITALAND LIMITED: Unit's 50% Owned Century West Deregistered
KEN-AIR: SIA Denies Responsibility for Tour Operator Collapse
SEMBCORP LOGISTICS: Capital Group Changes Deemed Interest
T H A I L A N D
DATAMAT PUBLIC: Proposes Capital Increase as Debt Repayment
SUN TECH: Reports Reorganization Plan Implementation Progress
ONE-HOLDING PUBLIC: Business Reorganization Petition Filed
POWER-P (PUBLIC): Financial Report Submission Date Extended
POWER-P PUBLIC: Posts Rehabilitation Plan Voting Result
- - - - - - - -
=================
A U S T R A L I A
=================
ANSETT AUSTRALIA: Operations Loss Reaches A$4M In Three Months
--------------------------------------------------------------
Michael Beach of Australian Council of Trade Union (ACTU) told
the Federal Court Thursday that Ansett Australia had operated at
a loss of about $4 million in the three months after September
29 when administrators returned the airline to the air, APP
reported Thursday.
"Now in February alone (the estimate is) $24 million. That's
quite a different position," Mr Beach told the Court, adding
that the airline's estimated staff numbers had dropped while
operational losses during the interim period had rocketed to an
estimated $6 million a week.
Ansett administrators ask the Federal Court to sanction their
decision to trade at a loss while Tesna worked on the sale
documents.
The Australian Securities and Investments Commission (ASIC) is
opposed to the idea that Ansett administrators are asking the
Federal Court to sanction their decision to continue operating,
saying that its not in the court's jurisdiction to comment on
commercial decisions.
"Ansett had operated at a loss since administrators took over
operations on September 29, but had only requested Court support
now that there was a threat the sale may fall through," ASIC
barrister Michael Sifris said.
BRAMBLES INDUSTRIES: Notifies Major Interests in Shares
-------------------------------------------------------
Brambles Industries Limited posted this notice:
NOTIFICATION OF MAJOR INTERESTS IN SHARES
NAME OF COMPANY
Brambles Industries plc
NAME OF SHAREHOLDER HAVING A MAJOR INTEREST
The Capital Group Companies, Inc
PLEASE STATE WHETHER NOTIFICATION INDICATES THAT IT IS IN
RESPECT OF HOLDING OF THE SHAREHOLDER NAMED IN 2 ABOVE OR IN
RESPECT OF A NON-BENEFICIAL INTEREST OR IN THE CASE OF AN
INDIVIDUAL HOLDER IF IT IS A HOLDING OF THAT PERSON'S SPOUSE OR
CHILDREN UNDER THE AGE OF 18
On behalf of its affiliates
NAME OF THE REGISTERED HOLDER(S) AND, IF MORE THAN ONE HOLDER,
THE NUMBER OF SHARES HELD BY EACH OF THEM
See list appended
NUMBER OF SHARES/AMOUNT OF STOCK ACQUIRED
N/A
PERCENTAGE OF ISSUED CLASS
N/A
NUMBER OF SHARES/AMOUNT OF STOCK DISPOSED
Not advised
PERCENTAGE OF ISSUED CLASS
Not advised
CLASS OF SECURITY
Ordinary shares of 5p each
DATE OF TRANSACTION
Not advised
DATE COMPANY INFORMED
4 February 2002
TOTAL HOLDING FOLLOWING THIS NOTIFICATION
97,180,988
TOTAL PERCENTAGE HOLDING OF ISSUED CLASS FOLLOWING THIS
NOTIFICATION
13.43%
ANY ADDITIONAL INFORMATION
Notification due to a decrease in shares owned by Capital
Guardian Trust Company.
NAME OF CONTACT AND TELEPHONE NUMBER FOR QUERIES
Lorraine Young 020 7659 6020
NAME OF AUTHORISED COMPANY OFFICIAL RESPONSIBLE FOR MAKING THIS
NOTIFICATION
Lorraine Young, Company Secretary
DATE OF NOTIFICATION
4 February 2002
EARTH SANCTUARIES: Issues Expiry of Options Notice
--------------------------------------------------
Earth Sanctuaries Limited issued Managing Director J Wamsley's
letter to option-holders regarding expiry of options:
"The purpose of this letter is to bring to your attention that
options in the company registered in your name are due to expire
on the 31st March 2002. Any of the 2002 options not exercised by
that date will lapse. These options will then cease to be listed
on the Stock Exchange.
"If you would like to convert your options to shares in the
company, you can do so by forwarding $2.50 for each option you
wish to convert. A form of conversion notice is attached.
"You will doubtless be aware that the share price of the company
on the Stock Exchange is substantially less than this exercise
price. The last sale on 31st January last was at ____cents. The
highest and lowest price during the three months prior to that
date was ____cents and ____cents respectively. However, if you
would like to assist the company in its activities of preserving
Australian wildlife by subscribing additional capital and taking
up more shares, you are strongly urged to do so. Any shares
taken up will rank equally with all existing shares in the
company.
"As announced to the Stock Exchange, the company is
restructuring its activities. A copy of last month's notice to
the Stock Exchange is also enclosed for your information. Since
then a number of interested parties have expressed strong
interest in ESL or some of its properties. Directors are hopeful
that a successful outcome can be achieved which will continue
the company's work in conserving Australias wild life. In the
meantime, planning to transfer animals to Little River and to
open that Sanctuary for walks is well in hand and should be
achieved during March.
"As always, your support of the company is very much
appreciated, particularly in these difficult times."
HIH INSURANCE: Releases Commission Hearing Schedule
---------------------------------------------------
The HIH Royal Commission will not be sitting Monday 4 February.
It will resume sitting on Tuesday 5 February and will continue
until Friday 8 February.
Present indications are that the Commission will sit Monday to
Friday of each of the weeks commencing 11, & 18 February and 4,
11 & 18 March 2002. The Commission may also sit between 25 & 28
March 2002. Sitting dates for the period after the Easter break
will be advised.
Please note that the Commission will not be sitting in the week
beginning 25 February 2002.
Hours of Sitting
From and including Tuesday 5 February until further notice, the
sitting times will be 9:30AM to 11:15AM, 11:30AM to 1:00PM and
2:00PM to 4:30PM
Commission Location
Level 8, 'The Landmark' 345 George Street, Sydney
MTM ENTERTAINMENT: To Accept Force Litigation Settlement
--------------------------------------------------------
Due to an extension of the rights issue by Force Corporation
Limited (Force) of New Zealand, the MTM Entertainment Trust
(MME) has agreed to accept the payment of the Force litigation
settlement proceeds of NZ$53 million by no later than 28
February 2002. The board of MTM Funds Management Ltd
(responsible entity of MME) expects repayment of these proceeds
by 28 February 2002 but cannot guarantee
it.
The NZ$53 million remains first secured against the Force
Entertainment Center until paid. Interest is payable on the
settlement amount until repaid.
NORMANDY MINING: Newmont to extend bid Until February 26
------------------------------------------------------------
Newmont Mining Corporation (NYSE:NEM) announced that it intends
to declare its bid for Normandy Mining Limited (ASX:NDY)
unconditional on 15 February 2002, if certain conditions are
satisfied by that time. Newmont also announced that it will
extend the period for acceptance of its bid to 7:00pm local time
in Sydney (3:00am local time in New York) on 26 February 2002.
The bid had been scheduled to expire on 15 February.
A number of the conditions to Newmont's bid now have been
satisfied. Newmont noted that it intends to declare its bid free
of all remaining conditions if certain of the outstanding
conditions are satisfied by 15 February 2002. These conditions
include approval of the transaction by Newmont stockholders at
the special meeting that will be held on 13 February 2002 in
Denver, approval from the Australian Stock Exchange for both the
admission of Newmont to the ASX Official List and the quotation
of Newmont CDIs, and Newmont having acquired relevant interests
in at least 50.1% of the Normandy shares (calculated on a fully-
diluted basis), including the approximately 19.8% of Normandy
owned by Franco-Nevada Mining Corporation Limited (TSE:FN).
Mr Wayne Murdy, Chairman, President and Chief Executive Officer
of Newmont, stated, "We have every confidence in our ability to
satisfy the necessary conditions to our bid before the close of
business in Australia on February 15th so we can declare our bid
unconditional. More than 97% of the proxies received for our
special meeting of stockholders have been cast in favor of the
transaction and we have a relevant interest in approximately 22%
of the Normandy shares, calculated on a fully-diluted basis. Our
ASX listing application is well advanced and we are hopeful of
having ASX approval early next week."
Mr Murdy added, "The extension of our bid is intended to afford
Normandy shareholders in various locations around the globe the
opportunity to accept our bid after Newmont stockholder approval
has been obtained on February 13th and the other conditions to
our bid have been satisfied or waived."
Newmont has arranged for payment to be made following the close
of ASX trading on Wednesday, 20 February for acceptances
received by 7:00pm local time in Sydney (3:00am local time in
New York) on 15 February 2002 if, as currently anticipated, the
bid becomes unconditional on 15 February. Payment for
acceptances received after that time will be made within five
business days, as provided under the terms of the bid.
Mr Murdy said, "We want to assist Normandy shareholders in
completing this transaction and encourage them to accept our bid
before February 15th. If shareholders have any questions about
how to do so, they should consult their financial or other
professional advisor or call Newmont's stockholder information
line."
Normandy shareholders may call Newmont's stockholder information
line at 1 800 507 507 (toll-free within Australia), 1 888 750
5835 (toll-free within the United States or Canada) or +61 2
9278 9331 (if outside Australia, the United States or Canada).
The Board of Directors of Normandy, subject to its fiduciary
duties, has recommended that shareholders of Normandy accept
Newmont's bid. The Normandy directors have stated their
intention to accept (or procure acceptance of) Newmont's bid in
respect of the shares of Normandy of which they can control the
disposal.
Below is a copy of the Notice of Variation:
DELTA ACQUISITION LLC
(ARBN 099 040 507)
a wholly owned subsidiary of
NEWMONT MINING CORPORATION
(ARBN 098 955 741)
NOTICE OF VARIATION EXTENDING THE OFFER PERIOD
TO: Normandy Mining Limited
ABN 86 009 295 765
AND TO: Each person (not being a Normandy Shareholder who has
a registered address as shown in Normandy's register of members
in the United States of America or Canada) to whom Delta
Acquisition LLC has made an off-market offer dated 20 December
2001.
AND TO: Each person being a Normandy Shareholder (which
includes a Normandy ADS holder) who has a registered address as
shown in Normandy's register of members in the United States of
America or Canada, to whom Delta Acquisition LLC has made an
off-market offer dated 10 January 2002 (10 January 2002 Offer).
1. INTERPRETATION
Terms defined in the Bidder's Statement dated 20 December 2001
(Bidder's Statement) given by Delta Acquisition LLC to Normandy
Mining Limited (as varied by the Notice of Variation Increasing
Consideration Offered dated 10 January 2002 and the
Supplementary Bidder's Statement dated 16 January 2002 given by
Delta Acquisition LLC to Normandy Mining Limited) have the same
meaning where used in this Notice of Variation.
