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       T R O U B L E D   C O M P A N Y   R E P O R T E R

                   A S I A   P A C I F I C

           Monday, October 28, 2002, Vol. 5, No. 213

                         Headlines


A U S T R A L I A

COLES MYER: Clarifies Dissident Director's Recent Barbs
TELEVISION & MEDIA: CEO Resigns As Firm Decides to Abolish Post


C H I N A   &   H O N G  K O N G

ASIA GLOBAL CROSSING: Will Restate Financial Information
CHL TRANSPORTATION: Hearing on Wind Up Petition Set for Nov. 13
EASTERN COMMUNICATIONS: Nine-month Figures Down 97 Percent
FU HO NORTHERN: November Hearing on Wind Up Petition Set
GOLDEN JADE: Winding Up Petition Hearing Set for November 13

NEW WORLD: Inks HK$21B Restructuring Plan with Pacific Ports
UPWEALTH CORPORATION: Court to Rule on Winding Up Case Nov. 13
WAH HIP: High Court Will Hear Winding Up Case on Nov. 13
YORK ELECTRONIC: Winding Up Petition Hearing Set November 13


I N D O N E S I A

ASTRA INTERNATIONAL: 2002 Earnings Won't Meet Maturing Debts
BANK MANDIRI: Dire Market Conditions New Reason for IPO Delay
PT DANAREKSA: Inks Debt Buyback, Repayment Pact with Creditors


J A P A N

DAIWA SECURITIES: Postpones New York Stake Listing
DAIWA SECURITIES: First Half Results Returns to Black
FUJITSU LIMITED: Moody's Changes Rating Outlook to Negative
MITSUBISHI ELECTRIC: Gets US$887 Million US Train Order
NIPPON STEEL: Develops New Steel Material


K O R E A

ASIANA AIRLINES: Selling Catering Unit to Lufthansa
CHOHUNG BANK: Expects to Face Merger Talks
HYNIX SEMICONDUCTOR: Denies Seeking Funding From Creditors
KABUL CO.: Continues Debt Workout Program


M A L A Y S I A

BESCORP INDUSTRIES: Special Administrators to Accept Other Bids
GEAHIN ENGINEERING: Malaya High Court Issues Restraining Order
IDRIS HYDRAULIC: Parties to Restructuring Accept SC Conditions
LANDMARKS BERHAD: Disposes of Mayne Group Shares
MYCOM BERHAD: Names Independent Adviser for Minority Investors
NAM FATT: Sets Unsecured Loan Stocks' Conversion Price

PAN MALAYSIA: Gives Two Creditors Five Million Ordinary Shares
PARIT PERAK: Special Administrators Named, Restructuring Begins
SUNWAY HOLDINGS: Firm Proposes Bond Buy-back in 2003
TAT SANG: Cases Against Firm for Payment Defaults Still Pending
TECHNOLOGY RESOURCES: Seeks Return of RM55M Paid to Directors

UNIPHOENIX CORPORATION: Subsidiary In Voluntary Liquidation


P H I L I P P I N E S

FIRST E-BANK: BDO Commences Takeover of Business Operations
KUOK PHILIPPINES: Moves Office to Mandaluyong from Makati
PHILIPPINE LONG: PISO Accuses Telecom of Unfair Practices
PHILIPPINE LONG: Rejects Overcharging Allegation by ISP's


S I N G A P O R E

CHEW EU: Appoints Ernst & Young as Auditors
CHARTERED SEMICONDUCTOR: Reducing Worldwide Workforce by 300
CHARTERED SEMICONDUCTOR: Discloses Third Quarter Results
CREATIVE TECHNOLOGY: Third Quarter Losses Down to S$4.98M
XPRESS HOLDINGS: Proposes Capital Reduction Exercise

OSSIA INTERNATIONAL: Clarifies Winding Up Petition by Westpac  
VICPLAS INTERNATIONAL: Narrows Net Loss to S$2 Million


T H A I L A N D

BANGKOK BANK: Says Interest Cut Will Facilitate Firm's Recovery
NATIONAL FERTILIZER: Expects Restructuring to Bear Fruit in `03
THAI PETROCHEMICAL: Reschedules Vote on Debt Plan Amendment

     -  -  -  -  -  -  -  -

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


COLES MYER: Clarifies Dissident Director's Recent Barbs
-------------------------------------------------------
Coles Myer on Friday sought to clarify issues relating to the
Shareholder Discount Scheme and board visits to stores, which
have been the subject of substantial media coverage.

In radio advertisement broadcast on October 17, 2002, CML
Director Solomon Lew said: "The reason is that eight of the
other directors of Coles Myer, people with little or no
experience in retail, have recommended that you don't vote for
me.  That doesn't seem to make sense.  But then, these are the
same people who got rid of the shareholder discount card, that
didn't make sense to me either."

Mr. Lew stated on October 22, 2002 through his solicitors that
he opposed the proposal to phase out the shareholder discount
plan announced in March this year.  Mr. Leibler believes that
Mr. Lew did object to the proposal that the shareholder discount
card be discountinued.  However, while the directors discussed
the consequences of the proposal to phase out the shareholder
discount plan, no director opposed the decision to phase out the
plan.  In May this year, Mr. Lew criticized the decision, but
this was after the decision to phase out the plan was made and
publicly announced.

The company, at the time of the announcement and subsequently,
has articulated publicly its reason for deciding to
progressively phase out the shareholder discount scheme over the
next two years.  It has said that the scheme was significantly
more expensive than other similar schemes around the world and
was only available to a small proportion of customers.  It has
said that new loyalty programs will be introduced to benefit all
customers on the basis of their spend.

The company has also stated that customer response to the first
reduction in discount levels, which took effect on July 31,
2002, has been within expectations.

In a separate statement issued on October 18, Mr. Lew said: "The
Coles Myer Board has made only one visit, as a Board, to a store
in the past 5 years.  The Coles Myer Board has never visited a
Coles store, a Target Store, a Kmart store, a Liquorland store,
an Officeworks store, a Megamart store or a Bi-Lo store.  Lets
Eat and Essentially Me opened and closed without a visit."

Board members, other than Mr. Lew, either individually or with
other directors have made many, many visits to stores and
distribution centers in this time.  Company records confirm the
arrangement of meetings and visits, and attendance of the board
at company stores in the past 5 years.

The Board also visited relevant retailing operations
(approximately 16 stores) on the West Coast of the United States
in May 1999.

For more information, contact Scott Whiffin 03 9829 5548


TELEVISION & MEDIA: CEO Resigns As Firm Decides to Abolish Post
---------------------------------------------------------------
Tony Hartnell, Chairman of Television & Media Services Limited
(TMS), announced on Friday that, following the recent
announcement of the company's restructure and its intention to
focus exclusively on its Global Television unit, Mr. Bruce Fink
would be resigning from his position as overall CEO.

In making the announcement, Mr. Hartnell acknowledged Mr. Fink's
dedication to the company and thanked him for his commitment
over the years.

"Bruce has spent a lot of time and energy in his role as TMS
CEO and the Board recognizes that these efforts were key in the
initial development of the company's main business streams," he
said.

Under Mr. Fink's leadership, TMS helped build Global Television
into the position of strength it currently holds in TV
production and outside broadcasting services. Whilst the Val
Morgan cinema advertising unit also grew strongly, obtaining all
cinema screens in Australia and the majority in New Zealand, the
continued global economic slowdown and its impact on advertising
spending eroded profits after Val Morgan's acquisition of Media
Entertainment Group.

The restructure was proposed once it became clear a turnaround
in the external environment was not imminent.

"Thanks to the strong support of its major shareholders, TMS
anticipates that the restructure will be implemented in the near
future. The subsequent focus on one single business stream,
namely TV production and outside broadcasting, eliminates the
need for an overall CEO role in addition to that of the head of
Global Television," the Chairman noted.

"Bruce had expressed his desire to pursue other ventures, and
the changed focus of the company going forward allows us to
phase out his position without causing any disruption to
continuing activities.  Consequently, the Board agreed with his
request to step down," Mr Hartnell concluded.

Commenting on his decision to pursue other interests, Mr. Fink
acknowledged that the company had faced difficult trading
conditions, particularly in the cinema advertising business, but
indicated that he remained confident that the Global Television
franchise would continue to be successful.

"I have had the pleasure of working with some very talented
people over the years, both at the operational and management
level, and I am sure that this talent and commitment will
continue to be recognized by customers and shareholders," Mr.
Fink said.

The CEO's resignation will become effective at the end of the
month.  Mr. Fink will continue on the TMS Board but has informed
the Board that he does not intend to stand for re-election at
the AGM scheduled for November 28, 2002. He will also continue
to represent the Company's interests as a director on the Board
of the Omnilab and Dubsat operations, as well as on the Board of
Becker Group Limited.


NOTICE OF 2002 ANNUAL GENERAL MEETING

Notice is hereby given that the Annual General Meeting of
Television & Media Services Limited will be held at the offices
of PricewaterhouseCoopers, Level 10, Darling Park Tower, 201
Sussex Street Sydney NSW on Thursday 28 November 2002 at 4:00pm.

AGENDA

ORDINARY BUSINESS

(1) TO RECEIVE AND CONSIDER THE FINANCIAL STATEMENTS FOR THE
YEAR ENDED 30 JUNE 2002.

To receive and consider the financial statements of the Company
and economic entity for the year ended 30 June 2002 and the
reports of the directors and auditors thereon.

(2) ORDINARY RESOLUTION TO RE-ELECT DIRECTOR.

A G Hartnell retires by rotation pursuant to Article 7.2 of the
Constitution and, being eligible, offers himself for re-
election.

To consider the appointment of Mr A G Hartnell and, if thought
fit, pass the following resolution as an ordinary resolution:

"That Mr. A G Hartnell be re-elected as a director of the
company"

(3) DIRECTOR RETIREMENT.

