/raid1/www/Hosts/bankrupt/TCRAP_Public/020904.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
Wednesday, September 04, 2002, Vol. 5, No. 175
Headlines
A U S T R A L I A
ANACONDA NICKEL: Forbearance Agreement Extended to September 15
AUSDOC GROUP: Directors Accept ABN Capitals Offer
AUSDOC GROUP: Executes Binding Agreement With Macquarie Goodman
AUSTRALIAN MAGNESIUM: Incurs $14.9M Net Loss
COOGI GROUP: Director Offers Enforceable Undertaking
DIGITAL NOW: Updates Reorganization Plan Status
PASMINCO LIMITED: Posts Administrators' Report
PASMINCO LIMITED: Creditors Approve Restructuring
C H I N A & H O N G K O N G
CENTRILINE ASIA: Winding Up Sought by Asian Creator
CMM HOLDINGS: Winding Up Petition Set for Hearing
FUJIAN JIUZHOU: Faces Delisting Over Losses
JCOF (HK): Faces Winding Up Petition
PCCW LIMITED: Rights Issue Rumor Untrue
PROSPEROUS TRADE: Petition to Wind Up Pending
WING FU: Winding Up Petition Slated for Hearing
I N D O N E S I A
ARIAWEST INTERNATIONAL: Creditors Junk Debt Trimming Proposal
ARIAWEST INTERNATIONAL: Telkom Fails Buy-Out Plan Completion
BENTALA KARTIKA: IBRA Reminds UA to Fulfill Mature Obligations
J A P A N
DAIEI INC.: Sales Creep Up Slightly
MITSUBISHI HEAVY: Launches Marketing Division in US Unit
MITSUBISHI SECURITIES: S&P Assigns BBB Rating, Outlook Negative
NIPPON MEAT: Ministry Allows Beef Business Resumption
TAISEI FIRE: JCR Downgrades Rating to D
K O R E A
DAEWOO MOTOR: Signs Deal With GM Korea
DAEWOO MOTOR: Sales Down 42% in August
HYNIX SEMICONDUCTOR: KEB Not Pressured by Government on Sale
HYUNDAI HEAVY: Delivers LNG to Nigeria
KOREA ELECTRIC: Proposes US$650-660M Five-Year Bond Deal
KUMHO GROUP: Appoints Park Sam-koo as New Head
M A L A Y S I A
AOKAM PERDANA: Seeks December Requisite Announcement Extension
AUSTRAL AMALGAMATED: Notifies SC on Scheme Modifications
BRIDGECON HOLDINGS: Revises Restructuring Agreement
EPE POWER: Further Defaults Monthly Interest Payment
FW INDUSTRIES: Business Disposal Talks to End by Month End
GULA PERAK: September 25 AGM Scheduled
HAI MING: Updates Proposed Restructuring Exercise Status
KELANAMAS INDUSTRIES: Submits Proposed Restructuring to SC
KUALA LUMPUR: Annual Audited Accounts Submission Extended
LION CORPORATION: Proposed GWRS Underway
NCK CORPORATION: Defaulted Payment Stands RM609,768,419
SATERAS RESOURCES: Seeks New Restructuring Plan Adviser
SCK GROUP: In Financial Regularization Talks With Lenders
SPORTMA CORPORATION: Proposed Modifications Approvals Pending
TONGKAH HOLDINGS: In Rescue Scheme Negotiations With Creditors
TONGKAH HOLDINGS: Unable to Meet Redemption of Bonds B
UCP RESOURCES: Provides Defaulted Payment Status Update
UNITED CHEMICAL: Proposed Restructuring Scheme in Progress
WEMBLEY INDUSTRIES: Finalizes Proposed Debt Restructuring Docs
P H I L I P P I N E S
CONCRETE AGGREGATES: Board Accepts Director's Resignation
NATIONAL POWER: Government Favors PT Assets Lease Over Sale
S I N G A P O R E
ASIA PULP: Makes $60M Initial Debt Payment
BOUSTEAD SINGAPORE: Appoints New Member to the Audit Committee
CHARTERED SEMICONDUCTOR: Ratings Unaffected by Rights Issue
MFG INTEGRATION: Posts Interim Loss of $2.5M
PRESSCRETE HOLDINGS: Narrows Net Loss to S$1.302M
ST ASSEMBLY: Responds to SGX Queries
TELEDATA LTD: Completes Shares Disposal, Repaying Bonds
UNITED OVERSEAS: Voluntarily Winding Up Units
T H A I L A N D
COUNTRY (THAILAND): Files Business Reorganization Petition
SIAM SYNTECH: Financial Statement Submission Delayed
THAI MODERN: OSPP Gets Bt136,017.97 Outstanding Entitlement
THAI PETROCHEMICAL: Committee Member Dr. Sippanondha Resigns
- - - - - - - -
=================
A U S T R A L I A
=================
ANACONDA NICKEL: Forbearance Agreement Extended to September 15
---------------------------------------------------------------
The senior management and advisors of Anaconda Nickel Ltd are
continuing negotiations with representatives of the secured
creditors of Murrin Murrin Holdings Pty Ltd (MMH), an indirectly
wholly owned subsidiary of Anaconda Nickel Ltd, to progress the
restructuring of the MMH debt and the re-capitalization of the
Group.
Because of the complexity of these restructuring discussions and
in order to achieve the remaining agreements, the Company has
reached agreement with US bondholders to extend the existing
forbearance agreement until 15 September 2002. Two of the
Company's secured foreign exchange counterparties have formally
agreed to a similar forbearance extension and the Company's
remaining secured foreign exchange counterparty has provided
verbal confirmation that this extension will be acceptable.
AUSDOC GROUP: Directors Accept ABN Capitals Offer
-------------------------------------------------
AUSDOC Group Limited announced Tuesday that all AUSD0C
Directors and their associates, collectively holding
approximately 15% of AUSDOC shares, have now accepted the
takeover offer by ABN AMRO Capital Australia Pty Ltd (ARN AMRO
Capital). This follows the waiver of key offer conditions by ABN
AMRO Capital.
ABN AMRO Capital has received a strong response to its offer for
AUSDOC shares. To date, more than 80% of AUSDOC shareholders
have accepted the offer. After taking into account acceptances
received from the AUSDOC Directors and their associates, ABN
AMRO Capital will hold acceptances in excess of 46% of AUSDOC
shares.
The offer period is currently scheduled to close at 7.00pm
(Melbourne time) on 20 September 2002, unless extended.
AUSDOC Chairman, Michael Butler said "the Directors' acceptance
of the offer and the removal of key offer conditions are
important steps in completing the takeover of AUSDOC.AUSDOC
Directors unanimously recommend that shareholders accept the
offer, which is scheduled to close on 20 September 2002, in the
absence of a higher offer. We are not aware of any party
intending to make a higher offer."
AUSDOC GROUP: Executes Binding Agreement With Macquarie Goodman
---------------------------------------------------------------
AUSDOC Group Limited said Tuesday that it had executed a binding
agreement with Macquarie Goodman under which a warehouse storage
facility will be constructed at Moorebank in New South Wales and
leased to AUSDOC Information Management (AIM) for a period of at
least 15 years. AIM will consolidate a number of existing Sydney
warehouse facilities at the new Moorebank site, expected to be
operational by October 2003.
OFFER CONDITIONS
Execution of a binding agreement in respect of the Moorebank
property is a condition of ABN AMRO Capital's offer. ABN AMRO
Capital has confirmed that this condition has now been waived.
In addition, ABN AMRO Capital has waived the condition that all
requisite regulatory approvals are received by the end of the
offer period.
Accordingly, the only outstanding offer Conditions are that:
* ABN AMR0 Capital acquires a relevant interest in at least
90% (by number) of AUSDOC shares; and
* there are no prescribed occurrences as set out in ABN AMRO
Capital's Bidder's Statement.
Provided there have been no prescribed occurrences, ABN AMRO
Capital has agreed to waive this condition if it receives
acceptances for 90% of AUSDOC shares prior to the last 7 days of
the offer period.
AUSTRALIAN MAGNESIUM: Incurs $14.9M Net Loss
--------------------------------------------
Australian Magnesium Corporation Limited released on Thursday
its preliminary financial results for the year to 30 June 2002.
The consolidated operating result for the year was a loss of
$14.9 million including a $5.6 million writedown provision in
the Flamemag joint venture investment. The underlying operating
loss of $9.3 million is a 45% improvement on last year's
operating loss of $16.9 million and is comparable to the 2001
Prospectus projection of an $8.5 million loss.
The key highlights for the year were the successful completion
of an equity fundraising program for the Stanwell Magnesium
Project and the commencement of project development activities.
At AMC's wholly owned subsidiary, Queensland Magnesia (QMAG), a
strong operating program was maintained with near record
production and sales. QMAG's financial performance also
benefited from a reduction in unit production costs.
YEAR IN REVIEW - FINANCIAL PERFORMANCE, CASH FLOW & FINANCIAL
POSITION
Financial Performance: Group sales revenue for the year
increased by 6.4 per cent to $77.4 million with QMAG sales
volumes of deadburned magnesia and magnesite both up by over 10
per cent. Price increases were achieved during the year for all
QMAG magnesia grades and the cash unit cost of production of all
products decreased. This improved performance resulted in QMAG's
EBITDA increasing from $2.7 million last year to $7.3 million
this year.
The consolidated operating result for the year was a loss of
$14.9 million including a $5.6 million writedown provision in
the Flamemag joint venture investment. This provision has been
made despite the recent completion of a positive feasibility
study on the viability of the Flamemag Project because of the
Group's decision to focus all resources on the magnesium metal
and magnesia businesses over the next few years. The Group
continues to believe that the longer-term prospects for a flame
retardant magnesium hydroxide business remain positive.
The underlying operating loss of $9.3 million is a 45%
improvement on last year's operating loss of $16.9 million and
also includes an expense of $2.1 million associated with the
International Institutional Offering ultimately withdrawn in
July 2001. Interest revenue increased significantly during the
year due to the receipt of the funds from the first installment
of the Distribution Entitled Securities. Borrowing costs also
increased during the year due to the Queensland Magnesia
financial restructure which increased the debt facilities and
closed out significant foreign exchange contracts.
Cash Flow: At 30 June 2002, the Company had a cash balance of
$184.4 million. This was a $172.9 million net increase over the
year. Apart from the on-going operational cash flows associated
with the Company, the major cash flows during the year were due
to: Net proceeds of $301.6 million from the first installment of
the Distribution Entitled Securities; Funds received of $33.4
million from the restructure of the QMAG debt facilities; Funds
applied of $52.7 million to the restructure of the QMAG foreign
exchange hedge book; Funds received of $32.8 million under the
CSIRO Research Agreement; and expenditure on the Stanwell
Magnesium Project of $133.7 million.
