/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/091124.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, November 24, 2009, Vol. 12, No. 232 Headlines A U S T R A L I A BABCOCK & BROWN: Liquidators Defer Probe Until Next Year BABCOCK & BROWN POWER: Talks with Bank, Sellers Still Ongoing BNY TRUST: S&P Affirms Preliminary Ratings on 2009-1 Notes ONE.TEL LIMITED: Packer, Murdoch Face $132-Million Legal Claim STORM FINANCIAL: Financial Planners Face Industry Probe STORM FINANCIAL: Former Investors Set to Launch Suit Against CBA C H I N A CHINA MINSHENG: Raises US$3.86 Bil. in Hong Kong IPO CITIC BANK: BBVA to Increase Stake in Citic to 15% H O N G K O N G ACA TRADING: Members' and Creditors Meeting Set for December 21 ALAN BAGS: Cheng Kam Por Steps Down as Liquidator AMC (HONG KONG): Mee and Lo Appointed as Liquidators ARTS CAPITAL: Commences Wind-Up Proceedings ASIA CHINA: Lee and Leung Appointed as Liquidators UNITEDHEALTHCARE ASIA: Creditors' Proofs of Debt Due December 7 VICSENSE LIMITED: Creditors' Proofs of Debt Due December 21 VIVITAR (ASIA): Creditors' and Members Meeting Set for December 4 WELCOME GROUP: Placed Under Voluntary Wind-Up Proceedings WORLD CITY: Lee King Yue Appointed as Liquidator * HONG KONG: Bankruptcy Filings Drop to 922 in October I N D I A ARVIND MURJANI: CARE Assigns 'CARE BB+ (SO)' on Various Bank Debts BEMCO HYDRAULICS: CRISIL Cuts Rating on INR10MM LT Loan to 'D' CASIL INDUSTRIES: ICRA Rates INR376.5 Million Term Loans at 'LB' DIAMOND INDUSTRIES: Low Profit Margins Prompt ICRA 'LBB' Ratings GAJANAN AGRO: Fitch Assigns 'BB-' National Long-Term Rating GAJANAN INDUSTRIES: Fitch Assigns 'B+' National Short-Term Rating GROVER VINEYARDS: Delay in Loan Repayment Cues CRISIL Junk Ratings HIMSON ENGINEERING: CRISIL Puts 'BB+' Rating on INR82.4MM Loan ICICI BANK: Raises US$750 Million of Bonds in Overseas Markets INDERJIT MEHTA: CRISIL Assigns 'B' Rating on INR110MM Cash Credit KIMAYA FASHIONS: ICRA Places 'LBB+' Rating on INR380MM Term Loans MITHILA MOTORS: CRISIL Puts 'BB+' Ratings on Various Bank Debts OZONE SHELTERS: Weak Liquidity Prompts CRISIL 'B' Ratings RAM DEV: CRISIL Reaffirms 'BB' Ratings on Various Bank Facilities SANAA SYNTEX: Low Profitability Cues ICRA to Assign 'LBB' Ratings SHRI JALARAM: Liquidity Constraints Cues 'CARE BB+' Ratings SOFED RETAILER: ICRA Assigns 'LBB' Rating on INR1.72BB Term Loan STERLING GEMS: CARE Rates INR60cr LT Bank Debts at 'CARE BB' I N D O N E S I A ANZ PANIN: Fitch Keeps Individual Rating at 'D'; Outlook is Stable J A P A N JAPAN AIRLINES: Delta CEO Says Alliance Willing to Invest More JAPAN AIRLINES: DBJ, Creditors Agree to Suspend Debt Repayment JAPAN AIRLINES: May Reduce Proposed Pension Cut to 30% KYOCERA CORP: Plans to Close Mobile Phone Factory in China MAZDA MOTOR: Non-factory Staff Back on Full Work Schedule TAKEFUJI CORPORATION: Exchanges Offer Cues Moody's to Junk Rating M A L A Y S I A IDAMAN UNGGUL: Cancels Deal to Sell Lambang Unit to Satin OILCORP BERHAD: Gets Default Notice from Prima Uno P A K I S T A N PAKISTAN MOBILINK: Moody's Reviews 'B2' Corporate Family Rating P H I L I P P I N E S LEPANTO CONSOLIDATED: Posts PHP112.26MM Third Qtr Net Loss T A I W A N FORD MOTOR: Appoints Albert Li as President of Ford Lio Ho T H A I L A N D THAI AIRWAYS: Reports THB4.3BB Net Loss in Q3 Ended September 30 X X X X X X X X * BOND PRICING: For the Week November 16 to November 20, 2009 - - - - - ================= A U S T R A L I A ================= BABCOCK & BROWN: Liquidators Defer Probe Until Next Year -------------------------------------------------------- The Liquidators of Babcock & Brown Limited have deferred the public examinations into the company until next year. Deloitte partners David Lombe and Simon Cathro said in a statement that the adjournment will allow them more time to review the large volume of Babcock & Brown Limited material that has been produced, following service of many 'Notices to Produce' on prospective examinees. Some prospective examinees have not yet fully responded to the Notices and this has delayed the production process. The liquidators said they will shortly approach the Federal Court to seek revised hearing dates for the public examinations. It is expected that the public examinations will now take place in January or February 2010. "It is our intention to maximize the value of the public examinations and this is best achieved by deferring these examinations to the New Year," Mr. Lombe said. About Babcock & Brown Headquartered in Sydney, Australia, Babcock & Brown Limited (ASX:BNB) -- http://www.babcockbrown.com/-- is a global alternative asset manager specializing in the origination and management of asset in sectors, where the company has a franchise and proven track record, and where there are opportunities to add scale, infrastructure, air operating leasing and selected real estate. Babcock & Brown operates from 31 offices across Australia, North America, Europe, Asia and the United Arab Emirates. The company has established a specialized funds and asset management platform across the operating divisions that have resulted in the establishment of a number of listed and unlisted focused investment vehicles in areas, including real estate, renewable energy and infrastructure. * * * As reported in the Troubled Company Reporter-Asia Pacific on March 13, 2009, Babcock & Brown appointed voluntary administrators after investors in the company's subordinated notes listed in New Zealand voted on March 13 against a special resolution to restructure the terms of the notes. Under the special resolution, the company's equity and subordinated note holders won't receive any return. Babcock & Brown appointed David Lombe and Simon Cathro of Deloitte Touche Tohmatsu as Voluntary Administrators. The TCR-AP reported on Aug. 25, 2009, that Babcock & Brown Ltd creditors voted to liquidate the assets of the company. Deloitte said the vote empowers it to investigate matters surrounding the collapse of the group, including potential conflicts of interest between the boards of Babcock & Brown and affiliated company Babcock & Brown International Pty. Ltd. which held most of the group's assets. BABCOCK & BROWN POWER: Talks with Bank, Sellers Still Ongoing ------------------------------------------------------------- Babcock & Brown Power is expected to remain suspended from trading as it talks with North West Shelf gas sellers and its banking syndicate over gas contract arbitration in Western Australia. "BBP is continuing with its process of engaging with the relevant parties to ascertain a full understanding of the implications of the interim award," BBP said in a statement on Thursday. "Accordingly, BBP's voluntary suspension from quotation will continue until such time as BBP is in a position to make an announcement in relation to those discussions. "This is expected to be during the week commencing November 23, 2009." Separately, Babcock & Brown Power said last week that is seeking securityholder approval to change its name to Alinta Energy Limited. "The name seeks to leverage both the ongoing strength and recognition of the Alinta brand in Australia, as well as the diversity of our business across the power generation and retail energy sectors," the company said in a notice of meeting released on November 18. "BBP believes that changing its name is a critical step in moving forward as an independent, stand-alone energy business." BBP also said it is seeking securityholder approval for the provision of financial assistance relating to the internal restructuring of two BBP entities which are likely to become wholly-owned subsidiaries of BBP Finance Australia Pty Ltd. "The approval being sought for the financial assistance is both a requirement of the Corporations Act and a necessary step in BBP's ongoing restructuring of its financing agreements with its bank syndicate," BBP said. The company will hold its annual general meeting on December 18, 2009, at 10:00 a.m., at Customs House, Level 1, 31 Alfred Street, Circular Quay, in Sydney, NSW, Australia. As reported in the Troubled Company Reporter-Asia Pacific on June 4, 2009, The National Business Review said that BBP's share price has been further buffeted by news that its AU$2.7 billion debt will have to be renegotiated, in light of the company being unable to attract an investment grade credit rating. Babcock & Brown Power, the Business Review related, is already in breach of its interest cover covenant and is in talks with its banking syndicates. Babcock & Brown Power lost 96% of its market value last year and was the worst performer in Australia's benchmark stock index in 2008, the Business Review noted. Babcock & Brown Power posted a net loss of AU$148.98 million for the year ended June 30, 2009, compared with a net loss of AU$426.51 million from a year ago. About Babcock & Brown Power Australia-based Babcock & Brown Power (ASX:BBP) -- http://www.bbpower.com/-- is a power generation business. The company develops, operates and acquires generation portfolio. As of June 30, 2008, its portfolio had interests in 12 operating power stations representing 3,000 megawatts of installed generation capacity and two power stations under construction. BBP has interests in a number of other associated power assets, including the Western Australia retail assets of Alinta. BBP is a stapled entity comprising Babcock & Brown Power Limited and the Babcock & Brown Power Trust. In February 2008, BBP acquired 100% of BBP Neerabup Power Pty Limited from B&B Australia Infrastructure. On July 4, 2008, the Company sold its 100% interest in the Uranquinty Power Station near Wagga Wagga in southern New South Wales to Origin Energy Ltd. The manager of BBP is Babcock & Brown Power Management Pty Ltd. In March 2009, the company sold its remaining interest in the Kwinana Power Station to ERM Power Pty Limited. Babcock & Brown Power is a listed satellite of Babcock & Brown Ltd. BNY TRUST: S&P Affirms Preliminary Ratings on 2009-1 Notes ---------------------------------------------------------- Standard & Poor's Ratings Services has affirmed the preliminary ratings on the notes to be issued by BNY Trust Co. of Australia Ltd. as trustee of Bella Trust Series 2009-1, following increases to the note amounts to a total of A$866.7 million, from AU$621.3 million. S&P has also updated its presale report for the transaction to reflect the revised receivables portfolio and note issuance amounts. The transaction is the first securitization undertaken by Capital Finance Australia Ltd. The notes are backed by commercial hire purchase, chattel mortgage, and secured loan contracts over motor vehicles that were originated by CFAL. The preliminary ratings are based on information as of Nov. 20, 2009. Subsequent information may result in the assignment of final ratings that differ from the preliminary ratings. The preliminary ratings reflect S&P's opinion of the capacity of the issuer to make interest payments in full on each interest payment date and full repayment of principal to note holders by no later than the legal maturity date, in accordance with the terms and conditions of the documents governing the notes. The rationale for the assignment of the preliminary ratings includes: * S&P's view of the credit risk of the underlying portfolio of receivables; * S&P's expectation that the credit support for each class of notes is sufficient to withstand the stresses S&P apply; * S&P's expectation that the various mechanisms within the transaction to support liquidity will provide for timely payment of interest under S&P's stress assumptions; and * S&P's view of the swap provided by Bank of Scotland PLC, Australia Branch (A+/Stable/A-1) to hedge the mismatch between the fixed rate payments on the receivables and the floating-rate coupon payable on the class A-2 notes. Preliminary Ratings Assigned Bella Trust Series 2009-1 Class Rating Amount (mils. A$) ----- ------ ----------------- A-2 AAA 698.0 B A 71.0 C BBB 32.0 D BB 11.2 E B 11.2 Seller Not rated 43.3 ONE.TEL LIMITED: Packer, Murdoch Face $132-Million Legal Claim -------------------------------------------------------------- Funding for a $132 million legal claim against One.Tel backers James Packer and Lachlan Murdoch over a withdrawn rights issue is "95% of the way there", Ben Butler at the Herald Sun reported, citing the company's liquidator. One.Tel special purpose liquidator Paul Weston of Pitcher Partners, who has been investigating One.Tel's 2001 collapse, has filed writs against the media giants in the NSW Supreme Court but is yet to serve them. Mr. Weston told Sky News Business channel he was aiming to recover the money and is in the process of obtaining funding for this particular matter. "You will also appreciate that the parties that we are pursuing for the recovery of the rights issue are powerful, well-resourced parties with very deep pockets," he said. Mr. Weston could not say whether it would be days, weeks or months before the funding was complete, the Herald Sun said. According to the report, Mr. Weston said he had been awaiting the outcome of civil proceedings brought by the Australian Securities and Investments Commission against against One.Tel founder Jodee Rich and One.Tel