/raid1/www/Hosts/bankrupt/TCRAP_Public/030228.mbx
T R O U B L E D C O M P A N Y R E P O R T E R
A S I A P A C I F I C
Friday, February 28, 2003, Vol. 6, No. 42
Headlines
A U S T R A L I A
AMP LIMITED: Discloses Concise Financial Report
ANACONDA NICKEL: Anglo American Ceases to be Substantial Holder
ANACONDA NICKEL: Takeover Panel Makes Gives Orders
GOODMAN FIELDER: Releases Director's Open Letter to Shareholders
OBJECTIF TELECOMMUNICATIONS: Releases Second Report to Creditors
SOLAR EVAP: Insolvency Leads ASIC to File Winding Up Petition
STADIUM AUSTRALIA: Posts Half-Yearly Report, Accounts
UNITED ENERGY: Posts Update on Discussions With Alintagas
C H I N A & H O N G K O N G
GREAT QUALITY: Winding Up Petition to be Heard March 19
INCOME FORCE: Winding Up Petition Slated for Hearing
JILIN CHEMICAL: No Apparent Reason for Share Price Increase
KEENTECH TRANSPORTATION: Winding Up Hearing Scheduled Next Month
PCCW LIMITED: Unit Enters Share Repurchase Agreement
PEERINE TEXTILE: Winding Up Petition Hearing Set
I N D O N E S I A
ASTRA AGRO: Books 47.4% Rise in Sales
BANK BANANOM: IBRA Invites Banks to Participate in Stake Sale
J A P A N
FUJI RYOKUKA: Golf Course Applies for Rehab
HUIS TEN: May Delay Debt Repayments
NISSHO IWAI: Bares EGM Results
RESONA HOLDINGS: Expects JPY100 Billion Capital Boost
SEIBU DEPARTMENT: Creditors OK's JPY230 Billion Revival Plan
SEIBU DEPARTMENT: BTM Supports Debt Waiver
TOKYU DEPARTMENT: Cuts 500 Jobs
K O R E A
CHOHUNG BANK: Shinhan Starts Third-party Due Diligence
HYNIX SEMICONDUCTOR: Chief Executive Resigns
HYUNDAI GROUP: FSS Reinvestigates Affiliates
M A L A Y S I A
ABRAR CORPORATION: Proposes OFS Modification
AMSTEEL CORP.: Suspends Shares to Facilitate Capital Reduction
AYER HITAM: Unit Inks Marketing Management Agreement With OLB
BUKIT KATIL: Provides Default in Payment Status Update
GENERAL SOIL: Seeks KLSE's RA Time Extension Approval
HIAP AIK: KLSE OKs Proposed Shareholders' Mandate Time Extension
IDRIS HYDRAULIC: KLSE OKs Time Extension for Compliance Request
KEMAYAN CORPORATION: Unit Vigorously Defends Suit Filed by RHB
KILANG PAPAN: Appoints Independent Investigative Audit Firm
SILVERSTONE CORP.: Shares Suspension Scheduled March 6
TAI WAH: Ramatex Terminates Shares of Sale Agreement
TIME ENGINEERING: EGM OKs Articles of Association Amendments
WOO HING: Appoints Lee Hoon as Non-Exec Director
P H I L I P P I N E S
NATIONAL POWER: PSALM Expects Less Than PHP2 Billion Funding
PHILIPPINE LONG: Defers 2002 Financial Results
PHILIPPINE LONG: Declares Cash Dividends
PHILIPPINE LONG: Sees FY02 PHP5.9 Billion Net Income
PHILIPPINE LONG: Faces PAGCOR Suit Over Landline Text Service
PHILIPPINE LONG: May Cut Off Connection With AT&T
PHILIPPINE LONG: Pangilinan May Resign First Pac Post if Needed
VICTORIAS MILLING: Postpones Annual Stockholders' Meeting
S I N G A P O R E
NEPTUNE ORIENT: Books 2002 US$330 Million Loss
NEPTUNE ORIENT: Aims to Improve Financial Performance in 2003
SEATOWN CORPORATION: Appoints Judicial Manager
T H A I L A N D
MEC FAREAST: Files Business Reorganization Petition
SINO-THAI RESOURCES: Clarifies Auditor's Disclaimer Opinion
T.C.J. ASIA: Clarifies 2001, 2002 Operations Loss Difference
T.C.J. ASIA: To Submit Rehab Petition with Bankruptcy Court
* DebtTraders Real-Time Bond Pricing
- - - - - - - -
=================
A U S T R A L I A
=================
AMP LIMITED: Discloses Concise Financial Report
-----------------------------------------------
AMP Limited disclosed its concise financial report:
STATEMENT OF FINANCIAL PERFORMANCE
DISCUSSION AND ANALYSIS
BASIS OF CONSOLIDATED FINANCIAL INFORMATION
Revenues and expenses, net profit (loss) from ordinary
activities before income tax, income tax, all include
consolidated amounts of shareholder interests and also the non-
shareholder interests of all life funds, comprising the:
* Australasian and UK policyholders funds
* "Unattributed life funds".
Revenue and expense transactions relating to the life funds are
substantial. Policyholders' interests in the revenue and expense
transactions for the year are attributed to them as "Movement in
life insurance policy liabilities" which is deducted in arriving
at the net profit or loss from ordinary activities before income
tax.
Unattributed life funds relates to the with-profits business of
UK life funds. These funds are not attributable to either
shareholders or policyholders. The revenue and expenses
generated by the with-profits business are included within net
profit (loss) from ordinary activities. The unattributed
interests are recognized as "Movement in unattributed life
funds" which is then removed in arriving at the net profit or
loss attributable to shareholders.
The net loss after tax attributable to the shareholders of AMP
Limited is $896 million (2001: profit of $690 million).
PREMIUM AND RELATED REVENUE
Premium revenue of $3,388 million has fallen from $4,454 million
in 2001. As shown in Note 3, life insurance premiums have
decreased in 2002, reflecting the reduction in volumes of mature
business. General insurance premiums in 2002 relate to the
remaining corporate insurance, mortgage insurance, and
reinsurance operations. 2001 premium income includes six months
of premium on the general insurance businesses sold on 30 June
2001.
INVESTMENT GAINS (LOSSES)
Investment gains and losses comprise the net gains and losses on
all investments held by the group, including all the net gains
and losses of the life funds.
Losses in 2002 of $7,787 million are higher than 2001 (loss of
$1,605 million) reflecting:
* Weaker global equity markets generating realized and
unrealized losses on investments
* Asset writedowns in 2002 of $1,040 million in the value of
AMP's businesses, reflecting the poor operating environment
affecting UK life companies and the results of a strategic
review across the group. (A writedown of $121 million of
goodwill to recoverable amount and $66m in operating expenses
bring the total asset writedowns amount to $1,227 million.)
* $366m proceeds (net of sale costs) from the sale of Cogent.
CLAIMS EXPENSES
Claims expense in 2002 fell to $6,409 million from $7,843
million in 2001. As shown in Note 4, the fall in life insurance
claims reflects a decline in mature business and a reduction in
bonuses. Withdrawals increased overall in 2002 reflecting market
sentiment. General Insurance claims fell reflecting the
divestment of that business at 30 June 2001.
MOVEMENT IN LIFE INSURANCE POLICY LIABILITIES
Movement in life insurance policy liabilities includes increases
(or reductions) in benefits vested to policyholders on all types
of life insurance business. For Australasia, in accordance with
Accounting Standard AASB1038: 'Life Insurance Business', the
movement also includes increases (or reductions) in unvested
benefits in respect of participating business.
The movement for 2002 is $12,440 million (2001: $7,947 million)
being a net reduction in the liability to policyholders. This is
largely due to the reduced obligations to policyholders with
investment linked and participating life insurance policies as a
result of investment losses in the year.
OPERATING EXPENSES
Operating expenses include a restructuring provision of $489
million ($344 million after tax) as part of the cost of
implementing the strategic reform initiatives. This was
partially offset by expense savings during the year.
BORROWING COSTS
Borrowing costs in 2002 of $821million (2001: $894 million) have
reduced due to:
* Lower prevailing interest rates in both Australia and the
UK
* A change in the borrowings mix.
INCOME TAX (EXPENSE) CREDIT
An income tax credit of $801 million in 2002 (2001: $397
million) arises on the loss for the year and includes the
taxation impact on both shareholder interests and the non-
shareholder interests of all life funds.
The income tax credit reflects the investment losses made during
the year, resulting in a reduction in deferred income tax as
unrealized investment gains recorded in previous years were
reversed in 2002.
OTHER EQUITY INTERESTS
UNATTRIBUTED LIFE FUNDS
The movement for the year reflects:
* Investment losses on unattributed life funds
* Utilization of the unattributed life funds to support bonus
distributions to UK policyholders refer Note 6.
AMP RESET PREFERRED SECURITIES TRUST
The AMP Reset Preferred Securities Trust is a controlled entity
of the Group, and as such the profit of the Trust for the period
is included in the consolidated net profit (loss) from ordinary
activities after income tax. The profit of the Trust
attributable to external unitholders ($19 million) is reflected
as an outside equity interest.
STATEMENT OF FINANCIAL POSITION
DISCUSSION AND ANALYSIS
AS AT 31 DECEMBER 2002
BASIS OF CONSOLIDATED FINANCIAL INFORMATION
Assets and liabilities include consolidated amounts of
shareholder interests and also the non-shareholder interests of
all life funds, comprising the:
* Australasian and UK policyholders funds
* "Unattributed life funds".
The majority of the consolidated investment assets relate to the
life funds, mainly backing policy liabilities. Policyholders'
interests are recognized as life insurance policy liabilities
and are determined in accordance with accounting and actuarial
standards.
Unattributed life funds relates to the with-profits business of
UK life funds. These funds are not deemed to be attributable to
either shareholders or policyholders. The assets and liabilities
of the with-profits business are included within net assets.
After removing the unattributed life funds and the outside
equity interests, the total equity attributable to shareholders
of AMP Limited is $8,533 million (2001: $9,520 million).
CASH AT BANK AND ON DEPOSIT
The increase in cash at bank relates to a number of investing
and funding strategies including the divestment of equities and
properties and the issue of AMP Reset Preferred Securities.
Details of the components of cash and related items are shown in
the Statement of Cash Flows.
INVESTMENTS
Equity securities of $54,431 million (2001: $71,772 million)
have reduced significantly due to:
* A move from equities into debt securities and cash
* A decline in the market value of equities remaining in the
portfolio.
