/raid1/www/Hosts/bankrupt/TCRAP_Public/001023.MBX      T R O U B L E D   C O M P A N Y   R E P O R T E R

                             A S I A   P A C I F I C

             Monday, October 23, 2000, Vol. 3, No. 206

                                    Headlines


* A U S T R A L I A *

BANKWEST: Share price dips, earnings estimates downgraded
COMMANDER COMMOS.: Undertakes $75M float to retire debt
JOONDALUP COUNTRY CLUB HLDGS.: Dodges possible liquidator
NEW SOUTH WALES RUGBY UNION: ARU takes over
SURF DIVE `N SKI: Lots of interested buyers


* C H I N A  &  H O N G  K O N G *

BASE POINT COMPANY LTD: Facing winding up petition
EMILY LAU: Served with demand for HK$1.6M
EUROASIA (T.K.)ENGINEERING LTD: Facing winding up petition
GLORY PRODUCTS CO.LTD: Facing winding up petition
NEW WILL INVESTMENT LTD: Facing winding up petition
NEW WORLD CYBERBASE: Monthly loss widens to $10M
PACIFIC CENTURY CYBERWORKS: To seek finance to stop slide?
PEOPLE'S INSURANCE CO.: Ordered to shut trust, invest.firm
SINA.COM : Posts wider Q1 loss
TIANJIN BOHAI: Launches $3.5B rescue plan


* I N D O N E S I A *

BANK BIRA: Owner agrees to pay debt to IBRA
BANK MARSHILL UTAMA: Owner agrees to pay debt to IBRA
BANK PRASIDHA UTAMA: Closed for capital deficiency
BANK RATU: Closes for capital deficiency
BANK UMUM SERVITIA: Owner agrees to pay debt to IBRA
PUTRA SURYA PERKASA: Owner agrees to pay debt to IBRA


* J A P A N *

DAIICHI MUTUAL: Takeover stalled
KYOEI LIFE: Files for court protection with Y4.5T in debts


* K O R E A *

DAEWOO MOTOR: Overseas plants to get staff cuts
DAEWOO MOTOR: Facing strike threat
DONG AH CONSTRUCTION: Gov't to turn to its fate
HYUNDAI ENGIN. & CONST: Has new overhaul plan
KOHAP CORP: New self-help plan includes Ulsan plant sale
SSANGYONG CEMENT: Gov't to turn to its fate


* M A L A Y S I A *

MAN YAU HOLDINGS: KLSE publicly reprimands
NAUTICALINK BHD: Revises debt repayment plan
SURIA CAPITAL HOLDINGS: KLSE publicly reprimands
SOUTH MALAYSIA INDUSTRIES: KLSE publicly reprimands


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

NATIONAL STEEL CORP.: SEC to speed up liquidation
PHIL.PHOSPHATE FERTILIZER CORP.: Could lose Vietnam market


* S I N G A P O R E *

CITY DEVELOPMENTS: Refinancing $700M of debt


* T H A I L A N D *

BANGKOK METROPOLITAN BANK: Posts Q3 net loss
DBS THAI DANU BANK: Posts Q3 loss
THAI FUJI: Central bank charges former executive


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

BANKWEST: Share price dips, earnings estimates downgraded
---------------------------------------------------------
BankWest is defending its secrecy over its exposure to the
failed business empire of Queensland entrepreneur Lux
Daswani, as the market drove its shares lower and analysts
downgraded 2000-01 earning estimates for the Perth-based
bank.

BankWest spokesman Ray Jordan said yesterday he believed
the bank told the sharemarket in good time about its
involvement with Daswani companies when it released a
statement to the Australian Stock Exchange on Monday
evening.  "There were a few things to go through before we
could notify the market," he said in the statement.

BankWest put Arthur Andersen insolvency accountant Mark
Mentha in as administrator of several Daswani companies on
October 2, the day after ANZ put insolvency firm Ferrier
Hodgson in charge of another wing of Mr Daswani's empire to
protect a $12 million exposure.

BankWest refused to comment on its links to the Daswani
group in the days after the appointment, with spokesman
Peter Knight saying it was a confidential matter relating
to a client's relationship with the bank. BankWest broke
its silence in its statement on Monday night by revealing
it was owed about $25 million by Daswani companies and it
was making a specific provision of between $15 million and
$20 million for its exposure.

The bank said it received indicative values for assets from
Mr Mentha on Friday and had made its provision in light of
those values. The provision would have an impact on its
second-half result.  BankWest shares had closed at $3.63 on
Monday afternoon before the exposure was disclosed, having
closed in the range of $3.59 to $3.68 over the past month.

The shares were punished on the market yesterday, trading
as low as $3.42 before finishing the day 14 cents lower at
$3.49.
Broker JB Were & Son downgraded its earning forecasts for
BankWest for the year to February 28 from $143 million to
$129 million and Hartley Poynton downgraded earnings from
$142 million to $129 million.

Hartley Poynton senior banking analyst Jamie Nicol said
there were some concerns in the market about BankWest's
vulnerability to an economic downturn in light of it
pursuing growth in new markets such as NSW, Victoria and
business lending. "It's a bit of a concern at this stage,"
he said.

Analysts have been preparing themselves for a mild downturn
in
economic growth and increased corporate failures in the
wake of the pre-Olympics boom and interest rate rises that
began in November last year. Two years ago, stock broker
Burdett Buckeridge Young warned that BankWest's loan
portfolio had a higher credit risk than other regional
banks and it was shedding low-risk customers faster.