P Myers retires by rotation pursuant to Article 7.2 of the
Constitution and, being eligible, offers himself for re-
election.

To consider the appointment of Mr P Myers and, if thought fit,
pass the following resolution as an ordinary resolution:

"That Mr. P Myers be re-elected as a director of the company"



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


ASIA GLOBAL CROSSING: Will Restate Financial Information
--------------------------------------------------------
Asia Global Crossing will be restating financial results
contained in its filings previously made with the Securities and
Exchange Commission.  These filings cover the period to
September 30, 2001.

As discussed in the company's previous news releases, Asia
Global Crossing entered into a number of transactions in which
it provided capacity, services or facilities to other
telecommunications carriers and, concurrently, purchased or
leased capacity, services or facilities from these same
telecommunications carriers.  The company refers to such
transactions as "reciprocal transactions."  

Asia Global Crossing's restatements will record exchanges of
telecommunications capacity from reciprocal transactions at
historical carryover basis rather than at fair value, which was
used in reporting prior results.  This restatement reflects
discussions between the company and the SEC on the appropriate
accounting for reciprocal transactions.

There will be no change in previously reported revenue, expenses
or net income for the periods ended September 30, 2001 as a
result of the restatements.  Total Assets and Total Liabilities
as recorded on the September 30, 2001 balances sheet of the
company will be reduced by approximately $141 million, from
$4.144 billion to $4.003 billion.
  
Cash flows from operating activities for the nine months ended
September 30, 2001 will be reduced by approximately $68 million,
from $479 million to $411 million, with a corresponding
reduction in cash used in investing activities.  Net cash flow
will not be affected.

Asia Global Crossing also announced that revenues for the fourth
quarter of 2001, as disclosed in the company's February 26, 2002
press release, will be reduced by the $8.4 million described in
that release as being related to reciprocal transactions.

Asia Global Crossing provides city-to-city connectivity and data
communications solutions to pan-Asian and multinational
enterprises, ISPs and carriers.  Asia Global Crossing's largest
shareholders are Global Crossing, Softbank and Microsoft.


CHL TRANSPORTATION: Hearing on Wind Up Petition Set for Nov. 13
---------------------------------------------------------------
The High Court of Hong Kong has scheduled for hearing the wind
up petition against CHL Transportation (HK) Limited on November
13, 2002 at 9:30 in the morning.

Huen Fung Fei of Room 2402, Chung Tai House, Fu Tai Estate, Tuen
Mun, New Territories, Hong Kong brough the petition on August
26, 2002.  Tam Lee Po Lin, Nina represents the petitioner.

Creditors and other interested parties are encouraged to attend
the hearing.  They only need to notify in writing Tam Lee Po
Lin, Nina, which holds office at the 27th Floor, Queensway
Government Offices, 66 Queensway, Hong Kong.


EASTERN COMMUNICATIONS: Nine-month Figures Down 97 Percent
----------------------------------------------------------
Just how can things go really bad?  This appears to be the
question now occupying the minds of Eastern Communications Co.'s
top honchos after the firm bared figures that make last year's
results a fluke.

On Friday, the company reported that its net profit for the
first nine months of 2002 had plunged 96.6 percent on the year
due to rising advertising and promotion costs.  As a result, the
company is no longer keeping its original full-year estimates,
projecting 2002 earnings to dive more than 50%.

Citing the official Shanghai Securities News, Reuters says net
earnings plunged to 5.21 million yuan ($629,400) for the first
three quarters, versus 155.08 million yuan in the same period of
last year.  The results are still unaudited and compiled under
domestic accounting standards, the report said.

"The fall in our net profit was mainly because our company spent
more money on promoting and advertising our own mobile phones
and equipment," the company said in a statement.

Intensified advertising and marketing sparked a 55 percent year-
on-year surge in Eastcom's operating costs to 163 million yuan
from January to September, the statement said.

Competition is heating up in China's telecoms industry, which
has been targeted by foreign networking giants over the past two
years as spending elsewhere waned.

"Our company is in an industry where profit margins are dropping
and this will, to a certain extent, affect our operational
results and financial status," the statement said.  

Analysts said Eastcom, which focuses on GSM (global system for
mobile communications) network gear, was hit this year by
sliding investment in traditional GSM networks as mainland
operators turn to more advanced or alternative technology.

Eastcom's B shares, open to foreigners, closed on Thursday
nearly unchanged at $0.914.  It shares was suspended from trade
until 0230 GMT last Friday, Reuters said.


FU HO NORTHERN: November Hearing on Wind Up Petition Set
--------------------------------------------------------
The High Court of Hong Kong will hear on November 13, 2002 at
9:30 in the morning the winding up petition filed against Fu Ho
Northern Furniture Company Limited.

Fu Mau Shan of Room 2607, Oi Lai House, Yau Oi Estate, Tuen Mun,
New Territories, Hong Kong filed the petition on August 23, 2002
with the help of Tam Lee Po Lin, Nina.

Creditors and other interested parties may attend the hearing.  
They only need to notify in writing Tam Lee Po Lin, Nina, which
holds office at the 27th Floor, Queensway Government Offices, 66
Queensway, Hong Kong.  

The Notice must state the name and address of the person, or if
a firm or his or their Solicitor (if any) and must be served or
if posted, must be sent by post in sufficient time to reach the
abovenamed law firm not later than six o'clock in the afternoon
of the 12th day of November 2002.


GOLDEN JADE: Winding Up Petition Hearing Set for November 13
------------------------------------------------------------
The petition seeking the wind up of Golden Jade Seafood
Restaurant Limited is set for hearing on November 13, 2002 at
9:30 in the morning before the High Court of Hong Kong.

Yu Kam Shing of Room 3309, May Wah House, Hing Wah (1) Estate,
Chai Wan, Hong Kong brought the petition on September 6, 2002
with the aid of Tam Lee Po Lin, Nina.

Creditors and other interested parties, who support or oppose
the making of an order on the petition, are encouraged to appear
during the hearing.  They only need to notify in writing Tam Lee
Po Lin, Nina, which holds office at the 27th Floor, Queensway
Government Offices, 66 Queensway, Hong Kong.


NEW WORLD: Inks HK$21B Restructuring Plan with Pacific Ports
------------------------------------------------------------
A restructuring plan unveiled Tuesday last week caused the value
of New World Development shares to rally the rest of the week.  
Reuters says the group's share edged higher than HK$4 following
the announcement.

Under the HK$21 billion plan, subsidiary New World
Infrastructure will unload its debts by selling its assets as
well as holdings in New World Services to Pacific Ports.  NWI
shareholders will also be given shares of Pacific Ports.

For more details, view the restructuring plan by clicking on
this link http://bankrupt.com/misc/newworlddevelopment.pdf  


UPWEALTH CORPORATION: Court to Rule on Winding Up Case Nov. 13
--------------------------------------------------------------
The petition seeking the wind up of Upwealth Corporation Limited
is scheduled for hearing before the High Court of Hong Kong on
November 13, 2002 at 9:30 in the morning.

Lok Tam Kan of Room 810, Maple House, So Uk Estate, Po On Roa,
Cheung Sha Wan, Hong Kong brought the petition on August 28,
2002.  Tam Lee Po Lin, Nina represents the petitioner.

Creditors and other interested parties, who support or oppose
the making of an order on this petition, are urged to attend the
hearing.  However, they must notify in writing Tam Lee Po Lin,
Nina, which holds office at the 27th Floor, Queensway Government
Offices, 66 Queensway, Hong Kong.


WAH HIP: High Court Will Hear Winding Up Case on Nov. 13
--------------------------------------------------------
The wind up petition filed against Wah Hip Engineering Company
Limited before the High Court of Hong Kong will be heard on
November 13, 2002 at 9:30 in the morning.

Au Kwok Wingof Room 414, Chung Shue House, Lei Muk Shue Estate,
Kwai Chung, New Territories, Hong Kong lodged the petition on
August 27, 2002 with the aid of Tam Lee Po Lin, Nina.

Creditors and other interested parties are encouraged to attend
the hearing.  They only need to notify in writing Tam Lee Po
Lin, Nina, which holds office at the 27th Floor, Queensway
Government Offices, 66 Queensway, Hong Kong.


YORK ELECTRONIC: Winding Up Petition Hearing Set November 13
------------------------------------------------------------
The petition seeking the wind up of York Electronic Works
Limited will be heard by the High Court of Hong Kong on November
13, 2002 at 11:00 in the morning.

Law Lai Chun of Flat 2, 12th Floor, Yu Wing House, Yu Ming
Court, Tseung Kwan O, New Territories, Hong Kong filed the
petition on September 10, 2002.

The law firm Tam Lee Po Lin, Nina, which represents the
petitioner, encourages creditors and other interested parties to
appear at the time of the hearing.  They only need to notify in
writing the law firm, which holds office at the 27th Floor,
Queensway Government Offices, 66 Queensway, Hong Kong.

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


ASTRA INTERNATIONAL: 2002 Earnings Won't Meet Maturing Debts
------------------------------------------------------------
Leading Indonesian automotive company PT Astra International Tbk
admits it might have difficulty meeting its financial
commitments this year.

"Based on operating income projection this year Astra will be
able only to repay 60 percent of its debt obligations this
year," company spokesman Aminudin told the Jakarta Stock
Exchange last week. He did not say what the amount of debt was.

Last Monday, the company stock exchange that a deal with
creditors over a second debt-restructuring plan is almost done.
The company said it is optimistic a pact will be reached by end
of October, contrary to speculations that such a deal won't be
closed any time soon.

In a recent report, Troubled Company Reporter-Asia Pacific said
Astra International's restructuring plan involves paying only 60
percent of borrowings, including loans worth $135 million and
165 billion rupiah, coming due this year.  

