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

                     A S I A   P A C I F I C

           Thursday, February 8, 2007, Vol. 10, No. 28

                            Headlines

A U S T R A L I A

ADVANCED MARKETING: Court Dismisses Class Action Against AMS
ADVANCED MARKETING: Has Until March 9 to File Schedules
ALAN CROUCHER: Members and Creditors to Receive Wind-Up Report
ARI NETWORK: Completes Acquisition of Web Developer OC-Net Inc.
ARMOR HOLDINGS: Gets US$44 Million Component Order from TACOM

CENTRO FINANCIAL: ASIC Seeks to Wind Up Firm
CHEMEQ LTD: In Breach of Bondholders' Financial Covenant
FOUR HANDS: To Declare Dividend for Priority Creditors
GETTY IMAGES: Reports Preliminary Fourth Quarter Fin'l Results
HALBIG PTY: Schedules Members' Final Meeting for March 2

INFRASOFT PTY: Members Decide to Wind Up Firm
K WONSON: To Declare First and Final Dividend on March 16
KINETIC CONCEPTS: Earns US$371.5 Million in 2006 Fourth Quarter
MELUCA PTY: To Hold Members' Final Meeting on March 7
ONDEO NALCO: Members' Final Meeting Slated for March 6

OZ TECH: To Declare Final Dividend on March 27
PICKFORD PRESS: Members Opt for Voluntary Liquidation
QUANTA SOFTWARE: Liquidator to Present Wind-Up Report
REALOGY CORP: Stockholders to Vote on Apollo Deal on March 30
RBS GLOBAL: Moody's Puts B3 Rtg. on US$150-M Sr. Notes Due 2016

REOFORCE SYSTEMS: Placed Under Voluntary Wind-Up


C H I N A   &   H O N G  K O N G

ADDCORE DEVELOPMENT: Final Meetings Slated for March 6
ARTWELL PRINTING: Members Pass Resolution to Wind-Up Firm
C.C.G. ASIA: Schedules Final Meeting on March 6
CASANA NOMINEES: Members Opt to Liquidate Business
CHE TONG: Members to Receive Wind-Up Report on March 5

CHINA EASTERN: Seeks US$800 Million Loan to Buy Planes
CHINA SOUTHERN: Starts Guangzhou-Kathmandu Route Operations
DARIUS KNITTING: Faces Liquidation Proceedings
INCORPORATED OWNERS: Will Pay Dividend on February 16
MINSHENG BANK: Expects to Gain CNY23.8 Billion in Shares Sale

NETTEST (HONG KONG): Appoints Yau as Liquidator
REGENT WELL: Members Decide to Close Operations
SAXONDALE LIMITED: Shareholders Agree on Voluntary Wind-Up
VA TECH: Creditors Must Prove Debts by March 2
WAH TAT: Wind-Up Hearing Fixed for March 28


I N D I A

BRITISH AIRWAYS: Moody's Changes Rating Outlook to Positive
HAYES LEMMERZ: Moody's Cuts Corp. Family Rating to Caa1 from B3
HAYES LEMMERZ: Discloses Other Initiatives to Streamline Assets
TATA MOTORS: January 2007 Sales Up 19% from Last Year
TATA MOTORS: To Develop Air-Powered Engines with France's MDI

TATA POWER: Reversal in Taxes Ups Net Profit by 23% in 4th Qtr.
TATA POWER: Eyes Globeleq's Global Assets, Reports Say
UCO BANK: Posts INR1.23-Bil. Profit in Qtr. Ended Dec. 31, 2006
UCO BANK: Sees Opening of China Office before March 31
UTI BANK: Board Okays Allotment of INR100 Crore in Debentures


I N D O N E S I A

ALCATEL-LUCENT: Establishes Strategic Relationship W/ IP.Access
BANK INDONESIA: Banking Policy Orientation to be Issued April
BANK INDONESIA: Cuts Key Rate to 9.25 Percent
CORUS GROUP: Steel Union Threatens Strike Over Job Safety
EXCELCOMINDO PRATAMA: Hires PT DBS to Help Sell Bonds

GOODYEAR TIRE: Extends NASCAR Agreement to Five Years
MARSH & MCLENNAN: To Sell Putnam for US$3.9 Billion
METSO CORP: Paper Unit Inks EUR10-Million Supply Deal to Holmen
NORTEL NETWORKS: Peter Currie to Step Down as Company CFO


J A P A N

AMERICAN AIRLINES: Sets to Obtain US$175 Million Client Revenue
BOSTON SCIENTIFIC: Moody's Affirms Ratings with Negative Outlook
BOSTON SCIENTIFIC: Earns US$277 Million in Fourth Quarter 2006
HERBALIFE LTD: Whitney V Offers to Buy Firm for US$38 Per Share
HERBALIFE INT'L: US$2.7 Bil. Offer Cues S&P's Neg. CreditWatch

INFOR GLOBAL: Moody's Junks Rating on US$1.275 Bil Senior Notes
MITSUBISHI MOTORS: Incurs JPY11.8-Bil. Net Loss for 9-Month Pd.
NIKKO CORDIAL: Stock Exchange Sets Criteria For Delisting
SOLO CUP: S&P Holds Junk Corp. Credit Rating; Outlook Negative
* Major Securities Firms See Return to Growth in 3Q06, S&P Says


K O R E A

KOOKMIN BANK: Korea Lottery Files KRW445.9-Billion Claim
* Government to Ease Equity Investment Ceiling for Conglomerates
* BOK to Keep February's Call Rate Target at 4.5%, Poll Predicts


M A L A Y S I A

KUMPULAN BELTON: Updates on Various Litigations as of Dec. 06
LITYAN HOLDINGS: Loan Default Reaches MYR18.32 Mil. in Jan. 2007
MCSB SYSTEMS: Bursa Decides to Delist Securities on February 16
METROPLEX BERHAD: Unit's Wind-Up Hearing Moved to May 10
MOL.COM BHD: Files Regularization Plan w/ Securities Commission


N E W   Z E A L A N D

A.P.G. HOLDINGS: Liquidation Hearing Set on March 1
AA PLASTERERS: Creditors' Proofs of Claim Due on March 23
DE LAMBERTS: Crichton and Horne to Act as Liquidators
DE MARK: Liquidation Hearing Set for February 12
EPSOM PROJECTS: Court Sets Liquidation Hearing on Feb. 12

LABOUR FORCE: Shareholders Appoint Joint Liquidators
MAIN MARINE: Commences Liquidation Proceedings
NORTHSHORE TAVERNS: Faces Liquidation Proceedings


P H I L I P P I N E S

BANK OF COMMUNICATIONS: Files Condition Statement as of Dec. '06
CHIQUITA BRANDS: Unit to Fund US$2 Million for E.Coli Research
SAN MIGUEL CORP: Says Australian Unit Yields Solid 2006 Results
SBARRO INC: Moody's Junks Proposed US$150-Mln Sr. Unsec. Notes
SBARRO INC: S&P Puts Negative Outlook on Increased Leverage

MAIDENFORM BRANDS: S&P Affirms Corporate Credit Rating at B+


S I N G A P O R E

ADVANCED MICRO: Appoints Douglas Grose as Senior Vice President
ARINC INCORPORATED: Unit Renews Agreement with BWI
CMYKBOLIC MEDIA: Enters Wind-Up Proceedings
COMSERV PTE: Pays First and Final Dividend
FALMAC LIMITED: United Overseas Reduces Stake to 6.64%

GETRONICS NV: Transfers Application Business to MindTree
GRANT PRIDECO: Profit Up 79% to US$140.1 Mil. in 4th Qtr. 2006
ISOFT GROUP: Posts GBP647,000 Net Loss in Six-Half Ended Oct. 31
ISOFT GROUP: Appoints Bill Henry as New Board Member
UNITED TEST: Profit Jumps by 13.7% to US$22.8 MM in 4th Qtr.'06


T H A I L A N D

DATAMAT PCL: SEC Okays Exemption from 3rd Quarter 2006 Results
TOTAL ACCESS: Opens New Unit; Taps Thai Microsoft's Head to Lead

     - - - - - - - -

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A U S T R A L I A
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ADVANCED MARKETING: Court Dismisses Class Action Against AMS
------------------------------------------------------------
The United States District Court for the Southern District of
California dismissed a class action filed on behalf of
purchasers of Advance Marketing common stock from Jan. 16, 1999,
to Jan. 13, 2004, inclusive.

The lawsuit arose out of Advanced Marketing Services'
announcement on Jan. 14, 2004, that it would restate its
previously filed financial statements for the prior five fiscal
years.  The planned restatement resulted from the company's
ongoing review of its cooperative advertising practices and
related accounting, and relates primarily to the timing and
quantification of recognition of revenue and reversal of accrued
liabilities.

Following the announcement of the restatement, the price of
AMS's stock fell 15.2% from US$11.97 to US$10.15 per share.
Afterwards, Debtor and certain of its officers and directors
were named as defendants in the federal securities class actions
in the U.S. District Court for the Southern District of
California in:

   -- "Eastside Investors, LLP v. Advanced Marketing Services,
      Inc., et al., Case No. 04-CV-00121 JM (AJB);"

   -- "Bowen v. Advanced Marketing Services, Inc., et al., Case
      No. 04-CV-00139 H (JMA);" and

   -- "Anderson v. Advanced Marketing Services, Inc., et al.,
      Case No. 04-CV-00324 WQH (AJB)."

The lawsuits alleged that Advanced Marketing and the individual
defendants either knowingly or recklessly made misstatements
concerning the company's reported financial results to
artificially inflate the price of AMS common stock.

On Feb. 24, 2004, the California Court consolidated the federal
securities actions into a single case.  On May 4, 2004, the
Court appointed Detroit P&F, a public pension fund organized for
the benefit of current and retired police and fire personnel
from the city of Detroit, as lead plaintiff, and approved
Detroit P&F's selection of Bernstein Litowitz as lead counsel.

In August 2005, the parties participated in a settlement
mediation session with the assistance of retired California
Court of Appeal Justice Charles S. Vogel.

Following mediation session, counsel for the parties continued
to discuss settlement.  In February 2006, the parties reached
agreement on the terms of settlement and executed a Memorandum
of Understanding.

On Oct. 16, 2006, the Court entered the Order of Final Judgment
and Dismissal of the Action with Prejudice and granted final
approval of the Settlement, the Plan of Allocation of Settlement
Proceeds and the Request for Attorneys' Fees and Reimbursement
of Expenses.

                    About Advanced Marketing

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).  Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel.  Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.
When the Debtors filed for protection from their creditors, they
listed estimated assets and debts of more than $100 million.
The Debtors' exclusive period to file a chapter 11 plan expires
on Apr. 28, 2007. (Advanced Marketing Bankruptcy News, Issue No.
4; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


ADVANCED MARKETING: Has Until March 9 to File Schedules
-------------------------------------------------------
The Hon. Christopher S. Sontchi of the United States Bankruptcy
Court for the District of Delaware extended the time within
which Advanced Marketing Services Inc. and its debtor-affiliates
must file their Schedules and Statements under Rule 1007 of the
Federal Rules of Bankruptcy Procedure, through and including
March 9.

The debtors previously asked the U.S. Bankruptcy Court for the
District of Delaware to extend to March 29 their deadline to
file:

  -- schedules of assets and liabilities;
  -- a schedule of current income and expenditure;
  -- a schedule of executory contracts and unexpired leases; and
  -- a statement of financial affairs.

Under Rule 1007(b) of the Federal Rules of Bankruptcy Procedure
and Rule 1007-1(b) of the Local Rules of Bankruptcy Practice and
Procedure of the U.S. Bankruptcy Court for the District of
Delaware, the Debtors are required to file their Schedules and
Statements within 30 days after filing their Chapter 11
petitions.

Paul N. Heath, Esq., at Richards, Layton & Finger, P.A., in
Wilmington, Delaware, however, told Judge Christopher S. Sontchi
that because of the substantial size and scope of the Debtors'
business, the complexity of their financial affairs, the limited
staffing available to perform the required internal review of
their accounts and affairs, and the press of business incident
to the commencement of their cases, the Debtors were unable to
assemble, prior to Dec. 29, 2006, all of the information
necessary to complete and file the Schedules and Statements.

The Debtors will not be in a position to complete the Schedules
and Statements within the time specified in Bankruptcy Rule 1007
and Local Rule 1007-1(b), Mr. Heath said.  Completing the
Schedules and Statements for each of the Debtors, Mr. Heath
explained, will require the collection, review and assembly of
information from multiple locations throughout the United
States.

                    About Advanced Marketing

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 about 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).  Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel.  Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.
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 expires
on Apr. 28, 2007.  (Advanced Marketing Bankruptcy News, Issue
No. 4; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


ALAN CROUCHER: Members and Creditors to Receive Wind-Up Report
--------------------------------------------------------------
The members and creditors of Alan Croucher & Associates Pty Ltd
will meet on March 8, 2007, at 9:30 a.m., to receive the
liquidator's report regarding the company's wind-up proceedings.

As reported by the Troubled Company Reporter - Asia Pacific, the
company wound up its business on April 10, 2006.

The company's liquidator is:

         C. Wykes
         Lawler Partners
         Chartered Accountants
         Level 7, 1 Margaret Street
         Sydney, New South Wales 2000
         Australia

                       About Alan Croucher

Headquartered in New South Wales, Australia, Alan Croucher &
Associates Pty Ltd is a consulting firm.


ARI NETWORK: Completes Acquisition of Web Developer OC-Net Inc.
---------------------------------------------------------------
ARI Network Services Inc. has closed the acquisition of OC-Net
Inc.  Terms of the transaction, however, were not disclosed.

"The acquisition of OC-Net is an important next step in
expanding our website development and hosting business in the
Power Sports market" said Brian E. Dearing, chairman and chief
executive officer of ARI.

"Their dealer website product, customer base, corporate custom
website and hosting capabilities are an excellent fit with our
fast-growing Dealer Marketing Services business.

"OC-Net has a strong market position and offers what we believe
is one of the best catalog products in the industry, both in
terms of ease of use and in terms of sales volume generated
through their websites" said Dearing.  The company's user-
friendly software makes it very easy for customers to find and
purchase the products they want, generating increased sales for
dealers."

Dearing said the company will maintain OC-Net's office in
Cypress to serve both new and existing customers.  Robert Hipp,
the owner and president of OC-Net, will move into a leadership
position to drive the company's overall Dealer Marketing
Services product strategy.

"OC-Net is thrilled to be joining the ARI family.  As part of a
larger company focused on the opportunity to help Power Sports
dealers, distributors, and manufacturers realize the potential
of the Internet, our skills and experience in delivering state-
of-the-art eCommerce sites will be a potent driver of growth and
customer value for ARI," said Hipp.  "Culturally, it's a great
fit as well.

"The acquisition of OC-Net meets all of our business development
criteria.  It increases our market share, expands our product
portfolio, brings new talent to ARI and will be accretive to
revenue and EBITDA per share within 12 months. It's also a
consolidation move, similar to the approach we used in building
our highly successful electronic parts catalog business," said
Dearing.

Dearing said an added benefit of the acquisition is that ARI
will be able to use its existing deferred tax assets to offset
profits from the new business.  "This tax benefit makes
acquisitions that generate profits even more appealing," he
said.

Dearing concluded that the acquisition is a key part of the
company's overall growth strategy.  "Our goal is to become the
market leader in providing technology-enabled services that help
dealers, distributors, and manufacturers in the equipment
industry to build sales and profits.  We are currently the
market leader in electronic parts catalogs for the Outdoor Power
and Power Sports industries, and are rapidly building our Dealer
Marketing Service business in those markets.  We expect to get
about half of our future revenue growth through acquiring
companies like OC-Net that have products that fit our strategy
within targeted industry segments, and then growing them."

                          About OC-Net

Headquartered in Cypress, California, OC-Net Inc. provides
website development and hosting services to the power sports
market, which includes motorcycles, All Terrain Vehicles,
snowmobiles, and personal watercraft.  The company is profitable
with approximately US$1.3 million in annual revenues.

                        About ARI Network

ARI Network Services Inc. (OTCBB: ARIS) --
http://www.arinet.com/-- builds and supports a full suite of
multi-media electronic catalog publishing and viewing software
for the Web or CD and provides expert catalog publishing and
consulting services to 71 equipment manufacturers in the U.S.
and Europe and approximately 29,000 dealers and distributors in
89 countries in a dozen segments of the equipment market
including outdoor power, power sports, ag equipment, recreation
vehicle, floor maintenance, auto, and truck parts aftermarket,
marine, and construction.  The company has operations in
Australia and the Netherlands.

ARI Network Services Inc.'s balance sheet at Oct. 31, 2006,
showed total assets of US$8.655 million and total liabilities of
$8.671 million, resulting in a total shareholders' deficit of
US$16,000.  The Company's total shareholders' deficit at July
31, 2006, stood at US$312,000.


ARMOR HOLDINGS: Gets US$44 Million Component Order from TACOM
-------------------------------------------------------------
Armor Holdings Inc. (NYSE: AH) reported the receipt of a new
delivery order under the previously announced Indefinite
Delivery-Indefinite Quantity contract from the United States
Army Tank-automotive and Armaments Command.  The company stated
that the new delivery order was issued for US$44.1 million,
bringing the total order value to US$75.8 million of the
previously announced US$93.7-million IDIQ contract.  This order
is in support of TACOM's Rock Island Arsenal for production of
equipment used in conjunction with gunner protection kits and
supplemental armor components designed to increase IED
protection levels for fielded tactical wheeled vehicles.  The
Armor Holdings Aerospace and Defense Group will perform
production during 2007 at its facilities located in Fairfield,
Ohio.

Robert Schiller, the company's president, said, "We appreciate
Rock Island Arsenal's confidence in our product and delivery
capability and we are proud to be part of this important
program, protecting our soldiers and supporting the tactical
wheeled vehicle fleet."

Headquartered in Jacksonville, Florida, Armor Holdings, Inc. --
http://www.armorholdings.com/-- manufactures and distributes
security products and vehicle armor systems for the law
enforcement, military, homeland security, and commercial
markets.  The company has operations in Australia, England and
Brazil.

                          *     *     *

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology, the rating agency confirmed its Ba3 Corporate
Family Rating for Armor Holdings Inc.

Additionally, Moody's affirmed its B1 ratings on the company's
2% Convertible Senior Subordinated Notes Due 2024 and 8.25%
Senior Subordinated Notes Due 2013.  Moody's assigned those
debentures an LGD5 rating suggesting noteholders will experience
a 77% loss in the event of default.


CENTRO FINANCIAL: ASIC Seeks to Wind Up Firm
--------------------------------------------
The Australian Securities and Exchange Commission has commenced
legal proceedings before the Federal Court in Perth against a
Subiaco-based financial services company which recommended
Westpoint investment products to its clients.

The ASIC filed an application on Jan. 18, 2007, seeking the
wind-up of Centro Financial Synergy Group Pty Ltd and the
appointment of a liquidator.  Centro is the holder of an
Australian Financial Services License.

The ASIC's action follows Centro Financial's failure to comply
with a request by the commission to provide a written statement
containing information about its financial services operation
and lodge audited financial accounts pursuant to its obligations
as an AFSL holder.  The ASIC also alleges that Centro has ceased
to operate as a business.

The ASIC's investigations into the affairs of Centro are
continuing.

The matter will be heard in the Federal Court on Feb. 28, 2007.


CHEMEQ LTD: In Breach of Bondholders' Financial Covenant
--------------------------------------------------------
Chemeq Limited is facing liquidation or a "proxy takeover" after
a court ruled that the company had breached its contract with
its bondholders, Vanda Carson writes for the Sydney Morning
Herald.

The Sydney Herald relates that three months ago, the company's
major bondholder, Stark Trading, complained that Chemeq had
defaulted on the bond contract due to the company's failure to
achieve gross revenues of AU$4 million by the end of 2005-2006.
Stark had demanded repayment by early November.

However, it its Annual Report for the year-ended June 30, 2006,
Chemeq noted that it has achieved the final milestone covenant
in the convertible bond deed poll.

The covenant required Chemeq to achieve gross revenue from all
sources of at least AU$4 million for the year ended June 30,
2006.

                     The Convertible Bonds

The Sydney Herald relates that the company issued the bonds two
years ago in an attempt to fund the development of a Perth
factory and to take its anti-microbial technology through to
commercialization amid problems with regulatory approvals for
its products.

In November 2005, there were changes in ownership of the
convertible bonds, with existing bondholder, Stark Trading,
purchasing the convertible bonds of fellow investor, Mizuho
International.  Stark, and its affiliate, Shepherd Investments
International, acquired 100% of the convertible bonds, which had
a face value of AU$60 million.

Chemeq and Stark agreed to vary the terms of the convertible
bonds to:

   * Remove the covenant, which requires Chemeq to achieve APVMA
     product approval (for pigs) in Australia by April 30, 2006;
     and

   * Include new financial covenants that require Chemeq to
     achieve gross revenue from all sources of at least AU$4
     million for the year ending June 30, 2006, and have liquid
     assets of AU$24 million or more at June 30, 2006.

Further changes were made in February 2006, when Harmony
Investment Fund Limited, acquired 10,000 convertible bonds from
Stark Trading, with the convertible bonds being held by Citicorp
Nominees Pty Ltd.

Chemeq announced in early July 2006, that it has achieved
revenue for the financial year ended June 30, 2006, in excess of
AU$4 million, earned from product sales, interest and other
revenue.  In addition there were cash reserves in excess of
AU$28 million.

According to Chemeq, achievement of this final milestone
covenant is extremely important as it means the company now has
the time to analyze its long-term funding requirements.  The
management also noted that the company has a range of available
funding options and is now in a position to develop a capital
management plan to fund its long-term development until it
becomes cash flow positive.

A full-text copy of Chemeq's 2006 Annual Report is available for
free at:

      http://bankrupt.com/misc/Chemeq_2006AnnualReport.pdf

              Court Rules In Favor of Bondholders

However, on Feb. 1, 2007, Justice Templeman in the Supreme Court
found that Chemeq has failed to meet the terms of the final
milestone covenant set out in the Convertible Bonds Deed Poll.

Pursuant to the Convertible Bonds Deed Poll, the Notices of
Redemption previously issued by Stark Trading and its associates
and Harmony Capital required Chemeq to repay the AU$60.0 million
face value of the convertible bonds.

The court granted Chemeq a stay of execution until 4.00 p.m.
WDST Feb. 5, 2007, to enable the company to review Justice
Templeman's decision and considering its position.

The court ruled that the trading halt for Feb. 1, which Chemeq
has requested, is continued in the interim.

                Chemeq Cannot Pay, Analysts Say

The Sidney Herald relates that analysts doubt Chemeq's ability
to pay.  Accordingly to analysts, the court's decision meant
that the convertible bondholders will effectively gain control
of the company's assets, the largest being its factory.

It is hard to see where the money would come from, the paper
cites EG Capital investment analyst Patrick Potts, as saying.

"I guess the assets of the company will be transferred to the
holders of the bonds.  Whether they liquidate will be up to
them," Mr. Potts said.

The bondholders could always convert their holding to shares
but, given the current share price of 20.5c, it is unlikely, the
Sydney Herald notes.

                   Chemeq to File for Appeal

In a statement dated Feb. 5, 2007, Chemeq advised that its Board
has considered the Supreme Court decision and has decided to
launch an appeal.

According, to Chemeq Chief Executive Officer David Williams, the
company had undertaken a detailed review of the decision and had
taken further legal advice from Senior Counsel.

"The Board believes that there are genuine grounds for an appeal
and that Chemeq is obliged to appeal the decision in the
interests of its shareholders," Mr. Williams said.

"While the initial decision is obviously an adverse outcome for
the Company, we are committed to taking all possible steps to
protect the interests of our shareholders," Mr. Williams added.

"Accordingly, Chemeq intends to ask the court to consider our
appeal on an urgent basis and to make orders that the status quo
be maintained until determination of that appeal.  Failing
agreement with the bondholders, the company's application to
maintain the status quo will be heard tomorrow afternoon. The
present orders continue until then."

The Board has also resolved to place the Chemeq Rockingham
facility on care and maintenance and is reviewing ongoing
projects to determine which can be deferred pending the appeal
outcome.

                         About Chemeq

Chemeq Limited -- http://www.chemeq.com.au/-- is in the
business of developing, manufacturing and marketing its
revolutionary CHEMEQ polymeric antimicrobial (CHEMEQ), which
replaces antibiotics for the control of disease causing bacteria
in commercial animal production.

Chemeq has maintained its Intellectual Property protection
through patents wholly owned by the Company.  There are over 90
patents registered in numerous countries including the United
States of America and countries within Europe and Asia.  There
are more than 170 patents pending.

Chemeq continues to establish and grow its distribution network
in its target markets and regions and in taking the Company
forward, is investigating further uses of its technology to
gauge the potential for developing new products and entering
alternative markets.


FOUR HANDS: To Declare Dividend for Priority Creditors
------------------------------------------------------
Four Hands Pty Ltd, which is subject to a deed of company
arrangement, will declare a first and final dividend for
priority creditors on Feb. 28, 2007.

Priority creditors who were not able to prove their debts by
Jan. 23, 2007, are excluded from the dividend distribution.

The deed administrator can be reached at:

         A. H. J. Wily
         Armstrong Wily
         Chartered Accountants
         Level 5, 75 Castlereagh Street
         Sydney, New South Wales 2000
         Australia

                         About Four Hands

Four Hands Pty Limited is a distributor of durable goods.  The
company is located in New South Wales, Australia.


GETTY IMAGES: Reports Preliminary Fourth Quarter Fin'l Results
--------------------------------------------------------------
"Our fourth quarter and full year 2006 results demonstrate Getty
Images' continuing leadership of our dynamic industry," said
Jonathan Klein, co-founder and chief executive officer.
"Continuous and relentless innovation is our overriding
objective for 2007 -- in the way we serve customers, the way we
operate, and the way we grow our business.  In this changing
environment, we remain very well positioned to create and
deliver the broadest range of visual content to our customers in
all segments and markets, at every price point and on all
platforms."

                   Quarterly Highlights

   -- Revenue grew 10% to US$204 million;
   -- Royalty-free imagery revenue grew 15%;
   -- Editorial imagery revenue grew 21%; and
   -- The company generated strong cash from operations of US$87
      million.

