/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/120222.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 Wednesday, February 22, 2012, Vol. 15, No. 38 Headlines A U S T R A L I A AIR AUSTRALIA: Creditors' Meeting Set for February 29 HEALTHZONE LTD: Receivers Sell Business to Healthy Life PACIFIC BRANDS: Half Year Loss Widens; Mulls Takeover Offers SP EXPORTS: Goes Into Voluntary Administration; Owes AUD12.5MM H O N G K O N G CARNIVAL PIONEER: Members' Final Meeting Set for March 19 CEDARICH COMPANY: Catherine Wong Suk Fong Appointed as Liquidator GRANDTREE INT'L: Briscoe and Wong Appointed as Liquidators LEHMAN BROTHERS: HKMA Reports Progress on Minibond Cases MACMILLAN NEW: Tam Chun Wan Steps Down as Liquidator MONARCH SERVICE: Chiu and Har Step Down as Liquidators NORITZ HK: Creditors' Proofs of Debt Due March 16 RAINBOW BRIDGE: Seng and Lo Step Down as Liquidators SAINT GOBAIN: Creditors' Proofs of Debt Due March 19 SINOACE LIMITED: Victor Robert Lew Appointed as Liquidator WONG KONG: Placed Under Voluntary Wind-Up Proceedings I N D I A AIR INDIA: Reports 30.4% Rise in Revenue in January AVRON CHEMICALS: CRISIL Assigns 'B' LT Rating to INR50MM Loan DAILY FOODS: CRISIL Rates INR115-Mil. Loan 'CRISIL B' ESSENN AUTOMOTIVE: CRISIL Assigns 'B+' LT Rating to INR70MM Loan JSK METALEX: CRISIL Cuts Rating on INR330MM Loan to 'CRISIL D' KARMA INDUSTRIES: CRISIL Assigns B+ LT Rating to INR3,000MM Loan LORD'S MARK: CRISIL Assigns 'CRISIL B+' LT Rating to Rs110MM Loan M.L.R. INDUSTRIES: CRISIL Rates INR700MM Loan at 'CRISIL BB-' PRINCE RICE: Delays in Debt Repayment Cues CRISIL Junk Rating PUPIL TREE: Delay in Loan Payment Cues CRISIL Junk Rating RANI INFRASTRUCTURE: CRISIL Assigns C LT Rating on INR840MM Loan RKM HOUSING: CRISIL Rates INR76MM Loan at 'CRISIL B+' SRI VAMSHI: CRISIL Assigns 'CRISIL B+' LT Rating on INR80MM Loan SUIFT DEALERS: Delay in Debt Repayment Cues CRISIL Junk Rating J A P A N CSC SERIES 1: Moody's Cuts Rating of 3 Note Classes to 'C(sf)' OLYMPUS CORP: Managing Director Found Dead in India N E W Z E A L A N D CRAFAR FARM: Fay to Infuse NZ$18MM; Pengxin Calls Bid "Phantom" S I N G A P O R E ALFA AIRE: Creditors' Proofs of Debt Due March 2 HELM FERTILIZER: Creditors' Proofs of Debt Due March 19 IBM SINGAPORE: Court Enters Wind-Up Order POWER DRAGON: Court to Hear Wind-Up Petition on March 2 X X X X X X X X * Upcoming Meetings, Conferences and Seminars - - - - - ================= A U S T R A L I A ================= AIR AUSTRALIA: Creditors' Meeting Set for February 29 ----------------------------------------------------- Steve Creedy at The Australian reports that creditors of failed carrier Air Australia will meet on Feb. 29 to decide whether to put the grounded airline into liquidation and allow its 300 employees to access superannuation and redundancy entitlements. Staff wages were up to date and it is understood talks are under way with the federal government about paying out superannuation and redundancy under the General Employment Entitlements and Redundancy Scheme, The Australian says. "Our priorities are the employees and the passengers," the report quotes administrator Mark Korda of KordaMentha as saying. "Our second priority is if we can sell the business and find a white knight." A third priority would be to investigate whether Air Australia was trading while insolvent, a question likely to interest the Australian Securities & Investments Commission, says The Australian. According to the report, creditors had complained before Friday's voluntary administration that they were unable to get payments from Air Australia and at least one creditor, Airservices Australia, had taken court action. Air Australia leased its aircraft and did not have terminals, so assets are expected to be minimal, the report notes. The Australian discloses that assets that could be sold include the air operator's certificate, its engineering operation in Brisbane, and items such as software and intellectual property. Passengers had been told to contact their credit card companies and apply for a charge-back. This was likely to be the majority of travellers and those who had started their journey could be eligible for a refund of their return leg, Mr. Korda, as cited by The Australian, said. About Air Australia The Air Australia fleet consists of five Airbus A330-200 and A320-200 aircraft, with headquarters in Hendra, Queensland. Regular flight paths included Bali, Phuket and Honolulu as well as Australian domestic destinations such as Melbourne, Brisbane, Perth, Port Hedland and Derby. Mark Korda and John Park of KordaMentha were appointed on Feb. 17 by the Director of the Strategic Aviation Group as voluntary administrators for the firm. The group consists of seven companies including Air Australia, Strategic Engineering Australia, and Strategic Aviation Charter. HEALTHZONE LTD: Receivers Sell Business to Healthy Life ------------------------------------------------------- Inside Retailing reports that Healthzone Limited's receivers and administrators PPB Advisory have confirmed the completion of the sale of the majority of the business and assets of Healthzone and its various subsidiary companies to Healthy Life Group Pty Limited. Healthy Life Group is a wholly owned subsidiary of Eu Yan Sang Australia, which in turn is a wholly owned subsidiary of Eu Yan Sang International, a Singaporean listed company, the report discloses. According to Inside Retailing, Eu Yan Sang paid $5 million in cash and assumed the entitlements for the 210 employees who are transferring to Healthy Life Group as part of the transaction. The remaining 23 employees who are not joining Healthy Life Group will have their entitlements paid in full, the report relays. In addition, the receivers have retained ownership of a number of other assets, including pre-completion debtors, which will improve the return to the secured creditor, Inside Retailing notes. Inside Retailing relates that PPB Advisory partner, Phil Carter, said he was pleased the sale had been completed within three months of PPB's appointment as receivers and managers. Mr. Carter said PPB Advisory will now concentrate on realizing value of the remaining assets, and investigating the conduct of the company and its officers in the period leading up to the appointment of receivers and administrators in November 2011, the report adds. About Healthzone Limited Healthzone Limited was a health products distributor, producer and retail franchise. The business itself was a distributor of natural health and beauty products, although distributes health products to stores in Asia, Europe and North America. The business had 250 employees and 110 stores, 80 of them franchised. As reported in the Troubled Company Reporter-Asia Pacific on Nov. 24, 2011, Smartcompany said Healthzone Limited has gone into receivership as the retail industry continues to suffer, despite figures showing sales have increased in three consecutive months, with the highest growth in over two years. Phil Carter and Chris Hill of PPB Advisory have been named as receivers and managers. Barry Taylor and Andrew Needham of HLB Mann Judd were also appointed as voluntary administrators of the business and its divisions. PACIFIC BRANDS: Half Year Loss Widens; Mulls Takeover Offers ------------------------------------------------------------ The Sydney Morning Herald reports that Pacific Brands has widened its first half losses and predicted worse is to come in the second half. The company on Friday also revealed it was considering takeover offers from various parties, the report says. SMH relates that Pacific Brands on Friday reported its first half loss had widened to AUD353.865 million in the six months to Dec. 31, 2011, from AUD206.1 million in the previous corresponding period. Sales revenue slid to AUD684.729 million from AUD852.078 million, SMH discloses. According