2. VARIATION
Delta gives notice that it varies its Offer by extending the end
of the Offer Period from 7.00pm, Sydney time (3.00am New York
City time) on 15 February 2002 to 7.00pm Sydney time (3.00am New
York City time) on 26 February 2002.
VARIATION TO BIDDER'S STATEMENT
Accordingly, the Offer set out in Section 2 of the Bidder's
Statement is varied:
(a) by deleting each of the references to "15 February 2002"
in Sections 2.2(a) and 2.4 of the Bidder's Statement, and
replacing each with a reference to "26 February 2002";
(b) by deleting the reference to "7 February 2002" in Section
2.10(f) of the Bidder's Statement, and replacing it with a
reference to "l8 February 2002"; and
(c) by deleting the reference to "15/02/2002" on the
Acceptance Form that accompanied the Bidder's Statement, and
replacing it with "26/02/2002".
All other references in the Bidder's Statement to the Offer
Period ending at 7.00pm Sydney time(3.00am New York City time)
on 15 February 2002 shall be read as references to the Offer
Period ending at 7.00pm Sydney time (3.00am New York City time)
on 26 February 2002.
VARIATION TO 10 JANUARY 2002 OFFER
Accordingly, the offer set out in Section 5 of the offer
document that was included in the Form S-4 registration
statement relating to the 10 January 2002 Offer, declared
affective by the United States Securities and Exchange
Commission (Offer Document) is varied as follows:
(a) by deleting each of the references to "February 15, 2002"
on the cover page and in Sections 1.5,2,5.2(a)and 5.4 of the
Offer Document, and replacing each with a reference to "February
26, 2002";
(b) by deleting the reference to "February 7, 2002" in
Section 5.10(f) of the Offer Document, and replacing it with
reference to "February 18, 2002"; and
(c) by deleting each reference to "February l5, 2002" in the
Acceptance Form and ADS Letter of Transmittal which accompanied
the Offer Document, and replacing each with a reference to
"February 26, 2002".
All other references in the Offer Document (including references
in all documents sent with the Offer Document) to the offer
period ending at 7.00pm Sydney time (3.00am New York City time)
on February 15, 2002 shall be read as references to the offer
period ending at 7.00pm Sydney time (3.00am New York City time)
on February 26, 2002.
3. LODGMENT WITH ASIC
A copy of this notice was lodged with the ASIC on 7 February
2002. ASIC takes no responsibility for the contents of this
notice.
This Notice of Variation has been approved by a unanimous
resolution of the only persons who have the authority to manage
the affairs of Delta Acquisition LLC being:
* Mr Wayne Murdy with delegated authority to act on behalf of
Delta Holdco Corp (of which company Delta Acquisition LLC is a
wholly owned subsidiary); and
* Messrs Hansen, Banks, Karras, Eppler and Ms Wheeler to each
of whom Delta Holdco Corp has delegated the management and
affairs of Delta Acquisition LLC.
NORMANDY MINING: NZO Will Not Accept Takeover Offer
---------------------------------------------------
Having received some inquiries as to its intentions, New Zealand
Oil & Gas Limited advised that it does not intend to accept the
current takeover offer by the Normandy Mining group for its
investment in Otter Gold Mines.
NZOG holds 3.5 million Otter shares and 1.4 million options
In making the decision not to accept the offer, cognizance has
been given to -
* the views expressed in Stanton Partners' independent report
that the offer is not fair and that the assessed fair market
value may be as high as 54 cents per share.
* the fact that Stanton Partners in arriving at that opinion,
placed a value on the Martha mine which is very substantially
below a separate Martha valuation by Grant Samuel in relation to
Normandy Mining's own assets.
* the recent upsurge in the gold price and a generally more
favorable outlook for gold producers.
Further information contact:
Brian Roulston
COMPANY SECRETARY
Telephone: 09 377 0941
Toll Free: 0800 000 594
================================
C H I N A & H O N G K O N G
================================
CENTRAL CHAIN: Winding Up Sought By Siu Sing
--------------------------------------------
Siu Sing is seeking the winding up of Central Chain Limited. The
petition was filed on December 3, 2001, and was heard before the
High Court of Hong Kong on February 6, 2002 at 10:00 am. Siu
Sing holds its registered office at Room 713, Hong Tai House,
Cheung Hong Estate, Tsing Yi, New Territories, Hong Kong.
CHINA SEA: Petition To Wind Up Heard
------------------------------------
The petition to wind up China Sea Finance Company Limited was
heard before the High Court of Hong Kong on February 6, 2002 at
10:00 am. The petition was filed with the court on August 30,
2001 by Bank of China (Hong Kong) Limited (the successor
corporation to The China State Bank Limited pursuant to Bank of
China (Hong Kong) Limited (Merger) Ordinance (Cap. 1167) of 14th
Floor, Bank of China Tower, 1 Garden Road, Central, Hong Kong.
G-PROP HOLDINGS: Turnover Movement Unexplainable
------------------------------------------------
The Board of Directors of G-Prop (Holdings) Limited (Board) has
noted the recent increase in the trading volume of the shares of
the Company and wishes to state that the Board is not aware of
any reasons for such increase, save as the proposed acquisition
and placing of convertible bonds stated in press announcement
dated 31st January, 2002.
The Board also confirmed that, save as above, there are no
negotiations or agreements relating to intended acquisitions or
realizations which are discloseable under paragraph 3 of the
Listing Agreement, neither is the Board 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.
GUANGDONG KELON: Still Conducting Internal Audit
------------------------------------------------
The Board of Directors of Guangdong Kelon Electrical Holdings
Company Limited (the Company), as previously announced on 29
January 2002, announced that the Company is still conducting its
internal audit in relation to the connected transactions and
inter-company financial arrangements with Guangdong Kelon
(Rongsheng) Group Company Limited.
Currently, the Compnay Board has instructed the relevant
departments of the Company to carry out the final stages of
confirming the contents of the announcement and will release
such announcement as soon as possible. Trading in the shares of
the Company remains suspended pending the release of such
announcement.
Trading in the shares of the Company was suspended at the
request of the Company with effect from 10:00 am on 14 December
2001.
KENFORD INTERNATIONAL: Faces Winding Up Petition
------------------------------------------------
The petition to wind up Kenford International Development
Limited was set for hearing before the High Court of Hong Kong
on November 21, 2001 at 9:30 am.
The petition was filed with the court on November 21, 2001 by
Bank of China (Hong Kong) Limited (the successor corporation to
Sin Hua Bank pursuant to Bank of China (Hong Kong) Limited
(Merger) Ordinance (Cap. 1167) of 14th Floor, Bank of China
Tower, 1 Garden Road, Central, Hong Kong.
KWONG NAM: Winding Up Petition Pending
---------------------------------------
Kwong Nam Investment Limited is facing a winding up petition,
which is slated to be heard before the High Court of Hong Kong
on March 27, 2002 at 9:30 am.
The petition was filed on January 3, 2002 by Bank of China (Hong
Kong) Limited (the successor corporation to Sin Hua Bank
pursuant to Bank of China (Hong Kong) Limited (Merger) Ordinance
(Cap. 1167) of 14th Floor, Bank of China Tower, 1 Garden Road,
Central, Hong Kong.
MANDARIN RESOURCES: Registrar of Companies OKs Change of Name
-------------------------------------------------------------
The Board of Directors of Mandarin Resources Corporation
Limited) (the Company), in reference to the announcements on 4th
December, 2001 and 14th January, 2002 regarding the proposed
change of name of the Company, announce that the change of name
of the Company was approved by the Registrar of Companies in
Hong Kong and the Certificate of Incorporation on Change of Name
dated 30th January, 2002 was received by the Company on 4th
February, 2002. The name of the Company was changed from
"Mandarin Resources Corporation Limited" to "Massive Resources
International Corporation Limited" commencing on 30th January,
2002 and new share certificates of the Company will be issued in
the new name of the Company accordingly.
The change of name of the Company will not affect any of the
rights of shareholders of the Company. All existing share
certificates in issue bearing the former name of the Company
will continue to be evidence of title to the shares of the
Company and will be valid for trading, settlement and
registration purposes.
Shareholders of the Company may, during the period of one month
from 6th February, 2002 to 4:00 p.m. on 6th March, 2002 (both
dates inclusive), submit the existing share certificates in the
name of "Mandarin Resources Corporation Limited" to Central
Registration Hong Kong Limited, the share registrar of the
Company, at Shops 1712 to 1716, 17th Floor, Hopewell Centre, 183
Queen's Road East, Hong Kong, in exchange for new share
certificates in the new name of the Company at no cost.
After the period expires, share certificates of the Company will
be accepted for exchange only on payment by the shareholders of
a fee of HK$2.5 each or such higher amount as may be prescribed
or allowed under The Rules Governing the Listing of Securities
on The Stock Exchange of Hong Kong Limited and the Memorandum
and Articles of Association of the Company from time to time for
each such certificate issued.
Trading of the shares of the Company on The Stock Exchange of
Hong Kong Limited under the new English name "MASSIVE RES" with
the same stock code of "70" for shares of the Company will take
effect from 7th February, 2002.
The Board has noted the recent increase in the trading volume of
the shares of the Company and wishes to state that it is not
aware of any reasons for such an increase.
Save for the information as stated in the announcements of the
Company dated 7th January and 4th February, 2002, the Board also
confirms that there are no negotiations or agreements relating
to intended acquisitions or realizations which are discloseable
under paragraph 3 of the Listing Agreement, neither is the Board
aware of any matters discloseable under the general obligation
imposed by paragraph 2 of the Listing Agreement, which is or may
be of a price sensitive nature.
METROWELL HOLDINGS: Winding Up Petition Conducted
-------------------------------------------------
The petition to wind up Metrowell Holdings Limited was scheduled
for hearing before the High Court of Hong Kong on February 6,
2002 at 10:00 am.
The petition was filed with the court on August 30, 2001 by Bank
of China (Hong Kong) Limited (the successor corporation to The
China State Bank Limited pursuant to Bank of China (Hong Kong)
Limited (Merger) Ordinance (Cap. 1167) of 14th Floor, Bank of
China Tower, 1 Garden Road, Central, Hong Kong.
SANDER INDUSTRIAL: Winding Up Petition to be Heard
-----------------------------------------------------
The petition to wind up Sander Industrial Company Limited is
scheduled to be heard before the High Court of Hong Kong on
February 20, 2002 at 9:30 am. The petition was filed with the
court on December 12, 2001 by Union Star Polymer Company Limited
whose registered office is situated at Flat D, 7th Floor, Waylee
Industrial Centre, 30-38 Tsuen King Circuit, Tsuen Wan, New
Territories, Hong Kong.
