/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/010607.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 Thursday, June 7, 2001, Vol. 4, No. 111 Headlines A U S T R A L I A ALPHA HEALTHCARE: Ramsay Changes Substantial Holding ALPHA HEALTHCARE: Ramsay Offers S-Holders Takeover Update CENTAUR MINING: Quantum Posts Notice Re ASIC, Corp. Law HARRIS SCARFE: Five Buyers Lodge Bids HIH INSURANCE: Creditors Sign Secrecy Pact HIH INSURANCE: Meets Creditor Representatives PMP LIMITED: Soft Print Market Prompts Profit Revision WAIVCOM WORLDWIDE: Creditors Approve To Execute DCA C H I N A & H O N G K O N G PRESTIGE CLASS: Winding Up Petition Slated For Hearing PRICERITE GROUP: Seeks Extension Of Debt Waiver SINOGOLD DYNASTY: Faces Winding Up Petition SUNMIT CONSULTANTS: Winding Up Petition Slated For Hearing TOP CONCEPT: Hearing of Winding Up Petition Set VIVON ENTERPRISES: Winding Up Petition Set For Hearing WIN LEE: Winding Up Petition To Be Heard I N D O N E S I A PANCA OVERSEAS: SC Rebuffs IFC Appeal POLYSINDO EKA: Posts A Net Loss Of Rp4.82 Trillion J A P A N CHIYODA: Expecting Contract For Bontang LNG Project CRAYFISH COMPANY: Breaks Ties With Synconix HAZAMA CORP: Issuance Of Y8.2-B New Shares Scheduled K O R E A DAEWOO INT'L: Repays W71.12-B In Domestic Loans DAEWOO MOTOR: Creditors To Provide W241.6-B In Loans DAEWOO MOTOR: Unionists Protest KMWF Block Of GM Takeover DONG AH: Delisted Slated For Today HYNIX SEMICON: Splitting From Hyundai Group HYUNDAI MERCHANT: Gets Help From KDB To Issue Bonds NAMKWANG ENGINEERING: Hana To Cut Interest Rate To 5% SSANGYONG CEMENT: Seoul Guarantee To Acquire Bonds M A L A Y S I A ACTACORP HOLDINGS: Submits Debt Workout Scheme ASSOCIATED KAOLIN: Finalizing Proposed Workout Plan AUTOWAYS CONSTRUCTION: Winding Up Petition Served BRIDGECON HOLDINGS: Appoints Special Administrators CHASE PERDANA: Deadline Set For Revised Workout Draft S&P FOOD: Seeks S-Holders' Approval Of Proposed Workout UH DOVE: Proposed Plan Under SC Review P H I L I P P I N E S NATIONAL BANK: Gov't Decision On Sale Pending NATIONAL POWER: Projects Losses Of P20.588-B In H2 PILIPNO TELEPHONE: Sanctions From SEC Panel Pending T H A I L A N D MEDIA OF MEDIAS: Reorganization Plan Submitted POWER-P PUBLIC: Submits Workout Plan To The Court THAI-GERMAN PRODUCT: Reports Results Of Share Offering THAI-GERMAN PRODUCTS: Delayed Submission Clarified THAI PETROCHEM: Dr Thongchat Appointed As President THAI TELEPHONE: To Sign Bt44-B Workout Deal - - - - - - - - ================= A U S T R A L I A ================= ALPHA HEALTHCARE: Ramsay Changes Substantial Holding ---------------------------------------------------- Ramsay Centauri Pty Limited increased its relevant interest in Alpha Healthcare Limited on 5 June 2001, from 28,120,170 ordinary shares (62.3 percent) to 29,435,693 ordinary shares (65.25 percent). ALPHA HEALTHCARE: Ramsay Offers S-Holders Takeover Update --------------------------------------------------------- Ramsay Health Care (RHC) Chairman P Ramsay writes the following letter to Alpha Healthcare Limited shareholders, thus: "As you are aware, Ramsay Health Care Limited has made an offer for your Alpha Healthcare Limited shares at $0.40 cash per Alpha share. "As you consider the offer, we wanted to ensure you were aware of some recent significant developments: "* Ramsay's offer has been recommended by the Alpha Board of Directors. "* Ramsay is now entitled to over 60 percent of Alpha's shares. "* All of Alpha's major shareholders have now accepted the offer. "* Directors of Alpha have said there are substantial risks for Alpha shareholders in not accepting Ramsay's Offer, including the possibility that the liquidity of the market for Alpha's shares may be adversely impacted by the level of Ramsay's ownership in Alpha at the close of the offer. "* Ramsay's offer is unconditional. "* Ramsay has appointed three directors to the Alpha board following the resignation of Alpha Directors Mark Compton (Managing Director), Barrie Martin (Chairman), Patrick Elliott and Graham Wright. "Ramsay believes that the fact that no other public offer has emerged for Alpha clearly demonstrates that Ramsay's offer represents an attractive opportunity for you as an Alpha shareholder. "This offer is scheduled to close on June 8. You will receive cash for your Alpha shares five business days after we receive your acceptance. "We encourage shareholders to accept as soon as possible in accordance with the procedures set out in Ramsay's Bidder's Statement. "If you have any questions about how to accept the offer or require a new acceptance form please call Computershare on (02) 8234 5222." CENTAUR MINING: Quantum Posts Notice Re ASIC, Corp. Law ------------------------------------------------------- Quantum Resources Limited (Quantum) has been advised by the Australian Securities and Investments Commission (ASIC) that the option over 22,888,415 voting shares in Astro Mining NL taken by Quantum on 14 March 2001 from Centaur Mining & Exploration Limited may have resulted in an inadvertent breach of section 606 of the Corporations Law. This possible inadvertent breach would arise not in respect of Quantum's percentage relevant interest holding in Astro but in respect of a third party's deemed holding of relevant interests. As a result of this possible and unforeseen consequence, Quantum has agreed with ASIC (but without any admission of liability) that: (i) Quantum will not exercise the option prior to 4 September 2001; (ii) Quantum will dispose of the option to non-associated third parties as soon as possible and in any event not later than 31 August 2001; and (iii) Prior to any such disposal, ASIC will be advised of the party or parties to whom the option will be disposed. On the basis of these agreements, ASIC has advised Quantum that it does not propose to take any enforcement action in relation to Quantum's possible contravention of section 606 of the Corporation Law. HARRIS SCARFE: Five Buyers Lodge Bids ------------------------------------- At least five prospective buyers have lodged their bids and proposals to buy the 35 stores of Harris Scarfe all over Australia, The Advertiser reported Tuesday. However, details of the ongoing negotiations have not been divulged yet. The five bidders are the Trescowthick family, which holds 46 percent stake in Harris Scarfe, a consortium led by Toorak Holdings Limited, Coles Myer, the oil firm Shell, and the Victorian discount chain Dimmey's Stores Limited which has offered to acquire the retail chain for around $130 million, the report said. These bidders surfaced as the strongest contenders in the bidding proceedings from a list of 65 bidders, the report said. According to the report, the ANZ Bank-appointed receivers- managers Ferrier Hodgson are expecting