/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/130218.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Monday, February 18, 2013, Vol. 16, No. 34 Headlines A U S T R A L I A MACALISTER CONSTRUCTIONS: Collapse Affects Gippsland Businesses MOONYA COMMUNITY: Administrators Hopeful Center Will be Saved H O N G K O N G EXCEL PROPERTIES: Members' Final Meeting Set for March 4 G.T.C. HOLDINGS: Members' Final Meeting Set for March 13 GIANT GALAXY: Members' Final General Meeting Set for March 1 GOOD QUALITY: Members' Final General Meeting Set for March 1 HEYNES ENTERPRISES: Members' Final Meeting Set for March 15 LIFE IN: Members' Final Meeting Set for March 4 MAN PO: Members' and Creditors Meetings Set for March 8 PERRY CAPITAL: Members' Final Meeting Set for March 1 STRAIGHT WHARF: Members' Final Meeting Set for March 1 SVCM CAPITAL: Members' Final General Meeting Set for March 1 SY FONG: Members' Final Meeting Set for March 1 TOP GAIN: Members' Final Meeting Set for March 6 WAI YAN: Members' and Creditors Meetings Set for March 8 WINDER MERE: Members' Final General Meeting Set for March 1 * January Bankruptcy Filings in HK Rise to Almost Two-Year High I N D I A BANSAL IRON: CARE Rates INR22cr Long-Term Loan at 'CARE BB' D. D. IRON: CARE Reaffirms 'B' Rating on INR6.3cr Long-Term Loan DEV AROMATIC: CARE Reaffirms 'BB-' Rating on INR17.61cr LT Loans GALAXY OFFSET: CARE Assigns 'BB' Rating to Long-Term Bank Loans HANUMAN COTTON: CARE Reaffirms 'B' Rating on INR6.49cr LT Loans KINGFISHER AIRLINES: Founder to Use Diago Proceeds to Pay Debt LAJ EXPORTS: CARE Assigns 'BB' Rating to INR4.95cr LT Loans LAKSHAYA ENTERPRISE: CARE Puts 'B+' Rating on INR5cr LT Loans LATIN MANHARLAL: CARE Reaffirms 'BB' Long-Term Loan Rating NUTECH ENGINEERING: CARE Reaffirms 'BB-' LT Bank Loan Rating PARSHWANATH DYECHEM: CARE Reaffirms BB+ Rating on INR7.57cr Loan REDDY & REDDY: CARE Reaffirms 'BB-' Rating on INR9.12cr LT Loans SHREE KALKA: CARE Rates INR9.5cr Long-Term Loan at 'CARE B' I N D O N E S I A BERLIAN LAJU: Move to Dismiss U.S. Bankruptcy Pushed by Creditors K O R E A DAEWOO ELECTRONICS: Dongbu Completes Takeover, Names New Chief HANIL ENGINEERING: Files for Court Receivership N E W Z E A L A N D AORANGI SECURITIES: HMF Investors to Get Capital Back MAINZEAL PROPERTY: Owes NZ$4 Million to Horizon Subsidiary PENINSULA ROAD: Receivers Put Kawara Falls Station on Market S I N G A P O R E STATS CHIPPAC: S&P Rates $640MM 5-Yr. Sr. Unsecured Notes 'BB+' - - - - - ================= A U S T R A L I A ================= MACALISTER CONSTRUCTIONS: Collapse Affects Gippsland Businesses --------------------------------------------------------------- Davyd Reid at the Gippsland Times reports that businesses across Victoria have been affected by the fall of Macalister Constructions, with the company owing up to AUD18 million to the National Australia Bank and hundreds of unsecured creditors. The list of creditors runs into eight pages, some smaller creditors owed hundreds of thousands of dollars, the report notes. However debts could be higher than preliminary investigations suggest, with a report to creditors from SV Partners obtained by the Gippsland Times suggesting there could be inaccuracies in the information it had obtained from the company. The Gippsland Times says allegations the company had been trading while insolvent for some time are also being investigated. According to the Gippsland Times, the SV Partners report said initial investigations into the company had begun. "We are in receipt of sufficient books and records of the company which has enabled us to conduct preliminary investigations into the company's affairs, in order to provide this report to creditors," the report said. "We believe that the company has maintained sufficient written financial records (ie. invoices, bank statements, debtor and creditor (files) that would enable true and fair financial statements to be prepared and audited. "Notwithstanding the above, based on our review of the company's management accounts for the last few years, it appears that there are various inaccuracies in the information contained within same. Richard J. Cauchi, Michael Carrafa and Terry G. Van Der Velde of SV Partners as administrator for the Sale-based Macalister Construction, which formerly traded as Macalister Homes, on Jan. 11, 2013. The administrators may be reached at: Richard J. Cauchi Michael Carrafa Terry G. Van Der Velde SV PARTNERS Level 7, 151 Castlereagh Street Sydney NSW 2000 GPO Box 5331 Sydney NSW 2001 Tel: 02 8986 8986 Fax: 02 8986 8999 E-mail: richard.cauchi@svp.com.au michael.carrafa@svp.com.au terry.vandervelde@svp.com.au MOONYA COMMUNITY: Administrators Hopeful Center Will be Saved ------------------------------------------------------------- 774 ABC Melbourne reports that the administrators of financially troubled Moonya Community Service said the centre could be saved. Gess Rambaldi -- gess.rambaldi@pitcher.com.au -- and Andrew Yeo -- andrew.yeo@pitcher.com.au -- of Pitcher Partners were appointed as administrators of Moonya Community Services Inc on Jan. 9, 2013. "Moonya's Day Support Service operations and "Gardening and Other Services" supported employment services are continuing to operate under the control of the Administrators," a statement posted on Moonya's web site stated. "Concurrently, the Administrators are conducting a formal expression of interest process seeking offers and proposals for the sale or restructure of Moonya's operations." The Supreme Court of Victoria last week granted Pitcher Partners an extension to continue to their work with Moonya until the centre's State and Federal emergency funding runs out in April, 774 ABC Melbourne reports. Moonya Community Service is disability service provider. ================ H O N G K O N G ================ EXCEL PROPERTIES: Members' Final Meeting Set for March 4 -------------------------------------------------------- Members of Excel Properties Limited, which is in members' voluntary liquidation, will hold their final meeting on March 4, 2013, at 11:00 a.m., at Room 1802, Harbour Centre, 25 Harbour Road, Wanchai, in Hong Kong. At the meeting, Cheng Seng Chong Edward, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. G.T.C. HOLDINGS: Members' Final Meeting Set for March 13 -------------------------------------------------------- Members of G.T.C. Holdings Limited, which is in members' voluntary liquidation, will hold their final meeting on March 13, 2013, at 11:00 a.m., at Flat B, 16/F, Empire Land Commercial Centre, at 81- 85 Lockhart Road, Wanchai, in Hong Kong. At the meeting, Ng Kwok Cheung Bernard, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. GIANT GALAXY: Members' Final General Meeting Set for March 1 ------------------------------------------------------------ Members of Giant Galaxy Limited, which is in members' voluntary liquidation, will hold their final general meeting on March 1, 2013, at 4:35 p.m., at Level 28, Three Pacific Place, 1 Queen's Road East, in Hong Kong. At the meeting, Natalia K M Seng, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. GOOD QUALITY: Members' Final General Meeting Set for March 1 ------------------------------------------------------------ Members of Good Quality Enterprises Limited, which is in members' voluntary liquidation, will hold their final general meeting on March 1, 2013, at 4:40 p.m., at Level 28, at Three Pacific Place, 1 Queen's Road East, in Hong Kong. At the meeting, Natalia K M Seng, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. HEYNES ENTERPRISES: Members' Final Meeting Set for March 15 ----------------------------------------------------------- Members of Heynes Enterprises Limited, which is in members' voluntary liquidation, will hold their final meeting on March 15, 2013, at 11:00 a.m., at Flat B, 39/F, Vista, at 188 Fuk Wah Street, Sham Shui Po, in Kowloon. At the meeting, Fu Wing Cheung, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. LIFE IN: Members' Final Meeting Set for March 4 ----------------------------------------------- Members of Life In Harmony Limited, which is in members' voluntary liquidation, will hold their final meeting on March 4, 2013, at 10:00 a.m., at 22nd Floor, Shum Tower, at 268 Des Voeux Road Central, in Hong Kong. At the meeting, Tsang Yuet Mei, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. MAN PO: Members' and Creditors Meetings Set for March 8 ------------------------------------------------------- Members and creditors of Man Po Hong Limited will hold their final meetings on March 8, 2013, at 3:00 p.m., at Room 1405-8, 14/F, C C Wu Building, at 302-8 Hennessy Road, Wanchai, in Hong Kong. At the meeting, Kwan Pak Kong and Liu Chi Tat Stephen, the company's liquidators, will give a report on the company's wind-up proceedings and property disposal. PERRY CAPITAL: Members' Final Meeting Set for March 1 ----------------------------------------------------- Members of Perry Capital (Asia) Limited, which is in members' voluntary liquidation, will hold their final meeting on March 1, 2013, at 10:00 a.m., at 767 Fifth Avenue, 19th Floor, New York, NY10153, in United States. At the meeting, Choi Wai Man, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. STRAIGHT WHARF: Members' Final Meeting Set for March 1 ------------------------------------------------------ Members of Straight Wharf Capital (HK) Limited, which is in members' voluntary liquidation, will hold their final general meeting on March 1, 2013, at 11:00 a.m., at 20th Floor, 101 Park Avenue, New York, NY10178, in U.S.A. At the meeting, John Duffield Meyercord, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. SVCM CAPITAL: Members' Final General Meeting Set for March 1 ------------------------------------------------------------ Members of SVCM Capital Limited, which is in members' voluntary liquidation, will hold their final general meeting on March 1, 2013, at 4:45 p.m., at Level 28, Three Pacific Place, at 1 Queen's Road East, in Hong Kong. At the meeting, Natalia K M Seng, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. SY FONG: Members' Final Meeting Set for March 1 ----------------------------------------------- Members of Sy Fong Holdings Limited, which is in members' voluntary liquidation, will hold their final meeting on March 1, 2013, at 10:00 a.m., at Room 803, Tung Hip Commercial Building, at 248 Des Voeux Road Central, in Hong Kong. At the meeting, Yu Yuk Ling Theresa, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. TOP GAIN: Members' Final Meeting Set for March 6 ------------------------------------------------- Members of Top Gain Fashion International Limited will hold their meeting on March 6, 2013, at 5:00 p.m., at Room 2802, 28/F, China Resources Building, at No. 26 Harbour Road, Wanchai, in Hong Kong. At the meeting, Ling Wai Ming, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. WAI YAN: Members' and Creditors Meetings Set for March 8 -------------------------------------------------------- Members and creditors of Wai Yan Investment Limited will hold their final meetings on March 8, 2013, at 3:00 p.m., at Room 1405- 8, 14/F, C C Wu Building, 302-8 Hennessy Road, Wanchai, in Hong Kong. At the meeting, Kwan Pak Kong and Liu Chi Tat Stephen, the company's liquidators, will give a report on the company's wind-up proceedings and property disposal. WINDER MERE: Members' Final General Meeting Set for March 1 ----------------------------------------------------------- Members of Winder Mere Trading Limited, which is in members' voluntary liquidation, will hold their final general meeting on March 1, 2013, at 4:50 p.m., at Level 28, Three Pacific Place, 1 Queen's Road East, in Hong Kong. At the meeting, Natalia K M Seng, the company's liquidator, will give a report on the company's wind-up proceedings and property disposal. * January Bankruptcy Filings in HK Rise to Almost Two-Year High --------------------------------------------------------------- Stephanie Tong at Bloomberg News reports that Hong Kong's number of bankruptcy petitions filed last month rose to the highest in almost two years after economic growth slowed to what the government predicted would be the weakest since 2009. The number of bankruptcy requests submitted in January increased 62% from a year earlier to 837, Bloomberg discloses citing data posted on the website of the Official Receiver's Office. That was the highest number since March 2011 when 866 were filed, the data showed. "The bankruptcy data is a signal that is worthy of attention but there is no strong evidence to conclude that the situation is worsening," Raymond Yeung, a Hong Kong-based senior economist at Australia & New Zealand Banking Group Ltd., told Bloomberg. "Hong Kong is still fundamentally strong with a low jobless rate. The major risk is an earlier reversal of interest rate cycle which may aggravate the situation." ========= I N D I A ========= BANSAL IRON: CARE Rates INR22cr Long-Term Loan at 'CARE BB' ----------------------------------------------------------- CARE assigns 'CARE BB' rating to the bank facilities of Bansal Iron & Steel Traders. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 22 CARE BB Assigned Rating Rationale The rating assigned by CARE is based on the capital deployed by the proprietor and the financial strength of the firm at present. The rating may undergo change in case of withdrawal of capital or the unsecured loans brought in by the proprietor in addition to the financial performance and other relevant factors. The rating is constrained by low profitability margins, high overall gearing and highly competitive and fragmented nature of the metal scrap trading industry. The rating is further constrained by cyclical nature of the steel industry, foreign exchange risk, as well as significantly high inter-group transactions. However, the rating draws comfort from the long track record of operations, experienced promoter and established relationship with suppliers and customers. The ability of the firm to sustain profitability margin while efficiently managing working capital requirements and improving capital structure would be the key rating sensitivity. Bansal Iron & Steel Traders, a proprietorship concern started by Mr. Sunil Kumar Aggarwal in 1992 is involved in the trading of iron, steel and aluminium scrap. The business includes purchasing of scrap from the press and machine shops of various large auto manufacturers/steel manufacturers in the National Capital Region and selling this automotive grade steel to foundry and casting companies. It also imports aluminium scrap from Europe and Dubai and supplies it to auto components manufacturing companies. For FY12 (refers to the period April 1 to March 31), BIST achieved a total operating income of INR259.28 crore with the PBILDT and PAT margins of 2.38% and 0.98%, respectively. For H1FY13, BIST reported a total income of INR124.61 crore. D. D. IRON: CARE Reaffirms 'B' Rating on INR6.3cr Long-Term Loan ---------------------------------------------------------------- CARE reaffirms the rating assigned to the bank facilities of D. D. Iron and Steels Pvt Ltd. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 6.30 CARE B Reaffirmed Rating Rational The rating continues to remain constrained by its small scale of operations of the family managed business of D. D. Iron and Steels Pvt Ltd coupled with limited track record and thin profitability margins. The rating is further constrained by lack of backward integration with exposure to volatility in raw material prices, intense competition and cyclical nature of the iron and steel industry. The rating, however, derives strength from the experience of the promoters, satisfactory leverage ratio and capacity utilization. The ability to improve scale of operations along with improvement in financial risk profile while managing raw material price fluctuations and sustaining competition will be the key rating sensitivities. DDIS, incorporated in January2008, by the Jaiswal family based out of Rourkela (Odisha), is engaged in manufacturing of mild steel ingots with current installed capacity of 27,000 Metric Tonne Per Annum (MTPA). The manufacturing unit of the company is located at Sundergarh, Odisha. The unit commenced commercial production in December 2008. The day-to-day affairs of the company are looked after by Mr. Gouri Shankar Jaiswal, M.D., having more than three decade of experience in steel industry. As per audited results for FY12 (refer to the period April 1 to March 31), DDIS reported PBILDT and PAT of INR1.2 crore (Rs.1.0 core in FY11) and INR0.2 crore (Rs.0.1 crore in FY11), respectively, on the total income of INR36.4 crore (Rs.48.3 crore in FY11). DEV AROMATIC: CARE Reaffirms 'BB-' Rating on INR17.61cr LT Loans ---------------------------------------------------------------- CARE reaffirms the rating assigned to the bank facilities of DEV Aromatic Private Limited. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 17.61 CARE BB- Reaffirmed Rating Rationale The rating continues to be constrained on account of the moderate financial profile, customer concentration risk, intense competition in the menthol derivatives industry and risk of substitution from synthetic menthol. However, the rating constraints are partially mitigated by relevant experience of the promoters in the industry, location advantage of manufacturing facility and reputed client base. Going forward, the ability to improve profitability margins and increase its scale of operations while maintaining the capital structure would remain the key rating sensitivities. The company was incorporated as 'Dev Aromatic Private Limited' by Mr. Shashi Jain in March 2008. DAPL is an ISO 9001:2008 certified company involved in the manufacturing of Menthol flakes (62% of FY12 [refers to the period April 1 to March 31] total operating income) and De-Mentha oil (DMO) (26% of FY12 total operating income) and trading of CMO (12% of FY12 total operating income). The manufacturing unit of DAPL is located in Lucknow (Uttar Pradesh) and is located very close to India's largest mentha oil producing area of Barabanki District (Uttar Pradesh). The aggregate installed capacity of Menthol Flakes and DMO as of March 31, 2012 was 980 Metric Tonne Per Annum (MTPA) and 470 MTPA, respectively. During FY12, the company achieved a total operating income of INR173.99 crore with a PAT of INR0.38 crore as against a total operating income of INR109.92 crore and PAT of INR0.23 crore during FY11. GALAXY OFFSET: CARE Assigns 'BB' Rating to Long-Term Bank Loans --------------------------------------------------------------- CARE assigns 'CARE BB' and 'CARE A4' ratings to the bank facilities of Galaxy Offset India Private Limited. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 7.42 CARE BB Assigned Short-term Bank Facilities 0.66 CARE A4 Assigned Long/Short-term Bank 16.00 CARE BB/CARE A4 Facilities Assigned Rating Rationale The ratings assigned to the bank facilities of Galaxy Offset India Private Limited are primarily constrained by its small scale of operations, customer concentration risk, moderate financial risk profile marked by declining profitability margins, moderate capital structure, comfortable liquidity position & and coverage indicators and moderate operating cycle. The ratings are further constrained by stabilization issues in its enhanced capacity, susceptibility to volatile raw material prices and presence in highly fragmented and competitive industry. The ratings, however, draw comfort from experienced promoters with demonstrated financial support in the past, reputed client base and growing total operating income. Going forward, the ability of GOIL to increase its scale of operations while improving profitability, continuation of its relationship with its key customers and stabilization of expansion project would be the key rating sensitivities. GOIL was established in the year 1995 as a partnership firm and later on converted to private limited company in the year 2001. The company was promoted by Mr. S.C. Gulati (aged 70 years) and his three sons; Mr. Aman Gulati, Mr. Amit Gulati and Mr. Vikas Gulati. The company has offset printing press with installed capacity of 2.25 lakh sheet/ day and primarily deals in general, commercial and color craft printers. The company's product profile ranges from publishing of books, magazine, printed box, brochures, catalogue, posters, calendars, diaries, leaflets, folders, labels, danglers, wobblers and credit card kits. HANUMAN COTTON: CARE Reaffirms 'B' Rating on INR6.49cr LT Loans --------------------------------------------------------------- CARE reaffirms the rating assigned to the bank facilities of Hanuman Cotton Industries. