/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/100628.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 Monday, June 28, 2010, Vol. 13, No. 125 Headlines A U S T R A L I A BEMAX RESOURCES: S&P Affirms Corporate Credit Rating at 'B-' TIMBERCORP LTD: Ordinary Shares Worthless, Liquidator Says H O N G K O N G ABAS BUSINESS: Creditors' First Meeting Set for July 2 ARTAKE DESIGN: Court to Hear Wind-Up Petition on August 11 BBJ ENVIRONMENTAL: Court Enters Wind-Up Order CELLON HK: Creditors Get 100% Recovery on Claims CHAMPION WELL: Middleton and Chan Appointed as Liquidators CITYVISION LIMITED: Members' Final Meeting Set for July 26 COLORAMA PRODUCTS: Members and Creditors' Meetings Set for Aug. 6 CREATE WORLD: Creditors' Proofs of Debt Due July 10 EAST WAY: Court Enters Wind-Up Order EATON ASIA: Ho and Kong Step Down as Liquidators E. & J. GALLO: Members' Final Meeting Set for July 26 GLORY BEST: Court to Hear Wind-Up Petition on June 30 HAPPY CITY: Lui and Leung Appointed as Liquidators HAPRO LIMITED: Members' Final Meeting Set for July 26 HK INTERNATIONAL: Placed Under Voluntary Wind-Up Proceedings START II: Moody's Takes Rating Actions on Various Classes of Notes START IV: Moody's Upgrades Rating on Class E Notes From Ba1 I N D I A ABHIRAMA STEELS: CRISIL Places 'B+' Rating on INR95 Mil. LT Loan AUTOCOMP CORP: ICRA Assigns 'LBB+' Rating on INR250MM LT Loan BANK OF RAJASTHAN: To Seek RBI's Nod for ICICI Bank Merger CHHATTISGARH STEEL: CRISIL Puts 'BB' Rating on INR30MM Term Loan EDQUEST WELFARE: CRISIL Rates INR147.50 Million Term Loan at 'D' KSHEERAABD CONSTRUCTIONS: CRISIL Rates INR30MM Cash Credit 'BB+' PREMIER MILK: ICRA Places 'LBB' Rating on INR57 Mil. Cash Credit PUNJAB BASMATI: ICRA Assigns 'LBB' Rating on INR190 Mil. LT Loans RAJ RATAN: ICRA Assigns 'LBB-' Rating on INR137MM Fund-Based Loans SANGHVI INNOVATIVE: ICRA Assigns 'LB' Rating on INR135.5MM Loans SATYA PRAKASH: ICRA Places 'LBB+' Rating on INR45MM Bank Debts SHIVALAY ISPAT: CRISIL Assigns 'B-' Rating on INR195.4MM Term Loan SMV AGENCIES: ICRA Assigns 'LB-' Rating on Various Bank Facilities SYNFAB SALES: ICRA Puts 'LBB' Rating on INR163 Million Bank Debts I N D O N E S I A BUMI RESOURCES: Shareholders Approve Share Sale Plan to Repay Debt J A P A N JPM-JC8 TRUST: Moody's Downgrades Ratings on Four Certificates M A L A Y S I A KENMARK INDUSTRIAL: Receives Letter of Demand for MYR50.98MM Debt RAMUNIA HOLDINGS: Posts MYR16.41MM Net Income in April 30 Quarter RHYTHM CONSOLIDATED: Application to Stay Winding-Up Order Allowed P H I L I P P I N E S LEGACY GROUP: PDIC Pays 87.27% of Validated Claims PHILIPPINE BANK OF COMM: PDIC & Central Bank in Talks Over Sale S I N G A P O R E ARMADA (SINGAPORE): Creditors' Meeting Set for July 7 EGO'S KTV: Creditors' Proofs of Debt Due July 9 FORSYTH PARTNERS: Creditors' Proofs of Debt Due July 9 JURONG DATA: Creditors' Proofs of Debt Due July 9 OBC INTERNATIONAL: Creditors Get 100% Recovery on Claims SINEXIMCO PTE: Creditors Get 100% and 1.5% Recovery on Claims SINGWIN SERVICES: Court to Hear Wind-Up Petition on July 9 TAY LONG: Court to Hear Wind-Up Petition on July 9 T H A I L A N D FORD MOTOR: Invests US$450 million in New Car Plant in Thailand SIAM CITY BANK: Thanachart to Complete Acquisition Next Year - - - - - ================= A U S T R A L I A ================= BEMAX RESOURCES: S&P Affirms Corporate Credit Rating at 'B-' ------------------------------------------------------------ Standard & Poor's Ratings Services said that it had affirmed its 'B-' corporate credit and debt ratings on Bemax Resources Ltd., an Australian producer of mineral-sands products. At the same time, S&P revised the outlook on Bemax to stable from negative. The rating action follows the progression of the company's Snapper mine development (commissioning targeted for the end of 2010) and the commitment of funding for the project from its owner Cristal. "Although Bemax has insufficient internally generated cash flow to fund the Snapper development (due to weak earnings in 2009), strong support from Cristal via various cash injections has been received since mid-2009," Standard & Poor's credit analyst May Zhong said. "Importantly, Cristal has committed cash to assist the funding of the remaining Snapper development in 2010. Given Bemax's strategic importance to Cristal's security of feedstock supply, S&P believes Cristal will support Bemax's ongoing operation and capital projects. In the absence of Cristal's past and ongoing support for Bemax's operations and the development of the Snapper mine, the rating on Bemax could be significantly lower than the existing 'B-' rating, given the company's weak earnings and credit metrics in 2009." Ms. Zhong added: "The commissioning of the Snapper mine, in S&P's view, is key to Bemax's financial recovery and the company's long- term viability. The stable outlook is underpinned by S&P's opinion of the advanced progress of the Snapper mine development and Cristal's committed funding to complete this project. The stable outlook also reflects S&P's view of Bemax's strategic importance to Cristal, and S&P's expectation that Cristal will continue to help Bemax complete Snapper." The rating on Bemax reflects S&P's view of the company's weak earnings, highly leveraged credit metrics, lack of business and asset diversity, and exposure to volatile commodity prices. Partly offsetting these weaknesses is the company's ownership and support by Cristal (an industry player); this factor mitigates S&P's immediate liquidity concerns arising from Bemax's weak earnings and the heavy capital expenditure required to complete the company's Snapper expansion. In S&P's opinion, Bemax also has good-quality reserves with high mineral grades. Cristal is a Saudi Arabian company 66% owned by National Industrialization Company (not rated) and 33% by Gulf Investment Corporation G.S.C. (BB-/Stable/B). TIMBERCORP LTD: Ordinary Shares Worthless, Liquidator Says ---------------------------------------------------------- Timbercorp Ltd liquidator said that stakeholders' ordinary shares are valueless. "I have reasonable grounds to believe that the following shareholders (or class of shareholders) in the company will receive any distribution for their shares," KordaMentha liquidator Mark Korda said in a statement to the Australian Securities Exchange. Mr. Korda said "shareholders who acquired shareholders (or class of shareholders) on or after September 20, 1985, could choose to make a capital loss in the income year that includes June 24, 2010, as a result of CGT event G3 happening to their shares." "A capital loss was not available to shares acquired under an employee share scheme," he said. About Timbercorp Based in Melbourne, Australia, Timbercorp Limited (ASX:TIM) -- http://www.timbercorp.com.au/-- is engaged in the establishment, development, marketing and management of primary industry-based projects, the acquisition of land, water rights and infrastructure to support these projects, and the provision of finance to growers in these projects. The company is also involved in eucalypt and olive oil processing operations, asset development, asset management, the sale of agricultural assets and holding investments in agricultural-related enterprises. As reported in the Troubled Company Reporter-Asia Pacific on April 24, 2009, Timbercorp Ltd called in voluntary administrators to the company and its subsidiaries. The company appointed Mark Korda and Leanne Chesser of KordaMentha as voluntary administrators. "The company had been hurt by the combined impact of declining global asset values, tightening credit, the economic downturn and drought," according to a statement issued by Kordamentha. On June 29, 2009, the creditors voted unanimously to wind up the 41 companies in the Timbercorp Group and put them into liquidation. ================ H O N G K O N G ================ ABAS BUSINESS: Creditors' First Meeting Set for July 2 ------------------------------------------------------ Creditors of Abas Business Solutions (PRC) Limited, which is in voluntary liquidation, will hold their first meeting on July 2, 2010, at 3:00 p.m., at Room 2301, 23/F., Ginza Square, 565-567 Nathan Road, Yaumatei, Kowloon, in Hong Kong. ARTAKE DESIGN: Court to Hear Wind-Up Petition on August 11 ---------------------------------------------------------- A petition to wind up the operations of Artake Design & Associates Limited will be heard before the High Court of Hong Kong on August 11, 2010, at 9:30 a.m. The People's Insurance Company of China (Hong Kong) Limited filed the petition against the company on June 3, 2010. The Petitioner's solicitors are: Cheng, Yeung & Co 22nd Floor, Ruttonjee House 11 Duddell Street Central, Hong Kong BBJ ENVIRONMENTAL: Court Enters Wind-Up Order --------------------------------------------- The