to finalize the sale before the end of the fiscal year by the end of this month. ANZ Bank is a major creditor bank, to which Harris Scarfe owes a sum of $67 million when the retail chain went into voluntary administration in late March. The $130-million sale price, the report said, will be used to pay off Harris Scarfe's debt of $100m million owed to ANZ, while around $4 million will be directed to receivership fees and the remaining amount to unsecured trade creditors. HIH INSURANCE: Creditors Sign Secrecy Pact ------------------------------------------ Creditors of collapsed HIH Insurance signed a secrecy pact to attend the special meeting in Sydney Tuesday with provisional liquidator Tony McGrath, The Courier Mail reported Tuesday. McGrath was expected to provide details of the failed insurer's debts and options and schemes of arrangement for both domestic and foreign creditors, the report said. Meanwhile, the report revealed that the American insurance watchdog, with support from HIH's US creditors, has been conducting an inquiry into the insurer's American operation, with concerns of recovering $36 million allegedly withdrawn from the American unit. HIH INSURANCE: Meets Creditor Representatives --------------------------------------------- HIH Insurance Limited, through its provisional liquidator Tony McGrath of KPMG, met Tuesday with representatives of key creditors of the company, The Asian Wall Street Journal reports. According to McGrath, the meeting was aimed at "establishing consultative groups to represent the interests of unsecured creditors of the insurance businesses." "There are currently many thousands of individual unsecured creditors, in several countries around the world," McGrath was quoted by The Journal as saying. In the same meeting, McGrath was able to establish consultative groups representing foreign creditors of the failed insurer. Representatives from UK, Hong Kong and the US are scheduled to meet initially every four to six weeks. It was also reported that creditors of HIH Insurance, with liabilities of up to A$4 billion, might have to wait 10 years before they could receive their claims, which would likely be reduced to 50 cents on the dollar. PMP LIMITED: Soft Print Market Prompts Profit Revision ------------------------------------------------------ PMP Limited reported Tuesday that poor fourth quarter trading conditions in its print and pre-press operations had severely impacted the company's performance requiring a revision to the full year profit forecast. The company anticipates full-year profit to be in a range between $20 million to $25 million, before taking into account any write-downs associated with the publishing rights and titles, the expected profit on the sale of the UK publishing assets and other abnormal items. Key underlying factors include: * A sudden slump in retail marketing activity during the fourth quarter resulted in a fall in print volumes. The changing mix of work has meant 'spot' work has had to be obtained at lower prices in order to maintain volumes. * A weaker print market and the use of aggressive pricing strategies across the industry have significantly eroded margins. * Falling demand has inhibited the company's ability to pass on the full impact of increases in the cost of coated paper, which became effective in February this year. This has placed further pressure on margins. * The continuation of extremely soft market conditions into May is expected to remain unchanged for June. Print volumes in May and June combined are forecast to fall by 32 percent compared to the same period in the previous financial year. The softness in the print advertising market has also negatively impacted the profitability of PMP's digital graphic arts division, Show Ads. For PMP, the print market first began to soften during late March and early April. In response, the company has been pursuing initiatives to mitigate the impact of this downturn. At the time of PMP's last public announcement to the market on 17 May 2001, neither the extent, nor the rapid rate of decline in print earnings, was apparent. A detailed review of the April accounts and forecasts for the remainder of the 2001 financial year resulted in the profit downgrade. Forecast scheduled work for the print division for Q1 2002 is down 7 percent on the same period last year. However, an increase in the number of contestable customers following the collapse of Diamond Press is expected to boost the performance of the print division during Q1 2002 and beyond. The Australian publishing operations have experienced an improved second half, with cost savings from first half restructuring initiatives becoming evident. Further information: Glen Thomas, PMP Limited (02) 9464 3563 WAIVCOM WORLDWIDE: Creditors Approve To Execute DCA --------------------------------------------------- Waivcom Worldwide Limited's Administrator N Brooke announced that the following resolution was passed by creditors at the adjourned meeting of the above company held at 3pm on 4 June 2001: "The company to execute a deed of company arrangement (DCA) in terms specified in the statement accompanying the notice of meeting and as varied by the matters considered by this meeting of creditors." For queries, one may contact the administrator or Leonie Barnard of the administrator's office at telephone number 8603 3997. ================================ C H I N A & H O N G K O N G ================================ PRESTIGE CLASS: Winding Up Petition Slated For Hearing ------------------------------------------------------ The petition to wind up Prestige Class Development Limited is scheduled for hearing before the High Court of Hong Kong on June 13, 2001 at 9:30 am. The petition was filed with the court on April 20, 2001 by Cheung Yung Kan of Room 1219, Block 13, Lower Ngau Tau Kok Estate, Kowloon, Hong Kong PRICERITE GROUP: Seeks Extension Of Debt Waiver ----------------------------------------------- The public float of Pricerite Group Limited has been below 25 percent since the close of the Offers on 3 May 2001. The Wavier granted by the Stock Exchange to the Company from strict compliance with Rule 8.08 of the Listing Rules for a period of one month from 3 May 2001 was expired on 2 June 2001. The Company and Celestial Asia Securities Holdings Limited (CASH) have approached potential placing agents to discuss the placement of new Shares and/or existing Shares but more time and further negotiation in relation to the placement is necessary. Currently, the public float of the Company remains below 25 percent, and only approximately 20.36 percent of the Shares were held by the public as at the date of this announcement. An application has been made to the Stock Exchange for further extension of the Waiver for