TCRAP_Public/011011.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, October 11, 2001, Vol. 4, No. 199

                         Headlines



A U S T R A L I A

ANACONDA NICKEL: Project Gets Full Govt Environmental Approval
ANSETT AUSTRALIA: Gary Toomey Leaves Air New Zealand
ANSETT AUSTRALIA: Updates ANZ's Reorganization
AUSTRALIAN HEALTHCARE: Major Asset Sale Approved At Meeting
CABLE & WIRELESS:  Posts `Win Through' Cost Measures
COLES MYER: Appoints Akopiantz As Director
FORESTECH LIMITED: Posts Creditors Meeting Results
SME GROWTH: Appoints Non-Executive Director


C H I N A   &   H O N G  K O N G

LEGEND HOLDINGS: Call Warrants' Last Day Of Dealings Friday
PRICERITE GROUP: Proposes Increase In Authorized Share Capital
SHEEN GEOTECHNICS: Winding Up Sought By HK Engineering


I N D O N E S I A

BAKRIE & BROTHERS: Stake Increase Hinges On Debt Restructuring
BANK CENTRAL: BI Wants To Freeze Salim Group's Stakes
SEMEN GRESIK: Gets Credit Facility Of Rp700B From Bank Mandiri


J A P A N

DAIEI INC: To Sell Men's Suits In 250 Outlets
TOKYO SHOGIN: Extended Loans Repayment Deadline
MYCAL CORP: Claims More Than 50 Potential Acquirors Interested


K O R E A

DAEWOO ELECTRONICS: Creditors Plan To Accept Takeover Bids
DONG AH: Starts Closure Via Fixed Assets Sale
HANVIT BANK: Sells W373.1B NPLs For W292.2B
HYNIX SEMICONDUCTOR: Cripples Creditor Banks
HYUNDAI MERCHANT: Creditors Fight Hyundai Group Chair's Moves
HYUNDAI MOTOR: U.S. Car Plant Opening Planned
KOREA LIFE: Catches Ten Investors' Interest
KOREA TELECOM: To Issue W160B 3-Yr Bonds


M A L A Y S I A

ANGKASA MARKETING: Receives Disclosure Of Interest Notice
HARTANAH LINTASAN: RAM Reaffirms BBB1(s) Rating
LION CORPORATION: Unit Gets Disclosure Of Interest Notice
LION GROUP: Updates Proposed Corporate, Debt Restructuring
MAY PLASTICS: Posts Defaulted Payment Status
MYCOM BERHAD: No Change Noted On Defaulted Payment Status
PENAS CORPORATION: Memorandum Of Understanding Extended
PLANTATION & DEVT.: LOFSA Approves Debt Instrument Issuance
RENONG BERHAD: Appoints New Director
TANAH EMAS: Enters Trust Deed With PB Trustee Services
TRANSWATER CORP.: Seeks Requisite Announcement Time Extension


P H I L I P P I N E S

BAYANTEL: Advisor Presents Debt Restructuring Proposal
NATIONAL POWER: PSALM to Proceed With $400M Bond Float
RFM CORP: LTCP Rating Improves To PRS Baa, Says PhilRatings
UNIWIDE HODINGS: Asks SEC To OK Units' Assets Sale


S I N G A P O R E

CAPITALAND: Plans Over $500 Million IPO Next Month
I-ONE.NET: Receives SIC Ruling; Announces Book Closure Date
KEPPEL CORP: Transfers 61% Stake In KHZ To Keppel FELS


T H A I L A N D

ALPHA PROCESSING: Petition For Business Reorganization Filed
AMARIN PLAZA: Announces Unit's Reduction Of Capital
CENTRAL PAPER: Informs Exercise Of Warrant Results
ITALIAN-THAI: Posts Passenger Tender Construction Results
LOXLEY PUBLIC: Director Naulkhair Resigns

     -  -  -  -  -  -  -  -

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A U S T R A L I A
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ANACONDA NICKEL: Project Gets Full Govt Environmental Approval
--------------------------------------------------------------
The Hon Dr Judy Edwards MLA, Western Australia's Minister for
the Environment and Heritage, has approved the environmental
impact assessment of Anaconda Nickel's 100% owned Mt Margaret
Nickel Cobalt Project. In addition, Senator Robert Hill,
Commonwealth Minister for the Environment, has now fully
endorsed the WA State process, and set no additional conditions
upon the Project in the Commonwealth's approval of the
environmental impact assessment.

These approvals follow an exhaustive and detailed Public
Environmental Review process and together with the Feasibility
Study when completed, will be a key component of project
financing.

The approvals cover large-scale open cut mining operations, and
the production and processing of an intermediate nickel product
to 60,000tpa of fully refined nickel metal 33% greater than
Murrin Martin's design capacity. The approvals allow for the
refinery to be substantially expanded, if required, to
accommodate other mixed sulphide feed.

The Project is located between Leonora and Leinster in the North
East Goldfields of WA some 120 km to the west-northwest of
Anaconda's Murrin Murrin Operation.

Optimization of the Study for the Mt Margaret Nickel Cobalt
Project is proceeding and is a vital part of the Strategic
Review now under way. Mining and Infrastructure tenure has been
secured for all major components of the project.

For further information, contact:

A Forrest
CHIEF EXECUTIVE
Anaconda Nickel Limited
Tel: + 61 8 9212 8400


ANSETT AUSTRALIA: Gary Toomey Leaves Air New Zealand
----------------------------------------------------
Air New Zealand's President and Chief Executive Gary Toomey will
leave his position with the airline.

His departure from the company was announced Tuesday in a joint
statement by Toomey and the Acting Chairman of Air New Zealand,
Dr Jim Farmer.

"It is a sad moment for us, but we agree the circumstances in
which the company finds itself are quite different from the
Australasian airline group that attracted Mr Toomey to join us
at the beginning of the year", said Dr Farmer.

"He has encountered a set of problems that were not of his
making and has worked relentlessly to find answers to them. We
have no criticism to make of him - or the management team he led
- for what has happened and wish him well wherever he goes now,"
he said.

Although Gary was never a director of either Ansett Holdings or
Air New Zealand, he has personally borne the brunt of Australian
anger arising out of the Ansett closure and he deserves every
sympathy and consideration for that fact," Dr Farmer continued.

"The terms of a settlement which has been agreed under the
agreement are confidential as between Gary and the company," Dr
Farmer said, "but they are consistent with his contractual
entitlements and benefits."

"I believe that the Board's decision to place Ansett in
voluntary administration means that the future Air New Zealand
must set its sights on different goals from the ones that drew
me to the Company, Toomey said. "I think it is appropriate for
me to move aside, take a break with my family, and consider some
of the options open to me."

"I deeply appreciate the literally hundreds of cards and
messages I have received from staff and supporters during the
difficult times that the Group has gone through over the year. I
also wish to thank the management team for their work in
responding to the problems the company has experienced. On
behalf of myself, my wife Denise and our daughter Brooke, I wish
the company every success in its new form,"
Toomey said.

Dr Farmer announced that Roger France, a newly appointed
director of Air New Zealand, would act as an Executive Director
of the company until a new Chief Executive is identified and
appointed.

France is an Auckland chartered accountant, who recently retired
as a senior partner in PricewaterhouseCoopers. He was formerly
the managing partner in the Auckland office of Coopers &
Lybrand, a predecessor firm to PricewaterhouseCoopers.


ANSETT AUSTRALIA: Updates ANZ's Reorganization
----------------------------------------------
Ansett Australia's parent Air New Zealand (ANZ) has briefed its
senior managers and staff on its programme to reorganize the
airline following its separation from Ansett and the decisions
on recapitalization.

The immediate need is to bring the organization back to the same
or smaller size that it was prior to the integration with Ansett
and into line with the reduced flight schedules that Air New
Zealand will be operating as ANZ goes forward.

ANZ must also be trimmed to cope with the impact of growing
competition and the reduced international travel demand that has
followed the terrorist attacks in the United States.

As already announced, this amounts to lowering the employee
costs by the equivalent of 800 full-time employees. This can be
done through a combination of steps - such as not replacing
employees who leave, reducing the amount of overtime worked,
reducing working hours to guaranteed minimum levels, employees
taking accumulated leave, and by redundancies.

ANZ's managers will now enter into discussions with unions
and employees on how this cost reduction will be achieved.

MANAGEMENT STRUCTURE

Change will start at the top. ANZ needs a new management
structure that is simple and economical to operate. The proposed
new structure will be developed on functional lines, and will
involve a smaller number of larger units - reduced from 11 to 7.

The major units reporting initially to the Executive Director
and, later, to the Chief Executive will be:

SALES, MARKETING & DISTRIBUTION: incorporating NZ sales,
international sales, marketing, and alliances - supported by
finance, human resources and information technology

CUSTOMER SERVICES: incorporating cabin crew, NZ & international
airport services, airport support, call centers and customer
service standards & support - supported by finance, information
technology and human resources

OPERATIONS & TECHNICAL: incorporating the former Operations,
pilot and ANZES functions

VENTURES: Cargo, New Zealand Regional Airlines, Freedom Air, and
NZ Ski, supported by its own finance services.

FINANCE: incorporating all Group finance functions and revenue
management

STRATEGY & PLANNING: incorporating strategic planning, fleet
strategy, network strategy, business performance enhancement,
government affairs, ANZ  secretariat and legal counsel,
property, procurement and group IT

HUMAN RESOURCES, ORGANIZATION CHANGE & COMMUNICATIONS:
incorporating group human resources and group communications

CHANGE MANAGEMENT

The final structure will be signed off separately by a specially
formed Board Sub-Committee.

It is intended to have the new management structure in place
within a period of 12 weeks.


AUSTRALIAN HEALTHCARE: Major Asset Sale Approved At Meeting
-----------------------------------------------------------
The sale of the major asset of Australian Healthcare Investment
Fund (AHF), the hospital property in Bowral, New South Wales,
was approved by unitholders at a meeting held Wednesday.

The sale is still conditional upon the approval of the sale by
the head-lessor, the South Western Sydney Area Health Service.


CABLE & WIRELESS: Posts `Win Through' Cost Measures
---------------------------------------------------
Cable & Wireless Optus Limited (Optus) announced Wednesday the
first stage of a restructure that will result in cost savings of
$75-$100 million by the end of the next full financial year.

Chris Anderson, Chief Executive of Optus, said that the
restructure was the result of 'Operation Win Through' launched
earlier this year.

"In August we announced that Optus needed to realign its cost
base as well as reduce capital expenditure and other outgoings,"
Anderson said.

"The first phase of the review is now complete and
implementation began Wednesday.

"As part of the restructure, reporting lines within each of the
business units have been simplified, and duplication of tasks
has been removed. There will be an overhaul of the way
Information Technology systems are handled.

"Unfortunately, realigning our cost base has meant that there
will also be redundancies. Redundancies will come from across
all parts of the business, to be announced in two phases, the
first Wednesday affecting 250 permanent staff and up to 100
contractors.

Anderson said the 'Operation Win Through' initiative, announced
in August, would help balance softening revenue.

"As we predicted earlier this year, the economic slowdown has
affected our rate of growth. While Optus has continued to
outperform industry growth, the global downward trend in the
telecommunications sector and tightening economic conditions see
revenue and EBITDA slowing.

"The second quarter of 2001/2002 has shown it will be difficult
for us to achieve the full year double-digit growth in EBITDA
and revenue we have consistently delivered in recent years.

"We are now anticipating growth rates in EBITDA and revenue at
the high single-digit level - still double the industry average.
And we will continue to take market share.

Anderson said Optus would gain some benefits of 'Operation Win
Through' in the current financial year, but the majority will be
achieved in 2002/2003.

There will also be associated costs this year, including
redundancy payments. Affected staff will be offered redeployment
or re-employment assistance and counseling.

Anderson said Optus's first half performance would be weaker
than the second due to some one-off costs and seasonality
factors as previously disclosed.