For the fourth quarter, revenue grew 9.5% to US$203.5 million
compared to US$185.8 million in the fourth quarter of 2005.
Excluding the effects of changes in currency exchange rates,
revenue grew 6.5%.  As a percentage of revenue, cost of revenue
was 26.3%, consistent with the fourth quarter of the prior year.

For the fourth quarter, selling, general and administrative
expenses were US$77.0 million, including stock-based
compensation of US$3.6 million.  Excluding stock-based
compensation, SG&A was US$73.4 million or 36.0% of revenue
compared to US$63.5 million or 34.2% in the prior year.

Including restructuring charges of US$10.8 million and stock-
based compensation of US$3.6 million, income from operations was
US$43.1 million in the fourth quarter compared to
US$58.2 million in the fourth quarter last year.  Excluding
these charges, income from operations was US$57.5 million
compared to US$58.5 million in the fourth quarter of 2005.

Including the restructuring charges and stock-based compensation
noted above, net income for the fourth quarter was
US$30.3 million compared to US$42.5 million in the fourth
quarter last year.  Excluding these charges, net income was
US$39.5 million compared to US$42.8 million in the fourth
quarter of 2005.

For the fourth quarter, net cash provided by operating
activities was US$87.2 million, compared to US$75.9 million for
the same quarter last year.  The acquisition of property and
equipment was US$11.9 million for the quarter compared to
US$13.0 million in the fourth quarter of 2005.

Full Year Highlights:

   -- Revenue grew 10% to US$807 million;

   -- Royalty-free imagery revenue grew 13 percent compared to
      2005;

   -- Editorial imagery revenue grew 17 percent led by strong
      growth in entertainment; and

   -- The company generated strong cash from operations of
      US$269 million.

For 2006, revenue grew 10% to US$807.3 million compared to
US$733.7 million in the prior year.  As a percentage of revenue,
cost of revenue was 25.6% in 2006 compared to 26.8% in the prior
year.

For 2006, selling, general and administrative expenses were
US$302.7 million, including stock-based compensation of
US$15.1 million.  Excluding stock- based compensation, SG&A was
US$287.7 million or 35.6% of revenue 2006 compared to
US$250.8 million or 34.2% in the prior year.

Including restructuring charges noted below and stock-based
compensation, income from operations was US$196.7 million
compared to US$225.9 million last year.  Excluding these
charges, income from operations grew 6 percent to
US$241.1 million compared to US$227.2 million in 2005.

Including restructuring charges, investment losses and stock-
based compensation, net income for 2006 was US$129.6 million.
Excluding these charges and the charge incurred in 2005
referenced below, net income grew 5% to US$161.9 million
compared to US$153.6 million in 2005.

During 2006, the company had restructuring related charges of
US$29.4 million for lease losses and employee severance.  Also
during the year, the company sold certain short-term investments
at a loss of US$4.0 million.  In 2005, the company had
US$5.0 million of accelerated debt issuance costs.

For the full year, the company generated a record amount of cash
provided by operating activities of US$268.7 million, compared
to US$257.3 million in 2005.  Significant uses of cash during
the year included US$198.3 million for acquisitions,
US$207.7 million for share repurchases and US$61.5 million for
the acquisition of property and equipment.  The company finished
the year with a cash balance of US$339 million.

                         Business Outlook

For the first quarter of 2007, the company expects to report
revenue of approximately US$210 million.

For full year 2007, the company expects percentage revenue
growth in the mid-single digit range and percentage growth in
earnings per share of at least one and one-half times the
revenue growth rate.

Company guidance for 2007 includes the impact of stock-based
compensation and assumes just over 60 million fully diluted
shares for both the first quarter and for the full year.

                       Stock Option Review

As previously announced on Nov. 9, 2006, the board of directors
established a special committee to conduct an internal review of
the company's historic stock option grant practices and related
accounting.  The special committee has engaged independent
outside legal counsel to assist in the review.  Because this
review is ongoing, the company has not yet determined if it will
need to record any non-cash adjustments to compensation expenses
related to prior stock option grants, making today's results
preliminary.  Specifically, the company does not know whether
any such non-cash compensation charges would affect the
preliminary financial results for the fourth quarter ended Dec.
31, 2006, or the full year 2006 being announced today, or would
be deemed material and require the company to restate previously
issued financial statements or would require an adjustment to
the retained earnings balance on the company's balance sheet.
Until the review is complete, the company will be unable to file
its Quarterly Report on Form 10-Q for the period ended Sept. 30,
2006, and its Annual Report on Form 10-K for the year ended Dec.
31, 2006.  The company intends to file its Form 10-Q and Form
10-K as soon as practicable after the completion of the special
committee's review.

                       About Getty Images

Headquartered in Seattle, Washington, Getty Images, Inc. --
http://corporate.gettyimages.com/-- creates and distributes
visual content.  The company has corporate offices in Australia,
the United Kingdom and Argentina.

                          *     *     *

Moody's Investors Service upgraded the credit ratings of Getty
Images, Inc. and changed the ratings outlook to stable from
positive.  The upgrade in the corporate family rating to Ba1
from Ba2 reflected Getty's leading market position, improving
credit metrics, impressive operating margins and good secular
growth trends in the stock imagery market.  Moody's also
upgraded its rating on the company's US$265 million series B
convertible subordinated notes due 2023, to Ba2 from Ba3.

As reported in the Troubled Company Reporter - Europe on Dec. 6,
2006, Standard & Poor's Ratings Services lowered its ratings on
Seattle, Wash.-based visual imagery company Getty Images Inc.,
including lowering the corporate credit rating to 'B+' from
'BB', and placed the ratings on CreditWatch with developing
implications.

The rating and CreditWatch actions came after the company
announced that it had received notices from bondholders that its
delayed third-quarter SEC Form 10-Q filing constituted an event
of default.  CreditWatch with developing implications indicates
that the rating could be either raised or lowered.

As of Sept. 30, 2006, Getty had US$265 million of convertible
notes outstanding.


HALBIG PTY: Schedules Members' Final Meeting for March 2
--------------------------------------------------------
Halbig Pty Ltd, which is in liquidation, will hold a final
meeting for its members on March 2, 2007, at 11:00 a.m.

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

The company's liquidator is:

         Robert Colin Parker
         Freer Parker & Associates
         40 Sturt Street
         Adelaide, South Australia 5000
         Australia
         Telephone:(08) 8211 7177
         Facsimile:(08) 8212 4677
         e-mail: freerparker@freerparker.com.au

                       About Halbig Pty

Headquartered in South Australia, Australia, Halbig Pty Ltd is
an investor relation company.


INFRASOFT PTY: Members Decide to Wind Up Firm
---------------------------------------------
On Jan. 23, 2007, the members of Infrasoft Pty Ltd met and
decided to voluntarily wind up the company's operations.

In this regard, Adrian Lawrence Brown was appointed as
liquidator for the company.

The Liquidator can be reached at:

         Adrian Lawrence Brown
         Ferrier Hodgson
         Level 29, 600 Bourke Street
         Melbourne, Victoria 3000
         Australia

                       About Infrasoft Pty

Infrasoft Pty Ltd operates computer software stores.  The
company is located in Victoria, Australia.


K WONSON: To Declare First and Final Dividend on March 16
---------------------------------------------------------
K Wonson Pty Ltd will declare a first and final dividend on
March 16, 2007.

In this regard, creditors are required to submit their proofs of
debt by March 1.

According to the Troubled Company Reporter - Asia Pacific, the
company went into liquidation in December 2006.

The company's liquidator is:

         Danny Vrkic
         Jirsch Sutherland & Co - Wollongong
         Chartered Accountants
         Level 3, 6-8 Regent Street
         Wollongong, New South Wales 2500
         Australia
         Telephone: 02 4225 2545
         Facsimile: 02 4225 2546

                         About K Wonson

K Wonson Pty Ltd operates hotels and motels.  The company is
based in New South Wales, Australia.


KINETIC CONCEPTS: Earns US$371.5 Million in 2006 Fourth Quarter
---------------------------------------------------------------
Kinetic Concepts Inc. reported fourth quarter 2006 total revenue
of US$371.5 million, an increase of 15% from the fourth quarter
of 2005.  Total revenue for the full year of 2006 was
US$1.37 billion, a 13% increase from the prior year.

Foreign currency exchange movements favorably impacted total
revenue for the fourth quarter and full year of 2006 by 2% and
1%, respectively, compared to the corresponding periods of the
prior year.

                     Fourth Quarter Highlights

   -- V.A.C. revenue increased 18% to US$293.2 million from
      US$248.6 million in the prior-year period.

   -- Total revenue increased 15% to US$371.5 million from
      US$322 million in the prior-year period.

   -- Share-based compensation expense under FAS 123R reduced
      net earnings by US$4 million.

   -- Net earnings were US$51.3 million, an increase of 11% from
      US$46.4 million in the prior-year period.

   -- Net earnings per diluted share were US$0.73, an increase
      of 14% from US$0.64 in the prior-year period

Net earnings for the fourth quarter of 2006 were US$51.3
million, an 11% increase from US$46.4 million for the same
period last year.  Net earnings per diluted share for the fourth
quarter of 2006 increased 14% to US$0.73 per diluted share
compared to US$0.64 per diluted share for the same period in the
prior year.  For the full year of 2006, net earnings were
US$195.5 million, up 60% from US$122.2 million for the prior
year.  Net earnings per diluted share for the full year of 2006
were US$2.69, an increase of 61% from last year.

"I am pleased with our fourth quarter performance.  The Company
achieved a significant milestone of over one billion dollars in
V.A.C. revenue during 2006," said Catherine Burzik, President
and Chief Executive Officer of the company.  "During my first
few months here, we have begun to lay the foundation for what we
expect will be a year of continued revenue growth, improved
global processes and fiscal discipline."

During the third quarter of 2005, the company reached an
agreement to settle a 13-year old litigation case.  The
settlement payment resulted in a charge of US$72.0 million.

A full-text copy of the company's regulatory filling is
available for free at: http://ResearchArchives.com/t/s?1941

                      About Kinetic Concepts

Kinetic Concepts, Inc. (NYSE: KCI) -- http://www.kci1.com/--  
designs, manufactures, markets and provides a wide range of
proprietary products that can improve clinical outcomes while
helping to reduce the overall cost of patient care.

KCI has an infrastructure across all health care settings,
including acute care hospitals, extended care facilities and
patients' homes both in the United States, Canada, Australia and
most major European countries.

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology, the rating agency confirmed its Ba2 Corporate
Family Rating for Kinetic Concepts Inc.


MELUCA PTY: To Hold Members' Final Meeting on March 7
-----------------------------------------------------
Meluca Pty Ltd, which is in liquidation, will hold a final
meeting for its members on March 7, 2007, at 10:00 a.m.

During the meeting, the members will receive the liquidator's
final account and explanation regarding the company's wind-up
proceedings.

The company's liquidator is:

         W. K. Bendit
         c/o Logicca Pty Limited
         GPO Box 5486
         Sydney, New South Wales 2001
         Australia

                        About Meluca Pty

Meluca Pty Ltd is a distributor of piece goods, notions, and
other dry goods.  The company is located in New South Wales,
Australia.


ONDEO NALCO: Members' Final Meeting Slated for March 6
------------------------------------------------------
The members of Ondeo Nalco Energy Services Pty Ltd will hold a
final meeting on March 6, 2007, at 10:00 a.m., to consider the
liquidators' account on the company's wind-up and disposal of
properties.

The company's liquidators can be reached at:

         David Clement Pratt
         Timothy James Cuming
         PricewaterhouseCoopers
         Level 15, 201 Sussex Street
         Sydney, New South Wales 1171
         Australia

                       About Ondeo Nalco

Headquartered in New South Wales, Australia, Ondeo Nalco Energy
Services Pty Ltd is a distributor of chemicals and allied
products.


OZ TECH: To Declare Final Dividend on March 27
----------------------------------------------
OZ Tech (Aust) Pty Ltd, which is subject to a deed of company
arrangement, will declare a final dividend for its creditors on
March 27, 2007.

Accordingly, creditors are required to submit their proofs of
debt by Feb. 27, 2007, or they will be excluded from sharing in
any distribution the company will make.

The company's liquidator is:

         Danny Vrkic
         Jirsch Sutherland & Co - Wollongong
         Chartered Accountants
         Level 3, 6-8 Regent Street
         Wollongong, New South Wales 2500
         Australia
         Telephone: 02 4225 2545
         Facsimile: 02 4225 2546

                          About Oz Tech

Oz Tech (Aust) Pty Limited -- trading as Oz Tech Security -- is
involved with electrical work.  The company is based in New
South Wales, Australia.


PICKFORD PRESS: Members Opt for Voluntary Liquidation
-----------------------------------------------------
At a meeting held on Jan. 16, 2007, the members of Pickford
Press Pty Ltd passed a resolution to voluntarily wind up the
company's operations and distribute the proceeds of its assets.

Accordingly, Nicholas Craig Malanos was appointed as liquidator.

The Liquidator can be reached at:

         Nicholas Craig Malanos
         Star Dean-Willcocks
         GPO Box 3969
         Sydney, New South Wales 2001
         Australia
         Telephone:(02) 9223 2944

                       About Pickford Press

Pickford Press Pty Ltd is engaged with commercial printing and
lithography.  The company is located in New South Wales,
Australia.


QUANTA SOFTWARE: Liquidator to Present Wind-Up Report
-----------------------------------------------------
The final meeting of the members and creditors of Quanta
Software International Pty Ltd, which is in liquidation, will be
held on March 9, 2007, at 10:00 a.m.

At the meeting, the company's liquidator will present a report
regarding the company's wind-up proceedings and property
disposal.

The company's liquidator can be reached at:

         P. Ngan
         Ngan & Co
         Level 5, 49 Market Street
         Sydney, New South Wales 2000
         Australia

                     About Quanta Software

Quanta Software International Pty Limited is a distributor of
durable goods.  The company is located in New South Wales,
Australia.


REALOGY CORP: Stockholders to Vote on Apollo Deal on March 30
-------------------------------------------------------------
Realogy Corp. will hold a special meeting of stockholders on
March 30, 2007, 10:00 a.m., local time, at One Hilton Court,
Parsippany, New Jersey, to adopt the merger agreement providing
for the acquisition of the company by an affiliate of Apollo
Management, L.P.

Stockholders of record of the company as of the close of
business on Feb. 20, 2007, will be entitled to vote at the
special meeting.

The company currently expects that the definitive proxy
statement will be mailed to the company's stockholders on or
about Feb. 23, 2007.

The company also expects to complete the merger in April 2007,
subject to the adoption of the merger agreement by the company's
stockholders and the satisfaction of other closing conditions.

As reported in the Troubled Company Reporter on Dec. 20, 2006,
the company has entered into a definitive agreement to be
acquired by an affiliate of Apollo Management L.P. in a
transaction valued at approximately US$9 billion, including the
assumption or repayment of approximately US$1.6 billion of net
indebtedness and legacy contingent and other liabilities of
approximately US$750 million.

Under the terms of the agreement, Realogy stockholders would
receive US$30.00 per share in cash at closing, representing a
premium of 18% over Friday's market closing price of US$25.50
and a premium of 26% over Realogy's average closing share price
since its spin-off from Cendant Corporation on Aug. 1, 2006.

                  About Apollo Management L.P.

Apollo, founded in 1990, is a recognized leader in private
equity, debt and capital markets investing.  Since its
inception, Apollo has successfully invested over US$16 billion
in companies representing a wide variety of industries, both in
the U.S. and internationally.  Apollo is currently investing its
sixth private equity fund, Apollo Investment Fund VI, L.P.,
which along with related co-investment entities, represents
approximately US$12 billion of committed capital.

                       About Realogy Corp.

Headquartered in Parsippany, N.J., Realogy Corporation (NYSE:
H)-- http://www.realogy.com/-- is real estate franchisor and a
member of the S&P 500.  The company has a diversified business
model that also includes real estate brokerage, relocation, and
title services.  Realogy's world-renowned brands and business
units include CENTURY 21(R), Coldwell Banker(R), Coldwell Banker
Commercial(R), ERA(R), Sotheby's International Realty(R), NRT
Incorporated, Cartus, and Title Resource Group.  Realogy has
more than 15,000 employees worldwide.  The company operates in
Australia, Brazil and France.

                          *     *     *

Standard & Poor's downgraded Realogy Corp.'s long-term foreign
and local issuer credit ratings to BB+.


RBS GLOBAL: Moody's Puts B3 Rtg. on US$150-M Sr. Notes Due 2016
---------------------------------------------------------------
Moody's Investors Service has affirmed the corporate family
rating of RBS Global, Inc., the parent company of Rexnord
Corporation, and assigned new debt rating in connection with its
pending acquisition of Jacuzzi Brands' water management product
business.

Moody's also affirmed an SGL-2 liquidity rating reflecting good
liquidity and expected covenant compliance.

The rating outlook is stable.

Ratings affirmed:

   -- Corporate Family Rating at B2;

   -- Probability-of-default rating at B2;

   -- US$960 million Senior Secured Bank Credit Facilities at
      Ba2, LGD2, 17%;

   -- US$795 million Senior Unsecured Bonds due 2014 at B3,
      LGD4, 67%;

   -- US$300 million Senior Subordinated Bonds due 2016 at Caa1,
      LGD6, 93%; and,

   -- Speculative Grade Liquidity Rating at SGL-2.

The outlook is stable.

Ratings assigned:

   -- B3 to US$150 million Senior Notes due 2016, LGD4, 67%.

RBS is acquiring Zurn for approximately US$942 million.  Zurn is
a leading manufacturer and distributor in the multi-billion
dollar non-residential construction market for water management
products.  This acquisition will create a new strategic water
management platform for RBS.  At closing, RBS will assume
approximately US$660 million in incremental funded debt which
will actually decrease the company's pro forma leverage to
approximately 6.2x from approximately 6.8x at LBO.

Moody's estimates that free cash flow will decline to the low
single digits as a percentage of reported debt from
approximately 7% prior to the LBO and Zurn acquisition.

The primary factors supporting the ratings are:

   (1) the breadth of RBS' product offering and the company's
       significant installed base which is even further enhanced
       through the Zurn acquisition.;

   (2) the increased diversity of the company's end-markets,
       which can mitigate the economic or industry-specific
       cyclicality; and,

   (3) Moody's expectation that the Zurn acquisition will be
       accretive and further improve RBS' free cash flow
       profile.

RBS' ratings reflects the speculative characteristics of the
credit and are constrained by:

   (1) the increased debt load assumed by RBS in connection with
       its acquisition;

   (2) the resulting deterioration in some of its credit
       metrics, such as free cash flow-to-debt and interest
       coverage; as well as,

   (3) an aggressive financial policy driven by its private
       equity ownership.

The SGL-2 liquidity rating reflects good liquidity over the next
twelve months.  Moody's anticipates continued positive operating
cash flow generation which, together with availability under the
new revolving credit facility, should cover all of the company's
operating needs.

The stable outlook reflects Moody's expectation that the
company's financial and operating profile will improve as RBS
benefits from favorable demand dynamics in many of its and
Zurn's end-markets and expected discretionary cash flow is used
to reduce debt.

RBS' ratings outlook would improve if its debt levels were
reduced such that free cash flow as a percentage of total
adjusted debt improve to approximately 10%, debt to EBITDA
decrease to 5x and interest coverage improve to above 1.8x on a
sustainable basis.

RBS' ratings could experience downward pressure if the company
were to make another material debt-funded acquisition or pay a
dividend to its private equity owners so that the free cash flow
as a percentage of total adjusted debt becomes negative or
break-even and leverage stays over 6x for an extended period of
time.

Headquartered in Milwaukee, Wisconsin, RBS Global Inc. --
http://www.rexnord.com/-- is a manufacturer of motion
technology products, primarily focused on power transmission
products serving industrial and aerospace end-markets.  Zurn is
a manufacturer and distributor in the non-residential
construction market for water management products.  Pro forma
for the Zurn acquisition, RBS is expected to generate sales of
approximately $1.5 billion.

RBS Global has locations in Australia, Brazil, France, and
China.


REOFORCE SYSTEMS: Placed Under Voluntary Wind-Up
------------------------------------------------
At a general meeting held on Jan. 23, 2007, the members of
Reoforce Systems Pty Ltd resolved to voluntarily wind up the
company's operations.  They also appointed Adrian Lawrence Brown
as liquidator for the company.

The Liquidator can be reached at:

         Adrian Lawrence Brown
         Ferrier Hodgson
         Level 29, 600 Bourke Street
         Melbourne, Victoria 3000
         Australia

                     About Reoforce Systems

Headquartered in Queensland, Australia, Reoforce Systems Pty Ltd
is a distributor of computers, computer peripheral equipment and
software.


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

ADDCORE DEVELOPMENT: Final Meetings Slated for March 6
------------------------------------------------------
The final meetings of the members and creditors of Addcore
Development Ltd will be held on March 6, 2007, at 10:00 a.m. and
11:00 a.m., respectively, to consider the liquidator's account
of the company's wind-up proceedings.

The company's liquidator can be reached at:

         Jacky C W Muk
         27/F, Alexandra House
         16-20 Chater Road, Central
         Hong Kong


ARTWELL PRINTING: Members Pass Resolution to Wind-Up Firm
---------------------------------------------------------
On Jan. 26, 2007, the members of Artwell Printing Factory Ltd
passed a special resolution to voluntarily wind up the company's
operations.

Accordingly, Lee Kwok On Alexander was appointed as liquidator.

The Liquidator can be reached at:

         Lee Kwok On, Alexander
         Rooms 1901-2, Park-In Commercial Centre
         56 Dundas Street, Kowloon
         Hong Kong


C.C.G. ASIA: Schedules Final Meeting on March 6
-----------------------------------------------
C.C.G. Asia Ltd will hold a final meeting for its members and
creditors on March 6, 2007, at 3:00 p.m., to consider the
liquidator's account on the company's wind-up and property
disposal.

The company's liquidator is:

         Rod Sutton
         Ferrier Hodgson Limited
         14/F, Hong Kong Club Building
         3A Chater Road, Central
         Hong Kong


CASANA NOMINEES: Members Opt to Liquidate Business
--------------------------------------------------
The members of Casana Nominees Ltd met on Jan. 26, 2007, and
decided to liquidate the company's business.

In this regard, Thomas Andrew Corkhill and Iain Ferguson Bruce
were appointed as joint and several liquidators and were
authorized to sell and distribute the proceeds of the company's
assets to its members.

The Joint and Several Liquidators can be reached at:

         Thomas Andrew Corkhill
         Iain Ferguson Bruce
         8/F, Gloucester Tower
         The Landmark
         15 Queen's Road Central
         Hong Kong


CHE TONG: Members to Receive Wind-Up Report on March 5
------------------------------------------------------
The members of Che Tong Wui Tsun Marine Ltd will meet on
March 5, 2007, at 4:00 p.m., to receive the liquidator's report
regarding the company's wind-up proceedings.

The liquidator can be reached at:

         Chan Po Kau
         Room D, 11/F., Hart Ave
         8-10 Tsim Sha Tsui, Kowloon
         Hong Kong


CHINA EASTERN: Seeks US$800 Million Loan to Buy Planes
------------------------------------------------------
China Eastern Airlines Corp. hired BNP Paribas SA, Calyon, to
arrange almost US$800 million of loans, which will be used to
buy new planes, Bloomberg News says, citing two people with
direct knowledge of the deal.

Societe Generale and Industrial & Commercial Bank of China are
also helping arrange the 12-year financing, Bloomberg notes.

According to the report, China Eastern plans to purchase 11
Airbus SAS aircraft and two planes from Boeing Co.  Bloomberg
relates that the airplanes will cost as much as US$1.29 billion,
according to the list value.

China Eastern's total long-term borrowing was US$2.2 billion at
the end of 2005, the most recent figures available, according to
data compiled by Bloomberg.

                          *     *     *

Headquartered in Shanghai, China, China Eastern Airlines
Corporation Limited's -- http://www.ce-air.com-- principal
activity is operation of domestic and international commercial
air transportation.  The Group also is involved in the common
aircraft industry. Other activities include general aviation,
air catering, advertisement, import and export, equipment
manufacturing, real estate, hotel business, finance and
training. The fleet includes more than 60 large and medium size
airplanes, Airbus and Boeing mostly.  Its operation centering
from Shanghai to the whole People's Republic of China and
linking to Asia, Europe, America and Australia.

On April 28, 2006, Fitch Ratings downgraded China Eastern's
Foreign Currency and Local Currency Issuer Default Ratings to B+
from BB-.  The outlook on the IDRs is stable.


CHINA SOUTHERN: Starts Guangzhou-Kathmandu Route Operations
-----------------------------------------------------------
China Southern Airlines began its operations on the Guangzhou-
Kathmandu-Guangzhou route with its maiden flight on Jan. 4,
2007, The Himalayan Times reports.

The airline's Boeing 757 landed at Tribhuvan International
Airport with 180 passengers including 150 Chinese tourists on
board.  According to Gorkha Travels & Tours, the sole agent of
the airlines in Nepal, CSA will fly on Guangzhou-Kathmandu route
twice-a-week on Mondays and Fridays.

China Southern became the fourth airline to begin its operations
to Nepal in a row in less than four months.  Air Arabia from the
United Arab Emirates, GMG Airlines from Bangladesh and Korean
Air are the other three.

                          *     *     *

Headquartered in Guangzhou, China, China Southern Airlines Co
Ltd. -- http://www.cs-air.com-- engages in the operation of
airlines, as well as in aircraft maintenance and air catering
operations in the People's Republic of China and
internationally.  It provides commercial airlines, cargo
services, logistics operations, air catering, utility service,
hotel operation, travel services, aircraft leasing, and Internet
services.

On May 1, 2006, Fitch Ratings has downgraded China Southern
Airlines Company Limited's Foreign Currency and Local Currency
Issuer Default Ratings to B+ from BB-.

The Troubled Company Reporter - Asia Pacific reported in April
2006, that the carrier posted a net loss of CNY1.85 billion for
2005 versus a net loss of CNY48 million a year earlier.


DARIUS KNITTING: Faces Liquidation Proceedings
----------------------------------------------
A petition to wind-up Darius Knitting Factory Ltd will be heard
before the High Court of Hong Kong on Feb. 21, 2007, at
9:30 a.m.

