T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Tuesday, October 31, 2006, Vol. 9, No. 216 Headlines A U S T R A L I A A. R. NEAL: Creditors' Proofs of Claim Due on November 30 ADSTEAM MARINE: Svitzerwijsmuller Extends Offer to Jan. 12, 2007 D A WILSON: Members Opt to Close Operations FATKAT NOMINEES: Wind-Up Process Commenced FLINDERS CONTRACTING: Will Declare Final Dividend on Nov. 30 HRS SEISMIC: Shuts Down Business Operations KESAN PTY: Members Resolve to Wind Up Firm LIBERTY FINANCIAL: Fitch Assigns BB+ Final Rtg on Class C Notes MODISH HOLDINGS: To Declare Final Dividend for Employees O. B. CLOTHING: Prepares to Declare Final Dividend on Nov. 29 OLD G.C. PTY: Enters Voluntary Wind-Up OLD G.I. PTY: Members Opt for Voluntary Liquidation OUTONA PTY: Members Opt to Shut Down Operations PEGGYS ROCK: Courts Issue Wind-Up Order PRIMELIFE CORPORATION: To Hold General Annual Meeting on Nov. 24 RAA-GIO INSURANCE: Enters Voluntary Liquidation REMLANE PTY: Members Decide to Close Operations REO TEK AUSTRALIA: Inability to Pay Debts Prompts Wind-Up RETAIL DESIGN: Creditors Must Prove Debts by November 15 ROBINSWOOD PTY: To Declare Final Dividend on November 27 RYMO PTY: Members Agree to Wind-Up Firm SESTINO PTY: Placed Under Voluntary Liquidation STEELCOM ENGINEERING: To Declare First and Final Dividend VILLAGE ROADSHOW: Exits Italian Cinema Investments WATSON DINNISON: Members Opt to Wind Up Operations C H I N A & H O N G K O N G ADVANCED INK: Court Names Joint Liquidators AFK FAR EAST: Faces Wind-Up Proceedings AGRO PRODUCTS: Members to Receive Wind-Up Report ANDREW CORP: Markets Dual Band Satellite Systems with Overwatch BALLY TOTAL: Holding Annual Shareholders Meeting on Dec. 19 BALLY TOTAL: Board Reduces Number of Directors from Nine to Six BENQ: TRC Affirms twBB+/twB Corporate Credit Ratings BOMBARDIER INC.: Launches Tender Offers for Outstanding Notes CHINA SOUTHERN: Opens Shenzhen-Nagoya Flight C.C.S. CONSTRUCTION: Receives Wind-Up Order from Court CHINESE BANK: Affirms and Withdraws Individual E Rating EMA DESIGN: Court Orders Wind-Up FRANCIS WONG: Undergoes Voluntary Wind-Up GLOBAL HOME: Creditors Agree to Voluntarily Wind Up Business GLOBAL SECURITIES: Fitch Withdraws Ratings HOTUNG SECURITIES: Ratings Withdrawn by Fitch HUTCHISON ENTERPRISES ONE: Joint Liquidators Cease to Act J & S INTERIOR: Court Issues Wind-Up Order KELI CONSUMER: Enters Voluntary Wind-Up LEIGHTON GODOWN: Shareholders Opt for Voluntary Wind-Up LOAVES AND FISHES: Members Decide to Close Business MILBRIGHT LTD: Creditors Must Prove Debts by November 30 NATIONWIDE TREASURE: Court Appoints Joint Liquidators PETROLEOS DE VENEZUELA: Seeking Offshore Rigs for Mariscal Sucre PETROLEOS DE VENEZUELA: Eyes Colombian Govt.'s Stake in Ecogas PIUS INTERNATIONAL: Court to Hear Wind-Up Petition on Nov. 22 ROUSSEL UCLAF: Sole Member Resolve to Wind-Up Firm SFA ASIA: Winds Up Business Operations SMART LOYAL: Wind-Up Process Commenced TMK OAO: S&P Keeps B+ Rating on CreditWatch Negative After IPO UNITED PACIFIC: Court Favors Wind-Up WISE RIGHT: Creditors' Proofs of Claim Due on November 18 I N D I A CENTRAL BANK OF INDIA: Fitch Upgrades Individual Rating to D DHANALAKSHMI BANK: Fitch Assigns 'D/E' Individual Rating IFCI LTD: Bounces Back with INR1.6-Bil. Profit for Sept. Quarter INDIAN OIL: Posts INR3,050-Crore Profit for Sept. 2006 Quarter INDIAN OIL: To Set Up US$3.5-Bil. Refinery in Nigeria INDIAN OIL: Joint Venture to Set Up LPG Import Terminal INDIAN OVERSEAS BANK: Profit Up to INR2.5-Bil in Sept. Quarter INDUSTRIAL DEVELOPMENT BANK: Net Profit Up by 21% for 1H/FY2007 INDUSTRIAL DEVELOPMENT BANK: Enters MOU with MITCON Consultancy UNITED WESTERN: CARE Upgrades Tier II Bond Rating to AA+ I N D O N E S I A CORUS GROUP: S&P Revises Watch Implications on Takeover Concerns INCO LTD: CVRD Keeps Inco CEO in Revamp Efforts J A P A N ALL NIPPON: Exercises Two Conversion Options With Boeing ALL NIPPON: Partners with InterContinental Hotels Group AOZORA BANK: To Offer Investors More Than 600MM Shares in IPO DAIWA SECURITIES: Posts 26% Decline in 2nd Quarter Net Income DAIWA SECURITIES: Partners with Shanghai International Group KOBE STEEL: Opens Copper Coil Splitting Plant in China MIZUHO FINANCIAL: Unit Sues Stock Exchange For Trade Blunder NOMURA HOLDINGS: Posts 28.5% Year-on-year Drop in 2Q Net Profit SALLY HOLDINGS: Moody's Assigns B2 Corporate Family Rating SANYO ELECTRIC: Outsources Refrigerator Production to Haier SOFTBANK MOBILE: New Subscribers Clog Up Systems K O R E A HANAROTELECOM INC: Cable Subscribers Blocked from Viewing HanaTV HYUNDAI MOTOR: 3rd Quarter '06 Net Profit Falls 27% from '07 SK CORP: Share Buyback Cues Fitch to Change Outlook to Negative M A L A Y S I A SBBS CONSORTIUM: SC Suspends Securities Trading SELOGA HOLDINGS: Finalizing Revamp Plan to Regularize Condition TALAM CORPORATION: 2nd Qtr. Revenue Down by 17.5% at MYR52-Mil. TALAM CORPORATION: Inks Ambang Settlement Agreement TALAM CORPORATION: Trustee and Noteholders Approve MuNIF TECHVENTURE BERHAD: Negotiates with Lenders for its Debt Revamp TENAGA NASIONAL: To Sell TNB Despite Expected Losses, CEO Says N E W Z E A L A N D AIR NEW ZEALAND: Unions Ask Gov't. to be an Active Shareholder CULINARY AIR: Liquidation Commenced on October 9 DOLAN BUILDINGS: Faces Liquidation Proceedings EXPOSURE BY DESIGN: Names John Michael Gilbert as Liquidator FELTEX CARPETS: AU Gov't. to Refer Employment Dispute to the OWS FELTEX CARPETS: Asset Sale Contracts Executed, McGrathNicol Says FELTEX CARPETS: Five Directors Resign FROZEN FOODS: Shareholders Opt to Liquidate Business GOLDEN ENTERPRISES: Court Appoints Joint Liquidators KAYEM PROJECTS: Creditors Must Prove Debts by November 13 LEYHATTON INNOVATIONS: Court Hears Liquidation Petition LOADED HOG: Liquidation Petition Hearing Set on Nov. 16 OKLEYS CONSTRUCTION: Liquidation Petition Hearing Set on Nov. 2 PW CARPARKS: Court to Hear Liquidation Petition on November 9 SEAVIEW BOATS: Creditors' Proofs of Claim Due on November 13 SYSTEM WORKS: Court Sets Date to Hear Liquidation Petition * S&P Set to Rank NZ's Finance Companies Against Each Other P H I L I P P I N E S APEX MINING: Appoints Directors and Corporate Officers ARANETA PROPERTIES: Elects Board Members for 2006-2007 ATLAS CONSOLIDATED: MGB Grants Priority Status to Berong Project PHILIPPINE LONG DISTANCE: Opposes NTC's Plans to Impose SMP VICTORIAS MILLING: Alexis R. Borlaza Resigns as Board Member S I N G A P O R E ADVANCED MICRO: Completes US$5.4 Billion ATI Purchase ADVANCED MICRO: Earns US$134 Million in Quarter Ended October 1 CKE RESTAURANTS: Moody's Assigns Loss-Given-Default Rating COMPACT METAL: Inks Ratus Projek Acquisition Agreement LINENCARE LAUNDRY: High Court Orders Wind-Up PETROLEO BRASILEIRO: May Develop Mexilhao Field without Repsol PETROLEO BRASILEIRO: Mulls Thermo Plant Project with Uruguay SEA CONTAINERS: Can Give Priority Status to Intercompany Claims SEA CONTAINERS: Can Continue Using Existing Business Forms SING HOE: Creditors' Proofs of Claim Due on November 20 TAP IMPEX: Placed Under Members' Voluntary Liquidation T H A I L A N D AGRO INDUSTRIAL: Court Okays Reform Plan; Set to Start Trading TRUE CORP: Certain to Meet Customer Target Despite Poor Showing * BOND PRICING: For the Week 30 October to 3 November 2006 - - - - - - - - ================= A U S T R A L I A ================= A. R. NEAL: Creditors' Proofs of Claim Due on November 30 --------------------------------------------------------- Creditors of A. R. Neal Pty Ltd, which is in liquidation, are required to submit their proofs claim to Liquidator B. A. Secatore on November 30, 2006. Failure to prove their debt will exclude creditors from sharing in any distribution the company will make. The Liquidator can be reached at: B. A. Secatore Cor Cordis Chartered Accountants 406 Collins Street Melbourne, Victoria 3000 Australia ADSTEAM MARINE: Svitzerwijsmuller Extends Offer to Jan. 12, 2007 ---------------------------------------------------------------- Adsteam Marine Limited disclosed that SvitzerWijsmuller A/S has extended the Offer period for its cash offer to acquire all of the outstanding shares in Adsteam. The Offer will now close at 7:00 p.m. on January 12, 2007. The Offer remains conditional on the satisfaction or waiver of the UK regulatory condition and 90% shareholder acceptance. The extended Offer period will allow SvitzerWijsmuller in conjunction with Adsteam to continue to work with the UK Competition Commission to address outstanding UK competition issues in relation to the transaction. The Adsteam Marine Board of Directors maintain their recommendation in relation to the SvitzerWijsmuller Offer that, in the absence of a higher offer, shareholders accept the Offer after the UK regulatory condition of the Offer has been satisfied or waived. The Troubled Company Reporter - Asia Pacific previously reported that SvitzerWijsmuller has continued its offer to purchase all of the outstanding shares in Adsteam under revised terms until October 27, 2006. Shareholders with questions in relation to the Offer should contact the Adsteam Offer Information Line on: -- 1800 24 23 00 from within Australia, between 8:00 a.m. and 6:00 p.m. (AEST time) Monday to Friday; or -- + 61 2 9207 3622 (calls from outside Australia) between 8:00 a.m. and 6:00 p.m. (AEST), or the SvitzerWijsmuller Offer Information Line on 1300 650 907 from within Australia, or +61 3 9415 4265 from outside Australia, between 9:00 a.m. and 5:00 p.m. (AEST time) Monday to Friday. About SvitzerWijsmuller SvitzerWijsmuller -- http://www.svitzerwijsmuller.com/-- is a major global towage and salvage company headquartered in Copenhagen, Denmark with activities in 35 countries within harbor towage, terminal towage, salvage, emergency response and rescue, ocean towage and crew boat operations. SvitzerWijsmuller is a subsidiary of A.P. Moller - Maersk A/S. Last year, SvitzerWijsmuller had a turnover of US$355 million and it employs approximately 2,500 people. About Adsteam Headquartered in New South Wales, Australia, Australia Adsteam Marine Ltd -- http://www.adsteam.com.au/-- currently has a fleet of more than 200 vessels and also offers other maritime services such as a shipping agency, fuel distribution and salvage. The Company had undertaken steps in a plan to divest non-core businesses since May 2003 as part of its business transformation program and has raised money to support its rescue plan designed to trim down debts and repay borrowings. Adsteam's debt was estimated to be AU$360 million. As of June 30, 2005, the Company reported an "improved balance sheet" as it was able to reduce its debt to AU$302 million, achieved through the sale of non-core assets, improved earnings, improved debtor management and a tight dividend policy. D A WILSON: Members Opt to Close Operations ------------------------------------------- At a general meeting on October 13, 2006, the members of D A Wilson & Associates Pty Ltd resolved to shut down the company's operations and appointed Ross Vile as liquidator. The Liquidator can be reached at: Ross Vile Chartered Accountant 21st Floor, 300 Queen Street Brisbane, Queensland 4000 Australia Telephone:(07) 3228 4000 FATKAT NOMINEES: Wind-Up Process Commenced ------------------------------------------ At the meeting held on October 13, 2006, the members of Fatkat Nominees Pty Ltd decided to voluntarily wind up the company's operations. Subsequently, Paul Vartelas was appointed as liquidator at the creditors' meeting held that same day. The Liquidator can be reached at: Paul Vartelas B. K. Taylor & Co 8/F, 608 St Kilda Road Melbourne Australia FLINDERS CONTRACTING: Will Declare Final Dividend on Nov. 30 ------------------------------------------------------------ A first and final dividend will be