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

                     A S I A   P A C I F I C

             Friday, June 11, 2004, Vol. 7, No. 115

                            Headlines

A U S T R A L I A

ADSTEAM MARINE: CEO Clay Frederick to Retire
DUKE ENERGY: Unit Set to Grow Gulf Natural Gas Storage Facility


C H I N A  &  H O N G  K O N G

CHINA CONSTRUCTION: Formally Announces Listing Next Year
GOOD SOON: Issues Winding Up Petition
GUANGDONG INDUSTRY: Releases Notice to Prove Debts
L.A. CORPORATE: Schedules Winding Up Hearing on June 30
OTB SERVICES: Issues Debt Claim Notice to Creditors
TIMELESS SOFTWARE: Releases Notice of Board Meeting


I N D O N E S I A

BANK PERMATA: ABN Amro Named Financial Adviser for Planned Sale
PERTAMINA: Asks For Doubled Operating Fees


J A P A N

DAIEI INC.: To Sell 3.25 Million Treasury Stock Abroad
DAIEI INC.: UFJ May Cease Financial Support
MARUBENI CORPORATION: Enters Alliance With U.S. Firm
MITSUBISHI MOTORS: Phoenix Capital Keeping JPY70B Pledge
MITSUBISHI MOTORS: To Get JPY295B Capital Injection This Month
NISSAN MOTOR: Launches Newest Luxury Sedan for China
UFJ HOLDINGS: Shareholder's Meeting Set June 25


K O R E A

ASIANA AIRLINES: Wins 2004 Airline Excellence Award
DAEWOO HEAVY: To Finalize Bidders Shortlist Next Week
HYNIX SEMICONDUCTOR: Sees US$1.7B Profit Next Year
KOREA EXCHANGE: S&P Upgrades Rating To BBB-/A-3


M A L A Y S I A

BOUSTEAD HOLDINGS: Issues 198,000 Additional Shares
BRITISH AMERICAN: SC Approves CPs/MTNs Programme
GULA PERAK: BMSB To Grant Listing Of 18,500 Ordinary Shares
KAI PENG: Appoints New Director And Executive Deputy Chairman
MWE HOLDINGS: Acquires 140,000 Ordinary Shares

NYLEX BERHAD: Issues Notice On Book Closure
SIME DARBY: BMSB To Grant Additional 64,000 New Ordinary Shares
SIN HENG: Issues Renounceable Rights Up To 37,988,750 New Shares
SUNWAY CONSTRUCTION: Issues 1,616,000 Additional Shares
SURIA CAPITAL: Clarifies Notice Published On New Sabah Times
TANJONG PUBLIC: To List 45,000 Additional Ordinary Shares
YCS CORPORATION: Issues Update On Financial Condition


P H I L I P P I N E S

BAYAN TELECOMMUNICATIONS: Creditors Oppose Receiver's Rehab Plan
MANILA ELECTRIC: Issues Clarification On Generation Charge
MANILA ELECTRIC: To Complete Refund By Year-end
PHILIPPINE LONG: PSE Approves Additional Listing Of 1,500 Shares


S I N G A P O R E

HUA KOK: In Reverse-takeover Talks with Possible 'White Knights'


T H A I L A N D

EASTERN WIRE: Philaphan Phalasuk Quits Audit Committee
SIAM AGRO: Issues Performance Progress Report
SIAM SYNTECH: Completes Legal Process To Change Name
SRITHAI FOOD: SET Transfers Securities To Rehabco Sector
THAI PETROCHEMICAL: Quarterly Spending Exceeds THB300M

* Large Companies With Insolvent Balance Sheets

     -  -  -  -  -  -  -  -

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


ADSTEAM MARINE: CEO Clay Frederick to Retire
--------------------------------------------
Mr. Clay Frederick, Chief Operating Officer and Executive
Director, will be retiring from Adsteam Marine Limited effective
17 September 2004, a company press release said.

The press release stated:

Mr. Frederick joined Adsteam in 1993 as Chief Executive Officer
of the Marine Division of The Adelaide Steamship Company
Limited. He has been responsible for managing the operations of
Adsteam Marine throughout the early years of its development
prior to the new company's float in 1997. He has played a
significant role in the integration of the acquisitions within
Adsteam Marine Limited. Clay has been pivotal in creating the
company we have today and has set the foundation for us to build
on into the future.

