---

        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

          Thursday, October 11, 2012, Vol. 15, No. 203

                            Headlines



A U S T R A L I A

AUSTRALIAN MUSIC: Collapse Hits NAB With AUD48 Million
BE-RAY CABINET: Union Seeks Government Aid for Workers
CORSAIR NO.4: Fitch Withdraws 'Dsf' Rating on AUD105-Mil. Notes
NINE ENTERTAINMENT: Goldman Accepts Nine's Equity Deal
RPG GROUP: In Administration, Cuts 76 Jobs


C H I N A

CHINA AGRITECH: Rigrodsky & Long Files Fraud Class Action Lawsuit


H O N G  K O N G

CAPITAL ONE: Placed Under Voluntary Wind-Up Proceedings
CMT CHINAVALUE: Creditors' Proofs of Debt Due Nov. 5
FORTUNA KNITS: Chan Kuok Kun Steps Down as Liquidator
GENZYME ASIA: Creditors' Proofs of Debt Due Oct. 26
HONGKONG TERRITORIAL: Commences Wind-Up Proceedings

HUI DONG: Seng and Wong Step Down as Liquidators
INTERGEST FAR: Creditors' Proofs of Debt Due Nov. 6
MING YUEN: Creditors' Proofs of Debt Due Nov. 5
MORGAN STANLEY: Briscoe and Meng Step Down as Liquidators
PARK TALENT: Ho Man Ying Irene Steps Down as Liquidator

ST. PAUL'S: Creditors' Proofs of Debt Due Nov. 5
STRAIGHT WHARF: Creditors' Proofs of Debt Due Oct. 22
TARGET MAGIC: Creditors' Proofs of Debt Due Nov. 7
TEGO GARMENTS: Commences Wind-Up Proceedings
VENTURA BAG: Creditors' Proofs of Debt Due Nov. 5


I N D I A

AIR INDIA: Delays Debt Repayment to Lenders
ASSET CARS: CARE Rates INR18.04cr Long-Term Loan at 'CARE BB-'
EM CEE: CARE Assigns 'BB-' Rating to INR9.59cr LT Loan
KINGFISHER AIRLINES: CEO Asks Employees to Return to Work
KINGFISHER AIRLINES: Ordered to Stop Selling Tickets Amid Strike

MEET ASSOCIATES: CARE Assigns 'BB' Rating to INR10.05cr LT Loan
M.K. GROUP: CARE Rates INR38cr Long-Term Loan at 'CARE BB-'
PHOENIX PROJECTS: CARE Puts 'CARE BB' Rating on INR8.5cr LT Loan
PREET REALTORS: CARE Rates INR10cr LT Loan at 'CARE B+'
RAJASTHAN TRANSMISSION: CARE Puts 'B-' Rating on INR13.4cr Loans

SHREE SARASWATI: CARE Rates INR7.73cr Long-Term Loan at 'CARE C'
SIDDHARTHA PROCESSORS: CARE Rates INR9.97cr LT Loan at 'CARE B+'
SUZLON ENERGY: Asks For Debt Extension as Supplier Seeks Dues
SYNDICATE BANK: Moody's Rates Senior Unsecured Bond Issuance
VATIKA LTD: CARE Rates INR371.79cr Long-Term Loan at 'CARE BB'


J A P A N

JLOC XXVIII: S&P Lowers Rating on Class D Certificates to 'D'
JLOC XXVIII: Fitch Withdraws 'Dsf' Rating on Class D TBIs


N E W  Z E A L A N D

1924 TRUST: Cocoa Shop Shuts Doors as Owner Goes Into Liquidation
BECON CANTERBURY: Owes Unsecured Creditors Nearly NZ$1 Million
SHANTON RETAIL: In Receivership on Difficult Trading


P H I L I P P I N E S

* PHILIPPINES: Fitch Says Peace Deal May Boost Investment Rate


S I N G A P O R E

RGM GROUP: Court to Hear Wind-Up Petition on Oct. 19
RIEME HAIR: Court Enters Wind-Up Order
SAN TECHNOLOGY: Creditors' Proofs of Debt Due Oct. 18
SPEEDLOCK ENGINEERING: Creditors Get 7.1060% Recovery on Claims
S. PRITAM: Creditors' Proofs of Debt Due Oct. 19


T A I W A N

FAR EASTERN INT'L: Fitch Affirms 'B+' Support Rating Floor
TAISHIN INT'L: Fitch Affirms Support Rating Floor at 'BB+'
TAICHUNG COMMERCIAL: Fitch Affirms 'BB+' IDRs; Outlook Stable


                            - - - - -


=================
A U S T R A L I A
=================


AUSTRALIAN MUSIC: Collapse Hits NAB With AUD48 Million
------------------------------------------------------
Ben Butler at smh.com.au's BusinessDay reports that National
Australia Bank took a AUD48 million hit from the collapse of
Australian Music Group Holdings Pty Ltd, trading as Allans +
Billy Hyde, company documents show.

BusinessDay says that rival retailer Gallin's made several
attempts to buy the group, both before and after its collapse in
late August, in a bid to keep the chain trading.

The report relates that Bain Capital, the venture capital group
founded by the Republican candidate for US president, Mitt
Romney, also expressed interest in buying the chain's owner,
Australian Music Group (AMG).

However, receivers Ferrier Hodgson decided to liquidate the
group's stock in a run-out sale that is still under way,
BusinessDay notes.

AMG owed NAB AUD56 million in March, BusinessDay discloses citing
minutes of a creditors meeting filed with the corporate
regulator.

BusinessDay relates that the minutes show the bank sold the debt
to a subsidiary of Hilco, which specializes in running shut-down
sales at failing retailers, for AUD8 million.

Gallin's managing director Con Gallin told BusinessDay his bid
for the business was narrowly beaten by that of Revere Capital,
the Hilco subsidiary.

According to BusinessDay, the minutes of last month's creditors'
meeting reveal Revere Capital pumped AUD7.1 million into AMG to
keep it running between March and August.

However, it balked at an August 10 request from directors Timothy
Mason and John Helme for an additional AUD1.5 million to buy
stock in the lead-up to Christmas, the report relays.

AMG was put up for sale, but after Revere demanded repayment of
its remaining debt on August 22, the directors decided to call in
administrators, which in turn triggered the appointment of
Ferrier Hodgson as receivers, BusinessDay notes.

                       About Allans + Billy Hyde

Allans + Billy Hyde -- http://www.allansbillyhyde.com.au/--
operates 25 stores across Australia plus four franchise stores.
There are 500 employees. The outlets specialize in the sale of
musical instruments, live music accessories and sheet music.
Allans Music began in the 1850s when Mr. Joseph Wilkie and Mr.
George Allan opened a music warehouse in Melbourne's Collins
Street.  Mr. Billy Hyde was a drum manufacturer who perfected of
drum kits in the 1950s and 1960s, opening his first store in
Flemington in 1962.  Allans + Billy Hyde merged in July 2010.

AMG was placed into receivership on August 23, 2012, following
the appointment of voluntary administrators.

Ferrier Hodgson partners James Stewart and Brendan Richards were
appointed receivers and managers over AMG and a number of
associated entities.  The appointment was made by the secured
creditor (Revere Capital Pty Ltd) and extends to AMG's wholesale
distribution importing business, trading as MusicLink and
Intermusic, which commenced in 1973 and supplies over 300
independent music retailers. It does not however include Stage
Systems, a backline hire company servicing the festivals and live
concerts market.


BE-RAY CABINET: Union Seeks Government Aid for Workers
------------------------------------------------------
ABC News reports that the Construction, Forestry, Mining and
Energy Union said the South Australian Government needs to offer
help to 17 redundant Be-Ray Cabinet employees.

The Mount Gambier cabinet-maker went into liquidation last month,
with no funds for workers to be paid out their entitlements.

ABC News says workers will meet local independent MP Don Pegler
to ask him to approach the State Government for training and
assistance.

According to ABC News, union representative Travis Lawson said
the futures of many workers and their young families looks bleak.

"I'm calling on the State Government to access some of this money
that they continually keep talking about spreading around the
district, allocate some of this money to these young workers so
they can get the training and the assistance that they require to
get some gainful, full-time employment to support their families,
pay their mortgages and pay the rent," the report quotes Mr.
Lawson as saying.

"We'll be asking Don to go to the State Government and ask the
State Government for some money for training and assistance to
help these workers get . . . back onto their feet and hopefully
get some gainful employment pretty quick."


CORSAIR NO.4: Fitch Withdraws 'Dsf' Rating on AUD105-Mil. Notes
---------------------------------------------------------------
Fitch Ratings has downgraded and simultaneously withdrawn the
rating on the notes of Corsair (Cayman Islands) No. 4 Limited
Series 6 due to tranche default.  The transaction is a synthetic
corporate CDO referencing corporate obligations mainly in the
U.S. and Europe.

Corsair (Cayman Islands) No.4 Limited Series 6

  -- AUD105 million notes due March 2014 downgraded to 'Dsf' from
     'Csf'; rating withdrawn

The notes balance represented the original issuance amounts.

The downgrade follows the settlement of the credit event for
Residential Capital, LLC (ResCap) which resulted in partial loss
to the notes.

As a result of the rating withdrawal, Fitch is no longer
maintaining the Recovery Estimate on the notes.


NINE ENTERTAINMENT: Goldman Accepts Nine's Equity Deal
------------------------------------------------------
Colin Kruger at smh.com.au's BusinessDay reports that Nine
Entertainment's junior lenders, led by Goldman Sachs, have agreed
to the media group's proposal to end the deadlock that is
threatening to send the company into administration.

BusinessDay relates that Nine Entertainment's board was informed
on Tuesday morning, Oct. 9, that Goldman Sachs has agreed to the
deal which would see mezzanine debt holders emerge with 7.5% of
Nine's equity and warrants that would give them upside to any
future sale of Nine above the current estimates of its value.

"Goldman Sachs Mezzanine Partners understands the importance of
keeping this iconic Australian broacaster out of administration
and is supporting the Nine board and management," BusinessDay
quotes a spokesman as saying.  "Therefore Goldman Sachs Mezzanine
Partners has agreed to endorse Nine's proposal."