Dah Sing Bank Ltd filed the petition with the Court on Dec. 19,
2006.

Dah Sing Bank's solicitor can be reached at:

         K. B. Chau & Co
         16/F, Wing Lung Bank Building
         45 Des Voeux Road Central
         Hong Kong


INCORPORATED OWNERS: Will Pay Dividend on February 16
-----------------------------------------------------
The Incorporated Owners of Foremost Building will pay the final
dividend of 5% to its ordinary unsecured creditors on Feb. 16,
2007.

The Liquidators can be reached at:

         Bruno Arboit
         Simon Blade
         1203-1213 China Merchants Tower
         Shun Tak Centre
         168-200 Connaught Road, Central
         Hong Kong


MINSHENG BANK: Expects to Gain CNY23.8 Billion in Shares Sale
-------------------------------------------------------------
China Minsheng Banking Corp expects to raise as much as
CNY23.8 billion through a 2 billion shares sale to no more than
10 existing and new institutional investors, Bloomberg News
reports.

The share sale is aimed at strengthening the bank's capital as
loans soar, the report adds.

Bloomberg relates that Minsheng's loans quintupled between 2001
and 2005, so it is seeking to raise its capital adequacy ratio
to comply with a regulatory minimum of 8%.

Minsheng's capital adequacy ratio fell to 7.46% at June 30,
2006, from 8.26% six months earlier, Bloomberg notes.  A bank
that slips regulatory minimum can be forced by the central bank
to restrict lending.

Liu Minwen, director of Minsheng Bank's corporate finance
department, told Bloomberg in a phone interview that they
estimate to raise at least CNY10 billion to bring the lender's
capital adequacy ratio above that threshold.

Bloomberg notes that Sichuan New Hope Investment Co., the
largest shareholder in Minsheng Bank, made a statement that it
is "actively" seeking to buy into the placement.

In addition, Xu Xiang, who manages CNY1.5 billion at Yinhua Fund
Management Co. in Shenzhen, which held 29 million Minsheng
shares as of June 30, said that they are also buying into the
Minsheng's offer and is still applying for more stock, the
report says.

Temasek, a Singapore government fund, also is interested in
raising its stake in Minsheng by buying some of the new shares,
said Tow Heng Tan, a senior managing director in Temasek's
strategic development department.

The stock will be priced at no less than CNY3.825 per share and
placement will be completed on Feb. 17, the bank said in a
statement.

                          *     *    *

China Minsheng Banking Corporation Ltd's principal activity is
the provision of commercial banking services that include
absorbing public deposits, providing short term, medium term and
long term loans, making domestic and international settlement,
discounting bills and issuing financial bonds.

On September 4, 2006, the Troubled Company Reporter - Asia
Pacific reported that Fitch Ratings affirmed on September 5,
2006, China Minsheng Banking Corp.'s Individual D/E and Support
4 ratings.


NETTEST (HONG KONG): Appoints Yau as Liquidator
-----------------------------------------------
Yau Tsz Sang was appointed as liquidator of Nettest (Hong Kong)
Ltd by a special resolution passed on Jan. 31, 2007.

The Liquidator can be reached at:

         Yau Tsz Sang
         Room 1204-5, 12/F, Tai Tung Building
         No. 8 Fleming Road, Wanchai
         Hong Kong


REGENT WELL: Members Decide to Close Operations
-----------------------------------------------
The members of Regent Well Ltd met on Jan. 23, 2007, and decided
to voluntarily wind up the company's operations.

Accordingly, Tse Wing Sing Victor was appointed as liquidator.

The Liquidator can be reached at:

         Tse Wing Sing Victor
         Flat B, 16/F, Kwong On Bank
         (Mongkok Branch) Building
         728-730 Nathan Road, Mongkok
         Hong Kong


SAXONDALE LIMITED: Shareholders Agree on Voluntary Wind-Up
----------------------------------------------------------
At an extraordinary general meeting held on Jan. 24, 2007, the
shareholders of Saxondale Ltd passed a special resolution to
voluntarily wind up the company's operations and appointed Angie
Fung as liquidator.

The Liquidator can be reached at:

         Angie Fung Wing Sheung
         13/F, Flat B
         Block 9, Provident Centre
         37 Wharf Road, North Point
         Hong Kong


VA TECH: Creditors Must Prove Debts by March 2
----------------------------------------------
The creditors of VA Tech Transmission & Distribution Hong Kong
Ltd are required to submit their proofs of claim against the
company by March 2, 2007.

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

As reported by the Troubled Company Reporter - Asia Pacific, the
company entered wind-up proceedings on Jan. 22, 2007.

The liquidator can be reached at:

         Thomas Andrew Corkhill
         Iain Ferguson Bruce
         8/F, Gloucester Tower
         The Landmark
         15 Queen's Road, Central
         Hong Kong

                          About VA Tech

VA Tech Transmission & Distribution -- http://www.vatech-td.com/
-- is engaged with the power transmission and distribution
market.  The company offers integrated system solutions and
advanced technologies.


WAH TAT: Wind-Up Hearing Fixed for March 28
-------------------------------------------
On Jan. 19, 2007, Wah Tat Engineering Company filed before the
High Court of Hong Kong a wind-up petition against Wah Tat
Foundation & Engineering Ltd.

The petition will be heard on March 28, 2007, at 9:30 a.m.

Wah Tat's solicitor can be reached at:

         Hastings & Co
         5/F, Gloucester Tower
         The Landmark, 11 Pedder Street Central
         Hong Kong
         Telephone: 2523 9161
         Facsimile: 2845 9266


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

BRITISH AIRWAYS: Moody's Changes Rating Outlook to Positive
-----------------------------------------------------------
Moody's Investors Service changed the outlook on the Ba1
corporate family and Ba2 senior unsecured debt ratings of
British Airways Plc and its guaranteed subsidiaries to positive
from negative.

The rating action is based on the company's improved operating
performance, its continuous improvement in credit metrics and
the agreement reached with unions over changes to pension
conditions.

The change in outlook reflects BA's successful de-leveraging
strategy on the back of improved cash-flow generation and
limited capital expenditures.  Moody's recognizes that BA has
strengthened its debt-protection measures with the recent
recovery in demand for air travel and the company's continuing
focus on reducing leverage and improving competitiveness through
cost reductions, and they now position the company solidly in
the Ba1 rating category.  The company has successfully increased
its operating margin over the years, despite the surge in fuel
price and its business plan for the two years ending March 2008
targets a further GBP450 million in savings and a 10% operating
margin, which, in Moody's view, looks achievable notwithstanding
unforeseen events.  The company's debt repayment schedule is
evenly spread over the coming five years, with average payments
of around GBP350 million per annum.

Furthermore, the change in outlook factors in BA's recent
announcement that its unions will recommend to their members the
company's proposal to address its New Airways Pension Scheme
deficit.  This would include a one-off contribution of GBP800
million into the scheme, as well as additional contributions of
up to GBP150 million over the next three years provided certain
financial targets are met, in return for changes to future
benefits and a one-off employee saving of GBP400 million.  In
Moody's opinion, this agreement will be positive for the
company's credit quality as it will ultimately result in lower
adjusted debt, and will enable management to refocus its
attention on other strategic matters.

The ratings and positive outlook are supported by BA's strong
base at Heathrow, which benefits from significant traffic flows
to and from London, as well as its international network and
membership of the global airlines alliance one world,
management's proven track record of cost cutting and the recent
improvement in traffic trends.  Moreover, the positive outlook
factors in the company's efforts to secure its long-term
positioning as Europe's third-largest carrier and the expected
positive impact of the relocation to Terminal 5 at Heathrow in
2008.

Moody's nevertheless notes that the company needs to renew and
expand its long haul fleet, and plans to launch a substantial
refleeting program in 2008, which will weigh significantly on
its free cash-flow generation and thus limit its ability to make
high debt repayments.  The ratings also take account of the
challenges faced by the company to reform working practices, as
testified by the recent difficult pay negotiations that were
concluded in January 2007.

Moody's moreover notes that uncertainties remain regarding the
industry environment in terms of economic development and
ongoing exposure to geopolitical risks and security threats.  BA
incurred an exceptional loss of GBP100 million in August 2006
following a terrorist alert which resulted in a disruption of
its network and tighter security controls, and will incur a
revenue loss following the recent averted strike which is
estimated at GBP80 million.  The ratings also reflect the
continued strong competition, in particular from European low-
cost carries, which have contributed to fare and margin
pressure, and the adverse effects on profitability from high
fuel prices.  Furthermore, industry consolidation and
deregulation may present medium-term challenges.

The positive outlook is based on Moody's expectation that the
company's operating performance will remain very strong, and
that it will continue to focus on its de-leveraging strategy
despite investment in fleet renewal.

BA's solid liquidity position is supported by its strong cash
position of GBP2.6 billion at end-December 2006, improved cash-
flow generation as well as a moderate committed credit facility
of USD420-million due 2010, which is currently undrawn.

However, the company's significant amount of encumbered assets
is reflected in the one-notch difference between the Ba1
corporate family rating and the Ba2 senior unsecured rating.

British Airways Plc, headquartered in Harmondsworth, the U.K.,
is one of the world's largest airlines, with revenue of
GBP8.5 billion in the year ending March 2006.  BA has offices in
India and Guatemala.


HAYES LEMMERZ: Moody's Cuts Corp. Family Rating to Caa1 from B3
---------------------------------------------------------------
Moody's Investors Service lowered HLI Operating company, Inc.'s
ratings:

   * Corporate Family to Caa1 from B3;
   * first lien senior secured to B1 from Ba3;
   * second lien term loan to Caa1 from B3.

The downgrade reflects the company's continuing weak credit
metrics and the potential that these measures could erode
further due to lower OEM production levels.  Moody's notes that
Hayes Lemmerz has announced that it is seeking an amendment to
its senior secured credit facilities to permit the ability to
exchange its senior unsecured notes for common stock of the
parent holding company.  The completion of such an exchange,
depending on the ultimate terms and conditions, could moderate
the degree of potential erosion in the company's metrics.  The
outlook remains negative.

The negative outlook continues to embody the operating pressures
from lower production volumes in North America, ongoing pricing
pressures form OEMs, and high raw material and energy costs.
Hayes Lemmerz is expected to have slightly positive free cash
flow for fiscal 2007 resulting from restructuring efforts
initiated during fiscal 2007.  Liquidity is expected to remain
adequate with approximately US$60 million of cash on-hand and
US$80 of availability under the revolving credit facility as of
Oct. 31, 2006.  However, Hayes Lemmerz's credit metrics are
expected to continue to perform consistent with the current Caa1
Corporate Family rating.  For the LTM period ending, Oct. 31,
2006, EBIT/interest coverage approximated 0.3x (using Moody's
standard adjustments), and Debt/EBITDA approximated 6.0x.
Consideration for a lower rating could arise if either leverage
deteriorates to 7.0x, EBIT/interest coverage does not improve in
the near term, the company pursues the exchange of its senior
unsecured notes for common stock, or if free cash flow or
liquidity deteriorates.

Ratings lowered:

   -- Corporate Family Rating, to Caa1 from B3;

   -- Probability of Default Rating, to Caa1 from B3;

   -- 1st lien senior secured revolving credit, to B1 (LDG2,
      20%) from Ba3 (LGD2, 23%);

   -- 1st lien senior secured term loan B, to B1 (LDG2, 20%)
      from Ba3 (LGD2, 23%); and

   -- 2nd lien term loan C, to Caa1 (LGD3, 47%) from B3 (LGD4,
      53%).

Ratings affirmed:

   -- Caa2, senior unsecured notes with the LGD Assessment
      changed to (LGD5, 72%) from (LGD 5, 82%).

Hayes also announced the sale of its aluminum suspension
components business in North America (revenues of about US$160
million in 2006) through facilities located in Bristol, Indiana
and Montague, Michigan for approximately US$32 million.  Amounts
available to reduce funded debt are expected to be nominal as a
significant portion of the proceeds will be used to reduce
outstandings under the company's accounts receivable
securitization facility.  The sale of the aluminum suspension
components business will further reduce Hayes Lemmerz North
American OEM exposure.

Hayes Lemmerz is the holding company for operating entities in
the US and internationally and is the issuer of all rated
obligations.  It is indirectly, wholly-owned by Hayes Lemmerz
International Inc.

Hayes Lemmerz International, headquartered in Northville,
Michigan, is a global supplier of steel and aluminum automotive
and commercial vehicle highway wheels, as well as aluminum
components for brakes, powertrain, suspension, and other
lightweight structural products.  Worldwide revenues approximate
US$2.2 billion.  The company has 33 facilities worldwide
including India, Brazil and Germany, among others.


HAYES LEMMERZ: Discloses Other Initiatives to Streamline Assets
---------------------------------------------------------------
Hayes Lemmerz International, Inc., disclosed additional
initiatives intended to maximize long-term value for its
shareholders.

Specifically, the company announced:

   -- That it has entered into a definitive agreement for the
      sale of its suspension facilities located in Bristol,
      Indiana and Montague, Michigan; and

   -- The relocation of the company's Automotive Components
      Group headquarters and technical center to the Hayes
      Lemmerz' World Headquarters in Northville, Michigan,
      resulting in the closure of its Ferndale, Michigan
      Technical Center.

Both of these actions were taken as part of the company's
continuing strategy to streamline its business in North America
and to focus its global resources on core businesses.

                Sale of Two Suspension Facilities

The company has signed a definitive agreement with Diversified
Machine, Inc. for the sale of its Montague, Michigan and
Bristol, Indiana suspension operations.  The completion of the
sale is subject to customary closing conditions, including the
approval of the company's lenders.  The company expects to
complete the sale within the next 30 days.

                 Consolidation of Headquarters

In order to streamline its Automotive Components Group
operations and to improve efficiencies present in its technical
groups in North America, the company will relocate its
Automotive Components Group headquarters and technical center
from Ferndale, Michigan, to its Northville, Michigan World
Headquarters.  The company plans to sell the Ferndale facility.

Curtis J. Clawson, President, CEO and Chairman of the Board
said, "This step, combined with the restructuring moves in 2006,
further shows Hayes Lemmerz' commitment to being in the right
core markets and focusing on the right products with the right
customers.  We remain confident about the company's future."

"Moving our Automotive Components Group to our Northville World
Headquarters will improve information sharing across groups and
lower our fixed costs," Mr. Clawson said.

                      About Hayes Lemmerz

Based in Northville, Michigan, Hayes Lemmerz International Inc.
(Nasdaq: HAYZ) -- http://www.hayes-lemmerz.com/-- is a leading
global supplier of automotive and commercial highway wheels,
brakes, powertrain, suspension, structural and other lightweight
components.  The company has 33 facilities worldwide including
India, Brazil and Germany, among others.

                          *     *     *

Moody's Investors Service, in February 2007, lowered HLI
Operating company, Inc.'s ratings:

   * Corporate Family to Caa1 from B3;
   * first lien senior secured to B1 from Ba3;
   * second lien term loan to Caa1 from B3.

Standard & Poor's Ratings Services affirmed, on Sept. 13, 2006,
its 'B-' corporate credit rating on Hayes Lemmerz International
Inc. and removed the rating from CreditWatch with negative
implications, where it was placed Aug. 21, 2006.  S&P said the
outlook is negative.


TATA MOTORS: January 2007 Sales Up 19% from Last Year
-----------------------------------------------------
Tata Motors Ltd reported total sales of 55,440 vehicles
(including exports) for the month of January 2007, a growth of
19% over 46,635 vehicles sold in January last year.  Cumulative
sales for the company at 4,62,892 units are growing by 31%.

                       Commercial Vehicles

The company's sales of commercial vehicles in January 2007 in
the domestic market were 28,896 units, an increase of 36% over
21,301 vehicles sold in January last year.  Medium and Heavy
Commercial Vehicle sales stood at 17,097 units, a growth of 31%
over January 2006, while Light Commercial Vehicle sales were
11,799 units, a growth of 44% over January 2006.

Cumulative sales of commercial vehicles in the domestic market
for the fiscal were 2,40,594 units, an increase of 46% over last
year.  Cumulative M&HCV sales stood at 1,39,402 units, an
increase of 43% over last year, while LCV sales for the fiscal
were 1,01,192 units, an increase of 51% over the same period
last year.

                       Passenger Vehicles

The passenger vehicle business reported total sales of 22,801
vehicles in the domestic market in January 2007, an increase of
10% over January 2006.  The Indica reported its highest ever
monthly sales since launch, at 14,466 units, a growth of 14%
over January 2006.  The Indigo family registered sales of 3207
units, a decline of 17% over the same period last year.  The
recently launched Indigo XL has been well received in the market
and in view of sustained demand for this model Tata Motors will
be hiking production in the coming months.  The Sumo and Safari
accounted for sales of 5128 units, a growth of 20% over January
2006, with Safari reporting highest ever sales for any month
since launch.

Overall, both Passenger Cars and Utility Vehicles reported
highest ever sales for any month since launch.

Cumulative sales of passenger vehicles in the domestic market
for the fiscal were 1,79,811 units, an increase of 21% over the
previous year.  Cumulative sales of the Indica at 1,16,827 units
registered a growth of 33% over the previous year, while
cumulative sales of the Indigo family at 26,506 units registered
a decline of 15% over last year. Cumulative sales of Sumo and
Safari were 36,478 units, a growth of 25% over last year.

                              Exports

The company's sales from exports were 3743 vehicles in January
2007 as compared to 4569 vehicles in January 2006, a decline of
18%.  The cumulative sales from exports in the current period at
42,487 units have recorded a 7% growth over the corresponding
figures for the previous period.

                         About Tata Motors

Tata Motors Limited -- http://www.tatamotors.com/-- is mainly
engaged in the business of automobile products consisting of all
types of commercial and passenger vehicles, including financing
of the vehicles sold by the Company.  The Company's operating
segments consists of Automotive and Others.  In addition to its
automotive products, it offers construction equipment,
engineering solutions and software operations.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Dec. 13, 2006, Standard & Poor's Ratings Services raised its
corporate credit ratings for Tata Motors to 'BB+' from
'BB'.  The outlook is stable.  At the same time, Standard &
Poor's has raised its rating on Tata Motors' senior unsecured
notes to 'BB+' from 'BB'.

Moody's Investors Service, on July 26, 2005, gave Tata Motors
'Ba1' long-term corporate family and senior unsecured debt
ratings.


TATA MOTORS: To Develop Air-Powered Engines with France's MDI
-------------------------------------------------------------
Tata Motors Ltd signed an agreement with MDI Group of France for
the further development of MDI's engines, a filing with the
Bombay Stock Exchange reveals.

MDI's engines uses compressed air as fuel, which Tata Motors
says "may be the ultimate environment-friendly engine yet."

Under the tie-up, Tata Motors will support MDI's refinement of
the technology, and the application and licensing of the engine
in India.

According Tata Motors, the engine is efficient, cost-effective,
scalable and capable of other applications including power
generation.

"MDI is happy to conclude this agreement with Tata Motors and
work together with this important and experienced industrial
group to develop a new and cost-saving technology for various
applications for the Indian market that meets with severe
regulations for environmental protection," Guy Negre, MDI
founder states.  "We are continuing the development with our own
business concept of licensing car manufacturers in other parts
of the world where the production is located close to the
markets.  We have also developed this new technology for other
applications where cost competitiveness combined with respect
for environmental questions has our priority."

MDI is a small, family-controlled company located at Carros,
near Nice (Southern France) where Guy Negre and Cyril Negre,
together with their technical team, have developed a new engine
technology with the purpose of economizing energy and respect
severe ecological requirements.

Tata Motors Limited -- http://www.tatamotors.com/-- is mainly
engaged in the business of automobile products consisting of all
types of commercial and passenger vehicles, including financing
of the vehicles sold by the Company.  The Company's operating
segments consists of Automotive and Others.  In addition to its
automotive products, it offers construction equipment,
engineering solutions and software operations.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Dec. 13, 2006, Standard & Poor's Ratings Services raised its
corporate credit ratings for Tata Motors to 'BB+' from
'BB'.  The outlook is stable.  At the same time, Standard &
Poor's has raised its rating on Tata Motors' senior unsecured
notes to 'BB+' from 'BB'.

Moody's Investors Service, on July 26, 2005, gave Tata Motors
'Ba1' long-term corporate family and senior unsecured debt
ratings.


TATA POWER: Reversal in Taxes Ups Net Profit by 23% in 4th Qtr.
---------------------------------------------------------------
Despite a decrease in total revenues, Tata Power Company Ltd.
posted an increase in net profit in the three months ended
Dec. 31, 2006.

Tata Power recorded a profit after tax of INR2.799 billion for
the quarter ended Dec. 31, 2006, a 23% increase from the
INR2.277 billion booked in the corresponding quarter in 2005.
Total income, however, decreased from INR14.013 billion earned
in the quarter December 2005 quarter to INR12.465 billion in the
quarter under review.

The company's expenditures for the December 2006 quarter totaled
INR9.898 billion, a decrease from the INR10.346 billion incurred
in the December 2005 quarter.

According to Tata Power, reversal in taxes provided for in the
sale of its wholly owned subsidiary, Tata Power Broadband
Company Ltd., contributed to the increase in PAT and net
profits.  Last year, the company completed the sale of Tata
Power Broadband to Videsh Sanchar Nigam Ltd., which resulted in
a profit of INR131.97 crores.

"The Company has consolidated its leading position in the power
sector with the recent winning bid for the Mundra (Gujarat)
Ultra Mega Power Project," Prasad Menon, managing director of
Tata Power said in a company release.  "With the inking of the
Chhattisgarh MoU, and several other projects at various stages
of implementation across the country, the Company is poised to
acquire a significant national footprint and assume a steep
growth trajectory.  Our track record of steady project
implementation and superior service augurs well for our
consumers and various stakeholders moving forward."

A copy of the company's financial results for the quarter ended
Dec. 31, 2006, is available for free at the Bombay Stock
Exchange at http://ResearchArchives.com/t/s?198b

Tata Power Company Ltd. is a licensee engaged in generation and
supply power to bulk consumers in the Mumbai metropolitan area.
The company operates four thermal plants with a combined
capacity of 1,350 MW, and three hydroelectric plants aggregating
447 MW; all of these supply power to the Mumbai licence area.
The company also has a plant that supplies power to Tata Steel.
In addition, Tata Power has an 81 MW independent power project
at Belgaum that sells power to Karnataka Power Transmission
Corporation Limited.

                          *     *     *

Moody's Investors Service, on Jan. 30, 2007, placed its Ba1
corporate family rating and Ba2 senior unsecured debt rating for
Tata Power Company Ltd on review for possible downgrade.

The Troubled Company Reporter - Asia Pacific reported on
Nov. 10, 2005, that Standard & Poor's Ratings Services
affirmed its 'BB+' long-term foreign and local currency
corporate credit ratings for Tata Power.  The outlook is stable.


TATA POWER: Eyes Globeleq's Global Assets, Reports Say
------------------------------------------------------
As widely reported, Tata Power Company Ltd, along with other
Indian firms, is eyeing the global assets of British Globeleq.

According to Zee News Ltd, power investment company Globeleq is
undertaking a massive restructuring program wherein it is
seeking exit from emerging markets, including India.  The power
firm's global assets are reportedly worth
US$2 billion.

AFX News Limited says a Tata Power spokesperson confirmed that
the company is considering bidding for the assets.

Other firms reportedly interested in Globeleq's assets are
Reliance Energy Ltd, Kalpataru Power Transmission Ltd, The Anil
Ambani group and Lanco Infratech.

The last date for submission of indicative bids is Feb. 16, Zee
News says.  The second round of financial bids will be called
once the potential bidders are scanned and short listed, the
news agency, citing unnamed sources close to the development,
adds.

Tata Power Company Ltd. is a licensee engaged in generation and
supply power to bulk consumers in the Mumbai metropolitan area.
The company operates four thermal plants with a combined
capacity of 1,350 MW, and three hydroelectric plants aggregating
447 MW; all of these supply power to the Mumbai licence area.
The company also has a plant that supplies power to Tata Steel.
In addition, Tata Power has an 81 MW independent power project
at Belgaum that sells power to Karnataka Power Transmission
Corporation Limited.

                          *     *     *

Moody's Investors Service, on Jan. 30, 2007, placed its Ba1
corporate family rating and Ba2 senior unsecured debt rating for
Tata Power Company Ltd on review for possible downgrade.

The Troubled Company Reporter - Asia Pacific reported on
Nov. 10, 2005, that Standard & Poor's Ratings Services
affirmed its 'BB+' long-term foreign and local currency
corporate credit ratings for Tata Power.  The outlook is stable.


UCO BANK: Posts INR1.23-Bil. Profit in Qtr. Ended Dec. 31, 2006
---------------------------------------------------------------
For the quarter ended Dec. 31, 2006, UCO Bank Ltd recorded a net
profit of INR1.230 billion, a 9% increase from the
INR1.125 billion booked in the corresponding quarter in 2005.

The bank increased total income by 19% from the
INR12.413 billion earned in the three months ended Dec. 31,
2005, to INR14.791 billion in the December 2006 quarter.  The
bank's expenses also rose from INR10.399 billion in the December
2005 quarter to INR12.206 billion in the current quarter under
review.

Provisions in the December 2006 quarter also increased to
INR160.3 million for taxes and INR1.196 billion for other
provisions and contingencies.

A copy of the bank's financial results for the quarter ended
Dec. 31, 2006, is available for free at the Bombay Stock
Exchange at  http://ResearchArchives.com/t/s?198c

UCO Bank Limited -- http://www.ucobank.in/-- is a commercial
bank that also operates two international financial centers, in
Hong Kong and Singapore.  It has approximately 2000 service
units spread all over India.  It undertakes foreign exchange
business in more than 50 centers in India.  The company also has
foreign exchange dealing operations at four centers.  It caters
to the segments of economy, such as agriculture, industry, trade
& commerce, service sector and infrastructure sector.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
June 20, 2006, that Fitch Ratings upgraded UCO Bank's Individual
rating to 'D' from 'D/E'. At the same time, Fitch affirms the
bank's support ratings at 4. All ratings are with a stable
outlook.


UCO BANK: Sees Opening of China Office before March 31
------------------------------------------------------
UCO Bank Ltd is set to foray into China first quarter this year.

