---

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

      Wednesday, March 17, 1999, Vol. 2, No. 53

                    Headlines


* C H I N A   &   H O N G   K O N G *

ASIA GEMS LIMITED: In members' voluntary liquidation
DOLBY-ALLEN INTERNATIONAL: Winding-up petition
ECCLESTON LIMITED: In members' voluntary liquidation
GUANGZHOU INTERNATIONAL: Creditors gloomy on payment prospects
HONGKONG CHUN TAI: Struggling firm hunts cash boost

KJAW LIMITED: In members' voluntary liquidation
LAI SUN HOTELS: Beanie tycoon buys N.Y. hotel
SOMERLY TRADING LIMITED: In members' voluntary liquidation
YAOHAN HONGKONG: Yaohan delisting date set, 6-month reprieve


* I N D O N E S I A *

PT SEMEN CIBINONG: Semen Cibinong sued by shuttered bank
TIRTAMAS GROUP: Tirtamas sued by shuttered bank


* J A P A N *

AOKI CORP: Creditor banks to waive 200bn yen in debts
CHIYODA LIFE: Forms US joint venture
ITOMAN CORP: Former president pleads not guilty to embezzling
KOBE STEEL: Expects losses of $310m
NICHIMEN CORP: Expects 20 billion yen loss

NISSAN MOTOR: Renault board close to Nissan deal


* K O R E A *

HANBO IRON & STEEL: Creditors to start negotiating to sell Hanbo
HANWHA GROUP: Hanwha suffers 1998 loss
SSANGYONG GROUP: Ssangyong reports huge 1998 losses


* M A L A Y S I A *

RENONG BHD: Appoints seven new directors


* P H I L I P P I N E S *

PHILIPPINE AIRLINES: PAL seeks go-ahead for US$200m stake sale


* S I N G A P O R E *

ACER INTERNATIONAL: Profit down 97% on Latin American losses
PACIFIC CAN: Auditors say clock is ticking
VAN DER HORST: VDH says it has enough working capital
WEE POH: Interim net slumps 77%


* T H A I L A N D *

TELECOMASIA: Reshuffles top management


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

ASIA GEMS LIMITED: In members' voluntary liquidation
----------------------------------------------------
The creditors of Asia Gems Limited, which is being voluntarily
wound up, are required on or before April 13 to send in their
names, addresses and particulars of their debts or claims to the
Liquidator(s) of the said company, and if so required by notice
in writing from the liquidator(s), are personally or by their
solicitors to come in and prove their debts or claims at such
time and place specified in such notice, or in default thereof,
they will be deemed to waive all of such debts or claims and the
liquidators will be entitled seven days after the above date, to
distribute the funds available or any part thereof to the
Members. Joint Liquidators:  Allan Hon Wing Yu, Albrecht Carl
King Yeung Yeh, 23rd Floor, Chekiang First Bank Building, 58-63
Gloucester Road, Wanchai, Hong Kong.


DOLBY-ALLEN INTERNATIONAL: Winding-up petition
----------------------------------------------
A petition for the winding up of Dolby-Allen International
Company Limited was presented to the High Court on Feb 11 by  
Silver Full Investment Limited whose registered office is situate
at Room Nos. 812-814, China Insurance Group Building, No. 141 Des
Voeus Road, Central, Hong Kong, and the said petition is directed
to be heard before the court at 9:30 a.m. on April 14, and any
creditor or contributory of the said company desirous to support
or oppose the making of an order on the said petition may appear
at the time of hearing by himself or his counsel for that
purpose, and a copy of the petition will be furnished to any
creditor or contributory of the said company requiring the same
by the Solicitors for the Petitioner, Chan, Lau & Wai at Room
601, 6th Floor, China Building, No. 29 Queen's Road Central, Hong
Kong on payment of the regulated charges for the same.