to SMH, the owner of the famous Bonds clothing brand said trading conditions remained challenging and it expected a significant fall in earnings during the second half. "Underlying sales are expected to be down due to continuing weak retail conditions and changes to the customer base," the company said in a statement. However, Pacific Brands, which on Feb. 16 confirmed more than 100 jobs are to be shed at its Bonds and Berlei distribution centres in Sydney, said it would try to limit the impact on its earnings by continuing cost cuts, SMH reports. Pacific Brands also revealed it had received a variety of takeover offers, including an offer from Kohlberg Kravis Roberts, the report adds. About Pacific Brands Based in Australia, Pacific Brands Limited (ASX:PBG) -- http://www.pacificbrands.com.au/-- is engaged in the manufacturing, sourcing, marketing and distribution of consumer lifestyle brands across the underwear, socks, hosiery, intimate apparel, footwear, bed linen, bedding accessories, bedding, foams, corporate uniforms, workwear, streetwear, lifestyle apparel and sporting goods markets. All products are sold predominantly throughout the Asia-Pacific region. The company also markets and distributes underwear, intimates, footwear and bed linen in the United Kingdom and Europe. The company's segments comprise Underwear & Hosiery, Outerwear & Sport, Home Comfort, Footwear and Other. In June 2008, the company sold its New Zealand foams, flooring and bedding business. SP EXPORTS: Goes Into Voluntary Administration; Owes AUD12.5MM -------------------------------------------------------------- Caitlyn Gribbin and Frances Adcock at ABC News report that tomato grower SP Exports has gone into voluntary administration. ABC News relates that SP Exports managing director Andrew Philip said the company's operations in Childers and in Victoria have been taken over by administrators, leaving 60 people out of work. Earlier this month, ABC News recalls, the company put eight Childers properties for sale to pay debts. Administrator John Shanahan -- jshanahan@kordamentha.com -- said creditors to SP Exports are owed AUD12.5 million, ABC News reports. According to the report, Mr. Shanahan said a meeting next week will determine whether the company can continue trading. "In this circumstance, there's a proposed deed of company arrangement that will be put to creditors at the second meeting, which will put in place the opportunity for the company to continue to go forward, albeit in a lesser capacity," the report quotes Mr. Shanahan as saying. A creditors meeting will be held in Childers later this month. SP Exports Pty Ltd -- http://www.spexports.com.au/-- is Australia's premier field grown tomato producer. ================ H O N G K O N G ================ CARNIVAL PIONEER: Members' Final Meeting Set for March 19 --------------------------------------------------------- Members of Carnival Pioneer International Limited, which is in members' voluntary liquidation, will hold their final general meeting on March 19, 2012, at 11:00 a.m., at Unit A1, 15/F, United Centre, at 95 Queensway, in Hong Kong. At the meeting, Wong Poh Weng and Wong Tak Man Stephen, the company's liquidators, will give a report on the company's wind- up proceedings and property disposal. CEDARICH COMPANY: Catherine Wong Suk Fong Appointed as Liquidator ----------------------------------------------------------------- Catherine Wong Suk Fong on Feb. 9, 2012, was appointed as liquidator of Cedarich Company Limited. The liquidator may be reached at: Catherine Wong Suk Fong Flat A, 19/F Primrose Mansion Tai Koo Shing, Hong Kong GRANDTREE INT'L: Briscoe and Wong Appointed as Liquidators ---------------------------------------------------------- Stephen Briscoe and Wong Teck Meng on Feb. 7, 2012, were appointed as liquidators of Grandtree International Company Limited. The liquidators may be reached at: Stephen Briscoe Wong Teck Meng 602 The Chinese Bank Building 61-65 Des Voeux Road Central, Hong Kong LEHMAN BROTHERS: HKMA Reports Progress on Minibond Cases -------------------------------------------------------- The Hong Kong Monetary Authority (HKMA) announced Feb. 17 that investigation of over 99% of a total of 21,843 Lehman Brothers- related complaint cases received has been completed. These include: * 15,765 cases, which have been resolved by a settlement agreement reached under section 201 of the Securities and Futures Ordinance; * 3,203 cases, which have been resolved through the enhanced complaint handling procedures required by the settlement agreement; * 2,370 cases, which were closed because insufficient prima facie evidence of misconduct was found after assessment or no sufficient grounds and evidence were found after investigation; * 375 cases (including minibond cases), which are under disciplinary consideration after detailed investigation by the HKMA, of which proposed disciplinary notices are being prepared in respect of 320 such cases and proposed disciplinary notices or decision notices have been issued in respect of the other 55 cases; and * 59 cases in respect of which investigation work has been completed and are going through the decision process to decide whether there are sufficient grounds for disciplinary actions or whether the cases should be closed because of insufficient evidence or lack of disciplinary grounds. Investigation work is underway for the remaining 69 cases. About Lehman Brothers Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the fourth largest investment bank in the United States. For more than 150 years, Lehman Brothers has been a leader in the global financial markets by serving the financial needs of corporations, governmental units, institutional clients and individuals worldwide. Lehman Brothers filed for Chapter 11 bankruptcy Sept. 15, 2008 (Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy petition disclosed US$639 billion in assets and US$613 billion in debts, effectively making the firm's bankruptcy filing the largest in U.S. history. Several other affiliates followed thereafter. Additional units, Merit LLC, LB Somerset LLC and LB Preferred Somerset LLC, sought for bankruptcy protection in December 2009 or more than a year after LBHI and its other affiliates filed their bankruptcy cases. The Debtors' bankruptcy cases are handled by Judge James M. Peck. Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife, Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil, Gotshal & Manges, LLP, in New York, represent Lehman. Epiq Bankruptcy Solutions serves as claims and noticing agent. Dennis F. Dunne, Esq., Evan Fleck, Esq., and Dennis O'Donnell, Esq., at Milbank, Tweed, Hadley & McCloy LLP, in New York, serve as counsel to the Official Committee of Unsecured Creditors. Houlihan Lokey Howard & Zukin Capital, Inc., is the Committee's investment banker. On Sept. 19, 2008, the Honorable Gerard E. Lynch of the U.S. District Court for the Southern District of New York, entered an order commencing liquidation of Lehman Brothers, Inc., pursuant to the provisions of the Securities Investor Protection Act (Case No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as trustee for the SIPA liquidation of the business of LBI. The Bankruptcy Court has approved Barclays Bank Plc's purchase of Lehman Brothers' North American investment banking and capital markets operations and supporting infrastructure for US$1.75 billion. Nomura Holdings Inc., the largest brokerage house in Japan, purchased LBHI's operations in Europe for US$2 plus the retention of most of employees. Nomura also bought Lehman's operations in the Asia Pacific for US$225 million. International Operations Collapse Lehman Brothers International (Europe), the principal UK trading company in the Lehman group, was placed into administration, together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE Holdings Ltd. Tony Lomas, Steven Pearson, Dan Schwarzmann and Mike Jervis, partners at PricewaterhouseCoopers LLP, have been appointed as joint administrators to Lehman Brothers International (Europe) on Sept. 15, 2008. The joint administrators have been appointed to wind down the business. Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc. filed for bankruptcy in the Tokyo District Court on Sept. 16. Lehman Brothers Japan Inc. reported about JPY3.4 trillion (US$33 billion) in liabilities in its petition. Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers Bankruptcy News. The newsletter tracks the Chapter 11 proceeding undertaken by Lehman Brothers Holdings, Inc., and other insolvency and bankruptcy proceedings undertaken by its affiliates. (http://bankrupt.com/newsstand/or 215/945-7000) MACMILLAN NEW: Tam Chun Wan Steps Down as Liquidator ---------------------------------------------------- Tam Chun Wan stepped down as liquidator of Macmillan New Asia Publishers Limited on Feb. 10, 2012. MONARCH SERVICE: Chiu and Har Step Down as Liquidators ------------------------------------------------------ Ying Hing Chiu and Chan Mi Har stepped down as liquidators of Monarch Service Bureau Limited on Feb. 10, 2012. NORITZ HK: Creditors' Proofs of Debt Due March 16 ------------------------------------------------- Creditors of Noritz Hong Kong Holdings Compay Limited, which is in members' voluntary liquidation, are required to file their proofs of debt by March 16, 2012, to be included in the company's dividend distribution. The company's liquidators are: Thomas Andrew Corkhill Iain Ferguson Bruce 8th Floor, Gloucester Tower The Landmark 15 Queen's Road Central, Hong Kong RAINBOW BRIDGE: Seng and Lo Step Down as Liquidators ---------------------------------------------------- Natalia K M Seng and Susan Y H Lo stepped down as liquidators of Rainbow Bridge Trading Limited on Feb. 7, 2012. SAINT GOBAIN: Creditors' Proofs of Debt Due March 19 ---------------------------------------------------- Creditors of Saint Gobain Pipelines Hong Kong Limited, which is in members' voluntary liquidation, are required to file their proofs of debt by March 19, 2012, to be included in the company's dividend distribution. The company's liquidator is: Philip Brendan Gilligan 7th Floor, Alexandra House 18 Chater Road Central, Hong Kong SINOACE LIMITED: Victor Robert Lew Appointed as Liquidator ---------------------------------------------------------- Victor Robert Lew on Feb. 9, 2012, was appointed as liquidator of Sinoace Limited. The liquidator may be reached at: Victor Robert Lew 22nd Floor, Tai Yau Building 181 Johnston Road Wanchai, Hong Kong WONG KONG: Placed Under Voluntary Wind-Up Proceedings ----------------------------------------------------- At an extraordinary general meeting held on Feb. 9, 2012, creditors of Wong Kong Ha Wan Shan Association Limited resolved to voluntarily wind up the company's operations. The company's liquidator is: Lam Wai Hay Room 2301, 23/F Ginza Square 565-567 Nathan Road Yaumatei, Kowloon Hong Kong ========= I N D I A ========= AIR INDIA: Reports 30.4% Rise in Revenue in January --------------------------------------------------- Press Trust of India reports that national carrier Air India has turned in a good performance in January with the overall revenue going by 30.4% over the same period last year. The air carrier's international revenue went up by 27.2% and domestic revenue is up by 36.6% during the month. Overall there was a 30.4% improvement in revenues throughout the network, a senior official told PTI. "Our domestic capacity in terms of available seats per kilometre increased 16.3%, whereas in the overall network, it remained static. The number of passengers carried increased 11.5% on international routes and 18.1% on domestic routes thereby helping the passenger load factor to a 5.4% increase over the entire network," the official told PTI. The yields on international routes rose 18.8% and 16.9% on domestic services and on the network by 19.3%, the official, as cited by PTI, said. Incidentally, PTI relates, Air India's performance is in line with the figures projected in its turnaround plan. The airline's financial restructuring plan was given the nod by the group of ministers (GoM) in the meeting held on Feb. 7, after which banks financing the working capital of the company endorsed its financial restructuring plan in a meeting held on Feb. 17, the news agency adds. About Air India Air India Ltd -- http://www.airindia.com/-- transports passengers throughout India and to more than 40 destinations throughout the world. Affiliate Air India Express operates as a low-fare carrier, mainly between India and destinations in the Middle East, and Air India Cargo provides freight transportation. The government of India has merged Air India with another state- controlled carrier, Indian Airlines, which has focused on domestic routes. The combined airline, part of a new holding company called National Aviation Company of India, uses the Air India brand. The new Air India and its affiliates have a fleet of more than 110 aircraft altogether. * * * The Troubled Company Reporter-Asia Pacific, citing the Hindustan Times, reported on June 19, 2009, that Air India has been bleeding cash due to excess capacity, lower yield, a drop in passenger numbers, an increase in fuel prices and the effects of the global slowdown. The carrier incurred net losses of INR2,226.16 crore in 2007-08 and INR5,548 crore in 2008-09. Air India is estimated to have lost INR54 billion in the fiscal year ended March 31, 2010, according to The Wall Street Journal. AVRON CHEMICALS: CRISIL Assigns 'B' LT Rating to INR50MM Loan ------------------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable/CRISIL A4' ratings to the bank facilities of Avron Chemicals Pvt Ltd. Facilities Ratings ---------- ------- Long-Term Rating CRISIL B/Stable (Assigned) Short-Term Rating CRISIL A4 (Assigned) Total Bank Loan Facilities Rated: INR50 Million The ratings reflect Avron's modest financial risk profile marked by low networth and high leverage and the risks associated with the trading nature of operations. These weaknesses are partially offset by Avron's established relationships with customers and suppliers coupled with the extensive experience of its promoters' in the chemical trading industry. Outlook: Stable CRISIL believes that Avron will continue to benefit from its established position in the chemical trading business and the industry experience of its promoters, over the medium term. The outlook may be revised to 'Positive' if the firm increases its scale of operations while improving upon its profitability levels leading to an improvement in its financial risk profile. Conversely, the outlook may be revised to 'Negative' in case of a decline in business volumes impacts the company's cash accruals and financial risk profile. About Avron Chemicals Avron Chemicals Pvt Ltd was incorporated in 2009 by Mr. SK Tapuriah of the Mumbai based Tapuriah family. The company undertakes trading, market and distribution of various chemicals, petrochemical solvent and ethyl alcohol. The company is also a distributor of Morepen Laboratories Limited and Ganesh Benzoplast Limited for marketing of their various products. The Tapuriah family also promotes other two concerns, Traxpo Enterprises Private Limited established in 1997 and Intec Logistics Private Ltd which was established in 2009. Traxpo Enterprises is primarily engaged in Import of Petrochemicals, Solvents & Intermediates with registered office in Kolkata. For 2010-11 (refers to financial year, April 1 to March 31), Avron reported a provisional profit after tax (PAT) of INR1.57 million on net sales of INR461 million, against a PAT of INR1.4 million on net sales of INR201 million for 2009-10. DAILY FOODS: CRISIL Rates INR115-Mil. Loan 'CRISIL