According to the report, Goldman's support for the Nine deal puts
pressure on senior debt holders.  BusinessDay notes that these
lenders have argued that Nine is not worth more than the AUD2.3
billion they're owed, which means they should be able to swap
their debt for 100% of Nine's equity.

The proposal by Nine chairman Peter Bush and chief executive
David Gyngell, tabled late on Monday, Oct. 8, would hand the
remaining 92.5% of Nine to senior lenders led by Oaktree Capital
and Apollo Global Management, the report discloses.

Some of Nine's original senior lenders are expected to retain
their loans if the proposed restructure goes ahead, leaving Nine
with a manageable $1 billion worth of debt, BusinessDay relays.

According to BusinessDay, all of Nine's lenders are expected to
get back to the company with their response to the offer.
The most recent proposals from Messrs. Bush and Gyngell came
after Goldman Sachs, and the hedge fund-lead senior lenders,
rejected each others' restructure proposals.

                   CVC Chief Executive Steps Down

Meanwhile, BusinessDay relates that the chief executive of Nine's
current owner CVC, Adrian MacKenzie, has stood down from the Nine
board to remove any perceived conflict of interest ahead of any
potential deal.

CVC is expected to participate in any deal alongside Goldman
Sachs, the report says.

BusinessDay notes Mr. MacKenzie, who will also step down as CEO
of CVC by the end of the year, oversaw CVC's acquisition of Nine
in 2007.  The private equity firm is expected to crystalise a
AUD2 billion loss on Nine -- its largest ever loss on a single
private-equity deal in Asia.

CVC is still represented on the board by Andrew Cummins, the
report notes.

Nine Entertainment Co., formerly known as PBL Media, --
http://www.nineentertainment.com.au/-- is one of the largest
private-equity owned companies in Australia, bought by Asia
Pacific Ltd at the height of the buyout boom in 2006.  CVC spent
about AUD5.3 billion in debt and equity in acquiring the company
from media baron James Packer.  In addition to Nine, one of
Australia's three free-to-air television networks, the group also
owns magazine publisher ACP, the online media company nineMSN,
Acer Arena and ticketing agency Ticketek.


RPG GROUP: In Administration, Cuts 76 Jobs
------------------------------------------
The Australian reports that RPG Group decided to go into cutting
76 jobs in the process.

The board of RPG Group appointed Ferrier Hodgson as
administrators and made the decision to immediately close the
plants at Dalby and Richlands in Queensland and Kilburn in South
Australia, following a review on the weekend, according to The
Australian News.  The report relates that the company's
operations at Wacol in Brisbane remain under review.

The Australian News relates that RPG employed 310 staff at four
manufacturing facilities in Queensland and South Australia.

The report notes that administrators said they hope to sell the
remaining businesses and keep staff on.  The Australian News
relates that employees will have to wait for the outcome of any
sales and asset realizations to find out if they will receive
their entitlements in full.

The first meeting of creditors will be held on October 17.



=========
C H I N A
=========


CHINA AGRITECH: Rigrodsky & Long Files Fraud Class Action Lawsuit
-----------------------------------------------------------------
Rigrodsky & Long, P.A. discloses that it has filed a class action
lawsuit in the U.S. District Court for the District of Delaware
on behalf of all persons or entities that purchased the
securities of China Agritech, Inc. between Nov. 12, 2009 and
March 11, 2011, alleging violations of the Securities Exchange
Act of 1934 against certain of the Company's officers.  The case
is entitled Smyth v. Chang, Case No. 12-cv-1262 (D. Del.).

The firm can be reached at:

        Peter Allocco
        RIGRODSKY & LONG, P.A.
        825 East Gate Boulevard, Suite 300
        Garden City, NY
        Tel: (888) 969-4242
        E-mail: info@rigrodskylong.com
        http://www.rigrodskylong.com/news/china-agritech-inc-cagc

The Complaint alleges that China Agritech overstated its revenues
and omitted to disclose significant related-party transactions.
On Nov. 12, 2009, the Company filed a Form 10-Q with the U.S.
Securities and Exchange Commission reporting its third quarter
results.  The 10-Q was false because it materially misstated the
Company's revenue and net income for the quarter.  The Company's
Form 10-K, filed with the SEC on April 1, 2010, contained similar
misstatements about the Company's revenue and net income, in
addition to concealing related-party transactions involving China
Agritech's Chief Executive Officer, Yu Chang.  The 10-K indicated
that the Company purchased 15% and 12% of its raw materials from
Shenzhen Hongchou Technology Company Ltd. in fiscal 2009 and
2008, respectively.  However, it failed to disclose that during
that time, Defendant Chang owned 90% of Shenzhen Hongchou.

Generally Accepted Accounting Principles, State of Financial
Accounting Standards and SEC regulations all require the Company
to disclose all material related-party transactions, which it
failed to do.

However, the truth started to reveal itself regarding the
accuracy of China Agritech's financial statements.  On Feb. 3,
2011, the research firm LM Research published a report asserting
that China Agritech was engaged in fraud.  The report concluded
that the Company's financial statements were fraudulent, its
purported revenue was overstated and that its plants were idle.
As a result of the LM Research report, shares in China Agritech
declined from a close of $10.78 on Feb. 2, 2011 to $9.85 on
Feb. 3, 2011, on unusually high volume of over 2.6 million
shares.  Then, on Feb. 15, 2011, Bronte Capital issued a scathing
report presenting additional facts indicating that China Agritech
was engaged in fraud and could not possibly have produced the
revenue it claimed in its financial statements.  As a result of
the Bronte Capital report, shares in China Agritech declined from
a close of $9.21 on February 15, 2011 to $7.44 on Feb. 16, 2011,
again on unusually high volume of over 2.8 million shares.

On March 13, 2011, China Agritech announced the formation of a
Special Committee of its Board of Directors to investigate the
allegations of fraud that the Company maintained had been made by
third parties.  The next day, China Agritech announced in a Form
8-K filed with the SEC that Ernst & Young Hua Ming ("E&Y") had
been dismissed as the Company's independent auditor.  In
explaining its reasons for the dismissal, the Company revealed
that it had, in essence, concealed that E&Y had identified
serious problems with its financial statements as early as Dec.
15, 2010 and had informed the Company's board that an internal
investigation was necessary.  Yet, the Company failed to correct
the problems with the financial statements and failed to provide
verification for certain transactions - prompting "E&Y [to]
orally advise[] the Audit Committee that it may not be able to
rely on management's representations based on the issues
identified."

Additionally, on March 14, 2011, the NASDAQ halted trading in
China Agritech stock with its share price at $6.88 per share and
initiated delisting proceedings.  On May 20, 2011, after being
delisted by the NASDAQ, China Agritech shares opened for trading
on the pink sheets.  That day, shares in China Agritech closed at
$3.80 per share, a decline of $3.08 per share, or almost 45%.

The firm says that entities who wish to serve as lead plaintiff
must move the Court no later than Dec. 4, 2012.  A lead plaintiff
is a representative party acting on behalf of other class members
in directing the litigation.  In order to be appointed lead
plaintiff, the Court must determine that the class member's claim
is typical of the claims of other class members, and that the
class member will adequately represent the class.

Rigrodsky & Long, P.A., with offices in Wilmington, Delaware and
Garden City, New York, regularly litigates securities class,
derivative and direct actions, shareholder rights litigation and
corporate governance litigation, including claims for breach of
fiduciary duty and proxy violations in the Delaware Court of
Chancery and in state and federal courts throughout the United
States.

                       About China Agritech

China Agritech, Inc. -- http://www.chinaagritechinc.com-- is
engaged in the development, manufacture and distribution of
liquid and granular organic compound fertilizers and related
products in China.  The Company has developed proprietary
formulas that provide a continuous supply of high-quality
agricultural products while maintaining soil fertility.  The
Company sells its products to farmers located in 28 provinces of
China.



================
H O N G  K O N G
================


CAPITAL ONE: Placed Under Voluntary Wind-Up Proceedings
-------------------------------------------------------
At an extraordinary general meeting held on Sept. 21, 2012,
creditors of Capital One Charity Foundation Limited resolved to
voluntarily wind up the company's operations.

The company's liquidator is:
         Marian Yip
         Unit 101, 1/F
         Silicon Tower
         88 Larch Street
         Mongkok, Kowloon


CMT CHINAVALUE: Creditors' Proofs of Debt Due Nov. 5
----------------------------------------------------
Creditors of CMT ChinaValue Capital Advisors Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by Nov. 5, 2012, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on Sept. 24, 2012.

The company's liquidators are:

         Shen Michael Koping
         Wu Wai On
         12/F, China Taiping Tower
         Phase 2, 8 Sunning Road
         Causeway Bay, Hong Kong


FORTUNA KNITS: Chan Kuok Kun Steps Down as Liquidator
-----------------------------------------------------
Chan Kuok Kun stepped down as liquidator of Fortuna Knits Limited
on Sept. 24, 2012.


GENZYME ASIA: Creditors' Proofs of Debt Due Oct. 26
---------------------------------------------------
Creditors of Genzyme Asia Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by
Oct. 26, 2012, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on Sept. 25, 2012.

The company's liquidators are:

         Chan Mi Har
         Ying Hing Chiu
         Level 28, Three Pacific Place
         1 Queen's Road
         East, Hong Kong


HONGKONG TERRITORIAL: Commences Wind-Up Proceedings
---------------------------------------------------
Members of Hongkong Territorial Trades Limited, on Sept. 28,
2012, passed a resolution to voluntarily wind up the company's
operations.

The company's liquidator is:

         Choi Wai Lung Edward
         Room C, 2/F,
         Wing Tat Commercial Building
         121-125 Wing Lok Street
         Central, Hong Kong


HUI DONG: Seng and Wong Step Down as Liquidators
------------------------------------------------
Natalia Seng Sze Ka Mee and Cynthia Wong Tak Yee stepped down as
liquidators of Hui Dong Investment Limited on Sept. 19, 2012.


INTERGEST FAR: Creditors' Proofs of Debt Due Nov. 6
---------------------------------------------------
Creditors of Intergest Far East Hong Kong Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by Nov. 6, 2012, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on Sept. 25, 2012.