=================
I N D O N E S I A
=================
BANK CENTRAL: Stanchart Denies Berca's Ties to Salim Group
----------------------------------------------------------
Standard Chartered Bank PLC (Stanchart) refuted news that PT
Berca Indonesia, one of its consortium members seeking to buy PT
Bank Central Asia Tbk (BCA), is affiliated with the Salim Group,
IndoExchange reports.
The Salim Group, BCA's old owner, has pledged BCA to the
Indonesian Bank restructuring Agency (IBRA) in compensation for
its huge debt to the government. It has been categorized as
tarnished bankers and banned by Bank Indonesia from having a
stake or seat in the management of a bank in the country.
"Berca Indonesia is a joint venture between a number of leading
multinational companies," Raymond Ferguson, the chief executive
of Stanchart in Indonesia, said, denying that Berca is carrying
a debt burden.
The Stanchart consortium, one of four final bidders, is the
favorite to win the tender for a 51 percent stake of IBRA in
BCA. Other members of the consortium include British insurance
company Prudential Plc and the Government of Singapore
Investment Corp. Pte. Limited.
The other three bidders are Farallon Capital, Bank Mega and
GKBI.
SEMEN GRESIK: Government Proposing Management Reshuffle
-------------------------------------------------------
State Enterprise Minister Laksamana Sukardi said the government
will propose a management change in PT Semen Gresik and its
units, Semen Tonasa and Semen Padang, AFX reported Thursday.
The proposal will be voted on at Semen Gresik's extraordinary
general meeting later this month as part of a hopefully smooth
divestment of the government's stake in the company.
"The replacement of the Semen Gresik, Semen Padang and Semen
Tonasa Boards of Directors will be done in the immediate
future," Sukardi said.
=========
J A P A N
=========
DAIEI INC: Founder Nakauchi Gives Up Executive Posts
----------------------------------------------------
Daiei Inc's founder and former chairman, Isao Nakauchi,
relinquished all his executive posts at Daiei group of
companies, Japan Today Japan News reported Thursday, which cited
Daiei officials.
Nakauchi resigned Monday as chairman of the Daiei Hawks
professional baseball team and senior advisory posts at
restaurant chain Volks Inc. and department store Printemps Ginza
S.A., also as honorary chairman at Recruit Co.
FUJITSU LIMITED: Consolidating Four US, Britain Subsidiaries
------------------------------------------------------------
Fujitsu Ltd will consolidate four system consulting and IT
solution services subsidiaries in the US and Britain into
Fujitsu Services Holdings PLC and Fujitsu Consulting Holdings
Inc from April, PRNewsASIA reported Wednesday.
Fujitsu will scrap its British ICL unit and replace it with the
London-based Fujitsu Services, comprising the group's IT
services operations in Europe, the Middle East and Africa,
drawing the bulk of its 15,500 employees from the old ICL.
Fujitsu Services will focus on government contracts, outsourcing
and education and training.
Meanwhile, the New Jersey-based Fujitsu Consulting will have
9,000 staff, with 1,300 IT consultants from ICL and the
remainder from DMR Consulting, a Fujitsu subsidiary. Fujitsu
Consulting will look for acquisitions in services and consulting
markets.
HITACHI LTD: Unit's COO Speaks to Californian Conference
--------------------------------------------------------
Hitachi Data Systems, a wholly owned subsidiary of Hitachi, Ltd.
(NYSE:HIT), announced on February 4, 2002 that its Chief
Operating Officer, Dave Roberson, made a speech at 4:00 p.m.
Pacific Standard time on Monday at the Goldman Sachs Technology
Investment Symposium at LaQuinta Resort & Club in LaQuinta,
California.
The conference, hosted by the Goldman Sachs Technology Team,
provides an opportunity for more than 850 investors and analysts
to broaden their knowledge base and learn about new investment
ideas. Dave Roberson will join over 160 executives from leading
technology companies, including Hitachi Data Systems' partners
Sun Microsystems, Inc. and Hewlett-Packard Company.
A live audio webcast of the presentation will be available on
the Goldman Sachs website at: https://www.gs.com/ir/conf
Username: conference/conf3
Password: goldman3
About Hitachi Data Systems
Hitachi Data Systems is a leading supplier of storage hardware,
software, solutions and services. As a wholly owned subsidiary
of Hitachi, Ltd. (NYSE:HIT) , Japan's largest electronics
company, HDS is committed to providing the technological
infrastructure for the world's most information-intensive
corporations. With 2,600 employees, Hitachi Data Systems does
business in the public and private sectors in 170 countries on
six continents, including the rapidly emerging economies in
Southeast Asia and Eastern Europe. Its customers include more
than 50 percent of Fortune 100 companies, and all of the major
Storage Service Providers (SSPs). For more information, please
visit the HDS Web site at www.hds.com.
About Hitachi, Ltd.
Hitachi, Ltd., head-quartered in Tokyo, Japan, is one of the
world's leading global electronics companies, with fiscal 2000
(ended March 31, 2001) consolidated sales of 8,417 billion yen
($67.9 billion (a)). The company manufactures and markets a wide
range of products, including computers, semiconductors, consumer
products and power and industrial equipment. For more
information on Hitachi, Ltd., please visit Hitachi's Web site at
http://global.hitachi.com.
(a) At an exchange rate of 124 yen to the dollar.
TCR-AP reported that Hitachi Ltd announced to cut 4,000 more
employees in the group companies by the end of June with the
introduction of a new early retirement program in February. The
restructuring scheme disclosed last year that the Company aims
to cut 16,350 jobs at home and abroad. The firm will cut a total
of 20,350 jobs with the introduction of the new retirement
system.
Note to Editors: Hitachi Data Systems is registered with the
U.S. Patent and Trademark Office as a trademark and service mark
of Hitachi, Ltd. Freedom Storage and Thunder 9200 are trademarks
of Hitachi Data Systems.
CONTACT: Hitachi Data Systems
Steven Zivanic, 408/970-7971 (Analyst Relations)
Steven.zivanic@hds.com
MARUBENI CORP: Debts Likely To Fall to Y2.5T in 2003
----------------------------------------------------
Marubeni Corp President Tooru Tsuji said that as a result of a
two-year business plan that began in April 2000, its interest-
bearing debts will likely drop to Y2 trillion by the end of
March 2006. He added the Company has also cut its debt estimate
as of the end of March 2003 to Y2.5 trillion from Y2.65 trillion
projected earlier, Japan Today Japan News reported Thursday.
MITSUBISHI CHEMICAL: Dainippon to Buy Plastic Pellets Business
--------------------------------------------------------------
Mitsubishi Chemical Corp's plastic pellets business will be
acquired by Dainippon Ink and Chemicals Inc in April for an
undisclosed sum, making it Dainippon Japan's largest plastic
pellet company, with a domestic market share of just above 40
percent, PRNewsAsia reported Thursday, which cited the Nihon
Keizai Shimbun.
Dainippon will also take full ownership of a plastic pellet
manufacturing firm in Nagano Prefecture, currently 40 percent
owned each by Dainippon and Mitsubishi and 20 percent by Nissei
Plastic Industrial Co Ltd.
MITSUI MUTUAL: S&P Affirms BB-Minus Rating After Y100B Injection
----------------------------------------------------------------
Standard & Poor's Corp (S&P) affirmed its BB-minus insurer
financial strength and long-term counterparty credit ratings on
Mitsui Mutual Life Insurance Co. after an injection of Y100
billion into Mitsui Mutual Life's "kikin" funding, a type of
subordinated debt unique to Japanese mutual life insurers, which
will take place in March as scheduled, Japan Today Japan News
reported Wednesday.
TCR-AP reported last year that Mitsui Mutual planned to raise
some Y100 billion in foundation funds, a type of subordinated
debt, before the end of the current fiscal year. Sumitomo Mitsui
Banking Corp, other Mitsui group firms and regional banks are
expected to join the programmed to more than double Mitsui's
foundation funds from the current Y69 billion.
NIPPON TELEGRAPH: Union Not Seeking Uniform Base Wage Hike
----------------------------------------------------------
The Nippon Telegraph and Telephone Corp. labor union, Japan's
largest private sector labor union, decided not to seek a
uniform hike in base wages during spring salary negotiations,
with the decision to be formalized at the union's central
committee meeting on Thursday, Japan Times reports, which quoted
union officials.
The decision stemmed from the company's restructuring plans,
including NTT East Corp. and NTT West Corp., involving wage cuts
of up to 30 percent and the transfer of around 110,000 workers
to lower-paid positions at subsidiaries. For a second
consecutive year, the union decided not to set a uniform target
in light of the widening difference in performance at the eight
companies in the NTT group.
"We want to put the greatest priority on securing employment and
stability," said Junjiro Tsuda, head of the NTT labor union.
NTT DoCoMo Inc. is expected to ask for a 2,000 yen allowance,
while NTT Communications Corp. and NTT Data Corp. are expected
to request 1,000 yen.
SNOW BRAND: Farm Ministry Against Foreign Capital Alliance
----------------------------------------------------------
Japan's farm ministry is against Snow Brand Milk Products Co's
move to form a capital alliance with a foreign company as part
of a restructuring program aimed at rebuilding the Snow Brand
group, Kyodo News reported Thursday, which quoted a Liberal
Democratic Party (LDP) lawmaker.
Agriculture Production Bureau chief, Kikuhito Sugata, told Snow
Brand to consider choosing a Japanese firm as a partner, rather
than a foreign company, which is likely unable to understand
"why and how Japan's dairy farming should be protected," as
reported by PRNewsAsia Wednesday.
=========
K O R E A
=========
ASIANA AIRLINES: Fitch Lowers Ratings to B, Watch Negative
----------------------------------------------------------
Fitch Ratings has downgraded its senior unsecured foreign
currency debt rating for Asiana Airlines S.A. (Asiana) to 'B'
from 'BB-'. The rating remains on Rating Watch Negative.
Fitch's downgrade reflects the negative pressure that the
current global airline industry downturn has placed on the
credit quality of Asiana. The Company's profitability has been
sharply reduced during the past 12 months by weaker passenger
demand (which accounts for approximately 60 percent of revenues)
and weaker cargo demand (more than 30 percent of revenues) on
most of its major routes. In addition, Asiana has a limited
degree of financial flexibility and significant refinancing
needs during the next year. Its operating environment is
expected to remain challenging in the near term.
Asiana's passenger revenues have been negatively affected by
both slow economic growth throughout Asia and by the events of
September 11th in the United States. The US is the single
largest international passenger market for Asiana and it has
responded to the initial contraction in traffic demand
by reducing the number of flights to the US by 25 percent. These
routes have also been affected by the interruption of the code-
share alliance between Asiana and American Airlines in mid 2001
when the FAA downgraded Korea's air safety rating from Category
I to Category II. As Korea's Category I rating was restored in
December, Asiana expects to resume its code share alliance with
American Airlines in the next few months. International
passenger load factors decreased from 75.9 percent in 2000 to an
estimated 73.6 percent in 2001.
