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, October 18, 2007, Vol. 10, No. 207 Headlines A U S T R A L I A CHRYSLER LLC: Will Fund Employees' Health Trust With US$8.8 Bil. CHRYSLER LCC: Visteon Corp. Brings Surround Sound Technology COMDISCO AUSTRALIA: Taps Hutchison and Gibbons as Liquidators CYMBIS FINANCE: Fitch Assigns 'B' Foreign Currency Ratings KENT TOWN: Members Resolve to Liquidate Business L D NATHAN: Commences Liquidation Proceedings NATIONAL BREWERIES: Placed Under Voluntary Liquidation NATIONAL BREWING: Commences Liquidation Proceedings STARTECH ENVIRONMENTAL: Reports US$25-Mln Plasma Converter Sales TASTON PTY: Members Resolve to Liquidate Business THE HOSPITALITY MANAGEMENT: Undergoes Voluntary Wind-Up TOOHEYS (CIVIC): Members Resolve to Wind Up Operations * ASIC Disqualifies Six Directors for Role in Failed Companies C H I N A & H O N G K O N G ALCATEL-LUCENT: To Deploy Wimax Network in Taiwan BURALL IMAGENET: Requires Creditors to File Claims by Oct. 31 CORGI INTERNATIONAL: Eisner LLP Raises Going Concern Doubt GOLD EXPERT: Subject to Chan Pui's Wind-Up Petition GOLD LUCKY: Members' General Meeting Set for November 9 GRAND TOYS INTERNATIONAL: Auditor Raises Going Concern Doubt GWA INTERNATIONAL: Placed Under Voluntary Liquidation JIH SUN: Fitch Affirms Group Companies' Low-B Ratings M.D. CREATION: Contributories & Creditors to Meet on Oct. 22 MAINLINE GLOBAL: Members to Hold General Meeting on Nov. 6 PALMERSTON CONFECTIONERY: Members & Creditors to Meet on Nov. 3 SHE & HE: Creditors' Meeting Set for October 12 SHUN TAI: Court to Hear Wind-Up Petition on November 7 SUZHOU BOAI MEDICAL: Schumacher Raises Going Concern Doubt TOWN'S INDUSTRIAL: Court Enters Wind-Up Order I N D I A AFFILIATED COMPUTER: Earns US$37.6MM in 4th Qtr. Ended June 30 BAUSCH & LOMB: Inks Agreement Selling US$650 Million of Notes EASTMAN KODAK: Paying 25 Cents Per Share Dividend on Dec. 14 FERTILISERS & CHEMICALS: To Consider Q2 Results on Oct. 24 GARWARE POLYESTER: Members to Consider Capital Increase GENERAL MOTORS: S&P's Rating Outlook Remains on Watch Positive TATA MOTORS: To Consider July-Sept. 2006 Results on Oct. 31 TATA STEEL: To Proceed with Chhattisgarh Project Despite Delays UTSTARCOM INC: To Supply Optical Transport Solution to India I N D O N E S I A AVNET INC: Gets QMI's ISO 14001:2004 Certification BERLIAN LAJU: To Buy Chembulk Tankers LLC for US$850 Million BEARINGPOINT INC: Taps Rick Martino as Executive VP of Global HR NORTEL NETWORKS: Agrees to Pay US$35MM Penalty in SEC Settlement J A P A N ASAHI MUTUAL: JCR Affirms BB+ Sr. Debt Rating w/ Stable Outlook DAIEI INC: First Half Operating Profit Down 79.7% YoY DELPHI CORP: To Sell Interiors & Closures Business for US$106MM HITACHI ZOSEN: Spends JPY10 Billion to Double Production KOBE STEEL: Revises Forecast for Year Ending March 2008 XEROX CORP: Bags US$82-Million Contract with EUROPART K O R E A CHOROKBAEM MEDIA: Ties Up With Chungang University COREBRID INC: Enters Business Partnership With CTMC REMY WORLDWIDE: Court Sets Plan Confirmation Hearing for Nov. 20 REMY WORLDWIDE: Wants Court to Approve CVC Settlement Agreement N E W Z E A L A N D BARCLAY DESIGNS: Names Vance and Jordan as Liquidators CATALYTIC NETWORK: Court to Hear Wind-Up Petition on Feb. 21 CER GROUP: Reports 60% Growth in Third-Quarter Sales FIRST DATA: Fitch Rates US$2 Bil. Senior Unsecured Notes at B- FIRST DATA: Expands Commercial Payment Markets on Deecal Buy FLETCHER BUILDING: Likely to Win NZ$400-Mil. Transport Contracts HORTSPEC WAIKATO: Creditors' Proofs of Debt Due on Oct. 26 HULA HAKA: Accepting Creditors' Proofs of Debt Until Oct. 26 J B C: Taps Parsons and Kenealy as Liquidators MBAR AUCKLAND: Fixes October 31 as Last Day to File Claims ROSSMAN PROPERTIES: Fixes Oct. 26 as Last Day to File Claims SPRAGGS SUPPLY: Accepting Proofs of Debt Until Oct. 31 VINCENT PROPERTY: Accepting Proofs of Debt Until Oct. 26 WALKER SOMERVILLE: Subject to CIR's Wind-Up Petition WOOL EQUITIES: Unit Granted First Patent in Orthopaedic Field P H I L I P P I N E S BANGKO SENTRAL: Governor Confident of Recapitalization Next Year DEV'T BANK: Expects to Earn PHP4 Billion in Net Income for 2007 DEV'T BANK: Expands Hedging Facility for Exports to Include OFWs IPVG CORP: Board OKs Additional Investment in 3 Subsidiaries PHIL. LONG DISTANCE: Partners w/ Intel in Offering IT Service * Peso Backs Off, Closes at PHP44.34 on Tuesday on Weak Stocks S I N G A P O R E K.P. CHEMICALS: Members to Hold Final Meeting on Nov. 15 REFCO INC: Trusts Seek Return of US$400 Mln from Former Insiders REFCO INC: Trusts Seek Return of US$400 MM from Former Insiders VEGASTAR MARINE: Court to Hear Wind-Up Petition on Oct. 19 T H A I L A N D ARVINMERITOR INC: Inks Joint Venture Pact with TRW Automotive NATURAL PARK: 2nd Quarter Net Loss Widens to THB814.272 Million NATURAL PARK: Bankruptcy Court Dismisses Sathorn Asset's Suit NATURAL PARK: Expects to Pay Off Siam City Bank Debt on Nov. 30 PRAKIT & FCB: THB5-Bil. Deficit Cues Unit's Liquidation TMB BANK: ING Entry May Dilute Finance Ministry's Stake to 25% - - - - - - - - ================= A U S T R A L I A ================= CHRYSLER LLC: Will Fund Employees' Health Trust With US$8.8 Bil. ---------------------------------------------------------------- Chrysler LLC is obliged to contribute US$8.8 billion to a voluntary employees' beneficiary association, or VEBA fund, that the union will use to cover the costs of retiree health care after 2010, when the fund becomes operational, under the newly ratified contract between the carmaker and the United Auto Workers union, Josee Valcourt and Neal E. Boudette report for the Wall Street Journal. Chrysler will also pay US$1.5 billion to cover the costs of retiree health care between now and 2010, according to a 24-page summary of the contract that was distributed to union officials on Monday, WSJ notes. Chrysler will be allowed to hire new workers for certain "noncore" jobs at wages well below those it pays existing union employees, the contract states. New, noncore hires will earn between US$14 and US$16.23 an hour, compared to US$28 to US$32.52 an hour for current workers, WSJ says. The contractual terms between the two parties were patterned after General Motors Corp.'s new contract with the UAW. GM has promised to save jobs by keeping its plants running even after its contract with the UAW expires. Chrysler, on the other hand, does not guarantee that most of its eight assembly U.S. plants will remain open beyond the four years covered by its contract, WSJ reveals. About Chrysler LLC Headquartered in Auburn Hills, Michigan, Chrysler LLC -- http://www.chrysler.com/-- offers cars and minivans, pick-up trucks, sport utility vehicles, and vans under the Chrysler, Jeep, and Dodge brand names. It also sells parts and accessories under the MOPAR brand. The company has dealers worldwide, including Canada, Mexico, U.S., Germany, France, U.K., Argentina, Brazil, Venezuela, China, Japan and Australia. * * * On Oct. 1, 2007, Standard & Poor's Ratings Services placed its corporate credit ratings on Chrysler LLC and DaimlerChrysler Financial Services Americas LLC on CreditWatch with positive implications. As reported in the Troubled Company Reporter on Aug. 8, 2007, Standard & Poor's Ratings Services revised its loan and recovery ratings on Chrysler LLC's (B/Negative/--) US$10 billion senior secured first-lien term loan facility due 2013, following various changes to terms and conditions prior to closing. The US$10 billion first-lien term loan now consists of a US$5 billion "first-out" tranche and a $5 billion "second-out" tranche, so the aggregate amount of first-lien debt remains unchanged. Accordingly, S&P assigned a 'BB-' rating to the US$5 billion "first-out" first-lien term loan tranche. This rating, two notches above the corporate credit rating of 'B' on Chrysler LLC, and the '1' recovery rating indicate S&P's expectation for very high recovery in the event of payment default. S&P also assigned a 'B' rating to the US$5 billion "second-out" first- lien term loan tranche. This rating, the same as the corporate credit rating, and the '3' recovery rating indicate S&P's expectation for a meaningful recovery in the event of payment default. Moody's Investors Service has affirmed Chrysler Automotive LLC's B3 Corporate Family Rating, and the Caa1 rating of the company's US$2 billion senior secured, second lien term loan in connection with the closing of DaimlerChrysler AG's sale of a majority interest of Chrysler Group to Cerberus Capital Management LLC. CHRYSLER LCC: Visteon Corp. Brings Surround Sound Technology ------------------------------------------------------------ Visteon Corporation, in collaboration with Boston Acoustics(R), is bringing Dolby(R) Pro Logic(R) II surround sound to Chrysler LLC. Visteon and Boston Acoustics will deliver the popular Dolby Pro Logic II surround sound to the 2008 models of the Chrysler 300 and Dodge Charger. Dolby Pro Logic II creates a captivating surround sound experience from any stereo movie, music or game audio source. Listeners will hear all the detail and subtleties of the original stereo content, with the added luxury of full, compelling surround sound that makes the entertainment experience feel as if it's happening all around the listener. A matrix surround decoding technology, Dolby Pro Logic II detects the directional cues that occur naturally in stereo content and uses these elements to create a five-channel surround sound playback experience. "The technology is ideally suited for multichannel in-car audio systems," explained Steve Meszaros, Visteon electronics vice president. "Visteon integrates the Pro Logic algorithm into its amplifier, which delivers its sound through the Boston Acoustics speakers. The outcome is remarkable clarity and fidelity worthy of Chrysler's premium audio systems." Visteon's audio engineering expertise, combined with Boston Acoustics' custom-designed, precision-crafted speakers, delivers a smooth, octave-to-octave tonal balance known as the Boston Sound to all points of the vehicle interior with crystalline clarity. Audio engineers from Visteon and Boston Acoustics work together to deliver audio systems designed to optimize each vehicle's interior environment; accounting for such acoustic factors as seat location, interior fabrics and materials, and speaker placement. "We are pleased that the Visteon-Boston Acoustics collaboration continues to enhance Chrysler's ability to offer its customers a premium quality audio environment," said Mark Horvath, Boston Acoustics vice president. "The integration of this technology into award-winning Boston Acoustics' automotive sound systems demonstrates our dedication to providing our automotive customers with the best audio experience available in their vehicles." Visteon and Boston Acoustics already provide various customized sound systems for the Chrysler 300, Sebring, and PT Cruiser, Jeep(R) Commander, Grand Cherokee, Compass and Patriot, as well as the Dodge Avenger, Charger, Caliber and Magnum. About Boston Acoustics Founded in 1979, Boston Acoustics, Inc. -- http://www.bostonacoustics.com--designs, manufactures and markets high performance audio systems for use in home music and audio-video systems; after-market and OEM automotive systems; and custom built-in audio systems. Highly regarded for creating The Boston Sound, the company is renowned for delivering superior, competitively priced products emphasizing performance, consistency and value. About Visteon Based in Van Buren Township, Michigan, Visteon Corp. (NYSE: VC) -- http://www.visteon.com/-- is a global automotive supplier that designs, engineers and manufactures innovative climate, interior, electronic, and lighting products for vehicle manufacturers, and also provides a range of products and services to aftermarket customers. The company has more than 170 facilities in 24 countries and employs around 50,000 people. With corporate offices in the Michigan (U.S.); Shanghai, China; and Kerpen, Germany; the company has more than 170 facilities in 24 countries, including Mexico and India, and employs approximately 50,000 people. About Chrysler LLC Headquartered in Auburn Hills, Michigan, Chrysler LLC -- http://www.chrysler.com/-- offers cars and minivans, pick-up trucks, sport utility vehicles, and vans under the Chrysler, Jeep, and Dodge brand names. It also sells parts and accessories under the MOPAR brand. The company has dealers worldwide, including Canada, Mexico, U.S., Germany, France, U.K., Argentina, Brazil, Venezuela, China, Japan and Australia. * * * On Oct. 1, 2007, Standard & Poor's Ratings Services placed its corporate credit ratings on Chrysler LLC and DaimlerChrysler Financial Services Americas LLC on CreditWatch with positive