/raid1/www/Hosts/bankrupt/TCRAP_Public/130109.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Wednesday, January 9, 2013, Vol. 16, No. 6
Headlines
A U S T R A L I A
CABOT SQUARE: Failure to File Report Cues ASIC to Suspend License
EQUITITRUST LTD: Fund Investors May Lose Up to 90%
HIT PRODUCTIONS: Placed in Liquidation Owing AUD1.8MM
C H I N A
CHINA GUANGDONG: Moody's Bond Offering Rating Reflects 'ba2' BCA
DAIS ANALYTIC: Amends Purchase Agreement with Green Valley
LDK SOLAR: Executes Supplemental Indenture to 2014 Senior Notes
SHIMAO PROPERTY: Fitch Rates Proposed USD Notes at 'BB(EXP)'
SHIMAO PROPERTY: Moody's Affirms 'Ba3' CFR; Outlook Stable
SHIMAO PROPERTY: S&P Rates 'B+' Long-Term Issuer Rating
H O N G K O N G
HENCH (CHINA): First Meeting Set for Jan. 24
HOUSELY INDUSTRIES: Lui and Lau Appointed as Liquidators
JIUZHOU SHIPPING: Court Enters Wind-Up Order
KONG SANG: Court Enters Wind-Up Order
KWOK BUN: Court Enters Wind-Up Order
LEADFRAME TECHNOLOGY: Court Enters Wind-Up Order
LEHMAN BROTHERS: HKMA Says 97 Cases Completed in November
LUXMARK SHIPPING: Court Enters Wind-Up Order
METROPLEX HK: Court Enters Wind-Up Order
NU-WEST NATURAL: Creditors Get 100% Recovery on Claims
P & C ENTERPRISES: Creditors to Get 100% Recovery on Claims
PACIFIC TELEPHONE: Court Enters Wind-Up Order
PANHOST TRADING: Court Enters Wind-Up Order
PEACE HILL: Court to Hear Wind-Up Petition on Feb. 6
PRO PHOTO: Court to Hear Wind-Up Petition on Feb. 6
PROMAIL INTERNATIONAL: Creditors to Get 13% Recovery on Claims
RINGTOYS HOLDINGS: Court to Hear Wind-Up Petition on Feb. 6
SECOND HARVEST: Court to Hear Wind-Up Petition on Jan. 23
SELLEN INTERNATIONAL: Court to Hear Wind-Up Petition on Jan. 30
SOLAR POWER: Court to Hear Wind-Up Petition on Feb. 20
V TOOLS: Court Enters Wind-Up Order
WINFORD DEVELOPMENT: Court Enters Wind-Up Order
I N D I A
AMR GLOBAL: Delays in Loan Payment Cues CRISIL Junk Ratings
CENZER INDUSTRIES: CRISIL Places 'BB-' Rating on INR150MM Loans
CUMBUM VALLEY: CRISIL Assigns 'B' Rating on INR200MM Loans
EMPIRE SPICES: CRISIL Raises Rating on INR120MM Loans to 'BB'
EXPORT-IMPORT BANK: Sr. Notes Rating Reflects ba2 Credit Profile
HIND POLYFABS: CRISIL Raises Rating on INR74MM Loans to 'BB'
KINGFISHER AIRLINES: To Face Legal Suit Over INR7,000cr Bank Debt
LANCO HILLS: Delay in Loan Payment Cues CRISIL Junk Ratings
L. G. CHAUDHARY: CRISIL Assigns 'BB+' Rating to INR15MM Loan
MANKU AGRO: CRISIL Assigns 'BB' Rating to INR60MM Loan
PAYAL POLYPLAST: CRISIL Cuts Rating on INR320MM Loans to 'D'
T. ABDUL WAHID: CRISIL Reaffirms 'B-' Rating on INR20MM Loans
YASH CONSTRUCTION: CRISIL Places 'B' Rating on INR62MM Loans
I N D O N E S I A
LIPPO KARAWACI: Fitch Rates Proposed 2020 Notes at 'BB-(EXP)'
LIPPO KARAWACI: Tap Bond Issuance No Impact on Moody's B1 CFR
LIPPO KARAWACI: S&P Assigns 'BB-' Rating to US$130MM Sr. Notes
N E W Z E A L A N D
BROOKFIELD MULTIPLEX: Lack of Project Cues NZ Unit's Liquidation
HANSEN INSURANCE: IRS Places Hansen Businesses In Liquidation
S O U T H K O R E A
DAEWOO ELECTRONICS: Dongbu Group to Buy Firm for KRW272.6BB
S R I L A N K A
CEYLEASE LTD: Fitch Puts BB+ National LT Rating on Watch Positive
X X X X X X X X
* Upcoming Meetings, Conferences and Seminars
- - - - -
=================
A U S T R A L I A
=================
CABOT SQUARE: Failure to File Report Cues ASIC to Suspend License
-----------------------------------------------------------------
Australian Securities & Investment Commission has suspended the
Australian financial services (AFS) license of Sydney-based
financial planning business, Cabot Square Financial Planning Pty
Ltd (Cabot Square) until December 4, 2013.
Cabot Square's license was suspended after it failed to comply
with the financial services laws by:
-- failing to comply with the requirement to lodge with ASIC
its annual profit and loss statement and balance sheet,
together with an auditor's report for each financial year
from 2008 to 2011; and
-- failing to advise ASIC in writing, within 10 business days,
of becoming aware of this significant breach.
Further, ASIC had reason to believe that based on its continued
failure to lodge these documents, Cabot Square may not comply in
the future with its obligations under the financial services
laws.
"The compliance of AFS licensees with their obligations is
central to the informed and confident participation of consumers
in the financial services markets," ASIC Commissioner Greg Tanzer
said.
"ASIC will continue to deal with those who fail to meet the
required standards," Mr. Tanzer said.
Cabot Square may apply to have the suspension revoked in the
event it remedies the concerns identified.
Cabot Square has the right to appeal against ASIC's decision to
the Administrative Appeals Tribunal.
EQUITITRUST LTD: Fund Investors May Lose Up to 90%
--------------------------------------------------
Colin Kruger at The Sydney Morning Herald reports that
Equititrust Income Fund receivers said that investors who put
AUD194 million into the fund now face a virtual wipe-out.
SHM, citing an update from the fund's receiver David Whyte --
david.whyte@bdo.com.au -- relates that unitholders face losing
close to 90% of their money.
According to SMH, Mr. Whyte said investors could expect to
receive between 11 cents and 19 cents in the dollar, down from a
previous estimate of 15 cents to 22 cents, "due to a revision of
the estimated values of certain property securities [based on
offers received being less than the professional valuations held]
and the accrual of outstanding rates and land tax."
The return does not include a potential claim on investor funds
by the liquidators appointed to Equititrust Income Fund's former
operator, Equititrust Ltd., SMH relays.
The liquidators from Hall Chadwick are attempting to extract more
than AUD800,000 in fees and expenses, which relate to their
previous appointment as Equititrust's administrators, according
to the receivers' report cited by SMH.
The receivers are attempting to resolve claims associated with
the founder of Equititrust, Mark McIvor. The McIvor
Superannuation Fund is claiming AUD3.3 million in principal and
interest from the Equititrust Income Fund, which would also rank
before returns for its investors, SMH reports.
SMH adds that the return estimate does not include potential wins
from legal action by receivers, which include two claims for
negligence and damages against a valuer that total more than
$10 million. The report, as cited by SMH, said the various
actions were expected to yield "several million dollars" for
investors.
About Equititrust
Equititrust Limited -- http://www.equititrust.com.au/-- is an
Australian-based specialist funds management and property
investment group. Equititrust is the responsible entity of the
Equititrust Income Fund (EIF) and Equititrust Priority Class
Income Fund (EPCIF). EIF is a mortgage fund whose primary
business is lending retail investors' pooled funds for property
development and taking mortgages over the property. The EPCIF is
currently dormant.
The board of directors of Equititrust Limited (as trustee of the
Equititrust Income Fund) on Feb. 15, 2012, appointed Richard
Albarran, Blair Pleash and Glen Oldham of Hall Chadwick Chartered
Accountants as Voluntary Administrators. On Feb. 16, 2012,
Gregory Moloney and William Colwell of Ferrier Hodgson (Qld) were
appointed as receivers and managers of Equititrust by a secured
creditor.
In the Supreme Court of Queensland on Nov. 21, 2011, orders were
made to wind up EIF and EPCIF, following an application filed by
Equititrust. The Court appointed David Whyte of BDO to take
responsibility for ensuring that EIF and EPCIF were wound up in
accordance with their constitutions. The Court also appointed
Mr. Whyte as receiver of the property of EIF and EPCIF. A
further application by Equititrust Ltd to appoint a temporary
responsible entity (RE) to EIF and EPCIF was unsuccessful.
Therefore Equititrust Ltd remains as the RE of those funds.
On May 10, 2012, on the application of the Australian Securities
& Investment Commission, the Supreme Court of Queensland ordered
that the proceedings be dismissed. This followed the appointment
of Messrs. Albarran, Pleash and Oldham as liquidators of
Equititrust Ltd on April 20, 2012.
About 1,400 investors lost their life savings in the collapse of
the business. The merchant bank at one time controlled investor
funds totalling AUD550 million, according to goldcoast.com.au.
HIT PRODUCTIONS: Placed in Liquidation Owing AUD1.8MM
-----------------------------------------------------
Karl Quinn at The Age reports that HIT Productions has gone into
liquidation owing the Australian Taxation Office almost
AUD700,000.
The Melbourne-based theatre company, which has received more than
AUD800,000 in federal government grants since December 2010,
entered liquidation on December 22 with debts totalling about
AUD1.8 million, according to the Age.
