/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/080624.mbx 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 Tuesday, June 24, 2008, Vol. 11, No. 124 Headlines A U S T R A L I A ACN 000 656 271: Liquidator to Present Wind-Up Report on June 27 ANDREW S: Placed Under Voluntarily Liquidation ANDREW S: Declares Dividend for Creditors BABCOCK & BROWN POWER: WA Gas Tariffs to Increase on July 1 CITY PACIFIC: Mortgage Fund Pays Off AU$50 Mil. Bank Facility HOMERS BURGERS: Placed Under Voluntarily Liquidation J R GLOBAL: To Declare Dividend on June 26 JAMES HARDIE: IRS Asserts US$49 Million Tax Liabilities LEND LEASE: In Talks With FKP on Securities Acquisition LEND LEASE: Moody's May Cut Ratings Due to Doubt on FKP Purchase LEVEL 7: Appoints Ozem Kassem as Liquidator MANLY ENTERPRISES: Liquidator Presents Wind-Up Report MEN IN BLACK: Commences Liquidation Proceedings MJO ENTERPRISES: Placed Under Voluntary Liquidation OZZIE GLOBAL: Placed Under Voluntary Liquidation QUAMBY EAST: Final Meeting Slated for June 25 ROSETTI & STONE: To Declare Dividend on June 26 SHERIFF DEVELOPMENTS: Placed Under Voluntarily Liquidation SKATEPRINT PTY: Appoints David Leigh as Liquidator WAJIH HASSAN: Placed Under Voluntarily Liquidation C H I N A CHINA EVERBRIGHT: To Sell CNY2BB of 10-Year Subordinated Bonds CHINA SOUTHERN: Hits Lowest Level in Over a Year SHENZHEN BANK: Sees 85-95% Increase in Net Profit for 1H 2008 H O N G K O N G BOMA INVESTMENT: Commences Liquidation Proceedings CAPITAL WAY: Commences Liquidation Proceedings CELLON HONG KONG: Creditors' Proofs of Debt Due on July 11 DEFOND POWERTOOL: Members to Meet on July 21 ELICON FOOTWARE: Creditors' Proofs of Debt Due on July 21 NGO KEE: Creditors' Proofs of Debt Due on July 7 PACIFIC NOMINEES: Members to Meet on July 25 PAUL BENNET: Commences Liquidation Proceedings SINCO TRADE: Creditors' Proofs of Debt Due on July 25 TUXHOUSE HOLDINGS: Creditors' Proofs of Debt Due on July 21 I N D I A BROADCAST INITIATIVES: Board Meeting Scheduled Today DHANWANTI INVESTMENT: RBI Cancels Certificate of Registration GANESH BENZOPLAST: Board Meeting Moved Earlier to June 28 GANGOTRI IRON & STEEL: Tax Probe Delays Annual Report Filing HMT LIMITED: HMT Machine's Rehabilitation Scheme Sanctioned LA-MERE APPARELS: Major Assets Up for Sale or Lease MAITHRI FINANCIAL: RBI Cancels Certificate of Registration NARAYANA CAPITALS: RBI Cancels Certificate of Registration TATA POWER: Earns Rs8699.00 Mil. In Year Ended March 31, 2008 I N D O N E S I A GARUDA INDONESIA: Inks Cooperation Pact With Singapore Airlines * INDONESIA: Can Save IDR200 Tril. in Next 2 Yrs., Says VP Kalla J A P A N FORD MOTOR: Moody's Affirms 'B3' Corporate Family Rating SANYO ELECTRIC: Free Oven Repairs Could Cost Company JPY1-2 Bil. M A L A Y S I A IDAMAN UNGGUL: Terminates Proposed 51% Stake Sale in Anscan PECD BHD: Wind-Up Petition Hearing Against Unit Fixed on Aug. 19 PAN MALAYSIAN: Tan Sri Dato’ Mohd Resigns as Director RANHILL BERHAD: Completes Rationalization Exercise N E W Z E A L A N D ABC 62 LIMITED: Creditors' Proofs of Claim Due on June 30 AMUR PROPERTIES: Peter John Brannigan Appointed as Liquidator BAY CHASSIS: Creditors' Proofs of Claim Due on July 2 BISHOP-EVANS PRINT: Creditors' Proofs of Claim Due July 2 CITILAND LTD: Court Sets July 25 Liquidation Hearing CUSTOMS TRUSTEE: Commences Liquidation Proceedings DAAWAT (JOHNSONVILLE): Commences Liquidation Proceedings SIX INVESTMENTS: Last Day to File Claims is on June 27 THE APPAREL INDEX: Proofs of Claim Due on August 23 P H I L I P P I N E S PICOP RESOURCES: LandBank Wants Court Nod Over Temporary Control * PHILIPPINES: Delay in Balanced Budget Won’t Affect Ratings S I N G A P O R E AVAGO TECH: Moody's Upgrades Corporate Family Rating to 'B1' DEVELOPMENT MANAGEMENT: Court Enters Wind-Up Order MILLENNIUM-WESTMONT: Creditors' Proofs of Debt Due on July 4 MP-BILT PTE: Creditors' Proofs of Debt Due on July 19 PLANET FITNESS: Requires Creditors to File Claims by July 21 STATS CHIPPAC: S&P Rates Proposed Sr. Unsecured Notes at 'BB+' T A I W A N CMC MAGNETIC: To Raise Additional Capital of US$200 Million X X X X X X X X * BOND PRICING: For the Week June 17-June 23, 2008 - - - - - ================= A U S T R A L I A ================= ACN 000 656 271: Liquidator to Present Wind-Up Report on June 27 ---------------------------------------------------------------- Roman Vincent Mizia, ACN 000 656 271 Pty Ltd's appointed estate liquidator, will meet with the company's members on June 27, 2008, to provide them with property disposal and winding-up reports. The liquidator can be reached at: Roman Vincent Mizia 24 Cranbrook Avenue Cremorne NSW 2090 Australia ANDREW S: Placed Under Voluntarily Liquidation ---------------------------------------------- Andrew S Beavon Pty. Ltd.'s members agreed on April 17, 2008, to voluntarily liquidate the company's business. Bradley Tonks and John Vouris were appointed to facilitate the sale of its assets. The liquidators can be reached at: B. J. Tonks Lawler Partners Chartered Accountants Level 9, 1 O'Connell Street Sydney NSW 2000 Australia ANDREW S: Declares Dividend for Creditors ----------------------------------------- Andrew S Beavon Pty Ltd, which is in liquidation, declared its dividend for its creditors. Only creditors who were able to file their proofs of debt by May 20, 2008, were included in the company's dividend distribution. The company's liquidator is: B. J. Tonks Lawler Partners Chartered Accountants Level 9, 1 O’Connell Street Sydney NSW 2000 Ausralia BABCOCK & BROWN POWER: WA Gas Tariffs to Increase on July 1 ----------------------------------------------------------- Babcock & Brown Power Fund disclosed in a regulatory filing that the Western Australian State Government has confirmed that it will increase the cap on gas tariffs for residential and small business customers from July 1, 2008. BBP said the increases are in line with its expectations. According to BBP, for residential customers in the South-West and Mid-West the increase in gas tariff will range from 5.4% for smaller gas users to 16.5% for bigger users, with the median increase approximately 9%. BBP earlier disclosed that it continues to monitor the impact of gas supply disruption from the Varanus Island incident on the Alinta retail business. The company expects the restoration of gas supplies to take longer than two months. In this regard, the company anticipates that: -- Fiscal Year 2008 EBITDA will be in the range of AU$330 million to AU$340 million which is slightly below Alinta Scheme guidance taking into account pro-rata ownership of Alinta assets. -- Fiscal Year 2009 EBITDA is likely to be at the lower end of the known analyst forecast range of AU$439 million to AU$528 million. Dividend Cut Babcock & Brown Power Fund said it will not make a distribution for the six month period ending June 30, 2008, amongst a range of capital initiatives it is investigating to strengthen its balance sheet, which include refinancing of BBP Holdings Pty Ltd's corporate facility of up to AU$360 million. The Wall Street Journal reports that Babcock & Brown Power's securities fell 20% to close at 72 Australian cents Thursday last week on news of the dividend cut. According to WSJ, the company's securities slumped as much as 73% over the past month as it struggled to refinance AU$3.06 billion (US$2.89 billion) in debt and flagged asset sales to help raise at least another AU$275 million for power-plant upgrades. Bloomberg News relates that ABN Amro cut their rating on the stock to “hold” from “buy.” “We have lost what little faith we had in management,” Sydney- based ABN Amro Holding NV analysts Jason Mabee and William Allott wrote in a note to Bloomberg News. However, Bloomberg News cited Chief Executive Officer Paul Simshauser as saying at a conference call held June 19 that a “number” of shareholders are supportive of the decision to scrap the second-half dividend payment. About Babcock & Brown Power Australia-based Babcock & Brown Power (ASX:BBP) is a power generation business, with assets diversified by geographic location, fuel source, customers, contract types and operating mode. The portfolio has interests in 14 operating power stations representing over 4,000MW of installed generation capacity and five power stations under construction. BBP has interests in a number of other associated power assets including the WA retail assets Alinta. Babcock & Brown has been developing, operating and acquiring the generation portfolio over a period of 10 years. Babcock & Brown Power is a listed satellite of Babcock & Brown Ltd. CITY PACIFIC: Mortgage Fund Pays Off AU$50 Mil. Bank Facility ------------------------------------------------------------- City Pacific Ltd. confirmed in a regulatory filing that City Pacific First Mortgage Fund paid AU$50 million off its bank facility on June 20, 2008. With this payment the Fund has reduced its bank facility from AU$240 million in January down to AU$130 million. The Fund's remaining bank debt represents gearing level for the AU$1 billion Fund of 13 percent. The Fund provides loans to both third party external property developers and to related entities in which City Pacific has an equity interest of no greater than 50%. As at December 31, 2007, the loans to external third parties represented 82.6% and loans to related entities represented 17.4% of the total loan portfolio of the Fund. All loans made by the Fund are secured and registered first mortgages over Australian real property and are on normal commercial terms and conditions. The Fund received a loan repayment of AU$60 million on June 19, 2008, bringing the total funds repaid by borrowers to the Fund this financial year to approximately AU$855 million (AU$340 million since December 31, 2007). Of the AU$855 million received by the Fund $655 million was advanced to borrowers in order to complete existing projects in the usual course of their developments. City Pacific stands behind the strength of the loan portfolio for the Fund which has historically turned over an average of 80 percent per annum and comprises quality projects located in areas where property market and population growth figures remain strong. Over the past four months loan repayments coming back to the Fund through the normal course of the Fund's operations have allowed for: -- the reduction of the Fund's bank facility by AU$110 million to AU$130 million; -- the continued payment of monthly and quarterly distributions to investors; and -- the continued funding of ongoing obligations to existing borrowers to allow for the completion of projects in order to preserve the value of the Fund. Loan Extension As reported in the Troubled Company Reporter-Asia Pacific on June 6, 2008, the Fund's financier agreed to extend the date of repayment of the facility until July 31, 2008. The facility has been reduced from AU$240 million to AU$180 million through its usual business operations. The loan to value ratio for this facility currently stands at 13.2% of the Fund's assets. According to City Pacific, the AU$700 million to be repaid by the end of this calendar year relates to loans due to be repaid to the Fund by borrowers and is not funds due to be repaid by the Fund. The Fund has a number of loans scheduled to be repaid during this month which will enable it to reduce its obligations to its bankers, City Pacific said. City Pacific noted that the cooperation of its bankers in managing its cashflows to reduce the company's debt levels has been necessary over the last few months as the turnover of borrowings being repaid to the Fund has fallen behind expected levels. “This slowdown is not a reflection on the quality of the assets but rather a reflection of the impact of the global credit situation,” City Pacific said. The directors of City Pacific remain confident of continuing to reduce debt levels and implementing appropriate arrangements in respect of any residual debt prior to July 31, 2008. However, the company says if major delays in settlements returning funds continue to occur this could impact on investors' ability to redeem their funds in September when restrictions on redemptions are due to be lifted. AU$100 Mil. Corporate Facility City Pacific's corporate facility is scheduled to be repaid in October 2008 and the Directors are confident of significantly reducing the facility prior to the repayment date. The reduction will be made through a number of transactions including the sale or joint venture arrangements of certain assets held by City Pacific. CEC Deal City Pacific gave CEC Group Limited until July 2, 2008, to complete its due diligence inquiries with regards to the company's future development area -- the Townsville Ocean Terminal project. City Pacific said it has not received formal notice from CEC, a North Queensland developer, that the sale of the project will not proceed. The company said it will negotiate with other interested parties during the due