/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/030530.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Friday, May 30, 2003, Vol. 6, No. 106 Headlines A U S T R A L I A COLES MYER: S&P Places Rating on Creditwatch COLES MYER: Expresses Surprise at S&P Decision MIM HOLDINGS: ASIC Warns Against MIM Share-splitting MIM HOLDINGS: Australian Treasurer OK's Xstrata Bid QANTAS AIRWAYS: Rene Rivkin Goes to Jail SIRTEX MEDICAL: Shares Drop 7% Wednesday SIRTEX MEDICAL: Cephapon Stake Down to 10,842,300 Shares C H I N A & H O N G K O N G A LA CARTE: Winding Up Petition Pending LAI SUN: Presents Debt Revamp Plan to Creditors This Week READY GOOD: Faces Winding Up Petition STRONGWAYS INDUSTRIAL: Hearing of Winding Up Petition Set TECHNO MIND: Winding Up Hearing Scheduled in June WINMATE INTERNATIONAL: Winding Up Hearing Scheduled in June J A P A N FUJITA CORPORATION: Unveils Capital Deficit, Seeks Bailout RESONA HOLDINGS: Will Not Pay Dividend This Year SEIBU DEPARTMENT: Merges Operation With Sogo SHOWA DENKO: Merges Polyethylene Operations With MCC K O R E A CHOHUNG BANK: Fate of Bank Hangs on President Roh SK GLOBAL: Creditors Opts For Court Receivership SK GLOBAL: SK Corp. Presents New Rescue Plan M A L A Y S I A AMANAH GENERAL: Winding Up Petition Pending ASSOCIATED KAOLIN: KLSE OK's Waiver Application EDEN ENTERPRISES (M) BERHAD: Changes Shareholders List EDEN ENTERPRISES: AGM Set For June 27 FW INDUSTRIES: KLSE Delisting Securities HOTLINE FURNITURE: Finalizes Circular on Proposed Restructuring NCK CORP. Transfers Forum Ownership to Benmarl PARK MAY: Proposes Disposal of Rangkaian Segar PICA CORPORATION: KLSE Suspends Trading SENG HUP: Winding Up Unit SPORTMA CORP.: Extends Time to Comply With 30% Bumiputera Equity TIMBERMASTER INDUSTRIES: SC OK's Restructuring Scheme Proposal TRANS CAPITAL: Creditors OK's Scheme of Arrangement P H I L I P P I N E S CEBU PRIVATE: ERC Urges to Investigate Power Firm MANILA ELECTRIC: Likely to Submit Projected Cash Flow to ERC SPEED CREDIT: SEC Shutters Pseudo-investment Firm VICTORIAS MILLING: May Need Extra P280M For Capex S I N G A P O R E C.K. TANG: Appoints Additional Member to Nominating Committee NATSTEEL LTD: Adjourns AGM to June 4 WEE POH: Unit Enters Winding-up Petition T H A I L A N D SIAM STEEL: CPA Discloses Foreign Currency Liabilities - - - - - - - - - ================= A U S T R A L I A ================= COLES MYER: S&P Places Rating on Creditwatch -------------------------------------------- Standard & Poor's Ratings said Thursday that it had placed its corporate credit ratings on Coles Myer Ltd. on CreditWatch with negative implications. Coles Myer's long term rating is BBB+. S&P also affirmed the Company's A-2 short term rating. The move reflected Coles Myer's debt-funded petrol retailing alliance with Shell Australia Ltd, announced yesterday. S&P said the placing of Coles Myer on Creditwatch reflected concerns the funding structure of the petrol acquisition. It said while the cost of acquiring the petrol franchise rights amounted to about A$100 million (US$66 million), operating lease commitments (treated as off-balance-sheet debt) were expected to represent the majority of the lease-adjusted capital base employed by this business. Also, working capital and fixed asset purchases would add to the total cost of the acquisition, S&P said. The ratings agency said the staged nature of the petrol acquisition over 12 months, and the inevitable competitive response from rival Woolworths Ltd might restrict the extent of any recovery in Coles Myer's food & liquor sales performance in the next 12-18 months. S&P said there was significant execution risk associated with the acquisition, given the low-margin nature of the segment, and Coles Myer's limited experience in petrol retailing and convenience store operations. In addition, the Coles Myer group was reliant on a significant investment in supply chain and IT infrastructure in the next few years, to maintain and improve its competitive position. S&P said. This expenditure, together with debt-funded acquisitions such as the Shell alliance, would place significant pressure on lease-adjusted debt levels, and limit its ability to improve its prudential measures to levels consistent with the BBB+ rating. Accordingly, despite a significant sales and earnings improvement in some of its nonfood brands, Coles Myer was reliant on strong and robust sales and earnings growth from all its businesses, particularly the food & liquor operations, which was the key driver of the groups strong business profile, to fund this expenditure. S&P said the petrol acquisition, however, provided an important competitive mechanism for the Company to address weaker-than-expected sales performance in its food & liquor operations. Mitigating somewhat the funding and execution risks were the strong Shell brand, extensive geographic coverage of petrol canopy sites, and the established nature of the Shell operations, the ratings agency said. Resolution of the CreditWatch was expected to incorporate a detailed review of Coles Myer's petrol alliance, and the extent to which this should underpin a timely improvement in its key food & liquor business, said Paul Draffin, associate director of Corporate & Infrastructure Finance Ratings. COLES MYER: Expresses Surprise at S&P Decision ---------------------------------------------- Coles Myer was shocked at Standard & Poors decision to place the Company's long-term credit rating on Creditwatch with negative implications. Coles Myers Chief Financial Officer, Fraser MacKenzie, said Coles Myers Alliance with Shell provided the Company with an opportunity to enter into the petrol and convenience store market for a responsible capital outlay. This Alliance is not debt funded. The Alliance provided an excellent combination of fuel and food branding with a strong coverage of sites across Australia. Coles Myer and Shell would be working together to ensure a seamless transition and mutually beneficial outcomes. "It is in our mutual interest to ensure that business continuity is not affected in any way. The progressive rollout has been structured to facilitate minimal execution risk," Mr MacKenzie said. "Key operational service station staff will be transferring to Coles Myer to assist us in maintaining the integrity and reputation of this business." Mr MacKenzie said Coles Myer continued to make significant progress against strategy in its capital management program. "We continue to make excellent progress through divestments of non-core retail assets such as Sydney Central Plaza and our ongoing debt reduction initiatives. Our balance sheet is very strong, our gearing is low and our cash flows are good," Mr MacKenzie continued. "Importantly, we have continued to reduce debt despite our strategic acquisitions of Viking and Theos. Both of these acquisitions have been funded by existing cash-deposits with no new debt funding. The same will apply to the costs associated with the Shell Alliance. More broadly, Coles Myer has a range of initiatives underway to drive momentum in our Food and Liquor division. In addition to our Alliance with Shell, other new initiatives include the roll out of a new fresh offer in Coles and new marketing campaign in Bi-Lo to address price perception issues. Coles will launch a new marketing campaign next month. We expect these initiatives to build on the sales growth improvement indicated in our third quarter sales. Our confidence in our progress is reflected in our announcement on May 15 that our profit guidance has been refined to the upper end of our $425-435 million range." he concluded. MIM HOLDINGS: ASIC Warns Against MIM Share-splitting ---------------------------------------------------- The Australian Securities and Investments Commission (ASIC) announced Thursday that it will take into account the current activities, including rumors of share splitting, around the proposed scheme of arrangement arising from the takeover bid by Xstrata for MIM Holdings, in determining its position at any future court hearing on the scheme. ASIC has the option of appearing before the Queensland Supreme Court if, after the shareholder meetings, the scheme comes before the court for final approval. At this hearing, the court usually hears from parties who may object to the scheme. The court retains discretion about whether to approve the scheme, even if shareholders have voted in favor of it. 