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, January 14, 2008, Vol. 11, No. 9 Headlines A U S T R A L I A A.C. KOLA: Members Opt to Shut Down Business ABS GROUP: Placed Under Voluntary Liquidation ALEXANDER MOIR: Undergoes Liquidation Proceedings ALLIED & GENERAL: Members & Creditors Hear Wind-Up Report AVINGTON PTY: Commences Liquidation Proceedings BALLOOK PTY: Shareholders Receive Wind-Up Report BNP PARIBAS: Members Opt to Shut Down Business CENTRO PROPERTIES: Securities Placed in Trading Halt CENTRO PROPERTIES: MFS Ltd. Offers to Supervise Centro MCS Fund CHANNEL CONTRACTORS: Members & Creditors Hear Wind-Up Report CHRYSLER LLC: Certified Pre-Owned Vehicle Sales Up 5% in 2007 CONSTELLATION BRANDS: 3rd Qtr. Net Income Up 13% to US$82-Mil. CONSTELLATION BRANDS: US$700MM Notes Exchange Offer CURRENT KNOWLEDGE: Members’ & Creditors’ Meeting Set for Today FORTESCUE METALS: Affirms May 15 Iron Ore Shipment Deadline H.C. SERVICING: Liquidator to Present Wind-Up Report on Jan. 18 J ELKHOURY: Liquidator Presents Liquidation Report KIRKLAND’S (TASMANIA): Joint Meeting Slated for January 22 MOIR PROPERTY: Placed Under Voluntary Liquidation PEABODY ENERGY: Appoints Richard Navarre as President & CCO PEABODY ENERGY: Gets 35MM-Ton Coal Reserves from Joint Venture PERSONAL INVESTMENT: Members Resolve to Liquidate Business RALSTON PURINA: Undergoes Wind-Up Proceedings REGAL CASCADE: To Declare Dividend on January 23 RIDGEBACK INVESTMENTS: To Declare First Dividend on January 30 STUMPLEE PTY: Placed Under Voluntary Liquidation TROYVELL PTY: Members’ Final Meeting Slated for January 16 VAN-VILLAGE PTY: Undergoes Liquidation Proceedings ZINIFEX LTD: Allegiance Shareholder Says Zinifex Offer “Too Low” C H I N A , H O N G K O N G & T A I W A N (ROCDACO) COMPANY: Court to Hear Wind-Up Petition on Feb. 13 CUMMINS INC: Earns US$184 Million in 2007 Third Quarter DICKSON CONSTRUCTION: Appoints New Liquidators DICKSON (CHINA): Appoints New Liquidator DICKSON PROPERTIES: Appoints New Liquidator HIP SOON TRADING: Members & Creditors Meeting Fixed for Jan. 15 INTELSAT LTD: Will Redeem US$860 Mln Floating Rate Senior Notes INTELSAT LTD: Unison Capital Investing US$50 Million in Firm NOVA CHEMICALS: Plans for Ontario Polyethylene Asset Expansion ORIENTAL PLAN: Members & Creditors Meeting Fixed for Jan. 18 PETROLEOS DE VENEZUELA: Expands El Palito Plant to Boost Output PETROLEOS DE VENEZUELA: Cuts Int'l Oil Buyers' Payment Term PETROLEOS DE VENEZUELA: Gas Unit to Add 110-Mln Cubic Ft. Output TIMBERLAND INDUSTRIAL: Pays Second Ordinary Dividend on Jan. 25 I N D I A AFFILIATED COMPUTER: Purchases Syan Holdings for US$60 Million BANK OF INDIA: To Consider Q3 Financial Results on Jan. 22 CABLE & WIRELESS: Protest to End After Reaching Pact with Union EASTMAN KODAK: To Set Annual Strategy Meeting on Feb. 7 IMAX CORP: Moody's Changes Outlook; Affirms Junk Ratings IMAX CORP: Sept. 30 Balance Sheet Upside-Down by US$76.8 Million SHREE RAMA: Incurs INR29.9 Million Net Loss in July-Sept. 2007 TATA MOTORS: Unveils World's Cheapest Car Tata 'NANO' TATA TELESERVICES: Gets DOT's In-Principle Approval on GSM Foray I N D O N E S I A EXCELCOMINDO PRATAMA: User Base Increases 63% in 2007 INFOASIA TEKNOLOGI: Moody's Affirms Ba2 Ratings; Outlook Stable PARKER DRILLING: Updates Kazakhstan Tax Case J A P A N BANNERS CO: Revises Earnings Forecast for FY2007 BOSTON SCIENTIFIC: Completes US$750MM Sale of Surgery Business BOSTON SCIENTIFIC: S&P Ratings Unmoved by Affirmed Court Ruling DELPHI CORP: S&P Sees 'B' Corporate Credit Rating Upon Emergence DELPHI CORP: Committees Want Participation in Exit Loan Process FORD MOTOR: Focused Talks Spur Tata Motors' High Bond Risk IHI CORP: In Talks with JFE to Combine Shipbuilding Operations ORIX-NRL TRUST: S&P Affirms JPY1.1 Bil.-Worth of Certificates SANYO ELECTRIC: To Pay FSA JPY8.3 Billion for Accounting Error K O R E A KOREAN EXPRESS: To Pick Desired Bidder for Stake Sale This Week PERRY ELLIS: Buying C&C Calif. and Laundry Brands for US$37 Mil. M A L A Y S I A ELECTRONIC DATA: Flemish Government Renews Pact w/ EDS-Telindus MANGIUM: Seeks July 20 Extension of Plan Filing Deadline SHAW GROUP: Earns US$2.2 Million in Quarter Ended Nov. 30 N E W Z E A L A N D AIR NEW ZEALAND: To Add 2 Boeing 737 to Boost Domestic Services AMAR INVESTMENTS: Faces Repco's Wind-Up Petition ASPECT DESIGN: Taps Madsen-Ries & Vance as Liquidators BAY TRUCK: Taps Parsons and Kenealy as Liquidators BROADLEAF ENTERPRISES: Taps Simpson and Ruscoe as Liquidators BROOKLYN HOLDINGS: Faces Titan Cranes' Wind-Up Petition CONCRETE PUMPING: Court to Hear Wind-Up Petition on January 31 E.C.D. CONTRACTORS: Court to Hear Wind-Up Petition on Jan. 29 EUROPLASTER LIMITED: Appoints Madsen-Ries & Vance as Liquidators EVENTMAKERS: Court to Hear Wind-Up Petition on February 14 FAI (NZ) GENERAL: Creditors' Proofs of Debt Due on Jan. 28 FONAGY MURCHISON: Taps Levin and Vance as Liquidators GOLF WINE: Wind-Up Petition Hearing Slated for February 14 KUPELL INVESTMENTS: Placed Under Voluntary Liquidation LKH LTD: Commences Liquidation Proceedings MIGHTY CARS: Appoints Madsen-Ries & Vance as Liquidators MORNING STAR: Subject to SAITeysMcMahon's Wind-Up Petition NOLRAY INTERNATIONAL: Commences Liquidation Proceedings NORTH RIDGE: Appoints Parsons and Kenealy as Liquidators PAINT SMART: Taps Brown and Rodewald as Liquidators PENYWEARN HOLDINGS: Undergoes Liquidation Proceedings PETER VILE: Appoints Levin and Jordan as Liquidators THE ACE ENTERTAINMENT: Wind-Up Petition Hearing Set for March 13 P H I L I P P I N E S DEL MONTE: Appoints Nils Lommerin as Chief Operating Officer GUESS? INC: Discloses Strong Same-Store Sales in Retail Business IPVG CORP: Hikes Offer to Buy PeopleSupport to US$17 Per Share RIZAL COMMERCIAL: 2007 Global Fixed Income Operations is Third S I N G A P O R E EPL DISTRIBUTION: Court Enters Wind-Up Order NAM WHATT: Pays First and Final Dividend OPTIMUM-3: Creditors' Proofs of Debt Due on February 11 POLYONE CORP: Splits Polymer Coating Business Into Two Units SCOTTISH RE: Names David Carrick as Sr. VP for Group Controller T H A I L A N D FEDERAL-MOGUL: Moody's Holds Low-B Ratings with Stable Outlook KRUNG THAI BANK: Gains THB1.021 Mil. from Unit's Liquidation - - - - - - - - ================= A U S T R A L I A ================= A.C. KOLA: Members Opt to Shut Down Business -------------------------------------------- During a general meeting held on November 28, 2007, the members of A.C. Kola Pty Limited agreed to voluntarily wind up the company’s operations. P Ngan was then tapped as liquidator. The Liquidator can be reached at: P Ngan Ngan & Co Chartered Accountants Level 5, 49 Market Street Sydney, New South Wales 2000 Australia About A.C. Kola A.C. Kola Pty Limited is a distributor of durable goods. The company is located at Tuggerah, in New South Wales, Australia. ABS GROUP: Placed Under Voluntary Liquidation --------------------------------------------- During a general meeting held on November 21, 2007, the members of ABS Group (Australia) Pty Ltd agreed to voluntarily wind up the company’s operations. Jason Bettles and Susan Carter were appointed as liquidators. The Liquidators can be reached at: Jason Bettles Susan Carter Worrells Solvency & Forensic Accountants Australia Web site: http://www.worrells.net.au About ABS Group ABS Group (Australia) Pty Ltd provides business services. The company is located at Bundall, in Queensland, Australia. ALEXANDER MOIR: Undergoes Liquidation Proceedings ------------------------------------------------- During a general meeting held on November 30, 2007, the members of Alexander Moir & Co Pty Ltd agreed to voluntarily wind up the company’s operations. John Scarfe was appointed as liquidator. The Liquidator can be reached at: John Scarfe c/o Borough Mazars Level 6, 77 Castlereagh Street Sydney, New South Wales 2000 Australia About Alexander Moir Alexander Moir & Co Pty Ltd, which is also trading as Moirs Paper, is a distributor of printing and writing paper. The company is located at Erskineville, in New South Wales, Australia. ALLIED & GENERAL: Members & Creditors Hear Wind-Up Report --------------------------------------------------------- The members and creditors of Allied & General Pty Ltd met on January 11, 2007, and resolved to voluntarily wind up the company’s operations. Warren Pantzer and Robert Whitton were then appointed as liquidators. The Liquidators can be reached at: Warren Pantzer Robert Whitton c/o Lawler Partners Charted Accountants Level 9, 1 O’Connell Street Sydney, New South Wales 2000 Australia About Allied & General Allied & General Pty Ltd is involved with real estate investment trusts. The company is located at Collaroy, in New South Wales, Australia. AVINGTON PTY: Commences Liquidation Proceedings ----------------------------------------------- During a general meeting held on October 29, 2007, the members of Avington Pty Ltd resolved to voluntarily liquidate the company’s business. Paul Fletcher was appointed as liquidator. The Liquidator can be reached at: Paul Fletcher Level 16, 120 Edward Street Brisbane, Queensland 4000 Australia About Avington Pty Located at Bellbowrie, in Queensland, Australia, Avington Pty Ltd is an investor relation company. BALLOOK PTY: Shareholders Receive Wind-Up Report ------------------------------------------------ The shareholders of Ballook Pty Ltd met on December 28, 2007, and received the liquidator’s report on the company’s wind-up proceedings and property disposal. The company’s liquidator is: Ian John Snook c/o William Buck (SA) Pty Ltd 48 Greenhill Road Wayville, South Australia 5034 Australia Telephone:(08) 8272 2333 Facsimile:(08) 8272 1972 About Ballook Pty Located at Melbourne, in Victoria, Australia, Ballook Pty Ltd is an investor relation company. BNP PARIBAS: Members Opt to Shut Down Business ---------------------------------------------- During a general meeting held on November 23, 2007, the members of BNP Paribas Equities (Australia) Limited agreed to voluntarily liquidate the company’s business. John Melluish of Ferrier Hodgson was then appointed as liquidator. The Liquidator can be reached at: John Melluish Ferrier Hodgson GPO Box 4114 Sydney, New South Wales 2001 Australia About BNP Paribas Located at Sydney, in New South Wales, Australia, BNP Paribas Equities (Australia) Limited is an investor relation company. CENTRO PROPERTIES: Securities Placed in Trading Halt ---------------------------------------------------- Centro Properties Group and Centro Retail Group securities have been placed in a trading halt pending the release of an announcement by the company, the Australian Associated Press relates. The securities, reports AAP, will be on halt from normal trading until January 15 or when an announcement will be made. According to AAP, Centro declined reports that its lawyers had met with the Australian Securities and Investment Commission in Sydney. ASIC, states AAP, would not make any comment about the reported meeting, or whether future meetings were planned between the two. Centro Properties Group -- http://www.centro.com.au/-- is an Australia-based company that comprises the operations of Centro Property Trust (the Trust) and its entities, which are engaged in property investment, property management, property development and funds management. The Company operates in two business segments: property ownership business and services business. The