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

                   A S I A   P A C I F I C

           Wednesday, June 11, 2003, Vol. 6, No. 114

                         Headlines

A U S T R A L I A

BONLAC FOODS: S&P Ratings Unchanged Despite Fonterra's Offer
MIM HOLDINGS: Shareholders Approve Scheme of Arrangement
MIM HOLDINGS: Shares Skyrocket Following Takeover Acceptance
MIM HOLDINGS: Xstrata's Vote Margin Assures Hitch-free Takeover
TRANZ RAIL: S&P Puts 'CC' Rating on CreditWatch Positive


C H I N A   &   H O N G  K O N G

CHENG SHEK: General Meeting of Creditors Set for June 18
CHEUNG WING: Receiver Sets Deadline for Proofs of Claim
CHING KAI: To Give Dividends to Creditors with Proofs of Claim
KAN KIT: Creditors Urged to Show Proofs of Claim by June 21
LAI CHE: Dividend Open Only to Creditors with Proofs of Claim

LEE KIT: Proofs of Claim Deadline June 21
POON SIU: Announces Dividend for Creditors with Proofs of Claim
POON WING: Creditors Must Prove Claim by June 21 to Get Dividend
SHANGHAI LAND: Files for Receivership Citing 'Unorthodox Loans'
WONG FUNG: Proofs of Claim Must be Submitted June 21

WONG WILLIAM: Plans to Declare Dividends for Creditors
WONG SHEUNG: Period to Prove Claim to Expire June 21


I N D O N E S I A

ASTRA INTERNATIONAL: Sets Aside US$25 Million to Buyback Bonds
BANK DANAMON: No More Obstacles to Sale, Declares IBRA


J A P A N

DAIEI INC.: Denies Tie-up Talks With Carrefour
DAINIPPPON SCREEN: JCR Downgrades Rating to BBB-
HITACHI LIMITED: Prepares For Power Shortages
KOBE STEEL: JCR Assigns BBB+ Rating
MERRILL LYNCH: Estimates FY02 Net Income of Y973M

MERRILL LYNCH: Elects Alberto Cribiore as New Director
NEC CORPORATION: Supplies Samsung High-Performance Servers
RESONA HOLDINGS: Conversion in Class F Shares Starts July 1
RESONA HOLDINGS: Government Acquiring 71% Stake
SEIYU LIMITED: Sells Wal-Mart's George Clothing Label

TOYO CONSTRUCTION: Maeda Aims to Buy 22% Stake

* S&P Cuts Ratings on Three Japanese Bank Groups


K O R E A

HYNIX SEMICONDUCTOR: Licenses ARM SC100 Microprocessor Core
SK GLOBAL: Hana Offers Debt-equity Ratio
SK CORPORATION: Cuts Oil Prices By 11 Won Per Liter


M A L A Y S I A

FCW HOLDINGS: Striking Off Dormant Subsidiaries
FORESWOOD GROUP: Issues Errata Report on Financial Statements
FORESWOOD GROUP: AGM Set For June 30
LION INDUSTRIES: Unit Borrows RM100M From SFI
METROPLEX BERHAD: Unit Disposes of Land-Based Properties

OCEAN CAPITAL: Seeks CRE Extension
PLANTATION & DEVELOPMENT: Unit Sells 46,192,200 Units of ICPS
SUNWAY CITY: Schedules AGM on June 26
TECHNO ASIA: Extends Time to Complete Disposal
ZAITUN BERHAD: Delists Securities From KLSE


P H I L I P P I N E S

CE CASECNAN: Moody's Downgrades Rating to B2
MANILA ELECTRIC: More Customers Claiming Refunds
NATIONAL BANK: HK Unit Inks Tie-up With Indonesian Bank

* S&P Issues Survivability Assessment on RP, Indonesian Banks


S I N G A P O R E

CHARTERED SEMICONDUCTOR: Achieves ISO Quality Standards
CHARTERED SEMICONDUCTOR: Legerity's HV7 Completes Qualification
THAKRAL CORPORATION: Posts Notice of Shareholder's Interest
VAN DER HORST: Judicial Managers Post Changes in Circular


T H A I L A N D

SIAM STRIP: Creditor Banks Derail Approval of Debt Plan
THAI PETROCHEMICAL: Thai Planner to Woo Employees, Creditors

     -  -  -  -  -  -  -  -

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


BONLAC FOODS: S&P Ratings Unchanged Despite Fonterra's Offer
------------------------------------------------------------
Standard & Poor's Ratings Services said yesterday that the
proposal being presented by Fonterra Cooperative Group Ltd. (AA-
/Stable/A-1+) to the shareholders of Bonlac Foods Ltd.
(B+/Negative/C) would have no immediate impact on the ratings or
outlooks of either company.

Although some rating action may eventuate, the proposal, which
will further consolidate Fonterra's position in the Australian
dairy industry, and protect the long-term viability of Bonlac
and its supplier shareholders, requires a number of approvals
before it can proceed.

On June 6, 2003, Fonterra and Bonlac announced that broad
principles of a proposal would be outlined to Bonlac suppliers
at a series of shareholder meetings.  Under the proposal,
Fonterra would increase its stake in Bonlac Foods to 50% from
the current 25%.  Bonlac Supply Company would own the other 50%.
The international marketing agreement between Fonterra and
Bonlac would be replaced with a comprehensive supply agreement.
Fonterra would acquire all product manufactured by Bonlac and
market it through its global sales and marketing network.

Fonterra would forgo its existing right to special dividend
payments from Bonlac Foods.  Bonlac's intention to refocus on
its core milk-collection and -processing activities would see
its domestic ingredients business transferred to Fonterra as
part of the proposal.  The proposal requires support from 75% of
Bonlac suppliers, and is subject to several preconditions, as
well as regulatory approval by the Foreign Investment Review
Board.

Should the proposal be approved, Standard & Poor's would review
the final terms of the proposal to determine any likely impact
on the rating or outlook of Fonterra or Bonlac.  Any rating
outcome would depend on an assessment of the likely impact on
the business and financial risk position on both companies
arising from the final outcome of the proposal.

For more details, contact:

Brenda Wardlaw (Melbourne)
Phone: (61) 3-9631-2074

Jeanette Ward (Melbourne)
Phone: (61) 3-9631-2075


MIM HOLDINGS: Shareholders Approve Scheme of Arrangement
--------------------------------------------------------
Participating Organizations are advised that a Scheme of
Arrangement under which all shares in M.I.M. Holdings Limited
(the Company) are to be transferred to Xstrata Holdings Pty
Limited, a wholly owned subsidiary of Xstrata plc, in exchange
for $1.72 cash per share (the Scheme), was approved by
shareholders at a meeting held on Friday, June 6, 2003.

The Scheme is subject to Court approval on Thursday, June 12,
2003.

The following timetable is anticipated to apply.

(1) Thursday, 12 June 2003

    Court hearing in relation to the Scheme.

(2) Thursday, 12 June 2003

    Following the release to the market of the court order in
    relation to the Scheme, all securities of the Company will
    be suspended from official quotation from the close of
    trading.

(3) Thursday, 19 June 2003

    Record date for determining entitlements to the Scheme
    consideration.

(4) Friday, 20 June 2003

    Implementation date for the Scheme.


(5) Friday, 20 June 2003

    Dispatch of cheques for Scheme consideration.

The Scheme is still subject to the satisfaction of certain
conditions precedent and the exercise of the discretion of the
Supreme Court of Queensland to approve the Scheme.  The Court's
approval is expected to be sought on Thursday, 12 June 2003.  If
the court order is not handed down on 12 June 2003, the
timetable detailed above will change, so that if, for example,
the court order is handed down an Friday, 13 June 2003, each of
the dates in the timetable will move back one business day.

For further information, refer to the Scheme document that was
released to the market on 1 May 2003.


MIM HOLDINGS: Shares Skyrocket Following Takeover Acceptance
------------------------------------------------------------
The announcement that shareholders of MIM Holdings Ltd. have
accepted the takeover offer of Xstrata Plc triggered Tuesday a
strong rally on the company's shares, said Asia Pulse.

According to the newswire, at 10:22 AEST, MIM shares jumped six
cents or 3.6% to AU$1.71, edging closer to Xstrata's offer of
AU$1.72.

With the acceptance, the London-listed bidder has just one major
hurdle to clear to complete its takeover of one of Australia's
oldest miners, the newswire said.

"The takeover still needs ratification by the Queensland Supreme
Court this Thursday.  The Australian Securities and Investments
Commission is also looking into the extent of share-splitting
ahead of the meeting. The tactic is not illegal but the
corporate watchdog finds it questionable," Asia Pulse said.


MIM HOLDINGS: Xstrata's Vote Margin Assures Hitch-free Takeover
---------------------------------------------------------------
The takeover by Xstrata Plc of MIM Holdings will go unimpeded by
neither the Supreme Court of Queensland nor the Australian
Securities & Investments Commission, The West Australian said
Tuesday.

The paper said "the comfortable margin of Xstrata's victory and
the small number of dubious holdings mean the Swiss group would
wrap up its acquisition without further complications."  This
despite earlier pronouncements of the Commission that it was
monitoring "rumors of massive share splitting," the paper adds.

"Share splitting is when a party breaks up a single shareholding
to increase its number of votes.  However, sources said the vote
splitting deal accounted for less than 1000 suspect new accounts
since May.  It is also understood both supporters and opponents
of the deal engaged in the practice, meaning that some of the
votes cancelled each other out," the paper said.

"We did hear one rumor of a parcel being broken up into several
thousand new shareholdings but we have found no evidence of that
so far," an ASIC official told The West Australian in an
interview.

There is at least one suspected case being investigated by the
Commission, according to the paper, involving an Australian
broking house that acted for a foreign investor believed to be a
hedge fund.

But the unnamed ASIC official agreed "at this stage" the
practice had resulted in the creation of hundreds, rather than
the thousands of extra votes some observers had suggested.

The takeover offer needed only 50 percent support by
shareholders to pass.  Given that a higher-than-expected 59
percent of MIM's 23,000 voting shareholders favored the deal,
the official described Friday's vote as "a fair indication" of
support.

"If it had been close, say 51 percent in favor, then a small
number of shareholders can influence the result but it's harder
to argue what share splitting there was changed things," he told
The West Australian.

Meanwhile, opponents of the bid -- Platinum Asset Management,
MIM CEO Vince Gauci and the Australian Shareholders' Association
-- have conceded defeat.  The paper said this means smooth
sailing in the Supreme Court.

"The publicity surrounding the (bid) resulted in a strong turn
out by shareholders.  As a consequence, the outcome represents
the wishes of a broad range of shareholders," Platinum Director
Andrew Clifford told The West Australian.


TRANZ RAIL: S&P Puts 'CC' Rating on CreditWatch Positive
--------------------------------------------------------
Standard & Poor's Ratings Services yesterday placed Tranz Rail
Holdings Ltd.'s (Tranz Rail) 'CC' corporate credit rating and
guaranteed debt issue ratings on CreditWatch with positive
implications.

This follows the announcement that the New Zealand Government
and Tranz Rail have signed a heads of agreement on a joint plan
for restructuring and developing the New Zealand railway system.
The proposal would resolve Tranz Rail's short-term liquidity
issues and improve its capital structure, with the New Zealand
Government acquiring a 35% interest in Tranz Rail in the form of
new shares.  The proposal is subject to an independent appraisal
and Tranz Rail shareholder approval.

Standard & Poor's will monitor the proposed agreement in light
of the company's critical external obligations, which are due at
the end of June 2003.  In addition, an assessment will be made
regarding any potential changes to Toll Holdings Ltd.'s (not
rated) takeover bid for Tranz Rail.