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 6.49 CARE B Reaffirmed Short-term Bank Facilities 2 .00 CARE A4 Reaffirmed 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 a change in case of withdrawal of capital or the unsecured loans brought by the partners in addition to the financial performance and other relevant factors Rating rationale The ratings assigned to the bank facilities of Hanuman Cotton Industries continue to remain constrained on account of its weak financial risk profile characterized by highly leveraged capital structure, thin profitability and weak debt protection metrics. Furthermore, the ratings are constrained on account of its presence in the highly competitive and fragmented cotton-ginning business with limited value addition, volatility associated with raw material prices and impact of changes in the government policy for cotton. The above constraints continue to far offset the benefits derived from the experience of the partners in cotton-ginning business and proximity to cotton-producing region of Gujarat. HCI's ability to increase its scale of operations in light of competitive nature of the industry along with improvement in the financial risk profile remains the key rating sensitivity. HCI was constituted in March 2006 as a partnership firm by the Vekaria family based out of Amreli (Gujarat) by eight partners with unequal profit and loss sharing agreement among them. HCI is primarily engaged in cotton ginning & pressing activities with an installed capacity of 10,886 Metric Tonnes Per Annum (MTPA) for cotton bales and 18,380 MTPA for cotton seeds as on March 31, 2012, at its manufacturing facility located at Savarkundla in Amreli district (Gujarat). During FY12, HCI established an oil- seed crushing facility with a capacity of 1,381 MTPA for wash oil which was completed in April 2012. KINGFISHER AIRLINES: Founder to Use Diago Proceeds to Pay Debt -------------------------------------------------------------- George Smith Alexander & Anto Antony at Bloomberg News report that Vijay Mallya, founder of Kingfisher Airlines Ltd., will use proceeds from the sale of a stake in United Spirits Ltd. to pare the Indian carrier's $1.6 billion debt, reversing his earlier stand, as lenders mount pressure. Bloomberg relates that Prakash Mirpuri, a spokesman for Mallya's UB Group, said in an emailed response that Mr. Mallya is in discussions with banks "on ways to bring down their exposure, inter alia, from the proceeds of the Diageo transaction." The group has not got any "formal communication" from the banks, he said. According to Bloomberg, Diageo Plc in November agreed to pay INR111.7 billion to acquire a 53.4% stake in India's biggest whiskey maker, which is controlled by Mallya. Pratip Chaudhuri, chairman of State Bank of India, one of Kingfisher's creditors, said yesterday that lenders can sell shares of United Spirits and other group companies held as collateral to recover part of the loans, Bloomberg relates. Mr. Mallya said in November that he will address Kingfisher Airlines' needs "separately" from the Diageo deal and the proceeds from the stake sale will not be used to pay Kingfisher Airlines dues, Bloomberg recalls. Indian lenders will start the recovery process on the loans to Kingfisher, Shyamal Acharya, deputy managing director of State Bank of India said in an interview to Bloomberg TV India on Feb. 13. The carrier had INR86.3 billion of debt at the end of September, according to data compiled by Bloomberg. The airline, which grounded planes on Oct. 1, posted a loss of 7.55 billion rupees in the quarter ended Dec. 31, widening from 4.4 billion rupees a year earlier. About Kingfisher Airlines Headquartered in Mumbai, India, Kingfisher Airlines -- http://www.flykingfisher.com/-- formerly known as Deccan Aviation Ltd., served about 35 domestic destinations with a fleet of more than 40 aircraft, including Airbus jets and ATR 72 turboprops. It maintained bases in major cities such as Delhi and Mumbai. * * * Kingfisher Airlines, which has been unprofitable since it was created in 2005, accumulated losses of $1.9 billion between May 2005 and June 30, 2012, 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 reported. LAJ EXPORTS: CARE Assigns 'BB' Rating to INR4.95cr LT Loans ----------------------------------------------------------- CARE assigns 'CARE BB' and CAREA4+' rating to the bank facilities of LAJ Exports Limited. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 4.95 CARE BB Assigned Long-term/ Short-term 0.50 CARE BB/ CARE A4+ Bank Facilities Assigned Short-term Bank Facilities 21.00 CARE A4+ Assigned Rating Rationale The ratings assigned to the bank facilities of Laj Exports Limited are primarily constrained by leveraged capital structure, geographical concentration risk and working capital intensive nature of operations. The ratings are further constrained by the company's exposure to raw material price volatility, its fortunes linked to the textile industry and exposure to foreign exchange fluctuation risk. The ratings, however, draw comfort from the experienced promoters and established relationship with reputed customer base. Going forward, the ability to profitably scale up the operations while controlling the input cost, efficient working capital management and improving the capital structure while managing its foreign exchange fluctuation risk are the key rating sensitivities. Laj Exports Limited is a closely-held public limited company incorporated in February 2004. LEL is promoted by Mr. R.K. Aneja and Mr. N.K. Aneja (brother of Mr. R. K Aneja). Mr. R.K. Aneja (Chairman) looks after the overall affairs of the company. Mr. N.K. Aneja (Managing Director) and Mr. Suvrat Bidani (Director) look after the finance and procurement department and production department respectively. They are further supported by Mr. Juginder Vij (Director) and Ms Beena Mehra (Director), who are looking after logistics and marketing department, respectively. The company has its manufacturing facility located at Noida (UP) and Bangalore (Karnataka). The company is engaged in manufacturing of knitted fabric garments (men, women and kids wear) and the main products are shirts & trousers (men), tops, bottoms, skirts and blouses (women), and t-shirts and shirts (kids). The main raw materials of the company are yarns and fabrics which are mainly procured from Punjab, Haryana, Rajasthan and Bangalore as well as imported as per the requirements of the customers. LAKSHAYA ENTERPRISE: CARE Puts 'B+' Rating on INR5cr LT Loans ------------------------------------------------------------- CARE assigns 'CARE B+' rating to the bank facilities of Lakshaya Enterprise. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 5 CARE B+ Assigned The rating assigned by CARE is based on the capital deployed by the partners and the financial strength of the firm at present. The rating may undergo change in case of the withdrawal of capital or the unsecured loans brought in by the partners in addition to the financial performance and other relevant factors. Rating Rationale The rating assigned to the bank facilities of Lakshaya Enterprise is primarily constrained on account of the project implementation and salability risk associated with its ongoing real estate project -- 'Avdhoot Avenue' coupled with lower booking advances and the inherent risk associated with the real estate industry. The rating, however, favourably takes into account the partners' experience in the real estate development industry. Successful completion of the project as per the schedule and within the envisaged cost parameters along with timely receipt of booking advances and sale of the units at envisaged prices are the key rating sensitivities. LKE, incorporated as a partnership firm in December 2010, is promoted by Mr. Jamnadas Patel, Mr. Hareshbhai Patel, Mr. Daishikbhai Patel, Ms Sheetal Patel and Ms Rekhaben Patel. Mr. Bhalchandra Patel was added as a new partner in April 2012 who is currently looking after the overall operations. LKE is engaged in the real estate development and is currently executing its first project named 'Avdhoot Avenue' at Bharuch, Gujarat, which comprises of 60 bungalows. The total saleable area of the project is 1.66 lakh sq ft (approximately). LKE has received approvals for land and other relevant clearances for the project. LATIN MANHARLAL: CARE Reaffirms 'BB' Long-Term Loan Rating ---------------------------------------------------------- CARE reaffirms the rating assigned to the bank facilities of Latin Manharlal Securities Pvt Ltd. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Loan Facilities 15 CARE BB Reaffirmed Short-term Loan Facilities 49 CARE A4 Reaffirmed Rating Rationale The ratings are constrained by LMSPL's high dependence on capital markets leading to volatile revenues and profitability, significant proportion of proprietary trading book, increasingly competitive stock broking business and small scale of operations. The rating is further constrained by evolving risk management systems and geographical & product concentration. The ratings factor in LMSPL's experienced management team, strong client base and moderate solvency position. Profitability, scale of operations, improvement in risk management systems, geographical diversification and product diversification are the key rating sensitivities. Latin Manharlal Securities Pvt Ltd is a Mumbai-based stock broking company. Mr. Latin Manharlal Shah promoted the business of stock broking in year 1989 as a proprietary firm and later in 1997 the firm was corporatized. Business of LMSPL is concentrated in Mumbai and Gujarat. LMSPL is a trading and clearing member registered with Bombay Stock Exchange Limited (BSE) and National Stock Exchange of India Limited under cash, future and options segments. LMSPL is also registered as a trading member under currency derivative segment with NSE (currency), MCX Stock Exchange of India Ltd and United Stock Exchange of India Ltd. Apart from stock broking, it also provides depository services, being a depository participant with Central Depository Services Limited, portfolio management services and wealth management services. LMSPL primarily operates in two business segments viz Proprietary Investments & Trades and Retail Clientele Broking. The proportion of proprietary investments & trades (including jobbing) was high during FY12 (April 1, 2011 to March 31, 2012). LMSPL reported a loss of INR11.93 crore in FY12 as compared to a PAT of INR0.82 crore in FY11. NUTECH ENGINEERING: CARE Reaffirms 'BB-' LT Bank Loan Rating ------------------------------------------------------------ CARE reaffirms the rating assigned to the bank facilities of Nutech Engineering Technologies Limited. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 21.06 CARE BB- Reaffirmed Short-term Bank Facilities 7.50 CARE A4 Reaffirmed Rating Rationale The ratings continue to be constrained by the relatively small scale of operations with low capitalization, moderately high debt level and working capital intensive nature of operations. The ratings are further constrained by the operations in a highly competitive & fragmented industry. The ratings continue to derive strength from the experienced management and their financial support in the past and well-established relationship with reputed customers. The ability of Nutech Engineering Technologies Limited to improve the overall financial risk profile along with efficient management of working capital cycle are the key rating sensitivities. Incorporated in 1986, Nutech Engineering Technologies Ltd. (NETL) is engaged in the business of manufacturing air conditioning ventilations and exhaust system equipment like air handling units, centrifugal fans and other. The products of the company are customized as per the requirement of the client, and they find applications in various industrial establishments like shopping malls, hotels, hospitals and corporate offices. NETL sources the required key parts viz motor, filters and pulleys for assembling the AHU from various domestic suppliers & the revenue also is predominantly generated from domestic market. During FY12 (refers to the period April 1 to March 31), the total operating income of NETL stood at INR18.68 crore (vis-a-vis the total income of INR35.02 crore in FY11) and PAT at INR0.85 crore (vis-a-vis PAT of INR1.01 crore in FY11). In H1FY13, the company has posted a total income of INR19.64 crore and PBT of INR4.16 crore. The company also has an order book amounting to INR32 crore as on December 31, 2012. PARSHWANATH DYECHEM: CARE Reaffirms BB+ Rating on INR7.57cr Loan ---------------------------------------------------------------- CARE reaffirms the rating assigned to the bank facilities of Parshwanath Dyechem Industries Private Limited. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 7.57 CARE BB+ Reaffirmed Long-term/ Short-term 4.50 CARE BB+/CARE A4+ Bank Facilities Reaffirmed Rating Rationale The ratings assigned to the bank facilities of Parshwanath Dyechem Industries Private Limited continue to remain constrained on account of its presence in a highly competitive and fragmented dyes and pigment industry, and susceptibility of profitability to volatility in raw material prices as most of these are derivatives of crude oil. The ratings are further constrained on account of implementation and stabilization risks associated with the ongoing debt-funded capacity expansion project. The constraints continue to far offset the benefits derived from the rich experience of the promoters in the dyes and pigment industry, moderate financial risk profile and its presence in the dyes and chemical cluster of Ahmedabad (Gujarat). Completing its expansion project within the revised time frame, the increase in the scale of operations with sustained profitability in the light of growing competition within the industry and volatile input costs remains the key rating sensitivity. PDIPL, based in Ahmedabad (Gujarat), was promoted by Mr. Rajesh Jobaliya and his brother Mr. Hitesh Jobaliya during 1991. The promoters were initially engaged in the trading of dyes and pigment through proprietorship firm M/s Parshwanath Chemical from 1981. Later, during 1991, the promoters forayed into manufacturing of dyes and pigment through PDIPL. PDIPL has installed capacity of 600 Metric Tonnes Per Annum (MTPA) for phthalocyanine green and 480 MTPA for solvent dyes as on March 31, 2011, at its manufacturing facility located at GIDC Vatva, Ahmedabad. During Q2FY11 (refers to the period April1 to March 31), PDIPL undertook a project for capacity expansion at its existing manufacturing facility to increase the installed capacity of Phthalocyanine Green to 1,200 MTPA and Solvent Dyes to 960 MTPA. REDDY & REDDY: CARE Reaffirms 'BB-' Rating on INR9.12cr LT Loans ---------------------------------------------------------------- CARE reaffirms ratings assigned to the bank facilities of Reddy & Reddy Motors. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 9.12 CARE BB- Reaffirmed Short-term Bank Facilities 1.0 CARE A4 Reaffirmed Rating Rationale The ratings reaffirmed by CARE are based on the capital deployed by the partners and the financial strength of Reddy & Reddy Motors as on March 31, 2012. The ratings may undergo a change in case of withdrawal of capital by the partners in addition to the financial performance and other relevant factors. The ratings are constrained by the partnership nature of the firm, limited track record and small scale of operations; working capital intense operations and low margins associated with automobile dealerships. However, the ratings positively factor in the experienced partners and authorized dealership of Maruti Suzuki India Ltd (market leader in passenger car segment in India). Continuation of the agreement with MSIL and the ability of the company to increase the turnover, volumes and timely enhancement of working capital needs in-line with operations will be the key rating sensitivities. Reddy & Reddy Motors (RRM) is a partnership firm, started in February 2010 by Mr. G Ramakrishna Reddy, Mr. G Venkata Reddy and Mr. Sreerama Reddy. RRM is an authorized dealer of Maruti Suzuki India Limited in Eluru (Andhra Pradesh). It commenced its operations in June 2010 with a showroom in Eluru. RRM belongs to the Reddy & Reddy Group which is into trading activities like Prawns feed, authorized dealer of MSIL and Hero Honda and also has button manufacturing unit in Kakinada. The group's total turnover was around INR210 crore in FY12. Mr. Ramakrishna is the Managing Partner of the firm. During FY12 (refers to the period April 1 to March 31), RRM has made a PAT of INR0.08 crore on a total income of INR42.43 crore and RRM during 9MFY13 has made a PAT of INR0.08 crore on a total income of INR36.42crore. SHREE KALKA: CARE Rates INR9.5cr Long-Term Loan at 'CARE B' ----------------------------------------------------------- CARE assigns 'CARE B' rating to the bank facilities of Shree Kalka Fibers Private Limited. Amount Facilities (INR crore) Ratings ----------- ----------- ------- Long-term Bank Facilities 9.50 CARE B Assigned Rating Rationale The rating assigned to the bank facilities of Shree Kalka Fibers Private Limited is primarily constrained by project stabilization risk, presence in highly fragmented cotton yarn industry, susceptibility of profit margins to cotton price fluctuations, seasonality associated with cotton availability and regulatory risk. The rating, however, derives strength from the long & established track record and the group's extensive experience in the cotton industry. The ability of SKF to achieve its projected revenue, profitability and manage volatility associated with the cotton prices along with working capital and liquidity management and withdrawal of unsecured loans from the promoters or increase in the exposure to group entities are the key rating sensitivities. Incorporated in August 2007, SKF was promoted by Mr. Shyamsunder Tayal and is engaged in cotton ginning and pressing. SKF has recently completed a Greenfield project on Jan. 1, 2013, of INR7.09 crore. The company's plant is located in Georai district, Beed, Maharashtra, for processing of raw cotton with a capacity to produce 250 bales of cotton per day. As per the provisional results (January 1 to January 25, 2013), the company has achieved total revenue ofINR3.63 crore and net loss of around INR0.64 crore. ================= I N D O N E S I A ================= BERLIAN LAJU: Move to Dismiss U.S. Bankruptcy Pushed by Creditors ----------------------------------------------------------------- Bill Rochelle, the bankruptcy columnist for Bloomberg News, reports that PT Berlian Laju Tanker Tbk is asking the U.S. Bankruptcy Court in New York to dismiss the involuntary Chapter 11 bankruptcy reorganization filed on Dec. 13 by three creditors with a combined $125.5 million in debt. In March, PT Berlian put about a dozen subsidiaries into Chapter 15 proceedings in Manhattan to complement a bankruptcy reorganization in Indonesia, where the companies are based. In April the U.S. Bankruptcy Judge determined that Indonesia is home to the foreign main proceeding for the operating subsidiaries. In June Indonesian bank PT Bank Mandiri (Persero) Tbk began involuntary bankruptcy proceedings in Indonesia against the PT Berlian parent. According to the report, the parent is arguing that the U.S. involuntary Chapter 11 should be dismissed because the petition wasn't filed by the required three creditors. The company contends that the three petitioning creditors are affiliated alter egos of one another and should be considered as one creditor. Alternatively, the company wants U.S. Bankruptcy Judge Stuart Bernstein to abstain, or refuse to move forward with the involuntary Chapter 11 and in effect defer to the proceedings in Indonesia. The company, the report relates, said in papers filed Feb. 12 that the creditors filing the involuntary petition in the U.S. have been "active participants" in the Indonesian