The company plans to repay these loans by selling assets and
holding a US$150 million rights issue.  The firm has already
named a consortium of underwriters, comprising Rothschild-ABN
Amro, ING Barings, UBS Warburg and JP Morgan, to manage the
rights issue.

The company also wants creditors to extend further the repayment
period to 2012 from 2006.  The automaker's creditors include
Isuzu Motors Asia Ltd., Marubeni Corp., Itochu Corp., and the
Japan Bank for International Cooperation, TCR-AP said.

Astra, which is 32 percent owned by Singapore's Cycle & Carriage
Ltd., has debts totaling $726 million and IDR881 billion.


BANK MANDIRI: Dire Market Conditions New Reason for IPO Delay
-------------------------------------------------------------
The plan to launch an initial public offering for state-owned
Bank Mandiri appears to have stalled once more, says Asia Times.

Deputy State Minister for state enterprise, Mahmuddinb Yasin,
told a local newspaper recently that market conditions are not
favorable at present, and some technical matters have yet to be
dealt with including the capital structure of the bank.

Last month, Credit Suisse First Boston, ABN Amro and Danareksa
Sekuritas were named as lead underwriters for the November
initial public offering of at least 30 percent of the bank.  
Deutsche Bank is standing as the financial adviser for the
offering.

The government had planned to privatize Bank Mandiri since May
as part of its commitment to the International Monetary Fund in
exchange for the fund's financial support to mend the country's
economy.  The IPO plans had earlier been put on hold, much to
the disappointment of foreign investors, TCR-AP said last month.


PT DANAREKSA: Inks Debt Buyback, Repayment Pact with Creditors
--------------------------------------------------------------
PT Danareksa, the state-run investment bank, signed recently an
agreement with creditors to restructure some US$123 million of
debt through a debt buyback and rescheduling, reports AFX-Asia.

In a statement, the bank said the debt being restructured is
part of a US$174 million loan, of which US$46 million matured
last January.  The remaining US$128 million is due to mature in
stages from next year until Jan 2007.

Danareksa has already bought back US$17 million of the total
amount and repaid US$34 million through distribution of cash
collateral.  Of the remaining US$123 million, it will buy back
US$49 million and repay the remaining US474 million in one
payment in December 2007, the bank said.

The bank's creditors include Arab Bank, Bayerische Hypo und
Vereinsbank AG, Kookmin Bank, ABSA Bank and Royal Bank of
Scotland, says AFX-Asia.



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


DAIWA SECURITIES: Postpones New York Stake Listing
--------------------------------------------------
Daiwa Securities Group Inc. will postpone its listing on the New
York Stock Exchange from December to next year or even later,
the Nihon Keizai Shimbun and Nikkei said on Friday.

The Company initially intended to raise its visibility abroad
through the New York listing by boosting the ratio of shares
held by foreign investors. It also aimed to broaden the scope of
its business options, through operations such as mergers and
acquisitions via share swaps.

The Company will determine the timing for listing on the New
York market after examining the rules applying to foreign
companies that are expected to be announced by the U.S.
Securities and Exchange Commission as early as the end of
December.

In September, TCRAP reported that more than 20 clients of Daiwa
Securities Group Inc. filed a lawsuit with the Nagoya District
Court seeking more than 300 million yen in compensation,
claiming they were cheated of millions of yen.

The plaintiffs claim a former employee at a Nagoya branch of the
major brokerage house encouraged clients to invest from 1997 to
2001, stressing the brokerage guaranteed her special
arrangements to purchase shares in blue chips cheaply.


DAIWA SECURITIES: First Half Results Returns to Black
-----------------------------------------------------
Daiwa Securities Group is expected to return to the black in the
first half with a net profit of 10 billion, but not due to
recovery in core business, Dow Jones said on Friday, citing ING
Securities analyst Ned Akov.

The report said Daiwa booked heavy losses in 2001 due to real
estate restructuring costs.


FUJITSU LIMITED: Moody's Changes Rating Outlook to Negative
-----------------------------------------------------------
Moody's Investors Service has changed to negative from stable
the outlook for Fujitsu Limited (Fujitsu), Fujitsu Finance (UK)
Plc and Fujitsu International Finance (Netherlands) BV's senior
unsecured long-term debt, currently rated A3.

The change in outlook has been prompted by the longer-than-
expected weakness prevailing in the global market for
telecommunications infrastructure.

Moody's is also concerned that Fujitsu may need to incur
additional restructuring charges to improve its competitiveness,
further eroding its equity base.

Meanwhile, Moody's expects that Fujitsu's IT soft/solution
providing division will be able to keep good profitability.

Fujitsu Limited, headquartered in Tokyo, Japan, is one of the
world's leading manufacturers of computers, telecommunications
equipment and semiconductors.

TCR-AP reported that Fujitsu reported a first quarter
consolidated operating loss of 29.0 billion yen (US$242
million), an improvement of 13.3 billion yen over the operating
loss recorded during the corresponding quarter of the previous
fiscal year.

Due in part to costs associated with continuing restructuring
efforts, the Company posted a net loss for the period of 56.4
billion yen (US$470 million), compared with a net loss of 55.4
billion during the corresponding period last year.


MITSUBISHI ELECTRIC: Gets US$887 Million US Train Order
-------------------------------------------------------
Mitsubishi Electric Corp., Nissho Iwai Corp. and Canada's
Bombardier Inc. have received an order from the Metropolitan
Transport Authority (MTA) of New York for a total of 532
motorized train cars for commuter lines, Asia Pulse reported
Friday.

The total order is worth about 110 billion yen (US$887 million).
Of that amount, Mitsubishi and Nissho Iwai have received an
order worth 20 billion yen for electric drive mechanism control
equipment and other parts.

TCR-AP reported in March that Mitsubishi Electric Corp expects
to post a consolidated net loss of Y70 billion in fiscal 2001
through March, due to weak performance of the electronic device
and information equipment division.

The firm, which employs a total 11,000 full-time staff and
contract workers on a consolidated basis in Japan, has total
liabilities of US$27.3 billion as of March 2001 compared to
total assets of US$33.1 billion.


NIPPON STEEL: Develops New Steel Material
-----------------------------------------
Nippon Steel Corporation has developed a new steel material with
enhanced resistance to hydrochloric acid corrosion, Asia Pulse
said on Friday.

Hydrochloric acid generated by burning plastic promotes the
corrosion of steel used in waste incineration facilities. The
use of Nippon Steel's enhanced hydrochloric-acid-resistant steel
will enable incinerator operators to reduce costs by lengthening
facility life and reducing maintenance frequency.

According to TCRAP, Nippon Steel Corporation revealed a group
net loss of 28.4 billion yen in the year to March 31 from the
26.49 billion yen profit the year before, hit mainly by
valuation losses on its securities holdings.

As of March 2001, Nippon Steel had total assets of US$14 billion
against liabilities of US$25.2 billion.



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


ASIANA AIRLINES: Selling Catering Unit to Lufthansa
---------------------------------------------------
Asiana Airlines Inc. will sell its catering business to Deutsche
Lufthansa AG for 70 billion won, reports the Maeil Business
Newspaper.

The airline, an affiliate of the Kumho Group, plans to sign a
final agreement for the proposed sale with next month.

The two airlines have been negotiating the deal since August.

According to TCR-AP, Asiana Airlines had a negative working
capital at the end of 2000, as current liabilities were W1.47
trillion while total current assets were only W558.91 billion.


CHOHUNG BANK: Expects to Face Merger Talks
------------------------------------------
Chohung Bank under a privatization process is expected to face
merger talks, reports the Maeil Business Newspaper.

The Ministry Ministry of Finance and Economy will hand over
managerial rights of the bank to any domestic bank in Korea if
conditions are met.

One of Shinhan, KorAm or Kookmin banks will be a favored
candidate to merge with Chohung Bank, the oldest commercial
lender in Korea.

The report said another round of merger talks led by the
government may occur again after the consolidation of Kookmin
Bank and Housing & Commercial Bank of Korea.

TCR-AP reported that the Korean government has decided to
postpone its plan to sell off its 15 percent stake in Chohung
Bank to foreign investors later this year.

The state-run Korea Deposit Insurance Corp. (KDIC) now owns 80
percent of Chohung Bank as the government injected 2.71 trillion
won into the bank to normalize its operation amid the 1997-1998
financial crisis.


HYNIX SEMICONDUCTOR: Denies Seeking Funding From Creditors
----------------------------------------------------------
Hynix Semiconductor Inc. denied a newspaper report from the
Seoul Economic Daily that the chip maker was seeking additional
funding to upgrade technology for faster double data rate chips,
DDR333 and DDR400, Dow Jones said on Friday.

The report said creditors are reviewing a 1.85 trillion won
debt-for-equity swap, a 20:1 capital write-down and an extension
of two to three years on some loans as possible restructuring
measures to help rescue the debt-ridden chip maker.



KABUL CO.: Continues Debt Workout Program
-----------------------------------------  
Creditors of fabric manufacturer Kabul Co. decided to keep the
Company under a debt workout scheme for the time being, the
Korea Herald said on Thursday.

Bank creditors held a meeting last week to discuss whether the
firm should exit its workout scheme or not, but failed to win
more than 75 percent approval from other creditors.

Woori Bank and other bank creditors agreed to swap debts into
equity, valued at 224.4 billion won.

Creditors also agreed to new debt rescheduling plans, after
conducting a due diligence on the firm's assets and debts.

In the meantime, 15 non-bank creditors hold loans worth 200
billion won to the Company.



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


BESCORP INDUSTRIES: Special Administrators to Accept Other Bids
---------------------------------------------------------------
Further to the Company's announcement on October 18, 2002
regarding the withdrawal of Cybron Holdings Berhad's
participation in the Proposed Corporate and Debt Restructuring
of BESCOPR Industries Berhad (BIB), the Special Administrators
of BIB wish to announce that it will be inviting for tenders of
interested parties to participate in the Company's plan to
regularize its financial position on October 29, 2002.  Such
further announcement on the restructuring plan of the Company
will be made in due course.


