/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/110111.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, January 11, 2011, Vol. 14, No. 7 Headlines A U S T R A L I A AMBULANCE PRIVATE: Blames Government as Firm Faces Insolvency * AUSTRALIA: Queensland Hotels Face Receivership * AUSTRALIA: 80 Tasmanian Firms Go Into Administration, ASIC Says C H I N A SINOBIOMED INC: Issues 10 Million Shares to Michael Tan H O N G K O N G ALIOTH LIMITED: Commences Wind-Up Proceedings ASIA GAIN: Keung and Wai Appointed as Liquidators ASSOCIATION OF CERTIFIED: Lau Chi Yuen Appointed as Liquidator BAX GLOBAL: Commences Wind-Up Proceedings CREE LED: So Kwok Keung Keith Appointed as Liquidator DAEWOO HK: Lai and Haughey Step Down as Liquidators DOBHE LIMITED: Commences Wind-Up Proceedings EAGLE'S EYE: Tam and Lok Appointed as Liquidators HANIL LEASING: Kim Chan Su Appointed as Liquidator QI DEVELOPMENT: Seng and Lo Appointed as Liquidators I N D I A AGL POLYFIL: CRISIL Assigns 'D' Rating to INR225MM Term Loan ANTHEM BIOSCIENCES: CRISIL Reaffirms 'BB' Rating on Cash Credit B.D. TEXTILE: CRISIL Reaffirms 'B+' Rating on INR110MM Cash Credit FLEMING LABORATORIES: CRISIL Assigns 'D' Rating to INR142.9MM Loan JSK METALEX: CRISIL Assigns 'B+' Rating to INR330 Mil. Term Loan KOTHARI FOODS: CRISIL Assigns 'BB' Rating to INR2MM Cash Credit KUNDIL ALLOYS: CRISIL Reaffirms 'B-' Rating on INR1.6MM LT Loan KUNDIL ISPAT: CRISIL Reaffirms 'B-' Rating on INR87.5M Cash Credit KUNDIL ROLLING: CRISIL Reaffirms 'B-' Rating on INR90M Cash Credit KUNDIL SPONGE: CRISIL Reaffirms 'D' Rating on INR168.5MM LT Loan MIL INDUSTRIES: Fitch Affirms 'BB-' National Long-Term Rating PRIJAI HEAT: CRISIL Downgrades Rating on INR82.4MM Term Loan SAGAR CEMENTS: CRISIL Cuts Rating on INR864MM Cash Credit to 'BB' SAMRUDDHI INDUSTRIES: CRISIL Reaffirms 'BB-' Rating on Cash Credit STATIONERY POINT: CRISIL Cuts Rating on INR375MM Loan to 'B-' J A P A N JAPAN AIRLINES: Sacked Pilots and Cabin Attendants to Sue JAL JAPAN AIRLINES: To End Joint IT Venture With IBM Japan JAPAN AIRLINES: Inks Code Sharing Agreement With China Southern SHINGINKO TOKYO: Governor Denies Share Sale to H.I.S. Affiliate N E W Z E A L A N D JP & BM HOLDINGS: Faces Liquidation Over Unpaid Debts P H I L I P P I N E S * Moody's Gives Positive Outlook on Seven Philippine Banks * Moody's Gives Positive Outlook on the Philippines 'Ba3' Rating S I N G A P O R E CHINA HEPING: Court to Hear Wind-Up Petition on January 14 GLOBAL CONNECT: Creditors' Proofs of Debt Due February 7 HOLZ-HER ASIA: Court to Hear Wind-Up Petition on January 21 HONGXIN CHEMICALS: Creditors' Proofs of Debt Due February 7 INFINIO GROUP: Court to Hear Wind-Up Petition on January 21 KCH GROUP: Court Enters Wind-Up Order NIPPON SP: Members and Creditors' Meeting Set for January 17 SEMBAWANG MUSIC: Creditors Get 100% & 8.12% Recovery on Claims T A I W A N AMERICAN INT'L: Questioned by U.S. Regulators Over AIA IPO X X X X X X X X * BOND PRICING: For the Week January 3 to January 7, 2011 - - - - - ================= A U S T R A L I A ================= AMBULANCE PRIVATE: Blames Government as Firm Faces Insolvency ------------------------------------------------------------- ABC News reports that Ambulance Private, Tasmania's largest private ambulance service, is facing insolvency. Ambulance Private's owner, David Watson, blames the State Government and said Ambulance Tasmania will need millions of dollars to pick up the thousands of patients his company transports every year, ABC News says. ABC News discloses that a State Government review in 2007 recommended Ambulance Tasmania stop outsourcing non-emergency patient transport to private companies and set up its own business unit. As a result, Ambulance Private's managing director David Watson said his company will go under within a week, according to ABC News. According to ABC News, Mr. Watson said if his company fails, Ambulance Tasmania will have to pick up an extra thousand patients a month. Ambulance Private is believed to be Australia's only fully private owned Ambulance service. Ambulance Private has 70 staff and 18 ambulances, which cover sporting events and transport non- emergency patients. * AUSTRALIA: Queensland Hotels Face Receivership ------------------------------------------------ Josh Robertson at the Courier Mail reports that up to 60 Queensland pubs will struggle to convince banks they can trade out of trouble amid a nationwide financing crunch on hotels. The report relates that inflated prices paid during the property boom of the mid-2000s are coming back to bite industry "young bucks" whose risk-taking is now on the nose for financiers worried about sliding values. The Queensland Hotels Association's Justin O'Connor denied the industry was facing a spate of foreclosures, with the bank most affected, BankWest, committed to these businesses continuing "to operate as going concerns," according to Courier Mail. "There's not going to be a fire sale in Queensland," the Courier Mail quoted Mr. O'Connor as saying. However, the report notes, industry talk has it that BankWest has already placed enough pubs into receivership that one of its subsidiaries had become the state's single largest creditor to liquor giant Foster's. Courier Mail relates that one industry source suggested up to 80% of the Queensland hotels on BankWest's books had breached debt covenants as falling revenues dragged down the values of pubs. Mr. O'Connor, Courier Mail notes, said that more than 5% of Queensland's 1150 pubs or taverns were "under financial pressure". These were mostly small operators struggling with debt agreements after paying too much during the boom, Mr. O'Connor added. "Typically, the blokes who get into trouble are basically the young bucks who put everything on the line. They might have half- a-million dollars between them, they go and borrow AU$5 million from a bank at 80% lending ratio and then work their asses off and hope for the best. If the tide turns against them, like the GFC or the value of the lease turns, your margin for error is very small," Courier Mail quoted Mr. O'Connor as saying. BankWest moved last year to wind up the business running Brisbane's Exchange and GPO hotels before placing it into receivership, Courier Mail recounts. The report relates that Allied Hospitality, which borrowed heavily to redevelop the Exchange, struggled to maintain repayments amid low weekday turnover and annual rents of more than AU$2.2 million. Both hotels were acquired by new owners last month, with BankWest taking a hit on the previous loan, the report says. Mr. O'Connor said banks wanted troubled pubs in Queensland "to trade out of their financial concerns," Courier Mail adds. * AUSTRALIA: 80 Tasmanian Firms Go Into Administration, ASIC Says ----------------------------------------------------------------- ABC News reports that Tasmanian Liberals want more assistance for the increasing number of failing small businesses. Figures released by the Australian Securities and Investments Commission show 80 Tasmanian businesses went into administration in the 12 months to last October, according to ABC News. According to the report, the Shadow Minister for Small Business, Adam Brooks, said that is the highest in a decade. "There are 37,000 businesses out there and most of them are on Struggle Street and the Government doesn't seem to care. It's very tough, they've got soaring electricity prices, they've got the water and sewerage rates debacle, they've got continued wage pressure plus we're in a retail recession," ABC News quoted Mr. Brooks as saying. Local companies should be chosen over interstate bidders for Government contracts, he added. Mr. Brooks, the report notes, said: "The global financial crisis obviously had an impact on business but again it's about the government setting economic conditions that will help business and they don't seem to do that with the programs that they've got in place, they don't help the local fish and chip shop, or the local corner store or the hairdresser." The acting Economic Development Minister, Lin Thorp, issued a statement saying the government already provided a number of programs to support small businesses, and would continue to develop strategies, ABC News adds. ========= C H I N A ========= SINOBIOMED INC: Issues 10 Million Shares to Michael Tan ------------------------------------------------------- On December 6, 2010, Sinobiomed Inc. entered into a settlement and conversion of debt letter agreement, dated December 2, 1010, with Michael Tan, whereby Mr. Tan agreed to convert the debt of US$561,370 owing to him from the Company into 10,000,000 shares of the Company's common stock. A full-text copy of the Settlement and Conversion Agreement is available for free at: http://ResearchArchives.com/t/s?71e3 On December 29, 2010, Sinobiomed issued the 10,000,000 shares of common stock to Mr. Michael Tan with respect to the Settlement and Conversion Agreement. On the same day, the Company also issued 3,400,000 shares of its common stock to two offshore individuals due to the third closing of its private placement at US$0.015 per share for total gross proceeds of US$51,000. The Company believes that the issuances are exempt from registration under Regulation S or Section 4(2) under the Securities Act of 1933, as amended, as the securities were issued to the individuals through offshore transactions which were negotiated and consummated outside of the United States. In relation to the Company's private placement offering at US$0.015 per share, the Company have paid a cash finder's fee in the amount of US$4,080 to one individual in Hong Kong. The Company said proceeds from the transactions have been or will be used for general corporate purposes. About Sinobiomed Sinobiomed Inc. formerly CDoor Corp. (OTC BB: SOBM) -- http://www.sinobiomed.com/-- was incorporated in the State of Delaware. The Company is a Chinese developer of genetically engineered recombinant protein drugs and vaccines. Based in Shanghai, Sinobiomed currently has 10 products approved or in development: three on the market, four in clinical trials and three in research and development. The Company's products respond to a wide range of diseases and conditions, including: malaria, hepatitis, surgical bleeding, cancer, rheumatoid arthritis, diabetic ulcers and burns, and blood cell regeneration. Going Concern Doubt Schumacher & Associates Inc., in Denver, expressed substantial doubt about Sinobiomed Inc.'s ability to continue as a going concern after auditing the company's consolidated financial statements for the year ended December 31, 2007. The auditing firm reported that the Company has experienced losses since commencement of operations and has negative working capital and a stockholders' deficit. The Company is in the process of researching, developing, testing and evaluating proposed new pharmaceutical products and has not yet determined whether these products are technically or economically