declared on November 30, 2006, for the creditors of Flinders Contracting Pty Ltd, which is in liquidation. Creditors are required to file their proofs of debt by November 14, 2006, for them to share in the company's dividend distribution. The official liquidator can be reached at: B. R. Silvia Ferrier Hodgson GPO Box 4114 Sydney, New South Wales 2001 Australia Telephone: 02 9286 9999 Facsimile: 02 9286 9888 HRS SEISMIC: Shuts Down Business Operations ------------------------------------------- On October 9, 2006, members of HRS Seismic Services Pty Ltd held a meeting and resolved that a wind-up of the company's operations is appropriate and necessary. In this regard, K. S. Wallman was appointed as liquidator. The Liquidator can be reached at: K. S. Wallman P. O. Box 263 West Perth, Western Australia Australia KESAN PTY: Members Resolve to Wind Up Firm ------------------------------------------ The members of Kesan Pty Ltd held a general meeting on October 11, 2006, and resolved to voluntarily wind up the company's operations. Accordingly, Richard Herbert Judson was appointed as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia LIBERTY FINANCIAL: Fitch Assigns BB+ Final Rtg on Class C Notes --------------------------------------------------------------- Fitch Ratings assigns final ratings to Liberty Financial Pty Ltd's second non-conforming auto receivable-backed securitization, Liberty Series 2006-1 Auto Trust: -- AU$25,000,000 Class A-1: 'F1+' -- AU$83,750,000 Class A-2: 'AAA' -- AU$34,350,000 Class B : 'BBB+' -- AU$3,900,000 Class C : 'BB+' The notes will be issued by Liberty Funding Pty Ltd in its capacity as trustee of the Liberty Series 2006-1 Auto Trust. The maturity date of the class A-1 note is October 2007, while class A-2, B and C notes are due on March 2013. At the cut-off date, the total collateral pool consisted of 6,437 loans totalling approximately AU$112.1 million. The weighted average current loan to value ratio was 112.46% and the weighted average seasoning was 6.12 months. The 'F1+' and 'AAA' ratings assigned to the Class A-1 and A-2 notes respectively are based on: -- the quality of the collateral; -- the credit enhancement provided by the subordinate notes; -- the required loss reserve amount is AUD2.0m on the closing date and the greater of (i) 10.0% of the aggregate amount of notes outstanding and (ii) AU$1.5 million; -- the excess spread available to cover losses; -- the liquidity reserve equivalent to the greater of: (i) 0.86% of the aggregate of outstanding class A, B and C notes and the stated amount of the Class D notes and (ii) AU$375,000; -- the interest rate swap provided by Macquarie Bank Limited (rated 'A+'/'F1'); -- Liberty Financial's non-conforming auto receivable underwriting and servicing capabilities; and -- the sound legal structure of the transaction. The ratings assigned to other classes of notes are based on all the strengths supporting the Class A notes, excluding their credit enhancement levels, but including the credit enhancement provided by each class of notes' respective subordinate notes. MODISH HOLDINGS: To Declare Final Dividend for Employees -------------------------------------------------------- Modish Holdings Pty Ltd, which is in liquidation, will declare the final dividend for its priority employees on November 13, 2006. Creditors who cannot prove their claims by November 6, 2006, will be excluded from sharing in the dividend distribution. The Liquidator can be reached at: Morgan Lane Worrells Solvency & Forensic Accountants 8th Floor, 102 Adelaide Street Brisbane, Queensland 4000 Australia Telephone:(07) 3225 4300 Facsimile:(07) 3225 4311 Web site: http://www.worrells.net.au O. B. CLOTHING: Prepares to Declare Final Dividend on Nov. 29 ------------------------------------------------------------- O. B. Clothing Corporation Pty Ltd, which is in liquidation, will declare the final dividend for its creditors on November 29, 2006. Creditors who cannot prove their claims by November 8, 2006, to will be excluded from sharing in the distribution. The Official Liquidator can be reached at: Paul A. Pattison Level 14, 461 Bourke Street Melbourne, Victoria 3000 Australia Telephone: 9600 4611 OLD G.C. PTY: Enters Voluntary Wind-Up -------------------------------------- On October 11, 2006, members of Old G. C. Pty Ltd decided to voluntarily wind up the company's operations and appointed Richard Herbert Judson as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia OLD G.I. PTY: Members Opt for Voluntary Liquidation --------------------------------------------------- On October 11, 2006, the members of Old G. I. Pty Ltd held a general meeting and resolved to liquidate the company's business. Accordingly, Richard Herbert Judson was appointed as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia OUTONA PTY: Members Opt to Shut Down Operations ----------------------------------------------- On October 11, 2006, the members of Outona Pty Ltd held a general meeting and agreed to shut down the company's business operations. Richard Herbert Judson was subsequently appointed as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia PEGGYS ROCK: Courts Issue Wind-Up Order --------------------------------------- The Supreme Court of New South Wales and the Federal Court of Australia issued on September 21, and September 22, 2006, respectively, an order to wind up Peggys Rock Pty Ltd on. Accordingly, Steven Nicols was appointed as liquidator. The Liquidator can be reached at: Steven Nicols Level 2, 350 Kent Street Sydney, New South Wales 2000 Australia PRIMELIFE CORPORATION: To Hold General Annual Meeting on Nov. 24 ---------------------------------------------------------------- Primelife Corporation Limited advises the Australian Stock Exchange that its Annual General Meeting will be held on November 24, 2006, at 10:30 a.m., at Crowne Plaza Melbourne, 1-5 Spencer Street, in Melbourne, Victoria. The meeting's agenda include: (a) receipt and consideration of the financial statements, reports of the directors and the auditor for the financial year ended June 30, 2006; (b) consideration and, if thought fit, passing an ordinary resolution: * electing these persons as directors of the company: -- Judith Sloan, and -- John D. Martin, and * re-electing these directors: -- Graeme J. Martin, and -- Andrew J. Love About Primelife Headquartered in Melbourne, Australia, Primelife Corporation -- http://www.primelife.com.au-- develops and manages properties catering to a wide range of senior living needs, including independent retirement living, serviced apartments, aged care or low care hostels and high care nursing homes, and in-home care. Primelife almost skidded into insolvency when, on September 23, 2004, the Australian Securities and Investments Commission filed 37 proceedings in the Federal Court of Australia seeking, among other things, orders that an investigating accountant be appointed over managed investment schemes under Primelife to report to the Federal Court to ascertain the position of each of the schemes. ASIC also applied for the schemes to be wound up. ASIC alleged that the schemes are not registered, as required under the Corporations Act. ASIC brought the Federal Court proceedings against Primelife and a number of other defendants including parties who, ASIC alleges, have been involved in promoting and managing the schemes to a large number of investors since 1997. The unregistered schemes are undergoing or were completely wound up starting October 2005. The Company had currently resolved most of the legal issues and was turning the corner after a couple of years. RAA-GIO INSURANCE: Enters Voluntary Liquidation ----------------------------------------------- Members of Raa-Gio Insurance Staff Superannuation Pty Ltd held an extraordinary general meeting on October 9, 2006, and agreed to voluntarily liquidate the company's business. Subsequently, Anthony Stevens Smith was appointed as liquidator. The Liquidator can be reached at: Anthony Stevens Smith Ernst & Young Level 21, 91 King William Street Adelaide, South Australia 5000 Australia Telephone: 08 8233 7111 REMLANE PTY: Members Decide to Close Operations ----------------------------------------------- At a general meeting held on October 11, 2006, the members of Remlane Pty Ltd agreed that it is in the company's best interests to wind up its operations. Richard Herbert Judson was consequently appointed as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia REO TEK AUSTRALIA: Inability to Pay Debts Prompts Wind-Up --------------------------------------------------------- At a meeting on October 10, 2006, the members of Reo Tek Australia Pty Ltd passed a special resolution to wind up the company's operations due to its inability to pay debts. In this regard, Peter Ivan Macks and Timothy James Clifton were appointed as joint and several liquidators. The Joint and Several Liquidators can be reached at: Peter Ivan Macks Timothy James Clifton Chartered Accountants Level 10, 26 Flinders Street Adelaide, South Australia Australia RETAIL DESIGN: Creditors Must Prove Debts by November 15 -------------------------------------------------------- Retail Design Group (International) Pty Ltd, which is in liquidation, will declare the first and final dividend on November 30, 2006, to its creditors. Creditors' proofs of debt must be filed by November 15, 2006, to be included in the company's dividend distribution. The Joint Liquidators can be reached at: Todd Kelly Peter Morris Foremans Business Advisors Suite 1, 29 Lake Street Cairns, Queensland 4870 Australia ROBINSWOOD PTY: To Declare Final Dividend on November 27 -------------------------------------------------------- Robinswood Pty Ltd, which is subject to a deed of company arrangement, will declare the final dividend for its creditors on November 27, 2006. Creditors are required to lodge their claims by November 15, 2006, or they will be excluded from sharing in the dividend distribution. The Deed Administrator can be reached at: G. M. Carrello Dickson Carrello Insolvency Practitioners Level 1, London House 216 St Georges Terrace Perth, Western Australia 6000 Australia RYMO PTY: Members Agree to Wind-Up Firm --------------------------------------- At a general meeting on October 11, 2006, the members of Rymo Pty Ltd resolved to voluntarily wind up the company's operations. Accordingly, Richard Herbert Judson was named as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia SESTINO PTY: Placed Under Voluntary Liquidation ----------------------------------------------- Members of Sestino Pty Ltd met on October 11, 2006, and decided to voluntarily liquidate the company's business. In this regard, Richard Herbert Judson was appointed as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia STEELCOM ENGINEERING: To Declare First and Final Dividend --------------------------------------------------------- Steelcom Engineering Pty Ltd, which is in liquidation, will declare the first and final dividend on November 30, 2006. Creditors are required to submit their proofs of debt by Nov. 20, 2006, to be included in the benefit of dividend. The Liquidator can be reached at: Craig Crosbie Steelcom Engineering Ltd c/o PPB Chartered Accountants Level 10, 90 Collins Street Melbourne, Victoria 3000 Australia VILLAGE ROADSHOW: Exits Italian Cinema Investments -------------------------------------------------- The directors of Village Roadshow Limited disclosed with the Australian Stock Exchange that the company has concluded a Sale and Purchase Agreement with its joint venture partner Warner Bros. under which Warner Bros. will acquire Village Roadshow's cinema interests in Italy. The net cash proceeds from the disposal of Village's 50% interest in Italy