GEAHIN ENGINEERING: Malaya High Court Issues Restraining Order
--------------------------------------------------------------
The Company had on October 23, 2002 announced that it had
obtained a Restraining Order granted by the High Court of Malaya
pursuant to Section 176(10) of the Companies Act, 1965 for a
period of ninety (90) days from the date of the order dated
October 23, 2002.

In Malaysia, a restraining order is generally issued to
distressed companies pending formulation of a scheme of
arrangement between the firms and their creditors.


IDRIS HYDRAULIC: Parties to Restructuring Accept SC Conditions
--------------------------------------------------------------
On behalf of the Board of Directors of Idris Hydraulic
(Malaysia) Berhad (IHMB), Commerce International Merchant
Bankers Berhad (CIMB) wishes to announce that the relevant
parties involved in the Proposed Restructuring Exercise and the
Proposed Acquisitions have accepted the conditional approvals
imposed by the Securities Commission (SC), save for the
following: the latest net tangible asset (NTA) of Tahan at the
time of the implementation of the proposed transfer of Tahan to
Idaman Unggul Sdn Bhd (Newco) (Proposed Tahan Transfer) must not
be less than the NTA of Tahan as at December 31, 1999 and that
in this regard, the latest adjusted NTA of Tahan should be based
on a date not exceeding four (4) months prior to the date of
implementation of the Proposed Tahan Transfer.

CIMB, on behalf of IHMB will be making an appeal to the SC to
waive the abovementioned condition for the implementation of the
Proposed Tahan Transfer.

In addition, the Investor has decided to seek an exemption from
the obligation to extend a mandatory offer to the remaining
shareholders of Newco upon conversion of the irredeemable
convertible unsecured loan stocks-B (ICULS-B) (Proposed 2.9.1
Exemption), pursuant to the Practice Note 2.9.1 of the Malaysian
Code on Takeovers and Mergers, 1998 (Code). Accordingly, Newco
will proceed to seek its shareholders' approval for the Proposed
2.9.1 Exemption.


LANDMARKS BERHAD: Disposes of Mayne Group Shares
------------------------------------------------
Landmarks Berhad has disposed 184,059 shares in Mayne Group
Limited. Mayne Group Limited (MGL) is listed on the Australian
Stock Exchange with principle activities as provider of
integrated services with its primary focus on health related
industries and logistics.

Disposed Shares

1.1 The disposals were made through contracts in the open market
on the following dates:

Contract Date  Price (AUD$) Quantity   Consideration  Net
Proceeds
                                          (AUD$)      (AUD$)

24 October 2002 3.451        184,059    635,187.61   633,599.64
                                       Total Proceeds 633,599.64

1.2 Total proceeds from Disposed Shares in Ringgit are
approximately RM1.330 million (For the purpose of this
announcement the exchange rate use is AUD$1.00: RM2.10). There
is zero balance of MGL shares held by Landmarks after the
disposal.

1.3 A total of 3,504,634 MGL shares has been disposed since 11
October 2002 (Accumulated Disposed Shares) with total net
proceeds of AUD$11.935 million/RM24.853 million.

Cost of Investment

2.1 The original cost and net book value of MGL shares is
AUD$5.56/RM11.56 per share. Total net book value/original cost
of Disposed Shares is AUD$1.023 million/RM2.128 million.

2.2 Total net book value and original cost of Accumulated
Disposed Shares is AUD$19.49 million/RM40.51 million.

Financial Effects

3.0 The loss on the Accumulated Disposed Shares of RM15.67
million/AUD$7.56 million will reduce Group earnings for the
financial year ending 31 December 2002 by 3.38 sen per share and
Group NTA by the same figure.

Utilization of Proceeds

4.0 All proceeds of the disposal are utilized for working
capital and meeting the Group's obligations.

Directors/Substantial Shareholder Interest

5.0 None of the directors and/or substantial shareholders, or
persons connected to the directors and substantial shareholders,
of Landmarks have any interest, direct or indirect, in the
disposal.

Directors' Opinion

6.0 The Board of Directors considers the disposal to be in the
best interest of the Company and the Group.

TCR-AP reported December last year that Sungei Wang Plaza Sdn
Bhd (SWPSB), a wholly owned subsidiary company of Landmarks on
24 December 2001, entered into a loan agreement for a
Transferable Term Loan Facility of RM220,000,000 (the Facility).
RM210 million of the proceeds from the Facility will be utilized
to substantially redeem the RM214 million Redeemable Secured
Bonds A, which matures on 26 November 2002, issued pursuant to
Landmarks Group's debt restructuring exercise announced on 11
June 2001 whilst RM10 million will be set aside
to finance capital expenditure to be incurred in connection with
the conversion of Sungei Wang Plaza's 6th floor car park into
commercial space.


MYCOM BERHAD: Names Independent Adviser for Minority Investors
--------------------------------------------------------------
Further to the earlier announcement dated August 30, 2002 made
by Mycom Berhad, Alliance Merchant Bank Berhad, on behalf of the
Board of Directors of Mycom, wishes to announce that the Kuala
Lumpur Stock Exchange had, vide its letter dated October 24,
2002, approved the appointment of Messrs Horwath Mok & Poon as
the independent adviser to the minority shareholders in relation
to the related party transactions under the Proposed
Restructuring Scheme.


NAM FATT: Sets Unsecured Loan Stocks' Conversion Price
-------------------------------------------------------
On behalf of the Board of Directors of Nam Fatt Corporation
Berhad, Commerce International Merchant Bankers Berhad hereby
announces that the conversion price of the RM10,064,512 of
RM0.10 nominal value 8-year zero coupon irredeemable convertible
unsecured loan stocks 2002/2010 (ICULS-B) to be issued pursuant
to the Proposed Rights Issue is fixed at RM1.00 for every one
(1) ordinary share of RM1.00 each in Nam Fatt (Nam Fatt Share).

The conversion price is arrived at after taking into
consideration the five (5) day weighted average market price of
Nam Fatt Shares from October 18, 2002 to October 24, 2002 of
RM0.74 and the par value of Nam Fatt Shares of RM1.00 each.

The Proposed Rights Issue is subject to the approval of the
Kuala Lumpur Stock Exchange for the listing of and quotation for
the following:

     (i) ICULS-B to be issued pursuant to the Proposed Rights
Issue; and

    (ii) new Nam Fatt Shares to be issued pursuant to the
conversion of the ICULS-B.


PAN MALAYSIA: Gives Two Creditors Five Million Ordinary Shares
--------------------------------------------------------------
On behalf of Pan Malaysia Holdings Berhad, Commerce
International Merchant Bankers Berhad is pleased to announce
that the Securities Commission (SC) has, vide its letter dated
October 23, 2002, approved the following as proposed:

     (i) The issuance of up to 5,184,238 new Shares as compared
to the issuance of up to 5,184,238 new irredeemable convertible
preference shares to the relevant scheme creditors; and

    (ii) The listing of and quotation for the new Shares to be
issued pursuant to the Proposed Share Issue on the Main Board of
the Kuala Lumpur Stock Exchange.

The terms and conditions as contained in the SC's approval
letter dated September 10, 1999 shall remain.


PARIT PERAK: Special Administrators Named, Restructuring Begins
---------------------------------------------------------------
INTRODUCTION

On August 30, 2002, Patrick Chew Kok Bin, Alvin Tee Guan Pian
and Encik Zulkharnain Bin A Rahim of Anuarul Azizan Chew & Co
were appointed as Special Administrators (SAs) of PARIT PERAK
HOLDINGS BERHAD by Pengurusan Danaharta Nasional Berhad
(Danaharta) pursuant to Section 24 of the Pengurusan Danaharta
Nasional Berhad Act, 1998, as amended by Pengurusan Danaharta
Nasional Berhad (Amendment) Act, 2000 (Act).

With the appointment of the SAs, the SAs will prepare a workout
proposal to regularise PPHB's financial position (Workout
Proposal), which will be examined by an independent advisor
appointed under the Act and the Workout Proposal shall be
approved by Pengurusan Danaharta Nasional Berhad (Danaharta) and
the secured creditors of the Company (if applicable).

On September 13, 2002, the SAs of PPHB held a briefing on the
tender exercise for potential parties with strong income and
cash flow generating assets and financial resources to
participate in PPHB's Workout Proposal.  Interested parties were
required to submit their proposals by 23 September 2002.  
Pursuant to the tender exercise, after assessing and evaluating
the offers submitted to the SAs, the SAs and Danaharta accepted
the proposal submitted by Liqua Health (M) Sdn Bhd (Liqua
Health) and Align Matrix Sdn Bhd (Align Matrix), being the
promoters of Liqua Health Marketing (M) Sdn Bhd (Liqua
Marketing) (Promoters).

RESTRUCTURING AGREEMENT

Accordingly, Alliance Merchant Bank Berhad (Alliance), wishes to
announce on behalf of PPHB, that PPHB has on 21 October 2002,
entered into a Restructuring Agreement (RA) with Liqua Health,
Align Matrix, Chan Wan Cheong, Teh She Ling, Lim Paik Gaik, Lee
Chai Hua, Mohd Fadzil bin Mohd Ali, Muhammad bin Md Ali and
Rafizah bte Abu Hassan (collectively referred to as Vendors) for
the implementation of the Workout Proposal which includes,
inter-alia, the acquisition of the entire issued and paid-up
share capital of Liqua Marketing from the Vendors, by a new
company to be incorporated (Newco). The RA sets out to regulate
and record the basic understanding of the key areas of the
agreement between PPHB and the Vendors pending finalization and
approval of the Workout Proposal which sets out the SAs' plan in
respect of PPHB.

