TCRAP_Public/020531.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

            Friday, May 31, 2002, Vol. 5, No. 107

                         Headlines

A U S T R A L I A

AUSDOC GROUP: Freightways Sale Fails
AUSTAR UNITED: Expects A$350M Revenue in 2002
CENTRAL NORTH: Vela Drops Forestry Partnership Bid
OPEN TELECOM: Expects to Survive Industry Slump
OPEN TELECOM: Requests Continued Suspension


C H I N A   &   H O N G  K O N G

ASIA GLOBAL: China Netcom Plans to Bid for Debt-Laden Company
ASIA GLOBAL: Parent Faces Class Action Suit in New York
ASIA GLOBAL: Parent to Restructure After Two Bidders Back Out
DAILYWIN GROUP: Down 13% on Profit-taking


I N D O N E S I A

BAKRIE FINANCE: Court Denies Bank Mandiri's Bankruptcy Petition
BANK DANAMON: Trims Recapitalized Bonds by $2.5B
BANK NIAGA: Government May Sell Stake Through Private Placement
HOLDIKO PERKASA: MK Tbk IPO Draws 11 Bidders
PERTAMINA TBK: Issues Tender to Sell Cinta Crude for June


J A P A N

AIOI INSURANCE: Stumbles on Overseas Reinsurance Claims
FUJITSU LTD: Scraps Internet Business Tie-up Talks With Sony
HOKKAIDO INTERNATIONAL: ANA Mulls 20% Investment
NIPPON KAKOH: Enters Bankruptcy After Suffering JPY2B Loss
OCHIAIRO: Historical Inn Seeks Court Protection


K O R E A

HYUNDAI MERCHANT: Set to Sell Car Shipping Unit for US$1.3B
KOREA ELECTRIC: Names JP Morgan as Financial Consultant


M A L A Y S I A

EMICO HOLDINGS: MITI Okays Debt Restructuring Plan
MALAYSIAN AIRLINE: Looks for Opportunities to Boost Standing
MALAYSIAN AIRLINE: Posts Fifth Straight Year of Losses
MALAYSIAN PLANTATIONS: Makes a Come-back With RM52.5M Profit
NALURI BERHAD: Chairman Tajudin Seeks Board Re-election

PLANTATION & DEVELOPMENT: Enters Into MoU With Everange
SASHIP HOLDINGS: Says No Material Evidence in Financial Reports
STAR CRUISES: Shares Plunge After Stock Sale Plan Announcement
TECHNOLOGY RESOURCES: Chief Tajudin Disposes of 13% Stake
TEXCHEM CONSUMERS: Selling 2M Shares in La Primavera

TIME DOTCOM: Omar Retires as Director


P H I L I P P I N E S

METRO PACIFIC: Mum on Sale Rumors
NATIONAL POWER: Agrees With Salcon on Revised Power Deal
PHILIPPINE AIRLINES: Gov't May Regain Control of Flag Carrier
PHILIPPINE LONG: Expects PhP60M Earnings From Net Service
PHILIPPINE LONG: Stocks Surge on Sellout Rumor

PILIPINO TELEPHONE: Digitel Denies Piltel Stake Purchase Rumors
PRESTO-TIVOLI: Universal Robina Closing Down Ice Cream Unit


S I N G A P O R E

SEMBCORP LOGISTICS: Denies Ties With Dilmun Bahrain


T H A I L A N D

ITALIAN-THAI: 50M Share Offer Fully Subscribed
ITALIAN-THAI: Sells 50M Shares Via Rights Issue
ITALIAN-THAI: Gets a "Buy" Rating on Earnings Improvement
TPI POLENE: Creditors Agree on Siam City Cement Deal

     -  -  -  -  -  -  -  -

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


AUSDOC GROUP: Freightways Sale Fails
------------------------------------
Courier Ausdoc Group Ltd said Thursday talks to sell its biggest
unit, Freightways Express Ltd, in New Zealand have failed, AFX
Asia reported.

ABN AMRO's AAH.AS private equity division is widely expected to
make a bid for Ausdoc, which put itself up for sale in December.

According to Managing Director Alan Freer, the bid price was not
in accordance with their expectations, nor were some of the
terms.

Chairman Michael Butler said the Company is continuing
discussions with another party with whom AUSDOC entered into
exclusive negotiations in relation to a possible cash takeover
offer for AUSDOC shares.

The unnamed bidder for the whole group now has an exclusive
agreement with Ausdoc to make a cash offer of not less than
A$2.13 a share by June 18, valuing the group at around A$185.7
million.


AUSTAR UNITED: Expects A$350M Revenue in 2002
---------------------------------------------
Sydney's Austar United Communications Ltd. expects to generate
revenue of over A$350 million in its fiscal year 2002, Dow Jones
Newswires reports.

Chief Executive John Porter expects positive earnings before tax
and other charges this year, following a net loss of A$682.1
million in 2001 from a loss of A$319.4 million in 2000.

Austar operates pay television services in regional areas, and
has 430,000 subscribers, making it the second-largest company in
the industry behind Foxtel.

U.S.-listed UnitedGlobalCom Inc. controls the Company.


CENTRAL NORTH: Vela Drops Forestry Partnership Bid
--------------------------------------------------
Receivers Ferrier Hodgson of Central North Island Forestry
Partnership (CNI), which controls tone of the world's largest
man-made forests, said Thursday that Vela Forestry Ltd had
decided not to go ahead with the purchase of the Company's
forestry assets, Dow Jones Newswires reported.

The receiver did not elaborate, saying neither party will offer
comment.

Vela's withdrawal from the bid paves way for the Fletcher
Challenge Forests (FFS) to try and wrest control of the forestry
partnership.

Two weeks ago, Fletcher Forests said Citic would inject US$200
million into CNI, giving Citic a 35 percent stake in Fletcher.
The equity injection will enable Fletcher to bid for the CNI
forestry assets if Vela's bid fails.

The new equity from Citic will help Fletcher Forests buy the
190,000-hectare CNI Forestry Partnership, which was put into
receivership early last year after owing its bankers about $715
million.


OPEN TELECOM: Expects to Survive Industry Slump
-----------------------------------------------
Open Telecommunications Ltd founder Wayne Passlow admitted the
future of the telco services group depends on the outcome of an
independent report from management consultant Deloitte Touche
Tohmatsu into the Company's strategy.

The content of Deloitte's report would be revealed to the market
later this week.

Mr Passlow said more money was needed to fund the operations,
where one of the financing options was a $10 million rights
issue.

The founder also expected OpenTel's remaining customers to stay
in business because of an increase in mobile, Internet and
fixed-line telephone communications.