finance director Mark Silbermann. The report said Mr. Weston has been challenged to immediately serve the writs by James Packer, who last week said he was looking forward to seeing the case argued. The Herald Sun recalls that the stoush arises out of One.Tel's aborted $132 million rights issue in 2001, which was to be backed by Kerry Packer's Publishing and Broadcasting Limited and Rupert Murdoch's News Ltd. PBL and News, which lost a combined $1 billion when One.Tel collapsed, withdrew their underwriting on the grounds that it was not enough to cover the telco's debts, the report notes. About One.Tel One.Tel Limited is an Australian based telecommunications company, belonging to One.Tel Group. One.Tel Ltd. was established in 1995 soon after the deregulation of the Australian telecommunications industry, most of which are currently under external administration by court appointed liquidators. One.Tel is currently in liquidation due to financial problems. Ferrier Hodgson was appointed as voluntary administrator on May 29, 2001. The administrator's report stated that the company was insolvent as of March 2001. Accordingly, the administrator terminated approximately 3,000 employees in June that same year. Steve Sherman and Peter Walker of Ferrier Hodgson were then named liquidators on July 24, 2001. STORM FINANCIAL: Financial Planners Face Industry Probe ------------------------------------------------------- Anthony Marx at The Courier-Mail reports that the Financial Planning Association has launched an investigation against 11 financial planners who promoted investments in Storm Financial Ltd. The report says the FPA has the power to issue fines of up to $20,000 to members found to have breached the group's professional standards guidelines. According to the report, FPA chief executive Jo-Anne Bloch said this month she was ''concerned'' about the continued involvement in the industry of former Storm staff. The Courier-Mail has revealed that at least seven former Storm franchisees and planners remain active across Queensland in providing investment advice to clients. It is not known if any of the seven are among the 11 FPA members under investigation, the report notes. About Storm Financial Storm Financial Limited -- http://www.stormfinancial.com.au/-- operates in the Australian wealth management industry. The company manages over one trillion dollars in investment fund assets for over nine million investors, distributed through investment administration providers and financial adviser. The funds are invested through different investment products and structures, including superannuation, nonsuperannuation managed funds and life insurance products. Non-superannuation managed funds, which form the majority of Storm's products, total approximately 26.5% of total investment fund assets in Australia, as of June 30, 2007. * * * As reported in the Troubled Company Reporter-Asia Pacific on Jan. 14, 2009, Storm Financial appointed Worrells as voluntary administrators after the Commonwealth Bank of Australia Ltd (CBA) demanded debt repayment of around AU$20 million. Storm later closed its business and fired all of its 115 staff. The closure, the company's administrators said, was due to the significant reduction in Storm's income resulting in trading losses being incurred "at a rate which the company could no longer absorb." The TCR-AP reported on Jan. 22, 2009, that the Commonwealth Bank of Australia, Storm's largest creditor, lodged a AU$27.09 million debt claim at a first meeting of the company's creditors on January 20. Administrators Worrells Solvency & Forensic Accountants said the group's remaining creditors are owed AU$51 million, plus a provision for dividends of AU$10 million. On March 27, 2009, the Troubled Company Reporter-Asia Pacific reported that the Australian Securities and Investments Commission won its bid to liquidate Storm Financial Group after the Federal Court ruled that the Company be wound up. Federal court Justice John Logan appointed Ivor Worrell and Raj Khatri of Worrells Solvency and Forensic Accountants as liquidators for the Company. STORM FINANCIAL: Former Investors Set to Launch Suit Against CBA ---------------------------------------------------------------- Former investors of Storm Financial Ltd are preparing to launch individual action against the Commonwealth Bank of Australia to recoup their life savings, Sunday Mail reports. According to the report, other investors are also considering suing law firm Slater and Gordon, which has been facilitating a resolution scheme for clients, if investors do not win back adequate compensation. The report relates that the potential actions follow in the footsteps of founders Emmanuel and Julie Cassimatis who have launched a $17 million claim against the CBA, arguing the bank was negligent in sending through incorrect portfolio data in the months leading up to the collapse. The new claims will include 60 clients Mr. Cassimatis said were about to launch action through law firm, Russell and Co, the Mail states. The report notes sources said dozens more clients and advisers using law firms in Sydney, Brisbane, Cairns, Townsville and Mackay were preparing legal action against the CBA. ========= C H I N A ========= CHINA MINSHENG: Raises US$3.86 Bil. in Hong Kong IPO ---------------------------------------------------- China Minsheng Banking Corp. raised US$3.86 billion through an initial public offering on the Hong Kong Stock Exchange, The Wall Street Journal reports, citing sources familiar with the situation. The Journal relates Minsheng Bank sold 3.32 billion new shares at HK$9.08 each, just above the middle of its indicative range of HK$8.50 to HK$9.50. According to the report, Minsheng Bank is Hong Kong's largest new listing so far this year, overtaking Metallurgical Corp. of China Ltd.'s US$2.4 billion H-share offering in September. It also is the world's fifth-largest IPO of the year after Banco Santander Brasil SA's US$7.5 billion flotation in October and China State Construction Engineering Corp. Ltd.'s US$7.3 billion Shanghai listing in July, the Journal notes, citing data provider Dealogic. Based in Beijing, China, China Minsheng Banking Corporation Ltd.'s mainly provides commercial banking services that include absorbing public deposits, providing short term, medium term, and long term loans, making domestic and international settlement, discounting bills and issuing financial bonds. * * * China Minsheng Banking Corporation Ltd continues to carry Fitch Ratings' individual rating of "D" and support rating at "3". CITIC BANK: BBVA to Increase Stake in Citic to 15% -------------------------------------------------- Banco Bilbao Vizcaya Argentaria SA is to invest a further EUR1.1 billion (US$1.6 billion) to increase its stake in China Citic Bank, the Financial Times reports. Citing people familiar with the matter, the FT relates that BBVA will exercise an option, which expires next week, to lift its stake in China Citic from 10% to 15%. The FT says BBVA has the right to acquire the shares, directly from Citic, at the bank's Hong Kong initial public offering price plus 10%, or HK$6.45. According to the FT, BBVA said it had not made a final decision on whether to increase its stake in China's seventh-largest lender by assets. "We remain committed to deepening our relationship with Citic and regard it as a vital strategic partnership which is delivering value to our shareholders," Manuel Galatas, BBVA managing director in Asia, told the Financial Times. About BBVA Based in Bilbao, Spain, Banco Bilbao Vizcaya Argentaria SA provides retail banking, corporate banking and other related financial services including asset management, investment services, insurance activities, real estate and private equity. It operates in the following business areas: retail banking in Spain and Portugal, wholesale businesses, Mexico and USA markets, South America market and corporate activities. About CITIC Bank CITIC Bank Co Ltd, formerly China CITIC Bank, is a wholly owned subsidiary of the state conglomerate Citic Group (S&P: BB+ long- term and B short-term foreign currency counterparty credit rating). With 41 branches, CITIC Bank had total assets of CNY689.5 billion at the end of September 2006. * * * As of November 23, 2009, China CITIC Bank continues to carry Moody's 'D' bank financial strength rating. ================ H O N G K O N G ================ ACA TRADING: Members' and Creditors Meeting Set for December 21 --------------------------------------------------------------- Members and creditors of ACA Trading International Limited will hold their meetings on December 21, 2009, at 2:00 p.m., at the Room 1304, C C Wu Building, 3028 Hennessy Road, Wanchai, Hong Kong. At the meeting, Kwan Pak Kong, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. ALAN BAGS: Cheng Kam Por Steps Down as Liquidator ------------------------------------------------- Cheng Kam Por stepped down as liquidator of Alan Bags Company Limited on November 16, 2009. AMC (HONG KONG): Mee and Lo Appointed as Liquidators ---------------------------------------------------- Natalia Seng Sze Ka Mee and Susan Y H Lo were appointed as liquidators of AMC (Hong Kong) Limited on November 13, 2009. The Liquidators can be reached at: Natalia Seng Sze Ka Mee Susan Y H Lo Three Pacific Place, Level 28 1 Queen's Road East Hong Kong ARTS CAPITAL: Commences Wind-Up Proceedings ------------------------------------------- Members of Arts Capital Management Limited on November 13, 2009, passed a resolution to voluntarily wind up the company's operations. The company's liquidators are: Johnson Kong Chi How Wilfred Wu Shek Chun Wing On Centre, 25th Floor 111 Connaught Road Central, Hong Kong ASIA CHINA: Lee and Leung Appointed as Liquidators -------------------------------------------------- Lee Yat Wah Walter and Leung Fung Yee Alice on November 16, 2009, were appointed as liquidators of Asia China Properties Limited. The Liquidators can be reached at: Lee Yat Wah Walter Leung Fung Yee Alice Jardin House, 5th Floor 1 Connaught Place Central, Hong Kong UNITEDHEALTHCARE ASIA: Creditors' Proofs of Debt Due December 7 --------------------------------------------------------------- Creditors of Unitedhealthcare Asia Limited, which is in members' voluntary liquidation, requires its creditors to file their proofs of debt by December 7, 2009, to be included in the company's dividend distribution. The company's liquidator is: Bryan Leroy 5405 Dupont Avenue South Minneapolis, Minnesota 55419 USA VICSENSE LIMITED: Creditors' Proofs of Debt Due December 21 ----------------------------------------------------------- Creditors of Vicsense Limited are required to file their proofs of debt by December 21, 2009, to be included in the company's dividend distribution. The company's liquidator is: Li Kwai Wing 21/F, Fee Tat Commercial Centre No. 613 Nathan Road Kowloon, Hong Kong VIVITAR (ASIA): Creditors' and Members Meeting Set for December 4 ----------------------------------------------------------------- Creditors and Members of Vivitar (Asia) Limited will hold their annual meetings on December 4, 2009, at 11:00 a.m., and 11:30 a.m., respectively at the 5th Floor, Ho Lee Commercial Building, 38-44 D'Aguilar Street, in Central, Hong Kong. At the meeting, Frank Yuen Tsz Chun, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. WELCOME GROUP: Placed Under Voluntary Wind-Up Proceedings --------------------------------------------------------- At an extraordinary general meeting held on November 16, 2009, the members of Welcome Group Finance and Management Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Au Wing Ip Cameron Plaza 23 Cameron Road Tsimshatsui Kowloon, Hong Kong WORLD CITY: Lee King Yue Appointed as Liquidator ------------------------------------------------ Lee King Yue on November 13, 2009, was appointed as liquidator of World City Culture Park Limited. The liquidator may be reached at: Lee King Yue Two International Finance Centre, 72-76/F 8 Finance Street Central, Hong Kong * HONG KONG: Bankruptcy Filings Drop to 922 in October ------------------------------------------------------ Hong Kong's bankruptcy petitions showed signs of stabilizing in October, indicating business conditions are finally benefiting from an improving economic environment, Reuters reports citing a government data. Reuters discloses that bankruptcy petitions totaled 992 in October, a 1% rise from a year earlier and falling from 1,142 in September, although the monthly change was not seasonally adjusted. According to Bloomberg News, the city's rebound from a yearlong recession prompted employers to start hiring again, with the city's jobless rate falling to 5.2% in the three months ended Oct. 31. The drop in bankruptcies and unemployment follows a decline in residential mortgage loans in negative equity in October, Bloomberg says. "Clearly an economic recovery is under way, as the falling bankruptcy number is in line with rising domestic consumption and the improving jobless rate," Kelvin Lau, Hong Kong-based economist at Standard Chartered Bank (Hong Kong) Ltd. told Bloomberg. "The recent asset price gain is a double-edged sword, while it helps to drive economic growth