Company derives income from retail property rentals of shopping center space to retailers across Australasia and the United States. It also derives income from its retail property investments in listed and unlisted entities. Its services business activities include incorporating funds management, property management and development and leasing. During the fiscal year ended June 30, 2007, the Company acquired New Plan Excel Realty Trust (New Plan), Heritage Property Investment Trust (Heritage) and Galileo Funds Management, as well as assumed full ownership of its United States management operations. The Troubled Company Reporter-Asia Pacific reported on Jan. 4, 2008, that Standard & Poor's Ratings Services lowered its issuer credit, senior-unsecured debt and preferred stock ratings to 'CCC+' with negative implications reflecting the potential of the group's assets to be sold in softening market conditions, particularly in the U.S. CENTRO PROPERTIES: MFS Ltd. Offers to Supervise Centro MCS Fund --------------------------------------------------------------- Centro Properties Group was approached by fund manager MFS Ltd. with an offer to take over supervision of 35 unlisted property funds, Laura Cochrane writes for Bloomberg News. MFS, in a statement with the Australian Stock Exchange, said it wants to manage most of the AU$8.5 billion of funds supervised by Centro MCS, which now manages 37 funds, called direct property syndicates, relates Bloomberg. Centro MCS, the report recalls, was set up in 2003 when Centro paid AU$193.5 million to acquire MCS Property Ltd., which then managed AU$1.4 billion of assets in 19 closed retail property funds. Justin Blaess, property portfolio manager at ING Investment Management in Sydney shared with Bloomberg that selling fund management rights "wont solve half Centro's problems because the money they could raise is not enough; they need millions." Mr. Blaess, notes Bloomberg, added that MFS is not the only company to have approached Centro to purchase assets. However, according to the report, MFS said it is not seeking to buy property from Centro. The Troubled Company Reporter-Asia Pacific reported on Jan. 4, 2008, that the board and management of Centro are seeking expressions of interest from companies to help them refinance its AU$3.9-billion debt by a February 15, 2008 deadline. About Centro Properties Centro Properties Group -- http://www.centro.com.au/-- is an Australia-based company that comprises the operations of Centro Property Trust (the Trust) and its entities, which are engaged in property investment, property management, property development and funds management. The Company operates in two business segments: property ownership business and services business. The Company derives income from retail property rentals of shopping center space to retailers across Australasia and the United States. It also derives income from its retail property investments in listed and unlisted entities. Its services business activities include incorporating funds management, property management and development and leasing. During the fiscal year ended June 30, 2007, the Company acquired New Plan Excel Realty Trust (New Plan), Heritage Property Investment Trust (Heritage) and Galileo Funds Management, as well as assumed full ownership of its United States management operations. The Troubled Company Reporter-Asia Pacific reported on January 4, 2008, that Standard & Poor's Ratings Services lowered its issuer credit, senior-unsecured debt and preferred stock ratings to 'CCC+' with negative implications reflecting the potential of the group's assets to be sold in softening market conditions, particularly in the U.S. CHANNEL CONTRACTORS: Members & Creditors Hear Wind-Up Report ------------------------------------------------------------ The members and creditors of Channel Contractors Pty Limited met on January 11, 2008, and heard the liquidator’s report on the company’s wind-up proceedings and property disposal. The company’s liquidator is: David G. Young Pitcher Partners Level 3, 60 Castlereagh Street Sydney, New South Wales 2000 Australia About Channel Contractors Channel Contractors Pty Limited provides electrical work. The company is located at Hornsby, in New South Wales, Australia. CHRYSLER LLC: Certified Pre-Owned Vehicle Sales Up 5% in 2007 ------------------------------------------------------------- Posting its sixth consecutive year of sales growth, Chrysler LLC reported that its Chrysler, Jeep(R) and Dodge dealers sold 122,028 Certified Pre-owned Vehicles year-to-date in 2007, a 5 percent increase from 2006 sales of 116,577 units. For the year, Chrysler brand sales increased 2 percent to 39,924 units; Jeep brand sales jumped 12 percent to 31,388 units and Dodge brand sales rose 2 percent to 50,716 units. Select certified-used vehicles posted improvement across all three brands in 2007 including the Chrysler 300 with sales up 34 percent to 6,711 units; Jeep Liberty sales were up 9 percent to 8,926 units and Dodge Ram pickup truck climbed 4 percent to 10,835 units. For the month of December, sales declined 5 percent to 8,860 units. "As the fastest growing CPOV brand for the past six years, 2007 was another record year for our Brand Spankin' Used(R) brand," Director of Remarketing, Peter Grady said. "However, it is important to note we could not sustain this type of record- breaking success without our solid dealer network, who work diligently each month to sell certified-used vehicles and invite new customers to Chrysler's CPOV brand." Chrysler offers one of the most comprehensive Certified Pre- owned Vehicle programs in the industry. For a vehicle to be certified under Chrysler's used-vehicle program, it must be a 2003 through 2008 model pre-owned vehicle with less than 65,000 miles and pass a stringent 125-point mechanical, safety and condition standard inspection. Chrysler certified-used vehicles are backed by an eight-year/80,000-mile powertrain limited warranty, 24-hour, 365-day full roadside assistance with a US$35 per day rental car allowance and a three-month or 3,000-mile Maximum Care warranty, in addition to a Carfax vehicle history report and buyback guarantee. Marketed as "Brand Spankin' Used," Chrysler Certified Pre-Owned Vehicles are sold only through Chrysler, Jeep and Dodge dealerships that have had a comprehensive validation of the dealership's facilities, operational processes, salesperson and technician training accreditation before they are authorized to sell Chrysler Certified Pre-Owned Vehicles. Used vehicle shoppers can learn more about Chrysler's Brand Spankin' Used Certified Pre-owned Vehicle program as well as find detailed inventory and dealer listings online at http://www.brandspankinused.comor by searching independent, used, vehicle search engines including AutoTrader.com, Cars.com, AutoExtra.com and AutoMart.com. About Chrysler LLC Headquartered in Auburn Hills, Michigan, Chrysler LLC -- http://www.chrysler.com/-- a unit of Cerberus Capital Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R) brand vehicles and products. The company has dealers worldwide, including Canada, Mexico, U.S., Germany, France, U.K., Argentina, Brazil, Venezuela, China, Japan and Australia. * * * As reported in the Troubled Company Reporter-Latin America on Dec. 11, 2007, Standard & Poor's Ratings Services revised its recovery rating on Chrysler's US$2 billion senior secured second-lien term loan due 2014. The issue-level rating on this debt remains unchanged at 'B', and the recovery rating was revised to '3', indicating an expectation for meaningful (50% to 70%) recovery in the event of a payment default, from '4'. CONSTELLATION BRANDS: 3rd Qtr. Net Income Up 13% to US$82-Mil. -------------------------------------------------------------- Constellation Brands, has reported diluted earnings per share on a reported basis of US$0.55 for the quarter ended Nov. 30, 2007 (third quarter 2008), compared with US$0.45 for the prior year third quarter. On a comparable basis, third quarter 2008 diluted EPS totaled US$0.55 versus US$0.58 for the prior year. "The company's third quarter performance was in line with our expectations, and we are especially pleased with the performances from our North American wine business and our spirits business," said Constellation Brands president and chief executive officer, Rob Sands. "We're also delighted with the addition of the Fortune Brands U.S. wine portfolio to Constellation's U.S. wine business and the benefits we expect from our expanded super-premium-plus offerings. Also, we are continuing our efforts in the U.K. to mitigate the impact of the lingering Australian wine surplus in the marketplace and to maximize profitability." Net Sales Commentary The reported consolidated net sales decrease of 27 percent primarily reflects the impact of reporting the Crown Imports and Matthew Clark wholesale business joint ventures under the equity method, partially offset by the benefits of favorable foreign currency, branded wine business growth and the SVEDKA Vodka acquisition. Organic net sales increased six percent on a constant currency basis. Branded wine net sales increased four percent on an organic constant currency basis. For North America, branded wine net sales increased five percent on a constant currency basis, reflecting solid growth in the United States. "Our U.S. branded wine business turned in a solid third quarter performance, with wines such as Woodbridge, Robert Mondavi Private Selection, Blackstone, Estancia, Kim Crawford and Simi leading the way with very healthy sales growth," explained Mr. Sands. "Growth of these brands is indicative of the trade-up trends we've been seeing for the past several years, and we feel that the growth trajectory for our premium and luxury brands will continue due to consumer preferences for these wines." Organic net sales for branded wine for Europe increased four percent on a constant currency basis, primarily due to higher sales of popular priced wine in mainland Europe, and a slight increase in net sales for the U.K. On a constant currency basis, net sales for Australia/New Zealand branded wine were even with the prior year. The branded wine market in the U.K. and Australia reflects ongoing competitive challenges and continued pricing pressure. Total spirits net sales increased 31 percent for the quarter, primarily due to the March 2007 acquisition of SVEDKA Vodka, with 12 percent growth in organic net sales reflecting higher average selling prices and volume gains. "SVEDKA's double-digit growth continues to prove that this is an exceptional brand," stated Mr. Sands. "We anticipate SVEDKA will continue to be a growth engine in our spirits portfolio. Additionally, focus on our premium offerings, including Black Velvet, the 99 Schnapps line and Ridgemont Reserve 1792 has bolstered our spirits portfolio performance." Operating Income, Net Income, Diluted EPS Commentary The decrease in operating income and the increase in equity earnings for third quarter 2008 were primarily due to the impact of reporting US$62 million of equity earnings from the Crown Imports joint venture under the equity method. Wines segment operating income decreased US$12 million versus the prior year. This was primarily due to the impact of the U.K. and Australia business performance, which was somewhat offset by an increased contribution from the North