High Court of Hong Kong entered an order on May 31, 2010, to wind up the operations of BBJ Environmental Solutions Limited. The company's liquidator is Mat Ng. CELLON HK: Creditors Get 100% Recovery on Claims ------------------------------------------------ Cellon Hong Kong Limited, which is in liquidation, paid the first and final dividend to its creditors on June 25, 2010. The company paid 100% and 5.5% for preferential and unsecured claims, respectively. The company's liquidator is: Cosimo Borrelli Level 17, Tower 1 Admiralty Centre 18 Harcourt Road Hong Kong CHAMPION WELL: Middleton and Chan Appointed as Liquidators ---------------------------------------------------------- Lees John Robert and Ng Mat of John Less Associates on May 5, 2010, were appointed as liquidators of Champion Well International Limited. The liquidators may be reached at: Lees John Robert Ng Mat 20/F Henley Building 5 Queen's Road Central, Hong Kong CITYVISION LIMITED: Members' Final Meeting Set for July 26 ---------------------------------------------------------- Members of Cityvision Limited, which is in members' voluntary liquidation, will hold their final general meeting on July 26, 2010, at 10:00 a.m., at 43/F., The Lee Gardens, 33 Hysan Avenue, Causeway Bay, in Hong Kong. At the meeting, Lo Wa Kei Roy, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. COLORAMA PRODUCTS: Members and Creditors' Meetings Set for Aug. 6 ----------------------------------------------------------------- Members and creditors of Colorama Products Limited will hold Separate meetings on August 6, 2010, at 10:00 a.m., and 10:15 a.m., respectively at the 12/F, Bel Trade Commercial Building, 1-3 Burrows Street, Wanchai, in Hong Kong. The meetings will be the final for the company's members and creditors. At the meeting, Ray Chan Wai Hung, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. CREATE WORLD: Creditors' Proofs of Debt Due July 10 --------------------------------------------------- Creditors of Create World International Limited, 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 liquidator is: Mr. Lo Yau Tak Unit 2103, 21/F., Office Tower Langham Place 8 Argyle Street Mongkok, Kowloon Hong Kong EAST WAY: Court Enters Wind-Up Order ------------------------------------ The High Court of Hong Kong entered an order on May 31, 2010, to wind up the operations of East Way International Limited. The company's liquidator is Mat Ng. EATON ASIA: Ho and Kong Step Down as Liquidators ------------------------------------------------ Ho Man Kit Horace and Kong Sze Man stepped down as liquidators of Eaton Asia Limited on May 27, 2010. E. & J. GALLO: Members' Final Meeting Set for July 26 ----------------------------------------------------- Members of E. & J. Gallo Hong Kong Limited will hold their final general meeting on July 26, 2010, at 10:00 a.m., at Level 28, Three Pacific Place, 1 Queen's Road East, in Hong Kong. At the meeting, Ying Hing Chiu and Chan Mi Har, the company's liquidators, will give a report on the company's wind-up proceedings and property disposal. GLORY BEST: Court to Hear Wind-Up Petition on June 30 ----------------------------------------------------- A petition to wind up the operations of Glory Best Development Limited will be heard before the High Court of Hong Kong on June 30, 2010, at 9:30 a.m. Big Data Wire Ropes & Machinery Parts Limited filed the petition against the company on April 23, 2010. The Petitioner's solicitors are: W.L. Yuen & Co Unit 1201, 12th Floor The Phoenix Nos. 21-25 Luard Road Wanchai, Hong Kong HAPPY CITY: Lui and Leung Appointed as Liquidators -------------------------------------------------- Lui Chi Kit and Leung Ka Man on March 25, 2010, were appointed as liquidators of Happy City Limited. The liquidators may be reached at: Lui Chi Kit Leung Ka Man Unit A, 14/F. JCG Building 16 Mongkok Road Mongkok, Kowloon Hong Kong HAPRO LIMITED: Members' Final Meeting Set for July 26 ----------------------------------------------------- Members of Hapro Limited will hold their final general meeting on July 26, 2010, at 10:00 a.m., at the office of the Liquidator, 9/F., Surson Commercial Building, 140-142 Austin Road, Tsimshatsui, in Kowloon. At the meeting, Luk Wing Hay, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. HK INTERNATIONAL: Placed Under Voluntary Wind-Up Proceedings ------------------------------------------------------------ At an extraordinary general meeting held on June 25, 2010, members of HK International Intellectual Property Association Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Mr. Chu King Hei Victor Rooms 905-909, Yu To Sang Building 37 Queen's Road Central, Hong Kong START II: Moody's Takes Rating Actions on Various Classes of Notes ------------------------------------------------------------------ Moody's Investors Service announced these rating actions on notes issued by Start II CLO Limited, a synthetic Balance Sheet CDO referencing a pool of bank originated corporate loans whose obligors are primarily domiciled in Asia Pacific. Standard Chartered Bank is the sponsor of this transaction. Issuer: Start II CLO Limited -- US$24,000,000 Class B Credit-Linked Floating Rate Notes due on 29 June 2012, Upgraded to Aa3; previously on May 8, 2009 Downgraded to A2 -- US$20,000,000 Class C Credit-Linked Floating Rate Notes due on 29 June 2012, Upgraded to A2; previously on May 8, 2009 Downgraded to Baa1 -- US$15,200,000 Class D Credit-Linked Floating Rate Notes due on 29 June 2012, Upgraded to Baa1; previously on May 8, 2009 Downgraded to Baa3 -- US$15,200,000 Class E Credit-Linked Floating Rate Notes due on 29 June 2012, Upgraded to Ba1; previously on May 8, 2009 Downgraded to Ba2 The rating actions taken are the result of significant de-levering of the transaction following the expiry of the replenishment period and stable performance of the transaction. As of April 30, 2010, the reference portfolio has amortized from its initial size of US$1.6 billion to US$1.0 billion, or 62.75% of the initial size. Credit events had occurred on US$9.1 million equivalent (or 0.57% of the initial portfolio size) of reference obligations involving 2 obligors. The credit quality of the performing pool of reference obligations has slightly deteriorated, as evidenced by the increase in WARF from 512 (April 2009) to 626 (April 2010). Moody's notes that the positive impact from the amortisation of the reference portfolio more than offsets the credit deterioration. The transaction has one year remaining to its scheduled maturity date in June 2011 and two years remaining to its final maturity date in June 2012. To determine the rating levels, Moody's also considered various recovery scenarios where recovery rates were haircut by 50% to 100%. Market quotations will be obtained for defaulted obligations in case the work-out process cannot complete prior to the work-out cut-off date (60 days prior to the final maturity date). Given the short remaining time to final maturity, recovery can be subject to the availability of quotes on the defaulted bank loans. For the majority of the underlying referenced assets, the equivalent Moody's ratings used in our analysis are obtained through a mapping process between the originator's internal rating scale and Moody's public rating scale. To compensate for the absence of credit indicators such as ratings review and outlooks in the mapped ratings, a half notch stress was applied to the mapping scale. Since the mapping had been updated back in 2007, an additional stress as well as other sensitivity tests were applied to capture potential deviations from the established mapping. START IV: Moody's Upgrades Rating on Class E Notes From Ba1 ----------------------------------------------------------- Moody's Investors Service announced these rating actions on notes co-issued by Start IV CLO Limited and Start IV CLO LLC, a synthetic Balance Sheet CDO referencing a pool of bank originated corporate loans whose obligors are primarily domiciled in Asia Pacific. Standard Chartered Bank is the sponsor of this transaction. Issuer: START IV CLO Limited -- US$26,250,000 Class C Credit-Linked Floating Rate Notes, Upgraded to Aa1; previously on Jun 27, 2007 Definitive Rating Assigned A1 -- US$26,250,000 Class D Credit-Linked Floating Rate Notes, Upgraded to A1; previously on Jun 27, 2007 Definitive Rating Assigned Baa1 -- US$22,500,000 Class E Credit-Linked Floating Rate Notes, Upgraded to Baa1; previously on Jun 27, 2007 Definitive Rating Assigned Ba1 The rating actions taken are the result of significant de-levering of the transaction following the expiry of the replenishment period and stable performance of the transaction. As of April 30, 2010, the reference portfolio has amortized from its initial size of US$1.5 billion