INTANGIBLE ASSETS
Intangible assets amounting to $945 million (2001: $866 million)
consist of historic cost goodwill. Following a review of the
Group's operations, structure and ongoing strategy:
* NPI Limited moved into a historical cost environment,
resulting in $223 million being transferred from the excess of
market value over net assets of controlled entities to goodwill
* There was a writedown of $121 million of goodwill to
recoverable amount.
Amortization of goodwill for the year was $54 million (2001: $55
million).
EXCESS OF MARKET VALUE OVER NET ASSETS
Excess of market value over the net assets of controlled
entities (EMVONA) amounting to $1,825 million (2001: $2,926
million) relates to those investments which are held by life
entities in the AMP Group. The EMVONA of controlled entities
represents future benefits expected to be derived from the
business which are not reflected in the book values of
underlying assets and liabilities of the entities.
Investments held by life entities are carried at market value
and any changes in market value are included in consolidated
investment gains (losses). Accounting standards do not require
the excess to be amortized.
$908 million was written off EMVONA following a review of the
market value of controlled entities as at 31 December 2002.
DEFERRED TAX LIABILITIES
The decrease in deferred tax liabilities is mainly due to the
reversal of deferred tax on previous unrealized investment gains
following a reduction in investment values in 2002.
BORROWINGS AND SUBORDINATED DEBT
The overall level of borrowings in the Group reduced marginally
to $10,329 million (2001: $10,668 million). There was a
reduction in corporate borrowings during the year which was
largely offset by increased operational borrowings. Subordinated
debt remained substantially unchanged.
LIFE INSURANCE POLICY LIABILITIES
Life insurance policy liabilities are calculated in accordance
with the principles of Margin on Services as prescribed by
Australian Accounting Standard AASB 1038 and Actuarial Standard
1.03, a standard issued under the Australian Life Insurance Act
1995.
The movement in life insurance policy liabilities reflects the
underlying performance of investment markets, particularly in
the UK. The movement for 2002 being a net reduction in the
liability to policyholders to $116,245 million (2001: $128,913
million). This is largely due to the reduced obligations to
policyholders with investment linked and participating life
insurance policies as a result of investment losses in the year.
EQUITY ATTRIBUTABLE TO SHAREHOLDERS
Contributed equity of $5,001 million (2001: $4,613 million)
increased by $388 million including $381 million from shares
issued under the Dividend Reinvestment Plan, and $51 million
from shares issued under employee share and option plans, offset
by $44 million share buy back.
Shareholders retained profits at the end of the year of $2,661
million ($4,084 million) fell by $1,423 million reflecting loss
for the year and $527 million dividends paid and proposed.
OTHER EQUITY INTERESTS
UNATTRIBUTED LIFE FUNDS
For those UK life funds which include participating business,
90% of the assets in excess of policy and other liabilities are
neither attributable to shareholders nor policyholders as
discussed in Note 6 - Unattributed life funds. These assets
amount to $5,494 million (2001: $6,232 million).
AMP RESET PREFERRED SECURITIES TRUST
The AMP Reset Preferred Securities Trust is a controlled entity
of the Group, and as such the net assets of the Trust are
included in the consolidated net assets. The equity and retained
profits of the Trusts held by external unitholders ($1,141
million) is reflected as an outside equity interest.
CONSOLIDATED STATEMENT OF CASH FLOWS
DISCUSSION AND ANALYSIS
FOR THE YEAR ENDED 31 DECEMBER 2002
BASIS OF CONSOLIDATED CASH FLOW INFORMATION
The operating and the majority of the investing cash flows
presented in the AMP Group statement of cash flows include cash
flows relating to shareholders and also the interests of all
life funds, comprising the:
* Australasian and UK policyholders funds
* "Unattributed life funds".
CASH FLOWS FROM OPERATING ACTIVITIES
* Net cash outflows from operating activities of $1,650 million
(2001: $944 million) reflect the decrease in interest and
dividends received, especially in the life funds
* Cash receipts and cash payments were both considerably lower
in 2002 reflecting the disposal of various controlled entities
during 2001, including the general insurance business, and other
life funds' controlled entity investments.
CASH FLOWS FROM INVESTING ACTIVITIES
There was a net cash inflow from investing activities reflecting
investment and funding strategies adopted during the year in
both shareholders' capital and life funds assets.
CASH FLOWS FROM FINANCING ACTIVITIES
Cash outflows from financing activities were $650 million (2001:
$1,390 million outflow) principally reflecting:
* Net repayments of borrowings $274 million (2001: $1,252
million)
* Dividends paid $205 million (2001: $381 million)
* Proceeds from the issue of units in the AMP Reset Preferred
Securities Trust, net of issue costs - $1,122 million
* Cash proceeds for the issue of shares were minimal due to
the share buy back offsetting the majority of cash received from
new issues, and the large uptake under the Dividend Reinvestment
Plan (DRP) including the arrangement whereby the Plan is
underwritten until the interim dividend 2003, expected to be
paid October 2003.
2002 2001
A$m A$m
Cash comprises:
Cash on hand 1,321 881
Cash on deposit 10,037 7,604
Deposits in (2,500) (2,107)
Bank overdrafts (84) (50)
Short term bills and notes (included in
investments) 4,295 2,987
Balance at the end of the year 13,069 9,315
ANACONDA NICKEL: Anglo American Ceases to be Substantial Holder
---------------------------------------------------------------
Following the announcement by Anaconda Nickel Limited (Company)
Last week confirming the issue of new securities under the
Company's 14-for-1 rights issue, Anglo American Plc and its
wholly owned subsidiary, Anglo American Investments (Australia)
Limited (Anglo) are no longer a "substantial holder" of
the Company. However, there has been no change in Anglo's
relevant interests.
To see Notice of Ceasing to be a Substantial Holder, go to
http://www.bankrupt.com/misc/TCRAP_ANL0228.pdf.
ANACONDA NICKEL: Takeover Panel Makes Gives Orders
--------------------------------------------------
The Takeovers Panel advises that on Friday 21 February it made
interim orders in relation to the Anaconda 16 application.
The application for the interim order was from Anaconda Nickel
Ltd (Anaconda) and formed part of the Anaconda 16 application by
Anaconda.
The Anaconda 16 application relates, amongst other things, to an
agreement between a subsidiary of MatlinPatterson Global
Opportunities Partners LP (MP Global) and Australian Investments
United Pty Ltd (AIU) under which MP Global seeks to transfer
certain shares, being approximately 6% of Anaconda, to AIU.
The shares sought to be transferred under the agreement are the
shares in Anaconda allotted to MP Global under applications made
by MP Global pursuant to the exercise of Anaconda rights which
resulted in MP Global holding shares in excess of the proportion
that it held at midnight on 13 February 2003, at the close of
the Rights Offer (Excess Shares).
The Panel's interim orders seek to maintain the current
circumstances until the Panel has dealt with the whole
application.
The sitting Panel is currently taking submissions from persons
potentially involved in the Anaconda 16 application and
therefore has not yet formed views on the application.
CONTACT INFORMATION: Nigel Morris
Director, Takeovers Panel
Level 47 Nauru House
80 Collins Street
Melbourne VIC 3000
Ph: +61 3 9655 3501
nigel.morris@takeovers.gov.au
GOODMAN FIELDER: Releases Director's Open Letter to Shareholders
----------------------------------------------------------------
Goodman Fielder Limited posted Chairman Dr K Barton's open
letter to the Shareholders in relation to the takeover bid from
BPC1 Pty Limited, a wholly owned subsidiary of Burns Philp
Burns, Philp & Company Limited (Burns Philp), as follows:
"Goodman Fielder is a great Australasian company with a strong
record of success since the Retail Branded Strategy began in
July 2001, and with an equally bright future as evidenced by the
momentum shown in the strong financial results recently released
for the first half of fiscal 2003.
"Management's focus on improving efficiency and productivity is
leading to substantially improving returns for our shareholders.
To that end, we are using funds freed up from productivity to
invest in and grow our great retail brands and we are achieving
this in an environment of improving employee work practices and
increasing community involvement.
"The reason I want you to be fully aware of the performance of
the new Goodman Fielder is because you have a decision to make.
The question is whether you continue to hold your shares and
benefit from the exciting turnaround your company is enjoying
since the Retail Branded Strategy began in July 2001 or accept
the inadequate and opportunistic takeover bid from Burns Philp.
"Your Board has made a recommendation to shareholders based on
all the facts available. We firmly recommend that shareholders
REJECT the inadequate and opportunistic Burns Philp bid of
$1.615 per share (ex dividends)(1) because we believe it does
not reflect the underlying value of Goodman Fielder or its
ongoing potential.
"The new Goodman Fielder story is a strong one. I invite you to
continue with us in our journey to unlock the underlying value
that lies within our brands and in the process to continue to
grow shareholder value as we have done since the Retail Branded
Strategy began in July 2001.
"As you can see in the chart, from 1 July 2001 to 12 December
2002, (before the unsolicited takeover bid) Goodman Fielder's
total shareholder return was 47% above the returns realized in
the S&P/Australia Stock Exchange 200 Accumulation Index during
the same period.
"Our strategy for nurturing and growing our retail brands by
investing strategically in them is clearly delivering real and
sustainable results. Our rigorous management across the business
is evidence of our ongoing capability to fund that growth.
"If you would like additional information, please feel free to
contact our retail shareholder information line or visit our
website.
"HOLD ON TO YOUR GOODMAN FIELDER SHARES."
Check http://www.bankrupt.com/misc/TCRAL_GMF0228.pdfto see a
full copy of the Second Supplementary Target Statement.
OBJECTIF TELECOMMUNICATIONS: Releases Second Report to Creditors
----------------------------------------------------------------
Objectif Telecommunications Limited (Administrators Appointed)
ACN 056 482 636 summarizes the main features of the
Administrators' Report, as follows:
(a) RETURN TO CREDITORS
The Administrators are investigating a sale of the Company's
operations as a going concern, as detailed in Section VIII of
this report. As at the date of this report, a number of
expressions of interests have been received for the purchase of
part or all of the business. Additionally, the directors and
third parties have advised that they are in the process of
preparing a possible Deed of Company Arrangement for the Company
which will provide for a greater return to creditors than
otherwise available. Accordingly, creditors should consider
resolving to adjourn the second creditors meeting called for
27 February 2003 for a period up to 60 days in accordance with
Section 439B(2) of the Corporations Act, to allow the possible
Deed of Company Arrangement proposal to be finalized or for sale
negotiations to be concluded.
Should the Company be placed into Liquidation at the second
meeting it is uncertain whether priority employee entitlements
will be paid in full and it appears likely that unsecured
creditors would not receive any dividend from the assets of the
Company.