In a filing with the Bombay Stock Exchange, UCO Bank says it has
received approval from the China Banking Regulatory Commission
to open its representative office at Guangzhou.

The filing says the bank is likely to open the office before
March 31, 2007.

UCO Bank Limited -- http://www.ucobank.in/-- is a commercial
bank that also operates two international financial centers, in
Hong Kong and Singapore.  It has approximately 2000 service
units spread all over India.  It undertakes foreign exchange
business in more than 50 centers in India.  The company also has
foreign exchange dealing operations at four centers.  It caters
to the segments of economy, such as agriculture, industry, trade
& commerce, service sector and infrastructure sector.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
June 20, 2006, that Fitch Ratings upgraded UCO Bank's Individual
rating to 'D' from 'D/E'. At the same time, Fitch affirms the
bank's support ratings at 4. All ratings are with a stable
outlook.


UTI BANK: Board Okays Allotment of INR100 Crore in Debentures
-------------------------------------------------------------
UTI Bank Ltd's board of directors passed a resolution approving
the allotment of unsecured, redeemable, subordinated debentures
to various investors on private placement basis as the bank's
upper tier II capital aggregating to INR107.50 crores (inclusive
of over subscription of INR7.50 crores).

As reported in the Troubled Company Reporter - Asia Pacific on
Jan. 4, 2007, the bank wanted to raise INR100 crore with an
option to retain over subscription by issue of the debentures.
The bond has a face value of INR10,000,00 issued at par with a
coupon rate of 9.5% payable annually.

The issue opened on Dec. 30, 2006, and closed on Jan. 31, 2007.
The deemed date of allotment is Feb. 6.

The Debenture Trustee for the issue was The Western India
Trustee & Executor Co., Ltd., while the Registrar & Transfer
Agent is Karvy Computershare Pvt Ltd.

Headquartered in Ahmedabad, India, UTI Bank Limited --
http://www.utibank.com/-- is engaged in treasury and other
banking operations.  The treasury services segment undertakes
trading operations on the proprietary account, foreign exchange
operations and derivatives trading. Revenues of the treasury
services segment primarily consist of fees and gains or losses
from trading operations and interest income on the investment
portfolio.  Other banking operations principally comprise the
lending activities (corporate and retail) of the bank.  The
corporate lending activity includes providing loans and
transaction services to corporate and institutional customers.
The retail lending activity includes raising of deposits from
customers and providing loans and advisory services to customers
through branch network and other delivery channels.  Total
deposits were INR31,712 crore at March 31, 2006.

                          *     *     *

On November 6, 2006, Moody's Investors Service assigned a Ba1
rating to the foreign currency perpetual non-cumulative
subordinated debt to be issued by UTI Bank's Singapore branch
under its USUS$1 billion Medium Term Note program.

The Troubled Company Reporter - Asia Pacific reported on
Feb. 1, 2006, that Standard & Poor's Ratings Services maintained
its 'C' bank fundamental strength rating to the bank.

Another TCR-AP report on July 26, 2006, related that Fitch
Ratings assigned an individual rating of C/D to UTI Bank.  The
outlook on the rating is stable.


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

ALCATEL-LUCENT: Establishes Strategic Relationship W/ IP.Access
---------------------------------------------------------------
Ip.access is partnering with Alcatel-Lucent GSM Product Line to
serve the needs of mobile operators wishing to extend their
GSM/EDGE networks, with in-building GSM over IP picocellular
coverage and capacity.

NanoGSM(TM) provides improved GSM in-building coverage and
extended capacity to corporate offices and campus locations.
The solution uses nanoBTS(TM) base stations and DSL to backhaul
the traffic over IP, providing a simple and cost-efficient
service to SMEs and a very well adapted form factor.

Jean Louis Hurel, GSM Product Line Director, commented, "This
partnership enables Alcatel Lucent to extend its extensive
portfolio of GSM/EDGE solutions, to enable mobile operators to
offer cost effective in-building services to locations with 25-
500 employees.  This is a valuable and complementary addition to
our portfolio of GSM/EDGE solutions."

Stephen Mallinson, CEO, ip.access, added, "We are pleased to be
working alongside Alcatel Lucent, whose support and expertise
will play an important role as we continue to gain traction in
the global market.  We value their considerable knowledge and
resources in bringing nanoGSM(TM) to an even wider business
audience."

ip.access' nanoGSM(TM) range of wireless infrastructure products
deliver coverage and capacity in difficult-to-reach areas,
enabling enhanced service coverage and increased Average Revenue
Per User for Mobile Network Operators, Service Providers and
MVNOs.

                       About ip.access

Based in Cambridge, UK, ip.access ltd (http://www.ipaccess.com)
is a leading manufacturer of cost-effective picocellular GSM,
GPRS and EDGE and 3G infrastructure solutions, which integrate
with standard broadband IP networks for backhaul. ip.access
systems are live in over 15 networks around the world and many
more are in the process of being deployed.

The femto3G(TM) product range enables mobile network operators
to provide improved residential 3G voice and data coverage and
deliver a pure-play cellular approach to fixed-mobile
convergence.

The nanoGSM(R) product range provides low-cost GSM coverage and
capacity, to improve service quality in offices, shops and
residential buildings. ip.access picocells can also provide
coverage on passenger aircraft, ships and in remote rural areas
using satellite backhaul.

ip.access counts Scottish Equity Partners, Intel Capital,
Rothschild Gestion and Motorola among its shareholders.

                     About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent
-- http://www.alcatel-lucent.com/-- provides solutions that
enable service providers, enterprises and governments worldwide,
to deliver voice, data and video communication services to end
users.  Through its operations in fixed, mobile and converged
broadband networking, Internet protocol technologies,
applications, and services, Alcatel-Lucent offers the end-to-end
solutions that enable communications services for people at
home, at work and on the move.  The company has operations in
Indonesia.

On Nov. 30, 2006, Alcatel and Lucent Technologies Inc. completed
their merger transaction, and began operations as a
communication solutions provider under the name Alcatel-Lucent
on Dec. 1, 2006.

                          *     *     *

As reported on Dec. 14, 2006, following the completion of
Alcatel S.A.'s merger with Lucent Technologies Inc., at which
time Alcatel was renamed Alcatel-Lucent, Fitch Ratings
downgraded and removed Alcatel from Rating Watch Negative:

   -- Issuer Default Rating to BB from BBB-; and

   -- Senior unsecured debt to BB from BBB-.

Alcatel's F3 short-term rating has also been withdrawn.

The Rating Outlook for Alcatel-Lucent is Stable.

Fitch has also withdrawn the following Lucent ratings due to the
lack of clarity regarding Alcatel's support and, therefore,
expected recovery of these securities in a distressed scenario:

   -- Issuer Default Rating BB-;

   -- Senior unsecured debt BB-;

   -- Convertible subordinated debt B; and

   -- Convertible trust preferred securities B.

Moody's Investors Service downgraded to Ba2 from Ba1 the
Corporate Family Rating of Alcatel S.A., which has completed its
merger with Lucent Technologies Inc. and was renamed to Alcatel-
Lucent.  The ratings for senior debt of Alcatel were equally
lowered to Ba2 from Ba1 and its Not-Prime rating for short-term
debt was affirmed.

At the same time, Moody's raised the ratings for senior debt of
Lucent to Ba3 from B1 reflecting both the standalone credit
profile of Lucent and, given the strategic importance of Lucent
to round-off the group's product range and regional presence,
expected financial support from Alcatel-Lucent, although this is
not formally committed at this time.  The ratings for the other
legacy debt of Lucent were raised to B2 from B3 for subordinated
debt and trust preferreds, and to P(B3) from P(Caa1) for
preferred stock issuable under its shelf registration.

Moody's has withdrawn Lucent's Corporate Family Rating of B1,
assuming that management of the two entities will be fully
integrated over the next several months and all of Lucent's non-
US activities merged with their Alcatel counterparts.  This
should result in a rapid convergence of the credit risks of the
affected companies.  The outlook for all these ratings is
stable.  This rating action concludes the rating reviews
initiated on April 3, 2006.

Standard & Poor's, on Dec. 6, 2006, said that following news
that the merger between French telecoms equipment supplier
Alcatel and U.S. peer Lucent Technologies Inc. has received
final approval from the U.S. Committee on Foreign Investments,
it has lowered its long-term corporate credit and senior
unsecured debt ratings on Alcatel -- now named Alcatel-Lucent to
'BB-' from 'BB', in line with its preliminary indication in its
Nov. 7, 2006 research update.

The 'B' short-term corporate credit rating on Alcatel-Lucent was
affirmed.  S&P said the outlook is positive.


BANK INDONESIA: Banking Policy Orientation to be Issued April
-------------------------------------------------------------
Bank Sentral Republik Indonesia has confirmed that eight
national banking sector 2007 policy orientation regulations will
be issued in April, Tempo Interactive reports.

According to the report, new ones will replace some current
regulations that contradict the policy orientations.

The report notes that BI Deputy Governor, Muliaman D. Hadad,
said that they want to encourage intermediary banking.

The report recounts that Bank Indonesia issued its economic and
baking 2007 policy orientations two weeks ago.

At least eight points of new orientations in banking are to be
released by the central bank, the report relates.

Tempo points out that, the policy orientations include:

   -- BI to be more active in its role as catalyst in pushing
      the intermediary process,

   -- to increase cooperation efforts and coordinate with the
      government in order to revitalize state banks, and

   -- to facilitate mergers by taking a role in negotiations.

The report relates that Mr. Hadad said that not all points in
the eight policy orientations would be arranged in new
regulations, adding that it's only true that there are
regulation changes.

However, Mr. Hadad did give details about the formal legal
standing that Bank Indonesia will issue for implementing the
policy orientations, the report adds.

Bank Sentral Republik Indonesia -- http://www.bi.go.id/-- was
created by a new Central Bank Act, the UU No. 23/1999 on Bank
Indonesia, enacted on May 17, 1999.  The Act confers it the
status and position as an independent state institution and
freedom from interference by the Government or any other
external parties.

In its capacity as central bank, Bank Indonesia has one single
objective of achieving and maintaining stability of the rupiah
value.  The stability of the value of the rupiah comprises two
aspects, one is stability of rupiah value against goods and
services and the other is the stability of the exchange rate of
the rupiah against other currencies.  The first aspect is as
reflected by the rate of inflation and the second aspect is as
reflected by the development of rupiah exchange rate against
other currencies.

The Troubled Company Reporter - Asia Pacific reported on Jan 29,
2007 that
Fitch Ratings affirmed the ratings of Bank Internasional
Indonesia as follows:

   -- Long-term foreign currency Issuer Default rating at 'BB-',
   -- Short-term rating at 'B',
   -- National Long-term rating at 'AA-',
   -- Individual rating at 'C/D' and
   -- Support rating at '4'.

Standard and Poors Rating Services gave Bank Indonesia's long
term foreign issuer credit a B+ rating and long-term local
issuer credit a BB rating, both effective on December 21, 2004.
May 12, 2003.


BANK INDONESIA: Cuts Key Rate to 9.25 Percent
---------------------------------------------
Bank Sentral Republik Indonesia cut its key interest rate on
February 6, by 25 basis points to 9.25%.

According to Reuters the cut was expected and is the ninth
reduction in less than a year.

Expectations for a rate cut had been running high after central
bank Governor Burhanuddin Abdullah commented that the authority
saw room to reduce rates at this week's meeting, Reuters states.

Reuters, citing analysts, says that the authority is likely to
be more cautious in cutting rates this year because any further
declines in the annual inflation rate are likely to be limited
compared with 2006.

Bank Sentral Republik Indonesia -- http://www.bi.go.id/-- was
created by a new Central Bank Act, the UU No. 23/1999 on Bank
Indonesia, enacted on May 17, 1999.  The Act confers it the
status and position as an independent state institution and
freedom from interference by the Government or any other
external parties.

In its capacity as central bank, Bank Indonesia has one single
objective of achieving and maintaining stability of the rupiah
value.  The stability of the value of the rupiah comprises two
aspects, one is stability of rupiah value against goods and
services and the other is the stability of the exchange rate of
the rupiah against other currencies.  The first aspect is as
reflected by the rate of inflation and the second aspect is as
reflected by the development of rupiah exchange rate against
other currencies.

The Troubled Company Reporter - Asia Pacific reported on Jan 29,
2007 that
Fitch Ratings affirmed the ratings of Bank Indonesia as follows:

   -- Long-term foreign currency Issuer Default rating at 'BB-',
   -- Short-term rating at 'B',
   -- National Long-term rating at 'AA-',
   -- Individual rating at 'C/D' and
   -- Support rating at '4'.

Standard and Poors Rating Services gave Bank Indonesia's long
term foreign issuer credit a B+ rating and long-term local
issuer credit a BB rating, both effective on December 21, 2004.
May 12, 2003.


CORUS GROUP: Steel Union Threatens Strike Over Job Safety
---------------------------------------------------------
Britain's leading steel union Community threatened to carry out
a widespread industrial action after Tata Steel Chairman Ratan
Tata warned that there were no guarantees over job safety
following a successful bid for Corus Group Plc, AFX News reports
citing The Observer as its source.

Mr. Tata told the Financial Times that his company has yet to
examine Corus' plants in detail.

"I wouldn't even attempt to do so because it would be wrong of
me to give those assurances or to deny that that was so," Mr.
Tata was quoted by FT as saying.  "But I would say that we're
not a company that would first look at jobs."

"Our plan would be to try to make the U.K. operations more
profitable," he added.

According to a senior Community official, the union wants Tata
Steel to invest GBP200 million in steel finishing capacity for
Port Talbot works in South Wales, where Corus employs 3,100
people.

The union is also seeking talks with the new owners to discuss
an investment strategy that will secure the future of Corus's
British plants, Robin Turner writes for Western Mail.

As previously reported in the TCR-Europe on Jan. 31, Tata Steel
won an auction for Corus over Companhia Siderurgica Nacional
after offering investors 608 pence per share in cash, or
GBP5.7 billion (US$11.3 billion).

                        About Tata Steel

Established in 1907, Tata Steel is Asia's first and India's
largest private sector steel company. Tata Steel is among the
lowest cost producers of steel in the world and one of the few
select steel companies in the world that is EVA+ (Economic Value
Added).

                        About Corus Group

Corus Group plc, fka British Steel, was formed when the UK
privatized its major steelworks in 1988.  It then changed its
name to Corus Group after acquiring most of Dutch rival
Koninklijke Hoogovens.  Corus makes coated and uncoated strip
products, sections and plates, wire rod, engineering steels, and
semi-finished carbon steel products.   It also manufactures
primary aluminum products.  Customers include companies in the
automotive, construction, engineering, and household-product
manufacturing industries.

Corus turns over GBP10 billion annually and employs 47,300 in
over 40 countries and sales offices and service centers
worldwide, including Indonesia and the Philippines.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Feb 02, 2007 Standard & Poor's Ratings Services kept its 'BB'
long-term
corporate credit rating on U.K.-based steelmaker Corus Group PLC
on CreditWatch with developing implications, after the
completion of the auction process, during which India-based
steel manufacturer Tata Steel Ltd. offered the highest bid of
608 pence per share.

This values the company at GBP5.75 billion, up from the 455
pence per share of the initial bid.

At the same time, the 'BB+' long-term debt rating on Corus'
EUR700 million senior secured bank loan and the 'BB-' unsecured
debt ratings on Corus remain on CreditWatch with developing
implications.  The 'B' short-term corporate credit rating
remains on CreditWatch with positive implications.

All ratings were placed on CreditWatch on Oct. 18, 2006,
following the dislocure of an initial bid by Tata Steel.

On Feb 02, 2007  Fitch Ratings said that Corus Group Plc's
Issuer Default 'BB-' and Short-term 'B' ratings remain on Rating
Watch Negative following a recommended bid, valued at GBP6.2
billion, from
India-based Tata Steel Limited in the wake of an auction process
conducted by the UK Takeover Panel on 30-31 January 2007.  The
RWN also applies to the 'B+' ratings on CS's EUR800 million 7.5%
senior notes and Corus Finance Plc's GBP200m 6.75% guaranteed
bonds.

At the same time, Moody's Investors Service placed Corus Group
plc's Ba2 Corporate Family and other ratings under review.


EXCELCOMINDO PRATAMA: Hires PT DBS to Help Sell Bonds
-----------------------------------------------------
PT Excelcomindo Pratama Tbk hired PT DBS Securities Indonesia
and three others to help it sell IDR1.5 trillion of bonds,
Bloomberg reports, citing Bisnis Indonesia.

The Troubled Company Reporter - Asia Pacific reported on Jan 22,
2007, that Excelcomindo Pratama plans to raise IDR1.5 trillion
by issuing bonds in the second quarter of 2007.  The proceeds
will help finance the company's capital spending.

According to Bloomberg, Bisnis Indonesia, citing an unidentified
executive involved in the deal, said that the company together
with a unit of Telekom Malaysia Bhd also hired as advisers:

   -- PT CIMB GK Securities Indonesia,
   -- PT Standard Chartered Securities Indonesia, and
   -- PT Danareksa Sekuritas.

Headquartered in Jakarta, Indonesia, PT Excelcomindo Pratama Tbk
-- http://www.xl.co.id/-- provides wireless telecommunications
services, leased lines and corporate services, which include
Internet Service Provider (ISP) and Voice over Internet Protocol
services.  In addition, Excelcomindoprovides voice, data and
other value-added cellular telecommunications services.  Its
product lines include jempol, bebas and xplor.  The company also
provides services that allow its customers to purchase
electronic voucher reloads at all of its centers and outlets,
automated teller machines of various major banks and through its
call centers.  Excelcomindo starter packs and voucher reloads
are also sold by independent retailers.

Excelcomindo is Indonesia's third-largest cellular operator; as
at the first quarter of 2006 the company had 8.2 million
subscribers representing total market share of around 15% but
with cellular revenue market share of approximately 10%.  TM and
its parent Khazanah together hold 73.7% in XL.

                          *     *     *

A May 23, 2006 report of the Troubled Company Reporter - Asia
Pacific stated that Moody's Investors Service has upgraded the
foreign currency senior unsecured bond rating of Excelcomindo
Finance Company B.V. to Ba3 from B1.  The outlook is stable.  At
the same time, Moody's has affirmed PT Excelcomindo Pratama's
Ba2 local currency corporate family rating.  The rating outlook
remains stable.

A subsequent TCR-AP report says that Fitch Ratings, on June 5,
2006, upgraded PT Excelcomindo Pratama's Long-term foreign
currency and local currency Issuer Default Ratings to 'BB-' from
'B+'.  The outlook on the ratings is stable.


GOODYEAR TIRE: Extends NASCAR Agreement to Five Years
-----------------------------------------------------
The Goodyear Tire & Rubber Co. and NASCAR have signed an
extended agreement for Goodyear to continue as the exclusive
tire used in NASCAR's top three racing series for the next five
years.

The agreement through 2012, naming Goodyear the "Exclusive Tire
Supplier" of NASCAR's NEXTEL Cup Series, the NASCAR Busch Series
and the NASCAR Craftsman Truck Series, was signed here in front
of more than 2,000 attendees at the 2007 Goodyear Dealer
Conference.  Goodyear Chairman and CEO Bob Keegan, Jon Rich,
president of the company's North American Tire business, and
Mike Helton, NASCAR president, delivered the news to Goodyear's
customers.

"This extension of the more than 50-year relationship of two
American icons is one that we are extremely proud to announce,"
said Rich. "Nothing says racing like NASCAR, and Goodyear has
been recognized as the longest-running sponsor of the sport.  We
plan to have our Eagle tires in the winner's circle for another
50 years."

"Our longtime relationship with Goodyear is a testament to the
company's consistent high-quality tire it supplies the race
teams," said Mr. Helton.  "Goodyear has been a vital partner,
which has been essential to NASCAR's side-by-side competition."

Goodyear has had an uninterrupted commitment to NASCAR since
becoming a race tire supplier in the 1950s.  This relationship
has become one of the longest-running supply programs in any
sport.

Over the last 50 years, Goodyear has worked to bring innovation
to its racing products, which, in turn, has helped foster
heightened competition on the track.  Since it first began
supplying tires to NASCAR, Goodyear tires have logged 1,410
NEXTEL Cup (and formerly, Winston Cup) victories, and the number
continues to rise.  As a further extension, Goodyear takes
innovations and cutting-edge technology from the race track, and
applies that technology to tires that consumers use on streets
and highways.

                        About NASCAR

The National Association for Stock Car Auto Racing, Inc. aka
NASCAR, which began in 1948, is the sanctioning body for one of
America's premier sports.  NASCAR is the No. 1 spectator sport-
holding 17 of the top 20 attended sporting events in the U.S.,
the No. 2-rated regular season sport on television with
broadcasts in more than 150 countries, and has 75 million fans
that purchase more than US$2.1 billion in annual licensed
product sales.

                        About Goodyear

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  It has marketing operations in almost every country
around the world, including Indonesia, Australia, China, India,
Korea, Malaysia, New Zealand, Philippines, Singapore, Taiwan,
and Thailand.  Goodyear employs more than 80,000 people
worldwide.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Jan. 18, 2007, that Moody's Investors Service affirmed Goodyear
Tire & Rubber Company's Corporate Family Rating of B1.  Ratings
on Goodyear's existing secured and unsecured obligations were
also affirmed as was the company's Speculative Grade Liquidity
rating of SGL-2.  The outlook has reverted to stable from
negative.

Fitch Ratings has affirmed ratings for The Goodyear Tire &
Rubber Company and removed the ratings from Rating Watch
Negative.  The ratings were placed on Rating Watch Negative on
Oct. 18, 2006, when the company announced a US$975 million draw
down of its bank revolver.  Goodyear's debt and recovery ratings
are as follows:

   -- Issuer Default Rating (IDR) 'B';

   -- US$1.5 billion first lien credit facility 'BB/RR1';

   -- US$1.2 billion second lien term loan 'BB/RR1';

   -- US$300 million third lien term loan 'B/RR4';

   -- US$650 million third lien senior secured notes 'B/RR4';and

   -- Senior unsecured debt 'CCC+/RR6'.

The TCR-AP also reported on Jan. 5, 2007, that Standard & Poor's
Ratings Services affirmed its 'B+' corporate credit and other
ratings on Goodyear Tire & Rubber Co. and removed them from
CreditWatch where they were placed with negative implications on
Oct. 16, 2006, as a result of the labor dispute at several of
the company's North American plants.


MARSH & MCLENNAN: To Sell Putnam for US$3.9 Billion
---------------------------------------------------
Marsh & McLennan Companies Inc. will sell its troubled money
manager, Putnam Investments, to a unit of Canada's Power
Financial Corp. for US$3.9 billion, Reuters reports citing a
company statement.

Reuters notes that the sale price was in line with recent press
reports but toward the lower end of initial estimates of how
Putnam Investments would fetch.

The Troubled Company Reporter - Asia Pacific reported on Dec 14,
2006, that Marsh & McLennan was considering whether to sell or
keep its Boston-based subsidiary, Putnam Investments.

The TCR-AP report mentioned that Marsh & McLennan's Chief
Executive Officer Michael Cherkasky said the asset manager
attracted a high number of interested parties and that a variety
of options were under discussion.

Reuters notes that Montreal-based Power Financial, which
controls insurer Great-West Lifeco Inc. and IGM Financial Inc.,
Canada's largest mutual fund company, had said that it was in
talks to acquire Putnam.

Reuters points out that Putnam has suffered from rising
redemptions and poor performance by its top funds, which raised
doubts among some analysts whether a deal, would go through at
all.

The news agency relates that both boards have approved the
transaction, and they expect it to close in the middle of this
year.

Boston-based Financial Research Corp said that Putnam again saw
the heaviest redemptions in long-term stock and bond mutual
funds, losing US$1 billion in November, adding that It lost
US$13.8 billion in assets in 2006 till end-November, Reuters
adds.

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.


METSO CORP: Paper Unit Inks EUR10-Million Supply Deal to Holmen
---------------------------------------------------------------
Metso Paper, a unit of Metso Oyj, will supply a new, energy-
efficient thermo-mechanical pulping line to Holmen Paper's
Braviken mill in Sweden.  The new line is to be commissioned in
the spring of 2008.  The value of the order is more than EUR10
million.  The order is included in the first quarter order
backlog of 2007.

The investment will lead to improved quality, lower energy
consumption, increased heat recovery and greater pulp
production.  The delivery involves refining and process
equipment, and pulp washing with a press. The new line, which
will have a capacity of 780 tons/day, will replace a line from
1977.

The Braviken mill produces newsprint and telephone directory
paper. Braviken is part of Holmen Paper.

                          About Metso

Headquartered in Helsinki, Finland, Metso Corporation
-- http://www.metso.com/-- serves customers in the pulp and
paper industry, rock and minerals processing, the energy
industry and selected other industries.

The company also has operations in Indonesia.

                          *     *     *

Standard & Poor's Ratings Services revised its outlook on
Finland-based machinery and engineering group Metso Corp. to
positive from stable, reflecting improvements in the group's
operating performance and capital structure that offer it the
potential to return to a low investment-grade rating.  The 'BB+'
long-term and 'B' short-term corporate credit ratings, as well
as the 'BB' senior unsecured debt rating on the group were
affirmed.


NORTEL NETWORKS: Peter Currie to Step Down as Company CFO
---------------------------------------------------------
Nortel Networks Limited revealed that Peter Currie will step
down as Executive Vice-President and Chief Financial Officer of
Nortel and Nortel Networks, effective April 30, 2007.  Following
that date, Mr. Currie will continue to provide advice and
assistance to the Company to ensure a smooth transition.  The
Company has initiated a search to fill the position.

"I want to thank Peter for his very significant contribution to
Nortel over the past two years," said Mike Zafirovski, president
and CEO, Nortel.  "Peter has successfully steered Nortel through
many difficult financial issues and, in the process, has
enhanced the Company's governance.  In addition, he leaves
behind a very strong finance organization led by a team of
consummate professionals.  On a personal level, I will miss his
counsel and sound judgment.  I and the entire Nortel team want
to wish him well as he takes on new challenges."

"I believe that I have achieved at Nortel what I returned to
accomplish.  We have transformed the finance organization,
significantly strengthened internal controls, and improved the
balance sheet," said Mr. Currie.  "I look forward now to
pursuing other challenges and I am confident in the future
success of Nortel.  I want to thank my colleagues for their
support and collaboration over the past few years."