American business. Spirits segment operating income increased US$4 million primarily due to the addition of SVEDKA Vodka and from the increase in base business net sales, offset somewhat by higher material costs. For the third quarter, acquisition-related integration costs, restructuring and related charges and unusual items totaled US$3 million, compared with US$45 million for the prior year. Net income and diluted EPS were also impacted by interest expense, which increased 13 percent to US$82 million for third quarter 2008, primarily due to the financing of the SVEDKA Vodka acquisition and US$500 million of share repurchases completed earlier this year. On a year-to-date basis through November the company generated free cash flow of US$173 million versus a usage of US$22 million in the prior year. The increase in free cash flow was primarily driven by improved working capital, reduced tax payments and lower capital spending. As a result of the strong free cash flow generated through the first three quarters of the fiscal year, the company has increased its free cash flow guidance for fiscal 2008 to a range of US$280 - US$300 million. Acquisition and Integration of Fortune Brands U.S. Wine Business Constellation Brands completed the acquisition of the Fortune Brands U.S. wine portfolio on Dec. 17, 2007, for a purchase price of US$885 million, subject to closing adjustments. The company announced its plan for the integration of the acquired business into the Constellation Wines U.S. business. The company intends to consolidate activities wherever it makes business sense to do so, while maintaining an appropriate level of expertise to maintain and grow the acquired business. "This acquisition significantly advances our strategy for expanding our presence in the growing high-end U.S. wine business," stated Mr. Sands. "To fully leverage the acquisition we will realign the sales and marketing organization supporting our U.S. wine business. The sales and marketing teams will focus on specific consumer segments that include luxury/fine wine, premium wine and value/specialty wine. In connection with these actions, we are also rationalizing our U.S. wine product portfolio, primarily related to our value products, which we believe will generate efficiencies and enhance our focus on higher growth, higher margin brands," Mr. Sands concluded. The company expects the integration of the acquired wine business, realignment of the U.S. wine sales and marketing teams and portfolio rationalization to produce net cost savings of approximately US$30 million annually by the end of fiscal 2010, with approximately US$20 million anticipated as savings in fiscal 2009. The company expects to incur one-time cash charges of US$22 million and one-time non-cash charges of US$23 million, for a total of US$45 million in one-time charges. Constellation Brands also expects to incur one-time cash costs of approximately US$28 million that will be recorded in the company's allocation of purchase price in connection with the acquired wine business, including US$19 million for employee termination costs and US$9 million for contract termination and other costs that will be paid primarily in fiscal 2009. Full-year fiscal 2008 guidance includes these current assumptions, including the impact of the acquisition and integration of the Fortune Brands U.S. wine business: -- Net sales: low single-digit growth in organic net sales and low single-digit incremental benefit from the acquisitions of Vincor International Inc., the SVEDKA Vodka brand and related business, and the U.S. wine business from Fortune Brands. As a result of these increases, and the impact of reporting the Crown Imports joint venture and the joint venture for the Matthew Clark wholesale business under the equity method, reported net sales are expected to decrease 29 to 31 percent from net sales for fiscal year 2007 -- Interest expense: approximately US$340 - US$350 million -- Stock compensation expense: approximately US$30 million -- Tax rate: approximately 39 percent on a reported basis, which includes a provision of approximately two percentage points related to the loss on disposal in connection with the company's contribution of its U.K. wholesale business to the Matthew Clark joint venture and the repatriation of proceeds associated with this transaction, or approximately 37 percent on a comparable basis -- Weighted average diluted shares outstanding: approximately 225 million -- Free cash flow: US$280 - US$300 million Headquartered in Fairport, New York, Constellation Brands Inc. (NYSE:STZ) -- http://www.cbrands.com/-- is a producer and marketer of beverage alcohol in the wine, spirits and imported beer categories, with market presence in the U.S., Canada, Chile, U.K., Australia and New Zealand. The company has more than 250 brands in its portfolio, sales in 150 countries and operates approximately 60 wineries, distilleries and distribution facilities. * * * As reported in the Troubled Company Reporter-Latin America on Dec. 3, 2007, Fitch Ratings assigned a 'BB-' rating to a note registered by Constellation Brands Inc. to fund the purchase price of Beam Wine Estates Inc., a subsidiary of Fortune Brands Inc: US$500 million 8.375% senior unsecured note due Dec. 15, 2014. Fitch said the rating outlook is negative. CONSTELLATION BRANDS: US$700MM Notes Exchange Offer --------------------------------------------------- Constellation Brands Inc. has extended its offer to exchange US$700 million aggregate principal amount of its 7.25% Senior Notes due 2017 for all US$700 million of its outstanding 7.25% Senior Notes due 2017. The exchange offer, which had been scheduled to expire on Jan. 7, 2008 at 5:00 p.m., New York City time, has expired on Jan. 10, 2008, at 5:00 p.m., New York City time, unless further extended by the company. The extension of the exchange offer has been made to allow holders of outstanding Original Notes who have not yet tendered their Original Notes for exchange additional time to do so. All other terms, provisions and conditions of the exchange offer will remain in full force and effect. As of 5:00 p.m. New York City time, Jan. 7, 2008, US$697,499,000 in aggregate principal amount of the Original Notes had been validly tendered and not withdrawn in the exchange offer, representing approximately 99.6% of the outstanding principal amount of the Original Notes. Persons with questions regarding the exchange offer should contact the exchange agent, The Bank of New York Trust Company, N.A., at 212-815-2742. The company will not receive any proceeds from the exchange offer, nor will the company's debt level change as a result of this exchange offer. The terms of the Exchange Notes and the Original Notes are substantially identical in all material respects, except that the Exchange Notes have been registered under the Securities Act. A copy of the prospectus for the exchange offer, dated Dec. 6, 2007, and related letter of transmittal, which have been filed with the United States Securities and Exchange Commission, may be obtained by calling the exchange agent, The Bank of New York Trust Company, N.A., at 212-815-2742. About Constellation Brands Headquartered in Fairport, New York, Constellation Brands Inc. (NYSE:STZ) -- http://www.cbrands.com/-- has more than 250 brands in its portfolio, sales in approximately 150 countries and operates approximately 60 wineries, distilleries and distribution facilities. The company has market presence in the U.K., Australia, Canada, New Zealand; Mexico. Barton Brands Ltd. is the spirits division of Constellation Brands Inc. is a producer, importer and exporter of a wide range of spirits products, including brands such as Black Velvet Canadian Whisky, Ridgemont Reserve 1792 bourbon, and Effen vodka. * * * As reported in the Troubled Company Reporter on Dec. 3, 2007, Fitch Ratings assigned a 'BB-' rating to a note registered by Constellation Brands Inc. to fund the purchase price of Beam Wine Estates Inc., a subsidiary of Fortune Brands Inc: $500 million 8.375% senior unsecured note due Dec. 15, 2014. The rating outlook is negative. CURRENT KNOWLEDGE: Members’ & Creditors’ Meeting Set for Today -------------------------------------------------------------- The members and creditors of Current Knowledge Print Group Pty Limited will meet today, January 14, 2008, at 10:45 a.m., to hear the liquidator’s report on the company’s wind-up proceedings and property disposal. The company’s liquidator is: Manfred Holzman Holzman Associates 32 Martin Place, Level 2 Sydney, New South Wales 2000 Australia About Current Knowledge Current Knowledge Print Group Pty Ltd is involved with commercial printing. The company is located at Mascot, in New South Wales, Australia. FORTESCUE METALS: Affirms May 15 Iron Ore Shipment Deadline ----------------------------------------------------------- Fortescue Metals Group Ltd. is sticking to its May 15 deadline for its first iron ore shipment, denying speculation that its debut delivery could be as late as August, reports WA Business News. FMG executive director Graeme Rowley told WA Business there was no truth to the speculation and that it was on track to meet its May deadline. According to the report, there were rumors that FMG would not only miss its internal shipping deadline of March 31, but it would also miss its public deadline of May 15. WA Business adds that FMG has plans for 45 million tonne per annum mining operation in the Pilbara iron ore project. About Fortescue Metals Headquartered in West Perth, Western Australia, Fortescue Metals Group Limited -- http://fmgl.com.au/-- is involved in the exploration of iron ore through a project to mine iron ore in the Chichester Ranges, in the Pilbara region of Western Australia and exporting it from Port Hedland. * * * Fortescue reported a net loss for the past two fiscal years. Net loss for the year ended June 30, 2005, was AU$4.52 million and net loss for the year ended June 30, 2006, was AU$2.15 million. H.C. SERVICING: Liquidator to Present Wind-Up Report on Jan. 18 --------------------------------------------------------------- The members and creditors of H.C. Servicing Pty Limited will have their final meeting on January 18, 2008, at 10:15 a.m., to hear the liquidator’s report on the company’s wind-up proceedings and property disposal. The company’s liquidator is: P Ngan Ngan & Co Chartered Accountants Level 5, 49 Market Street Sydney, New South Wales 2000 Australia About H.C. Servicing H.C. Servicing Pty Limited is a special trade contractor. The company is located at Pendle Hill, in New South Wales, Australia. J ELKHOURY: Liquidator Presents Liquidation Report -------------------------------------------------- The member and creditors of J Elkhoury & Sons Constructions Pty Limited met on January 11, 2008, and received the liquidator’s report on the company’s wind-up proceedings and property disposal. The company’s liquidators are: Warren Pantzer Robert Whitton c/o Lawler Partners Charted Accountants Level 9, 1 O’Connell Street Sydney, New South Wales 2000 Australia About J Elkhoury J Elkhoury & Sons Constructions Pty Ltd is a general contractor of single-family houses. The company is located at Blacktown, in New South Wales, Australia. KIRKLAND’S (TASMANIA): Joint Meeting Slated for January 22 ---------------------------------------------------------- Kirkland’s (Tasmania) Pty Ltd will