While Mr Passlow told shareholders he expects the company to
survive, analysts remain skeptical about its future amid the
worldwide collapse in telecom companies.


OPEN TELECOM: Requests Continued Suspension
-------------------------------------------
Open Telecommunications Ltd. requested Thursday that the
Australian Stock Exchange maintain the shares trading suspension  
until June 6, Dow Jones Newswires reported.

The Sydney-based telecommunications software developer announced
a major restructuring in March, when it said it would focus on
its core business of developing and marketing its packet-aware
operational support systems and software products.

Non-strategic and non-profitable product lines, businesses and
software development were shut down. Open Telecommunications
will incur a one-off charge of A$1.4 million in the first half
ending June 30.

The Company has appointed an independent adviser to prepare a
report in relation to its financial position.


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


ASIA GLOBAL: China Netcom Plans to Bid for Debt-Laden Company
-------------------------------------------------------------
China Netcom Group, China's second-largest fixed-line telephone
company, plans to submit a bid this week for Asia Global
Crossing Ltd., the Wall Street Journal reported, citing
unidentified sources.

A person involved in the planned offer said Netcom would seek a
controlling stake in the distressed undersea-cable operator,
which would give it access to a fiber-optic network that carries
voice and data traffic among seven Asian countries and the West
Coast of the U.S. He declined to divulge the size or other
details of the offer.

The move by Netcom would be the only known offer for Asia Global
Crossing, which is 58.9 percent owned by Global Crossing Ltd.
The operator owes hundreds of millions of dollars in debt and is
on a trajectory to run out of cash early next year.

Spokesmen for Netcom and Asia Global Crossing could not be
reached for comment.


ASIA GLOBAL: Parent Faces Class Action Suit in New York
-------------------------------------------------------
Cohen, Milstein, Hausfeld & Toll, P.L.L.C. has commenced a class
action lawsuit in the United States District Court for the
Southern District of New York on behalf of purchasers of Global
Crossing, Ltd. common stock between May 24, 1999, and Oct. 4,
2001, inclusive, against Salomon Smith Barney, Inc. and its well
known telecommunications analyst, Jack Grubman, for violations
of Sections 10(b) and 20(a) of the Securities Exchange Act of
1934.

Cohen, Milstein, Hausfeld & Toll, P.L.L.C. is involved in five
similar suits against Merrill Lynch and its internet analyst
Henry Blodget, as well as a case against Salomon Smith Barney
and Jack Grubman on behalf of purchasers of WorldCom.
The Complaint alleges that defendants violated sections 10(b)
and 20(a) of the Securities Exchange Act of 1934 and SEC Rule
10b-5 promulgated thereunder, by the issurance of analyst
reports regarding Global Crossing which recommended the purchase
of Global Crossing common stock and which set price targets for
Global Crossing common stock without any reasonable factual
basis. When issuing their Global Crossing reports, defendants
failed to disclose significant, material conflicts of interest
that they had, in light of their use of Grubman's reputation and
his Global Crossing analyst reports, to obtain investment
banking business for Salomon.
Plaintiffs seek to recover damages on behalf of all those who
purchased shares of Global Crossing common stock during the
Class Period.


ASIA GLOBAL: Parent to Restructure After Two Bidders Back Out
-------------------------------------------------------------
Global Crossing Ltd. will propose a stand-alone restructuring
plan to its creditors to shore up confidence after Hutchison
Whampoa Ltd. of Hong Kong and Singapore Technologies Telemedia
Pte. Ltd. dropped a bid for the fiber-optic carrier Saturday.

Attracting new bidders remains a top priority for Global
Crossing, which filed for Chapter 11 bankruptcy-court protection
in January.

The plan to restructure Global Crossing on its own still lacks
financial specifics and has yet to be filed with the bankruptcy
court. It received a tentative nod from some creditors worried
that the company would enter an auction without any solid
footing.

The proposed plan would raise cash by the sale of Global
Crossing assets, namely the company's teleconferencing business,
its United Kingdom-based national network and the Global Marine
division, a group of ships that lay fiber-optic cable.

In 1999, Global Crossing paid $2.5 billion for the U.K.-fiber
network and shipping business. Separately, at least three or
four bidders are expected to materialize with bids for Global
Crossing's 58.9 percent-controlled subsidiary, Asia Global
Crossing.

Global Crossing Chief Executive John Legere said the proposed
plan would require an additional cash infusion beyond the asset
sales.


DAILYWIN GROUP: Down 13% on Profit-taking
-----------------------------------------
Watch manufacturer Dailywin Group Ltd was down HK$0.017 or
13.386 percent at 0.11 on 27.65 million shares on profit taking,
AFX Asia reported Wednesday.

"The stock posted substantial gains after it announced plans to
take up stakes in Wai Yuen Tong Medicine. Now it is just facing
some profit-taking," a dealer at a local brokerage said.

Dailywin earlier agreed to acquire the entire issue share
capital of Reliance City Investments Ltd and Plenty Time
Investments Ltd from Wang On Group Ltd and Town Health
International Holdings Co for HK$220 million, which will
ultimately give it a 99.79 percent stake in Wai Yuen Tong
Medicine. Of the total consideration, HK$136 million will be
settled by the issue of 13.6 billion new shares and the
remaining 84 million will be settled by the issue of
convertible notes.


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


BAKRIE FINANCE: Court Denies Bank Mandiri's Bankruptcy Petition
---------------------------------------------------------------
The Jakarta Commercial Court has rejected a bankruptcy petition
filed by state-run PT Bank Mandiri against PT Bakrie Finance
Corporation over unpaid debts of 40.7 billion rupiah, AFX Asia
reported.

According to Judge Cristi Purnamiwulan, a creditor could not sue
Bank Finance after majority of creditors have agreed to accept
Bakrie Finance assets as partial payment for aggregate debts of
2.2 trillion rupiah under an asset-for-debt swap agreement.

Bakrie Finance said the asset-for-debt swap would only enable
creditors to recover 50 percent of their loans to the company.

Bank Mandiri was among the creditors who rejected the asset swap
plan. Eighty-three other creditors, accounting for 96.51 percent
of Bakrie Finance's total debt, approved the restructuring of
the company's debts worth Rp1.46 trillion (about US$158
million).

Under the debt restructuring deal, the Company is required to
transfer all its assets to a special purpose vehicle.

The assets include insurance firms PT Asuransi Ikrar Lloyd and
PT Asuransi Jiwa Bakrie, securities firm PT Bintang Sekuritas
Indonesia, and financial services company PT Swadinamika Bakrie
Finance.

Bakrie Finance has a debt total of Rp2.2 trillion to 45
creditors, of which Rp1.7 trillion has matured on Dec 31, 2001.