                          About Nortel

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized
leader in delivering communications capabilities that enhance
the human experience, ignite and power global commerce, and
secure and protect the world's most critical information.

Serving both service provider and enterprise customers, Nortel
delivers innovative technology solutions encompassing end-to-end
broadband, Voice over IP, multimedia services and applications,
and wireless broadband designed to help people solve the world's
greatest challenges.  Nortel does business in more than 150
countries, including in Indonesia, Australia, China, Mexico,
Philippines, and Thailand.

                          *     *     *

As reported in the Troubled Company Reporter on Oct. 5, 2006,
Moody's Investors Service upgraded its B3 Corporate Family
Rating for Nortel Networks Corp. to B2.

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  DBRS says all trends are stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.


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

AMERICAN AIRLINES: Sets to Obtain US$175 Million Client Revenue
----------------------------------------------------------------
American Airlines Maintenance Services -- the marketing arm of
American Airlines' maintenance organization -- and the Transport
Workers Union or TWU, which represent the airline's maintenance
workers, have set a goal of obtaining US$175 million in customer
revenue in 2007.

For the past three years, American Airlines and the TWU have
been working together as business partners to transform the
airline's maintenance organization from a cost center to a
profit center.  Using the principles of Continuous Improvement,
the maintenance team has increased productivity and
efficiencies, reduced costs, and significantly optimized
operations.  Thus, American Airlines has been able to
successfully compete for customers' maintenance requirements.

The maintenance organization's transition to becoming "Best in
Class" in all maintenance, repair and overhaul processes at its
line and base maintenance facilities has created opportunities
for American Airlines to competitively bid for a wide variety of
maintenance and engineering services for other airlines,
aircraft leasing companies, and individual aircraft owners.  By
doing so, American Airlines is using its maintenance operation
to generate substantial customer revenue.  In 2006, American
Airlines generated almost US$95 million in customer revenue and
expects that to grow in 2007 to US$175 million, not including
the US$225 million of engine overhaul work for customer airlines
by Texas Aero Engine Services Limited or TAESL, a joint venture
between American and Rolls-Royce.

"American's (Airlines) long-term vision is to transform its
maintenance organization into a world-class Maintenance,
Overhaul and Repair (MRO) business that offers our customers a
one-stop shop for most of their maintenance requirements, be it
airframe, component, engine overhaul, engineering services or
line maintenance.  We will continue this momentum by investing
in technology, process improvements, and increasing our
productivity while continuing to reduce overall costs for our
customers.  The Continuous Improvement processes embraced by our
entire M&E (mechanical and electrical) organization will allow
us to offer a comprehensive array of competitive technical
services to continue growing our customer contracts," Bob
Reding, American Airlines' Senior Vice President of Technical
Operations, said.

Obtaining US$175 million in customer revenue in 2007 will be
achieved by:

       -- more overhaul work at American's three maintenance
          bases in:

          * Fort Worth, Texas;
          * Kansas City, Mo.; and
          * Tulsa, Oklahoma;

       -- additional routine, and

       -- "on-call" maintenance work by the airline's line
          maintenance organization.

Each of these organizations created Breakthrough Goals that were
designed to reduce costs and generate revenue, while at the same
time encouraging employees to find innovative ways to streamline
operations.

"We offer what other vendors can't -- comprehensive on-site
service and an extremely talented and driven workforce.  We can
repair most parts on-site.  Given the immense knowledge of our
team, American can reduce out-of-service times, returning the
aircraft, engine or component to the customer quicker, allowing
them to either start producing revenue earlier with the aircraft
or reducing the cost of inventory for engines or components.  In
any case, doing business with American Airlines Maintenance
Services means competitive prices at the highest quality with
the best turn times in the industry," John Conley, AA System
Coordinator and International Representative of TWU, noted.

In March 2005, a joint labor-management team at American's
largest maintenance facility in Tulsa disclosed a "Breakthrough
Goal" to generate US$500 million in value creation -- a
combination of cost reductions and revenue that would turn the
base from what has traditionally been a cost center into a
ground-breaking profit center.

Tulsa surpassed its aggressive breakthrough goal by reaching
more than US$501 million.  This was achieved through the use of
joint management and union representation on teams that focused
on areas such as technology, marketing and turn-time reductions.

"It truly took a joint effort to achieve this goal, but we
always knew we would reach it because we made the decision not
to let others decide our future.  This is only the first step.
We must continue down the path we are on and keep working to
improve our future," Dennis Burchette, President of TWU Local
514, stated.

Tulsa recently obtained a four-year, US$30 million contract with
Allegiant Air to provide engineering, planning, technical and
reliability services, certain component and landing gear repair
and overhauls, as well as airframe overhauls, known as "Heavy C"
checks, for Allegiant's current fleet of 24 MD80 series
aircraft, plus any additional MD80 series aircraft as Allegiant
grows.

Due to the US$22.3 million American Airlines received from the
Tulsa Vision 2025 sales tax program approved by voters in
September 2003, the airline has made vast improvements that have
helped secure customer contracts.  Funding has been invested to
improve working conditions on the shop floor, upgrade
information technology systems, and improve the base's
wastewater treatment plant, among other improvements.

"By making an investment in American Airlines, Tulsa made a huge
investment in itself.  The Vision 2025 funds have allowed us to
keep work in-house, and help make us competitive enough to
secure lucrative customer work.  The progress we have made in
Tulsa would not have been possible without the Vision 2025
funds," Carmine Romano, American Airlines' Vice President of
Tulsa Maintenance and Engineering Base, said.

On Feb. 9, 2006, a joint team of management and labor leaders
from the Kansas City maintenance and engineering base disclosed
a Breakthrough Goal to generate US$150 million in value creation
and also turn the base into a profit center.

Their goal of transforming the base -- which employs about 900
people -- will be achieved through American Airlines' successful
Continuous Improvement Process that is designed to reduce costs
and generate new customer maintenance, contract-driven revenues.

As of December 2006, Kansas City was at US$24.7 million toward
meeting their goal.  The base has also started upgrades on its
facilities, which will help make it more attractive for
customers.  The first phase of the renovation project includes
upgrading the narrow-body hangar.  Repairs will include two
passenger elevators, a freight elevator, upgrading the roof, and
a hangar door.

The second phase of the project will involve the "superhangers,"
which are used for wide body aircraft.  The renovations will
include updating the hangars and its shops.  This work will
start in 2007.

A team of management and Transport Workers Union Local 567
members employed at American Airlines' Alliance maintenance base
in Fort Worth, including TAESL, set a breakthrough goal on
May 11, 2006, to obtain US$400 million in value creation by the
end of 2008.

As of December 2006, the Alliance base had achieved US$67.4
million toward its Breakthrough Goal.  A prime example of
American Airlines' ability to provide competitive maintenance
work to third parties is its joint venture with Rolls-Royce.
TAESL was formed in April 1998 to repair and overhaul the RB211
engine, which American Airlines has on its Boeing 757 fleet, and
the Trent 800 engine, which is on American's Boeing 777
aircraft.  The TAESL joint venture has generated more than 200
additional jobs specifically tied to the growth of engine
maintenance work performed for new customers.

In August 2006, a joint team of management and TWU represented
members from American Airlines' line maintenance bases set a
breakthrough goal to obtain US$95 million in recurring savings
for the airline by the end of 2008.  More than 65 TWU and
management leaders met to identify maintenance opportunities and
challenges with regard to enhancing the company's
competitiveness.

The goal will be reached through cost reductions, additional
customer work, improved dependability through reducing delay
hours, and reducing the amount of spare aircraft for maintenance
needs.  The group chartered several teams on topics that are
critical to achieving the goal of US$95 million by the end of
2008.

American Maintenance Services offers a full line of airframe,
engine and component, and line maintenance services, customizing
those services to meet the specific needs of the client.
American Airlines' maintenance, repair and operations business
has 62 different customers located in North and South America.
Services are provided by all three of American Airlines'
maintenance bases and at line maintenance locations in:

          -- Dallas/Fort Worth
          -- St. Louis
          -- San Francisco
          -- Los Angeles, and
          -- other cities in the central and western United
             States, plus Latin America and Europe.

                   About American Airlines

American Airlines -- http://www.AA.com/-- is the world's
largest airline.  American, American Eagle and the
AmericanConnection regional airlines serve more than 250 cities
in over 40 countries with more than 3,800 daily flights.
American Airlines flies to Belgium, Brazil, Japan, among others.
The combined network fleet numbers more than 1,000 aircraft.
American Airlines is a founding member of the oneworld Alliance,
whose members serve more than 600 destinations in over 135
countries and territories.

American Airlines, Inc. and American Eagle are subsidiaries of
AMR Corp.

At Dec. 31, 2005, AMR Corporation's equity deficit doubled to
US$1.478 billion from a US$581 million deficit at Dec. 31, 2004.

                          *     *     *

Standard & Poor's Ratings Services, effective June 6, 2006,
placed its ratings on AMR Corp. (B-/Watch Pos/B-3) and
subsidiary American Airlines Inc. (B-/Watch Pos/--) on
CreditWatch with positive implication.

As reported in the Troubled Company Reporter on April 25, 2006,
Standard & Poor's Ratings Services placed its ratings on AMR
Corp. (B-/Watch Pos/B-3) and subsidiary American Airlines Inc.
(B-/Watch Pos/--) on CreditWatch with positive implications.
The CreditWatch placement reflected improving earnings and cash
flow prospects, which should translate into a strengthened
financial profile.  The 'B+' bank loan rating on American's $773
million credit facility was placed on CreditWatch, but the '1'
recovery rating (which addresses recovery prospects in a default
scenario) was not placed on CreditWatch.


BOSTON SCIENTIFIC: Moody's Affirms Ratings with Negative Outlook
----------------------------------------------------------------
Moody's Investors Service affirmed Boston Scientific
Corporation's ratings but changed the rating outlook to negative
from stable.

This action is based on concerns that despite fourth quarter
sequential improvement in ICD sales, higher uncertainty
regarding drug-eluting stent (DES) sales and prospects for lower
cash flow levels during fiscal 2007 result in a weaker credit
profile.

"Lingering uncertainty regarding DES usage, coupled with a much
more crowded US field by 2008 provides significant downside risk
for the company," says Diana Lee, a healthcare analyst at
Moody's.

"Although ICD sales may begin to show recovery, this may not
provide enough of a cash flow offset to sustain an investment
grade rating," Mr. Lee continues.

Outstanding regulatory matters could pressure sales growth,
while any negative court rulings could impede de-leveraging
efforts.

Using Moody's Global Medical Products & Device Methodology,
BSX's implied rating is a "Ba1" based on Sept. 30, 2006
financial statements.  Moody's believe that if the company's
cash flow levels continue to be constrained by lower sales
trends, the methodology-implied rating may not approach "Baa3"
over the intermediate term, increasing the likelihood of a
downgrade.

Moody's understands that BSX management has stated its intent to
focus on debt reduction.

"If accelerated debt reduction occurs, we would evaluate whether
that would alter our opinion on the negative outlook," added Mr.
Lee.

Ratings affirmed with a negative outlook:

   * Boston Scientific Corporation

      -- Baa3 senior unsecured notes
      -- Baa3 senior shelf
      -- Ba1 subordinated shelf
      -- Ba2 preferred stock
      -- Prime-3 short-term rating

                    About Boston Scientific

Headquartered in Natick, Massachusetts, Boston Scientific
Corporation (NYSE: BSX) -- http://www.bostonscientific.com/--  
develops, manufactures and markets medical devices used in a
broad range of interventional medical specialties.  The company
has offices in Japan, France, and Germany, among others.


BOSTON SCIENTIFIC: Earns US$277 Million in Fourth Quarter 2006
--------------------------------------------------------------
Boston Scientific Corp. reported its financial results for the
fourth quarter and full year ended Dec. 31, 2006, as well as
guidance for net sales and earnings per share for the first
quarter of 2007.

                      Fourth Quarter 2006

Net sales for the fourth quarter of 2006 were US$2.065 billion
as compared to US$1.540 billion for the fourth quarter of 2005.

Reported net income for the fourth quarter of 2006 was
US$277 million on approximately US$1.5 billion weighted average
shares outstanding.  Reported results for the fourth quarter of
2006 included net special credits of US$127 million that
consisted primarily of a $133 million one-time tax benefit for
the reversal of tax accruals previously established for offshore
unremitted earnings.

Reported net income for the fourth quarter of 2005 was
US$334 million on approximately 830 million weighted average
shares outstanding.

Adjusted net income for the quarter, excluding net special
credits and amortization and stock compensation expense, was
US$306 million.  Adjusted net income for the fourth quarter of
2005, excluding net special charges and amortization and stock
compensation expense, was US$373 million.  Operating cash flow
for the fourth quarter of 2006 was approximately US$365 million.

For 2007, the company concluded that forecasting the rate of
growth in the cardiac rhythm management market and the drug-
eluting stent market will be difficult, given the events and
volatility in both markets during 2006.  Since these two markets
are so significant to the Company's forecasted results of
operations in 2007, the Company believes it is appropriate to
provide guidance only for the first quarter.  The ranges for
earnings set forth below are driven largely by market growth,
mix of product sales and resulting gross margin rates.

The company estimates net sales for the first quarter of 2007
of between US$2 billion and US$2.1 billion.  Adjusted earnings
per share, excluding net special charges and amortization and
stock compensation expense are estimated to range between
US $0.15 and US$0.21 per share.  The Company estimates earnings
per share on a GAAP basis of between US$0.04 and US$0.10 per
share.

"The past year was a transforming one for Boston Scientific and
its vision for the future," said Jim Tobin, President and CEO of
Boston Scientific.  "I want to thank our employees for all their
hard work.  Over the past several years we have fundamentally
diversified our company by entering the microelectronics device
space through the acquisitions of Guidant and Advanced Bionics,
two important growth engines.  As we look forward, we are
confident the growth story at Boston Scientific will continue."

                     About Boston Scientific

Headquartered in Natick, Massachusetts, Boston Scientific
Corporation (NYSE: BSX) -- http://www.bostonscientific.com/--  
develops, manufactures and markets medical devices used in a
broad range of interventional medical specialties.  The company
has offices in Japan, France and Germany, among others.

                          *     *     *

On Feb. 5, 2007, Moody's Investors Service affirmed Boston
Scientific Corporation's ratings but changed the rating outlook
to negative from stable:

      -- Baa3 senior unsecured notes
      -- Baa3 senior shelf
      -- Ba1 subordinated shelf
      -- Ba2 preferred stock
      -- Prime-3 short-term rating


HERBALIFE LTD: Whitney V Offers to Buy Firm for US$38 Per Share
---------------------------------------------------------------
Herbalife Ltd.'s Board of Directors has received a proposal from
Whitney V L.P. and its affiliates to acquire all of the
company's outstanding common stock for US$38.00 per share in
cash.  Whitney and its related parties currently beneficially
own an aggregate of approximately 27% of the company's
outstanding common stock.

The Herbalife Board of Directors has established a Special
Committee consisting solely of independent directors to review
the proposal.  The Special Committee is in the process of
retaining financial and legal advisors to assist the Special
Committee.  The Special Committee has not determined that a
transaction is in the best interests of Herbalife and its
stockholders or that Herbalife should not continue as an
independent public company.  Accordingly, there is no assurance
that Herbalife will enter into this or any other transaction.
Neither the company nor the Special Committee intends to comment
upon or provide further updates regarding these matters until
circumstances warrant.

                       About Herbalife Ltd.

Herbalife (NYSE:HLF)-- http://www.herbalife.com/-- is a global
network marketing company that sells weight-management,
nutritional supplements and personal care products intended to
support a healthy lifestyle.  Herbalife products are sold in 63
countries through a network of more than one million independent
distributors.  The company supports the Herbalife Family
Foundation -- http://www.herbalifefamily.org/-- and its Casa
Herbalife program to bring good nutrition to children.

The company does business with several manufacturers
worldwide and has its own manufacturing facility in Suzhou,
China, as well as major distribution centers in Venray,
Netherlands, Japan, Los Angeles, Calif., Memphis, Tenn., and
Guadalajara, Mexico.

Herbalife of Japan K.K. is headquartered in Minato-ku, Tokyo.

                          *     *     *

Standard & Poor's Ratings Services rated Herbalife Ltd.'s long-
term foreign and local issuer credit ratings at BB+.


HERBALIFE INT'L: US$2.7 Bil. Offer Cues S&P's Neg. CreditWatch
--------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings, including
the 'BB+' corporate credit rating, on Los Angeles-based
Herbalife International Inc. on CreditWatch with negative
implications.

These actions followed Herbalife's report that it had received
an offer from Whitney V L.P. to acquire the company for US$38
per share in cash.

The proposed transaction, totaling about US$2.7 billion to
purchase Herbalife's equity, would be funded in part through the
issuance of US$2 billion of new debt and result in a highly
leveraged capital structure.

"Although the company is currently carrying minimal debt
leverage, existing debt capacity would be stretched well beyond
the limits of the current ratings if the proposed transaction
closes," said Standard & Poor's credit analyst John Thieroff.

                       About Herbalife Ltd.

Herbalife (NYSE:HLF)-- http://www.herbalife.com/-- is a global
network marketing company that sells weight-management,
nutritional supplements and personal care products intended to
support a healthy lifestyle.  Herbalife products are sold in 63
countries through a network of more than one million independent
distributors.  The company supports the Herbalife Family
Foundation -- http://www.herbalifefamily.org/-- and its Casa
Herbalife program to bring good nutrition to children.

The company does business with several manufacturers
worldwide and has its own manufacturing facility in Suzhou,
China, as well as major distribution centers in Venray,
Netherlands, Japan, Los Angeles, Calif., Memphis, Tenn., and
Guadalajara, Mexico.

Herbalife of Japan K.K. is headquartered in Minato-ku, Tokyo.


INFOR GLOBAL: Moody's Junks Rating on US$1.275 Bil Senior Notes
----------------------------------------------------------------
Moody's affirmed Infor Global Solutions Holdings Ltd.'s B3
corporate family rating and updated the company's individual
debt ratings in accordance with its refinancing of a US$1.425
senior subordinated bridge facility rated Caa2 with a
combination of an additional US$200 million to its existing
first lien term loan rated B1 and a new US$1.275 billion second
lien term loan rated Caa2.

These are the rating actions:

   -- US$150 million Senior Secured Revolving Credit Facility
      due 6yr, to B1, LGD3, 31% from B1, LGD2, 25%

   -- US$2.44 billion Senior Secured First Lien due 6 yr, to B1,
      LGD3, 31% from B1, LGD2, 25%

   -- US$1.275 billion Senior Secured Second Lien due, rated
      Caa2, LGD5, 84%

This rating will be withdrawn:

   -- US$1.675 billion Senior Subordinated Notes, from Caa2,
      LGD5, 80%

Currently Infor is six months into the integration process of
its recent acquisition SSA Global Technologies and merger with
Extensity S.A.R.L., two companies that were digesting their own
acquisitions including Systems Union for Extensity.

Although Infor's acquisition strategy is to acquire companies
with complementary product lines and to maintain those product
lines, the company undertakes significant rationalization
activities including reducing headcount which remain in
progress.  Although Moody's views positively Infor's past
success at integrating acquired firms, the relative size of the
recent acquisitions, the high leverage and management's stated
intentions to continue to grow through acquisitions constrain
the company's B3 corporate family rating.

Moody's continues to view positively the company's leading
market positions across multiple verticals within mid-market
enterprise software applications and its historically strong
renewal rates in excess of 90%.  It appears that Infor has been
able to achieve substantial cost reductions in the current
integration process however it is too soon to determine if there
has been any negative effects on the business or customer base
as a result.

Additionally, Moody's notes that the company faces growing
threats from larger competitors including SAP who are expanding
their presence in the mid-market space.

             About Infor Global Solutions Holdings Ltd.

Headquartered in Alpharetta, Georgia and a Cayman Islands
exempted company, Infor Global Solutions Holdings Ltd., --
http://www.infor.com/-, is a global provider of financial and
enterprise applications software.  The company has locations in
Japan, Australia, Austria, China, France, India, Singapore, and
Spain, among others.


MITSUBISHI MOTORS: Incurs JPY11.8-Bil. Net Loss for 9-Month Pd.
---------------------------------------------------------------
Mitsubishi Motors Corporation revealed its sales and financial
results for the first nine months of the fiscal year ending
March 31, 2007.

(1) Performance overview

Mitsubishi Motors reported that consolidated net sales in the
first nine months of fiscal 2006 (April 1 through December 31,
2006) totaled JPY1.544 trillion, up JPY14.5 billion over the
same period last fiscal year (JPY1.53 trillion).  The gain stems
principally from increased sales of built-up vehicles and from
favorable yen exchange rates which offset declines in OEM supply
volumes due to the end of production of the smart for four model
at NedCar in the Netherlands and in shipments of parts for use
in local production in North Asia and ASEAN countries.

Mitsubishi Motors posted an operating profit of JPY6.4 billion,
JPY24.6 billion better than the same period last fiscal year.
Factors contributing to this improvement include: the fact that
the drop in overall sales volume had only a limited impact on
profitability due to the greater ratio of built-up vehicles in
overall volume; improved profitability of financial service
operations in the United States; favorable foreign exchange rate
movements; and, reductions in selling expenses.

Mitsubishi Motors posted an ordinary loss of JPY6.4 billion, a
year-on-year gain of JPY27.4 billion that stemmed in part from
an improvement in net interest income.  The company reported a
net loss of JPY11.8 billion for the period, an improvement of
JPY56.3 billion.  Factors contributing to this improvement
include: the elimination of asset impairment charges in Japan
and of restructuring charges booked last year; and,
extraordinary earnings stemming from the dissolution of a
special purpose entity.

The third quarter (October-December) of fiscal 2006 marks the
first time Mitsubishi Motors has moved into the black at all
levels (operating, ordinary and net profits) since the company
started disclosing quarterly results in fiscal 2004.

(2) Sales volume

Global retail sales of vehicles in the first nine months of
fiscal 2006 totaled 899,000 vehicles, a decline of 86,000 on the
985,000 sold in the same period in fiscal 2005.

In Japan, MMC sold 170,000 vehicles, a year-on-year increase of
7,000 that reflected continuing stable sales of the Outlander
SUV, and sales volume gains resulting from the introduction last
year of the new i minicar and Pajero models.

In North America, the company sold 123,000 vehicles, 2,000 more
than the same period in fiscal 2005.  Factors behind this gain
include the introduction of the new Eclipse Spyder in April and
the full-scale launch of the new Outlander SUV in November last
year.

In Europe, Mitsubishi Motors sold 206,000 vehicles, a year-on-
year increase of 11,000, as strong sales in Russia and a
doubling of sales in the Ukraine offset slower sales in Germany
and the UK.

In Asia and other markets, MMC sold 400,000 vehicles, a decrease
of 106,000 over the same period last fiscal year.  Firm sales in
Latin America, the Middle East, and Africa failed to offset a
sharp decline in shipments of parts for local production in
Taiwan, China and countries in the ASEAN block.

FY2006 full-year forecasts:

Despite an increasingly challenging global market, Mitsubishi
Motors aims to return to the black in terms of full-year net
profit through the implementation of profit-oriented marketing
initiatives.  The company stands by the full-year forecasts made
at the announcement of the FY2006 1H results: Net sales of
JPY2,230 billion, ordinary profit of JPY21 billion and net
profit of JPY8 billion.

                     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.


NIKKO CORDIAL: Stock Exchange Sets Criteria For Delisting
---------------------------------------------------------
Toshitsugu Shimizu, a senior executive at the Tokyo Stock
Exchange, gave a clear indication of what criteria will be used
if a decision is made to delist Nikko Cordial Corp. in March,
The Wall Street Journal states.

The Associated Press had reported that the TSE will decide next
month whether to delist the brokerage firm over allegations that
its senior executives manipulated earnings.

According to The Journal, any possible delisting would be based
more on issues such as the level of involvement of senior
executives, the duration of any fraud and the degree to which
earnings were tampered with than on factors such as the impact
on market liquidity.

"In this case, we aren't looking at using numerical criteria
such as the stock's liquidity" The Journal quotes Mr. Shimizu.

According to The Journal, the TSE's focus on the intentions of
Nikko Cordial's management and on the level and duration of any
misstatements contradicts with a report released by the
exchange's board of directors in June 2006 saying that it would
put "an emphasis on liquidity-related criteria, such as the
criteria for the number of shareholders" when it comes to
delisting companies.

The report adds that the Nikko Cordial scandal has contributed
to questions about corporate governance at the TSE, and in Japan
itself, The Journal says.

The AP relates that Japan's main bourse has been completing its
review of Nikko Cordial's restated financials, after which it
will rule on whether the brokerage violated listing rules and
decide whether it should be delisted.

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 5, 2007, Nikko Cordial, in its restated financials, again
lowered its earnings for its 2004 business year, revealing a
pretax profit of JPY54 billion instead of the JPY58.8 billion it
had disclosed on Dec. 18, 2006, when regulators said that the
firm cooked its books.  Nikko Cordial also revised its sales for
2004 to JPY291 billion from the JPY295 billion it reported in
December.  The TCR-AP report recounted that before the
accounting scandal broke, Nikko Cordial had said it logged a
pretax profit of JPY77.7 billion and sales of JPY313.9 billion.

                        About Nikko Cordial

Headquartered in Tokyo, Japan, Nikko Cordial Corporation --
http://www.nikko.jp/-- is mainly engaged in the provision of
financial services in the securities-related field.  The Company
operates in four business segments.  The Retail segment provides
consulting services for financial products management.  The
Asset Management segment provides asset management services for
individual, corporate and foreign investors.  The Investment
Banking segment provides corporate finance and capital market
services, mergers and acquisitions, advisory services, trading
services for institutional investors and research services.  The
Merchant Banking segment is involved in the investment of
corporate issued stocks, bonds, securities-related financial
products and other financial products.  Nikko Cordial has 62
consolidated subsidiaries.  It has oversea operations in the
United States, the United Kingdom, Luxemburg and Singapore.
The company has a global network.

On April 12, 2006, Fitch Ratings upgraded Nikko Cordial Corp.'s
individual rating to C from C/D.