Financial Position: Total assets increased by $319.6 million in
the year to 30 June 2002. The movement is primarily due to the
increase in the cash balance of $172.9 million, the capital
expenditure associated with the Stanwell Magnesium Project (net
of the CSIRO Research Agreement funding), and the increase in
deferred foreign exchange hedge losses of $19.6 million. Total
liabilities increased by $115.8 million in the year to 30 June
2002. The movement is primarily due to the Loan Note liabilities
issued with the Distribution Entitled Securities ($96.4 million)
and the increase in the Queensland Magnesia debt facilities
($32.3 million) less the decrease in the provision for foreign
exchange hedge losses ($23.9 million). A total of $228.7 million
in equity was issued during the year, most of which was
associated with the issue of the Distribution Entitled
Securities in November 2001.
YEAR IN REVIEW STANWELL MAGNESIUM PROJECT
AMC invested $133.7 million in Stanwell Magnesium Project
activities during 2001-02. This reflects a combination of
investments including the operation of the Gladstone
Demonstration Plant, some costs associated with AMC's equity
fund raising initiatives, and direct project engineering and
construction activities since the completion of the November
2001 equity raising which marked the formal commencement of
project development activities.
Engineering on all major aspects of the Stanwell Magnesium
Project has been underway since February. In May, AMC announced
Leighton Contractors Pty Ltd would work as Principal Contractor
on the project. More than 400 specialist engineers, sub-
contractors and project team members now work on the Project in
Brisbane, Melbourne and Montreal.
AMC and Leighton have identified and awarded a number of
construction packages. Procurement has commenced and, at the end
of FY02, around 30 per cent of capital equipment has either been
committed or evaluated. In June, Leighton commenced site
earthworks in preparation for construction activity in November.
The first magnesium metal from the plant is scheduled for the
December quarter 2004. Commissioning and operations planning is
proceeding, and AMC's sales and marketing teams were
strengthened during the year with key appointments in Europe and
North America.
YEAR IN REVIEW QUEENSLAND MAGNESIA
Kunwarara: The Kunwarara magnesite mine operated at record
levels to meet continued strong market demand for both magnesite
and magnesia. Beneficiated magnesite production was a record
601,200 tonnes, up 38 per cent, on the previous year. Mining
activity was exclusively focused on the KG2 mine lease.
Increased production reflected continued strong demand for
magnesite feed at QMAG's Parkhurst processing plant, a build up
of stocks to service a large export contract and preparations
for the commencement of operations at the Stanwell Magnesium
Plant in 2004.
Exploration activity increased significantly during the year
with the commencement of drilling programmers at KG2 West and
Oldman South. Significant additions to proved reserves are
anticipated over the coming year.
Parkhurst Production: Magnesia production at Parkhurst of
186,700 tonnes for 2001-2 was just 900 tonnes below the previous
year's record. Parkhurst continues to run well above rated full
capacity levels. An optimization plan and plant modifications
will be undertaken in 2002-3 with the goal of achieving
production rates in excess of 200,000 tonnes per annum of
magnesia products (calcined, deadburned and electrofused
magnesia).
Marketing and Sales: Magnesia sales were at record levels for
the third successive year. Sales for the year increased 7 per
cent to 195,200 tonnes. Deadburned and electrofused magnesia
sales were up a combined 10 per cent despite a mid year slowdown
in the US economy and strong competition from Chinese
electrofused magnesia producers. Increased competition and
weaker USA demand resulted in lower prices being negotiated for
the 2002 calendar year. Activity in the US steel and refractory
industries began to pick up quite strongly towards the end of
the financial year.
Calcined magnesia sales were at record levels for the fifth
successive year, up 1 per cent to 56,300 tonnes and would have
been higher but for plant capacity constraints. Further
potential growth remains in the calcined magnesia markets and
any further increase in plant capacity will be diverted to these
markets.
A research and pro duct development department was established
during the year to focus technical research and support services
towards further growing QMAG revenues and margins. This
initiative has had an immediate impact, with two new fused
magnesia products and one new calcined magnesia product
successfully launched on a commercial basis. Further new
products are in the pipeline.
YEAR IN REVIEW GROUP HEALTH AND SAFETY
During the year a major emphasis was placed on improving
workplace safety across the group. The Gladstone magnesium
demonstration plant achieved a lost time injury free year and
has now not incurred a lost time injury for more than 3 years.
QMAG's safety performance improved significantly with the lost
time injury frequency rate (LTIFR) reduced from 18.7 to 3.0.
QMAG's improvement resulted from concerted line management
commitment with a separate QMAG safety department created and a
new three-year plan established.
COOGI GROUP: Director Offers Enforceable Undertaking
----------------------------------------------------
The Australian Securities and Investments Commission (ASIC)
accepted on Monday an enforceable undertaking from Mr Carlo
Jacky Taranto, the sole director of the Coogi Group, and
companies associated with Mr Taranto: Yarraview Pty Ltd, Shalini
Pty Ltd, Hoaden Pty Ltd and Adasam Nominees Pty Ltd (Taranto
Companies).
Mr Taranto and the Taranto Companies (where relevant), have
agreed to pay a proportion of the sale proceeds of a property
owned by a Taranto company into a solicitors' trust account.
ASIC accepted the undertaking to preserve the proceeds of the
property:
* pending further investigation by ASIC; and
* for the benefit of creditors of the Coogi Group in the
event creditors resolve to accept a deed of company arrangement.
The meeting of creditors is scheduled to take place on 1 October
2002.
In the period 3-5 July 2002, joint and several administrators
were appointed to Coogi Nominees Pty Ltd, Coogi Holdings Pty
Ltd, CA Manufacturing Pty Ltd, Coogi Australia Pty Ltd, Coogi
Australia Retail Pty Ltd, Coogi IP Pty Ltd and Coogi Connections
Pty Ltd (Coogi Group).
DIGITAL NOW: Updates Reorganization Plan Status
-----------------------------------------------
The US Bankruptcy Court confirmed on 19 August 2002 Digital Now
Inc's Plan of Reorganization. Upon entry of the Court Order
confirming acceptance of the Plan by creditors, expected to
occur at the end of August 2002, the Company will exit
Chapter 11 bankruptcy.
This represents a significant outcome for all stakeholders in
the Company. It is planned that creditors will achieve a return
of at least 30% of creditors' claims. Importantly the Plan
incorporates the flexibility of a structured payment schedule
that provides scope for the Company to continue its restructure
and maximize the returns to all stakeholders.
This result also marks a significant achievement for the current
Board, a result not contemplated by the previous Board or
management when the Company filed for bankruptcy on 5 October
2001. With the exception of Gary Mueller, who has remained on
the Board throughout the Chapter 11 process, all members of the
previous Board either did not exercise their right as creditors
to vote for the plan or, in the case of Abe Obstrovsky, voted
against the plan. The Board was disappointed that the only
individual to vote against the plan was the former Chairman of
the Company, Mr Abe Ostrovsky.
A critical element of the Plan has been the reinstatement of the
Company's equity holders. While there may be a dilution of their
equity interest as part of the Board's extensive restructure, it
is an excellent result for shareholders and maintains their
exposure to a rapidly evolving segment of the photofinishing
market. The reinstatement of shareholders' interests secures the
Company's future as a listed entity with the potential to seek
additional capital.
The Company has devoted the bulk of its limited resources over
the past several months to product development and enhancement
in preparation for the industry's major conference, Photokina,
held every other year and scheduled for September 2002 in
Cologne, Germany. The Digital Now exhibit will be located at
Hall 9.2 Stand No 039.
Photokina showcases the latest developments in the broader
photofinishing industry and the Company will take this
opportunity to unveil several new product initiatives. These
initiatives represent innovative as well as enhanced hardware,
firmware and software options for the Company's customers. It is
expected that these products will drive customer demand and
provide a stable platform for the Company's repositioning in the
global marketplace.
The Board pays special mention to the commitment of the European
employees including Mr Giovanni Morini and Mr Chris Blass the
managing directors of the Company's Italian and Swiss operations
respectively. The loyalty of the Italian and Swiss teams, both
to the Company and its customers, was a critical factor in
successfully emerging from Chapter 11.
HISTORY
The Company was founded in November 1996, incorporated in
Delaware and initially funded by IXLA Ltd, an Australian public
company (trades as IXL). It went public though an IPO (raising
approximately USD22.6 million) on the Australian Stock Exchange
(ASX) on March 9, 2000 and its shares trade on the Australian
Stock Exchange under the symbol DNI. The Debtor's shares were
not registered under the United States Securities Act of 1933,
as amended, (Securities Act) and were listed on the ASX pursuant
to Regulation S of the Securities Act.
The IPO allowed the Company to make several business
acquisitions and transformed it into an international business,
supplying both high speed central film processing laboratories
and retail outlet photofinishers with specialized scanning
equipment and production software. For the past two years Europe
has been its largest market.
The Company offers a range of solutions to the photo finishing
industry based on its Digital Photo Factory (DPF) workflow and
image management Software suite. In conjunction with its
innovative range of high-speed, high-resolution image capture
scanners, the DPF proprietary server based software generates
solutions in the areas of job control, color correction, CD
production and Internet upload.
The Company's primary markets include photo processing equipment
manufacturers, large photo processing labs, mid-sized labs,
minilabs and photo-related vertical markets. Its customers
include Agfa, CEWE, Fuji, Gretag, Kodak (including the Qualex
division) Ofoto and many others.
In November 2000, it was announced that earnings for fiscal 2000
would be below the prospectus forecast of approximately $24
million.
In February 2001 Craig Welch resigned from the board.
In May of 2001, the Company entered into an agreement whereby it
received approximately $2.3 million from various Australian
investors in return for approximately 45% of the outstanding
shares of the company. Each investor also received options to
purchase shares of Digital Now at an exercise price of A$0.12
per share, with such options expiring in May 2002.
As part of the fund raising Steve Giordano Snr resigned from the
board and departed the company.
On 13 June 2001 Sam Quigley joined the board as part of the
capital raising in May 2001. He resigned on 9 August 2001.
In August of 2001, the Company announced that due to a general
weakening in the markets in which it operates, particularly in
the photo developing business in the USA, the results previously
anticipated including those announced at the Annual General
Meeting held in May of 2001 would not be achieved.
On 13 August 2001 the Company was suspended pending
clarification of its financial position.
The Company filed for Chapter 11 bankruptcy protection on 5
October 2001.
On 7 November 2001, and as a result of shareholder action, the
Chairman Mr Abe Ostrovsky and Mr William Lane resigned from the
board and Sal Catalano was appointed Chairman of the Board.
On 15 November 2001, Dr Soon Teh resigned from the Board and Ian
Pattison was appointed to the board.
THE CHAPTER 11 PROCESS
Chapter 11 is a reference to Chapter 11 of the US Bankruptcy
code. The provisions of Chapter 11 provide scope for insolvent
companies to restructure their business whilst under supervision
of the US Bankruptcy Court. During a company's term under
Chapter 11 it is protected from the recovery action of
creditors.
Under Chapter 11 the principle of absolute priority applies and
commonly requires that equityholders' interests in the company
be extinguished. Under the terms of the Plan shareholders have
been reinstated.
Upon the entry of the order of the court giving final
confirmation to the plan (this will occur on either the 29th or
30th of August 2002) the Company will cease to be in bankruptcy.