'Market rumors of massive share splitting suggest some people may seek to manipulate the outcome of the meetings to their own advantage. ASIC considers such behavior undesirable if it occurs in a way that distorts the true intentions of shareholders. As outlined in ASIC Policy Statement 142, ASIC does not believe share splitting is appropriate behaviour', ASIC Director Corporate Finance, Mr. Richard Cockburn said. Share splitting occurs where one large parcel of shares is broken up into a large number of smaller parcels and registered in different names, in circumstances where all the new owners have agreed to vote in a pre-determined way. These schemes offer a protection mechanism for shareholders by requiring that the scheme be approved by shareholders under a resolution passed by 50 per cent by number of those voting in person or by proxy, who also voted 75 per cent of the number of votes cast. The impact of any share splitting is likely to be in the requirement that the resolution be passed by 50 per cent of members present or voting by proxy, because the size of the members respective shareholdings is not a factor in this element of the test. 'ASIC urges all shareholders to consider the merit of the proposed scheme, and to vote either in person or by proxy', Mr. Cockburn said. MIM HOLDINGS: Australian Treasurer OK's Xstrata Bid --------------------------------------------------- Xstrata plc (Xstrata) announced that it has received confirmation from the Australian Treasurer that he has no objection to a proposal for Xstrata to acquire all of the issued share capital of M.I.M Holdings Limited (MIM). The Treasurer said, "Under the Foreign Acquisitions and Takeovers Act, proposals will be approved unless contrary to the national interest." The approval from the Australian Treasurer follows approval already received from Xstrata's shareholders and regulatory clearances from the European Union and the Australian Consumer and Competition Commission. The successful conclusion of the acquisition rests on the approval of the Scheme of Arrangement by MIM shareholders at an extraordinary general meeting on Friday 6 June 2003 and subsequent Court approval. Mick Davis, Chief Executive of Xstrata, said he was pleased to receive approval from the Treasurer. "This approval brings our goal of creating an exciting, dynamic mining group one step closer." "However, for Xstrata to leverage its financial strength to grow MIM and for shareholders to receive their $1.72 per share, it is absolutely crucial that MIM shareholders vote on the Scheme, either by lodging their proxy form with MIM or attending the Scheme meeting. The Scheme of Arrangement gives every shareholder the opportunity to have their say and it is important that the majority is truly represented. I urge every MIM shareholder to vote today, or the Scheme could be voted down by shareholders with a minority of shares." XSTRATA CONTACTS: Marc Gonsalves Telephone: +44 20 7968 2812 Mobile: +44 7775 662 348 Email: mgonsalves@xstrata.com Justine Winn Telephone: +61 2 9253 6748 Mobile: +61 416 196 403 Email: justine.winn@xstratacoal.com Brigitte Mattenberger Telephone: +41 41 726 6071 Mobile: +41 793 811 823 Email: bmattenberger@xstrata.com Michael Oke Prospero Financial Telephone: +44 20 7898 9394 Mobile: +44 7778 469630 QANTAS AIRWAYS: Rene Rivkin Goes to Jail ---------------------------------------- Mr Rene Walter Rivkin on Thursday was convicted and sentenced in the NSW Supreme Court on one count of insider trading in the shares of Qantas Airways Limited (Qantas), the Australian Securities and Investments Commission (ASIC) reports. Mr Rivkin was sentenced to nine months imprisonment, to be served by way of periodic detention, and was fined $30,000. On 30 April 2003 Mr Rivkin was found guilty by jury on one count of insider trading in contravention of section 1002G(2) of the Corporations Act, following a 21-day trial in the NSW Supreme Court before Justice Whealy. Justice Whealy today entered a conviction against Mr Rivkin and recorded a sentence. A statement by Mr David Knott, Chairman of the Australian Securities and Investments Commission (ASIC) follows this release. BACKGROUND ASIC alleged that Mr. Rivkin contravened the insider trading provisions of the Corporations Act when, on 24 April 2001, he purchased 50,000 Qantas shares. The shares were purchased in the name of Rivkin Investments Pty Ltd, a Company of which Mr Rivkin is the sole director. The charge followed an investigation by ASIC into the circumstances surrounding trading in Qantas shares shortly before Qantas announced that it would take over the operations of Impulse Airlines. Mr Rivkin has lodged a notice of intention to appeal in respect of the jury decision. ASIC'S STATEMENT ON CONVICTION OF RENE RIVKIN: Mr Rene Rivkin was convicted on May 29 of the criminal offence of insider trading. Insider trading is a serious offence that undermines the fairness and integrity of our stock market. Mr Rivkin has sought to trivialise these proceedings from the time they were first instituted. In doing so he mocks every investor who expects fair dealing and proper disclosure in share markets transactions. The fact that he made a relatively small profit from the transaction does not alter its criminal nature. The offence he committed was against the sellers of 50,000 QANTAS shares who thought they were dealing in a properly informed market. Instead they were dealing with a person who had gained inside information and withheld it from them. If those sellers had not sold until after the announcement about Impulse Airlines their shares could have increased by more than $30,000. Over the past decade Australia has strengthened its determination to make our markets fairer for investors. Stronger insider trading laws, improved surveillance of suspect trading by the ASX and active enforcement by ASIC have all contributed to a market of increased integrity. None of this should come as a surprise to Mr Rivkin. He is a stockbroker of long experience and influence in our markets. His deliberate decision to flout the law, even in a small transaction, was a betrayal of the market in which he has been a prominent trader for many years. Mr Rivkin has attempted to divert attention from the serious implications of his misconduct with allegations that he was unfairly targeted by ASIC because he is a 'tall poppy'. That is not correct. When ASIC commenced its investigation into suspect trading in QANTAS shares Mr. Rivkin's involvement was unknown to us. When the full evidence of the transaction emerged it was inevitable that he be charged. That evidence has now been considered