will be AU$60 million and there will be a minimal impact on Village Roadshow's reported EBITDA and trading profit for the 2007 financial year. Exiting Italy will also remove in excess of AU$130 million in operating lease commitments. Subject to finalizing costs associated with the transaction, the estimated profit on disposal arising from the sale is expected to be in the range of AU$10 million to AU$13 million after tax. Graham Burke, Village Roadshow's Managing Director says, "we've previously advised the market that it was our policy to only invest in businesses where we have direct managemetn and, with the sale of our Italian cinema business to our great partners, Warner Bros., this has now been achieved in relation to all of our international cinema investments." Village Roadshow further advises that the Group's Film Production Division has an interest rate hedge relating to its US$1.4 billion financing facility, which is marked to market at balance dates. The company cannot predict the impact of these mark to market fluctuations until nearer the end of each reporting period. However, an unrealized mark to market loss could potentially offset the profit on sale of Italy as disclosed. About Village Roadshow Headquartered in Melbourne, Australia, Village Roadshow Limited -- http://www.villageroadshow.com.au/-- is an international media and entertainment company that operates core businesses in cinema, movie production, film distribution, radio, and theme parks. The Company's troubles began in 2003 when it offered to buy back its preference shares to head off a litigation threat by some preference shareholders who were angered at the Company's suspension of dividend payments. Village Roadshow's reported and budgeted profitability would not allow it to comfortably fund about AU$42 million worth of ordinary and preference share dividends out of annual earnings. For the past years, the Company has been facing major litigation brought by former business partners, who had invested in its film investment scheme. In December 2005, the Film Production division undertook a substantial restructure. As part of this restructure, a US$115 million Promissory Note was issued to Crescent Film Holdings and options to acquire a 50% shareholding in the Hollywood film production and related film exploitation business, Village Roadshow Pictures Group, were granted to Crescent and its affiliates. This initiative, together with the release of a US$70 million security deposit (replaced by a Letter of Credit), returned significant cash reserves to Village Roadshow. By January 2006, Village Roadshow had advised that VRPG had reached agreement with its financiers to increase its film production facility from US$900 million to US$1.4 billion. VRPG will continue to co-produce and co-finance films with its principal production partner, Warner Bros. The revolving period of the facility has also been extended for a further three years. As a result, drawdowns will now be available under the facility until January 2011 (previously February 2008) with the debt now scheduled to be fully repaid by January 2015 (previously January 2012). * * * The Troubled Company Reporter - Asia Pacific reported on March 1, 2006, that Village Roadshow posted a AU$2.21-million loss for the half-year ended December 31, 2006, compared to a net profit of AU$29.99 million in the previous corresponding half. The result is contrary to a profit downgrade in January, which already suggested a break-even figure. The entertainment group blames its poor financial result on lower cinema ticket sales, compounding losses from the restructuring of its movie production business and legal battles. WATSON DINNISON: Members Opt to Wind Up Operations -------------------------------------------------- At a general meeting on October 11, 2006, the members of Watson Dinnison Pty Ltd decided that the company must voluntarily commence a wind-up of its operations. Richard Herbert Judson was consequently named as liquidator. The Liquidator can be reached at: Richard Herbert Judson Members Voluntarys Pty. Ltd. PO Box 819, Moorabbin Victoria 3189 Australia ================================ C H I N A & H O N G K O N G ================================ ADVANCED INK: Court Names Joint Liquidators ------------------------------------------- On September 19, 2006, the High Court of Hong Kong appointed Wong Kwok Man and Alison Wong Lee Fung Ying as joint and several liquidators of Advanced Ink & Coatings Ltd. The Joint Liquidators can be reached at: Wong Kwok Man Alison Wong Lee Fung Ying 13/F, Gloucester Tower The Landmark 11 Pedder Street Central, Hong Kong AFK FAR EAST: Faces Wind-Up Proceedings --------------------------------------- A petition to wind up AFK Far East Ltd will be heard before the High Court of Hong Kong on November 1, 2006, at 9:30 a.m. AFK Hong Kong Ltd presented the petition with the Court on August 31, 2006. The Solicitors for the Petitioner can be reached at: Laracy Gall 20/F, Dina House Ruttonjee Centre 11 Duddell Street, Central Hong Kong Tel: 2836 0555 Fax: 2836 0777 AGRO PRODUCTS: Members to Receive Wind-Up Report ------------------------------------------------ Members of Agro Products Trading Ltd will hold a final general meeting on November 30, 2006, at 2:00 p.m., to receive Liquidator Yuen Shu Tong's account on the Company's wind-up and property disposal exercises. According to the Troubled Company Reporter - Asia Pacific, creditors of the Company were required to submit their proofs of debts on May 14, 2006. The Liquidator can be reached at: Yuen Shu Tong 3/F, Malaysia Building 50 Gloucester Road Wanchai, Hong Kong ANDREW CORP: Markets Dual Band Satellite Systems with Overwatch --------------------------------------------------------------- Andrew Corp. and Overwatch Systems Ltd. have agreed to integrate and jointly market satellite antenna systems with dual band capability for military and government usage. Under the agreement, Andrew's satellite communications antennas will be paired with Overwatch's proprietary dual band feeds to create a robust, reliable offering for government systems integrators and government agencies. This will enable Andrew's multiband antennas to receive and send signals to satellites that utilize dual bands, such as X-band and Ka-band, without changing feed systems. This is especially critical with the upcoming launch of the Wideband Gap filler satellite program, where the use of X-/Ka-band dual feeds is an integral part of the requirements. "We look forward to working together with Overwatch and providing a fresh competitive approach to the unique dual band satellite communications requirements of government and commercial customers," said Russell Dearnley, director, Earth Station Antennas and Systems, Satellite Communications, Andrew Corp. "Our antenna systems expertise and Overwatch's proprietary feed technology are a powerful combination that will benefit customers." "We are pleased to join forces with Andrew in offering antenna system solutions with increased operational effectiveness for both military and commercial applications using our simultaneous dual band feed technology," said Terry Benson, business area manager, Communications Systems, Overwatch Systems Ltd. "Satellites are dual band, now satellite terminals can be, too." Integrated dual band offerings from Andrew and Overwatch are expected to be available in November. Andrew's Satellite Communications Group provides a complete line of antennas from 46 centimeters to 11.5 meters for all enterprise, government/military, and consumer satellite communication applications. Andrew-designed and -built products- which cover C-, Ku-, K-, X-, and the emerging Ka-band-include type approved earth station antenna hubs and gateways for broadband and broadcast, VSAT broadband antennas for consumer and enterprise customers, DBS antennas for home satellite broadcast systems, and complete installation and testing services. About Andrew Headquartered in Westchester, Illinois, Andrew Corporation (NASDAQ: ANDW) -- http://www.andrew.com/-- designs, manufactures and delivers innovative and essential equipment and solutions for the global communications infrastructure market. The company serves operators and original equipment manufacturers from facilities in 35 countries including, among others, manufacturing locations in in China and India. Andrew is an S&P 500 company founded in 1937. * * * Standard & Poor's Ratings Services retained on Aug. 7, 2006, its 'BB' ratings on Westchester, Illinois-based Andrew Corp. remain on CreditWatch, where they were placed with positive implications on May 31, 2006; the implications are revised to developing from positive. The revision reflects an unsolicited offer by CommScope Inc. to acquire Andrew for approximately US$1.5 billion cash to Andrew's shareholders, which represents a US$400 million premium to the current equity value of Eden Prairie, Minnesotta-based ADC Telecommunications Inc.'s shares. Additionally, CommScope would assume Andrew's debt. ADC had initially agreed to merge with Andrew on a stock-for-stock transaction on May 31, 2006. BALLY TOTAL: Holding Annual Shareholders Meeting on Dec. 19 ----------------------------------------------------------- Bally Total Fitness Holding Corp. will hold its annual meeting of shareholders on December 19, 2006, at 9:00 a.m., Central Time, at: Renaissance Hotel 8500 W. Bryn Mawr Avenue Chicago, Illinois Bally total also disclosed record dates for its 2006 annual meeting of shareholders. Bally shareholders of record on the close of business on Nov. 13, 2006, will be entitled to notice of the annual meeting and to vote upon matters considered at the meeting. Bally will send a definitive proxy statement to shareholders of record containing important information about the meeting and the matters to be considered. Shareholders are urged to read the proxy statement when it becomes available. Chicago, Ill.-based Bally Total Fitness Holding Corp. (NYSE: BFT) -- http://www.Ballyfitness.com/-- is a commercial operator of fitness centers, with over 400 facilities located in 29 states, Mexico, Canada, Korea, the Caribbean, and China under the Bally Total Fitness, Bally Sports Clubs, and Sports Clubs of Canada brands. At June 30, 2006, Bally Total's balance sheet showed a US$1,410,293,000 stockholder's deficit. * * * Moody's Investors Service confirmed its Caa1 Corporate Family Rating for Bally Total Fitness Holding Corp. BALLY TOTAL: Board Reduces Number of Directors from Nine to Six --------------------------------------------------------------- Bally Total Fitness Holding Corp.'s board of directors reduced on Oct. 22, 2006, the number of current directors from nine to six. In addition, the Board also determined not to nominate Steven S. Rogers for re-election as a director when his term expires at the annual meeting on Dec. 19, 2006. Accordingly, as Mr. Rogers is the only director in Class I, the Board voted to move Interim Chairman Don R. Kornstein from Class III to Class I so the Board consists of as close to an equal number of directors in each class, as is practical, and determined to nominate him for reelection to Class I of the Board for a new three-year term at the annual meeting. The Board also voted to reduce the size of the Board from six to five effective upon the annual meeting, at which time the Class I directorship currently held by Mr. Rogers will be eliminated. Chicago, Ill.