(b) ADMINISTRATORS' OPINION
If creditors resolve not to adjourn the second meeting of
creditors and as no Deed has been proposed to the Administrators
as at the date of writing this report, and the Company is
insolvent, it is the Administrators' opinion at this time that
the Company should be placed into Liquidation.
(c) SECOND MEETING OF CREDITORS
The second Meeting of creditors to determine Objectif's future
is to be held at Knights Insolvency Administration, Level 27,
The Chifley Tower, 2 Chifley Square, Sydney on 27 February 2003
at 10:30am.
Go to http://www.bankrupt.com/misc/TCRAP_OBJ0228.pdffor details
of the Second Administrators' report.
SOLAR EVAP: Insolvency Leads ASIC to File Winding Up Petition
-------------------------------------------------------------
The Australian Securities and Investments Commission (ASIC) has
successfully applied to the Federal Court of Australia in Perth,
to wind up Solar Evap Australia Pty Ltd [in Liquidation] (Solar
Evap) on the grounds of insolvency.
Mr Mervyn Kitay of Grant Thornton, Chartered Accountants has
been appointed liquidator, following on from his appointment as
provisional liquidator in December 2002.
Solar Evap, which traded as 'Solar Airconditioning' and 'Air
World', operated from premises in Clune Street, Bayswater, a
Perth suburb.
ASIC initially applied for the winding up order in August 2002
as a result of an inspection of the company's financial records.
ASIC alleged that Solar Evap had been insolvent for a number of
months and the company would be unable to return to solvency.
Solar Evap opposed the application, largely on the basis that
alleged refinancing proceeds and support from suppliers would
allow the company to trade through summer. Solar Evap was given
a number of opportunities to put further evidence before the
Court to support its claims.
On 5 December 2002, following an application by ASIC, Justice
Lee of the Federal Court made interim orders appointing Mr
Mervyn Kitay as the provisional liquidator of the company.
In his report to ASIC, the provisional liquidator found that
Solar Evap was insolvent at the date of his appointment.
Further, he found that the financial records of Solar Evap,
including those put before the Court by the company,
substantially underestimated the true extent of its financial
difficulties, consistent with ASIC's concerns.
The provisional liquidator closed the business operations of
Solar Evap on 9 December 2002, after determining that it was not
possible for the business to continue trading.
ASIC recommends that anyone who believes they are a creditor of
Solar Evap to contact Grant Thornton on telephone 08 9481 1448
or by mail at 256 St Georges Terrace, Perth Western Australia,
6000.
STADIUM AUSTRALIA: Posts Half Yearly Report, Accounts
-----------------------------------------------------
Stadium Australia Management Limited (SAM) and Stadium Australia
Trust (SAT) (collectively known as Stadium Australia Group)
reported that revenues from ordinary activities for the half
year of 2002 ups 0.8 percent. (Loss) from ordinary activities
after tax attributable to members decreased 88.9 percent. Net
loss for the half-year period attributable to members
decreases 88.9 percent. For a full copy of its Half Yearly
Accounts and Report, go to
http://www.bankrupt.com/misc/TCRAP_SAX0228.pdf.
According to Wrights Investors' Service, at the end of 2002, the
Stadium Australia Group had negative working capital, as current
liabilities were A$27.87 million while total current assets were
only A$10.84 million. The company reported losses during the
previous 12 months and has not paid any dividends during the
previous 3 fiscal years.
UNITED ENERGY: Posts Update on Discussions With Alintagas
---------------------------------------------------------
Further to information provided to the ASX on 17 December 2002
and 6 February 2003, United Energy (UEL) confirms it is
continuing its negotiations with AlintaGas, AMP Henderson and
Aquila Inc, regarding Aquila's Australian assets.
UEL's independent directors are involved in these negotiations,
which are incomplete. No agreement has been reached.
A Scheme of Arrangement in relation to the shares in United
Energy is being considered as part of the proposed transaction.
UEL will advise the market of any material developments in
accordance with its disclosure obligations.
UEL is hopeful that further information or clarity to these
discussions will emerge by the end of the 1st quarter, 2003.
CONTACT INFORMATION: Andrew Gould
General Manager Corporate
Development
Phone: (+61 3) 9222 8559
Mobile 0404 009 427
Fax: (+61 3) 9222 9161
e-mail: agould@ue.com.au
================================
C H I N A & H O N G K O N G
================================
GREAT QUALITY: Winding Up Petition to be Heard March 19
-------------------------------------------------------
The petition to wind up Great Quality Hong Kong Limited is
scheduled for hearing before the High Court of Hong Kong on
March 19, 2003 at 9:30 am.
The petition was filed with the court on January 23, 2003 by
Bank of China (Hong Kong) Limited (the successor of all the
undertakings of Hua Chiao Commercial Bank Limited by virtue of
the Bank of China (Hong Kong) Limited (Merger) Ordinance, Cap.
1167) of 14th Floor, Bank of China Tower, No. 1 Garden Road,
Central, Hong Kong.
INCOME FORCE: Winding Up Petition Slated for Hearing
----------------------------------------------------
The petition to wind up Income Force Limited is scheduled for
hearing before the High Court of Hong Kong on March 19, 2003 at
9:30 in the morning.
The petition was filed with the court on January 23, 2003 by
Bank of China (Hong Kong) Limited (the successor of all the
undertakings of Kincheng Banking Corporation, Hong Kong Branch
by virtue of the Bank of China (Hong Kong) Limited (Merger)
Ordinance, Cap. 1167) of 14th Floor, Bank of China Tower, No. 1
Garden Road, Central, Hong Kong.
JILIN CHEMICAL: No Apparent Reason for Share Price Increase
-----------------------------------------------------------
Jilin Chemical Industrial notes the recent increases in trading
volume of the shares of the Company and stated that, save for
the information disclosed in the announcement of 10 February
2003, it is not aware of any reasons for such increases.
The Company also confirms that there are no negotiations or
agreements relating to intended acquisitions or realizations
which are discloseable under paragraph 3 of the Listing
Agreement, neither is the Board aware of any matter discloseable
under the general obligation imposed by paragraph 2 of the
Listing Agreement, which is or may be of a price-sensitive
nature.
On December last year, Troubled Company Reporter - Asia Pacific
reported that Jilin Chemical recorded losses of RMB879 million
and RMB1,083 million in the years 2001 and 2002 respectively in
accordance with PRC accounting standard. Given that a loss of
RMB659 million was incurred during the period between January
and September 2002, the Company is expected to suffer a loss for
the whole year.
KEENTECH TRANSPORTATION: Winding Up Hearing Scheduled Next Month
----------------------------------------------------------------
The High Court of Hong Kong will hear on March 26, 2003 at 9:30
in the morning the petition seeking the winding up of Keentech
Transportation Limited.
Lo Suk Lan of Room 905, Kwai Hei House, Kwai Fong Estate, New
Territories, Hong Kong filed the petition on January 27, 2003.
Tam Lee Po Lin, Nina represents the petitioner.
Creditors and other interested parties are encouraged to attend
the hearing. They only need to notify in writing Tam Lee Po
Lin, Nina, which holds office on the 27th Floor, Queensway
Government Offices, 66 Queensway, Hong Kong.
PCCW LIMITED: Unit Enters Share Repurchase Agreement
----------------------------------------------------
A wholly-owned subsidiary of PCCW Limited, PCC Investments
Limited (PCCI), is party to a joint venture with Commercial
Radio Productions Limited (CRP). The joint venture was
established on November 7, 2000 and the joint venture company,
PCC Skyhorse Holding Limited (Skyhorse), and its subsidiaries
(the Skyhorse Group) have created a multimedia Internet content
distribution website directed at the Chinese community in Hong
Kong and worldwide. The Skyhorse Group provides content
production services for the Company's broadband Internet
services, including the now.com.hk portal. 60% of the share
capital of Skyhorse is held by PCCI and CRP holds the remaining
40%.
Share Repurchase
CRP, PCCI and Skyhorse entered into an agreement on February 26,
2003 (the Agreement) pursuant to which Skyhorse will repurchase
CRP's entire shareholding in Skyhorse for HK$80 million which
will be settled at the time of the repurchase by a cash payment
from Skyhorse's internal resources arising as a result of PCCI's
original equity commitment in the joint venture. Under the
Agreement, the repurchase will be conducted on normal commercial
terms.
Connected Transaction
CRP is a substantial shareholder in Skyhorse and a connected
party of the Company. The Agreement is therefore subject to the
disclosure requirements set out in rule 14.25(1) of the Rules
Governing the Listing of Securities on The Stock Exchange of
Hong Kong Limited (as modified by the Modified Calculation
Concession described in the Company's announcement dated
September 16, 2002).
The Company is one of Asia's leading integrated communications
companies and provides key services in the areas of: integrated
telecommunications; broadband solutions; connectivity;
narrowband and interactive broadband (Internet services);
business e-solutions; data centers and related infrastructure.
Since the establishment of the joint venture in November 2000,
the Skyhorse Group has created a multimedia Internet content
distribution website directed at the Chinese community in Hong
Kong and worldwide. The Skyhorse Group also provides content
production services for the Company's broadband Internet
services, including the now.com.hk portal.
The operating position of the Skyhorse Group has strengthened
through this start-up phase (losses for the year ended December
31, 2001 were approximately HK$38 million, reducing to
approximately HK$15 million for the year ended December 31, 2002
(unaudited)). The directors of the Company (including the
independent non-executive directors) believe that the
transaction described above is in the interests of the Company.
The transaction will benefit the Company by enabling it to gain
full control of the Skyhorse Group, thereby ensuring that the
now.com.hk portal continues to operate effectively and that the
Company is able to benefit in full from its potential further
growth and other synergies between the Skyhorse Group and the
Company's broadband Internet services.
The terms of the transaction have been negotiated on an arm's
length basis and on terms no less favorable than those available
to or from independent third parties. The consideration of HK$80
million is based on the total net asset value of the Skyhorse
Group of approximately HK$221 million as shown in its unaudited
management accounts as at December 31, 2002. The directors of
the Company (including the independent non-executive directors)
believe that such terms are fair and reasonable so far as the
shareholders of the Company are concerned.
PEERINE TEXTILE: Winding Up Petition Hearing Set
------------------------------------------------
The petition to wind up Peerine Textile Manufacturing Co.
Limited is set for hearing before the High Court of Hong Kong on
March 19, 2003 at 9:30 in the morning.
The petition was filed with the court on January 23, 2003 by
Bank of China (Hong Kong) Limited (the successor of all the
undertakings of Hua Chiao Commercial Bank Limited by virtue of
the Bank of China (Hong Kong) Limited (Merger) Ordinance, Cap.
