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

                     A S I A   P A C I F I C

           Monday, December 17, 2007, Vol. 10, No. 249

                            Headlines

A U S T R A L I A

EMPEROR MINES: June 30 Balance Sheet Upside-Down by AU$59.6 Mil.
EMPEROR MINES: Reports Low Gold Output
HUNTER VALLEY: Joint Meeting Set for December 19
KENDLE INT'L: S&P Revises Outlook to Positive From Stable
SYDDECK PTY: To Declare Dividend Tomorrow

TEREX CORP: Acquires Majority Stake in India Joint Venture
UNWIRED GROUP: Reports Third Consecutive Annual Net Loss
UNWIRED GROUP: Seven Network Takes Over


C H I N A ,   H O N G  K O N G   &   T A I W A N

AU OPTRONICS: Sets Record Shipping 16.29 Million Small Panels
AU OPTRONICS: To Decide on LCD Factory Construction by Month-End
CHINA EASTERN: Singapore Air Deal Almost Done, Chairman Says
CITIC PACIFIC: Orders 17 Ships for US$889 Million
CMC MAGNETICS: Increases Investment in EMC Unit

COSMOS BANK: To Give More Benefits; Retain 85% of Employees
CUMMINS INC: Board Declares Two-for-One Common Stock Split
DANA CORP: Wants to Sell Cape Girardeau Property for $2.8MM
DANA CORP: Wants to Sell Statesville Property for $9.6 Million
FERRO CORP: Declares 14.5 Cents Per Share Quarterly Dividend

FERRO CORP: Adds Steps in Inorganic Specialties Restructuring
HAINAN AIRLINES: Will Buy Stake in Parent to Boost Capital
LIGHTEN ENTERPRISES: Court to Hear Wind-Up Proceedings Jan. 16
MAK SHING: Members Will Hold Final Meeting on Jan. 8
PETROLEOS DE VENEZUELA: Advancing Plans for NatGas Project Dev’t

QISDA CORP: Swaps Corporate Bonds for 5.9 Million Shares in AU
RITEK: Partners With Toshiba to Launch HD DVD Disks in Japan
TOP SYSTEM: Court to Hear Wind-Up Proceedings on January 16
WAH SZE: Court to Hear Wind-Up Proceedings on January 2
WYLIE INDUSTRIAL: Court to Hear Wind-Up Proceedings on Jan. 30

* Hong Kong Monetary Chief Says Banks May Face Subprime Losses
* Singapore Exchange and Taiwan Futures Exchange Sign MOU
* Shenzhen Stock Exchange Forms Disciplinary Committee


I N D I A

AXIS BANK: Fitch Upgrades Individual Rating to 'C' From 'C/D'
NAVISTAR INT'L: Military Unit Bags US$151.9-Million Contract
NCO GROUP: Signs Contract to Acquire Outsourcing Solutions
NCO GROUP: S&P Puts B+ Counterparty Credit Rating on Watch
TATA MOTORS: Ford to Name Tata as Preferred Bidder, Report Says

TECUMSEH PRODUCTS: Completes US$10-Mln Auto & Specialty Biz Sale


I N D O N E S I A

BANK DANAMON: Bank Internasional Shareholder Wants Merger
BANK INTERNASIONAL: Shareholder Wants Merger With Bank Danamon
BANK MANDIRI: Targets 200 Customers for New Deposit Account
HILTON HOTELS: Signs Management Agreement With Amplio
MERAPATI NUSANTARA: Gov't Plans to Divest 40% Company Stake

* Indonesia Buys Back IDR1.2 Trillion of Government Bonds
* Moody's Sees Stable Outlook for Indonesian Banks


J A P A N

BOSTON SCIENTIFIC: Celsion Buys Back 659,738 Shares
DELPHI CORP: Court Okays Equity Purchase & Commitment Agreement
DELPHI CORP: Court Sets Plan Confirmation Hearing on January 17
HMV GROUP: Oct. 27 Balance Sheet Upside-Down by GBP8.4 Million
XEROX CORP: Appoints Three Corporate Officers to Executive Roles


K O R E A

HYNIX SEMICONDUCTOR: Denies Talks With LG Group
MAGNA INT'L: Unit Makes Mini Sports Activity Vehicle for BMW


N E W  Z E A L A N D

CLEAR CHANNEL: Extends Merger Pact Termination Date to June 12
HAMMER AUCTIONS: Fixes Dec. 20 as Last Day to File Claims
HORIZON BLINDS: Fixes Dec. 20 as Last Day to File Claims


P H I L I P P I N E S

ATLAS CONSOLIDATED: Reports on Rehabilitation of Cebu Mine Site
EIB REALTY: SEC Approves Decrease in Authorized Capital Stock
EXPORT AND INDUSTRY: Taps Juan Carlos Abad as Makati Sales Head
GLOBE TELECOM: Lists 74,802 New Common Shares in Local Bourse
LAND O'LAKES: S&P Upgrades Corporate Credit Rating to BB

MANILA ELECTRIC: ERC to Check Latest Hike in Generation Charges
METROPOLITAN BANK: Ready to Seek Other Remedies on Back Tax Case
PHIL LONG DISTANCE: Teams Up With British Telecom on All-IP Move
PHIL LONG DISTANCE: Set to Hit PHP35-Bil. Income Target for 2007
PHIL LONG DISTANCE: Lists 9,241 New Shares in Local Bourse

PHIL TELEGRAPH: Postpones Stockholders' Meeting to July 31
SAN MIGUEL: To Pay Cash Dividend at PH0.35 Per Share on Jan. 21


S I N G A P O R E

CGMSMB LTD: Requires Creditors to File Proofs of Debt by Jan. 7
CKE RESTAURANTS: Earns US$6.2 Million in Third Quarter 2007
HNTD PTE: Creditors' Proofs of Debt Due by January 14
LEVI STRAUSS: Taps T. Gary Rogers as Board Chairman


T H A I L A N D

ARVINMERITOR INC: Signs Deal to Acquire Mascot Truck
TMB BANK: May Not Pay Interest to Hybrid Debt Holders, BoT Says
TRUE CORP: Charoen Pokphand Offers BITCO Shares for Sale

     - - - - - - - -

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

EMPEROR MINES: June 30 Balance Sheet Upside-Down by AU$59.6 Mil.
----------------------------------------------------------------
Emperor Mines Limited reported a net loss of AU$237.05 million
for the year ended June 30, 2007, almost ten-fold its reported
net loss of AU$27.22 million for the year ended June 30, 2006.
The company's reported net loss for the year ended June 30,
2005, was AU$1.30 million.

As of June 30, 2007, the company reported a capital deficiency
of AU$59.56 million on total assets of AU$163.49 million and
total liabilities of AU$223.05 million.

The company produced gold from three separate operations during
fiscal 2007:

   * The Vatukoula Gold Mine in Fiji (100% owned) produced
     26,910 ounces until its closure on Dec. 5, 2006;

   * The Tolukuma Gold Mine in Papua New Guinea (100% owned),
     which produced 44,181 ounces; and

   * Emperor’s interest in the Porgera Joint Venture in PNG (20%
     owned), which realised 71,570 ounces until its sale on
     Apr. 1, 2007.

The company's annual report is available for free at:

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

Sydney, Australia-based Emperor Mines Limited --
http://www.emperor.com.au/-- is engaged in the exploration,  
development and mining of gold deposits.  The company
principally operates in Papua New Guinea, Fiji and Australia.


EMPEROR MINES: Reports Low Gold Output
--------------------------------------
Frequent power outages at the Emperor Mines Ltd.'s Tolukuma Gold
Mine have slashed gold production by 5%, down to 10,033 ounces
during the third quarter, from the 10,561 ounces produced in the
previous quarter, The National Newspaper reports.

Gold produced during the period was valued at US$944 per oz.,
the report adds.

The report relates that the company reported in its third
quarterly that production was impacted by power outages, which
in turn affected the mine's ability to maintain operations in
the mill and underground.  The company had absorbed increased
power generation and logistics costs due to low river levels
that reduced hydro power generation, prompting the use of diesel
generators at maximum capacity, the report continues.

Sydney, Australia-based Emperor Mines Limited --
http://www.emperor.com.au/-- is engaged in the exploration,  
development and mining of gold deposits.  The company
principally operates in Papua New Guinea, Fiji and Australia.

The company reported a net loss of AU$237.05 million for the
year ended June 30, 2007, almost ten-fold its reported net loss
of AU$27.22 million for the year ended June 30, 2006.
The company's reported net loss for the year ended June 30,
2005, was AU$1.30 million.  

As of June 30, 2007, the company reported a capital deficiency
of AU$59.56 million on total assets of AU$163.49 million and
total liabilities of AU$223.05 million.


HUNTER VALLEY: Joint Meeting Set for December 19
------------------------------------------------
A joint meeting will be held for the members and creditors of
Hunter Valley Gravel Supplies Pty Limited on December 19, 2007,
at 10:00 a.m.

At the meeting, the members and creditors will hear the
liquidator's report on the company's wind-up proceedings and
property disposal.

The company's liquidator is:

          Kenneth Whittingham
          BDO Kendalls (New South Wales)
          Level 19, 2 Market Street
          Sydney, New South Wales 2000
          Australia
          Telephone:(02) 9286 5555

                         About Hunter Valley

Hunter Valley Gravel Supplies Pty Ltd is a distributor of brick,
stone and related construction materials.  The company is
located at Denman, in New South Wales, Australia.


KENDLE INT'L: S&P Revises Outlook to Positive From Stable
---------------------------------------------------------
Standard & Poor's Rating Services has revised its outlook on
Kendle International Inc. to positive from stable.  S&P also
revised its issue rating on the company's amended US$53.5
million revolver to 'BB' with a recovery rating of '1',
indicating the expectation of very high (90%-100%) recovery of
principal in the event of default.  At the same time, S&P
affirmed all existing ratings, including its 'B+' corporate
credit rating, on the company.
     
The outlook revision reflects the company's progress integrating
the operations of Charles River Laboratories International phase
II-IV clinical research operations, which was acquired for about
US$236 million in August 2006.  In addition, the company has
generated free cash flow in excess of S&P's expectations since
the initial rating.  While free cash flow may be used to fund
selective acquisitions to expand the company's global reach in
the future, cushion exists in the financial risk profile to
absorb such transactions.
     
S&P's ratings on the company continue to reflect the company's
aggressive leverage, and the challenges of managing a rapidly
growing business.  These risks partly are offset by the
company's strong position in a fairly fragmented market and its
global presence.

Based in Cincinnati, Kendle International Inc. (Nasdaq: KNDL) --
http://www.kendle.com/-- is a global clinical research  
organization and provides Phase II-IV clinical development
services worldwide.  The company's global clinical development
business is focused on five regions: North America; Europe;
Asia/Pacific, including Australia; Africa; and Latin America,
including Brazil.


OYSA LIMITED: To Declare Dividend on December 19
------------------------------------------------
Oysa Limited, which is in liquidation, intends to declare a
dividend on December 19, 2007.

Creditors who were not able to file their proofs of debt by
December 4, 2007, will be excluded from the company's dividend
distribution.

The company's liquidator is:

          Richard Albarran
          Hall Chadwick
          31 Market Street, 29th Floor
          Sydney, New South Wales 2001
          Australia

                        About Oysa Limited

Oysa Limited is a distributor of fish and seafoods.  The company  
is located at Burton, in South Australia, Australia.


