/raid1/www/Hosts/bankrupt/TCRAP_Public/980817.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, August 17, 1998, Vol. 1, No. 123

                    Headlines


C H I N A   &   H O N G   K O N G

THE CIVILIZATION BOOK STORE: Winding-up notice
EXPRESS MARINE ELECTRONICS: Winding-up petition
INTERFORM CERAMICS: Interform in talks on equity injection
MANAGER INTERNATIONAL COMPANY: Winding-up notice
YAOHAN INTERNATIONAL: Most Yaohan assets pledged to banks

ZHENGSHOU TEXTILE MILL: Bankrupt mill sold for 166 m. yuan             


I N D O N E S I A

GARUDA: Returns leased Boeing planes
SEMPATI AIR: Sempati Air assets may be frozen over debts


J A P A N  

HOKKAIDO TAKUSHOKU BANK: North Pacific to boost capital
MITA INDUSTRIAL: US company takes charge for Mita debt
SHOWA PLASTICS: Goes under with debts of 18 billion yen


K O R E A

FOREIGN EXCHANGE CARD: Companies' credit ratings lowered
HAITAI CONFECTIONERY: Creditors to convert debt to equity
HANNAM INVESTMENT TRUST: Trust's operation suspended
HYUNDAI ELECTRONICS: Credit rating lowered
KORYODANG CO: Starts creditor reconciliation

KUGMIN LEASE: Companies' credit ratings lowered
SAMSUNG CARD: Companies' credit ratings lowered
SANUP LEASE: Companies' credit ratings lowered


M A L A Y S I A

ALPHA PARADE (AUTO) SDN BHD: Winding-up petition
BERJAYA GROUP BHD: Major capital raising
KEMAYAN CORP BHD: Court protection from creditors
KIAH TAK TIN MINING: Members' voluntary winding up
PERFECT LINK SDN BHD: Winding-up petition

TENAGA NASIONAL: Moody's may cut Tenega rating
WIJAYA KANCHING SDN BHD: Winding-up petition


P H I L I P P I N E S

PHILIPPINE AIRLINES: PAL wants former chairman on committee


T H A I L A N D

DHANA SIAM FINANCE: Central bank takes over ailing banks
FIRST CITY INVESTMENT: Central bank takes over ailing banks
IFCT FINANCE: Central bank takes over ailing banks
K.R. PRECISION PCL: Results announcement
LAEM THONG BANK PLC: Central bank takes over ailing banks

PHOENIX PULP & PAPER: Results announcement
THAI SUMMIT FINANCE: Central bank takes over ailing banks
UNION BANK OF BANGKOK: Central bank takes over ailing banks
VAJIRADHANATHUN FINANCE: Central bank takes over


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

THE CIVILIZATION BOOK STORE: Winding-up notice
----------------------------------------------
A notice of an August 5, 1998 winding-up order appeared in
the Hong Kong Standard for The Civilization Book Store
Limited. The petition was presented on May 27, 1998 in the
high court of the Hong Kong Administrative Region Court of
First Instance, Companies Winding-up Proceedings N0.368 of
1998.


EXPRESS MARINE ELECTRONICS: Winding-up petition
-----------------------------------------------
Notice is hereby given that a petition for the winding-up
of Express Marine Electronics (Sales & Services) Company
Limited by the High Court of Hong Kong was, on the 30th day
of July, 1988, presented to the said Court by Cheng Kwong
Mong. The petition is scheduled to be heard on 2nd of
September, 1998. Creditors who support or oppose the making
of the order may appear at the time of the hearing.


INTERFORM CERAMICS: Interform in talks on equity injection
----------------------------------------------------------
According to the SCMP, tile maker Interform Ceramics
Technologies is in talks with potential investors for
possible equity injection to repay its debts of $800
million.

The company said it was negotiating with bank creditors
over an informal agreement to freeze debt repayment.

The company announced a $436.45 million exceptional loss,
which created a $460.6 million attributable loss in the
year to March 31, compared with a $70.31 million
attributable profit the previous year. The exceptional loss
contained a $299.46 million provision for bad and doubtful
debts and a $136.99 million provision and write-off for
inventory, work in progress and diminution value of a
subsidiary.