The report relates that almost AUD1 million is identified in a
list of known creditors lodged with the Australian Securities and
Investments Commission as being owed to Ms. Harris (AUD900,000)
and a "Mr. Harris" (AUD61,000). The company's largest single
creditor other than Ms. Harris is the Tax Office, which is owed
AUD692,387, the Age relays.
Until the day before it entered liquidation, the company that
owes the money was registered with ASIC as Follow Your Dreams.
But it has long traded and been known as HIT Productions.
Based in Beaumaris, HIT Productions is run by 54-year-old actor-
producer Christine Harris. The company specialised in taking
theatrical productions to the suburbs and regional Australia, and
has been a frequent recipient of arts grants through state and
federal regional touring programs.
=========
C H I N A
=========
CHINA GUANGDONG: Moody's Bond Offering Rating Reflects 'ba2' BCA
----------------------------------------------------------------
Moody's Investors Service says that the A3 issuer and senior
unsecured bond ratings of China Guangdong Nuclear Power Holding
Co. Ltd. (CGNPC) remain unchanged following the announcement of a
tap bond offering on the company's existing RMB1.5 billion notes
issued on 1 November 2012.
The ratings outlook remains stable.
The tap bond offering has the same terms and conditions as the
existing notes and, as with the existing notes, the proceeds will
be used for general corporate purposes.
CGNPC's A3 rating reflects it baseline credit assessment (BCA) of
ba2, and a five-notch uplift, given the likelihood of very high
support from the Chinese government (Aa3 positive), under Moody's
joint-default analysis approach for government-related issuers.
"CGNPC's BCA of ba2 is supported by its dominant position in
China's nuclear power industry, its large-scale and relatively
low-cost power-generation assets, stable cash flow, as well as
its good access to the capital markets and banking credit. It
will also benefit from China's growing economy and strong demand
for power," says Ray Tay, a Moody's Assistant Vice President and
the Lead Analyst for CGNPC.
Moody's expectation of very high support is based on: 1) the
complete ownership of CGNPC by the government; 2) CGNPC's
strategic importance to China's economic development, including
the expansion of clean energy; and 3) the government's strong
history of support.
"At the same time, the ba2 BCA is constrained by the company's
aggressive expansion, with installed nuclear capacity set to more
than quadruple by 2015 to 24 gigawatts (GW) from 6GW currently.
This level of expansion requires a significant amount of capex,
which we expect would stress gearing and cash flow for the next
few years," says Tay.
Moody's will continue to monitor the progress of the company's
new power plants and the operating performance of its existing
businesses, relative to forecasts currently reflected in the
rating.
The principal methodology used in rating CGNPC was the Regulated
Electric and Gas Utilities Industry Methodology published in
August 2009.
CGNPC, established in 1994, is one of China's two nuclear power
plant operators. It is the largest nuclear power company in China
by capacity, with 6GW in operation and 18GW under construction.
As of June 2012, it had an installed nuclear generation capacity
of 6.12GW and non-nuclear capacity of 5.28GW. With the inclusion
of units approved and under construction, CGNPC is projected to
account for 58.55% of domestic nuclear capacity. With the
company's non-nuclear generating capacity, wind power accounts
for around 2.46GW. In 2010, the company acquired Meiya Power
Company Ltd, an independent power producer in Asia.
CGNPC is wholly owned (82% direct and 18% indirectly) by the
State-owned Assets Supervision and Administration Commission
(SASAC) under China's State Council. It is directly supervised by
SASAC and is regulated by multiple government entities, including
the National Development and Reform Commission (NDRC); the State
Electricity Regulatory Commission (SERC); the Ministry of
Environmental Protection (MEP); the National Nuclear Safety
Administration (NNSA); and the National Electricity Dispatch
Center.
DAIS ANALYTIC: Amends Purchase Agreement with Green Valley
----------------------------------------------------------
Dais Analytic Corporation amended its Securities Purchase
Agreement, dated Oct. 17, 2012, with Green Valley International
Investment Management Company Limited pursuant to which the Green
Valley will purchase up to $7 million of the Company's common
stock, $0.01 par value per share, and warrants to purchase up to
17,500,000 shares of common stock.
Pursuant to the terms of the Securities Purchase Agreement, Greey
Valley has purchased $1,750,000 of common stock and warrants.
The amendment requires Green Valley to purchase the remaining
common stock and Warrants on or before Jan. 25, 2013. This
extension will allow the Company and Green Valley to create and
capitalize a wholly owned subsidiary to be organized and located
in China. Pursuant to the amendment, the Company will use $4
million of the aggregate proceeds from the sale of common stock
and Warrants for capital expenditures, working capital, and
general business purposes. The Company will use the remaining
proceeds from the sale of the common stock and warrants to create
and capitalize the Dais China Subsidiary.
The Amendment to Securities Purchase Agreement is available at:
http://is.gd/MAUeTY
About Dais Analytic
Odessa, Fla.-based Dais Analytic Corporation has developed and
patented a nano-structure polymer technology, which is being
commercialized in products based on the functionality of these
materials. The initial product focus of the Company is ConsERV,
an energy recovery ventilator. The Company also has new product
applications in various developmental stages.
In the auditors' report accompanying the financial statements for
year ended Dec. 31, 2011, Cross, Fernandez & Riley LLP, in
Orlando, Florida, expressed substantial doubt about the Company's
ability to continue as a going concern. The independent auditors
noted that the Company has incurred significant losses since
inception and has a working capital deficit and stockholders'
deficit of $3.22 million and $4.90 million at Dec. 31, 2011.
The Company reported a net loss of $2.33 million in 2011,
compared with a net loss of $1.43 million in 2010.
The Company's balance sheet at Sept. 30, 2012, showed
$1.08 million in total assets, $6.02 million in total liabilities
and a $4.94 million total stockholders' deficit.
LDK SOLAR: Executes Supplemental Indenture to 2014 Senior Notes
---------------------------------------------------------------
LDK Solar Co., Ltd., received the required number of unrevoked
consents from holders of its 10.00% Senior Notes Due 2014 (ISIN
No. XS0592597099, Common Code: 059259709) necessary to approve
certain proposed amendments to the indenture, dated as of
Feb. 28, 2011, by and among LDK Solar, the Subsidiary Guarantors,
The Bank of New York Mellon, London Branch, as trustee and paying
and transfer agent, and The Bank of New York Mellon (Luxembourg)
S.A., as registrar, governing its 2014 Notes.
On Dec. 24, 2012, LDK Solar, the subsidiary guarantors signatory
thereto, the Trustee and Paying and Transfer Agent, and the
Registrar executed a supplemental indenture giving effect to the
Proposed Amendments in compliance with the conditions contained
in the Indenture. LDK Solar paid the consent fee due in
accordance with the terms of the Consent Solicitation Statement
on Dec. 24, 2012.
About LDK Solar
LDK Solar Co., Ltd. -- http://www.ldksolar.com-- based in Hi-
Tech Industrial Park, Xinyu City, Jiangxi Province, People's
Republic of China, is a vertically integrated manufacturer of
photovoltaic products, including high-quality and low-cost
polysilicon, solar wafers, cells, modules, systems, power
projects and solutions.
LDK Solar was incorporated in the Cayman Islands on May 1, 2006,
by LDK New Energy, a British Virgin Islands company wholly owned
by Xiaofeng Peng, LDK's founder, chairman and chief executive
officer, to acquire all of the equity interests in Jiangxi LDK
Solar from Suzhou Liouxin Industry Co., Ltd., and Liouxin
Industrial Limited.
KPMG in Hong Kong, China, said in a May 15, 2012, audit report,
there is substantial doubt on the ability of LDK Solar Co., Ltd.,
to continue as a going concern. According to KPMG, LDK Solar has
a net working capital deficit and is restricted to incur
additional debt as it has not met a financial covenant ratio
under a long-term debt agreement as of Dec. 31, 2011. These
conditions raise substantial doubt about the Group's ability to
continue as a going concern.
LDK Solar's balance sheet at Sept. 30, 2012, showed
US$5.76 billion in total assets, US$5.41 billion in total
liabilities, US$299.02 million in redeemable non-controlling
interests and US$45.91 million in total equity.
SHIMAO PROPERTY: Fitch Rates Proposed USD Notes at 'BB(EXP)'
------------------------------------------------------------
Fitch Ratings has assigned Hong Kong-based Shimao Property
Holdings Limited's (Shimao; 'BB'/Stable) proposed seven-year USD
notes an expected rating of 'BB(EXP)'.
The bonds are rated at the same level as Shimao's Issuer Default
Rating as they represent direct, unconditional, unsecured and
unsubordinated obligations of the company. The final ratings are
contingent upon the receipt of final documents conforming to
information already received.
The ratings reflect Shimao's concentration in property sales and
industry wide regulatory risks as well as its large and well-
located land bank of 38.8 million sqm (as at 30 June 2012) across
China and the company's proven track record in property
development.
Management's focus on maintaining both ample liquidity and ready
access to various funding channels further supports its ratings.
The company continues to have strong support from over 20 onshore
and offshore banks.
Contracted sales increased significantly in 2012 as overall
market conditions improved. Shimao also successfully adjusted its
residential property development mix to focus on first-time home
buyers and upgraded the quality of its housing stock.
Shimao also has one of the highest recurring rental income
streams and the highest rental income-to-EBITDA ratio among
Chinese property companies rated by Fitch. Its recurring rental
income from investment properties is derived from its 64%-owned
Shanghai Shimao unit. Management expects to continue investing in
commercial/retail properties and hotels. Fitch believes the
investment portfolio will offer additional financial flexibility
for the group, if required.
The ratings are constrained by the company's concentration in
property sales, which contributed over 90% of its 2011 revenue,
as well as by regulatory risks in the Chinese property market.
The Stable Outlook reflects Fitch's expectation that Shimao will
maintain a stable operating performance and prudent financial
policies in the short- to medium-term. The agency expects Shimao
to continue to meet its contracted sales target in 2013.
