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

           Wednesday, January 10, 2007, Vol. 10, No. 7

                            Headlines

A U S T R A L I A

ADVANCED MARKETING: Files Chapter 11 Petition in Delaware
ADVANCED MARKETING: Case Summary & 40 Largest Unsec. Creditors
ADVANCED MARKETING: Organizational Meeting Scheduled for Friday
AIRONIC AUSTRALIA: Members and Creditors to Hear Wind-Up Report
B.M.W. PLUMBING: Members Appoint Joint Liquidators

CAMPBELL LUSCOMBE: To Declare First and Final Dividend on Feb. 2
CARRIER ELECTRICAL: Final Meeting Slated for January 17
CONSTELLATION BRANDS: Affirms Joint Venture with Grupo Modelo
CONSTELLATION BRANDS: Posts US$1.5B Sales for Qtr. Ended Nov. 30
CONSTELLATION BRANDS: Crown Imports Starts Scheduled Operation

CURZON STREET: Undergoes Wind-Up Proceedings
EMINENT FINANCIAL: Members to Receive Liquidator's Account
FOXCORP FINANCIAL: Final Meeting Fixed for February 9
NRG ENERGY: Closes Sale of Red Bluff & Chowchilla II Power Plant
SIMPRO PTY: Members Agree to Shut Down Business

STONE AGE (NSW): To Declare Priority Dividend on January 12
VILLAGE ROADSHOW: Confirms Return of Capital of 15 Cents/Share
VILLAGE ROADSHOW: Clarifies Accounting Policy on Borrowing Costs
VOTRAINT NO.965: Members Pass Resolution to Wind Up Firm
WOLLONGONG FABRICATIONS: Schedules Final Meeting on January 16

WOLLONGONG PLANT: Liquidator to Present Wind-Up Report


C H I N A   &   H O N G  K O N G

AGRICULTURAL BANK: Gets Nod to Set Up Venture with French Firm
BANK OF HUALIEN: TRC Alters Rtg to 'twR' After Regulatory Action
FOSUN INTERNATIONAL: Moody's Withdraws Ba2 Corp. Family Rating
GREAT CHINESE: Fitch Pulls Individual Rating Down to E from D/E
INTERNATIONAL ELECTRICAL: Court Sets Wind-Up Hearing for Feb. 14

KAM YUEN: Liquidator to Present Wind-Up Report on January 31
KERRY-GLORY: Creditors Must Prove Debts by February 8
KWAN KEE: Court Orders Wind-Up
LILAC LTD: Members to Receive Wind-Up Report on February 6
MORNING SIGNAL: Members Pass Resolution to Wind Up Firm

OUTMATCHING TELECOM: Creditors to Hear Wind-Up Report on Jan. 30
PETROLEOS DE VENEZUELA: To Ink Partnership Deals with Petrobras
SHANGHAI PUDONG: Fiscal Year 2006 Net Profit Increases 31%
SMILE RICE: Members' Final Meeting Slated for January 31
STAR ASSETS: Creditors' Proofs of Debt Due on January 29

STORAGETEK NORTH: Creditors' Proofs of Claim Due on Feb. 8
TOP POWER: Court Issues Wind-Up Order
ZHONGYU (HOLDINGS): Faces Wind-Up Proceedings
* Chinese Auditors Reveal Illegal Practices in Financial Firms
* Listed Companies Under CSRC Prove Fund Misuse


I N D I A

AES CORP: Joins Electric Drive Transportation Association Board
AFFILIATED COMPUTER: Annual Stockholders' Meeting Set for June 7
GENERAL MOTORS: Reports 11.8% Market Share in China
INDIAN OIL: Ranked India's Biggest Co. by Business Standard
KARNATAKA BANK: Board Names TS Vishwanath as Additional Director

KOTAK MAHINDRA: Scheme of Arrangement Hearing Set on Feb. 2
LML LTD: Names RK Arora as Alternate Director
NTPC LTD: To Set Up US$500-Mil. Plant in Sri Lanka with CEB
NTPC LTD: To Bid for Blocks in Australia; Looks for Bid Partner
PUNJAB NATIONAL BANK: Names SR Khurana as New Director

UNIVERSAL CORP: Court Reduces Plaintiff Jury Award to US$1.25MM


I N D O N E S I A

MARSH & MCLENNAN: Citigroup Upgrades To 'Buy'
PT PETRTAMINA: To Apply "Zero Critical Depot" Program
PERUSAHAAN LISTRIK: New Plants Help Cut Losses in 2006
TELKOMSEL INDONESIA: To Invest US$1.5 Bil. To Enhance Network


J A P A N

ALITALIA SPA: Potential Buyers Consult Unions Over Recovery Plan
ALITALIA SPA: Italy Launches Tender Offer for 30.1% Stake
ALITALIA SPA: Transport Minister Wary of Air France-KLM Takeover
BANK OF FUKUOKA: Moody's Assigns A3 to Fixed Rate Bonds
DELPHI CORP: Moody's Rates US$2.49 Bil. 2nd Priority Loan at Ba3

DELPHI CORP: Fitch Rates US$2.5 Bil. Second Priority Loan at BB-
DELPHI CORP: Highland Capital Offers US$4.7BB Equity Commitment
MITSUBISHI MOTORS: Targets 200,000 Units in US Sales, Boss Says
* S&P Revises Ratings Coverage in Japan


K O R E A

DURA AUTOMOTIVE: Wants to Employ Deloitte & Touche as Auditors
DURA AUTOMOTIVE: Trustee Appoints HSBC Bank to Creditors' Panel
HANAROTELECOM: KCC Orders Corrective Actions for Violations
HANAROTELECOM: Gains 200,000 Subscribers for hanaTV


M A L A Y S I A

AKER KVAERNER: Completes Sale of Pulping Unit to Metso Oyj
COMSA FARMS: Unit's Wind-Up Hearing Set on February 2
FEDERAL FURNITURE: Seeks DRA Completion Extension with Lenders
LITYAN HOLDINGS: Completes Properties Disposals; Gains MYR4.71MM
LITYAN HOLDINGS: Awaits Decision on Delisting Petition

METROPLEX BERHAD: Seeks to Extend Scheme Submission Deadline
SOLUTIA INC: Hires Two Firms as Ordinary Course Professionals
TALAM CORPORATION: SC Okays Ambang Sentosa's PTC Revision


M O N G O L I A

TRADE & DEV'T BANK OF MONGOLIA: Moody's Rates EMTN Program


N E W   Z E A L A N D

WEIGHT WATCHERS: Moody's Rates Proposed US$1.2 Bil. Loan at Ba1
WEIGHT WATCHERS: Sept. 30 Balance Sheet Upside Down by US$103MM


P H I L I P P I N E S

AGP INDUSTRIAL: 2006 Nine-Month Net Loss Equals PHP430,000
BENPRES HOLDINGS: Disposes 0.20% Digitel Shares for PHP25.4 Mil.
FORUM PACIFIC: Incurs PHP12.9-Million Net Loss in 9-Month Period
GLOBE TELECOM: Lists 2,114 Common Shares Under ESOP
LIBERTY TELECOMS: Incurs PHP254MM Loss for Sept. 2006 Quarter

MIRANT CORP: Has Until February 15 to File Chapter 11 Plan
PHILIPPINE LONG DISTANCE: A. Conjuangco Resigns as Director


S I N G A P O R E

C-MED PTE: Creditors Must Prove Debts by Feb. 5
HLG ENTERPRISE: Buyers Exercise Options to Purchase Properties
HLG ENTERPRISE: Notes Shareholders Change of Interests
KATELL INVESTMENT: Creditors Have Until Feb. 5 to Prove Debts
LIANG HUAT: Places Subsidiaries in Provisional Liquidation

LION HEART: Creditors to Meet on Jan. 19
LINDETEVES-JACOBERG: Subsidiary Enters Voluntary Liquidation
PETROLEOS BRASILEIRO: Developing Offshore Field with Shell
PETROLEO BRASILEIRO: Restarting Tender for Vessel Construction
PETROLEO BRASILEIRO: Selects JPMorgan for US$25 Bil. ADR Program


T H A I L A N D

COMPUTER SCIENCES: Bondholders Waive Filing Deadline to Jan. 5
COMPUTER SCIENCES: Extends US$140-Mln IT Outsourcing Contract
DAIMLERCHRYSLER AG: Plans to Build Assembly Site in India
DAIMLERCHRYSLER AG: Chrysler Arm to Double International Sales
FEDERAL MOGUL: Court Okays Killian as Special Insurance Counsel

FEDERAL-MOGUL: Wants Court Okay on Lumbermens Settlement Pact
TMB BANK: Cuts Loan Growth Target Due to Poor Economic Forecast
* Decisive Effort Needed to Boost Investor Confidence, S&P Says


* Upcoming Meetings, Conferences and Seminars

     - - - - - - - -

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

ADVANCED MARKETING: Files Chapter 11 Petition in Delaware
---------------------------------------------------------
Advanced Marketing Services, Inc., filed a voluntary petition
under Chapter 11 of the Federal Bankruptcy Code in United States
Bankruptcy Court for the District of Delaware.  The Chapter 11
proceeding does not include the company's international
subsidiaries in the United Kingdom, Mexico and Australia, and
their operations will not be affected.

The company also disclosed that, in conjunction with the filing,
it has entered into a loan agreement for US$75 million in
Debtor-in-Possession financing from Wells Fargo Foothill, Inc.,
subject to court approval.  The DIP financing should provide
sufficient liquidity to meet the Company's ongoing operating
needs during the proceeding.

During the past few months, the company explored a number of
alternatives to strengthen the Company's financial base and
resolve past legal and regulatory issues.  Despite making some
progress, the company was unable to secure new financing and the
current loan facility, which is used to finance the company's
operations, will not be extended beyond Dec. 28, 2006.

"This move will permit AMS, with its investment banker, to
continue to pursue strategic alternatives," said Gary M.
Rautenstrauch, President and Chief Executive Officer.  
"Additionally, Chapter 11 protection will enable the Company to
continue to conduct business in the normal course, make payments
to vendors going forward and continue delivering quality service
and products to customers."

The DIP financing should provide sufficient liquidity to meet
the company's ongoing operating needs during the proceeding; and
Chapter 11 protection will enable the company to continue to
conduct business in the normal course, make payments to vendors
going forward and continue to deliver quality service and
products to customers.

                About Advanced Marketing Services

Based in San Diego, California, Advanced Marketing Services,
Inc. (Pink Sheets: MKTS) -- http://www.advmkt.com/-- provides  
customized merchandising, wholesaling, distribution and
publishing services, currently primarily to the book industry.  
The company has operations in the U.S., Mexico, the United
Kingdom, and Australia, and employs approximately 1,200 people
worldwide.


ADVANCED MARKETING: Case Summary & 40 Largest Unsec. Creditors
--------------------------------------------------------------
Lead Debtor: Advanced Marketing Services, Inc.
             5880 Oberlin Drive
             San Diego, CA 92121

Bankruptcy Case No.: 06-11480

Debtor affiliates filing separate chapter 11 petitions:

      Entity                                     Case No.
      ------                                     --------
      Publishers Group Incorporated              06-11481
      Publishers Group West Incorporated         06-11482

Type of Business: Advanced Marketing  provides customized
                  merchandising, wholesaling, distribution and
                  publishing services, currently primarily to
                  the book industry.  The company has operations
                  in the U.S., Mexico, the United Kingdom and
                  Australia and employs approximately 1,200
                  People Worldwide.  See http://www.advmkt.com/

Chapter 11 Petition Date: December 29, 2006

Court: District of Delaware (Delaware)

Judge: Christopher S. Sontchi

Debtors' Counsel: Chun I. Jang, Esq.
                  Mark D. Collins, Esq.
                  Paul Noble Heath, Esq.
                  Richards, Layton & Finger, P.A.
                  920 North King Street
                  P.O. Box 551
                  Wilmington, DE 19899
                  Tel: (302) 651-7700
                  Fax: (302) 651-7701

                          Estimated Assets       Estimated Debts
                          ----------------       ---------------
Advanced Marketing        More than              More than
  Services, Inc.          US$100 Million         US$100 Million

Publishers Group          US$1 Million to        US$1 Million to
  Incorporated            US$100 Million         US$100 Million

Publishers Group          US$1 Million to        US$1 Million to
  West Incorporated       US$100 Million         US$100 Million

Debtors' Consolidated List of 40 Largest Unsecured Creditors:

   Entity                     Nature of Claim       Claim Amount
   ------                     ---------------       ------------
Random House                  Trade Debt           US$43,347,815
1540 Broadway
New York, NY 10036
Attn: Bill Sinnott
Tel: (410) 386-7480
Fax: (410) 386-7439

Simon & Schuster Inc.         Trade Debt           US$26,457,886
1230 Avenue of the Americas
New York, NY 10020
Attn: David England
Tel: (212) 689-7022
Fax: (212) 698-1258

Penguin Putnam, Inc.          Trade Debt           US$24,614,829
375 Hudson Street
New York, NY 10014
Attn: Michelle Cangialosi
Tel: (201) 767-2916
Fax: (201) 767-5162

Hachette Book Group USA       Trade Debt           US$22,569,624
dba Hachette and Time
Warner Publishing
Three Center Plaza
Boston, MA 02108-2084
Attn: Steve Mubarek
Tel: (617) 263-1949
Fax: (617) 263-2978

HaperCollins US               Trade Debt           US$18,029,249
3030 Robinson Road
Jefferson City, MO 65111
Attn: John Shearer
Tel: (570) 941-1244
Fax: (570) 941-1590

Publications International    Trade Debt           US$12,546,943
7373 North Cicero Avenue
Lincolnwood, IL 60712-1613
Attn: Jeff Coyle
Tel: (847) 329-5355
Fax: (847) 329-5810

VHPS                          Trade Debt            US$9,597,108
175 Fifth Avenue
20th Floor
New York, NY 10010
Attn: Peter Garabedian
Tel: (646) 307-5451
Fax: (917) 302-7466

Andrews McMeel Publishing     Trade Debt            US$8,658,324
4520 Main Street
Kansas City, MO 64111
Attn: Thom Thorton
Tel: (816) 932-6700
Fax: (816) 932-6735

John Wiley & Sons, Inc.       Trade Debt            US$6,030,223
One Wiley Drive
Somerset, NJ 08875-1272
Attn: Dean Karrel
Tel: (201) 748-6275
Fax: (201) 748-8641

Leisure Arts                  Trade Debt            US$4,685,334
80 Willow Park Road
Menlo Park, CA 94025
Attn: Rich Smeby
Tel: (650) 324-5505
Fax: (650) 324-1532

Workman Publishing Company    Trade Debt            US$4,403,889
225 Varick Street
New York, NY 10014-4381
Attn: Phil Gerace
Tel: (212) 614-7565
Fax: (212) 254-8098

Rich Publishing LLC           Trade Debt            US$4,380,171
6611 North 64th Place
Paradise Valley, AZ 85253
Attn: Sharon Lechter
Tel: (480) 607-1940
Fax: (480) 949-6085

Chronicle Books               Trade Debt            US$4,344,797
275 Fifth Street
San Francisco, CA 94103
Attn: Jack Jensen
Tel: (415) 777-7240
Fax: (415) 777-8887

Meredith Corporation          Trade Debt            US$4,333,958
1716 Locust Street
Des Moines, IA 50309
Attn: Ken Zagor
Tel: (515) 284-2282
Fax: (515) 284-3947

Houghton Mifflin Trade Div.   Trade Debt            US$2,564,958
222 Berkeley Street
Boston, MA 02116
Attn: Gary Gentel
Tel: (617) 351-5927
Fax: (617) 351-1185

Avalon Publishing Group       Trade Debt            US$2,297,489
1400 65th Street
Suite 250
Emeryville, CA 94608
Attn: Susan Reich
Tel: (510) 595-3664
Fax: (510) 595-4228

United States Playing         Trade Debt            US$2,015,057
Card Co.
2510 Reliable Parkway
Chicago, IL 60686-0025
Attn: Amy Bruno
Tel: (800) 542-7430 ext. 7507
Fax: (513) 396-5878

Zondervan                     Trade Debt            US$2,002,239
5300 Patterson Avenue, SE
Grand Rapids, MI 49530
Attn: Verne Kenney
Tel: (616) 698-6548
Fax: (616) 698-3313

Global Book Publishing        Trade Debt            US$1,747,737
Level 8, 15 Orion Road
Lane Cove, NSW
Australia 2066
Attn: Cheryl Perry
Tel: (+612) 9425-5800
Fax: (+612) 9967-5891

Cook Illustrated              Trade Debt            US$1,483,506
17 Station Street
Brookline, MA 02445
Attn: Demee Gambulos
Tel: (617) 232-1000
Fax: (617) 232-1572

Client Distribution Service   Trade Debt            US$1,443,775
378 Park Avenue South
12th Floor
New York, NY 10016
Attn: Tom Allen
Tel: (212) 340-8130
Fax: (212) 340-8105

National Book Network         Trade Debt            US$1,137,465
15200 NBN Way
Blue Ridge Summit, PA 17214
Attn: Jeff Harris
Tel: (717) 794-3807
Fax: (717) 794-3804

New World Library             Trade Debt            US$1,122,419
14 Pamaron Way
Novato, CA 94949
Attn: Munro Magruder
Tel: (415) 884-2100 Ext. *8+21
Fax: (415) 884-2199

Grove/Atlantic                Trade Debt            US$1,079,889
841 Broadway, 4th Floor
New York, NY 10003-4793
Attn: Eric Price
Tel: (212) 614-7907
Fax: (212) 614-7886

Hugh L. Levin Associates      Trade Debt            US$1,029,831
9 Burr Road
Westport, CT 06880
Attn: Hugh Levin
Tel: (203) 227-6422
Fax: (203) 227-6717

Good Books                    Trade Debt              US$969,723
P.O. Box 419
7195 Grayson Road
Intercourse, PA 17534
Attn: Merle Good
Tel: (800) 762-7171 Ext. 250
Fax: (800) 762-7171

Amber-Allen Publishin Inc.    Trade Debt              US$957,356
68 Mitchell Boulevard
Suite 215
San Rafael, CA 94903
Attn: Karen Krieger
Tel: (415) 499-4657
Fax: (415) 499-3174

Millennium House              Trade Debt              US$909,552
52 Bolwarra Road
Elanora Heights, NSA
Australia 2101
Attn: Gordon Cheers
Tel: (612) 9970-6850
Fax: (612) 9970-8136

Tyndale House Publishing      Trade Debt              US$852,719
370 Executive Drive
Carol Stream, IL 60188
Attn: Everett O'Brian
Tel: (603) 668-8300 Ext. 258
Fax: (630) 668-8905

Hinkler Books Pty. Ltd.       Trade Debt              US$841,780
17-23 Redwood Drive
Dingley Village, Victoria
Australia 3172
Attn: Stephen Ungerer
Tel: (613) 9552-1313
Fax: (613) 9558-2566

Becker & Mayer                Trade Debt              US$818,449
11010 Northup Way
Bellevue, WA 98004
Attn: Jim Becker
Tel: (425) 827-7120 Ext. 111
Fax: (425) 828-9659

Banta Book Group              Trade Debt              US$808,329
675 Brighton Beach Road
Menasha, WI 54950
Attn: Stephanie Streeter
Tel: (920) 751-7777
Fax: (920) 751-7799

Avalanche Publishing          Trade Debt              US$797,215
15262 Pipeline Lane
Huntington Beach, CA 92649
Attn: Ray Sharabba
Tel: (800) 888-6421
Fax: (714) 898-2450

Harcourt Brace & Company      Trade Debt              US$792,490
525 B. Street, Suite 1900
San Diego, CA 92101
Attn: Dan Farley
Tel: (619) 699-6816
Fax: (619) 699-6596

Rodale Press Inc.             Trade Debt              US$772,899
733 Third Avenue
New York, NY 10017
Attn: Liz Perl
Tel: (212) 573-0226
Fax: (212) 682-2237

Anness Publishing Inc.        Trade Debt              US$763,854
Hermes House
88/89 Blackfriars Road
London, England SEI 8HA
Attn: Paul Anness
Tel: +44207754400
Fax: 011-44-207-633-9499

Triumph Books                 Trade Debt              US$755,611
601South LaSalle Street
Suite 500
Chicago, IL 60605
Attn: Phil Springstead
Tel: (941) 351-5060
Fax: (312) 663-3557

Anova Books Co. Ltd.          Trade Debt              US$734,976
Promotional Reprint Co. Ltd.
151 Freston Road
London, England W10 6TH
Attn: Robin Wood
Tel: 39-0161/294203
Fax: 44-020-7314-1584

Gallup Inc.                   Trade Debt              US$654,050
901 F Street, Northwest
Washington, DC 20004
Attn: Piotr Juszkiewicz
Tel: (402) 938-6176
Fax: (402) 938-5920

Black Dog & Leventhal         Trade Debt              US$630,127
Publisher
151 West 19th Street
New York, NY 10011
Attn: J.P. Leventhal
Tel: (212) 647-9336 Ext. 101
Fax: (212) 647-9332


ADVANCED MARKETING: Organizational Meeting Scheduled for Friday
---------------------------------------------------------------
The United States Trustee for Region 3 will hold an
organizational meeting to appoint an official committee of
unsecured creditors in Advanced Marketing Services, Inc. and its
debtor-affiliates' chapter 11 cases at 10:00 a.m., on Friday,
Jan. 12, 2006, at the Double Tree Hotel, 700 King Street, Salon
L in Wilmington, Delaware.

The sole purpose of the meeting will be to form a committee or
committees of unsecured creditors in the Debtors' cases.  The
meeting is not the meeting of creditors pursuant to Section 341
of the Bankruptcy Code.  However, a representative of the
Debtors will attend and provide background information regarding
the cases.

Creditors interested in serving on a Committee should complete
and return to the U.S. Trustee a statement indicating their
willingness to serve on an official committee.

Official creditors' committees, constituted under Section 1102
of the Bankruptcy Code, ordinarily consist of the seven largest
creditors who are willing to serve on a committee.  In some
Chapter 11 cases, the U.S. Trustee is persuaded to appoint
multiple creditors' committees.

Official creditors' committees have the right to employ legal
and accounting professionals and financial advisors, at the
Debtors' expense.  They may investigate the Debtors' business
and financial affairs.  Importantly, official committees serve
as fiduciaries to the general population of creditors they
represent.  Those committees will also attempt to negotiate the
terms of a consensual Chapter 11 plan -- almost always subject
to the terms of strict confidentiality agreements with the
Debtors and other core parties-in-interest.  If negotiations
break down, the Committee may ask the Bankruptcy Court to
replace management with an independent trustee.  If the
Committee concludes that the reorganization of the Debtors is
impossible, the Committee will urge the Bankruptcy Court to
convert the Chapter 11 cases to a liquidation proceeding.

Based in San Diego, California, Advanced Marketing Services,
Inc. -- http://www.advmkt.com/-- provides customized  
merchandising, wholesaling, distribution and publishing
services, currently primarily to the book industry.  The company
has operations in the U.S., Mexico, the United Kingdom, and
Australia and employs approximately 1,200 people Worldwide.

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Chun I. Jang, Esq., Mark D.
Collins, Esq., and Paul Noble Heath, Esq., at Richards, Layton &
Finger, P.A., represent the Debtors.  When the Debtors filed for
protection from their creditors, they listed estimated assets
and debts of more than US$100 million.  The Debtors' exclusive
period to file a Chapter 11 Plan will expire on Apr. 28, 2007.


AIRONIC AUSTRALIA: Members and Creditors to Hear Wind-Up Report
---------------------------------------------------------------
The members and creditors of Aironic Australia Pty Ltd will meet
on Feb. 9, 2007, at 10:00 a.m., to hear the report of the
company's wind-up proceedings from Liquidator Pino Fiorentino.

The Troubled Company Reporter - Asia Pacific has reported that
the company commenced a wind-up of operations on April 20, 2006.

The Liquidator can be reached at:

         Pino Fiorentino
         c/o Hamiltons
         Chartered Accountants
         Level 17, 25 Bligh Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9232 6611
         Facsimile:(02) 9232 6166

                     About Aironic Australia

Aironic Australia Pty Ltd -- http://www.aironic.com.au-- was  
established in 1980.  The company develops and markets air-
purifying products.  

The company is located in New South Wales, Australia.


B.M.W. PLUMBING: Members Appoint Joint Liquidators
--------------------------------------------------
On Dec. 13, 2006, the members of B.M.W. Plumbing Pty Ltd
appointed Anthony Warner and Cliff Sanderson as joint and
several liquidators.

The Joint and Several Liquidators can be reached at:

         Anthony Warner
         Cliff Sanderson
         CRS Warner Sanderson
         Level 5, 30 Clarence Street
         Sydney, New South Wales 2000
         Australia
         Web site: http://www.crswarnersanderson.com.au

                      About B M W Plumbing

B M W Plumbing Pty Limited provides plumbing, heating, and air-
conditioning services.

The company is located in New South Wales, Australia.


CAMPBELL LUSCOMBE: To Declare First and Final Dividend on Feb. 2
----------------------------------------------------------------
Campbell Luscombe & Associates Pty Ltd, which is subject to a
deed of company arrangement, will declare its first and final
dividend on Feb. 2, 2007.

Creditors are required to submit their proofs of debt by
Jan. 23, 2007, or they will be excluded from sharing in the
dividend.

The deed administrator can be reached at:

         Christopher J. Palmer
         O'Brien Palmer
         Level 4, Currency House
         23-25 Hunter Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9232 3322
         Facsimile:(02) 9232 3388

                    About Campbell Luscombe

Campbell Luscombe & Associates Pty Ltd manages Unit Investment
Trusts, Face-Amount Certificate Offices, and Closed-End
Management Investment Offices.

The company is located in New South Wales, Australia.


CARRIER ELECTRICAL: Final Meeting Slated for January 17
-------------------------------------------------------
The final meeting of the members and creditors of Carrier
Electrical Services Pty Ltd will be held on Jan. 17, 2007, at
11:00 a.m., to consider the liquidator's account of the
company's wind-up proceedings.

According to the Troubled Company Reporter - Asia Pacific, the
company was placed under members' voluntary liquidation on
Dec. 15, 2005.

The liquidator can be reached at:

         Michael G. Jones
         c/o Jones Partners
         Chartered Accountants
         Insolvency and Business Recovery
         Level 13, 189 Kent Street
         Sydney, New South Wales
         Australia
         Telephone:(02) 9251 5222

                    About Carrier Electrical

Carrier Electrical Services Pty Ltd is engaged with electrical
work.

The company is located in New South Wales, Australia.


CONSTELLATION BRANDS: Affirms Joint Venture with Grupo Modelo
-------------------------------------------------------------
Crown Imports LLC, a beer importation and marketing joint
venture owned by Grupo Modelo, S. A. de CV and Constellation
Brands, Inc., disclosed that joint venture is operational as
scheduled.  The joint venture will import to the United States
these brands from Grupo Modelo:

   -- Corona Extra,
   -- Corona Light,
   -- Negra Modelo,
   -- Modelo Especial and
   -- Pacifico

in addition to Tsingtao from China and St. Pauli Girl from
Germany.

This marks the first time since the 1978 introduction of Grupo
Modelo brands into the U.S. that they have been imported and
marketed by a single entity.

The Crown Imports LLC joint venture is headquartered in Chicago
and will be led by Bill Hackett, formerly president of
Constellation's Barton Beers, and it will have a board of
directors half from Grupo Modelo and half from Constellation
Brands.  The joint venture's Internet Web site is at
http://www.crownimportsllc.com/

                       About Grupo Modelo

Founded in 1925, Grupo Modelo is the leader in the production
and marketing of beer in Mexico, with 62.8% of the total
(domestic and export) market share, as of Dec. 31, 2005.  The
company has seven brewing plants in Mexico, with a total annual
installed capacity of 60 million hectoliters.  Grupo Modelo
currently brews and distributes 12 brands; Corona Extra, the
number one Mexican beer in the world, Corona Light, Modelo
Especial, Victoria, Pacifico, Negra Modelo among others. The
company exports five brands with a presence in more than 150
countries, and it is the exclusive importer of Anheuser-Busch
products in Mexico.

                  About Constellation Brands

Constellation Brands, Inc. (NYSE:STZ, ASX:CBR), --
http://www.cbrands.com/-- is an international producer and   
marketer of beverage alcohol brands with a broad portfolio
across the wine, spirits and imported beer categories.  Well-
known brands in Constellation's portfolio include: Almaden,
Arbor Mist, Vendange, Woodbridge by Robert Mondavi, Hardys,
Goundrey, Nobilo, Kim Crawford, Alice White, Ruffino, Kumala,
Robert Mondavi Private Selection, Rex Goliath, Toasted Head,
Blackstone, Ravenswood, Estancia, Franciscan Oakville Estate,
Inniskillin, Jackson-Triggs, Simi, Robert Mondavi Winery,
Stowells, Blackthorn, Black Velvet, Mr. Boston, Fleischmann's,
Paul Masson Grande Amber Brandy, Chi-Chi's, 99 Schnapps,
Ridgemont Reserve 1792, Effen Vodka, Corona Extra, Corona Light,
Pacifico, Modelo Especial, Negra Modelo, St. Pauli Girl,
Tsingtao.   The company has operations in Australia, New Zealand
and Japan.

                          *     *     *

Moody's Investors Service assigned a Ba2 rating to Constellation
Brands, Inc.'s new US$3.5 billion secured credit facility, which
replaced its US$2.9 billion secured credit facility.  The US$1.3
billion incremental add-on facility, which was proposed at the
time of the Vincor International Inc. acquisition announcement,
was never executed and the rating has been withdrawn.  
Constellation's existing ratings are not affected by these
actions, and have been affirmed.  The ratings outlook remains
negative.  Ratings affirmed:

   * US$200 million 8.625% senior unsecured notes, due 2006, Ba2
   * US$200 million 8% senior unsecured notes, due 2008, Ba2
   * GBP 80 million 8.5% senior unsecured notes, due 2009, Ba2
   * GBP 75 million 8.5% senior unsecured notes, due 2009, Ba2
   * US$250 million 8.125% senior sub. notes, due 2012, Ba3
   * Ba2 Corporate Family Rating
   * The SGL-2 Speculative Grade Liquidity rating


CONSTELLATION BRANDS: Posts US$1.5B Sales for Qtr. Ended Nov. 30
----------------------------------------------------------------
Constellation Brands, Inc., reported record net sales of US$1.5
billion for the quarter ended Nov. 30, 2006.  Net sales were up
18% over prior year, primarily due to the June 5, 2006,
acquisition of Vincor International Inc., and from growth in the
base business.  Branded business net sales grew 18%.  This
increase was due to the addition of Vincor and four% growth for
branded business organic net sales on a constant currency basis.

"Strong imported beer performance, growth from branded wine in
North America, and the addition of Vincor generated solid
results for the quarter," said Richard Sands, Constellation
Brands chairman and chief executive officer.  "We continue to be
very optimistic about our portfolio's long-term growth
potential, although our third quarter results reflect ongoing
softness in our U.K. branded wine business as very challenging
market conditions persist."

              Third Quarter 2007 Financial Highlights
               (in millions, except per share data)

                Reported       Change    Comparable      Change
Operating
income          US$236          +7%         US$279         +15%

Operating
margin           15.7%       -180 bps        18.6%      -50 bps

Net income      US$108          -1%         US$139         +13%
Diluted EPS     US$0.45         -2%        US$0.58         +12%

                      Net Sales Commentary

Branded wine net sales growth reflects the addition of Vincor
and a 1% decrease in branded wine organic net sales on a
constant currency basis.  Organic growth of branded wine for
North America was more than offset by a decrease in Europe.

Net sales of branded wine for North America increased 29% due to
the Vincor acquisition and four% growth in the base business.  
Branded wine net sales for Australia/New Zealand increased nine%
due to Vincor and a decrease of two% in the base business.  Net
sales of branded wine for Europe increased four% (negative
three% on a constant currency basis) reflecting the addition of
Vincor and a decrease of nine% in the base business (negative
16% on a constant currency basis).

The decrease in Europe was primarily in the U.K., reflecting
lower volumes and the impact of the large retailers benefiting
from a highly competitive environment, particularly given the
availability of low cost bulk Australian wine.  Additionally,
competitive conditions have not allowed the annual U.K. duty
increase to be passed on to retailers.  The company believes
this situation is unlikely to change in the near term, and
Constellation continues to focus on increasing its operating
efficiencies in this intensely competitive market.

