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T R O U B L E D   C O M P A N Y   R E P O R T E R     
  
             A S I A   P A C I F I C      

    Thursday, April 16, 1998, Vol. 1, No. 41

                    Headlines


C H I N A   &   H O N G   K O N G

BEIREN PRINTING: Reports 1997 Results
BILLION INTERNATIONAL: Clarifies Shares Trading Date
KTP HOLDINGS: Announces Further Provisions
PAM & FRANK: Details on Capital Reduction


I N D O N E S I A

BANK NUSA: Plans Merger to Avoid Restructuring
STEADY SAFE: Shares Rise on Debt Rumor


K O R E A

KIA MOTORS: Under Court Receivership
KIA MOTORS: U.S. Entrepreneur Makes Offer
SAMSUNG GROUP: Plans for Foreign Capital


M A L A Y S I A

BESCORP INDUSTRIES BHD: Placed in Receivership
EKRAN BHD: Funds Used for Non-intended Purposes
MALAYAN UNITED: Sells Stake in South China Morning Post
SCK GROUP BHD: Placed in Receivership
SIME BANK: RHB Needs 2 Billion Ringgit for Deal


S I N G A P O R E

VIKAY INDUSTRIAL: Restructuring Underway


T H A I L A N D

BANGKOK KOMATSU: Rescue by Komatsu Forklift
SIAM UNITED: Japanese Investors To Take Controlling Stake


=================================
C H I N A   &   H O N G   K O N G
=================================

BEIREN PRINTING: Reports 1997 Results
-------------------------------------
For the period January 1, 1997 through December 31, 1997,
Beiren Printing Machinery Holdings Limited reports a net
profit of RMB$48,741,000 on turnover of RMB$444,252,000.
This compares to a net profit of RMB$73,029,000 on turnover
of RMB$396,124,000 for the corresponding 1996 period.

Since October 1997, due to changes in market demand, the
Group ceased all activities in the manufacturing of
pressing machines. The sales and operating results of the
pressing machines division up to 31 December 1997 and the
corresponding amounts for the year ended 31 December    
1996 were included in the financial statements under
discontinued operations.

The operating profit for the last corresponding period has
been reclassified to conform with the current year's
presentation.  (SEHK 14-Apr-1998)


BILLION INTERNATIONAL: Clarifies Shares Trading Date
----------------------------------------------------
We refer to the proposed rights issue announcement of the
Company dated 8th April, 1998 (the "Announcement"). We
would like to inform the shareholders and investors that
the correct date for trading in the shares of the Company
on an ex-rights basis is from Thursday, 23rd April, 1998
and not from Thursday, 30th April, 1998 as disclosed in the
Announcement.  (SEHK 14-Apr-1998)


KTP HOLDINGS: Announces Further Provisions
------------------------------------------
The directors of KTP Holdings Limited make further
provision of approximately US$30 million for the Group's
investment in Indonesia. On 14th March 1998, the Directors
of KTP made an announcement concerning the operations of
the Group's factories in Indonesia and stated that they
would assess the value of the Group's investment in
Indonesia as at 31st March 1998 to determine whether it was
necessary to make provision for any impairment to the value
of the Group's investment in Indonesia which stood at
approximately US$62 million as at 30th September 1997.

Based on the information currently available to them, the
Directors estimate that a further provision of
approximately US$30 million may be required to be taken up
in the Profit and Loss accounts of the Group in relation to
the Group's investment in the two factories in Indonesia
for the year ended 31st March 1998, but the amount of the
provision will not be finalized until the year end audit is
completed. The above further provision in addition to the
provision already made at the time of the interim results
of approximately US$12 million would reduce the Group's
total investment in Indonesia from approximately US$74
million to approximately US$32 million as at 31st March
1998. The Directors are constantly reviewing the Group's
operations in Indonesia but wish to stress that the
Directors do not have any immediate plan to cease the
Group's operations in Indonesia. To the best knowledge of
the Directors, they are not aware of any significant
contingent liabilities relating to the Group's operations
in Indonesia.