another month to 2 July 2001. The Company and CASH will continue the discussion with the potential placing agents to conclude terms and arrangement of the said placement in order to reinstate the minimum public float of the Company. The Stock Exchange has stated that it will closely monitor trading in Shares held by the public. If the Stock Exchange believes that a false market develops or may develop in the Shares, it will consider exercising its discretion to suspend trading in the Shares. Investors are advised to take caution in dealing in the Shares. Reference was made to the joint announcement made by CASH and the Company on 2 May 2001. It was stated in the joint announcement (inter alia) that upon close of the Offers, the public float of the Company would be below the 25 percent minimum public float requirement as only approximately 20.36 percent would be held by the public. Extension Of Debt Waiver Upon the application made by the Company, the Stock Exchange granted the Waiver to the Company from strict compliance with Rule 8.08 of the Listing Rules in respect of the 25 percent minimum public float requirement for a period of one month from the close of the Offers on 3 May 2001. Since then, the Company and CASH have taken various steps with a view to reinstating the minimum public float of the Company. The Company and CASH have approached potential placing agents to discuss the placement of new Shares and/or existing Shares but due to the circumstances, in particular the thin trading volume of the Shares in the past month, more time and further negotiation is necessary for the Company, CASH and the potential placing agents to arrive at the most appropriate arrangement. The current public float of the Company is approximately 20.36 percent. The Company has made another application to the Stock Exchange for further extension of the Waiver for one month to 2 July 2001 to comply with Rule 8.08 of the Listing Rules. The Company and CASH will continue the discussion with the potential placing agents to conclude terms and arrangement of the placement of the new Shares and/or existing Shares in order to reinstate the minimum public float of the Company. The Stock Exchange has stated that it will closely monitor trading in Shares held by the public. If the Stock Exchange believes that a false market develops or may develop in the Shares, it will consider exercising its discretion to suspend trading in the Shares. Investors are advised to take caution in dealing in the Shares. SINOGOLD DYNASTY: Faces Winding Up Petition ------------------------------------------- The petition to wind up Sinogold Dynasty Limited is scheduled for hearing before the High Court of Hong Kong on June 13, 2001 at 9:30 am. The petition was filed with the court on April 17, 2001 by Sin Hua Bank Limited whose principal place of business in Hong Kong is situated at 2A Des Voeux Road Central, Hong Kong. SUNMIT CONSULTANTS: Winding Up Petition Slated For Hearing ---------------------------------------------------------- The petition to wind up Sunmit Consultants Limited is set for hearing before the High Court of Hong Kong on June 20, 2001 at 9:30 am. The petition was filed with the court on April 23, 2001 by Lee Kui Yuen of Room 718, Tsui Tin House, Upper Pak Tin Estate, Kowloon, Hong Kong. TOP CONCEPT: Hearing of Winding Up Petition Set ----------------------------------------------- The petition to wind up Top Concept (H.K.) Limited will be heard before the High Court of Hong Kong on 13 June 2001 at 9:30 am. The petition was filed with the court on 20 April 2001 by Kincheng Banking Corporatiaon which is having a branch office and carrying on business at Kincheng Bank Building, 55 Des Voeux Road Central, Hong Kong. VIVON ENTERPRISES: Winding Up Petition Set For Hearing ------------------------------------------------------ The petition to wind up Vivon Enterprises Limited is scheduled for hearing before the High Court of Hong Kong on June 20, 2001 at 9:30 am. The petition was filed with the court on April 26, 2001 by Wong Yan Yee, Zoe of Room 405, Pok On House, Pok Hong Estate, Shatin, New Territories, Hong Kong. WIN LEE: Winding Up Petition To Be Heard ---------------------------------------- The petition to wind up Win Lee Fancy World Company Limited is scheduled to be heard before the High Court of Hong Kong on June 20, 2001 at 9:30 am. The petition was filed with the court on April 25, 2001 by Lam Sing Chau of Flat 3607, Chung Chak House, Tin Chung Court, Tin Shui Wai, Yuen Long, New Territories, Hong Kong. ================= I N D O N E S I A ================= PANCA OVERSEAS: SC Rebuffs IFC Appeal ------------------------------------- The Supreme Court (SC) has rejected an appeal raised by the International Finance Corporation asking the court to undertake a judicial review on a commercial court's decision to approve the debt restructuring plan of PT Panca Overseas Finance, AFX- Asia reported Tuesday. According to Judge Taufik, the chief judge handling the case, the Supreme Court cited that IFC's appeal came later than the deadline set under the bankruptcy law. The court, the report said, has no jurisdiction to prove IFC's allegations that creditor Harvest Hero International is fabricated or not. POLYSINDO EKA: Posts A Net Loss Of Rp4.82 Trillion -------------------------------------------------- PT Polysindo Eka Persada posted in 2000 a net loss of Rp4.82 trillion, the biggest incurred by an issuer, up from Rp2.11 trillion recorded in the preceding year, Bisnis Indonesia reported Tuesday. The huge loss was attributable to the company's foreign exchange losses rising to Rp3.68 trillion from Rp331.29 billion in 1999. This, apart from an interest costs amounting to Rp1.25 trillion. Moreover, the company's sales climbed 40 percent to Rp3.3 trillion from Rp2.35 trillion in 1999. Operating loss, however, slipped 20 percent to Rp700 billion from the previous year's recorded Rp873 billion. At the end of the period, the company posted a negative equity of Rp8.43 trillion, as its liabilities rose to Rp18.48 trillion, the report said. ========= J A P A N ========= CHIYODA: Expecting Contract For Bontang LNG Project --------------------------------------------------- Engineering firm Chiyoda Corporation, and its affiliate PT Chiyoda International Indonesia, are expecting to bag the Font- End Engineering Design contract to construct the ninth liquefied natural gas (LNG) processing plant, Train-I, at the Bontang terminal in East Kalimantan, Indonesia, The Asian Wall Street Journal reported Tuesday. The company has had high hopes since it received a letter of intent from Indonesia's Pertamina, asking the company to draw up a plan for the LNG expansion project, the newspaper reported. The project is expected to boost