/raid1/www/Hosts/bankrupt/TCRAP_Public/110411.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Monday, April 11, 2011, Vol. 14, No. 71
Headlines
A U S T R A L I A
COLORADO GROUP: Receivers Put Business Up for Sale
GRIFFIN COAL: Sells Bluewaters Power Project to Japanese Buyers
JOHNSON PROPERTY: Set to Go Into Voluntary Administration
C H I N A
CHINA AUTOMATION: Moody's Assigns First-Time 'Ba3' CFR Rating
CHINA AUTOMATION: S&P Assigns 'BB-' LT Corporate Credit Rating
CHINA IVY: Michael Studer Raises Going Concern Doubt
CHINA RUITAI: Bernstein & Pinchuk Raises Going Concern Doubt
CITIC PACIFIC: Moody's Assigns 'Ba1' Rating to Notes
DIGUANG INTERNATIONAL: Recurring Losses Cue Going Concern Doubt
FEIHE INT'L: Deloitte Touche Tohmatsu Raises Going Concern Doubt
GUANGZHOU GLOBAL: Delays Filing of 2010 Annual Report
MATCHES, INC: Bernstein & Pinchuk Raises Going Concern Doubt
SINOBIOMED INC: Signs Letter of Intent to Merge With Sitoa
TONGJI HEALTHCARE: Delays Filing of 2010 Annual Report
H O N G K O N G
BAHT NAVIGATION: Creditors' Proofs of Debt Due May 8
CAN HOLDINGS: Members' Final Meeting Set for May 9
CAPITAL ASIA: Leong and Mok Step Down as Liquidators
CAPITAL CONCORD: Placed Under Voluntary Wind-Up Proceedings
CHEONG MING: Commences Wind-Up Proceedings
EVER RISING: Middleton and Cowley Step Down as Liquidators
HOPES ENTERPRISES: Placed Under Voluntary Wind-Up Proceedings
HSIN CHONG: Commences Wind-Up Proceedings
INFINITY GOAD: Commences Wind-Up Proceedings
INVESTORS MORTGAGE: Members' Final General Meeting Set for May 13
I N D I A
KARLO AUTOMOBILES: CRISIL Rates INR50MM Cash Credit at 'BB-'
LAHARI HOLIDAY: CRISIL Assigns 'B-' Rating to INR93MM LT Loan
LAKSH NATURAL: CRISIL Assigns 'B-' Rating to INR34.8MM LT Loan
MAGNUM EXPORT: CRISIL Reaffirms 'P4' Rating on Bank Loans
NEOTERIC INFOMATIQUE: CRISIL Reaffirms 'BB+' Cash Credit Rating
P & M INFRASTRUCTURES: CRISIL Rates INR250MM LT Loan at 'BB-'
RAIN CII: S&P Withdraws 'B' Long-Term Corporate Credit Rating
RATHNA STORES: CRISIL Assigns 'BB-' Rating to INR35MM LT Loan
SANDY RESORT: CRISIL Cuts Rating on INR146MM Term Loan to 'D'
SIDDIQUE INFRASTRUCTURE: CRISIL Cuts LT Loan Rating to 'B'
SRC CHEMICALS: CRISIL Assigns 'BB+' Rating to INR40MM Cash Credit
TULSI DALL: CRISIL Assigns 'B' Rating to INR55MM Cash Credit
UNITED EXPORTS: CRISIL Assigns 'B' Rating to INR15MM Term Loan
J A P A N
RESONA BANK: Fitch Affirms, Withdraws Individual 'C/D' Rating
N E W Z E A L A N D
PARITUA VINEYARDS: Chinese Group Buys Winery for NZ$10 Million
PIKE RIVER: NZOG Rules Out Handing Over Cash for Pike's Legal Fees
WILLIAM HILL: Receivers Sell 3,000 Cases of Wine
P H I L I P P I N E S
ALLIED BANK: Fitch Affirms, Withdraws 'D' Individual Rating
PHILIPPINE NATIONAL: Fitch Affirms, Withdraws 'D/E' Ind. Rating
S I N G A P O R E
AMPTON ENTERPRISES: Creditors' Proofs of Debt Due May 9
FOREST HOLDINGS: Court to Hear Wind-Up Petition on April 15
FRASER THERMAL: Creditors Get *S$1.61 Recovery on Claims
KN WELL: Creditors' Proofs of Debt Due April 22
KWAN HONG: Court to Hear Wind-Up Petition on April 15
OKAYI CONTRACTS: Creditors' Meetings Set for April 12
SEA-SHORE TRANS: Court to Hear Wind-Up Petition on April 15
SINOYING SINGAPORE: Court Enters Wind-Up Order
SPURWAY COOKE: Creditors' Proofs of Debt Due April 25
- - - - -
=================
A U S T R A L I A
=================
COLORADO GROUP: Receivers Put Business Up for Sale
--------------------------------------------------
ABC News reports that the receivers and managers of Colorado Group
Limited have put the company up for sale.
As reported in the Troubled Company Reporter-Asia Pacific on
March 31, 2011, Colorado Group Limited was placed in receivership
on March 30, 2011, following the board's appointment of Deloitte
as voluntary administrators. Colorado Group incorporates five
well-known brands -- JAG, Diana Ferrari, Colorado, Mathers,
Williams -- with 434 stores across Australia and New Zealand.
Ferrier Hodgson partners James Stewart, Brendan Richards and Will
Colwell were appointed receivers and managers over the group. The
appointment was made by the syndicate of secured creditors owed
AU$400 million.
According to ABC News, Mr. Stewart said the company is looking to
receive expressions of interest from around the region by April 19
and will then take several months to conclude the sale process.
"These are well-known brands with an established history in the
Australian retail market that will provide the right buyer with
the opportunity to consolidate their presence in this region," ABC
News quotes Mr. Stewart as saying. "We have already had a
pleasing number of unsolicited expressions of interest for all
brands."
Ferrier Hodgson, says ABC News, also confirmed that Kevin Roberts,
the chief executive appointed in late 2010 to try and turn
Colorado's performance around, will stay on during the
receivership process.
About Colorado Group
Colorado Group -- http://www.coloradogroup.com.au/-- is a leading
footwear and apparel retailer and wholesaler with more than 430
stores in Australia and New Zealand operating under the divisions
of Colorado, Mathers, Williams, diana ferrari, Jag, and Pairs.
The group employs approximately 3,800 people.
GRIFFIN COAL: Sells Bluewaters Power Project to Japanese Buyers
---------------------------------------------------------------
Reuters reports that the administrators for Griffin Coal Mining
Company are close to finalizing the sale of the company's
Bluewaters power project in Western Australia to a Japanese
consortium for an enterprise value of around $1.2 billion, sources
said Friday.
According to Reuters, sources said Sumitomo Corp. and Kansai
Electric Power Co. are acquiring the project from Griffin, after
the $800 million-plus sale of the company's coal mines to Indian
sponsor Lanco Infratech completed at the end of February.
Reuters notes that administrator Korda Mentha tried to sell the
power plant last year but put the effort on hold after bidders
were reluctant to bid until they knew who the owner of the coal
operations would be. The mines supply the coal to run the power
project.
While the power station is a long-life asset with attractive coal
supply contracts, it is highly leveraged. It has a AU$1.015
billion (US$1.06 billion) project loan arranged by Australia and
New Zealand Group, National Australia Bank, Societe Generale and
WestLB, according to Thomson Reuters Loan Pricing Corp data.
Macquarie Capital Advisers, the investment banking unit of
Macquarie Group, and UBS were the financial advisers for the sale.
About Griffin Coal
Based in Australia, The Griffin Coal Mining Company Pty Ltd --
http://www.griffincoal.com.au/-- is engaged in coal mining and
processing. Griffin Coal operates major mines in the Collie area,
approximately 220 kilometers south east of Perth. The Company is
producing more than three million tons of coal per year. Griffin
Coal has operations at Ewington Mine, Muja Mine and Buckingham
Mine.
* * *
As reported by the Troubled Company Reporter-Asia Pacific on
Jan. 4, 2010, Bloomberg News said Griffin Coal Mining Co.
appointed Kordamentha as administrator with total debts amounting
to AU$700 million. The coal supplier defaulted on an interest
payment in December 2009 to bondholders owed US$475 million and
also missed a payment to Australia's tax authority.
JOHNSON PROPERTY: Set to Go Into Voluntary Administration
---------------------------------------------------------
James Thomson at SmartCompany reports that Sydney property
developer Keith Johnson will place his development company Johnson
Property Group into the hands of administrators in an attempt to
restructure the business, which is struggling with a AU$100
million debt load.
SmartCompany, citing a report in the Australian Financial Review,
relates that Mr. Johnson has secured the support of lenders
including Westpac, National Australia Bank and Gresham to place
the group in the hands of administrators from Sydney accounting
firm deVriesTayeh.
The plan is to try and restructure the business with a refinancing
deal, SmartCompany says.
But while Johnson Property Group claimed just three years ago to
have a land bank with 12,000 lots and a total value of AU$3.5
billion, SmartCompany says Mr. Johnson has told the AFR that he
is now "worth nothing".
SmartCompany relates that Mr. Johnson said delays with local
government planning processes had meant he was forced to hold on
to land while paying ever-increasing interest charges. The global
credit crisis -- which has been a particular problem for property
developers -- has also dried up Mr. Johnson's funding sources,
SmartCompany adds.
Johnson Property Group is one of NSW's largest private land
developers. The company's current projects include a
AU$200 million development at Lake Macquarie, a development at
Cooranbong near the Hunter Valley and the giant Pitt Town housing
development in the Hawkesbury Valley.
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C H I N A
=========
CHINA AUTOMATION: Moody's Assigns First-Time 'Ba3' CFR Rating
-------------------------------------------------------------
Moody's Investors Service has assigned a first-time Ba3 corporate
family rating to China Automation Group Limited. At the same
time, Moody's has assigned a provisional (P)Ba3 rating to its
proposed USD senior unsecured bond issue. The outlook for the
ratings is stable.