SYDDECK PTY: To Declare Dividend Tomorrow
-----------------------------------------
Syddeck Pty Limited will pay its first dividend on December 18,
2007.

Only creditors who were able to file their proofs of debt by
December 4, 2007, will be included in the company's dividend
distribution.

The company's deed administrator is:

          John Morgan
          PKF Chartered Accountants
          & Business Advisers
          Level 10, 1 Margaret Street
          Sydney, New South Wales 2000
          Australia

                        About Syddeck Pty

Syddeck Pty Limited, which is also trading as Hurlstone Park
Hire Cars, is involved with local passenger transportation.  The
company is located at Pyrmont, in New South Wales, Australia.


TEREX CORP: Acquires Majority Stake in India Joint Venture
----------------------------------------------------------
Terex Corporation has acquired a controlling share of its
ongoing joint venture, Terex Vectra Equipment, which builds
loader-backhoes, skid steer loaders and compaction rollers at a
facility occupying 36 acres in Greater Noida, Utter Pradesh,
India.  Terex now owns 70% of the venture, which began
operations in 2003.

"As India’s impressive and steady infrastructure development has
progressed, Terex Vectra has seen a significant increase in
sales, particularly in loader-backhoes, a large and rapidly
growing market in that country," said Robert Isaman, president,
Terex Construction.  "The acquisition of majority ownership of
Terex Vectra is a logical step in our strategy of expanding the
Terex market presence in India and we are encouraged by our
early successes.  The increased ownership also provides Terex
with control over operations and manufacturing, which will allow
us to accelerate our integration strategy and business systems
implementation."

Headquartered in Westport, Connecticut, Terex Corporation
(NYSE:TEX) - http://www.terex.com/-- manufactures a broad range  
of equipment for use in various industries, including the
construction, infrastructure, quarrying, surface mining,
shipping, transportation, refining, and utility industries.
Terex offers a complete line of financial products and services
to assist in the acquisition of Terex equipment through Terex
Financial Services.  The company operates in five business
segments: Aerial Work Platforms, Construction, Cranes, Materials
Processing & Mining, and Roadbuilding, Utility Products and
Other.  The company has operations in Australia, Brazil, China,
Japan, Germany, United Kingdom, among others.

                        *     *     *

In August 2007, Moody's placed the company's long-term corporate
family rating and probability of default rating at Ba2, bank
loan debt rating at Ba1, and senior subordinate rating at Ba3.
These ratings still hold to date.  Moody's said the outlook is
stable.

Standard & Poor's placed the company's long-term foreign and
local issuer credits at BB, which still hold to date.  S&P said
the rating's outlook is stable.


UNWIRED GROUP: Reports Third Consecutive Annual Net Loss
--------------------------------------------------------
Unwired Group Limited reported a net loss attributable to the
members of the company of AU$25.22 million for the year ended
June 30, 2007, lower than the AU$33.97 million reported a year
earlier.  The company reported a AU$42.21 million net loss for
the year ended June 30, 2005.

Unwired Group achieved strong revenue and subscriber growth in
the year ended June 30, 2007.  Operating revenue for
the year was AU$34.02 million, an increase of 38.00% from
AU$24.60 million a year before.

The company said that unaudited subscriber numbers increased by
30% from 53,405 to 69,592.

Sydney, Australia-based Unwired Group Limited --
http://www.unwired.com.au/-- is engaged in the wireless  
broadband market and provides wireless local loop broadband
service to residential, small and medium-sized enterprises and
home office markets in Sydney.


UNWIRED GROUP: Seven Network Takes Over
---------------------------------------
Seven Network Limited has succeeded in its AU$127-million
takeover of Unwired Group Limited, Australain IT reports.

The company said in a corporate disclosure to the Australian
Securities Exchange that Seven Network and its
subsidiaries, including Network Investment Holdings Pty. Ltd.,
now has 238,497,579 of the company's ordinary shares, or more
than the critical 90% shareholder acceptance level.  Seven
Network will be able to compulsorily acquire the remaining
shares it does not own.

The Australian IT relates that Seven Network launched its bid
for Unwired in Sept. 2007 in an effort to link together
companies and products in a digital service strategy.  The
Australian IT adds that the media group chose to extend its
deadline to Dec. 10 to allow remaining shareholders to accept
its offer, rather than immediately moving to compulsory
acquisition.

Sydney, Australia-based Unwired Group Limited --
http://www.unwired.com.au/-- is engaged in the wireless  
broadband market and provides wireless local loop broadband
service to residential, small and medium-sized enterprises and
home office markets in Sydney.

The company reported a net loss of AU$25.22 million for the year
ended June 30, 2007, lower than the AU$33.97 million reported a
year earlier.  It also reported a net loss of AU$42.21 million
for the year ended June 30, 2005.


================================================
C H I N A ,   H O N G  K O N G   &   T A I W A N
================================================


AU OPTRONICS: Sets Record Shipping 16.29 Million Small Panels
-------------------------------------------------------------
AU Optronics Corp. reported that preliminary consolidated
revenues in November total TWD53.438 billion and unconsolidated
revenues total TWD53.364 billion -- both slightly rose 0.6% from
the previous month.

On a year-over-year comparison, consolidated and unconsolidated
November 2007 revenues increased by 61% and 60.8%
respectively.

Shipments of large-sized panels used in desktop monitor,
notebook PC, LCD TV and other applications for November
presented a 0.3% sequential increase to 7.93 million units.
Shipments of small-and-medium-sized panels set a new record of
16.29 million units with a 5.1% sequential increase, and also
represented record-breaking shipments in second successive
months.  Large-size refers to panels that are 10 inches and
above in diagonal measurement while small- and medium-size
refers to those below 10 inches.

Taiwan-based AU Optronics Corp. -- http://www.auo.com/--  
designs, develops, manufactures, assembles and markets flat
panel displays.  The company's principal products are thin-film
transistor liquid crystal display (TFT-LCD) panels.

Au Optronics' long-term local and foreign currency issuer
default carries Fitch Ratings' BB rating.


AU OPTRONICS: To Decide on LCD Factory Construction by Month-End
----------------------------------------------------------------
AU Optronics Corp. will decide by the end of the month whether
it would build a more-advanced LCD factory, a company
spokeswoman told Tim Culpan at Bloomberg News, The China Post
reported.

According to Bloomberg, a daily Chinese-language financial
newspaper in Taiwan earlier reported the company will begin
installing equipment for a so-called 8.5-generation LCD factory
as early as September next year, The China Post related.  The
Commercial Times cited an unidentified equipment supplier as its
source.  An 8.5-generation plant would be able to handle larger
sizes of glass used in displays for TVs than its current
factories, Bloomberg's Mr. Culpan reports, noting that AU
Optronics is currently operating a 7.5-generation plant in
Taichung, central Taiwan.  

AU Optronics' board is scheduled to meet next week.  Details of
the agenda of that meeting were not disclosed.

Taiwan-based AU Optronics Corp. -- http://www.auo.com/--   
designs, develops, manufactures, assembles and markets flat
panel displays.  The company's principal products are thin-film
transistor liquid crystal display (TFT-LCD) panels.

AU Optronics' long-term local and foreign currency issuer
default carries Fitch Ratings' BB rating.


CHINA EASTERN: Singapore Air Deal Almost Done, Chairman Says
------------------------------------------------------------
China Eastern Airlines Chairman Li Fenghua told reporters at a
news conference that his company's "long-awaited strategic
cooperation" with Singapore Airlines is almost a done deal,
China Daily reports.

Mr. Li said it was next to impossible that the deal would be
blocked by Air China's parent company, a shareholder in China
Eastern, according to China Daily.  The agreement is up for
approval at the extraordinary general meeting on January 8.

According to China Daily, Air China was rumored to block the
deal after its parent, Cathay Pacific, spent HK$32 million to
increase its stake in China Eastern a couple of weeks ago.  
Cathay tried but failed to acquire China Eastern earlier in
September.

China Daily notes that the strategic deal between China Eastern,
Singapore Airlines and the Singapore state investment agency
Temasek has been in the making for more than two years.

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

On April 28, 2006, Fitch Ratings downgraded China Eastern's
foreign currency and local currency issuer default ratings to B+
from BB-.  The outlook on the IDRs is stable.

Xinhua Far East China Ratings gave the company a BB+ issuer
credit rating.


CITIC PACIFIC: Orders 17 Ships for US$889 Million
-------------------------------------------------
China Knowledge reported that CITIC Pacific has ordered 17 ships
for US$889 million for its iron ore and coal delivery:

   -- 12 vessels of 115,000 deadweight tons; and
   -- 5 vessels of 57,000 deadweight tons.

The Troubled Company Reporter-Asia Pacific on Nov. 8, 2007,
reported, citing The Age, that CITIC Pacific Ltd inked a deal to
acquire Korean Steel, which holds the rights to develop a
1-billion tonne magnetite iron ore project in the Pilbara region
of Western Australia.  CITIC Pacific's total investment will
reportedly exceed US$200 million.  

Based in Hong Kong, CITIC Pacific Ltd --
http://www.citicpacific.com/-- is engaged in a range of      
businesses in China and Hong Kong, including steel
manufacturing, property development and investment, power
generation, aviation, infrastructure, communications and
distribution.  It is 29% indirectly owned by China International
Trust & Investment Corporation.

On June 28, 2006, The Troubled Company Reporter-Asia Pacific
reported that Standard & Poor's Ratings Services lowered its
long-term corporate credit rating on CITIC Pacific Ltd to BB+
from BBB-.  At the same time, it removed the rating from
CreditWatch, where it had been placed with negative implications
on April 7, 2006.  The outlook is stable.

In addition, the TCR-AP reported that Moody's Investors Service
on June 16, 2006, assigned a Ba1 corporate family rating to
CITIC Pacific Ltd and has withdrawn its Baa3 issuer rating.  The
senior unsecured rating for CITIC Pacific Finance (2001) Ltd's
bond is downgraded to Ba1 from Baa3.  The rating outlook is
stable.  This concludes the review initiated by the rating
agency in April 2006.


CMC MAGNETICS: Increases Investment in EMC Unit
-----------------------------------------------
CMC Magnetics Corporation will increase an investment of
US$54,110,000 by acquiring 10,822 shares in its subsidiary, EMC
Investment Holding Ltd., Reuters Key Developments reports.

In addition, EMC Investment Holding Ltd. will invest
THB1,831,000 in Jet-Thai Hi-Tech Co., Ltd. as well as an
additional US$510,000 in a Nantong-based materials technology
company, which is engaged in manufacturing and developing of
alloy materials and vacuum sputtering target materials, Reuters
adds.

Headquartered in Taipei, Taiwan, CMC Magnetics Corporation --
http://www.cmcdisc.com/-- is engaged in the manufacture and  
sale of media storage devices and opto-electrical products.  The
Company distributes its products within the domestic market and
to overseas markets, including the Americas, Europe and rest of
Asia.

The Troubled Company Reporter - Asia Pacific reported that on
Jan. 11, 2007, Moody's Investors Service changed to stable from
negative the outlook for both CMC Magnetics Corporation's B1
corporate family rating and its Ba2.tw national scale issuer
rating.