There are signs that the industry could see a firming of the
Australian bulk wine market.  In Australia, ongoing drought and
late spring frost could reduce the wine grape harvest by
approximately 15 to 25% in 2007 according to industry
projections, versus the large 2006 harvest. The effects of
ongoing drought conditions may also impact the size of the 2008
harvest.  Significant reductions in the 2007 and 2008 harvests
could impact the oversupply and may result in firming prices for
Australian bulk wine.

Organic net sales for wholesale and other increased 6% on a
constant currency basis, primarily from growth in the company's
U.K. wholesale business.

The 16% increase in imported beers net sales was primarily due
to volume growth in Constellation's Mexican beer portfolio,
which includes:

   -- Corona Extra,
   -- Corona Light,
   -- Pacifico,
   -- Modelo Especial and
   -- Negra Modelo,

as well as growth in the St. Pauli Girl brand.

"Constellation's imported beer business delivered strong third
quarter growth as consumers continued to trade up in the
category, and both the bottle supply and inventory levels for
Corona Extra and Corona Light improved during the quarter,"
stated Mr. Sands.  "Crown Imports LLC, the joint venture formed
by Constellation Brands and Grupo Modelo to import and market
beer in the United States and Guam, commenced operations on Jan.
2, 2007, and the transition to a single importer and marketer is
progressing as planned."

Total spirits net sales increased four% for third quarter 2007.  
Investments behind the company's premium spirits brands helped
drive a 6% increase in branded spirits, while contract
production services decreased 7%.

"We continue to build our premium spirits portfolio with focus
on our investment brands including Effen Vodka, Cocktails by
Jenn and Ridgemont Reserve 1792 bourbon, and priority growth
brands such as Black Velvet Canadian whisky, Meukow cognac and
Chi-Chi's prepared cocktails," said Mr.
Sands.

     Operating Income, Net Income, Diluted EPS Commentary

For third quarter 2007, operating income increased primarily due
to the acquisition of Vincor, as well as growth in the base
business.  The company incurred US$4.4 million of stock-based
compensation expense for third quarter 2007 related to the
company's March 1, 2006, adoption of Statement of Financial
Accounting Standards No. 123(R), "Share-Based Payment".  The
recognition of stock compensation expense reduced operating
income growth by approximately two percentage points.  For the
quarter, the company also recorded approximately US$1.0 million
for its share of start-up and transition expenses related to
building out the infrastructure in the eastern United States for
Crown Imports LLC joint venture.

Wines segment operating margin decreased 70 basis points.  This
is primarily due to competitive U.K. market conditions that have
made it difficult for the company to pass along the annual duty
increase and the impact of lower U.K. sales on fixed cost
absorption.  The impact of these factors was somewhat offset by
synergies and mix benefit from the Vincor acquisition.  Beers
and spirits segment operating margin declined 140 basis points
for the quarter, primarily due to higher transportation costs
for imported beers, increased material costs for spirits and
higher spending behind premium spirits.

Interest expense increased 52% to US$73.1 million for third
quarter 2007, primarily due to the financing of the Vincor
acquisition and higher average interest rates.  The reported
effective tax rate for third quarter 2007 was 37.7% compared
with 39.4% for third quarter 2006.  The comparable basis
effective tax rate was 36.1% for third quarter 2007 versus 39.3%
for the prior year period.

                       Stock Repurchases

During third quarter 2007, the company purchased approximately
652,000 shares of its class A common stock at an aggregate cost
of US$18 million, or at an average cost of US$27.65 per share.  
This completes purchases under the company's previously
announced US$100 million share repurchase program.

"We continue to harvest opportunities from our existing
portfolio, new product development, strategic partnerships and
acquisitions," explained Mr. Sands.  "We are evaluating
strategic options to address challenges in the U.K. market and
strengthen our long-term position, while we maintain our focus
on improving efficiency.  Our commitment to improving upon
Constellation's leadership position in beverage alcohol and
creating shareholder value, while increasing our return on
invested capital, is unwavering.  Opportunities such as our
acquisition of Vincor expand and complement Constellation's
portfolio breadth and geographic and distribution scale, and we
are pleased with the performance of the Vincor brands, as well
as with the seamless integration of Vincor operations into
Constellation's international footprint.  Additionally, we are
encouraged and optimistic about the growth potential for our
Crown Imports beer joint venture in fiscal 2008 and beyond.  We
believe there continue to be opportunities to harvest additional
long-term growth and value creation," concluded Mr. Sands.

                            Outlook

Primarily due to the increasingly competitive U.K. market
conditions, the company has revised its fiscal 2007 comparable
basis diluted EPS outlook to US$1.65 to US$1.70 from the
company's previous estimate of US$1.72 to US$1.76.

Full-year fiscal 2007 guidance includes these assumptions:

   -- Net sales growth: low double digit to low teens;

   -- Interest expense: approximately US$265 million;

   -- Stock compensation expense: approximately US$18 million;

   -- Tax rate: approximately 39.2% on a reported basis, which
      includes a provision of 2.3% primarily related to the sale
      of Strathmore water and the Fiscal 2007 Wine Plan, or
      36.9% on a comparable basis

   -- Weighted average diluted shares outstanding: approximately
      240 million; and

   -- Free cash flow: US$155 - US$175 million.

                   About Constellation Brands

Constellation Brands, Inc. (NYSE:STZ, ASX:CBR), --
http://www.cbrands.com/-- is an international producer and   
marketer of beverage alcohol brands with a broad portfolio
across the wine, spirits and imported beer categories.  Well-
known brands in Constellation's portfolio include: Almaden,
Arbor Mist, Vendange, Woodbridge by Robert Mondavi, Hardys,
Goundrey, Nobilo, Kim Crawford, Alice White, Ruffino, Kumala,
Robert Mondavi Private Selection, Rex Goliath, Toasted Head,
Blackstone, Ravenswood, Estancia, Franciscan Oakville Estate,
Inniskillin, Jackson-Triggs, Simi, Robert Mondavi Winery,
Stowells, Blackthorn, Black Velvet, Mr. Boston, Fleischmann's,
Paul Masson Grande Amber Brandy, Chi-Chi's, 99 Schnapps,
Ridgemont Reserve 1792, Effen Vodka, Corona Extra, Corona Light,
Pacifico, Modelo Especial, Negra Modelo, St. Pauli Girl,
Tsingtao.   The company has operations in Australia, New
Zealand, and Japan.

                          *     *     *

Moody's Investors Service assigned a Ba2 rating to Constellation
Brands, Inc.'s new US$3.5 billion secured credit facility, which
replaced its US$2.9 billion secured credit facility.  The US$1.3
billion incremental add-on facility, which was proposed at the
time of the Vincor International Inc. acquisition announcement,
was never executed and the rating has been withdrawn.  
Constellation's existing ratings are not affected by these
actions, and have been affirmed.  The ratings outlook remains
negative.  Ratings affirmed:

   * US$200 million 8.625% senior unsecured notes, due 2006, Ba2
   * US$200 million 8% senior unsecured notes, due 2008, Ba2
   * GBP 80 million 8.5% senior unsecured notes, due 2009, Ba2
   * GBP 75 million 8.5% senior unsecured notes, due 2009, Ba2
   * US$250 million 8.125% senior sub. notes, due 2012, Ba3
   * Ba2 Corporate Family Rating
   * The SGL-2 Speculative Grade Liquidity rating


CONSTELLATION BRANDS: Crown Imports Starts Scheduled Operation
--------------------------------------------------------------
Constellation Brands and Grupo Modelo, S. A. de C. V.'s owned
beer importation and marketing joint venture, Crown Imports LLC,
reported that it is operational as scheduled.

The joint venture will import to the United States the Corona
Extra, Corona Light, Negra Modelo, Modelo Especial and Pacifico
brands owned by Grupo Modelo, in addition to Tsingtao from China
and St. Pauli Girl from Germany.

Crown Imports disclosed that its operation marks the first time
since the 1978 introduction of Grupo Modelo brands into the U.S.
that they have been imported and marketed by a single entity.

                    About Crown Imports

Headquartered in Chicago, Ill. Crown Imports LLC
-- http://www.crownimportsllc.com/-- is a beer importation and  
marketing joint venture owned by Constellation Brands and Grupo
Modelo, S. A. de C. V.  Bill Hackett, former president of
Constellation's Barton Beers, will lead the company.  The
company will have a board of directors half from Grupo Modelo
and half from Constellation Brands.

                       About Grupo Modelo

Founded in 1925, Grupo Modelo (MX: GMODELOC) produces and
markets beer in Mexico, with 62.8% of the total (domestic and
export) market share, as of Dec. 31, 2005.  The company has
seven brewing plants in Mexico, with a total annual installed
capacity of 60 million hectoliters.  Grupo Modelo currently
brews and distributes 12 brands; Corona Extra, the number one
Mexican beer in the world, Corona Light, Modelo Especial,
Victoria, Pacifico, Negra Modelo among others.  The company
exports five brands with
a presence in more than 150 countries, and it is the exclusive
importer of Anheuser-Busch products in Mexico.

                   About Constellation Brands

Constellation Brands, Inc. (NYSE:STZ, ASX:CBR), --
http://www.cbrands.com/-- is an international producer and   
marketer of beverage alcohol brands with a broad portfolio
across the wine, spirits and imported beer categories.  Well-
known brands in Constellation's portfolio include: Almaden,
Arbor Mist, Vendange, Woodbridge by Robert Mondavi, Hardys,
Goundrey, Nobilo, Kim Crawford, Alice White, Ruffino, Kumala,
Robert Mondavi Private Selection, Rex Goliath, Toasted Head,
Blackstone, Ravenswood, Estancia, Franciscan Oakville Estate,
Inniskillin, Jackson-Triggs, Simi, Robert Mondavi Winery,
Stowells, Blackthorn, Black Velvet, Mr. Boston, Fleischmann's,
Paul Masson Grande Amber Brandy, Chi-Chi's, 99 Schnapps,
Ridgemont Reserve 1792, Effen Vodka, Corona Extra, Corona Light,
Pacifico, Modelo Especial, Negra Modelo, St. Pauli Girl,
Tsingtao.   The company has operations in Australia, New
Zealand, and Japan.

                          *     *     *

Moody's Investors Service assigned a Ba2 rating to Constellation
Brands, Inc.'s new US$3.5 billion secured credit facility, which
replaced its US$2.9 billion secured credit facility.  The US$1.3
billion incremental add-on facility, which was proposed at the
time of the Vincor International Inc. acquisition announcement,
was never executed and the rating has been withdrawn.  
Constellation's existing ratings are not affected by these
actions, and have been affirmed.  The ratings outlook remains
negative.  Ratings affirmed:

   * US$200 million 8.625% senior unsecured notes, due 2006, Ba2
   * US$200 million 8% senior unsecured notes, due 2008, Ba2
   * GBP 80 million 8.5% senior unsecured notes, due 2009, Ba2
   * GBP 75 million 8.5% senior unsecured notes, due 2009, Ba2
   * US$250 million 8.125% senior sub. notes, due 2012, Ba3
   * Ba2 Corporate Family Rating
   * The SGL-2 Speculative Grade Liquidity rating


CURZON STREET: Undergoes Wind-Up Proceedings
--------------------------------------------
At a general meeting held on Dec. 22, 2006, the members of
Curzon Street Pty Ltd resolved to voluntarily wind up the
company's operations and appointed Mark Allen Hatherly and Paul
Andrew Fahey as liquidators.

The Liquidators can be reached at:

         Mark Alan Hatherly
         Paul Andrew Fahey
         NorthCorp Accountants
         Chartered Accountants
         109 William Street, Port Macquarie
         Australia
         Telephone:(02) 6583 1166

                       About Curzon Street

Curzon Street Pty Ltd -- trading as Port Macquarie Tiles -- is a
dealer of lumber and other building materials.

The company is located in New South Wales, Australia.


EMINENT FINANCIAL: Members to Receive Liquidator's Account
----------------------------------------------------------
The members of Eminent Financial Group Pty Ltd will meet on
Feb. 7, 2007, at 9:00 a.m., to receive Liquidator Paul Driver's
final accounts and explanation of his report regarding the
company's wind-up proceedings.

As reported by the Troubled Company Reporter - Asia Pacific, the
company entered voluntary liquidation on June 15, 2006.

The Liquidator can be reached at:

         Paul Driver
         c/o Hardwicke's
         Chartered Accountants
         6 Phipps Close, Deakin ACT 2600
         Australia

                     About Eminent Financial

Eminent Financial Group Pty Limited provides investment advice.

The company is located in Manuka, ACT, Australia.


FOXCORP FINANCIAL: Final Meeting Fixed for February 9
-----------------------------------------------------
A final meeting of the members and creditors of Foxcorp
Financial Services Pty Ltd, which is in liquidation, will be
held on
Feb. 9, 2007, at 10:00 a.m.

During the meeting, Liquidator Pino Fiorentino will present an
account of the company's wind-up proceedings and property
disposal exercises.

The Liquidator can be reached at:

         Pino Fiorentino
         c/o Hamiltons
         Chartered Accountants
         Level 17, 25 Bligh Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9232 6611
         Facsimile:(02) 9232 6166

                    About Foxcorp Financial

Foxcorp Financial Services Pty Ltd operates Federal and
Federally sponsored Credit Agencies.

The company is located in New South Wales, Australia.


NRG ENERGY: Closes Sale of Red Bluff & Chowchilla II Power Plant
----------------------------------------------------------------
NRG Energy, Inc., completed the sale of the Red Bluff and
Chowchilla II power plants to an entity controlled by Wayzata
Investment Partners LLC for an undisclosed sum.

Both of these northern California-based facilities are natural
gas-fueled, with a generating capacity of 45 MW and 49 MW,
respectively. NRG continues to maintain a presence in southern
California, focusing its resources in this region on
redeveloping its coastal plants, including its El Segundo,
Encina and Long Beach plants.

                         About NRG Energy

Headquartered in Princeton, New Jersey, NRG Energy, Inc. owns
and operates power generating facilities, primarily in Texas and
the northeast, south central and western regions of the United
States.  NRG also owns generating facilities in Australia,
Brazil, and Germany.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
November 14, 2006, Fitch Ratings assigned a rating of 'B+/RR3'
on NRG Energy's issuance of US$1.1 billion senior notes due
2011. This issue will rank equally with NRG's other senior
unsecured obligations.  The Rating Outlook is Stable.


SIMPRO PTY: Members Agree to Shut Down Business
-----------------------------------------------
On Dec. 13, 2006, the members of Simpro Pty Ltd met and resolved
to voluntarily wind up the company's operations.

In this regard, Nathan Lea was appointed as liquidator.

The Liquidator can be reached at:

         Nathan Lea
         142 Oxford Street, Woollahra
         New South Wales
         Australia

                        About Simpro Pty

Simpro Pty Limited is an investor relation company.

The company is located in New South Wales, Australia.


STONE AGE (NSW): To Declare Priority Dividend on January 12
-----------------------------------------------------------
Stone Age (NSW) Pty Ltd, which is in liquidation, will declare
the first and final dividend for priority creditors on Jan. 12,
2007.

Creditors, who cannot prove their claims by Jan. 11, 2007, will
be excluded from sharing in the dividend distribution.

The liquidator can be reached at:

         Christopher J. Palmer
         O'Brien Palmer
         Level 4, Currency House
         23 Hunter Street
         Sydney, New South Wales 2000
         Australia

                         About Stone Age

Stone Age (NSW) Pty Limited operates investment offices.

The company is located in New South Wales, Australia.


VILLAGE ROADSHOW: Confirms Return of Capital of 15 Cents/Share
--------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
November 14, 2006, the Board of Directors of Village Roadshow
Limited proposed a capital return of 15 cents per ordinary share
and 15 cents per A Class preference share.  This return of
capital is subject to the approval by ordinary and preference
shareholders of a special resolution at a General Meeting on
December 22, 2006, the TCR-AP noted.

On that day, the company's shareholders passed both of the
special resolutions.  Thus, confirming the return of capital of
15 cents per ordinary and preference share with payment expected
on January 17, 2007.  As previously reported, this will cost
approximately AU$39.3 million in cash.

The TCR-AP also noted that a tax ruling has been sought for the
benefit of shareholders to confirm the tax treatment of the
capital return.  The tax ruling may result in all or part of the
15 cents per share capital return being deemed to be an
unfranked dividend for tax purposes.  The return of capital will
not involve the cancellation of any shares and, if approved by
shareholders, is expected to be paid by early January 2007.

The Australian Taxation Office issued a draft class ruling in
accordance with the company's application, pursuant to which,
the ATO advises that no part of the proposed return of capital
will be taken to be a dividend for income tax purposes.

On December 20, 2006, the ATO issued its final Class Ruling
confirming the draft class ruling.

                     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 etter
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
September 18, 2006, that Village Roadshow Limited recorded an
after tax loss of AU$35.1 million for the year ended June 30,
2006, consistent with guidance previously provided by the
Company.  The result compared to a profit re-stated under
Australian Equivalents to International Financial Reporting
Standards of AU$49.3 million for the year ended June 30, 2005.


VILLAGE ROADSHOW: Clarifies Accounting Policy on Borrowing Costs
----------------------------------------------------------------
Village Roadshow Limited advises that it has clarified its
accounting policy in relation to the treatment of borrowing
costs to include the fair value movements of interest rate
derivatives relating to the financing of the film production
division.  The borrowing and related hedging derivatives are
only recourse to and are specific to the film production slate,
the company explains.

Previously these derivatives were marked to market partially
through the Income Statement in accordance with AASB 139.  The
unrealized fair value movement, which would have been recognized
in the 2007 Income Statement is currently reflecting a loss of
approximately AU$13 million based on the fair value movement to
December 31, 2006, Village Roadshow reveals.

These unrealized derivative gains and losses will continue to
fluctuate, however, by the end of the hedging period will net to
zero on a cumulative basis.

The fair value movements on these derivatives were not
previously recognized in accounting for the annual film
portfolio exploitation profit, the company notes.

Following this clarification, which was discussed with the
Company's auditors, the company advises that a component of the
fair value movement will now be treated as a borrowing cost and
included in the film exploitation profit calculation.  Village
Roadshow believes this gives a more relevant and reliable
reflection of the actual film exploitation result on an annual
basis.

                 AU$36 Million NPAT Expected

Previously, Village Roadshow had expectations for the 2007
financial year of a Net Profit after Tax of AU$27 million
including a loss of approximately AU$13 million as a result of
fair value movements.  Following the change in accounting
treatment, Net Profit after Tax is now expected to be
approximately AU$36 million including an approximate AU$4
million unrealized derivative loss (based on the December 31,
2006, fair value movement).  Net Profit after Tax before
accounting for the fair value movements remains unchanged at
approximately AU$40 million.

The change in accounting treatment will also lead to an
amendment of the prior year results from a previously reported
Net Loss after Tax of AU$35.1 million to a Net Loss after Tax of
approximately AU$40.7 million.  Results for the 2006 financial
year excluding the fair value movements remain unchanged.

Final adjusted numbers will be confirmed and disclosed as part
of the company's half year reporting.

                     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 etter 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
September 18, 2006, Village Roadshow Limited recorded an after
tax loss of AU$35.1 million for the year ended June 30, 2006,
consistent with guidance previously provided by the Company.  
The result compared to a profit re-stated under Australian
Equivalents to International Financial Reporting Standards of
AU$49.3 million for the year ended June 30, 2005.


VOTRAINT NO.965: Members Pass Resolution to Wind Up Firm
--------------------------------------------------------
On Dec. 15, 2006, the members of Votraint No.965 Pty Ltd passed
a special resolution to voluntarily wind up the company's
operations.

Accordingly, Mark Cooper was appointed as liquidator.

The Liquidator can be reached at:

         Mark F. Cooper
         Frasers Insolvency Advisory
         Level 5, 99 Elizabeth Street
         Sydney, New South Wales 2000
         Australia

                     About Votraint No 965

Votraint No 965 Pty Limited is an investor relation company.

The company is located in New South Wales, Australia.


WOLLONGONG FABRICATIONS: Schedules Final Meeting on January 16
--------------------------------------------------------------
Wollongong Fabrications Pty Ltd, which is in voluntary
liquidation, will hold a final meeting for its members and
creditors on Jan. 16, 2007, at 10:00 a.m.

During the meeting, the members and creditors will receive the
liquidator's account of the company's wind-up proceedings and
property disposal exercises.

The liquidator can be reached at:

         Albert James Cachia
         Bartlett & Cachia
         Level 1, 13 Victoria Street
         Wollongong, New South Wales 2500
         Australia
         Telephone:(02) 4226 2858

                  About Wollongong Fabrications

Wollongong Fabrications Pty Limited manufactures fabricated
structural metal.

The company is located in New South Wales, Australia.


WOLLONGONG PLANT: Liquidator to Present Wind-Up Report
------------------------------------------------------
Wollongong Plant Hire Pty Ltd, which is in voluntary
liquidation, will hold a final meeting for its members on Jan.
16, 2007, at 10:30 a.m.

At the meeting, Liquidator A. J. Cachia will present a report
regarding the company's wind-up proceedings and property
disposal activities.

The Liquidator can be reached at:

         Albert James Cachia
         Bartlett & Cachia
         Level 1, 13 Victoria Street
         Wollongong, New South Wales 2500
         Australia
         Telephone:(02) 4226 2858

                     About Wollongong Plant

Wollongong Plant Hire Pty Ltd manufactures durable goods.

The company is located in New South Wales, Australia.


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

AGRICULTURAL BANK: Gets Nod to Set Up Venture with French Firm
--------------------------------------------------------------
The Agricultural Bank of China has obtained regulatory approval
to set up a fund venture with Credit Agricole Asset Management
and Aluminum Corp of China, Forbes Business reports.

Forbes, citing a report from the China Securities Journal, notes
that the joint venture will have registered capital of CNY100
million.

Agricultural Bank will hold a controlling stake of 51.33% in the
venture, while Credit Agricole and Chalco will take 33.67% and
15% respectively, the report added.

The fund venture is expected to launch before the end of June
2007.

                          *     *     *

The Agricultural Bank of China -- http://www.abocn.com/-- is  
the mainland's fourth largest bank.  It has lagged behind other
major Chinese commercial banks, which have received government
injections of new capital and been allowed to link up with
foreign partners in preparation for raising money on foreign
stock exchanges.

Despite posting operating profits of over CNY42.4 billion in
2005, the Bank is still carrying billions of dollars in unpaid
loans to state companies, which it says accounted for 26% of its
lending at the end of last year.

The Troubled Company Reporter - Asia Pacific reported on June
27, 2006, that the National Audit Office found accounting
irregularities involving CNY51.6 billion, CNY14.27 billion of
which come from deposit business, CNY27.62 billion from loan
grants, and CNY9.72 billion from fraudulent bill issuance.

Fitch Ratings gave the Bank an 'E' Individual rating.


BANK OF HUALIEN: TRC Alters Rtg to 'twR' After Regulatory Action
----------------------------------------------------------------
On January 9, 2007, Taiwan Ratings Corp revised its long-term
credit rating on Enterprise Bank of Hualien to 'twR' from 'twBB'
after a task force from Central Deposit Insurance Corp., under
the instruction of the Financial Supervisory Commission, took
full control of the bank on Jan. 5, 2007.  

The 'twR' rating reflects the extension of regulatory
supervision due to Hualien Bank's failure to execute a
recapitalization plan designed to meet the minimum requirement
for regulatory capital.

Based on the Act for the Establishment and Administration of the
Financial Restructuring Fund, and primarily to ensure a stable
financial system in Taiwan, the regulator is entitled to take
over the operations of financially weak banks.

The regulator acted because of rising concerns about Hualien
Bank's financial profile, particularly its capitalization, which
has deteriorated significantly over the past 15 months due to
rapid growth in the level of its impaired assets.  The bank's
net worth turned negative in the third quarter of 2005 and
declined to negative NT$2.7 billion at the end of November 2006.

Its official BIS ratio stood at negative 17.7% at the end of
November 2006, well below the regulatory minimum requirement of
8%.  The situation would be far more serious if potential credit
costs were also taken into consideration.

The future credit profile of Hualien Bank will depend on the
result of an auction to sell off the bank that the regulator is
likely to undertake after evaluating its debts and assets.  
Under the Act for the Establishment and Administration of the
Financial Restructuring Fund, the regulator is allowed to
utilize the Financial Restructuring Fund to support the bank's
ability to fulfill its deposit and non-deposit obligations.

An obligor rated 'twR' is under regulatory supervision owing to
its financial condition.  During the pendency of the regulatory
supervision the regulator may have the power to favor one class
of obligations over others or pay some obligations and not
others.


FOSUN INTERNATIONAL: Moody's Withdraws Ba2 Corp. Family Rating
--------------------------------------------------------------
Moody's Investor Service on January 8, 2007, has withdrawn its
Ba2 corporate family rating of Fosun International Ltd for
business reason.

Fosun International Ltd, headquartered in Shanghai, was
established in 2005 as the holding company of the Fosun Group.  
Fosun's history dates back to 1992 when four entrepreneurs
founded it as a real estate agency.  The company is now one of
China's largest privately owned conglomerates, engaged in steel,
property, pharmaceutical and retailing in China.

On December 16, 2005, the Troubled Company Reporter - Asia
Pacific reported that Moody's Investor Service has assigned a
Ba2 corporate family rating to Fosun International Ltd.  The
outlook on the rating was stable.


GREAT CHINESE: Fitch Pulls Individual Rating Down to E from D/E
---------------------------------------------------------------
On January 8, 2007, Fitch Ratings lowered Taiwan-based Great
Chinese Bills Finance Corporation's Individual rating to 'E'
from 'D/E' and, at the same time, placed all the company's other
ratings on Rating Watch Evolving.

The rating actions follow the company being taken under custody
jointly by state-controlled Taiwan Cooperative Bank and Cathay
United Bank on January 7, 2007, as per the directive of Taiwan's
Financial Supervisory Commission.

The ratings placed under RWE are as follows:

   -- Issuer Default rating 'B+';
   -- National Long-term 'BB+(twn)';
   -- Short-term foreign currency 'B';
   -- National Short-term 'B(twn)';
   -- Support '4';

GCBF suffered an acute liquidity crisis after its affiliates,
China Rebar Company and Chia Hsin Food & Synthetic Fiber
Company, filed for corporate reorganization on January 4, 2007.

CRC and CHFSC are members of the Rebar corporate group, which
owns 60% of GCBF mainly through The Chinese Bank.  RWE signifies
that ratings may be affirmed, raised or lowered.  It is probable
that the FSC will direct large state-controlled banks to acquire
GCBF after settling the company's liquidity crisis suggesting
that the eventual outcome will be credit positive.

The downgrade of GCBF's Individual rating reflects the company's
weakened capital position as a result of exposure to its
affiliates and the liquidity problems triggered by the failure
of its group shareholder.

Fitch has long considered GCBF's credit profile as highly risky
given its high credit exposure to affiliates and significant
problem assets.  As at H106, GCBF's total guarantee exposure to
affiliates totaled NT$1.5 billion and accounted for 44% of its
total net worth, well in excess of the regulatory limit of 35%.  
It is possible that these exposures to affiliates are under
reported.

Despite the reported capital adequacy ratio at 29% at end-H106,
GCBF would have barely any capital left if the credit exposures
to its related parties, non-performing loans and unamortised NPL
losses are fully discounted.

GCBF's Support rating of '4' reflects Fitch's expectation of a
moderate probability of full and timely government support for
the company, if needed, and ensures a minimum IDR of 'B'.  The
FSC has so far arranged full support to honor GCBF's commitments
and meet its liquidity needs.

GCBF was founded in 1998 as the last entrant to Taiwan's bills
finance industry.  It is the smallest bills finance corporation
and has asset size of NT$14.3billion and equity of NT$3.3billion
at end-H106.  It is 49.7%-owned by The Chinese Bank, which
itself suffered a bank run and was put under custody by Taiwan's
Financial Restructuring Fund on 6 January 2007 following the
emergence of the Rebar corporate group's latest financial woes.

The Chinese Bank was formerly rated Individual 'E' and Support
'4'; these ratings were withdrawn on October 27, 2006.


INTERNATIONAL ELECTRICAL: Court Sets Wind-Up Hearing for Feb. 14
----------------------------------------------------------------
The High Court of Hong Kong will hear a wind-up petition against
International Electrical Engineering Company Ltd on Feb. 14,
2007, at 9:30 a.m.

Hang Seng Bank Ltd filed the petition with the Court on Dec. 11,
2006.

Hang Seng's solicitors can be reached at:

         Li, Kwok & Law
         Units 1204-06
         Man Yee Building
         68 Des Voeux Road, Central
         Hong Kong


KAM YUEN: Liquidator to Present Wind-Up Report on January 31
------------------------------------------------------------
A final general meeting of the members of Kam Yuen Building
Supplies Ltd will be held on Jan. 31, 2007, at 10:00 a.m.

During the meeting, Liquidator Ng Kam Wan will present a report
of the company's wind-up proceedings and property disposal
exercises.

The Liquidator can be reached at:

         Ng Kam Wan
         21/F, Fee Tat Commercial Centre
         No. 613 Nathan Road, Kowloon
         Hong Kong


KERRY-GLORY: Creditors Must Prove Debts by February 8
-----------------------------------------------------
Creditors of Kerry-Glory Investments Ltd are required to submit
their proofs of claim to Liquidator Leung Shiu Tong by Feb. 8,
2007, or they will be excluded from sharing in any distribution
the company will make.

According to the Troubled Company Reporter - Asia Pacific, Leung
Shiu Tong was appointed as the company's liquidator on Dec. 20,
2006.

The Liquidator can be reached at:

         Leung Shiu Tong
         16/F, Jonsim Place
         228 Queen's Road East
         Wanchai, Hong Kong


KWAN KEE: Court Orders Wind-Up
------------------------------
Kwan Kee Frozen Meat Company Ltd received a wind-up order from
the High Court of Hong Kong on Dec. 20, 2006.

The Troubled Company Reporter - Asia Pacific has reported that
Kingsley (Hong Kong) Ltd filed the wind-up petition with the
Court on Oct. 18, 2006.


LILAC LTD: Members to Receive Wind-Up Report on February 6
----------------------------------------------------------
The members of Lilac Ltd will meet on Feb. 6, 2007, at 2:30
p.m., to receive a report of the company's wind-up proceedings
from Liquidator Kong Chi How Johnson.

The Liquidator can be reached at:

         Kong Chi How, Johnson
         25/F, Wing On Centre
         111 Connaught Road, Central
         Hong Kong


MORNING SIGNAL: Members Pass Resolution to Wind Up Firm
-------------------------------------------------------
On Dec. 28, 2006, the members of Morning Signal Development Ltd
passed a special resolution to voluntarily wind up the company's
operations.

Accordingly, Wong Tak Shing was appointed as liquidator and was
authorized to divide the company's assets.

The Liquidator can be reached at:

         Wong Tak Shing
         Flat A, 2/F Tung Tai Building
         Nos. 118-124 Main Street East
         Shaukiwan, Hong Kong


OUTMATCHING TELECOM: Creditors to Hear Wind-Up Report on Jan. 30
----------------------------------------------------------------
The members and creditors of Outmatching Telecommunications Ltd
will meet on Jan. 30, 2007, at 10:00 a.m. and 10:30 a.m.,
respectively, to receive a report of the company's wind-up
proceedings from Liquidator Yeung Tak Chun.

The Liquidator can be reached at:

         Yeung Tak Chun
         Room 1903, 19/F
         World-Wide House
         19 Des Voeux Road, Central
         Hong Kong


PETROLEOS DE VENEZUELA: To Ink Partnership Deals with Petrobras
---------------------------------------------------------------
Brazil's state-oil firm, Petroleo Brasileiro, and Petroleo de
Venezuela expect to sign partnership accords this month that
would cover investments of more than US$2 billion in major
areas, Omar Lugo at El Universal reports.

According Petroleo Brasileiro's International Area Director
Nestor Cervero, the partnership would run from 2007 to 2012, El
Universal says.  The two state firms have been negotiating big
projects for years but none of which has materialized.

The pacts are expected to be signed during the Mercosur summit
in Brazil on the 18th and 19th of this month.  

El Universal says the agreements could include joint ventures
for exploitation of Block Carabobo I at Venezuela's Orinoco oil
belt and gas drilling in deep waters and the creation of other
four joint ventures for exploitation of mature wells.

Block Carabobo I is expected to pump over 200,000 barrels of oil
per day in 2008 and 2009.  The oil field has proven reserves of
more than nine billion barrels.   

Oil from Block Carabobo I will be refined at the Abreu Lima
refinery, a US$2.8 billion joint venture of Petroleo Brasileiro
and Petroleos de Venezuela, which is expected to begin operatins
in 2011, El Universal relates.

                    About Petroleo Brasileiro

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp-
- was founded in 1953.  The company explores, produces, refines,
transports, markets, distributes oil and natural gas and power
to various wholesale customers and retail distributors in
Brazil.