Some of the 45 creditors are Lippo Bank, Indover Asia Ltd, Sinar
Mas Multiartha, Bank of America, Hanil Leasing & Financing,
Malaysian Banking Bhd, Keppel Tat Lee Bank Ltd, Korea Leasing
Pte Ltd, Commonwealth Development Bank and Bank Danamon.


BANK DANAMON: Trims Recapitalized Bonds by $2.5B
------------------------------------------------
Bank Danamon has reduced its recapitalization bonds from Rp45
trillion (US$5 billion) in early 2001 to Rp22 trillion (US$2.5
billion) now, IndoExchange reported.

Bank President Arwin Rasyid said the bank, now controlled by the
Indonesian Bank Restructuring Agency (IBRA), will continue to
reduce its dependence on the recapitalization bonds.

Mr. Rasyid said the bank has sold part of the bonds to the
market and part has been returned to IBRA to repay a debt of
Rp14 trillion in Bank Indonesia Liquidity Credit.

He said the bank is still waiting for IBRA's decision about the
mechanism of the program for an asset-to-bond swap.

On November last year, TCR-AP reported that PT Bank Danamon
settled its obligation to pay the liquidity support extended by
the IBRA. It had also settled the interests of the government's
bailout funds worth Rp749.8 billion.


BANK NIAGA: Government May Sell Stake Through Private Placement
---------------------------------------------------------------
State Enterprises Minister Laksamana Sukardi said the Indonesian
government may sell part of its 51 percent stake in PT Bank
Niaga Tbk through a secondary offering or private placement in
the open market if final bids offered are too low, Agence
France-Presse reports.

The Indonesian Bank Restructuring Agency (IBRA) said it had
received final bids from two consortia, led by Malaysia's
Commerce Asset Holding Bhd and Australia's ANZ Banking Group
Ltd.

The state agency currently controls around 97 percent of the
stock after bailing out Niaga in the late 1990s. IBRA did not
reveal the bids by the two consortia. In preliminary bidding, it
previously said it received bids ranging Rp15 to Rp25 per share.

The sale is part of the economic reform program agreed with the
International Monetary Fund, which is coordinating a $5 billion
aid package.


HOLDIKO PERKASA: MK Tbk IPO Draws 11 Bidders
--------------------------------------------
Holdiko Perkasa issued a progress update on the sale of its 47.5
percent shareholding in PT Metropolitan Kentjana Tbk (MK Tbk),
an integrated real estate developer whose portfolio of prime
property assets in Jakarta include the Pondok Indah Mall, Pondok
Indah Estate, Puri Indah Mall, Puri Indah Estate, Wisma
Metropolitan I & II, and World Trade Center Building.

During MK Tbk's Extraordinary General Meeting of Shareholders on
Wednesday, it was confirmed that plans for MK Tbk to offer its
new shares to the public (IPO) will be carried out according to
schedule and the filing made to the Capital Market Supervisory
Agency (Bapepam) this week.

In the meantime, the level of investors' interest in the
strategic sale of Holdiko's 47.5 percent ownership in MK Tbk is
very encouraging, as the Company has received 11 strong
preliminary bids from local and international investors coming
from both the property and financial sectors. Due to the very
competitive prices of the preliminary bids, all 11 investors
have been invited to participate in the due diligence phase.

As a result of the large number of participants, IBRA/Holdiko
plan to carry out a third stage in the bidding process.

After the due diligence and the binding bid phases, IBRA/Holdiko
will select the three investors submitting the highest binding
bids. These three investors will be given the opportunity to go
to the next phase where they may resubmit a higher final binding
bid. IBRA/Holdiko will then select and announce the winning
bidder by end of June 2002.

PT Holdiko Perkasa's team was formed in the 2H of 1999 with the
objective of selling all of Holdiko's assets to fulfill its
obligations to Indonesia Bank Restructuring Agency (IBRA) by 4
November 2002, the date when the Salim Group's settlement
payment to IBRA is due.

IBRA/Holdiko's press release on MK Tbk's sale progress issued
Wednesday can be accessed at
http://www.holdiko.com/prdetails.php?id=76&lang=enfollowing
its previous press release on the launch of the sale process on
MK Tbk http://www.holdiko.com/prdetails.php?id=75&lang=en.


PERTAMINA TBK: Issues Tender to Sell Cinta Crude for June
---------------------------------------------------------
State oil company, Pertamina has issued an offer to sell Cinta
crude for lifting in June, Dow Jones Newswires reported
yesterday.

The tender offers 300,000 barrels of the medium, sweet crude for
June 22-29 lifting, traders said, and closes May 31. Bids will
remain valid for two days.

In April, Pertamina sold a total of 550,000 barrels of Cinta and
Minas crude for May.


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


AIOI INSURANCE: Stumbles on Overseas Reinsurance Claims
-------------------------------------------------------
Aioi Insurance Co suffered consolidated losses in the year ended
March 31 due largely to a 138.7 billion yen hit on overseas
reinsurance claims, including those related to the September 11
terrorist attacks in the United States.

The Tokyo-based property and casualty insurance company, created
through the merger of Chiyoda Fire & Marine Insurance Co and
Dai-Tokyo Fire & Marine Insurance Co, said the loss stems from
obligations linked to reinsurance contracts it concluded with
Fortress Re Inc.  Aioi added that an appraisal loss of 41
billion yen on sharply devalued assets also contributed to the
net loss.

For the current business year to March 31, 2003, Aioi projects
consolidated pretax and net profits of 29 billion and 11.5
billion yen, respectively, on group operating revenues of 1,100
billion yen.


FUJITSU LTD: Scraps Internet Business Tie-up Talks With Sony
------------------------------------------------------------
Fujitsu Ltd., Japan's biggest computer manufacturing company,
and Sony Corp. have agreed to discontinue negotiations for a
possible tie-up in the Internet business after the two firms
were unable to agree on deal terms, Kyodo News reported.

The envisioned joint-venture included Sony's acquisition of
Nifty Corp., Japan's top Internet service provider wholly owned
by Fujitsu, but the two companies decided to break off talks on
the collaboration as they remain far apart over the price of
Nifty.

In April, Tokyo-based Fujitsu projected it would break even on a
group net basis this business year after hefty restructuring
costs and the information technology slump pushed it into its
worst loss ever last year.

The Company reported a group net loss of 382.54 billion yen for
the year ending March 31 on heavy restructuring costs and money-
losing semiconductor and telecommunications-related operations.


HOKKAIDO INTERNATIONAL: ANA Mulls 20% Investment
------------------------------------------------
All Nippon Airways Co. Ltd. (ANA), Japan's second-largest
airline, is considering taking up to a 20 percent stake in
domestic carrier Hokkaido International Airlines Co to win a
code-share agreement from its lucrative route.