-based Bally Total Fitness Holding Corp. (NYSE: BFT) -- http://www.Ballyfitness.com/-- is a commercial operator of fitness centers, with over 400 facilities located in 29 states, Mexico, Canada, Korea, the Caribbean, and China under the Bally Total Fitness, Bally Sports Clubs, and Sports Clubs of Canada brands. At June 30, 2006, Bally Total's balance sheet showed a US$1,410,293,000 stockholder's deficit. * * * Moody's Investors Service confirmed its Caa1 Corporate Family Rating for Bally Total Fitness Holding Corp. BENQ: TRC Affirms twBB+/twB Corporate Credit Ratings ---------------------------------------------------- Taiwan Ratings Corp. affirmed its twBB+/twB corporate credit ratings and twBB+ unsecured corporate bond issue rating on BenQ Corp. The outlook on the long-term rating is negative. At the same time, Taiwan Ratings removed all ratings from Credit Watch with negative implications, where they were placed on March 14, 2006, and withdrew all the ratings upon the company's request. The rating affirmation reflects BenQ's improving operating performance and cash flow after cutting funding to its German handset subsidiary, and its adequate financial flexibility, which is mainly supported by BenQ's liquid investments of more than NT$40 billion in AU Optronics Corp. and Darfon Electronics Corp. The ratings also factor in BenQ's plan to separate its branding and manufacturing operations. The action is expected to allow BenQ to better exploit its strong manufacturing capability to grow its business going forward. The outlook is negative, reflecting the challenges BenQ faces to restructure its handset operations, as well as its thin operating margin and high leverage. * * * Headquartered in Taiwan, Republic of China, BenQ Corporation, Inc. -- http://www.benq.com/-- is principally engaged in manufacturing, developing and selling of computer peripherals and telecommunication products. It is also a major provider of 3G handset, 3G handset, Camera phones, and other products. BenQ Mobile GmbH & Co., the company's wholly owned subsidiary, operates from Munich, Germany. Taiwan Ratings Corp., on August 17, 2006, lowered its long-term corporate credit rating and unsecured corporate bond rating on BenQ Corporation to twBB+ from twBBB. At the same time, the short-term corporate rating on the company was lowered to twB from twA-3. All ratings remain on CreditWatch with negative implications, where they were placed on March 14, 2006. BOMBARDIER INC.: Launches Tender Offers for Outstanding Notes ------------------------------------------------------------- Bombardier Inc. and Bombardier Capital Funding LP launched tender offers for any and all of the outstanding EUR500 million 6.125% Notes due 2007 issued in Europe by Bombardier Capital Funding LP and a principal amount to be determined of the EUR500 million 5.75% Notes due 2008 issued in Europe by Bombardier Inc. The minimum target amount of the tender offers is EUR500 million with the exact aggregate repurchase amount to be announced on Nov. 14 following the expiration date of the tender offers on Nov. 13. Settlement is expected on Nov. 17. Details on the terms, conditions and restrictions relating to the tender offers are contained in the Invitation Memorandum dated Oct. 23. The tender offers are not open to U.S. persons or persons located or resident in the United States or Italy. The purpose of the tender offers is to take advantage of current favorable conditions in the debt capital markets and to extend the Bombardier's debt maturity profile by refinancing the 2007 Notes and the 2008 Notes with longer maturity securities. The tender offers are conditional upon completion of and will be funded with a portion of the proceeds of a proposed new issue of notes by Bombardier Inc., which is expected to be launched in the near future. Bombardier Inc. expects to complete the issue of notes prior to the settlement of the tender offers, subject to market conditions. The new issue will not be registered under the securities laws of any jurisdiction and cannot be offered or sold in any jurisdiction without registration or an applicable exemption for registration requirements. Deutsche Bank is acting as sole Dealer Manager in connection with the tender offers. About Bombardier Headquartered in Valcourt, Quebec, Bombardier Inc. (TSX: BBD) -- http://www.bombardier.com/-- manufactures innovative transportation solutions, from regional aircraft and business jets to rail transportation equipment. The company has operations in North America, Europe and China. * * * Moody's Investors Service assigned a Ba2 rating to Bombardier Recreational Products' CDN$250 million senior secured revolver and a B1 rating to BRP's CDN$880 million senior secured term loan. At the same time, Moody's affirmed BRP's B1 corporate family rating and revised the ratings outlook to negative from stable. CHINA SOUTHERN: Opens Shenzhen-Nagoya Flight -------------------------------------------- On October 29, 2006, China Southern Airlines opened an air route between Shenzhen and Nagoya, one of the biggest cities of Japan, the China Daily reports. According to The Daily, the price for return tickets can be as low as CNY1,200 for a member of tour group with at least 10 persons if the tickets are booked three days in advance. China Southern is also expected to open flights between Guangzhou and Nagoya soon, China Daily notes. * * * Headquartered in Guangzhou, China, China Southern Airlines Co Ltd. -- http://www.cs-air.com-- engages in the operation of airlines, as well as in aircraft maintenance and air catering operations in the People's Republic of China and internationally. It provides commercial airlines, cargo services, logistics operations, air catering, utility service, hotel operation, travel services, aircraft leasing, and Internet services. On May 1, 2006, Fitch Ratings has downgraded China Southern Airlines Company Limited's Foreign Currency and Local Currency Issuer Default Ratings to B+ from BB-. The Troubled Company Reporter - Asia Pacific reported in April 2006, that the carrier posted a net loss of CNY1.85 billion for 2005 versus a net loss of CNY48 million a year earlier. C.C.S. CONSTRUCTION: Receives Wind-Up Order from Court ------------------------------------------------------ The High Court of Hong Kong issued a wind-up order against C.C.S. Construction Company Ltd on October 11, 2006. As reported by the Troubled Company Reporter - Asia Pacific, Chan Tai Wan filed the petition with the Court on August 9, 2006. CHINESE BANK: Affirms and Withdraws Individual E Rating ------------------------------------------------------- On October 27, 2006, Fitch Ratings affirmed and simultaneously withdrew Taiwan-based Chinese Bank's ratings at Individual E and Support 4. Fitch will no longer provide analytical coverage of the bank. EMA DESIGN: Court Orders Wind-Up -------------------------------- On October 11, 2006, the High Court of Hong Kong ordered the wind-up of Ema Design & Industries Ltd's operations. The Troubled Company Reporter - Asia Pacific reported that on August 4, 2006, Jieyang Xingcai Metal Products Ltd filed before the Court a wind-up petition against the Company. FRANCIS WONG: Undergoes Voluntary Wind-Up ----------------------------------------- At a general meeting held on October 18, 2006, the members of Francis Wong C.P.A. Co. Ltd resolved to voluntarily wind up the company's operations and appoint Wong Man Chung Francis as liquidator. The Liquidator can be reached at: Wong Man Chung, Francis 19/F, No. 3 Lockhart Road Wanchai Hong Kong GLOBAL HOME: Creditors Agree to Voluntarily Wind Up Business ------------------------------------------------------------ The creditors of Global Home Products Hong Kong Trading Company Ltd held a general meeting on October 16, 2006, and agreed to voluntarily wind up the company's operations due to its liabilities. Subsequently, Jacky Chung Wing Muk and Edward Simon Middleton were appointed as joint and several liquidators. The Joint Liquidators can be reached at: Jacky Chung Wing Muk Edward Simon Middleton KPMG 8/F, Prince's Building 10 Chater Road, Central Hong Kong GLOBAL SECURITIES: Fitch Withdraws Ratings ------------------------------------------ On October 27, 2006, Fitch Ratings affirmed and simultaneously withdrew Global Securities Finance Corporation's ratings at: * Long-term foreign currency Issuer Default BB-/Stable; * National Long-term BB+(twn); * Short-term foreign currency B; * National Short-term B(twn); * Individual D; and * Support 5. Fitch will no longer provide analytical coverage of the company. HOTUNG SECURITIES: Ratings Withdrawn by Fitch --------------------------------------------- On October 27, 2006, Fitch Ratings has withdrawn all the ratings of Hotung Securities International Co. Ratings withdrawn are: -- Long-term Issuer Default rating BB-; -- Short-term B; -- National Long-term BBB(twn); -- National Short-term F3(twn); -- Individual D; and -- Support 3. Hotung was acquired by Taiwan Securities Corporation in October 2005. Fitch will no longer provide analytical coverage of the company. HUTCHISON ENTERPRISES ONE: Joint Liquidators Cease to Act --------------------------------------------------------- On October 23, 2006, Ying Hing Chiu and Chung Miu Yin Diana ceased to act as joint and several liquidators of Hutchison Enterprises One Ltd. As reported by the Troubled Company Reporter - Asia Pacific, the joint liquidators presented their report during the final meeting of the Company's members on August 22, 2006. The Joint Liquidators can be reached at: Ying Hing Chiu Chung Miu Yin, Diana Level 28, Three Pacific Place 1 Queen's Road East Hong Kong J & S INTERIOR: Court Issues Wind-Up Order ------------------------------------------ The High Court of Hong Kong issued a wind-up order against the operations of J & S Interior Design & Decoration Company Ltd on October 11, 2006. According to the Troubled Company Reporter - Asia Pacific, Comegreat Ltd filed the wind-up petition on August 10, 2006. KELI CONSUMER: Enters Voluntary Wind-Up --------------------------------------- At an extraordinary general meeting on October 23, 2006, the members of Keli Consumer Products Ltd passed a special resolution to voluntarily wind up the company's operations. In this regard, Wong Ip Tong was appointed as liquidator. The Liquidator can be reached at: Wong Ip Tong Room 11, 7/F, Tins Enterprises Centre 777 Lai Chi Kok Road, Kowloon Hong Kong LEIGHTON GODOWN: Shareholders Opt for Voluntary Wind-Up ------------------------------------------------------- Shareholders of Leighton Godown Ltd resolved on October 20, 2006, to put the company under voluntary wind-up. In this regard, Wong Shen Dorothy was named as liquidator. The Liquidator can be reached at: Wong Shen Dorothy Flat 7B, Hill Lodge 1 Lok Fung Path, Shatin N.T., Hong Kong LOAVES AND FISHES: Members Decide to Close Business --------------------------------------------------- At a general meeting on October 19, 2006, the members of Loaves and Fishes Volunteer Service Center Ltd decided to voluntarily wind up the company's operations. Accordingly, Lai Ying Sum was appointed as liquidator. The Liquidator can be reached at: Lai Ying Sum Room 1608, 16/F Nan Fung Tower 173 Des Voeux Road, Central Hong Kong MILBRIGHT LTD: Creditors Must Prove Debts by November 30 -------------------------------------------------------- Creditors of Milbright Ltd are required to submit their proofs of claim to Liquidator Lau Chi Wai by November 30, 2006, to share in the distribution the company will make. The Liquidator can be reached at: Lau Chi Wai Unit A, 26/F, Block 2 Elegant Terrace, 36 Conduit Road Hong Kong NATIONWIDE TREASURE: Court Appoints Joint Liquidators ----------------------------------------------------- The High Court of Hong Kong on October 5, 2006, appointed Kennic Lai Hang Lui and Lau Wu Kwai King, Lauren as joint and several liquidators of Nationwide Treasure (HK) Ltd. The Joint Liquidators can be reached at: Kennic Lai Hang Lui Lau Wu Kwai King, Lauren 5/F, Ho Lee Commercial Building 38-44 