The Troubled Company Reporter - Asia Pacific reported on
December 22, 2006, that Fitch placed its ratings on Nikko
Cordial Corp. and Nikko Cordial Securities Inc. on Rating Watch
Negative following the decision announced on Dec. 18 by the
Tokyo Stock Exchange to place the shares of NCC on its official
watchlist pending the full investigation into reported
accounting breaches by the company.


SOLO CUP: S&P Holds Junk Corp. Credit Rating; Outlook Negative
--------------------------------------------------------------
Standard & Poor's Ratings Services revised its recovery rating
on Solo Cup Co.'s second-lien term loan to '5' from '4'.

This, together with the 'CCC-' rating on the second-lien loan,
indicates Standard & Poor's expectation that lenders under this
facility would experience negligible recovery of principal in a
payment default.

The revision was prompted by a recent $50 million increase in
the second-lien loan to $130 million.

At the same time, Standard & Poor's affirmed all its other
ratings on Solo, including the 'CCC+' corporate credit rating.
The outlook remains negative.

"The ratings on Solo reflect its vulnerable business risk
profile, very high debt leverage, and thin, albeit improved,
liquidity," said Standard & Poor's credit analyst Cynthia
Werneth.

With annual revenues of about US$2.5 billion, Highland Park,
Illinois-based Solo is one of the largest providers of
disposable paper and plastic cups, plates, and cutlery to
foodservice distributors, quick-service restaurants, and
retailers in the U.S. Solo doubled in size in 2004 after
acquiring SQ. FT. Holdings Group Inc., the parent of Sweetheart
Cup Co. Inc.

Financing for the acquisition, mostly debt, included a minority
equity stake from Vestar Capital Partners.  Recently, Vestar
gained control of the company's board of directors because Solo
did not meet targets set forth in the stockholders' agreement.

The US$50 million increase in Solo's second-lien term loan
reduced immediate liquidity concerns and provided some time for
the company to execute its various initiatives to improve
earnings and cash flow and sell assets to reduce debt.  However,
until progress has been made, Standard & Poor's remains
concerned about Solo's ability to weather stiff competition or
any slowdown in demand, and absorb any raw material cost
increases or other adverse developments.  As a result, ratings
could still be lowered if progress is not made fast enough to
stave off another liquidity crisis.

However, Standard & Poor's could revise the outlook to stable or
positive if the company successfully executes its profit
improvement and asset sale plan, significantly reduces debt
leverage, and maintains a comfortable level of liquidity.

Headquartered in Highland Park, Illinois, Solo Cup Company
-- http://www.solocup.com/-- manufactures disposable
foodservice products for the consumer and retail, foodservice,
packaging, and international markets.  Solo Cup has broad
expertise in plastic, paper, and foam disposables and creates
brand name products under the Solo, Sweetheart, Fonda, and
Hoffmaster names.  The company was established in 1936 and has
presence in Japan, Canada, Mexico, Panama and the United States.


* Major Securities Firms See Return to Growth in 3Q06, S&P Says
---------------------------------------------------------------
All three major Japanese securities groups recorded growth in
revenues and profits in all segments in the third quarter of
fiscal 2006, according to a report published today by Standard &
Poor's Ratings Services.

In the third quarter (ended Dec. 31, 2006), Daiwa Securities
Group Inc. (BBB+/Stable/A-2), Nikko Cordial Corp. (BBB+/Watch
Neg/A-2), and Nomura  Holdings Inc. (A-/Stable/A-2) recorded
higher income than in the previous  quarter.  However, compared
with the brisk stock market in the third quarter of
fiscal 2005, trading volumes have dropped and brokerage
commissions stagnated resulting in lower revenues and profits
for the three securities groups.  Although the companies'
earnings are vulnerable to the effects of market
fluctuations, they have all been diversifying their revenue
sources and promoting flexibility in their cost structures.
Consequently, their earnings have stabilized in recent years.

Each of the securities groups recorded increases in transaction
fees compared with the previous quarter, as all three maintained
their market shares in individual equity fees, while benefiting
from the effects of an expansion in equity trading at the TSE.
Also, commission fees at each of the three groups expanded as
investment trusts sales continued to be strong underpinned
mainly by multi-distribution asset funds.

Asset management earnings are on an upward trend at the three
securities groups as the balance of managed assets in investment
trusts increased.  Customer assets also grew, as retail
investors are starting to shift from building savings to making
investments.  Large deals such as the public stock
offering of Aeon Co. Ltd. (A-/Stable/--) helped boost earnings
at all of the groups' investment trust banks, which recorded
strong performances compared with that of the previous quarter
in fiscal 2006 as well as the third quarter of fiscal 2005.

In merchant banking there were no stand-out investment deals or
exits.  Separately, Nomura Holdings announced two major
strategic investments to acquire major U.S.-based electronic
securities broker Instinet, as well as a minority stake in
U.S.-based asset manager Fortress Investment Group LLC.

Although the group's risks will expand because of its
investments, any rise in risk should be manageable considering
Nomura's capitalization and profitability.  Whether the group is
able to derive adequate returns on its investments will be a
critical point going forward.

For Nikko Cordial, currently embroiled in an accounting scandal,
revisions to its financial statements and the Tokyo Stock
Exchange's (TSE) placement of the company on a supervision post
for possible delisting on Dec. 18, 2006 had only a limited
impact on its fiscal 2006 third quarter financial results as the
actions were taken toward the end of the quarter.

On Jan. 30, 2007, a statement prepared by an in-house special
investigation committee was released stating that the company's
manipulation of earnings was conducted systemically through the
nonconsolidation of Nikko Principal Investment Japan Ltd. (NPI)
and issues of exchangeable bonds to NPI.  The committee's
findings and the company's internal investigations led to
further revisions of financial statements for fiscal 2004 and
fiscal 2005, and consolidated recurring profits for fiscal 2005
decreased by �19.1 billion to �149.7 billion from its original
statement.  Nikko Cordial will release a revised financial
statement at the end of February 2007, following which the
TSE will determine in mid-March whether the company will remain
listed.

If Nikko Cordial is delisted, the company's operations will
continue.  However, there will likely be a flight of customers,
which will have a significant impact on its wholesale brokerage
business.  Standard & Poor's will downgrade the company if it
determines there is a high likelihood that Nikko Cordial will be
delisted.  Even if the company is not delisted, the rating on
the company will be lowered if its profitability weakens and
customer base decreases to a level incommensurate with the
current rating.

The rating on Nikko Cordial Corp. is currently the same as that
of its subsidiaries, including Nikko Cordial Securities Inc.
(BBB+/Watch Neg/A-2), in which Nikko Cordial Corp. has a 51%
stake.  However, Standard & Poor's may also downgrade Nikko
Cordial Corp. if the credit quality of the wholesale brokerage
subsidiary, whose high credit quality has underpinned Nikko
Cordial Corp.'s rating, decreases or if risks from the company's
own investment operations turn out to be greater than initially
expected.


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

KOOKMIN BANK: Korea Lottery Files KRW445.9-Billion Claim
--------------------------------------------------------
In a filing with the United States Securities and Investments
Commission, Kookmin Bank disclosed that on Feb. 6, 2007, it has
received notice of a complaint filed with the Seoul Central
District Court on Jan. 30 by Korea Lottery Services.

KLS claims payments of fees aggregating to KRW445,877,230,980
for the period from June 2004 to December 2006.  The amount,
according to Kookmin was calculated based on the fee rate
imposed by KLS.

In addition, KLS claims an annual interest rate of 6% for the
period from July 3, 2004, to Feb. 6, 2007, and 20% per annum for
the period from February 7 to the date of full payment.

Kookmin says it will follow the instructions of the Korean
Government -- the Prime Minister's Lottery Commission -- in
dealing with the complaint.

Even if the bank loses this case, it will not be responsible for
the payment of any judgment, as payment will be made using funds
in the Lottery Fund managed by the Prime Minister's Lottery
Commission, Kap Shin, the bank's Chief Financial Officer notes.

Kookmin Bank -- http://inf.kbstar.com/-- provides various
commercial banking services, such as deposits, credit cards,
trust funds, foreign exchange transactions, and corporate
finance.  The bank also offers Internet banking services.

Moody's Investors Service gave the bank a Bank Financial
Strength rating of D+ effective March 27, 2006.  As reported in
the Troubled Company Reporter - Asia Pacific on Jan. 24, 2007,
Moody's affirmed the D+ rating.


* Government to Ease Equity Investment Ceiling for Conglomerates
----------------------------------------------------------------
On Feb. 6, 2007, the South Korean Government decided to move to
ease the country's equity investment ceiling for large
conglomerates as part of efforts to stimulate the economy, The
Hankyoreh says, citing a report from Yonhap News.

The report relates that cabinet members agreed to submit a draft
amendment on the country's fair trade law to the National
Assembly, which:

   (a) raises the current 25% investment cap to 40% of the net
       worth of conglomerates affected by the equity investment
       ceiling rules; and

   (b) allows only key companies with assets exceeding KRW2
       trillion (US$2.12 billion) -- belonging to a business
       group whose total worth surpasses KRW10 trillion -- would
       face investment limits.  According to Yonhap, currently
       all companies that are part of groups worth more than
       KRW6 trillion are affected by the rule; and

   (c) seeks to lower the minimum stakes that must be owned by
       the majority shareholder from 30% of issued shares for
       listed companies to 20%.  Thus, making it easier for
       conglomerates to become holding companies.

The changes mean 24 companies belonging to Samsung, the Hyundai-
Kia Automotive Group, SK, Lotte, Hanwha, Doosan, and Kumho
Asiana will be affected, Yonhap says, noting that the old rules
affected more than 340 companies.

However, an expected breakup of the ruling Uri Party clouds
prospects of whether or not the bill could be passed, Yonhap
further says.

The paper relates that 23 lawmakers bolted from the Uri Party to
create a new party amid growing pessimism over its unpopularity
ahead of December's presidential election.


* BOK to Keep February's Call Rate Target at 4.5%, Poll Predicts
----------------------------------------------------------------
A poll by the financial arm of Yonhap News Agency -- Yonhap
Infomax -- showed that all 21 analysts it surveyed predicted
that the Bank of Korea would retain its call rate target for
February at a five-year high of 4.5%, Yonhap relates, noting
that the survey was conducted among local and foreign financial
institutions from Jan. 29 to Feb. 5, 2007.

The bank has retained the call rate since September 2006 after
raising it three times earlier in the year, Yonhap recounts.

On Feb. 8, 2007, the bank's seven policymakers, led by the BOK
Gov. Lee Seong-tae, will meet to set the call rate, the interest
charged on overnight inter-bank loans, the paper says.

"As economic indicators fuel concerns over a slowing economy
while showing mild inflationary pressure, the central bank will
likely freeze its key rate," Yonhap cites Lee Sung-kwon, chief
economist at Good Morning Shinhan Securities Co., as saying.

The paper also says that the central bank forecast the nation's
economic growth to decelerate to 4.4% this year from 5% last
year.

The won gained nearly 9% last year, undermining South Korean
goods' competitiveness in overseas markets, Yonhap notes.


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

KUMPULAN BELTON: Updates on Various Litigations as of Dec. 06
-------------------------------------------------------------
Kumpulan Belton Bhd disclosed with the Bursa Malaysia Securities
Bhd the status of its involvement with various litigation issues
as of December 2006.

As stated in its disclosure, the company and some of its
subsidiaries are facing court hearing on two different
litigation issues.

Belton Sdn Bhd, a subsidiary of Kumpulan Belton, will face a
civil suit hearing before the Ipoh High Court on April 25, 2007.
RHB Bank Bhd is the plaintiff in the case, while Kumpulan Belton
is involved as a guarantor to its subsidiary.

Meanwhile, Kumpulan Belton, along with Belton Springs Sdn Bhd
and Belton HWC Industries Sdn Bhd, were named plaintiffs by OCBC
Bank (M) Bhd, pertaining to the Originating Summons No.24-04-
2006, which case is pending with the Ipoh High Court.

The originating summon has been set down for mention on
March 15, 2007.

                          *     *     *

Headquartered in Perak Darul Ridzuan, Malaysia, Kumpulan Belton
Berhad -- http://www.beltongroup.com-- manufactures and sells
automotive suspension parts and components.  Other activities
include property development and investment, provision of
machining and heat treatment services and investment holding.
Operations of the Group are carried out in Malaysia and
Australia.

Kumpulan Belton was identified as an affected listed issuer of
Practice Note 17, as its consolidated shareholders' equity as of
December 31, 2005, was less than 25% of its issued an paid up
capital.  As an affected issuer, the Company is required to
submit a Regularization Plan to the relevant authorities for
approval and implement the Regularization Plan within the
timeframe stipulated by the relevant authorities.


LITYAN HOLDINGS: Loan Default Reaches MYR18.32 Mil. in Jan. 2007
----------------------------------------------------------------
Lityan Holdings Bhd filed before the Bursa Malaysia Securities
Bhd an update on the status of its default to credit facilities
as of Jan. 31, 2007.

As of end-January 2006, Lityan Holdings' default plus interest
owed to various credit facilities total MYR18.32 million.

                                            Total Principal and
   Lender             Type of Facility      Interest in Default
   ------             ----------------      -------------------
RHB Bank Berhad       Overdraft Facility          MYR288,313.17
                      of MYR225,000/-

RHB Bank Berhad       Overdraft Facility             576,705.34
                      of MYR450,000/-

Bank Islam Malaysia   Letter of Credit            10,087,124.91
Berhad Labuan         Facility/Murabah
Offshore Branch       Working Capital
(Formerly known as    Financing/Revolving
Bank Islam (L) Ltd)   Al-Bai-Bithaman-Ajil
                      Facility of US$10 mil.
                      (Secured)

Bank Islam Malaysia   Revolving Al-Bai-            6,099,552.37
Berhad Labuan         Bithaman-Ajil Facility
Offshore Branch       of US$5 million
                      (secured)

Ambank Berhad         Overdraft Facility           1,265,683.48
                      of MYR1 million          ----------------
                                               MYR18,317,379.27

                          *     *     *

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 itself 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.


MCSB SYSTEMS: Bursa Decides to Delist Securities on February 16
---------------------------------------------------------------
The securities of MCSB Systems Bhd will be delisted from the
Bursa Malaysia Securities Bhd's official list after the company
showed no adequate level of financial condition and operations
to warrant continued listing.

The securities of the company will be removed from the bourse's
list on Feb. 16, 2007.

Bursa Malaysia clarified that MCSB's securities may remain
deposited with the bourse but will be barred from trading.

Shareholders of the company intending to hold their securities
in the form of physical certificates can withdraw these
securities from the Bursa's Central Depository System anytime
after the securities of MCSB have been delisted.

The shareholders are required to submit an application form for
withdrawal in accordance with the procedures prescribed by Bursa
Depository.  These shareholders can contact any participating
organization of Bursa Malaysia or its general line at 03-2034
7000.

                          *     *     *

Headquartered in Kuala Lumpur, MCSB Systems (Malaysia) Berhad --
http://www.mcsb.com/-- is an information technology services
company.  The Company's activities include hardware, software,
consultancy and professional services.  The services are
categorized into systems support services, Internet professional
services, outsourcing services, software services, education
services, e-commerce consultancy and development services.  Some
of MCSB Systems (Malaysia) Berhad's subsidiaries include MCSB
Systems (PG) Sdn Bhd, MCSB Systems (Johore) Sdn Bhd and MCSB
Software Development Sdn Bhd.

The company is an affected listed issuer under Bursa Malaysia's
PN 17 category, and is therefore required to submit and
implement a plan of regularization.


METROPLEX BERHAD: Unit's Wind-Up Hearing Moved to May 10
--------------------------------------------------------
The hearing of Hong Leong Bank Bhd's wind-up petition against
Peninsular Park Sdn Bhd, 75% owned by Metroplex Bhd, was moved
from Jan. 31, to May 10, 2007.  Accordingly, Peninsular Park's
stay application was also moved to the same date.

The Troubled Company Reporter - Asia Pacific reported on
Sept. 13, 2006, that the hearing of the wind-up petition was
originally set for Aug. 29, 2006, but was moved to Nov. 14 as
there was no judge in court.  The Nov. 14 hearing was again
moved to Jan. 31, 2007.

According to the TCR-AP, Hong Leong Bank had claimed for a sum
of MYR4,990,744 as of September 16, 2005, under a judgment dated
December 15, 2000.

The TCR-AP recounted that Peninsular Park had entered into a
contract with Nikmat Unik Sdn Bhd for earthworks or for the
building of roads and drainage in respect of a project in Batang
Kali.  On September 23, 1996, Nikmat entered into a Factoring
Agreement with Hong Leong Leasing Berhad whereby Nikmat assigned
all proceeds from the said contract to Hong Leong Leasing.
Nikmat and Hong Leong Leasing had informed Peninsular Park that
all outstanding debts payable by the Company to Nikmat be paid
directly to Hong Leong Leasing.

On October 14, 2005, the Petitioner, through its solicitors, had
demanded for Peninsular Park to pay the Debt.  Peninsular Park,
however, was unable to pay the Debt.

                          *     *     *

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.

As of October 31, 2006, the company reported MYR1.22 billion in
total assets and MYR1.46 billion in total liabilities, resulting
in a shareholders' deficit of MYR241.23 million.


MOL.COM BHD: Files Regularization Plan w/ Securities Commission
---------------------------------------------------------------
Mol.com Bhd, on Feb. 6, 2007, filed before the Securities
Commission and other relevant authorities its regularization
plan showing proposals on how it would improve its current
financial status.

The company is an Affected Listed Issuer pursuant to the Amended
Practice Note 17/2005 of the Listing Requirements of Bursa
Malaysia.

                  Proposed Regularization Plan

Pursuant to Mol.Com's Regularization Plan, the company proposes:

A. the cancellation of the company's Entire Share Premium of
   approximately MYR42.23 million as at June 30, 2006, and
   reduction of the existing issued and paid-up capital
   involving the cancellation of MYR0.70 of the par value of
   each of the 225,756,900 ordinary shares of MYR1.00 each in
   issue pursuant to sections 60 and 64 of the Companies Act,
   1965;

B. consolidation of every 10 ordinary shares of MYR0.30
   each into three new ordinary shares of MYR1.00 in MOL
   subsequent to the proposed capital reduction; and

C. the issue of renounceable rights of up to MYR27,090,828
   nominal value of irredeemable convertible unsecured loan
   stocks at 100% of the nominal value of ICULS for every five
   MOL shares held after the completion of the proposed capital
   reduction and the proposed share consolidation.

                          *     *     *

Based in Malaysia, Mol.Com Bhd's principal activities are
provision of electrical engineering services and contracting and
trading of electrical machinery and apparatus.  Other activities
include operation and maintenance of web portals, registration
and marketing of internet domain names, provision of web and
information technology solutions, advertising, promotional
activities and investment holding.

Operations are carried out in Malaysia, British Virgin Islands
and Singapore.

Mol.Com is an Affected Listed Issuer pursuant to the Amended
Practice Note 17/2005 of the Listing Requirements of Bursa
Malaysia and is therefore required to implement a regularization
plan to the Securities Commission.


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

A.P.G. HOLDINGS: Liquidation Hearing Set on March 1
---------------------------------------------------
A petition to liquidate A.P.G. Holdings Ltd will be heard before
the High Court of Auckland on March 1, 2007, at 10:45 a.m.

Wellington City Council filed the petition with the Court on
Dec. 14, 2006.

Wellington City's solicitor can be reached at:

         A.L. Holloway
         DLA Phillips Fox
         7/F, Tower Building
         50-64 Customhouse Quay, Wellington
         New Zealand


AA PLASTERERS: Creditors' Proofs of Claim Due on March 23
---------------------------------------------------------
Creditors of AA Plasterers Ltd are required to submit their
proofs of claim against the company by March 23, 2007, or they
will be excluded from sharing in any distribution the company
will make.

According to the Troubled Company Reporter - Asia Pacific, the
High Court of Wellington heard on Jan. 23, 2007, the liquidation
petition filed by the Commissioner of Inland Revenue against the
company.

The company's joint and several liquidators are:

         John Howard Ross Fisk
         Craig Alexander Sanson
         c/o PricewaterhouseCoopers
         113-119 The Terrace (PO Box 243)
         Wellington
         New Zealand
         Telephone:(04) 462 7000
         Facsimile:(04) 462 7492


DE LAMBERTS: Crichton and Horne to Act as Liquidators
-----------------------------------------------------
David Donald Crichton and Keiran Anne Horne were appointed as
liquidators for De Lamberts Cafe Ltd by a special resolution of
the shareholders on Jan. 22, 2007.

In this regard, the liquidators fix Feb. 22, 2007, as the day on
which the creditors are to submit their proofs of claim and to
establish any priority claims they may have.

The Liquidators can be reached at:

         David Donald Crichton
         Keiran Anne Horne
         Crichton Horne & Associates Limited
         Old Library Chambers
         109 Cambridge Terrace (PO Box 3978)
         Christchurch
         New Zealand
         Telephone:(03) 379 7929


DE MARK: Liquidation Hearing Set for February 12
------------------------------------------------
The High Court of Christchurch will hear on Feb. 12, 2007, at
10:30 a.m., a liquidation petition filed against De Mark Ltd.

Lumber Products Ltd filed the petition on Nov. 29, 2006.

Lumber Products' solicitor can be reached at:

         Credit Services (NZ) Limited
         Level 6, 138 Victoria Street
         Christchurch
         New Zealand


EPSOM PROJECTS: Court Sets Liquidation Hearing on Feb. 12
---------------------------------------------------------
Acme Plumbing & Drainage (2005) Ltd filed with the High Court of
Christchurch a liquidation petition against Epsom Projects Ltd
on Dec. 13, 2006.

The application will be heard before the Court on Feb. 12, 2007,
at 10:30 a.m.

Acme Plumbing's solicitor can be reached at:

         O. G. Paulsen
         Cavell Leitch Pringle & Boyle
         Level 15, Clarendon Tower
         Worcester Street and Oxford Terrace
         (PO Box 799), Christchurch
         New Zealand
         Telephone:(03) 379 9940
         Facsimile:(03) 379 2408


LABOUR FORCE: Shareholders Appoint Joint Liquidators
----------------------------------------------------
On Jan. 24, 2007, the shareholders of The Labour Force Ltd
appointed Boris van Delden and Peri Micaela Finnigan as joint
and several liquidators.

Accordingly, Mssrs. van Delden and Finnigan require the
creditors to prove their claims and to establish any priority
claims by March 2, 2007.

The Joint and Several Liquidators can be reached at:

         Boris van Delden
         Peri Micaela Finnigan
         McDonald Vague
         PO Box 6092, Wellesley Street Post Office
         Auckland
         New Zealand
         Telephone:(09) 303 0506
         Facsimile:(09) 303 0508
         Web site: http://www.mvp.co.nz


MAIN MARINE: Commences Liquidation Proceedings
----------------------------------------------
On Jan. 18, 2007, the shareholders of Main Marine Centre Ltd
resolved to liquidate the company's business and appointed Brian
Spooner as liquidator.

Accordingly, Mr. Spooner fixed March 15, 2007, as the day on
which the creditors are to make their claims and to establish
any priority claims they may have.

The Liquidator can be reached at:

         Brian Spooner
         Level 7, West Plaza (PO Box 106072)
         Auckland 1030
         New Zealand
         Telephone:(09) 303 4507


NORTHSHORE TAVERNS: Faces Liquidation Proceedings
-------------------------------------------------
The High Court of Auckland heard a liquidation petition filed
against Northshore Taverns Ltd today, Feb. 8, 2007.

The Commissioner of Inland Revenue filed the petition on Nov. 6,
2006.

The CIR's solicitor can be reached at:

         David Weaver
         Technical and Legal Support Group
         Auckland North Service Centre
         Inland Revenue Department
         5-7 Byron Avenue (PO Box 33150)
         Takapuna, Auckland
         New Zealand
         Telephone:(09) 984 1595
         Facsimile:(09) 984 3116


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

BANK OF COMMUNICATIONS: Files Condition Statement as of Dec. '06
----------------------------------------------------------------
The Philippine Bank of Communications filed with the Philippine
Stock Exchange its statement of condition for its head office
and branches as of Dec. 29, 2006.

The bank's Dec. 29 SOC showed assets totaling PHP58.981 billion,
which includes trading account securities of PHP13.727 billion
and other assets of PHP15.570 billion.

The bank's liabilities as of Dec. 29, 2006, aggregated
PHP49.781 billion, with the bulk on time deposits totaling
PHP29.560 billion.  Its capital accounts total PHP9.2 billion.

A full-text copy of the bank's SOC as of Dec. 29, 2006, is
available for free at:

          http://bankrupt.com/misc/pbcom_soc12292006.pdf

Headquartered in Makati City, Philippines, Philippine Bank of
Communications -- http://www.pbcom.com.ph/-- provides different
products and services through its different divisions and it has
a broad range of credit facilities, which are either denominated
in local currency or foreign.  Its Trust Division handles common
trust funds, investment advisory accounts and employee benefit
trusts.  Aside from these, the bank also offers money market
placements and traditional products such as peso deposits.

Fitch Ratings gave Philippine Bank of Communications an
Individual Rating of 'D/E.'


CHIQUITA BRANDS: Unit to Fund US$2 Million for E.Coli Research
--------------------------------------------------------------
Chiquita Brands' subsidiary, Fresh Express, will provide up to
US$2 million to fund rigorous and multidisciplinary research to
help the fresh-cut produce industry prevent contamination by the
deadly Escherichia coli 0157:H7 pathogen, which has caused
numerous outbreaks over the past decade, including the recent
occurrence related to fresh spinach.  Although no Fresh Express
product has ever been shown to have caused an outbreak of food-
borne illness, the company is funding -- and, in a unique move,
will share this research publicly -- in recognition of the
benefits it may achieve for both the industry and consumers
alike.

An independent scientific advisory panel comprised of six
nationally recognized food safety experts from both federal and
state food safety-related agencies and academia has been meeting
on a nonpaid, voluntary basis since May 2006 to develop the most
productive research priorities related to the source, mode of
action and life cycle of E. coli 0157:H7 and the pathogenic
contamination of lettuce and leafy greens.  The panel is chaired
by Dr. Michael T. Osterholm, Ph.D., M.P.H. and director of the
Center for Infectious Disease Research and Policy, University of
Minnesota.  In addition, the panel consists of:

   -- Dr. Jeff Farrar, California Department of Health Services;

   -- Dr. Bob Buchanan, U.S. Food and Drug Administration;

   -- Dr. Robert Tauxe, U.S. Centers for Disease Control and
      Prevention;

   -- Dr. Bob Gravani, Cornell University; and

   -- Dr. Craig Hedberg, University of Minnesota.