                  About Petroleos de Venezuela

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.


SHANGHAI PUDONG: Fiscal Year 2006 Net Profit Increases 31%
----------------------------------------------------------
The Shanghai Pudong Development Bank net profits reached CNY3.35
billion in 2006, up 31% over 2005, the bank's statement said.

Earnings rose 17.76% from CNY0.653 in 2005 to CNY0.769 per share
in 2006.

The bank's net asset value per share -- calculated by dividing
the total net assets value by its outstanding shares -- was
CNY5.67, up 38.97% while return on equity was 13.56%, 2.44
percentage points lower than that in 2005.

                          *     *     *

A nationwide commercial bank with a registered capital of
CNY3.915 billion, Shanghai Pudong Development Bank Co., Ltd --
http://www.spdb.com.cn/-- established in October 1992,  
officially opened in January 1993 and listed in the Shanghai
Stock Exchange in November 1999.  By the end of 2005, SPDB has
set up 350 branches in 41 cities across Mainland China.

On August 15, 2006, the Troubled Company Reporter - Asia Pacific
reported that Fitch Ratings affirmed the bank's Individual D/E
rating.  According to Fitch, the action reflects the bank's weak
credit profile, including sizeable under-capitalization and weak
asset quality relative to peers.

The recent failure of the bank's non-tradable share reform
proposal has placed negative pressure on its rating, as
additional capital cannot be raised until the reform is
completed.  SZDB's capital adequacy improved in 2005, with the
bank's total capital adequacy ratio rising to 3.7% from 2.3% the
prior year.  However, this ratio remains well below the
regulatory requirement of 8%.


SMILE RICE: Members' Final Meeting Slated for January 31
--------------------------------------------------------
The final meeting of the members of The Smile Rice Company Ltd
will be held on Jan. 31, 2007, at 2:30 p.m., to consider
Liquidator Yuen Shu Tong's account of the company's wind-up
proceedings.

The Troubled Company Reporter - Asia Pacific has reported that
the company's creditors were required to submit their proofs of
claim on Sept. 11, 2006.

The Liquidator can be reached at:

         Yuen Shu Tong
         3/F, Malaysia Building
         50 Gloucester Road
         Wanchai, Hong Kong


STAR ASSETS: Creditors' Proofs of Debt Due on January 29
--------------------------------------------------------
Joint Liquidators Natalia Seng Sze Ka Mee and Cynthia Wong Tak
Yee require the creditors of Star Assets Property Ltd, which is
in liquidation, to submit their proofs of debt by Jan. 29, 2007.

Failure to comply with the requirement will exclude a creditor
from sharing in any distribution the company will make.

The Joint and Several Liquidators can be reached at:

         Natalia Seng Sze Ka Mee
         Cynthia Wong Tak Yee
         Level 28, Three Pacific Place
         1 Queen's Road East
         Hong Kong


STORAGETEK NORTH: Creditors' Proofs of Claim Due on Feb. 8
----------------------------------------------------------
Liquidator Brian Knott requires the creditors of Storagetek
North Asia Ltd to submit their proofs of claim by Feb. 8, 2007.

Failure to prove debts will exclude a creditor from sharing in
any distribution the company will make.

The Liquidator can be reached at:

         Brian Knott
         31B, Royal Court
         3 Kennedy Road, Mid Levels
         Hong Kong


TOP POWER: Court Issues Wind-Up Order
-------------------------------------
The High Court of Hong Kong issued a wind-up order for Top Power
Group Holdings Ltd on Dec. 20, 2006.

As reported by the Troubled Company Reporter - Asia Pacific,
Winco (Asia) Ltd filed the petition against the company.  The
petition was heard on Dec. 6, 2006.


ZHONGYU (HOLDINGS): Faces Wind-Up Proceedings
---------------------------------------------
A petition to wind up Zhongyu (Holdings) Company Ltd will be
heard before the High Court of Hong Kong on Feb. 14, 2007, at
9:30 a.m.

Hang Seng Bank Ltd filed the petition with the Court on Dec. 11,
2006.

Hang Seng's solicitors can be reached at:

         Li, Kwok & Law
         Units 1204-06
         Man Yee Building
         68 Des Voeux Road, Central
         Hong Kong


* Chinese Auditors Reveal Illegal Practices in Financial Firms
--------------------------------------------------------------
China's National Audit Office pinpointed 55 people involved in
37 illegal activities at the Bank of China, the Bank of
Communications, and the China Merchants Bank, Xinhua News
reports, citing Li Jinhua, auditor general of CNAO.

Mr. Li, however, did not reveal how much money was involved in
the illegal activities.

The three banks have all "made considerable progress in
establishing modern corporate systems" but management loopholes
still exist, Mr. Li told Xinhua News citing troubles such as
rising non-performing loans and high risk loans for road
building in some branches of the three banks.

Xinhua News recounts that the National Audit Office launched a
nationwide audit campaign on 1,114 state-owned and state-
controlled financial institutions in 2006.  Their complete audit
report is not yet available.

In 2006, auditors in Hebei, Shanxi, Henan, Guangdong, Xinjiang
and Sichuan have also audited a large number of rural credit
cooperatives, securities dealers, and commercial banks.  The
audit found that three financial institutions in Guangdong
Province have misused a total of CNY300 million and mismanaging
a total of CNY200 million, the paper adds.  

Authorities in Shanxi Province point at falsely reported profits
and losses, widespread non-performing loans and wrongful
lending, as some of the most common practices.

Mr. Li also disclosed that another audit campaign will be
launched by the CNAO to examine the assets and liabilities of
the National Development Bank, the Agricultural Bank of China,
the China Everbright Bank, PICC Property and Casualty Co. Ltd.
and China Reinsurance Co.

Further, the CNAO will investigate the disposal of non-
performing assets by the country's four asset management
companies -- Huarong, Cinda, Great Wall and Orient -- to prevent
losses of state assets, Xinhua News says.

The auditing of 6,997 state-owned enterprises in 2006 discovered
evidence of 14 illegal activities, involving CNY1 billion and 57
people, the paper notes.

In addition, local audit authorities investigated 1,324 company
executives uncovering illegal activities involving CNY910
million and handed over 22 people to judicial departments.

The auditors also audited 34,000 government and Communist Party
officials, leading to the discovery of CNY5 billion in misused
funds, and the handover 116 suspects to judicial departments,
Xinhua News reveals.


* Listed Companies Under CSRC Prove Fund Misuse
-----------------------------------------------
The China Securities Regulatory Commission started its
investigation into the fund misappropriation issues of 17 listed
Chinese companies, which include Sanjiu Medical & Pharmaceutical
Co., China Textile Machinery Co. and Hebei Baoshuo Co.,  
Xinhuanet News reports.

The 17 companies failed to recover the CNY9.2 billion of debt by
their controlling shareholders before the deadline, the end of
2006 a spokesman of the CSRC told the paper.

Those who misappropriated funds in these companies will be
prosecuted under the law, the spokesman added.  

According to Xinhuanet, 36 companies failed to meet the
deadline, involving a total of CNY14.6 billion of
misappropriated funds.  However, the other 19 companies have
come out with a plan to recover the money, escaping the
investigation.

In 2006, 402 companies listed on the Shanghai and Shenzhen
bourses recovered CNY33.57 billion misappropriated by their
controlling shareholders, the paper recounts.  
The CSRC issued an ultimatum to listed companies in October
2005, requiring them to recover misappropriated funds by the end
of 2006, Xinhuanet News notes.

The recovery campaign was aimed to improve the quality of the
country's 1,400 listed companies and safeguard the interests of
shareholders.  Misappropriation of large sums by controlling
shareholders has been a major problem afflicting China's
burgeoning stock markets, Xinhuanet News relates.


=========
I N D I A
=========

AES CORP: Joins Electric Drive Transportation Association Board
---------------------------------------------------------------
The AES Corp. has joined the Electric Drive Transportation
Association or EDTA, and Robert Hemphill, Executive Vice
President of AES, will serve as AES' representative on the EDTA
Board of Directors.  EDTA is the industry association
representing battery, hybrid and fuel cell transportation
technologies and supporting infrastructure.

AES joins four energy companies on the EDTA Board, which also
includes auto manufacturers, component suppliers, and other
industry organizations.

"AES is committed to meeting a growing market need for
alternative energy resources and technologies," said Robert
Hemphill.  "We see electric drive as a practical way to meet our
transportation needs while also supporting the environment.  We
are pleased to join the Board of EDTA and to work with all of
EDTA's members to support the use of electric transportation."

"Electric drive technology is an indispensable part of the
effort to create a secure and sustainable energy future," said
EDTA President Brian Wynne.  "AES' leadership on the Board will
accelerate EDTA's efforts in Washington, DC and throughout our
industry."

AES plans to invest in excess of US$1 billion over the next
three years in the alternative energy sector, including power
wind generation, global climate change and liquefied natural
gas. Through its global climate change business, AES is
targeting the production of up to 40 million tonnes per year of
emission offset credits by 2012.

                           About EDTA

EDTA is the preeminent U.S. industry association dedicated to
the promotion of electric drive as the best means to achieve the
highly efficient and clean use of secure energy in the
transportation sector.  As a unified voice for the electric
drive industry, EDTA's membership includes a diverse
representation of vehicle and equipment manufacturers, energy
providers, component suppliers and end users.  EDTA supports the
sustainable commercialization of all electric drive
transportation technologies by providing in-depth information,
education, industry networking, public policy advocacy and
international conferences and exhibitions.

                         About AES Corp.

AES Corporation -- http://www.aes.com/-- is a global power
company.  The company operates in South America, Europe, Africa,
Asia and the Caribbean countries.  Generating 44,000 megawatts
of electricity through 124 power facilities, the company
delivers electricity through 15 distribution companies.

The company has presence in India, China and Sri Lanka.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Oct. 20, 2006, Moody's Investors Service's downgraded its B1
Corporate Family Rating for AES Corporation in connection with
the implementation of its new Probability-of-Default and Loss-
Given-Default rating methodology.  Additionally, Moody's revised
its probability-of-default ratings and assigned loss-given-
default ratings on the company's loans and bond debt obligations
including the B1 rating on its senior unsecured notes 7.75% due
2014, which was also given an LGD4 loss-given default rating,
suggesting noteholders will experience a 55% loss in the event
of a default.


AFFILIATED COMPUTER: Annual Stockholders' Meeting Set for June 7
----------------------------------------------------------------
Affiliated Computer Services Inc. reported that its Board of
Directors has determined that the company's 2006 Annual Meeting
of Stockholders will be held on June 7, at a time and place to
be disclosed in the company's notice of annual meeting and proxy
statement.

Stockholders of record at the close of business on
April 13, 2007, -- the record date established by the Board of
Directors -- will be entitled to vote at the 2006 Annual
Meeting.
    
Stockholders are entitled to present proposals for action at
future meetings if they comply with Affiliated Computer's bylaws
and the requirements of the proxy rules promulgated by the US
Securities and Exchange Commission.  To be eligible for
inclusion in Affiliated Computer's proxy statement, which will
be sent to stockholders in connection with the 2006 Annual
Meeting, a stockholder proposal must be sent to:

          William L. Deckelman, Jr.
          Corporate Secretary
          Affiliated Computer Services, Inc.
          2828 North Haskell Avenue
          Dallas, Texas, 75204,

The proposal must be presented no later than Jan. 19, 2007.  

A proposal that is not included in the proxy statement to be
properly brought before the 2006 Annual Meeting by a
stockholder, must be delivered to Mr. Deckelman no later than
Jan. 19, 2007.  The foregoing time limits also apply in
determining whether notice is timely for purposes of rules
adopted by the SEC relating to the exercise of discretionary
voting authority with respect to proxies.

Headquartered in Dallas, Texas, Affiliated Computer Services,
Inc., (NYSE: ACS) -- http://www.acs-inc.com/-- provides  
business process outsourcing and information technology
solutions to commercial and government clients.  The company's
global presence include operations in China, Brazil, Dominican
Republic, India, among others.

                          *     *     *

As reported in the Troubled Company Reporter on Nov. 29, 2006,
Standard & Poor's Ratings Services kept its ratings for
Affiliated Computer, including the 'B+' corporate credit rating,
on CreditWatch, where they were placed with negative
implications on Sept. 29, 2006.

Fitch Ratings assigned its BB issuer default rating, BB senior
secured revolving bank credit facility rating, BB senior secured
term loan rating, and BB senior notes rating on Affiliated
Computer Services, Inc.  The rating outlook is negative.


GENERAL MOTORS: Reports 11.8% Market Share in China
---------------------------------------------------
General Motors Corp. sets new marks for sales and market share
in mainland China in 2006.

Buoyed by record demand for all six brands offered by GM and its
joint ventures, the automaker and its domestic operations sold
876,747 vehicles in mainland China, which was about 208,000
units more than in 2005.  This represented growth of 31.8% from
2005 and was ahead of estimated industry growth of around 24%.  
It took GM's market share in mainland China to an estimated
11.8%.

SAIC-GM-Wuling led the way, with sales of its family of mini-
vehicles rising 36.5% on an annual basis to 460,155 vehicles.  
Sales of products from Shanghai GM rose 26.8% on a year-on-year
basis to 412,791 units.

"Vehicle sales continued to outpace most projections as a result
of unprecedented consumer demand for passenger cars," GM China
Group President and Managing Director Kevin Wale said.  "While
demand was particularly strong in the small car segment, nearly
all passenger car segments experienced growth.

"GM took advantage by introducing a series of new products under
all six of our brands sold locally, in the process expanding
what was already the broadest vehicle lineup in the
marketplace," Mr. Wale added.

Since 2002, when SAIC-GM-Wuling was formed, sales of GM and its
joint ventures have grown an average of 34.9% annually and GM's
market share has risen by 4.3 percentage points.  GM's local
product lineup has grown as well, to about 30 different models.

In 2006, sales of GM's flagship brand in China, Buick, increased
24.9% on an annual basis to 304,230 units.  Buick benefited from
new vehicles such as the LaCrosse premium sedan, which
registered sales of 52,021 units in its first year on the
market.  In addition, established products such as the Excelle,
Buick's best-selling model, and the GL8, China's first family of
executive wagons, enjoyed continued strong sales.

GM's most popular global brand and its most affordable passenger
car brand in China also performed well.  Chevrolet sales topped
100,000 units for a second consecutive year, rising 36.8% on an
annual basis to 145,392 vehicles.  The brand's best-selling
model in China in 2006 was the Spark mini-car built and marketed
by SAIC-GM-Wuling, which sold 40,015 units.  It was followed by
the Lova small car from Shanghai GM, which sold 36,893 units in
just its first year on the market.

Cadillac, GM's luxury nameplate, experienced growing demand for
its four products, the CTS premium sedan, SRX medium luxury
utility vehicle, XLR luxury roadster and new Escalade luxury
SUV.  Cadillac began taking orders for the new SLS luxury sedan,
which was designed especially for China and will go into
production at Shanghai GM in the first quarter of 2007.

The Wuling brand of mini-commercial vehicles and minivans
enjoyed sales growth of 35.4% in 2006 to 420,140 vehicles.  The
brand benefited from the ongoing popularity of the Sunshine
minivan, which accounted for 69.6% of total sales, and the
unveiling of two new products: the PSN crew cab pickup and Hong
Tu minivan.

"In response to what we expect to be continued double-digit
market growth, GM and our joint ventures will invest an average
of US$1 billion per year in our domestic operations through
2010," according to Mr. Wale.

"In 2007, we plan to roll out about 10 new and upgraded
products," he added.  "Like the Buick LaCrosse, Cadillac SLS and
Chevrolet Lova, many of our new offerings are being engineered
for the local market by the Pan Asia Technical Automotive
Center.  Our aim is to stay ahead in this critical market for
General Motors by offering local consumers the products and
services that they want when they want them."

                      About General Motors

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- the
world's largest automaker, has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 317,000
people around the world.  It has manufacturing operations in 32
countries, including India, and its vehicles are sold in 200
countries.

                          *     *     *

Standard & Poor's Ratings Services, on Dec. 13, 2006, affirmed
its 'B' corporate credit rating and other ratings on General
Motors Corp. and removed them from CreditWatch with negative
implications, where they were placed on March 29, 2006.

As reported in the Troubled Company Reporter - Asia Pacific on
Nov. 16, 2006, Moody's Investors Service assigned a Ba3, LGD1,
9% rating to the proposed US$1.5 Billion secured term loan.  The
term loan is expected to be secured by a first priority
perfected security interest in all of the US machinery and
equipment, and special tools of GM and Saturn Corporation.


INDIAN OIL: Ranked India's Biggest Co. by Business Standard
-----------------------------------------------------------
Indian Oil Corporation Ltd has been ranked as India's biggest
company by Business Standard in the ranking declared in their
December 2006 issue of the magazine.  It is ahead of the number
two company by quite a distance.

In its latest 'BS 1000' list of India's corporate giants, Indian
Oil is the number one company "with consolidated net sales of
INR162,418 crore."  Indian Oil ranked fourth in net profit,
second in assets ranking, and eleventh in market capitalization.

Indian Oil is the only Indian company with net sales of over
INR1,00,000 crore for six years in a row.  Indian Oil remains
the biggest Indian company; not surprising considering its 147th
position in Fortune 500 and that it is the 18th largest
petroleum company in the world.

Apart from sales, the 'BS 1000' ranking lists companies based on
operating profit, cash profit, dividend per share, assets, net
worth and market capitalization, etc.  Come rain or shine, the
public sector companies continue to dominate the top ranks of BS
1000 with Indian Oil continuing to occupy the top slot. Indian
Oil remains the lone INR1-trillion company with net sales of
INR1.62 trillion.

Headquartered in New Delhi, Indian Oil Corporation Ltd --
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.


KARNATAKA BANK: Board Names TS Vishwanath as Additional Director
----------------------------------------------------------------
Karnataka Bank Ltd informed the Bombay Stock Exchange that the
bank's board of directors named T S Vishwanath, Senior Partner,
Vishwanath Singh & Associates, Chartered Accountants, New Delhi
as Additional Director.

The board made the appointment at a meeting held on Jan. 05,
2007.

As reported in the Troubled Company Reporter - Asia Pacific on
Dec. 4, 2006, Dr. N Seshagiri resigned as the bank's director.

Headquartered in Mangalore, India, Karnataka Bank Ltd --
http://karnatakabank.com/ktk/Index.jsp-- provides products and  
services for business and personal purposes that include
borrowing facilities, deposits, providing optimum returns on
surplus funds or helping with overseas transactions.  The bank
has two business segments: Treasury and Other Banking
Operations. Treasury Operations mainly comprise of surplus
statutory liquidity ratio and non-SLR investments.  Other
Banking Operations mainly consist of advance portfolio of the
bank and SLR securities to the extent of SLR requirements.  The
bank provides Working Capital Finance, Term Loans and
Infrastructure Finance.  The Business Finance Products offers
both fund-based and non-fund-based products.  The bank has
diversified into the marketing of life insurance products of
MetLife India Insurance Co. Pvt. Ltd.  The Bank has entered into
a memorandum of understanding with Bajaj Allianz General
Insurance Co. Ltd. for distribution of its general insurance
products through its branches.

Fitch Ratings gave Karnataka Bank a support rating of 5.


KOTAK MAHINDRA: Scheme of Arrangement Hearing Set on Feb. 2
-----------------------------------------------------------
Kotak Mahindra Bank Ltd informed the Bombay Stock Exchange that
the Honourable Judge would convene a hearing on Feb. 2, 2007, to
consider a petition for sanctioning the Scheme of Arrangement
between the bank and its subsidiary Kotak Mahindra Capital
Company Ltd, and their respective shareholders and creditors.

Pursuant to the Scheme, the trading and principal department of
KMCC will be demerged from the unit and will be merged back to
the bank.

The bank presented the petition on Dec. 6 and was admitted by
the Honourable High Court of Bombay on Dec. 15.

As reported in the Troubled Company Reporter - Asia Pacific on
Dec. 22, the bank's members approved by requisite majority the
Scheme.  The bank's board of directors gave its nod on the
Arrangement in late September.

Headquartered in Mumbai, India, Kotak Mahindra Bank Limited --
http://www.kotak.com/-- is a commercial bank.  The Commercial
Banking segment includes money market, forex market, derivatives
and investments; wholesale borrowings and lendings and services;
retail borrowings covering savings and current accounts and
banking branch network and services, and commercial vehicle
finance, personal loans, home loans, agriculture finance and
other loans/services.  Corporate Centre segment includes
strategic investment and activities.  Car Finance segment offers
car financing.  Broking segment includes brokerage related to
secondary market transactions, services rendered in connection
with primary market subscription mobilization.  Investment
Banking segment includes advisory and transactional services
providing financial advisory services.  Trading/Principal
Investments segment includes dealing in debt, equity, money
market and loans/deposits.  Insurance segment offers life
insurance.  Others segment includes forex broking, asset
management services and others.

Fitch Ratings assigned a '5' Support rating to Kotak Mahindra


LML LTD: Names RK Arora as Alternate Director
---------------------------------------------
LML Ltd has informed the Bombay Stock Exchange that Ramesh Kumar
Arora of Jaipur has been appointed as Alternate Director to
Shiromani Sharma, an Independent Director of the Company.

LML' board agreed on the change in directorate at its meeting on
Dec. 30, 2006.

Mr. Arora's appointment is with immediate effect.

Headquartered in Kanpur, India, LML Limited manufactures
scooters and motorcycles.  The LML NV, manufactured with
Piaggio, is a scooter that is loaded with features such as a
large taillight, cushioned backrest, improved handlebar design
and speedometer, a utility box and a large glove compartment.
The Company's motorcycles, which are made in collaboration with
Daelim of Korea, feature a three-valve, 109-cubic centimeter
engine, a long wheelbase and broad tires.  The Energy FX model
features a four-speed gearbox, while the Adreno FX sports a
five-speed unit.  The bikes come in a large variety of colors
offer other features such as disc brakes and electronic
ignition.

As reported in the Troubled Company Reporter - Asia Pacific, LML
disclosed that its board of directors, at a meeting on Sept. 8,
2006, has decided that LML has become a sick industrial company
under Sick Industrial Companies (Special Provisions Act) 1985.


NTPC LTD: To Set Up US$500-Mil. Plant in Sri Lanka with CEB
-----------------------------------------------------------
NTPC Ltd signed a memorandum of agreement with Ceylon
Electricity Board and the Government of Sri Lanka to set up of a
500 MW coal based thermal power plant at Trincomalee in Sri
Lanka, a company press release states.

According to NTPC, the thermal-plant project will involve an
investment of US$500 million and would be implemented by a joint
venture company.  The JV will be formed by NTPC and CEB, with
each holding 50% in the venture.

"Being a coal based power plant the cost of generation is
expected to be substantially lower by about 50% of the power
generation being done now by diesel and other liquid fuel," the
release states.   "NTPC will adopt state of the art technology
to make the plant environmentally benign."

Headquartered in New Delhi, India, NTPC Limited --
http://www.ntpc.co.in/-- formerly known as National Thermal   
Power Corporation Limited, is engaged in generation and sale of
bulk power.  It operates in two business segments: Generation
and Other business.  The company is also engaged in providing
consultancy, project management and supervision, oil and gas
exploration and coal mining.  NTPC Limited operates coal
stations and gas stations.

On February 2, 2005, Standard and Poor's Ratings Service gave
NTPC Ltd's long-term foreign issuer credit a BB+ rating.


NTPC LTD: To Bid for Blocks in Australia; Looks for Bid Partner
---------------------------------------------------------------
NTPC Ltd will bid for offshore gas blocks offered in Australia,
reports The Financial Express.

According to the newspaper, the move was brought about by the
constraints in gas procurement.

Australia has put on offer 36 gas blocks in the Commonwealth
waters, the paper relates.  

Citing NTPC sources, the paper said that the company intends to
carry out an exploratory study with Michigan-based Oil Ex, which
is involved in consulting, drilling, well management and site
restoration.

NTPC will need to tie up with other entities with a background
in the petroleum sector since according to the paper's sources,
the company had no technical capability.  

"[T]he company would continue to look for partners with
expertise in exploration and production, and considerable of
knowledge the LNG business in Australia and other countries,"
the paper states citing the NTPC sources.  "NTPC will also
explore the possibility of tying up with an oil and gas public
sector firm."

Headquartered in New Delhi, India, NTPC Limited --
http://www.ntpc.co.in/-- formerly known as National Thermal   
Power Corporation Limited, is engaged in generation and sale of
bulk power.  It operates in two business segments: Generation
and Other business.  The company is also engaged in providing
consultancy, project management and supervision, oil and gas
exploration and coal mining.  NTPC Limited operates coal
stations and gas stations.

On February 2, 2005, Standard and Poor's Ratings Service gave
NTPC Ltd's long-term foreign issuer credit a BB+ rating.


PUNJAB NATIONAL BANK: Names SR Khurana as New Director
------------------------------------------------------
Punjab National Bank appointed S R Khurana as director on the
bank's board with effect from Jan. 2, 2007, a filing with the
Bombay Stock Exchange reveals.

Mr. Khurana will be representing Chartered Accountant category
under Clause 9(3)(g) of the Banking Companies (Acquisition and
Transfer of Undertakings) Act, 1970.

As reported in the Troubled Company Reporter - Asia Pacific, A S
Agarwal, Government nominee director on the bank's board has
demitted his post on Nov. 24, 2006, after completing his three-
year tenure.

Headquartered in New Delhi, India, Punjab National Bank --
http://www.pnbindia.com/-- is a public-sector commercial bank
in India, offering banking products and services to corporate
and commercial, retail and agricultural customers.  The bank has
expanded its operations to provide products and services to over
36 million customers across India through more than 4,510
branches.  Its banking operations for corporate and commercial
customers include a range of products and services for large-
corporate customers, as well as for small- and middle-market
businesses and government entities.  It also caters to the
financing needs of the agricultural sector and other priority
sectors, including small-scale industries.  Its retail credit
products include home loans, personal loans and automobile
loans.  Through its subsidiaries and joint ventures, the Bank
deals in Indian government securities and provides housing
finance and asset-management services.

Fitch Ratings gave Punjab National Bank a 'D' individual rating
on June 1, 2005


UNIVERSAL CORP: Court Reduces Plaintiff Jury Award to US$1.25MM
---------------------------------------------------------------
Universal Corporation disclosed that a California court has
substantially reduced punitive damages previously awarded to
plaintiffs in the case captioned Rosemary Valladares, et al v.
Madera Quality Nut, Inc., et al.  Compensatory damages awarded
in the case were about US$200,000, and punitive damages have
been reduced by the trial court to approximately US$1.25 million
from the original jury award of US$25 million.  Under this court
order, the total cost to the company and its subsidiaries would
be about US$1.45 million plus a portion of the plaintiffs' legal
costs, in addition to its own legal costs.  The case arose from
an employment matter involving the company's Madera Quality Nut
subsidiary, and was tried in the Superior Court of the State of
California in the County of Madera.

The company is reviewing the final order from the court and
considering its options, which could include appeal.  In the six
months that ended on Sept. 30, 2006, the company accrued an
estimate of the liability, which was not material to its
consolidated financial statements.  The final order does not
exceed the amount accrued.

Based in Richmond, Virginia, Universal Corporation, (NYSE:UVV)
-- http://www.universalcorp.com/-- has operations in tobacco  
and agri-products.  The company, through its subsidiaries, is
one of two leading independent tobacco merchants in the world.  
Universal Corporation's gross revenues for the fiscal year that
ended on March 31, 2006, were approximately US$3.5 billion,
which included US$1.4 billion related to operations that were
sold on Sept. 1, 2006.

The company has operations in India, Brazil, Argentina, the
United States, Guatemala, the Netherlands, Belgium and other
countries in Europe.

The Troubled Company Reporter - Asia Pacific reported on Sept.
29, 2006, that in connection with Moody's Investors Service's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the U.S. Consumer Products,
Beverage, Toy, Natural Product Processors, Packaged Food
Processors and Agricultural Cooperative sectors, the rating
agency confirmed its Ba1 Corporate Family Rating for Universal
Corporation, and downgraded its Ba1 rating to Ba2 on the
company's US$563 million MTN.  Additionally, Moody's assigned an
LGD5 rating to the debt obligation, suggesting noteholders will
experience a 73% loss in the event of a default.


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

MARSH & MCLENNAN: Citigroup Upgrades To 'Buy'
---------------------------------------------
Citigroup upgrades Marsh & McLennan Companies from Hold to Buy,
Street Insider reports.

The report cites Citigroup analyst Keith Walsh as saying that
they are raising the rating on MMC to buy and increasing their
price target from US$31 to US$37.

Mr. Walsh also said that the key drivers behind this change is
their increased confidence that Marsh CEO Brian Storms will be
able to revitalize the core insurance brokerage unit; the
expected sale of Putnam; and enhanced cash flows coupled with
debt reduction will lead to a formal share repurchase plan in
2007.

Marsh & McLennan Companies, Inc. -- http://www.mmc.com/-- is a  
global professional services firm with annual revenues of
approximately US$12 billion.  It is the parent company of Marsh,
the world's leading risk and insurance services firm; Guy
Carpenter, the world's leading risk and reinsurance specialist;
Kroll, the world's leading risk consulting company; Mercer, a
major global provider of human resource and specialty consulting
services; and Putnam Investments, one of the largest investment
management companies in the United States.  Approximately 55,000
employees provide analysis, advice, and transactional
capabilities to clients in over 100 countries, including
Indonesia, Australia, China, India, Japan, Korea and Singapore.

                          *     *     *

As reported in the Troubled Company Reporter on Aug. 25, 2006,
Standard & Poor's Ratings Services assigned its preliminary
'BBB' senior debt, 'BBB-' subordinated debt, and 'BB+' preferred
stock ratings to Marsh & McLennan's unlimited universal shelf.
Standard & Poor's also affirmed its 'BBB' counterparty credit
rating on MMC.  The outlook in negative.

As reported in the Troubled Company Reporter - Asia Pacific on
Sept. 29, 2006, Moody's Investors Service assigned provisional
ratings to Marsh & McLennan's new universal shelf registration,
including a (P)Ba1 rating on the Company's provisional preferred
stock.  The rating outlook for MMC remains negative.


PT PETRTAMINA: To Apply "Zero Critical Depot" Program
-----------------------------------------------------
Pertamina will apply a "zero critical depot" program throughout
Indonesia in an effort to reduce the number of depots running
short of fuel oil stocks, Antara News reports.

According to the report, Pertamina spokesman Toharso said that
the company's board of directors has a commitment to keep fuel
oils in stock to have no oil shortages in the future.  Mr.
Toharso said that the company would carry out the zero critical
depot program at its main units down to the smallest ones to
reduce the number of depots low in fuel oil stocks.

Under the program, Pertamina would supply fuel oil depots to
increase their stocks and to maintain the level of their stocks
at a minimum of at least 75% of the capacity of their tanks,
Antara explains.

Mr. Toharso stated that weather and technical disturbances were
still the main factors Pertamina was facing in distributing fuel
oils in all parts of Indonesia, which cause delays in the
distribution of fuel oil to the depots, the report notes.

Antara recounts that earlier, the head of Pertmina's fuel oil
division, Djaelani Sutomo, said that the number of Pertamina
depots that experienced subsidized fuel oil stock shortages in
2006 was 377, with the shortages occurring an average of 1.03
times per day.  Mr. Djaelani said that of the total, three
depots experienced serious supply shortages, as a consequence of
the shallowing of rivers on which fuel oils usually were
transported during the drought last year.

PT Pertamina (Persero) -- http://www.pertamina.com/-- is a  
wholly state-owned enterprise.  The enactment of Oil and Gas Law
No. 22/2001 in November 2001 and Government Regulation
No.31/2003 has changed its legal status from a special state
owned enterprise into a Limited Liability Company.  In carrying
out its activities, PT Pertamina implements an integrated system
from upstream to downstream.  Pertamina operates seven oil
refineries with a total output capacity of around 1 million
barrels per day.  However, these refineries only cover about
three-quarters of domestic oil demand, with the rest being me by
imports.

In 2003, PT Pertamina finance director Alfred Rohimone disclosed
that the Company's financial condition was in critical condition
because its expenses had surpassed its income due to its
obligation to meet domestic demand with fuel oil bought at
higher prices on the international market.  Mr. Rohimone stated
that with a liquidity position below IDR2 trillion, the Company
was already bleeding.

Despite reporting a net profit of IDR3.03 trillion for the first
six months of 2005, Pertamina's failure to service its financial
obligations was pegged as one of the contributors to Indonesia's
decreased income for the year.