COSMOS BANK: To Give More Benefits; Retain 85% of Employees
-----------------------------------------------------------
Cosmos Bank Taiwan has reached an agreement with its labor union
to protect employees' interests ahead of the projected takeover
by foreign investors led by SAC Private Capital Group LLC and GE
Money, Taiwan Times relates.

Cosmos labor union head Fang Yao-chun says that the agreement
showed the greatest sincerity by Cosmos' management,
SAC and GE, the Times relates.

The report explains that under the agreement, Cosmos will
provide additional benefits, including a performance bonus for
2007 and an early retirement plan, for employees and will
establish a committee to manage personnel issues.  It will also
protect existing salaries and benefits and guarantee at least an
85% employee retention rate, the report adds.

Cosmos spokesman and vice president Shih Kung-liang clarifies
that the agreement is subject to ratification by all union
members, but the deal will smooth the lender's recapitalization
plan, the report relates.

Headquartered in Taipei, Taiwan, Cosmos Bank, Taiwan --
http://www.cosmosbank.com.tw/-- provides financial services for  
individuals and small and medium-sized enterprises in Taiwan.

The Troubled Company Reporter – Asia Pacific reported on
Sept. 4, 2007 that Cosmos Bank inked a memorandum of
understanding with SAC Private Capital Group LLC and General
Electric Co., wherein SAC Capital and GE will pay a combined
US$900 million for a majority stake in the bank.  The report
adds that  Susan Chang, spokesperson of the Financial
Supervisory Commission, said that Cosmos will sell the stake at
TWD2.00 (US$0.06) per share, representing a 63% discount from
its August 31-close trading price of TWD5.47.

As of December 5, 2007, about 93.8% of the lender's bondholders
had agreed to change their debt holdings into equities in Cosmos
as part of the recapitalization plan.


CUMMINS INC: Board Declares Two-for-One Common Stock Split
----------------------------------------------------------
Cummins Inc.'s Board of Directors has declared a two-for-one
split of the company's common stock, payable Jan. 2 to
shareholders of record as of Dec. 21, 2007.  This is the
company's second stock split in 2007, following a two-for-one
split in April.

As a result of the stock split, each Cummins' shareholder will
receive one additional share of stock for each share owned on
the record date.  Since there will be twice as many shares after
the split, each share will be worth half of what it was worth
immediately prior to the split.  The overall value of a
stockholder's investment remains the same.

The total amount of cash dividend payments with respect to the
shares will remain unchanged as a result of the split, but the
dividend will be proportionately adjusted to half the pre-split
amount on a per-share basis.

"2007 has been one of the best years in Cummins' history,
reflecting our diversified portfolio of businesses and our
growing market share around the world," said Tim Solso, Cummins
Chairman and Chief Executive Officer.  "This second stock split
in 2007 is yet another sign of our confidence in the Company's
operating performance and its ability to grow profitably in the
future."

The Board also authorized the Company to repurchase another
US$500 million in shares of Cummins stock.  Over the last 25
months, the company has repurchased approximately six million
shares at a total cost of US$500 million.

"We are sharing our growing value with shareholders, not just
through our share price appreciation, which has shown a compound
annual growth rate of approximately 50 percent over the last
four years, but also through our stock repurchase plans and
sustainable and growing dividends," Mr. Solso said.

Year-to-date Cummins stock price has more than doubled.  The
company's dividend has increased nearly 67 percent since the
summer of 2006.

Cummins had approximately 102 million shares of common stock
outstanding as of Sept. 30, 2007.  Upon completion of the split,
the Company will have approximately 204 million shares of common
stock outstanding.

                        About Cummins

Headquartered in Columbus, Indiana, Cummins Inc. (NYSE: CMI)
-- http://www.cummins.com/-- designs, manufactures, distributes  
and services engines and related technologies, including fuel
systems, controls, air handling, filtration, emission solutions
and electrical power generation systems.

Cummins has Latin-American operations, particularly in
Venezuela, Brazil, Peru, Colombia, and Argentina.  Its
operations in the Asia-Pacific are found in China, Japan and
Korea.  Its also has facilities in Europe, particularly in the
United Kingdom.

                          *     *     *

Cummins' Junior Convertible Subordinated Debentures carry
Fitch's 'BB' rating with a stable outlook.

Moody's Investors Service raised Cummins' convertible preferred
stock rating to Ba1 from Ba2 and withdrew the company's SGL-1
Speculative Grade Liquidity rating and its Ba1 Corporate Family
Rating.


DANA CORP: Wants to Sell Cape Girardeau Property for $2.8MM
-----------------------------------------------------------
Dana Corp. and its debtor-affiliates ask authority from the U.S.
Bankruptcy Court for the Southern District of New York to sell a
15-acre parcel of land and a 150,000-square foot building
located at 2075 Corporate Circle in Cape Girardeau, Missouri, to
Schaefer's Power Panels, Inc., for $2,841,750.  

The Debtors currently use the property for manufacturing, and
they are in the process of closing the manufacturing operations,
Corinne Ball, Esq., at Jones Day, in New York relates.

In accordance with an Asset Purchase Agreement, Schaefer will
bear the cost of the title commitment, inspection and any survey
and the other half of Dana Corp.'s escrow and closing fees.  At
closing, the Debtors will pay all real estate taxes and
installments of assessments that are due and payable as of the
closing date that are not prepetition taxes.  

The Debtors will have the right to occupy the property until
Jan. 31, 2008 under a rent free leaseback where they will be
responsible for all utility and custodial services and any
repair liabilities up to $5,000 in aggregate.  

Furthermore, the Debtors propose to pay broker commissions of
$107,061 to Signature Associates and $128,475 to Lorimont Place,
Ltd.  The Debtors represent that Signature served as a primary
broker on the proposed sale, and Lorimont worked with Signature
as a cooperating broker.  Thus, the Debtors seek the Court's
authority to pay Lorimont's commission.

                           About Dana

Headquartered in Toledo, Ohio, Dana Corporation --
http://www.dana.com/-- designs and manufactures products    
for every major vehicle producer in the world, and supplies
drivetrain, chassis, structural, and engine technologies to
those companies.  Dana employs 46,000 people in 28 countries.  
Dana is focused on being an essential partner to automotive,
commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.

Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.

The company and its affiliates filed for chapter 11 protection
on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
Aug. 31, 2007, the Debtors listed US$6,878,000,000 in total
assets and $7,551,000,000 in total debts resulting in a total
shareholders' deficit of $673,000,000.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represents the Official Committee of Unsecured Creditors.  
Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel
to the Official Committee of Equity Security Holders.  Stahl
Cowen Crowley, LLC serves as counsel to the Official Committee
of Non-Union Retirees.

The Debtors filed their Joint Plan of Reorganization on Aug. 31,
2007.  On Oct. 23, 2007, the Court approved the adequacy of the
Disclosure Statement explaining their Plan.  The Court has set
Dec. 10, 2007, to consider confirmation of the Plan.  (Dana
Corporation Bankruptcy News, Issue No. 65; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).  


DANA CORP: Wants to Sell Statesville Property for $9.6 Million
--------------------------------------------------------------
Dana Corp. and its debtor-affiliates seek authority from the
U.S. Bankruptcy Court for the Southern District of New York to
sell a 96-acre parcel of real estate located at 1293 Glenway
Drive in Statesville, North Carolina, including all personal
property, furnishings, fixtures and equipment, to Doosan
Infracore America Corporation for $9.6 million.

Corinne Ball, Esq., at Jones Day, in New York relates that the
Debtors have closed the manufacturing operations located in the
property.

At closing, the Debtors will pay all real estate taxes and
installments of assessments that are due and payable as of the
closing that are not prepetition taxes.  Doosan will pay all
prepetition taxes and will be entitled to credit those against
the purchase price.

Pursuant to the Asset Purchase Agreement, the Debtors propose to
pay broker commissions of $360,000 to Signature Associates and
$200,000 to Binswanger Corporation and Stiles and Company.  
Binswanger worked with Signature to represent the Debtors on the
proposed sale while Stiles represented Doosan.

The Debtors will assume and assign to Doosan the existing phone
system lease related to the Statesville property with LaSalle
Systems Leasing, Inc. at the closing of the proposed sale.  

                           About Dana

Headquartered in Toledo, Ohio, Dana Corporation --
http://www.dana.com/-- designs and manufactures products    
for every major vehicle producer in the world, and supplies
drivetrain, chassis, structural, and engine technologies to
those companies.  Dana employs 46,000 people in 28 countries.  
Dana is focused on being an essential partner to automotive,
commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.

Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.

The company and its affiliates filed for chapter 11 protection
on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
Aug. 31, 2007, the Debtors listed US$6,878,000,000 in total
assets and $7,551,000,000 in total debts resulting in a total
shareholders' deficit of $673,000,000.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represents the Official Committee of Unsecured Creditors.  
Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel
to the Official Committee of Equity Security Holders.  Stahl
Cowen Crowley, LLC serves as counsel to the Official Committee
of Non-Union Retirees.

The Debtors filed their Joint Plan of Reorganization on Aug. 31,
2007.  On Oct. 23, 2007, the Court approved the adequacy of the
Disclosure Statement explaining their Plan.  The Court has set
Dec. 10, 2007, to consider confirmation of the Plan.  (Dana
Corporation Bankruptcy News, Issue No. 65; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).  


FERRO CORP: Declares 14.5 Cents Per Share Quarterly Dividend
------------------------------------------------------------
Ferro Corporation's Board of Directors has declared a regular
quarterly dividend of 14.5 cents per share of common stock.  The
dividend is payable on March 10, 2008, to shareholders of record
on Feb. 15, 2008.

Headquartered in Cleveland, Ohio, Ferro Corporation (NYSE: FOE)
-- http://www.ferro.com/-- is a global producer of an array of  
specialty chemicals including coatings, enamels, pigments,
plastic compounds, and specialty chemicals for use in industries
ranging from construction, pharmaceuticals and
telecommunications.  Ferro operates through the following five
primary business segments: Performance Coatings, Electronic
Materials, Color and Performance Glass Materials, Polymer
Additives, and Specialty Plastics.  Revenues were USUS$2 billion
for the FYE ended Dec. 31, 2006.

Ferro Corp. has global locations in Argentina, Australia,
Belgium, Brazil, China, among others.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 16, 2007, Moody's Investors Service assigned a B1 corporate
family rating to Ferro Corporation.  Moody's also assigned a B1
rating to the company's USUS$200 million senior secured notes
(issued as unsecured notes in 2001) due in January 2009 and an
SGL-3 speculative grade liquidity rating.


FERRO CORP: Adds Steps in Inorganic Specialties Restructuring
-------------------------------------------------------------
Ferro Corporation has initiated additional steps in the
restructuring of its worldwide Inorganic Specialties Group.  As
a result of this restructuring and the reduction of
approximately 50 employee positions, the company expects to
record a pre-tax charge for employee severance and pension costs
of approximately US$1.6 million in the fourth quarter ended
Dec. 31, 2007, and the Company may record additional charges in
future periods. These charges are in addition to those included
in the fourth quarter earnings estimates that the Company
announced on Nov. 9.

In addition to the charges announced today, Ferro estimates it
may record future severance and pension costs of approximately
US$2.3 million through the third quarter of 2008 related to
these actions, and potential further reductions of employee
positions.  A final decision to proceed with actions related to
any additional charges will be made after the Company has
completed required consultations with employee representatives
at the affected sites.