What Could Trigger A Rating Action?
Negative: Future developments that may, individually or
collectively, lead to negative rating action include:
-- continued weakening of the operating environment, leading to
EBITDA margin erosion below 25%
-- aggressive debt-funded expansion leading to net debt-to-
inventory exceeding 45%-50%
-- acquiring land above 30% of current average selling price
-- Tightening liquidity due to a sustained fall in free cash
flows, or weakened access to financing channels
Positive: Positive rating action is not expected over the next 12
to 18 months due to the industry's highly cyclical and inherently
volatile cash flows, as well as high regulatory risks in the
Chinese property sector.
SHIMAO PROPERTY: Moody's Affirms 'Ba3' CFR; Outlook Stable
----------------------------------------------------------
Moody's Investors Service has assigned a B1 senior unsecured debt
rating to the USD bonds proposed by Shimao Property Holdings
Limited.
Moody's has also affirmed Shimao's Ba3 corporate family rating.
The ratings outlook is stable.
The proceeds from the proposed USD bonds will be used to
refinance its outstanding debt, as well as fund existing and new
projects and general working capital requirements.
Ratings Rationale
"The proposed bonds, which come after the company's USD670
million club loans concluded in December 2012, will enhance
Shimao's liquidity and will also improve its funding stability
through lengthening its debt maturity profile," says Franco
Leung, a Moody's AVP/Analyst.
Moody's expects Shimao's cash balance to increase to above RMB20
billion after the bond issuance.
This incremental rise in its liquidity could help to prefund the
company's land acquisitions and repay some short-term debt, which
is showing a level of interest higher than that of the proposed
bonds.
"The proposed bonds will increase Shimao's debt leverage, but its
credit metrics will stay within the Ba3 level," says Leung.
Shimao's strategy is to lower its debt leverage through improving
sales execution. Such an outcome would generate more pre-sales
cash to reduce leverage, thereby allowing it to decrease its
reliance on bank debt.
Shimao reported RMB46 billion in contract sales for calendar
2012, or 150% of its original full-year target of RMB30.7
billion. This growth represents a 50% increase in sales on a
dollar basis and a 71% rise in gross floor area on a year-on-year
basis.
Furthermore, it has slowed its land payments. In 2012, Shimao had
paid less than RMB7.0 billion in land premium, far below RMB11.0
billion in 2011 and RMB15.0 billion in 2010.
But, following the bond issuance, Moody's expects the company
will step up its land acquisitions in the next 12 months.
In the short term, the proposed bond issue will also increase
debt leverage, but the company has indicated that it will
continue to manage it, such that net debt to equity will keep
below 60%.
Moody's also expects adjusted debt/capitalization will remain at
50 -- 55% after the bond issuance. At the same time, interest
coverage will stay around 3.0-3.5x over the next 12-18 months.
These ratios position the company well for its Ba3 rating.
Shimao's Ba3 corporate family rating continues to reflect its
increasing development scale, its diversified and well-located
land bank, as well as its portfolio of quality investment
properties. Much of its land bank was acquired at low cost,
allowing the company some pricing flexibility in a challenging
market environment.
Shimao's Ba3 rating is also supported by the company's domestic
listed subsidiary, which offers the group additional funding
capacity.
However, the Ba3 rating is constrained by Shimao's rapid growth
and debt-funded land acquisition strategy, which increases the
company's financial risk.
Shimao's ratings could be downgraded if (1) its sales performance
weakens materially below its sales targets; (2) its liquidity
position weakens, as evidenced by a decline in its unrestricted
cash balance, or a breach of its financial covenants or payment
obligations -- for land purchases and construction -- well in
excess of cash-on-hand and expected operating cash flow; or (3)
its debt leverage deteriorates further, such that debt to total
capitalization is above 55%.
The ratings could be upgraded if Shimao (1) continues to meet its
presales targets; (2) maintains a sufficient cash balance to
cover maturing debt in the next 12 months; (3) demonstrates that
it has adequate room to comply with its financial covenants, such
as EBITDA interest coverage of more than 3x; and (4) improves
debt leverage to below 50%.
The principal methodology used in rating Shimao was the Global
Homebuilding Industry Methodology, published March 2009.
Shimao Property Holdings Ltd is a Grand Cayman-incorporated
Chinese property developer that listed on the Hong Kong Stock
Exchange in July 2006. Together with its 64%-owned Shanghai A-
share listed subsidiary, Shanghai Shimao Co, Ltd, the company has
an attributable land bank of 38.8 million sqm distributed in 34
cities, mainly in eastern and northeastern China. Shanghai Shimao
mainly develops commercial properties and has an attributable
land bank of around 6.46 million sqm. Furthermore, it has 4
hotels in operation with a total of 1,994 rooms.
SHIMAO PROPERTY: S&P Rates 'B+' Long-Term Issuer Rating
-------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B+' long-term
issue rating and 'cnBB' long-term Greater China regional scale
rating to a proposed issue of seven-year U.S. dollar-denominated
senior unsecured notes by Shimao Property Holdings Ltd.
(BB-/Stable/--; cnBB+/--). The ratings are subject to S&P's
review of the final issuance documentation.
The issue rating is one notch lower than the long-term corporate
credit rating on Shimao to reflect our opinion that offshore
noteholders would be materially disadvantaged, compared with
onshore creditors, in the event of default. S&P anticipate that
the company's ratio of priority debt to total assets will
continue to be above the threshold of 15% for speculative-grade
companies.
Shimao will use the proceeds from the proposed issuance to
refinance existing debt, finance existing and new property
development projects, and for general corporate purposes.
"The issuer rating on Shimao reflects the company's aggressive
appetite for expansion and high leverage compared with peers we
rate in the 'BB' category. Shimao's established market position,
geographic and project diversity, improved sales and project
execution, and low land costs temper these weaknesses. We assess
the company's business risk profile as "fair" and its financial
risk profile as "aggressive", S&P said
"The stable outlook reflects our expectation that Shimao's
property sales will remain healthy over the next 12 months. We
also anticipate that the company's capital structure will improve
and stabilize at a level appropriate for the 'BB-' rating.
Satisfactory property sales and some control over debt could
cause the improvement. We expect Shimao to maintain adequate
liquidity while pursuing growth", S&P noted.
================
H O N G K O N G
================
HENCH (CHINA): First Meeting Set for Jan. 24
--------------------------------------------
Creditors and contributories of Hench (China) Building Services
Engineering Limited will hold their first meetings on Jan. 24,
2013, at 3:00 p.m., and 4:00 p.m., respectively at the Official
Receiver's Office, 10th Floor, Queensway Government Offices, at
66 Queensway, in Hong Kong.
At the meeting, Teresa S W Wong, the company's official receiver
& provisional liquidator, will give a report on the company's
wind-up proceedings and property disposal.
HOUSELY INDUSTRIES: Lui and Lau Appointed as Liquidators
--------------------------------------------------------
Kennic Lai Hang Lui and Lau Wu Kwai King Lauren said in notice
dated Jan. 4, 2013, they have been appointed as liquidators of
Housely Industries Limited on Oct. 20, 2009.
The liquidators may be reached at:
Kennic Lai Hang Lui
Lau Wu Kwai King Lauren
5/F, Ho Lee Commercial BLDG
38-44, D'Aguilar Street
Central, Hong Kong
JIUZHOU SHIPPING: Court Enters Wind-Up Order
--------------------------------------------
The High Court of Hong Kong entered an order on Nov. 9, 2012, to
wind up the operations of Jiuzhou Shipping Limited.
The company's liquidators are Ho Man Kit Horace and Kong Sze Man
Simone.
KONG SANG: Court Enters Wind-Up Order
-------------------------------------
The High Court of Hong Kong entered an order on Dec. 19, 2012, to
wind up the operations of Kong Sang Engineering Limited.
The official receiver is Teresa S W Wong.
KWOK BUN: Court Enters Wind-Up Order
------------------------------------
The High Court of Hong Kong entered an order on Dec. 19, 2012, to
wind up the operations of Kwok Bun Engineering Limited.
The official receiver is Teresa S W Wong.
LEADFRAME TECHNOLOGY: Court Enters Wind-Up Order
------------------------------------------------
The High Court of Hong Kong entered an order on Dec. 17, 2012, to
wind up the operations of Leadframe Technology Limited.
The company's liquidators are Ho Man Kit Horace and Kong Sze Man
Simone.
LEHMAN BROTHERS: HKMA Says 97 Cases Completed in November
---------------------------------------------------------
The Hong Kong Monetary Authority (HKMA) announced the progress of
its banking complaint cases at the end of November 2012. These
cases include both Lehman-Brothers-related and other non-Lehman-
Brothers-related banking complaints as well as other cases
referred by our banking departments and other regulators.
In November 2012, 88 cases were received and 97 cases were
completed. As at end November, the handling of 1,362 cases were
in progress.
A table summarizing the progress of the banking complaint
cases can be accessed for free at http://is.gd/Du9Byf
About Lehman Brothers
Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was
the fourth largest investment bank in the United States. For
more than 150 years, Lehman Brothers has been a leader in the
global financial markets by serving the financial needs of
corporations, governmental units, institutional clients and
individuals worldwide.
Lehman Brothers filed for Chapter 11 bankruptcy Sept. 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555). Lehman's bankruptcy
petition disclosed US$639 billion in assets and US$613 billion in
debts, effectively making the firm's bankruptcy filing the
largest in U.S. history. Several other affiliates followed
thereafter.
Affiliates Merit LLC, LB Somerset LLC and LB Preferred Somerset
LLC sought for bankruptcy protection in December 2009.
The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at
Weil, Gotshal & Manges, LLP, in New York, represent Lehman. Epiq
Bankruptcy Solutions serves as claims and noticing agent.