Yesterday, former BBY analyst and one of the survey's
authors, Peter Leodaritsis, said one bad loan did not
necessarily reflect on the quality of a bank's whole
portfolio.  However, Mr Leodaritsis, now managing director
of independent analysis
group Assirt Equities, said his research two years ago had
highlighted BankWest's loan portfolio was of a lower
quality than that of leading rivals because of the
aggressive growth strategy.

In times of rising interest rates, that could create
problems, he said. Earlier studies showed there was
normally an 18-month lag between interest rates starting to
rise and defaults among higher-risk customers.  BankWest's
loan deal with Daswani is believed to have been struck
through its Melbourne commercial lending office in about
June last year. (The West Australian  18-Oct-2000)

COMMANDER COMMOS.: Undertakes $75M float to retire debt
-------------------------------------------------------
Telecommunications service provider Commander Communica-
tions will float on the sharemarket amid volatile times to
raise $75 million, valuing the almost $200 million a year
business at $171.7 million.

The company, whose major shareholders include Telstra Corp,
will offer shares to retail investors at $1.20 and to local
and offshore institutions in a book build at an indicative
price of $1.05 to $1.30 a share.  Commander managing
director Mr John Dougall said the company was confident
of getting the offer away after early positive indications
from domestic institutions.

He said the company had a customer base of small-to-medium
enterprises that was 125,000 strong and that the company
was profitable.  Management forecasts that in current
financial year Commander will turn over $195.1 million for
earnings before interest, tax, depreciation and
amortization of $24.9 million.

Its net profit before the amortization of goodwill is
tipped to come in at $13.4 million, with bottom-line
earnings forecast at a lesser $12 million. The pricing
represents a bottom-line earnings multiple for the business
of 14.3 times and net earnings per share of 11.9›.

The entire proceeds of the issue after costs will be used
to retire $66.3 million in debt, which was used to fund a
leveraged buyout of the 70 percent share of the operation
in 1998 not owned by Telstra.  The debt will be repaid to
lenders that include shareholders and ABN Amro, a joint
lead manager for the IPO with Salomon Smith Barney.

Mr Dougall said yesterday that Commander post-issue would
tap a new $50 million revolving bank facility also provided
by ABN Amro, which was more suited to a listed stock, to
fund development of the enterprise. Forecasts for sales and
NPAT this year have been boosted by $1.1 million each by a
facility with Citibank to purchase the rental income of
Commander, which front-loads the company's revenue into the
current year, with the extra receipts equal 9 percent of
the company's expected earnings.

Existing shareholders will all retain their stock in the
company, with Telstra's 30 percent interest diluted to 16.7
percent and to be held in escrow for two years post issue
post-issue. (Australian Financial Review  20-Oct-2000)

JOONDALUP COUNTRY CLUB HLDGS.: Dodges possible liquidator
---------------------------------------------------------
Joondalup Country Club Holdings (JCCH) has deflected a
$A12.9 million repayment demand, the Supreme Court of
Western Australia quashing former director Johnny Basuki's
statutory demand on October 18.

The court found that there was a genuine dispute because of
the debt-to-equity deal that Joondalup resort chief James
Chan claims he struck with Basuki in September 1998.
Basuki's demand against JCCH is the first stage of
winding up proceedings under Corporations Law. If a genuine
dispute had not been established, Basuki could have started
an action to appoint a liquidator.

NEW SOUTH WALES RUGBY UNION: ARU takes over
-------------------------------------------
Nineteen New South Wales Rugby Union (NSWRU) staff were
made dismissed Oct. 18 in a cost-cutting move for the
failing organization. NSWRU owes $A5.5 million, and to
avoid going into liquidation, the Australian Rugby Union
has taken over running its operations.

SURF DIVE `N SKI: Lots of interested buyers
-------------------------------------------
Ferrier Hodgson and Company has assured Surf Dive `N Ski
creditors they will get a good price for the sale of the
retailer, confirming that it has received some 100
interested inquiries for the failed company.

Surf Dive `N Ski was placed into administration on Oct. 1
after sole director Lux Daswani of the parent company
Daswani Group of Companies fled the country. Daswani is
believed to be in Hawaii. He left Surf Dive `N Ski owing
some $A50 million.  October 20 is the final date for
submission of bids for the retail chain. The Surf Dive `N
Ski stores in New South Wales will not be included in the
sale, being under separate ownership.


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

BASE POINT COMPANY 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
The Daiwa Bank Limited for the winding up of Base Point
Company Limited. A notice of legal appearance must be filed
on or before October 31.

EMILY LAU: Served with demand for HK$1.6M
-----------------------------------------
A leading Hong Kong legislator was served Friday with a
demand for repayment of 1.6 million Hong Kong dollars
(205,391 US) for legal fees incurred in a failed lawsuit.

Emily Lau had brought a case against director of the
mainland Liaison office in Hong Kong, Jiang Enzhu, last
year after a failed bid to gain access to files on her
collated by Xinhua, the official Chinese news agency, under
the personal data privacy ordinance.  She added that
failure by Secretary for Justice Elsie Leung to take action
at the time had led to her undertaking the lawsuit.

Lau told government-run radio RTHK that she had received a
statutory demand from Jiang on Monday requesting repayment
of the 1.6 million dollars owed within 21 days.  "If I fail
to do that, then he may go to the High Court to get a
bankruptcy petition," said Lau.