hold a joint meeting for its members and creditors on January 22, 2008, at 10:30 a.m. At the meeting, Johnathan Murrell, Kirkland’s liquidator, will give a report on the company’s wind-up proceedings and property disposal. The Liquidator can be reached at: Johnathan Murrell Paul Cook & Associates 105 Macquarie Street Hobart, Tasmania 7000 Australia Telephone:(03) 6223 2555 Facsimile:(03) 6223 2556 e-mail:info@pjc.com.au About Kirkland’s (Tasmania) Kirkland’s (Tasmania) Pty Ltd is a distributor of durable goods. The company is located at Howden, in Tasmania, Australia. MOIR PROPERTY: Placed Under Voluntary Liquidation ------------------------------------------------- During a general meeting held on November 30, 2007, the members of Moir Property Pty Ltd agreed to voluntarily wind up the company’s operations. John Scarfe was then appointed as liquidator. The Liquidator can be reached at: John Scarfe c/o Borough Mazars Level 6, 77 Castlereagh Street Sydney, New South Wales 2000 Australia About Moir Property Moir Property Pty Ltd operates miscellaneous retail stores. The company is located at Erskineville, in New South Wales, Australia. PEABODY ENERGY: Appoints Richard Navarre as President & CCO ----------------------------------------------------------- Peabody Energy Corporation has named Richard A. Navarre as its President and Chief Commercial Officer. In his new role, Mr. Navarre has executive responsibility for Peabody's: -- global sales and trading; -- business development; -- strategic planning, generation and Btu Conversion initiatives; -- resource development opportunities; -- international growth initiatives including China; -- business performance and investor relations and corporate communications. Mr. Navarre also will remain Chief Financial Officer until a successor is named. "Rick Navarre has been a key member of the team that has added significant value to Peabody over the last 15 years. Specifically, he led the company's financial and capital market initiatives through the company's leveraged buyout, initial public offering and shaping of the capital structure, directed Peabody's largest acquisitions, and led our initiatives to serve the fast-growing China market," said the company's Chairman and Chief Executive Officer Gregory H. Boyce. "I look forward to working with Rick as we continue to focus on creating outstanding shareholder value. Rick possesses an excellent ability to think strategically and act decisively, coupled with a proven record of driving complex high-value projects to successful completion." Mr. Navarre has been Chief Financial Officer since 1999 and has 25 years of varied financial and business management experience. He has held a series of increasingly responsible positions with the company, including executive responsibility for departments as diverse as Sales, Marketing, Trading and Transportation; Legal; Information Technology; Materials Management; and Post-Mining Reclamation. "It is an honor to be named president of Peabody at an extraordinary time in the history of the energy industry and the company," said Mr. Navarre. "Coal continues to raise its profile as the fastest-growing fuel in the world, global coal demand is rapidly expanding, clean coal technologies are being advanced around the world, and leading countries and companies are aggressively pursuing all energy resources. I look forward to working with the best team in the global coal industry to continue our intense focus on industry leadership and value creation." Mr. Navarre has been recognized as America's Best CFO in the Metals and Mining Sector by Institutional Investor Magazine. He is a member of the Hall of Fame of the College of Business at Southern Illinois University Carbondale, a member of the Board of Advisors of the College of Business and Administration and the School of Accountancy of Southern Illinois University Carbondale; a member of the International Business Advisory Board of the University of Missouri - St. Louis; a Director of the United Way of Greater St. Louis; a Director of the Missouri Historical Society; a member of Financial Executives International and the Civic Entrepreneurs Organization; and a former chairman of the Bituminous Coal Operators' Association. Reporting to Mr. Navarre will be: -- President of COALSALES Bryan A. Galli; -- President of COALTRADE International Paul T. Demzik; -- President of Peabody China Tayeb Tahir; -- Senior Vice President of Business Development Robert L. Reilly; -- Senior Vice President of Resource Development Terry L. Bethel; -- Senior Vice President of Investor Relations and Corporate Communications Vic Svec; -- Vice President of Business Performance Christopher J. Hagedorn; and -- Senior Vice President of Btu Conversion and Strategic Planning Rick A. Bowen. In addition to the company's Generation Development, Coal-to-Gas and Coal-to-Liquids functions, Mr. Bowen will now also have Vice President of Strategic Planning Daniel Jaouiche reporting to him. Additional Organizational Changes Chairman and Chief Executive Officer Greg Boyce also announced several additional organizational changes. Executives reporting to Mr. Boyce, in addition to Mr. Navarre, are: * Executive Vice President and Chief Operating Officer Eric Ford, with continued responsibilities for Safety, U.S. Operations, Australia Operations, Operations Planning, Operations Improvement, and Engineering and Technical Services; * Executive Vice President and Chief Administrative Officer Sharon D. Fiehler. In addition to responsibilities for Compensation, Benefits, Organizational Development; Information Technology and Flight Operations, Ms. Fiehler will now have Vice President of Procurement Lance N. Throneberry reporting to her; * Executive Vice President Roger B. Walcott, Jr. Mr. Walcott has announced his plans to retire on June 1, 2008, following a successful 10-year career with Peabody. For the balance of his time at Peabody, he will be focused on the transition of Australian operations leadership, as well as implementing a shared services structure for Australian operations; * Executive Vice President and Chief Legal Officer Alexander C. Schoch; * Senior Vice President of Government Relations Fredrick D. Palmer; and * An Executive Vice President and Chief Financial Officer position to be named. About Peabody Headquartered in St. Louis, Missouri, Peabody Energy Corporation (NYSE: BTU) -- http://www.peabodyenergy.com/-- is the world's largest private-sector coal company, with 2005 sales of 240 million tons of coal and US$4.6 billion in revenues. Its coal products fuel 10% of all U.S. and 3% of worldwide electricity. The company has coal operations in Australia and Venezuela. * * * As reported in the Troubled Company Reporter-Latin America on Nov. 15, 2007, Fitch has affirmed these ratings for Peabody Energy Corporation's: -- Issuer Default Rating at 'BB+'; -- Senior unsecured notes at 'BB+'; -- Senior unsecured revolving credit and term loan at 'BB+'; -- Convertible junior subordinated debentures due 2066 at 'BB-'. Fitch's outlook is stable. PEABODY ENERGY: Gets 35MM-Ton Coal Reserves from Joint Venture -------------------------------------------------------------- Peabody Energy has commenced the Millennium/BHP Mitsui Coal Pty. Ltd. joint venture that provides the company with approximately 35 million tons of additional high quality metallurgical coal reserves and provides BHP Mitsui Coal Pty. Ltd. with a 50 percent ownership position in the Millennium preparation facility and associated infrastructure assets. The reserves contribute to Peabody Energy's industry-leading position of more than 9 billion tons. "This value-added transaction gives us significant metallurgical and PCI coal reserves at a time of record demand and pricing," said Peabody Executive Vice President and Chief Operating Officer Eric Ford. "The addition of these reserves allows us to continue to ramp up production to full capacity." The Millennium Preparation Facility is a three-stage coal handling and preparation plant capable of annually processing 6 million tons of coal split equally between Peabody Energy and BHP Mitsui Pty Ltd that can be exported via the Dalrymple Bay Coal Terminal. It will serve both Peabody's Millennium Mine and BHP Mitsui Pty Ltd's nearby Poitrel Mine. The Millennium Mine began ramping up last year and is on track to produce three million tons by 2010. It is among three new greenfield mines Peabody Energy has completed in Queensland and New South Wales this past year. Coal has been the world's fastest-growing fuel the past five years, and Australia is the world's largest exporter of coal. Use of coal is expected to grow nearly 75 percent over the next 25 years, driven by huge growth in China and India. Peabody Energy is increasing its commercial presence to serve high-growth Asian markets through its Australian business platform and expanded coal trading, coal marketing and business partnerships. About Peabody Headquartered in St. Louis, Missouri, Peabody Energy Corporation (NYSE: BTU) -- http://www.peabodyenergy.com/-- is the world's largest private-sector coal company, with 2005 sales of 240 million tons of coal and US$4.6 billion in revenues. Its coal products fuel 10% of all U.S. and 3% of worldwide electricity. The company has coal operations in Australia and Venezuela. * * * As reported in the Troubled Company Reporter-Latin America on Nov. 15, 2007, Fitch has affirmed these ratings for Peabody Energy Corporation's: -- Issuer Default Rating at 'BB+'; -- Senior unsecured notes at 'BB+'; -- Senior unsecured revolving credit and term loan at 'BB+'; -- Convertible junior subordinated debentures due 2066 at 'BB-'. Fitch's outlook is stable. PERSONAL INVESTMENT: Members Resolve to Liquidate Business ---------------------------------------------------------- During a general meeting held on November 26, 2007, the members of Personal Investment Planners Pty Ltd resolved to voluntarily wind up the company’s operations. Sule Arnautovic was then appointed as liquidator. The Liquidator can be reached at: Sule Arnautovic Jirsch Sutherland GPO Box 4256 Sydney, New South Wales 2001 Australia Telephone:(02) 9236 8333 Facsimile:(02) 9236 8334 e-mail:admin@jirschsutherland.com.au About Personal Investment Located at Chatswood, in New South Wales, Australia, Personal Investment Planners Pty Ltd is an investor relation company. RALSTON PURINA: Undergoes Wind-Up Proceedings --------------------------------------------- At an extraordinary general meeting held on November 21, 2007, the members of Ralston Purina Australia Pty Ltd agreed to voluntarily wind up the company’s operations. Keiran William Hutchison and John Raymond Gibbons of Ernst & Young were then appointed as liquidators. The Liquidators can be reached at: Keiran William Hutchison John Raymond Gibbons Ernst & Young Level 37, 680 George Street Sydney, New South Wales 2000 Australia About Ralston Purina Ralston Purina Australia Pty Ltd is a distributor of dog and cat food. The company is located at North Ryde, in New South Wales, Australia. REGAL CASCADE: To Declare Dividend on January 23 ------------------------------------------------ Regal Cascade Pty Ltd, which is in liquidation, will declare its first dividend on January 23, 2008. Only creditors who are able to file their proofs of debt by January 2, 2007, will be included in the company’s dividend distribution. The