In August 2005, Pertamina's debt to United States firm Karaha
Bodas Company rose from IDR2.54 trillion to IDR2.99 trillion.
The debt had increased when, in 2003, a U.S. court ordered the
Company to pay compensation to KBC, relating to an international
arbitration decision, when the Indonesian Government halted a
geothermal project in Karaha Bodas, East Java.  Since that time,
the debt has steadily risen due to the Company's failure to pay
the compensation immediately.


PERUSAHAAN LISTRIK: New Plants Help Cut Losses in 2006
------------------------------------------------------
PT Perusahaan Listrik Negara has managed to cut its losses to
IDR1.08 trillion in 2006 from IDR4.92 trillion in 2005, The
Jakarta Post reports, citing the company's interim report.

According to the report, while the figures have yet to be
audited, PLN Chief Commissioner Alhilal Hamdi said that the
commencement of operations of the utility's new gas-fired power
plant in Cilegon and a coal-fired power plant in Tanjung Jati
had helped the company reduce its losses, which had doubled in
2005 from IDR2.02 trillion in 2004.

The report cites Mr. Hamdi as adding that PLN could have
achieved more had a problem in gas supplies to the Cilegon Power
Plant not occurred in November 2006.

Mr. Hamdi blames PLN's losses last year on high global crude oil
prices, which reached a peak of US$74 a barrel in August, The
Post relates.  The report points out that the company used oil-
based fuels for 24% of its total power plants in 2006.

The Post notes that PLN's interim report also showed that the
company's earnings before interest, tax and depreciation
increased to US$1.24 billion in 2006, from US$1.02 billion in
2005.

During the shareholders' meeting discussing the company's
interim report, it was also revealed that PLN plans to privatize
subsidiary Indonesian Power in 2007, the report adds.

As reported in the Troubled Company Reporter - Asia Pacific on
Jan. 8, 2007, PLN will sell shares in its three subsidiaries --
PT Indonesia Power, PT Indonesia Comnet Plus, and PT
Pembangkitan Jawa Bali -- through an initial public
offering.

According to the TCR-AP report, a PLN shareholders general
meeting chaired by the deputy state minister of state
enterprises for mining, energy and strategic industries, Roes
Aryawijaya, made the decision on January 4.  In the meeting, it
was decided that the sale of Indonesia Power's, Indonesia
Comnet's, and PJB's shares will be carried out in 2007, 2008,
and 2009, respectively.

Moreover, The Post relates that PLN had earlier said that it
would continue focusing on the construction of new power plants
as part of the Government's crash program to build new non oil-
fired power plants with a total capacity of 10,000 MW by 2009.
The Post adds that the Government's program is expected to help
the company save up to IDR45 trillion in annual fuel costs,
while also serving to meet rising domestic electricity demand.

For this year, the company is setting aside IDR10 trillion to
develop and enhance the existing Java-Bali power grid.
IDR2 trillion of this amount will come from the national budget
and IDR5 trillion from PLN, while the remainder is expected to
come from loans, The Post points out.

Indonesian state utility firm PT Perusahaan Listrik Negara
-- http://www.pln.co.id/-- transmits and distributes  
electricity to around 30 million customers, roughly 60% of
Indonesia's population.  The Indonesian Government decided to
end PLN's power supply monopoly to attract independents to build
more capacity for sale directly to consumers, as many areas of
the country are experiencing power shortages.

PLN posted a IDR4.92-trillion net loss in 2005, against a net
loss of IDR2.02 trillion in 2004.

The Troubled Company Reporter - Asia Pacific reported on Oct. 5,
2006, that Moody's Investors Service has assigned a B1 senior
unsecured rating to PT Perusahaan Listrik Negara's proposed U.S.
dollar bond issuance.  At the same time, Moody's has assigned
its B1 corporate family rating to PLN.  The rating outlook is
stable.

Standard & Poor's Ratings Services also assigned its 'BB-'
foreign currency rating and 'BB' local currency rating to PLN.
The outlook on the ratings is stable.  At the same time,
Standard & Poor's assigned its 'BB-' issue rating to the
proposed U.S. dollar senior unsecured notes issued by PLN's
wholly owned subsidiary, Majapahit Holding B.V.


TELKOMSEL INDONESIA: To Invest US$1.5 Bil. To Enhance Network
-------------------------------------------------------------
PT Telekomunikasi Selular Indonesia plans to expand its network
by building 5,000 new base transceiver stations this year at a
cost of about US$1.5 billion, says The Jakarta Post.

With the new stations, Telkomsel hopes to penetrate every sub
district in Kalimantan and up to 70% of all subdistricts in
Sulawesi, the report relates.

According to The Post, the company currently has 15,000 cellular
stations throughout Indonesia, with a third of them being
installed last year.

The report says that Telkomsel expects the number of cellular
phone users to increase by 25%, but that it is optimistic that
it will be able to pick up 7.5 million to 9 million new users.
Telkomsel's corporate communications manager, Suryo Hadiyanto,
said that about 63% of the country's total population of 240
million is between the ages of 15 and 50 and these people have
an acute sense for technology and a great deal of enthusiasm for
technological developments, the report notes.

The report recounts that Telkomsel invested about US$1.5 billion
in 2006 in expanding its network and added 10.6 million new
users, giving the company a total of 34.9 million customers.

PT Telekomunikasi Selular Indonesia
-- http://www.telkomsel.com/-- is the leading operator of  
cellular telecommunications services in Indonesia by market
share.  By the end of June 2006, Telkomsel had close to 29.3
million customers, which based on industry statistics
represented a market share of more than 50%.

Telkomsel provides GSM cellular services in Indonesia, through
its own nationwide Dual band 900/1800 MHz GSM network, and
internationally, through 259 international roaming partner in
153 countries as of June 2006.  The company provides its
subscribers with the choice between two prepaid cards-simPATI
and kartuAs of a pre-paid simPATI service, or the post-paid
kartuHALO service, as well as a variety of value-added services
and programs.

A Troubled Company Reporter - Asia Pacific report that Fitch
Ratings, on August 18, 2006, upgraded PT Telekomunikasi
Selular's long-term foreign currency issuer default rating to
'BB' from 'BB-'.


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

ALITALIA SPA: Potential Buyers Consult Unions Over Recovery Plan
----------------------------------------------------------------
A group of 16 interested buyers for Alitalia S.p.A. are asking
for a meeting with the company's unions to discuss a recovery
plan for the ailing national carrier, Alessandro Torello and
Sonia Sirletti write for Bloomberg News.

The bidders -- entrepreneurs and bankers, as well as experts in
customer satisfaction, marketing and finance -- sent through
Rome-based law firm Carnelutti invitation letters to five
Alitalia unions, including the Sindacato Unitario Lavoratori dei
Trasporti (SULT) and Federazione Italiana Trasporti (FIT-CISL)
groups.  

Paolo Alazraki, who owns Real Dreams Italy Srl and heads the
bidders, confirmed to Bloomberg News that the meeting was to
present its Alitalia recovery plan to union representatives.

"We will answer the government's call for interest," Mr.
Alazraki was quoted by Bloomberg News as saying.  "We have been
working night and day for four months to prepare a master plan
for the salvage of Alitalia,"

Fabrizio Tomaselli, SULT'S national secretary, revealed that the
bidders' are eyeing to renew Alitalia's the fleet and seek an
alliance partner to expand the carrier "qualitatively and
quantitatively."

Unions have repeatedly criticized the government for failing to
consult them on critical decisions regarding Alitalia S.p.A.

The bidders, however, cancelled the meeting due to unknown
reasons, Bloomberg News reports citing local newspaper Il Sole
24 Ore.

In a TCR-Europe report on Jan. 3, the Italian government
formally launched the bidding process for its 30.1% stake in
troubled national carrier Alitalia S.p.A. on Dec. 29, 2006.

Italy's Ministry of Economy and Finance is inviting interested
parties to submit a non-binding offer for around 30.1% to 49.9%
of Alitalia's capital and 1,207,147,404 convertible bonds of the
carrier's 7.5% 2002-2010 debenture loan.  The sale will take
place through a competitive procedure involving direct
negotiations with potential buyers.

Interested parties, which should have at least EUR100 million in
capital, have until 6:00 p.m. on Jan. 29, 2007, to submit their
written expression of interest to Merrill Lynch International,
the sale advisor.

According to the Ministry, potential buyers will be selected
based on the economic terms of the offers received and an
analysis of the business plans.  The Ministry will also examine
the compatibility of the offers and business plans with the
Alitalia's restructuring, development and relaunch objectives.

The Ministry also outlined mandatory commitments for the buyer
to:

   -- keep at least a 30.1% stake in Alitalia until the business
      plan is successfully carried out:

   -- safeguard Alitalia's national identity; and

   -- guarantee the quality and quantity of services offered and
      coverage of the territory.

Several Italian entrepreneurs are reportedly interested in
Alitalia, The Times reports.  Local bets include:

   -- Carlo Toto, founder of Air One,
   -- Luca di Montezemolo, head of Fiat and Ferrari;
   -- Diego Della Valle, chief of the Tod's shoe empire; and
   -- Banca Intesa and Sanpaolo IMI;

The government aims to complete the process this month.

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- generates around EUR4.8 billion in
annual revenue and employs more than 11,000 people.  Alitalia
flies to about 80 destinations in more than 60 countries,
including Argentina, China, and Japan, from hubs in Rome and
Milan and operates a fleet of about 185 aircraft.  The Italian
government owns 49.9% of Alitalia.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia registered EUR93
million in net profits in 2002 after a EUR1.4 billion capital
injection.  The carrier booked consecutive annual net losses of
EUR520 million in 2003, EUR813 million in 2004, and EUR168
million in 2005.


ALITALIA SPA: Italy Launches Tender Offer for 30.1% Stake
---------------------------------------------------------
The Italian Government formally launched the bidding process for
its 30.1% stake in troubled national carrier Alitalia S.p.A. on
Dec. 29, 2006.

Italy's Ministry of Economy and Finance is inviting interested
parties to submit a non-binding offer for around 30.1% to 49.9%
of Alitalia's capital and 1,207,147,404 convertible bonds of the
carrier's 7.5% 2002-2010 debenture loan.  The sale will take
place through a competitive procedure involving direct
negotiations with potential buyers.

Interested parties, which should have at least EUR100 million in
capital, have until 6:00 p.m. on Jan. 29, 2007, to submit their
written expression of interest to the sale advisor:

         Merrill Lynch International
         Gruppo di Lavoro Alitalia
         Via dei Giardini 4
         20121 Milan
         Italy
         Fax: +39 02 6553 0601
         e-mail: procedura.alitalia@ml.com

The Ministry, however, said that the expression of interest
"will not be the object of evaluation for admission to the
subsequent phases of the procedure."

According to the Ministry, potential buyers will be selected
based on the economic terms of the offers received and an
analysis of the business plans.  The Ministry will also examine
the compatibility of the offers and business plans with the
Alitalia's restructuring, development and relaunch objectives.

The Ministry also outlined mandatory commitments for the buyer
to:

   -- keep at least a 30.1% stake in Alitalia until the business
      plan is successfully carried out:

   -- safeguard Alitalia's national identity; and

   -- guarantee the quality and quantity of services offered and
      coverage of the territory.

The Ministry indicated that if the competitive bidding process
fails, the government would sell its stake via:

   -- public offering,
   -- transactions involving the exchange of securities, or
   -- the sale of option rights.

In a TCR-Europe report on Dec. 13, Italy glued some conditions
to the sale.  The buyer must:

   -- launch a bid to acquire the whole carrier;

   -- keep Alitalia's logo, brand and national identity;

   -- have convincing and detailed business plans and
      commitments, which may include:

         -- a lock-up,
         -- adequate service offering,
         -- territorial coverage, and
         -- information on job levels;

   -- continue to operate out of Milan's Malpensa Airport as
      well as Rome's Fiumicino.

Several Italian entrepreneurs are reportedly interested in
Alitalia, The Times reports.  Local bets include:

   -- Carlo Toto, founder of Air One,
   -- Luca di Montezemolo, head of Fiat and Ferrari;
   -- Diego Della Valle, chief of the Tod's shoe empire; and
   -- Banca Intesa and Sanpaolo IMI;

The government aims to complete the process by January 2007.

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- generates around EUR4.8 billion in
annual revenue and employs more than 11,000 people.  Alitalia
flies to about 80 destinations in more than 60 countries,
including Argentina, China, and Japan, from hubs in Rome and
Milan and operates a fleet of about 185 aircraft.  The Italian
government owns 49.9% of Alitalia.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia registered EUR93
million in net profits in 2002 after a EUR1.4 billion capital
injection.  The carrier booked consecutive annual net losses of
EUR520 million in 2003, EUR813 million in 2004, and EUR168
million in 2005.


ALITALIA SPA: Transport Minister Wary of Air France-KLM Takeover
----------------------------------------------------------------
Alessandro Bianchi, Italy's Transportation Minister, indicated
that he would not be happy if national carrier Alitalia S.p.A.
falls into foreign ownership, United Press International
reports, citing an interview by Radio 24.

Mr. Bianchi said that Air France-KLM plans to convert Alitalia
into a regional feeder for its European operations and claim the
large passenger traffic and big hubs for itself, UPI relays.

In a TCR-Europe report on Nov. 28, Alitalia confirmed that it is
holding talks with Air France over a possible alliance.  
Alitalia, however, said that the talks are "still at an early
stage and not exclusive."

Alitalia noted that it has been cooperating with Air France
under an extensive bilateral cooperation within SkyTeam, of
which both airlines are members, and has implemented since 2002
a cross-shareholding setup.

As reported in the TCR Europe on Dec. 1, airline industry
experts expressed doubts that an Air France takeover would occur
given Alitalia's history of unprofitability, poor management,
labor unrest and political interference.  

"In conclusion, I would not be happy with [the takeover], but I
would adapt to it," Mr. Bianchi was quoted by Radio 24 as
saying.

Meanwhile, local carrier Meridiana S.p.A. is reportedly eyeing
to acquire Alitalia, UPI notes.

As recently reported in the TCR-Europe, the Italian government
formally launched the bidding process for its 30.1% stake in
troubled national carrier Alitalia S.p.A. on Dec. 29, 2006.

Italy's Ministry of Economy and Finance is inviting interested
parties to submit a non-binding offer for around 30.1% to 49.9%
of Alitalia's capital and 1,207,147,404 convertible bonds of the
carrier's 7.5% 2002-2010 debenture loan.  The sale will take
place through a competitive procedure involving direct
negotiations with potential buyers.

Interested parties, which should have at least EUR100 million in
capital, have until 6:00 p.m. on Jan. 29, 2007, to submit their
written expression of interest to Merrill Lynch International,
the sale advisor.

According to the Ministry, potential buyers will be selected
based on the economic terms of the offers received and an
analysis of the business plans.  The Ministry will also examine
the compatibility of the offers and business plans with the
Alitalia's restructuring, development and relaunch objectives.

The Ministry also outlined mandatory commitments for the buyer
to:

   -- keep at least a 30.1% stake in Alitalia until the business
      plan is successfully carried out:

   -- safeguard Alitalia's national identity; and

   -- guarantee the quality and quantity of services offered and
      coverage of the territory.

Several Italian entrepreneurs are reportedly interested in
Alitalia, The Times reports.  Local bets include:

   -- Carlo Toto, founder of Air One,
   -- Luca di Montezemolo, head of Fiat and Ferrari;
   -- Diego Della Valle, chief of the Tod's shoe empire; and
   -- Banca Intesa and Sanpaolo IMI;

The government aims to complete the process this month.

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- generates around EUR4.8 billion in
annual revenue and employs more than 11,000 people.  Alitalia
flies to about 80 destinations in more than 60 countries,
including Argentina, China, and Japan, from hubs in Rome and
Milan and operates a fleet of about 185 aircraft.  The Italian
government owns 49.9% of Alitalia.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia registered EUR93
million in net profits in 2002 after a EUR1.4 billion capital
injection.  The carrier booked consecutive annual net losses of
EUR520 million in 2003, EUR813 million in 2004, and EUR168
million in 2005.


BANK OF FUKUOKA: Moody's Assigns A3 to Fixed Rate Bonds  
-------------------------------------------------------
Moody's Investors Service has assigned A3 rating to The Bank of
Fukuoka, Limited's NZ$375 million fixed rate bonds due 2010.  
The rating outlook for the bonds is stable.

Fukuoka, established in 1945, is the fourth-largest operating
bank among Japan's regional banks in terms of assets.  Fukuoka
has a loan market share in Fukuoka Prefecture of c.30%. Kumamoto
Family is relatively small in asset size but its loan share
stands at c.20% in Kumamoto Prefecture. Including Shinwa's over
30% loan market share in Nagasaki, Fukuoka's market share in
pan-Kyushu would be 20%, and in terms of aggregated assets, the
group will become the largest regional banking group in Japan.

The Troubled Company Reporter - Asia Pacific reported on
Oct. 18, 2006, that Fitch Ratings has affirmed the ratings of
Bank of Fukuoka as follows:

   -- Long-term foreign and local currency Issuer Default
      ratings at 'BBB+' with Positive Outlook;

   -- Short-term foreign and local Currency IDRs at 'F2';

   -- Individual at 'C'; and

   -- Support '2'.

The TCR-AP reported on Oct. 18, 2006, that Moody's Investors
Service has affirmed The Bank of Fukuoka's D+ bank financial
strength rating.


DELPHI CORP: Moody's Rates US$2.49 Bil. 2nd Priority Loan at Ba3
----------------------------------------------------------------
Moody's Investors Service has assigned ratings to Delphi
Corporation's debtor-in-possession refinancing; Ba1 on the 1st
priority tranche, and Ba3 on the 2nd priority term loan.

The ratings are on a point-in-time basis, will not be monitored
going forward, and as a result, do not have an assigned outlook.  

The ratings incorporate Delphi's significantly improved
prospects for emergence from bankruptcy as well as solid
collateral coverage provided by the combination of super-
priority liens and the extent and value of assets pledged.  
Several developments are behind the increased probability of
emergence.  Among these are the progress Delphi has achieved to
date in lowering its domestic cost structure, the establishment
of an agreed framework for the transformation of the company
between Delphi and General Motors Corporation, and the
conditional undertaking of investors to infuse substantial
equity which would facilitate the company's exit from Chapter
11.  While progress has been made on many fronts, certain
substantive details must still be agreed, and, importantly, an
agreement with Delphi's unions on multiple aspects of an
intricate transaction must be reached before court approval for
emergence in accordance with the announced framework could be
requested.  The refinancing is not conditional upon a successful
conclusion between those parties.  The ratings further consider
the ongoing weak performance of Delphi's domestic subsidiaries,
continuing exposure to developments at GM and other N. American
OEMs, and a challenging automotive market anticipated in 2007.

Ratings assigned on a point-in-time basis:

Delphi Corporation as a Debtor-in-Possession

   -- First Priority Revolving Credit Facility for US$1.75
      billion, Ba1

   -- First Priority Term Loan for US$0.25 billion, Ba1

   -- Second Priority Term Loan for US$2.496 billion, Ba3

The new facilities will replace Delphi's existing debtor-in-
possession US$1.75 billion revolving credit and US$0.25 billion
term loan (collectively the 1st priority tranche), and will
refinance roughly US$2.5 billion of pre-petition secured bank
debt that had received adequate protection under earlier
bankruptcy court rulings and was kept current on interest.  The
new transactions, which are being done on a best efforts basis,
would create significant savings for Delphi while it remains in
bankruptcy.  Should the transactions not be fully subscribed,
existing obligations and terms would remain in place.  The new
facilities have a tenor of December 31, 2007 compared to an
existing maturity date of October 8, 2007 on the current
revolving credit and term loan.

The DIP facilities will be guaranteed by substantially all of
Delphi's direct and indirect domestic subsidiaries that filed
for Chapter 11 protection.  All of the 1st priority tranche must
fit under a borrowing base which will consist of eligible
receivables and inventory, a percentage of the net orderly
liquidation value of certain machinery & equipment, and a
percentage of the fair market value of certain real estate.  GM
receivables are subject to a concentration limit.  Similarly,
the component of the borrowing base from fixed assets will be
limited to 30% of total availability.  Generally, the liens are
entitled to a superpriority claim status; include first priority
interests in all unencumbered property of the
borrower/guarantors at the time of its bankruptcy filing as well
as senior liens on assets of the obligors that were subject to
liens of pre-petition secured bank credit facilities.  Notably,
this includes 65% of the stock of first-tier foreign
subsidiaries and intercompany notes held by Delphi.  Delphi's
profitable international subsidiaries are not part of the
bankruptcy proceedings and are not guarantors under the DIP
facilities.

Moody's assessment of risk for DIP facilities addresses two
factors.  The first is the probability of a company successfully
reorganizing and emerging from bankruptcy with DIP indebtedness
being paid in full.  The second, should reorganization be
unsuccessful, is the extent of coverage provided to DIP lenders
by the liquidation value and character of their collateral.
Moody's notes that, while it is now more probable that Delphi
will emerge from bankruptcy, and it has already obtained
agreements which have and will significantly lower its ongoing
domestic wage and benefit expense, incremental improvements and
further agreements between Delphi, GM and the UAW will be
required.  These are necessary to establish a foundation to
achieve a sustainable and viable business model and for Delphi
to avail the equity financing offered by more than one
consortium of investors.

The ratings consider the increased likelihood that Delphi will
emerge from bankruptcy with full repayment of these facilities.
Moody's has assessed Delphi's progress on several principal
issues.  Among these are establishing a competitive hourly wage
and benefit structure in its U.S. manufacturing operations,
lowering its corporate overheads, resolving legacy wage and
benefit issues with GM without jeopardizing commercial
arrangements on attractive business contracts, rationalizing its
portfolio of business units to focus on core strengths and
exiting less profitable segments, and addressing its under-
funded domestic pension obligations.  Several attrition and buy-
out programs have been successfully negotiated in 2006 between
Delphi, GM, the UAW and the IUE-CWA which have already, and will
increasingly going forward, significantly lower the company's
cost structure (e.g. approximately 20,100 U.S. hourly employees
have elected to participate in the programs out of a total of
roughly 29,300 who were eligible to participate).

Notably, Delphi has continued to win new business awards.  More
recently, Delphi has executed a Plan Framework Agreement
involving GM and certain prospective investors and has sought
bankruptcy court approval of an Equity Purchase Commitment.  The
PFA establishes an understanding on how remaining issues
involving GM and Delphi's unions can be resolved but will
require subsequent agreements on many details among multiple
affected parties.  In order for the plans to proceed in
accordance with the EPC and PFA, Delphi will have to deliver a
business plan capable of generating US$2.4 billion of EBITDA.  
Should everything evolve according to these plans, Delphi could
have balance sheet debt at emergence sometime during 2007
(including under-funded pension obligations which could be
reduced by GM's assumption of certain net pension liabilities)
of circa US$8 billion (any use of the DIP's revolving credit
facility would need to be added to that total).  Conceptually,
this would imply debt/EBITDA multiples to facilitate emergence
of under 2 times for the commitments involved in the new DIP
facilities and less than 4 times for the total of pro forma
balance sheet debt.

"The ratings reflect substantial and cumulative progress on many
fronts achieved through these and earlier agreements.  They also
recognize that further undertakings with Delphi's labor unions
and GM must be reached in a relatively short period of time.  
The ratings continue to consider GM's financial condition and
market position as these factors affect concentration concerns
in Delphi's working capital and collateral valuations of its
fixed assets and business units" said Moody's analyst, Ed Wiest.  
For the first nine months of 2006, GM accounted for 57.6% of
Delphi's domestic revenues (45% on a global basis for the first
half of 2006).

The Ba1 ratings on the first tranche facilities flow from their
priority claim on the collateral package and the benefits of a
monitored borrowing base structure which provides solid coverage
from Delphi's more liquid assets.  Currently, the borrowing base
accommodates access to the full amount of the commitments and
produces more than adequate liquidity.  While seasonal patterns
will affect the volume of accounts receivable, generally,
borrowing base availability attributable to defined eligible
accounts receivable will represent around 45% of the
US$2 billion in commitments.  Eligible inventory amounts will
represent roughly another 35%.  Third party appraisals have been
updated to establish net orderly liquidation values of
inventory.  In liquidation, the first priority revolving credit
facility and term loan would be paid ratably.  As a result, the
ratings for the revolving credit and term loan are identical.

The Ba3 rating on the 2nd tranche term loan is driven by its
lower priority claim, its greater dependence in liquidation
scenarios to less liquid assets whose values are more subject to
developments at GM, and the ability of customers to exercise
pre-petition set-off rights against post-petition amounts due
Delphi.  Principally, amounts eligible for set-off in accordance
with the Debtor's existing DIP financing order represent
warranty claims, rank behind the security interests of the first
tranche, but ahead of the 2nd priority term loan.  On a
consolidated basis at June 30, 2006, Delphi had recorded
warranty liabilities of some US$340 million.  In aggregate, set-
off rights are estimated to be up to roughly US$1.15 billion.  
But, the maximum amount the largest claimant may set-off in
accordance with Delphi's existing DIP financing order is
restricted to US$35 million a month.  The final amount of these
set-off rights is subject to further negotiation and would be
dealt with at a prospective end of the bankruptcy case.  
Consequently, recovery rates in liquidation scenarios on the 2nd
tranche will also be impacted by amounts utilized under the 1st
tranche, which will be correlated to Delphi's level of free cash
flow while it remains in Chapter 11, and the extent of these
set-off rights.

Delphi Corporation, headquartered in Troy, MI, is one of the
world's largest suppliers of automotive components and had
annual revenues of approximately US$27 billion in 2005.

Troy, Mich.-based Delphi Corporation -- http://www.delphi.com/
-- is the single largest global supplier of vehicle electronics,
transportation components, integrated systems and modules, and
other electronic technology.  The company's technology and
products are present in more than 75 million vehicles on the
road worldwide.  Delphi has regional headquarters in Japan,
Brazil and France.


DELPHI CORP: Fitch Rates US$2.5 Bil. Second Priority Loan at BB-
----------------------------------------------------------------
Fitch Ratings has assigned an indicative rating of 'BB' to
Delphi Corporation's US$2 billion of 1st priority debtor-in-
possession credit facilities.  Fitch has also assigned an
indicative rating of 'BB-' to Delphi's US$2.5 billion of 2nd
priority DIP.

These are point-in-time ratings and will not be monitored by
Fitch.  The ratings are based on information made available to
Fitch and based on terms and conditions outlined at the time of
the rating.  Fitch will not be updating the rating to reflect
any changes that may take place with respect to the terms and
conditions of the facilities or Delphi's business and
reorganization.

While there have been a number of recent announcements that have
positive implications for Delphi's potential exit from
bankruptcy along with significant progress in reducing its
hourly work force, Fitch's ratings are also materially
influenced by its evaluation of the domestic collateral pledged
to the DIP as well as the value it estimates for the non-filed
subsidiaries.

The DIP facilities benefit from first-priority priming liens,
guarantees from substantially all of the direct and indirect
domestic subsidiaries, and a pledge of 65% of the stock of first
tier foreign subsidiaries.  Fitch considers the enterprise value
of the foreign subsidiaries to be the most valuable source of
the security for the DIP facility and as such, Fitch views the
1st priority DIP facilities as collateralized by nearly
US$6.3 billion of value.  However, General Motors has a right of
setoff claim, which it has asserted has a value of
US$1.15 billion that arises mainly from certain indemnity
obligations and pre-petition payables owing from Delphi to GM.  
Because of GM's right of setoff, Fitch believes that the 2nd
priority term loan has greater risk to recover in a worst case
scenario where liquidation becomes necessary.  In this scenario,
some portion of GM's US$1.15 billion right of setoff could come
ahead of the 2nd priority DIP facilities in priority of
repayment.  However, any priority of GM ahead of the 2nd
priority facilities will be limited to rights in respective of
GM's own post-petition payables.  The 1st priority term loan and
revolving credit will therefore have one notch higher rating
than the 2nd priority term loan.  Furthermore, the illiquid
nature of a portion of these assets and the potential
deterioration in values that could occur in a liquidation
scenario are factors in the rating.

Fitch's DIP ratings reflect the materially negative pro forma
cash flow performance of Delphi's high fixed cost domestic
operations as well as the risk that Delphi may petition the
court to void its current labor contracts to impose management's
terms, which may lead to a retaliatory union labor stoppage.  
The deadline for the Bankruptcy Court ruling regarding the labor
contracts is Jan. 31, 2007.  However, since a protracted strike
at Delphi could have severe consequences for GM, Fitch believes
that GM has significant incentives to contribute to resolving
Delphi's labor issues.  Also, Delphi has successfully completed
a special attrition program, which has reduced high-wage U.S.
hourly union headcount by approximately 20,000 with an
additional 5,000 employees to flow-back to GM.

Fitch also factored into the ratings the expectation that usage
under the DIP revolver has the potential to increase steadily
over the tenor of the facility, in order to finance some of the
remaining employee buy-outs under the SAP and cash interest as
well as offset negative U.S. operating cash flow performance.

Fitch's DIP rating also incorporates Delphi's substantial
critical mass and continued importance to GM, a 25%
concentration cap within the DIP borrowing base calculation for
GM accounts receivables as a percent of total eligible
receivables, and the existence of GM's contingent obligations
with regard to Delphi's legacy costs and the value of its
foreign subsidiaries.  Delphi's overseas operations have
diversified customers and positive cash flow.  While there is no
contractual ability under the U.S. credit agreements to force
repatriation of Delphi's foreign cash while the company remains
a going concern, in a liquidation scenario, Delphi's DIP lenders
could enforce their right to sell the 65% of the stock of first-
tier foreign subsidiaries which is part of their collateral.  
Other positive considerations also include Delphi's technology
assets and growth in non-GM business.

Additionally, Delphi has received private equity proposals that
could facilitate exit from Chapter 11.  Delphi announced on
Dec. 18, 2006 an Equity Purchase and Commitment Agreement and a
Plan of Reorganization Framework at the same time the company
announced the DIP refinancing.  However, while the PRF is
contingent on the EPCA, the DIP refinancing is totally unrelated
and the EPCA and PRF are not contingent upon the completion of
the DIP refinancing.

Troy, Mich.-based Delphi Corporation -- http://www.delphi.com/
-- is the single largest global supplier of vehicle electronics,
transportation components, integrated systems and modules, and
other electronic technology.  The company's technology and
products are present in more than 75 million vehicles on the
road worldwide.  Delphi has regional headquarters in Japan,
Brazil and France.


DELPHI CORP: Highland Capital Offers US$4.7BB Equity Commitment
---------------------------------------------------------------
Highland Capital Management L.P. and certain of its affiliates
and related entities have sent a letter to the Board of
Directors of Delphi Corporation that outlines Highland Capital's
opposition to the proposal by a group of investors led by
Cerberus Capital Management L.P. and Appaloosa Management L.P.
made on Dec. 18, 2006, and offers a superior alternative
proposal and up to a US$4,700,000,000 equity commitment.

Highland Capital believes that, unlike the Appaloosa/Cerberus
deal, its proposal is fair to all groups that currently make up
Delphi's capital structure, allows participation by all equity
holders through a rights offering and will promote good and
independent corporate governance for the company.

Under the Appaloosa/Cerberus deal, Appaloosa, Cerberus, and
other select parties would purchase US$1,200,000,000 in
convertible preferred securities and US$200,000,000 in common
stock that would not be available to other equity holders, in
addition to any unsubscribed shares from a US$2,000,000,000
rights offering.  Highland Capital believes this inside deal
would give Appaloosa and Cerberus disproportionate equity
ownership at the expense of current stockholders and would
immediately deliver a value transfer of approximately
US$1,000,000,000 to the Appaloosa/Cerberus group.  Certain debt
holders would also receive cash and equity worth more than 100
cents on the dollar, also at the expense of the common
stockholders.  In addition, Appaloosa and Cerberus would have
effective control of the board through their right to name six
of the 12 directors of Delphi, including the board's chairman.

Highland Capital does not believe a compressed timeframe is
conducive to the process required for a board of directors to
consider a proposal of this complexity and magnitude.

Highland Capital urges the Delphi Board of Directors to reject
the Appaloosa/Cerberus proposal consistent with its fiduciary
duties.  Under the Highland Capital Proposal:

   * All existing stockholders will be able to participate in
     a US$4,700,000,000 rights offering.  There will be no
     convertible preferred shares.

   * All existing stockholders with more than 0.5% of the
     common shares will have the right to purchase any
     unsubscribed shares in the rights offering.  Highland
     Capital will commit to purchase any shares that remain
     unsubscribed.

   * All debt holders and general unsecured claimants will be
     able to receive par value plus accrued interest.
     Bondholders will also have the option of continuing to
     hold their bonds.