Pertamina's LNG production from the Bontang terminal by around 3 million tons a year, and up to 24.59 million tons a year by the half of 2004, the newspaper said. CRAYFISH COMPANY: Breaks Ties With Synconix ------------------------------------------- Crayfish Company has ended its alliance with hardware and software Synconix Technologies Incorporated, Japan Times reported yesterday. The deal between the two firms signed on April 26 assigned Crayfish as the distributor of Synconix products, the report said. Moreover, it was provided in the deal that the tie-up between both firms would be terminated should Hikari Tsushin, which holds half of Crayfish's ownership, take control over Crayfish. Crayfish told Times: "We weren't able to take enough time to discuss and make arrangements with the Synconix Technologies side due to negotiations . . . with our major shareholder (Hikari Tsushin)." Crayfish and Hikari Tsushin are engaged in a squabble over appointments, as a result of Crayfish's refusal to yield to the demand of Hikari Tsushin to replace majority of the directors with officials from the latter firm, the report said. HAZAMA CORP: Issuance Of Y8.2-B New Shares Scheduled ---------------------------------------------------- Hazama Corporation has scheduled to issue new company shares worth Y8.2 billion on June 27, Japan Times reported yesterday. These shares will be issued to 194 entities, including individuals, which are in one way or another have involvement in the troubled builder. Among those companies that are expected to buy the shares are Deai-Ichi Kangyo Bank, Mitsubishi Trust & Banking Corporation, and Asahi Mutual Life Insurance Company, Times said. Generated revenues, the report continued, from the shares issuance will be used to bolster the company's operating fund by as much as 50 percent, while apart of it will be allocated to pay off debts. ========= K O R E A ========= DAEWOO INT'L: Repays W71.12-B In Domestic Loans ----------------------------------------------- Daewoo International Corporation repaid Monday a total of W71.12 billion in loans acquired from domestic creditor banks, The Asian Wall Street Journal reported Tuesday. The former trading unit of Daewoo Corporation, the report said, is currently working out its plan to pay off debts totaling W131.63 billion. However, the repayment will only be made once it has finalized the legal proceedings that will allow it to assume the debts it incurred before it was spun off from Daewoo Corporation. Moreover, according to a company spokesman, the company's debt- to-equity ration, when the next debt repayment happens, will likely drop to 667 percent from 739 percent by the end of April next year, the report said. DAEWOO MOTOR: Creditors To Provide W241.6-B In Loans ---------------------------------------------------- Creditors of ailing automaker Daewoo Motor Company have agreed to grant the company with W241.6 billion in loans this month, The Asian Wall Street Journal reported Tuesday. According to the report, this is part of the creditors' pledge of new loans amounting to W727.9 billion for the year's first half to help the company prop itself up to normalcy. However, Daewoo spokesman Yoon Jae-min added that the creditors wouldn't disburse further loans after this month. Meanwhile, final negotiations between creditors of the automaker and General Motors for the latter company's takeover have officially started reportedly in Hong Kong, the newspaper said. DAEWOO MOTOR: Unionists Protest KMWF Block Of GM Takeover --------------------------------------------------------- Approximately 350 Daewoo Motor workers under the company's Normalization Acceleration Committee trooped in front of the Korean Metal Workers' Federation (KMWF) headquarters Tuesday, protesting against the federation's moves to block the sale of the automaking company to General Motors, The Digital Chosun reported yesterday. The protesters also calling on KMWF to withdraw its demand for the nationalization of Daewoo Motor. The protesting group also feared that the dispatch of KMWF's delegates to the GM headquarters in the United States could hurt the negotiations between both carmakers, which may result in the final closure of the Bupyeong plant, the report said. DONG AH: Delisted Slated For Today ---------------------------------- Cash-strapped construction giant Dong Ah Construction Industrial Company will be delisted today as scheduled, The Asian Wall Street Journal reported, citing a disclosure of the Korea Stock Exchange (KSE). According to the KSE disclosure, investors had 15 trading days to dispose of their shares in the company until Tuesday before the scheduled delisting, the newspaper said. Previously, Dong Ah was declared bankrupt by the Seoul Bankruptcy Court, which then ordered the company's liquidation. HYNIX SEMICON: Splitting From Hyundai Group ------------------------------------------- Hynix Semiconductor is expecting to gain its independence from the Hyundai Group later in the year, after it applied for separation from the group Monday at the Fair Trade Commission (FTC), The Korea Herald reported yesterday. HYUNDAI MERCHANT: Gets Help From KDB To Issue Bonds --------------------------------------------------- The Korea Development Bank (KDB) is going to assist Hyundai Merchant Marine (HMM) in its planned issuance of new corporate bonds this year, through the acquisition for HMM its corporate bonds worth W100 billion, The Digital Chosun reported yesterday. According to the Chosun report, HMM will use the revenues from the bond issuance to reduce its debts owed to primary and secondary financial institutions, including Cho Hung Bank, Hanvit Bank, Daehan Investment Trust, and Kyobo Securities. The HMM bonds will be issued at 10.72 percent interest per annum with a put option to be exercised 18 months after the issuance date. NAMKWANG ENGINEERING: Hana To Cut Interest Rate To 5% ----------------------------------------------------- Hana Bank, at the cooperative debt institution meeting in May, has agreed to cut the interest rate given to the debts of Namkwang Engineering and Construction Company Limited to 5 percent from 11 percent, The Korea Herald reports. Once the agreement is finalized by the month's end, the construction firm's debt ratio will drop to 600 percent from 3,200 percent, which is expected to signify the end of its workout exercise. SSANGYONG CEMENT: Seoul Guarantee To Acquire Bonds -------------------------------------------------- Seoul Guarantee Insurance Company has agreed to purchase Ssangyong Cement Company's convertible bonds worth W250 billion, The Asian Wall Street Journal reports, citing a Ssangyong spokesman. The five-year bonds will bear a 2 percent coupon rate when they reach maturity. This planned bonds purchase of