/raid1/www/Hosts/bankrupt/TCRAP_Public/030725.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, July 25 2003, Vol. 6, No. 146

                         Headlines

A U S T R A L I A

ADVANCED ENGINE: 2002 Annual Report Distribution Finalized
SOUTHCORP LIMITED: Cancels Executive Share, Option Plan
SOUTHCORP LIMITED: Investor Relations GM Robert Porter Resigns
SOUTHCORP LIMITED: Likely to Face US$260M in Writedowns
UNITEDNETWORKS LTD: S&P Withdraws 'BBB+/A-2' Ratings

TUART RESOURCES: Removed From External Administration
WESTERN METALS: McEvoy, Longley of PwC Appointed as Receivers


C H I N A   &   H O N G  K O N G

BRILLIANT FAIR: Winding Up Hearing Scheduled in August
CULTURECOM HOLDINGS: Cuts Q103 Net Loss to HK$149.362M
INKSANE LIMITED: Winding Up Petition Pending
LOTUS ENGINEERING: Winding Up Sought by Ray Cheer
ORIENT RESOURCES: Operations Loss Widens to HK$25.379M

SKYNET INTERNATIONAL: Seeks Circular Dispatch Extension
SMS DATA: Winding Up Petition Slated for Hearing
WING WOO: Petition to Wind Up Pending


I N D O N E S I A

TRI POLYTA: Court Rejects Bankruptcy Petition by US Bondholder


J A P A N

HITACHI LIMITED: May Post April-June Group Net Loss
JAPAN AIRLINES: Resumes Most International Flights
SEGA CORPORATION: New President Sets Out Plans For Expansion


K O R E A

HYNIX SEMICON: Shares Dive 5.8% After U.S. Proposes Tariffs
HYNIX SEMICONDUCTOR: ITC Ruling Won't Affect Overall Business
HYUNDAI CORPORATION: Set to Separate From SK Group
HYUNDAI CORPORATION: Shareholders OK Capital Reduction Scheme
HYUNDAI MOTOR: Union Rejects Latest Wage Hike Offer

KOOKMIN BANK: Credit Card Problems Peaked in Second Quarter
KOOKMIN BANK: Shutting Down Branches, Cutting Salaries
SK CORPORATION: Capacity Utilization Rate Down Again
SK GLOBAL AMERICA: Issues Case Summary, 18 Unsecured Creditors
GK GLOBAL: Likely to Enter Bankruptcy


M A L A Y S I A

ARUS MURNI: Vendors Grant Proposed Acquisition Time Extension
CHASE PERDANA: Shares Trading to Resume Monday
DMIB BERHAD: Proposed Reorganization Scheme Resolutions Approved
HIAP AIK: Issues Litigation Hearing Status Update
KEMAYAN CORP.: SC Grants Proposed Restructuring Scheme Approval

KUALA LUMPUR: Proposals, Book Closure Notice Dispatched
MALAYSIA INT'L: S&P Cuts Currency Rating to BBB+; Off Watch Neg
L&M CORP.: Appoints Messrs Horwath as Investigative Audit Firm
LONG HUAT: SC Approves Proposed Restructuring Scheme
LONG HUAT: Winding Up Petition Hearing Adjourned to Dec 10

MTD CAPITAL: Disposes of Quoted Shares
RENONG BERHAD: SC Conditionally Approves Proposed SOA
ROAD BUILDER: Clarifies Sri Lanka Project Media Report
SITT TATT: Court Orders MISL to File Disclosure Affidavit
SOUTHERN STEEL: Appoints Oo Soon Hee as Alternate Director

SPORTMA CORP.: Proposals Warrants Admitted to Official List
UCP RESOURCES: SC OKs Proposed Corp, Debt Restructuring Scheme
WOO HING: Creditors' Voluntarily Liquidates Subsidiaries


P H I L I P P I N E S

MANILA ELECTRIC: Clarifies Loan Payment Report
MANILA ELECTRIC: ERC Orders to Improve Refund Scheme
PERMANENT SAVINGS: PDIC Issues Check Payment Notice to Creditors
RURAL BANK OF TALISAY: PDIC Issues Liquidation Notice
TIBAYAN GROUP: Prevented From Unloading Shares


S I N G A P O R E

NEPTUNE ORIENT: Finalizes AET Deal With MISC


T H A I L A N D

GENERAL ENGINEERING: Decreases Registered, Paid-up Capital
QUALITY HOUSES: TRIS Assigns "BBB" Ratings to Debentures
SIAM UNITED: Discloses Shares Offering Results
THAI PETROCHEMICAL: Aromatics (Thailand) Merger Likely

* DebtTraders Real-Time Bond Pricing

     -  -  -  -  -  -  -  -

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


ADVANCED ENGINE: 2002 Annual Report Distribution Finalized
----------------------------------------------------------
Advanced Engine Components Limited advised that further to the
Target Statement filing in response to the takeover bid by 698
Capital International Limited, it has finalized distribution of
its 2002 Annual Report to shareholders.

Shareholders of Advanced Engine Components Limited can expect to
receive in the one package:

   * the Bidders Statement from 698 Capital International
Limited
   * Acceptance and Transfer form should shareholders wish to
take up the offer
   * Target Statement from the Board of Directors, and
2002 Annual Report.

To see a copy of the Bidders Statement and Target Statement, go
to http://bankrupt.com/misc/TCRAP_ACEBidders.pdfand
http://bankrupt.com/misc/TCRAP_ACETarget.pdf,respectively.


SOUTHCORP LIMITED: Cancels Executive Share, Option Plan
-------------------------------------------------------
Southcorp Limited advised that due to cessation of employment of
a participant in the Company, the number of options acquire
additional fully paid ordinary shares in the capital of the
Company set out below have been cancelled, in the accordance
with the rules of the Plan, as follows:

    Date Options     Exercise   Date Options  No Options
      Granted          Price      Cancelled    Cancelled

16 September 2002     $5.42    30 June 2003   10,000


SOUTHCORP LIMITED: Investor Relations GM Robert Porter Resigns
--------------------------------------------------------------
Southcorp Limited announced that its Executive General Manager,
Investor Relations and Corporate Affairs, Dr. Robert Porter, had
tendered his resignation from the Company.

Dr. Porter, who joined Southcorp in June 2002, has expressed a
desire to return, with his family, to live in Melbourne and has
advised the company that he intends to take a position
with Fosters Limited.

A search for a replacement for Dr. Porter will be initiated
immediately.


SOUTHCORP LIMITED: Likely to Face US$260M in Writedowns
-------------------------------------------------------
Southcorp Ltd is believed to be facing writedowns worth up to
A$400 million (US$260 million) in its accounts for 2002/03, Asia
Pulse reports.

Southcorp reported in January with a profit warning and then the
next month revealed a disastrous 97 percent slide in first half
net profit to $5.7 million.

The troubled winemaker's board forced Chief Executive Keith
Lambert to resign, so he could be replaced by John Ballard, who
warned in May that the group would suffer the $12.8 million loss
this year.


UNITEDNETWORKS LTD: S&P Withdraws 'BBB+/A-2' Ratings
----------------------------------------------------
Standard & Poor's Ratings Services said Thursday that it has
withdrawn its 'BBB+/A-2' ratings on UnitedNetworks Ltd., at the
request of the company, following  UnitedNetworks' amalgamation
with its parent, Vector Ltd. (BBB+/Stable/A-2), on July 1, 2003.

The NZ$300 million commercial paper program and the guaranteed
bonds (totaling NZ$200 million and A$463.75 million) issued by
UnitedNetworks have been assigned to Vector, and continue to
have a short-term rating of 'A-2' and a long-term rating of
'AAA', respectively. The A$463.75 million guaranteed bonds were
issued under UnitedNetworks' A$1 billion debt program, which was
also assigned to Vector. The outstanding amount of
UnitedNetworks' NZ$500 million bank loan program was repaid and
the program was cancelled.

The ratings on Vector reflect the creditworthiness of the
amalgamated entity. Vector is a major electricity utility in New
Zealand, with a monopoly position in electricity and gas
distribution services.


TUART RESOURCES: Removed From External Administration
-----------------------------------------------------
Extract Resources Limited (formerly Tuart Resources Limited)
notifies that the Deed of Company Arrangement has been wholly
effectuated, therefore removing the Company from external
administration.

Below is a notification copy to the ASIC:

I, Giovanni Maurizio Carello of Level 7, BGC Center, 28 The
Esplanade Perth, as Administrator of the Deed of Company
Arrangement executed on March 14, 2003 certify that the terms of
the Deed have been wholly effectuated.


WESTERN METALS: McEvoy, Longley of PwC Appointed as Receivers
-------------------------------------------------------------
Western Metals Limited , one of Australia's largest base metals
producers, is now the latest victim of depressed base metal
prices and substantial adverse currency exchange movements.

After discussions with major creditors, Western Metals Limited
announced last Friday that additional capital support could not
be relied upon and voluntary administrators were appointed.
However on Tuesday 22 July 2003 the secured creditors moved to
appoint restructuring experts David McEvoy and Stephen Longley
of PricewaterhouseCoopers as Receivers and Managers to manage
the orderly realization process.

Mining zinc and lead at Lennard Shelf in the Kimberly region of
Western Australia; copper at Mount Gordon, north of Mount Isa in
Queensland; a lateritic nickel resource in the Eastern
Goldfields of Western Australia; and a tailings recovery
prospect at Hellyer in northern Tasmania - Western Metals has
over 390 employees and more than 310 contractors.

Mr McEvoy recently conducted the Centaur receivership, which
involved the management of Centaur's Mt Pleasant gold mine and
Cawse nickel mine. Both operations were sold as going concerns,
preserving the majority of jobs and mitigating the potential
impact on families, suppliers and customers.

"PricewaterhouseCoopers' appointment to Western Metals reflects
the firm's experience in the management and sale of distressed
mining assets," Mr McEvoy said.

"Western Metals' difficulties are a product of depressed base
metal commodity prices, particularly for zinc, and an
appreciating Australian dollar. This has made it impossible for
the company to service and amortize its heavy debt burden," Mr
McEvoy said.

"PwC's strategy is to work with the company's senior management
team in order to facilitate the continuation of operations while
offers are sought for the businesses as going concerns.
In this regard it is imperative we get the support of employees,
suppliers and customers - as the businesses are fundamentally
efficient and competitive.

"Concurrently, we will canvass parties who have expressed an
interest in looking at restructuring opportunities for the
companies.

"Notwithstanding the challenging market conditions which
currently prevail, the Western Metal operations are quality
assets, with strategic significance to several competitors.
Accordingly we are confident that with the continuing support of
staff a going concern sale can be achieved, thus preserving
jobs, not to mention the flow on affect for suppliers," Mr
McEvoy said.

CONTACT INFORMATION: Andrew Head
        PricewaterhouseCoopers
        Telephone: (02) 8266 2111
        Mobile: 0411 268 001
        Email: andrew.head@au.pwc.com


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


BRILLIANT FAIR: Winding Up Hearing Scheduled in August
------------------------------------------------------
The High Court of Hong Kong will hear on August 13, 2003 at
10:00 in the morning the petition seeking the winding up of
Brilliant Fair Investment Limited.

Chan Wai Sum of Room 901, Lok Sam House, Lung Hang Estate,
Shatin, New Territories, Hong Kong filed the petition on June
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.


CULTURECOM HOLDINGS: Cuts Q103 Net Loss to HK$149.362M
------------------------------------------------------
Culturecom Holdings Limited posted this result announcement
summary:

Year end date: 31/03/2003
Currency: HKD
Auditors' Report: Unqualified
                                                 (Audited)
                              (Audited)          Last
                              Current            Corresponding
                              Period             Period
                              from 01/04/2002    from 01/04/2001
                              to 31/03/2003      to 31/03/2002
                              Note  ('000)       ('000)
Turnover                         : 59,138             64,338
Profit/(Loss) from Operations    : (107,504)          (193,048)
Finance cost                     : (16)               (3)
Share of Profit/(Loss) of
  Associates                     : (8,518)            (6,271)
Share of Profit/(Loss) of
  Jointly Controlled Entities    : (2,607)            N/A
Profit/(Loss) after Tax & MI     : (149,362)          (195,563)
% Change over Last Period        : N/A       %
EPS/(LPS)-Basic (in dollars)     : (0.0499)           (0.0718)
         -Diluted (in dollars)   : (0.0499)           (0.0718)
Extraordinary (ETD) Gain/(Loss)  : N/A                N/A
Profit/(Loss) after ETD Items    : (149,362)          (195,563)
Final Dividend                   : Nil                Nil
  per Share
(Specify if with other           : N/A                N/A
  options)
B/C Dates for
  Final Dividend                 : N/A
Payable Date                     : N/A
B/C Dates for Annual
  General Meeting                : 18/08/2003         to
22/08/2003bdi.
Other Distribution for           : N/A
  Current Period
B/C Dates for Other
  Distribution                   : N/A

Remarks:

1.   ADOPTION OF STATEMENTS OF STANDARD ACCOUNTING PRACTICE

In the current year, the Group has adopted, for the first time,
a number of new and revised Statements of Standard Accounting
Practice (SSAP(s)) issued by the Hong Kong Society of
Accountants.  The adoption of these SSAPs has resulted in a
change in the format of presentation of the cash flow statement
and inclusion of the statement of changes in equity, but
has had no material effect on the results for the current or
prior accounting periods.  Accordingly, no prior period
adjustment has been required.   The recently issued SSAPs are
disclosed as below.

   SSAP 1(revised)     : Presentation of financial statements
   SSAP 11(revised)    : Foreign currency translation
   SSA P 15 (revised)  : Cash flow statements
   SSAP34              : Employees benefits

2.  TAXATION CREDIT

No provision for Hong Kong Profits Tax has been made in the
financial statements as the Group had no estimated assessable
profit for the year.  The Group has no estimated assessable
profits in other jurisdiction for the year.

The taxation credit represents the overprovision of Hong Kong
Profits Tax in previous years.

3. LOSS PER SHARE

The calculation of the basic loss per share for the year is
based on the net loss for the year of HK$149,362,000 (2002:
HK$195,563,000) and the weighted average number of 2,993,968,000
(2002: 2,722,172,000) ordinary shares in issue during the year.

The computation of diluted loss per share does not assume the
exercise of the exercise of the potential shares since their
exercise would result in a reduction in loss per share.


INKSANE LIMITED: Winding Up Petition Pending
--------------------------------------------
Inksane Limited is facing a winding up petition, which is slated
to be heard before the High Court of Hong Kong on August 20,
2003 at 9:30 in the morning.

The petition was filed on July 2, 2003 by [REDACTED] of Room
528, Kai Him Lau, Cho Yiu Chuen, Kwai Chung, New Territories,
Hong Kong.

     *** Petitioner's name redacted on May 19, 2008

LOTUS ENGINEERING: Winding Up Sought by Ray Cheer
-------------------------------------------------
Ray Cheer Investments Limited is seeking the winding up of Lotus
Engineering (Holdings) Limited. The petition was filed on June
6, 2003, and will be heard before the High Court of Hong Kong on
August 6, 2003 at 9:30 in the morning.