   * The terms as proposed for the negotiated deal between
     General Motors Corporation and Delphi, including cash
     distribution, share allocation and funding of pension
     obligations, will not change.

   * A six-member panel will nominate the company's 12-member
     board.  A majority of the panel will be composed of
     certain participants in the rights offering and a
     representative from the Official Committee of Equity
     Security Holders.  The panel will also include one
     representative from management and one representative from
     GM.

   * Steve Miller and Rodney O'Neal will hold the same
     management positions as in the Appaloosa/Cerberus deal.
     Mr. Miller and Mr. O'Neal will also sit on the board.

   * The exit and DIP financing under the Appaloosa/Cerberus
     deal will not change.

   * Delphi will maintain the same amount of leverage and debt
     as in the Appaloosa/Cerberus deal such that there will be
     no change in the company's credit profile.

Highland Capital believes its commitment should be considered by
the Delphi Board and its financial advisors in an orderly and
contemplative fashion consistent with the Board's fiduciary duty
to exercise due care.  

A full-text copy of Highland Capital's letter sent to the Board
of Directors of Delphi:

     December 21, 2006

     Via Facsimile and Federal Express

     Board of Directors
     Delphi Corporation
     5725 Delphi Drive
     Troy, Michigan 48098


               Proposal and Commitment Letter for up to
                $4.7 Billion Common Equity Commitment

     Gentlemen:

     Highland Capital Management, L.P., is an SEC-registered
     investment adviser specializing in credit, alternative
     investing and equity investments.  Highland Capital
     currently manages approximately $35,000,000,000 in
     leveraged loans, high yield bonds, structured products,
     distressed assets, equity investments and other assets for
     banks, insurance companies, pension plans, foundations, and
     endowments.  Currently, certain of Highland Capital's
     affiliates and related entities collectively are the second
     largest beneficial stockholder in Delphi Corporation with
     aggregate holdings of approximately 8.8% of the currently
     issued and outstanding common stock, par value $0.01 per
     share of Delphi.  Highland Capital has reviewed the
     proposal recently made by Appaloosa Management, L.P.,
     Cerberus Capital Management, L.P., Harbinger Capital
     Partners Master Fund I, Ltd., Merrill Lynch & Co., and UBS
     Securities, LLC, and supported by Delphi.  Highland Capital
     believes that the Appaloosa/Cerberus Proposal is deficient
     and not in the best interests of Delphi and its various
     creditors, stockholders and other parties-in-interest,
     including, most importantly, its common stockholders for a
     number of reasons, including that the existing common
     stockholders would be significantly diluted and are not
     entitled to participate in the entire transaction.

     Highland Capital, on behalf of itself, certain of its
     affiliates and related entities as may be designated(1),
     submits this proposal and commitment for a purchase of
     common equity to Delphi and certain of its United States
     subsidiaries and affiliates that are Chapter 11 Debtors in
     Possession in the United States Bankruptcy Court for the
     Southern District of New York.  We believe this Commitment
     is superior to the Appaloosa/Cerberus Proposal.  We believe
     this Commitment also provides an alternative that is in the
     best interests of the Company and its various creditors,
     stockholders and other parties in interest, including, most
     importantly, its common stockholders.

     Pursuant to this Commitment, the Plan Investor will
     purchase up to $4,700,000,000 of new common stock, par
     value $0.01 per share, of the reorganized Company to
     support the Company's transformation plan announced on
     March 31, 2006, and a plan of reorganization supported by
     the Plan Investor to be filed by the Company and confirmed
     in the Company's Chapter 11 Case No. 05-44481.  Subject to
     the agreement of the Company to file and seek confirmation
     of the Plan, the Plan Investor commits to enter into
     agreements on substantially the same terms and subject to
     the same applicable conditions as those set forth in the
     Equity Purchase and Commitment Agreement and the Plan
     Framework Support Agreement that were filed with the
     Bankruptcy Court on December 18, 2006, except as otherwise
     specified herein.

     Subject to the Company's agreement to move forward with
     respect to this Commitment, the Plan Investor covenants and
     agrees to proceed along a similar path to plan confirmation
     as described in, and proposed by, the filings made with the
     Bankruptcy Court on December 18, 2006, relating to the
     Appaloosa/Cerberus Proposal.

                          Superior Offer

     This Commitment is clearly superior to the
     Appaloosa/Cerberus Proposal and is in the best interests of
     the company and its creditors, stockholders and other
     parties in interest.  This Commitment also maximizes the
     value of the Company and provides significant benefits to
     the Company and its various stakeholders by maintaining
     fairness to all the existing stakeholders in the Company,
     when compared to the Appaloosa/Cerberus Proposal.  Some of
     the benefits of this Commitment include:

          * The ability of the Board of Directors to submit a
            proposal to the Court that is consistent with its
            fiduciary duties to all of its stakeholders and one
            that should ensure the support of the Equity
            Committee in the Chapter 11 cases;

          * The ability of the Company to obtain $4,700,000,000
            of capital without offering a "sweetheart"
            $1,200,000,000 preferred stock deal to the
            Appaloosa/Cerberus Group that significantly dilutes
            the existing stockholders and results in this new
            insider group taking control of the Company through
            its acquisition of almost 30% of the Company's
            equity and its acquisition of veto rights;

          * The ability to proceed with a rights offering that
            does not guarantee an allocation of equity
            (6,300,000 shares) to a control group;

          * The ability to endorse the management of the Company
            as announced on December 18, 2006, while at the same
            time ensuring that this management will report to an
            independent board that is not subject to the
            Appaloosa/Cerberus Group;

          * A transaction that accepts the negotiated deal
            between the Company and General Motors Corporation
            and that should be equally supported by this
            stakeholder and the other statutory committees;

          * A transaction that offers existing stockholders the
            ability to capture the economic value of the
            enterprise, rather than allowing the taking of this
            value by the Appaloosa/Cerberus Group; and

          * A transaction that we believe will be embraced by
            the market because it supports and is reflective of
            the current value of the Company.

                            Commitment

     Subject to the preparation and execution of definitive
     documents reflecting this Commitment as detailed herein,
     the following would be the principal terms under which
     Highland Capital will commit to the equity investment in
     the Company and to support the Plan:

     A. Equity Purchase and Rights Offering

     The Company will conduct a Rights Offering by offering
     and selling shares of its Common Stock to its existing
     stockholders on the terms and subject to the conditions set
     forth in an Equity Purchase and Commitment Agreement to be
     entered into by the Company and the Plan Investor similar
     in form and substance to the one agreed to with the
     Appaloosa/Cerberus Group, except as provided herein.  The
     Plan Investor will purchase any shares of Common Stock that
     are unsubscribed in the Rights Offering up to
     $4,700,000,000 and receive a fee in the amount of 2.5% of
     the Rights Offering.  Subject to compliance with all
     applicable laws, all existing holders of Common Stock
     holding a minimum of 0.5% of the currently issued and
     outstanding shares of Common Stock of the Company will be
     given the option to participate in the Backstop and earn
     their pro-rata share of the Backstop Fee.  As more
     particularly to be set forth in the New Equity Agreement,
     the Rights Offering will provide (i) that the existing
     Stockholders will receive the right to acquire new common
     stock of the Company either as part of confirmation of a
     Plan or subject to the effectiveness of a registration
     statement to be filed with the Securities and Exchange
     Commission, (ii) that the Rights Offering be subject to
     prior approval of the Bankruptcy Court and satisfaction of
     certain other terms and conditions similar in scope to
     those set forth in the Equity Agreement, and (iii) that the
     Rights will entitle the eligible Stockholders to purchase
     their pro rata share of the Common Stock at a discount to
     the anticipated business enterprise value of the
     reorganized Company and would be transferable by the
     original eligible Stockholders.  The Rights Offering may be
     reduced to $4,200,000,000 by the Plan Investor, subject to
     and on the terms specified herein.

     No preferred stock in the reorganized Company will be
     offered or purchased pursuant to this Commitment by
     Highland.

     B. Plan of Reorganization Framework

     The Plan Investor will enter into a Plan Framework Support
     Agreement similar to the Plan Framework Support Agreement
     entered into with the Appaloosa/Cerberus Group, except as
     provided herein.  The New Plan Agreement will outline the
     Company's proposed framework for the Plan and the treatment
     of claims and interests under the Plan will be as follows:

          * All senior secured debt will be refinanced and paid
            in full and all allowed administrative and priority
            claims will be paid in full;

          * Trade and other unsecured claims and unsecured
            funded debt claims will be reinstated pursuant to
            terms satisfactory to the Plan Investor or be
            satisfied in full with cash.  The framework requires
            that the amount of allowed trade and unsecured
            claims not exceed $1,700,000,000;

          * As is the case in the Appaloosa/Cerberus Proposal,
            in exchange for GM's financial contribution to the
            Company's transformation plan, and in satisfaction
            of GM's claims against the Company, GM will receive
            7,000,000 shares of Common Stock in the reorganized
            Company, $2,630,000,000 in cash, and an un-
            conditional release of any alleged estate claims
            against GM.  In addition, as with other customers,
            certain GM claims would flow-through the Chapter 11
            cases and be satisfied by the reorganized Company in
            the ordinary course of business.  Any other terms
            relating to GM as outlined in the Company's
            announcement dated December 18, 2006, will also be
            accepted by Highland; and

          * All subordinated debt claims will be satisfied in
            full with cash.  In the event the Plan Investor
            determines to reduce the Rights Offering to
            $4,200,000,000, the claims of the Preferred Holders
            would be satisfied with $450,000,000 of common stock
            in the reorganized Company, at a deemed value of $45
            per share and the balance in cash.

     As a result of the Plan and the Rights Offering, holders of
     existing equity securities in the Company will effectively
     receive 3,000,000 out of a total of 135,300,000 shares of
     Common Stock in the reorganized Company, at a deemed value
     of $45 per share, and rights to purchase approximately
     125,300,000 shares of Common Stock in the reorganized
     Company for $4,700,000,000 at a deemed exercise price of
     $37.23 per share.  In the event the Plan Investor
     determines to reduce the Rights Offering to $4,200,000,000,
     holders of existing equity will receive rights to purchase
     approximately 115,300,000 shares of common stock in the
     reorganized Company for $4,200,000,000 at a deemed exercise
     price of $36.56 per share.

     C. Refinance of DIP Facility

     Pursuant to the New Plan Agreement, the Plan Investor
     will support the Company with its announced efforts to
     refinance successfully in full its existing $2,000,000,000
     DIP facility and $2,500,000,000 prepetition revolver and
     term loan facilities with JPMorgan Chase Bank, N.A., and
     other lenders as announced by the Company on December 18,
     2006.

     D. Improved Corporate Governance Structure

     Because no preferred stock in the reorganized Company
     possessing veto rights will be issued and there will be no
     transfer of control pursuant to this Commitment, the common
     equity holders will be protected from a corporate
     governance perspective post-confirmation of the Plan.  The
     executive management team as announced on December 18,
     2006, will be left in place post-confirmation.  Highland
     Capital will also accept the terms of the
     Appaloosa/Cerberus Proposal that the Company be governed by
     a 12 member Board of Directors, 10 of whom would be
     independent directors and two of whom would be the new
     executive chairman and a new chief executive officer
     and president.

     However, with respect to the appointment of post-
     confirmation directors, a board selection panel of six
     members will be created to choose the members of the
     reorganized Company Board.  The Panel will consist of the
     Plan Investor and a maximum of two other significant
     stockholders of the reorganized Company, one representative
     from GM, one management representative, and one
     representative from the Equity Committee.  This Panel will
     provide representation by all significant stakeholders,
     without granting control of this process to the
     Appaloosa/Cerberus Group.

     Similar to the Appaloosa/Cerberus Proposal, the new
     Board of Directors will satisfy all New York Stock
     Exchange/NASDAQ independence requirements.  Executive
     compensation for the reorganized Company will be on market
     terms and reasonably acceptable to the Plan Investor, and
     the overall executive compensation plan design will be
     described in the Company's disclosure statement and
     incorporated into the Plan.

     E. Pension Funding

     The Plan Investor will support the Company's earlier
     commitment to preserve its salaried and hourly defined
     benefit U.S. pension plans and will include an arrangement
     to fund approximately $3,500,000,000 of its pension
     obligations similar to that proposed by the
     Appaloosa/Cerberus Group.

                              Other

     Please note that the undersigned has devoted substantial
     time and resources to preparing this Commitment in a very
     short time frame given the timetable endorsed by the
     Company in connection with the Appaloosa/Cerberus Proposal.
     The undersigned is prepared to proceed expeditiously to
     complete final documentation reflecting this Commitment and
     take appropriate action to move forward toward the full
     formulation and implementation of the transactions
     contemplated by this Commitment, including supporting the
     Debtors' efforts to obtain entry of any approval order
     required by the Bankruptcy Court.

     This Commitment is subject to, and expressly conditioned on
     in a manner consistent with the Appaloosa/Cerberus
     Proposal, among other items, (1) the execution and delivery
     by all signatories thereto of definitive documentation
     reflective of the matters set forth herein; (2) the
     completion of limited confirmatory due diligence; and (3)
     the entry by the Bankruptcy Court of an order, in form and
     substance, reasonably satisfactory to Highland Capital
     approving the transactions set forth herein.  We are
     willing to proceed with the due diligence review
     immediately and will execute an appropriate confidentiality
     agreement as required or requested, by the Board.

     Due to the financial strength of our organization and
     our position in the financial community, please be advised
     that we can provide, or cause to be provided, funds to
     satisfy the financial requirements of this Commitment and
     are in a position to consummate this transaction
     expeditiously.

     Please note, moreover, that the material terms and
     conditions of this Commitment are as set forth herein, but
     this Commitment does not and cannot encompass all matters
     to be addressed in the definitive documentation.  Those
     matters that are not addressed or definitively set forth
     herein are subject to further negotiations and future
     agreement of the parties.

     At a minimum, we believe this Commitment sets forth a
     transaction that should be considered by the Board of
     Directors and its financial advisors, and requires the
     members of the Board to do so in an orderly and
     contemplative fashion consistent with their fiduciary
     duties to exercise due care.  We believe the timetable that
     has been proposed by the Appaloosa/Cerberus Group as
     reflected in the Bankruptcy Court filings is not conducive
     to the process required by the Board to adequately assess
     these types of proposals.  Therefore, we would respectfully
     request that the Board fully consider and discuss both
     proposals with its advisors before proceeding with a
     transaction that is not in the best interests of all
     stakeholders of the Company.  To the extent the Board
     determines to proceed in accordance with the existing
     timetable, we are also willing to take the requisite action
     necessary to proceed.

     We are available at any time to meet with the Board or
     representatives of the Board regarding this Commitment and
     look forward to the opportunity to address any questions or
     concerns you might have.

     Very truly yours,

     Highland Capital Management, L.P.

     By: [signature]
     Name: Patrick H. Daugherty
     Title: Secretary

          cc: Mr. Robert "Steve" Miller, Chairman
              Mr. Rodney O'Neal, President and CEO

     (1) This proposal and commitment is not being made by or on
         behalf of, among other entities, Highland Credit
         Strategies Fund.

                      About Highland Capital

Based in Dallas, Texas with offices in New York and London,
Highland Capital Management L.P. is an SEC-registered investment
adviser specializing in credit, alternative investing and equity
investments.  Highland Capital currently manages approximately
$35,000,000,000 in leveraged loans, high yield bonds, structured
products, distressed assets, equity investments and other assets
for banks, insurance companies, pension plans, foundations, and
endowments.

                         About Delphi Corp.

Troy, Mich.-based Delphi Corporation -- http://www.delphi.com/
-- is the single largest global supplier of vehicle electronics,
transportation components, integrated systems and modules, and
other electronic technology.  The company's technology and
products are present in more than 75 million vehicles on the
road worldwide.  Delphi has regional headquarters in Japan,
Brazil and France.

The Company filed for chapter 11 protection on Oct. 8,
2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler
Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at
Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors
in their restructuring efforts.  Robert J. Rosenberg, Esq.,
Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham &
Watkins LLP, represents the Official Committee of Unsecured
Creditors.  As of Aug. 31, 2005, the Debtors' balance sheet
showed US$17,098,734,530 in total assets and US$22,166,280,476
in total debts.  (Delphi Corporation Bankruptcy News, Issue No.
29; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).  


MITSUBISHI MOTORS: Targets 200,000 Units in US Sales, Boss Says
---------------------------------------------------------------
Mitsubishi Motors Corp. Chairman Takashi Nishioka said that he
wanted sales in the United States to rise to 200,000 units in
the medium term, or a 70% increase from current sales level,
Reuters relates.

"Volume isn't everything," Mr. Nishioka told Reuters during the
North American International Auto Show in Detroit.  "But we'd
like to be at around 200,000 units here," he added.

Mr. Nishioka, who is also the chairman of group company
Mitsubishi Heavy Industries Ltd. (7011.T: Quote, NEWS ,
Research), did not specify a timeframe for achieving that goal.  
Yet, Reuters notes that Hiroshi Harunari, chief executive
officer of Mitsubishi Motors North America, told auto analysts
that one target was to lift sales to 170,000 units by 2010.

The report recounts that Mitsubishi Motors' U.S. sales are
roughly a third of what they used to be at their peak, when
sales to fleet customers and easy loans to consumers with shaky
credit histories artificially pushed up demand.  In 2006,
Mitsubishi sold 118,558 cars in the United States, down 4.1%
from 2005, for a market share of 0.7%.

                     About Mitsubishi Motors

Headquartered in Tokyo, Japan, Mitsubishi Motors Corporation --
http://www.mitsubishi-motors.co.jp/-- is one of the few  
automobile companies in the world that produces a full line of
automotive products ranging from 660-cc mini cars and passenger
cars to commercial vehicles and heavy-duty trucks and buses.

The company also operates consumer-financing services and
provides this to its customer base.  MMC adopted the "Mitsubishi
Motors Revitalization Plan" on Jan. 28, 2005, as its three-
year business plan covering fiscal 2005 through 2007, after
investor DaimlerChrysler backed out from the company.  The main
objectives of the plan are "Regaining Trust" and "Business
Revitalization."

The company has operations worldwide, covering the United
States, Germany, the United Kingdom, Italy, the Netherlands, the
Philippines, Indonesia, Malaysia, China and Australia.  Its
products are sold in over 170 countries.

                          *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
Sept. 29, 2006, Standard & Poor's Ratings Services raised its
long-term  corporate credit and senior unsecured debt ratings on
Mitsubishi Motors Corp. to B- from CCC+, reflecting progress in
the company's revitalization efforts and reduced downside risks
in its earnings and financial profile.  S&P said the outlook on
the long-term rating is stable.

As reported by the Troubled Company Reporter - Asia Pacific on
Aug. 4, 2006, Rating & Investment Information Inc. has
upgraded its issuer rating on Mitsubishi Motors Corp. from CCC+
to B with a stable outlook and its commercial paper rating from
c to b, and has removed the rating from its monitor at the same
time.

As reported by the Troubled Company Reporter - Asia Pacific on
July 19, 2006, Japan Credit Rating Agency, Ltd. upgraded the
rating of Mitsubishi Motors Corp.'s senior debts to BB- from B-,
with a stable outlook.  The agency also affirmed the NJ rating
on CP program of the company, while upgrading its rating on the
Euro Medium Term Note Program of MMC and subsidiaries Mitsubishi
Motors Credit of America, Inc. and MMC International Finance
(Netherlands) B.V. to B+ from CCC.


* S&P Revises Ratings Coverage in Japan
---------------------------------------
Standard & Poor's Ratings Services said that it has revised its
ratings coverage in Japan after reviewing its standards for
selecting Japanese issuers for which it initiates the assignment
of credit ratings.  In line with the revision, Standard & Poor's
has withdrawn its long-term corporate credit and long-term
senior unsecured debt ratings on 108 corporations and one
financial institution in Japan.

As a result, the number of Japanese issuers publicly rated by
Standard & Poor's (including ratings issued on request) now
stands at 133 corporations, 124 financial institutions, and 11
others, totaling 268 companies.

Following dialogue with market participants, Standard & Poor's
decided to review its selection standards to offer coverage that
more strongly reflects the needs of the credit market.  The
revised standards include a focus on the largest 100 issuers in
terms of the face value of bonds outstanding, and major
issues traded in credit derivative markets.  Previously, the
ratings coverage was composed mainly of issues in the
S&P/TOPIX150, a large-size stock index, and the S&P Japan MidCap
100, a midsize stock index, both of which have issues
included in the S&P Japan 500 stock index.  

Standard & Poor's also aims to provide higher value added
services that meet the needs of market participants by focusing
more on areas in which it can exercise its advanced analytical
methods and know-how.  Although the new ratings coverage reduces
the number of rated issuers in Japan, Standard & Poor's plans to
reinforce output such as publication of credit analysis reports
on Japanese industries and corporations by leveraging its strong
track record and experience both in Japan and abroad.  It also
plans to increase its focus on credit risk analytical services
on municipalities, PFIs (private finance initiatives), leveraged
buyouts (LBOs), business securitizations, and hybrid securities.

Ratings withdrawn as of Jan. 9, 2007 (109 companies):

   Sector          Security Code     Company
   ------          -------------     -------
   Construction
                       1721          Comsys Holdings Corp.
                       1803          Shimizu Corp.
                       1824          Maeda Corp.
                       1878          Daito Trust Construction
                                        Co. Ltd.
                       1925          Daiwa House Industry Co.
                                        Ltd.
                       1928          Sekisui House Ltd.
                       1944          Kinden Corp.
                                        Foods
                       2002          Nisshin Seifun Group Inc.
                       2202          Meiji Seika Kaisha Ltd.
                       2212          Yamazaki Baking Co. Ltd.
                       2267          Yakult Honsha Co. Ltd.
                       2282          Nippon Meat Packers Inc.
                       2531          Takara Holdings Inc.
                       2801          Kikkoman Corp.
                       2810          House Foods Corp.
                       2897          Nissin Food Products Co.
                                        Ltd.

   Retail
                       2651          Lawson Inc.
                       2779          Mitsukoshi Ltd.
                       8028          FamilyMart Co. Ltd.
                       8180          Skylark Co. Ltd.
                       8233          Takashimaya Co. Ltd.
                       9831          Yamada Denki Co. Ltd.
                       9875          Matsumotokiyoshi Co. Ltd.

   Textiles & Apparel
                       3401          Teijin Ltd.
                       3404          Mitsubishi Rayon Co. Ltd.
                       3405          Kuraray Co. Ltd.
                       8016          Onward Kashiyama Co. Ltd.

   Chemicals
                       4042          Tosoh Corp.
                       4063          Shin-Etsu Chemical Co. Ltd.
                       4118          Kaneka Corp.
                       4182          Mitsubishi Gas Chemical
                                        Co. Inc.
                       4185          JSR Corp.
                       4203          Sumitomo Bakelite Co. Ltd.
                       4204          Sekisui Chemical Co. Ltd.  
                       4631          Dainippon Ink & Chemicals
                                       Inc.
                       6988          Nitto Denko Corp.
                       8113          Uni-Charm Corp.

   Pharmaceuticals
                       4151          Kyowa Hakko Kogyo Co. Ltd.
                       4503          Astellas Pharma Inc.
                       4519          Chugai Pharmaceutical Co.
                                        Ltd.
                       4523          Eisai Co. Ltd.
                       4528          Ono Pharmaceutical Co. Ltd.
                       4535          Taisho Pharmaceutical Co.
                                        Ltd.
                       4568          Daiichi Sankyo Co. Ltd.

   Oil & Coal Products
                       5002          Showa Shell Sekiyu KK
                       5016          Nippon Mining Holdings Inc.

   Glass & Ceramics
                       5202          Nippon Sheet Glass Co. Ltd.
                       5214          Nippon Electric Glass Co.
                                        Ltd.
                       5332          Toto Ltd.
                       5333          NGK Insulators Ltd.
                       5334          NGK Spark Plug Co. Ltd.

   Nonferrous Metals
                       5706          Mitsui Mining & Smelting
                                        Co. Ltd.
                       5713          Sumitomo Metal Mining Co.
                                        Ltd.
                       5803          Fujikura Ltd.

   Metal Products
                       5901          Toyo Seikan Kaisha Ltd.
                       5938          J S Group Corp.

   Machinery
                       6113          Amada Co. Ltd.
                       6141          Mori Seiki Co. Ltd.
                       6273          SMC Corp.
                       6326          Kubota Corp.
                       6349          Komori Corp.
                       6367          Daikin Industries Ltd.
                       6370          Kurita Water Industries
                                        Ltd.
                       6417          SANKYO Co. Ltd.  
                       6472          NTN Corp.
                       6481          THK Co. Ltd.

   Electrical Machinery
                       4062          Ibiden Co. Ltd.
                       4902          Konica Minolta Holdings
                                        Inc.
                       6479          Minebea Co. Ltd.
                       6592          Mabuchi Motor Co. Ltd.
                       6594          Nidec Corp.
                       6703          Oki Electric Industry Co.
                                        Ltd.
                       6770          ALPS Electric Co. Ltd.
                       6806          Hirose Electric Co. Ltd.
                       6841          Yokogawa Electric Corp.
                       6857          Advantest Corp.
                       6861          Keyence Corp.
                       6923          Stanley Electric Co. Ltd.
                       6925          Ushio Inc.  
                       6954          Fanuc Ltd.
                       6963          Rohm Co. Ltd.
                       6965          Hamamatsu Photonics KK
                       6971          Kyocera Corp.
                       6976          Taiyo Yuden Co. Ltd.
                       6981          Murata Manufacturing
                                        Co. Ltd.
                       6991          Matsushita Electric Works
                                        Ltd.
                       8035          Tokyo Electron Ltd.

   Transport Equipment
                       7309          Shimano Inc.

   Precision Tools
                       4543          Terumo Corp.
                       7731          Nikon Corp.
                       7733          Olympus Corp.
                       7741          HOYA Corp.
                       7762          Citizen Watch Co. Ltd.

   Other Products
                       7912          Dai Nippon Printing Co.
                                        Ltd.
                       7974          Nintendo Co. Ltd.
                       7984          Kokuyo Co. Ltd.

   Land Transport
                       9062          Nippon Express Co. Ltd.
                       9064          Yamato Holdings Co. Ltd.

   Warehousing & Harbor Transport Services
                       9301          Mitsubishi Logistics Corp.
                       9364          Kamigumi Co., Ltd.

   Telecommunications
                       4704          Trend Micro Inc.
                       9401          Tokyo Broadcasting System
                                        Inc.
                       9404          Nippon TV Network
                       9602          Toho Co. Ltd.
                       9694          Hitachi Software
                                        Engineering Co. Ltd.
                       9737          CSK Holding Corp.
                       9766          Konami Co. Ltd.

   Services
                       9735          Secom Co. Ltd.

   Securities
                       8615          Mitsubishi UFJ Securities
                                        Co. Ltd.
           

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

DURA AUTOMOTIVE: Wants to Employ Deloitte & Touche as Auditors
--------------------------------------------------------------
DURA Automotive Systems, Inc. and its debtor affiliates ask the
U.S. Bankruptcy Court for the District of Delaware for authority
to employ Deloitte & Touche LLP as independent auditors and
accountants, nunc pro tunc to Oct. 30, 2006.

Keith Marchiando, vice president and chief financial officer,
relates that Deloitte & Touche, an affiliate of Deloitte Tax
LLP, is a national professional services firm with hundreds of
partners and thousands of professional staff.  The firm's
experience in auditing and accounting is widely recognized, and
it regularly provides services to large and complex business
entities.  Deloitte & Touche also has extensive experience in
delivering auditing and accounting services in Chapter 11 cases.

Deloitte & Touche functioned as the Debtors' independent
auditors and accountants before the Debtors' filing for chapter
11 protection, Mr. Marchiando adds.  

The firm has agreed to:

   (a) audit the consolidated annual financial statements of the
       Debtors and its subsidiaries for the fiscal years ended
       Dec. 31, 2006, and onwards;

   (b) review the Debtors' interim financial information for
       each quarter for the fiscal year ending Dec. 31, 2006,
       and onwards;

   (c) render other audit and accounting services, including
       assistance in connection with reports requested by the
       Court, United States Trustee or parties-in-interest;
       accounting advisory services during the course of
       reorganization; and other similar requested assistance at
       an hourly rate basis; and

   (d) provide additional audit services, should the assumptions
       underlying the fixed fee estimate cost not materialize.

Mr. Marchiando relates that as of the Petition Date, Deloitte &
Touche holds a minimal retainer of approximately US$5,000, and
provides services upon a fixed fee between US$3,430,000 and
US$3,800,000.

For the additional services, Deloitte & Touche will bill:

           Professionals                     Hourly Rates
           -------------                     ------------
           Partner, Principal, Director     US$460 - US$650
           Senior Manager                   US$390 - US$490
           Manager                          US$320 - US$390
           Senior Accountants               US$200 - US$250
           Staff Accountants                US$135 - US$180
           Paraprofessionals                    US$60

The firm discloses that from time to time, certain Deloitte &
Touche Tohmatsu member firms will assist it in connection with
its ongoing audit services with approximately US$15,000 in
services that will be included in Deloitte & Touche's fee
applications.  The DTT Member Firms will be retained and paid by
the applicable non-filing Debtor affiliates.

The Debtors have also sought to retain Ernst & Young LLP as
their internal auditors and tax service providers.  Deloitte &
Touche has advised the Debtors that it will make every effort to
avoid duplication of its work and that of Ernst & Young, and
Deloitte
Tax.

Christopher A. Swanson, a partner of Deloitte & Touche,
discloses certain relationships with parties in connection with
matters unrelated to the Debtors' Chapter 11 cases:

   -- the firm provides services to certain of the Debtors'
      largest unsecured creditors, including its lenders GE
      Capital Corp., Goldman Sachs, and Barclays Bank or their
      affiliates; and

   -- certain financial institutions that are prepetition
      lenders of the Debtors, including AXA, Harris Bank,
      Comerica, JPMorgan Chase, Wachovia Bank, Citigroup, Bank
      of America and affiliates of GE are lenders to the firm.

Mr. Swanson assures the Court that the firm will not serve those
entities in the Debtors' Chapter 11 cases.  He attests that his
firm is a disinterested person, as the term is defined in
Section 101(14) of the Bankruptcy Code.

Headquartered in Rochester Hills, Michigan, DURA Automotive
Systems, Inc. -- http://www.duraauto.com/-- is an independent  
designer and manufacturer of driver control systems, seating
control systems, glass systems, engineered assemblies,
structural door modules and exterior trim systems for the global
automotive and recreation & specialty vehicle industries.  DURA,
which operates in 63 locations, sells its products to every
major North American, Asian and European automotive original
equipment manufacturer and many leading Tier 1 automotive
suppliers.  It currently operates in 63 locations including
joint venture companies and customer service centers in 14
countries.  The company has three locations in Asia, namely in
China, Japan and Korea.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Nov. 6, 2006, that Fitch Ratings placed one tranche from one
public collateralized debt obligation and one tranche from
private CDO on Rating Watch Negative following Dura Automotive
Corp.'s filing for protection under Chapter 11.

Standard & Poor's Ratings Services lowered its corporate credit
rating on Dura Automotive Systems Inc. to 'CCC' from 'B-'.  The
rating outlook is negative.

                          *     *     *

The Debtors filed for chapter 11 petition on October 30, 2006
(Bankr. District of Delaware Case No. 06-11202).  Richard M.
Cieri, Esq., Marc Kieselstein, Esq., Roger James Higgins, Esq.,
and Ryan Blaine Bennett, Esq., of Kirkland & Ellis LLP are lead
counsel for the Debtors' bankruptcy proceedings.  Mark D.
Collins, Esq., Daniel J. DeFranseschi, Esq., and Jason M.
Madron, Esq., of Richards Layton & Finger, P.A. Attorneys are
the Debtors' co-counsel.  Baker & McKenzie acts as the Debtors'
special counsel.  Togut, Segal & Segal LLP is the Debtors'
conflicts counsel.  Miller Buckfire & Co., LLC is the Debtors'
investment banker.  Glass & Associates Inc., gives financial
advice to the Debtor.  Kurtzman Carson Consultants LLC handles
the notice, claims and balloting for the Debtors and Brunswick
Group LLC acts as their Corporate Communications Consultants for
the Debtors.  As of July 2, 2006, the Debtor had
US$1,993,178,000 in total assets and US$1,730,758,000 in total
liabilities.  (Dura Automotive Bankruptcy News, Issue No. 4;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


DURA AUTOMOTIVE: Trustee Appoints HSBC Bank to Creditors' Panel
---------------------------------------------------------------
Kelly Beaudin Stapleton, the United States Trustee for Region 3,
has added HSBC Bank USA, National Association, to the Official
Committee of Unsecured Creditors in DURA Automotive Systems,
Inc. and its debtor affiliates' Chapter 11 cases.