1167) of 14th Floor, Bank of China Tower, No. 1 Garden Road,
Central, Hong Kong.
=================
I N D O N E S I A
=================
ASTRA AGRO: Books 47.4% Rise in Sales
-------------------------------------
Agribusiness company PT Astra Agro Lestari registers a 47.4
percent surge in sales to Rp1.87 trillion for the first eleven
months of 2002, Asia in Focus reports.
As a result, the company was able to achieve a 199 percent
increase in net profit for the period under review to Rp241.45
billion (US$27 million).
The company's assets rose to Rp2.78 trillion during the period
from Rp2.5 trillion and its current liabilities increased to
Rp507 billion from Rp464 billion. Its long-term liabilities
declined to Rp914.3 billion from Rp927 billion previously.
Wrights Investors' Service reports that at the end of 2001, PT
Astra Agro had negative working capital, as current liabilities
were Rp427.52 billion while total current assets were only
Rp254.05 billion The fact that the company has negative working
capital could indicate that the company will have problems in
expanding.
BANK BANANOM: IBRA Invites Banks to Participate in Stake Sale
-------------------------------------------------------------
Indonesian Bank Restructuring Agency (IBRA) invited 20
commercial banks in Asia Pacific to buy 51 percent shares of PT
Bank Danamon, Bisnis Indonesia reports, quoting IBRA Chairman
Syafruddin Arsyad Temenggung.
Financial adviser of Bank Danamon divestment's JP Morgan sent
teaser letters to investors while IBRA sent some invitation to
commercial banks.
"IBRA takes an active role in the process of Bank Danamon
divestment by sending invitation to 20 commercial banks in Asia
Pacific," Temenggung said, adding that commercial banks wanting
to buy Danamon shares might join in a consortium.
Temenggung said that resulting from IBRA's road show to
Singapore, Hong Kong and European countries, around 15 investors
were interested to take a part in Bank Danamon bid.
"So far investors have been positively responding the plan to
divest the government's shares in PT Bank Danamon," he said,
hoping that the divestment could finish on schedule.
Temenggung failed to disclose information when asked about the
name of investors interested to buy Danamon shares.
=========
J A P A N
=========
FUJI RYOKUKA: Golf Course Applies for Rehab
-------------------------------------------
Fuji Ryokuka, which has total liabilities of 38.8 billion yen
against a capital of 80 million yen, recently applied for civil
rehabilitation proceedings, according to Tokyo Shoko Research.
The golf course is located at Chiyoda-ku, Tokyo, Japan.
HUIS TEN: May Delay Debt Repayments
-----------------------------------
Huis Ten Bosch Co. Limited, a Company having transactions with
Mizuho Holdings Inc. unit Mizuho Corporate Bank Limited, filed
for commencement of corporate reorganization procedures with the
Nagasaki District Court on February 26, 2003, UK Wire reports.
Notice is hereby given that, as a result of this development,
the possibility has arisen that certain claims against Huis Ten
Bosch Co., Ltd. may be delayed or become irrecoverable.
1. Outline of Huis Ten Bosch Co., Ltd.
(1) Address : 1-1, Huis Ten Bosch Cho, Sasebo-shi,
Nagasaki
(2) Representative : Mr. Michitake Moriyama
(3) Capital : JPY 3,025 million
2. Details of Relevant Developments
On February 26, 2003, Huis Ten Bosch Co., Ltd. filed for
commencement of corporate reorganization procedures with the
Nagasaki District Court.
3. Amount of Claims
Mizuho Corporate Bank, Ltd JPY 102,327 million
4. Effect of this Development on Profit/Loss of Mizuho Holdings,
Inc.
This development will have no effect on Mizuho's previously
announced projections for this fiscal year.
Please direct any inquiries to:
Mizuho Holdings, Inc. Public Relations +81-3-5224-
2026
Mizuho Corporate Bank, Ltd Public Relations +81-3-5252-
6574
NISSHO IWAI: Bares EGM Results
------------------------------
The results of Nissho Iwai Corporation's Extraordinary General
Meeting (EGM) of Shareholders are as follows:
Meeting Place: 3-1 Daiba 2-chome, Minato-ku, Tokyo
Nissho Iwai Corporation Tokyo Head Office
Meeting Date: 10:00a.m. to 00:47p.m., February 25, 2003
Numbers of Shareholders at the meeting: 15,038(including 309
attendance)
The following agendas have been approved:
Agenda
Proposal No. 1:
The establishment of a 100 percent parent Company by means of
share transfer
This Proposal for the joint establishment of "Nissho Iwai-
Nichimen Holdings Corporation" scheduled on April 1, 2003, date
of the share transfer, by Nissho Iwai Corporation and Nichimen
Corporation which become wholly-owned subsidiaries of Nissho
Iwai-Nichimen Holdings Corporation by means of share transfer
(as provided for in Article 364 of the Commercial Code) has been
approved.
If necessary, Nissho Iwai Corporation and Nichimen Corporation
may change the schedule of the share transfer through
consultations with each other.
Items of the share transfer
(a) Articles of Incorporation of the 100 percent parent Company
to be established
(b) Type of shares and the number of shares to be issued by the
100 percent parent Company and allotment of shares to
shareholders of both companies which become wholly-owned
subsidiaries.
(c) The amount of capital of the stated capital and the capital
surplus of the 100 percent parent Company
(d) Date of the share transfer (Date when the share transfer
shall be consummated) April 1, 2003
(e) Directors and corporate auditors of the 100 percent parent
Company (to be established)
(f) Matters concerning independent accounting auditors
(g) Matters concerning joint establishment
(h) Matters concerning compensations paid to the directors and
corporate auditors of the 100 percent parent Company
Proposal No.2:
Partial amendments to the Company's Articles of Incorporation
* See the convocation notice for details of the proposal.
Nissho Iwai Corporation will not pay bonuses to non-management
staff in the business year starting April 1, effectively cutting
their annual salaries by 20 percent, according to the Troubled
Company Reporter-Asia Pacific.
The proposal is aimed at accelerating restructuring ahead of its
April business integration with Nichimen Corporation.
RESONA HOLDINGS: Expects JPY100 Billion Capital Boost
-----------------------------------------------------
Resona Holdings Inc., the holding Company for Daiwa Bank and
Asahi Bank, expects to achieve its plan to boost its capital by
100 billion yen by the end of March, Kyodo News said on
Thursday, citing Resona President Yasuhisa Katsuta.
Resona Holdings Inc. recently requested a capital injection of
several billion yen from Credit Agricole SA of France, the
Troubled Company Reporter-Asia Pacific reports.
The Company has revised its earlier forecast of a 3 billion-yen
profit for the year to March and is now expecting consolidated
net losses of 185 billion yen.
This will make the company's report card red for the second
consecutive year, the local daily said. The group blames the
huge charge it will take to cover non-performing loans and
latent losses on securities holdings under its medium-term
"Super Regional" business strategy.
SEIBU DEPARTMENT: Creditors OK's JPY230 Billion Revival Plan
------------------------------------------------------------
The creditors of Seibu Department Stores Limited has approved
the Company's management rehabilitation plan featuring a 230
billion yen in financial support from them, Japan Today reports.
The financial aid includes 220.2 billion yen in debts to be
waived by major creditors, including 142.60 billion yen by
Mizuho Corporate Bank, 22.11 billion yen by the Bank of Tokyo-
Mitsubishi and 12.58 billion yen by Chuo Mitsui Trust and
Banking Co.
Seibu will also receive a debt-for-equity swap worth 9.77
billion yen from two subsidiaries of Credit Saison Co, an
affiliated consumer credit Company.
The move will eliminate the Company's negative net worth by the
end of the 2004 business year. Seibu's business year begins in
March.
As part of its rehabilitation plan, Seibu will also cut some
3,000 jobs among full-time workers to bring its workforce,
including part-time workers, to 5,700 by the end of the 2007
business year and will either liquidate or sell 14 affiliated
companies. Seibu will also close four of its 21 outlets in
August.
SEIBU DEPARTMENT: BTM Supports Debt Waiver
------------------------------------------
Mitsubishi Tokyo Financial Group, Inc. (MTFG; President:
Shigemitsu Miki) recently announced that its subsidiaries, The
Bank of Tokyo-Mitsubishi, Ltd. (BTM) and The Mitsubishi Trust
and Banking Corporation (MTBC) have decided, at the request of
The Seibu Department Stores, Ltd. (the Company), to provide
support to the Company including waiving of repayment of loans.
1. Outline of The Seibu Department Stores, Ltd.
(1) Address: 28-1, Minami-Ikebukuro 1-chome,
Toshima-ku, Tokyo
(2) President: Yukio Horiuchi
(3) Capital: Japanese yen 8,912 million
(4) Business: Wholesale Department Store
2. Event and date of occurrence
At the request of the Company, BTM and MTBC have decided to
provide support to the Company including waiving of repayment of
loans.
3. Amounts to be waived
BTM: Japanese yen 22,110 million
MTBC: Japanese yen 4,406 million
4. Influence on MTFG's business forecast
This event is not expected to have any material effect on MTFG's
previously announced business forecast for the current fiscal
year.
For further information, please contact:
Masahiko Tsutsumi, Chief Manager, Public Relations Office
Tel: 81-3-3240-8136
TOKYU DEPARTMENT: Cuts 500 Jobs
-------------------------------
Tokyu Department Store Co. will ask 500 workers or 20 percent of
its workforce to voluntarily retire in May, to help save 1.6
billion yen in fixed costs a year, Kyodo News said on Wednesday.
The department store operator has already carried out similar
job-cuts three different times in the past, but the latest
announced figure is the largest. With the additional
retirements, the number of its regular employees will fall to
1,700.
=========
K O R E A
=========
CHOHUNG BANK: Shinhan Starts Third-party Due Diligence
------------------------------------------------------
Shinhan Accounting Corporation, an affiliate of RMS
International, will conduct a third-party due diligence audit of
Chohung Bank for about six weeks starting on February 26,
Digital Chosun reports.
Accounting firms Anjin & Co. and Samjong KPMG will also
participate in the audit, so that the asset revaluation could be
done fairly.
The results of the third-party due diligence are expected to be
used to determine the sale price of the bank to Shinhan
Financial Group Limited.
HYNIX SEMICONDUCTOR: Chief Executive Resigns
--------------------------------------------
Sang Park, one of two Chief Executives at ailing Hynix
Semiconductor Inc., tendered his resignation Wednesday due to
personal reasons, Dow Jones said Wednesday, citing Company
spokesman Seong-Min Chung. Chung said the board would likely
accept Park's resignation.