The Asahi Shimbun reported yesterday that ANA is continuing
talks with the struggling domestic airline known as Air Do, to
provide code-sharing service in the route in an attempt to gear
up for expected competition from Japan's No 1 carrier, Japan
Airlines Co. Ltd. and the country's third-ranked carrier, Japan
Air System Co. Ltd. in October.

The Troubled Company Reporter Asia Pacific earlier said that Air
Do might begin talks this week with Japan Airlines Co. on
expanding alliances to include fuel procurement and use of
airport counter space. Air Do believes that the expansion can
help increase the efficiency of its operations and speed up its
recovery through some financial assistance.

The Hokkaido prefectural government, which has given 3.8 billion
yen in aid to the airline, is pushing for a rebuilding effort
entailing ANA stepping in and buying a stake in Air Do.

Air Do is in arrears to the central government for airport
landing/take-off fees and other taxes for about 900 million yen.
The Company is likely to admit that its liabilities for the year
ended in March exceed its assets when it announces its financial
results in June. The airline has already received a total of 4.7
billion yen from Hokkaido municipalities and the local business
community since its financial trouble surfaced in late 2000.


NIPPON KAKOH: Enters Bankruptcy After Suffering JPY2B Loss
----------------------------------------------------------
The Tokyo District Court declared Nippon Kakoh Seishi Co
bankrupt following the midsize paper manufacturer's application
for voluntary bankruptcy on Wednesday, Kyodo News reported.

Nippon Kakoh Seishi, the Minato-ku, Tokyo-based maker of art and
coated paper used for brochures and books, has been hit hard by
falling demand and prices as well as a large valuation loss on
shareholdings.

It incurred a consolidated net loss of 2 billion yen in fiscal
2001 to March 31. The Company has remained in the red for five
years in a row.


OCHIAIRO: Historical Inn Seeks Court Protection
-----------------------------------------------
Ochiairo, one of Japan's historical inns frequented by famous
writers, sought protection from creditors at the Tokyo District
Court on Wednesday after years of sliding revenues, Japan Today
reported.

The inn, based in Amagi-Yugashima, Shizuoka Prefecture, is
designated an important cultural property by the government.

Ochiairo is burdened with 1 billion yen in liabilities, credit-
research agency Teikoku Databank said.


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


HYUNDAI MERCHANT: Set to Sell Car Shipping Unit for US$1.3B
-----------------------------------------------------------
Hyundai Merchant Marine (HMM), the shipping firm based in Seoul,
is set to sell off its ocean-going automobile transportation
operation to Europe's Wilhelmsen-Wallenius Lines (WWL)
consortium for of US$1.3 billion, the Digital Chosun reports.

The former Hyundai group shipping giant has been undergoing a
severe credit crunch recently, and the planned sales of the
operation are likely to help the shipping firm get out of its
liquidity shortage. According to the deal, which will be
concluded soon, HMM will be handing over its fleet of some 70
pure car carriers, including 20 rented ones, to the WWL.

The European consortium had demanded that the Korean automakers
grant an exclusive transportation-service contract to it as a
prerequisite to the deal, to which the Hyundai Motor group
agreed.

Officials of HMM's creditors also said that the HMM and the
consortium are likely to set up a new firm in Seoul that will
take over the operation. They said that Hyundai Motor would hold
a minimal 10 percent stake in the firm.

HMM has entered into special agreement for improvement of
financial structure with Korea Exchange Bank to resolve the
shortage of liquidity and repaid 821,888 million won of
borrowings by transferring future trade receivables and selling
investments and property, plant and equipment in January and
February, 2002.

As of March 31, 2002, Hyundai Merchant has current assets of
$1.2 billion against current liabilities of $2.3 billion.


KOREA ELECTRIC: Names JP Morgan as Financial Consultant
-------------------------------------------------------
Korea Electric Power Corp. (KEPCO) has chosen JP Morgan
Consortium as its financial consultant for the electric business
sales project, the Korea Herald reported. The consortium is  
made up of JP Morgan, UBS Warburg and Daewoo Securities.

The KEPCO-JP Morgan contract term will be for six months. Once
the decision to employ JP Morgan is finalized, KEPCO will begin
taking bids for one of its five affiliates that are planned for
privatization, the paper said.

KEPCO will soon begin the selection process for legal and
accounting consultants.

The state-run power company had attempted to sell 51 percent
stakes in two of its units last year as part of its
privatization plan, but failed due to a lack of bidders.

As of June 30 2001, Seoul's electric utility company has current
assets of $3.25 billion against current liabilities of $7.2
billion.


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


EMICO HOLDINGS: MITI Okays Debt Restructuring Plan
--------------------------------------------------
Emico Holdings Berhad is pleased to announce that the Ministry
of International Trade and Industry (MITI), on 24 April 2002,
approved the Company's proposed debt restructuring scheme, the
two-call rights issue, and the proposed employees share option
scheme, subject to approvals from the Foreign Investment
Committee and the Securities Commission.

However, the approval for the proposals was not made on the
basis of the revised proposed rights issue as announced on 28
February 2002, so approval clarification from the Ministry of
International Trade and Industry is being sought.

A further announcement will be made once clarification from MITI
is obtained.


MALAYSIAN AIRLINE: Looks for Opportunities to Boost Standing
------------------------------------------------------------
National carrier Malaysian Airline System Bhd (MAS) is looking
into various opportunities to enhance its position and to
contain its future losses, Bernama reported.

According to Managing Director Datuk Md Nor Yusof, MAS could
concentrate on enhancing its products offering by looking at
ways to mount additional frequencies to Frankfurt, Beijing,
Guangzhou, Saigon, Hanoi and Phnom Penh.

Md Nor said extra flights and additional capacity would also be
mounted to the Middle East especially during the summer
holidays.

The move comes after the state-controlled MAS incurred a pre-tax
loss of RM846.492 million in the financial year that ended March
31, 2002, compared with a loss of RM386.636 million in the
preceding year.

Md Nor Yusof said the loss was registered amid disrupted
operating environment, following the September 11 terrorist
attacks on the U.S.


MALAYSIAN AIRLINE: Posts Fifth Straight Year of Losses
------------------------------------------------------
Following the adoption of two new accounting standards, national
carrier Malaysian Airline System Bhd (MAS) posted full year net
losses of RM835.6 million ($220 million), double that of 2001
which is now restated as RM417.4 million on a 5.1 percent drop
in turnover to RM8.5 billion. The current figure is the
Company's fifth straight year of losses.