feasible. Management's plan is to actively search for new sources of capital, including government and non- government grants toward research projects and new equity investment. ================ H O N G K O N G ================ ALIOTH LIMITED: Commences Wind-Up Proceedings --------------------------------------------- Members of Alioth Limited, on December 29, 2010, passed a resolution to voluntarily wind up the company's operations. The company's liquidator is: Kong Chi How Johnson 25th Floor, Wing On Centre 111 Connaught Road Central, Hong Kong ASIA GAIN: Keung and Wai Appointed as Liquidators ------------------------------------------------- Stephen Liu Yiu Keung and David Yen Ching Wai on December 21, 2010, were appointed as liquidators of Asia Gain Investment Limited. The liquidators may be reached at: Stephen Liu Yiu Keung David Yen Ching Wai 62/F, One Island East 18 Westlands Road Island East, Hong Kong ASSOCIATION OF CERTIFIED: Lau Chi Yuen Appointed as Liquidator -------------------------------------------------------------- Mr. Lau Chi Yuen on December 31, 2010, was appointed as liquidator of The Association of Certified Insurance Financial Advisers Limited. The liquidator may be reached at: Mr. Lau Chi Yuen 5/F, Lee Kong Commercial Building 115 Woosung Street Jordan, Kowloon Hong Kong BAX GLOBAL: Commences Wind-Up Proceedings ----------------------------------------- Members of Bax Global Limited, on December 29, 2010, passed a resolution to voluntarily wind up the company's operations. The company's liquidator is: Kong Chi How Johnson 25th Floor, Wing On Centre 111 Connaught Road Central, Hong Kong CREE LED: So Kwok Keung Keith Appointed as Liquidator -------------------------------------------------------- So Kwok Keung Keith on December 28, 2010, was appointed as liquidator of Cree LED Lighting Solutions Hong Kong Limited. The liquidator may be reached at: So Kwok Keung Keith 22nd Floor, Tai Yau Building 181 Johnston Road Wanchai, Hong Kong DAEWOO HK: Lai and Haughey Step Down as Liquidators --------------------------------------------------- Lai Kar Yan (Derek) and Darach E. Haughey stepped down as liquidators of Daewoo Hong Kong Limited on December 29, 2010. DOBHE LIMITED: Commences Wind-Up Proceedings -------------------------------------------- Members of Dobhe Limited, on December 29, 2010, passed a resolution to voluntarily wind up the company's operations. The company's liquidator is: Kong Chi How Johnson 25th Floor, Wing On Centre 111 Connaught Road Central, Hong Kong EAGLE'S EYE: Tam and Lok Appointed as Liquidators -------------------------------------------------- Tam Yau Shing Franky and Lok Wai on December 31, 2010, were appointed as liquidators of The Eagle's Eye International Limited. The liquidators may be reached at: Tam Yau Shing Franky Lok Wai Suite 806, 8/F Devon House, Taikoo Place 979 King's Road Quarry Bay, Hong Kong HANIL LEASING: Kim Chan Su Appointed as Liquidator -------------------------------------------------- Kim Chan Su on December 28, 2010, was appointed as liquidator of Hanil Leasing & Finance (Hong Kong) Limited. The liquidator may be reached at: Kim Chan Su Rooms 1806-1808, 18/F Tower II, Admiralty Centre 18 Harcourt Road Admiralty, Hong Kong QI DEVELOPMENT: Seng and Lo Appointed as Liquidators ---------------------------------------------------- Natalia K M Seng and Susan Y H Lo on December 24, 2010, were appointed as liquidators of QI Development Company Limited. The liquidators may be reached at: Natalia K M Seng Susan Y H Lo Level 28, Three Pacific Place 1 Queen's Road East Hong Kong ========= I N D I A ========= AGL POLYFIL: CRISIL Assigns 'D' Rating to INR225MM Term Loan ------------------------------------------------------------ CRISIL has assigned its 'D/P5' rating to AGL Polyfil Pvt Ltd's bank facilities. Facilities Ratings ---------- ------- INR137.50 Million Cash Credit D (Assigned) INR225.00 Million Term Loan D (Assigned) INR9.70 Million Letter of Credit P5 (Assigned) & Bank Guarantee INR0.30 Million Bank Guarantee P5 (Assigned) The rating reflects delay by AGL in servicing its term loan obligations; the delays have been caused by AGL's weak liquidity on account of delay in the commissioning of its polyester staple fibre (PSF) plant. The rating reflects AGL's weak financial risk profile and limited pricing power owing to dominance of large players. These rating weaknesses are partially offset by experience of AGL's promoters in trading of PSF and recycled polyethylene terephthalate (PET) bottles. About AGL Polyfil AGL, set up in 1989, is a joint venture between Mr. Sunil Kumar Agarwal and his brother-in-law, Mr. Suresh Kumar Agarwal, to manufacture regenerated PSF. The plant will have capacity of 40 tonnes per day (TPD) to manufacture fine denier and hollow fibre ranging between 1.5-15 deniers primarily through use of recycled PET flakes. For this, AGL is integrating backwards by setting up a 72-TPD PET flakes unit which will use scrap PET bottles as raw material. The project is in commissioning stage and its trial run has already started. Originally, the company expected the project to commence commercial production by end of September 2010. However, the project got delayed and commercial operations have begun in November 2010. ANTHEM BIOSCIENCES: CRISIL Reaffirms 'BB' Rating on Cash Credit --------------------------------------------------------------- CRISIL has revised its rating outlook on the long-term bank facilities of Anthem Biosciences Pvt Ltd (Anthem) to 'Stable' from 'Positive', while reaffirming the rating at 'BB'; the rating on the short-term facilities has been reaffirmed at 'P4+'. Facilities Ratings ---------- ------- INR62.5 Million Cash Credit BB/Stable (Reaffirmed; Outlook Revised from 'Positive') INR192.5 Million Long-Term Loan BB/Stable (Reaffirmed; Outlook Revised from 'Positive') INR15 Million Letter of Credit P4+ (Reaffirmed) INR7.5 Million Bank Guarantee P4+ (Reaffirmed) The outlook revision reflects CRISIL's belief that Anthem's credit risk profile will not improve as expected earlier because of pressure on its profitability and ongoing debt-funded capital expenditure (capex) for its biotechnology research division. Anthem's revenues have remained stagnant, while its profitability for the six months ended September 30, 2010, has declined because of rationalization of research and development (R&D) expenditure by its clients. The ratings continue to reflect Anthem's short track record, and limited financial flexibility because of small net worth and relatively large debt. These rating weaknesses are mitigated by the experience of Anthem's promoters in the biotechnology and early-stage drug discovery research segments, and the company's linkages with leading pharmaceutical and biotechnology players. Outlook: Stable CRISIL believes that Anthem's financial risk profile will remain commensurate with its rating category. The outlook may be revised to 'Positive' if there is significant improvement in Anthem's capital structure and cash accruals over the medium term supported by increase in contribution from its upcoming biotechnology facility, which is expected to commence commercial operations in 2011-12 (refers to financial year, April 1 to March 31). Conversely, the outlook may be revised to 'Negative' if Anthem faces significant cost and time overruns in its ongoing project, or deterioration in its revenues, profitability, or capital structure. About Anthem Biosciences Incorporated in June 2006, Anthem began commercial operations in October 2007. The company provides early-stage drug discovery services to international innovator pharmaceutical and biotechnology companies. Anthem is an export-oriented unit, with facilities in Bengaluru. B.D. TEXTILE: CRISIL Reaffirms 'B+' Rating on INR110MM Cash Credit ------------------------------------------------------------------ CRISIL's rating on the cash credit facility of B.D. Textile Mills Pvt Ltd continues to reflect BDTMPL's weak financial risk profile marked by a low net worth, high gearing, and weak debt protection indicators, and its low operating profitability. These weaknesses are partially offset by the benefits that BDTMPL derives from its established market position and promoters' extensive industry experience. Facilities Ratings ---------- ------- INR110.0 Million Cash Credit B+/Stable (Reaffirmed) Outlook: Stable CRISIL believes that BDTMPL will continue to benefit over the medium term from its well-diversified customer base and promoters' extensive industry experience. The outlook may be revised to 'Positive' if the company improves its financial risk profile, led by significant equity infusion by promoters, or if it improves its operating margin while maintaining its revenue growth. Conversely, the outlook may be revised to 'Negative' if the company's financial risk profile deteriorates most likely because of weak liquidity or significant debt-funded capital expenditure. Update BDTMPL's overall rating remains constrained by its weak financial risk profile. The company's net sales improved to INR476.2 million during 2009-10 (refers to financial year, April 1 to March 31), as compared with INR438.2 million in the previous year; however, its low operating profit margin of 4.2 per cent resulted in correspondingly low net cash accruals of INR4.3 million for the year. This led to low accretion to reserves, causing the company's net worth to remain small at around INR52 million as on March 31, 2010. Increased borrowings for meeting working capital requirements caused BDTMPL's gearing to deteriorate to 2.94 times by the end of 2009-10, as against 2.3 times a year earlier. The company's debt protection metrics have continued to be weak with the net cash accruals to total debt ratio at 3 per cent and the interest coverage ratio at 1.29 times for the year ended March 31, 2010. BDTMPL reported a profit after tax (PAT) of INR2.4 million on net sales of INR476.2 million for 2009-10, against a PAT of INR1.7 million on net sales of INR438.2 million for 2008-09. About B.D. Textile Set up in 1975 in Rajasthan, BDTMPL manufactures textile fabrics (dyed 2 x 2 rubia, chiffon, terry rubia, and poplin) mainly used as blouse material for women. The company's day-to-day operations are managed by Mr. Ganpatraj Chopra and his brother, Mr. Devichand Chopra, with assistance from Mr. Rajesh Chopra, Mr. Vikas Chopra, and Mr. Pankaj Chopra. The company has in-house facilities for processing (mercerising, texturising, dyeing, and pressing) grey fabric, whereas it outsources its spinning and weaving activities to its associate concerns, Bachraj Weaving and Manufacturing Mills and Maha Padmawati Textile Service Pvt Ltd in Maharashtra. FLEMING LABORATORIES: CRISIL Assigns 'D' Rating to INR142.9MM Loan ------------------------------------------------------------------ CRISIL has assigned its 'D/P5' rating to the bank facilities of Fleming Laboratories Ltd. Facilities Ratings ---------- ------- INR142.90 Million