to US$921.3 million, or 61.42% of the initial size. Credit events had occurred on US$1.1 million equivalent (or 0.07% of the initial portfolio size) of reference obligations involving 2 obligors. The credit quality of the performing pool of reference obligations has slightly deteriorated, as evidenced by the increase in WARF from 1,334 (April 2009) to 1,438 (April 2010). Moody's notes that the positive impact from the amortisation of the reference portfolio more than offsets the credit deterioration. The transaction has half a year remaining to its scheduled maturity date in December 2010 and one and a half years remaining to its final maturity date in December 2011. To determine the rating levels, Moody's also considered various recovery scenarios where recovery rates were haircut by 50% to 100%. Market quotations will be obtained for defaulted obligations in case the work-out process cannot complete prior to the work-out cut-off date (60 days prior to the final maturity date). Given the short remaining time to final maturity, recovery can be subject to the availability of quotes on the defaulted bank loans. For the majority of the underlying referenced assets, the equivalent Moody's ratings used in our analysis are obtained through a mapping process between the originator's internal rating scale and Moody's public rating scale. To compensate for the absence of credit indicators such as ratings review and outlooks in the mapped ratings, a half notch stress was applied to the mapping scale. Since the mapping had been updated back in 2007, an additional stress as well as other sensitivity tests were applied to capture potential deviations from the established mapping. ========= I N D I A ========= ABHIRAMA STEELS: CRISIL Places 'B+' Rating on INR95 Mil. LT Loan ---------------------------------------------------------------- CRISIL has assigned its 'B+/Stable' rating to Abhirama Steels Pvt Ltd's bank facilities. Facilities Ratings ---------- ------- INR95.00 Million Long Term Loan B+/Stable (Assigned) INR38.00 Million Proposed LT Bank B+/Stable (Assigned) Facility The rating reflects ASPL's exposure to risks related to commercialization of, and stabilization of operations at, its upcoming rolling mill, intense competition in the steel industry, and absence of backward integration in operations. These rating weaknesses are partially offset by ASPL's promoters' industry experience. Outlook: Stable CRISIL believes that ASPL will commence operations at its upcoming mill without any cost or time overrun, supported by efficient project management. The outlook may be revised to 'Positive' if ASPL reports more-than-expected increase in realization and profitability, or diversifies its revenue profile to generate healthy cash accruals. Conversely, the outlook may be revised to 'Negative' if the company faces any time or cost overrun in its rolling mill project, or if the utilization of its capacities is lower than expected. About Abhirama Steels Incorporated in 2008 as part of the Abhirama group, ASPL is currently setting up a thermo-mechanically treated (TMT) steel rolling mill with a capacity of 5400 tonnes per annum (tpa) in Chityal (Andhra Pradesh). The total cost of the project is INR160 million, which is being funded in a debt-to-equity ratio of 60:40; the company has spent INR114 million so far. The project is expected to be completed by August 2010. The Abhirama group is promoted by Mr. Palaparthy Muthy and Mr. Abhishek Palaparthy. AUTOCOMP CORP: ICRA Assigns 'LBB+' Rating on INR250MM LT Loan ------------------------------------------------------------- ICRA has assigned an 'LBB+' rating to the INR250 million long term bank facilities (INR142.7 million term loans, INR80 million cash credit and INR27.3 million completely interchangeable with short term limits) of Autocomp Corporation Panse Private Limited. The outlook on the long term rating is stable. ICRA has also assigned an A4+ rating to the INR400 million short term bank facilities (INR340 million short term bank limits and INR60 million letter of credit) of ACPPL. The assigned ratings reflect the long standing track record of the promoters and strong customer relationships in the automotive industry. ICRA also notes the improving outlook within the automobile ancillary industry due to increasing demand from OEMs. The ratings are however constrained by the thin margins of ACPPL due to low value addition in operations, concentration risk arising out of high revenue share of a few customers partially offset by its high share of business, modest scale of operations and a stretched financial profile marked by low capitalization and thin coverage. About Autocomp Corporation ACPPL is based out of Pune and is engaged in the business of providing sheet metal components to large OEMs. It was established as a proprietorship company in 1983 and subsequently converted to a private limited company in 2006. The founder of the Company Mr. Rajeev Panse is a first generation entrepreneur having prior experience of working in large OEMs in India. ACPPL has three units of operations, two in Chakan near Pune and one at Pantnagar which cater to BAL and TML respectively. Recent results For the fiscal year ending March 31, 2010, ACPPL reported an OPBDITA of INR91.9 million on a revenue base of INR2.24 billion reflecting OPBDITA margin of 4.1%. In FY09, the company had reported OPBDITA of 82.4 million with revenues of INR1.46 billion. BANK OF RAJASTHAN: To Seek RBI's Nod for ICICI Bank Merger ---------------------------------------------------------- Bank of Rajasthan said on Thursday it will seek the Reserve Bank of India's approval for merging with the ICICI Bank, The Economic Times reports. BoR said it will send the necessary application along with supporting documents for the merger process, the report relates. Last month, the board of Bank of Rajasthan approved the merger with ICICI Bank, which offered to pay 188.4 rupees per share in an all-share deal. The Bank of Rajasthan Ltd. is an India-based private sector bank. The Bank operates in three business segments: treasury operations, banking operations and others/residual. The services provided by the Bank includes commercial banking, merchant banking, auxiliary services, consumer banking, deposit and money placement services, trusts and custodial services, international banking, private sector banking and depository. The other products provided by the Bank includes anywhere banking, Internet banking, mobile banking, life insurance, general insurance, mutual funds, depository services, credit cards, international debit cards, foreign remittances, Western Union money transfer, stamp franking, online shopping and lockers facility. * * * As reported in the Troubled Company Reporter-Asia Pacific on May 27, 2010, the Board of Directors of ICICI Bank Ltd. and Bank of Rajasthan Ltd at their respective meetings approved an in-principle all-stock amalgamation of BOR with ICICI Bank subject to due diligence and valuation by an independent valuer jointly appointed by both banks. The Board will consider the due diligence report and valuation report at a subsequent meeting. The proposal if approved by the Boards of both ICICI Bank and Bank of Rajasthan would then be placed before the shareholders of both banks for approval and would be submitted to Reserve Bank of India (RBI) for its consideration. The TCR-AP reported on June 3, 2010, that Moody's Investors Service said the proposed merger of ICICI Bank with Bank of Rajasthan will not have an impact on ICICI Bank's C- bank financial strength rating nor its Baa2 global local currency deposit rating and foreign currency senior unsecured debt rating. Over the longer term, Moody's expects ICICI Bank's franchise value to benefit from this merger but with no immediate positive impact on its ratings. Moody's noted that BoR's full-year results as of March 2010 recorded a net loss of INR1.02 billion (US$22.7 million) mainly due to higher credit costs and much higher employee expenses, while recording a capital adequacy ratio of 7.52%, lower than the 9% regulatory minimum. Moody's believes that ICICI Bank's strong Tier 1 position of 14% as of March 2010 gives it the capacity to absorb any possible losses stemming from BoR's balance sheet, without compromising its financial standing and its ratings. In addition, Moody's estimates that BoR's volume of net NPLs combined with its restructured loans account for less than 6% of ICICI Bank's FY2010 (year ending March 2010) pre-provision income. CHHATTISGARH STEEL: CRISIL Puts 'BB' Rating on INR30MM Term Loan ---------------------------------------------------------------- CRISIL has assigned its 'BB/Stable' rating to Chhattisgarh Steel Product's bank facilities. Facilities Ratings ---------- ------- INR50.0 Million