Operating loss before exceptional items stood at $24.27
million last year against a $74.57 million operating profit
previously, on turnover up 8.5 per cent to $917.68 million.


MANAGER INTERNATIONAL COMPANY: Winding-up notice
------------------------------------------------
A notice of an August 5, 1998 winding-up order appeared in
the Hong Kong Standard for Manager International Company
Limited. The petition was presented on July 9, 1998 in the
high court of the Hong Kong Administrative Region Court of
First Instance, Companies Winding-up Proceedings N0.464 of
1998.


YAOHAN INTERNATIONAL: Most Yaohan assets pledged to banks
---------------------------------------------------------
According to the SCMP, provisional liquidators of Yaohan
International Holdings, KPMG, indicated that the company,
which collapsed under the weight of $500 million in debt,
has almost all its assets pledged to banks.

The company had such assets as equity interests in listed
companies in Hong Kong and mainland department stores. The
assets include a 24.47 per cent stake in indoor-amusement
centre Whimsy Entertainment, a 7 per cent stake in
restaurant-operator Hong Kong Catering Management, a 36 per
cent stake in the Yaohan department store in Shanghai and a
30 per cent stake in a supermarket chain in Wuxi.

The provisional liquidator said it was too early to
ascertain Yaohan's outstanding debts and the latest value
of the assets.

The Hong Kong Standard reports that Yaohan International
Holdings, the Hong Kong arm of the Japanese Wada family's
troubled retail empire, has formally gone into liquidation
at the request of one of its subsidiary companies. The
report says that in March the company said it lost $1.36
billion in the 6 months ended September.


ZHENGSHOU TEXTILE MILL: Bankrupt mill sold for 166 m. yuan             
----------------------------------------------------------
Xinhua English Newswire reports a major state-owned textile
mill in central China's Henan Province, which went bankrupt
with a heavy debt, has been sold at auction for 166 million
yuan.

The deal marks the first such case for indebted state
enterprises in the province.

The 40-year-old Zhengzhou No.2 Textile Mill has been
honored as the cradle of the province's textile industry.
It went into the red, however, in the 1990s and bankruptcy
was announced in February this year when it recorded a
debt of 264 million yuan.

The deal for the mill, whose liability-to-asset ratio
reached 138 percent, was made during the second round of
bidding the auction, which opened at 180 million yuan but
stirred no response.

The buyer, the Gaoyue Group, assured basic social welfares
for the mill's staff members.


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

GARUDA: Returns leased Boeing planes
------------------------------------
Reuters reports financially strapped flag carrier Garuda
has been allowed to cut short long-term aircraft leasing
contracts and return five of the 17 planes it leases from
the Boeing Co, the Jakarta Post said on Friday.

It quoted Minister of State Enterprises Tanri Abeng as
saying the company expected a net profit of 500 billion
rupiah ($39 million) in 1999 against this year's projected
loss of 3.25 trillion rupiah, following slashed leasing
costs, re-negotiation of overseas debt and company
restructuring.

Garuda was on the brink of financial collapse early this
year following threats from the United States and several
European countries to seize its aircraft over unpaid
leasing instalments, the Post said.


SEMPATI AIR: Sempati Air assets may be frozen over debts
--------------------------------------------------------
As reported in the SCMP and the Hong Kong Standard,
according to the Media Indonesia, a state-owned airport
management firm, Angkasa Pura II, is seeking to freeze the
assets of private airline Sempati Air to reclaim unpaid
debts of 40 billion rupiah for landing fees and the lease
of office space.

The state-owned firm had appointed a special team to
confiscate the assets of Sempati. If assets to be
confiscated are not sufficient, the remaining claims will
be done through the state board for debt collection and
auction.

Sempati halted operations in June amid the monetary crisis.


=========
J A P A N  
=========

HOKKAIDO TAKUSHOKU BANK: North Pacific to boost capital
-------------------------------------------------------
As shown in the Hong Kong Standard, in November 108
branches, the head office and some other assets of Hokkaido
Takushoku, one of Japan's largest banks, will be taken
over by North Pacific Bank, which is a Japanese regional
bank. Hokkaido Takushoku collapsed last autumn under bad
loans.

North Pacific plans to boost its capital by 100 billion yen
and asked five Japanese life insurers, all major
shareholders, for funds.