Term Loan D (Assigned) INR2.10 Million Proposed Long-Term D (Assigned) Bank Loan Facility INR150.00 Million Packing Credit/ D (Assigned) EBD/EBP/EBN INR35.00 Million Inland/Import P5 (Assigned) Letter of Credit INR5.00 Million Bank Guarantee P5 (Assigned) The rating reflects instances of delay by Fleming in servicing its term loan; the delays have been caused by the company's weak liquidity. Fleming has a below-average financial risk profile, marked by high gearing and modest debt protection metrics; furthermore, the company has large working capital requirements and an average scale of operations. However, Fleming benefits from its experienced management team, and the geographical and product diversity in its revenue profile. About Fleming Laboratories Incorporated in 1992, Fleming was promoted by Mr. B Ravishankar and his family members. The company manufactures active pharmaceutical ingredients (APIs). It manufactures about 20 APIs in different therapeutic segments at its manufacturing units located in Jeedimetla, Hyderabad, and Navapet Village, Medak District (Andhra Pradesh). Its key products are carisoprodol, cinnarizine, risedronate, and meclizine. It has two formulation patent products, ibandronate sodium monohydrate and risedronate sodium hemipentahydrate. The company has filed for patents for its new molecule strontium ranelate during August 2010. About 85 per cent of its revenues come from the export markets, covering over 80 countries, and the remaining from within India. Fleming is setting up a new manufacturing unit in Navapet Village, for a cost of about INR160 million; the company intends to obtain certification from U S Food and Drug Administration for this facility. The unit is expected to commence operations by the end of June 2011. Fleming reported a profit after tax (PAT) of INR32 million on net sales of INR434 million for 2009-10 (refers to financial year, April 1 to March 31), against a PAT of INR8 million on net sales of INR413 million for 2008-09. JSK METALEX: CRISIL Assigns 'B+' Rating to INR330 Mil. Term Loan ---------------------------------------------------------------- CRISIL has assigned its 'B+/Stable' rating to the term loan facility of JSK Metalex Pvt Ltd. Facilities Ratings ---------- ------- INR330.0 Million Term Loan B+/Stable (Assigned) The rating reflects JSKM's exposure to implementation and demand risks associated with its ongoing pipe manufacturing project, and to limited financial flexibility because of a small net worth and expected large working capital requirements. The impact of these weaknesses is mitigated by JSKM's expected operational efficiency, which includes ample availability of raw material and subsidised power because of location advantage. Outlook: Stable CRISIL believes that JSKM will remain exposed to risks related to timely commissioning and stabilisation of its facility. CRISIL also believes that funding support from the promoters will help the company to service its debt in a timely manner. The outlook may be revised to 'Positive' if JSKM commissions its project as per schedule and establishes a track record of healthy cash flows from the project. Conversely, the outlook may be revised to 'Negative' in case of time or cost overrun in the implementation of the company's ongoing project resulting in delays in cash accruals, which will ultimately lead to pressure on timely servicing of debt. About JSK Metalex JSKM was incorporated in 2009 by Mr. Vineet Chhabra and his family to enter into the pre-galvanised and galvanised pipe segments. The company is currently setting up a manufacturing unit at Raipur (Chhattisgarh), with an investment of INR522 million (including margins money for working capital) to be funded through a term loan of INR330 million. The manufacturing unit will be backward integrated with a hot-rolled strip manufacturing capacity of 30,000 tonnes per annum. The capacity for manufacturing pre- galvanised and galvanised pipes is expected to be 18240 tonnes and 18720 tonnes respectively on a two-shift basis. The project is expected to become operational by June 2011. KOTHARI FOODS: CRISIL Assigns 'BB' Rating to INR2MM Cash Credit --------------------------------------------------------------- CRISIL's has assigned 'BB/Stable/P4+' to the bank facilities of Kothari Foods & Fragrances (KFF), which is a part of the Rotomac group. Facilities Ratings ---------- ------- INR2.0 Million Cash Credit BB/Stable (Assigned) INR500.0 Million Letter of Credit P4+ (Assigned) The rating reflects Rotomac Group exposure to significant debtor risk, with unstable customer and product profiles, and to risks related to volatility in foreign exchange (forex) rates. The rating also factors in Rotomac group's moderate financial risk profile, marked by substantial total outside liabilities. These weaknesses are partially offset by the group's established market position in the writing instrument (pen) industry and low inventory risk in the trading business. For arriving at the ratings, CRISIL has combined the business and financial risk profile of KFF, Rotomac Global Pvt Ltd (RGL) and its subsidiary Crown Alba Writing Instruments India Pvt Ltd (Crown Alba), Rotomac Polymers Pvt Ltd (RPPL), Rotomac Exports Pvt Ltd (REL) and Rotomac Exim Pvt Ltd (REPL). This is because these entities, collectively referred to herein as the Rotomac group, are in the same line of business, and have a common management, and the same suppliers and customers. Outlook: Stable CRISIL believes that the Rotomac group's business risk profile will remain constrained over the medium term, given the significant exposure to debtor and forex fluctuation risks. The outlook may be revised to 'Positive' if the group improves its business model and established sound risk management policies with respect to debtor and forex fluctuation risks. Conversely, the outlook may be revised to 'Negative' in case of a significant delay in receivable collection or large forex loss, leading to liquidity pressure, or in case of exposure to the real estate venture of the group. About the Group KFF was incorporated in 2005-06 (refers to financial year, April 1 to March 31) for the sale of Gutkha and Pan Masala. RGL, the flagship company of the Rotomac group was set up by Mr. M M Kothari in 1992. It started operations by manufacturing pens. Since then, it has diversified into the business of trading in agricultural commodities, primarily soya meal and Brazilian wheat. Currently, RGL is managed by the founder's son, Mr. Vikram Kothari, who also et up REL in 2002 to trade in agricultural products. He established Crown Alba in March 2004, to manufacture pens for the export markets. In 2009, Mr Vikram Kothari set up REPL along with Mr. Suleman Vimanwala, who has experience in the timber and other bulk commodities trading business. REPL is also involved in the trading business. RGL also provides technical support to its 49:51 joint venture, Rotorina Pen Manufacturing PLC, with the Ethopia-based Rina International. The promoter also started a new company RPPL in 2009-10, primarily for import and sale of polymers in the domestic market and for physically trading in polymers. For 2009-10, Rotomac group reported a profit after tax (PAT) of INR80 million on net sales of INR27.13 billion, against a PAT of INR5.0 million on net sales of INR18.8 billion for 2009-10. KUNDIL ALLOYS: CRISIL Reaffirms 'B-' Rating on INR1.6MM LT Loan --------------------------------------------------------------- CRISIL's ratings on the bank facilities of Kundil Alloys Pvt Ltd (Kundil Alloys; part of the Kundil group) continue to reflect the Kundil group's weak liquidity?there have been instances of delays in debt servicing by the group companies. The ratings also factor in the group's exposure to competition in the thermo-mechanically treated (TMT) steel bar industry, susceptibility to downturns in end-user industries and to volatility in steel prices, and moderate financial risk profile. These rating weaknesses are partially offset by the group's moderate operating efficiency because of its semi-integrated operations, and industry experience of its promoters. Facilities Ratings ---------- ------- INR95.0 Million Cash Credit B-/Negative (Reaffirmed) INR1.6 Million Long-Term Loan B-/Negative (Reaffirmed) INR9.0 Million Letter of Credit P4 (Reaffirmed) INR29.0 Million Bank Guarantee P4 (Reaffirmed) For arriving at its ratings, CRISIL has combined the business and financial risk profiles of Kundil Sponge Iron Ltd (manufactures sponge iron), Kundil Alloys and Mandovi Metals Pvt Ltd (both manufacture mild-steel [MS] ingots), Kundil Rolling Mills Pvt Ltd and Kundil Ispat Ltd (both manufacture TMT bars), and Kundil Infrastructure Co Ltd (setting up a railway siding). This is because these entities, herein collectively referred to as the Kundil group, have fungible cash flows, and common promoters and management. Furthermore, all the group entities, except Kundil Infrastructure Co Ltd, are engaged in the same line of business with strong operational linkages with each other. Outlook: Negative CRISIL believes that the Kundil group's liquidity will remain weak over the medium term because of large working capital requirements and large debt repayment obligations. The rating may be downgraded if there is more-than-expected weakening in the group's liquidity, leading to continuously overdrawn bank lines. Conversely, the outlook may be revised to 'Stable' if the group's liquidity improves significantly. Update In 2009-10 (refers to financial year, April 1 to March 31), the Kundil group's performance has been in line with CRISIL's expectation. The group's liquidity remains weak because of small cash accruals and large working capital requirements. Cash accruals have been subdued because of low operating profitability. The group's large working capital requirements arise from its large inventory storage requirements and delays in collection of receivables from customers, particularly, dealers. These factors have led to the group fully utilizing or overutilising its fund- based limits; a few group entities have also delayed in servicing term debt. About the Group The Kundil group is a family-run business, promoted by Mr. Surajit Baruah. The group is currently managed by Mr. Surajit Baruah and Mr. Vijay Kashyap (executive director). Kundil Alloys was promoted in 1998. The company primarily manufactures MS ingots. KUNDIL ISPAT: CRISIL Reaffirms 'B-' Rating on INR87.5M Cash Credit ------------------------------------------------------------------ CRISIL's ratings on the bank facilities of Kundil Ispat Ltd (Kundil Ispat; part of the Kundil group) continue to reflect the Kundil group's weak liquidity-there have been instances of delays in debt servicing by the group companies. The ratings also factor in the group's exposure to competition in the thermo-mechanically treated (TMT) steel bar industry, susceptibility to downturns in end-user industries and to volatility in steel