For more information, contact:

Craig Parker (Melbourne)
Phone: (61) 3-9631-2073

Peter Stephens (Melbourne)
Phone: (61) 3-9631-2078


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


CHENG SHEK: General Meeting of Creditors Set for June 18
--------------------------------------------------------
Creditors of Cheng Shek Wah will have a general meeting on June
18, 2003, according to official receiver, E.T. O'Connell.  The
meeting will take place at the office of Mr. O'Connell on the
10th Floor, Queensway Government Offices, 66 Queensway, Hong
Kong at 10:30 a.m.


CHEUNG WING: Receiver Sets Deadline for Proofs of Claim
-------------------------------------------------------
Creditors of Cheung Wing Fai have until June 21, 2003 to prove
their claims, according to official receiver and trustee, E.T.
O'Connell.  Failure will mean forfeiture of intended dividends.


CHING KAI: To Give Dividends to Creditors with Proofs of Claim
--------------------------------------------------------------
Creditors of Ching Kai Kwong have until June 21, 2003 to prove
their claims, according to official receiver and trustee, E.T.
O'Connell.  Failure will mean forfeiture of intended dividends.


KAN KIT: Creditors Urged to Show Proofs of Claim by June 21
-----------------------------------------------------------
Creditors of Kan Kit Han Kitty have until June 21, 2003 to prove
their claims, according to official receiver and trustee, E.T.
O'Connell.  Failure will mean forfeiture of intended dividends.


LAI CHE: Dividend Open Only to Creditors with Proofs of Claim
-------------------------------------------------------------
Creditors of Lai Che Kwan have until June 21, 2003 to prove
their claims, according to official receiver and trustee, E.T.
O'Connell.  Failure will mean forfeiture of intended dividends.


LEE KIT: Proofs of Claim Deadline June 21
-----------------------------------------
Creditors of Lee Kit Ying Sylvia have until June 21, 2003 to
prove their claims, according to official receiver and trustee,
E.T. O'Connell.  Failure will mean forfeiture of intended
dividends.


POON SIU: Announces Dividend for Creditors with Proofs of Claim
---------------------------------------------------------------
Creditors of Poon Siu Hoo have until June 21, 2003 to prove
their claims, according to official receiver and trustee, E.T.
O'Connell.  Failure will mean forfeiture of intended dividends.


POON WING: Creditors Must Prove Claim by June 21 to Get Dividend
---------------------------------------------------------------
Creditors of Poon Wing Cheung have until June 21, 2003 to prove
their claims, according to official receiver and trustee, E.T.
O'Connell.  Failure will mean forfeiture of intended dividends.


SHANGHAI LAND: Files for Receivership Citing 'Unorthodox Loans'
---------------------------------------------------------------
Shanghai Land Holdings Ltd., a developer controlled by business
tycoon Zhou Zhengyi, has filed for receivership, a move that
could lead other affiliates to follow suit.

Along with wife Mao Yuping, Mr. Zhou, ranked 11th richest in the
world by Forbes magazine, is currently under investigation for
fraud and other anomalous transactions.

For complete copy of Shanghai Land's press release, which
contains the reason behind its decision, click on this link:
http://bankrupt.com/misc/shanghai_land.pdf


WONG FUNG: Proofs of Claim Must be Submitted June 21
----------------------------------------------------
Creditors of Wong Fung Yi have until June 21, 2003 to prove
their claims, according to official receiver and trustee, E.T.
O'Connell.  Failure will mean forfeiture of intended dividends.


WONG WILLIAM: Plans to Declare Dividends for Creditors
------------------------------------------------------
Creditors of Wong William Tien-Hung have until June 21, 2003 to
prove their claims, according to official receiver and trustee,
E.T. O'Connell.  Failure will mean forfeiture of intended
dividends.


WONG SHEUNG: Period to Prove Claim to Expire June 21
----------------------------------------------------
Creditors of Wong Sheung Yuen Helen have until June 21, 2003 to
prove their claims, according to official receiver and trustee,
E.T. O'Connell.  Failure will mean forfeiture of intended
dividends.


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


ASTRA INTERNATIONAL: Sets Aside US$25 Million to Buyback Bonds
--------------------------------------------------------------
PT Astra International on Monday offered bondholders until June
23 to submit offers for their respective bonds, as the company
bared a US$25 million buyback program to reduce debts, Reuters
says.

"The funds for the buyback are up to US$25 million.  However, if
there are better offers from bondholders, the company could at
any time before the end of the buyback period on July 3,
increase the amount," Astra said in a newspaper notice.

The company said it will decide whether to accept the offers on
June 27.  Payment would be made July 3.  As of April 30, 2003
Astra said its unconsolidated total debt stood at IDR795.8
billion (US$97.05 million) of locally denominated debt and
US$659.4 million of U.S. dollar debt.

The country's largest carmaker said it would use funds raised
from recent asset sales and internal cash flow to finance the
program.


BANK DANAMON: No More Obstacles to Sale, Declares IBRA
------------------------------------------------------
The Indonesian Bank Restructuring Agency is confident it can
wrap up the US$350 million sale of Bank Danamon to Asia
Financial Indonesia next week, The Jakarta Post said Monday.

The paper said the bidder, a consortium consisting of Temasek
Holdings Pte. Ltd. and Deutsche Bank, has already made a US$15
million advance payment.  IBRA Deputy Chairman I Nyoman Sender
said Monday the fit and proper test by Bank Indonesia is already
complete, thus there is no more hindrance for the sale.

The agency expects to raise a total of US$500 million from
Danamon shares.  IBRA also planned to immediately sell another
20 percent of the bank's shares on the stock market.  He said
currently IBRA was selecting its candidates for the bank's new
board of directors and board of commissioners.

"The Bank Danamon takeover will be wrapped up with an
extraordinary shareholders meeting," he told The Jakarta Post.


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


DAIEI INC.: Denies Tie-up Talks With Carrefour
----------------------------------------------
Daiei Inc. denied a report in Sunday's Asahi Shimbun newspaper
that Carrefour SA was in talks with the retailer for a business
tie-up that could involve joint purchases of products and joint
operation of stores in Japan, Reuters reported Monday. Carrefour
declined to comment on the report, which foreign-exchange
dealers said speculators were using as an excuse to sell the
euro again the yen.

Daiei received a $4 billion bailout from creditors last year and
has been rehabilitating with support from the government and
banks including UFJ Holdings Inc. The Company has been
struggling to revive sales in a sector plagued by excess
capacity and falling prices.


DAINIPPPON SCREEN: JCR Downgrades Rating to BBB-
------------------------------------------------
Japan Credit Rating Agency (JCR) has downgraded the ratings of
Dainippon Screen Manufacturing Company Limited from BBB to BBB-
while affirming the J-2 rating on the CP program, removing them
from Credit Monitor.

Issues        Amount (bn)  Issue Date     Due Date       Coupon

Euroyen bonds Y10          Jan. 7, 1997   Feb. 19, 2004  3.05
percent
Bonds no.5    Y5           Jul. 30,1997   Jul. 30, 2003  2.80
percent
Euroyen convertible
Bonds         Y15          Dec. 20, 2002  Sept. 29, 2006 0.00
percent

CP: Maximum: Y10 Backup Line: 0 percent

RATIONALE:

Dainippon Screen Mfg. is a major manufacturer of semiconductor-
manufacturing and LCD-manufacturing equipment. JCR placed the
ratings for Dainippon Screen under Credit Monitor upon
announcement of downward revision of earnings forecast for
fiscal 2002 by the Company on March 14, 2003. Recovery of
earnings delayed due to postponement of delivery of the mainline
semiconductor-manufacturing equipment, leading to deterioration
in the financial structure. The two consecutive net losses
impaired the owners' equity that was increased by good
performance recorded for fiscal 2000. On the other hand, the
interest-bearing debt remains high. JCR assumed that the
financial structure would improve due to recovery of earnings
for fiscal 2002 ended March 31, 2003. The financial flexibility
has been lowered, however. JCR decided to downgrade the long-
term rating for Dainippon Screen, accordingly.

For the year ending in March 2003, Dainippon Screen is expected
to record another recurring deficit in the year to March 2003
due to deterioration in the business environment, the Troubled
Company Reporter-Asia Pacific reported recently, citing Rating
and Investment Information, Inc. (R&I).

In addition, with equity capital under strain, interest-bearing
debt is a heavy burden, meaning that the Company less scope for
financial maneuvering. R&I considers that the decline in
financial durability will also affect the competitiveness of the
Company's core semi-conductor manufacturing equipment business
and has placed it on the Rating Monitor scheme with a view to
downgrading the Senior Long-term Credit BBB- rating.


HITACHI LIMITED: Prepares For Power Shortages
---------------------------------------------
Hitachi Limited is preparing for possible summer power outages
because Tokyo Electric Power Co. has shut most of its nuclear
reactors for safety checks, the Asahi newspaper and Bloomberg
reported Tuesday. The electronics maker will switch some
operations to weekends, holidays and night shifts to reduce
power demands at peak periods during weekdays.

The Japanese summer period of July through September is peak
season for electricity usage largely because of additional
demand to run air conditioning in homes, offices and factories.

Hitachi Limited will buy back its own shares as the firm
unveiled results that indicated the need for further
restructuring, TCRAP reported last month. The combination of
weak economic conditions in Japan and the United States and the
impact of the war in Iraq and the outbreak of sudden acute
respiratory syndrome (SARS) would negatively affect the
Company's business this year.


KOBE STEEL: JCR Assigns BBB+ Rating
-----------------------------------
Japan Credit Rating Agency (JCR) has assigned BBB+ ratings to
the two series of bonds to be issued under the shelf
registration of Kobe Steel Limited.

RATIONALE:

JCR announced the assignment of BBB+ rating to the bonds of the
issuer on April 30, 2003. Since then there have been no changes
affecting the rating. The bond proceeds will be used for
repayment of the borrowings. Therefore, the issues are not
expected to have significant impact on the capital structure of
the Company. The business risk of steel makers is beginning to
decline. However, effects of the drastic industrial structure
changes and the degree of the settlement of the changes should
be examined very carefully. Whether Kobe Steel can achieve the
targets expressed in its midterm management plan will depend on
realization of the synergy created by the combined management as
well as stability of industrial structure.


MERRILL LYNCH: Estimates FY02 Net Income of Y973M
-------------------------------------------------
Merrill Lynch & Co. estimated that it earned a net income of 973
million yen in the year ending in March 31, 2003, after three
years of losses in Japan, Bloomberg reports, citing Company
spokesman Takayuki Inoue. The Company incurred a loss of 59.9
billion yen a year ago when it booked one-time costs of
restructuring its businesses.

Merrill has cut 1,800 Japanese jobs and closed 30 outlets as the
stock market slumped to two- decade lows. On Friday, Merrill
announced the $11 million sale of its Japanese telephone broking
business to UFJ Tsubasa Securities Co., a unit of Japan's
fourth-biggest bank. The Company's results, which are due to be
formally announced in July, were disclosed in UFJ Tsubasa
documents, the contents of which were confirmed by Inoue, who
declined to elaborate.

Meanwhile, DebtTraders reported that a number of Tyco
shareholders on Friday filed a class action suit against Merrill
Lynch & Co. and one of its former analysts, Mr. Phua Young. The
shareholders claim that Mr. Young sent his research regularly to
Tyco's investment services before publishing what the analyst
claimed to be independent reports. Merrill has already paid $200
million to settle fraud charges with regulators.


MERRILL LYNCH: Elects Alberto Cribiore as New Director
------------------------------------------------------
Merrill Lynch & Co., Inc. announced the election of Alberto
Cribiore to its Board of Directors. Mr. Cribiore, 57, is the
managing partner of Brera Capital Partners, a global private
equity investment firm that he founded in 1997.