ECCLESTON LIMITED: In members' voluntary liquidation
----------------------------------------------------
The creditors of Eccleston Limited, which is being voluntarily
wound up, are required on or before April 13 to send in their
names, addresses and particulars of their debts or claims to the
Liquidator(s) of the said company, and if so required by notice
in writing from the liquidator(s), are personally or by their
solicitors to come in and prove their debts or claims at such
time and place specified in such notice, or in default thereof,
they will be deemed to waive all of such debts or claims and the
liquidators will be entitled seven days after the above date, to
distribute the funds available or any part thereof to the
Members. Joint Liquidators:  Allan Hon Wing Yu, Albrecht Carl
King Yeung Yeh, 23rd Floor, Chekiang First Bank Building, 58-63
Gloucester Road, Wanchai, Hong Kong.


GUANGZHOU INTERNATIONAL: Creditors gloomy on payment prospects
--------------------------------------------------------------
According to the South China Morning Post, Gzitic will hold its
landmark creditors' meeting scheduled for tomorrow in Guangzhou,
to be attended by foreign bankers, city leaders and officials of
the company.

Gzitic, like dozens of mainland window companies, tapped short-
term loan markets to finance long-term operations, creating a
burden of liabilities that now threaten the firm with bankruptcy,
holding foreign currency debts of US$700 million.

Tomorrow's meeting will be the first time that foreign bank
creditors will hear directly from the provincial government and
Gzitic officials since the company's repayment problems surfaced
in October.

A truncated meeting in October failed to make any progress on the
repayment of a US$30 million syndicated loan that had fallen due
in September. In the following 150 days the company's position
has only deteriorated, with Gzitic suspending interest and
principal payments on all outstanding loans.

Overseas bankers are not optimistic about the government proposal
to restructure the company.

In recent months, municipal officials have suggested they would
allow Gzitic to die a slow death in deference to Yue Xiu
Enterprise, another municipal window company.

Last week reports surfaced that the city government was preparing
to bolster Yue Xiu through a series of buy-outs of government-
held assets which include some of the city's best holdings,
including stakes in the Dongfang Hotel, Guangzhou Daily (Group)
and Guangzhou Five Rams Cement.

Meanwhile, Gzitic's Hong Kong finance arm has been ordered into
receivership, and domestic creditors, such as Guangzhou Shipyard
and Luoyang Glass, have claimed Gzitic property in return for
outstanding liabilities.


HONGKONG CHUN TAI: Struggling firm hunts cash boost
---------------------------------------------------
According to the South China Morning Post and the Hong Kong
Standard, investment bank sources said Chun Tai Holdings had been
in contact with interested parties for potential investment as
the company's liquidity crisis surfaced last week, when a
creditor filed a writ claiming HK$433,165.83.

The company suffered a sharp drop in its net asset value to HK$20
million for the five months to February 28 from HK$336 millionn
in September.

According to unaudited management accounts, Chun Tai had a loss
of HK$300 million for the 11 months to February, of which HK$260
million arose from provisions for stock and bad and doubtful
debt.

The company yesterday unveiled a planned restructuring of HK$290
million in debt owed to 25 banks and financial institutions.

The South China Morning Post said Chun Tai was in default on
repayments worth HK$75 million in loans and had HK$73 million in
bank facilities frozen. The problems mark an ill-fated maiden
foray into Hong Kong's smaller stocks for the Baring Asia Private
Equity Fund, part of the ING Group with US$250 million in funds
under management.

The high-profile Baring fund also invested US$10 million in Vanda
Systems & Communications Holdings last August, a system  
integrator which plunged to a net loss of HK$33.29 million during
the six months to September 30 from a HK$24.07 million
attributable profit during the same period in 1997.

The Baring Fund is one of the largest creditors of Chun Tai. It
provided Chun Tai last May with an unsecured US$6 million 2001
convertible bond with an exercise price of 58.8 HK cents a share.
The bond was part of a deal raising about HK$100 million new Chun
Tai shares at 51.8 Hong Kong cents a share. The shares are
equivalent to an 8.3 per cent stake in the company.

Chun Tai shares plunged 35.25 per cent to a historic low of nine
cents yesterday, two years after the company's listing in March
1997.