MAJOR RESTRUCTURE INITIATIVES UNDER CHAPTER 11
As part of the Chapter 11 process the Company sold its Seattle
assets to Express Imaging Services, Inc (EIS) a company managed
and controlled by the Seattle based founders of Digital Now. The
Seattle assets included the intellectual property in the E-Scan
high-speed digital scanner. The Company retains the balance of
its intellectual property portfolio.
EIS and the Company have formed a strategic relationship and the
Company has been appointed as the exclusive distributor of EIS
equipment, including the E-Scan outside North America.
The Company has also undertaken a restructure of its European
operations, which include the principal manufacturing facility
in Como, Italy and its sales and customer support center in
Hinwil, Switzerland.
Following the restructure the Digital Now Group remains a
leading developer of digital imaging technology for the
photoprocessing industry and consumers worldwide. The Group
supplies workflow and image management software as well as
specialty and high speed scanners with speeds and functionality
that range from 28 films per hour at 16 base to 6,000 frames per
hour at 4 base for both 35mm and APS Film.
CREDITOR ENTITLEMENTS UNDER THE PLAN OF REORGANIZATION
Creditors owed more than US$2,500 were offered two choices:
* An initial upfront payment of US$0.30 per dollar of their
debt (2 minimum of US$0.13 is required to be paid immediately,
with the balance capable of being deferred for up to twelve
months); or
* A installment plans whereby creditors would receive USD0.65
over three and a half years (with any installment capable of
being deferred for up to 18 months).
The total value of creditors balloted was US$3,254,890.
Creditors having claims to the value of USD765 801 elected to
receive the installment plan.
Determination of the quantum of some contested claim continues
and will be finalized in the next three months. Initial payments
to creditors who are not being contested will occur within the
next two weeks.
SHAREHOLDER INFORMATION
Digital Now trades on the Australian Stock Exchange with the
ticker DNI. Trading in Digital Now shares has been suspended
since 13 August 2001. The Digital Now securities traded on the
ASX have not been registered with the securities laws of the
United States.
An Extraordinary General Meeting of the Company will be held in
October 2002 to address a number of administrative and
structural matters prior to the Board seeking the lifting of the
suspension of trading in the Company's shares.
PASMINCO LIMITED: Posts Administrators' Report
----------------------------------------------
The Administrators of major zinc producer Pasminco, Messrs. John
Spark and Peter McCluskey of Ferrier Hodgson, announced that a
proposal for Pasminco to proceed with a restructure pursuant to
Deeds of Company Arrangement was approved at a Creditors'
Meeting held on Friday, 30 August 2002.
The Deeds of Company Arrangement are required to be signed by
the end of September, paving the way for the Pasminco
restructuring process to take effect.
"Today's result marks the most significant step forward to date
in the process that will see Pasminco successfully emerge from
Administration. The Equity and Float Option approved today
(Friday) allows for the float process to begin and leaves
Pasminco with a viable future," Mr Spark said.
"Going forward the restructured Pasminco will be well positioned
to take advantage of improved market conditions including any
upturn in zinc prices. It will have a conservative balance
sheet, an integrated world class asset base underpinned by the
Century zinc mine and a management team focused on driving
continued operational improvements."
The historical audited accounts for the year ended 30 June 2001
and the half-year to 31 December 2001 have been lodged with ASIC
on Friday. A copy of the Report could be found at
http://www.bankrupt.com/misc/TCRAP_Pas0904.pdf.
Mr Spark said that since January 2002, the company had achieved
a break-even operational cash flow result, despite the
continuing weakness in zinc prices and the uncertainty for the
company, its employees and customers ahead of this approval on
the restructuring.
"A number of Pasminco operations are recording very positive
performances, with some sites achieving record production
figures for the year ended June 30, 2002,"
Mr Spark said.
The restructure proposal - the Equity and Float option -
involves an issue of shares in lieu of debt to creditors and
financiers owed approximately $2.8 billion. It is proposed this
equity would subsequently be partially sold down via a public
float.
PASMINCO LIMITED: Creditors Approve Restructuring
-------------------------------------------------
Pasminco Chief Executive Officer Greig Gailey welcomed the news
on Friday that the company's creditors had approved a proposal
to enter into Deeds of Arrangement that will allow the
restructure of Pasminco to proceed.
The restructure proposal involves the issue of shares in lieu of
debt to the company's creditor financiers. The financiers'
interest will subsequently be partially sold down via a public
float, with the creditors retaining a residual shareholding in
the company.
Mr Gailey said, "This is great news for employees and the
communities in which Pasminco operates and means that the
company can now look to the future with confidence. The
uncertainty of the last twelve months is now largely behind us.
"Although metal prices are still at historically low levels, the
global economic outlook is improving. With the company free of
its debt burden, it will be well placed to participate in the
upswing in metal prices that will flow from stronger global
economic growth. We must continue to focus on safety, production
and costs containment to ensure that we can take full benefit
from the expected improvement in metal prices," he said.
"Again I would like to particularly thank Pasminco's employees
for their ongoing effort during a period of uncertainty.
Securing the jobs and entitlements of our 3,500 staff has been a
priority for both Pasminco management and its administrators and
it is particularly pleasing to be able to see this outcome
achieved.
"With the restructure approved we will be concentrating on
achieving a successful float and ensuring we have a focused,
efficient and viable entity," Mr Gailey said.
================================
C H I N A & H O N G K O N G
================================
CENTRILINE ASIA: Winding Up Sought by Asian Creator
---------------------------------------------------
Asian Creator Engineering Limited is seeking the winding up of
Centriline Asia Limited. The petition was filed on July 17,
2002, and will be heard before the High Court of Hong Kong on
October 16, 2002 at 9:30 am.
Asian Creator holds its registered office at Unit No. 1504-1507,
15th Floor, Kwun Tong Harbour Plaza, No. 182 Wai Yip Street,
Kwun Tong Kowloon, Hong Kong.
CMM HOLDINGS: Winding Up Petition Set for Hearing
-------------------------------------------------
The petition to wind up CMM Holdings Limited will be heard
before the High Court of Hong Kong on September 18, 2002 at 9:30
am.
The petition was filed with the court on June 25, 2002 by China
Merchants Bank whose principal place of business is situated at
9th Floor, China Merchants Bank Building, No. 7088 Shennan
Boulevard, Shenzhen, the People's Republic of China.
FUJIAN JIUZHOU: Faces Delisting Over Losses
-------------------------------------------
Chinese trade firm Fujian Jiuzhou, which was embroiled in the
country's largest smuggling case in 50 years, reported another
net loss, the Standard reported, adding that its shares would be
delisted.
Jiuzhou, based in the southern coastal city of Xiamen, said it
made a net loss of 52.02M yuan in the first six months of 2002
after posting losses from 1999 to 2001.
"As our company's assets were not enough to cover debts,
performance did not improve in the first half of 2002 from the
first half of last year," it said. "In line with securities
rules, our company faces delisting as it failed to reverse
losses before June 30."
JCOF (HK): Faces Winding Up Petition
------------------------------------
The petition to wind up JCOF (HK) International Company Limited
was set for hearing before the High Court of Hong Kong on
September 4, 2002 at 9:30 am.
The petition was filed with the court on June 10, 2002 by Bank
of China (Hong Kong) Limited of 14th Floor, Bank of China Tower,
No. 1 Garden Road, Central, Hong Kong.
PCCW LIMITED: Rights Issue Rumor Untrue
---------------------------------------
PCCW Limited has noted Tuesday's press reports with respect to
market rumors that the Company will shortly be raising fresh
equity capital.
In relation to the above matter, the Directors confirmed that
the rumors are incorrect and unfounded. In particular the
Company has no intention to undertake a rights issue.
PROSPEROUS TRADE: Petition to Wind Up Pending
---------------------------------------------
The petition to wind up Prosperous Trade Company Limited is
scheduled for hearing before the High Court of Hong Kong on
October 23, 2002 at 9:30 am.
The petition was filed with the court on July 30, 2002 by
Tradeland Limited whose registered office is situated at 412,
New East Ocean Center, 9 Science Museum Road, Tsimshatsui,
Kowloon, Hong Kong.
WING FU: Winding Up Petition Slated for Hearing
-----------------------------------------------
The petition to wind up Wing Fu Dyeing Factory Limited is
scheduled to be heard before the High Court of Hong Kong on
September 18, 2002 at 9:30 am.
The petition was filed with the court on June 26, 2002 by Caltex
Oil Hong Kong Limited whose registered office is situated at
42nd Floor, Central Plaza, 18 Harbour Road, Wanchai, Hong Kong.
=================
I N D O N E S I A
=================
ARIAWEST INTERNATIONAL: Creditors Junk Debt Trimming Proposal
-------------------------------------------------------------
PT AriaWest International failed to obtain approval from its
lenders for its proposed debt cutting, AFX-Asia reports, citing
State Enterprises Minister Laksamana Sukardi.
According to Sukardi, the creditors wanted AriaWest to pay its
US$290 million debt in full, instead of a proposed US$270
million.
"We want them to quickly settle their internal problem," he
said.
AriaWest, a joint operating scheme (KSO) partner of PT
Telekomunikasi Indonesia, failed to complete its debt
restructuring before the scheduled closure of a US$363 million
KSO buyout deal with Telkom.
"Obviously, AriaWest creditors do not agree to give any haircut
because they know that the shareholders will get payment
(compensation from Telkom)," Sukardi said, adding that he has
yet to get further clarification from Telkom President Kristiono
about any new developments of the case.
"I understand that it was the local shareholder (of AriaWest)
who still disagreed with the creditors," he said.
ARIAWEST INTERNATIONAL: Telkom Fails Buy-Out Plan Completion
------------------------------------------------------------
PT Telekomunikasi Indonesia (TLKM) has failed to close a US$370
million deal to buy-out PT Ariawest International in a fixed-
line project in West Java, Dow Jones reports, quoting Telkom's
Investor Relations Manager, Setiawan Sulistyono.
"The buyout can't be completed as Ariawest International failed
to reach a debt restructuring deal," Sulistyono said.
Telkom said in May that it will pay US$184.5 million to buy 100%
of PT Ariawest International, and will assume its debt. Telkom
expected the final deal to cost between US$360 million and
US$370 million, including Ariawest's debt. But Ariawest, 35
percent-owned by AT&T Corp (T), wasn't able to get shareholders
and creditors to restructure its debt before an August 30
deadline.
Telkom has now said that it will resume legal action against
AriaWest after failing to close the deal.
Telkom formed a joint operating partnership with Ariawest in
1995. Under that deal, Ariawest paid the state-owned company
revenue in return for a 15-year monopoly in West Java. But after
the Asian financial crash of 1997, many of the companies,
including Ariawest, complained their revenues were barely enough
to cover investment costs.
Indonesia's decision to open its telecommunication business to
free competition also meant Telkom had to find a way out of its
partnerships with foreign companies. Of the five projects with
foreigners, Telkom has already reached agreement to buy out
three.