"We announced at our annual results in May that there would be a
slowing in our growth and in the market overall.

"After the OneTel collapse on 26 June we said that we would
suffer a significant impact to our bottom line. At that time we
also indicated that markets were tightening.

"When Optus announced 'Operation Win Through' on 17 August, we
said we had been affected by further tightening trading. We said
then that the higher levels of depreciation, amortization and
interest, the OneTel collapse and other items would result in a
reduction of approximately $100 million in after tax profit in
the first half.

"Now with the continuing contracting of the market, profit after
tax for the full year will be significantly down on last year's
full-year result.

"As a result of the 'Win Through' actions, we anticipate Optus
will emerge as a stronger competitor in the Australian
marketplace. We will continue to outperform the industry and
take market share from the incumbent as we have in the past,"
Anderson said.


COLES MYER: Appoints Akopiantz As Director
------------------------------------------
The Coles Myer Ltd (CML) Board announced Wednesday the
appointment of Patty Akopiantz as a Director.

Akopiantz has more than 15 years' retail related experience in
both senior operational and strategic roles across a broad range
of retail sectors. She was a senior consultant with McKinsey
specializing in Retail and Consumer Goods. Following that
appointment she was General Manager Marketing for David Jones in
1998 and 1999. Akopiantz is Managing Director of her own
consulting business, Venice Partners. Prior to moving to
Australia she worked in her family's apparel business in the
United States.

Akopiantz holds a Master of Business Administration from Harvard
Business School and a Bachelor of Arts degree in Political
Science from Wellesley College in Massachusetts.

Akopiantz has a breadth of experience in the apparel and retail
industries both as a direct participant and as a consultant and
will bring a different perspective to the CML Board.

The appointment of Patty Akopiantz follows an executive search
carried out by Egon Zehnder International - further biographical
details are attached.

Wallis also announced that Ian Johnston will resign from the
Board, effective 11 October 2001. Johnston joined the Board on 1
February 2001 following completion of a successful executive
career in the confectionery, beverage and global branded
consumer goods industries. Most recently he held the position of
Managing Director Global Confectionery and was a main Board
Director of Cadbury Schweppes plc based in London.

At the time of joining the CML Board, Johnston's intention was
to relocate to Australia and pursue a career as a non-executive
director. However, he has recently accepted a Chief Executive
position with a private Saudi Arabian company with international
interests. This makes it difficult to continue with his CML
Board commitments.

Wallis said: "The CML Board has, with regret accepted Ian
Johnston's resignation and thanks him for his important
contribution to the Company over the past year.

For further information: Stan Wallis, Chairman 03 9829 6669


FORESTECH LIMITED: Posts Creditors Meeting Results
--------------------------------------------------
The Directors of Forestech Limited advised that at a meeting
of creditors held Monday, these resolution were unanimously
approved:

"That clause 2.4 of the Deed of Company Arrangement be amended
by changing the date from 30 September 2001 to 8 April 2002."

This amendment has the effect of extending, until 8 April 2002,
the period available to complete the reconstruction proposed
under Clause 2 of the Deed of Company Arrangement.

The proposed reconstruction will now be submitted to
shareholders for consideration and approval. Notice of a meeting
planned for November 2001 will be issued as soon as approved by
the regulatory authorities.

The Directors also wish to advise that the intended development
of a spotted gum plantation in joint venture with DPI - Forestry
on leasehold property at Hivesville has been suspended because
the Company has been unable to secure freehold title to the
property.

This project relied on securing freehold title. Title was due to
be transferred to the company under an agreement to sell its
leasehold interests in the property. Under that agreement, the
purchaser was required to purchase the property and then
transfer portion to Forestech.

The purchaser failed to settle the purchase of the property and
transfer portion to Forestech, and also failed to maintain lease
rental payments due under the lease. The owner of the property
consequently acted to terminate both the contract of sale and
the lease.

The purchaser is therefore in default of the agreement with
Forestech. Whilst negotiations continue for now to seek a
resolution without resorting to litigation, appropriate notices
to protect Forestech's interests have been served on the
purchaser and its guarantors, and will be pursued if necessary.
The Company's legal advisors have advised the directors that the
Company's position is secure, having regard to the remedies
available to it at law.

These developments do not change the Directors intentions to
position the Company to resume its clonal propagation and
plantation activities once shareholders approve the proposed
reconstruction.


SME GROWTH: Appoints Non-Executive Director
-------------------------------------------
The directors of SME Growth Limited (SGO) have announced that
Richard Haddock has been appointed a non-executive director of
the company. Haddock was previously Deputy General Manager of
BNP Paribas.

The directors of the company have a continuing concern about the
share price, discount to asset backing and low liquidity in SME
Growth shares. Major shareholders have retained advisors to aid
them with respect to their position as the major shareholder of
the company.

For further information please contact Peter Wallace, Managing
Director, SME Growth Limited (02) 9223-6958


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C H I N A   &   H O N G  K O N G
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LEGEND HOLDINGS: Call Warrants' Last Day Of Dealings Friday
-----------------------------------------------------------
Legend Holdings Limited advised market participants to note that
dealings in the 2001 European Style (Cash Settled) Call Warrants
relating to existing issued ordinary shares of HK$0.025 each of
Legend Holdings Limited, issued by Credit Suisse First Boston
(stock code: 2170), will cease after the close of business on
Friday, 12 October 2001. The Call Warrant listing will be
withdrawn after the close of business on Thursday, 18 October
2001.


PRICERITE GROUP: Proposes Increase In Authorized Share Capital
--------------------------------------------------------------
The Board announced that Pricerite Group Limited proposes to
raise a minimum of approximately $138 million (before expenses)
by issuing not less than 1,384,518,000 Rights Shares at the
Subscription Price of $0.10 by way the Rights Issue.  The
Company will provisionally allot 2 Rights Shares in nil-paid
form for every 1 Share held by the Qualifying Shareholders on
the Record Date.  Rights Shares will not be issued to the
Overseas Shareholders.

The Rights Issue is subject to the Conditions, which
particularly include (i) the approval by the Shareholders other
than the Controlling Shareholder and its associates in the SGM,
and (ii) the Underwriter not terminating the Underwriting
Agreement in accordance with the terms therein.

A circular containing details of the Rights Issue and a notice
of the SGM will be sent to the Shareholders on or before 15
October 2001.  In the event of the Rights Issue is approved in
the SGM, the Company will thereafter dispatch the Prospectus
Documents to the Qualifying Shareholders and, for information
only, the Prospectus to the Overseas Shareholders.  In the SGM,
the Controlling Shareholder and its associates will abstain from
voting for the Rights Issue.

The last day of dealings in Shares on a cum-rights basis will be
24 October 2001.  Shares will be dealt in on an ex-rights basis
from 26 October 2001.  To qualify for the Rights Issue, all
transfers of Shares must be lodged with the Branch Registrars
for registration by 4:00 pm on 29 October 2001.

The proceeds from the Rights Issue are intended to be used for
the development of the business in retailing of household and
furniture items in both Hong Kong and the PRC.

Trading in the Shares was suspended from 10:00 am on 8 October
2001 at the request of the Company pending the publication of
this announcement.  Application was made to the Stock Exchange
for resumption of trading in the Shares with effect from 10:00
am on 10 October 2001.


SHEEN GEOTECHNICS: Winding Up Sought By HK Engineering
------------------------------------------------------
HK Engineering Limited is seeking the winding up of Sheen
Geotechnics & Foundations Limited. The petition was filed on
September 20, 2001, and will be heard before the High Court of
Hong Kong on January 9, 2002 at 9:30 am.

HK Engineering holds it registered office at Ground Floor, No.
21 Yip Wo Street, On Lok Tsuen, Fanling, New Territories, Hong
Kong.


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I N D O N E S I A
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BAKRIE & BROTHERS: Stake Increase Hinges On Debt Restructuring
--------------------------------------------------------------
PT Bakrie & Brothers Tbk.'s (BNBR) plan to increase stake from
only 5% in PT Ekakarsa Yasakarya Indonesia (EYI) awaits the
completion of the company's US$1.086 million debt restructuring,
Bisnis Indonesia reports Wednesday citing BNBR President
Director Irwan Sjarkawi.

BNBR's US$1.086 billion debt restructuring is effective as of 28
November 2001 following the agreement to transfer PT Arutmin
Indonesia to EYI.

Irwan said while waiting for the debt restructuring process,
BNBR is also increasing the company's performance by empowering
business units in order to produce maximum results for BNBR.

"The company will also develop subsidiaries without putting more
investments, meaning that, the company will maximize the units'
capability to produce maximum results," Irwan said.

"With the effectiveness of the debt restructuring, BNBR would no
longer have debts owed to both local and foreign financial
institutions," he added.


BANK CENTRAL: BI Wants To Freeze Salim Group's Stakes
-----------------------------------------------------
Bank Indonesia said that it wants to revoke the Salim family's
7.19% ownership of PT Bank Central Asia Tbk., Bisnis Indonesia
reported yesterday.

"This falls in line with BI letter No. 27/118/Kep/Dir of 25
January 1995 [regarding] impropriety," BI deputy governor Achjar
Iljas said.

"But BI would only act on the letter by revoking Salim's
ownership once their problem with the government is settled," he
added.

Achjar said BI is waiting for the government's response to
Salim's refusal to do, as requested in the MSAA (master of
settlement and acquisition agreement).

"What is clear is that Salim can no longer have a stake in BCA
as it is improper for them to be so according to prevailing
rules," Achjar said.

Analyst Mirza Adityaswara said that BI's decision could have  a
positive effect on investors who wish to be strategic partners
in the divestment of 51% of BCA shares.

"Investors now question the remaining stake of the Salim family
in BCA, as they worry whether the Salims would come back and
control BCA. Although the Salims have only a 7% stake in BCA,
they could technically regain control through proxies," Mirza
said.

On 7 June 2001, BI sent a letter to Anthony Salim asking the
family to divest all its stake in BCA as according to PBI No.
2/27/ PBI/2000, their ownership that is slated to be divested
this year does not comply with prevailing rules.

"The Salims have refused to divest [their] stake in BCA, as
Anthony said that its BI liquidity assistance (BLBI) problem has
been resolved by way of the MSAA and as such the Salims' stake
in the bank is no longer a problem," Senior BI official Maulana
Ibrahim said.


SEMEN GRESIK: Gets Credit Facility Of Rp700B From Bank Mandiri
--------------------------------------------------------------
PT Semen Gresik received investment credit of Rp700 billion from
Bank Mandiri, as it guaranteed its assets, namely land,
buildings and machineries in Tuban III factory, IndoExchange
reported Tuesday citing Finance Director Satriyo.

"The acquirement of such a credit facility was part of decisions
made in the extraordinary shareholders meeting in June 2000. The
signing of credit agreement was done on October 3, 2001," he
said in its report to the Security and Exchange Commission.

The credit facility is an investment credit with a duration of 5
years and an interest rate of 19% per year. The loan will mature
at the end of the third quarter of 2006, including the tenure of
principal payment through third quarter of 2002.

"The loan repayment will be made once every quarter for four
years, starting on the third quarter of 2002," Satriyo added.

Semen Gresik has issued bonds worth Rp600 billion in July 17,
2001. The fund generated from bonds issuance will be used to
repay debts in form of Medium Term Notes (MTN) that will mature
in 2002.


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J A P A N
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DAIEI INC: To Sell Men's Suits In 250 Outlets
---------------------------------------------
Daiei Inc announced Tuesday it will start selling
Y9,000 men's suits at 250 outlets, with some 300,000 suits
expected to be sold in the current business year to February,
Japan Times reported on October 10.

Discounts, which will possibly start Thursday, will be offered
due to mass production in countries with relatively low labor
costs, such as China and North Korea.


TOKYO SHOGIN: Extended Loans Repayment Deadline
-----------------------------------------------
Tokyo Shogin, a Tokyo-based credit union, extended the repayment
deadline to December 2015 for loans worth about Y940 million,
two days before the union was declared bankrupt last December,
the Yomiuri Shimbun reported yesterday.