Cash Credit BB/Stable (Assigned) INR30.0 Million Term Loan BB/Stable (Assigned) INR4.0 Million Proposed LT Bank BB/Stable (Assigned) Loan Facility The rating reflects CSP's modest scale of operations, limited operational efficiency vis-a-vis those of players with operations integrated into manufacturing billets and ingots, and susceptibility to intense competition in the steel industry and volatility in steel prices. These rating weaknesses are partially offset by CSP's moderate financial risk profile, marked by moderate gearing and healthy debt protection metrics, and its promoters' experience in the steel industry. Outlook: Stable CRISIL believes that CSP will continue to benefit from its promoters' industry experience and will maintain its financial risk profile, over the medium term. The outlook may be revised to 'Positive' if CSP significantly increases its revenues, while maintaining operating margin and debt protection metrics. Conversely, the outlook may be revised to 'Negative' if CSP's operating margin declines, working capital cycle lengthens, or gearing increases because of any debt-funded capital expenditure or sizeable withdrawals by partners. About Chhattisgarh Steel CSP, incorporated in 1988 by Mr. Suresh Agrawal and family as a partnership firm manufactures structural steel products such as mild-steel angles, channels, flats and bars. The firm's manufacturing unit is in Chhattisgarh. The unit's installed capacity has been increased from 13200 tonnes per annum (tpa) to 30000 tpa in 2009-10 (refers to financial year, April 1 to March 31). CSP reported a profit after tax (PAT) of INR4.3 million on net sales of INR148.8 million for 2008-09, against a PAT of INR2.3 million on net sales of INR146.7 million for 2007-08. EDQUEST WELFARE: CRISIL Rates INR147.50 Million Term Loan at 'D' ---------------------------------------------------------------- CRISIL has assigned its 'D' rating to Edquest Welfare Trust's term loan facility. The rating reflects delay by Edquest in servicing its term loan; the delay has been caused by the trust's weak liquidity. Facilities Ratings ---------- ------- INR147.50 Million Term Loan D (Assigned) Edquest's financial risk profile is weak because of the start-up nature of operations at its college. However, CRISIL believes that the trust will benefit from its experienced management. Edquest was set up in 2008 by Mr. Dhan Singh Bhadana with the objective of running educational institutions. Currently, the trust is running one college, Aravali Institute of Technology and Management (Aravali) that offers engineering and management courses. Aravali is affiliated to Maharshi Dayanand University (MDU), Rohtak (Haryana), and has obtained the necessary approvals from the All India Council for Technical Education. Aravali's campus, located in Faridabad (Haryana), occupies a total area of nearly 11 acres. The institute also provides hostel facilities (15 rooms operational currently) and transportation facilities to the students. Edquest reported a net loss of INR13 million on net sales of INR14.4 million for 2008-09 (refers to financial year, April 1 to March 31). KSHEERAABD CONSTRUCTIONS: CRISIL Rates INR30MM Cash Credit 'BB+' ---------------------------------------------------------------- CRISIL has assigned its 'BB+/Stable/P4+' ratings to Ksheeraabd Constructions Pvt Ltd's bank facilities. Facilities Ratings ---------- ------- INR30 Million Cash Credit BB+/Stable (Assigned) INR800 Million Bank Guarantee P4+ (Assigned) The ratings reflect KCPL's healthy financial risk profile, marked by low gearing, healthy debt protection metrics and adequate cash accruals, and the benefits that the company derives from its promoter's experience in the construction industry. These rating strengths are partially offset by KCPL's exposure to risks related to limited track record, intense competition in the construction industry, and geographical, segmental and customer concentration in revenue profile. Outlook: Stable CRISIL believes that KCPL will maintain its healthy financial risk profile on the back of low debt and moderate order book. The outlook may be revised to 'Positive' if KCPL substantially enhances its scale of operations and revenue diversity, and significantly improves its profitability. Conversely, the outlook may be revised to 'Negative' if the company's margins deteriorate steeply; or if it undertakes large debt-funded capital expenditure programme, leading to deterioration in its financial risk profile. KCPL is a private limited company set up in 2005 by Captain K. Kishan. Since its formation, the company undertakes bitumen (asphalt) and concrete road construction in Tamil Nadu. KCPL reported a provisional profit after tax (PAT) of INR35 million on net sales of INR1.39 billion for 2009-10 (refers to financial year, April 1 to March 31), against a PAT of INR28 million on net sales of INR0.81 billion for 2008-09. PREMIER MILK: ICRA Places 'LBB' Rating on INR57 Mil. Cash Credit ---------------------------------------------------------------- ICRA has assigned 'LBB' rating to INR57.0 million cash credit facility and INR67.6 million term loans of Premier Milk Foods Private Limited. The long term rating has been assigned stable outlook. The assigned rating is constrained by the limited track record of operations, low profitability and high debt levels resulting in stretched capital structure. The rating is also constrained by the exposure of the dairy industry to risks related to changes in government regulations. However, the rating is supported by promoters' experience in milk trading and their ability to build reasonable customer base in short span of time. Since the industry is characterized by low operating margins, ICRA expects the company's leverage to remain stretched. Higher than expected total debt level and low milk procurement quantity shall be the key rating sensitivity going forward. Incorporated in 2006, Premier Milk Foods Private Limited commenced commercial activities in December 2008. The company is based in Bareilly in Uttar Pradesh and is engaged in manufacturing skimmed milk powder, butter and ghee. PMFPL has installed capacity for processing 0.3 million litre per day. The promoter of the company Mr. Saurabh Agarwal had chilling centres in Aonla prior to establishing PMFPL. PUNJAB BASMATI: ICRA Assigns 'LBB' Rating on INR190 Mil. LT Loans ----------------------------------------------------------------- ICRA has assigned an 'LBB' rating to the INR190 million long term fund based working capital facilities and INR20 million term loan of Punjab Basmati Rice Limited. The rating carries stable outlook. ICRA has also assigned an A4 rating to INR5 million short term non fund based working capital facilities of PBRL. The ratings factor in PBRL's moderate scale of operations, its limited presence in the branded basmati rice segment and intensely competitive nature of the industry. The ratings also factor in its weak financial profile as reflected by moderate profitability (Operating Profit before Depreciation, Interest and Tax / Operating income of 7.8% and Net Profit / Operating Income of 2.5% in FY 2010), high working capital intensity (Net Working Capital / Operating Income of 61% in FY 2010), high gearing (Total Debt / Tangible Net Worth at 3.3 times as on March 31, 2010) and moderate Net Cash Accruals / Total Debt of 7% in FY 2010. However infusion of equity capital by the promoters to the tune of INR27 million in FY 2010 has led to deleveraging of company's balance sheet to an extent. Further, the ratings drive comfort from strengths of the company arising from its long track of operations in the basmati rice industry, planned equity infusion by the promoters in near future to provide more flexibility to the company's capital structure and the favourable demand ? supply dynamics for the basmati rice industry given the fact that India and Pakistan are the only suppliers of basmati rice in the world Punjab Basmati Rice Limited was incorporated by Mr. Kulwinder Makhani in 1995. The company's operations include milling of basmati paddy and processing of basmati rice. The company has setup its production facilities in Amritsar and has a milling capacity of 12 MTPH (Metric Tonnes per Hour) which translates into milling capacity of 72,000 tonnes per annum. The company reported an operating income of INR744.08 million and Profit after Tax of INR18.37 million in FY 2010. RAJ RATAN: ICRA Assigns 'LBB-' Rating on INR137MM Fund-Based Loans ------------------------------------------------------------------ ICRA has assigned an 'LBB-' rating to the INR 137 million fund- based limits/term loans of Raj Ratan Smelters Limited. The rating carries a stable outlook. ICRA has also assigned a short-term rating of A4 to INR13 million non-fund-based