due to the wealth effect, it poses the risk of asset bubbles." ========= I N D I A ========= ARVIND MURJANI: CARE Assigns 'CARE BB+ (SO)' on Various Bank Debts ------------------------------------------------------------------ CARE assigns a 'CARE BB+ (SO)' rating to the long-term bank loans/ facilities of Arvind Murjani Brands Pvt Ltd. for an aggregate amount of INR19.75 crore. Facilities with 'Double B' rating are considered to offer inadequate safety for timely servicing of debt obligations. Such facilities carry high credit risk. This rating is applicable for facilities having tenure of more than one year. CARE assigns '+' or '-' signs to be shown after the assigned rating (wherever necessary) to indicate the relative position of the company within the band covered by the rating symbol. Facilities Amount Rating ---------- ------ ------ Long Term Rupee Loans INR3.75cr CARE BB+ (SO) Cash Credit (incl. proposed) INR16.00cr CARE BB+ (SO) Arvind's ratings are constrained by risks relating to volatility in cotton prices, interest rate and forex fluctuation risk, weak financial risk profile, high competition in the industry, depressed textile scenario and the liability on Arvind with respect to the corporate guarantee given to its group companies/subsidiaries. These weaknesses are, however, partially offset by the vast experience of promoters, its status as one of the world's largest denim players, clean track record post re- phasement of loans, expected improvement in operational and financial performance in near future on account of comfortable hedging level of export receivables (which mitigates forex fluctuation risk in the short to medium term) and expected improvement in cash flow post demerger. Arvind also has a valuable land bank which it is planning to sell in near future. The movement in the credit risk profile of Arvind remains the key rating sensitivity. About Arvind Murjani Bangalore based Arvind Murjani Brands Pvt Ltd (AMBPL) was incorporated on September 9, 2003. The company is engaged in the business of wholesale trading and toll manufacturing of various licensed products under the brands name "Tommy Hilfiger". The company is 50:50 joint venture between Arvind Brands (a division of Arvind Ltd) and Ganesha Ltd (a company fully owned by New York based Murjani Group). Arvind Ltd is the flagship company of Arvind group and is one of the world's largest manufacturers of denim. Ganesha Ltd was incorporated in Mauritius and is in the business of offshore investment activity. The Murjani Group, founded in 1930 by Mr. B. K. Murjani, is a well reputed name for successfully developing and launching some of the most recognized international designer lifestyle brands in the world. The group holds perpetual rights for Tommy Hilfiger in India and licensing deals with FCUK and Calvin Klein through a plethora of companies. At present there are 41 Tommy Hilfiger showrooms/stores in all major cities like Delhi, Chandigarh, Mumbai, Bangalore, Hyderabad, Chennai, Kolkatta, Pune, Jallandhar etc. The company reported PAT of INR0.02 crore on a total operating income of INR47.92 crore in FY09 as against loss of INR1.90 crore on a total operating income of INR32.14 crore in FY08. About Arvind (Guarantor) Ahmedabad based Arvind, the flagship company of Lalbhai group, was incorporated in 1931. Arvind is one of the India's leading composite manufacturers of textiles with the presence of almost eight decades in this industry. It is among the largest denim manufacturer in the world. During FY09, the company reported a net loss of INR49 crore on total operating income of INR2290.05 crore as against net profit of INR28 crore on total operating income of INR2321.89 crore during FY08. BEMCO HYDRAULICS: CRISIL Cuts Rating on INR10MM LT Loan to 'D' -------------------------------------------------------------- CRISIL has downgraded its ratings on Bemco Hydraulics Ltd's (Bemco's) bank loan facilities to 'D/P5' from 'B-/Negative/P4'. This is because of consistent devolvement in Bemco's letters of credit, its overdrawn cash credit limits, and delay by the company in meeting its term loan obligations, because of weak liquidity. Facilities Ratings ---------- ------- INR10.0 Million Long Term Loan D (Downgraded from B-/Negative) INR40.0 Million Cash Credit Limit D (Downgraded from B-/Negative) INR25.0 Million Letter of Credit Limit P5 (Downgraded from P4) INR130.0 Million Bank Guarantee Limit P5 (Downgraded from P4) Incorporated in 1957, Bemco (formerly, New Bemco Engineering Products Company Ltd), manufactures hydraulic presses and equipment that find application in automobile, defense, railways, and other engineering sectors. Bemco reported a profit after tax (PAT) of INR3.3 million on net sales of INR225.8 million for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR1.85 million on net sales of INR199.3 million for 2007-08. CASIL INDUSTRIES: ICRA Rates INR376.5 Million Term Loans at 'LB' ---------------------------------------------------------------- ICRA has assigned an LB rating to the INR376.5 million term loans and INR70 million fund based limits of Casil Industries Limited. ICRA has also assigned A4 rating to the INR35.0 million non-fund based limits of CIL. CIL's ratings are constrained by the high competition resulting in loss making operations, adverse capital structure arising from high debt funded capex undertaken in the past, weak interest coverage ratios. The rating also takes into account the recent delays in debt servicing by the company. ICRA also takes note of the company's established network and experience of the promoters in the Pharmaceutical industry. Casil Industries Ltd. was promoted as a Public Venture in the year 1988 with an aim to support an established pharmaceutical company of the group in the allied hospital supplies. CIL provides a range of pharmaceutical and health products. The company is one the established suppliers of allied hospital supplies primarily surgical, orthopedic, wound care, disinfectants etc. Among other products the company also supplies Plaster of Paris Bandages, Adhesive Surgical Tapes, Non-woven Dressings, Disinfectant, Dietary/Multivitamin/Mineral supplements in the form of Soft Gelatin Capsules. CIL also manufactures Sulfolane, a solvent used in refinery and lot of synthesis process in Pharmaceutical Industry. Based on the provisional numbers for the financial year ended 2008-09, the company registered a net loss of INR25.1 million on an operating income of INR163.8 million. DIAMOND INDUSTRIES: Low Profit Margins Prompt ICRA 'LBB' Ratings ---------------------------------------------------------------- ICRA has assigned LBB rating to INR50 million fund based bank facilities of Diamond Industries � Ship Breaking Division on long term scale and an A4 rating to INR350 million non fund based limits of DIAMOND on short term scale. The assigned ratings are constrained by DIAMOND's small scale of operations, low profit margins, exposure to fluctuations in foreign exchange rate and vulnerability to cyclical nature of the user (steel) industry. While assigning the ratings ICRA has also noted the risks that are inherent in partnership firms. The rating draws comfort from DIAMONDS's experience in the ship breaking business, its diversified client base and a favourable outlook for ship breaking industry in the near term. Diamond Industries � Ship Breaking Division (DIAMOND) was incorporated in the year 1994 as a proprietorship firm. The firm is managed by Mr. Ajay Kumar Jain and is engaged in the business of ship breaking. The business operations are carried out at Alang Shipyard near Bhavnagar. The company has taken plot no. 84 on lease for the purpose of carrying out ship breaking activity. Venus Exports also promoted by the same group is currently the distributor for sanitary ware and tiles for brands like Hydrobaths, Hotspring and Cotto and also trades in melting scrap and ferrous scrap. For the financial year ended March 31, 2009, DIAMOND reported a profit after tax (PAT) of INR3.9 million on an operating income of INR446 million. GAJANAN AGRO: Fitch Assigns 'BB-' National Long-Term Rating ----------------------------------------------------------- Fitch Ratings has assigned India's Gajanan Agro Mills Pvt Ltd a National Long-term rating of 'BB-(ind)', and a National Short-term rating of 'F4(ind)'. The Outlook is Stable. Fitch has also assigned ratings to GAMPL's bank loans,: -- Cash Credit (CC) limits totaling INR100m: 'BB-(ind)'; -- Sub-limits under CC (Overdraft against Book Debts, Packing Credit): 'BB-(ind)/F4(ind)'; and -- Term Loans aggregating INR78.4m: 'BB-(ind)'. GAMPL's ratings are driven by the promoters' 40-year strong track record, and its investment in latest technology, which provides operating efficiencies and facilitates milling of superior varieties of rice at competitive costs. This provides a value- driven strategy that not only provides better operating margins, but also supports promotion of its 'Gajanan' brand of rice varieties. GAMPL's operating margins are therefore expected to be higher than its other group partnership firm, Gajanan Industries (GI). GAMPL is also expected to leverage on GI's strong marketing network and the strategic insight of GI's partners (who are also shareholders in GAMPL). The key concerns for the ratings emanate from Gajanan's small scale of operations, its concentration risk in the Andhra Pradesh market and inadequate brand recall. India's rice milling industry is very working capital intensive and is susceptible to fluctuating raw material prices and the vagaries of monsoons. Also, the industry is subject to intervention by regulatory authorities by way of policy changes. The Government of India may direct sales of rice to government agencies, restrict sales of rice in the open market and may prohibit exports. Furthermore, the state government may restrict movement of rice within the state (district to district) and to other states. And, the rice industry is historically a low margin business. There has been a steady increase in demand for processed rice - both unbranded and branded, given that it is a staple commodity in several countries including India. There is large pent-up demand for processed branded rice in Hyderabad. Furthermore, the opening up of export markets could increase demand further and push up prices. Negative rating triggers are a deterioration in operating margins below 4%, interest coverage falling below 1.5x and financial leverage (Total Adjusted Net Debt/Op. EBITDAR) crossing 6.0x. Positive rating triggers are a significant increase in revenues and operating margins on a sustainable basis. GAMPL (capacity of 8 tons per hour) and GI (capacity of 5 tons per hour) are both rice mills belonging to the Gajanan Group in Andhra Pradesh. During the six months ended Sept. 30, 2009, GAMPL's revenues, EBITDA and net income were INR209 million, INR18 million (EBITDA margin of 8.3%) and INR1.2 million (net income margin of 0.6%), respectively. As of Sept. 30, 2009, the interest coverage and net debt /EBITDA were 1.6x and 4.9x, respectively. GAJANAN INDUSTRIES: Fitch Assigns 'B+' National Short-Term Rating ----------------------------------------------------------------- Fitch Ratings has assigned India's Gajanan Industries a National Long-term rating of 'B+(ind)' and a National Short-term rating of 'F4(ind)'. The Outlook is Stable. Fitch has also assigned ratings to GI's bank loans,: -- Term Loans totaling INR5.3 million: 'B+(ind)'; -- Cash Credit (CC) Limit totalling INR100 million: 'B+(ind)'; -- Sub-limits under CC (Packing Credit, Overdraft against Book Debts): 'B+(ind)/F4(ind)'; and -- Exports Bills Negotiation totalling INR5 million: 'F4(ind)'. GI's ratings are underpinned by the strong track record of its promoters in the highly competitive rice milling industry, a strong presence in the Andhra Pradesh market, and modest but stable revenues and operating margins, and comfortable leverage. The key concerns for the ratings emanate from GI's small scale of operations, its concentration risk in the AP market, inadequate brand recall and high competition. Also, India's rice milling industry is very working capital intensive and is susceptible to fluctuating raw material prices and vagaries of monsoons. The industry is subject to intervention by regulatory authorities by way of policy changes. The Government of India may direct sales of rice to government agencies, restrict sales of rice in the open market and may prohibit exports. Also, the state government may restrict movement of rice within the state (district to district) and to other states. Fitch also notes that the rice industry is historically a low margin business. There has been a steady increase in demand for processed rice - both unbranded and branded, given that it is a staple commodity in several countries including India. Furthermore, the opening up of export markets could increase demand further, and push up prices. Negative rating triggers are a deterioration in operating margins, interest coverage falling below 1.3x and financial leverage (Total Adjusted Net Debt/Op. EBITDAR) exceeding 7.0x. Positive rating triggers are a significant increase in revenues and operating margins on a sustainable