These restructuring actions are part of Ferro’s ongoing effort
to reduce costs in its Inorganics manufacturing operations,
including the reduction of annual manufacturing costs in Europe
by US$40 million to US$50 million by the end of 2009.

Headquartered in Cleveland, Ohio, Ferro Corporation (NYSE: FOE)
-- http://www.ferro.com/-- is a global producer of an array of  
specialty chemicals including coatings, enamels, pigments,
plastic compounds, and specialty chemicals for use in industries
ranging from construction, pharmaceuticals and
telecommunications.  Ferro operates through the following five
primary business segments: Performance Coatings, Electronic
Materials, Color and Performance Glass Materials, Polymer
Additives, and Specialty Plastics.  Revenues were USUS$2 billion
for the FYE ended Dec. 31, 2006.

Ferro Corp. has global locations in Argentina, Australia,
Belgium, Brazil, China, among others.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
May 16, 2007, Moody's Investors Service assigned a B1 corporate
family rating to Ferro Corporation.  Moody's also assigned a B1
rating to the company's USUS$200 million senior secured notes
(issued as unsecured notes in 2001) due in January 2009 and an
SGL-3 speculative grade liquidity rating.


HAINAN AIRLINES: Will Buy Stake in Parent to Boost Capital
----------------------------------------------------------
China Knowledge reports that Hainan Airlines Co. will buy shares
of China Merchants Securities Co. from its parent to boost its
capital.

HNA Group, Hainan Airlines' parent, will sell 29.77 million
shares of CMSC to Hainan Airlines at approximately RMB20 apiece,
which accounts for 0.92% of the total shares, according to the
report.

China Knowledge relates the price might be adjusted if CMSC
successfully list in domestic stock exchange within a year.

The report adds that Hainan Airlines will be acquiring 284
million, or 39.14% of the total shares of Hebei International
Trust & Investment Co. from HNA Hotels & Resorts Holding
Company, an HNA subsidiary, at RMB2.92 each.

These acquisitions will cost a total of nearly RMB1.42 billion
based on current price, China Knowledge says.

Based in Haikou, Hainan Province, the People's Republic of
China, Hainan Airlines Co., Ltd. -- http://www.hnair.com/-- is  
an airline company that operates nearly 500 domestic routes in
more than 80 major cities.  It also provides scheduled and non-
scheduled international flights from Hainan Province to
Southeast Asia and other Asian countries.

Xinhua Far East China Ratings gave the company a CC issuer
credit rating on October 31, 2005.


LIGHTEN ENTERPRISES: Court to Hear Wind-Up Proceedings Jan. 16
--------------------------------------------------------------
On November 8, 2007, United Commercial Bank filed a petition to
have Lighten Enterprises Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 16, 2008, to hear a petition to wind up the operations   
Lighten Enterprises.

The petitioners' solicitor can be reached at:

          Wilkinson & Grist
          6th Floor, Prince's Building
          10 Charter Road, Hong Kong


MAK SHING: Members Will Hold Final Meeting on Jan. 8
-----------------------------------------------------
The members of Mak Shing Yue Tong Commemorative Association
Limited will hold their final general meeting on January 8,
2008, at 4:00 p.m., to hear the liquidator's report on the
company's wind-up proceedings and property disposal.

The meeting will be held at 1904 Hong Kong Club Building, 3A
Charter Road, Central Hong Kong.


PETROLEOS DE VENEZUELA: Advancing Plans for NatGas Project Dev’t
----------------------------------------------------------------
Venezuelan state-run oil company Petroleos de Venezuela SA's
Latin American integrated product development managing director
David Voght told Business News Americas that the firm is
advancing with plans for the development of natural gas
liquefaction projects in the country.

Petroleos de Venezuela started initial liquefied natural gas
marketing efforts, BNamericas relates, citing Mr. Voght.  The
firm signed an accord with a European organization giving
Venezuela access to a regasification plant and an initial market
of 200 million cubic feet per day.  An additional agreement was
also signed with the organization to give it the option to take
an equity position in the liquefied natural gas plant to be
built in Venezuela.

Mr. Voght commented to BNamericas, "While discussions are
ongoing and not immune to delays, it is important a political
decision seems to have been taken to develop LNG [liquefied
natural gas].  LNG is a real possibility for Venezuela.  The
country's offshore reserves can more than support a first LNG
train.  PDVSA [Petroleos de Venezuela] seems to have concluded
that half planned natural gas production from the reserves-rich
North Paria offshore area will be earmarked for export along
with production from the Plataforma Deltana offshore area."

BNamericas notes that liquefied natural gas "will face fierce
competition from domestic demand for natural gas."  Petroleos de
Venezuela's priority to boost extra-heavy oil recovery rates in
the Orinoco Belt will need big amounts of natural gas for steam
generation.

Mr. Voght told BNamericas, "Increased demand at both ends could
spur the need for further exploration and production, creating
more opportunity for PDVSA and potential foreign partners.  The
Venezuelan market is challenging and companies need to be smart,
consistent and tenacious if they expect to gain access.  We
believe companies willing to work with the government on its
terms and capable of negotiating their fundamental investment
requirements will have interesting options in the future.  
However, only investors with a specific goals and a willingness
to accept the country's complex political environment need
apply."

Petroleos de Venezuela SA -- http://www.pdv.com/-- is  
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

As reported on March 28, 2007, Standard & Poor's Ratings
Services assigned its 'BB-' senior unsecured long-term credit
rating to Petroleos de Venezuela S.A.'s US$2 billion notes due
2017, US$2 billion notes due 2027, and US$1 billion notes due
2037.


QISDA CORP: Swaps Corporate Bonds for 5.9 Million Shares in AU
--------------------------------------------------------------
Qisda Corporation has exchanged its unsecured exchangeable
corporate bonds for 5,891,764 shares of common stock in AU
Optronics Corp. at a price of TWD51.58 per share, Reuters Key
Developments reports.

Reuters adds that the total transaction value is approximately
TWD300 million.

Headquartered in Taiwan, Republic of China, Qisda Corp., fka
BenQ Corp., Inc. -- http://www.benq.com/-- is principally  
engaged in manufacturing developing and selling of computer
peripherals and telecommunication products.  It is also a major
provider of 3G handset, camera phones, and other products.

BenQ Mobile GmbH & Co., the company's German-based wholly owned
subsidiary, filed for insolvency in Munich on Sept. 29, 2006,
after BenQ Corp.'s board decided to discontinue capital
injection into the mobile unit in order to stem unsustainable
losses.  The collapse follows a year after Siemens sold the
company to Taiwanese technology group BenQ.

BenQ Mobile has lost market share against giant competitors.  A
Munich Court opened insolvency proceedings against BenQ Mobile
GmbH & Co OHG on Jan. 1 after Mr. Prager failed to secure a
buyer for the company by the Dec. 31, 2006 deadline.

                          *     *     *

The Troubled Company Reporter-Asia Pacific reported on Dec. 5,
2006, that Taiwan Ratings Corp., assigned its long-term twBB+
and short-term twB corporate credit ratings to BenQ Corp.

The outlook on the long-term rating is negative.  At the same
time, Taiwan Ratings assigned its twBB+ issue rating to BenQ's
existing NT$7.05 billion unsecured corporate bonds due in 2008,
2009, and 2010.

The ratings reflect BenQ's continuing operating losses from its
handset operations and high leverage, and the competitive nature
and low profitability of the LCD monitor industry.


RITEK: Partners With Toshiba to Launch HD DVD Disks in Japan
------------------------------------------------------------
Ritek Corp. says it will launch HD DVD-R and HD DVD-RW discs
under its own brand Ridata, while Toshiba will launch its new HD
DVD recorder in a joint sales promotion in the Japan market.

Following entry in the Japan market, Ritek says the company will
actively participate in the DVD Forum involving itself in
technological specification development and promotional events
and activities.

Headquartered in Hsinchu County, Taiwan, Ritek Corporation --
http://www.ritek.com/-- is engaged in the manufacture,  
processing and sale of optical products.  The company's major
products include electronic storage media products, such as
flash memory cards; information technology products;
optoelectronic components, such as indium tin oxide conductive
glasses, as well as optical discs and their peripherals.  The
company distributes its products in the domestic market and to
overseas markets, including the rest of Asia, the Americas and
Europe.

Ritek Corp. reported annual losses of TWD12.27 billion, TWD2.35
billion, TWD6.67 billion for the years ended Dec. 31, 2004
through 2006.


TOP SYSTEM: Court to Hear Wind-Up Proceedings on January 16
-----------------------------------------------------------
On November 12, 2007, Profit World Development filed a petition
to have Top System Investments  Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 16, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          K.Y.Lo & Co
          Units 3802-04, Cosco Tower
          183 Queen's Road Central, Hong Kong


WAH SZE: Court to Hear Wind-Up Proceedings on January 2
-------------------------------------------------------
On September 13, 2007, Master Capital International Limited
filed a petition to have Wah Sze International Limited's
operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 2, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Anthony So & Co
          Unit A, 9th Floor, Amtel Building
          144-148 Des Voeux Raod Central, Hong Kong


WYLIE INDUSTRIAL: Court to Hear Wind-Up Proceedings on Jan. 30
--------------------------------------------------------------
On November 27, 2007, Treasure Dragon Industrial Limited filed a
petition to have Wylie Industrial Limited's operations wound up.

The High Court of Hong Kong will convene at 9:30 a.m. on
January 30, 2008, to hear the petition.

The petitioners' solicitor can be reached at:

          Winnie P. H. Lun & Associates
          Suite 103, 1st Floor, beautiful Group Tower
          No. 77 Connaught Road, Central Hong Kong


* Hong Kong Monetary Chief Says Banks May Face Subprime Losses
--------------------------------------------------------------
Josephine Lau at Bloomberg News reports that Hong Kong Monetary
Authority Chief Executive Joseph Yam said Hong Kong banks may
face losses from the collapse of the U.S. subprime-mortgage
market.

Mr. Yam told reporters in Beijing that the subprime crisis is a
significant problem in the short-term and for individual banks.  
"We should be prepared to see profit drops or even losses at
banks.  The worst isn't over yet," Bloomberg quoted Mr. Yam.


* Singapore Exchange and Taiwan Futures Exchange Sign MOU
---------------------------------------------------------
Singapore Exchange Limited (SGX) and Taiwan Futures Exchange
(TAIFEX) have signed a Memorandum of Understanding (MOU) to
foster a closer relationship.

Under the MOU, both exchanges will develop a platform for
information exchange on the operational and regulatory framework
of their derivatives markets.

This MOU serves to enhance both exchanges’ objectives to develop
their financial markets.

Andy Yeh, Chairman, TAIFEX, said, "This agreement will open up
prospects for both exchanges to explore business opportunities
in Asia, leading to the further advancement of our derivatives
markets."

Hsieh Fu Hua, CEO, SGX added, “We welcome this MOU with TAIFEX,
which will benefit our respective markets.”

                  About Singapore Exchange Limited

Singapore Exchange Limited (SGX) -- http://www.sgx.com/-- is  
Asia-Pacific’s first demutualized and integrated securities and
derivatives exchange.

SGX was inaugurated on 1 December 1999, following the merger of
two established and well-respected financial institutions – the
Stock Exchange of Singapore (SES) and the Singapore
International Monetary Exchange (SIMEX).