prices, and moderate financial risk profile. These rating weaknesses are partially offset by the group's moderate operating efficiency because of its semi-integrated operations, and industry experience of its promoters. Facilities Ratings ---------- ------- INR87.5 Million Cash Credit B-/Negative (Reaffirmed) INR3.0 Million Letter of Credit P4 (Reaffirmed) INR4.0 Million Bank Guarantee P4 (Reaffirmed) For arriving at its ratings, CRISIL has combined the business and financial risk profiles of Kundil Sponge Iron Ltd (manufactures sponge iron), Kundil Alloys Pvt Ltd and Mandovi Metals Pvt Ltd (both manufacture mild-steel [MS] ingots), Kundil Rolling Mills Pvt Ltd and Kundil Ispat (both manufacture TMT bars), and Kundil Infrastructure Co Ltd (setting up a railway siding). This is because these entities, herein collectively referred to as the Kundil group, have fungible cash flows, and common promoters and management. Furthermore, all the group entities, except Kundil Infrastructure Co Ltd, are engaged in the same line of business with strong operational linkages with each other. Outlook: Negative CRISIL believes that the Kundil group's liquidity will remain weak over the medium term because of large working capital requirements and large debt repayment obligations. The rating may be downgraded if there is more-than-expected weakening in the group's liquidity, leading to continuously overdrawn bank lines. Conversely, the outlook may be revised to 'Stable' if the group's liquidity improves significantly. Update In 2009-10 (refers to financial year, April 1 to March 31), the Kundil group's performance has been in line with CRISIL's expectation. The group's liquidity remains weak because of small cash accruals and large working capital requirements. Cash accruals have been subdued because of low operating profitability. The group's large working capital requirements arise from its large inventory storage requirements and delays in collection of receivables from customers, particularly, dealers. These factors have led to the group fully utilizing or overutilizing its fund- based limits; a few group entities have also delayed in servicing term debt. About the Group The Kundil group is a family-run business, promoted by Mr. Surajit Baruah. The group is currently managed by Mr. Surajit Baruah and Mr. Vijay Kashyap (executive director). Kundil Ispat was purchased as a sick unit in 2004. The company sells its product under the brand name of Kamdhenu. KUNDIL ROLLING: CRISIL Reaffirms 'B-' Rating on INR90M Cash Credit ------------------------------------------------------------------ CRISIL's ratings on the bank facilities of Kundil Rolling Mills Pvt Ltd (Kundil Rolling Mills; part of the Kundil group) continue to reflect the Kundil group's weak liquidity-there have been instances of delays in debt servicing by the group companies. The ratings also factor in the group's exposure to competition in the thermo-mechanically treated (TMT) steel bar industry, susceptibility to downturns in end-user industries and to volatility in steel prices, and moderate financial risk profile. These rating weaknesses are partially offset by the group's moderate operating efficiency because of its semi-integrated operations, and industry experience of its promoters. Facilities Ratings ---------- ------- INR90.0 Million Cash Credit B-/Negative (Reaffirmed) INR3.0 Million Letter of Credit P4 (Reaffirmed) INR3.0 Million Bank Guarantee P4 (Reaffirmed) For arriving at its ratings, CRISIL has combined the business and financial risk profiles of Kundil Sponge Iron Ltd (manufactures sponge iron), Kundil Alloys Pvt Ltd and Mandovi Metals Pvt Ltd (both manufacture mild-steel [MS] ingots), Kundil Rolling Mills and Kundil Ispat Ltd (both manufacture TMT bars), and Kundil Infrastructure Co Ltd (setting up a railway siding). This is because these entities, herein collectively referred to as the Kundil group, have fungible cash flows, and common promoters and management. Furthermore, all the group entities, except Kundil Infrastructure Co Ltd, are engaged in the same line of business with strong operational linkages with each other. Outlook: Negative CRISIL believes that the Kundil group's liquidity will remain weak over the medium term because of large working capital requirements and large debt repayment obligations. The rating may be downgraded if there is more-than-expected weakening in the group's liquidity, leading to continuously overdrawn bank lines. Conversely, the outlook may be revised to 'Stable' if the group's liquidity improves significantly. Update In 2009-10 (refers to financial year, April 1 to March 31), the Kundil group's performance has been in line with CRISIL's expectation. The group's liquidity remains weak because of small cash accruals and large working capital requirements. Cash accruals have been subdued because of low operating profitability. The group's large working capital requirements arise from its large inventory storage requirements and delays in collection of receivables from customers, particularly, dealers. These factors have led to the group fully utilizing or overutilizing its fund- based limits; a few group entities have also delayed in servicing term debt. About the Group The Kundil group is a family-run business, promoted by Mr. Surajit Baruah. The group is currently managed by Mr. Surajit Baruah and Mr. Vijay Kashyap (executive director). Kundil Rolling was set up in 1998. It primarily manufactures TMT bars and rods for sale under the Kamadhenu brand. KUNDIL SPONGE: CRISIL Reaffirms 'D' Rating on INR168.5MM LT Loan ---------------------------------------------------------------- CRISIL's ratings on the bank facilities of Kundil Sponge Iron Ltd (Kundil Sponge; part of the Kundil group) continue to reflect delays by Kundil Sponge in servicing its debt; the delay has been caused by the Kundil group's weak liquidity. Facilities Ratings ---------- ------- INR162.5 Million Cash Credit D (Reaffirmed) INR168.5 Million Long-Term Loan D (Reaffirmed) INR50.0 Million Letter of Credit P5 (Reaffirmed) For arriving at its ratings, CRISIL has combined the business and financial risk profiles of Kundil Sponge (manufactures sponge iron), Kundil Alloys Pvt Ltd and Mandovi Metals Private Limited (both manufacture mild-steel [MS] ingots), Kundil Rolling Mills Pvt Ltd and Kundil Ispat Ltd (both manufacture thermo-mechanically treated [TMT] bars), and Kundil Infrastructure Co Ltd (setting up a railway siding). All the entities are, herein, collectively referred to as the Kundil group. This is because these entities, herein collectively referred to as the Kundil group, have fungible cash flows, and common promoters and management. Furthermore, all the group entities, except Kundil Infrastructure Co Ltd, are engaged in the same line of business with strong operational linkages with each other. Update In 2009-10 (refers to financial year, April 1 to March 31), the Kundil group's performance has been in line with CRISIL's expectation. The group's liquidity remains weak because of small cash accruals and large working capital requirements. Cash accruals have been subdued because of low operating profitability. The group's large working capital requirements arise from its large inventory storage requirements and delays in collection of receivables from customers, particularly, dealers. These factors have led to the group fully utilising or overutilising its fund- based limits, and delays in repayment of term loan by Kundil Sponge. About the Group The Kundil group is a family-run business, promoted by Mr. Surajit Baruah. The group is currently managed by Mr. Surajit Baruah and Mr. Vijay Kashyap (executive director). Kundil Sponge was set up in 2006, and primarily manufactures sponge iron. MIL INDUSTRIES: Fitch Affirms 'BB-' National Long-Term Rating ------------------------------------------------------------- Fitch Ratings has affirmed India's MIL Industries Limited's National Long-term rating at 'BB-(ind)'. The Outlook is Stable. The agency has also affirmed the ratings on MIL's bank facilities: - INR22m fund-based working capital limits: 'BB-(ind)'; and - INR65m non-fund based working capital limits: 'F4(ind)'. MIL's ratings take into account its operating performance in FY10 which is in line with Fitch's expectations, with net turnover improving to INR174 million (FY09: INR165.2 million) and operating EBITDA to INR23.4 million (FY09: INR11.5 million). Furthermore, MIL reported debt/EBITDA of 2.6x (FY09: 5.4x) and EBITDA interest cover of 3.8x (FY09: 1.9x) in FY10. Also, the turnover from the high performance polytetrafluoroethylene hose facility in FY10 did not improve to levels comparable to that from the rubber lining division by way of any new long-term contracts. Negative rating triggers include an inability or delay on MIL's part in achieving milestones in a significant large order which poses concentration risk and/ or an increase in the company's debt/EBITDA to above 5.5x. Positive rating triggers include a substantial increase in MIL's turnover from the high performance PTFE hose facility to levels comparable to the rubber lining division, by way of new long-term contracts, or a decrease in its debt/EBITDA to below 2x. MIL is in the business of providing anti-corrosion and anti- abrasion lining and products to the process and flow industry, specifically rubber and PTFE lining and products. MIL's EBITDA margins improved to 13.5% in FY10 (FY09: 7%) on account of favorable rubber lining business market conditions and increased revenues from the more profitable PTFE lining division. The rubber lining business accounted for 66% (INR114.3m) of MIL's net turnover in FY10 (FY09: 69%), with the remaining 34% was from the PTFE lining division (FY09: 31%). PRIJAI HEAT: CRISIL Downgrades Rating on INR82.4MM Term Loan ------------------------------------------------------------ CRISIL has downgraded its ratings on the bank facilities of Prijai Heat Exchangers Pvt Ltd to 'B+/Stable/P4' from 'BB-/Stable/P4+'. The downgrade reflects the deterioration in PHEPL's financial risk profile because of lower-than-expected net cash accruals, leading to increase in gearing and weakening of debt protection metrics. The downgrade also reflects CRISIL's belief that PHEPL's financial risk profile will continue to remain weak over the near to medium term. Facilities Ratings ---------- ------- INR87.5 Million Cash Credit Limit B+/Stable (Downgraded from 'BB-/Stable') INR82.4 Million Term Loan B+/Stable (Downgraded from 'BB-/Stable') INR295.1 Million Proposed LT Bank B+/Stable (Downgraded from Loan Facility 'BB-/Stable') INR35.0 Million Letter of Credit P4 (Downgraded from 'P4+') The ratings reflect PHEPL's weak financial risk profile, marked by a high gearing, with weak liquidity. The ratings also factor in the company's small scale of operations when compared to that of other industry players. These rating weaknesses are partially offset by PHEPL's established relationships