B' ----------------------------------------------------- CRISIL has assigned its 'CRISIL B/Stable' rating to the bank loan facilities of Daily Foods. Facilities Ratings ---------- ------- Long-Term Rating CRISIL B/Stable (Assigned) Total Bank Loan Facilities Rated: INR 115 Million The rating reflects Daily Foods's weak financial risk profile, marked by weak debt protection measures and a high gearing, presence in low value-added product, modest scale of operations leading to a low operating margin, and exposure to risks associated with government regulations. These rating weaknesses are partially offset by the extensive experience of Daily Foods's proprietor in the dairy products industry. Outlook: Stable CRISIL believes that Dairy Foods will benefit over the medium term from its strong track record in the dairy industry. The firm's financial risk profile is expected to remain constrained by a low operating margin and high debt levels, during this period. The outlook may be revised to 'Positive' if Diary Foods' financial risk profile improves, most likely as a result of increase in its share capital or improvement in its operating margin. Conversely, the outlook may be revised to 'Negative' if the firm reports deterioration in its financial risk profile most likely because of a large, debt-funded capital expenditure programme or if it significantly increases its working capital leading to large incremental bank borrowings. About Daily Foods Daily Foods manufactures various dairy products. The products are sold to other dairies such as Mother Dairy and in the whole sale market under the brand name Shree Gopal R Ultimate. The firm has a manufacturing unit at Hapur (Uttar Pradesh) with processing capacity of around 300,000 litres of milk per day. Daily Foods was set up in 1984. Currently, the firm's operations are looked after by Mr. Rajesh Kumar, the second-generation promoter of the family. Daily Foods reported a book profit of INR5.0 million on net sales of INR922.5 million for 2010-11 (refers to financial year, April 1 to March 31), against a book profit of INR3.9 million on net sales of INR722.4 million for 2009-10. ESSENN AUTOMOTIVE: CRISIL Assigns 'B+' LT Rating to INR70MM Loan ---------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Essenn Automotive Pvt Ltd. Facilities Ratings ---------- ------- Long-Term Rating CRISIL B+/Stable (Assigned) Short-Term Rating CRISIL A4 (Assigned) Total Bank Loan Facilities Rated: INR70 Million The ratings reflect EAPL's weak financial risk profile, marked by a small net worth and weak debt protection metrics, and small scale and nascent stage of operations with low profitability. These rating weaknesses are partially offset by EAPL's association with Volkswagen, which supports its business risk profile. Outlook: Stable CRISIL believes that EAPL will benefit over the medium term from the support it gets from Volkswagen for funding its working capital requirements and its association with the Volkswagen brand. The outlook may be revised to 'Positive' in case of improvement in EAPL's financial risk profile driven by higher- than-expected cash accruals, along with efficient working capital management. Conversely, the outlook may be revised to 'Negative' in the event of pressure on the company's liquidity on account of withdrawal of support by Volkswagen, resulting in larger-than- expected working capital requirement or in case of large debt- funded expansion. About Essenn Automotive Incorporated in 2010, EAPL is an authorised dealer for Volkswagen passenger cars. The company commenced its commercial operations in December 2011. Currently, EAPL sells four models and their variants of Volkwagen cars (Polo, Vento, Jetta, and Passat), with Polo and Vento being the highest-sold models. The company would add two new models and their variants (Touareg and Beetle) by around April 2012. EAPL's dealership area spans Siliguri (West Bengal), Northern Bengal, Sikkim, and Bhutan. EAPL expects to derive more than 90 per cent of its revenues from sale of cars while the balance would be derived from service, sale of spares, and other miscellaneous sources. JSK METALEX: CRISIL Cuts Rating on INR330MM Loan to 'CRISIL D' -------------------------------------------------------------- CRISIL has downgraded its rating on the INR330-million term loan facility of JSK Metalex Pvt Ltd to 'CRISIL D' from 'CRISIL B+/Stable'. Facilities Ratings ---------- ------- Long-Term Rating CRISIL D (Downgraded from CRISIL B+/Stable) Total Bank Loan Facilities Rated: INR 330 Million The downgrade reflects instances of delays by JSKM in servicing the interest on its term loan - the delays have ranged from 10 to 18 days. JSKM's poor liquidity has caused the delays. The company's liquidity weakened because of less-than-expected cash accruals as its operations are in the start-up phase, and also because of large working capital requirements arising out of high inventory and debtor level leading to full utilisation of bank limits. Despite expected increase in the company's cash accruals with increase in its scale of operations, its liquidity is expected to remain stretched, because of large working capital requirements and tightly matched cash accruals against maturing term loan obligations, over the medium term. In addition to a weak financial risk profile, JSKM has small scale of operations and is also susceptible to intense competition in the steel tubes segment. However, CRISIL believes that JSKM will benefit from its location advantages, in terms of availability of raw materials at relatively lower costs, which would enhance its operating efficiency. About JSK Metalex JSKM was incorporated in 2009, promoted by Mr. Vineet Chhabra and family. The company will operate in the pre-galvanised and galvanised pipe segments. The project was set up at a cost of around INR570 million, funded by term loan of INR363 million and promoters' funds. The company's unit for manufacturing pre- galvanised pipes started commercial production in June, 2011 onwards. For galvanised pipes and hot-rolled coils, production started in October 2011. Its installed capacities for manufacturing pre-galvanised and galvanised pipes are 18,240 tonnes per annum (tpa) and 18,720 tpa respectively (on two-shift basis). JSKM manufactures pipes in different sizes, with diameters ranging from 0.5 to 6 inches. The company mainly sells its products through traders. KARMA INDUSTRIES: CRISIL Assigns B+ LT Rating to INR3,000MM Loan ---------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Karma Industries Ltd. Facilities Ratings ---------- ------- Long-Term Rating CRISIL B+/Stable (Assigned) Short-Term Rating CRISIL A4 (Assigned) Total Bank Loan Facilities Rated: INR3000 Million The ratings reflect the Karma group's exposure to implementation- and offtake-related risks associated with its ongoing lead and lead alloys project, and susceptibility to volatility in commodity prices. These ratings weaknesses are partially offset by the extensive experience of the group's promoters in the steel business. For arriving at its ratings, CRISIL has combined the business and financial risk profiles of KIL and KIL's wholly owned subsidiaries, Karma Commodities Limited and Karma Infrastructure Ltd. The entities are together referred to as the Karma group. Outlook: Stable CRISIL believes that the Karma group will continue to benefit over the medium term from its established customer relationships and the extensive industry experience of it promoters. The outlook may be revised to 'Positive' if the company's lead and lead alloy manufacturing project stabilizes its operations in time and exhibits higher than expected cash accruals and substantial and sustainable improvement in its debt protection metrics. Conversely, the outlook may be revised to 'Negative' in case there is slowdown in the group's revenue growth or time or cost