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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

             Monday, September 11, 2000, Vol. 3, No. 176

                                      Headlines


* A U S T R A L I A *

AUSTRALIAN HOSPITAL CARE: Extraordinary charges bleed red
DELTA GOLD: Losses raise risk of takeover
ESSENTIAL HOME IMPROVEMENTS: Goes bankrupt, leaves projects
NOVELL AUSTRALIASIA: Staff to be cut 2 percent
PINEAPPLEHEAD LTD: Posts $162,000 loss, inks deal
RIO TINTO: Faces massive suit over copper mine
SHELLHARBOUR HOSPITAL: Placed under receivership
TRAVEL.COM.AU: Posts US$4.28M loss for 1H


* C H I N A  &  H O N G  K O N G *

ALPHA TECHNOLOGY INDUSTRIES LTD: Facing winding up petition
CHARTER LORD LIMITED: Facing winding up petition
CHINA QINGGI GROUP: Parent takes it over for debts
INCOME-PLUS COMPANY LTD: Facing winding up petition
JIANGXI COPPER: Fire causes losses,halts production
JOINT CAPITAL LTD: Facing winding up petition
LIGHTSON CORPORATION LTD: Facing winding up petition
NEW UNIVERSE INDUSTRIES LTD: Facing winding up petition
NORITY INT'L GROUP: Posts 1H net loss
REGENT UNIVERSAL LTD: Facing winding up petition
SPICY COLLECTIONS LTD: Facing winding up petition
SUN CHOI INDUSTRIAL LTD: Facing winding up petition
TECHMEX INVESTMENT LTD: Facing winding up petition
WAH YICK CO.LTD.: Facing winding up petition
WIDE PACIFIC LIMITED: Facing winding up petition
WING LUEN DYEING & BLEACHING: Facing winding up petition
WING LUEN UNIVERSAL LAUNDRY LTD: Facing winding up petition
YUE HING LTD: Facing winding up petition


* I N D O N E S I A *

BAKRIE & BROTHERS: Selling Bakrie Kasei stake to pay debts
PT KARIMUN GRANITE: IBRA sells Salim Group stake
PT POLYSINDO EKA PERKASA: Posts annual loss
PT TEXMACO JAYA: Posts annual loss
PT TEXAMACO PERKASA ENGINEERING: Posts annual loss


* J A P A N *

BRIDGESTONE: Stocks drops 4% more on Firestone mess
NOMURA SECURITIES: Facing US$3B lawsuit
SUMITOMO CORP.: To close Aussie unit, book loss


* K O R E A *

DAEWOO MOTOR: Ford asks for $2B cut in price
HYUNDAI ELECTRONICS: Share price dives
HYUNDAI ENG.& CONSTR.: Cement plant sales lifts liquidity
SAMSUNG ELECTRONICS: Share price dives


* M A L A Y S I A *

JASATERA BHD: Plans capital reduction and rights issue


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

NATIONAL STEEL CORP.: Owner's rep rejects rehab plan
PRIME SAVINGS BANK: Branches now half-price bargains


* S I N G A P O R E *

BRIERLEY INVESTMENTS: Posts US$162M annual loss
NOVELL (Singapore): 300 employees face uncertain future


* T H A I L A N D *

SAFARI WORLD PLC: Temporary halt on share auction
SIAM CITY BANK: BOT to oversee SCIB's bad debts
THAI OLEFINS CO.: Deal made with creditors


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

AUSTRALIAN HOSPITAL CARE: Extraordinary charges bleed red
---------------------------------------------------------
Australian Hospital Care's new chief executive has elected
to record $92 million in extraordinary charges, sending the
health-care group deep into the red and forcing the
abandonment of a final dividend.

AHC reported that it posted a $79.5 million after tax and
abnormal loss, compared with the previous year's $9.8
million profit. The extraordinary loss comes from its La
Trobe Regional Hospital, which still is in mediation with
the Victorian Government seeking changes in the La Trobe
contract. It has a court case against the government
seeking more than $10 million in damages.

AHC warned in early June, three days before Dr Michael
Stanford replaced Dr Mark Bryce as chief executive, that
its profit was "likely to be below current market
expectations." In August, a public dispute unfolded in with
Sydney-based Medical Benefits Fund over increased payments
-- later settled in AHC's favor.

The reported loss further hurt AHC shares yesterday, which
dropped nine cents to 54 cents.  AHC shares hit a low of
45.5 cents in late June, having been at $1.35 in January,
1999. AHC's revenues grew 10 percent to $360.6 million and
33.7 percent fall in depreciation and amortisation (EBITDA)
to $24.7 million. It said that most of the fall in EBITDA
was due to a $7.5 million decline in contributions from the
La Trobe hospital and another $3 million from the Hobart/St
Helens co-locational facility.

Dr Stanford said the core private hospital operations of
AHC had performed well "in difficult trading conditions."
Stanford sliced $1.6 million from head-office costs through
redundancies. His more aggressive stance with the health
funds and governments also is expected to pay dividends.

DELTA GOLD: Losses raise risk of takeover
-----------------------------------------
Delta Gold has become even more vulnerable to a takeover
after plunging $114 million into the red in the year to
June, courtesy of the political and economic problems in
Zimbabwe and the Solomon Islands.

Delta took an extraordinary $81.8 million charge for the
closure of its Gold Ridge mine in the Solomon Islands and
an abnormal $42.6 million writedown on the carrying value
of the Eureka mine, after events beyond the company's
control forced operations to be suspended at both mines.
While net earnings were severely affected, the writedowns
reduced shareholder funds by almost half to $119.5 million,
from $212 million a year ago.

This, combined with the fact that Delta management has now
removed most of the cost impact of the shut mines from its
balance book, has prompted securities analysts to suggest
the company is now even more attractive to a potential
predator. Delta, whose share price has fallen from over
$2.20 in January to just $1.32 yesterday, is consistently
singled out as a likely takeover target for AngloGold and,
more recently, Normandy Mining.