Dennis F. Dunne, Esq., Evan Fleck, Esq., and Dennis O'Donnell,
Esq., at Milbank, Tweed, Hadley & McCloy LLP, in New York, serve
as counsel to the Official Committee of Unsecured Creditors.
Houlihan Lokey Howard & Zukin Capital, Inc., is the Committee's
investment banker.
On Sept. 19, 2008, the Honorable Gerard E. Lynch of the U.S.
District Court for the Southern District of New York, entered an
order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)). James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI.
The Bankruptcy Court approved Barclays Bank Plc's purchase of
Lehman Brothers' North American investment banking and capital
markets operations and supporting infrastructure for US$1.75
billion. Nomura Holdings Inc., the largest brokerage house in
Japan, purchased LBHI's operations in Europe for US$2 plus the
retention of most of employees. Nomura also bought Lehman's
operations in the Asia Pacific for US$225 million.
Lehman emerged from bankruptcy protection on March 6, 2012, more
than three years after it filed the largest bankruptcy in U.S.
history. The Chapter 11 plan for the Lehman companies other than
the broker was confirmed in December 2011.
Lehman made its first payment of $22.5 billion to creditors in
April 2012 and a second payment of $10.2 billion on Oct. 1. A
third distribution is set for around March 30, 2013. The
brokerage is yet to make a first distribution to non-customers.
Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News. The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other
insolvency and bankruptcy proceedings undertaken by its
affiliates. (http://bankrupt.com/newsstand/or 215/945-700)
LUXMARK SHIPPING: Court Enters Wind-Up Order
--------------------------------------------
The High Court of Hong Kong entered an order on Nov. 30, 2012, to
wind up the operations of Luxmark Shipping Limited.
The company's liquidators are Ho Man Kit Horace and Kong Sau Wai.
METROPLEX HK: Court Enters Wind-Up Order
----------------------------------------
The High Court of Hong Kong entered an order on Dec. 19, 2012, to
wind up the operations of Metroplex HK Limited.
The official receiver is Teresa S W Wong.
NU-WEST NATURAL: Creditors Get 100% Recovery on Claims
------------------------------------------------------
Nu-West Natural Products Corp. Limited, which is in liquidation,
declared the first and final dividend to its creditors on Jan. 4,
2013.
The company paid 100% for ordinary claims.
The company's liquidators are:
Messrs. Lai Kar Yan (Derek)
Darach E. Haughey
32nd Floor, One Pacific Place
88 Queensway, Hong Kong
P & C ENTERPRISES: Creditors to Get 100% Recovery on Claims
-----------------------------------------------------------
P & C Enterprises (HK) Limited, which is in liquidation, will
declare the first and final dividend to its creditors on or after
Feb. 6, 2013.
The company will pay 100% for preferential and 3.12% for ordinary
claims.
The company's liquidator is:
Yuen Tsz Chun Frank
5th Floor, Ho Lee Commercial Building
38-44 D'Aguilar Street
Central, Hong Kong
PACIFIC TELEPHONE: Court Enters Wind-Up Order
---------------------------------------------
The High Court of Hong Kong entered an order on Dec. 19, 2012, to
wind up the operations of Pacific Telephone Company Limited.
The official receiver is Teresa S W Wong.
PANHOST TRADING: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Hong Kong entered an order on Nov. 9, 2012, to
wind up the operations of Panhost Trading Limited.
The company's liquidators are Ho Man Kit Horace and Kong Sze Man
Simone.
PEACE HILL: Court to Hear Wind-Up Petition on Feb. 6
----------------------------------------------------
A petition to wind up the operations of Peace Hill Development
Limited will be heard before the High Court of Hong Kong on
Feb. 6, 2013, at 9:30 a.m.
Standard Chartered Bank (Hong Kong) Limited filed the petition
against the company on Nov. 30, 2012.
The Petitioner's solicitors are:
Tsang, Chan & Wong
16th Floor, Wing On House
No. 71 Des Voeux Road
Central, Hong Kong
PRO PHOTO: Court to Hear Wind-Up Petition on Feb. 6
---------------------------------------------------
A petition to wind up the operations of Pro Photo Processing
Limited will be heard before the High Court of Hong Kong on
Feb. 6, 2013, at 9:30 a.m.
Wong Yiu Cho filed the petition against the company on Dec. 5,
2012.
PROMAIL INTERNATIONAL: Creditors to Get 13% Recovery on Claims
--------------------------------------------------------------
Promail International (HK) Limited, which is in liquidation, will
declare the second and final dividend to its creditors on or
after Jan. 28, 2013.
The company will pay 13% for ordinary claims.
The company's liquidators are:
Roderick John Sutton
John Howard Batchelor
Level 22, The Center
99 Queen's Road
Central, Hong Kong
RINGTOYS HOLDINGS: Court to Hear Wind-Up Petition on Feb. 6
-----------------------------------------------------------
A petition to wind up the operations of Ringtoys Holdings Limited
will be heard before the High Court of Hong Kong on Feb. 6, 2013,
at 9:30 a.m.
Fung Pak Ho filed the petition against the company on Dec. 5,
2012.
SECOND HARVEST: Court to Hear Wind-Up Petition on Jan. 23
---------------------------------------------------------
A petition to wind up the operations of Second Harvest Consulting
Asia Limited (formerly known as Vertigo China Limited) will be
heard before the High Court of Hong Kong on Jan. 23, 2013, at
9:30 a.m.
The Petitioner's solicitors are:
Manda Cheng
Counsel for the petitioner
Department of Justice
Rm. 2401, 24/F, Admiralty Centre Tower 1
18 Harcourt Road
Hong Kong
SELLEN INTERNATIONAL: Court to Hear Wind-Up Petition on Jan. 30
---------------------------------------------------------------
A petition to wind up the operations of Sellen International
Limited will be heard before the High Court of Hong Kong on
Jan. 30, 2013, at 9:30 a.m.
The Petitioner's solicitors are:
Francis Kong & Co
Suite 903, 9/F, Kowloon Building
555 Nathan Road
Kowloon, Hong Kong
SOLAR POWER: Court to Hear Wind-Up Petition on Feb. 20
------------------------------------------------------
A petition to wind up the operations of Solar Power Utility
Holdings Limited will be heard before the High Court of Hong Kong
on Feb. 20, 2013, at 9:30 a.m.
BYD (Shanglou) Industry Co Ltd filed the petition against the
company on Dec. 17, 2012.
The Petitioner's solicitors are:
Squire Sanders
24/F, Central Tower
28 Queen's Road
Central, Hong Kong
V TOOLS: Court Enters Wind-Up Order
-----------------------------------
The High Court of Hong Kong entered an order on Oct. 22, 2012, to
wind up the operations of V Tools & Equipment Engineering
Limited.
The company's liquidators are Ho Man Kit Horace and Kong Sze Man
Simone.
WINFORD DEVELOPMENT: Court Enters Wind-Up Order
-----------------------------------------------
The High Court of Hong Kong entered an order on Dec. 19, 2012, to
wind up the operations of Winford Development Limited.
The official receiver is Teresa S W Wong.
=========
I N D I A
=========
AMR GLOBAL: Delays in Loan Payment Cues CRISIL Junk Ratings
-----------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
AMR Global Industries Ltd to 'CRISIL D/CRISIL D' from 'CRISIL
B/Stable/CRISIL A4'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 100 CRISIL D (Downgraded from
CRISIL A4)
Cash Credit 90 CRISIL D (Downgraded from
CRISIL B/Stable)
The downgrade reflects instances of devolvement of letter of
credit (LC) for over 30 days in December 2012; the delays have
been caused by weakening in AMR's liquidity due to a significant
stretch in its receivables.
The ratings continue to reflect AMR's limited track record of
operations, high customer and supplier concentration,
susceptibility to intense competition in the fragmented commodity
trading industry, low profitability, and weak financial risk
profile, marked by weak capital structure and weak debt
protection metrics. However, AMR is expected to benefit from its
sound risk management policy and expected scale-up in operations.
AMR, based in Hyderabad (Andhra Pradesh), was set up in 2005 by
Mr. A Mahesh Reddy and Mr. Girish Reddy. The company began
operations in April 2010 by trading textiles (dress material),
iron ore, and steel, and achieved a turnover of INR1399 million
in its first year of operations. AMR is part of the AMR group
based in Hyderabad, which has interests in mining,
infrastructure, sugar, hospitality, and agriculture. AMR
Constructions Ltd, which is in the mining and infrastructure
businesses, is the flagship entity of the AMR group.
CENZER INDUSTRIES: CRISIL Places 'BB-' Rating on INR150MM Loans
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable' rating to the long-
term bank facilities of Cenzer Industries Limited.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 70 CRISIL BB-/Stable
Proposed Long-Term 80 CRISIL BB-/Stable
Bank Loan Facility
The rating reflects extensive experience of CIL's promoters in
the electronics products and lighting industry and established
business relationship with its suppliers and customers. These
strengths are partially offset by CIL's modest scale of
operations, exposure to customer concentration risk and working
capital intensive nature of its operations.
Outlook: Stable
CRISIL believes that CIL will continue to benefit from its
promoters' experience in the electronics products and lighting
industry. The outlook may be revised to 'Positive' in case CIL
records a significant and sustained improvement in its revenues
and margins. Conversely, the outlook may be revised to 'Negative'
in case of significant decline in revenues and margins or further
lengthening of its working capital cycle leading to pressure on
liquidity and financial risk profile.
CIL, set up in 1992, by Mr. Joitkumar Jain and his family
members, is engaged in manufacturing of compact fluorescent lamps
(CFL) and electronic calculators. CIL is a supplier of CFL for
companies like Crompton Greaves Limited, Nippo Batteries Co. Ltd,
and Philips India Limited amongst others.