SUMMARY OF THE WORKOUT PROPOSALS

The Workout Proposals will in summary entail, inter-alia, the
following:

     (i) Incorporation of a new company, Newco, which shall be
         the vehicle to undertake the proposals referred to
         below;

    (ii) Proposed exchange of the ordinary shares in PPHB for
         new ordinary shares in Newco (Newco Shares) together
         with free Newco warrants (Newco Warrants) and issuance
         of new Newco Shares together with Newco Warrants to the
         creditors' agent resulting in the acquisition of the
         entire issued and paid-up share capital of PPHB;

   (iii) Proposed buyback by the Promoters of certain number of    
         Newco Shares together with Newco Warrants to be   
         received by the creditors' agent pursuant to item (ii)
         above;

    (iv) Proposed put and call option to be entered into between
         the Promoters and the creditors' agent pertaining to
         certain number of Newco Shares together with Newco
         Warrants to be received by the creditors' agent
         pursuant to item (ii) above;

     (v) Proposed acquisition by Newco of the entire issued and
         paid-up share capital of Liqua Marketing;

    (vi) Proposed restricted offer for sale of Newco Shares
         together with free Newco Warrants by the Promoters
         and/or creditors' agent to the shareholders of PPHB;

   (vii) Proposed exemption to the Vendors from the requirement
         of having to make a mandatory general offer on the
         remaining Newco Shares not held by them after the
         proposals;

  (viii) Proposed transfer of listing status from PPHB to Newco;
         and

    (ix) Proposed disposal of PPHB to a special purpose vehicle
         upon implementation of (i) to (viii) above.

Items (i) to (ix) are hereinafter referred to as "Proposals"

SALIENT TERMS OF THE RA

     (i) The Vendors shall pay PPHB the sum of RM500,000 as
         advance deposit;

    (ii) Upon the execution of the RA, the Vendors shall pay a
         security deposit of RM1,000,000;

   (iii) The Proposals shall, inter-alia, be conditional upon
         the following conditions having been fulfilled:


         (a) Satisfactory result to PPHB of a due diligence
             review on Liqua Marketing;

         (b) The identity of Newco having been agreed to by the
             SAs;

         (c) Approval of the Foreign Investment Committee and/or
             Ministry of International Trade and Industry (if
             applicable) being obtained;

         (d) Approval of the Securities Commission (SC) being
             obtained;

         (e) Approval in principle of the Kuala Lumpur Stock
             Exchange on the listing of and quotation for Newco
             Shares and Newco Warrants and transfer of listing
             status being obtained;

         (f) Approval of Danaharta and/or the secured creditors
             of PPHB, where applicable being obtained; and

         (g) Approval of the SC on the exemption to the Vendors
             from the requirement of having to make a mandatory
             general offer on the remaining Newco Shares not
             held by them being obtained.

Further details of the Workout Proposal for PPHB will be
announced in due course once the terms have been finalized.


SUNWAY HOLDINGS: Firm Proposes Bond Buy-back in 2003
----------------------------------------------------
Restructuring Sunway Holdings Incorporated BHD plans to buy back
its bonds next year.  Its proposal outlines payment by
installments every December 11 of 2003, 2004 and 2005, The Star
said last week.

The bonds were originally issued in December 1996 as convertible
bonds.  Some US$54.8 million remains outstanding as of September
30, 2002.

In August, the High Court of Malaya approved a Scheme of
Arrangement and Compromise involving wholly owned subsidiary,
Sunway Juarasama Sdn Bhd.

The company also announced in September the disposal of the
entire issued and paid-up share capital of Sunway Industrial
Products Sdn Bhd by Sunway Marketing Sdn Bhd.  This transaction
is part of the group's restructuring plan.


TAT SANG: Cases Against Firm for Payment Defaults Still Pending
---------------------------------------------------------------
The Board of Director of Tat Sang Holdings Berhad wishes to
inform that there are no new significant development in relation
to the various defaults in payment that were announced on
September 23, 2002.  We hereby provide an update on the details
of banking facilities that are currently in default.

The Company inform that the hearing date of the following legal
suits are fixed as follow:

(1) Standard Chartered Bank (M) Berhad VS Mercuries & Muar
    Wooden Furniture Mfg Sdn. Bhd. (MMWF) at Kuala Lumpur High
    Court.

Suit No.: D5-23-1051-2001

Decision: The above suit case which came up for Decision of the
          Plaintiff's Application for Summary Judgment on the 1
          August 2002. The Senior Assistant Registrar allowed
          the Plaintiff's application and recorded Summary
          Judgment against all the defendants. Our Solicitors
          have filed an Appeal to the Judge in Chambers.

(2) Malayan Banking Berhad (MBB) VS MMWF at Muar High Court

Suit No.: 23-108-2001

Decision: Base on the outcome of the hearing on 10 October 2002,
          our solicitors have managed to set aside the aforesaid
          Summary Judgment against all the Defendants. As the
          dispute is on the amount claimed by MBB, Interlocutory
          Judgment was instead entered by consent with amount to
          be assessed before the Senior Assistant Registrar
          based on the rate as specified in the letter of offer
          dated 19 August 2000. MBB will not be able to enforce
          or execute the foresaid Interlocutory Judgment until
          the amount to be calculated is agreed upon by the
          parties.

(3) Bumiputra-Commerce Bank Berhad VS MMWF at Muar High Court

Suit No.: 23-76-2001

Hearing Date: An application to amend the Writ of Summon and
          Statement of Claim dated 16 May 2002 and application
          for Summary Judgment which was fixed for hearing of
          the Order 14. Application on 20 June 2002 has fixed
          for decision on 23 August 2002.

Decision: The judgment was obtained on 23 August 2002, the
          plaintiff's application for summary judgment against
          the defendants were allowed by the Senior Assistant
          Registrar. Notice of Appeal was filed and the hearing
          date will be fixed on 9 December 2002.

(4) Bank Pembangunan & Infrastruktur Malaysia Berhad VS MMWF

Suit No.: 23-54-2002
Status of the suit: Memorandum of Appearance was filed on 25
          July 2002 and our solicitors had filed in defense on 8
          August 2002. There is no further action by the
          plaintiff.


TECHNOLOGY RESOURCES: Seeks Return of RM55M Paid to Directors
-------------------------------------------------------------
Celcom (Malaysia) Bhd, the mobile phone arm of Technology
Resources Industries Bhd, claimed last week that the RM55.83
million in compensation packages awarded to three former
directors were void for lack of approval from the board and
shareholders.

Celcom, which is suing former CEO Tan Sri Tajudin Ramli and
directors Bistamam Ramli and Datuk Lim Kheng Yew for the
recovery of the amount, on Tuesday, said the remunerations given
to the trio were never in their contracts of employment.

Citing a Celcom statement, The Edge Daily said the remuneration
packages comprised three distinct categories: RM24.37 million in
compensation for loss/termination of office, RM20.39 million in
Employees Provident Fund and income tax payments and RM11.05
million in bonus/special incentive payments.

Celcom said a board committee had decided on Mr. Tajudin's
remuneration package, but which was not subsequently approved or
confirmed by the board or shareholders at a general meeting.  

It was Mr. Tajudin, in his capacity as chairman and chief
executive, who decided on Misters Bistamam's and Lim's packages,
according to Celcom, but these packages were also not
subsequently approved or confirmed by the board or shareholders.

"Consequently, the remuneration packages of the defendants were
void as being in breach of Articles 74 and 75 of TRI's Articles
of Association and alternatively, Section 137 of the Companies
Act 1965," said Celcom.

Celcom says holding company TRI will seek damages for conspiracy
among the trio and with other persons to cause the company to
pay the amounts.  Celcom says, aside from the sum, it will also
seek the return of a luxury vehicle issued to Mr. Tajudin, which
the company claims was never approved by TRI's board.

It is also seeking for the return of the vehicles awarded to Mr.
Bistamam.  Celcom claims that, although the car given to Mr.
Bistamam was approved, the same was voidable, as Misters Tajudin
and Bistamam, in conflict with their fiduciary duties, had
procured TRI directors to approve the disposal.

Alternatively, it said the transactions may be set aside as the
motor vehicles were sold for amounts substantially less than
their true market values, without approval of shareholders at a
general meeting.

Among other things, Celcom and TRI seek declarations that
Misters Tajudin, Bistamam and Lim acted in breach of their
fiduciary duties to the company, restitution of the sums and
return of the vehicles, damages for conspiracy to injure, and an
order for determination that assets are held on constructive
trust by the defendants for TRI.


UNIPHOENIX CORPORATION: Subsidiary In Voluntary Liquidation
-----------------------------------------------------------
The Board of Directors of Uniphoenix Corporation Berhad wishes
to announce that at an Extraordinary General Meeting of Asia
Malt Sdn Bhd, a subsidiary of the Company the following
resolutions were duly passed:

"That the Company be wound up voluntarily through a Creditors'
Voluntary Winding Up and that Mr. Tan Kim Leong, JP (I/C No.
391206-05-5105) of 8B-1-1, Enau Court, Lorong Enau, Off Jalan
Ampang, 55000 Kuala Lumpur be and is hereby appointed as
Liquidator for the purpose of such winding up."

The winding up does not affect the on-going operation of the
Group and also does not has any adverse financial impact on the
Group.



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


FIRST E-BANK: BDO Commences Takeover of Business Operations
-----------------------------------------------------------
Banco de Oro (BDO) have started taking over the operations of
First e-Bank (FSTE) following the agreement with BDO, assuming
10 billion pesos in deposit liabilities and other bills payable
of FSTE, the Philippine Star said Friday.

Both parties signed an agreement effective October 23 wherein
BDO will assume the liabilities of FSTE in consideration of the
former's purchase of selected and liquid assets of FSTE, FSTE
Corporate Information Officer Danielle Maria Sales said.