The proceeds from the proposed bonds will be used for general
working capital purposes and to fund acquisitions.
The provisional status of the bond rating will be removed after
China Automation has completed the USD bond issuance upon
satisfactory terms and conditions.
Ratings Rationale
"China Automation's Ba3 corporate family rating reflects its
leading position and track record in a niche market -- the supply
of safety and critical control systems to China's petrochemicals
and railways signaling sectors," says Ivan Chung, a Moody's Vice
President and Senior Analyst.
The company has a 71.3% market share in safety and critical
control systems in China's petrochemicals sector, and a 36.5%
share in railway interlocking systems through its subsidiary
Beijing Jiaoda Microunion, one of the four licensed suppliers
certified by China's Ministry of Railways.
"The ratings also incorporate the company's core competence in
safety and control systems, and its efficient cost structure.
These factors enable it to achieve strong growth and sustain its
market shares in both of these fast-growing sectors in China,"
says Chung.
Demand for China Automation's products is expected to remain
strong in light of the modernization and government-sanctioned
expansion of the petrochemicals and railways industries.
"But, China Automation's Ba3 ratings are constrained by its
strategy of broadening its market and product ranges through
acquisitions, and by the high level of working capital needs
inherent to its control systems industry," adds Chung.
In this context, since 2008, China Automation has acquired Beijing
Jiaoda Microunion Tech Co Ltd, Wuzhong Instrument Co Ltd and
Zhongjing Engineering Software Technology Co Ltd. These
transactions have helped it enter the railways market and
strengthened its integrated operations in the petrochemicals
market.
"At the same time, Moody's considers China Automation as small
compared to its global peers, and that its market position could
be challenged in the long run by global players with more advance
technologies and financial strength," says Chung.
The stable rating outlook reflects Moody's expectation that the
company will maintain its strong market position in safety and
critical control products, and continue to pursue a prudent
acquisition and financial management strategy.
Upward rating pressure will be limited in the near term, given its
small scale. However, the ratings could come under upgrade
pressure over the medium term if China Automation establishes
further a track record of (1) consistently achieving its planned
sales targets; (2) successfully executing and integrating its
acquisitions; (3) further diversifying its product mix and end-
market customer base; and (4) strengthening its liquidity profile,
while expanding its operating scale
With respect to its credit metrics, Moody's sees total annual
revenues above RMB 3 billion, EBITDA/interest coverage
consistently above 4x-4.5x, Debt/EBITDA below 2.5x-3x, FFO/Debt
above 25%, and adjusted debt/total capitalization below 40 -- 45%
as indications for a potential ratings upgrade.
On the other hand, the ratings come under pressure for a downgrade
if China Automation (1) loses its railways business licenses; (2)
sees a material decline in its sales, and/or profit margins, such
that its EBITDA margin falls below 15%; or (3) impairs its
liquidity, or increases its debt leverage materially due to
aggressive acquisitions.
A downgrade could be triggered if balance-sheet cash declines
below 18% of total assets, or if its credit metrics are likely to
deteriorate, with EBITDA/interest below 3x, Debt/EBITDA above 4x,
FFO/Debt below 15%, and adjusted debt leverage consistently above
50%-55%.
The principal methodology used in rating China Automation was
Moody's Rating Methodology on "Global Manufacturing Industry,"
published in December 2010.
China Automation Group Limited specializes in providing safety and
critical control systems for the petrochemicals and railways
signaling industries in China. It began its operations in 1999
and listed on the Main Board of the Stock Exchange of Hong Kong
Limited on 12 July 2007. Its three founders, Mr. Xuan Rui Guo
(Chairman & Executive Director), Mr. Kuang Jian Ping (CEO &
Executive Director), and Mr. Huang Zhi Yong (Executive Director),
collectively own 44.83% of the company.
CHINA AUTOMATION: S&P Assigns 'BB-' LT Corporate Credit Rating
--------------------------------------------------------------
Standard & Poor's Ratings Services said it had assigned its 'BB-'
long-term corporate credit rating to China-based industrial safety
and critical control systems provider, China Automation Group Ltd.
(CAG). The outlook is stable. "At the same time, we assigned our
'BB-' issue rating to the company's proposed senior unsecured
Notes," S&P said. The rating on the notes is subject to Standard
& Poor's review of the final documentation for the notes issuance.
"The rating on CAG reflects the company's limited revenue base and
high customer concentration. The company also has a weaker
technology base than leading global peers'. The company's
dominant position in its niche petrochemical and railway control
systems' market in China tempers these weaknesses. The high entry
barriers and favorable growth prospects of China's petrochemical
and railway industries offer additional support," said Standard
& Poor's credit analyst Joe Poon.
"We believe CAG's narrow revenue base, which is partly due to its
limited number of clients, increases the company's business
volatility. At the end of 2010, the top five clients accounted
for 51% of total revenue. The company's clients are mainly
government agencies and large state-owned enterprises. Despite
CAG's long relationship with these clients, any change in
government policy that delays or cuts back project planning will
hurt its operating performance," S&P noted.
"In our view, CAG lacks key hardware technology for more advanced
automation systems. It has a satisfactory technology base,
particularly in software and system integration, in the domestic
market. The company relies on foreign partners to procure
hardware and more advanced technology, particularly for
signaling systems used in high-speed and metro railways. We
expect CAG to expand its project base through more strategic
alliances with leading foreign peers," S&P said.
"CAG started its railway control systems business only in 2003,
and we view its record as short. The business started to grow
more significantly after CAG acquired Beijing Jiaoda Microunion
Tech. Co. Ltd. (BJM) in 2008. BJM is one of only four companies
that China's railways ministry has licensed to provide railway
interlocking systems. The ministry's decision to grant more
licenses or change its policy could impair CAG's market share or
weaken its price bargaining power," according to S&P.
"We expect CAG to defend its dominant position in the
petrochemical and railway industries due to the high entry
barriers. The company had a 71.3% and 36.5% share of the control
and safety systems' markets, respectively, in 2009. High
specialization required to develop petrochemical safety and
control systems, high switching costs, and CAG's significant
investment and proven record create the high entry barriers. The
government's license and certification requirements for the supply
of railway signaling and safety systems also deter potential new
entrants," S&P stated.
"In our view, CAG is likely to expand its project base due to the
recovery in the domestic petrochemical market and the Chinese
government's increasing fixed investment in railways," S&P noted.
"We expect CAG's financial risk profile to be significant after it
issues senior unsecured bonds. We expect leverage to remain high
in the next one to two years," said Mr. Poon. "Nevertheless, the
company's stable profitability and cash flow should help it to
maintain a financial risk profile consistent with the current
rating. According to our base-case scenario, the company's
adjusted total debt to EBITDA is likely to be about 3.0x in the 12
months after the bond issuance."
CAG intends to use the issue proceeds primarily to fund capital
expenditure, refinancing debt, and for general corporate purposes.
"We believe that CAG has adequate liquidity for the next two
years. The company's cash balance was Chinese renminbi (RMB)
678.5 million at the end of 2010, with sufficient access to
undrawn lines. This should be adequate to meet RMB247 million in
short-term debt. Moreover, the proposed notes should provide
sufficient liquidity for future investments and acquisitions," S&P
related.
"The stable outlook reflects our expectation that CAG's strong
market position and favorable industry prospects will help the
company improve its revenue base while maintaining good
profitability," S&P said.
"We may raise the rating if the company significantly expands its
revenue base by selling a wider range of products to more users,
while maintaining its current profitability and leverage.
Conversely, we may lower the rating if the company's profitability
and cash flow declines, such that its ratio of adjusted total debt
to EBITDA is more than 4x for an extended period. The ratio could
rise if changes in government policy weaken CAG's market position
and profitability, or if aggressive acquisitions and capital
expenditures cause the company's debt to rise beyond our
expectation," S&P noted.
CHINA IVY: Michael Studer Raises Going Concern Doubt
----------------------------------------------------
China Ivy School, Inc., filed on March 31, 2011, its annual report
on Form 10-K for the fiscal year ended Dec. 31, 2010.
Michael T. Studer CPA P.C., in Freeport, New York, expressed
substantial doubt about the Company's ability to continue as a
going concern. Mr. Studer noted that, as of Dec. 31, 2010, and
2009, the Company had a working capital deficit of US$12,255,303
and US$11,038,871, respectively. "The Company also had an
accumulated deficit of US$5,949,928 as of Dec. 31, 2010."
The Company reported a net loss of US$834,306 on US$6.4 million of
revenue for 2010, compared with a net loss of US$814,928 on
US$6.3 million of revenue for 2009.
At Dec. 31, 2010, the Company's balance sheet showed US$17.6
million in total assets, US$16.3 million in total liabilities, and
stockholders' equity of US$1.3 million.
A complete text of the Form 10-K is available for free at:
http://is.gd/FclLNF
Based in Jiangsu Province, China, China Ivy School, Inc., operates
an educational facility under the name "Blue Tassel School" which
provides a comprehensive curriculum required by the government of
the People's Republic of China, supplemented by a broad range of
elective courses which may be chosen from by the school's
students.
CHINA RUITAI: Bernstein & Pinchuk Raises Going Concern Doubt
------------------------------------------------------------
China Ruitai International Holding Co., Ltd., filed on March 31,
2011, its annual report on Form 10-K for the fiscal year ended
Dec. 31, 2010.
Bernstein & Pinchuk LLP, in New York, expressed substantial doubt
about China Ruitai's ability to continue as a going concern. The
independent auditors noted that the Company has negative working
capital.
The Company reported a net loss of US$6.9 million on US$43.2
million of sales for 2010, compared with a net loss of US$5.7
million on US$35.7 million of sales for 2009.
At Dec. 31, 2010, the Company's balance sheet showed
US$111.0 million in total assets, US$81.1 million in total
liabilities, and stockholders' equity of US$29.9 million.
Shandong, China-based China Ruitai International Holdings Co.,
Ltd., was organized under the laws of the State of Delaware on
Nov. 15, 1955, under the name "Inland Mineral Resources Corp."