diligence period and may terminate the agreement with CEC should it receive an acceptable offer for the Townsville project. The development, acquired by City Pacific on June 30, 2006, includes a dedicated cruise ship terminal and wharf area and the reclamation of land which will feature up to 700 luxury waterfront lots and units including a retail precinct. About City Pacific City Pacific Limited (ASX: CIY) -- http://www.citypac.com.au/ -- is a diversified financial services company, providing finance and investment products. City Pacific, a non-bank loan provider, has AU$5 billion in mortgage assets under advice, comprising over AU$1 billion funds under management in the City Pacific First Mortgage Fund, City Pacific Income Fund, City Pacific Managed Fund and City Pacific Private Fund, a residential loan book of AU$3.3 billion and commercial mortgage assets under management of approximately AU$800 million. City Pacific originates nearly AU$3 billion per annum in loans to fund residential property, property development, commercial property investment, plant & equipment and business finance. HOMERS BURGERS: Placed Under Voluntarily Liquidation ---------------------------------------------------- Homers Burgers, Seafood & Chickens Pty. Ltd.'s members agreed on Feb. 18, 2008, to voluntarily liquidate the company's business. Ozem Kassem and Daniel Juratowitch were appointed to facilitate the sale of its assets. The liquidators can be reached at: Ozem Kassem Cor Cordis Chartered Accountants Level 10, 76-80 Clarence Street Sydney NSW 2000 Australia Telephone: (02) 8221 8433 Facsimile: (02) 8221 8422 J R GLOBAL: To Declare Dividend on June 26 ------------------------------------------ J R Global Holdings Pty. Limited will declare dividend on June 26, 2008. Only creditors who were able to file their proofs of debt by June 10, 2008, will be included in the company's dividend distribution. The company's liquidator is: Ozem Kassem Cor Cordis Chartered Accountants Level 10, 76-80 Clarence Street Sydney NSW 2000 Australia Telephone: (02) 8221 8433 Facsimile: (02) 8221 8422 JAMES HARDIE: IRS Asserts US$49 Million Tax Liabilities ------------------------------------------------------- James Hardie Industries NV said that the US Internal Revenue Service (IRS) has issued a Notice of Proposed Adjustment (NOPA) that concludes that the company is not in compliance with the United States–Netherlands Treaty Limitation on Benefits (LOB) provision for the years 2006 and 2007 and that it is not entitled to reduced withholding tax rates on payments from the United States to The Netherlands. The company said that the relevant LOB provisions became effective at the beginning of 2006, following the ratification in November 2004 of a new protocol in the US–Netherlands tax treaty. James Hardie’s Chief Financial Officer, Russell Chenu, said James Hardie does not agree with the conclusions reached by the IRS. “We will contest the IRS’ findings through the continuing audit process and, if necessary, we will exercise our rights to an impartial hearing before the Appeals Division of the IRS to resolve this matter,” he said. “At that stage, if we are not satisfied with the settlement offer from the Appeals Division, we would consider the option of litigating our position in the US Tax Court.” If the IRS position ultimately prevails, James Hardie would be liable for withholding taxes of 30% on dividend, royalty and interest payments from its US subsidiaries to its Netherlands companies for calendar years 2006 and 2007. The tax increase attributable to the NOPA consists of primary tax of US$37 million, estimated penalties of approximately US$7 million and estimated interest of approximately US$5 million. Because the proposed adjustment is still subject to the continuing audit process, there is no requirement at this time for any payment of these taxes. If an agreement cannot be reached with the IRS during this audit process and the company opts to exercise its appeal rights, there still would not be a requirement to pay any of the contested tax amounts during the appeal process. However, interest will continue to accrue on the proposed tax deficiency for the period of time that the un- agreed issue remains outstanding, until the date that a settlement agreement is signed with either the IRS auditor, the appeals officer or, if litigated, a decision is entered by the US Tax Court. The company can also opt to post a bond to stop the running of interest. The accounting treatment of the NOPA received from the IRS will be the subject of review during the preparation of the company’s financial statements for the year ending March 31, 2009. James Hardie is also facing another lawsuit filed by the Australian Taxation Office. As reported in the Troubled Company Reporter-Asia Pacific on June 20, 2008, the ATO commenced proceedings in the Federal Court of Australia seeking the reinstatement of James Hardie Australia Finance Pty Limited (JHAF) in James Hardie Industries NV. JHAF is a former subsidiary of James Hardie Industries that was deregistered on August 23, 2005, following a member’s voluntary winding up. The ATO has been conducting an audit of certain Australian income tax returns lodged by James Hardie group for the year ended March 31, 2002, and James Hardie has been in confidential discussions with the tax agency concerning finalization of the 2002 tax audit. The company said the reinstatement of JHAF is a necessary pre- requisite to the ATO issuing an amended assessment in respect of one of the issues that has been the focus of the ATO’s inquiries during the 2002 tax audit, and that the ATO is taking that step notwithstanding the continuation of settlement discussions. The company’s Chief Financial Officer, Russell Chenu, said “We understand that the ATO is taking this action as a preliminary step to issuing an amended assessment in respect of at least one of the matters on which the ATO’s views as to the tax payable differs from the position taken in the tax return.” Based on ATO's calculations, the primary tax due in respect of JHAF is AU$101.5 million. Any assessment could also be expected to include penalties estimated at AU$50.8 million and general interest charges estimated at AU$88 million. Any reinstatement of JHAF would be likely to involve the appointment of a new liquidator, who would need to determine, among other things, whether and to what extent JHAF was able to put itself in a position to meet any ultimate tax liability assessed in respect of it. The company said it is considering its position with respect to the ATO proceedings, the merits of the ATO’s tax claim and its position with respect to any obligations of JHAF to the ATO given its prior winding up. Mr. Chenu said that, in the event that the company is found to have, or otherwise accepts, any liability for tax assessed solely against JHAF or is required to make payments on account of that tax while in dispute, the company expects to have available cash and existing unutilised debt facilities to meet any payment obligations. The accounting treatment of any assessments or other payments would be the subject of further consideration once the company has further information. Shares Tumbles to 7-Year Low Bloomberg News relates that James Hardie slumped to its lowest in almost seven years in Sydney trading after news of the ATO action. According to Bloomberg, James Hardie shares fell 4.1 percent to AU$4.69 at 12:30 p.m. on the Australian stock exchange, the lowest since December 2001. The company's stock has lost almost half its value over the past 12 months, taking its market value to AU$2 billion, Bloomberg says. Effect of U.S. Housing Slump In its latest financial results, James Hardie disclosed that the slump in the US housing market, its largest market, deepened during the fourth quarter as builders continued to reduce the pace of new home construction in an environment of weak sales and high inventories of new homes for sale. Notwithstanding, James Hardie said the business was able to partly offset the impact of the much weaker housing market during the year through market penetration against alternative materials. USA Fibre Cement net sales fell 20% for the quarter and 9% for the full year. EBIT was down 41% to US$50.3 million and 13% to $313.6 million for the quarter and full year, respectively, due to lower volumes and higher costs, partially offset by lower SG&A spending for the full year. Commenting on the results, James Hardie’s CEO, Mr. Louis Gries said: “Overall, our major businesses performed relatively well for the year in very challenging market conditions, particularly in the United States. However, fourth quarter results were disappointing. In the US, the housing market continued to deteriorate in all four quarters of this past year. New housing starts were down 37% from last year and 55% from their peak in 2006.” “Indicators of future housing construction activity suggest some further weakness is to be expected. However, early first quarter sales for the US business indicate a slight pick up in demand, although not to the extent experienced in previous years,” Mr. Gries said. About James Hardie Industries N.V. Headquartered in Sydney, Australia, James Hardie Industries N.V. (ASX:JHX) -- http://www.ir.jameshardie.com.au/-- is an international building materials group, which produces a range of fiber cement building materials used in the exterior and interior of residential and commercial buildings, from exterior cladding and internal lining to pipes, bracing, decorative elements and fencing. The company's segments include USA Fibre Cement, Asia Pacific Fibre Cement and the Other segment. USA Fibre Cement manufactures and sells fiber cement interior linings, exterior siding and related accessories products in the United States. Asia Pacific Fibre Cement includes all fiber cement manufactured in Australia, New Zealand and the Philippines and sold in Australia, New Zealand and Asia. Other includes the manufacture and sale of fiber cement products in Chile, the manufacture and sale of fiber cement reinforced pipes in the United States, fiber cement operations in Europe and roofing operations in the United States. The roofing plant was closed and the business ceased opera. James Hardie underwent a corporate restructuring and redomiciled in the Netherlands in the second half of 2001. The company's securities ceased trading under the Australian Securities Exchange code 'HAH' on October 12, 2001, and commenced trading under a new ASX code 'JHX' on October 15. 2004. LEND LEASE: In Talks With FKP on Securities Acquisition ------------------------------------------------------- Lend Lease Corporation Limited confirmed that it had discussions with FKP Property Group (“FKP”) regarding the potential acquisition of all of the issued securities in FKP. Lend Lease said it is disappointed that the Board of FKP has rejected its proposal. The price proposed of AU$5.00 per FKP security (plus retention of the final FKP distribution of 15.7 cents) would represent a substantial 65% premium to the 3 month volume weighted average FKP security price on the day prior to Lend Lease's initial approach to FKP. Lend Lease believes the combination of the two companies would have provided an exciting opportunity to create a leading ASX listed, globally diversified property group with significant benefits for shareholders of Lend Lease and FKP. If combined, the group would become Australia's leading integrated developer, owner and operator of retirement villages and a leading developer of master planned urban communities. With Lend Lease's strong balance sheet and low gearing, the combined group would have enhanced capacity to fund FKP's development pipeline and to fund future growth. Lend Lease remains open to continuing discussions with FKP. Given Lend Lease's strong financial position, Lend Lease will continue to evaluate strategic opportunities which it considers will create value for its shareholders. About Lend Lease Lend Lease Corporation, headquartered in Sydney, Australia, is involved in various property related activities in Asia Pacific, USA and Europe. The company's operations are diversified into retail and residential property development, construction activities and funds management. FKP is a Queensland-based property company with total asset of AU$3.8 billion as at December 2007. LEND LEASE: Moody's May Cut Ratings Due to Doubt on FKP Purchase ---------------------------------------------------------------- Moody's Investor Services said that it is closely monitoring developments following Lend Lease's announcement that it was in discussion with FKP Property Group regarding the potential acquisition of all of the issued securities in FKP. Moody's is not taking any rating action at this stage since no formal offer has been made and the initial approach has been rejected by FKP. There is therefore no certainty that any further action