Ray Cheer holds its registered office at 29th Floor, Wing On
Centre, 111 Connaught Road Central, Hong Kong.


ORIENT RESOURCES: Operations Loss Widens to HK$25.379M
------------------------------------------------------
Orient Resources Group Company Limited released its financial
announcement summary for the year ended date March 31, 2003:

Currency: HKD
Auditors' Report: Unqualified
                                                 (Audited)
                              (Audited)          Last
                              Current            Corresponding
                              Period             Period
                              from 1/4/2002      from 1/4/2001
                              to 31/3/2003       to 31/3/2002
                              Note  ('000)       ('000)
Turnover                           : 27,424             151,537
Profit/(Loss) from Operations      : (25,379)           (21,432)
Finance cost                       : (649)              (2,762)
Share of Profit/(Loss) of
  Associates                       : (10,527)           (1,252)
Share of Profit/(Loss) of
  Jointly Controlled Entities      : N/A                N/A
Profit/(Loss) after Tax & MI       : (35,438)           (25,694)
% Change over Last Period          : N/A       %
EPS/(LPS)-Basic (in dollars)       : (0.0369)           (0.0281)
         -Diluted (in dollars)     : N/A                N/A
Extraordinary (ETD) Gain/(Loss)    : N/A                N/A
Profit/(Loss) after ETD Items      : (35,438)           (25,694)
Final Dividend                     : NIL                NIL
  per Share
(Specify if with other             : N/A                N/A
  options)
B/C Dates for
  Final Dividend                   : N/A
Payable Date                       : N/A
B/C Dates for Annual
  General Meeting                  : 18/8/2003          to
22/8/2003 bdi.
Other Distribution for             : N/A
  Current Period
B/C Dates for Other
  Distribution                     : N/A


SKYNET INTERNATIONAL: Seeks Circular Dispatch Extension
-------------------------------------------------------
Reference is made to the joint announcement dated 6 May 2003
(the Announcement) issued by Skynet (International Group)
Holdings Limited (the Company) and Monetary Success Investments
Limited.  Reference is also made to the joint announcements
dated 27 May 2003, 9 June 2003 and 30 June 2003 issued by the
Company and Monetary Success Investments Limited in respect of
delay in dispatch of the circular to be issued jointly by the
Company and Monetary Success Investments Limited in relation to
the Proposal (the Circular).

WAIVER TO EXTEND THE DATE OF DISPATCH OF THE CIRCULAR

The joint announcement dated 9 June 2003 made by the Company and
Monetary Success Investments Limited in respect of, among
others, delay in dispatch of the Circular, sets out an expected
timetable regarding the hearing of summons in chambers before
the Court, the dispatch of the Circular, the Court Meeting and
the Special General Meeting. As disclosed in the joint
announcement dated 30 June 2003 made by the Company and Monetary
Success Investments Limited, the Company has applied to the
Stock Exchange for a waiver from strict compliance with Rule
14.13(2) of the Listing Rules to dispatch the Circular.

The Stock Exchange has granted a waiver from strict compliance
with Rule 14.13(2) of the Listing Rules and granted an extension
of the deadline for the dispatch of the Circular to be on or
before 21 July 2003. Since the Company is in the process of
finalizing the information as required under the Listing Rules,
the Circular cannot be dispatched in time on or before 21 July
2003.

Unless Newco obtains the approval of listing from the Listing
Committee, the date of the directions hearing in respect
of the Scheme before the Court cannot be determined and the
Circular will not be able to be dispatched no later than the
seventh day after the directions hearing in respect of the
Scheme before the Court. In light of the foregoing, the
timetable in respect of the above events cannot be determined as
at the date hereof. Further announcement will be made by the
Company when the timetable in respect of the above
events can be ascertained.

The Company has applied to the Stock Exchange for a waiver from
strict compliance with Rule 14.13(2) of the Listing Rules to
dispatch the Circular on or before 11 August 2003.


SMS DATA: Winding Up Petition Slated for Hearing
------------------------------------------------
The petition to wind up SMS Data Systems Limited is scheduled to
be heard before the High Court of Hong Kong on August 20, 2003
at 10:00 in the morning.

The petition was filed with the court on July 4, 2003 by Mak Pui
Lun Perry of Block E, 8/F., Carlton Mansion, 210 Argyle Street,
Kowloon, Hong Kong.


WING WOO: Petition to Wind Up Pending
-------------------------------------
The petition to wind up Wing Woo Printing Company Limited is set
for hearing before the High Court of Hong Kong on August 13,
2003 at 9:30 in the morning.

The petition was filed with the court on June 20, 2003 by Leung
Ho Ming of Room 2402, Hing Fuk House, Kwai Hing Estate, New
Territories, Hong Kong.


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


TRI POLYTA: Court Rejects Bankruptcy Petition by US Bondholder
--------------------------------------------------------------
An Indonesian commercial court dismissed a bankruptcy petition,
filed by a bondholder based in the U.S. against PT Tri Polyta,
due to a technical issue, DebtTraders reports.

The judge pointed out that the petitioner's lawyer does not have
the legal power to represent the bondholder, which plans to
appeal to the Supreme Court.

Tri Polyta, has stopped servicing the interest payment of the
11.35% Bond due '03 in June 1998, which was later accelerated on
July 26, 2001. There has been no agreement on the debt-
restructuring plan yet although Tri Polyta has come up with two
proposals.

In July 2000, the Company proposed to restructure the principal
amount of $185 million and to convert the unpaid accrued
interest into equity. In October 2002, the Company requested
bondholders to write off 77% of debt.


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


HITACHI LIMITED: May Post April-June Group Net Loss
---------------------------------------------------
Electronics giant Hitachi Limited may post a group net loss in
the April-June quarter, hit by weak corporate spending, the
Nihon Keizai newspaper and Reuters reported Thursday. Slow sales
of its liquid crystal displays also took a toll on its earnings.
The group swung into the black and posted a group net profit of
27.8 billion yen in the year that ended in March after reporting
a 483.8 billion yen group net loss the previous year.

The Company aims to slash work force at its loss-making home
electronics unit by 400, or about 10 percent of the total,
through voluntary retirement by the end of this year. Hitachi
Home & Life Solutions, which mainly produces air conditioners
and refrigerators, will consolidate domestic plants and expand
overseas production in its latest restructuring measures.


JAPAN AIRLINES: Resumes Most International Flights
--------------------------------------------------
Japan Airlines Co. (JAL), Japan Air System Co. (JAS) will resume
most of their suspended operations as demand is picking up now
that the outbreak of severe acute respiratory syndrome has been
put under control and following an end to the war in Iraq,
according to Kyodo News.

Earlier this month, Standard & Poor's Ratings Services affirmed
its 'BB' ratings on Japan Airlines System Corp. (JALS) and Japan
Airlines Co. Ltd. (JAL). The ratings were removed from
CreditWatch, where they were placed on March 19, 2003, amid
concerns over the earnings impact from the war in Iraq and the
outbreak of severe acute respiratory syndrome (SARS). The
outlooks on the ratings are negative.


SEGA CORPORATION: New President Sets Out Plans For Expansion
------------------------------------------------------------
At a strategy conference held on July 23 in Tokyo, new Sega
Corporation President Hisao Oguchi announced ambitious plans to
more than double the amount of console software they sell within
the next five years, Games.net reports. As part of this
initiative, Oguchi will restructure Sega's nine development
studios into five, while creating two new game-making teams, in
an effort to create products more capable of appealing to a
large audience.

Under Oguchi's plan, Sonic Team and United Game Artists (makers
of Space Channel 5 and Rez) will merge and form a Company whose
aim is games for casual users. Hitmaker and Sega Rosso will come
together to create "new forms of gaming", Wow Entertainment and
Overworks will merge into a single Company making games that are
"the standard of the next generation", and Amusement Vision and
Smilebit will form an outfit concentrating on movie-like
productions. Sega-AM2 will stay as is, concentrating on fighters
and other hardcore-gamer favorites. In addition to this, Virtua
Fighter designer Yu Suzuki will form a new development team, and
team members from Smilebit and Amusement Vision will create a
brand new sports-game studio.

According to Oguchi, the restructuring is part of a move to make
Sega's games appeal to a broader audience. As part of Sega's new
theme (termed "The Excitement Company" by Oguchi), the Japanese
publisher will also explore new paths for its arcade business,
which is its biggest moneymaker but also a declining marketplace
in Japan. Among these paths: a new entertainment complex for
adults who wouldn't normally visit arcades, although Sega
declined to release any details on this project.

According to the Company's financial documents, Sega expects to
sell 9.25 million units of software worldwide during the 2004
fiscal year. Oguchi also plans to be ready with several launch
titles for the next generation of consoles from Sony, Microsoft
and so on.

Struggling videogame-maker Sega Corporation posted a net profit
of 3.05 billion yen for the year ending in March 31, after five
years of straight losses, helped by solid results in its game
arcade business, TCR-AP reported recently. After pulling the
plug on its loss-making Dreamcast game console business in 2001,
Sega shifted its focus to software development in consumer games
but has so far failed to attract a wide range of global
consumers due to stiff competition.


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


HYNIX SEMICON: Shares Dive 5.8% After U.S. Proposes Tariffs
-----------------------------------------------------------
Shares of Hynix Semiconductor Inc. fell as much as 5.8 percent
after a U.S. International Trade Commission (ITC) proposed
tariffs of as much as 45 percent on its exports to protect
American competitors, Bloomberg said on Friday. Hynix tumbled by
as much as 490 won to 8,000 as the ITC in Washington determined
that loans and guarantees to Hynix from lenders backed by the
South Korean government amounted to illegal subsidies.


HYNIX SEMICONDUCTOR: Computer Chip Imports Hurt U.S., Says ITC
--------------------------------------------------------------
The United States International Trade Commission (ITC) on July
23 determined that a U.S. industry is materially injured or
threatened with material injury by reason of imports of DRAMs
and DRAM Modules from Korea that the U.S. Department of Commerce
has determined are subsidized.

Chairman Deanna Tanner Okun, Vice Chairman Jennifer A. Hillman,
and Commissioner Stephen Koplan voted in the affirmative.
Commissioner Marcia E. Miller did not participate in this
investigation.

As a result of the Commission's affirmative determination, the
U.S. Department of Commerce will issue a countervailing duty
order on imports of DRAMs and DRAM Modules from Korea.

The Commission's public report DRAMs and DRAM Modules from Korea
(Investigation No. 701-TA-431 (Final), USITC Publication 3617,
August 2003) will contain the views of the Commission and
information developed during the investigation.

Copies may be obtained after August 25, 2003, by calling 202-
205-1809 or from the Office of the Secretary, 500 E Street SW,
Washington, DC 20436. Requests may also be made by fax to 202-
205-2104.

PRODUCT DESCRIPTION:

The imported products subject to this investigation are dynamic
random access memory semiconductors (DRAMs) of various types
from Korea, whether assembled or unassembled. Assembled DRAMs
include all package types. Unassembled DRAMs include processed
wafers, uncut die, and cut die. Also included are memory modules
containing DRAMs from Korea. A memory module is a collection of
DRAMs, the sole function of which is memory. Memory modules
include single in-line processing modules (SIPs), single in-line
memory modules (SIMMs), dual in-line memory modules (DIMMs),
small outline dual in- line memory modules (SODIMMs), Rambus in-
line memory modules (RIMMs), and memory cards or other
collections of DRAMs, whether unmounted or mounted on a circuit
board. Also included are viao random access memory (VRAM), and
synchronous graphics RAM (SGRAM), as well as various types of
DRAMs, including fast page-mode (FPM), extended data-out (EDO),
burst extended data-out (BEDO), synchronous dynamic RAM (SDRAM),
Rambus DRAM (RDRAM), and Double Data Rate DRAM (DDR DRAM). DRAMs
and DRAM modules are used as the main memory in a variety of
electronics products including computers and computer
peripherals, telecommunications equipment, networking equipment,
and consumer electronics devices. By far, the largest end use
for DRAMs and DRAM modules is computer equipment.

STATUS OF PROCEEDINGS:

1.   Type of investigation: Final countervailing.
2.   Petitioner: Micron Technology, Inc., Boise, ID.
3.   Investigation instituted by the USITC: November 1, 2002.
4.   Hearing: June 24, 2003.
5.   USITC vote: July 23, 2003.
6.   USITC determination to the U.S. Department of Commerce:
August 4, 2003.

U.S. Industry:

1.   Number of producers in 2002: 6.
2.   Location of producers' plants: Manassas, VA; Eugene, OR;
Sandston, VA; Fountain Valley, CA; Boise, ID; Austin, TX.
3.   Employment of production and related workers in 2002:  (1)
4.   Apparent U.S. consumption in 2002: $4.6 billion
5.   Ratio of the value of total U.S. shipments of foreign DRAM
products to total U.S. consumption in 2002: 72 percent.

U.S. Imports:

1.   From the subject country during 2002:  (1)
2.   From other countries during 2002:  (1)
3.   Leading source during 2002:  Korea.

For a copy of the disclosure, visit
http://www.usitc.gov/er/nl2003/er0723aa1.htm


HYNIX SEMICONDUCTOR: ITC Ruling Won't Affect Overall Business
-------------------------------------------------------------
An unnamed official of Hynix Semiconductor on July 24 stated
"Hynix is very disappointed by the International Trade
Commission's affirmative injury determination in the DRAMs
case." He cautioned, however, that it was difficult to offer
much comment on the ITC's determination because the ITC's
written rationale was not yet available. "We just learned the
outcome on Friday, not the reasons why."

According to the official, Hynix will receive the ITC's written
rationale in a couple of weeks, and then Hynix will review its
options. Two options are possible: (1) appealing the ITC's
decision to the Court of International Trade, and/or (2) having
the Government of Korea appeal the decision to the WTO. Both
options could be pursued at the same time.

The official also said that Friday's determination, although
disappointing, would not bring any significant changes in
Hynix's DRAM production and business operation. He said that
Hynix has prepared a thorough plan in advance to minimize the
impact of any unfavorable ITC determination. For example, "Hynix
will increase the production of DRAMs in its Eugene, Oregon fab,
which is not subject to the CVD duty imposition, to continue to
provide quality DRAMs to its U.S. customers." "Therefore, our
existing customers in the U.S. will not be affected at all by
today's decision," the official emphasized.

For a copy of the press release, go to
http://www.hynix.com/eng/index.html


HYUNDAI CORPORATION: Set to Separate From SK Group
--------------------------------------------------
Hyundai Corporation is set to completely separate itself from
Hyundai Group soon, according to Digital Chosun. In a special
shareholders meeting on July 23 the firm decided to reduce the
nine shares of the firm into one, thereby cutting back the
stakes held by shareholders to nil.