MITA INDUSTRIAL: US company takes charge for Mita debt
------------------------------------------------------
Business Wire reports US firm Gradco Systems Inc. Thursday
announced that it had incurred a loss of $641,000, or 8  
cents per share, for the three months ended June 30, 1998.

The loss resulted from a pre-tax deduction of $5 million
which, as previously reported by the company, was taken to
write off a doubtful receivable from Mita Industrial Co.
Ltd. Mita has filed for protection from its creditors  
under the Corporate Rehabilitation Law.

The after-tax effect of the provision for the Mita
receivable was a reduction in after-tax earnings for the
quarter of $2,529,000, or 32 cents per share. Had such
charge not been taken, the net earnings and per-share
earnings would have been substantially the same as such
earnings in the first quarter of the prior year.


SHOWA PLASTICS: Goes under with debts of 18 billion yen
-------------------------------------------------------
According to Kyodo News, Showa Plastics Co. effectively
went bankrupt Friday  when it filed for court-backed
reorganization under the Japanese bankruptcy law.

Showa Plastics, based in Habikino, Osaka Prefecture, and
the parent company of Showpla Asia Ltd. listed on the
Foreign Section of the Osaka Securities Exchange (OSE),
said it has unsettled debts of 17.7 billion yen.

The failure of Showa Plastics, which is known for its
active business activity in Southeast Asia, came after it
faced a liquidity crunch as a result of the Asian economic
upheaval.

The Osaka District Court, with which Showa Plastics applied
earlier in the day for rescue under the Corporate
Rehabilitation Law, said it appointed Osaka-based lawyer
Takeo Mizuno to manage the company's assets.

Showa Plastics, established in 1937, is capitalized at 300
million yen and has some 140 workers on its payroll.
Showpla Asia, Showa Plastics' Singapore subsidiary, became
the first foreign firm to be listed on the OSE's Foreign  
Section in August last year.


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

FOREIGN EXCHANGE CARD: Companies' credit ratings lowered
--------------------------------------------------------
According to the Korean language Maeil Kyungje, the Hanguk
Business Rating Company has lowered the ratings of two
credit card companies in their recent ratings announcement.

Two credit card companies, Samsung Card and Foreign
Exchange Card's ratings were also downgraded from A to A-
(Samsung Card) and from A+ to A (Foreign Exchange Card).  
The companies have been experiencing slow collection of
payments from credit card users during Korea's economic
slowdown.


HAITAI CONFECTIONERY: Creditors to convert debt to equity
---------------------------------------------------------
Creditors of the Haitai Confectionery Company, which has
debts totaling 1.4 trillion won, agreed yesterday to turn
500 to 700 billion won into equity. Creditors' equity will
be apportioned according to the percentage of Haitai's
total debts they are owed.  

This proposal was discussed yesterday at a meeting of 25
creditors at the headquarters of the major creditor, the
Cho Hung Bank. Merchant bank creditors submitted their
endorsements of this plan late last month.

Banks and tertiary banking institutions also agreed to
submit their endorsements to Cho Hung by August 22. Once
all of the endorsements are received, Cho Hung plans to
investigate Haitai's assets and debts, and decided on the
amount of loans that will be converted to equity.

The Korea Times also reports that merchant bank creditors
have decided that a portion of the 200 billion won from the
sale of Haitai Beverage to overseas investors should be
used as an operating fund to revive the confectionery
company. Officials at Cho Hung Bank stated that the
disposal of the Haitai Confectionery to overseas investors
must be endorsed by these merchant banks, which are owed
huge amounts.  

However, observers also point out than Haitai Confectionery
was included on the June 19 list of 55 nonviable firms that
were subject to immediate liquidation as creditor banks are
to stop providing them with new loans.

This list was generated at the request of the Financial
Supervisory Commission by the nation's 26 commercial banks
which classified their business loan-clients into three
groups - normal, viable, and nonviable.

Haitai Confectionery reportedly has little chance of
surviving the current financial crunch even if such
assistance is provided by the merchant banks.


HANNAM INVESTMENT TRUST: Trust's operation suspended
----------------------------------------------------
According to the Korean language Maeil Kyungje, Hannam
Investment Trust Company's operation has been suspended for
two months starting from August 14, 1998.  