with major original equipment manufacturers (OEMs). Outlook: Stable CRISIL believes that PHEPL will continue to benefit over the medium term from its relationships with major OEMs and continued financial support, in the form of low interest-bearing unsecured loans, from promoters. However, the company's small scale of operations, and leveraged capital structure will continue to constrain the ratings. The outlook may be revised to 'Positive' in case of more-than-expected improvement in PHEPL's profitability and capital structure, or more-than-expected operating income and margin on account of the recently enhanced capacities. Conversely, the outlook may be revised to 'Negative' in case of higher-than- expected deterioration in profitability, leading to further weakening of PHEPL's financial risk profile, particularly worsening of the company's overall liquidity. About Prijai Heat Incorporated in 1992, PHEPL manufactures coils used in air-cooled chillers, precision and telecommunication cooling systems, package-air-conditioning units, and condensing units for deep freezers. It has manufacturing units at Dadra and Nagra Haveli, and Thane and Navi Mumbai (both in Maharashtra). The company has capacity to produce around 1.2 million square feet of coils and around 0.2 million sets of copper fittings. For 2009-10 (refers to financial year, April 1 to March 31), PHEPL reported a loss of INR 4 million on net sales of INR339 million, against a PAT of INR 5 million on net sales of INR347 million for 2008-09. SAGAR CEMENTS: CRISIL Cuts Rating on INR864MM Cash Credit to 'BB' ----------------------------------------------------------------- CRISIL has downgraded its ratings on the bank facilities of Sagar Cements Ltd, part of the Sagar group, to 'BB/Negative/P4+' from 'BBB/Negative/P3+'. Facilities Ratings ---------- ------- INR864 Million Cash Credit BB/Negative (Downgraded from 'BBB/Negative') INR2086 Million Term Loan BB/Negative (Downgraded from 'BBB/Negative') INR55 Million Bank Guarantee P4+ (Downgraded from 'P3+') INR125 Million Letter of Credit P4+ (Downgraded from 'P3+') The downgrade reflects the weakening of SCL's financial risk profile because of weak liquidity resulting from a net loss of INR47.6 million over the six months ended September 30, 2010. SCL registered a net loss because of the prevailing weak cement price scenario in Andhra Pradesh, and its low capacity utilization level. The liquidity pressure is further accentuated by high maturing term debt of INR450 million in 2010-11 (refers to financial year, April 1 to March 31). To meet its working capital requirements and term debt obligations, SCL availed a short-term loan of INR450 million in October 2010, and decided to divest its stake in its subsidiary, Sagar Power Ltd, for INR99 million. The downgrade also factors in CRISIL's belief that SCL's liquidity will remain weak over the medium term, because of a demand-supply mismatch situation in Andhra Pradesh. The ratings continue to reflect the Sagar group's revenue concentration in Andhra Pradesh and exposure to risks related to downturns in the cement business and to the commodity nature of cement. These rating weaknesses are, however, partially offset by the Sagar group's established brand in Andhra Pradesh, and moderate operating efficiency supported by the group's proximity to major raw materials. For arriving at the ratings, CRISIL has combined the financial risk profiles of SCL and SPL. This is because both these entities, together referred to herein as the Sagar group, have strong operational linkages and are under a common management. Outlook: Negative CRISIL believes that the pressure on the Sagar group's earnings and profitability will continue over the medium term, because of the challenging operating environment for the cement business, particularly in Andhra Pradesh. The rating may be downgraded in the event of further weakening in profitability, driven by a prolonged downturn in cement prices or low capacity utilisation, resulting in low accruals. Conversely, the outlook may be revised to 'Stable' if the Sagar group substantially improves its profitability, leading to an improvement in its financial risk profile and liquidity. About the Group SCL started operations in 1985 with a single cement manufacturing unit at Nalgonda (Andhra Pradesh), with an ordinary Portland cement capacity of 60,000 tonnes per annum (tpa) and a clinker capacity of 66,000 tpa. Currently, SCL has a clinker capacity of 2.05 million tpa and cement capacity of 2.21 million tpa. It has an established brand Sagar, and a presence in Andhra Pradesh's coastal districts, Telangana and Rayalaseema, and parts of Karnataka, Maharashtra, Orissa, and Tamil Nadu. SCL in joint venture with Vicat SA is setting up a 5.5-million tpa cement plant in Gulbarga (Karnataka). SPL has two hydel power plants, with a combined capacity of 8.3 megawatts (MW), and a 1.65-MW Vestas wind generator in Tamil Nadu. For 2009-10, the Sagar group reported a profit after tax (PAT) of INR202 million on net sales of INR4.24 billion, against a PAT of INR195 million on net sales of INR2.70 billion for the previous year. For the six months ended September 30, 2010, SCL reported a net loss of INR47.6 million on net sales of INR2.17 billion (provisional). SAMRUDDHI INDUSTRIES: CRISIL Reaffirms 'BB-' Rating on Cash Credit ------------------------------------------------------------------ CRISIL's ratings on the bank facilities of Samruddhi Industries Ltd continue to reflect SIL's average financial risk profile, constrained by weak liquidity and large working capital requirements, and susceptibility to volatility in raw material prices, small scale of operations, and exposure to intense competition in the moulded plastic products industry. These rating weaknesses are partially offset by SIL's comfortable market position in the plastic containers industry, and the benefits that the company derives from the extensive experience of its promoters in the industry. Facilities Ratings ---------- ------- INR120.0 Million Cash Credit BB-/Stable (Reaffirmed) INR73.0 Million Term Loan BB-/Stable (Reaffirmed) INR4.0 Million Letter of Credit P4+ (Reaffirmed) Outlook: Stable CRISIL believes that SIL will continue to benefit from its comfortable market position in the plastic containers industry; SIL's scale of operations will, however, remain small and its liquidity weak over the medium term. The outlook may be revised to 'Positive' if there is an improvement in SIL's liquidity, driven by more-than-expected cash accruals or fresh equity infusion. Conversely, the outlook may be revised to 'Negative' if there is increased pressure on the company's liquidity because of lesser-than-expected cash accruals or large incremental working capital requirements. Update SIL's financial performance in 2009-10 (refers to financial year, April 1 to March 31) has been in line with CRISIL's expectations. SIL generated revenues of INR769.3 million and an operating margin of 13.5 per cent in 2009-10. Its performance has improved in 2010-11, driven by increase in market penetration. The company has reported revenues of around INR425.0 million for the six months ended September 30, 2010, with an operating margin of around 14.3 per cent resulting in increase in cash accruals. SIL is setting up another plant in Andhra Pradesh, with an installed capacity of 250 tonnes per month (tpa) for a cost of INR76.0 million, which will be funded by debt of INR64.5 million. The project, which is expected to start commercial production in January 2011, is expected to improve SIL's operating margin by reducing the company's dependence on job-work for production and lowering transportation costs for sales in South India. SIL's liquidity continues to be weak, reflected in high bank limit utilisation of 92 per cent on an average over the six months ending September 30, 2010 and the company borrowing INR15 million ad-hoc. SIL's liquidity is expected to remain weak because of utilisation its cash accruals for funding its capital expenditure (capex), repaying debt, and meeting incremental working capital requirements. SIL reported a profit after tax (PAT) of INR35.9 million on net sales of INR763.7 million for 2009-10, against a PAT of INR27.7 million on net sales of INR582.2 million for 2008- 09. About Samruddhi Industries Incorporated in 1993 by Mr. Ramakant Malu, SIL (formerly, Malsons Organics Ltd) is a closely held public limited company that manufactures and markets moulded plastic consumer products. Initially, the company manufactured crates for the dairy industry at Sangli (Maharashtra) on a tender basis. In 2006 the company commissioned another manufacturing facility in Rudrapur (Uttarakhand). The product range of the company includes tubs, kettles, fruit-crates, buckets, dustbins, furniture, step ladders, horticulture pots, mugs, and glasses. The company's name was changed to the current one in 2004. STATIONERY POINT: CRISIL Cuts Rating on INR375MM Loan to 'B-' ------------------------------------------------------------- CRISIL has downgraded its ratings on the bank facilities of Stationery Point India Ltd to 'B-/Negative/P4' from 'BB/Stable/P4+'. Facilities Ratings ---------- ------- INR300 Million Cash Credit B-/Negative (Downgraded from 'BB/Stable') INR375 Million Long-Term Loan B-/Negative (Downgraded from 'BB/Stable') INR25 Million Letter of Credit P4 (Downgraded from 'P4+') The downgrade reflects significant deterioration in SPIL's financial risk profile because of weakening in its liquidity and financial flexibility. Liquidity deteriorated because of the company's increased working capital requirements and closure of the company's manufacturing facilities for around two months in 2010 (refers to calendar year, January 1 to December 31). CRISIL expects SPIL's liquidity to remain weak over the near to medium term because of SPIL's large working capital requirements and large planned capital expenditure (capex). The ratings reflect SPIL's weak operating margin because of intense market competition arising from fragmentation in the flexible packaging industry, and volatility in raw material prices. These rating weaknesses are partially offset by SPIL's good customer profile and its plant's favourable locations. Outlook: Negative CRISIL expects SPIL's financial risk profile to witness substantial pressure in the near to medium term because of the weakening in its liquidity. The rating may be downgraded in case of weaker-than-expected business performance of SPIL or further deterioration in its liquidity. Conversely, the outlook may be revised to 'Stable' if there is a sustained improvement in SPIL's financial risk profile, supported by an improvement in its liquidity. About Stationery Point SPIL, promoted by Mr. Shankar Kashid, Mr. Makarand Pandit, and Mr. Paul Macwan in 1999, commenced operations as a small unit, manufacturing stationery products such as staple pins, U-clips, pointed pins, and note books. In 