D'Aguilar Street Central, Hong Kong PETROLEOS DE VENEZUELA: Seeking Offshore Rigs for Mariscal Sucre ---------------------------------------------------------------- The government of Venezuela is looking for offshore rigs to launch Petroleos de Venezuela's Mariscal Sucre Liquefied Natural Gas Project during the first quarter of 2007, Dow Jones Newswires reports. Dow Jones underscores that Mariscal Sucre is situated in shallower waters than reservoirs in Trinidad, a major gas exporter, or in Venezuela's Deltana Platform, where Chevron Corp. and Statoil are investing in offshore blocks. As reported in the Troubled Company Reporter-Latin America on Feb. 22, 2005, Rafael Ramirez, the Venezuelan Minister of Energy and Oil and president of Petroleos de Venezuela, said that the Mariscal Sucre project was being fine-tuned to differentiate the processes that would be developed in this potential area, north of the Paria Peninsula. The Mariscal Sucre project foresees the exploitation of offshore non-associated gas reserves and the construction of a liquefied natural gas plant in Sucre. It also contemplates liquefied natural gas production and processing. Dow Jones relates that the project is part of an effort to alleviate the domestic gas deficit and start exports in the coming years. Carlos Figueredo, the general manager of offshore projects for Petroleos de Venezuela, is positive that the company will find rigs despite strong demand, Dow Jones notes. According to Dow Jones, "booming profits" in the oil and natural gas sector have encouraged new exploration and development, creating a tight rig market for firms looking to drill new wells. The rigs Petroleos de Venezuela wants to hire for its Mariscal Sucre project are found in the market, Dow Jones says, citing Mr. Figueredo. Mr. Figueredo told the press, "In the size we're looking for there are some options." Petroleos de Venezuela hopes to drill eight wells at the Dragon section of Mariscal Sucre in the next two years, which would bring 600 million cubic feet a day of new natural gas, Dow Jones states. Petroleos de Venezuela SA -- http://www.pdv.com/-- is Venezuela's state oil company in charge of the development of the petroleum, petrochemical and coal industry, as well as planning, coordinating, supervising and controlling the operational activities of its divisions, both in Venezuela and abroad. The company has a commercial office in China. * * * Standard & Poor's said on July 17 that it may lower the company's B+ foreign-currency debt rating in part because of the absence of timely financial and operating information. PETROLEOS DE VENEZUELA: Eyes Colombian Govt.'s Stake in Ecogas -------------------------------------------------------------- Petroleos de Venezuela SA, the state-owned oil firm of Venezuela, has expressed interest in bidding for the Colombian government's stake in Ecogas, Hernan Martinez, the mining and energy minister of Colombia, told reporters. Business News Americas relates that Minister Martinez said that five firms have expressed interest in Ecogas. Three of those firms are: -- Petroleos de Venezuela, -- Promigas, and -- Enbridge. According to BNamericas, the six AFP pension fund managers of Colombia lost the previous tender for the 97.2% Ecogas stake, after their COP1.97-trillion offer dropped below the 90% minimum price the Colombian government set. The Colombian government will sell the shares on Nov. 24, BNamericas states. Petroleos de Venezuela SA -- http://www.pdv.com/-- is Venezuela's state oil company in charge of the development of the petroleum, petrochemical and coal industry, as well as planning, coordinating, supervising and controlling the operational activities of its divisions, both in Venezuela and abroad. The company has a commercial office in China. * * * Standard & Poor's said on July 17 that it may lower the company's B+ foreign-currency debt rating in part because of the absence of timely financial and operating information. PIUS INTERNATIONAL: Court to Hear Wind-Up Petition on Nov. 22 ------------------------------------------------------------- A wind-up petition filed against Pius International Ltd will be heard before the High Court of Hong Kong on November 22, 2006, at 9:30 a.m. Tang Lan To filed the petition with the Court on September 27, 2006. The Solicitors for the Petitioner can be reached at: Joe Poon 34/F, Hopewell Centre 183 Queen's Road East Wanchai, Hong Kong ROUSSEL UCLAF: Sole Member Resolve to Wind-Up Firm -------------------------------------------------- The sole member of Roussel UCLAF China Ltd on October 19, 2006, passed a special resolution winding up the company's operations voluntarily. Yeung Betty Yuen and Paul David Stuart Moyes were consequently appointed as joint and several liquidators. The Joint Liquidators can be reached at: Yeung Betty Yuen Paul David Stuart Moyes Level 28, Three Pacific Place 1 Queen's Road East Hong Kong SFA ASIA: Winds Up Business Operations -------------------------------------- At a general meeting of SFA Asia Ltd on October 16, 2006, it was agreed that a voluntary wind-up of the company's operations is appropriate and necessary. In this regard, Natalia K M Seng and Susan Y H Lo were appointed as joint and several liquidators. The Joint Liquidators can be reached at: Natalia K M Seng Susan Y H Lo Level 28, Three Pacific Place 1 Queen's Road East Hong Kong SMART LOYAL: Wind-Up Process Commenced -------------------------------------- Smart Loyal Investment Ltd commenced a wind-up of its operations on October 11, 2006, pursuant to an order by the High Court of Hong Kong. According to The Troubled Company Reporter - Asia Pacific, Au Yeung Ho Fai presented the wind-up petition with the Court on August 9, 2006. TMK OAO: S&P Keeps B+ Rating on CreditWatch Negative After IPO -------------------------------------------------------------- Standard & Poor's Ratings Services kept its 'B+' long-term corporate credit rating on Russia-based steel pipe producer OAO TMK on CreditWatch with negative implications, after TMK's core shareholder, Dmitriy Pumpyanskiy, increased his stake in the company to 100% from 67%. The ratings were originally placed on CreditWatch on Sept. 4 pending clarification of the company's eventual balance sheet structure. The parent company, TMK Steel Ltd. (beneficially owned by Mr. Pumpyanskiy), recently raised a US$780 million loan from TMK as well as US$470 million in bank debt, which Standard & Poor's believes it will repay primarily from TMK's dividends or through a sale of TMK stock. To finance the loan to TMK Steel, TMK issued a US$300 million Eurobond in September 2006 and raised US$475 million in bank debt. The parent plans to sell about 20% of TMK stock at the IPO scheduled for early November 2006. "If the IPO proceeds help to refinance a significant part of transaction-related debt at the company and parent levels by the end of 2006, the rating is likely to be affirmed," said Standard & Poor's credit analyst Elena Anankina. "Otherwise, the rating could be lowered, likely by one notch, reflecting higher leverage and exposure to refinancing risks." Headquartered in Moscow, Russia, OAO TMK -- http://www.tmkgroup.ru/eng/-- manufactures the entire product range of existing pipe products, which are used in the oil-and- gas industry, the chemical and petrochemical industries, the energy and machine-building industries, construction and the municipal housing economy, shipbuilding, aviation, space and rocket equipment, and agriculture. TMK has operations in UAE, the United States and China, among others. UNITED PACIFIC: Court Favors Wind-Up ------------------------------------ United Pacific Trading Ltd received a wind-up order from the High Court of Hong Kong on October 11, 2006. According to the Troubled Company Reporter - Asia Pacific, Wong Kuk Yuen filed the wind-up petition with the Court on August 11, 2006. WISE RIGHT: Creditors' Proofs of Claim Due on November 18 --------------------------------------------------------- Liquidator Kam Chi Chiu, Anthony, requires the creditors of Wise Right International Ltd to submit their proofs of claims by November 18, 2006. Creditors who fail to submit by the due date will be excluded from sharing in any distribution the company will make. The Liquidator can be reached at: Kam Chi Chiu, Anthony Room 1701, 17/F, Shui On Centre 6-8 Harbour Road, Wanchai Hong Kong ========= I N D I A ========= CENTRAL BANK OF INDIA: Fitch Upgrades Individual Rating to D ------------------------------------------------------------ Fitch Ratings has today upgraded Central Bank of India's Individual rating to 'D' from 'D/E'. At the same, the agency affirmed the Support rating of '3'. The upgrade of CBI's Individual rating reflects the significant improvement in the bank's reported asset quality and solvency indicators over the past three years. The agency, however, notes that the financials remain below the median for government banks in India. Though CBI's net interest margin in FY06 compares well with other banks on account of the higher proportion of low cost deposits, profitability indicators as measured by RoA and RoE have generally been below the system median on account of higher cost-income ratio and consistently higher provisions. While net income declined in FY06 due to lower securities trading income and increased provisions for diminution in investments, the agency expects the bank's operating performance to improve in FY07 due to de-risking of the investments portfolio and thus lower investment provisions. Over the last three years, sustained emphasis on recoveries of non-performing loans has resulted in a 17% decline in CBI's absolute NPLs leading to significant improvement in its reported asset quality ratios. The decline was also aided by profits from trading in government securities, which were used to increase the loan loss reserves. However, the reported gross NPL ratio and net NPLs to equity remain weaker than the system median. Regulatory capital adequacy ratio declined in FY06 due to loan growth and increased regulatory capital charge on market risk. CBI plans to issue subordinated debt and raise equity though an initial public offering in FY07 to prepare for the capital charge on operational risk under Basel II. Wholly-owned by the government, CBI's network of 3,123 branches is the third-largest among banks in India. CBI's main business is providing working capital to corporates and public sector enterprises but in recent times, it has increased its focus on retail banking business (10.4% of advances), especially housing loans. DHANALAKSHMI BANK: Fitch Assigns 'D/E' Individual Rating -------------------------------------------------------- Fitch Ratings assigned ratings to The Dhanalakshmi Bank Limited as follows: * National Long-term rating of 'BBB-(ind)'; * Individual rating of 'D/E'; * Support rating of '5'; and * National Long-term Rating of 'BBB-(ind)' to DBL's INR170 million subordinated debt programme. The Outlook on the ratings is Stable. The ratings reflect DBL's small size and its limited regional presence. The ratings also take into account DBL's equity size of INR1.3 billion, which falls short of the regulatory minimum of INR3bn for private banks in India. The bank plans to raise equity from the domestic market over the next two years. The agency notes that the bank's capital adequacy ratio of 9.8% (Tier 1: 6.2%) would move closer to the regulatory minimum of 9% if the impact of the proposed Basel II guidelines is factored in. The gross non-performing loans ratio and net NPLs-to-equity ratio improved to 6.7% and 34.2%, respectively, as at FYE06 but continued to be higher than the system medians (gross NPL ratio: 3.2%; net NPL-to-equity ratio: 8.8%). Fitch notes that DBL's regional