/raid1/www/Hosts/bankrupt/TCRAP_Public/021216.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
Monday, December 16, 2002, Vol. 5, No. 248
Headlines
A U S T R A L I A
ANACONDA NICKEL: QED Occtech Wins Treatment Plant Upgrade Bid
FORTLAND HOTEL: Proposed Restructuring Negotiations Ongoing
NATIONAL FORGE: CMI Acquires Auto Business; Jobs Now Guaranteed
NEW TEL: PwC Schedules First Creditors Meeting Today
TOWER LIMITED: Announces Cost Reduction Measures
TOWER LIMITED: Discloses Substantial Security Holder Notices
C H I N A & H O N G K O N G
401 HOLDINGS: Appoints Broker for Odd Lot Arrangement Services
CHEUNG TAI: Operations Loss Widens to HK$59M
HO HING: Winding Up Sought by Bank of China
SMART MASTER: Winding Up Petition Hearing Set
WAH HA: Trims Operations Loss to US$670,516
ZIDA COMPUTER: Operations Loss Swells to HK8M
ZHUHAI HIGHWAY: Pays US$16M to Senior Bondholders
I N D O N E S I A
ASTRA INTERNATIONAL: Creditors to Pay US$75M by Year-end
BANK DANAMON: IBRA Names JP Morgan as Financial Advisor
J A P A N
DAIMARU INC.: JCR Assigns BBBp Rating
HIGASHI NIHON: Profit Prediction Erased by Loss Outlook
ISETAN CO.: JCR Assigns Ap Rating
MITSUBISHI HEAVY: Execs' Salaries Cut in Disciplinary Move
MITSUBISHI MATERIALS: Supplying Chip Antenna to Nintendo
NIPPON TELEGRAPH: Govt Eyes Separate Fees for Units
NISSHO IWAI: Moody's Review Rating for Possible Upgrade
NTT DOCOMO: Considers Buying and Retiring Own Stock From Market
SEIYU LIMITED: Investors Scrambling to Buy Shares
SEIYU LIMITED: Wal-Mart Increases Stake to 34%
K O R E A
DAEWOO GROUP: Entering China's Audio Video Market
DAEWOO MOTOR: Indian Assets Up for Sale
DAEWOO MOTOR: Floating ABS Worth US$32.9M
HYNIX SEMICONDUCTOR: Hyundai Selling 10.31M Shares
HYNIX SEMICONDUCTOR: Micron Demands ITC Probe of Subsidies
HYUNDAI MERCHANT: Creditors Extends New Financing Scheme
KOHAP LIMITED: Kolon Acquires Nylon Film Business
M A L A Y S I A
ARTWRIGHT HOLDINGS: Annual Report 2002 Resolutions Approved
DATAPREP HOLDINGS: Revises Debt Scheme Proceeds Utilization
KEDAH CEMENT: Becomes MCB's Wholly Owned Subsidiary
LION CORPORATION: Proposed Megasteel Scheme Granted Court Order
MALAYSIAN RESOURCES: Juranas Sdn Withdraws Winding-Up Petition
MYCOM BERHAD: Answers KLSE's Unusual Market Activity Query
MYCOM BERHAD: Seeks Proposed Acquisition Time Extension
OLYMPIA INDUSTRIES: Requests Proposal Time Extension
PANCARAN IKRAB: Submits Financial Regularization Plan to SC
PLUS EXPRESSWAYS: Relevant Parties Sign Bonds Agreement
RASHID HUSSAIN: Proposes Straight Bonds Issue
RASHID HUSSAIN: Voluntary Offer Closing Date Extended
SOUTHERN PLASTIC: Replies to KLSE's Restructuring Scheme Query
TIMBERMASTER INDUSTRIES: Liquidators Released From Appointment
P H I L I P P I N E S
MANILA ELECTRIC: Forms Six-Member Committee of the Board
MANILA ELECTRIC: Upgrading Facilities Despite Massive Problems
MAYNILAD WATER: Unveils Dispute With MWSS
METRO PACIFIC: Likely to Sell More Units in Pacific Plaza
NATIONAL POWER: Malacanan Appoints Allan Ortiz as New President
PHILIPPINE LONG: Assures Continuous Operation in Case of Strike
PHILIPPINE LONG: Majority of Workers Vote to Go on Strike
PHILIPPINE REALTY: Files for Rehabilitation
S I N G A P O R E
CHEW EU: Creditors OK Scheme of Arrangement
GOLDTRON LIMITED: Completes Restructuring Exercise
L&M GROUP: Unveils Capital Reduction Exercise
SINGAPORE TECHNOLOGIES: Liquidating German Units
T H A I L A N D
CENTURY ELECTRONIC: Files Business Reorganization Petition
EMC PUBLIC: Declares 2003 Company Holidays
JASMINE INTERNATIONAL: Bankruptcy Filing Affects Acumen's Bonds
NAKORNTHAI STRIP: Court Endorses Rehabilitation Plan
- - - - - - - -
=================
A U S T R A L I A
=================
ANACONDA NICKEL: QED Occtech Wins Treatment Plant Upgrade Bid
-------------------------------------------------------------
QED Occtech Limited (QED Occtech) announced the award of a
contract to design, supply and install a Reverse Osmosis (RO)
Water Treatment Plant upgrade at Anaconda Nickel Operations,
Murrin Murrin site.
Work has now commenced on the detailed design and procurement of
major components for the upgrade of the existing RO Plant. The
latest contractual arrangements are scheduled for completion
within 90 days and valued at $300,000. This represents a first
phase scope of work, comprising two of the five existing RO
trains at the site. A further contract award, representing a
second phase RO plant upgrade to the remaining three RO trains,
is expected shortly.
QED Occtech's relationship with Anaconda Nickel began in October
2000 with an award for a fifth RO water treatment train in the
sum of $615,000. This award was to supplement the four existing
RO trains operating at the site which were installed by a
competitor. Since the commissioning of the 5th RO train, QED
Occtech has performed the service and maintenance for all 5
water treatment trains which has resulted in substantial
operational savings for Anaconda Nickel.
FORTLAND HOTEL: Proposed Restructuring Negotiations Ongoing
-----------------------------------------------------------
Further to the announcement regarding ongoing discussions
related to the proposed restructure of the Fortland Hotel
Property Trust, the following details were provided:
* The Rockhampton and Toowoomba properties are being marketed
by CB Richard Ellis in conjunction with Power Jeffrey & Co and
will be offered for sale by way of auction on 11 December 2002;
* Following the outcome of the abovementioned sale process,
discussions will take place with Westpac regarding the
retirement of existing debt and the provision of a long-term
facility to the Trust;
* The unitholders' meeting and subsequent rights issue will
not occur until after the above items have been resolved. The
unitholders' meeting is likely to take place in February 2003;
* The acquisition of a backpacker property at Airlie Beach
with part of the proceeds of the rights issue was being
considered by the Responsible Entity. The Responsible Entity has
now been advised that this property has been withdrawn from
sale. A number of other properties within the same market
segment are currently being considered for acquisition following
the rights issue.
The Trust's properties at Rockhampton and Toowomba, which were
offered on 11 December 2002 by way of a public auction, were not
sold at auction. Negotiations are currently ongoing with
interested parties regarding the sale of both properties.
NATIONAL FORGE: CMI Acquires Auto Business; 175 Jobs Guaranteed
---------------------------------------------------------------
David McEvoy and Nick Brooke, receivers and managers of National
Forge Limited announced Friday the completion of a sale
contract, for the company's automotive business to CMI Limited.
Mr McEvoy said, as of Friday CMI Limited is in control of the
automotive business and 175 jobs that were under threat are now
guaranteed.
"We are very pleased to be able to announce the sale of the
National Forge automotive business to CMI Limited," Mr McEvoy
said.
"This deal ensures the automotive business of National Forge
continues and 175 jobs are saved.
The other parts of National Forge, Mr Brooke said,
unfortunately, the business models in National Forge's turbine
and golf divisions were simply not sustainable in their current
form. Those 172 affected division employees will receive their
entitlements through the support of the Federal Government's
General Employee Entitlement and Redundancy Scheme (GEERS)
program.
Mr McEvoy, who was appointed joint receiver to National Forge
with Nick Brooke on October 16, said it has been a difficult
period for National Forge and its employees.
"This process has involved a wide range of interests including
receivers, industry representatives including Holden, Ford, Ion
and DANA; unions led by the AMWU metals and vehicles divisions,
CPEU and AWU; and the Federal and State Governments," Mr McEvoy
said.
"In our role as Receivers and Managers, Nick Brooke would like
to acknowledge the collaborative spirit in which all parties
have approached this difficult situation. The sale to CMI has
enabled the automotive industry to continue production
uninterrupted and has ensured the retention of a large number of
jobs which might otherwise have been lost," he concluded.
CONTACT INFORMATION: A Head
CORPORATE COMMUNICATIONS
Ph: 8266 2111 or 0411 268 001
NEW TEL: PwC Schedules First Creditors Meeting Today
----------------------------------------------------
The Administrators of New Tel Limited, Phil Carter and Greg Hall
of PricewaterhouseCoopers announced Friday that they would hold
the first meeting of Creditors in Sydney on Monday 16 December
2002 with a video link available in Perth.
Mr Carter said the meeting's main purpose is to allow New Tel
Creditors to determine whether to appoint a Committee of
Creditors, and if so, who would make up its membership.
He said the primary function of a Committee would be to consult
with the Administrator about matters relating to the
Administration and to receive and consider reports from the
Administrator.
"I expect we will be in a position to provide an initial
assessment of New Tel's financial position to creditors at the
meeting on Monday. At present New Tel services are continuing."
PricewaterhouseCoopers also announced a 1300 number set up to
provide New Tel Creditors with basic information about the
Administration. The number is 1300 554 469. Creditors can also
refer to www.pwcrecovery.com
CONTACT INFORMATION: Andrew Head
COMMUNICATIONS, PricewaterhouseCoopers
Tel: (02) 8266 2111
Mobile: 0411 268 001
TOWER LIMITED: Announces Cost Reduction Measures
------------------------------------------------
TOWER Limited announced last week measures to more tightly focus
its Australian life and investment company around core business
lines and to reduce costs. The measures will see TOWER
Australia's recurring management costs reduce from A$102m as at
September 2002 to A$85m in the current year.
Some 70 staff positions are affected immediately. This follows
the 50 positions removed in October 2002.
Acting Chief Executive for Australia Jim Minto said, "These
decisions, plus other steps we have been taking in recent weeks,
get us firmly on track for the future.
TOWER Australia is working on three key issues - focusing its
business, reducing costs and growing sales. Today we have
announced a new tighter focus and cost reductions to follow the
sales steps already taken.
Stephen Robertson has recently commenced in the key role of Head
of Sales. Sales will be a major area of emphasis going forward.
Our change initiatives in Australia are now well under way. We
have valuable business relationships, an underlying good
business and we are getting on with rebuilding our profitability
as quickly as possible."
The tighter focus in TOWER Australia will come from:
* the sale of the Internet annuity business AdviserBlue
* the merger of the stand-alone business TOWER Managed Funds
(Australia) back into TOWER Australia
* a tighter focus on the group risk market
* reduced emphasis on the Corporate Superannuation
Administration business for small company superannuation schemes
* the closure of the tied advice business TOWER Financial
Consultants Limited
Mr Minto said: "TOWER Australia is operating in a series of
niches where it has core competencies to leverage. We will be
partnering with distributors to further develop in those niches,
rather than operating a broader based business. We will continue
to build momentum based around our tighter business strategy and
cost base."
CONTACT INFORMATION: Mr Jim Minto
Acting Chief Executive
TOWER Australia Limited
ABN 70 050 109 450
Phone 02 94489274 or 0403 277 244
TOWER LIMITED: Discloses Substantial Security Holder Notices
------------------------------------------------------------
TOWER Limited posted the Substantial Security Holder Notices for
TOWER Financial Services Group Limited (TFSGL) in accordance
with section 21(1) of the Securities Amendment Act 1988. Check
http://www.bankrupt.com/misc/TCRAP_Tower1216.pdfto see the
Notices.
By way of explanation: TFSGL has given notice in respect of its
collective relevant interests in the shares of its holding
company, TOWER Limited.