Currently, the Company, through its wholly-owned subsidiary,
Pacific Capital Group Co., Ltd., a corporation incorporated under
the laws of the Republic of Vanuatu, and its majority-owned
subsidiary, TaiAn RuiTai Cellulose Co., Ltd., a Chinese limited
liability company, is engaged in the production, sales, and
exportation of deeply processed chemicals, with a primary focus on
non-ionic cellulose ether products in the People's Republic of
China as well as to the United States, Europe, Japan, India and
South Korea.
CITIC PACIFIC: Moody's Assigns 'Ba1' Rating to Notes
----------------------------------------------------
Moody's Investors Service has assigned a provisional (P)Ba1 rating
to the Euro Medium Term Notes (EMTN) Program of CITIC Pacific Ltd
and a Ba1 rating to the 10-year notes drawn under the EMTN
Program. Moody's has also affirmed CITIC Pacific's Ba1 corporate
family rating. The outlook on all ratings is stable.
CITIC Pacific also proposes to issue perpetual hybrid securities.
The notes proceeds and the perpetual hybrid securities will be
used for refinancing existing debt and general corporate purposes.
Ratings Rationale
"The Ba1 rating incorporates CITIC Pacific's standalone Ba3 rating
and a two-notch uplift reflecting Moody's assessment of the
expected strong support that its major shareholder, CITIC Group
(rated Baa2), is likely to provide in case of need," says Kai Hu,
a Moody's VP and Senior Analyst.
The standalone Ba3 rating is underpinned by a moderated
diversified business portfolio, which includes (1) a greenfield
iron ore project with significant execution risk, (2) two other
core businesses in the cyclical steel and property development
segment, and (3) a few cashflow stable, non-core businesses.
"Despite big progress made on the Sino Iron Ore project, which is
expected to start pilot production in July 2011, CITIC Pacific
still needs to spend a large amount of capital expenditure to
complete the project. Its credit metrics will therefore remain
weak until its iron ore division starts to produce meaningful
cashflow," adds Hu.
"However, Moody's takes comfort that the other businesses of CITIC
Pacific delivered better than expected results in 2010 and the
company has also been divesting its non-core assets, which
partially alleviated its tight funding position," says Hu.
CITIC Pacific's plan to refinance maturing debt with the 10-year
senior notes and perpetual hybrid securities will help improve its
debt maturity profile. Moody's will not rate these perpetual
securities, but Moody's would expect that these hybrid instruments
will have a 50% debt and an 50% equity component for the purposes
of calculating leverage. The equity element of the hybrid
securities will, to a certain extent, provide relief on the total
debt/consolidated net worth covenant under its syndicated loan
facilities. Its liquidity position is considered moderate, mainly
supported by HKD24 billion cash-on-hand and HKD18 billion in
unused committed credit facilities as of end-2010.
The two-notch uplift to final Ba1 rating reflects the expected
strong support from CITIC Group in times of difficulties. In
addition to CITIC Group's majority ownership, the timely support
it has provided to cover CITIC Pacific's large derivative losses
in late 2008 is clear evidence of this support.
The stable outlook reflects Moody's expectation that: (1) CITIC
Pacific's iron ore project will progress according to its current
schedule given that there is clearer visibility on milestone and
total costs; (2) the perpetual securities, if successfully raised,
will provide some relief on its loan covenants; and (3) it's other
business lines will continue to provide relatively stable cashflow
in the next one or two years.
Upward rating pressure could emerge if the iron ore project starts
commercial operations and produces sustainable cashflow, which may
result in meaningful deleverage.
Credit metrics that Moody's will consider for an upgrade include:
funds from operations (FFO)/debt above 15-20% and FFO interest
coverage above 4-5x on a sustained basis.
Downward rating pressure could evolve if CITIC Pacific's (1) iron
ore project significantly misses its milestones; (2) other
businesses perform below expectation; (3) liquidity profile
deteriorates.
The financial indicators that Moody's will look for are: FFO/debt
not rebounding to 10-15% and FFO interest coverage not rebounding
to 3-4x in the next two years.
A downgrade of CITIC Group, which is unlikely in the near term,
will also prompt a review of the rating uplift provided to CITIC
Pacific.
The last rating action with respect to CITIC Pacific was on
February 12, 2010 when the outlook on its Ba1 rating was changed
to stable from negative.
Methodological Approach
The methodological approach applied in rating CITIC Pacific is
found in "Analytical Consideration in Assessing Conglomerates",
published in September 2007, which can be found at www.moodys.com
in the Credit Policy & Methodologies directory, in the Rating
Methodologies subdirectory. Other methodologies and factors that
may have been considered in the process of rating CITIC Pacific
can also be found in the Credit Policy & Methodologies directory.
CITIC Pacific Ltd, listed in Hong Kong, is a conglomerate that is
57.6% owned by CITIC Group. It was one of the first Chinese
companies to list and invest outside of China. It is engaged in a
range of businesses, including special steel manufacturing, iron
ore mining, property development and investment, power generation,
aviation, infrastructure, communications and distribution.
CITIC Group, headquartered in Beijing, is a conglomerate
investment company wholly owned by the State Council of the
Chinese government.
DIGUANG INTERNATIONAL: Recurring Losses Cue Going Concern Doubt
---------------------------------------------------------------
Diguang International Development Co., Ltd., filed on March 31,
2011, its annual report on Form 10-K for the fiscal year ended
Dec. 31, 2010.
BDO China Li Xin Da Hua CPA Co., Ltd., in Shenzhen, China,
expressed substantial doubt about Diguang International's ability
to continue as a going concern. The independent auditors noted
that the Company has suffered recurring losses from operations and
has a net working capital deficiency.
The Company reported a net loss of US$4.2 million on US$64.9
million of revenues for 2010, compared with a net loss of US$7.2
million on US$44.1 million of revenues for 2009.
At Dec. 31, 2010, the Company's balance sheet showed US$63.6
million in total assets, US$47.6 million in total liabilities, and
stockholders' equity of US$16.0 million.
A complete text of the Form 10-K is available for free at:
http://is.gd/6c0o5j
Based in Shenzhen, the PRC, Diguang International Development Co.,
Ltd. (OTC BB: DGNG) - http://www.diguangintl.com/-- specializes
in the design, production and distribution of Light Emitting
Diode, "LED", and Cold Cathode Fluorescent Lamp, "CCFL",
backlights for various Thin Film Transistor Liquid Crystal
Displays, "TFT-LCD", and Super-Twisted Nematic Liquid Crystal
Display, "STN-LCD", Twisted Nematic Liquid Crystal Display, "TN-
LCD", and Mono LCDs as well as the LED lighting, LED displays and
LED TV sets. A backlight is the typical light source of a liquid
crystal display (LCD), with applications spanning televisions,
computer monitors, cellular phones, digital cameras, DVDs and
other home appliances.
FEIHE INT'L: Deloitte Touche Tohmatsu Raises Going Concern Doubt
----------------------------------------------------------------
Feihe International, Inc., filed on March 31, 2011, its annual
report on Form 10-K for the fiscal year ended Dec. 31, 2010.
Deloitte Touche Tohmatsu CPA, Ltd., in Beijing, the People's
Republic of China, expressed substantial doubt about Feihe
International's ability to continue as a going concern. The
independent auditors noted of the Company's losses from operations
and deficiency of net current assets.
The Company reported a net loss of US$9.9 million on US$257.1
million of sales for 2010, compared with net income of US$19.5
million on US$271.1 million of sales for 2009.
At Dec. 31, 2010, the Company's balance sheet showed
US$464.3 million in total assets, US$236.5 million in total
liabilities, US$66.1 million in redeemable common stock, and
stockholders' equity of US$161.7 million.
A complete text of the Form 10-K is available for free at:
http://is.gd/29ROAT
Based in Beijing, China, Feihe International, Inc. (NYSE: ADY)
-- http://www.ady.feihe.com/-- was incorporated in the State of
Utah on Dec. 31, 1985, originally under the corporate name of
Gaslight, Inc. The Company produces and distributes milk powder,
soybean milk powder, and related dairy products in the People's
Republic of China, or the PRC.
GUANGZHOU GLOBAL: Delays Filing of 2010 Annual Report
-----------------------------------------------------
Guangzhou Global Telecom, Inc., notified the U.S. Securities and
Exchange Commission that it will be late in filing its Annual
Report on Form 10-K for the period ended Dec. 31, 2010. The
Company said it did not obtain all information prior to filing
date and its attorney and accountant could not complete the
required legal information and financial statements, and
management could not complete Management's Discussion and Analysis
of the financial statements by March 31, 2011.
About Guangzhou Global
Tallahassee, Fl.-based Guangzhou Global Telecom, Inc., was
incorporated as Avalon Development Enterprises, Inc., on March 29,
1999, under the laws of the State of Florida. The Company,
through its subsidiaries, is now principally engaged in the
distribution and trading of rechargeable phone cards, cellular
phones and accessories within cities in the People's Republic of
China.
The Company's balance sheet at Sept. 30, 2010, showed
US$2.43 million in total assets, US$5.31 million in total
liabilities, and a stockholders' deficit of US$2.88 million.
MATCHES, INC: Bernstein & Pinchuk Raises Going Concern Doubt
------------------------------------------------------------
Matches, Inc., filed on March 31, 2011, its annual report on Form
10-K for the fiscal year ended Dec. 31, 2010.
Bernstein & Pinchuk, LLP, in New York, expressed substantial doubt
about Matches, Inc.'s ability to continue as a going concern. The
independent auditors noted that the Company has negative working
capital as of Dec. 31, 2010, and 2009.
The Company reported net income of US$5.0 million on US$79.9
million of sales for 2010, compared with net income of US$4.8
million on US$49.5 million of sales for 2009.
At Dec. 31, 2010, the Company's balance sheet showed
US$55.0 million in total assets, US$40.0 million in total
liabilities, and stockholders' equity of US$15.0 million.