implications. As reported in the Troubled Company Reporter on Aug. 8, 2007, Standard & Poor's Ratings Services revised its loan and recovery ratings on Chrysler LLC's (B/Negative/--) US$10 billion senior secured first-lien term loan facility due 2013, following various changes to terms and conditions prior to closing. The US$10 billion first-lien term loan now consists of a US$5 billion "first-out" tranche and a $5 billion "second-out" tranche, so the aggregate amount of first-lien debt remains unchanged. Accordingly, S&P assigned a 'BB-' rating to the US$5 billion "first-out" first-lien term loan tranche. This rating, two notches above the corporate credit rating of 'B' on Chrysler LLC, and the '1' recovery rating indicate S&P's expectation for very high recovery in the event of payment default. S&P also assigned a 'B' rating to the US$5 billion "second-out" first- lien term loan tranche. This rating, the same as the corporate credit rating, and the '3' recovery rating indicate S&P's expectation for a meaningful recovery in the event of payment default. Moody's Investors Service has affirmed Chrysler Automotive LLC's B3 Corporate Family Rating, and the Caa1 rating of the company's US$2 billion senior secured, second lien term loan in connection with the closing of DaimlerChrysler AG's sale of a majority interest of Chrysler Group to Cerberus Capital Management LLC. COMDISCO AUSTRALIA: Taps Hutchison and Gibbons as Liquidators ------------------------------------------------------------- At an extraordinary general meeting held on September 12, 2007, the members of Comdisco Australia Pty Ltd agreed to voluntarily liquidate the company's business. Keiran William Hutchison and John Raymond Gibbons were appointed as liquidators. The Liquidators can be reached at: Keiran William Hutchison John Raymond Gibbons Ernst & Young 680 George Street Sydney, New South Wales 2000 Australia Telephone (02) 9248 5864 About Comdisco Australia Comdisco Australia Pty Ltd provides business consulting services. The company is located at North Sydney, in New South Wales, Australia. CYMBIS FINANCE: Fitch Assigns 'B' Foreign Currency Ratings ---------------------------------------------------------- Fitch Ratings has assigned ratings to Cymbis Finance Australia Limited (CFAL) as follows: -- Long-term foreign currency Issuer Default Rating (IDR) 'B', -- Short-term foreign currency IDR 'B', -- Individual 'D', -- Support '5', and -- Support Rating Floor 'No Floor'. The Outlook on the Long-term foreign currency IDR is Stable. CFAL's ratings reflect its small size, limited trading history and the relatively high risk nature of its core lending activities. CFAL lends primarily for property development purposes, which are typically viewed as a more risky form of lending. The use of mortgage insurance however, may provide some protection for the company against losses in the event of default. Over the past three years since the company's inception, CFAL's loan portfolio has grown to AUD121 million as at 30 June 2007 (FYE07), with most loans concentrated in the state of Queensland. Being a relatively new company, it is no surprise that CFAL only reported its first after tax profit of AUD1.1m in FY07, with the business gathering momentum in the prior two years. More importantly, CFAL has not reported any loan losses to date, which can be attributed to a relatively benign credit environment and favorable property market conditions, particularly in the state of Queensland. Unlike banks and other authorized deposit-taking institutions (building societies and credit unions), finance companies in Australia are not formally regulated; however they must abide by various conditions imposed by a governing Trust Deed in order to issue retail debentures. Failure to observe the terms of the Trust Deed may result in a winding up. CFAL derives all of its funding from the retail market in the form of secured first ranking debenture stock. Under this form of debenture, investments are secured by a charge over the present and future assets of the company in the event of a winding up. In terms of capitalisation, CFAL is thinly capitalised with an equity/assets ratio of 3.45% at FYE07 (FYE06: 0.45%), which is very low when compared with the ratios of larger and more diversified financial institutions in Australia. CFAL is a privately owned finance company established in August 2004 and is domiciled in Queensland, Australia. It lends primarily for property development projects in Queensland, although it is slowly expanding interstate. KENT TOWN: Members Resolve to Liquidate Business ------------------------------------------------ On September 4, 2007, the members of Kent Town Maltings Pty Ltd had a meeting and resolved to liquidate the company's business. David Clement Pratt and Timothy James Cuming were appointed as liquidators. The Liquidators can be reached at: David Clement Pratt Timothy James Cuming Level 15, 201 Sussex St Sydney, New South Wales 1171 Australia About Kent Town Kent Town Maltings Pty Ltd is in the involved in the malt business. The company is located at Thebarton, in South Australia, Australia. L D NATHAN: Commences Liquidation Proceedings --------------------------------------------- L D Nathan & Co Investments Pty Ltd commenced liquidation proceedings on September 4, 2007. David Clement Pratt and Timothy James Cuming were named as liquidators. The Liquidators can be reached at: David Clement Pratt Timothy James Cuming Level 15, 201 Sussex St Sydney, New South Wales 1171 Australia About L D Nathan L D Nathan & Co Investments Pty Ltd operates offices of holding companies. The company is located at Sydney, in New South Wales, Australia. NATIONAL BREWERIES: Placed Under Voluntary Liquidation ------------------------------------------------------ During a general meeting held on September 4, 2007, the members of National Breweries Pty Limited agreed to voluntarily liquidate the company's business. David Clement Pratt and Timothy James Cuming were tapped as liquidators. The Liquidators can be reached at: David Clement Pratt Timothy James Cuming Level 15, 201 Sussex St Sydney, New South Wales 1171 Australia About National Breweries Located at Sydney, in New South Wales, Australia, National Breweries Pty Limited is an investor relation company. NATIONAL BREWING: Commences Liquidation Proceedings --------------------------------------------------- National Brewing New South Wales Pty Limited went into liquidation on September 4, 2007, through a special resolution passed on that day. David Clement Pratt and Timothy James Cuming were appointed as liquidators. The Liquidators can be reached at: David Clement Pratt Timothy James Cuming Level 15, 201 Sussex St Sydney, New South Wales 1171 Australia About National Brewing National Brewing New South Wales Pty Limited is a distributor of malt beverages. The company is located at Sydney, in New South Wales, Australia. STARTECH ENVIRONMENTAL: Reports US$25-Mln Plasma Converter Sales ---------------------------------------------------------------- Startech Environmental Corp. has announced its Quarterly Report, filed with the Securities and Exchange Commission on Sept. 14, shows Shareholders' Equity in excess of US$5 million with approximately US$10 million in Cash on Hand, along with Plasma Converter Systems Sales of approximately US$25 million. The company has also received additional cash partial-payments of approximately US$3.5 million for the systems sold and in production. Startech Vice President and Chief Financial Officer, Peter Scanlon, said, "With production for the systems sold well underway, the fact is that the Company has never before been as strong as it is today, and getting stronger." Headquartered in Wilton, Connecticut, StarTech Environmental Corporation (OTC BB: STHK.OB) -- http://startech.net/ --is an environment and energy industry company engaged in the production and sale of proprietary plasma processing equipment known as the Plasma Converter System(TM). The Plasma Converter System safely and economically destroys wastes, no matter how hazardous or lethal, and turns most into useful and valuable products. The company operates in Australia, and Panama. * * * As reported in the Troubled Company Reporter-Latin America on June 25, 2007, Startech Environmental Corp. reported a net loss of US$1,026,985 on revenue of US$191,976 for the second quarter ended April 30, 2007, compared with a net loss of US$4,620,815 on revenue of US$111,464 for the same period ended April 30, 2006. TASTON PTY: Members Resolve to Liquidate Business ------------------------------------------------- On September 4, 2007, the members of Taston Pty Limited had a meeting and agreed to voluntarily liquidate the company's business. David Clement Pratt and Timothy James Cuming were named as liquidators. The Liquidators can be reached at: David Clement Pratt Timothy James Cuming Level 15, 201 Sussex St Sydney, New South Wales 1171 Australia About Taston Pty Located at Sydney, in New South Wales, Australia, Taston Pty Limited is an investor relation company. THE HOSPITALITY MANAGEMENT: Undergoes Voluntary Wind-Up ------------------------------------------------------- During a general meeting held on September 4, 2007, the members of The Hospitality Management Company Pty Limited decided to voluntarily liquidate the company's business. David Clement Pratt and Timothy James Cuming were appointed as liquidators. The Liquidators can be reached at: David Clement Pratt Timothy James Cuming Level 15, 201 Sussex St Sydney, New South Wales 1171 Australia About The Hospitality Management The Hospitality Management Company Pty Limited provides management services. The company is located at Malvern, in Victoria, Australia. TOOHEYS (CIVIC): Members Resolve to Wind Up Operations ------------------------------------------------------ On September 4, 2007, the members of Tooheys (Civic) Pty Limited had a meeting and decided to voluntarily wind up the company's operations. David Clement Pratt and Timothy James Cuming were tapped as liquidators. The Liquidators can be reached at: David Clement Pratt Timothy James Cuming Level 15, 201 Sussex St Sydney, New South Wales 1171 Australia About Tooheys (Civic) Located at Sydney, in New South Wales, Australia, Tooheys (Civic) Pty Limited is an investor relation company. * ASIC Disqualifies Six Directors for Role in Failed Companies -------------------------------------------------------------- The Australian Securities & Investments Commission has disqualified another six directors from managing corporations, bringing the total to 19 for the first three months of the 2007/2008 financial year. These most recent disqualifications, which took effect in September 2007, reflect the agency's commitment to addressing phoenix activity and removing directors who fail to fulfill their responsibilities to creditors. Phoenix activity is typically associated with directors who transfer the assets of an indebted company into a new company of which they are also directors. The director then places the initial company into administration or liquidation with no assets to pay creditors, meanwhile continuing the business using the new company structure. "Sixteen of the disqualifications to date have followed reports from liquidators who have received funding under the Assetless Administration Fund scheme", said ASIC's Executive Director of Consumer Protection, Greg Tanzer. "This scheme provides liquidators of assetless companies with funds to conduct rigorous investigations and, in turn, more detailed reports to ASIC which help reduce the scope for phoenix activity and improve corporate conduct generally." Director disqualifications - September 2007 * Drew Adrian Kellahan ASIC has disqualified fitness center operator, Drew Adrian Kellahan, of Cairns, Queensland, from managing corporations for four years. Mr. Kellahan's disqualification follows an ASIC investigation into his role in regards to four failed companies; Central Fitness Pty. Ltd., Rapside Pty. Ltd., BOC Holdings Pty. Ltd. and IH Management Pty. Ltd. ASIC's investigation found that all four companies failed, owing substantial debts to the Australian Taxation Office (ATO) and that Mr. Kellahan entered into a phoenix arrangement whereby he transferred the assets of Central Fitness Pty. Ltd. to another entity he controlled with the intention of avoiding creditors, in particular the ATO. Further, Mr. Kellahan entered into uncommercial transactions that were not in the best interests of Central Fitness Pty. Ltd .and that served to advantage some creditors while disadvantaging the balance of creditors. Mr. Kellahan also failed to maintain proper books and records and assist the liquidators of Rapside Pty. Ltd. and BOC Holdings Pty. Ltd. * Alex