The company's liquidators are:

         Ng Kit Ying Zelinda
         Susana Jap
         36/F, Tower Two
         Times Square, 1 Matheson Street
         Causeway Bay, Hong Kong


MING YUEN: Creditors' Proofs of Debt Due Nov. 5
-----------------------------------------------
Creditors of Ming Yuen Hong Limited, which is in members'
voluntary liquidation, are required to file their proofs of debt
by Nov. 5, 2012, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on Sept. 24, 2012.

The company's liquidator is:

         Wong Luk Kwan Yee
         1 A-23 Bellevue Court
         41 Stubbs Road
         Hong Kong


MORGAN STANLEY: Briscoe and Meng Step Down as Liquidators
---------------------------------------------------------
Stephen Briscoe and Wong Teck Meng stepped down as liquidators of
Morgan Stanley Hong Kong Futures Limited on Sept. 25, 2012.


PARK TALENT: Ho Man Ying Irene Steps Down as Liquidator
-------------------------------------------------------
Ho Man Ying Irene stepped down as liquidator of Park Talent
Development Limited on Oct. 3, 2012.


ST. PAUL'S: Creditors' Proofs of Debt Due Nov. 5
------------------------------------------------
Creditors of St. Paul's Cardiothoracic Centre Limited, which is
in members' voluntary liquidation, are required to file their
proofs of debt by Nov. 5, 2012, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on Sept. 21, 2012.

The company's liquidators are:

         Cheng Mo Kit Katherine
         Lee May C
         Euro Trade Centre
         21st Floor, 13-14 Connaught Road
         Central, Hong Kong


STRAIGHT WHARF: Creditors' Proofs of Debt Due Oct. 22
-----------------------------------------------------
Creditors of Straight Wharf Capital (HK) Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by Oct. 22, 2012, to be included in the company's
dividend distribution.

The company commenced wind-up proceedings on Sept. 25, 2012.

The company's liquidator is:

         John Duffield Meyercord
         601 West 57th St. 34A
         New York, NY 10019
         U.S.A.


TARGET MAGIC: Creditors' Proofs of Debt Due Nov. 7
--------------------------------------------------
Creditors of Target Magic Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by Nov. 7,
2012, to be included in the company's dividend distribution.

The company commenced wind-up proceedings on Sept. 21, 2012.

The company's liquidator is:

         Lee Siu Leung
         Room 1702, 17th Floor
         Tung Hip Commercial Building
         248 Des Voeux Road
         Central, Hong Kong


TEGO GARMENTS: Commences Wind-Up Proceedings
--------------------------------------------
Members of Tego Garments Limited, on Sept. 26, 2012, passed a
resolution to voluntarily wind up the company's operations.

The company's liquidators are:

         Lui Wan Ho
         To Chi Man
         17/F, Kam Sang Building
         255 Des Voeux Road
         Central, Sheung Wan
         Hong Kong


VENTURA BAG: Creditors' Proofs of Debt Due Nov. 5
-------------------------------------------------
Creditors of Ventura Bag Manufactory Limited, which is in
members' voluntary liquidation, are required to file their proofs
of debt by Nov. 5, 2012, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on Sept. 25, 2012.

The company's liquidators are:

         Thomas Andrew Corkhill
         Iain Ferguson Bruce
         8th Floor, Gloucester Tower
         The Landmark
         15 Queen's Road
         Central, Hong Kong



=========
I N D I A
=========


AIR INDIA: Delays Debt Repayment to Lenders
-------------------------------------------
The Times of India reports that National Aviation Company of
India (Nacil), which flies under the Air India brand, has delayed
settling dues with lenders because of its inability to raise
INR7,400 crore through a planned bond issue, raising fresh
concerns over the financial restructuring plan cleared by the
government six months ago.

The report relates that at least two bankers confirmed the
"delay" in payment beyond September although a senior Nacil
executive said there were no overdues to the bank and whatever
short-term liabilities had to be cleared would be cleared over
the next few days when it gets a full-fledged government
guarantee to raise fresh funds at a lower cost and retire its
earlier high-cost loans.

According to the report, the finance ministry has denied an
unconditional guarantee to Nacil despite the Cabinet decision and
civil aviation minister Ajit Singh's meeting with finance
minister P Chidambaram a few days ago.  TOI says the national
carrier was forced to put off its bond issue as the finance
ministry only issued a conditional guarantee, which would be
valid in case all specified parameters are met, something that
investors do not see as sufficient security.

TOI notes although a banker said Nacil issued a tender for a bond
issue last week, citing an unconditional guarantee, the finance
ministry has yet to issue the notification.  The Air India
executive, however, said too much should not be read into the
issue as the guarantee, which would bind the government to take
over the liability in case of a default by the airline, would be
issued over the next week to 10 days.  "It's all procedural. This
often takes a little time," the executive, who did not wish to be
identified, told TOI.

A government guarantee, along with equity infusion by the Centre
and taking over aircraft loans, were the key elements of Nacil's
INR30,000 crore financial restructuring plan cleared by the
Cabinet in April, the report says.

                         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.  Air India had debt of INR42,570 crore and
accumulated losses of INR22,000 crore as of March 31, 2011,
according to livemint.com.

In April 2012, the Union Cabinet approved an operational
turnaround plan through an equity infusion of INR30,000 crore
(US$5.8 billion) over the next eight years.

"The Cabinet Committee on Economic Affairs (CCEA) has approved
the turnaround plan (TAP) and financial restructuring plan (FRP)
of Air India, under which the government will infuse INR30,000
crore into the airline by 2020-21, subject to certain milestones
that AI will have to meet," civil aviation minister Ajit Singh
said.


ASSET CARS: CARE Rates INR18.04cr Long-Term Loan at 'CARE BB-'
--------------------------------------------------------------
CARE assigns 'CARE BB-' rating to the bank facilities of Asset
Cars Pvt Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities      18.04      CARE BB- Assigned

Rating Rationale

The rating assigned to the bank facilities of Asset Cars Pvt.
Ltd. is constrained due to its strained financial risk profile
marked by low profitability margin and leveraged capital
structure along with concentration risk of dealing only the in
premium passenger vehicle segment and operations in a highly
competitive market.

The rating, however, derives strength from the entrepreneurial
experience of promoters, first mover advantage with integrated
nature of services, increasing demand for Jaguar-Land Rover
vehicles and favorable industry outlook in the medium term for
passenger vehicle segment.

Ability to improve its scale of operations and profitability by
establishing itself in the region would be the key rating
sensitivity.

Incorporated in 2011, ACPL is a part of the Asset group, promoted
by Mr. Parvinder Singh Vijan and Mrs. Inderjeet Kaur Vijan. Asset
group has interest in automobile dealership, education and event
management. The group consists of Asset Motors Pvt. Ltd. (Rated
'CARE BB-') an authorized dealer of Hyundai vehicles; Asset Auto
India Pvt. Ltd. (Rated 'CARE BB') an authorized dealer of Skoda
vehicles, Asset Education Centre Pvt. Ltd., Asset Centre for
Excellence Business School and ION Events Pvt. Ltd.

ACPL operates in Pune as an authorized dealer for the Jaguar and
Land Rover brands of passenger vehicles imported by Tata Motors
Limited.  Being the second authorized dealer in the state,
ACPL is permitted to operate over the state of Maharashtra
(except Mumbai) and Goa. It deals in all 3 models of the brand
'Jaguar' and all 6 models of 'Land Rover' luxury vehicles. ACPL
operates with one showroom and workshop at Pune. The company was
awarded with 2nd highest 'Target Achievement' award from Jaguar
Land Rover (JLR) that too when the showroom and servicing
facility were under establishment in Q4FY12. The showroom and the
infrastructure facility is also recognized and ranked 2nd best in
India by JLR.


EM CEE: CARE Assigns 'BB-' Rating to INR9.59cr LT Loan
------------------------------------------------------
CARE assigns 'CARE BB-' and 'CARE A4' ratings to the bank
facilities of Em Cee Cee Sports Agencies Pvt Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       9.59      CARE BB- Assigned
   Short-term Bank Facilities      2.00      CARE A4 Assigned

Rating Rationale

The ratings assigned to the bank facilities of Em Cee Cee Sports
Agencies Private Limited are primarily constrained by its small
scale of operations with low capitalization, highly leveraged
capital structure, moderate profitability margins and working
capital intensive nature of its business.

The ratings, however, draw comfort from the experience of the
promoters and long track record of operations of ECCS with
established brand and wide marketing & distribution network in
the sports good industry.

Going forward, the ability of the company to increase its scale
of operation while improving its profitability margin and
effective working capital management along with the improvement
in solvency position would be the key rating sensitivities.

ECCS was incorporated in 1968 as a proprietorship firm by Mr.
Janak Raj Mahajan (aged 63 years). Later on in 1985, the firm was
converted to a private limited company. Currently, the management
comprises Mr. Janak Raj Mahajan, Mr. R. P. Mahajan, Mr. Sham
Sundar Gupta and Mr. Satish Kumar.

The company is engaged in the manufacturing of sports goods and
has its manufacturing facilities at Jalandhar (Punjab) and Jammu
(Jammu & Kashmir). The quality system and manufacturing processes
of the company are ISO 9001:2000 certified. In addition to this,
the company was awarded with 'State Productivity Award' in 1992,
'Best Entrepreneur Award 95' and 'Outstanding Entrepreneurship
Special Recognition National Award 2010' among others.

The company sells its product under the known brand of JJ Jonex,
Yashika Eshquire and Karachi King. The product profile includes
skates, cricket equipment, boxing equipment, hockey equipment,
sports balls and many other items. The company sells its products
through distributors/dealers spread all over India and through
big retail chains.


KINGFISHER AIRLINES: CEO Asks Employees to Return to Work
---------------------------------------------------------
The Hindu Business Line reports that Kingfisher Airlines Ltd's
Chief Executive Officer, Sanjay Aggarwal, has made an appeal to
the staff to come back to work.

"Unless we can keep our operations going, we will not be able to
rectify the situation. We need you to help us to have any chance
of getting back to normalcy," Mr. Aggarwal said in a mail to
employees obtained by Hindu Business Line.