Delta's managing director, Mr Terry Burgess, acknowledged
that speculation yesterday.  "Will we be around next year?
We'll see," Mr Burgess said. "The only defence against a
takeover is to get our share price back up above where it
is."

The Gold Ridge mine was closed in June after tensions
between rival ethnic groups in the Solomons escalated into
an attempted coup while severe diesel fuel shortages in
Zimbabwe curtailed operations at Eureka.  Delta said it
moved to reassess the carrying values of both mines for the
2000 financial year in the interests of keeping the market
fully informed and ending speculation about the operations.

However, even without the writedowns Delta's net profit of
$27.7 million was still below the previous year's $42.54
million result despite revenue jumping from $204.8 million
to $327.3 million.  The lower profit growth reflected
increased interest and income tax expenses along with
production costs jumping to $240 million from $118 million.
(Sydney Morning Herald  08-Sept-2000)

ESSENTIAL HOME IMPROVEMENTS: Goes bankrupt, leaves projects
-----------------------------------------------------------
A Canberra building company that started work without
permits and failed to get building approvals has gone
bankrupt leaving up to 20 home owners with unapproved,
incomplete or uninsured home renovations.

Essential Home Improvements of Gordon collapsed in July
owing $140,000, leaving a trail of unhappy clients across
Canberra. Up to eight building projects were abandoned
before completion, while 13 had been finished but failed to
receive certificates of occupancy, leaving owners unable to
sell them or technically, live in the them.

Some of the completed work dated back to last year. Under
ACT building laws, the company was required to take out
building insurance for each project but in at least three
there was no record it had done so. Technical services
manager at the Master Builders' Association, Eugene Dyriw,
said one uninsured home owner in Theodore looks to have
lost a $9981 deposit.

He said former clients of Essential Home Improvements with
work partly completed were in a difficult position as no
insurance company would cover a replacement builder called
in to finish the work. Only the Housing Industry
Association and the MBA offered builders' insurance in
the ACT and those projects that were insured by Essential
Home Improvements were insured with MBA.

Attempts by the MBA to formulate a rescue plan for the
homeowners has drawn harsh criticism in some quarters, but
acceptance by many owners and the Government as a way of
getting the work done.  One of the building certifiers
required to approve the work has labelled the MBA plan
"unethical" as it required home owners to take out their
own owner/builder licences and then engage a licensed
builder from the MBA to do the work.

"It's a cop-out," the certifier, who did not want to be
named, said. "The MBA's motivation is to save money."

He said an owner/builders' licence brought with it
responsibilities and obligations which the owners did not
necessarily understand. "If something goes belly-up, the
builders the MBA involves do not have their necks on the
line."

The certifier said he would refuse to inspect any of the
work done under the rescue plan.  The MBA's Eugene Dyriw
said the owners would be fully protected under contracts
with the replacement builders. "All we are trying to do is
help the clients."

Home owner Tony Martin of Duffy, whose $40,000 renovation
still has $25,000 to go, rejected the rescue plan as
raising a number of legal and technical issues. Peter
McMahon of Macarthur waswilling to take out the licence if
it meant his renovation would be finished. Director of
building with the ACT Government, Steve Ryan, supported the
MBA plan saying it was in everybody's interest to sort the
problem.  (Canberra Times  07-Sept-2000)

NOVELL AUSTRALIASIA: Staff to be cut 2 percent
----------------------------------------------
Novell Australiasia will cut its staff by two per cent as
part of the parent company's global employee reduction.

The cuts are aimed at changing the company's focus to the
Net services market, according to  Novell Australasia
managing director Cliff Smith. Smith says the two percent
cut will be short term, the company continuing to recruit
for strategic positions, such as sales and consulting.

The layoffs are part of Novell's 16 percent global
workforce reduction, totaling about 900 positions. The
company is also writing off other assets, and anticipates
taking a pre-tax restructuring charge of between $AU70 and
$AU87 million in its fourth fiscal quarter, ending October
31, 2000.

PINEAPPLEHEAD LTD: Posts $162,000 loss, inks deal
-------------------------------------------------
Sports media company Pineapplehead Ltd posted a net loss of
$162 million for the year ended June 30, 2000. The company
recorded sales revenue of $5.924 million, but with the
loss, did not declare a dividend.

The company also announced the signing of a five-year deal
with Channel Nine as part of its move to boost its products
and market going forward. It also plans to look at entering
new markets to further its growth.

The five-year contract with Channel Nine obligates
Pineapplehead to provide all graphics for Australian
cricket television coverage.  The company plans to use the
deal as a launching pad for new technology, as well as
selling the service to cricket broadcasters in other
nations.

Pineapplehead recently completed deals with US-based Osprey
video for video hardware distribution. Pineapplehead's
digital video division and software licensing divisions
have provided the company with most growth over the past
year, the company noted.

RIO TINTO: Faces massive suit over copper mine
----------------------------------------------
Twenty Bougainvilleans are filing a class action today in
San Francisco against Rio Tinto plc, claiming billions of
dollars compensation for "massive environmental
destruction" wreaked by Bougainville copper mine and
for assisting the Papua New Guinea Government's military
campaign there.

The case, on behalf of members of the Panguna Landowners
Association, is being led on a contingency fee basis by one
of the United States' most prominent class action lawyers,
Mr Steve Berman.  He represented 13 US States in the
Liggett Tobacco case against the tobacco industry - earning
his firm almost $90 million. Mr Berman also represented
Microsoft against 50 class actions.

"I always like to work for the underdog," he said.
Mr Berman is being assisted by Melbourne-based Slater &
Gordon, the law firm that acted for landowners against BHP
Ltd over environmental damage from the Ok Tedi copper mine.

The firm was recently criticised by Solomon Islands' appeal
court, chaired by former Australian chief justice Sir
Anthony Mason, as "cavalier and irresponsible" in its
conduct of a case involving a gold mine operated by
Sydney-based Delta Gold.  The Bougainville case is being
launched as leaders from the island and from the PNG
Government - the latter led by Sir Michael Somare -
struggle, at a conference in Rabaul, to meet a deadline
tomorrow to agree the future form of government for the
island.