bankruptcies. The reasons for dismissal are unclear because the company filed all the dismissal papers under seal. Judge Bernstein scheduled a hearing on Feb. 26 to decide whether some or all of the dismissal papers should be unsealed. About PT Berlian Creditors of PT Berlian Laju Tanker Tbk filed an involuntary Chapter 11 bankruptcy petition in U.S. Bankruptcy Court against the Indonesian ship operator (Bankr. S.D.N.Y. Case No. 12-14874) on Dec. 13, 2012. The petition was filed by Gramercy Distressed Opportunity Fund II, Gramercy Distressed Opportunity Fund, and Gramercy Emerging Markets Fund. The creditors, all located in Greenwhich, Conn., are allegedly owed $125.5 million. PT Berlian Laju Tanker Tbk is the largest Indonesian shipping company, focusing on liquid bulk cargo, with operations primarily in Asia with some expansion into the Middle East and Europe. Indonesia-based PT Berlian Laju Tanker Tbk filed Chapter 15 bankruptcy petitions in New York for subsidiaries (Bankr. S.D.N.Y. Lead Case No. 12-11007) on March 14, 2012, to prevent creditors from seizing the company's vessels when they call on U.S. ports. Cosimo Borrelli, appointed vice president for restructuring for PT Berlian, signed the Chapter 15 petitions for Chembulk New York Pte Ltd and 12 other entities. The Berlian group operates 72 vessels, of which 50 are owned. In January 2012, the Berlian Group violated covenants under a $685 million loan agreement. Creditors took steps to arrest certain vessels operated by companies in the Berlian Group. In order to prevent ship arrests and other collection efforts, the Berlian Group initiated proceedings in the High Court of the Republic of Singapore on March 12, 2012. The Singapore court entered orders prohibiting for three months any arrest of vessels or collection effort. The Berlian Group filed the Chapter 15 petitions to obtain entry of an order enjoining creditors from seizing vessels that are at port in the United States. The Debtors do not have assets in the U.S. other than the transitory basis vessels that are in the U.S. The U.S. Bankruptcy Judge in April 2012 ruled that Indonesia is the home to the so-called foreign main proceeding. ========= K O R E A ========= DAEWOO ELECTRONICS: Dongbu Completes Takeover, Names New Chief -------------------------------------------------------------- Yonhap News Agency reports that South Korean conglomerate Dongbu Group on Friday completed its acquisition of Daewoo Electronics Corp. and tapped a new chief for the country's third-largest home appliance maker. Following a board meeting and a shareholder's meeting on Feb. 14, the group said it has nominated Lee Jai-hyong, the vice chairman of Dongbu Lightec Co. and Dongbu LED Co., as the new head of Daewoo Electronics. Dongbu Group last month signed a contract to take over Daewoo Electronics Corp., ending a decade-long search for a buyer for the electronics firm, Yonhap reported. 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. 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. HANIL ENGINEERING: Files for Court Receivership ----------------------------------------------- Yonhap News Agency reports that Hanil Engineering & Construction Co., a mid-sized South Korean builder, said Friday it has filed for court receivership as part of its efforts to get back on its feet. The news agency says the move came days after the troubled builder posted a net loss of KRW298.8 billion (US$274 million) last year, compared with a net loss of KRW23.6 billion in 2011. The heavy losses stemming from piles of unsold apartments have wiped out the builder's capital base, Yonhap relates. According to the report, the builder said in a regulatory filing that the Seoul Central District Court is scheduled to decide whether to approve its request, though it did not give any specific time frame. Yonhap notes that the Korea Exchange suspended trading of Hanil E&C on Feb. 5, citing its capital erosion. The ailing builder could face delisting unless it comes up with measures to recover from capital erosion by April 1. Hanil Engineering & Construction Co. is a mid-sized South Korean builder. ==================== N E W Z E A L A N D ==================== AORANGI SECURITIES: HMF Investors to Get Capital Back ----------------------------------------------------- BusinessDesk reports that investors in the frozen Hubbard Management Funds will get all of their capital back, though anyone who's already been paid more than what they put in won't get anything more. According to BusinessDesk, statutory managers Graeme McGlinn, Richard Simpson and Trevor Thornton of Grant Thornton said 208 of the 300 investors who faced a potential loss will get 100% of their principal, and on Feb. 15 paid 10 cents in the dollar, or NZ$2.1 million. BusinessDesk notes that the payment comes after the High Court determined how investors would be repaid in December in a decision that wasn't appeal. An initial NZ$9 million distribution was paid last year, the report relays. "This will come as an enormous relief to investors, who have been uncertain about repayments since the fund was put into statutory management," BusinessDesk quotes the statutory managers as saying. "Once all capital return pool payments are completed, we will reassess the value of the remaining assets and confirm the entitlement calculation for each investor to the surplus pool assets." The fund's portfolio was valued at NZ$40.75 million as at December 31, and the managers decided to reduce and realign larger holdings in that month, BusinessDesk discloses. About Aorangi Securities Aorangi Securities Ltd was incorporated in 1974 and is solely controlled by the Hubbards. On June 20, 2010, Aorangi Securities and seven charitable trusts were placed into statutory management, and Allan and Jean Hubbard were also placed into statutory management as "associated persons" of those entities. The seven charitable trusts included in the statutory management are Te Tua, Otipua, Oxford, Regent, Morgan, Benmore and Wai-iti. Trevor Thornton and Richard Simpson of Grant Thornton were appointed as statutory managers. The Temple Bar Family Trust and Barns Charitable Trust were also put into statutory management in September 2010 on recommendation from the Securities Commission. Hubbard Churcher Trust Management and Forresters Nominees Company were also added to the list of businesses under management by Trevor Thorton, Richard Simpson and Graeme McGlinn, of Grant Thornton, on September 20, 2010. On June 20, 2011, the Serious Fraud Office laid 50 charges under Crimes Act against Allan Hubbard in relation to its investigation into the affairs of Aorangi Securities Ltd; Hubbard Management Funds; and ASL directors Allan and Margaret (Jean) Hubbard. The SFO dropped the fraud charges against Allan Hubbard