/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/110322.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, March 22, 2011, Vol. 14, No. 57 Headlines A U S T R A L I A SYNERGY PLUS: Placed Under Voluntary Administration C H I N A DELONG HOLDINGS: Fitch Withdraws 'B' Rating to Senior Notes UTSTARCOM INC: Incurs US$65.29 Million Net Loss in 2010 H O N G K O N G ALEPPO INTERNATIONAL: Creditors' Proofs of Debt Due April 18 BT DEVELOPMENT: Final Meetings Set for April 20 CENTRAL WATERFRONT: Creditors' Proofs of Debt Due April 18 COMPU-TECHNIC TELECOM: Placed Under Voluntary Wind-Up Proceedings CROSS-STRAIT PEACEFUL: Placed Under Voluntary Wind-Up Proceedings GLOBE JOY: Commences Wind-Up Proceedings GLORYSON LIMITED: Final Meetings Set for April 20 HENCY FINANCE: Members' Final Meeting Set for April 21 HK ASSOCIATION: Cheung and Cheung Chock Step Down as Liquidators SUN RISE: Members and Creditors' Annual Meetings Set for March 25 I N D I A AA FASHION: CRISIL Assigns 'B+' Rating to INR28.1 Million LT Loan ARADHYA STEELS: Fitch Affirms National Long-Term Rating at 'BB' BHASKAR STEEL: CRISIL Upgrades Rating on INR598MM Loan to 'BB-' ENNAR MARKETING: CRISIL Assigns 'B+' Rating to INR55MM Cash Credit EVERWIN TEXTILE: CRISIL Assigns 'B+' Rating to INR168.8MM Loan HOLIDAY VILLAGE: CRISIL Assigns 'D' Rating to INR159.2MM Loan KHORIBARI COLD: CRISIL Assigns 'D' Ratings to Various Bank Loans MOHAN ENERGY: CRISIL Reaffirms 'BB+' Rating on Cash Credit MOSER BAER: CRISIL Downgrades Rating on INR9.22BB Loan to 'BB-' NEOGEN CHEMICALS: CRISIL Reaffirms 'BB-' Rating on INR32.4MM Loan NEOTERIC INFOMATIQUE: CRISIL Reaffirms 'BB+' Rating on Cash Credit RAJKAMAL TEXTILES: CRISIL Puts 'B+' Rating on INR35MM Cash Credit SHRI BANKE: CRISIL Assigns 'B' Rating to INR65 Million LT Loan THOMSON RUBBERS: CRISIL Places 'BB-' Rating on INR100M Cash Credit WARM FORGINGS: CRISIL Assigns 'B' Rating to INR64.6MM Term Loan J A P A N CSC SERIES: Fitch Downgrades Ratings on Various Classes of Bonds N E W Z E A L A N D AORANGI SECURITIES: McVeagh NZ$2MM Fees Payment Enforceable NATHANS FINANCE: Directors Pleads Not Guilty to SEC Charges P H I L I P P I N E S A.M. CREDITWORLD: Failure to Submit Report Cues License Suspension BELLEDONE FINANCING: SEC Orders Suspension of License to Operate GOLDEN ENDEAVOR: SEC Suspends License Over Non-Payment of Fine S I N G A P O R E ALTUS TECHNOLOGIES: Court to Hear Wind-Up Petition on April 1 CHUAN SOON: Creditors' Proofs of Debt Due March 29 GRANDIS EMS: Creditors' Proofs of Debt Due March 29 KIAN SENG: Creditors' Proofs of Debt Due March 29 KIM KEAT: Creditors' Proofs of Debt Due April 18 MELIADOR PTE: Court Enters Wind-Up Order SGRE INVESTMENTS: Creditors' Proofs of Debt Due April 18 SINOVA PHARMACEUTICALS: Creditors' Proofs of Debt Due April 18 VIVIDES LTD: Court to Hear Wind-Up Petition April 1 WANG WANG PAWNSHOP: Creditors Get 6.09% Recovery on Claims X X X X X X X X * BOND PRICING: For the Week March 14 to March 18, 2011 - - - - - ================= A U S T R A L I A ================= SYNERGY PLUS: Placed Under Voluntary Administration --------------------------------------------------- ARN reports that Synergy Plus Limited has been placed into voluntary administration following GE Capital's request for repayment of a financing facility it sponsored. According to ARN, Richard Albarran, David Ingram, and David Ross of Hall Chadwick, have been appointed as administrators to Synergy and each of its subsidiaries, including Synergy Plus Operations, Air Data and CCP (Equity). In a statement filed with the Australian Securities Exchange, Synergy related that its wholly owned subsidiary, Synergy Plus Operations, had a financing facility with GE Capital, which advised the entity to repay the entire facility on or before April 22. "As a consequence of GE Capital's request for repayment of its facility, the company [Synergy], at this time, is not able to proceed with the Bond Subscription Agreement with Pacific Alliance Asia Opportunity Fund as outlined on February 28," Synergy noted in the statement with the Australian Securities Exchange. "The first $500,000 drawdown of the facility would have otherwise occurred [on March 16.] "Through the administration process under the Corporations Act, the company aims to achieve a speedy restructuring and the lifting of suspension of the trading of shares on the [Australian Securities Exchange]," Synergy said. The company plans to propose a Deed of Company Arrangement to shareholders and creditors that incorporates the combination of AirData's business and the services business of Synergy Plus Operations, as the only operating focus, according to ARN. Synergy said it is continuing its discussions with Pacific Alliance Asia about its restructuring plan and on an alternative funding facility, ARN adds. Based in West Perth, Australia, Synergy Plus Limited (ASX:SNR) -- http://www.synergy.com.au/-- formerly ComputerCORP Limited, is an integrator and manager of information and communication technology (ICT) infrastructure systems. The Company provides solutions and services to its customers in three core areas: Data Centre, Network and Personal Systems. Data Centre provides critical storage and high availability to an organization's data. Network provides seamless access to data, across all geographies. Personal Systems provides better end user productivity tools delivering both voice and data services. Synergy Plus focus on core information, communication technology provides opportunity in markets across medium to large corporate, government and education sectors. ========= C H I N A ========= DELONG HOLDINGS: Fitch Withdraws 'B' Rating to Senior Notes ----------------------------------------------------------- Fitch Ratings has withdrawn the expected 'B(exp)' rating of Delong Holdings Limited's proposed US dollar-denominated senior unsecured notes following the cancellation of the issue. At the same time, Delong's Long-term Foreign Currency Issuer Default Rating and its senior unsecured rating have been affirmed at 'B'. The Outlook on the IDR is Stable UTSTARCOM INC: Incurs US$65.29 Million Net Loss in 2010 ------------------------------------------------------- UTStarcom, Inc., filed with the U.S. Securities and Exchange Commission its annual report on Form 10-K, reporting a net loss of $65.29 million on $291.53 million of net sales for the year ended Dec. 31, 2010, compared with a net loss of $225.70 million on $386.34 million of net sales during the prior year. The Company's balance sheet at Dec. 31, 2010, showed $784.28 million in total assets, $535.34 million in total liabilities, and $248.94 million in total equity. The Company has recorded operating losses in 23 of the 24 consecutive quarters in the period ended Dec. 31, 2010. At Dec. 31, 2010, the Company has an accumulated deficit of $1,132.3 million. The Company has incurred net cash outflows from operations of $92.2 million, $67.4 million and $55.2 million in 2010, 2009 and 2008, respectively. As operating results are expected to improve in 2011 compared with prior years, the Company expects to break-even on a full year basis in 2011. A full-text copy of the annual report on Form 10-K is available for free at http://is.gd/wrsPHG About UTStarcom, Inc. UTStarcom, Inc. (Nasdaq: UTSI) -- http://www.utstar.com/-- is a global leader in IP-based, end-to-end networking solutions and international service and support. The Company sells its solutions to operators in both emerging and established telecommunications markets around the world. UTStarcom enables its customers to rapidly deploy revenue-generating access services using their existing infrastructure, while providing a migration path to cost-efficient, end-to-end IP networks. The Company's headquarters are currently in Alameda, California, with its research and design operations primarily in China. ================ H O N G K O N G ================ ALEPPO INTERNATIONAL: Creditors' Proofs of Debt Due April 18 ------------------------------------------------------------ Aleppo International Company Limited, which is in members' voluntary liquidation, requires its creditors to file their proofs of debt by April 18, 2011, to be included in the company's dividend distribution. The company's liquidator is: Liu Yuk Ming Stephen Room 2407, Progress Commercial Building 7-17 Irving Street Causeway Bay, Hong Kong BT DEVELOPMENT: Final Meetings Set for April 20 ----------------------------------------------- Members and creditors of BT Development Holdings Limited will hold their final meetings on April 20, 2011, at 11:00 a.m., and 11:15 a.m., respectively at 27/F., Alexandra House, at 18 Chater Road, Central, in Hong Kong. At the meeting, Jacky C W Muk, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. CENTRAL WATERFRONT: Creditors' Proofs of Debt Due April 18 ---------------------------------------------------------- Central Waterfront Construction Company Limited, which is in members' voluntary liquidation, requires its creditors to file their proofs of debt by April 18, 2011, to be included in the company's dividend distribution. The company's liquidator is: Sum Kwan Yiu Philip Room 1601, Wing On Centre 111 Connaught Road Central, Hong Kong COMPU-TECHNIC TELECOM: Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------------------- At an extraordinary general meeting held on March 9, 2011, creditors of