will occur. "To the extent that a formal takeover offer is made, Lend Lease's Baa3 ratings could be placed under review for possible downgrade", said Clement Chong, VP/Senior Analyst, adding, "Such a rating action would reflect significant uncertainties surrounding the offer, including the quality of FKP's assets, integration risk, funding strategy, and financial policy of the combined group" About Lend Lease Lend Lease Corporation, headquartered in Sydney, Australia, is involved in various property related activities in Asia Pacific, USA and Europe. The company's operations are diversified into retail and residential property development, construction activities and funds management. FKP is a Queensland-based property company with total asset of AU$3.8 billion as at December 2007. LEVEL 7: Appoints Ozem Kassem as Liquidator ------------------------------------------- Level 7 Cafe Pty. Ltd.'s members agreed on March 28, 2008, to voluntarily liquidate the company's business. Ozem Kassem was appointed to facilitate the sale of its assets. The liquidators can be reached at: Ozem Kassem Cor Cordis Chartered Accountants Level 10, 76-80 Clarence Street Sydney NSW 2000 Australia Telephone: (02) 8221 8433 Facsimile: (02) 8221 8422 MANLY ENTERPRISES: Liquidator Presents Wind-Up Report ----------------------------------------------------- Warren White, Manly Enterprises Pty. Ltd.'s estate liquidator, met with the company's members on June 6, 2008, and provided them with property disposal and winding-up reports. The liquidator can be reached at: Peter Krejci GHK Ferrier Green Krejci Silvia Level 13, 1 Castlereagh Street Sydney NSW 2000 Australia MEN IN BLACK: Commences Liquidation Proceedings ----------------------------------------------- Men In Black Building Company Pty. Ltd.'s members agreed on April 10 2008, to voluntarily liquidate the company's business. John Frederick Lord and Atle Crowe-Maxwell were appointed to facilitate the sale of its assets. The liquidators can be reached at: Atle Crowe-Maxwell PKF Level 10, 1 Margaret Street Sydney NSW 2000 Australia MJO ENTERPRISES: Placed Under Voluntary Liquidation --------------------------------------------------- MJO Enterprises Pty. Ltd.'s members agreed on April 17 2008, to voluntarily liquidate the company's business. Ken Whittingham and Atle Crowe-Maxwell were appointed to facilitate the sale of its assets. The liquidators can be reached at: Ken Whittingham PKF Level 10, 1 Margaret Street Sydney NSW 2000 Australia OZZIE GLOBAL: Placed Under Voluntary Liquidation ------------------------------------------------ Ozzie Global Pty. Ltd.'s members agreed on April 10, 2008, to voluntarily liquidate the company's business. Bradley Tonks and Stewart Free were appointed to facilitate the sale of its assets. The liquidators can be reached at: B. Tonks Lawler Partners Chartered Accountants Level 9, 1 O’Connell Street Sydney NSW 2000 Australia QUAMBY EAST: Final Meeting Slated for June 25 --------------------------------------------- Quamby East Pastoral Company Pty Ltd will hold a final meeting for its members at 10:00 a.m. on June 25, 2008. During the meeting, the company's liquidator, Sule Aarnautovic at Jenkins Peake Chartered Accountants, will provide the attendees with property disposal and winding-up reports. The company's liquidator can be reached at: Sule Arnautovic Jenkins Peake Chartered Accountants PO Box 1570 Geelong VIC 3220 Australia Telephone: (03) 5223 1000 Facsimile: (03) 5221 4938 ROSETTI & STONE: To Declare Dividend on June 26 ------------------------------------------------ Rosetti & Stone (Aust) Pty. Limited will declare dividend on June 26, 2008. Only creditors who were able to file their proofs of debt by June 10, 2008, will be included in the company's dividend distribution. The company's liquidator is: Ozem Kassem Cor Cordis Chartered Accountants Level 10, 76-80 Clarence Street Sydney NSW 2000 Australia Telephone: (02) 8221 8433 Facsimile: (02) 8221 8422 SHERIFF DEVELOPMENTS: Placed Under Voluntarily Liquidation ---------------------------------------------------------- Sheriff Developments Pty. Ltd.'s members agreed on March 14, 2008, to voluntarily liquidate the company's business. Ozem Kassem and Bruno Secatore were appointed to facilitate the sale of its assets. The liquidators can be reached at: Ozem Kassem Cor Cordis Chartered Accountants Level 10, 76-80 Clarence Street Sydney NSW 2000 Australia Telephone: (02) 8221 8433 Facsimile: (02) 8221 8422 SKATEPRINT PTY: Appoints David Leigh as Liquidator -------------------------------------------------- Skateprint Pty. Ltd.'s members agreed on April 17, 2008, to voluntarily liquidate the company's business. David Leigh was appointed to facilitate the sale of its assets. The liquidators can be reached at: David Leigh PPB Level 2, 75-77 Clarence Street Port Macquarie NSW 2444 Australia Telephone: (02) 6580 0400 WAJIH HASSAN: Placed Under Voluntarily Liquidation -------------------------------------------------- Wajih Hassan Group Pty. Ltd.'s members agreed on March 14, 2008, to voluntarily liquidate the company's business. Ozem Kassem and Bruno Secatore were appointed to facilitate the sale of its assets. The liquidators can be reached at: Ozem Kassem Cor Cordis Chartered Accountants Level 10, 76-80 Clarence Street Sydney NSW 2000 Australia Telephone: (02) 8221 8433 Facsimile: (02) 8221 8422 ========= C H I N A ========= CHINA EVERBRIGHT: To Sell CNY2BB of 10-Year Subordinated Bonds -------------------------------------------------------------- China Everbright Bank plans to sell CNY2 billion (US$291 million) of 10-year subordinated bonds in the interbank market as it prepared for an IPO, Reuters reports. As reported by the Troubled Company - Asia Pacific on June 19, 2008, the bank has applied for a domestic public offering through the country's stock regulator. The bank had met the basic requirements for the A share initial public offering. The issue, Reuters relates, is expected to boost Everbright Bank's capital adequacy ratio. According to Reuters, the 10-year subordinated bonds, to be priced this Friday and issued through June 30, will pay a fixed coupon for the first five years. If the bonds are not called by the issuer after five years, the coupon will rise by 3 percentage points, the report says. About China Everbright Bank Headquartered in Beijing, China, China Everbright Bank Company -- http://www.cebbank.com/-- is the first state-owned commercial bank with shares held by international financial institutions. Everbright Bank is 21%-owned by Hong Kong-listed China Everbright Ltd, an Everbright Group unit. The Asian Development Bank is the only foreign stakeholder, with 2%. * * * As of June 18, 2008, the bank still holds Moody's “Ba1” Foreign LT Bank Deposit rating and “D” bank Financial Strength rating. The Troubled Company Reporter-Asia Pacific stated on Aug. 9, 2007, that China approved China Everbright Bank's plan for financial restructuring, paving the way for a capital injection and eventual listing. CHINA SOUTHERN: Hits Lowest Level in Over a Year ------------------------------------------------ China Southern Airlines Co. Limited's shares gapped open lower on June 20, and have been drifting lower since then, Reuters reports. According to the report, the stock is currently trading at US$21.80 down $1.62 from Thursday's close. With the decline, the report notes, the stock has extended recent losses and has fallen to its lowest level in over a year. Headquartered in Guangzhou, China, China Southern Airlines Co. Ltd. -- http://www.cs-air.com-- engages in the operation of airlines, as well as in aircraft maintenance and air catering operations in the People's Republic of China and internationally. It provides commercial airlines, cargo services, logistics operations, air catering, utility service, hotel operation, travel services, aircraft leasing, and Internet services. * * * As reported in the Troubled Company Reporter-Asia Pacific on March 3, 2008, Fitch Ratings affirmed China Southern Airlines Co. Ltd.'s “B+” Long-term Foreign Currency and Local Currency Issuer Default Ratings. The Outlook on the ratings is Stable. SHENZHEN BANK: Sees 85-95% Increase in Net Profit for 1H 2008 ------------------------------------------------------------- Shenzhen Development Bank Company Ltd. sees a 85 and 95% increase in its net profit in the first half of 2008, to CNY2.08-2.19 billion (US$302-318 million), Andrew Torchia of Reuters reports. The bank, the report relates, cited growth in lending, expanding interest margins, development of its intermediary business, a fall in bad loans and a lower effective tax rate. Deposits grew much faster than loans because of government quotas on loan growth, the bank said. As reported by the Troubled Company Report-Asia Pacific on April 17, 2008, Shenzhen Development Bank's first quarter net profit rose 80-90% to CNY535 million from a year earlier. The company estimated its earnings per share would rise 56 to 63% from the year-ago result of CNY0.27. According to Reuters, the estimate does not take into account the possible exercise of more warrants late this month. Investors will be able to exercise the warrants at CNY19.00 per share to buy as many as 104 million new shares, the report notes. About Shenzhen Development Bank Headquartered in Shenzhen, Guangdong, People's Republic of China, Shenzhen Development Bank Company Ltd.'s -- http://www.sdb.com.cn/-- provides local and foreign currency deposits and loan services. Other activities include foreign currencies exchanging, foreign currency deposit and remittances, acts as an agent for issuing foreign currency value-bearing securities, management of letters of credit and operation of both an international and a domestic discounting service. * * * The Troubled Company Reporter-Asia Pacific reported that Moody's Investors Service, on May 4, 2007, assigned E+ for the bank's Financial Strength Rating. The long-term Foreign Currency Deposit Rating is Ba3. The short-term Foreign Currency Deposit Rating is NP. Moody's said the outlook for all ratings is positive. ================ H O N G K O N G ================ BOMA INVESTMENT: Commences Liquidation Proceedings -------------------------------------------------- Boma Investment Management Limited's members agreed on June 6, 2008, to voluntarily liquidate the company's business. The company has appointed Nathalia Seng Sze Ka Mee and Cynthia Wong Tak Yeeto facilitate the sale of its assets. The company's liquidators are: Nathalia Seng Sze Ka Mee Cynthia Wong Tak Yee Level 28, Three pacific Place 1 Queen's Road East, Hong Kong CAPITAL WAY: Commences Liquidation Proceedings ----------------------------------------------- Capital Way International Limited's members agreed on June 11, 2008, to voluntarily liquidate the company's business. The company has appointed Billy Li Sze Kuen to facilitate the sale of its assets. The liquidator can be reached at: Billy Li Sze Kuen 12th Floor, No. 3 Lockhart Road Wanchai, Hong Kong CELLON HONG KONG: Creditors' Proofs of Debt Due on July 11 ---------------------------------------------------------- The creditors of Cellon Hong Kong Limited are required to file their proofs of debt by July 11, 2008, to be included in the company's dividend distribution. The company's liquidators is: Cosimo Borrelli 1401, Level 14, Tower 1 Admiralty Centre, 18 Harcourt Road Hong Kong DEFOND POWERTOOL: Members to Meet on July 21 -------------------------------------------- The members of Defond Powertool Components Limited will have their final general meeting on July 21, 2008, at Cahiwan Industrial Centre, 5th Floor, 20 Lee Chung Street, Chai Wan, in Hong Kong to hear the liquidator's report on the company's wind- up proceedings and property disposal. The company's liquidator can be reached at: Tsang Ming Chit Stanley Cahiwan Industrial Centre 5th Floor, 20 Lee Chung Street Chai Wan, Hong Kong ELICON FOOTWARE: Creditors' Proofs of Debt Due on July 21 --------------------------------------------------------- The creditors of Elicon Footware (Hong Kong) Limited are required to file their proofs of debt by July 21, 2008, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 10, 2008. The company's liquidators is: Kenneth Raymond Deayton Tower One, 38th Floor Lippo Centre, 89 Queensway Hong Kong NGO KEE: Creditors' Proofs of Debt Due on July 7 ------------------------------------------------ The creditors of Ngo Kee Enterprises Limited are required to file their proofs of debt by July 7, 2008, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 12, 2008. The company's liquidator is: Loo Wun Loong John Braga Circuitm 3rd Floor Kardoorie Hill, Kowloon PACIFIC NOMINEES: Members to Meet on July 25 -------------------------------------------- The members of Pacific Nominees Limited will have their final general meeting on July 25, 2008, at 1902 MassMutual Tower, 38 Gloucester Road, Wanchai, in Hong Kong to hear the