"We are delighted that Alberto has agreed to join our Board,"
said Stan O'Neal, Chairman and Chief Executive Officer. "He has
an outstanding track record as an investor and businessman, with
extensive investment banking and asset management experience in
U.S. and European markets. He brings keen insight across a
number of industries, and is widely respected as a person of
integrity, character and sound judgment."

His election increases to 11 the number of members on the
Merrill Lynch board.

Mr. Cribiore, a native of Milan, Italy, is a cum laude graduate
of Bocconi University in Milan and holds degrees in business
administration and economics. Prior to forming Brera Capital
Partners, Mr. Cribiore was co-President of Clayton, Dubilier and
Rice, which he joined in 1985. He had previously been a senior
Vice President at Warner Communications where he was responsible
for mergers, acquisitions and divestitures.

Mr. Cribiore serves on the boards of directors of 2-10 Home
Buyers Warranty, GAB Robins, Western Industries, Inc. and
Riverwood International Corporation, all privately held
companies. He is also a member of the Board of Trustees of Reed
College, a director of the Metropolitan Opera and The Council
for the United States and Italy. Mr. Cribiore lives in New York
City with his wife and two children.

Merrill Lynch is one of the world's leading financial management
and advisory companies, with offices in 36 countries and total
client assets of approximately $1.1 trillion. As an investment
bank, it is a leading global underwriter of debt and equity
securities and strategic advisor to corporations, governments,
institutions and individuals worldwide. Through Merrill Lynch
Investment Managers, the Company is one of the world's largest
managers of financial assets. For more information on Merrill
Lynch, please visit www.ml.com.


NEC CORPORATION: Supplies Samsung High-Performance Servers
----------------------------------------------------------
NEC Corporation agreed to supply Samsung Electronics Co. with
300 "Express 5800" series of personal computer servers over the
next three years worth 100 million yen ($850,000) a unit, Nikkei
English news and Bloomberg reported Tuesday. NEC hopes to expand
server production amid slowing sales in Japan.

Battered by a global economic slump and a diving Tokyo stock
market, NEC Corporation narrowed its losses to 24.5 billion yen
($204 million) for the year ending in March 31, but failed to
return to profit this year, reports the Troubled Company
Reporter-Asia Pacific. The electronics firm posted a loss of 312
billion yen ($204 million) a year ago.

The Company has been hurt by the shaky world economy that got
worse over worries about the war in Iraq in the latter half of
fiscal 2002. A recent dive in Tokyo share prices to 20-year lows
also eroded NEC's earnings. NEC expected to return to
profitability this year but stayed in the red for the second
straight year.


RESONA HOLDINGS: Conversion in Class F Shares Starts July 1
-----------------------------------------------------------
Resona Holdings, Inc. (Resona HD) announced that the conversion
price for its Class F First Series Preferred Share has been
changed as shown below.

1. Conversion Price

Revised conversion price for Class F First Series Preferred
Share: 359.70 yen (Conversion price before the revision: 513.80
yen)

2. Date of Application

The new conversion price will become effective on July 1, 2003.

3. Reason for the Revision

The conversion price has been revised in accordance with the
pre-determined terms and conditions stipulated in the conversion
clause for the Class F First Series Preferred Share.

The press release is located at
http://www.resona-hd.co.jp/e-ir/pdf/i_01/030609_1a.pdf


RESONA HOLDINGS: Government Acquiring 71% Stake
-----------------------------------------------
The Japanese government will acquire a 71 percent stake in
Resona Holdings Inc. through an injection of 1.96 trillion yen
($16.5 billion) in capital, Reuters reported on Monday. It will
acquire 5.6-5.7 billion ordinary shares worth around 300 billion
yen and 8.3-8.4 billion preferred shares with voting rights
worth 1.66 trillion yen that Resona plans to issue in exchange
for the public funds.

The government will inject the funds into Resona Bank, the core
member of the Resona group, in late June by acquiring shares it
will issue. These shares will be swapped for those of Resona
Holdings in mid-August. The issue of 5.6 billion common shares,
doubling the number of Resona Holdings' shares outstanding, and
the preferred share issuance would give the government the two-
thirds voting majority needed for such matters as choosing or
dismissing directors.


SEIYU LIMITED: Sells Wal-Mart's George Clothing Label
-----------------------------------------------------
Seiyu Limited is planning to sell the hit George clothing label
in its stores starting next spring, Just-style.com reports,
citing Seiyu Chief Executive Officer Masao Kiuchi. The value-
priced brand is currently sold in five countries including Asda
in the United Kingdom and parent Wal-Mart in the United States.
The report did not mention the price of the clothing label. The
private-label is also sold in South Korea and Germany.

The supermarket chain operator booked a group net loss of 90.84
billion yen in the business year ending February 28 in a sharp
reversal from a profit of 5.2 billion yen the previous year, due
mainly to heavy appraisal losses on its shareholdings, according
the Troubled Company Reporter-Asia Pacific.


TOYO CONSTRUCTION: Maeda Aims to Buy 22% Stake
----------------------------------------------
Building contractor Maeda Corporation plans to acquire a 22
percent stake in Toyo Construction Co. in October to strengthen
the two companies' alliance, Bloomberg reported Tuesday.

Both firms, which are integrating some engineering and
information system departments, will share each other's
equipment and construction techniques. Maeda plans to help Toyo
out of debt to take advantage of the indebted Company's strength
in marine projects, Nikkei said.

Toyo, which had a parent net loss of 11.1 billion yen ($94
million) for the year ended March 31, is applying for 28 billion
yen in aid from UFJ Bank Ltd. and two other banks, as its
liability is likely to exceed its assets by about 30 billion
yen.


* S&P Cuts Ratings on Three Japanese Bank Groups
------------------------------------------------
Standard & Poor's Ratings Services on Monday lowered its ratings
on the preferred stock and preferred securities issued by the
financing vehicles of three Japanese bank groups: Sumitomo
Mitsui Financial Group (SMFG), the UFJ group, and Mizuho
Financial Group. At the same time, Standard & Poor's affirmed
its credit and other debt ratings on the banks in the three
groups.

The downgrades reflect the increased risk of payment default on
the preferred instruments, given the impairment of the bank
groups' financial profiles and exhaustion of distributable
profits. With uncertainties over the bank groups' future
profitability, their capital remains at risk of erosion by the
possible introduction of more rigorous evaluation of the groups'
substantial deferred tax assets and still high risks of massive
losses caused by credit costs and plunging stock prices.

"Standard & Poor's has examined the risks on Japanese banks'
preferred instruments, and has widened the gap between the
rating on the issuer and its preferred debt to a larger extent
than in regular cases," said Nana Otsuki, a director at Standard
& Poor's.

"As the bank groups' deferred tax assets are likely to be
assessed more stringently, and the groups are still exposed to
risks of an increase in credit costs and stock devaluations, the
probability that distributable profits will be exhausted and a
bank will suspend dividend payment on its preferred instruments
Hhas increased," Ms. Otsuki said.

UFJ'S PREFERRED STOCK LOWERED ONE NOTCH

The rating on the UFJ group's preferred stock, issued by its
special purpose vehicle, was lowered by one notch. As of March
31, 2003, UFJ Holdings Inc. held over JPY1 trillion in
distributable profits after reversing capital reserves, which
were sufficient to cover dividend payments on its preferred
stock. However, pressure on distributable profits has risen due
to the impairment of assets relating to UFJ Holdings' subsidiary
banks as a result of deterioration in their business environment
and the introduction of a more stringent accounting treatment of
deferred tax assets.

OPCOS LOWERED ONE NOTCH

The ratings on the operating Company preferred securities
(OPCOs) of the three groups were also lowered by one notch.
Unlike preferred securities issued after October 1998, dividend
payments on OPCOs are not limited to distributable profits as
defined under Japan's commercial code. Nevertheless, in the
event a bank group has no distributable profits available, the
group is not obliged to pay dividends unless it is obliged to do
so under a mandatory payment clause in the agreement. Standard &
Poor's believes that a bank may also suspend dividend payments
on OPCOs if the dividend payment on its preferred stock is
suspended as a result of an exhaustion of distributable profits.

While Japan's bank regulators may expand their intervention in
cases where a bank's distributable profits are weak, it is
possible that the bank itself would suspend dividend payments on
its OPCOs, since OPCOs are included in Tier 1 capital and the
bank may need to avoid capital outflows if its capital is
extremely low.

Among the three bank groups, SMFG's profitability is slightly
higher than the other two. However, given SMFG's weak capital,
SMFG's OPCOs are equally rated with OPCOs issued by Mizuho and
UFJ.

JUNIOR SUB DEBT RATINGS AFFIRMED

For junior subordinated debt, a bank may suspend interest
payments when distributable profits are not available or its
capital ratio slips below a certain level, if this event is
provided for as a trigger event in the issue agreement.
Reflecting these risks to suspend interest payment, Standard &
Poor's has assigned ratings on junior subordinated debts one
notch lower than normal subordinated debt without interest
payment suspension clauses.

Nevertheless, unlike preferred stock, a bank can suspend
interest payments on junior subordinated debt on a voluntary
basis. Even if a trigger event occurs, the probability that a
bank would actually suspend payment is lower than for OPCOs. A
suspension of interest payments on junior subordinated debt
would cause substantial damage to a bank's reputation and
ability to secure financing. Therefore, banks and regulators are
likely to have an extremely strong incentive to keep paying
interest regardless of the size of their distributable profits.

ISSUER RATINGS AFFIRMED; OUTLOOKS STILL NEGATIVE

The affirmation of the counterparty and subordinated debt
ratings reflects the expectation that the Japanese government
will support the major banks if needed. Although a deterioration
of the bank groups' financial profiles may have a negative
impact on counterparty and subordinated debt ratings, the
probability and extent of government support is higher for the
issuer compared to the preferred instruments.

The negative outlook on the long-term ratings on the banks
reflects concerns over the bank groups' financial profiles,
which are expected to deteriorate further as deflation and
entrenched economic stagnation push up credit costs, while the
banks remain highly exposed to stock price risk and their core
profitability is still low.


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


HYNIX SEMICONDUCTOR: Licenses ARM SC100 Microprocessor Core
-----------------------------------------------------------
ARM, the industry's leading provider of 16/32-bit embedded RISC
processor solutions, and Hynix Semiconductor announced on
Tuesday that Hynix has licensed the ARM(R) SecurCore(TM)
SC100(TM) microprocessor core. Hynix will utilize the ARM
technology for the advancement of its smart card and security
solutions.

Hynix is one of the growing producers of smart card integrated
circuits (ICs) with a number of end applications including SIM
cards for GSM phones, banking cards and mass transit contactless
cards.  The licensing of the SC100 microprocessor core by Hynix
confirms the position of ARM SecurCore technology as the
Industry's most widely adopted 32-bit RISC architecture for
smart cards.

"As the need for secure applications in the Asia Pacific region
expands, we see a growing need for smart card chips in
applications such as mobile communication, banking,
Transportation and government ID.  This market will devour
increasing numbers of ICs," said Jay Chae, Vice President of MCU
business, Hynix.  "For this reason, we chose to license the
industry's leading secure microprocessor solution, the SecurCore
SC100 core from ARM, so that we could provide our customers with
ICs that deliver the best security features, including fast
cryptographic acceleration and best-in-class Java Card(TM)
support."

"Hynix's licensing of the SecurCore SC100 core demonstrates that
ARM's industry-proven microprocessor technology is helping drive
the industry forward in the development of secure ICs," said
Bruce Beckloff, director, Marketing, ARM.  "The combination of
our SecurCore technology and Hynix's high-volume manufacturing
capability will be a powerful proposition for the emerging Asia
Pacific market for secure ICs."