2005, the company diversified into manufacturing flexible packaging laminates for consumer products. Currently, flexible packaging products account for more than 80 per cent of SPIL's total revenues. SPIL has an installed capacity of 10,600 metric tonnes per annum (mtpa) for flexible packaging laminates (FPL). It has capex plans of INR2.92 billion to set up a facility to manufacture biaxial oriented polyethylene terephthalate film which along with metallised polyester film is used to make FPL. The capex is expected to be funded in a debt- equity ratio of 1.4:1; the project is yet to achieve financial closure. SPIL reported, on provisional basis, a profit after tax (PAT) of INR70.30 million on net sales of INR1.76 billion in 2009-10 (refers to financial year, October 1 to September 30), against a PAT of INR38.70 million on net sales of INR1.09 billion for 2008-09. ========= J A P A N ========= JAPAN AIRLINES: Sacked Pilots and Cabin Attendants to Sue JAL ------------------------------------------------------------- Kyodo News reports that 140 former Japan Airlines Corp pilots and cabin attendants plan to file a lawsuit with the Tokyo District Court on Jan 19, seeking nullification of the carrier's decision to dismiss them as part of its rehabilitation efforts. Kyodo, citing sources familiar with the matter, relates that the 140 are among the 165 pilots and cabin attendants JAL dismissed as of Dec. 31 last year after its voluntary retirement program failed to meet a job reduction target. According to Kyodo, sources said lawyers for the 140 will question the necessity of the dismissals and the reasonableness of the criteria by which JAL chose the plaintiffs, while questioning if JAL made adequate efforts to avoid having to dismiss them. JAL, which has pursued its restructuring program including air route cuts, has barred some pilots and cabin attendants from working since last October, while encouraging them to apply for the retirement program. The 165 consist of 81 pilots and 84 cabin attendants, and include some who took leave of certain durations for such reasons as illness. They also include captains aged 55 or over, deputy captains aged 48 or over, and cabin attendants aged 53 or over. The Tokyo District Court in December 2010 approved JAL's rehabilitation plan, which aims to cut the company's payroll to 32,600 employees by the end of March, shedding roughly 16,000 jobs, or around 30% of its group workforce of 48,714 as of March 31, the end of the last business year. As part of the reduction efforts, Kyodo noted, JAL announced Nov. 15 that it will terminate the employment contracts of up to 250 pilots and flight attendants. 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, 2010, 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 estimated debts at $28 billion. JAPAN AIRLINES: To End Joint IT Venture With IBM Japan ------------------------------------------------------ Japan Airlines International and IBM Japan reached an agreement after reviewing the terms of their "IT Partnership" -- entered into by both companies in 2001, and thereby decided on the reforms below. In this review, the IT department of the airline will be significantly reorganized to regain independence in carrying out the renewal of outdated and complex system as part of its ongoing efforts to achieve a successful corporate reorganization. 1. Transfer and acquisition of stocks of subsidiary JAL Information Technology Co., Ltd. By the end of June 2011, all of IBM's stocks (51.0%) in JAL Information Technology Co., Ltd (JIT) -- a joint venture between JAL and IBM, will be transferred completely to JAL. JIT has been creating and maintaining business applications and providing almost all aspects of IT services to the JAL Group and has accumulated extensive know-how in related fields. To ensure plans for the system renewal run smoothly in support of the revitalization of JAL, it is essential to reinvigorate JAL's internal IT department alongside the development of JIT. From hence, JIT will operate distinctly as a core subsidiary providing fundamental support that meets the IT needs of JAL. At the same time, it will also continue to expand and strengthen external businesses that it has developed thus far. JIT will capitalize on know-how acquired from working with companies outside of the JAL Group as well as from relevant experience in system renewal projects to elevate the quality of its services. 2. Review and new agreement on comprehensive IT services JAL and IBM Japan drastically reviewed their "Strategic Outsourcing Agreement" which has been in effect till now. In view of the consistency in the quality of their work, as well as their high levels of productivity, it has been decided that IBM Japan will continue to provide services in the area of system usage, and the new contract terms will be in effect for 3 years and 6 months beginning Jan. 2011 till June 2014. In the new contract, IBM Japan will adapt IBM's Global Standard Delivery Model to efficiently provide JIT with a uniform, high quality production service. Going forward, JAL and IBM Japan will carry on exploring the possibilities of establishing new collaboration in the areas of development and maintenance of business applications. IBM Japan is committed to continue supporting JAL towards the successful renewal of its systems. 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, 2010, 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 estimated debts at $28 billion. JAPAN AIRLINES: Inks Code Sharing Agreement With China Southern --------------------------------------------------------------- Japan Airlines and China Southern Airlines have reached an agreement to codeshare on the latter's operation on the route between Tokyo (Narita) and Dalian starting from January 5, 2011. Including CZ-operated flights connecting both Tokyo (Narita) and Osaka (Kansai) in Japan with Guangzhou and Shenyang that JAL currently markets, JAL and CZ now codeshare on 23 flights a week on 5 routes. Complementing JAL's extensive network of direct flights to China, this expanded codeshare partnership brings greater support to customers traveling between Japan and China for business or for leisure. 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, 2010, 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 estimated debts at $28 billion. SHINGINKO TOKYO: Governor Denies Share Sale to H.I.S. Affiliate --------------------------------------------------------------- Kyodo News reports that Tokyo Governor Shintaro Ishihara on Friday denied the possibility of the Tokyo metropolitan government selling shares in his brainchild bank Shinginko Tokyo to an affiliate of travel agency H.I.S. Co, which has reportedly offered to invest in the struggling bank. However, Gov. Ishihara indicated at a press conference that the metropolitan government could accept the H.I.S. affiliate's equity participation in the bank, Kyodo says. Citing the travel agency's acquisition of a large resort facility in Nagasaki Prefecture, Kyodo relates the governor said H.I.S. might have attempted to buy the facility at a bargain price for money-making purposes. Shinginko Tokyo has racked up huge loan losses due to problems in its loan screening system and defects in its supervision system for the extension of loans. The metropolitan government injected fresh capital of JPY40 billion into the bank in April 2008 as its accumulated losses had come to JPY101.6 billion as of the end of March in the same year. About Shinginko Shinginko Tokyo Ltd. was founded in April 2005 by the Tokyo Metropolitan Government at the initiative of Tokyo Governor Shintaro Ishihara with an investment of JPY100 billion. The bank provides loans mainly to struggling small firms based in Tokyo. The bank was Mr. Ishihara's promise during his 2003 gubernatorial election campaign. * * * Shinginko Tokyo continues to carry a "BB+" Subordinated Debt rating placed by Japan Credit Rating Agency on March 28, 2008. ==================== N E W Z E A L A N D ==================== JP & BM HOLDINGS: Faces Liquidation Over Unpaid Debts ----------------------------------------------------- John Edens at The Southland Times reports that JP & BM Holdings and Develop Spotburn have until Friday to pay debts or face liquidation. The companies are behind the development of a Cardrona Valley station. Associate Judge David Abbott declined an application to set aside demands for payment by Clark Fortune McDonald & Associates against the JP & BM and Develop Spotburn, in the High Court at Auckland last month. Citing court documents, The Southland Times says Develop Spotburn and the holding company -- run by Auckland-based developer Jonathan Denize -- applied to set aside an overall debt demand of NZ$29,600. The Southland Times says Clark Fortune, a Southern Lakes conveyancing firm, started consultancy and surveying in 2008 as part of resource consent applications for the development of Spotburn station. JP & BM Holdings and Spotburn told the court the sums were not payable until the development was refinanced but Clark Fortune said there was no agreement, The Southland Times relates. Work was done and invoiced in 2008 and Clark Fortune asked for payment on dates between December 2008 and March last year, The Southland Times discloses. According to Southland Times, Judge Abbott said the failure of the companies to pay modest debts spoke for itself but allowed the two firms more time to raise finance, after a satisfactory due diligence exercise as part of the station's proposed sale. He dismissed the application to cancel the debt order and extended the time to clear the balance to Friday, January 14, The Southland Times adds. ===================== P H I L I P P I N E S ===================== * Moody's Gives Positive Outlook on Seven Philippine Banks ---------------------------------------------------------- Moody's has changed to positive from stable its outlook on the foreign currency deposit ratings of seven Philippine banks, in line with the sovereign rating action on January 6, 2010. The ratings remain constrained, however, by the foreign currency deposit ceiling of the Philippines. The seven banks are: (1) Banco de Oro Unibank, (2) Bank of the Philippine Islands, (3) Development Bank of the Philippines, (4) Land Bank of the Philippines, (5) Metropolitan Bank and Trust Company, (6) Philippine National Bank, and (7) Rizal Commercial Banking Corporation. All of the banks' other ratings remain unaffected and continue to carry a stable outlook. The sovereign rating action on the Philippines is discussed in greater detail in a Moody's press release of January 6, 2011. The ratings of the seven banks are listed below. These bank ratings carry a stable outlook, except for the foreign currency deposit ratings, which carry a positive outlook. Banco de Oro Unibank -- Bank Financial Strength Rating (BFSR) of D, mapping to a Baseline Credit Assessment (BCA) of Ba2 -- Global local currency deposits rated