liquidator's report on the company's wind-up proceedings and property disposal. The company's liquidator can be reached at: Ngan Lin Chun Esther 1902 MassMutual Tower 38 Gloucester Road, Wanchai Hong Kong PAUL BENNET: Commences Liquidation Proceedings ---------------------------------------------- Paul Bennet (H.K.) Limited's members agreed on June 13, 2008, to voluntarily liquidate the company's business. The company has appointed Raineier Hok Chung and John James Toohey to facilitate the sale of its assets. The liquidators can be reached at: Raineier Hok Chung John James Toohey Prince's Building, 22nd Floor Central, Hong Kong SINCO TRADE: Creditors' Proofs of Debt Due on July 25 ----------------------------------------------------- The creditors of Sinco Trade Limited are required to file their proofs of debt by July 25, 2008, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 13, 2008. The company's liquidator is: Kong Chi How, Johnson Wing On Centre, 25th Floor No. 111 Connaught Road, Central Hong Kong TUXHOUSE HOLDINGS: Creditors' Proofs of Debt Due on July 21 ----------------------------------------------------------- The creditors of Tuxhouse Holdings Limited are required to file their proofs of debt by July 21, 2008, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 10, 2008. The company's liquidators is: Nathalia Seng Sze Ka Mee Cynthia Wong Tak Yee Level 28, Three pacific Place 1 Queen's Road East, Hong Kong ========= I N D I A ========= BROADCAST INITIATIVES: Board Meeting Scheduled Today ---------------------------------------------------- Broadcast Initiatives Ltd's Board of Directors scheduled a meeting today June 24, 2008, inter alia, to consider the options for raising funds by way of issue of equity shares/equity share warrants convertible into equity shares or any other financial instruments which would be converted into or exchanged with equity shares at a later date, to individuals/corporate bodies under the provisions of the Companies Act, 1956 and SEBI (Disclosure and Investor Protection) Guidelines, 2000. Headquartered in Mumbai, India, Broadcast Initiatives Limited (BOM:532816) -- http://www.liveindia.tv/-- fka Sri Adhikari Brothers News & Television Network Limited, is a media firm. The company owns the Hindi language television news channel Janmat, which was launched on April 30, 2006. The company is a group company of Sri Adhikari Brothers Television Network Limited. * * * For the quarter ended Dec. 31, 2007, the company incurred a net loss of Rs.111.17 million on net sales of Rs.35.62 million. For the quarter ended Sept. 30, 2007, the company incurred a net loss of Rs.75.20 million on net sales of Rs.29.16 million. For the quarter ended June 30, 2007, the company incurred a net loss of Rs.33.52 million on net sales of Rs.35.72 million. For the year ended March 31, 2007, the company incurred a net loss of Rs.121.30 million on net sales of Rs.134.58 million. DHANWANTI INVESTMENT: RBI Cancels Certificate of Registration ------------------------------------------------------------- The Reserve Bank of India cancelled the certificate of registration granted to Dhanwanti Investment Limited for carrying on the business of a non-banking financial institution as the company has opted to exit from the business of a non- banking financial institution. Following cancellation of the registration certificate, Dhanwanti Invetment Limited, cannot transact the business of a non-banking financial institution. Under powers conferred by Section 45-IA (6) of the Reserve Bank of India Act, 1934, the Reserve Bank can cancel the registration certificate of a non-banking financial company. The business of a non-banking financial institution is defined in clause (a) of Section 45-I of the Reserve Bank of India Act, 1934. Dhanwanti Investment Limited's registered office is at 17/104, Rayaji Street in Nellore. GANESH BENZOPLAST: Board Meeting Moved Earlier to June 28 --------------------------------------------------------- Ganesh Benzoplast Limited disclosed in a regulatory filing that due to pre-occupancy of its directors, the Board meeting will be held on "June 28, 2008" instead of "June 30, 2008" to consider the audited financial results of the company for the year ended March 31, 2008. At the meeting, the Board will also consider appointment of an independent director. In March, Shri. Gyan Chordia resigned as director of the company. A Board meeting was scheduled on April 10, 2008, to consider and approve the resignation of Shri. Gyan Chordia from the Board. Ganesh Benzoplast Limited -- http://www.ganeshgroup.com/-- is engaged in food, pharmaceuticals, Lubricants, paint, rubber and plastic industries. * * * Ganesh Benzoplast Limited incurred four consecutive annual net losses. For the year ended March 31, 2007, the company incurred a net loss of Rs.237.98 million on net sales of Rs.453.65 million. For the year ended March 31, 2006, the company incurred a net loss of Rs.813.18 million on net sales of Rs.407.95 million. For the year ended March 31, 2005, the company incurred a net loss of Rs.1143 million on net sales of Rs.289.48 million. For the year ended March 31, 2004, the company incurred a net loss of Rs.1365.99 million on net sales of Rs.292.77 million. GANGOTRI IRON & STEEL: Tax Probe Delays Annual Report Filing ------------------------------------------------------------ Gangotri Iron & Steel Company Ltd disclosed in a regulatory filing that a survey u/s 133A of the Income Tax Act, 1961 was conducted in the company's office premises at Patna and Kolkata on June 11, 2008 by the Income Tax Department. According to Gangotri, the department seized/impounded several books of accounts, documents, registers and computer hard discs of the company and the matter is still under investigation. The company said it is yet to be provided copies of the documents and records impounded by the IT department. Consequently, the company said it is unable to present the audited accounts for the year ended March 31, 2008 before the board of directors by June 30, 2008. Hence the company is unable to publish the audited financial results within the due date. The company said it is taking necessary steps to publish the financial results as early as possible. Gangotri Iron & Steel Co. Ltd. (GISC:BSE), fka Esskayjay Ispat Ltd., manufactures and distributes steel products. The company was founded in 1992 and is based in Patna, Bihar. HMT LIMITED: HMT Machine's Rehabilitation Scheme Sanctioned ----------------------------------------------------------- The Rehabilitation Scheme of HMT Machine Tools Ltd, a wholly owned subsidiary of HMT Ltd, was sanctioned for immediate implementation by the Board for Industrial and Financial Reconstruction vide Order dated June 13, 2008. The Rehabilitation Scheme is based on the Revival Plan of HMT Machine Tools Ltd approved by the Government of India during March 2007 envisaging funds Infusion in the form of Equity and Preference Shares Conversion of Government of India Loans into Equity and waiver of Interest on Government of India Loan. The Rehabilitation Scheme also envisages various concessions and relief's from various stakeholders like Banks, Creditors, Investors, statutory authorities etc. apart from the Merger of Praga Tools Ltd, Hyderabad, another Subsidiary of HMT Ltd, with HMT Ltd effective April 1, 2007. Headquartered in Bangalore, India, HMT Limited -- http://www.hmtindia.com/-- manufactures and sells tractors and food processing machines. The company is also involved in the manufacture of watches, printing machinery, metal forming presses, die casting and plastic processing machinery, computer numerically controlled (CNC) systems and bearings. The company’s subsidiaries include: HMT Machine Tools Limited, HMT Watches Limited, HMT-CHINAR Watches Limited, HMT (International) Limited, HMT Bearings Limited and Praga Tools Limited. HMT Limited also has a joint venture with SUDMO-HMT Process Engineers (India) Limited. HMT Limited incurred five consecutive quarterly losses. Quarter Ended Net Loss ------------- -------- 31-Dec-07 Rs.157.50 million 30-Sep-07 Rs.32.40 million 30-Jun-07 Rs.109.10 million 31-Mar-07 Rs.163.5 million 31-Dec-06 Rs.44.90 million LA-MERE APPARELS: Major Assets Up for Sale or Lease --------------------------------------------------- La-Mere Apparels Ltd's Board of Directors, at a meeting held June 21, 2008, approved the sale, lease or disposal of the company's plant, machinery, land and building. At the meeting, the Board also agreed to shift the registered office of the company from 84, Village Khoda, Ta. Sanand, Ahmedabad to 702, Silicon Tower, Near Samartheshwar Mahadev Temple, Law Garden, Ahmedabad. Reduction Order On January 22, 2008, La-Mere Apparels said it received an order from the Honourable Gujarat High Court at Ahmedabad approving the scheme of reduction of share capital. The scheme of reduction was effected by a special resolution passed in the company's annual general meeting held on August 25, 2007. The paid up share capital of the company as a result of reduction was expected to be reduced from Rs 19,99,83,000/- to Rs 4,99,95,750/- which reduction will be effected by canceling the capital to the extent of Rs 7.50 per equity share i.e. Rs 14,99,87,250/- in respect of 1,99,98,300 fully paid up equity shares of Rs 10/- each and by reducing the nominal amount of all the shares in the Company's capital from Rs 10/- each to Rs 2.50 per equity share. After the reduction being effected, the resulting 1,99,98,300 fully paid up equity shares of Rs 2.5 each will be consolidated into 49,99,575 Equity Shares of Rs 10/- each fully paid up by issue of one new share of Rs 10/- each against 4 shares of Rs 2.5 each. In March, La-Mere Apparels' Board allotted 49,99,575 equity shares to its eligible shareholders pursuant to the scheme of reduction of the shares. About La-Mere Apparels Ltd La Mere Apparels Ltd. -- http://www.la-mere.com/-- is engaged in readymade garments industry. The company has a fully owned subsidiary in the name of Sanblue enterprises Pvt. Ltd, engaged in development and promotion of an exclusive Information based portal for the global Garment & Textile industry www.fibre2fashion.com. * * * For the year ended March 31, 2008, the company incurred a net loss of Rs.0.04 million on net sales of Rs.0.86 million. For the year ended March 31, 2007, the company reported a net profit of Rs.0.02 million on net sales of Rs.10.65 million. For the year ended March 31, 2006, the company zero profit on net sales of Rs.17.80 million. For the year ended March 31, 2005, the company incurred a net loss of Rs.0.11 million on net sales of Rs.11.38 million. MAITHRI FINANCIAL: RBI Cancels Certificate of Registration ---------------------------------------------------------- The Reserve Bank of India cancelled the certificate of registration granted to Maithri Financial Services Limited for carrying on the business of a non-banking financial institution. Following cancellation of the registration certificate, Maithri Financial Services Limited, cannot transact the business of a non-banking financial institution. By the powers conferred under Section 45-IA (6) of the Reserve Bank of India Act, 1934, the Reserve Bank can cancel the registration certificate of a non-banking financial company. The business of a non-banking financial institution is defined in clause (a) of Section 45-I of the Reserve Bank of India Act, 1934. Maithri Financial Services Limited's registered office is at H.No.6-3-661/6, Plot No.12, Sangeeth Nagar, Somajiguda, in Hyderabad. NARAYANA CAPITALS: RBI Cancels Certificate of Registration ---------------------------------------------------------- The Reserve Bank of India cancelled the certificate of registration granted to Narayana Capitals Limited for carrying on the business of a non-banking financial institution. Following cancellation of the registration certificate, Narayana Capitals Limited, cannot transact the business of a non-banking financial institution. By the powers conferred under Section 45-IA (6) of the Reserve Bank of India Act, 1934, the Reserve Bank can cancel the registration certificate of a non-banking financial company. The business of a non-banking financial institution is defined in clause (a) of Section 45-I of the Reserve Bank of India Act, 1934. Narayana Capitals Limited's registered office is at 8-3-677/15, S.K.D. Nagar, Srinagar Colony, in Hyderabad. TATA POWER: Earns Rs8699.00 Mil. In Year Ended March 31, 2008 ------------------------------------------------------------- Tata Power Company Ltd posted a net profit after tax of Rs 8699.00 million for the year ended March 31, 2008 as compared to Rs 6968.00 million for the year ended March 31, 2007. Total income has increased from Rs 50593.10 million for the year ended March 31, 2007 to Rs 63817.50 million for the year ended March 31, 2008. On a consolidated basis, the Group has posted a net profit after statutory appropriations