According BDO Corporate Information Officer Elmer Serrano, both
firms have targeted the effective transfer of banking operations
and branches of both banks to be finalized by December 2002.

First e-Bank is the banking arm of the Metro Pacific Group.


KUOK PHILIPPINES: Moves Office to Mandaluyong from Makati
---------------------------------------------------------
Kuok Philippine Properties, Inc., its subsidiaries and
affiliates announced that it would soon be transferring its head
offices from Makati City to Mandaluyong City. Thus effective
October 29, 2002, its mailing address shall be at 5th Level
Shangrila Plaza, EDSA Corner Shaw Boulevard, Mandaluyong City,
Philippines.

The Company posted a net loss of 156.293 million pesos in the
six months to June from 371.131 million a year earlier, due to
cost reduction efforts and a decrease in foreign exchange losses
after the restructuring of a dollar-denominated loan, TCRAP
reports.


PHILIPPINE LONG: PISO Accuses Telecom of Unfair Practices
---------------------------------------------------------
The Philippine Internet Services Organization (PISO) is accusing
the Philippine Long Distance Telephone Co. (PLDT) of over
charging local Internet service providers a monthly rate higher
than what it collects from its other clients, the Philippine
Daily Inquirer and Bloomberg reported Friday.

The phone Company charges clients' 1,890 pesos a month, almost
half the 2,700 pesos a month it collects from Internet service
providers, the report said.

``Internet service providers are PLDT's biggest customers,''
Julia Theresa Yap, President of the organization, was quoted as
saying. ``We buy thousands of phone lines from them and yet they
can't even give us a discount.''

The Philippine Internet Services Organization (PISO) is the
biggest organization of independent Internet service providers
(ISPs) in the Philippines.


PHILIPPINE LONG: Rejects Overcharging Allegation by ISP's
---------------------------------------------------------
The Philippine Long Distance Telephone Co. (PLDT) rejected
allegations of overcharging made by Philippine Internet Services
Organization (PISO) in a complaint to the National
Telecommunications Commission (NTC), AFX said last week.

"PLDT's pricing structure for its products and services is not
designed to monopolize or kill any industry. It reflects fair
market prices that the end users can afford and at the same time
maximize the use of our infrastructure," PLDT Vice-President for
Media and Communications Butch Jimenez said.

The Philippine Internet Services Organizations (PISO) said PLDT
had been charging ISPs 2,700 pesos monthly for each telephone
line they use, as opposed to an average monthly charge of 1, 890
pesos for trunk lines.

The Internet service providers said PLDT has also refused to
give them PISO its digital subscriber line infrastructure, which
it offers to individual consumers at 2, 500 pesos a month.

Following PISO's filing of a complaint with the NTC, Jimenez
said PLDT "shall await whatever action the NTC takes and shall
respond accordingly."



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


CHEW EU: Appoints Ernst & Young as Auditors
-------------------------------------------
The Board of Directors of Chew Eu Hock Holdings has appointed
Ernst & Young Certified Public Accountants as Auditors of the
Company in place of the resigning Auditors, Arthur Andersen.

TCR-AP reported that Chew Eu Hock Holdings Ltd posted a net loss
S$35.325 million in the six months to January against a loss
S$1.129 million a year earlier.


CHARTERED SEMICONDUCTOR: Reducing Worldwide Workforce by 300
------------------------------------------------------------
Chartered Semiconductor Manufacturing will reduce its worldwide
workforce by approximately 300 people, or about 7 percent of its
total employment. This action is being taken as result of a
reassessment of the pace of recovery in the global semiconductor
industry.

Approximately 60 percent of the affected employees are
manufacturing operators in Chartered's Singapore fabs. The
balance of the affected employees are primarily operations,
support and administrative staff, whose positions are being
consolidated or eliminated.

Approximately 275 of the affected employees are based in
Singapore, and the rest are located at Chartered sites around
the world.

"This is an unfortunate, but necessary and prudent business
decision," said Chia Song Hwee, President and CEO of Chartered.
"We felt it was essential to act in the most fair and
compassionate way possible to our affected employees, with a
compensation package that includes career transition assistance,
job counseling and other elements."

Chartered expects to incur a one-time charge of approximately $5
million dollars in the fourth quarter associated with the
workforce reduction. Annual savings in payroll and benefits is
expected to be approximately $8 million. For more details on the
compensation package, see Appendix: Employee Compensation and
Assistance Package.

"From a business perspective, this re-sizing was carefully
implemented and will not affect our ability to serve our
customers," Chia added. "We will be consolidating jobs in a
manner to gain efficiencies to help Chartered's
competitiveness."

Chartered Semiconductor Manufacturing www.charteredsemi.com one
of the world's top three silicon foundries, is forging a
customized approach to outsourced semiconductor manufacturing by
building lasting and collaborative partnerships with its
customers. The Company provides flexible and cost effective
manufacturing solutions for customers, enabling the convergence
of communications, computing and consumer markets. In Singapore,
Chartered operates five fabrication facilities and has a sixth
fab in the process of being developed as a 300mm facility.

A Company with both global presence and perspective, Chartered
is traded on both the Nasdaq Stock Market and on the Singapore
Exchange.

Chartered's 3,500 employees are based at 12 locations around the
world.

APPENDIX: EMPLOYEE COMPENSATION AND ASSISTANCE PACKAGE

A. Compensation Package

Severance Pay

  - Employees with 2 years or more of continuous service
receive           compensation of one-month base salary per
completed year of service

  - Employees with less than 2 years of continuous service
receive half-month base salary per completed year of service

Other Payments

  i) Pro-rated Annual Wage Supplement (AWS) bonus

  ii) Ex-gratia payment of 0.5-month base salary

iii) Notice pay

  iv) Leave pay
   
   v) Encashment of Service Appreciation Award (if any)
      Employee Stock Option Plan (ESOP)

- Affected employees will be granted an extension of up to
six    months to exercise vested options.

  Group Insurance Coverage Extension

- Current coverage extended until 31 December 2002 for Group
Term Life (GTL), Group Personal Accident (GPA), Group
Hospitalization & Surgical (H&S) and Extended Major Medical
(EMM).


  Educational Assistance Program (EAP)

-Reimbursement of course fees up to 31 December 2002 for
approved EAP.

-Any bond period, where applicable, shall be waived.

B. Employee Assistance Package

   Professional outplacement support and services available,
including half-day to two-day workshops and one-to-one
consultation. Support to be extended includes:

   i) Career counseling and transition, such as skills
assessment and understanding of career options

ii) Job search techniques, resume development and interview
skills

The above information reflects the compensation and career
assistance package provided in Singapore. Similar packages are
being provided in other countries based on regional norms.

For more information, go to
http://bankrupt.com/misc/tcrap_csm1025p2.pdf


CHARTERED SEMICONDUCTOR: Discloses Third Quarter Results
--------------------------------------------------------
Chartered Semiconductor Manufacturing, one of the world's top
three silicon foundries, announced Friday its third quarter 2002
results, meeting previous guidance issued during the mid-quarter
update on September 2, 2002. Based on a downward reassessment of
the strength of the current semiconductor industry recovery, the
Company also announced a 7 percent reduction in its worldwide
workforce.

"Revenues in the third quarter were up 63 percent from the year-
ago quarter, due largely to broadening our customer engagements
and ramping volume of our leading-edge 0.18-micron offering,"
said Chia Song Hwee, President & CEO of Chartered. "In mid-
September, however, growth slowed significantly as we believe
customers in the supply chain reassessed their inventory
positions and slowed orders due to a more pessimistic view of
the strength of their end-markets. The area of greatest strength
for us during the quarter was communications where revenue
growth more than offset declines in the computer segment.

The Company continued to increase our shipments of 0.18-micron
and below product during the quarter, with this technology
representing 40 percent of total revenues, up from 4 percent a
year ago."

- Net revenues were $129.5 million in third quarter 2002, up 1.6
percent compared to second quarter 2002, primarily due to
strength in the communications segment, offset by weakness in
the computer segment. Compared to third quarter 2001, net
revenues were up 63.4 percent from $79.2 million. All segments
were up, with the largest increase attributable to the
communications and consumer segments. Including Chartered's
share of SMP (Fab 5), net revenues were $140.4 million, up 5.5
percent from $133.1 million in the second quarter 2002, and up
65.8 percent from $84.7 million in third quarter 2001. SMP is a
minority-owned joint venture Company and therefore, under the
Company's US GAAP reporting, its revenues are not consolidated.

- Gross loss was $27.3 million, or negative 21.1 percent of net
revenues, an improvement from a loss of $74.9 million, or
negative 94.6 percent of net revenues in the year-ago quarter,
primarily due to higher revenues. Compared to second quarter
2002, gross loss improved $7.3 million, primarily due to higher
revenues resulting from a richer product mix and reduced costs.

- Research and development (R&D) expenses were $20.9 million, an
increase of 12.7 percent from the year-ago quarter due to
increased investments to accelerate the Company's technology
roadmap which provides customers a breadth of processes,
enabling systems-level integration.

- General and administrative (G&A) expenses were $10.1 million,
essentially at the same level, compared to the year-ago quarter.

- Sales and marketing expenses were $11.4 million, up 43.3
percent compared to $7.9 million in the year-ago quarter,
primarily due to increased support for customer prototyping
activities at advanced technology nodes and expansion of
worldwide sales and marketing activities to further enhance the
level of customer support.

- Pre-production fab start-up costs, all related to Fab 7, were
$2.4 million in third quarter 2002, compared to $1.9 million in
the year-ago quarter and $1.5 million in second quarter 2002.

- Equity in income of our minority-owned joint-venture fab, SMP
(Fab 5), was a loss of $21.5 million compared to a loss of $21.0
million in the year-ago quarter. In the year-ago quarter, the
SMP loss would have been $25.8 million, without the favorable
impact of a $4.8 million reduction in the return provision. The
improvement compared to the year-ago quarter was primarily due
to an increase in utilization rate caused by higher demand.