On November 23, 2000, SGX became the first exchange in Asia-
Pacific to be listed via a public offer and a private placement.
Listed on its own bourse, the SGX stock is a component of
benchmark indices such as the MSCI Singapore Free Index and the
Straits Times Index.

                  About Taiwan Futures Exchange

TAIFEX currently offers 18 products, including stock index
futures, stock index options, equity options with 30 underlying
stocks, interest rate futures, and gold futures. The market is
easily accessed not just by domestic investors but also
international participants, who can use either direct or omnibus
accounts. Taifex also allows trading for non-hedging purposes,
and accepts US dollar for margin deposits. In addition to that,
TAIFEX introduced 5 new measures in 2007, which are SPAN
Margining System, Market Maker Program for Futures Products,
Futures Calendar Spread Trading, Futures Calendar Spread Margin
Reduction and Day Trading. These measures put TAIFEX further
align its practices with international standards.


* Shenzhen Stock Exchange Forms Disciplinary Committee
-------------------------------------------------------
The Shenzhen Stock Exchange has formed a disciplinary committee,
aiming to crack down on activities that breach regulations,
Xinhua reports.

According to an exchange official, 20 members of the committee
had been approved by the exchange general manager's office and
they are tasked to help safeguard the clean operation of the
stock exchange, Xinhua says.  A regulation of disciplines and
penalties had been finalized and would go into effect on Jan. 1
next year, the report adds.


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

AXIS BANK: Fitch Upgrades Individual Rating to 'C' From 'C/D'
-------------------------------------------------------------
Fitch Ratings on Dec. 14, 2007, upgraded Axis Bank Limited's
National Long-term rating to 'AAA(ind)' from 'AA+(ind)'.  At the
same time, the agency has upgraded ABL's Individual rating to
'C' from 'C/D' and Support rating to '3' from '4'.  The ratings
of ABL's debt programmes have also been upgraded, as follows:

   -- INR25 billion subordinated Lower Tier 2 debt programme to
      'AAA(ind)' from 'AA+(ind)'

   -- INR6.53bn subordinated Upper Tier 2 debt programme to
      'AA+(ind)' from 'AA(ind)'

   -- INR2.14bn perpetual Tier 1 debt programme to 'AA+(ind)'
      from 'AA(ind)'

The Outlook is Stable.

The upgrade of ABL's National Long-term and Individual ratings
reflects the bank's diversity of income streams (including
strong fee incomes), high proportion of stable 'current and
savings account' deposits and improved asset quality ratios
which are now amongst the best in the Indian banking system.  
The issuance of INR45.3bn equity in July 2007 makes ABL's
capital size comparable to that of the larger government banks
in India and should enable it to sustain its growth momentum, as
well as absorb any deterioration in asset quality that may
result from the increasingly challenging macro environment.  
Over the years, ABL has established a pan-India branch network
and an increasing share of banking system assets, resulting in
an upgrade of its Support rating.

ABL's business and risk management systems have benefited from
the use of technology.  Also, the growth in fee income
(including that from its retail banking activities and from its
corporate debt syndication business) has remained robust and its
fee income/total operating income ratio (H108: 32.2%, FY07:
30.2%) has remained significantly higher than the median ratio
for the system (12.3%).  The strong fee income supports ABL's
return on assets, which remained above-average (H108: 1.0%,
FY07: 1.1%, FY07 systemic median: 0.9%) in spite of the lower
net interest margin (NIM, FY07: 2.9%).  ABL's NIM has
historically been constrained by its higher proportion of rate
sensitive wholesale deposits.  While its NIM has shot up to 3.3%
for the quarter ended September 2007 due to the equity infusion
which enabled the bank to (temporarily) retire high cost term
deposits, the management expects a sustained improvement in
spreads due to the strengthening of the bank's retail term
deposit and CASA franchise.

Underpinned by a buoyant economy, ABL's loan portfolio expanded
rapidly and its size has more than tripled during the last three
years.  While credit growth may moderate somewhat due to the
rise in interest rates, especially in the consumer loan
business, the growth in the corporate loan portfolio is expected
to remain strong.  The rapid credit expansion has been
accompanied by improvements in risk management systems and the
bank's gross NPL ratio improved to 1.1% at H108 (which is among
the lowest for the system).  While some pressure on future asset
quality cannot be ruled out, ABL's ability to absorb these has
vastly improved following the recent equity infusion.  Thus,
while the bank's loan loss reserve coverage is low (H108: 42% of
gross NPLs), its net NPL/equity ratio (FY07: 8.2%, systemic
median: 9.7%) is expected to remain amongst the best in the
Indian banking system.

ABL was incorporated in 1994 as 'UTI Bank Limited'.  Since
permission to use the 'UTI' brand beyond January 2008 was
conditional on the bank agreeing to a "no-compete" clause with
UTI Asset Management Company (the bank plans to launch an equity
infrastructure fund and manage private equity funds), the bank
underwent a 're-branding' exercise and is now known as 'Axis
Bank Limited'.  Although ABL is promoted by government-owned
institutions, it has fostered the efficiencies of a private bank
and is one of the better mid-sized bank (total assets at H108:
INR835bn, ranked as the third largest private bank) in the
country.  Its physical infrastructure includes a network of 542
branches and 2500 ATMs.

A report on this entity will soon be available on
http://www.fitchratings.com

                          *     *      *

The bank's Foreign Long Term Bank Deposits carry Moody's
Investors Service's Ba2 rating, which was placed on July 1,
2005.


NAVISTAR INT'L: Military Unit Bags US$151.9-Million Contract
------------------------------------------------------------
Navistar International Corporation’s military affiliate,
International Military and Government LLC, has been awarded a
contract for US$151.9 million from U.S. Marine Corp. to provide
parts and support for MaxxPro(TM) Mine Resistant Ambush
Protected Vehicles.  This supplements previous parts and
components contract awards, now totaling nearly US$300 million.

The U.S. Marine Corps has ordered 2,971 MaxxPro MRAP vehicles to
date to be delivered by April 2008.  Overall, these vehicle,
parts and support contracts total more than US$1.8 billion.

"With our vehicles now in theater, Navistar’s global network
provides the U.S. armed forces with the essential support they
need to keep the MaxxPro MRAP mission ready," said Archie
Massicotte, president of International Military and Government,
LLC.

Navistar’s commercial scale brings the military unique
advantages in engineering, manufacturing and parts and service
support.  The company has nearly 1,000 dealership locations
worldwide, including facilities in 75 countries outside North
America, including Iraq and Afghanistan.

"We are bringing the total package to the military – vehicles,
parts and field support," said Tom Feifar, general manager,
Global Defense and Export, Navistar Parts.  "Our goal is to keep
these vehicles up and running so the troops can focus on their
mission.  It’s an honor to be a part of the effort to support
our troops."

Last year, Navistar built more than 160,000 trucks and school
buses and 560,000 diesel engines.

"We already have delivered more than 700 MaxxPro MRAP vehicles
and 60,000 parts pieces and components since receiving our first
contract at the end of May of this year.  We are on our way to
building 500 vehicles per month by February," concluded Mr.
Massicotte.

Based in Warrenville, Illinois, Navistar International Corp.
(NYSE:NAV) -- http://www.nav-international.com/-- is the parent  
company of Navistar Financial Corp. and International Truck and
Engine Corp.  The company produces International brand
commercial trucks, mid-range diesel engines and IC brand school
buses, Workhorse brand chassis for motor homes and step vans,
and is a private label designer and manufacturer of diesel
engines for the pickup truck, van and SUV market.  The company
also provides truck and diesel engine parts and service sold
under the International brand.  A wholly owned subsidiary offers
financing services.  The company has operations in Brazil,
Iceland and India.

                        *     *     *

As reported in the Troubled Company Reporter on Oct. 29, 2007,
Standard & Poor's Ratings Services said that its 'BB-' corporate
credit ratings on North American truck and diesel engine
producer Navistar International Corp. and subsidiary Navistar
Financial Corp. remain on CreditWatch with negative
implications, where they were placed on Jan. 17, 2006.


NCO GROUP: Signs Contract to Acquire Outsourcing Solutions
----------------------------------------------------------
NCO Group, Inc., has entered into a definitive agreement to
acquire Outsourcing Solutions Inc., a provider of business
process outsourcing services, specializing primarily in accounts
receivable management services, for US$325.0 million in cash.  
The deal, which is expected to close in the first quarter of
2008, is subject to Outsourcing Solutions stockholder approval,
certain adjustments and the satisfaction of customary closing
conditions including governmental approvals.

Commenting on the acquisition, NCO Chairperon and Chief
Executive Officer, Michael J. Barrist, stated, "All of us at NCO
are extremely excited about the opportunity to bring these two
great companies together.  Over the past several years both NCO
and OSI have had tremendous success in transforming our business
models to better meet the diverse needs of our respective client
bases.  While today each of these two companies is viewed as a
best in class provider, the newly combined entity will be able
to offer its clients the widest array of services currently
available in the accounts receivable and customer relationship
management industries."

Commenting on the acquisition, OSI President and Chief Executive
Officer, Kevin T. Keleghan, stated, "The transaction will blend
the complementary capabilities and skills from both
organizations resulting in enhanced client performance through
expanded, global delivery options. This combination will
establish an enriched culture of creativity, capable of meeting
and exceeding the growing needs of even the most sophisticated
client."

NCO Group is a portfolio company of One Equity Partners, a
private equity investment fund.  One Equity will provide the
company with a portion of the funding for the acquisition of
Outsourcing Solutions through an additional investment.  NCO
Group expects to fund the remainder of the purchase price with
borrowings under its senior credit facility.

The acquisition is currently expected to be accretive to NCO
Group's earnings in 2008 and beyond.  After the completion of
the acquisition, the combined company will have over 29,000
employees operating in 10 countries.

Headquartered in Horsham, Pennsylvania, NCO Group Inc. --
http://www.ncogroup.com/-- provides business process  
outsourcing services including accounts receivable management,
customer relationship management and other services.  NCO
provides services through over 100 offices in the United States,
Canada, the United Kingdom, Australia, India, the Philippines,
the Caribbean and Panama.


NCO GROUP: S&P Puts B+ Counterparty Credit Rating on Watch
----------------------------------------------------------
Standard & Poor's Ratings Services has placed its 'B+' long-term
counterparty credit rating on NCO Group Inc. on CreditWatch
Developing.

On Dec. 12, 2007, NCO Group entered into a definitive agreement
to acquire Outsourcing Solutions Inc. (not rated), a leading
provider of business process outsourcing services, for US$325
million in cash.  Funding will be provided by increased
borrowings under its senior credit facility and an additional
investment from One Equity Partners, NCO Group's private equity
owners.  S&P expects the deal to close in first-quarter 2008,
subject to OSI shareholder approval.
      
"We will review the strategic and financial implications of the
acquisition to determine if an adjustment to our rating on NCO
is necessary.  This CreditWatch listing will be updated within
60 days," said S&P's credit analyst Rian M. Pressman, CFA.

Headquartered in Horsham, Pennsylvania, NCO Group Inc. --
http://www.ncogroup.com/-- provides business process  
outsourcing services including accounts receivable management,
customer relationship management and other services.  NCO
provides services through over 100 offices in the United States,
Canada, the United Kingdom, Australia, India, the Philippines,
the Caribbean and Panama.