She added that her next course of action would be solicit
public donations over the next three weeks to pay the money
owed.  Local media reports had alleged that a declaration
of bankruptcy by Lau would result in her being removed from
the Legislative Council and her assets would be frozen.
(Agence France Presse  20-Oct-2000)

EUROASIA (T.K.)ENGINEERING LTD: Facing winding up petition
----------------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on December 27 on the petition of
Ma Siu Pui for the winding up of Euroasia (T.K.)
Engineering Limited. A notice of legal appearance must be
filed on or before December 26.

GLORY PRODUCTS CO.LTD: Facing winding up petition
-------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on December 27 on the petition of
HBZ Finance Limited for the winding up of Glory Products
Company Limited. A notice of legal appearance must be filed
on or before December 26.

NEW WILL INVESTMENT LTD: Facing winding up petition
---------------------------------------------------
The High Court of Hong Kong SAR, Court of First Instance,
has scheduled a hearing on December 27 on the petition of
Sin Hua Bank Limited for the winding up of New Will
Investment Limited. A notice of legal appearance must be
filed on or before December 26.

NEW WORLD CYBERBASE: Monthly loss widens to $10M
------------------------------------------------
New World CyberBase Limited chief executive officer
Yvette Ong reported that the company's monthly loss widened
to over $10 million from about $9 million posted in August
results.

Ong pointed out that the company will review its existing
operations regularly and may shut down certain unprofitable
projects.  In the future, the company will seek to develop
Business-to-Business e-commerce business, the China market
to be its main target.  Additionally, she confirmed, the
company was to dispose of property assets for cash after
the results announcement.

PACIFIC CENTURY CYBERWORKS: To seek finance to stop slide?
----------------------------------------------------------
Pacific Century CyberWorks chairman Richard Li Tzar-kai may
seek financing from banks to increase his personal stake in
the company and stop the recent chronic slide in the
company's stock price.

CyberWorks' shares dropped 1.57 per cent to HK$6.25 last
Thursday after hitting a year low of HK$5.90. They now have
fallen for 10 consecutive days. Turnover was HK$1.26
billion.  CyberWorks shares have slumped almost 60 percent
from HK$15.35 since the company completed its acquisition
of Cable & Wireless HKT on August 17, wiping almost HK$200
billion from its market capitalisation.

The shares have been caught up in the global correction in
technology and telecoms stocks but have also suffered from
worries about the company's high debt level and the
expectation that Cable & Wireless will dispose of its
stake.  Complaints from shareholders, particularly former
holders of HKT shares, on popular phone-in programmes are
believed to be one of the factors behind Mr Li's expected
move to try to shore up the price, according to people
close to Mr Li.

The market has been expecting a buy-back from Mr Li since
late September, when he said he was contemplating such a
move.  He raised nearly HK$3.8 billion in August by selling
1 per cent of CyberWorks.

The latest report comes at a time when Mr Li is expected to
meet with banks to refinance the US$5.5 billion in debt the
company will be left with after the revised deal with
Australia's Telstra Corp.  An informed source said Mr Li,
who is expected to give the banks financial information
updated to account for the US$2.43 billion in cash
CyberWorks is due to receive from Telstra, might also seek
personal financing to increase his stake in CyberWorks.

One banker who will attend a meeting with Mr Li next week
said he was unaware of any plans Mr Li might have to
arrange financing for a share buy-back. A spokesman at
CyberWorks said she was not aware of any financing
arrangement.  Mr Li holds 38.2 per cent of Cyberworks. An
extra 5 per cent at the latest share price would cost him
HK$6.6 billion.

Some analysts suggested Mr Li might want to raise cash to
fund his entitlement to a possible rights issue by the
company.  The CyberWorks spokesman said there were no plans
for a rights issue.

Investors are wary about the company's ability to refinance
its debt into long-term borrowings, despite securing a
US$3.55 billion cash injection under the alliance with
Telstra, which is to pay CyberWorks US$2.43 billion in cash
for control of their mobile-phone venture and for
CyberWorks convertible notes.

CyberWorks will raise a further US$1.12 billion from the
pair's internet protocol (IP) backbone joint venture.
Speaking at a HSBC investor conference in Kuala Lumpur
yesterday, Mr Li was quoted by Bloomberg as saying: "We
believe refinancing of the US$5.5 billion before February
will be on track even without an IPO of the subsidiaries of
either mobile or IP backbone."

He said both ventures could be financed by their own
capital and CyberWorks would be willing to dilute its
holdings at the expense of expansion.  "On the mobile
business, if it cannot go public and the company would like
to grow aggressively on 3G [third generation mobile], it's
most likely we would simply dilute down on that business,"
Mr Li said. (South China Morning Post  20-Oct-2000)

PEOPLE'S INSURANCE CO.: Ordered to shut trust, invest.firm
----------------------------------------------------------
Beijing has ordered People's Insurance Company of China
(PICC), the mainland's biggest insurance company, to close
down its wholly controlled trust and investment company, as
part of its efforts to restructure the trust and investment
sector, China Securities reported on Thursday.

The People's Bank of China (PBC), the mainland's banking
regulator, formally rescinded the company's licence
following nearly three years of internal restructuring
imposed by the regulator.  An official with the central
bank said the closure is different from the previous
closures of trust and investment company that were
triggered by financial difficulties.