As a result of Clay's impending departure, the Company has taken
the opportunity to review the corporate structure. The Group
Management Team will be broadened to include the positions of
General Manager, Ocean & Terminals, General Manager, Adsteam
Harbour Australasia, Chief Executive Officer U.K., General
Manager, Operations and General Manager, Strategic Marketing.

Consistent with our strategy to achieve the lowest cost of
operation, the new structure will be leaner and flatter,
resulting in lower administration costs. The position of Chief
Operating Officer will not be replaced and the number of
directors will reduce from seven to six.

The new Group Management Team will be formed on 1 July 2004.
Clay will be working with Adsteam through to 17 September

The organizational chart describes the proposed structure at
http://bankrupt.com/misc/tcrap_adsteam0610.pdf


DUKE ENERGY: Unit Set to Grow Gulf Natural Gas Storage Facility
---------------------------------------------------------------
Duke Energy Gas Transmission (DEGT) announced Wednesday it is
expanding by 8 billion cubic feet (Bcf) the natural gas storage
capacity at its Market Hub Partners' (MHP) Egan facility in
Acadia Parish, Louisiana.

DEGT and MHP are increasing the certificated working gas storage
capacity at Egan from 16 Bcf to 24 Bcf under authority from the
Federal Energy Regulatory Commission. By mid-to-late 2006, it is
projected that Egan's two existing 8 Bcf caverns will be joined
by a third like-sized cavern.

"The Egan facility has forged a proven track record of storage
and storage-related service offerings to its customers. Egan
customers can utilize up to seven interstate pipelines to
connect to the services there," said Greg Rizzo, a group vice
president for DEGT and president of MHP, the DEGT unit that
operates the company's salt dome storage assets. "The expansion
of Egan will provide additional high-deliverability storage
services that can help customers respond to the impact of
natural gas price volatility."

MHP drilled the pilot hole into the Egan-area underground salt
dome formation last year as part of the expansion. The cavern
leaching process begins this month.

"As a working facility with infrastructure in the ground, Egan
clearly offers advantages to customers seeking high-
deliverability storage services," Rizzo said. "Equally
important, as evidenced by this latest expansion announcement,
we are able to rapidly add more capacity as market conditions
warrant."

DEGT and MHP utilize the low-cost "Solution Mining Under Gas"
(SMUG) technology to quickly bring additional capacity to the
marketplace with no interruption of service.

The SMUG technique uses specially designed wellheads and
leaching equipment to flush salt from the caverns. The
components can switch from injecting fresh water and withdrawing
the salt-concentrated brine to injecting and withdrawing natural
gas.

"With 12-turn (monthly injection/withdrawal cycles) capability
and more than 1.2 Bcf of current deliverability, Egan is ideal
for electric generation peak-day and peak-hour requirements,"
Rizzo said.

Local distribution companies seeking supply reliability during
periods of market volatility also utilize the salt dome storage
at Egan. In addition, Egan is ideally positioned on the Gulf
Coast with capabilities to meet the balancing requirements of
current and future liquefied natural gas facility operators.
Egan has been fully subscribed since Duke Energy's acquisition
of MHP in 2000. It currently has more than 20 customers
utilizing firm, interruptible, park & loan and wheeling
services.

"Natural gas storage is a key component of DEGT's service
offerings," Rizzo said. "With the belief that additional natural
gas infrastructure can mitigate price volatility, we are
actively pursuing expansions and new projects across North
America that provide greater deliverability at peak times when
it's needed most in an effort to help our customers weather
periods of higher prices."

MHP owns and operates a second salt dome storage facility in
Moss Bluff, Texas, with 16 Bcf of current working gas capacity
and the company has received approval to develop another salt
dome storage facility in Copiah County, Miss.

Duke Energy Gas Transmission is a North American leader in
developing energy infrastructure and connecting major natural
gas supply basins to growing markets. The company's natural gas
operations include more than 17,500 miles of interstate
transmission pipeline and about 250 billion cubic feet of
storage capacity in Canada and the United States. More
information on DEGT can be found at:
http://www.duke-energy.com/businesses/companies/degt.asp

Duke Energy is a diversified energy company with a portfolio of
natural gas and electric businesses, both regulated and
unregulated, and an affiliated real estate company. Duke Energy
supplies, delivers and processes energy for customers in North
America and selected international markets.