A spokesman for Rio Tinto and its 53 per cent-owned
Bougainville Copper Ltd said yesterday: "We categorically
reject these allegations."

Mr Peter Taylor, managing director of BCL - also 19 per
cent owned by the PNG Government, the rest by shareholders
in PNG and Australia - said: "It's not in the interests of
anyone involved in the peace process for this to happen,
especially not in a foreign court ... with foreign lawyers
whose only interest I can see is a contingency fee."

Mr Berman, who is based in Seattle, said the action would
seek compensation for anyone on Bougainville who had
suffered as a result either of environmental degradation
caused by the mine, which operated from 1972-89, or of the
11 years' civil war that ended in a ceasefire last year.

The suit claims that the mine "laid the groundwork for
environmental disaster by improperly dumping waste rock and
tailings and emitting chemical and air pollutants without
regard for the villagers."

It says the Bougainvilleans' main source of fish, Empress
Augusta Bay, was destroyed and "whole forests" died. It
also claims Rio Tinto "assisted PNG's military actions that
were designed to stop the rebels" who forced the mine's
closure - including "providing helicopters for troop
transport."  The suit alleges that "approximately 15,000
Bougainvilleans died as a result of armed acts by PNG
troops" including "wanton killing and acts of cruelty."

Mr Berman said the Government was not joined in the action
because "if we needed to have a resolution some day, down
the road, it would probably be better to work with the
Government than to make it an enemy."

Mr Taylor said that the mine had not owned a helicopter,
only hiring one for environmental surveys. The Australian
Government provided PNG with Iroquois helicopters early in
the Bougainville conflict.  Mr Taylor also said that as
soon as staff had been hurt, the mine had been closed, and
the company - which had exceeded all its legal obligations
to the islanders - had played no role in the ensuing
conflict.

The crucial connection placing the Bougainville case in a
US court came from lawyer Mr Paul Stocker, who served in
the US air force in PNG during the Pacific War, has
maintained close connections since - his son is married to
a Papua New Guinean - and has a consultancy in Seattle.
Mr Stocker is "one of the team", said Mr Berman, "going
back and forth to Bougainville almost every month. We have
had people touring the island constantly for the last
year."

The suit is being brought under the Alien Tort Claims Act,
under which foreign nationals can take action against
companies that violate international law. Mr Berman was
recently involved in a case brought under this act - of
long standing but only recently dusted down and used again
- that won almost $9 billion damages from German
corporations found to have benefited from forced labour
during World War II.

He said the Bougainville case was being brought in San
Francisco - where a judge sits who is familiar with such
cases - because "we don't think we can get a fair trial in
PNG", and the Australian and British courts "do not
recognise this kind of case."

Mr Berman said Californian jurisdiction was established by
US Borax Inc being based in Los Angeles. He said a writ
would be served against its parent, Rio Tinto, in London
today.  He expected that the case would take years to bring
to trial, before a jury, if jurisdiction were to be
established.

He said it would cost billions of dollars to clean up the
island, and any additional compensation for lives lost - as
well as the contingency fees - would be determined by the
judge.  (Australian Financial Review  07-Sept-2000)

SHELLHARBOUR HOSPITAL: Placed under receivership
------------------------------------------------
Patients and staff at Shellharbour Private Hospital are
being reassured following news the facility has been put
into receivership.

Director of nursing manager Jo McGoldrick said yesterday
the day-to-day running of the 59-bed general medicine and
surgical hospital would not be affected by the financial
situation. The facility is one of four Sun Healthcare
Group private hospitals in New South Wales that have been
put into receivership.

Among the four hospitals are Bigge Street Private at
Liverpool, the Metropolitan Rehabilitation Hospital at
Petersham, and Dubbo Private. Each are in the hands of
receivers, Sydney company Deloitte Touche Tohmatsu. Health
and Research Employees Association (HREA) Illawarra
organizer Greg Rogers confirmed talks were continuing
between HREA's head office and creditors over the issue of
workers' entitlements.

TRAVEL.COM.AU: Posts US$4.28M loss for 1H
-----------------------------------------
Online travel agent travel.com.au Ltd posted a $A7.72
million ($US4.28 million) net loss for the first half of
2000. That was almost 160 percent greater than the 2.98
million net loss it recorded the previous year.

Sales for the year were up 195 percent to $118.9 million,
however, exceeding prospectus forecast by 17 percent. The
net loss was $2.85 million more than prospectus forecast.
The company attributed the loss mainly to higher IT costs,
the late launch of a New Zealand site and slower growth in
customers taking up fully robotic transactions.

Registered members as of August 31 totaled 246,000 -- up
from 80,000 at the same date in 1999. The number was
continuing to grow at approximately six percent a month,
the company said. Cash reserves as of June 30 were $10.31
million.

The company said it will continue to seek alliances and
joint ventures with parties both in and outside Australia
in order to add value to its local and international
businesses.


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

ALPHA TECHNOLOGY INDUSTRIES LTD: Facing winding up petition
-----------------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance
has scheduled a hearing on September 27 on the petition of
STMicroelectronics Asia Pacific Pte. Limited for the
winding up of Alpha Technology Industries Limited. A notice
of legal appearance must be filed on or before September
26.

CHARTER LORD LIMITED: Facing winding up petition
------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance
has scheduled a hearing on September 20 on the petition of
the Commissioner of Inland Revenue of Hong Kong for the
winding up of Charter Lord Limited. A notice of legal
appearance must be filed on or before September 19.

CHINA QINGGI GROUP: Parent takes it over for debts
--------------------------------------------------
Ji'nan Qingqi Motorcycle Co. Ltd., a Chinese motor
vehicle maker, will take over real estate and the stake in
units of China Qingqi Group to write off a total of RMB1.98
billion (US$238.55 million) account receivables due on June
30 which the parent company has owed.