CIL reported a profit after tax (PAT) of INR2.41 million on net
sales of INR355.72 million for 2011-12 (refers to financial year,
April 1 to March 31), as against a PAT of INR2.09 million on net
sales of INR256.4 million for 2010-11.
CUMBUM VALLEY: CRISIL Assigns 'B' Rating on INR200MM Loans
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facilities of Cumbum Valley Winery Pvt Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Working Capital 35 CRISIL B/Stable
Demand Loan
Proposed Long-Term 40 CRISIL B/Stable
Bank Loan Facility
Cash Credit 25 CRISIL B/Stable
Long-Term Loan 100 CRISIL B/Stable
The rating reflects CVWPL's below-average financial risk profile,
marked by a highly leveraged capital structure, and small scale
of operations in the wine industry. These rating weaknesses are
partially offset by the benefits that CVWPL derives from its
promoter's extensive entrepreneurial experience.
Outlook: Stable
CRISIL believes that CVWPL will continue to benefit over the
medium term from its promoter's entrepreneurial experience. The
outlook may be revised to 'Positive' if the company scales up its
operations significantly, while maintaining its profitability,
leading to improvement in its financial risk profile. Conversely,
the outlook may be revised to 'Negative' in case CVWPL generates
lower accruals or if its working capital management deteriorates,
resulting in weak liquidity, or if the company undertakes any
large, debt-funded capital expenditure programme, leading to
weakening of its financial risk profile.
About Cumbum Valley
CVWPL, set up in 2009, manufactures red wine and fortified wine;
its winery is in Cumbum (Tamil Nadu). The company's day-to-day
operations are managed by its promoter, Mr. R Raghu.
CVWPL reported a profit after tax of INR3.8 million on net sales
of INR57.0 million for 2011-12 (refers to financial year, April 1
to March 31), against a loss of INR0.7 million on net sales of
INR16.1 million for 2010-11.
EMPIRE SPICES: CRISIL Raises Rating on INR120MM Loans to 'BB'
-------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities
of Empire Spices and Foods Ltd to 'CRISIL BB/Stable' from 'CRISIL
BB-/Stable'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 90.0 CRISIL BB/Stable (Upgraded
from 'CRISIL BB-/Stable')
Term Loan 30.0 CRISIL BB/Stable (Upgraded
from 'CRISIL BB-/Stable')
The rating upgrade reflects significant and sustained improvement
in ESFL's business risk profile, as indicated by its strong
growth in revenues'at a compound annual growth rate (CAGR) of 30
per cent in the past three years - and improving operating
efficiency. Moreover, prudent funding of capital expenditure
(capex) requirements in 2011-12 (refers to financial year, April
1 to March 31) through fresh equity infusion of INR17 million has
strengthened ESFL's financial risk profile: its gearing reduced
to 1.18 times as on March 31, 2012 from 1.87 times a year ago.
CRISIL believes that ESFL will fund its upcoming capex -- to set up
a papad and pickle unit -- of INR65 million and subsequent working
capital requirements, prudently such that its financial risk
profile and liquidity are not weakened.
CRISIL's rating on ESFL's bank facilities continue to reflect its
improving, though modest, scale of operations, the benefits it
derives from its promoters' extensive experience in the spices
industry, and the established market position of its brand,
Rambandhu, in Maharashtra. These rating strengths are partially
offset by ESFL's average financial risk profile, marked by low
net worth, moderate gearing, and average debt protection metrics,
and exposure to risks relating to geographical concentration in
revenues.
Outlook: Stable
CRISIL believes that ESFL will maintain robust growth in revenue
and steady profitability over the medium term on the back of its
established brand, and fund its incremental working capital and
capex requirements prudently. The outlook may be revised to
'Positive' if the company's financial risk profile, particularly
liquidity, improves significantly through strong accruals or
through infusion of sizeable long-term funds by the promoters.
Conversely, the outlook may be revised to 'Negative' if ESFL's
liquidity reduces due to substantial inventory build-up, or
decline in cash accruals, or if the company contracts sizeable
debt to fund its upcoming capex programmes.
About Empire Spices
ESFL, a closely held public limited company, is promoted by the
Nasik (Maharashtra)-based Rathi family. The company manufactures
unblended spices such as chili powder, turmeric powder, and
coriander powder, and blended spices such as garam masala, and
pav bhaji, biryani, and chhole masala, among others. It also
manufactures pickles, papads, and seasonal products such as
chivda masala, papad atta, papad masala. The company sells these
under the Rambandhu brand.
ESFL reported a profit after tax (PAT) of INR13.2 million on net
sales of INR723 million for 2011-12, against a PAT of INR8.7
million on net sales of INR599.4 million for 2010-11.
EXPORT-IMPORT BANK: Sr. Notes Rating Reflects ba2 Credit Profile
----------------------------------------------------------------
Moody's Investors Service has assigned a Baa3 rating to Export-
Import Bank of India's proposed issuance -- acting through its
head office in India -- of benchmark sized USD fixed-rate senior
unsecured notes.
The notes will be issued under its USD6 billion Medium Term Note
(MTN) program.
They will have a 10-year maturity and will be listed on Singapore
Exchange.
RATINGS RATIONALE
The Baa3 rating reflects (1) the status of the proposed notes as
senior unsecured obligations of the bank, (2) Eximbank India's
standalone credit profile of ba2, and (3) Moody's assessment of
the bank's very high dependence on and the high probability of
support from the Government of India (Baa3 stable).
The rating outlook is stable.
Moody's current ratings on Eximbank India and its affiliates are:
Long Term Issuer (foreign currency) rating of Baa3
Senior Unsecured (foreign currency) rating of Baa3
Senior Unsecured MTN Program (foreign currency) rating of (P)Baa3
Long Term Bank Deposits (foreign currency) rating of Baa3
Short Term Bank Deposits (foreign currency) rating of P-3
The methodologies used in these ratings were Moody's Consolidated
Global Bank Rating Methodology published in June 2012, and
Government-Related Issuers: Methodology Update published in July
2010.
Eximbank India, headquartered in Mumbai, reported total assets of
INR637 billion (approximately USD11.6 billion) in March 2012. The
entity is a specialized financial institution wholly owned by the
Government of India.
HIND POLYFABS: CRISIL Raises Rating on INR74MM Loans to 'BB'
------------------------------------------------------------
CRISIL has upgraded its rating on the bank facilities of Hind
Polyfabs Pvt Ltd (part of the Maruti group) to 'CRISIL BB/
Stable' from 'CRISIL BB-/Stable', while placing the rating on
'Notice of Withdrawal' for a period of 180 days, at the company's
request. The rating will be withdrawn at the end of the notice
period, in line with CRISIL's policy on withdrawal of its bank
loan ratings.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 22 CRISIL BB/Stable (Upgraded
from 'CRISIL BB-/Stable'
and Placed on 'Notice of
Withdrawal')
Proposed Long-Term 52 CRISIL BB/Stable (Upgraded
Bank Loan Facility from 'CRISIL BB-/Stable'
and Placed on 'Notice of
Withdrawal')
The rating upgrade reflects the improvement in the Maruti group's
financial risk profile, marked by a lower ratio of total outside
liabilities to tangible net worth (TOLTNW) and improved liquidity
on the back of infusion of funds from promoters and associates.
The group's TOLTNW ratio has improved to well below 1 time from
close to 2.5 times in the past, with the promoters infusing funds
of INR108 million in 2010-11 (refers to financial year, April 1
to March 31) and 2011-12. CRISIL believes that the Maruti group
will maintain its capital structure over the medium term in the
absence of any major debt-funded capital expenditure (capex) and
efficient working capital management.
The rating reflects the extensive experience of the Maruti
group's promoters in the polymer trading business, and the
group's improved financial risk profile, though constrained by an
inadequate interest coverage ratio. These rating strengths are
partially offset by the susceptibility of the group's operating
margin to fluctuations in raw material prices, and its highly
working-capital-intensive operations.
For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of HPPL, Rateria Laminators Pvt Ltd,
Jupax Vanijya Pvt Ltd, and Maruti Packagers Pvt Ltd. This is
because all these companies, collectively referred to as the
Maruti group, are under a common management, operate in similar
lines of business, and have operational and financial linkages.
Outlook: Stable
CRISIL believes that the Maruti group will continue to benefit
over the medium term from its promoters' extensive experience in
the polymer trading industry. The outlook may be revised to
'Positive' if the Maruti group scales up its operations, and if
its operating margin improves significantly. Conversely, the
outlook may be revised to 'Negative' if the group's revenues
decline sharply, or if it undertakes a major, debt-funded, capex
programme, weakening its financial risk profile.
About the Group
The Maruti group commenced operations in 1996, with RLPL being
appointed as the consignee stockist of GAIL (India) Ltd for
eastern India. MPPL and Jupax trade in plastic granules. HPPL
manufactures high-density polyethylene and polyphenylene ether
bags with capacity of 100 tonnes per month.
KINGFISHER AIRLINES: To Face Legal Suit Over INR7,000cr Bank Debt
-----------------------------------------------------------------
The Times of India reports that lenders to bankrupt Kingfisher
Airlines have decided to take legal action against the airline
company for its failure to repay over INR7,000-crore debt despite
repeated reminders.
TOI says the lenders had been pursuing a soft approach so far in
the hope that the company, which has not paid interest on its
loans for more than a year now, can be persuaded to come out with
a revival plan. But their patience seems to be running out now.
"On Friday, it became clear that banks are running out of
patience," the report quotes a banker, who attended last week's
meeting between lenders and the company in Bangalore, as saying.
"The meeting was called to give a final hearing to the borrower
before lenders decided pull the plug."
The report notes that this is the first time that lenders are
discussing recovery measures. TOI relates that Officials who
attended the meeting said that lenders' initial step would be to
issue a legal notice to the airline.
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.