Last month, Fitch Ratings affirmed the Long-term and Short-term
ratings assigned to Duke Energy Australia Pty Ltd's (DEA) AUD750
million multi-currency combined medium-term note (MTN) and
commercial paper (CP) program at 'BBB-' (BBB minus) and 'F3' and
revised the rating outlook to stable from negative, TCRAP Vol. 7
No. 93 reports.

The rating action follows the Outlook revisions to U.S.-based
Duke Energy Corp. (Duke Energy) and its wholly owned subsidiary
Duke Capital Corp. (Duke Capital) as detailed in the
accompanying press release on Duke Energy and Duke Capital.

Contact: Gretchen Krueger
Phone: 713/627-4072
24-Hour Phone: 704/382-8333
E-mail: gdkrueger@duke-energy.com


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


CHINA CONSTRUCTION: Formally Announces Listing Next Year
--------------------------------------------------------
China Construction Bank (CCB) will split into a holding group
and a joint-stock company paving the way for a stock listing
next year, Investors Business Daily reports.

Announced officially Wednesday, this split will make CCB the
first of China's big-four state-owned commercial banks to go
public. According to AFX, the newly formed joint-stock company,
which will form CCB's listing vehicle, will inherit from the
original bank all the major operating businesses. The holding
company, which will remain in government hands, will manage the
rest of the assets and debts.

To pave the way for the listing, the bank is selling billions of
yuans in non-performing loans and assets to cut its non-
performing loan ratio to between 3 and 5 percent from the
current 8.77 percent.  Last week, the bank sold US$483 million
in bad debt assets, including land and shopping centers, to
consortiums led by Morgan Stanley and Deutsche Bank.


GOOD SOON: Issues Winding Up Petition
-------------------------------------
Notice is hereby given that a Petition for the Winding up of
Good Soon King Restaurant Limited by the High Court of Hong Kong
was on May 7, 2004 presented to the said Court by Li Wai Fong of
1/F., Block G, 43 Gage Street, Hong Kong. The said Petition is
directed to be heard before the Court at 10:00 a.m. on June 30,
2004 and any creditor or contributory of the said company
desirous to support or oppose the making of an order on the said
petition may appear at the time of hearing by himself or his
counsel for that purpose. A copy of the petition will be
furnished to any creditor or contributory of the said company
requiring the same by the undersigned on payment of the
regulated charge for the same.

Ms. ADA CHAU MING WAI
For Director of Legal Aid
34th Floor, Hopewell Centre
183 Queen's Road East, Wanchai
Hong Kong

Note: Any person who intends to appear at the hearing of the
said petition must serve on or send by post to the above named,
notice in writing of his intention to do so. The Notice must
state the name and address of the person, or if a firm or his or
their Solicitor (if any) and must be served or if posted, must
be sent by post in sufficient time to reach the above named not
later than six o'clock in the afternoon of the 29th day of June
2004.


GUANGDONG INDUSTRY: Releases Notice to Prove Debts
--------------------------------------------------
The creditors of Guangdong Industry Limited (in Voluntary
Liquidation) are required, (if they have not already done so, on
or before July 2, 2004, to send in their names, addresses and
particulars of their debts and claims, and the name and address
of their solicitors, if any, to the Liquidators of the said
company, and, if so required by notice in writing from the said
liquidators, are personally or by their solicitors to come in
and prove their said debts or claims at such time and place as
shall be specified in such notice, or in default thereof, they
will be deemed to waive all of such debts or claims and the
Liquidators will be entitled, seven days after the above date,
to distribute any and all surplus assets or funds available or
any part thereof to the members.

SUEN PUI YEE
IAIN FERGUSON BRUCE
Liquidators.
11th Floor, Prince's Building
10 Chater Road, Central
Hong Kong

This announcement is dated June 4, 2004.


L.A. CORPORATE: Schedules Winding Up Hearing on June 30
-------------------------------------------------------
Notice is hereby given that a Petition for the Winding up of
L.A. Corporate Services Limited by the High Court of Hong Kong
was on May 3, 2004 presented to the said Court by Tang Chi Wai
Joe of Room 1104, Pok Yat House, Pok Hong Estate, Shatin, New
Territories, Hong Kong. The said Petition is directed to be
heard before the Court at 9:30 a.m. on June 30, 2004 and any
creditor or contributory of the said company desirous to support
or oppose the making of an order on the said petition may appear
at the time of hearing by himself or his counsel for that
purpose. A copy of the petition will be furnished to any
creditor or contributory of the said company requiring the same
by the undersigned on payment of the regulated charge for the
same.