basis. GI is a partnership firm that was set up in 1969. GI (capacity of 5 tons per hour) and Gujarat Agro Mills Pvt Ltd (capacity of 8 tons per hour) are both rice mills belonging to the Gajanan Group in Andhra Pradesh. During the 12 months to end March 2009, GI's revenues, EBITDA and net income were INR312 million, INR23 million (EBITDA margin of 7.3%) and INR0.5 million (net income margin of 0.2%) respectively. The interest coverage and net debt /EBITDA were 1.3x and 5.3x, respectively. GROVER VINEYARDS: Delay in Loan Repayment Cues CRISIL Junk Ratings ------------------------------------------------------------------ CRISIL has assigned its ratings of 'D/P5' to the bank facilities of Grover Vineyards Ltd. The ratings reflect the delay by GVL in servicing its term loan. The delay is because of GVL's weak liquidity. Facilities Ratings ---------- ------- INR55.00 Million Long-Term Loan D (Assigned) INR90.00 Million Open Cash Credit D (Assigned) INR20.00 Million Short-Term Loan P5 (Assigned) INR15.00 Million Foreign Bill P5 (Assigned) Discounting/Foreign Bill Exchange INR10.00 Million Foreign Letter P5 (Assigned) of Credit INR50.00 Million Bank Guarantee P5 (Assigned) GVL (formerly, Grover Vineyards Pvt Ltd) was incorporated in 1988 by Mr. Kanwal Grover and his son, Mr. Kapil Grover, in Doddaballapur, on the outskirts of Bengaluru. The company's vineyards are spread over 400 acres. Its winery has annual production capacity of 1.195 million bottles of 750 milliliters each. GVL sells its products under the Grover brand. GVL reported a net loss of INR127 million on net sales of INR136 million for 2008-09 (refers to financial year, April 1 to March 31), against a PAT of INR0.6 million on net sales of INR217 million for 2007-08. HIMSON ENGINEERING: CRISIL Puts 'BB+' Rating on INR82.4MM Loan -------------------------------------------------------------- CRISIL has assigned its ratings of 'BB+/Stable/P4+' to the bank facilities of Himson Engineering Pvt Ltd. Facilities Ratings ---------- ------- INR107.4 Million Cash Credit Limit BB+/Stable (Assigned) INR38.5 Million Overdraft Facility BB+/Stable (Assigned) INR82.4 Million Term Loan BB+/Stable (Assigned) INR1.3 Million Proposed Long Term BB+/Stable (Assigned) Bank Loan Facility INR10.0 Million Letter of Credit P4+ (Assigned) INR10.0 Million Bank Guarantee P4+ (Assigned) The ratings reflect Himson Engineering's constrained financial risk profile owing to debt-funded capital expenditure, high dependence on the cyclical textile industry and small scale of operations. These weaknesses are, however, partially offset by a healthy business risk profile backed by a renowned brand, above average operating efficiency and efficient working capital management. Outlook: Stable CRISIL expects Himson Engineering Pvt Ltd (Himson Engineering) to maintain a stable credit profile backed by its established brand name and improving operating efficiencies. The outlook may be revised to 'Positive' in case of better-than-expected profit margins and debt protection measures. Conversely, the outlook may be revised to 'Negative' if delays in stabilization of the ongoing project lead to deterioration in company's financial risk profile. About Himson Engineering Himson Engineering, promoted in 2004 as a partnership firm by Mr. Bhogilal Bachkaniwala and his son Mr. Darshan Bachkaniwala, is part of the Himson Bhogibhai group, based in Gujarat; in 2006, it was converted into a private limited company. The company manufactures texturising and winding machines for the textile industry. The promoters of Himson Engineering have been associated with the textile machinery industry for more than 25 years through the company Himson Textile. The Himson group operated in the fabric- processing segment until 1974, after which the group decided to diversify into manufacturing of polyester yarn processing machines. The group's engineering segment witnessed significant growth after Himson Textile tied up with the UK-based textile machine manufacturer, Reiter-Scragg in 1978. Post the de-merger of Himson Textile, a part of the group's textile machine manufacturing operations moved to Himson Engineering. Himson Engineering reported a loss after tax of INR1.5 million on net sales of INR464.9 million for 2008-09 (refers to financial year, April 1 to March 31), as against a profit after tax of INR30.2 million on net sales of INR927.9 million for 2007-08. ICICI BANK: Raises US$750 Million of Bonds in Overseas Markets -------------------------------------------------------------- Lester Pimentel and Veronica Navarro Espinosa at Bloomberg News report that ICICI Bank Ltd. sold US$750 million of bonds in overseas markets amid a decline in lending. The bank sold the bonds due March 2015 to yield 337.5 basis points more than U.S. Treasuries, according to Bloomberg data. Bank of America Corp., Credit Suisse Group AG and HSBC Holdings Plc arranged the bond sale, Bloomberg relates. Headquartered in Mumbai, India, ICICI Bank Limited (NYSE:IBN) -- http://www.icicibank.com/-- is a private sector bank with consolidated total assets of US$121 billion as of March 31, 2008. ICICI Bank's subsidiaries include India's leading private sector insurance companies and among its largest securities brokerage firms, mutual funds and private equity firms. ICICI Bank's presence currently spans 19 countries, including India. * * * As reported in the Troubled Company Reporter-Asia Pacific on September 28, 2009, Standard & Poor's Ratings Services affirmed the 'BBB-' rating on ICICI Bank Ltd.'s senior unsecured notes, and the 'BB' rating on its hybrid Tier 1 notes, under the bank's revised US$5 billion medium-term note program. At the same time, Standard & Poor's has withdrawn its indicative ratings on the upper Tier 2 and the lower Tier 2 bond tranches, which were available under the previous version of the MTN program. Following the recent revision to the program, these tranches no longer exist. There are no outstanding rated issues under these tranches. INDERJIT MEHTA: CRISIL Assigns 'B' Rating on INR110MM Cash Credit ----------------------------------------------------------------- CRISIL has assigned its ratings of 'B/Stable/P4' to the bank facilities of Inderjit Mehta Constructions Pvt Ltd. Facilities Ratings ---------- ------- INR110.0 Million Cash Credit Limit B/Stable (Assigned) INR250.0 Million Bank Guarantee P4 (Assigned) The ratings reflect IM Constructions' weak financial risk profile, and its small net worth and scale of operations. These weaknesses are partially offset by the company's established track record as a contractor in the defense civil construction business. Outlook: Stable CRISIL believes that IM Constructions will maintain a stable business risk profile over the medium term backed by its established position as a defense contractor. However its financial risk profile is expected to remain constrained due to high gearing and weak debt protection measures. The outlook may be revised to 'Positive', if there is a more than expected growth in the company's scale of operations while maintaining profitability. Conversely, the outlook may be revised to 'Negative' if IM Constructions undertakes large, debt-funded capital expenditure (capex), or faces time and cost overruns on its ongoing and future projects. About IM Constructions Established in 1987, IM Constructions is engaged in undertaking turnkey civil contracts for defence agencies, Delhi State Industrial and Infrastructure Development Corporation Limited (DSIIDC), Delhi Metro Rail Corporation Limited (DMRC), IRCON Ltd, Central Public Works Department (CPWD) and private contractors. The defence agencies catered to include Military Engineer Services (MES) and Directorate General of Married Accommodation Project (DG MAP). Its range of construction activities includes buildings, shelters, sheds, synthetic tracks, and internal and external electrification. It is currently executing a number of projects, including a mess for MES in Dehradun, simulator and training buildings for DMRC in Shastri Park, Delhi, and dwelling units for MES in Pune. The company is promoted by Mr. Inderjit Mehta and family members. IM Constructions reported a provisional net loss of INR12.1 million on net sales of INR406.7 million for 2008-09 (refers to financial year, April 1 to March 31), against a net loss of INR2.1 million on net sales of INR448.4 million for 2007-08. KIMAYA FASHIONS: ICRA Places 'LBB+' Rating on INR380MM Term Loans ----------------------------------------------------------------- ICRA has assigned an LBB+ rating to the INR380 million term loans and INR70 million fund based limits of Kimaya Fashions Private Limited. The assigned rating reflects pressure on KFPL's profitability contributed by high rental costs in key locations though there has been some improvements through rental re-negotiations in recent periods, its small size of operations and its ongoing debt funded capex plan, which likely to impact the financial profile. The high end boutique retail is characterized by intense competition from unorganized players and high inventory levels, restricting profitability. The rating also takes into account KFPL's established relationships with ultra HNI customers and well known designers, its high brand visibility aided by Bollywood celebrity endorsements and the experience of the promoters in the field. KFPL is into the business of retailing high end boutique couture with own stores located in Mumbai, Delhi, Bangalore and a franchise store at Chennai. The company has standalone stores and well stores located in some of the major malls targeted at high end customers. The company has been able to grow at a healthy rate with revenues having doubled over a period of last two years to reach INR362.7 million in FY 2009. The company's growth has been driven by the opening up of new stores at various locations; KFPL has 17 stores operational as on Nov, 2009 up from two stores in 2005. The company has plans to launch five new stores by the end of current financial year. Kimaya Fashions Private Limited promoted by Mr. Pradeep Hirani and Ms. Neha Hirani and was started in March 2002, the company launched its first store at Juhu in Mumbai in Oct, 2002. KFPL currently has stores at premium locations in the cities of Mumbai, Delhi and Dubai and sells the creations of top Indian designers to affluent fashion conscious clientele. KFPL started operations with nearly 26 designers in 2002 and over a period of time the number of designers has gone up to around 140 presently. KFPL has also launched its franchisee operations during 2008-09 with the opening of its first franchisee store in Chennai. The company has over a period of time launched different brands carrying out line extension these include Kimaya Bridal Saloon ( targeted at the brides ), Kimaya Amore ( Plus size women), vivakimaya ( targeted at the young ), ayamik (men's collection). The company has presently 17 operational stores in Mumbai, Delhi, Bangalore and Chennai. MITHILA MOTORS: CRISIL Puts 'BB+' Ratings on Various Bank Debts --------------------------------------------------------------- CRISIL has assigned its rating of 'BB+/Stable' to the bank facilities of Mithila Motors Pvt Ltd. Facilities Ratings ---------- ------- INR150.0 Million Cash Credit BB+/Stable (Assigned) INR50.0 Million Term Loan BB+/Stable (Assigned) The rating reflects MML's weak financial risk profile and exposure to risks relating to intense competition in the automobile dealership market. However, these weaknesses are partially offset by the promoters' long experience and the company's established presence in the automobile dealership market in Jharkhand. Outlook: Stable CRISIL believes that MML will maintain a favorable business risk profile backed by established presence and relationship with principal, Tata Motors Ltd. The outlook may be revised to 'Positive' if the company's operating margins and sales volumes increase mainly through stabilization of the joint venture between MML and Commercial Engineering and Body Building Company Ltd (CEBBCo), leading to a sustained improvement in the financial risk profile. Conversely, the outlook may be revised to 'Negative' if cash accruals decline sharply or if a large, debt-funded capital expenditure weakens the company's capital structure. About Mithila Motors Set up in 1958, MML is an authorized dealer for TML's commercial vehicles (CVs) for Jharkhand. MML has eight showrooms and two workshops apart from two onsite service centres in Jharkhand. The company formed a joint venture with CEBBCo in August 2009 for manufacturing tipper body solutions for TML. The joint venture is a 60:40 arrangement between CEBBCo and MML. The JV will be one of the two vendors of TML for tipper body solutions. MML reported a profit after tax (PAT) of INR16.2 million on net sales of INR2.1 billion for 2008-09 (refers to financial year, April 1 to March 31), as against a PAT of INR18.9 million on net sales of INR2.5 billion for 2007-08. OZONE SHELTERS: Weak Liquidity Prompts CRISIL 'B' Ratings --------------------------------------------------------- CRISIL has assigned its rating of 'B/Stable' to Ozone Shelters Pvt Ltd's INR300 million rupee term loans. The rating reflects