* * *
As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 5, 2012, The Times of India said Kingfisher Airlines has
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, which has been unprofitable since it was created in
2005, accumulated losses of $1.9 billion between May 2005 and
June 30 of this year, The Wall Street Journal reported citing
Sydney-based consultant CAPA-Centre for Aviation. The airline
also owes about $2.5 billion to lenders, suppliers, leasing
companies and investors, the Journal added.
According to The Times of India, the company began showing signs
of weakness in November 2011 when it ran out of money to operate
most of its flights and started reducing its flights to cut cost.
The airline also failed to pay salaries to its employees for a
long time following which the employees went on an indefinite
strike. Its flying license was finally suspended in October 2012,
TOI reports.
LANCO HILLS: Delay in Loan Payment Cues CRISIL Junk Ratings
-----------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of Lanco
Hills Technology Park Private Limited to 'CRISIL D' from 'CRISIL
B/Negative'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Long-Term Loans 1762.5 CRISIL D (Downgraded from
CRISIL B/Negative)
Long-Term Loans 6138.0 CRISIL D (Downgraded from
CRISIL B/Negative)
The rating downgrade reflects the delay by Lanco Hills in
repaying its debt obligation of INR825 million, which was due on
December 31, 2012. The delay is on account of the company's weak
liquidity position. Lanco Hills' ongoing integrated township
project at Hyderabad (Andhra Pradesh) is witnessing sluggish
offtake due to weak demand conditions in the Hyderabad real
estate market.
The above-mentioned rating weaknesses are partially offset by the
adequate experience of Lanco Hills' promoters in project
execution in the infrastructure space, and the advanced stage of
completion of the residential segment of the company's township
project.
About Lanco Hills
Lanco Hills is a special-purpose vehicle (SPV) established by the
Lanco group in 2004 to develop a 100-acre integrated township at
Manikonda village, near Hyderabad Information Technology
Engineering Consultancy (HITEC) City, Hyderabad. The total
project cost, in its present scope, is estimated at about INR34
billion. The scope of the township project covers construction of
high-end residential complexes (with an area of 4.2 million
square feet [sq ft]), low-cost housing complexes (6.2 million sq
ft), and commercial space (8 million sq ft). The commercial space
will include 5.5 million sq ft of designated special economic
zone. Lanco Infratech Ltd (LITL, rated 'CRISIL D) holds 79 per
cent equity stake in Lanco Hills, and has infused INR2 billion of
preference capital into Lanco Hills. The Bangalore-based real
estate construction player, the Mantri group, owns the remaining
equity shares in Lanco Hills.
Lanco Hills reported a net loss of INR35 million on an operating
income of INR715 million for 2011-12, against a net loss of INR61
million on an operating income of INR 1899 million for 2010-11.
L. G. CHAUDHARY: CRISIL Assigns 'BB+' Rating to INR15MM Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB+/Stable/CRISIL A4+' ratings to
the bank facilities of M/S L. G. Chaudhary.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bank Guarantee 155 CRISIL A4+
Cash Credit 15 CRISIL BB+/Stable
The ratings reflect the extensive experience of LGC's promoters
in the construction industry and its healthy financial risk
profile, marked by low gearing and strong debt protection
metrics. These rating strengths are partially offset by LGC's
large working capital requirements and small scale of operations
in the construction industry.
Outlook: Stable
CRISIL expects that M/S L.G Chaudhary will maintain its business
risk profile over the medium term backed by the promoters'
extensive experience and healthy order book. The outlook may be
revised to 'Positive' in case of significant improvement in scale
of operations along with geographical diversification of its
revenues and sustenance of profitability or improvement in
working capital management. Conversely, the outlook may be
revised to 'Negative', if the firm registers less than expected
accruals or if it undertakes any large additional debt-funded
capex leading to deterioration in its financial risk profile or
pressure on liquidity due to stretch in working capital
requirements.
Established in 2004, LGC based in Gujarat, is promoted by Mr.
L.G. Chaudhary and his son Mr. G. M. Chaudhary. LGC is an AA
class civil contractor, engaged in construction of roads.
LGC reported a net profit of INR37.73 million on a net sales of
INR804.17 million for 2011-12 (refers to financial year, April 1
to March 31), as against a net profit of INR39.88 million on net
sales of INR843.9 million for 2010-11.
MANKU AGRO: CRISIL Assigns 'BB' Rating to INR60MM Loan
------------------------------------------------------
CRISIL has assigned its 'CRISIL BB/Stable' rating to the cash
credit facility of Manku Agro Tech Pvt Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 60 CRISIL BB/Stable
The rating reflects the benefits that Manku derives from its
promoters' extensive experience and the established presence of
its brand in North India; the rating also factors in the
company's above-average financial risk profile marked by a low
gearing and comfortable debt protection metrics. These rating
strengths are partially offset by Manku's modest scale of
operations, because of intense competition from large and
established players in the heavy commercial vehicles market, and
large working capital requirements.
Outlook: Stable
CRISIL believes that Manku will continue to benefit over the
medium term from its established brand in North India, supported
by its promoter's extensive industry experience. The outlook may
be revised to 'Positive' if the company registers substantial
increase in its scale of operations, if its cash accruals are
more than expected, or there is substantial improvement in its
working capital management. Conversely, the outlook may be
revised to 'Negative' if Manku's financial risk profile,
particularly its liquidity, weakens, most likely because of
decline in its profitability, or larger-than-expected working
capital requirements.
Manku was established in 1999 in Patiala (Punjab) by Mr.
Sukhwinder Singh and his family. It manufactures combine
harvester under the 'Vishal 435' and 'Vishal 248' brands. Manku
is approved by Central Farm Machinery Training & Testing
Institute and Ministry of Agriculture (New Delhi).
PAYAL POLYPLAST: CRISIL Cuts Rating on INR320MM Loans to 'D'
------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of Payal
Polyplast Pvt Ltd (part of the Payal group) to 'CRISIL
B/Stable/CRISIL A4' from 'CRISIL BB-/Stable/CRISIL A4+'.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 200 CRISIL B/Stable (Downgraded
from 'CRISIL BB-/Stable')
Letter of Credit 292 CRISIL A4 (Downgraded from
'CRISIL A4+')
Term Loan 28 CRISIL B/Stable (Downgraded
from 'CRISIL BB-/Stable')
The downgrade in ratings reflects expected deterioration in Payal
group's financial risk profile because of its stretched liquidity
and declining profitability. The liquidity profile of the group
deteriorated due to decline in operating profitability in 2011-12
on account of limited ability to pass on increase in raw material
prices and adverse movement in foreign exchange rate. The
accruals are expected to remain low in 2012-13 also. Due to low
accruals, the Payal Group funded its incremental working capital
requirements through buyer's credit and letter of credit. CRISIL
believes that the cash accruals will be insufficient to fund the
amount due under the availed letter of credit and buyer's credit
facilities in near term and thus leading to stretched liquidity
profile. Moreover, the working capital requirements of the group
are expected to increase further with the commencement of new
capacity in Payal Petrochem Pvt Ltd (Petrochem, part of Payal
Group). CRISIL believes that on account of the pressures on the
Payal group's accruals, there could be cash flow mismatches, and
the group's liquidity would remain stretched over the medium
term. CRISIL also believes that improvement in working capital
management and the funding support from promoters to meet debt
obligation in timely manner will remain a key rating sensitivity
factor over the medium term.
The ratings reflect the Payal group's weak financial risk
profile, marked by high gearing and weak debt protection metrics,
working-capital-intensive operations, and exposure to
fluctuations in raw material prices. These rating weaknesses are
partially offset by the group's long track record in the
plasticiser industry, its diversified industry base, and the
financial support it receives from its promoters.
For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of Petro, Petrochem, Payal Polyplast Pvt
Ltd, Payal Petropack Pvt Ltd, and Payal Polycompounds Pvt Ltd.
This is because these companies, together referred to as the
Payal group, have a common management and considerable
operational linkages with each other. Also, the group's
management has plans to merge all the companies over the medium
term.
Outlook: Stable
CRISIL believes that the Payal group will continue to benefit
over the medium term from its long track record in the
plasticiser industry. However, the group's financial flexibility
is expected to remain constrained over this period due to its
working capital intensive nature of operations. The outlook may
be revised to 'Positive' if the Payal group improves its working
capital management leading to improvement in its financial risk
profile. Conversely, the outlook may be revised to 'Negative' in
case of significant increase in working capital requirements
leading to significant deterioration in group's liquidity and
financial risk profile.
About the Group
Poly was established as a partnership firm (Payal Polymers) by
Mr. R P Gupta and his family members. The firm was reconstituted
as a private limited company in January 2009. It is in to
manufacturing of primary plasticisers, such as di-octyl
phthalate, di-butyl phthalate, and di-iso-nonyl phthalate at its
facility in Daman.
Petro was established as a proprietorship firm (Payal Petropack)
by Mr. R P Gupta in 1994. The firm was reconstituted as a private
limited company in 2008-09. Petro trades in solvents (such as
eythyl hexanol and butanel), plasticisers (such as dioctyl
phthalate), and polyvinyl chloride (PVC). Its office is in Delhi.
Polycompounds was established as a partnership firm (Nikhil
Plastics) in 1990 by Mr. R P Gupta and his family members and was
reconstituted as a private limited company in 2008-09. It
manufactures PVC compounds at its facility in Delhi.
Petrochem was established by Mr. R P Gupta and his family members
in 2010-11. The company has been implementing a project to
manufacture primary and secondary plasticisers in Dahej
(Gujarat). The plant has already started trial run in November
2012.
Payal Polyplast Pvt Ltd has reported a Profit After Tax (PAT) of
INR 4.69 million on net sales of INR2243.51 million for 2011-12,
against a PAT of INR20.41 million on net sales of INR1585.41
million for 2010-11.