The beneficial interests {i.e. shares held for TOWER funds in
New Zealand and Australia) of 9,782,952 ordinary shares (5.57%
of total shares) is held through trusts with third party,
unrelated trustees holding the voting entitlement. The non-
beneficial interests of 1,831,047 ordinary shares ( l .04% of
total shares) consist of shares held by TOWER Trust limited
(Australia) and Executor Trustee Australia Limited for their
clients, and shares held by Permanent Nominees Limited for the
TOWER Share Trust.
The reduction in non-beneficial interests since TFSGL last filed
a substantial security holder notice is primarily due to:
* The winding up of the TOWER Safe Trust and the cancellation
of 5.96 million shares held by the Trust, being shares in which
TFSGL had a non-beneficial interest, and
* The expiry of the agreement with Credit Union Services
Corporation (Australia) Limited by which TOWER Limited could
control dealings in 5,555,556 ordinary shares held by CUSCAL.
================================
C H I N A & H O N G K O N G
================================
401 HOLDINGS: Appoints Broker for Odd Lot Arrangement Services
--------------------------------------------------------------
401 Holdings Limited announced that in order to alleviate the
difficulties arising from the existence of odd lots of the
Consolidated Ordinary Shares as a result of the Capital
Reorganisation, the Company has arranged a broker to provide
matching services for the sale and purchase of odd lot
Consolidated Ordinary Shares by the odd lots holders of such
shares at their own cost during the period from Thursday, 12
December, 2002 to Tuesday, 7 January, 2003 (both dates
inclusive) to make up a full board lot or to dispose of their
holdings of odd lots of Consolidated Ordinary Shares.
Holders of odd lots of the Consolidated Ordinary Shares who wish
to take advantage of this facility may contact Ms. Rosita Kiu of
Kingston Securities Limited at Suite 2801, 28/F, One
International Finance Centre, 1 Harbour View Street, Central,
Hong Kong (telephone no. (852) 2298 6215) as soon as possible
starting from Thursday, 12 December 2002 to Tuesday, 7 January,
2003 (both dates inclusive). Holders of odd lot Consolidated
Ordinary Shares should note that matching of odd lots is not
guaranteed.
CHEUNG TAI: Operations Loss Widens to HK$59M
--------------------------------------------
Cheung Tai Hong Holdings Limited posted its interim report year
end date 31 March 2003:
Currency: HKD
Auditors' Report: N/A
Review of Interim Report by: Audit Committee
(Unaudited )
(Unaudited ) Last
Current Corresponding
Period Period
from 01/04/2002 from 01/04/2001
to 30/09/2002 to 30/09/2001
Note ('000) ('000)
Turnover : 13,310 21,578
Profit/(Loss) from Operations : (59,067) (15,883)
Finance cost : (73) (8)
Share of Profit/(Loss) of
Associates : N/A 6,289
Share of Profit/(Loss) of
Jointly Controlled Entities : N/A (17,614)
Profit/(Loss) after Tax & MI : (45,237) (31,609)
% Change over Last Period : N/A %
EPS/(LPS)-Basic (in dollars) : (0.021) (0.016)
-Diluted (in dollars) : N/A N/A
Extraordinary (ETD) Gain/(Loss) : N/A N/A
Profit/(Loss) after ETD Items : (45,237) (31,609)
Interim Dividend : NIL NIL
per Share
(Specify if with other : N/A N/A
options)
B/C Dates for
Interim Dividend : N/A
Payable Date : N/A
B/C Dates for (-)
General Meeting : N/A
Other Distribution for : N/A
Current Period
B/C Dates for Other
Distribution : N/A
Remarks:
(1) Adoption of statements of standard accounting practice
In the current period, the Group adopted, for the first time, a
number of new and revised Statements of Standard Accounting
Practice ("SSAP(s)") issued by the Hong Kong Society of
Accountants, which has resulted in the adoption of new and
revised accounting policies. The adoption of these SSAPs has
resulted in a change in the format of presentation of the cash
flow statement and the statement of changes in equity, but has
no material effect on the results for the current or prior
accounting periods.
(2) Loss from operations
Loss from operations has been arrived at after (charging)
crediting:
2002 2001
HK$'000 HK$'000
Unrealized holding loss in respect of
investment securities (16,864) (1,421)
Impairment loss recognized in respect of
properties under development (34,100) (7,641)
Loss on disposal of a subsidiary (713) -
Impairment loss recognized in respect of
leasehold properties - (3,600)
Recognition of negative goodwill as income - 6,174
======= =======
The Company's financial statements adopt a different
presentation from that of the results announcement form which,
in particular, requires that "loss from operations in the
results announcement form should be stated after interest income
and other income, and before finance cost and share of profits
and losses of associates and jointly controlled entities and
before taxation and minority interests".
Reconciliation of loss from operations for the six months ended
30th September, 2002:
HK$'000
As stated in the Company's financial statements (58,354)
Loss on disposal of a subsidiary (713)
________
As stated in results announcement form (59,067)
========
(3) Discontinued operations
In August 2002, the Group ceased its operations in the trading
of air conditioning equipment and provision of engineering
related services after the disposal of a subsidiary, King-Tech
Engineering Company Limited. The results of the discontinued
operations for the six months ended 30th September, 2002 were as
follows:
HK$'000
Turnover 7,080
Cost of sales (5,301)
______
1,779
Other operating income 59
Administrative expenses (1,926)
Doubtful debts written off (5,280)
______
Loss for the period up to date of discontinuance(5,368)
=======
(4) Analysis of turnover and loss from continuing operations and
discontinued operations
Continuing Discontinued Consolidated
operations operations
HK$'000 HK$'000
HK$'000
SIX MONTHS ENDED
30TH SEPTEMBER, 2002
REVENUE
External sales 6,230 7,080 13,310
====== ====== ======
SEGMENT RESULTS (35,416) (5,368) (40,784)
====== ======
Unallocated corporate expenses (17,570)
Loss on disposal of a subsidiary (713)
_______
Loss from operations (59,067)
Finance costs (73)
_______
Loss before taxation (59,140)
Taxation -
_______
Loss before minority interests (59,140)
Minority interests 13,903
_______
Loss for the period (45,237)
========
(5) Loss per share
The calculation of the basic loss per share is based on
the following data:
2002 2001
HK$'000 HK$'000
Loss for the period 45,237 31,609
====== ======
Number of shares Number of shares
Weighted average number of
ordinary shares for the purpose
of basic loss per share 2,190,310,498 1,951,993,121
============ ============
No diluted loss per share s presented as the exercise price of
the share options was higher than the market price of the
Company's ordinary shares.
HO HING: Winding Up Sought by Bank of China
-------------------------------------------
Bank of China (Hong Kong) Limited is seeking the winding up of
Ho Hing Textile Limited. The petition was filed on November 11,
2002, and will be heard before the High Court of Hong Kong on
January 22, 2002 at 9:30 in the am.
Bank of China holds its registered office at 14th Floor, Bank of
China Tower, No. 1 Garden Road, Central, Hong Kong. Solicitors
for the Petitioner, Rowland Chow, Chan & Co. can be reached at
15th Floor, Wing Lung Bank Bldg.
45 Des Voeux Road, Central Hong Kong.
SMART MASTER: Winding Up Petition Hearing Set
---------------------------------------------
The petition to wind up Smart Master Development Limited is
scheduled for hearing before the High Court of Hong Kong on
January 8, 2003 at 9:30 in the morning.
The petition was filed with the court on October 28, 2002 by
Bank of China (Hong Kong) Limited whose registered office is
situated at 14th Floor, Bank of China Tower, No. 1 Garden Road,
Central, Hong Kong. Tsang, Chan & Wong represent the petitioner.
WAH HA: Trims Operations Loss to US$670,516
-------------------------------------------
Wah Ha Realty Company Limited announced its latest results on
12 December 2002:
Year end date: 31/03/2003
Currency: HKD
Auditors' Report: N/A
Review of Interim Report by: Both Audit Committee and Auditors
(Unaudited)
(Unaudited) Last
Current Corresponding
Period Period
from 01/04/2002 from 01/04/2001
to 30/09/2002 to 30/09/2001
Note ($) ($)
Turnover : 6,658,650 6,817,253
Profit/(Loss) from Operations : (670,516) (12,288,195)
Finance cost : N/A N/A
Share of Profit/(Loss) of
Associates : 6,387,714 7,857,006
Share of Profit/(Loss) of
Jointly Controlled Entities : N/A N/A
Profit/(Loss) after Tax & MI : 4,264,604 (5,685,278)
% Change over Last Period : N/A %
EPS/(LPS)-Basic (in dollars) : 0.0353 (0.047)
-Diluted (in dollars) : N/A N/A
Extraordinary (ETD) Gain/(Loss) : N/A N/A
Profit/(Loss) after ETD Items : 4,264,604 (5,685,278)
Interim Dividend : NIL NIL
per Share
(Specify if with other : N/A N/A
options)
B/C Dates for
Interim Dividend : N/A
Payable Date : N/A
B/C Dates for (-)
General Meeting : N/A
Other Distribution for : N/A
Current Period
B/C Dates for Other
Distribution : N/A
ZIDA COMPUTER: Operations Loss Swells to HK8M
---------------------------------------------
Zida Computer Technologies Limited posted its audited Interim
Report, as follows:
Year end date: 31/3/2003
Currency: HKD
Auditors' Report: N/A
Review of Interim Report by: Audit Committee
(Unaudited )
(Unaudited ) Last
Current Corresponding
Period Period
from 01/04/2002 from 01/04/2001
to 30/09/2002 to 30/09/2001
Note ('000) ('000)
Turnover : 806,277 676,322
Profit/(Loss) from Operations : (7,998) (2,394)
Finance cost : (464) (1,284)
Share of Profit/(Loss) of
Associates : N/A N/A
Share of Profit/(Loss) of
Jointly Controlled Entities : N/A N/A
Profit/(Loss) after Tax & MI : (8,461) (3,678)
% Change over Last Period : N/A %
EPS/(LPS)-Basic (in dollars) : (0.045) (0.0196)
-Diluted (in dollars) : N/A N/A
Extraordinary (ETD) Gain/(Loss) : N/A N/A
Profit/(Loss) after ETD Items : (8,461) (3,678)
Interim Dividend : NIL NIL
per Share
(Specify if with other : N/A N/A
options)
B/C Dates for
Interim Dividend : N/A
Payable Date : N/A
B/C Dates for (-)
General Meeting : N/A
Other Distribution for : N/A
Current Period
B/C Dates for Other
Distribution : N/A
Remarks:
1. Basis of preparation and Principal Accounting Policies
The unaudited interim result of the Group are prepared in
accordance with the requirements as set out in the Statements of
Standard Accounting Practice (SSAP) No. 25 `Interim Financial
Statements' as issued by the Hong Kong Society of Accountants
and Appendix 6 to the Rules Governing the Listing of Securities
on the Stock Exchange of Hong Kong Limited.
The accounting policies and basis for the preparation of these
condensed financial statements are the same as those adopted in
the financial statements for the year ended 31st March 2002,
except that the Group has adopted for the first time a number of
new and revised SSAPs issued by the Hong Kong Society of
Accountants during the period.
SSAP 1 (Revised): "Presentation of financial statements"
SSAP 11 (Revised): "Foreign currency translation"
SSAP 15 (Revised): "Cash flow statements"
SSAP 34: "Employee benefits"
The adoption of the above new and revised SSAPs had no
significant impact on the Group's interim financial statement in
the prior year.
2. Loss per share
The calculation of the basis loss per share for the period is
based on the net loss for the six months ended 30th September
2002 of HK$8,461,000 (2001: loss for the period of HK$3,678,000)
and on the weighted average number of 188,081,511 shares (2001:
188,000,000 shares) in issue during the period.
No amount has been presented for the diluted loss per share for
the period as the exercise of the outstanding share options of
the Company would result in a decrease in the loss per share.
ZHUHAI HIGHWAY: Pays US$16M to Senior Bondholders
-------------------------------------------------
Zhuhai Highway Co. recently paid approximately US$16 million to
the holders of the Zhuhai 9.125% Bond due on 2006, DebtTraders
reports, adding that the Company is in the process of
restructuring the Zhuhai 11.5% Bond due on 2008.
Zhuhai Highway expects to generate slightly less than $20
million each year for debt servicing, which will allow it to
repay the remaining outstanding balance of the Zhuhai 9.125%
Bond due '06 in two years.
"We estimate the company has repaid about two-third of the
outstanding amount of the Zhuhai 9.125% Bond due '06, which is a
credit positive for the Zhuhai 11.5% Bond due '08, the junior
debt," said DebtTraders Analysts Daniel Fan (852-2537-4111) and
Blythe Berselli(1-212-247-5300).