Summary of Third Quarter 2002 Performance

- Net interest expense was $7.3 million compared to $0.5 million
in the year-ago quarter, due to lower interest income resulting
from a lower cash balance and lower interest rates.

- Minority interest in loss of our consolidated joint-venture
fab, Chartered Silicon Partners (CSP or Fab 6), was $8.5 million
compared to $17.5 million in the year-ago quarter, and $12.4
million in second quarter 2002, reflecting the improvement in
Fab 6 primarily due to significantly higher utilization
resulting from increased demand for leading-edge products,
partially offset by higher depreciation.

- Other income was $7.3 million compared to $4.9 million in the
year-ago quarter, primarily due to grant income related to our
R&D and training activities.

- Net loss of $89.4 million, or negative 69.0 percent of net
revenues, reflected an improvement of $28.9 million from a net
loss of $118.3 million, or negative 149.4 percent of net
revenues, in the year-ago quarter and an improvement of $1.3
million from the prior quarter.

- As a result of our recent eight-for-ten rights offering, a
retroactive adjustment of share count is required under US GAAP
reporting. The adjusted weighted average share count in third
quarter 2002 and in third quarter 2001 was 1,594.9 million and
1,589.9 million respectively. Based on this adjusted share base,
the loss per American Depositary Share (ADS) and loss per share
in third quarter 2002 were $0.56 and $0.06 respectively on a
diluted basis, compared with a loss per ADS and loss per share
of $0.74 and $0.07 respectively in third quarter 2001.

The data in the accompanying statement of operations reflects
this adjustment and a reconciliation table has also been
provided. Without this adjustment, the weighted average ordinary
share count in third quarter 2002 and in third quarter 2001 was
1,386.9 million and 1,382.5 million shares respectively. The
corresponding loss per American Depositary Share (ADS) and loss
per share in third quarter 2002 were $0.64 and $0.06
respectively on a diluted basis, compared with a loss per ADS
and loss per share of $0.86 and $0.09 respectively in third
quarter 2001.

Wafer Shipments and Average Selling Prices

- Shipments in third quarter 2002 were 111.9 thousand wafers
(eight-inch equivalent), a decrease of 5.7 percent compared to
118.6 thousand wafers (eight-inch equivalent) shipped in second
quarter 2002, primarily due to lower shipments in the computer
and memory segments, partially offset by increased shipments in
the communications segment. Shipments in third quarter 2002 were
up 73.8 percent compared to 64.4 thousand wafers (eight-inch
equivalent) in third quarter 2001. All segments were up with the
largest increase attributable to the communications segment.

- ASP increased 7.6 percent to $1,157 per wafer in third quarter
2002 compared to $1,075 per wafer in second quarter 2002,
primarily due to a richer product mix. Compared to third quarter
2001, ASP declined 6.0 percent from $1,231 per wafer, as market
pricing declines more than offset the favorable impact of a
richer product mix.

- Capacity utilization declined to 39 percent in third quarter
2002, from 42 percent in second quarter 2002, due to decreased
shipments and an increase in capacity. The capacity level in
third quarter 2002 increased approximately 2 percent from second
quarter 2002. In the year-ago quarter, capacity utilization was
22 percent.

For more details on Chartered's third quarter results and
outlook for fourth quarter 2002, please see
http://bankrupt.com/misc/tcrap_csm1025.pdf


CREATIVE TECHNOLOGY: Third Quarter Losses Down to S$4.98M
---------------------------------------------------------
Creative Technology Limited posted a loss of S$4.98 million in
the first quarter of this year, compared with a loss of S$12.8
million a year ago, due to smaller investment losses. Sales fell
11 percent to their lowest level since 1994.

Investment losses narrowed to S$6.32 million from S$16.4
million. Sales have fallen on a decline in demand for personal
computers that use Creative's cards for enhancing digital audio.
The Company also makes modems, digital cameras and music
players.


XPRESS HOLDINGS: Proposes Capital Reduction Exercise
----------------------------------------------------
The Board of Directors of Xpress Holdings Ltd. proposed a
capital reduction exercise to be carried out by the Company to
reduce the par value of its shares from $0.05 to $0.01 each (the
Capital Reduction), subject to the approval of shareholders of
the Company and confirmation of the High Court of the Republic
of Singapore.

This exercise is an accounting procedure to complement the
business restructuring efforts of the Company in the last 15
months, and will result in a more accurate reflection of the
financial position of the Company upon completion.

Details of the Capital Reduction

The Capital Reduction will be undertaken pursuant to Section 73
of the Companies Act, Cap. 50 and will be effected, inter alia,
as follows:

(a) Reducing the nominal value of all Shares, both issued and
unissued, from $0.05 (each a Share) to $0.01 each (each a
$0.01 Share) by canceling the paid-up share capital which is
lost or unrepresented by available assets to the extent of
$0.04 on each of the 612,000,000 issued and paid-up Shares;

(b) Cancelling the sum of $33,065,183 standing to the credit
of the share premium account of the Company, such that the
amount standing to the credit of the Company's share premium
account will be reduced from $38,540,904 to $5,475,721; and

(c) Forthwith upon the Capital Reduction taking effect:

(i) An amount equal to $57,545,183, being the credit arising
from the Capital Reduction, will be applied to write-off
fully the accumulated losses of the Company as at 31 July
2002 amounting to $57,545,183. The Capital Reduction would
have the effect of reducing the authorized share capital of
the Company from $100,000,000 divided into 2,000,000,000
Shares to $20,000,000 divided into 2,000,000,000 shares of
$0.01 each; and

(ii) the authorized capital of the Company will be restored
to its former capital of $100,000,000 by the creation of an
additional 8,000,000,000 new $0.01 Shares.

Pursuant to the Capital Reduction, the Company will cancel (a)
an aggregate amount of $24,480,000 of the issued and paid-up
share capital of the Company and (b) an amount of $33,065,183
standing to the credit of the Company's share premium account,
the sum of which substantially represents issued and paid-up
share capital which has been permanently lost or is un
represented by available assets as at 31 July 2002. The credit
arising from the Capital Reduction will be applied in writing
off fully the accumulated losses of the Company as at 31 July
2002 amounting to $57,545,183.

There will not be any change to the number of ordinary shares in
the capital of the Company held by shareholders of the Company
as a result of the Capital Reduction, nor will the Capital
Reduction involve the diminution of liability in respect of
unpaid share capital or the payment to any Shareholder of any
paid-up share capital of the Company or the payment of any sum
standing to the credit of the share premium account of the
Company.

Financial Impact of the Proposed Capital Reduction Exercise

The Capital Reduction will not have any impact on the net
tangible assets per Share, earnings per Share and the gearing of
the Company as at 31 July 2002 as the Capital Reduction is an
accounting procedure which cancels the portion of the issued and
paid-up capital of the Company and share premium account which
is permanently lost or unrepresented by available assets, and
transfers such portion of the issued and paid-up capital and
share premium account which has been cancelled to write-off
fully the accumulated losses of the Company.

Rationale for the Capital Reduction

As at 31 July 2002, the Company had accumulated losses totaling
$57,545,183 standing in its revenue reserves account. This is
due mainly to the release and discharge by the Company of inter-
Company debts owing by Xpress Print Pte Ltd (Xpress Print), the
Company's wholly owned subsidiary, to the Company. Most of the
Company and its subsidiaries' activities, including the Internet
kiosk and multimedia business, is undertaken by Xpress Print. As
the Internet kiosk and multimedia division was suffering from
huge losses, the Company and its subsidiaries exited from such
business as announced by the Company on 26 April 2001.

The Company had made provisions of $40,000,000 of the debts
owing by Xpress Print to the Company in FY2001 and an additional
$5,799,257 was written off as bad debts in FY2002. With respect
to the provisions made, the Company has since July 2002 released
and discharged such debts amounting to $45,799,257 in aggregate
owing by Xpress Print.

Apart from the aforesaid accumulated losses of approximately
$45.8 million which resulted from the write-off of the debts
owing by Xpress Print, there were also an amount of
approximately $10.5 million resulting from write-downs in the
carrying value of investments in Xpress Print and eTown Pte Ltd
in FY2001 and FY2002 and an amount of approximately $1.5 million
attributable to the write-off of debts due from other subsidiary
and associate of the Company in FY2001 and FY2002.

As the proposed Capital Reduction exercise involves the
cancellation of a substantial part of the share capital of the
Company which is no longer represented by available assets, our
Directors are of the view that the balance sheet of the Company
will more accurately reflect the financial position of the
Company following the proposed writing-off of $57,545,183 of the
accumulated losses standing in the revenue reserves account as
at 31 July 2002 pursuant to the Capital Reduction.

In addition, the Company's shares have been trading between
$0.03 and $0.05 since 21 July 2002, during the last 3-month
period prior to the date of this Announcement. The Capital
Reduction will facilitate the Company in any future issue of new
shares at a price that is more representative of the market
value of its shares, given that new shares cannot be issued
below its par value under the law. This will provide the Company
with the flexibility to undertake any future equity-related fund
raising or other corporate exercises involving the issue of
shares. It will also facilitate the grant of options pursuant to
the Company's existing employee share option scheme at a
subscription price, which is more reflective of the market value
of the Company's shares.

Approvals Required

The implementation of the Capital Reduction is subject, inter
alia, to the following:

(a) the in-principle approval of the Singapore Exchange
Securities Trading Limited;

(b) the approval of shareholders by way of a special
resolution at an extraordinary general meeting to be
convened; and

(c) the confirmation of the High Court of Singapore.

The aforementioned approvals may be subject to conditions which
may vary the terms of the Capital Reduction as set out herein.