BENTALA KARTIKA: IBRA Reminds UA to fulfill Mature Obligations
--------------------------------------------------------------
The Indonesian Bank Restructuring Agency (IBRA) on Thursday
announced that the Legal Direction Team (TPBH-KKSK) and OC-BPPN
temporary recommendation concerning the compliance level of
Usman Atmadjaja as a signee of the Shareholder Settlement cq.
MRNIA.
In essence, TPBH-KKSK and OC-BPPN give opinion that UA has
proven default to fulfill his obligation due to:
1. UA must have taken any action so PT Bentala Kartika Abadi
(BKA), a holding company established by IBRA pursuant to the
Shareholding Settlement Agreement between IBRA and the Danamon
Group, and any related person carry out disposal activity for
his pledge assets as well as group companies assets based on
divestiture schedule;
2. UA must have taken any action so BKA and any related party
make payment for their obligation according to Promissory Notes
(P-Notes) after receiving payment from sold asset
3. UA must have attempted optimally so BKA and any related
party fulfill their promissory notes obligation with below
conditions:
* 27% out of P-Notes principal (and interest) to be paid
within 1 year since MRNIA signed on November 6 1998.
* The remain number (principal & interest) must be
accomplished in the same amount within next 3 (three) years by
the fourth year since MRNIA signed on November 6 2002.
Concerning aforementioned matters, IBRA send a written statement
to UA to fulfill his mature obligation. The payment can be made
fully in cash, installment or through liquid asset disposal.
IBRA's Chairman sends a written statement to UA, asking to have
his clarification concerning the TPBH-KKSK and OC-BPPN report on
Thursday, August 29 2002.
=========
J A P A N
=========
DAIEI INC.: Sales Creep Up Slightly
-----------------------------------
Sales at struggling retailer Daiei Inc. is slightly up by more
than 1 percent in August versus a year earlier, due to strong
demand for foodstuffs during the hot summer weather, according
to Kyodo News on Tuesday.
The official attributed the increase mainly to a gain of more
than 2 percent in food sales and a rise of more than 1 percent
in clothing sales, which offset a 7 percent decline in sales of
electric appliances.
MITSUBISHI HEAVY: Launches Marketing Division in US Unit
--------------------------------------------------------
Mitsubishi Heavy Industries Ltd (MHI) will establish a marketing
planning division in its U.S. unit Mitsubishi Heavy Industry
America Inc (MHIA) next month, to expand its business potential
in the United States, Kyodo News reports.
The plan is designed to position MHIA as the hub Company to
control MHI's business in the United States.
According to Moody's, MHI is currently carrying out various
structural reforms, including the restructure of unprofitable
operations such as its machine tools and air conditioning
businesses.
While such measures may help improve the Company's cost
structure and earnings going forward, Moody's is concerned that
an increasingly harsh operating environment may not allow MHI to
significantly improve its credit profile to those previous
levels that support a single A rating.
MITSUBISHI SECURITIES: S&P Assigns BBB Rating, Outlook Negative
---------------------------------------------------------------
Standard & Poor's Ratings Services said on Monday that it had
assigned its triple-'B' long-term credit rating to Mitsubishi
Securities Co Ltd. following the completion of a merger between
Kokusai Securities Co Ltd and the securities companies of
Mitsubishi Tokyo Financial Group Inc on September 1, 2002.
The outlook on the long-term rating is negative.
In addition, the long-term rating on the former Kokusai
Securities' convertible bonds was raised to triple-'B' from
triple-'B'-minus and removed from CreditWatch where it had been
placed on June 25, 2001.
At the same time, Standard & Poor's removed its triple-'B'-minus
rating on Kokusai Securities from CreditWatch and withdrew the
rating.
Mitsubishi Securities was created through the merger of Kokusai
Securities with MTFG's three securities companies: Tokyo-
Mitsubishi Securities Co Ltd, Issei Securities Co Ltd, and
Tokyo-Mitsubishi Personal Securities Co Ltd.
As a result of the merger, Bank of Tokyo-Mitsubishi Ltd (BTM;
BBB+/Negative/A-2), the major operating bank of MTFG, directly
controls about 52 percent of Mitsubishi Securities' shares.
"The merger will result in stronger ties with MTFG and better
investment banking capabilities than at the former Kokusai
Securities. The benefits from the merger are likely to mitigate
recent deterioration in Kokusai Securities' financial
performance and customer reputation."
As a result of the merger, Mitsubishi Securities has become a
strategically important entity to MTFG. Securities are
considered to be an important business in MTFG's long-term
strategy of improving the group's competitiveness amid ongoing,
albeit slow, disinter mediation.
Mitsubishi Securities' profitability is weak. Due to the
difficult operating environment surrounding the domestic
securities industry, both Kokusai and Tokyo Mitsubishi
Securities' revenues dropped severely during fiscal 2001 (ended
March 2002).
Revenues from the two companies comprise approximately 90
percent of the combined revenue of the four merged companies.
In addition, Mitsubishi Securities' marketing strategy of
focusing on consulting marketing, while reasonable from a long-
term perspective, will take some time to successfully permeate
the market and may put pressure on its revenues.
As with other securities companies in Japan, Mitsubishi
Securities' cost structure is expected to be inflexible, and may
fail to absorb revenue volatility.
Noninterest expenses at the former Kokusai were 1.6 times
greater than its revenues during the first quarter of fiscal
2002.
"Mitsubishi Securities is likely to face difficulty in improving
its profitability, if the Company does not implement drastic
measures to cope with its problems," Yoshida said.
NIPPON MEAT: Ministry Allows Beef Business Resumption
-----------------------------------------------------
The Ministry of Agriculture, Forestry and Fisheries has decided
to allow Nippon Meat Packers Inc. and its unit Nippon Food Inc.
to continue beef-related operations on Tuesday as it finds the
group's measures to prevent any recurrence of fraud involving
the government's beef buyback program acceptable, Kyodo News
reports.
The Ministry also said it has found no evidence of additional
fraud cases in its latest inspections of beef packages submitted
by Nippon Food under the buyback scheme.
TAISEI FIRE: JCR Downgrades Rating to D
---------------------------------------
Japan Credit Rating Agency has downgraded the rating of Taisei
Fire & Marine Insurance Co., Ltd. from C to D and then withdrawn
the rating. It has also withdrawn the preliminary D and NJ
ratings on the convertible bonds to be issued worth 10 billion
yen and 13 billion yen CP program, respectively.
Rationale
Taisei Fire & Marine Insurance filed for bankruptcy protection
with the Tokyo District Court on November 22, 2001.
Reorganization plan submitted to the court on June 28, 2002 was
approved on August 31, 2002. Changes in the terms of insurance
policies have been finalized by the court approval.
JCR downgraded the rating on the insurer's ability to pay
insurance claims to D, accordingly. The ratings for the insurer
have been withdrawn.
=========
K O R E A
=========
DAEWOO MOTOR: Signs Deal With GM Korea
--------------------------------------
Daewoo Motor Sales signed an agreement with GM Korea regarding
sales and after sales service sector on August 30, the Maeil
Business Newspaper reported Monday.
Under the contract, Daewoo will sell premium-level vehicles
including the Cadillac and the Saab that GM Korea imports from
foreign carmakers.
Daewoo will run two show rooms called 'GM Auto World' in Seoul
and in Busan this week and planning to increase the number of
show rooms to 14 nationwide by 2004.
Daewoo Motor Sales aims to sell 210 vehicles in 2002.
Daewoo Motor Sales Co is the marketing arm of South Korea's
ailing Daewoo Motor.
DAEWOO MOTOR: Sales Down 42% in August
--------------------------------------
Daewoo Motor said its August sales fell 42.1 percent from the
year-earlier month to 22,952 units, due to growing skepticism
over its planned acquisition by General Motors.
The struggling automaker sold 15,934 units at home and 7,018
units in exports in August, or a total of 22,952, down 36.6
percent from the previous month. Daewoo's accumulated sales by
August totaled 281,126 vehicles, down 12.5 percent from the
year-earlier period.
By model, the minivan Rezzo sold 4,262 units in August, followed
by Matiz II minicar (3,855 units) and mid-size sedan Magnus
(2,526 units).
Daewoo's three passenger car plants in Korea have been suspended
for nearly a week because of debt disputes with the automaker's
parts suppliers.
HYNIX SEMICONDUCTOR: KEB Not Pressured by Government on Sale
------------------------------------------------------------
Leading Hynix Semiconductor Inc creditor Korea Exchange Bank
rejected reports, saying it has not been pressured by the
government to sell the chipmaker before the December
Presidential election.
The Korea Economic Daily reported, citing government and
creditor sources that the Financial Supervisory Commission has
called on creditors to sell Hynix before the December
Presidential election. (M&A REPORTER-ASIA PACIFIC, Vol. No.1,
Issue No. 174, September 3, 2002)
HYUNDAI HEAVY: Delivers LNG to Nigeria
--------------------------------------
Hyundai Heavy Industries (HHI) has delivered a liquefied natural
gas (LNG) carrier to Nigeria's NLNG, according to Asia Times on
Tuesday.
HHI will be the first Korean Company to build and deliver an LNG
ship to foreign shipper. HHI received three LNG ship orders from
overseas in 1999 and the first came from the West African
country.
HHI posted losses of W78.1 billion ($59.4 million) in 2001
versus to W161.5 billion in 2000, TCR-AP reports.
Hyundai suffered losses in 2001 due to poorly performing group
units namely Hynix Semiconductor Inc, cruise venture Hyundai
Asan, and Hyundai Petroleum Co. The Company revealed a loss of
W410 billion from its affiliates. Hyundai Heavy has been
battling to cut its stake in these affiliates, in its attempt to
go it alone and cut its ties with its parent Company, Hyundai
Group.
KOREA ELECTRIC: Proposes US$650-660M Five-Year Bond Deal
--------------------------------------------------------
The Korea Electric Corporation is expected to price a US$650-
US$660 million five-year bond deal later this week when road
shows for the issue end, Reuters reports.
Price talk for the issue arranged by Salomon Smith Barney,
Deutsche Bank, Goldman Sachs and UBS Warburg is around 120-130
basis points over U.S. Treasuries.
Meanwhile, Moody's Investors Service said it has assigned a Baa2
senior unsecured rating to Korea Electric Power Corporation
(KEPCO)'s proposed US$650 million fixed rate notes due 2007.
The rating outlook is positive, it said.
The Baa2 rating reflects KEPCO's "improved stability in its
operating performance and financial position, supported by the
continuing growth in the Korean economy and sustainability of
domestic electric demand," it said.
The rating incorporates Moody's expectation that on-going
industry reform will bring the benefits of a lower business risk
profile to KEPCO over time, it said.
It also reflects the rating agency's expectation that power
industry reform will be implemented in a manner that manages
KEPCO's exposure to power price volatility in the early years,
it said.
According to TCR-AP, as of June 30 2001, Seoul's electric
utility Company has current assets of $3.25 billion against
current liabilities of $7.2 billion.