overruns in respect of its ongoing project or significant deterioration in its capital structure. About the Group KIL, incorporated in August 1977, is a public limited company listed on the Bombay Stock Exchange (BSE), with majority shares owned by the Mumbai-based Mehta family. KIL is engaged in trading in steel products, chiefly mild-steel (MS) angles, MS channels, MS plates and thermo-mechanically treated (TMT) bars. Mr. Ramesh Mehta and his son, Mr. Abhishek Mehta, and other directors manage the operations of the company. KCL was established by the Mehta family in 2008-09 (refers to financial year, April 1 to March 31) for undertake commodity trading. The company has licenses for trading and clearing operations from Multi Commodity Exchange of India Limited (MCX), National Commodity and Derivatives Exchange Limited (NCDEX), etc. KCL commenced commercial operations, albeit at a small scale, in 2011-12. K Infra was incorporated in July 2009 to carry out infrastructure activities. The company has not started operations yet. KIL reported a profit after tax (PAT) of INR20 million on gross sales of INR6588 million for 2010-11, against a PAT of INR9.9 million on gross sales of INR4284 million for 2009-10. LORD'S MARK: CRISIL Assigns 'CRISIL B+' LT Rating to Rs110MM Loan ----------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Lord's Mark Papers & Polymers Pvt Ltd. Facilities Ratings ---------- ------- Long-Term Rating CRISIL B+/Stable (Assigned) Short-Term Rating CRISIL A4 (Assigned) Total Bank Loan Facilities Rated Rs.110 Million The ratings reflect LMPPPL's small scale of operations in a highly fragmented paper industry, working-capital-intensive operations, and average financial risk profile, marked by small net worth and high gearing. The ratings also factor in the susceptibility of the company's margins to volatility in raw material prices. These rating weaknesses are partially offset by the extensive industry experience of LMPPPL's promoters and established relationships with customers and suppliers. Outlook: Stable CRISIL believes that LMPPPL will continue to benefit over the medium term from its promoters' extensive industry experience and established relationships with customers and suppliers. The outlook may be revised to 'Positive' if there is improvement in the company's profitability margins, while it maintains its revenue growth, or there is a substantial improvement in its capital structure on account of equity infusion by the promoters. Conversely, the outlook may be revised to 'Negative' if there is deterioration in its financial risk profile either on account of lower-than-expected profitability or larger-than-expected working capital requirements. About Lord's Mark Papers Incorporated in 1998 as Lord's Marketing and Research Pvt Ltd (LMRPL) by Mr. Sachidanand Upadhyay and Mr. Vijay Borkar, the company initially developed marketing strategies for reputed companies, such as United Breweries Ltd and Hindustan Unilever Ltd. In 2001, the company ventured into processing of packaged drinking water and was selling the same to Indian Railways under its brand, Aqua Fresh. However, in 2006, LMRPL discontinued the business of developing marketing strategies and processing of packaged drinking water, and ventured into manufacturing carbonless paper, heat-sensitive thermal paper, high-density polyethylene bags, and low-density polyethylene bags. After the exit of Mr. Vijay Borkar from the company, Mr. Rajesh Chavan and Mr. G M Ansari joined as directors in the company and subsequently in 2008, LMRPL was renamed LMPPPL. LMPPPL currently has two manufacturing units in Mumbai (Maharashtra), collectively producing 2200 tonnes per month (tpm) of printed writing paper. Moreover, it has one unit in Daman (Diu and Daman) with an installed capacity to manufacture around 60 tpm of high-density polyethylene bags and low-density polyethylene bags. LMPPPL reported a profit after tax (PAT) of INR2.2 million on net sales of INR146.6 million for 2010-11 (refers to financial year, April 1 to March 31), as against a PAT of INR1.4 million on net sales of INR87.6 million for 2009-10. M.L.R. INDUSTRIES: CRISIL Rates INR700MM Loan at 'CRISIL BB-' ------------------------------------------------------------- CRISIL has assigned its 'CRISIL BB-/Stable' rating to the bank facilities of M.L.R. Industries Pvt Ltd. Facilities Ratings ---------- ------- Long-Term Rating CRISIL BB-/Stable (Assigned) Total Bank Loan Facilities Rated: INR700 Million The rating reflects the extensive experience of the BAIL group's promoters in the pasta business and healthy demand prospects for pasta products. The rating also factors in MLR's access to well- established supply and distribution network of the BAIL group and strong brand equity of the group's brand Bambino. These rating strengths are partially offset by MLR's exposure to risks related to implementation and stabilisation of operations after completion of its ongoing pasta manufacturing project. The rating also reflects the group's susceptibility to competition in both the domestic and export markets in the wheat products industry. For arriving at the ratings, CRISIL has combined the financial and business risk profiles of MLR with those of Bambino Agro Industries Ltd, Seshasayi Foods Pvt Ltd, Ghanta Foods Pvt Ltd, and Marshal Transport Company, collectively referred to as the BAIL group. This is because all these entities share a common brand, have significant operational linkages and common management team. Outlook: Stable CRISIL believes that MLR will commence commercial operations as scheduled in March 2012 without any time or cost overruns, and stabilise operations at the earliest. MLR is likely to generate sufficient accruals to service its debt, over the medium term. The outlook may be revised to 'Positive' if MLR's operational performance in the initial years exceeds expectations or if its capital structure improves through additional equity infusion. Conversely, the outlook may be revised to 'Negative' in case of any delay in stabilisation of the company's ongoing project, or in case of additional debt-funding for the project, leading to deterioration in the company's financial risk profile, especially its gearing and debt protection metrics. About the Group MLR, part of the BAIL group, was incorporated in February 2002 for setting up a food processing unit in Nalagonda district, Andhra Pradesh. MLR held only the land assets till date, a part of which was let out to its group company, BAIL. While MLR did not have any manufacturing operations till date, it is presently setting up a 24,000-tonne-per-annum pasta manufacturing unit in Bibinagar, Nalagonda district. The cost of the project is estimated at around INR518.6 million, of which INR158.6 million is being funded through equity from promoters, and the remaining through debt. MLR is scheduled to commence commercial production in March 2012. Incorporated in 1983, BAIL produces vermicelli, macaroni, and pasta products. Its product range comprises wheat flour, semolina, spaghetti, pasta, instant food mixes, soups, blended spices and ready-to-eat Indian snacks and sweets. The group has three manufacturing facilities in Gurgaon (Haryana), Bibinagar (Hyderabad) and Nagpur, Maharashtra (this plant is under group company Seshasayi Foods Pvt Ltd) with a total installed capacity of 156 tonnes per day (tpd). The company sells its products under the brand name Bambino. BAIL is South East Asia's largest vermicelli producer. The company has a share of around 65 per cent in India's vermicelli market. Ghanta Foods Pvt Ltd manufactures instant foods and has a wide product range. Marshal Transport Company arranges transport for the group companies. PRINCE RICE: Delays in Debt Repayment Cues CRISIL Junk Rating ------------------------------------------------------------- CRISIL has assigned its 