Share stakes are to be gradually phased out, including the 6.23
percent stake in the firm held by Hyundai Merchant Marine, 2.9
percent by Hyundai Motor, 2.9 percent by Hyundai Heavy
Industries, and 1.22 percent by Chung Mong-hun, the group's
former chairperson. The firm said that with the existing major
shareholders removed, the firm would be independent from the
group or the Chung family members.


HYUNDAI CORPORATION: Shareholders OK Capital Reduction Scheme
-------------------------------------------------------------
Shareholders of Hyundai Corporation passed a large capital
reduction scheme at an extraordinary meeting Wednesday as part
of efforts to put the firm back on track, Asia Pulse reports.
The capital reduction is expected to clear the way for creditors
to reorganize the troubled trading Company, which owes 747.7
billion won to domestic banks and non-bank financial
institutions.

Under the 8.9:1 capital decrease, the Company's equity capital
will be cut from 367.9 billion won (US$311.24 million) to 38.2
billion won, while the Company's outstanding common stock will
fall to 7.65 million shares from 73.58 million. Hyundai Corp.
also decided to retire 5.47 million shares held by Hyundai
Merchant Marine Co. and Chung Mong-hun, Chairman of Hyundai Asan
Corp., separating itself completely from the founding family of
the Hyundai Group.

Last month, creditors agreed on a debt restructuring plan under
which they would make a debt-for-equity swap of 310 billion won
and roll over Hyundai's maturing debts until the end of 2006.


HYUNDAI MOTOR: Union Rejects Latest Wage Hike Offer
--------------------------------------------------
Unionized workers at Hyundai Motor Co. rejected management's
latest monthly wage hike offer of eight percent or 95,000 won,
according to Reuters, citing an unnamed union spokesman. He said
partial strikes would continue until their demands for an
increase of around 11 percent, equivalent to about 125,000 won
(US$105.7) a month, were met.

Hyundai's 39,000 union members downed tools for a one-day full
strike on Friday and threatened more walkouts to push for an
early settlement in talks with management over wages and working
conditions. Unionized workers, representing around 80 percent of
Hyundai Motor's total employees, have held a number of strikes
lasting several hours a day since late June.


KOOKMIN BANK: Credit Card Problems Peaked in Second Quarter
-----------------------------------------------------------
The credit card delinquency ratio of Kookmin Bank appeared to
have peaked in the second quarter, according to Reuters on
Wednesday. Financial problems at its credit card unit, Kookmin
Credit Card, helped the bank to report a net loss of 114.6
billion won (US$96.88 million) in the second quarter.

DebtTraders reports that Kookmin Bank Ltd.'s 7550% floating rate
note due in 2006, rates between 98 and 99. For real-time bond
pricing go to
http://www.debttraders.com/price.cfm?dt_sec_ticker=CITN06KRS1


KOOKMIN BANK: Shutting Down Branches, Cutting Salaries
------------------------------------------------------
Kookmin Bank CEO Kim Jung-tae said that the bank will close 120
branches and also would have its executives pay back 10 percent
of their monthly salary to the bank, in a bid to cut costs,
reports the Digital Chosun. TThe number of branches due to be
closed accounts for nearly 10 percent of the bank's total 1,260
branches, and the move is expected to presage a large-scale
slash in manpower.

The bank incurred a net loss W114.6 billion in the second
quarter (April-June), ending up with a combined net loss of
W40.7 billion for the first six months this year. Kookmin Card,
one of subsidiaries of the bank, posted a surprising net loss of
W487.6 billion in the first half.


SK CORPORATION: Capacity Utilization Rate Down Again
----------------------------------------------------
The capacity utilization rate of SK Corporation tumbled for the
third consecutive month in June due to a liquidity crunch and
its falling external credibility, Asia Times reports. The
virtual holding Company of SK Group has been feeling the pinch
due to the fallout from SK Global's financial woes, the group's
beleaguered trading arm.


SK GLOBAL AMERICA: Issues Case Summary, 18 Unsecured Creditors
---------------------------------------------------------------
Debtor: SK Global America, Inc.
One Parker Plaza 400 Kelbey Street Fort Lee, New Jersey 07024

Bankruptcy Case No.: 03-14625

Type of Business: SK Global America is a subsidiary of SK Global
Co., Ltd., one of the world's leading trading companies.

Chapter 11 Petition Date: July 21, 2003

Court: Southern District of New York (Manhattan)

Judge: Cornelius Blackshear

Debtor's Counsel: Albert Togut, Esq.
Scott E. Ratner, Esq.
Togut, Segal & Segal LLP
One Penn Plaza
Suite 3335
New York, NY 10119
Tel: (212) 594-5000
Fax: (212) 967-4258

Total Assets: $3,268,611,000

Total Debts: $3,167,800,000

Debtor's 18 Largest Unsecured Creditors:

Entity Nature Of Claim Claim Amount
------ --------------- ------------
Koram Bank (all branches) Short term loan $65,000,000

Koram Bank Short term loan $50,000,000
39, Da-dong
Chung-gu
Seoul, Korea 100-180
Mr. Park Whan-Min
Tel: 82-2-3455-2136
Fax: 82-2-3455-2935

Koram Bank, London Branch Short term loan $15,000,000
Second Floor, 30-40
Eastcheap
London, EC3M 1HD
United Kingdom
Dong Hwun Song
Tel: 44-20-7283-1833
Fax: 44-20-7626-8828

Shinhan Bank, New York Short term loan $52,000,000
Branch
32nd Floor
800 3rd Avenue
New York, NY 10022
Suk-Jin Koh
Tel: 212-371-8000
Fax: 212-371-8875

Woori Bank (all branches) Short term loan $41,000,000

Woori Bank, New York Short term loan $29,000,000
Agency
245 Park Avenue, 41st Fl/
New York, NY 10167
Jeong Han Kim
Tel: 212-949-1900
Fax: 212-490-7146

Woori Bank, HongKong Short term loan $7,000,000
Branch
Suite 1401,
Two Pacific Place
88 Queensway, Hong Kong
Hong-Koo Kim
Tel: 85-2-2521-8016
Fax:82-2-2526-7458

Woori Bank, L.A. Agency Short term loan $5,000,000
3360 West Olympic Blvd.
Suite 300
Los Angeles, CA 90019
Kwi Hwa Jung
Tel: 213-620-0747
Fax: 213-627-5438

The Bank of New York Short term loan $40,000,000
One Wall Street
New York, NY 10286
John T. Murray
Tel: 212-635-7683
Fax: 213-635-8599

Kookmin Bank/New York Short term loan $35,000,000
Branch
565 Fifth Avenue, 24th Fl.
New York, NY 10017
Sei-Jun Park
Tel: 212-679-6100
Fax: 212-897-1456

Union Bank of California Short term loan $26,500,000
400 California Street
6th Floor
San Francisco, CA 94104
Young Ho Won
Tel: 415-765-2887
Fax: 415-765-2653

Korea Exchange Bank (all Short term loan $25,991,000
Branches)

Korea Exchange Bank, Short term loan $15,991,000
L.A. Agency
777 S. Figueroa St.,
Suite 3000
Los Angeles, CA 90017
Yong Koo Kim
Tel: 213-683-0830
Fax: 213-622-5378

Korea Exchange Bank, Short term loan $10,000,000
Chicago Branch
181 West Madison Street,
Suite 2100
Chicago, IL 60062
Tack Hyun Yun
Tel: 312-372-7890
Fax: 312-372-7839

The Korea Development Bank Short term loan $23,000,000
(all branches)

The Korea Dev't Bank/ Short term loan $15,000,000
New York Branch
320 Park Avenue
32nd Floor
New York, NY 10022
Sung Ho Park
Tel: 212-688-7686
Fax: 212-421-5028

KDB Asia Limited Short term loan $5,000,000
Suite 2101-2103,
21st Floor
Two Exchange Square
8 Connaught Place
Central Hong Kong
Mr. Yong-II Kwon
Tel: 85-2-2525-1128
Fax: 85-2-2537-3989

Korea Dev't Bank, Ireland Short term loan $3,000,000
Russel House, Ground Floor
Stokes Place
St. Stephens Green
Dublin 2, Ireland
N.J. Seong
Tel: 353-1-4753-644
Fax: 353-1-4753-658

Societe Generale-New York, Short term loan $22,000,000
As Agent
1221 Avenue of the Americas
New York, NY 10020
Eric Wormser
Tel: 212-278-6078
Fax: 212-278-7723

Citibank N.A., Hong Kong Short term loan $20,000,000
Branch
48/F Citibank Tower,
Citibank Plaza
3 Garden Road, Central
Hong Kong
Adrienne Lam
Tel: 852-2868-8929
Fax: 852-2845-3415

Mizuho Corp. Bank, Ltd. Short term loan $20,000,000
1251 Avenue of the Americas
New York, NY 10020
Takashi Yano
Tel: 212-282-4947
Fax: 212-282-4383

The Export-Import Bank Short term loan $15,000,000
of Korea
16-3, Youido-dong
Yongdeungpo-ku, Seoul 150-996
Korea
Chang Ho Ha
Tel: 822-3779-6431
Fax: 822-3779-6749

Industrial and Commercial Short term loan $13,000,000
Bank of China (all
Branches)

Industrial and Commercial Short term loan $8,000,000
Bank of China-Seoul Branch
Taepyungro 2-Ka
Chung-Ku, Seoul 100-102
Korea

Industrial and Commercial Short term loan $5,000,000
Bank of China-Tokyo Branch
2-1 Maranouchi 1-Chome
Chiyoda-Ku, Tokyo 100-0005
Japan
Kong Xiannguo
Tel: 81-3-5223-2008
Fax: 81-2-5219-8502

Hana Bank, NY Agency Short term loan $11,000,000
West Bldg. (24th Floor)
280 Park Avenue
New York, NY 10017
Byouing-Ho Kim
Tel: 212-687-6160
Fax: 212-818-1721

Nat Exix Banques Short term loan $10,000,000
Popularies - Hong Kong
Branch
12th Floor, Citic Tower
1 Tim Mei Avenue
Central, Hong Kong
Johnson Chan
Tel: 852-2828-0916
Fax: 852-2583-9801

Credit Lyonnais-Seoul Short term loan $8,000,000
Branch
8-10th Floor
Youone Bldg. 75-95
Seosomundong, Chung-Ku,
Seoul
Byung Pil Kim
Tel: 82-2-772-8201
Fax: 82-2-772-8427

Oriental Fire & Marine Short term loan $5,000,000
Insurance Co, Ltd.
25-1, Youido-dong
Yeongdeungpo-gu, Seoul
Korea 150-878
Mr. Shin, Yong Nam
Tel: 82-2-3786-1412
Fax: 82-2-3786-1430/782

Cho Hung Bank, London Short term loan $3,000,000
Branch
1 Minster Court
Mincing Lane
London EC3R 7AA
UK
Kang Hee Lee
Tel: 44-20-7623-7791
Fax: 44-20-7648-1421

(Troubled Company Reporter, July 24, 2003, Vol. 6, No. 145)


GK GLOBAL: Likely to Enter Bankruptcy
-------------------------------------
SK Global is expected to face court receivership, the Malaya
Newspaper reports. Domestic creditors of SK Global will hold a
meeting of creditors on July 24 to opt to apply for court
receivership. Domestic creditors had originally agreed to revive
SK Global, but say the only option now is to do so with a court
receivership plan.

Foreign creditors, which rejected on June 27 a $2.4 billion
bailout plan to save SK Global, have been negotiating to recover
the 920 billion won of debt owed them. SK Global owes domestic
creditors 6.1 trillion won. The Company is staggering with 9.5
trillion won of total liabilities, exposed by an accounting
scandal in March 2003.


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


ARUS MURNI: Vendors Grant Proposed Acquisition Time Extension
-------------------------------------------------------------
Arus Murni Corporation Berhad refers to the announcements dated
9 July 2003 and 22 July 2003 on the Proposed Acquisitions, which
refers to:

   (i) Proposed Acquisition of the entire issued and paid-up
share capital of Jernih Makmur Sdn Bhd from Quantum Discovery
Sdn Bhd for a consideration of Rm42,243,172 to be satisfied by
the issuance of Rm42,243,172 Nominal Value Of 3-Year 0.5%
Irredeemable Convertible Unsecured Loan Stocks in AMCB (ICULS);
and

   (ii) Proposed Acquisition of the entire issued and paid-up
share capital of consistent Harvest Sdn Bhd (CHSB) from Clear
Progress Sdn Bhd and Prosperous Court Sdn Bhd for a
consideration of Rm80,495,439 to be satisfied by the issuance of
Rm80,495,439 Nominal Value of ICULS (Proposed Acquisition of
CHSB)

Public Merchant Bank Berhad, on behalf of AMCB, wishes to
announce that AMCB and Prosperous Court Sdn Bhd and Clear
Progress Sdn Bhd, both being the vendors of CHSB have mutually
agreed to an extension of time to 8 October 2003 in order to
complete the Proposed Acquisition of CHSB.


CHASE PERDANA: Shares Trading to Resume Monday
----------------------------------------------
Further to Listing's Circular No. L/Q: 15010 of 2002, Chase
Perdana Berhad advised of the following:

Chase's Restructuring Scheme comprising amongst others; the
following:

   (i) Scheme of arrangement pursuant to Section 176 of the
Companies Act, 1965 between Chase and seven of its subsidiaries
and their respective scheme creditors.

   (ii) Capital reduction by Chase pursuant to the order of the
High Court of Malaya under Section 64 of the Companies Act, 1965
which was effected as follows:

     (a) The issued and paid-up share capital of Chase of
RM93,605,334 comprising 93,605,334 ordinary shares of RM1.00
each (Shares) was reduced to RM9,360,533.40 comprising
93,605,334 ordinary shares of RM0.10 each, by the cancellation
of RM0.90 from every existing Chase Share (Share Cancellation);

     (b) Upon the Share Cancellation, 6 new fully paid-up Chase
ordinary shares of RM0.10 each were issued to Firdauz Edmin
Mokhtar at an issue price of RM0.10 per share, which increased
the paid-up share capital to RM9,360,534; and

     (c) The 93,605,340 ordinary shares of RM0.10 each arising
therefrom were consolidated into 9,360,534 Chase Shares
(Consolidated Shares) credited as fully paid-up, by the
consolidation of ten (10) ordinary shares of RM0.10 each into
one (1) Consolidated Share (Consolidation of Shares).

(collectively referred to as "Capital Reduction and
Consolidation")

   (iii) Renounceable Rights Issue of 28,081,602 Chase Shares at
an issue price of RM1.00 per Rights Share on the basis of three
(3) Rights Shares for every one (1) existing Chase Share held
after the Capital Reduction and Consolidation (Rights Issue).

   (iv) Conditional Restricted Issue of up to 28,081,602 Chase
Shares at an issue price of RM1.00 each (Conditional Restricted
Issue).