According to DebtTraders, ZhuHai Highway's 9.125% bonds due on
2006 (ZHUH06CNA1) are trading between 78 and 85. Go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=ZHUH06CNA1
for real-time bond pricing.
=================
I N D O N E S I A
=================
ASTRA INTERNATIONAL: Creditors to Pay US$75M by Year-end
--------------------------------------------------------
PT Astra International will go ahead with a rights issue in
January 2003 after the creditors approved the company's plan to
restructure up to US$850 million debt at a meeting in Singapore
on Thursday, IndoExchange reported Friday.
The rights issue will raise between US$100 million and US$150
million as part of the debt-restructuring scheme. Under the
plan, Astra aims to repay US$75 million by Dec. 31, repay on
average between US$70 million and US$100 million every year
thereafter and refinance US$400 million-US$450 million of the
debt through new loans.
"By having a lower amortization, we can more comfortably meet
those targets every year, interest and principal payments. With
the rights money, we can increase our debt repayments, and it
makes the profile much more comfortable for Astra going
forward," Slack said, adding that the plan doesn't include any
commitment to divest any of its non-core assets.
Astra's Finance Director John Slack said Astra's total
outstanding debt was previously estimated at US$820 million but,
due to exchange rate differences and interest calculation, would
currently stand at US$850 million.
Astra hopes to repay its total debt by 2006, with the option of
an extension to 2009 if the company is unable to find lenders to
refinance half the debt. Part of its repayment plan would funded
by proceeds from the proposed rights issue.
BANK DANAMON: IBRA Names JP Morgan as Financial Advisor
-------------------------------------------------------
The Indonesian Bank Restructuring Agency (IBRA) has chosen
consulting firm JP Morgan as the financial advisor for the
planned sale of majority stake in PT Bank Danamon, Jakarta Post
reports.
IBRA will sell up to 20 percent stake in the bank through market
offerings, to be followed by selling a controlling 51 percent
stake through strategic sale mechanism.
The first stage of divesting 71 percent is hoped to be finalized
by March next year. IBRA in return for some Rp47 trillion worth
of bail out funds injected to the bank since the crisis.
Danamon is 99.4 percent owned by the government's Indonesia Bank
Restructuring Agency (IBRA), although there are plans to
privatize the bank. Danamon would have been insolvent had it not
been for the capital injection from the Republic of Indonesia.
=========
J A P A N
=========
DAIMARU INC.: JCR Assigns BBBp Rating
-------------------------------------
Japan Credit Rating Agency (JCR) has changed the BBBp rating of
Daimaru Inc. rating to BBBp (+/-).
RATIONALE:
Daimaru is a large department store operator based in Osaka.
The business environment turned severe this year with demand
from corporations falling sharply, although department store
sales increased temporarily last year due to impact of
bankruptcy of Sogo. There is a sign of weakening of demand for
expensive designer goods. Furthermore, the sales centering on
sales to large corporate and individual customers are expected
to drop further due to fall in stock prices and uncertainty over
the economy in the future. The local economy in western part of
Japan where Daimaru has a foothold deteriorated sharply relative
to other regions. The business environment in the future will
continue to be severe.
Daimaru improved the earnings sharply, lowering break-even point
via cost reductions and improvement in efficiency. It will open
a new store in Sapporo, Hokkaido in spring next year. The new
store will be a low-cost outlet that is different from existing
stores. Thus the earnings of the outlet will be higher in the
face of difficult business environment, contributing to an
increase in the overall earnings earlier. On the other hand,
supermarket operations would incur large loss for the current
fiscal 2002 through February 28, 2003, recording restructuring
costs. Daimaru plans to continue restructuring in the next
fiscal year. JCR will pay close attention to the earnings trend
of the supermarket operations in the future.
The financial structure is poor as indicated by Daimaru's heavy
reliance on the interest-bearing debt. The financial structure
will remain unchanged in the current fiscal 2002 with heavy
burden of investment in a new store in Sapporo. The capital
spending is expected to peak out in the current fiscal year.
Accordingly, free cash flow will increase while interest-bearing
debt will be reduced gradually. More drastic measures to improve
the financials need to be taken, however.
HIGASHI NIHON: Profit Prediction Erased by Loss Outlook
-------------------------------------------------------
Higashi Nihon House may fall after forecasting a group pretax
loss of 890 million yen for the year to October, up from its 524
million-yen loss last year, Dow Jones reports. The homebuilder
had predicted 90 million yen profit in previous forecast.
According to Wright Investor's Service, at the end of 2001,
Higashi Nihon House Co., Ltd. had negative working capital, as
current liabilities were 47.59 billion yen while total current
assets were only 18.83 billion yen.
ISETAN CO.: JCR Assigns Ap Rating
---------------------------------
Japan Credit Rating Agency (JCR) has changed the Ap rating on
senior debts of Isetan Co., Ltd. to Ap (+/-).
RATIONALE:
Isetan is a major department store operator, highly visible in
fashion apparel. Its flagship outlet in Shinjuku enjoys high
earnings.
The business environment turned severe this year with demand
from corporations falling sharply, although department store
sales increased temporarily last year. The sales centering on
sales to large corporate and individual customers are expected
to be stagnant in the foreseeable future due to fall in stock
prices and uncertainty over the economy in the future. On the
other hand, although the sales at cities have been firm, Isetan
needs to differentiate itself from peers introducing the
attractive goods to customers to reduce opportunity loss in the
face of more and more diversified needs of customers and the
shortening of product life cycle.
Isetan plans to absorb the diversified needs of customers by
carrying out product development activities based on needs of
individual customers, while reducing opportunity loss via
establishment of supply-chain management under the three-year
restructuring plan. The Company has established a new business
model that is its own-run selling space at the outlets
controlled by the headquarters as well as new form of
transactions with customers. These measures are expected to
strengthen the earnings power. The overseas department stores
including outlet in Shanghai and high-class supermarkets are
performing well. JCR believes that these operations will allow
Isetan to maintain the stable earnings power in the midst of
severe business environment facing the domestic department store
operations.
Isetan has been limiting the capital spending to about a half of
cash flow while selling off the assets recently. As a result,
the interest-bearing debt was reduced sharply. It is expected to
make efforts to reduce the debt continually. The financial
structure will improve further, accordingly.
MITSUBISHI HEAVY: Execs' Salaries Cut in Disciplinary Move
----------------------------------------------------------
Four executives of Mitsubishi Heavy Industries Ltd. received
salary cuts and a fifth was reprimanded in connection with a
series of embarrassing incidents related to the firm's contract
with the Defense Agency, the Asahi Shimbun reports.
Nobuo Toda, Manager of Nagoya Aerospace Systems Works, and
Tomohiro Tange, Yoji Yamada and Mitsuzo Yashiro, all deputy
managers at the same plant, received the cuts. The amounts and
terms of the cuts were not disclosed.
Junichi Maezawa, manager of Aerospace Headquarters and Managing
Director of Mitsubishi Heavy, was officially reprimanded.
Maezawa and Mitsubishi Heavy President Takashi Nishioka is
planning to return 20 percent of their salaries for two months.
The disciplinary measures was caused by incidents in 2001 and
this year in which the firm mismanaged confidential Defense
Agency documents and insufficiently supervised Self-Defense
Forces (SDF) aircraft.
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.
MITSUBISHI MATERIALS: Supplying Chip Antenna to Nintendo
--------------------------------------------------------
Mitsubishi Materials announced that Nintendo has decided to
adopt the Company's AHD Series 2.4GHz wireless ceramic chip
antenna for its GameCube WaveBird Wireless Controller, JCN
reports.
The Company has been developing and marketing mobile device
surface-mount ceramic chip antennas since 1998. It plans to
cultivate demand for the wireless device chip antennas among
Bluetooth wireless product makers. The Company has a monthly
output capacity of 1 million units at its ceramic plant in
Saitama Prefecture, the plant will be up and running full speed
next year.
According to the Troubled Company Reporter-Asia Pacific,
Mitsubishi Materials is may not achieve earnings outlook this
year due to slowdown in electronics demand in the second half,
as well as deepening net loss at affiliate Mitsubishi Cable.
In a Company statement, Mitsubishi Materials announced the
revision in projections downward for its consolidated and non-
consolidated net income as of this fiscal half-year due to the
extraordinary loss such as the stock evaluation loss (about 6
billion yen) on the affiliated, the loss (about 1 billion yen)
of being suffered by the typhoon at the Iwate Cement Plant.
NIPPON TELEGRAPH: Govt Eyes Separate Fees for Units
---------------------------------------------------
NTT East Corporation and NTT West Corporation, the units of
Nippon Telegraph and Telephone Co., are set to charge different
fees for the circuits they lease to corporate users, Kyodo News
reports. In the case of high-speed digital leased circuits, the
fees of NTT West could be some 15 percent higher than NTT
East's, the report said.
As a part of NTT East's review of its group structure of
operations, the Company is looking at business areas that
overlap with its subsidiaries such as NTT-ME Corp., where
performance can be improved, the Troubled Company Reporter-Asia
Pacific reports.
NTT East will begin talks with its labor union to transfer about
5,000 full-time workers to its regional units by next spring, in
order to cut personnel costs and improve operating efficiency.
NTT West Corporation also introduced a major reorganization plan
on May 1. The scheme features the consignment of sales and
facility maintenance to its units.
NISSHO IWAI: Moody's Review Rating for Possible Upgrade
-------------------------------------------------------
Moody's Investors Service placed B2 long-term unsecured senior
debt ratings of Nissho Iwai Corporation (NI) under review for
possible upgrade, and placed B1 long-term unsecured senior debt
ratings of Nichimen Corporation (NM) on review for possible
downgrade, after both firms integrated their business under
newly created holding Company structure.
However, Moody's also placed B2 rating of convertible unsecured
senior debts of Nissho Iwai Corporation on review for possible
downgrade as these debts are likely to be moved to the holding
Company due to its equity linked characteristics and will be
impacted by structural subordination element.
The rating action reflects Moody's view that the contemplated
plan to create a new holding Company with the objectives of
achieving further expense reduction, coupled with planned re-
capitalization at the holding Company, may have the potential to
positively impact the rating of Nissho Iwai Corporation.
However, the credit risk profile of Nichimen Corporation may be
negatively impacted by future integration of its business with
larger sized counterpart.
Moody's review will center on the size and nature of re-
capitalization relative to the economic risk of the consolidated
holding Company, and its related subsidiaries. Both companies
said that equity finance at the holding Company will not be
implemented before April 2003.
The following ratings are placed under review for possible
upgrade:
Nissho Iwai Corporation: B2 long-term unsecured senior debt
rating
Nissho Iwai America Corporation: B2 long-term unsecured senior
debt rating
Nissho Iwai Europe plc: B2 long-term unsecured senior debt
rating
Nissho Iwai HK (Cayman) Limited: B2 long-term unsecured senior
debt rating
Nissho Iwai International Finance (Cayman) Limited: B2 long-term
unsecured senior debt rating
The following ratings are placed under review for possible
downgrade
Nissho Iwai Corporation: B2 long-term unsecured senior
convertible debt rating
Nichimen Corporation.: B1 long-term unsecured senior debt rating
Nichimen America, Inc: B2 long-term unsecured senior debt rating
Nichimen Europe Plc: B2 long-term unsecured senior debt rating
Nichimen Hong Kong (Cayman) Ltd.: B2 long-term unsecured senior
debt rating
Both firms are major Japanese trading companies, with total
assets of 2.6 trillion yen and 1.3trillion yen, respectively.
NTT DOCOMO: Considers Buying and Retiring Own Stock From Market
---------------------------------------------------------------
NTT DoCoMo Inc., unit of Nippon Telegraph and Telephone Co., may
raise dividends or buy back and retire some of its own stock
from the market to boost the faltering price of its shares,
Kyodo News said on Friday, citing NTT President Keiji Tachikawa.
"We would like to increase dividends. We would like to think
about this not just for next year but for the year after that,"
Keiji Tachikawa said.
SEIYU LIMITED: Investors Scrambling to Buy Shares
-------------------------------------------------
Investors are rushing to buy the shares of Seiyu Limited after
supermarket chain Wal-Mart Stores announced it will raise its
stake to 34 percent from 6.1 percent, according to Dow Jones.
Seiyu is expected to use 52 billion yen gained from new share
issue to Wal-Mart to renovate stores and implement price-cutting
strategy.