and accepted by a jury, and a conviction recorded by the Supreme Court. Mr Rivkin has no one to blame for this other than himself. I want to acknowledge the very difficult task of the jury in this matter. Insider trading cases are among the most complicated types of offences under our corporation law. It is no easy matter for a jury to come to grips with the various legal ingredients of the offence, and I believe that the members of this jury deserve the thanks of all investors in our market. I also thank the office of the Commonwealth DPP for its professionalism in the preparation and prosecution of the case. The decision of Justice Whealy to impose a sentence of nine months imprisonment to be served by periodic detention is the decisive judgement on the seriousness of Mr Rivkin's offence. By operation of law he is now banned from managing any corporation for the next five years, except by permission of the court. To any who suggest that the absence of a full time custodial sentence somehow diminishes the seriousness of the offence, I say 'think again'. Mr Rivkin broke the law and was caught. He now has a criminal conviction against his name. That fact will not be lost on others who may be tempted to test their luck with small inside trades. In the light of today's sentencing by Justice Whealy ASIC will review the status of any license held by Mr Rivkin or any Company in which he has a relevant interest. Such review will be conducted in accordance with legal requirements, which will include an opportunity for Mr. Rivkin to make submissions to ASIC. While I expect this process to commence in the near future, ASIC will observe strict confidentiality until hearings are concluded and decisions finalized. I conclude my statement by noting that Mr. Rivkin has lodged a notice of appeal against the jury's verdict and is expected to also appeal the Thursday's sentence. David Knott Chairman Australian Securities and Investments Commission 28 May 2003 SIRTEX MEDICAL: Shares Drop 7% Wednesday ----------------------------------------- Shares in cancer treatment developer Sirtex Medical Ltd. plunged 7 percent on Wednesday, after a A$264 million (US$171 million) takeover bid from a United States pharmaceutical group failed, Asia Pulse said Thursday. Pennsylvania-based Cephalon Inc had offered $4.85 for every Sirtex share in an offer that closed on May 27 after several extensions. Sirtex directors had recommended shareholders accept the bid. But Cephalon only secured 88 per cent approval from Sirtex shareholders, narrowly missing the 90 per cent minimum acceptance threshold. Sirtex shares closed 33 cents weaker at $4.35, having earlier fallen as low as $4.01. SIRTEX MEDICAL: Cephapon Stake Down to 10,842,300 Shares -------------------------------------------------------- Cephalon Australia Pty Limited decreased its relevant interest in Sirtex Medical Limited on May 27, 2003, from 45,978,759 ordinary shares (84.39 percent) to 10,842,300 ordinary shares (19.9 percent). According to Wrights Investors' Service, the Company has paid no dividend during the previous 2 fiscal years and also reported losses during the previous 12 months. During the 12 months ending 12/31/02, the Company has experienced losses totaling A$0.04 per share. ============================ C H I N A & H O N G K O N G ============================ A LA CARTE: Winding Up Petition Pending --------------------------------------- A La Carte International Limited is facing a winding up petition, which will be heard before the High Court of Hong Kong on June 18, 2003. Chau Tik Sho of Room 532, Block 10, Lower Ngau Tau Kok Estate, Kowloon, Hong Kong, filed the petition on April 25, 2003. LAI SUN: Presents Debt Revamp Plan to Creditors This Week --------------------------------------------------------- Lai Sun Development Co. Ltd. will present an informal debt- restructuring proposal to creditors this week in a bid to stay afloat, the South China Morning Post and AFX Asia reported Thursday. The debt revamp proposal includes payments in cash, property assets and a debt-for-equity swap. Lai Sun defaulted on 2.3 billion convertible and exchangeable bonds at the end of March, raising concerns about a possible liquidation. The Company has about 4.5 billion in bank and other borrowings. READY GOOD: Faces Winding Up Petition ------------------------------------- Gallant Y.T. Ho & Co. on behalf of the petitioner, the Bank of China (Hong Kong) Limited is seeking the winding up of Ready Good Investments Limited. The petition was filed on April 15, 2003, and will be heard before the High Court of Hong Kong on June 18, 2003. The Bank of China (Hong Kong) Limited holds its registered office at 14th Floor, Bank of China Tower, No. 1 Garden Road, Central, Hong Kong. STRONGWAYS INDUSTRIAL: Hearing of Winding Up Petition Set --------------------------------------------------------- The petition to wind up Strongways Industrial Limited is set for hearing before the High Court of Hong Kong on June 18, 2003 at 9:30 in the morning. The petition was filed with the court on April 24, 2003 by Huaxin (Hong Kong) Company Limited whose registered office is situated at 3rd Floor, CNT Commercial Building, 302 Queen's Road Central, Hong Kong. TECHNO MIND: Winding Up Hearing Scheduled in June ------------------------------------------------- The High Court of Hong Kong will hear on June 11, 2003 at 10:00 in the morning the petition seeking the winding up of Techno Mind Limited. Cheung Chun Chau of Room 728, 7/F., Skylark House, Sha Kok Estate, Shatin, New Territories, Hong Kong filed the petition on April 14, 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 34th Floor, Hopewell Centre 183 Queen's Road East, Wanchai, Hong Kong. WINMATE INTERNATIONAL: Winding Up Hearing Scheduled in June ----------------------------------------------------------- The High Court of Hong Kong will hear on June 25, 2003 at 10:00 in the morning the petition seeking the winding up of Winmate International Trading Company Limited. Pioneer Rank Trading Limited whose registered office is situated at Workshop B10, 11th Floor, Block B, Hong Kong Industrial Centre, No. 489-491 Castle Peak Road, Kowloon, Hong Kong filed the petition on May 9, 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 KNIGHT & HO, which holds office on the 10th Floor, Ritz Building, 625 Nathan Road, Kowloon, Hong Kong. ========= J A P A N ========= FUJITA CORPORATION: Unveils Capital Deficit, Seeks Bailout ---------------------------------------------------------- Ailing Fujita Corporation will ask Sumitomo Mitsui Banking Corporation (SMBC) to purchase 30 billion yen in preferred shares as the construction firm had excess liabilities of 3.67 billion yen in its first six months to March 31, Kyodo News said on Thursday. Fujita, created last October 1 through a Company split-up, said it plans to issue the preferred shares by September 30 to boost its capital. RESONA HOLDINGS: Will Not Pay Dividend This Year ------------------------------------------------ Resona Holdings Inc. will not pay a dividend on common shares for the year ending next March 31 in order to win a public understanding of the state bailout of Resona's core bank, the Mainichi Shimbun and Kyodo News said on Thursday. The Company will include the decision in a state-mandated restructuring program it is to present to the government in seeking public funds for recapitalization of Resona Bank. SEIBU DEPARTMENT: Merges Operation With Sogo -------------------------------------------- Shareholders of