The Creditors Committee now comprises:

     (1) Wilfrid Aubrey LLC
         Attn: Nicholas W. Walsh
         100 William Street
         Suite 1850
         New York, NY 10038
         Phone: 212-675-4906
         Fax: 212-675-3626

     (2) BNY Trust Company Midwest
         Attn: Robert H. Major
         6525 W. Campus Oval
         New Albany, OH 43054
         Phone: 614-775-5278
         Fax:614-775-5636

     (3) US Bank National Association
         Attn: James E. Murphy
         100 Wall Street
         Suite 1600
         New York, NY 10005
         Phone: 212-361-6174
         Fax: 212-514-6841

     (4) International Union, UAW
         Attn: Niraj Ganatra, Esq.
         8000 East Jefferson Avenue
         Detroit, MI 48214
         Phone: 313-926-5216
         Fax: 313-926-5240

     (5) Pension Benefit Guaranty Corporation
         Attn: William McCarron, Jr.
         1200 K Street N.W.
         Washington, D.C. 20005
         Phone: 202-326-4000, ex. 3471
         Fax: 202-326-4112

     (6) Johnson Electric N.A., Inc.
         Attn: Douglas G. Eberle
         47660 Halyard Drive
         Plymouth, MI 48170
         Phone: 734-392-5308
         Fax: 734-392-5388

     (7) Thompson I.G., LLC
         Attn: Christine Maria DeSonia
         3196 Thompson Rd.
         Fenton, MI 48430
         Phone: 810-629-9558
         Fax: 810-629-8342

     (8) HSBC Bank USA, National Association
         Attn: Robert A. Conrad
         452 Fifth Avenue
         New York, NY 10018
         Phone: 212-525-1314
         Fax: 212-525-1300

Headquartered in Rochester Hills, Michigan, DURA Automotive
Systems, Inc. -- http://www.duraauto.com/-- is an independent  
designer and manufacturer of driver control systems, seating
control systems, glass systems, engineered assemblies,
structural door modules and exterior trim systems for the global
automotive and recreation & specialty vehicle industries.  DURA,
which operates in 63 locations, sells its products to every
major North American, Asian and European automotive original
equipment manufacturer and many leading Tier 1 automotive
suppliers.  It currently operates in 63 locations including
joint venture companies and customer service centers in 14
countries.  The company has three locations in Asia, namely in
China, Japan and Korea.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Nov. 6, 2006, that Fitch Ratings placed one tranche from one
public collateralized debt obligation and one tranche from
private CDO on Rating Watch Negative following Dura Automotive
Corp.'s filing for protection under Chapter 11.

Standard & Poor's Ratings Services lowered its corporate credit
rating on Dura Automotive Systems Inc. to 'CCC' from 'B-'.  The
rating outlook is negative.

                          *     *     *

The Debtors filed for chapter 11 petition on October 30, 2006
(Bankr. District of Delaware Case No. 06-11202).  Richard M.
Cieri, Esq., Marc Kieselstein, Esq., Roger James Higgins, Esq.,
and Ryan Blaine Bennett, Esq., of Kirkland & Ellis LLP are lead
counsel for the Debtors' bankruptcy proceedings.  Mark D.
Collins, Esq., Daniel J. DeFranseschi, Esq., and Jason M.
Madron, Esq., of Richards Layton & Finger, P.A. Attorneys are
the Debtors' co-counsel.  Baker & McKenzie acts as the Debtors'
special counsel.  Togut, Segal & Segal LLP is the Debtors'
conflicts counsel.  Miller Buckfire & Co., LLC is the Debtors'
investment banker.  Glass & Associates Inc., gives financial
advice to the Debtor.  Kurtzman Carson Consultants LLC handles
the notice, claims and balloting for the Debtors and Brunswick
Group LLC acts as their Corporate Communications Consultants for
the Debtors.  As of July 2, 2006, the Debtor had
US$1,993,178,000 in total assets and US$1,730,758,000 in total
liabilities.  (Dura Automotive Bankruptcy News, Issue No. 5;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


HANAROTELECOM: KCC Orders Corrective Actions for Violations
-----------------------------------------------------------
On its 136th plenary meeting on Jan. 18, 2006, the Korea
Communications Commission requested hanarotelecom inc. along
with and LG Powercomm to take corrective actions regarding their
violation of the Telecommunications Business Act relating to
hanaTV service.

HanaTV, which hanarotelecom launched in July 2006, is a video-
on-demand service via the Internet.

According to a press release by hanarotelecom, the KCC launched
the investigation on hanarotelecom/LG Powercomm's violation of
the Telecommunications Business Act upon the Minister of
Information and Communication's request.

KCC determined from its investigation that:

   -- LG Powercomm did not comply with the "Agreement on Supply
      and Use of Network Equipment" entered with hanarotelecom
      and damaged consumer interest by unilaterally blocking the
      network used for hanaTV service even though it has the
      obligations to provide network for both basic and paid
      services in accordance with the Agreement.

   -- hanarotelecom also violated the Agreement by providing the
      paid VAS(hanaTV) without prior consultation with LG
      Powercomm as it has the obligations to have consultations
      with Powercomm to discuss usage fees, etc. before it
      provides any paid service using Powercomm's network.

Consequently, the KCC ordered:

   * LG Powercomm to immediately stop blocking the network; and


   * both hanarotelecom and LG Powercomm to submit the data
     required for the calculation of network usage fees for
     hanaTV service and agree with each other regarding the
     usage fees within a month to prevent recurrence of any the
     violation of the Agreement and protect consumer interest.

The company release pointed out that the KCC has not imposed any
penalties, considering that this case is the first of its kind
and it was difficult for Powercomm to check on whether hanaTV
subscribers were using the network at the time of its blocking
such network.

hanarotelecom Inc. -- http://www.hanaro.com/-- is the second  
largest player in the Korean local telephone market.  It
provides high-speed Internet services in Korea.  It provides
high-speed Internet services in Korea.  In June 2001, the
company integrated broadband Internet access services which
included ADSL, Hybrid Fiber Coaxial cables and Broadband
Wireless Local Loop into a single brand called HanaFOS.
hanarotelecom offers VoIP services to its broadband business
customers as a bundled service and also as a stand alone
service.

                          *     *     *

Moody's Investor Service has given hanarotelecom's long-term
corporate family and senior unsecured debt 'Ba2' ratings.

Standard and Poor's gave both hanarotelecom's long-term foreign
issuer credit and long-term local foreign issuer credit 'BB'
ratings.

Fitch Ratings assigned hanarotelecom a Long-term foreign
currency Issuer Default rating of 'BB'.  The rating Outlook is
Stable.


HANAROTELECOM: Gains 200,000 Subscribers for hanaTV
---------------------------------------------------
hanarotelecom Inc. achieved 200,000 subscriber sign-ups for
hanaTV, a TV-Portal service that enables subscribers to watch
any content they want on TV at their convenience, a company
press release states.

Launched in July 2006, hanaTV has recently shown a sharp
increase in the number of subscribers, hanarotelecom says.  
Sign-ups exceed 200,000 in just 40 days after reaching 100,000
in November 2006.

The company also pointed out that the sign-ups are on the rise
because of the increasing recognition of the convenience and
various high-quality contents that hanaTV offers, in addition to
the growing awareness of the TV-Portal service as five months
have passed since the launch.

hanaTV has become a home media center, backed by its efforts to
aggregate high-quality contents including Korean and foreign
movies, programs of three terrestrial broadcasting companies in
Korea, educational programs, user-created content and digital
multimedia broadcasting programs, the release noted.

The company aims to have 1 million hanaTV subscribers in 2007.

Currently, hanarotelecom has secured 65,000 contents by signing
contracts with 150 domestic and foreign content providers
including Walt Disney Television, Sony Pictures Television
International, CJ Entertainment, MBC, KBS, SBS, BBC Worldwide,
EBS, National Geographic Channel and 20th Century Fox.  

hanarotelecom Inc. -- http://www.hanaro.com/-- is the second  
largest player in the Korean local telephone market.  It
provides high-speed Internet services in Korea.  It provides
high-speed Internet services in Korea.  In June 2001, the
company integrated broadband Internet access services which
included ADSL, Hybrid Fiber Coaxial cables and Broadband
Wireless Local Loop into a single brand called HanaFOS.
hanarotelecom offers VoIP services to its broadband business
customers as a bundled service and also as a stand alone
service.

                          *     *     *

Moody's Investor Service has given hanarotelecom's long-term
corporate family and senior unsecured debt 'Ba2' ratings.

Standard and Poor's gave both hanarotelecom's long-term foreign
issuer credit and long-term local foreign issuer credit 'BB'
ratings.

Fitch Ratings assigned hanarotelecom a Long-term foreign
currency Issuer Default rating of 'BB'.  The rating Outlook is
Stable.


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

AKER KVAERNER: Completes Sale of Pulping Unit to Metso Oyj
----------------------------------------------------------
Metso Oyj has completed the acquisition of Aker Kvaerner's
Pulping and Power businesses.  The businesses were transferred
to Metso on Dec. 29, 2006.  The European Commission clearance
for the acquisition was received on Dec. 12, 2006.

The cash and interest-bearing debt-free acquisition price,
agreed in April 2006 when the sales and purchase agreement was
signed, was approximately EUR335 million.  The final transaction
price will be based on the balance sheet at the time of the
closing.  Metso will disclose the final transaction value,
including the adjustments related to the remedy package, after
the parties have agreed upon the closing balance sheet.

Metso has also completed the sales and purchase agreement of the
remedy package concerning the divestment of Metso Paper's and
Aker Kvaerner's overlapping pulping businesses to the Canadian
Groupe Laperriere & Verreault Inc. (GL&V).  The remedy package
was transferred to GL&V on Dec. 29, 2006.  The divestment of the
remedy package was conditional on the approval received from the
European Commission on Dec. 12, 2006.  The parties have agreed
that the transaction value will not be disclosed.

                           About Metso

Headquartered in Helsinki, Finland, Metso Corp. --
http://www.metso.com/-- is a global engineering and technology  
corporation with 2005 net sales of approximately EUR4.2 billion.  
Its 22,000 employees in more than 50 countries serve customers
in the pulp and paper industry, rock and minerals processing,
the energy industry and selected other industries.

The company's principal production plants are located in Brazil,
China, Finland, France, Germany, India, Italy, South Africa,
Sweden, the United Kingdom and the United States.

                       About Aker Kvaerner

Headquartered in Lysaker, Norway, Aker Kvaerner ASA --
http://www.akerkvaerner.com/-- through its subsidiaries and  
affiliates, is a leading global provider of engineering and
construction services, technology products and integrated
solutions.  The company has operations in Brazil, Chile, China,
India, Indonesia, Japan, Malaysia, Singapore, South Korea,
Thailand.

The Aker Kvaerner group is organized into two principal business
streams, namely Oil & Gas and E&C, each consisting of a number
of separate legal entities.

                          *     *     *

Moody's Investors Service, in April 2006, upgraded the ratings  
of Aker Kvaerner Oil & Gas Group and Aker Kvaerner AS, primarily  
to reflect the sustainable strong recovery in profitability and  
cash flow generation of the ring-fenced oil and gas group over  
the past two years, coupled with the clear reduction in senior  
debt, repaid from internally generated funds.

Ratings affected:

Aker Kvaerner Oil & Gas Group AS

   -- Corporate family rating: upgraded to Ba1 from Ba3

Aker Kvaerner AS

   -- Rating of the second priority lien notes due 2011:
      upgraded to Ba1 from Ba3.

Moody's said the outlook on all ratings is stable.


COMSA FARMS: Unit's Wind-Up Hearing Set on February 2
-----------------------------------------------------
Two separate petitions filed against Comsa Feedmils Sdn Bhd, a
subsidiary of Comsa Farms Bhd, will be heard before the High
Court of Sandakan on Feb. 2, 2007.

Comsa Feedmils will face:

    a. Companies Winding Up No: S28-01 of 2006 filed by Wilmar
       Trading Pte Ltd; and

    b. Civil Suit No: S22-57 of 2003 filed by Wilmar Trading Pte
       Ltd.

The company had been granted a restraining and stay order for a
period of 120 days effective from Nov. 3, 2006, to March 2,
2007, by the High Court of Malaya at Kuala Lumpur, pursuant to
Section 176 (10) of the Companies Act, 1965.

Headquartered in Sabah, Malaysia, Comsa Farms Berhad engages in
the wholesale and retail of fresh and frozen chicken products,
meat and foodstuff.  Its other activities include livestock,
aqua feed milling, poultry feeding, hatchery operations, and
layer farming.

On April 10, 2006, the company was declared a Practice Note 17
company by Bursa Malaysia due to a stockholders' equity deficit.  
As an affected listed issuer, Comsa Farms is required to submit
a plan to regularize its financial condition.

As reported in the Troubled Company Reporter - Asia Pacific, the
company registered US$63.60 million in total assets and a US$5-
million shareholders' equity deficit as of Nov. 2, 2006.


FEDERAL FURNITURE: Seeks DRA Completion Extension with Lenders
--------------------------------------------------------------
The Debt Restructuring Agreement entered by Federal Furniture
Holdings Bhd along with some of its subsidiaries with its scheme
lenders lapsed on Dec. 29, 2006.

Accordingly, the company proposed to extend the completion
period of the DRA to March 15, 2007.

The company is still in the process of obtaining approvals from
its scheme lenders.

As reported by the Troubled Company Reporter - Asia Pacific on
Oct. 16, 2006, in relation to the company's Proposed Debt
Restructuring Scheme, the High Court of Kuala Lumpur granted
Federal Furniture to reduce:

   -- its capital by cancelling 50 sen from the par value of
      every ordinary share of MYR1.00 in the company; and

   -- the Share Premium Account by MYR10,833,007.

                          *     *     *
Headquartered in Selangor Darul Ehsan Malaysia Federal Furniture
Holdings Bhd -- http://www.federal-furniture.com/-- is a listed  
company on the Kuala Lumpur Stock Exchange and is Malaysia's
premier furniture and interior design group.  It consists of
companies in all the main sectors of the furniture-related
industries, from manufacturing, marketing, exporting, contract
furnishing and interior design to retail.

On June 24, 2004, the Board of Directors of Federal Furniture
has proposed a capital reduction, a share premium reduction,
rights issue with warrants and a debt settlement scheme with
some of its financial institution lenders to restructure and
settle a substantial part of its total bank borrowings.  On July
5, 2006, the Company submitted its Regularization Plan to Bursa
Malaysia Securities Berhad for approval.

The company's balance sheet as of Sept. 30, 2006, reflected
MYR149.14 million in total assets and MYR159.09 million in total
liabilities.  Shareholders' deficit totaled MYR9.95 million.


LITYAN HOLDINGS: Completes Properties Disposals; Gains MYR4.71MM
----------------------------------------------------------------
Lityan Holdings Bhd has completed the disposal of four pieces of
freehold lands all situated in Mukim Rembia, Daerah Alor Gajah,
Melaka measuring approximately 104.325 acres for a total sales
consideration of MYR4,715,490.00 in cash.

As reported by the Troubled Company Reporter - Asia Pacific on
March 22, 2006, Lityan Holdings wholly owned subsidiary,
Imagebase Sdn  Bhd, entered into a conditional sale and purchase
agreement with Choong Pat Sing and Choong Fook Chan regarding
the disposal of the lands for MYR4.715 million in cash
aggregate.

                          *     *     *

Headquartered in Selangor Darul Ehsan, Malaysia, Lityan Holdings
Berhad -- http://www.lityan.com.my/-- sells and provides  
maintenance services and rental of computer equipment,
peripherals, telecommunication equipment and related services.  
The Company's other activities include provision of building
maintenance and management services, developing and marketing of
new client-server programming tools and application software,
operation of public mobile data network, property investment and
investment holding.  The Group carries out its operations in
Malaysia and the Philippines.

On May 10, 2005, the Company was classified as an affected
listed issuer pursuant to Bursa Malaysia Securities Berhad's
Practice Note 17 category.  On January 16, 2006, the Company
entered into a conditional Restructuring Agreement to undertake
the Proposed Restructuring Scheme with the intention of
restoring the Company onto stronger financial footing via an
injection of new viable businesses.

The company's balance sheet as of end-September 2006 reflected
total assets of MYR69.62 million and total liabilities of
MYR146.92 million, resulting in a shareholders' deficit of
MYR77.29 million.


LITYAN HOLDINGS: Awaits Decision on Delisting Petition
------------------------------------------------------
The Bursa Malaysia Securities Berhad, in the interim, agreed to
stay the delisting of Lityan Holdings Bhd's securities from the
official list until five days after Jan. 23, 2007.

As previously reported in the Troubled Company Reporter - Asia
Pacific, the delisting of Lityan Holdings' securities from the
bourse's list was deferred until Nov. 23, 2006.

The company sought judicial review and an interim order on the
delisting decision.

The Kuala Lumpur High Court will convene a hearing on Jan. 23 to
consider Lityan's ex-parte application for leave to issue a
certiorari to squash the decision of the Securities Commission
in rejecting the company's proposed restructuring scheme.

                          *     *     *

Headquartered in Selangor Darul Ehsan, Malaysia, Lityan Holdings
Berhad -- http://www.lityan.com.my/-- sells and provides  
maintenance services and rental of computer equipment,
peripherals, telecommunication equipment and related services.  
The Company's other activities include provision of building
maintenance and management services, developing and marketing of
new client-server programming tools and application software,
operation of public mobile data network, property investment and
investment holding.  The Group carries out its operations in
Malaysia and the Philippines.

On May 10, 2005, the Company was classified as an affected
listed issuer pursuant to Bursa Malaysia Securities Berhad's
Practice Note 17 category.  On January 16, 2006, the Company
entered into a conditional Restructuring Agreement to undertake
the Proposed Restructuring Scheme with the intention of
restoring the Company onto stronger financial footing via an
injection of new viable businesses.

The company's balance sheet as of end-September 2006 reflected
total assets of MYR69.62 million and total liabilities of
MYR146.92 million, resulting in a shareholders' deficit of
MYR77.29 million.


METROPLEX BERHAD: Seeks to Extend Scheme Submission Deadline
------------------------------------------------------------
Metroplex Berhad asks Bursa Securities to extend to Feb. 28,
2007, the deadline for the company to submit its proposed
composite scheme of arrangement to regularize its financial
condition.

As reported by the Troubled Company Reporter - Asia Pacific,
Metroplex had until Dec. 8, 2006, to submit its proposed scheme
of arrangement to relevant authorities for approval.

According to the TCR-AP, the company has been negotiating with
its lenders on the scheme of arrangement.

Metroplex's unaudited quarterly results for the financial year
ended Jan. 31, 2006, revealed that the company has a deficit in
the shareholders' equity on a consolidated basis amounting to
MYR196.3 million, TCR-AP noted.  As such, Metroplex is an
affected listed issuer pursuant the Listing Requirements of
Bursa Securities.

As an affected listed issuer, Metroplex is required to submit a
regularization plan to relevant authorities for approval and
implement the plan within a timeframe stipulated by the
approving parties.

                          *     *     *

Headquartered in Kuala Lumpur, Malaysia, Metroplex Berhad's
activities are hotel and casino operations.  Other activities
include property investment, property development, provision of
administrative services, general and building construction,
leasing and financing, trading of building materials and
operation of hotel management training school.  Operations are
carried out in Malaysia, Hong Kong, and the Philippines.

On April 28, 2005, Morgan Stanley Emerging Markets Inc. had
filed a wind-up petition against the company with the Kuala
Lumpur High Court.  In the event the wind-up petition succeeds,
the company will be put into liquidation.

As of July 2006, the company's balance sheet showed MYR1.21
billion in total assets and MYR1.44 billion in total
liabilities, resulting in a total shareholders' deficit of
MYR223.77 million.


SOLUTIA INC: Hires Two Firms as Ordinary Course Professionals
-------------------------------------------------------------
Solutia Inc. and its debtor-affiliates have employed certain
professionals who will provide services that are unrelated to
the bankruptcy aspects of their Chapter 11 cases.  

The Debtors and two firms have reached an agreement to continue
the engagement pursuant to Section 327 of the Bankruptcy Code.

A. Strasburger & Price

Elizabeth Bonvillain Kamin, a partner at Strasburger & Price
LLP, relates that Solutia Inc., has employed the firm since
July 2006, to perform certain services relating to the defense
of a contract claim for damages and pursuit of a counterclaim
for breach of contract.  

The firm will be paid on an hourly basis by its professionals'
customary rates and will be reimbursed for actual and necessary
expenses incurred in connection with its representation, or
services for, the Debtors.  The hourly rates are:

                  Partner             US$385
                  Associate              240
                  Legal Assistant        135

Ms. Kamin tells the Court that Strasburger & Price revises its
regular hourly rates on Nov. 1 of each year.  Services amounting
to US$7,810 have been rendered, and expenses totaling US$553
have been incurred that have not yet been billed or for which no
payment has yet been received.

The firm, its members, associates and other professionals may
have in the past represented, currently represent, and may in
the future represent entities that are parties-in-interest in
matters totally unrelated to the Debtors' cases.

Strasburger & Price will not represent any entity in connection
with the Debtors' Chapter 11 cases and does not have any
relationship with entities that would be adverse to the Debtors
or their estates, Ms. Kamin assures the Court.

B. Clement & Wheatley

Glenn W. Pulley, a partner at Clement & Wheatley, tells the
Court that the firm has been employed by Solutia since Aug. 14,
2006, to provide services relating to miscellaneous litigation
arising in the ordinary course of the Debtors' business.

The professionals will be paid according to their customary
hourly rates:

                  Glenn W. Pulley     US$185
                  Darren W. Bentley      135

Mr. Pulley informs the Court that the firm revises its
professionals' regular hourly rates by not more than 5% on
Feb. 1 of each year.  Clement & Wheatley will be reimbursed for
actual and necessary expenses incurred during the engagement.

The firm has rendered services and incurred expenses that have
not yet been billed or for which no payment has yet been
received.  The value of the services and amount of expenses are
US$6,692 and US$223.

Mr. Pulley attests that Clement & Wheatley does not and will not
represent any entities that are parties-in-interest to the
Debtors' Chapter 11 cases, nor does it have any relationship
with any entity that would be adverse to the Debtors or their
estates.

Headquartered in St. Louis, Missouri, Solutia, Inc.
(OTCBB:SOLUQ) -- http://www.solutia.com/-- with its  
subsidiaries, make and sell a variety of high-performance
chemical-based materials used in a broad range of consumer and
industrial applications.  Solutia has operations in Malaysia,
China, Singapore, Belgium and Colombia.

The Company filed for chapter 11 protection on Dec. 17, 2003
(Bankr. S.D.N.Y. Case No. 03-17949).  When the Debtors filed for
protection from their creditors, they listed US$2,854,000,000 in
assets and US$3,223,000,000 in debts.  Solutia is represented by
Richard M. Cieri, Esq., at Kirkland & Ellis.  Daniel H. Golden,
Esq., Ira S. Dizengoff, Esq., and Russel J. Reid, Esq., at Akin
Gump Strauss Hauer & Feld LLP represent the Official Committee
of Unsecured Creditors, and Derron S. Slonecker at Houlihan
Lokey Howard & Zukin Capital provides the Creditors' Committee
with financial advice.


TALAM CORPORATION: SC Okays Ambang Sentosa's PTC Revision
---------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on Oct.
31, 2006, that a settlement agreement has been signed between
Talam Corporation Berhad, Ambang Sentosa Sdn Bhd, Maxisegar Sdn
Bhd and PB Trustee Services Berhad.

According to the TCR-AP, Ambang Sentosa has purchased assets
from Maxisegar under an Asset Sale Agreement and has undertaken
an issuance of Al-Bai Bithaman Ajil Islamic Debt Securities of
MYR986 million (varied BaIDs) constituted by a Trust Deed both
dated June 26, 2003, as supplemented and amended by an Amendment
and Restatement Agreement dated July 28, 2005.

As at July 28, 2006, MYR498 million of Primary Notes and
MYR30.875 million of Secondary Notes in respect of Varied BaIDs
remain outstanding comprising the Varied BaIDs of Class B and
Class C.

Moreover, Ambang Sentosa, Maxisegar and Talam have requested PB
Trustee to agree to the settlement of Ambang Sentosa and
Maxisegar's respective obligations to PB Trustee as set out in
Talam's proposal through the Settlement Agreement.  Talam's
proposal incorporates these salient terms:

   * to settle MYR503.8 million as full and final settlement
     of Varied BaIDs as follows:

     -- cash portion of MYR67.8 million and all profits accruing
        thereon in the Escrow Accounts and the BaIDs Redemption
        Account as at the Cash Portion Payment Date;

     -- secured Al-Bai Bithaman Ajil Islamic Debt Securities of
        up to an aggregate nominal value of MYR150 million
        Settlement BaIDs to be issued in one series by Talam
        with tenure of eight years and at issuer's option to
        extend for another two years; and

     -- MYR286 million of Redeemable Convertible Preference
        Shares of par value at MYR0.20 per Redeemable Shares
        with a maturity period of five years with a further
        extension of maximum of two years.

In an update, Malaysia's Securities Commission approved a
Revised Principal Terms and Conditions regarding Ambang
Sentosa's Varied BaIDs.

The SC approved these revisions:

    a. To restructure ASSB's MYR272.0 million Class B BaIDS
       (Class B Varied BaIDS) and MYR226.0 million Class C BaIDS
       (Class C Varied BaIDS) via, inter-alia, cash settlement
       from the monies in the Escrow Accounts, BaIDS Redemption
       Account and Expenses Reserve Account and Talam's proposed
       issuance of redeemable convertible preference shares and
       Al-Bai Bithaman Ajil Islamic Debt Securities;

    b. To vary the utilization of the Escrow Accounts monies for
       partial redemption of Class B Varied BaIDS and Class C
       Varied BaIDS on equal distribution basis proportionate to
       their holdings;

    c. To utilise the Development Accounts monies, save for
       monies represented by collection proceeds attributable to
       those unsold lands owned by the Originator as identified
       in the settlement agreement dated0 October 5, 2006, for
       development costs payments in respect of the
       participating projects;

    d. To utilize any remaining balances in the Expense Reserve
       Account as at Settlement Date immediately prior to the
       settlement of the Varied BaIDS to be used to partially
       redeem the outstanding Class B Varied BaIDS and Class C
       Varied BaIDS on equal distribution basis proportionate to
       their holdings; and

    e. To create additional land charges as security to the
       BaIDS holders in respect of the Lands, as identified in
       Annexure D of the Settlement Agreement.

The Securities Commission, however, clarifies that the approval
of the revised PTC is conditional and is not to be construed as
a decision by the SC on Talam's proposed issuance of RCPS and
proposed issuance Settlement BaIDS, which are yet to be
submitted to the SC for consideration.

                          *     *     *

Headquartered in Kuala Lumpur, Malaysia, Talam Corporation
Berhad is principally engaged in property development.  Its
other activities include trading building materials,
manufacturing of ready mixed concrete, provision for higher
educational programs, development and management of hotel, golf
and country club horticulturists, agriculturists and landscaping
designers and contractors and investment holding.  Operations of
the group are carried out in Malaysia and China.

The Troubled Company Reporter - Asia Pacific reported on Sept.
11, 2006, that based on the Audited Financial Statements of
Talam Corporation for the financial year ended January 31, 2006,
the Auditors Ernst & Young were unable to express their opinion
on the Company's Audited Accounts.  As such, the Company is an
affected listed issuer of the Amended Practice Note 17 category.  
In accordance with PN 17, the company is required to submit and
implement a plan to regularize its financial condition within
eight months from Sept. 1, 2006.

As of end-Oct. 31, 2006, the company's balance sheet reflected
strained liquidity with current assets of MYR1.48 billion
available to pay current liabilities of MYR2.52 billion.  

Talam's consolidated balance sheet also showed total assets of
MYR3.09 billion and MYR2.76 billion liabilities.  Shareholders'
equity in the company totaled MYR326.38 million.


===============
M O N G O L I A
===============

TRADE & DEV'T BANK OF MONGOLIA: Moody's Rates EMTN Program
----------------------------------------------------------
Moody's Investors Service has assigned prospective (P)Ba2 and
(P)Ba3 senior and subordinated debt ratings to the foreign
currency Euro Medium Term Notes Program proposed by the Trade
and Development Bank of Mongolia.  The outlook for all ratings
is stable.

"Senior notes issued under the EMTN program would be rated
(P)Ba2, the same as the bank's foreign currency issuer rating.
TDBM is likely to do the first drawdown of the senior notes in
early 2007", said May Yan, a Vice President and Senior Credit
Officer with Moody's Hong Kong office.

"The terms of the prospective subordinated notes are similar to
the standard characteristics of lower tier II instruments issued
in the international market.  As such, they would be rated
(P)Ba3 on issuance, one notch lower than TDBM's senior
obligations at Ba2", say Yan.

"Sub-debt issued out of the EMTN program will not be eligible
for capital treatment in Mongolia as they will not be
convertible to equity, a requirement for capital treatment under
Mongolia banking regulations", she notes.

TDBM is rated Ba2/NP for long-term/short-term foreign currency
debt, B2/NP for long and short-term deposits and carries a bank
financial strength rating of D-.  The outlooks for all these
ratings are stable.

"TDBM's ratings reflect its leading position in the domestic
corporate banking market, strong profitability, experienced
management team, and improving asset quality," explains Yan.
"However, the rating has also been constrained by the bank's
rapid growth, exposure to volatile commodity prices, the
volatility inherent in its operating environment, and some
uncertainty evident concerning the future make-up of its
management and shareholders," she adds.

The issuance of the notes will also help diversify TDBM's
funding source and support future loan growth.

The ratings of the EMTN program are contingent upon the final
offering terms and conditions for the EMTN program not showing
any significant difference from those already reviewed by
Moody's.

TDBM is headquartered in Ulaanbaatar, Mongolia.  It reported
assets of MNT437 billion (approximately US$ 374 million) at
September 2006.

Moody's Investors Service is a publisher of rating opinions and
research.  It is not involved in the offering or sale of any
securities, nor is it acting on behalf of the offering party.
This release is not a solicitation or a recommendation to buy,
hold or sell securities.


=====================
N E W   Z E A L A N D
=====================

WEIGHT WATCHERS: Moody's Rates Proposed US$1.2 Bil. Loan at Ba1
---------------------------------------------------------------
Moody's Investors Service assigned a Ba1 rating to the proposed
US$1.2 billion senior secured term loan facility of Weight
Watchers International, Inc. and affirmed existing credit
ratings.

The rating outlook remains stable.

The proceeds from the US$1.2 billion credit facility are
expected to be used to fund share purchases, refinance the
indebtedness of its subsidiary, WeightWatchers.com, and pay
related fees and expenses.  The existing US$850 million credit
facility is expected to remain outstanding at closing.

On Dec. 18, 2006, Weight Watchers reported that it commenced a
self-tender offer for up to 8.3 million shares of its common
stock and also entered into an agreement with Artal Holdings Sp.
z o.o., its majority shareholder.  The agreement with Artal
provides that Weight Watchers will purchase from Artal shares of
its common stock so that Artal's percentage ownership in Weight
Watchers after the tender offer will be substantially equal to
its current level of approximately 55.2%.

Prior to its recent report, Weight Watchers' credit metrics were
strong for the Ba1 rating category, but reflected uncertainty
related to the firm's target capital structure and expected
financial policies.

Although the reported transaction will result in pro forma
leverage and cash flow metrics that are weak for the rating
category, these metrics are expected to improve in 2007.

Moody's expects profitability in 2007 to benefit from new
business initiatives and expects the company to utilize internal
cash generation to repay a portion of the transaction
indebtedness.

The Ba1 corporate family rating continues to reflect high levels
of pretax income, impressive profit margins and solid geographic
diversification.  The ratings are constrained by reliance on a
single brand and potential threats from new competitors and
products.

Moody's took these rating actions for Weight Watchers:

   -- Assigned US$700 million add-on senior secured term loan A
      facility due 2013, Ba1, LGD3, 34%;

   -- Assigned US$500 million add-on senior secured term loan B
      facility due 2014, Ba1, LGD3, 34%;

   -- Affirmed US$500 million senior secured revolving credit
      facility due 2011, Ba1, LGD3, 34%;

   -- Affirmed US$350 million senior secured term loan A
      facility due 2011, rated Ba1, to LGD3, 34%;

   -- Affirmed Corporate Family Rating, Ba1; and,

   -- Affirmed Probability of Default Rating, Ba2.