Under the new accounting policy, MAS recognized a net RM409.4
million in foreign exchange gains and provisions for aircraft
maintenance that arose during the year ended March 31, 2002. MAS
had dealt with the two items differently in previous years, but
will now recognize the items in the year that these accrue.

Earlier this year, the airline had reported RM1.1 billion net
losses for its first nine months, based on its old accounting
policy.

Its 2001 losses were further reduced after increased gains from
sales of aircraft and spares and an insurance claim on damaged
aircraft. Sales of aircraft and parts in 2001 totaled RM235.8
million, against RM21 million this year, while income recognized
from the insurance claim came up to RM223.2 million.

Meanwhile, the carrier has managed to raise RM1.5 billion from
the sale of properties that are part of the corporate
restructuring exercise announced in January. It has received
some advance payment from the sale for the first major debt
repayment on a 50 billion yen loan due on Thursday.


MALAYSIAN PLANTATIONS: Makes a Come-back With RM52.5M Profit
------------------------------------------------------------
Malaysian Plantations Bhd (MPlant) returned to profitability for
the year ended March 31, 2002 seeing a net profit of RM52.54
million, up from its net loss of RM13.78 million in the previous
corresponding period.

The Company also posted a higher turnover of RM1.20 billion, up
from RM583.34 million previously.

According to a report from the Edge Daily, the improvement in
the Company's results was mainly due to an enlarged business
base arising from the bank merger exercise, which was completed
in January 2001 and improved loan recoveries by its banking
units.


NALURI BERHAD: Chairman Tajudin Seeks Board Re-election
--------------------------------------------------------
In an announcement to the Kuala Lumpur Stock Exchange on May 29,
Naluri Bhd said its Chairman Tan Sri Tajudin Ramli and directors
Datuk Lim Kheng Yew and Datuk Lau Ngan Siew offered themselves
for re-election to the Company's Board during its annual general
meeting on June 20.

Tajudin lost control of Naluri last year after he failed to
repay RM1.4 billion in personal loans that had been mainly
secured by Naluri shares.

The shares, representing a 44.84 percent controlling block in
Naluri, were acquired by Pengurusan Danaharta Nasional Bhd.

Danaharta offered the block for sale in an open tender a
fortnight ago and last week accepted a bid from privately-held
Valiant Entity Sdn Bhd, which was the sole bidder for the
shares.

Tajudin recently lost a 13.15 percent controlling block of
shares in Technology Resources Industries Bhd (TRI), when
Danaharta sold it to Telekom Malaysia Bhd.


PLANTATION & DEVELOPMENT: Enters Into MoU With Everange
-------------------------------------------------------
Further to the announcement made on 2 May 2002, Arab-Malaysian
Merchant Bank Berhad, on behalf of Plantation & Development
(Malaysia) Berhad (P&D), told the Kuala Lumpur Stock Exchange
Wednesday that the Company entered into a May 29, 2002
Memorandum of Understanding (MOU) with Datin Yam Yuet Chew, Goh
Yaik Peah, Nawal Aeida Binti Asarudin, Chow Dai Chin, Mohamed
Nadzri bin Mohamed Jelas, Mai Farah Zaiti Bt. Meor Chek Hussien,
Meadow Dazzle Sdn Bhd and CCL Corporation Sdn Bhd (Vendors), who
are the registered and beneficial shareholders of Everange Sdn
Bhd.

Everange Sdn Bhd and/or its subsidiaries are the registered
owner of 1,692.97 acres of development land located in the Mukim
of Ijok, Daerah Kuala Selangor, Selangor Darul Ehsan. The MOU
sets forth the general understanding between P&D and the Vendors
to negotiate and to finalize the terms and conditions for
Everange Sdn Bhd to participate in the proposed debt and equity
restructuring scheme of P&D.


SASHIP HOLDINGS: Says No Material Evidence in Financial Reports
---------------------------------------------------------------
The Board of Directors of Saship Holdings Berhad (SHB), formerly
known as Westmont Industries Berhad, told the Kuala Lumpur Stock
Exchange Wednesday that there is no material difference between
the audited financial statements of the Company and the Group
and the unaudited results that was announced on 27 February
2002.

The net loss for the year ended 31 December 2001 was RM80.723
million as compared with the unaudited net loss of RM81.990
million which is a difference of only 1.5 percent. For the
audited financial statements for the year ended 31 December
2001, the auditors have qualified their report as follows:

During the year, the Group and the Company incurred a gross loss
of RM9,352,000 and RM1,810,000 respectively, which gives an
indication that an impairment loss of the Group's and the
Company's property, plant and equipment may have occurred.

During the year, the Company made an allowance for impairment
loss of RM1,658,000 on its leasehold buildings. However, the
Group and the Company did not make a formal estimate of the
recoverable amount of the remaining property, plant and
equipment.

Saship Holdings is unable to ascertain the reasonableness of the
carrying value of the Group's and the Company's property, plant
and equipment.

Contract work in progress of the Group at year-end includes
three power barges with a total cost of RM194.4 million. The
Directors have made full provision for the capitalized cost
incurred on two of the barges amounting to RM11.6 million. The
remaining carrying value of RM182.8 million relates to a
substantially completed barge.

An interim Court injunction was obtained by a third party
restraining the subsidiary from removing, disposing, selling
and/or dealing with certain equipment forming a substantial part
of the substantially completed barge.

In August 2000, an independent consulting engineering firm was
commissioned to undertake a financial audit on the power barges.
The evaluated cost of the power barges on the "as-built" basis,
taking into consideration the effects of certain risk factors
affecting the resale value, was assessed at RM129.0 million. No
provision for foreseeable loss is made in the financial
statements to reduce the carrying value of the power barges to
the evaluated cost as the Directors are of the opinion that the
financial audit does not constitute a valuation performed by
professional valuers. Had a provision for foreseeable loss been
made, the loss after taxation of the Group for the year ended 31
December 2000 would have been RM134.9 million and the deficit in
shareholders' funds at 31 December 2001 would have been RM540.4
million. The Company is unable to ascertain the reasonableness
of the carrying value of RM182.8 million relating to the third
barge.

Saship Holdings is uncertain of the full recovery of certain
trade debtors if the Group amounting to RM193.8 million at year
end, as a substantial amount of the proceeds on the barges sold
have not been received yet.

The Group is unable to exercise management control over Sabah
Shipyard Philippines, Inc. (incorporated in Philippines), Sabah
Shipyard Pakistan Ltd (incorporated in Pakistan) and Westmont
Power and Resources Corporation (incorporated in Philippines).
These companies were deconsolidated in previous years.

The Companies Act, 1965 requires the financial statements of the
subsidiaries to be annexed to this set of financial statements.
The requirement has not been met, as the financial statements of
the subsidiaries are not available.