The move was to comply with a central government decision
for a massive restructuring of the trust and investment
sector, the official said.  PICC was also forced by the
central government to relinquish its securities arm to
China Galaxy Securities Company, the only state-owned
securities company in China, according to the bank
official.

Earlier media reported that PBC announced that Beijing
would keep only three state level trust and investment
companies, China International Trust and Investment
Corporation (CITIC), China Coal Trust and Investment
Company and China Economic Development Trust and
Investment.  The rest of more than 100 so-called
international trust and investment companies would be
either shut down or merged. (South China Morning Post  20-
Oct-2000)

SINA.COM : Posts wider Q1 loss
------------------------------
Sina.com, operator of an Internet portal targeting Chinese
communities worldwide, recorded a US$5.96 million loss for
its first quarter ended September 30. That was up from
US$5.34 million for the same period last year. Loss per
share for the period this year was US$0.15 versus US$0.21
the year before.

Revenue was US$7.15 million for the quarter, 88 percent of
which came from advertising and the balance from its
software business. Though the company remains unprofitable,
its gross margins rose for the fifth consecutive quarter
and reached 44 percent for the latest quarter according to
chief executive Wang Zhidong.

Marketing expenses for the company more than doubled to
US$3.61 million in the quarter and are expected to
continue rising in the coming quarter.  As of the end of
September, Sina.com had page views of 46 million a
day, up 35 percent from the previous quarter. Its
registered members reached 11 million.

TIANJIN BOHAI: Launches $3.5B rescue plan
-----------------------------------------
New management of troubled H share Tianjin Bohai Chemical
Industry has unveiled a 3.8 billion yuan (HK$3.56 billion),
five-year plan to turn the loss-making chemical company
into a sewage water processor and infrastructure investor.

The move is part of Tianjin Bohai's attempt to return the
company to profit and prevent its shares being suspended,
according to new chairman Ma Baiyu.  In an unprecedented
move, Tianjin Municipal Investment - an enterprise wholly
owned by the Tianjin municipal government - would swap its
1.39 billion yuan sewage water processing business and toll
road assets for Tianjin Bohai's entire loss-making core
chemical business, together with its liabilities.

The proposed asset swap is the most drastic restructuring
plan undertaken by China to rescue a state-owned enterprise
from bankruptcy and suspension.  Bohai Corp, the parent of
Tianjin Bohai, would transfer its 63.09 per cent interest
in the company to Tianjin Municipal Investment without a
cash consideration.

Tianjin Municipal Investment will spend more than three
billion yuan to build two sewage water processing factories
and upgrade two existing sewage water processing factories
over the next five years.  The plan will double its sewage
water processing capacity.

An additional 80 million yuan would be needed to build a
recycled water supply pipeline in the municipality.
The company would also invest about 556 million yuan over
the next year to build a toll bridge.  The Tianjin
municipal government has guaranteed a return on net assets
of 15 per cent for 30 years, which Ms Ma said would help
the company generate steady earnings growth.

Tianjin Municipal Investment reported a 179 million yuan
net profit last year on 324 million yuan revenue.
In 1998, it recorded a net profit of 158 million yuan on
revenue of 326 million yuan.  With accumulated losses of
972.42 million in the past two years, Tianjin Bohai was
unlikely to return to profit this year or even in the near
future, Ms Ma said.

"Without the asset swap, Tianjin Bohai is likely to be
delisted [by the China Securities Regulatory Commission]
and even eventually bankrupted," she said.

Tianjin Bohai, which also has A shares on the Shanghai
Stock Exchange, would be suspended and placed under
"particular transfer", which allows limited share transfer
between willing buyers and sellers.  The securities
ordinance requires mainland-listed companies to be
suspended from trading after reporting losses for three
consecutive years.

By taking up the loss-making and heavily indebted chemical
business from Tianjin Bohai, the Tianjin municipal
government would incur a loss of 44 million yuan, Ms Ma
said.  However, the deal would help to protect shareholder
interests and save the H-share company's reputation, she
said.

"If the company was suspended, it would be very difficult
for it to get back to the capital market for future fund
raising."

Ms Ma said the commission and the Ministry of Finance had
approved the asset swap.  However, since the deal changed
the entire business nature of Tianjin Bohai, it would still
be subject to Hong Kong Exchanges and Clearing's approval
as a new listing application.  The deal should be completed
by December 20, after which will change its name to Tianjin
Capital Environmental Protection. (South China Morning Post
20-Oct-2000)


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

BANK BIRA: Owner agrees to pay debt to IBRA
BANK MARSHILL UTAMA: Owner agrees to pay debt to IBRA
BANK UMUM SERVITIA: Owner agrees to pay debt to IBRA
PUTRA SURYA PERKASA: Owner agrees to pay debt to IBRA
-----------------------------------------------------
Owners of 15 closed banks have agreed to pay debts owed to
the Indonesian Bank Restructuring Agency (IBRA) stemming
from their closure brought by the Asian crisis.

Included in the group of owners are those from Putra Surya
Perkasa, Bank Mashill Utama, Bank Bira and Bank Umum
Servitia.  They were listed on the Jakarta Stock Exchange
before the government shut them down early last year. Ibra
did not say how much money was owed.