He added the airline hopes to restart operations by October 13,
the report relays.

There are positive developments that give the management
confidence in its future plans. These include revenue authorities
lifting the freeze on some of its accounts, the mail said.

                    About Kingfisher Airlines

Headquartered in Mumbai, India, Kingfisher Airlines --
http://www.flykingfisher.com/-- formerly known as Deccan
Aviation Ltd., serves about 35 domestic destinations with a fleet
of more than 40 aircraft, including Airbus jets and ATR 72
turboprops.  It maintains bases in major cities such as Delhi and
Mumbai.

                           *     *     *

Kingfisher Airlines lost money six years in a row, accumulating
net debt of INR77.2 billion (US$1.74 billion) as of March 2010,
according to data compiled by Bloomberg.

As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 5, 2012, The Times of India said Kingfisher Airlines has
now been given a reality check by its auditors in the company's
annual report 2011-12.  The company had current liabilities,
including borrowings and trade payables of INR8,436 crore,
against current assets of INR1,618.8 crore at the end of
March 2012.  According to TOI, the Vijay Mallya-promoted company
has defaulted in repayment of loans to banks and financial
institutions, for which several lenders have had to take a hit by
setting aside more funds, with overdues estimated at nearly
INR800 crore at the end of March 2012.


KINGFISHER AIRLINES: Ordered to Stop Selling Tickets Amid Strike
----------------------------------------------------------------
Santanu Choudhury and Anirban Chowdhury at Dow Jones Newswires
report that India's aviation regulator Tuesday asked Kingfisher
Airlines Ltd. to stop selling tickets, soon after the cash-
strapped carrier resumed bookings for flights starting this
weekend.

Dow Jones relates that Civil Aviation Minister Ajit Singh said
Kingfisher won't be allowed to sell tickets until the Directorate
General of Civil Aviation is satisfied with the carrier's plans
on carrying on operations.

"They are not going to start flying again unless they have got
the DGCA's permission" and the regulator is convinced about the
airline's safety and financial stability, Mr. Singh said on the
sidelines of a conference, according to Dow Jones.

The news agency says the minister's comments came after
Kingfisher resumed selling tickets on its Web site and also
through travel portals MakeMyTrip.com., Cleartrip.com and
Ixigo.com.

Early last week, Dow Jones recounts, the airline -- controlled by
liquor mogul Vijay Mallya -- suspended ticket sales and flight
operations after pilots, technicians and engineers went on strike
to protest against non-payment of salaries since March.

Concerned about the strike, especially by engineers who certify
aircraft before flying, the regulator served Kingfisher a notice
Friday, asking it to state by Oct. 20 why it believes its license
shouldn't be cancelled, the report relates.

Dow Jones notes a message on the airline's Web site says its
flights will be subject to regulatory approval, but it didn't say
how it will resume flights if its employees don't end their
strike.

Kingfisher -- named after India's highest-selling brand of beer
-- hasn't posted a net profit since it began operations in May
2005 and has $1.5 billion in debt, the report discloses.

Dow Jones says financial woes have forced the airline to cut
operations to less than a fourth of its 400 flights-a-day
schedule last year. Before it suspended flights last week, it
operated 12 planes, down from 64 last year. It is now India's
smallest carrier by market share, down from its second biggest a
year earlier, says Dow Jones.

                       About Kingfisher Airlines

Headquartered in Mumbai, India, Kingfisher Airlines --
http://www.flykingfisher.com/-- formerly known as Deccan
Aviation Ltd., serves about 35 domestic destinations with a fleet
of more than 40 aircraft, including Airbus jets and ATR 72
turboprops.  It maintains bases in major cities such as Delhi and
Mumbai.

                           *     *     *

Kingfisher Airlines lost money six years in a row, accumulating
net debt of INR77.2 billion (US$1.74 billion) as of March 2010,
according to data compiled by Bloomberg.

As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 5, 2012, The Times of India said Kingfisher Airlines has
now been given a reality check by its auditors in the company's
annual report 2011-12.  The company had current liabilities,
including borrowings and trade payables of INR8,436 crore,
against current assets of INR1,618.8 crore at the end of
March 2012.  According to TOI, the Vijay Mallya-promoted company
has defaulted in repayment of loans to banks and financial
institutions, for which several lenders have had to take a hit by
setting aside more funds, with overdues estimated at nearly
INR800 crore at the end of March 2012.


MEET ASSOCIATES: CARE Assigns 'BB' Rating to INR10.05cr LT Loan
---------------------------------------------------------------
CARE assigns 'CARE BB' and 'CARE A4' ratings to the bank
facilities of Meet Associates Pvt. Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities      10.05      CARE BB Assigned
   Short-term Bank Facilities      0.50      CARE A4 Assigned

Rating Rationale

The ratings assigned to the bank facilities of Meet Associates
Pvt. Ltd. are primarily constrained by its small scale of
operations, low profitability margins in the dealership business
and leveraged capital structure. The ratings are further
constrained by increasing competitive intensity among the
dealers.

The ratings, however, take comfort from the experience of the
promoters of MAPL in the dealership business and multiple
dealerships of Mahindra & Mahindra Limited (tractor, two wheeler,
Light Commercial Vehicle & Passenger Vehicle) and Honda
Motorcycle & Scooter India Private Limited (two wheeler) reducing
dependence on any single product segment or manufacturer.

Going forward, the ability of the company to scale up its
operations and increasing its revenue mix from service and spare
income, thereby improving its profitability and solvency position
would remain the key rating sensitivities.

Incorporated in 2000 by Mr. Baldev Singh, Mr. Narendra Singh, Mr.
Devendra Singh and Mrs Manjeet Kaur, MAPL is engaged in the
business of automobile dealership. The company operates as an
authorized 3S facility (Sales, Spares, Service) for vehicles of
Mahindra & Mahindra Ltd (M&M) and Honda Motorcycle and Scooter
India Pvt. Ltd for which details are as follows:

MAPL got its first dealership of M&M (tractors) at Sultanpur,
Uttar Pradesh, in 2001. The company was awarded dealership by
HMSI (two-wheeler) in 2003 at Moga (Punjab). Subsequently, in
2010, the company opened 3S facility for M&M (two-wheeler) at
Sultanpur, Uttar Pradesh. In April 2012, the company started the
operations of its fourth dealership of M&M (LCV & PV) at Amhat,
Uttar Pradesh. Currently, the company has four sales and service
centers in and around Uttar Pradesh and Punjab.

For FY11 (refers to the period April 1 to March 31), MAPL
achieved total operating income of INR25.26 crore with PBILDT and
PAT of INR0.80 crore and INR0.12 crore, respectively. For FY12
(based on the provisional results), MAPL achieved total operating
income of INR28.23 crore with PAT of INR0.18 crore.


M.K. GROUP: CARE Rates INR38cr Long-Term Loan at 'CARE BB-'
-----------------------------------------------------------
CARE assigns 'CARE BB-' and 'CARE A4' ratings to the bank
facilities of M.K. Group.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       38.00     CARE BB- Assigned
   Short-term Bank Facilities      00.48     CARE A4 Assigned

The ratings assigned by CARE are based on the capital deployed by
the partners and the financial strength of the firm at present.
The ratings may undergo change in case of withdrawal of the
capital or the unsecured loans brought in by the partners in
addition to the financial performance and other relevant factors.

Rating Rationale

The ratings are primarily constrained by the nascent stage of
execution of the real estate development project under the Slum
Rehabilitation Authority (SRA) scheme along with the lack of
experience of the developer in executing the SRA project, high
funding risk with dependence on customer advances, high sales
risk as the project is yet to be launched for sales, constitution
of the entity as a partnership concern and cyclical nature of the
real estate industry.

The aforesaid constraints are partially offset by the strength
derived from the experienced partners in real estate industry and
their track record in the past.

The firm's ability to execute the project in a timely manner with
timely receipt of the customer advances and its ability to sell
the project space at envisaged prices are the key rating
sensitivities.

Established in 1998, the M. K. Group, a partnership firm is
engaged in the real estate business. The group has been involved
in construction, finance, investment services, pharmaceuticals
and hospitality through entities namely Ajmera Associates
Limited, International Financial Services Limited, Ajmera
Commodity and Derivatives Private Limited, Ajmera Pharmasure
Private Limited [Erstwhile Ajmera Trading and Impex Private
Limited] [CARE BB/A4]
& Richie Rich Resorts Limited.

Presently, the firm is undertaking a project under an SRA scheme
with a total developable area of 3 lakh square feet (lsf) at
Kandivali (East), Mumbai. The project is envisaged to be executed
in two phases with only Phase-I of the project launched so far
and funding pattern for Phase-II is yet to be finalized. The firm
has plans to develop two 21-storied Towers and under slum
rehabilitation part (primarily part of Phase II), it involves
rehabilitation of 750 slum dwellers (75% of slum dwellers have
agreed) in two rehab buildings of 15 floors each.


PHOENIX PROJECTS: CARE Puts 'CARE BB' Rating on INR8.5cr LT Loan
----------------------------------------------------------------
CARE assigns 'CARE BB' and 'CARE A4' ratings to the bank
facilities of Phoenix Projects Pvt Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities      8.50       CARE BB Assigned
   Long-term/Short-term Bank     31.50       CARE BB/CARE A4
   Facilities                                Assigned

Rating Rationale

The ratings assigned to the bank facilities of Phoenix Projects
Private Limited (PPPL) are mainly constrained on account of its
working capital intensive nature of operations along with
stressed liquidity position and its exposure to raw material
price fluctuations risk. The ratings are further constrained on
account of its fluctuating turnover, declining net profitability
and cash accruals and moderate debt coverage indicators.

The ratings, however, favorably take into account the wide
experience of the promoters in the infrastructure industry,
moderate order-book position and its long-standing relationship
with government, semi-government and private organisations.
The increase in the order-book position and consequent increase
in the scale of operations, improvement in profitability and
diversification in the new geographical areas remain the key
rating sensitivities.