Ms. ADA CHAU MING WAI
For Director of Legal Aid
34th Floor, Hopewell Centre
183 Queen's Road East, Wanchai
Hong Kong

Note: Any person who intends to appear at the hearing of the
said petition must serve on or send by post to the above named,
notice in writing of his intention to do so. The Notice must
state the name and address of the person, or if a firm or his or
their Solicitor (if any) and must be served or if posted, must
be sent by post in sufficient time to reach the above named not
later than six o'clock in the afternoon of the 29th day of June
2004.


OTB SERVICES: Issues Debt Claim Notice to Creditors
---------------------------------------------------
Notice is hereby given that the creditors of OTB Services
Limited which is being wound up voluntarily are required, on or
before July 5, 2004 to send their names and addresses, with full
particulars of their debts or claims, and the names and
addresses of their solicitors, if any, to the undersigned and
Mr. John Toohey, the Joint and Several Liquidators of the above
company, and further, if so required by notice in writing from
the said Liquidator, personally or by their solicitors or
representatives, to come in and prove their said debts or claims
at such time and place as shall be specified in such notice, or
in default thereof, they will be excluded from the benefit of
any distribution made before such debts are proved.

RAINIER HOK CHUNG LAM
Joint and Several Liquidators
22/F., Prince's Building
Central
Hong Kong

This announcement is dated June 4, 2004.


TIMELESS SOFTWARE: Releases Notice of Board Meeting
---------------------------------------------------
The board of directors (the Board) of Timeless Software Limited
(the Company) hereby announces that a meeting of the
Board will be held at 79/F., The Center, 99 Queen's Road
Central, Hong Kong on Friday, June 18, 2004 at 3:30 p.m. for the
following purposes:

(1) To consider and approve the audited final statements of the
Company and its subsidiaries for the year ended March 31, 2004
and approve the draft announcement of the final results to be
published on the GEM website and the Company's website;

(2) To consider the payment of the final dividend, if any;

(3) To consider the closure of the Register of Members, if
necessary;

(4) To consider convening the Annual General Meeting of the
shareholders of the Company; and

(5) To transact any other business.

By Order of the Board
LAW KWAI LAM
Company Secretary

This announcement is dated June 8, 2004.


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


BANK PERMATA: ABN Amro Named Financial Adviser for Planned Sale
---------------------------------------------------------------
The Indonesian government has appointed ABN Amro as financial
adviser for the planned sale later this year of a 71% stake in
PT Bank Permata, reveals Dow Jones.

Bank Permata is at present under the control of PT Perusahaan
Pengelola Aset (PPA), a state agency in charge of assets
formerly held by the now-defunct Indonesian Bank Restructuring
Agency (IBRA).

To test the interest of foreign investors, PPA plans to hold
roadshows for Bank Permata stakes in several countries next
month.


PERTAMINA: Asks For Doubled Operating Fees
------------------------------------------
State gas and oil firm Pertamina has requested the government to
double its fuel processing and distribution fees to help
alleviate the company's financial troubles, The Jakarta Post
says.

Under the proposal, Pertamina is asking that the fees be raised
to 80 US cents per barrel from the current 40 US cents per
barrel.

Pertamina President Ariffi Nawawi said Wednesday that they are
not seeking more profits, but to raise just enough funds to
cover all their operating cost burdens.

At present, Pertamina processes government-owned crude oil and
distributes it to the public at government-set prices.
The government takes 85 percent of the output of the country's
oil fields, while the remaining 15 percent goes to the
contractors.

Pertamina processes about a million barrels of crude oil per day
at seven refineries, including 700,000 barrels of government oil
and 300,000 of imported oil.


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


DAIEI INC.: To Sell 3.25 Million Treasury Stock Abroad
------------------------------------------------------
Daiei Inc. said it would sell 3.25 million of its treasury stock
in overseas markets and use the funds to repay debt, according
to Reuters.

The selling price would be decided between June 9 and 11, the
company said in a statement. The stock had a value of JPY1.13
billion (US$10.31 million) at Wednesday's closing price of
JPY348.

The ailing retailer will sell the stock to underwriter Daiwa
SMBC, the investment-banking arm of Japan's second-biggest
brokerage, Daiwa Securities Group Inc., for sale mainly in
European markets.