"This tie-up is expected to make Seiyu much more competitive,"
says trader.
SEIYU LIMITED: Wal-Mart Increases Stake to 34%
----------------------------------------------
Wal-Mart Stores Inc. will raise its equity stake in struggling
supermarket operator Seiyu Ltd. from 6.1 percent to 34 percent,
becoming its top shareholder, Japan Times reports, citing John
Menzer, President and CEO of Wal-Mart International.
The purchase will be carried out on December 27.
Wal-Mart will acquire Seiyu's equity at 270 yen per share, which
amounts to a 52 billion yen infusion into the Japanese operator.
Seiyu sold its financing unit to the U.S. investment fund Lone
Star Group late in November to help lessen its interest-bearing
debt of 609.3 billion yen by 150 billion yen.
=========
K O R E A
=========
DAEWOO GROUP: Entering China's Audio Video Market
-------------------------------------------------
Daewoo Group is entering China's audio video market in Shenzhen,
SinoCast reports.
In September, Daewoo and GVG (HK) Ltd. established a joint
venture, Shenzhen GVG Daewoo Enterprise Co., Ltd. The joint
venture firm will be responsible for the sales, promotion and
after-sales service of Daewoo audio and video products in China.
Ye Xiaobin, Board Chairman at Shenzhen GVG Daewoo, said Daewoo's
goal is to develop the Daewoo-made audio video projects into top
international brand in China.
Daewoo will establish first-class agents in every province and
develop second- and third-class dealers to form an efficient
sales network.
In February, the Troubled Company Reporter-Asia Pacific, said
that the Korea Deposit Insurance Corp. (KDIC) is beginning to
consider a compensation suit against former top Daewoo officials
next month, while it is wrapping up its year-long probe into the
cause of Daewoo Group's bankruptcy.
A KDIC official said, "A deliberation committee comprised of
lawyers, scholars and financiers will be set up in mid March to
review the outcome of the investigation and deliberate on
whether to lodge a compensation lawsuit."
The official said it would sue former Daewoo Chairman Kim Woo-
choong and dozens of top managers for causing the conglomerate's
bankruptcy.
DAEWOO MOTOR: Indian Assets Up for Sale
---------------------------------------
Prospective buyers of Daewoo Motors India will have to submit
their bids by December 18, Times News Network reports.
Some of the biggest players in the industry, including Maruti,
Ford India, Telco, Ashok Leyland, Hind Motors and TVS Motors,
showed interest in acquiring some of its assets.
Sundaram Clayton, along with a couple of European automotive
manufacturers, is also set to join the battle. Reports said
sources said the interest level has been the highest for the
aluminium dye-casting unit. Although the book value of the
Company's assets stands at a staggering Rs 3,600 crore, analysts
say the realizable value would be 'much lower'.
DAEWOO MOTOR: Floating ABS Worth US$32.9M
-----------------------------------------
Daewoo Motor Sales Corp., the sales agency for GM Daewoo Auto &
Technology Co., has floated asset-backed securities (ABS) worth
40 billion won (US$32.9 million) at a cost of 6.5 percent, Auto
Asia Magazine reports. The proceeds will be used to repay
existing debts with interest rates higher than 6.5 percent.
With the debt sales, the Company expects to reduce its debt
burden to 81.8 billion won from 121.8 billion won. So far this
year, Daewoo Motors Sales has floated asset-backed securities
worth 179 billion won.
HYNIX SEMICONDUCTOR: Hyundai Selling 10.31M Shares
--------------------------------------------------
Hyundai Heavy Industries Co. Limited has sold 10.31 million
shares in Hynix Semiconductor Inc. under the agreement of
disaffiliation for 3.8 billion won on Wednesday, AFX Asia
reports.
In June 2001, Hyundai Group affiliates and the group's major
shareholder, Chung Mong-hun, agreed to put their combined 19.1
percent stake in Hynix into a custodial account administered by
the Korea Exchange Bank for sale so that Hynix can be
disaffiliated from the group.
Hyundai Heavy plans to sell all of the remaining 24.08 million
Hynix shares, equivalent to 0.46 percent stake, at an
unspecified date.
The equity sale came as the Korea Exchange Bank plans to seek
approval at a Hynix Extraordinary General Meeting (EGM) in
February for a 21-to-1 equity write-down in return for the
conversion of 1.9 trillion won in debt into equity in March
2003.
HYNIX SEMICONDUCTOR: Micron Demands ITC Probe of Subsidies
----------------------------------------------------------
Steven Appleton, Chairman and Chief Executive of Micron
Technology, demanded the International Trade Commission (ITC) to
launch an investigation into South Korean government subsidies
for Hynix Semiconductor, according to the Financial Times.
"Since 1998, Hynix has received $11bn in various forms of
subsidies. It's like the movie Groundhog Day. Every day we are
competing against a Company that is subsidized by a government.
We can compete against any Company in the world but not against
governments. Market principles should come into play," Mr
Appleton told the Financial Times.
The ITC is meeting on December 13 to decide whether Micron's
business has been damaged by subsidies to Hynix. If it rules
that Micron has been injured, then the US could begin the
process of imposing tariffs on D-Rams manufactured by Hynix and
possibly Samsung, another South Korean group.
Last week, creditors of Hynix delayed a meeting on whether to
offer a fresh bailout.
HYUNDAI MERCHANT: Creditors Extends New Financing Scheme
--------------------------------------------------------
The creditor banks of Hyundai Merchant Marine (HMM) will extend
a new financing scheme to the shipping firm, through a guarantee
to issue 300 billion won in asset-backed securities (ABS) of HMM
in 2003, Digital Chosun reports.
The move has sparked disputes over the creditors' privileged
funding for the Company.
The shipping firm needs additional funds next year, even if the
firm pays off its outstanding debts from the sale of its
automobile transportation division, creditors said.
On Wednesday, creditors decided to collect 1.15 trillion won of
the total 1.4 trillion won (US$1.25 billion) that HMM is
expected to receive from the sale of the division, leaving the
remaining 250 billion won for the firm's operational fund.
KOHAP LIMITED: Kolon Acquires Nylon Film Business
-------------------------------------------------
The Fair Trade Commission (FTC) has awarded Kolon Industries
Inc. the conditional right to buy the nylon film business of
Kohap Limited, JoongAng Ilbo reported on Friday.
The terms require Kolon to sell one of its two lines in Kohap's
Dangjin factory to a third party. Kohap is currently undergoing
bankruptcy proceedings.
Nylon film is used as a packaging material for processed foods.
"Kolon aims to complete the acquisition and sale as soon as
possible," said an unnamed Kolon official.
===============
M A L A Y S I A
===============
ARTWRIGHT HOLDINGS: Annual Report 2002 Resolutions Approved
-----------------------------------------------------------
The Board of Directors of Artwright Holdings Berhad advised that
the shareholders of the Company have, through the Ninth Annual
General Meeting held on 12 December 2002 passed all the
resolutions as prescribed in the Notice contained in the Annual
Report 2002.
COMPANY PROFILE
Founded in 1965 as a manufacturer of T- Squares and drafting
boards, Artwright is today a leading manufacturer of medium to
high-end office furniture in South East Asia. About 70% of the
products manufactured are sold in the domestic market while the
remainder is exported to South and Central America, Europe, the
Middle East and Asia Pacific.
Artwright's flagship product is the System MX V2. It has also
launched an up-market system known as System MX i as an
integrated office desk and panel workstation system. Annual
production capacity and output are RM200m and RM40m
respectively.
Artwright is certified ISO 9002 compliant and its products have
been tested under the various international product performance
testing and various accreditation through ANSI, BIFMA and
British Standard.
The Company and its four subsidiaries had on 6 September 2000
entered into a debt restructuring agreement with its financial
institution lenders and hire-purchase and lease creditors to
reschedule debt payments as well as to issue ICULS as part
settlement of unsecured debts.
Subsequently, the Group renegotiated with scheme creditors on a
revised proposed voluntary debt-restructuring scheme for which
it entered into a supplementary debt restructuring agreement on
17 August 2001. The Company has on 21 August 2001 submitted the
revised proposal to the relevant.
CONTACT INFORMATION: 6th Floor, 3 Cangkat Raja Chulan
50200 Kuala Lumpur
Tel : 03-2031 1988;
Fax : 03-2031 9788
DATAPREP HOLDINGS: Revises Debt Scheme Proceeds Utilization
-----------------------------------------------------------
Reference is made to the Restructuring Scheme of Dataprep
Holdings Bhd, which was completed in October 2002. The
Restructuring Scheme entailed, amongst others, the subscription
by VXL Holdings Sdn Bhd of 40,000,000 new ordinary shares of
RM1.00 each in Dataprep (Shares) at an issue price of RM1.25 per
Share together with 15,151,515 Warrants at an issue price of
RM0.20 per Warrant for a total cash consideration of
RM53,030,303 (Subscription of Shares with Warrants). The
proceeds arising from the Subscription of Shares with Warrants
were proposed by the Company to be utilized for the core
businesses of the Company and its subsidiaries (Dataprep Group),
as set out in Table 1 found at
http://www.bankrupt.com/misc/TCRAP_Dataprep1216.pdf.
The Company wishes to announce the utilization of the proceeds
arising from the Subscription of Shares with Warrants (Revision)
is now revised. The proceeds will, however, remain to be
utilized for the core businesses of the Dataprep Group. Details
of the Revision are set out in Table 2 at
http://www.bankrupt.com/misc/TCRAP_Dataprep1216.pdf.
In view of market and technological changes which has taken
place, part of the funds originally earmarked for the Dataprep
Group's Capital & Research and development expenditure of a
total of RM19.5 million will no longer be required. The Dataprep
Group's managed services and applications services provisioning
business has been affected by the global slowdown in the
information technology industry, resulting in the extra capacity
and the corresponding capital expenditure projected to be
incurred to be no longer required. Furthermore, with the changes
in the technological market place to an open source market, some
of the peripheral systems supporting the core engines developed
by Dataprep, which were initially intended to be developed by
the Dataprep Group, are now available in the market at a much
lower cost. In view of this, the Dataprep Group's R&D plan for
the development of such peripheral systems have been shelved,
resulting in the reduction in its R&D expenditure.
In view of the above, the Company estimates that a total of
RM12.0 million will be incurred for its capital and R&D
expenditure for new businesses, of which RM2.963 million is
expected to be incurred in the financial year ending 2004. The
difference of RM7.5 million will be utilized as working capital
of the Dataprep Group.
In this respect, the Board of Directors of Dataprep has,
approved the Revision and the extension of time of one (1) year,
i.e. up to 31 March 2004, for the completion of the utilization
of the proceeds of RM2.963 million earmarked for the capital and
R&D for new businesses.
KEDAH CEMENT: Becomes MCB's Wholly Owned Subsidiary
---------------------------------------------------
Malayan Cement Berhad announced that pursuant to the Proposed
Kedah Cement Holdings Berhad Scheme of Arrangement, MCB had
effective from 11 December 2002 acquired the remaining
94,787,685 shares in KCHB, representing the remaining 22.59%
equity interest in KCHB not already owned by it, from the
existing KCHB minority shareholders. Through the acquisition,
KCHB has become a wholly owned subsidiary of the Company.
COMPANY PROFILE
The Kedah Cement Group of Companies is presently involved in the
manufacture, transportation and sale of cement, clinker and
related products. The Group's integrated cement plant in
Langkawi, Kedah has a clinker production capacity of approx.
3.3m m/t and a cement grinding capacity of approx. 5.9m m/t. Its
cement plant is linked through an automatic transportation
system to its jetty for shipping. The Group also owns terminals
at Port Klang, Prai and Pasir Gudang as well as seven vessels
and a fleet of cement tankers for transportation of its cement
products.
The Company, in September 1999, became a 77.1% subsidiary of M-
Cement Sdn Bhd, which is wholly-owned by listed entity Malayan
Cement Bhd (MCB).
The Company had proposed a reconstruction scheme in November
1999, which was later, aborted in March 2001. Notwithstanding
this, MCB (which had been a party to the proposal) has informed
that it will endeavor identifying/securing suitable and viable
assets to be injected into the Company. In the event that MCB is
unable to do so, it remains MCB's intention to acquire the
entire cement and related businesses of the Company.