limits RRSL. The ratings take into account RRSL's modest scale of operations, cyclicality inherent in iron and steel business, fragmented nature of industry and RRSL's weak financial profile characterized by low profit margins and high gearing. The ratings, however, derive comfort from experience of the promoters in iron-and-steel manufacturing and favorable outlook for the industry in the short- to-medium term. While ICRA expects gradual improvement in the business profile of the company following the stabilization of operations at the newly acquired facilities, financial profile is expected to remain stressed in the near term due to significant debt burden. Raj Ratan Smelters Limited is a public limited company incorporated in 2007. The company is managed by Mr. Hira Lal Khatri, Mr. Sunil Khatri, and Mr. Jai Kishan Khatri, all of whom are directors in the company. RRSL started commercial operations in June 2008 and has been engaged in the manufacturing and sale of thermo mechanically treated (TMT) bars with the plant capacity of 36000 metric tonnes (MT) per annum at its plant in Kanpur, Uttar Pradesh. The company reported a net loss of INR21.64 million and an operating income of INR566.69 million for FY 2009. In FY10, as per the provisional financial statements, RRSL recorded operating income of INR715 million. SANGHVI INNOVATIVE: ICRA Assigns 'LB' Rating on INR135.5MM Loans ---------------------------------------------------------------- ICRA has assigned "LB" rating to the INR135.5 million Term Loans of Sanghvi Innovative Academy. The ratings are constrained by the low profitability, inadequate coverage indicators and an overall high indebtedness of the society resulting in high gearing. Given the limited financial flexibility, the society has not been able to service its bank obligations in a timely manner in the past. However the rating draws comfort from the stable fee based income and healthy occupancy levels Sanghvi Innovative Academy, registered in 2006, operates "Sanghvi Innovative Academy". The institute is located in Indore and affiliated to RGPV and DAVV. SIA offers undergraduate courses in engineering and post graduate courses in management under its B.E (Bachelor of Engineering) and MBA (Master of Business Management) courses approved by AICTE. SIA has a total sanctioned intake of 300 students per academic session. SATYA PRAKASH: ICRA Places 'LBB+' Rating on INR45MM Bank Debts -------------------------------------------------------------- ICRA has assigned a rating of 'LBB+' to the INR45 million fund based limits and INR50 million non fund based limits of Satya Prakash Builders Limited. The outlook on the rating is stable. The rating takes into account the experience of promoters in the civil construction business, positive demand outlook for the construction/infrastructure sector given the large investments planned in the country in the near to medium term and comfortable liquidity position of the company with positive free cash flows and moderate gearing levels. However, the rating is constrained by the small size of operations, which leads to limited economies of scale, and further accentuated by the volatility in the top line over the years, leading to unpredictability of cash flows. Further the fixed price nature of most contracts with the government clients exposes the company to price fluctuation risk. The company is also exposed to geographical concentration risk with regionalized nature of operations in the past and sectoral concentration risk with its major operations in building and civil construction works only. About Satya Prakash Satya Prakash Builders Limited was incorporated as a limited company in March 1989. The company is in the business of civil engineering construction and building works since its inception. SPBL is mainly a civil contractor registered with various departments of M.P Government like MP Public works Department (MPPWD), MP Irrigation department and central government organizations like Bharat Petroleum Corporation Limited, Military Engineering Services (MES) and Central Public Works Department (CPWD). The company has also executed civil works for private sector clients like Acme Consultants, Maharishi Shiksha Sansthan and SRM Foundation of India. The company is promoted by Mr. Naresh Grover and family. Besides SPBL, the promoters havebusinesses in hotel and hospitality (Hotel Satya Ashoka in Jabalpur), education trust (Satya Prakash Public School) and finance (S.P. Capital Investment Limited). SHIVALAY ISPAT: CRISIL Assigns 'B-' Rating on INR195.4MM Term Loan ------------------------------------------------------------------ CRISIL has assigned its 'B-/Stable' rating to Shivalay Ispat and Power Pvt Ltd's bank facilities. Facilities Ratings ---------- ------- INR100 Million Cash Credit B-/Stable (Assigned) INR195.4 Million Term Loan B-/Stable (Assigned) The rating reflects Shivalay's large working capital requirements, aggressive capital expenditure (capex) plans, marginal market share in the sponge iron and ingots segment, and vulnerability to cyclicality in the steel industry. These rating weaknesses are partially offset by Shivalay's moderate operating efficiency and benefits that the company derives from backward integration in its operations. Outlook: Stable CRISIL believes that Shivalay will maintain its moderate business risk profile over the medium term, backed by its moderate operating efficiencies. The company's financial risk profile is expected to remain constrained over the medium term because of significant capex being undertaken by the company. The outlook may be revised to 'Positive' if the company's financial risk profile and liquidity improve as a result of successful and timely stabilization of the ongoing projects. Conversely, the outlook may be revised to 'Negative' if the company reports low capacity utilisation, undertakes larger than expected debt-funded capex plans, or encounters significant delays in the stabilisation of the ongoing projects. About Shivalay Ispat Set up in 2004, Shivalay was acquired by the current promoters, Mr. Ram Kumar Sarda and Mr. Subhash Chandra Tulsiyan, in September 2007. The company, based in Raipur (Chhattisgarh), has capacity to manufacture 90,000 tonnes per annum (tpa) of sponge iron, and 75,000 tpa of ingots. Shivalay reported a profit after tax (PAT) of INR5 million on operating income of INR249 million for 2008-09 (refers to financial year, April 1 to March 31) against a PAT of INR15 million on operating income of INR115 million for 2007-08. SMV AGENCIES: ICRA Assigns 'LB-' Rating on Various Bank Facilities ------------------------------------------------------------------ ICRA has assigned an 'LB-' rating to the long term loan facilities and 'A5' to short term facilities of SMV Agencies Private Limited for a total amount of INR1.00 billion. The ratings are constrained by the inadequate profitability of real estate operations (on account of the ongoing sluggishness in the real estate market); constrained profitability of the garments division on account of stabilization issues and the vulnerability of the profitability of the beverages division to variations in the margins arising out of limited control on product pricing. Moreover, inventory build-up and consequent poor liquidity under the real estate division has led to poor debt repayment capacity and the company had to undertake debt restructuring. The rating is, however, supported by the diversified operations of the company; long business association with Raymond's and Pepsi (which are amongst the market major players) and favorable demand prospects for the beverages industry. The company's ability to achieve sales progress in a timely manner and mobilize cash advances under the real estate division would remain as key sensitivities for credit quality. SMV Agencies Private Limited has diversified business interests with presence in beverages, garments (Raymond's) and real estate. The company was promoted by SK Jaipuria Group (of Jaipuria family) in 1994 to take over the family operations (since 1955) of sole selling agency of Raymond's for the Delhi Territory. In 1996, the company diversified into beverages operations for bottling of the products of Pepsi. The company currently operates two Pepsi bottling plants. In 2001, the company also ventured into retail outlet/ franchisee operations of Raymond's in Delhi. It currently operates six Raymond's outlets in Delhi and one in Meerut city. In 2004, the company also diversified into real estate operations and is currently developing two real estate projects in Northern India. SYNFAB SALES: ICRA Puts 'LBB' Rating on INR163 Million Bank Debts ----------------------------------------------------------------- ICRA has assigned an 'LBB' rating to the INR163.0 million