Stefopoulos ASIC has disqualified cleaning contractor, Alex Stefopoulos of Chapman, ACT, from managing corporations for four years. The disqualification of Mr. Stefopoulos follows an investigation into his role in three failed companies; Karli Investments Pty. Ltd., Cummire Pty. Ltd. and Jaazcorp Pty. Ltd. ASIC's investigation found that Mr. Stefopoulos had breached his obligations as a director by failing to pay taxation and employee superannuation entitlements. Mr. Stefopoulos also arranged for the business and assets of his cleaning operation to be transferred to a new corporate entity once the financial position of the old entity became untenable. The old entity was then wound up with unpayable liabilities. * Tanvanth Singh Sandhu ASIC has disqualified Mr Tanvanth Singh Sandhu, of Wembley Downs, Western Australia, from managing corporations for three years. The disqualification of Mr. Sandhu follows an ASIC investigation into his role with respect to the failed companies, Ergotel Corporation Ltd. and Swepdri Ltd. ASIC's investigation found that Mr. Sandhu breached his duties as a director of Ergotel Corporation Ltd. by allowing the company to loan money to another director at a time when it was known that the company could not pay its own debts. ASIC also found, in relation to Swepdri Ltd., that Mr Sandhu failed to provide the liquidator with a report regarding the financial affairs of the company and that he breached his duties as a director by allowing the company to enter into an uncommercial loan agreement. Mr. Sandhu was also the director of a number of companies deregistered by ASIC for failing to lodge financial returns. * Adrian Frederick Hodson and Jason Scott Hodson ASIC has disqualified father and son retailers, Adrian Frederick Hodson of Benowa, Queensland and Jason Scott Hodson formerly of Bundall, Queensland, from managing corporations for four years and three years respectively. The disqualifications of Adrian Hodson and Jason Hodson follow an ASIC investigation into their roles in regard to the failed companies, The Heritage Group Pty. Ltd and Qld Country Properties Pty. Ltd. Adrian Hodson's role in Ajay Holdings Pty. Ltd. and Lakebrock Pty. Ltd. was also investigated. ASIC's investigation found the companies failed owing significant amounts to creditors and statutory debts to the ATO and in the case of The Heritage Group Pty. Ltd., a statutory debt to the Australian Customs Service. ASIC also found that Adrian Hodson and Jason Hodson breached their duties as directors of The Heritage Group Pty. Ltd. by not preparing financial statements and making payments to themselves at a time when the company could not pay its outstanding debts. * David Renton Whittle ASIC has disqualified pharmacist, David Renton Whittle, of West Wodonga, Victoria, from managing corporations for 18 months. Mr. Whittle's disqualification follows an ASIC investigation into his role in two failed companies, Whittle Investments (WA) Pty. Ltd. and MPS Security Consultants Pty. Ltd. ASIC's investigation found that Mr. Whittle failed to provide all of the books and records of Whittle Investments (WA) Pty. Ltd. to the company's liquidator and that certain creditors of MPS Security Consultants Pty. Ltd. were paid, to the detriment of other creditors, including the ATO. The above disqualified individuals have the right to appeal to the Administrative Appeals Tribunal for a review of ASIC's decision. ================================ C H I N A & H O N G K O N G ================================ ALCATEL-LUCENT: To Deploy Wimax Network in Taiwan ------------------------------------------------- Alcatel-Lucent partners with Taiwan's Far EasTone to deploy a Universal WiMAX network -- based on the IEEE 802.16e-2005 standard -- along a major freeway linking Taipai city with Taoyuan International Airport. The new network will enable users in vehicles to access the Internet and take advantage of multimedia applications such as video streaming and voice over IP. This contract follows a successful field trial conducted in July 2007 and represents a major step toward the introduction of mobile WiMAX services in Taiwan. Under the terms of the contracts, Alcatel-Lucent will provide Far EasTone with its end-to-end WiMAX Rev-e solution includingbase stations, access controllers, core network and operation and maintenance center. Alcatel-Lucent also will provide network design, installation, commissioning and optimization services for the project. The network is expected to be in operation in early 2008. WiMAX is a flexible wireless technology that enables people to access high-speed, high-quality broadband wireless services wherever they go, providing truly "universal" wireless broadband access in fixed, nomadic and mobile environments. "The Mobile-Freeway project is a critical part of the larger Mobile Taiwan program and the ability of Alcatel-Lucent's WiMAX solution to support high-speed transmission in a mobile environment will enhance the value of this important initiative to the people of Taiwan," said Jeffey Gee, executive vice president of Far EasTone Telecom. "We selected Alcatel-Lucent because of the company's track record as the industry leader in providing mobile WiMAX solutions to service providers around the world, as well as the excellent performance of their mobile WiMAX system during our trial during the summer. This gave us the confidence that the solution would meet our customers' expectations." The Mobile Freeway project is the world's first WiMAX deployment with support for high-speed mobility. This achievement builds on Alcatel-Lucent's leading role in the introduction of Mobile WiMAX; Alcatel-Lucent was first to release a WiMAX product providing full mobility. "Our selection for this important project - following a successful field trial in the summer of 2007, highlights the maturity of our WiMAX Rev-e solution, the strength of our Open CPE Program and our compelling end-to-end offer," said Frederic Rose, head of Alcatel-Lucent's activities in the Asia-Pacific region. "This contract also expands our No. 1 position in the market for commercial mobile WiMAX solutions and solidifies our position as a leading wireless network supplier in Taiwan." Alcatel-Lucent's Universal WiMAX solution integrates the latest technological innovations, such as "beam forming" and MIMO. Beam forming enables a service provider to dramatically reduce the number of radio sites needed to provide coverage - in some instances by as much as 40 percent - while reducing interferences and ensuring better indoor penetration of the radio signal. MIMO helps make radio links more robust, nearly doubling the capacity delivered in dense urban environments. For this project Alcatel-Lucent will work closely with local manufacturers to introduce requisite customer premise equipment, and will establish a WiMAX Application R&D Centre to support end-to-end interoperability testing with local suppliers, helping enhance Taiwan's WiMAX ecosystem and increasing the competitiveness of Taiwan's CPE industry. About Far EasTone Far EasTone is dedicated to the convergence of mobile communications and the Internet. Our aim is to provide our customers easy access to a wealth of public and personalized information, while striving to fulfill our vision in the 21st century- "Anywhere, anytime, communications to enrich the lives of people" . Holding onto the beliefs of "innovative, trustworthy and responsive", we bring customers' needs to a new level with our mobile and data transmission services. With Far EasTone, you will stay in touch and enjoy a quality life through cutting edge technology. For more details, please visit external linkhttp://www.fareastone.com.tw/ 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. Alcatel-Lucent maintains operations in 130 countries, including, Austria, Germany, Hungary, Italy, Netherlands, Ireland, Canada, United States, Costa Rica, Dominican Republic, El Salvador, Guatemala, Peru, Venezuela, Indonesia, Australia, Brunei and Cambodia. 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. * * * The Troubled Company Reporter-Asia Pacific reported on Sep. 19, 2007, that Standard & Poor's Ratings Services revised its outlook on international equipment supplier Alcatel-Lucent and related entity Lucent Technologies Inc. to stable from positive. At the same time, the 'BB-' long-term corporate credit ratings on the group were affirmed. The 'B' short-term corporate credit rating on Alcatel-Lucent and 'B-1' short-term rating on Lucent Technologies were also affirmed. As reported on April 13, 2007, Fitch Ratings affirmed Alcatel- Lucent's ratings at Issuer Default 'BB' with a Stable Outlook, senior unsecured 'BB' and Short-term 'F2' and simultaneously withdrawn them. As of Feb. 7, 2007, Moody's Investor Services put a Ba2 rating on Alcatel's Corporate Family and Senior Debt rating. Lucent carries Moody's B1 Senior Debt rating and B2 Subordinated debt & trust preferred rating. BURALL IMAGENET: Requires Creditors to File Claims by Oct. 31 ------------------------------------------------------------- The creditors of Burall Imagenet (Hong Kong) Limited are required to file their proofs of debt by October 31, 2007, to be included in the company's dividend distribution. The company's liquidators are: Alan C W Tang Wong Kwok Man Gloucester Tower, 13th Floor The Landmark 15 Queen's Road Central Hong Kong CORGI INTERNATIONAL: Eisner LLP Raises Going Concern Doubt ---------------------------------------------------------- Corgi International Limited -- formerly Master Replicas, Inc. -- submitted its financial report for the year ended March 31, 2007, to the United States Securities and Exchange Commission. After auditing Corgi International's annual report, Eisner LLP raised substantial doubt on the company's ability to continue as a going concern, saying that the company has suffered recurring losses from operations, has a working capital deficiency, an accumulated deficit and limited financing sources. For the year ended March 31, 2007, Corgi International incurred a net loss of US$13,262,844, on net sales of US$35,497,317. For the year ended December 31, 2005, the company booked a net income of US$4,326,853. Corgi International's balance sheet as of March 31, 2007, showed total current assets of US$34,787,052 and total current liabilities of US$37,281,742. The figures are higher compared to the total current assets of US$11,300,871 and total current liabilities of US$4,528,036, recorded as of March 31, 2006. As of end-March 2007, the company had total assets of US$67,830,158 and total stockholders' equity of US$29,888,432. As a result of the merger of historical Corgi International with Master Replicas and the acquisition of Cards Inc. Limited, for accounting purposes, Master Replicas was deemed to be the accounting acquirer and, accordingly, Master Replicas' financial statements are presented as the historical financial statements of Corgi subsequent to the acquisition. The historical fiscal year ends of the pre-merger Corgi International, Cards and Master Replicas were March 31, July 31 and December 31, respectively. Following the merger and the acquisition, Master Replicas and Cards Inc. changed their respective fiscal year ends to March 31. Headquartered in Hong Kong, Corgi International Limited (Nasdaq: CRGI) -- http://www.corgi-international.com/-- is one of the oldest and most renowned global brands in the collectibles market. The company releases a variety of products under three brands: Master Replicas produces movie prop replicas and high end collectibles, Corgi Classics manufactures die cast vehicles and figurines, and a third brand, called Pop Co., will develop licensed products for the gift and toy channels. Corgi International's goal is to be the leading supplier of collectible die-cast models, licensed collectible limited edition products and entertainment based toys and gifts. Corgi International has offices in Walnut Creek, CA, Chicago, IL, and the United Kingdom. GOLD EXPERT: Subject to Chan Pui's Wind-Up Petition --------------------------------------------------- On September 5, 2007, Chan Pui Chun filed a petition to have Gold Expert Limited's operations wound up. The High Court of Hong Kong will hear the petition on Nov. 14, 2007, at 9:30 a.m. GOLD LUCKY: Members' General Meeting Set for November 9 ------------------------------------------------------- A final general meeting will be held for the members of Gold Lucky Limited on November 9, 2007, at 10:30 a.m., at the 3rd Floor, 130-132 Des Voeux Road, in Central, Hong Kong. At the meeting, Ng Kin Yung Tony, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. GRAND TOYS INTERNATIONAL: Auditor Raises Going Concern Doubt ------------------------------------------------------------ After auditing Grand Toys International Limited' annual report for the period ended Dec. 31, 2006, its independent auditor, BDO McCabe Lo Limited, raised substantial doubt on the company's ability to continue as a going concern, citing its loss from operations for the year and substantial cumulative losses and working capital deficiency. In its report, the company noted that it has incurred recurring losses since 2004. Grand Toys' net loss from continuing operations (as restated) for the years ended December 31, 2006 and 2005 amounted to US$11.3 million and US$0.9 million, respectively. The company's cumulative losses as of Dec. 31, 2006 and 2005 were US$48.0 million and US$25.5 million, respectively. Net loss available to ADS shareholders for the years ended Dec. 31, 2006 and 2005 were US$22.50 million and US$31.33 million, respectively. Furthermore, the company booked a working capital deficiency amounted to US$9.3 million as of December 31, 2006. This from total current assets of US$55.95 million and total current liabilities of US$65.21 million. Grand Toys' balance sheet as of end-December 2006 showed total assets of US$102.68 million and total shareholders' equity of US$29.11 million. Grand Toys admitted that its ability to raise adequate financing to fund future capital requirements on acceptable terms, on time or at all is not assured. Furthermore, the company's ability to raise additional financing may be materially and adversely affected by its continuing losses from operations since 2004, and the receipt of an audit opinion from the company's independent auditors. According to Grand Toys, any failure to obtain sufficient financing could result in the delay or abandonment of its development and expansion plans and have a material adverse effect on its business and financial results. The company explained that the principal reasons for the delay in completing its audit of the 2006 Financial Statements are its change of auditors from Deloitte Touche Tohmatsu to BDO McCabe Lo Limited and the transition of its accounting and financial duties and responsibilities from its former Montreal office, which has since been closed, to its Hong Kong office. Grand Toys International licenses and distributes toys for various toy makers through a number of subsidiaries. In addition, the company's Hua Yang subsidiary manufactures pop-up, novelty, and board books. Through its Kord brand, the company makes party and paper products such as party hats, banners, paper plates, and costumes. The company is undergoing a restructuring to focus on its most profitable units. GWA INTERNATIONAL: Placed Under Voluntary Liquidation ----------------------------------------------------- At an extraordinary general meeting held on September 24, 2007, a special resolution was passed by members providing for the liquidation of the company's business. Creditors must file their proofs of debt by November 5, 2007, to be included in the company's dividend distribution. The company's liquidators are: Natalia Seng Sze Ka Mee Cynthia Wong Tak Yee Three Pacific Place, Level 28 1 Queen's Road East, Hong Kong JIH SUN: Fitch Affirms Group Companies' Low-B Ratings ----------------------------------------------------- Fitch Ratings has affirmed the ratings of Jih Sun Group, namely Jih Sun Financial Holding Co., Ltd (JSH) and its subsidiaries, Jih Sun International Bank (JSIB) and Jih Sun Securities Corp., Ltd (JSS), as follows: JSH -- Long-term foreign currency Issuer Default Rating (IDR) at 'BB+', -- Short-term foreign currency IDR at 'B', -- National Long-term rating at 'A- (twn)' (A minus(twn)), -- National Short-term rating at 'F2 (twn)', -- Individual at 'D', -- Support at '5', and -- Support Rating Floor at 'NF'. The Outlook remains Stable. JSIB -- Long-term foreign currency IDR at 'BB+', -- Short-term foreign currency IDR at 'B', -- National Long-term rating at 'A- (twn)' (A minus(twn)), -- National Short-term rating at 'F2 (twn)', -- Individual at 'D', -- Support at '3'. The Outlook remains Stable. JSS -- Long-term foreign currency IDR at 'BBB-' (BBB minus), -- Short-term foreign currency IDR at 'F3', -- National Long-term rating at 'A (twn)', -- National Short-term rating at 'F1 (twn)', -- Individual at 'C/D', -- Support at '5', and -- Support Rating Floor at 'NF'. The Outlook remains Stable. JSH's ratings reflect its adequate capitalisation and liquidity, as well as its improved credit culture. An alliance with Shinsei Bank, Ltd ('BBB+'/Stable) in July 2006 brought JSH much- needed capital, as well as commercial banking expertise, particularly in credit risk management. JSH aims to improve its financial profile by lowering its credit risk exposure while increasing its fee revenues by expanding its wealth management business. In Fitch's view, the latter could prove rather challenging, as several players have already taken the lead in this highly competitive market. The group's capitalisation is adequate; nevertheless, JSIB's weak profitability and asset quality is putting pressure on the group's capital strength. JSH's board has approved the issue of up to 400 million shares (TWD4 billion if issuing at par) in Q407 to strengthen JSIB's capital position. Besides this, JSIB could expect TWD2bn- TWD2.5bn of capital injection in Q108, supported by JSS's up- streamed dividends. JSIB's IDRs are based on group support, while its Individual rating primarily reflects its weak asset quality and profitability. Net losses at JSIB narrowed significantly in H107, primarily due to a sizeable decline in bad loan losses. Nevertheless, the bank's underlying profitability has slowed down -- the rapid growth in net fee income and the notable decrease in personnel expenses were not sufficient to offset a decline in spread income. JSIB's new NPL formation rate in H107 remained high, but did improve notably. In Fitch's view, JSIB's new NPLs could continue to fall, with the introduction of better credit risk management standards by the new chief credit officer appointed by Shinsei. Nevertheless, JSIB's loan loss reserves/NPLs ratio remains insufficient. Fitch views that the realisation of a 400 million-share rights issue is crucial for JSIB to sustain a sound capitalisation, given the bank's weak asset quality. JSS' IDRs primarily reflect its consistently good profitability, liquidity and capitalisation. JSS's capital position should remain adequate after upstreaming TWD2bn-TWD2.5bn of retained earnings to JSH in Q108. JSS has been JSH's major earnings contributor since 2005, as the group's banking subsidiary suffered sizeable bad loan losses. Major businesses lines -- benefiting from buoyant market turnover and strong performance of the Taiwan market index (TAIEX) -- reported good earnings performance in H107. JSS's VaR (one day holding period and 99% confidence level) has increased notably over the 12 months ending 30 June 2007, mainly due to increased risk exposure in equity trading positions. Nevertheless, the exposure is rather limited, at 0.1% of equity at end-June 2007. JSH was established in February 2002 through the merger of JSS and JSIB. JSH is the second-smallest of 14 financial holding companies in Taiwan in terms of consolidated assets. Major shareholders include the Chen Family and Shinsei, which hold shares of around 40% and 32%, respectively. JSIB had a 0.92% market share in deposits and 37 branches (out of 46 available branch licences) in Taiwan. JSS had a 4.4% market share of equity brokerage at end-June 2007, and runs 48 branches in Taiwan. M.D. CREATION: Contributories & Creditors to Meet on Oct. 22 ------------------------------------------------------------ The contributories and creditors of M.D. Creation Limited will hold their annual meeting on October 22, 2007, at 10:30 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The meeting will be held at the office of Ferrier Hodgson Limited, 14th Floor of Hong Kong Club Building, in 3A Chater Road, Hong Kong. MAINLINE GLOBAL: Members to Hold General Meeting on Nov. 6 ---------------------------------------------------------- The members of Mainline Global Hong Kong Limited will hold their final general meeting on November 6, 2007, at 10:00 a.m., to hear the liquidator's report on the company's wind-up proceedings and property disposal. The meeting will be held at Level 28 of Three Pacific Place, 1 Queen's Road East, in Hong Kong. PALMERSTON CONFECTIONERY: Members & Creditors to Meet on Nov. 3 --------------------------------------------------------------- The members and creditors of Palmerston Confectionery Company Limited will meet on November 7, 2007, at 3:00 p.m. and 3:30 p.m., respectively, to hear the liquidators' report on the company's wind-up proceedings and property disposal. The meeting will be held at the 35th Floor of One Pacific Place, in 88 Queensway, Hong Kong. SHE & HE: Creditors' Meeting Set for October 12 ----------------------------------------------- She & He will hold a meeting for its creditors on October 12, 2007, at 3:30 p.m., at Room 1802, 18th Floor of World-wide House, No. 19 Des Voeux Road Central, in Central, Hong Kong. At the meeting, the creditors will be asked to: -- consider and receive the directors' statement of company's affairs; -- appoint liquidators; -- appoint a committee of inspection consisting of not more 5 persons, if deemed fit; and -- determine whether the liquidators' accounts should be audited or not. SHUN TAI: Court to Hear Wind-Up Petition on November 7 ------------------------------------------------------ A petition to have Shun Tai International Travel Company Limited's operations wound up will be heard before the High Court of Hong Kong on November 7, 2007, at 9:30 a.m. Yan Dongyun filed the petition against Shun Tai on August 27, 2007. SUZHOU BOAI MEDICAL: Schumacher Raises Going Concern Doubt ---------------------------------------------------------- After auditing Suzhou Boai Medical Development Co. Ltd.'s financial statements for the year ended Dec. 31, 2006, Schumacher & Associates, Inc., raised substantial doubt on the company's ability to continue as a going concern, citing the company's working capital and accumulated deficits. For the year 2006, Suzhou Boai incurred a net loss of US$128,842, which is an increase from the US$72,610 net loss recorded for the year ended Dec. 31, 2005. As of Dec. 31 2006, Suzhou Boai's consolidated balance sheet showed strained liquidity with total current assets of US$6,003,781 available to pay total current liabilities of US$6,256,744. The consolidated entity's balance sheet as of end-December 2006 also reflected total assets of US$6,480,427 and total stockholders' equity of US$223,683. Headquartered in Suzhou, China, Suzhou Boai Medical Development Co. Ltd.'s principal business is wholesale purchase and sale of pharmaceutical products, vaccines and medical instruments. The company purchases from manufacturers, importers and first-level wholesalers, and sells primarily to hospitals, pharmacies and clinics. TOWN'S INDUSTRIAL: Court Enters Wind-Up Order --------------------------------------------- On September 24, 2007, the High Court of Hong Kong entered an order directing the wind up of Town's Industrial Limited's operations. ========= I N D I A ========= AFFILIATED COMPUTER: Earns US$37.6MM in 4th Qtr. Ended June 30 -------------------------------------------------------------- Affiliated Computer Services Inc. reported net income of US$37.6 million for the fourth quarter ended June 30, 2007, compared with net income of US$86.1 million for the same period last year. Fourth quarter fiscal year 2007 revenues were US$1.52 billion, a 10% increase compared to fourth quarter fiscal year 2006 revenues of US$1.38 billion. Fiscal year 2007 revenues were US$5.77 billion, compared with revenues of US$5.35 billion for fiscal year 2006. Excluding the divestiture of the Welfare to Workforce Services business, total revenue growth was 10% compared to the prior fiscal year. Net income for fiscal year 2007 was US$253.1 million, compared with net income of US$358.8 million for fiscal year 2006. Lynn Blodgett, ACS' president and chief executive officer, said, "I am proud of our dedicated employees and their efforts that drove our strong finish to the year. Despite non-operational distractions, we generated record company revenues for the year, significantly improved our client renewal rates, and enjoyed outstanding cash flow results. We are focused on running our business, growing revenues and profit, and emphasizing innovation in our offerings." During the fourth quarter of fiscal 2007, the company completed the following acquisitions: -- CDR Associates LLC for a purchase price of approximately US$27.0 million and a potential earnout of up to US$15 million, based