of Rs 9964.80 million for the year ended March 31, 2008 as compared to Rs 7367.80 million for the year ended March 31, 2007. Total Income increased from Rs 67427.10 million for the year ended March 31, 2007 to Rs 113695.10 million for the year ended March 31, 2008. Commenting on the results, Mr. Prasad Menon, Tata Power Managing Director said: “The company continues to consolidate its growth plans through capacity expansion and has achieved significant milestones this fiscal by completing financing of its two key projects under implementation -- 4000 MW Mundra project and 1050 MW Maithon project and synchronization of its first unit at Haldia power plant. On an encouraging note, all our units are running at high plant load factor leading to higher generation and profitability as a result of our continued focus on optimizing operational efficiencies. It is our endeavour to continue to perform on a sustained basis through robust performance and cost-focus and by setting industry benchmarks through enhanced efficiency.” Board Recommends Dividend Tata Power's Board of Directors, at its meeting held on June 23, 2008, inter alia, recommended a dividend at 105% (Rs 10.50 per share) to the shareholders for the year ended March 31, 2008. The Company's Register of Members & Share Transfer Books will remain closed from August 21, 2008 to September 10, 2008 for the purpose of payment of dividend and annual general meeting of the company to be held on September 10, 2008. About Tata Power Company Ltd Tata Power Company Ltd. -- http://www.tatapower.com/-- is a licensee engaged in generation and supply power to bulk consumers in the Mumbai metropolitan area. The company operates four thermal plants with a combined capacity of 1,350 MW, and three hydroelectric plants aggregating 447 MW; all of these supply power to the Mumbai licence area. The company also has a plant that supplies power to Tata Steel. In addition, Tata Power has an 81-MW independent power project at Belgaum that sells power to Karnataka Power Transmission Corporation Limited. * * * Standard & Poor's Ratings Services, on Aug. 24, 2007, lowered its corporate credit rating on India's Tata Power Co. Ltd. to 'BB-' from 'BB+'. S&P said the outlook is stable. At the same time, the rating on Tata Power's US$300 million senior unsecured bonds have been lowered to 'BB-' from 'BB+'. Moody's Investors Service, on July 3, 2007, downgraded the corporate family rating of Tata Power Company to Ba3 from Ba1. At the same time, Moody's downgraded its senior unsecured bond rating to B1 from Ba2. Moody's said the ratings outlook is negative. ================= I N D O N E S I A ================= GARUDA INDONESIA: Inks Cooperation Pact With Singapore Airlines --------------------------------------------------------------- PT Garuda Indonesia has carried out a cooperation agreement with Singapore Airlines for flight operations and ticket sales to lure more foreign tourists flying to Bali through Singapore, Antara News reports. "In the first stages of the cooperation with Singapore Airlines, flights cover the Bali-Singapore route vice versa once a day starting on August 1, 2008," Emirsyah Satar, Garuda CEO was quoted by the Antara News as saying. Mr. Satar also told Antara News that under the special prorate agreeement, Garuda can sell its tickets to several parts of world through Singapore Airlines. Under the agreement, the company sets its load factor at an average of 80 percent, the news agency relates citing Mr. Satar as saying. About Garuda Indonesia Headquartered in Jakarta, Indonesia, government-owned airline PT Garuda Indonesia -- http://www.garuda-indonesia.com/-- currently has a fleet of about 77 aircraft offering service to some 27 domestic and 33 international destinations. Under its Citilink brand, it serves 10 other domestic routes. Garuda also ships about 200,000 tons of cargo a month and operates a computerized tracking system. * * * The Troubled Company Reporter-Asia Pacific reported on March 18, 2008, that PT Garuda Indonesia is slated to complete the restructuring of its US$800 million debts, including US$500 million to the European Credit Agency, in the first semester of this year. As part of efforts to boost efficiency, since Jan. 15, Garuda had halted the operation of its budget-carrier Citilink pending a reorganization of the division. The TCR-AP reported on Sept. 6, 2007, that Garuda was saddled with a debt of around US$750 million of which US$475 million was owed to the European Credit Agency. The airline was affected by plunging arrivals on the resort island of Bali, where tourists have been killed in bomb attacks in 2002 and 2005. It also suffered from soaring global oil prices, a weakening of the Indonesian rupiah and rising interest rates. * INDONESIA: Can Save IDR200 Tril. in Next 2 Yrs., Says VP Kalla ---------------------------------------------------------------- Indonesia might be able to save its budget up to IDR200 trillion in the coming two years as there is an increase use of coals as fuel to fire power plant, IOGNews reports citing Vice President Jusuf Kalla as saying during a regional leadership meeting. According to the report, Mr. Kalla said the coal deposits in the country had the potentials to produce power and to develop PLTUs as one of the relatively cheap energy sources. "The development of PLTUs continue to increase in the country from time to time so that it is not impossible for the country to save a huge amount of its budget and spendings," Mr. Kalla was quoted by the IOGNews as saying. ========= J A P A N ========= FORD MOTOR: Moody's Affirms 'B3' Corporate Family Rating -------------------------------------------------------- Moody's Investors Service affirmed the B3 Corporate Family Rating and Probability of Default Rating of Ford Motor Company, but changed the rating outlook to negative from stable. The company's Speculative Grade Liquidity rating remains SGL-1. The rating outlook for Ford Credit has also been changed to negative from stable, reflecting parent level concerns and deteriorating asset quality. The negative outlook for Ford reflects the increasingly challenging environment faced by its and the other domestic auto manufacturers as the outlook for US vehicle demand falls, and as high fuel costs drive US consumers away from light trucks and SUVs and toward more fuel efficient vehicles. As a result of these eroding market fundamentals Ford announced that: 1) its automotive performance for 2008, will be worse than that of 2007, in which it had a pre-tax loss of US$1.8 billion excluding Jaguar and Land Rover, and special items; 2) Ford Credit will incur a pre-tax operating loss for 2008; 3) the company is unlikely to achieve break even performance during 2009; and 4) the two-year pace of automotive operating cash burn for 2008 and 2009 will exceed the previously estimated level of US$12 to US$14 billion. The negative outlook for Ford Credit reflects the business and ownership connections with Ford and the impact of declining used vehicle values (in particular, trucks and SUVs) on the firm's asset quality. These declining used vehicle values are expected to result in higher credit costs and additional depreciation expense at Ford Credit, pressuring operating results. Ford Credit expects to report a pre-tax loss in 2008, excluding any potential payment related to Ford's profit maintenance agreement. Ford Credit is the beneficiary of a profit support agreement from Ford, who has indicated that it will take no distributions from Ford Credit during 2008, in contrast to previous expectations. This, in combination with Ford Credit's committed borrowing facilities, cash flow from short-duration assets, cash balances, and access to the secured debt markets, should provide the firm adequate resources to meet short-term demands on cash. Ford's operational response to the US shift in consumer demand includes: reducing production of trucks and SUVs while increasing the production of cars and crossover vehicles; extending further buyout offers to hourly workers in order to reduce manned capacity; delaying the launch of the F-150 truck; and, introducing many of its successful European small cars and crossovers to the US market. Despite the prudence of these initiatives, the massive shift in the production and product profile being contemplated by Ford is a complex, long-term undertaking. Consequently, the future pace and degree of success of these initiatives remain highly uncertain. An additional area of uncertainty is the company's ability to build a reasonable level of profitability for mid-size and small cars in the US -- classes of vehicles that have historically generated losses for Ford, and that have had to be priced at significant discounts relative to comparably equipped vehicles made by Japanese manufacturers. Bruce Clark, senior vice president with Moody's said, "Maintaining adequate liquidity will be one of the most critical challenges Ford faces as it attempts to reshape its US product profile and manufacturing base during the next two years." Clark noted that, "Ford is going to burn a considerable amount of cash until it adequately expands its fleet of fuel efficient cars and convinces consumers that these vehicles offer competitive value relative to Japanese product. The pace of cash consumption will also remain high until Ford begins to harvest the health care cost savings of its new UAW contract in 2010." At March 31, Ford had a sizable US$40.6 billion liquidity position that consisted of US$28.7 billion in cash and $11.9 billion in availability under committed credit facilities. This liquidity position was further enhanced by approximately $2.3 billion in proceeds from the sale of Land Rover and Jaguar. During 2008 and 2009, Ford's key liquidity requirements will include the following: operating losses and restructuring expenditures that could exceed US$14 billion; ongoing minimum levels of cash required to fund intra-month working capital requirements that can approximate 5%-6% of revenues in the automotive OEM sector; debt repayments of approximately US$1.5 billion; UAW-related VEBA contributions of US$2.8 billion; pension contributions; over $4 billion in payments to Ford Motor Credit Company that will bring Ford's subvention payment terms with its finance operation more in line with industry norms; and the possibility that the pace of cash outflow could increase depending on delays in implementing the company's repositioning efforts and further erosion in the demand characteristics in the US market. A key factor supporting Ford's B3 corporate family rating and SGL-1 liquidity rating is the ample size of the company's liquidity position relative to the cash requirements it will likely face during the coming twelve months. However, Ford will continue to face a sizable cash burn through 2009. Consequently the current liquidity cushion will continue to narrow, and the SGL-1 is unlikely to be sustainable absent any substantial source of new liquidity. Over the coming quarters, this narrowing of Ford's liquidity position will likely contribute to reductions in the Speculative Grade Liquidity rating and may also contribute to a review for possible downgrade of the B3 long-term rating. Moreover, any acceleration in the company's pace of cash consumption would accelerate downward pressure on both the SGL and long-term ratings. About Ford Motor Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) -- http://www.ford.com/-- manufactures or distributes automobiles in 200 markets across six continents. With about 260,000 employees and about 100 plants worldwide, the company's core and affiliated automotive brands include Ford, Jaguar, Land Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda. The company provides financial services through Ford Motor Credit Company. The company has operations in Japan in the Asia Pacific region. SANYO ELECTRIC: Free Oven Repairs Could Cost Company JPY1-2 Bil. ---------------------------------------------------------------- Sanyo Electric Co. will offer free repairs of more than 880,000 microwave ovens sold in Japan because of a possible wiring flaw that might cause a fire, The Herald Tribune reports. The repairs, the report relates, could cost the company JPY1 billion to JPY2 billion (US$9.3 million to US$18.5 million). According to the report, the repairs involve 31 models of microwave and electric ovens manufactured between June 2000 and September 2007. The problem, which involves a faulty electrical contact in the power cord, could lead to overheating, and in the worst case cause a fire, the report notes. Sanyo Electric spokesman Ryo Hagiwara told the news agency that the company has been informed of three cases of fires earlier this year, all involving models manufactured in 2003. About Sanyo Electric Headquartered in Osaka, Japan, Sanyo Electric Co., Ltd. -- http://www.sanyo.com/-- is one of the world's leading manufacturers of