A complete text of the Form 10-K is available for free at:
http://is.gd/IZDrdK
Based in Jiangsu Province, China, Matches, Inc. (MTXS.OB) is a
Wyoming corporation. The Company acquired on Dec. 22, 2010,
Golden Stone Rising, Ltd., a British Virgin Islands Company, that,
through its PRC subsidiaries and controlled companies, is engaged
in the production, sale and distribution of polyester fiber in
China. The PRC operating companies controlled by Golden Stone are
Suzhou Jinkai Textile Co., Ltd., and Suzhou Hangyu Textile Co.,
Ltd. These businesses produce pre-oriented yarn as well as draw
texturing yarn, in various sizes and configurations. Polyester
fiber is made from Polyethylene Terephthalate, commonly known as
PET, a thermoplastic polymer resin which is refined from oil.
The transaction was regarded as a reverse merger whereby Golden
Stone Rising was considered to be the accounting acquirer. As
such, Golden Stone Rising (and its historical financial
statements) is the continuing entity for financial reporting
purposes. The financial statements have been prepared as if
Golden had always been the reporting company and then on the share
exchange date, had reorganized its capital stock.
SINOBIOMED INC: Signs Letter of Intent to Merge With Sitoa
----------------------------------------------------------
The Board of Directors of Sinobiomed Inc. announced the signing of
a binding letter of intent to merge with Sitoa, Corporation.
Sinobiomed, having recently disposed of all its biopharmaceutical
businesses, will acquire 100% of Sitoa in a share exchange.
Sitoa, a California based company, was founded in 2001 with the
goal to make it easier for retailers and product suppliers to sell
online. The Sitoa solution was based on providing an easy-to-use
and comprehensive platform to expand product offerings and take
advantage of fast-moving market opportunities. Starting with one
online retail partner -- Sears.com -- and a single product partner
-- Northgate Computers, Inc. -- the Sitoa Network grew to include
many of the world's top online retailers and more than 1000 name
brand and boutique product partners.
The merger with Sitoa enables Sinobiomed to enter a high growth
area of business which will expand into the rapidly expanding area
of marketplace and social media-based online commerce and roll-out
Sitoa's platform into China and Southeast Asia.
Cal Lai, CEO of Sitoa comments: "We are excited to become a public
company which allows us to accelerate our growth and expand our
reach to key customers and markets. We have a proven 10 year
track record of conducting e-commerce business and are well
positioned to scale up."
George Yu, CEO of Sinobiomed, who will move to the role of Chief
Financial Officer of Sitoa, added: "Sitoa is a fast growing
company in the high growth areas of social media and marketplace
e-commerce. We are excited about the prospects of the merger."
The Company will change the name and ticker symbol upon the
closing of the merger.
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.
The Company reported a net loss of US$577,531 on US$0 of revenue
for the year ended Dec. 31, 2010, compared with net income of
US$3.63 million on US$0 of revenue during the prior year.
The Company's balance sheet at Dec. 31, 2010 showed US$210,176 in
total assets, US$686,095 in total liabilities and US$475,919 in
total stockholders' deficit.
The Company currently has no operations and no source of income.
The Company intends to seek out opportunities to enter or acquire
new business operations. The underlying value of the company is
entirely dependent on the ability of the Company to find and
implement a new business opportunity and obtain the necessary
financing to capitalize on such opportunity.
Schumacher & Associates, Inc., in Littleton, Colorado, noted that
the Company has experienced losses since commencement of
operations, and has negative working capital and stockholders'
deficit which raise substantial doubt about its ability to
continue as a going concern.
TONGJI HEALTHCARE: Delays Filing of 2010 Annual Report
------------------------------------------------------
Tongji Healthcare Group, Inc., informed the U.S. Securities and
Exchange Commission that it has encountered a delay in assembling
the information, in particular its financial statements for the
fiscal year ended Dec. 31, 2010, required to be included in its
Dec. 31, 2010 Form 10-K Annual Report. The Company expects to
file its Dec. 31, 2010 Form 10-K Annual Report with the SEC within
15 calendar days of the prescribed due date.
About Tongji Healthcare
Based in Nanning, Guangxi, the People's Republic of China, Tongji
Healthcare Group, Inc., was incorporated in the State of Nevada on
December 19, 2006. The Company operates Tongji Hospital,
a general hospital with 105 licensed beds.
As reported in the Troubled Company Reporter on April 22, 2010,
Kabani & Company, Inc., in Los Angeles, expressed substantial
doubt about the Company's ability to continue as a going concern,
following its 2009 results. The independent auditors noted that
of the Company's significant operating losses and insufficient
capital.
The Company's balance sheet as of June 30, 2010, showed
US$5.9 million in total assets, US$6.0 million in total
liabilities, and a stockholders' deficit of US$109,296.
================
H O N G K O N G
================
BAHT NAVIGATION: Creditors' Proofs of Debt Due May 8
----------------------------------------------------
Creditors of Baht Navigation Company Limited, which is in members'
voluntary liquidation, are required to file their proofs of debt
by May 8, 2011, to be included in the company's dividend
distribution.
The company commenced wind-up proceedings on March 30, 2011.
The company's liquidator is:
Man Yun Wah
Room 2105, 21/F
Office Tower
Langham Place
8 Argyle Street
Mongkok, Kowloon
Hong Kong
CAN HOLDINGS: Members' Final Meeting Set for May 9
--------------------------------------------------
Members of Can Holdings Limited will hold their final meeting on
May 9, 2011, at 5:00 p.m., at Room 502, 5th Floor, Prosperous
Building, 48-52 Des Voeux Road Central, in Hong Kong.
At the meeting, Law Yui Lun, the company's liquidator, will give a
report on the company's wind-up proceedings and property disposal.
CAPITAL ASIA: Leong and Mok Step Down as Liquidators
----------------------------------------------------
Leong Ting Kwok David and Mok Mun Lan Linda stepped down as
liquidators of Capital Asia Investments Limited on March 30, 2011.
CAPITAL CONCORD: Placed Under Voluntary Wind-Up Proceedings
-----------------------------------------------------------
At an extraordinary general meeting held on April 1, 2011,
creditors of Capital Concord Investment Limited resolved to
voluntarily wind up the company's operations.
The company's liquidators are:
Sze Kai Kang Keeven
Unit 1703, 17/F
Enterprise Square Three
39 Wang Chiu Road
Kowloon Bay, Kowloon
CHEONG MING: Commences Wind-Up Proceedings
------------------------------------------
Members of Cheong Ming Paper, Poly Press & Printing Factory
Limited, on March 31, 2011, passed a resolution to voluntarily
wind up the company's operations.
The company's liquidators are:
Yu Tak Yee Beryl
Choi Tze Kit Sammy
15/F, Empire Land Commercial Centre
81-85 Lockhart Road
Wanchai, Hong Kong
EVER RISING: Middleton and Cowley Step Down as Liquidators
----------------------------------------------------------
Edward Simon Middleton and Patrick Cowley stepped down as
liquidators of Ever Rising Investments Limited on March 31, 2011.
HOPES ENTERPRISES: Placed Under Voluntary Wind-Up Proceedings
-------------------------------------------------------------
At an extraordinary general meeting held on April 1, 2011,
creditors of Hopes Enterprises Limited resolved to voluntarily
wind up the company's operations.
The company's liquidator is:
Poon Kwok Fai
11th Floor, Wing Lung Bank Building
45 Des Voeux Road
Central, Hong Kong
HSIN CHONG: Commences Wind-Up Proceedings
-----------------------------------------
Members of Hsin Chong (Project Management) Limited, on March 29,
2011, passed a resolution to voluntarily wind up the company's
operations.
The company's liquidator is:
Yan Tat Wah
5/F, Dah Sing Life Building
99-105 Des Voeux Road
Central, Hong Kong
INFINITY GOAD: Commences Wind-Up Proceedings
--------------------------------------------
Members of Infinity Goad Limited, on March 29, 2011, passed a
resolution to voluntarily wind up the company's operations.
The company's liquidator is:
Yan Tat Wah
5/F, Dah Sing Life Building
99-105 Des Voeux Road
Central, Hong Kong
INVESTORS MORTGAGE: Members' Final General Meeting Set for May 13
-----------------------------------------------------------------
Members of Investors Mortgage Company Limited will hold their
final general meeting on May 13, 2011, at 9:01 a.m., at Level 28,
Three Pacific Place, 1 Queen's Road East, in Hong Kong.
At the meeting, Susan Y H Lo, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.
=========
I N D I A
=========
KARLO AUTOMOBILES: CRISIL Rates INR50MM Cash Credit at 'BB-'
------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable/P4+' ratings to the bank
facilities of Karlo Automobiles Pvt Ltd.
Facilities Ratings
---------- -------
INR50.0 Million Cash Credit Facility BB-/Stable (Assigned)
INR30.0 Million Proposed LT Bank BB-/Stable (Assigned)
Loan Facility
INR15.0 Million Bank Guarantee P4+ (Assigned)
The ratings reflect Karlo's moderate financial risk profile marked
by a high gearing, a small net worth, and weak debt protection
metrics, and intense competition in the automotive dealership
market. These rating weaknesses are partially offset by Karlo's
established track record of operations.
Outlook: Stable
CRISIL believes that Karlo will continue to benefit over the
medium term from its promoters' extensive experience in the
automotive dealership industry and its high margin businesses of
sale of spare parts, and workshop services. The outlook may be
revised to 'Positive' if the company reports significant
improvement in profitability or capital structure. The outlook
may be revised to 'Negative' if the company reports significant
decline in profitability or contracts larger-than-expected quantum
of debt to fund its capital expenditure.
About Karlo Automobiles
Karlo is an authorised dealer of passenger cars of Maruti Suzuki
India Ltd (rated as 'AAA/Stable/P1+'by CRISIL). It commenced
operations in 1997 in Patna (Bihar). In 2004, Karlo set up
another dealership in Bodhgaya (Bihar). However, majority of the
company's revenues are generated through its Patna dealership. The
company also has workshop facilities in both Patna and Bodhgaya.
It also sells spare parts for automobiles. The company's
businesses of selling spare parts and workshop services together
account for around 10 per cent of the total operating income of
the company. Karlo has also started the pre-owned car business in
2010-11 in Patna. The company's top management comprises Mr.