struggling retailers Seibu Department Stores Ltd. and Sogo Inc. on Wednesday approved a plan to integrate operations under a holding firm Millennium Retailing, Kyodo News reports. Seibu Department Stores Ltd. will not pay retirement bonuses to Chairman Kotaro Matsumoto and seven other outgoing top executives, according to the Troubled Company Reporter-Asia Pacific on Thursday. Seibu made the decision after its creditors agreed earlier this year on a 230 billion yen bailout scheme under a revival plan for the crippled department store operator, clarifying the responsibility of management, they said. SHOWA DENKO: Merges Polyethylene Operations With MCC ---------------------------------------------------- Showa Denko K.K. (SDK) and its consolidated subsidiary, Japan Polyolefins Co., Ltd. (JPO), reached agreement on May 21 with Japan Polychem Corporation of the Mitsubishi Chemical Corporation Group (MCC) to merge the polyethylene operations of JPO and Japan Polychem, and establish a new joint venture Company "Japan Polyethylene Corporation" on September 1, 2003. The new Company will become SDK's affiliate to which the equity method will be applied. The parent companies plan to reach final agreement after thoroughly reviewing the conditions for integration, and are determined to make their respective expected contributions and promote an early achievement of integration benefits after the new Company is established. Through these efforts, the parent companies aim to develop the new Company to have a strong presence in the market. The business environment of today's polyethylene business in Japan has become increasingly severe due to the establishment of supergiant manufacturers abroad by large-scale mergers, the scheduled stepwise tariff reduction towards 2004, and the start of new large-size facilities in Asia and the Middle East. Therefore, it is an urgent necessity for the domestic polyethylene industry to further reinforces the competitiveness. Under these circumstances, Japan Polychem and Japan Polyolefins have come to a common recognition that it is indispensable to integrate their businesses to create higher value with higher efficiency in every business activity such as production, sales and R&D of polyethylene business, through pursuit of synergy effects of products and technologies and promotion of rationalization with optimal production system, and have made a decision to integrate. In addition, since it is particularly important to strengthen the competitiveness in sales and distribution and to respond to the overseas markets in polyethylene business, the two companies had requested Mitsubishi Shoji Plastics to participate in the newly integrated Company. Since Mitsubishi Shoji Plastics had judged that it would further its competitiveness as a trading Company specialized in synthetic resins to become deeply involved in and contribute to the new Company rather than only to continue to provide agency function for transaction, the basic agreement was reached among the three companies today. Effect of the Merger on SDK's Performance SDK's performance forecast for 2003, which was announced on February 18, 2003, will see no change because we already took into account the possible influence of the merger of polyethylene operations on our performance. (As of February 18, 2003, we forecast net sales of JPY 665 billion, operating income of JPY 38 billion, ordinary profit of JPY 26.5 billion, and net income of JPY 10 billion.) Meanwhile, the merger will affect SDK's consolidated balance sheet. Specifically, total assets and interest-bearing debt will decrease by approximately JPY 33 billion and JPY 22 billion, respectively, from the levels at the end of December 2002. Outline of the New Polyethylene Company (plan) Company name: Japan Polyethylene Corporation President: Etsujiro Kouge Start of business: September 1, 2003 Paid-in capital: Yen 7.5 billion Annual turnover: Yen 110 billion Shareholders: Japan Polychem Corporation 50 percent Japan Polyolefins Co., Ltd. 42 percent Mitsubishi Shoji Plastics Corporation 8 percent Lines of business: Manufacturing, sales and R&D of polyethylene resins Employee force: About 700 Production capacity: LDPE 417.4 thousand tons/year L-LDPE 374.7 thousand tons/year HDPE 475.6 thousand tons/year Sales office: Tokyo and Osaka Outline of Parent Companies Japan Polychem Corporation Established: September 1, 1996 Paid-in capital: Yen 20 billion Annual turnover: About Yen 135 billion Total assets: About Yen 110 billion Employee force: About 830 Shareholders: Mitsubishi Chemical Corporation 65 percent Tonen Chemical Corporation 35 percent (To be wholly owned by Mitsubishi Chemical from June 2, 2003) President: Etsujiro Kouge Japan Polyolefins Co., Ltd. Established: October 1, 1995 Paid-in capital: Yen 6.5 billion Annual turnover: About Yen 56 billion Total assets: About Yen 54 billion Employee force: About 430 Shareholders: Showa Denko K.K. 65 percent Nippon Petrochemicals Co., Ltd. 35 percent President: Koh Matsushita Mitsubishi Shoji Plastics Corporation Established: April 1, 1990 Paid-in capital: Yen 510 million Annual turnover: About Yen 80 billion Total assets: About Yen 35 billion Employee force: About 130 Shareholders: Mitsubishi Corporation 100 percent Line of business: Sales in Japan and trading of plastics- related products, recycling of plastics, rental of plastics- related equipment and materials, and data processing President: Kazumasa Furukawa About Mitsubishi Chemical Corporation Mitsubishi Chemical Corporation is the largest comprehensive chemical Company in Japan and one of the world's largest ten. MCC's principal activity is the production of petrochemicals. Operations are carried out through the following divisions: Petrochemical products for 37 percent of fiscal 2001 revenues; Functional materials, 20 percent; Carbon/Agrochemical, 12 percent; Information electronics, 10 percent; Pharmaceuticals, 7 percent; Functional chemicals, 7 percent and Services (distribution and warehouses, supply of electricity, real estate), 7 percent. For further information, please visit the Mitsubishi Chemical Corporation home page at: www.m-kagaku.co.jp About Showa Denko K.K. Showa Denko is a major manufacturer and marketer of chemical products serving a wide range of fields ranging from heavy industry to the electronic and computer industries. the Company makes petrochemicals (ethylene, propylene), aluminum products (ingots, rods) electronic equipment (hard disks for computers), and inorganic materials (ceramics, carbons). The Company has overseas operations and a joint venture with Netherlands-based Montell and Nippon Petrochemicals to make and market polypropylenes. In March 2001, SDK merged with Showa Denko Aluminum Corporation to strengthen the high-value-added fabricated aluminum products operations, and is today developing next-generation optical communications-use wafers. For further information, please visit the Showa Denko K.K. home page at: www.sdk.co.jp Chemical maker Showa Denko KK reported a net profit of 13.02 billion yen in the year ending December 31, versus a loss of 34.26 billion yen a year earlier, due to cost-cutting efforts as well as one-off gains from unit sales, according to TCRAP. Showa Denko's shareholders equity remained poor while the interest-bearing debt reached as high as the sales as of end of December 2001, Japan Credit Rating Agency reported last year. The cumulative loss amounting to 51.7 billion yen as of end of December 2001 will be cleared off by the end of December 2002 