Ozone Shelters's weak financial risk profile marked by poor economics of the project and extension in the project execution timeline, weak liquidity, and inadequate financial flexibility. The rating weaknesses are partially offset by the benefits that the company derives from its promoters' experience in real estate development. Outlook: Stable CRISIL expects Ozone Shelters's financial risk profile to remain weak over the medium term given the poor project economics. The outlook could be revised to 'Negative' in case of a delay in project progress, and consequently, shortfall in collection of customer advances. Conversely, the outlook could be revised to 'Positive' in case of faster-than-expected flat bookings at a higher-than-projected rate, resulting in improvement in liquidity. Ozone Shelters, incorporated in June 2008, is part of the Bengaluru-based Ozone group. The company is developing a residential project on a 9-acre land in Bengaluru, under a joint development agreement with Keystone Construction (the land owner). The project has a total saleable area of 878,864 square feet, of which, Ozone Shelters's share is 66 per cent; the balance belongs to Keystone Construction. The total cost of development is estimated at INR1.7 billion. The project comprises a multi- storied residential complex consisting of eight towers. The Ozone group is involved in the development of information technology (IT) parks, office space, malls, hotels and service apartments, and residential apartments and townships. The group has a presence in Chennai and Bengaluru. The group's flagship company is Ozone Propex Pvt Ltd, which was promoted by Mr. S Vasudevan, Mr. C P Bothra, and Urban Infrastructure Venture Capital Fund through its scheme, Urban Infrastructure Opportunities Fund. The group includes several companies that are joint venture equity partners on project-specific basis. RAM DEV: CRISIL Reaffirms 'BB' Ratings on Various Bank Facilities ----------------------------------------------------------------- CRISIL's ratings on the bank facilities of Ram Dev Rice Pvt Ltd continue to reflect RDRPL's weak financial risk profile because of its large working capital needs, and its small scale of operations. The ratings also factor in the company's exposure to risks relating to volatility in raw material prices and adverse changes in government policy. The impact of these rating weaknesses is mitigated by the healthy growth prospects in the rice industry. Facilities Ratings ---------- ------- INR340.0 Million Cash Credit BB/Stable (Reaffirmed) INR23.7 Million Rupee Term Loan BB/Stable (Reaffirmed) INR120.0 Million Export Packing Credit P4+ (Reclassified from 'P4') Outlook: Stable CRISIL expects RDRPL's financial risk profile to remain weak over the medium term given the rice company's working capital-intensive operations. The outlook may be revised to 'Positive' if RDRPL's capital structure improves considerably from its current levels. Conversely, the outlook may be revised to 'Negative ' if the capital structure deteriorates further. Summary Update RDRPL's net sales (of INR1.35 billion) and operating profitability for 2008-09 (refers to financial year, April 1 to March 31) were lower than CRISIL's expectations, primarily because of the levy of export duty in 2008 on basmati rice. The company could, nevertheless, sustain its financial risk profile backed by marginal decrease in its working capital funding requirements; the company's gearing decreased to a level which is lower than CRISIL's earlier expectations. The export duty on basmati rice was withdrawn subsequently, and CRISIL therefore expects RDRPL to benefit from increase in export revenues in 2009-10. The company is planning to undertake a capital expenditure (capex) program of about INR60 million in 2009-10 to increase its milling and sorting capacity. Earlier, the company had proposed capex of INR100 million. For 2008-09, RDRPL reported a profit after tax (PAT) of INR8.0 million on net sales of INR1.35 billion, against a PAT of INR21.6 million on net sales of INR0.8 billion for 2007-08. About Ram Dev Rice Set up in 1999 by Mr. Naresh Singla and Mr. Suresh Singla, RDRPL is engaged in milling, processing, and selling of basmati rice in India and abroad. Exports accounted for around 60 per cent of the company's revenues in 2007-08. RDRPL is also engaged in trading activity: it procures unsorted rice from small mills, sorts it at its plant, and then exports it. The company's plant, at Daha, Karnal District, Haryana, has milling and sorting capacities of 12 tonnes per hour (tph) and 18 tph, respectively. To meet excess orders, the company also engages other plants in the region on job-work basis. RDRPL proposes to commission one more plant with milling and sorting capacities of 6 tph each. SANAA SYNTEX: Low Profitability Cues ICRA to Assign 'LBB' Ratings ----------------------------------------------------------------- ICRA has assigned an LBB rating to the INR61.6 million term loans and INR 130 million fund based facilities of Sanaa Syntex Private Limited. ICRA has also assigned an A4 rating to the INR35 million non-fund-based facilities of SSPL in the short term. The ratings reflect the modest scale of operations of the company and weak financial profile, as characterised by high gearing, weak interest coverage indicators and low profitability. The textile industry is characterized by intense competition from a large number of unorganized players and profitability is vulnerable to fluctuation in raw material prices. The industry has been facing a demand slowdown, particularly in the exports market, on account of the ongoing economic slowdown. The ratings however derive comfort from the promoter's experience in weaving business and trading fabrics; diversification into furnishing fabrics and efforts at professionalizing the organization by bringing in technically qualified personnel. Sanaa Syntex Private Limited, incorporated on September 27, 1990, is primarily engaged in manufacturing of polyester viscose fabric and polyester blended fabrics used in suiting and shirting. The company's sales are mainly directed towards the domestic market which constitutes around 90% of the sales while 10% of the sales are of exports. The company also does job work for bigger players like Grasim etc. The company has three manufacturing units located at Umbergaon, Gujarat with annual production capacity of 9 million meter of fabric per year. Trading turnover constitutes approximately 62% of SSPL's sales. The company markets its products under the S&A brand which was launched in 2007. In 2006, the company ventured into production of relatively higher margin furnishing fabrics. As per unaudited results for 2008-09, SSPL had a profit after tax (PAT) of INR 13.1 million over an operating income of INR 684.9 million. SHRI JALARAM: Liquidity Constraints Cues 'CARE BB+' Ratings ----------------------------------------------------------- CARE has assigned a 'CARE BB+' rating to the Long-term Bank Facilities of Shri Jalaram Rice Industries Pvt Ltd. Also, CARE assigned a 'PR4' rating to the Short-term Bank Facilities of SJRI. Facilities with 'Double B' rating are considered to offer inadequate safety for timely servicing of debt obligations. Such facilities carry high credit risk. This rating is applicable for facilities having tenure of more than one year. Facilities with 'PR Four' rating would have inadequate capacity for timely payment of short-term debt obligations and carry very high credit risk. Such facilities are susceptible to default. This rating is applicable for facilities having tenure of less than one year. CARE assigns '+' or '-' signs to be shown after the assigned rating (wherever necessary) to indicate the relative position of the company within the band covered by the rating symbol. Facilities Amount Rating ---------- ------ ------ Long-term Bank Facilities INR35.94cr CARE BB+ Short-term Bank Facilities INR55.00cr PR4 Rating Rationale The ratings are constrained by the moderate financial risk profile of SJRI because of highly working capital intensive nature of rice industry, susceptibility to volatility in raw material prices, high dependency on monsoon, exposure to regulatory risks, negative operating cash flow and liquidity constraints leading to unsatisfactory debt servicing track record. These weaknesses are, however, partially offset by the vast experience of promoters and improved performance in FY09. The timely completion and funding of capex, movement in rice price and management of working capital requirements remain the key rating sensitivities. About Shri Jalaram Ahmedabad based SJRI was established as a partnership firm viz. M/s Jalaram Rice Industries in April 2003 which converted into a private limited company on September 29, 2006. The main promoters of SJRI are Shri Jayesh Ganatra and Shri Bipin Ganatra. SJRI is engaged in the milling and sorting of basmati and non-basmati rice. SJRI currently has rice milling capacity of 20MT per hour and sorting capacity of 200T per day. During FY09, total operating income grew by 109% over FY08 mainly driven by higher prices. On a total income of INR128.28 cr., SJRI reported a PAT of INR3.02 cr. in FY09. However, the company's liquidity position was stretched as evidenced by high working capital utilisation and unsatisfactory debt servicing record. SOFED RETAILER: ICRA Assigns 'LBB' Rating on INR1.72BB Term Loan ---------------------------------------------------------------- ICRA has assigned an LBB rating to the INR1.72 billion term loan of Sofed Retailer Private Limited. The rating takes into account the significant market risk arising out of moderate level of leasing achieved in the project and a slowdown in demand due to adverse economic conditions leading to low absorption of IT/ITES related office space in the recent past. The rating is further constrained by the project execution risk faced by the company as approximately 50% of the construction on the project is completed till date. ICRA however draws comfort from the established track record of SRPL's promoters in development of residential and commercial projects, relatively low land acquisition cost, low funding risk as the entire debt has been tied up and the fact that 42% of the equity contribution has been brought in by the promoters. Going forward, the ability of the company to lease the available space at desired rates and complete the project on time will be key rating sensitivity factors. SRPL was incorporated in 1995 and initially operated as a Trading Firm dealing in the Indian Stock Exchange. In the year 2005, the company was taken over by Mr.Amit Kumar Modi and Parabolic Real Estate Private Limited (jointly promoted as a SPV by Mr. Pranav Gupta and Mr.Vineet Gupta) for the purpose of availing allotment of land by Haryana State Industrial & Infrastructure Development Corporation Ltd. (HSIIDC) to set up an IT Park at Manesar, Gurgaon. Thereafter, Aarone Promoters Private Limited (a group company of Aarone Group) was included in the management of SRPL in the capacity of a real estate developer. Currently Aarone Promoters Private Limited is the largest shareholder with 42.50% stake followed by Mr.Amit Kumar Modi and Parabolic Real Estate Private Limited at 28.75% each. SRPL is currently developing an IT Park titled "Cyber Walk", with a leasable area of 11.28 lakh sq.ft. The total project cost of INR2.48 billion is proposed to be funded through equity contribution of INR0.76 billion and a term loan of INR1.72 billion. STERLING GEMS: CARE Rates INR60cr LT Bank Debts at 'CARE BB' ------------------------------------------------------------ CARE has assigned a rating of 'CARE BB' to the Long-term Bank Facilities of M/s. Sterling Gems (SG) aggregating INR60.00 crore. This rating is applicable to facilities having tenure of more than one year. Facilities with this rating are considered to offer inadequate safety for timely servicing of debt obligations. Such facilities carry high credit risk. CARE assigns '+' or '-' signs to be shown after the assigned rating (wherever necessary) to indicate the relative position of the company within the band covered by the rating symbol. The rating assigned by CARE is based on the capital deployed by the partners and the financial strength of the firm as on March 31, 2008. The rating may undergo change in case of withdrawal of capital or of the unsecured loans brought in by the partners in addition to the financial performance and other relevant factors. Rating Rationale The rating is constrained by SG's major presence in a single product offering -- viz tapered baguettes, geographical- concentration risk and the constitution of the entity, being a partnership firm. The rating is further constrained by low PAT margin, high overall gearing, high proportion of uninsured receivables and long working capital cycle. The rating favorably considers the experience of promoters in the diamond business. Further, economic slowdown across the globe resulting in slowdown in domestic demand is the key rating sensitivity. About Sterling Gems SG was established as a partnership firm in the year 1985 with Mr. Deepak Mehta, Mr. Miten Shah and Mr. Jayesh Mehta as the main partners. It was