the country's state-owned debt guarantor will end the cement maker's debt-to-equity swap proceedings, under the company's debt rescheduling. A total of W1.7 trillion in debts will be converted into bonds. Earlier, major creditor Chohung Bank has bought Ssangyong Cement convertible bonds worth W400 billion, the newspaper said. =============== M A L A Y S I A =============== ACTACORP HOLDINGS: Submits Debt Workout Scheme ---------------------------------------------- Actacorp Holdings Berhad has submitted the company's Proposed Corporate and Financial Restructuring Scheme to the Corporate Debt Restructuring Committee, Bank Negara Malaysia (CDRC) and have appointed Messrs Perdana Merchant Bankers Berhad as the company's Adviser for the scheme. The company is currently in communication with CDRC on the date for the Banks and Financial Institution Creditors meeting. Profile The Actacorp Group is a one-stop construction concern. Construction and engineering activities are undertaken by flagship companies Teknik Cekap, V-Pile Sistem and Noble Concepts. Teknik Cekap is a Class "A" Contractor approved to undertake government projects with no limit in size and value. The Group started out as manufacturers and distributors of agricultural chemicals and organic fertilizers. In 1991, activities were enhanced through diversification into engineering and construction. Participation in property development followed in 1994. The Group is currently in an advanced stage of negotiation of a restructuring exercise under the purview of the CDRC. The proposed restructuring exercise is intended to revitalize the Group's financial position. ASSOCIATED KAOLIN: Finalizing Proposed Workout Plan --------------------------------------------------- Associated Kaolin Industries Berhad announces that the Special Administrators (SA) are working together with their advisers to prepare the submission documents to Securities Commission for their approval. The submission documents incorporate Associated Kaolin Industries Berhad's corporate and debt restructuring proposal. Further details of the Proposed Workout will be announced in due course. Background The company is undergoing a restructuring exercise to address its current financial problems and Special Administrators (SA) have been appointed to oversee the development of the restructuring. Commencing from their appointment on 3 May 2000, a 12-month moratorium has been placed on the Company to enable the SA to prepare a work out proposal. On 18 December 2000, pending finalization and approval of the workout proposal, the SA entered into a MOU with Greatpac Sdn Bhd and Success Profile Sdn Bhd, towards a capital reconstruction and share exchange exercise, debt restructuring and transfer of listing status to a newly incorporated company. Meanwhile, the company continues to produce and sell refined kaolin processed at its factory in Tapah, Perak. Current production capacity is 92,000 m/t. Besides being sold locally, AKIMA refined kaolin is exported to China, Singapore, Thailand, Philippines, Vietnam, Myanmar, Taiwan, Japan, South Korea, Hong Kong, Bangladesh, Sri Lanka, Pakistan, Mauritius, Kenya and New Zealand. AUTOWAYS CONSTRUCTION: Winding Up Petition Served ------------------------------------------------- The Management of publicly listed Autoways Holdings Berhad announces that Autoways Construction Sdn Bhd (ACSB), a wholly owned subsidiary of the Company was served a winding up petition. The details are as follows: (a) Showa Factoring (Malaysia) Sdn Bhd (SFSB) served a winding up petition on ACSB on the 24 May 2001. The said petition was presented on 20 April 2001 to the High Court Kuala Lumpur. (b) The amount of claim under the said petition is RM2,984,000 together with interest at the rate of 8 percent per annum on the said sum from 1 August 1997 until the final settlement. (c) The details of the circumstances leading to the filing of the petition are as follows: (i) Tenaga Jalgas Sdn Bhd (TJSB) was one of ACSB's sub- contractors for a project. (ii) TJSB entered into a Factoring Agreement with SFSB whereby TJSB's invoices to ACSB were factored. (iii) A sum of RM2,984,000 due to be paid to SFSB was not paid and SFSB commenced proceedings vide Kuala Lumpur High Court suit no. D2-22-984-97. (iv) SFSB obtained judgement on 25 March 1998. (v) SFSB subsequently consented to the Company's Scheme of Arrangement and Compromise Repayment under Section 176 of the Companies Act, 1965. (d) ACSB has a paid-up capital of RM11,500,004. The shareholders' fund is RM225,641,375 in deficit as at 31 December 2000. (e) There is no financial and operational impact of the winding up proceedings. (f) There is no further financial loss to the Company as a provision for an adequate sum has been made in the Company's accounts as at 31 December 2000. (g) The Management of the Company and ACSB, on the advices of solicitors, intends to oppose the petition on grounds inter alia that the notice and petition are defective. BRIDGECON HOLDINGS: Appoints Special Administrators --------------------------------------------------- Tan Kim Leong, JP and Siew Kah Toong were appointed as Special Administrators (SA) of Bridgecon Engineering Sdn Bhd and Lean Seng Chan (Quarry) Sdn Bhd (the Companies) on 24 May 2001 following their earlier appointment as the SA of Bridgecon Holdings Berhad (BHB). After a detailed review and evaluation, it was established that the assets of the Companies should be preserved and protected for the purpose of preparing a composite workout proposal for BHB. The appointment of SA to the Companies will facilitate a more meaningful debt and corporate restructuring scheme that will benefit the creditors and shareholders of BHB and the Companies Terms of Reference of the SA The terms of reference of the SA are generally set out in Sections 28 to 56 of the Act. The specific powers of the SA are set out in Second Schedule of the Act, and inter-alia includes the following: - Power to do all things (including the carrying out of works) as may be necessary for the management and realization of the assets and affairs of the Companies. - Power to remove or suspend from office any director of the Companies or appoint other persons to act as directors of the Companies notwithstanding the Memorandum and Articles of Association of the Companies or any other law. - Power to appoint any person as a director of the Companies, whether to fill a vacancy or otherwise. - Power to take possession of, collect and get in the assets of the Companies and for that purpose, to take such proceedings as may seem to him expedient. - Power to sell or otherwise dispose of the assets of the Companies by public auction or private contract. - Power to raise or borrow money and grant security thereof over the assets