   (v) Debt restructuring pursuant to Section 176 of the Act
involving Islamic Creditors, Secured Creditors, Stakeholder's
Money Creditors and Unsecured Creditors, involving a debt
waiver, interest waiver and the settlement of the amount owing
by cash payments and through the issuance of new Chase Shares,
Redeemable Convertible Secured Loan Stocks, Redeemable
Convertible Unsecured Loan Stocks and Redeemable Convertible
Preference Shares (RCPS) (Debt Restructuring

(collectively referred to as "Restructuring Scheme")

Please be advised of the following:

1. Trading of Chase's entire issued and paid-up share capital
comprising 9,360,534 ordinary shares of RM1.00 each (Shares),
after the Capital Reduction and Consolidation and trading
of Chase's existing Warrants (Warrants) will resume with effect
from 9:00 a.m., Monday, 28 July 2003.

2. Chase's 101,764,535 RCPS issued pursuant to the Debt
Restructuring will be admitted to the Official List of the
Exchange and the listing of and quotation for these RCPS on the
Second Board under the "Construction" sector on a "Ready" basis
pursuant to the Rules of the Exchange, will be granted with
effect from 9:00 a.m., Monday, 28 July 2003.

3. Chase's additional 33,086,060 Shares arising from the
implementation of the Restructuring Scheme as follows:

   (i) 28,081,602 Shares issued pursuant to the Rights Issue;

   (ii) 2,805,900 Shares issued pursuant to the Conditional
Restricted Issue; and

   (iii) 2,198,558 Shares issued pursuant to the Debt
Restructuring

will be granted listing and quotation with effect from 9:00
a.m., Monday, 28 July 2003.

The reference prices for Chase's Shares and Warrants are RM1.00
and RM0.005 respectively. The trading limit for both will be
500%.

The Stock Short Name, Stock Number and ISIN Code of the RCPS are
"CHASE-PA", "8214PA" and "MYL8214PAI78" respectively.

The Conversion Price of the RCPS is RM1.00. One (1) RCPS can be
converted into one (1) new Chase Share. The RCPS can be
converted into new Chase Shares at any time after the date of
issue of the RCPS, i.e 18 July 2003 until the Maturity Date (18
July 2008). All outstanding RCPS shall be converted into new
Chase Shares on the Maturity Date.

Kindly be advised that the RCPS of Chase are prescribed
securities. Dealings in the RCPS of Chase should be carried out
in accordance with the accordance with the Securities Industry
(Central Depositories) Act, 1991 and the Rules of Malaysian
Central Depository Sdn Bhd.

Kindly also be reminded that only "free securities" can be
utilized for settlement of trades involving the aforesaid RCPS
of Chase.


DMIB BERHAD: Proposed Reorganization Scheme Resolutions Approved
----------------------------------------------------------------
Reference is made to the Proposed reorganization of the
corporate structure and businesses of DMIB Berhad (Proposed
Reorganization Scheme) and Provision for expenses relating to
the discrepancy in land area.

DMIB Berhad's stockholders had, at the Court Convened Meeting
and Extraordinary General Meeting of the Company held on 23
April 2003, approved amongsts others, the resolutions pertaining
to the Proposed Reorganization Scheme. The Scheme includes,
inter-alia, the Company's disposal of land to Sime Engineering
Services Berhad (SES) with the undertaking that the Company
will, at its own cost and expense, do all such acts, assurance,
deeds and things necessary to procure the resolution of the
issue relating to the discrepancy in the land area of Lot 4,
which only measures 22.741 acres as opposed to the acreage
stated in the title deed of 30 acres (the Undertaking).

The Board of Directors of DMIB Berhad wishes to announce that
they have, on 21 July 2003 approved in principle a provision of
RM20.0 million for the purpose of meeting claims by SES, if any,
pursuant to the Undertaking provided under the Proposed
Reorganization Scheme.


HIAP AIK: Issues Litigation Hearing Status Update
-------------------------------------------------
The Special Administrators of Hiap Aik Construction Berhad
(Special Administrators Appointed) wish to make a statement
regarding the Court Summons Against Subang Jaya Tiling &
Construction Sdn Bhd (Subsidiary):

Kuala Lumpur High Court Companies (Winding-up) No.: D8-228-628-
2003: Boustead Johan Edaran Sdn. Bhd. - v - Subang Jaya Tiling &
Construction Sdn. Bhd.

This is to announce that Boustead Johan Edaran Sdn. Bhd. has
filed a petition pursuant to the provisions of the Companies Act
1965 to wind up Subang Jaya Tiling & Construction Sdn. Bhd.,
(SJTC) a wholly owned subsidiary of Hiap Aik Construction Berhad
(Special Administrators Appointed), (HACB) on 26 June 2003 for
the sum owing of RM72,776.49 as at 4 April 2003 and a copy of
the said winding-up petition have been received by HACB on 22
July 2003.

The Company appended below the additional information pursuant
to Appendix 9A (Part C) of the Kuala Lumpur Stock Exchange
Listing Requirements:

   i. Interest rate claimed under the petition is 1.5% per month
on the outstanding balance from date of expiry to date of
regularization of account.

   ii. Failure by SJTC to pay its debts led to the filing of the
petition.

   iii. Total cost of HACB's investment in SJTC is RM50,000.
However full provision for diminution in value of this
investment had been made during the financial year ended 31
December 2002 and was reflected in the financial statements for
that year.

   iv. SJTC ceased its operation in year 2002 and therefore
there would be little or no operational of financial impact
other than the judgment sum.

   v. Expected losses arising from the aforesaid petition would
be to the extend of the outstanding amount plus accrued
interest.

   vi. Presently, no action have been taken by SJTC in respect
of the petition and SJTC will not be taking any actions with
regards to the winding up petition as all companies under the
HACB Group will eventually be wound up as per the Proposed
Restructuring Scheme. Please refer to our announcement to the
Exchange dated 14 November 2002 for the details of the Proposed
Restructuring Scheme.

   vii. Date of hearing of the petition is fixed on 24 September
2003.


KEMAYAN CORP.: SC Grants Proposed Restructuring Scheme Approval
---------------------------------------------------------------
Further to the announcements dated 23 October 2002, 1 November
2002, 15 November 2002, 25 November 2002 and 29 January 2003, on
behalf of Kemayan Corporation Berhad, Public Merchant Bank
Berhad (PMBB) wishes to announce that the Securities Commission
(SC) had via its letter dated 16 July 2003, which was received
on 18 July 2003, approved the Proposed Restructuring Scheme as
follows:

   (i) Capital reconstruction, as proposed, as follows:

     (a) The existing issued and paid-up share capital of KCB of
RM182,301,694 comprising 364,603,388 ordinary shares of RM0.50
each (KCB Shares) be reduced to RM4,557,542 comprising
364,603,388 ordinary shares of approximately RM0.0125 each,
representing a capital reduction of 97.5% or approximately
RM0.4875 for every ordinary share held in KCB;

     (b) The resultant 364,603,388 KCB Shares of approximately
RM0.0125 each will be consolidated into 9,115,085 KCB ordinary
shares of RM0.50 each on the basis of forty (40) ordinary shares
of approximately RM0.0125 each into one (1) ordinary share of
RM0.50 each in KCB;

     (c) Pursuant thereto, the 9,115,085 ordinary shares of
RM0.50 each would be exchanged for 4,557,542 new ordinary shares
of RM1.00 each in Iyara Berhad (Iyara) (formerly known as
Rangkap Budi Berhad) (Iyara Shares);

     (d) The reduction of approximately RM0.4875 for every KCB
Share will give rise to a credit of RM177,744,152, which will be
utilized to reduce part of KCB's accumulated losses as at 31 May
2002 of RM1,255,518,000; and

     (e) The entire balance of share premium account, which
stood at RM298,529,000 as at 31 May 2002, will be utilized to
set off part of the accumulated losses amounting to
RM1,255,518,000 as at 31 May 2002.

   (ii) Debt settlement by KCB to the Creditors of KCB and its
Scheme Subsidiary Companies (Scheme Creditors), amounting to
approximately RM1,486,659,000 (inclusive accrued interest) based
on the cut-off date of 31 May 2001, as proposed, as follows:

    (a) Scheme A Creditors

The debts amounting to RM1,303,187,000 owing to Scheme A
Creditors as at the cut-off date of 31 May 2001 will be settled
as follows:

     (1) The secured debts amounting to RM254,059,000 will be
set off against the assets charged based on the force sale
value, whereby the assets charged will be transferred to the
respective creditors. The balance of the debts under-secured by
assets totaling RM393,409,000 will be categorized as unsecured
debts;

     (2) Consortium Lenders will be issued with RM60,155,000
nominal value 5-year zero coupon Redeemable Convertible Secured
Loan Stocks (RCSLS) in Iyara for the portion of their
outstanding debts, which are secured by development land in
Seremban, Negeri Sembilan and Plentong, Johore;

     (3) The issuance of 67,668,737 new Iyara Shares at an issue
price of RM1.00 per share and RM22,556,245 nominal value of 5-
year 5% Irredeemable Convertible Unsecured Loan Stocks in Iyara
(ICULS) as settlement of 8.6% of the unsecured debts, as per
paragraph (ii)(a)(1) above, amounting RM33,833,000 and other
unsecured debts amounting RM56,392,000; and

     (4) The remaining balance of 91.4% of the unsecured debts
outstanding, as mentioned in paragraph (ii)(a)(1) above,
amounting RM359,576,000 and other unsecured debts amounting
RM599,327,000 will share in the distribution of net surplus from
the Proposed Disposal Arrangement of KCB (after setting off all
the existing liabilities with the existing creditors of the
respective companies and net expenses), at the respective Scheme
Subsidiary Company's level in which Scheme A Creditors are
creditors and subsequently at KCB level, in accordance to the
proportion of their balance outstanding debts, after the
settlement mentioned above.

   (b) Scheme B Creditors

The outstanding debts owing to Scheme B Creditors, amounting to
approximately RM183,472,000 as at 31 May 2001 will be settled as
follows:

     (1) The secured debts amounting to RM441,000 will be
settled via set-off against the assets charged based on the
force sale value, whereby the assets charged will be transferred
to the respective creditors. The balance of the secured debts
which settlement is inadequate amounting to RM238,000 will be
classified as unsecured debt;

     (2) Issuance of 4,118,189 new Iyara Shares at an issue
price RM1.00 per share and up to RM1,372,730 nominal value of
ICULS as settlement for 3% of the unsecured debts, as stated in
paragraph (ii)(b)(1) above, amounting RM7,000 and other
unsecured debts amounting RM5,480,000; and

     (3) The remaining balance of 97% of the unsecured debts for
Scheme B Creditors referred to in paragraph (ii)(b)(1) above
amounting to RM231,000 and other remaining unsecured debts
amounting RM177,309,000 will be waived.

   (iii) Acquisition of 100,000 ordinary shares of RM1.00 each
in Major Entrepreneur Sdn Bhd (MESB) representing 99.99% of the
enlarged issued and paid-up share capital of MESB for a purchase
consideration of RM70,334,711 to be satisfied by cash of
RM100,000 and the issuance of 70,234,711 new Iyara Shares, as
compared to the proposed purchase consideration of RM97,600,000
to be satisfied by cash of RM100,000 and the issuance of
97,500,000 new Iyara Shares.

   (iv) Acquisitions of the following:

     (a) 4,000,000 ordinary shares of RM1.00 each in Satujaya
Sdn Bhd (Satujaya) representing 100% equity interest in Satujaya
for a purchase consideration of RM27,400,000 to be satisfied by
the issuance of 27,400,000 new Iyara Shares, as proposed;

     (b) 1,200,000 ordinary shares of RM1.00 in Amber Resources
Sdn Bhd (Amber) representing 100% equity interest in Amber for a
purchase consideration of RM11,598,786 to be satisfied by the
issuance of 11,598,786 new Iyara Shares, as compared to the
proposed purchase consideration of RM14,222,222 to be satisfied
by the issuance of 14,222,222 new Iyara Shares; and

     (c) 50,001 ordinary shares of RM1.00 each in CDM Sdn Bhd
(CDM) representing 100% equity interest in CDM for a purchase
consideration of RM1,777,778 to be satisfied by the issuance of
1,777,778 new Iyara Shares, as proposed.
(The new Iyara Shares to be issued to the respective vendors of
MESB, Satujaya, Amber and CDM pursuant to paragraphs (iii),
(iv)(a), (iv)(b) and (iv)(c) are referred to as "Acquisition
Shares"))

   (v) Disposal arrangement of KCB to a Special Purpose Vehicle
(SPV) for RM1.00, as proposed.

   (vi) Transfer of listing status of KCB on the Main Board of
the Kuala Lumpur Stock Exchange (KLSE) to Iyara Berhad (Iyara),
as proposed.

   (vii) Listing and quotation of new Iyara Shares of RM1.00
each, ICULS and new Iyara Shares arising from the conversion of
the RCSLS and ICULS, on the Main Board of the KLSE, as proposed.

Details pertaining to the approved valuation on the properties
by the SC in relation to the Proposed Restructuring Scheme are
attached.

The approval for the Proposed Restructuring Scheme is subject to
the following conditions:

   (i) KCB/Iyara are required to appoint an independent
investigative auditor (with experience in conducting
investigative audit) who is not the previous or existing
auditors of the KCB Group, within 2 months from the date of this
approval letter to carry out an investigative audit on the past
losses of the KCB Group. KCB/Iyara are also required to take the
necessary steps to recover the past losses that were incurred.
Based on the results of the investigative audit, KCB/Iyara is
required to report to the relevant authorities should there be
any violation of any law, rules, guidelines and/or the relevant
memorandum and articles of association of KCB by the Board of
Directors of KCB and/or any other parties who had caused KCB to
incur the losses. In relation thereto, the investigative audit
should be completed within six (6) months from the date of
appointment of the independent audit firm and the findings of
the investigation thereon should be announced. Two (2) copies of
the investigative audit reports are to be furnished to the SC
after the completion of the investigative audit.

   (ii) Any future transactions between the Iyara Group and
directors and substantial shareholders of Iyara Group, and/or
any other parties related to the directors and substantial
shareholders of the Iyara Group must be carried out on "arm's
length" basis and on terms which will not be unfavorable to the
Iyara Group. In relation thereto, the Audit Committee of Iyara
must supervise the terms and the directors must report on any
such transaction in the Annual Report of Iyara.

   (iii) The directors, which are involved full time in the
management of the Iyara Group, will not be allowed to be
involved full time in their other personal businesses.

   (iv) The directors and substantial shareholders of the Iyara
Group are not allowed to undertake businesses in the future,
which may compete, whether directly or indirectly, with the
interest of the Iyara Group.

   (v) PMBB must obtain the approval of the SC should there be
any changes made to the terms and conditions of the RCSLS and
ICULS in Iyara.

   (vi) Prior to the issuance of the RCSLS and ICULS:

     (a) PMBB is required to submit the Borang FMF/JPB (Facility
Maintenance File) for the RCSLS and ICULS to the SC;

     (b) PMBB is required to submit the certified true copy of
the duly executed trust deed for the RCSLS and ICULS to the SC;
and

     (c) PMBB/Iyara to confirm in writing that the letter of
declaration submitted by Iyara has been ratified by the new
Board of Directors of Iyara immediately upon the formation of
the new Board of Directors of Iyara and an extract of the
resolution certifying the ratification to the SC.