on future results. CDR, with trailing twelve month revenues of approximately US$17.0 million, expands ACS' existing services to the healthcare payor market by adding credit balance audit services and a web- based credit balance system. -- certain assets of Albion Inc. for a purchase price of approximately US$31.0 million. Albion, with trailing twelve month revenues of approximately US$25 million, specializes in integrated eligibility software solutions for the health and human services market and will enable ACS to offer an end-to-end integrated eligibility offering across multiple HHS programs. Cash flow from operations for fiscal year 2007 was US$738 million, or 13% of revenue, and free cash flow was US$378 million, or 7% of revenue. Capital expenditures and additions to intangibles were US$360 million, or 6% of revenues. Fiscal year 2007 new business signings were US$607.0 million of annual recurring revenue with an estimated total contract value of US$2.8 billion. In terms of annual recurring revenue, approximately 79% of new business signings were business process outsourcing deals and approximately 21% were information technology solutions signings. Additionally, the company renewed US$869.0 million of annual recurring revenue with an estimated total contract value of US$2.4 billion during fiscal year 2007. At June 30, 2007, the company's consolidated balance sheet showed US$5.98 billion in total assets, US$3.92 billion in total liabilities, and US$2.06 billion in total shareholders' equity. Full-text copies of the company's consolidated financial statements for the quarter ended June 30, 2007, are available for free at http://researcharchives.com/t/s?2448 About Affiliated Computer Headquartered in Dallas, Affiliated Computer Services Inc. (NYSE: ACS) -- http://www.AffiliatedComputer-inc.com/ -- provides business process outsourcing and information technology solutions to world-class commercial and government clients. The company has more than 58,000 employees supporting client operations in nearly 100 countries. The company has global operations in Brazil, China, Dominican Republic, India, Guatemala, Ireland, Philippines, Poland, and Singapore. * * * Affiliated Computer Services currently carries Fitch Ratings' BB Issuer Default Rating. BAUSCH & LOMB: Inks Agreement Selling US$650 Million of Notes ------------------------------------------------------------- In connection with the merger agreement between WP Prism Inc., Bausch & Lomb Incorporated and WP Prism Merger Sub Inc. regarding the acquisition of Bausch & Lomb, Merger Sub entered into an agreement to sell US$650 million principal amount of 9.875% Notes due 2015. Merger Sub was formed by investment funds associated with Warburg Pincus LLC, for the purpose of merging with and into Bausch & Lomb, with Bausch & Lomb continuing as the surviving corporation. As a result of the Merger, investment funds associated with or designated by the Sponsor and certain co- investors will own Bausch & Lomb. Merger Sub will use the net proceeds from the offering of the Notes, together with the expected proceeds from a new US$1.2 billion senior secured U.S. term loan facility and a new euro-denominated term loan facility in an amount equivalent to approximately US$575 million, equity financing and cash on hand of Bausch & Lomb to consummate the Merger. The offering of the Notes and the Merger are expected to close on or about Oct. 26, 2007, subject to the satisfaction or waiver of closing conditions. About Bausch & Lomb Headquartered in Rochester, New York, Bausch & Lomb Inc. (NYSE: BOL) -- http://www.bausch.com/-- develops, manufactures, and markets eye health products, including contact lenses, contact lens care solutions, and ophthalmic surgical and pharmaceutical products. The company is organized into three geographic segments: the Americas; Europe, Middle East, and Africa; and Asia (including operations in India, Australia, China, Hong Kong, Japan, Korea, Malaysia, the Philippines, Singapore, Taiwan and Thailand). * * * As reported in the Troubled Company Reporter on Oct. 9, 2007, Moody's Investors Service assigned a B2 Corporate Family Rating to WP Prism LLC. It is Moody's understanding that at the close of the transaction, WP Prism LLC will merge into Bausch & Lomb Incorporated, which will be the surviving entity. As reported in the Troubled Company Reporter on Oct. 8, 2007, Standard & Poor's Ratings Services lowered it corporate credit rating on Bausch & Lomb Inc. to 'B+' from 'BB+' and removed all the ratings from CreditWatch where they were placed on May 17, 2007, with negative implications. The outlook is stable. EASTMAN KODAK: Paying 25 Cents Per Share Dividend on Dec. 14 ------------------------------------------------------------ Eastman Kodak Company's board of directors has declared a semi-annual cash dividend of 25 cents per share on the outstanding common stock of the company, payable Dec. 14, 2007, to shareholders of record at the close of business on Nov. 1, 2007. Headquartered in Rochester, New York, Eastman Kodak Co. (NYSE: EK)-- http://www.kodak.com/-- develops, manufactures, and markets digital and traditional imaging products, services, and solutions to consumers, businesses, the graphic communications market, the entertainment industry, professionals, healthcare providers, and other customers. The company has operations in Argentina, Chile, Denmark, Greece, Jordan, Yemen, Australia, China, India, among others. As reported in the Troubled Company Reporter-Latin America on Sept. 14, 2007, Standard & Poor's Ratings Services has affirmed its 'B+' corporate credit rating on Eastman Kodak Co. and removed the ratings from CreditWatch, where they had been placed with negative implications on Aug. 2, 2006. The outlook is negative. FERTILISERS & CHEMICALS: To Consider Q2 Results on Oct. 24 ---------------------------------------------------------- Fertilizers & Chemicals Travancore Ltd's board of directors will hold a meeting on Oct. 24, 2007, to consider and take on record the company's unaudited financial results for the quarter ended Sept. 30. In the July-Sept. quarter last year, FACT incurred a net loss of INR307.5 million on revenues of INR4.15 billion. Headquartered in Kochi, Kerala, India, Fertilisers & Chemicals Travancore Limited is principally engaged in the manufacturing and distribution of fertilizers and chemicals. Its products include ammonium sulphate, factomfos, urea and caprolactam. The company operates solely in the domestic market. The company, which had been making profits for over a decade, started reporting losses from 1998-99 onwards due to the steep rise in cost of raw materials like naphtha, benzene, sulphur and rock phosphate. There were also uneconomic realization from sales and the company had to stop production because of a liquidity crunch. In 2004, the company was referred to the Board for Industrial and Financial Reconstruction as a potentially sick unit. The company is currently undergoing a revamp program to turn its business around. GARWARE POLYESTER: Members to Consider Capital Increase ------------------------------------------------------- Garware Polyester Ltd's shareholders will consider increasing in the company's authorized share capital at an extraordinary general meeting on Nov. 7, 2007. The company proposes to increase its capital from INR25,00,00,000 (divided into 2,50,00,000 equity shares of INR10 each) to INR75,00,00,000 (divided into 2,50,00,000 equity shares of INR10 each and 50,00,000 preference shares of INR100 each. The shareholders will also consider approving the proposed allotment in one or more tranches, by way of preferential issue: -- up to 10,19,022 equity shares of INR10 each of the company for cash, to Industrial Development Bank of India Ltd at a price of INR58.88 per share (i.e. at a premium of INR48.88 per share), aggregating up to INR6 crore, which is not less than the higher of the following, subject to necessary approval & provisions. -- up to 49,54,000 0.01% cumulative redeemable preference shares of INR100 each for cash, to IDBI aggregating up to INR49.54 crore arising put of the conversion of deferred interest into 0.01% cumulative redeemable preference shares as per the one time settlement of dues with IDBI. Headquartered in Aurangabad, India, Garware Polyester Ltd. -- http://www.garwarepoly.com/-- produces polyester film. Its products range includes films that cater to the solar control industry, packaging industry and reprographic industry. In addition, the company's bi-axially oriented polyethylene teraphthalate film range includes sun control films, overhead projector films and film for packaging, cable insulation, audiotapes, tracing and drafting. The Troubled Company Reporter-Asia Pacific reported on July 13, 2007, that Credit Rating Information Services of India Limited has reaffirmed its 'D' rating on Garware's non-convertible debenture programme. The rating continues to indicate that the instrument is in default. The arrears on interest and principal repayments have not been entirely cleared. GENERAL MOTORS: S&P's Rating Outlook Remains on Watch Positive -------------------------------------------------------------- Standard & Poor's Ratings Services' long-term ratings on General Motors Corp. has remained on CreditWatch with positive implications, where they were placed Sept. 26, 2007. S&P placed the ratings on CreditWatch when GM and its main union, the United Auto Workers (UAW), reached a tentative new labor contract. The UAW has since approved that contract, and today GM discussed the contract's economics. S&P expects to resolve the CreditWatch listing by Oct. 31, 2007. "We view the new contract as favorable to GM compared with past agreements and believe the contract will support GM's turnaround plan in North America," said S&P's credit analyst Robert Schulz. S&P will resolve the GM CreditWatch listing first, but S&P will subsequently conduct similar reviews of Ford Motor Co. (B/Watch Pos/B-3) and Chrysler LLC (B/Watch Pos/--). Chrysler has reached an agreement with the UAW, and S&P expects Ford to reach one soon. Headquartered in Detroit, Michigan, General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- was founded in 1908. GM employs about 280,000 people around the world and manufactures cars and trucks in 33 countries, including the United Kingdom, Germany, France, Russia, Brazil and India. In 2006, nearly 9.1 million GM cars and trucks were sold globally under the following brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn and Vauxhall. GM's OnStar subsidiary is the industry leader in vehicle safety, security and information services. TATA MOTORS: To Consider July-Sept. 2006 Results on Oct. 31 ----------------------------------------------------------- Tata Motors Limited's board of directors will hold a meeting on Oct. 31, 2007, to consider, inter alia, the company's audited results for the half year and second quarter ended Sept. 30, 2007, a company release disclosed. In the quarter ended June 30, 2007, Tata Motors reported a net profit of INR466.76 crore, a 22% increase compared to the same quarter in 2006. India's largest automobile company, 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. Tata Motors has operations in Russia, and the United Kingdom. * * * Standard & Poor's Ratings Services, on July 13, 2007, assigned its 'BB+' issue rating to the proposed US$490 million zero- coupon convertible bonds of India's Tata Motors Ltd. (BB+/Stable/--). The bonds represent a direct, unsecured and unsubordinated obligation of the company. Proceeds from the bonds will be used for capital expenditure, overseas investments, acquisitions, and other general corporate purposes. Moody's Investors Service, on July 26, 2005, gave Tata Motors 'Ba1' long-term corporate family and senior unsecured debt ratings. TATA STEEL: To Proceed with Chhattisgarh Project Despite Delays --------------------------------------------------------------- Tata Steel Limited is determined to proceed with its project in Chhattisgarh notwithstanding the delays in acquiring land for the plant. Tata Steel signed a memorandum of understanding with the Chhattisgarh government in June 2005 to build a five-million- tonne-per-year steel plant in the state, Indo-Asian News Service relates. According to IANS, the state government failed to complete the land takeover process for over 2,000 hectares required project. The plan to build the US$2.5-billion plant met local protests with more than 1,700 landowners refusing to give up. Some media reports even suggested that the company may back out of the planned investment, Reuters says. "Despite delays in land acquisition, there is no question of going back. Tata Steel remains committed to set up the plant in Chhattisgarh," IANS