CONTACT INFORMATION: Level 12, Bangunan TH Uptown 3
No. 3, Jalan SS21/39
47400 Petaling Jaya
Selangor
Tel : 03-7723 8200/7726 4100
Fax : 03-7722 4100
LION CORPORATION: Proposed Megasteel Scheme Granted Court Order
---------------------------------------------------------------
On 1 November 2002, Lion Corporation Berhad announced that
Megasteel Sdn Bhd (Megasteel), a subsidiary of the Company, had
filed with the High Court of Malaya (Court) an application for
an order to sanction the scheme of arrangement proposed by
Megasteel for the settlement of the debts owing to its creditors
pursuant to Section 176 of the Companies Act, 1965 (Proposed
Megasteel Scheme).
The Company wishes to announce that on 12 December 2002, the
Court granted the order for sanction of the Proposed Megasteel
Scheme (Court Order). As such, the conditions precedent of the
Proposed Megasteel Scheme have been satisfied and Megasteel will
be lodging a copy of the Court Order with the Companies
Commission of Malaysia in due course. Upon the lodgment of the
Court Order, the Proposed Megasteel Scheme will be effective.
COMPANY PROFILE
The Company was originally established in Singapore in 1939
under the name of Lion Teck Chiang Chiang Foundry Company to
carry on the business of an iron foundry. As the Company
expanded its activities to cover the manufacture of rubber
compound for tire retreading, furniture products as well as
steel slotted angles, panels and shelves, the operation was
expanded overseas. In 1972, Lion (Teck Chiang) Sdn Bhd was
incorporated in Malaysia to restructure all these operations.
Since then, the Company has ventured into other areas including
agriculture, horticulture, motor vehicle assembly, security
equipment production and office furniture manufacturing. In
1986, it acquired the business licensed to produce hot rolled
coils, which is one of the key raw materials used in higher
value added manufacturing, engineering, industrial and
construction-related applications. The RM2.5b plant is currently
the only producer of such products in the country with annual
rated capacity of 2m m/t.
The Company is presently undertaking a Group-wide restructuring
scheme aimed at consolidating, stabilizing and rationalizing the
cash flow and funding of the Group and optimizing utilization of
the Group's businesses. The Company and its subsidiary, Lion
Construction & Engineering Sdn Bhd, have obtained a Court Order
to convene scheme meetings with their respective financial
institution scheme creditors on or before 1.10.2002.
The Company has been granted an extension of time to 11.6.2002
to obtain all necessary approvals from the regulatory
authorities for the proposed GWRS.
CONTACT INFORMATION: Level 46, Menara Citibank
165, Jalan Ampang
50450 Kuala Lumpur
Tel : 03-21622155
MALAYSIAN RESOURCES: Juranas Sdn Withdraws Winding-Up Petition
--------------------------------------------------------------
Malaysian Resources Corporation Bhd, further to its
announcements on 5 November 2002, 11 November 2002 and 15
November 2002, announced that Juranas Sdn. Bhd., has withdrawn
on Thursday their winding-up petition against the Company.
The Troubled Company Reporter - Asia Pacific reported in August
the proposed revision to the corporate restructuring scheme,
which includes the Proposed MRCB Debt Settlement and the
Proposed Transfer of The New Straits Times Press (Malaysia)
Berhad (NSTP).
The salient features of the revised Proposed MRCB Debt
Settlement are as follows:
* the settlement addresses the RM465 million of the debts
owing to MRCB lenders, which are secured by the RHB, NSTP and
TV3 shares (instead of RM567 million as previously announced);
the remaining debt of RM465 million will be settled fully in
cash (to be facilitated by bridging/extended facilities) and
consequently there will be no SPC-PDS issued; and
* the proposed put option of ICULS will replace the proposed
put option of SPC-PDS.
The revisions to the Proposed Transfer of NSTP involves:
* the increase in the transfer consideration for NSTP shares
from approximately RM357 million or RM3.80 per share to
approximately RM400 million or RM4.25 per share; and
* a change from an undertaking to provide a put option of
SPC-PDS to an undertaking to provide a put option of ICULS. MRCB
and Newco will execute a second supplemental agreement in
relation to the Proposed Transfer of NSTP.
The Proposed Revisions insure the de-merger ratio will be
maintained (in terms of the proposed distribution-in-specie of
Newco shares for MRCB shares) in the event of any issuance of
new ordinary MRCB shares of up to 97.5 million shares or 10% of
MRCB's existing share capital resulting from the Proposed
Private Placement or exercise of ESOS options prior to the
Proposed De-merger.
MYCOM BERHAD: Answers KLSE's Unusual Market Activity Query
----------------------------------------------------------
In response to the query from the Kuala Lumpur Stock Exchange
dated 11 December 2002 on the unusual market activity of Mycom
Berhad shares, the Company wishes to advise as follows:
1. There is no material development in the Company's business
and affairs not previously announced apart from the Proposed
Restructuring Scheme that the Company is currently implementing;
2. On 3 December 2002, the Company has been notified of the
acquisition of a substantial stake of 5% in Mycom by Tan Sri Lim
Kok Thay which announcement was duly made on 4 December 2002.
Further to that, the Company is not aware nor have been notified
of any more impending change in the major shareholders; and
3. To the Company's knowledge, there are no other reasons to
account for the unusual market activity other than the interests
shown following the announcement of an acquisition by the new
substantial shareholder mentioned in 2 above.
Below is the KLSE's Query letter:
We draw your attention to the sharp increase in price and high
volume in your Company's shares recently.
In accordance with paragraph 9.11 of the Exchange's Corporate
Disclosure Policy on Response To Unusual Market Activity, you
are requested to furnish the Exchange with an announcement for
public release after a due enquiry seeking the cause of the
unusual market activity in the Company's securities. When
considering your response and when making the required
announcement, your attention is particularly drawn to the
continuing disclosure requirements set out in Chapter 9 of the
KLSE's Listing Requirements.
The announcement is to reach the Exchange within one market day
from the date hereof via KLSE Listing Information Network ("KLSE
Link").
Yours faithfully
FUNG RU HUEY
Senior Manager,
Financial Review & Surveillance
Listing Group
FRH/rz
MYCOM BERHAD: Seeks Proposed Acquisition Time Extension
-------------------------------------------------------
Further to the announcements made by Alliance Merchant Bank
Berhad (Alliance) on 14 August 2000, 12 December 2000, 12 June
2001, 12 December 2001 and 11 July 2002 on the Proposed
Acquisitions, Alliance wishes to announce on behalf of the Board
of Directors of Mycom Berhad, the Company is proposing to enter
into two (2) agreements for the extension of time for
fulfillment of conditions precedent on the following conditional
sale and purchase (S&P) agreements:
(a) a conditional assets acquisition agreement dated 14
August 2000 and its extensions dated 12 December 2000, 12 June
2001, 12 December 2001 and 11 July 2002 between Mycom, Olympia
Industries Berhad (OIB) and its subsidiaries, namely United
Malaysian Properties Sdn Bhd, Mascon Sdn Bhd and Regal Unity Sdn
Bhd, for the proposed acquisition by Mycom of 100% equity
interest in Olympia Land Berhad, 100% equity interest in City
Properties Development Sdn Bhd, 100% equity interest in Olympia
Plaza Sdn Bhd, 100% equity interest in Rambai Realty Sdn Bhd,
70% equity interest in Maswarna Colour Coatings Sdn Bhd, 100%
equity interest in Salhalfa Sdn Bhd, 100% equity interest in
Mascon Construction Sdn Bhd together with four (4) storey shop
office situated at Taman Shamelin Perkasa, Kuala Lumpur and a
factory unit situated at Beranang Industrial Estate, Selangor
and five (5)-acre land situated at District of Kota Kinabalu,
Sabah for an aggregate purchase consideration of RM73,175,000;
and
(b) a conditional land acquisition agreement dated 14 August
2000 and its extensions dated 12 December 2000, 12 June 2001, 12
December 2001 and 11 July 2002 between Mycom and Kenny Height
Developments Sdn Bhd for the proposed acquisition by Mycom of
approximately 41.14 acres of land situated at Mukim Batu,
Wilayah Persekutuan for a purchase consideration of
RM290,000,000.
The date for fulfillment of the conditions precedent of the
above two (2) conditional S&P agreements is proposed to be
extended for a further period of approximately six (6) months
from 12 December 2002 to 12 June 2003 or to such later date as
the parties may agree. The company shall make the appropriate
announcement once the agreements to extend the aforesaid
fulfillment of the conditions precedent have been entered into.
CONTACT INFORMATIONL: Level 23, Menara Olympia
8, Jln Raja Chulan,
50200 Kuala Lumpur
Tel : 03-2323993,
Fax : 03-2323996
OLYMPIA INDUSTRIES: Requests Proposal Time Extension
----------------------------------------------------
On behalf of the Board of Directors of Olympia Industries
Berhad, Alliance Merchant Bank Berhad, further to its
announcements on 14 August 2000, 12 December 2000, 12 June 2001,
12 December 2001 and 11 July 2002 on the Proposals, announced
that OIB is proposing to enter into two (2) agreements for the
extension of time for fulfillment of conditions precedent on the
following conditional sale and purchase (S&P) agreements:
(a) a conditional land acquisition agreement dated 14 August
2000 and its extensions dated 12 December 2000, 12 June 2001, 12
December 2001 and 11 July 2002 between OIB and Kenny Height
Developments Sdn Bhd for the proposed acquisition by OIB of
approximately 32.3 acres of land situated at Mukim Batu, Wilayah
Persekutuan for a purchase consideration of RM210,000,000; and
(b) a conditional assets disposal agreement dated 14 August
2000 and its extensions dated 12 December 2000, 12 June 2001, 12
December 2001 and 11 July 2002 between OIB and its subsidiaries,
namely United Malaysian Properties Sdn Bhd, Mascon Sdn Bhd and
Regal Unity Sdn Bhd and Mycom Berhad (Mycom), for the proposed
disposal to Mycom of 100% equity interest in Olympia Land
Berhad, 100% equity interest in City Properties Development Sdn
Bhd, 100% equity interest in Olympia Plaza Sdn Bhd, 100% equity
interest in Rambai Realty Sdn Bhd, 70% equity interest in
Maswarna Colour Coatings Sdn Bhd, 100% equity interest in
Salhalfa Sdn Bhd, 100% equity interest in Mascon Construction
Sdn Bhd together with four (4) storey shop office situated at
Taman Shamelin Perkasa, Kuala Lumpur and a factory unit situated
at Beranang Industrial Estate, Selangor and five (5)-acre land
situated at District of Kota Kinabalu, Sabah for an aggregate
sale consideration of RM73,175,000.
The date for fulfillment of the conditions precedent of the
above two (2) conditional S&P agreements is proposed to be
extended for a further period of approximately six (6) months
from 12 December 2002 to 12 June 2003 or to such later date as
the parties may agree. The company shall make the appropriate
announcement once the agreements to extend the aforesaid
fulfillment of the conditions precedent have been entered into.
CONTACT INFORMATION: Level 23, Menara Olympia
8, Jln Raja Chulan
50200 Kuala Lumpur
Tel : 03-2300033
Fax : 03-2300011
PANCARAN IKRAB: Submits Financial Regularization Plan to SC
-----------------------------------------------------------
Public Merchant Bank Berhad on behalf of Pancaran Ikrab Berhad,
announced that the Company had on 12 December 2002 submitted an
application to the Securities Commission of its plan to
regularize its financial condition vide a Proposed Restructuring
Scheme. An application to the Foreign Investment Committee in
respect of the Proposed Restructuring Scheme will be submitted
in due course.
COMPANY PROFILE
The Company (PIB) is principally an investment holding and
management company. PIB's subsidiaries, namely, Pembinaan
Promset Sdn Bhd, Promset Distributors Sdn Bhd and Powerdrive Sdn
Bhd are involved in construction, development, construction and
development consultancy services and industrial fastening
solutions' business.
The Company is an affected listed issuer under Practice Note
4/2001 of KLSE's Listing Requirements.
The Group's restructuring exercise which was announced in
November 1999 and February 2000, and which comprises among
others capital reconstruction exercise, debt restructuring and
transfer of listing status to a new company.
However, the corporate proposals were aborted on 1 July 2002
following the failure to complete the acquisition of a hotel-
based company. Subsequently, on 30 August 2002, the Company
entered into a MOU to acquire 100% stake in Poly Electronic &
Electrical (M) Sdn Bhd (Poly) and to facilitate a restructuring
scheme involving among others, a capital reconstruction exercise
and debt settlement. Poly is principally involved in the
mechanical and electrical contracting business. The proposals
are currently pending finalization.
