TCRAP_Public/000405.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

             Wednesday, April 5, 2000, Vol. 3, No. 67

                                     Headlines


* A U S T R A L I A *

AMP LIMITED: Chair, 4 directors resign
NORMANDY MINING LTD: Tiger's asset plan puts stock in flux


* C H I N A  &  H O N G  K O N G *

GUANGDONG ENTERPRISES: Water project delay a hitch in plan
HAINAN NANYANG SHIPPING INDUS.: Asset-transfer settlement


* J A P A N *

HIKARI TSUSHIN INC.: To post 6-month loss
JAPAN AIR SYSTEM CO.: Early retirements to lighten debt
JGC CORP.: Secures 30B Yen credit line to lower debt
MEMOREX TELEX JAPAN LTD.: To report 220M Yen pretax loss
MITSUBISHI MOTORS: Family ties unraveling
NIIGATA ENGINEERING CO.: Sells valve firm stake to partner
NISSAN MOTOR CO.: Reducing stake in dealers
NTT DATA CORP.: Widens loss forecast
SACOS CORP.: Expects 6.22B Yen net loss for FY99
SOGO GROUP CO.: To reduce domestic stores by half
SUMITOMO CORP.: To post 38B Yen in valuation loss for FY99
TOKYO MISAWA HOMES CO.: To post net loss


* K O R E A *

DAEWOO MOTOR: Top fair trade official opposes Hyundai's bid
HANA BANK: To borrow $300M in syndicated loan
SAMSUNG MOTORS: Renault talks hit snag over `new' debt
SAMSUNG MOTORS: Creditors, Renault narrowing differences


* M A L A Y S I A *

COUNTRY HEIGHTS HLDGS: To sell new stock to raise RM401M
NALURI BHD: Mulling disposal of 29% MAS stake


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

AURORA SECURITIES: Could be named again in SEC report
ASIASEC EQUITIES INC: Could be named again in SEC report
BELSON SECURITIES INC: Could be named again in SEC report
CARMELO SANTIAGO: Could be named again in SEC report
CLEMENT T. SAW: Could be named again in SEC report
JIMMY JUAN: Could be named again in SEC report
MARK SECURITIES CORP: Could be named again in SEC report
PILIPINO TEL.CORP.: Creditors fail to seal debt deal
PNB SECURITIES INC: Could be named again in SEC report
ROBERT CO.: Could be named again in SEC report
SEC 2000 INC: Could be named again in SEC report
UNIWIDE GROUP: Allied also rejects rehab plan
VICKERS BALLAS SECURS.: Could be named again in SEC report
VICTORIAS MILLING CORP.: Asks SEC for more time


* T H A I L A N D *

BANGKOK NYLON: Posts narrower net loss
B GRIMM ENGINEERING SYSTEM: Reports narrower net loss
BUMRUNGRAD HOSPITAL: Expects debt restructure done in May
KRUNG THAI BANK: Debt transfer to cut bad loans to 16%
SIAM COMMERCIAL BANK: To cut stakes in 10 subsidiaries
SIAM YAMAHA: Yamaha makes joint venture into subsidiary
THAI MILITARY BANK: NFS says will buy unsold shares
THAI OIL: Signs debt restructuring agreement


=================
A U S T R A L I A
=================

AMP LIMITED: Chair, 4 directors resign
--------------------------------------
AMP Limited is also under the spotlight today, after the
resignation last night of chairman Ian Burgess and four
other directors.

At about 2pm AEST, AMP shares were up 56 cents at $16.75.
The Australian Shareholders Association this morning
welcomed the mass departure of nearly half the board of
AMP. In a drastic bid to restore investor confidence,
chairman Ian Burgess and four directors last night
resigned.

AMP's share price has suffered from the hostile takeover of
GIO, which ultimately exposed shareholders to more than $1
billion in losses from the insurer.  The board has also
been under fire over a $13 million payout to former boss
George Trumbell and AMP's rejection of a generous $21 a
share takeover offer last year by the National Australia
Bank.

The four directors to resign were: Professor Adrienne
Clarke, Tim Crammond, Bruce Kean and Kerry Roberts.
Ted Rofe of the Australian Shareholders Association
welcomes last night's dramatic move and says such "spring-
cleaning" is a good first step towards recovery.

"I think there's been a general feeling that there needs to
be a change in direction, perhaps a change in culture on
the board at the AMP," he said.  "I think probably it's a
good thing to do it in a fairly decisive manner."

Acting board chairman Stan Wallis says with the annual
shareholders meeting due next month, the board felt now was
the right time for Mr Burgess to go.

"We certainly found it difficult to get the facts out on
the AMP's real progress," he said.  "They've been obscured
clearly by a very major issue in GIO and one or two other
issues.  There's enormous progress in the Australian
businesses and in the investment management businesses and
the overseas businesses, and we have to get those messages
out.  We have to get on with taking AMP forward and that's
what the new board is committed to." (ABC News Online  04-
April-2000)

NORMANDY MINING LTD: Tiger's asset plan puts stock in flux
----------------------------------------------------------
Shareholders in Normandy Mining Ltd. could be forgiven for
thinking they are on a roller coaster named "The Tiger" as
news concerning Tiger Management LLC sent the stock down
one day and up the next.

But as the dust settles, investors are finding things
little changed, with fresh takeover speculation apparently
canceled out by the weight of Tiger's intention to
eventually sell its 11% stake in Normandy, Australia's
largest gold miner.

Shares in Normandy bounced back Friday, rising 2.4% to 87
Australian cents (53 U.S cents), a gain of two cents, after
Tiger said its stake isn't included in the pool of assets
it plans to liquidate in the short term, but will be
disposed of over time. That calmed a market that had sent
Normandy down as much as 6.8% to 82 cents at one stage
Thursday on expectations that Tiger was in immediate
seller.

Tiger on Thursday had said it will wind down all six of its
hedge funds and return most cash to investors, with about
80% of its US$6.5 billion in capital to be distributed to
stockholders by May 1.

According to some market watchers, by holding on to
Normandy, Tiger may be betting on the bottom falling out of
stock markets and a resultant rally in gold and gold miners
as investors flock to the yellow metal as a safe haven.
At the current share price Tiger is sitting on a loss of
around A$174 million, having bought the stake in Normandy
from Newcrest Mining Ltd. two-and-a-half years ago at
A$1.78 a share.

Speculation of Tiger selling its Normandy stake isn't new
and dogged the stock last year. Nevertheless Tiger's woes
have reignited speculation that with the 11% parcel
apparently available Normandy may be a takeover target,
especially given a relatively weak Australian dollar
against its U.S. counterpart.

Possible predators include Normandy's partner in the Super
Pit gold mine in Western Australia, Homestake Mining Co.
another is AngloGold Ltd., which expanded in Australia late
last year by taking out Acacia Resources Ltd. (The Asian
Wall Street Journal  03-April-2000)


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

GUANGDONG ENTERPRISES: Water project delay a hitch in plan
----------------------------------------------------------
The convoluted debt-restructuring plan of Guangdong
Enterprises (Holdings) (GDE) has run into a new snag, with
the provincial government delaying the injection of a key
asset into Guangdong Investment (GDI).