As a result of this substantial provision, the Group's
results for the year ended 31st March 1998 (which have yet
to be finalized and are expected to be announced on or
before 31st August 1998) may show a net loss (the Group's
unaudited interim results for the six months ended 30th
September 1997: net loss of HK$21.5 million). Barring
unforeseeable events, the Directors believe that the
working capital of the Group is adequate for its current
requirements after taking into account the existing banking
facilities available and the expected net proceeds of the
Rights Issue.  (SEHK 14-Apr-1998)


PAM & FRANK: Details on Capital Reduction
-----------------------------------------
Upon the Capital Reduction becoming effective on 10/4/98,
one out of every two shares of Pam & Frank International
Holdings Limited will be cancelled.  Effective from
Wednesday, 15/4/98, a temporary counter under stock code
2950 and stock short name "PAM & FRANK" will be established
for trading in board lots of 1,000 shares each (as
represented by existing share certificate) to replace the
previous counter (stock code: 431) for trading in board
lots of 2,000 shares each.

Members are requested to note that all existing share
certificates of the Company, in the colour of grey, for any
number of shares will be deemed to be certificates, and
will be effective as document of title, for one half of
that number of shares upon the Capital Reduction becoming
effective.  (SEHK 14-Apr-1998)


=================
I N D O N E S I A
=================

BANK NUSA: Plans Merger to Avoid Restructuring
----------------------------------------------
Bank Nusa, a subsidiary of the Bakrie Group, plans to merge
with another organisation to enable it to be excluded from
the list of 40 banks currently being supervised by the
Indonesian Banks Restructuring Agency (IBRA).

"We hope that through a merger we can improve the  
condition, so that in the coming three months we will be
able to get out from IBRA supervision," Aburizal Bakrie,
Bank Nusa owner, said here. Aburizal, who is also general
chairman of the Indonesian Chamber of Commerce and Industry
(Kadin), said he hoped that within the foreseeble future
the permit to be excluded from IBRA supervision could be
issued to enable it to continue to operate normally.

"The principal agreement has been issued, we now are  
awaiting the operational permit from the Finance Ministry,"
he said.

Plans are to merge Nusa Bank with other banks still within  
the Bakrie Group, notably Bank Nasional, Bank Nasional  
Komersil and Bank Angkasa.

Commenting on the pros and cons of announcing the names of  
the 40 unhealthy banks placed under IBRA supervision,
Aburizal did not see the need for the government to
announce the names lest it may create a "rush" to these
banks. Nonetheless, he felt IBRA efforts to make banks
healthy deserve the support of the bank owners included in
the list.  (Asia Pulse 15-Apr-1998)


STEADY SAFE: Shares Rise on Debt Rumor
--------------------------------------
PT Steady Safe (SAFE IJ): The Indonesian tax and bus
company rose as much as 25 rupiah to a five-month high of
525 amid speculation the it will be forgiven a large part
of its debt. A company executive said he couldn't explain a
75 percent rise in the shares this week, and shares ended
the day down 100 rupiah at 400.  (Bloomberg Japan Equity
Movers 15-Apr-1998)


=========
K O R E A
=========

KIA MOTORS: Under Court Receivership
------------------------------------
Bankrupt Kia Motors Corp., South Korea 's third- largest
carmaker, was placed under court receivership today as the
government stepped up efforts to weed out debt-ridden
conglomerates. The court decision was welcome news for
Kia's creditor banks who hoped to liquidate the carmaker
and its commercial vehicle arm, Asia Motors Co., and sell
them to domestic or foreign investors.

At least two South Korean conglomerates Hyundai and Samsung
have expressed interest in taking over the troubled
automaker, which produced 780,000 cars last year.

But Kia's 14,000 unionized workers immediately threatened
to go on strike, fearing that receivership will leave Kia
open to a takeover by a company that will lay off workers
and does not tolerate union activity. "Retract court
receivership!" about 200 workers shouted during a sit-in
protest in the company's head office in southern Seoul. The
workers, armed with metal pipes and wearing anti-government
headbands, distributed pamphlets denouncing the court
decision.