According to the Hong Kong Standard, Chun Tai said in a statement
issued yesterday it has total borrowing of $290 million as of
March 12, including $75 million trust receipt loans and finance
leases which had fallen due.

The loan also includes $184 million, which is payable within one
year.

Chun Tai mainly engages in design and manufacture of toys and
electronic consumer products.


KJAW LIMITED: In members' voluntary liquidation
-----------------------------------------------
The creditors of Kjaw Limited, which is being voluntarily wound
up, are required on or before April 13 to send in their names,
addresses and particulars of their debts or claims to the
Liquidator(s) of the said company, and if so required by notice
in writing from the liquidator(s), are personally or by their
solicitors to come in and prove their debts or claims at such
time and place specified in such notice, or in default thereof,
they will be deemed to waive all of such debts or claims and the
liquidators will be entitled seven days after the above date, to
distribute the funds available or any part thereof to the
Members. Joint Liquidators:  Allan Hon Wing Yu, Albrecht Carl
King Yeung Yeh, 23rd Floor, Chekiang First Bank Building, 58-63
Gloucester Road, Wanchai, Hong Kong.


LAI SUN HOTELS: Beanie tycoon buys N.Y. hotel
---------------------------------------------
Ty Warner, creator of the popular Beanie Babies toy line, bought
New York's Four Seasons Hotel for $275 million from a consortium
of Hong Kong investors led by Lai Sun Hotels International Ltd.,
an arm of the ailing Lai Sun Group. The 370-room landmark on East
57th Street, often rated one of the world's best hotels, has been
on the market for almost a year as the Lai Sun Group sought to
pare its debts. (Chicago Sun Times 12-Mar-1999)


SOMERLY TRADING LIMITED: In members' voluntary liquidation
----------------------------------------------------------
The creditors of Somerly Trading Limited, which is being
voluntarily wound up, are required on or before noon on Mar 30 to
send in their names, addresses and particulars of their debts or
claims to the Liquidator(s) of the said company, and if so
required by notice in writing from the liquidator(s), are
personally or by their solicitors to come in and prove their
debts or claims at such time and place specified in such notice,
or in default thereof, they will be excluded from the benefit of
any distribution before such debts are proved. Joint Liquidators:  
Ip Wing Kee, Chow Chi Tong, 9th Floor, Tung Ning Building, 249-
253 Des Voeux Road, Central, Hong Kong.


YAOHAN HONGKONG: Yaohan delisting date set, 6-month reprieve
------------------------------------------------------------
According to the South China Morning Post, failed retailer Yaohan
Hongkong Corp will be delisted from the stock exchange on
September 15 unless it submits a trading resumption proposal to
the regulator. The stock exchange said yesterday it would give
the company a final six-month period to tender a valid resumption
proposal or it would cancel the company's listing. It said Yaohan
was being liquidated and that its subsidiaries were not expected
to see significant recovery of assets.


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

PT SEMEN CIBINONG: Semen Cibinong sued by shuttered bank
--------------------------------------------------------
The Asian Wall Street Journal reported that PT Semen Cibinong has
asked a Jakarta bankruptcy court to dismiss claims filed against
it by Bank Papan Sejahtera, a bank which the Indonesian
government on Saturday.  The closed bank sued Semen Cibinong for
$11.99 million, including interest and penalties.

The appeal to the court is based on a claim that the original
credit agreement is no longer valid as a new agreement was put in
place in January.  This new deal reportedly involved the
conversion of the loan in dispute into exchangeable bonds issued
by the Tirtamas Group.  The Tirtamas group is a major shareholder
of Semen Cibinong.

Papan has also sued Tirtamas for not paying a debt of 200 billion
rupiah.


TIRTAMAS GROUP: Tirtamas sued by shuttered bank
-----------------------------------------------
The Asian Wall Street Journal reported that the Tirtamas Group
has been sued by the Bank Papan Sejahtera, a bank which the
Indonesian government on Saturday.  The closed bank sued the
Tirtamas Group 200 billion rupiah.