DebtTraders reports that Korea Electric Power Corp.'s 8.250%
bond due in 2005 (KORE05KRN1) trades between 112.141 and
112.704. For real-time bond pricing, go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=KORE05KRN1
KUMHO GROUP: Appoints Park Sam-koo as New Head
----------------------------------------------
The Kumho group has appointed former Vice Chairman Park Sam-Koo
as its new Chairman on Monday, Digital Chosun reports.
Declaring a new vision for management, Park said he would steer
ahead with management strategies for the group, to allow it to
maximize its profitability for its core businesses, such as
running Asiana Airlines, express bus services, petrochemicals,
and condominium construction and operation.
The new Chairman said that the group would increase its efforts
to advance into various value-added next-generation businesses,
such as biotechnology, new industrial materials, and logistics
operations.
Kumho will press ahead with its ongoing restructuring
procedures, including the planned sale of its tire operation,
Kumho Industries, and Asiana, by the end of 2002.
DebtTraders reports that Kumho Const & Eng's 0.250% convertible
bond due in 2010 (KUMI10KRN1) trades between 110 and 125. For
real-time bond pricing, go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=KUMI10KRN1
===============
M A L A Y S I A
===============
AOKAM PERDANA: Seeks December Requisite Announcement Extension
--------------------------------------------------------------
Aokam Perdana Berhad,, in reference to its PN 4 announcement
dated 5 August 2002 and to the announcement made by our
Advisers, Messrs. Affin Merchant Bank Berhad (Affin Merchant) on
29 August 2002 on the termination of the proposed acquisition of
SKKPJ (TM) Sdn Bhd, advised that the Company had on 30 August
2002, submitted an application for an extension of time to the
Kuala Lumpur Stock Exchange from 1 September 2002 to 31 December
2002 to facilitate the negotiations with other potential white
knights and thereafter to make the necessary requisite
announcement as required pursuant to Paragraph 5.1(a) of PN4.
The Company also announced that there are no material changes in
the financial situation of the Company and that the issue of
default remains unchanged.
AUSTRAL AMALGAMATED: Notifies SC on Scheme Modifications
--------------------------------------------------------
Austral Amalgamated Berhad (Special Administrators Appointed)
announced that there is no change to the status of the Company's
plan to regularize its financial condition since its last
announcement on 1 August, 2002, in which the Securities
Commission (SC) had, vide their letter dated 16 April, 2001,
approved the Company's plan to regularize its financial position
(the Scheme).
Subsequent to the modifications of the Scheme announced on 2
July, 2002, further modifications have been incorporated into
the Scheme on 13 August, 2002.
These modifications are additional standard covenants and
clauses that are consistent in all Special Administration
Workout Proposals which serve to provide further clarity with
regards to the implementation mechanics of the Scheme and do not
involve any changes in the terms of settlement to scheme
creditors. The additional standard covenants and clauses were
reviewed as reasonable by the Independent Advisors, RHB Sakura
Merchant Bankers Berhad, and would not require approval from a
secured creditors meeting pursuant to Section 48 of the
Pengurusan Danaharta Nasional Berhad Act,1998. The SC was
notified of these modifications on 2 September, 2002.
BRIDGECON HOLDINGS: Revises Restructuring Agreement With Vendors
----------------------------------------------------------------
Public Merchant Bank Berhad (PMB), on behalf of Bridgecon
Holdings Berhad (Special Administrators Appointed), executed on
30 August 2002 a Supplemental Agreement to the Restructuring
Agreement with Premium Nutrients Berhad and the principal
vendors of Premium Vegetable Oils Berhad to revise certain terms
of the Restructuring Agreement dated 27 June 2002.
An Application to the Securities Commission on the proposed
corporate and debt-restructuring scheme of the Company has been
submitted by PMB.
Save as disclosed above, there is no significant change on the
status of the Company's plan to regularize its financial
condition in accordance with Practice Note No : 4/2001.
EPE POWER: Further Defaults Monthly Interest Payment
----------------------------------------------------
EPE Power Corporation Berhad subsequent to the announcement
dated 1 August 2002, has further defaulted in the payment of
monthly interest of RM704,291.48 due to several financial
institution (FIs) under its revolving credit (RC) facilities.
The status of the default of principal amount remains the same
as previously announced.
On 15 August 2002, Commerce International Merchant Bankers
Berhad (CIMB) announced that it had on behalf of EPE applied to
the KLSE for an extension of time of three (3) months to 30
November 2002 to make the Requisite Announcement of its plan to
regularize EPE's financial condition. EPE is awaiting KLSE's
approval of the said application.
With regards to EPE Debt Restructuring proposal, please refer to
the announcement made on 30 May 2002. The Company wishes to
inform that the negotiation is still ongoing and announcement to
KLSE will be made upon successful completion of the negotiation
with the lenders in respect of the proposed debt-restructuring
scheme.
FW INDUSTRIES: Business Disposal Talks to End by Month End
----------------------------------------------------------
The Board of FW Industries Bhd informed that the negotiation to
dispose off a non-core business subsidiary is expected to be
finalized within this month. The disposal will improve the
financial position of the Company by reducing corporate
guarantees in total of RM13.5 million granted to few bankers for
the banking facilities utilized by the said subsidiary.
The Company is still negotiating with relevant parties for the
Corporate Restructuring Exercise so to obtain approval-in-
principle from various financial institution lenders and
creditors prior to the Requisite Announcement (RA).
GULA PERAK: September 25 AGM Scheduled
--------------------------------------
Gula Perak Berhad notified that its Annual General Meeting (AGM)
will be held at Function Room 1, Level 4, Dynasty Hotel, No.
218, Jalan Ipoh, 51200 Kuala Lumpur on Wednesday, 25 September
2002 at 10.00 a.m.
At the AGM, the resolutions pertaining to the Proposed Renewal
of Shareholders' Mandate for Recurrent Related Party
Transactions of A Revenue or Trading Nature will be tabled.
Go to http://www.bankrupt.com/misc/TCRAP_Gperak0904.pdfto see
full copy of the Notice of AGM.
HAI MING: Updates Proposed Restructuring Exercise Status
--------------------------------------------------------
Hai Ming Holdings Bhd announced on 26 February 2001, that it is
an affected issuer pursuant to PN4/2001 (First Announcement).
Pursuant to Para 4.1 (b) of PN4/2001, Hai Ming is required to
issue a monthly status report to provide details on its plan to
regularize its financial condition on a monthly basis on the
first market day of each month beginning with the month
following the First Announcement.
Pursuant to Para 5.1 (a) of PN4/2001, the Company is required to
make an announcement to the KLSE of the plan to regularize its
financial condition (Requisite Announcement), failing which, the
KLSE may impose a suspension on the securities of the Company.
On 31 October 2001, Public Merchant Bank Berhad (PMBB) made the
Requisite Announcement on behalf of the Company as required
under Para 5.1(a) of PN 4/2001. Pursuant to Para 5.1(b) of PN
4/2001 of the KLSE Listing Requirements, Hai Ming was required
to submit its plan to regularize its financial condition to the
relevant authorities for approvals, within two (2) months from
the date of the Requisite Announcement, i.e. by 31 December
2001.
On 7 January 2002, PMBB had, on behalf of the Board of Directors
of the Company, submitted the Company's applications on the
Proposed Restructuring Exercise to the relevant authorities on
the Company's plan to regularize its financial condition.
Notwithstanding this, as required by PN4/2001, the Company must
obtain all the necessary approvals for the implementation of its
plans within four (4) months from the date of submission of such
plans for approvals i.e. by 6 May 2002.
Current Status of the Company's application to the relevant
authorities
A. The Foreign Investment Committee (FIC) had vide FIC's letter
dated 20 February 2002, received on 7 March 2002, granted its
approval for the Proposed Restructuring Exercise. An
announcement was made to the KLSE on 7 March 2002.
FIC's approval for the Proposed Restructuring Exercise is
subject to the condition that the equity structure of Hai Ming
is to be reviewed after a period of three (3) years.
B. The Securities Commission (SC) had vide:
a. SC's letter dated 03 April 2002, for which an announcement
was made on 08 April 2002, approved the Proposed Restructuring
Exercise subject to certain conditions;
b. SC's letter dated 09 April 2002 (in addition to the above
SC's approval letter dated 03 April 2002) approved the issuance
of Redeemable Convertible Secured Loan Stocks and Irredeemable
Convertible Unsecured Loan Stocks, for which an announcement was
made on 12 April 2002; and
c. SC's letter dated 11 April 2002 approved the proposed
waiver to Mr Koh Poh Seng and parties acting in concert with
him, namely Ms Chai Kim Hua and Mr Koh Cheng Tuan, from the
obligation to extend a mandatory take-over offer for the
remaining shares not already owned by them in HMHB upon the
completion of the Proposed Acquisition of Koh Poh Seng Plywood
Co. (M) Sdn Bhd pursuant to Practice Note 2.9.3 of the Malaysian
Code on Take-Overs and Mergers, 1998, for which an announcement
was made on 17 April 2002.
d. SC's letter dated 4 June 2002 approved the Company's
application made on 22 April 2002 to implement the proposed
acquisition of 30% interest in Yap Swee Thiam & Sons Industries
Sdn Bhd (YSTSB) and the existing investments of KPS Plywood Sdn
Bhd (KSB) (formerly known as Koh Poh Seng Plywood Co (M) Sdn
Bhd) and Akateak Sdn Bhd (ASB) of 60% and 10% respectively in
YSTSB concurrently with the other proposals under the Proposed
Restructuring Exercise mentioned in B(a). This approval was
announced on 6 June 2002.
and
C. The Ministry of International Trade and Industry (MITI) vide
MITI's approval letter dated 15 April 2002 approved the Proposed
Restructuring Exercise, for which an announcement was made on 17
April 2002.
HMHB is to discuss with the MITI regarding the compliance of the
equity conditions of its subsidiary companies after the
implementation of the proposed restructuring exercise.
The Company has received all the necessary approvals from the
relevant authorities to implement the proposed restructuring
scheme subject to the conditions imposed thereon. The Company
and the vendors of KSB, YSTSB and ASB have accepted all the
conditions imposed by the relevant authorities.
The Company had convened and obtained shareholders approval at
the Extraordinary General Meeting on 17 August 2002. The Group
and the Company are presently implementing the proposed exercise
subject to certain conditions being complied. The Proposed
Restructuring Exercise is expected to be completed by end of
September 2002.
KELANAMAS INDUSTRIES: Submits Proposed Restructuring to SC
----------------------------------------------------------
Kelanamas Industries Berhad on 26 November 2001 had entered into
a Memorandum of Understanding (MOU) with MP Technology Resources
Berhad (MPTR), Tai Seng Plastic Industries Sdn Bhd (Tai Seng)
and other companies, in relation to a proposed scheme to
regularize its financial condition.