quotes Varun Jha, Tata Steel vice-president for the Chhattisgarh project, as saying. Headquartered in Mumbai, India, Tata Steel Limited -- http://www.tatasteel.com/-- manufactures steel, and ferro alloys and minerals. Tata Steel's products are targeted at the auto sector and construction industry. With wire manufacturing facilities in India, Sri Lanka and Thailand, the company plans to emerge as a major global player in the wire business. In April 2007, the company completed the acquisition of Corus Group plc. Corus' main steelmaking operations are located in the United Kingdom and the Netherlands with other plants located in Germany, France, Norway and Belgium. Corus produces carbon steel by the basic oxygen steelmaking method at three integrated steelworks in the United Kingdom at Port Talbot, Scunthorpe and Teesside, and at one in the Netherlands at IJmuiden. As reported in the Troubled Company Reporter-Asia Pacific, Standard & Poor's Ratings Services, on July 10, 2007, lowered its corporate credit rating on Tata Steel to 'BB' from 'BBB.' The outlook is positive. The rating is removed from CreditWatch, where it was placed on Oct. 18, 2006, with negative implications after its announcement on acquiring Corus Group PLC (Corus, BB-/Stable/--). Moody's Investors Service, on Sept. 18, 2007, affirmed the Ba1 corporate family rating of Tata Steel Ltd, and changed the outlook to negative from stable. UTSTARCOM INC: To Supply Optical Transport Solution to India ------------------------------------------------------------ UTStarcom Inc. has entered into a contract to supply its Metro Ethernet Forum-certified NetRing(TM) 10000i STM-64 optical transport solution to Bharat Sanchar Nigam Ltd., the incumbent and largest telecommunications operator in India with services in the fixed-line, cellular mobile, long-distance and data markets. "BSNL plans to rollout more than six million DSL lines over the next several years while increasing their wireless subscriber base by approximately 25 million people," said Vijay Yadav, managing director of South Asia operations at UTStarcom. "This staggering growth is indicative of the rapidly expanding India market, one of the fastest-growing telecommunications markets globally and a key market for UTStarcom. Our high-capacity, versatile NetRing solution will enable BSNL to cost effectively augment their nationwide backbone to efficiently support the significant growth of the broadband and wireless subscriber base in India." This contract represents the third deployment of UTStarcom solutions in BSNL's nationwide ADSL 2+ network as the operator has already deployed UTStarcom's iAN-8000 and Total Control 1000 multiservice access solutions. About Bharat Sanchar Nigam Bharat Sanchar Nigam Ltd. -- http://www.bsnl.co.in-- a Government of India owned corporation, is the incumbent and largest telecommunications services provider in India with a pan-India footprint but for Delhi and Mumbai. It has a network of over 60 million subscribers covering 5000 towns with over 35 million telephone connections. The corporation is an integrated telecommunications service provider with presence in the fixed line, cellular mobile, long distance and data segments with over 35 million fixed line, 24 million cellular mobile and 3.9 million internet subscribers including 0.9 million broadband customers. About UTStarcom, Inc. Headquartered in Alameda, Calif., UTStarcom Inc. (Nasdaq: UTSI) -- http://www.utstar.com/-- provides IP-based, end-to-end networking solutions and international service and support. The company sells its broadband, wireless, and handset solutions to operators in both emerging and established telecommunications markets around the world. The company maintains operations in France, Italy, Spain, China, India, Japan, Argentina and Brazil. * * * As reported on Jan. 18, 2007, noteholders of UTStarcom Inc.'s 7/8% convertible subordinated notes due 2008 agreed to the proposed amendments of certain provisions of the indenture pursuant to which the notes were issued and a waiver of rights to pursue remedies available under the indenture with respect to certain default. Under the terms of the indenture, during the period beginning Jan. 9, 2007 and ending 5:30 p.m., May 31, 2007, any failure by the company to comply with certain provisions will not result in a default or an event of default, and the Notes will accrue an additional 6.75% per annum in special interest from and after Jan. 9, 2007 to the maturity date of the Notes, unless the Notes are earlier repurchased or converted. ================= I N D O N E S I A ================= AVNET INC: Gets QMI's ISO 14001:2004 Certification -------------------------------------------------- Avnet, Inc's environmental management system has been certified to ISO 14001:2004 by QMI, an accredited quality systems registrar for the International Organization for Standardization. The formal certification reflects Avnet's commitment to implement, maintain and improve its environmental management system, which includes processes such as recycling, reduction of energy consumption, and the proper handling and disposal of hazardous chemicals. Created by the ISO, 14001:2004 is a globally recognized environmental management system standard that specifies a process for controlling and improving a company's environmental performance. An internationally recognized standard, ISO 14001:2004 assesses organizations for quality procedures in their regulation of environmental management systems, including environmental impacts, regulatory and legal compliance, and continued environmental improvement. "Government and industry regulations have increased the awareness of green issues, especially in the technology industry," said Jim Smith, president of Avnet Logistics. "Many of our customers are requiring proof that Avnet's processes meet their international green procurement requirements. With ISO 14001:2004 registration, Avnet further demonstrates its ongoing dedication to environmental compliance and continuous pursuit of operational excellence." Valid for three years, certification applies to Avnet's operations in the Americas, including its Chandler, Ariz., Phoenix, Ariz., and Grapevine, Tex. logistics facilities. Avnet's global logistics requirements are supported by Avnet Logistics, which provides its customers with supply chain consulting services and integrated solutions, including planning, warehousing, electronic product modification services and transportation management. About Avnet Inc Headquartered in Phoenix, Arizona, Avnet, Inc. -- http://www.avnet.com/-- distributes electronic components and computer products, primarily for industrial customers. It has operations in the following countries: Australia, Belgium, China, Germany, Hong Kong, India, Indonesia, Italy, Japan, Malaysia, New Zealand, Philippines, Singapore, and Sweden, Brazil, Mexico and Puerto Rico. * * * The Troubled Company Reporter on March 6, 2007, reported that Moody's Investors Service affirmed the Ba1 corporate family and long-term debt ratings of Avnet, Inc. and revised the outlook to positive from stable. BERLIAN LAJU: To Buy Chembulk Tankers LLC for US$850 Million ------------------------------------------------------------ PT Berlian Laju Tanker Tbk has agreed to buy Chembulk Tankers LLC for US$850 million, Dow Jones reports. According to the report, with the additional 16 tankers from Chembulk, Berlian Laju will raise its capacity to 820,600 dead weight tons and the size of its fleet to 54 ships. The purchase of Chembulk will be funded by cash and loans from several banks, and will be immediately accretive to the company's earnings, the report relates. Dow Jones notes that the purchase will still need the approval of shareholders at an extraordinary meeting to be set by the company. PT Berlian Laju Tanker Tbk is the largest Indonesian shipping company, focusing on liquid bulk cargo, with operations primarily in Asia with some expansion into the Middle East and Europe. In 2006, BLT achieved revenue of US$335 million, EBITDA of US$154 million and net income of US$107 million. The founder, Hadi Surya, has a 48.7% beneficial interest in BLT. The Troubled Company Reporter-Asia Pacific reported on Oct 17, 2007, that Standard & Poor's Ratings Services lowered its ratings on PT Berlian Laju Tanker Tbk to 'B+' from 'BB-' and placed them on CreditWatch with negative implications. At the same time, Standard & Poor's lowered the issue ratings on US$400 million senior unsecured notes due 2014 and on a US$125 million five-year convertible bond due 2012, issued earlier this year by BL TFinance B.V., a wholly owned subsidiary of BLT, were also lowered to 'B+' from 'BB-' and placed on CreditWatch with negative implications. BLT guarantees both issues; BLT's covered subsidiaries also guarantee the senior notes. On Oct 16, 2007, Fitch Ratings has placed PT Berlian Laju Tanker Tbk's Long-term foreign and local currency Issuer Default Ratings of 'BB-' on Rating Watch Negative, following the company's disclosure on October 14, 2007, that it plans to acquire Chembulk LLC, a Marshall Islands-registered chemical tanker company, for US$850 million. Fitch has also placed the 'BB-' rating of the US$400m senior unsecured notes due 2014 issued by BLT Finance B.V. and guaranteed by BLT on RWN. BEARINGPOINT INC: Taps Rick Martino as Executive VP of Global HR ---------------------------------------------------------------- BearingPoint Inc. has appointed Rick Martino as executive vice president of Global Human Resources. Mr. Martino has more than 25 years of experience leading and transforming Human Resources programs. Mr. Martino joins BearingPoint from the March of Dimes Foundation, a not-for- profit organization dedicated to improving maternal health and preventing birth defects, where for the past seven years, he led all aspects of human resources, payroll and purchasing. He managed the successful redesign of the organization's compensation plan, performance management system, benefits, employee orientation and human resources operations, as well as reduced overall employee attrition and significantly enhanced the organization's training and development programs. Prior to the March of Dimes, Mr. Martino spent 18 years in a variety of human resources positions at IBM. Most recently, as vice president of Global Talent, he was responsible for IBM's global staffing, learning and development, diversity, human resources information technology, global mobility and knowledge management strategy. "Rick brings extensive global experience and perspective in human resources to BearingPoint," said Ed Harbach, BearingPoint's president and chief operating officer. "We are committed to being a world-class employer and Rick will help us not only maintain that status, but continue our path toward excellence in every aspect of human resources." Mr. Martino graduated from American University with a Bachelor of Science degree in Economics and Political Science, and later earned a Master's in Business Administration from Cornell University's Johnson Graduate School of Management. About BearingPoint Headquartered in McLean, Virginia, BearingPoint Inc., (NYSE: BE) -- http://www.BearingPoint.com/-- provides of management and technology consulting services to Global 2000 companies and government organizations in 60 countries worldwide. The firm has approximately 17,500 employees, and major practice areas focusing on the Public Services, Financial Services and Commercial Services markets. BearingPoint has global locations including in Indonesia, Australia, Austria, China, India, Japan, Mexico, Portugal, Singapore and Thailand. The company reported total assets of US$1.9 billion, total liabilities of US$2.1 billion, and total stockholders deficit of US$177.3 million as of Dec. 31, 2006. NORTEL NETWORKS: Agrees to Pay US$35MM Penalty in SEC Settlement ---------------------------------------------------------------- Nortel Networks Corp. disclosed Monday that it and its principal operating subsidiary, Nortel Networks Limited, reached a settlement on all issues with the United States Securities and Exchange Commission in connection with the SEC's investigation of certain prior accounting practices at Nortel. To bring closure to the matter, Nortel agreed to pay a civil penalty ofUS$35 million and consented to injunctions against it from violations of certain provisions of federal securities laws. Further, Nortel will provide to the SEC quarterly written reports detailing its progress in implementing its remediation plan and actions to address its outstanding material weakness in internal controls. This is the latest in a series of check points in Nortel's turn around, including settlement with the Ontario Securities Commission, the