=========
J A P A N  
=========

AOKI CORP: Creditor banks to waive 200bn yen in debts
-----------------------------------------------------
Twenty-nine creditor financial institutions have agreed to waive
a total of 200bn yen in claims on their loans to Aoki Corp, a
general construction contractor, industry sources said Monday
{15th March}.

An announcement is expected as early as this week, marking the
first case of a bailout of a troubled general contractor via debt
forgiveness, the sources told Kyodo News.

The 29 creditors include Asahi Bank and the Industrial Bank of
Japan, two main creditor banks that have already agreed to waive
a total of 155.7bn yen in their claims on loans to Aoki - about
80 per cent of total claims by the creditors, they said.

The creditors also include Sanwa Bank and the Bank of Tokyo-
Mitsubishi, they said.

Aoki announced last November a five-year restructuring programme
featuring the halving of its workforce to 1,350 by 31st March
2002, and requests to creditors to waive a total of 200bn yen in
debts.

The contractor and its group companies have 670bn yen in
liabilities to their creditor financial institutions.
(BBC Asia Pacific Political 15-Mar-1999)


CHIYODA LIFE: Forms US joint venture
------------------------------------
Chiyoda Life, one of Japan's large life insurers, yesterday
announced it was forming a joint venture with UNUM, a US
insurance company, to sell group long-term disability insurance
policies.

The joint venture will be capitalised at about Y500m and will
start with 30 employees.

The troubled Japanese life insurer, which has been hurt by recent
slumps in the Japanese stock and property markets, also revealed
that it had raised Y20bn from more than 20 companies to
strengthen its capital base.

It is negotiating a further Y50bn of subordinated loans from
several institutions, such as Tokai Bank, with which it has close
ties. (Financial Times 16-Mar-1999)


ITOMAN CORP: Former president pleads not guilty to embezzling
-------------------------------------------------------------
A former president of the now-defunct trading house Itoman Corp.
pleaded not guilty Tuesday to five charges, including aggravated
breach of trust, related to an art investment scandal and
questionable lending to golf course development projects.

Yoshihiko Kawamura, 74, entered the plea at the Osaka District
Court, with his lawyers arguing that the defendant was trying to
restructure the company and did not intend to damage it, as the
development projects seemed profitable in the planning stage.

An estimated 300 billion yen of Itoman's funds were used for
dubious art deals, loans for golf course development and
securities transactions, causing the company losses totaling 200
billion yen, the prosecution said.

The defense accused prosecutors of exaggerating the negative
effect of Kawamura's management strategy and stressing his
criminal liability in the case.

Kawamura is charged with conspiring as president with then Itoman
Vice President Sadamu Takagaki to obtain Itoman shares worth 10
billion yen in violation of the Commercial Code, and with
embezzling 1 billion yen in October 1989.

He is also charged with aggravated breach of trust over dubious
loans to golf course development projects in Gifu and Kagoshima
prefectures, and in connection with 1 billion yen earmarked for
development of a cemetery in the hot spa resort of Hakone,
Kanagawa Prefecture.

Prosecutors asked for a 10-year prison term for Kawamura.

The scandal led to Itoman's collapse, resulting in its merger
with Sumikin Bussan Kaisha Ltd., a subsidiary of Sumitomo Metal
Industries Ltd., in 1993. (Kyodo News 16-Mar-1999)


KOBE STEEL: Expects losses of $310m
-----------------------------------
Kobe Steel yesterday revised down its earnings projections for
the business year ending March 31 again, projecting a group net
loss of Y37bn compared with its previously estimated net loss of
Y34bn, agencies report.

The group also said it expected consolidated sales to amount to
Y1,310bn less than its earlier forecast of Y1,350bn.

It expected its group pretax loss to total Y26bn, against the
Y21bn loss it had expected. (Financial Times 16-Mar-1999)


NICHIMEN CORP: Expects 20 billion yen loss
------------------------------------------
Nichimen Corp. said Monday it expects to fall into the red for
the current business year ending March 31 with a net loss of 20
billion yen, its first loss in 33 years.

