/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/100615.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Tuesday, June 15, 2010, Vol. 13, No. 116 Headlines A U S T R A L I A ALLCO FINANCE: Ex-Chairman Ordered to Hand Over Documents INTERSTAR TITANIUM: S&P Raises Ratings on Two Rated Classes MOBIUS NCM-03: S&P Affirms Ratings on Various Subprime RMBS C H I N A SHANGHAI ZENDAI: Moody's Downgrades Corp. Family Rating to 'B3' H O N G K O N G GILLETTE HK: Lam and Boswell Step Down as Liquidators GOLD SPARK: Members' Final General Meeting Set for July 15 HK & FAR EAST: Leung and Leong Step Down as Liquidators INFO SMART: Provisional Liquidators Appointed INFOSCIENCE MEDIA: Provisional Liquidator Appointed LEHMAN BROTHERS: HKMA Reports Progress on Probe of Minibond Cases I N D I A AIR INDIA: In Talks With Boeing Co. Over Aircraft Deliveries MODI BUILDERS: CRISIL Assigns Default Rating INR135MM Term Loan RIVER VIEW: CARE Assigns 'CARE BB+' Rating on INR80cr LT Loan SPICEJET LIMITED: Maran to Buy Wilbur Ross' Stake for INR7.39BB TAMILNADU JAI: CRISIL Reaffirms 'D' Ratings on Various Bank Debts J A P A N ALL NIPPON: To Lift Fuel Surcharge on International Flights JAPAN AIRLINES: Expects More Than JPY1 Tril. in Restructuring Cost JAPAN AIRLINES: Extends Reduction of Bangkok Flights JAPAN AIRLINES: Likely to Cut Additional 3,600 Jobs by 2012 L-JAC 5: Moody's Reviews Ratings on Various Classes of Certs. SOFTBANK CORP: Invests JPY13.5-Bil. in Zynga Game Network K O R E A FORD MOTOR: South Korean Importer Recalls 1,128 Cars HYNIX SEMICONDUCTOR: To Repay KRW4-Tril. Debt in Takeover Bid HYUNDAI ENG'G: Creditors to Start Sale Process by End of June M A L A Y S I A AXIS INC: Tarmah Sewing Demands US$243,000 Payment From Chongee HAISAN RESOURCES: Auditor's Modified Opinion Cues PN17 Listing STAMFORD COLLEGE: 20th Annual General Meeting Slated for June 25 S I N G A P O R E A.K. CONSTRUCTION: Court Enters Wind-Up Order BRAVO BUILDING: Court to Hear Wind-Up Petition on June 25 EGO'S KTV: Court Enters Wind-Up Order ENSIGN FREIGHT: Court to Hear Wind-Up Petition on June 25 GUNZE INTERNATIONAL: Placed Under Voluntary Wind-Up Proceedings GUNZE INTERNATIONAL PTE: Creditors' Proofs of Debt Due July 10 MILEE CORPORATION: Court to Hear Wind-Up Petition on June 25 MT. BATTEN: Court to Hear Wind-Up Petition on June 25 POLYCORE LAB: Creditors' Proofs of Debt Due July 12 PONDOK GURAME: Court to Hear Wind-Up Petition on June 25 T A I W A N AMERICAN INT'L: Nan Shan Buyers No Closer to Approval of Deal FAR EASTERN: Submits Plan to Resume Operations by November X X X X X X X X * BOND PRICING: For the Week June 7 to June 11, 2010 - - - - - ================= A U S T R A L I A ================= ALLCO FINANCE: Ex-Chairman Ordered to Hand Over Documents --------------------------------------------------------- The Federal Court in Sydney has asked David Coe, the former chairman of the Allco Finance Group, to hand over documents that relate to a dispute about who controls the group's aviation leasing arm now that it has been sold, The Sydney Morning Herald reports. The report says the new owner of the business, China's state-owned HNA group, is battling to stop two men, Allco's former head of aviation, David Veal, and Geoffrey Kinghorn, the son of the Allco Finance founder John Kinghorn, from exerting control of the business through special purpose subsidiaries that are associated with it. According to SMH, the Federal Court ordered on Friday that subpoenas be issued to Mr. Coe, his company Monetti Pty Ltd, and several other companies. Documents sought in the case are expected to help the court determine the value of its ordinary and preference shares, the report notes. SMH adds that HNA plans to argue that the business is being run in a manner oppressive to it. The matter is due to return to the Federal Court in Sydney on June 25. About Allco Finance Allco Finance Group Ltd. is an integrated global financial services business, specializing in asset origination, funds creation and funds management. The company is a fund manager of alternative assets in its core asset classes, which include aviation, rail, shipping, infrastructure, property, private equity and financial assets. Its primary focus is on commercial property, predominately completed office buildings and select development opportunities. It also purchases new and existing commercial passenger and cargo aircraft for lease to commercial airlines. In March 2007, Allco HIT Limited acquired Momentum Investment Finance Pty Limited, Allco Financial Services and International Mezzanine Funds Management (Australia) Limited. The company is a vendor of Momentum Investment Finance Pty Limited and Allco Financial Services. In July 2007, it acquired Allco Equity Partners Ltd. In December 2007, it completed the acquisition of the remaining 79.6% stake of Rubicon Holdings(Aust) Limited. * * * As reported in the Troubled Company Reporter-Asia Pacific on November 6, 2008, Allco Finance Group appointed Tony McGrath and Joseph Hayes of McGrathNicol as the voluntary administrators of the company and certain of its subsidiaries. Subsequent to the appointment of administrators to Allco, the company's banking syndicate appointed Steve Sherman and Peter Gothard of Ferrier Hodgson as receivers. Allco has more than AU$1 billion in total debt. INTERSTAR TITANIUM: S&P Raises Ratings on Two Rated Classes ----------------------------------------------------------- Standard & Poor's Ratings Services said that it had raised its ratings on two rated classes of subprime and nonconforming residential mortgage-backed securities issued by Interstar Titanium Series 2006-1 Trust. At the same time, S&P affirmed the ratings on three other classes. The rating upgrades reflect S&P's opinion that the rated notes are adequately supported to withstand stresses that are commensurate with the higher rating levels. The ratings affirmation and upgrades of the rated notes reflect S&P's view that the current credit-support percentages are sufficient to withstand the estimated losses commensurate with the revised rating levels. Since initial issuance, the portfolio has paid down its balance significantly, with approximately A$57 million outstanding as at April 2010. The transaction has been paying principal on a sequential basis, resulting in higher credit-support percentages, especially for senior and mezzanine notes. Given the cumulative losses of the transaction have exceeded the performance trigger for pro-rata pay, S&P expects the sequential-pay mechanism to continue for the remainder of the transaction. This is likely to result in a further build-up of credit support in percentage terms for higher ranking notes if the portfolio performance is maintained at the current level. The bond factor of each of the class A1 and class A2 notes is just over 4%, and is likely to reduce quickly under the current sequential-pay basis. The ratings on these notes were affirmed, reflecting the robustness of the support available to these notes under 'AAA' stress. The Class D note is, in S&P's opinion, more vulnerable to tail-end risk. However, in its opinion, the class D note has sufficient credit support to withstand stresses at the current 'BB' rating level. The remaining portfolio consists of fully amortizing loans that are well-diversified geographically and have a weighted-average seasoning of more than four years. About 44% of the loans have a loan-to-value ratio of 80% or higher, while about 78% are low- documentation loans and 74% are to self-employed borrowers. Furthermore, a third of the pool is still in interest-only periods (which will convert to principal amortizing loans in the next 12 months), and just under 6% of the portfolio have loan sizes greater than AU$800,000. Ratings Raised Interstar Titanium Series 2006-1 Trust Class Rating To Rating From ----- --------- ----------- B AAA A+ C A BBB Ratings Affirmed Interstar Titanium Series 2006-1 Trust Class Rating ----- ------ A1 AAA A2 AAA D BB E N.R. MOBIUS NCM-03: S&P Affirms Ratings on Various Subprime RMBS ----------------------------------------------------------- Standard & Poor's Ratings Services said that it had affirmed its ratings on the Class B, C, D, and E subprime and nonconforming residential mortgage-backed securities issued by the trustee of Mobius NCM-03 Trust. The affirmation follows a review of the performance of the transaction and its underlying loan portfolio. The notes have benefited from the increase in credit enhancement as a proportion of the outstanding balance, as the portfolio amortizes. The current portfolio balance of AU$57 million is about 10% of its original balance. The transaction has paid principal on a sequential basis to date; this has contributed to the high credit- support levels, particularly for the senior notes. Given the improvement in the performance of this transaction over the past 12 months, the transaction may revert to a pro-rata pay mechanism, which will limit any further build-up of credit support in