Asiana's cargo operations are mostly focused on the transport of
high technology products between Korea and the United States and
the slowdown of the information technology (IT) industry in the
US has had a negative impact on its international cargo
operations. In response to weak cargo demand, Asiana decreased
such capacity by 8 percent during 2001. Cargo load factors
decreased from 75.8 percent in 2000 to an estimated 73.8 percent
in 2001 EBITDAR/Interest+Rents has decreased from 1.4X in 2000
to an estimated 1.0X in 2001 due to the negative operating
environment and is not expected to improve significantly during
the first half of 2002. Profitability could improve in the
second half of 2002 if jet fuel prices remain low and passenger
traffic demand increases. The World Cup and the Asian Games,
which will take place in Korea, as well as new frequencies
between Seoul and Tokyo, could provide a boost to revenues in
the second half of 2002.
The Company has a liquidity risk due to low cash balances and
significant refinancing needs. It currently maintains cash
balances of approximately US$20 million. Approximately one--
fourth of the company's US$2 billion of on-balance sheet debt is
short term. Asiana was able to refinance maturing debt in the
fourth quarter 2001 by issuing KRW250bn (US$190m equivalent) in
asset-backed bonds in the Korean market and by receiving a
KRW110bn (US$85m equivalent) loan from the Korean government.
However, Asiana will continue to face significant refinancing
needs in the near future. It has indicated that it is planning
asset sales and sale-leaseback equipment transactions to
improve liquidity during 2002.
Asiana operates domestic and international passenger and cargo
operations with a fleet of 55 passenger aircraft and five cargo
aircraft. The company's revenues for 2001 are estimated at
US$1.7 billion. In accordance with the corporate rating
downgrade, the securitization transaction, OZ Receivable Plc,
Series 2000-1 Secured Notes, has been downgraded to 'B+' Rating
Watch Negative from 'BB' Rating Watch Negative.
DAEWO MOTOR: GM Proposal Expected This Week, KDB Says
-----------------------------------------------------
Korea Development Bank (KDB) said General Motors Corp is
expected to make a proposal to buy Daewoo Motor Co this week,
with the terms of the proposal to likely reflect the result of
GM's due diligence on Daewoo Motor, PRNewsAsia reported
Thursday.
TCR-AP reported last January 21 that General Motors Corp has
discovered an unspecified amount of hidden debt owed by Daewoo
Motor. Union leader Kim Il-sup was quoted as saying that it may
emerge as a major obstacle to a final deal.
HYUNDAI MOTOR: Signs 50-50 JV With Beijing Automotive
-----------------------------------------------------
Hyundai Motor's Vice Chairman Park Byung-jae signed a memorandum
of understanding Tuesday with An Ching hyong, President of
Beijing Automotive Industry Holding Company Ltd for a new
venture, which will produce 100,000 automobiles annually by
2004, and 200,000 units from 2005 in China. The two automakers
will each take a 50 percent share of the joint business, with
Hyundai to invest $250 million, Korea Times reported Wednesday.
"The joint corporation will pave the way to the huge mainland
market, which will be the third biggest car market in 2010 with
50 million automobiles," a Hyundai official said.
The joint firm will also develop its own model to sell in the
mainland market. Beijing Automotive will launch the production
of EF Sonata, including a taxi model, from October and churn out
more Hyundai models from its production lines.
MEDISON CO: Files For Receivership, To Pay W394.7B Debts By 2011
----------------------------------------------------------------
Medison Co Ltd, one of the representative venture companies in
Korea that went bankrupt last month because of excessive debts
and poor business performance, filed for receivership at its
Central Office District Court in Chunchon, Gangwon Province,
undertaking repayment of all debts totaling W394.7 billion by
2011 through asset sales, Korea Herald reported Thursday.
Medison deserves protection because its value as a going concern
was estimated at W256 billion, W73 billion more than its value
when liquidated, a company official said. The Company's
restructuring plan calls for disposal of non-core assets and
creation of W467.3 billion in operating profits by 2011 to
completely repay the debt, the official added.
SAMSUNG ELECTRONICS: Top Execs Earn W3.6B Last Year
---------------------------------------------------
Samsung Electronics' top executives earned an average of W3.6
billion ($2.7 million) in wages and other income last year. The
company's registered directors earned W26.1 billion collectively
last year. Excluding the W360 million paid to outside directors,
the Company's seven in-house directors, including Chairman Lee
Kun-hee and Vice Chairman Yun Jong-yong, earned W25.7 billion in
wages, or W3.67 billion per person last year, Korea Herald
reported Thursday. The earnings of the seven registered in-house
directors would have been larger if income from stock options
was included.
Samsung, which reduced the number of registered directors to 14
from 20 last year following the introduction of derivative suits
against directors for a breach of duty, will set aside W50
billion for its registered directors this year, up 25 percent
from last year, subject to shareholders' approval.
* FSS Says Under Workout Cos Escape Complete Capital Erosion
------------------------------------------------------------
The Financial Supervisory Service (FSS) said Wednesday that
Sepoong Corp., Kabool and Kohap, which are under workout
programs, managed to escape from complete capital erosion last
year, but because the results were from calculations carried out
by the three firms themselves, the extent of their equity
capital could fall under external audits, Korea Herald reported
Thursday.
The three firms, which with Ssangyong Engineering & Construction
and Tongkook Trading Co., also under a work-out program,
suffered capital erosion from 2000 up to the third quarter of
last year, but were no longer experiencing an erosion according
to interim settlements for fiscal year 2001. According to FSS
data, the equity capital of the three firms as of the end of
2001 reached W22.1 billion for Sepoong, W1.9 billion for Kabool
and W28 billion for KP Capital (Kohap's new corporation), but
Tongkook Trading continuing to suffer from complete capital
erosion in 2001, while Ssangyong Engineering & Construction's
capital erosion ratio reached 98 percent.
===============
M A L A Y S I A
===============
ASIAN PAC: Debt Restructuring Plan Completed
--------------------------------------------
Asian Pac Holdings Berhad (Asian Pac or the Company) has
regularized its financial position and the Company's latest
audited accounts for the six-month period ended 30 September
2001 do not have an adverse or disclaimer opinion in respect of
the Company's going concern. As such, the criteria listed on
Para 2 of release from the obligations of Practice Note no.
4/2001 (PN 4/2001) for an affected listed issuer no longer
applies to the Company. The actions taken by the Company to
regularize its financial position includes:
1. The Company has completed its Debt Restructuring Plan to
regularize its financial position with the issuance of
298,252,110 Redeemable Convertible Secured Loan Stocks 2000/2005
(RCSLS) and 148,259,308 Irredeemable Convertible Unsecured Loan
Stocks 2000/2005 (ICULS) on 23 December 2000 and the issuance of
170,602,799 Warrants (53,936,132 Warrants pursuant to the Debt
Restructuring and 116,666,667 Warrants pursuant to the Rights
Issue exercise) which was completed on 16 October 2001;
2. Subsequent to the half yearly audited accounts for period
ended 30 September 2001, the Company had, on 4 February 2002
transferred the stockbroking business of Kin Khoon & Co. Sdn Bhd
(KKC) to Allied Avenue Assets Securities Sdn Bhd (AAA). As such,
the accounts of KKC will no longer be subject to Rule 9.4.1 of
the Rules of the Kuala Lumpur Stock Exchange pertaining to stock
broking companies, which requires full provision to be made on
all amounts outstanding for more than 30 days.
With immediate effect, the Company will no longer be required to
comply with the obligations of PN 4/2001.
KUALA LUMPUR: Submits Proposal Revision
---------------------------------------
On behalf of Kuala Lumpur Industries Holdings Berhad (KLIH or
Company)(Special Administrator Appointed), Commerce
International Merchant Bankers Berhad (CIMB) announced that
Equine Capital Berhad (ECB) has been identified as the company
to assume the listing status of KLIH pursuant to the Proposed
Corporate Restructuring within the framework of Pengurusan
Danaharta Nasional Berhad Act, 1998 (Proposal).
Pursuant to the above, ECB and Datuk Patrick Lim Soo Kit
(DPLSK), as the representative of the shareholders of Taman
Equine (M) Sdn. Bhd. (Equine) (Equine Vendors) had, on 1
February 2002, entered into a conditional share sale agreement
(SSA) for the proposed acquisition of 100 percent of the equity
interest of Equine comprising 12,002,150 ordinary shares of
RM1.00 each in Equine (Equine Shares) for a purchase
consideration of RM199,000,000 to be satisfied by the issuance
of 110,000,000 new ordinary shares of RM1.00 each (ECB Shares)
and RM89,000,000 nominal value irredeemable convertible
unsecured loan stocks in ECB (ECB ICULS) (Proposed Equine
Acquisition).
CIMB also announced the revision to certain of the terms in the
Proposal after taking into consideration the final open market
values of the landed properties of Equine and its subsidiaries
(Equine Group) as valued by independent professional valuers
namely Azmi & Co. Sdn. Bhd. and Regroup Associate Sdn. Bhd.
(Independent Valuers) (Proposed Revision).
DETAILS OF THE PROPOSED REVISION
Proposed Equine Acquisition
Under the revised terms of the Proposed Equine Acquisition, ECB
shall acquire 100 percent of the equity interest of Equine for a
purchase consideration of RM199,000,000, being the revalued net
assets value of Equine Group as at 31 October 2001 after
incorporating the final open market values of the landed
properties of the Equine Group as appraised by the Independent
Valuers.
This is in contrast to the purchase consideration of
RM211,000,000 as announced on 6 December 2001 which was based on
the indicative open market values of the landed properties of
the Equine Group.
The revised purchase consideration will be satisfied by the
issuance of 110,000,000 new ECB Shares and RM89,000,000 nominal
value ECB ICULS as compared to 115,000,000 new ECB Shares and
RM96,000,000 nominal value ECB ICULS as announced on 6 December
2001.
Save for the above, all other terms of the Proposed Equine
Acquisition remain unchanged.
Proposed Offer for Sale
Under the revised terms of the Proposed Offer for Sale, ECB
shall also undertake an offer for sale of up to 19,900,000 ECB
Shares representing up to 10 percent of the purchase
consideration to be received by the Equine Vendors pursuant to
the Proposed Equine Acquisition together with the 24,962,409 ECB
Shares issued to the unsecured creditors of KLIH (Offer Shares)
to public and/or Bumiputera investors approved by the Ministry
of International Trade and Industry on a best effort basis. The
offer price is set at RM1.00 per ECB Share.