Park's resignation comes after Hynix shareholders approved at a
meeting Tuesday the Company's 21:1 share writedown plan. During
the meeting, minority shareholders staged a protest to demand a
different capital writedown ratio.
HYUNDAI GROUP: FSS Reinvestigates Affiliates
--------------------------------------------
The Financial Supervisory Service (FSS) will reinvestigate
Hyundai affiliates, including Hyundai Securities and Hyundai
Marine & Fire, for their involvement in the insolvency of
Hyundai Life Insurance, the Korea Times reports.
``Major shareholders of Hyundai Life, driven off the bourse in
2001, will have to bear some responsibility for the de-listing
of the group's insurance unit, an FSS official said.
At the time, Hyundai Securities held a 29.5 percent stake in the
insurance Company, while Hyundai Capital had 14.9 percent and
Hyundai Marine & Fire owned 9.9 percent.
===============
M A L A Y S I A
===============
ABRAR CORPORATION: Proposes OFS Modification
--------------------------------------------
Abrar Corporation Berhad (Special Administrators Appointed)
refers to the announcement made on 23 December 2002 on behalf of
ACB, whereby the Securities Commission (SC) had on 19 November
2002 and 18 December 2002 approved, amongst others, the
following:
(i) the valuation of two (2) pieces of industrial land
together with one (1) storey factory cum three (3) storey office
buildings erected thereon (Properties), which is owned by Oil-
Line Engineering & Associates Sdn Bhd (Oil-Line) held under
Title No. H.S (D) 8332, P.T 7485 and H.S (D) 8323, P.T 7476,
both in the Mukim of Serendah, District of Ulu Selangor,
Selangor Darul Ehsan; and
(ii) the Proposed Offer for Sale.
On behalf of ACB, Public Merchant Bank Berhad wishes to announce
the following:
(i) ACB and Oil-Line propose to modify the Proposed Offer for
Sale (Proposed OFS Modification) as follows:
As approved by SC:
'The Proposed Offer for Sale shall involve an offer for sale of
43,900,000 OilCorp Shares by the Creditors and Oil-Line Vendors
at an offer price of RM1.10 per share. The Proposed Offer for
Sale shall be to the following parties:
* 1,800,000 ordinary shares of RM1.00 each in Oilcorp Berhad
(OilCorp) (OilCorp Shares) to the existing shareholders of ACB
* 7,580,000 OilCorp Shares to the Directors and employees of
the OilCorp Group
* 19,520,000 OilCorp Shares by way of private placement
* 15,000,000 OilCorp Shares to Bumiputera investors to be
approved by MITI'
To be varied to:
'The Proposed Offer for Sale shall involve an offer for sale of
44,000,000 OilCorp Shares by the Creditors and Oil-Line Vendors
at an offer price of RM1.10 per share. The Proposed Offer for
Sale shall be to the following parties:
* 1,800,000 OilCorp Shares to the existing shareholders of
ACB
* 8,671,000 OilCorp Shares to the Directors and employees of
the OilCorp Group
* 18,529,000 OilCorp Shares by way of private placement
* 15,000,000 OilCorp Shares to Bumiputera investors to be
approved by MITI'.
(ii) the Board of Directors of Oil-Line had on 24 February
2003 entered into a Sale and Purchase Agreement to dispose of
the Properties to Tmeh Engineering Sdn Bhd (Proposed Disposal)
for a cash consideration of RM5.35 million.
The Proposed Disposal will be subject to a modification to the
Workout Proposal that was previously approved by Pengurusan
Danaharta Nasional Berhad on 28 October 2002, and the approval
of the SC.
An application with regard to the Proposed OFS Modification and
the Proposed Disposal will be made to the SC in due course.
The Proposed OFS Modification and the Proposed Disposal will not
have any material financial effects on OilCorp. However, the
Proposed Disposal will result in a gain on disposal of
approximately RM0.79 million.
AMSTEEL CORP.: Suspends Shares to facilitate Capital Reduction
--------------------------------------------------------------
To facilitate the Capital Reconstruction, the trading of Amsteel
Corporation Berhad's shares will be suspended with effect from
9.00 a.m., Thursday, 6 March 2003 until the completion of the
Capital Reconstruction.
Capital Reconstruction involves reduction in the capital of
AMSTEEL by the cancellation of RM0.30 from every existing
ordinary share of RM0.50 each in AMSTEEL and thereafter a
capital consolidation on the basis of five (5) resultant
ordinary shares of RM0.20 each into one (1) ordinary share of
RM1.00 each credited as fully paid-up.
AYER HITAM: Unit Inks Marketing Management Agreement With OLB
-------------------------------------------------------------
Ayer Hitam Tin Dredging Malaysia Berhad informed that Pembinaan
AHT Sdn Bhd, a 100% owned subsidiary of the Company, has on
Tuesday entered into a Project, Sales and Marketing Management
Agreement with Olympia Land Berhad (OLB) to reinstate OLB as the
Project Manager and Sales and Marketing Manager for the
Company's ongoing Taman Juara Jaya project, which is located on
52 acres of freehold land held under C.T. No. 9098, Lot No. 1092
and EMR No. 3116, Lot No. 1536, in the Mukim of Cheras, Daerah
Hulu Langat, Selangor, with revised terms and conditions.
COMPANY PROFILE
AHT is an investment holding company with interests principally
in property development. Most of AHT's projects revolve around
mixed developments in Balakong, Cheras, Selangor.
AHT had been incorporated to assume the Malaysian mining
operations of Ayer Hitam Tin Dredging Ltd (AHL), a company
incorporated in the UK in 1926. The collapse of the world tin
market in the mid-1980s resulted in a change of core business to
property development and cessation of all mining activities in
1990.
The Group's property-related concern, Motif Harta Sdn Bhd, is in
the midst of undertaking a proposed loan restructuring scheme of
its syndicated term loan facility from a number of financial
institutions. In November 2001, the bank lenders agreed to the
terms and conditions of the restructuring scheme. The scheme is
pending completion of legal documentation.
CONTACT INFORMATION: Suites 4-6 Level 24
Menara Olympia
8 Jalan Raja Chulan
50200 Kuala Lumpur
Tel : 03-2031 9633;
Fax : 03-2031 6920
BUKIT KATIL: Provides Default in Payment Status Update
------------------------------------------------------
Further to the announcements made on 29 November 2002 (Reference
No. CS-021129-CC103), 30 December 2002 (Reference No. CS-021230-
616C3) and 30 January 2003 (Reference No. CS-030130-EE841), the
Board of Directors of Bukit Katil Resources Berhad (BKRB)
informed that further to the on-going negotiations with OCBC
Bank (Malaysia) Berhad, a meeting was held on 22 February 2003.
A revised settlement proposal was forwarded for the bank's
consideration. The bank has yet to revert as of todate.
The Board of Directors of BKRB further provided an update on the
details of all facilities currently in default in compliance
with Section 3.1 of Practice Note 1/2001, found at
http://www.bankrupt.com/misc/TCRAP_Bkatil0228.pdf.
GENERAL SOIL: Seeks KLSE's RA Time Extension Approval
-----------------------------------------------------
As General Soil Engineering Holdings Berhad had released the
First Announcement on 30 August 2002, the original timeframe for
the release of the Requisite Announcement in accordance with
paragraph 5.1(a) of Practice Note 4/2001 will be on 28 February
2003.
The Board of Directors of the Company wishes to announce that
the Company had on 26 February 2003 submitted an application to
the Kuala Lumpur Stock Exchange for an extension of time for a
further three (3) months until 31 May 2003, to release the
Requisite Announcement.
HIAP AIK: KLSE OKs Proposed Shareholders' Mandate Time Extension
----------------------------------------------------------------
Further to the announcement made on 9 October 2002, AmMerchant
Bank Berhad (AmMerchant Bank) (formerly known as Arab-Malaysian
Merchant Bank Berhad), on behalf of Hiap Aik Construction Berhad
(Special Administrators Appointed), announced that the Kuala
Lumpur Stock Exchange had vide its letter dated 25 February
2003, approved the Company's application for a further extension
of time from 31 October 2002 to 31 March 2003 to procure the
general mandate from shareholders for its recurrent related
parties transactions (RRPT) and to seek shareholders' approval
for ratification of RRPT.
A circular containing information on the Proposed Shareholders'
Mandate will be issued to the shareholders of HACB in due
course.
IDRIS HYDRAULIC: KLSE OKs Time Extension for Compliance Request
---------------------------------------------------------------
Idris Hydraulic (Malaysia) Bhd refers to the announcements dated
13 July 2000, 17 August 2000, 11 January 2001, 21 February 2001,
9 March 2001, 19 June 2001, 28 June 2001, 7 August 2001, 22
August 2001, 8 September 2001, 10 June 2002, 1 October 2002, 25
October 2002, 27 December 2002 and 19 February 2003 on the
Proposed Restructuring Exercise, which includes Proposed Capital
Reconstruction; Proposed Corporate Restructuring; and Proposed
Debt Reconstruction.
On behalf of IHMB, Commerce International Merchant Bankers
Berhad (CIMB) announced that IHMB had on 9 and 16 January 2003
applied to the Kuala Lumpur Stock Exchange (KLSE) for an
extension of time of six (6) months from the listing of and
quotation for new ordinary shares of RM1.00 each (Newco Shares)
in Idaman Unggul Sdn Bhd (Newco) to comply with the public
shareholding spread requirement as provided in Paragraph 8.15 of
the Listing Requirements of the KLSE (Extension of Time for
Compliance).
CIMB wishes to announce, on behalf of IHMB, that the KLSE had
via its letter dated 25 February 2003 granted the Extension of
Time for Compliance.
The Extension of Time for Compliance is for a period of six (6)
months commencing upon issuance of the Newco Shares arising from
the Proposed Share Exchange, Proposed Shares Subscription and
the Proposed Issue of Yield Shares pursuant to the Proposed
Restructuring Exercise.
IHMB plans to comply with the 25% public spread requirement
pursuant to the Paragraph 8.15 of the Listing Requirements of
the KLSE within a period of six (6) months from the date of the
listing of the Newco Shares to be issued pursuant to the
Proposed Share Exchange, Proposed Shares Subscription and the
Proposed Issue of Yield Shares through the following:
(i) the implementation of the Proposed Rights Issue which is
expected to be implemented within a period of six (6) months
from the date of the listing of the Newco Shares to be issued
pursuant to the Proposed Share Exchange, Proposed Shares
Subscription and Proposed Issue of Yield Shares;
(ii) Dato' Che Mohd Annuar bin Che Mohd Senawi (Investor)
will enter into arrangements with financial institutions and/or
stockbrokers to place out an appropriate quantum of Newco shares
to ensure compliance with the minimum public shareholding spread
requirements as prescribed by the SC and the KLSE to ensure the
listing of Newco upon completion of the Proposed Share Exchange,
Proposed Shares Subscription and the Proposed Rights Shares
Issue;
(iii) the Investor will allow such numbers of Newco Shares
required to meet the public spread requirement be placed with a
stakeholder whereby he undertakes that he will not deal in those
Newco Shares to be issued to him pursuant to the Proposed Shares
Subscription prior to the implementation of the Proposed Rights
Shares Issue or the public spread requirement being met.