GDI, the locally listed flagship of GDE, yesterday said
that the deadline to complete the purchase of an 81 per
cent stake in Dongshen Water Supply Project would be
extended to June 30 from March 31.  GDI chairman Wu Jiesi
said it had not obtained the relevant mainland approvals
for the corporatisation of the water project, originally a
provincial government asset, citing the scale and
complexity of the purchase.

A number of other unidentified issues also needed to be
resolved, he said.  Bankers said the delay would mean GDE
creditors would have to book more funding losses, because
the provincial government had agreed to pay interest at 7
per cent only until March 31.

The interest after the March deadline would be halved to
3.5 per cent, they said.  GDI creditors face no disruption
on their interest payments.  The acquisition forms part of
a GDE restructuring plan involving about 120 creditor banks
and liabilities of US$5.59 billion.

The plan, announced in May, was revised on December 16.
The Dongshen Water Supply Project, which supplies 75 per
cent of Hong Kong's water, is arguably the most significant
asset provided by the Guangdong government to keep GDI
afloat.

The injection of Dongshen, with 2.4 billion yuan (about
HK$2.24 billion) of revenue in 1998 and net profit of 1.9
billion yuan, is aimed at rebuilding creditors' confidence
in GDI by enhancing its cash-flow position.  Bankers said a
lack of due diligence on the project had contributed to the
delay in completing the purchase.

The Dongshen project has been estimated to be worth about
US$2.2 billion, on forecast revenue last year of 2.73
billion yuan.  Under the revised plan announced on December
16, Guangdong's provincial government would create a Hong
Kong-registered subsidiary - GDH - and it would transfer
its GDE shares to the new entity.

GDE would also acquire Nam Yue (Group), the provincial
government's Macau investment arm.  The liabilities of GDE,
Nam Yue and another GDE unit, Guangnan (Holdings), would be
restructured so creditors received a package of new debt,
equity and cash. (South China Morning Post  04-April-2000)

HAINAN NANYANG SHIPPING INDUS.: Asset-transfer settlement
---------------------------------------------------------
Hainan Nanyang Shipping Industrial Co Ltd said it has been
ordered by the court to transfer ownership of the eighth
floor of the Dongfang Yang Building to Yangpu Chenghui
Industrial Co Ltd as part of a legal settlement on
outstanding debts.

Under a ruling by Hainan Intermediate Court, Hainan Nanyang
unit Nanyang Shipping Group Ocean Fishing Industry Co Ltd
is required to vacate the property by April 29. Noting that
its A share price has closed limit-up for three consecutive
days, the company, which has announced it expects to report
a large net loss in its 1999 results, said its operations
remain unchanged, adding that investors should beware of
the risks of investing and should not believe rumours.
Nanyang Shipping's A shares last closed at 7.46 yuan.
(AFX News Limited  04-April-2000)


=========
J A P A N
=========

HIKARI TSUSHIN INC.: To post 6-month loss
-----------------------------------------
Hikari Tsushin Inc., which sells cellular phone handsets
and e-mail services, extended losses after saying it will
report an operating loss for the six months ended February,
because of fewer-than-expected new phone subscriptions.

Hikari Tsushin, whose share price rose 30-fold last year,
said it expects an operating loss of 13 billion yen after
earlier forecasting a 6 billion yen operating profit. It
was last offered at 68,800 and has not traded since last
Thursday's close. (Bloomberg  03-April-2000)

JAPAN AIR SYSTEM CO.: Early retirements to lighten debt
-------------------------------------------------------
Japan Air System Co. is introducing an early retirement
incentive programin the fiscal year starting April that
covers its entire regular work force of about 5,000,
company sources said.

Japan's third-largest airline will accept applications for
the plan until mid-June. Workers taking advantage of the
offer are expected to receive retirement allowances that
are 30-40% higher than usual.  It is rare for a Japanese
company to extend such an offer to all employees,
regardless of age, length of service or position.

The airline urgently needs to revamp operations; it aims to
clear some 19 billion yen in cumulative losses off its
books.  The company will accept applications for the
program until the 15th of each month; workers signing on
will leave at the end of the month.

A 42-year-old worker leaving through the program is
expected to receive a 23 million yen retirement allowance,
about one-third more than under normal circumstances. A 32-
year-old employee would be eligible for 8 million yen, over
40% more than usual.

Japan Air System expects 200-300 employees to apply for
early retirement, thus reducing its personnel costs by 2-3
billion yen.  The airline earlier announced a plan to
reduce its work force by 1,000 over the four years from
fiscal 2000. The early retirement program is expected to
play a key role in achieving that goal. (Nikkei  03-April-
2000)

JGC CORP.: Secures 30B Yen credit line to lower debt
----------------------------------------------------
JGC Corp. (1963) has secured a 30 billion yen line of
credit from six Japanese banks as part of a drive to pare
down its interest-bearing debt.

JGC does not plan to tap into the credit line for the time
being, but the plant engineering firm wants it in place so
that it can safely channel surplus cash to pay down debt.
In a related move, JGC also arranged a 40 billion yen
commercial paper issuance program, giving it access to
unsecured financing should it suddenly need cash.

JGC cut its interest-bearing debt to an estimated 72
billion yen as of Friday, down from 116 billion yen a year
ago. But over the medium to long term, it aims to slice its
debt to around 50 billion yen.

Arranged by Sakura Bank (8314), the line of credit is also
backed by Sanwa Bank (8320), Fuji Bank (8317), Sumitomo
Bank (8318), Bank of Tokyo-Mitsubishi (8315) and Bank of
Yokohama (8332).  The bank line will be renewed annually,
and the fees involved will be adjusted depending on JGC's
credit ratings. (Nikkei Financial Daily  03-April-2000)

MEMOREX TELEX JAPAN LTD.: To report 220M Yen pretax loss
--------------------------------------------------------
Memorex Telex Japan Ltd. (9862), an affiliate of Kanematsu
Corp. (8020), said it will report a pretax loss of 220
million yen for fiscal 1999, its second consecutive pretax
loss.

The figure represents a narrowing from the 430 million yen
loss the year before, but fell short of the company's
earlier forecast of a 380 million yen profit.  Results were
hurt by delays in new product launches and clients'
reluctance to buy computers due to the year 2000 computer
problem. Sales totaled 13 billion yen, 2.5 billion yen
short of projections and 27% less than in fiscal 1998.

Sales of peripheral equipment such as tape drives for
mainframe computers were also sluggish. The company had
pinned its hopes on sales of equipment for debit cards, but
expansion of the service has been slow.  Memorex Telex
Japan's net loss was 1.12 billion yen, widening from a 740
million yen loss the year before. The company will pay no
dividend, as planned. (Nikkei  04-April-2000)

MITSUBISHI MOTORS: Family ties unraveling
-----------------------------------------
The recent capital and business tie-up formed between
Mitsubishi Motors Corp. and DaimlerChrysler AG seems to
have paved the way for a recovery of the struggling
automaker, one of the most pressing issues confronting the
Mitsubishi group.