company’s liquidators are: T. J. Clifton M. C. Hall PPB Chartered Accountants 10th Floor, 26 Flinders Street Adelaide, South Australia 5000 Australia Telephone:(08) 8211 7800 About Regal Cascade Regal Cascade Pty Ltd, which is also trading as The Mutual Buying Group, is a distributor of drugs, drug proprietaries, and druggists’ sundries. The company is located at Thebarton, in South Australia, Australia. RIDGEBACK INVESTMENTS: To Declare First Dividend on January 30 -------------------------------------------------------------- Ridgeback Investments Pty Ltd, which is in liquidation, will declare its first dividend for its unsecured creditors on January 30, 2008. Only creditors who are able to file their proofs of debt by January 2, 2008, will be included in the company’s dividend distribution. The company’s liquidator is: M. C. Hall PPB Chartered Accountants 10th Floor, 26 Flinders Street Adelaide, South Australia 5000 Australia Telephone:(08) 8211 7800 About Ridgeback Investments Ridgeback Investments Pty Ltd provides business services. The company is located at Beaumont, in South Australia, Australia. STUMPLEE PTY: Placed Under Voluntary Liquidation ------------------------------------------------ The members of Stumplee Pty Ltd met on November 27, 2007, and agreed to voluntarily wind up the company’s operations. Robert Caldwell was then appointed as liquidator. The Liquidator can be reached at: Robert Caldwell Caldwell Business Partners Suite 12, Jetty Village Shopping Centre 361 Harbour Drive Coffs Harbour, New South Wales 2450 Australia About Stumplee Pty Stumplee Pty Ltd is a distributor of burls and wood. The company is located at Gloucester, in New South Wales, Australia. TROYVELL PTY: Members’ Final Meeting Slated for January 16 ---------------------------------------------------------- The members of Troyvell Pty Ltd will have their final meeting on January 16, 2008, at 9:00 a.m., to hear the liquidator’s report on the company’s wind-up proceedings and property disposal. The company’s liquidator is: Robert Kellaway c/o Kellaway Cridland Pty Ltd Level 4, 48 Hunter Street Sydney, New South Wales 2000 Australia About Troyvell Pty Troyvell Pty Ltd is a distributor of service establishment equipments and supplies. The company is located at Mascot, in New South Wales, Australia. VAN-VILLAGE PTY: Undergoes Liquidation Proceedings -------------------------------------------------- During a general meeting held on November 19, 2007, the members of Van-Village Pty Ltd agreed to voluntarily wind up the company’s operations. Philip Rundell and Darren Weaver were named as liquidators. The Liquidators can be reached at: Philip Rundell Darren Weaver Ferrier Hodgson, BankWest Tower, Level 26 108 St Georges Terrace Perth, Western Australia 6000 Australia About Van-Villages Van-Villages Pty Ltd provides amusement and recreation services. The company is located at Narooma, in New South Wales, Australia. ZINIFEX LTD: Allegiance Shareholder Says Zinifex Offer “Too Low” ---------------------------------------------------------------- Allegiance Mining NL's largest shareholder, Jinchuan Group Ltd., said that Zinifex Ltd.'s AU$775-million bid for the company is too low, various reports say. Jesse Riseborough of Bloomberg News quotes Jinchuan as stating that Zinifex's AU$1.00 a share offer "is not reflective of the true value of the company." Zinifex, last month, offered 90 cents for each share of Allegiance and said it would raise the bid to AU$1-a-share should it gain more than 30% board approval from Allegiance. The Australian Associated Press reports that at 90 cents a share, Allegiance is valued at AU$697.435 million, increasing to AU$744.927 million if the bid is lifted to AU$1.00 per share. The Troubled Company Reporter-Asia Pacific reported on Dec. 19, 2007, that the board of directors Allegiance advised its shareholders to take no action regarding Zinifex's all-cash takeover offer, saying that the offer is unsolicited and opportunistic, and designed to take advantage of the company. AAP quotes Jinchuan, which has 1 10.4% stake, says, "We strongly support the management and the board of Allegiance and believe they are creating excellent value for shareholders and jointly, we will continue to do so." Allegiance's Avebury nickel mine, about 30 kilometers from a Zinifex zinc mine, is expected to yield 8,500 tonnes of nickel annually, as stated by James Regan of Reuters. Jinchuan, writes AAP, has an agreement to buy all nickel produced at the mine. According to Reuters, a series of corporate transactions by Jinchuan outside of China has fueled market speculation that Jinchuan would table an offer of its own for the company, which is in the late stages of developing mine in the island state of Tasmania. About Zinifex Ltd. Zinifex Limited, one of the world's largest integrated zinc and lead companies -- http://www.zinifex.com/-- is headquartered in Melbourne, Australia. The company owns and operates two mines and four smelters. The mines and two of the smelters are located in Australia and supply the growing industrial markets of the Asian-Pacific region, including China. The company also has a zinc smelter in the Netherlands and the United States. The company sells a range of zinc metal, lead metal, and associated alloys in 20 countries. More than 80% of the company's products are distributed outside Australia, particularly in Asia, which is experiencing significant growth in construction activity and vehicle production. Zinc is used for steel galvanizing and die-casting and lead for lead acid batteries used mainly in cars and other vehicles. * * * The Troubled Company Reporter-Asia Pacific reported on Dec. 18, 2007, that Fitch Ratings affirmed Zinifex Limited's 'BB+' Long-term foreign currency Issuer Default Rating (IDR), following the announcement of an all cash offer for Allegiance Mining NL (Allegiance). The Outlook is Stable. ================================================ C H I N A , H O N G K O N G & T A I W A N ================================================ (ROCDACO) COMPANY: Court to Hear Wind-Up Petition on Feb. 13 ------------------------------------------------------------ On December 11, 2007, Orix Asia Limited filed a petition to have (Rocdaco) Company Limited's operations wound up. The High Court of Hong Kong will convene at 9:30 a.m. on February 13, 2008, to hear the petition. The petitioners' solicitor can be reached at: Deacons 5th Floor Alexandra House 18 Charter Road Central, Hong Kong CUMMINS INC: Earns US$184 Million in 2007 Third Quarter ------------------------------------------------------- Cummins Inc. reported net earnings of US$184 million in the third quarter ended Sept. 30, 2007, versus net earnings of US$171 million in the comparable 2006 period. Sales grew 20.0% to US$3.37 billion, from US$2.81 billion during the same period in 2006, led by record sales in the Engine, Power Generation and Distribution segments while the Components segment also experienced a strong sales performance. Earnings before interest and taxes rose 3.4% to US$306 million, or 9.1% of sales, from US$296.0 million, or 10.5% of sales, in the same period in 2006. Earnings growth was moderated by a downturn at some OEM customers, and the expected higher costs associated with the introduction of new emissions- related products. "We continue to experience significant growth in most of our markets around the world, and are well-positioned to take advantage of many opportunities for future growth," said Cummins chairman and chief executive officer Tim Solso. "Our technology leadership has resulted in a sustainable competitive advantage for Cummins, and we remain focused on producing profitable growth for all our stakeholders." Net earnings for the nine months ended Sept. 30, 2007, were US$541.0 million on sales of US$9.53 billion, compared to net earnings of US$526.0 million on sales of US$8.33 billion in the corresponding period of 2006. Liquidity Cash and cash equivalents decreased US$216.0 million during the period to US$624.0 million at the end of the first nine months compared to US$840.0 million at the beginning of the period. Cash and cash equivalents were higher at the end of 2006 due to lower accounts receivable at the end of 2006. In the first quarter of 2007, approximately US$62.0 million of the company's US$120.0 million 6.75% debentures were repaid on Feb. 15, 2007, at the election of the holders. Total debt as a percent of the company's total capital, including total debt, was 17.2% at Sept. 30, 2007, compared with 22.4% at Dec. 31, 2006, and 28.4% at Oct. 1, 2006. Balance Sheet At Sept. 30, the company's consolidated balance sheet showed US$8.03 billion in total assets, US$4.56 billion in total liabilities, US$275.0 million in minority interests, and US$3.20 billion in total shareholders' equity. Full-text copies of the company's consolidated financial statements for the quarter ended Sept. 30, 2007, are available for free at http://researcharchives.com/t/s?26e2 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. DICKSON CONSTRUCTION: Appoints New Liquidators ---------------------------------------------- The members of Dickson Construction (Housing) Limited, on December 19, 2007, appointed Stephen Liu Yiu Keung and Chan Wai Hing as the company's liquidators. The Liquidators can be reached at: Liu Yiu Keung Chan Wai Hing 18th Floor Two International Finance Centre 8 Finance Street Central, Hong Kong DICKSON (CHINA): Appoints New Liquidator ---------------------------------------- The members of Dickson (China) Enterprises Limited, on Dec. 19, 2007, appointed Stephen Liu Yiu Keung and Chan Wai Hing as the company's liquidators. The Liquidators can be reached at: Liu Yiu Keung Chan Wai Hing 18th Floor Two International Finance Centre 8 Finance Street Central, Hong Kong DICKSON PROPERTIES: Appoints New Liquidator ---------------------------------------- The members of Dickson Properties Limited, on December 19, 2007, appointed Stephen Liu Yiu Keung and Chan Wai Hing as the company's liquidators. The Liquidators can be reached at: Liu Yiu Keung Chan Wai Hing 18th Floor Two International Finance Centre 8 Finance Street Central, Hong Kong HIP SOON TRADING: Members & Creditors Meeting Fixed for Jan. 15 --------------------------------------------------------------- The members and creditors of Hip Soon Trading Company Limited will have their final general meeting on January 15, 2008, at the Official Receiver's Office, 10th Floor, Queensway government offices, 66 Queensway, in Hong Kong, to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is Lee Mei Yee May. INTELSAT LTD: Will Redeem US$860 Mln Floating Rate Senior Notes --------------------------------------------------------------- Intelsat, Ltd., as requested by new investors, will redeem all of its outstanding US$260 million Floating Rate Senior Notes due 2013 and US$600 million Floating Rate Senior Notes due 2015. The redemption of the notes is conditioned upon consummation of the acquisition of Intelsat Holdings, Ltd. -- the indirect parent of Intelsat (Bermuda), Ltd. -- by affiliates of funds advised by BC Partners Holdings Limited, Silver Lake and certain other investors and the receipt from the new investors of sufficient moneys to effect the redemption. Intelsat issued a notice of redemption for each of the indentures for the 2013 and the 2015 notes. Intelsat said that it will