In addition, the Securities Commission had via their letter
dated 17 February 2003 approved the extension of time to comply
with the public shareholding requirement subject to the
condition that Newco obtains the approval of the KLSE for the
listing of Newco Shares on the KLSE, and if the KLSE approval is
obtained, that Newco will meet the public spread requirement
within six (6) months from the date of the listing mentioned.
The KLSE, via their letter dated 25 February 2003 had also
imposed the following conditions to the Extension of Time for
Compliance:
(i) IHMB must make follow-up announcements on a bi-monthly basis
no later than fourteen (14) days from the expiry of the two (2)
months period. The announcements must state:
(a) the status of its plan to meet the 25% public spread. In
this respect, IHMB must explain the progress it has made within
the last two (2) months in relation to its plan to comply with
the 25% public spread;
(b) if not, an explanation of the reasons as to the lack of
progress; and
(c) an explanation of any steps IHMB has taken in respect of
its lack of progress.
(ii) IHMB shall be subject to a trading restriction in that full
payment must be made before the purchase of its securities can
be effected. The trading restriction will be uplifted upon
confirmation from IHMB on compliance of the 25% public
shareholdings spread requirement.
KEMAYAN CORPORATION: Unit Vigorously Defends Suit Filed by RHB
--------------------------------------------------------------
The Board of Directors of Kemayan Corporation Berhad (KCB)
informed that its subsidiary, Alrosa Sdn Bhd (formerly known as
Kemayan Industries Sdn Bhd) (ASB) had on 24 February 2003
received a sealed copy of writ of summons from RHB Bank Berhad
(formerly known as DCB Bank Berhad) (RHB) for the following
claims against ASB and KCB jointly and severally:
1. the sum of RM2,995,450.99;
2. interest at the rate of 3.5% per annum plus RHB's base
lending rate (currently at 6.40% per annum) on daily rest from
1st January 2003 until the date of full and final payment;
3. costs; and
4. such other relief as the Honourable Court may deem fit and
proper.
ASB has engaged the solicitor to defend the claim.
KILANG PAPAN: Appoints Independent Investigative Audit Firm
-----------------------------------------------------------
Reference is made to the announcement dated 2 January 2003 with
regards to the approval from the Securities Commission (SC) for
the Proposed Restructuring Scheme of KPSD.
In its letter dated 26 December 2002, SC has imposed certain
conditions, inter-alia, the appointment by Kilang Papan Seribu
Daya Berhad of an independent investigative audit firm within
two (2) months from the date of the SC's approval letter.
In the above regard, Kilang Papan Seribu Daya Berhad is pleased
to announce that Messrs Arnuaral, Azizan, Chew & Co, is
appointed as the independent investigative audit firm on 26
February 2003.
SILVERSTONE CORP.: Shares Suspension Scheduled March 6
------------------------------------------------------
On 21 February 2003, Silverstone Corporation Berhad issued a
circular to its shareholders (Circular) in connection with the
closure of book relating to the Company's capital reconstruction
exercise under the Corporate and Debt Restructuring Exercises
(Capital Reconstruction Exercise).
It was highlighted in Section 4 of the Circular that the trading
of SCB shares will be suspended with effect from 9:00 am on
Thursday, 6 March 2003 (which is 3 clear market days prior to
the book closure date) and the suspension will continue until
the Capital Reconstruction Exercise is completed.
As the Capital Reconstruction Exercise forms an integral part of
the SCB Scheme, the suspension of the SCB shares is intended to
continue until all new consolidated SCB shares arising from the
Capital Reconstruction Exercise and other new SCB shares to be
issued under the SCB Scheme are credited into the respective
Central Depository System accounts of the recipients.
TAI WAH: Ramatex Terminates Shares of Sale Agreement
----------------------------------------------------
Further to the announcements made on 28 June 2002, 2 July 2002
and 30 October 2002, on behalf of the Board of Directors of Tai
Wah Garments Manufacturing Berhad, Southern Investment Bank
Berhad announced that Ramatex Berhad (Ramatex) had, in a letter
dated 25 February 2003 to TWGB, informed that in view of a
material adverse change in the financial position of TWGI since
the date of the sale of shares agreement in relation to the
proposed disposal of TWGI (SSA), Ramatex has decided to
terminate the SSA pursuant to Clause 9.1 of the SSA. The Board
will seek clarification with Ramatex on the above, and seek
legal counsel on this development.
The SSA and the sale and purchase agreements in relation to the
proposed disposals of land and buildings by TWGB and Maxfit
Textiles Corporation Sdn Bhd (SPAs) were extended for a period
of 120 days from 29 October 2002, which expired on 25 February
2003. TWGB will also be discussing with Ramatex on the position
of the SSA and SPAs.
An announcement on the outcome of the above discussions will be
made in due course.
TIME ENGINEERING: EGM OKs Articles of Association Amendments
------------------------------------------------------------
Time Engineering Berhad refers to the EGM convened on 26
February 2003 at 10:00 am at the Ballroom 1, Level 2, Hotel
Nikko Kuala Lumpur, 165 Jalan Ampang, Kuala Lumpur, and informed
that the following resolutions tabled at the said EGM were
approved by the members and proxies present at the meeting:
1. Ordinary Resolution
Proposed Disposal of a piece of land held under title no. HS (D)
78380, Lot P.T. 38, Section 67, Bandar Kuala Lumpur, District of
Kuala Lumpur and State of Wilayah Persekutuan together with a
twelve and a half (12 1/2) storey office building with two
basement levels erected thereon, and more particularly known as
Wisma TIME to STLR Sdn Bhd for a cash consideration of
RM62,050,000.
2. Special Resolution
Proposed Amendments to the Articles of Association of TIME as
set out in Appendix II of the Circular to shareholders of the
Company dated 30 January 2003.
WOO HING: Appoints Lee Hoon as Non-Exec Director
------------------------------------------------
Woo Hing Brothers (Malaya) Berhad posted this Change in
Boardroom Notice:
Date of change : 25/02/2003
Type of change : Appointment
Designation : Director
Directorate : Independent & Non Executive
Name : Ong Sew Hoon @ Ong Lee Hoon
Age : 58
Nationality : Malaysian
Qualifications : Chartered Institute of Bankers (United Kingdom)
Bachelor of Science (Economics) (United Kingdom)
Working experience and occupation :
2000- present: Independent Banking Consultant
1998-1999 : Secondment from National Westminster Bank (NWB)
to Department of Trade & Industry (United Kingdom) in
Malaysia to assess Malaysian direct investment into United
Kingdom and British direct investment in Malaysia
1992-1998: Country Head of investment banking arm of NWB in
Representative Office at the Labuan Offshore Branch
1990-1991: Regional Chief Executive Officer/ Director of MBf
Leasing/Factoring
1977-1989: General Manager Finance of MBf Finance Bhd
1970-1976: Financial Accountant of British Steel Corporation
The Troubled Company Reporter - Asia Pacific reported earlier
this month that the Special Administrator announced that the
Company has obtained the relevant approvals from the following
authorities for the Special Administrators' Workout Proposal
dated 8 August 2002 and its modifications (Workout Proposal):
1. Foreign Investment Committee
2. Securities Commission
3. Foreign Exchange Controller of Bank Negara Malaysia
=====================
P H I L I P P I N E S
=====================
NATIONAL POWER: PSALM Expects Less Than PHP2 Billion Funding
------------------------------------------------------------
The National Power Corporation (Napocor) would most likely need
less than 2 billion pesos in funding requirement this year, the
Manila Times reports, citing the Power Sector Assets and
Liabilities Management Corp. (PSALM) President Edgardo del
Fonso.
"I think it will not reach that much ($2 billion). We have to
take into consideration the proceeds from the privatization of
Transco (National Transmission Corp.) This will be realized by
middle of this year," Del Fonso said.
Proceeds from the sales of Transco's assets are expected to
reach some 2.2 billion pesos. In addition, Napocor still has
funds from its first quarter budget.
PHILIPPINE LONG: Defers 2002 Financial Results
----------------------------------------------
The Philippine Long Distance Telephone Co. (PLDT) has deferred
the release of its 2002 results until after an audit of the
Company's results has been finalized, Dow Jones reports.
A Thomson First Call survey of 15 brokerages estimate on average
PLDT's 2002 net profit to reach 4.31 billion pesos from 3.42
billion pesos a year earlier.
Moody's Investors Service has a negative outlook on the Company,
indicating it may cut PLDT's rating on senior unsecured debt
from Ba3, three levels below investment grade. Still, it said on
February 12 that the Company's ability to pay debt is
`improving.''
PLDT refinanced $777 million of debt last year at lower
borrowing costs. In addition, PLDT President Manuel Pangilinan
said in December it has paid off $130 million. Debt costs
probably fell to 14.3 billion pesos last year from 14.6 billion
pesos in 2001, Salomon Smith Barney Inc. said in a note to
clients.
The Company doesn't expect to pay dividends on common stock
until at least next year.
PHILIPPINE LONG: Declares Cash Dividends
----------------------------------------
The Board of Directors of Philippine Long Distance Telephone Co.
has declared cash dividends on its series III, V, VI, and VII
convertible preferred stocks, AFX Asia said on Thursday.
Holders of these stocks on record as of March 17 will be
entitled for the dividend, with payment date set for April 15.
The board declared a cash dividend of US$1.029412 per share on
series III stock; 4.675 pesos each on series V; US$0.09925 each
on series VI; and 10.179725 yen each on series VII.
For more information, go to
http://www.pse.org.ph/html/disclosure/pdf/dc2003_0574_TEL.pdf
PHILIPPINE LONG: Sees FY02 PHP5.9 Billion Net Income
----------------------------------------------------
Philippine Long Distance Telephone Co. (PLDT) expects a
consolidated net income of 5.9 billion pesos in 2002, mainly
driven by wireless subsidiary Smart Communications, the
Philippine Star said on Thursday, citing PLDT President Manuel
V. Pangilinan.
The telecom firm is investing about 15 billion pesos this year
both for its fixed and mobile businesses, even as the Company
expects to further reduce debt levels of its landline business
and projects higher dividend payout from its investments in
Smart.