The loans, which were initially extended to two of its
affiliates and later to a group of companies that operates golf
courses, were made in return for the group's cooperation in
hiding bad loans incurred by Tokyo Shogin through the so-called
tobashi method of transferring such loans to other corporations.

Tokyo Shogin extended loans to the Aiwa Group, headed by Masuo
Taneda, 64, through the credit union's affiliated conduit firms
Toshin Property and Tokyo Supply. Documents showed that after
refinancing the loans on Dec. 15, the credit union changed the
debtor's name to the Aiwa Group real estate company.

Some loans, of which due dates were originally set from April to
October last year, were overdue, and others were due in January.

The Y940 million worth of loans was part of 10 billion yen in
loans to the group that were unsecured because the value of
assets held as collateral had fallen below that of the
outstanding loans.


MYCAL CORP: Claims More Than 50 Potential Acquirors Interested
--------------------------------------------------------------
Mycal Corp, with debts amounting to Y1.38 trillion ($11.5
billion), claimed Tuesday that more than 50 retail and financial
groups have shown interest in acquiring part of the company,
according to The deal.com on October 9.

The failed supermarket chain announced on October 4 the
appointment of Nikko Salomon Smith Barney Ltd to help prepare a
short list of possible buyers and a final selection could be
made by early November.

Wal-Mart Stores Inc., Ripplewood Holdings llc, GE Capital,
Cerberus Inc. and third-ranked Japanese retail chain Aeon Corp
were some of the interested acquirors.


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K O R E A
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DAEWOO ELECTRONICS: Creditors Plan To Accept Takeover Bids
----------------------------------------------------------
Daewoo Electronics creditors plan to receive takeover proposals
from potential buyers by the end of this week and select
preferred bidders within this month, the Korea Herald reported
Wednesday, quoting company president, Chang Ki-hyung. Chang
believes the contract price will not reach four trillion won.

"Creditors want to wrap up the entire sale process by the end of
this year. I don't know which companies have expressed
intentions to take over Daewoo Electronics, since the sale
process is lead-managed by KPMG," Chang said.


DONG AH: Starts Closure Via Fixed Assets Sale
---------------------------------------------
Dong Ah Construction Industrial has begun the formal process of
closing itself down, per court order earlier this year, by
selling off its fixed assets, with the disposal of the 14-story,
3,589 pyong floor space (1 pyong=3.3 sqm) headquarters of Korea
Express in downtown Seoul, which is valued at W13.2 billion,
Korea Times reported on October 5.

Dong Ah plans to start bidding at W200 billion, bringing it down
to W18 billion if the initial effort fails. Dong Ah was
estimated to have about W380 billion in fixed assets, including
research centers, commercial buildings and other general real
estate.

AN official said, "First on the auction block will be fixed
assets that require heavy maintenance or operation costs. After
the sale of the Korea Express headquarters, we will be putting
smaller properties in packages to fetch the highest possible
prices."


HANVIT BANK: Sells W373.1B NPLs For W292.2B
------------------------------------------
Hanvit Bank sold W573.1 billion in non-performing loans (NPL)
for W292.2 billion via an international auction. The NPLs were
comprised of W316.7 billion in general loans, W113.4 billion in
special loans and W143 billion in loans to companies placed
under debt workout programs, Korea Herald reported on October
10.

Deutsche Bank, and Lone Star of the United States were selected
as the successful bidders from eight foreign financial
institutions that offered bids for the NPLs, with Hanvit to
receive the payments around the end of next month.

Hanvit has eliminated W6.28 trillion in problem loans so far
this year and wants to eliminate an additional W1.4 trillion won
in problem loans by the end of this year.


HYNIX SEMICONDUCTOR: Cripples Creditor Banks
--------------------------------------------
Hynix Semiconductor has crippled operations of creditor banks
this year, with their total exposure of over US$6.63 billion.
The banks have been raising their loan-loss reserve against the
exposure, Digital Chosun reported October 9.

KorAm Bank, which has given W191.6 billion in loans to Hynix,
reportedly decided to increase its loss provision against the
firm to 80 percent of its total exposure by the end of this
year. KorAm, and the bank have piled up reserves so far this
year to 50 percent, or W95.8 billion of the total exposure, with
the bank to raise the provision by W57.5 billion to reach 80
percent by the end of the year.


HYUNDAI MERCHANT: Creditors Fight Hyundai Group Chair's Moves
-------------------------------------------------------------
Hyundai Merchant Marine (HMM) creditors reconfirmed Monday that
they would not allow Hyundai Group's involvement in the
management of the shipping company. The creditors are trying to
find out the reasons for Kim's resignation and his refusal to
communicate since, Korea Herald reported on October 9.

"We cannot accept the involvement in the company's affairs of a
person who is nothing more than a minority shareholder," a
creditor official said, referring to Hyundai Group chairman
Chung Mong-hun's dismissal of HMM President Kim Chung-shik.

The official added, "The management installed after Kim's
resignation is nothing more than a care-taker management,"
unlike Kim who was regarded as a CEO who tried to keep HMM
independent and implement self-help measures faithfully.


HYUNDAI MOTOR: U.S. Car Plant Opening Planned
---------------------------------------------
Hyundai Motor is studying a plan to set up an automobile
production plant in the United States in response to the U.S.'
mounting pressure to open Korea's import car market, Digital
Chosun reported on October 9, which quoted Hyundai Motor
president Kim Dong-jin.

Kim will discuss the plan with top U.S. political leaders he
plans to meet during his trip, but said the talks will not be in
depth, as feasibility studies alone will take several years.


KOREA LIFE: Catches Ten Investors' Interest
-------------------------------------------
Ten domestic and foreign investors are interested in buying
Korea Life Insurance Co, with the number of potential buyers
smaller than expected as overseas insurance companies are facing
surging liabilities after the recent U.S. tragedy, Korea Herald
reported September 10, which quoted the Korea Deposit Insurance
Corp (KDIC).

"But we are optimistic about the sale of Korea Life. There will
be no big change in the sale schedule," a KDIC official said.
KDIC accepted non-binding proposals from potential buyers until
yesterday, and offer a one-month period for due diligence on the
life insurer to some of the candidates proven to be qualified to
operate in the insurance industry.

Hanhwa Group was among the interested investors, but KDIC
contacted around 60 potential domestic and foreign buyers last
month inviting them to participate in the planned bidding.


KOREA TELECOM: To Issue W160B 3-Yr Bonds
----------------------------------------
Korea Telecom Corp said Tuesday it will issue W160 billion worth
of three-year corporate bonds in the domestic market on October
18, less than the planned W200 billion won in notes to sell,
Korea Times reported yesterday.

Proceeds will be used as working capital and to help repay
commercial paper maturing by year-end. Daewoo Securities will
lead manage the bond issue.

The yield was set at a 28-basis-point discount to the October 17
mark-to-market yield. This rate is fixed daily by the Korea
Security Dealers Association.


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


ANGKASA MARKETING: Receives Disclosure Of Interest Notice
---------------------------------------------------------
The Board of Directors of Angkasa Marketing Berhad (AMB)
announced that the Company had on 8 October 2001 received a
notice each from Tan Sri Cheng Heng Jem and Datuk Cheng Yong
Kim, the Directors of the Company (Notice), notifying the
Company that they are deemed interested in the amount owing by
the Company and Lion Rubber Industries Pte Ltd (Lion Rubber), a
subsidiary of the Company to Westdeutsche Landesbank
Girozentrale (WestLB).

Details of the WestLB Loans

Details of the WestLB Loans are set out below:

Borrower Principal Amount (USD)

AMB 13,077,997.68
Lion Rubber 8,755,088.59
Total 21,833,086.27

WestLB had granted a call option to Haber Pte Ltd (Haber) to
purchase the WestLB Loans from WestLB for a period of 2 years
from 28 September 2001.

Details of the Notice

Tan Sri Cheng Heng Jem and Datuk Cheng Yong Kim have in their
respective Notices informed the Company that they have an
interest in Haber.


HARTANAH LINTASAN: RAM Reaffirms BBB1(s) Rating
-----------------------------------------------
Rating Agency Malaysia Berhad (RAM) has reaffirmed the enhanced
rating of BBB1(s) for the RM2.956 billion Secured Redeemable
Zero Coupon Bonds (Hartanah Bonds) issued by Hartanah Lintasan
Kedua Sdn Bhd (Hartanah). Hartanah is a special-purpose vehicle
set up to assist Linkedua Sdn Bhd (Linkedua), the toll
concessionaire for the Linkedua expressways in Johor, to repay
all its commercial lenders via a debt-swap scheme with its
sister company, Projek Lebuhraya Utara-Selatan Berhad (PLUS).
PLUS, Hartanah and Linkedua are wholly-owned subsidiaries of
United Engineers (Malaysia) Berhad (UEM).

The enhanced rating essentially highlights the strength of the
various types of security provided for the Hartanah Bonds. The
Hartanah Bonds are secured against the redemption proceeds from
the RM3.822 billion Nominal Value Unsecured Zero Coupon Serial
Bonds (Linkbonds) issued by PLUS on a back-to-back basis with
the former. Thus, the restructuring exercise effectively shifts
the repayment obligation to PLUS.

As such, the enhanced rating is premised upon PLUS's ability to
meet the payment obligations for the Linkbonds, as well as the
income-generating capacity of all the other assets pledged to
the Hartanah Bonds. In the event the ratings assigned to PLUS
are re-assessed upon the finalization of any debt-restructuring
plan by the Government, the enhanced rating assigned to Hartanah
will also be re-assessed.


LION CORPORATION: Unit Gets Disclosure Of Interest Notice
---------------------------------------------------------
The Board of Directors of Lion Corporation Berhad (LCB)
announced that the Company received a notice each from Tan Sri
Cheng Heng Jem and Datuk Cheng Yong Kim, the Directors of the
Company (Notice) on 8 October 2001, notifying the Company that
they are deemed interested in the amount owing by Megasteel Sdn
Bhd (Megasteel), a subsidiary of the Company, to Westdeutsche
Landesbank Girozentrale (WestLB).

Details of the WestLB Loan

Borrower: Megasteel
Principal Amount (USD):  26,325,000.00

WestLB had granted a call option to Haber Pte Ltd (Haber) to
purchase the WestLB Loan from WestLB for a period of 2 years
from 28 September 2001.

Details of the Notice

Tan Sri Cheng Heng Jem and Datuk Cheng Yong Kim have in their
respective Notice informed the Company that they have an
interest in Haber.


LION GROUP: Updates On Proposed Corporate, Debt Restructuring
-------------------------------------------------------------
On 5 July 2000, Lion Corporation Berhad (LCB), Lion Land Berhad
(LLB), Amsteel Corporation Berhad (AMB) and Angkasa Marketing
Berhad (ACB) (collectively referred to as the "Lion Group")
announced details of a proposed group wide restructuring scheme
comprising debt restructuring, asset divestment and corporate
restructuring exercises (collectively referred to as the
"Initial GWRS Proposals") to rationalize the financial position
of the Lion Group.

However, subsequent to that announcement, it became apparent
that the slowing Malaysian economy faces the prospect of further
slow down, due to the stronger-than-expected deceleration of
growth in the economy of the United States of America, the
continuing weakness of the Japanese economy, and the
uncertainties facing the global financial markets.

The weaker domestic economy led to less favorable operating
conditions which have necessitated downward revisions under the
Initial GWRS Proposals of the projected cash flows of Megasteel
Sdn Bhd ("Megasteel"), Silverstone Bhd ("Silverstone") and Sabah
Forest Industries Sdn Bhd ("SFI") (collectively referred to as
the "Key Operating Companies") and lower projected realizable
divestment proceeds from the sale of non-core and peripheral
assets, both of which are key sources of cash flows to support
the proposed repayment of the Lion Group's debts under the
Initial GWRS Proposals. Further, the level of indebtedness of
the scheme companies whose debts are to be restructured as set
out in Table 1 ("Scheme Companies") at
http://www.bankrupt.com/misc/lion_group.htmlhas increased as a
result of interest accrued.