redeem all of those notes on Feb. 7, 2008. The redemption date may be extended. The redemption price for the 2013 Notes will be equal to 100% of the principal amount of the 2013 Notes plus a premium determined in accordance with the indenture for the 2013 Notes and accrued and unpaid interest thereon to the redemption date. The redemption price for the 2015 Notes will be equal to 102% of the principal amount of the 2015 Notes plus accrued and unpaid interest thereon to the redemption date. Headquartered in Bermuda, Intelsat, is the largest fixed satellite service operator in the world and is owned by Apollo Management, Apax Partners, Madison Dearborn, and Permira. Intelsat has sales offices in Australia, China, Japan, and Singapore. * * * As reported in the Troubled Company Reporter-Latin America on June 22, 2007, Moody's Investors placed the long-term debt ratings of the Intelsat Ltd. group of companies on review for possible downgrade. Issuer: Intelsat (Bermuda), Ltd. -- Senior Unsecured Bank Credit Facility, Placed on Review for Possible Downgrade, currently B2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Caa1 Issuer: Intelsat Corporation -- Senior Secured Bank Credit Facility, Placed on Review for Possible Downgrade, currently Ba2 -- Senior Secured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Ba2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently B2 Issuer: Intelsat Holding Corporation -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Caa1 Issuer: Intelsat Intermediate Holding Company, Ltd. -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently B3 Issuer: Intelsat Subsidiary Holding Co. Ltd. -- Senior Secured Bank Credit Facility, Placed on Review for Possible Downgrade, currently Ba2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently B2 Issuer: Intelsat, Ltd. -- Probability of Default Rating, Placed on Review for Possible Downgrade, currently B2 -- Corporate Family Rating, Placed on Review for Possible Downgrade, currently B2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Caa1 Outlook Actions: Issuer: Intelsat, Ltd. -- Outlook, Changed To Rating Under Review From Stable As reported in the Troubled Company Reporter-Latin America on June 22, 2007, Fitch Ratings placed these Intelsat Ltd. ratings on Rating Watch Negative: -- Issuer Default Rating 'B'; -- Senior unsecured notes 'CCC/RR6'. Fitch also placed the ratings of Intelsat's subsidiaries on Rating Watch Negative. Fitch placed these ratings of Intelsat subsidiaries on Rating Watch Negative: Intelsat (Bermuda), Ltd. -- Issuer Default Rating 'B'; -- Senior unsecured guaranteed notes 'BB-/RR2'; -- Guaranteed Term Loan 'BB-/RR2'; -- Senior unsecured non-guaranteed notes 'CCC+/RR6'. Intelsat Intermediate Holding Company, Ltd. (Int Holdco) -- Issuer Default Rating 'B'; -- Senior unsecured discount notes 'B-/'RR5'. Intelsat Subsidiary Holding Company, Ltd. (Sub Holdco) -- Issuer Default Rating 'B'; -- Senior secured credit facilities 'BB/RR1'; -- Senior unsecured notes 'BB-/RR2'. Intelsat Corporation (f/k/a PanAmSat Corporation) -- Issuer Default Rating (IDR) 'B'; -- Senior secured credit facilities 'BB/RR1'; -- Senior secured notes 'BB/RR1'; -- Senior unsecured notes 'B/RR4'. As reported in the Troubled Company Reporter-Latin America on June 21, 2007, Standard & Poor's Ratings Services lowered its ratings on Pembroke, Bermuda-based Intelsat Ltd. and affiliated entities, including the corporate credit rating, which was lowered to 'B+' from 'BB-'. All ratings were immediately placed on CreditWatch with negative implications. INTELSAT LTD: Unison Capital Investing US$50 Million in Firm ------------------------------------------------------------ Intelsat Ltd. will get US$50 million investment from Japanese private equity firm Unison Capital to help its expansion plans in Asia, financial sources told Alison Tudor at Reuters. Unison Capital would help Intelsat expand in Asia through organic growth and acquisition, Reuters notes. Reuters relates that since British buyout firm BC Partners bought 76% of Intelsat for US$4.6 billion in June 2007, other funds have been invited to invest in Intelsat. A source told Reuters that US private equity firm Silver Lake would also join the consortium. Reuters states that BC Partners is purchasing the majority stake in Intelsat from the private equity owners: -- Apax Partners, -- Permira, -- Apollo Management, and -- Madison Dearborn Partners. BC Partners will keep the remaining 24% stake in Intelsat, Reuters states. About Unison Capital Unison Capital was established in 1998. It is a pioneer of private equity investment in Japan. It helps implement sustainable, long-term business growth strategies. About Intelsat Headquartered in Bermuda, Intelsat, is the largest fixed satellite service operator in the world and is owned by Apollo Management, Apax Partners, Madison Dearborn, and Permira. Intelsat has sales offices in Australia, China, Japan, and Singapore. * * * As reported in the Troubled Company Reporter-Latin America on June 22, 2007, Moody's Investors placed the long-term debt ratings of the Intelsat Ltd. group of companies on review for possible downgrade. Issuer: Intelsat (Bermuda), Ltd. -- Senior Unsecured Bank Credit Facility, Placed on Review for Possible Downgrade, currently B2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Caa1 Issuer: Intelsat Corporation -- Senior Secured Bank Credit Facility, Placed on Review for Possible Downgrade, currently Ba2 -- Senior Secured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Ba2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently B2 Issuer: Intelsat Holding Corporation -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Caa1 Issuer: Intelsat Intermediate Holding Company, Ltd. -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently B3 Issuer: Intelsat Subsidiary Holding Co. Ltd. -- Senior Secured Bank Credit Facility, Placed on Review for Possible Downgrade, currently Ba2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently B2 Issuer: Intelsat, Ltd. -- Probability of Default Rating, Placed on Review for Possible Downgrade, currently B2 -- Corporate Family Rating, Placed on Review for Possible Downgrade, currently B2 -- Senior Unsecured Regular Bond/Debenture, Placed on Review for Possible Downgrade, currently Caa1 Outlook Actions: Issuer: Intelsat, Ltd. -- Outlook, Changed To Rating Under Review From Stable As reported in the Troubled Company Reporter-Latin America on June 22, 2007, Fitch Ratings placed these Intelsat Ltd. ratings on Rating Watch Negative: -- Issuer Default Rating 'B'; -- Senior unsecured notes 'CCC/RR6'. Fitch also placed the ratings of Intelsat's subsidiaries on Rating Watch Negative. Fitch placed these ratings of Intelsat subsidiaries on Rating Watch Negative: Intelsat (Bermuda), Ltd. -- Issuer Default Rating 'B'; -- Senior unsecured guaranteed notes 'BB-/RR2'; -- Guaranteed Term Loan 'BB-/RR2'; -- Senior unsecured non-guaranteed notes 'CCC+/RR6'. Intelsat Intermediate Holding Company, Ltd. (Int Holdco) -- Issuer Default Rating 'B'; -- Senior unsecured discount notes 'B-/'RR5'. Intelsat Subsidiary Holding Company, Ltd. (Sub Holdco) -- Issuer Default Rating 'B'; -- Senior secured credit facilities 'BB/RR1'; -- Senior unsecured notes 'BB-/RR2'. Intelsat Corporation (f/k/a PanAmSat Corporation) -- Issuer Default Rating (IDR) 'B'; -- Senior secured credit facilities 'BB/RR1'; -- Senior secured notes 'BB/RR1'; -- Senior unsecured notes 'B/RR4'. As reported in the Troubled Company Reporter-Latin America on June 21, 2007, Standard & Poor's Ratings Services lowered its ratings on Pembroke, Bermuda-based Intelsat Ltd. and affiliated entities, including the corporate credit rating, which was lowered to 'B+' from 'BB-'. All ratings were immediately placed on CreditWatch with negative implications. NOVA CHEMICALS: Plans for Ontario Polyethylene Asset Expansion -------------------------------------------------------------- NOVA Chemicals Corporation is planning for a series of polyethylene plant modernization and expansion projects in the Sarnia, Ontario, region. The projects will add a total of up to 250 million pounds per year of new polyethylene capacity in stages over the next two years. "These projects should have about a two year pay-back and will generate meaningful earnings growth for our shareholders in every part of the industry business cycle," said Jeffrey M. Lipton, Chief Executive Officer. "The upgrades include technology that will enable us to produce higher value products that our customers are hungry for." The projects include: * Upgrading products, improving reliability and expanding the low density polyethylene unit at Mooretown, Ontario * Optimizing the high density polyethylene unit at Mooretown to increase throughput rates and improve product quality * Debottlenecking high density polyethylene and linear low density polyethylene production at the St. Clair River site at Corunna, Ontario The projects are now feasible because the Corunna flexi-cracker modernization completed in 2007 has successfully delivered: greater ethylene capacity, increased energy efficiency, improved plant reliability and global cost competitiveness. The total cost of the projects will be approximately US$80 million, which will not result in a material change in the company's overall capital program. The projects will require appropriate Board of Directors approvals as they proceed. Headquartered in Calgary, Alberta, Canada, Nova Chemicals Co. (NYSE:NCX) (TSX:NCX) -- http://www.novachem.com/-- is a leading producer of ethylene, polyethylene, styrene, polystyrene, and expanded polystyrene. Nova Chemicals' manufacturing sites are strategically situated throughout Canada, the US and South America. Its South American operations are located in Chile. * * * As reported in the Troubled Company Reporter-Latin America on Sept. 25, 2007, Moody's Investors Service has confirmed Nova Chemicals Corporation's Ba3 corporate family rating and senior unsecured debt ratings following regulatory approval for the expansion of its styrenics joint venture and the belief that low olefin feedstock costs could allow the company to meaningfully reduce debt over the next 12 to 18 months. ORIENTAL PLAN: Members & Creditors Meeting Fixed for Jan. 18 ------------------------------------------------------------ The members and creditors of Oriental Plan Development Limited will have their final general meeting on January 18, 2008, at the 18th Floor of the Bel Trade Commercial Building, 1-3 Burrows Street, in Wanchai, Hong Kong, to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator is: Kwok Tai Wai 18th Floor Bel Trade Commercial Building 1-3 Burrows Street Wanchai, Hong Kong PETROLEOS DE VENEZUELA: Expands El Palito Plant to Boost Output --------------------------------------------------------------- Venezuelan state-run oil firm Petroleos de Venezuela SA said in a statement that it will expand its El Palito plant to boost the production of gasoline components. Business News Americas relates that Carabobo-based El Palito processes some 140,000 barrels per day to produce fuels for the Venezuelan market. Petroleos de Venezuela had been buying significant amounts of gasoline components in recent months from other nations to meet domestic demand. According to BNamericas, the pre-ignition catalytic converter project for El Palito will increase the flexibility of the plant's fluid catalytic cracking plant. Petroleos de Venezuela said in a statement that it acquired the needed equipment for the expansion. 