The major trading house cited extraordinary losses of 44 billion
yen, including 33 billion yen stemming from its evaluation loss
on its securities portfolio and some 4 billion yen from
retirement allowances associated with an early retirement
program. (Kyodo News 16-Mar-1999)


NISSAN MOTOR: Renault board close to Nissan deal
------------------------------------------------
French car maker Renault SA would buy a controlling stake in
Japan's debt-ridden Nissan Motor Co. in a deal expected to be
announced Tuesday evening in Paris following a meeting of
Renault's board, according to a Nissan executive.

While Renault's plans still would have to approved by a Renault
employee council, Nissan's board is scheduled to meet Friday to
approve the new alliance.

Renault is expected to invest between $4 billion and $6 billion
in Nissan in exchange for roughly a one-third stake in the
company, the executive, who spoke on condition of anonymity, said
Monday. With a 33.4 percent or more stake, Renault would have
veto power over Nissan's decisions.

The alliance, which would create the world's fifth-largest
automaker, would give Renault a premiere distribution system in
Asia as well as access to Nissan's superior technology in
engines, suspension, batteries and fuel cells.

Nissan, in turn, would get a desperately needed cash infusion,
better European distribution and management talent.

Under the deal, Renault would appoint a chief operating officer
to Nissan who would handle the Japanese automaker's day-to-day
operations and have a seat on Nissan's board, according to
Tuesday's edition of the Nihon Keizai Shimbun, Japan's leading
financial newspaper.

Renault is expected to name two additional members to Nissan's
board. It was unclear Monday whether Nissan would increase the
size of its board, or simply replace existing directors with
Renault's picks.

"It's time for Renault to start looking off shore," said Jay
Woodworth, an independent auto analyst in Summit, N.J. "I'm not
sure this is the right deal for them, but it's something that's
very interesting."

He said Nissan's real estate, some of which the company has owned
for more than 100 years, is vastly undervalued on its balance
sheet, and that the company is actually worth two to three times
its $7 billion stock market value.

"The real estate holdings give it tremendous value, but its hard
to convert that into cash to feed huge cash flow deficits,"
Woodworth explained.

Yoshikazu Hanawa, Nissan's president, and Louis Schweitzer,
Renault's chairman, hammered out the agreement over the weekend
in Paris. Nissan turned to Renault after negotiations with
DaimlerChrysler collapsed last week.

Nissan also is said to be negotiating with Ford Motor Co. The
Dearborn, Mich.-based automaker reportedly is weighing a bid for
a 33-percent-or-more stake in Nissan, according to The Wall
Street Journal.

With Ford's recent acquisition of Volvo AB's car division, and
Ford's controlling stake in Mazda Motor Corp., several analysts
said Ford is unlikely to make a serious offer for Nissan.

A call to Ford was not immediately returned Monday.
(Associated Press 16-Mar-1999)


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

HANBO IRON & STEEL: Creditors to start negotiating to sell Hanbo
----------------------------------------------------------------
The Korea Herald reported that the creditors of the bankrupt
Hanbo Iron & Steel Company will commence negotiations with
potential buyers of the firm this week. Creditors have reportedly
asked two prospective buyers to submit proposals by tomorrow so
that the documents can be examined and talks begin.  

Last month, a consortium including U.S. investment firms such as
Third Avenue Fund, Carl Marks & Co., and Nabor's Capital were
give even more extra time to complete their appraisals of the
financial and managerial status of the steel making facilities to
be sold.  However, an official at the Hanbo's main creditor bank,
the Korea First Bank (KFB) said that negotiations can no longer
be delayed because of the Nabor's assessment schedule.  

Officials from the creditor banks were planning to complete the
selection of a purchaser by the end of January, when the Nabor's
consortium decided to take part in the bidding by sending a
letter of intent to take over the steel maker.  However, this
consortium postponed its original schedule to review this
purchase.