using the capital reserve and earnings retained in fiscal 2002. The financial conditions, however, will remain poor. According to Wright Investor's Service, Showa Denko Kabushiki Kaisha at the end of 2001 had negative working capital, as current liabilities were Y488.73 billion while total current assets were only Y308.55 billion. Contact: Showa Denko K.K. Nobuhiro Kato nobuhiro_kato@sdk.co.jp +81 3 5470 3233 ========= K O R E A ========= CHOHUNG BANK: Fate of Bank Hangs on President Roh ------------------------------------------------- The role of South Korean President Roh Moo-hyun in the planned sale of Cho Hung Bank has emerged as the major factor in the bank's sale, as bank union members decided on Wednesday to postpone a planned general strike, following an announcement that the government was ready to talk with the union members, Digital Chosun reports. Sources at the nation's financial sector said that any direct involvement by the Presidential office in the bank sale deal could hurt the chances for the bank's sale, causing any potential deal to be scrapped or postponed. DebtTraders reports that Cho Hung Bank's 11.875% bond due in 2010 (CHOH10KRS2) trades between 113.5 and 114.5. For real-time bond pricing, go to http://www.debttraders.com/price.cfm?dt_sec_ticker=CHOH10KRS2 SK GLOBAL: Creditors Opts For Court Receivership ------------------------------------------------ Major creditors of SK Global have tentatively agreed to put the firm under court receivership for liquidation, Channel News Asia said on Thursday. The decision was reached at a meeting of creditors who earlier rejected an offer made by SK Group to contribute some US$416 million to a rescue package for SK Global. A final decision will be made at a general creditors' meeting whose date has yet to be decided. Creditors hold SK Corporation partly responsible for SK Global's problems, including its fraudulent bookkeeping. SK Corporation, which is the largest shareholder of SK Global, also proposed writing off 450 billion won of SK Global's overseas debt. Both SK Corporation and SK Global are affiliates of SK Group. SK GLOBAL: SK Corp. Presents New Rescue Plan -------------------------------------------- SK Group proposed a new rescue plan for its ailing trading unit- SK Global, after missing two creditor-imposed deadlines, DebtTraders reports. No details on the new bailout presented to creditors today were given by the Company spokesperson. SK Global's creditors and shareholders have been demanding the bailout to keep the Company afloat. Local lenders threatened to liquidate SK Global should the group fail to agree to a 1.5 trillion won ($1.25 billion) debt-to- equity swap. SK Corporation, the flagship of SK Group, offered to swap 900 billion won ($750 million) of debt owed by unit SK Global into stock, short of the amount demanded by creditors. The creditors are likely to reject the rescue plan. =============== M A L A Y S I A =============== AMANAH GENERAL: Winding Up Petition Pending ------------------------------------------- AMANAH GENERAL ASSETS BERHAD (AGAB) issued an injunction application against PANTAI MEDICARE SDN BHD (PM). The solicitors of AGAB have filed an application inter alia seeking for an interim interlocutory injunction. The hearing of the said application was fixed on 23 May 2003. Prior to the hearing, PM filed an affidavit to the effect that it did not intend to pursue or take action for the sum demanded in its S.218 Notice. At the said hearing the Court disposed of the application. PM's winding-up petition against AGAB however is still pending and has been fixed for hearing on 1 July 2003. It is anticipated that the hearing will resolve substantially around the issue of costs for both AGAB and PM." ASSOCIATED KAOLIN: KLSE OK's Waiver Application ----------------------------------------------- On 10 April 2003, on behalf of ASSOCIATED KAOLIN INDUSTRIES BERHAD (SPECIAL ADMINISTRATORS APPOINTED) (AKI), Commerce International Merchant Bankers Berhad CIMB had applied to the Kuala Lumpur Stock Exchange (KLSE) for a waiver on following requirements of the Listing Requirements of KLSE in relation to the Proposed Capital Reduction and the Proposed Rights Issue: (i) Paragraph 6.18 of the KLSE LR: Notice of Books Closing Date for rights issue To shorten the period between the announcement of the books closing date and the books closing date from the prescribed twelve (12) clear market days to four (4) clear market days; (ii) Paragraph 6.19 of the KLSE LR: A rights issue must be renounceable To seek the exemption for the Provisional Allotment Letter PAL arising from the Proposed Rights Issue to be traded in the KLSE; and (iii) Paragraph 6.20 of the KLSE LR: Timetable for a rights issue The shortening of the period of the books closing date to the closing date of the applications for the acceptance of the Proposed Rights Issue from the prescribed twenty two (22) market days to fourteen (14) market days. In the same application dated 10 April 2003, on behalf of AKI, CIMB had also sought the approval of the KLSE to list the entire issued and paid-up capital of GHB (prior to the conversion of the Irredeemable Convertible Unsecured Loan Stocks ICULS to be issued pursuant to the Proposed Debt Restructuring of AKI) and the ICULS simultaneously upon completion of the Proposals. On behalf on AKI, CIMB is pleased to announce that the KLSE had via its letter dated 27 May 2003, approved the abovementioned application. EDEN ENTERPRISES (M) BERHAD: Changes Shareholders List ------------------------------------------------------ The Board of Directors of Eden Enterprises (M) Berhad Errata announced that the list of substantial shareholders of the Company as at 16 May 2003 appearing on page 90 has been amended in the Errata. Attached below is the Errata and the amended version of the List of Substantial Shareholders as at 16 May 2003. For a copy of the errata and the amended version of the list of substantial shareholders as at May 16, 2003, go to SUBSTANTIAL SHAREHOLDERS No of shares beneficially held Name of Shareholders Nationality Direct percent Indirect percent Serata Padu Sdn Bhd Incorporated in 95,810,171 44.70 - - Malaysia Sriwani Holdings Berhad Incoporated in Malaysia 13,772,000 6.42 - - Serve Vest (M) Sdn Bhd Incorporated in - - 95,810,171 44.70 Malaysia Zil Enterprise Sdn Bhd Incorporated in Malaysia 13,000,000 6.06 95,810,171 44.70 Dato' Abd Rahim Bin Mohamad Malaysian - - 108,810,171 50.76 Datin Fadzilah Binti Md Ariff Malaysian - - 108,810,171 50.76 * Deemed interested by virtue of its direct interest of over 15 percent equity interest in Serata Padu Sdn Bhd ** Deemed interested by virtue of his direct interest in Serve Vest (M) Sdn Bhd and Zil Enterprise Sdn Bhd who have more than 15 percent equity interest in Serata Padu Sdn Bhd *** Deemed interested by virtue of Datin Fadzilah Binti Md Ariff being the spouse of Dato' Abd Rahim Bin Mohamad. EDEN ENTERPRISES: AGM Set For June 27 ------------------------------------- The twenty-fifth ANNUAL GENERAL MEETING (AGM) of the shareholders of the Eden Enterprises (M) Berhad will be held at Grand BlueWave Hotel, Shah Alam, Persiaran Perbandaran, Section 14, 40000 Shah Alam, Selangor Darul Ehsan on Friday, 27th day of June 2003 at 10.00 a.m. for the following purposes: AGENDA AS ORDINARY BUSINESS: 1) To receive the audited financial statements for the financial year ended 31 December 2002 together with the Directors' and Auditor's Report. (Resolution 1) 2) To approve the payment of Directors' Fees in respect