   (vii) Prior to the issuance of the RCSLS, PMBB is required to
submit a written confirmation that the RCSLS are non-
transferable and non-tradeable by the holders of the RCSLS and
no rating is required for the RCSLS.

   (viii) PMBB is required to provide a written confirmation and
a completion list that all the terms and conditions as imposed
in paragraphs 3(v)-(vii) above have been fully complied with
after the implementation of the Proposed Restructuring Scheme.

   (ix) PMBB to evaluate the value of the unencumbered assets to
be disposed to the SPV and confirm to the SC that the value of
the assets is fair and reasonable prior to the implementation of
the disposal arrangement.

   (x) Iyara to make full provision for the debts owing by trade
debtors of Satujaya which are in doubt, trade debtors which are
under legal action or debts outstanding for more than six (6)
month, in the accounts/forecast/projection. The directors of
Iyara to submit a written confirmation to the SC that the
condition have been fully complied with prior to the issuance of
the circular to the shareholders of KCB.

   (xi) The directors of Iyara to submit a written undertaking
to the SC, prior to the issuance of the circular to shareholders
of KCB, confirming that all the trade debtors of Satujaya, which
are not under dispute or legal action and debts owing not more
than six (6) months are recoverable in full. If the debts are
not recovered in full, the vendors of Satujaya must compensate
Iyara in cash within thirty (30) days from the date where the
debtors have been determined to be not recoverable.

   (xii) The net asset values which have been audited and
consolidated with the companies to be acquired, save for CDM, on
implementation date for the acquisition of the companies, must
not be less than the value of the net asset which have been
audited and consolidated, as approved, for the respective
companies as at 31 December 2001.

   (xiii) The vendors of Satujaya are required to compensate in
cash to Iyara within thirty (30) days from the date of
implementation of the acquisition of Satujaya for any shortfall
in the audited net asset value of Satujaya in the event that the
net asset value falls below the approved purchase acquisition
price. For the trade debtors and non-trade debtors which have
not been recovered on the implementation of the acquisition of
Satujaya, the vendors of Satujaya are required to compensate in
cash to Iyara within thirty (30) days from the date of
determining that the debtors are not recoverable. The vendors of
Satujaya are required to submit a written confirmation to the SC
that the conditions have been complied with prior to the
issuance of the circular to the shareholders of KCB.

   (xiv) Iyara must implement the rights or private placement to
procure at least RM10 million of proceeds to finance the Kedah
International Resort City project.

   (xv) The vendors of MESB are required to provide a profit
guarantee for the profits after taxation and minority interest
of the Iyara Group for the financial years ending 31 March 2004
and 2005 amounting to RM8.669 million and RM18.396 million
respectively.

   (xvi) The following terms must be adhered to for the
properties located at Lot 2, 1582 and 2259, Mukim Merbok, Lot 8,
12-13, 16 , 776-778, 780 and 23 other lots including state
government land, Mukim Bujang and Lot 761, 1358 and 1780
including state government land, Mukim Semeling, Daerah Kuala
Muda, Kedah:

     (a) KCB/Iyara to obtain the layout plan approval from the
relevant authorities prior to the implementation of the Proposed
Restructuring Scheme;

     (b) KCB/Iyara to obtain the individual land titles issued
by the relevant authorities and registered in the name of Kedah
Resort City Sdn Bhd within a period of 1 year from the date of
this approval letter and to report to the SC on the status of
the said application on a monthly basis; and

     (c) KCB/Iyara to provide an equivalent amount of money with
an independent stakeholder for the purpose of dealing in the
take-over of the land measuring at least 142 acres which have
not been fully completed and which compensation have not been
paid.

   (xvii) The following conditions must be adhered to for the
development rights of P.T. 1801, 3688 and state government land,
Mukim Kuala Lumpur, Daerah Wilayah Persekutuan, Wilayah
Persekutuan:

     (a) KCB/Iyara to obtain the approval for the alienation of
government land measuring 5,961 square meter / 64,163 square
feet, as indicated in the survey report plan RS1010/2001-S2,
from the relevant authorities prior to the implementation of the
Proposed Restructuring Scheme;

     (b) KCB/Iyara to obtain the approval of layout plan from
the relevant authorities prior to the implementation of the
Proposed Restructuring Scheme;

     (c) KCB/Iyara to ensure that the Joint Venture Development
Agreement (JV Agreement) between Amber and Dato' Bandar Kuala
Lumpur is irrevocable and is not detrimental to Amber;

     (d) The terms of the JV Agreement to be disclosed in the
circular to shareholders of KCB and the Iyara prospectus (if
any);

     (e) Amber to disclose to the SC the following information:

      (1) The confirmation in writing confirming that all the
terms and conditions of the JV Agreement has been complied with
thus far;

      (2) The statutory declaration that Amber will adhere to
all the terms and conditions of the JV Agreement to prevent any
event that may give rise to a potential termination of the JV
Agreement;

     (f) A declaration from all parties to the JV on their
intentions and commitments to the terms and conditions of the JV
Agreement which have been furnished to the SC; and

     (g) If any of the terms and conditions of the JV Agreement
has been breached by the relevant parties, an announcement
pertaining to such breach of terms and conditions and the
remedies available must be disclosed in full to the KLSE.

   (xviii) Full disclosure is to be made in the circular to the
shareholders of KCB and the Iyara prospectus (if any), on the
following matters:

     (a) The reasons for the financial predicament currently
faced by the KCB Group and the courses of action that have been
taken / to be taken to prevent the recurrence of such financial
predicaments in the future;

     (b) The methods and timeframe required by the Iyara Group
to eliminate the accumulated losses;

     (c) The prospects and future plans and risk management
plans and practice to overcome the operational risks of the
Iyara Group, including fire risks, energy crisis and other
emergency risks, which may be harmful to the operations of the
Iyara Group;

     (d) The existing related party transactions and steps
taken/to be taken to ensure that such transactions are not
detrimental to the Iyara Group;

     (e) The directors and shareholders' current
interests/involvements in other businesses which may give rise
to potential conflict of interest situations with the business
of Iyara Group and steps taken / to be taken to overcome such
conflicts;

     (f) The comments by PMBB relating to the fair and
reasonableness of the valuation of CDM and the detailed
justifications relating to such comments;

     (g) In relation to the Satujaya Group, the trade debtors
and non-trade debtors ageing analysis and the comments by the
directors on the recoverability of the outstanding debts which
exceeded the credit limit; and

     (h) The basis for the disposal value of KCB to be set at
RM1.00.

   (xix) KCB/Iyara must fulfill in full all other requirements
relating to the above proposal, as stipulated under the SC
Policies and Guidelines on the Issue/Offer of Securities (SC
Guidelines).

The SC have considered PMBB's application, on behalf of
KCB/Iyara, for an exemption from having to comply with certain
requirements under the SC Guidelines, and the SC's decision is
provided as follows:

   (i) Exemption from the SC's announcement dated 31 December
1999, which states that the conversion price for the securities
may be set based on the 5-days weighted average market price of
the shares prior to price-fixing date, is approved. In relation
thereto, the SC has no objection to Iyara's proposal to pre-
determine the conversion price for the RCSLS and ICULS at RM1.00
per new Iyara Share of par value RM1.00 per share; and

   (ii) Exemption from paragraph 18.09(5) which states that the
moratorium on the disposal of 50% of the Acquisition Shares to
be received by the vendors of the assets/businesses which are to
be injected is approved. Therefore, the SC has no objection to
KCB/Iyara's proposal that the vendors of Amber and CDM be
exempted from the 50% moratorium on the Acquisition Shares to be
received by the vendors of Amber and CDM. However, KCB/Iyara
must ensure that 50% of the total Acquisition Shares issued
pursuant to the acquisition of MESB, Satujaya, Amber and CDM are
placed under moratorium. In relation thereto, KCB/Iyara must
disclose the details of the respective vendors and Acquisition
Shares to be held under moratorium prior to the issuance of the
circular to the shareholders of KCB.

In relation to PMBB's application, on behalf of the vendors of
MESB1, Satujaya2, Amber3 and CDM4, Jalur Karisma Sdn Bhd
(Karisma), Dato' Ahmad Zahid Hamidi and other parties acting in
concert, for an exemption from the obligation of having to make
a mandatory general offer for the remaining voting shares not
already owned by them in Iyara under Practice Note 2.9.3, the
Malaysian Code on Take-Overs and Mergers, 1998 (Code), the
following matters have been considered:

   (i) Following the implementation of the Proposed
Restructuring Scheme, the equity interest of the parties acting
in concert of Iyara have increased to more than 33%;

   (ii) Dato' Ahmad Zahid Hamidi and Wong Ha have given an
undertaking, on behalf of Karisma, that a put and call option
will be made available for the Scheme Creditors of KCB, to
acquire a total of 25,000,000 new Iyara Shares to be issued
pursuant to the Proposed Debt Settlement in the future.
Meanwhile, Karisma has entered into a conditional agreement for
the put and call option with Sheikh Abdul Rahman Nasser Jassim
Al Thani and Syed Sarfaraz Haider Rizvi for the acquisition of
57,000,000 new Iyara Shares to be issued pursuant to the
acquisition of MESB in the future. Following the completion of
the Put and Call Option, the equity interest of Karisma in Iyara
will also increase to above 33%;

   (iii) Pursuant to Part II of the Code, an obligation to
extend a mandatory offer to the remaining voting shares not
already owned by them in Iyara will be triggered for the parties
acting in concert and Karisma; and

   (iv) KCB/Iyara has fulfilled the requirements of paragraph
(3) of the Practice Note 2.9.3, whereby, amongst others, the NTA
per share of KCB is less than 50% of its par value, the debt
equity ratio of the KCB Group is more than 3:1 and the Proposed
Restructuring Scheme is expected to regularize the financial
position of the KCB Group.

The SC has also approved PMBB's application, on behalf of the
parties acting in concert, for an exemption from the obligation
to extend a mandatory offer as per paragraph 5 above. However,
in relation to the obligation to extend a mandatory offer, which
will arise in the future for Karisma, the exemption for Karisma
is subject to the following conditions:

   (i) Iyara is not allowed to implement any corporate
proposals, which will increase the equity interest of Karisma
prior to the completion of the put and call option;

   (ii) Karisma is not allowed to be engaged in any trading of
share/convertible securities in Iyara, for the duration of the
put and call option. However, Karisma is allowed to
disposed/complete the share/put and call option held by Karisma,
on the condition that the share held collectively by the parties
acting in concert exceeding 50%;

   (iii) In the event that the completion of the put and call
option will result in the equity interest of Karisma in Iyara to
increase to a level exceeding the limit of the mandatory offer,
Karisma is required to inform the SC on the said transaction, as
stated in paragraphs 6(i) and (ii) above, has been complied
with. PMBB and Karisma is also required to make an appropriate
announcement to inform the shareholders of Iyara;

   (iv) In the event that Karisma has completed the put and call
option to a level that the exemption from the mandatory offer is
no longer required by Karisma, PMBB and Karisma is required to
make an appropriate announcement to the shareholders of Iyara.
The status of the exemption must be disclosed in the annual
report of Iyara until such time where the exemption is no longer
required by Karisma; and

   (v) The parties acting in concert, i.e. the vendors of MESB,
Satujaya, Amber and CDM, must maintain to act in concert for the
tenure of the exemption.

The total voting shares held by the Scheme Creditors of Iyara
will increase to a level exceeding 33% after the conversion of
the ICULS held by them. In relation thereto, PMBB have been
advised that an obligation for mandatory offer will be triggered
by the Scheme Creditors in the event the Scheme Creditors act in
concert to secure control in Iyara, as stipulated under Part II
of the Code.

PMBB and Iyara together with the related parties are required to
provide a written confirmation to the SC that all the terms and
conditions as stated in the above paragraphs upon the completion
of implementation of the Proposed Restructuring Scheme, have
been complied with.

PMBB and Iyara are reminded that any breach or non-compliance
with any of the terms or conditions of the SC approval, as
stipulated in the above paragraphs, can be deemed as an offence
under the Securities Commission Act 1993 (Act) and punishable
under the Act.

The Boards of Directors of KCB and Iyara and the vendors of the
Proposed Acquisitions are currently deliberating on the
abovementioned terms and conditions of the SC's approval, the
announcement of the decision of which will be made in due
course.

Go to http://bankrupt.com/misc/TCRAP_Kemayan0725.pdfto see
table for property valuation.


KUALA LUMPUR: Proposals, Book Closure Notice Dispatched
-------------------------------------------------------
On behalf of Proposed Restructuring Scheme, Commerce
International Merchant Bankers Berhad wishes to announce that an
information circular dated 23 July 2003 has been dispatched to
the shareholders of Kuala Lumpur Industries Holdings Berhad
(Special Administrators Appointed) on the following matters:

   (a) the Proposed Corporate And Debt Restructuring Within The
Framework Of Pengurusan Danaharta Nasional Berhad Act, 1998
(Proposals); and

  (b) the notice of book closure in relation to the following:

     (i) recall of the existing ordinary shares of RM1.00 each
in KLIH (KLIH Shares) and cancellation of RM0.99 of the par
value of each existing KLIH Share held as at 5:00 p.m. on 30
July 2003;

     (ii) consolidation of the reduced KLIH ordinary shares of
RM0.01 each on the basis of one (1) new consolidated KLIH Share
(Consolidated Share) for every 100 reduced KLIH ordinary shares
of RM0.01 each (collectively known as the "Proposed Capital
Reduction and Consolidation"); and

   (iii) exchange of the Consolidated Shares with new ordinary
shares of RM1.00 each in Equine Capital Berhad (ECB Shares) on
the basis of one (1) new ECB Share for every one (1)
Consolidated Share (Proposed Share Swap).

The entitlement of the shareholders of KLIH to the Consolidated
Shares and consequently the ECB Shares arising from the Proposed
Capital Reduction and Consolidation and Proposed Share Swap
shall be in respect of the following:

   (i) shareholders whose names appear in the Record of
Depositors of KLIH at the close of business at 5.00 p.m. on 30
July 2003;

   (ii) shares in KLIH transferred into the depositor's
securities account before 4:00 p.m. on 30 July 2003 in respect
of transfers; and

   (iii) shares deposited into the depositor's securities
account before 12:30 p.m. on 28 July 2003 (in respect of shares,
which are exempted from mandatory deposit).

Any queries concerning the above notice of book closure should
be addressed to the Company's share registrar at:

    Signet Share Registration Services Sdn Bhd (506293-D)
    11th Floor, Tower Block
    Kompleks Antarabangsa
    Jalan Sultan Ismail
    50250 Kuala Lumpur
    Tel: 03-2142 1341
    Fax: 03-2142 1353


MALAYSIA INT'L: S&P Cuts Currency Rating to BBB+; Off Watch Neg
---------------------------------------------------------------
Standard & Poor's Ratings Services on Wednesday lowered Malaysia
International Shipping Corp. Bhd.'s (MISC) long-term local
currency rating to 'BBB+' from 'A-', and affirmed its foreign
currency rating at 'BBB+'. The ratings were removed from
CreditWatch, where they were placed with negative implications
on April 30, 2003, following the company's successful bid to buy
a 100% equity interest in Aframax tanker operator, American
Eagle Tankers Inc. Ltd. (AET). The outlook is stable.