In view of the foregoing, revisions have been made to the
structure and terms of the various debt restructuring, asset
divestment and corporate restructuring exercises proposed
earlier under the Initial GWRS Proposals (collectively referred
to as the "Revised GWRS Proposals") in the manner set out
hereafter.

Key Changes under the Revised GWRS Proposals

* Reduction of the share capitals of LCB, LLB, AMB and ACB.

* Reduction in the yield-to-maturity ("YTMs") applicable to the
Bonds and Consolidated and Rescheduled Debts to be issued to
affected financial institution creditors ("FI-Creditors").

* Waiver of certain principal portion of the Outstanding
Principal Amounts (as defined in the explanatory notes to Table
2) by the affected FI-Creditors, and calculated in manner set
out in the explanatory notes to Table 2 at
http://www.bankrupt.com/misc/lion_group.html

* Longer repayment profile for the Bonds and Consolidated and
Rescheduled Debts to be issued under the Revised GWRS Proposals.

* Reduction in the transaction values of assets to be
transferred under the proposed corporate restructuring exercises
under the Revised GWRS Proposals.

Revised Debt Restructuring Exercises

List of Scheme Companies

The Scheme Companies whose debts are proposed to be addressed
under the Revised GWRS Proposals, as compared with the Scheme
Companies under the Initial GWRS Proposals, are set out in Table
1 at http://www.bankrupt.com/misc/lion_group.html

Mode of settlement for FI-Creditors

Indebtedness of affected FI-Creditors denominated in Ringgit
Malaysia (RM) are to be settled by issuance of RM denominated
Bonds, whilst indebtedness of affected FI-Creditors denominated
in US Dollars (USD) are to be settled by issuance of USD
denominated Consolidated and Rescheduled Debts. A summary of the
mode of settlement for FI-Creditors under the Revised GWRS
Proposals and the Initial GWRS Proposals, are set out in Table 2
at http://www.bankrupt.com/misc/lion_group.html

Mode of settlement for non-financial institution creditors (Non-
FI Creditors)

The Lion Group is in the process of negotiating with the Non-FI
Creditors to secure settlement of the amounts owing to the Non-
FI Creditors of the LCB, LLB and ACB Groups by way of debt to
equity conversion. The proposed issue price of the LCB, LLB and
ACB Shares for the proposed debt to equity conversion shall be
based on the pricing basis as set out in Section 2.1.7 below.

Amount of debts addressed

The revisions to the estimated aggregate amount of indebtedness
owing by the Scheme Companies to the affected FI Creditors and
Non-FI Creditors (collectively referred to as the "Scheme
Creditors") which will be addressed under the Revised GWRS
Proposals, as compared with that under the Initial GWRS
Proposals, are set out in Table 4 at
http://www.bankrupt.com/misc/lion_group.html

Amount of Bonds and Consolidated and Rescheduled Debts to be
issued

The revisions to the estimated aggregate amount of Bonds and
Consolidated and Rescheduled Debts to be issued under the
Revised GWRS Proposals, as compared with that under the Initial
GWRS Proposals, are set out in Table 5 at
http://www.bankrupt.com/misc/lion_group.html

Proposed YTMs

The YTMs for the Bonds and Consolidated and Rescheduled Debts to
be issued under the Revised GWRS Proposals, as compared with
that under the Initial GWRS Proposals, are set out in Table 6 at
http://www.bankrupt.com/misc/lion_group.html

Issue price of the PLC Shares

Under the Initial GWRS Proposals, it was proposed that the issue
price of the PLC Shares shall be the lower of the 1-month
weighted average price of the PLC Shares up to the market day
after the date of the SC's approval for the Initial GWRS
Proposals or RM1.6582 for LCB Shares, RM0.8364 for LLB Shares,
RM0.7050 for ACB Shares and RM0.8550 for AMB Shares.

Under the Revised GWRS Proposals, the issue price of the LCB,
LLB, AMB and ACB Shares (PLC Shares) to be issued to the FI-
Creditors as detachable equity kickers to the Bonds and
Consolidated and Rescheduled Debts by way of debt to equity
conversions, shall be determined after the receipt of the
Securities Commission (SC)'s approval and shall be at a price to
be agreed by the relevant parties set based on the then
prevailing theoretical market price of the PLC Shares
(calculated using the market price of the PLC Shares prevailing
after the SC's approval and after adjusting for the proposed
capital reconstruction for the respective PLCs as described in
Section 2.2.1 hereafter), subject to a minimum issue price based
on the par value of the PLC Shares of RM1.00 each.

The indicative numbers of PLC Shares to be issued under the
Revised GWRS Proposals as compared with the Initial GWRS
Proposals, are set out in Tables 5 and 7 at
http://www.bankrupt.com/misc/lion_group.html

Contingent back-end payment

Under the Revised GWRS Proposals, the "Relevant Amount" (as
described hereafter), shall be applied firstly towards payment
to the Unsecured FI-Creditors in respect of the "Back-End
Amount" (as defined in the explanatory notes to Table 2) and,
secondly, for payment of the back-end enhancement of the cash
YTMs for the Bonds and Consolidated and Rescheduled Debts as set
out in Table 6 ("Loyalty Payment") at
http://www.bankrupt.com/misc/lion_group.html

The "Relevant Amount" refers to the cash amount calculated in
the following manner:

   (i) super divestment proceeds - excess of actual over
projected aggregate of net divestment proceeds from the proposed
divestment programme of the relevant PLC;

   (ii) super profits - where the Bonds and Consolidated and
Rescheduled Debts are backed by the dividend/dividend from Key
Operating Companies, excess of audited over projected aggregate
profit/dividend available to the Key Operating Companies
shareholders; and

   (iii) the back-end YTM enhancement of other Bonds received by
the relevant PLC.

Details of the priority of application of the Relevant Amount
for payment of the Back-End Amount and the Loyalty Payment,
shall be set out in the respective PLCs' Explanatory Statement
to Creditors and Circular to shareholders to be dispatched in
the future.

Proposed Corporate Restructuring Exercises

Proposed Capital Reconstruction Exercise

The following capital reconstruction exercises are proposed:

   (i) LCB : 30% share capital reduction (Proposed
Capital Reconstruction for LCB);

   (ii) LLB : 25% share capital reduction (Proposed
Capital Reconstruction for LLB);

   (iii) ACB : 60% share capital reduction and
consolidation of the RM0.50 ACB Shares into RM1.00 ACB Shares
(Proposed Capital Reconstruction for ACB); and

   (iv) AMB  : 70% share capital reduction (Proposed
Capital Reconstruction for AMB).

The financial results of the LCB, LLB, ACB and AMB Groups have
deteriorated in the last few years, affected by the financial
crisis which afflicted the region in the second half of 1997.
For the past four financial years ended 30 June 1998,1999, 2000
and 2001, the LCB, LLB, ACB and AMB Groups have reported
consolidated after-tax losses. The credit arising from the
aforesaid capital reduction exercises would be utilized to
reduce the respective PLCs' accumulated losses.

Further, it is noted that the market prices of the PLC Shares
are now trading significantly below their respective par values.
The theoretical adjustment to their market prices required in
respect of the proposed capital reconstructions, would result in
the theoretical market prices of the PLC Shares being closer to
their par values, which in turn enhances the acceptability the
PLC Shares to be issued to the FI-Creditors.

Revisions to the corporate restructuring exercises
LCB Group

(i) Proposed acquisition of 40% equity interest in Megasteel
from the ACB Group

The revised consideration for the proposed acquisition of 40%
equity interest in Megasteel is RM1,089.99 million, and is to be
satisfied by an issuance of RM953.43 million LCB Bonds and
RM136.56 in value of LCB Shares.

The revised consideration is arrived at following negotiations
on a willing buyer-willing seller basis after taking into
account the discounted cash flow valuation ("DCF) of the future
cash flows of Megasteel.

The initial consideration was RM1,254.00 million, and was to be
satisfied by an issuance of LCB Bonds.

(ii) Proposed acquisition of 50.45% equity interest in LLB from
the ACB Group

The revised consideration for the proposed acquisition of 50.45%
equity interest in LLB is RM260.47 million and such
consideration shall be satisfied by an issuance of RM227.84
million LCB Bonds and RM32.63 million in value of LCB Shares.

The revised consideration was arrived at following negotiations
on a willing buyer-willing seller basis and represents an
approximately 40% discount from the estimated consolidated NTA
of LLB as at 31 December 2001 after adjusting for the Principal
Waived for the amounts owing by the ACB Group and AMB Group to
the LLB Group, the Principal Waived for the amount owing by LLB
Group to CPB Group and LCB Group and the Principal Waived by the
Unsecured FI-Creditors of the LLB Scheme Companies.

The initial consideration was RM473.03 million for 50.45% equity
interest in LLB.

(iii) Proposed acquisition of ACB Shares from parties deemed
connected to Tan Sri William Cheng Heng Jem and Datuk Cheng Yong
Kim (TSWC Group)

The revised acquisition involves an acquisition of 459.20
million ACB shares for RM459.20 million to be satisfied by an
issuance of RM459.20 million in value of new LCB Shares.

The final number of ACB Shares to be acquired from TSWC Group is
subject to the actual number of new ACB Shares to be (i) issued
to the TSWC Group pursuant to the proposed acquisition of 30%
equity interest in Akurjaya Sdn Bhd (Akurjaya) and proposed
acquisition of 13.5% equity interest in Hiap Joo Chong by the
ACB Group as described hereafter and (ii) received by the TSWC
Group from the proposed share swap between the TSWC Group and
Lembaga Tabung Angkatan Tentera (LTAT).

The final revised purchase price of the ACB Shares shall be the
same price as the final issue price of the new ACB Shares issued
to the TSWC Group to the proposed acquisition of 30% equity
interest in Akurjaya Sdn Bhd (Akurjaya) and proposed acquisition
of 13.5% equity interest in Hiap Joo Chong by the ACB Group as
described hereafter.

The previous proposal under the Initial GWRS Proposals involved
an acquisition of 888.07 million ACB Shares for RM683.81 million
to be satisfied by an issuance of RM301.51 million in value of
new LCB Shares and RM382.30 million nominal amount of 1% 5-years
irredeemable convertible unsecured loan stocks (ICULS
2001/2005).

(iv) Proposed offer by LCB to swap with LTAT the LLB Shares to
be held by LCB for the ACB Shares held by LTAT

Under the Revised GWRS Proposals, LCB has made a revised swap
offer to LTAT whereby LCB would exchange 71.42 million LLB
Shares to be held by LCB for 28.56 million ACB Shares held by
LTAT based on the indicative exchange ratio of 2.5 LLB Shares
for 1 ACB Share (which is derived based on the theoretical
market price of RM0.40 per LLB Share and RM1.00 per ACB Share
after adjusting for the Proposal Capital Reconstruction for LLB
and Proposed Capital Reconstruction for ACB respectively). The
final exchange ratio shall be determined after the receipt of
the SC's approval based on the prices of ACB Shares and LLB
Shares to be agreed between LCB and LTAT after taking into
account the market prices of LLB Shares and ACB Shares
prevailing after the receipt of the SC's approval but after
adjusting for the Proposed Capital Reconstruction for LLB and
the Proposed Capital Reconstruction for ACB.

Under the Initial GWRS Proposals, the proposed offer to swap
involved an exchange of 83.05 million LLB Shares to be held by
LCB for 92.22 million ACB Shares held by LTAT based on an
exchange ratio of 0.9006 LLB Share for 1 ACB Share.