of the financial year ended 31 December 2002. (Resolution 2) 3) To re-elect the following Directors who retire in accordance with the Company's Articles of Association, and being eligible, have offered themselves for re-election: - (i) Dato' Abd Rahim Bin Mohamad (ii) Tan Sri Dato' Sri Sabbaruddin Chik (iii) Datin Fadzilah Binti Md Ariff (iv) Dato' Ghazali Bin Mat Ariff (v) Dato' Mohamed Salleh Bin Bajuri (vi) Dato' Kamal Mohamed Hashim Bin Che Din (Resolution 3) (Resolution 4) (Resolution 5) (Resolution 6) (Resolution 7) (Resolution 8) 4 To appoint Auditors of the Company and to authorize the Directors to fix their remuneration. The Company has received a notice of nomination pursuant to Section 172(11) of the Companies Act, 1965, a copy of which is annexed hereto and marked "Annexure A" for the nomination of Messrs Ernst & Young, who has given their consent to act as Auditors of the Company and of the intention to propose the following Ordinary Resolution: "That Messrs. Ernst & Young be appointed Auditors of the Company in place of the retiring auditors, Messrs. Arthur Andersen & Co., at a remuneration to be fixed by the Directors and to hold office until the conclusion of the next Annual General Meeting." (Resolution 9) As Special Business: - 5 to consider and if thought fit, with or without any modification, to pass the following which will be proposed as Ordinary Resolution: Authority pursuant to Section 132D of the Companies Act, 1965 The Ordinary Resolution proposed under item 5 above if passed, will empower the Directors of the Company to issue and allot shares in the Company up to and not exceeding in total ten per centum (10 percent) of the issued capital of the Company for the time being, for such purposes as the Directors may consider to be in the interest of the Company. This authority, unless revoked or varied by the Company in a General Meeting, will expire at the conclusion of the next Annual General Meeting of the Company, or the expiration of period within which the next Annual General Meeting is required by law to be held, whichever is earlier. Note: A member entitled to attend and vote is entitled to appoint one or more proxies to attend and vote in his stead. A proxy may but need not be a member of the Company and the provision of Section 149 (1)(b) of the Companies Act, 1965 shall not apply to the Company. The instrument appointing a proxy and the power of attorney or other authority, if any, under which it is signed or notarially certified copy of such power of authority, must be deposited at the Company's Registered Office, 15th Floor, Amcorp Tower, Amcorp Trade Center, 18, Jalan Persiaran Barat Off Jalan Timur, 46050 Petaling Jaya, Selangor not less than 48 hours before the time appointed of holding the above meeting and at any adjournment thereof. The instrument appointing a proxy shall be in writing under the hand of the appointor or of his attorney duly authorized in writing or if the appointor is a corporation, either under the corporation's seal or under the hand of an officer or attorney duly authorized. Where a member appoints more than one (1) proxy, the appointment shall be invalid unless he specifies the proportion of his shareholding to be represented by each proxy. STATEMENT ACCOMPANYING THE NOTICE OF ANNUAL GENERAL MEETING 1. Directors who are standing for re-election at the Twenty- Fifth (25th) Annual General Meeting of the Company to be held at Grand BlueWave Hotel, Shah Alam on 27th day of June, 2003 are:- i. Dato' Abd Rahim Bin Mohamad*, attended all the two (2) Board Meetings ii. Tan Sri Dato' Sri Sabbaruddin Chik*** iii. Datin Fadzilah Binti Md Ariff*, attended all the two (2) Board Meetings iv. Dato' Ghazali Bin Mat Ariff*, attended all the two (2) Board Meetings v. Dato' Mohamed Salleh Bin Bajuri**, attended all the five (5) Board Meetings vi. Dato' Kamal Mohamed Hashim Bin Che Din*** * Dato' Abd Rahim Bin Mohamad, Datin Fadzilah Binti Md Ariff and Dato' Ghazali Bin Mat Ariff have only attended all the two (2) Board Meetings held during the financial year ended 31 December 2002 since their appointment to the Board on 18 October 2002. ** Dato' Mohamed Salleh Bin Bajuri has attended all the five (5) Board Meetings held during his tenure in office for the financial year ended 31 December 2002 in view of his appointment was made to the Board on 11 April 2002. *** Tan Sri Dato' Sri Sabbaruddin Chik and Dato' Kamal Mohamed Hashim Bin Che Din has not attended any Board Meeting held during the financial year ended 31 December 2002 in view of their recent appointment to the Board on 20 November 2002 and 7 March 2003 respectively. 2. Further details of the Directors standing for re-election at the twenty-fifth Annual General Meeting and the family relationship with any director and/or substantial shareholder of the Company are on pages 8 to 11 and their shareholdings information are listed in pages 29 to 30 of this Annual Report. FW INDUSTRIES: KLSE Delisting Securities ---------------------------------------- The Kuala Lumpur Stock Exchange (KLSE) has delisted the securities of FW Industries Bhd, the Star Online reports. The Company had failed to make its requisite announcement within the timeframe stipulated and have not been granted any further extension of time. KLSE requested the Company to make representations to the KLSE within 14 days from the receipt of the notice as to why their securities should not be delisted. HOTLINE FURNITURE: Finalizes Circular on Proposed Restructuring --------------------------------------------------------------- Further to the announcements dated 20 September 2002, 13 December 2002, 16 January 2003, 29 April 2003 and 19 May 2003, Public Merchant Bank Berhad PMBB on behalf of the Board of Directors of HOTLINE FURNITURE BERHAD (HFB) announced that the Company had on 27 May 2003 obtained an order from the High Court of Malaya Court granting the Company leave to convene a meeting for its shareholders for the purposes of considering and, if thought fit, approving with or without modification the Proposed Share Exchange pursuant to Section 176 of the Companies Act, 1965 Court Convened Meeting. The Company is required to hold the Court Convened Meeting within 6 months from 27 May 2003. At this juncture, the Company is presently in the midst of finalizing the Explanatory Statement and Circular for the Proposed Restructuring Scheme to be dispatched to the shareholders of HFB. NCK CORP. Transfers Forum Ownership to Benmarl ---------------------------------------------- The Securities Commission (SC) has via its letter of approval dated 15 November 2002 imposed a condition which requires the registered ownership of Forum Condominium be transferred to Benmarl Sdn Bhd Benmarl prior to the issuance of the Information Circular. On behalf of NCK CORPORATION BERHAD (NCK) (Special Administrators Appointed), Alliance Merchant Bank Berhad announced that NCK has, on even-date, received the approval from the SC via its letter dated 27 May 2003, for an exemption to comply with the abovementioned condition subject to NCK or Benmarl providing a written undertaking to the SC that it will, in its best endeavor, ensure the registered ownership of Forum Condominium be transferred to Benmarl within six (6) months from the date of the aforementioned SC's approval letter. PARK MAY: Proposes Disposal of Rangkaian Segar ---------------------------------------------- On behalf of the PARK MAY BERHAD, AmMerchant Bank Berhad announced that the Company is proposing to dispose its entire