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. * * * In March 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. PETROLEOS DE VENEZUELA: Cuts Int'l Oil Buyers' Payment Term ----------------------------------------------------------- Venezuelan state-run oil firm Petroleos de Venezuela SA said in a statement that it has cut the payment term for international crude oil buyers to 8 days from the previous 30-day term. Petroleos de Venezuela told Business News Americas that the reduction of the payment term was made to protect Venezuela's interests in the international oil market. According to Petroleos de Venezuela's statement, several oil producers use an 80-day payment term to consolidate benefits associated with the 22-day reduction. "In our case, this money was unjustly held in the hands of the buyer for too long," Petroleos de said in a statement. Petroleos de Venezuela told the Voice of America that having the payments sooner will let it re-invest its income quickly. BNamericas relates that the payment term reduction was also due to the "constant" depreciation of the US dollar and high product quality expectations. Industry officials told Enrique Andres Pretel at Reuters that Petroleos de Venezuela "periodically faces cash crunches" despite high crude prices. Much of the firm's income goes to Venezuelan President Hugo Chavez's social programs "for his majority poor backers." The reduced payment term affected "spot sales," Reuters says, citing a source familiar with Petroleos de Venezuela sales. The new payment term "could have the unintended consequence" of decreasing Petroleos de Venezuela's income. The source commented to Reuters, "The decision hurts the price. Those clients that accept the new conditions can demand a better price because there is an implied financial cost for them in the transaction." Sources told Reuters that Petroleos de Venezuela has borrowed heavily and has made in-kind payments to creditors in crude to avoid spending cash. Oil industry players were angered by the new payment term, which followed last year's nationalization drive, Reuters states. Petroleos de Venezuela SA -- http://www.pdv.com/-- is Venezuela's state oil company in charge of the development of the petroleum, petrochemical and coal industry, as well as planning, coordinating, supervising and controlling the operational activities of its divisions, both in Venezuela and abroad. The company has a commercial office in China. * * * In March 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. PETROLEOS DE VENEZUELA: Gas Unit to Add 110-Mln Cubic Ft. Output ---------------------------------------------------------------- PDVSA Gas, a subsidiary of Petroleos de Venezuela, implemented the highly inclined drilling technology in the RG 278 well located in Santa Rosa oilfield, eastern Anzoategui state. The use of this technique in 14 wells included in Anaco's major area will raise the domestic gas output by 110 million cubic feet. PDVSA has devised a pilot project to drill shallow deposits and get the technical and economic feasibility to develop significant, easily accessible gas reserves of 800-900 feet deep that had been not developed earlier. The surveys of RG 278 well found an output capacity of more than 11 million cubic feet/day -an additional input to the Anaco area, presently at 1.6 billion cubic feet/day. This new strategy on highly inclined drilling will help operate two shallow deposits concomitantly, resulting in high productivity levels and profitable operations. Testing and the first stage of production of well RG 278 proved to be successful and went far beyond the expectations of the PDVSA Gas staff without the need for increasing expenses. The introduction of new techniques to develop deposits containing large gas reserves will bolster energy development in east Venezuela, according to the plans and strategies of the Bolivarian government to ensure domestic supply and fulfill the commitments aimed at Latin American and Caribbean integration. 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. * * * In March 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. TIMBERLAND INDUSTRIAL: Pays Second Ordinary Dividend on Jan. 25 --------------------------------------------------------------- Timberland Industrial Limited, which is in liquidation, will pay its second ordinary dividend on January 25, 2008. The company's liquidators can be reached at: Roderick John Sutton Kelvin Edward Flynn Ferrier Hodgson Limited 14th Floor Hong Kong Club 3A Charter Road Hong Kong ========= I N D I A ========= AFFILIATED COMPUTER: Purchases Syan Holdings for US$60 Million -------------------------------------------------------------- Affiliated Computer Services, Inc. has acquired Syan Holdings Limited, one of the United Kingdom's largest IBM Business Partners, for approximately US$60 million (GBP30.5 million). Syan Holdings' trailing twelve-months revenue was approximately US$75 million. The transaction will be funded entirely with existing cash on hand. The acquisition strengthens Affiliated Computer's global IT Outsourcing presence by adding a solid base of U.K. operations, including two data centers, and expanding its reach into the United Kingdom. It also enhances the company's position as a leading provider of IT solutions to global FORTUNE 1000 clients. "This acquisition strengthens ACS' end-to-end IT services. Syan Hodlings' data center facilities in the United Kingdom, combined with their exceptional subject matter expertise, will enable ACS to provide clients with multi-scope IT services on a global scale," said Affiliated Computer Services senior managing director of IT Outsourcing, Derrell James. "Syan's clients will be backed by a FORTUNE 500 company that offers a global delivery model, and ACS will be able to leverage an impressive suite of ITO services for our global clients who have operations in the United Kingdom and Europe." Syan Holdings' expertise is the delivery and support of managed services and technology solutions involving IBM mid-range and Intel servers. Client services include server hosting and management, applications management, desktop management, high- availability solutions, and help desk operations. "The acquisition of Syan by ACS represents a shared commitment to providing leading-edge technology, innovation, and solution expertise for our clients around the globe. It increases the breadth and depth of our IT capabilities and enables us to offer the robust services our clients need," said Syan Holdings managing director, George Djuric. "With our combined leadership talents, we have strengthened our ability to deliver proven IT services to clients in the United Kingdom and around the globe." The business, which will be rebranded ACS Syan, will continue to be run by Syan Holdings' existing management team. About Syan Holdings One of the leading IT outsourcing specialists in the United Kingdom, Syan Holdings Ltd. -- http://www.syan.co.uk-- has more than 20 years experience and a reputation for successful delivery of high-quality services. With four U.K. facilities, including two high-specification data centers in Shropshire, England, Syan provides an extensive range of services to companies throughout the United Kingdom, with a particular emphasis on information security to ISO 27001 standards. The company's outsourcing services include colocation, hosting, server management, desktop management, call center services, and application management. About Affiliated Computer Services Headquartered in Dallas, Affiliated Computer Services Inc. (NYSE: ACS) -- http://www.acs-inc.com/-- provides business process outsourcing and information technology solutions to world-class commercial and government clients. The company has more than 58,000 employees supporting client operations in nearly 100 countries. The company has global operations in Brazil, China, Dominican Republic, India, Guatemala, Ireland, Philippines, Poland, and Singapore. * * * As reported in the Troubled Company Reporter-Latin America on Jan. 8, 2008, Standard & Poor's Ratings Services affirmed its 'BB' corporate credit rating on Dallas, Texas-based Affiliated Computer Services Inc., and removed it from CreditWatch, where it had been placed with negative implications on March 20, 2007. The outlook is negative. BANK OF INDIA: To Consider Q3 Financial Results on Jan. 22 ---------------------------------------------------------- Bank of India's board of directors will hold a meeting on Jan. 22, 2008, to consider and approve the bank's unaudited financial results for the third quarter ended Dec. 31, 2007. In the same quarter in 2006, the bank reported a net profit of INR2.55 billion on revenues aggregating INR26.41 billion. Headquartered in Mumbai, India, Bank of India -- http://www.bankofindia.com-- 2628 branches in India spread over all states/ union territories, including 93 specialized branches. The bank provides a range of financial products and services, including numerous credit schemes, deposit schemes, cash management services, credit/debit cards, deposit vaults and corporate bonds. It also extends finance to small and medium enterprises and small-scale industries. It provides a variety of loans, such as mortgage loans, educational loans, auto finance loans, holiday loans, personal loans and home loans. The bank offers Internet banking services for both the retail and corporate clients. The bank operates in the Cayman Islands, China, the Channel Islands, France, Hong Kong, Indonesia, Japan, Kenya, Singapore, the United Kingdom, the United States, and Vietnam. * * * Standard & Poor's Ratings Services assigned on March 26, 2007, its 'BB' issue rating to the bank's Hybrid Tier I notes to be issued by India's Bank of India (BOI; BBB-/Stable/A-3), acting through its Jersey branch. These notes are being issued under the bank's US$1 billion medium-term notes program. CABLE & WIRELESS: Protest to End After Reaching Pact with Union --------------------------------------------------------------- The Caribbean Broadcasting Corp. reports that the conflict between Cable & Wireless and the union representing its workers has been resolved, after Prime Minister Owen Arthur brokered an accord between the two parties. CBC relates that Cable & Wireless Prime Minister intervened in the industrial dispute between Cable & Wireless and the union after protests have interrupted most of the company's operations in Barbados for five days. He ordered a meeting with the company and the union at government headquarters. As reported in the Troubled Company Reporter-Latin America on Jan. 8, 2008, Cable & Wireless' workers in Barbados launched demonstrations against the firm after negotiations over wages, retroactive payments and other "protracted issues" failed. Cable & Wireless's head Donald Austin said that the company's offer of 10.5% over two years was made up of 6% in year one and 4.5% in year two across all categories of staff. For some workers, the offer would eventually equate to as high as a 30% wage hike. These employees would benefit from "movement in scales of 4% and a proposed retro payment of around 4% -- translating to an increase of about 15% over two years on an ongoing basis. CBC relates that union general secretary Sir Roy Trotman