TATA MOTORS: Ford to Name Tata as Preferred Bidder, Report Says
---------------------------------------------------------------
Ford Motor Co. is set to name Tata Motors Ltd. as preferred
bidder for the Jaguar and Land Rover brands, Dominic O'Connell
of United Kingdom's The Sunday Times reports, citing sources
close to the negotiations.

As previously reported in the Troubled Company Reporter-Asia
Pacific, Tata Motors is in the race to buy the two Ford brands.  
Tata Motors made it to the list of final bidders along with
Mahindra & Mahindra in collaboration with buyout firm Apollo,
and One Equity Partners LLC.

According to Mr. O'Connell, his sources say Ford will make the
announcement in the next two weeks.  The Sunday Times reports
Tata is expected to dole out an estimated GBP1 billion.

American dealers of Jaguar recently, however, expressed
preference over U.S. firm's One Equity Partners for the
luxury car unit, The Wall Street Journal reported.  The choice
of U.S. dealers, the Journal relates, may have something to
do with Jacques Nasser, managing director of One Equity.  Mr.
Nasser was Ford's CEO from 1999 to 2001, who advocated the
investment on Ford's European luxury brands.

If Tata, who had the backing of the workers union of the two
brands, will be named to drive those brands, it will have to
negotiate a settlement with pension trustees and a side deal
with Ford over the continued supply of engines and other
components, The Times says.

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.


TECUMSEH PRODUCTS: Completes US$10-Mln Auto & Specialty Biz Sale
----------------------------------------------------------------
Tecumseh Products Company has completed the sale of its
automotive & specialty business operations, to be known as Von
Weise USA Inc., to an affiliate of Sun Capital Partners Inc.  
The purchase price was US$10 million cash.

The transaction included Tecumseh's facilities in Eaton Rapids,
Michigan; Nappanee, Indiana; Juarez, Mexico; and Cambridge,
Ontario.  

The automotive & specialty business, which operated under the
"Fasco" name prior to the sale of other divisions of the
Electrical Components business segment to Regal Beloit
Corporation, is conducting business as "Von Weise USA Inc." in
the U.S., "TPC Motores de Mexico, S. de R.L. de C.V." in Mexico,
and "Von Weise of Canada Company" in Canada, and will be doing
business henceforth under the Von Weise brand.

Rothschild Inc. served as financial advisor to Tecumseh.

                 About Sun Capital Partners Inc.

Sun Capital Partners Inc. is a private investment firm focused
on leveraged buyouts, equity, debt, and other investments in
companies that can benefit from its in-house operating
professionals and experience.  Sun Capital affiliates have
invested in and managed more than 170 companies worldwide since
Sun Capital's inception in 1995.  Sun Capital has offices in
Boca Raton, Los Angeles, and New York, and affiliates with
offices in London, Tokyo, and Shenzhen.

                About Tecumseh Products Company

Headquartered in Tecumseh, Michigan, Tecumseh Products Company
(Nasdaq: TECUA, TECUB) -- http://www.tecumseh.com/--  
manufactures hermetic compressors for air conditioning and
refrigeration products, gasoline engines and power train
components for lawn and garden applications, submersible pumps,
and small electric motors.  The company has offices in Italy,
United Kingdom, Brazil, France, and India.

In March of 2007, the company's Brazilian engine subsidiary,
TMT Motoco, was granted permission by the Brazilian courts to
pursue a judicial restructuring, similar to a U.S. filing for
Chapter 11 bankruptcy protection.  The TMT Motoco filing in
Brazil constituted an event of default with our domestic
lenders.  On April 9, 2007, the company obtained amendments to
its First and Second Lien Credit Agreements that cured the
cross-default provisions triggered by the filing in Brazil.


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

BANK DANAMON: Bank Internasional Shareholder Wants Merger
---------------------------------------------------------
PT Bank Internasional Indonesia Tbk's shareholder, Temasek
Holdings, plans to merge the bank with PT Bank Danamon Indonesia
Tbk, pending the approval from banking regulatory bodies,
various reports say.

According to Agence France-Presse, Temasek, through Fullerton
Financial Holdings Pte. Ltd, is the majority shareholder of
Sorak Consortium, which in turn holds 56.13% of Bank
Internasional shares.  Temasek recently increased its stake in  
Sorak Consortium, the report notes.

As reported by the Troubled Company Reporter-Asia Pacific on
Dec. 13, 2007, Temasek Holdings raised its stake in Bank
Internasional Indonesia as a result of its increased stake in
Sorak Financial Holdings Pte Ltd.  Temasek now holds a 75% stake
in Sorak Financial from 50.02% previously, the report added.

Temasek, AFP News relates, also owns 85% of Asia Financial
(Indonesia), which holds 68.87% of Bank Danamon.

According to the TCR-AP, Temasek Holdings is currently reviewing
different options to comply with the Single Presence Policy.  
Temasek spokeswoman Myrna Thomas said, "We intend to submit our
proposal to Bank Indonesia before the end of the  year in
accordance with SPP rules," the report noted.

Bank Internasional told the AFP News that "FFH's current
preferred option is to explore a merger between BII and Danamon
subject to further evaluation and clearance from the regulatory
bodies."

In a press release, Bank Danamon said its majority shareholder,
Fullerton Financial has submitted an ownership structure
adjustment plan in line with the Single Presence Policy to Bank
Indonesia.  The submission of the plan was made with the
acknowledgment of Bank Danamon's Board of Directors and Board of
Commissioners.

The highlights of the adjustment plan are:

   1. FFH is still in the midst of evaluating the options
      available under the Single Presence Regulation.

   2. Its current preferred option is to explore a merger
      between Bank Danamon and Bank International Indonesia,
      subject to further evaluation.

   3. For the purpose of said evaluation, FFH foresees the need
      to undertake due diligence on the above two banks to
      establish the merits of the merger.  In order to conduct
      the due diligence FFH would require clearance /approval
      from regulatory entities.  FFH will also need confirmation
      of the basis of taxation in the event that the merger is
      undertaken.
      In the event that the merits of the merger are not   
      sufficiently compelling, or a sale is more compelling, FFH
      may pursue a sale at anytime during the merger evaluation
      process.  A sale will result in FFH being the controlling
      shareholder of Danamon only.

   4. The shareholder also indicated that assuming conducive
      conditions, the receipt of such necessary approvals, the
      shareholder should be able to complete the implementation  
      of the selected option for ownership structure adjustment
      before the deadline of end of December 2010 as set out in
      the Single Presence Regulation.

Ms. Thomas told the AFP News that "We remain open at all times
to maintain, increase or reduce our holdings, depending on
opportunities and market conditions."

AFP News relates that BII President Henry Ho said the bank's
management "will further develop an action plan accordingly in
due time.  Meanwhile, we will continue to conduct business as
usual."

                  About Bank Internasional

PT Bank Internasional Indonesia Tbk -- http://www.bii.co.id/--      
engages in general banking services and in other banking
activities based on Syariah principles.  The bank's services are
divided into three categories: Personal Services, consisting of
Funding, Credit Card Services, Loan, Reksadana and
Bancassurance; Corporate Services, consisting of Funding, Credit
Card Services, Loan and Investment Banking, and Platinum
Services, consisting of Platinum Access, Syariah Platinum Access
and Platinum MasterCard.  The bank is headquartered in Jakarta,
Indonesia.

With a total customer deposit base of more than IDR34 trillion
and over IDR47 trillion in assets, Bank Internasional is one of
the largest banks in Indonesia with an international network
that comprises over 230 branches and 700 ATMs across Indonesia,
as well as a banking presence in Mauritius, Mumbai and the
Cayman Islands.

The Troubled Company Reporter-Asia Pacific reported on  
October 19, 2007, that Moody's Investors Service raised the  
foreign currency long-term debt and foreign currency long-term  
deposit ratings of PT Bank Internasional Indonesia Tbk.

   -- The issuer/foreign currency subordinated debt ratings were  
      raised to Ba2/Ba2 from Ba3/Ba3 and foreign currency long-
      term deposit rating to B1 from B2

   -- The Not Prime foreign currency short-term deposit rating,  
      Baa3 global local currency deposit rating and D BFSR were  
      unaffected.  

On Aug. 15, 2007, that Fitch Ratings affirmed all the ratings of  
Bank Internasional as follows:

   * Long term foreign currency IDR at 'BB-' with a Positive
     Outlook,

   * Short term foreign currency IDR at 'B',

   * Individual Rating 'C/D',

   * Support Rating '4', Support Rating Floor 'B' and

   * National Rating 'AA-(idn)'.

                     About Bank Danamon

Headquartered in Jakarta, Indonesia, PT Bank Danamon Indonesia
Tbk provides a range of products and services, including
Consumer Banking, Small to Medium-Sized Enterprise and
Commercial, Trade Finance, Treasury Product, Cash Management,
Other Services, Financial Planning and e-Banking.  Danamon
Syariah is the Bank's business unit that provides its customers
with syariah banking products and services.  The bank also
operates Danamon Simpan Pinjam, which caters to micro banking
customers.  DSP is divided into two groups: DSP to serve and
help enterprises in micro and small-scale banking, and DSP for
individual customers with fixed income.  Bank Danamon is
supported by 86 domestic branch offices, 325 domestic supporting
branch offices, 25 domestic cash office, 739 supporting branches
for DSP, six personal banking branch offices, 10 syariah branch
offices and one overseas branch.

The Troubled Company Reporter-Asia Pacific reported on Oct. 19,
2007, that Moody's Investors Service raised the foreign currency
long-term debt and foreign currency long-term deposit ratings of
PT Bank Danamon Indonesia Tbk:

   -- The foreign currency subordinated debt rating was raised
      to Ba2 from Ba3

   -- Foreign currency long-term deposit rating to B1 from B2.

   -- The Not Prime foreign currency short-term deposit rating,
      Baa3 global local currency deposit rating and D BFSR were
      unaffected.

On Aug. 15,2007, Fitch Ratings upgraded the National Long-term
rating of PT Bank Danamon Indonesia Tbk to 'AA(idn)' from 'AA-
(idn)') while affirming all its other ratings as follows:

   * Long term foreign currency Issuer Default Rating (IDR)
     'BB-' with a Positive Outlook,

   * Short term foreign currency IDR at 'B',

   * Individual Rating 'C/D',

   * Support Rating '4' and

   * Support Rating Floor 'B'.


BANK INTERNASIONAL: Shareholder Wants Merger With Bank Danamon
--------------------------------------------------------------
PT Bank Internasional Indonesia Tbk's shareholder, Temasek
Holdings, plans to merge the bank with PT Bank Danamon Indonesia
Tbk, pending the approval from banking regulatory bodies,
various reports say.

According to Agence France-Presse, Temasek, through Fullerton
Financial Holdings Pte. Ltd, is the majority shareholder of
Sorak Consortium, which in turn holds 56.13% of Bank
Internasional shares.  Temasek recently increased its stake in  
Sorak Consortium, the report notes.

As reported by the Troubled Company Reporter-Asia Pacific on
Dec. 13, 2007, Temasek Holdings raised its stake in Bank
Internasional Indonesia as a result of its increased stake in
Sorak Financial Holdings Pte Ltd.  Temasek now holds a 75% stake
in Sorak Financial from 50.02% previously, the report added.