Compu-Technic Telecom & Technology Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Yu Hung Lai 1015 Bank Centre Kowloon CROSS-STRAIT PEACEFUL: Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------------------- At an extraordinary general meeting held on March 11, 2011, creditors of Cross-Strait Peaceful Development Federation Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Tan Siu Lin 5/F, Nanyang Plaza 57 Hung To Road Kwun Tong, Kowloon Hong Kong GLOBE JOY: Commences Wind-Up Proceedings ---------------------------------------- Members of Globe Joy Limited, on March 11, 2011, passed a resolution to voluntarily wind up the company's operations. The company's liquidator is: Lau Hin Chi 19th Floor, Cameron Commercial Centre 468 Hennessy Road Causeway Bay, Hong Kong GLORYSON LIMITED: Final Meetings Set for April 20 ------------------------------------------------- Members and creditors of Gloryson Limited will hold their final meetings on April 20, 2011, at 11:30 a.m., and 11:45 a.m., respectively at 27/F., Alexandra House, 18 Chater Road, Central, in Hong Kong. At the meeting, Jacky C W Muk, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. HENCY FINANCE: Members' Final Meeting Set for April 21 ------------------------------------------------------ Members of Hency Finance Limited, which is in members' voluntary liquidation, will hold their final meeting on April 21, 2011, at 10:00 a.m., at the 76/F of Two International Finance Centre, at 8 Finance Street, Central, in Hong Kong. At the meeting, Lee King Yue, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. HK ASSOCIATION: Cheung and Cheung Chock Step Down as Liquidators ---------------------------------------------------------------- Cheung Man Chi and Cheung Chock Ping stepped down as liquidators of Hong Kong Association of Fellow Villagers of Lai Tong Village, Yan Ping, Limited on March 12, 2011. SUN RISE: Members and Creditors' Annual Meetings Set for March 25 ----------------------------------------------------------------- Members and creditors of Sun Rise Plastic Materials Company Limited will hold their annual meetings on March 25, 2011, at 3:00 p.m., at the 62nd Floor of One Island East, at 18 Westlands Road, Island East, in Hong Kong. At the meeting, David Yen Ching Wai, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. ========= I N D I A ========= AA FASHION: CRISIL Assigns 'B+' Rating to INR28.1 Million LT Loan ----------------------------------------------------------------- CRISIL has assigned its 'B+/Stable/P4' ratings to the bank facilities of AA Fashion Wear Pvt Ltd, which is part of the Everwin group. Facilities Ratings ---------- ------- INR28.10 Million Long-Term Loan B+/Stable (Assigned) INR25.00 Million Export Packing Credit P4 (Assigned) INR12.50 Million Letter of Credit & P4 (Assigned) Bank Guarantee The ratings reflect the Everwin group's small scale of operations, its below-average financial risk profile, marked by a weak capital structure and below-average debt protection metrics. The ratings also factor in the group's susceptibility to customer concentration in revenue profile, and intense competition in the textile industry. These rating weaknesses are partially offset by the benefits that the Everwin group derives from its longstanding relationships with customers and extensive experience of its promoters. For arriving at its ratings, CRISIL has combined the business and financial risk profiles of AA Fashionwear Private Limited (AA Fashion wear) and Everwin. This is because both the companies, together referred to as the Everwin group, are in same line of business, share a common management, and have operational linkages. Outlook: Stable CRISIL believes that the Everwin group will continue to benefit over the medium term from the extensive experience of its promoters. A significant improvement in the group's gearing, as a result of equity infusion, or a significant improvement in its scale of operations or an increase in its operating margin and realizations, leading to improvement in its financial risk profile, may result in the outlook being revised to 'Positive'. Conversely, a sustained downturn in product prices, significant delays in realizations of receivables, or more-than-expected borrowings may drive a revision in outlook to 'Negative'. About the Group The Everwin group, based in Tirupur (Tamil Nadu) manufactures cotton yarn and readymade garments. The promoter director of Everwin group Mr. K Periyaswamy has more than 15 years of experience in the similar lines of business. The group has a capacity of 16,128 spindles in the yarn segment, and of 2.40 million pieces per annum in the readymade garments segment. The Everwin group reported a profit after tax (PAT) of INR10.20 million on net sales of INR446.46 million for 2009-10 (refers to financial year, April 1 to March 31), against a PAT of INR6.93 million on net sales of INR397.44 million for 2008-09. ARADHYA STEELS: Fitch Affirms National Long-Term Rating at 'BB' --------------------------------------------------------------- Fitch Ratings has affirmed India's Aradhya Steels Private Limited's National Long-Term rating at 'BB(ind)'. The Outlook is Stable. The agency has also affirmed the ratings on Aradhya's bank facilities: - INR320m fund-based working capital limits (enhanced from INR210m): 'BB(ind)'/'F4(ind)'; - INR80m non-fund based working capital limits: 'BB(ind)'/'F4(ind)'; and - INR272.8m existing term loans: 'BB(ind)'. The affirmations reflect Aradhya's improved financial performance in FY10 and the nine months ended December 2010 (9mFY11), in line with Fitch's expectations. The company's capacity utilization also improved to 83% in FY10 compared to below 55% in FY09 and the EBIDTA margins have been stable at around 10%-11% for FY10-9MFY11. The ratings continue to factor in Aradhya's long operational track record as a supplier of steel wire products to the customers in India's automobile, auto-components and infrastructure sectors. The ratings reflect Aradhya's moderate but improved leverage levels (debt/EBIDTA) of 5.9x in FY10 compared to 18.05x in FY09. The company has planned a large INR1,020 million capital expenditure program for enhancing its steel wires manufacturing capacity to 50,340 million tonnes per annum from 24,000 mtpa during FY12 at its facility in Davengere, Karnataka. Fitch expects the additional debt of INR680m, undertaken to fund the capex, to keep leverage at moderately high levels in the medium- term. Any de-leveraging depends upon the timely implementation of the capex and achieving the projected levels of capacity utilization and profitability. The ratings also reflect the company's dependence on demand from the auto sector and its working capital intensive nature characterized by advance payments to suppliers. Positive rating guidelines include successful implementation of the proposed capex and achievement of the projected levels of capacity utilization, resulting in a sustained improvement in Aradhya's gross adjusted debt/EBDITAR to below 4x. Negative rating guidelines include Aradhya's inability to achieve the projected levels of capacity utilization and/or any significant debt-funded capex, which would result in a sustained deterioration in debt/EBIDTA to above 6x and/or interest cover to below 1.5x and EBITDA/debt-service-coverage-ratio to below 1.2x. Aradhya is engaged in the manufacture of steel wires, which have applications in the industries such as auto-components, tyres and infrastructure. In FY10, Aradhya reported an operating income of INR938.3 million (FY09: INR700 million), EBIDTAR of INR95.2 million (10.1%, FY09: INR30.4 million, 4.3%)) and profit after tax of INR40 million (FY09: loss after tax of INR50.6 million). BHASKAR STEEL: CRISIL Upgrades Rating on INR598MM Loan to 'BB-' --------------------------------------------------------------- CRISIL has upgraded its ratings on the bank facilities of Bhaskar Steel and Ferro Alloy Ltd to 'BB-/Stable' from 'D'. Facilities Ratings ---------- ------- INR598.00 Million Term Loan BB-/Stable (Upgraded from 'D') INR254.10 Million Cash Credit BB-/Stable (Upgraded from 'D') The upgrade reflects BSFAL's track record of timely payment of outstanding dues in the recent months, supported by financial and operational support it receives from SRMB Srijan Ltd (SRMB; part of the SRMB group) and expected improvement in BSFAL's liquidity because of restart of its manufacturing operations from January 2011. The rating reflects the SRMB group's expected deterioration in financial risk profile, working-capital-intensive operations, and susceptibility of profitability to intense market competition because of fragmentation, and cyclicality in the steel industry. These rating weaknesses are partially offset by the group's promoters' extensive industry experience, its established market position, and expected improvement in its operating efficiencies. For arriving at its ratings, CRISIL has combined the business and financial risk profiles of BSFAL and its group company SRMB for 2010-11 (refers to financial year, April 1 to March 31). This is because SRMB and its promoters have taken over the assets and liabilities of the loss-making entity, BSFAL, in August 2010; and the two companies, together referred to as the SRMB group, are under the same management and are expected to have significant intra-group operational