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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

            Friday, November 26, 1999, Vol. 2, No. 231

                                      Headlines


* C H I N A  &  H O N G  K O N G *

CHEUNG FAT RESTAURANT: Facing winding up petition
DAILYWIN GROUP: Posts 6-month loss
EASY TRINITY LTD: Facing winding up petition
THEME INT'L HOLDINGS: Loses a suitor as Giordano drops out


* K O R E A *

DAEWOO CORP.: Workout plan rejected by parent's creditors


* M A L A Y S I A *

INTRIA BHD: Four parties submit rehab proposals for it


* S I N G A P O R E *

BRANDED LIFESTYLE: 20% of loss-maker sold


* T H A I L A N D *

BANGCHAK PETROLEUM: Issuing debentures to pay foreign debts
TANAYONG PLC: Misses debt payment date, settlement possible
TANAYONG PLC: To pay U.S. debt next week


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

CHEUNG FAT RESTAURANT: Facing winding up petition
-------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing for January 12, 2000 on the
petition of Yip Chuen for the winding up of Cheung Fat
Restaurant Limited. A notice of legal appearance must be
filed on or before January 11, 2000.

DAILYWIN GROUP: Posts 6-month loss
----------------------------------
Watch-maker Dailywin Group announced an interim operating
loss of $3.08M for the six months to September 30.
Although still in the red, the company's loss was
substantially smaller than in the corresponding period last
year when it recorded a loss of $15.7M.  Turnover for the
period was $118.59M and the company paid no dividend.

EASY TRINITY LTD: Facing winding up petition
--------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing for January 5, 2000 on the petition
of Lo Chung Shan for the winding up of Easy Trinity
Limited. A notice of legal appearance must be filed on or
before January 4, 2000.

THEME INT'L HOLDINGS: Loses a suitor as Giordano drops out
----------------------------------------------------------
Casual-wear chain Giordano International has withdrawn its
takeover bid for cash-strapped retailer Theme International
Holdings after a fallout with Theme and its bank creditors.

Clashes between the three parties surfaced over Giordano's
desire to conduct due diligence on Theme's books and
accounts.  Theme and its creditors were pushing Giordano
not to conduct due diligence as they claimed it would slow
down the embattled company's restructuring process.
Giordano director Terry Ng Sze-yuen yesterday said Theme
and its creditors failed to meet a deadline last Friday on
whether it would accept its deal.

"We can't wait indefinitely," Mr Ng said. "We must do due
diligence on whatever we're going to buy. Even if you buy a
T-shirt you will check through [to see] if there are any
flaws."

Giordano revised its offer, including a higher level of
debt repayment, but received little support from Theme at
board level. The withdrawal left the door open to rival
bidders, most notably clothing manufacturer High Fashion
International.  Theme late last night issued a statement
saying it - along with its 14 bank creditors - was now
actively involved in negotiations with High Fashion. A
third bid, from apparel retailer YGM Trading, has stalled.

High Fashion International director Raymond Wong Shing-
loong said the company was finalising some details of its
proposal with the bank creditors.  A source said the
creditors had basically agreed to the proposal, except for
technical issues which they hoped would be resolved in a
meeting with Theme today.

Theme chairman Kenneth Lai Ngan-long has been lending his
full support to High Fashion's proposal, largely because
the company has said it will allow him to retain his
chairmanship if it succeeds.  To beat Giordano, High
Fashion was willing to skip due diligence and offered a
much-needed cash injection of $45 million to keep Theme
afloat.  Theme, which was slow to react to the financial
downturn in 1997, is on the verge of collapse under the
weight of $241 million in debts.

Mr Ng said Giordano would seek other investment
opportunities, including acquisitions or setting up a new
fashion line of its own using funds from a cash pile of
almost $600 million.  Giordano had wanted to take over
Theme because it would have given it instant exposure to a
women's wear chain.  Theme is expected to clarify its
position regarding the three proposals in the next couple
of days.  (South China Morning Post  25-Nov-1999)


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

DAEWOO CORP.: Workout plan rejected by parent's creditors
---------------------------------------------------------
Daewoo Group's creditor banks yesterday rejected workout
plans for Daewoo Corp., a trading unit with heavy foreign
liabilities.