resolution of the shareholder class actions and remediation of four of the previous five material weaknesses, that enable the company to focus on the future. "We are pleased that we have reached final resolution in this matter. The settlement recognizes the extensive and proactive efforts made by Nortel's Board and senior management to identify and address the accounting and internal control issues and conduct that led to the investigation," said Nortel president and chief executive officer Mike Zafirovski. "Through hard work, a dedication to excellence and an unwavering commitment to serving our customers, Nortel is recreating a great technology company which upholds the highest ethical standards and sound business practices. This is a new Nortel." The SEC recognized that Nortel's Audit Committee, on its own initiative, conducted extensive internal independent investigations and self-reported to the SEC and other regulators, and that the Audit Committee and senior management fully cooperated during the investigation and took prompt and meaningful action to correct the issues and restore the company to sound governance and financial practices. Some of the actions undertaken by Nortel include: the appointment of a new team of senior leaders with a proven track record of integrity and business leadership; extensive efforts to significantly improve financial processes and controls; a restructured ethics policy; and the establishment of a new code of conduct. About Nortel Networks Headquartered in Ontario, Canada, Nortel Networks Corporation (NYSE/TSX: NT) -- http://www.nortel.com/-- delivers next- generation technologies, for both service provider and enterprise networks, support multimedia and business-critical applications. Nortel's technologies are designed to help eliminate barriers to efficiency, speed and performance by simplifying networks and connecting people to the information they need, when they need it. Nortel does business in more than 150 countries around the world including Indonesia, the United Kingdom, Denmark, Russia, Norway, Australia, Brazil, China, Singapore, among others. Nortel Networks Limited is the principal direct operating subsidiary of Nortel Networks Corporation. * * * Nortel Networks Corp. still carries Moody's Investors Service 'B3' Senior Unsecured Debt rating which was placed on March 22, 2007. ========= J A P A N ========= ASAHI MUTUAL: JCR Affirms BB+ Sr. Debt Rating w/ Stable Outlook --------------------------------------------------------------- Japan Credit Rating Agency, Ltd., has affirmed its BB+/Stable ratings on both senior debts and ability to pay insurance claims of Asahi Mutual Life Insurance Company. Asahi Mutual Life retains top-class attach rate for the products and ratio of surrender and lapse to policies in force. These ratios have been improving. Retention rate of sales persons has been increasing. As indicated by these improving figures, its efforts have paid off steadily. Although Asahi Mutual Life's profitability remains poor relative to peers due to the heavy burden of negative spread, the Company will be able to record a good enough earnings level in the future, supported by expansion in earnings from the so-called 3rd sector insurance such as healthcare and nursing care insurance, which is expected to cover drop in insurance with death benefit, and the improved negative spread as well. Its retained earnings have been accumulating steadily. However, there is room for improvement in both quality and quantity of capital. Asahi Mutual Life owes its increase in capital much to the unrealized gains on investment equity securities. With the current level of earnings power, it will take time for the Company to increase capital adequacy significantly. Headquartered in Osaka, Japan, Hitachi Zosen Corporation -- http://www.hitachizosen.co.jp-- develops, manufactures, sells and maintains machinery and systems. The company has five business segments. The Environment and Plant segment offers refuse incineration plants, industrial waste treatment plants, biomass energy systems, water and sludge treatment plants and others. The Ship and Sea segment is involved in the building, improvement and repair of ships, and the creation of ocean structures. The Steel, Construction and Logistics segment offers bridges, hydraulic gates, steel chimneys, water pressure pipes, offshore engineering, disaster prevention systems, and others. The Machinery and Motors segment includes steel-making machinery, food machines, medical equipment, power generators and internal combustion engines. The Others segment is involved in electronic and control systems, package software, information systems and other businesses. DAIEI INC: First Half Operating Profit Down 79.7% YoY ----------------------------------------------------- Daiei Inc. said that its consolidated operating profit in the March-August fiscal first half fell 79.7% from the previous year's JPY5.2 million, reports Jiji Press. According to Jiji Press, operating revenue dropped 10.7% to JPY600.4 million, while recurring profit was down 92.9% to JPY1.4 million. Consolidated profit, conveys Jiji Press, shot up 3.4-fold to JPY46.0 million, thanks to special profits from the sale of part of its equity stakes in OMC Card and supermarket affiliate Maruetsu Inc. On a parent-only basis, Kobe-based Daiei posted a dwindling 5.9% operating revenue of JPY417.3 million for the first half year- on-year. Operating profit rose JPY1.0 million, or 18.5%, due to cuts in sales administration costs, notes Jiji Press. Parent- only sales went down 4% on a same-store basis. Sales for foods dropped 4.2%, 16.1% for clothing and other personal items, and 11.0% for household products. The report says that the poor result came as sales at existing outlets fell because of a series of store closures, fierce competition, and the sluggish performance of some group companies, such as OMC Card Inc. About Daiei Inc. Headquartered in Kobe, Japan, Daiei Incorporated -- http://www.daiei.co.jp/-- operates about 3,000 stores through its subsidiaries and franchisees. Its retail businesses include supermarkets, discount stores, department stores, and specialty shops. Other businesses include restaurants, hotels, and real estate services. Domestic sales make up more than 90% of its revenues. Daiei diversified haphazardly during the 1980s loading up on debt and failing to keep up with new, more efficient competitors. Daiei, with the support of the Industrial Rehabilitation Corporation of Japan, has decided to close 54 stores nationwide, including subsidiaries, as part of its new business reconstruction plan. Daiei has been rehabilitated under the auspices of the Industrial Revitalization Corp. of Japan after accumulating huge debts during the bubble economy of the late 1980s. With the IRCJ's help since late 2004, Daiei's finances have started to show a recovery as it has shut down unprofitable stores and sold subsidiaries. As reported in the Troubled Company Reporter-Asia Pacific on Aug. 18, 2006, Marubeni Corporation assumed the leading role in Daiei's turnaround efforts by acquiring the entire 33.67% stake held by the IRCJ in Daiei. Marubeni now holds a 44.6% stake in the company. A subsequent TCR-AP report on Sept. 1, 2006, stated that Marubeni is keen on selling part of its 44.6% holding in Daiei. However, in order for prospect buyers to accept Marubeni's proposal, Daiei's liabilities must be trimmed to an acceptable level. Daiei, as a result, cut its group interest-bearing liabilities to about JPY400 billion as of the end of February 2006 from more than JPY1 trillion a year earlier. According to The Japan Times, Aeon Company, the nation's biggest supermarket chain, was picked in 2006 to set up a business alliance to rehabilitate Daiei. DELPHI CORP: To Sell Interiors & Closures Business for US$106MM --------------------------------------------------------------- Delphi Corporation has entered into a master sale and purchase agreement with a wholly owned subsidiary of The Renco Group, Inc. for the sale of its global Interiors and Closures business. The agreement has been approved by Delphi's Board of Directors. The agreement contemplates a global divestiture of Delphi's Interiors and Closures Businesses for a purchase price of US$106,000,000, which is comprised of the preliminary purchase price of approximately US$80,000,000, subject to certain adjustments, and the Post-Closing Payments of approximately US$26,000,000. Pursuant to the procedures outlined in the Bankruptcy Code, Delphi filed a motion with the U.S. Bankruptcy Court for the Southern District of New York to request a bidding procedures hearing on October 25, 2007. Following the completion of the bidding procedure process, a final sale hearing is anticipated to be set for January 8, 2008. The final sale of Delphi's Interiors and Closures business is subject to the approval of the U.S. Bankruptcy Court and other constituencies in the U.S. and abroad. As outlined in the court filing, the master sale and purchase agreement involves the entire global Interiors and Closures business line, including: book of business, manufacturing operations, intellectual property, personnel, supplier contracts and share of joint ventures. Delphi's Interiors and Closures business operates manufacturing facilities in: -- Gadsden, Alabama -- Cottondale, Alabama -- North Kansas City, Missouri -- Orion, Michigan -- Adrian, Michigan -- Woerth, Germany -- Matamoros, Mexico -- SDADS Joint Venture (Shanghai, China) -- KDS Joint Venture (Daegu, Korea) -- Other contracted manufacturing locations About Delphi Headquartered in Troy, Mich., Delphi Corporation (OTC: DPHIQ) -- http://www.delphi.com/-- is the single supplier of vehicle electronics, transportation components, integrated systems and modules, and other electronic technology. The company's technology and products are present in more than 75 million vehicles on the road worldwide. Delphi has regional headquarters in Japan, Brazil and France. The company filed for chapter 11 protection on Oct. 8, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-44481). John Wm. Butler Jr., Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, represent the Debtors in their restructuring efforts. Robert J. Rosenberg, Esq., Mitchell A. Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP, represents the Official Committee of Unsecured Creditors. As of Mar. 31, 2007, the Debtors' balance sheet showed US$11,446,000,000 in total assets and US$23,851,000,000 in total debts. The Debtors' exclusive plan-filing period expires on Dec. 31, 2007. On Sept. 6, 2007, the Debtors filed their Chapter 11 Plan of Reorganization and a Disclosure Statement explaining that Plan. (Delphi Bankruptcy News, Issue No. 88 Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) HITACHI ZOSEN: Spends JPY10 Billion to Double Production -------------------------------------------------------- Hitachi Zosen Corporation said it will invest JPY10 billion to double its production of diesel engines for ships in the midst of booming demand for maritime transportation, Jiji Press reports. The report states that the Osaka-based heavy machinery maker plans to lift its annual output of diesel engines for ships to 120-130 units by fiscal 2012. The company, according to the article, aims to boost engine sales to JPY70 billion from JPY30 billion. According to Jiji Presss, this move comes as global volume in shipbuilding has been growing to record levels in recent years. Meanwhile, Hitachi Zosen's subsidiaries, Hitachi Zosen Diesel & Engineering Co., and IMEX Co., will spend JPY9 billion to build a new assembly plant and beef up its existing plant and JPY1 billion to reinforce its engine test-run facility respectively, Jiji Press relates. About Hitachi Zosen Headquartered in Osaka, Japan, Hitachi Zosen Corporation -- http://www.hitachizosen.co.jp-- develops, manufactures, sells and maintains machinery and systems. The company has five business segments. The Environment and Plant segment offers refuse incineration plants, industrial waste treatment plants, biomass energy systems, water and sludge treatment plants and others. The Ship and Sea segment is involved in the building, improvement and repair of ships, and the creation of ocean structures. The Steel, Construction and Logistics segment offers bridges, hydraulic gates, steel chimneys, water pressure pipes, offshore engineering, disaster prevention systems, and others. The Machinery and Motors segment includes steel-making machinery, food machines, medical equipment, power generators and internal combustion engines. The Others segment is involved in electronic and control systems, package software, information systems and other businesses. As reported in the Troubled