(v) Proposed disposal of the entire 6.35% equity interest in
Silverstone to the AMB Group

The revised disposal consideration is RM16.24 million, of which
RM9.33 million shall be satisfied by an issuance of new AMB
Shares with the balance RM6.91 million shall be set off against
inter-company balances owing by the LCB Group to the AMB Group.

The revised disposal consideration was arrived at following
negotiations on a willing buyer- willing seller basis and
represents the estimated NTA of Silverstone as at 31 December
2001 but after adjusting for the principal to be waived by
Silverstone in respect of the amount owing by the ACB Group to
Silverstone.

The previous disposal consideration under the Initial GWRS
Proposals was RM15.0 million, of which RM5 million was to be
satisfied by an issuance of new AMB Shares with the balance
RM10.0 million was to be set off against inter-company balances
owing by the LCB Group to AMB Group.

(vi) Proposed disposal of 13.5% equity interest in Hiap Joo
Chong Realty Sdn Bhd (Hiap Joo Chong) to the ACB Group

The revised disposal consideration is RM1.91 million which shall
be fully netted off against inter-company balances owing by the
LCB Group to the ACB Group.

The revised disposal consideration was arrived at following
negotiations on a willing buyer- willing seller basis and is
based on the proforma audited NTA of Hiap Joo Chong as at 30
June 2001 but after adjusting for the open market value of the
property held by Hiap Joo Chong as at 31 July 2001, as assessed
by the professional valuers.

The previous disposal consideration under the Initial GWRS
Proposal was RM2.29 million, and was to be netted off against
inter-company balances owing by the LCB Group to the ACB Group.
LLB Group

   (i) Proposed acquisition of 100% equity interest in Posim
Berhad (Posim) by LLB and AMSB from the ACB Group

Under the Revised GWRS Proposals, LLB shall acquire 31% equity
interest and AMSB shall acquire 69% equity interest in Posim
respectively for an aggregate consideration of RM637.64 million
of which RM533.72 shall be set off against the inter-company
balances owing by the ACB Group to the LLB Group. The balance
sum of RM103.92 million due to the minority shareholders of
Posim shall be satisfied in cash.

The revised purchase consideration was arrived at following
negotiations on a willing buyer- willing seller basis and after
taking into account the DCF valuation of the future cash flows
of SFI (the principal asset of Posim) and the net value of
Posim's residual assets (after taking into account the amount of
principal to be waived by Posim in respect of the inter-company
balances owing from ACB Group to Posim).

The previous acquisition under the Initial GWRS Proposals
involved LLB acquiring 100% of Posim for a purchase
consideration of RM858.85 million.

   (ii) Proposed acquisition of 59.47% equity interest in
Chocolate Products (Malaysia) Berhad (CPBfrom the ACB Group

Under the Revised GWRS Proposals, LLB shall acquire 18.44%
equity interest and AMSB shall acquire 41.03% equity interest in
CPB respectively for an aggregate consideration of RM201.50
million which shall be set off against the inter-company
balances owing by the ACB Group to the LLB Group.

Thereafter, it is proposed that LLB acquires RM33.9 million
worth of CPB Shares from AMSB by an issue of RM33.9 million of
LLB Bonds to AMSB.

The revised purchase consideration was arrived at following
negotiations on a willing buyer- willing seller basis and
represents an approximately 40% discount from the estimated
consolidated NTA of CPB as at 31 December 2001 after adjusting
for the principal to be waived by CPB in respect of the amount
owing by the ACB Group and LLB Group to the CPB Group.

The previous acquisition under the Initial GWRS Proposals
involved LLB acquiring 59.47% of CPB for a consideration of
RM281.19 million.

   (iii) Proposed disposal of 25% equity interest in Avenel Sdn
Bhd (Avenel) to the ACB Group

Under the Revised GWRS Proposals, LLB shall pay ACB RM81.62
million which shall be wholly satisfied by netting off the
inter-company balances owing by the ACB Group to the LLB Group.

The revised disposal consideration was arrived at following
negotiations on a willing buyer- willing seller basis and
represents LLB's 25% share of Avenel's estimated net liabilities
as at 31 December 2001 of RM326.47 million, after restating the
value of Avenel's investment in Posim based on the DCF valuation
of the future cash flows of SFI (Posim's principal asset), the
value of Posim's residual assets and after adjusting for the
relevant principal to be waived by Posim in respect of the
amount owing from ACB Group to Posim.

The previous disposal consideration under the Initial GWRS
Proposals involved LLB paying to ACB RM23.09 million to ACB and
the payment was to be satisfied by netting off inter-company
balances owing by the ACB Group to the LLB Group.
(iv) Proposed disposal of 100% equity interest in Lion Plaza Sdn
Bhd (Lion Plaza) to the ACB Group

Under the Revised GWRS Proposals, the disposal consideration
shall be RM35.66 million, and shall be settled by an issuance of
RM35.66 million of ACB Bonds to LLB.

The revised disposal consideration was arrived at following
negotiations on a willing buyer- willing seller basis and is
based on the proforma unaudited NTA of Lion Plaza as at 30 June
2001 after adjusting for, inter alia, the open market value of
the properties held by Lion Plaza as at 31 July 2001 (as
assessed by the professional valuers) and the assumption of
certain liabilities by LLB.

The previous disposal consideration under the Initial GWRS
Proposals was RM33.35 million, and was to have been satisfied by
netting-off against the consideration payable by the LLB Group
to the ACB Group pursuant to the proposed acquisitions of
certain assets by the LLB Group from the ACB Group.
AMB Group

   (i) Proposed acquisition of 100% equity interest in
Silverstone

Under the Revised GWRS Proposals, the purchase consideration
shall be RM255.7 million, of which RM6.9 million shall be
settled by netting off against the inter-company balances owing
by the LCB Group and ACB Group, whilst the balance of RM248.8
million shall be satisfied by an issuance of new AMB Shares.

The revised purchase consideration was arrived at following
negotiations on a willing buyer-willing seller basis and
represents the estimated NTA of Silverstone as at 31 December
2001 but after adjusting for the relevant principal to be waived
by Silverstone in respect of the amount owing from ACB Group to
Silverstone.

The previous purchase consideration under the Initial GWRS
Proposals was RM236.0 million, of which RM10.0 million was to be
settled by netting off against inter-company balances owing by
the LCB Group and ACB Group, whilst the balance of RM226.0
million was to have been satisfied by an issuance of new AMB
Shares.

   (ii) Proposed disposal of 20% equity interest in Avenel to
the ACB Group

Under the Revised GWRS Proposals, AMB shall pay ACB RM65.3
million which shall be set-off against the inter-company
balances owing by the ACB Group to the AMB Group.

The revised disposal consideration was arrived at following
negotiations on a willing buyer- willing seller basis and
represents AMB's 20% share of Avenel's estimated net liabilities
as at 31 December 2001 of RM326.47 million, after restating the
value of Avenel's investment in Posim based on the DCF valuation
of the future cash flows of SFI (Posim's principal asset), value
of Posim's residual assets and after adjusting for the relevant
principal to be waived by Posim in respect of the amount owing
from ACB Group to Posim.

The previous disposal consideration under the Initial GWRS
Proposals involved AMB paying to ACB RM18.48 million, of which
RM7.39 million was to be satisfied by an issuance of new AMB
Shares and the balance of RM11.09 million by netting off against
inter-company balances owing by the AMB Group to the ACB Group.
ACB Group

   (i) The key revisions to the following corporate transactions
to be undertaken by ACB Group are described under the proposed
corporate exercises for LCB, LLB and AMB Group set out above:

  * Proposed divestment of 40% equity interest in Megasteel to
the LCB Group;

  * Proposed divestment of 50.45% equity interest in LLB to the
LCB Group;

  * Proposed divestment of 59.47% equity interest in CPB to the
LLB Group;

  * Proposed divestment of 83.7% equity interest in Posim to the
LLB Group;

  * Proposed divestment of 52.34% equity interest in Silverstone
to the AMB Group;

  * Proposed acquisitions of 25% equity interest in Avenel from
LLB and 20% equity interest in Avenel from AMB; and

  *  Proposed acquisition of 100% equity interest in Lion Plaza
from LLB.

   (ii) Proposed acquisition of 30% equity interest in Akurjaya
from Horizon Towers Sdn Bhd

Under the Revised GWRS Proposals, the purchase consideration is
RM423.90 million, and shall be wholly settled by an issuance of
new ACB Shares.

The revised purchase consideration was arrived at following
negotiations on a willing buyer-willing seller basis and is
based on the proforma unaudited consolidated NTA of Akurjaya as
at 30 June 2001 after adjusting for (i) the open market value of
the properties held by Akurjaya as at 31 July 2001 and (ii)
restating the value of Akurjaya's investment in Megasteel based
on a DCF valuation of the future cash flows of Megasteel.

The previous consideration under the Initial GWRS Proposals was
RM547.85 million which was to be wholly satisfied by an issuance
of new ACB Shares.

   (iii) Proposed acquisition of 27% equity interest in Hiap Joo
Chong from the LCB Group and Teck Bee Mining (M) Sdn Bhd

Under the Revised GWRS Proposals, the aggregate purchase
consideration is RM3.83 million, of which RM1.915 million of the
consideration due to LCB shall be netted off against the inter-
company balances owing by the LCB Group to the ACB Group, whilst
the other RM1.915 million due to Teck Bee Mining (M) Sdn Bhd
shall be wholly satisfied by the issuance of RM1.915 million in
value of new ACB Shares.

The revised aggregate purchase consideration under the Initial
GWRS Proposals was arrived at following negotiations on a
willing buyer-willing seller basis and after taking into account
the proforma unaudited NTA of Hiap Joo Chong as at 30 June 2001
but after adjusting for the open market value of the property
held by Hiap Joo Chong as at 31 July 2001 as assessed by the
professional valuers.

The previous aggregate purchase consideration under the Initial
GWRS Proposals was RM4.58 million, of which RM2.29 million due
to LCB was to be netted off against inter-company balances owing
by the LCB Group to the ACB Group, whilst the other RM2.29
million due to Teck Bee Mining (M) Sdn Bhd was to be wholly
satisfied by the issuance of new ACB Shares.
(iv) Proposed issue of new ACB Warrants

Under the Revised GWRS Proposals, a total of 251.92 million new
4 years Warrants shall be issued on the basis of 1 new Warrant
for every 1 existing ACB Shares held after the Proposed Capital
Reconstruction of ACB at an issue price of 10 sen per Warrant.

The exercise price of the new Warrant shall be fixed after the
receipt of the SC's approval and at a 10% premium to the final
issue price of the new ACB Shares to be issued to the FI-
Creditors of the ACB Group (Final Issue Price). The Final Issue
Price shall be determined after the receipt of the SC's approval
at a price to be agreed by the relevant parties based on the
then prevailing market price of ACB Shares but after adjusting
for the Proposed Capital Reconstruction for ACB, subject to a
minimum issue price of the par value of the ACB Shares of
RM1.00.

Previously under the Initial GWRS Proposals, an aggregate of
314.89 million new 4 years Warrants were proposed to be issued
on the basis of 1 new Warrant for every 4 existing ACB Shares
held as at a date to be determined.

As previously announced, TSWC has given an undertaking to
exercise or cause to exercise 40% of the total new Warrants
before their expiry, and the net proceeds from the exercise of
such Warrants are proposed to be credited into a Depository
Account to be opened in the name of ACB for the purpose of
setting-up a fund for the redemption of the Consolidated and
Rescheduled Debts to be issued to holders of the USD140 million
Floating Rate Notes previously issued by ACB.
2.2.3 Revision in pricing basis for the new PLC Shares

The final issue price of the new PLC Shares to be issued for the
proposed corporate restructuring exercises (except for the
proposed acquisition of ACB Shares by LCB from the TSWC Group)
as described above, shall be determined after the receipt of the
SC's approval at a price to be agreed by the relevant parties
based on the then prevailing market price of the PLC Shares but
after adjusting for the proposed capital reconstruction of the
respective PLC, subject to a minimum issue price of the par
value of the PLC Shares of RM1.00.