With the initial agreement for a three-month debt freeze
ending Nov. 25, the creditors of Daewoo Corp. decided to
extend the period by another month.  In a meeting yesterday
at the headquarters of Korea First Bank, attended by
foreign observers, 79 domestic creditor banks turned down a
proposal to convert Daewoo Corp.'s over 18 trillion won
worth of debts into shares and convertible bonds.

The rejected workout plan, prepared by KFB, called for a
swap of 2 trillion won in debts for common shares and 16.7
trillion won for convertible bonds.  In addition, the
drafted scheme required creditor banks to provide fresh
funds amounting to $960 million in trade finance and a
payment guarantee of 480 billion won.  The plan stipulated
that the banks allow suspension of Daewoo Corp.'s repayment
of its remaining debts until December 2004.  The interest
was to be paid quarterly over five years beginning from the
first quarter of 2001.

The preliminary due diligence report stated that Daewoo
Corp.'s total bank liabilities amounted to $25 billion, 50
percent of the group's debts.  With the loss ratio of
Daewoo Corp. estimated at 75 percent, foreign creditors
have rejected the workout schemes from the beginning.
For Daewoo Motor, creditors failed to approve the workout
plan calling for an 8.8 trillion won debt-to-equity
conversion.

The debt rescheduling plan, drafted by Korea Development
Bank, required banks to provide an additional 900 billion
in operational funds and $2.35 billion in trade financing
to the motor company.   Meantime, creditor banks of Daewoo
Telecom, Daewoo Capital and Diners Club Korea have applied
for government mediation for their debt rescheduling plans.
(Korea Times  25-Nov-1999)


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

INTRIA BHD: Four parties submit rehab proposals for it
------------------------------------------------------
Four parties, including two listed companies, have so far
submitted their restructuring proposals to revive Intria
Bhd.

Intria executive chairman Yusli Mohamed Yusoff said the
company had received four proposals for its long pending
restructuring plan. The proposals were from companies
involved in activities related to Intria's.  However, he
declined to give further details on the parties that had
submitted proposals.

"All I can say is that a lot of discussions have been going
on but no detail has been finalised yet," Yusli told a
press conference after the company's 1-1/2-hour AGM in
Petaling Jaya yesterday.  "If things move fairly quickly,
we expect certain decisions to be made within the next
three months and the scheme accepted being implemented next
year."

Yusli also confirmed market talk that he would resign as
Intria executive chairman and managing director. "My
absence will not affect the operation of Intria," he said.

According to him, the company needs an external party to
save the company's future as it is bogged down by the huge
debts estimated to be over RM600mil.

"If there is no white knight to take part in the
restructuring plan, the bankers and creditors will have to
convert the debts into equity. But, I think it is not easy
for the banks to do this," he said.

He added that capital reduction and debt-equity conversion
were the possible options for Intria to solve its debt
problem. "The debt is the biggest problem in Intria."

The proposals were now being evaluated by merchant bankers
and Pengurusan Danaharta Nasional Bhd. Danaharta is now the
holding company of Intria as its former holding company--
Mekar Idaman Sdn Bhd--has been under receivership since
July last year.  There are speculations that MTD Capital
Bhd, United Engineers (M) Bhd and Kejora Harta Bhd were
interested to be the white knight to turn around the debt-
ladden company.

Yusli said Intria would also divest its assets as part of
the restructuring plan. "Costain may fall into the category
to divest it. It makes sense for us to divest this."

Intria acquired the ailing Britain-based construction group
Costain Group Plc in mid-1996 by offshore borrowings, a
move that was supposed to pave it towards becoming a world-
class construction group.  For the half financial year
ended June 1999, Costain recorded œ0.2mil pre-tax profit.
Commenting on the company's future direction, Yusli
reiterated that Intria's current focus was on the
restructuring exercise.

"Once the debt problem is solved, we will be able to raise
funds to undertake large scale construction projects ...
Intria would remain in infrastructure which is our present
core business. And Penang Bridge will remain as Intria's
asset," he added.

At the AGM, the shareholders approved all the resolutions
except for the resolution which would empower directors to
issue and allot ordinary shares from the unissued share
capital of the company.  Yusli said Intria was now in
discussion with the government on the issue of raising the
toll rate on Penang Bridge.