'CRISIL D' rating to the bank facilities of Prince Rice Mills Pvt Ltd. The rating reflects instances of delay by PRMPL in servicing its term debt; the delays have been caused by the company's weak liquidity. Facilities Ratings ---------- ------- Long-Term Rating CRISIL D (Assigned) Total Bank Loan Facilities Rated: INR205.0 Million PRMPL is also exposed to risks related to volatility in raw material prices, to high dependence on the monsoon, and to project stabilisation. The company, however, benefits from the assured rice offtake from the government and the stable demand for rice. About Prince Rice PRMPL, based in Burdwan (West Bengal), has set up a rice mill to process non-basmati raw and parboiled rice with capacity of 80,000 tones of paddy per annum. The company has also set up a captive power plant, with capacity of 700 kilowatts per hour. The mill commenced commercial operations in November 2011. The project capital outlay was INR235 million funded by a term loan of INR135 million, unsecured loan of INR10 million, and equity contribution by promoters for the rest. The company is equally owned by families of Mr. Ram Prasad Bhattacharya and Mr. Subrata Koner. The promoters, over the medium term, have plans to expand PRMPL's rice milling capacity to 160,000 tonnes per annum (tpa) with an estimated capital outlay of INR100 million. The company has already built necessary infrastructure for the same, while setting up initial capacity of 80,000 tpa, and needs to procure necessary machineries to expand the capacity. The project will take around one year to complete from the date of financial closure. The promoters are also planning to set up a 30,000-tpa silica manufacturing plant. However, this project is currently at the nascent stage. PUPIL TREE: Delay in Loan Payment Cues CRISIL Junk Rating ---------------------------------------------------------- CRISIL has assigned its 'CRISIL D' rating to the long-term bank facilities of Pupil Tree Foundation. The rating reflects instances of delay by PTF in servicing its debt; the delays have been caused by the trust's weak liquidity. Facilities Ratings ---------- ------- Long-Term Rating CRISIL D (Assigned) Total Bank Loan Facilities Rated: INR 170 Million PTF also has a below-average financial risk profile, marked by weak capital structure and debt protection metrics, and small net worth, and limited revenue diversity. These rating weaknesses are partially offset by PTF's established regional position in Bellary (Karnataka) supported by competent promoters and a healthy operating efficiency. Set up by Mr. Prabhuraj Jahagirdas and his family members in 2001, PTF operates Pupil Tree Academy in Bellary, which offers playschool, kindergarten, primary, secondary, and higher secondary education. The school follows syllabus set by Indian Certificate of Secondary Education and Karnataka State Board. The school currently has around 2100 students. PTF reported a surplus (excess of income over expenditure) of INR1 million on total income of INR59 million for 2010-11 (refers to financial year, April 1 to March 31), as against a surplus (excess of income over expenditure) of INR6 million on total income of INR54 million for 2009-10. RANI INFRASTRUCTURE: CRISIL Assigns C LT Rating on INR840MM Loan ---------------------------------------------------------------- CRISIL has assigned 'CRISIL C/CRISIL A4' ratings to the bank facilities of Rani Infrastructure Development Ltd. The ratings reflect instances of delay by RIDL in servicing its debt (not rated by CRISIL); the delays have been caused by the company's weak liquidity. Facilities Ratings ---------- ------- Long-Term Rating CRISIL C (Assigned) Short-Term Rating CRISIL A4 (Assigned) Total Bank Loan Facilities Rated: INR 840 Million RIDL also has a weak financial risk profile, marked by average net worth, high gearing, and weak debt protection metrics, and large working capital requirements. These weaknesses are partially offset by RIDL's healthy order book and successful track record in the irrigation and road construction space. About Rani Infrastructure Hyderabad (Andhra Pradesh)-based RIDL was incorporated in 1983. Promoted by Mr. G Gundiah, RIDL undertakes construction of infrastructure projects, primarily roads and irrigation works. The company's clients include various state and central government bodies. RIDL has consciously adopted a shift towards projects backed by bodies such as the World Bank and Asian Development Bank in recent years. RIDL reported a profit after tax (PAT) of about INR23 million on net sales of about INR651 million for 2010-11 (refers to financial year, April 1 to March 31), as against a PAT of about INR17 million on net sales of about INR491 million for 2009-10. RKM HOUSING: CRISIL Rates INR76MM Loan at 'CRISIL B+' ----------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable' rating to the bank facility of RKM Housing Ltd. Facilities Ratings ---------- ------- Long-Term Rating CRISIL B+/Stable (Assigned) Total Bank Loan Facilities Rated: INR 76 Million The rating reflects RKM's exposure to project execution risk with significant dependence on customer advances to fund project costs in the past and also to risks and cyclicality inherent in the Indian real estate industry. These rating weaknesses are partially offset by the benefits that the company derives from its promoters' extensive experience and from its business model with focus on sale of plots, leading to better matching of cash inflows and outflows. Outlook: Stable CRSIL believes that RKM's credit risk profile will remain sensitive to the timeliness of inflow of promoters' contribution and customer advances in relation to the real estate project at Mohali (Punjab). The outlook may be revised to 'Positive' in case of timely execution of the Mohali project along with earlier- than-expected infusion of promoters' funding and customer advances leading to higher-than-expected cash inflows. Conversely, the outlook may be revised to 'Negative' in case of time or cost overrun in relation to the project or in the event of delays in receipt of customer advances or promoters' funding contribution. About RKM Housing Incorporated in 2006-07 (refers to financial year, April 1 to March 31), RKM is currently engaged in real estate development activity in Sector 112 of Mohali. The company has already completed a residential real estate project at Zirakpur (Punjab). This project has been completed in August 2011 and RKM expects to book revenues from this project during the current financial year. Currently, the project area at sector 112 in Mohali is spread over 31 acres. The saleable area of the project is about 55 per cent of the total area. While most of the saleable area would be sold as open plots, RKM plans to construct a residential apartment project in an area of about 3 acres. Work on the residential apartment project is expected to commence in April 2012 and completed by March 2015. SRI VAMSHI: CRISIL Assigns 'CRISIL B+' LT Rating on INR80MM Loan ---------------------------------------------------------------- CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Sri Vamshi Krishna Industries. Facilities Ratings ---------- ------- Long-Term Rating CRISIL B+/Stable (Assigned) Short-Term Rating CRISIL A4 (Assigned) Total Bank Loan Facilities Rated: INR80.0 Million The ratings reflect SVKI's working-capital-intensive operations and susceptibility to risks related to volatility in raw material prices and uneven rainfall. These rating weaknesses are partially offset by assured rice offtake by government and stable demand for rice. Outlook: Stable CRISIL believes that SVKI will continue to benefit over the medium term from the extensive industry experience of its partners and healthy prospects for the rice processing industry. The outlook may be revised to 'Positive' in case there is higher- than-expected