percentage terms. Standard & Poor's undertakes surveillance of its outstanding ratings over time, and has typically informed the market of any consequent changes to S&P's credit opinions. To enhance market transparency, S&P will also be publishing rating affirmations from time to time, in cases where S&P has conducted a rating review that does not result in a rating change. Total arrears for this transaction have been trending lower since their peak of about 24% in March 2008 to 4.15% currently. S&P expects arrears levels in percentage terms to be volatile, however, as the pool balance diminishes. At review date, the unrated Class F note was completely reinstated, and all losses have been covered by available excess spread. Given a significant proportion of the portfolio has been repaid, the remaining portfolio has become concentrated, with the largest 10 loans comprising about 25% of the total pool balance. The higher concentrations and weighted funder costs and expenses as the portfolio amortizes heightens the tail-end risk for this transaction, particularly for the lower ranking class D and E notes. The annualized prepayment rate has been volatile from period to period, and S&P expects this rate to remain volatile as the portfolio balance diminishes. The prepayment rate peaked at 52% in the fourth quarter of 2007 and is currently at 50%. The remaining portfolio comprises 64% of low-documentation or no- documentation loans. About 54% of loans have a loan-to-value ratio exceeding 80%, and over 32% have loan sizes exceeding AU$800,000. Ratings Affirmed Mobius NCM-03 Trust Class Rating ----- ------ B AA C A D B+ E CCC F NR N.R. ? Not rated. ========= C H I N A ========= SHANGHAI ZENDAI: Moody's Downgrades Corp. Family Rating to 'B3' --------------------------------------------------------------- Moody's Investors Service has downgraded Shanghai Zendai Property Ltd's corporate family and senior unsecured ratings to B3 from B2. The ratings outlook is negative. This concludes the rating review initiated on February 2, 2010. "The downgrade reflects the increased financial and operational risk associated with Zendai's February 2010 acquisition of land in Shanghai for RMB9.22 billion, which is larger than its asset base of HK$9.7 billion (RMB8.5 billion) as of end-2009, in light of the tightening regulatory environment in China's property market," says Kaven Tsang, a Moody's AVP/Analyst. "Our expectation that Zendai's medium term cash flow will become more concentrated because of this project also drives the downgrade," says Tsang. Although Moody's expects that Zendai will co-develop the project with other investors, the company's portion of the investment remains substantial relative to its current scale and will weaken its liquidity. The project is well located in Shanghai. However, over the near term, securing funding for the project could may prove a challenge, in light of the tightening of bank credit available to the property sector. Moody's notes that the new project is an integrated commercial development, and that the company has a track record in integrated project development in Shanghai, where it offers a broad range of products, from residential apartments and high-end villas to retail malls, office buildings, and hotels. The negative outlook reflects Moody's concerns over Zendai's weaker liquidity, due to the payments on its sizable investment in Shanghai, especially in light of the tightening regulatory and credit environment for China's property sector. An upgrade is unlikely given the negative outlook. However, the outlook could revert to stable if Zendai can 1) secure all the necessary funding for the Shanghai project at reasonable costs; 2) complete the development of and attain its presales on the Shanghai project as planned; and 3) maintain adequate liquidity to meet its near to medium term funding and refunding needs. The company's rating could be downgraded if Zendai's liquidity were to weaken, with cash declining to less than HKD200-300 million, as a result of 1) weaker than expected sales; 2) further material acquisitions or aggressive development strategies; or 3) a failure to obtain adequate funding for its projects. A downgrade to the bond rating of one notch below the company's B3 may also occur if the company has to raise more project debt, such that its secured and subsidiary debt stands above 15% of total assets for any length of time. Moody's last rating action with regard to Zendai took place on February 2, 2010, when Moody's put the company's B2 ratings on review for possible downgrade. Shanghai Zendai Property Ltd is a mainland China property developer focusing on the development, investment, and management of residential and commercial properties in China. The group currently has property projects under development in twelve cities in three regions, including northern China, Shanghai and adjacent areas, and Hainan Province. ================ H O N G K O N G ================ GILLETTE HK: Lam and Boswell Step Down as Liquidators ----------------------------------------------------- Rainier Hok Chung Lam and Anthony David Kenneth Boswell stepped down as liquidators of Gillette Hong Kong Limited on June 8, 2010. GOLD SPARK: Members' Final General Meeting Set for July 15 ---------------------------------------------------------- Members of Gold Spark Development Limited will hold their final general meeting on July 15, 2010, at 9:00 a.m., at 15 Floor, Manulife Tower, 169 Electric Road, North Point, in Hong Kong. At the meeting, Chok-man Yik, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. HK & FAR EAST: Leung and Leong Step Down as Liquidators ------------------------------------------------------- Leung Hok Lim and Leong Ting Kwok stepped down as liquidators of Hong Kong & Far East Investment Company Limited on June 7, 2010. INFO SMART: Provisional Liquidators Appointed --------------------------------------------- Yung Kwok Chung on June 1, 2009, was appointed as provisional liquidator of Info Smart Technology Limited. The liquidator may be reached at: Yung Kwok Chung Units 1205-6, 12th Floor Regent Centre 88 Queen's Road Central, Hong Kong INFOSCIENCE MEDIA: Provisional Liquidator Appointed --------------------------------------------------- Yung Kwok Chung on June 1, 2009, was appointed as provisional liquidator of Infoscience Media Limited. The liquidator may be reached at: Yung Kwok Chung Units 1205-6, 12th Floor Regent Centre 88 Queen's Road Central, Hong Kong LEHMAN BROTHERS: HKMA Reports Progress on Probe of Minibond Cases ----------------------------------------------------------------- The Hong Kong Monetary Authority (HKMA) announced that investigation of over 99% of a total of 21,629 Lehman-Brothers- related complaint cases received has been completed. These include: * 13,077 cases which have been resolved by a settlement agreement reached under section 201 of the Securities and Futures Ordinance; * 2,447 cases which have been resolved through the enhanced complaint handling procedures required by the settlement agreement; * 2,542 cases which were closed because insufficient prima facie evidence of misconduct was found after assessment or no sufficient grounds and evidence were found after investigation; * 2,790 cases (including minibond cases) which are under disciplinary consideration after detailed investigation by the HKMA, of which proposed disciplinary notices are being prepared in respect of 1,835 such cases and proposed disciplinary notices or decision notices have been issued in respect of the other 955 cases; and * 623 cases in respect of which investigation work has been completed and are going through the decision process to decide whether there are sufficient grounds for disciplinary actions or whether the cases should be closed because of insufficient evidence or lack of disciplinary grounds. Investigation work is underway for the remaining 148 cases. A table summarizing the progress of the disciplinary and complaint-resolution work in respect of Lehman-Brothers-related complaints is available at http://researcharchives.com/t/s?64a9 About Lehman Brothers Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the fourth largest investment bank in the United States. For more than 150 years, Lehman Brothers has been a leader in the global financial markets by serving the financial needs of corporations, governmental units, institutional clients and individuals worldwide. Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008 (Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy petition listed US$639 billion in assets and US$613 billion in debts, effectively making the firm's bankruptcy filing the largest in U.S. history. Several other affiliates followed thereafter. The Debtors' bankruptcy cases are handled by Judge James M. Peck. Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife, Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil, Gotshal & Manges, LLP, in New York, represent Lehman. Epiq Bankruptcy Solutions serves as claims and noticing agent. On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the U.S. District Court for the Southern District of New York, entered an order commencing liquidation of Lehman Brothers, Inc., pursuant to the provisions of the Securities Investor Protection Act (Case No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as trustee for the SIPA liquidation of the business of LBI The Bankruptcy Court has approved Barclays Bank Plc's purchase of Lehman Brothers' North American investment banking and capital markets operations and supporting infrastructure for US$1.75 billion. Nomura Holdings Inc., the largest brokerage house in Japan, purchased LBHI's operations in Europe for US$2 plus the retention of most of employees. Nomura also bought Lehman's operations in the Asia Pacific for US$225 million. International Operations Collapse Lehman Brothers International (Europe), the principal UK trading company in the Lehman group, was placed into administration, together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE Holdings Ltd. Tony Lomas, Steven Pearson, Dan Schwarzmann and Mike Jervis, partners at PricewaterhouseCoopers LLP, have been appointed as joint administrators to Lehman Brothers International (Europe) on September 15, 2008. The joint administrators have been appointed to wind down the business. Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc. filed for bankruptcy in the Tokyo District Court on September 16. Lehman Brothers Japan Inc. reported about JPY3.4 trillion (US$33 billion) in liabilities in its petition. Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers Bankruptcy News. The newsletter tracks the Chapter 11 proceeding undertaken by Lehman Brothers Holdings, Inc., and other insolvency and bankruptcy proceedings undertaken by its affiliates. (http://bankrupt.com/newsstand/or 215/945-7000) ========= I N D I A ========= AIR INDIA: In Talks With Boeing Co. Over Aircraft Deliveries ------------------------------------------------------------ The Press Trust of India reports that Boeing Co. and Air India are in talks over issues relating to aircraft deliveries, including 27 Dreamliners whose delivery has been delayed. The news agency relates Air India and Boeing officials are expected to discuss issues like aircraft deliveries, payment of compensation for delayed deliveries and aircraft financing. Boeing is expected to start delivery of its latest B-787 aircraft or Dreamliners to Air India by the first half of the next calendar year, the PTI says. As reported in the Troubled Company Reporter-Asia Pacific on June 10, 2009, the National Aviation Co. of India Ltd was seeking INR14,000 crore in equity infusion, soft loans and grants to cope up with mounting losses. NACIL is the holding company formed after the merger of erstwhile Indian Airlines and Air India in 2007. The TCR-AP, citing the Hindustan Times, reported on June 19, 2009, that Air India has been bleeding cash due to excess capacity, lower yield, a drop in passenger numbers, an increase in fuel prices and the effects of the global slowdown. The carrier incurred net losses of INR2,226.16 crore in 2007-08 and INR5,548 crore in 2008-09. In December 2009, the Air India board decided to initiate a series of major steps to cut costs and enhance savings. The carrier is focusing on cutting costs by INR1,500 crore and increasing revenues by INR1,200 crore as per its turnaround plan, according to the Business Standard. The airline's turnaround plan has been broadly divided into 0-9 months, 9-18 months and 18-36 months, and has been segregated under operational efficiency, product improvement, organization building and financial restructuring, the Business Standard said. About Air India Air India -- http://www.airindia.com/-- transports passengers throughout India and to more than 40 destinations throughout the world. Affiliate Air India Express operates as a low-fare carrier, mainly between India and destinations in the Middle East, and Air India Cargo provides freight transportation. The government of India has merged Air India with another state- controlled carrier, Indian Airlines, which has focused on domestic routes. The combined airline, part of a new holding company called National Aviation Company of India, uses the Air India brand. The new Air India and its affiliates have a fleet of more than 110 aircraft altogether. MODI BUILDERS: CRISIL Assigns Default Rating INR135MM Term Loan --------------------------------------------------------------- CRISIL has assigned its 'D' rating to Modi Builders' term loan facility. The rating reflects delay by Modi Builders in servicing its term loan; the delay has been caused by Modi Builders' weak liquidity, driven by delays in receipt of rental income from customers. Facilities Ratings ---------- ------- INR135.00 Million Term Loan D (Assigned) Set up in 1979 as a partnership firm by Mr. Ramesh Modi and Mr. Bharat Modi, Modi Builders is into commercial real estate development and leasing in Pune. Currently, the firm is earning rental income from two commercial properties -- Modi Mall and Modi Towers. The firm also occasionally trades in land plots. Modi Builders is part of the Modi group, which mainly trades in land. The group has a total land bank of about 600 acres in and around Pune. The group is also into residential real-estate development, retailing garments, and runs a petrol pump in Pune. Modi Builders' profit after tax (PAT) and net sales for 2009-10 (refers to financial year, April 1 to March 31) are estimated to be INR7.92 million and INR36.42 million, respectively; it reported a PAT of INR131.57 million on net sales of INR200.62 million for 2008-09. RIVER VIEW: CARE Assigns 'CARE BB+' Rating on INR80cr LT Loan ------------------------------------------------------------- CARE assigns 'CARE BB+' rating to the bank facilities of River View Properties Private Limited. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long-term Bank Facilities 80.00 'CARE BB+' Rating Rationale The rating is constrained by considerable project execution risk on account of nascent stage of the project, location of the project which has yet to establish itself as a residential area and partial dependence on advances from customers to fund the project. However, the rating takes cognisance of reasonably long experience of Kumar Urban Development Limited, the parent company of RVPPL, proximity of the project to Hinjewadi, an established commercial real estate area and tie up of entire debt for the project. Timely execution of the project and ability to market the project at the envisaged sales realization remain the key rating sensitivities. River View Properties Private Limited is a subsidiary of Kumar Urban Development Limited, the flagship company of Kumar Builders Group of Pune. RVPPL owns a 105 acre land parcel at Mahalunge at a distance of about 5 Km from Hinjewadi, an IT hub near Pune. The company intends to develop an integrated residential township in phases with saleable area of around 4 million square feet (msf). At present, the company has undertaken Phase I of the project comprising 0.76 msf of saleable area with total development cost of INR202.93 crore, which is proposed to be funded through debt and promoters' contribution of INR80 crore each and the balance through advances from customers. Entire term loan has already been sanctioned by a Bank whereas promoters have brought in INRR65.22 crore as on February 2010. As on March 2009, the project is a nascent stage of development with only the infrastructural development work having commenced. SPICEJET LIMITED: Maran to Buy Wilbur Ross' Stake for INR7.39BB --------------------------------------------------------------- Kalanithi Maran, the founder of Sun TV, and his unlisted aviation Kal Airways have agreed to buy 37.7% in SpiceJet Ltd and will make an open offer for a further 20%, the Business Standard reports. According to the report, Mr. Maran will buy the stake from US investor Wilbur Ross and Royal Holdings Services Ltd, owned by the Kansagra family, for INR47.25 a share for a total consideration of about INR7.39 billion. The deal has been struck at a discount of over 14% to the current market price. Mr. Maran will buy 30.23% from Ross, who holds stake through foreign currency convertible bonds, and 7.49% from the Kansagra family, the Business Standard adds. SpiceJet Limited -- http://www.spicejet.com/-- is an India-based airline company. The Company operates 113 flights daily to 18 destinations, offering connectivity between metros and non-metros. During fiscal year ended March 31, 2008 (fiscal 2008), the Company inducted eight new aircrafts to its fleet taking the total fleet strength to 19 aircrafts. Out of the eight new aircraft inducted, two were Boeing 737-900. * * * SpiceJet Limited booked annual net losses of INR707.43 million in 2007, INR1.33 billion in 2008 and INR3.52 billion in 2009. TAMILNADU JAI: CRISIL Reaffirms 'D' Ratings on Various Bank Debts ----------------------------------------------------------------- CRISIL has reaffirmed its ratings on Tamilnadu Jai Bharath Mills Ltd's bank facilities at 'D/P5'. The ratings reflect delay by TNJBL in meeting its term loan instalments to IDBI Bank; the delay has been caused by TNJBL's weak liquidity. Facilities Ratings ---------- ------- INR282.50 Million Cash Credit Limit* D (Reaffirmed) INR424.50 Million Long-Term Loan** D (Reaffirmed) INR70 Million Short-Term Loan P5 (Reaffirmed) INR22.50 Million Letter of Credit P5 (Reaffirmed) Limit INR5 Million Bank Guarantee Limit P5 (Reaffirmed) *Includes INR22.5 Million of LC facilities interchangeable with Cash Credit **Includes proposed limit of INR151.6 Million Set up in 1989, TNJBL is part of the Ramalinga group of companies, and is currently managed by Mr. D Senthilkumar, son-in-law of Dr. D Jayavardhanavelu, Chairman of the LMW group of companies. TNJBL manufactures cotton yarn and has a current capacity of around 50,208 spindles. TNJBL reported a profit after tax (PAT) of INR8.3 million on net sales of INR777.2 million for 2009-10 (refers to financial year, April 1 to March 31), against a loss of INR106.2 million on net sales of INR621.9 million for 2008-09. ========= J A P A N ========= ALL NIPPON: To Lift Fuel Surcharge on International Flights ----------------------------------------------------------- All Nippon Airways Co. is raising its fuel surcharge on international flights in August and September to reflect rising fuel prices, TradingMarkets.com reports. The report relates that round-trip flights between Japan and Europe will be hit with a JPY7,000 (US$76) increase to JPY28,000, while the surcharge on round-trip Japan-China flights will be upped JPY2,000 to JPY7,000. According to the report, ANA adjusts its surcharge every two months, while rival Japan Airlines Corp. does so every three months. Both airlines currently charge the same, but ANA's surcharge will be heftier for August and September. About ANA All Nippon Airways Co. Ltd. -- http://www.ana.co.jp/-- is a Japan-based company engaged in three business segments. Its Air Transportation segment is engaged in the air transportation business, as well as the provision of services at airports, the provision of reservation services through telephones and the maintenance of aircrafts in the country and overseas markets. The Traveling segment develops, plans and sells tour packages under the brand names ANA Hello Tour and ANA Sky Holiday. This segment also offers services to travelers and sells travel products and air tickets. The Others segment is involved in the information communications, real estate, building management, land transportation and airplane fixture repair businesses, among others. The company has 112 subsidiaries and 40 associated companies. * * * As reported in the Troubled Company Reporter-Asia Pacific on Nov. 23, 2009, Moody's Investors Service downgraded the long-term debt ratings of All Nippon Airways Co., Ltd., to Ba2 from Baa3. The outlook is stable. JAPAN AIRLINES: Expects More Than JPY1 Tril. in Restructuring Cost ------------------------------------------------------------------ Japan Airlines Corp. told its main lenders it expects more than JPY1 trillion in restructuring costs from huge staff reductions and disposal of aging aircraft, Reuters reports citing the Nikkei business daily. Reuters says JAL is expecting a profit of JPY700 billion from debt waivers. The Nikkei said the company and the banks must now decide how much of that expense and profit should be booked for when, Reuters relates. Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan- based company mainly engaged in the provision of air transport services. The Company is active in five business segments through its 203 subsidiaries and 83 associated companies. JAL International Co. Ltd. is a wholly owned operating subsidiary of Japan Airlines Corporation. Japan Airlines Corporation, Japan Airlines International Co., Ltd. and JAL Capital Co., Ltd., on January 19, 2010, filed the petitions to commenced corporate reorganization proceedings with the Tokyo District Court. The Court appointed the Enterprise Turnaround Initiative Corporation of Japan and Eiji Katayama, Esq., as reorganization trustees. Japan Airlines Corp. filed for reorganization January 19 in the Tokyo District Court and filed a Chapter 15 petition in New York (Bankr. S.D.N.Y. Case No. 10-10198). The Company said debt is $28 billion. Bankruptcy Creditors' Service, Inc., publishes Japan Airlines Bankruptcy News. The newsletter tracks the Chapter 15 proceedings and the bankruptcy proceedings in Tokyo undertaken by Japan Airlines Corp. and its various affiliates. (http://bankrupt.com/newsstand/or 215/945-7000) JAPAN AIRLINES: Extends Reduction of Bangkok Flights ---------------------------------------------------- Japan Airlines Corp. will extend the period of round-trip flight frequency reductions on routes from Osaka (Kansai) and Nagoya (Chubu) to Bangkok until July 15, 2010. JAL said the anti-government demonstrations in Bangkok in April this year have led to sharp declines in passenger bookings to the South East Asian city. "In swift response to the dip in traffic-figures, JAL temporarily reduced the number of weekly flights on these routes for the month of June (June 1 and June 30, 2010). As leisure passenger demand has been slow to recover with continued concern about the stability of the situation, JAL has decided to extend the period of temporary flight reduction for an additional 15 days to the middle of July," the carrier said. JAL said it anticipates recovery in demand during the upcoming summer holiday season and plans to reinstate from July 16, the once-daily flights connecting Osaka and Nagoya with Bangkok. About Japan Airlines Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan-based company mainly engaged in the provision of air transport services. The Company is active in five business segments through its 203 subsidiaries and 83 associated companies. JAL International Co. Ltd. is a wholly owned operating subsidiary of Japan Airlines Corporation. Japan Airlines Corporation, Japan Airlines International Co., Ltd. and JAL Capital Co., Ltd., on January 19, 2010, filed the petitions to commenced corporate reorganization proceedings with the Tokyo District Court. The Court appointed the Enterprise Turnaround Initiative Corporation of Japan and Eiji Katayama, Esq., as reorganization trustees. Japan Airlines Corp. filed for reorganization January 19 in the Tokyo District Court and filed a Chapter 15 petition in New York (Bankr. S.D.N.Y. Case No. 10-10198). The Company said debt is $28 billion. Bankruptcy Creditors' Service, Inc., publishes Japan Airlines Bankruptcy News. The newsletter tracks the Chapter 15 proceedings and the bankruptcy proceedings in Tokyo undertaken by Japan Airlines Corp. and its various affiliates. (http://bankrupt.com/newsstand/or 215/945-7000) JAPAN AIRLINES: Likely to Cut Additional 3,600 Jobs by 2012 ----------------------------------------------------------- Japan Airlines Corp. will likely increase the number of staff it will cut by the end of fiscal 2012 to 19,300, up 3,600 from its initial reduction plan, The Yomiuri Shimbun reports, citing sources. The additional cuts are expected to save JAL about JPY128 billion in labor costs by fiscal 2012, the report says. According to the report, JAL decided to ramp up the number of job cuts after financial institutions complained its original target was too low. When JAL filed for bankruptcy under the Corporate Rehabilitation Law, the report notes, the airline stated in its rehabilitation scheme that it would shed 15,700 workers at JAL and its group companies by the end of fiscal 2012. The Yomiuri Shimbun says the airline also plans to accelerate the job cuts. It had let 3,000 personnel go as of March 31, and plans to cut about 16,000 more by the end of fiscal 2010. The report notes that sources said 4,000 JAL employees have applied for the airline's special early-retirement plan, easily exceeding the 2,700 applicants JAL had expected. The airline plans to offer a similar early-retirement plan this autumn, and expects several thousand personnel will take up the offer, the report adds. According to the Yomiuri Shimbun, JAL plans to cut staff mainly by selling off its subsidiaries. It hopes to retain as many pilots and aircraft maintenance staff as possible so flight safety will not be compromised. About Japan Airlines Japan Airlines Corporation -- http://www.jal.co.jp/-- is a Japan-based company mainly engaged in the provision of air transport services. The Company is active in five business segments through its 203 subsidiaries and 83 associated companies. JAL International Co. Ltd. is a wholly owned operating subsidiary of Japan Airlines Corporation. Japan Airlines Corporation, Japan Airlines International Co., Ltd. and JAL Capital Co., Ltd., on January 19, 2010, filed the petitions to commenced corporate reorganization proceedings with the Tokyo District Court. The Court