According to the 25-year concession, Intria was supposed to
have a rate hike last October. But due to the severe
economic condition last year, the government had delayed
the raise.  He said Intria would be compensated for the
loss of income by the government which would pay RM40mil
over the five-year period which started in 1998.  (Star
Online  25-Nov-1999)


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

BRANDED LIFESTYLE: 20% of loss-maker sold
-----------------------------------------
Tuan Sing Holdings said yesterday it had sold its entire 20
per cent interest in loss-making Branded Lifestyle to
Borneo Company for a nominal sum of $1.  Branded Lifestyle
had an accumulated loss at end-August of $1.39 million.
(Straits Times  25-Nov-1999)


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

BANGCHAK PETROLEUM: Issuing debentures to pay foreign debts
-----------------------------------------------------------
Petroleum Plc hopes to tap funding from savings
cooperatives nationwide by issuing up to US$130 million in
debentures to repay its foreign debts due next year.

Sirichai Sakornrattankul, who was appointed president of
the state-controlled oil company on Monday, said among his
priorities will be dealing with the US$130 million in
foreign loans that Bangchak borrowed and will come due in
mid-2000.  Bangchak's planned issue is the latest in a
current boom in the corporate bond market as blue chip
companies increasingly look to bonds as alternatives to
bank loans. But Bangchak is the first corporation to target
bonds to savings cooperatives.

Sirichai said Bangchak might be able to sell all the
debentures to savings cooperatives because the cooperatives
nationwide have a total of Bt40 billion deposited in the
banks. The savings cooperatives have combined assets worth
Bt300 billion.  Debenture financing will help Bangchak rid
itself of foreign debt, if it can raise the full US$130
million.

Bangchak got the loan last year with assistance from the
Ministry of Finance, its largest shareholder, which
provided a guarantee provision. Sirichai said it has not
yet been decided if the Finance Ministry will guarantee the
planned debentures.

"The coupon rate for the bonds will be lower with the
guarantee," he said.

Sirichai, currently senior executive vice president of
Industrial Finance Corp of Thailand (IFCT), will officially
assume the presidency of Bangchak from Dec 1. This week,
the corporation approved Sirichai's move to Bangchak but
reserved his position at IFCT, which he can resume at any
time.  Sirichai will present the 2000 business plan to the
Bangchak board next month.

"I have a great opportunity to take the key position in
Bangchak, and I promise to run its business in a more
practical way," Sirichai told reporters during an IFCT
conference yesterday.

Regarding Bangchak's controversial shares sale plan,
Sirichai said the company will abide by the State
Enterprise Policy Committee's resolution that shares will
be offered first to Thai investors and if no foreigners
show interest in the shares, all will be subscribed by
Thais.  He said the bar on foreigners holding more than 20
per cent in the company remains. National Finance Plc and
KGI Securities One Plc, the company's advisers for due-
diligence, expect the shares to be sold early next year.

On Wednesday, PM Office Minister Savit Bhotiwihok warned
Bangchak to complete the shares sale fast. With two new oil
refineries scheduled to begin operations in the region next
year, a large surplus of refined oil products is possible,
and this would affect Bangchak's share price, he said.

Under the privatisation plan, Bangchak will offer to the
public the 32 per cent of shares the Petroleum Authority of
Thailand and the Krung Thai Bank hold. The offering will
provide no new funding for the company as it involves the
sale of existing shares not a capital increase.  (The
Nation  26-Nov-1999)

TANAYONG PLC: Misses debt payment date, settlement possible
-----------------------------------------------------------
Tanayong Plc missed the payment of 3.5 billion baht due
yesterday to clear the outstanding debt it owes to Credit
Suisse First Boston (CSFB). This failure was expected but
both sides seem to want to compromise, rather than
resorting to lengthy and complicated court procedures.

Tanayong had earlier proposed paying CSFB through Standard
Chartered Bank in Hong Kong in a bid to prevent the auction
planned on December 7 for 248.5 million shares in Bangkok
Mass Transit System Co.  Tanayong used the shares as
collateral against loans at Siam Commercial Bank and CSFB
bought the loans from SCB under the bank's programme to
reduce non-performing loans.