The trust company has been suffering from heavy customer
withdrawals since the collapse of its major client, the
Keopyong Group last May.

As of August 13, 1998, the company had 2.547 trillion won
deposited in its trust accounts, of which 400 billion won
is conservatively estimated to be tied up in bad loans,
according to the recent assessment by the Financial
Supervisory Commission (FSC).

The company's management is actively seeking a take-over
partner to help revive its operation. However, the FSC
officials cited in the Maeil Kyungje said there is little
likelihood of this happening.


HYUNDAI ELECTRONICS: Credit rating lowered
------------------------------------------
According to the Korean language Maeil Kyungje, the Hanguk
Business Rating Company has lowered the ratings of Hyundai
Electronics Company in their recent ratings announcement.

According to the report, due to the market depression and
the sluggish export of semiconductor, Hyundai Electronics
Company's rating was lowered from A- to BBB+.


KORYODANG CO: Starts creditor reconciliation
--------------------------------------------
According to the Korean language Maeil Kyungje, Koryodang,
one of the major bakery companies in Korea, was allowed to
start its creditor reconciliation procedure by the Suwon
District Court. The company applied for a creditor
reconciliation procedure before it went insolvent on March
25, 1998. The company's president is Mr. Kim Chi-jung.


KUGMIN LEASE: Companies' credit ratings lowered
-----------------------------------------------
According to the Korean language Maeil Kyungje, the Hanguk
Business Rating Company has lowered the ratings of two
lease companies in their recent ratings announcement.

Kugmin Lease and Sanup Lease companies ratings fell from A
to BBB- and BB+, respectively due to the fact that they
have been long suffering from bad loan problems.


SAMSUNG CARD: Companies' credit ratings lowered
-----------------------------------------------
According to the Korean language Maeil Kyungje, the Hanguk
Business Rating Company has lowered the ratings of two
credit card companies in their recent ratings announcement.

Two credit card companies, Samsung Card and Foreign
Exchange Card's ratings were also downgraded from A to A-
(Samsung Card) and from A+ to A (Foreign Exchange Card).  
The companies have been experiencing slow collection of
payments from credit card users during Korea's economic
slowdown.


SANUP LEASE: Companies' credit ratings lowered
----------------------------------------------
According to the Korean language Maeil Kyungje, the Hanguk
Business Rating Company has lowered the ratings of two
lease companies in their recent ratings announcement.

Kugmin Lease and Sanup Lease companies ratings fell from A
to BBB- and BB+, respectively due to the fact that they
have been long suffering from bad loan problems.


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

ALPHA PARADE (AUTO) SDN BHD: Winding-up petition
------------------------------------------------
Asia Commercial Finance (M) Berhad had on 11.7.1998
presented a winding-up petition aainst Alpha Parade (Auto)
Sdn. Bhd. The petition is directed to be heard on
3.12.1998.


BERJAYA GROUP BHD: Major capital raising
----------------------------------------
Berjaya Group Bhd. (BGroup) (listed in Kuala Lumpur Stock
Exchange) has announced a major capital raising exercise to
reduce its loans and thereby improving its financial
position by proposing a rights issue of irredeemable
convertible unsecured loan stocks (Iculs) worth RM607.88
million, each with four warrants attached in which the
warrants would have the potential to raise a further RM2.43
billion over their tenure.

BGroup said the four warrants attached to each Iculs were
an added incentive as the prevailing company share price
was around 30 sen each or 70% below par value. Assuming
full conversion of the Iculs and warrants, BGroup's
shareholders' funds would be increased from RM3.35
billion to RM6.39 billion and its share capital would
consequently also increase from RM1.216 billion to RM4.255
billion. However the Iculs rights issue is subject to the
approval of the Securities Commission, BGroup shareholders,
the KLSE and other relevant authorities.


KEMAYAN CORP BHD: Court protection from creditors
-------------------------------------------------
Kemayan Corp. Bhd. (listed in Kuala Lumpur Stock Exchange)
and its units have sought and had been granted court
protection from creditors under Sect. 176(10) Companies
Act, 1965 (M'sia).