CONTACT INFORMATION: 8, Jalan SS21/39
Damansara Utama
47400 Petaling Jaya
Tel : 03-7150388
Fax : 03-7150399
PLUS EXPRESSWAYS: Relevant Parties Sign Bonds Agreement
-------------------------------------------------------
On behalf of the Board of Directors of PLUS Expressways Berhad,
further to its announcement on Proposed Issue of Rm2,260 Million
Nominal Value of Bai' Bithaman Ajil Serial Bonds (BBA Serial
Bonds) by Projek Lebuhraya Utara - Selatan Berhad (PLUS), a
wholly owned subsidiary of Plus Expressways, RHB Sakura Merchant
Bankers Berhad informed that the relevant parties had on 11
December 2002 signed the facility agreement in relation to the
proposed BBA Serial Bonds.
The Primary Subscribers of the BBA Serial Bonds are RHB Sakura,
Deutsche Bank (Malaysia) Berhad and Kumpulan Wang Amanah Pencen.
RHB Sakura is the Lead Arranger of the BBA Serial Bonds.
An announcement would be made upon the issuance of the BBA
Serial Bonds.
Refer to Wednesday, December 11, 2002, Vol. 5, No. 245 issue of
The Troubled Company Reporter - Asia Pacific for details on BBA
Serial Bonds.
RASHID HUSSAIN: Proposes Straight Bonds Issue
---------------------------------------------
INTRODUCTION
On 7 November 2002, AmMerchant Bank Berhad (formerly known as
Arab-Malaysian Merchant Bank Berhad), on behalf of Rashid
Hussain Berhad, announced that RHB is proposing to issue
RM200,000,000 nominal amount of 5-year 3% bank guaranteed bonds
(BGB) with detachable rights to allotment of up to 239,086,799
warrants 2002/2007 (Warrants 2002/2007) on a "Bought-Deal" basis
whereby AmMerchant Bank as the Primary Subscriber will purchase
the entire issue of the BGB together with the detachable rights
to allotment of the Warrants 2002/2007 at 100% of the nominal
amount of the BGB (Proposed Bonds With Warrants Issue).
On behalf of the Company, AmMerchant Bank would like to announce
that the Company will be making an application to the SC for the
Proposed Straight Bonds Issue as the Company intends to replace
the Proposed Bonds With Warrants Issue with the issuance of
RM200,000,000 nominal amount of 5-year 4.3% bank guaranteed
bonds (Bank Guaranteed Bonds).
The Circular on the Proposed Bonds With Warrants Issue was
dispatched to the shareholders of the Company on 27 November
2002 and the extraordinary general meeting for the Proposed
Bonds With Warrants Issue to be held on 12 December 2002 will
proceed, as planned. However, only one of the proposals
entailing the issuance of RM200 million bank guaranteed bonds
will be implemented by RHB.
DETAILS OF THE PROPOSED STRAIGHT BONDS ISSUE
Similar to the details as set out in the announcement for the
Proposed Bonds With Warrants Issue dated 7 November 2002, RHB
proposes to issue the Bank Guaranteed Bonds to AmMerchant Bank
as the Primary Subscriber at 100% of the nominal amount of the
Bank Guaranteed Bonds who will then offer the Bank Guaranteed
Bonds to Public Bank Berhad ("Public Bank"). Public Bank may
subsequently offer the Bank Guaranteed Bonds to investors who
fall within Schedules 2 and 3 and either Schedule 4 or 5 of the
SCA.
The principal terms of the Bank Guaranteed Bonds do not differ
from the terms announced on 7 November 2002, save for the coupon
rate on the Bank Guaranteed Bonds which has been fixed at a rate
of 4.30% per annum and no warrants will be issued together with
the Bank Guaranteed Bonds.
The rating for the Bank Guaranteed Bonds, the proposed
utilization of proceeds and rationale for the Proposed Straight
Bonds Issue are similar to those set out in the announcement for
the Proposed Bonds With Warrants Issue dated 7 November 2002.
EFFECTS OF THE PROPOSED STRAIGHT BONDS ISSUE
The Proposed Straight Bonds Issue will not have any effect on
the share capital, RHB Group's net tangible assets and earnings,
and the shareholdings of the substantial shareholders of RHB.
APPROVALS REQUIRED
The Proposed Straight Bonds Issue is subject to the approval of
the SC and any other relevant authorities, if necessary.
DIRECTORS' AND SUBSTANTIAL SHAREHOLDERS' INTERESTS
None of the Directors and/or substantial shareholders of RHB or
persons connected with them have any interest, direct and/or
indirect, in the Proposed Straight Bonds Issue.
ADVISER AND LEAD MANAGER
AmMerchant Bank has been appointed as the Adviser and Lead
Manager for the Proposed Straight Bonds Issue.
CONTACT INFORMATION: Lot 603, Kawasan Perindustrian Kampung
Teluk, Sungai Dua
13800 Butterworth, Penang
Tel : 04-3562868
Fax : 04-3561322.
RASHID HUSSAIN: Voluntary Offer Closing Date Extended
-----------------------------------------------------
In reference to the announcement dated 22 November 2002 in
relation to the Voluntary Partial Offer wherein it was announced
that the closing date of the Voluntary Partial Offer will be
5.00 p.m. on Friday, 13 December 2002 (Closing Date).
On behalf of Rashid Hussain Berhad, AmMerchant Bank Berhad
(formerly known as Arab-Malaysian Merchant Bank Berhad),
announced that the Closing Date for the Voluntary Partial Offer
has been extended to 5.00 p.m. on Wednesday, 18 December 2002.
All other terms and conditions of the Voluntary Partial Offer by
RHB to increase its interest in the Shares and Warrants of RHB
Capital Berhad to up to a maximum of 75% remain unchanged.
Shareholders and warrantholders of RHB Capital who have yet to
accept the Voluntary Partial Offer are advised to refer to the
Offer Document dated 22 November 2002 for the terms, conditions
and procedures for acceptance of the Voluntary Partial Offer,
should they decide to accept the Voluntary Partial Offer.
COMPANY PROFILE
The Company (RHB) is principally an investment holding company
and its major subsidiaries are involved in commercial banking,
merchant banking, offshore banking, finance company business,
offshore trust services, general insurance, leasing, unit trust
management, property investment and management and the
securities and asset management business. Commercial banking,
however, contributes the major portion of the Group's revenue.
Between 1996 and 1999, the Group undertook several mergers and
acquisitions which involved the acquisition of Kwong Yik Bank
Bhd and Sime Bank Berhad.
On 23 April 2001, RHB announced that it has received approvals
from the Minister of Finance via Bank Negara Malaysia (BNM) to
enter into negotiations with UBG Banking Group Berhad (UBG) for
the purpose of merging the RHB and UBG banking groups.
Negotiations are on-going.
With respect to the proposed group restructuring scheme
announced in September 2000, RHB is reviewing the proposal as
part of the proposed merger between the RHB and UBG banking
groups.
CONTACT INFORMATION: 9th Floor RHB 1
424 Jalan Tun Razak
50400 Kuala Lumpur
P O Box 12699, 50786 Kuala Lumpur
Tel : 03-9852233
Fax : 03-9855522
SOUTHERN PLASTIC: Replies to KLSE's Restructuring Scheme Query
--------------------------------------------------------------
On behalf of Southern Plastic Holdings Berhad, Commerce
International Merchant Bankers Berhad, in reply to the KLSE'
Query Letter regarding the Proposed Restructuring Scheme,
furnished the additional information as follows:
1. Particulars of all liabilities to be assumed by SPHB, arising
from the Proposed Acquisitions SPHB will not be assuming any
liabilities arising from the Proposed Acquisitions.
2. Net book value of the Tampin Property based on Talu
Corporation Sdn Bhd's (TCSB) latest audited accounts
The net book value of the Tampin Property based on TCSB's
audited accounts as at 31 May 2002 is RM7,788,184.
3. Net book value of the PD Property based on Varia Bidari (M)
Sdn Bhd's (VBSB) latest unaudited accounts
The net book value of the PD Property based on VBSB's unaudited
accounts as at 31 March 2001 is RM49,689,470.
4. Net book value of the Seremban Property (Lots 15585 & 15586)
based on Far East By-Products Sdn Bhd's (FESB) latest unaudited
accounts. The net book value of the Seremban Property i.e. Lots
15585 and 15586 based on FESB's unaudited accounts as at 30 June
2002 is RM1,260,000 and RM1,850,000 respectively.
5. To disclose the information in respect of the principal
activities, names of its directors and names of its substantial
shareholders of TCSB, VBSB and FESB
Please refer to Table 1 for the information on the principal
activities and names of its directors of TCSB, VBSB and FESB and
Table 2 for the information on the respective companies'
substantial shareholders.
6. To disclose the applicable information on the Tampin
Property, PD Property and Seremban Property as required in
Appendix 10A, Part C of the Listing Requirements
Please refer to Table 3.
7. Salient features of the valuation reports and the time and
place where they may be inspected
As the respective valuations on the properties have not been
completed, the Company is unable to furnish the salient features
of the valuation reports and make available the same for the
inspection.
8. The expected commencement and completion date(s) of
construction of PSB and WFE's projects
Please refer to Table 4 for PSB's projects and Table 5 for WFE's
projects.
9. A description of PSB and WFE's recent major projects
completed-date of commencement and completion of construction,
type of construction, contract value and project owner
Please refer to Table 6 for PSB's projects and Table 7 for WFE's
projects.
10. Risks factors of PSB, WFE, Tampin Property, PD Property and
Seremban Property
Upon the completion of the Proposed Restructuring Scheme, the
restructured SPHB Group will be involved in the construction and
property development industries, as such the SPHB Group will be
subject to the inherent risks existing in both the construction
and property development industries. Listed below are various
risks (not exhaustive) related to the construction and property
development industries.
Business Risk
Risks inherent to both the construction and property development
industries include supply of materials, equipment and labor,
rapid changes in construction technology, increase in capital
investment, deferment of contracts, changes in the general
economic business and credit conditions, and changes in
government legislation and priorities. Although the SPHB Group
would seek to limit these risks, no assurance can be given that
any changes to these factors will not have a material adverse
effect on SPHB Group's future businesses.
In addition, the SPHB Group would face certain risks during the
construction period which include cost overrun which may result
in the reduction of revenue below the projected levels, the
termination of the concession for the development projects due
to some unforeseen circumstances as well as potential damages or
losses due to uninsurable risks such as damage or destruction to
the properties caused by natural disasters which would not be
within the control of SPHB Group.
Delay in completion
As SPHB Group would be involved in property construction and
development projects, it would be exposed to certain risks which
may be caused by the delay in completion of the projects.
Development projects are subject to various regulatory approvals
and the timely completion of the development project is
dependent on many external factors such as obtaining approvals
as scheduled, securing construction materials in adequate
amounts, favorable credit terms and satisfactory performance of
sub-contractors which may be appointed to complete certain
portions of the development project. There can be no assurance
that these factors would not lead to delays in the completion of
a project. These delays may have a direct impact on the SPHB
Group's future profitability.
Competition
The SPHB Group would face competition from various parties in
the construction industry in securing projects. In addition,
with the impending liberalization of the services sector,
foreign construction companies will be allowed to compete for
construction projects in the local market. This may have
material adverse effects on the Malaysian construction industry
and eventually the SPHB Group. Although the SPHB Group may seek
to stay competitive by taking steps in endeavoring to secure new
contracts, no assurance can be given that the SPHB Group would
be able to gain a competitive edge and a healthy share of the
market.
11. Total borrowings of PSB Group and WFE based on audited
accounts for the past 5 financial year PSB Group. Please refer
to Table 8.
WFE
Please refer to Table 9.
Go to http://www.bankrupt.com/misc/TCRAP_SPlas1216.docfor
Tables 1-9.
TIMBERMASTER INDUSTRIES: Liquidators Released From Appointment
--------------------------------------------------------------
The Special Administrators of Timbermaster Industries Berhad
hereby give notice that the Workout Proposal of the Company was
approved in accordance with the Pengurusan Danaharta Nasional
Berhad Act, 1998 ("Danaharta Act") by Pengurusan Danaharta
Nasional Berhad on 5 June 2002. Pursuant to the Workout
Proposal, it was proposed that the Company be liquidated.
The Special Administrators of the Company had on 11 December
2002 declared that the Company cannot by reason of its
liabilities continue its business and that meetings of the
Company and its creditors be convened on 7 January 2003 pursuant
to Section 255(1)(b) of the Companies Act, 1965.