Based in Rajkot (Gujarat), PPPL was incorporated in 1995 as a
proprietorship firm and was later converted to a private limited
company during 2002. Currently, PPPL is managed by Mr. Nanji
Kamaria, Managing Director, and Mr. Vimal Kasundra, Director, who
are also the promoters of the company. PPPL is engaged in the
development of water treatment plants and laying of drainage and
drinking water pipelines. PPPL has executed works for various
reputed public and private organizations in the states of
Gujarat, Rajasthan, Punjab, Delhi and Maharashtra. PPPL is
registered as a "AA class" (on the scale of AA to E-2, AA being
the highest) category contractor by Road & Building department
(R&B), Government of Gujarat (GoG) and also registered with
various other government, semi-government and private
organisations.

As per the provisional results for FY12 (refers to the period
April 1 to March 31), PPPL reported net profit of INR0.63 crore
on a total income of INR56.98 crore as compared with profit of
INR1.16 crore on a total operating income of INR37.86 crore
during FY11.


PREET REALTORS: CARE Rates INR10cr LT Loan at 'CARE B+'
-------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Preet
Realtors Pvt Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities        10       CARE B+ Assigned

Rating Rationale

The rating assigned to the bank facilities of Preet Realtors
Private Limited is primarily constrained by the limited track
record of executing large-sized real estate project, execution
risk associated with its on-going sole residential real estate
project, low booking status, exposure to the local demand-supply
dynamics and inherent risks associated with the real estate
industry.

The rating, however, draws comfort from the experience of the
promoters and the acquisition of the land and requisite project
approvals being obtained for the project.

Going forward, the ability to execute the project as per schedule
along with timely sale of the project space at envisaged prices
would remain the key rating sensitivity.

Preet Realtors Private Limited is a private limited company
incorporated in 2006. In October 2010, the company was taken over
by the present management comprising Mr. Narendra Maurya,
Mr. Arun Gupta, Mr. Anil Gupta and Mr. Mohit Maurya. The company
is in development of residential and commercial projects. The
group has completed the development of residential projects
comprising 1.45 lakh square feet (lsf) in the last 5 years in
Lucknow.

Currently, the company is executing a residential project viz.
"Rohit residency" in Lucknow (Uttar Pradesh). The total saleable
area of the project is 1.70 lakh square feet (lsf) and is
projected to be completed by December 2013.


RAJASTHAN TRANSMISSION: CARE Puts 'B-' Rating on INR13.4cr Loans
----------------------------------------------------------------
CARE assigns 'CARE B-' and 'CARE A4' ratings to the bank
facilities of Rajasthan Transmission Wires Pvt Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       4.40      CARE B- Assigned
   Long-term/Short-term Bank       9.00      CARE B-/CARE A4
   Facilities                                Assigned

Rating Rationale

The ratings assigned to the bank facilities of Rajasthan
Transmission Wires Private Limited are primarily constrained on
account of its smaller scale of operations with weak financial
risk profile marked by fluctuating turnover, thin profitability
margins, leveraged capital structure and weak debt coverage
indicators. The ratings are also constrained on account of
uncertainty associated with its tender driven business and
subdued financial risk profile of power distribution companies
which are the major customers of RTWPL.

The above-mentioned constraints far offset the benefits derived
from the vast experience of the promoters and established track
record of operations of the company.

The increase in scale of operations with product and customer
diversification, coupled with improvement in profitability and
capital structure are the key rating sensitivities.

Jaipur, Rajasthan-based RTWPL was established in 1977 by Mr. R.
P. Jain. RTWPL is engaged in the manufacturing of All Aluminium
Conductors, All Aluminium Alloy Conductors, Aluminium Conductor
Steel Reinforced, Aluminium wires and various types of industrial
cables with an installed capacity of 6,000 kilometres as on
March 31, 2012.

The products manufactured by the company find applications in
power transmission and distribution. The key clients of RTWPL are
State Electricity Boards (SEBs) as entire operating income was
generated through the sales made to SEBs. RTWPL manufactures
Indian Standards Institute (ISI) marked products certifying that
products conforms to a set of standards laid by the Bureau of
Indian Standards (BIS).

As against a net profit of INR0.09 crore on a total operating
income of INR31.25 crore in FY11 (refers to the period April 1 to
March 31), RTWPL reported a net profit of INR0.02 crore on a
total operating income of INR20.22 crore during FY12.


SHREE SARASWATI: CARE Rates INR7.73cr Long-Term Loan at 'CARE C'
----------------------------------------------------------------
CARE assigns 'CARE C' rating to the bank facilities of Shree
Saraswati Education Sansthan.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities     7.73        CARE C Assigned

Rating Rationale

The rating assigned to the bank facilities of Shree Saraswati
Education Sansthan is primarily constrained on account of
instances of delay in debt servicing in the past on account of
stressed liquidity position, presence in a highly regulated
education sector and financial risk profile marked by low surplus
and highly leveraged capital structure. The rating is also
constrained by the modest scale and short track record of
operation and proposed debt-funded capex.

The rating, however, favorably takes into account the rich
experience of the promoters and strong enrolment ratio in the
flagship courses offered by SSES.

The improvement in the liquidity position and the overall
financial risk profile through improvement in the enrolment ratio
of other courses will be the key rating sensitivities.

Mehsana (Gujarat)-based Shree Saraswati Education Sansthan was
constituted in 2008 by Mr. Mahadev Chaudhary under the Bombay
Public Charitable Trust Act, 1950. SSES runs two institutes viz.
Faculty of Engineering and Faculty of Management. The college is
affiliated to Gujarat Technological University (GTU) and the
courses are approved by All India Council for Technical Studies
(AICTE). In July 2009, the trust obtained the approval from AICTE
and GTU to commence graduate and post-graduate courses in
Engineering and Management. The engineering institute offers
courses in five streams: Mechanical, Electrical and Electronics,
Civil, Computer Science and Electronics and Communication.

During FY11 (refers to the period April 1 to March 31), SSES
reported net surplus of INR0.03 crore (FY10: INR0.03 crore) on a
total operating income of INR3.93 crore (FY10: INR2.33 crore).


SIDDHARTHA PROCESSORS: CARE Rates INR9.97cr LT Loan at 'CARE B+'
----------------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of
Siddhartha Processors Pvt Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities      9.97       CARE B+ Assigned

Rating Rationale

The rating assigned to the bank facilities of Siddhartha
Processors Pvt. Ltd. is primarily constrained on account of its
modest scale of operation, leveraged capital structure, working
capital intensive nature of operations and presence in the
competitive synthetic fabric industry. The ratings are further
constrained on account of susceptibility of its profitability to
the raw material price fluctuation and its limited presence in
textile value chain.

The rating, however, favorably takes into account the experience
of the promoters and its presence in textile cluster at Bhilwara.
SPPL's ability to increase its scale of operations along with
improvement in its profitability and thereby improvement in the
financial risk profile are the key rating sensitivities.

SPPL, based in Bhilwara, Rajasthan, was incorporated in 1995.
Initially, it was promoted by the Melana and Bohara family and
was later taken over by Samdani and Porwal family in November
2009. New promoters had acquired land and building of SPPL and
accumulated losses at the time of purchase and added second hand
Sulzer looms which became operational in January 2011. SPPL
presently has installed 52 Sulzer looms at its plant located at
Bhilwara for manufacturing of synthetic fabric from polyester
yarn. SPPL's operations are mainly focused in the domestic
market.

During FY12 (refers to the period April 1 to March 31), SPPL
reported total operating income of INR20.22 crore (FY11: INR1.01
crore) and PAT of INR0.10 crore (FY11: INR0.01 crore)


SUZLON ENERGY: Asks For Debt Extension as Supplier Seeks Dues
-------------------------------------------------------------
Alex Morales and Natalie Obiko Pearson at Bloomberg News report
that Suzlon Energy Ltd., the wind turbine-maker that sought a
four-month delay on bond repayments, is behind the funding of a
Dutch supplier as a cash crunch hampers its ability to carry out
orders.

Bloomberg notes Suzlon owes EUR1.49 million (US$1.9 million) to
Multi-Fix Group BV for studs and nuts bought to attach blades to
turbines, according to a list of invoices, about half dating back
to 2011, that was provided by the supplier based in Bergeijk,
Netherlands.

Multi-Fix, which relies on Suzlon for 5% of its sales and also
supplies General Electric Co. and Japan Steel Works Ltd. (5631),
is preparing to sue the company to recover its dues, Multi-Fix
Chief Executive Officer Arthur Burgmans told Bloomberg in a phone
interview on Oct. 1.

"The matter under discussion refers to an ongoing contract
between the two parties and therefore remains commercially
confidential," Suzlon told Bloomberg in an e-mail response to
questions about the dispute.

According to Bloomberg, Suzlon, which posted losses for three
years, is under pressure to raise cash.  A lack of working
capital constrained its ability to complete orders in the quarter
that ended June 30, Chief Financial Officer Kirti Vagadia said
after the company reported its second biggest quarterly loss
since at least 2007.

Meanwhile, Bloomberg News reports that bondholders yesterday
voted on whether to grant Suzlon's request for postponing the
redemption of $220.8 million of convertible bonds by four months
to Feb. 11, the second time it's sought an extension this year.
The company needs time to raise funds from various sources,
including fresh debt and the sale of non-critical assets,
according to a Sept. 18 statement cited by Bloomberg.

Bloomberg says the Pune-based manufacturer needed a 45-day
extension to avert default in June when it redeemed $360 million
of convertible notes.  Bloomberg notes the bonds were repaid on
July 27 after Suzlon borrowed $300 million from banks and sold
two Indian wind farms.

                        About Suzlon Energy

Headquartered in Pune, India, Suzlon Energy Ltd (BOM:532667) --
http://www.suzlon.com/-- is engaged in the business of design,
development, manufacturing and supply of wind turbine generators
(WTGs) of a range of capacities and its components. Its
operations relate sale of WTGs and allied activities, including
sale/sub-lease of land, infrastructure development income; sale
of gear boxes, and sale of foundry and forging components.
Others primarily include power generation operations.

Suzlon Energy posted net losses of INR983 crore and INR1,324
crore in the year ended March 31, 2010 and 2011, respectively.