The rating action on MISC reflects its greater involvement in
the riskier crude oil tanker segment (relative to the liquefied
natural gas [LNG] shipping segment) and higher exposure to
volatile spot market rates, as well as the heavier level of debt
assumed, following the acquisition.

New debt of about Malaysian ringgit (RM) 4.6 billion (US$1.2
billion) will be assumed with the AET acquisition and a further
RM3.1 billion is required to fund the purchase of six new (LNG)
vessels, significantly increasing MISC's overall gearing.

"Nevertheless, although MISC's credit ratios will weaken, they
should be restored over the medium term on the back of new
vessel contributions and consistent debt reduction. Total debt
to capital should remain below 50%, which is healthy relative to
its global peers," said Standard & Poor's credit analyst Ee-Lin
Tan.

Despite higher exposure to a riskier shipping segment, the
acquisition broadens MISC's route network and increases
geographical diversity to earnings. MISC becomes the second-
largest Aframax tanker operator and leading lightering player in
the U.S. Gulf, widening MISC's petroleum geographical coverage
beyond its existing Far East-Arabian Gulf routes, to new markets
in the Atlantic Basin. At the same time, the fleet of
predominantly modern double-hulled vessels positions MISC well
to meet  more stringent environmental regulations.

LNG shipping should continue to account for a large portion of
MISC's earnings--projected at 60%-65% of group EBITDA within the
next three to four fiscal years, from 90% in fiscal year 2003.
MISC enjoys strong U.S. dollar cash flows from its LNG
contracts, where payments are locked in through take-or-pay
provisions. "The company's still strong credit quality
remains underpinned by its above-average cash flow generation
and is based on expectations that moderate funding practices
will be maintained to expand its business," said Ms. Tan.

MISC's ability to refinance its bridging loan of RM3.1 billion,
when it matures in July 2004, with long-term funding will depend
on favorable market conditions. Such risk, however, should be
mitigated by its above-average financial flexibility through its
significant unencumbered assets, close links with Petroliam
Nasional Berhad (Petronas; local currency A+/Stable/--; foreign
currency BBB+/Stable/--) and the Malaysian government (local
currency A+/Stable/A-1; foreign currency BBB+/Stable/A-2), and
strong cash flow generating ability.

Petronas, which is 100%-owned by the Malaysian government, holds
62.4% of MISC, and Standard & Poor's believes that both these
parties have a profound interest in ensuring the financial
health and viability of the company.


L&M CORP.: Appoints Messrs Horwath as Investigative Audit Firm
--------------------------------------------------------------
Further to the announcements on 19 November 2002, 15 January
2003, 21 January 2003, 24 April 2003, 12 May 2003, 27 May 2003
and 4 July 2003, the Special Administrators of L&M namely Mr.
Gan Ah Tee, Mr. Ooi Woon Chee and Encik Mohamed Raslan bin Abdul
Rahman of KPMG Corporate Services Sdn Bhd wish to announce that
Messrs Horwath have been appointed on 22 July 2003 as the
independent firm of auditors to conduct an investigative audit
into the past losses of L & M Corporation (M) Bhd (Special
Administrators Appointed).

The investigative audit is to be completed within six months
from the date of appointment. The said appointment is made
pursuant to one of the conditions imposed by the Securities
Commission in approving the proposed corporate and debt
restructuring scheme of the Company, via its letter dated 23 May
2003.


LONG HUAT: SC Approves Proposed Restructuring Scheme
----------------------------------------------------
Long Huat Group Berhad refers to the announcements made on 28
February 2003, 31 March 2003 and 2 April 2003 on the Proposed
Restructuring Scheme.

On behalf of the Board of Directors of LHGB (LHGB Board),
Southern Investment Bank Berhad (SIBB) wishes to announce that
the Securities Commission (SC) had via its letter dated 14 July
2003 which was received on 18 July 2003 approved the Proposed
Restructuring Scheme which includes, inter-alia, the following:

   (i) Share capital reduction of the existing issued and paid-
up share capital of LHGB from RM37,344,000 comprising 37,344,000
ordinary shares of RM1.00 each to 37,344,000 ordinary shares of
RM0.025 each and the consolidation of every twenty (20) LHGB
ordinary shares of RM0.025 each into one (1) consolidated share;

   (ii) Exchange of 1,867,200 consolidated shares on the basis
of one (1) new Lee Swee Kiat Group Sdn Bhd (LSKG) ordinary share
of RM0.50 each in LSKG (LSKG Share) for every one (1)
consolidated share held by the shareholders of LHGB;

   (iii) Debt settlement to the creditors of LHGB to be resolved
in the following manner:

       (a) Cash payment amounting to RM1,200,000 by LSKG to the
preferential/essential creditors;

       (b) Waiver on all charges and interest effective from 1
September 2001 until the completion of the Proposed
Restructuring Scheme of LHGB;

       (c) The set-off of the amount outstanding as at 31 August
2001 against the properties and/or assets pledged up to the
value of the properties and/or assets secured as agreed to by
the scheme creditors other than the preferential/essential
creditors; and

       (d) Issuance of up to 27,948,500 new LSKG Shares at an
issue price of RM0.50 each to the scheme creditors other than
the preferential/essential creditors as settlement on the
shortfall sum, being amount outstanding after the implementation
of (b) and (c) above;

   (iv) Acquisition of the entire equity interest in Lee Swee
Kiat Holdings Sdn Bhd (LSKH) by LSKG from the LSKH vendors,
namely, Lee Swee Kiat & Sons Sdn Bhd (LSKS) and East Malaysia
Growth Corporation Sdn Bhd (EMGC) at a purchase consideration of
RM69,000,000 to be satisfied by the issuance of 138,000,000 new
LSKG Shares at an issue price of RM0.50 each;

   (v) Disposal of the entire issued and paid-up share capital
of LHGB by LSKG for a consideration of RM1.00 to facilitate the
liquidation of LHGB by way of winding up;

   (vi) Placement and/or offer for sale by LSKH vendors to the
public to comply with the 25% public shareholding spread
requirement for the listing of LSKG;

   (vii) The transfer of the listing status of LHGB on the
Second Board of the Kuala Lumpur Stock Exchange (KLSE) to LSKG
upon completion of the Proposed Restructuring Scheme;

   (viii) Listing of and quotation for the new LSKG Shares to be
issued on the Second Board of the KLSE as follows:

     (a) 1,867,200 new LSKG Shares pursuant to the proposal in
paragraph (ii) above;

     (b) 27,948,500 new LSKG Shares pursuant to the proposal in
paragraph (iii)(d) above; and

     (c) 138,000,000 new LSKG Shares pursuant to the in
paragraph (iv) above.

The SC also had no objection to the fixing of the issue price
for one (1) new LSKG Share pursuant to the acquisition of LSKH
by LSKG at the par value of RM0.50 per share.

The SC approval on the Proposed Restructuring Scheme is subject
to the following conditions:

   (i) LSKG is required to be converted to a public limited
company prior to the implementation of the Proposed
Restructuring Scheme;

   (ii) LSKG is required to comply with the minimum 25% public
shareholding spread requirement on the date of listing;

   (iii) LHGB/LSKG are required to obtain all relevant approvals
from the relevant authorities prior to the implementation of the
Proposed Restructuring Scheme;

   (iv) The directors of LSKG, which are involved full time in
the operation/management of the LSKG GROUP, are not allowed to
be involved full time in the operation/management of their other
private business (if any);

   (v) The directors and substantial shareholders of LSKG are
not allowed in the future to carry on any business that will
compete directly or indirectly with the LSKG Group and which
will result in conflicts of interest with the business of the
LSKG Group;

   (vi) Any business transaction in the future between the LSKG
Group and the proposed directors, substantial shareholders of
LSKG or companies related to the directors and substantial
shareholders is to be transacted on an "arm's length" basis and
not based on terms which may be unfavorable to the LSKG Group.
In this respect, the Audit Committee of LSKG is required to
monitor, and the directors of LSKG is to report, such business
transaction, if any, in the Annual Reports of LSKG;

   (vii) The restriction on the sale (Moratorium) is imposed on
a total of 69,000,000 LSKG Shares of RM0.50 each or 50% of the
138,000,000 LSKG Shares which will be received by the LSKH
vendors as consideration for the proposed acquisition of LSKH
where they are not allowed to sell, transfer or assign their
said shares for a period of at least one (1) year from the date
of listing of LSKG. Thereafter, the said shares are no longer
subject to the Moratorium. In this respect, LSKG is required to
furnish to the SC the list of shareholders and their respective
shareholding, which will be subject to the Moratorium;

   (viii) LHGB/LSKG is required to appoint an independent audit
firm (with experience in investigative audit and is not the
current nor past auditor of LHGB/LSKG Group) within a period of
two (2) months from the date of this letter to conduct the
investigative audit on the past losses. LHGB is also required to
take necessary/relevant steps to recover the past losses. Based
on the results of the investigative audit, LHGB is required to
report to the relevant authorities upon findings of any
contravention against the law, rules, guidelines and memorandum
and articles of association (M&A), which is related to the board
of directors, and/or any other parties that resulted in the
losses of LHGB. The investigative audit must be completed within
a period of six (6) months from the appointment of the
independent audit firm and an appropriate announcement must be
made on the findings of the said investigative audit. Two (2)
copies of the investigative audit report must be furnished to
the SC upon the completion of the said investigative audit;

   (ix) LHGB/LSKG is required to fully disclose the following in
the circular to the shareholders/prospectus:

     (a) The possible effects on the future performance of the
LSKG Group due to local and foreign competition, including
competition from private and public listed companies, and the
steps taken/to be taken to mitigate the said effects;

     (b) The risks connected to the absence of long term
contracts with customers in the industry ventured into by the
LSKG Group and steps taken/to be taken by LSKG to mitigate the
said effects;

     (c) The risk management plan and the insurance to address
the risks relating to the business operation of the LSKG Group,
including the risks in relation to fire, power crisis and other
risks that may pose a threat to the efficient operations of the
LSKG Group;

     (d) The management succession plan of the LSKG Group. In
this respect, LSKG is required to organize and set-out its
management succession plan prior to the issuance of the circular
to the shareholders/prospectus;

     (e) Position of the total trade debts, the ageing analysis
of the total trade debts with comments/statements by the
directors of LSKG on the recoverability of trade debts that have
exceeded the credit period;

     (f) Steps taken/to be taken by the LSKG Group to avoid bad
debs and debts that have exceeded the credit period;

     (g) Risks in relation to the purchase of raw materials and
the steps taken/to be taken by the LSKG Group to address the
possibility of depleted sources in the future;

     (h) Potential of each individual business of the LSKG Group
and the steps taken/to be taken to achieve the said business
potential; and

     (i) Future prospects of each business activity of the LSKG
Group;

   (x) Full provision is to be made for trade debts, where:

     (a) The debts have exceeded the credit period;

     (b) There are disputed amounts;

     (c) Legal action has commenced/been taken; or

     (d) The credit period has exceeded six (6) months.
The reporting accountants of LSKG are required to furnish the SC
with a written confirmation that the above requirements have
been complied with prior to the issuance of the circular to the
shareholders/prospectus. LSKG is also advised to improve its
credit management system to avoid bad debts in the future;

   (xi) The directors of LSKG are required to furnish the SC
with a written confirmation that the trade debts exceeding the
credit period of the LSKG Group are recoverable and appropriate
provision for doubtful/bad debts have been made in the financial
accounts of the LSKG Group; and

   (xii) SIBB, LHGB and LSKG are required to fully comply with
the relevant requirements in relation to the Proposed
Restructuring Scheme as provided for under the SC's Policies and
Guidelines on Issue/Offer of Securities.

Further, on the application to the SC made on behalf of LSKS,
EMGC and parties acting in concert (Concerted Parties) for an
exemption from the obligation to extend a mandatory offer for
the remaining equity interest in LSKG pursuant to Practice Note
2.9.3 of the Malaysian Code on Take-Overs and Mergers 1998
(Code), the following has been taken into account:

   (i) Pursuant to the Proposed Restructuring Scheme, the
Concerted Parties will hold equity interest of more than 33% in
LSKG;

   (ii) Based on Part II of the Code, the obligation to extend a
mandatory offer for the remaining equity interest in LSKG will
arise for the Concerted Parties; and

   (iii) LHGB/LSKG has complied with Paragraph (3), Practice
Note 2.9.3, where, among others, the net tangible asset per LHGB
share is less than 50% of its par value, the debt-equity ratio
of LHGB Group is more than 3:1 and the Proposed Restructuring
Scheme is expected to turnaround the LHGB Group's financial
position.

Pursuant to the above, the SC has approved the application for
the Concerted Parties to be exempted from the obligation to
extend a mandatory offer.

SIBB and LHGB/LSKG are required to provide written
confirmation(s) to the SC of their compliance with all the above
terms and conditions imposed by the SC upon completion of the
Proposed Restructuring Scheme.

Further to the above, approvals for the Proposed Restructuring
Scheme from the Ministry of International Trade and Industry,
shareholders and scheme creditors of LHGB and the necessary
approval-in-principle from the KLSE are still pending. The
Explanatory Statement to shareholders and scheme creditors of
LHGB as well as the circular to the shareholders of LHGB to
obtain their approvals for the Proposed Restructuring Scheme at
the respective court convened meetings/extraordinary general
meeting will be dispatched in due course.


LONG HUAT: Winding Up Petition Hearing Adjourned to Dec 10
----------------------------------------------------------
Long Huat Group Berhad refers to the Winding up Petitions
against LHuat by Export-Import Bank Malaysia Berhad (Exim Bank),
which was fixed for hearing on 23 July 2003.

Long Huat's solicitor, Messrs Kadir, Andri Aidham & Partners,
had informed that the hearing date has been adjourned to 10
December 2003.


MTD CAPITAL: Disposes of Quoted Shares
--------------------------------------
MTD Capital Bhd. wishes to inform the Exchange that its wholly
owned subsidiary MTD Equity Sdn Bhd (MTDE) had, from 15 to 17
July, 2003, disposed of 4,280,000 shares of WCT Engineering
Berhad (WCT) for a cash consideration of RM22.02 million or
average RM5.14. per share via open market. The said disposal
decreases MTDE's shareholding in WCT by approximately 4.4% to
approximately 9.9%.

Rationale of Disposal

The said disposal will enable MTDE to realize the value of its
investments in WCT, which has appreciated considerably.

Effect of Disposal

The disposal is expected to be utilized to reduce borrowings and
for working capital purposes.

Directors' and Substantial Shareholders' Interest

Except for Dato' Dr. Nik Hussein bin Abdul Rahman and Haji Nik
Faizul bin Dato' Nik Hussain, who are deemed substantial
shareholders of WCT , none of the directors, substantial
shareholders of the Company and or persons connected with them
have any interests, whether direct or indirect in the disposal.