According to the Securities Times, the takeover includes
the nationwide real estate of the group's sales unit, with
a book value of RMB70 million, and the 35.7% interests in
Shandong Tomorrow Information Industry Co. Qingqi also said
it plans to reclaim RMB500 million to RMB600 million of
debts defaulted by the parent at the end of this year, and
all the debts by 2002.

INCOME-PLUS COMPANY LTD: Facing winding up petition
---------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on September 27 on the petition of
James Lau & Associates Limited for the winding up of
Income-Plus Company Limited. A notice of legal appearance
must be filed on or before September 26.

JIANGXI COPPER: Fire causes losses, halts production
----------------------------------------------------
Hong Kong-listed Jiangxi Copper reportedly has suffered
losses totaling tens of millions of yuan after a fire broke
out and halted production at one of its major subsidiaries
Monday, China's official media reported Thursday.

The control room at Dexing Copper Ore Dressing Plant
reportedly caught on fire on September 4 and burnt down,
resulting in more than 10 million yuan (about HK$9.1
million) in direct losses. An official from the Jiangxi
Copper headquarters confirmed the fire.

The company plans to make a public report to its
shareholders and investigators after a complete
investigation is completed. The People's Daily reported
that the fire was caused by an electrical short circuit.

The copper ore processing plant was the largest of its kind
in China, with a daily output of 50,000 tonnes. It plays a
significant role in the overall production of Jiangxi
Copper. The automatic control equipment worth, US$2 million
(HK$15.5 million), was imported from the United States. The
plant has stopped production for 10 days to await arrival
of new parts.

JOINT CAPITAL LTD: Facing winding up petition
---------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 4 on the petition of WKK
Holdings Company Limited for the winding up of Joint
Capital Limited. A notice of legal appearance must be filed
on or before October 3.

LIGHTSON CORPORATION LTD: Facing winding up petition
----------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on September 27 on the petition of
Harvest Day Limited for the winding up of Lightson
Corporation Limited. A notice of legal appearance must be
filed on or before September 26.

NEW UNIVERSE INDUSTRIES LTD: Facing winding up petition
-------------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on November 8 on the petition of
Hongkong Macau International Finance Company Limited for
the winding up of New Universe Industries Limited. A notice
of legal appearance must be filed on or before November 7.

NORITY INT'L GROUP: Posts 1H net loss
-------------------------------------
Nority International Group Ltd., an athletic-style leisure
footwear manufacturer, posted a net loss of HK$1.7 million
for the six months period ended June 30. By comparison, the
company posted a HK$3.8 million net profit for the same
period the previous year. Loss per share was 0.6 HK cent
compared with per share earnings of 1.4 HK cents a year
before. Revenue fell 23.1 percent to HK$196.6 million. No
interim dividend was proposed.

REGENT UNIVERSAL LTD: Facing winding up petition
------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 18 on the petition of
The Hongkong and Shanghai Banking Corporation Limited for
the winding up of Regent Universal Limited. A notice of
legal appearance must be filed on or before October 17.

SPICY COLLECTIONS LTD: Facing winding up petition
-------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 25 on the petition of
Tsang San Company Limited for the winding up of Yue Hing
Limited. A notice of legal appearance must be filed on or
before October 24.

SUN CHOI INDUSTRIAL LTD: Facing winding up petition
---------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on November 1 on the petition of
Wong Wah Sing, Wang Pui Kwan, Wong Kwai Ping, Wong Kwai
Fong and Wong Cheung Shing for the winding up of Sun Choi
Industrial Limited. A notice of legal appearance must be
filed on or before October 31.

TECHMEX INVESTMENT LTD: Facing winding up petition
--------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 18 on the petition of
The China State Bank Limited, Hong Kong branch for the
winding up of Techmex Investment Limited. A notice of legal
appearance must be filed on or before October 17.

WAH YICK CO.LTD.: Facing winding up petition
--------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on September 20 on the petition of
the Commissioner of Inland Revenue of Hong Kong for the
winding up of Wah Yick Company Limited. A notice of legal
appearance must be filed on or before September 19.

WIDE PACIFIC LIMITED: Facing winding up petition
------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 4 on the petition of
Bank of Communications, Hong Kong branch for the winding up
of Wide Pacific Limited. A notice of legal appearance must
be filed on or before October 3.

WING LUEN DYEING & BLEACHING: Facing winding up petition
--------------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 18 on the petition of
Sin Hua Bank, Hong Kong branch for the winding up of Wing
Luen Dyeing & Bleaching Limited. A notice of legal
appearance must be filed on or before October 17.

WING LUEN UNIVERSAL LAUNDRY LTD: Facing winding up petition
-----------------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 18 on the petition of
Sin Hua Bank Limited, Hong Kong branch for the winding up
of Wing Luen Universal Laundry Limited. A notice of legal
appearance must be filed on or before October 17.

YUE HING LTD: Facing winding up petition
----------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on October 25 on the petition of
Bank of Communications, Hong Kong Branch for the winding up
of Yue Hing Limited. A notice of legal appearance must be
filed on or before October 24.


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

BAKRIE & BROTHERS: Selling Bakrie Kasei stake to pay debts
----------------------------------------------------------
Bakrie & Brothers is planning to sell off its stocks at
Bakrie Kasei Corporation (BKC), valued $51.5 million, to
pay debts.

The company holds a 25.5 percent share in Bakrie Kasei, a
joint venture firm. Bakrie & Brothers plans to sell the
stock to Mitsubishi Chemical Corporation, which as of
March, 1999 already controlled 57.37 percent of the firm.
Japan Asia Investment Co. Ltd. owns the remaining 7
percent.

Bakrie & Brothers has hired Deloitts Touche Tohmatsu to
conduct due diligence on Bakrie Kasei Corp. Total value of
Bakrie Kasei assets was estimated at $477.37 million as of
the end of June. Its equity stood at $124.03 million as of
June-end.