The government had to pay the banks' depositors after it
revoked the banks' licences. Ibra said it would take legal
action against owners of closed down banks who were not
willing to settle debts.  The restructuring of the banking
system is the key part of reforms demanded by international
lenders who are now propping up Indonesia's crisis-ridden
economy. (South China Morning Post  21-Oct-2000)

BANK PRASIDHA UTAMA: Closed for capital deficiency
BANK RATU: Closes for capital deficiency
--------------------------------------------------
Bank Indonesia has closed Bank Ratu and Bank Prasidha Utama
effective Oct 20 due to capital deficiency at the two
banks. Management of the two banks has been transferred to
the Indonesian Bank Restructuring Agency, BI noted.


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

DAIICHI MUTUAL: Takeover stalled
--------------------------------
Negotiations have bogged down over the possible takeover of
the failed Daiichi Mutual Fire & Marine Insurance Co's
outstanding insurance policies.

The primary cause appears to be a differences of opinion
over the value of the failed firm's assets, according to
Marine & Fire Insurance Association of Japan Chairman Takeo
Iguchi, as well as Daiichi Mutual's future profitability.
Daiichi administrators previously limited discussions to
Ripplewood Holdings LLC of the United States.

KYOEI LIFE: Files for court protection with Y4.5T in debts
----------------------------------------------------------
Kyoei Life has filed for court protection from creditors,
marking the nation's biggest corporate bankruptcy ever and
the second failure of a Japanese life insurer in less than
two weeks.

The failure of Kyoei, with debts of 4.5 trillion yen at the
end of March, eclipsed the previous record-holder for
bankruptcy debt, Chiyoda Mutual Life, which went under just
11 days earlier with Y2.94 trillion in debt. Shoichi
Otsuka, who tendered his resignation as life president of
Kyoei yesterday, said the company had a negative net worth
of Y4.5 billion at the end of September.

The Japanese Government played down the likely effect of
the failures on Japan's struggling economy, but
acknowledged they could undermine corporate confidence.
Kyoei Life, Japan's eleventh largest life insurer in terms
of assets, is the sixth postwar failure in the battered
sector, reeling from falling premium income, low investment
returns and weak share prices.

The company was unable to rebuild its business through an
alliance with Prudential Insurance of America, which agreed
in June to take a minority stake.  Prudential said
yesterday that it was ready to provide financial help for
Kyoei's court-led rehabilitation, following in the
footsteps of American International Group, the world's
biggest insurer by market value, which was appointed to
help to rebuild Chiyoda Life.

More than 90 per cent of Japanese households hold life
insurance policies, a popular means of saving for
retirement, but there is growing wariness about insurers'
financial health.  Particularly worrisome is the wide gap
between relatively generous payments promised on policies,
especially those taken out during an asset-price bubble a
decade ago, and returns on insurers' investments, which
have tumbled in recent years. (The Times  21-Oct-2000)


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

DAEWOO MOTOR: Overseas plants to get staff cuts
-----------------------------------------------
Daewoo Motor Co. plans to cut the workforce at its
Polish passenger car unit FSO by 2,600 by the end of this
year.

As part of the planned layoffs, the troubled automaker will
spin off plant security, car washing, transportation and
resort operations.  Soon after the three-year period of job
security expired at the end of last year, Daewoo began
restructuring the Polish plant, already reducing the
workforce by half, the company confirmed.

A similar lay-off process already has been implemented in
DMP, Daewoo's commercial vehicle plant in Poland. Some
1,200 employees will be cut from its current work force of
5,000. Daewoo also is discussing a massive consolidation of
some of its overseas incorporated companies with its
creditor institutions.

DAEWOO MOTOR: Facing strike threat
----------------------------------
Daewoo Motor's trade union on Thursday said it would strike
if the bankrupt South Korean carmaker tried to sack some of
the 13,000 workforce under a restructuring plan.

The carmaker's survival is dependent upon the creditor-
imposed restructuring: without emergency loans from
creditors, it could soon be forced to cease production.
The union also opposed the sale of Daewoo to General Motors
because of fears over job cuts and asked the government to
nationalise the carmaker.

The government has already rejected nationalisation, saying
it would be contrary to market reforms.  The mounting
labour dispute could discourage plans by GM and its partner
Fiat to acquire Daewoo once they complete due diligence of
the carmaker.

Daewoo needs 450 billion won ($395 million) in emergency
loans from creditors if it is to maintain operations until
the end of the year. Local Daewoo managers and staff at
some overseas operations, such as Daewoo's design centre in
the UK, have not been paid since last month.

Creditors have demanded a restructuring plan by next week
before deciding on whether to provide further financial
support. But some banks have already balked at extending
further loans.  Analysts believe Daewoo will have to start
cutting jobs since falling car sales have left its domestic
factories running at less than 60 percent of production
capacity, resulting in a monthly operating loss of 100
billion won.

Adding to Daewoo's woes was a decision this week by at
least 3,000 employees at Daewoo Motor Sales, the company's
local distribution arm, to tender letters of resignation in
protest over "unilateral" restructuring moves by creditors.
This is likely to cause a further drop in car sales.
The Daewoo Motor union recently rejected a proposal to
accept pay cuts, a step that workers at Kia Motors accepted
when that South Korean carmaker went bankrupt in 1997.

"The only way for Daewoo's survival is sweeping self-rescue
efforts on the part of Daewoo employees," said Uhm Rak-
yong, head of Korea Development Bank, Daewoo's main
creditor.

Daewoo Motor yesterday said it planned to cut 2,600 workers
at its Polish passenger car unit, Daewoo-FSO Motor, by
spinning off several non-manufacturing operations, such as
plant security. However, Krystyna Danilczyk, a spokeswoman
for Daewoo FSO Motor denied the report of mass lay-offs,
which she called "completely fabricated."