of the Companies. - Power to appoint a solicitor or accountant or other professionally qualified person to assist the SA in the performance of SA's functions. - Power to bring or defend any action or other legal proceedings in the name and on behalf of the Companies. - Power to refer to arbitration any question affecting the Companies. - Power to effect and maintain insurances in respect of the assets of the Companies. - Power to use the common seal of the Companies. - Power to do all acts and to execute in the name and on behalf of the Companies any deed, receipt or other document. - Power to draw, accept, make and endorse any bill of exchange or promissory note in the name and on behalf of the Companies. - Power to appoint any agent to do any business which is unable to do by the SA or which can more conveniently be done by an agent and power to employ and dismiss employees. - Power to carry on the business of the Companies. - Power to transfer to subsidiaries of the Companies the whole or any part of the assets of the Companies. - Power to grant or, accept a surrender of a lease or tenancy of the assets of the Companies, and to take a lease or tenancy of any asset required or convenient for the assets of the Companies. - Power to call up any uncalled capital of the Companies. - Power to rank and claim in the bankruptcy, insolvency or liquidation of any person indebted to the Companies and to receive dividends, and to accede to trust deeds for the creditors of any such person. - Power to present or defend a petition for the winding up of the Companies. - Power to change the location of the Companies' registered office. - Power to perform any function and exercise any power that the Companies or any of its directors or officers could perform or exercise if the SA had not been appointed. - Power to make any payment, which is necessary or incidental to the performance of SA's functions. - Power to do all other things incidental to the exercise of the foregoing powers. Financial and Operational Impact on BHB's group of companies (Group) upon the Appointment of the SA The appointment of the SA to the Companies will not have any immediate financial impact on BHB Group. The SAs have assumed control of all operations of the Companies and have since the date of appointment taken control and possession of the Companies' assets and records. Effects on the Business Operations The business operations of the BHB shall continue while an assessment of the Companies' financial position is being conducted by the SA. Steps Taken or Proposed to be Taken in Respect of the Appointment of Special Administrators The SA have taken control and possession of the Companies' assets and records and following the outcome of the assessment of the Companies' financial position, the SA shall prepare workout proposals which must be examined by Independent Adviser, whose role is to review the reasonableness of the proposals, taking into consideration the interests of all creditors (whether secured or unsecured) and also the shareholders of the Companies. Role of Board of Directors The powers of the Board of Directors of the Companies are effectively suspended on the date of the appointment of SA on 24 May 2001. Pursuant to Section 33 of the Act, the SA shall be entitled to exercise all the functions of the Board of Directors of the Companies. CHASE PERDANA: Deadline Set For Revised Workout Draft ----------------------------------------------------- Chase Perdana Berhad met on the 11 May 2001 and 22 May 2001 with all lenders with regard to the Debt Restructuring Exercise. It was envisaged that a revised draft of Debt Restructuring and Corporate Exercise will be presented to the lenders by 11 July 2001. Additional disclosures will be announced in due course. Background The company (CPB) commenced operations as Tan Chew Piau Building Contractor, a civil engineering and building construction firm set up in 1970. In 1976, CPB was incorporated in Malaysia as Chew Piau Construction. During its 20 years in operation, the Company has completed projects for the public and private sectors both in Malaysia and overseas ranging from luxurious 5-star hotels and condominiums to high-rise offices, mosques and other special purpose buildings. The Company is a registered Class "A" Pusakabumi contractor and is therefore able to tender for public and quasi-government sector projects with no limitation on project size and contract sum. CPB is also experienced in restoration, renovation and upgrading work. In 1994 and 1995 the Company expanded its business activities to include the property, plantation and finance sectors. In order to reflect the change in its activities, in June 1995 the Company, changed its name to Chase Perdana Bhd. In 1996, the Group acquired equity interests in the travel and food businesses. Subsequently, the Group entered into a JVA with a Zimbabwean company, Kama Construction (Pte) Ltd, to jointly undertake construction and development projects in Harare, Zimbabwe. The Group has also established business relationships in Zimbabwe, Uzbekistan, India, Holland, Bahrain and the UK. The company's office is at Suite 8.3, 8th Floor Wisma Chase Perdana Off Jalan Semantan Damansara Heights 50490 Kuala Lumpur, with tel. no. 03-4627151 and fax 03-2541073. S&P FOOD: Seeks S-Holders' Approval Of Proposed Workout ------------------------------------------------------- S&P Food Industries (Malaysia) Berhad's Proposals, including the proposed reduction, proposed scheme of arrangement, proposed debt restructuring, proposed claim settlement, proposed acquisition of new businesses, proposed acquisition of oil palm estate, proposed capitalization of debts, and proposed disposal of existing business, had received approvals from the Foreign Investment Committee, the Ministry of International Trade and Industry, and the Securities Commission (SC). On 8 May 2001, on behalf of SPF, Commerce International Merchant Bankers Berhad announced that SPF wishes to abort the Proposed Rights Issue in view of weak market conditions. In the same announcement, it was also announced that SPF proposes to include a Proposed Shareholders' Advance as part of the Proposals. The abovementioned revisions had been submitted to the SC on 11 May 2001 and are currently pending SC's approval. The Proposals are still subject to the following approvals: (i) shareholders of SPF at an Extraordinary General Meeting and Court Convened Meeting to be convened; (ii) sanction of the High Court of Malaya for the Proposed Capital Reduction and Proposed Scheme of Arrangement; and (iii) KLSE for the listing of and quotation for the new Cepatwawasan Group Berhad (CGB) ordinary shares arising from the Proposed Scheme of Arrangement, Proposed Acquisition of New Businesses, Proposed