About ARM

ARM is the industry's leading provider of 16/32-bit embedded
RISC microprocessor solutions.  The Company licenses its high-
performance, low-cost, power-efficient RISC processors,
peripherals and system-on-chip designs to leading international
electronics companies.  ARM also provides comprehensive support
required in developing a complete system.  ARM's microprocessor
cores are rapidly becoming a volume RISC standard in such
markets as portable communications, hand-held computing,
multimedia digital consumer and embedded solutions.  More
information on ARM is available at http://www.arm.com.

About Hynix Semiconductor Inc.

Hynix Semiconductor Inc., with its principal place of business
in Ichon, Korea, is an industry leader in the development,
sales, marketing and distribution of high-quality semiconductors
including DRAM, SRAM, Flash memory and System IC products.

Hynix is one of world's largest DRAM suppliers with twelve
semiconductor-manufacturing facilities worldwide.  In addition,
Hynix is aggressively expanding its System IC business in the
product areas of MCU, CMOS Image Sensor, and LCD Driver IC.
Hynix System IC also provides foundry service to industry
leading semiconductor companies.  More information is available
from the web site at http://www.hynix.com.

ARM is a registered trademark of ARM Limited.  SecurCore and
SC100 are trademarks of ARM Limited.  All other brands or
product names are the property of their respective holders.
"ARM" is used to represent ARM Holdings plc; its operating
Company ARM Limited; and the regional subsidiaries ARM, INC.;
ARM KK; ARM Korea Ltd.; ARM, Taiwan; ARM France SAS ; and ARM
Consulting (Shanghai) Co. Ltd.

Hynix Semiconductor Manufacturing will receive a final ruling on
June 16 on whether it will have a 57 percent import tax imposed
on its products by the United States, DebtTraders reported
recently. The U.S. earlier ruled in favor of Micron Technology
on loans and guarantees to Hynix from the Korean government. The
European Commission imported a 33 percent import tax on Hynix's
products after Infineon filed a similar complaint in April.
Creditors have bailed out the chipmaker three times in the past
two years through debt rollover.

For further information, please contact Michelle Spencer of ARM,
+44 1628 427780, michelle.spencer@arm.com ; or Patrick Hall of
Townsend Inc., +1-858-457-4888; ext. 112, phall@townsendinc.com
, for ARM.


SK GLOBAL: Hana Offers Debt-equity Ratio
----------------------------------------
Hana Bank, the main creditor of SK Global, has proposed to
domestic creditors to convert about 45 percent of SK Global's
debts into equity, Asia Times reports. As part of efforts to put
the struggling Company back on track, Hana has informed domestic
creditors of the proposal to turn around 45 percent of SK
Global's liabilities into common stock, redeemable preferred
stock and convertible bonds.

Domestic creditors of SK Global Co. also agreed to swap up to
2.9 trillion won ($2.43 billion) in debt for new SK Global
shares in a bid to keep the troubled trading firm afloat, Hana
Bank said.


SK CORPORATION: Cuts Oil Prices By 11 Won Per Liter
---------------------------------------------------
SK Corporation would lower oil prices by 11 won per liter
starting June 10, Asia Pulse reports. As a result, prices for
liters of gasoline, kerosene and diesel will each drop
accordingly. The ex-factory price of gasoline will go down to
1,218 won per liter from 1,229 won, kerosene for lamps will cost
540 won and heating kerosene will cost 529 won. Diesel fuel will
decrease to 713 won per liter. SK Corp.'s move resulted from
shifts in international oil and oil-related product prices as
well as in the dollar-won exchange rate.

DebtTraders reports that SK Corp.'s 7.500% bond due in 2006
(YUKO06KRN1) trades between 97 and 99.5. For real-time bond
pricing, go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=YUKO06KRN1


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


FCW HOLDINGS: Striking Off Dormant Subsidiaries
-----------------------------------------------
In compliance with paragraph 9.19 of the Listing Requirements,
FCW Holdings Berhad announced to the Kuala Lumpur Exchange that
it had on 6 June 2003 applied to the Registrar of Companies to
strike off the following wholly owned subsidiary companies
pursuant to Section 308 of the Companies Act, 1965:

a) Sun Moon Star (M) Sdn Bhd (Company No.195859-X) - has not
commenced operations since the date of incorporation on 31 March
1990.

b) Indah Nominees Sdn Bhd (Company No. 117187-M) - has not
commenced operations since the date of incorporation on 29 March
1984.

c) FT Cellular Systems Sdn Bhd (Company No. 187323-H) - had
ceased operations in 2000 and has remained dormant since then.

The strike off exercise is not expected to have any material
effect on the earnings and net tangible assets of the Group for
the financial year ending 30 June 2003.


FORESWOOD GROUP: Issues Errata Report on Financial Statements
-------------------------------------------------------------
Foreswood Group Berhad announced that there were errors printed
in the Directors' Report and the Notes to the Audited Financial
Statements of the Company for the year ended 31st December, 2002
and the following amendments made:

ERRATA

1. Page 1 - Directors' Report. Under the heading of 'RESULTS',
the 'Net loss for the year' for the Company should read as
'RM130,039,770' instead of 'RM111,239,770'.

2. Page 16 - Notes to the Financial Statements.
Note 1: CORPORATE INFORMATION. In the second paragraph, the
principal place of business of the Company should be located at
'No. 32, 2nd Floor, Wisma Kojisa, Jalan Bako, 96008 Sibu,
Sarawak' instead of 'Bangunan WSK, 1st Floor, Lot 149, Jalan
Abell, Kuching, Sarawak'.

3. Page 24 - Notes to the Financial Statements.
Note 11: PROPERTY, PLANT AND EQUIPMENT. Under the heading Group-
Cost/Valuation, the 'Total' column for 'Representing: At cost'
should read as 'RM199,588,138' instead of 'RM237,425,891'.

4. Page 34 - Notes to the Financial Statements.
Note 26: SEGMENTAL INFORMATION. Under the column of
'Eliminations 2001', the 'Total revenue' should read as
'RM104,833' instead of 'RM104,832'.


FORESWOOD GROUP: AGM Set For June 30
------------------------------------
The Seventh Annual General Meeting (AGM) of Foreswood Group
Berhad (FGB) will be held at Bukit Tebu 1, Harbour View Hotel,
Lorong Temple, 93100 Kuching on Monday, 30 June, 2003 at 2.00
p.m. for the following purpose:

ORDINARY BUSINESS

1. To receive and adopt the Report of the Directors and the
Audited Financial Statements for the year ended 31st December,
2002 and the Report of the Auditors thereon.

2. To re-elect the following Directors who retire in accordance
with Article 82 of the Articles of Association of the Company:

(a) Wong Hai Ong
(b) Haji Awg. Mohidin Bin Awg. Saman

3. To appoint Messrs. Ernst & Young as Auditors of the Company
pursuant to Section 172(2) of the Companies Act, 1965 in place
of the retiring Auditors, Messrs Hanafiah Raslan & Mohamad and
to authorize the Directors to fix their remuneration.

Notice of Nomination pursuant to Section 172(11) of the
Companies Act, 1965, a copy of which is annexed hereto, has been
received by the Company for the nomination of Messrs. Ernst &
Young who have given their consent to act, to be appointed as
Auditors of the Company in place of the retiring Auditors,
Messrs. Hanafiah Raslan & Mohamad and to hold office until the
conclusion of the next Annual General Meeting at the
remuneration to be determined by the Directors.

4. To transact any other business of which due notice shall be
given.

NOTES:

1. A proxy may but need not be a member of the Company and a
member may appoint any person to be his proxy without
limitation. Where holder appoints two or more proxies, he shall
specify the proportion of his shareholdings to be represented by
each proxy.

2. A corporation which is a member may by resolution of its
directors authorize such person as it thinks fit to act as its
representative at the meeting pursuant to Section 147 of the
Companies Act, 1965.

3. The instruments appointing a proxy shall be in writing under
the hand of the appointor or of his attorney, and the person so
appointed may attend and vote at the meeting at which the
appointor is entitled to vote.

4. The instruments appointing a proxy shall be deposited at the
Registered office, Level 3, B61, Taman Sri Sarawak Mall, Jalan
Tunku Abdul Rahman, 93100 Kuching, Sarawak, not less than forty-
eight (48) hours before the time for holding the meeting at
which the person named in such instrument proposes to vote.


LION INDUSTRIES: Unit Borrows RM100M From SFI
---------------------------------------------
The Board of Directors of Lion Industries Corporation Berhad
announced that on 9 June 2003, Amsteel Mills Sdn Bhd (AMSB), a
99 percent subsidiary of LICB had accepted Sabah Forest
Industries Sdn Bhd (SFI)'s letter of offer dated 9 June 2003 to
lend up to RM100 million to AMSB upon the terms and conditions
contained therein Proposed Financing. The purpose of the
Proposed Financing is to allow AMSB to complete and to run the
melt shop facility located in Banting, Selangor Darul Ehsan.

Both LICB and AMSB have a 23.44 percent and 60.26 percent equity
interest respectively in LFIB.

2. Information on AMSB's Meltshop Facility

AMSB had in late 1996 commenced construction of its new steel
mill facility in Banting, Selangor Darul Ehsan Amsteel II.
Amsteel II is an integrated steel mill plant comprising the
following facilities:

i) A meltshop using the electric arc furnace facility and
capable of melting up to 1.25 million metric tonnes of molten
steel Meltshop; and
ii) A rolling mill with a capacity for the production of up to
500,000 metric tonnes of high-grade bars and wire rods Rolling
Mill.

Following the financial meltdown affecting the Malaysian economy
in the last quarter of 1997, the construction of Amsteel II
including the Meltshop was shelved in April 1998. AMSB commenced
the construction of the Rolling Mill at the end of 2000. The
Rolling Mill had commenced commercial production since July 2002
producing high-grade bars and wire rods. However, the
construction of the Meltshop remained uncompleted.

AMSB is proposing to complete the Meltshop in which AMSB had
already invested approximately RM490 million as at 31 March 2003
and the funds of up to RM100 million required for this purpose
is being sought from SFI and will be utilised as set out in
Table 1.

It is envisaged that the molten steel to be produced by the
Meltshop will be sufficient to meet Amsteel II's own rolling
requirement, in addition to the proposed off-take of at least up
to 600,000 metric tonnes of molten steel by a related party.

3. Salient terms of the Proposed Financing
The salient terms of the Proposed Financing are as follows:

- Tenure and Principal Repayment of the Proposed Financing:
Annual installments are as set out in Table 2.

- Availability Period:
6 months from the date of satisfaction of the conditions
precedent to the Proposed Financing. Any undrawn portion of the
Proposed Financing by the expiry of the period shall be
automatically cancelled.

- Interest Rate:
12% p.a. Prescribed Rate. Interest shall be calculated on the
basis of the actual number of days elapsed in a year of 365
days.

- Interest Payment:
The first interest payment shall be made 12 months from the date
of first drawdown and thereafter interest shall be payable semi-
annually in arrears.

- Default Interest:
In the event of a default in the repayment or payment from the
due date of the installments and/or interest thereon or any
monies due to be paid, AMSB shall pay SFI damages by way of
interest at the rate of 1 percent per annum over and above the
Prescribed Rate on the outstanding sums from the due date until
the date of receipt of payment thereof.

- Prepayment:
AMSB is permitted to prepay all or any part of the Proposed
Financing subject to the following:

(a) SFI is given seven (7) clear working days' prior written
notice of the intended prepayment;

(b) Such prepayment shall be for a minimum of RM2 million and
any amount in excess of RM2 million shall be in multiples of
RM100,000; and

(c) Any amount prepaid shall not be available for re-borrowing.

- Security:
Second charge over the non-vacant plot of land and building held
under HS (D) 13425 PT 17216, Mukim Tanjung Dua Belas, District
of Kuala Langat, Selangor Said Property which shall rank in
priority to the first charge created in favour of the existing
lenders of AMSB AMSB Lenders Second Charge subject always that
SFI shall agree to disclaim their interest over the vacant
portion of the land measuring approximately 60 acres/242,612
square metres pending sub-division of the said title into the
vacant and non-vacant plots Security.