and financial linkages. Outlook: Stable CRISIL believes that the SRMB group will benefit from its promoters' extensive industry experience, its established brand image in the steel industry and recent backward integration initiatives. However, the group's financial risk profile is expected to weaken because of increased debt requirements to fund its capex and to support BSFAL's operations over the medium term. The outlook may be revised to 'Positive' if successful stabilization of the group's operations results in significant improvement in its profitability, leading to improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' in case of deterioration in the group's working capital management and liquidity, or in case any larger-than-expected, debt-funded capex programmes, leading to deterioration in the SRMB group's financial risk profile. About the Group Prior to July 2010, BSFAL was managed by Mr. Santosh Agarwal and Mr. Rohit Agarwal, the promoters of BR Sponge and Power Ltd (rated 'D/P5' by CRISIL). BSFAL was taken over by SRMB and its promoters in August 2010. BSFAL, incorporated in 2003, manufactures sponge iron and billets in Sundergarh, Rourkela (Orissa). The company has capacity to manufacture 105,000 tonnes per annum (tpa) of sponge iron; it has four induction furnaces, with combined capacity of 86,400 tpa for manufacturing billets. The company has its own power plant with capacity of 12 megawatts (MW), of which 8MW was waste heat recovery based. BSFAL commenced commercial operations for manufacturing of sponge iron from January 2011. Its power plant and billet manufacturing facilities are expected to commence operations from April 2011 onwards. SRMB was founded in 1951 by the late Mr. Radha Kishan Beriwala, father of the company's current chairman, Mr. Brij Mohan Beriwala. SRMB manufactures mild-steel rods, angles, and channels, and uses zinga coating, a new technology, to cover the normal thermo- mechanically treated (TMT) bars with zinga. SRMB has manufacturing facilities in Durgapur (West Bengal), with capacity for producing 186,271 tonnes per annum (tpa) of rods, angles, and channels, and in Dankuni (West Bengal) with a capacity of 45,000 tpa for zinga coating. Its fourth unit in Paharpur (West Bengal), with a capacity of 26,000 tpa was demerged with the company in January 2010. SRMB is also an accredited conversion agent for Steel Authority of India Ltd. SRMB, on standalone basis, reported a profit after tax (PAT) of INR53.88 million on net sales of INR5.75 billion for 2009-10, against a PAT of INR55.81 million on net sales of INR6.34 billion for 2008-09. BSFAL, on standalone basis, reported a net loss of INR94.21 million on net sales of INR501.12 million for 2009-10, against a net loss of INR63.46 million on net sales of INR512.70 million for 2008-09. ENNAR MARKETING: CRISIL Assigns 'B+' Rating to INR55MM Cash Credit ------------------------------------------------------------------ CRISIL has assigned its 'B+/Stable/P4' ratings to the bank facilities of Ennar Marketing. Facilities Ratings ---------- ------- INR55.00 Million Cash Credit B+/Stable (Assigned) INR5.00 Million Standby Line Credit P4 (Assigned) INR2.50 Million Bank Guarantee P4 (Assigned) The ratings reflect EM's weak financial risk profile, marked by small net worth, high gearing, and weak debt protection metrics, and small scale of operations. These rating weaknesses are partially offset by the proprietor's extensive experience in the lubricants distribution business and healthy relationship with its principal, Indian Oil Corporation Ltd. Outlook: Stable CRISIL believes that EM will benefit from its proprietor's extensive industry experience and established relationship with its supplier, IOCL, over the medium term. However, EM's financial risk profile is expected to be constrained by high gearing because of its working-capital-intensive operations. The outlook may be revised to 'Positive' if EM's financial risk profile improves significantly because of substantial equity infusion or better- than-expected revenues and profitability. Conversely, the outlook may be revised to 'Negative' if profitability or revenues decline, resulting in lower-than-expected cash accruals, or EM undertakes any large debt-funded capital expenditure programme. About Ennar Marketing EM distributes automotive lubricant oil. It is Indian Oil Corporation Ltd's sole stockist in the districts of Medak, Rangareddy, Mahbubnagar, and parts of Hyderabad in Andhra Pradesh. Its daily operations are managed by its proprietor, Mr. Rajesh Agarwal, who has over 13 years of industry experience. EM reported a profit after tax (PAT) of INR3.2 million on net sales of INR263.7 million for 2009-10 (refers to financial year, April 1 to March 31), as against a PAT of INR2.5 million on net sales of INR244.2 million for 2008-09. EVERWIN TEXTILE: CRISIL Assigns 'B+' Rating to INR168.8MM Loan -------------------------------------------------------------- CRISIL has assigned its 'B+/Stable/P4' ratings to the bank facilities of Everwin Textile Mill Pvt Ltd, which is part of the Everwin group. Facilities Ratings ---------- ------- INR168.80 Million Long-Term Loan B+/Stable (Assigned) INR224.00 Million Cash Credit B+/Stable (Assigned) INR6.70 Million Bank Guarantee P4 (Assigned) The ratings reflect the Everwin group's small scale of operations, its below-average financial risk profile, marked by a weak capital structure and below-average debt protection metrics. The ratings also factor in the group's susceptibility to customer concentration in revenue profile, and intense competition in the textile industry. These rating weaknesses are partially offset by the benefits that the Everwin group derives from its longstanding relationships with customers and extensive experience of its promoters. For arriving at its ratings, CRISIL has combined the business and financial risk profiles of AA Fashionwear Private Limited (AA Fashion wear) and Everwin. This is because both the companies, together referred to as the Everwin group, are in same line of business, share a common management, and have operational linkages. Outlook: Stable CRISIL believes that the Everwin group will continue to benefit over the medium term from the extensive experience of its promoters. A significant improvement in the group's gearing, as a result of equity infusion, or a significant improvement in its scale of operations or an increase in its operating margin and realizations, leading to improvement in its financial risk profile, may result in the outlook being revised to 'Positive'. Conversely, a sustained downturn in product prices, significant delays in realisations of receivables, or more-than-expected borrowings may drive a revision in outlook to 'Negative'. About the Group The Everwin group, based in Tirupur (Tamil Nadu) manufactures cotton yarn and readymade garments. The promoter director of Everwin group Mr. K Periyaswamy has more than 15 years of experience in the similar lines of business. The group has a capacity of 16,128 spindles in the yarn segment, and of 2.40 million pieces per annum in the readymade garments segment. The Everwin group reported a profit after tax (PAT) of INR10.20 million on net sales of INR446.46 million for 2009-10 (refers to financial year, April 1 to March 31), against a PAT of INR6.93 million on net sales of INR397.44 million for 2008-09. HOLIDAY VILLAGE: CRISIL Assigns 'D' Rating to INR159.2MM Loan ------------------------------------------------------------- CRISIL has assigned its 'D' rating to the bank facilities of Holiday Village Resorts Pvt Ltd. Facilities Ratings ---------- ------- INR159.2 Million Rupee Term Loan D (Assigned) INR12 Million Cash Credit D (Assigned) The rating reflects instances of delay by HVRPL in servicing its debt; the delays have been caused by the company's weak liquidity. HVRPL has a weak financial risk profile, marked by small net worth, high gearing, and weak debt protection metrics, and is exposed to risks related to cyclicality in the hotel industry. These weaknesses are partially offset by the established track record of HVRPL's promoters in the hospitality industry. HVRPL was established in 2001 by the Rathore family of Anjar (Gujarat). Its three-star hotel in Gandhidham (Gujarat) has 55 deluxe rooms, 25 cottages, 14 suites, 3 banquet halls, and 3 banquet lawns. Additionally, it has a club on the same premises. The club has 450 members and offers various sports facilities. HVRPL reported a profit after tax (PAT) of INR9.2 million on net sales of INR98.8 million for 2009-10 (refers to financial year, April 1 to March 31), against a PAT of INR2.2 million on net sales of INR66.7 million for 2008-09. KHORIBARI COLD: CRISIL Assigns 'D' Ratings to Various Bank Loans ---------------------------------------------------------------- CRISIL has assigned its 'D' rating to the long-term bank facilities of Khoribari Cold Storage Pvt Ltd. Facilities Ratings ---------- ------- INR22.5 Million Cash Credit D (Assigned) INR31.6 Million Long-Term Loan D (Assigned) INR5 Million Proposed Long-Term D (Assigned) Bank Loan Facility The rating reflects instances of delay by KCS in servicing its interest obligations on the long term debt; the delays have been caused by the company's weak liquidity. KCS's weakness stems from the recent vintage of its operations and the risks associated with a