SYNDICATE BANK: Moody's Rates Senior Unsecured Bond Issuance
------------------------------------------------------------
Moody's Investors Service has assigned a Baa2 rating to Syndicate
Bank's proposed issuance of long-term senior unsecured notes
under its US$ 1.0 billion Medium Term Note (MTN) program. The
long-term notes will be denominated in USD and issued by the
London Branch of Syndicate Bank. The rating outlook is negative.

Ratings Rationale

Moody's Investors Service has a standalone bank financial
strength rating (BFSR) of D+ for Syndicate Bank, mapping to a
baseline credit assessment (BCA) of ba1 on the long-term scale.
The BFSR outlook is negative.

Moody's believes that the probability of systemic support for
Syndicate Bank is very high from the Indian government in an
event of a systemic crisis. The Indian government has in the past
supported Indian public sector banks, including Syndicate Bank,
by infusing equity and providing liquidity support when required.
Therefore, the long-term local currency deposit and foreign
currency senior unsecured debt ratings receive a two-notch rating
uplift from its BCA.

The foreign currency senior unsecured debt rating is at Baa2. The
rating outlook is negative.

The negative rating outlook factors in the increasingly
challenging operating environment for Indian banks. As Syndicate
Bank has a weaker franchise than other Indian banks rated Baa2 by
Moody's, its rating is more vulnerable to potential deterioration
in financial strength in the current environment. Moody's
believes the bank's franchise is weaker than other Indian banks
rated Baa2 and is unlikely to significantly change over the next
few quarters.

Moody's current ratings on Syndicate Bank and its affiliates are:

Senior Unsecured MTN Program (foreign currency) ratings of
(P)Baa2

Long Term Bank Deposits (domestic currency) ratings of Baa2

Long Term Bank Deposits (foreign currency) ratings of Baa3

Bank Financial Strength ratings of D+

Subordinate MTN Program (foreign currency) ratings of (P)Baa3

Junior Subordinate MTN Program (foreign currency) ratings of
(P)Ba1

Short Term Bank Deposits (domestic currency) ratings of P-2

Short Term Bank Deposits (foreign currency) ratings of P-3

Syndicate Bank, London Branch

Senior Unsecured (foreign currency) ratings of Baa2

Senior Unsecured MTN Program (foreign currency) ratings of
(P)Baa2

Subordinate MTN Program (foreign currency) ratings of (P)Baa3

Junior Subordinate MTN Program (foreign currency) ratings of
(P)Ba1

The rating outlook on foreign currency bank deposits (long
term/short term) is stable. The rating outlook on all other
ratings is negative.

The principal methodology used in this rating was Moody's
Consolidated Global Bank Rating Methodology published in
June 2012.

Syndicate Bank, headquartered in Mumbai (India), had assets of
INR1,818 billion at March 2012.


VATIKA LTD: CARE Rates INR371.79cr Long-Term Loan at 'CARE BB'
--------------------------------------------------------------
CARE assigns 'CARE BB' rating to the bank facilities of Vatika
Ltd.

                                  Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities      371.79     CARE BB Assigned

Rating Rationale

The rating is constrained by the exposure of Vatika Limited to
project execution and funding risk with significant area under
development where construction cost is yet to be expensed;
concentration risk emanating from dependence of medium-term cash
flows on township project in Gurgaon, high gearing and modest
coverage parameters exposing Vatika to refinancing risk. The
rating also considers inherent risks associated with the real
estate sector.

The rating derives strength from the promoter's experience in the
real estate sector, majority of the land cost paid-for with
requisite approvals in-place for ongoing projects; location
advantage and good connectivity of its major township project in
terms of being located at NH-8 Gurgaon and reasonable bookings
status for the six ongoing projects.

Going forward, the ability of Vatika to timely execute and
deliver projects, the ability to achieve consistent growth in the
sales from new launches and to improve gearing levels shall be
the key rating sensitivities.

The preference capital issued to Private Equity (PE) investors in
2008 is compulsorily convertible into equity by December 2012, at
the same time, as per the shareholder agreement, the investor
shall have an option to seek buy-back of its stake by the
promoters or by the company. In case of such an eventuality on
the company, the measures to be adopted by Vatika might impact
the credit profile of the company.

The Vatika group was incorporated in 1986 and is promoted by Mr.
Anil Bhalla. The group is engaged in real estate development,
including commercial, residential and hospitality sectors and
operates primarily through Vatika Limited (Vatika) and Vatika
Hotels Private Limited.

Vatika Limited is the flagship company of the group and all the
real estate projects are developed by the company. As on June 30,
2012, the group has a land bank of 1,668 acres primarily in
Gurgaon. Vatika's wholly-owned subsidiary, VHPL (CARE BBB-), has
set-up a five-star deluxe hotel in Gurgaon under the brand-name,
'Westin', and also operates facilities management, restaurants
and business centre verticals of the group.

During FY12 (refers to the period April 1 to March 31; Audited),
Vatika achieved a PAT of INR60 crore (INR80 crore) on a total
income of INR855 crore (INR905 crore).



=========
J A P A N
=========


JLOC XXVIII: S&P Lowers Rating on Class D Certificates to 'D'
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered to 'D (sf)' from 'CCC
(sf)' its ratings on the class D senior trust certificates and on
Harajuku Holding TMK's series 4-2 floating-rate mezzanine
specified bond issued under the JLOC XXVIII transaction. The
class A and B senior trust certificates and Nakano Holding TMK's
series 3-2 floating-rate mezzanine specified bond have already
fully redeemed, and the class C senior trust certificates also
fully redeemed on the payment date in October 2012.

"Of the two senior specified bonds that originally backed the
senior trust certificates, a single senior specified bond
(Harajuku Holding TMK's senior specified bond) remains. Although
the sales of all the properties backing Harajuku Holding TMK's
senior specified bond and series 4-2 floating-rate mezzanine
specified bond have been completed, the outstanding principal on
these two specified bonds exceeds the amount of proceeds
collected through the property sales. We  downgraded class D and
the series 4-2 mezzanine specified bond to 'D (sf)' because we
have confirmed that these two classes incurred losses," S&P said.

"JLOC XXVIII is a property sales-type commercial mortgage-backed
securities (CMBS) transaction that Morgan Stanley Japan
Securities Co. Ltd. arranged. At the outset of the transaction,
two senior specified bonds secured the senior trust certificates,
and 567 real estate properties backed the senior specified bonds
and mezzanine specified bonds," S&P said.

             STANDARD & POOR'S 17G-7 DISCLOSURE REPORT

SEC Rule 17g-7 requires an NRSRO, for any report accompanying a
credit rating relating to an asset-backed security as defined in
the Rule, to include a description of the representations,
warranties and enforcement mechanisms available to investors and
a description of how they differ from the representations,
warranties and enforcement mechanisms in issuances of similar
securities. The Rule applies to in-scope securities initially
rated (including preliminary ratings) on or after Sept. 26, 2011.

If applicable, the Standard & Poor's 17g-7 Disclosure Reports
included in this credit rating report are available at:

         http://standardandpoorsdisclosure-17g7.com

RATINGS
LOWERED
JLOC XXVIII Senior Trust Certificates
JPY88.9 billion trust certificates due October 2012
Class     To         From         Initial issue amount
D         D (sf)     CCC (sf)     JPY7.2 bil.

JLOC XXVIII Mezzanine Specified Bonds
Harajuku Holding TMK Series 4-2 JPY3.6 billion floating-rate
mezzanine specified
bond due October 2012
To            From            Initial issue amount
D (sf)        CCC (sf)        JPY3.6 bil.


JLOC XXVIII: Fitch Withdraws 'Dsf' Rating on Class D TBIs
---------------------------------------------------------
Fitch Ratings has downgraded JLOC XXVIII Senior Trust's class D
trust beneficiary interests (TBIs) and the TMK 1 mezzanine
specified bonds (mezzanine SB) to 'Dsf' from 'Csf'.  The ratings
have simultaneously been withdrawn.  The transaction was a
Japanese multi-borrower type CMBS securitisation.

The downgrades follow the tranche default and write-down to zero
of the remaining balance of the class D TBIs and the mezzanine SB
at legal final maturity on 9 October 2012.  Sales of properties
backing the transaction have resulted in a partial redemption of
the underlying bond and the remaining bond obligation was waived
in October 2012.  The class A to C TBIs have already been
redeemed in full.

Fitch will no longer calculate the Recovery Estimate for the
class D TBIs and the mezzanine SB following the withdrawal of the
ratings.

This transaction was originally backed by specified bonds issued
by two Tokutei Mokuteki Kaisha entities, which were backed by 567
properties.  All properties were sold by mid-September 2012.

Fitch will no longer provide ratings or analytical coverage for
this transaction.



====================
N E W  Z E A L A N D
====================


1924 TRUST: Cocoa Shop Shuts Doors as Owner Goes Into Liquidation
-----------------------------------------------------------------
Laura Basham at Nelson Mail reports that Cocoa, the chocolate
shop on Nelson's Hardy St has closed, with its owner bankrupt.
Robert John Rood was declared bankrupt on September 6, and his
company, 1924 Trust Ltd, was placed in liquidation on
September 19.

The shop, which had been in existence since 2005, closed the next
day, the report relays.

According to Nelson Mail, liquidator Malcolm Hollis of
PricewaterhouseCoopers related in his first report that the
company had ceased trading after trading at a loss for at least
two years.

The report says the company's liquidation followed as a result of
the bankruptcy of the shareholder, Robert John Rood.

The liquidator's report shows a shortfall of NZ$156,577 to
creditors -- NZ$68,772 to secured creditors, NZ$27,975 to
preferential creditors and NZ$59,830 to unsecured creditors,
Nelson discloses.

It also noted that an employee was owed a week's wages and
holiday pay was owed to three employees, the Mail adds.

The report says the company's assets would be sold at auction.

Another Cocoa outlet in the Richmond Mall closed earlier this
year, the report adds.


BECON CANTERBURY: Owes Unsecured Creditors Nearly NZ$1 Million
--------------------------------------------------------------
stuff.co.nz reports that the collapse of Becon Canterbury, a
recycling company chaired and part-owned by NZ First MP Denis
O'Rourke, has left unsecured creditors -- including the
Christchurch City Council he was once a member of -- owed nearly
NZ$1 million and with little prospect of repayment.

stuff.co.nz relates that Becon opened in 2007 aiming to become a
regional player in the waste management business.  But by 2010,
the firm's doors were closed and in August last year, it went
into liquidation.