A company source asserts that the sale will not cover the
entire loan, but will hand over Bakrie & Brothers debts to
BKC.  A prospectus for the divestment plan says Bakrie &
Brothers would receive around $31 million from the stock
sale.

PT KARIMUN GRANITE: IBRA sells Salim Group stake
------------------------------------------------
The Indonesian Bank Restructuring Agency (IBRA) confirms it
has sold a stake in a mining company formerly belonging to
the Salim Group, PT Karimun Granite.

IBRA sold Salim's 17.25 percent stake in PT Karimun Granite
for IDR21.67 billion ($1=IDR8,405) to PT Pendawa Sempurna,
the agency said in a statement. Pendawa Sempurna is the
founder and majority shareholder in PT Karimun Granite.

IBRA took over a number of Salim assets last year after the
group was unable to repay funds that had been advanced to
its financial arm, Bank Central Asia. IBRA now is trying to
dispose of a number of assets from major business families,
including Salim.

The Salim assets have a nominal value of over IDR100
trillion.  However, the real value of these assets has
fallen way below the amount of losses the state suffered
through extending emergency loans to banks during the
crisis, sparking calls for a renegotiation of the asset
transfer agreements.

PT POLYSINDO EKA PERKASA: Posts annual loss
PT TEXMACO JAYA: Posts annual loss
PT TEXAMACO PERKASA ENGINEERING: Posts annual loss
--------------------------------------------------
Publicly listed PT Texmaco Perkasa Engineering, PT
Polysindo Eka Perkasa and PT Texmaco Jaya reported huge
losses to their shareholds for last year.  The companies
attributed the losses to sharp declines in sales, increased
interest costs and depreciation of the rupiah.

G. Munusamy, who acts as a commissioner at the three
companies, provided the details on the trio at annual
shareholders and extraordinary shareholders meetings.
Texmaco Perkasa, he said, suffered a 260.98 percent decline
in net sales to Rp 203 billion (US$24.16 million) last
year. The company booked a net loss of Rp 674.9 billion -
up over sixfold from its Rp 106.7 billion loss in 1998.

Polysindo also booked a net loss of Rp 1.95 trillion last
year due to a sharp fall in sales revenues, punitive
interest costs and depreciation of the rupiah. Munusamy
added that auditors refused to give an opinion on
Polysindo's financial reports in view of the company's
complex problems.

Texmaco Jaya booked a net loss of Rp 186.6 billion,
compared to a loss of Rp 24.6 billion in 1998, due to a
decline of Rp 617 billion in its textile and garment sales
to Rp 850 billion from Rp 1.47 trillion in 1998. The
losses, Munusamy added, were likewise caused by high
interest costs and foreign exchange losses as a result of
the depreciation of the rupiah.

Both Polysindo and Texmaco Perkasa have appointed Deloitte
Touche Tohmatsu as an independent consultant for their
restructuring, Munusamy said.


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

BRIDGESTONE: Stocks drops 4% more on Firestone mess
---------------------------------------------------
Testimony by Firestone's chief at congressional hearings in
Washington failed to convince investors that troubles are
over for the beleaguered US tiremaker, its Japanese parent
Bridgestone suffering another 4 percent decline in its
stock on the Tokyo Stock Exchange on Thursday, dropping to
1,265 yen.

Investors have sliced 50 per cent off the value of the
stock since news surfaced early last month of a US
investigation into three brands of its 15-inch Firestone
tires and their link to 88 deaths as a result of shredding,
peeling or blowouts in US car accidents.

An apology by Firestone chief executive Masatoshi Ono, who
took personal responsibility for "the events that led to
this hearing" failed to dispel negative sentiment around
Bridgestone and Firestone, the US company it bought in
1988.  Analysts say Bridgestone will have to do far more
than make an apology to rebuild the Firestone brand. Some
say even a public relations blitz would not save the image
of the company.

NOMURA SECURITIES: Facing US$3B lawsuit
---------------------------------------
Japanese investment bank Nomura Securities is facing legal
action over claims arising from the US$3 billion collapse
of Investicni a postovni banka (IPB), its former Czech
affiliate.

IPB failed in June after Nomura declined to support
the insolvent Czech bank, in which it held a 46 percent
stake. Instead, IPB was rescued by the Czech government and
its assets transferred to CSOB, another leading Czech bank
controlled by KBC of Belgium.  Government estimates of IPB
bad loans total at least Kc100bn (US$2.56 billion).

CSOB and the Czech National Bank, the central bank, have
been examining IPB's books. Their inquiries have focused on
the disposal of the bank's biggest assets: controlling
stakes in the country's two largest breweries, Radegast and
Pilsner Urquell.

Shortly before buying IPB from the state in 1998 for Kc3bn,
Nomura gained control of the brewers from IPB-related
companies for about Kc9bn and sold them last year to South
African Breweries for Kc22bn. The transaction was so
profitable to Nomura that it highlighted it in its 1999
annual report.

CSOB yesterday launched legal action in Prague against
Nomura-linked companies, alleging that the Kc9bn purchase
price was never paid. Jan Kavanek, CSOB chief executive,
told the Financial Times that Nomura had not paid for the
breweries in cash but through transactions backed by IPB
securities, now worthless.

Meanwhile, the central bank is preparing a suit against
IPB's former senior managers alleging they did not file
appropriate information to banking regulators. The central
bank says IPB's regular reports did not disclose the
problems that emerged this year.

In a third action, the central bank-appointed administrator
of IPB has filed legal claims accusing the former managers
of selling bank assets to third parties for unreasonably
low prices.  Nomura last night categorically denied any
wrongdoing. It insisted it had paid for the brewery shares.
It declined to comment on how the payment was made. It also
said it would mount a strong defence against all claims.