start-up venture. These rating weaknesses are partially offset by the benefits accruing from the favourable demand-supply dynamics in its operating region. Incorporated in 2008 by Mr. Dhrubatosh Choudhury, KCS provides cold storage facilities to potato farmers and traders in Siliguri district (West Bengal). The company started its operations from February 2010. The company has two cold storage units with a combined installed capacity of 15,000 tonnes per annum. The company is managed by Mr. Dhrubatosh Choudhury and his son Mr. Hirok Choudhury. KCS reported a loss of INR0.88 million on net sales of INR0.08 million for 2009-10 (refers to financial year, April 1 to March 31). MOHAN ENERGY: CRISIL Reaffirms 'BB+' Rating on Cash Credit ---------------------------------------------------------- CRISIL's ratings on the bank facilities of Mohan Energy Corporation Pvt Ltd continue to reflect vulnerability of MECPL's revenues to delays in obtaining approval from regulatory authorities and to volatility in raw material prices, its business concentration in Africa, small scale of operations, and working- capital-intensive operations. These rating weaknesses are partially offset by the benefits that MECPL derives from its moderate financial risk profile, promoters' extensive industry experience, and established market position in Africa. Facilities Ratings ---------- ------- INR37.5 Million Cash Credit BB+/Stable (Reaffirmed) INR12.5 Million Proposed LT BB+/Stable (Reaffirmed) Loan INR50.0 Million Letter of P4+ (Reaffirmed) Credit/Bank Guarantee INR300.0 Million Proposed P4+ (Reaffirmed) Short-Term Loan Outlook: Stable CRISIL believes that MECPL will maintain its established market position in Africa, and its moderate financial risk profile, supported by low gearing and comfortable debt protection measures, over the medium term. The outlook may be revised to 'Positive' if MECPL increases its scale of operations substantially without weakening its financial risk profile. Conversely, the outlook may be revised to 'Negative' if the company's financial risk profile deteriorates because of large, debt-funded capital expenditure (capex) or fall in operating margin. Update MECPL's revenues for 2009-10 (refers to financial year, April 1 to March 31) have been lesser than expected, as a large contract of about INR300 million from its customer, the Government of Togo, was executed in 2010-11 instead of 2009-10 (as earlier scheduled). The company's operating margin in 2009-10 has been as expected, but is will remain vulnerable to volatility in foreign exchange (forex) rates and raw material prices. MECPL generated revenues of about INR280 million for the nine months ended December 31, 2010. Revenues have been lesser than expected because of civil unrest in Ivory Coast, which has the key port, Abidjan, through which a large portion of MECPL's supplies were routed into Africa. Material supplies for orders in neighboring countries, including Guinea Bassau, Burkina Faso, and Mali, have now been rerouted to neighboring ports, including Dakar in Senegal. MECPL's revenues are therefore expected to increase in the last quarter of 2010-11. The company has a current order book INR1.290 billion, to be executed over the next two years. Its liquidity remains adequate, with low bank limit utilization of 42.6 per cent on an average for the nine months ended December 31, 2010 and absence of any term debt obligation. MECPL's financial risk profile remains moderate, with low gearing of 0.56 times and strong debt protection indicators-interest coverage ratio of 7.4 times and net cash accruals to total debt (NCATD) ratio of 0.48 times for 2009-10. However, the company had a small net worth of INR100 million as on March 31, 2010. CRISIL believes that MECPL's financial risk profile would remain moderate over the medium term, with no major debt-funded capex plans. MECPL reported a profit after tax (PAT) of INR25.2 million on net sales of INR315.4 million for 2009-10, against a PAT of INR22.9 million on net sales of INR414.2 million for 2008-09. About Mohan Energy Incorporated in May 2006, MECPL is an engineering, procurement, and construction (EPC) contractor in the electricity and power sector. While the company operates primarily in Africa, it has also executed projects in India and the Middle East. It has its offices in major African countries, including Ghana, Angola, Mozambique, and Sudan. Furthermore, for other countries, including Morocco, Algeria, Tunisia, Libya, Ethiopia, Zambia, Mali, and Senegal, the company employs commission agents to receive new business. Prior to its incorporation as a separate company, it operated as a division of Mohan Exports (India) Pvt Ltd (MEIPL). The management decided to hive off the division into a separate company in order to focus entirely on EPC works and to increase its presence in energy-related businesses. MECPL primarily undertakes projects funded by the Government of India's (GoI's) lines of credit to African countries (through EXIM Bank) or multilateral funding agencies such as World Bank, Asian Development Bank, African Development Bank, and United Nations (UN) agencies. The GoI-funded projects account for a majority of the company's business. This is done to minimize the credit risks associated with dealing with African countries. MOSER BAER: CRISIL Downgrades Rating on INR9.22BB Loan to 'BB-' --------------------------------------------------------------- CRISIL has downgraded its ratings on the bank facilities of Moser Baer India Ltd to 'BB-/Negative/P4' from 'BB+/Negative/P4+'. Facilities Ratings ---------- ------- INR1020.0 Million Cash Credit BB-/Negative (Downgraded from 'BB+/Negative') INR9223.0 Million LT Loans BB-/Negative (Downgraded from 'BB+/Negative') INR4080.0 Million Export P4 (Downgraded from 'P4+') Packing Credit INR2932.5 Million Letter of P4 (Downgraded from 'P4+') Credit INR67.5 Million Bank Guarantee P4 (Downgraded from 'P4+') The downgrade reflects MBIL's weaker-than-expected performance in its core business of optical storage media, on account of pricing pressures and increasing input (primarily polycarbonate) costs; this has resulted in further stress on the company's already sub- par financial risk profile. For the nine months ended Dec. 31, 2010, MBIL's standalone net revenues declined to INR13.7 billion from INR15.3 billion over the same period of the previous year, while its standalone operating profitability declined sharply, to around 10 per cent from 26 per cent, during the corresponding period. Weak operating profitability and high interest costs have caused MBIL's standalone net losses to increase to INR2.8 billion during the nine months ended Dec. 31, 2010, as compared with a net loss of INR0.4 billion during the corresponding period of the previous year. Also, though improving demand conditions are leading to higher sale volumes for MBIL's photo voltaic (PV) business (carried out through its subsidiaries), CRISIL believes that this business segment will also continue to incur net losses over the medium term, as operating profitability continues to remain weak. The decline in MBIL's core business' profitability and continuing losses at the PV businesses have severely impacted the company's cash accruals and weakened its liquidity. With large long-term debt repayment obligations of over INR3 billion in 2011-12 (refers to the financial year, April 1 to March 31), CRISIL believes that MBIL will need to refinance the same, as cash accruals are unlikely to suffice, and its cash surpluses are gradually depleting. Also, MBIL may undertake a large, debt-funded capital expenditure (capex) programme to enhance capacity at its PV business; this could further add to the stress on its balance sheet and weaken already high gearing and sub-par debt protection metrics. These rating weaknesses are partially offset by MBIL's established position as a global supplier of optical storage media and the healthy long-term prospects for the PV business. For arriving at its ratings, CRISIL has combined the business and financial risk profiles of MBIL and MBIL's subsidiaries, Moser Baer Entertainment Ltd, Moser Baer Solar Limited (MBSL; formerly, PV Technologies India Ltd), and Moser Baer Photo Voltaic Ltd (MBPV). MBIL, the holding company, has a presence in optical storage, home entertainment, and information technology peripherals and consumer electronics distribution. The companies operate under a common management and are critical for MBIL to diversify its revenue profile. Outlook: Negative CRISIL believes that MBIL's financial risk profile will remain under pressure over the medium term on account of weak performance in its optical storage business and continuing losses in its PV businesses. The rating may be downgraded in case MBIL's losses are larger than expected, if it contracts large debt to fund its proposed capex, or if it is not able to refinance its upcoming debt repayment obligations. Conversely, the outlook may be revised to 'Stable' if MBIL reports better-than-expected profitability in its optical storage business, controls the losses in its PV business, and improves its liquidity. About Moser Baer MBIL, promoted in 1983 by Mr. Deepak Puri, began manufacturing time recorder units in technical collaboration with Maruzen Corporation, Japan, and Moser Baer Sumiswald, Switzerland. MBIL diversified into optical data