However the restraining and stay order granted by the court
on 12.8.1998 would not be applicable to certain local units
like KMS Integrated Group, Kemayan ATC and the Horticulture
Group along with some overseas subsidiaries and associated
companies.

Kemayan had defaulted by RM46 million in principal and
interest payments due to its inability to generate
inadequate cashflow to meet the sharp rise in interest cost
and repayment of short-term borrowings.

The Rating Agency Malaysia Bhd. has cut the rating of
Kemayan's 180 million ringgit ($43 million) redeemable
guaranteed bonds from BB2 to D, or default. The downgrade
came after Kemayan revealed that it had defaulted in the
payment about 46 million ringgit of some revolving credit
and bridging-loan facilities. The court ruling granted to
Kemayan effectively restrains bondholders from taking legal
action against Kemayan or its guarantors.


KIAH TAK TIN MINING: Members' voluntary winding up
--------------------------------------------------
A special resolution passed at an EGM held on 6.8.1998 had
resolved that the company be wound up voluntarily.  
Creditors of the company are to submit their claims/debts
before 6.9.1998.


PERFECT LINK SDN BHD: Winding-up petition
-----------------------------------------
Panagawa Sdn. Bhd. had on 18.2.1998 presented a winding up
petition against Perfect Link Sdn. Bhd. The petition is
directed to be heard on 23.10.1998.


TENAGA NASIONAL: Moody's may cut Tenega rating
----------------------------------------------
A report on the SCMP says that according to Standard &
Poors, Tenaga Nasional was not facing a short-term
liquidity crisis despite reports of its difficulty in
paying independent power producers, but it faces
pressure in the long term.

The agency said it expected Tenaga to generate a modest
cash surplus this year and its access to debt markets was
sound, Tenega was reviewing demand forecasts and its
capital-expenditure programs.

According to the Hong Kong Standard, Moody's is reviewing
the Baa2 rating on Tenaga's senior debt for possible
downgrade.

Analysts said Tenaga shells out about 3.5 billion ringgit a
year to buy a portion of the electricity it sells from the
independent power producers (IPPs) which were set up after
a temporary nationwide outage in 1992, which led to Tenaga
losing its monopoly on electricity generation.


WIJAYA KANCHING SDN BHD: Winding-up petition
--------------------------------------------
Binatech Engineering had on 13.3.1998 presented a winding
up petition against Wijaya Kanching Sdn. Bhd.  The petition
is directed to be heard on 28.8.1998.


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

PHILIPPINE AIRLINES: PAL wants former chairman on committee
-----------------------------------------------------------
According to BusinessWorld, Philippine Airlines (PAL) has
submitted the name of former PAL chief Roman Cruz, Jr. to
the Securities and Exchange Commission (SEC) as its nominee
to replace its former president and chief executive officer
Jose "Pepeton" Antonio Garcia in the SEC-appointed interim
receiver committee tasked to draft the rehabilitation plan
for the ailing firm.

In a motion filed with the SEC last Wednesday, PAL counsel
Estelito Mendoza said since Mr. Cruz is a former PAL
president and CEO, his "knowledge of the business and
operations of petitioner will be invaluable in the
preparation of the rehabilitation plan."

PAL was forced to look for a replacement for Mr. Garcia
after his announcement last July 22 he would be resigning
as PAL president and board member.


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

DHANA SIAM FINANCE: Central bank takes over ailing banks
--------------------------------------------------------
According to Kyodo News, Thailand's central bank announced
Friday two mergers involving two small commercial banks and
five financial institutions in a bid to attract foreign
capital to the crippled sector. The mergers are part of a
comprehensive financial sector restructuring plan to be
announced by the Thai government later in the day,
according to the statement issued by the Bank of Thailand
(BOT).

The seven institutions are Laem Thong Bank PLC, Union Bank
of Bangkok PLC, Dhana Siam Finance and Securities PLC,
First City Investment PLC, IFCT Finance and Securities PLC,
Vajiradhanathun Finance Co., and Thai Summit Finance and  
Securities Ltd.

As the seven institutions are unable to find new potential
investors to recapitalize themselves, the BOT ordered them
to write down their current registered and paid-up capital
to 0.01 baht per share to wipe out the huge losses.