The Company also reported that fixed line business obligations
was reduced by $200 million last year, resulting in a $3.185
million consolidated debt for the PLDT group (fixed line has
$1.27 million of total) as of end of 2002. Another $200 million
is expected to be cut from the total indebtedness of the fixed
line business this year and $200 million next year.
PHILIPPINE LONG: Faces PAGCOR Suit Over Landline Text Service
-------------------------------------------------------------
The Philippine Amusement and Gaming Corporation (PAGCOR) plans
to file a lawsuit against Philippine Long Distance Telephone Co.
(PLDT) for its participation in games using mobile short message
service (SMS), BusinessWorld newspaper reported, citing PAGCOR
President Rafael Francisco.
PAGCOR said SMS-based games are a form of gambling that needs a
PAGCOR permit. PLDT Vice President for Media and Communications
Butch Jimenez said the Company is not engaged in any illegal
activity.
The report said PAGCOR wants a 20 percent share of revenue
generated by PLDT unit Smart Communications Inc. and Globe
Telecom Inc. from SMS-based games.
PHILIPPINE LONG: May Cut Off Connection With AT&T
-------------------------------------------------
Philippine Long Distance Telephone Co. (PLDT) may cut off its
connections with AT&T Corporation if the United States Federal
Communications Commission (FCC) upholds a request by the US
carrier for an order stopping settlement payments to Philippine
carriers, AFX Asia reports, citing PLDT President Manuel
Pangilinan said.
"How can you accept calls from the US if you know you will not
get paid? I think that (possible FCC decision favoring AT&T)
will be a real disservice to American customers who want to call
the Philippines," he told reporters in a briefing.
"There will be significant disruption on the US-Philippines
route (if US carriers will not pay us). But we hope it won't get
to that."
AT&T has filed a petition with the FCC seeking an interim relief
from making settlement payments to Philippine carriers as it
sought to negotiate the higher termination rates that local
carriers unanimously agreed to implement.
PHILIPPINE LONG: Pangilinan May Resign First Pac Post if Needed
---------------------------------------------------------------
Philippine Long Distance Telephone Co. (PLDT) President Manuel
Pangilinan said he is ready to quit his post as executive
Chairman of First Pacific Co. Ltd if necessary, AFX Asia said on
Wednesday.
Pangilinan issued the statement in response to reports that
First Pacific is seeking to remove him from PLDT to facilitate
the sale of its controlling stake in the telecom firm to Telekom
Malaysia Bhd.
First Pacific has rejected the reports while Pangilinan said he
is not aware of any ongoing talks between First Pacific and
Telekom Malaysia over PLDT.
VICTORIAS MILLING: Postpones Annual Stockholders' Meeting
---------------------------------------------------------
The Board of Directors of Victorias Milling Company, Inc. (VMC),
during its special meeting on February 11, 2003 held at the UCPB
Boardroom, 15th Floor, UCPB Building, Makati Avenue, Makati
City, decided that the Company's General Meeting scheduled in
the month of February as per its By-Laws be postponed until
further notice, for the reason that VMC has just recently held a
Special Stockholders' meeting last December 16, 2002.
Local suppliers and creditor banks of Victorias Milling Co.
(VMC) will be paid starting April as the sugar mill shifts into
a full rehabilitation mode for the next 15 years, the Troubled
Company Reporter-Asia Pacific reported recently.
According to VMC President Arthur Aguilar, the Company is ready
to infuse 300 million pesos of fresh capital by April 15, which
is the last requirement before VMC can fully implement its
rehabilitation plan.
=================
S I N G A P O R E
=================
NEPTUNE ORIENT: Books 2002 US$330 Million Loss
----------------------------------------------
Global transportation and logistics Company Neptune Orient Lines
Ltd (NOL) today reported a loss for the full year 2002 of US$330
million. The Company had earlier warned of a potential US$335
million loss for the full year, including US$110 million of
exceptional items.
The Company confirmed the full year loss included US$109 million
in exceptional items, which had a direct impact on the Group's
bottom line. At an operating level, core Earnings from business
operations before net Interest expenses, Tax, Depreciation,
Amortization and exceptional items (core EBITDA), was positive
US$241 million, down 29 per cent on the 2001 figure of US$339
million.
Revenue for the year decreased by around two per cent to US$4.6
billion from US$4.7 billion.
APL continued to contribute the largest proportion of the
Group's revenue at 74 per cent of the total, while APL
Logistics' share increased to 18 per cent and seven per cent
came from NOL Chartering activities, with the balance of one per
cent from other activities.
NOL Group Chairman, Cheng Wai Keung, said, "While 2002 was tough
for the industry as a whole, it was particularly tough for NOL.
We were geared for growth just as the tide of world trade ebbed,
and we did not adjust quickly enough to the changed
circumstances.
"That is behind us now," he said. "Today we are very much
focused on getting back to basics and concentrating on what we
do best in each of our core businesses, including building on
the strong synergies between the liner and logistics businesses
globally, which will benefit both these businesses and
customers.
"We are currently reviewing our investment in AET and while
clearly selling this unit is one option, we are keeping all our
options open," Cheng said.
"We are also paring down our costs, managing our yield closely
and working hard to recover rates. During 2003, we are looking
to further reduce general and administrative costs as well as
operating costs, and this will include some headcount reduction
- although this will not be across the board, but as a result of
the core businesses looking for greater efficiencies.
"Our target is sustainable profitability and we anticipate a
substantial improvement in performance in 2003. We have three
capable leaders in each of the CEOs of our business units who
have begun the year by setting high goals for themselves and
their teams and developing the business plans that will help
them achieve those goals.
"Meanwhile," Cheng said, "until a new Group CEO is appointed, we
hope within the next few months, the Executive Committee of the
Board will continue to provide support and guidance to the
management team, who remain responsible for day-to-day
operations."
The Group's Chief Financial Officer, Lim How Teck, reiterated
that the Group's financial position remained solid with positive
operating cash flow. That was forecast to continue, despite the
uncertainty caused by potential conflict in the Middle East.
"We are prepared for operational and financial contingencies
that may develop as a result of a war in the Middle East," he
said. "Depending on the extent of any conflict, such a war is
likely to have either a neutral or slightly positive impact on
the Group's finances as the US Government increases volumes
shipped with carriers."
APL Liner
APL Acting CEO Ron Widdows said that APL, the principal earner
of the Group, had seen revenues fall five per cent even as
volumes increased six per cent in 2002, reflecting the rate
slide that began in 2001 and continued through most of 2002.
Rates ended the year even lower than they were in 2001.
At the same time APL's volumes increased six percent, head haul
capacity fell four per cent overall resulting in strong average
utilization rates for the year.
"However, instead of fixed costs increasing as a result of the
added volumes, they actually fell seven per cent (excluding
bunker costs), reflecting the aggressive approach we have taken
to reducing costs - and continue to take," he said.
"Already this year we have restructured and taken out layers of
management to allow for swifter decision making - that means
more responsibility and more accountability from the liner team.
But it also gives greater freedom to make effective business
decisions in response to changing business environments."
Overall, cost cutting and other initiatives had a positive
impact of around US$200 million during 2002 and gains of around
US$150 - 200 million are forecast for 2003 through cost
containment and yield management.
Despite cost reduction activity last year, rates continued to be
unsustainable across most trade lanes in 2002, with Asia Europe
and the Trans-Pacific hardest hit. In line with the industry,
APL is pursuing rate increases during the current contract
negotiations with customers and early signs are positive.
While APL is seeing the usual seasonal downturn in the first
quarter of this year, volumes were high at the end of 2002 and
remain significantly higher than historical levels even now. Low
rates mean there are few gains on the bottom line, but the
volumes are putting pressure on capacity, and this is only
likely to continue as the seasonally busy period begins towards
the middle of the year.
"Strong measure have been taken to turn APL around," Mr Widdows
said. "We have clear goals and know what we must do to achieve
them."
APL is targeting a significant improvement in performance in
2003.
APL Logistics
CEO for APL Logistics (APLL), Hans Hickler, said 2002 had not
been the turnaround year that had been hoped for APLL.
In contrast to the Group's other business units, revenue had
once again increased, but the bottom line was impacted by
depreciation and amortization associated with past acquisitions,
and exceptional items, including losses from the sale of the
operating unit known as APL Direct Logistics and IT development
costs.
"Since October last year, we have established a tighter, flatter
organizational structure that will both reduce costs and improve
our decision making. Our business plans build on both our
integrated supply chain capabilities and our long-recognized and
valued core business capabilities in both origin and destination
logistics services such as freight consolidation, warehousing
and distribution management. We are also leveraging our global
network and our links with our sister Company, APL," Hickler
said. "With this will come strong organic growth and a solid
base for future expansion.
"In addition we, like the rest of the Group, have our sights
firmly on reducing our costs. Our investment in IT and our
commitment to asset-light business solutions help to manage
those costs, but there is more we can do," he said.
APLL is targeting an improved performance in 2003.
Chartering
NOL's Chartering division CEO and President, Joseph Kwok, said
the division's principal business, crude oil transportation
Company American Eagle Tankers (AET), had remained profitable
despite charter rates falling substantially during 2002.
"Our oil transportation business was profitable in 2002 despite
a tough year. However the exceptional items in the other
chartering activities negatively impacted the division's
results," he said. 2002 chartering revenue fell four per cent to
US$343 million due to lower charter rates.
With the possibility of stricter regulations around older,
single-hulled vessels in the wake of the oil spill off Spain in
November, 2002, there has been a strong recovery in tanker
chartering rates for quality double-hulled Aframax tankers and
Very Large Crude Carriers (VLCCs). AET with its fleet of 31
modern vessels, all double-hulled or double-sided, will benefit
in this environment.
Chartering's other principal, but substantially smaller,
business, product tanker Company, Neptune Associated Shipping
(NAS), formed in 2001, registered a small operating loss for
2002.
Overall, the Chartering division is expected to further improve
on its 2002 performance.
About NOL
NOL is a global transportation and logistics Company engaged in
shipping and related businesses. Its container transportation
arm, APL, provides customers around the world with container
transportation services that combine high quality inter-modal
operations with state-of-the-art information technology while
APL Logistics provides end-to-end supply chain management
services through its global network. Its crude oil
transportation Company, American Eagle Tankers (AET) provides
quality services to the oil industry, principally in the
Caribbean and Gulf of Mexico region.