increase in the firm's revenues and profitability, or in case of better working capital management, leading to improvement in liquidity. Conversely, the outlook may be revised to 'Negative' in case there is lower-than-expected capacity utilisation by SVKI, which may weaken its accruals, or in case it undertakes significant debt-funded capital expenditure programme, leading to further weakening in its liquidity. About Sri Vamshi Based in Andhra Pradesh (AP), SVKI mills and processes non- basmati raw and parboiled rice at its unit, which has installed capacity of 120 tonnes of paddy per day. Currently, the unit operates at around 55 per cent capacity. The firm procures paddy from local farmers and traders against a credit of around 30 days. Sales are primarily made to government bodies and wholesalers in AP. Till 2010-11 (refers to financial year, April 1 to March 31), SVKI also sold rice to Reliance Fresh Ltd and Nestle India Ltd; however, it discontinued supplying rice to these two entities in 2011-12. After the Government of India lifted the ban on export of non-basmati rice in 2011-12, SVKI has started exporting rice to Dubai and Africa through a dealer based in the United Arab Emirates. The firm plans to import a rice sorting machine at an estimated capital outlay of INR7.5 million in 2011-12. For 2010-11, SVKI reported a profit after tax (PAT) of INR3.5 million on net sales of INR298.4 million, as against a PAT of INR2.9 million on net sales of INR217.1 million reported for 2009-10. SUIFT DEALERS: Delay in Debt Repayment Cues CRISIL Junk Rating -------------------------------------------------------------- CRISIL has assigned its 'CRISIL D/CRISIL D' ratings to the bank facilities of Suift Dealers Pvt Ltd. The ratings reflect instances of delay by SDPL in servicing its debt; the delays have been caused by the company's weak liquidity. The company has been facing a stretch in its receivables thereby impairing its liquidity. Facilities Ratings ---------- ------- Long-Term Rating CRISIL D (Assigned) Short-Term Rating CRISIL D (Assigned) Total Bank Loan Facilities Rated: INR 113.5 Million SDPL also has a weak financial risk profile, marked by a modest net worth, high gearing, and weak debt protection metrics. This rating weakness is partially offset by the extensive experience of SDPL's promoters in the textile industry. About Suift Dealers Incorporated in 2004 by Mr. Maheshkumar Nangalia, SDPL processes cotton and synthetic yarn into grey fabric and also manufactures furnishings and ladies garments. The company's day-to-day operations are managed by Mr. Manish Nangalia, son of Mr. Maheshkumar Nangalia. SDPL's manufacturing unit in Surat (Gujarat) has an installed capacity to process 3,00,000 metres of fabric per day. SDPL reported a profit after tax (PAT) of INR1 million on net sales of INR277.52 million for 2010-11 (refers to financial year, April 1 to March 31), against a PAT of INR0.2 million on net sales of INR294 million for 2009-10. ========= J A P A N ========= CSC SERIES 1: Moody's Cuts Rating of 3 Note Classes to 'C(sf)' -------------------------------------------------------------- Moody's Japan K.K. has downgraded the ratings for the Class B-2 through F-3 bonds issued by CSC Series 1 GK. Class B-2/B-3, downgraded to B2 (sf); previously on June 24, 2011, downgraded to Ba3 (sf) Class C-2, downgraded to Caa3 (sf); previously on May 18, 2011, downgraded to B3 (sf) Class D-2, downgraded to C (sf); previously on May 18, 2011, downgraded to Caa2 (sf) Class E-2/E-3, downgraded to C (sf); previously on May 18, 2011, downgraded to Caa3 (sf) Class F-3, downgraded to C (sf); previously on May 18, 2011, downgraded to Ca (sf) Deal Name: CSC Series 1 GK Class: Class B-2 through F-3 bonds Issue Amount (initial): JPY13.0 billion Dividend: Floating Issue Date (initial): December 28, 2006 Final Maturity Date: November 2012 Underlying Asset (initial): 11 non-recourse loans backed by real estate Originator: Credit Suisse Principal Investments Limited, Tokyo Branch (CSPI) Arranger: Credit Suisse Securities (Japan) Limited The bonds were issued by CSC, Series 1 GK. The 11 loans, which were originated by CSPI, were transferred to the issuer and are backed by 72 properties. In this transaction, any principal payments at maturity, or prepayments resulting from the sale of the underlying properties, or refinancing of the loans, are allocated on a pro-rata basis to the balance of the Senior (Class A through E) and the Subordinated (Class F and G) Bonds first. Sequential payments are then applied to the Senior and pro-rata payments to the Subordinated Bonds. In the event of a loan default, a write-down amount -- due to any loss from the defaulting loan -- will be allocated in reverse sequential order from the Class G to A bonds. Two of the loans have already been paid down in full. The principal of two loans suffered partial impairment, and six loans were recovered in full due to special servicing. The remaining one loan is under special servicing, initially backed by office/retail properties in and outside Tokyo. Ratings Rationale The current rating action reflects these factors: 1. The result of a write-down of the Class E-2 through F-3 bonds, in turn due to the loss on a special servicing loan backed by a retail property in the local area. 2. In light of the revision of the asset disposition strategy on Jan-2012 by the special servicer, losses on the remaining loan are highly likely and could negatively affect the Class B-2 through D-2 bonds. The principal methodology used in this rating was "Updated: Moody's Approach to Rating CMBS Transactions in Japan (June 2010)" published on September 30, 2010. Moody's did not receive or take into account any third party due diligence reports on the underlying assets or financial instruments related to the monitoring of this transaction in the past six months. OLYMPUS CORP: Managing Director Found Dead in India --------------------------------------------------- Diksha Sahni at The Wall Street Journal reports that the managing director in India for Japan's Olympus Medical Systems India Pvt. Ltd. was found dead in an apparent suicide Monday in a children's park at a high-rise apartment complex in Gurgaon, a satellite city of India's capital. The Journal relates that police said Tsutomi Omori, a Japanese national, was found hanging from the iron railings of a boundary wall inside a children's park at the "DLF The Icon" apartment complex at around 8:30 a.m. Monday. According to the report, a police official said two suicide notes written in Japanese were found near his body. "One was addressed to his family, which the Japanese embassy officials refused to translate, the other note was translated as saying, 'I regret my decision,'" the Journal quotes Maheshwar Dyal, deputy commissioner of police (east) for Gurgaon police, as saying. Mr. Dyal added that Mr. Omori's body was moved to a mortuary. The Japanese embassy in New Delhi and Mr. Omori's family in Japan have been informed of the incident, the Journal reports. The Japanese embassy in New Delhi confirmed that police have reported the incident to the embassy but declined to give details about the suicide note saying that "it was a private matter" and that the "matter is under investigation," says the Journal. Police added that a post mortem is likely to be conducted soon on Mr. Omori's body, according to the Journal. Olympus Corp. has been at the center of a major accounting scandal recently. The Journal says authorities in Tokyo last week arrested three Olympus executives that the company said were the main people responsible for hiding more than $1.5 billion in investment losses for 13 years. There was no immediate indication that Mr. Omori's suicide was in any way related to the scandal, the Journal notes. About Olympus Corp. Based in Japan, Olympus Corporation (TYO:7733) -- http://www.olympus-global.com/-- manufactures and sells medical products, life and industrial products, imaging products, information communication products and other products. As of March 31, 2011, the Company has 188 subsidiaries and 11 associated companies. ==================== N E W Z E A L A N D ==================== CRAFAR FARM: Fay to Infuse NZ$18MM; Pengxin Calls Bid "Phantom" --------------------------------------------------------------- The National Business Review reports that Sir Michael Fay's rival bidding group for the Crafar farm estate said it will inject more than NZ$18 million into the 16 dairy farms over the first three milking seasons to lift production by up to 30% while increasing jobs by 15%. NBR relates that in a submission made Feb. 17 to the Overseas Investment Office, the Fay-led bidding group provided detailed improvements to its members plan for the rundown farms and benefits that would come from them being run by "experienced local dairy farmers and local iwi". Receivers rejected Fay's previous NZ$171.5 million offer for the farms over a conditional offer from Chinese firm Shanghai Pengxin. NBR relates that Mr. Fay said his group was making the submission matching each of the economic and various benefits of the purchase claimed by Pengxin. Mr. Fay's group said it will mainly employ sharemilkers on the farms, giving them the opportunity to grow and develop their own dairy business, and provide the traditional method for dairy farm ownership, the report relays. The group's iwi members are very aware of the importance of the Mohaka River and will continue activity to halt further degradation of the Mohaka catchment, according to the submission obtained by NBR. Chinese Bidder Calls Fay's Bid "Phantom" In a separate report, National Business Review's Conor O'Brien relates that Shanghai Pengxin released a statement slamming what it calls the Sir Michael Fay-led consortium's "phantom', saying it "lacks credibility." The Chinese company said its bid will bring a variety of economic benefits to New Zealand and that Mr. Fay's group has not done their due diligence, NBR relates. "They can promise whatever they like, even though they have not done due diligence on the properties, because no-one could hold them to their promises, even if they ever succeed in having an offer for the properties accepted," NBR quotes Pengxin spokesman Cedric Allan as saying. According to the report, the injection of more than NZ$200 million of foreign exchange into the economy, NZ$18.7 million upgrading of the farms, and a significant increase are all being touted as benefits of Shanghai Pengxin's bid. "[T]he delivery of all of these benefits could be scrutinised and enforced by the Overseas Investment Office, unlike those promised by the phantom Fay group offer," Mr. Allan said, NBR cites. About Crafar Farms Crafar Farms, New Zealand's largest family owned dairy business, runs about 20,000 milking cows, and carries about 10,000 of other stock. The company employed 200 staff. Crafar Farms was placed in receivership in October 2009, by its lenders Westpac Banking Corp., Rabobank Groep and PGG Wrightson Finance. The banks, owed around NZ$200 million, put KordaMentha partners Michael Stiassny and Brendon Gibson in as receivers after Crafar Farms breached covenants on its loans. The latest report on the four Crafar companies in receivership -- Plateau Farms, Ferry View Farms, Hillside and Taharua -- said their bank debt in October was NZ$256 million, according to BusinessDay.co.nz. As reported in the Troubled Company Reporter-Asia Pacific on April 27, 2010, The New Zealand Herald said 16 farms in the Crafar Farms group have been placed onto the open market for sale by Crafar's receivers through Bayleys Real Estate. Bayley's said the receivership sale is the single largest receivership sale of farms in New Zealand history. The 16 farms employ nearly 200 staff and managers and cover 8,000 hectares. They are located in the Waikato, near Benneydale in the King Country, Reporoa, Atiamuri, Waverley, Hawera and Bulls. The TCR-AP, citing The National Business Review, reported on Feb. 20, that the government was ordered by the high court to reconsider its decision to allow the sale of the Crafar farms to a subsidiary of Shanghai Pengxin. Ministers approved the sale of the 16 Crafar farms to Shanghai Pengxin late last month, conditional on a deal being struck with Landcorp to run the farms, according to NBR. ================= S I N G A P O R E ================= ALFA AIRE: Creditors' Proofs of Debt Due March 2 ------------------------------------------------ Creditors of Alfa Aire Pte Ltd, which is in voluntary liquidation, are required to file their proofs of debt by March 2, 2012, to be included in the company's dividend distribution. The company's liquidator is: The Official Receiver The URA Centre (East Wing) 45 Maxwell Road #06-11 Singapore 069118 HELM FERTILIZER: Creditors' Proofs of Debt Due March 19 ------------------------------------------------------- Creditors of Helm Fertilizer Asia (Singapore) Pte Ltd, which is in voluntary liquidation, are required to file their proofs of debt by March 19, 2012, to be included in the company's dividend distribution. The company's liquidators are: Ebenezer John Lazarus Chen Yeow Sin 1 Raffles Place #20-02 One Raffles Place Singapore 048616 IBM SINGAPORE: Court Enters Wind-Up Order ----------------------------------------- The High Court of Singapore entered an order on Feb. 13, 2012, to wind up the operations of Beans Group Pte Ltd. IBM Singapore Pte Ltd filed the petition against the company. The company's liquidator is: The Official Receiver The URA Centre (East Wing) 45 Maxwell Road, #05-11/#06-11 Singapore 069118 POWER DRAGON: Court to Hear Wind-Up Petition on March 2 ------------------------------------------------------- A petition to wind up the operations of Power Dragon Trading Pte Ltd will be heard before the High Court of Singapore on March 2, 2012, at 10:00 a.m. Standard Chartered Bank filed the petition against the company on Feb. 8, 2012. The Petitioner's solicitors are: Rajah & Tann LLP 9 Battery Road #25-01 Straits Trading Building Singapore 049910 =============== X X X X X X X X =============== * Upcoming Meetings, Conferences and Seminars --------------------------------------------- April 3-5, 2012 TURNAROUND MANAGEMENT ASSOCIATION TMA Spring Conference Grand Hyatt Atlanta, Atlanta, Ga. Contact: http://www.turnaround.org/ Apr. 19-22, 2012 AMERICAN BANKRUPTCY INSTITUTE Annual Spring Meeting Gaylord National Resort & Convention Center, National Harbor, Md. Contact: 1-703-739-0800; http://www.abiworld.org/ July 14-17, 2012 AMERICAN BANKRUPTCY INSTITUTE Southeast Bankruptcy Workshop The Ritz-Carlton Amelia Island, Amelia Island, Fla. Contact: 1-703-739-0800; http://www.abiworld.org/ Aug. 2-4, 2012 AMERICAN BANKRUPTCY INSTITUTE Mid-Atlantic Bankruptcy Workshop Hyatt Regency Chesapeake Bay, Cambridge, Md. Contact: 1-703-739-0800; http://www.abiworld.org/ November 1-3, 2012 TURNAROUND MANAGEMENT ASSOCIATION TMA Annual Convention Westin Copley Place, Boston, Mass. Contact: http://www.turnaround.org/ Nov. 29 - Dec. 2, 2012 AMERICAN BANKRUPTCY INSTITUTE Winter Leadership Conference JW Marriott Starr Pass Resort & Spa, Tucson, Ariz. Contact: 1-703-739-0800; http://www.abiworld.org/ April 10-12, 2013 TURNAROUND MANAGEMENT ASSOCIATION TMA Spring Conference JW Marriott Chicago, Chicago, Ill. Contact: http://www.turnaround.org/ October 3-5, 2013 TURNAROUND MANAGEMENT ASSOCIATION TMA Annual Convention Marriott Wardman Park, Washington, D.C. Contact: http://www.turnaround.org/ ********* 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, Ivy B. Magdadaro, Frauline S. Abangan, and Peter A. Chapman, Editors. Copyright 2012. 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 Peter Chapman at 240/629-3300. *** End of Transmission ***