Ba1/not Prime -- Foreign currency deposits rated Ba3/not Prime -- Foreign currency senior unsecured debt rated Ba2 Bank of the Philippines Islands -- BFSR of C-, mapping to a BCA of Baa2 -- Global local currency deposits rated Baa2/Prime-2 -- Foreign currency deposits rated Ba3/not Prime Development Bank of the Philippines -- BFSR of D, mapping to a BCA of Ba2 -- Global local currency deposits rated Ba1/ not Prime -- Foreign currency deposits rated Ba3/not Prime Land Bank of the Philippines -- BFSR of D-, mapping to a BCA of Ba3 -- Global local currency deposits rated Ba1/ not Prime -- Foreign currency deposits rated Ba3/not Prime Metropolitan Bank and Trust Company -- BFSR of D, mapping to a BCA of Ba2 -- Global local currency deposits rated Ba1/ not Prime -- Foreign currency deposits rated Ba3/not Prime -- Local currency subordinated debt rated Ba2 -- Foreign currency hybrid tier-1 rated B2 Philippine National Bank -- BFSR of E+, mapping to a BCA of B2 -- Global local currency deposits rated Ba2/ not Prime -- Foreign currency deposits rated Ba3/not Prime -- Local currency subordinated debt rated Ba3 Rizal Commercial Banking Corporation -- BFSR of D-, mapping to a BCA of Ba3 -- Foreign currency deposits rated Ba3/not Prime -- Foreign currency senior unsecured debt rated Ba2 -- Foreign currency hybrid tier-1 rated B3 All the ratings of two other banks rated by Moody's -- Allied Banking Corporation and United Coconut Planters Bank -- are not affected, as none of the ratings are constrained by the deposit or debt ceilings of the Philippines. They continue to carry a stable outlook. Allied Banking Corporation -- BFSR of E+, mapping to a BCA of B1 -- Foreign currency deposits rated Ba3/not Prime -- Local currency subordinated debt rated B1 United Coconut Planters Bank -- BFSR of E, mapping to a BCA of Caa1 -- Foreign currency deposits rated B2/not Prime -- Foreign currency long-term debt rated B2 All nine banks are headquartered in Manila and reported total assets (consolidated) as of end-December 2009: -- Allied Banking Corporation: P188 billion -- Banco de Oro Unibank: P862 billion -- Bank of the Philippines Islands: P724 billion -- Development Bank of the Philippines: P263 billion -- Land Bank of the Philippines: P437 billion -- Metropolitan Bank and Trust Company: P854 billion -- Philippine National Bank: P283 billion -- Rizal Commercial Banking Corporation: P288 billion -- United Coconut Planters Bank: P120 billion * Moody's Gives Positive Outlook on the Philippines 'Ba3' Rating ---------------------------------------------------------------- Moody's Investors Service has changed the outlook on the Government of the Philippines' Ba3 foreign and local-currency bond ratings to positive from stable. The key drivers for the decision are: (1) the strengthening trend in the Philippines's external payments position which has significantly reduced the vulnerability of government finances to external shocks; (2) the successful conduct of monetary policy which has anchored inflation expectations and has also helped to lower the government's cost of funding; and (3) improved prospects for economic reform policies which will likely have positive effects on government finances, investor sentiment, and economic growth. The rating action also applies to the Philippines's Ba3 ceiling for foreign currency bank deposits. The outlook on the Ba1 country ceiling for FC bonds, however, remains stable and the "Not Prime" short-term ratings and ceilings remain unaffected by this action. These ceilings act as a cap on ratings that can be assigned to the foreign currency obligations of other entities domiciled in the country. In a related rating action, the outlook on the issuer rating for the country's central bank, the Bangko Sentral ng Pilipinas, is also changed to positive from stable. Rationale For The Positive Outlook "An increasingly strong external payments position and well- anchored inflation expectations have provided the new government an advantageous position from which to pursue its reform agenda," said Mr. Christian de Guzman, an Assistant Vice President at Moody's and its lead sovereign analyst for the Philippines. "Foreign exchange reserves continue to accrue at record levels on the back of robust overseas foreign worker remittances, services exports, and sizeable capital inflows. The BSP's inflation targeting regime has gained traction and has contributed to macroeconomic stability. This is tangibly reflected in a lower level of inflation than most Ba-rated peers and in lower funding costs to the government." Prospects for greater political stability following the unambiguous outcome of the May 2010 presidential elections has added further momentum to resilient economic growth by encouraging greater inflows of foreign direct investment and in boosting domestic consumer confidence. The government has also effected a notable turnaround in fiscal management in its first semester in office. In level terms, the cumulative fiscal deficit over the second half of the 2010 is projected to be half the size of that in the first half largely owing to expenditure restraint. "While these developments suggest a likely return to fiscal consolidation, the government's balance sheet is still characterized by a large stock of debt relative to either revenues or GDP as compared with its rating peers," added Mr. de Guzman. "Moreover, the heavy burden of interest payments as a share of revenue and expenditure remains much greater than other Ba-rated governments, but the trend has been improving." Factors To Be Considered: What Would Move The Rating Up? Moody's assessment over the near term of the Philippines' credit fundamentals will focus on the national government's ongoing commitment to fiscal consolidation in the context of the improvements in the economic environment. Most likely, this will require continued expenditure restraint and improved revenue performance. Another area Moody's will evaluate is whether the government can successfully begin implementation of its public-private partnership program for infrastructure development. As this program forms a key pillar of the Aquino administration's economic agenda, successful execution of associated projects would provide a bellwether for an improved business climate and growth prospects in general. In addition, Moody's will monitor the capability of BSP to continue to dampen inflationary pressures in an environment of higher food and fuel commodity prices and potentially volatile capital flows. Moody's last rating action on the Philippines was taken on July 23, 2009 when the rating agency upgraded the sovereign rating from B1 to Ba3 and assigned a stable outlook. ================= S I N G A P O R E ================= CHINA HEPING: Court to Hear Wind-Up Petition on January 14 ---------------------------------------------------------- A petition to wind up the operations of China Heping Construction Group (Far East) Pte Ltd will be heard before the High Court of Singapore on January 14, 2011, at 10:00 a.m. Bridgewerkz Pte Ltd filed the petition against the company on December 10, 2010. The Petitioner's solicitor is: Messrs Tan & Partners 371, Beach Road, #03-09, Keypoint, Singapore 199597 GLOBAL CONNECT: Creditors' Proofs of Debt Due February 7 -------------------------------------------------------- Creditors of Global Connect Asia Investments Pte Ltd, which is in members' voluntary liquidation, are required to file their proofs of debt by February 7, 2011, 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 HOLZ-HER ASIA: Court to Hear Wind-Up Petition on January 21 ----------------------------------------------------------- A petition to wind up the operations of Holz-Her Asia Pte Ltd will be heard before the High Court of Singapore on January 21, 2011, at 10:00 a.m. Reich Spezialmaschinen GmbH filed the petition against the company on December 23, 2010. The Petitioner's solicitors are: M/s C P LEE & CO 1 North Bridge Road #17-03, Singapore 179094 HONGXIN CHEMICALS: Creditors' Proofs of Debt Due February 7 ----------------------------------------------------------- Creditors of Hongxin Chemicals Investment Pte Ltd, which is in members' voluntary liquidation, are required to file their proofs of debt by February 7, 2011, to be included in the company's dividend distribution. The company's liquidator is: Lai Seng Kwoon c/o 16 Raffles Quay #22-00 Hong Leong Building Singapore 048581 INFINIO GROUP: Court to Hear Wind-Up Petition on January 21 ------------------------------------------------------------ A petition to wind up the operations of Infinio Group Limited (formerly known as Auston International Group Ltd) will be heard before the High Court of Singapore on January 21, 2011, at 10:00 a.m. Ng Swee Hua filed the petition against the company on December 22, 2010. The Petitioner's solicitors are: Rajah & Tann LLP 9 Battery Road #25-01 Straits Trading Building Singapore 049910 KCH GROUP: Court Enters Wind-Up Order ------------------------------------- The High Court of Singapore entered an order on December 31, 2010, to wind up the operations of KCH Group Singapore Pte Ltd. International Paint Singapore Pte Ltd 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 #06-11 Singapore 069118 NIPPON SP: Members and Creditors' Meeting Set for January 17 ------------------------------------------------------------ Members and creditors of Nippon SP Tech (S) Pte Ltd will hold their meeting on January 17, 2011, at 4:00 p.m., at One Raffles Quay, North Tower, Level 18, in Singapore 048583. At the meeting, Seshadri Rajagopalan, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. SEMBAWANG MUSIC: Creditors Get 100% & 8.12% Recovery on Claims -------------------------------------------------------------- Sembawang Music Centre Pte Ltd declared the first and final dividend on January 7, 2011. The company paid 100% for preferential claims and 8.12% for ordinary claims. The company's liquidator is: Mich Aw c/o 10 Anson Road #29-15 International Plaza Singapore 079903 =========== T A I W A N =========== AMERICAN INT'L: Questioned by U.S. Regulators Over AIA IPO ---------------------------------------------------------- U.S. securities regulators last year challenged American International Group Inc. over what it told U.S. investors about its plans to sell shares in an Asian life-insurance unit. In a letter to American International Group, Inc., dated October 20, 2010, the U.S. Securities and Exchange Commission commented on the company's press release on Form 8-K discussing the initial public offering of shares of AIA Group Limited and the Hong Kong prospectus posted on October 18, 2010. The press release identifies the Joint Global Coordinators and Joint Sponsors of the Global Offering as well as the Joint Bookrunners and Joint Lead Managers of the Global Offering. The Commission urged the Company to be certain that the filing includes the information the Securities Exchange Act of 1934 and all