- Period required satisfying all conditions precedents (as
stated in section 6 below):
Within three months from the date of the letter of offer or such
other date as may be extended by the parties in writing.

- Events of default:
The whole of the Proposed Financing and interest thereon and/or
any other amount outstanding and unpaid under the Proposed
Financing shall become due and immediately repayable upon SFI
declaring one or more of the following events having occurred:

1. Non-payment of principal and/or interest on the Proposed
Financing;

2. Breach of any terms and conditions contained in the security
documents of this Proposed Financing;

3. Declaration of event of default by the security agent acting
on behalf of the AMSB Lenders;

4. Step is taken for the winding-up or liquidation of AMSB or a
receiver and/or manager of AMSB's assets is appointed;

5. AMSB ceases to carry on its business;

6. Occurrence of any material adverse change in the financial
position of AMSB as determined by SFI; or

7. Termination of the offtake agreement between AMSB and a
related party for any reason whatsoever, other than due to
compliance of any governmental provisions and/or regulations or
unless SFI is satisfied that the steps undertaken by AMSB
thereupon are able to provide an alternative adequate source for
repayment of the Proposed Financing.

4. Rationale for the Proposed Financing

AMSB had invested approximately RM490 million in the Meltshop as
at 30 March 2003 consisting of machineries, which include the
electric arc furnace plant. As the Meltshop remains uncompleted,
any further delay in the completion of the Meltshop will result
in deterioration in the condition of the machineries.

The proposal by AMSB to obtain the Proposed Financing to
complete the Meltshop is timely, as Amsteel II requires molten
steel to be produced by the Meltshop to manufacture the high-
grade billets as feedstock for its rolling mill to produce high-
grade bars and wire rods. The high-grade billets are currently
imported and there is difficulty in sourcing the billets in
terms of availability and price. In addition, AMSB will also
have an offtake of up to 600,000 metric tonnes of molten steel
by a related party.


5. Financial Effects of the Proposed Financing

5.1 Share Capital

There will be no effect on the issued and paid-up capital of
LICB as the Proposed Financing does not involve the issuance of
new LICB shares.

5.2 Earnings

Assuming the Proposed Financing is to be completed in July
2003, the proposal is not expected to have any material impact
on the earnings of the LICB Group for the financial years ending
30 June 2003 and 30 June 2004.

5.3 Net Tangible Assets NTA

On a proforma basis, the Proposed Financing is not expected to
have a material impact on the NTA of the LICB Group based on the
audited consolidated balance sheet as at 30 June 2002.

6. Conditions Precedent to the Proposed Financing

Pursuant to the letter of offer dated 9 June 2003, the Proposed
Financing is conditional upon, inter alia, the following:

1) The approval of the shareholders of LICB and LFIB for the
granting and acceptance of the Proposed Financing at their
respective Extraordinary General Meeting to be convened;

2) The approval of SFI and AMSB for the granting and acceptance
of the Proposed Financing which was procured on 26 May 2003 and
9 June 2003 respectively;

3) The consent of AMSB Lenders for the Proposed Financing, the
creation of the Second Charge and any other relevant amendments
to the security documents in favour of AMSB Lenders;

4) The execution of an offtake agreement for the consumption of
up to 600,000 metric tonnes of molten steel per annum to be
entered into between AMSB and a related party; and

5) Any other relevant authorities, if required.

7. Directors' Interest

The following Directors do not consider themselves independent
in respect of the Proposed Financing by virtue of the following:

1. Datuk Cheng Yong Kim is a major shareholder of the Company
and LFIB.

2. Mr Cheng Yong Liang is the brother of Datuk Cheng Yong Kim.
Both Datuk Cheng Yong Kim and Mr Cheng Yong Liang are also
nephews of Tan Sri Cheng Heng Jem, a major shareholder of the
Company and LFIB.

3. Mr Heah Sieu Lay is an employee of Lion Subang Parade Sdn
Bhd, a Company in which Tan Sri Cheng Heng Jem is deemed to have
a substantial interest via his substantial shareholding in Lion
Diversified Holdings Berhad, a subsidiary of LICB.

4. Dato' Kamaruddin @ Abas bin Nordin is an Executive Director
of Lion Courts Sdn Bhd (a wholly-owned subsidiary of LICB), a
Company in which Tan Sri Cheng Heng Jem is deemed to have
substantial interest via his substantial shareholding in LICB.
Save as disclosed above, none of the other Directors of LICB
have any interest, direct or indirect, in the Proposed
Financing.

8. Related Party Transaction
The Proposed Financing is deemed to be a related party
transaction as defined under Chapter 10 of the Listing
Requirements of the Kuala Lumpur Stock Exchange KLSE. As such,
in compliance with paragraph 10.08 of Chapter 10 of the Listing
Requirements of the KLSE, Southern Investment Bank Berhad has
been appointed as the Independent Adviser to advise the
Independent Directors and the minority shareholders of LICB on
the fairness and reasonableness of the Proposed Financing.

9. Directors' Opinion on the Proposed Financing

The Directors of the Company are of the opinion that the
Proposed Financing is in the best interest of the Company.

10. Other Matter

The circular and independent advice letter containing details
and evaluation of the Proposed Financing by the Company and
Southern Investment Bank Berhad will be dispatched to the
shareholders in due course.

Table 1                                           RM million

(1) Civil and Building Works/machinery and Equipment 92.0
(2) Supervison Fees/Project Administration            8.0
Total                                               100.0

Table 2

Date of Repayment:                                RM'million

30 June 2005                                         10
30 June 2006                                         20
30 June 2007                                         20
30 June 2008                                         25
30 June 2009                                         25
Total                                               100


METROPLEX BERHAD: Unit Disposes of Land-Based Properties
--------------------------------------------------------
The Board of Directors of Metroplex Berhad (MB) announced that
its wholly-owned subsidiary, Equity Holdings Sdn Bhd has on 9
June 2003 completed the disposal of the following land-based
properties to Infra Sari Sdn Bhd for a total cash consideration
of Ringgit Malaysia Forty-Five Million (RM45,000,000):

a) Freehold land held under Geran 10353, Lot 237, Seksyen 43,
Bandar Kuala Lumpur, Daerah Kuala Lumpur and Negeri Wilayah
Persekutuan and measuring in area approximately 2,165 square
metres together with one block of office building erected
thereon known as Wisma Equity, No. 150, Jalan Ampang, 50450
Kuala Lumpur;

b) Freehold vacant land held under Geran 6428, Lot 233 (Lot
191), Seksyen 43, Bandar Kuala Lumpur, Daerah Kuala Lumpur and
Negeri Wilayah Persekutuan and measuring in area approximately
1,461 square metres;

c) Freehold vacant land held under Geran 29684, Lot 186, Seksyen
43, Bandar Kuala Lumpur, Daerah Kuala Lumpur and Negeri Wilayah
Persekutuan and measuring in area approximately 1,332.558 square
metres; and

d) Freehold vacant land held under Geran 29687, Lot 190, Seksyen
43, Bandar Kuala Lumpur, Daerah Kuala Lumpur and Negeri Wilayah
Persekutuan and measuring in area approximately 1,591.563 square
metres.


OCEAN CAPITAL: Seeks CRE Extension
----------------------------------
On behalf of the Board of Directors of Ocean Capital Berhad
(OCEAN), Hwang-DBS Securities Berhad announced that on 9 June
2003, an application has been made to seek the Kuala Lumpur
Stock Exchange's approval for an extension of time for two (2)
months to 21 August 2003 for OCEAN to make the necessary
applications to the relevant authorities for the Proposed CRE.


The Proposed Corporate Restructuring Exercise (CRE) Proposal
comprises the following:

ú Proposed Capital Reconstruction;
ú Proposed Warrants Exchange;
ú Proposed Acquisition of Pasaraya Hiong Kong Sdn Bhd PHK;
ú Proposed Divestment of Non-Core Assets;
ú Proposed Rights Issue with Warrants;
ú Proposed Offer for Sale; AND
ú Proposed Listing Transfer.


PLANTATION & DEVELOPMENT: Unit Sells 46,192,200 Units of ICPS
-------------------------------------------------------------
Universal Trustee (Malaysia) Berhad UTB, trustee for the
Noteholders of the Revolving Underwriting Facility of RM20.0
million loan extended to Invescor Ventures Sdn Bhd (under
Receivers & Managers and Liquidation), a wholly owned subsidiary
of Plantation & Development (Malaysia) Berhad P & D had disposed
another 7,912,200 units of ICPS at RM1.00 each in YTL Land &
Development Berhad for an aggregate amount of RM2,897,105.16.
UTB had informed P & D of its disposal of ICPS via UTB's fax
letter dated 9 June 2003.

To date, UTB had sold 46,192,200 units of ICPS at RM1.00 each in
YTL Land & Development Berhad for an aggregate amount of
RM16,639,116.36.

Further details of the transactions are as per attached.

Sale of ICP'S

Trade      Quantity  Price Gross
Date  units  RM    Amount
                     RM


02.06.2003  978,000.00    0.37     361,860.00
03.06.2003  675,200.00    0.37     249,824.00
04.06.2003  2,954,800.00  0.3628     1,072,001.44
05.06.2003  3,000,000.00  0.3673     1,101,900.00
06.06.2003  304,200.00    0.3666   111,519.72

  7,912,200.00    2,897,105.16


SUNWAY CITY: Schedules AGM on June 26
-------------------------------------
Sunway City Berhad informed the Kuala Lumpur Stock Exchange that
an Extraordinary General Meeting (EGM) of the Company will be
held at Grand Bahamas, Level 12, Sunway Lagoon Resort Hotel,
Persiaran Lagoon, Bandar Sunway, 46150 Petaling Jaya, Selangor
Darul Ehsan on Thursday, 26 June 2003 immediately following the
conclusion or adjournment (as the case may be) of the 20th
7Annual General Meeting of the Company which will be held at
3.30 p.m. on the same day and at the same venue.

The notice of the EGM will be published in the New Straits Times
on 10 June 2003.


TECHNO ASIA: Extends Time to Complete Disposal
----------------------------------------------
AmMerchant Bank Berhad (formerly known as Arab-Malaysian
Merchant Bank Berhad) on behalf of Techno Asia Berhad (TAHB),
announced that the Securities Commission (SC) had via its letter
dated 6 June 2003, approved TAHB's application for an extension
of time to 31 December 2003 for TAHB to complete the
implementation of the Proposed Disposals/Set-Offs and the
Proposals.

(I) Proposed disposal of the entire equity interest in westmont
power (kenya) limited wpkl by tahb and westmont offshore sdn bhd
wosb (a wholly-owned subsidiary of tahb) to cergas senja sdn bhd
cergas for a total cash consideration of usd 15 million (or
approximately rm57.0 million) proposed disposal of wpkl;

(ii) Proposed set-off and transfer of lot 11644, lot 6863 and cl
lot 115347656 plantation assets by cempaka sepakat sdn bhd cssb,
ganda plantations (perak) sdn bhd gppsb and litang plantations
sdn bhd lpsb, respectively, to the secured creditors at their
respective transfer values of approximately rm34.10 million,
rm13.30 million and rm35.04 million proposed set-off and
transfer of the plantation assets;

(iii) Proposed set-off and transfer of agora hotel and annexed
building owned by tahb to the secured creditor at a transfer
value of rm9.6 million proposed set-off and transfer of agora
hotel;

(iv) Proposed set-off and transfer of 3.70 million pilecon
engineering berhad pilecon shares owned by tahb to the secured
creditor at a transfer value of approximately rm1.3 million
proposed set-off and transfer of 3.70 million pilecon shares by
tahb;

(v) Proposed disposal of all movable assets of prima moulds
manufacturing sdn bhd pmmsb and its wholly-owned subsidiary,
prima moulds sdn bhd pmsb for a total cash consideration of
approximately rm0.9 million proposed disposal of the assets of
pmmsb and pmsb;

(vi) Proposed set-off and transfer of 5.56 million pilecon
shares owned by techno asia venture capital sdn bhd tavcsb to
the secured creditor at a transfer value of approximately rm1.9
million proposed set-off and transfer of 5.56 million pilecon
shares by tavcsb;

(vii) Proposed set-off and transfer of 31 commercial units in
wisma ganda owned by wisma dindings sdn bhd wdsb to the secured
creditor at a transfer value of approximately rm2.0 million
proposed set-off and transfer of 31 commercial units by wdsb;

(viii) Proposed set-off and transfer of the charged and
substitute assets owned by mount austin properties sdn bhd mapsb
to the secured creditors of mapsb proposed set-off and transfer
of mapsb's charged and substitute assets.