Moody's affirmed the credit ratings of WeightWatchers.com and
will withdraw such ratings upon the repayment of its rated debt
with the proceeds from the add-on term loan facilities.

The stable ratings outlook anticipates solid revenue and
profitability growth in 2007 driven by recent franchise
acquisitions, implementation of price increases in portions of
North America and Europe, new marketing campaigns and wider
roll-out of new monthly and seasonal membership plans.  Free
cash flow generation is expected to be primarily utilized for
debt repayment.

The company's willingness to substantially increase leverage in
connection with its pending share purchase is inconsistent with
an investment grade rating profile.  Consequently, the ratings
are unlikely to be upgraded in the intermediate term.  

However, over the long term, an upgrade is possible if the
company:

   -- grows profitability or repays indebtedness such that EBIT
      coverage of interest and free cash flow to debt are
      sustained for a few years at over 4.5x and 12%,
      respectively; and,

   -- demonstrates a commitment to conservative financial
      policies.

The ratings could be pressured by another large share repurchase
in the near term or a failure to achieve anticipated
improvements in credit metrics during the next year.  Credit
metrics could remain weak within the rating category if
attendance levels or operating margins decline and term loan
repayments are materially below Moody's expectations.  A
downgrade is possible if EBIT coverage of interest and free cash
flow to debt are expected to be sustained at less than 2.5x and
8%, respectively.

Headquartered in New York, New York, Weight Watchers is a
leading global provider of weight management services, operating
globally through a network of company owned and franchised
operations.   The company has presence in 30 countries including
Brazil, the Netherlands, and New Zealand.  Revenues for the
twelve months ended Sept. 30, 2006, were US$1.2 billion.


WEIGHT WATCHERS: Sept. 30 Balance Sheet Upside Down by US$103MM
----------------------------------------------------------------
Weight Watchers International, Inc., has filed its financial
statements for the quarter ended Sept. 30, 2006, with the U.S.
Securities and Exchange Commission.

The company reported a US$50,615,000 net income on
US$284,753,000 of net revenues for the three months ended Sept.
30, 2006, versus a US$49,452,000 net income on US$257,483,000 of
net revenues for the three months ended Oct. 1, 2005.

At Sept. 30, 2006, the company's balance sheet showed
US$935,098,000 in total assets and US$1,038,367,000 in total
liabilities, resulting in a stockholders' deficit of
US$103,269,000.  At Dec. 31, 2005, the company's stockholders'
deficit was US$80,651,000.

A full-text copy of the regulatory filing is available for free
at:

              http://ResearchArchives.com/t/s?1777

Headquartered in New York, U.S.A., Weight Watchers International
Inc. (NYSE: WTW) -- http://www.weightwatchersinternational.com/
-- provides weight management services, with a presence in 30
countries around the world, including Brazil, the Netherlands,
and New Zealand.  The company serves its customers through
Weight Watchers branded products and services, including
meetings conducted by Weight Watchers International and its
franchisees.

                        *    *    *

Moody's Investors Service assigned a Ba1 rating to the proposed
US$1.2 billion senior secured term loan facility of Weight
Watchers International, Inc. and affirmed existing credit
ratings.

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. consumer services sector, the rating
agency confirmed its Ba1 Corporate Family Rating for Weight
Watchers International, Inc.

On December 27, 2006, the Troubled Company Reporter - Asia
Pacific reported that Standard & Poor's Ratings Services placed
its ratings for commercial weight-loss service provider Weight
Watchers International Inc., including the 'BB' corporate credit
rating, on CreditWatch with negative implications, indicating
that the ratings could be lowered or affirmed after the
completion of Standard & Poor's review.


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

AGP INDUSTRIAL: 2006 Nine-Month Net Loss Equals PHP430,000
----------------------------------------------------------
AGP Industrial Corporation reports a net loss of PHP430,000 for
the nine months ended September 30, 2006.

The company did not have any revenues for the period in review.  
It, however, incurred a PHP230,000 listing maintenance fee and
another PHP200,000 in professional fees.

As of September 30, 2006, the company has a capital deficiency
of PHP295.68 million on total assets of PHP2.12 million and
total liabilities of PHP297.80 million.

                      Going Concern Issues

The company identified the following factors, among others, as
indicators that it may not be able to continue as a going
concern:

   a. The company has not generated income and incurred
      significant losses for the third quarter ended
      September 30, 2006, and years ended December 31, 2005,
      2004 and 2003.  As of September 30, 2006, the company's
      capital deficiency amounted to about PHP295 million.

   b. The company is dependent on the continuing support of its
      major stockholder, Trans-Philippines Investments
      Corporation.  On February 19, 1999, TPIC filed with the
      Securities and Exchange Commission a Petition for
      Suspension of Debt Payments.  Consequently, the company
      has difficulty in meeting its current obligations due to
      the lack of funding support from TPIC.

   c. The company may not be able to generate income from its
      investment in shares of stock of Atlantic, Gulf and
      Pacific Company of Manila Inc.

   d. The ongoing negotiations between the representatives of
      DMCI Holdings, Inc. and AG&P and the company, who are
      working toward a commercial solution to the stalled merger
      of AG&P and the company, have been temporarily suspended
      until the legal issue concerning the controlling
      shareholder of the company, TPIC, is cleared.

   e. On November 13, 2003, the company conducted its annual
      stockholders meeting.  The company's documents are in the
      possession of the new management or directors who have
      taken over the affairs of the company to pave the way for
      the entry of new investors.  The new management is in the
      process of complying with all the requirements of the said
      investors.

                       About AGP Industrial

Headquartered in Makati City, Philippines, AGP Industrial
Corporation is an investment and management company organized
for the purpose of acquiring the controlling stock of the
Atlantic Gulf & Pacific Company of Manila, Inc. (AG & P), the
leading construction firm in the country.  It is currently the
oldest and among the largest diversified engineering and general
construction firms in the Philippines.  The company's primary
activity is to engage in industrial and infrastructure projects
both locally and abroad, particularly in the Middle East.  The
company went on to diversify its operations in 1987 when it
ventured into the manufacture and sale of foundation garments.


BENPRES HOLDINGS: Disposes 0.20% Digitel Shares for PHP25.4 Mil.
----------------------------------------------------------------
Benpres Holdings Corporation discloses that in December 2006, it
has disposed of 13,000,000 Digital Telecommunications Inc.
shares for PHP24.4 million through the Philippine Stock
Exchange.

Benpres notes that it is unaware of the identity of the buyer.

The disposed shares are equivalent to 0.20% of the total issued
and outstanding shares of Digitel based on the total outstanding
shares of 6,356,976,310 as of December 31, 2005.  However, this
number of shares does not reflect the dilution from the parent
company zero coupon convertible bonds and DCPL zero coupon
convertible bonds as disclosed in the Digitel 2005 audited
financial statements.

The funds will be used for Benpres' working capital
requirements.

                     About Benpres Holdings

Headquartered in Pasig City Philippines, Benpres Holdings
Corporation is a 56.22%-owned subsidiary of Lopez, Inc.  Both
entities were incorporated in the Philippines.  Benpres Holdings
and its subsidiaries are mainly involved in investment holdings,
broadcasting and entertainment, and water distribution.  The
Company's associates are involved in telecommunications, power
generation and distribution, cable television, real estate
development and infrastructure.

Starting in 2002, Benpres Holdings defaulted on its principal
and interest payments on its long-term direct obligations and
guarantees and commitments.  As proposed in the Company's
Balance Sheet Management Plan, all of Benpres' liabilities were
computed as of May 31, 2002.  Also as proposed in the BSMP, the
Company would make good faith semi-annual payments on its direct
and contingent obligations.  The first payment was made on
December 2, 2002, and succeeding payments were made in June and
December 2003, June and November 2004, and May and November
2005.

As of Dec. 31, 2005, Benpres Holdings' long-term direct
obligations due for payment stood at PHP9.96 billion.  By virtue
of its guarantees and commitments, based on the BSMP, the
Company may be liable for certain obligations that already fell
due, amounting to approximately PHP10.94 billion as of Dec. 31,
2005, excluding guarantees in its unit, Maynilad Water Services,
Inc.  As of December 31, 2005, consolidated current liabilities
exceeded consolidated current assets by PHP22.12 billion.  Net
loss attributable to Benpres Holdings' equity holders for the
year ended December 31, 2004, amounted to PHP1.2 billion.

After auditing the Company's annual report for the period ended
December 31, 2005, Sycip Gorres Velayo & Co. raised substantial
doubt on Benpres Holdings' ability to continue as a going
concern, which would depend on success of the Company's
balancesheet management plan.


FORUM PACIFIC: Incurs PHP12.9-Million Net Loss in 9-Month Period
----------------------------------------------------------------
Forum Pacific, Inc.'s revenues increased by 22% from
PHP5.6 million in the nine-month period ended Sept. 30, 2005, to
PHP6.8 million in the same period ended Sept. 30, 2006, the
company said in a disclosure with the Philippine Stock Exchange.

Majority of the revenues came from its subsidiary, the Express
Bank, with a total interest income from various bank
transactions such as dues from Local Banks, Bangko Sentral ng
Pilipinas, and other interest accounts totaling PHP4.2 million.

Cost and expenses consisted primarily of compensation and fringe
benefits, depreciation and amortization, office rentals,
professional fees, taxes and licenses, membership dues and
subscription and representation expenses.  Cost and expenses
increases by almost double compared from previous quarter.  In
all expenses account the highest total expenses per account is
the Interest Expense account (from Savings and Time Deposits)
followed by the Compensation/Fringe Benefits of the bank
employees.  Also, another reason of the increase of expenses was
due to increase in foreclosure related expenses and expenses on
deposit campaign promo.

The bank registered a PHP12.9 million net loss for the nine
months ending September 30, 2006.

                      Financial Condition

The bank registered a total equity of PHP487.2 million as of
Sept. 30, 2006.

The bank's capital position is below the minimum requirement of
Bangko Sentral ng Pilipinas, however, the bank has submitted a
capital build-up program in order to attain the required
capital.

                      About Forum Pacific

Headquartered in Makati City, Philippines, Forum Pacific, Inc.,
formerly known as Air Philippines International Corporation, was
registered to engage in investing, purchasing and acquiring
assets of any kind and description with the secondary purpose of
engaging in the exploration, development and production of
petroleum and related products, as well as other mineral and
chemical substances.  It is presently a holding company, owning
shares of stocks of an exploration company, a thrift bank and
other companies.  

                      Going Concern Doubt

After auditing the company's annual report for the year ended
Dec. 31, 2005, Alba Romeo and Co. raised significant doubt on
the company's ability to continue as a going concern, citing net
losses of PHP293,564,796 in 2005 and PHP10,458,551 in 2004;
current liabilities exceeding current assets by PHP105,132,374
as of end-December 2005 and PHP90,509,435 as of end-December
2004.

Yet, the parent company is currently developing strategic plans
on how to improve its operations and is looking for business
partners to expand its activities.  Management has developed
programs including infusion of fresh funds by the majority
owners, income-generating schemes and cost-saving measures to
improve operations, change of management officials, and
reduction of risk exposures to manageable levels.


GLOBE TELECOM: Lists 2,114 Common Shares Under ESOP
---------------------------------------------------
On August 25, 2004, the Philippine Stock Exchange approved the
application of Globe Telecom, Inc., to list up to 12,000,000
common shares, with a par value of PHP50 per share, divided into
6,000,000 common shares to cover the company's Executive Stock
Option Plan, and 6,000,000 common shares to cover the Employee
Stock Ownership Plan.

In this connection, Globe Telecom advises that a total of 2,114
common shares under its ESOP have been fully exercised and fully
paid as of December 31, 2006.  The listing of these shares is
set for January 10, 2007.  This brings the number of common
shares listed under the company's ESOP to a total of 355,906
common shares and ESOWN to a total of 1,079,198 common shares.

Accordingly, Globe Telecom notes that the designated Stock
Transfer Agent is authorized to issue the corresponding stock
certificates to the optionees.

                       About Globe Telecom

Globe Telecom, Inc. -- http://www.globe.com.ph/-- is one of the  
country's major telecommunications companies.  It was
incorporated on January 15, 1935 as a traditional provider of
telex/telegram and VSAT services.  Thereon, it diversified its
business into a cellular, landline and international gateway
facility services provider for long distance telephone calls.

The Company offers a wide range of telecommunications services
to business and residential subscribers, including wireless,
wireline and carrier services.  It has introduced innovative
features like text messaging, Infotext and Handyphone Mobile
Office.  It also offers caller ID, voice mail, call forwarding
and data/fax capabilities.  Recently, it launched various
services like video messaging, streaming video, wireline data
services, over-the-air loading and its latest, MyGLobe G-TV
service, which allows subscribers to view selected TV programs
on mobile phones, among others.

                          *     *     *

Standard and Poors gave Globe Telecom's Long Term Foreign Issuer
Credit and Long Term Local Issuer Credit both a BB+ rating,
effective November 3, 2005 and June 23, 2004, respectively.

On September 1, 2006, the Troubled Company Reporter - Asia
Pacific reported that Standard & Poor's affirmed its ratings on
Globe Telecom Inc. at 'BB+', with a stable outlook.

On November 3, 2006, Moody's Investors Service affirmed Globe
Telecom's Ba2 senior unsecured foreign currency rating and
changed its outlook to stable from negative.  At the same time,
Moody's has affirmed Globe's Baa2 domestic currency issuer
rating.  The outlook for this rating remains stable.


LIBERTY TELECOMS: Incurs PHP254MM Loss for Sept. 2006 Quarter
-------------------------------------------------------------
Liberty Telecoms Holdings Incorporated and its affiliates report
a consolidated net loss of PHP254.41 million for the quarter
ended Sept. 30, 2006, higher than the PHP231.87 million it
posted a year ago.

The group is still operating with a minimum number of employees
to secure the assets of the company and at the same time help
the management in its effort to source out for prospective
investor who will help the company get back to its normal
operations and hopefully be among the profitable telecoms in the
country.  Management expected that up to this period, the
company and its affiliates will incur losses since the operating
companies, Liberty Broadcasting Network Inc. and Skyphone
Logistics Inc. are still in-operational.  

The subscription income came from vast operations (a joint
venture between PILTEL & LBNI) which was not affected by the
suspension of nationwide operations of affiliated company, LBNI.

Other income came from agreement with other telco companies like
Philippine Long Distance Telephone Company, Globe Telecom and TV
network GMA 7 to use LBNI's facilities for their business'
needs.  As a result of the shutdown of operations, several
expenses went down except for interest expense, and
professional, legal, & service fees.  Interest expense increased
due to increase in private funds borrowings to sustain the
current operations of the affiliated companies, LBNI & SLI.  
Professional & legal fees increased on account of additional
expenses in connection with the filing of the company and its
affiliates for corporate rehabilitation with the Regional Court
of Makati in August 2005.

Supplies also increased by 24.46% on account of supplies used
for the projections presented to various prospective investors.  
Also, representation & entertainment increased by 24.91% as a
result of the expenses in connection with the meetings with
prospective investors.  Miscellaneous expenses increased by 10%
because of increased expenses on xerox in connection with the
presentation materials for prospective investors.

Cash decreased by 38.38% because the company uses its resources
of the company to minimize borrowings from private creditors.  
Accounts receivable increased by 20.77% because of the credit
terms granted to vsat customers.  The 39.51% increase in
accounts receivable - others can be attributed to increase on
advances to employees for the various maintenance of the
communications systems. These advances are being monitored
closely for proper liquidation. Minimal decrease in prepayments
& other current assets is due to minimal decrease in input tax.

Decreased in property and equipment was due to the set-up of
provision for depreciation and value of damaged telecoms
property reimbursed by the insurance company.  

Current portion of long-term debt decreased by 7.40% due to
partial payment made to Telesat, Inc.

                     About Liberty Telecoms

Headquartered in Makati City, Liberty Telecoms Holdings
Incorporated was incorporated in January 1994 primarily to
engage in real and personal property businesses; to deal in
stocks, bonds and other securities or evidence of indebtedness
of any entity; and to acquire all or any part of the business of
any entity.  LIB's business strategy is to offer products and
services to meet the telecommunication needs of its various
customers.

The company, in its effort to stop continuing losses, decided to
temporarily close down the nationwide telecommunications
business operations of subsidiaries Liberty Broadcasting Network
Inc., and Skyphone Logistics Inc. in April 2005.  The decision
became inevitable due to the inability of the company to meet
interest payments and principal repayments on the financial
obligations to creditor banks and private creditors.  

As early as December 2004, LBNI has been receiving default and
acceleration notices and demand for payments from creditors.  On
August 16, 2005, Liberty Telecoms Holdings together with its
subsidiaries, Liberty Broadcasting Network and Skyphone
Logistics filed a Petition for Rehabilitation and Suspension of
Payments with the Regional Trial Court of Makati City in Metro
Manila.

                      Going Concern Issue

The group had an accumulated deficit of PHP1,623,462,353 and
PHP1,288,454,974 as of December 31, 2005 and 2004, respectively,
while its current liabilities exceeded the current assets by
PHP1,233,304,470 and PHP1,112,599,397 as of such year-ends.  

These factors, among others, indicate that the group may face
difficulties to continue operating in the normal course. The
group has initiated moves for the restructuring of the loans.  

                    Corporate Rehabilitation

On August 11, 2005, as part of the company's plan to resolve and
to continue normal operations, the Board of Directors of the
company and its subsidiaries namely, Liberty Broadcasting
Network, Inc. and Skyphone Logistics, Inc., approved to file a
petition for the corporate rehabilitation and a petition for
suspension of payments.

This Group of companies has filed on August 15, 2005, with a
Regional Trial Court in Makati City the said petition to seek
rehabilitation with the objectives of:

   (a) maintaining its business as healthy on-going concerns,
       thereby securing the jobs of its employees and of its
       business partners and allowing the resumption of public
       service through the telecommunications services that it
       offers to the entire nation;

   (b) settling its obligations to its secured and unsecured
       creditors;

   (c) giving its stockholders a chance to realize a fair return
       on their investments.

On August 19, 2005, the Regional Trial Court in Makati City
issued a stay order after finding the petition to be sufficient
in form and substance.  Among other things, as a consequence of
the stay order, the Group is prohibited from selling,
encumbering, transferring, or disposing in any manner any of its
properties except in the ordinary course of business.  It is
further prohibited from making any payment of its liabilities
outstanding as of the date of the filing of the petition on
August 15, 2005.  Its suppliers of goods and services are
likewise prohibited from withholding supply of goods and
services in the ordinary course of business for as long as it
makes payments for the services and goods supplied after
issuance of the stay order. However, the petition for
rehabilitation has yet to be decided upon by the said Regional
Trial Court.


MIRANT CORP: Has Until February 15 to File Chapter 11 Plan
----------------------------------------------------------
The United States Bankruptcy Court for the Northern District of
Texas extends the exclusive periods within which the Excluded
Mirant Corp. and its debtor-affiliates may:

    (i) adopt Mirant Corporation's Plan of Reorganization or
        file their own plan until Feb. 15, 2007; and

   (ii) solicit acceptances of their plan or plans until
        April 14, 2007.

The Excluded Debtors are:

   -- Mirant NY-Gen, LLC
   -- Mirant Bowline, LLC
   -- Mirant Lovett, LLC
   -- Mirant New York, Inc., and
   -- Hudson Valley Gas Corporation.

                          About Mirant

Headquartered in Atlanta, Georgia, Mirant Corporation (NYSE:
MIR) -- http://www.mirant.com/-- is an energy company that  
produces and sells electricity in North America, the Caribbean,
and the Philippines.  Mirant owns or leases more than 18,000
megawatts of electric generating capacity globally.  Mirant
Corporation filed for chapter 11 protection on July 14, 2003
(Bankr. N.D. Tex. 03-46590), and emerged under the terms of a
confirmed Second Amended Plan on Jan. 3, 2006.  Thomas E.
Lauria, Esq., at White & Case LLP, represented the Debtors in
their successful restructuring.

When the Debtors filed for protection from their creditors, they
listed US$20,574,000,000 in assets and US$11,401,000,000 in
debts.  The Debtors emerged from bankruptcy on Jan. 3, 2006.
(Mirant Bankruptcy News, Issue No. 107; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).

                          *     *     *

Moody's Investors Service assigned its B2 corporate family
rating, effective July 13, 2006, on Mirant Corporation.


PHILIPPINE LONG DISTANCE: A. Conjuangco Resigns as Director
-----------------------------------------------------------
In a disclosure with the Philippine Stock Exchange dated Jan. 8,
2007, Philippines, Philippine Long Distance Telephone Co. stated
that Antonio O. Cojuangco vacated his post as a director of the
PLDT, effective on January 7, 2007.

The company however, notes that the event is not expected to
have any significant impact on its current or future operations,
financial position, or results of operation.

                           About PLDT

Based in Makati City, Philippines, Philippine Long Distance
Telephone Co. -- http://www.pldt.com.ph/-- is the leading  
national telecommunications service provider in the Philippines.  
Through three principal business groups -- wireless, fixed line,
and information and communications technology -- the company
offers a wide range of telecommunications services to over 22
million subscribers in the Philippines across the nation's most
extensive fiber optic backbone and fixed line, cellular and
satellite networks.

                          *     *     *

Moody's Investors Service placed a Ba1 local currency corporate
family rating on PLDT.  Moody's also affirmed the company's Ba2
foreign currency senior unsecured ratings, with a negative
outlook.

Standard & Poor's placed the company's long-term foreign issuer
credit rating at BB+.  Standard & Poor's also affirmed its 'BB+'
foreign currency rating on the company with a stable outlook.


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

C-MED PTE: Creditors Must Prove Debts by Feb. 5
-----------------------------------------------
C-Med Pte Ltd, which is under members' voluntary liquidation,
requires its creditors to submit their proofs of debt by Feb. 5,
2007.

The company's liquidators are:

         Low Sok Lee Mona
         Teo Chai Choo
         c/o Low, Yap & Associates
         4 Shenton Way
         #04-01 SGX Centre 2
         Singapore 068807


HLG ENTERPRISE: Buyers Exercise Options to Purchase Properties
--------------------------------------------------------------
On Dec. 4, 2006, HLG Enterprise Limited disclosed that Classic
Holdings Pte Ltd, Noble Properties Pte Ltd and Noble Estates Pte
Ltd have exercised their respective options to purchase Tristar
Inn, Unit #02-01 and Unit #02-02 owned by Joo Chiat Holding Pte
Ltd, the company's indirect wholly owned subsidiary.

The exercise of options of the Buyers were in relation to:

     (i) the granting of an option by Joo Chiat in favor of
         Classic Holdings to purchase Tristar Inn for a cash
         consideration of SGD18,300,000; and

    (ii) the granting of options by Joo Chiat in favor of Noble
         Properties and Noble Estates, to purchase the two shop
         units located at 970 Geylang Road, #02-01 and #02-02,
         Singapore for a cash consideration of SGD430,000 each.

                  About HLG Enterprise Limited

HLG Enterprise Limited -- formerly known as LKN-Primefield
Company Pte Ltd -- is a Singapore-based company involved in
investment holding and investing in property for rental.
Through a number of subsidiaries, the company is engaged in
building and civil engineering construction; the construction of
crude oil tanks and piping systems; commercial and home repair
works and the provision of related maintenance services;
property development, investment and management; property
rental; the operation of hotels and restaurants, and the
provision of hotel management and consultancy.  LKN- Primefield
is also involved in the manufacture, retail sale, distribution,
import and export of computer hardware (including computer
peripherals) and software, and the development of multimedia
transactional payphone kiosks.  In addition, it is an ESDN
electronic service delivery network provider that owns and
operates a large network of public broadband transactional
terminals.  The company's operations are mainly concentrated in
Singapore, China and Indonesia.

On November 29, 2004, HLG Enterprise and certain of its
Subsidiaries entered into a debt restructuring plan with the
company's bondholders.  HSBC Trustee (Singapore) Ltd. acted as
the trustee for the bondholders; KPMG Business Advisory Pte.
Ltd. acted as New Restructuring Agent/Independent Special
Consultant/Paying Agent.

The company's Sept. 30, 2006 consolidated balance sheet showed
total assets of US$177.62 million and total liabilities of
US$189.1 million, resulting in a shareholders' equity deficit of
US$11.5 million.

As of Oct. 12, 2006, the company has shareholders' deficit of
US$12.72 million, on total assets of US$150.70 million, as
reported by the Troubled Company Reporter - Asia Pacific on
Oct. 13.


HLG ENTERPRISE: Notes Shareholders Change of Interests
------------------------------------------------------
HLG Enterprise Limited disclosed a series of changes to its
shareholders interests.

Florence Tay Eng Neo, a substantial shareholder of the company,
has reduced the percentage of issued share capital on its direct
and deemed holdings.

Before the change, Mr. Neo held 37,223,923 direct shares with
5.66% issued share capital and 11,299,814 deemed shares with
1.72% issued share capital.  Presently, Mr. Neo's issued share
capital for its direct shares was reduced to 4.36% while its
issued share capital for its deemed shares was reduced to 1.32%.

The reduction of issued share capital, which happened on
Nov. 22, 2006, was due to the issuance of 196,201,374 new
ordinary shares in the company's capital to Grace Star Services
Ltd., thus the conversion by Grace Star of all its 196,201,374
outstanding non-redeemable convertible cumulative preference
shares.
  
                  About HLG Enterprise Limited

HLG Enterprise Limited -- formerly known as LKN-Primefield
Company Pte Ltd -- is a Singapore-based company involved in
investment holding and investing in property for rental.
Through a number of subsidiaries, the company is engaged in
building and civil engineering construction; the construction of
crude oil tanks and piping systems; commercial and home repair
works and the provision of related maintenance services;
property development, investment and management; property
rental; the operation of hotels and restaurants, and the
provision of hotel management and consultancy.  LKN- Primefield
is also involved in the manufacture, retail sale, distribution,
import and export of computer hardware (including computer
peripherals) and software, and the development of multimedia
transactional payphone kiosks.  In addition, it is an ESDN
electronic service delivery network provider that owns and
operates a large network of public broadband transactional
terminals.  The company's operations are mainly concentrated in
Singapore, China and Indonesia.

On November 29, 2004, HLG Enterprise and certain of its
subsidiaries entered into a debt restructuring plan with the
company's bondholders.  HSBC Trustee (Singapore) Ltd. acted as
the trustee for the bondholders; KPMG Business Advisory Pte.
Ltd. acted as New Restructuring Agent/Independent Special
Consultant/Paying Agent.

The company's Sept. 30, 2006, consolidated balance sheet showed
total assets of US$177.62 million and total liabilities of
US$189.1 million, resulting in a shareholders' equity deficit of
US$11.5 million.

As of Oct. 12, 2006, the company has shareholders' deficit of
US$12.72 million, on total assets of US$150.70 million, as
reported by the Troubled Company Reporter - Asia Pacific on
Oct. 13.


KATELL INVESTMENT: Creditors Have Until Feb. 5 to Prove Debts
-------------------------------------------------------------
The creditors of Katell Investment Co. Pte Ltd have until
Feb. 5, 2007, to file their proofs of debt.

Failure to submit proofs of debt by the due date will exclude a
creditor from sharing in the company's distribution of dividend.

The company's liquidators can be reached at:

         Chee Yoh Chuang
         Lim Lee Meng
         18 Cross Street
         #08-01 Marsh & McLennan Centre
         Singapore 048423


LIANG HUAT: Places Subsidiaries in Provisional Liquidation
----------------------------------------------------------
Liang Huat Aluminium Limited disclosed on Dec. 22, 2006, that it
has placed some of its dormant and inactive subsidiaries in
Singapore under provisional liquidation.  Moreover, Chen Yeow
Sin and Abuthahir Abdul Gafoor of ELTICI Financial Advisory
Services Pte Ltd were appointed as the provisional liquidators.

The subsidiaries that were placed under provisional liquidation
are:

   1) Durabeau International Pte Ltd;

   2) Glassbuild Pte Ltd;

   3) Glaspec Industries Pte Ltd;

   4) LHR Pte Ltd;

   5) LH Realty Pte Ltd;

   6) Liang Huat Industries Pte Ltd;

   7) Technologies Capital Pte Ltd;

   8) Glasia Pte Ltd;

   9) Coatech Industries Pte Ltd; and

  10) Worldmet Asia Pacific Pte Ltd.

                        About Liang Huat

Liang Huat Aluminium -- http://www.lianghuatgroup.com.sg/-- is
a vertically integrated, professionally run group of companies
based in Singapore focusing on producing high quality aluminum
products and processed glass for both the industrial and
construction industries.  It also supplies and installs aluminum
and processed glass for major commercial and residential
projects mainly in Singapore.

Liang Huat was the subject of a wind-up petition filed by Lim Ah
Siong trading as Lian Siong Aluminium & Trading on August 26,
2004.  Presently, the company is undergoing a financial
restructuring exercise.  It is also working a Scheme of
Arrangement with its major creditor banks.

The TCR-AP reported on Nov. 3, 2006, that the company registered
US$19.30 million in total assets and US$76.43 million
shareholders' equity deficit as of Nov. 2.


LION HEART: Creditors to Meet on Jan. 19
----------------------------------------
Lion Heart Properties Pte Ltd, which is in creditors' voluntary
liquidation, will hold a meeting for its creditors on Jan. 19,
2007, at 10:00 a.m., at One Marina Boulevard Level 30, in
Singapore.

At the meeting, the creditors will be asked to:

   -- receive the liquidators' report on the progress of the
      liquidation;

   -- decide on the interest issue raised by GENO Lion Plaza
      GmBH & Co KG in respect of the GBP 4.5 million retention
      monies held;

   -- obtain the wishes in respect of a retention amount of
      GBP326,200 claimed by Ibex Interiors; and

   -- discuss other matters.

The liquidator can be reached at:

         Seshadri Rajagopalan
         c/o Ernst & Young
         One Raffles Quay
         North Tower, Level 18
         Singapore 048583


LINDETEVES-JACOBERG: Subsidiary Enters Voluntary Liquidation
------------------------------------------------------------
Lindeteves-Jacoberg Ltd disclosed on Dec. 29, 2006, that its
subsidiary, Lindeteves-Jacoberg Trading Sdn Bhd, has been placed
into members' voluntary liquidation pursuant to Section 290(1)
of the Companies Act (Cap. 50).

Accordingly, Lau Chin Huat has been appointed liquidator to
supervise Lindeteves-Jacoberg Trading's wind-up process.

The company resolved that Lindeteves-Jacoberg Trading should be
placed in voluntary liquidation as it has been dormant since
1996.

The liquidation of Lindeteves-Jacoberg Trading will have no
material impact on its parent company.

Lindeteves-Jacoberg Trading's Liquidator can be reached at:

         Lau Chin Huat
         c/o 6 Shenton Way
         #32-00 DBS Building Tower Two
         Singapore 068809

                    About Lindeteves-Jacoberg

Lindeteves-Jacoberg Limited - http://www.linjacob.com/-- was  
incorporated in Singapore on December 11, 1947 as part of a
Dutch international trading group.  Its principal activities
consist of investment holding, provision of warehousing and
rental services and acting as specialist mechanical and
electrical contractor for environmental engineering projects.

The company is currently working out further debt restructuring
plans for its liabilities, in addition to an earlier approved
Scheme of Arrangement with its creditors.

The TCR-AP reported on Nov. 10, 2006, that the company has total
assets of US$225.52 million and US$53.23 million equity deficit
as of Nov. 9, 2006.


PETROLEOS BRASILEIRO: Developing Offshore Field with Shell
----------------------------------------------------------
Royal Dutch Shell Plc will develop an offshore field in Brazil's
Santos Basin, Jed Blount at Bloomberg News reports.  The field
was found to be commercially viable.

Shell's Brazilian unit told Bloomberg in a statement that wells
were drilled in 1,550 meters of water in two areas about 185
kilometers southeast of Rio de Janeiro.

Petroleo Brasileiro SA and Chevron Corp. are Shell's partners in
the project.  Each of Shell and Petroleo Brasileiro holds a 40%
stake in the field, while Cheveron holds the remaining 20%,
Bloomberg says.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, distributes oil and natural gas
and power to various wholesale customers and retail distributors
in Brazil.

Petrobras has operations in China, India, Japan, and Singapore.

                          *     *     *

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's.

Fitch Ratings assigned these ratings on Petroleo Brasileiro's
senior unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+

Fitch upgraded the foreign currency rating of Petrobras to BB+
from BB, with positive outlook, in conjunction with Fitch's
upgrade of the long-term foreign and local currency IDRs of the
Federative Republic of Brazil to BB, from BB- on June 29, 2006.


PETROLEO BRASILEIRO: Restarting Tender for Vessel Construction
--------------------------------------------------------------
Published reports say that Petroleo Brasileiro SA, the state-
owned oil company of Brazil, will restart a tender to construct
the 180,000-barrel per day capacity P-57 floating production,
storage and offloading vessel or FPSO.