Kia's fate will depend largely on the policy of the
government, the largest shareholder with a 30 percent stake
in the company. Ford Motor Co. holds 16.9 percent.

Today, the Seoul District Civil Court stripped Kia of its
current management, installed an independent receiver and
ordered the company to draw up plans for rehabilitation
while all its assets were frozen.  (AP Online 15-Apr-1998)


KIA MOTORS: U.S. Entrepreneur Makes Offer
-----------------------------------------
A U.S. entrepreneur visiting Seoul formally offered to take
over or invest in the troubled Kia Motors Wednesday,
drawing keen attention from Korean groups out to acquire
the automaker. Bruce Pelkey, chairman of American
Consulting Group International (ACGI), said in a press
conference held in Seoul's Manhattan Hotel that his group
was considering options to either take over or invest in
Kia.

He said the Korean firm would be back on the right track if  
the ACGI injected US$500 million to $600 million into the  
company. The ACGI chairman added that he was set to have a
meeting with officials of the South Korean government on
the same day. The group, which holds 10 subsidiaries in the
United States, has invested $50 million to $100 million,
mainly in emerging markets.

Pelkey's visit to Seoul is to seek opportunities in the  
country, which is now ripe for an investment, according to  
him. Attending the press conference were also officials
from the ruling National Congress for New Politics.

The announcement of a bid for Kia Motors by ACGI sent such  
Korean heavyweights as Hyundai, Samsung and Daewoo, which
have made it clear they want to take over the automaker,
scurrying to ascertain the U.S. groups' moves through
various channels.  (Asia Pulse 15-Apr-1998)


SAMSUNG GROUP: Plans for Foreign Capital
----------------------------------------
The Samsung Group is to hike its introduction of foreign
capital to $3.7 billion to $4 billion this year to improve
its financial standing and finance new investments in its
core operations, a group spokesman said. Samsung originally
set its target of overseas fund raising at $2.5 billion,
which will be used to consolidate its financial structure,
but upped the figure to make additional investments in its
key sectors, including semiconductor. The proactive
introduction of foreign capital was initiated by the
group's chairman Lee Kun-hee.

Samsung plans to acquire foreign capital by having
foreigners form joint-venture operations with its core
units such as electronics, semiconductors and financials.  
The Korean conglomerate is to sell off its unprofitable
units to foreigners. With the strategy, Samsung will push
ahead to strike joint-venture deals between its core
companies and foreign funds and firms, including Goldman
Sachs, Intel and Ford.  (Korea Herald 16-Apr-1998)


===============
M A L A Y S I A
===============

BESCORP INDUSTRIES BHD: Placed in Receivership
----------------------------------------------
Construction and renovation company SCK Group Bhd --
controlled by Yeoh Lam Jit, the younger sibling of the star
of the latest Bond flick Tomorrow Never Dies -- yesterday
announced that it had been placed in the hands of
receivers. Separately, Multi-Purpose Bank Berhad issued a
winding-up notice to Bescorp Industries Berhad, a
manufacturer of building materials listed on the Second
Board.

A surge in interest rates following the plunge in the value
of the ringgit hit highly leveraged Malaysian companies who
had financed their expansion through borrowings during the
boom years. SCK yesterday said Messrs Lim Tian Huat and
Abdul Samad Alias have been appointed receivers and
managers of the company via a High Court order dated
Saturday. SCK, previously known as Shanghai Chong Kee, did
not elaborate. The receivership order came amidst a
boardroom tussle for control of the company.

According to a report in The Star daily last week, four
shareholders -- Low Chin Kiat, Leng Hoon, Samsuni Idris and
Wong Kok Poh -- claimed to have garnered more than 50 per
cent of the company in an attempt to unseat Mr Yeoh and his
team. Furthermore, SCK had earlier said that on-going "mega
projects and major hotel projects" in the country would
have a "favourable impact" on the group's results for its
current financial year. Mr Wong was the founder of the
group in the 1970s. It was listed on the Second Board in
1991.