concentration (close to 50% of total loans are sourced from the south Indian state of Kerala) makes the portfolio more vulnerable to cyclical downturns. The bank posted a net loss of INR216m in FY05 due to the depreciation in the government securities portfolio and trading losses in a rising interest rate environment. Since then, DBL has transferred a large part of its portfolio to the 'held-to- maturity' category and has also reduced the duration of its 'available-for-sale' investments; the resulting reduction in provisions for depreciation in investments helped the bank report a net profit of INR95m in FY06 and INR31m in the first quarter of FY07. The cost-to-income ratio remains high (FY06: 74.3%, FY05: 79.2%) on account of expenses incurred in implementing the technology initiatives and the relatively small size of the bank. DBL is a small 'old' private bank (total assets as at FYE06: INR28.5bn) set up in 1927 in the south Indian state of Kerala. The bank lends primarily to the small- and medium-sized enterprises (more than 50% of the total advances). About 70% of its deposit and branches are concentrated in Kerala. IFCI LTD: Bounces Back with INR1.6-Bil. Profit for Sept. Quarter ---------------------------------------------------------------- IFCI Limited bounced back with INR1.16 billion in net profit for the quarter ended September 30, 2006. For the quarter ended September 30, 2005, IFCI posted a net loss of INR107.9 million. IFCI also incurred consecutive net losses from the quarter ended December 31, 2005, to the quarter ended June 30, 2006. The company increased by 36% its income from operations from INR2.37 billion for the September 2005 quarter, to INR3.23 billion for the September 2006 quarter. Other income for the September 2006 quarter amounted to INR20.3 million, arriving at the total income for the quarter of INR3.23 billion. Total income for the September 2005 quarter was posed at INR2.4 billion. IFCI's operating expenses sharply fell to INR389 million for the September 2006 quarter, from the INR1.74 billion from the corresponding quarter last year. For the six months ended September 30, 2006, IFCI recorded in INR1.00 net profit from INR5.75 billion of operating income. A full-text copy of IFCI's audited financial results for the quarter and half-year ended September 30, 2006, is available for free at http://www.ifciltd.com/financials.htm About IFCI Limited IFCI Limited -- http://www.ifciltd.com/-- is established to cater the long-term finance needs of the industrial sector. The principal activities of IFCI include project finance, financial services, non-project specific assistance and corporate advisory services. Project finance involves providing credit and other facilities to green-field industrial projects (including infrastructure projects), as well as to brown-field projects. Financial services covers a range of activities wherein assistance is provided to existing concerns through various schemes for the acquisition of assets, as part of their expansion, diversification and modernization programs. Non- project specific assistance is provided in the form of corporate/short-term loans, working capital, bills discounting, etc to meet expenditure, which is not specifically related to any particular project. Its investment portfolio includes equity shares, preference shares, security receipts and government securities. * * * Fitch Ratings, on June 29 2006, affirmed IFCI Limited's support rating at '4'. The outlook on the rating is stable. Additionally, on February 15, 2006, Credit Analysis and Research Limited retained a CARE D rating to the long and medium term debt aggregating INR248 crore. Instruments carrying this rating are judged to be of the lowest category. They are either in default or likely to be in default soon. INDIAN OIL: Posts INR3,050-Crore Profit for Sept. 2006 Quarter -------------------------------------------------------------- Indian Oil Corporation Ltd. registered a net profit of INR3,050 crore for the second quarter ended September 30, 2006, as compared to INR949 crore for the same quarter in the previous year. The operating profit of INR3,050 crore for the second quarter of the current financial year includes INR7,168 crore, being approval received from the Government of India for issuance of Oil Bonds in lieu of under-realization suffered by the Corporation. The Corporation's Gross Turnover for the same period moved up by 26.32%, to INR55,134 crore from INR43,645 crore. The throughput of its refineries and pipelines network for the quarter at 10.51 million tonnes and 12.67 million tonnes respectively was higher than that of the corresponding quarter of the previous year. The unaudited financial results of the Corporation were taken on record at the meeting of the Board of Directors here today. For the first six months ended Sept. 2006, the Corporation's net profit was INR4,831 crore as against INR891 crore for the same period of the previous year. The net profit of INR4,831 crore for the half year ending Sept. 2006 is after considering INR7,168 crore, being approval received from the Government of India for issuance of Oil Bonds in lieu of under-realization suffered by the Corporation and one-time capital gain of INR3,225 crore on sale of 20% equity investment in ONGC. According to Sarthak Behuria, Chairman, IndianOil, the under- recovery on all the four products during the first half of the current fiscal was INR2,462 crore (after considering GOI Bonds of INR7,168 crore) as compared to INR5,627 crore in the corresponding period of the previous year. The Corporation's Gross Turnover moved up by 25.93%, to INR1,08,297 crore during the first half of 2006-07 from INR85,999 crore for the corresponding period of the previous year. Mr. Behuria added that the Corporation sold 25.56 million tonnes of products, including exports, during the first half of 2006- 07. The throughput of its refineries and pipelines network was 20.54 million tonnes and 24.38 million tonnes respectively for the same period as compared to 18.57 million tonnes and 22.08 million tonnes respectively in the previous year. A full-text copy of IOC's financial results for the quarter ended September 30, 2006, is available for free at: http://ResearchArchives.com/t/s?142e About Indian Oil Corporation Headquartered in New Delhi, Indian Oil Corporation Limited -- http://www.iocl.com/-- is engaged in the sale of petroleum products. Other businesses comprise the sale of imported crude oil, sale of gas, petrochemicals and oil and gas exploration activities jointly undertaken in the form of unincorporated joint ventures. The company's premium fuels include XTRAPREMIUM petrol and XTRAMILE diesel. AutoGas is Indian Oil's auto liquid petroleum gas brand and sells SERVO lubricants in 10 countries. The aviation fuel supply business caters to the aviation fuel requirements of the defense services, national carriers, scheduled private airlines and international airlines. The Digboi Refinery of the Assam Oil Division processes crude oil and its marketing network comprises 366 retail outlets, 399 kerosene/light diesel oil dealerships, and 271 Indane distributors. It owns and operates 18 refineries with a combined refining capacity of 54.20 million tones per annum (1.1 million barrels per day). * * * The Troubled Company Reporter - Asia Pacific reported on April 21, 2006, that Standard & Poor's Ratings Services revised the outlook on Indian Oil to positive from stable. At the same time, S&P affirmed the 'BB+' issuer credit rating on the Company. The outlook revision follows the revision in the outlook on the sovereign credit ratings on India (BB+/Positive/B) on April 19, 2006. Additionally, Moody's Investors Service gave Indian Oil a Ba1 long-term corporate family rating and a Ba2 issuer rating on March 3, 2005. INDIAN OIL: To Set Up US$3.5-Bil. Refinery in Nigeria ----------------------------------------------------- Indian Oil Corp. is reportedly planning to invest US$3.5 billion in Nigeria. Citing an Economic Times report, XFN-Asia says Indian Oil wants to set up a 15-million tonne refinery in the African country with investment of around US$3.5 billion. According to XFN-Asia, the Nigerian government had identified Indian Oil as one of the companies invited for investments in the country's downstream sector. About Indian Oil Corporation Headquartered in New Delhi, Indian Oil Corporation Limited -- http://www.iocl.com/-- is engaged in the sale of petroleum products. Other businesses comprise the sale of imported crude oil, sale of gas, petrochemicals and oil and gas exploration activities jointly undertaken in the form of unincorporated joint ventures. The company's premium fuels include XTRAPREMIUM petrol and XTRAMILE diesel. AutoGas is Indian Oil's auto liquid petroleum gas brand and sells SERVO lubricants in 10 countries. The aviation fuel supply business caters to the aviation fuel requirements of the defense services, national carriers, scheduled private airlines and international airlines. The Digboi Refinery of the Assam Oil Division processes crude oil and its marketing network comprises 366 retail outlets, 399 kerosene/light diesel oil dealerships, and 271 Indane distributors. It owns and operates 18 refineries with a combined refining capacity of 54.20 million tones per annum (1.1 million barrels per day). * * * The Troubled Company Reporter - Asia Pacific reported on April 21, 2006, that Standard & Poor's Ratings Services revised the outlook on Indian Oil to positive from stable. At the same time, S&P affirmed the 'BB+' issuer credit rating on the Company. The outlook revision follows the revision in the outlook on the sovereign credit ratings on India (BB+/Positive/B) on April 19, 2006. Additionally, Moody's Investors Service gave Indian Oil a Ba1 long-term corporate family rating and a Ba2 issuer rating on March 3, 2005. INDIAN OIL: Joint Venture to Set Up LPG Import Terminal ------------------------------------------------------- IndianOil Petronas Private Ltd., a 50-50 joint venture between Indian Oil Corporation Limited and Petroliam Nasional Berhad (Petronas), will set up a liquefied petroleum gas import terminal in south India, Reuters reports, citing Indian Oil Chairman Sarthak Behuria. The facility, work of which is estimated to start late December 2006, is expected to be completed by mid-2008. According to Mr. Behuria, the joint venture has already applied for approvals to set up the terminal. About Indian Oil Corporation Headquartered in New Delhi, Indian Oil Corporation Limited -- http://www.iocl.com/-- is engaged in the sale of petroleum products. Other businesses comprise the sale of imported crude oil, sale of gas, petrochemicals and oil and gas exploration activities jointly undertaken in the form of unincorporated joint ventures. The company's premium fuels include XTRAPREMIUM petrol and XTRAMILE diesel. AutoGas is Indian Oil's auto liquid petroleum gas brand and sells SERVO lubricants in 10 countries. The aviation fuel supply business caters to the aviation fuel requirements of the defense services, national carriers, scheduled private airlines and international airlines. The Digboi Refinery of the Assam Oil Division processes crude oil and its marketing network comprises 366 retail outlets, 399 kerosene/light diesel oil dealerships, and 271 Indane distributors. It owns and operates 18 refineries with a combined refining capacity of 54.20 million tones per annum (1.1 million barrels per day). * * * The Troubled Company Reporter - Asia Pacific reported on April 21, 2006, that Standard & Poor's Ratings Services revised the outlook on Indian Oil to positive from stable. At the same time, S&P affirmed the 'BB+' issuer credit rating on the Company. The outlook revision