Hanbo, once Korea's second largest steel maker, produced 3
million tons of steel products per year, but collapsed on January
23, 1997 under bank debts estimated at 8.35 trillion won.  The
value of the assets at Hanbo has been evaluated at 3.4 trillion
won, although the construction of some facilities is still not
complete.  

Earlier newspaper reports indicated that creditor banks prefer to
sell off Hanbo's two main plants as a package, but they could be
sold off in separate parts contingent on buyer interest.  Hanbo's
main facility is its Tanjin Steelworks which includes a mill
producing 1.8 million tons of crude steel a year for hot coils
and steel rods, as well as a cold-rolled steel plate plant that
suspended operations this last July.  The other part of the
company comprises uncompleted facilities (whose construction
was stopped last year) that were slated to become a 2.1 million
ton hot coil mill and a 2 million ton cold-rolled sheet plate
plant.

Hanbo's main creditor bank, KFB, is now in the process of being
sold to US ownership.  Early this year, the Financial Supervisory
Commission announced that the government (which had held a 93.75
percent stake in the KFB) exchanged a memorandum of understanding
with a US consortium led by Newbridge Capital and GE capital for
its acquisition of a controlling 51 percent stake in the bank.


HANWHA GROUP: Hanwha suffers 1998 loss
--------------------------------------
The Korea Herald ran a front page story on losses of listed firms
in Korea which stated that the Hanwha group suffered a 1.688
trillion won loss as of the end of 1998.  This follows a 401
billion won loss in 1997.

Last September, the Korea Herald reported that the Hanwha Energy
Company had a debt to ratio of 33,296.4 percent, and that the
parent Hanwha Group had an overall debt to equity ratio of 508.4
percent.


SSANGYONG GROUP: Ssangyong reports huge 1998 losses
---------------------------------------------------
The Korea Herald ran a front page story on losses of listed firms
in Korea which stated that the financially distressed Ssangyong
Group reported a combined loss of 1.1461 trillion won loss in
1998.  Earlier this week Ssangyong plans were announced of the
sell off its stake in Ssangyong Oil Refinery Company.  Newspaper
reports indicated that the main reason for this sale is to
resolve Ssangyong's debt problems arising from operations at
Ssangyong Motors.


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

RENONG BHD: Appoints seven new directors
----------------------------------------
Renong Bhd has appointed a larger-than-expected team of new
directors, a move that reinforces talk of the imminent departure
of major shareholder and executive chairman Halim Saad from the
debt-laden company.

The batch of seven new directors was bigger than Mr Halim's  
earlier expectations of no more than three new directors.

Renong now has 11 directors following the resignation of Chan  
Chin Cheung, who is negotiating to buy a substantial stake in  
Multi-Purpose Holdings from tycoon Lim Thian Kiat.

Earlier, Mr Halim was reported as saying he was no longer  
involved in the day-to-day operations of the infrastructure
group.

"When the debt restructuring plan is in place and the recovery
plan has been drawn up, I see myself taking a backseat," he
reportedly said. (Singapore Business Times 16-Mar-1999)


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

PHILIPPINE AIRLINES: PAL seeks go-ahead for US$200m stake sale
--------------------------------------------------------------
According to the South China Morning Post and the Hong Kong
Standard, PAL submitted a rehabilitation plan yesterday, seeking
regulatory approval to sell a US$200 million stake so it can
resume payments on $2.25 billion of debts and a three-year grace
on certain secured debts.

The plan was given prior approval of almost two-thirds of its
creditors, including a group of European export credit agencies
and the US Export-Import Bank. The Philippine Securities and
Exchange Commission (SEC) has until April 15 to decide whether to
allow the airline to keep working or order its liquidation.

European firms are owed $890 million and the US Eximbank $341.2
million, spent mostly on a fleet upgrade in which the planes were
used as collateral.

A PAL statement said 40 to 60 per cent of the infusion will come
from financial investors. PAL sources said the fresh money was
expected within three months.