reconstituted in March 2004, with Mr. Jayesh Mehta and his son Mr. Chirag becoming the main partners of the firm. Mr. Jayesh Mehta has long experience of more than 30 years in the industry and is the main partner of the firm responsible for all strategic decisions. The firm is mainly engaged in import of rough diamonds, cutting & polishing and exporting the same to various countries, mainly to Hong Kong, UAE, Thailand, Bangkok and Korea. Hong Kong is the major destination for the firm's exports with a share of more than 40% of the total sales during FY07 and FY08. The manufacturing facility of the firm is located at Bhavnagar in Gujarat. The firm specializes in processing of tapered baguette diamonds ranging from 20 cents to 50 cents, which form 80% of the overall portfolio and thus, exposing it to product-concentration risk. The firm had a higher proportion of traded sales during FY08 which resulted in y-o-y increase in net sales by 40%. However, PBILDT margin dipped to 5.96% in FY08 from 7.11% in FY07 as the proportion of trading income (wherein margins are less) increased vis-a-vis manufacturing income. PAT margin also shrunk to 1.81% in FY08 as compared to 2.47% in FY07 due lower PBILDT, coupled with higher interest rates. The firm had an average collection period of 150 days and maintained an average inventory days of 100 days, thus leading to a long working capital cycle. The firm is dependant on bank borrowings to fund its long working capital cycle leading to high overall gearing ratio of 2.56x as on March 31 2008 as compared to 2.31x as on March 31 2007. ================= I N D O N E S I A ================= ANZ PANIN: Fitch Keeps Individual Rating at 'D'; Outlook is Stable ------------------------------------------------------------------ Fitch Ratings has affirmed PT ANZ Panin Bank's National Long-term rating at 'AA+(idn)', Individual rating at 'D', and Support rating at '3'. The Outlook is Stable. The ratings take into account ANZ Panin's financially strong Australia-based parent, the Australia & New Zealand Banking Group ('AA-' /Stable). ANZ is one of the four largest banks in Australia with operations in more than 30 countries. Fitch believes that ANZ's strong commitment to ANZ Panin is not only reflected in its 85% ownership and commitment to provide additional capital, but also management control, name sharing and operational alignment in key areas such as risk management, IT systems, operating procedures and reporting standards. The parent's recent acquisition of the Royal Bank of Scotland's retail and commercial assets in Asia, including in Indonesia, is in line with its strategy to expand its banking franchise. The bank expects to complete the integration of RBS operations into ANZ Panin in 2010. Profitability weakened during the first nine months of 2009, due to higher operating expenses, mainly for business expansion (such as hiring new staff, adding network and its supporting infrastructure), and lower interest margin. The weaker lending yield on earning assets reflected the more rapid corporate loan growth over higher-yielding consumer loans. The bank's concentrated loan book (top 20 borrowers accounted for 55% of total loans or 2.6x equity at H109) may increase impairment risk should macroeconomic conditions weaken. NPLs increased to 3.8% at end-September 2009 (2008: 2.5%) due to the downgrade of a few corporate borrowers. Stress testing by Fitch on the bank's underlying earnings indicates that credit cost absorption capacity is lower than its peers due to the bank's weaker profitability, however the agency's concerns are allayed by the likely access to ANZ's strong financial resources. The bank's rapid loan expansion, up 45% ytd in 9M09, has lowered capital adequacy ratio to 11.5% at end-September 2009 (2008: 16.3%). Nevertheless, the parent's plan to inject US$40 million additional capital by end-2009 to support ANZ Panin's business expansion, as well as the access to the former's financial resources are mitigating factors. The bank aims to keep total CAR between 12%-14% in the medium term suggesting that additional capital infusion from the parent is possible in 2010 with the planned integration of RBS assets in Indonesia. ANZ Panin was established in 1993 as a JV between ANZ Bank and PT. Bank Pan Indonesia (Long-term foreign currency Issuer Default Rating: 'BB'; National Long-term: 'AA-(idn)'). ========= J A P A N ========= JAPAN AIRLINES: Delta CEO Says Alliance Willing to Invest More -------------------------------------------------------------- Daily Bankruptcy Review says the chief executive of Delta Air Lines Inc. indicated the SkyTeam alliance would be willing to invest more than Delta's proposed $1.02 billion into Japan Airlines Corp. as it tries to forge a trans-Pacific partnership. As reported by the Troubled Company Reporter-Asia Pacific on November 19, 2009, Dow Jones Newswires' Doug Cameron and Yoshio Takahashi and The Wall Street Journal's Mariko Sanchanta reported that Delta Air Lines Inc. and its airline partners said they could provide a $1.02 billion funding package to Japan Airlines Corp., in an aggressive bid meant to show their financial muscle as they try and wrest JAL away from its partnership with rival American Airlines. According to the report, the proposal by Delta and SkyTeam members -- including Air France-KLM -- includes a $500 million injection from the alliance. Delta would provide a $300 million revenue guarantee, $200 million in asset-backed funding and cover $20 million or more in costs for a switch. "The move signals the first time that Delta and its SkyTeam partners have quantified the amount they would be willing to inject into JAL, which is weighed down by more than one trillion yen ($11.19 billion) in debt and pension liabilities. It also underlines Delta's determination to tie up with JAL in order to tap into the Japanese carrier's lucrative Asian and trans-Pacific routes," the report said. According to the report, Delta President Edward Bastian said at a briefing in Tokyo Wednesday that he believes that the bigger economies of scale provided by SkyTeam would bring greater benefits to the struggling Japanese carrier. "It's clear that SkyTeam is by far the strongest partner for Japan Airlines and the best ally to ensure JAL's growth and stability in the decades to come," Mr. Bastian said. He estimated that JAL's annual revenue would grow by $400 million if the Japanese carrier joins SkyTeam, the report added. As reported by the Troubled Company Reporter on November 6, 2009, sources told the Wall Street Journal that American Airlines' "Oneworld Total Value Proposition" presentation to government officials and JAL senior management: -- shows that an American-JAL alliance would significantly boost JAL's revenue should the U.S. and Japan reach a new open-skies deal; -- underlines the fact that several oneworld members are keen to expand their relationship with JAL, including British Airways, which has expressed an interest in a joint venture with JAL. -- estimates a switch to the Delta alliance would cost JAL more than $500 million in lost revenue in the first two years from disentangling frequent-flier agreements and lost traffic shared with other airlines. The Journal said it is unclear what the actual financial impact of a JAL switch to SkyTeam from oneworld would be, but the process could be complex. "If JAL had been starting from zero, a SkyTeam alliance would have made more sense," the Journal quoted Yoshihisa Akai, the managing director of Japan Aviation Management Research, a think tank, as saying. "But extricating itself from oneworld will be a massive task." American and Delta are offering to buy minority equity stakes in JAL. The Journal said Delta has hired investment bank Goldman Sachs Group Inc. and public-relations firm Fleishman-Hillard to advise it on a possible alliance with JAL. American has tapped Global Advisory Japan, a unit of Rothschild, the Journal said. About AMR Corp. Headquartered in Forth Worth, Texas, AMR Corporation (NYSE: AMR) operates with its principal subsidiary, American Airlines Inc. -- http://www.aa.com/-- a worldwide scheduled passenger airline. At the end of 2006, American provided scheduled jet service to about 150 destinations throughout North America, the Caribbean, Latin America, including Brazil, Europe and Asia. American is also a scheduled airfreight carrier, providing freight and mail services to shippers throughout its system. Its wholly owned subsidiary, AMR Eagle Holding Corp., owns two regional airlines, American Eagle Airlines Inc. and Executive Airlines Inc., and does business as "American Eagle." American Beacon Advisors Inc., a wholly owned subsidiary of AMR, is responsible for the investment and oversight of assets of AMR's U.S. employee benefit plans, as well as AMR's short-term investments. * * * AMR carries a 'CCC' issuer default rating from Fitch Ratings. It has 'Caa1' corporate family and probability of default ratings from Moody's. It has 'B-' corporate credit rating, on watch negative, from Standard & Poor's. About Delta Air Lines With its acquisition of Northwest Airlines, Atlanta, Georgia-based Delta Air Lines (NYSE: DAL) -- http://www.delta.com/or http://www.nwa.com/-- became the world's largest airline following merger with Northwest Airlines in 2008. From its hubs in Atlanta, Cincinnati, Detroit, Memphis, Minneapolis-St. Paul, New York-JFK, Salt Lake City and Tokyo-Narita, Delta, its Northwest subsidiary and Delta Connection carriers offer service to more than 376 destinations worldwide in 66 countries and serves more than 170 million passengers each year. The merger closed on October 29, 2008. Northwest and 12 affiliates filed for Chapter 11 protection on September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17930). On May 21, 2007, the Court confirmed the Northwest Debtors' amended plan. That amended plan took effect May 31, 2007. Delta and 18 affiliates filed for Chapter 11 protection on September 14, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-17923). Marshall S. Huebner, Esq., at Davis Polk & Wardwell, represented the Delta Debtors in their restructuring efforts. On April 25, 2007, the Court confirmed the Delta Debtors' plan. That plan became effective on April 30, 2007. (Bankruptcy Creditors Service Inc. publishes Delta Air Lines Bankruptcy News, http://bankrupt.com/newsstand/or 215/945-7000). * * * Delta Air Lines has $44,480,000,000 in assets against total debts of $43,500,000,000 in debts as of June 30, 2009. Delta Air Lines and Northwest Airlines carry a 'B/Negative/--' corporate ratings from Standard & Poor's. They also continue to carry 'B2' corporate family ratings from Moody's. About JAL Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan- based holding company that is active in five business segments through its 225 subsidiaries and 82 associated companies. The Air Transportation segment is engaged in the operation of passenger and cargo planes. The Air Transportation-Related segment is engaged in the transportation of passengers and cargoes, the preparation of in-flight food catering, the maintenance of aircraft and land equipment, as well as the fueling business. The Travel Planning and Marketing segment is involved in the planning and sale of travel packages. The Card and Leasing segment is engaged in the provision of finance, cards and leasing services. The Others segment is involved in businesses related to hotels, resorts, logistics, wholesale, retail, real estate, printing, construction, manpower dispatch, as well as information and communication. The Company has numerous global operating locations. JAL International Co. Ltd. is a wholly owned operating subsidiary of Japan Airlines Corporation. * * * As reported by the Troubled Company Reporter on November 3, 2009, Moody's Investors Service has downgraded the long-term debt rating and issuer rating of Japan Airlines International Co., Ltd. To Caa1 from B1, and will continue to review both ratings for further possible downgrade. JAPAN AIRLINES: DBJ, Creditors Agree to Suspend Debt Repayment -------------------------------------------------------------- The Development Bank of Japan and other creditors agreed Friday to suspend repayment of debts held by Japan Airlines Corp. as it seeks an out-of-court restructuring process, Japan Today reports citing sources close to the matter. Sources said the DBJ and JAL are also expected to sign an agreement as early as today, November 24, that would allow the bank to extend a pool of about JPY100 billion in bridge loans to JAL, according to Japan Today. Meanwhile, the report says JAL held a meeting on November 21 with its creditors after it recently applied for an arbitration scheme called "alternative dispute resolution." Under the process, a noncourt third-party will act as an intermediary between the airline and its creditors to enable suspension of loan payments. Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan- based holding company that is active in five business segments through its 225 subsidiaries and 82 associated companies. The Air Transportation segment is engaged in the operation of passenger and cargo planes. The Air Transportation-Related segment is engaged in the transportation of passengers and cargoes, the preparation of in-flight food catering, the maintenance of aircraft and land equipment, as well as the fueling business. The Travel Planning and Marketing segment is involved in the planning and sale of travel packages. The Card and Leasing segment is engaged in the provision of finance, cards and leasing services. The Others segment is involved in businesses related to hotels, resorts, logistics, wholesale, retail, real estate, printing, construction, manpower dispatch, as well as information and communication. The Company has numerous global operating locations. JAL International Co. Ltd. is a wholly owned operating subsidiary of Japan Airlines Corporation. * * * As reported by the Troubled Company Reporter on November 3, 2009, Moody's Investors Service has downgraded the long-term debt rating and issuer rating of Japan Airlines International Co., Ltd. To Caa1 from B1, and will continue to review both ratings for further possible downgrade. JAPAN AIRLINES: May Reduce Proposed Pension Cut to 30% ------------------------------------------------------ Bloomberg News, citing the Nikkei newspaper, reports that Japan Airlines Corp. may reduce a proposed cut in pensions to 30% from about 50% to gain approval from retirees. The airline aims to present its plan for trimming benefits within this year, the paper said, without saying where it obtained the information. According to Bloomberg, Nikkei said JAL will probably suggest its current employees take a 50% cut in pension payouts. Bloomberg relates JAL's pensioners have pledged to reject any proposal that would cut payments by more than 50 percent, according to a Web site run by the Committee to Consider the Revision of JAL's Pension Scheme. More than a third of retirees would vote down such a plan, enough to derail it, according to the Web site. Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan- based holding company that is active in five business segments through its 225 subsidiaries and 82 associated companies. The Air Transportation segment is engaged in the operation of passenger and cargo planes. The Air Transportation-Related segment is engaged in the transportation of passengers and cargoes, the preparation of in-flight food catering, the maintenance of aircraft and land equipment, as well as the fueling business. The Travel Planning and Marketing segment is involved in the planning and sale of travel packages. The Card and Leasing segment is engaged in the provision of finance, cards and leasing services. The Others segment is involved in businesses related to hotels, resorts, logistics, wholesale, retail, real estate, printing, construction, manpower dispatch, as well as information and communication. The Company has numerous global operating locations. JAL International Co. Ltd. is a wholly owned operating subsidiary of Japan Airlines Corporation. * * * As reported by the Troubled Company Reporter on November 3, 2009, Moody's Investors Service has downgraded the long-term debt rating and issuer rating of Japan Airlines International Co., Ltd. To Caa1 from B1, and will continue to review both ratings for further possible downgrade. KYOCERA CORP: Plans to Close Mobile Phone Factory in China ---------------------------------------------------------- Kyocera Corp. plans to close a mobile phone factory in Tianjin, China, and consolidate production in Malaysia to help return the business to profit, Bloomberg News reported, citing the Nikkei newspaper. Bloomberg relates the paper said Kyocera has been cutting production amid struggling sales in North America. Kyoto, Japan-based Kyocera Corporation (Kyocera Kabushiki Kaisha) makes components and fine ceramic products (including capacitors, fiber-optic connectors, and semiconductors) for customers in the electronics industry. The Company also makes various types of finished electronics products, including cell phones, office equipment such as photocopiers and fax machines, and digital and film cameras. MAZDA MOTOR: Non-factory Staff Back on Full Work Schedule --------------------------------------------------------- Mazda Motor Corp has ended its program to have non-factory employees take two days off per month after terminating a similar program for factory workers in June, Japan Today reports. Japan Today recalls that Mazda, in December last year, began reducing vehicle output with factory workers taking some days off a month as demand plunged amid the global recession. It introduced a similar move for rank-and-file non-factory workers in February this year, cutting their wages for the days taken off. The report says the company is getting back to normal operations as global vehicle demand has revived. Headquartered in Hiroshima Prefecture, in Japan, Mazda Motor Corporation -- http://www.mazda.co.jp/-- together with its subsidiaries and associates, is primarily involved in the manufacture and distribution of automobiles. The company manufactures passenger cars and commercial vehicles. Mazda Motor distributes its products in both domestic and overseas markets. The company has 58 subsidiaries. It has overseas operations in the United States, Canada, Mexico, Germany, Belgium, France, the United Kingdom, Switzerland, Portugal, Italy, Spain, Austria, Russia, Columbia, New Zealand, Thailand, Indonesia and China. The company has a global network. * * * Mazda Motor Corp. continues to carry Mikuni Credit Ratings' mortgage debt and senior debt ratings of 'BB'. TAKEFUJI CORPORATION: Exchanges Offer Cues Moody's to Junk Rating ----------------------------------------------------------------- Moody's Investors Service has downgraded to Caa1 from B2 the long- term issuer rating and senior unsecured debt ratings of Takefuji Corporation. Moody's changed the ratings outlook to stable from negative. This rating action is in response to Takefuji's announcement on November 16 that the company is commencing an exchange offer to holders of its euro-yen convertible bonds of JPY70 billion. The CBs were issued in June 2008, and include redemption options exercisable by the bondholders in June 2010. Though Moody's does not rate Takefuji's CBs, the rating agency regards the exchange offer as a distressed exchange, as it results in a diminished financial obligation for the company. According to the company announcement, Takefuji is planning to reduce the outstanding CBs by making offer to holders of CBs to exchange their CBs for either 1) a cash only consideration or 2) an amount of new straight bonds, together with a partial cash consideration so as to deal with its stressed liquidity position. The downgrade of the long-term issuer rating and senior unsecured debt ratings to Caa1 reflects Moody's view that the offer will cause economic losses to the selected creditors, reflecting the severe funding problem due to the company's unique funding profile and the severe challenges of maintaining its deteriorating franchise under persistently severe operating environment. The Caa1 ratings also reflect Moody's view that Takefuji's relatively large equity and reserves cushion limits potential overall loss to a level Moody's believes Caa1 ratings suggests. The rating agency does not rule out the possibility that potential losses could be higher for some creditors than others should the company make another exchange offer for other debt in the future. In Moody's view, such an exchange offer would not materially improve Takefuji's fundamentals. Although this exchange offer may mitigate its immediate liquidity pressures, without emergence of clear signs of stabilization in the overpaid-interest claims situation and recovery of market confidence, the company's business prospect will remain under severe pressures for the foreseeable future. The ratings outlook is stable. It is based on Moody's view that such an exchange offer would mitigate the liquidity pressure for the moment, while Moody's assumes stress situation in both its business and liquidity under the persistently severe operating environment. Moody's last rating action with respect to Takefuji was taken on October 7, 2009, when its long-term senior unsecured debt and issuer ratings were downgraded to B2 from Ba3 and the ratings were assigned a negative outlook. Takefuji's rating was assigned by evaluating factors Moody's believes are relevant to its credit profile, such as franchise value, risk positioning, the operating and regulatory environment, and financial fundamentals in comparison with its competitors, as well as the company's projected performance for the near to medium term. These attributes were compared to those of other issuers both in and outside its core industry. Thus, Moody's believes Takefuji's rating to be comparable to those of other issuers with similar credit risk. Takefuji Corporation, headquartered in Tokyo, was established in 1974. It is a major specialized consumer finance company in Japan, with about JPY0.8 trillion in total consolidated assets as of September 30, 2009. =============== M A L A Y S I A =============== IDAMAN UNGGUL: Cancels Deal to Sell Lambang Unit to Satin --------------------------------------------------------- Idaman Unggul Berhad has cancelled the share and purchase agreement entered into with Satin Court Sdn. Bhd. for the proposed disposal of 100% equity interest in Lambang Pertama Sdn. Bhd. In January, Idaman Unggul proposed to dispose the entire issued and paid-up share capital of Lambang Pertama Sdn Bhd, a wholly owned subsidiary of the Company, comprising two ordinary shares of MYR1.00 each in LPSB to Satin Court Sdn Bhd. On December 31, 2008, the Company entered into a Share Purchase Agreement (SPA) with SCSB, to dispose its entire equity interest in LPSB, comprising two ordinary shares of MYR1.00 each for total sale consideration of MYR400.00 million. 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 million required under the Listing Requirements. OILCORP BERHAD: Gets Default Notice from Prima Uno -------------------------------------------------- Oilcorp Berhad received on November 16, 2009, a declaration of default under the facility agreement dated January 8, 2007, between RHB Investment Bank Berhad, Prima Uno Berhad and Oilcorp under a Primary Collateralized Loan Obligation Transaction. The outstanding amount demanded under the facility to be immediately due and payable as at November 11, 2009, are: Principal amount due: MYR40,000,000.00 Interest amount due: MYR903,057.53 ---------------- Total amount: MYR40,903,057.53 Prima Uno Berhad may commence legal action against the Company if it fails to pay the amount due, together with all interest accruing in accordance to the terms of the facility until date of full payment, within fourteen (14) days from November 13, 2009. The Company is seeking legal advice on the matter. Oilcorp Berhad is a Malaysia-based investment holding company. The Company operates in five segments: oil and gas and engineering, which includes engineering, procurement, construction and contract-related services in oil and gas related industries; property investment/resort, which includes property and resort operations and related activities and services; investment holding, which includes investment holding; fisheries, which includes deep sea fishing operations and related activities, and overseas special project (construction), which includes engineering, procurement, construction and contract-related sources in non oil and gas industries related industries. Its wholly owned subsidiaries include Oil-Line Engineering & Associates Sdn. Bhd., D'Tiara Corp Sdn. Bhd., Layar Visi Sdn. Bhd. and D'Tiara Corp Limited. Oilcorp Berhad has been classified as an Affected Listed Issuer under Practice Note 17/2005 of Bursa Malaysia Securities Berhad as the Company is unable to provide a solvency declaration to Bursa Securities following a default in its interest payments pursuant to Practice Note 1/2001. =============== P A K I S T A N =============== PAKISTAN MOBILINK: Moody's Reviews 'B2' Corporate Family Rating --------------------------------------------------------------- Moody's Investors Service has placed Pakistan Mobilink Communications Limited's B2 local currency corporate family rating and Caa1 senior unsecured bond rating under review for possible downgrade. "The rating action is mainly prompted by the deteriorating credit profile of Mobilink's parent Orascom Telecom Holding (rated B2/under review for possible downgrade) following Orascom's recent disputes with the Algerian tax authorities and the implications this may have for repatriating dividends out of that country and for Orascom's overall liquidity position," says Laura Acres, a Moody's Vice President. "This has led to Moody's concerns over the ability of Orascom to provide financial support to Mobilink given the recent history of reliance on equity injections from Orascom to ensure covenant compliance under Mobilink's loan agreements," adds Acres, also Moody's Lead Analyst for Mobilink. On a stand-alone basis, Mobilink's financial metrics are strongly positioned within the current B2 rating, reflecting the company's established brand, leading market position and extensive network coverage as well as its moderate leverage and strong