follows the revision in the outlook on the sovereign credit ratings on India (BB+/Positive/B) on April 19, 2006. Additionally, Moody's Investors Service gave Indian Oil a Ba1 long-term corporate family rating and a Ba2 issuer rating on March 3, 2005. INDIAN OVERSEAS BANK: Profit Up to INR2.5-Bil in Sept. Quarter -------------------------------------------------------------- Indian Overseas Bank filed with the Bombay Stock Exchange its unaudited financial results for the quarter ended September 30, 2006. For the September 2006 quarter, the Bank posted a net profit of INR2.50 billion, or INR4.59 earnings per share, from operating income of INR13.72 billion. The net profit for the quarter under review rose by 26% from the INR1.98-billion figure for the quarter ended September 30, 2005. Other income decreased by 15% from the INR1.75 billion for the September 2005 quarter to INR1.52 billion for the September 2006 quarter. About Indian Overseas Bank Headquartered in Chennai India, Indian Overseas Bank -- http://www.iob.com/-- provides consumer and commercial banking services. The Company provides various banking services, including saving bank, current accounts, credit facilities and other services. IOB also provides non-residential Indian services, personal banking, foreign exchange reserves collections services, agri business consultancy, credit cards and e-banking services. It also provides automated teller machine services. As of March 31, 2006, IOB had five full- fledged branches overseas: two in Hong Kong, and one each in Singapore, Seoul and Sri Lanka. The Bank also had an extension counter in Sri Lanka and a remittance center in Singapore. Standard & Poor's Ratings Service gave Indian Overseas BB+ ratings to both long-term local and long-term foreign issuer credit, and B ratings for both its short-term foreign and short- term local issuer credit effective on January 16, 2006. INDUSTRIAL DEVELOPMENT BANK: Net Profit Up by 21% for 1H/FY2007 --------------------------------------------------------------- Industrial Development Bank of India released its financial results for the quarter and half-year ended September 30, 2006. In a press release, IDBI highlighted improvements relating to both periods: 1. First Half of Fiscal Year 2007: * Net profit up by 21% at INR290 crore; * Net Interest Income up at INR233 crore; * Business up 32% to INR85,262 crore; * Deposits increase by 71% to INR30,953 crore; * Advances up by 17% at INR54,309 crore; * Gross NPAs down to 2.31% from 4.36% as of September-end 2005; and * Total assets grow by 11% to INR90,235 crore. 2. Second Quarter FY 2007: * Net profit moves up to INR139 crore; and * Net Interest Income up at INR135 crore. Profitability IDBI reported an increase of 5.7% in net profit to INR139 crore for the quarter ended September 30, 2006, as against INR132 crore in the corresponding quarter last year. Operating profit rose by nearly 7% to INR133 crore in the reporting quarter as against INR125 crore in the corresponding quarter last year. In the half-year ended September 30, 2006, IDBI reported a net profit of INR290 crore as against INR240 crore in the corresponding period last year, reflecting an increase of 21%. Operating profit during this period increased by over 15% to INR325 crore as against INR283 crore in the first half of FY 2005-06. Net Interest Income for the half-year under reference improved by 418% at INR233 crore over the corresponding half- year of the previous year. NII for Q2 FY07 at INR135 crore also showed a healthy improvement over INR97 crore obtaining during Q1 FY07 and minus INR45 crore during Q2 FY06. The Bank continued to maintain a high overhead efficiency ratio of 124% in H1 FY07. Business As of September 30, 2006, IDBI's total business (deposits and advances) stood at INR85,262 crore as against INR64,571 crore as of September 30, 2005, registering a growth of 32%. Deposits increased by a robust 71% to INR30,953 crore (INR18,158 crore as of September-end 2005). Low-cost current account and savings account deposits now account for 25% of total deposits. Advances increased by over 17% to INR54,309 crore as compared to INR46413 crore as at end-September 2005. Retail assets surged by INR850 crore in the reporting H1 FY07 to above INR9,500 crore. Retail assets now constitute over 17% of total advances as against 16% as of March-end 2006. As of September-end 2006, aggregate assets stood at INR90,235 crore as against INR81,555 crore same time last year, registering a growth of 11%. Cost of Funds In a rising interest rate regime, the Bank managed to pare its cost of funds to 6.66% in the reporting period as against 7.19% in the corresponding period of last year. Capital Adequacy Ratio IDBI continued to maintain a sound capital base as indicated by its capital adequacy ratio. As against the stipulated RBI norm of 9%, the bank's CAR stood at 14.66% (Tier-I: 11.73%) as of September-end 2006. The bank's CAR at end-June 2006 was 14.00% (Tier-I: 11.44%). This provides significant headroom for further growing the business. Significant Developments IDBI noted of these significant developments during July to September 2006: -- The Government, by a notification dated September 30, 2006, conveyed its approval of the amalgamation of erstwhile United Western Bank with IDBI, with effect from October 3, 2006. From the effective date itself, it has been 'business as usual' at all the branches of the erstwhile UWB. It would operate, for the present, as a Special Business Unit of the Bank. -- Following the amalgamation of erstwhile UWB into IDBI, the Bank's delivery channels now comprise 430 branches, 18 Extension Counters and 503 ATMs spread across 150 centers. Further, the acquisition of UWB would, inter alia, help grow IDBI's low-cost CASA deposit base and priority sector business volumes. -- IDBI, Federal Bank and Fortis signed a Memorandum of Understanding for formation of a Life Insurance Company in India. IDBI and Fortis stated earlier that they were jointly seeking a third partner to pursue the Life Insurance business. IDBI and Fortis have now jointly identified Federal Bank as the third partner. The proposed Life Insurance Company will initially be 48% owned by IDBI, 26% by Federal Bank and 26% by Fortis. -- IDBI has bagged two 'special awards', in the "Best Internet Bank for Corporate Customers" and "IT Team of the Year" categories, respectively, for the year 2005-06 from the prestigious Institute for Development and Research in Banking Technology, in recognition of its customercentric IT initiatives. * * * A full-text copy of IDBI's financial results for the period ended September 30, 2006, is available for free at: http://bankrupt.com/misc/IDBI_Sept2006Results.pdf About Industrial Development Bank Headquartered in Mumbai, India, Industrial Development Bank of India -- http://www.idbi.com/-- is a commercial bank that offers a range of products, including secured loans, such as housing loans, mortgage loans and loan against securities, and unsecured loans, such as personal loans, educational loans and overdrafts to merchant establishments. It also distributes third-party products, such as insurance and mutual fund products to its retail customers. IDBI also offers project financing, film financing, equipment financing, asset credits, corporate loans, working capital loans, direct discounting, the financing of receivables, venture capital funds, bill rediscounting, rehabilitation financing, foreign exchange and merchant banking. * * * The Troubled Company Reporter - Asia Pacific reported on July 28, 2006, that Moody's Investors Service assigned a D- financial strength rating and Ba2/Not-Prime long- and short-term foreign currency deposit ratings to Industrial Development Bank of India Limited. All ratings have stable outlooks. The bank's existing Baa2 foreign currency senior unsecured debt rating was unaffected by this action. Additionally, Standard & Poor's Ratings Services gave IDBI's long-term foreign issuer credit a BB+ rating on April 19, 2006. INDUSTRIAL DEVELOPMENT BANK: Enters MOU with MITCON Consultancy --------------------------------------------------------------- Industrial Development Bank of India Limited entered into a non- exclusive Memorandum of Understanding with MITCON Consultancy Services Limited for jointly providing one-stop solutions to companies for undertaking Clean Development Mechanism projects under the Kyoto Protocol. Mumbai-headquartered IDBI and Pune-headquartered Technical Consultancy Organization MITCON will also assist companies to sell the resultant carbon emission reduction units forward in the global markets. The MoU was signed by Shri B.K. Batra, Chief General Manager, IDBI, and Dr. Pradeep Bavadekar, Managing Director, MITCON, at IDBI's Corporate Office in Mumbai. Shri V P Shetty, Chairman and Managing Director, IDBI, and Shri Pradip Roy, Executive Director, IDBI, were also present on the occasion. IDBI is the first PSU bank to take up the initiative to assist domestic companies to realize their CER generating potential. The IDBI-MITCON arrangement is a win-win for both the entities, as the former has expertise in project funding and CER trading while the latter has consulting expertise in project identification and registration of CDM projects with the United Nations Framework Convention on Climate Change. Under this arrangement, companies can get single-point assistance pertaining to origination and implementation of CDM projects, as well as advisory services on generation and trading of CERs. Speaking on the occasion, Shri V P Shetty said, "We want to assist Indian companies, both large and small, who are keen on implementing CDM and selling the resultant CERs generated forward in the global markets. While sale of CERs gives companies additional revenue, IDBI stands to gain by way of additional fee income." IDBI is currently working on some of the CDM projects in the textiles, steel, power, paper and sugar sectors. It expects to assist many more companies to implement CDM projects by the end of this financial year. Further, IDBI is seeking to assist SMEs with CDM development in a big way. The bank intends to pool CERs generated by SMEs and sell them globally in market lots of 50,000 to 1,00,000 CER units. This is significant as a typical SME in India can generate far lesser CERs annually than the international market lot. Dr. Bavadekar also emphasized on the importance of having an experienced and dedicated consultancy organization to identify and register the projects in order to avail fulsome benefits through emission trade. About Industrial Development Bank Headquartered in Mumbai, India, Industrial Development Bank of India -- http://www.idbi.com/-- is a commercial bank that offers a range of products, including secured loans, such as housing loans, mortgage loans and loan against securities, and unsecured loans, such as personal loans, educational loans and overdrafts to merchant establishments. It also distributes third-party products, such as insurance and mutual fund products to its retail customers. IDBI also offers project financing, film financing, equipment financing, asset credits, corporate loans, working capital loans, direct discounting, the financing of receivables, venture capital funds, bill rediscounting, rehabilitation financing, foreign exchange and merchant banking. * * * The Troubled Company Reporter - Asia Pacific reported on July 28, 2006, that Moody's Investors Service assigned a D- financial strength rating and Ba2/Not-Prime long- and short-term foreign currency deposit ratings to Industrial Development Bank of India Limited. All ratings have stable outlooks. The bank's existing Baa2 foreign currency senior unsecured debt rating was unaffected by this action. Additionally, Standard & Poor's Ratings Services gave IDBI's long-term foreign issuer credit a BB+ rating on April 19, 2006. UNITED WESTERN: CARE Upgrades Tier II Bond Rating to AA+ -------------------------------------------------------- Credit Analysis and Research Limited upgrades United Western Bank's outstanding INR86.2-crore subordinated Tier II Bond Issues from 'CARE B+' to 'CARE AA+.' The Troubled Company Reporter - Asia Pacific reported on Oct. 4, 2006, that the Government of India approved the Scheme of Amalgamation between UWB and the Industrial Development Bank of India Ltd. With the amalgamation, the outstanding Tier II Bonds are now transferred to IDBI. The impact of the merger on IDBI's financials and of other recent developments prompted CARE to make the upgrade. CARE also removed the rating under credit watch. About Industrial Development Bank Headquartered in Mumbai, India, Industrial Development Bank of India -- http://www.idbi.com/-- is a commercial bank that offers a range of products, including secured loans, such as housing loans, mortgage loans and loan against securities, and unsecured loans, such as personal loans, educational loans and overdrafts to merchant establishments. It also distributes third-party products, such as insurance and mutual fund products to its retail customers. IDBI also offers project financing, film financing, equipment financing, asset credits, corporate loans, working capital loans, direct discounting, the financing of receivables, venture capital funds, bill rediscounting, rehabilitation financing, foreign exchange and merchant banking. * * * The Troubled Company Reporter - Asia Pacific reported on July 28, 2006, that Moody's Investors Service assigned a D- financial strength rating and Ba2/Not-Prime long- and short-term foreign currency deposit ratings to Industrial Development Bank of India Limited. All ratings have stable outlooks. The bank's existing Baa2 foreign currency senior unsecured debt rating was unaffected by this action. Additionally, Standard & Poor's Ratings Services gave IDBI's long-term foreign issuer credit a BB+ rating on April 19, 2006. About United Western Bank United Western Bank Limited -- http://www.uwbankindia.com-- operates a network of over 200 banks in India. The group's banks provide a full range of services, including retail and merchant banking, investment management, treasury and NRI services, credit card services and assorted ATM facilities. * * * Credit Analysis and Research Limited has placed the CARE B+ (very high credit risk/susceptible to default) rating to the outstanding INR86.2 crore subordinated Tier II bond issues of United Western Bank under "credit watch" with developing implications. The Union Government placed United Western under a moratorium running from September 2, 2006, to December 1, 2006, based on an application from the Reserve Bank of India. Under the moratorium, depositors will be allowed to withdraw a maximum of INR10,000, except in certain circumstances, at any of the bank's branches, but not through the use of ATMs. ================= I N D O N E S I A ================= CORUS GROUP: S&P Revises Watch Implications on Takeover Concerns ---------------------------------------------------------------- Standard & Poor's Ratings Services revised the implications of the CreditWatch status of its 'BB' long-term corporate credit rating on U.K.-based steel consortium Corus Group PLC to developing from positive, reflecting uncertainties regarding the financing structure of the proposed bid for the company by Tata Steel Ltd. (BBB/Watch Neg/--), India's second-largest integrated steel company. At the same time, the positive implications of the CreditWatch status of the 'B' short-term corporate credit rating on Corus remained unchanged. The ratings were initially placed on CreditWatch on Oct. 18, 2006, following the announcement by Corus concerning a possible recommended offer for the company from Tata Steel. "The revision of the CreditWatch status of the long-term ratings reflects uncertainties regarding the financing structure of this proposed transaction and to what extent it could impair Corus' financial profile," said Standard & Poor's credit analyst Tatiana Kordyukova. "The potential ratings upside is still valid and could materialize if the combined entity has a stronger credit quality than Corus on a standalone basis, and if there is sufficient evidence that Tata Steel will provide financial support to Corus." Our analysis will focus not only on the legal structure of the financing but, more importantly, on the economic incentives of Tata Steel to bail out Corus in a stress situation. Furthermore, Standard & Poor's will assess whether Corus' weak business risk profile would be enhanced by integration with the low-cost operations of Tata Steel. Nevertheless, the ratings might be lowered if Tata Steel pursues an arm's-length approach toward Corus' operations, and if the financing of the transaction leads to a deterioration of Corus' financial position. Standard & Poor's will seek to resolve or update the CreditWatch within 90 days. Any resolution will require additional clarification from Corus and Tata Steel, including detailed information on terms of the potential transaction and integration plans. We will also monitor whether the proposed terms of the transaction will evolve in the future. We maintained the positive implications on the short-term corporate rating on Corus because, currently, we do not envisage a scenario under which Corus' credit quality could deteriorate to such an extent to justify a lower short-term rating. About Corus Group Corus Group PLC -- http://www.corusgroup.com/-- produces metal from its major operating facilities in the U.K., the Netherlands, Germany, France, Norway, Belgium and Canada. Corus turns over GBP10 billion annually and employs 47,300 in over 40 countries and sales offices and service centers worldwide, including Indonesia and the Philippines. Corus was created through the merger of British Steel plc and Koninklijke Hoogovens N.V. The group suffered six years ago from the crisis in British manufacturing, which prompted it to shake up management, close plants, cut jobs, and sell assets to lower debt. Its debt was thought to stand at GBP1.6 billion in 2002. After posting a net loss of GBP458 million in 2003, it embarked on a restructuring program, signed a new EUR1.2 billion banking facility, and issued GBP307 million worth of shares. It returned to operating profit in the first quarter of 2004. The recent recovery of steel prices and the strength of the euro are expected to help it achieve relatively strong earnings. INCO LTD: CVRD Keeps Inco CEO in Revamp Efforts ----------------------------------------------- Companhia Vale do Rio Doce had asked Inco Ltd.'s chairman and chief executive officer, Scott Hand, to remain with the Toronto mining company and oversee what is expected to be a major expansion of the nickel miner's assets under its new Brazilian owner, TheGlobeandMail.Com reports. The Troubled Company Reporter - Asia Pacific reported on October 27, 2006, that CVRD had taken up and accepted for payment 174,623,019 common shares tendered, which represent 75.66% of the issued and outstanding Inco common shares on a fully diluted basis. CVRD had earlier offered to purchase for cash all of Inco's outstanding common shares. TheGlobeandMail.Com says that Mr. Hand will help guide the transition of the new company, called CVRD Inco, that is slated to incorporate a number of the Brazilian parent company's non- core assets. Sources said the planned expansion is designed create a major North American financing platform that could help bankroll CVRD's global expansion. TheGlobeandMail.Com details that Mr. Hand spent most of August and September trying to fight off the hostile, all-cash offer from the Brazilian suitor. He is expected to remain with the new company for up to a year before he retires, within which time, he is to help transform Inco into the North American-based nickel unit of CVRD. CVRD has already indicated that it will transfer its Brazilian Onca Puma and Vermelho projects into CVRD Inco, which is to be headquartered in Toronto. It is understood that other operations, which could include non-core iron ore mining assets and possibly CVRD's Sossego copper mine as well as other aluminum operations, may be transferred to the new venture. About CVRD Headquartered in Rio de Janeiro, Brazil, Companhia Vale do Rio Doce -- http://www.cvrd.com.br/-- engages primarily in mining and logistics businesses. It engages in iron ore mining, pellet production, manganese ore mining, and ferroalloy production, as well as in the production of nonferrous minerals, such as kaolin, potash, copper, and gold. About Inco Ltd. Headquartered in Sudbury, Ontario, Inco Limited (TSX, NYSE:N) -- http://www.inco.com/-- produces nickel, which is used primarily for manufacturing stainless steel and batteries. Inco also mines and processes copper, gold, cobalt, and platinum group metals. It makes nickel battery materials and nickel foams, flakes, and powders for use in catalysts, electronics, and paints. Sulphuric acid and liquid sulphur dioxide are produced as byproducts. The company's primary mining and processing operations are in Indonesia, Canada, and the U.K. * * * Inco Limited's 3-1/2% Subordinated Convertible Debentures due 2052 carry Moody's Investors Service's Ba1 rating. ========= J A P A N ========= ALL NIPPON: Exercises Two Conversion Options With Boeing -------------------------------------------------------- All Nippon Airways has exercised the options for two additional 767-300 Boeing-converted freighters, Bernama News reports. Bernama News, citing Boeing Commercial Airplanes, explains that ANA launched the 767-300BCF passenger-to-freighter conversion programme in October 2005 with an order for three conversions and four options. Boeing now has five firm orders and two options. According to the report, ANA planned to use the freighters as part of its joint venture cargo operation, ANA & JP Express, with partners Japan Post, Nippon Express and Mitsui OSK Lines. ANA Executive Vice President Tomohiro Hidema confirms that the converted freighters would help the company provide high quality, competitive air cargo services through ANA & JP Express. The value of the agreement was not disclosed, Bernama News adds. Headquartered in Tokyo, All Nippon Airways Co., Limited -- http://www.ana.co.jp/eng/-- is Japan's second-largest airline company in terms of revenue. The company, which was founded in 1952, provides these services: 1. Scheduled air transportation business; 2. Nonscheduled air transportation business and business utilizing aircraft; 3. Business of buying, selling, leasing and maintenance of aircraft and aircraft parts; and 4. Aircraft transportation ground support business, including passenger boarding procedures and loading of hand baggage. As reported in the Troubled Company Reporter - Asia Pacific on May 30, 2006, Moody's Investors Service has upgraded to Ba1 from Ba3 the senior unsecured debt ratings of All Nippon Airways Co., Ltd. The rating action concludes the review initiated on March 3, 2006. The rating outlook is stable. According to the TCR-AP on Oct. 27, 2006, Standard & Poor's Ratings Services raised its ratings on All Nippon Airways Co. Ltd. to 'BB' from 'BB-' on the company's stabilizing cash flow, backed by progress in business restructuring. The outlook on the long-term corporate credit rating is stable. The TCR-AP reported on May 3, 2006, that Standard & Poor's Ratings Services revised its outlook on the BB- long-term corporate credit rating on All Nippon Airways to positive from stable, reflecting the company's improved earnings and expectations for