(Collectively known as "proposed disposals/set-offs

(i) Proposed capital reduction and consolidation;

(ii) Proposed share swap with yu neh huat bhd (formerly known
as giant express bhd) ynhb;

(iii) Proposed acquisition of kar sin berhad ksb and its
subsidiaries ksb group and yu & sons sdn bhd yssb by
ynhbProposed acquisitions;

(iv) Proposed exemption for the vendors of ksb and yssb and
parties acting in concert with them to undertake a mandatory
take-over offer to acquire the remaining shares in ynhb not
owned by them Proposed exemption;

(v) Proposed restricted issue of ynhb shares to selected
shareholders of ynhb Proposed restricted issue;

(vi) Proposed transfer of listing status of tahb to ynhb;

(vii) Proposed disposal of tahb;

(viii) Proposed offer for sale and Proposed placement of shares
by the vendors of ksb and yssb;

(ix) Proposed transfer of rm100,000 nominal value of
irredeemable convertible unsecured loan stocks iculs for free;

(x) Proposed listing of the entire issued and paid-up share
capital and iculs of ynhb on the main board of the kuala lumpur
stock exchange klse Proposed listing; and

(xi) Proposed employee share option scheme by ynhb Proposed
esos. (collectively known as the "proposals)


ZAITUN BERHAD: Delists Securities From KLSE
-------------------------------------------
Zaitun Berhad, on 30 May 2003, had announced that the Listing
Sub Committee of the Exchange upon consultation with the
Securities Commission, has decided to de-list the securities of
the Company and remove these securities from the Official List
of the Exchange at 9.00 am on Monday, 16 June 2003.

The Company further announced on the same date that it is not
satisfied with the decision of the Listing Sub Committee of the
Exchange and would make an appeal to the Committee of the
Exchange as the Company was finalizing a Debt Restructuring
Scheme involving a third party and a memorandum of understanding
(MOU) pursuant to the Debt Restructuring Scheme would be
announced sometime soon.

The Company is now pleased to announce that the Company has
entered into an AGREEMENT with Mr Cheah Soo Jin on 7 June 2003
involving inter alia, the following:

(i) Proposed capital reduction and consolidation;

(ii) Proposed incorporation of a new holding Company NewCo to
assume the listing status of Zaitun Bhd ZB;

(iii) Proposed share swap between NewCo and ZB;

(iv) Proposed sale/liquidation of certain assets and
subsidiaries currently owned by ZB Group;

(v) Proposed Debt settlement with lenders and creditors of ZB
Group;

(vi) Proposed acquisition of Astra Legenda Sdn Bhd and several
target companies involved in the manufacture and marketing of
building materials;

In light of this new development, the Company has written to the
Kuala Lumpur Stock Exchange Exchange on 6 June 2003 to appeal
against the decision of the Exchange to de-list the securities
of the Company from the Official List of the Exchange on 16 June
2003.

A Share Sale Agreement is to be signed before the expiry of
thirty days from the date of this Agreement where-upon the
Requisite Announcement detailing the above proposal shall be
made.


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


CE CASECNAN: Moody's Downgrades Rating to B2
--------------------------------------------
Moody's Investors Service on Friday has downgraded CE Casecnan
Water and Energy Company, Inc (CE)'s senior secured notes rating
to B2 from Ba2. Outlook is negative. CE reporting that National
Irrigation Administration of the Philippines (NIA) has not paid
the monthly invoice for water and electricity fees that was due
on May 28, 2003 prompts the downgrade.

The invoice is for USD 10.8MM, of which USD$3.6MM related to the
tax compensation portion of the water delivery fee. This
concludes the rating review initiated on May 9 2003.

NIA's nonpayment in May occurs amidst the background that NIA
has filed an Answer and Counterclaim (on March 31 2003) and
subsequently a Supplemental Counterclaim (on April 23 2003) to
existing arbitration proceedings with CE, seeking to declare the
project agreement void.

CE initiated arbitration against NIA in August 2002 concerning
failure of NIA to compensate CE for taxes paid by CE during
construction of the project. Further, in the absence of the
project agreement being declared void, NIA is seeking to have
the agreement reformed.

Moody's says the B2 rating reflects the tight liquidity at CE,
and that CE might experience difficulty in honoring its debt
service obligations this coming November if NIA does not honor
its payment obligations to CE. Moody's continues to say that
while MidAmerican Energy Holdings Company (MidAmerican) (rated
Baa3, outlook positive), has provided support to CE in the past,
Moody's understands that MidAmerican is under no formal
obligation to provide such support and it is uncertain at this
stage if any support will be rendered.

The negative outlook reflects that the ongoing reforms in the
power sector in the Philippines has created significant
uncertainty for CE and has caused instability in the operating
environment for the project. The lack of transparency of the
contract renegotiation process and the increase in the political
risk is particularly worrisome. Continued abrogation of payment
obligations by NIA, success of NIA in its couterclaims, lack of
support from MidAmerican or further adverse developments in the
power sector reforms may pressure the rating of CE.

CE Casecnan is a privately held Philippines corporation formed
in 1994 to develop, own and operate a multipurpose irrigation
and hydroelectric power facility (150MW) located on the island
of Luzon in the Philippines. The company is a subsidiary of
MidAmerican Energy Holdings Company headquartered in Des Moines,
Iowa.


MANILA ELECTRIC: More Customers Claiming Refunds
------------------------------------------------
The Manila Electric Company (Meralco) told radio dzMM Tuesday
morning that more and more people are flocking to its business
offices to avail themselves of cash refunds that the power
distributor is paying out in compliance with a court ruling,
ABS-CBN News reports.

Customers consuming up to 100 kilowatt-hours per month are
eligible for the refund, Meralco Vice President for Corporate
Affairs Elpi Cuna said. Meralco refund booths are open from
Monday to Saturday, from 7 a.m. to 7 p.m.


NATIONAL BANK: HK Unit Inks Tie-up With Indonesian Bank
-------------------------------------------------------
The PNB Remittance Center Limited (PNB-RCL), Philippine National
Bank's remittance unit in Hong Kong, signed a remittance tie-up
arrangement with Bank Mandiri (Persero), Hong Kong branch, at
the Conrad Hotel in Hong Kong, the Philippine Star reports.
Under the Indonesian Remittance Program, PNB-RCL's eight
branches will act as collection points for remittances of
Indonesian workers in Hong Kong, now numbering over 70,000,
using PNB's Electronic Remittance Processing System.

Meanwhile, Bank Mandiri Hong Kong, the largest bank in
Indonesia, will remit the funds collected by PNB-RCL to the
workers' beneficiaries in Indonesia using Bank Mandiri's network
of branches. The remittance tie-up is one of PNB's initiatives
to expand its fee-based income business.

The Bangko Sentral ng Pilipinas (BSP) will require the
Philippine National Bank (PNB) to sign a memorandum of
understanding (MOU) that will bind the bank to the commitments
and targets set under its rehabilitation plan, TCRAP reported
recently. PNB announced earlier that it is at least
four years ahead of its rehabilitation plan. According to the
BSP, there is no guarantee that the PNB would be able to meet
its commitments under the rehabilitation plan and BSP officials
want the bank to undertake a binding agreement that would force
it to meet its targets.


* S&P Issues Survivability Assessment on RP, Indonesian Banks
-------------------------------------------------------------
Standard & Poor's survivability assessments on some systemically
important banks in the Philippines and Indonesia would be higher
than the counterparty credit ratings on these banks.

Bank survivability assessments represent Standard & Poor's view
of the likelihood that a given bank would be able, or allowed by
the government or regulator, to maintain certain banking system-
critical and institution-critical operations even if the bank is
in selective default on some of its debt obligations. Such
operations could include a financial future flow transaction. An
example of a financial future flow transaction is inward
remittances from Filipino and Indonesian workers employed
overseas. Standard & Poor's counterparty credit ratings, in
contrast, rate the borrower's capacity to service and repay
borrowings on a timely basis.

The Philippine and Indonesia banking system could utilize the
concept of bank survivability assessment in certain structured
transactions, as the securitization market in these countries
develops over the next few years. The growth and development of
the securitization market could be spurred by a few possible
factors:

The increasing sophistication of the financial institutions in
these two countries in their asset-liability management
techniques. The potential increase in the use of alternative
sources for raising funds, by financial institutions and
government bodies (for example, the central bank).

In the Philippines, new legislation in the form of the Special
Purpose Vehicle (SPV) Act, that allows financial institutions to
transfer their nonperforming assets to asset management
companies, which could lead to more securitization deals;

What is Bank Survivability?

Although not a rating, Standard & Poor's developed bank
survivability evaluations in recognition of the fact that large,
systemically critical banks are often supported or granted
regulatory forbearance by their governments in times of
financial system stress or incipient insolvency. This practice
reflects the concern that many governments have over the
potential consequences that a major bank failure, or rumors of a
potential failure, could have on the functioning of both the
confidence-sensitive banking system itself and on an economy
heavily reliant on bank-supplied financial intermediation.

There is also increasing evidence that some structured
transactions are not compromised by severe bank financial
problems, but rather:

The underlying structure is recognized and honored by the
regulatory authorities; and certain key processing functions of
the bank are allowed to continue.

A rating-relevant implication of this practice is that
systemically critical banks can sometimes be in selective
default on certain financial obligations, but may nonetheless be
allowed to remain in operation to undertake some or all of their
usual activities. In particular, a troubled bank's processing
functions, especially those that require minimal or no
liquidity, are essential to the functioning of the economy, earn
fees for the bank, or earn the institution and the country
foreign exchange, can often be maintained even under
circumstances in which other bank-based financing activities
have either been suspended or frozen.

Standard & Poor's believes a supervising authority's willingness
to allow the partial functioning of one or more impaired banks
to be particularly likely in a systemic stress situation in
which a continuation or resumption of critical payments systems
functions is regarded by the relevant authorities as essential
to the operation of the economy. In these circumstances,
governments often have a strong incentive to keep all, or at
least some, of the nation's leading banking institutions at
least partially operating for fear of a systemic collapse that
could cripple an economy. Even in cases in which the financial
stress is institution-specific, however, the potential failure
of a key bank is often regarded by government as potentially too
destabilizing to the financial system-or politically unpopular-
to be allowed.

It should be noted that "survivability" in the sense that an
issuing bank avoids liquidation is a necessary, but not a
sufficient condition for the proper functioning of future flow
structured finance transactions. An issuing bank does, in fact,
need to engage in certain specific activities for a transaction
to perform properly, including:

Continue to operate that portion of the business that gives rise
to the securitized assets. An issuing bank must be able to
maintain its transaction-critical business operations in order
to generate eligible receivables for the payment of debt
service. For example, if a bank issues a credit card merchant
voucher-backed transaction, the bank must generally maintain a
viable voucher acquisition business in order for the transaction
to perform properly.