equity interest of 20 percent in Rangkaian Segar Sdn Bhd Rangkaian Segar comprising 3,334,000 ordinary shares of RM1.00 each Shares for cash Proposed Disposal. Rangkaian Segar is principally involved in the business of establishing an intelligent network for the implementation and operation of an electronic payment system based on the utilization of smartcard technology, and the establishment, management and operation of an institution set up for the purpose of centralizing the accounting, processing and settlement of all financial transactions conducted through the electronic payment system. Rangkaian Segar currently operates two (2) electronic payment systems, Touch'n Go system and SmartTag system. A detailed announcement will be made once the identity of the buyer(s) has been finalized and a formal definitive agreement(s) between PMB and the said buyer(s) is/are executed. PICA CORPORATION: KLSE Suspends Trading --------------------------------------- The Kuala Lumpur Stock Exchange (KLSE) has informed Pica Corporation it has decided to reject the Company's application for extension of time to make the requisite announcement. Due to the above, KLSE has decided to impose a suspension on the trading of the securities of the Company with effect from 9.00 a.m., Thursday, 5 June 2003 until further notice. Meanwhile the Star Online reported that the Kuala Lumpur Stock Exchange (KLSE) has delisted the securities of Pica (M) Corporation Bhd. Pica failed to make its requisite announcement within the timeframe stipulated and have not been granted any further extension of time. KLSE requested the Company to make representations to the KLSE within 14 days from the receipt of the notice as to why their securities should not be delisted. SENG HUP: Winding Up Unit ------------------------- Seng Hup Corporation Berhad (Special Administrators Appointed) announced that Seng Hup Realty Sdn. Bhd. (Seng Hup Realty), a subsidiary Company of Seng Hup, has been placed under creditors' voluntary winding-up pursuant to Section 254 of the Companies Act, 1965 and the shareholders and creditors of Seng Hup Realty had resolved to appoint Mr Tan Kim Leong, JP as the liquidator at the respective meetings held on 28 May 2003. SPORTMA CORP.: Extends Time to Comply With 30% Bumiputera Equity ---------------------------------------------------------------- On behalf of the Special Administrators of SPORTMA CORPORATION BERHAD (Sportma), Affin Merchant Bank Berhad announced that the Ministry of International Trade and Industry, via its letter dated 28 May 2003, has approved the extension of time for Sportma and/or Harn Len Corporation Bhd (which will be assuming the listing status of Sportma) to comply with the 30 percent Bumiputera equity participation before 30 June 2005. TIMBERMASTER INDUSTRIES: SC OK's Restructuring Scheme Proposal -------------------------------------------------------------- On behalf of TIMBERMASTER INDUSTRIES BERHAD (SPECIAL ADMINISTRATORS APPOINTED) (TMIB), Aseambankers Malaysia Berhad Aseambankers announced that the Securities Commission (SC) had, via its letter dated 22 May 2003, which we have received on 23 May 2003, approved the extension of time for the implementation of the Proposed Restructuring Scheme of TMIB up to 2 December 2003. In addition, with reference to the Company's announcement dated 1 November 2002 in relation to the approval of the Ministry of International Trade and Industry MITI on the Proposed Restructuring Scheme, Aseambankers wishes to announce that the MITI had, via its letter dated 13 May 2003, which we have received on 20 May 2003, agreed to cancel the condition for the return of the manufacturing license of Timbermaster Timber Complex (Sabah) Sdn Bhd (Special Administrators Appointed) TMTC to the Malaysian Industrial Development Authority. However, a new license need to be applied by the Company taking over TMTC should TMTC continue its operation and change its name under the new management. TRANS CAPITAL: Creditors OK's Scheme of Arrangement --------------------------------------------------- On 16 May 2003, AmMerchant Bank Berhad, on behalf of Trans Capital Holding Berhad (TCHB), announced that the Proposed Schemes of Arrangement and Compromise under Section 176 of the Companies Act 1965, have been approved by its members and respective Scheme Creditors at the Court convened meetings held on 16 May 2003. In relation thereto, AmMerchant Bank, on behalf of TCHB, wishes to announce that the Penang High Court have fixed 9 June 2003 for the hearing of sanction of the Scheme of Arrangement and Compromise pursuant to Section 176 of the Companies Act, 1965 in respect of TCHB, Trans Capital Sdn Bhd (In Receivership), Trans Capital Electronics Sdn Bhd and Trans Capital Technology Sdn Bhd. ===================== P H I L I P P I N E S ===================== CEBU PRIVATE: ERC Urges to Investigate Power Firm ------------------------------------------------- Governor Pablo P. Garcia on Wednesday called on the Energy Regulatory Commission (ERC) to investigate the independent power producer Cebu Private Power Corporation (CPPC) to avert a possible power crisis in Cebu City, the Business World reports. CPPC has notified the Visayan Electric Co. (Veco) that it will suspend operations to Veco by June 15 due to losses incurred after the government reduced the purchased power cost adjustment (PPA) charge. CPPC's closure will take away take away 62 megawatts of Veco's reserve supply and possibly lead to a critical electricity supply situation for a large part of Cebu's eastern coast, including the industrialized cities of Cebu, Mandaue and Lapu- Lapu, according to Veco Public Relations Assistant Ethel T. Natera. Without CPPC Veco's reserve power supply will decrease to 20 MW. She described this as "very critical." CPPC operates a 70-MW bunker C-fired power plant in Cebu City. It services around 245,000 residential and commercial/industrial customers in Metro Cebu and some neighboring towns. MANILA ELECTRIC: Likely to Submit Projected Cash Flow to ERC ------------------------------------------------------------ The Manila Electric Co. (Meralco) will soon submit to the Energy Regulatory Commission (ERC) its projected cash flow for the next 12 months, the Philippine Star said Thursday, citing Meralco President Jesus Francisco. The Company will then submit its proposal for the next phase of the refund order by the Supreme Court after the submission of the one-year cash flow. Francisco said Meralco could only spend 3 billion pesos a year for the refund. The Company expects to spend another 2.8 billion pesos for the proposed phase II refund scheme, which will cover customers consuming 101 to 200 kilowatthour (kWh). The refund for residential customers who consume about 50 kWh to 400 kWh would be done in three to four phases. Those consuming higher than 400 kWh of electricity are considered commercial/industrial customers. Last November 2002, the Supreme Court ordered Meralco to refund to its 3.8 million customers the 16.7 centavos per kWh overcharges imposed by the company for a period of nine years or from 1994 to 2003. SPEED CREDIT: SEC Shutters Pseudo-investment Firm ------------------------------------------------- The Securities and Exchange Commission (SEC) has closed pseudo- investment firm Speed Credit and Collection Agency for using a ponzi scheme in attracting investments for the public, the Business World reports. The SEC estimated that Speed Credit had already collected millions from investors. Under the scheme, investors