appointed the Enterprise Turnaround Initiative Corporation of Japan and Eiji Katayama, Esq., as reorganization trustees. Japan Airlines Corp. filed for reorganization January 19 in the Tokyo District Court and filed a Chapter 15 petition in New York (Bankr. S.D.N.Y. Case No. 10-10198). The Company said debt is $28 billion. Bankruptcy Creditors' Service, Inc., publishes Japan Airlines Bankruptcy News. The newsletter tracks the Chapter 15 proceedings and the bankruptcy proceedings in Tokyo undertaken by Japan Airlines Corp. and its various affiliates. (http://bankrupt.com/newsstand/or 215/945-7000) L-JAC 5: Moody's Reviews Ratings on Various Classes of Certs. ------------------------------------------------------------- Moody's Investors Service has placed on review for possible downgrade the ratings on the Class A through J-1 Trust Certificates and X-2 Trust Certificates issued by L-JAC 5 Trust. The final maturity of the trust certificates will take place in August 2015. The individual rating actions are listed below. -- Class A, Aa2 placed under review for possible downgrade; previously, downgraded to Aa2 from Aaa on July 8, 2009 -- Class B, A2 placed under review for possible downgrade; previously, downgraded to A2 from Aa2 on July 8, 2009 -- Class C, Ba3 placed under review for possible downgrade; previously, downgraded to Ba3 from Baa3 on January 20, 2010 -- Class D-1, Ba2 placed under review for possible downgrade; previously, downgraded to Ba2 from Baa2 on July 8, 2009 -- Class D-3, Ba3 placed under review for possible downgrade; previously, downgraded to Ba3 from Baa2 July 8, 2009 -- Class E-1, Ba3 placed under review for possible downgrade; previously, downgraded to Ba3 from Baa3 on July 8, 2009 -- Class F-1, B1 placed under review for possible downgrade; previously, downgraded to B1 from Ba1; previously on July 8, 2009 -- Class G-1, B2 placed under review for possible downgrade; previously, downgraded to B2 from Ba2 on July 8, 2009 -- Class H-1, B3 placed under review for possible downgrade; previously, downgraded to B3 from Ba3 on July 8, 2009 -- Class I-1, Caa1 placed under review for possible downgrade; previously, downgraded to Caa1 from B1 on July 8, 2009 -- Class J-1, Caa3 placed under review for possible downgrade; previously, downgraded to Caa3 from B2 on July 8, 2009 -- Class X-2, Aa2 placed under review for possible downgrade; previously, downgraded to Aa2 from Aaa on July 8, 2009 L-JAC 5 Trust, effected in September 2007, represents the securitization of 13 loans. Two loans were paid in full by their maturity date. The transaction is now secured by six current loans and five loans under special servicing. The loan portfolio is divided into three loan pools: A, B, and C. According to the transaction structure, should an underlying loan be accelerated and judged no longer recoverable by the Servicer, the unrecoverable amount of the defaulting loan will be recognized as a loss. The loss will be allocated to the most subordinate-rated class corresponding to the defaulting loan in reverse order of sequential pay priority. Losses from Pool A will be allocated to Classes D-1, E-1, F-1, G- 1, H-1, I-1 and J-1, Losses from Pool C will be allocated to Classes D-3; Classes A through C correspond to all pools. For the rating actions of January 2010, Moody's examined the special servicer's Business Plan and appraisal reports on the properties for the two defaulting loans in Pool B, and came to the conclusion that the properties might be sold at prices lower than their allocated loan amounts, and that the realized losses could lead to the impairment of the Class C and D-2 through G-2 trust certificates. The current review has been prompted by Moody's growing concerns about the need to apply 1) higher stress on the recovery assumptions for the three loans in Pool A that are under special servicing, in view of current disposal prices, and 2) further stress on the performance of the collateral for the other six loans in Pools A and C. Pool A currently consists of six loans. Three, backed by three retail stores in Tokyo and local cities, are under special servicing. The other three, backed by two retail stores outside Tokyo and an office building in Tokyo, are current. Two loans in Pool C were paid in full by maturity. Pool C thus currently consists of three loans backed by two hotels and four apartment buildings in Tokyo and in the greater metropolitan area. Moody's will consider the latest appraisal reports and the special servicer's strategies as well as the prospects for collateral recovery for the properties backing loans under special servicing. Moody's will also examine additional performance data from the servicer on the other loans, including PM reports and rent rolls, so as to confirm the properties' occupancy rates and cash flow. Moody's will also reconsider its assumptions on recovery stress for the disposal of property for the other loans. Moody's Investors Service is a publisher of rating opinions and research. It is not involved in the offering or sale of any securities, nor is it acting on behalf of the offering party. This release is not a solicitation or a recommendation to buy, hold, or sell securities. SOFTBANK CORP: Invests JPY13.5-Bil. in Zynga Game Network --------------------------------------------------------- Softbank Corp. has invested JPY13.5 billion in US gaming firm Zynga Game Network Inc., Bloomberg News reports, citing two people familiar with the agreement. Bloomberg's sources said Softbank and Zynga have discussed distributing and jointly promoting games through Softbank?s mobile-phone service in Japan and other countries. Bloomberg News relates the agreement builds on the US$180 million Zynga raised from venture capitalists in December and may help the San Francisco startup expand in Asia. Softbank Corp. (TYO:9984) -- http://www.softbank.co.jp/-- is a Japan-based company that provides digital information services. The Company has six business segments. The Mobile Communication segment provides cellular phone services and sells attached cellular phone terminals. The Broadband and Infrastructure segment provides high-speed Internet access services, Internet protocol (IP) phone service, and contents. The Fixed Communication segment provides transmission services for audio and data, as well as exclusive line and data center services. The Internet Culture segment is engaged in the Internet advertising, broadband portal and auction businesses. The Electronic Commerce (E-Commerce) segment sells personal computers (PCs), peripheral devices and software for PC use, as well as provides business-to- business and business-to-customer e-commerce services. The Others segment is involved in the broadcasting media, technology service, media marketing and overseas fund businesses. * * * As reported in the Troubled Company Reporter-Asia Pacific on April 26, 2010, Standard & Poor's Ratings Services raised its long-term corporate credit and senior unsecured debt ratings on Softbank Corp. to 'BB+' from 'BB'. The upgrade reflects S&P's expectation to see steady improvement in Softbank's financial risk profile in coming years, based on: 1) increased stability in Softbank's earnings base through steady improvements in its profitability and cash flow generation, and 2) the company's clear financial policy to improve its debt leverage and credit profile by reducing its debt. The outlook on the long-term corporate credit rating is stable. ========= K O R E A ========= FORD MOTOR: South Korean Importer Recalls 1,128 Cars ---------------------------------------------------- The Ministry of Land, Transport and Maritime Affairs said that Ford Motor Co.'s South Korean importer will recall 1,128 vehicles due to a faulty cruise-control switch that might cause a fire, The China Post reports. The report relates the ministry said in an e-mailed statement that the recall affects Explorer, Windstar and Econoline models produced between December 11, 1995, and October 1, 2002. Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) -- http://www.ford.com/-- manufactures or distributes automobiles across six continents. With about 176,000 employees and about 80 plants worldwide, the company's automotive brands include Ford, Lincoln, Mercury and, until its sale, Volvo. The company provides financial services through Ford Motor Credit Company. The Company's balance sheet at March 31, 2010, showed $191.9 billion in total assets and $197.4 billion total liabilities, for a stockholders' deficit of $5.4 billion. On May 18, 2010, Moody's Investors Service upgraded the ratings of Ford Motor Company and Ford Motor Credit Company. Ratings raised include Ford's Corporate Family Rating and Probability of Default Rating to B1 from B2, secured credit facility to Ba1 from Ba2, senior unsecured debt to B2 from B3, and trust preferred to B3 from Caa1. The rating outlook for Ford and Ford Credit is stable. HYNIX SEMICONDUCTOR: To Repay KRW4-Tril. Debt in Takeover Bid ------------------------------------------------------------- Yonhap News Agency reports that Hynix Semiconductor Inc. said it has agreed with creditors to repay its KRW4 trillion (US$3.26 billion) worth of debts in the event of a hostile takeover attempt. Hynix representative Park Seong-ae told Yonhap the contract that gives creditors a right to demand debt redemption was signed in April. The report says the agreement is aimed at deterring a hostile takeover attempt as a debt repayment would make a takeover costly for the bidder. Creditors of Hynix, which include its largest shareholder Mirae Asset Investment Management Co., cut a 5% stake in block sales in March to hold a 21% stake in the chipmaker. They plan to unload an additional 5% stake before December, the report says. About Hynix Semiconductor Hynix Semiconductor Inc. -- http://www.hynix.com/-- is an Icheon, South Korea-based memory semiconductor supplier offering Dynamic Random Access Memory chips and Flash memory chips to a wide range of established international customers. The Company's shares are traded on the Korea Stock Exchange, and the Global Depository shares are listed on the Luxemburg Stock Exchange. * * * As reported in the Troubled Company Reporter-Asia Pacific on June 7, 2010, Fitch Ratings upgraded Hynix Semiconductor's Long-term foreign currency Issuer Default Rating to 'BB-' from 'B+'. The Outlook has been revised to Stable from Negative. At the same time, the agency also upgraded the ratings of its outstanding senior unsecured debt aggregating US$500m to 'BB-' from 'B', and assigned a Long-term local currency IDR at 'BB-' HYUNDAI ENG'G: Creditors to Start Sale Process by End of June ------------------------------------------------------------- Creditors of Hyundai Engineering & Construction Co. will start the process to sell the builder by the end of the month, Yonhap News agency reports citing Ryu Jae-han, CEO of Korea Finance Corp., the builder's main creditor. Creditors of Hyundai Engineering sought to put the Company up for sale in May 2006 when the builder was lifted from its debt workout program, which started in October 2001. Hyundai Engineering ran into a liquidity problem in 2000 after extending massive subsidies to prop up its weak subsidiaries and loss-making businesses. Huge outstanding debts in Iraq further strained the contractor's finances. Creditors of Hyundai Engineering relinquished direct control of Korea's top builder in May 2006. About Hyundai Engineering Headquartered in Seoul, South Korea, Hyundai Engineering & Construction Company Limited -- http://www.hdec.co.kr/-- is involved in civil engineering, housing development projects and other contracted construction works in South Korea and internationally. Its operations fall into the following key areas: building, civil works, plant and power works. Within the building and housing section, HDEC is involved in construction and architecture, and has been involved in residential, commercial and institutional building projects. =============== M A L A Y S I A =============== AXIS INC: Tarmah Sewing Demands US$243,000 Payment From Chongee --------------------------------------------------------------- Axis Incorporation Berhad said that Chongee Enterprise Sdn Bhd, a wholly owned subsidiary of the Company, had been served with a notice by Messrs Ong Ban Chai & Co, Advocates & Solicitors acting for Tarmah Sewing Machine (M) Sdn Bhd demanding the payment of US$243,000. The Company said CESB vigorously defend these proceedings and will contest any winding up proceedings that may be initiated. The Company is seeking the necessary legal advice to resolve or defend against this matter. About Axis Inc. Based in Johor Bahru, Malaysia, Axis Incorporation Berhad (KUL:AXIS) -- http://www.chongee.com.my-- is principally engaged in the business of investment holding. The company, through its subsidiaries, is engaged in fabric knitting and dyeing, and manufacturer of garments. Its subsidiaries include Asiapin Sdn. Bhd., Chongee Enterprise Sdn. Bhd. and GBC Marketing Pte. Ltd. In June 2008, Axis Incorporation Berhad announced the disposal of the entire equity interest in Ganad Corporation Bhd. On May 23, 2009, Axis Incorporation Berhad was classified as an affected issuer under the Amended Practice Note No. 17/2005 and Paragraph 8.14C of the Listing Requirements of Bursa Malaysia Securities Berhad as the Company was unable to provide a solvency declaration to Bursa Securities. HAISAN RESOURCES: Auditor's Modified Opinion Cues PN17 Listing -------------------------------------------------------------- Haisan Resources Berhad is considered a PN17 Company as the external auditors of the Company, Messrs. BDO had expressed a modified opinion with emphasis of matter on going concern in the Company's Audited Financial Statements for financial year ended December 31, 2009. Based on its quarterly report for the period ended March 31, 2010, the Company's shareholders' equity is less than 50% of its issued and paid-up capital. As an Affected Listed Issuer, Haisan Resources is required to: (i) within 12 months from the First Announcement: (a) submit a regularization plan to the Securities Commission if the plan will result in a significant change in the the business direction or policy of the Company; (b) submit a regularization plan to Bursa Securities if the plan will not result in a significant change in the business direction or policy of the Company, and obtain Bursa Securities'approval to implement the plan; ; (ii) implement the regularization plan within the timeframe stipulated by the SC or Bursa Securities,as the case may be; (iv) announce the status of its regularization plan and the number of months to the end of the relevant timeframes on a monthly basis until further notice from Bursa Securities; (v) announce its compliance or non-compliance with a particular obligation imposed pursuant to the PN17 on an immediate basis; (vi) announce the details of the regularization plan and sufficient information to demonstrate that the company is able to comply with all the requirements set out under Paragraph 3.1 of PN17 after implementation of the Regularization plan; and (vii) where the Company fails to regularize its condition, announce the dates of suspension and delisting of its listed securities immediately upon notification of suspension and delisting by Bursa Securities. In event the Company fails to comply with the obligation under PN17 to regularize, all its listed securities will be suspended from trading immediately upon notification by Bursa Securities Berhad and de-listing shall commence against the Company, subject to the Company's right to appeal against the delisting. Status of Regularization Plan The Company has yet to formalize a regularization plan to address its PN17 status. The Group has embarked on two disposals of its assets and facilities to reduce the Group's gearing and to improve the Group's financial position, i.e. the proposed disposal of its entire stake in Malaysian Mega Galvaniser Sdn Bhd for a consideration of MYR16 million, and the signing of Letter of Intent with Global Logistic Properties Investment Management (China) Co., Ltd, by its sub-subsidiary, IGLO (Shanghai) Co., Ltd, for a proposed sale and leaseback of IGLO SH's land, building and part of the refrigeration equipments for a consideration of RMB120 million with a lease period of not less than 15 years. The Board is of the opinion that, upon completion of the Disposal of MMG and the Sale and Leaseback, the financial position of HAISAN shall be improved and strengthened. In addition, the Company has also appointed a Scheme Adviser, UHY Diong Advisory (KL) Sdn Bhd, to formulate a conclusive debt restructuring proposal. The Proposed Debt Restructuring is expected to form an integral part of the overall Regularization Plan to revive and reorganize the financial condition of the Company. About Haisan Resources Based in Malaysia, Haisan Resources Berhad -- http://www.haisan.com/-- is principally engaged in the investment holding and provision of management services to subsidiaries. The Company operates in three business segments. Its engineering segment is engaged in the refrigeration, civil, mechanical, electrical, general engineering works and construction, trading of refrigerating equipment, spare parts, hot dip metal galvanizing and electroplating. The temperature controlled logistics/ warehousing segment is engaged in the temperature-controlled logistics services, handling, value added processing, refrigerated transportation and distribution services, leasing of cold rooms, bonded and general warehousing services. Its ice manufacturing segment is engaged in the manufacturing and marketing of tube ice. The Company's other segment is engaged in the investment holding, provision of information technology maintenance and support services. STAMFORD COLLEGE: 20th Annual General Meeting Slated for June 25 ---------------------------------------------------------------- Stamford College Berhad will hold its Twentieth