Subsequently on 28 February 2002, KIB had entered into a
Restructuring Scheme Agreement (RSA) with MP Technology
Resources Berhad (MPTR), which involves the injection of the
following companies into MPTR.
a) Tai Seng Plastic Industries Sdn Bhd (Tai Seng)
b) Eng Zan Machinery & Trading Sdn Bhd (Eng Zan)
c) Highlight Plastic Machinery Sdn Bhd (HL)
d) VCM Precision Sdn Bhd (VCM)
e) Tralvest (M) Sdn Bhd (Tralvest)
f) MP Plastic Industries Sdn Bhd (MPPI)
(Collectively referred to herein as "New Business")
The New Business is a group of companies involved in the
manufacturing of plastic related products. Pursuant to the
Proposed Restructuring, MPTR would assume the listing status of
KIB. Under the RSA, KIB and the New Business agreed to undertake
and implement a restructuring scheme, which is subject to
approval from the authorities, and consist of the following
exercises:
a) Proposed Acquisition of KIB;
b) Proposed Acquisition of SBM Food Industries Sdn Bhd;
c) Proposed Scheme of Arrangement;
d) Proposed Acquisition of New Business;
e) Proposed Special Issue;
f) Proposed Offer for Sale;
g) Proposed Acquisition of MPR;
h) Proposed Acquisition of Plastronic;
i) Proposed Transfer of Listing Status;
j) Proposed Disposal/Liquidation; and
k) Proposed General Offer Waiver (GO Waiver)
(Collectively referred to herein as "Proposed Restructuring")
The transactions contemplated above are inter-conditional to
each other save for the Proposed Acquisition of MPR, Plastronic
and Disposal/Liquidation. The Proposed Acquisition of MPR,
Plastronic and Disposal/Liquidation are conditional upon the
completion of the other proposals under the Proposed
Restructuring but not vice versa.
On 3 May 2002, Am Merchant Bank Berhad has made announcement on
behalf of the Board of Directors of KIB to seek the approval of
KLSE for an extension of time of three (3) months, from 3 May
2002 to 3 August 2002 for KIB to make the submission of its
proposal to the authorities.
On 18 June 2002, Am Merchant Bank has made announcement on
behalf of the Board of Directors of KIB that Kuala Lumpur Stock
Exchange has, vide its letter dated 17 June 2002, approved the
Company's application for an extension of time to make the
required submission to the authorities. The extension of time is
effective from 3 May 2002 to 3 August 2002.
Presently, KIB has submitted the Proposed Restructuring to the
Securities Commission on 30 August 2002.
KUALA LUMPUR: Annual Audited Accounts Submission Extended
---------------------------------------------------------
Kuala Lumpur Industries Holdings Berhad announced that the Kuala
Lumpur Stock Exchange has on 29 August 2002 approved the
Company's application for an extension of time until 16
September 2002 for the submission of the Annual Audited Accounts
for the financial year ended 31 March 2002 (Annual Audited
Accounts).
The Company was unable to release the Annual Audited Accounts by
31 July 2002 as stipulated by paragraph 9.23(b) of the Listing
Requirements of the Kuala Lumpur Stock Exchange due to the
following reasons:
i) The People's Insurance Company (Malaysia) Berhad (PICM)
has delayed in finalizing its audited accounts for the financial
year ended 31 March 2002. The Company is required to consolidate
the results of PICM as PICM was a wholly-owned subsidiary
company as at 31 March 2002 before it was disposed of on 29
April 2002; and
ii) The Company has to adjust the accounts of two subsidiary
companies namely Emville Sdn Bhd (In Members' Voluntary
Liquidation) (EVSB) and its wholly-owned subsidiary company,
Emville Golf Resort Berhad following the resolution of the
members of EVSB to wind-up EVSB voluntarily on 12 July 2002.
LION CORPORATION: Proposed GWRS Underway
----------------------------------------
The Directors of Lion Corporation Berhad, in accordance with
paragraph 8.14 of the Listing Requirements and paragraph 4.1(b)
of PN4, announced that as of 2 September:
1. the proposed group wide restructuring scheme announced on 5
July 2000, 8 October 2001, 26 March 2002 and 12 July 2002
(Proposed GWRS) is still in progress;
2. RHB Sakura Merchant Bankers Berhad, the Financial Adviser to
LCB for the Proposed GWRS, had on 9 August 2002 submitted a
joint appeal to the Securities Commission (SC) on behalf of LCB,
Amsteel Corporation Berhad, Lion Land Berhad and Angkasa
Marketing Berhad on certain of the conditions imposed by SC in
its letter of approval to LCB for the Proposed GWRS (Appeal). An
announcement would be made upon the receipt of the SC's reply to
the Appeal; and
3. LCB has by a notice dated 19 August 2002 informed the scheme
creditors of the LCB Group that the scheme meetings of LCB and
its wholly-owned subsidiary, Lion Construction & Engineering Sdn
Bhd, whose debts are addressed under the Proposed GWRS, will be
held on 16 September 2002 at the Novotel Century Hotel, 17-21
Jalan Bukit Bintang, 55100 Kuala Lumpur.
NCK CORPORATION: Defaulted Payment Stands RM609,768,419
-------------------------------------------------------
NCK Corporation Berhad (Special Administrators Appointed), in
compliance with Practice Note No. 1/2001, announced that there
has been no change in the status of the credit facilities on
which the NCK Group has defaulted in payment since the Company's
previous announcement dated 2 August 2002.
Total borrowings on which the NCK Group has defaulted on
payments stood at RM609,768,419 (inclusive of accrued interest)
as at 31 July 2002.
The above total group borrowings of RM609,768,419 has excluded
an amount of RM10,777,183 owing by NCK-Astarlite Sdn Bhd, a 65%
owned subsidiary company, which has been wound up by the High
Court. The above said amount has been provided for as "Other
Creditors" in the books of its Corporate Guarantors, NCK
Corporation Berhad (Special Administrators Appointed) and NCK
Metal Sdn Bhd (Special Administrators Appointed).
The Company also announced that there has been no change in the
status of the Proposed Restructuring Scheme, as announced by
Alliance Merchant Bank Berhad on 15 August 2002, to regularize
its financial condition. The Company is presently awaiting
decisions from the relevant authorities on its Proposed
Restructuring Scheme.
SATERAS RESOURCES: Seeks New Restructuring Plan Adviser
-------------------------------------------------------
Sateras Resources (Malaysia) Berhad, further to its announcement
on 1 August 2002 in respect of the criteria and obligations
pursuant to Paragraph 8.14 of the Listing Requirements Status of
Plan to Regularize Financial Condition, informed as follows:
(i) AmMerchant Bank Berhad (formerly known as Arab-Malaysian
Merchant Bank Berhad) had resigned as the Company's adviser on
16 August 2002 and the Company is currently seeking a new
adviser for the restructuring plan.
(ii) The Company is drawing up a new restructuring plan aimed
at regularizing the Company's financial condition. The Board
will make details of the new proposal available as soon
as they are finalized.
SCK GROUP: In Financial Regularization Talks With Lenders
---------------------------------------------------------
SCK Group Berhad, further to the "First Announcement" made on 26
February 2001 and the last Monthly Announcement made on 1 August
2002 in relation to its Plan to Regularize the Financial
Condition in accordance with Practice Note No. 4/2001 and
Obligations pursuant to Paragraph 8.14 of the Listing
Requirements of the Kuala Lumpur Stock Exchange, announced the
status of the Company's plan to regularize the Company's
Financial Condition for the month ended 31 August 2002 as
follows:
The Company is negotiating with its Lenders to finalize
certain outstanding matters on several issues. Upon the approval
of the Lenders on the several issues, Aseambankers Malaysia
Berhad will on behalf of the Company submit the following
documents to the relevant authorities namely Securities
Commission and Kuala Lumpur Stock Exchange for their respective
approvals:
(i) the Abridged Prospectus for the Rights Issue with Free
Warrants; and
(ii) the relevant Listing Applications.
Further announcements on the progress of the
implementation of SCK plan would be made monthly or as and when
required.
SPORTMA CORPORATION: Proposed Modifications Approvals Pending
-------------------------------------------------------------
The Special Administrators of Sportma Corporation Berhad, in
reference to paragraph 4.1(b) of the Practice Note 4/2001 of the
Kuala Lumpur Stock Exchange's Listing Requirements whereby the
affected listed issuer is required to announce the status of its
plan to regularize its financial condition on a monthly basis,
announced that modifications have been made to the Proposed
Corporate and Debt Restructuring Scheme of the Company
(Proposal) as approved by the Securities Commission (SC) vide
its letter dated 31 January 2002 (Proposed Modifications).
The announcement on the Proposed Modifications have been made to
the Exchange on 7 August 2002. The Proposed Modifications have
also been submitted for approvals of the SC on 12 August 2002,
the Foreign Investment Committee and the Ministry of
International Trade and Industry on 28 August 2002.
Currently, the approvals from the relevant authorities are still
pending.
TONGKAH HOLDINGS: In Rescue Scheme Negotiations With Creditors
--------------------------------------------------------------
Tongkah Holdings Berhad, with reference to the status of THB's
plan to regularize its financial condition, informed that it is
still in negotiation on a rescue scheme with interested parties,
as well as with its major creditors to restructure the existing
debts of the THB Group.
The Company has been granted an extension of time until 5
September 2002 to make the requisite announcement (as defined
under PN4) by the Kuala Lumpur Stock Exchange and is hoping to
do so before the said deadline.
TONGKAH HOLDINGS: Unable to Meet Redemption of Bonds B
------------------------------------------------------
Rating Agency Malaysia Berhad announced that on 29 August 2002,
a quarter of Tongkah Holdings Berhad (Tongkah) RM462.54 million
nominal value Redeemable Convertible Secured Bonds (1999/2004)
(the Bonds), which are split into 2 tranches - RM186.56 million
Bonds A and RM275.98 million Bonds B - was due for redemption at
the option of the bondholders. While Bonds A had sufficient
funds in the sinking fund to meet the redemption, the fund for
Bonds B only amounted to about RM5 million. As at the closing
date for the lodgment of the notice of redemption for the
holders of Bonds B, Tongkah received 52 notices of redemption
amounting to RM43.18 million.
On 29 August 2002, Tongkah announced that it was unable to meet
its redemption obligation on Bonds B. Upon the occurrence of
this default, the holders of Bonds B (that hold no less than 50%
in aggregate) may request the Trustee to declare the Bonds
immediately due and payable within 30 days from 29 August 2002.
The Trustee may pursue its rights and remedies to enforce the
rights of the holders of Bonds B within this time period.
However, no holder of Bonds B will be entitled to pursue such
remedies if they fail to do so within 30 days from the date of
default, unless the Trustee is bound to do so in accordance with
the terms of the Special Resolution of the holders of Bonds B.
Both Tongkah's Bonds A and B are currently rated C3. The default
on Bonds B may trigger a technical default under the Trust Deeds
of Bonds A and B. Should Tongkah fail to remedy the situation
within 30 days, the ratings will be downgraded to D.
UCP RESOURCES: Provides Defaulted Payment Status Update
-------------------------------------------------------
UCP Resources Berhad, in accordance with Practice Note No.