Shivesh Narain and Mr. Sanjeev Kumar.
Karlo reported a profit after tax (PAT) of INR1.4 million on net
sales of INR689 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR1.4 million on net sales
of INR670 million for 2008-09.
LAHARI HOLIDAY: CRISIL Assigns 'B-' Rating to INR93MM LT Loan
-------------------------------------------------------------
CRISIL has assigned its 'B-/Stable' rating to the bank facilities
of Lahari Holiday Homes Ltd.
Facilities Ratings
---------- -------
INR93.00 Million Long-Term Loan B-/Stable (Assigned)
INR18.50 Million Cash Credit B-/Stable (Assigned)
The rating reflects Lahari's weak financial risk profile, marked
by weak liquidity, small net worth, high gearing, and modest debt
protection metrics, small scale of operations, and vulnerability
to cyclicality in the hospitality industry. These rating
weaknesses are partially offset by the extensive industry
experience of Lahari's promoters.
Outlook: Stable
CRISIL believes that Lahari will benefit from its established
relations with its corporate customers over the medium term. The
outlook may be revised to 'Positive' if the company's cash
accruals increase significantly because of a significant
improvement in average occupancy rate and revenues from
recreational facilities, and an increase in average room rent.
Conversely, the outlook may be revised to 'Negative' if the
company undertakes a larger-than-expected debt-funded capital
expenditure programme, weakening its capital structure, or there
is a decline in its occupancy rate, leading to reduction in its
cash accruals.
About Lahari Holiday
Lahari was set up in 2003 and became operational in 2006. It
operates the three-star multi-facility Lahari Resort, which is 28
kilometres from Hyderabad (Andhra Pradesh). The company has been
promoted by Mr. G Hari Babu, the founder-chairman of the
Hyderabad-based Lahari group of companies, which is into real
estate, construction and steel products. Lahari Resort, spread
over 29 acres, has 59 rooms, and offers several recreational
facilities.
Lahari reported a profit after tax (PAT) of INR7.3 million on net
sales of INR75.0 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR11.2 million on net
sales of INR100.6 million for 2008-09.
LAKSH NATURAL: CRISIL Assigns 'B-' Rating to INR34.8MM LT Loan
--------------------------------------------------------------
CRISIL has assigned its 'B-/Stable' rating to the long-term bank
facilities of Laksh Natural Stones Pvt Ltd.
Facilities Ratings
---------- -------
INR34.8 Million Long-Term Loan B-/Stable (Assigned)
INR30.0 Million Cash Credit B-/Stable (Assigned)
The rating reflects LNPL's weak financial risk profile, marked by
high gearing and weak debt protection metrics, and susceptibility
to volatility in raw material prices. These rating weaknesses are
partially offset by the extensive experience of LNPL's promoters
in the steel industry.
Outlook: Stable
CRISIL believes that LNPL will remain dependent on timely infusion
of funds by its promoters to service its debt, in the absence of
sufficient cash accruals. It is also expected to maintain its
business risk profile, backed by its promoters' extensive
experience in the steel industry, over the medium term. Its
financial risk profile, marked by high gearing and weak debt
protection metrics, is, however, expected to remain weak because
of working capital intensive nature of operations. The outlook
may be revised to 'Positive' in case of significant improvement in
LNPL's operating margin, resulting in sufficient cash accruals to
service its debt. Conversely, the outlook may be revised to
'Negative' in case of less-than-expected operating margin,
weakening its cash accruals.
About Laksh Natural
Set up in 2006 by Mr. Lait Agarwal and his family, LNPL
manufactures ingots at its facilities in Jaipur (Rajasthan). The
company commenced commercial production of ingots in January 2010.
The plant's manufacturing capacity is 18,000 tonnes per annum, of
which 70 per cent is utilised. LNPL also trades in marbles, but
turnover from this activity is miniscule, at around 1 per cent.
LNPL reported a profit after tax (PAT) of INR0.01million on net
sales of INR26.9 million for 2009-10 (refers to financial year,
April 1 to March 31).
MAGNUM EXPORT: CRISIL Reaffirms 'P4' Rating on Bank Loans
---------------------------------------------------------
CRISIL's rating on the bank facilities of Magnum Export's
continues to reflect Magnum's weak financial risk profile marked
by negative net worth and weak debt protection metrics,
susceptibility to volatility in raw material prices, and exposure
to risks inherent in the seafood industry. These rating
weaknesses are partially offset by the benefits that Magnum
derives from its established market position in seafood exports
segment, and its moderate operating capabilities.
Facilities Ratings
---------- -------
INR180 Million Export Packing Credit P4 (Reaffirmed)
INR130 Million Letter of Credit/Bill P4 (Reaffirmed)
Discounting
Update
Magnum's performance for 2009-10 (refers to financial year,
April 1 to March 31) has been weaker than CRISIL's expectation, in
terms of revenues and profitability. However, in 2010-11, the firm
has achieved a strong growth, with turnover of around INR1,429
million till Feb. 28, 2011. In 2010-11, the firm's export to
Japan increased to around 80% of the total sales from 50-60 per
cent in the previous year. CRISIL believes that revenue
visibility for Magnum will remain constrained in the medium term,
mainly because of the firm's revenue concentration in Japan.
Magnum's financial risk profile remains weak, with weak capital
structure and debt protection indicators. The firm had a negative
net worth of INR25.0 million as on March 31, 2010; net worth
reduced because of losses of INR149.0 million incurred by the firm
on foreign exchange transactions in 2008-09. While Magnum's
accretion to reserves in 2010-11 is expected to be strong, driven
by strong growth in revenues, its capital structure is expected to
remain weak because of the sizeable losses. The firm's liquidity
is also expected to remain weak because of the losses, low current
ratio, and large debt obligations of around INR25.0 million
maturing in the next eight to nine months. However, the firm's
bank limits of INR180 million have been moderately utilized, at
around 67 per cent on an average, in the 16 months ended February
28, 2011.
Magnum reported a profit after tax (PAT) of INR4.86 million on net
sales of INR792.00 million for 2009-10, against a net loss of
INR98.80 million on net sales of INR679.00 million for 2008-09.
Set up in 1996 in Kolkata by Mr. Arun Sengupta, Magnum processes
and exports frozen black tiger shrimps to Japan, the US, Canada,
and the UAE. The firm sells shrimps under the brand Debarun.
NEOTERIC INFOMATIQUE: CRISIL Reaffirms 'BB+' Cash Credit Rating
---------------------------------------------------------------
CRISIL has assigned its 'BB+/Positive' rating to the proposed
long-term bank facility of Neoteric Informatique Ltd, while
reaffirming the ratings on the company's existing bank facilities
at 'BB+/Positive/P4+'.
Facilities Ratings
---------- -------
INR555 Million Cash Credit BB+/Positive (Reaffirmed)
INR365 Million Proposed LT Bank BB+/Positive (Assigned)
Facility
INR200 Million Bills Discounting P4+ (Reaffirmed)
INR680 Million Letter of Credit P4+ (Reaffirmed)
The ratings reflect Neotric's working-capital-intensive
operations, resulting in large short-term borrowings and modest
debt protection metrics, a small net worth, and exposure to 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.
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 Informatique
Neoteric commenced operations in 1991 as a reseller of IT
products. The company commenced distribution operations at the
national level in 1997; it 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 services 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 Dec. 31, 2010, the company reported a net
profit of INR32.9 million on net sales of INR5.2 billion.
P & M INFRASTRUCTURES: CRISIL Rates INR250MM LT Loan at 'BB-'
-------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable' rating to the long-term loan
facility of P & M Infrastructures Ltd.
Facilities Ratings
---------- -------
INR250 Million Long-Term Loan BB-/Stable (Assigned)
The rating reflects PMI's exposure to offtake risks related to its
family entertainment centre (FEC) project. These rating
weaknesses are partially offset by the established background of
its promoters.
Outlook: Stable
CRISIL believes that PMI's business profile will improve over the
medium term from the completion and commissioning of its FEC
project in April 2011. The outlook may be revised to 'Positive'
if PMI is able to demonstrate higher than expected offtake for the
project translating to robust cash inflows and overall improvement
in financial risk profile. Conversely, the outlook may be revised
to 'Negative' if PMI faces significant challenges in attracting
clients for its commercial space leading to weakened capacity to
service its term debt obligations.
About P & M Infrastructures
PMI undertakes development of commercial real estate properties
such as malls, FECs, multiplexes, and hotels in tier 1 and tier 2
cities in Bihar, Jharkhand, Orissa, and West Bengal. It was
incorporated as a private limited company and reconstituted as a
public limited company in July 2009. Promoted by Mr. Prakash Jha,
a noted film producer, and Mr. Manmohan Shetty, founder of Adlabs
(now a Reliance Anil Dhirubhai Ambani Group company) and a famous
personality associated with Indian film industry, PMI is currently
executing an FEC at Patliputra Colony, Patna, which is expected to
commence commercial operations in April 2011.
RAIN CII: S&P Withdraws 'B' Long-Term Corporate Credit Rating
-------------------------------------------------------------
Standard & Poor's Ratings Services said it had withdrawn its 'B'
long-term corporate credit rating on India-based calcined
petroleum coke producer Rain CII Carbon (India) Ltd. "At the same
time, we withdrew the 'BB-' issue rating on the company's
senior secured bank loan. We also withdrew the 'B-' issue rating
on the senior subordinated notes issued by Rain CII Carbon LLC
(B+/Positive/--) and guaranteed by RCCIL. All ratings were
withdrawn at RCCIL's request following the completion of its
corporate reorganization," S&P stated.
RATHNA STORES: CRISIL Assigns 'BB-' Rating to INR35MM LT Loan
-------------------------------------------------------------
CRISIL has assigned its 'BB-/Stable' rating to the long-term bank
facilities of Rathna Stores.