For the proposed acquisition of ACB Shares by LCB from the TSWC
Group, the final issue price of the LCB Shares shall be
determined after the receipt of the SC's approval at a price to
be agreed upon by the relevant parties at a 5% premium to the
then prevailing market price of LCB Shares but after adjusting
for the Proposed Capital Reconstruction for LCB, subject to a
minimum issue price of RM1.05.

Termination of proposals

Under the Revised GWRS Proposals, the following proposals of the
Initial GWRS Proposals have been withdrawn:

   (i) The proposed issuance by LCB of RM100 million nominal
amount of ICULS 2001/2005 to the TSWC Group for a cash sum of
RM100 million; and

   (ii) The proposed conversion by the TSWC Group of RM57.47
million nominal amount of ICULS 2001/2005 before December 2001
by tendering RM100 million cash and RM57.47 million nominal
amount of ICULS 2001/2005 for conversion into 57.47 million LCB
Shares.

New proposals

The following are new proposals under the Revised GWRS
Proposals:

   (i) Proposed restricted offer for sale of ACB Shares by LCB
It is proposed that LCB makes an offer for sale of its holding
of 67.61 million ACB Shares (which ACB will obtain pursuant to
the Revised GWRS Proposals) to the entitled shareholders of ACB
(other than parties deemed connected to TSWC), on entitlement
basis at an offer price to be fixed after the receipt of the
SC's approval based on the issue price of the ACB Shares to LCB
(Proposed Restricted Offer for Sale of ACB Shares).

The net proceeds to be derived from the Proposed Restricted
Offer for Sale of ACB Shares would be used for part repayment of
the amount owing to the LCB Group's Non-FI Creditors and for
injection into Megasteel as working capital.

   (ii) Proposed restricted offer for sale of LCB Shares by ACB

ACB would hold approximately 265.17 million LCB Shares after the
proposed corporate restructuring exercise of ACB. It is proposed
that ACB makes an offer for sale of its entire holding of 265.17
million LCB Shares to the entitled shareholders of LCB (other
than parties deemed connected to TSWC) on entitlement basis at
an offer price to be fixed after the receipt of the SC's
approval based on the issue price of the LCB Shares to ACB
(Proposed Restricted Offer for Sale of LCB Shares).

The Proposed Restricted Offer for Sale of LCB Shares is intended
to provide LCB's minority shareholders with the opportunity to
reduce the dilutive effect of the Revised GWRS Proposals on
their shareholdings in LCB.

The net proceeds to be derived from the Proposed Restricted
Offer for Sale of LCB Shares would be dedicated for the proposed
debt restructuring exercise of the ACB Group.

Settlement of inter-company balances between different listed
groups

(i) LCB Group

Settlement of inter-company balances with the CPB Group

Under the Revised GWRS Proposals, the LCB Group would receive
payment of RM1.60 million (as opposed to RM1.12 million under
the Initial GWRS Proposals) from CPB for the settlement of the
inter-company balances owing by the CPB Group to the LCB Group
of RM1.60 million.

Settlement of inter-company balances with the ACB Group

Under the Revised GWRS Proposals, the inter-company balances of
RM14.00 million (as opposed to RM12.28 million under the Initial
GWRS Proposals) owing by the LCB Group to the ACB Group are
proposed to be settled as follows:

   a) RM9.33 million - LCB shall assign to ACB its right to
receive RM9.33 million worth of AMB Shares arising from LCB's
proposed divestment of 6.35% equity interest in Silverstone;

   b) RM2.18 million - shall be settled via netting off the
purchase consideration payable by ACB to LCB for ACB's proposed
acquisition of 13.5% equity interest in Hiap Joo Chong; and

   c) RM2.49 million - RM2.18 million shall be settled via the
issuance of LCB Bonds and the balance RM0.31 million shall be
settled by an issuance of new LCB Shares.

(ii) LLB Group

Settlement of inter-company balances with the ACB Group

Under the Revised GWRS Proposals, after RM1,303 million of the
inter-company balances owing by the ACB Group to the LLB Group
has been netted off against the purchase considerations payable
by the LLB Group to the ACB Group for the corporate exercises
under the LLB Group of RM1,045.78 as set out above, the balance
inter-company owing by the ACB Group to the LLB Group is
RM257.22 million (as opposed to RM463.16 million under the
Initial GWRS Proposals) which shall be settled by the issuance
of RM107.85 million ACB Bonds and RM149.37 million worth of new
ACB Shares (as opposed to RM395.31 million ACB Bonds and RM67.48
million worth of new ACB Shares under the Initial GWRS
Proposals).

Settlement of inter-company balances with the AMB Group

Under the Revised GWRS Proposals, it is proposed that the inter-
company balances owing by the AMB Group to the LLB Group of
RM134 million shall be settled through the issue of RM120.40
million AMB Bonds and RM6.80 million worth of RCCPS, RM6.80
million worth of new AMB Shares (as opposed to receiving
RM186.41 million AMB Bonds under the Initial GWRS Proposals).

Settlement of inter-company balances with the CPB Group

Under the Revised GWRS Proposals, it is proposed that LLB issues
RM22.0 million LLB Bonds to settle the inter-company balances
owing by the LLB Group to the CPB Group of RM22.0 million (as
opposed to LLB issuing RM24.56 million LLB Bonds in settlement
of inter-company balances owing by the LLB Group to the CPB
Group of RM24.56 million under the Initial GWRS Proposals).

Settlement of inter-company balances with the LCB Group

Under the Revised GWRS Proposals, it is proposed that LLB issues
RM131 million worth of new LLB Shares to the LCB Group in
settlement of the inter-company balances owing by the LLB Group
to the LCB Group of RM131 million (as opposed to LLB issuing
RM166 million worth of new LLB Shares to the LCB Group in
settlement of inter-company balances owing by the LLB Group to
the LCB Group of RM166 million under the Initial GWRS
Proposals).

(iii) AMB Group

Settlement of inter-company balances with the ACB Group

Under the Revised GWRS Proposals, after RM73.81 million of the
inter-company amount owing by the ACB Group to the AMB Group has
been netted-off against the purchase considerations payable by
the AMB Group to the ACB Group for the corporate exercises under
the AMB Group as set out above, the balance inter-company
balances owing by ACB Group to AMB Group is RM148.19 million (as
opposed to RM239.06 million under the Initial GWRS Proposals)
which shall be settled by the issuance of RM117.2 million ACB
Bonds and RM30.99 million worth of new ACB Shares (as opposed to
RM204.05 million ACB Bonds and RM35.01 million worth of new ACB
Shares under the Initial GWRS Proposals).

Settlement of inter-company balances with the CPB Group

Under the Revised GWRS Proposals, it is proposed that the inter-
company balances owing by the CPB Group to the AMB Group of
RM3.00 million be settled by CPB (as opposed to payment by CPB
of RM4.47 million under the Initial GWRS Proposals).

Settlement of inter-company balances with the LLB Group

Under the Revised GWRS Proposals, it is proposed that AMB issues
RM120.40 million AMB Bonds, RM6.80 million worth of RCCPS and
RM6.80 million worth of new AMB Shares in settlement of the
inter-company balances owing by the AMB Group to the LLB Group
of RM134.00 million (as opposed to AMB issuing RM186.41 million
AMB Bonds in settlement of the inter-company balances owing by
the AMB Group to the LLB Group of RM186.41 million under the
Initial GWRS Proposals).

(iv) ACB Group

The key revisions are described under the proposed settlement of
inter-company balances for the LCB, LLB and AMB Group.

Proposed Divestment of Non-Core Assets

The revisions in the net divestment value estimated by the
Directors of LCB, LLB, AMB or ACB as the case may be, of their
proposed divestment of non-core and peripheral assets over a
period of time under the Revised GWRS Proposals, compared to the
Initial GWRS Proposals, are set out in Table 8 at
http://www.bankrupt.com/misc/lion_group.html

FINANCIAL EFFECTS OF THE REVISED GWRS PROPOSALS

The revisions in the financial effects of the Revised GWRS
Proposals, compared to the Initial GWRS Proposals, are set out
in Table 9 at http://www.bankrupt.com/misc/lion_group.html

OTHER MATTERS

Whilst Megasteel (a subsidiary of LCB) and Amsteel Mills Sdn Bhd
(a subsidiary of LLB) are not Scheme Companies listed in Table 1
at http://www.bankrupt.com/misc/lion_group.html,they are key
companies within the Lion Group. In the case of Megasteel, the
future cash flows of Megasteel are proposed to be dedicated for
the proposed debt restructuring exercises under the Revised GWRS
Proposals. As for AMSB, the proposed settlement of the inter-
company balances owing by the ACB Group to AMSB affects the
structure of the proposed debt restructuring exercise for the
ACB Group under the Revised GWRS Proposals. In addition to the
conditions precedent for the Initial GWRS Proposals as announced
on 5 July 2000, the implementation of the Revised GWRS Proposals
is now further dependent upon the completion of the entity debt
restructuring of Megasteel and AMSB, and the imposition by the
authorities of the relevant protection sought by Megasteel for
hot and cold rolled steel products. As such, the terms and
structure of the Revised GWRS Proposals may be changed.

All the other terms and conditions of the Initial GWRS Proposals
announced on 5 July 2000, 11 September 2000 and 19 October 2000,
apart from the aforesaid variations, remain unchanged.

Shareholders and potential investors are requested to refer to
the announcement dated 5 July 2000, 11 September 2000 and 19
October 2000 for further details on the Initial GWRS Proposals.

Barring unforeseen circumstance, the necessary applications to
seek the SC's approvals for the Revised GWRS Proposals would be
submitted in October 2001.

Copies of the conditional agreements and letters of undertaking
entered into by the relevant parties for the proposed corporate
exercises set out in Section 2 are available for inspection at
the Registered Office of LCB, LLB, ACB and AMB, all of which are
located on Level 46, Menara Citibank, 165 Jalan Ampang, 50450
Kuala Lumpur, during normal business hours from Monday to Friday
(except public holidays) from the date hereof to the date of the
extraordinary general meetings to be convened by LCB, LLB, ACB
and AMB.


MAY PLASTICS: Posts Defaulted Payment Status
--------------------------------------------
May Plastics Industries Bhd announced that there has been no
change to the status of default as announced previously on 10
September 2001.

The steps undertaken by the Company to rectify the default are
comprised in the Composite Schemes of Arrangement and Compromise
pursuant to S176 of the Companies Act 1965. Please refer to the
monthly announcement made by the company pursuant to Practice
Note No 4/2001 for more details on the latest status of the
Proposals.

The list of default payments as of 30 September 2001 is found at
http://www.bankrupt.com/misc/may_plastics.gif


MYCOM BERHAD: No Change Noted On Defaulted Payment Status
---------------------------------------------------------
Mycom Berhad, in pursuant to Paragraphs 9.03 and 9.04(l) of the
Listing Requirements whereby a periodic announcement is required
on the status of the default in respect to revolving credit
facilities granted to its wholly owned subsidiaries, Tingkayu
Plantation Sdn Bhd and Pertama Land & Development Sdn Bhd by the
syndicated lenders, announced there is no change in status since
the last announcement made on 10 September 2001.

The Company is still hopeful of a mutual settlement on the
outstanding payments.


PENAS CORPORATION: Memorandum Of Understanding Extended
-------------------------------------------------------
Penas Corporation Berhad (Pencorp or the Company), further to
the announcement made on 5 September 2001 in relation to the
extension of time to 8 October 2001 for the Memorandum Of
Understanding (MOU) (dated 8 August 2001) signed between Island
Hospital Sdn Bhd and the Company, announced that on 5 October
2001, both the parties of the MOU have mutually agreed to
further extend the validity of the MOU to 8 November 2001.