This is in contrast to the offer for sale of only 24,962,409 ECB
Shares issued to the unsecured creditors of KLIH as announced on
6 December 2001.
In the event of an under subscription of the ECB Shares
available under the Proposed Offer for Sale, the Offer Shares
shall firstly be allocated from the pool of creditors' shares in
priority to the shares of the Equine Vendors being offered for
sale. Any creditors' shares not taken up will be returned to
creditors on a pro-rata basis. Similarly, any Equine Vendors'
shares not taken up will be returned to the Equine Vendors.
Save for the above, there are no other revisions to the terms of
the Proposal.
OTHER SALIENT TERMS OF THE SSA
The other salient terms of the SSA include, among others, the
following:
(i) The purchase consideration and the number of ECB Shares
and ECB ICULS shall be adjusted accordingly to reflect the
purchase consideration as may be approved by the Securities
Commission (SC) (Approved Purchase Consideration) provided that
the Approved Purchase Consideration shall not in any event vary
by more than 10 percent from the purchase consideration. In the
event that the Approved Purchase Consideration is varied by more
than 10 percent from the purchase consideration, the parties may
mutually agree to continue or terminate the SSA; and
(ii) The Equine Vendors have agreed to enter into the SSA and
to perform its obligation on the basis that the corporate
restructuring exercise of KLIH is in the form as stated in the
Proposal. In the event that a modification is proposed to the
Proposal and the Equine Vendors are materially affected by the
said modification, the Equine Vendors may terminate the SSA by
notice in writing of 14 business days to ECB.
INFORMATION ON ECB
ECB was incorporated on 4 April 2001 under its current name. Its
present authorized share capital is RM100,000 comprising 100,000
ordinary shares of RM1.00 each, of which two (2) ECB Shares have
been issued and fully paid-up.
ECB is currently a dormant company. Upon completion of the
Proposal, ECB's principal activity will be investment holding
while its subsidiaries will be mainly involved in property
development.
EFFECTS OF THE PROPOSED REVISION
The effects of the Proposed Revision are as follows:
Share Capital
The proforma effect of the Proposed Revision on the issued and
paid-up share capital of KLIH is as announced on 6 December
2001.
The proforma effect of the Proposed Revision on the issued and
paid-up share capital of ECB is set out in Table 1 at
http://www.bankrupt.com/misc/TCRAP_KLIH0207.html
Earnings
The effect of the Proposed Revision on the earnings of ECB is as
announced on 6 December 2001.
Net Tangible Assets (NTA)
The proforma effect of the Proposed Revision on the NTA of KLIH
and its subsidiaries (KLIH Group) based on the audited accounts
of the KLIH Group as at 31 March 2001 is set out in Table 2 at
http://www.bankrupt.com/misc/TCRAP_KLIH0207.html
The proforma effect of the Proposed Revision on the NTA of ECB
and its subsidiaries (ECB Group) as at the date of incorporation
is set out in Table 3 found at
http://www.bankrupt.com/misc/TCRAP_KLIH0207.html
Shareholding Structure
The proforma effect of the Proposed Revision on the shareholding
structure of ECB is set out in Table 4 at
http://www.bankrupt.com/misc/TCRAP_KLIH0207.html
MBF CAPITAL: Gets SC's Nod on Proposed Extension
------------------------------------------------
Alliance Merchant Bank Berhad (Alliance), for and on behalf of
the Board of Directors of MBf Capital Berhad (MBf Capital or
Company), announced that the Securities Commission (SC) had,
vide its letter dated 4 February 2002, granted an approval for
the proposed exemption for MBf Insurans Berhad (MBfI) from
undertaking a mandatory offer pursuant to the Malaysian Code on
Take-Overs and Mergers, 1998 (Code) for all the remaining QBE
Insurance (Malaysia) Berhad (QBEM) shares not already held by
MBfI upon completion of the proposed merger between QBEM and
MBfI (Proposed Exemption) under Practice Note 2.9.6 of the Code
after taking into consideration, inter-alia, the following:
(i) According to Part II of the Code, upon completion of the
proposals above, MBfI will hold 49 percent of the merged QBEM
which would result technically in a trigger of an obligation on
the part of MBfI to make a mandatory offer for the remaining
issued QBEM shares not already held by MBfI; and
(ii) The remaining shareholders in QBEM, namely, QBE, has
given its undertaking that it will not accept a take-over offer
to be made in accordance with the provisions of the Code by
MBfI, if any.
MBF CAPITAL: Proposed Acquisition Finalized
-------------------------------------------
The Board of Directors of MBf Capital Berhad (MBfC) announced
that its proposed acquisition of 51 percent equity interest in
MBf Unit Trust Management Berhad (MBfut) (Proposed Acquisition)
of 51 percent equity interest in MBfUT representing 1,530,000
ordinary shares of RM1.00 each from MBf Finance Berhad for a
cash consideration of RM8.0 million has been completed on 31
January 2002.
MBfC had written in to the Securities Commission (SC) to seek
exemption in respect of making the mandatory general offer for
the remaining MBfUT shares, which are not already acquired, and
is currently pending SC's decision.
MGR CORPORATION: Posts Auditors' 2001 Report Qualification
----------------------------------------------------------
MGR Corporation Berhad announced the qualification as stated in
its external auditors' report for the financial year ended 30
September 2001. The factors which have been considered and
taken into account by the external auditors in arriving at the
above qualification are:
1. The shareholders' funds of the Group and Company as at 30
September 2001 were in deficit of RM224,223,254 and
RM151,449,855 respectively and current liabilities of the Group
and the Company exceeded current assets by RM252,061,686 and
RM178,581,497 respectively.
2. All the bank borrowings of the Group and the Company fell
due for payment during the year under review and Pengurusan
Danaharta Nasional Berhad had on 11 October 2001 appointed
Special Administrators to the Company pursuant to Section 24 of
the Pengurusan Danaharta Nasional Berhad Act, 1998 to
effectively take over the management and control of the Company.
In addition, one of the bankers of a wholly owned subsidiary of
the Company had on 2 November 2001 exercised its rights under a
deed of debenture to appoint a receiver and manager to take
control of that subsidiary company. On 21 December 2001, the
solicitors for the banker of another subsidiary of the company
issued a notice of demand to the subsidiary company for full
settlement of the outstanding banking facility.
On 21 January 2002, the affected subsidiary company has issued a
letter to seek the indulgence of the banker to grant the
subsidiary company time to come up with a work plan to
regularize the outstanding banking facility. As at the date of
the external auditors' report, the bank has yet to respond to
the subsidiary company.
3. That certain property, plant and equipment with net book
value of RM37,379,307 and inventories amounting to RM1,217,231
of certain subsidiary companies are stated at recoverable
amounts of RM9,500,000 and RM611,534 respectively. In this
instance, the external auditors are unable to obtain sufficient
information to assess the recoverable amounts of these property,
plant and equipment and inventories.
In view of the above factors, the external auditors are of the
opinion that the going concern basis of preparing the financial
statements of the Group and Company is subject to significant
uncertainty. Consequently, the external auditors are unable to
assess whether the use of the going concern basis in the
preparation of the financial statements is appropriate.
The validity of the going concern assumption depends on the
successful implementation of the workout proposal currently
being formulated by the Special Administrators of the Company,
after approvals have been obtained and the Group's and the
Company's ability to generate profits and positive cash flows in
the future.
PSC INDUSTRIES: Receivers, Managers Appointed on Unit
-----------------------------------------------------
The Board of Directors of PSC Industries Berhad (PSCI or the
Company) announced that Affin Bank Berhad has given notice for
the appointment of Kenneth Teh Ah Kiam and Chew Hoy Ping of
PricewaterhouseCoopers as joint and several Receivers and
Managers over the assets of Perstim Industries Sdn Bhd
(Perstim). Perstim is a 99.86 percent subsidiary of Penang
Shipbuilding & Construction Sdn Bhd which in turn is a wholly
owned subsidiary of PSCI.
Date of appointment of Receivers and Managers: 31 January 2002.
Details of subsidiary under Receivers and Managers
Perstim is a private limited company incorporated in Malaysia on
24 January 1995. The current paid-up capital is RM25,000,000
which is divided into 25,000,000 ordinary shares of RM1.00 each.
Perstim is a 99.86 percent subsidiary of Penang Shipbuilding &
Construction Sdn Bhd, a wholly owned subsidiary of PSCI.
Perstim is an investment holding company. It has 30 percent
equity interest in PSC-Naval Dockyard Sdn Bhd ("PSC-ND"), a
company privatized in 1995 with principal activities in repair
and maintenance of naval and merchant ships, defense equipment
and systems, fabrication of steel structures and shipbuilding.
Net book value of the affected assets
The audited net asset value of Perstim as at 31 December 2000
was RM10,935,634. However this does not take into consideration
the intrinsic value of Perstim which has a 30 percent equity
interest in PSC-Naval Dockyard Sdn Bhd.
Details of the events leading to the appointment of Receivers
and Managers
PSCI earlier rescued Perstim, which was then under Receivership,
when it acquired Perstim on 18 July 2000. Perstim was acquired
through PSCI's wholly owned subsidiary Penang Shipbuilding &
Construction Sdn Bhd from Perusahaan Sadur Timah Malaysia Berhad
(Perstima). Perstim was then already indebted to Affin Bank
Berhad (formerly known as Perwira Affin Bank Bhd) for banking
facilities of more than RM103 million.
Perstim had originally obtained banking facilities of RM90
million from Affin Bank Berhad , which is secured inter alia, by
a debenture on the fixed and floating charge over all the
present and future assets of Perstim. Affin Bank Berhad had also
taken a Judgment in Default against Perstim on 30 July 1999.
A sum of RM62.98 million has been paid towards the banking
facilities since PSC took over Perstim, of which RM50.54 million
was paid since 27 December 1999 to 28 February 2001.The
outstanding balance of the facilities as at 28 February 2001 was
RM60.12 million.
The banking facilities were restructured via a letter of offer
dated 28 March 2001, which was accepted by Perstim on 30 March
2001. The restructured facilities are payable by way of 20 equal
quarterly instalment of RM3,713,100 each commencing 31 March
2001 and ending on 30 June 2006.
Perstim had paid all 3 installments on the restructured facility
whilst the last instalment due on 31 December 2001 was paid by
Perstim and received by Affin Merchant Bank on behalf of Affin
Bank Berhad on 31 January 2002. The check for the payment was
handed back to the Company on 4 February 2002.
Financial and operational impact on PSCI group arising from the
appointment of Receivers and Managers on Perstim.
The Company is unable to ascertain the financial impact on the
PSCI Group arising from the appointment of Receiver and Manager
at this juncture. Operationally, there is no impact expected on
PSCI as Perstim is only an investment holding company.
Expected losses arising from the appointment of Receivers and
Managers
The Company does not expect any losses arising from the
appointment of the Receivers and Managers.
Steps proposed to be taken in respect of the appointment of
Receivers and Managers
The Company has filed application for an interim injunction to
restrain the Receiver & Manager from exercising their rights and
duties as their appointment is not proper and valid. This is due
to the fact that Perstim has made the installment payment
towards the banking facilities based on the accepted letter of
offer dated 28 March 2001. The next installment payment will
only be due on 31 March 2002.