Subject to the receipt of in-principle approval of the SGX-ST, a
circular to Shareholders setting out details of the Capital
Reduction and the notice convening the extraordinary general
meeting will be dispatched to Shareholders in due course.

Undertaking to the High Court

Application will be made to the High Court to seek its
confirmation of the Capital Reduction shortly after the Capital
Reduction is approved by Shareholders. The Company will, if
required, for the protection of its creditors, give an
undertaking to the High Court that any increase in its revenue
reserves arising out of either the realization of any asset for
an amount in excess of its written down value as at the
Effective Date the Capital Reduction becomes Effective of the
release of the whole or any part of any provision made in the
Company's accounts as at the Effective Date shall be credited to
a special reserve account (the Special Reserve) and shall remain
undistributable so long as any of the creditors as at the
Effective Date remain undischarged. The High Court may, however,
as an exception to the undertaking, allow the Company to, inter
alia, utilize the Special Reserve for the same purposes it could
use a share premium account.

DIRECTORS RESPONSIBILITY STATEMENT

The Directors collectively and individually accept full
responsibility for the accuracy of the information given in this
Announcement, and confirm, after making all reasonable
enquiries, that to the best of their knowledge and belief, the
facts stated and opinions expressed in this Announcement are
fair and accurate in all material aspects as at the date hereof,
and that there are no material facts the omission of which would
make this Announcement misleading.

TCR-AP reported that printing firm Xpress Holdings Ltd reported
a net loss of S$9.454 million in the six months to December
2001, against a loss of S$31.48 million a year earlier.


OSSIA INTERNATIONAL: Clarifies Winding Up Petition by Westpac  
-------------------------------------------------------------
The Directors of Ossia International Limited provides further
information regarding the winding up petition that was filed
against the Company by Westpac Banking Corporation (Westpac).

The petition relates to a claim for the sum of NZ$585,842
(approximately S$507,000) under a Corporate Guarantee extended
by Ossia International Limited in consideration for banking
facilities offered to its associated Company in New Zealand,
Leisure Corp Holdings Ltd's (LCH). Westpac was since placed LCH
into voluntary liquidation.

The Company has always been in a position to pay the amount
claimed but required the details of the amount owed to Westpac
by LCH. The Company was in the midst of seeking clarification
from the receivers of LCH and Westpac with respect the breakdown
of the amount claimed when the petition was filed.

Nevertheless, the matter has since been resolved and the amount
has been paid to Westpac. The Company has received confirmation
that the petition for the winding up of the Company will be
withdrawn.

The payment of the said sum to Westpac will not have a material
adverse impact on the Company's performance and it's financial
position remains strong. The Ossia Group's net asset value
(after taking into account the payment) is S$42.9 million and
the Group continues to have cash reserves of approximately $12.5
million.

Financial Effects:
Before After
NTA per share (cents) 18.76 18.65
EPS per share (cents) 0.90 0.79

The above table sets out the effect of the payment on the
Company's net tangible assets (NTA) and earnings per share (EPS)
by reference to the Group's half-year financial statement for
the period ended 30 June 2002.

The EPS per share has decreased by 12 percent due to an amount
of approximately S$256,000 taken to the profit and loss account
being exceptional loss. This is in additional to S$251,000
provided for in previous year, for the said liability. The NTA
per share will decrease marginally by 0.6 percent.

None of the Directors of the Company has any interest, direct or
indirect in the above transactions. As far as the Directors are
aware, no substantial shareholder of the Company has an
interest, direct or indirect, in the above transaction and has
not received any notification of any interest in the above
transaction from any substantial shareholders.


VICPLAS INTERNATIONAL: Narrows Net Loss to S$2 Million
------------------------------------------------------
Pipe maker Vicplas International posted a net loss of S$2
million for the fiscal year ending July, versus a loss of S$2.4
million a year ago, Business Times reports.

The loss per share shrank to 1.22 cents from 1.69 cents, while
net tangible assets per share slipped to 7.01 cents from 8.09
cents.

In recent years, the Company's stock has performed terribly. In
fiscal year 1999, the stock traded as high as S$0.75, versus
S$0.07 on October 18, 2002, Wrights Investor's Service said.

For the 52 weeks ending October 18, 2002, the stock of this
company was down 17.6 percent to S$0.07.

Vicplas International Ltd produces UPVC sanitary and plumbing
pipefittings for the building and construction industry. Its
operations are extended to formulation and pallestising of
plastic resin besides manufacturing UPVC products.



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


BANGKOK BANK: Says Interest Cut Will Facilitate Firm's Recovery
---------------------------------------------------------------
Bangkok Bank welcome the recent decision of the government to
cut interest rates, as this will help it achieve its debt
restructuring goals.

In an interview with the Bangkok Post recently, senior executive
vice-president Suvarn Thansathit said the move would directly
impact the bank's non-performing loans, which include previously
restructured loans.

He said the re-entries of restructured loans accounted for most
of the increase in the bank's non-performing loans.  In recent
years, they amounted to between 20 billion and 30 billion baht
annually.

Mr. Suvarn says this increase of bad loans was mainly due to the
bank's over-optimism about the country's economic growth.

"We were quite optimistic when we made our estimates.  But the
realities did not meet our expectations.  As a result, many
restructured loans became non-performing again at a significant
rate, as many of our customs could not fulfill the required
conditions.

"However, the bank believes that it will be able to achieve its
debt restructuring targets at the end of this year. In
particular, the bank's interest rate cuts last week will help
facilitate the debt restructuring activities," Mr. Suvarn told
the Bangkok Post.

Citing the Bank of Thailand, the report says Bangkok Bank's non-
performing loans totaled 112.89 billion baht at the end of
September or 14.94 percent of total outstanding loans.  This
stands slightly above the sector percentage for private
commercial banks, which reported total bad loans of 366.14
billion baht or 13.73 percent of total loans at the end of
September.  The bank's bad loans, which courts are currently
processing, amount to one hundred billion baht.


NATIONAL FERTILIZER: Expects Restructuring to Bear Fruit in `03
---------------------------------------------------------------
Struggling National Fertilizer Plc (NFC), the state-owned
factory established to keep fertilizers affordable in Thailand,
is confident it will have a breakout year in 2003.

In a recent interview with the Bangkok Post, CEO Wisanu
Niwesmarintra, the brains behind the firm's restructuring
efforts, said the company is nearing a deal with creditors and
with the recent compromise on a legal dispute involving its
factory, production is also expected to go up next year.

NFC has outstanding debts of 11.54 billion baht, of which 8.4
billion baht are principal and three billion are accrued
interest.  The debt has become the most serious problem for NFC
because it would need to operate at 20 percent more than its
full annual production capacity of one million tons, before its
EBITDA would move out of the red.

Mr. Wisanu says efforts are now being put into reducing NFC's
capital in order to write off debt, and then increase it later.  
He expects this move to bear fruit in the first quarter of next
year.  In addition, the company is also asking creditors to
waive 50 percent of its total debt or about 4.2 billion baht in
principal and write off all accrued interest.  It also wants the
creditors to convert part of their debt to equity.

At the moment, a substantial portion of the firm's debts is now
with the Thai Asset Management Corporation.  Mr. Wisanu told the
Bangkok Post that negotiations to restructure other debts are
proceeding with the participation of the creditors and a deal is
expected by the end of this year.

"Debt restructuring, when completed, will guarantee NFC's long-
term by reducing its costs and speeding up its return to
profitability.   In addition, NFC will find it easier to acquire
partners.  The company needs about two billion baht in new funds
from investors," the Bangkok Post said.

Meanwhile, a compromise agreement recently forged on a four-year
legal tussle will also help efforts to bring the company out of
the bog.  NFC and a Japanese consortium that built its factory
had been locked in legal dispute with NFC claiming compensation
from the consortium for allegedly building the plant below the
required specifications while the contractors, in turn, demanded
the same amount in compensation, accusing the firm of proposing
additional construction within the original contract price, but
which had inflated the cost.

Mr. Wisanu says the improvement in production efficiency of the
plant will reduce fertilizer cost and therefore increase
revenues.  He estimates EBITDA to rise to more than 300 million
baht next year, compared with minus 200 million baht this year.

The break-even point for NFC's fertilizer production is set at
600,000 to 650,000 tons or 60 percent to 65 percent of its
capacity of one million tons next year.  However, extra revenue
will be gained from selling by-products such as sulphuric and
phosphoric acids.

The company also aims to export its products to Vietnam, the
Philippines and Indonesia next year.


THAI PETROCHEMICAL: Reschedules Vote on Debt Plan Amendment
-----------------------------------------------------------
Creditors of Thai Petrochemical Industry Plc will have to wait
until November 22 before they can vote on the proposed
amendments to the firm's rehabilitation plan.

According to the Bangkok Post, minority creditors caused the
latest postponement of the vote.  The report did not cite the
reason raised by this group.

This vote is necessary before Effective Planners, the company
hired to oversee the firm's restructuring, could proceed with a
planned sale of non-core assets.

Effective Planners had sought in July an extension of this sale
deadline, fearing that a quick sale would knock down prices.  
The restructuring expert is looking at March 2003 as the new
deadline for the asset sale.  The Central Bankruptcy Court,
however, would only admit any amendment to the present debt plan
if creditors representing 75% of the firm's outstanding debts
will vote in favor, with no creditor rejecting the proposal.

One of the assets on the auction block is a US$100-million power
plant, which Banpu Plc is eyeing.

The creditor committee, which is seeking the amendment,
represents the majority of the firm's creditors and counts among
its members Bangkok Bank, Bank of Ayudhaya, Sukhumvit Asset
Management, Citibank, International Finance Corp (IFC), KfW and
the US Export-Import Bank.




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

Troubled Company Reporter -- Asia Pacific is a daily newsletter
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Copyright 2002.  All rights reserved.  ISSN: 1520-9482.

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