According to the report, liquidators Keiran Horne and Craig
Melhuish said that when they took charge of Becon, 34 unsecured
creditors were owed NZ$837,448, and the only assets of the
company were NZ$845 in the bank, a large roller door and
NZ$55,000 owed from former clients.

The roller door was sold for NZ$1,531 and debts of NZ$31,979 have
been collected but the prospect of any payment to unsecured
creditors is rated as "very unlikely," the report relays.

stuff.co.nz discloses that Mr. O'Rourke is Becon's founding
chairman and a 12% shareholder.  He entered Parliament last year
and ranked seventh on the NZ First party list.

Mr. O'Rourke said he stood aside as chairman more than a year
before liquidation and despite remaining a director claimed he
had little control over the company from that point on, the
report adds.

Becon Canterbury is a New Zealand-based recycling company.


SHANTON RETAIL: In Receivership on Difficult Trading
----------------------------------------------------
TVNZ News reports that Shanton Retail Limited (SRL), the company
behind Shanton clothing, has gone into receivership.

SRL operates 39 retail stores throughout New Zealand and is a
long established brand, according to TVNZ News.

The report notes that a company statement said receivership
follows "a period of difficult trading conditions".

TVNZ News relays that the company suffered a loss of $353, 496
for the year ending in June 2011, compared with a loss of
$254,776 the year before.

TVNZ News discloses that the business continues to trade all
stores in receivership pending completion of a going concern
sale, the statement said.

TVNZ News says that while store employees have been offered re-
employment by the receiver, they will also receive all
outstanding wages within a week and are expected to receive their
full holiday pay, the report notes.

Meanwhile, Jason Krupp and Jenny Keown at stuff.co.nz report that
receiver Anthony Harris said linen and homeware chain Bed, Bath &
Beyond will not be affected by the receivership of its ultimate
owner Shanton Apparel.

"Bed Bath & Beyond is not involved in, or affected by the Shanton
receivership," Mr. Harris told Business Day via email this
morning, ending speculation the 45linen and homeware stores would
be rolled into the action, according to stuff.co.nz.

Stuff.co.nz relates that Mr. Harris was appointed receiver of
clothing store chain Shanton Retail and its parent company
Shanton Apparel, which also owns BBB Retail, the operator of Bed,
Bath & Beyond.  The report relates that several parties are said
to be interested in buying it.

The Shanton business, which employs 122 workers and operates 39
stores nationwide, continues to operate, stuff.co.nz notes.

Parent company Shanton Apparel is majority owned by Australia-
based Atamine.  Atamine's director is Sydney rag-trade
millionaire Fred Bart.  Carter Trading in Auckland, and Manukau-
based Taca also hold stakes in the firm.

Bart resigned as a director of all three companies, Shanton
Apparel and its two subsidiaries, BBB Retail and Shanton Retail,
in October, stuff.co.nz discloses.



=====================
P H I L I P P I N E S
=====================


* PHILIPPINES: Fitch Says Peace Deal May Boost Investment Rate
--------------------------------------------------------------
A lasting peace deal in the Philippine island group of Mindanao
would be supportive of both public and private sector investment
in the area, and may boost the investment rate for the economy as
a whole, supporting economic growth, Fitch Ratings says.
However, a permanent deal is not a certain outcome, and other
constraints on investment growth still need to be addressed --
such as a weak overall investment climate and low fiscal revenue
base.

A previous settlement in 2008 to the four-decade-old conflict was
blocked by the Supreme Court on the grounds that then-President,
Gloria Arroyo, had not consulted widely enough on its terms.  The
latest framework agreement between the government and the Moro
Islamic Liberation Front to create a new self-governing entity
for Muslim majority areas, announced by President Aquino on 7
October, appears to contain more detail than the 2008 deal, but
many of the finer points are still to be fleshed out.  These
include the key question of exactly how resource revenues will be
shared. Reaching a final settlement will take time.

Stability in the region would help ease foreign investor concerns
regarding political risk, and may bolster domestic confidence.
Reduced military spending would also create the opportunity for
further government investment in infrastructure (including social
infrastructure).  The increase in arable land resources would
also improve food security, with potential benefits to inflation
management over the longer term.  Such factors are supportive of
a sustained rise in the investment rate, which has increased to
22% of GDP in 2011 (above the 'BB' range median of 21% and up
from a trough of 16.6% in 2009).  Fitch expects accelerating
investment in 2012 to help push full-year GDP growth up to 5.5%,
from 3.9% last year.  GDP per capita in the Autonomous Region of
Muslim Mindanao is one quarter of the level in the Philippines as
a whole.

The ramifications of a possible Mindanao settlement for
investment cannot be looked at in isolation, however.  Fitch has
previously commented that a sustained increase in the investment
rate may require improvements in the business environment beyond
those already achieved by the Aquino administration, as well as a
greater focus on more substantial economic and fiscal reform.
The debt/revenues ratio of 300% is nearly double the 'BB' range
median, and the growth in the fiscal revenue base following
administrative improvements in 2011 needs to be sustained to
create fiscal space for greater public investment.

An end to violence in Mindanao would reduce the costs for
resource companies of seeking to do business there, but does not
eliminate other problems encountered -- such as bureaucratic
inefficiency and corruption.  These have hampered the
Philippines' ability to attract FDI inflows.  The approach of the
demographic window in the Philippines in 2015 will make
attracting both foreign and domestic investment to catalyse
growth even more important.

Fitch affirmed the Philippine sovereign's 'BB+' rating with a
Stable Outlook in June.  Improvements in governance and the
business environment that lead to stronger investment and firmer
medium-term growth prospects would put upward pressure on the
ratings if they prove more sustainable than in the past.



=================
S I N G A P O R E
=================


RGM GROUP: Court to Hear Wind-Up Petition on Oct. 19
----------------------------------------------------
A petition to wind up the operations of RGM Group Pte Ltd will be
heard before the High Court of Singapore on Oct. 19, 2012, at
10:00 a.m.

Media Development Authority of Singapore filed the petition
against the company on Sept. 28, 2012.

The Petitioner's solicitor is:

          Allen & Gledhill LLP
          One Marina Boulevard
          #28-00, Singapore 018989


RIEME HAIR: Court Enters Wind-Up Order
--------------------------------------
The High Court of Singapore entered an order on Sept. 28, 2012,
to wind up the operations of Rieme Hair & Beauty Training Centre
Pte Ltd.

Hoong Kong Realty Pte Ltd filed the petition against the company.

The company's liquidator is:

         The Official Receiver
         Insolvency & Public Trustee's office
         The URA Centre (East Wing)
         45 Maxwell Road #06-11
         Singapore 069118


SAN TECHNOLOGY: Creditors' Proofs of Debt Due Oct. 18
-----------------------------------------------------
Creditors of San Technology Holding Pte Ltd, which is in members'
voluntary liquidation, are required to file their proofs of debt
by Oct. 18, 2012, to be included in the company's dividend
distribution.

The company's liquidators are:

         Chee Yoh Chuang
         Abuthahir Abdul Gafoor
         8 Wilkie Road
         #03-08 Wilkie Edge
         Singapore 228095


SPEEDLOCK ENGINEERING: Creditors Get 7.1060% Recovery on Claims
---------------------------------------------------------------
Speedlock Engineering Pte Ltd declared the first and final
dividend on Oct. 5, 2012.

The company paid 0.551% to the received claims.

The company's liquidator is:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road #06-11
         Singapore 069118


S. PRITAM: Creditors' Proofs of Debt Due Oct. 19
------------------------------------------------
Creditors of S. Pritam Singh Company (Private) Limited, which is
in liquidation, are required to file their proofs of debt by
Oct. 19, 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



===========
T A I W A N
===========


FAR EASTERN INT'L: Fitch Affirms 'B+' Support Rating Floor
----------------------------------------------------------
Fitch Ratings has affirmed Taiwan-based Far Eastern International
Bank's (FEIB) ratings, including its Long-Term Issuer Default
Rating (IDR) of 'BBB-' with Stable Outlook.

The affirmation of FEIB reflects Fitch's expectation of Far
Eastern Group's (FEG), the bank's majority owner, high propensity
and ability to provide timely extraordinary support to the bank
if necessary, and to a lesser extent, the bank's stand-alone
credit profile.  The bank's Viability Rating (VR) reflects
adequately managed asset quality, stable liquidity, moderate core
earnings and also ordinary support from FEG.  The ratings also
reflect the bank's weakening capitalisation.

Positive rating action may result from a significant and
sustained improvement in risk-adjusted earnings and core
capitalisation, although Fitch considers this unlikely in the
near term.  The VR may be downgraded from continued deterioration
in core capitalisation and weakening asset quality due to
excessive risk-taking in pursuit of growth.  A weakening funding
structure may also place downward pressure on the ratings. The
IDRs may be downgraded from perceived weakening of group support
and the bank's VR.

FEIB reported an annualised return on equity of 12.3% in H112
(2011: 10%), driven by stable core earnings and increasing debt
recoveries.  Fitch expects operating costs to be contained in
2013 as management slows expansion and focuses on the existing
portfolio.

Loan growth slowed in H112 to 4.2% (unannualised), down from
14.3% in 2011. Asset quality remains manageable, underpinned by
growing diversification across both high-risk (electronics and
China) and low-risk (public sector, financial institutions and
mortgages) exposures.  FEIB's non-performing loan ratio remained
low at 0.46% and 0.22% at end-H112 and end-2011, respectively.
Its IFRS-based impaired loans were 2.3% of total loans at end-
H112 and, in Fitch's view, reasonably provisioned.

FEIB's Tier 1 Capital and Fitch Core Capital (FCC) ratios compare
less favourably with similar-rated peers.  Both ratios have
declined to 8.3% and 7.85% at end-H112 from 9% and 8.46% at end-
2010 due to strong loan growth. Continued rapid growth is less
likely as management seeks to enhance its core capitalisation.