consumer electronics products. The company has global operations in Brazil, Germany, India, Ireland, Spain, the United States and the United Kingdom, among others. * * * As of June 18, 2008, the company still holds Standard & Poor's Ratings' 'BB' long-term corporate credit rating. The company is also currently holding Fitch Ratings' BB+ LT Issuer Credit and Unsecured Debt ratings. =============== M A L A Y S I A =============== IDAMAN UNGGUL: Terminates Proposed 51% Stake Sale in Anscan ----------------------------------------------------------- Idaman Unggul Bhd has aborted its proposed sale of a 51% stake in Anscan International Ltd, which has a concession agreement to develop a hydroelectric project in Laos, to O’Keeffe, which was first proposed in 2004 for MYR7 million, the Edge Daily reports. According to the report, the company did not state the reason for the termination of the agreement but will explore, together with other Anscan shareholder, Encrown International Ltd, for other available options ahead. About Idaman Unggul Idaman Unggul Berhad is an investment holding company, whose principal activity is the provision of corporate, administrative and management support to its subsidiaries. The company operates in two segments: insurance, which includes underwriting of life insurance and all classes of general insurance business, and other, which includes investment holding. Idaman Unggul's subsidiaries include Tahan Insurance Malaysia Berhad, F.T. Land Sdn. Bhd., PCM Synergy Sdn. Bhd., PICT Solution Sdn. Bhd. and Straight Effort Sdn. Bhd. On July 12, 2006, the company disposed Advanced Electronics (M) Sdn. Bhd. to Elevale Temasek Sdn. Bhd. On July 3, 2006, Tahan Insurance Malaysia Berhad disposed of its Life Insurance Business to AXA Affin Life Insurance Berhad. Waikiki Beach Hotel Sdn. Bhd., a wholly owned subsidiary of Idaman Unggul, was also divested as part of the Life Insurance Business disposal. On January 17, 2007, the company disposed IUB Asset Management Sdn Bhd to Capital Intelligence Holdings Sdn Bhd. * * * As reported by Troubled Company Reporter-Asia Pacific on March 6, 2008, the company was classified as an Affected Listed Issuer under Amended Practice Note 17/2005 of the Listing Requirements of Bursa Malaysia Securities Berhad, since the company's shareholders' fund has dropped to MYR41.204 million which is lower than the 25% of the paid-up share capital and minimum issued and paid up capital of MYR60 milion required under the Listing Requirements. PECD BHD: Wind-Up Petition Hearing Against Unit Fixed on Aug. 19 ---------------------------------------------------------------- The High Court of Shah Alam will hear on August 19, 2008, the wind-up petition served by Sime Darby Offshore Engineering Sdn Bhd against PECD Construction Sdn Bhd, a subsidiary of PECD Berhad The winding up petition was presented on April 10, 2008. Sime Darby claimed for a sum MYR7,574,126.65 together with a continuing interest at 8% per annum on the sum of MYR5,243,079.87 from April 9, 2008, till the full realization. Circumstances Leading to the Petition Filing i)Sime Darby brought a claim against PECD Construction, vide Shah Alam High Court for MYR5,743,079.87 pertaining to alleged breaches on several letters of award for various sub- contract works under the Engineering, Procurement, Construction and Commissioning of the Marine Terminal Facilities for the Melut Basin Oil Development Project ,Sudan; ii) Sime Darby had obtained a judgment pursuant to a summary judgment application before the Senior Assistant Registrar on July 24, 2007; iii) PECD Construction filed an Appeal to the Judge in Chambers on July 30, 2007, against the said judgment and the hearing for the Appeal is currently fixed on November 12, 2008; iv) PECD Construction received a Notice pursuant to Section 218 (2) (a) of the Companies Act, 1965 on March 4, 2008 from Sime Darby’s solicitors, Syarikat K.L Rekhraj demanding payment; and v) The petition was presented when payments were not made. PECD and its subsidiary had obtained a restraining order from the court on May 9, 2008, to stay all further proceedings in any action or proceeding, suits, winding-up, execution and arbitration proceedings as well as any intended or future proceedings against them for a period of 60 days. About PECD Berhad PECD Berhad is engaged in investment holding and provision of management services. The company operates in four business segments: construction, EPCC oil and gas, property development and others. Its wholly owned subsidiaries include Peremba Construction Sdn. Bhd., which is engaged in general construction and investment holding and Wong Heng Engineering Sdn. Bhd., which is engaged in investment holding and engineering, procurement, construction and commissioning emphasizing in the oil and gas, as well as the power sectors. PECD Berhad's 70%- owned subsidiary is Peremba Jaya Holdings Sdn. Bhd., which is engaged in property development, construction and investment holding. * * * Malaysian Rating Corp. Bhd downgraded PECD Berhad's MYR200-million serial fixed rate bonds to BB+ from BBB-. The rating outlook remains negative. The downgrade reflects the major operational and strategic challenges currently faced by PECD as well as continued deterioration in its credit metrics, and recognizes the increased execution challenges confronting management as it pursues its turnaround strategy. The Troubled Company Reporter-Asia Pacific reported on March 7, 2008, that the company was classified as an Affected Listed Issuer under Practice Note No. 17/2005 of the Listing Requirements of Bursa Malaysia Securities Berhad, since the company's shareholders' equity deficit reached MYR914.9 million as at December 31, 2007. PAN MALAYSIAN: Tan Sri Dato’ Mohd Resigns as Director ----------------------------------------------------- On June 20, 2008, Tan Sri Dato’ Mohd Ibrahim bin Mohd Zain tendered his resignation as the director of Pan Malaysian Industries Berhad. Pan Malaysian Industries Berhad is an investment holding company. The Company operates through two business segments: Retailing and Property and investment holding. The company is an Affected Listed Issuer pursuant to PN17 of the Boursa Malaysia as it has a deficit in its unaudited adjusted shareholders' equity on a consolidated basis of MYR17.55 million as of December 31, 2005, computed on the basis stated in PN17. The said deficit in the company's unaudited shareholders' equity on a consolidated basis was mainly due to the net loss of the PMI Group of MYR163.13 million for the unaudited nine month financial period ended December 31, 2005 due mainly to the sharing of losses of associated companies which comprised substantially of impairment losses. Pan Malaysian Industries Bhd's balance sheet as of June 30, 2007, went upside down by MYR29.1 million on total assets of MYR643.76 million and total liabilities of MYR672.85 million. RANHILL BERHAD: Completes Rationalization Exercise -------------------------------------------------- Ranhill Berhad has completed a rationalization exercise to re-strategize its oil and gas business in Indonesia with a view to downstream engineering activities and investment in proven and producing oil and gas assets, so that risks will be mitigated and cash commitments will be reduced on its exploration activities. In line with this, the wholly-owned subsidiary, Ranhill Energy Sdn Bhd through its subsidiary, West Java Energy Pte Ltd has entered into an agreement with Pan Orient Energy Holdings Ltd to dispose of the entire equity in Bumi Parahyangan Ranhill Energi Citarum Pte Ltd, which holds 60% participating interest in the Citarum PSC. Details of Bumi Parahyangan Disposal Bumi Parahyangan was incorporated in Singapore on January 20, 2006, to be the operating company for the Citarum PSC in Indonesia, with an issued and paid up share capital of USD250,000 of which the equity holders were: * West Java – 60% * Bumi Parahyangan Energi - 20% * Mitra Energi Citarum Pte Ltd – 20% Bumi Parahyangan's Disposal involves: (a) a Conditional Share Sale Purchase Agreement for the disposal of West Java’s entire equity interests in Bumi Parahyangan for a sale consideration of USD6.5 million cash and an equivalent of USD3 million in shares of Pan Orient Energy Corporation, a company listed on the Toronto-Venture Stock Exchange, and transfer of 9% of Bumi Parahyangan’s participating interest in the Citarum PSC to Pan Orient. Ranhill, in its capacity as the ultimate holding company, is acting as the Guarantor to guarantee the performance of all covenants given by West Java as the vendor; (b) An Agreement entered for the restructuring of Bumi Parahyangan whereby Ranhill Energy or its nominee will hold 72.72% equity in Bumi Parahyangan; (c) West Java and PT Bumi Parahyangan entered into a subscription of shares in Bumi Parahyangan, in which West Java will subscribe for 7,272 shares in Bumi Parahyangan for a consideration of SGD1.00 each, the result of which West Java shall hold 72.72% equity in Bumi Parahyangan; and (d) It is a condition of the Citarum SPA that Pan Orient enters into a Carried Interest Agreement with Bumi Parahyangan in which Pan Orient shall carry Bumi Parahyangan’s 11% participating interest until commercial production. Rationale for Bumi Parahyangan's Disposal The revised strategy is taken in view of the very high cost commitments of exploration. The disposal of the subsidiaries in Indonesia which holds the oil blocks reduces the Group’s cash commitments to exploration thereby reducing the risks to exploration activities. Since exploration activities have already commenced on the Citarum PSC, the company's interests are reduced to the extent that the Group is still involved in exploration activities but are carried by POA until commercial production. There is further upside potential by partnering with POE which is an established and leading oil and gas producer. Notwithstanding the disposal of subsidiaries in Indonesia, the Group will continue to retain a minority participating interest in the oil blocks which will be carried by POE until commercial production, hence freeing up the Group’s cash commitments and improving liquidity. With the completion of the rationalization exercise, the Group’s participating interests in the Indonesian oil blocks will be: * Citarum PSC – 8%; * Jambi Batu Gajah PSC – 7%; and * Pamai Taluk – 7% About Ranhill Berhad Ranhill is a Malaysian investment holding company with interests in engineering and construction, water utilities, power, oil and gas exploration and infrastructure. Ranhill Group had consolidated revenues of MYR1,470 million (US$454 million) and net profit of MYR190 million (US$59 million) in the financial year ended 30 June 2007. The E&C division accounted for 50% of consolidated revenues and only 2% of operating profits in FY07. Hamdan Mohamad has a 65% beneficial interest in Ranhill. * * * As reported by the Troubled Company Reporter-Asia Pacific on June 13, 2008, Fitch Ratings affirmed the company's Long-term foreign currency Issuer Default rating at 'B' and the senior unsecured rating on Ranhill's US$220 million notes at 'B-'. The Outlook is Stable. ==================== N E W Z E A L A N D ==================== ABC 62 LIMITED: Creditors' Proofs of Claim Due on June 30 --------------------------------------------------------- Creditors of ABC 62 Limited have until June 30, 2008, to make their claims and to establish any priority their claims may have under section 312 of the Companies Act 1993. Kevin D. Newson, chartered accountant of Wellington, is the appointed liquidator of ABC 62. The Liquidator can be reached at: PO Box 15130 Wellington Telephone/Facsimile: (04) 973 9991 AMUR PROPERTIES: Peter John Brannigan Appointed as Liquidator ------------------------------------------------------------- By way of special resolution pursuant to section 241(2)(a) of the Companies Act 1993, Peter John Brannigan, chartered accountant of Auckland, was appointed liquidator of Amur Properties and Construction Limited on May 28, 2008. The Office of the Liquidator is at 20 Heritage Drive, in St Heliers, Auckland. BAY CHASSIS: Creditors' Proofs of Claim Due on July 2 ----------------------------------------------------- Creditors of Bay Chassis Works Limited have until July 2, 2008, to prove their debts or claims and to establish any title that they may have to priority under section 304 of the Companies Act 1993. Kim S. Thompson, insolvency practitioner of Hamilton, is the appointed liquidator of the company. The Liquidator can be reached at: PO Box 1027, Hamilton Telephone: (07) 834 6813 Facsimile: (07) 834 6104 BISHOP-EVANS PRINT: Creditors' Proofs of Claim Due July 2 --------------------------------------------------------- Creditors of Bishop-Evans Print Limited have until July 2, 2008, to make their claims and to establish any priority their claims may have under section 312 of the Companies Act 1993. Gareth Russel