DAIEI INC.: UFJ May Cease Financial Support
-------------------------------------------
The future of Daiei Inc. was thrown into doubt on Wednesday amid
indications that UFJ Holdings might cease to provide support to
the troubled retailer, reports the Financial Times.

UFJ said it would continue to support one of its largest
troubled borrowers, Nissho Iwai-Nichimen, but made no mention of
Daiei, fueling speculation the bank might be planning to halt
further financial assistance to the retailer. The lender has
pledged to reduce non-performing loans by US$16.5 billion in the
first half - an ambitious goal that means the bank must rapidly
cut exposure to its most troubled large borrowers, such as
Daiei.


MARUBENI CORPORATION: Enters Alliance With U.S. Firm
----------------------------------------------------
Marubeni Corporation has entered into an agreement with MediVas,
LLC, a U.S. company developing and manufacturing pharmaceutical
grade polymer for drug-eluting stents, to obtain $5 million
worth of convertible notes. As part of this agreement, Marubeni
will become the exclusive licensing and sales agent of MediVas's
technology and products in Japan.

In a press release, MediVas's patented polymer technology is
quite different from those that are already in the market.
MediVas manufactures bioabsorbable polymer, which reduces
concerns over the influence that an active drug ingredient might
have if left inside the body for a long period of time.
Furthermore, because this polymer can be conjugated with the
active drug ingredients, it increases the ability to control the
sustained release of drugs.

The market for drug-eluting stents is said to account for over
half of the stent market in the US and Europe while the world
market is about $3 billion. In the future, with the further
development and spread of drug-eluting stents, the market of
stents in 2005 is estimated to be about $4-5 billion, the
majority of which will be drug-eluting stents.

MediVas has signed licensing agreements with major medical
device companies such as Guidant Corporation and Boston
Scientific Corporation for the use of its polymers for drug
eluting stents and other medical applications. MediVas is
currently negotiating with other major medical device companies
in this field.

Moreover, MediVas will apply its patented technology of coating
thin layers of polymer to the whole part of the stent as well as
for drug delivery system for wound healing and tissue
engineering applications and will utilize the polymer technology
for site specific drug delivery systems such as nano-particles
for diseases such as cancer and auto-immune diseases.

Marubeni Corporation's Business Incubation department, which is
in charge of this project, is aiming to enter into new
technology fields such as medical devices. In practice,
Marubeni's function after investment is to provide all necessary
solutions to venture companies to increase their values.

Examples of some of the approaches taken for overseas companies
are licensing, business development and establishing a joint
venture.

By obtaining the convertible note of MediVas, Marubeni will be
actively assist MediVas in business development by licensing the
technology to, arranging the research collaboration with, and
promoting future product sales to the Japanese stent
manufacturers and pharmaceuticals.

MediVas, LLC, was founded in 1997 and is based in California.
The company develops and manufactures pharmaceutical grade bio-
absorbable polymers for drug-eluting stent, drug delivery
system.

Drug-eluting stent: A stent is a medical device constructed of a
fine metal wire mesh that is used for treatment of vascular
blockages. The stent is implanted to hold open the coronary
arteries surrounding the heart. Until now, after treatment by
bare stent, coronary arteries re-closed (restenosis) in more
than 20%% of all patients. Drug-eluting stents uses polymer,
which are saturated with drugs, such as immunosuppressants and
anticancer drugs. The stent releases the drug to prevent the
artery from narrowing and is widely used in the US and Europe.
In Japan, the first drug eluting stent product received approval
in March 2004, and has been introduced to the market.

About Marubeni Corporation

Marubeni Corporation was established in 1858, and is a core
company of Marubeni Group, one of Japan's leading general
trading houses. Operations encompass domestic import, export and
offshore trade. Activities range from the development of natural
resources to the retailed marketing of finished products. For
the past several years, Marubeni Group has been establishing and
enhancing its worldwide information and communication business.
Marubeni Group continues to create comprehensive IT services
through investment. For further information, please visit the
Marubeni Corporation home page at: www.marubeni.co.jp

Japan Credit Rating Agency said Marubeni's earnings power has
improved due to cut in expenses as well as withdrawal from
unprofitable businesses, TCRAP Vol. 7 No. 19 reports. On the
other hand, its interest-bearing debt and total assets were
reduced. However, Marubeni still carries large amount of
securities and real estate against the amount of shareholders'
equity.