The hearing for the injunction is scheduled on 7 February 2002.
Meanwhile the Company is considering other appropriate action
towards resolving the matter.
PSC INDUSTRIES: Seeks Proposal Implementation Time Extension
------------------------------------------------------------
PSC Industries Berhad, pursuant to the approvals from the
Securities Commission (SC) dated 15 August 2001, has submitted
an application through our Corporate Adviser, Aseambankers
Malaysia Berhad for an extension of time for the implementation
of the Proposals to the Securities Commission on 30 January
2002.
The Board of Directors of PSCI has decided to maintain the
current structure of the Proposals as much as possible. Should
there be any variation to the Proposal (as a result of the
creditor banks' requests), the Company will submit to the SC a
full application on the revised scheme.
The Proposals comprise:
* Proposed Private Placement
* Proposed Debt Restructuring
* Proposed Restricted Offers For Sale
* Proposed Waiver Of Mandatory General Offers
SAP HOLDINGS: Proposes Articles of Association Amendment
--------------------------------------------------------
The Board of Sap Holdings Berhad informed that the Company
intends to seek its shareholders' approval at the forthcoming
Extraordinary General Meeting for the proposed amendment to the
Articles of Association and adoption of new Memorandum &
Articles of Association of the Company to bring them in line
with the provisions of the Listing Requirements of the Kuala
Lumpur Stock Exchange, Companies Act 1965, Securities Industry
(Central Depositories) Act 1991, rules of the Malaysian Central
Depository Sdn Bhd and other regulatory requirements and where
relevant, to ensure consistency throughout the Articles of
Association.
The circular to shareholders containing information on the above
said proposal will be dispatched to the shareholders of the
company in due course.
SPORTMA CORPORATION: SC OKs Debt Restructuring Scheme Amendments
----------------------------------------------------------------
On behalf of the Special Administrator (SA) of Sportma
Corporation Berhad (Special Administrators Appointed) (Sportma
or Company), Affin Merchant Bank Berhad (formerly known as
Perwira Affin Merchant Bank Berhad) (Affin Merchant) announced
that the Company had on 31 January 2002, received the Securities
Commission (SC)'s approval for the Proposed Amendments on the
following proposals under the proposed corporate and debt
restructuring scheme of the Company which had been earlier
approved by the SC, by its letters dated 30 August 2000 and 6
November 2000 (Approved Proposals):
(i) Proposed transfer of part of the liabilities of Sportma
amounting to RM17,787,251 to Harn Len Corporation Berhad (Harn
Len);
(ii) Proposed amendment to the proposed rights issue of up to
30,000,000 new ordinary shares of RM1.00 each in Harn Len at an
issue price of RM1.30 per share (Rights Share) on the basis of
twelve (12) Rights Shares for every one (1) Harn Len share of
RM1.00 each (Harn Len Share) held after the proposed transfer of
Sportma's listing status to Harn Len by way of exchanging ten
(10) Sportma shares for one Harn Len Share (Proposed Share Swap
and Transfer of Listing), together with up to 30,000,000 free
detachable Warrants "B" on the basis of one (1) Warrant "B" for
every one (1) Rights Share subscribed (Proposed Rights Issue).
The Proposed Rights Issue also involves a minimum subscription
of Rights Shares, proposed debt-equity conversion and proposed
settlement of Sportma's debt via the issuance of new Harn Len
Shares. Further details can be referred to in Appendix I below
and the utilization of the proceeds from the Proposed Rights
Issue can be referred to in Table A at
http://www.bankrupt.com/misc/TCRAP_Sportma0207.doc;
(iii) Proposed amendment to the settlement of the purchase
consideration of RM232.00 million for the proposed acquisitions
by Harn Len of the entire equity interest of Uniglobal Sdn Bhd,
Pelita Pertama Sdn Bhd, Suen Tai (Sabah) Sdn Bhd (Suen Tai) and
Desamawar Runding Sdn Bhd (Desamawar) from LNH Enterprise Sdn
Bhd (LNH Enterprise) and the proposed acquisitions of fixed
assets held by Lian Hup Manufacturing Co Sdn Bhd (Lian Hup),
Syarikat Senang Oil Palm Sdn Bhd (SSOP) and Perdana Properties
Sdn Bhd (PPB) which on a collective basis consist of 7 oil palm
plantations with a total acreage of 19,153.90 acres, a palm oil
mill and a 25-storey commercial building (Proposed
Acquisitions). Details of the settlement of the total purchase
consideration of RM232.00 million can be referred to in Table B
at http://www.bankrupt.com/misc/TCRAP_Sportma0207.doc;
(iv) Cancellation of the proposed disposal of the fixed
assets of Sportma to Amalgamated Composite Technologies Sdn Bhd
(ACT) as approved earlier. Instead, the assets of Sportma will
be taken possession by Affin Bank Berhad (formerly now as
Perwira Affin Bank Berhad) (the Secured Creditor) under its
debenture agreement, as partial settlement of debt; and
(v) Cancellation of the proposed disposal of Silksprint
Industries Sdn Bhd (Silksprint) to ACT. Instead, Silksprint will
be liquidated and the creditors of Silksprint will be settled
from the realization of assets of the company in accordance to
the Companies Act, 1965 and Companies Winding Rules, 1972.
(The above proposals hereinafter collectively to be referred as
"the Proposed Amendments")
The above approval of the SC for the Proposed Amendments is
subject to the terms and conditions as set out in the SC's
approval letters dated 30 August 2000 and 6 November 2000 as
well as the following terms and conditions:
(i) Issuance of all the free detachable Warrants "A" and "B"
is to be implemented under one class of warrants;
(ii) The Proposed Acquisition by Han Len can only be
implemented upon these conditions:
(a) the finalization and execution of the settlement
agreement between Lian Hup and SSOP, and the Inland Revenue
Board (IRB) in relation to the settlement of the outstanding tax
liabilities owing to the IRB by both Lian Hup and SSOP;
(b) Lian Hup and SSOP must deposit with a stakeholder a
certain number of Harn Len Shares, to be received by them
pursuant to the Proposed Acquisitions, which amount is
equivalent to the aggregate tax liabilities owing to the IRB.
The stakeholder must at all times ensure that the total value of
all Harn Len Shares deposited with the stakeholder equal to the
outstanding tax liabilities owing to the IRB. In the event that
Lian Hup and SSOP failed to settle their tax liabilities in
accordance to the payment terms as stipulated in the settlement
agreement, the stakeholder is required to sell such number of
the deposited Harn Len Shares in order to settle the outstanding
tax liabilities;
(c) Lian Hup, SSOP and the Board of Directors of Harn Len
have to furnish statutory declarations that they will fulfill
all obligations in any agreements and/or settlement scheme of
arrangements entered into or plan to enter into with any
relevant authorities in relation to the outstanding tax
liabilities with the IRB until the completion of the proposed
corporate and debt restructuring scheme of Sportma.
(d) The registration of the title to a piece of land namely
CL115403757 purchased by Suen Tai under its name;
(e) The registration of the title to a piece of land namely
CL115398368 purchased by Desamawar under its name; and
(f) All "encumbrances" relating to the acquiree assets and
acquiree companies have been fully discharged.
The utilization of the proceeds from the Proposed Right Issue as
described in Table A at
http://www.bankrupt.com/misc/TCRAP_Sportma0207.docis subject to
the following terms and conditions:
(i) The approval from the SC must be obtained for any
variations to the utilization of the proceeds other than for
working capital requirement of Harn Len;
(ii) Harn Len must obtain its shareholders' approval in the
event there is a variation of 25 percent or more to the
utilization of the proceeds. If the variation is less than 25
percent, Harn Len is required to make proper disclosure to its
shareholders;
(iii) Any extension of time for the utilization of the
proceeds must be approved by way of a final resolution by the
Board of Directors of Harn Len and announced to the Kuala Lumpur
Stock Exchange; and
(iv) Periodic disclosure of the status of the utilization of
the proceeds in the quarterly reports and annual reports of Harn
Len until the proceeds are fully utilized.
APPENDIX I
Proposed minimum subscription, debt-equity conversion and share
settlement arrangements
(i) In the event the Proposed Rights Issue is fully
subscribed by the eligible shareholders, the proceeds of RM39
million to be raised from the Proposed Rights Issue will be
utilized as in Table A at
http://www.bankrupt.com/misc/TCRAP_Sportma0207.doc
(i) In the event the Proposed Rights Issue is at zero
subscription level, the underwriter(s) will subscribe for the
guaranteed subscription level of 7,307,692 Rights Shares at an
issue price of RM1.30 per share to ensure the resultant cash
proceeds of RM9.50 million for working capital requirements and
cost and expense of the proposals.
The Proposed Rights Issue will then close with 7,307,692 Rights
Shares being subscribed. The remaining unsubscribed 22,692,308
Rights Shares (i.e. proposed 30,000,000 Rights Shares minus the
minimum subscription of 7,307,692 Rights Shares) that are not
underwritten will not be issued. Instead, this will take place:
(a) Proposed Debt-Equity Conversion
The proposed debt-equity conversion of RM4.5 million nominal
amount of debt owing by Harn Len to the creditors of Sportma
(pursuant the proposed novation of debt) via the allotment and
issuance of 3,461,538 new Harn Len Shares at a conversion price
of RM1.30 per share directly to the creditors, together with
3,461,538 free detachable Warrants "B" on the basis of one (1)
Warrant "B" for every one (1) new Harn Len Share to be issued,
as partial settlement of debt of RM4.5 million; and
(b) Proposed Share Settlement
Sportma/Harn Len has proposed to utilize RM25 million of the
proceeds from the Proposed Rights issue for the settlement of
the cash consideration for the Proposed Acquisition, amount of
which will in turn be allocated by the vendors for partial
settlement of Sportma's debt of the same amount. In the event of
zero-subscription of the Proposed Rights Issue, the proposed
settlement of the RM25 million owing to the vendors pursuant to
the Proposed Acquisitions, will be made via the issuance of
19,230,770 new Harn Len Shares at an issue price of RM1.30 per
share together with 19,230,770 free detachable Warrants "B" on
the basis of one (1) Warrant "B" for every one (1) new Harn Len
Share to be issued (Proposed Share Settlement). The said new
Harn Len Shares with warrants, nevertheless, will be issued
directly to the creditors as partial settlement of Sportma's
debt of RM25 million, as originally intended by the vendors.