1/2001 of the Kuala Lumpur Stock Exchange Listing Requirements,
provided an update on its default in payment as follows:
(i) UCP Manufacturing (M) Sdn Bhd, a subsidiary of UCP
Resources Bhd, as at 31 August 2002, defaulted in repayment of
Bankers Acceptance, Overdraft, Term Loan and Current Account
amounting to RM43,209,894 made up of a principal sum of
RM38,405,399 and interest of RM4,804,495;
(ii) UCP Marketing (M) Sdn Bhd, a subsidiary of UCP Resources
Bhd, as at 31 August 2002, defaulted in repayment of Bankers
Acceptance and Term Loan amounting to RM7,151,100 made up of a
principal sum of RM7,040,668 and interest of RM110,432;
(iii) UCP Geotechnics (M) Sdn Bhd, a subsidiary of UCP
Resources Bhd, as at 31 August 2002, defaulted in repayment of
Bankers Acceptance and Overdraft amounting to RM15,606,406 made
up of a principal sum of RM15,344,667 and interest of RM261,739;
and
(iv) Universal Concrete Products Sdn Bhd, a subsidiary of UCP
Resources Bhd, as at 31 August 2002, defaulted in repayment of
Bankers Acceptance amounting to RM3,014,452 made up of a
principal sum of RM3,000,000 and interest of RM14,452.
The UCP Group shall make periodic announcement on a monthly
basis to the Exchange of the current status of the default and
its steps taken to address the default until such time when it
is remedied. To see latest update of default in payment status,
go to http://www.bankrupt.com/misc/TCRAP_UCP0904.xls.
UNITED CHEMICAL: Proposed Restructuring Scheme in Progress
----------------------------------------------------------
Alliance Merchant Bank Berhad, on behalf of the Board of
Directors of United Chemical Industries Berhad, announced that
the relevant parties are currently:
ú working towards entering into a Corporate Restructuring
Agreement (CRA) to record and regulate the proposed
restructuring scheme of the Company; and
ú meeting with the creditors of the Company to procure their
agreement-in-principal in respect of the proposed restructuring
scheme.
WEMBLEY INDUSTRIES: Finalizes Proposed Debt Restructuring Docs
------------------------------------------------------------
Wembley Industries Holdings Berhad had on 31 July 2002 via its
financial adviser made the Requisite Announcement pursuant to
PN4 to regularize the financial condition of the Company and its
subsidiaries.
On 9 August 2002, the Exchange approved the Company's
application dated 31 July 2002 to extend the time from 1 August
2002 to 30 September 2002 to enable the Company to submit the
Proposed Debt Restructuring, the Proposed Capital Reduction and
Consolidation and the Proposed Rights Issue (which were
announced on 31 July 2002) to the relevant authorities.
The Company is currently preparing and finalizing its
applications for submission to the relevant authorities.
The Company is also an affected listed issuer under Practice
Note 10/2001 (PN10) of the LR. As such, the Company must comply
with the obligations set out in paragraph 6 of PN10. The
Exchange has informed the Company that since the Company is an
affected issuer under PN4, the requirements and obligations of
PN4 would prevail over those of PN10. The proposals announced in
the Requisite Announcement would enable the Company to address
both its financial condition (PN4) and the level of operations
(PN10) to warrant a continuing listing on the Official List.
=====================
P H I L I P P I N E S
=====================
CONCRETE AGGREGATES: Board Accepts Director's Resignation
---------------------------------------------------------
Concrete Aggregates Corporation (CA), through SEC Form17-C dated
August 29, 2002, informed the Philippine Stock Exchange that one
of the eleven (11) man board of the Company, in a letter dated
August 8, 2002 tendered his resignation from the Board for
personal reasons.
In the regular meeting of the Board conducted on August 29,
2002, wherein quorum was present, the Board formally accepted
the resignation of Mr. Eduardo M. Ortigas effective on the date
of acceptance.
The Board proceeded to elect Mr. Andrew Tilke to fill in the
vacant position and serve for the unexpired term or until June
2003.
In 2001, the Corporation decided to authorize the implementation
of a total and complete shutdown or closure of its crushing
plant operations located at Barangay Anonang, San Fabian,
Pangasinan, in view of the continuous heavy financial losses
suffered by the Corporation due to the poor economic and market
conditions.
In view of the foregoing the Corporation has been authorized to
undertake the severance of its Pangasinan employees with the
payment of their separation pay in accordance with the approved
package and in compliance with existing laws. The closure of
operations and the separation of employees from the service
shall be effective October 13, 2001.
According to Wrights Investor's Service, at the end of 2001,
Concrete Aggregates had negative working capital, as current
liabilities were 265.73 million Philippine Pesos while total
current assets were only 258.24 million Philippine Pesos.
NATIONAL POWER: Government Favors PT Assets Lease Over Sale
-----------------------------------------------------------
The government is favoring leasing out National Power
Corporation's power transmission (PT) assets instead of an
outright sale, AFX Asia said Monday, citing Energy Secretary
Vicente Perez Jr.
The move would allow the state to maximize the funds raised from
its assets while keeping ownership.
Perez said the government is now planning to lease out the
National Transmission Co (Transco), which will hold the
transmission assets of the National Power Corp, for 25 years.
The lease will carry a 25-year renewal option, and will allow
the chosen concessionaire to expand, finance, operate and manage
Transco's transmission facilities.
Transco's privatization is pending as Congress has yet to award
a franchise to the Company, which was created by the power
sector reform law.
The sale of Napocor's generation assets should help the
government avoid US$500 million or about 25 billion pesos in
annual financing charges, Power Sector Asset and Liabilities
Management Corp President Edgardo del Fonso said.
He said Napocor would also be relieved of 25 billion pesos in
annual losses.
"There is an urgent need to undertake the privatization of
Napocor," del Fonso said.
"Because of its serious financial problems, Napocor can no
longer maintain, if at all expand, its operations because of the
huge investments required in this business."
According to Del Fonso, the privatization of Transco should
raise about US$2.9 billion, while the Napocor assets would fetch
about US$2.1 billion.
=================
S I N G A P O R E
=================
ASIA PULP: Makes $60M Initial Debt Payment
------------------------------------------
Asia Pulp and Paper Co Ltd. (APP) has made a total initial debt
payment of $60 million in August, Reuters reported Monday,
citing the Indonesia Bank Restructuring Agency (IBRA), Reuters
reports.
IBRA confirmed that the Company must pay a further $40 million
this month as part of a complex debt workout plan.
To speed up APP's debt restructuring scheme, IBRA would soon
install financial controllers in APP, perhaps as early as this
week.
Asia Pulp, which was hit by sagging pulp and paper prices, a
liquidity crunch and ratings downgrades, has its headquarters in
Singapore and is the biggest pulp and paper Company in Asia
outside Japan.
APP has its main operations in Indonesia and China.
BOUSTEAD SINGAPORE: Appoints New Member to the Audit Committee
--------------------------------------------------------------
The Board of Directors of Boustead Singapore Limited announced
on August 29, 2002 that Chong Ngien Cheong had been appointed as
a member of the Company's Audit Committee and that the Board
considered Mr. Chong an independent director pursuant to Clause
704(8) of the Listing Manual of the Singapore Exchange
Securities Trading Limited (SGX-ST).
The Board wishes to add that it has examined the provisions
under Section 201B(2) of the Companies Act, Cap. 50 and
Paragraph 2.1 of the Code of Corporate Governance relating to
independent directors and is satisfied that Chong can be
considered an independent director under the said provisions,
notwithstanding the fact that Chong is a substantial shareholder
of the Company and a brother-in-law of Wong Fong Fui, the
Company's Chairman and Group Chief Executive Director.
In forming its opinion, the Board also took into consideration
the conduct of Chong during his six years as Director of the
Company and notes that Chong has always acted objectively and
independently in the discharge of his duties. The Board is
satisfied that the circumstances will not interfere with Chong's
exercise of independent judgment in carrying out his functions
as a member of the Company's Audit Committee.
The Audit Committee of the Company now comprises the following
non-executive Directors:
Mr John Lim Kok Min * (Chairman)
Mr Wong Heng Chong; and
Mr Chong Ngien Cheong *.
* Independent Directors.
CHARTERED SEMICONDUCTOR: Ratings Unaffected by Rights Issue
-----------------------------------------------------------
Standard & Poor's (S&P) is maintaining its BBB- rating for
Chartered Semiconductor, following the news that the Company
will offer a US$633 million rights issue to existing
shareholders, AFX Asia reports.
Standard & Poor's rates the Company's outlook to Negative.
"The rights offering will strengthen Chartered's financial
flexibility by increasing available cash, and, on a pro forma
basis, should improve the Company's debt leverage to 35 percent
from about 44 percent as of June 30, 2002," S&P said.
"Furthermore, the decision by Singapore Technologies Group,
Chartered's parent, to subscribe its pro-rata entitlement of
60.5 pct of the offering, shows the group's continued commitment
to Chartered," S&P said.
According to S&P, the Company would continue to be adversely
affected by uncertainties in the performance of the
semiconductor industry.
Furthermore, its profitability and cash flow measures remain
weak, S&P said.
MFG INTEGRATION: Posts Interim Loss of $2.5M
--------------------------------------------
Semiconductor equipment maker, Mfg Integration Technology (MIT),
has posted an interim loss of $2.5 million versus a loss of $6.5
million a year earlier, Kelive reports. The results for the
first half in 2001 included an exceptional loss of $6 million.
Sales for the group tanked 63 percent year on year to $7 million
as customers cut their CAPEX plans due to the sluggish
semiconductor industry.
Future sales orders remain low and management believes that it
will remain unprofitable for the full year. The group is making
efforts to penetrate deeper into the Chinese market and has also
set up a manufacturing facility for precision engineering and
subsequently for equipment assembly.
Kelive maintain avoid on the stock given that the outlook for
the semiconductor equipment sector remains cloudy.
Recovery for smaller players like MIT is expected to be a long
and arduous process.
PRESSCRETE HOLDINGS: Narrows Net Loss to S$1.302M
-------------------------------------------------
Presscrete Holdings Ltd posted a net loss of S$1.302 million in
the six months to May from 3.254 million a year earlier due to
lower interest charges arising from the deconsolidation of unit
Ceramic Technologies Pte Ltd's debts, AFX Asia reports.
Ceramic Technologies was placed under judicial management in
January 2002.
Financial results:
Sales - S$4.556 million versus 6.423 million
Net loss - S$1.302 million versus 3.254 million
Loss per share - 1.13 cents versus loss 4.48
Interim div - nil; unchanged
ST ASSEMBLY: Responds to SGX Queries
------------------------------------
ST Assembly Test Services Ltd, a leading independent
semiconductor test and advanced packaging service provider, in
response to queries from the SGX, said the Company is not aware
of any material information or development involving the Company
that could have a significant impact on the volume and price
traded of its securities on the SGX.
Said Pearlyne Wang, acting Chief Financial Officer, "We raised
$200 million through a convertible bond offering in March this
year and as previously reported, as of June 30, 2002, had about
$258 million of cash and cash equivalent and marketable
securities. We have no current plans for further financing this
year."