Condition of the Disposal

The said disposal is not subject to the approval of shareholders
or any relevant authorities.

Directors' Opinion

The Board of Directors of the Company is of the opinion that the
said disposal is in the best interest of the Company.


RENONG BERHAD: SC Conditionally Approves Proposed SOA
-----------------------------------------------------
Renong Berhad refers to the announcements dated 27 March 2003
and 9 May 2003 in relation to Proposed Scheme of Arrangement
Under Section 176 of the Companies Act, 1965 (Proposed SOA).

On behalf of Renong, Commerce International Merchant Bankers
Berhad is pleased to announce that the Securities Commission
has, via their letter dated 18 July 2003, approved the Proposed
SOA subject to, inter-alia, the disclosure of certain risk
factors pertaining to the Proposed SOA being made in the
Explanatory Statement and Circular to shareholders of Renong to
be issued in due course.


ROAD BUILDER: Clarifies Sri Lanka Project Media Report
------------------------------------------------------
In response to various press reports and articles on 22 July
2003 and 23 July 2003 in relation to Road Builder (M) Holdings
Bhd's association with the Government of Sri Lanka's existing
Colombo-Katunayake expressway project, the Company wishes to
clarify the following:

   1) A proposal on the expressway project was submitted in
January 2003 by the Company on a Build, Operates, Own and
Transfer basis;

   2) the Company and the Government of Sri Lanka were not able
to reach a mutual agreement during the negotiation on the
proposal; and

   3) as no mutual agreement was reached, the Company was not
awarded the project by the Government of Sri Lanka and no work
was carried out by the Company.

The Company is continuing to explore viable projects on a
prudent basis in the international arena complementing the
Group's business growth strategy within the core business areas
of construction, property development, toll road, port and
infrastructure development to further enhance shareholders'
value.


SITT TATT: Court Orders MISL to File Disclosure Affidavit
---------------------------------------------------------
Sitt Tatt Berhad refers to the earlier announcements dated 17
June 2003 and 4 July 2003 in relation to the Injunction Order on
MISL & Associates Sdn Bhd (MISL).

Sitt Tatt Berhad Company wishes to inform that a notification
dated 22 July 2003 has been received from the Directors, Tan Sri
Datuk Dr Mohan Swami, JP and Dato' Pang Wee Pat, JP via their
solicitors that on 14 July 2003, the High Court had ordered MISL
to file an affidavit disclosing transactions in shares of Sitt
Tatt Berhad (STB) and to cause proceeds of such transactions to
be deposited into MISL's solicitor account.

MISL had appealed against the order of 14 July 2003 to the Court
of Appeal and pending the appeal's hearing, MISL has applied for
a stay of the order of the High Court dated 14 July 2003. At the
hearing for the stay yesterday, the application by MISL was
dismissed with costs by the Court of Appeal. MISL is now
required to comply with the order of the High Court by 31 July
2003.


SOUTHERN STEEL: Appoints Oo Soon Hee as Alternate Director
----------------------------------------------------------
Southern Steel Berhad issues this Change in Boardroom Notice:

Date of change : 23/07/2003
Type of change : Appointment
Designation    : Alternate Director
Directorate    : Non Independent & Non Executive
Name           : OO SOON HEE
Age            : 59
Nationality    : SINGAPOREAN
Qualifications : He graduated from the University of Singapore
with a Bachelor of Science (Honors) degree in Applied Chemistry
and holds a Diploma in Business Administration.
Working experience and occupation  : Worked in various
management positions primarily in NatSteel Group and K1 Ventures
Ltd.
Directorship of public companies (if any) : Nil
Family relationship with any director and/or major shareholder
of the listed issuer : Nil
Details of any interest in the securities of the listed issuer
or its subsidiaries : Nil

Remarks : Mr Oo Soon Hee has been appointed as Alternate
Director to Mr Ang Kong Hua.

According to Wrights Investors' Service, at the end of 2002,
Southern Steel Berhad had negative working capital, as current
liabilities were RM860.14 million while total current assets
were only RM506.10 million. It also reported that company has
paid no dividends during the last 12 months. Southern Steel
Berhad last paid a dividend during fiscal year 1997, when it
paid dividends of 0.10 per share.


SPORTMA CORP.: Proposals Warrants Admitted to Official List
-----------------------------------------------------------
Corporate and Debt Restructuring Scheme of Sportma Corporation
Berhad involving, inter-alia, the following:

   (i) Cancellation of the entire share premium reserve of
SPORTMA amounting to RM1.05 million as at cut off date on 31
December 1999;

   (ii) Share swap by way of exchanging ten (10) existing
ordinary shares of RM1.00 each in SPORTMA for one (1) new
ordinary share of RM1.00 each in HARNLEN and the transfer of
SPORTMA's listing status to HARNLEN;

   (iii) Transfer of part of the liabilities of SPORTMA
amounting to RM17,787,251 to HARNLEN, by way of novation of
debt;

   (iv) Rights Issue of up to 30,000,000 new ordinary shares in
HARNLEN (Rights Shares) together with up to 30,000,000 free
detachable warrants (Warrants) at an issue price of RM1.30 per
share on the basis of twelve (12) Rights Shares with twelve (12)
Warrants for every one (1) HARNLEN share held after the Share
Swap and Transfer of Listing, subject to a minimum subscription
level of 7,307,692 Rights Shares together with 7,307,692
Warrants;

   (v) Acquisition by HARNLEN of the entire equity interest of
Uniglobal Sdn Bhd from LNH Enterprise Sdn Bhd and acquisitions
of fixed assets held by Lian Hup Manufacturing Company Sdn Bhd,
Syarikat Senang Oil Palm Estate Sdn Bhd and Perdana Properties
Bhd, which on a collective basis consist of 4 oil palm
plantations with a total acreage of 16,433.8 acres, a palm oil
mill and a 25-storey commercial building for a total purchase
consideration of RM209 million;

   (vi) Restructuring and settlement of debts owing to the
creditors of SPORTMA;

   (vii) Liquidation of SPORTMA and its remaining subsidiary
companies not already in liquidation pursuant to the voluntary
winding up provisions under the Companies Act, 1965 and the
Companies (Winding Up) Rules 1972;

   (viii) Exemption to the vendors and parties acting in concert
with them from the obligation to undertake a mandatory general
offer for the remaining shares in HARNLEN not already owned by
them.

The above are collectively referred to as "Proposals".

Kindly be advised that HARNLEN's entire issued and paid-up share
capital comprising 185,477,159 ordinary shares of RM1.00 each
and 74,310,095 Warrants arising from the Proposals, will be
admitted to the Official List of the Exchange, in place of
SPORTMA, and the listing and quotation of HARNLEN's ordinary
shares and Warrants on the Second Board under the "Plantation"
and "Loans" sectors respectively will be granted with effect
from 9:00 a.m., Friday, 25 July 2003, on a "Ready" basis
pursuant to the Rules of the Exchange.

The Stock Short Name, Stock Number and ISIN Code of HARNLEN's
ordinary shares are "HARNLEN", "7501" and "MYL7501OO009"
respectively.

The Stock Short Name, Stock Number and ISIN Code of HARNLEN's
Warrants are "HARNLEN-WA", "7501WA" and "MYL7501WAI73"
respectively.

The reference price for HARNLEN's ordinary shares is RM1.30 and
the trading limit will be 500%.

Each Warrant will entitle its registered holder, at any time
during the Exercise Period, to subscribe for one (1) new
ordinary share of RM1.00 each in HARNLEN at the Exercise Price.

The Exercise Price is RM1.00 for each new HARNLEN share.

The Exercise Period commenced on 18 July 2003, being the date of
issue of the Warrants and expires on 17 July 2008.

Kindly be advised that the ordinary shares and Warrants are
prescribed securities. Dealings in the aforesaid securities
shall be carried out in accordance with Securities Industry
(Central Depositories) Act, 1991 and the Rules of Malaysian
Central Depository Sdn Bhd.

Kindly also be reminded that only "free securities" can be
utilized for settlement of trades involving the aforesaid
ordinary shares and Warrants.


UCP RESOURCES: SC OKs Proposed Corp, Debt Restructuring Scheme
--------------------------------------------------------------
Further to the announcements dated 29 October 2002, 1 November
2002, 31 December 2002 and 3 January 2003 in relation to the
Proposed Corporate And Debt Restructuring Scheme, which
collectively refers the following:

   ú Proposed Share Exchange;
   ú Proposed Debt Settlement;
   ú Proposed Acquisitions;
   ú Proposed Capitalization of GRSB Advances;
   ú Proposed Disposal of GRSB Shares to SHSB;
   ú Proposed Rights Issue;
   ú Proposed Placements;
   ú Proposed Transfer and Listing;
   ú Proposed Liquidation; and
   ú Proposed Exemption

On behalf of UCP, Public Merchant Bank Berhad (PMBB) is pleased
to announce that the Securities Commission (SC) had via its
letter dated 18 July 2003, which was received on 21 July 2003,
approved the Proposed Corporate And Debt Restructuring Scheme as
proposed.

However, the SC had revised the purchase considerations for
certain acquisitions as detailed below:

   (i) proposed acquisition of J.M.R. Construction Sdn Bhd
(JMR);

   (ii) proposed acquisition of Lean Seng Chan (Quarry) Sdn Bhd
(LSC);

   (iii) proposed acquisition of Martron (M) Sdn Bhd (MSB);

   (iv) proposed acquisition of Jiran Wira Sdn Bhd (JWSB);

   (v) proposed acquisition of Hoton Sdn Bhd (HSB);and

   (vi) proposed acquisition of Superb Action Sdn Bhd (SASB).

The said revisions to the purchase considerations are set out in
Table 1 at http://bankrupt.com/misc/TCRAP_UCP0725.pdf.

As a consequence of revisions to the purchase considerations for
(i) to (vi) above, the disposal of ordinary shares of RM1.00
each in Goldenseal Resources Sdn Bhd (GRSB) to Synergy Harvest
Sdn Bhd (SHSB) by each of the existing shareholders of JWSB, HSB
and SASB and Rantronics Sdn Bhd (RSB) (save for Dynabricks Sdn
Bhd) of their entire shareholdings in GRSB held after the
completion of the Proposed Acquisitions to SHSB, is now
20,291,647 ordinary shares of RM1.00 each in GRSB (GRSB Shares)
instead of 23,223,702 GRSB Shares as proposed previously.

In terms of the Proposed Debt Settlement, the SC had revised the
following:

   * the value for the proposed set-off and transfer of land
held as collateral by Affin Bank Berhad has been revised to
RM3,600,000 instead of RM2,611,000 as previously proposed and
correspondingly, the proposed settlement of debts owing to all
creditors of UCP via the issuance of 20,000,000 new GRSB Shares
together with the realization of assets of UCP has been revised
to the issuance of 19,011,000 new GRSB Shares together with the
realization of assets of UCP.

In relation to the proceeds raised from the Proposed Rights
Issue, the SC takes note of the proposed utilization as stated
in Table 2 at http://bankrupt.com/misc/TCRAP_UCP0725.pdf.

However, the following conditions must be complied with in terms
of the utilization of proceeds from the Proposed Right Issue:

   (i) The approval of the shareholders of GRSB should be
obtained for any variation of 25% or more from the original
utilization of the proceeds from the Proposed Right Issue. In
the event the variation is less than 25%, appropriate
disclosures should be made by GRSB to its shareholders;

   (ii) Any extension of time required by GRSB for the
utilization of the proceeds from the Proposed Right Issue must
be approved by a resolution of the Board of Directors of GRSB
and announced to the Kuala Lumpur Stock Exchange (KLSE); and

   (iii) Appropriate disclosures on the status of the
utilization of the proceeds from the Proposed Right Issue must
be made in GRSB's quarterly reports and annual report(s), until
such time when the said proceeds have been fully utilized.

The approval of the SC is conditional upon the following:

   (i) UCP/GRSB is required to appoint an independent audit firm
(which is experienced in investigative audit and has not been in
the past and is not the current auditor of the UCP Group) within
two (2) months from the date of the letter of approval of SC to
conduct an investigative audit on the past losses of UCP.
UCP/GRSB is also required to take necessary steps to recover the
losses incurred. Based on the findings of the investigative
audit, UCP/GRSB has to report to the relevant authorities if
there has been any breach of any laws, rules, guidelines and/or
Memorandum and Articles of Association by the directors of UCP
and/or other parties, which resulted in the said losses of UCP.
The investigative audit is to be completed within six (6) months
from the date of the appointment of the said independent audit
firm. Two (2) copies of the investigative audit report have to
be submitted to the SC after completion of the investigative
audit and the resultant findings has to be announced;

   (ii) Full disclosure is required to be made in the circular
to shareholders (Circular)/prospectus in relation to the
following matters:

     (a) The amount of trade debts, together with their
respective ageing analysis and the debts which have exceeded the
credit period; and

     (b) Directors are required to disclose their
comments/statements on the recoverability of the trade debts
that have exceeded the credit period;

   (iii) Full provision has to be made on the following trade
debts, where:

     (a) the amounts are in dispute;
     (b) legal proceedings have been initiated or undertaken;
and
     (c) the amounts have been outstanding for more than six (6)
months;

   (iv) The directors of the acquiree companies are required to
provide written confirmations to the SC and UCP/GRSB that the
trade debts which exceeds their credit periods are recoverable
and provision for doubtful and bad debts have been incorporated
into the financial statements as well as the financial
forecast/projections, prior to the issuance of the
Circular/prospectus of UCP/GRSB;

   (v) Any bad debts outstanding after the implementation of
Proposed Acquisitions, which have not been provided for or
disclosed in the Circular/prospectus, are to be reimbursed by
the respective vendors of the relevant acquiree companies;

   (vi) GRSB is required to comply with the public shareholding
spread requirements within six (6) months from the date of
listing of GRSB. In this regard, GRSB is required to obtain the
KLSE's waiver from having to comply with the public shareholding
spread requirements of the Listing Requirements of KLSE;

   (vii) PMBB/UCP/GRSB is required to furnish a detailed plan
(including the time frame for the implementation of each
proposal) for UCP/GRSB to fully comply with the public
shareholding spread requirements, prior to the listing of and
quotation for the entire share capital of GRSB on the Second
Board of the KLSE;

   (viii) UCP/GRSB is required to make full disclosure in the
Circular/prospectus in relation to the asphalt manufacturing
industry, its related risks, its risk-management plan and steps
taken/to be undertaken to mitigate/address the said
risks/weaknesses;

   (ix) Promoters/ Directors of GRSB are not allowed to be
involved in any business that would result in a conflict of
interest with the business of the GRSB Group. The promoters/
Directors of GRSB are required to make appropriate disclosure in
the Circular/prospectus regarding details of their involvement
in any business that are similar to or competes with that of the
GRSB Group in Malaysia or other places;

   (x) PMBB/ placement agent is required to furnish the SC with
the final list of placees and provide confirmation that the
Proposed Placement, when implemented, will comply with the
Policies and Guidelines on Issue/Offer of Securities issued by
the SC (SC Guidelines);

   (xi) Irrevocable profit guarantees must be made available to
guarantee the profit after taxation of JMR, LSC and the GRSB
Group, instead of only JMR and LSC, for the financial years
ending 2004, 2005 and 2006. Details of the profit guarantees to
be provided are disclosed in Table 3 at
http://bankrupt.com/misc/TCRAP_UCP0725.pdf.