Saship Holdings also said that a subsidiary defaulted on its
term loans repayment in previous years, rendering the full
amounts of these loans becoming immediately payable.

The Company, together with a subsidiary, filed in 1998 a Scheme
of Arrangement under Section 176 of the Companies Act 1965 to
reorganize the amount due to their debenture holders, partially
secured creditors and other unsecured creditors.

The Scheme of Arrangement was approved by the required number of
creditors on 10 August 1999 and the Securities Commission on 19
September 2000. The Proposed Scheme of Arrangement was also
approved by the members at the Extraordinary General Meeting of
the Company held on 16 October 2001. The Company is in the
process of obtaining all other relevant approvals/sanction from
the authorities to implement the Scheme of Arrangement.

No adjustments have been made in the financial statements to
reduce/increase the value of assets to their recoverable
amounts, to provide for any further liabilities which may arise
and to reclassify fixed and non-current assets and long term
liabilities as current assets and current liabilities
respectively, as it is the Group's and Company's intention to
continue their operations.

The ability of the Group and Company to operate as a going
concern is dependent upon future profitable operations, the
continuous financial support form their bankers and creditors
and successful implementation and conclusion of the Scheme of
Arrangement.

Without future profitable operations, the financial support of
their bankers and creditors and the successful implementation
and conclusion of the Scheme of Arrangement, there is
substantial doubt that the Group and the Company will be able to
continue as a going concern and, therefore, as appropriate
realize their assets and discharge their liabilities in the
normal course of business. Consequently, adjustments may be
required to the recoverability and classification of recorded
asset amounts and classification of liabilities.

The Company and its subsidiaries are engaged in various
litigations that may have a material effect on the financial
position of the Group and of the Company. Full provision has not
been made in the financial statements as the Directors contend
that the outcome of these litigations, which have been included
in the Scheme of Arrangement, are highly uncertain. The ability
of the Group and Company to operate as a going concern is also
dependent on the satisfactory resolution of these litigations.

In view of the significant effects of the above matters, Saship
Holdings is unable to form an opinion as to whether:

a) the financial statements are properly drawn up in accordance
with the provision of the Companies Act, 1965 and applicable
approved accounting standards in Malaysia so as to give a true
and fair view of:
i) the state of affairs of the Group and of the Company at 31
December 2001 and the results of their operations and cash flows
for the year ended on that date; and
ii) the matters required by Section 169 of the Companies Act,
1965 to be dealt with in the financial statements of the Group
and of the Company; and

b) the accounting records required by the Companies Act, 1965 to
be kept by the Company and the subsidiaries of which we have
acted as auditors have been properly kept in accordance with the
provisions of the said Act.

However, in Saship Holdings' opinion, the registers required by
the Companies Act, 1965 to be kept by the Company and its
subsidiaries of which they have acted as auditors have been
properly kept in accordance with provisions of the said Act.


STAR CRUISES: Shares Plunge After Stock Sale Plan Announcement
--------------------------------------------------------------
Shares of Star Cruises Ltd. fell as much as 11 percent after the
world's fourth-largest cruise line operator said it would raise
a net HK$603 million ($77 million) by selling 189 million new
shares to fund its fleet expansion.

According to a Bloomberg report, the Company's Hong Kong-traded
shares fell as much as 40 HK cents to HK$3.20. Its shares in
Singapore fell as much as 6.6 percent to S$42.5 cents after the
announcement.

The sale of Star Cruise's new shares at HK$3.30 apiece was an
8.3 percent discount to the closing share price of HK$3.60 on
Tuesday, the company said in a statement to the Hong Kong Stock
Exchange.

Star Cruises returned to profit in the first quarter, helped by
cost cuts and the addition of two ships. It expects an
improvement of its profit this year as economies rebound.

DBS Group Holding Ltd. is managing the share sale.


TECHNOLOGY RESOURCES: Chief Tajudin Disposes of 13% Stake
---------------------------------------------------------
Technology Resources Industries Bhd (TRI) Chairman and Chief
Executive Officer, Tan Sri Tajudin Ramli sold a 13.15 percent
stake in the company comprising 260.87 million shares on May 20,
the Edge Daily reported.

After the sale, his stake was reduced to 5.32 percent, or 105.67
million shares.

Telekom Malaysia Bhd, which holds a 31.25 percent stake in TRI,
wants the latter to hold an extraordinary general meeting to
remove Tajudin and three other directors.


TEXCHEM CONSUMERS: Selling 2M Shares in La Primavera
----------------------------------------------------
On May 29, Texchem Consumers Sdn. Bhd. (TCSB), a wholly owned
subsidiary of Texchem Resources Bhd. (TRB) had entered into a
conditional Share Sale Agreement (SSA) with Texchem Corporation
Sdn. Bhd. (Texcorp) having its registered office at Level 16,
Menara PSCI, 39 Jalan Sultan Ahmad Shah, 10050 Penang to dispose
2,000,000 ordinary shares of RM1.00 each in La Primavera Sdn.
Bhd. for a total cash consideration of RM2,000,000.

The salient features of the SSA are as follows:

1. Completion

The completion of the SSA shall be:
(a) Upon payment of the consideration in full to TCSB which is
within 6 months from the date of the SSA or such other
date as may be agreed upon between the parties; or
(b) 1 month after the date upon which all the conditions as set
out in last paragraph of this announcement have been satisfied
and/or waived; whichever is later.

2. Payment terms

The purchase consideration of RM2,000,000 shall be paid upon the
Completion Date.

3. The LP Shares will be acquired free from all liens, charges
and encumbrances with full legal and beneficial title
with effect from the Completion Date.

The cost of investment of TCSB in LP in February 1999 was
RM2,000,000.00.

LP, involved in the retailing of shoes, was incorporated in
Malaysia under the Companies Act, 1965 on 6 September 1975. It
has an authorized share capital of RM25,000,000 comprising
25,000,000 ordinary shares of RM1.00 each and an issued and
paid-up share capital of RM12,000,000 comprising 12,000,000
ordinary shares of RM1.00 each.

Texcorp was incorporated in Malaysia under the Companies Act,
1965 on 26 June 1980. It has an authorized share capital of
RM50,000,000 comprising 45,000,000 ordinary shares of RM1.00
each and 5,000,000 6.5 percent non-convertible redeemable
preference shares of RM1.00 each and an issued and paid-up share
capital of RM20,400,000 comprising 20,400,000 ordinary shares of
RM1.00 each.

Texcorp is involved in the provision of management services for
the Texchem Group (i.e. TRB and its associated and subsidiary
companies), investment holding and new business developments.

Consideration

The sale consideration for the LP Shares is RM2,000,000.00 which
will be fully satisfied by cash.