Pursuant to Section 255 of the Companies Act, 1965, Chew Hoy
Ping and Kenneth Teh Ah Kiam of PricewaterhouseCoopers, 22nd
Floor, Plaza Permata, Jalan Kampar, Off Jalan Tun Razak, 50400
Kuala Lumpur are appointed jointly and/or severally as
Provisional Liquidators for the purpose of the winding up of the
Company.
Subsequent to the appointment of the Provisional Liquidators
over Timbermaster (Malaysia) Sdn Bhd and pursuant to Section
28(2) of the Danaharta Act, the Oversight Committee, on the
recommendation of Pengurusan Danaharta Nasional Berhad, has
approved the release and discharge of the Special Administrators
of the Company with effect from 11 December 2002.
In view of the above, notice is hereby given that the Special
Administrators of the Company have been released from their
appointment and discharged of all duties and liabilities with
effect from 11 December 2002. The moratorium in respect of the
Company is terminated with effect from 11 December 2002.
=====================
P H I L I P P I N E S
=====================
MANILA ELECTRIC: Forms Six-Member Committee of the Board
--------------------------------------------------------
Manila Electric Company (MER) said that the six-member special
committee of the board which was mandated to pursue measures
ensuring the Company's long-term viability has initiated the
process of identifying a credit coordinator and consequently
approved a shortlist of advisor banks in its first meeting held
last December 6, BPI Securities reports.
The finance committee presented several financial forecasts
covering different scenarios. The special committee is composed
of Cesar Virata, Washington Sycip, Octavio Victor Espiritu,
Christian Monsod, Monico Jacob and Emilio Vicens.
MANILA ELECTRIC: Upgrading Facilities Despite Massive Problems
--------------------------------------------------------------
In spite of its troubles, the Manila Electric Co. (Meralco) is
upgrading and improving its facilities, the Philippine Star said
on Friday.
"Our commitment to provide the highest level of service to all
our customers is a continuing effort. Despite present
constraints, our objective to further develop and improve our
electric system will continue. This is our commitment to the
public we have vowed to serve," Meralco Vice President for
Corporate Communications Elpi Cuna Jr. said.
Included in the upgrading and improvement scheme are the Grace
Park indoor substations in Caloocan City, Hillcrest substation
in Pasig City and Legaspi substation in Makati City.
Part of the program is the expansion of its Sta. Maria
substation in Sta. Maria, Bulacan, uprating of its Ternate
substation in the province of Cavite and the installation of an
additional power transformer in its Los Ba¤os substation in
Laguna province.
MAYNILAD WATER: Unveils Dispute With MWSS
-----------------------------------------
The Maynilad Water Services, Inc. has taken the next step in its
dispute with the Metropolitan Waterworks and Sewerage System
(MWSS).
The MWSS failed to resolve issues earlier raised by Maynilad
Water Services, Inc. to ensure the viability of the concession.
In a Notice dated November 5, Maynilad Water Services, Inc.
requested the Metropolitan Waterworks and Sewerage System (MWSS)
to fulfill its obligations under the concession agreement.
The 30-day curing period given by Maynilad to MWSS expired at
midnight of December 5. Today (December 9), Maynilad notified
MWSS that it is enforcing all rights and remedies in relation to
this event. MWSS failed to enter into an agreement with Maynilad
on the action plan on service targets, the rates to be
implemented in January 2003, and the issues to be addressed on
the concerns of Maynilad's lenders which constitute the main
elements of Amendment No. 1, signed in October 2001. Maynilad
had also sought the full implementation of the forex loss
recovery mechanism approved by MWSS last year under Amendment
No. 1.
This was among the appropriate measures agreed upon after the
Asian financial crisis threatened the concession's
sustainability. Meanwhile, Maynilad assures its customers that
the utility's services will continue.
For a copy of the press release, go to
http://bankrupt.com/misc/tcrap_maynilad1213.pdf
METRO PACIFIC: Likely to Sell More Units in Pacific Plaza
---------------------------------------------------------
Metro Pacific Corporation is planning to sell the remaining 80
units in its high-end Pacific Plaza Towers development in the
next 24 months, AFX Asia said last week. The 393-unit Pacific
Plaza stands within a 1.5-hectare area in the Fort Bonifacio
Global City.
The Company is now in the middle of debt restructuring deals to
lessen the strain on its finances, the Troubled Company
Reporter-Asia Pacific reports. Following the sale of control in
Bonifacio, Metro Pacific will be left with 4 billion pesos in
debts.
NATIONAL POWER: Malacanan Appoints Allan Ortiz as New President
---------------------------------------------------------------
The Malaca¤an Presidential palace has approved the appointment
of Allan Ortiz as the National Power Corporation (Napocor)
President, and Roger Murga as the National Transmission
Corporation (Transco) President, According to Business World on
Friday. Mr. Ortiz is consultant for Senator John Osme¤a, while
Mr. Murga was former President of EEI Corp.
Department of Energy (DoE) officials declined to comment on the
appointment of replacements for Napocor acting President Roland
S. Quilala and Transco President Asisclo T. Gonzaga.
The National Power Corporation (Napocor) has launched in Tokyo a
$200 million 18-year yen-denominated bond at a coupon 3.2
percent and a $300 million 20-year yen bond at a coupon 3.55
percent, the Troubled Company Reporter-Asia Pacific reports,
citing President Edgardo del Fonso of the Power Sector Asset and
Liabilities Management Corporation.
The yen bond is part of a long-delayed $750 million borrowing
planned by Psalm to service the debt of Napocor.
DebtTraders reports that National Power Corporation's 9.750%
bond due in 2009 (NATP09PHN1) trades between 104.188 and
105.254. For real-time bond pricing, go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=NATP09PHN1
PHILIPPINE LONG: Assures Continuous Operation in Case of Strike
---------------------------------------------------------------
The Philippine Long Distance Telephone Co. (PLDT) assured that
there would be a minimal disruption in operations in case the
Company union pushes through with its threat to stage a strike,
reports the Philippine Star.
Around 500 workers manning the regional operator services will
be separated from service by the end of this year, all of who
will be entitled to get the benefits for the full year such as
13th month pay and bonuses.
PLDT in a statement said management has also prepared an
enhanced package for affected employees with substantial
premiums over and above what they would normally receive.
Provision has also been made for some of the separated employees
to be considered for positions in the Company's directory
assistance service.
PHILIPPINE LONG: Majority of Workers Vote to Go on Strike
---------------------------------------------------------
Philippine Long Distance and Telephone Co. (PLDT) union
Manggagawa sa Komunikasyon ng Pilipinas (Workers in
Communication of the Philippines or MKP), informed the National
Conciliation and Mediation Board Director Leopoldo de Jesus that
3,832 of its 6,700 members have voted to go on strike, Dow Jones
said on Thursday.
The National Conciliation and Mediation Board is an agency of
the Department of Labor and Employment. The union said it needed
only a simple majority, or 50 percent plus one, to support a
strike vote.
Last month, PLDT said it would let go around 500 telephone
operators in its regional offices in order to rationalize its
operations.
The Company reasoned that over the last five years, the volume
of operator-assisted call traffic had dropped by as much as 75
percent. The sharp decrease was caused by the popularity of
local and international direct distance dialing, text messaging,
electronic mail and cellular phones.
DebtTraders reports that Philippine Long Distance Telephone's
11.375 percent bond due in 2012 (TELP12PHS1) trades between 92
and 94. For real-time bond pricing, go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=TELP12PHS1
PHILIPPINE REALTY: Files for Rehabilitation
-------------------------------------------
Philippine Realty & Holdings Corp., a property development firm,
is filing for rehabilitation after being saddled with losses,
the Philippine Star reports, citing President Amador Bacani.
Bacani said the Company plans to explore various alternatives on
how to go about its rehabilitation, including the settlement of
its obligations to creditors by way of dacion en pago (debt-to-
asset swap) of its real properties; the sale or transfer of its
assets; conversion of obligations into equity (debt-to-equity
swap); modification of shareholders' rights; issuance of bonded
indebtedness; and the restructuring of its obligations.
He added that its cash flow has been insufficient to fully
service its total 3.76 billion pesos liabilities as well as
finance its working capital needs.
For the first nine months of this year, Philrealty incurred a
loss of 168 million pesos, although this was substantially lower
than the 633 million pesos net loss in the same period a year
earlier.
Once a high-profile real estate Company, the Company is
primarily known for its projects in the Ortigas Center, foremost
of which is the Textite Towers - the headquarters of the
Philippine Stock Exchange.
=================
S I N G A P O R E
=================
CHEW EU: Creditors OK Scheme of Arrangement
-------------------------------------------
SANCTION OF THE HIGH COURT OF SINGAPORE FOR THE SCHEME
The Board of Directors refers to the announcement released by
Chew Eu Hock Holdings Ltd on 29 November 2002 in respect of the
creditors meeting (the "Creditors' Meeting whereat the unsecured
creditors (the "Creditors of Chew Eu Hock Construction Co.
Private Limited CEH Construction approved the scheme of
arrangement to be entered into between the Company, CEH
Construction and the Creditors (the scheme). Further thereto,
the Directors wish to announce that it had on 3 December 2002
made an application to the High Court of Singapore pursuant to
section 210(3) of the Companies Act (Cap. 50) for sanction of
the High Court for the Scheme.
The Directors announced that the High Court had on 11 December
2002 made an order that the Scheme, as approved at the
Creditors' Meeting, has been sanctioned by it so as to be
binding upon the Creditors and CEH Construction.
MAJORITY SHAREHOLDER LOAN CONVERSION
The Directors further refers to announcement released by the
Company on 15 November 2002 in relation to the conversion of Mr
Chew Eu Hock (a majority shareholder of the Company)'s
outstanding loan to the Company of S$13,098,649 (including
interest) into 187,123,557 new shares of S$0.005 each in the
capital of the Company (the Converted) MS Shares, and the
transfer or direct allotment of up to 48,652,125 of the
Converted MS Shares, representing approximately 26.0 percent of
the Converted MS Shares, to the Shareholders (other than to Mr
Chew Eu Hock, Mdm Wong Swee Choo and their respective
associates), on a pro-rata basis, at nil consideration.
Further thereto, the Directors wish to announce that Mr Chew Eu
Hock has, pursuant to a letter to the Company dated 12 December
2002, directed the Company to directly allot up to 48,652,125 of
the Converted MS Shares, representing approximately 26 percent
of the Converted MS Shares, to the shareholders (other than to
himself, Mdm Wong Swee Choo and their respective associates), on
a pro-rata basis, at nil consideration, on the basis of their
shareholding record of the Company as at 5.00 p.m. on 20
December 2002 (the Books) Closure Date up to and including 21
December 2002 (as announced by the Company). Such Shareholders
would receive 0.753525462 Converted MS Shares for every 1 share
of $0.005 each in the capital of the Company held by such
Shareholders, fractional entitlements to be disregarded.
GOLDTRON LIMITED: Completes Restructuring Exercise
--------------------------------------------------
Goldtron Limited has successfully completed its negotiations
with the Group's bank creditors to restructure approximately
S$47.4 million of short-term borrowings of its subsidiaries.
After the successful completion of the Supplemental Scheme of
Arrangement between the Company and its creditors, whereby
approximately S$330.3 million of the indebtedness of the Company
to its creditors were restructured, the Company continued with
its efforts to restructure the balance of the Group's
indebtedness to certain of its subsidiaries' bank creditors
which had opted out of the Supplemental Scheme of Arrangement.
Accordingly, approximately S$40.3 million of the outstanding
short-term borrowings have now been restructured into 5-year
term loan with an amount of S$2.6 million to continue as secured
overdraft facilities and a machinery loan balance of
approximately S$0.3 million to continue for its remainder term
till January 2005.
The following restructuring agreements and other ancillary
restructuring documents were entered into on 12 December 2002
with the relevant bank creditors:
1. Restructuring Agreement dated 12 December 2002 between CET
Components (S) Pte Ltd CCPL, Dynamar Computer Products Pte Ltd
DCPL, Dynamar Holdings Pte Ltd DHPL Dynamar Group and Malayan
Banking Berhad, Oversea-Chinese Banking Corporation Limited,
United Overseas Bank Limited and Standard Chartered Bank (as
"Dynamar Lenders to restructure an outstanding facility of
approximately S$22.1 million Dynamar Restructuring Agreement.