Milos Zeman, the Czech prime minister, expressed concern
about the IPB case in an interview with the Financial
Times. He said if a company bought control of a bank at one
price and sold just one asset - the brewery stakes - for a
much higher price then this was, on the face of it,
"suspicious".  Nomura said it failed to see the connection
between the two transaction prices.  (Financial Times  08-
Sept-2000)

SUMITOMO CORP.: To close Aussie unit, book loss
-----------------------------------------------
Major Japanese trading firm Sumitomo Corp. plans to sell
its Australian coal development unit and transfer its
concessions by mid-October.  Sumisho Coal Development Pty.
Ltd. will transfer concessions for coking coal development
projects in Queensland to two firms, including a German
coal company.  Sumitomo will liquidate SCD upon completion
of the concession sale.  Consequently, Sumitomo will book
an extraordinary loss of some 12 billion yen for
consolidated earnings for the year to March.


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

DAEWOO MOTOR: Ford asks for $2B cut in price
--------------------------------------------
Ford Motor reportedly has asked to lower its 7.7 trillion
won ($6.9 billion) bid for Daewoo Motor by about $2
billion.

Ford is insisting that Daewoo's asset value falls short of
its earlier expectations, according to foreign news
reports. Ford also expressed its intent to exclude Daewoo
Capital and some other affiliates of Daewoo Motor from its
buying list.

Early last week, local industry sources said that Ford was
anxious to cut its Daewoo offer by as much as $3.3 billion.
As expected, Daewoo's corporate restructuring committee
representing the interests of creditors rejected the Ford
demand, casting doubt over the ailing automaker's sale,
according to sources.

Daewoo Motor spokesman Kim Jong-do refused to comment on
the negotiations with Ford except to say that talks with
the U.S. auto giant will begin after the Sept. 11-13 Chusok
holidays.

HYUNDAI ELECTRONICS: Share price dives
SAMSUNG ELECTRONICS: Share price dives
--------------------------------------
The stocks of Hyundai Electronics and Samsung Electronics
took major nose dives in Thursday trading.

Samsung Electronics stock closed at W239,500 -- a 6.99%
fall, which followed consecutive days of decline. On
February 16, the stock fell to a record low of the year at
W238,000 before staging a minor recovery.  Hyundai
Electronics also slumped, losing 7.76% of its value to
close at W16,650.

The declines came as the whole stock market plunged to
656.37, a drop of 20.32 points, on news that semiconductor
stocks in the U.S. were being battered and on program
selling. Foreign investors sold 550,000 Samsung shares
valued at W134 billion and 4.46 million Hyundai shares
worth W75.8 billion.

Shares of Korea Telecom (0.93%), SK Telecom (2.12%) and
KEPCO (2.11%) also experienced falls in their share price.
Analysts say that a slump was inevitable as there were no
major buyers to take up the slack caused by foreign
selling. They added that the approaching future option
maturity dates and increased oil prices also contributed to
the market's fall.

HYUNDAI ENG.& CONSTR.: Cement plant sales lifts liquidity
---------------------------------------------------------
The sale of Hyundai Engineering & Construction's cement
plant in Bangladesh, part of the company's recently
implemented self-rescue plan, has brought US$42 million
into company accounts. Experiencing a liquidity crisis a
couple of months ago, the Aug. 30 cement plant sale to
global cement giant Holderbank of Switzerland on Aug. 30
has lifting Hyundai E&C's liquiditiy and hopes for
financial improvement.


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

JASATERA BHD: Plans capital reduction and rights issue
------------------------------------------------------
Jasatera Bhd is proposing a 5-to-1 capital reduction as
part of its recapitalisation exercise and restructuring
plan to repay debts of about RM91.473mil.

It is also proposing a 6-for-1 rights issue of 23.976
million new RM1 shares after the proposed write-off.
Credit arising from the capital reduction exercise
amounting to RM15.984mil would be used to offset
accumulated losses which stood RM114.074mil as at end-
January, the company said in a statement to the KLSE.

Part of the RM23.976mil proceeds from the rights issue
would be used to settle debts, while a portion would be
used as working capital.  Jasatera also said its creditors-
-Bumiputra-Commerce Bank Bhd, Danaharta Managers Sdn Bhd,
Hong Leong Bank Bhd, Malayan Banking Bhd, Overseas Union
Bank (M) Bhd, Perwira Affin Bank Bhd, RHB Bank Bhd and
Sabah Development Bank Bhd--had agreed to waive 50% of the
RM91.473mil debt.

The company said it would pay the creditors RM18.294mil in
cash, while the remaining RM27.442mil would be converted
into 27.442 million redeemable convertible preference
shares of RM1 each.

"The primary objectives of the proposed recapitalisation
exercise are to revive and rebuild the financial strength
and operational viability of the Jasatera group through an
arrangement and compromise with the lenders, coupled with
raising the necessary capital to repay the lenders and to
provide the working capital for the company.

"Accordingly, the proposed recapitalisation exercise is
aimed at writing off a portion of the accumulated losses of
the company to redress its balance sheets and reflect its
present net worth and reducing substantially its debt
obligations which have become unsustainable," it added.

The proposals are conditional upon each other and subject
to approval by the Securities Commission, the Foreign
Investment Committee, the KLSE and shareholders of
Jasatera. (Star Online, AFX  08-Sept-2000)


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

NATIONAL STEEL CORP.: Owner's rep rejects rehab plan
----------------------------------------------------
Pengurusan Danaharta Nasional Bhd, Hottick Investment Ltd's
assignee for its 80 pct stake in National Steel Corp, said
it objects to the National Steel Corp's proposed
rehabilitation plan.

In a filing with the Securities and Exchange Commission,
Danaharta lawyers said the proposed rehabilitation plan
"does not seek to address the concerns of all stakeholders
of National Steel" and carries no concrete proposal
to attract investors to inject required capital and turn
around the business.

In the filing, Pengurusan said the finalization of the
company's rehabilitation plan should be subject to the
concurrence of all shareholders.