Facilities Ratings
---------- -------
INR35.00 Million Long-Term Loan BB-/Stable (Assigned)
INR295.00 Million Cash Credit BB-/Stable (Assigned)
INR170.00 Million Proposed Cash Credit BB-/Stable (Assigned)
The rating reflects RSF's below-average financial risk profile,
marked by high gearing and weak debt protection metrics,
geographical concentration, and exposure to intense competition in
the retail industry. These rating weaknesses are partially offset
by RSF's established market position in Chennai's consumer
durables and home appliances retail space.
Outlook: Stable
CRISIL believes that RSF will continue to benefit over the medium
term from its established market position as a retailer of
utensils and consumer durables in Chennai (Tamil Nadu). The
outlook may be revised to 'Positive' if RSF successfully increases
its scale of operations, leading to significant growth in
revenues, and improvement in margins and capital structure.
Conversely, the outlook may be revised to 'Negative' in case of a
slowdown in the industry or an increase in competition, leading to
deterioration in the firm's cash accruals, if the firm undertakes
any large, debt-funded capital expenditure programme, weakening
its capital structure, if the partner-promoters of the firm
withdraw sizeable capital from the firm, or if the firm invests in
other promoter-held entities.
About Rathna Stores
Set up as a partnership concern in 1984 in Chennai by Mr. Siva
Perumal Nadar, RSF is one of Tamil Nadu's major retail chains, and
deals in utensils, consumer electronics, home appliances, and
mobile phones. It is managed by Mr. Ravishankar and Mr.
Krishnakumar (sons of the promoters). RSF has one branch each in T
Nagar and Purasaiwakkam (both in Chennai). The partners also own
Rathna Stores Pvt Ltd (into trading in stainless-steel utensils
and household appliances), Rathna Stores Daily Market Pvt Ltd
(trading in provisions, fruits, and vegetables), and Hotel Valley
View Inn (operates a hotel in Kodaikanal). RSF plans to open a
new showroom for trading in utensils, consumer electronics, home
appliances and mobile phones in Anna Nagar (Chennai) in the next
four to five months.
RSF reported a profit after tax (PAT) of INR16.0 million on net
sales of INR1.2 billion for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR3.0 million on net sales
of INR1.0 billion for 2008-09.
SANDY RESORT: CRISIL Cuts Rating on INR146MM Term Loan to 'D'
-------------------------------------------------------------
CRISIL has downgraded its rating on the rupee term loan facility
of Sandy Resort Private Limited to 'D' from 'B/Stable'.
Facilities Ratings
---------- -------
INR146.0 Million Rupee Term Loan D (Downgraded from
'B/Stable')
The rating downgrade is driven by delays of two to three weeks by
SRPL in servicing the interest component of its term loan, on
account of weak liquidity. The primary reasons for deterioration
in liquidity are time and cost overruns in the project. The hotel
project was expected to be completed by January 2011, but is now
expected to be completed by September 2011. Also, construction is
now expected to cost INR260 million, INR50 million more than
earlier expected, primarily driven by increase in prices of cement
and steel over the last 12 months. The company is planning to fund
the increase in cost through a fresh term loan.
SRPL has a weak financial risk profile, on account of the large,
debt-funded capital expenditure, and continues to be exposed to
implementation and commissioning risks. These rating weaknesses
are partially offset by the benefits that SRPL derives from its
established marketing network and position in franchising.
About Sandy Resort
Incorporated in 1998 by the late Mr. M D Patra, SRPL operates
franchise outlets for Cafe Coffee Day, Habib hair salon, and Spark
pub in Bhubaneswar (Orissa). The company's operations are
currently overseen by the founder's son, Mr. Sanjeev Patra. SRPL
is setting up a 70-room, three-star hotel in Bhubaneswar.
SRPL reported a profit after tax (PAT) of INR1.24 million on
operating income of INR9.5 million for 2009-10 (refers to
financial year, April 1 to March 31), against a PAT of INR0.98
million on operating income of INR8.5 million for 2008-09.
SIDDIQUE INFRASTRUCTURE: CRISIL Cuts LT Loan Rating to 'B'
----------------------------------------------------------
CRISIL has downgraded its rating on the bank facilities of
Siddique Infrastructure Projects Pvt Ltd to 'B/Stable' from
'B+/Stable'.
Facilities Ratings
---------- -------
INR200.00 Million Proposed LT Loan B/Stable (Downgraded from
'B+/Stable')
INR100.00 Million Proposed Cash B/Stable (Downgraded from
credit Limits 'B+/Stable')
The rating downgrade reflects SIPPL's plans to enter the intensely
competitive and cyclical residential real estate sector. The
company is planning to launch its maiden residential real estate
project comprising 500 apartments in Sriperumbudur near Chennai
(Tamil Nadu). SIPPL holds the land, and is likely to bear a
construction cost of around INR420 million. The construction cost
is likely to be funded in equal part by debt, promoters' equity,
and customer advances. The rating downgrade also reflects
expected marginal deterioration in SIPPL's financial risk profile,
because of debt funding in trading and real estate operations and
lack of revenue visibility. SIPPL plans to fund about 30 per cent
of its working capital requirements of trading operations through
debt. The company's cash flows from both its real estate and
trading operations are subject to uncertainty. While the real
estate project is yet to get required approvals and attain
financial closure, a part of the existing trading operations of
SIPPL is likely to be shifted to associate entity, Siddique
Trading Company Pvt Ltd in 2011-12 (refers to financial year,
April 1 to March 31); moreover, SIPPL will be trading in new
commodities, which are to be decided by the management.
The rating reflects SIPPL's susceptibility to commercialization
and implementation risks in its residential real estate project.
SIPPL is also vulnerable to volatility in foreign exchange rates
and commodity prices in its trading operations. These rating
weaknesses are partially offset by SIPPL's above-average financial
risk profile, marked by a low gearing, and the experience of the
company's promoters in trading commodities abroad.
Outlook: Stable
CRISIL believes that SIPPL will continue to benefit from its
promoters' experience in trading and its comfortable capital
structure, over the medium term. The outlook may be revised to
'Positive' if the company generates higher-than-expected cash
accruals because of early approvals and completion of the real
estate project, or higher-than-expected revenues from the trading
business, or if its capital structure is better-than-expected most
likely because of lower-than-expected debt funding. Conversely,
the outlook may be revised to 'Negative' if there are delays in
project implementation, or the company undertakes a large, debt-
funded capital expenditure programme, unrelated diversifications,
or extends support to group or associate companies leading to
deterioration in its financial risk profile.
About Siddique Infrastructure
SIPPL, incorporated in 2007, is part of the Siddique group, which
has operations in India, Hong Kong, China, UAE, and Singapore.
SIPPL trades in commodities, mainly coal, sunflower seeds, crude,
edible oil, and steel products. It commenced operations in 2008-
09 (refers to financial year, April 1 to March 31), and is
primarily into high seas trading. The company plans to shift its
business of trading in sunflower seeds and coal to group entity,
Siddique Trading Company Pvt Ltd from 2011-12. SIPPL will continue
to trade in other commodities such as specialised steel products,
tobacco, and edible oils depending on market conditions. SIPPL's
revenues from trading operations in 2010-11 are estimated at
around INR810 million.
SIPPL plans to construct a five-acre residential township in the
affordable housing segment in Sriperumbudur; the project is
expected to be launched by September 2011 and is likely to be
completed in 24 months. The company is currently preparing the
detailed design of the project and is yet to get necessary
statutory approvals. The Siddique group also has projects planned
in the infrastructure, power, quarry, and real estate sectors.
SIPPL posted a provisional profit after tax (PAT) of INR45.8
million on net sales of INR733.1 million for 2009-10, against a
reported PAT of INR0.6 million on net sales of INR663.1 million
for 2008-09.
SRC CHEMICALS: CRISIL Assigns 'BB+' Rating to INR40MM Cash Credit
-----------------------------------------------------------------
CRISIL has assigned its 'BB+/Stable/P4+' ratings to the bank
facilities of SRC Chemicals Pvt Ltd.
Facilities Ratings
---------- -------
INR40.00 Million Cash Credit BB+/Stable (Assigned)
INR12.50 Million Proposed LT Bank BB+/Stable (Assigned)
Facility
INR50.00 Million Letter of Credit P4+ (Assigned)
INR2.50 Million Bank Guarantee P4+ (Assigned)
The ratings reflect SRC's small scale of operations, customer
concentrated revenue profile, and large working capital
requirements. These rating weaknesses are partially offset by
SRC's moderate financial risk profile, marked by a small net
worth, and moderate gearing and debt protection metrics, backed by
funding support from the promoters and their extensive experience
in the alloy steel industry, and established customer
relationships.
Outlook: Stable
CRISIL believes that SRC will continue to benefit over the medium
term from its promoters' extensive experience in the alloy steel
industry and its established relationship with its customers. The
outlook may be revised to 'Positive' if SRC reports better-than-
expected revenues and profitability, or significantly improves its
capital structure. Conversely, the outlook may be revised to
'Negative' if the company's financial risk profile deteriorates,
most likely because of larger-than-expected, debt-funded capital
expenditure, or pressure on revenues and profitability.
About SRC Chemicals
SRC was set up as a proprietorship firm, Shree Ram Chemicals, in
1998 by Mr. S K Lakhotia. In 2002, the company was reconstituted
as a private limited company with its current name. SRC
manufactures calcined lime, ferro molybdenum, and sponge iron.
The company also trades in fluorspar (imported from China and
Mangolia), ferro alloys, and calcined lime. SRC's manufacturing
unit for calcined lime at Ginigera in Koppal (Karnataka) has
capacity of 40,000 tonnes per annum (tpa). The company's unit for
manufacturing ferro molybdenum at Uralikanchan in Pune
(Maharashtra) has capacity of 1000 tpa. In 2009-10 (refers to
financial year, April 1 to March 31), SRC started operating a
leased 100-tonnes-per-day sponge iron plant in Karnataka.
SRC reported a profit after tax (PAT) of INR9.1 million on net
sales of INR431.5 million for 2009-10, against a PAT of INR7.2
million on net sales of INR255.8 million for 2008-09.