"At Fresh Express, food safety has been and will always be our
No. 1 priority in every phase of our operations," said Tanios
Viviani, president of Fresh Express.  "We have long been
dedicated to food-safety innovation, and this research effort is
part of that ongoing commitment. We are grateful to these
leading experts for their generous contribution of time and
expertise to guide this initiative."

Mr. Viviani continued, "We are hopeful that this research will
yield new knowledge, practices and technologies that the entire
fresh-cut produce industry can use to provide consumers with
ready-to-eat produce that is consistently safe and healthy."

According to Dr. Osterholm, the group evaluated the existing
body of knowledge relating to E. coli 0157:H7 contamination in
fresh produce and collaborated on the most critical research
gaps in fresh produce contamination ranging from growing and
harvesting to cooling, transporting, processing and packaging.

"We systematically used our individual areas of expertise to
scrutinize the entire supply chain and ultimately uncover the
areas where we collectively agreed more research was necessary,"
said Dr. Osterholm. "From this process, the five critical
research priorities began to emerge fairly consistently."  The
identified research priorities -- and those against which
research proposals are being sought -- include:

   * Determine the potential for Escherichia coli O157:H7 to be
     internalized into lettuce or spinach.

   * Identify new mitigation strategies and technologies to
     reduce the potential for E. coli O157:H7 to contaminate
     leafy green produce.

   * Conduct field studies to identify sources, vehicles and
     factors that affect the degree of contamination or extent
     of contamination of leafy green produce by E. coli O157:H7.

   * Determine the ability of E. coli O157:H7 to multiply in
     the presence of normal background flora following the
     harvest of produce such as lettuce or spinach.

   * Determine the ability of E. coli O157:H7 to survive
     composting processes.

                       About Fresh Express

Fresh Express, a subsidiary of Chiquita Brands International,
Inc., is a leader in fresh foods and is dedicated to providing
consumers with healthy, convenient ready-to-eat spinach, salads,
vegetables and fruits.  With the invention of its special Keep
Crisp Bag beginning in the early 1980s, Fresh Express pioneered
the retail packaged salad category and was the first to make
them available to grocery stores nationwide.  More than 20
million consumers enjoy Fresh Express salads, spinach and greens
every week.

                         About Chiquita

Cincinnati, Ohio- based Chiquita Brands International, Inc.
(NYSE: CQB) -- http://www.chiquita.com/-- operates as an
international marketer and distributor of bananas and other
fresh produce sold under the Chiquita and other brand names in
over 60 countries including the Philippines and Australia.  It
also distributes and markets fresh-cut fruit and other branded,
value-added fruit products.

                          *     *     *

On Nov. 8, 2006, the Troubled Company reporter reported that
Moody's Investors Service downgraded the ratings for Chiquita
Brands L.L.C. (senior secured to B1 from Ba3), as well as for
its parent Chiquita Brands International, Inc. (corporate family
rating to B3 from B2).  The outlook on all ratings is stable.

On Nov. 5, 2006, Standard & Poor's Ratings Services lowered its
ratings on Chiquita Brands, including its corporate credit
rating, from 'B+' to  'B'.  The ratings remain on CreditWatch
with negative implications where they were placed on Sept. 26,
2006, following the company's announcement that third-quarter
operating performance was expected to be significantly affected
by continued weak banana prices in European and trading markets,
excess fruit supply, and lower sales/higher costs in its Fresh
Express business because of recent industry health concerns
related to E.-coli-tainted spinach.


SAN MIGUEL CORP: Says Australian Unit Yields Solid 2006 Results
---------------------------------------------------------------
San Miguel Corporation's Australian subsidiary, National Foods
Limited, sustained strong performance in 2006, yielding solid
financial results, the company said in a media release.

Integrated into San Miguel around a year ago, NFL now operates
under an integrated platform of dairy, milk, juice and specialty
cheese businesses.

Citing unaudited figures, San Miguel said NFL's consolidated
revenues grew 8% from 2005 to reach AU$1.84 billion in 2006.  In
the last quarter last year, revenue rose 14% year-on-year, the
company points out.

NFL consolidated Berri Ltd.'s juice business and Lactos'
specialty cheese operations into its manufacturing and
distribution system in 2006.  The Australian unit also
integrated King's Creameries operations.

In its juice segment, NFL reported healthy volume and revenue
performances with timely execution of sales and marketing
strategies that enabled the business to respond and compete
effectively against new entrants, the release says.

According to San Miguel, operational efficiencies derived from
the rationalized functions of Berri, NFL and Lactos allowed the
unit's operating income to soar 10% to AU$170 million.

The solid performance of the unit reflects the effective
cooperation and support within the bigger organization's winning
brands, effective management and sound operations, San Miguel
President & Chief Operating Officer Ramon S. Ang says.  "San
Miguel and NFL will continue to anchor on these attributes to
further reinforce its position across Asia Pacific in the medium
to long-term."

Headquartered in Manila, Philippines, San Miguel Corporation --
http://www.sanmiguel.com.ph/-- through its subsidiaries,
operates food, beverage and packaging businesses.  The Company's
products include beer, wine and spirits, soft drinks, mineral
water, chicken and pork products.  San Miguel markets its
products both in the domestic and overseas markets.  The Company
also manufactures glass, metal, plastic, paper and composites
packaging products.

A Troubled Company Reporter - Asia Pacific report on Oct. 12,
2006, stated that Moody's Investors Service affirmed its Ba1
corporate family rating on San Miguel Corp.

Standard & Poor's Ratings Services gave San Miguel Corp. a 'BB'
foreign currency corporate credit rating and a 'B' rating to its
proposed five-year benchmark non-callable, non-cumulative, non-
voting, perpetual preferred shares to be issued by San Miguel
Capital Funding.


SBARRO INC: Moody's Junks Proposed US$150-Mln Sr. Unsec. Notes
--------------------------------------------------------------
Moody's Investors Service assigned a B3 corporate family rating
to Sbarro, Inc. while at the same time assigned Ba3 senior
secured ratings to the company's proposed bank facility
consisting of a US$25-million 1st lien revolver and a US$150-
million 1st lien term loan.

Additionally, a Caa1 rating on the proposed US$150-million
senior unsecured notes and a SGL-3 speculative grade liquidity
rating were assigned.  Moody's noted that the rating assignments
are subject to a review of the final documentation.  The
proceeds from the bank and bond financings will be used to pay
off Sbarro's existing US$255-million senior unsecured notes as
well to help fund the purchase of the company by private equity
firm, MidOcean Partners, LLC.  Moody's expects to withdraw the
senior unsecured legacy rating once the proposed financings are
closed.  The rating outlook is stable.

Moody's previous rating action on Sbarro was in November 2006
when the outlook was changed to developing from positive
following the company's announcement that it had entered into an
agreement to be acquired by MidOcean for approximately
US$417 million.

The B3 corporate family rating acknowledges management's success
at revitalizing the Sbarro brand, the positive operating
momentum currently underway and the benefit of having a
committed, larger source of alternate liquidity now in place.
Moody's noted that the increased leverage stemming from the
change in sponsorship largely offsets the recent progress the
company had made in strengthening its credit quality and
profile.  Nonetheless, the expectation for gradually improving
credit metrics commensurate with the rating in the near-to-
intermediate term remains.  Factors that continue to constrict
the ratings include still weak credit metrics, intense
competition within the pizza segment of the restaurant industry
and the seasonality of revenues and cash flow driven largely by
shopping mall traffic patterns.

The rating outlook is stable with the anticipation that
improvement in credit metrics will continue but much slower than
the pace the company was on prior to the MidOcean buyout.  The
SGL-3 speculative grade liquidity rating reflects adequate
liquidity and the rating agency's expectation that Sbarro's
internally generated cash flow will be sufficient in funding
growth and maintenance capital expenditures, term loan
amortization obligations, working capital needs and other
internal investments over the next twelve months.

Ratings assigned with a stable outlook:

   -- B3 corporate family rating and B3 probability of default
      rating;

   -- US$25-million 1st lien revolver maturing in 2013: Ba3
      (LGD2, 18%);

   -- US$150-million 1st lien term loan maturing in 2014: Ba3
      (LGD2, 18%);

   -- US$150-million senior unsecured notes maturing in 2015:
      Caa1 (LGD5, 75%); and

   -- SGL-3 speculative grade liquidity rating.

Rating expected to be withdrawn after the recapitalization is
finalized:

   -- US$255 million senior unsecured notes maturing in 2009:
      Caa1 (LGD4, 53%)

Sbarro, Inc. -- http://www.sbarro.com/-- headquartered in
Melville, New York, is a leading quick service restaurant chain
that serves Italian specialty foods.  As of April 23, 2006, the
company owned and operated 482 and franchised 491 restaurants
worldwide under brand names such as "Sbarro,", "Umberto's," and
"Carmela's Pizzeria".  Total revenues for fiscal 2005 were
approximately US$348 million.  The company has restaurants in El
Salvador, Japan, New Zealand and the Philippines.

                          *     *     *

Moody's Investors Service held Sbarro Inc.'s Caa1 Corporate
Family Rating and Caa1 rating on the company's US$255 million
Guaranteed 11% Senior Unsecured Notes due on September 2009 in
connection of the rating agency's implementation of its new
Probability-of-Default and Loss-Given-Default rating
methodology.


SBARRO INC: S&P Puts Negative Outlook on Increased Leverage
-----------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on
Melville, NY-based Sbarro Inc. to negative from stable.  At the
same time, Standard & Poor's affirmed the company's 'B-'
corporate credit rating and other ratings.

"The outlook revision is based on Sbarro's increased leverage
due to the US$33 million add-on to the term loan, and
management's more aggressive financial policy," said Standard &
Poor's credit analyst Diane Shand.  MidOcean Partners will use
the proceeds from the add-on in connection to the acquisition of
the company.

The ratings on Sbarro reflect the risks associated with its
participation in the highly competitive restaurant industry, the
company's vulnerability to mall traffic and seasonality, its
highly leveraged capital structure, and its thin cash flow
protection measures.

Operating performance has improved over the past three years.
Same-store sales rose 4.8% in the first three quarters of 2006.
The operating margin expanded to 35.7% for the trailing 12
months ended September 2006, from 32.6% for the same time period
year ago.  "We expect this operating momentum to continue as the
company should continue to benefit from the reengineering of its
operations," added Ms. Shand.

Sbarro, Inc. -- http://www.sbarro.com/-- headquartered in
Melville, New York, is a leading quick service restaurant chain
that serves Italian specialty foods.  As of April 23, 2006, the
company owned and operated 482 and franchised 491 restaurants
worldwide under brand names such as "Sbarro,", "Umberto's," and
"Carmela's Pizzeria".  Total revenues for fiscal 2005 were
approximately US$348 million.  The company has restaurants in El
Salvador, Japan, New Zealand and the Philippines.


MAIDENFORM BRANDS: S&P Affirms Corporate Credit Rating at B+
------------------------------------------------------------
Standard & Poor's Ratings Services revised its rating outlook on
Bayonne, New Jersey-based intimate apparel designer and marketer
Maidenform Brands Inc. to positive from stable.

Ratings on the company, including the 'B+' corporate credit
rating, were affirmed.  Total debt outstanding at Sept. 30, 2006
was $120 million.

"The outlook revision reflects Maidenform's improving trends in
revenue, margins, and credit protection measures--in particular,
debt leverage, which improved to 2.2x at Sept 30, 2006, from a
high point of 3.4x at fiscal year-end December 2004," noted
Standard & Poor's credit analyst Susan Ding.

"Since we initially assigned our rating to the company in May
2004, Maidenform has successfully revitalized its well-
recognized brands, expanded its distribution channel into the
mass market, and improved operating efficiencies and
performance."

The rating reflects Maidenform's participation in a highly
competitive and very promotional retail environment, its
relatively small size in the intimate apparel sector, its narrow
product focus, and some customer concentration.  Maidenform's
limited business focus in the intimates segment of the apparel
industry and its more than 50% concentration in the department
store/chain store channel are also rating concerns.
Furthermore, Maidenform competes against much larger players in
the industry, including VF Corp., Warnaco Group Inc., and
Hanesbrands Inc.

The retail environment remains challenging, driven by price
pressures and competition from private labels.   The previously
mentioned factors are somewhat mitigated by the company's well-
known Maidenform brand, which was introduced in 1922 and which
still has very good brand recognition.

In addition, the rating incorporates the company's solid market
shares in its core market, intimate apparel, which is
characterized by relatively stable demand, low fashion risk, and
high replenishment rates.

In July 2005, Maidenform completed an IPO and used the net
proceeds to redeem its preferred stock.  At that time, the
company refinanced its higher interest bearing US$50 million
second-lien loan.  For the past 12 months ended Sept. 30, 2006,
revenues and EBITDA continued to improve, while credit-
protection measures remain above the medians for the rating
category.

EBITDA interest coverage was 4.3x for the period, while total
debt to EBITDA was 2.2x, versus 2.8x in the prior-year period.

Maidenform Brands, Inc. -- http://www.maidenform.com/-- is a
global intimate apparel company with a portfolio of established
and well-known brands, top-selling products and an iconic
heritage.  Maidenform designs, sources and markets an extensive
range of intimate apparel products, including bras, panties and
shapewear.  During the company's 83-year history, Maidenform has
built strong equity for its brands and established a solid
growth platform through a combination of innovative, first-to-
market designs and creative advertising campaigns focused on
increasing brand awareness with generations of women.
Maidenform sells its products under some of the most recognized
brands in the intimate apparel industry, including
Maidenform(R), Flexees(R), Lilyette(R), Self Expressions(R),
Sweet Nothings(R), Bodymates(TM), Rendezvous(R) and Subtract(R).
Maidenform products are currently distributed in 48 foreign
countries and territories, including the Philippines.


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

ADVANCED MICRO: Appoints Douglas Grose as Senior Vice President
---------------------------------------------------------------
Advanced Micro Devices names Douglas Grose as the company's new
senior vice president of technology development, manufacturing
and supply chain, Manufacturing.Net reports.  Mr. Grose will
replace Daryl Ostrander who will retire this year.

In his new position, Mr. Grose will be responsible for the
company's global manufacturing and process technology operations
as well as overall supply chain management.  Manufacturing
responsibilities include AMD-owned facilities as well as all
current foundry relationships, the report says.

Before joining AMD, Mr. Grose served as IBM's general manager of
technology development and manufacturing for the systems and
technology group.

                            About AMD

Headquartered in Sunnyvale, California, Advanced Micro Devices,
Inc., -- http://www.amd.com/-- designs and manufactures
microprocessors and other semiconductor products.

The company has a facility in Singapore.  It has sales offices
in Belgium, France, Germany, the United Kingdom, Mexico and
Brazil.

Standard & Poor's Ratings Services affirmed its 'B+' corporate
credit rating on Sunnyvale, California-based Advanced Micro
Devices Inc.

Standard & Poor's removed the rating from CreditWatch negative
where it had been placed on July 24, 2006, following the
announced acquisition of unrated ATI Technologies Inc.  The
ratings outlook is negative.

At the same time, the rating agency assigned its 'BB-' bank loan
rating, one notch above the corporate credit rating, and a '1'
recovery rating to the company's proposed US$2.5 billion senior
secured term loan, to be used as partial funding of the
acquisition.

Standard & Poor's also raised its rating on the company's
US$600 million (US$390 million outstanding) senior notes to 'B+'
from 'B', because the company plans to withdraw its shelf
registration which structurally subordinated the notes.
Concurrent with the closing of the new bank loan and pursuant to
a debt incurrence test in the indenture for the notes, the notes
will become pari passu to the bank loan and the note rating will
become 'BB-' with a '1' recovery rating.

The Troubled Company Reporter - Asia Pacific reported on Nov. 2,
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. technology semiconductor
and distributor sector, the rating agency affirmed its Ba3
corporate family rating on Advanced Micro Devices, Inc.

Additionally, Moody's revised or held its probability-of-default
ratings and assigned loss-given-default ratings on these loans
and bond debt obligations:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$600 Mil. senior
   unsecured notes         B1      Ba3     LGD4        59%

   Shelf - Sr.
   Unsecured Notes         B1      Ba3     LGD4        59%

   Shelf - Subor.          B2       B2     LGD6        97%

   Shelf - Preferred       B3       B2     LGD6        97%


ARINC INCORPORATED: Unit Renews Agreement with BWI
--------------------------------------------------
Arinc Managed Services, a unit of Arinc Incorporated, has
renewed its agreement with Baltimore/Washington International
Thurgood Marshall Airport.  With the renewed agreement, Arinc
will continue to supply and maintain the monitors that display
plane schedules in BWI.

AMS has been working with BWI for the past three years and has
the current extension for four years.  In addition to the
services previously provided, BWI has expanded AMS's scope of
work to include maintaining the Airport Operational Database and
GateFlow, both critical components in providing airport
personnel, airline staff, and other authorized users with the
appropriate data they need to do their jobs as efficiently as
possible.

The terms of the contract were not disclosed.

The company's unit will also maintain databases that track
airport personnel, airline staff and the number of planes that
leave the Linthicum airport, adds the Business Journal.

                           About ARINC

Annapolis, Maryland-based, ARINC Inc. -- http//www.arinc.com/ --
provides communications and IT services to the global aviation
industry and the U.S. military and other government agencies.

The company has locations in Germany, Spain, China, Japan,
Taiwan, Thailand and Singapore, among others.

As reported by the Troubled Company Reporter - Asia Pacific on
Oct. 5, 2006, Moody's Investors Service confirmed its Ba3
Corporate Family Rating for the company.  Additionally, Moody's
revised its probability-of-default ratings and assigned loss-
given-default ratings on these loans and bond debt obligations:

                           Projected

                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   Sr. Secured
   Revolving Credit
   Facility due 2009      Ba3      Ba3     LGD3       48%

   Sr. Secured Term
   Loan B due 2011        Ba3      Ba3     LGD3       48%


CMYKBOLIC MEDIA: Enters Wind-Up Proceedings
-------------------------------------------
The High Court of Singapore issued an order on Jan. 26, 2007, to
wind up the operations of Cmykbolic Media Pte Ltd.

National Photo-Engravers filed the wind-up petition.

The liquidator can be reached at:

         The Official Receiver
         45 Maxwell Road #05-11/ #06-11
         The URA Centre (East Wing)
         Singapore 069118


COMSERV PTE: Pays First and Final Dividend
------------------------------------------
Comserv Pte Ltd paid a first and final dividend to its creditors
on Jan. 30, 2007.

The company paid 13.37% to all received claims.

The liquidator can be reached at:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road #06-11
         Singapore 069118


FALMAC LIMITED: United Overseas Reduces Stake to 6.64%
------------------------------------------------------
Falmac Limited disclosed that United Overseas Bank Limited, a
substantial shareholder, reduced its stake in the company to
10,293,300 with 6.64% issued share capital.

Prior to the change, United Overseas held 12,093,300 deemed
shares with 7.80% issued share capital.

The reduction of deemed shares was due to an open market sale by
the bank.

                        About Falmac Ltd.

Headquartered in Singapore, Falmac Limited manufactures and
trades knitting machines and related precision parts and
components, as well as cotton yarn.

A report by the Troubled Company Reporter - Asia Pacific on
July 8, 2004, stated that the company has entered into these
definitive agreements in relation to the company's restructuring
on July 6, 2004:

   (1) Restructuring Deed with Ho Liong Fen, Falmac
       Investment Holdings Pte Ltd, and the creditor banks
       of the Company.

   (2) Shareholder's Loan Agreement with Sino Equity.

   (3) Strategic Subscription Agreement with Sino Equity.

Moreover, the TCR-AP reported on Aug. 16, 2006, that the company
registered a widening shareholders' deficit, from a shortfall of
SGD1.21 million as of December 31, 2005, to a deficit of
SGD1.88 million as of June 30, 2006.

The company's total assets as of June 30, 2006, stood at
SGD17.62 million, while the total liabilities figure was at
SGD19.50 million.  The company has SGD10.39 million of secured
loans repayable within in one year, but current assets stands at
SGD7.23 million.


GETRONICS NV: Transfers Application Business to MindTree
--------------------------------------------------------
Getronics N.V. turned over its software application business to
Indian outsourcer MindTree Consulting, the Channelregister
reports.

The partnership will enable the company to free their
applications specialists in the Netherlands so that they can
join the Consulting and Transformation Services business,
according to Getronics CEO Klaas Wagenaar, as cited by
Channelregister.

With the transaction, Getronics reportedly aims to increase
fivefold in applications services delivered from India by the
end of 2008.

MindTree's executive vice president of IT services, Anjan
Lahiri, also expects to increase the people working on the
Getronics account "approximately" five-fold also,
Channelregister says.  To fund the expansion, MindTree plans to
float US$70 million.

Getronics' subsidiary, Getronics PinkRoccade, together with
MindTree, have been providing application development and
maintenance services both to national and international clients
since 2003, BNR Nieuwsradio relates.

No financial details about the transaction were disclosed.

                         About Getronics

Headquartered in Amsterdam, Netherlands, Getronics N.V.
-- http://www.getronics.com/-- designs, integrates and manages
ICT infrastructures and business solutions for many of the
world's largest global and local companies and organizations,
helping them maximize the value of their information technology
investments.  Getronics has some 27,000 employees in over 30
countries and approximate revenues of EUR3 billion.   The
company has regional offices in Boston, Madrid and Singapore.
Its shares are traded on Euronext Amsterdam.

                          *     *     *

Getronics N.V.'s 'B' long-term corporate credit rating, along
with the 'CCC+' senior unsecured debt, 'B' bank loan, and '3'
recovery ratings on CreditWatch with negative implications,
where they had originally been placed on Jan. 19.

The '3' recovery rating indicates Standard & Poor's expectation
of meaningful (50%-80%) recovery of principal for secured
lenders in the event of a payment default.

Moody's Investors Service downgraded Getronics' corporate family
rating to B2 from B1 and placed the ratings on review for
possible downgrade following the company's announcement of half
year results showing a widening of net losses and fall in
margins below the company's expectations.  Concurrently the
rating on the EUR100 million senior unsecured convertible Dutch
bonds due 2008 has been downgraded to Caa1 from B3


GRANT PRIDECO: Profit Up 79% to US$140.1 Mil. in 4th Qtr. 2006
--------------------------------------------------------------
Grant Prideco, Inc. unveiled its results for its fourth quarter
ended Dec. 31, 2006.  Net income increased 79% to US$140.1
million (US$1.07 per diluted share) on a 33% increase in
revenues to $518.1 million.  These results compare to net income
of US$78.4 million (US$0.59 per diluted share) on revenues of
US$388.7 million in 2005 fourth quarter.

The results benefited from a reduction in the quarterly
effective tax rate to 24% (compared to the third quarter year-
to-date rate of 31%) as a result of recognition of additional
foreign tax credit carryforwards and a tax rate reduction in
China.  The lower effective tax rate resulted in a benefit of
US$13.6 million, or US$0.10 per share.  In addition, the company
recognized a US$3.9 million nonrecurring gain from the
settlement of a trade credit dispute, offset by extra costs
related to TreX(R) cutter patent litigation and facility
consolidation costs totaling US$3.1 million.

"We are pleased to announce another exceptional quarter for
Grant Prideco," commented Michael McShane, Chairman and CEO of
Grant Prideco.  "Our Drilling Products and Services segment
reported record revenues, increasing 24% sequentially as a
result of increased pricing and higher volumes, and benefited
from the addition of a new weld line at its U.S. manufacturing
facility.  Our ReedHycalog segment realized the positive effects
of the acquisition of Andergauge and our Tubular Technology and
Services segment showed a sequential increase in operating
income in spite of the weakened U.S. market for Premium Tubular
Products."

As of Dec. 31, 2006, the company's balance sheet showed total
assets of US$2.02 million total liabilities of US$661,303 and
stockholders' equity of US$1.36 million.

                           Acquisition

On October 13, 2006, the company acquired Anderson Group Limited
and related companies (Andergauge) for US$117.7 million, plus
the assumption of net debt of approximately US$39.9 million.
Andergauge is a provider of specialized downhole drilling tools,
including the well known AnderReamer and AG-itator, and provides
services related to these tools.  This business is included in
the ReedHycalog segment from the date of acquisition and
contributed revenues of approximately US$18 million during the
fourth quarter.

                 Operating Income Margins Increase

Consolidated revenues increased by US$129.4 million, or 33%,
compared to last year's fourth quarter, as worldwide drilling
activity increased by 7%.  Consolidated operating income margins
increased to 30.8% from 23.8% for the same prior-year period.
Selling, general and administrative costs increased by US$18.4
million due primarily to the addition of Andergauge (US$7.7
million impact) and US$2.5 million in TReX patent litigation
costs.  The company also settled a trade credit dispute
resulting in a gain of US$3.9 million during the quarter.

                           Other Items

Interest expense increased slightly reflecting borrowings in the
fourth quarter of 2006 related to the Andergauge acquisition in
October 2006.  Equity income from the company's investment in
Voest-Alpine Tubulars increased to US$34.3 million from US$24.4
million in 2005 fourth quarter due to increased volumes and
pricing of its seamless tubulars, primarily in international
markets.  Other income (expense) remained relatively flat year-
over-year.

The company's effective tax rate was 23.7% for the fourth
quarter of 2006 (29.1% year-to-date) compared to 27.2% in last
year's fourth quarter (31.1% for fiscal 2005).  The reduction in
the annual rate to 29.1% results primarily from additional
utilization of foreign tax credit carryforwards, research and
development credits, a reduction in the tax rate in China and
increased domestic manufacturing deductions.  For fiscal 2007,
the company expects its effective tax rate to be in the range of
30-31%.