Hoole and Kevin David Pitfield are the appointed liquidators pursuant of the company. The Liquidators can be reached at: Staples Rodway Limited, Chartered Accountants PO Box 3899, Auckland Telephone: (09) 309 0463 CITILAND LTD: Court Sets July 25 Liquidation Hearing ---------------------------------------------------- The High Court at Auckland scheduled a hearing at 10:45 a.m. on July 25, 2008, to consider an application putting Citiland Limited into liquidation. Any person, other than the defendant company, who wishes to appear on the hearing of the application must file an appearance not later than the second working day before that day. The application was filed on May 2, 2008, by Commercial Factors Limited. The plaintiff can be reached at: Ellis Law, Level 6, 43 High Street, Auckland B.R. Ellis is the plaintiff’s solicitor. CUSTOMS TRUSTEE: Commences Liquidation Proceedings -------------------------------------------------- Pursuant to Section 255(2) of the Companies Act 1993, John Michael Gilbert was appointed liquidator of Customs Trustee Limited on May 26, 2008. The liquidator fixed June 23, 2008, as the last day for creditors of the company to make their claims. The Liquidator can be reached at: C & C Strategic Limited Private Bag 47927 Ponsonby, Auckland Telephone: (09) 376 7506 Facsimile: (09) 376 6441 DAAWAT (JOHNSONVILLE): Commences Liquidation Proceedings -------------------------------------------------------- The High Court at Wellington held a hearing on June 16, 2008, to consider an application putting Daawat (Johnsonville) Limited into liquidation. The application was filed on May 8, 2008, by the Commissioner of Inland Revenue. The plaintiff can be reached at: Inland Revenue Department Legal and Technical Services 7-27 Waterloo Quay (PO Box 1462), Wellington Telephone: (04) 890 3203 Facsimile: (04) 890 0009 Amy Jean York is the plaintiff’s solicitor. SIX INVESTMENTS: Last Day to File Claims is on June 27 ------------------------------------------------------ Creditors of Six Investments Limited have until June 27, 2008, to make their claims and to establish any priority their claims may have under section 312. Anthony Charles Harris, insolvency practitioner of Tauranga, is the appointed liquidator of the company. The Liquidator can be reached at: Harris Neil and Associates Limited PO Box 14216, Tauranga Telephone: (07) 571 6384 THE APPAREL INDEX: Proofs of Claim Due on August 23 --------------------------------------------------- Creditors of Wayne Blake Builders Limited, White Water Services Limited and The Apparel Index Limited have until August 23, 2008, to make their claims and to establish any priority their claims may have under section 312 of the Act. Vivian Judith Fatupaito, insolvency practitioner, and Colin Thomas McCloy, chartered accountant, both of Auckland, are the appointed liquidators of the companies. The Liquidator can be reached at: PricewaterhouseCoopers 188 Quay Street Private Bag 92162, Auckland Telephone: (09) 355 8000 Facsimile: (09) 355 8013 ===================== P H I L I P P I N E S ===================== PICOP RESOURCES: LandBank Wants Court Nod Over Temporary Control ---------------------------------------------------------------- The Land Bank of the Philippines has sought a court approval to temporarily take majority control of Picop Resources Corp. , Philippine Daily Inquirer reports citing a well-informed banking source. The source told the news agency that the proposed ownership would be temporary after the conversion of some of the company’s debts into equity. The report adds that Land bank is willing to sell to a white knight willing to infuse equity into Picop to revive its business. As reported by the Troubled Company Reporter-Asia Pacific on June 17, 2008, Picop was subject to Land Bank's corporate rehabilitation petition when together with its unit, New Paper Industries Corp., failed to pay over Php1 billion in debt. Land Bank was able to secure a stay order from the court preventing the dissipation of Picop’s assets. The hearing is set on July 16, the news agency says citing its source. About PICOP Resources Inc. PICOP Resources Inc. was incorporated in 1952 as Bislig Industries Inc. It was renamed Paper Industries Corporation of the Philippines in 1963 and to Picop Resources, Inc. in 1994. The company was privatized in March 1994 through a public bidding that covered 183.1 million shares representing 90% of the government's stakes. Since 1994, control of the company changed hands three more times. At present, the company is under the control of TP Holdings, Inc. The company has two wholly owned subsidiaries, namely New Paper Industries Corporation and Hinatuan Forest Plantations, Inc. The financial reports of these subsidiaries are consolidated with the financial report of the parent company Picop Resources, Inc. NPIC was incorporated in the Philippines to buy and sell pulp, paper, and paper boards of every kind and description, and the supplies used in the manufacture of thereof. In 2003, the parent company and NPIC entered into a Deed of Exchange whereby the parent company will transfer and unto NPIC all titles, rights and interests to certain assets and equipment as payment for the parent company's subscription to the latter's shares of stock. This resulted to parent company gaining control of NPIC by owning 99% of the total voting stocks effective upon issuance of the shares of stock. Hinatuan, on the other hand, was formed to engage in the production of plywood material sourced from its plantation. Hinatuan temporarily suspended operations in January 1997 and management is currently evaluating the status and prospects of the company. * * * PICOP Resources Inc. posted a net loss of PHP1.72 billion for the year ending December 31, 2007, against PHP31.385 million net loss for the year ending December 31, 2006. For the years ending 2005 and 2004, the company also incurred PHP366.574 million and PHP237.609 million net losses, respectively. * PHILIPPINES: Delay in Balanced Budget Won’t Affect Ratings ------------------------------------------------------------ The Philippine Star has cited Bangko Sentral ng Pilipinas Governor, Amando M. Tetangco Jr. as saying that the country’s credit ratings are not likely to be affected by the government’s decision to delay balancing its budget or the downscaling of certain macro-economic projections. Mr. Tetangco told the news agency that feedback from credit rating agencies indicated no adverse reaction to the latest developments in macroeconomics and fiscal performance of the Arroyo administration. “Just last week, Moody’s reiterated that the positive outlook on our ratings has already factored the slight deviation from the fiscal target,” the news agency quotes Mr. Tetangco as saying. According to the report, the country is still rated below investment-grade by all but Moody’s, which has upgraded the outlook from “negative” to “stable” and finally to “positive”. “Right now, we have the most stable macro fundamentals we have had in the past two to three decades”, Mr. Tetangco was quoted by the news agency as saying. The Philippine Star relates that Mr. Tetangco said the Bangko Sentral ng Pilipinas (BSP) continued to see indications of sustained growth in specific economic sectors such as mining and business process outsourcing. Mr. Tetangco said that the only serious risks to the growth momentum are the expected slowdown in the global economy and the rapid rise in the prices of oil in the world market, the news agency notes. ================= S I N G A P O R E ================= AVAGO TECH: Moody's Upgrades Corporate Family Rating to 'B1' ------------------------------------------------------------ Moody's Investors Service upgraded Avago Technologies Finance Pte. Ltd.'s corporate family and long-term debt ratings. Simultaneously, Moody's affirmed the company's SGL-1 speculative grade liquidity rating. The outlook remains positive. These ratings were upgraded: -- Corporate Family Rating to B1 from B2 -- Probability of Default Rating to B1 from B2 -- US$375 Million Senior Secured Revolving Credit Facility due 2011 to Ba1 (LGD-1, 8%) from Ba2 -- US$453 Million Senior Unsecured Fixed and Floating Rate Notes due 2013 to B1 (LGD-4, 51%) from B2 -- US$250 Million Senior Unsecured Subordinated Notes due 2015 to B3 (LGD-5, 89%) from Caa1 This rating was affirmed: -- Speculative Grade Liquidity Rating -- SGL-1 The upgrade reflects Avago's continued improvement in market position, operating profile and financial performance, despite current weakness in the company's addressable end markets. It also considers good internal execution towards building a sustainable business model with a low operating cost structure since the November 2005 LBO and spin-off from Agilent Technologies. Prior uncertainty surrounding growth prospects in Avago's wired infrastructure and industrial market segments has been alleviated by the company's ability to demonstrate positive quarter-over-quarter revenue growth versus negative growth experienced by its addressable markets. This, combined with the company's solid growth in the wireless communications segment compared to the market's contraction, helped to offset Avago's under-performance in the consumer and computer peripherals segment, which has been impacted by the weak macro-economic environment and subsequent pullback in consumer discretionary spending. Moody's notes Avago's market share gains have been fueled by targeted R&D investments that have enabled it to develop products across multiple applications from the same core technology, coupled with a significant increase in design wins. Collectively, these activities are starting to deliver ROI benefits as customers increasingly adopt Avago's leading-edge IC technologies. The upgrade also considers Avago's continued implementation of cost reduction programs and expansion of its 'asset-lite' strategy by outsourcing an increasing share of its manufacturing needs to foundry partners, thus enabling it to efficiently allocate more resources to R&D initiatives as labor and capex costs subside. Moody's expects the company to review further opportunities to reduce its manufacturing footprint and corporate infrastructure expense. Additionally, the company has successfully repositioned and strengthened its business profile by selling non-core operations and entering new markets with better growth prospects through strategic acquisitions. Finally, the upgrade takes into account Avago's enhanced debt protection measures and focus on financial leverage improvement through EBITDA expansion, interest expense reduction and solid free cash flow generation applied to debt reduction. Financial leverage, as measured by debt to EBITDA (Moody's adjusted), declined to 2.3x in the second quarter LTM period versus 3.1x at fiscal year end 2007 (ended 10/31/07) and free cash flow to debt (Moody's adjusted) advanced to 21% from 11%. Moreover, both metrics also support the positive rating outlook given that the ratios are nearly comparable to Ba3 rated industry peers. The positive rating outlook reflects Moody's expectations that Avago will continue to deliver gross and operating margin expansion as a result of market share gains driven by increased design win activity and product introductions, chiefly in enterprise ASICs (wired infrastructure segment) and high-end wireless communications (WCDMA), which should drive future revenue growth and translate into higher gross profit dollars in fiscal 2009/2010. It also anticipates improvement in credit protection measures over the next year as a result of ongoing focus on cost reductions, enhanced EBITDA and de-leveraging via debt repayment with free cash flow generation. Factors that would contribute to a ratings upgrade include continued market share gains, principally through organic growth, and cost improvements resulting in sustained gross and operating margins above 45% and 15% (non-GAAP), respectively, consistent free cash flow generation at or above current levels, prudent financial policies targeting balance sheet de- leveraging, reduced working capital volatility and enhanced liquidity. The CFR factors Moody's continued expectations of a conservative acquisition strategy in view of the company's stated desire to use strategic acquisitions as a complementary growth engine. To date, all acquisitions have been relatively small in size and funded with internal cash. The SGL-1 rating reflects Avago's very good liquidity position. Internal liquidity has strengthened owing to better working capital management, solid levels of free cash flow generation (US$160 million for the twelve months ended May 4, 2008) and roughly US$83 million of balance sheet cash. External liquidity is bolstered by its US$375 million secured revolving credit facility, which is currently drawn to US$17 million for bankers' guarantees (letters of credit). The company, which maintains a US$200 million