margins. However, these strengths have been largely offset by the company's tight liquidity profile and ongoing pressure to meet its financial covenants under bank loan agreements particularly when covenants, as currently structured, step down in June 2010. The review will focus on: 1) Mobilink's ability to negotiate covenant amendments with its bank creditors such that it can adhere to covenants without financial support from Orascom; 2) an ongoing assessment of parental support and Orascom's ability to provide that support if required; and 3) Mobilink's plans to achieve forecast revenue and EBITDA in what continues to be a highly competitive operating environment. The last rating action was on 24th September 2009 when Mobilink's corporate family rating was downgraded from B1 to B2 and its senior unsecured bond rating was downgraded from B3 to Caa1 following the downgrade of Orascom. Mobilink is the largest mobile operator in Pakistan with more than 29.5 million customers and a subscriber market share of 30.8% as at June 2009 (source: PTA). Mobilink is indirectly 100%-owned by Orascom -- itself rated B2/ under review for possible downgrade. ===================== P H I L I P P I N E S ===================== LEPANTO CONSOLIDATED: Posts PHP112.26MM Third Qtr Net Loss ---------------------------------------------------------- Lepanto Consolidated Mining Co. reported a net loss of PHP112.26 million for the third quarter, compared with a net loss of PHP111.55 million in the same period in 2008, on lower mineral output, BusinessWorld Online reports. According to the BusinessWorld, the miner said ore processed for the period reached 86,640 metric tons versus last year's 221,610 MT. Gold sales for the quarter, on the other hand, stood at PHP348.8 million versus last year's sales of PHP655.8 million, the report notes. Headquartered in Makati City, Lepanto Consolidated Mining Company -- http://www.lepantomining.com/-- was incorporated on September 8, 1986, and operated an enargite copper mine until 1997, after which, LC shifted to gold bullion production through its Victoria Project. LC also operated a copper flotation plant from August 2000 to December 2001, and restarted it in late 2006. LC sells its gold and silver bullion production to Heraeus Ltd. (Hong Kong) while its copper concentrate production are sold to various traders. LC and its subsidiaries are involved in other businesses such as hauling, diamond drilling services, insurance, and manufacture of diamond tools. LC has two Mineral Production and Sharing Agreements for areas located in Mankayan, Benguet. The company's subsidiaries are Shipside, Inc., Diamond Drilling Corporation of the Philippines, Lepanto Investment and Development Corporation, Diamant Boart Philippines, Inc., and Far Southeast Gold Resources, Inc. * * * In its 2008 Annual Report, Lepanto disclosed net losses for three consecutive years. For the year ended December 31, 2008, Lepanto incurred a net loss of PHP763,299,000 compared with a net loss of PHP206,446,00 in 2007 and PHP35,802,000 in 2006. =========== T A I W A N =========== FORD MOTOR: Appoints Albert Li as President of Ford Lio Ho ---------------------------------------------------------- The China Post reports that Ford Motor Company has appointed Albert Li as president of Ford Lio Ho, effective Jan. 1, 2010. Mr. Li will replace the current president Jeffrey Nemeth, who will become the president and CEO of Ford of Southern Africa. Mr. Li is currently an executive deputy general manager at Changan Ford Mazda Automobile (CFMA), Nanjing Co. based in China. According to the Post, Mr. Li will oversee Ford's entire business operation in Taiwan and will be responsible for growing the Ford and Mazda brands, while directing the day-to-day operations of Ford's Taiwan manufacturing facility. Taiwan-based Ford Lio Ho is 70% owned by Ford Motor Company. Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) -- http://www.ford.com/-- manufactures or distributes automobiles across six continents. With about 200,000 employees and about 90 plants worldwide, the company's automotive brands include Ford, Lincoln, Mercury and Volvo. The company provides financial services through Ford Motor Credit Company. * * * As reported by the Troubled Company Reporter on November 4, 2009, Moody's Investors Service upgraded the senior unsecured rating of Ford Motor Credit Company LLC to B3 from Caa1. This follows Moody's upgrade of Ford Motor Company's corporate family rating to B3 from Caa1, with a stable outlook. Ford Credit's long-term ratings remain on review for further possible upgrade. On Nov. 3, 2009, S&P raised the corporate credit ratings on Ford Motor Co. and Ford Motor Credit Co. LLC to 'B-' from 'CCC+'. Ford Motor Co. carries a long-term issuer default rating of 'CCC', with a positive outlook, from Fitch Ratings. =============== T H A I L A N D =============== THAI AIRWAYS: Reports THB4.3BB Net Loss in Q3 Ended September 30 ---------------------------------------------------------------- Thai Airways International PCL reported a bigger-than-expected net loss in the third quarter due mainly to foreign exchange losses and falling passenger yields, hit by ticket price cuts, according to Reuters. Reuters relates the national carrier said it made a net loss of THB4.03 billion (US$121.4 million), or THB2.37 per share, in the July-September quarter, against THB426 million profit a year earlier. The loss was higher than the average THB3.44 billion loss forecast by five analysts surveyed by Reuters. According to Reuters, analysts said fourth-quarter earnings were also likely to be poor as Thai Airways faces higher competition and increasing jet fuel prices, even though the number of tourists should improve due to seasonal factors. Reuters notes the national carrier, in the process of overhauling operations and restructuring management, said it planned to raise capital next year, probably through a rights issue and bond sales. It will release details near the end of December. As reported in the Troubled Company Reporter-Asia Pacific on Jan. 21, 2009, Thai Airways asked the government for emergency funds to resolve a cash shortage after being hit by last year's surge in fuel prices, the global economic slowdown and last year's shutdowns of Bangkok airports. Citing Raj Tanta-Nanta, Thai Airways's vice-president for investor relations, The Financial Times reported that the funds would go towards covering the airline's short-term borrowing requirements, with the rest going to balance sheet support. Thai Airways, whose stock has fallen 80% in the past year, has "problems with cash flow because we lost THB19 billion in cash during the closures of airports," acting President Narongsak Sangapong told Reuters. Thai Airways International PCL (BAK:THAI) -- http://www.thaiairways.co.th/-- is the national carrier of Thailand. The company operates domestic, regional and intercontinental flights radiating from its home base in Bangkok to key destinations around the world and within Thailand. During the fiscal year ended September 30, 2007, the company owned a total of 90 aircrafts and provided flights to 11 destinations domestically, excluding Bangkok, and 62 destinations in 35 countries throughout the world. Through its subsidiaries, THAI provides a variety of services, including cargo and mail services, technical services, catering services, ground support equipment services and ground customer services. In addition, the company offers support services such as dispatch services, sales on board and Thai shop. Headquartered in Bangkok, THAI has a subsidiary and 10 affiliated companies. =============== X X X X X X X X =============== * BOND PRICING: For the Week November 16 to November 20, 2009 ------------------------------------------------------------- AUSTRALIA --------- Ainsworth Game 8.000% 12/31/09 AUD 0.75 AMP Group Financ 9.803% 04/01/19 NZD 0.92 Antares Energy 10.000% 10/31/13 AUD 2.05 Aurox Resources 7.000% 06/30/10 AUD 0.77 Becton Property Group 9.500% 06/30/10 AUD 0.54 Bounty Industries Ltd 10.000% 06/30/10 AUD 0.03 Capral Aluminum 10.000% 03/29/12 AUD 72.00 CBD Energy Ltd 12.500% 01/29/11 AUD 0.17 China Century 12.000% 09/30/10 AUD 0.60 First Australian 15.000% 01/31/12 AUD 0.50 Griffin Coal Min 9.500% 12/01/16 USD 67.75 Griffin Coal Min 9.500% 12/01/16 USD 66.82 Heemskirk Consol 8.000% 04/29/11 AUD 2.30 Jpm Au Enf Nom 1 3.500% 06/30/10 USD 7.08 Minerals Corp 10.500% 12/31/09 AUD 0.78 National Cap II 5.486% 12/29/49 USD 72.53 New S Wales Trea 1.000% 09/02/19 AUD 62.38 Nylex Ltd 10.000% 12/08/09 AUD 0.84 Orchard Invest 9.000% 12/15/10 AUD 29.50 Resolute Mining 12.000% 12/31/12 AUD 0.68 Sun Resources NL 12.000% 06/30/11 AUD 0.50 Suncorp Metway I 6.750% 06/30/11 AUD 73.67 Sydney Airport F 3.120% 11/20/30 AUD 68.05 Timbercorp Ltd 8.900% 12/01/10 AUD 26.10 Vero Insurance 6.150% 09/07/25 AUD 67.79 CHINA ----- China Govt Bond 4.860% 08/10/14 CNY 0.00 Jiangxi Copper 1.000% 09/22/16 CNY 70.87 Sichuan Changhon 0.800% 07/31/15 CNY 72.77 HONG KONG --------- Resparcs Funding 8.000% 12/29/49 USD 23.00 INDIA ----- Aftek Infosys 1.000% 06/25/10 USD 65.00 AKSH Optifibre 1.000% 01/29/10 USD 68.50 Gemini Commnica 6.000% 07/18/12 EUR 68.00 Kei Industries 1.000% 11/30/11 USD 72.50 Subex Azure 2.000% 03/09/12 USD 67.50 Wanbury Ltd 1.000% 04/23/12 EUR 69.50 JAPAN ----- Aiful Corp 0.800% 07/20/10 JPY 55.40 Aiful Corp 1.140% 10/19/10 JPY 52.42 Aiful Corp 1.200% 01/26/12 JPY 36.61 Aiful Corp 1.220% 01/20/12 JPY 31.30 Aiful Corp 1.250% 05/28/10 JPY 68.84 Aiful Corp 1.500% 10/20/11 JPY 41.36 Aiful Corp 1.630% 11/22/12 JPY 33.98 Aiful Corp 1.740% 05/28/13 JPY 30.93 Aiful Corp 1.990% 03/23/12 JPY 36.51 Aiful Corp 1.990% 10/19/15 JPY 30.34 Aiful Corp 5.000% 08/10/10 USD 61.00 Aiful Corp 5.000% 08/10/10 USD 61.00 Aiful Corp 6.000% 12/12/11 USD 44.25 Aiful Corp 6.000% 12/12/11 USD 44.25 Covalent Material 2.870% 02/18/13 JPY 61.24 CSK Corporation 0.250% 09/30/13 JPY 60.43 Fukoku Mutual 4.500% 09/28/25 EUR 67.00 Japan Airlines 3.100% 01/22/18 JPY 71.27 JPN Exp Hld/Debt 0.500% 09/17/38 JPY 58.21 JPN Exp Hld/Debt 0.500% 03/18/39 JPY 57.63 Promise Co Ltd 2.050% 02/15/13 JPY 72.70 Promise Co Ltd 1.370% 06/04/13 JPY 73.23 Promise Co Ltd 2.060% 03/20/14 JPY 69.34 Promise Co Ltd 2.100% 04/21/14 JPY 68.76 Promise Co Ltd 2.740% 10/11/13 JPY 74.48 Shinsei Bank 5.625% 12/29/49 GBP 72.50 Takefuji Corp 4.000% 06/05/22 JPY 52.77 Takefuji Corp 4.500% 10/22/32 JPY 52.95 Takefuji Corp 8.000% 11/01/17 USD 10.75 Takefuji Corp 9.200% 04/15/11 USD 44.96 Takefuji Corp 9.200% 04/15/11 USD 45.37 Tokyo Metro Govt 4.270% 11/29/35 EUR 72.94 Willcom Inc 2.350% 06/27/12 JPY 43.51 MALAYSIA -------- Advance Synergy Berhad 2.000% 01/26/18 MYR 0.07 Aliran Ihsan Resources Bhd 5.000% 11/29/11 MYR 1.10 Berjaya Land 5.000% 12/30/09 MYR 3.82 Crescendo Corp B 3.750% 01/11/16 MYR 0.86 Dutaland Bhd 4.000% 04/11/13 MYR 0.40 Dutaland Bhd 4.000% 04/11/13 MYR 0.76 Eastern & Orient 8.000% 07/25/11 MYR 1.00 Eastern & Orient 8.000% 11/16/19 MYR 1.01 EG Industries 5.000% 06/16/10 MYR 0.39 Huat Lai Resources 5.000% 03/28/10 MYR 0.43 Kretam Holdings 1.000% 08/10/10 MYR 1.08 Kumpulan Jetson 5.000% 11/27/12 MYR 2.38 Lion Diversified 4.000% 12/17/13 MYR 1.71 Mithril Bhd 3.000% 04/05/12 MYR 0.59 Nam Fatt Corp 2.000% 06/24/11 MYR 0.20 Olympia Industri 2.800% 04/11/13 MYR 0.20 Olympia Industri 4.000% 04/11/13 MYR 0.25 Puncak Niaga Hld 2.500% 11/18/16 MYR 0.66 Rubberex Corp 4.000% 08/14/12 MYR 1.09 Tradewinds Corp 2.000% 02/08/12 MYR 0.70 Tradewinds Plant 3.000% 02/28/16 MYR 1.10 TRC Synergy 5.000% 01/20/12 MYR 1.29 Wah Seong Corp 3.000% 05/21/12 MYR 2.50 Wijaya Baru Glob 7.000% 09/17/12 MYR 0.28 YTL Cement Bhd 4.000% 11/10/15 MYR 1.95 NEW ZEALAND ----------- Allied Farmers 9.600% 11/15/11 NZD 51.84 Allied Nationwide 11.520% 12/29/49 NZD 25.00 BBI Ntwks NZ Ltd 8.000% 11/30/12 NZD 0.47 Capital Prop NZ 8.000% 04/15/10 NZD 9.00 Contact Energy 8.000% 05/15/14 NZD 1.03 Fletch Build Fin 8.850% 03/15/10 NZD 8.00 Fletcher Bui 8.500% 03/15/15 NZD 8.20 Fletcher Bui 7.550% 03/15/11 NZD 7.50 Infrastr & Util 8.500% 09/15/13 NZD 9.80 Infratil Ltd 8.500% 11/15/15 NZD 13.25 Infratil Ltd 10.180% 12/29/49 NZD 64.10 Manukau City 6.900% 09/15/15 NZD 1.01 Marac Finance 10.500% 07/15/13 NZD 0.92 NZ Finance Hldgs 9.750% 03/15/11 NZD 74.09 Provencocadmus 2.000% 04/15/10 NZD 0.79 Sky Network TV 4.010% 10/16/16 NZD 55.66 South Canterbury 10.500% 06/15/11 NZD 0.92 South Canterbury 10.430% 12/15/12 NZD 0.76 St Laurence Prop 9.250% 05/15/11 NZD 49.42 Tower Capital 8.500% 04/15/14 NZD 0.99 Trustpower Ltd 8.500% 03/15/14 NZD 7.40 Trustpower Ltd 8.500% 09/15/12 NZD 7.80 Vector Ltd 7.800% 10/15/14 NZD 1.00 Vector Ltd 8.000% 12/29/49 NZD 7.80 SINGAPORE --------- Blue Ocean 11.000% 06/28/12 USD 29.63 Blue Ocean 11.000% 06/28/12 USD 29.63 Sengkang Mall 8.000% 11/20/12 SGD 0.10 United Eng Ltd 1.00% 03/03/14 SGD 1.21 WBL Corporation 2.500% 06/10/14 SGD 2.03 SRI LANKA --------- Sri Lanka Gov 7.00% 10/01/23 LKR 74.20 THAILAND -------- G Steel 10.500% 10/04/10 USD 21.99 ********* 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. Valerie C. Udtuhan, Marites O. Claro, Rousel Elaine C. Tumanda, Joy A. Agravante, Frauline S. Abangan, and Peter A. Chapman, Editors. Copyright 2009. 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 ***