Annual General Meeting on June 25, 2010, at 10:00 a.m. at Tiara Intan Room, Mezzanine Floor, Hotel Singgahsana, Persiaran Barat, Off Jalan Sultan, 46760 Petaling Jaya, in Selangor Darul Ehsan. At the meeting, the members will be asked to: * receive the Audited Financial Statements for the year ended December 31, 2009, together with the Reports of the Directors and the Auditors thereon; * approve the Directors' fees of MYR53,000 for the year ended December 31, 2009; * re-elect these Directors who retire pursuant to the Company's Articles of Association and, being eligible, offer themselves for re-election: (a) Mr. Sam Yuen @ Sam Chin Yan (b) Mr. Cheeh Wai Wing (c) Mr. Chuah Soon Guan * consider and, if thought fit, pass this resolution pursuant to Section 129 of the Companies Act, 1965: "That Dato' Haji Abd Halim bin Haji Abd Samad, retiring pursuant to Section 129 of the Companies Act, 1965, be and is hereby re-appointed as a Director of the Company to hold office until the conclusion of the next Annual General Meeting." * appoint Messrs. Baker Tilly Monteiro Heng as Auditors of the Company in place of the retiring Auditors, Messrs. Sha Tan & Co., and to authorize the Directors to fix their Remuneration; * consider and, if thought fit, pass these resolutions as Ordinary/Special Resolutions: (a) Authority to issue shares pursuant to Section 132D of the Companies Act, 1965 (b) Proposed Renewal of the Existing Shareholders' Mandate for recurrent related party transactions of a revenue or trading nature. (c) Proposed amendment to the Company's Articles Of Association. * transact any other business. About Stamford College Based in Malaysia, Stamford College Berhad (KUL:STAMCOL) -- http://www.stamford.edu.my/-- is an investment holding and management company. It principally engaged in the provision of executive training. The Company offers over 50 courses of study, which include full Undergraduate Degrees, Masters Degrees and North American Degree Program. The disciplines offered by Stamford range from Accounting to Business Administration, Engineering, Computer Science, Hospitality Management and Executive Secretaryship. Foreign students have also been part of Stamford's landscape, and Stamford has more than 1,500 foreign students from over 40 countries pursuing their higher education. Stamford College Berhad has been considered as an Affected Listed Issuer under Practice Note No. 17/2005 of the Bursa Malaysia Securities Berhad as it has triggered Paragraph 2.1(e) of PN 17/2005. According to the Company's disclosure statement with the bourse, it triggered the PN 17/2005 listing since auditors have expressed a modified opinion with emphasis on the Company's going concern status in the latest audited accounts for the financial year ended December 31, 2008, and the Company's shareholders equity on a consolidated basis is equal to or less than 50% of the issued and paid-up capital of the company. ================= S I N G A P O R E ================= A.K. CONSTRUCTION: Court Enters Wind-Up Order --------------------------------------------- The High Court of Singapore entered an order on June 4, 2010, to wind up the operations of A.K. Construction Pte Ltd. United Overseas Bank Limited filed the petition against the company. The company's liquidator is: The Official Receiver Insolvency & Public Trustee's Office The URA Centre (East Wing) 45 Maxwell Road, #05-11/#06-11 Singapore 069118 BRAVO BUILDING: Court to Hear Wind-Up Petition on June 25 --------------------------------------------------------- A petition to wind up the operations of Bravo Building Construction Pte Ltd will be heard before the High Court of Singapore on June 25, 2010, at 10:00 a.m. The Comptroller of Income Tax filed the petition against the company on June 3, 2010. The Petitioner's solicitors are: Infinitus Law Corporation 77 Robinson Road, #16-00 Robinson 77 Singapore 068896 EGO'S KTV: Court Enters Wind-Up Order ------------------------------------- The High Court of Singapore entered an order on June 4, 2010, to wind up the operations of Ego's KTV Entertainment Pte Ltd. Ong Chiew Yen filed the petition against the company. The company's liquidator is: Mr Aw Eng Hai C/o Foo Kon Tan Grant Thornton LLP 47 Hill Street #05-01 Singapore Chinese Chamber Commerce & Industry Building Singapore 179365 ENSIGN FREIGHT: Court to Hear Wind-Up Petition on June 25 --------------------------------------------------------- A petition to wind up the operations of Ensign Freight Pte Limited will be heard before the High Court of Singapore on June 25, 2010, at 10:00 a.m. Mau Wing Industrial Limited filed the petition against the company on May 24, 2010. The Petitioner's solicitors are: David Nayar Vardan 24B Temple Street Singapore 058569 GUNZE INTERNATIONAL: Placed Under Voluntary Wind-Up Proceedings --------------------------------------------------------------- At an extraordinary general meeting held on June 10, 2010, creditors of Gunze International Pte Ltd resolved to voluntarily wind up the company's operations. The company's liquidators are: Messrs Steven Tan Chee Chuan Douglas Tan Kay Yeow 25 International Business Park #04-22/26 German Centre Singapore 609916 GUNZE INTERNATIONAL PTE: Creditors' Proofs of Debt Due July 10 -------------------------------------------------------------- Creditors of Gunze International Pte Ltd, which is in members' voluntary liquidation, are required to file their proofs of debt by July 10, 2010, to be included in the company's dividend distribution. The company's liquidators are: Steven Tan Chee Chuan Douglas Tan Kay Yeow 25 International Business Park #04-22/26 German Centre Singapore 609916 MILEE CORPORATION: Court to Hear Wind-Up Petition on June 25 ------------------------------------------------------------ A petition to wind up the operations of Milee Corporation Private Limited will be heard before the High Court of Singapore on June 25, 2010, at 10:00 a.m. Corporate Secretarial & Bookkeeping Pte Ltd filed the petition against the company on May 27, 2010. The Petitioner's solicitors are: Straits Law Practice LLC 36 Robinson Road #18-00 City House Singapore 068877 MT. BATTEN: Court to Hear Wind-Up Petition on June 25 ----------------------------------------------------- A petition to wind up the operations of Mt. Batten Private Limited will be heard before the High Court of Singapore on June 25, 2010, at 10:00 a.m. Winning Flag Enterprise Pte Ltd filed the petition against the company on June 1, 2010. The Petitioner's solicitors are: M/s Wu LLC 14 Robinson Road #08-02 Far East Finance Building Singapore 048545 POLYCORE LAB: Creditors' Proofs of Debt Due July 12 --------------------------------------------------- Creditors of Polycore Lab Services (S) Pte Ltd, which is in members' voluntary liquidation, are required to file their proofs of debt by July 12, 2010, to be included in the company's dividend distribution. The company's liquidator is: Victor Goh C/o Insolvency Advisory Pte Ltd 100 Tras Street #16-03 Amara Corporate Tower Singapore 079027 PONDOK GURAME: Court to Hear Wind-Up Petition on June 25 -------------------------------------------------------- A petition to wind up the operations of Pondok Gurame Restaurant (Thomson) Ptel Ltd will be heard before the High Court of Singapore on June 25, 2010, at 10:00 a.m. Ntuc Fairprice Co-Operative Limited filed the petition against the company on May 14, 2010. The Petitioner's solicitors are: Messrs Bih Li & Lee 79 Robinson Road, #24-08 CPF Building Singapore 068897 =========== T A I W A N =========== AMERICAN INT'L: Nan Shan Buyers No Closer to Approval of Deal ------------------------------------------------------------- The Wall Street Journal's Ting-I Tsai reports that prospective buyers of American International Group Inc.'s Taiwan arm -- Nan Shan Life Insurance Co. -- appeared no closer to approval of the deal Monday despite announcing a plan last week to support the insurer's capital ratio to address regulatory concerns. According to the Journal, Taiwanese regulators said Monday that Primus Financial Holdings Ltd.'s plan to put US$325 million of the purchase price for Nan Shan in an escrow account to support the Taiwan insurer's capital ratio hasn't affected the government's decision whether to approve the deal. "That's simply their announcement. We have no idea about it," Chen Kai-yuan, secretary-general of the Financial Supervisory Commission's Insurance Bureau, said, according to the Journal. The report relates Mr. Kai-yuan added that his department is waiting for Primus to submit some required documents. The Journal relates Taiwan's Investment Commission, which will have final say on the deal, said Monday it hasn't yet scheduled any meetings to review the sale. The commission said in March it planned to decide on the deal by the end of June. The Journal relates AIG said Friday the money will be placed in escrow for four years, effectively delaying its receipt of the full amount of the purchase price. The Journal says AIG agreed