following Mr. Hubbard's death on Sept. 2, 2011. Mrs. Hubbard was also removed from statutory management, effective on Nov. 13, 2011. Aorangi's statutory managers said 400 investors in the mortgage lender owed NZ$96 million were likely to face a substantial shortfall as many loans were in default. So far, statutory managers have paid just 12 cents in the dollar, The Timaru Herald reported. MAINZEAL PROPERTY: Owes NZ$4 Million to Horizon Subsidiary ---------------------------------------------------------- Stuff.co.nz reports that Horizon Energy said its wholly-owned Aquaheat subsidiary is staring at a maximum pre-tax loss of NZ$4 million from the collapse of Mainzeal Property and Construction. New Zealand's third biggest construction firm collapsed on Waitangi Day, leaving 400 staff, hundreds of sub-contractors and more than 40 building sites nationwide in the lurch. Aquaheat is a supplier of commercial and industrial heating and air conditioning services. According to the report, the receivership means Horizon Energy's losses will widen by another NZ$2.9 million in after tax terms, leaving it with a forecast bottom line profit of around NZ$500,000 for the 2013 financial year, well down on the NZ$6.4 million earned in the previous year. Stuff.co.nz relates that the firm said Aquaheat's expose relates to its role as a Mainzeal sub-contractor, and the retentions retained by the construction firm on both past and current contracts and outstanding accounts for December and January. "It is both fair and morally right for sub-contractors to have a right to recover their share of unpaid work directly from the client in such cases where the client has not paid Mainzeal," the report quotes Horizon Energy chairman Rob Tait as saying. "We will be discussing avenues to recover direct from the clients as much of our outstanding Mainzeal debt as possible". At the time of the receivership, Aquaheat had a total of 37 projects with Mainzeal that were in various stages of completion. Of this, 20 (worth about NZ$1 million) were completed and subject to retention payments, Stuff.co.nz discloses. About Mainzeal Property Mainzeal Property and Construction Ltd is a New Zealand-based property and construction company. The company forms part of the Mainzeal Group, which is owned by Richina Inc, a privately held New Zealand-based company with a strong China focus. Colin McCloy and David Bridgman, partners from PricewaterhouseCoopers, on Feb. 6, 2013, were appointed receivers to Mainzeal Property and Construction Limited and associated entities as a result of a request made by its director to BNZ. Mainzeal's director, Richard Yan advised that following a series of events that had adversely affected the Company's financial position coupled with a general decline in major commercial construction activity, and in the absence of further shareholder support, the Company could no longer continue trading. The receivers are currently in talks with some parties interested in buying the business and assets of Mainzeal, either as a whole or by segment. PENINSULA ROAD: Receivers Put Kawara Falls Station on Market ------------------------------------------------------------ Otago Daily Times reports that Peninsula Road Ltd receiver Grant Thornton has put stage two and three of Kawarau Falls Station, comprising 39,966 square meters of fully zoned and undeveloped land at Kelvin Heights, on the market. The property is being sold by Jones Lang LaSalle, the report says. Peninsula Road Ltd owned land earmarked for stages two and three of the NZ$1 billion Kawarau Falls development. It was placed in receivership on March 2, 2010. Tim Downes and Richard Simpson of Grant Thornton New Zealand Ltd were appointed receivers and managers of Peninsula Road. Stages two and three were mortgaged to Fortress Credit Corporation (Australia) Pty Limited. Kawarau Falls was owned by Auckland developer Nigel McKenna, who recently had several other companies placed into liquidation by creditors seeking payment. Two McKenna companies behind stage one of Kawarau Falls Station -- Melview (Kawarau Falls Station) Investments Ltd and Melview (Kawarau Falls Investments) Development Ltd, were also placed in receivership by Bank of Scotland International in May 2009. ================= S I N G A P O R E ================= STATS CHIPPAC: S&P Rates $640MM 5-Yr. Sr. Unsecured Notes 'BB+' --------------------------------------------------------------- Standard & Poor's Ratings Services assigned its 'BB+' long-term issue rating to a proposed exchange offer of up to US$640 million five-year senior unsecured notes by Singapore-based STATS ChipPAC Ltd. (BB+/Stable/--; axBBB+/--). Investors in the company's existing US$600 million notes can exchange them for the new notes. S&P's rating is subject to its review of the final issuance documentation. S&P has equalized the issue rating with its corporate credit rating on the company. Some operating subsidiaries of STATS ChipPAC will unconditionally and irrevocably guarantee the proposed notes under the exchange offer. As a result, S&P estimates the company's ratio of priority liability to total assets at 10.2% as of Dec. 30, 2012. This ratio is below S&P's notching threshold of 15% for speculative-grade companies. S&P deducts goodwill in excess of 10% of total assets in calculating STATS ChipPAC's total assets. S&P expects the company's Korean subsidiary to become a guarantor to the proposed notes after the issuance. STATS ChipPAC intends to use the notes' proceeds to refinance its existing notes. The corporate credit rating on STATS ChipPAC reflects the company's exposure to a cyclical semiconductor industry and severe competition. The rating also reflects the risk associated with STATS ChipPAC's high capital spending on advanced equipment to support anticipated customer requirements. Customer concentration is also high, with the company's top 10 customers accounting for more than 67% of revenues in 2012. Favorable long-term growth prospects of the outsourced semiconductor assembly and testing services industry and STATS ChipPAC's "significant" financial risk profile offset the above weaknesses. S&P assess the company's business risk profile as "fair." The corporate credit rating also incorporates potential support from STATS ChipPAC's majority shareholder, Temasek Holdings (Private) Limited, should the company need it. As a result, the rating on STATS ChipPAC is one notch above the company's stand- alone credit profile of 'bb'. S&P's base-case scenario assumes that Temasek will maintain its 83.8% ownership in the next two to three years. STATS ChipPAC's existing notes have a change-of- control clause. ********* 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, Psyche A. Castillon, 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 ***