Analysts say the fact that the Mi-tsubishi keiretsu was
willing to let the German American automaker rescue a group
firm shows that corporate family links are weakening.
Katsuhiko Kawasoe, Mitsubishi Motors president, asserted at
a March 28 press conference in Tokyo that his company will
maintain its independence.

But, to most observers, there is little doubt that
DaimlerChrysler, which will invest 225 billion yen ($2.1
billion) to acquire a 34% stake in the company and place
three directors on Mitsubishi's 10-member board, will have
huge influence over decision-making.

Despite the loss of control over a group company, one
senior Mitsubishi official welcomed the agreement, saying
the umbilical cord between Mitsubishi Motors and Mitsubishi
Heavy Industries Ltd. had finally been severed, thanks to
the efforts of trading house Mitsubishi Corp.

Mitsubishi Motors was established in 1970 as a spinoff of
Mitsubishi Heavy's car division. Although the separation
took place three decades ago, the two companies had
maintained a strong bond. Today, Mitsubishi Heavy is still
the principal shareholder of the automaker, owning 23.9% of
the company's shares.

Mitsubishi Heavy has done its part to help the troubled
group company, deciding in January to buy part of a Mi-
tsubishi Motors site in Nagoya. However, the hands of the
heavy equipment manufacturer are now tied since admitting
it was likely to suffer a net loss of 136 billion yen in
the year through March.

Takashi Nishioka, president of Mitsubishi Heavy, repeatedly
said he has no intentions of meddling with the running of
the carmaker. Some observers say Nishioka has little
interest in the auto business as he spent most of his
career at Mitsubishi Heavy in the aerospace division.

Mitsubishi Motors failed to make a decisive move in the
global auto-industry reorganization. Some believed the
company lacked a sense of crisis as it expected support
from the Mitsubishi group. When that help failed to
materialize, the company found itself on the outside as
Nissan Motor Co. and Fuji Heavy Industries Ltd. accepted
foreign-capital participation to support their
restructuring.

Minoru Makihara, the chairman of Mitsubishi Corp. who heads
up "Kinyokai," a Friday gathering of the chief executives
of group companies, was alarmed by the situation. Last
July, he reportedly urged Kawasoe to seek a strategic
alliance with a foreign carmaker and offered assistance,
including access to the trading house's expertise in the
areas of legal and financial affairs.

In the run-up to the agreement with DaimlerChrysler,
Mitsubishi Motors depended on the advice of the trading
house, rather than its top shareholder, Mitsubishi Heavy.
It is said that Kawasoe held detailed discussions with
officials of the trader's car division before meeting
DaimlerChrysler officials in late February.

Not too long ago, the Kinyokai would never have approved a
rescue package that gave foreigners substantial control
over a group member. But, Makihara says the nationality of
capital is irrelevant in this age of globalization. "We
cannot let a group company that shares our history and the
Three Diamonds brand fall by the wayside."

The Mitsubishi group is likely to have diminished influence
over Mitsubishi Motors as the result of the capital
participation by DaimlerChrysler. Even so, the Mitsubishi
group as a whole could well benefit from the transformation
of a group member into part of a global automaking
alliance.

Juergen Schrempp, chief executive officer at
DaimlerChrysler, said on March 28 that capital
participation in the Mitsubishi carmaker had created ties
with one of the world's great industrial groups. Makihara
also expects positive things from the tie-up, saying that
expansion of the group's reach will bring new business
chances.

Takaki Nakanishi, an analyst at Merrill Lynch Japan Inc.,
said: "I don't think of the Mitsubishi group as a monolith.
While Mitsubishi Corp. is eager to broaden its business
horizons, Mitsubishi Heavy and Bank of Tokyo Mitsubishi
have shown reluctance to prop up other group members. That
made room for DaimlerChrysler to acquire a strong
management position at Mitsubishi Motors." (Nikkei  03-
April-2000)

NIIGATA ENGINEERING CO.: Sells valve firm stake to partner
----------------------------------------------------------
Niigata Engineering Co.(6011) has sold its entire stake in
Niigata Masoneilan Co. to its partner Dresser Equipment
Group for an estimated 1.6 billion yen, sources close to
the matter said Sunday.

Dresser Equipment of the U.S. has taken over the operations
of the Chiba Prefecture valve manufacturer. The 280-strong
work force will be unaffected. The president will likely
remain in his position and the name of the company will
probably stay unchanged.

Niigata Engineering expects to post group net loss of 38.7
billion yen for the year ended March 31 due in part to poor
sales of industrial machinery. It aims to restructure by
focusing on its motor and engineering businesses, prompting
the decision to cut its ties with Dresser Equipment.

Niigata Masoneilan was founded in 1974 as a 50-50 venture
between the Japanese company and Dresser Equipment. The
firm makes valves to control the flow of oil, gas and
chemicals and boasts annual sales of around 8 billion yen.
Dresser Equipment was the machinery division of the former
Dresser Industries, which merged with U.S. company
Halliburton Co. in 1998.

Dresser Equipment plans to use Niigata Masoneilan as a base
to supply markets in South Korea, China and Southeast Asia,
where demand for equipment used at industrial plants is
expected to grow.  Halliburton is the world's largest oil
drilling service company. Group sales in the year ended
December totaled 14.9 billion dollars. (Nikkei  03-April-
2000)

NISSAN MOTOR CO.: Reducing stake in dealers
-------------------------------------------
The dissolution of cross-shareholdings between Japanese
automakers and their parts suppliers is now extending to
new car dealers.

Nissan Motor Co. has sold a substantial part of its
shareholdings in Tokyo Nissan Auto Sales Co., the only
publicly listed dealer in the Nissan group. By doing so,
Nissan relinquished its position as Tokyo Nissan's largest
shareholder for the first time in 18 years.

The corporate philosophy of Nissan's chief operating
officer and incoming president Carlos Ghosn was clearly
behind the share sell-off. The former executive at France's
Renault SA does not see share ownership as indispensable
for business strategy.

Nissan sales are sluggish, dealers are being asked to sell
Renault cars, and now the parent company is cutting its
dealer ties. The survival of each of Nissan's 190 domestic
dealers is being tested in this dynamically changing
environment.

While dealers are Nissan's most important partners, each
party has to exercise responsibility on its own, Ghosn said
at a recent gathering of Nissan dealers in Tokyo. He urged
the dealers to become more independent.  Not long after
that gathering, Nissan on March 22 sold 8,995,000 shares of
Tokyo Nissan Auto Sales to other top shareholders, bringing
down its capital interest from 25% to 4.6% and making it
the seventh-largest shareholder.

Ghosn's management style requires capital and business
relationships be kept separate. Nissan's Revival Plan for
corporate restructuring indicates that capital ties to only
four of the 1,394 companies in which the automaker now has
equity stakes are considered indispensable.

Dealerships are no exception. The Revival Plan will reduce
the 90 directly owned dealers by about 20% over the next
three years. However, it could be difficult to find buyers.
While many in the auto industry appear uninterested, Ghosn
has gone ahead with the stock sales to indicate his
commitment to reform.