Honor the transaction's legal structure. Generated receivables
should be made available to investors according to the
transaction documentation and not successfully claimed by the
bank's creditors, including any government or regulatory
authority.

Maintain a viable branch network. A branch network is usually
necessary to purchase receivables from the small and midsize
businesses that typically generate the credit card vouchers used
in bank-issued future flow structured finance transactions. A
significant branch network may also be a positive for the
securitization of certain assets, such as workers' remittances,
due to socio-political concerns.

Maintain sufficient liquidity. Bank-issued, future flow
transactions are essentially securitizations of pass-through
assets. Specifically, the assets belong not to the issuing bank,
but rather to the issuing bank's customers. The bank benefits
from the securitization of these foreign currency assets due to
its role as a financial intermediary. As a result, the bank must
maintain sufficient liquidity so that it can pay the difference
between the residual cash flow it may receive from the
transaction after payment of debt service and what it owes to
its customers.

It should be noted, however, that a temporary disruption to a
transaction-critical business line or a bank's available
liquidity, such as a short-term bank holiday or banking system
freeze, need not impact a transaction's performance. The risks
posed by a disruption often can be addressed through the
inclusion of structural credit enhancements, such as reserve
accounts, that are sufficient in size to cover all debt service
for a specified period of time. In its review of a proposed
transaction, Standard & Poor's may request that certain
identified risks be mitigated through specific forms and levels
of credit enhancement in order for the transaction to receive
the maximum possible rating elevation.

Rating Above an Issuer's Local Currency Rating
Standard & Poor's considers the local currency rating to be its
opinion on an issuer's ability to pay its debts in local
currency. Thus, in the event of a default on its local currency
debt, Standard & Poor's assumes that a Company will either
reorganize or liquidate following a default, thereby affecting
the transaction. However, a properly structured future flow
transaction can achieve ratings above the sovereign foreign
currency rating depending on the degree to which the structure
successfully mitigates sovereign interference risk. A
survivability assessment above the local currency rating of the
originator is only possible if there is evidence that a Company
is unlikely to liquidate and the rated transaction would not be
affected by a reorganization or restructuring proceeding.

In most instances, the rating would be based on an originator's
survivability, operating, or performance risk rather than its
financial default risk. In other words, a key analytical
assumption for a rating at that level is that the risk of
liquidation for the originator is lower than the risk of default
by the originator on its local currency debt. Also, in a future
flow transaction, a conclusion must be reached that an
originator in financial distress can continue operating and
generating receivables for the benefit of future flow creditors
until liquidation occurs.

The Case in the Philippines and Indonesia

Recent history has seen the Philippine government, through the
central bank, Bangko Sentral ng Pilipinas (BSP) and the
government agency Philippine Deposit Insurance Corp. (PDIC),
assist and provide regulatory support to troubled financial
institutions that are of systemic importance, such as the
Philippine National Bank (PNB) and Equitable PCI Bank. These two
banks had earlier experienced liquidity crunches that resulted
in emergency liquidity assistance from BSP and PDIC in order to
in restore stability to the banking system. In the case of PNB,
the government even undertook a debt-for-equity swap in order to
oversee the bank's rehabilitation. In these two cases, the key
processing functions were not compromised, and instead basic
banking operations were allowed to continue. Despite its earlier
liquidity crunch, PNB now has the largest share of the
Philippine remittance business.

Another most recent example is the United Coconut Planters Bank
(UCPB). As the tenth-largest commercial bank by asset size, and
eighth-largest by market share of deposits, it became weighed
down significantly by its nonperforming loans (NPLs) in 2002 and
posted operating losses in the last few years. It recently
received a short-term government rehabilitation program whereby
PDIC would purchase about Philippine peso (PHP) 13 billion (US$
247 million) of UCPB's NPLs and later on in the year subscribe
to its 10-year subordinate debt issue of about PHP 7 billion
(US$ 132.8 million). While such a temporary measure does not
provide a long-term solution to UCPB's rehabilitation (which is
still being worked out), it nevertheless represents the
willingness of the Philippine government to support troubled
large banks that are considered important to the stability of
the banking system in times of financial stress, rather than to
liquidate them, thereby lowering the operating risk.

In the case of Indonesia, the Asian crisis in 1998 has seen the
central government intervene in the wake of failure of many
Indonesian banks, and provided liquidity support to more than 72
percent of the banking system. At that time, many of the banks
were deemed insolvent, but were allowed to continue operating to
provide basic banking functions. Eventually, many of these weak
and insolvent banks were merged into larger entities, and the
Indonesian Bank Restructuring Agency (IBRA) took over seven
banks. At the same time, a blanket guarantee on all deposits of
the banks was provided, in order to stabilize the wave of bank
runs that was spreading throughout the country. The transfer of
deposits of the closed banks to the new re-designated state-
owned banks also ensured that depositors' fears of losing their
money were allayed.

The Philippine and Indonesian cases illustrate the evidence that
bank regulatory and supervisory authorities in many countries
would assist key banks in financial distress. The assistance
could either be in the form of:

Active restructuring, as in Indonesia, where the banks taken
over by IBRA were recapitalized and underwent a restructuring
process, or Passive assistance, in the form of regulatory
forbearance, or temporary assistance such as emergency liquidity
loans in the case of the Philippines scenario.

Philippine Commercial Banks
Issuer Credit Ratings

Ratings as of June 3, 2003.

Bank of the Philippine Islands  BBpi
Equitable PCI Bank  Bpi
Metropolitan Bank & Trust Co.  Bpi
Philippine National Bank  CCCpi
Rizal Commercial Banking Corporation  B/Stable/B
Security Bank Corporation  Bpi

Indonesian Banks
Issuer Credit Ratings

Ratings as of June 3, 2003.

PT Bank Central Asia  Bpi
PT Bank Danamon  B/Stable/B
PT Bank Internasional Indonesia  CCCpi
PT Bank Mandiri  B/Stable/B
PT Bank Negara Indonesia  B/Stable/B
PT Bank Pan Indonesia  CCCpi
PT Bank Permata  CCCpi
PT Bank Rakyat Indonesia  CCCpi
PT Bank Tabungan Indonesia  CCCpi
Lippo Bank  CCCpi


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


CHARTERED SEMICONDUCTOR: Achieves ISO Quality Standards
-------------------------------------------------------
Chartered Semiconductor Manufacturing, one of the world's top
three dedicated semiconductor foundries, announced on Tuesday
that it has achieved the ISO 9001:2000 quality management
systems standards certification for all its fabrication
facilities - Fab 2, Fab 3, Silicon Manufacturing Partners (Fab 5
or SMP) and Chartered Silicon Partners (CSP or Fab 6) -
currently in operation on its main Woodlands campus in
Singapore. Chartered received the international standard for
quality excellence certification from PSB Certification Pte.
Limited (PSB Cert), Singapore's market leader of management
system certification accredited by the globally recognized Dutch
Council for Accreditation, for demonstrating its commitment to
quality and a strong foundation to drive ongoing continuous
improvement programs in business practices and management
systems.

Building on previous quality certifications to ISO 9002:1994 and
QS 9000 standards, Chartered successfully upgraded to the more
stringent ISO 9001:2000 certification. While ISO 9002:1994
focused on certification of individual business areas, ISO
9001:2000 requires companies to demonstrate quality systems that
drive toward integrated business process management, as
evidenced by leadership to achieve business objectives,
management commitment and a strong customer focus. In achieving
this latest version of ISO 9000 certification, Chartered also
expanded its scope of quality management systems to include
strict quality metrics for the technology development process.

Chartered Achieves Quality Excellence with IS0 9001:2000
Certification./2 "Chartered is committed to building and
demonstrating to our customers, partners and suppliers a
sustainable model for quality excellence that spans the
Company's supply chain," said Dr. Ron Dickinson, Vice President
of quality and reliability assurance. "The achievement of ISO
9001:2000 certification is important for reinforcing our
customers' confidence in Chartered as a center of manufacturing
excellence for advanced system-on-chip products. In addition,
the certification supports our belief that Chartered has in
place both quality monitoring and improvement initiatives for
enhancing customer satisfaction and the delivery of robust
market-leading solutions to foundry customers."

"From extensive audits of Chartered's quality management systems
across all business functions, it is clear that Chartered has
made significant progress on its quality roadmap to reach for
higher standards of excellence," said Doris Ng, lead assessor of
PSB Cert. "We were impressed with Chartered's `customerfirst'
emphasis, strict enforcement of control and benchmarking in
business practices as well as the wide deployment of quality
management systems across all business functions. Additionally,
an extremely high level of conformance and commitment to quality
excellence were observed for activities critical to customers'
product success, including contract management, customer service
procedures, statistical process controls, preventive
maintenance, inspection and testing, and facilities management."

Other Industry Certifications Previously, Chartered's
manufacturing facilities achieved quality certification to the
ISO 9002:1994 standards and QS 9000 standards in 1993 and 2000,
respectively. In support of Chartered's environmental
sustainability goal to adopt best-in-class, industry standards
to reduce and eliminate the Company's impact on the environment
and natural resources, Chartered achieved certification to the
ISO 14001 environmental management systems standards and
Singapore's ODS-Free Process Verification Scheme environmental
standards in 1998.

Additionally, Chartered's Fab 5 achieved certification to the
international OSHA 18001 safety management systems standards in
2000. All fabrication facilities also received certification to
the Singapore Semiconductor Safety Management standards in 2002.
About Chartered Chartered Semiconductor Manufacturing, one of
the world's top three dedicated semiconductor foundries is
forging a customized approach to outsourced semiconductor
manufacturing by building lasting and collaborative partnerships
with its customers. The Company provides flexible and cost-
effective manufacturing solutions for customers, enabling the
convergence of communications, computing and consumer markets.
In Singapore, Chartered operates five fabrication facilities and
has a sixth fab, which will be developed as a 300mm facility.

A Company with both global presence and perspective, Chartered
is traded on both the Nasdaq Stock Market (Nasdaq: CHRT) and on
the Singapore Exchange (SGX-ST: CHARTERED). Chartered's 3,500
employees are based at 11 locations around the world.
Information about Chartered can be found at
www.charteredsemi.com.

On June 9, 2003, Standard & Poor's Ratings Services affirmed its
'BBB-' ratings on Chartered Semiconductor Manufacturing Ltd. The
outlook is negative. The ratings reflect the strong support
provided by its parent, Singapore Technologies Pte. Ltd. (STPL),
and the Company's strong liquidity position. These strengths are
offset by the higher-than-average business risk of the
semiconductor industry and Chartered's relatively weak
operations. Chartered's operating performance is weak. Its
breakeven utilization rate of about 70 percent is high compared
with industry leaders' rates of 40 percent-50 percent.
Furthermore, Chartered currently faces a technology gap of three
to four quarters behind its top competitors.


CHARTERED SEMICONDUCTOR: Legerity's HV7 Completes Qualification
---------------------------------------------------------------
Legerity, Inc., a leading provider of analog/mixed-signal
integrated circuits for voice and data networks, announced that
its flagship proprietary high-voltage process, called HV7,
completed qualification after only 9 months for production at
Chartered Semiconductor Manufacturing. Legerity's chip sets
fabricated upon the HV7 process will begin production
immediately at Chartered. The need for Legerity to qualify a new
manufacturing facility for the HV7 process arose last year when
AMD closed the fab where Legerity had previously outsourced the
manufacture of several products. In order to ensure that the fab
shutdown did not affect customers, Legerity chose to partner
with Chartered. The decision was based on Chartered's strong
technical team and reputation as a world-class dedicated
foundry.