As for Bescorp Industries, the winding-up petition did not
give any further details. According to its latest unaudited
interim results, Bescorp had registered a net loss of
RM35.5 million for the six months to June 1997, against a
profit of RM1.6 million during the same period in 1996.  
Interest on borrowings had shot up from RM2.3 million in
1996 to RM6 million in 1997.

Bescorp and SCK are heavily exposed to the property and
construction sectors. Both sectors are experiencing a sharp
liquidity crunch as banks switch off loans following Bank
Negara curbs on loans to unproductive sectors.
(Singapore BusinessTimes 15-Apr-1998)


EKRAN BHD: Funds Used for Non-intended Purposes
-----------------------------------------------
Ting Pek Khiing's Ekran Bhd -- which is being probed by the
Securities Commission -- has confirmed that it has used
part of the proceeds from its fund-raising exercise last
May for non-intended purposes. Mr Ting yesterday said in
the company's latest annual report that part of the
proceeds from the issues of shares, bonds and warrants have
been used for purposes other than as originally approved by
the SC.

He said this was because "these proceeds are no longer
required for such approved purposes due to a change in
circumstances subsequent to the receipt of the proceeds".
Mr Ting added that Ekran was in the midst of submitting a
report to the securities watchdog to seek approval for the
revised use of the proceeds. He did not disclose the
precise amount used or how the fund was utilised.

According to its balance sheet as at June 1997, Ekran has
RM1.348 billion in banks -- a shortfall of about RM118
million from the RM1.466 billion raised from the rights
issue. It also had a RM300 million bond issue. Rating
Agency of Malaysia yesterday said that Ekran has bought
back the bonds. Ekran had made the rights issue to raise
money to finance its 32 per cent stake in Bakun
Hydroelectric Company, the owner of the Bakun dam project
in Sarawak. The stake cost RM660 million.

It had also planned to use RM273 million to repay loans for
the acquisition of a 32.8 per cent stake in Wembley
Industries Holdings Bhd and RM155.6 million to subscribe to
Wembley's rights issue. The balance was supposed to become
working capital for some of its projects. However, Ekran
hit several snags. The Ministry of Finance shelved the
RM15.5-billion dam project to ease the pressure on the
country's current account gap.

Wembley was placed under receivership earlier this month
after failing to service debt of more than RM100 million.  
Ekran has declared an extraordinary loss of RM217.95
million for its investment in Wembley.

On Monday, Ekran announced a net loss of RM405.3 million
for the year ended June 1997 (TCRAP 15-Apr-1998). The
audited results differed sharply from its earlier
announcement of an unaudited net profit of RM93.4 million.  
The difference, analysts said, could be the sharpest ever
reported in Malaysia. Ekran yesterday said the loss was due
to the provision for costs incurred in the Bakun project.  
The government has agreed to compensate the developer for
work completed but negotiations are taking longer than
expected, it said.  (Singapore BusinessTimes 15-Apr-1998)


MALAYAN UNITED: Sells Stake in South China Morning Post
-------------------------------------------------------
In a move that analysts speculated could signal a need for     
cash in the current economic crisis, Malaysian tycoon Khoo     
Kay Peng's Malayan United Industries Bhd (MUI) has sold a
15.15 per cent stake in Hongkong's South China Morning Post
(Holdings) Ltd (SCMP) for RM631.5 million (S$273.2
million). The stake of 262.28 million shares was divested
through stockbrokers and agents from Dec 29 to April 14.
The stake was sold at an average price of HK$5.12 apiece, a
slight discount to SCMP's closing price yesterday of
HK$5.25. MUI said it still holds 140.898 million shares or
an 8.14 per cent stake in the Hongkong-listed company
through its wholly-owned unit, MUI Media Ltd.

The sale was prompted by the need for MUI Media to trim its
borrowings. MUI said that from the proceeds, HK$713.46
million (S$146.8 million) will be used to retire MUI
Media's term loan while the balance will be used to finance
further strategic acquisitions.