Nissan owns nearly half of its dealers. In this respect, it
is unlike Toyota Motor Corp., whose dealers are largely
prominent independent local companies. Dealer ownership was
fine when the domestic car market was expanding steadily,
but soon became a heavy burden as the market matured.

When the automaker was targeting growth in market share,
Nissan's policy had been to increase the number of directly
owned dealers, making it easier to impose its policies.
With Nissan as the parent company, dealers pursued
ambitious expansion plans that completely ignored
their actual financial positions. Because top management at
dealers came from Nissan itself, lower-ranked employees
found it difficult to pass market information up to them.
Over the years this has hobbled Nissan's ability to develop
new cars that meet market needs.

Ghosn's reform strategy is based on putting Nissan's
relations with its dealers on a solid business footing. He
said he hopes to see entrepreneurial individuals taking
over marketing and has repeatedly said that Nissan needs a
profit- and customer-oriented corporate philosophy.

With Nissan no longer its major shareholder, Tokyo Nissan
Auto Sales will have to answer to new institutional
investors, which means putting the focus on investor
interests. The company has already sold Tokyo Nissan
Building, located in the prime Tokyo downtown district of
Roppongi.

In April, the company plans to spin off its used-car
operations into a new company, which will expand business
activities to encompass the entire Tokyo metropolitan area.
The company also plans to expand its model lineup to
include vehicles from other automakers.

With Nissan having announced plans to consolidate its
marketing network into two channels, dealers located in the
same region are also merging. Mergers occurred among
dealers in Hokkaido, Aomori, Fukuoka, Kumamoto and Okinawa
prefectures last year.

Nissan aims to sell 772,000 vehicles in Japan in fiscal
2000, 40% lower than its peak sales level. Still, Nissan
will likely have a particularly rough time in the first
half of the fiscal year since new models won't arrive until
the fall.  The extent to which Nissan dealers' attitudes
can be changed in the current difficult environment will
likely determine how close the automaker comes to achieving
its sales target. (Nikkei  03-April-2000)

NTT DATA CORP.: Widens loss forecast
------------------------------------
Internet-related companies fell, paced by NTT Data Corp.,
after it widened its group net loss forecast, as investors
questioned whether they paid too much for last year's best-
performing companies.

It widened its group net loss forecast 51 percent to 17.8
billion yen ($171 million) for the year ending last Friday,
due to lower-than-expected demand for systems software. The
company rose 319 percent in 1999. NTT Data, Japan's largest
information services operator, fell 160,000 yen to 1.77
million. (Bloomberg  03-April-2000)

SACOS CORP.: Expects 6.22B Yen net loss for FY99
------------------------------------------------
Sacos Corp. (9641), which leases construction equipment,
recorded an estimated 6.22 billion yen net loss for fiscal
1999, better than its 11.98 billion yen loss the year
before.

Still, the loss was 2.81 billion yen larger than previously
forecast. The company took extraordinary losses of 1.7
billion yen on revaluation of its real estate, and another
500 million yen on restaurants and other businesses that it
abandoned in the course of the fiscal year.

In addition, the company took a capital loss of 400 million
yen on the sale of its shares in a subsidiary that rents
construction equipment. Sales totaled 15.89 billion yen,
340 million yen short of earlier projections, and 24% below
year-earlier levels. Slack demand led to discounted rental
rates. The company also closed some outlets as part of its
restructuring efforts. (Nikkei  04-April-2000)

SOGO GROUP CO.: To reduce domestic stores by half
-------------------------------------------------
The Sogo Co. (8243) group has decided to either close or
sell off eight of its 27 domestic department stores,
including its flagship store in Osaka, and is converting
five stores into buildings devoted to housing shops set up
by specialty retailers, The Nihon Keizai Shimbun learned
Monday.

The department store operator plans to restructure by
centering its domestic operations around the remaining 14
profitable outlets.  The Sogo group will also sell its
stake in a Taiwanese joint venture. The streamlining
measures are designed to help reduce some 1.7 trillion yen
in interest-bearing liabilities. Sogo will hammer out
details of the plan by the end of this month and seek
approval from some 140 creditor institutions.

Sogo's domestic operations generated roughly 940 billion
yen in sales in the fiscal year ended Feb. 29 and revenue
is expected to decline as a result of the restructuring.
But its operating profit margin is expected improve after
Sogo offloads the unprofitable stores. (Nikkei  04-April-
2000)

SUMITOMO CORP.: To post 38B Yen in valuation loss for FY99
----------------------------------------------------------
Sumitomo Corp. (8053) said Monday it will post valuation
losses totaling 38 billion yen for the just-ended fiscal
year through March 2000 due to weakening market prices of
its securities and real estate holdings.

The trading house expects valuation losses of 21 billion
yen from its securities holdings, and 17 billion yen in
losses from real estate property the company owns.

However, the company kept intact its previous earnings
outlook for the latest fiscal year. It will post gains of
11.3 billion yen from the March 31 sale of its wholly-owned
tobacco company to the British American Tobacco group, it
said. (Nikkei  03-April-2000)

TOKYO MISAWA HOMES CO.: To post net loss
----------------------------------------
Tokyo Misawa Homes Co. (1915) is estimated to have
sustained a net loss of 1.55 billion yen for the fiscal
year ended Friday, a reversal of the 73 million yen profit
it posted for fiscal 1998 and well below its fiscal 1999
forecast of 100 million yen in profit.

The apparent loss, Tokyo Misawa's first since over-the-
counter registration in 1986, was incurred due to an
extraordinary charge of 2.36 billion yen, which partly
resulted from a "compulsory devaluation" of the firm's real
estate holdings.

A compulsory devaluation accounting system is being
introduced for fiscal 2000. Under the system, real estate
holdings that have lost 50% or more of their book value
must be reevaluated, with the result booked as an appraisal
loss.

Tokyo Misawa Homes decided to move ahead and revalue all of
its holdings that have slipped by at least 10% in value. As
a result, it has completely eliminated its unrealized
losses for now.  The company's fiscal 1999 pretax profit is
estimated to have risen 110% on the year to roughly 510
million yen.  (Nikkei  04-April-2000)


=========
K O R E A
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DAEWOO MOTOR: Top fair trade official opposes Hyundai's bid
-----------------------------------------------------------
The outlook for Hyundai Motor's bid for Daewoo Motor is
turning increasingly gloomy, in the face of strong
opposition from top government officials.

Jeon Yun-churl, chairman of the powerful Fair Trade
Commission, said yesterday that he is opposed to Hyundai's
takeover of Daewoo Motor because it would give the company
a near monopoly in the domestic auto industry.

"Hyundai Motor's possible control of Daewoo Motor,
following its acquisition of Kia Motors, will turn the
nation's auto market into a one-company monopoly, leading
to a lot of adverse effects," said Jeon in a meeting with
reporters.  "It is not desirable for the domestic auto
industry to be monopolized by a single company."

Earlier, Minister of Finance and Economy Lee Hun-jai,
Daewoo Group Corporate Restructuring Committee Chairman Oh
Ho-geun and Daewoo Motor president Chung Ju-ho, among
others, have successively hinted at their inclinations to
sell Daewoo Motor to foreigners.