The debt suspension enabled PAL to meet its fuel, salaries,
catering and other operating costs out of revenues. The
amortisation of secured claims in the third and fourth year would
not exceed 5 per cent of outstanding principal each year, while
terminated finance lease claims will be converted into a loan
with a bullet maturity.

The company said the new plan also called for the sale of non-
core assets, including maintenance, engineering and catering
operations. It said it was already talking to interested buyers.

The plan called for the fleet to be reduced to 22 aircraft, which
will be reconfigured to increase the number of seats. They will
be fielded in 12 international and 17 domestic core routes.

The airline's entire operations would be moved to a new passenger
terminal at Manila airport to reduce transfer time between
international and domestic flights.

PAL said that under the plan, it expects operating cash flow
before financing of $205 million in its financial year to March
next year, rising to $363 million in the year to March 2003.


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

ACER INTERNATIONAL: Profit down 97% on Latin American losses
------------------------------------------------------------
Acer Computer International yesterday said FY98 net profit        
tumbled 96.6 per cent to $794,000 as huge losses from its        
Latin American associate wiped out earnings.

Net profits from ACI's operations (including subsidiaries)
actually amounted to $20.8 million, said William Lu, the group's
chairman, president and CEO, speaking to reporters at a briefing.

But these were eroded by $20 million in losses from associates,  
$19.5 million of which came from 35.9 per cent-owned Acer  
Computec Latino America (ACLA), whose results were equity
accounted. ACI said the Mexico-listed unit suffered poor  
inventory management and product "dumping" in its markets by US
PC giants.

Group revenues for the year slipped 8.5 per cent to $1.35
billion, as regional markets suffered the brunt of the economic
crisis in 1998. PC shipments for the region fell 0.5 per cent in
1998, Mr Lu said, citing research from US firm International Data
Corp.

Earnings per share dipped to 0.48 cents from 14.29 cents, while  
net tangible assets per share slipped to $1.34 from $1.36 a year  
ago.

This year, ACI is looking to dilute its stake in ACLA to below 20  
per cent, in order not to consolidate its results with ACI's. It
is speaking to several potential buyers, one of which is parent
Acer Inc. "But we don't want to liquidate at a low price," said
Mr Lu, who added that ACLA is currently priced below its book
value. (Singapore Business Times 16-Mar-1999)


PACIFIC CAN: Auditors say clock is ticking
------------------------------------------
Another company which found itself in the same situation as Van
Der Horst yesterday was Pacific Can Investment, an investment
holding company.

Its shares were pounded 4.5 cents or 20 per cent down to 17.5
cents after external auditors Deloitte & Touche cast doubts on
the ability of the company to continue as a going concern for a
reasonable period of time.

A total of 342,000 shares changed hands. Unlike VDH, Pac Can made
no announcement to the SES.

Deloitte & Touche had said in the company's annual report that
based on current cashflow projections, the company would not have
enough cash to repay $20.6 million in loan stocks due on April
30.

The accounting firm also expressed doubts about the company's
ability to successfully carry out a capital reduction exercise,
followed by a rights issue.

According to its consolidated financial statement, Pac Can has
accumulated losses of $42 million, against an issued capital of
$44 million.

Pac Can's loan stock, which is due for redemption this year, was
the top loser as it tumbled 24 cents or 25 per cent to 72 cents
on a volume of 422,000 units. (Singapore Business Times
16-Mar-1999)


VAN DER HORST: VDH says it has enough working capital
-----------------------------------------------------
Debt-laden Van Der Horst said yesterday evening that it has       
"working capital resources sufficient to meet the group's       
current daily operational requirements", hours after its shares
were routed on the stock exchange.

What prompted the statement and the selldown of its shares --
which lost 11.5 cents or 28.8 per cent to 29 cents on a heavy
volume of 18.5 million shares yesterday -- were the opinion of
external auditors Arthur Andersen that the company may be unable
to continue to plough on.