PLANTATION & DEVT.: LOFSA Approves Debt Instrument Issuance
-----------------------------------------------------------
Arab-Malaysian Merchant Bank Berhad, on behalf of Plantation &
Development (Malaysia) Berhad (P&D or the Company), announced
the Company has obtained approval from Labuan Offshore Financial
Services Authority (LOFSA) via its letter dated 3 October 2001
to issue debt instruments to Hongkong & Shanghai Banking
Corporation Ltd, Labuan Branch, pursuant to the Proposed Debt
And Equity Restructuring Scheme (Proposed Scheme).

The LOFSA's approval is subject to the condition that all other
approvals from the relevant authorities will be obtained.


RENONG BERHAD: Appoints New Director
------------------------------------
Renong Berhad posted this appointment:

Date of change : 08/10/2001
Type of change : Appointment
Designation  : Director
Directorate  : Independent & Non Executive
Name   : DATO' HAMZAH BIN BAKAR
Age   : 58
Nationality  : Malaysian
Qualifications : BSc (hons) in Economics - The Queen's
University of Belfast, United Kingdom
(1968)
- MA in Public Policy and Administration
- University of Wisconsin, Madison,
Wis., USA (1974)

Working experience and occupation:

Retired from full time employment as of 1 June 2000.
Positions held with Petroliam Nasional Berhad (PETRONAS) (1980 -
2000)
- Special Adviser to PETRONAS President (2000 - 2001)
- Senior Vice President, Corporate Planning and Development
(1997 - 2000)
- Chief Executive Officer, KLCC Holdings Sdn Bhd (1992 - 1997)
- Senior Vice President, Refining and Marketing (1994 - 1997)
- Vice President, Corporate Planning and Business Development
(1991 - 1994)
- Senior General Manager, Corporate Planning (1988 - 1991)
- General manager of Planning, Budgeting and Information System
(1985 - 1988)
- Commercial Manager/Deputy General Manager, Gas Development
Department (1983 - 1985)
- Manager, Economics and Investment Evaluation Department (1980
- 1983)

Positions held with Economic Planning Unit, Prime Minister's
Department (1968 - 1980):

Held various positions including Technical Assistance (Foreign
Aid) coordination, income distribution analysis and policy
planning (participated in the formulation/drafting of the New
Economic Policy), project planning and development (including
feasibility studies), served as Secretary to the National
Development Planning Committee (NDPC) and Assistant Secretary to
the National Economic Council (NEC).

Other experiences:

- Secretary of Malaysia-US Consultative Group and past Secretary
of ASEAN-Canada and ASEAN-US Business Councils.
- Presented papers at various economic and energy conferences at
local and international levels.
- Currently, Chairman of Pusat Tenaga Malaysia, an R&D company
under the Ministry of Energy, Communications and Multimedia.
- Currently, Chairman of iPerintis Sdn Bhd, a company handling
all PETRONAS' e-business initiatives.

Directorship of public companies (if any):

PETRONAS Gas Bhd MISC Bhd
Commerce International Merchant Bank Berhad (a subsidiary of
Commerce Asset-Holding Berhad)
Tenaga Nasional Berhad

Family relationship with any director and/or major shareholder
of the listed issuer : Nil

Details of any interest in the securities of the listed issuer
or its subsidiaries : Nil

Composition of Audit Committee (Name and Directorate of members
after change):

Oh Chong Peng - Independent & non-executive member
Dato' Hamzah bin Bakar - Independent & non-executive member
Dato' Izham bin Mahmud - Independent & non- executive member


TANAH EMAS: Enters Trust Deed With PB Trustee Services
------------------------------------------------------
On behalf of Tanah Emas Corporation Berhad (TECB or the Company)
(formerly known as Isuta Holdings Berhad), Commerce
International Merchant Bankers Berhad, in reference to the
announcement on 17 September 2001 regarding the approval of the
shareholders of TECB for the Proposals, announced that the Trust
Deed constituting the RM40,957,830 nominal value five (5) year
2% Irredeemable Convertible Unsecured Loan Stocks to be issued
by TECB pursuant to the Proposed Debt Restructuring, was entered
into between TECB and PB Trustee Services Berhad on 8 October
2001.

The PROPOSALS include:

*  Proposed Debt Restructuring
*  Proposed Acquisition Of New Businesses
*  Proposed Disposal Of Existing Subsidiaries
*  Proposed Special Issue
*  Proposed Employees' Share Option Scheme
*  Proposed Increase In Authorized Share Capital; And
*  Proposed Change Of Name


TRANSWATER CORP.: Seeks Requisite Announcement Time Extension
-------------------------------------------------------------
The Board of Directors of Transwater informed that the Company
is continuing to formulate and evaluate plans to regularize its
financial condition (Plan). However the current uncertainties
and adverse conditions in the global financial markets brought
about by the events of 11 September 2001 have also impacted the
local financial markets.

In light of this, the Board anticipates difficulties in
finalizing the Plan by the Deadline and has accordingly made an
application to the Kuala Lumpur Stock Exchange (KLSE) for a
further extension of time for the Company to make the Requisite
Announcement.

The Company will announce the KLSE's decision in due course.

Profile

Based in Selangor, Transwater Group of Companies are specialist
engineers and contractors for water and waste water works, for
the supply and installation of pumping equipment, industrial
machinery, process equipment and systems, cooling towers and oil
and gas equipment and systems.

Following its classification in February 2001 as an `affected
listed issuer' under Practice Note 4/2001, Transwater is still
currently in the process of formulating and evaluating plans to
regularize its financial condition. On 4 September 2001, KLSE
granted Transwater a two-month extension to 22 October 2001 for
it to release the requisite announcement detailing its proposal
to restore its financial viability.


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


BAYANTEL: Advisor Presents Debt Restructuring Proposal
------------------------------------------------------
Bayan Telecommunications Inc's (BayanTel) financial advisor,
Bank of America Asia, presented a proposal to creditors on
Monday to restructure about US$477 million in debt, but the
company's creditors have yet to approve the proposal, ABS-CBN
News reported on October 9, which cited Reuters. BayanTel
reportedly has nearly half, or $226 million, of its total debts
unsecured.

The Benpres Holdings Corp unit in a statement said its financial
advisor proposed to BayanTel's unsecured creditors retiring 25
percent of principal debt and writing off 18 months of interest
from January 19 of this year.

"The unsecured portion included the $200-million bond, with a
maturity of seven years, issued by BayanTel in 1999," the
company source said.

BayanTel also proposed a 15-year repayment of its loans,
including a five-year grace period on principal payments.

"Proposed interest rates are three-month Libor (London Interbank
Offered Rate) plus one percent for U.S. dollar-denominated debt
and 91-day Treasury bill rate plus one percent for Philippine
peso-denominated debt," the statement said.

"BayanTel management led by chief consultant Tunde Fafunka and
chief finance officer Gary Olivar told creditors that the
restructure terms are tailored closely to the ability of
BayanTel to service debt," the company statement said.

"If the terms are accepted, BayanTel will not require new funds
until 2007 and can begin servicing debt with equal quarterly
amortization payments thereafter."

BayanTel has 34 local and foreign creditors, including Equitable
PCI Bank, Land Bank of the Philippines, Bank of the Philippine
Islands, United Coconut Planters Bank, Deutsche Bank, Standard
Chartered Bank, and the Export Development Corp. of Canada, the
Benpres source said.


NATIONAL POWER: PSALM to Proceed With $400M Bond Float
------------------------------------------------------
The Power Sector Assets and Liabilities Management Corp. (PSALM)
will push through with its $400-million bond offering, despite
the controversy surrounding the insurance of National Power Corp
(Napocor) assets. The proceeds will be used to finance Napocor's
operating expenses and partly pay maturing debts.
ABS-CBN News reported on October 9.

"It is not true that we will be calling off the bond float for
Napocor," PSALM president Edgardo del Fonso told reporters
Tuesday.

PSALM, which will be responsible for the sale and privatization
of Napocor's assets and liabilities, is the newly-formed
corporate vehicle that assumed Napocor's power generating
assets, real estate and other disposable assets, as well as
contracts with independent power producers. It also absorbed the
power firm's outstanding financial obligations arising from
loans, bonds, securities and other forms of debts.

U.S. investment company Bear Stearns will arrange the seven-year
global bond issue with full guarantee from the national
government.

Del Fonso said, "We are pushing with the bond issuance as soon
as the market improves. I don't think [expiration of insurance
coverage] will affect the flotation. But I believe the insurance
problem of Napocor will be resolved soon."


RFM CORP: LTCP Rating Improves To PRS Baa, Says PhilRatings
----------------------------------------------------------
The rating for RFM Corporation's (RFM) P500 million long-term
commercial papers (LTCPs) has improved to PRS Baa from PRS Caa.

A rating of PRS Baa denotes that the LTCPs are "neither highly
protected nor poorly secured; interest payments and principal
security appear adequate for the present but certain protective
elements may be lacking or may characteristically be unreliable
over any great length of time." A rating of PRS Caa, on the
other hand, is defined as: "Poor standing. There is high
possibility of default and there may be elements of danger with
respect to interest and principal."

In assigning the new rating, PhilRatings took note of
developments regarding the settlement of the company's
convertible bonds. To date, US$37.7 million have already been
put in escrow for the benefit of the bondholders, effectively
bringing down the outstanding obligation to US$18.4 million.
Furthermore, the expected sale of Cosmos to San Miguel
Corporation, notwithstanding the negative publicity generated by
the Syjuco case, gives RFM the opportunity to raise a
substantial amount of proceeds which would most likely be more
than enough to settle its bonds, LTCPs, as well as other loans.

Inasmuch as the Cosmos sale has yet to be finalized, PhilRatings
shall continue to monitor developments regarding this
transaction, as well as company operations, and consequently
make adjustments in RFM's LTCP rating as deemed necessary.


UNIWIDE HODINGS: Asks SEC To OK Units' Assets Sale
--------------------------------------------------
Uniwide Holdings Inc has asked the Securities and Exchange
Commission to approve the sale of the theme park assets of unit
Naic Resources and Development Corp, AFX Asia reported on
October 10.

Uniwide intends to use the proceeds to retire obligations with
Asian Alliance Investment Corp, to which the assets of the
planned theme park are mortgaged. A portion of the
proceeds will also be used to settle the import duties for the
release of the theme park rides, which are still with the Bureau
of Customs.

"The immediate sale of these assets, before they deteriorate and
become obsolete, is recommended since the project for the theme
park has been permanently shelved," Uniwide told the stock
exchange.



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


CAPITALAND: Plans Over $500 Million IPO Next Month
--------------------------------------------------
Capitaland plans to launch an initial public offering (IPO) of
over $500 million in units for the maiden Singapore Property
Trust (SPT) early next month, with the company and its advisers,
DBS Bank and UBS Warburg, confident of a good response, Business
Times reported on October 9.

Some quarters, however, view that an IPO now, in particular for
a new instrument like the SPT, may get poor response since
issuers are counting on a repeat of the experience in the U.S.
and Australia. Investors have been turning to Real Estate
Investment Trusts (REITs) and Listed Property Trusts (LPTs) in
the aftermath of the Sept 11 terrorist attacks on the U.S., due
to the 'defensive' nature of such instruments.


I-ONE.NET: Receives SIC Ruling; Announces Book Closure Date
-----------------------------------------------------------
Pursuant to I-One.Net International Limited's proposed
renounciable rights issue of up to 231 million new ordinary
shares of S$0.05 each (Rights Shares) at S$0.05 each for each
Rights Share, on the basis of one (1) Rights Share for every two
(2) existing ordinary shares of S$0.05 each in the capital of
the company held by the shareholders as of book closure date on
October 25, 2001, the company announced that rulings from the
SIC have been received in respect of the underwriting commitment
of UOB Kay Hian Private Limited.