The BOT will then inject new capital into the firms and
merge them with two state-owned institutions -- Radhanasin
Bank and finance and securities firm Krungthai Thanakit,
according to the central bank.

Laem Thong Bank will be merged with Radhanasin Bank, while
Union Bank of Bangkok and the other five financial
institutions will merge with Krungthai Thanakit, according
to Chatumongkol.


FIRST CITY INVESTMENT: Central bank takes over ailing banks
-----------------------------------------------------------
According to Kyodo News, Thailand's central bank announced
Friday two mergers involving two small commercial banks and
five financial institutions in a bid to attract foreign
capital to the crippled sector. The mergers are part of a
comprehensive financial sector restructuring plan to be
announced by the Thai government later in the day,
according to the statement issued by the Bank of Thailand
(BOT).

The seven institutions are Laem Thong Bank PLC, Union Bank
of Bangkok PLC, Dhana Siam Finance and Securities PLC,
First City Investment PLC, IFCT Finance and Securities PLC,
Vajiradhanathun Finance Co., and Thai Summit Finance and  
Securities Ltd.

As the seven institutions are unable to find new potential
investors to recapitalize themselves, the BOT ordered them
to write down their current registered and paid-up capital
to 0.01 baht per share to wipe out the huge losses.

The BOT will then inject new capital into the firms and
merge them with two state-owned institutions -- Radhanasin
Bank and finance and securities firm Krungthai Thanakit,
according to the central bank.

Laem Thong Bank will be merged with Radhanasin Bank, while
Union Bank of Bangkok and the other five financial
institutions will merge with Krungthai Thanakit, according
to Chatumongkol.


IFCT FINANCE: Central bank takes over ailing banks
--------------------------------------------------
According to Kyodo News, Thailand's central bank announced
Friday two mergers involving two small commercial banks and
five financial institutions in a bid to attract foreign
capital to the crippled sector. The mergers are part of a
comprehensive financial sector restructuring plan to be
announced by the Thai government later in the day,
according to the statement issued by the Bank of Thailand
(BOT).

The seven institutions are Laem Thong Bank PLC, Union Bank
of Bangkok PLC, Dhana Siam Finance and Securities PLC,
First City Investment PLC, IFCT Finance and Securities PLC,
Vajiradhanathun Finance Co., and Thai Summit Finance and  
Securities Ltd.

As the seven institutions are unable to find new potential
investors to recapitalize themselves, the BOT ordered them
to write down their current registered and paid-up capital
to 0.01 baht per share to wipe out the huge losses.

The BOT will then inject new capital into the firms and
merge them with two state-owned institutions -- Radhanasin
Bank and finance and securities firm Krungthai Thanakit,
according to the central bank.

Laem Thong Bank will be merged with Radhanasin Bank, while
Union Bank of Bangkok and the other five financial
institutions will merge with Krungthai Thanakit, according
to Chatumongkol.


K.R. PRECISION PCL: Results announcement
----------------------------------------
K.R. Precision PCL reports second quarter reviewed
financial statements for the period ending June 30, as a
net loss of bt65 million, which compares with a net profit
of bt107 million for the corresponding 1997 period.


LAEM THONG BANK PLC: Central bank takes over ailing banks
---------------------------------------------------------
According to Kyodo News, Thailand's central bank announced
Friday two mergers involving two small commercial banks and
five financial institutions in a bid to attract foreign
capital to the crippled sector. The mergers are part of a
comprehensive financial sector restructuring plan to be
announced by the Thai government later in the day,
according to the statement issued by the Bank of Thailand
(BOT).

The seven institutions are Laem Thong Bank PLC, Union Bank
of Bangkok PLC, Dhana Siam Finance and Securities PLC,
First City Investment PLC, IFCT Finance and Securities PLC,
Vajiradhanathun Finance Co., and Thai Summit Finance and  
Securities Ltd.

As the seven institutions are unable to find new potential
investors to recapitalize themselves, the BOT ordered them
to write down their current registered and paid-up capital
to 0.01 baht per share to wipe out the huge losses.

The BOT will then inject new capital into the firms and
merge them with two state-owned institutions -- Radhanasin
Bank and finance and securities firm Krungthai Thanakit,
according to the central bank.