About ST Assembly Test Services Ltd. (STATS) ST Assembly Test
Services Ltd, is a leading semiconductor test and assembly
service provider to fabless companies, integrated device
manufacturers and wafer foundries. With its principal operations
in Singapore and global operations in the United States, United
Kingdom, Germany, Japan and Taiwan, STATS offers full back-end
turnkey solutions to customers worldwide. STATS' expertise is in
testing mixed-signal semiconductors, which are extensively used
in fast growing communications applications such as data
networking, broadband and mobile communications.
STATS also offer advanced assembly services and have developed a
wide array of traditional and advanced leadframe and laminate
based products, including various ball grid array packages to
serve some of the world's technological leaders. STATS were
listed on the Nasdaq National Market and The Singapore Exchange
in January 2000 and are in the Morgan Stanley Capital
International (MSCI) Index and the Straits Times Industrial
Index. Further information is available at www.stts.com.
TCR-AP reported that ST Assembly and Test Services Ltd.'s net
loss for the second quarter narrowed to US$20.253 million from
31.648 million a year earlier.
The Company incurred a net loss of US$26.553 million in the
first quarter to March on sales of US$39.404 million.
TELEDATA LTD: Completes Shares Disposal, Repaying Bonds
-------------------------------------------------------
The Board of Directors of Teledata (Singapore) Limited said the
Company on August 29, had completed the sale and disposal of all
the issued shares it held in IntraWave Pte Ltd (IntraWave)
(comprising 2,550,000 ordinary shares of S$1.00 each), and the
Company's receivables in respect of all loans made by the
Company to IntraWave on or before 31 December 2001 (the
Disposal), pursuant to the terms set out in the sale and
purchase agreement made between the Company and Intraco Ltd.
dated May 6, 2002 relating thereto.
The principal terms and conditions, financial effects and
rationale for the Disposal are set out in the Circular to
Shareholders dated June 29, 2002. The Shareholders had at the
Extraordinary General Meeting held on July 24, 2002 approved the
terms, and the execution of the Disposal.
The entire proceeds of S$7.5 million arising from the Disposal
will be used to partially repay the S$30 million owed by the
Company in respect of the bonds issued by the Company. To-date,
of the S$30 million owed on the bonds issued by the Company, the
Company has repaid an aggregate amount of S$10.5 million in
respect of such bonds.
UNITED OVERSEAS: Voluntarily Winding Up Units
----------------------------------------------
United Overseas Bank Limited (UOB) announced Monday that the
following subsidiary companies of UOB have commenced or
completed member's voluntary liquidation:
UOB Property Management Pte Ltd;
UOB Management Services Pte Ltd;
Asia-reach.com Pte Ltd;
UOB Travel (General Sales Agent) Pte Ltd;
OUB Research Sdn Bhd;
OUB Factors Pte Ltd;
OUB Bullion & Futures Ltd;
Overseas Union Bank Nominees (UK) Limited *;
Overseas Union Facilities (HK) Ltd;
OUB Finance (HK) Ltd;
Overseas Union Garden (Private) Limited;
Grand Orient Nominees Pte Ltd;
Overseas Union Project Management Pte Ltd;
ICB Enterprises Pte Ltd.
* Company applied to be struck off.
===============
T H A I L A N D
===============
COUNTRY (THAILAND): Files Business Reorganization Petition
----------------------------------------------------------
Real estate developer Country (Thailand) Public Company Limited
(DEBTOR)'s Petition for Business Reorganization was filed at the
Central Bankruptcy Court:
Black Case Number 508/2542
Red Case Number 573/2542
Petitioner: COUNTRY (THAILAND) PUBLIC COMPANY LIMITED
Debts Owed to the Petitioning Creditor: Bt12,790,653,716.86
Planner: Country (Thailand) Public Company Limited
Date of Court Acceptance of the Petition: June 28, 2000
Date of Examining the Petition: July 24, 2000 at 9.00 A.M.
Court Order for Business Reorganization: July 28, 2000
Court Order for Appointment of Planner: August 22, 2000
Announcement of Court Order for Business Reorganization and
Appointment of the Planner in Matichon Public Company Limited
and Siam Rath Company Limited: August 31, 2000
Announcement of Court Order for Business Reorganization and
Appointment of the Planner in Government Gazette: September 21,
2000
Deadline for Planner to submit the Business Reorganization Plan
to Official Receiver: December 21, 2000
Planner postponed the Date for submitting the Plan #1st: January
21, 2001
Appointment Date of the Creditors' meeting for the Plan
Consideration had been postponed to April 11, 2001 at 9.30 am.
Convention Room no. 1105, 11th Floor Bangkok Insurance Building,
South Sathorn Rd.
The Meeting of Creditors had no resolution accepting the
reorganization plan
Court has set the date for the plan consideration on June 1,
2001
Court had issued an Order Canceling the Order for Business
Reorganization pursuant to Section 90/48 since June 1, 2001
Announcement of Court Order for Canceling the Reorganization in
Matichon Public Company Limited and Siam Rath Company Limited:
June 25, 2001
Announcement of Court Order for Canceling the Reorganization :
in Government Gazette: August 2, 2001
Contact: Mr. Somkit Tel, 6792525 ext 144
SIAM SYNTECH: Financial Statement Submission Delayed
----------------------------------------------------
Siam Syntech Construction Plc., as required to submit
Consolidated Financial Statement for the year ended as at 30
June 2002 on August 30, 2002, apologized for the delay of
submission.
In view to the delayed submission of Financial Statement, the
Company decided to appoint KPMG Audit (Thailand) Limited to be
its new auditor. The limited time of its new appointed auditor
to cover the processing of the Rehabilitation Plan is also one
of the causes that delays the submission. The company is still
under the Rehabilitation Plan.
The Company extended the submission to be within the date of 30
September 2002.
THAI MODERN: OSPP Gets Bt136,017.97 Outstanding Entitlement
-----------------------------------------------------------
Thai Modern Plastic Industry Public Company Limited announced on
Monday that Om-sin Poonpol Fixed Income Fund (OSPP), under the
management of National Asset Management Company Limited, holds
debentures of the Company face value of Bt16,000,000. The
Company has been unable to pay interest and principal at
maturity and the Court subsequently issued an order approving
the Business Restructuring Plan.
On August 30, 2002 OSPP received the second distribution of
Bt136,017.97, which is 0.8% of outstanding entitlement.
THAI PETROCHEMICAL: Committee Member Dr. Sippanondha Resigns
------------------------------------------------------------
The Ministry of Justice appointed on 30 July a Committee to
monitor the effects resulting from the implementation of the
rehabilitation plan of Thai Petrochemical Industry Public
Company Limited (TPI). Dr. Sippanondha Ketudat was a member of
that Committee and is also Chairman of Effective Planners
Limited (EPL), the Plan Administrator of TPI.
On 30 August 2002, Dr. Sippanondha submitted a letter of
resignation from the Committee to the Justice Minister and
included his comments regarding the Committee in the letter.
Dr. Sippanondha also sent a letter to inform the Prime Minister
of his decision. Below are copies of both letters:
A. To: The Prime Minister
Subject: Plan Administration of TPI and the Appointment of the
Committee to the POC for Resolving the Problems from
Rehabilitation of TPI
I refer to the appointment of the above-mentioned Committee of
which the details are in the attached.
I view that such action might result in the interference to the
judicial authority and the intervention to the performance of
the civil servant.
For your consideration.
Yours sincerely,
Dr.Sippanondha Ketudat
Chairman
Effective Planners Limited
As Plan Administrator of TP
B. To: The Minister of Justice
Subject: Resignation from the Committee
Reference: 1. Letter from the Office of the Secretary to the
Minister of Justice, Ref. no. Yor Tor 0100 (Sor Lor) / 3535
dated 26 August 2002
2. Order of the Ministry of Justice no.
519/2545 re the Appointment of the Committee to the POC for
Resolving the Problems from Rehabilitation of TPI dated 30 July
2002
Referring to the above letter and order, I would like to thank
you for appointing me as a member of the Committee. But
after having thorough considered the matter, I would like to
express my opinions as follows:
1. The Restructuring Plan has already gone through
the process according to the Bankruptcy Law but the former
executive (Debtor) has submitted the petition to the Supreme
Court indicating that the Plan is not in compliance with the
law. The Court has finally ruled that the Plan is in compliance
with the law.
2. Effective Planners Limited was appointed according
to the Bankruptcy Law as the Plan Administrator but the former
executive (Debtor) has submitted the petition to the Bankruptcy
Court indicating that EPL does not possess qualifications. The
Court has finally ruled that EPL has complete qualifications to
act as the Plan Administrator.
3. The supervision of the implementation of the Plan
by EPL is the duty of the civil servant, which are the Legal
Execution Department and the Official Receiver who have to
perform their duties to be in compliance with the law.
4. As per the implementation of the Plan started from
15 December 2000, the former executive (Debtor) has filed more
than 30 lawsuits against EPL and its personnel. Up until now,
the Court has ruled 17 cases from which EPL won all cases.
5. Creditors (banks and financial institutions) are
satisfied with EPL's performance that it has performed its duty
according to the plan. They have issued letters to confirm
their support to the Official Receiver and employees. Due to
the unfavorable economic situation both globally and
domestically, and the time consumed in dealing with the court
cases (civil cases, criminal cases, and labor cases), some part
of the job still cannot be performed to achieve the Plan.
Regarding this, the Plan Administrator has already submitted the
petition to amend the Plan and the case is now being considered
by the Supreme Court.
6. EPL expects that the former executive (Debtor) may
be hiding some important information; therefore, he refused to
submit a lot of important documents requested. EPL is now taking
legal action in order for the former executive to submit such
information.
7. During the past 20 months of the plan
implementation, EPL has always performed according to the law
with the objective of saving TPI from being bankrupt and to keep
its status as Thai business by considering from the proportion
of the shareholding structure. EPL, therefore aims at
rehabilitating TPI (on the parts that are being rehabilitated
by EPL) in order for TPI to have a secured status in the future.
8. Foreign investors are closely keeping their eyes
on this matter. They have asked me whether there is any
political intervention to the civil servant and to the court. I
have replied them that they should ask the government by
themselves.
In conclusion, EPL has acted according to the Plan and to the
law but there are always complaints from the debtor's executive
both in the judicial process of the court and the working
process of the civil servant. This is an unusual exercise of
rights and has some kind of objectives, which might be the
reason for the set up of this Committee.
I, therefore consider that to participate in the committee with
political objective is the interference to the judicial
authority and the intervention to the performance of the civil
servant. My friends who are foreign investors have expressed
their concerns that the set up of the committee might obstruct
the independent and rightful operation.
With the reasons mentioned above, I therefore would like to
resign from the Committee.
I would also appreciate if you would consider distributing my
letter of resignation to other committee members.
Please be informed of my resignation and its reasons.
Professor Dr.Sippanondha Ketudat
Chairman
Effective Planners Limited
As Plan Administrator of TP
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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