to sell Nan Shan to Primus, a Hong Kong-based investment company, and China Strategic Holdings Ltd., primarily a battery maker owned by a group of Hong Kong businessmen, for US$2.15 billion in October, as part of AIG's efforts to repay bailout funds from the U.S. government. The deal has been hindered by political concerns in Taiwan that China Strategic is backed by mainland Chinese money and has no experience running a life insurer. About AIG Inc. Based in New York, American International Group, Inc., is an international insurance organization with operations in more than 130 countries and jurisdictions. AIG companies serve commercial, institutional, and individual customers through one of the most extensive worldwide property-casualty networks of any insurer. In addition, AIG companies provide life insurance and retirement services around the world. AIG common stock is listed on the New York Stock Exchange, as well as the stock exchanges in Ireland and Tokyo. In September 2008, AIG experienced a liquidity crunch when its credit ratings were downgraded below "AA" levels by Standard & Poor's, Moody's Investors Service and Fitch Ratings. In September 2008, the Federal Reserve Bank created an $85 billion credit facility to enable AIG to meet increased collateral obligations consequent to the ratings downgrade, in exchange for the issuance of a stock warrant to the Fed for 79.9% of the equity of AIG. The credit facility was eventually increased to as much as $182.5 billion. AIG has sold a number of its subsidiaries and other assets to pay down loans received from the U.S. government, and continues to seek buyers of its assets. FAR EASTERN: Submits Plan to Resume Operations by November ---------------------------------------------------------- The Civil Aeronautics Administration confirmed Saturday that it had received a plan for a resumption of flights submitted by the Far Eastern Air Transport Corp., The China Post reports. The carrier suspended all its flights since May 2008 due to financial troubles. According to the report, the CAA will review the company's flight resumption proposal and fleet as well as examine the certification of related personnel. The Post, citing FEAT'S flight resumption plan, says the company will repair and maintain three aircraft that will be used on domestic routes between Taipei and the island of Kinmen and Taipei and the Penghu islands in late September or early October. The company also plans to offer cross-Taiwan Strait flights, as well as flights to Japan and Southeast Asia, on a charter basis, the report relates. The CAA said it is not sure when the review will be completed, but added that as long as the company has sufficient funds and the correct certification, the flight resumption should not take long, according to the Post. According to the Post, the Taipei District Court ruled on the company's reconstruction plan May 31, which means that FEAT must resume operations in six months ?- by Nov. 30 ?- or risk having its aviation license revoked. But the carrier's plan to resume flights became less certain after the Securities and Futures Investors Protection Center, a group that protects investors' rights, appealed the court ruling, the Post notes. As reported on Feb. 19, 2008, FEAT sought bankruptcy protection before the Taipei District Court to stop creditors from seizing the company's assets. The bankruptcy court's protection would allow the airline to continue operating and serve its customers while it seeks for ways to find funding to pay debts. Radio Taiwan International said that its liabilities amounted to NT$9.99 billion (US$315 million) at Sept. 30, 2007. China Post relates that the court approval of bankruptcy protection failed to save the airline because it failed to obtain the necessary funds. According to the Post, FEAT suspended all its flights after the last service between South Korea's Jeju and the Taiwan Taoyuan International Airport May 16, 2008. About Far Eastern Far Eastern Air Transport Corporation is a Taiwan-based airline Company. It provides both domestic and international passenger flight services. The Company operated domestic services from Taipei and Kaohsiung to five regional cities and international services to Southeast Asia, South Korea and Palau. =============== X X X X X X X X =============== * BOND PRICING: For the Week June 7 to June 11, 2010 ---------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- AUSTRALIA --------- ADVANCED ENERGY 9.50 01/04/2015 AUD 1.05 AINSWORTH GAME 8.00 12/31/2011 AUD 0.87 AMP GROUP FINANC 9.80 04/01/2019 NZD 0.98 ANTARES ENERGY 10.00 10/31/2013 AUD 1.86 AUROX RESOURCES 7.00 06/30/2010 AUD 0.97 BECTON PROP GR 9.50 06/30/2010 AUD 0.36 CBD ENERGY LTD 12.50 01/29/2011 AUD 0.10 CHINA CENTURY 12.00 09/30/2010 AUD 0.90 EXPORT FIN & INS 0.50 06/15/2020 AUD 58.12 EXPORT FIN & INS 0.50 06/15/2020 AUD 56.58 FIRST AUSTRALIAN 15.00 01/31/2012 AUD 0.31 GRIFFIN COAL MIN 9.50 12/01/2016 USD 58.69 GRIFFIN COAL MIN 9.50 12/01/2016 USD 59.50 HEEMSKIRK CONSOL 8.00 04/29/2011 AUD 2.40 JPM AU ENF NOM 1 3.50 06/30/2010 USD 5.75 MINERALS CORP 10.50 09/30/2011 AUD 0.30 NEW S WALES TREA 1.00 09/02/2019 AUD 64.90 PRAECO P/L 7.13 07/28/2020 AUD 71.15 RESOLUTE MINING 12.00 12/31/2012 AUD 1.00 SUN RESOURCES NL 12.00 06/30/2011 AUD 0.30 CHINA ----- CHINA GOV'T BOND 1.64 12/15/2033 CNY 61.91 HONG KONG --------- RESPARCS FUNDING 8.00 12/29/2049 USD 32.87 INDIA ----- AFTEK INFOSYS 1.00 06/25/2010 USD 70.00 GEMINI COMMUNICATION 6.00 07/18/2012 EUR 66.75 KALINDEE RAIL NI 0.50 03/07/2012 USD 71.50 INDONESIA --------- BAKRIELAND DEV 12.85 03/11/2013 IDR 74.69 BANK DKI 12.25 03/04/2018 IDR 74.72 THAMES PAM JAYA 12.50 03/13/2013 IDR 70.00 JAPAN ----- AIFUL CORP 6.00 12/12/2011 JPY 74.37 AIFUL CORP 6.00 12/12/2011 JPY 74.37 AIFUL CORP 1.20 01/26/2012 JPY 71.47 AIFUL CORP 1.99 03/23/2012 JPY 70.16 AIFUL CORP 1.22 04/20/2012 JPY 67.72 AIFUL CORP 1.63 11/22/2012 JPY 58.09 AIFUL CORP 1.74 05/28/2013 JPY 51.77 AIFUL CORP 1.99 10/19/2015 JPY 43.87 COVALENT MATERIALS 2.87 02/18/2013 JPY 65.31 CSK CORPORATION 0.25 09/30/2013 JPY 70.28 JPN EXP HLD/DEBT 0.50 09/17/2038 JPY 60.38 JPN EXP HLD/DEBT 0.50 03/18/2039 JPY 59.77 KIRAYAKA HOLDING 2.59 03/22/2016 JPY 65.47 SHINSEI BANK 5.62 12/29/2049 GBP 74.50 TAKEFUJI CORP 9.20 04/15/2011 USD 62.00 TAKEFUJI CORP 9.20 04/15/2011 USD 62.00 TAKEFUJI CORP 4.00 06/05/2022 JPY 53.37 MALAYSIA -------- ADVANCED SYNERY 2.00 01/26/2018 MYR 0.07 ALIRAN IHSAN RES 5.00 11/29/2011 MYR 1.08 CRESENDO CORP B 3.75 01/11/2016 MYR 0.82 DUTALAND BHD 6.00 04/11/2013 MYR 0.32 DUTALAND BHD 6.00 04/11/2013 MYR 0.73 EASTERN & ORIENT 8.00 07/25/2011 MYR 0.91 EASTERN & ORIENT 8.00 11/16/2019 MYR 0.92 KRETAM HOLDINGS 1.00 08/10/2010 MYR 1.25 KUMPULAN JETSON 5.00 11/27/2012 MYR 1.61 LION DIVERSIFIED 4.00 12/17/2013 MYR 1.69 MITHRIL BHD 3.00 04/05/2012 MYR 0.64 NAM FATT CORP 2.00 06/24/2011 MYR 0.09 OLYMPIA INDUSTRI 2.80 04/11/2013 MYR 0.20 OLYMPIA INDUSTRI 6.00 04/11/2013 MYR 0.18 OLYMPIA INDUSTRI 6.00 04/11/2013 MYR 0.51 PUNCAK NIAGA HLD 2.50 11/18/2016 MYR 0.63 REDTONE INTL 2.75 03/04/2020 MYR 0.06 RUBBEREX CORP 4.00 08/14/2012 MYR 1.11 SCOMI ENGINEERING 4.00 03/19/2013 MYR 1.07 SCOMI GROUP 4.00 03/19/2013 MYR 0.10 TRADEWINDS CORP 2.00 02/08/2012 MYR 0.60 TRADEWINDS PLANT 3.00 02/28/2016 MYR 1.10 TRC SYNERGY 5.00 01/20/2012 MYR 0.92 WAH SEONG CORP 3.00 05/21/2012 MYR 7.33 WIJAYA BARU GLOB 7.00 09/17/2012 MYR 0.31 YTL CEMENT BHD 5.00 11/10/2015 MYR 1.85 NEW ZEALAND ----------- ALLIED FARMERS 9.60 11/15/2011 NZD 71.22 ALLIED NATIONWIDE 11.52 12/29/2049 NZD 25.00 CONTACT ENERGY 8.00 05/15/2014 NZD 1.04 FLETCHER BUI 8.50 03/15/2015 NZD 8.00 FLETCHER BUI 7.55 03/15/2011 NZD 7.00 GMT BOND ISSUER 7.75 06/19/2015 NZD 0.10 INFRATIL LTD 8.50 11/15/2015 NZD 8.60 INFRATIL LTD 8.50 11/15/2015 NZD 10.00 INFRATIL LTD 10.18 12/29/2049 NZD 64.00 KIWI INCOME PROP 8.95 12/20/2014 NZD 1.34 MANUKAU CITY 6.15 09/15/2013 NZD 1.01 MANUKAU CITY 6.90 09/15/2015 NZD 1.03 MARAC FINANCE 10.50 07/15/2013 NZD 0.99 NZ FINANCE HLDGS 9.75 03/15/2011 NZD 63.48 SKY NETWORK TV 4.01 10/16/2016 NZD 54.88 SOUTH CANTERBURY 10.50 06/15/2011 NZD 1.01 SOUTH CANTERBURY 10.43 12/15/2012 NZD 0.56 ST LAURENCE PROP 9.25 07/15/2010 NZD 40.10 TOWER CAPITAL 8.50 04/15/2014 NZD 1.02 TRUSTPOWER LTD 8.50 09/15/2012 NZD 7.00 TRUSTPOWER LTD 8.50 03/15/2014 NZD 7.15 TRUSTPOWER LTD 7.60 12/15/2014 NZD 1.00 TRUSTPOWER LTD 8.60 12/15/2016 NZD 1.00 UNI OF CANTERBUR 7.25 12/15/2019 NZD 1.02 VECTOR LTD 7.80 10/15/2014 NZD 1.00 VECTOR LTD 8.00 12/29/2049 NZD 7.25 SINGAPORE --------- SENGKANG MALL 8.00 11/20/2012 SGD 0.10 SENGKANG MALL 4.88 11/20/2012 SGD 0.10 UNITED ENG LTD 1.00 03/03/2014 SGD 1.50 WBL CORPORATION 2.50 06/10/2014 SGD 1.95 SOUTH KOREA ----------- DAEWOO MTR SALES 6.55 03/17/2011 KRW 71.83 THAILAND -------- THAILAND GOVT 0.75 01/04/2022 THB 72.21 ********* 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 T. Fernandez, Joy A. Agravante, Frauline S. Abangan, and Peter A. Chapman, Editors. Copyright 2010. 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 ***