storage in 1986, and has evolved into the leading manufacturer of removable data storage media such as floppy disks, compact discs (CDs), and digital versatile discs (DVDs). MBIL is India's largest, and among the world's three largest optical storage media manufactures, with a capacity to manufacture 4.8 billion discs per annum at its manufacturing facilities at Noida and Greater Noida (both in Uttar Pradesh). In October 2005, the company announced plans to enter the PV business through its wholly owned subsidiaries - MBPV and MBSL. MBIL has invested around INR3 billion between 2006-07 and 2009-10 in MBPV and MBSL. As a forward integration move, the company has entered content distribution (home entertainment) of selling content (movies) on CDs/DVDs manufactured at its optical storage facilities. MBIL, on a consolidated basis, reported a net loss of INR3.9 billion on net sales of INR24.5 billion in 2009-10, against a net loss of INR3.6 billion on net sales of INR24.7 billion in 2008-09. NEOGEN CHEMICALS: CRISIL Reaffirms 'BB-' Rating on INR32.4MM Loan ----------------------------------------------------------------- CRISIL's ratings on Neogen Chemicals Ltd's bank facilities continue to reflect NCL's moderate financial risk profile, marked by small net worth, moderate gearing, and high bank limits utilization, small scale of operations in the chemical industry, and large working capital requirements. These rating weaknesses are partially offset by NCL's healthy operating efficiencies, and the benefits it derives from its in-house product development facility. Facilities Ratings ---------- ------- INR32.4 Million Long-Term Loan BB-/Stable (Reaffirmed) INR95.0 Million Cash Credit BB-/Stable (Reaffirmed) INR65.0 Million Letter of Credit/ P4+ (Reaffirmed) Bank Guarantee Outlook: Stable CRISIL believes that NCL will maintain a stable credit risk profile, backed by strong customer relationships, and development of new compounds. The outlook may be revised to 'Positive' if the company's net worth and capital structure improves substantially, led by fresh equity infusions. Conversely, the outlook may be revised to 'Negative' if NCL's financial risk profile deteriorates, owing to a large, debt-funded capital expenditure (capex) programme, or significant decline in the operating margin. Update The revenues of the company are expected to increase by around 15 per cent, to INR400 million in 2010-11 (refers to financial year, April 1 to March 31), driven by increased product prices and improved offtake from customers. Because of the company's focus on niche, high value-added products, its operating margin has remained high, at 16 to 17 per cent, over the past three years, and is expected to remain high over the medium term. However, the average bank limit utilization was high, at 94 per cent, over the 12 months ended December 2010, because of large working capital requirements. The company contracted a term loan of around INR30 million from State Bank of India in February 2011, at an interest rate of 13.5 per cent, to repay the high interest-bearing unsecured loans it contracted in 2008-09. The gearing of the company is expected to remain moderate, at around 1.5 times, as on March 31, 2011, and is expected to remain at this level, in the absence of any major capex plan. NCL reported a profit after tax (PAT) of INR17 million on net sales of INR347 million for 2009-10, against a PAT of INR13 million on net sales of INR315 million for 2008-09. About Neogen Chemicals Incorporated in 1991 by Mr. Haridas Kanani, NCL manufactures bromine- and lithium-based organic and organo-metallic compounds. The company has a portfolio of about 100 products, which are used in pharmaceutical, agro-chemical and engineering industries. The company's manufacturing units are located at Mahape, Navi Mumbai. The bromine based compounds find wide application in pharmaceuticals and agro-chemicals industry, as they are an important building block and binder for complex molecules. Lithium is used in absorption chilling systems by engineering companies. NEOTERIC INFOMATIQUE: CRISIL Reaffirms 'BB+' Rating on Cash Credit ------------------------------------------------------------------ CRISIL's rating on the bank facilities of Neoteric Infomatique Ltd continue to reflect the working-capital-intensive nature of the company's operations, resulting in large short-term borrowing and modest debt protection metrics, a small net worth, and the risks inherent in the information technology (IT) products distribution business. The impact of these rating weaknesses is mitigated by Neoteric's established market position, and the healthy long-term prospects for the IT products industry in India. Facilities Ratings ---------- ------- INR555 Million Cash Credit BB+/Positive (Enhanced from INR455 Million) INR200 Million Bills Discounting P4+ (Enhanced from INR20 Million) INR680 Million Letter of Credit P4+ (Enhanced from INR580 Million) Outlook: Positive CRISIL believes that Neoteric will improve its overall credit risk profile over the medium term, driven by the growth prospects for the IT products distribution business and the company's focus on higher margin businesses. A better-than-expected business performance by Neoteric leading to better cash generation and an improvement in debt protection metrics, or additional equity infusion to improve the capital structure, could result in the rating being revised upwards. Conversely, the outlook may be revised to 'Stable' in case of larger-than-expected debt, and total outside liabilities to tangible net worth ratio. About Neoteric Infomatique Neoteric commenced operations in 1991 as a reseller of IT products. The company commenced distribution operations at a national level in 1997, and currently has an established presence in the domestic IT hardware distribution space with an authorised distributorship of over 30 brands. Neoteric has 38 branches, 8 representative offices, and 4 logistic centres, catering to over 6000 channel partners in more than 350 cities. The company also provides after-sales service for most of its products. Neoteric has a representative office in Shenzhen, China, which is used for sourcing components. For 2009-10 (refers to financial year, June 01 to July 31), Neoteric reported a net profit of INR60.0 million on net sales of INR9.9 billion, against a net profit of INR25.6 million on net sales of INR10.0 billion for the 15 months ended June 30, 2009. For the six months ended December 31, 2010, the company reported a net profit of INR32.9 million on net sales of INR5.2 billion. RAJKAMAL TEXTILES: CRISIL Puts 'B+' Rating on INR35MM Cash Credit ----------------------------------------------------------------- CRISIL has upgraded its long-term rating on the bank facilities of Rajkamal Textiles to 'B+/Stable' from B/Stable, while reaffirming the short-term rating at 'P4'. Facilities Ratings ---------- ------- INR35.00 Million Cash Credit B+/Stable (Upgraded from 'B/Stable') INR5.00 Mil. Letter of Credit P4 (Reaffirmed) INR0.19 Million Bank Guarantee P4 (Reaffirmed) The rating upgrade reflects improvement in Rajkamal's liquidity, backed by moderate utilization of bank lines, steady cash accruals vis-�-vis debt repayment obligations, absence of any debt-funded capital expenditure (capex) plans, and funding support from promoters. The firm has utilized its bank lines moderately, at an average of 87 per cent, over the 12 months ended February 2011. The firm has reported, on a provisional basis, revenues of around INR170 million with an operating margin of 10 to 11 per cent for the 11 months ended February 2011. Though Rajkamal's revenues have remained largely in line with CRISIL estimates, its margins have improved, due to its decision to shift to producing the grey melange yarn in January 2010 from polyester cotton yarn. The firm is expected to maintain the improvement in its profitability over the medium term, as the firm has expanded and modernized its operations in the current year. Unsecured loans from promoters, which are subordinated to bank borrowings, are estimated at INR12.5 million as on March 31, 2010. The rating reflects Rajkamal's small scale of operations and susceptibility to raw material price volatility. These rating weaknesses are partially offset by Rajkamal's moderate financial risk profile, marked by comfortable gearing and debt protection metrics, and its promoters' experience in the textile industry. Outlook: Stable CRISIL believes that Rajkamal's credit risk profile will continue to benefit over the medium term from the industry experience of its promoters and its healthy capital structure. The outlook may be revised to 'Positive' if Rajkamal scales up its operations and generates larger cash accruals on a sustained basis, resulting in improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' if the firm's capacities are underutilised, resulting in poor cash flows, its operating margin declines, or it undertakes a large, debt-funded capex programme over the medium term, leading to a deterioration in its financial risk profile. About Rajkamal Textiles Set up in 2002 by Mr. C Rajendran and Mrs. C Nanjammal, Rajkamal manufactures grey melange yarn. Based in Coimbatore (Tamil Nadu), the firm has capacity of 6048 spindles. It produces grey melange yarn with counts ranging from 20s to 60s. Rajkamal reported a profit after tax (PAT) of INR0.4 million on net sales of INR129.7 million for 2009-10 (refers to financial year, April 1 to March 31), against a PAT of INR0.7 million on net sales of INR117.0 million for 2008-09. SHRI BANKE: CRISIL Assigns 'B' Rating to INR65 Million LT Loan -------------------------------------------------------------- CRISIL has assigned its 'B/Stable/P4' ratings to the bank facilities of Shri Banke Bihari Polyfab Pvt Ltd. The ratings reflect SBPL's limited track record of operations in the flexible packaging industry. This weakness is partially offset by the extensive industry experience of SBPL's promoters. Facilities Ratings ---------- ------- INR21 Million Cash Credit B/Stable (Assigned) INR65 Million Long-Term Loan B/Stable (Assigned) INR10 Million Letter of Credit P4 (Assigned) INR2.5 Million Bank Guarantee P4 (Assigned) Outlook: Stable CRISIL believes that SBPL will benefit over the medium term from the strong industry experience of its promoter. The outlook may be revised to 'Positive' in case SBPL generates significantly higher than expected revenues and accruals while improving its financial risk profile. Conversely, the outlook may be revised to 'Negative' in case in case significantly lower than expected offtake leading to deterioration in its debt servicing ability. SBPL was incorporated in 2008, promoted by Mr. Shambhu Agarwalla. The company is engaged in the manufacture of Polyethylene and High Density Polyethylene woven sacks and started its commercial operations from April 2010. The company's head office and manufacturing site is in Asansol (West Bengal). Currently, SBPL has an installed capacity of 3,100 mtpa. The promoters have three other ventures: Shri Shyam Cement Works Pvt Ltd, which manufactures cement, Shri Shyam Agro Biotech Pvt Ltd (CRISIL rated 'BB-/Stable/P4+'), which manufactures wheat flour and maida, and Bask Iron and Steel Co Pvt Ltd, which trades in iron and steel products. All the entities are based in Raniganj (West Bengal). THOMSON RUBBERS: CRISIL Places 'BB-' Rating on INR100M Cash Credit ------------------------------------------------------------------ CRISIL has assigned its 'BB-/Stable/P4+' ratings to the bank facilities of Thomson Rubbers (India) Pvt Ltd. Facilities Ratings ---------- ------- INR100 Million Cash Credit BB-/Stable (Assigned) INR49 Million Foreign Bills Discounting P4+ (Assigned) INR100 Million Letter of Credit P4+ (Assigned) INR100 Million Packing Credit P4+ (Assigned) The ratings reflect TRI's weak financial risk profile, marked by high gearing and weak debt protection metrics, and its susceptibility to volatility in rubber prices and intense competition in the fragmented rubber industry. These rating weaknesses are partially offset by TRI's established market position in the rubber trading business. Outlook: Stable CRISIL believes that TRI will continue to benefit from its promoters' extensive experience in the rubber trading business. The outlook may be revised to 'Positive' in case of significant improvement in the company's capital structure, scale of operations, and profitability. Conversely, the outlook may be revised to 'Negative' if the company undertakes a large, debt- funded capital expenditure programme or in case of a sharp decline in its cash accruals. Incorporated in 2004 and based in Kanjirappally (Kerala), TRI processes and trades in natural rubber and latex products. Centrifuged latex finds application in dipped goods (medical and surgical items, household and industrial gloves, boots, and balloons) while natural rubber finds use in the manufacture of tyres. The company is managed by Mr. M T Thomas and his brother Mr. M K Mathew. The company has a rubber processing capacity of 14,000 tonnes per year. TRI reported a profit after tax (PAT) of INR1 million on net sales of INR770 million for 2009-10 (refers to financial year, April 1 to March 31) as against a PAT of INR0.2 million on net sales of INR667 million for 2008-09. WARM FORGINGS: CRISIL Assigns 'B' Rating to INR64.6MM Term Loan --------------------------------------------------------------- CRISIL has assigned its 'B/Stable/P4' rating to the bank facilities of Warm Forgings Pvt Ltd. Facilities Ratings ---------- ------- INR45.0 Million Cash Credit Limit B/Stable(Assigned) INR64.6 Million Term Loan B/Stable(Assigned) INR5.0 Million Bank Guarantee P4 (Assigned) The rating reflects the Warm group's weak financial risk profile, marked by high gearing, small net worth, and moderate debt protection metrics, small scale of operations, and its exposure to risks related to customer concentration in its revenue profile. These weaknesses are partially offset by the extensive experience of the Warm group's promoters in the automotive (auto) components industry. For arriving at the rating, CRISIL has combined the business and financial risk profiles of WFL, Warm Gears Pvt Ltd and Mah Impex Pvt Ltd, together referred to as the Warm group. This is primarily because the three entities are owned and managed by same promoter. WFL and WGL manufacture gear components and MIL manufactures mild steel (MS) ingots, which are also used by WFL and WGL. Also, WFL markets WGL's products. The three entities, therefore, derive considerable operational, financial, and business synergies from each other. Furthermore, WFL's bank limits are cross guaranteed by the bank limits of MIL. Outlook: Stable CRISIL believes that the Warm group will continue to benefit over the medium term from its promoter's extensive experience in the auto components industry. Its financial risk profile will, however, be constrained by its debt-funded capital expenditure (capex) and large working capital requirements. The outlook may be revised to 'Positive' if the group's financial risk profile improves, most likely because of equity infusion or improvement in its operating margin. Conversely, the outlook may be revised to 'Negative' if the group's financial risk profile deteriorates, most likely because of a large, debt-funded capex programme, or significant increase in working capital requirements, leading to large incremental bank borrowings. About the Group WFL was established as CNC Automotive Pvt Ltd in 1999 by Mr. Amit Rajput. The company manufactures gear components, used in two- wheelers. In 2005, CNC Engineers, a proprietorship firm owned by Mr. Amit Rajput, was merged with WFL. The company manufactures wheel hubs, gear blanks (forged and turned), sliding clutches, rotors, and pulleys at its facility in Bhiwadi (Rajasthan). The products are manufactured as per specifications provided by the customer. In order to focus on the four-wheeler market, Mr. Amit Rajput started WGL in 2005. However, the company started commercial production only in July 2010. WGL manufactures bevel gears and other gear products for the four-wheeler market. The products are manufactured as per specifications provided by the customer. It has manufacturing facilities in Bhiwadi and Noida (Uttar Pradesh). MIL, which manufactures MS ingots, was purchased in 2008 by Mr. Amit Rajput to backward integrate the group's operations. MIL started commercial production in January 2009. Its facilities are also in Bhiwadi. WFL reported a profit after tax (PAT) of INR19 million on net sales of INR532 million for 2009-10 (refers to financial year, April 1 to March 31), as against a PAT of INR6 million on net sales of INR351 million for 2008-09. ========= J A P A N ========= CSC SERIES: Fitch Downgrades Ratings on Various Classes of Bonds ---------------------------------------------------------------- Fitch Ratings has downgraded class G-3 of CSC Series 1 GK's bonds due November 2012 and maintained Rating Watch Negative on the remaining nine classes. The transaction is a Japanese multi- borrower type CMBS securitization. The rating actions are: -- JPY6.39bn* Class A-2 bonds 'AAAsf'; remains on RWN; -- JPY1.38bn* Class A-3 bonds 'AAAsf'; remains on RWN; -- JPY1.7bn* Class B-2 bonds 'Asf'; remains on RWN; -- JPY1.5bn* Class B-3 bonds 'Asf'; remains on RWN; -- JPY3.2bn* Class C-2 bonds 'BBB-sf'; remains on RWN; -- JPY3.2bn* Class D-2 bonds 'B-sf'; remains on RWN; -- JPY0.9bn* Class E-2 bonds 'CCCsf'; remains on RWN; Recovery Rating of 'RR5'; -- JPY0.6bn* Class E-3 bonds 'CCCsf'; remains on RWN; Recovery Rating of 'RR5'; -- JPY1.47bn* Class F-3 bonds 'CCCsf'; remains on RWN; Recovery Rating of 'RR6'; and -- JPY0.44bn* Class G-3 bonds downgraded to 'Dsf' from 'Csf'; Recovery Rating of 'RR6'. * as of March 16, 2011 The downgrade reflects the write-down of the principal on the February 2011 payment date, after work-out activities of one defaulted loan resulted in partial recoveries. The RWN reflects uncertainty surrounding the continued payment of interest. The special servicing fee relating to the disposal of the collateral properties is being deducted from the fund that pays the interest on the bonds, rather than from the account of received principal proceeds. As a result, the deduction has led to an interest shortfall. The transaction parties are still in the process of clarifying the payment waterfall. The RWN on the junior classes also reflects uncertainty over the value of the underlying collateral properties. The servicer is in the process of selling the collateral properties, and has received bid prices for many of them from prospective buyers. In addition, this transaction has a number of properties