Acquisition of Oil Palm Estate, Proposed Capitalization of Debts and upon the conversion of the irredeemable convertible unsecured loan stocks, and the proposed transfer of the listing status of SPF to CGB. Profile The Company (SPFI) on 16 August 2000 proposed to undertake a capital reduction and scheme of arrangement involving incorporation of a new investment holding company (Newco), where the existing shareholders of SPFI will have their respective consolidated SPFI shares cancelled and exchanged with Newco shares. Upon completion of the proposed scheme, SPFI proposes to undertake a rights issue and a debt restructuring that will provide settlement of the Group's financial obligations by cash repayment and the issuance of ICULS in Newco, and the settlement of a claim by a stockbroking company also by an issuance of ICULS in Newco. In addition, SPFI proposes to acquire equity interests of 15 companies involved in operation of oil palm and cocoa plantations and timber extraction, provision of equipment hiring services, timber log trading, and provision of plantation management services. SPFI also proposes to acquire two oil palm estates. Following this, Newco will dispose of the existing business of SPFI via the disposal of SPFI and its existing subsidiaries to Simfoni Melangit Sdn Bhd. An application will be made to delist SPFI from the Second Board of KLSE upon completion of the proposed scheme and to subsequently list Newco on the Main Board of KLSE. Upon completion of the restructuring exercise, the Company's core business is expected to be changed to "Plantation". SPFI had been involved in the manufacture, and trading of coconut cream powder locally known as "Instant Santan" with the technical back-up and research support of the Malaysian Research and Development Institute (MARDI) in early 1983, and started commercial production in May 1985. UH DOVE: Proposed Plan Under SC Review -------------------------------------- Reference is made to the announcement made by Malaysian International Merchant Bankers Berhad (MIMB) on 1 December 2000 on behalf of UH Dove Holdings Berhad (the Company) in respect of the Proposed Rescue cum Debt Restructuring Scheme (Proposals) of the Company. As announced on 1 March 2001, the UH Dove Holdings Berhad has submitted a plan to regularize its financial condition to the Securities Commission (SC), the Foreign Investment Committee (FIC) and the Ministry of International Trade and Industry on 28 February 2001. The Board of Directors of the Company wishes to inform the Exchange that the FIC in its letter dated 26 April 2001 to the SC had stated that it has no objection to the Proposals subject to the condition that the Bumiputera equity of the Company be increased to at least 30 percent before 30 June 2002. It also stated that the Proposals to acquire land in Muar, Johor from Miramas Realty Sdn Bhd and Multiple Launch Sdn Bhd be re- submitted separately to FIC after the completion of the restructuring and payment of debt of the Company. The SC is currently in the process of reviewing the Proposals. Pursuant to Paragraph 5.1(c) of the Practice Note 4/2001, the Company shall endeavor to obtain all approvals necessary for the implementation of the plan within four months from the date of submission, i.e. by 27 June 2001. Background The Group's listing exercise transformed UH Dove into an investment holding company with subsidiaries principally involved in the manufacturing and marketing of hardware products and building materials. The Group's manufacturing company, UH Industries Sdn Bhd (UHI), commenced operations in 1977. The Group's total annual turnover is RM20 million. About 80 percent of the UH Dove Group's products is sold locally while the remaining 20 percent is exported to Singapore, Sri Lanka, Africa and Brunei. Current production capacity/production output is 700,000 sets of louvre windows, 6,000 m/t of GI wires, 1,000 m/t of PVC-coated wires and 3,000 m/t of nails. Operations are located in Malacca, Federal Territory, Johor, Terengganu, Kelantan, Pahang, Perak and Kedah. At present, the Group is in the middle of proposing a restructuring exercise which may include a proposed rights issue, a restructuring of its bank borrowings via the issue of ordinary shares and a proposed acquisition of certain assets from a property developer of mixed development projects. UH Dove Holdings' headquarters is located at the 6th Floor 3 Changkat Raja Chulan 50200 Kuala Lumpur, with tel. no. 03- 2380266. ===================== P H I L I P P I N E S ===================== NATIONAL BANK: Gov't Decision On Sale Pending --------------------------------------------- The government Tuesday failed to finalize the terms of its proposed `reverse privatization' of the Philippine National Bank (PNB), Business World reported yesterday, citing PNB Chairman and Philippine Deposit Insurance Corporation President Norberto Nazareno. According to Finance Secretary Alberto Romulo, the government is awaiting the completion of the due diligence report on the beleaguered bank, that's why it could not decide yet on the debt-to-equity deal with PNB majority shareholder Lucio Tan, World said. "The due diligence report will come soon and the issue of the conversion price, among others, is still being discussed," Secretary Romulo was quoted by World as saying, adding that the government, which currently owns 16 percent stake in the said bank, should not gain control over PNB but only acquire more shares in PNB. NATIONAL POWER: Projects Losses Of P20.588-B In H2 -------------------------------------------------- National Power Corporation (Napocor) expects to post additional losses of up to P20.588 billion in the second half of this year brought about by the passage of the controversial Power Reform Bill, The Philippine Star reported yesterday, citing Napocor President Jesus Alcordo. According to Alcordo, this is due to the bill's provision to cut power rates by P0.30 per kilowatt-hour (KwH), which in turn will reduce Napocor's monthly revenues by as much as P3.723 billion, or P20.588 billion in a half-year's period, the newspaper said. This rate cut, the newspaper added, comprises around 5 percent of the present residential power rates, and will be made through a rebate from Napocor to its distributors. The distributors, in a domino effect, will then enact their rate reduction for their residential utility consumers. However, with the bill's passage, the Department of Energy (DoE), together with Napocor, can start searching for buyers for the state-owned utility firm's assets, especially its power generation units. The sale is expected to earn for the government a total of P460 billion, which will be used to repay debts worth $6.7 billion, the newspaper said. PILIPNO TELEPHONE: Sanctions From SEC Panel Pending --------------------------------------------------- Pilipino Telephone Corporation (Piltel), including accounting firm SGV & Company, is going to face sanctions which the panel created by the Securities and Exchange Commission has recommended for providing misleading and dubious financial statements, The Philippine Daily Inquirer reported Tuesday. The sanctions will be imposed on Piltel once the second review on the company's case is released. Piltel was charged with the case "for stating untrue statements of material facts in its statement of management responsibility". It was learned in January 1999 that Piltel incurred debts of over P30 billion, which was disclosed under liabilities in the company's periodic financial reports. However, the company failed to explain to SEC how these liabilities would have impact on the company's business and cashflow. It was also learned that Piltel did not announce that it had defaulted payments on interest and principal, the report said. Meanwhile, Piltel reported that in May the company was able to finalize its debt workout deals with various creditors, involving debts amounting to as much as P40 billion, the report said. =============== T H A I L A N D =============== MEDIA OF MEDIAS: Reorganization Plan Submitted ---------------------------------------------- Pursuant to the acceptance of the company's petition by the Bankruptcy Court on December 1, 2000, Media of Medias (Public) Company Limited, through its Planner Yuwadee Boonrong, announced that the company has already completed the Business Reorganization Plan and submitted the plan to the official in charge of bankruptcy and reorganization on June 4, 2001. A meeting for the examination of the reorganization plan by creditors is scheduled on July 9, 2001 about 9.30 am at the Bankruptcy Court. POWER-P PUBLIC: Submits Workout Plan To The Court ------------------------------------------------- In reference the company's previous reports on progress of its efforts to provide information regarding its financial situation of the company, Power-P Public Company Limited announces that, with the consent of a main financial institutional creditor, the company has submitted the application for Financial Restructuring plan to the Central Court of Solvency on 1 June 2001 under Court Case No. Black F. 453/2544 requesting the Court's approval for our Financial Restructuring process by appointing Power-P Planner Company Ltd. to proceed with the said Restructuring Plan for which the Central Court of Solvency has set 9.00 A.M. of 2nd July, 2001 as the date for bearing. THAI-GERMAN PRODUCT: Reports Results Of Share Offering ------------------------------------------------------ Veerachai Leelaprachakul, authorized director of PLV and Associates Company Limited, as Business Reorganization Plan Administrator of Thai-German product Public Company Limited, reports the following results of the a share offering of the company, thus: 1. Information relating to the share offering Class of shares offered: Common share Number of shares offered: 130,000,000 shares Offered to: Convertible Debenture Holders who convert their debentures into ordinary shares Price per share: Exercise of the right to convert Convertible Debenture 2. Results of the share sale Partly sold, with 128,987,931 shares remaining. 3. Details of the sale Thai Investors Foreign Investors Juristic Natural Juristic Natural Total Persons Persons Persons Persons No.of persons 4 - - - 2 No. of shares subscribed 1,012,069 - - - 1,012,069 Percentage of total shares 0.78 percent - - - 0.78 percent offered for sale 4. Amount of money received from the share sale There is no receiving under the conversion of the convertible debenture. The Company hereby certifies that the information contained in this report form is true and complete in all respects. THAI-GERMAN PRODUCTS: Delayed Submission Clarified -------------------------------------------------- The Thai-German Products Public Company Limited issued and offered the Thai-German Products Public Company Limited Convertible Debentures No.1 due 2012 at the offer price not exceeding Bt1,300,000,000 and there were 2 holders of the Debentures who exercised their rights to convert the Debentures into ordinary shares. The Company completed the registration for change of the paid-up capital with the Ministry of Commerce on April 24, 2001. Nevertheless, the Company has not yet submitted the Application for Listing of Additional Ordinary Shares from the Conversion of Debentures and the Report for the Conversion of the Debenture with the Stock Exchange of Thailand (SET). The Company would like to inform you that the Company is in the process of internal reorganization. This event has caused problems with the internal documentation, which prevent the Company from timely submission of the Report for the Conversion of the Debenture and the Application for Listing of Additional Ordinary Shares from the Conversion of Debentures. The Company would like to apologize for the delay on this occasion. In this regard, the Company would like to submit the Report for the Conversion of the Debenture and the Application for Listing of Ordinary Shares Issued for Capital Increase as per the details prescribed in the Enclosures. THAI PETROCHEM: Dr Thongchat Appointed As President --------------------------------------------------- Thai Petrochemical Industry Public (TPI) Plan Administrator Effective Planners Limited, on behalf of the company, announced that Dr. Thongchat Hongladaromp, former President of Thai Telephone and Telecommunication Plc, has been appointed to become TPI's president, effective June 18, 2001 This management change is intended to facilitate the implementation of the rehabilitation plan for TPI. THAI TELEPHONE: To Sign Bt44-B Workout Deal ------------------------------------------- Thai Telephone and Telecommunications (TT&T) has scheduled a June 22 debt restructuring deal worth Bt44 billion, as a means to attract strategic partners into the firm, AFX-Asia reported Monday, citing TT&T President Pisit Lee-artham. TT&T is currently burdened with debts amounting to Bt44.36 billion. After the signing, a representative will be appointed to seek and negotiate a strategic partnership. A partnership, under the debt workout deal, is scheduled for completion within a 30-month period following the signing of the agreement. S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter -- Asia Pacific is a daily newsletter co-published by Bankruptcy Creditors' Service, Inc., Trenton, NJ USA, and Beard Group, Inc., Washington, DC USA. Lyndsey Resnick, Ronald Villavelez, Maria Vyrna Ni�eza, Editors. Copyright 2000. All rights reserved. ISSN: 1520-9482. 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