Contact:
Marubeni Corporation
Hiroshi Nishizaki
Nishizaki-H@marubeni.co.jp
+81-3-3282-4803


MITSUBISHI MOTORS: Phoenix Capital Keeping JPY70B Pledge
--------------------------------------------------------
The corporate revival fund that promised to inject JPY70 billion
into Mitsubishi Motors Corporation is keeping its pledge despite
the negative publicity generated by the defect cover-up scandal.

"We are explaining to our investors that the situation is
constantly changing at MMC," Phoenix Director Katsumasa Ogawa
said. "We will carry on with our planned investment but we are
being very careful and watching how the scandals unfold very
carefully."

The Tokyo-based revival fund has pledged to exchange US$638
million in fresh capital for newly issued common stock that will
make it the carmaker's largest shareholder with a stake of 33
percent or more.  This investment forms part of the rescue
package for MMC put together after its biggest shareholder
DaimlerChrysler AG refused to pump up any additional capital
into the ailing automaker.


MITSUBISHI MOTORS: To Get JPY295B Capital Injection This Month
--------------------------------------------------------------
Mitsubishi Motors Corporation will receive a capital injection
of JPY295 billion from Mitsubishi Group firms and China Motor
Corporation later this month, JPY15 billion more than was
initially planned, according to Japan Times.

China Motor and Mitsubishi Group firms that include Mitsubishi
Heavy Industries Ltd., Mitsubishi Corporation and Bank of Tokyo-
Mitsubishi, are scheduled to purchase preferred shares from the
automaker, with payment due this month.


NISSAN MOTOR: Launches Newest Luxury Sedan for China
----------------------------------------------------
Nissan Motor unveiled its newest luxury sedan for China, the 3.5
liter V6 Teana, at the Beijing Motor Show. The new sedan, with
its elegant styling, luxurious interior, and refined and
powerful driving performance is designed for successful,
discerning and sophisticated customers.

The Teana will be built by Dongfeng Motor Co., Ltd. (DFL) at its
Xiangfan plant in Hubei Province, where new investment and the
introduction of Nissan's standardized production methods will
ensure the highest levels of global quality. The new car will go
on sale across China from this autumn through DFL's passenger
vehicle dealer network.

Confident Style

The Teana's exterior styling speaks for itself. With its arched
roof and confident lateral lines, the Teana has a composed and
balanced profile, exuding assurance, stability, elegance and
good taste.

Interior Luxury

Adopting Nissan's FF-L (Front engine, Front-wheel drive, Large)
platform, the Teana offers spacious cabin comfort for both front
and rear occupants. With its integrated interior features, the
cabin is designed to reflect the atmosphere of a contemporary
living space with the focus on relaxation, simplicity and style.

Interior features include:

Air-Massage Seats - the two front and two rear air-massage
seats are designed to fit comfortably with the shoulder and
backbone offering a relaxing back massage to relieve stress and
tension.

Dual Zone Climate Control - the fully automatic system offers
separate temperature and air conditioning options for each front
seat passenger.

Rear View Monitor - real-time images of the blind area behind
the car are relayed to a center console screen to reduce the
risk of rear-end collision while reversing.

Refined & Powerful Performance

The Teana will offer Nissan's 3.5 liter V6 engine from the VQ
series, named one of "Ward's Ten Best Engines(a)" for the past
ten years. Coupled with an automatic transmission, the Teana
delivers 180kw (245 ps), or 242 horsepower, of power at 6,000
rpm, and 318Nm (32.4kgm), or 235 lb-ft, of torque at 3,600 rpm,
providing refined driving performance in the city and ample on-
demand power for the open road.

Handling and Safety

The independent multi-link rear suspension, newly developed for
the Teana, has been adopted to achieve comfortable driving
performance with superb handling and stability.

The handling is further improved by the Vehicle Dynamics Control
System (VDC). Using the Anti-Lock Braking System and the
Traction Control System, the VDC improves traction and
directional stability, thus enhancing performance in emergency
avoidance maneuvers and reducing the risk of skidding on
slippery roads.

The Teana's braking system features Nissan Brake Assist and
Electronic Brake force Distribution (EBD). Nissan Brake Assist
increases braking power with less pedal effort, while the EBD
offers more effective, better balanced braking by applying
additional force to the rear brakes as the weight of the car
increases.

Teana also features six SRS (Supplemental Restraint Systems)
airbags - two front and two side airbags, as well as two curtain
airbags - increasing safety for both front and rear occupants.