Poland's government is concerned about the disarray at the
Korean carmaker, the single biggest foreign investor in the
country with $1.55 billion paid in at the end of last June,
according to the Polish Foreign Investment Agency.  Warsaw
plans to send a high-level delegation to Seoul next month
to discuss the situation, a spokeswoman for the Economics
Ministry said. Daewoo Motors is consulting creditors on
consolidating overseas units that stand little chance of
being sold due to poor profitability. (Financial Times  19-
Oct-2000)

DONG AH CONSTRUCTION: Gov't to turn to its fate
SSANGYONG CEMENT: Gov't to turn to its fate
-----------------------------------------------
With Hyundai Engineering & Construction (HEC) expected to
survive if its newest self-rescue plan succeeds, attention
has now turned to the fate of the other two major players
in the local construction industry experiencing financial
difficulties, Dong-Ah Construction and Ssangyong Cement.

The Financial Supervisory Service (FSS) will dispatch staff
on Friday to Seoul Bank, the largest creditor of Dong-Ah,
to give a final once-over of the bank's evaluation of
whether the contractor should be allowed to survive or be
liquidated. Sources say top executives at the bank believe
Dong-Ah's chances for survival are low and they have made
an internal decision to stick to the letter of government
guidelines in making their official evaluation, which means
the firm will likely be marked for liquidation.

Dong-Ah chair Choi Dong-suk has, however been visiting
Chong Wa Dae and meeting with high-ranking government
officials and creditor banks to lobby for support, arguing
that his firm could survive if given additional funding.
According to reports, Choi's efforts have been received
favorably. In any case, a final decision on the survival of
Dong-Ah is not likely to be made until the very end of the
evaluation period, which ends this month.

In the case of Ssangyong Cement, the government and the
firm's creditors have been paying close attention to
whether a recent deal signed with Taiheiyo Cement will see
the injection of US$350 million (W370 billion) from the
Japanese firm into Ssangyong Cement at the end of the month
as planned.  One high-ranking FSS official said if the
money comes through, Ssangyong Cement is certain to
survive.

If these firms do manage to stay afloat, the total number
of business liquidated in this second phase of corporate
sector restructuring should come to about only 13 or 14,
including 3-4 workout firms and 10 small and mid-sized
firms, leading one analyst to express worries over public
disappointment at the smaller-than expected scale of
restructuring. (Digital Chosun  19-Oct-2000)

HYUNDAI ENGIN. & CONST: Has new overhaul plan
---------------------------------------------
Hyunndai Engineering and Construction has a news organiza-
tional overhaul plan that includes layoffs of directors and
realignment of business divisions.

The company plans to announce the full details this week.
As part of efforts to escape its current financial
distress, the company will cut 20-30 percent of its 139
directors. It also plans to simplify organizational
structure by merging overlapping divisions and introducing
independent accounting for overseas subsidiaries.

KOHAP CORP: New self-help plan includes Ulsan plant sale
--------------------------------------------------------
Kohap Corp. has presented its creditors a new self-help
scheme that contemplates the sale of its second plant in
Ulsan, estimated to be worth one trillion won.

A company official confirmed Kohap had yet to begin talking
with potential buyers on the sale, the proceeds from which
are to be used to pay debts. Currently, the synthetic fiber
manufacturer is under a workout program and faces the
threat of liquidation for its poor performance.


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

MAN YAU HOLDINGS: KLSE publicly reprimands
SURIA CAPITAL HOLDINGS: KLSE publicly reprimands
SOUTH MALAYSIA INDUSTRIES: KLSE publicly reprimands
---------------------------------------------------
Man Yau Holdings Bhd has again been publicly reprimanded by
the Kuala Lumpur Stock Exchange for failing to issue to
shareholders its annual report within six months of the
close of its financial year.

For this breach of Clause 3.22 of the Second Board Listing
Requirements, the company has also been fined RM150,000.
Man Yau's last financial year-end was Dec 31, 1999, and
hence its annual report was due on June 30 this year. To-
date, however, the company had yet to furnish its annual
report to the KLSE, a statement from the exchange said.

"The KLSE has required Man Yau to furnish the same to the
KLSE immediately, failing which further action may be taken
against Man Yau," it added.

On Jan 29 this year, the KLSE had given a public reprimand
and imposed a fine of RM100,000 on Man Yau for a similar
breach of the listing rules in respect of its 1998 annual
report, which the exchange said it had yet to receive.
The KLSE also noted that Man Yau was publicly reprimanded
on Sept 16 for failing to make an immediate announcement on
a restraining and stay order granted by the High Court on
Nov 24, 1999, pursuant to Section 176(10) of the Companies
Act.

Man Yau only made the relevant announcement on Dec 10 last
year a delay of 11 market days from the date the
restraining order was obtained.  Similarly, Suria Capital
Holdings Bhd has been publicly reprimanded by the KLSE for
failing to meet the deadline for issuance of its annual
report. Its 1999 report was due on June 30 this year, but
it was only furnished to the KLSE on July 4.

This is Suria Capital's second breach of the listing rules.
It had previously been pulled up on April 1, 1997, for
failing to furnish on time its preliminary financial
statements for its financial year ended Dec 31, 1996.