Liquidity position remains stable with a high regulatory
liquidity reserve ratio of 29.3% and a stable loan-to-deposit
ratio of 76% at end-H112.  However, FEIB has a higher reliance
than peers on wholesale funding which is less stable and more
costly.

FEIB is a medium-sized bank with a deposit share of 1.3% at end-
H112. FEG owns around 60% of the bank and controls seven out of
nine board seats.  FEG is one of the largest conglomerates in
Taiwan and is composed of several leading industrial and service
companies across various sectors.

FEIB's rating actions:

  -- Long-Term IDR affirmed at 'BBB-'; Outlook Stable
  -- Short-Term IDR affirmed at 'F3'
  -- National Long-Term affirmed at 'A(twn)'; Outlook Stable
  -- National Short-Term affirmed at 'F1(twn)'
  -- Viability Rating affirmed at 'bbb-'
  -- Support Rating affirmed at '4'
  -- Support Rating Floor affirmed at 'B+'
  -- Subordinated debt rating affirmed at 'A-(twn)'


TAISHIN INT'L: Fitch Affirms Support Rating Floor at 'BB+'
----------------------------------------------------------
Fitch Ratings has affirmed the ratings of Taishin Financial
Holdings Company and its subsidiaries, Taishin International
Bank, the principal subsidiary of TFHC) and Taishin Securities
Co., Ltd (TSS).  The Outlooks are all Stable.  At the same time,
Fitch has withdrawn the Support Rating of TFHC as it is no longer
considered by Fitch to be relevant to the agency's rating
coverage.

TIB's Issuer Default Ratings, National Ratings and Viability
Rating reflect its well-established domestic consumer banking
franchise, improved risk infrastructure and adequate liquidity.
The ratings are constrained by TIB's moderate-sized franchise,
modest capital buffer and concentrated loan portfolio.  Fitch
expects the bank's financial performance to remain stable into
2013, underpinned by its focus on prime and super prime segments
and sound asset quality.

Fitch may consider negative rating action if TIB continues to
pursue rapid lending growth and further increases high-risk
exposures that could put pressure on core capitalisation.  TIB's
Support Rating of '3' and Support Rating Floor of 'BB+' reflect
Fitch's expectation of moderate state support in case of need,
given the bank's moderate systemic importance in Taiwan.

TFHC's ratings are mostly driven by the credit profile of TIB.
Any changes in TIB's ratings will most likely have a similar
effect on TFHC.  Based on Fitch's methodology for rating bank
holding companies, TFHC's IDRs and National ratings are notched
down one level below TIB's to reflect the former's reduced but
still high leverage.  Meanwhile, any aggressive investments or
acquisitions by TFHC leading to significant weakening of the
group's consolidated financial strength will undermine TFHC's and
TIB's ratings.  On the other hand, Fitch may consider equalising
TFHC's and TIB's ratings if TFHC significantly reduces its
leverage.

The ratings of TSS reflect support from TFHC via TIB given TSS's
status as an integral part of the holding company.  TSS's IDRs
and National ratings are notched down one level below TIB's to
reflect Fitch's view TIB may not have sufficient resources to
support TSS in a stress scenario.  Any rating action on TFHC and
TIB could trigger a similar move on TSS. A significant reduction
in TSS's strategic importance to the group could also trigger a
rating action on TSS.

The liberalisation of cross-border banking policies between
Taiwan and China in September 2011 led to an increase in TIB's
exposure to the Chinese banks.  Nonetheless, Fitch is of the view
that the impact of this exposure on the bank's risk profile
should remain moderate in the near- to medium- term given the
conservative regulatory environment in Taiwan.  Fitch expects
TIB's loan growth to slow in H212-2013 following a strong
increase in the preceding 18 months.  Risk associated with the
rapid loan growth is largely mitigated by the generally
satisfactory credit quality of new loans and their short tenor.

Concentration on the property market and exposure to certain
financially weak technology companies (3% of TIB's total credit
as of end-June 2012) may expose the bank to asset quality
deterioration.  Nonetheless, a marked erosion of capital is
unlikely considering TIB's improved underwriting practices, low
proportion of high-risk mortgages and limited exposure to
financially weak technology companies.  At end-June 2012, TIB had
limited non-performing loans and accumulated reasonably strong
loan loss reserves at 1.06% of total loans.

TFHC's cash and highly liquid assets are more than sufficient to
cover its standalone short-term liabilities, interest and
preferred shares dividend obligations, as well as maturing debt
obligation in 2012.  Moreover, TIB's liquidity profile improved
moderately between 2008 and H112.  This is evident in a rising
share of retail demand deposits, albeit not as strong as that of
leading commercial banks in Taiwan.  TSS mostly funds its
operations with its own capital.

TFHC's asset sales and improved earnings have helped improve its
financial flexibility, with reduced double leverage (end-June
2012: 120% based on Fitch's eligible capital calculations versus
end-June 2009: 158%) and lower debt obligations (end-2012:
TWD22bn versus end-2009: 55.7bn).  This will help TFHC retain
group earnings and thus improve its ability to support
subsidiaries' capital needs.  At end-June 2012, TFHC had a
statutory sum-of-parts capital adequacy ratio of 132% against the
regulatory minimum of 100%, reflecting adequate capitalisation
among its subsidiaries.

TFHC's subordinated bonds are rated three notches below the
issuer's National Long-Term rating, to reflect the bonds' going-
concern loss-absorption mechanism.  TIB's subordinated bonds are
rated one notch below the issuer's National Long-Term rating, to
reflect their subordinated status and the absence of going-
concern loss-absorption feature.  These notching practices are in
accordance with Fitch's criteria on rating bank regulatory
capital and similar securities.  Any rating action on TFHC and
TIB could trigger a similar move on their debt ratings.

TFHC is a bank-centric financial holding company with two bank
subsidiaries -- TIB and Chang Hwa Bank ('BBB+'/Stable, 22.55%
owned) -- and was the fifth-largest of 15 domestic financial
holding companies by consolidated assets.  TIB is the 14th
largest bank in Taiwan by assets, with a market share of 3% in
deposits. TSS is a small securities company in Taiwan.

The detailed list of rating actions is as follows:

Taishin Financial Holdings Company (TFHC):

  -- Long-Term IDR affirmed at 'BBB'; Outlook Stable
  -- Short-Term IDR affirmed at 'F3'
  -- National Long-Term rating affirmed at 'A+(twn)'; Outlook
     Stable
  -- National Short-Term rating affirmed at 'F1(twn)'
  -- Viability Rating affirmed at 'bbb'
  -- Support Rating affirmed at '5'; withdrawn
  -- Subordinated debt rating affirmed at 'BBB+(twn)'

Taishin International Bank (TIB):

  -- Long-Term IDR affirmed at 'BBB+'; Outlook Stable
  -- Short-Term IDR affirmed at 'F2'
  -- National Long-Term rating affirmed at 'AA-(twn)'; Outlook
     Stable
  -- National Short-Term rating affirmed at 'F1+(twn)'
  -- Viability Rating affirmed at 'bbb+'
  -- Support Rating affirmed at '3'
  -- Support Rating Floor affirmed at 'BB+'
  -- Subordinated debt rating assigned at 'A+(twn)'

Taishin Securities Co., Ltd (TSS):

  -- Long-Term IDR affirmed at 'BBB'; Outlook Stable
  -- Short-Term IDR affirmed at 'F3'
  -- National Long-Term rating affirmed at 'A+(twn)'; Outlook
     Stable
  -- National Short-Term rating affirmed at 'F1(twn)'


TAICHUNG COMMERCIAL: Fitch Affirms 'BB+' IDRs; Outlook Stable
-------------------------------------------------------------
Fitch Ratings has affirmed Taiwan-based Taichung Commercial
Bank's (TCB) ratings, including Long-Term Issuer Default Ratings
(IDRs) at 'BB+' with Stable Outlook.

The ratings reflect the bank's limited business scope and modest
profitability, as well as its sound liquidity and stable retail
franchise.  The Stable Outlook underlines its adequate
capitalisation after two recent capital injections in as many
years was partially offset by higher than peer average loan
growth.

Continuing above-trend loan growth resulting in capitalisation
diminishing further or signs of asset quality deterioration may
put the bank's ratings under pressure.  Asset quality weakening
may result from a sharp correction in the domestic property
market on which its lending is concentrated.  Rating upside is
limited by the aforementioned weaknesses.

TCB's Fitch Core Capital ratio fell to 9.33% at end-H112 from
9.84% at end-2011 due to growth in lending to the construction
and property sectors and in northern Taiwan.  This is, however,
still up from 8.19% in end-2010.  Non-performing loan (NPL) ratio
has been on a rising trend during H112, but remains low at 0.38%
with reasonable loan loss coverage.  TCB has a sound liquidity
profile supported by a stable retail deposit base in its home
market.  It has approximately 5.95% of Taiwan's total retail
deposits.

The convertible bond rating is equivalent to TCB's National Long-
Term rating, and reflects its status as senior, unsecured
obligations of the bank.  The subordinated bond rating is one
notch below the bank's National Long-Term rating, reflecting its
subordinated status and the absence of any going-concern loss-
absorption mechanism (such as coupon deferral under specified
conditions).  Any rating action on TCB is likely to trigger a
similar move in its debt ratings.

TCB is a privately owned regional bank in Taiwan, with a deposit
market share of 1.3% at end-H112.  China Man-Made Fiber Corp
(CMFC) is its largest shareholder and CMFC's subsidiaries have
nine out of 15 seats on the Board of Directors.

TCB:

  -- Long-Term IDR affirmed at 'BB+'; Outlook Stable
  -- Short-Term IDR affirmed at 'B'
  -- National Long-Term Rating affirmed at 'A-(twn)'; Outlook
     Stable
  -- National Short-Term Rating affirmed at 'F2(twn)'
  -- Viability Rating affirmed at 'bb+'
  -- Support Rating affirmed at '5'
  -- Support Rating Floor affirmed at 'No Floor'
  -- Convertible bonds affirmed at 'A-(twn)'
  -- Subordinated bonds affirmed at 'BBB+(twn)'



                             *********

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.


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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.





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