Rationale

As LP had not been able to recover from its financial and
operational difficulties, the Proposed Disposal was made to
enable TRB Group to improve its financial performance. As the
investment will be disposed of at cost, the past equity
accounted share of losses of LP by TRB Group amounting to about
RM730,000 as at 31 December 2001 would be written back, thus
giving a positive financial effect to TRB's consolidated group
results for 2002.

Utilization of sale proceeds

The sale proceeds will be utilized by TCSB for its trading
activities through the injection of such funds generated from
the disposal. This will enable TCSB to further enlarge and
strengthen its operation and distribution network, which is
essential for long term improvement in profitability and growth.

Financial Effects

1. Share Capital

The Proposed Disposal will not have any effect on the share
capital of TRB as the Proposed Disposal will be fully satisfied
by cash.

2. Earnings

The Proposed Disposal will not have a significant effect on the
earnings for the financial year ending December 31 2002 for the
TRB Group.

3. NTA

The Proposed Disposal will not have a significant effect on the
NTA as at December 31 2001.

4. Substantial shareholder

The Proposed Disposal will not have any impact on the
shareholdings of the substantial shareholders of TRB as the
Proposed Disposal will be fully satisfied by cash.

Statement by Directors

The Board of Directors is of the opinion that the Proposed
Disposal is in the best interest of TRB.

Directors' and Substantial Shareholders' Interest

Dato' Seri Fumihiko Konishi (DFSK) is a common director and
deemed substantial shareholder of TRB, Texcorp, LP and
TCSB.

Mr Yasuhiro Nishida is a common director of TRB, Texcorp, LP and
TCSB and also a shareholder of TRB.

Mr Hans Peter Eichenberger is a common director of LP and TCSB.

Mr Jeffrey Lee Siew Khee is a director of TRB.

Mr Mark Kim Lin Khon is a director and shareholder of TRB.

Texchem Holdings Sdn. Bhd. (THSB) and Texcorp are companies
related to DFSK and are also substantial shareholders of TRB.

THSB is also a substantial shareholder of Texcorp.

Datin Seri Atsuko Konishi, an alternate director of Texcorp and
a director of THSB, is the wife of DFSK and she is also a
shareholder of TRB and Texcorp.

Mrs Mari Nakamura and Ms Mika Konishi, the daughters of DFSK,
are also shareholders of TRB and Texcorp.

Save for the above, none of the other Directors and substantial
shareholders of TRB or any person connected to the Directors of
substantial shareholders of TRB have any interest, direct or
indirect in the Proposed Disposal.

Documents for inspection

The SSA can be inspected at the Registered Office of TRB at
Level 16, Menara PSCI, 39 Jalan Sultan Ahmad Shah, 10050 Penang
from Mondays to Fridays (except public holidays) during business
hours for a period of two weeks.

Approvals Required

The Proposed Disposal is subject to the following approvals:

(a) Foreign Investment Committee;

(b) TRB shareholders at an Extraordinary General Meeting to be
held; and

(c) Texcorp shareholders at an Extraordinary General Meeting to
be held.


TIME DOTCOM: Omar Retires as Director
-------------------------------------
TIME dotCom Berhad told the Kuala Lumpur Stock Exchange
Wednesday that Encik Abdul Wahid Omar retired as Director at the
Fifth Annual General Meeting of the Company held on 24 May 2002
according to the Articles of Association.

The Company added the director has not sought re-election.


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


METRO PACIFIC: Mum on Sale Rumors
---------------------------------
Metro Pacific Corp., a Manila-listed property developer, has
remained tight-lipped concerning market rumors that parent First
Pacific Co. Ltd. had offered the Company to businessman John
Gokongwei Jr, majority owner of JG Summit Holdings, Manila
Bulletin reported.

"We decline to comment on the rumor," a Metro Pacific spokesman
said.

Dealers in the market said earlier speculation was rife that
First Pacific had offered Metro Pacific to Gokongwei, who had
refused to consider the offer unless First Pacific-led
Philippine Long Distance Telephone Co. was included in the
package.

PLDT and First Pacific officials were likewise unavailable to
comment.

Metro Pacific Corp., 80.6 percent-owned by First Pacific Co.,
reported last week a net loss to 521.35 million pesos for the
year ended March 2002, up 2.2 times from 162 million pesos a
year earlier.

The Company is currently engaged in a comprehensive debt
reduction exercise, including the restructuring of certain
business operations, to further improve its prospects in the
marketplace.

Metro Pacific has debt worth 12 billion pesos, 7 billion pesos
of which consist of local debts. The remainder is debts to Hong
Kong-based parent firm.


NATIONAL POWER: Agrees With Salcon on Revised Power Deal
--------------------------------------------------------
National Power Corp. (Napocor), saddled with $7 billion in debt,
have agreed to amend with Salcon Power Corp. their 15-year
rehabilitate-operate-maintain-and-manage (ROMM) agreement on the
Naga power plant complex in Cebu province to allow certain
reimbursements to Salcon Power.

In a disclosure to the Philippine Stock Exchange Wednesday,
Salcon Power Senior Vice with Napocor the first amendment to the
ROMM agreement of 1994, bringing to a close several years of
discussion between the parties on how certain provisions of the
ROMM agreement should be interpreted and applied.

"It also resolves and paves the way for the early settlement of
long-standing claims that the parties have against each other.
The amounts of these claims are presently being finalized by the
parties," Ballesteros added.

Under the ROMM deal, Salcon Power's billings to Napocor are
fixed up to 2009, representing fees for generating and
delivering electricity exclusively to Napocor through the Naga
power plant complex. Napocor's purchase of power from the
facility is guaranteed on a take-or-pay arrangement, based on an
energy minimum off-take specified in the ROMM agreement.


PHILIPPINE AIRLINES: Gov't May Regain Control of Flag Carrier
-------------------------------------------------------------
The government is considering retaking a controlling stake in
flag carrier Philippine Airlines Inc., currently majority owned
by tycoon Lucio Tan, Dow Jones Newswires reports.

President Gloria Macapagal Arroyo said Thursday that the move
would help the government liberalize the airline industry and
promote tourism.

Arroyo's plan suggests the government is willing to absorb
losses from its flag carrier in the pursuit of achieving
economic gains in tourism and other sectors.

Philippine Airlines expects a loss of 1.6 billion in its fiscal
year to March 31, 2002 due to the impact on the international
travel business from the September 11 terrorist attacks on the
U.S.


PHILIPPINE LONG: Expects PhP60M Earnings From Net Service
---------------------------------------------------------
Philippine Long Distance Telephone Co. (PLDT), the country's
telecommunications giant, is projecting to earn net revenues of
60 million pesos (US$1.20 million) within the year of operations
of its PLDT Vibe dial-up Internet service, BusinessWorld
reports.