Analysts contacted were surprised by the sale of the
profitable SCMP, which publishes Hongkong's top daily
newspaper, the South China Morning Post. And as MUI does
not generate a large following among stockbrokers, analysts
said they were not sure if the reclusive Mr Khoo needs to
augment cashflow.

Last month, MUI posted a group net loss of RM25.8 million
for the year ended Dec 31, 1997, overturning a profit of
RM60.7 million in the previous year,

The MUI group's first foray into the publishing business
began in April 1994 when Mr Khoo bought a 15.1 per cent
stake in Hongkong's premier daily publisher from media
mogul Rupert Murdoch for HK$1.036 billion. He accumulated
another 5 per cent from Singapore Press Holdings Ltd the
following month and raised his stake to about 23 per cent
in July 1995 through open market purchases. Together with
tycoon Robert Kuok's last known stake in the newspaper
company of nearly 35 per cent, Malaysian interests in SCMP
still amounts to about 40 per cent.  (Singapore
BusinessTimes 15-Apr-1998)


SCK GROUP BHD: Placed in Receivership
-------------------------------------
Construction and renovation company SCK Group Bhd --
controlled by Yeoh Lam Jit, the younger sibling of the star
of the latest Bond flick Tomorrow Never Dies -- yesterday
announced that it had been placed in the hands of
receivers. Separately, Multi-Purpose Bank Berhad issued a
winding-up notice to Bescorp Industries Berhad, a
manufacturer of building materials listed on the Second
Board.

A surge in interest rates following the plunge in the value
of the ringgit hit highly leveraged Malaysian companies who
had financed their expansion through borrowings during the
boom years. SCK yesterday said Messrs Lim Tian Huat and
Abdul Samad Alias have been appointed receivers and
managers of the company via a High Court order dated
Saturday. SCK, previously known as Shanghai Chong Kee, did
not elaborate. The receivership order came amidst a
boardroom tussle for control of the company.

According to a report in The Star daily last week, four
shareholders -- Low Chin Kiat, Leng Hoon, Samsuni Idris and
Wong Kok Poh -- claimed to have garnered more than 50 per
cent of the company in an attempt to unseat Mr Yeoh and his
team. Furthermore, SCK had earlier said that on-going "mega
projects and major hotel projects" in the country would
have a "favourable impact" on the group's results for its
current financial year. Mr Wong was the founder of the
group in the 1970s. It was listed on the Second Board in
1991.

As for Bescorp Industries, the winding-up petition did not
give any further details. According to its latest unaudited
interim results, Bescorp had registered a net loss of
RM35.5 million for the six months to June 1997, against a
profit of RM1.6 million during the same period in 1996.  
Interest on borrowings had shot up from RM2.3 million in
1996 to RM6 million in 1997.

Bescorp and SCK are heavily exposed to the property and
construction sectors. Both sectors are experiencing a sharp
liquidity crunch as banks switch off loans following Bank
Negara curbs on loans to unproductive sectors.
(Singapore BusinessTimes 15-Apr-1998)


SIME BANK: RHB Needs 2 Billion Ringgit for Deal
-----------------------------------------------
Malaysian financial services group Rashid Hussain needs up
to 2 billion Malaysian ringgit (S$865.2 million) to acquire
and recapitalise the troubled Sime Bank Bhd, analysts said
yesterday. They said the huge price tag was largely holding
up the conclusion of the deal between Rashid Hussain and
Sime Bank's owners, Sime Darby and KUB Malaysia.

Rashid, which is three weeks overdue from its own deadline
for announcing the funding plan, on Monday again delayed
revealing the details by requesting the Kuala Lumpur Stock
Exchange to extend the suspension of trading in its shares.  
While some analysts said Rashid was facing problems
arranging the money, others say the delay was probably over
the financial situation at the ailing Sime Bank. "They will
probably need 1.5 to 2 billion ringgit for the whole
exercise. It is not clear how Rashid will raise the money
in the present market," said an analyst. But, the head of
research at a foreign brokerage here said the amount to be
raised was not large for the Rashid group. "Sime Bank
probably needs to make more provisions than they have done
so far. Quantifying that is what they are looking at," he
said.   (Singapore BusinessTimes 15-Apr-1998)


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

VIKAY INDUSTRIAL: Restructuring Underway
----------------------------------------
More than 10 local and foreign investors have expressed
interest in restructuring Sesdaq-listed liquid crystal
display maker Vikay Industrial, which is under judicial
management. They include Singapore companies and others
listed in Hongkong, Taiwan and the US, Vikay deputy
managing director Marcus Tanihaha told The Straits Times.
Vikay owes 17 banks $113.53 million and it went into
judicial management in December following a petition by
creditors. Its stock was suspended from trading in
November.