accordion feature on its credit facility, has sufficient cushion under its bank covenants (maintenance and incurrence tests) and is expected to remain covenant compliant over the next twelve months. About Avago Tech Headquartered in San Jose, California with principal operations in Singapore, Avago designs, develops, manufactures and sells a broad array of semiconductor components for consumer and commercial electronic applications. Net revenues and EBITDA (Moody's adjusted) for the twelve months ended May 4, 2008 (LTM) were US$1.6 billion and US$332 million, respectively. DEVELOPMENT MANAGEMENT: Court Enters Wind-Up Order -------------------------------------------------- The High Court of Singapore on April 24, 2008, entered an order to have Development Management Pte Ltd's operations wound up. RAJ Bhisham Chotrani filed the against the company. Development Management's liquidator is: Don Ho Mun-Tuke c/o M/s Don Ho & Associates 20 Cecil Street #12-02/03 Equity Plaza Singapore 049705 MILLENNIUM-WESTMONT: Creditors' Proofs of Debt Due on July 4 ------------------------------------------------------------ Millennium-Westmont Pte Ltd, which is in liquidation, requires its creditors to file their proofs of debt by July 4, 2008, to be included in the company's dividend distribution. The company's liquidator is: Ong Yew Huat c/o One Raffles Quay North Tower, Level 18 Singapore 048583 MP-BILT PTE: Creditors' Proofs of Debt Due on July 19 ----------------------------------------------------- MP-Bilt Pte Ltd requires its creditors to file their proofs of debt by July 19, 2008, to be included in the company's dividend distribution. The company commenced liquidation proceedings on June 10, 2008. The company's liquidators are: Steven Tan Chee Chuan Douglas Tan Kay Yeow 25 International Business Park #04-22/26 German Centre Singapore 609916 PLANET FITNESS: Requires Creditors to File Claims by July 21 ------------------------------------------------------------ The creditors of Planet Fitness Pilates Pte. Ltd. are required to file their proofs of debt by July 21, 2008, to be included in the company's dividend distribution. The company's liquidators are: Catherine Lim Siok Ching Low Mei Mei Maureen c/o 18 Cross Street #07-02 Marsh & McLennan Centre Singapore 048423 STATS CHIPPAC: S&P Rates Proposed Sr. Unsecured Notes at 'BB+' -------------------------------------------------------------- Standard & Poor's Ratings Services assigned its 'BB+' issue rating to the proposed issue of medium-term benchmark-sized senior unsecured notes by STATS ChipPAC Ltd. (BB+/Stable/--). This issue rating is subject to final documentation and verification of details. The proceeds from the bond issue should significantly contribute to the company's capital-reduction exercise, which comprises: (1) refinancing most existing debt; and (2) funding the company's proposed distribution of about US$813 million in cash to shareholders. The proposed notes would rank legally as senior unsecured debt. In calculating the company's secured debt, Standard & Poor's: (1) capitalizes operating leases; (2) assumes full drawdown of the company's proposed revolving credit facility of US$150 million; and (3) factors in the debt repayment schedule of the proposed term loan. In calculating the company's total asset base, Standard & Poor's excludes goodwill and intangible assets and includes our estimated capital expenditure of about US$200 million to US$300 million per year. Standard & Poor's expects the company's ratio of secured debt to total assets to be about 20% by the end of 2008. By the end of 2009, this ratio should decline to about 17% and further to about 12.7% by the end of 2010. Hence, STATS ChipPAC's ratio of secured debt to total assets is likely to be below 15% on a sustainable basis. Given the current breach in this ratio, the company has limited ability to take on additional secured debt in the short-to medium term without affecting the issue rating on the proposed medium-term senior unsecured bond issue. About STATS ChipPAC Ltd. Headquartered in Singapore, STATS ChipPAC Ltd. -- http://www.statschippac.com/en-US/s-- is a service provider of semiconductor packaging design, bump, probe, assembly, test and distribution solutions. It provides a range of semiconductor packaging and test solutions to a customer base servicing the computing, communications, consumer, automotive and industrial markets. The company's services include packaging services, test services and pre-production and post-production services. The services offered by the company are customized to the needs of its individual customers. During the year ended Dec. 31, 2006, 73.8% of its net revenues were derived from packaging services, and 26.2% were derived from test and other services. In June 2006, STATS ChipPAC Ltd. entered into a strategic joint venture with CR Logic for the assembly and test of select products in Wuxi, China, in connection with which it acquired a 25% shareholding in Micro Assembly Technologies Limited with CR Logic owning a 75% interest. =========== T A I W A N =========== CMC MAGNETIC: To Raise Additional Capital of US$200 Million ----------------------------------------------------------- CMC Magnetics Corporation will raise additional capital of US$200 million from target investors, Jimmy Hsu of Digi Times News reports. According to the report, the company recently approved its respective fund-raising plans at their respective shareholders meetings. Company Chairman Robert Wong, the report notes, said the company has a relatively conservative view about production of blank Blu-ray Disc (BD) discs mainly because more than 20 companies own BD-related patents and royalty charging schemes are not certain yet. About CMC Magnetics CMC Magnetics Corporation, headquartered in Taiwan, is one of the world's largest optical storage media manufacturers. The company is listed on the Taiwan Stock Exchange. * * * As reported by the Troubled Company Reporter-Asia Pacific on June 13, 2008, Moody's Investors Service changed the outlook from stable to negative for both CMC Magnetics Corporation's (CMC) B1 corporate family rating and its Ba2.tw national scale issuer rating. This rating action reflects the current difficult operating environment in the optical media storage industry but also new business opportunities. =============== X X X X X X X X =============== * BOND PRICING: For the Week June 17-June 23, 2008 -------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- AUSTRALIA & NEW ZEALAND ----------- Ainsworth Game Technology Ltd 8.000% 12/31/09 AUD 0.72 A&R Whitcoulls Group 9.500% 12/15/10 NZD 13.00 Allco Hit Ltd 9.000% 08/17/09 AUD 14.01 Antares Energy 10.000% 10/31/13 AUD 0.71 Babcock & Brown Pty Ltd 9.010% 09/15/16 NZD 45.00 BBI Ntwrks NZ Limited 8.000% 11/30/12 NZD 22.50 Becton Property Group 9.500% 06/30/10 AUD 0.60 Bounty Industries Limited 10.000% 06/30/10 AUD 0.08 Capital Properties NZ Ltd 8.500% 04/15/09 NZD 11.00 Capital Properties NZ Ltd 8.000% 04/15/10 NZD 10.65 China Century 12.000% 09/30/10 AUD 0.60 Djerriwarrh Investments Ltd 6.500% 09/30/09 AUD 4.21 Fletcher Building Ltd 7.800% 03/15/09 NZD 9.50 Heemskirk Consolidated Limited 8.000% 04/29/11 AUD 3.00 Hy-Fi Securities Ltd 8.750% 08/15/08 NZD 10.25 Hy-Fi Securities Ltd 7.000% 08/15/08 NZD 15.00 Infrastructure & Utilities 8.500% 09/15/13 NZD 9.60 Jem Warehouse 3.000% 08/01/14 AUD 70.39 LongReach Group Limited 10.000% 10/31/08 AUD 0.34 Nylex Ltd. 10.000% 12/08/09 AUD 1.72 Macquarie Comm 2.500% 08/23/13 AUD 67.37 Metal Storm Ltd 10.000% 09/01/09 AUD 0.12 Minerals Corp 10.500% 09/30/08 AUD 0.80 Publ & Broad Fin 6.280% 05/06/11 AUD 9.78 Record Funds Man 11.000% 09/01/10 AUD 46.65 Record Funds Man 11.500% 09/01/10 AUD 54.00 Speirs Group Ltd. 13.160% 06/30/49 NZD 55.00 South Canterbury 10.430% 12/15/12 NZD 0.99 TrustPower Ltd 8.300% 12/15/08 NZD 10.50 TrustPower Ltd 8.500% 09/15/12 NZD 8.80 TrustPower Ltd 8.500% 03/15/14 NZD 9.10 Vero Insurance 6.150% 09/07/25 AUD 74.43 CHINA ----- China Govt Bond 4.860% 08/10/14 CNY 0.00 Cosco Shipping 0.800% 01/28/14 CNY 73.60 GD Power Develop 1.000% 05/07/14 CNY 73.44 Kangmei Pharm 0.800% 05/08/14 CNY 72.15 Tsingtao Brewery 0.800% 04/02/14 CNY 72.73 INDIA ----- India Gov't 6.010% 03/25/28 INR 74.27 INDONESIA --------- Indonesia Gov't 9.750% 05/15/37 IDR 70.60 Indonesia Gov't 9.500% 07/15/23 IDR 73.49 JAPAN ----- Cent Japan Rail 1.310% 03/18/33 JPY 74.13 NIS Group 2.730% 02/25/10 JPY 72.78 Osaka Perfecture 1.900% 08/29/14 JPY 1.81 Shinsei Bank Ltd. 5.625% 12/29/49 GBP 71.48 Japan Gov't 1.100% 03/20/33 JPY 74.76 Urban Corp 2.960% 12/21/09 JPY 73.17 KOREA ----- Korea Dev. Bank 7.310% 11/08/21 KRW 46.16 Korea Dev. Bank 7.350% 10/27/21 KRW 48.26 Korea Dev. Bank 7.400% 11/02/21 KRW 46.21 Korea Dev. Bank 7.450% 10/31/21 KRW 46.23 Korea Dev. Bank 8.450% 12/15/26 KRW 70.76 Korea Elec Pwr 7.950% 04/01/96 USD 67.66 MALAYSIA -------- Advance Synergy Berhad 2.000% 01/26/18 MYR 0.05 Aliran Ihsan Resources Bhd 5.000% 11/29/11 MYR 0.93 Berjaya Land Bhd 5.000% 12/30/09 MYR 3.92 Bumiputra-Commerce Holdings Bhd 2.500% 07/16/08 MYR 1.25 Cagamas Berhad 3.610% 10/10/08 MYR 7.00 Eastern & Orient 8.000% 07/25/11 MYR 2.45 EG Industries Berhad 5.000% 06/16/10 MYR 0.32 Equine Capital 3.000% 08/26/08 MYR 1.63 Greatpac Holdings 2.000% 12/11/08 MYR 0.29 Huat Lai Resources Bhd 5.000% 03/28/10 MYR 0.36 Insas Berhad 8.000% 04/19/09 MYR 0.46 Jimah Energy Ventures Sdn Bhd 8.200% 11/11/16 MYR 15.00 Kamdar Group Bhd 3.000% 11/09/09 MYR 0.26 Kretam Holdings Bhd 1.000% 08/10/10 MYR 1.25 Kumpulan Jetson Berhad 5.000% 11/27/12 MYR 0.48 LBS Bina Group Bhd 4.000% 12/31/08 MYR 0.33 Lebuhraya Kajang 2.000% 06/12/19 MYR 67.75 Lebuhraya Kajang 2.000% 06/12/20 MYR 64.97 Lebuhraya Kajang 2.000% 06/12/21 MYR 62.27 Malaysian Gov't 4.053% 12/04/12 MYR 62.00 Media Prima Bhd 2.000% 07/18/08 MYR 1.29 Mithril Bhd 3.000% 04/05/12 MYR 0.57 Mithril Bhd 8.000% 04/05/09 MYR 0.11 Nam Fatt Corp 2.000% 06/24/11 MYR 0.35 Pelikan International 3.000% 04/08/10 MYR 1.60 Pilecon Engineering Bhd 5.000% 12/19/11 MYR 0.09 Puncak Niaga Holdings Bhd 2.500% 11/18/16 MYR 0.78 Rhythm Consolidated Berhad 5.000% 12/17/08 MYR 0.13 Rubberex Corporation Berhad 4.000% 08/14/12 MYR 0.73 Silver Bird Group 1.000% 02/15/09 MYR 0.56 Southern Steel 5.500% 07/31/08 MYR 3.04 Tenaga Nasional Bhd 3.050% 05/10/09 MYR 1.22 Tradewinds Corp. 2.000% 02/08/12 MYR 0.58 Tradewinds Plantation Berhad 3.000% 02/28/16 MYR 1.20 TRC Synergy Berhad 5.000% 01/20/12 MYR 1.30 Wah Seong Corp. 3.000% 05/21/12 MYR 4.30 Wijaya Baru Global Berhad 7.000% 09/17/12 MYR 0.48 YTL Cement Bhd 4.000% 11/10/15 MYR 1.60 SINGAPORE --------- Sengkang Mall 4.880% 11/20/12 SGD 1.00 Sengkang Mall 8.000% 11/20/12 SGD 1.00 SRI LANKA --------- Sri Lanka Govt 7.500% 07/15/13 LKR 73.61 Sri Lanka Govt 7.500% 08/15/18 LKR 63.99 Sri Lanka Govt 6.850% 04/15/12 LKR 72.47 Sri Lanka Govt 6.850% 10/15/12 LKR 70.34 Sri Lanka Govt 8.500% 07/15/13 LKR 74.71 Sri Lanka Govt 8.500% 07/15/18 LKR 69.16 Sri Lanka Govt 8.500% 02/15/18 LKR 69.49 Sri Lanka Govt 7.500% 08/01/13 LKR 70.13 Sri Lanka Govt 7.500% 11/01/13 LKR 69.58 Sri Lanka Govt 7.000% 10/01/23 LKR 57.17 ********* Tuesday's edition of the TCR-AP delivers a list of indicative prices for bond issues that reportedly trade well below par. Prices are obtained by TCR-AP editors from a variety of outside sources during the prior week we think are reliable. Those sources may not, however, be complete or accurate. The Tuesday Bond Pricing table is compiled on the Friday prior to publication. Prices reported are not intended to reflect actual trades. Prices for actual trades are probably different. Our objective is to share information, not make markets in publicly traded securities. Nothing in the TCR-AP constitutes an offer or solicitation to buy or sell any security of any kind. It is likely that some entity affiliated with a TCR-AP editor holds some position in the issuers' public debt and equity securities about which we report. A list of Meetings, Conferences and Seminars appears in each Wednesday's edition of the TCR-AP. Submissions about insolvency- related conferences are encouraged. Send announcements to conferences@bankrupt.com Friday's edition of the TCR-AP features a list of companies with insolvent balance sheets obtained by our editors based on the latest balance sheets publicly available a day prior to publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Asia Pacific is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland, USA. Marites M. Claro, Rousel Elaine C. Tumanda, Valerie C. Udtuhan, Marie Therese V. Profetana, Frauline S. Abangan, and Peter A. Chapman, Editors. Copyright 2008. All rights reserved. ISSN: 1520-9482. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. TCR-AP subscription rate is US$625 for 6 months delivered via e- mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are US$25 each. For subscription information, contact Christopher Beard at 240/629-3300. *** End of Transmission ***