located in Miyagi prefecture, which has been significantly affected by the earthquake that occurred on 11 March 2011. According to the servicer's report to date, some properties have been damaged and a detailed investigation will be undertaken in due course. Fitch will review both servicer's property sales activities and information regarding damage to these properties, and reflect this in its property valuation. At closing in December 2006, the bonds were backed by loans extended to six borrowers, and ultimately secured by 72 commercial real estate properties in Japan. Two loans have been fully repaid. One defaulted loan has been partially recovered and was written down on principal. The other remaining loans extended to three borrowers are currently in default and under special servicing, and are secured by a total of 47 remaining properties. ==================== N E W Z E A L A N D ==================== AORANGI SECURITIES: McVeagh NZ$2MM Fees Payment Enforceable ----------------------------------------------------------- stuff.co.nz notes reports that Justice Lester Chisholm on March 17 made a declaration that a valid and enforceable obligation existed with respect to Russell McVeagh's professional fees in relation to advisory services the law firm rendered to Allan and Jean Hubbard, owner of Aorangi Securities. The judge's declaration means that Russell McVeagh is a step closer to having its Hubbards-related NZ$2 million bill paid, the report points out. Justice Chisholm found that the statutory managers controlling the Hubbards' finances have the power to pay the bill from the Hubbard assets they control, according to stuff.co.nz. It is not however clear how and when the money will be paid. The statutory managers previously asked the High Court for directions about Russell McVeagh's bill because they doubt if they have the power to pay it, even though they had agreed that Russell McVeagh should be contracted to do the work and that the Hubbards should have the advice. stuff.co.nz relates that Justice Chisholm said it was imperative that the Hubbards, both in their 80s, had legal representation for the statutory management and the continuing Serious Fraud Office investigation. Russell McVeagh's involvement also helped the statutory managers' dealings with the Hubbards, according to stuff.co.nz. Justice Chisholm, as cited by stuff.co.nz, noted that Russell McVeagh had begun advising the Hubbards just days after Aorangi Securities, another Hubbard company, several trusts, and the Hubbards themselves were put into statutory management. The firm received no payment and was at a crossroads as to whether it could continue advising the Hubbards if its contract was unclear. According to the report, Justice Chisholm said the independent supervision of Russell McVeagh's bill was not a reflection on the firm but recognised the unique circumstances, including the importance of the statutory managers being able to persuade the public that they were undertaking their roles prudently. The statutory managers' application to have NZ$891,000 paid from the Hubbards' assets for their own and third-party fees in dealing with the Hubbards personally is still to be argued, stuff.co.nz notes. The High Court has been told that statutory management has cost more than NZ$4 million, stuff.co.nz adds. As reported in the Troubled Company Reporter-Asia Pacific on June 23, 2010, Bloomberg News said New Zealand appointed statutory managers for Aorangi Securities Ltd. and seven trusts, which are associated with Allan Hubbard, to protect investors and prevent fraud. Mr. Hubbard and his wife are also subject to statutory management because they are so closely connected with the businesses. The seven charitable trusts included in the statutory management are Te Tua, Otipua, Oxford, Regent, Morgan, Benmore and Wai-iti. Trevor Thornton and Richard Simpson of Grant Thornton were appointed as statutory managers. The Temple Bar Family Trust and Barns Charitable Trust were also put into statutory management in September 2010 on recommendation from the Securities Commission. Hubbard Churcher Trust Management and Forresters Nominees Company were also added to the list of businesses under management by Trevor Thorton, Richard Simpson and Graeme McGlinn on September 20, 2010. Aorangi Securities Ltd was incorporated in 1974 and is solely controlled by the Hubbards. NATHANS FINANCE: Directors Pleads Not Guilty to SEC Charges ----------------------------------------------------------- The National Business Review reports that Nathans Finance directors facing criminal charges linked to the financier's collapse on Monday pleaded not guilty to all charges at Auckland's High Court. NBR says Mervyn Doolan, Roger Moses and Don Young are before the High Court as the first of the Company's trials begins. New Zealand's Securities Commission has bought six charges against the trio for breaches of the Securities Act, according to NBR. It is alleged the directors made false statements in the investment statements of Nathans Finance, which collapsed into receivership in 2007, owing about NZ$174 million, NBR adds. About Nathans Finance Nathans Finance Ltd went into receivership when the finance company's trustee, Perpetual Trust Limited, appointed receivers on August 20, 2007. The company owed approximately NZ$174 million to some 7,000 investors. Nathans Finance is a wholly owned subsidiary of VTL Group Limited, which also went into receivership in November 2008. VTL Group owns a number of vending machine related businesses which operate in New Zealand, Australia, North America and Europe. ===================== P H I L I P P I N E S ===================== A.M. CREDITWORLD: Failure to Submit Report Cues License Suspension ------------------------------------------------------------------ BusinessWorld Online reports that the Philippine Securities and Exchange Commission has ordered A.M. Creditworld Finance Corp. to halt operations for failing to submit routine reports and pay fines. BusinessWorld relates that the SEC said A.M. Creditworld Finance will have to settle penalties and go through hearings in the next 60 days, which will determine whether the company's business registration will be revoked. In the meantime, BusinessWorld cites, the company's license to operate has been suspended. The SEC said A.M. Creditworld "failed to submit and comply with reportorial requirement", according to BusinessWorld. A.M. Creditworld Finance Corp. is a financing company. BELLEDONE FINANCING: SEC Orders Suspension of License to Operate ------------------------------------------------------------------ BusinessWorld Online reports that the Philippine Securities and Exchange Commission has ordered Belledone Financing Corp. to halt operations for failing to submit routine reports and pay fines. BusinessWorld relates that the SEC said Belledone Financing will have to settle penalties and go through hearings in the next 60 days, which will determine whether the company's business registrations will be revoked. In the meantime, BusinessWorld cites, the company's license to operate has been suspended. According to BusinessWorld, the SEC said Belledone Financing was penalized PHP100,000 for failing to comply with reportorial requirements for financial statements in 2005 to 2009. The Mariveles, Bataan-based Belledone Financing was incorporated in 2004 with an authorized capital of PHP3 million. GOLDEN ENDEAVOR: SEC Suspends License Over Non-Payment of Fine -------------------------------------------------------------- BusinessWorld Online reports that the Philippine Securities and Exchange Commission has ordered Golden Endeavor Microfinance Corp. to halt operations for failing to submit routine reports and pay fines. BusinessWorld relates that the SEC said Golden Endeavor Microfinance will have to settle penalties and go through hearings in the next 60 days, which will determine whether the company's business registration will be revoked. In the meantime, BusinessWorld cites, the company's license to operate has been suspended. According to the report, Golden Endeavor Microfinance was placed under suspension after allegedly not paying PHP100,000 in penalties due to late submission of annual financial statements, general information sheets and certification of corporate secretary in 2003 onwards. Golden Endeavor Microfinance Corp. is a finance firm based in La Union, Philippines. ================= S I N G A P O R E ================= ALTUS TECHNOLOGIES: Court to Hear Wind-Up Petition on April 1 ------------------------------------------------------------- A petition to wind up the operations of Altus Technologies Pte Ltd will be heard before the High Court of Singapore on April 1, 2011, at 10:00 a.m. Tay Swee Sze, the Judicial Manager of Altus Technologies Pte Ltd, filed the petition against the company on March 8, 2011. The Petitioner's solicitors are: Nicholas & Tan Partnership LLP 24 Raffles Place #21-03 Clifford Centre Singapore 048621 CHUAN SOON: Creditors' Proofs of Debt Due March 29 -------------------------------------------------- Creditors of Chuan Soon Huat Investments Pte Ltd, which is in voluntary liquidation, are required to file their proofs of debt by March 29, 2011, to be included in the company's dividend distribution. The company's liquidator is: Tay Puay Cheng KPMG Services Pte. Ltd. 16 Raffles Quay #22-00 