Moreover, the Hyundai Group's latest family dispute, which
shed fresh light on chaebol-associated problems, such as
the chairmen's emperor-like powers and a lack of
transparency, is expected to take its toll on Hyundai
Motor's bid for Daewoo Motor, analysts forecast.

Further confounding the outlook, Hyundai Group Chairman
Chung Mong-hun, who took control of the group's cash-rich
electronics, construction and financial units as a result
of the family power struggle, refused to extend support to
Hyundai Motor's Daewoo bidding. Hyundai Motor is scheduled
to be spun off from the mother group by June.

The anti-Hyundai remarks by Jeon, a key member of President
Kim's economic policymaking team, came after Hyundai Motor-
Kia Motors Chairman Chung Mong-koo renewed his strong
interest in Daewoo Motor in the wake of his defeat in a
power struggle for the group chairmanship.

Notably, a company executive said over the weekend that
Hyundai Motor will soon join an international fuel cell
consortium led by DaimlerChrysler and Ford Motor, raising
speculation that Hyundai may tie up with DaimlerChrysler
for a joint acquisition of Daewoo.

Daimler-Chrysler Chairman Juergen Schrempp said the German-
U.S. auto giant is not interested in acquiring Daewoo
Motor, but will instead push for an alliance with Hyundai
Motor.  Meanwhile, the trade union of Daewoo Motor went on
strike last week in protest of the company's possible sale
to a foreign firm. (The Korea Herald  04-April-2000)

HANA BANK: To borrow $300M in syndicated loan
---------------------------------------------
Hana Bank has announced that it would borrow US$ 300
million via a syndicated loan and floating rate note (FRN)
from foreign banks.

Lead managers ABN Amro Bank, Standard Chartered Bank and
Germany-based West LB will each invite banks for US$ 100
million loan by April 26 and let them select whether they
will lend the money through a syndicated loan or FRN.
Maturity is three years and total cost is a relatively-low
LIBOR plus 1.25-1.3 percent including commissions, the bank
said.

The loan amount is the largest for the bank since December
1997, when the economic crisis began, and most of it will
go to expand investments overseas and lending, foreign
currency loans and early redemption of high-interest rate
loans.  The bank will decide whether to increase the amount
of loans according to the outcome of a consortium
invitation and the money will be drawn out after the
signing ceremony in May.  (Asia Pulse  03-April-2000)

SAMSUNG MOTORS: Renault talks hit snag over `new' debt
------------------------------------------------------
Last-ditch talks to sell Samsung Motors to Renault have hit
a snag because of the emergence of unexpected debt, and
sales are likely to be delayed for at least two weeks,
according to Samsung Motor and its main creditor Hanvit
Bank sources.

Senior executives from Renault have been here in Seoul
since Monday to wrap up negotiations with creditors and
Samsung Motor after a breakdown in earlier talks in Paris
on March 25-26.  Exclusive talks ended between the two
sides last Friday.

The second day into a third round of talks produced no
results due to differences over an unexpected debts of the
carmaker worth 291.2 billion won (US$ 262 million). The new
debts Samsung Motor owes to its sister company Samsung Corp
only emerged at the negotiating table and public in the
first formal talks in mid-March.

Samsung Motors has failed to repay for 10 after-sales
service factories and 30 sales outlets plus personnel it
borrowed for from Samsung Corp in June 1998. Outstanding
debts plus interest rates, excluding the deposit worth 6
billion won, reach 291.2 billion won.

Samsung Motor issued a bill to pay the debt in instalments
over two years with a one-year grace period, but the bill
has been frozen after the company went under court
protection.  Samsung Corp recently filed for repayment with
the Pusan District Court's bankruptcy department and the
loan has been classified as "public debts" that need to be
repaid above all debts.

Samsung Corp demands Renault make separate payment for the
sales and after-sales service sector when it becomes the
new owner of Samsung Motors while the French car maker
wants to include them in its total price offer of 695
billion won.

"The court has classified the loans as debts for top
priority payment and this means that we will have to hand
over nearly half of the sales funds to Samsung Corp," a
senior official of Hanvit Bank, the main creditor of
Samsung Motors, said.

Creditors, Samsung Motor, Samsung Corp, Samsung Group and
Renault will meet again on Thursday and ask the Pusan court
for co-ordination.  They plan to seal the third round of
talks this week and hold the next round after a court
review, which means the next talks are unlikely to take
place before the general elections on April 13.

Creditors agreed to extend the period for exclusive talks
with Renault until April 29. Creditors proposed that
Samsung Corp share equal burden with the rest of the
creditors by re-evaluating Samsung Motors' assets at
current value for revised debt ratio.

Samsung Corp, however, maintains its principle that it be
paid the full amount, arguing that it is a breach of
regulations to disregard "public loans."  On March 6, the
French group proposed setting up a joint company with
Samsung Group with Renault taking a 70 percent stake and
Samsung 30 percent.

But creditors demand stake equal to 130 billion won and
Samsung is saying it cannot own more than 19.5 percent
because the company can be considered an affiliate with
more than 20 percent stake. Renault has been driving a hard
bargain because the acquisition of Samsung Motor is not
viewed as crucial to its global strategy. It is already
overseeing a major restructuring of Nissan.  (Asia Pulse
04-April-2000)

SAMSUNG MOTORS: Creditors, Renault narrowing differences
--------------------------------------------------------
France's Renault SA and the creditors of Samsung Motors
have narrowed their differences on the sale terms of the
bankrupt South Korean car maker after the latest round of
talks ended here Tuesday, bankers said.

"We have been narrowing our differences, and will keep
doing so," an official of Hanvit Bank, Samsung Motors' main
creditor, told AFP after the second day of the resumed
negotiations with Renault ended in Seoul.  "Both sides have
also agreed to extend Renault's exclusive bargaining status
period for another 15 days from now and to meet again."

The latest talks -- the third round of negotiations -- were
held although Renault's exclusive bidder status expired
last Friday.  The local banker said that the next round of
bargaining would likely be held in Paris as Renault
preferred the French capital as the venue. No date had yet
been fixed for the new round of negotiations.

A major stumbling block to striking a deal during the
latest round of negotiations was how to treat Samsung
Motors' hidden debt, another banking source familiar with
the negotiations said.  The sale was clouded last month
when it was discovered Samsung Motors owed 291 billion won
(260 million dollars) to Samsung Corp., the Samsung Group's
trading arm, the source said.

"Renault wanted the local creditors and Samsung Corp. to
clear the belatedly-discovered debt," he said. "Creditors
and Samsung Corp. will soon get together, under the court's
mediation, to address the issue."

Despite no major breakthrough being made during the latest
talks, some business sources here predicted the two sides
would eventually clinch a deal.  Pressure has been mounting
on local creditor banks in South Korea's southeastern port
city of Pusan, Samsung Motors' base, to speed up the sale
of the crippled auto company to Renault.