2. Restructuring Agreement dated 12 December 2002 between
Goldtron Electronics Pte Ltd GEPL and Malayan Banking Berhad and
United Overseas Bank Limited (the "GEPL Lenders to restructure
an outstanding facility of approximately S$22.1 million GEPL
Restructuring Agreement.
3. Restructuring Agreement dated 12 December 2002 between
Valtron Technology Pte Ltd Valtron and United Overseas Bank
Limited Valtron Lender to restructure an outstanding facility
of approximately S$3.2 million (the "Valtron Restructuring
Agreement.
Dynamar's Restructuring Agreement as follows:
1. With effect from 30 November 2002, the facilities of Dynamar
Group with Dynamar Group Lenders amounting to an aggregate of
approximately S$19.0 million Dynamar Total Restructured Loan is
restructured into 5-year term loan with interest only payment
for the 1st two years and the balance interest and principal to
be repaid over 36 months installments thereafter. Upon the
execution, an Initial payment of an aggregate sum of
approximately S$3.1 million will be paid to Dynamar Lenders in
accordance with the terms of the Restructuring Agreement.
2. Prepayments may be made in whole or in part, together with
accrued interest on the amount prepaid and no prepayment penalty
or premium is payable.
3. The Company will continue to provide its pre-existing
corporate guarantee for this Dynamar Total Restructured Loan
together with other new securities provided by Dynamar Group
including debentures from DHPL, CCPL and DCPL.
The principal terms of GEPL Restructuring Agreement are
materially similar to Dynamar Restructuring Agreement as
follows:
1. With effect from 30 November 2002, the facilities of the GEPL
Group with the GEPL Group Lenders amounting to an aggregate of
approximately S$21.4 million GEPL Total Restructured Loan is
restructured into 5-year term loan with interest only payment
for the 1st two years and the balance interest and principal to
be repaid over 36 months installments thereafter. Upon the
execution, an Initial payment of an aggregate sum of
approximately S$0.7 million will be paid to the bank creditors
in accordance with the terms of the Restructuring Agreement.
2. Prepayments may be made in whole or in part, together with
accrued interest on the amount prepaid and no prepayment penalty
or premium is payable.
3. The Company will continue to provide its pre-existing
corporate guarantee for this GEPL Total Restructured Loan
together with other new securities provided by GEPL Group
including debenture from GEPL.
The main terms of the Valtron Restructuring Agreement are as
follows:
1. With effect from 30 November 2002, the Valtron Restructuring
Lender will continue extending its overdraft facility with limit
at S$2.6 million and a machinery loan balance of approximately
S$0.3 million to continue for its remainder term till January
2005. Currently, the utilized facility stands at approximately
S$2.9 million which will be paid down to S$2.6 million with the
initial payment of the sum of approximately S$0.3 million to the
bank creditor in accordance with the terms of the Restructuring
Agreement.
2. Prepayments may be made in whole or in part, together with
accrued interest on the amount prepaid and no prepayment penalty
or premium is payable.
3. The Company will continue to provide its pre-existing
corporate guarantee for this overdraft facility together with a
debenture from Valtron and a mortgage over 5 Loyang Drive,
Singapore 508936.
All the Restructuring Agreements will be completed and take
effect after fulfillment of various conditions precedent namely
payment of the relevant initial payments and corporate
formalities of execution and perfection of the new securities
granted, which is expected to be no later than 14 days from 12
December 2002 save for perfection of guarantees, unless waived
by Dynamar Lenders, to be provided by Dynamar's overseas
subsidiary(s), which is expected to be no later than 3 months
hereafter.
FINANCIAL EFFECTS
The restructuring is not expected to have any material financial
effects on the Company and the Group in the current financial
year.
However, with the restructuring of the Group's short-term
borrowings into 5-year term loan, the Group's financial position
and its ability to operate as a going concern has been
significantly enhanced with the improvement of the Group's net
current assets from a net current liabilities of approximately
S$14.5 million to a net current assets of approximately S$25.8
million assuming the restructuring was completed as of 30 June
2002.
L&M GROUP: Unveils Capital Reduction Exercise
---------------------------------------------
At an Extraordinary General Meeting (EGM) of L&M Group
Investments Limited held on 22 November 2002, the shareholders
of the Company approved, inter alia, the reduction in the par
value of each ordinary share in the capital of the Company
Shares from $0.10 to $0.01 (the Capital) Reduction.
The High Court of the Republic of Singapore has on 11 December
2002 confirmed the Capital Reduction.
The Board of Directors of the Company wishes to announce that
the Company proposes to lodge the Order of Court with the
Registrar of Companies and Businesses on 16 December 2002 (the
Effective Date).
The Shares will have a par value of $0.01 each (the New Shares)
on and from the Effective Date. The listing of and quotation for
the New Shares on the Main Board of the Singapore Exchange
Securities Trading Limited SGX-ST, in place of the same number
of the original Shares with a par value of $0.01 each, will
commence with effect from 9.00 a.m. on 17 December 2002.
Deposit of Share Certificates with The Central Depository (Pte)
Limited CDP
Shareholders who hold physical share certificates for the Shares
in their own names Old Share Certificates and who wish to
deposit the same with CDP and have their New Shares credited to
their Securities Accounts must deposit their Old Share
Certificates, together with the duly executed instruments of
transfer in favor of CDP prior to the Effective Date.
After the Effective Date, CDP will only accept for deposit share
certificates for ordinary shares in the Company, which reflect a
par value of $0.01, each New Share Certificates.
Shareholders who wish to deposit their share certificates with
CDP after the Effective Date must first deliver their Old Share
Certificates to Barbinder & Co Pte Ltd (the "Share Registrar at
8 Cross Street #11-00 PWC Building Singapore 048424 in exchange
for New Share Certificates.
Issue of New Share Certificates
Depositors having Shares standing to the credit of their
Securities Account and Shareholders who have deposited their Old
Share Certificates with CDP prior to the Effective Date need not
take any action.
The Company will arrange with CDP to facilitate the exchange of
New Share Certificates pursuant to the Capital Reduction.
Shareholders who have not deposited their Old Share Certificates
as aforesaid or who do not wish to deposit their Old Share
Certificates with CDP are advised to forward all their Old Share
Certificates to the Share Registrar at 8 Cross Street #11-00 PWC
Building Singapore 048424 as soon as possible after they have
been notified of the Effective Date and preferably, by the
Effective Date for cancellation and exchange for New Share
Certificates.
Shareholders who hold physical share certificates are reminded
that their Old Share Certificates are no longer valid for
settlement of trading in the Company's Shares on the SGX-ST (as
the Company is under a book-entry (scripless) settlement system)
but will continue to be accepted for cancellation and issue of
New Share Certificates in replacement thereof for an indefinite
period by the Share Registrar. The New Share Certificates will
not be valid for delivery pursuant to trades done on the SGX-ST
although they will continue to be prima facie evidence of legal
title.
Shareholders should note that New Share Certificates will not be
issued to Shareholders unless their Old Share Certificates have
been tendered to the Share Registrar for cancellation.
Please notify the Share Registrar if you have lost any of your
existing Old Share Certificates or if there is a change in your
address from that reflected in the Register of Members.
The Register of Members for the New Shares will be maintained
the offices of the Share Registrar, Barbinder & Co Pte Ltd at 8
Cross Street #11-00 PWC Building Singapore 048424.
SINGAPORE TECHNOLOGIES: Liquidating German Units
------------------------------------------------
The Board of Directors of Singapore Technologies Engineering
Limited announced that Siamant Verfahrensentwicklung im Bereich
keramischer Werkstoffe Verwaltung GmbH & Co. KG and Siamant
Verfahrensentwicklung im Bereich keramischer Werkstoffe
Verwaltung GmbH, (collectively called Siamant), have applied to
the German Court to commence insolvency proceedings. Mobility
Systems Pte Ltd, a subsidiary of Singapore Technologies Kinetics
Ltd ST Kinetics holds a 54 percent shareholding in each of the
Siamant companies.
The insolvency proceedings by Siamant are not expected to result
in any material impact on the consolidated net tangible assets
per share and earnings per share of ST Engg.
Siamant, which develops and manufactures specialty-engineering
ceramics for both military as well as non-military applications,
has decided on the insolvency proceedings, as it does not expect
to be able to improve its business prospects.
The decision by Siamant is in line with ST Kinetics' ongoing
plan to review and rationalize its portfolio of businesses while
it continues to explore opportunities to expand into commercial
dual-use automotive specialty applications and alternate energy
distributed power generation industries. ST Kinetics has
recently divested the Opel agency business.
Press Contact:
Shirley Tan
VP / Head, Corporate Communications
Tel: (65) 67221883
Fax: (65) 67202293
E-mail: shirleyt@st.com.sg
===============
T H A I L A N D
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CENTURY ELECTRONIC: Files Business Reorganization Petition
----------------------------------------------------------
Electronic products manufacturer and distributor Century
Electronic And System Company Limited (DEBTOR) filed its
Petition for Business Reorganization to the Central Bankruptcy
Court:
Black Case Number 385/2544
Red Case Number /2544
Petitioner : CENTURY ELECTRONIC AND SYSTEM COMPANY LIMITED
Debts Owed to the Petitioning Creditor : 2,345,195,727.01 Baht
Date of Court Acceptance of the Petition : May 22, 2001
Date of Examining the Petition: June 25, 2001 at 9.00 AM; the
objection may be filed with the Central Bankruptcy Court not
less than three days prior to the trial date
Court postponed the Date of Examining the Petition to July 27,
2001
Court had issued an Order Canceling the Petition for Business
Reorganization: July 27, 2001
Contact : Mr. Chat Tel, 6792525 ext. 124
EMC PUBLIC: Declares 2003 Company Holidays
------------------------------------------
EMC Public Company Limited disclosed the company holidays for
the year 2003:
Wednesday 1 January New Year's Day
Monday 3 February Substitution For Chinese New Year's Day
Monday 17 February Substitution For Makha Bucha Day
Monday 7 April Substitution For Chakri Day
Monday 14 April Songkran Festival Day
Thursday 1 May National Labor Day
Monday 5 May Coronation Day
Thursday 15 May Visakha Bucha Day
Monday 14 July Buddhist Lent Day
Tuesday 12 August H.M.The Queen's Birthday
Thursday 23 October Chulalongkorn Memorial Day
Friday 5 December H.M. The King's Birthday
Wednesday 10 December Constitution Day
Wednesday 31 December New Year's Eve
JASMINE INTERNATIONAL: Bankruptcy Filing Affects Acumen's Bonds
---------------------------------------------------------------
TRIS Rating Co., Ltd. has assigned a "developing" CreditAlert
designation to the rating of Acumen Co., Ltd.'s Bt3,500 million
senior secured debentures because Jasmine International PLC
(JI), Acumen's parent company, is in the process of
rehabilitation and plans to submit a rehabilitation plan to its
Official Receiver on 29 January 2003.
TRIS Rating said that the success of the plan will have an
impact on Acumen's ongoing operations. If JI enters bankruptcy
or corporate restructuring, Acumen will be exposed to
operational risk because it has the same management team as JI,
and if Acumen cannot maintain capable staff, it may experience
human resource problems. Acumen may be exposed to liquidity
problems if the company cannot deliver services as stipulated in
its agreement with the TOT Corporation PLC or if its cash is
transferred out of the company.
TRIS Rating is now reviewing the rating of Acumen's debentures.
The review will focus on he impact of the rehabilitation plan on
Acumen's liquidity, operations and management. The current
rating of Acumen's Bt3,500 million senior secured debentures is
"BBB+", TRIS Rating said.
NAKORNTHAI STRIP: Court Endorses Rehabilitation Plan
----------------------------------------------------
Maharaj Planner Co., Ltd., in its capacity as the Planner of
Nakornthai Strip Mill Public Company Limited, informed that on
December 11, 2002, Central Bankruptcy Court had considered the
Rehabilitation Plan of NSM and issued the order to approve it.
The Planner will be submitting the summary of the approved Plan
in due course.
S U B S C R I P T I O N I N F O R M A T I O N
Troubled Company Reporter -- Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Trenton, NJ
USA, and Beard Group, Inc., Washington, DC USA. Lyndsey Resnick,
Maria Vyrna Nineza-Merlin, Maria Cristina Pernites-Lao, Editors.
Copyright 2002. All rights reserved. ISSN: 1520-9482.
This material is copyrighted and any commercial use, resale or
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