"The new round of talks will help Tanayong and CSFB settle
their battle to keep control of BTSC," said a BTSC insider.

For now, the payment of 3.5 billion baht will be delayed.
No new deadline has been set but it must be before December
7 under the auction plan set by CSFB, the source said. It
was reported that CSFB would accept the payment but it
wanted to make clear details of the ownership of 265
million BTSC shares it won from the auction on November 5.
The first auction was held by Schroders International
Merchant Banking which represents 12 creditors that
extended US$80 million syndicated loans to Tanayong.

"The situation between Tanayong and CSFB has become less
tense. It's only natural that as businessmen, they don't
want to be stuck with any lawsuits," said a source at BTSC.

The negotiations between Tanayong and CSFB have not totally
broken down.

"If CSFB wants Tanayong to drop the lawsuit against CSFB
and Schroders, the banks should offer something to satisfy
Tanayong."

Tanayong filed a lawsuit against CSFB as a co-defendant
while suing Schroders, who held the auction, for damaging
Tanayong. The company demanded compensation totalling 16
billion baht to cover damages caused by the auction.
It is expected that there might be an out-of-court
settlement between Tanayong, CSFB and Schroders. If the
court case is cancelled, Tanayong, as a custodian for BTSC
shares, will accept the transfer of ownership of the first
portion of 265 million shares to CSFB.  (Bangkok Post  25-
Nov-1999)

TANAYONG PLC: To pay U.S. debt next week
----------------------------------------
Keeree Kanjanapas, the embattled major shareholder of
Bangkok Transit System Co (BTSC), yesterday gave an
assurance that his company, Tanayong Plc, would settle its
Bt3.6 billion debt to US investment bank CS First Boston
(CSFB) by next Wednesday.

Vichet Buntuwong, a senior financial executive of BTSC,
meanwhile, said Keeree had obtained the money from unnamed
foreign banks and a group of overseas Chinese businessmen
who will hold shares of BTSC through nominees.  Keeree
earlier said he would pay the debt on Nov 24 but failed to
do so.

"I definitely have the money (for the 248 million BTSC
shares)," he said in an interview yesterday, referring to
the shares that are scheduled to be auctioned by CSFB on
Dec 7.

The shares were placed as collateral for the Bt3.2 billion
loan on which Tanayong defaulted more than a year ago, plus
about Bt300 million-400 million in unpaid interest. Keeree
said he would not negotiate with CSFB on the first batch of
265 million shares acquired by the bank via auction earlier
this month.  He said the court will make a ruling on the
lawsuit filed against the bank for causing damage to
Tanayong. Keeree has sought compensation of more than Bt9
billion.

Last week, Tanayong also sent a letter to the Bangkok
Metropolitan Administration informing the authority that it
would not transfer the 265 million shares to the bank.
Deputy governor of Bangkok Thirachon Manomaipibul confirmed
the city administration had received a letter from Tanayong
on Nov 24 stating that the latter would not transfer the
shares.

The board of BTSC had resolved that the bank had obtained
the shares illegitimately and, as such, will not register
the share transfer.  The shares account for 22 per cent of
BTSC ownership. If transferred, Tanayong will see its
holding reduced from 51 per cent to 29 per cent. The second
batch of shares accounts for another 18 per cent of BTSC
ownership.

Keeree said Mass Transit Railway Corporation of Hong Kong
had sent a letter stating that it has no involvement in
shareholding of BTSC after CSFB issued a statement earlier
that the Hong Kong company would advise on the operation of
the BTS skytrain in Bangkok.  MTR is a 20-year veteran
operator of the Hong Kong mass transit system.

Thomas Grimmer, head of corporate communications for CSFB
in Hong Kong, told Dow Jones Newswires yesterday that the
bank is ready to halt the auction as long as the debt is
repaid before Dec 7.  He said Nov 24 was not a deadline,
but merely the date set by Tanayong to repay the debt.
BMA, meanwhile, will inspect the BTS skytrain system today
in preparation for its Dec 5 opening.  Siemens of Germany,
which supplied the equipment, will provide maintenance
services for the next five years.  (The Nation  26-Nov-
1999)


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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