Also publicly reprimanded was South Malaysia Industries Bhd
(SMI) for failing to make an immediate announcement when
Kewangan Bersatu Bhd (KBB) filed a claim of RM26.36mil
against the company on June 11, 1998, in respect of a
corporate guarantee it had given to KBB.
SMI made the announcement only on Nov 1, 1999 a delay of
about 16 months from the date of litigation, the KLSE said.
(Star Online  21-Oct-2000)

NAUTICALINK BHD: Revises debt repayment plan
--------------------------------------------
Nauticalink Bhd, which expects to raise RM64mil from its
proposed rights issue with warrants and proposed special
issue, has revised its earlier plan on debt repayment and
information technology (IT) investment.

It told the KLSE yesterday the part-repayment to lenders
would now be RM25mil instead of RM19.9mil, and that the
investment in the IT industry wopuld be RM11mil, instead of
RM20mil.  Nauticalink said the salient terms of the
proposed debt reconstruction was unchanged as per the
announcement made to the KLSE on March 17.

However, the repayment to lenders pursuant to the proposed
debt reconstruction would be revised from RM42.3mil to
RM44.6mil.  The completion date for the exercise is now
expected to be by March 31, 2001, compared with the
previously announced cut-off date of Sept 30, resulting in
the increase of total borrowings.

The increase was mainly due to the interest cost incurred
from Sept 30 to March 31, 2001, Aseambankers Malaysia Bhd
said in a statement on behalf of Nauticalink.  (Star Online
20-Oct-2000)


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

NATIONAL STEEL CORP.: SEC to speed up liquidation
-------------------------------------------------
Undaunted by threats of the Malaysian owners of National
Steel Corp. to take legal action against Philippine
officials and push for the deportation of overseas Filipino
workers in Malaysia, the Securities and Exchange Commission
said it would speed up the liquidation of the debt-strapped
steel firm to make it more attractive to potential
investors.

Asserting its right as majority stockholder of NSC, Hottick
Investments Ltd. had threatened to take all legal measures
and send OFWs back home to prevent the steel firm's
extinction.  SEC chair Lilia R. Bautista said "the order to
liquidate NSC stays," pointing out that the SEC has given
Hottick more than enough time to present a white knight to
ensure the survival of Philippines' biggest steel maker.

"Up to now, they have failed to present who their white
knight is.They really have no basis," Bautista said.
In a letter to the SEC, National Steel Labor Union
president Simplicio Villarta Jr. said he was informed by
NSC chair and executive director Ibrahim Bidin that Hottick
was not about to take SEC's order sitting down and would
fight it out all the way to the courts just to stop the
liquidation of NSC's assets.

".we had the opportunity to talk to Mr. Bidin over the
phone who indicated that Hottick will exhaust all available
legal means to stop the liquidation of NSC. And not only
that, he also insinuated that our overseas Filipino workers
in Malaysia might be sent home as was told to us by then
NSC chief operating officer Mr. Tom Galanis," Villarta
said.

It would be recalled that a few days before the debt
moratorium granted to NSC and the deadline for Hottick to
submit an alternative rehabilitation plan for the steel
firm expire, the SEC was wavering on issuing the order for
the dissolution of NSC, noting the political repercussions
of such move. An SEC official earlier said this might
strain RP-Malaysian ties and could further aggravate
political and financial problems besetting the country.

The SEC ordered the liquidation of NSC after the company's
Malaysian owners failed to file an alternative plan to
rehabilitate the ailing steel maker which shut down
operations in November last year.  It did not find merit in
Hottick's request for additional time to file an
alternative to the rehabilitation plan drafted by the
interim receiver because it failed to give specifics such
as the timetable for the period of negotiations with the
potential investors.

In its request, Hottick said it needed more time to work
out a rehabilitation plan for NSC since the issue on
valuation, working partners and environment and current
state of the plant and machinery and their restarting costs
are still being discussed with prospective partners.
Monico Jacob, who headed NSC's receivership committee, was
appointed as liquidator for NSC.

The labor union also assailed the SEC for issuing the
liquidation order without first consulting NSC's major
stockholders and employees.  Pending the payment of their
claims, the labor union asked that NSC's plant be operated
by any interested investor to prevent the further
deterioration of the steel firm's facilities and enable
workers to earn for their daily sustenance and other basic
needs.  (Manila Times  23-Oct-2000)

PHIL.PHOSPHATE FERTILIZER CORP.: Could lose Vietnam market
----------------------------------------------------------
Philippine Phosphate Fertilizer Corp.'s (Philphos)
profitability and privatization plans are in danger as
Vietnam, its biggest export market, is preparing to put up
its own phosphate fertilizer plant.

A highly-placed government official who requested anonymity
said Vietnam would no longer require imports from the
Philippines once it begins operating its own phosphate
facility.  The source said the loss of the Vietnamese
market might discourage potential bidders for Philphos
privatization.

The bidding for Philphos is on Oct. 25. To keep the new
investors interested, the government is considering
expanding the firm's export market to other areas.
The Asset Privatization Trust (APT) said that during the
company's pre-bidding conference last week, three bidders
showed up-the group of businessman Jose "Pepito" Alvarez,
Nissho Iwai of Japan, and the Philippine Associated
Smelting and Refining Corp. Holdings Inc.

Philphos exports 70 percent of its output with Vietnam
buying 40 percent of the volume or about 400,000 metric
tons. Its existing plant and modern production facilities
sit on a 180-hectare property at the Leyte Industrial
Development Estate in Isabel, Leyte. The company supplies
about 70 percent of the domestic demand.