fund & non fund based limits of Synfab Sales & Industries Ltd. The assigned rating reflects SSIL's weak financial profile characterized by low operating margins and cash accruals, and moderately leveraged capital structure on account of debt funded capital expenditure incurred by the company in past. The rating also takes into account the competitive pressure due to the fragmented nature of the textile industry along with the modest scale of operations which deprives it from the benefits of economies of scale. The rating favorably factors in the promoter's experience in yarn business, locational advantages arising from its proximity to main consuming markets and availability of fiscal incentives which provide some benefit to the company. Synfab Sales & Industries Ltd was established in 1994 and took over of Synfab Sales Corporation (partnership firm) in the same year. The company is part of the Barasia Group which has been operating in the textile industry for more than five decades. SSIL is engaged in manufacturing of texturized yarn out of partially oriented yarn. It also acts as commission agent for RSR Mohta Spinning & Weaving Ltd. The manufacturing facilities of the company are located in Silvassa (U.T.) with total production capacity of 13,515 MTPA based on 80denier. The company has its registered office located in Andheri, Mumbai. The company incurred a net profit of INR 2.20 million on an operating income of Rs.653.4 million for the year ending March 31, 2009. ================= I N D O N E S I A ================= BUMI RESOURCES: Shareholders Approve Share Sale Plan to Repay Debt ------------------------------------------------------------------ PT Bumi Resources shareholders have approved a plan to sell new shares to creditors including China Investment Corporation, Credit Suisse Group and JPMorgan Chase Bank to help the company repay debt, Bloomberg News reports. Dileep Srivastava, director of Bumi, said the company expects to raise IDR4.6 trillion (US$508 million) by selling 1.94 billion new shares at IDR2,366 in September, Bloomberg relates. According to Bloomberg, the coal company's shares have slumped 21% this year, compared with a 16% gain in the Jakarta Composite index, on concern Bumi's outstanding debt is too high. The issue will cut the debt-to-equity ratio to 1.42 from 2.16 as of March 31. Long-term debt was US$3.6 billion, Bumi said on June 10. "We highlight the potential for CIC to come in to subscribe for the non-preemptive rights issue in exchange for debt retirement," said Adam Worthington, a Singapore-based analyst at Macquarie Capital Securities, which has an "outperform" rating on the stock, wrote in an e-mail to Bloomberg. "This could potentially lead to improving corporate governance." Bumi is in talks with creditors to sell the shares in exchange for debt, the company told Bloomberg. The issue is expected to conclude in September from an initially planned july. About Bumi Resources PT Bumi Resources Tbk (JAK:BUMI) -- http://www.bumiresources.com/ -- is an Indonesia-based company engaged exploration and exploitation of coal deposits, including coal mining, and oil exploration activities. It has four core business segments: coal mining, which comprises exploration and exploitation of coal deposits, including mining and selling coal; services, which represent marketing and management services; oil and gas, which covers the exploration of oil and gas, and gold, which covers the exploration of gold. The Company and its subsidiaries are operating in Indonesia, the United Kingdom, Japan and Australia. On July 17, 2008, the Company acquired the Australia-based Herald Resources Limited. * * * As reported in the Troubled Company Reporter-Asia Pacific on May 19, 2010, Moody's Investors Service placed under review for possible downgrade its Ba3 corporate family rating on PT Bumi Resources Tbk and on the senior secured bond issued by Bumi Capital Pte Ltd, which is wholly owned and guaranteed by Bumi. ========= J A P A N ========= JPM-JC8 TRUST: Moody's Downgrades Ratings on Four Certificates -------------------------------------------------------------- Moody's Investors Service has downgraded the ratings for the Class C through F Trust Certificates issued by JPM-JC8 Trust. The final maturity of the trust certificates will take place in April 2013. The individual rating actions are listed below. -- Class C, Downgraded to Ba2 from A2; previously, A2 Review for Possible Downgrade on May 14, 2010 -- Class D, Downgraded to B1 from Baa2; previously, Baa2 Review for Possible Downgrade on May 14, 2010 -- Class E, Downgraded to B2 from Baa3; previously, Baa3 Review for Possible Downgrade on May 14, 2010 -- Class F, Downgraded to B3 from Ba2; previously, Ba2 Review for Possible Downgrade on May 14, 2010 JPM-JC8 Trust, effected in June 2005, represents the securitization of four non-recourse loans and three specified bonds backed by real estate properties and properties in trust. Four non-recourse loans and one specified bond were paid/redeemed in full by their maturity date. Additionally, while the remaining two specified bonds have been partially redeemed by scheduled repayments, one of the loans -- backed by a retail building around the Tokyo metropolitan area -- has been under special servicing since April 2010. The other loan is backed by logistics facilities around the Tokyo metropolitan area. Moody's had placed the ratings on review for possible downgrade due to growing concerns about the need to 1) apply greater stress on its recovery assumptions for Loan 1 in view of the disposition price, and 2) apply further stress on collateral performance for Loan 2. In this review, Moody's received the asset strategy report as well as the latest appraisal report on Loan 1 from the asset adviser, examined the appraisal value, the special servicer's recovery policy, and the likelihood that the loan would be paid down in full. Having reconsidered the recovery stress on the property disposal, Moody's changed its average rent estimates to the level of current rents, resulting in cash flow that is 4% lower than in its initial assumption. In addition, after considering the asset strategy report on the loan, the estimated recovery stress on the property has been re- assessed at 37% less than the initial value. Moody's also confirmed occupancy for and cash flow from the collateral on Loan 2, and estimated its recovery stress at 29% less than initially assumed. Moody's will continue to monitor the performance of the properties and the asset adviser's refinancing and disposal activities in light of the upcoming maturities, as well as the special servicer's collection plans and strategies for the loan under special servicing. 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. =============== M A L A Y S I A =============== KENMARK INDUSTRIAL: Receives Letter of Demand for MYR50.98MM Debt ----------------------------------------------------------------- Kenmark Industrial Co. (M) Berhad said that it has received a letter of demand dated June 18, 2010, from Messrs Zul Rafique & Partners acting for CapOne Bhd and Malaysian Trustees Berhad for a sum of MYR50.98 million. The amount included the principal sum and interest accrued from an unsecured term loan facility of MYR50 million. CapOne and MTB had earlier purchased all the right, title and interest in and to the receivables and proceeds under the Facility together with all related security, payment and enforcement rights and all collections and proceeds under the Facility from EON Bank Berhad which had granted the Facility to the Company pursuant to a Facility Agreement dated September 9, 2005. The outstanding sum is payable within 14 days from the date of the letter. The company said the default was triggered under clause 12.1(g) of the Facility Agreement as a result of issuance of three letters of demand all dated May 12, 2010, by Messrs Zulpadli & Eham for and on behalf of Export-Import Bank of Malaysia Berhad. Messrs Zul Rafique & Partners will take all necessary steps to recover the sums due to CapOne and MTB, including but not limited to winding up proceedings against the Company if the Company fails to meet its obligation. The directors are unable to assess the business, financial and operational impact of this default to the Company and are unable to provide a solvency declaration as they are in the midst of appointing an advisor to assist in assessing the financial position of the Group. About Kenmark Industrial Kenmark Industrial Co. (M) Berhad is a Malaysia-based company. The Company is engaged in the manufacturing of computer workstations, cabinets, furniture; printing of packaging materials; the distribution of consumer products, and investment holding. The Company is also engaged in plastic injection for furniture