PLDT National Retail Marketing Sector head Joaquin L. San
Agustin said the new product would create new revenues for the
company. PLDT aims to control 60 percent of the entire Internet
broadband and narrowband markets.

PLDT Vibe has now been activated to all postpaid residential
landline subscribers of PLDT. As of the first quarter of the
year, PLDT's subscribers totaled 2.1 million, 1.5 million of
which is residential landlines.

The dial-up Internet service is also available in the prepaid
variant through the Vibe prepaid Internet cards.


PHILIPPINE LONG: Stocks Surge on Sellout Rumor
----------------------------------------------
Shares of Philippine Long Distance Telephone Co. (PLDT) rose by
5 pesos to close at 435 pesos on a volume of 190,590 shares
Wednesday on the Philippine Stock Exchange on reports that Hong
Kong-based First Pacific Co. Ltd. might sell its controlling 17
percent stake in PLDT to Digital Telecommunications Inc, the
Philippine Daily Inquirer reports.

Market analysts believed that the cash-rich group of tycoon John
Gokongwei, which was expanding in the telecommunications
business, would be willing to buy out First Pacific.

Digitel earlier launched a takeover bid for Eastern
Telecommunications Philippines Inc. to expand its fixed line
business. It was also rumored to be interested in buying PLDT's
mobile phone unit Pilipino Telephone Corp., which underwent a
comprehensive rehabilitation, but the Gokongweis denied this.

Officials of PLDT and Digitel were not available for comment
Wednesday.


PILIPINO TELEPHONE: Digitel Denies Piltel Stake Purchase Rumors
---------------------------------------------------------------
Digital Telecommunications Philippines Inc has rejected market
whispers that it is seeking to acquire Philippine Long Distance
Telephone Co's stake in Pilipino Telephone Corp (PilTel).

"That's not true. That's purely rumor," William Pamintuan,
Digitel's senior vice president for legal and intercarrier
services told AFX-ASIA.

Earlier, a spokesman from Digitel parent, JG Summit, declined to
comment on the market speculation.

Earlier this month, PilTel said it has decreased its net loss
for the three months to March to 868.9 million pesos from the
year earlier loss of 1.362 billion pesos.

Piltel President, Napoleon Nazareno said the Company was able to
cut expenses with the debt restructuring deal signed last year.


PRESTO-TIVOLI: Universal Robina Closing Down Ice Cream Unit
-----------------------------------------------------------
Universal Robina Corp. (URC) will close down its cream unit
Presto-Tivoli in June after being in the red the past five to
six years amid tough competition, the Philippine Daily Inquirer
reports.

"We can't afford to continue losing money," URC president Lance
Gokongwei said.

He did not say how much loss the unit incurred.

URC has advised its distributors and retailers that it would
discontinue ice cream production and focus on its profitable
branded food products.




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


SEMBCORP LOGISTICS: Denies Ties With Dilmun Bahrain
---------------------------------------------------
SembCorp Logistics Ltd., Singapore's largest logistics company,
said Thursday that its Dilmun Navigation Group of companies has
no links to the reportedly financially troubled Dilmun Shipping
Ltd.

"SembCorp Logistics wishes to clarify that Bahrain-based Dilmun
Shipping Ltd., which was reportedly to be in financial
difficulty, is not related to the Dilmun Navigation Group of
Companies which are owned by SembCorp Logistics," the company
said.

SembCorp Logistics Limited - http://www.semblog.com/- provides  
marine salvage, offshore supply base services, passenger ferry
services, tug services for berthing and docking of ships, ocean
towage, marine transportation and integrated logistics services.


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


ITALIAN-THAI: 50M Share Offer Fully Subscribed
----------------------------------------------
Italian-Thai Development Plc told the Stock Exchange of Thailand
that its offer of 50 million shares at 10 baht apiece to its
existing shareholders has been fully subscribed.

It said local retail shareholders subscribed for 46.11 million
shares, while institutional shareholders took up 2.08 million
shares. Foreign institutional shareholders subscribed for 1.75
million shares and foreign retail shareholders subscribed for
52,300 shares.


ITALIAN-THAI: Sells 50M Shares Via Rights Issue
-----------------------------------------------
Italian-Thai Development PCL, Thailand's largest construction
company, has sold all 50 million shares at 10 baht via a right
issue. The move is a part of the Company's debt-restructuring
plan to increase its registered capital by THB1.73 billion by
issuing 173 million shares at THB10 a piece, bringing total
capital to THB4.23 billion.

The 50 million new shares were allotted to existing shareholders
under the ratio of five existing shares to one new share from
May 10 to 16. The remaining 123 million shares will be issued to
creditors as part of a debt-to-equity conversion at an offer
price of not less than THB10 each.

Under the debt plan, Italian-Thai will set aside THB1.9 billion
to buy back debt from its creditors at a discount of at least 65
percent. The THB12.81 billion in debt to be restructured will
then be reduced to an estimated THB2 billion, which has to be
repaid in six years.


ITALIAN-THAI: Gets a "Buy" Rating on Earnings Improvement
---------------------------------------------------------
KGI Securities (Thailand) Plc is recommending a "buy" on
Italian-Thai Development as the investment holding company is
expected to report a significant improvement in its second
quarter earnings, AFX Asia reports.

"It's backlog (of orders) of 50 billion baht is enough to
generate more than three years of healthy income, suggesting
that it is well fortified against any downturn," it said.

Italian-Thai's second quarter financial statements will improve
significantly as it will book a gain of between 5.2 billion baht
and 9.3 billion baht as a result of its debt restructuring, it
said.

Italian-Thai Development has performed beyond the earlier target
price, rising on speculative interest ahead of the conclusion of
the company's debt-to-equity restructuring on June 10.


TPI POLENE: Creditors Agree on Siam City Cement Deal
----------------------------------------------------
The creditors of TPI Polene Plc has agreed in principal with
Siam City Cement Plc's proposal to subscribe to TPI Polene
shares, AFX Asia reported.

Siam City Cement, 32 percent held by Holcim AG, on February 25
signed a share subscription agreement with TPI Polene to
subscribe to 1.7 billion shares as part of a takeover of the
company.

The subscription agreement expired on May 25.

Creditors, TPI Polene and Siam City Cement are now working on
details of the contract as the agreement has been agreed in
principal.




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

Troubled Company Reporter -- Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Trenton, NJ
USA, and Beard Group, Inc., Washington, DC USA. Lyndsey Resnick,
Maria Vyrna Nineza-Merlin, Maria Cristina Pernites-Lao, Editors.

Copyright 2002.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
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