   (xii) SHSB must comply with the moratorium requirements
imposed on the disposal of GRSB Shares as provided for in the
new SC Guidelines;

   (xiii) PMBB/UCP/GRSB is required to disclose details
regarding the expert's report in relation to the volume of
reserve in the quarry in the Circular/prospectus;

   (xiv) UCP/GRSB must obtain the approval from the relevant
authorities for the usage of Lot No.2404, Section 1, District
Timur Laut, as office-use. The approval must be obtained within
six (6) months from date of the SC's approval letter;

   (xv) PMBB and UCP/GRSB must fully comply with the relevant
requirements in relation to the implementation of the Proposed
Corporate And Debt Restructuring Scheme as stipulated in the SC
Guidelines; and

   (xvi) UCP/GRSB must comply with the conditions imposed by
other relevant authorities.

PMBB and UCP/GRSB are required to furnish the SC a written
confirmation on compliance of all terms and conditions imposed
by the SC upon completion of the Proposed Corporate And Debt
Restructuring Scheme.

PMBB and UCP/GRSB are reminded that any breach or non-compliance
of any conditions or terms of the above SC's approval is an
offence under the Securities Commission Act, 1993 and is subject
to the penalties therein.

In addition, PMBB is pleased to announced that the SC had via
its letter dated 21 July 2003, approved the proposed exemption
for SHSB and parties acting in concert with SHSB from the
obligation to extend a mandatory offer for the remaining GRSB
Shares not already owned by them upon completion of the Proposed
Corporate and Debt Restructuring Scheme under the Practice Note
2.9.3 of the Malaysian Code on Take-Overs and Mergers, 1998.

The Board of Directors of UCP and the respective vendors of the
acquiree companies are currently deliberating on the
abovementioned terms and conditions of the SC's approval, the
announcement of the decision of which will be made in due
course.


WOO HING: Creditors' Voluntarily Liquidates Subsidiaries
--------------------------------------------------------
Further to the announcement on 24 June 2003, the Special
Administrators of Woo Hing Brothers (Malaya) Berhad approved the
Special Resolution for the creditors' voluntary liquidation at
the Extraordinary General Meetings (EGMs) of the following
wholly owned subsidiaries of the Company:

No.  Subsidiary Company            No.         Date of EGMs
1    Luxury Graph Sdn Bhd          381626-T 21 July 2003
2    The Watch Gallery Sdn Bhd     150588-A 21 July 2003
3    Variawati Corporation Sdn Bhd 367409-V 21 July 2003
4    Media Direction Sdn Bhd       419057-A 21 July 2003
5    The Brown Boutique Sdn Bhd    152153-T 21 July 2003
6    Victorian Deluxe Sdn Bhd      406919-V 22 July 2003
7    Alfamaxi Sdn Bhd              419068-U 22 July 2003
8    Pan Viva Sdn Bhd              418142-T 22 July 2003
9    Scanwide Corporation Sdn Bhd  419636-U 22 July 2003
10   Seroja Menarik Sdn Bhd        379940-M 22 July 2003
11   Seroja Kembangan Sdn Bhd      381203-P 22 July 2003

The liquidation of the above subsidiaries is provided under the
Special Administrators' Workout Proposal dated 8 August 2002 and
its modifications.


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


MANILA ELECTRIC: Clarifies Loan Payment Report
----------------------------------------------
Manila Electric Co. (Meralco) clarifies the news article
entitled "Meralco gets six months to pay PhP 4.7 billion loan"
published in the July 2, 2003 issue of the BusinessWorld
(Internet Edition). The article reported "Manila Electric Co.
(Meralco), the country's largest power distributor, reached an
agreement with creditors on Monday to roll over payment on a
short-term loan for six months. Company President Jesus
Francisco told Reuters by phone that the firm was given a six-
months extension for loans worth the equivalent of Php4.7
billion (US$87.6 million). A further Php700 million from the
original loans of around Php 5.5 billion will be paid
immediately. "We got an extension for six months from July 21 to
January 2004, although the creditors have an option to shorten
that to three months under certain conditions,' he said."

Manila Electric Company (Meralco), in its letter dated July 22,
2003, stated that:

"Meralco's short-term creditor banks have agreed to extend the
maturity of the short-term loans of Meralco, which feel due
Monday 21 July 2003. The promissory notes under the short-term
facility have a final maturity of January 2004 and the facility
is subject to review by the short-term creditors after a 3-month
period or in October 2003. This is the second extension sought
by Meralco, which had similarly obtained an extension sought by
Meralco, which had similarly obtained an extension last April
2003. The extension provides Meralco relief while the Company
strives to put in place a permanent solution to address its
forthcoming debt maturities and other operating cash flow
requirements within this year.

Meralco has approximately Php 4.7 billion outstanding Peso and
US$ short-term loans with BPI, Citibank, Equitable PCI Bank and
Banco de Oro. This amount represents about 16 percent of
Meralco's outstanding debt of Php30 billion. The Company remains
optimistic that it will be able to meet its remaining debt
service payments to its long-term lenders this year on schedule.

For a copy of the press release, go to
http://www.pse.org.ph/html/disclosure/pdf/dc2003_2377_MER.pdf


MANILA ELECTRIC: ERC Orders to Improve Refund Scheme
----------------------------------------------------
The Energy Regulatory Commission (ERC) has asked the Manila
Electric Co. (Meralco) to explore other options to improve the
process of implementing the P30.05-billion refund scheme, the
Philippine Star said on Thursday. ERC Chairman Manuel Sanchez
called for the review of the refund process amidst continuing
complaints from consumers.

Recently, the ERC ordered Meralco to implement the second phase
of refund starting September 2003, which shall be completed on
or before Dec. 31 this year. The second stage of the refund is
expected to benefit some 2.2 million registered customers of
Meralco consuming 101 kilowatthours (kwh) to 300 kwh a month
covering the period from Feb. 1994 to May 2003.


PERMANENT SAVINGS: PDIC Issues Check Payment Notice to Creditors
----------------------------------------------------------------
On April 24, 2003, the Honorable Court, Regional Trial Court of
Manila, Branch 46, approved the Project of Distribution of the
Assets of Permanent Savings and Loan Bank. Creditors are
therefore advised to claim their check payment from the bank's
Deputy Liquidator at the ground floor of PDIC Building, 2228
Chino Roces Avenue (formerly Pasong Tamo St.), Makati City,
starting June 24, 2003 from Monday to Friday, 8 a.m. to 5 p.m.


RURAL BANK OF TALISAY: PDIC Issues Liquidation Notice
-----------------------------------------------------
The Philippine Deposit Insurance Corporation (PDIC) as
Liquidator of the Rural Bank of Talisay (Camarines Norte), Inc.,
will submit on July 09, 2003 at 8:30 AM to the Liquidation Court
(Regional Trial Court of Daet, Camarines Norte, Branch 40) the
Project of Distribution of Liquidating Dividends to creditors of
the said bank for approval.


TIBAYAN GROUP: Prevented From Unloading Shares
----------------------------------------------
The Securities and Exchange Commission (SEC) Wednesday
instructed the Philippine Stock Exchange (PSE) and its member-
brokers to refrain from executing any trade orders on stock
market investments held by the Tibayan Group through accounts
held by various brokers, ABS-CBN reports.

The SEC said it received a report that two Tibayan companies,
TMG International Holdings Inc. and Tibayan Management Corp.
were attempting to dispose of their entire stock portfolio on 22
listed companies while under preliminary investigation by the
Department of Justice.

The SEC investigated Tibayan and Multitel last year for
allegedly carrying out what is the biggest investment scam in
Philippine history and the probe has been transferred to the
justice department for legal prosecution.


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


NEPTUNE ORIENT: Finalizes AET Deal With MISC
--------------------------------------------
Neptune Orient Lines (NOL) and Malaysia International Shipping
Corp (MISC) on Tuesday signed and sealed the transaction on
NOL's crude oil tanker subsidiary American Eagle Tankers, the
Straits Times reports. MISC paid US$445 million in cash for AET
and will also fund a US$75 million cash dividend from AET to
NOL. NOL will also collect a higher price if AET's earnings rise
above an undisclosed threshold over the next two years. NOL sold
AET to ease its debt burden after withdrawing it from a planned
initial public offering (IPO) in 2001, when share values of
similar companies plunged unexpectedly.


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


GENERAL ENGINEERING: Decreases Registered, Paid-up Capital
----------------------------------------------------------
General Engineering Public Co., Ltd.(GEL) has informed the Stock
Exchange of Thailand that is has completed the legal process
required for decreasing of the company's registered capital and
paid-up capital, by decreasing the par value from Bt10 to Bt2.50
without any changes in number of shares.

As a result, effective from July 24, 2003 onwards,the par value
of the "GEL" security in the trading system will be changed from
Bt10 to Bt2.50.

Remark: Since the "GEL" security is still suspended from
trading, so "GEL" will trade under the new par value of Bt2.50
when the "GEL" is allowed to resume for trading.


QUALITY HOUSES: TRIS Assigns "BBB" Ratings to Debentures
--------------------------------------------------------
TRIS Rating Co., Ltd. has assigned "BBB" ratings to Quality
Houses PLC (QH) and its up to Bt3,000 million senior debentures.
The ratings reflect QH's long track record in the property
market, its strong brand name in single detached houses, support
from its major shareholder (Land & Houses Group) and recurring
income from its serviced apartments and office buildings. These
strengths are partly offset by QH's highly-leveraged balance
sheet and the cyclical nature of the property development
market.

TRIS Rating reported that QH is one of the largest property
developers in Thailand established in 1983 as a joint venture of
property developer Land & Houses PLC (LH), the Gaysorn Group and
Dhana Siam Finance and Securities PLC. As of 20 May 2003, its
major shareholders are the LH group (26%) and the Government of
Singapore Investment Corporation Pte. Ltd. (8%). QH originally
engaged in home-building and the development of commercial
properties for rent and it built its first housing development
in 1992. Currently, sales from housing account for approximately
84% of its total sales, with the remainder divided between
recurring income from service apartments (10%) and offices
for rent (6%). QH's strategy to focus more on high-end single
detached houses (SDHs) has been successful. The implementation
of a pre-built housing strategy together with the aggressive
launch of its five-quality housing concept, has helped the
company receive a positive response from its target group.
In 2002, QH delivered 412 housing units, with an average price
of Bt7.5 million a unit. The competition in the mid-to-high
segment of the housing market is expected to intensify for the
rest of 2003, as many projects are set to be launched during
this period.

TRIS Rating said recurring income from QH's high-rise projects
typically contributes 15%-20% to its total sales. Currently QH
has four serviced apartments and four office buildings. QH's
"Centerpoint" serviced apartments, totaling 688 units, are among
the largest and the most well-known serviced apartments in
Thailand. QH has two new apartment projects, with a total of 100
units that are under-construction and expected to commence
commercial operations in early 2004. Average occupancy rate for
QH's serviced apartments was 83% in the first three months of
2003, which was comparable to the industry average of 84% for
the same period. However, TRIS Rating has concerns about
increasing competition from new serviced apartments particularly
in the Langsuan Area. QH has four office buildings, with
combined office space of 54,818 square meters. However, rental
income from its office buildings contributes only 6% of total
sales.

QH's 2002 performance was satisfactory. Although its
profitability was relatively low, when compared to its peers, it
is expected to improve when its new housing projects are added
to existing projects. QH's highly-leveraged balance sheet
remains a concern. Although the Bt1,500 million increased
capital from the exercise of warrants in April 2003 was used to
repay some debt, its debt-to capitalization ratio is expected to
be relatively high, at approximately 57% in 2003. Given its
target of launching three or four SDHs projects a year, QH may
require Bt1,000-1,500 million from external sources to fund the
projects.

TRIS Rating said the real estate industry is cyclical. Despite a
recovery in housing demand since 2000, competition in the
industry is expected to intensify, particularly for single
detached houses, as more and more developers conclude
restructuring agreements and resume operations.


SIAM UNITED: Discloses Shares Offering Results
----------------------------------------------
Siam United Services Public Company Limited reported that result
of its Shares Offering held on July 22, 2003:

1. Information relating to the Debt to Equity Conversion

   Type of Share                        Common Shares
   Amount of Debts Converted            Baht 100 million
   Number of Shares Issued              100 million shares
   Debt to Equity Conversion Party      Thai Asset Management
                                        Corporation (TAMC)

2. Result of Debt to Equity Conversion

   Baht 100 million of Debt : 100 million shares

3. Details of Debt to Equity Conversion

            Thai Investor             Foreign Investor
        Juristic Person  Person   Juristic Person  Person  Total
Number (s)     1                                             1

   Amount of Debts Converted    Baht 100 million
   Number of Share Issued       100 million shares
   Percentage of Shares Issued  100

4. Amount of money received

None because of the Debt to Equity Conversion


THAI PETROCHEMICAL: Aromatics (Thailand) Merger Likely
------------------------------------------------------
The new debt management team of Thai Petrochemical Industry
Public Company Limited is exploring the possibility of merging
the company with Aromatics (Thailand) Plc, a PTT unit.

DebtTraders reports that the potential move aims to reduce cost
and boost competitiveness. The team wants to retain some of non-
core assets but valuable asset of the company, including the
108-megawatt electricity generation and a port.

Under of the original debt plan, the power plant, the port and
TPI's 49% stake in TPI Polene will be disposed of to raise $2.8
billion for debt reduction.


* DebtTraders Real-Time Bond Pricing
------------------------------------

Issuer             Coupon   Maturity   Bid - Ask   Weekly change
-----              ------   --------   ---------   -------------

Asia Pulp & Paper     FRN     due 2001   1.5 - 3.5       -0.5
Asia Pulp & Paper     11.75%  due 2005  39.0 - 42.0      +2.0
APP China             14.0%   due 2010  34.5 - 36.5       0.0
Asia Global Crossing  13.375% due 2006  14.25 - 15.25     0.0
Bayan Telecom         13.5%   due 2006  17.0 - 21.0       0.0
Daya Guna Sumudera    10.0%   due 2007   2.0 - 4.0        0.0
Hyundai Semiconductor 8.625%  due 2007  76.0 - 81.0       0.0
Indah Kiat            11.875% due 2002  40.0 - 43.0       0.0
Indah Kiat            10.0%   due 2007  38.0 - 41.0       0.0
Paiton Energy         9.34%   due 2014  100.5 - 101.5     0.0
Tjiwi Kimia           10.0%   due 2004  32.0 - 34.0      +1.0

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.

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
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                 *** End of Transmission ***