TULSI DALL: CRISIL Assigns 'B' Rating to INR55MM Cash Credit
------------------------------------------------------------
CRISIL has assigned its 'B/Stable' rating to the bank facilities
of Tulsi Dall Mill.
Facilities Ratings
---------- -------
INR55.00 Million Cash Credit B/Stable (Assigned)
INR20.00 Million Proposed LT Bank B/Stable (Assigned)
Loan Facility
The rating reflects TDM's weak financial risk profile, marked by a
small net worth, a high gearing, and weak debt protection metrics.
The rating also reflects TDM's small scale of operations in the
intensely competitive agricultural (agro) commodities industry,
large working capital requirements, and lack of risk management
policies. These rating weaknesses are partially offset by the
extensive experience of TDM's promoters in the agro commodities
business.
Outlook: Stable
CRISIL believes that TDM will remain a small player in the
intensely competitive agro commodities business over the medium
term. Moreover, the firm's financial risk profile will remain
constrained by its small cash accruals and weak capital structure.
The outlook may be revised to 'Positive' in case of a sharp
improvement in TDM's revenues and profitability, leading to
considerable improvement in cash accruals and, consequently,
improvement in the firm's capital structure. Conversely, the
outlook may be revised to 'Negative' if TDM's financial risk
profile deteriorates significantly in case of any pressure on the
firm's revenues and profitability.
About Tulsi Dall
TDM has been in the business of pulse processing since 1987. The
firm's unit in Nagpur (Maharashtra) has processing capacity of 200
tonnes per day. It processes, and occasionally trades in, a
variety of pulses such as vatana, chana, and tuar.
TDM reported a profit after tax (PAT) of INR4.1 million on net
sales of INR754.9 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR1.9 million on net sales
of INR221.3 million for 2008-09.
UNITED EXPORTS: CRISIL Assigns 'B' Rating to INR15MM Term Loan
--------------------------------------------------------------
CRISIL has assigned its 'B/Stable/P4' rating to the bank
facilities of United Exports.
Facilities Ratings
---------- -------
INR100.0 Million Cash Credit Limit B/Stable (Assigned)
INR15.0 Million Term Loan B/Stable (Assigned)
INR5.0 Million Proposed LT Bank B/Stable (Assigned)
Loan Facility
INR430.0 Million Packing Credit P4 (Assigned)
INR200.0 Million Bill Purchase/Bill P4 (Assigned)
Discounting
INR250.0 Million Warehouse Financing P4 (Assigned)
The rating reflects UE's large working capital requirements,
resulting in weak financial risk profile, marked by high gearing
and weak debt protection metrics, the small scale of its
operations in the highly fragmented rice milling industry, and the
susceptibility of its profitability to raw material price
volatility and adverse regulatory changes. These weaknesses are
partially offset by the healthy growth prospects for the basmati
rice industry and the extensive industry experience of UE's
promoters and its diverse customer base.
Outlook: Stable
CRISIL believes that UE will benefit over the medium term from its
established market position and its promoters' extensive industry
experience. Its financial risk profile will remain weak, marked by
high gearing and weak debt protection metrics, on account of large
working capital requirements and low profitability. The outlook
may be revised to 'Positive' in case UE's plant modernization plan
stabilizes earlier than expected, or better than expected
financial risk profile due to equity infusion, or improvement in
margins. Conversely, the outlook may be revised to 'Negative' if
UE's financial risk profile deteriorates, due to a larger-than-
expected debt-funded capital expenditure plan or its turnover and
margins decline, further weakening its debt protection metrics.
About United Exports
UE was established as a partnership firm in 1983 by Mr. Harish
Narang and his sister, Mrs. Usha Malhotra (representing her
husband, Mr. D V Malhotra, promoter of Al Zahem-Malhotra, Kuwait
[AZM]). The firm has rice milling plants in Karnal (Haryana) with
a capacity of 36,000 tonnes per annum (tpa). The firm is engaged
in milling and processing of basmati rice for sale in the domestic
and export markets.
It started operations by trading in rice solely for AZM, a leading
Kuwait-based trading firm, and installed its own milling plant in
1994, with a capacity of 8000 tpa. After 1994, it started
expanding its footprints in the domestic and export markets of
Europe, the US, and other Arab countries.
UE reported a book loss of INR11.4 million on net sales of
INR2062.4 million for 2009-10 (refers to financial year, April 1
to March 31), as against a book profit of INR21.6 million on net
sales of INR 1697.4 million for 2008-09.
=========
J A P A N
=========
RESONA BANK: Fitch Affirms, Withdraws Individual 'C/D' Rating
-------------------------------------------------------------
Fitch Ratings has affirmed Japan-based Resona Bank, Limited's
Individual 'C/D' rating and Support '1' rating and simultaneously
withdrawn them as the ratings are no longer considered by the
agency to be relevant to its coverage.
Fitch will no longer provide ratings or analytical coverage of
this issuer.
====================
N E W Z E A L A N D
====================
PARITUA VINEYARDS: Chinese Group Buys Winery for NZ$10 Million
--------------------------------------------------------------
stuff.co.nz reports that Chinese interests have bought Paritua
Vineyards for a bargain price after it went into receivership.
Paritua Vineyards, according to stuff.co.nz, entered voluntary
receivership last August owing more than NZ$20 million. It has
now been sold for NZ$10 million to a Chinese group based in
Auckland.
The report says industry sources see the purchase as a positive
move, as it keeps the substantial winery in business and should
help the promotion of New Zealand wine in China, a growing market
for New Zealand wine.
According to stuff.co.nz, the unnamed buyers were introduced to
the receiver, Grant Thornton Ltd, by agents Bayleys Hawke's Bay.
Bayleys director, Glyn Rees-Jones, said they had not needed
approval from the Overseas Investment Office, stuff.co.nz relates.
It cost about NZ$30 million to set up the Paritua vineyards and
winery, which produced 20,000 cases of wine last year, says
stuff.co.nz.
The report relates that wine writer Michael Cooper said the
Paritua wines -- also sold under the Stone Paddock label -- were
generally well regarded and the top-tier reds from the 2007
vintage had been acclaimed by critics. The Chinese preferred red
wines -- especially those from France -- and wines bottled under
cork, he said.
Paritua Vineyards is a Hawke's Bay-based winery.
PIKE RIVER: NZOG Rules Out Handing Over Cash for Pike's Legal Fees
------------------------------------------------------------------
James Weir at The Press reports that Pike River Coal's biggest
shareholder, New Zealand Oil & Gas, will not hand over any cash to
help the coal company's receivers cover legal fees for the mine
disaster inquiry.
The Press says NZOG also hopes to see the return of some of its
NZ$72 million in secured and unsecured loans to Pike after an
expected sale of the mine by receivers later this year. A
preferred buyer is likely to be identified by the end of June, The
Press notes.
The Press relates that the sale may include the rights to the mine
company's insurance claim, which at most could be NZ$100 million,
although the payout is unlikely to reach that level.
It remains unclear if the sale of the mine and any insurance
payout as a result of the mine explosion last year would result in
any return to Pike shareholders, according to The Press. That
would require the cash from both the sale and insurance to top
NZ$110 million, The Press notes.
NZOG's 29% shareholding in Pike was worth NZ$82 million before the
explosion, The Press discloses.
According to The Press, Pike lawyer Stacey Shortall said the
company could not afford to participate fully in the inquiry, and
the Government had ruled out taxpayers covering its legal fees.
NZOG Corporate Affairs Manager Chris Roberts said there was no
reason why Pike's 6,000 shareholders should contribute to the
legal costs of the officers and directors of Pike. But as a
secured creditor, NZOG supported the receiver providing the
inquiry "what assistance they are able to," The Press adds.
The Press notes that the receiver still has about NZ$7 million
left from the NZ$12 million NZOG put into the company after the
mine explosion. The NZ$12 million is included in the
NZ$72 million total owed to NZOG.
"We never anticipated getting any of that [$12m] cash back. We
presumed most of it will be used through the receivership
process," The Press quotes Mr. Roberts as saying.
But NZOG still hoped to see a return from the sale of the mine for
both secured and unsecured creditors and potentially even
shareholders, who stand at the end of the line, The Press notes.
About Pike River
Pike River Coal Limited (NZE:PRC) -- http://www.pike.co.nz/-- is
a New Zealand-based coal mining company. The Company, along with
its subsidiaries, is primarily engaged in the exploration,
evaluation, development and production of coal. It operates a
coal mine that lies under the Paparoa Ranges.
Pike River Coal Ltd was placed into receivership in December 2010.
New Zealand Oil & Gas, the company's largest shareholder,
appointed accountants PricewaterhouseCoopers as receivers. The
company owed NZ$80 million to secured creditors BNZ and NZ Oil &
Gas. Pike River also owed another estimated NZ$10 million to
NZ$15 million to contractors, including some of the men who lost
their lives in the disaster.
The TCR-AP, citing a TVNZ report, said PricewaterhouseCoopers'
strategy now is to stabilize the mine with a view to either
restructuring the company or selling the assets while at the same
time maintaining a core team of workers to maintain the mine site
and pursuing insurance claims. The receivers have had
"unsolicited expressions of interest" in Pikes assets, though they
are still considering options for the mine. Under the terms of a
Deed of Priority, BNZ and NZOG rank equally and have priority over
Solid Energy among secured creditors, TVNZ added.
WILLIAM HILL: Receivers Sell 3,000 Cases of Wine
------------------------------------------------
John Edens at The Southland Times reports that receivers have sold
almost 3,000 cases of wine from William Hill Winery.
Receivers Alistair King and Peter Heenan, of WHK Southland &
Central Otago, said in their fourth receivers' report that they
continue to market the business and related assets for sale --
2,734 cases of wine were sold and 2,519 cases remained.
The Dunstan Rd business includes a 7.5ha vineyard, 300-tonne
winery, plant and equipment, The Southland Times says.
According to the report, Mr. King said the business was for sale
with Bayleys Real Estate but interest was muted given the global
recession and economic downturn.