T. ABDUL WAHID: CRISIL Reaffirms 'B-' Rating on INR20MM Loans
-------------------------------------------------------------
CRISIL's ratings on the bank facilities of T. Abdul Wahid
Tanneries Pvt Ltd continue to reflect TWTPL's weak financial risk
profile, marked by a small net worth, high gearing, and weak debt
protection metrics, and its small scale of operations. These
rating weaknesses are partially offset by the extensive
experience of TWTPL's promoters in the leather industry.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Bill Discounting 40 CRISIL A4 (Reaffirmed)
Letter of Credit 10 CRISIL A4 (Reaffirmed)
Packing Credit 100 CRISIL A4 (Reaffirmed)
Standby Line of Credit 24 CRISIL A4 (Reaffirmed)
Term Loan 20 CRISIL B-/Stable (Reaffirmed)
Outlook: Stable
CRISIL believes that TWTPL will continue to benefit over the
medium term from its promoters' extensive industry experience.
The outlook may be revised to 'Positive' if TWTPL's financial
risk profile improves significantly, most likely because of
larger-than-expected cash accruals, equity infusion, or more
efficient working capital management. Conversely, the outlook may
be revised to 'Negative' in case of significant pressure on
TWTPL's liquidity, most likely due to lower-than-expected cash
accruals, or larger-than-expected working capital requirements or
debt-funded capital expenditure.
Update
For 2011-12 (refers to financial year, April 1 to March 31),
TWTPL reported revenues of INR545 million, which was in line with
CRISIL's expectations. The company's operating margin was
marginally better than expectations at 8.8 per cent in 2011-12,
due to cost savings resulting from establishment of an in-house
tannery to convert raw hide into semi-finished leather. However,
TWTPL's financial risk profile remains weak, with high gearing of
4.64 times, and a small net worth of about INR40 million, as on
March 31, 2012. The company's debt protection metrics were also
weak, with interest coverage ratio of 1.62 times for 2011-12. Its
liquidity remains under pressure, with high bank limit
utilization at an average of 96.6 per cent for the 12 months
through August 2012. However, TWTPL is expected to generate
adequate cash accruals to meet its term loan repayment
obligations over the medium term.
TWTPL reported a profit after tax (PAT) of INR2.3 million on net
sales of INR516 million for 2011-12, as against a PAT of INR2.0
million on net sales of INR461 million for 2010-11.
Incorporated in 1975 and based in Tamil Nadu, TWTPL coverts raw
hide into semi-finished and finished leather, which it supplies
to the overseas market.
YASH CONSTRUCTION: CRISIL Places 'B' Rating on INR62MM Loans
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facilities of Yash Construction Equipments Pvt Ltd.
Amount
Facilities (INR Mln) Ratings
---------- --------- -------
Cash Credit 58 CRISIL B/Stable
Term Loan 4 CRISIL B/Stable
The rating reflects YCEPL's weak financial risk profile, marked
by small net worth and high total outside liabilities to tangible
net worth ratio, working-capital-intensive nature of operations,
low bargaining power with its principal, and exposure to intense
competition in the automotive dealership market. These rating
weaknesses are partially offset by YCEPL's established market
position as a dealer for Telco Construction Equipment Company Ltd
(Telco), and the extensive industry experience of YCEPL's
promoters
Outlook: Stable
CRISIL believes that YCEPL will continue to benefit over the
medium term from its promoters' extensive experience in the
dealership business. The outlook may be revised to 'Positive' if
the company registers improvement in its financial risk profile
on account of better profitability margins or higher-than-
expected revenues, while it improves its working capital cycle.
Conversely, the outlook may be revised to 'Negative' in case
YCEPL faces further lengthening in its working capital cycle or
registers decline in its revenues or profitability
About Yash Construction
YCEPL was set up in 2007 by Mr. Sanjay Kumar and his wife, Mrs.
Sneha The company is an authorised dealer of heavy earth moving
equipment such as loaders, backhoe loaders, excavators, and car
mounted machines for Telco. YCEPL became an authorised dealership
for Telco in 2007, and is headquartered in Mirzapur (Uttar
Pradesh). YCEPL also has 13 workshops in cities such as Lucknow,
Allahabad, Gorakhpur, and Sonebhadra (all in Uttar Pradesh)
YCEPL reported a profit after tax (PAT) of INR1.33 million on net
sales of INR319.1 million for 2011-12 (refers to financial year,
April 1 to March 31), against a PAT of INR0.83 million on net
sales of INR134.8 million for 2010-11.
=================
I N D O N E S I A
=================
LIPPO KARAWACI: Fitch Rates Proposed 2020 Notes at 'BB-(EXP)'
-------------------------------------------------------------
Fitch Ratings has assigned Indonesia-based PT Lippo Karawaci
Tbk's (LK, 'BB-'/Stable) proposed 6.125% 2020 notes an expected
'BB-(EXP)' rating. The notes will be issued as a tap to the
existing USD273.3 million notes that share the same coupon and
maturity.
The bonds will be issued by Theta Capital Pte. Ltd and guaranteed
by LK. The final rating is contingent upon receipt of the final
documents conforming to information already received.
The expected rating is in line with LK's Long-term Foreign and
Local Currency Issuer Default Ratings (IDRs) and senior unsecured
rating of 'BB-'.
LK plans to use the issue proceeds to refinance its 9% notes
falling due in 2015. This tap issue will not result in an
increase in LK's net debt and therefore will not impair its
current financial profile. LK's ratings are supported by
Indonesia's favorable long-term demand for residential properties
and healthcare services, a continued strong recurring income
base, and LK's demonstrated track record in managing these
businesses.
What Could Trigger a Rating Action?
Future developments that may, individually or collectively, lead
to a negative rating action include:
-- Recurring EBITDA interest cover falling below 1.5x
-- Recurring EBITDA fixed-charge cover falling below 1.25x
-- Failure to pre-fund projected capex
Positive: No positive rating action is foreseen in the medium
term given LK's high operating exposure to the cyclical real
estate industry.
LIPPO KARAWACI: Tap Bond Issuance No Impact on Moody's B1 CFR
-------------------------------------------------------------
Moody's Investors Service has said that the B1 corporate family
rating and senior unsecured ratings of PT Lippo Karawaci Tbk
remain unchanged following the announcement of a tap bond
offering on its existing US$273.3 million notes issued in
November 2012. The outlook on the ratings remain positive.
The tap bond offering has the same terms and conditions as the
existing notes and, as with the existing notes, proceeds will be
used for funding property development, refinancing and general
corporate purpose.
"Lippo has successfully strengthened its liquidity position and
extended its debt maturity profile with its recent bond
issuances. The additional issuance will further enhance its
ability to pursue its aggressive expansion plan", says Jacintha
Poh, a Moody's Analyst.
Lippo intends to construct 16 hospitals and 12 retail malls over
the medium-term. Recent debt issuance to fund capital expenditure
has resulted in total debt and interest expense rising in the
near-term.
Moody's expects the company's operating cash flow and associated
credit metrics to remain volatile over the next three years, due
to the heavy working capital requirements. On the other hand, the
company will gradually benefit from sustained improvements in
recurring income over the next two years.
"We continue to monitor the ability of First REIT and LMIRT to
absorb Lippo's completed developments. The sales of two hospitals
and one hotel to First REIT in Q4 2012 has provided further
confidence in the sustainability of the company's asset-light
strategy", says Poh, also lead analyst for Lippo.
Lippo's ability to grow its recurring income hinges on the
success of its asset-light strategy, which ultimately relies on
the ability of First REIT and LMIRT to absorb the completed
hospital and retail mall developments.
On April 5, 2012, LK's rating outlook was changed to positive to
reflect the strong growth in recurring income from its healthcare
and hospitality segments and infrastructure development, as well
as the property and portfolio management businesses, which
contributed approximately 48% of its FY2011 revenue.
The principal methodology used in rating PT Lippo Karawaci Tbk
and Theta Capital Pte Ltd was the Global Homebuilding Industry
Methodology published in March 2009.
PT Lippo Karawaci Tbk is one of the largest property developers
in Indonesia, with a sizable land bank of around 1,422 ha as of
30 September 2012. Since 2004, the company has diversified into
the healthcare and hospitality businesses, as well as
infrastructure development. Its recurring income continues to
grow, comprising around 50% of total revenue over the last three
years.
LIPPO KARAWACI: S&P Assigns 'BB-' Rating to US$130MM Sr. Notes
--------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' rating and
'axBB+' ASEAN regional scale rating to the proposed issue of up
to US$130 million senior notes guaranteed by PT Lippo Karawaci
Tbk. (BB-/Stable/--; axBB+/--) and some of its subsidiaries.
Theta Capital Pte. Ltd., a special purpose vehicle (SPV) that
Lippo Karawaci owns, will issue the notes, which are due in 2020.
Lippo Karawaci intends to use the proceeds from the proposed
notes to refinance the outstanding balance of 2015 notes issued
by Sigma Capital Pte. Ltd., another SPV of Lippo Karawaci. S&P
don't expect this transaction to result in significant debt
increase, but it would further ease Lippo Karawaci's debt
maturity profile. For this reason, the corporate credit rating
of Lippo Karawaci is not affected.
The terms and conditions of the proposed notes are similar to the
2020 notes issued on Nov. 14, 2012. The rating on the proposed
notes is similar to the ratings on Theta Capital's existing notes
-- US$250 million due in 2019 and US$273.3 million due in 2020.
The 'BB-' corporate credit rating reflects the company's
"aggressive" financial risk profile, driven by its significant
capital expenditure plans and exposure to volatile cash flows
from the cyclical property development business. Lippo
Karawaci's "fair" business risk profile, represented by its
dominant position in the domestic property market and its strong
financial flexibility, given its good access to equity and
capital markets, temper the above weaknesses.
The stable rating outlook reflects S&P's expectation that the
company's strong growth from its property development and
healthcare businesses, good profitability, and adequate liquidity
will translate into credit protection metrics that are
appropriate for the rating in the next 12-18 months.