Hong Leong Building Singapore 048581 GRANDIS EMS: Creditors' Proofs of Debt Due March 29 --------------------------------------------------- Creditors of Grandis EMS Pte Ltd, which is in voluntary liquidation, are required to file their proofs of debt by March 29, 2011, to be included in the company's dividend distribution. The company's liquidator is: Lau Chin Huat 6 Shenton Way #32-00 DBS Building Tower Two Singapore 068809 KIAN SENG: Creditors' Proofs of Debt Due March 29 ------------------------------------------------- Creditors of Kian Seng Lee (1488) Food Manufacturers Ptd Ltd, which is in voluntary liquidation, are required to file their proofs of debt by March 29, 2011, to be included in the company's dividend distribution. The company's liquidator is: Don M Ho, FCPA c/o Don Ho & Associates Equity Plaza 20 Cecil Street #12-02 Singapore 049705 KIM KEAT: Creditors' Proofs of Debt Due April 18 ------------------------------------------------ Creditors of Kim Keat Garden Pte Ltd, which is in voluntary liquidation, are required to file their proofs of debt by April 18, 2011, to be included in the company's dividend distribution. The company's liquidator is: Wee Hui Pheng Wee Hui Pheng & Co. 1 Coleman Street #06-10 The Adelphi Singapore 179803 MELIADOR PTE: Court Enters Wind-Up Order ---------------------------------------- The High Court of Singapore entered an order on March 11, 2011, to wind up Meliador Pte Ltd's operations. Schott Glass (M) Sdn Bhd filed the petition against the company. The company's liquidator is: The Official Receiver Insolvency & Public Trustee's Office The URA Centre (EastWing) 45 Maxwell Road #06-11 Singapore 069118 SGRE INVESTMENTS: Creditors' Proofs of Debt Due April 18 -------------------------------------------------------- Creditors of SGRE Investments Pte Ltd, which is in voluntary liquidation, are required to file their proofs of debt by April 18, 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 SINOVA PHARMACEUTICALS: Creditors' Proofs of Debt Due April 18 -------------------------------------------------------------- Creditors of Sinova Pharmaceuticals Co. (Pte) Ltd, which is in voluntary liquidation, are required to file their proofs of debt by April 18, 2011, to be included in the company's dividend distribution. The company's liquidator is: Victor Goh Baker Tilly TFW LLP 15 Beach Road #03-10 Beach Centre Singapore 189677 VIVIDES LTD: Court to Hear Wind-Up Petition April 1 --------------------------------------------------- A petition to wind up the operations of Vivides Ltd, formerly known as Goldzone (Asia Pacific) Ltd, will be heard before the High Court of Singapore on April 1, 2011, at 10:00 a.m. Creative Technology Centre Pte Ltd filed the petition against the company on March 11, 2011. The Petitioner's solicitors are: Messrs WongPartnership LLP 63 Market Street #02-01 Singapore 048942 WANG WANG PAWNSHOP: Creditors Get 6.09% Recovery on Claims ---------------------------------------------------------- Wang Wang Pawnshop Pte Ltd declared final dividend on March 17, 2011. The company paid 6.09% to the received claims. The company's liquidator is: Don M Ho, FCPA c/o Don Ho & Associates Equity Plaza 20 Cecil Street #12-02 Singapore 049705 =============== X X X X X X X X =============== * BOND PRICING: For the Week March 14 to March 18, 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 1.25 AMITY OIL LTD 10.00 10/31/2013 AUD 2.01 AMP GROUP FINANC 9.80 04/01/2019 NZD 0.95 BECTON PROP GR 9.50 06/30/2010 AUD 0.19 CENTAUR MINING 11.00 12/01/2007 USD 0.50 EXPORT FIN & INS 0.50 12/16/2019 NZD 63.40 EXPORT FIN & INS 0.50 06/15/2020 AUD 62.28 EXPORT FIN & INS 0.50 06/15/2020 NZD 60.36 FIRST AUSTRALIAN 15.00 01/31/2012 AUD 0.60 HEEMSKIRK CONSOL 8.00 04/29/2011 AUD 2.88 NEW S WALES TREA 1.00 09/02/2019 AUD 65.66 NEW S WALES TREA 0.50 09/14/2022 AUD 53.72 NEW S WALES TREA 0.50 10/07/2022 AUD 53.54 NEW S WALES TREA 0.50 10/28/2022 AUD 53.36 NEW S WALES TREA 0.50 11/18/2022 AUD 53.18 NEW S WALES TREA 0.50 12/16/2022 AUD 52.95 NEW S WALES TREA 0.50 02/02/2023 AUD 52.51 NEW S WALES TREA 0.50 03/30/2023 AUD 54.72 NEXUS AUSTRALIA 3.60 08/31/2017 AUD 73.37 NEXUS AUSTRALIA 3.60 08/31/2019 AUD 66.74 RESOLUTE MINING 12.00 12/31/2012 AUD 1.06 TREAS CORP VICT 0.50 08/25/2022 AUD 54.30 TREAS CORP VICT 0.50 11/12/2030 AUD 52.59 TREAS CORP VICT 0.50 11/12/2030 AUD 36.72 CHINA ----- CHINA GOV'T BOND 1.64 12/15/2033 CNY 61.81 CHINA RAIL GRP 4.72 05/07/2014 CNY 55.00 HONG KONG --------- RESPARCS FUNDING 8.00 12/29/2049 USD 44.68 INDIA ----- POWER FIN CORP 8.99 01/15/2021 INR 9.15 PUNJAB INFRA DB 0.40 10/15/2024 INR 26.24 PUNJAB INFRA DB 0.40 10/15/2025 INR 23.97 PUNJAB INFRA DB 0.40 10/15/2026 INR 21.92 PUNJAB INFRA DB 0.40 10/15/2027 INR 20.07 PUNJAB INFRA DB 0.40 10/15/2028 INR 18.39 PUNJAB INFRA DB 0.40 10/15/2029 INR 16.90 PUNJAB INFRA DB 0.40 10/15/2030 INR 15.55 PUNJAB INFRA DB 0.40 10/15/2031 INR 14.34 PUNJAB INFRA DB 0.40 10/15/2032 INR 13.25 PUNJAB INFRA DB 0.40 10/15/2033 INR 12.27 INDONESIA --------- ARPENI PRATAMA 12.00 03/18/2013 IDR 18.00 JAPAN ----- AIFUL CORP 1.20 01/26/2012 USD 74.92 AIFUL CORP 1.99 03/23/2012 JPY 72.87 AIFUL CORP 1.22 04/20/2012 JPY 67.92 AIFUL CORP 1.63 11/22/2012 JPY 54.92 AIFUL CORP 1.74 05/28/2013 JPY 47.92 AIFUL CORP 1.99 10/19/2015 JPY 37.92 JPN EXP HLD/DEBT 0.50 09/17/2038 JPY 56.83 JPN EXP HLD/DEBT 0.50 03/18/2039 JPY 56.20 SHINSEI BANK 5.62 12/29/2049 GBP 73.35 TAKEFUJI CORP 9.20 04/15/2011 USD 17.25 MALAYSIA -------- ADVANCED SYNERY 2.00 01/26/2018 MYR 0.10 ALIRAN IHSAN RES 5.00 11/29/2011 MYR 1.33 CRESENDO CORP B 3.75 01/11/2016 MYR 1.06 DUTALAND BHD 6.00 04/11/2013 MYR 0.41 DUTALAND BHD 6.00 04/11/2013 MYR 0.79 EASTERN & ORIENT 8.00 07/25/2011 MYR 1.05 EASTERN & ORIENT 8.00 11/16/2019 MYR 1.10 KUMPULAN JETSON 5.00 11/27/2012 MYR 0.80 LION DIVERSIFIED 4.00 12/17/2013 MYR 0.60 MITHRIL BHD 3.00 04/05/2012 MYR 0.62 NAM FATT CORP 2.00 06/24/2011 MYR 0.05 OLYMPIA INDUSTRI 6.00 04/11/2013 MYR 0.28 OLYMPIA INDUSTRI 6.00 04/11/2013 MYR 0.54 OLYMPIA INDUSTRI 6.00 04/11/2013 MYR 0.33 PANTECH GROUP 7.00 12/21/2017 MYR 0.10 PUNCAK NIAGA HLD 2.50 11/18/2016 MYR 0.52 REDTONE INTL 2.75 03/04/2020 MYR 0.07 RUBBEREX CORP 4.00 08/14/2012 MYR 0.83 SCOMI ENGINEERING 4.00 03/19/2013 MYR 0.82 SCOMI GROUP 4.00 12/14/2012 MYR 0.07 TATT GIAP 2.00 06/03/2015 MYR 0.70 TRADEWINDS CORP 2.00 02/26/2016 MYR 0.83 TRADEWINDS PLANT 3.00 02/28/2016 MYR 1.35 TRC SYNERGY 5.00 01/20/2012 MYR 1.44 WAH SEONG CORP 3.00 05/21/2012 MYR 2.40 WIJAYA BARU GLOB 7.00 09/17/2012 MYR 0.24 YTL CEMENT BHD 5.00 11/10/2015 MYR 2.36 NEW ZEALAND ----------- ALLIED FARMERS 9.60 11/15/2011 NZD 32.06 DORCHESTER PACIF 5.00 06/30/2013 NZD 73.86 FLETCHER BUI 8.50 03/15/2015 NZD 7.59 INFRATIL LTD 8.50 09/15/2013 NZD 8.15 INFRATIL LTD 8.50 11/15/2015 NZD 9.00 INFRATIL LTD 4.97 12/29/2049 NZD 58.02 KIWI INCOME PROP 8.95 12/20/2014 NZD 1.29 MANUKAU CITY 6.15 09/15/2013 NZD 1.02 MANUKAU CITY 6.90 09/15/2015 NZD 1.04 MARAC FINANCE 10.50 07/15/2013 NZD 1.02 SKY NETWORK TV 4.01 10/16/2016 NZD 7.83 ST LAURENCE PROP 9.25 07/15/2010 NZD 63.09 TOWER CAPITAL 8.50 04/15/2014 NZD 1.03 TRUSTPOWER LTD 8.50 09/15/2012 NZD 6.90 TRUSTPOWER LTD 8.50 03/15/2014 NZD 8.20 TRUSTPOWER LTD 7.60 12/15/2014 NZD 1.01 TRUSTPOWER LTD 8.60 12/15/2016 NZD 1.04 UNI OF CANTERBUR 7.25 12/15/2019 NZD 1.00 VECTOR LTD 8.00 06/15/2012 NZD 6.95 VECTOR LTD 8.00 10/15/2014 NZD 1.06 SINGAPORE --------- CAPITAMALLS ASIA 1.00 01/21/2012 SGD 0.97 CAPITAMALLS ASIA 2.15 01/21/2014 SGD 0.99 EQUINOX OFFSHORE 20.00 10/13/2011 USD 70.99 NEXUS 1 PTE LTD 10.50 03/07/2012 USD 1.00 UNITED ENG LTD 1.00 03/03/2014 SGD 1.62 WBL CORPORATION 2.50 06/10/2014 SGD 1.60 SOUTH KOREA ----------- CN 1ST ABS 8.00 02/27/2015 KRW 31.53 DONGSAN DEVELOPM 3.50 05/08/2011 KRW 13.26 DONGSAN TELECOM 6.00 07/02/2013 KRW 50.84 HOPE KOD 1ST 8.50 06/30/2012 KRW 23.29 HOPE KOD 2ND 15.00 08/21/2012 KRW 36.12 HOPE KOD 3RD 15.00 09/30/2012 KRW 30.53 HOPE KOD 4TH 15.00 12/29/2012 KRW 31.52 HOPE KOD 6TH 15.00 03/10/2013 KRW 34.62 IBK 12TH ABS 25.00 06/24/2011 KRW 57.65 IBK 17TH ABS 20.00 12/29/2012 KRW 5.98 IBK 17TH ABS 25.00 12/29/2012 KRW 59.23 JOONG ANG DESIGN 6.00 12/18/2012 KRW 59.42 KB 11TH ABS 23.00 07/03/2011 KRW 71.68 KB 11TH ABS 20.00 07/03/2011 KRW 66.71 KB 12TH ABS 25.00 01/21/2012 KRW 65.21 KB 13TH ABS 25.00 07/02/2012 KRW 61.21 KB 14TH ABS 23.00 01/04/2013 KRW 51.81 KDB 6TH ABS 20.00 12/02/2019 KRW 70.53 KEB 17TH ABS 20.00 12/28/2011 KRW 52.10 KOREA LINE CO 6.80 11/30/2011 KRW 60.20 KOREA LINE CO 6.80 12/11/2011 KRW 50.38 KOREA LINE CO 6.80 06/30/2012 KRW 40.62 KOREA MUTUAL SAV 8.10 06/26/2015 KRW 70.18 NACF 17TH ABS 20.00 06/03/2011 KRW 50.24 NACF 17TH ABS 25.00 07/03/2011 KRW 51.84 ONE KDB 1ST ABS 7.60 06/13/2011 KRW 25.71 OSAN MYTOWN 1ST 5.64 04/16/2012 KRW 63.36 OSAN MYTOWN 2ND 5.64 04/16/2012 KRW 71.44 SINBO 1ST ABS 15.00 07/22/2013 KRW 30.61 SINBO 2ND ABS 15.00 08/26/2013 KRW 32.61 SINBO 3RD ABS 15.00 09/30/2013 KRW 33.41 SINBO 4TH ABS 15.00 12/16/2013 KRW 31.25 SINBO 5TH ABS 15.00 02/23/2014 KRW 30.45 SINBO CO 1ST ABS 15.00 03/15/2014 KRW 30.16 SOLOMON MUTUAL B 8.10 04/19/2015 KRW 63.98 TOMATO MUTUAL SA 8.40 01/06/2015 KRW 1.20 SRI LANKA --------- SRI LANKA GOVT 5.35 03/01/2026 LKR 66.36 THAILAND -------- THAILAND GOVT 0.75 01/04/2022 THB 71.43 VIETNAM -------- VIETNAM MACHINE 9.20 06/06/2017 VND 69.97 VIETNAM SHIPBUIL 9.00 04/13/2017 VND 52.63 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 ***