are promised high returns on their contributions, which will be paid not from legitimate investments but from the contribution of subsequent investors. The Department of Justice has already filed cases against the officers of the firm for estafa as well as violations of the Securities Regulation Code. The names of the officers were not mentioned in the report. The SEC has already filed a petition for a cease and desist order on the business as well as a hold departure order for its officers. VICTORIAS MILLING: May Need Extra P280M For Capex ------------------------------------------------- Victorias Milling Corporation (VMC) may need to spend an additional 280 million pesos in capital expenditure (capex) this year to re-balance its sugar refining and milling capacity, AFX Asia reported Thursday, citing VMC Chairman Omar Mier. Victorias recently hired a foreign consultant, Sutech of Thailand, to map out the best capital expenditure program. Mier said the capacity re-balancing might require a cash injection on top of the 300 million recently raised by the Company under a loan deal with Tanduay Holdings Inc. Victorias would have to raise the extra funds if Sutech advises it to do so. Under the loan agreement with Victorias, Tanduay committed a five-year, 300 million peso loan with an interest rate of 1.5 pct per annum. The loan is convertible into a 16 percent stake on the third year and will entitle Tanduay to a seat on the Victorias board. ================= S I N G A P O R E ================= C.K. TANG: Appoints Additional Member to Nominating Committee ------------------------------------------------------------- The Board of Directors of C.K. Tang Limited announced that Mr. John Lim Kok Min, an independent director, has been appointed a member of the Nominating Committee with effect from 28 May 2003. Following his appointment, the Nominating Committee will comprise the following members: 1. Mr Quek Peck Lim (Chairman) 2. Mr Cecil Vivian Richard Wong 3. Mr Tang Wee Sung 4. Mr John Lim Kok Min CK Tang widened its net loss to $10.1 million in 2002 versus a loss of $7.4 million in the same period a year earlier, the Troubled Company Reporter-Asia Pacific reported. The Company cited weak consumer sentiment as a result of global uncertainties. The group's total net losses for the past nine-and-a-half financial years reached $155 million. The group said while consumer sentiment will remain weak and the impending GST increase will further dampen spending, it is encouraged by its cost-cutting and margin-improvement measures. The retailer does not expect to be profitable for the next reporting period. NATSTEEL LTD: Adjourns AGM to June 4 ------------------------------------ The Extraordinary General Meeting of NatSteel (EGM) held on Thursday has been adjourned to Wednesday, 4 June 2003 at 2.00 p.m. at Level 4, Conference Room, 22 Tanjong Kling Road, Singapore 628048. Shareholders attending the EGM unanimously approved the adjournment. At the EGM, 98 Holdings Pte Ltd. 98 Holdings proposed an amendment to Resolution 4 stated in the Notice of the EGM dated 2 May 2003, to the effect that the implementation of the Scrip Dividend Scheme by the Company would be subject to the passing of a whitewash resolution. The representative of 98 Holdings in proposing the amendment noted that it recognizes Sanion Enterprises Limited's Sanion concerns that it may not be able to take advantage of the Scrip Dividend Scheme because of its 29.99 percent shareholding in NatSteel. The proposed amendment would accommodate Sanion's concerns in this respect. In deliberating on the proposed amendment, the representative of Sanion noted that Sanion had not been given sufficient time to consider the proposed amendment. Accordingly the Board, taking into account the concerns raised by Sanion and other shareholders, proposed that the EGM be adjourned for one week in order to allow Sanion to consider its position. The minority shareholders welcomed the adjournment. Proxy forms submitted for the EGM will be valid for the adjourned meeting. However, shareholders who wish to appoint new proxies should complete new proxy forms and deliver them to the Company no later than 2.00 p.m. on Monday, 2 June 2003. Proxy forms are available from the Company and its share registrar, Macronet Information Pte Ltd, 4 Shenton Way #03-01, SGX Centre 2, Singapore 068807 during normal business hours. For the convenience of shareholders, the Company will arrange for a bus to pick up all shareholders attending the adjourned meeting from Jurong East MRT Station (outside Popular Book Store) on Wednesday, 4 June 2003. The bus will leave for NatSteel at 1.10 p.m. sharp on that day. WEE POH: Unit Enters Winding-up Petition ---------------------------------------- On May 28, 2003, WP CONC-PACT PTE LTD (WCP), a subsidiary of WEE POH HOLDINGS LIMITED, been served with a winding-up petition by Indocement Singapore Pte Ltd ISPL on grounds of WCP's inability to pay its debts as and when it falls due amounting to approximately S$242,534, inclusive of interests and costs. The Court hearing for the petition has been fixed at 10 a.m. on 27 June 2003. On the date set for the hearing of the aforesaid petition, the Court will decide whether or not to grant the petition or to dismiss it. If the Court grants the petition, an order for the winding-up of WCP will be made which shall be deemed to have commenced on the date of presentation of the petition and an Official Receiver shall be appointed as the liquidator of WCP for the purpose. The Company will continue to update Shareholders on any further developments on matters relating to the recapitalization plan. =============== T H A I L A N D =============== SIAM STEEL: CPA Discloses Foreign Currency Liabilities ------------------------------------------------------ Certifified Public Accountant Winid Silamongkol announced that Siam Steel International Public Company Limited has foreign currency loans outstanding as of March 31, 2003 totaling approximately U.S.$ 17.24 million. Under the rehabilitation plan, which was approved by the Central Court of Bankruptcy on May 11, 2000 with amendments on December 13, 2000 and May 26, 2002, the foreign currency loans have been splitted into three tiers. Presently, the loan balances consist of Tier 1 U.S.$ 10.36 million, Tier 2 U.S.$ 6.88 million, and Tier 3 U.S.$ 14.52 million. The Tier 3 loans were converted into Baht on the plan approval date of approximately Baht 1,271 million, which have already been converted into authorized and paid-up share capital. On July 3, 2001, the Company partially converted its Tier 3 loans amounting to approximately Baht 722 million into authorized and paid-up share capital. In addition, on October 9, 2002, the Company converted its remaining Tier 3 loans amounting to approximately Baht 549 million into authorized and paid-up share capital. During the three-month period ended March 31, 2003, the Company had partially paid Tier 1 and Tier 2 foreign currency loans totaling approximately U.S.$ 0.62 million. The outstanding foreign currency loans as of March 31, 2003 are totaling approximately U.S.$ 17.24 million. 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, Mavy Nineza-Merlin, Ma. Cristina Pernites-Lao, Editors. Copyright 2003. All rights reserved. ISSN: 1520-9482. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The TCR -- Asia Pacific subscription rate is $575 for 6 months delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. 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