(iii) In the event the Proposed Rights Issue is partially
subscribed for whatever amount, any cash proceeds arising from
the Proposed Rights Issue will be allocated to:
(a) Harn Len for working capital and cost and expenses of
the proposals;
(b) the creditors as partial settlement of debt pursuant to
the proposed rights issue settlement; and
(c) cash consideration for the Proposed Acquisitions;
proportionately, in accordance to the ratio of 19:9:50. In this
regard, the number of Rights Shares to be subscribed by the
underwriters in order to meet the guaranteed RM9.5 million for
the Group's working capital, and cost and expenses of the
proposals, as well as the number of new Harn Len Shares to be
allotted directly to the creditors pursuant to the Proposed
Debt-Equity Conversion and Proposed Share Settlement (at a
conversion and/or issue price of RM1.30 per share), will be
adjusted based on the difference between the allocated rights
issue proceeds and the intended settlement amount as highlighted
in Table A below.
(iv) Pursuant to the proposed amendments to the Proposed
Rights Issue, it is proposed that the creditors who are allotted
and issued the ordinary shares of Harn Len at RM1.30 each
arising from the Proposed Rights Issue and/or Proposed Debt-
Equity Conversion and Proposed Share Settlement, in the event
the under-subscription of the Proposed Rights Issue, (the
entitled creditors), be given a put option to sell the Harn Len
Shares to Low Nam Hui & Sons Sdn Bhd, the holding company of
Lian Hup, SSOP and PPB, at the exercise price of RM1.30 per
share. The put option is exercisable by the entitle creditors,
at any time during the period commencing on the 4th anniversary
of the date of the listing of the new Harn Len Shares and ending
30 days thereafter.
TA ENTERPRISE: Land Disposal SPA Duly Executed
----------------------------------------------
The shareholders of TA Enterprise Berhad (the Company) had on 30
January 2002 approved the resolution for the Company to dispose
a parcel of freehold land located on Lot 46200, Geran 21281,
Mukim and District of Kuala Lumpur, Wilayah Persekutuan
measuring approximately 10,936 square feet to Datuk Mohamed bin
Abid, Executive Director of TA Enterprise Berhad, by Orchard
Park Sdn Bhd (OPSB), a wholly owned subsidiary of TA Properties
Sdn Bhd (TAP), which in turn is a wholly owned subsidiary of the
Company for a cash consideration of RM2,258,000 (Land Disposal).
The Company informed that the Sales and Purchase Agreement (SPA)
between Datuk Mohamed Bin Abid and OPSB on the Land Disposal has
been duly executed on the 5th February 2002 and according to the
terms of the SPA, the purchase price shall be paid by Datuk
Mohamed Bin Abid to OPSB within one month from the date hereof.
TALAM CORPORATION: Strikes Off Dormant Subsidiary
-------------------------------------------------
Talam Corporation Berhad (Talam) advised that Profil Kembangan
(M) Sdn Bhd, a dormant subsidiary of Talam has been struck off
from the register by the Registrar of Companies pursuant to
powers conferred by subsection 308(4) of the Companies Act, 1965
and accordingly dissolved.
TCR-AP reported last month that the following dormant
subsidiaries have been struck off from the register by the
Registrar of Companies pursuant to powers conferred by
subsection 308(4) of the Companies Act, 1965 and accordingly
dissolved:
* Baiduri Prestasi Sdn Bhd
* Erat Kejora Sdn Bhd
* Talam Hotel Management Services Sdn Bhd
* Talam Larut Management Services Sdn Bhd
TECHNOLOGY RESOURCES: To Raise RM700M Through Share Issuance
------------------------------------------------------------
The Board of Directors of Technology Resources Industries Berhad
(TRI), further to its earlier announcement dated 25 January 2002
in relation to signing of the underwriting agreement in relation
to the renounceable rights issue of 754,907,661 new shares
(Rights Shares) at an issue price of Rm1.00 per share (Rights
Issue), announced that the Company has signed an underwriting
agreement with MIMB, as the Managing Underwriter, and 15 other
underwriters to underwrite all the Rights Shares at the issue
price of RM1.00 per Rights Share.
The underwriting together with the undertaking by substantial
shareholders fully secure the Rights Issue exercise that will
raise about RM755 million as planned.
Go to http://www.bankrupt.com/misc/TCRAP_TRI0207.docto see
media statement relating to the Rights Issue.
DebtTraders reports that Technology Resources Industries' 2.750%
convertible bond due on 2004 (TRI2) trades above par between 112
and 119. For real-time bond pricing, go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=TRI2
=====================
P H I L I P P I N E S
=====================
MAYNILAD WATER: Expects Payment Extension for US$100M Loan
----------------------------------------------------------
Benpres unit Maynilad Water Services Inc expected payment
extension, if approved by its creditors, for its US$100 million
bridge loan maturing this month, PRNewsAsia reported Wednesday,
quoting project finance director Gilles Puno, who rejected a
speculation that the creditors are asking Maynilad parent
Benpres Holdings Corp to use shares in its profitable companies
like ABS-CBN Broadcasting Corp as collateral for Maynilad's
loan.
Puno said, "It's not a done deal until we sign the extension,
but I think things are looking good so far." The bridge loan
entered into by Maynilad in August 2001 was extended by the same
banks that will potentially secure a US$350 million term loan
for the company, he added.
Puno does not expect the terms of the loan to change
significantly. "What we've done is we requested for another
extension of six months from the bridge loan lenders...(they)
are also going to be the permanent term loan lenders, so it's
really a question of working with them to complete the term loan
of US$350 million."
NATIONAL BANK: Tan Group, Govt Signing MOA Today
------------------------------------------------
The signing of the formal agreement between the government and
the Lucio Tan group on the rehabilitation of Philippine National
Bank (PNB) is scheduled today, February 8.
Philippine Deposit Insurance Corp. (PDIC)'s president and
concurrent chairman of PNB, Norberto Nazareno, said the final
form of the memorandum of agreement (MOA) has already been
approved by all the parties concerned, as reported by ABS-CBN
News. Nazareno said they were still awaiting "full powers" for
Finance Secretary Jose Isidro Camacho to sign the MOA with Tan
as well as a final Department of Justice opinion on the final
version of the MOA.
The signing was moved from January 18 to February 8 because some
"ancillary documents" need to be completed together with their
respective attachments, including financial assistance, escrow
and joint-sale agreements; special power of attorneys (SPAs for
Tan), board resolutions of companies, and assignment of voting
rights with irrevocable proxies. It also had to be reset because
finance secretary, who will sign the document on behalf of the
government, was to attend the World Economic Forum in New York.
Tan has also been trying to get the SPAs from more than 40
individuals and corporations associated with his 67-percent
block of shares in PNB in order to sign the MOA.
NATIONAL BANK: Posts P4.5 Billion 2001 Prelim Net Loss
------------------------------------------------------
President and chairman Norberto Nazareno of the Philippine
National Bank (PNB) said the bank posted a preliminary net loss
of P4.5 billion in 2001, against a loss of P5.973 billion a year
earlier, due to substantial interest payments on a P25 billion
debt to the central bank and the Philippine Deposit Insurance
Corporation, PRNewsAsia reported Wednesday. PNB paid out P300
million in interest on the P25 billion loan, with P1.1 billion
settle on the principal.
Nazareno said, "Preliminary figures point to a P4.5 billion loss
last year, but there's a chance to break even this year and even
show profits if we can actualize our business plan." He was
referring to the memorandum of agreement that will soon be
signed between the government and the Lucio Tan group.
NATIONAL POWER: Proceeds US$500M Bond Offer; 8T Posts Vacant
------------------------------------------------------------
Energy Secretary Vicente Perez said National Power Corporation
will proceed with its planned US$500 million worth of bonds
offering this month, moved from last week due to weak market
conditions, PRNewsAsia reported Thursday, which cited
BusinessWorld. The government will use US$500 million to partly
fund this year's budget deficit, while the remaining US$250
million will be relent to Napocor.
Meanwhile, some 8,000 positions will be declared vacant by the
National Power Corporation as part of its restructuring under
the power sector reform law. Employees of the National
Electrification Administration and units of the Department of
Energy will also be terminated, PRNewsAsia reported, citing the
Manila Standard.
NATIONAL POWER: Govt Tapping New Offers From Investment Banks
-------------------------------------------------------------
The government will tap new offers from investment banks should
it fail in its plan to raise $500 million from the international
capital market for National Power Corporation's (NPC)
requirements in the coming weeks, Manila Bulletin reported
Wednesday. Energy secretary Vincent S. Perez said they are open
to other options, but he refused to identify those that have
already advanced their tenders.
The government needs to secure only around $750 million for
NPC's estimated cash infusion this year pegged at $1.0 billion
because Credit Suisse First Boston (CSFB) already pumped in $250
million from its 15-year bond offering. Perez said the negative
market condition prevailing last week in time for the planned
$500 million NPC bond issue prompted the government to withdraw
from the offering. The planned seven-year bonds was arranged by
Bear Stearns & Co. Inc. and JP Morgan Chase to refinance the
existing debt and general budgetary requirements of the soon-to-
be privatized power firm.
NATIONAL STEEL: Creditors Propose Danaharta's Stake Retention
-------------------------------------------------------------
Creditor banks of National Steel Corp. (NSC) proposed to leave
Pengurusan Danaharta Nasional Berhad (Danaharta) with 15% to 33%
equity from its original 82.5 percent stake, after NSC's
Malaysian stakeholders agreed to write down investments in the
steel manufacturer, BusinessWorld reported Wednesday. The banks,
however, are still in discussion about the proportionate shares
that will be left to other NSC stakeholders including 12.5
percent stakeholder National Development Co. and 5 percent
stakeholder Marubeni Corporation.
Philippine National Bank (PNB), which has the biggest P5.6
billion (US$109.44 million at PhP51.169=$1) loan exposure in
NSC, reportedly has already asked creditor banks about their
stand on the equity investments. NSC has a total of P16 billion
in debt to creditor banks.
One source said, if the banks pushed for liquidation with
Danaharta, the Malaysian government could use its several legal
options to haggle for controlling stake in the company, which
could cause further delays. Thus, creditor banks, as much as
possible, want to avoid legal and political complications that
it decided to leave the firm with equity. Hottick Investments
Co., Ltd., which is now under Danaharta, originally invested
$800 million for the 82.5 percent stake in NSC.
=================
S I N G A P O R E
=================
ASIA FOOD: Reschedules US$226.7M Debt as at January End
-------------------------------------------------------
Asia Food & Properties Ltd and its unit Golden Agri-Resources
Ltd said they have rescheduled an additional US$25.07 million in
debts in January, bringing the total rescheduled debt by end-
January to US$226.7 million, PRNewsAsia reported Wednesday.
In a joint announcement, Asia Food and GAR said as of end-
January, Asia Food alone was able to reschedule 36.9 million in
debt while GAR, 189.8 million. So far, the rescheduled debts
comprise 19 percent of Asia Food's total debt amounting to
US$1.193 billion.
Asia Food said that the group was able to reduce its cash and
time deposits with BII Bank Ltd by US$12 million in December
last year, including 7 million for GAR.