Laem Thong Bank will be merged with Radhanasin Bank, while
Union Bank of Bangkok and the other five financial
institutions will merge with Krungthai Thanakit, according
to Chatumongkol.


PHOENIX PULP & PAPER: Results announcement
------------------------------------------
Phoenix Pulp & Paper reports second quarter financial
statements for the period ending June 30, as a net loss of
bt368 million, which compares with a loss of bt15 million
for the corresponding 1997 period.


THAI SUMMIT FINANCE: Central bank takes over ailing banks
---------------------------------------------------------
According to Kyodo News, Thailand's central bank announced
Friday two mergers involving two small commercial banks and
five financial institutions in a bid to attract foreign
capital to the crippled sector. The mergers are part of a
comprehensive financial sector restructuring plan to be
announced by the Thai government later in the day,
according to the statement issued by the Bank of Thailand
(BOT).

The seven institutions are Laem Thong Bank PLC, Union Bank
of Bangkok PLC, Dhana Siam Finance and Securities PLC,
First City Investment PLC, IFCT Finance and Securities PLC,
Vajiradhanathun Finance Co., and Thai Summit Finance and  
Securities Ltd.

As the seven institutions are unable to find new potential
investors to recapitalize themselves, the BOT ordered them
to write down their current registered and paid-up capital
to 0.01 baht per share to wipe out the huge losses.

The BOT will then inject new capital into the firms and
merge them with two state-owned institutions -- Radhanasin
Bank and finance and securities firm Krungthai Thanakit,
according to the central bank.

Laem Thong Bank will be merged with Radhanasin Bank, while
Union Bank of Bangkok and the other five financial
institutions will merge with Krungthai Thanakit, according
to Chatumongkol.


UNION BANK OF BANGKOK: Central bank takes over ailing banks
-----------------------------------------------------------
According to Kyodo News, Thailand's central bank announced
Friday two mergers involving two small commercial banks and
five financial institutions in a bid to attract foreign
capital to the crippled sector. The mergers are part of a
comprehensive financial sector restructuring plan to be
announced by the Thai government later in the day,
according to the statement issued by the Bank of Thailand
(BOT).

The seven institutions are Laem Thong Bank PLC, Union Bank
of Bangkok PLC, Dhana Siam Finance and Securities PLC,
First City Investment PLC, IFCT Finance and Securities PLC,
Vajiradhanathun Finance Co., and Thai Summit Finance and  
Securities Ltd.

As the seven institutions are unable to find new potential
investors to recapitalize themselves, the BOT ordered them
to write down their current registered and paid-up capital
to 0.01 baht per share to wipe out the huge losses.

The BOT will then inject new capital into the firms and
merge them with two state-owned institutions -- Radhanasin
Bank and finance and securities firm Krungthai Thanakit,
according to the central bank.

Laem Thong Bank will be merged with Radhanasin Bank, while
Union Bank of Bangkok and the other five financial
institutions will merge with Krungthai Thanakit, according
to Chatumongkol.


VAJIRADHANATHUN FINANCE: Central bank takes over
------------------------------------------------
According to Kyodo News, Thailand's central bank announced
Friday two mergers involving two small commercial banks and
five financial institutions in a bid to attract foreign
capital to the crippled sector. The mergers are part of a
comprehensive financial sector restructuring plan to be
announced by the Thai government later in the day,
according to the statement issued by the Bank of Thailand
(BOT).

The seven institutions are Laem Thong Bank PLC, Union Bank
of Bangkok PLC, Dhana Siam Finance and Securities PLC,
First City Investment PLC, IFCT Finance and Securities PLC,
Vajiradhanathun Finance Co., and Thai Summit Finance and  
Securities Ltd.

As the seven institutions are unable to find new potential
investors to recapitalize themselves, the BOT ordered them
to write down their current registered and paid-up capital
to 0.01 baht per share to wipe out the huge losses.

The BOT will then inject new capital into the firms and
merge them with two state-owned institutions -- Radhanasin
Bank and finance and securities firm Krungthai Thanakit,
according to the central bank.

Laem Thong Bank will be merged with Radhanasin Bank, while
Union Bank of Bangkok and the other five financial
institutions will merge with Krungthai Thanakit, according
to Chatumongkol.


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