Company Reporter-Asia Pacific on May 31, 2007, Rating and Investment Inc. has upgraded the BB- issuer rating of Hitachi Zosen Corporation from negative to a stable outlook. KOBE STEEL: Revises Forecast for Year Ending March 2008 ------------------------------------------------------- Kobe Steel, Ltd., announces that it has revised its forecast for fiscal 2007, ending March 2008, from the previous forecast made on July 31, 2007, when it announced its first-quarter financial results. Net sales, is now estimated to be at JPY2.2 billion, or a 3.4% increase from JPY2.1 billion. Operating income is forecasted to reach JPY195 billion, a 6.6% increase from what was primarily estimated. Net income, is projected to reach JPY90 billion, up 5.9% or JPY5 billion from JPY85 billion. Forecast for fiscal 2007 The new forecast announced for the half year ended September 30, 2007 anticipates consolidated net sales of JPY1.0 billion, an increase from the previous forecast. In the Iron and Steel segment, steel prices rose on the back of firm demand, and in the Construction Machinery segment sales volume of construction equipment went up owing to the continued strong market. Operating income for the first half of fiscal 2007 is forecast to rise to JPY95 billion, with ordinary income of JPY75 billion and net income of JPY44 billion. Profits are expected to increase due to improved steel prices and higher sales volume of construction machinery. In addition, the Machinery segment benefited from cost reductions mainly in the engineering field. In the second half of the fiscal year, the slowdown in the U.S. economy; the higher supply capacity of Chinese manufacturers, which affects the market; and other trends are factors of concern. However, the demand environment covering Kobe Steel's businesses is anticipated to continue being firm both in Japan and overseas. As a result, consolidated net sales for fiscal 2007 are forecast to be JPY2.2 billion, an increase from the previous forecast. Operating income is anticipated to increase to JPY195 billion and ordinary income is to increase to JPY150 billion, with net income to rise to JPY90 billion. Nonconsolidated net sales for the first half of fiscal 2007 are forecast to reach JPY626 billion, in comparison to the previous forecast. Operating income is forecast to increase to JPY52 billion and ordinary income is to rise to JPY49 billion. Net income is anticipated to be JPY25 billion. For the full fiscal year, nonconsolidated sales are anticipated to rise to JPY1.3 billion with operating income increasing to JPY105 billion. Ordinary income is to go up to JPY85 billion and net income is forecast to grow to JPY47 billion. About Kobe Steel Headquartered at Chuo-ku, Kobe, in Hyogo, Japan, Kobe Steel, Limited -- http://www.kobelco.co.jp/english/corp/index.html-- is one of Japan's leading steel makers, as well as the top supplier of aluminum and copper products. Other businesses include welding consumables, urban infrastructure and plant engineering services, and industrial machinery. Kobe Steel has offices in New York, Singapore, Bangkok and Beijing. As the Troubled Company Reporter-Asia Pacific reported on May 31, 2006, Fitch Ratings has upgraded the long-term foreign and local currency Issuer Default Ratings of Japanese steel- maker Kobe Steel to BB+ from BB. At the same time, the agency affirmed Kobelco's short-term IDR at B. The outlook on the ratings is positive. XEROX CORP: Bags US$82-Million Contract with EUROPART ----------------------------------------------------- Xerox Corporation won a seven-year, US$82 million document management contract with EUROPART, Europe's leading commercial vehicle parts distributor. Xerox Global Services will manage the German company's office and production print services, invoice processing and customer service centers. Xerox began the relationship by conducting a thorough assessment of the company's document-intensive work processes. The study found that, in Germany alone, EUROPART employees print and process more than 8 million pages a year from more than 600 printers, scanners and fax machines made and serviced by several manufacturers. Xerox will reduce the total number of devices by nearly two-thirds to 232 networked multifunction systems, boosting productivity and efficiency. Ongoing service and maintenance contracts will be consolidated to reduce costs. In addition, Xerox Global Services will manage EUROPART's customer service center, which receives more than 72,000 incoming calls from 20 different countries each year. By outsourcing this service, previously managed entirely at its German location, EUROPART will offer more personalized and regionalized customer communication in 17 languages. "Our work with EUROPART is a sterling example of how Xerox can tackle enterprise-wide challenges and transform business processes," said Stephen Cronin, president, Xerox Global Services. "We look at how our customers do business, and then find ways to help them work smarter, not harder. Our work with EUROPART supports this strategy." About EUROPART EUROPART is Europe's leading commercial vehicle parts distributor with sales of EUR281 million. The company employs more than 1,300 at its headquarters in Hagen, Germany, and further locations in Germany and abroad. With nearly 90 sales outlets in more than 20 countries, EUROPART customers consist of more than 80,000 workshops, haulage contractors, and local authorities. About Xerox Corp. Headquartered in Stamford, Connecticut, Xerox Corp. -- http://www.xerox.com/-- develops, manufactures, markets, services and finances a range of document equipment, software, solutions and services. Xerox operates in over 160 countries worldwide and distributes products in the Western Hemisphere through divisions, wholly owned subsidiaries and third-party distributors. The company maintains operations in France, Japan, Italy, Nicaragua, among others. * * * As reported in the Troubled Company Reporter on May 23, 2007, Standard & Poor's Ratings Services revised its rating outlook on Stamford, Connecticut-based Xerox Corp. to positive from stable. Ratings on the company, including the 'BB+' long-term and 'B-1' short-term corporate credit ratings, were affirmed. ========= K O R E A ========= CHOROKBAEM MEDIA: Ties Up With Chungang University -------------------------------------------------- Chorokbaem Media Co., Ltd. has signed a memorandum of understanding with Performing Arts & Film. Video of Chungang University, Reuters reports. According to the report, this company move is for Chorokbaem and the University, to have industry-academic cooperation. Seoul, Korea-based Chorokbaem Media Co., Ltd. is a manufacturer engaged in the provision of non-woven fabrics. The company provides non-woven fabrics used in normal and special filters, artificial and synthetic leathers and other related usages. In addition, the company operates family restaurants. Korea Investors Service gave the company's unregistered US$8 million convertible bonds a 'B' rating on Feb. 16, 2007. COREBRID INC: Enters Business Partnership With CTMC --------------------------------------------------- CoreBrid Inc. has signed a letter with CTMC to form a business partnership, Reuters reports. According to the report, CoreBrid and CTMC will cooperate with each other to carry out generator and electric motor related manufacturing business. Seoul-based CoreBrid Inc. previously known as Curon Inc. -- http://www.curon.co.kr-- is engaged in the provision of diaphragms, vaporizers and Video On Demand servers. The company provides three main products: diaphragms and vaporizers, which are used in gas meters, speakers, automobiles, medical applications, heavy machinery, industrial valves and pumps; VOD servers such as StreamXpert, which supply High Definition Television (HDTV) multimedia content; and Telematics, which are used in entertainment, games, digital multimedia players, traffic information, satellites, digital versatile discs, TVs and radios. Korea Ratings gave Curon Inc.'s US$10 million convertible bond a B- rating with a stable outlook on February 22, 2007. REMY WORLDWIDE: Court Sets Plan Confirmation Hearing for Nov. 20 ---------------------------------------------------------------- The Honorable Kevin J. Carey will hold a hearing on Nov. 20, 2007, at 3:30 p.m. to consider the adequacy of the Debtors' Solicitation and Disclosure Statement and the Prepetition Solicitation Procedures, and to confirm the Prepackaged Plan of Reorganization. Objections, if any, must be filed by Nov. 9, 2007. Judge Carey directed the United States Trustee not to convene Section 341 meeting prior to Nov. 7, 2007. The Court will consider on that day the Debtors' request for the U.S. Trustee not to convene a 341 meeting if the Plan is confirmed within 90 days from the Petition Date. Based in Anderson, Indiana, Remy Worldwide Holdings Inc. acts as a holding company of all the outstanding capital stock of Remy International Inc. Remy International --http://www.remyinc.com/ -- manufactures, remanufactures and distributes Delco Remy brand heavy-duty systems and Remy brand starters and alternators, locomotive products and hybrid power technology. The company also provides a worldwide components core-exchange service for automobiles, light trucks, medium and heavy-duty trucks and other heavy-duty, off-road and industrial applications. Remy has operations in the United Kingdom, Mexico and Korea, among others. The company and its debtor-affiliates filed for Chapter 11 protection on Oct. 8, 2007 (Bankr. D. Del. Cases No. 07-11481 to 07-11509). Douglas P. Bartner, Esq., Fredric Sosnick, Esq., and Michael H. Torkin, Esq., at Shearman & Sterling LLP, represent the Debtors' in their restructuring efforts. Pauline K. Morgan, Esq., Edmon L. Morton, Esq., and Kenneth J. Enos, Esq., at Young Conaway Stargatt & Taylor, LLP, serve as co-counsels to the Debtors. The Debtors' claims agent is Kurtzman Carson Consultants LLC and their restructuring advisor is AlixPartners, LLC. At Sept. 30, 2006, Remy Worldwide's balance sheet showed total assets of US$919,736,000 and total liabilities of US$1,265,648,000. (Remy Bankruptcy News; Issue No. 2, Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000). REMY WORLDWIDE: Wants Court to Approve CVC Settlement Agreement --------------------------------------------------------------- Remy Worldwide Holdings, Inc., and its debtor-affiliates ask authority from the U.S. Bankruptcy Court for the District of Delaware to assume a Settlement, Support, Forbearance and Release Agreement, dated as of June 15, 2007, with Court Square Capital Limited, a subsidiary of Citigroup Inc., and certain holders of Remy securities to protect against the possible loss of tax benefits related to the Debtors' net operating loss carryovers. Court Square agreed, among others, to: 1. certain limitations on its ability to effectuate stock transfers and take a worthless stock deduction with respect to the shares of RWHI's equity interests it holds; and 2. compromise amounts owed to it under a December 2002 Advisory Agreement with the Debtors. The parties exchanged mutual releases under the CVC Settlement Agreement. Remy also agreed to pay Court SquareUS$4,000,000 in cash on the effective date of Remy's prepackaged plan of reorganization and to assume the CVC Settlement Agreement promptly upon filing for bankruptcy. AboutUS$1,750,000 of the Settlement Payment will be paid to Court Square Advisor, LLC, andUS$2,250,000 will go to Citicorp Venture Capital Equity Partners L.P. If Court Square does not receive the payment by June 15, 2008, the payment will begin to accrue interest at 20% per annum as of that date, until paid in full. Court Square and the Noteholders also agreed to support the Debtors' Plan. Court Square acquired Delco Remy International, Inc., in March 2001 pursuant to a merger transaction. Court Square, through its affiliates, currently holds roughly 70% of RWHI Equity Interests. Court Square may terminate the CVC Settlement Agreement if, among other things, (i) the Plan is inconsistent with the terms of the Settlement Agreement, (ii) the Bankruptcy Court does not approve the assumption of the Agreement or (iii) if certain provisions of the deal are severed, disallowed, modified, amended, withdrawn, or deemed invalid or unenforceable. In the event of termination, Court Square could sell its RWHI equity securities or, if the Debtors not emerge from bankruptcy during the 2007 calendar year, claim a worthless stock deduction and cause an ownership change with respect to the company under Section 382 of the Tax Code prior to the Effective Date. An ownership change effectively would eliminate the Debtors' ability to use their existing NOLs to offset future income of Reorganized Remy.