"Chartered is a world-class fab with a great manufacturing track
record," said Gary Tanner, Vice President of Operations for
Legerity. "The Chartered transition team is among the most
experienced and most technically competent in the world. It was
extremely important to work with such a partner, in order to
feel confident that our customers would not experience any
problems during the transition." Chartered will now manufacture
all of Legerity's products based upon the HV7 process. These
include the VoiceChip family, products from the newly formed HPA
business, and the products from the acquired Agere Systems
business. Also, the partnership with Chartered will allow
Legerity to develop new advanced products.

"Legerity's selection of Chartered as its long-term supplier of
choice demonstrates that Chartered has technology offerings and
manufacturing solutions that address the needs of today's
fabless companies," said Mike Rekuc, President of the Americas
at Chartered. "In meeting Legerity's aggressive requirements for
qualification of the HV7 process in benchmark time, Chartered
has demonstrated another success in transferring processes for
our customers. Legerity needed a manufacturing partner that
could provide both technology and business solutions that would
grow and evolve with it. We are excited to be working with
Legerity and providing the complete, long-term solutions it
needs."

Legerity's HV7 process is a 150 V complementary bipolar process
technology with high-speed (fT > 1GHz) transistors. The devices
in HV7 are dielectrically isolated, increasing packing density
and drastically reducing device cross talk, which ultimately
produces a smaller, lower cost and higher performance die than
if traditional junction isolated techniques were used.

About Legerity, Inc.

Legerity is a fabless analog/mixed-signal semiconductor Company
providing integrated circuits for high-voltage interface, signal
conditioning, signal processing, and power management
applications to more than 400 of the world's premier
communications and consumer electronics manufacturers. Using
innovative, proprietary analog and embedded digital signal
processing technologies, Legerity combines
its 20 years of experience, bipolar and CMOS process expertise,
analog and digital circuit design capabilities, and more than
600 patents to meet the design challenges of connecting the
world of analog signals with the digital domain. Headquartered
in Austin, Texas, Legerity has offices throughout North America,
Europe and Asia. Visit Legerity on the Web at www.legerity.com.

About Chartered

Chartered Semiconductor Manufacturing, one of the world's top
three dedicated semiconductor foundries, is forging a customized
approach to outsourced semiconductor manufacturing by building
lasting and collaborative partnerships with its customers. The
Company provides flexible and cost-effective manufacturing
solutions for customers, enabling the convergence of
communications, computing and consumer markets. In Singapore,
Chartered operates five fabrication facilities and has a sixth
fab, which will be developed as a 300mm facility.

A Company with both global presence and perspective, Chartered
is traded on both the Nasdaq Stock Market (Nasdaq: CHRT) and on
the Singapore Exchange (SGX-ST: CHARTERED). Chartered's 3,500
employees are based at 11 locations around the world.
Information about Chartered can be found at
www.charteredsemi.com.


THAKRAL CORPORATION: Posts Notice of Shareholder's Interest
-----------------------------------------------------------
Thakral Corporation posted a notice of changes in substantial
shareholder Inderbethal Singh Thakral's interests:

Date of notice to Company: 09 Jun 2003
Date of change of interest: 06 Jun 2003
Name of registered holder: B. B. L. (Nominees) Pte Ltd
Circumstance(s) giving rise to the interest: Others
Please specify details: Sale initiated by financial institution
to meet obligations of a related Company.

Information relating to shares held in the name of the
registered holder:
No. of shares which are the subject of the transaction:
3,000,000
% of issued share capital: 0.201
Amount of consideration (excluding brokerage and stamp duties)
per share paid or received: S$0.117 (average)
No. of shares held before the transaction: 66,000,000
% of issued share capital: 4.412
No. of shares held after the transaction: 63,000,000
% of issued share capital: 4.211

Holdings of Substantial Shareholder/Director including direct
and deemed interest
                                           Deemed      Direct
No. of shares held before the transaction: 380,083,069 5,927,000
% of issued share capital:                 25.408      0.396
No. of shares held after the transaction:  377,083,069 5,927,000
% of issued share capital:                 25.207      0.396
Total shares:                              377,083,069 5,927,000

No. of Warrants - Nil
No. of Options - Nil
No. of Rights - Nil
No. of Indirect Interest - Nil


VAN DER HORST: Judicial Managers Post Changes in Circular
---------------------------------------------------------
The Judicial Managers of Van der Horst Limited announced that
the Circular dated 6 June 2003 to the shareholders of the
Company (the Circular) in relation to, inter alia, the
Acquisition, has been dispatched to shareholders on 6 June 2003.
Unless otherwise defined herein, all capitalized terms in this
Announcement have the same meaning as those in the Circular.

The Judicial Managers wish to inform shareholders of the Company
of the following changes to the Circular:

1. Section 1.14 of Appendix I of the Circular - Letter from
Vendors to Shareholders of Van der Horst Limited (Under Judicial
Management)

The table presented in Section 1.14 of Appendix I on page 78 of
the Circular relating to "Details of Goldwater's loans as at the
Latest Practicable Date" is to be amended such that the loan
amount from Saratoga should be "nil" instead of "$442,000" and
the total amount of Goldwater's loans should be "$7,783,000"
instead of "$8,225,000". Therefore the table presented in
Section 1.14 of Appendix I on page 78 of the Circular is to be
replaced with the table below:

Details of loans                  $'000
Shareholders' loans
Canyon Gate Investments Limited  2,646
Prairie Heritage Limited         2,646

Loans from related parties
Edwin Soeryadjaya                2,491
Saratoga                         Nil

Total                            7,783

*The exchange rate as at the Latest Practicable Date is US$1 to
S$1.7766.

The paragraph immediately after the above-mentioned table on
page 79 of the Circular is to be amended by:

(i) Deleting the words "$3.4 million" in the first sentence
thereof and replacing the same with "S$3.0 million";

(ii) Deleting the second sentence thereof which states that
"Approximately $3.0 million out of the said $3.4 million was
repaid after 31 December 2002, utilizing part of the US$3
million received from Geopetrol on 27 February 2003" and
replacing the same with the following sentence:

"The said outstanding loan of S$3.0 million was repaid after 31
December 2002, utilizing part of the US$3 million received from
Geopetrol on 27 February 2003."; and

(iii) Deleting the words "$8.2 million" in the third sentence
thereof and replacing the same with "$7.8 million".

2. Section 1.21.1 of Appendix I of the Circular - Letter from
Vendors to Shareholders of Van der Horst Limited (Under Judicial
Management)

The table presented in Section 1.21.1 of Appendix I on page 94
of the Circular relating to "Details of Goldwater's loans from
related parties as at the Latest Practicable Date" is to be
amended such that the loan amount from Saratoga should be "nil"
instead of "$442,000". Therefore the table presented in Section
1.21.1 of Appendix I on page 94 of the Circular is to be
replaced with the table below:

Details of loans from a related party $'000

Saratoga*  Nil

* The exchange rate as at the Latest Practicable Date is US$1 to
S$1.7766.

The paragraph immediately after the above-mentioned table on
page 94 of the Circular is to be amended by deleting the last
sentence thereof, which states that "In any event, Goldwater
intends to repay the outstanding loan from internally generated
funds and part of the remaining US$1 million that it will be
receiving from Geopetrol."

3. Sub-paragraph (iii) of paragraph 14 under Section K of
Appendix III of the Circular - Accountants' Report on Goldwater
Company Limited

Sub-paragraph (iii) of paragraph 14 under Section K of Appendix
III on page 172 of the Circular relating to "Subsequent Events"
is to be amended by deleting the last sentence thereof which
states that "Goldwater Company has repaid US$1,750,000 owing to
this related party on 13 March 2003." and replacing the same
with the following sentence:

"Goldwater Company has repaid US$250,000 and US$1,750,000 owing
to this related party on 29 August 2002 and 17 March 2003,
respectively."

SBI E2-Capital Pte Ltd, the Independent Financial Adviser in
respect of the Whitewash Waiver has confirmed to the Company
that the above amendments do not affect the opinions expressed
by it in its letter to the Judicial Managers in respect of the
Whitewash Resolution set out in Appendix II of the Circular.
Nexia Tan & Sitoh, the Auditors and Reporting Accountants, have
also confirmed to the Company that, save as set out in paragraph
3 above, the above amendments do not affect any of the
statements, opinions, views and conclusions expressed by them in
their Accountants' Report set out in Appendix III of the
Circular.

The Vendors have confirmed to the Judicial Managers that, save
for the amendments set out above, there are no other changes to
be made to the Circular.

Based on the above confirmations, the Judicial Managers confirm
that the above amendments do not affect the recommendation made
by them in Section 14 on page 51 of the Circular.

Based on the above confirmations from SBI E2-Capital Pte Ltd,
Nexia Tan & Sitoh and the Vendors, the Judicial Managers
collectively and individually accept responsibility for the
accuracy of the information given in this Announcement, and
confirm, after making all reasonable enquiries, that to the best
of their knowledge and belief, the facts stated and the opinions
expressed in this Announcement are fair and accurate in all
material respects as at the date of this Announcement, and that
there are no material facts the omission of which would make
this Announcement misleading.


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


SIAM STRIP: Creditor Banks Derail Approval of Debt Plan
-------------------------------------------------------
The final hearing on Siam Strip Mill Plc's THB62 billion debt
restructuring plan has been moved to June 17 after some
creditors opposed the plan during the hearing Monday, Reuters
says.

"Since certain creditors have rejected the plan, the court asks
Siam Strip Mill to appeal by June 13," the judge handling the
case told reporters.

The news agency identified Itochu Corp., Citibank's Japan unit;
the Thai Revenue Department, Industrial Finance Corp of
Thailand, and Sumitomo Corp, as among those who objected to the
plan.  They are owed a combined THB26 billion.  The company owes
another THB35.6 billion to trade creditor, Siam Power Generation
Plc.

Siam Strip Mill, which makes steel rods and coils, has been
trying to restructure its debt since early 2001, according to
Reuters.  Most of its debts were incurred during the 1997/98
Asian economic crisis when the Thai baht collapsed.


THAI PETROCHEMICAL: Thai Planner to Woo Employees, Creditors
------------------------------------------------------------
Newly appointed debt plan administrator, Thai Planner Company,
will immediately seek the backing of TPI employees once it
formally takes over from Effective Planners, Thai Planner Board
Member Suvarn Valaisathien told Business Day recently.

He said his company will also ask TPI's creditors to inject
fresh credit worth US$80 million to the firm as originally
promised.  He said popular support for its proposed plans is
crucial, if the new administrator hopes to be successful where
its predecessor failed.

Since falling into receivership, the turnaround plan of the firm
has failed to take off due to contentious debate on what
strategy to take.  Creditors earlier cancelled their planned
cash injection when the court ruled in favor of embattled TPI
founder Prachai Leophairatana by placing him and court
receivership officials as the interim debt planners until a new
debt administrator acceptable to both creditors and TPI debtors
could be found, and formally endorsed by the court.

Mr. Suvarn said a number of TPI's non-core business would still
be disposed as originally planned, but only at reasonable
prices.  He said his firm would not rush the sale of these
assets in the hope of securing fresh funds to pay TPI's
creditors.

Suvarn said he is optimistic the Central Bankruptcy Court would
endorse Thai Planner as the new debt planner for TPI when it
meets on June 11.

Meanwhile, Mr. Suvarn told Business Day his firm is currently
recruiting Pala Sukawesh to become an advisor to Thai Planner
Chairman Yutthasak Sasiprapha.  Mr. Pala is a former president
of PTT Plc and is valued for its knowledge on petrochemical
industry affairs.

In related development, TPI's labor union President Vichit
Nittayanon said recently his group will appeal the appointment
of Thai Planner on concern that it may only represent the
interest of creditors.  It fears the new planner is not neutral
enough and might mismanage the debtor's assets just like
previous debt planner.



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

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