PRIME SAVINGS BANK: Branches now half-price bargains
----------------------------------------------------
After a failed bidding two weeks ago, the Philippine
Deposit Insurance Corp. (PDIC) is set to auction again the
branches of closed Prime Savings Bank on Sept. 20 at half
the original minimum bidding price per branch with the
leeway to cherry-pick among Prime Bank's 62 branches
located all over the country.

In a telephone interview, PDIC president Norberto C.
Nazareno said the state deposit insurer has decided to make
the bidding rules "less stringent" to attract possible
buyers.  "We have made it less stringent, and we are
allowing them to pick which of the branches they will get
instead of requiring them to buy at least six branches
distributed all over the country," he told BusinessWorld.

PDIC has also reduced the minimum bidding price to eight
million Philippine pesos ($.176 million at PhP45.545=$1)
for branches in Metro Manila, Davao and Cebu, and PhP5
million ($.110 million) for those located in other
provinces. PDIC officers earlier said the high price for
each Prime Bank branch turned off bidders during the first
auction.

The state deposit insurer earlier set a minimum PhP15
million for branches in Metro Manila, Davao and Cebu, and
PhP10 million for those in other provinces.  Of the 62
branches of Prime Bank, 21 are located in Metro Manila, 27
in Luzon, two in Cebu, four in Visayas, three in Davao, and
five in Mindanao.

"We have also given winning bidders added flexibility. This
means if you get a branch in Metro Manila, you can relocate
it in Cebu or Davao (and vice versa) and if you get one in
the provinces, you can also relocate it in any province
(and) in any region," Mr. Nazareno said.

Previously, PDIC only allowed bidders to relocate within
the general area of the branch. This meant if a bidder gets
a branch in Metro Manila, he can relocate it anywhere but
only within the metropolis.  Mr. Nazareno said four banks
have already expressed interest to acquire Prime Bank's
branches after the failed bidding.

"We expect a higher demand this time since Bangko Sentral
(central bank) Governor (Rafael) Buenaventura reiterated
that he will not allow new licences for bank branches in
the next three to five years," he said.

The central bank also sweetened the pot by allowing the
winning branch bidders to amortize the cost over a period
of 10 years.  Prime Bank depositors have also agreed to a
three-year payout for their deposits that remain with the
bank.  Depositors earlier said an estimated PhP2.3 billion
($50.50 million) worth of uninsured deposits have remained
with the bank since last year's declaration of a bank
holiday.

Prime Bank temporarily suspended operations in June 1999
and was placed under PDIC receivership in January this
year. The thrift bank also suffered cash woes after
overextending itself in lending.  Prior to the bank
holiday, the thrift bank was having difficulty beefing up
its capital to meet the Bangko Sentral's increased minimum
equirements. (Business World  08-Sept-2000)


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

BRIERLEY INVESTMENTS: Posts US$162M annual loss
-----------------------------------------------
Singapore-based Brierley Investments, with stakes in
airlines, hotels and fishing companies, lost US$162 million
in the year ended June 30 as the cost of write-offs
increased and its property and retail divisions suffered.

By comparison, the company posted a profit of US$33.1
million for the previous year.  Net assets per share fell
to 31.6 US cents from 37.4 US cents a year earlier. No
dividend will be issued.

"These results close the chapter on a difficult period in
Brierley's history," chief executive Greg Terry said.

He was referring to provisions and write-offs of US$72
million in the first half and a goodwill write-off related
to Air New Zealand of US$64 million.  The loss came despite
a US$22 million profit from selling a 16.7 per cent stake
in Air New Zealand and a US$12 million gain in selling
Bondway Properties in Britain.

The company has been restructuring, including selling
stakes in key investments, to raise profitability and also
to seek more Asian investments.  If exceptional items are
excluded, Brierley's full-year loss was US$26 million.
Apart from bigger losses in property and retailing, the
company said profits at its hotel and transport businesses
shrank in the year.

In the first half, Brierley posted an unexpected loss after
writing off its energy and health-care assets, losing
NZ$83.3 million (about HK$275.7 million) in the six months
to December 31, after writing off further NZ$150 million
from its investments.  Brierley has been selling assets
worth more than NZ$2 billion in the past two years.

The stake sales included a 16.7 per cent stake in Air New
Zealand in April for NZ$285 million to Singapore Airlines.
It could fetch more if Air New Zealand earns more than
NZ$1.65 billion for the year to next June, before interest,
tax, depreciation, amortisation and rentals. Brierley still
owns 30 per cent of the airline, which owns Ansett Holdings
of Australia.

"I believe we will get past that first threshold, and we
will get that 50 NZ cents" per share from Singapore
Airlines for meeting this target this year, Mr Terry said.

That would add NZ$47.5 million to the amount SIA has to pay
Brierley for the stake. However, a second, higher profit
forecast of NZ$2.1 billion is unlikely to be achieved,
given the cost of jet fuel, he said. Meeting that target
would give Brierley NZ$95 million. (South China Morning
Post, Bloomberg  08-Sept-2000)

NOVELL (Singapore): 300 employees face uncertain future
-------------------------------------------------------
The future is bleak for more than 300 Novell employees in
Asia Pacific, as the software maker confirmed it would be
slashing 900 positions worldwide, reducing that work force
to approximately 4,600.

When asked how many people would be laid off in Singapore
and the rest of Asia Pacific, Novell Singapore Pte Ltd
general manager Kong Chee Hoh said, "We do not disclose
numbers of affected employees by site or business unit.
All business units are subject to this realignment."

Kong did tell Singapore.CNET.com that cuts will be made
based on the "needs of the business" and not on location,
grade level or title.  "With this move, we are tightening
our focus on technology investments, and the markets,
partnerships and channels of delivery we target," he added.
"This will enable us to speed our time to market, improve
our ability to work with partners and achieve higher levels
of customer satisfaction."

Asked when the retrenchment exercise would begin in Asia
Pacific, Kong declined to get into specifics but said:
"Restructuring is part of Novell's organizational
transition to a Net services strategy to implement the most
efficient go-to-market strategy for each geography in Asia
Pacific."