Temasek, AFP News relates, also owns 85% of Asia Financial
(Indonesia), which holds 68.87% of Bank Danamon.

According to the TCR-AP, Temasek Holdings is currently reviewing
different options to comply with the Single Presence Policy.  
Temasek spokeswoman Myrna Thomas said, "We intend to submit our
proposal to Bank Indonesia before the end of the  year in
accordance with SPP rules," the report noted.

Bank Internasional told the AFP News that "FFH's current
preferred option is to explore a merger between BII and Danamon
subject to further evaluation and clearance from the regulatory
bodies."

In a press release, Bank Danamon said its majority shareholder,
Fullerton Financial has submitted an ownership structure
adjustment plan in line with the Single Presence Policy to Bank
Indonesia.  The submission of the plan was made with the
acknowledgment of Bank Danamon's Board of Directors and Board of
Commissioners.

The highlights of the adjustment plan are:

   1. FFH is still in the midst of evaluating the options
      available under the Single Presence Regulation.

   2. Its current preferred option is to explore a merger
      between Bank Danamon and Bank International Indonesia,
      subject to further evaluation.

   3. For the purpose of said evaluation, FFH foresees the need
      to undertake due diligence on the above two banks to
      establish the merits of the merger.  In order to conduct
      the due diligence FFH would require clearance /approval
      from regulatory entities.  FFH will also need confirmation
      of the basis of taxation in the event that the merger is
      undertaken.
      In the event that the merits of the merger are not   
      sufficiently compelling, or a sale is more compelling, FFH
      may pursue a sale at anytime during the merger evaluation
      process.  A sale will result in FFH being the controlling
      shareholder of Danamon only.

   4. The shareholder also indicated that assuming conducive
      conditions, the receipt of such necessary approvals, the
      shareholder should be able to complete the implementation  
      of the selected option for ownership structure adjustment
      before the deadline of end of December 2010 as set out in
      the Single Presence Regulation.

Ms. Thomas told the AFP News that "We remain open at all times
to maintain, increase or reduce our holdings, depending on
opportunities and market conditions."

AFP News relates that BII President Henry Ho said the bank's
management "will further develop an action plan accordingly in
due time.  Meanwhile, we will continue to conduct business as
usual."

                     About Bank Danamon

Headquartered in Jakarta, Indonesia, PT Bank Danamon Indonesia
Tbk provides a range of products and services, including
Consumer Banking, Small to Medium-Sized Enterprise and
Commercial, Trade Finance, Treasury Product, Cash Management,
Other Services, Financial Planning and e-Banking.  Danamon
Syariah is the Bank's business unit that provides its customers
with syariah banking products and services.  The bank also
operates Danamon Simpan Pinjam, which caters to micro banking
customers.  DSP is divided into two groups: DSP to serve and
help enterprises in micro and small-scale banking, and DSP for
individual customers with fixed income.  Bank Danamon is
supported by 86 domestic branch offices, 325 domestic supporting
branch offices, 25 domestic cash office, 739 supporting branches
for DSP, six personal banking branch offices, 10 syariah branch
offices and one overseas branch.

The Troubled Company Reporter-Asia Pacific reported on Oct. 19,
2007, that Moody's Investors Service raised the foreign currency
long-term debt and foreign currency long-term deposit ratings of
PT Bank Danamon Indonesia Tbk:

   -- The foreign currency subordinated debt rating was raised
      to Ba2 from Ba3

   -- Foreign currency long-term deposit rating to B1 from B2.

   -- The Not Prime foreign currency short-term deposit rating,
      Baa3 global local currency deposit rating and D BFSR were
      unaffected.

On Aug. 15,2007, Fitch Ratings upgraded the National Long-term
rating of PT Bank Danamon Indonesia Tbk to 'AA(idn)' from 'AA-
(idn)') while affirming all its other ratings as follows:

   * Long term foreign currency Issuer Default Rating (IDR)
     'BB-' with a Positive Outlook,

   * Short term foreign currency IDR at 'B',

   * Individual Rating 'C/D',

   * Support Rating '4' and

   * Support Rating Floor 'B'.

                  About Bank Internasional

PT Bank Internasional Indonesia Tbk -- http://www.bii.co.id/--      
engages in general banking services and in other banking
activities based on Syariah principles.  The bank's services are
divided into three categories: Personal Services, consisting of
Funding, Credit Card Services, Loan, Reksadana and
Bancassurance; Corporate Services, consisting of Funding, Credit
Card Services, Loan and Investment Banking, and Platinum
Services, consisting of Platinum Access, Syariah Platinum Access
and Platinum MasterCard.  The bank is headquartered in Jakarta,
Indonesia.

With a total customer deposit base of more than IDR34 trillion
and over IDR47 trillion in assets, Bank Internasional is one of
the largest banks in Indonesia with an international network
that comprises over 230 branches and 700 ATMs across Indonesia,
as well as a banking presence in Mauritius, Mumbai and the
Cayman Islands.

The Troubled Company Reporter-Asia Pacific reported on  
October 19, 2007, that Moody's Investors Service raised the  
foreign currency long-term debt and foreign currency long-term  
deposit ratings of PT Bank Internasional Indonesia Tbk.

   -- The issuer/foreign currency subordinated debt ratings were  
      raised to Ba2/Ba2 from Ba3/Ba3 and foreign currency long-
      term deposit rating to B1 from B2

   -- The Not Prime foreign currency short-term deposit rating,  
      Baa3 global local currency deposit rating and D BFSR were  
      unaffected.  

On Aug. 15, 2007, that Fitch Ratings affirmed all the ratings of  
Bank Internasional as follows:

   * Long term foreign currency IDR at 'BB-' with a Positive
     Outlook,

   * Short term foreign currency IDR at 'B',

   * Individual Rating 'C/D',

   * Support Rating '4', Support Rating Floor 'B' and

   * National Rating 'AA-(idn)'.


BANK MANDIRI: Targets 200 Customers for New Deposit Account
-----------------------------------------------------------
PT Bank Mandiri is targeting 200 customers in the first quarter
for its newly launched "Extra Mandiri" deposit account, Tempo
Interactive reports.

According to the report, the new account, which aims to collect
around IDR600 billion, is a mixed investment product that
combines a deposit account with a protected mutual fund.

Bank Mandiri's Deputy Senior Director Heri Gunardi told the news
agency that they are trying to sell deposit accounts with a
competitive interest rate, bearing in mind that the Bank
Indonesia's interest rate is decreasing.  He explained that this
product would be suited to customers with conservative risk
profiles since the yield is attractive and relatively safe, the
report added.

Sorta Tobing of Tempo writes that the composition of the fund
placement is 50% in deposit funds and the remaining in the
"Mandiri Protected Extra" mutual fund.

                     About Bank Mandiri

PT Bank Mandiri -- http://www.bankmandiri.co.id/-- is       
Indonesia's largest and best capitalized bank in terms of
assets, loans and deposits, and provides comprehensive financial
services to more than six million corporate and individual
consumers, as well as small and medium-sized enterprises in
Indonesia.

The Troubled Company Reporter-Asia Pacific reported on Dec. 7,
2007, that Fitch Ratings upgraded the Individual Rating of PT
Bank Mandiri (Persero) Tbk (Mandiri) to 'C/D' from 'D', and its
National Long-term rating to 'AA+ (idn)' from 'AA (idn)'.  The
Outlook on the National rating remains Stable.  At the same
time, all other ratings are affirmed, as follows:

   -- Long-term foreign and local currency Issuer Default
      ratings at 'BB-' with a Positive Outlook

   -- Short-term IDR at 'B'

   -- Support at '4', and

   -- Support Floor at 'B+'

On Oct. 19, 2007, Moody's Investors Service raised the foreign
currency long-term debt and foreign currency long-term deposit
ratings of Bank Mandiri.

   -- The foreign currency senior/subordinated debt ratings were
      raised to Ba2/Ba2 from Ba3/Ba3 and foreign currency long-
      term deposit rating to B1 from B2.

   -- The Not Prime foreign currency short-term deposit rating,
      Baa2 global local currency deposit rating and D- BFSR were
      unaffected.


HILTON HOTELS: Signs Management Agreement With Amplio
-----------------------------------------------------
Hilton Hotels Corporation has entered into a management
agreement with Amplio Gayrimenkul Yatirim ve Gelistirme Anonim
Sirketi to open its first Hilton Garden Inn(R) location in
Diyarbakir, Turkey, which is scheduled to open in December 2009.

This agreement forms part of a non exclusive Strategic
Development Alliance between Hilton and Amplio which is set to
introduce approximately 15 Hampton by Hilton(TM) and Hilton
Garden Inn hotels, all of which Hilton expects to manage.

“We have identified Turkey as a key development market where we
believe there exists significant growth opportunities for the
hotel sector across the country for our Family of Hotels,”
commented Wolfgang M. Neumann, President of Hilton Hotels –
Europe.  “With eight hotels already in Turkey—seven Hilton
hotels and one Conrad Hotel—the introduction of the Hilton
Garden Inn brand will be the perfect fit to fulfill demand for
quality mid-market accommodation in this sector.”

According to Adrian Kurre, senior vice president – brand
management for Hilton Garden Inn, “We look forward to launching
the Hilton Garden Inn brand in Turkey and introducing our key
brand attributes like the Garden Sleep System bed, Herman Miller
Mirra chair and complimentary Wi-Fi in guestrooms and public
space to both business and leisure travelers looking for a new
kind of lodging option.”

The announcement also reflects the Hilton Garden Inn brand’s
fast moving expansion across Europe, with plans to open new
European properties including three locations in Italy, in Bari,
Matera and Lecce; Rzeszow, Poland; Frankfurt, Germany; and Perm,
Russia in the next 24 months.

Located in the south east of the country, the city of Diyarbakir
has a population of more than one and a half million people and
is one of the main industrial centers of the region.  Just a
short drive from both the city center and the airport, the new
150-room Hilton Garden Inn Diyarbakir will be centrally situated
near a large shopping mall and residential complex.

The founding shareholders and board members of Amplio, Mr.
E.W.Graebner and Mr. Alaeddin Babaoglu added: “Today is a
historic day for us as we cement our recent alliance with Hilton
and move towards the introduction of our first joint venture.”

                     About Hilton Garden Inn

Hilton Garden Inn is the award-winning, mid-priced brand that
continually strives to ensure today’s busy travelers have
everything they need to be most productive on the road -— from
complimentary wired and Wi-Fi Internet access in all guestrooms
and remote printing to the hotel’s complimentary 24-hour
business center to one of the most comfortable beds with the
Garden Sleep SystemTM.  So whether on the road for personal or
business reasons, Hilton Garden Inn offers the amenities and
services for travelers to sleep deep, stay fit, eat well and
work smart while on the road.

Hilton Garden Inn represents one of the cornerstones of the
Hilton growth strategy.  The Hilton Garden Inn brand is part of
Hilton Hotels Corporation; the leading global hospitality
company.

                     About Hilton Hotels

Headquartered in Beverly Hills, California, Hilton Hotels Corp.
-- http://www.hilton.com/-- together with its subsidiaries,  
engages in the ownership, management, and development of hotels,
resorts, and timeshare properties, as well as in the franchising
of lodging properties in the United States and internationally,
including Australia, Austria, Barbados, Costa Rica, Finland,
India, Indonesia, Trinidad and Tobago, Philippines and Vietnam.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 29, 2007, Moody's Investors Service downgraded Hilton
Corporation's  Corporate Family Rating and senior unsecured
ratings to B3 and  Caa1, respectively.