Arthur Andersen said that with VDH so heavily laden with debts
and with the unstable conditions in Indonesia, VDH's biggest
market, there was "substantial doubt that (VDH group) will be
able to continue as a going concern".

But in a statement to the Stock Exchange of Singapore yesterday,
VDH said that it had on Feb 3 repaid US$40.4 million (about
S$68.2 million) against outstanding loans of S$227 million as at
Sept 30 1998, thus reducing the loans to S$158.8 million.

The money came from the S$118 million (US$70 million) sale
proceeds of its stake in East Asia Power Resources Corporation
(EAPRC). Another S$5.5 million was used to pay transaction costs
of the EAPRC sale and interest due on the loans, while the
remaining S$44.3 million was retained to meet operational needs
and further repayment of remaining loans.

"In addition to the S$44.3 million, the group has further cash
and working capital resources sufficient to meet daily
operational requirements," VDH said. "All operating entities are
currently able to fulfil their payments to trade creditors as and
when they fall due."

The positions taken by VDH and its external auditors (expressed
by Arthur Andersen in the company's annual report released last
Friday) could not be more different, making for another uncertain
day for the shares on the stock market today.

But before the VDH statement to the SES yesterday evening,
analysts and brokers were not too hopeful, saying the company had
lost credibility with investors.

Analysts dismissed the possibility of a "white knight" emerging
to rescue the debt-ridden power plant and engineering company,
whose shares once traded close to $8 a share. (Singapore Business
Times 16-Mar-1999)


WEE POH: Interim net slumps 77%
-------------------------------
Wee Poh Holdings has reported a 77 per cent drop in group net
earnings to $285,000 for the first six months ended December
1998. Group turnover rose 22 per cent to $70.4 million. The
company attributed the profit decline to lower margins from
recent projects awarded, higher depreciation charges and
borrowing costs. The increase in turnover, it added, was due to  
higher sales of readymix concrete and a higher level of  
infrastructure construction activity. The directors believe the
group should remain profitable for the current year.
(Singapore Business Times 16-Mar-1999)


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

TELECOMASIA: Reshuffles top management
--------------------------------------
TelecomAsia (TA), the country's largest private fixed-line
operator, yesterday announced a major management reshuffle in the
company, as well as in its subsidiary, Telecom Holding (TH), by
promoting new generation executives to top posts.

A telecom analyst commented the reshuffle is likely to pave the
way for the company's debt restructuring in the near future.

The management reshuffle, which has to be approved by its
creditors, could mean that TA's $1 billion debt restructuring
plan will be concluded soon, a telecom industry analyst said.

"The new management structure must not obstruct creditors' move
to convert debt to equity under TA's debt restructuring plan,"
said an analyst from Capital Nomura Securities.

TA's debt restructuring is almost certain to receive approval
from its creditors.

The plan is currently monitored by the public, particularly the
degree of impact to existing shareholders when debt is converted
to equity, said the analyst.

In the management reshuffle at TA, Supachai Cheravanont, son of
the company's founder Dhanin Cheravanont, is promoted to
president and chief executive officer, succeeding Ajva
Taulananda, who will become chairman of the executive committee.

Athueck Asvanund, the group's general counsel, is promoted to the
position of vice chairman of TA's executive committee.

In the reshuffle at Telecom Holding (TH), Vollobh Vimolvanich was
promoted to succeed Dhanin as company chairman.

Two of Dhanin's son - Chatchaval and Soopakij - became TH's
chairman of the executive committee and president, respectively.

"The management changes will usher both organizations smoothly
into the next century, with young executives in the driver's
seat", the analyst said.

TA said that Supachai's major role is to prepare TA for the
forthcoming liberalization of the telecom industry. The existing
management team would receive technical support from TA's long-
term partner and shareholder Bell Atlantic.

Bell Atlantic, formerly Nynex Network System Thailand, holds
about 18.2 percent of TA shares, while the majority stake of 70
percent is held by Dhanin's Charoen Pokphand (CP) group.
(Business Day [Thailand] 16-Mar-1999)


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