Investors have until next Friday to submit proposals and by
mid-May, the successful candidate will enter into an
agreement with the judicial managers -- KPMG Peat Marwick
partners Bobby Chin, Tham Sai Choy and Michael Ng. KPMG's
Mr Tham said: "We are working on a restructuring which will
allow creditors to be paid and the shares of Vikay to be
relisted." The details of Vikay's restructuring will depend
on the outcome of negotiations with investors, he added.

The judicial managers have obtained a court extension until
July 30 to present a restructuring proposal to Vikay's
creditors and shareholders. The plan is expected to include
a scheme for payment of liabilities and the injection of
new capital into the company, which produces LCD display
systems for multinational electronics firms.

Vikay had obtained the Stock Exchange of Singapore's
permission to announce its results for the year ended Dec
31, 1997, by April 30 instead of end-March. For the six
months ended June 30, 1997, Vikay incurred a loss of $14.8
million, despite sales of $51.8 million.

This was due to a delay in the commissioning of a
production line, two postponed orders and one that was
cancelled. Mr Tanihaha said Vikay had maintained a positive
cash flow during its four months of judicial management,
thanks to arrangements to speed up collections from
customers and cash advances. Sales had been maintained and
costs pared down, he said.

He said Vikay had retrenched more than 100 staff at its
Singapore plant in late December. It still employs 4,300
workers at its plants in Johor Baru and Shenzhen. Vikay
shares were last traded at 19 cents.  (The Straits Times
15-Apr-1998)


===============
T H A I L A N D
===============

BANGKOK KOMATSU: Rescue by Komatsu Forklift
-------------------------------------------
Komatsu Ltd. plans to assist a struggling group company in
Thailand. The firm, Bangkok Komatsu Industries Co., is 44%
owned by Komatsu Forklift Co. As a result of the turmoil in
Southeast Asian currency markets, Bangkok Komatsu has
incurred foreign exchange losses on its $US10 million worth
of dollar-denominated borrowing, and reported a net loss of
30 million baht for the year ended March 1998. As a result,
there is a strong likelihood that the affiliate now has a
negative net worth.

Bangkok Komatsu is presently capitalized at 200 million  
baht. The company hopes to raise an additional 150 million  
baht, of which 77 million baht will be provided by Komatsu,
32 million baht by Komatsu Forklift, and the remainder by
local companies.  (Asia Pulse 15-Apr-1998)


SIAM UNITED: Japanese Investors To Take Controlling Stake
---------------------------------------------------------
Nippon Steel Corp. and other Japanese companies plan to
boost their holding in Siam United Steel Co. to a majority
53% (from 37%) to take control of the cold-rolled plate
venture, sources at the Japanese investors said Tuesday.
Due to the collapse of the local currency, the financial
burden on their Thai partners has become severe. Japanese
investors in Siam United include Nippon Steel and Kawasaki
Steel Corp. (5403); local partners such as Siam Cement and
Thai Tinplate hold a combined 60% of the company, set up in
1995.

Nippon Steel will increase its share to 31.25% (from 26%)
the sources said; Kawasaki will probably buy an additional
1.5% of the firm, raising its share to 8.5%. Siam Cement is
at present the largest shareholder at 31.25%.

The venture, which is building a plant with an annual
capacity of 1 million tons in Rayong, is to supply steel
plate to local appliance and auto plants from November.
(Nihon Keizai Shimbun 15-Apr-1998)



S U B S C R I P T I O N   I N F O R M A T I O N

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