INDIKA INTI: Seeks Loan to Back Bid for Berau Coal
--------------------------------------------------
PT Indika Inti Energi is seeking loans to back its bid for a
majority stake in PT Berau Coal, Bloomberg News reports citing
three people involved in the deal.

Indika Inti is raising debt financing to support its planned
purchase of the coal company, as prices of the fuel rose to
records, according to sources, who declined to be identified
because the information is private, Bloomberg relates.

Chief Financial Officer Azis Armand told Bloomberg that Indika
Inti is continuously looking for opportunities to increase their
coal reserve assets, and is aware of the possible Berau Coal
divestment from the market.  However, Mr. Armand said, no formal
process has been commenced, the report adds.

                     About Indika Inti

Headquartered in Indonesia, Pt Indika Inti Energi (Indika),
--indika.co.id/-- established in 2000, is a privately-owned
investment holding company.  Its major investment assets include
a 46% stake in Kideco and a 100% stake in Tripatra.  Kideco, the
major cash flow provider to the holding company, commenced its
commercial operations in 1993, with a 30-year CCOW valid until
2023.  The CCOW, which is structured as a contract between
Kideco and the Indonesian government and ratified by the
Indonesian Parliament will prevail above other Indonesian laws
and also provide for international arbitration in the event of a
dispute.  Fitch notes that this framework has existed for nearly
25 years, and has withstood considerable political and economic
turmoil in Indonesia.  Tripatra is a leading EPC and O&M service
provider in Indonesia with a focus on energy and infrastructure
projects.

The Troubled Company Reporter - Asia Pacific reported on May 11,
2007, Fitch Ratings assigned a final issue rating of 'B' and a
final recovery rating of 'RR4' to the US$250 million senior
secured notes due June 1, 2012, issued by Indo Integrated Energy
B.V. and guaranteed by PT Indika Inti Energi and its 100%-owned
subsidiary PT Indika Inti Corpindo.

On April 27, 2007, that Moody's Investors Service assigned a
provisional (P)B2 corporate family rating to PT Indika Inti
Energi (Indika).  The rating outlook is stable.  At the same
time, Moody's has assigned a provisional (P)B2 rating to the
proposed 5-year, US$250m senior secured bond issued by Indo
Integrated Energy BV and guaranteed by Indika.  This is the
first time that Moody's has assigned a rating to Indika.

Fitch Ratings assigned Long-term Foreign and Local Currency
Issuer Default Ratings of 'B' to PT Indika Inti Energi.  The
Outlook for the IDRs is Stable.  At the same time, the agency
also assigned an expected issue rating of 'B' and an expected
recovery rating of 'RR4' to the proposed US$250 million
senior secured notes due in 2012 issued by Indo Integrated
Energy B.V. and guaranteed by Indika and its 100%-owned
subsidiary PT Indika Inti Corpindo.  The final ratings are
contingent upon receipt of documents conforming to the
information already received.


MERAPATI NUSANTARA: Gov't Plans to Divest 40% Company Stake
-----------------------------------------------------------
The Indonesian government intends to divest its 40% stake in PT
Merpati Nusantara Airlines next year as part of efforts to
strengthen the company's capital structure, Antara News reports.

Merpati President Director Hotasi Nababan told the news agency
that "Merpati will be privatized through direct placement
starting in the middle of next year."  Domestic and foreign
investors including airline and leasing companies had expressed
interest in bidding for the government's stake, the report
added.

Moreover, the report relates that Mr. Nababan said that they
plan to gradually divest its 49% stake in its subsidiary,
Merpati Maintenance Facility, so that its remaining stake will
eventually be 51 percent.

According to a TCR-AP report on July 23, 2007, MNA Corporate
Secretary Irvan Harijanto said that the sales proceeds will be
returned to the MMF, with MNA focusing on its core business.

                   About Merpati Nusantara

Headquartered in Jakarta, Indonesia, PT Merpati Nusantara
Indonesia -- http://www.merpati.co.id/-- is a state-owned   
carrier that services predominantly international routes.  The
carrier is facing the threat of being declared bankrupt with
IDR1.6 trillion in accumulated losses.

According to reports, Merpati suffered from high fuel prices and
hurt by the weaker rupiah.  The bombings in Bali in October 2005
hit the airline pretty hard in its revenue flow.  The airline is
also struggling to cope with new competition within Indonesia,
both from domestic airlines and from other airlines coming into
Indonesia internationally.

The Troubled Company Reporter - Asia Pacific reported in January
2006, the government promised to inject up to IDR400 billion
into the Company.  However, since it is also cash-strapped, the
government said it would disburse the amount in installments,
and initially meted out IDR75 billion for the company to
continue its business.

As of fiscal year end 2005, the company has an equity deficit of
IDR1.24 trillion.

On July 24, 2004, the Indonesian Government invited applications
from financial and legal advisers to help devise a privatization
scheme for the carrier.  The Government proposed a strategic
sale of the state's 51% stake in Merpati to help fund the
carrier's operations.  The state was also considering a
IDR220-billion debt-for-equity swap.


* Indonesia Buys Back IDR1.2 Trillion of Government Bonds
---------------------------------------------------------
The Indonesian government bought back IDR1.2 trillion worth of
government bonds via an auction on December 13, 2007, in a bid
to cut borrowing costs and stabilize debt prices, Reuters
reports citing the Indonesian finance ministry.

According to the report, the ministry received IDR5.164 trillion
in offers from investors who wanted to sell bonds maturing
between 2008 and 2012.

The finance ministry, the report relates, regularly manages
government borrowing costs by buying back debt whenever bond
prices fall.

Finance Ministry Treasury Director-General Rahmat Waluyanto told
the news agency, "The market response was good.  It can also
improve investors' confidence in the domestic market as with the
buyback the government has helped to maintain liquidity in the
market while stabilising bond prices."

Muhamad al-Azhari of Reuters writes that the government aims to
raise IDR58.3 trillion from net bond issuance this year, part of
its effort to plug a budget deficit, which is forecast to reach
1.3 percent of gross domestic product for 2007.

Result of the government buy-back auction:

   Series  Maturity       Amount Bought     Weighted average
                         by the government        Yields
                        (billions of rupiah)      (pct)
   ----------------    -------------------- ----------------
   VR0013  25 Jan '08         10                  7.74
   FR0002  15 Jun '09         41                  7.65
   VR0016  25 Jul '09         50                  7.83
   FR0010  15 Mar '10          5                  8.07
   FR0012  15 May '10         83                  8.08
   FR0013  15 Sep '10          2                  8.44
   FR0021  15 Dec '10          5                  8.26
   FR0015  15 Feb '11         75                  8.35
   FR0022  15 Sep '11          3                  8,55
   FR0025  15 Oct '11         52                  8.61
   FR0017  15 Jan '12         24                  8.78
   FR0018  15 Jul '12        540                  8.85
   VR0018  25 Oct '12        313                  7.86

   ($1 = 9,296 rupiah)


* Moody's Sees Stable Outlook for Indonesian Banks
--------------------------------------------------
Moody's Investors Service says that the ratings outlook for
Moody's 11 rated Indonesian banks is stable, while their
financial fundamentals should remain steady.

"Moreover, relative the current global credit turmoil,
Indonesian banks have escaped any direct effects, given the
absence of exposures to collateralized debt obligations or
structured investment vehicles," says Beatrice Woo, a Moody's
VP/Senior Credit Officer and the author of its latest outlook on
Indonesia's banking system.

"The country's regulators do not permit such investments and
bank managements in Indonesia are more concerned about the
indirect impact of the sub-prime issue on global macro-economics
and hence the Indonesian economy," says Woo.

"Importantly, creditworthiness -- that is manageable asset
quality, modest economic capital solvency, improved
profitability and reform - will be broadly sustained," says Woo.

"On balance, Indonesian banks are better equipped to absorb
stress, while managements have responded quickly to adverse
circumstances," says Woo, adding, "We expect the divergence
between the performances of state-owned banks and rated private-
owned banks to continue in the near term."

Woo's just-released report covers a wide range of topics,
including consolidation, operating performance, the regulatory
environment, the level of government participation, and
financial fundamentals, such as asset quality and liquidity.

Consolidation and divestment have pared the number of players by
a third, but excess capacity remains, the report says.  As
Indonesia's top four banks control just under half of system
deposits, the other 126 are unlikely to achieve economies of
scale.

In the current divestment process, an increasing proportion of
system assets have ended up with strategic foreign investors,
and the new resultant bank managements will introduce global
best practices and operate on a more commercial basis, prompting
other domestic banks to follow.

The report says the government remains the industry's largest
shareholder, albeit much reduced, controlling 25% of system
assets.  On balance, from a credit perspective, structural
developments have been positive, and pricing discipline and
market stability should eventually return.

The banks' weighted average bank financial strength ratings rose
to D from E+ on May 4, 2007, when Moody's implemented its BFSR
and refined Joint Default Analysis methodologies.  At the same
time, their long-term foreign currency debt and deposit ratings
were unchanged, already constrained by the country's foreign
currency ceilings.

On October 18, 2007, the long-term foreign currency credit
ratings were raised - debt to Ba2 from Ba3 and deposit to B1
from B2 - in line with a similar action on Indonesia's sovereign
ratings.

For comparative purposes, the weighted average Indonesian BFSR
during the 1997 financial crisis was E against a pre-crisis D.


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

BOSTON SCIENTIFIC: Celsion Buys Back 659,738 Shares
---------------------------------------------------
Celsion Corporation said that, under an agreement reached on
December 7, 2007, it has closed on the purchase of 659,738
shares of Celsion stock from Boston Scientific for $4.00 per
share, for an aggregate price of $2,638,592.  With the sale,
Boston Scientific has informed the Company that it is no longer
a holder of the Company's common stock.

Boston Scientific had been a strategic business partner with
Celsion, as the US marketer of Prolieve Thermodilatation(R),
Celsion's system for the treatment of benign prostatic
hyperplasia.  In June 2007, Boston Scientific purchased the
Prolieve assets from Celsion for $60 million.

"The purchase of our shares from Boston Scientific represented
an opportunity to obtain value through a strategic use of our
company's capital. The management and the Board of Directors
believe this transaction is in the best interest of
shareholders," commented Michael H. Tardugno, Celsion's
President and CEO.

                          About Celsion

Celsion Corp. -- http://www.celsion.com/-- is dedicated to the  
development and commercialization of oncology drugs including
tumor-targeting treatments using focused heat energy in
combination with heat activated drug delivery systems.  Celsion
has research, license or commercialization agreements with
leading institutions such as the National Institutes of Health,
Duke University Medical Center, University of Hong Kong, North
Shore Long Island Jewish Health System.

                   About Boston Scientific

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

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 24, 2007, Standard & Poor's Ratings Services affirmed its
ratings on Boston Scientific Corp. (including the 'BB+'
corporate credit rating) and removed them from CreditWatch,
where they were placed with negative implications Aug. 3, 2007.
S&P said the rating outlook is negative.


DELPHI CORP: Court Okays Equity Purchase & Commitment Agreement
---------------------------------------------------------------
The U.S. Bankruptcy Court for the Souther