Media inquiries: Sarah Lockie
(65) 6371.5022
sarah_lockie@nol.com.sg
NEPTUNE ORIENT: Aims to Improve Financial Performance in 2003
-------------------------------------------------------------
Neptune Orient Limited aims (NOL) to improve its financial
performance by reducing its operating costs as well as general
and administrative cost through headcount reduction and
increased outsourcing in transactional activities.
With the various initiatives planned for the coming year, the
group is expected to perform better in 2003. However, in the
event of a war or other hostilities, the Group performance will
be affected.
Primary Segment Reporting By Business Segments
The principal activities of the Group include those relating to:
1. Liner - Global container transportation operations. It offers
container-shipping services in major trade lanes such as Trans-
pacific, Latin America, Asia Europe, Trans-Atlantic, and Intra
Asia.
APL focus for 2003 is additional cost savings and a strong
emphasis on yield management to optimize utilization of existing
resources. These initiatives are expected to yield improvements
of US$150 million to US$200 million. APL aims to restore rates
to a more sustainable level and further increase diversification
of its revenue by growing the Asia-Europe and Intra Asia trades.
With the measures in place, we expect substantial improvement in
2003.
2. Logistics - Integrated management of all activities related
to the supply chain. It comprises all of the supply chain
processes that plan, implement, and control the effective flow
and storage of goods, services and information from the origin
to the point of consumption.
APL Logistics will continue to focus on the business that
provides end-to-end supply chain solutions and the core business
of warehousing as well as freight consolidation, with the
objective to achieve better performance.
3. Chartering- Chartering of tankers, containerships and bulk
carriers. The tanker business being the main chartering
operation, concentrates mainly in the Aframax and Very Large
Crude Carriers VLCCs markets. Aframax market provides petroleum
transportation services in the Atlantic and lightering services
in the US Gulf, while VLCC offers point-to-point services for
the transportation of crude oil.
Following the Prestige accident off the coast of Spain, tanker
chartering rates for quality double-hulled Aframaxes and VLCCs
have significantly improved and are expected to remain buoyant
as the European Union imposed restrictive routing of single-
hulled tankers. The tanker activities are expected to continue
to do well in 2003.
SEATOWN CORPORATION: Appoints Judicial Manager
----------------------------------------------
Further to the announcement issued by the Board of Directors of
Seatown Corporation Ltd on January 23, 2003, the High Court of
Singapore made the following orders on February 26, 2003:
(a) Seatown Corporation Ltd be placed under judicial management.
(b) Mr Nicky Tan Ng Kuang of Tan Corporate Advisory Pte Ltd be
appointed as the Judicial Manager of Seatown Corporation Ltd.
===============
T H A I L A N D
===============
MEC FAREAST: Files Business Reorganization Petition
---------------------------------------------------
MEC Fareast International Public Company Limited (DEBTOR),
engaged in buying, selling, and rental of heavy machine, filed
its Petition for Business Reorganization was filed to the
Central Bankruptcy Court:
Black Case Number 620/2544
Red Case Number 713/2544
Petitioner : Mrs. Sermpich Jarusatirakul
Planner: MEC INTERNATIONAL PLANNER COMPANY LIMITED
Debts Owed to the Petitioning Creditor : 2,588,528,152.94Baht
Date of Court Acceptance of the Petition : July 4, 2001
Date of Examining the Petition: July 30, 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 Order for Business Reorganization and Appointment of
Planner : August 29, 2001
Announcement of Court Order for Business Reorganization and
Appointment of the Planner in Matichon Public Company Limited
and Siam Rath Company Limited: September 7, 2001
Announcement of Court Order for Business Reorganization and
Appointment of the Planner in Government Gazette : October 2,
2001
Deadline for the Planner to submit the Reorganization Plan to
the Official Receiver: January 2, 2002
Planner postponed the Date to submit the Business Reorganization
Plan to Official Receiver #1st : February 2, 2002
Planner postponed the Date to submit the Business Reorganization
Plan to Official Receiver #2nd : March 2, 2002
Appointment date for the Meeting of Creditors to consider the
Reorganization Plan : April 18, 2002 at 9.30 am. Convention Room
1104, 11th Floor, Bangkok Insurance Building, South Sathorn Road
The Meeting of Creditors had a resolution Not accepting the
reorganization plan
Court had issued an Order Cancelled the Order for Business
Reorganization on May 8, 2002
Contact : Mr. Chanin Tel, 6792525 ext. 121
SINO-THAI RESOURCES: Clarifies Auditor's Disclaimer Opinion
-----------------------------------------------------------
Due to the uncertainties as to the result of the debt
restructuring negotiations and the current economic crisis
affect the construction stone quarrying operations, Sino-Thai
Resources Development Public Company Limited clarified the
reason of the financial statement of the year ended December 31,
2002 with an auditor's disclaimer opinion as follows:
1. Debt Restructuring Negotiations with Siam Commercial Bank
Plc.
The company will restructure the debt with the bank by transfer
the ownership of mortgaged, mortgaged properties, cash payment,
and convert debt to equity. The meeting of board of directors
no. 1/2003 on February 20, 2003 has a resolution to propose the
company's debt restructuring to the meeting of shareholders on
March 20, 2003 for their considerations and approval as the
details as follows:
1.1 The Company will transfer the ownership of 4 plots of
land to the Bank totaling value of Bt107.80 Million within March
21, 2003. The details of land and building are as follows:
Group 1 the Mortgaged Property
(1) Land and building on title deed no. 146,
approximated area 16-1-24 rai, located at Sakdidej Road, Tambol
Rangang, Amphur Muang Phuket Province.
(2) Land and building on title deed no. 2613,
approximated area 6-3-51.3 rai, located at Soi Saphanhin, Tambol
Taladyai, Amphur Muang, Phuket Province
Group 2 the Unmortgaged Property
(1) Empty land under Nor.Sor. 3 nos. 274/271 and
275/271, approximated area 4-2-45 rai, located on Sainarang-
borrae Road, Tambol Vichit, Amphur Muang, Phuket Province.
(2) Empty land under Nor. Sor 3 Kor nos. 1632, 1702,
1704, 1731, 1735,1736, 1737, 1739, 1740, 1741, 1742, 1797, 1952,
1953 totaling 14 parcels, the approximated area 72-0-57rai and
possessory right no. 165, the approximated area 14-3-50 rai
located at Tambol Wangyai, Amphur Thepa, Songkhla Province.
1.2 The Company will pay cash amounting to Baht 20.0 Million
within March 21, 2003.
1.3 The Company will return all originals of Letter of
Guarantee which are retained by the Company to the Bank within
March 21, 2003.
1.4 The Company will convert debt to equity amounting to 1.0
Million shares at the Mark-To-Market price within July 21, 2003.
2. The Construction Stone Quarry
Although the current economic crisis in Thailand has cased to a
certain extent, it continues to adversely affect the
construction business environment and the construction stones
quarrying operations of the company. The selling units are
still in low rate, but the company tries to remain the break-
even point. When the future economic could be recovered, the
company's business will has profitable performance. (Please see
the projection of construction stones quarrying operations). In
addition this business of the company has strong points in
remaining the quality of construction stones as the standard of
Department of State Highways. The company was granted the 16
years mining concession from Department of Primary Industries
and Mines.
3. The Future Projects
Currently, the company is studying the feasibility of
manufacturing Calcite and Calcium Oxide which are available in
its limestone mining right area for the use of feed mill, sugar
and cosmetic industries. Because of the economic crisis, the
plan to develop value added products is still suspended. In
addition, the company will also develop other projects which
possibly make profit in the future.
T.C.J. ASIA: Clarifies 2001, 2002 Operations Loss Difference
------------------------------------------------------------
T.C.J. Asia Public Company Limited explained the difference in
the operation for the year 2002, as at 31 December 2002, between
the same period last year. TCJ and its subsidiaries company had
the net loss amounting to Bt347.32 million, but had the net loss
amounting to Bt 13.57 million in the year 2001 or increased
62.63%. The reasons for the difference are as follows:
1. The company had the net loss amounting to Bt116.10 million
from the appraisal on slow moving inventory.
2. The company had a provision for loss on impairment assets of
Bt115.35 million.
3. The company had reserved the interests for convertible
debenture of Bt27.95 million.
4. For operation, the company and its subsidiaries had total
revenues increased 33.97% and could decrease Sales and
Administrative Expenses from Bt153.35 million to Bt123.55
million or decreased 19.43%.
TCJ's audited annual financial statements:
Ending December 31, (In thousands)
For year
Year 2002 2001
Net profit (loss) (347,318) (213,570)
EPS (baht) (13.89) (8.54)
T.C.J. ASIA: To Submit Rehab Petition with Bankruptcy Court
-----------------------------------------------------------
The Board of Directors' meeting No. 1/2003 of T.C.J. Asia PLC on
February 26, 2003 has approved the Company to submit a petition
of business rehabilitation with the Central Bankruptcy Court.
The reason for filing is due to mismatch cash flow of the
Company with the schedules of debt restructuring repayments
agreement dated June 30,2000.
Any additional matters will be further notified.
* DebtTraders Real-Time Bond Pricing
------------------------------------
Issuer Coupon Maturity Bid - Ask Weekly change
----- ------ -------- --------- -------------
Asia Pulp & Paper FRN due 2001 1.0 - 2.0 0.0
Asia Pulp & Paper 11.75% due 2005 31.0 - 32.0 -0.5
APP China 14.0% due 2010 29.5 - 30.5 -0.5
Asia Global Crossing 13.375% due 2006 12.0 - 13.0 0.0
Bayan Telecom 13.5% due 2006 14.0 - 16.0 0.0
Daya Guna Sumudera 10.0% due 2007 2.5 - 4.5 0.0
Hyundai Semiconductor 8.625% due 2007 67.0 - 71.0 0.0
Indah Kiat 11.875% due 2002 36.0 - 38.0 0.0
Indah Kiat 10.0% due 2007 27.25 - 28.25 +0.25
Paiton Energy 9.34% due 2014 79.5 - 80.5 +0.25
Tjiwi Kimia 10.0% due 2004 23.0 - 24.0 +0.5
Bond pricing, appearing in each Friday's edition of the
Troubled Company Reporter - Asia Pacific, is provided by
DebtTraders in New York. DebtTraders is a specialist in global
high yield securities, providing clients unparalleled services
in the identification, assessment, and sourcing of attractive
high yield debt investments. For more information on
institutional services, contact Scott Johnson at 1-212-247-5300.
To view our research and find out about private client accounts,
contact Peter Fitzpatrick at 1-212-247-3800. Real-time pricing
available at www.debttraders.com
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 2003. All rights reserved. ISSN: 1520-9482.
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