accused Cable & Wireless of breaching aspects of the collective agreement. Mr. Trotman commented to CBC, "We charge Cable & Wireless with attempting to circumvent the accepted practices. We charge Cable & Wireless with trying to undermine the trade union in the exercise of their loyal functions. And we are telling that the workers of Barbados that we may be calling on you shortly, to demonstrate to all employers in Barbados that neither at Cable & Wireless nor at any other workplace should employers be allowed to disrespect the rights of workers." Prime Minister Arthur told the press, "We have been able to broker a settlement in relation to wages and all outstanding issues [during the meeting]." Mr. Trotman told Anmarie Bailey at The Nation Newspaper, "We looked at about four items. We have agreed that a timetable will be set very slowly to deal with all of the nine or so matters which have caused all of the unrest. We have especially dealt with matters of relations, management to staff, because the Prime Minister himself has been able, from our presentations, to recognize that that is the major underlying difficulty between the management on the one hand and the staff on the other." According to CBC, the settlement will result in a 12.5% salary increase and retroactive payments. Mr. Trotman told CBC that there will be significant dual payment that will be paid out to all workers in hired by the company for the period 1997 to 2007. According to him, the salary settlement is a 2% increase over what Cable & Wireless was refusing to give. "There will be an increase of seven-and-a-half-per cent in year one, which is another one-and-a-half per cent on the company's offer, and then there is a further half per cent in year two," Mr. Trotman explained to The Nation Newspaper. The Nation notes that the issue of bonuses, where some high- level managers received high cash bonuses, was also settled. The demonstrations had a minimal impact on Cable & Wireless' operations, Mr. Austin assured CBC. He explained, "We have been able to maintain all of our major systems. Obviously some individual customers have been impacted and we will get out to them as soon as possible." "We are also going to have, importantly, a discussion on and we are going to develop an incentive program that will cause workers to share in the profitability of the company, so we won't any longer be having situations of one man with \u015320 million and others with only promises," Mr. Trotman told The Nation Newspaper. Headquartered in London, Cable & Wireless Plc -- http://www.cw.com/new/-- provides voice, data and IP (Internet Protocol) services to business and residential customers, as well as services to other telecoms carriers, mobile operators and providers of content, applications and Internet services. The company has operations are in the United Kingdom, India, China, the Cayman Islands and the Middle East. * * * In April 2007, in connection with the implementation of its new Probability-of-Default and Loss-Given-Default rating methodology for the corporate families in the Telecommunications, Media and technology sector, Moody's Investors Service confirmed its Ba3 Corporate Family Rating for Cable & Wireless Plc. Moody's also assigned a Ba3 Probability-of-Default rating to the company. * Issuer: Cable & Wireless Plc Projected Debt LGD Loss-Given Debt Issue Rating Rating Default ---------- ------- ------- -------- 4% Senior Unsecured Conv./Exch. Bond/Debenture Due 2010 B1 LGD4 60% GBP200 million 8.75% Senior Unsecured Regular Bond/Debenture Due 2012 B1 LGD4 60% EASTMAN KODAK: To Set Annual Strategy Meeting on Feb. 7 ------------------------------------------------------- Eastman Kodak Company will hold its annual strategy meeting with the institutional investment community on Feb. 7, in New York City. The meeting will be held at the Digital Sandbox Event Center, located at 55 Broad Street (between Beaver St & Exchange Place). The doors will open at 8:00 AM Eastern time, and investors are welcome to view and participate in demonstrations of some of the products that will help define Kodak's future. The formal program will begin promptly at 9:00 AM and is expected to conclude by noon. Following the presentations, the product demonstrations will reopen until 1:00 PM. The program will include presentations by: * Antonio Perez, Chairman and Chief Executive Officer, * Phil Faraci, President & Chief Operating Officer, * Frank Sklarsky, Chief Financial Officer, and * Mary Jane Hellyar, President, Film, Photofinishing and Entertainment Group, and will conclude with a question-and-answer session. About Eastman Kodak Headquartered in Rochester, New York, Eastman Kodak Co. (NYSE: EK)-- http://www.kodak.com/-- develops, manufactures, and markets digital and traditional imaging products, services, and solutions to consumers, businesses, the graphic communications market, the entertainment industry, professionals, healthcare providers, and other customers. The company has operations in Argentina, Chile, Denmark, Greece, Jordan, Yemen, Australia, China, India, among others. As reported in the Troubled Company Reporter-Latin America on Sept. 14, 2007, Standard & Poor's Ratings Services has affirmed its 'B+' corporate credit rating on Eastman Kodak Co. and removed the ratings from CreditWatch, where they had been placed with negative implications on Aug. 2, 2006. S&P said the outlook is negative. IMAX CORP: Moody's Changes Outlook; Affirms Junk Ratings -------------------------------------------------------- Moody's Investors Service has changed the outlook for IMAX Corporation to stable from positive indicating that an upgrade over the near term is less likely. IMAX Corp. recently announced a joint-venture agreement to install 100 digital projection systems at AMC Entertainment, Inc., locations across the United States. Moody's believes that while this agreement should contribute to an increase in enterprise value and improve cash flow visibility over the long term, it will require substantial upfront cash investments, straining the company's limited liquidity over the next couple of years. Furthermore, the widescale rollout of the digital systems poses execution risk. The company has not installed any digital theaters to date and expects to nearly double its U.S. theater base over the next several years with the AMC Entertainment deal, as well as expanding its presence through other sales and joint ventures involving digital systems in the U.S. and internationally. Moody's also affirmed the Caa1 corporate family and the Caa1 probability of default ratings for IMAX Corp. as well as the Caa2 rating on its senior unsecured bonds. Ratings List: -- Outlook, Changed To Stable From Positive -- Corporate Family Rating, Affirmed at Caa1 -- Probability of Default Rating, Affirmed at Caa1 -- Senior Unsecured Bonds, Affirmed at Caa2, LGD 4, 60% The Caa1 corporate family rating reflects high financial risk and the lack of visibility regarding IMAX Corp.'s long term cash flow prospects, as well as execution risk related to the strategic transition to increased use of joint ventures and the rollout of the new digital system. A highly enforceable backlog of signed contracts, recent positive business indicators -- including increased system signings and film slate announcements -- and the value of the IMAX brand support the ratings. Based in New York City and Toronto, Canada, IMAX Corporation (NASDAQ:IMAX) -- http://www.imax.com/-- is an entertainment technology company, with emphasis on film and digital imaging technologies including 3D, post-production and digital projection. IMAX is a fully-integrated, out-of-home entertainment enterprise with activities ranging from the design, leasing, marketing, maintenance, and operation of IMAX(R) theatre systems to film development, production, post- production and distribution of large-format films. IMAX also designs and manufactures cameras, projectors and consistently commits significant funding to ongoing research and development. IMAX has locations in Guatemala, India, Italy, among others. IMAX CORP: Sept. 30 Balance Sheet Upside-Down by US$76.8 Million ---------------------------------------------------------------- IMAX Corp.'s consolidated balance sheet at Sept. 30, 2007, showed US$212.7 million in total assets and US$289.5 million in total liabilities, resulting in a US$76.8 million total stockholders' deficit. IMAX Corporation reported a net loss of US$7.5 million on revenues of US$29.8 million for the third quarter of fiscal 2007, compared to a restated net loss of US$5.6 million on revenues of US$31.0 million for the third quarter of fiscal 2006. IMAX co-chief executive officers Richard L. Gelfond and Bradley J. Wechsler stated, "We are excited to be on the threshold of launching our digital projection system late in the second quarter of 2008, ahead of schedule. Although we have experienced both disappointments and successes over the course of the past decade in bringing IMAX digital to the cusp of reality, the company is now poised to benefit from the transition from a film-based system to a digital format. We believe our system will embody the IMAX(R) brand and experience and that this transition will have a very positive impact on the company's growth and on our financial performance over the long term." "We are extremely happy with film performance in the third quarter, and indeed throughout 2007," stated Messrs. Gelfond and Wechsler. "The strength of the slate is clearly reflected in our DMR revenues, which increased 84% in the third quarter of fiscal 2007 compared to the fiscal third quarter of last year, and 71% in the first nine months of 2007 compared to the same period last year." Full-text copies of the company's consolidated financial statements for the quarter ended Sept. 30, 2007, are available for free at http://researcharchives.com/t/s?26ec About IMAX Corporation Based in New York City and Toronto, Canada, IMAX Corporation (NASDAQ: IMAX) -- http://www.imax.com/-- designs, manufactures, sells or leases theater systems for large-format theaters including commercial theaters, museums and science centers, and destination entertainment sites. In addition, the company specializes in digital and film based motion picture technologies, designs and manufactures high-end sound systems and produces, remasters and distributes large-format films. At Sept. 30, 2007, there were 296 IMAX theaters operating in 40 countries. IMAX has locations in Guatemala, India, Italy, among others. * * * As reported in the Troubled Company Reporter on Dec. 27, 2007, Standard & Poor's Ratings Services revised its outlook on IMAX Corp. to stable from positive. S&P also affirmed the ratings on the company, including the 'CCC+' corporate credit rating. SHREE RAMA: Incurs INR29.9 Million Net Loss in July-Sept. 2007 -------------------------------------------------------------- In the three months ended Sept. 30, 2007, Shree Rama Multi-Tech Ltd reported a net loss of INR29.9 million, an improvement when compared to the INR39.7-million loss booked in the same quarter in 2006. With revenues totaling INR171.5 million and operating expenditures of INR122.9 million, the company booked an operating profit of INR48.6 million in the July-Sept. 2007 period. The operating profit was pulled down by depreciation for the three-month period of INR76.5 million. The company also booked