parts, and assembly and distribution of liquid crystal display (LCD). It exports its products to the United States, Europe, Japan and Australia. The Company's wholly owned subsidiaries include Kenmark Paper Sdn. Bhd., which is engaged in manufacturing plastic parts for wooden furniture and cabinets, and investment holding; Kenmark (Labuan) Limited, which is engaged in international trading, commission agent and investment holding; Phoenix International Group Limited, which is engaged in trading in electronic devices, and Billion Dynamic Sdn. Bhd., which is engaged in the assembling and trading of electronic devices. * * * Kenmark Industrial Co. (M) Berhad has been classified a Practice Note 17 company based on the criteria set by the Bursa Malaysia Securities Bhd after it triggered Paragraph 2.1(f) of the Listing Requirements. The Company's major subsidiaries have defaulted on some of their banking facilities. The Independent Directors do not have access to the records of the Company and as such is unable to provide the exact date of default. The Independent Directors said they will not be able to provide a solvency declaration as the Independent Directors have no access to the accounting records of the Company with the resignation of the Finance & Administration manager and the sealing of the business premises. RAMUNIA HOLDINGS: Posts MYR16.41MM Net Income in April 30 Quarter ----------------------------------------------------------------- Ramunia Holdings Berhad disclosed in a filing with the Bursa Malaysia Securities Berhad its unaudited financial results for the quarter ended April 30, 2010. Ramunia posted a net income of MYR16.41 million for the three months ended April 30, 2010, compared with a net loss of MYR13.56 million for the same period in 2009. The profit after tax achieved for the quarter under review was due to the one off gain from the disposal of assets to Sime Darby Engineering Sdn. Bhd. for MYR20.72 million. For the current year quarter, the Company registered revenue of MYR11.88 million as compared to MYR86.68 million in the preceding year corresponding quarter. As of January 31, 2010, Ramunia's balance sheet showed total assets of MYR417.78 million, total liabilities of MYR297.22 million and total stockholders' equity of MYR120.56 million. A full-text copy of the Company's Quarterly Report is available for free at: http://ResearchArchives.com/t/s?655f About Ramunia Holdings Based in Kuala Lumpur, Malaysia, Ramunia Holdings Berhad is engaged in investment holding and provision of management services. Its wholly owned subsidiaries include Ramunia Fabricators Sdn. Bhd., which is engaged in fabrication of offshore oil and gas related structure and other related civil works; Ramunia International Holdings Ltd., which is engaged in offshore investment holding; Ramunia International Services Ltd., which is engaged in upstream activities of the oil and gas industry; Ramunia Optima Sdn. Bhd., which is engaged asset owning company, specifically holding ownership of marine vessels; Globe World Realty Sdn. Bhd., which is engaged in yard development and management of the Company's fabrication yards; Ramunia Training Services Sdn. Bhd., which is provision of training and related services, and O & G Works Sdn. Bhd., which is engaged in provision of management and administration services. * * * Ramunia Holdings Berhad has been considered as an Affected Listed Issuer under Practice Note No. 17 of the Bursa Malaysia Securities Berhad. The Company 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 October 31, 2009, 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. RHYTHM CONSOLIDATED: Application to Stay Winding-Up Order Allowed ----------------------------------------------------------------- The Court of Appeal of Malaysia has allowed Rhythm Consolidated Berhad's application to stay the winding-up order of February 4, 2010 for a period of six months from June 23, 2010, with the liberty to apply for extension. On February 25, 2010, the Company through its counsel, Messrs Phee, Chen & Ung, filed an application to stay the Winding-Up Petition No. (MT-4)-28-137-2008 granted by High Court of Malaya at Penang on February 4, 2010. About Rhythm Consolidated Based in Malaysia, Rhythm Consolidated Bhd is an investment holding company. The Company operates in five business segments: publishing, trading and distribution of books, paper stationery, printing paper and instruction manuals; manufacturing of music books, novels, educational books and paper stationery; import, wholesale and retail of paper products; marketing of diaries, organizers, leather and polyvinyl chloride (PVC) folders, wallets, bags, rain coats and others, and information and communication technology, which includes credit cards terminal development and solutions, and system application developer and system support. During the fiscal year ended June 30, 2007 (fiscal 2007), the Company acquired an additional 15% of interest in its associated company namely, Rhythm ICT Services Sdn. Bhd., formerly known as IQ Card Services Sdn Bhd, (ICT). As a result, the Company owns 55% interest in ICT, and ICT became a subsidiary of the Company. * * * As reported in the Troubled Company Reporter-Asia Pacific on May 1, 2009, Rhythm Consolidated Berhad was considered as an Affected Listed Issuer under Practice Note No. 17/2005 of the Bursa Malaysia Securities Berhad as the company was unable to provide a solvency declaration to Bursa as per the announcement of default in payment by Monosetia Sdn Bhd. ===================== P H I L I P P I N E S ===================== LEGACY GROUP: PDIC Pays 87.27% of Validated Claims -------------------------------------------------- The Philippine Deposit Insurance Corp. has paid PHP7.8 billion, or 87.27 percent of the validated claims from accounts of closed Legacy banks, The Daily Tribune reports. The Daily Tribune relates PDIC president Jose Nograles said that as of June 18, total claims reached 121,354 amounting to PHP13.83 billion and PDIC has approved PHP8.9 billion. It also validated 90.22% or 121,491 accounts of the total 134,653 accounts, he added. In monetary terms, the validated accounts amount to PHP12.56 billion from a total of PHP14 billion. Mr. Nograles said PDIC is also set to file five additional syndicated estafa cases against Legacy banks' officers soon, according to the Daily Tribune. To date, the report notes, PDIC has filed 19 estafa cases against Legacy Bank owner Celso de los Angeles and other officials of the bank. About Legacy Group Headquartered in Quezon City, Philippines, The Legacy Group -- http://www.legacy.com.ph/-- was a conglomerate of banks and pre- need companies. The banks offered various financial products and the pre-need firms offered pension, education and memorial plans. Other members of The Group provided credit cards, micro-lending and automotive financing services. * * * The Bangko Sentral ng Pilipinas in 2008 placed 13 Legacy-member rural banks under the receivership of the Philippine Deposit Insurance Corporation due to insolvency. The banks under receivership are Rural Bank of Paranaque; Rural Bank of San Jose (in Batangas); Pilipino Rural Bank (in Cebu); Rural Bank of Bais (in Negros Oriental province); Bank of East Asia (in Cebu); First Interstate Bank (Rural Bank of Kananga, Leyte), Inc.; Philippine Countryside Bank (in Cebu); Dynamic Bank (Rural Bank of Calatagan, in Batangas); San Pablo City Development Bank; Nation Bank (in Bacolod City); Rural Bank of DARBCI (General Santos); Bicol Development Bank (Legaspi City); and the Rural Bank of Carmen (Cebu). As reported in the Troubled Company Reporter-Asia Pacific on Jan. 27, 2009, the Philippine Daily Inquirer said that the Legacy Group allegedly amassed between PHP15 billion and PHP25 billion in deposits over the last three years due to an aggressive marketing scheme, which promised depositors 20% in annual returns. To address risk concerns, the Inquirer stated, the cash deposits were spread out through the Legacy chain of banks to keep each deposit within the maximum limit of the PDIC. PHILIPPINE BANK OF COMM: PDIC & Central Bank in Talks Over Sale --------------------------------------------------------------- The Philippine Daily Inquirer reports that the Philippine Deposit Insurance Corp. has asked the Bangko Sentral ng Pilipinas to convince Philippine Bank of Communication to sell the majority of its shares and settle its PHP7.6-billion debt. "We are talking with the BSP with regard this issue. The sale of a bank's shares is a bank-management matter, which is within the purview of the regulatory powers of the BSP," PDIC President Jose Nograles was quoted by the Inquirer as saying at a media briefing. The report relates the PDIC has asked the BSP for help because PBCom had failed