"We expect Lippo Karawaci's operating performance to remain
strong in the next 12-18 months. That performance would be
supported by good economic growth in Indonesia, which culminates
in robust demand for the company's properties and healthcare
services, and increased occupancy at its hotels and shopping
malls. We also expect Lippo Karawaci to exercise the financial
flexibility of selling stabilized hotels and shopping malls into
its sponsored real estate investment trusts. We forecast Lippo
Karawaci's ratio of lease-adjusted debt to EBITDA at about 4.2x-
4.4x for the next 12-18 months based on our base-case scenario,
compared with 4.5x as of Sept. 30, 2012," S&P said.
====================
N E W Z E A L A N D
====================
BROOKFIELD MULTIPLEX: Lack of Project Cues NZ Unit's Liquidation
----------------------------------------------------------------
Jonathan Underhill at BusinessDesk reports that Brookfield
Multiplex, the Australian firm whose New Zealand developments
included the Sylvia Park Shopping Centre and the Pegasus Town
development, said a lack of new projects in a tough market drove
the decision to liquidate its local unit.
Brookfield Multiplex Constructions (NZ) appointed liquidators on
December 4, though it had largely ceased operating in 2011, when
it made most of its workers redundant, BusinessDesk says.
Liquidators Anthony McCullagh -- anthony.mccullagh@pkfcr.co.nz --
and Stephen Lawrence -- steve.lawrence@pkfcr.co.nz -- of PKF
Corporate Recovery & Insolvency (Auckland) said the company has a
shortfall to unsecured creditors estimated at NZ$2.4 million,
according to BusinessDesk.
Realisable assets were estimated at NZ$44,279, but with some
items including retentions listed as unknown, the report notes.
"A continued lack of opportunities in the market prevents
Brookfield Multiplex from maintaining a presence [in New Zealand]
in its traditional form," the directors said, according to the
liquidators' report obtained by BusinessDesk.
"This follows on from nearly two years operating without an
active project in a highly competitive market, as well as
receiving on-going financial support from its parent company,"
BusinessDesk relates that the Sydney-based parent withdrew that
financial support on December 3, forcing the local unit to cease
trading.
Brookfield Multiplex was formed in 2007 when Canada's Brookfield
Asset Management acquired Australian developer Multiplex, whose
projects included the troubled Wembley Stadium development, for
about AUD7.3 billion, including debt, BusinessDesk discloses.
It still has nine companies registered in New Zealand that are
not in liquidation, including Brookfield Funds Management, part
of a global asset management business overseeing some US$150
billion of assets, the report adds.
HANSEN INSURANCE: IRS Places Hansen Businesses In Liquidation
-------------------------------------------------------------
The Southland Times, citing the first liquidators' report,
relates that Hansen Insurance Services Ltd and Mr Green
(Southland) Ltd are in liquidation and the director has been
declared bankrupt.
The reports said director of both companies, Barry Andrew Hansen,
was adjudged bankrupt and his businesses put into liquidation by
the Commissioner of Inland Revenue in the High Court in
Invercargill on Nov. 7, 2012, The Southland Times discloses.
Iain Nellies and Paul Jenkins, of Insolvency Management Ltd --
iml@insolvency.co.nz -- were appointed joint liquidators of both
companies, the report says.
According to the Southland Times, Mr. Hansen cited an inability
to trade caused by personal health issues and the loss of
personal liability insurance cover as the reason for liquidation
of the insurance business and non-payment of franchise fees along
with personal health issues as the reason behind the property
maintenance franchise liquidation.
The liquidators' report said the franchise ceased trading in
June 2012 and the insurance company stopped trading in
October 2011, the Southland Times relays.
The Southland Times relate that the report said liquidators had
been told of possible action being considered by the company
director prior to the liquidation and the merits of continuing
the action would be investigated.
Until the liquidators had examined all the company records, it
was not possible to determine whether a dividend would be paid to
creditors, the Southland Times adds.
====================
S O U T H K O R E A
====================
DAEWOO ELECTRONICS: Dongbu Group to Buy Firm for KRW272.6BB
-----------------------------------------------------------
Yonhap News reports that South Korean conglomerate Dongbu Group
signed a contract to take over Daewoo Electronics Corp. on
Tuesday, ending a decade-long search for a buyer for the
electronics firm.
The news agency relates that the group said its consortium inked
the deal with Daewoo Electronics creditors to purchase the
appliance maker for KRW272.6 billion (US$256.4 million).
Headquartered in Chung-Gu, Seoul, Daewoo Electronics Corporation
-- http://www.dwe.co.kr/-- is the third largest Korean consumer
electronics company. It manufactures and sells a variety of
products including televisions, DVD players, refrigerators, air
conditioners, washing machines, microwaves, vacuum cleaners and
car audio systems in over 105 countries.
According to the Troubled Company Reporter-Asia Pacific, Daewoo
Electronics has been under a debt workout program since
January 2000, months after its parent group -- the Daewoo Group
-- collapsed under debts of nearly US$80 billion in 1999.
================
S R I L A N K A
================
CEYLEASE LTD: Fitch Puts BB+ National LT Rating on Watch Positive
-----------------------------------------------------------------
Fitch Ratings Lanka has placed Ceylease Ltd's National Long-Term
Rating of 'BB+(lka)' on Rating Watch Positive (RWP) and has
affirmed MCSL Financial Services Limited's National Long-Term
Rating at 'BBB(lka)' with a Stable Outlook. This follows the
announcement of the proposed merger between the two entities.
Fitch will upgrade CL's rating to align with MFSL's rating upon
the conclusion of the merger. This is based on Fitch's
expectations that Bank of Ceylon (BOC; 'AA+(lka)'/Stable), parent
to both MFSL and Ceylease, will maintain a dominant effective
shareholding in and continue to provide support to the merged
entity.
The affirmation of MFSL's rating reflects Fitch's view that
support from its parent BOC will remain unchanged, despite a
change to its shareholding in MFSL after the merger.
BOC has an effective shareholding of 86%, in MFSL and is
represented on the Board. CL's current shareholders are BOC with
a 55% stake, Phoenix Group with 27.5% and Prime Lands (Pvt) Ltd
with 17.5%.
MFSL's rating may be affected by developments leading to a change
in the likelihood of support from BOC, including a significant
change in BOC's effective shareholding and board control.
The merger is subject to obtaining the necessary regulatory and
statutory approvals.
===============
X X X X X X X X
===============
* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
Feb. 20-22, 2013
AMERICAN BANKRUPTCY INSTITUTE
VALCON
Four Seasons Las Vegas, Las Vegas, Nev.
Contact: 1-703-739-0800; http://www.abiworld.org/
Apr. 10-12, 2013
TURNAROUND MANAGEMENT ASSOCIATION
TMA Spring Conference
JW Marriott Chicago, Chicago, Ill.
Contact: http://www.turnaround.org/
Apr. 18-21, 2013
AMERICAN BANKRUPTCY INSTITUTE
Annual Spring Meeting
Gaylord National Resort & Convention Center,
National Harbor, Md.
Contact: 1-703-739-0800; http://www.abiworld.org/
June 13-16, 2013
AMERICAN BANKRUPTCY INSTITUTE
Central States Bankruptcy Workshop
Grand Traverse Resort, Traverse City, Mich.
Contact: 1-703-739-0800; http://www.abiworld.org/
July 11-13, 2013
AMERICAN BANKRUPTCY INSTITUTE
Northeast Bankruptcy Conference
Hyatt Regency Newport, Newport, R.I.
Contact: 1-703-739-0800; http://www.abiworld.org/
July 18-21, 2013
AMERICAN BANKRUPTCY INSTITUTE
Southeast Bankruptcy Workshop
The Ritz-Carlton Amelia Island, Amelia Island, Fla.
Contact: 1-703-739-0800; http://www.abiworld.org/
Aug. 8-10, 2013
AMERICAN BANKRUPTCY INSTITUTE
Mid-Atlantic Bankruptcy Workshop
Hotel Hershey, Hershey, Pa.
Contact: 1-703-739-0800; http://www.abiworld.org/
Aug. 22-24, 2013
AMERICAN BANKRUPTCY INSTITUTE
Southwest Bankruptcy Conference
Hyatt Regency Lake Tahoe, Incline Village, Nev.
Contact: 1-703-739-0800; http://www.abiworld.org/
Oct. 3-5, 2013
TURNAROUND MANAGEMENT ASSOCIATION
TMA Annual Convention
Marriott Wardman Park, Washington, D.C.
Contact: http://www.turnaround.org/
Nov. 1, 2013
AMERICAN BANKRUPTCY INSTITUTE
NCBJ/ABI Educational Program
Atlanta Marriott Marquis, Atlanta, Ga.
Contact: 1-703-739-0800; http://www.abiworld.org/
Dec. 2, 2013
BEARD GROUP, INC.
19th Annual Distressed Investing Conference
The Helmsley Park Lane Hotel, New York, N.Y.
Contact: 240-629-3300 or http://bankrupt.com/
Dec. 5-7, 2013
AMERICAN BANKRUPTCY INSTITUTE
Winter Leadership Conference
Terranea Resort, Rancho Palos Verdes, Calif.
Contact: 1-703-739-0800; http://www.abiworld.org/
*********
Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable. Those
sources may not, however, be complete or accurate. The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication. Prices reported are not intended to reflect actual
trades. Prices for actual trades are probably different. Our
objective is to share information, not make markets in publicly
traded securities. Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind. It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.
A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged. Send announcements to
conferences@bankrupt.com
Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication. At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled. Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets. A company may establish reserves on its balance
sheet for liabilities that may never materialize. The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.
*********
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Washington, D.C., 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 2013. 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$775 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 215-945-7000 or Nina Novak at 202-241-8200.
*** End of Transmission ***