After considering the representations and information submitted
to the SIC, the SIC has ruled:

   (i) that UOB Kay Hian will not be considered to be acting in
concert with Hiap Hoe Holdings Pte Ltd or any one of the
company's substantial shareholders and their concert parties in
respect of the Rights Issue to obtain or consolidate control of
the Company; and

   (ii) that Hiap Hoe will not be considered to be acting in
concert with UOB Kay Hian or any of the Company's substantial
shareholders and their concert parties in respect of the Rights
Issue to obtain or consolidate control of the Company.

   SIC's ruling in paragraphs (i) and (ii) will be invalidated
should subsequent evidence indicate a concert-party relationship
between UOB Kay Hian and Hiap Hoe in respect of the Rights
Issue. The same ruling in paragraphs (i) and (ii) will also be
invalidated should subsequent evidence indicate a concert-party
relationship between either UOB Kay Hian or Hiap Hoe and any one
of the Company's substantial shareholders and their concert
parties in respect of the Rights Issue.

The company also notifies that the Transfer of Books and
Register of Members of the company will be closed from 5 p.m. on
25 October 2001 up to and including 26 October 2001 for the
purpose of determining the provisional allotments to members of
the Company (other than those whose registered addresses with
the Company or with The Central Depository (Pte) Limited (CDP),
as the case may be, are outside Singapore and who have not at
least five market days prior to the Books Closure Date, provided
to the Company or CDP, addresses in Singapore for the service of
notices and documents) (the Entitled Shareholders) under the
Rights Issue.

Entitled Shareholders (being Depositors) whose Securities
Accounts with CDP are credited with Shares as at 5.00 p.m. on
the Books Closure Date will be provisionally allotted the Rights
Shares on the basis of the number of Shares standing to the
credit of their Securities Accounts with CDP as at 5.00 p.m. on
the Books Closure Date.

Entitled Shareholders whose names appear in the Register of
Members (i.e. whose Shares are not registered in the name of
CDP) as at 5.00 p.m. on the Books Closure Date will be
provisionally allotted the Rights Shares on the basis of the
number of Shares held by them as stated in the Register of
Members as of 5.00 p.m. on the Books Closure Date.

Members who hold physical share certificates for the existing
shares in their own names and who wish to deposit the existing
shares with CDP must do so no later than 5.00 p.m. on 18 October
2001, being five (5) Market Days prior to the Books Closure Date
in order for their Securities Accounts to be credited with the
Shares by the Books Closure Date.

Members who hold Existing Share Certificates not in their own
names and who wish to transfer the Existing Share Certificates
to their own names must lodge all duly completed and stamped
transfer forms together with the Existing Share Certificates and
registration fees with the Company's Share Registrar, Lim
Associates (Pte) Ltd, 10 Collyer Quay #19-08 Ocean Building,
Singapore 049315, by 5.00 p.m. on the Books Closure Date. Duly
completed and stamped transfer forms will be registered to
determine Entitled Shareholders' provisional allotments of
Rights Shares.


KEPPEL CORP: Transfers 61% Stake In KHZ To Keppel FELS
------------------------------------------------------
Keppel Corporation Limited (KCL) will restructure Keppel Hitachi
Zosen Limited (KHZ) under Keppel FELS Limited (Keppel FELS), the
rig building and repair arm of Keppel FELS Energy and
Infrastructure (KFEI), to create a global leader in servicing
the international marine and offshore market.

KCL will transfer its entire 61% interest in KHZ to Keppel FELS
immediately upon completion of the privatization of Keppel FELS
Energy & Infrastructure Ltd (KFEI) in early to mid November this
year. Shareholders of KFEI have given their approval for the
delisting of the company on 5 October 2001.

KCL executive director, Choo Chiau Beng, said, "The
restructuring of KHZ under Keppel FELS will strengthen Keppel's
global presence through the combined business and operational
network of 12 shipyards in strategic offshore markets and hubs
of major sea routes around the world."

Choo is also chairman/managing director of KFEI and chairman of
KHZ.

The 53-year-old veteran of the offshore construction industry is
one of the prime movers who, through Keppel FELS, has placed
Singapore on the world map as the leader in the construction of
offshore jack-up rigs and a major player in the construction of
semi-submersible rigs.

Backed by an energetic and innovative team driven by a "can-do"
attitude, Keppel FELS has become a multi-billion dollar,
technology-based, market-driven global leader. Through swift
actions, innovative strategies and foresight, the team in Keppel
FELS has led the company to grow in strength in the midst of
various offshore market downturns, and has achieved the record
of building about 60% of the world's jack-ups on order since
1996.

"We are taking advantage of the current upturn in the offshore
oil and gas industry to strengthen our global position in the
provision of sophisticated engineering solutions and shipyard
services. Oil and gas exploration activities are increasing, and
with the restructuring of KHZ under Keppel FELS there is greater
flexibility in utilizing the resources of both companies," said
Choo, explaining the rationale for the restructuring.

Choo is spearheading the taskforce that has been set up to work
on areas of co-operation to optimize profitability of the two
companies. He said, "Our first task is to realize the full
business potential of the expertise now residing in Keppel FELS
and Keppel Shipyard which is the bellwether of Singapore's
expertise in FPSO and FSO conversions."

Keppel Shipyard, a division of KHZ, has completed 34 FPSO and
FSO conversions since 1981, and is presently carrying out work
on several FPSOs in its yard. It has also successfully completed
in record time what is believed to be the world's most
challenging and complex FPSO conversions to date, Espadarte.
This is testimony to Keppel Shipyard's technical expertise and
project management skills.

"Our Singapore yards will serve as the center for high value-
added design and engineering work as well as complex conversions
and sophisticated shipbuilding. They will also provide these
expertise and the skilled manpower resources to our overseas
yards which are strategically located close to our customers,"
added Mr Choo.

Choo is confident of the success of this strategy. He said,
"With this, Keppel is well positioned to be a quality, customer-
focused and market oriented Group offering a comprehensive and
competitive package of services to its international clientele."

KCL has earlier mapped out the Keppel Group's strategy to
enhance the position of its world leaders such as Keppel FELS
and KHZ, and to concentrate on businesses that it can nurture
into global concerns such as power generation, environmental
engineering with focus on incineration, network engineering and
property.

For further information, please contact

Ms Sarah Seah
Manager, Group Corporate Communications
Keppel Corporation Limited
Tel: 65-8857420
Email: sarah.seah@kepcorp.com


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


ALPHA PROCESSING: Petition For Business Reorganization Filed
------------------------------------------------------------
Alpha Processing Company Limited's (DEBTOR), engaged in textile
industry, Petition for Business Reorganization was filed in the
Central Bankruptcy Court:

     Black Case Number 414/2543

     Red Case Number 473/2543

Petitioner: ALPHA PROCESSING COMPANY LIMITED

Debts Owed to the Petitioning Creditor: Bt950,132,373.66

Planner: Alpha Planner Company Limited

Date of Court Acceptance of the Petition: May 31, 2000

Court Order for Business Reorganization and Appointment of
Planner: June 26, 2000

Announcement of Court Order for Business Reorganization and
Appointment of the Planner: in Matichon Public Company Limited
and Siam Rath Company Limited in 2000

Announcement of Court Order for Business Reorganization and
Appointment of the Planner: in Government Gazette in August 3,
2000

Deadline for the Planner to submit the Business Reorganization
Plan to the Official Receiver in November 3, 2000

Planner postponed the date for submitting the Plan #1st:
December 3, 2000

Planner postponed the date for submitting the Plan #2nd: January
3, 2001

Appointment date of the Creditors' meeting for the Plan
Consideration: February 7, 2001 at 13.30 pm. Convention Room no.
1105, 11th Floor Bangkok Insurance Building, South Sathorn Rd.

The Creditors' meeting had a special resolution accepting the
plan

Court Order for Accepting the reorganization plan: February 14,
2001 and appointed Alpha Planner Company Limited to be the Plan
Administrator

Announcement of Court Order for Accepting the Reorganization
Plan: in Matichon Public Company Limited and Siam Rath Company
Limited in March 12, 2001

Announcement of Court Order for Accepting the Reorganization
Plan: in Government Gazette in April 3, 2001

Contact: Ms. Bang-Orn Tel 6792525 Ext. 112


AMARIN PLAZA: Announces Unit's Reduction Of Capital
---------------------------------------------------
Amarin Plaza Public Company Limited announced that the Board of
Directors' Meeting of Erawan Hotel Public Company Limited
(Erawan Hotel), a subsidiary of the Company, agreed to present
the Extraordinary Meeting of Shareholders No.1/2001 of Erawan
Hotel to consider the various transactions as the details
appeared in the reference notice, for this matter, the
Extraordinary Meeting of Shareholders of the subsidiary resolved
to approve all of transactions which were presented by the Board
of Directors as:

1. Approved offsetting the accumulated losses as of 30  June,
2001 of the company  against  the legal reserve  and share
premium  as at 30  June, 2001  respectively.

2. Approved of the amendment to Clause 4 of the Articles of
Association by changing the par value of each ordinary
share from Bt10 to Bt1.50.

3. Approved of the reduction of the company's registered capital
and paid-up capital from Bt796,666,670 to Bt119,500,000.50 by
reducing the par value of each ordinary share of the company
from Bt10 per share to Bt1.50 per share.

4. Approved of the amendment to Clause 4 of the Memorandum of
Association to be in parallel to the Company's registered
capital decrease as follows:

" Clause 4.  Registered capital is   Bt119,500,000.50
             divided into    79,666,667   shares
             par  value     Bt1.50  each
             separated into
             ordinary   shares   79,666,667   shares
             preferred  shares    -  shares   (  -  ) "

5. Approved offsetting the remained accumulated losses (after
offsetting against the legal reserve and share premium
respectively) against the amount of reduction of the paid up
capital of the company.

The Subsidiary will register the amendment of the Articles of
Association and the Memorandum of Association with the
Commercial Registration Department of Ministry of Commerce.


CENTRAL PAPER: Informs Exercise Of Warrant Results
--------------------------------------------------
Central Paper Industry Co., Ltd (CPICO) informed that there  are
120,000,000 units of Right Warrants no.1(CPICO-W1), on the
Exercise Date of September 17, 2001 and warrant holders
exercised their rights to purchase new ordinary shares in the
amount of 5,400 shares. Therefore, there are 119,994,600 units
remaining  Rights Warrants no.1(CPICO-W1).

CPICO issued 120 million units of warrant No.1 (CPICO-W1) with
10 years  term offering to the existing shareholders  during
July 11-18 ,2000. The exercise is fixed on 3 months of the
normal working hours of the Company's share registrar on the
date 15th or the next working day of March, June, September  and
December of each  year  through  the  maturity  date. The
Exercise Date shall be on 15th  September, 2000 while the last
Exercise Date shall be on  15th  June, 2010 respectively. 1 unit
of warrant gives the right to  the holder to 1 share of the
company in the Exercise Price of  Bt10/share.


ITALIAN-THAI: Informs Passenger Tender Construction Results
----------------------------------------------------------
ITD Planner Co., Ltd., on behalf of Italian-Thai Development
Public Company Limited (ITD), informed on October 9, 2001 the
tender opening result.  ITD. ITD is a member of ITO JV,
comprising of Italian-Thai Development Public Company Limited,
Takenaka Corporation and Co., Ltd. for Construction of Passenger
Terminal Complex:

         Package  2:  Main  Terminal  Building
         Package  3:  Concourse  Building),

ITD submitted  the  lowest prices at Bt36,666,736,448  (combined
Package 2 and Package 3  MJTA Scope ). The time  taken until
contracts execution of the both projects is estimated at the
beginning of December  2001.


LOXLEY PUBLIC: Director Naulkhair Resigns
-----------------------------------------
Loxley Public Company Limited reported that Viroj Naulkhair has
resigned from the Board of Directors effective October 4, 2001.
The Company's Board of Directors will appoint the replacement.

TCR-AP reported on April 22 that the Company, in the
implementation of its restructuring plan, had already issued 65
million shares and offered to the existing shareholders and
traded in the Stock Exchange of Thailand on January 22, 2001.
The company received Bt568.75 million to sell shares in this
process.


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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