Business New Americas relates that Petroleo Brasileiro has
rejected price proposals for the initial tender for vessel
construction.

A spokesperson of Petroleo Brasileiro told BNamericas, "The
prices offered were considered too high so Petrobras (Petroleo
Brasileiro) will start anew."

According to BNamericas, the P-57 will be used in the second
stage development of the deepwater Jubarte field in Campos
basin.  The vessel was due to begin oil and gas production in
2010.

Petroleo Brasileiro did not tell BNamericas the date of the
start of the new tender and whether the Jubarte development
project would be affected.

The report says that the Atlantico Sul consortium -- composed of
Andrade Gutierrez, Queiroz Galvano, Camargo Correa, Aker Pomar
and Samsung -- offered to construct the P-57 for BRL2.4 billion.

Maua-Jurong offered BRL1.8 billion, Globo online news service
states.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, and distributes oil and natural
gas and power to various wholesale customers and retail
distributors in Brazil.

Petrobras has operations in China, India, Japan, and Singapore.

                          *     *     *

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's.

Fitch Ratings assigned these ratings on Petroleo Brasileiro's
senior unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+

Fitch upgraded the foreign currency rating of Petrobras to BB+
from BB, with positive outlook, in conjunction with Fitch's
upgrade of the long-term foreign and local currency IDRs of the
Federative Republic of Brazil to BB, from BB- on June 29, 2006.


PETROLEO BRASILEIRO: Selects JPMorgan for US$25 Bil. ADR Program
----------------------------------------------------------------
JPMorgan Worldwide Securities Services has been appointed
successor depositary bank for the common and preferred share
American Depositary Receipt (ADR) programs for Petroleo
Brasileiro SA aka Petrobras.

Each common share Petrobras American depositary share (CUSIP 716
54V 40 8) represents four common shares, and each preferred
share Petrobras American depositary share (CUSIP 716 54V 10 1)
represents four preferred shares. The common and preferred
shares trade on BOVESPA, the Sao Paulo Stock Exchange, and both
American depositary shares trade on the New York Stock Exchange.
Petrobras shares are also traded on LATIBEX (Madrid) and the
BCBA (Buenos Aires) Exchanges.

Yxa Bazan, head of JPMorgan Latin America ADR group, said, "We
at JPMorgan are delighted to work with Petrobras, a leading
company in Latin America that also has a renowned global
presence. This appointment helps position JPMorgan as the number
one ADR depositary bank for Latin American issuers."

JPMorgan provides a full complement of ADR services to non-US
issuers seeking to have their equity traded in the US stock
markets. JPMorgan's primary services include:

    -- ADR Issuances and Cancellations,
    -- Stock Transfer,
    -- Tender and Exchange Offer and Subscription Rights Agency
       services, and
    -- Tax Reclamation services for investors.

         About JPMorgan Worldwide Securities Services

JPMorgan Worldwide Securities Services, a division of JPMorgan
Chase Bank, N.A., is a global industry leader with US$12.9
trillion in assets under custody. JPMorgan provides innovative
custody, fund accounting and administration and securities
services to the world's largest institutional investors,
alternative asset managers and debt and equity issuers. JPMorgan
Worldwide Securities Services leverages its scale and
capabilities in more than 90 markets to help clients optimize
efficiency, mitigate risk and enhance revenue through a broad
range of investor services as well as securities clearance,
collateral management and alternative investment services.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, and distributes oil and natural
gas and power to various wholesale customers and retail
distributors in Brazil.

Petrobras has operations in China, India, Japan, and Singapore.

                          *     *     *
   
Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's.

Fitch Ratings assigned these ratings on Petroleo Brasileiro's
senior unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+

Fitch upgraded the foreign currency rating of Petrobras to BB+
from BB, with positive outlook, in conjunction with Fitch's
upgrade of the long-term foreign and local currency IDRs of the
Federative Republic of Brazil to BB, from BB- on June 29, 2006.


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

COMPUTER SCIENCES: Bondholders Waive Filing Deadline to Jan. 5
--------------------------------------------------------------
Computer Sciences Corp. successfully completed its previously
disclosed consent solicitation from the holders of record as of
Dec. 11, 2006, of the US$200-million aggregate outstanding
principal amount of its 6-1/4% Notes due March 15, 2009, issued
under the Indenture, dated as of March 8, 1999, among CSC, as
issuer, and Citibank, N.A., a national banking association, as
trustee.

CSC was requesting a one-time waiver of any default or event of
default that has arisen or may arise by virtue of CSC's failure
to file with the U.S. Securities and Exchange Commission and
furnish to the Trustee and holders of the Notes, certain reports
required to be so filed and furnished by CSC pursuant to the
terms of the Indenture.

Approval of the Waiver effectively extends the existing 30-day
cure period in the Indenture by 60 days with respect to the
reporting requirements in the Indenture, which is consistent
with the cure period for the reporting requirements under the
indentures that govern CSC's three other outstanding series of
notes and similar to the cure period provided in the waiver of
default granted on Nov. 17, 2006, by CSC's lenders under its
US$1 billion credit agreement for failure to comply with the
reporting covenant in the Credit Agreement.

Each holder of record on Dec. 11, 2006, who validly delivered
their consent, and did not revoke such consent, will receive a
payment of US$1.25 for each US$1,000 principal amount of Notes
to which such consent related.  If CSC has not filed its 2007
Second Quarter Report with the SEC on or before 5:30 p.m., New
York City time, on Jan. 5, CSC will pay on the following
business day, or as promptly as practicable thereafter, to each
holder of record on Dec. 11, 2006, who validly delivered their
consent, and did not revoke such consent, an additional US$1.25
for each US$1,000 in principal amount of Notes.

Merrill Lynch & Co. acted as Solicitation Agent for the consent
solicitation.  Global Bondholder Services acted as the
Tabulation/Information Agent.

Headquartered in El Segundo, Calif., Computer Sciences
Corporation (NYSE: CSC) -- http://www.csc.com/-- is an  
information technology services company.  The company's services
include systems design and integration; IT and business process
outsourcing; applications software development; Web and
application hosting; and management consulting. The company has
operations in Singapore, the United Kingdom and Thailand.

The Troubled Company Reporter - Asia Pacific reported on Jan. 2,
2007, that Computer Sciences Corp. is soliciting consents from
the holders of its US$200 million aggregate outstanding
principal amount of its 6-1/4% Notes due 2009 for a one-time
waiver, to be effective through March 9, 2007, of any default or
event of default under the reporting requirements in the
indentures governing the Notes.


COMPUTER SCIENCES: Extends US$140-Mln IT Outsourcing Contract
-------------------------------------------------------------
Computer Sciences Corp. has signed a five-year, US$140 million
extension to an existing applications management outsourcing
contract with an undisclosed client.

Through the agreement, CSC will provide applications development
and maintenance services associated with back-office functions.

"We are pleased to add another contract extension to the various
new agreements we've signed with existing clients this year,"
said Chairman and Chief Executive Officer Van B. Honeycutt.
"With years of experience and the ability to develop close
working relationships with clients, CSC is well positioned to
deliver results that meet key business goals."

Headquartered in El Segundo, Calif., Computer Sciences
Corporation (NYSE: CSC) -- http://www.csc.com/-- is an  
information technology services company.  The company's services
include systems design and integration; IT and business process
outsourcing; applications software development; Web and
application hosting; and management consulting. The company has
operations in Singapore, the United Kingdom and Thailand.

The Troubled Company Reporter - Asia Pacific reported on Jan. 2,
2007, that Computer Sciences Corp. is soliciting consents from
the holders of its US$200 million aggregate outstanding
principal amount of its 6-1/4% Notes due 2009 for a one-time
waiver, to be effective through March 9, 2007, of any default or
event of default under the reporting requirements in the
indentures governing the Notes.


DAIMLERCHRYSLER AG: Plans to Build Assembly Site in India
---------------------------------------------------------
DaimlerChrysler AG will construct a new assembly site in Chakan,
India to cater to the increasing demand for cars, Bloomberg News
reports.

The company will shift the production of its Mercedes-Benz C-
Class, E-Class and S-Class brand to its Indian site.  The site
will have annual production capacity of 5,000 cars, double
DaimlerChrysler's sales figure in 2006, Bloomberg News relays.

"There is room for more cars from our range, but we will decide
on that in due course," Thomas Weber, DaimlerChrysler's Research
and Development chief, said.  "We are confident of the potential
that the Indian market can generate."

DaimlerChrysler joins Volkswagen AG, General Motors Corp. and
other automakers in building production sites in India, where
expanding economy and rising incomes spurred growing demand for
vehicles, Bloomberg News adds.

Carmakers announced in 2006 a combined US$5 billion of
investments in new factories in India by 2012.

                          *     *     *

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- engages in the development,  
manufacture, distribution, and sale of various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide.  It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

DaimlerChrysler has operations in Australia, China, Indonesia,
Japan, Korea, Malaysia and Thailand.

DaimlerChrysler lowered its operating profit forecast for full-
year 2006 to be in the magnitude of EUR5 billion (US$6.4billion)
based on an expected full-year operating loss of approximately
EUR1 billion (US$1.2 billion) for its Chrysler Group.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures - particularly on light trucks - by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.  Chrysler Group
will take additional production cuts in the third and fourth
quarters to reduce dealer inventories and make way for its
current product offensive.


DAIMLERCHRYSLER AG: Chrysler Arm to Double International Sales
--------------------------------------------------------------
Chrysler Group, DaimlerChrysler A.G.'s U.S. unit, aims to double
its international sales in the next five years, following a
decline in its U.S. results in 2006, Bloomberg News reports.

Chrysler CEO Tom LaSorda said the unit wants to be less
dependent on its U.S. sales, which fell seven percent in 2006.  
The U.S. accounts for around 80% of Chrysler sales.

Mr. LaSorda said the company would focus on increasing sales
outside North America adding vehicle features like right-hand
drive and diesel engines.  The company sold 200,000 vehicles
outside North America in 2006.

Chrysler's plans also include:

   -- adding a Taiwan-built cargo van in Mexico; and

   -- manufacturing Sebring sedans in China for domestic sale.

Chrysler has previously signed a deal with Chery Automobile Co.
under which the Chinese automaker will produce small cars known
in the industry as "B-cars" to be distributed worldwide bearing
the Chrysler brand.

DaimlerChrysler has decided to partner with Chery Auto because
higher costs such as labor and healthcare make it difficult for
the company to build small cars profitably in the U.S.,
Bloomberg News reports.

"Their plan is realistic," John Novak, an analyst at Morningstar
Inc. in Chicago, told Bloomberg.  "I think they are a little
late to the game, but they can catch up."

                          *     *     *

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- engages in the development,  
manufacture, distribution, and sale of various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide.  It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

DaimlerChrysler has operations in Australia, China, Indonesia,
Japan, Korea, Malaysia and Thailand.

DaimlerChrysler lowered its operating profit forecast for full-
year 2006 to be in the magnitude of EUR5 billion (US$6.4billion)
based on an expected full-year operating loss of approximately
EUR1 billion (US$1.2 billion) for its Chrysler Group.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures - particularly on light trucks - by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.  Chrysler Group
will take additional production cuts in the third and fourth
quarters to reduce dealer inventories and make way for its
current product offensive.


FEDERAL MOGUL: Court Okays Killian as Special Insurance Counsel
---------------------------------------------------------------
The Honorable Judith K. Fitzgerald of the U.S. Bankruptcy Court
for the District of Delaware signs a stipulated order
authorizing Federal-Mogul Corporation and its debtor affiliates
to hire Killian & Salisbury P.C. as special insurance counsel
nunc pro tunc to Sept. 18, 2006.

F-M Products has filed a complaint in the Superior Court of New
Jersey seeking (i) a declaration as to its coverage rights under
certain insurance policies issued in the 1960s, 1970s, and 1980s
to Studebaker-Worthington, Inc., and McGraw-Edison Company, and
(ii) damages for breach of contract and bad faith.

To prosecute the New Jersey state court coverage action, the
Debtors need to retain local counsel to act on their behalf in
New Jersey.

The insurers stipulating to the Court order include:

   -- Ace Property & Casualty Insurance Company;
   -- Century Indemnity Company;
   -- Central National Insurance Company of Omaha;
   -- Pacific Employers Insurance Company;
   -- Insurance Company of North America;
   -- OneBeacon America Insurance Company;
   -- Sealon Insurance Company;
   -- St. Paul Mercury Insurance Company;
   -- Stonewall Insurance Company;
   -- TIG Insurance Company;
   -- United States Fire Insurance Company;
   -- Allstate Insurance Company;
   -- Allianz Versicherungs AG;
   -- Allianz Global Risks U.S. Insurance Company;
   -- Allianz Underwriters Insurance Company;
   -- Westport Insurance Corporation;
   -- Employers Reinsurance Corporation;
   -- Travelers Casualty and Surety Company;
   -- Continental Casualty Company;
   -- Columbia Casualty Company;
   -- Continental Insurance Company;
   -- INSCO Limited;
   -- Providence Washington Insurance Company;
   -- Certain Underwriters at Lloyd's London;
   -- Certain London Market Insurance Companies; and
   -- Yosemite Insurance Company.

Judge Fitzgerald clarifies that nothing in the Court order will
constitute or be deemed to constitute a finding of fact or
conclusion of law as to any factual or legal assertion made by
the Debtors in their Application that could have any bearing on
any contested insurance coverage issue whatsoever, including,
without limitation:

   (a) the question of whether New Jersey is an appropriate
       venue for litigation of the parties' contested insurance
       coverage issues;

   (b) the question of whether Federal-Mogul Products, Inc.'s
       New Jersey lawsuit should be permitted to proceed; or

   (c) the Debtors' assertion that "New Jersey is the state with
       the most substantial relationship to the relevant parties
       and events during all of the years in issue."

The Court specifically retains the rights of Certain Insurers to
argue that F-M Products' New Jersey lawsuit ought to be
dismissed or stayed from on forum non conveniens grounds or any
other appropriate ground.

Killian & Salisbury will:

   -- handle the filing and service of certain pleadings;

   -- make certain appearances before the New Jersey court
      overseeing the state court coverage action; and

   -- provide certain advice on local court procedures and
      related matters.

Gilbert Heintz & Randolph LLP currently serves as the Debtors'
principal insurance counsel.  GHR, however, is based in
Washington, D.C., and cannot act as local counsel for the New
Jersey action.  GHR will continue to act as primary insurance
counsel in directing the litigation.

Killian & Salisbury will coordinate its efforts with Gilbert
Heintz & Randolph LLP, the Debtors' current principal insurance
counsel, and other professionals retained by the Debtors to
ensure that its actions are not duplicative.

Eugene Killian, Esq., a partner at Killian & Salisbury, is
expected to be principally responsible for the engagement,
assisted by Ariana Vugrek, Esq., an associate at the firm; and
one of the firm's paraprofessionals.

Killian & Salisbury will bill:

          Professional              Hourly Rate
          ------------              -----------
          Eugene Killian                $300
          Ariana Vugrek                 $185
          A paraprofessional             $85

The firm will also be reimbursed for all costs and expenses
incurred in connection with the representation.

Mr. Killian assures the Court that the members, counsel and
associates at his firm do not represent or hold any interest
materially adverse to the estate on the matters on which Killian
& Salisbury is to represent the Debtors.
Headquartered in Southfield, Michigan, Federal-Mogul Corporation
-- http://www.federal-mogul.com/-- is one of the world's  
largest automotive parts companies with worldwide revenue of
some US$6 billion.  In the Asian Pacific region, the company has
operations in Malaysia, Australia, China, India, Japan, Korea,
and Thailand.  

The company filed for chapter 11 protection on Oct. 1, 2001
(Bankr. Del. Case No. 01-10582).  Lawrence J. Nyhan Esq., James
F. Conlan Esq., and Kevin T. Lantry Esq., at Sidley Austin Brown
& Wood, and Laura Davis Jones Esq., at Pachulski, Stang, Ziehl,
Young, Jones & Weintraub, P.C., represent the Debtors in their
restructuring efforts.  When the Debtors filed for protection
from their creditors, they listed US$10.15 billion in assets and
US$8.86 billion in liabilities.  Federal-Mogul Corp.'s U.K.
affiliate, Turner & Newall, is based at Dudley Hill, Bradford.
Peter D. Wolfson, Esq., at Sonnenschein Nath & Rosenthal; and
Charlene D. Davis, Esq., Ashley B. Stitzer, Esq., and Eric M.
Sutty, Esq., at The Bayard Firm represent the Official Committee
of Unsecured Creditors.  (Federal-Mogul Bankruptcy News, Issue
No. 122; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


FEDERAL-MOGUL: Wants Court Okay on Lumbermens Settlement Pact
-------------------------------------------------------------
Federal-Mogul Corporation and its debtor affiliates ask the
Honorable Judith K. Fitzgerald of the U.S. Bankruptcy Court for
the District of Delaware to approve the Settlement Agreement
with Lumbermens Mutual Casualty Company, pursuant to which
Lumbermens agreed to pay Federal-Mogul Products, Inc. $5,800,000
in exchange for a full and final settlement of all disputes
between them relating to:

     (i) insurance coverage with respect to the applicable
         products/completed operations hazards limits under the
         Subject Policies;

    (ii) insurance coverage for Asbestos Claims under the
         Subject Policies; and

   (iii) the Adversary Proceeding and the NJ Action.

James E. O'Neill, Esq., at Pachulski, Stang, Ziehl, Young, Jones  
& Weintraub LLP, in Wilmington, Delaware, relates that
Lumbermens issued three liability insurance policies to
Studebaker-Worthington, Inc., a former corporate affiliate of
Debtor F-M Products.  

F-M Products asserts that it is entitled to insurance coverage
under each of the Subject Policies for asbestos-related claims
and other claims, Mr. O'Neill notes.

F-M Products and Lumbermens, however, dispute their rights and
obligations with respect to insurance coverage for Asbestos
Claims under the Subject Policies, Mr. O'Neill says.

F-M Products and Lumbermens -- together with a number of other
parties, including numerous other insurers -- have been named as
defendants in a 2001 adversary proceeding commenced by Dresser
Industries, Inc.  The action was later removed to the U.S.
District Court for the District of Delaware.

On Nov. 18, 2004, the Bankruptcy Court approved a Partitioning
Agreement between Dresser, F-M Products, and Cooper Industries,
Inc.  The parties agreed that the unexhausted aggregate limits
for each of the insurance policies at issue in the Adversary
Proceeding will be divided whereby DII or Dresser will have 50%
of the unexhausted limits for each policy, and F-M Products and
Cooper will share the other 50%.

Subsequently, Dresser dismissed its claims against most of the
defendants in the Adversary Proceeding and is now in the process
of dismissing its remaining claims.

Certain of the Defendant Insurers have filed a request asking
the District Court presiding over the Adversary Proceeding to
abstain from conducting further proceedings in the case.  The
Insurers argued that the case no longer involved any bankruptcy
issues, therefore mandatory abstention, or, in the alternative,
discretionary abstention, applies.  

F-M Products has asked the District Court to refrain from
abstaining until after it has resolved certain matters that have
been fully briefed in that Court, Mr. O'Neill says.

Because New Jersey is the state with the most substantial
relationship to the relevant parties and events during all of
the years at issue, F-M Products has filed a complaint in the
Superior Court of New Jersey seeking a declaration as to its
coverage rights under the policies as well as damages for breach
of contract and bad faith.

As of October 30, 2006, no other state court actions pertaining
to F-M Products' coverage rights under policies issued by the
Defendant Insurers are pending, Mr. O'Neill informs Judge
Fitzgerald.  Certain Insurers are seeking leave pursuant to
Section 362(d) to file a coverage action against F-M Products in
New York state court, which has not been ruled upon.

The Debtors and Lumbermens have negotiated to resolve the
disputes between them concerning insurance coverage and to
further define their rights and obligations under the Subject
Policies.  

The Lumbermens Settlement Agreement provides for, among other
things, mutual releases of certain claims under the Subject
Policies as well as a permanent withdrawal of all of Lumbermens'
claims, objections and appeals, if any, in the Debtors' Chapter
11 cases.

The Lumbermens Settlement Agreement does not affect other
aspects of the Adversary Proceeding or the NJ Action involving
insurers other than Lumbermens.  In addition, the Lumbermens
Settlement Agreement provides only a partial release of claims
under the Subject Policies.  

The Lumbermens Settlement Agreement is limited to claims related
to applicable products or completed operations hazards limits
and Asbestos Claims.  

A full-text-copy of the Settlement Agreement and Release between
F-M Products, Inc., and Lumbermens is available for free at
http://ResearchArchives.com/t/s?17d8

Headquartered in Southfield, Michigan, Federal-Mogul Corporation
-- http://www.federal-mogul.com/-- is one of the world's  
largest automotive parts companies with worldwide revenue of
some US$6 billion.  In the Asian Pacific region, the company has
operations in Malaysia, Australia, China, India, Japan, Korea,
and Thailand.  

The company filed for chapter 11 protection on Oct. 1, 2001
(Bankr. Del. Case No. 01-10582).  Lawrence J. Nyhan Esq., James
F. Conlan Esq., and Kevin T. Lantry Esq., at Sidley Austin Brown
& Wood, and Laura Davis Jones Esq., at Pachulski, Stang, Ziehl,
Young, Jones & Weintraub, P.C., represent the Debtors in their
restructuring efforts.  When the Debtors filed for protection
from their creditors, they listed US$10.15 billion in assets and
US$8.86 billion in liabilities.  Federal-Mogul Corp.'s U.K.
affiliate, Turner & Newall, is based at Dudley Hill, Bradford.
Peter D. Wolfson, Esq., at Sonnenschein Nath & Rosenthal; and
Charlene D. Davis, Esq., Ashley B. Stitzer, Esq., and Eric M.
Sutty, Esq., at The Bayard Firm represent the Official Committee
of Unsecured Creditors.  (Federal-Mogul Bankruptcy News, Issue
No. 119; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


TMB BANK: Cuts Loan Growth Target Due to Poor Economic Forecast
---------------------------------------------------------------
TMB Bank PCL will cut its 2007 loan growth target from 9% to
6-7% due to poorer economic growth prospects, Reuters reports.

"We expect GDP should not reach 4% this year and will grow only
3% to 3.5%, so we will cut our lending target too," the news
agency quotes chief operating officer Kraithip Krairaiksh as
telling reporters.

The lender attributed the lower forecasts to concerns about
investment confidence and security after the New Year's Eve
bombs killed three people in Bangkok.

Reuters notes that TMB already missed its loan target in 2006
with lending seen rising only 2% to 3%, below its 4% original
target.

                          *     *     *

Headquartered in Bangkok, Thailand, TMB Bank Public Co. Ltd --
http://www.tmbbank.com/-- is a commercial bank that renders  
financial services to all groups of customers.   TMB Bank had
total assets of about THB717 billion as at December 31, 2005.

Fitch Ratings gave TMB Bank a 'BB+' Long-Term Foreign Currency
Issuer Default Rating; 'B' Short-Term Foreign Currency Rating;
'BB' Foreign Currency Subordinated Debt Rating; 'D' Individual
Rating; and Support rating of 3.

Moody's Investor Service gave TMB Bank a 'Ba1' Junior
Subordinated Debt Rating and an 'E+' Bank Financial Strength
Rating.

Standard & Poor's Ratings Services gave TMB Bank's US$200-
million hybrid Tier 1 securities a 'BB' rating.


* Decisive Effort Needed to Boost Investor Confidence, S&P Says
---------------------------------------------------------------
The New Year' s Eve bomb attacks in Bangkok have been the latest
in a string of events since early 2006 to hurt the investment
climate in the Kingdom of Thailand -- foreign currency
BBB+/Stable/A-2, local currency A/Stable/A-1.  

The impact of such events on foreign investor confidence is of
particular significance as foreign investments have been an
important source of economic growth in Thailand in recent years,
according to a report published today by Standard & Poor's
Ratings Services.

Titled "Decisive Effort Needed To Reverse The Deterioration In
Investment Confidence In Thailand", the report also says that
the resulting poorer economic growth prospects will further
weaken support for the sovereign credit ratings on Thailand
unless the government takes decisive steps to reverse the
worsening investment climate.

"Thailand has been recognized as an attractive destination for
foreign investment in recent years," said Standard & Poor's
credit analyst Kim Eng Tan. "However, its reputation as an
investment destination has suffered a number of setbacks over
the course of 2006."

The perception of political stability in Thailand was damaged by
the confrontation between the Thaksin government and its
opponents, which culminated in the military overthrow of the
government on Sept. 19.  

The related public debate about the sale of Shin Corp., the
privatization of several state-owned enterprises, and the issue
of free trade agreements in general suggested that local
sentiment had turned against foreign investors.  This impression
was reinforced by opposition to the expansion plans of
international retail companies, which prompted the government to
draft a law to regulate their activities.

Foreign investors were also unsettled by the investigations into
the use of nominees in the acquisition of Shin Corp.  Other
foreign companies that had adopted similar strategies to acquire
majority stakes in Thai firms now fear that their holdings could
be declared illegal.  In the wake of the Bank of Thailand's
abrupt introduction of capital controls in December, investors
are wary of further sudden changes in government policies.  The
New Year's Eve bombings in Bangkok added security fears to the
growing list of foreign investors concerns.

"Nevertheless, many of Thailand' s economic strengths remain
unaffected by events in the past year.  Rebuilding investor
confidence to attract new foreign investment is therefore a key
to maintaining economic growth at a pace similar to that seen in
the recent past," said Mr. Tan.  "Left unaddressed, diminished
foreign investor confidence will lower Thailand's economic
prospects and weaken a key support for its creditworthiness."


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
January 11, 2007
  Beard Audio Conferences
    Diagnosing Problems in Troubled Companies: Evaluating
      Turnaround Potential and Establishing the Basis for
        Actionable, Achievable Solutions
          Telephone: 240-629-3300
            Web site: http://www.beardaudioconferences.com/

January 11, 2007
  Turnaround Management Association
    Lender's Panel
      University Club, Jacksonville, FL
        Contact: http://www.turnaround.org/

January 12, 2007
  Turnaround Management Association
    Annual Lender's Panel Breakfast
      Westin Buckhead, Atlanta, GA
        Contact: http://www.turnaround.org/

January 17, 2007
  Turnaround Management Association
    South Florida Dinner
      TBA, South FL
        Contact: 561-882-1331 or http://www.turnaround.org/

January 17-19, 2007
  Turnaround Management Association
    Distressed Investing Conference
      Wynn, Las Vegas, NV
        Contact: http://www.turnaround.org/

January 23-25, 2007
  Fitch Training
    Insurance Company Analysis
      Singapore
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

January 30-31, 2007
  Euromoney Institutional Investor
    Korea Securitisation and Structured Credit Summit
      JW Marriott Hotel, Seoul, South Korea
        Web site: http://www.euromoneyplc.com/

January 31-February 1, 2007
  Euromoney Institutional Investor
    Asia M&A Forum
      Island Shangri-La, Hong Kong
        Web site: http://www.euromoneyplc.com/

February 2007
  American Bankruptcy Institute
    International Insolvency Symposium
      San Juan, Puerto Rico
         Telephone: 1-703-739-0800
           Web site: http://www.abiworld.org

February 5-7, 2007
  Fitch Training
    Intensive Bank Analysis
      Sydney, Australia
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com   

February 8-9, 2007
  Euromoney
    Leveraged Finance Asia
      JW Marriott Hong Kong
        Web site: http://www.euromoneyplc.com/

February 8-9, 2007
  Euromoney Conferences
    2nd Philippines Investment Conference
      Cebu Convention Center, Cebu, Philippines
        Web site: http://www.euromoneyplc.com/

February 8-11, 2007
  Turnaround Management Association
    Certified Turnaround Professional (CTP) Training
      NY/NJ
        Contact: http://www.turnaround.org/

February 22, 2007
  Turnaround Management Association
    TMA PowerPlay - Atlanta Thrashers
      Philips Arena, Atlanta, GA
        Contact: 678-795-8103 or http://www.turnaround.org/

February 21-22, 2007
  Euromoney
    Euromoney Pakistan Conference
      Perceptions & Realities
        Marriott Hotel, Islamabad, Pakistan
          Web site: http://www.euromoneyplc.com/

February 22, 2007
  Euromoney
    2nd Annual Euromoney Japan Forex Forum
      Mandarin Oriental, Tokyo, Japan
        Web site: http://www.euromoneyplc.com/

February 25-26, 2007
  Norton Institutes
    Norton Bankruptcy Litigation Institute
      Marriott Park City, UT
        Contact: http://www2.nortoninstitutes.org/

March 12-15, 2007
  Fitch Training
    Corporate Credit Fundamentals
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

March 21-22, 2007
  Euromoney
    2nd Annual Vietnam Investment Forum
      Melia, Hanoi, Vietnam
        Web site: http://www.euromoneyplc.com/

March 21-22, 2007
  Euromoney
    Euromoney Indian Financial Market Congress
      Grand Hyatt, Mumbai, India
        Web site: http://www.euromoneyplc.com/

March 22-23, 2007
  Euromoney Institutional Investor
    Euromoney Indonesian Financial Markets Congress
      Bali, Indonesia
        Web site: http://www.euromoneyplc.com/

March 27-31, 2007
  Turnaround Management Association - Australia
    2007 TMA Spring Conference
      Four Seasons Las Colinas, Dallas, TX, USA
        e-mail: livaldi@turnaround.org

April 2-3, 2007
  Fitch Training
    Leveraged Finance Workshop
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

April 11-15, 2007
  American Bankruptcy Institute
    ABI Annual Spring Meeting
      J.W. Marriott, Washington, DC, USA
        Telephone: 1-703-739-0800
          Web site: http://www.abiworld.org/

May 28-31, 2007
  Fitch Training
    Corporate Credit Fundamentals
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

June 13-15, 2007
  Fitch Training
    Intensive Bank Analysis
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

June 18-20, 2007
  Fitch Training
    Insurance Company Analysis
      Singapore
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

October 16-19, 2007
  Turnaround Management Association - Australia
    TMA 2007 Annual Convention
      Boston Marriott Copley Place, Boston, MA, USA
        e-mail: livaldi@turnaround.org

March 25-29, 2008
  Turnaround Management Association - Australia
    TMA Spring Conference
      Ritz Carlton Grande Lakes, Orlando, FL, USA
        e-mail: livaldi@turnaround.org

October 28-31, 2008
  Turnaround Management Association - Australia
    TMA 2008 Annual Convention
      New Orleans Marriott, New Orleans, LA, USA
        e-mail: livaldi@turnaround.org

TBA 2008
  INSOL
    Annual Pan Pacific Rim Conference
      Shanghai, China
        Web site: http://www.insol.org/

June 21-24, 2009
  INSOL
    8th International World Congress
      TBA
        Web site: http://www.insol.org/

October 5-9, 2009
  Turnaround Management Association - Australia
    TMA 2009 Annual Convention
      JW Marriott Desert Ridge, Phoenix, AZ, USA
        e-mail: livaldi@turnaround.org

October 4-8, 2010
  Turnaround Management Association - Australia
    TMA 2010 Annual Convention
      JW Marriot Grande Lakes, Orlando, FL, USA
        e-mail: livaldi@turnaround.org

Beard Audio Conferences
  Coming Changes in Small Business Bankruptcy
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Audio Conferences CD
  Beard Audio Conferences
    Distressed Real Estate under BAPCPA
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Changes to Cross-Border Insolvencies
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Healthcare Bankruptcy Reforms
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Calpine's Chapter 11 Filing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Changing Roles & Responsibilities of Creditors' Committees
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Validating Distressed Security Portfolios: Year-End Price
    Validation and Risk Assessment
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Employee Benefits and Executive Compensation
    under the New Code
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Dana's Chapter 11 Filing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Reverse Mergers-the New IPO?
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Fundamentals of Corporate Bankruptcy and Restructuring
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  High-Yield Opportunities in Distressed Investing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Privacy Rights, Protections & Pitfalls in Bankruptcy
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  When Tenants File -- A Landlord's BAPCPA Survival Guide
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Clash of the Titans -- Bankruptcy vs. IP Rights
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/



                            *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.  
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.  
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N
   
Troubled Company Reporter - Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Nolie Christy Alaba, Rousel Elaine Tumanda,
Valerie Udtuhan, Francis James Chicano, Catherine Gutib, Tara
Eliza Tecarro, Freya Natasha Fernandez, and Peter A. Chapman,
Editors.

Copyright 2007.  All rights reserved.  ISSN: 1520-9482.
   
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
   
TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.
   
                 *** End of Transmission ***