Pusan residents claim that unless full operations of
Samsung Motors are resumed, some 2,100 subcontractors will
be forced out of business.  Samsung Motors was launched in
March 1998 but was placed in court receivership last July
with 4.3 trillion won in debts.  (Agence France Presse  04-
April-2000)


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

COUNTRY HEIGHTS HLDGS: To sell new stock to raise RM401M
--------------------------------------------------------
Country Heights Holdings Bhd, a Malaysian property group,
said it plans to sell new stock to existing shareholders to
raise 401 million Malaysian ringgit (S$180.9 million) to
help repay debt and fund its business.

The company's property expansion can be "more quickly
realised through the infusion of new funds from the" rights
offer, it said. Country Heights also plans a bonus share
issue of up to 200.58 million new shares on the basis of
one new share for every two shares held. The announcement
was made after the close of the market. The company's
shares rose 5 sen, or 0.9 per cent, to RM5.25. (Business
Times  04-April-2000)

NALURI BHD: Mulling disposal of 29% MAS stake
---------------------------------------------
Naluri Bhd has yet to decide on the partial sale of its 29%
shareholding in Malaysia Airlines (MAS), said its chairman
Tan Sri Tajudin Ramli.

Tajudin said the board had not gone into details of the
sale and would remain silent on the matter until everything
was finalised.  On whether there was a possibility of the
partial sale, he said "it could be anything."

"You have to check with the Corporate Debt Restructuring
Committee (CDRC) as they said it (about the sale) and not
me," Tajudin, who is also MAS chairman, told reporters
after the MAS Y2K sign-off and awards presentation ceremony
in Petaling Jaya yesterday.

CDRC chairman Datuk C. Rajandram had said last month that
Naluri would dispose part of its shareholding in MAS under
its proposed debt restruncturing scheme expected to be
finalised this month.  Commenting on another press report
which stated that Naluri would sell 8%-10% of its stake in
the national carrier, he remarked: "I don't know about
that."

At the MAS awards presentation earlier, Tajudin said the
successful MAS Y2K team that was set up in September 1997,
were equipped with vast experience and knowledge that could
help transform the national carrier into a leader in the
aviation industry.

"The success in implementing risk management strategies for
Y2K has been able to maintain the trust of our business
partners which include the govenrment and the public," he
noted.

Tajudin also said that MAS would soon be undergoing
"remissioning" in order to position the airline on a strong
footing in the "new economy", ensuring the airline to be
profitable.  The expenditure for the Y2K team was below
what was allocated by MAS. (The Star  04-April-2000)


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

AURORA SECURITIES: Could be named again in SEC report
ASIASEC EQUITIES INC: Could be named again in SEC report
BELSON SECURITIES INC: Could be named again in SEC report
CARMELO SANTIAGO: Could be named again in SEC report
CLEMENT T. SAW: Could be named again in SEC report
JIMMY JUAN: Could be named again in SEC report
MARK SECURITIES CORP: Could be named again in SEC report
PNB SECURITIES INC: Could be named again in SEC report
ROBERT CO.: Could be named again in SEC report
SEC 2000 INC: Could be named again in SEC report
VICKERS BALLAS SECURS.: Could be named again in SEC report
----------------------------------------------------------
The Securities and Exchange Commission (SEC) will submit to
the Department of Justice (DOJ) this Thursday, a new
partial report naming five individuals led by President
Estrada's ally, businessman Dante Tan, and eight broker
firms for alleged stock fraud involving gaming firm Best
World Resources Corp. (BW).

In the first report which the SEC recommended for
prosecution to the DOJ but which was thrown an injunction
order by the Court of Appeals (CA), it named five
individuals led by presidential allies Dante Tan and
Carmelo Santiago, and seven broker firms for their
participation in fraudulent and manipulative acts that led
to the phenomenal rise and fall of BW stock prices last
year.

The partial report of the SEC never reached the DOJ because
one of the named principals, Jimmy Juan, beat the corporate
watchdog to the draw and obtained an injunction from the
CA.  Aside Tan, the SEC also named alleged Tan dummies,
Jimmy Juan, Carmelo Santiago, owner of Melo's Restaurant
and a director of state-run National Power Corp., Robert Co
and Clement T. Saw.
The broker firms named were: Aurora Securities, Asiasec
Equities Inc., Belson Securities Inc., Mark Securities
Corp., PNB Securities Inc., SEC 2000 Inc. and Vickers
Ballas Securities (Phils.) Inc.

At the same time, newly-installed SEC Chairman Lilia
Bautista vowed to complete the investigation of BW in her
first 100 days in office. Aside from this, Bautista said
she will push for the reorganization of the SEC, focusing
on capital market development and less on corporate
registry and quasi-judicial functions.

"First, is the resolution of the BW case. I believe that
each one of us is eager to see this case through so that we
could finally move on. We will come up with a new initial
report by Thursday and it will involve other parties and
individuals not necessarily the same as the ones named in
the report of the compliance and surveillance group of the
Philippine Stock Exchange," Bautista told reporters after
her speech before members of the Makati Business Club
(MBC).

Bautista added that in the course of the ongoing
investigation of the SEC's prosecution and enforcement
department (PED), more names are cropping up "and this is
something that we are closely looking into."

Most of the violations committed by those named in the new
initial report to be handed to the DOJ this Thursday,
involve wash sales, violations of broker-director rule and
stock price manipulation.  (Philippine Star  05-April-2000)

PILIPINO TEL.CORP.: Creditors fail to seal debt deal
----------------------------------------------------
Debt talks between cash-strapped cellular firm Pilipino
Telephone Corp. (Piltel) and creditor banks were not
concluded last week as originally planned after kinks in
the restructuring terms were not ironed out in time, a
banking source said.

The source said the March 30 signing did not proceed as
planned since Piltel was requesting for some revisions.

"But those are very minor... The lawyers of both camps are
discussing the revisions," the source said.

The source said there may be a revision to the contents of
the letter of support of parent company Philippine Long
Distance Telephone Co. (PLDT).  In the original letter,
PLDT expressed willingness to add to the capitalization of
its majority-owned subsidiary. The amount the mother firm
is willing to infuse into its subsidiary was not stated,
however.

The source said the letter of support should indicate the
maximum amount PLDT may infuse to Piltel.  PLDT will be
infusing $150 million to its cellular subsidiary to assist
the company in the repayment of obligations. For the first
year of the rehabilitation process, PLDT will infuse around
$3 million to $4 million. The remainder of the investment
will be infused in the succeeding years.

"We will agree as long as the conditions are not
unreasonable. We have no leverage since we have no
collateral... The Memorandum of Understanding (MoU) has
expired last March 31. But we can continue," the source
added.

The deal signed with creditor-banks last October will set
the principal terms that will provide the framework for the
restructuring of debts. It will likewise set the tone for
negotiations with other creditors such as bondholders and
Japanese supplier Marubeni Corp.

Piltel's obligations to bondholders, suppliers and creditor
banks have ballooned to 34.9 billion Philippine pesos (PhP)
(US$847.62 million at PhP41.174:US$1).

Based on the indicative restructuring terms, tranche A or
50% of Piltel's debts will be converted into Piltel notes.
The notes can be exchanged for PLDT preferred stocks or
convertible notes, which will then be convertible to PLDT
common stocks. The notes will bear an interest of 1%, which
will be payable annually.  Tranche B or 25% of the
obligations will have a 10-year repayment term, while
tranche C or the remaining 25% will have a 15-year term.