applicable Exchange Act rules require. AIA Group Limited, on October 17, 2010, issued a press release announcing the details of a global offering and proposed listing of its shares on the Main Board of The Stock Exchange of Hongkong Limited. In response to the Commission's comments, Kathleen E. Shannon, senior vice president and deputy general counsel at AIG, said a practice has developed in the case of initial public offerings of foreign subsidiaries of U.S. public companies that has involved the filing with the SEC by the U.S. public company of materials relating to the status of the offerings. She added that the filings in the United States as Current Reports on Form 8-K ensure that foreign investors do not have an information advantage over U.S. investors in the trading of the U.S. public company's securities. Ms. Shannon clarified that in order to constitute an "offer" for purposes of Section 2(a)(3) of the Securities Act, the Press Release would need to have been issued in a manner to create interest in the ordinary shares of AIA as opposed to simply keeping U.S. investors in AIG up to date with the status of the AIA initial public offering. Ms. Shannon maintained that the Form 8-K was not in any way used to inform the public about the initial public offering of AIA. AIG did not attempt to summarize, redact, restate, supplement or otherwise modify the Press Release but merely attached the Press Release as an exhibit to the Form 8-K, keeping its U.S. shareholders equally informed about the status of the offering, she asserted. According to Ms. Shannon, the Press Release was not prepared to be an offering document for U.S. investors. In considering all of these factors, AIG has determined that, even if the Form 8-K were determined to be an offer for purposes of Section 2(a)(3), the consequences of that determination would not be material to AIG. Approximately $7 billion of the ordinary shares of AIA Group Limited were sold to qualified institutional buyers in the United States pursuant to Rule 144A under the Securities Act. The AIA offering, with a total offering size of approximately $20.5 billion, was one of the largest ever listed on the Hong Kong Stock Exchange and received significant publicity. About AIG American International Group, Inc. -- http://www.aig.com/-- 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 are leading providers of 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. AIG almost collapsed under the weight of bad bets it made insuring mortgage- backed securities. The Company, however, was bailed out by the Federal Reserve, but even after an initial infusion of $85 billion, losses continued to grow. The later rescue packages brought the total to $182 billion, making it the biggest federal bailout in U.S. history. AIG has been working to protect and enhance the value of its key businesses, execute an orderly asset disposition plan, and position itself for the future. 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. =============== X X X X X X X X =============== * BOND PRICING: For the Week January 3 to January 7, 2011 --------------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- AUSTRALIA --------- ADVANCED ENERGY 9.50 01/04/2015 AUD 1.07 AINSWORTH GAME 8.00 12/31/2011 AUD 1.12 AMITY OIL LTD 10.00 10/31/2013 AUD 2.00 AMP GROUP FINANC 9.80 04/01/2019 NZD 0.98 AUST & NZ BANK 2.00 04/15/2018 AUD 74.02 BECTON PROP GR 9.50 06/30/2010 AUD 0.22 CBD ENERGY LTD 12.50 01/29/2011 AUD 0.14 EXPORT FIN & INS 0.50 12/16/2019 AUD 59.07 EXPORT FIN & INS 0.50 06/15/2020 AUD 56.99 EXPORT FIN & INS 0.50 06/15/2020 AUD 58.67 FIRST AUSTRALIAN 15.00 01/31/2012 AUD 0.40 HEEMSKIRK CONSOL 8.00 04/29/2011 AUD 2.86 MINERALS CORP 10.50 09/30/2011 AUD 0.25 NEW S WALES TREA 1.00 09/02/2019 AUD 63.92 NEW S WALES TREA 0.50 09/14/2022 AUD 52.27 NEW S WALES TREA 0.50 10/07/2022 AUD 52.09 NEW S WALES TREA 0.50 10/28/2022 AUD 51.93 NEW S WALES TREA 0.50 11/18/2022 AUD 51.87 NEW S WALES TREA 0.50 12/16/2022 AUD 51.55 NEW S WALES TREA 0.50 12/16/2022 AUD 55.28 NEXUS AUSTRALIA 3.60 08/31/2017 AUD 70.95 NEXUS AUSTRALIA 3.60 08/31/2019 AUD 64.64 RESOLUTE MINING 12.00 12/31/2012 AUD 1.32 TREAS CORP VICT 0.50 08/25/2022 AUD 52.20 TREAS CORP VICT 0.50 11/12/2030 AUD 34.57 CHINA ----- CHINA GOV'T BOND 1.64 12/15/2033 CNY 63.30 HONG KONG --------- RESPARCS FUNDING 8.00 12/29/2049 USD 35.00 INDIA ----- AIRPORTS AUTH IN 7.40 01/22/2013 INR 15.12 DAMODAR VALLEY 7.70 01/03/2013 INR 17.74 GODAVAR IRR 11.25 01/15/2013 INR 22.77 GODAVAR IRR 11.50 01/15/2015 INR 23.28 GODAVAR IRR 13.50 08/16/2015 INR 58.58 HOUSING & UDCL 12.00 01/19/2011 INR 0.30 HOUSING & UDCL 11.50 09/25/2011 INR 8.25 HOUSING & UDCL 11.50 09/25/2011 INR 8.25 HOUSING & UDCL 11.50 09/25/2011 INR 8.25 HOUSING & UDCL 11.50 09/25/2011 INR 8.25 HOUSING & UDCL 11.50 09/25/2011 INR 8.25 HOUSING & UDCL 12.00 01/07/2012 INR 11.98 HOUSING & UDCL 12.00 01/07/2012 INR 11.98 HOUSING & UDCL 9.25 01/30/2012 INR 17.84 HOUSING & UDCL 10.00 03/27/2012 INR 20.35 HOUSING & UDCL 9.75 03/28/2012 INR 19.89 HOUSING & UDCL 9.72 06/28/2012 INR 16.44 HOUSING & UDCL 10.00 03/28/2012 INR 20.51 HOUSING & UDCL 6.05 02/11/2013 INR 16.10 HOUSING & UDCL 6.90 03/03/2013 INR 14.85 HOUSING & UDCL 7.30 03/03/2013 INR 15.72 HOUSING & UDCL 5.90 03/08/2013 INR 19.13 HOUSING & UDCL 6.30 03/08/2013 INR 15.73 HOUSING & UDCL 7.70 03/26/2013 INR 20.45 HOUSING & UDCL 10.00 06/28/2014 INR 35.27 KONKAN RAILWAY 8.50 09/01/2011 INR 7.00 KONKAN RAILWAY 6.90 03/30/2012 INR 0.81 KONKAN RAILWAY 6.65 05/01/2013 INR 17.52 KONKAN RAILWAY 6.65 05/01/2013 INR 17.52 KONKAN RAILWAY 6.65 05/01/2013 INR 17.52 NUCLEAR POWER CL 6.15 08/14/2011 INR 3.92 NUCLEAR POWER CL 8.20 02/20/2012 INR 10.32 NUCLEAR POWER CL 6.10 08/14/2012 INR 10.07 PUNJAB INFRA DB 0.40 10/15/2024 INR 67.86 PUNJAB INFRA DB 0.40 10/15/2025 INR 67.85 PUNJAB INFRA DB 0.40 10/15/2026 INR 67.92 PUNJAB INFRA DB 0.40 10/15/2027 INR 68.00 PUNJAB INFRA DB 0.40 10/15/2028 INR 68.09 PUNJAB INFRA DB 0.40 10/15/2029 INR 68.18 PUNJAB INFRA DB 0.40 10/15/2030 INR 68.25 PUNJAB INFRA DB 0.40 10/15/2031 INR 68.32 PUNJAB INFRA DB 0.40 10/15/2032 INR 68.38 PUNJAB INFRA DB 0.40 10/15/2033 INR 68.44 WEST BENGAL INFR 8.75 10/16/2013 INR 9.33 WEST BENGAL INFR 9.00 10/16/2016 INR 26.22 JAPAN ----- AIFUL CORP 6.00 12/12/2011 USD 73.75 AIFUL CORP 6.00 12/12/2011 USD 73.75 AIFUL CORP 1.20 01/26/2012 JPY 73.00 AIFUL CORP 1.99 03/23/2012 JPY 69.92 AIFUL CORP 1.22 04/20/2012 JPY 65.96 AIFUL CORP 1.63 11/22/2012 JPY 58.34 AIFUL CORP 1.74 05/28/2013 JPY 48.94 AIFUL CORP 1.99 10/19/2015 JPY 38.93 CSK CORPORATION 0.25 09/30/2013 JPY 73.75 JPN EXP HLD/DEBT 0.50 09/17/2038 JPY 60.28 JPN EXP HLD/DEBT 0.50 03/18/2039 JPY 59.81 SHINSEI BANK 5.62 12/29/2049 GBP 73.36 TAKEFUJI CORP 9.20 04/15/2011 USD 9.50 MALAYSIA -------- ADVANCED SYNERY 2.00 01/26/2018 MYR 0.10 ALIRAN IHSAN RES 5.00 11/29/2011 MYR 1.30 CRESENDO CORP B 3.75 01/11/2016 MYR 1.24 DUTALAND BHD 6.00 04/11/2013 MYR 0.52 DUTALAND BHD 6.00 04/11/2013 MYR 0.48 EASTERN & ORIENT 8.00 07/25/2011 MYR 1.27 EASTERN & ORIENT 8.00 11/16/2019 MYR 1.26 KUMPULAN JETSON 5.00 11/27/2012 MYR 0.82 LEBUHRAYA KAJANG 2.00 06/12/2019 MYR 47.73 LION DIVERSIFIED 4.00 12/17/2013 MYR 1.45 MITHRIL BHD 3.00 04/05/2012 MYR 0.60 NAM FATT CORP 2.00 06/24/2011 MYR 0.03 OLYMPIA INDUSTRI 6.00 04/11/2013 MYR 0.23 OLYMPIA INDUSTRI 6.00 04/11/2013 MYR 0.23 OLYMPIA INDUSTRI 2.80 04/11/2013 MYR 0.52 PANTECH GROUP 7.00 12/21/2017 MYR 0.10 PUNCAK NIAGA HLD 2.50 11/18/2016 MYR 0.53 REDTONE INTL 2.75 03/04/2020 MYR 0.07 RUBBEREX CORP 4.00 08/14/2012 MYR 0.92 SCOMI ENGINEERING 4.00 03/19/2013 MYR 0.96 SCOMI GROUP 4.00 12/14/2012 MYR 0.09 TATT GIAP 2.00 06/06/2015 MYR 0.70 TRADEWINDS CORP 2.00 02/08/2012 MYR 0.92 TRADEWINDS PLANT 3.00 02/28/2016 MYR 1.55 TRC SYNERGY 5.00 01/20/2012 MYR 1.55 WAH SEONG CORP 3.00 05/21/2012 MYR 3.15 WIJAYA BARU GLOB 7.00 09/17/2012 MYR 0.25 YTL CEMENT BHD 5.00 11/10/2015 MYR 2.26 NEW ZEALAND ----------- ALLIED FARMERS 9.60 11/15/2011 NZD 44.42 CONTACT ENERGY 8.00 05/15/2014 NZD 1.05 DORCHESTER PACIF 5.00 06/30/2013 NZD 63.80 FLETCHER BUI 8.50 03/15/2015 NZD 6.70 FLETCHER BUI 7.55 03/15/2011 NZD 7.40 GMT BOND ISSUER 7.75 06/19/2015 NZD 0.06 INFRATIL LTD 8.50 09/15/2013 NZD 8.40 INFRATIL LTD 8.50 11/15/2015 NZD 9.25 INFRATIL LTD 10.18 12/29/2049 NZD 61.70 KIWI INCOME PROP 8.95 12/20/2014 NZD 1.30 MARAC FINANCE 10.50 07/15/2013 NZD 1.00 SKY NETWORK TV 4.01 10/16/2016 NZD 5.93 SOUTH CANTERBURY 10.50 06/15/2011 NZD 1.00 SOUTH CANTERBURY 10.43 12/15/2012 NZD 0.74 ST LAURENCE PROP 9.25 07/15/2010 NZD 51.44 TOWER CAPITAL 8.50 04/15/2014 NZD 1.02 TRUSTPOWER LTD 8.50 09/15/2012 NZD 6.80 TRUSTPOWER LTD 8.50 03/15/2014 NZD 6.60 TRUSTPOWER LTD 7.60 12/15/2014 NZD 1.03 TRUSTPOWER LTD 8.60 12/15/2016 NZD 1.06 UNI OF CANTERBUR 7.25 12/15/2019 NZD 1.00 VECTOR LTD 8.00 06/15/2012 NZD 7.50 VECTOR LTD 8.00 10/15/2014 NZD 6.50 SINGAPORE --------- DAVOMAS INTL 5.50 12/08/2014 USD 72.01 EQUINOX OFFSHORE 20.00 10/13/2011 USD 71.10 SENGKANG MALL 4.88 11/20/2012 SGD 0.04 UNITED ENG LTD 1.00 03/03/2014 SGD 1.93 WBL CORPORATION 2.50 06/10/2014 SGD 1.83 SOUTH KOREA ----------- DAEWOO MTR SALES 6.55 03/17/2011 KRW 59.10 HOPE KOD 1ST 8.50 06/30/2012 KRW 30.84 HOPE KOD 2ND 15.00 08/21/2012 KRW 30.91 HOPE KOD 3RD 15.00 09/30/2012 KRW 30.65 HOPE KOD 4TH 15.00 12/29/2012 KRW 30.78 HOPE KOD 6TH 15.00 03/10/2013 KRW 35.02 IBK 12TH ABS 25.00 06/24/2011 KRW 74.74 IBK 16TH ABS 25.00 09/24/2012 KRW 62.79 IBK 17TH ABS 25.00 12/29/2012 KRW 59.24 KB 10TH SEC SPC 23.00 01/03/2011 KRW 59.38 KB 11TH SEC SPC 20.00 07/03/2011 KRW 67.29 KB 11TH SEC SPC 20.00 07/03/2011 KRW 64.67 KB 12TH ABS 25.00 01/21/2012 KRW 65.36 KB 13TH ABS 25.00 07/02/2012 KRW 61.56 KB 14TH ABS 23.00 01/04/2013 KRW 59.23 KDB 6TH ABS 20.00 12/02/2019 KRW 67.08 KEB 17TH ABS 20.00 12/28/2011 KRW 59.38 NACF-15 ABS SPS 25.00 03/18/2011 KRW 65.37 NACF-16 ABS SPS 15.00 01/03/2011 KRW 23.31 NACF-16 ABS SPS 25.00 02/03/2011 KRW 60.78 ONE KDB 1ST ABS 7.60 06/13/2011 KRW 29.65 OSAN MYTOWN 1ST 5.64 04/16/2012 KRW 63.30 OSAN MYTOWN 2ND 5.64 04/16/2012 KRW 70.02 SAM HO INTL 6.32 03/28/2011 KRW 72.18 SHINSHAN 2ND SEC 25.00 06/11/2011 KRW 30.03 SINBO 1ST ABS 15.00 07/22/2013 KRW 30.71 SINBO 2ND ABS 15.00 08/26/2013 KRW 33.41 SINBO 3RD ABS 15.00 09/30/2013 KRW 33.67 SINBO 4TH ABS 15.00 12/16/2013 KRW 31.51 SINBO 5TH ABS 15.00 02/23/2014 KRW 30.75 SINBO CO 1ST ABS 15.00 03/15/2014 KRW 30.44 SINGOK ABS 7.50 06/18/2011 KRW 53.48 SINGOK NS ABS 7.50 06/27/2011 KRW 53.50 SOLOMON SAVINGS 8.10 04/19/2015 KRW 11.37 UBOTRON CO LTD 8.00 07/30/2012 KRW 34.16 THAILAND -------- THAILAND GOVT 0.75 01/04/2022 THB 71.15 VIETNAM -------- VIETNAM MACHINE 9.20 06/06/2017 VND 74.61 VIETNAM SHIPBUIL 9.00 04/13/2017 VND 61.66 VIETNAM-PAR 4.00 03/12/2028 USD 73.00 ********* 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 U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Psyche A. Castillon, Julie Anne G. Lopez, Ivy B. Magdadaro, Frauline S. Abangan, and Peter A. Chapman, Editors. Copyright 2011. 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 ***