to sell shares equivalent to 67% of the company as spelled out in a prior agreement. The disposal of at least 67% of PBCOm's shares was one of the conditions incorporated by the PDIC when it granted PHP7.64-billion financial assistance package to the bank in 2004, during the time it was encumbered with some PHP10 billion worth of soured assets. About PBCom Headquartered in Makati City, Philippines, Philippine Bank of Communications -- http://www.pbcom.com.ph/-- provides different products and services through its different divisions and it has a broad range of credit facilities, which are either denominated in local currency or foreign. Its Trust Division handles common trust funds, investment advisory accounts and employee benefit trusts. Aside from these, the bank also offers money market placements and traditional products such as peso deposits. * * * Fitch Ratings gave Philippine Bank of Communications an Individual Rating of 'D/E.' ================= S I N G A P O R E ================= ARMADA (SINGAPORE): Creditors' Meeting Set for July 7 ----------------------------------------------------- Armada (Singapore) Pte Ltd, which is in judicial management, will hold a meeting for its creditors on July 7, 2010, at 4:00 p.m., at 6 Shenton Way, Level 32 DBS Building Tower Two, Singapore 068809. The company's Judicial Managers are: Tam Chee Chong Jamil Raza Syed Tay Boon Suan 1 Harbourfront Avenue #07-07/08 Keppel Bay Tower Singapore 098632 EGO'S KTV: Creditors' Proofs of Debt Due July 9 ----------------------------------------------- Ego's KTV Entertainment Pte Ltd, which is in compulsory liquidation, requires its creditors to file their proofs of debt by July 9, 2010, to be included in the company's dividend distribution. The company's liquidator is: Aw Eng Hai C/o Foo Kon Tan Grant Thornton LLP 47 Hill Street #05-01 Singapore Chinese Chamber of Commerce & Industry Building Singapore 179365 FORSYTH PARTNERS: Creditors' Proofs of Debt Due July 9 ------------------------------------------------------ Forsyth Partners (Singapore) Pte Ltd, which is in compulsory liquidation, requires its creditors to file their proofs of debt by July 9, 2010, to be included in the company's dividend distribution. The company's liquidators are: Kon Yin Tong Wong Kian Kok Aw Eng Hai C/o Foo Kon Tan Grant Thornton LLP 47 Hill Street #05-01 Singapore Chinese Chamber of Commerce & Industry Building Singapore 179365 JURONG DATA: Creditors' Proofs of Debt Due July 9 ------------------------------------------------- Jurong Data Centre Development Pte Ltd, which is in creditors' voluntary liquidation, requires its creditors to file their proofs of debt by July 9, 2010, to be included in the company's dividend distribution. The company's liquidator is Tam Chee Chong 6 Shenton Way #32-00 DBS Building Tower Two Singapore 068809 OBC INTERNATIONAL: Creditors Get 100% Recovery on Claims -------------------------------------------------------- OBC International Trading Private Limited declared the first and final dividend on June 25, 2010. The company paid 100% to the received claims. The company's liquidator is: Shirley Lim 10 Anson Road #15-07 International Plaza Singapore 079903 SINEXIMCO PTE: Creditors Get 100% and 1.5% Recovery on Claims ------------------------------------------------------------- Sineximco Pte Ltd declared the second interim dividend on June 28, 2010. The company paid 100% to the received preferential and 1.5% for ordinary claims. The company's liquidators are: Chee Yoh Chuang Lim Lee Meng Stone Forest Corporate Advisory Pte Ltd 8 Wilkie Road #03-08, Wilkie Edge Singapore 228095 SINGWIN SERVICES: Court to Hear Wind-Up Petition on July 9 ---------------------------------------------------------- A petition to wind up the operations of Singwin Services Pte Ltd will be heard before the High Court of Singapore on July 9, 2010, at 10:00 a.m. Standard Chartered Bank filed the petition against the company on June 16, 2010. The Petitioner's solicitors are: Rajah & Tann LLP 9 Battery Road #25-01 Straits Trading Building Singapore 049910 TAY LONG: Court to Hear Wind-Up Petition on July 9 -------------------------------------------------- A petition to wind up the operations of Tay Long Kee Impex Pte Ltd will be heard before the High Court of Singapore on July 9, 2010, at 10:00 a.m. Malayan Banking Berhad filed the petition against the company on June 16, 2010. The Petitioner's solicitors are: Shook Lin & Bok LLP 1 Robinson Road #18-00 AIA Tower Singapore 048542 =============== T H A I L A N D =============== FORD MOTOR: Invests US$450 million in New Car Plant in Thailand --------------------------------------------------------------- The Bangkok Post reports that Ford Motor Co. is investing US$450 million (THB15 billion) to construct a new passenger vehicle plant in Thailand. According to the report, the plant will be located in Rayong and will begin manufacturing the next generation of Ford Focus cars in 2012 for the domestic and Asia-Pacific markets. It will also be able to produce a range of other vehicles. The plant will have an initial capacity of 150,000 units a year, of which 85% will be destined for markets outside of Thailand. "The region is arguably the world's most dynamic and there is no doubt it will continue to be a key driver of the future growth of Ford Motor," the report quoted Alan Mulally, global president and chief executive of Ford, as saying. 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. At December 31, 2009, the Company had $194.85 billion in total assets against $201.37 billion in total liabilities. Total deficit attributable to Ford Motor at December 31, 2009, was $7.82 billion. * * * As reported by the Troubled Company Reporter on June 7, 2010, Moody's released an Issuer Comment stating that the ratings and outlook of Ford Motor Company are being maintained following the company's announcement that it will end production of Mercury vehicles during the fourth quarter of this year. Ford's ratings include: B1 Corporate Family Rating and Probability of Default Rating; Ba1 secured rating; B2 unsecured rating; and SGL-2 Speculative Grade Liquidity Rating. The rating outlook is stable. The last rating action on Ford was an upgrade of the company's Corporate Family Rating to B1 on May 18, 2010. SIAM CITY BANK: Thanachart to Complete Acquisition Next Year ------------------------------------------------------------ Thanachart Bank Pcl expects to complete the acquisition of Siam City Bank by 2011, The Bangkok Post reports citing TBank senior executive vice-president Somjate Moosirilert. The Bangkok Post recalls that TBank completed a tender offer for Siam City Bank earlier this month and now controls 99.24% in the bank. An integration plan between the two banks will be submitted to bank regulators by the end of the year, with the merger completed by 2011, the report says. Thanachart Bank, 49% held by Bank of Nova Scotia and 51% by Thanachart Capital, bought a 47.58% stake in Siam City Bank from the central bank's Financial Institutions Development Fund in March. TBank submitted a tender for all outstanding SCIB shares at the same deal price of THB32.50 per share, and now plans to delist SCIB from the Stock Exchange of Thailand. The merger will create Thailand's fifth-largest bank, with assets of more than THB800 billion and a network of 677 branches nationwide. About Siam City Bank Siam City Bank Public Company Limited's -- http://www.scib.co.th/-- principal activity is the provision of commercial banking services which includes deposits, payments, credit cards, consumer loans and e-banking. Other activities include real estate development, computer consultancy and provision of capital market services. Operations are carried out primarily in Thailand. * * * As reported in the Troubled Company Reporter-Asia Pacific on Feb. 15, 2010, Fitch Ratings (Thailand) affirmed Siam City Bank Public Company Limited's Long-term Issuer Default Rating at 'BB' with a Stable Outlook, Short-term Issuer Default Rating at 'B', Individual Rating at 'D', Support Rating at '4', Support Rating Floor at 'B+', National Long-term at 'A-(tha)' with a Stable Outlook, National Short-term at 'F1(tha)', and National Subordinated debt at 'BBB+(tha)'. The ratings reflect the bank's still weak franchise and weak asset quality, though Fitch notes the latter is stabilizing. Moody's Investors Service also affirmed the Baa2/Prime-2 deposit ratings and D bank financial strength rating of Siam City Bank. SCIB's foreign currency senior unsecured debt rating of Baa2/Prime-3 and foreign currency subordinated debt ratings of Baa3/Prime-3 have also been affirmed. The outlook for all ratings is stable. ********* 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. 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