Mr. King said cases of wine sold by the business -- which is
leased by the receivers -- included existing stocks of William
Hill-label wine and Shaky Bridge vintages, The Southland Times
reports.
The Alexandra winery was being maintained, vines were tended and
existing stocks sold off, Mr. King added. Mr. King declined to
say who had leased the winery.
The Southland Times discloses that accounts to the end of the past
year include NZ$706,000 in domestic sales and exports of
NZ$63,000. Fees paid included operating expenses of NZ$207,000,
legal fees of NZ$58,280 and NZ$22,686 repaid to Southland Building
Society. Receivers' fees between May and November were
NZ$184,500.
Other secured creditors include Quadrent Ltd, owed $20,934 for
wine barrels and racks, and Ascend Finance in Palmerston North,
owed $310,497, The Southland Times relates.
Unsecured trade creditors were owed NZ$574,881, but the receivers'
report said a surplus from any sale was unlikely, according to The
Southland Times.
About William Hill
William Hill Winery Ltd -- http://www.williamhill.co.nz/-- was
established in 1973 when founders Bill and Gillian Grant planted
the first pinot noir vines. Its first commercial production was
in 1987. William Hill Wine's are marketed worldwide under the
brand name Shaky Bridge.
William Hill Winery Ltd was placed in receivership in May 2009.
Wanaka accountant Alistair King and Invercargill chartered
accountant Peter Heenan, of WHK Cook Adam Ward Wilson, have been
appointed as receivers and managers of the company in respect of
all rights, titles and interests in the undertaking, property,
assets and revenues of the winery. The firm's principal debt of
NZ$4.2 million is owed to Southland Building Society for property,
stock and equipment.
=====================
P H I L I P P I N E S
=====================
ALLIED BANK: Fitch Affirms, Withdraws 'D' Individual Rating
------------------------------------------------------------
Fitch Ratings has affirmed and withdrawn Philippine National
Bank's (PNB) 'D/E' Individual Rating and '3' Support Rating. The
agency has also affirmed and withdrawn Allied Banking
Corporation's 'D' Individual Rating and '4' Support Rating.
The banks' ratings have been withdrawn because Fitch no longer
considers their ratings to be relevant to its coverage. The
agency will no longer provide analytical coverage or ratings of
the respective issuers.
PNB's Individual Rating reflects its well recognized franchise due
to a long-standing history, established corporate relationships
and distinct strength in the remittance business, but also its
modest profitability and weak balance sheet. While the bank has
steadily reduced its net non-performing assets (NPAs) over the
years, they remained substantial at 9.8% of total assets at end-
September 2010 (end-2009: 11.5%), well above the industry average
of 3% to 4%. In Fitch's view, these NPAs could challenge PNB's
solvency position in a difficult operating environment, especially
given global uncertainties. That said, such risks are remote in
the near-term in view of the stable economic prospects for the
Philippines in 2011. Further, the bank's better-than-expected
performance during the global downturn in 2008-2009 suggests a
reasonably resilient credit profile.
Allied Bank's Individual Rating is underpinned by its established
relationships with Chinese-Filipino firms as well as its robust
balance sheet and strong core capital buffer (core Tier 1 capital
adequacy ratio was 15.6% at end-September 2010); the latter
offsets the risks of its moderate, but improving, profitability
and concentrated loan book. The notable increase in the bank's
non-performing loan (NPL) ratio to 5.7% at end-September 2010 from
2.7% at end-2009 was largely due to isolated cases, and resulted
in a decline in the NPL reserve coverage to 62% from 98%,
according to Fitch's computation. The agency notes that these
accounts are secured with property.
An eventual merger of PNB with Allied Bank would result in a
combined entity with reasonable strengths in corporate and middle-
market banking as well as remittances. The generally stable
economic conditions prevailing in the Philippines should also be
supportive of the banks' business and efforts to steadily pare
down NPAs.
The completion of the merger would bolster the systemic importance
of the fifth-largest bank in the Philippine banking industry.
PHILIPPINE NATIONAL: Fitch Affirms, Withdraws 'D/E' Ind. Rating
---------------------------------------------------------------
Fitch Ratings has affirmed and withdrawn Philippine National
Bank's (PNB) 'D/E' Individual Rating and '3' Support Rating. The
agency has also affirmed and withdrawn Allied Banking
Corporation's 'D' Individual Rating and '4' Support Rating.
The banks' ratings have been withdrawn because Fitch no longer
considers their ratings to be relevant to its coverage. The
agency will no longer provide analytical coverage or ratings of
the respective issuers.
PNB's Individual Rating reflects its well recognized franchise due
to a long-standing history, established corporate relationships
and distinct strength in the remittance business, but also its
modest profitability and weak balance sheet. While the bank has
steadily reduced its net non-performing assets (NPAs) over the
years, they remained substantial at 9.8% of total assets at end-
September 2010 (end-2009: 11.5%), well above the industry average
of 3% to 4%. In Fitch's view, these NPAs could challenge PNB's
solvency position in a difficult operating environment, especially
given global uncertainties. That said, such risks are remote in
the near-term in view of the stable economic prospects for the
Philippines in 2011. Further, the bank's better-than-expected
performance during the global downturn in 2008-2009 suggests a
reasonably resilient credit profile.
Allied Bank's Individual Rating is underpinned by its established
relationships with Chinese-Filipino firms as well as its robust
balance sheet and strong core capital buffer (core Tier 1 capital
adequacy ratio was 15.6% at end-September 2010); the latter
offsets the risks of its moderate, but improving, profitability
and concentrated loan book. The notable increase in the bank's
non-performing loan (NPL) ratio to 5.7% at end-September 2010 from
2.7% at end-2009 was largely due to isolated cases, and resulted
in a decline in the NPL reserve coverage to 62% from 98%,
according to Fitch's computation. The agency notes that these
accounts are secured with property.
An eventual merger of PNB with Allied Bank would result in a
combined entity with reasonable strengths in corporate and middle-
market banking as well as remittances. The generally stable
economic conditions prevailing in the Philippines should also be
supportive of the banks' business and efforts to steadily pare
down NPAs.
The completion of the merger would bolster the systemic importance
of the fifth-largest bank in the Philippine banking industry.
=================
S I N G A P O R E
=================
AMPTON ENTERPRISES: Creditors' Proofs of Debt Due May 9
-------------------------------------------------------
Creditors of Ampton Enterprises Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by May 9, 2011, to be included in the company's dividend
distribution.
The company's liquidators are:
Low Sok Lee Mona
Teo Chai Choo
c/o Low, Yap & Associates
4 Shenton Way
#04-01 SGX Centre 2
Singapore 068807
FOREST HOLDINGS: Court to Hear Wind-Up Petition on April 15
------------------------------------------------------------
A petition to wind up the operations of Forest Holdings Pte Ltd
will be heard before the High Court of Singapore on April 15,
2011, at 10:00 a.m.
Huttons Asia Pte Ltd filed the petition against the company on
March 8, 2011.
The Petitioner's solicitors are:
M/S Kana & Co
33 Mohamed Sultan Road #02-03
Singapore 238977
FRASER THERMAL: Creditors Get *S$1.61 Recovery on Claims
--------------------------------------------------------
Fraser Thermal Technology Pte Ltd declared the first and final
dividend on April 8, 2011.
The company paid *S$1.61 to the received claims.
KN WELL: Creditors' Proofs of Debt Due April 22
------------------------------------------------
Creditors of KN Well Engineering Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by April 22, 2011, to be included in the company's dividend
distribution.
The company's liquidators are:
The Official Receiver
The URA Centre (East Wing)
45 Maxwell Road #06-11
Singapore 069118
KWAN HONG: Court to Hear Wind-Up Petition on April 15
------------------------------------------------------
A petition to wind up the operations of Kwan Hong Shipping Pte Ltd
will be heard before the High Court of Singapore on April 15,
2011, at 10:00 a.m.
The Maritime and Port Authority of Singapore filed the petition
against the company on March 31, 2011.
The Petitioner's solicitors are:
Khattarwong
No. 80 Raffles Place
#25-01 UOB Plaza 1
Singapore 048624
OKAYI CONTRACTS: Creditors' Meetings Set for April 12
------------------------------------------------------
Okayi Contracts Pte. Ltd., which is in creditors' voluntary
liquidation, will hold a meeting for its creditors on April 12,
2011, at 11:00 a.m., at 22 Malacca Street, #03-02 Royal Brothers
Building, in Singapore 048980.
At the meeting, the creditors will be asked to approve the
resignation and release of Jamshid K. Medora as the Liquidator.
SEA-SHORE TRANS: Court to Hear Wind-Up Petition on April 15
------------------------------------------------------------
A petition to wind up the operations of Sea-Shore Transportation
Pte Ltd will be heard before the High Court of Singapore on
April 15, 2011, at 10:00 a.m.
Dockers Marine Pte Ltd filed the petition against the company on
March 22, 2011.
The Petitioner's solicitors are:
Messrs C.S. Tan & Company
47 Hill Street #04-02
Chinese Chamber of Commerce Building
Singapore 179365
SINOYING SINGAPORE: Court Enters Wind-Up Order
----------------------------------------------
The High Court of Singapore entered an order on April 1, 2011, to
wind up Sinoying Singapore Pte Ltd's operations.
DBS Bank Ltd filed the petition against the company.
The company's liquidator is:
The Official Receiver
Insolvency & Public Trustee's Office
45 Maxwell Road, #06-11
The URA Centre (East Wing)
Singapore 069118
SPURWAY COOKE: Creditors' Proofs of Debt Due April 25
------------------------------------------------------
Creditors of Spurway Cooke Industries Pte Ltd, which is in
creditors' voluntary liquidation, are required to file their
proofs of debt by April 25, 2011, to be included in the company's
dividend distribution.
The company's liquidators are:
Kon Yin Tong
Wong Kian Kok
Aw Eng Hai
c/o Foo Kon Tan Grant Thornton LLP
47 Hill Street #05-01
Singapore Chinese Chamber of Commerce
& Industry Building
Singapore 179365
*********
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 ***