Since end March last year, Asia Food said it has reduced its
principal amount of cash and time deposits in BII Bank by US$51
million. The 51 million has exceeded the bank's first proposed
repayment for the period May 2001 to April 2002 of US$27 million
for the Asia Food group.
CAPITALAND LIMITED: Unit's 50% Owned Century West Deregistered
--------------------------------------------------------------
The Board of Directors of CapitaLand Limited announced that
pursuant to Clause 905 of the SGX Listing Manual, Century West
International Limited, a dormant company incorporated in Hong
Kong, was de-registered by the Companies Registry of Hong Kong,
with effect from 4 January 2002.
Century West was 50% held by Pidemco Land (HK) Pte Ltd, a wholly
owned indirect subsidiary of CapitaLand. The other 50% was held
by American International Assurance Company (Bermuda) Limited.
KEN-AIR: SIA Denies Responsibility for Tour Operator Collapse
-------------------------------------------------------------
Kenny Goh, Ken-Air's founder and managing director, applied for
provisional liquidation last week for Ken-Air Leisure Group and
its subsidiaries, following losses of about $30 million. The
Ken-Air Leisure Group was founded in 1973 and is one of the
biggest travel agents in Singapore with annual turnover topping
$100 million.
Singapore Airlines (SIA) denied Wednesday it was responsible for
the collapse of Singapore's largest tour operator Ken-Air Tours.
SIA's area Vice-President for the Singapore sales office Chia
Boon Kuah said, "This is not the case," and that of the many
companies in the Ken-Air stable the airline had appointed only
one company in the group - Ken-Air Travel Management Systems Pty
Ltd - as its agent, Business Times reported Thursday.
In late October, SIA was informed by the Company that it was
unable to fully renew its financial arrangements and therefore a
revised trading relationship was then put in place. Subsequently
in early December, SIA was told by Ken-Air Travel Management
Systems that its business was being bought over by Anglo-French
Travel, which was also an agent of SIA.
Accordingly, Mr Chia said the proposed acquisition meant that
the Ken-Air Company would cease to have a separate business role
with SIA. He said, "For the sake of good order, we wrote to Ken-
Air to confirm the understanding to discontinue the trading
relationship. Therefore, contrary to the reference made about
the closure of Ken-Air Tours, our trading relationship was only
with Ken-Air Travel Management Systems as our appointed agent,
with whom we have had a healthy business relationship for many
years."
SEMBCORP LOGISTICS: Capital Group Changes Deemed Interest
---------------------------------------------------------
Sembcorp Logistics posted a notice of changes in The Capital
Group Companies, Inc'a deemed substantial share-holding:
Date of notice to company: 06 Feb 2002
Date of change of deemed interest: 05 Feb 2002
Name of registered holder: DBS Nominees Pte Ltd
Circumstance giving rise to the change: Open market purchase
Shares held in the name of registered holder
No. of shares of the change: 62,000
% of issued share capital: 0.01
Amount of consideration per share excluding brokerage, GST,
stamp duties, clearing fee: S$2.10
No. of shares held before change: 56,074,400
% of issued share capital: 6.59
No. of shares held after change: 56,136,400
% of issued share capital: 6.6
Holdings of Substantial Shareholder including direct and deemed
interest
Deemed Direct
No. of shares held before change: 88,435,200
% of issued share capital: 10.39
No. of shares held after change: 88,497,200
% of issued share capital: 10.4
Total shares: 88,497,200
===============
T H A I L A N D
===============
DATAMAT PUBLIC: Proposes Capital Increase as Debt Repayment
-----------------------------------------------------------
Datamat Public Company Limited board of directors meeting
(#3/2545) held on February 5, 2002 from 10:30 to 12:00 passed a
resolution in respect of a capital increase. The details are:
1. Capital increase:
1.1 Registered capital : From Bt621,285,198
: To Bt1,000,000,000
1.2 Number of new common shares issued
- Par value per share : Bt1
- Total capital increase : Bt378,714,802
2. Allotment of new shares:
- To specific persons : 378,714,802 shares
The Board of Director will request the Shareholder to authorize
the Board to specific name, number of share sales, price per
share, subscription and payment period later.
3. Schedule for the Shareholder Meeting to Seek Approval for the
Capital Increase:
The Extraordinary General Meeting of Shareholders No 1/2002 to
seek approval for the capital increase and new share allotment
was scheduled to be held on February 21, 2002, at 2:00 p.m. at
the conference room on the 2nd Floor, Datamat Building, No.
1252, Pattanakarn Road, Suanluang Subdistrict, Suanluang
District, Bangkok. The share transfer registration for the right
to attend the Shareholders Meeting was be closed on February 1,
2002 at 12:00 a.m. until the Meeting adjourns.
4. Application for Permission of Capital Increase with the
Relevant Authorities and Conditions of Permission:
The Company shall apply for registration of the capital increase
and amendment of the Memorandum of Association with Ministry of
Commerce. Furthermore, the Company shall submit an application
to the Stock Exchange to accept new shares as listed securities.
5. Objectives of Capital Increase and Application of the
Increased Funds:
This increase of capital is intended for the debt repayment and
the Company's working capital.
6. Benefits to be obtained by the Company from the Capital
Increase/Share Allotment:
- The Company will be able to reduce its debt obligations,
thereby reducing the interest payment of the Company.
- The company will have the working capital to be used for
its business operation.
- To have another strategic investors.
7. Benefits to be obtained by Shareholders from the Capital
Increase/Share Allotment
- Due to the reducing of interest payment obligation of the
Company and increase of ability to operate its business more
efficiently, the Company will be able to make a profit from its
operation.
8. Other Necessary Details for Shareholders in Support of their
Approval of the Capital Increase/Share Allotment: - None -
9. Action Plan for the Capital Increase/Share Allotment Approved
by the Board of Directors:
The Company will arrange for the allocation of shares as soon as
possible after already decrease the shares. The details are set
below:
Date Description
February 5, 2002 Board of directors Meeting #3/2002 passed the
resolution to increase the capital.
February 5, 2002 Announce the resolution to the Stock Exchange
of Thailand
February 21, 2002 Extraordinary General Meeting of Shareholder
No. 1/2002,
By using share register on February 1, 2002 at 12.00 p.m.
SUN TECH: Reports Reorganization Plan Implementation Progress
-------------------------------------------------------------
Srisongkram Planner Company Limited, Plan Administrator of Sun
Tech Group Public Company Limited (SUNTEC or the Company), in
reference to the Central Bankruptcy Court ordered an approval to
SUNTEC's Business Reorganization Plan (the Plan), informed the
progress of the implementation of the plan for the last 3 months
as follows:
The Company has repaid to the Creditors during May 3, 2001 Jan
31, 2002:
1. Group 4 Creditors: (Creditors who own secured debts of at
least15 percent of the debts specified in the -plan) in the
amount of Bt22,434,768.52
2. Group 7 Creditors: (Unsecured debts Creditors as Trade
Creditors) in the amount of Bt21,434,768.52
3. Group 8 Creditors: (Unsecured debts Creditors as
Agricultural Trade Creditors) in the amount of Bt14,209,608.03
4. Group 9 Creditors: (Unsecured debts Creditors as Debts
Restructuring Advisory Creditors) in the amount of Bt107,000
5. Group 11Creditors: (Unsecured Debts Creditors as Tax
account payable) in the amount of Bt30,256
The Total of repaid in the amount of Bt58,176,467.11 or 1.27
percent of the Plan.
ONE-HOLDING PUBLIC: Business Reorganization Petition Filed
----------------------------------------------------------
Investment industry One-Holding Public Company Limited
(DEBTOR)'s Petition for Business Reorganization was filed to the
Central Bankruptcy Court:
Black Case Number 296/2544
Red Case Number 406/2544
Petitioner: SIRIPINYO COMPANY LIMITED #1ST, INTERLIFE
JOHNHANDCOX ASSURANCE PUBLIC COMPANY LIMITED #2ND, A.P.C.ACCOM
CORPORATION COMPANY LIMITED #3RD
Planner: FILATEX PLANNER COMPANY LIMITED
Debts Owed to the Petitioning Creditor: Bt10,364,831,435.48
Date of Court Acceptance of the Petition: April 24, 2001
Date of Examining the Petition: May 21, 2001 at 9.00 AM
Court Order for Business Reorganization and Appointment of
Planner: May 30, 2001
Announcement of Court Order for Business Reorganization and
Appointment of the Planner in Matichon Public Company Limited
and Siam Rath Company Limited: June, 2001
Announcement of Court Order for Business Reorganization and
Appointment of the Planner in Government Gazette: July 31, 2001
Deadline for the Planner to submit the Reorganization Plan to
the Official Receiver: October 31, 2001
Planner postponed the date of submitting the reorganization plan
#1st to November 30, 2001
Appointment date for the Meeting of Creditors to consider the
Reorganization Plan: November 29, 2001 at 9.30 am. Convention
Room 1105, 11th Floor, Bangkok Insurance Building, South Sathorn
Road
The Meeting of Creditors had a special resolution accepting the
Reorganization Plan
Contact: Ms. Piyanant Tel, 6792525 ext. 114
POWER-P (PUBLIC): Financial Report Submission Date Extended
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Power-P Planners Co., Ltd, Planner of Power-P (Public) Company
Limited (the Company), in reference to the SET Regulation under
which the Company is to submit its year-end Financial Report for
2001 within 60 days from end of the financial year, or to be
submitted with 1st March 2002 the latest, regret to advise that
due to some unexpected functioning failure of computer
System, the Company might not be able to complete the said
financial report on time as stipulated.
Both SET and SEC have been reported of the situation and have
been lenient to extend the date of submission for another 2
weeks, i.e. till 15th March 2002, as per their letter dated 30th
January 2002 under Reference SEC. JOR. 239/2002.
The Company express its thanks for the date extended and
confirmed the obligation to complete the said report and to
submit it within the extended period.
POWER-P PUBLIC: Posts Rehabilitation Plan Voting Result
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Power-P Planners Co., Ltd, Planner of Power-P Public Company
Limited (the Company), informed the procedural progress and
development the Company's application to the Central Court of
Bankruptcy, since 1st June, 2001 of its Rehabilitation Program.
The Company on 24th January 2002 held a meeting attended by all
creditors to consider the Program at the Central Court of
Bankruptcy Meeting Room No.1105.
Out of the 12 categories of creditors, 4 categories representing
77.41 percent credit interests eventually voted to endorse the
Program by a special Resolution. The Central Court of
Bankruptcy was reported of this legitimate resolution
accordingly and would fix a date for further hearing of the
Program.
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter -- Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Trenton, NJ
USA, and Beard Group, Inc., Washington, DC USA. Lyndsey Resnick,
Maria Vyrna Nineza-Merlin, Maria Cristina Pernites-Lao, Editors.
Copyright 2002. All rights reserved. ISSN: 1520-9482.
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