In a statement, Novell said it plans to write off other
assets and take a pretax restructuring charge of between
US$40 million and US$50 million for the fourth quarter,
ending Oct 31.  CNET News.com had earlier reported that
Novell faces increased competition from Microsoft, which
earlier this year unveiled Windows 2000, its new computer
operating system for businesses.

The action is a pragmatic one, said Chuck Phillips, an
analyst at Morgan Stanley Dean Witter. "It reflects the
reality of the company's revenue line."

By itself, though, the move will not be enough to turn
things around, he said. "No one ever revived a tech company
through cost cutting. They still have to come up with
winning products to have a long-term turnaround."

Microsoft contributed to Novell's woes, but Novell also
hurt itself by not moving quickly enough into new areas
when things were good, Phillips told CNET News.com.
Analysts said the company has had problems cutting loose
from its roots as an operating systems company to become a
provider of Internet infrastructure software. (AsiaGateway
8-Sept-2000)


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

SAFARI WORLD PLC: Temporary halt on share auction
-------------------------------------------------
Pin Kiewpaisal, founder and chairman of Safari World Plc,
has gotten an injunction to protect his Safari World shares
from being auctioned.  The Minburi Court on Wednesday
temporarily ordered protection of 34 million Safari World
shares owned by Mr Pin, pending a decision by the Court of
Appeal.

Mr Pin's group was indebted to a now-defunct finance
company whose debts were purchased by a group led by
Kiatnakin Finance and Securities.  Later, the Asia
Discovery Fund I was established to oversee the debts. Mr
Pin's group currently owes about 1.8 billion baht to the
fund, which intends to auction the shares which had been
pledged as collateral.

The fund has previously auctioned two blocks of Safari
World shares, the first of five million shares and the
second of 3.9 million.  The company also became the buyer
in that auction, paying 15 baht a share.

SIAM CITY BANK: BOT to oversee SCIB's bad debts
-----------------------------------------------
The Finance Ministry and the Bank of Thailand will manage
ailing Siam City Bank's (SCIB) bad debts by transferring
them to the central bank's own asset management company.

Central bank governor MR Chatu Mongol Sonakul said the
Financial Institution Development Fund (FIDF), SCIB's
majority shareholder and the central bank's financial arm,
agreed at a recent meeting to transfer SCIB's Bt200 billion
in bad loans to its asset management company, instead of to
the state-owned Asset Management Corporation (AMC) as
earlier proposed.

"The Finance Ministry's policy is that no matter which way
we choose, it must create the lowest expense for the FIDF,"
Chatu Mongol said.

The FIDF cancelled its plan to sell the nationalised bank
to investors after failing to attract high enough bids.
SCIB was one of several domestic banks nationalised shortly
after the financial crisis hit. The authorities at that
time tried to revive the bank by separating its bad and
good assets.

More recently, AMC chairman MR Pridiyathorn Devakul
submitted a proposal to the central bank on buying and
managing SCIB's non-performing loans. But the central bank
rejected the plan, saying that selling SCIB's bad loans to
the company at a discount would create many problems and
would have fewer advantages than keeping the bad loans at
the bank's own asset management company.

Meanwhile Chatu Mongol said the Finance Ministry has
decided to keep the bank's Bt40 billion of good assets at
the bank. The ministry is considering whether it will hire
financial experts or instruct government officials to
manage the bank. Chatu Mongol explained that hiring experts
would be very expensive, while sending state officials who
may not be experts to manage the bank will create
management risks.

He said the central bank is currently negotiating
with experts.  Chatu Mongol said earlier that according to
the central bank's estimation, SCIB currently has about 90
per cent NPLs. Under the 40 per cent recovery rate and Bt40
to Bt50 billion loan loss reserve conditions, the
government may need to compensate for a loss of at least
Bt90 billion to the bank.

SCIB president Phaithoon Kijsamrej has said that SCIB's
NPLs, according to the bank's estimation, account for only
65 per cent of total loans. (The Nation  08-Sept-2000)

THAI OLEFINS CO.: Deal made with creditors
------------------------------------------
Thai Olefins Co (TOC) and 15 creditors have signed an
agreement to restructure US$191 million of the company's
total outstanding debts of $311 million.

Signed in the presence of Industry Minister Suwat
Liptapallop, the agreement provides that the 15 creditors
will extend repayment of the debts by two years, from 2005
to 2007.  Core creditors of the company include the
Industrial Bank of Japan, the US Exim Bank, the Sakura Bank
Ltd, the Chase Manhattan Bank, and Bangkok Bank Plc.

The new payment terms will allow the company to reduce
principal repayments by $122 million over the next four
years and interest by 80 million baht a year. They do not
require any write-off or debt for equity conversion.

However TOC's existing shareholders are required to set
aside $50 million as "cash deficiency support" in case the
company is not able to pay principal and interest. TOC
chairman Gen Yutthasak Sasiprapa said the restructuring
agreement would significantly enhance the way the company
did business.

The firm is planning to raise ethylene production capacity
at its Rayong plant to 700,000 tonnes a year in 2003 from
385,000 tonnes. Natural gas will be used as the main raw
material to increase the production.

Gen Yutthasak said TOC also intended to expand into
downstream industries where ethylene is used as the raw
material. He forecast petrochemical products would play a
key role in helping people live a more comfortable life in
the future. The TOC chairman added the company was also
preparing to list on the Stock Exchange of Thailand with
KGI Securities One Plc acting as a lead underwriter.

It is expected the firm will be able to go public in the
first quarter of next year. With registered capital of
8.483 billion baht, Thai Olefins is 49% held by Petroleum
Authority of Thailand, 13.76% by Bangkok Polyethylene Plc,
13.32% by Siam Cement Plc, 4.77% by Siam Styrene Monomer
Co, 6.86% by Thai Petrochemical Industry Plc, 5.29% by
Vinythai Plc, 5% by Bangkok Synthetic Co, and 2% by
National Petrochemical Plc,. (Bangkok Post 08-Sept-2000)


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

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