Piltel started incurring debt in 1996 to 1997 when the
market was soaring and banks were confident with the
company's performance. Piltel's debts are largely a result
of its aggressive expansionary activities. (Business World
05-April-2000)

UNIWIDE GROUP: Allied also rejects rehab plan
---------------------------------------------
Chances for the Uniwide Group of Companies to get the
corporate watchdog's nod on its proposed rehabilitation
plan continue to dim as Allied Banking Corp. recently
joined the three other banks that continue to oppose the
said plan.

In a comment submitted last week, Allied Bank asked the
Securities and Exchange Commission (SEC) to disapprove the
rehabilitation plan that proposes to use the property
mortgaged to both Allied Bank and Philippine National Bank
(PNB) as payment for debts owed to another group of banks.

Under the amended rehabilitation plan, creditors secured
with operating and non-operating assets shall be paid
partially with cash, at a discount of 20% to appraised
values, and dacion en pago -- payment in kind -- which
shall be effected through a special purpose corporation
(SPC).

The amended rehab plan also proposes to convert the Uniwide
Metromall in Las Pi¤as into a condominium, whose shares
will be distributed to other creditors -- BPI, BPI-Trust,
Rizal Commercial Banking Corp., Asian Bank, and East West
Bank.

"The proposal is infirm...it impairs the rights of secured
creditors who are left to forego their respective
securities and compelled to accept condominium shares. To
require (Allied Bank) to surrender its lien without its
consent is, beyond question, a violation of its right as it
constitutes an undue deprivation of its security interest
on the mortgaged properties," it said.

Allied Bank, which has an exposure of 358.26 million
Philippine pesos (PhP) (US$8.7 million at PhP41.147:US$1) -
- said the Gow-owned firm's proposal imposes "harsh
conditions" upon unwilling creditors -- BPI and East West
also oppose the plan -- and is a violation of the rule on
the inviolability of contracts and "courts have no
authority to prescribe the terms and conditions of a
contract for parties."

Allied Bank said the amended plan "unduly and unfairly
lumps creditors holding mere leasehold rights as security
with those which are fully secured and holding prime
property as collateral for the sole purpose of enhancing
the other creditors' collateral."

Earlier, the Uniwide interim receivership committee (IRC)
said the plan's approval is "absolutely necessary" because
of the need to close the Gow-owned firm's transaction with
Casino Guichard-Perrachon by June this year. The said
investment transaction will bring in PhP3.57 billion
($86.76 million) in cash for the ailing retail and property
firm.

"Needless to say, there are many implementing activities
which can only be done after the approval of the amended
rehabilitation plan," the IRC said.

Unsecured creditors, with total exposure of PhP68.82
million ($1.67 million) also opposed the amended
rehabilitation plan, "mainly because they object to the 50%
discount on their credit," the IRC said. The said unsecured
creditors comprise 2% of the value of the obligations held
by the total number of unsecured creditors. (Busness World
04-April-2000)

VICTORIAS MILLING CORP.: Asks SEC for more time
-----------------------------------------------
Victorias Milling Corp has asked the Securities and
Exchange Commission for more time or up to April 28 to file
an alternative rehabilitation plan after its bidding of a
majority stake in the company failed.  Victorias was given
up to April 5 to submit the alternative plan.

"Since the Victorias management committee is still in the
process of discussing and formulating the terms of the
alternative rehabilitation plan it intends to submit to
this Honorable Commission, it foresees the inability
to file the same within the prescribed period," Victorias
told the SEC in an urgent motion.

Victorias held on March 20 the bidding for a 53.35 pct
stake in the firm but declared it a failure after none of
the prequalified bidders Cargill Inc and RCBC Capital
showed up.  (AFX News Limited  04-April-2000)


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

BANGKOK NYLON: Posts narrower net loss
--------------------------------------
Bangkok Nylon reported a net loss of 15M bt as of Dec 31,
compared with a net loss of 29M bt for the same period in
the previous year.  (Bangkok Post  04-April-2000)

B GRIMM ENGINEERING SYSTEM: Reports narrower net loss
-----------------------------------------------------
B Grimm Engineering System reported a net loss of 33M bt as
of Dec 31, compared with a net loss of 185M bt for the same
period in the previous year.  (Bangkok Post  04-April-2000)

BUMRUNGRAD HOSPITAL: Expects debt restructure done in May
---------------------------------------------------------
Bumrungrad Hospital said its debt restructuring would be
completed in May. It will prepare a rehabilitation plan and
will appoint an independent financial adviser by May.
(Bangkok Post  04-April-2000)

KRUNG THAI BANK: Debt transfer to cut bad loans to 16%
------------------------------------------------------
Plans to transfer bad loans from Krung Thai Bank to a new
asset management company would reduce non-performing loans
at the bank to 16.5% from nearly 59% at the end of 1999.

Finance Minister Tarrin Nimmanahaeminda said the plan would
be forwarded for cabinet approval next Tuesday. Loans of
more than five million baht and those past-due more than 12
months would be transferred to the new asset management
company, which would be fully owned by the central bank's
Financial Institutions Development Fund.

Total loans to be transferred stand at around 328 billion
baht, compared with total substandard loans at Krung Thai
of about 537 billion baht, sources said.  The assets would
be paid by five-year notes issued by the asset management
firm and guaranteed by the FIDF.  Interest on the notes
would be paid every six months, matching deposit costs of
Krung Thai.

Provisions already set against the bad loans would be
transferred to the asset management firm as well.
Another 108 billion baht in capital injected by the FIDF
into Krung Thai last year would be used to writeoff
accumulated losses.

After the restructuring plan, the bank's tier-one capital
adequacy ratio would stand at 9.56%, well above the 4.25%
minimum required by the central bank. The Financial
Institutions Development Fund would see its stake in Krung
Thai reduced to 87.2% from 93.5%.  (Bangkok Post  04-April-
2000)

SIAM COMMERCIAL BANK: To cut stakes in 10 subsidiaries
------------------------------------------------------
In a move to strengthen its financial consition, Siam
Commercial Bank (SCB), one of Thailand' s largest
commercial banks, yesterday announced plans to reduce or
eliminate stakes in ten non-banking and non-financial
companies under its umbrella.

SCB President Jada Wattana stated in a press conference
after the SCB shareholder meeting yesterday that SCB
recently realized that the bank, and most other commercial
banks, had suffered heavy losses in many of their
subsidiaries.

She said SCB started trimming its holdings last year. By
the end of 1999, SCB had managed to reduce the number of
affiliated companies, with SCB shareholdings of over 50
percent, from 31 to 20 companies

This year, SCB is planning to slash the number of companies
to 10. These companies are engaged in businesses outside
the banking sector, including service industry, insurance,
real estate, warehousing, and finance businesses.

Among SCB affiliates that the bank is considering
relinquishing this year are: The Book Club Finance, SCB
Book Club, Sub Sri Thai, Thai International Property,
Samaggi Insurance, Techno Holding, Supapirom, and Oreo
Realty (USA).