In 1999, Vietnam's fertilizer imports were restricted since
its government was protecting the interest of Japanese
investors who at the time, were putting up the country's
own phosphate fertilizer firm.  APT, however said,
Philphos' most decisive advantage was its capability to
produce one million tons of nitrogen-phosphate-potassium
(NPK) fertilizer a year.

This is the most widely used grade of agricultural
fertilizer in the country.  Philphos' other markets include
China, Thailand and Indonesia. Studies are being conducted
to expand its market base.  (Manila Times  21-Oct-2000)


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

CITY DEVELOPMENTS: Refinancing $700M of debt
--------------------------------------------
City Developments (CityDev) is refinancing $700 million of
its debt through a US$450 million (S$786.8 million) loan
and a $250 million bond issue.  According to sources in
Hongkong, both the loan and bond issue will have a maturity
of five years.  CityDev has contracted with HSBC, DBS Bank
and NordLB to arrange the transaction, which will refinance
a facility taken out by the group for the construction of
Republic Plaza.


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

BANGKOK METROPOLITAN BANK: Posts Q3 net loss
--------------------------------------------
For the three-month period ended September 30, Bangkok
Metropolitan Bank Plc recorded a Bt727.730 million net
loss. By comparison, the bank posted a Bt622.708 million
loss for the same period the year prior. Loss per share was
0.19 baht compared with 0.16 baht a share the prior period.
For the nine months ended September 30, the bank posted a
net loss of Bt2.953 billion, compared to a Bt3.083 billion
net loss for the same nine months a year prior. Loss per
share for this latest nine months was 0.75 baht per share,
versus 0.79 baht for the same nine months the year prior.

DBS THAI DANU BANK: Posts Q3 loss
---------------------------------
DBS Thai Danu Bank PCL posted a loss of 12.09 billion baht
(US$27.6 million) for the third quarter ended September,
chiefly as a result of a 11.414 billion baht loss after the
sale of most of the bank's nonperforming loans during the
quarter.

The third-quarter loss brought the bank's total loss over
the nine months since January to 12.49 billion baht,
compared with 11.31 billion baht a year earlier. Also, the
bank, which is majority owned by Singapore-based DBS
HOLDINGS Ltd. said that during the third quarter it set
aside a further 400 million baht as loan loss provisions.

By doing so, the bank has complied, three months ahead of
its December deadline, with the Thai central bank's
requirement of 100 % provisioning. At the end of Sepember,
the bank's capital adequacy ratio amounted to 13.9 percent,
compared with 26.1 percent in June, the bank said. A large
part of the 13.5 billion baht of fresh capital raised in
the second quarter was used to offset the bad loans sale.

However, the bank's operating profit in the nine-month
period amounted to 92.2 million baht, from a 1.16 million
baht operating loss a year earlier.  The bank's
nonperforming loans stood at 5.35 billion baht or 7.5
percent of the total lending at the end of September, up
from 32.83 billion baht or 33.91 percent in August.

In July, the bank said that in a single auction it had
dispensed with 30.6 billion baht of its nonperforming loan
burden at a discount of 71 percent. That sale became
effective in September.  The sale represented some 77
percent of the bank's nonperforming portfolio, and was the
first such move by a Thai commercial bank to clean the
balance sheet since the financial crisis.

"I believe that after we have gotten rid of the
(nonperforming loan) problem, we should be able to post a
profit in both operating and bottom line results in the
fourth quarter of this year," bank President Pornsanong
Tuchinda told reporters at a news conference. (Asian Wall
Street Journal  20-Oct-2000)

THAI FUJI: Central bank charges former executive
------------------------------------------------
The Bank of Thailand has filed criminal charges against
Somsak Pongsawasdi, a former executive of the defunct
finance firm Thai Fuji, accusing him of causing damage
worth 102.5 million baht to the company.

The charges announced yesterday are the second case filed
against Thai Fuji, following an earlier case filed in March
1998 which is currently under review by the court. Bandid
Nijathaworn, a central bank spokesman, said the case
involved aval or guarantees accepted by Thai Fuji for
another company without a proper review by the firm's
credit committee.

Collateral pledged against the loans was in the form of
shares insufficient to cover the loans, with the borrowing
party having registered capital of just 10,000 baht.
Rathakorn Nimwatana, assistant central bank governor, said
Mr Somsak was charged with violations of the Finance,
Securities and Credit Foncier Business Act. Mr Somsak was a
director and deputy managing director of Thai Fuji Finance
and Securities from 1988.

Thai Fuji was one of 16 finance companies seized by
regulators in mid-1997. The company was ordered closed and
liquidated by the Financial Sector Restructuring Authority
in December 1997. The central bank has filed charges
against dozens of former bankers and financiers over the
past several years.  Mr Rathakorn said the central bank
would continue examining actions taken by executives, and
would press charges if sufficient evidence of wrongdoing
was found.

"I believe there will continue to be cases against
executives of financial institutions, although perhaps not
as many as in the past," he said.

Pol Col Vichai Ratanayos, a superintendent at the Economic
Crime Investigation Division, said that his office had not
yet received formal notice of the case. He said that in
such cases, if investigators examining the evidence found
cause to proceed, the accused party would be summoned to
give testimony.  For a case involving 100 million baht in
damages, bail was generally set at around five million
baht, he said. (Bangkok Post  21-Oct-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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