                         Segment Results

Drilling Products and Services

   * Revenues for the Drilling Products and Services segment
     were a record US$266.4 million during the quarter,
     representing a 54% increase over 2005 fourth quarter and a
     24% sequential quarter increase.  Operating income
     increased by 103% to US$100.5 million and operating income
     margins increased to 38% from 29% in 2005 fourth quarter.
     These results primarily reflect increased volumes and
     improved pricing related to drill pipe sales.  Drill pipe
     footage sold increased by 43% and average sales price per
     foot increased by 18%.  Additionally, heavyweight drill
     pipe and drill collar sales had increased activity year-
     over-year.  Total backlog for this segment was
     US$1.1 billion at Dec. 31, 2006, and backlog relating to
     2007 deliveries increased by almost US$100 million
     sequentially.  Total backlog decreased sequentially due to
     high fourth quarter deliveries and an intentional delay in
     booking 2008 orders until better market visibility was
     obtained.  Bookings have returned to normal levels thus far
     during 2007.

ReedHycalog

   * Revenues for the ReedHycalog (formerly Drill Bits) segment
     increased by 26% to US$143.6 million.  A majority (60%) of
     the increase was related to the acquisition of Andergauge.
     Operating income increased by 38% to US$42.3 million and
     operating income margins increased to 29% from 27% in 2005
     fourth quarter.  Excluding Andergauge, these increases
     reflect increased U.S. and international rig counts, higher
     volumes and improved pricing of its new fixed cutter
     product lines in the U.S. market and improved rental fleet
     management, partially offset by increased incentive costs.
     Canadian drill bit revenues declined due to lower drilling
     activity caused by softening natural gas prices and weather
     related delays, however international drill bit revenues
     increased by 13% due to higher prices with the largest
     increases in Saudi Arabia, Russia and Kazakhstan.
     Sequentially, operating income margins declined due to
     geographic mix, lower margins in the Andergauge business
     and year-end incentive costs.

Tubular Technology and Services

   * Revenues for the Tubular Technology and Services segment
     increased by 6% to US$107.4 million during the fourth
     quarter of 2006.  Operating income increased by 10% to
     US$30.7 million and operating income margins increased to
     29% from 28% in 2005 fourth quarter.  These results reflect
     increased volumes at this segment's XL Systems and Tube-
     Alloy divisions due to increased international activity and
     the negative impact on 2005 fourth quarter results from
     hurricanes in the Gulf of Mexico.  Additionally, this
     segment's TCA heat-treating facility had improved pricing
     year-over-year, however volumes were lower due to
     reduced distributor purchases as they focused on reducing
     year-end inventory levels.

Corporate/Other

   * Corporate/Other operating loss for the fourth quarter of
     2006 decreased to US$14.1 million from US$15.7 million for
     the same period in 2005.  The operating loss includes a
     benefit of US$3.9 million related to a favorable trade
     credit settlement, partially offset by increased legal and
     incentive costs.  Additionally, operating losses related to
     the company's IntelliServ division decreased compared to
     2005 fourth quarter due to current year revenues and
     operating efficiencies as this division transitions from
     product development to commercial activity.

     In January 2007, IntelliServ successfully completed its
     first commercial project for Petronas in the Andaman Sea,
     offshore Myanmar, with 100% network uptime.  The customer
     has confirmed that the IntelliServr Network was the key
     enabling technology to allow the prospect to be drilled
     safely.  Only the IntelliServ Network enables transmission
     of pressure data gathered by downhole tools when the mud
     flow is suspended.  The company has recently begun its
     second commercial project, for BP in the U.S. Rockies.

     The IntelliServ Network has recently received two major
     awards, the World Oil New Horizons Idea Award and was the
     winner of the Emerging Innovation/Technology category at
     the Offshore Energy Achievement Awards.

                             Outlook

Chairman and CEO, Michael McShane commented, "Looking forward,
our Drilling Products and Services and ReedHycalog segments are
expected to have continued growth in 2007.  International
business and new products in our Tubular Technology and Services
are expected to remain strong through 2007, although we are
expecting a further softening of our domestic premium
connections and tubular processing businesses during the first
quarter.  We are currently forecasting relatively flat worldwide
drilling activity levels during 2007, with a softening Canadian
market offset by an increase in the international rig count.  We
are forecasting U.S. drilling activity to be similar to 2006,
with the possibility of a small decrease should commodity prices
weaken further.  In this environment, we would expect an
increase in 2007 EPS to US$3.90 to US$4.00 per diluted share,
with strong Drilling Products backlog levels providing good
earnings visibility throughout 2007."

Headquartered in Houston, Texas, Grant Prideco Inc. --
http://www.grantprideco.com/-- provides drill bits and related
equipment.  The company also makes engineered tubular products
for oil field exploration and development, including drill pipe
and drill stem products, large-diameter casings, tubing and
connections, and risers.  Grant Prideco offers sales, technical
support, repair, and field services to customers worldwide.

The company was spun off by drilling equipment maker Weatherford
International in 2000.  The company has global locations in
Singapore, China, Indonesia, Brazil, Columbia, Ecuador, Peru,
Venezuela, Austria, France, Italy and Scotland, among others.

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the oilfield service and refining and marketing
sectors this week, the rating agency confirmed its Ba1 Corporate
Family Rating for Grant Prideco Inc.  Additionally, Moody's
affirmed its Ba1 rating on the company's 6.125% Senior Unsecured
Guaranteed Global Notes Due 2015 and assigned the debentures an
LGD4 rating suggesting noteholders will experience a 55% in the
event of a default.

On Aug. 3, 2006, Standard & Poor's Ratings Services raised its
corporate credit rating and senior unsecured credit ratings on
Grant Prideco Inc. to 'BB+' from 'BB'.  The rating outlook is
stable.


ISOFT GROUP: Posts GBP647,000 Net Loss in Six-Half Ended Oct. 31
----------------------------------------------------------------
iSOFT Group plc released its interim financial results for the
six months ended Oct. 31, 2006.

ISOFT Group posted GBP647,000 in net losses against GBP85.9
million in net revenues for the six months ended Oct. 31, 2006,
compared with GBP8.5 million in net losses against GBP97.2
million in net revenues for the same period in 2005.

At Oct. 31, 2006, the Group's balance sheet showed
GBP254.9 million in total assets and GBP231.1 million in total
liabilities, resulting in a GBP23.8 million in stockholders'
equity.

The Group's Oct. 31 balance sheet also showed strained liquidity
with GBP88.5 million in current assets available to pay
GBP149.1 million in total liabilities coming due within the next
12 months.

                            Funding

The Group signed a new agreement with its banks at the end of
August 2006, which provides facilities of GBP141 million until
November 2007.  The cost of drawings against those facilities
will range from 200 to 450 basis points over LIBOR.  However,
the Group will be required to pay additional payment-in-kind
interest at the rate of 5% per annum on the total committed
facilities in quarter 1 of calendar year 2007, rising to
7.5% per annum in quarter 2 and 10% per annum from July 1, 2007
onwards.  As such, the cost of borrowing will become
increasingly expensive through 2007, providing the Group with a
significant incentive to secure long-term funding swiftly and
before the current facilities expire in November 2007.

Over the next 2-3 years a substantial amount of license
implementation work will take place.  For part of this work the
Group has already received payment up-front in prior years.
Letters of credit and other guarantees of GBP88 million that
were outstanding at May 1, 2006 will also unwind over the next
2-3 years as the contracts are delivered and the revenues are
recognized.  Third-party contract financing arrangements that
amounted to GBP55.7 million at Oct. 31, 2006 will also unwind
over the next three years in the same manner.

Cash management has been an important part of the Group's
Regeneration Plan and in the first half of FY07.  The Group has
been successful in managing its cash resources efficiently.
Net debt of GBP41.8 million at April 30, 2006 increased to
GBP73.8 million at Oct. 31, 2006, but that was better than it
had expected during discussions with its bankers in August.
Total utilization of the term and revolving credit facilities
with the banks amounted to GBP113.2 million at the end of the
period, leaving unused facilities of GBP27.8 million at that
date, with cash of GBP26.8 million also available.  Utilization
of the facilities included advance payments and other guarantees
of GBP69.2 million, issued mainly in the form of letters of
credit.

While the Group will have further funding requirements through
2007, LOC commitments will be reduced on a continuous basis as
product implementation and support takes place, thus freeing up
existing bank facilities.  In the event that the Group disposes
of any noncore assets, following mandatory pre-payment of the
proceeds against existing borrowing, additional bank facilities
of up to GBP25 million will become available.  Based on current
projections for trading and cash management and key assumptions,
the Group has adequate facilities for its immediate needs.

                   Accounting Irregularities

In June 2006, the Group disclosed a change in accounting policy,
as a consequence of which it became necessary to review revenue
recognition in prior years, in order to re-state some prior year
revenues.  Arising out of that review, a number of possible
accounting irregularities came to light in which it appears that
some revenues reported in 2003/04 and 2004/05 may have been
recognized earlier than they should have been.

On July 20, 2006, the Group engaged its auditors, Deloitte &
Touche LLP, to conduct a formal initial investigation into these
possible irregularities.  In August, it was confirmed that there
were indeed matters that needed further investigation and the
company handed over relevant documents to the Financial Services
Authority, which is now conducting further investigations.  The
Group is working closely and co-operatively with the FSA in
order to complete these investigations as quickly as possible.
At the current time it would be inappropriate to comment on the
likely outcome.

On Oct. 25, 2006, the Accountancy Investigation and Discipline
Board disclosed that it would conduct its own investigation.
The AIDB investigation is a review of the conduct of those
members of accountancy bodies that are regulated by the AIDB who
were executive or non-executive directors of iSOFT during the
relevant periods, and RSM Robson Rhodes LLP, iSOFT's auditor for
the financial years ended April 30 2003, 2004 and 2005.

All current executive directors of iSOFT who are members of
those accountancy bodies were appointed after the dates under
investigation, as was the non-executive director who is
currently chairman of the audit committee.  The initial
investigation into possible accounting irregularities --
conducted by the Group's current auditors, Deloitte & Touche
LLP, in July and August 2006 -- did not uncover evidence that
any of the current non-executive directors had any knowledge of
the irregularities.

On the basis of information that has come to light so far, the
Group does not believe that these matters will have any impact
on the current or future financial position of iSOFT.

                    New Agreement With CSC

There have been important developments in the first half
relating to our involvement with the English National Programme
for IT.

In August 2006, the Group entered into a new contract with CSC,
with whom we have been working successfully in the North West
region since 2004.  Under that contract, iSOFT will in future be
paid by CSC based on delivery against a number of key
milestones between now and 2008.  The majority of those
milestones involve key product deliverables, which comprise
interim stages leading to the delivery of full LORENZO 3.5
functionality in the first quarter of 2008.  As the quid pro quo
for greater control and certainty over payment, iSOFT has agreed
that in the event that it fails to deliver on time against the
key milestones, CSC will have the right to step in and manage
iSOFT's development operation, but without taking over any
intellectual property rights.

This agreement was entered into in anticipation of a major
redistribution of responsibilities within the NPfIT.  In
September it was disclosed that Accenture would transfer to CSC
its obligations to provide services to the North East and East
and East Midlands regions with effect from Jan. 8.  Also in
September 2006 iSOFT and CSC entered into a further agreement
under which iSOFT will retain exclusivity for providing core
software solutions in the North East and exclusivity for interim
solutions in the EEM region.  iSOFT will retain preferred
supplier status for future solutions in the EEM region, subject
to a benchmarking review.

There are two important positive outcomes from this development.
First, the new deal will underpin the company's expectation of
achieving revenues of at least GBP300 million over the lifetime
of the NPfIT contracts.  Second, iSOFT and Accenture agreed
that no further payments will be made between the two parties
and that any potential litigation relating to the period between
April 2, 2004 and Sept. 28, 2006 will be annulled.

                      Going Concern Doubt

The Board has prepared projected cash flow information for the
period ending 12 months from the date of approval of the interim
financial results.

The projections include certain key assumptions made by the
directors:

   (a) future sales and margins consistent with
       prior experience, which also take into account
       the anticipated effect of the current
       circumstances facing the business;

   (b) significant restructuring of its U.K. and
       international operations to generate cost savings
       from the reduction of resources, the simplification
       and re-engineering of the Group's core processes
       and systems and the streamlining and simplification
       of the Group's product offerings;

   (c) disposal of the Group's non-core activities;

   (d) renegotiation of certain key contractual arrangements;

   (e) the satisfaction of the conditions contained in
       the banking agreement to enable the continuation of
       the bank's facilities; and

   (f) the refinancing of the Group's banking facilities on
       or before their expiry on 14 November 2007.

The nature of the Group's business is such that there can be
considerable unpredictable variation and uncertainty regarding
the timing and/or occurrence of the matters referred to above,
the timing and margin on sales, the quantum and timing of cash
flows from new business activity and the achievement of
contractual milestones.

In preparing these projections, the directors recognize that
there are material uncertainties that may cast significant doubt
on the Group's ability to continue as a going concern.  Having
taken into account the uncertainties inherent in the
assumptions, the directors consider that the cash flow
projections are compiled on a reasonable basis and that it is
appropriate that the financial information should be prepared on
the going concern basis.

Future events may give rise to circumstances not foreseen by the
stated assumptions such that the use of the going concern basis
proves to be inappropriate.  Should the going concern basis be
inappropriate, the company may be unable to realize its assets
and discharge its liabilities in the normal course of business.

A full-text copy of the company's financial report for the six
months ended Oct. 31, 2006 is available for free at:
http://ResearchArchives.com/t/s?1985

                           About iSOFT

Headquartered in Manchester, United Kingdom, iSOFT Group plc
-- http://www.isoftplc.com/-- supplies advanced medical
software applications for the healthcare sector.  Its products
are used by more than 8,000 organizations in 27 countries for
managing patient information and driving improvements in
healthcare services.  In international markets, the group has a
strong presence in the Asia-Pacific, including Singapore and
India.


ISOFT GROUP: Appoints Bill Henry as New Board Member
----------------------------------------------------
Bill Henry has been appointed as a member of the iSOFT Group
plc's Board with immediate effect.

He joined the Group as chief operating officer on June 28, 2006,
after serving as chief executive of Star Technology Services and
previously as a member of the executive team that turned
Peoplesoft's U.S. services business around and helped to
reorganize and refocus the company's U.S. activities.

"Bill's experience and input have been instrumental in helping
us to make a strong start in turning around the financial
performance and prospects of iSOFT, and the Board is pleased to
recognize his contribution by appointing him as a member of the
Board," John Weston, chairman and acting CEO, said.

                          About iSOFT

Headquartered in Manchester, United Kingdom, iSOFT Group plc
-- http://www.isoftplc.com/-- supplies advanced medical
software applications for the healthcare sector.  Its products
are used by more than 8,000 organizations in 27 countries for
managing patient information and driving improvements in
healthcare services.  In international markets, the group has a
strong presence in the Asia-Pacific, including Singapore and
India.


UNITED TEST: Profit Jumps by 13.7% to US$22.8 MM in 4th Qtr.'06
---------------------------------------------------------------
United Test and Assembly Center Ltd released its financial
results for the fourth quarter and financial year ended Dec. 31,
2006.

Group President and CEO of UTAC, Lee Joon Chung, said, "We are
thrilled to have registered record revenue and earnings for the
year.  Despite the difficult market conditions we encountered in
the middle of the year, we recovered well and had a very good
year in fiscal year 2006 with most of the key financial metrics
such as revenue, profit, gross margin and net margin all up
compared to fiscal year 2005.  We recorded our 14th consecutive
quarter of revenue growth and saw gross margin for 4Q06
recovering to 25.7% from 22.6% in 3Q06, demonstrating sequential
improvement to UTAC's profitability in second half of 2006."

Highlights of UTAC's results for the fourth quarter and
financial year ended Dec. 31, 2006, include:

   * Net profit grew by 13.7% from US$20.1 million in fourth
     quarter of 2005, to US$22.8 million in fourth quarter ended
     Dec. 31, 2006;

   * Revenue for the fourth quarter ended Dec. 31, 2006,
     increased by 83.2% to US$184.2 million compared to US$100.5
     million in the fourth quarter of 2005;

   * Revenue for fiscal year 2006 increased by 75.1% to US$569.9
     million from US$325.5 million in fiscal year of 2005,
     propelled by organic growth in both memory and mixed-signal
     test and assembly services, and a seven-month contribution
     from UTAC Thai Limited -- formerly known as NS Electronics
     Bangkok (1993) Ltd.

   * Test services accounted for 46% and 52% of revenues for
     fourth quarter of 2006 and fiscal year 2006 respectively.
     The remaining 54% and 48% were from assembly services;

   * Contribution from the memory segment grew significantly by
     23.4% over third quarter of 2006.  Memory accounted for 41%
     of fourth quarter of 2006, with the remaining 39% and 20%
     from the mixed-signal and analog sectors respectively;

   * Increased test utilization helped drive 2006 fourth quarter
     gross margin to 25.7% from 22.6% for third quarter of 2006.
     Gross margin for 2006 fiscal year was 25.3% compared to
     24.3% for fiscal year of 2005;

   * 2006 fourth quarter net margin (before minority interest)
     increased to 12.6% from 10.8% for third quarter of 2006.
     2006 fiscal year net margin was 13.5% compared to 12.8% for
     fiscal year of 2005;

   * EBITDA margin was 41.5% in fourth quarter of 2006 due to an
     increase in test utilization, resulting in record EBITDA of
     US$76.4 million generated for fourth quarter of 2006.  For
     fiscal year 2006, the Group generated EBITDA of US$242.7
     million;

   * Total capital expenditure for equipment committed for
     fiscal year of 2006 was US$350.0 million principally for
     new capabilities and production equipment;

   * Depreciation during the fourth quarter was US$39.1 million,
     compared to US$37.0 million for third quarter of 2006.
     This was due to the purchase of new machinery and equipment
     to cater for increased orders from our customers;

   * Selling, general and administrative expenses for fourth
     quarter of 2006 were flat against third quarter of 2006 at
     US$9.3 million.  Finance costs for fourth quarter of 2006
     increased by 7.9% from third quarter of 2006, to US$6.6
     million;

   * Tax expenses during the fourth quarter were US$6.3 million
     compared to US$2.9 million for third quarter of 2006;

   * The Group's balance sheet remains strong, with a leverage
     ratio of 46.9%.  Cash and cash equivalents (cash plus
     liquid financial assets) were US$94.0 million against total
     borrowings of US$392.0 million as at Dec. 31, 2006;

   * Net assets stood at US$636.0 million as at Dec. 31, 2006;
     and

   * As at Dec. 31, 2006, the total number of wirebonders,
     memory testers and MSLP testers were 1273, 396 and 395,
     respectively.

The company during 2006 fiscal year has:

   -- announced its 3rd manufacturing facility in Thailand,
      which production will start in second half of 2007;

   -- raised US$190 million from the issue of convertible bonds;

   -- acquired NSEB for up to US$175 million in cash; completed
      in June and renamed UTAC Thai Limited;

   -- opened 2nd facility in Singapore with production commenced
      in second quarter of 2006;

   -- awarded "Supplier of the Year" for 2005 by Medtronic
      Microelectronics Center; and

   -- attained TS 16949 certification for chips designed for
      automotive applications.

                        Review & Outlook

"We managed to exceed both our full year revenue growth target
of 70% and our fourth quarter sequential revenue growth guidance
of 0% to 5%.  The fourth quarter came in much stronger than we
had originally anticipated with several factors contributing to
this - the buoyant memory market, strong demand for UTL's
products and improving inventory situation in selected mixed-
signal sectors," said Mr Lee.

"The memory business grew strongly with both our DRAM and flash
memory segments doing better than expected.  DRAM grew 22.7% QoQ
while flash memory was up 35.2%, the latter due to seasonally
strong demand for consumer devices that use flash memory."
"In our 2006 third quarter results announcement, we were
conservative on our projections for the mixed-signal sector.
Fortunately, the situation improved as inventory was digested
during the holiday quarter."

"During the year, we announced and completed the US$175 million
acquisition of NSEB, welcoming the new UTAC Thai subsidiary into
the Group.  UTL has been an excellent contributor to the Group
and is expected to continue being so as we realized more
synergies in 2007."

"We are now entering the first half of the year where demand is
seasonally softer.  While the industry has seen an overall
inventory reduction, not all the application areas are out of
the woods yet. We expect the mixed-signal sector to outperform
historical seasonal trends and DRAM demand to remain healthy
with the pending launch of Windows Vista to consumers.  Seasonal
demand for analog is typically softer but continuing traction
for UTL's QFN packaging solutions should mitigate this
weakness."

"Generally, the semiconductor sector, and in particular the
outsourced segment, should see another year of healthy growth
for 2007.  As in the past, we expect our annual revenue growth
to outpace the general industry growth rate.  Having said that,
UTAC expects its 1Q07 revenue to better seasonal trends and come
in slightly below or comparable to that achieved in fourth
quarter of 2006."

"To meet the higher overall demand expected in 2007, UTAC
expects to incur capex of about US$260 million to expand
production floor space, capacities and capabilities which will
be funded from internal resources," concluded Mr Lee.

A copy of UTAC's financial results for the quarter ended
Dec. 31, 2006, is available for free at:

             http://bankrupt.com/misc/UTACFY06.pdf

                           About UTAC

United Test and Assembly Center Ltd, based in Singapore and
listed on the Singapore Stock Exchange since 2004, is an
independent provider of test and assembly services for
semiconductor devices, including memory, mixed-signal and logic
integrated circuits.

The company has manufacturing facilities in Singapore, China
(Shanghai), Taiwan and Thailand, and a global sales network in
Singapore, Thailand, Taiwan, the US, Italy, Korea and Japan.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Feb. 7, 2006, that Moody's Investors Service has affirmed the
company's Ba3 senior unsecured rating for US$190 million
convertible bonds.  At the same time, Moody's has affirmed its
Ba3 corporate family rating for UTAC, removing both ratings from
their provisional status.  The ratings outlook is stable.

The TCR-AP also noted on Nov 06, 2006, Moody's Investors Service
assigned a provisional (P)Ba3 corporate family rating and a
provisional (P)Ba3 senior unsecured rating to UTAC's proposed
US$200M convertible bonds due 2013.  The ratings outlook is
stable.

Moreover, the TCR-AP also reported on Nov. 2, 2006, that
Standard & Poor's Ratings Services assigned its 'BB-' corporate
credit rating to UTAC.  The outlook is stable.  At the same
time, Standard & Poor's assigned its 'BB-' rating to UTAC's
proposed US$200 million convertible bonds due 2013.


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

DATAMAT PCL: SEC Okays Exemption from 3rd Quarter 2006 Results
--------------------------------------------------------------
Thailand's Securities and Exchange Commission approved Datamat
Pcl's request to exempt its financial results for the quarter
ended Sept. 30, 2006, from being filed within the imposed
deadline.

According to Datamat's disclosure statement with the Stock
Exchange of Thailand, the company was still under rehabilitation
process during the preparation of the third quarter results,
which rehab was cancelled by the Central Bankruptcy Court on
Oct. 18, 2006.

Accordingly, the company's previous planner failed to
sufficiently transfer relevant documents to the current
management, and thus caused the delay.

Meanwhile, Datamat has submitted a petition to the Central
Bankruptcy Court to start a new rehabilitation process.  This
petition is now under the Court's review, the company said.

                          *     *     *

Headquartered in Bangkok, Thailand, Datamat Public Co. Limited
-- http://www.datamat.co.th/-- distributes computers, provides
computer technology services, and maintains computer and
software system.  It also provides software services using
programming and Java technologies, including a distributor of
software system and computer equipment of image processing.

The Company is currently categorized under the "Non-Performing
Group" sector of the Stock Exchange of Thailand.

Datamat was ordered by the Central Bankruptcy Court, on Aug. 11,
2005, to rehabilitate its business.  Advance Planner Co., Ltd,
was then appointed as Datamat's plan administrator on Oct. 12,
2005.

Datamat, in an October 18, 2006 filing with the Stock Exchange
of Thailand, disclosed that the Bankruptcy Court has ordered the
cancellation of the company's rehabilitation plan due to
disagreements among the parties involved.


TOTAL ACCESS: Opens New Unit; Taps Thai Microsoft's Head to Lead
----------------------------------------------------------------
Total Access Communication Pcl has launched its new business
solutions division set to provide wireless communications
services in preparation for the next-generation mobile-phone
services, The Bangkok Post reports.

Sigve Brekke, the company's chief executive, told The Post that
the move was aimed at increasing the company's corporate revenue
by 40% this year by tapping the "under-served" market of
companies seeking to communicate without wires.

Andrew McBean will head the 100 employees of the newly formed
division.

According to The Nation, Total Access has recruited Mr. McBean,
the current managing director of Microsoft Thailand, as senior
vice president of the company.  Mr. McBean's appointment will be
effective on April 1, 2007, as his term at Microsoft Thailand
ends on February 23.

Meanwhile, the report relates that Total Access plans to apply
for new licenses for WiMax and WiFi once the National
Telecommunications Commission grants them.

According to Mr. Brekke, Thailand's mobile-phone market had more
room to grow with an expected 9-10 million new subscribers this
year and another 10 million in 2008.

Mr. McBean also related that the local business-solution market
had huge business opportunities and growth potential with around
5,000 corporate customers in Thailand plus 80,000 small and
medium-sized companies.

"I want to double the business solution revenue year by year at
the same growth level that I could achieve when I worked at
Microsoft," Mr. McBean told the paper.

                          *     *     *

Total Access Communications, DTAC -- http://www.dtac.co.th/--  
is the second-largest cellular operator in Thailand with an
approximately 30% market share and strong brand recognition.
With Telenor's recent purchase of a 39.9% interest in United
Communication Industry Plc and its subsequent tender offers for
UCOM and DTAC shares, Telenor lifted its aggregate economic
interest in DTAC to 70.2% from 40.3%.  DTAC is Telenor's largest
acquisition in Asia and it ranks second in terms of EBITDA
contribution outside Norway.

Standard and Poor's gave the Company a BB+ Long-term local and
foreign issuer credit ratings.

DTAC's local and foreign issuer credit were both given a Ba1
rating by Moody's Investor Service.

On Jan. 12, 2007, Fitch Ratings affirmed the ratings of Total
Access Communication following the proposed amendments to the
Thailand's Foreign Business Act.

    -- Long-term foreign currency Issuer Default rating at BB+;

    -- National Long-term rating at A(tha);

    -- National Short-term rating at F2(tha); and

    -- National senior unsecured rating at A(tha).

The Outlook on DTAC's ratings is Stable.



                            *********

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.


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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,
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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.

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