"Siam Commercial Bank considers that some of these
companies do not need the bank's equity holding any more,
and some of them have suffered continued losses," Jada
said.

Meanwhile, SCB Vice-President Sataporn Jinachitra disclosed
that SCB has set a target of lowering its non-performing
loans (NPLs) down to 15 percent, from the 1999 NPLs of 23.3
percent. The figure does not include NPLs transferred to
SCB's Chatuchak Asset Management Company, Sataporn said.

Earlier this year, SCB President Jada said the bank would
transfer bad loans worth 30 billion to Chatuchak AMC, which
would make the total NPLs of SCB less than 10 percent of
the total credits to be released by the end of this year.

SCB informed the Stock Exchange of Thailand (SET) that at
the end of 1999, its NPLs stood at 113 billion baht,
representing 23.3 percent of the bank's total credits, as
compared to the NPLs amount of 188 billion baht, or 34.6 of
the total released loans at the end of 1998. (Business Day
04-April-2000)

SIAM YAMAHA: Yamaha makes joint venture into subsidiary
-------------------------------------------------------
Yamaha Motors, the world's second-largest motorcycle maker,
said it will take a controlling stake in its Thai joint
venture so that the financially suffering unit can boost
production to meet rising demand for motorcycles.

Yamaha will invest about three billion yen to raise its
stake in Siam Yamaha to 51 percent by July from 28 percent,
the company said. Siam Yamaha will issue new shares to
Yamaha and a bank syndicate to increase capital to 4.1
billion baht from 2.5 billion baht currently.

The 24 participating banks, including six based in Japan,
agreed to invest in Siam Yamaha and will take a stake of 34
percent in new subsidiary.  Currently, Thailand's KPN
Holding owns 72 percent of Siam Yamaha. Its stake after
July will fall to 15 percent.

Since Thailand's currency crisis in 1997, Siam Yamaha has
been hurt by a rapid decline in sales. Motorcycle demand in
the country dropped to 530,000 units in 1998 from a peak of
1.46 million units in 1995, Yamaha said. It recovered to
more than 600,000 units in 1999.

Yamaha, which expects demand for motorcycles to continue
growing, plans to produce 90,000 units in calendar 2000,
with production in Thailand rising to 300,000 units in
2005. The company estimates sales of four billion baht in
2000 and 13 billion baht by 2005.

Yamaha in 1998 established Yamaha Motor Asia in Singapore
as its hub in Asia for purchasing components and materials,
as well as production and sales.  Yamaha, based in Shizuoka
prefecture, southwest of Tokyo, is second only to Honda
Motors in global motorcycle sales.  Shares of Yamaha rose
three yen to close at 82O in Tokyo.  (Bloomberg; Business
Day  04-April-2000)

THAI MILITARY BANK: NFS says will buy unsold shares
---------------------------------------------------
In a major strategy shift, finance firm National Finance
(NFS) announced plans to buy Thai Military Bank (TMB)
capital raising shares if existing shareholders refuse the
offer.

Bunterng Tuntivit, NFS Chairman, said as the bank's shares
underwriter, the company is interesting in investing in TMB
by purchasing leftover TMB shares that existing
shareholders relinquish the right to; though, he refused to
disclose the amount NFS is capable of buying.

He also disclosed that NFS's move was not a spur-of-the-
moment decision, saying that NFS had considered purchasing
shares during TMB's failed roadshow to sell shares last
year.

"However, we must not defy central bank regulations,
because NFS is a restricted bank and is prohibited from
certain financial activities," said Bunterng, adding that
"NFS is now waiting for the Bank of Thailand's opinion
regarding NFS' new business venture."

He predicted that TMB's capital raising shouldn't face any
problems because several investors had expressed a keen
interest in investing in the bank, adding that NFS, as the
bank's underwriter, would submit the list of potential
investors, which include NFS, to TMB's board of directors
soon.

Yesterday NFS shares remained unchanged, closing at nine
baht.  A source at a brokerage firm said TMB's plan called
for the bank to mobilize capital of 20 billion baht by
selling shares with free warrants attached.

Currently, it has paid-up registered capital of about 10
billion baht in addition its previously issued Super CAPS
(Capital Augmented Preferred shares) of 10 billion baht.
This means the bank has 20 billion baht of capital on hand,
and needs only the funds from the August 14 package to
match the 10 billion baht of its Super CAPS.

Meanwhile, the local press reported that tycoon Taksin
Shinawatra, leader of the Thai Rak Thai Party, may invest
two billion baht in a major stake in TMB, along with
business cohort Vanich Chaiwan, Executive at Thai Life
Insurance. Last month, TMB failed to conclude its 40
billion baht capital raising plan, citing the fact that it
hadn't received approval from the Finance Ministry.
(Business Day  04-April-2000)

THAI OIL: Signs debt restructuring agreement
--------------------------------------------
Thai Oil and its creditors yesterday signed a $2.288
billion debt restructuring agreement and related contracts,
Thaioil announced in its press statement after the
agreement signing ceremony.

The ceremony was presided over by Industry Minister Suwat
Liptapallop, and witnessed by Finance Minister Tarin
Nimmanahaeminda and 200 guests.

Apart from the Master Debt Restructuring Agreement, other
related agreements signed included Thaioil Shareholders'
Agreement, Intercreditor Agreement, and the Product Offtake
and Crude OIl Supply Agreement by the Petroleum Authority
of Thailand (PTT), the Crown Property Bureau, Thaioil, and
its creditors.

The company still remains under the control of the Central
Bankruptcy Court's appointed "Plan Administrators,"
comprising Surakiart Sathirathai, PTTEP Chairman; Viset
Choopiban, PTT Governor; and Chulchit Bunyaketu, Thaioil's
Managing Director. These three key members of the Plan
Administrators will be responsible for implementing the
court-approved rehabilitation plan, including decreasing
the existing capital, increasing new capital, repurchasing
debts, and converting debt to equity.

After the signing of the contracts, it will take
approximately one month to implement the plan. In the next
step, the management will ask the court to approve the
transfer of authority and assets back to the company's
shareholders and the new Thaioil board of directors.

The new board will comprise directors appointed by PTT and
representatives of creditors.  Directors appointed by PTT
are Manu Liewpairot as Chairman,and Surakiart Sathirathai,
Gen. Yuthasak Sasiprapa, Viset Choopiban, M.R. Pridiyathorn
Devakul, and Chulchit Bunyaketu. (Business Day  03-April-
2000)


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

Troubled Company Reporter -- Asia Pacific is a daily
newsletter co-published by Bankruptcy Creditors' Service,
Inc., Trenton, NJ USA, and Beard Group, Inc., Washington,
DC USA. Darryl Henning, Managing Editor, James Philip P.
Jover and Cristina Pernites, Editors.

Copyright 2000.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale
or publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly
prohibited without prior written permission of the
publishers.  Information contained herein is obtained from
sources believed to be reliable, but is not guaranteed.

The TCR -- Asia Pacific subscription rate is $575 for 6
months delivered via e-mail. Additional e-mail
subscriptions for members of the same firm for the term of
the initial subscription or balance thereof are $25 each.
For subscription information, contact Christopher Beard at
301/951-6400.

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