Powerful Xenon headlamps, which provide more intensity than
conventional halogen lamps, offer improved visibility for safer
night driving.

Start of Sales

Pre-orders for the new Teana will begin today, with sales
starting through DFL's passenger vehicle dealer network from the
autumn.

Teana Success

The Teana has already been a great success in the Japanese
market since its launch last year. In 2003, Nissan sold over
33,000 Teana in Japan, with more than 11,000 already sold this
year. The Teana won the "Best Value Award 2004-2005" from Car of
the Year Japan, and the "Good Design Award" from JIDPO, the
Japan Industrial Design Promotion Organization.

Nissan in China

Nissan's presence in China grew 35% in 2003, with over 93,000
Nissan vehicles sold, including 65,000 passenger vehicles
produced by DFL. Nissan's strategic investment in Dongfeng Motor
Co., Ltd. has created the country's largest international
automotive partnership. Under its mid-term business plan 'Two
Cubed', DFL plans to double its current sales of passenger and
commercial vehicles to 620,000 units, double its revenue and
achieve a double digit operating profit by 2007.

(a) "Ward's Ten Best Engines" list is published annually by
Ward's Communications, Inc. in the United States. The VQ engine
is the only engine that has been part of the list every year the
award has been presented.

Last month, Nissan said it posted a record net profit of
JPY503.7 billion in the past year to March, driven by the best
vehicle sales in 13 years, TCR-AP Vol. 7 No. 108 reports.
Contacts

Nissan Corporate Communications
Fred Standish, 310-771-5946
Gina Pasco, 310-771-3416


UFJ HOLDINGS: Shareholder's Meeting Set June 25
-----------------------------------------------
The third ordinary general meeting of the shareholders of UFJ
Holdings Inc. will be held in accordance with the schedule
described below.

Schedule

(1) Date and Time:  June 25, 2004 (Friday) at 10:00 a.m.

(2) Place:          UFJ Tokyo Building, 1-1, Otemachi 1-chome,
                   Chiyoda-ku, Tokyo

(3) Subject matters of the meeting:

Matters to be reported:  Matters concerning the report on the
business report, the balance sheet, and the profit and loss
statement for the third fiscal year (from 1st April 2003 to
31st March 2004)

Matters to be resolved:

Agenda Item No. 1: Matters concerning the approval of the plan
for disposition of profits for the third fiscal year

Agenda Item No. 2: Matters concerning partial amendment to the
Articles of Incorporation

Agenda Item No. 3: Matters concerning election of seven (7)
Directors

Reference Documents with respect to the Exercise of Voting
Rights

(1)  Number of Voting Rights Held by All the Shareholders
5,056,626

(2)  Agenda and Reference Matters:

Agenda Item No. 1: Matters concerning the approval of the plan
for disposition of profits for the third fiscal year

Due to the fact that our banking subsidiary substantially
increased the allowance for doubtful receivables for a drastic
solution of bad loan problems and other reasons, we have posted
a substantial loss on a consolidated basis for this fiscal year.

In addition, as severe financial and economic circumstances are
expected to continue, we consider it important to enhance our
retained earnings and strengthen the financial base of our group
from the viewpoint of the maintenance of soundness in
management. As a result, to our regret, we propose not to pay
any dividends of ordinary shares for this fiscal year.

The Company proposes that dividends of each class of preferred
shares for this fiscal year be in the predetermined amount per
share.

Agenda Item No. 2: Matters concerning partial amendment to the
Articles of Incorporation

(Reason for amendment and substance of this agenda item)

Following the enforcement of the 'Law for Partial Amendments to
the Commercial Code of Japan and to the Law for Special
Exceptions to the Commercial Code of Japan concerning Audit,
etc. of Kabushiki kaisha' (Law No. 132 of 2003), it became
possible to acquire the company's treasury stocks upon a
resolution of the Board of Directors in accordance with the
provisions of the Articles of Incorporation. In accordance
therewith, the necessary provisions are newly established in
order to realize the implementation of the mobile plan to
strengthen our capital base.

Following the enforcement of the 'Law for Partial Amendments to
the Commercial Code, etc. of Japan' (Law No. 128 of 2001), it
became possible to prescribe the contents of the voting rights
of preferred shares in the articles of incorporation.

In accordance therewith, such amendments are made.

In addition, in accordance with the conversion of preferred
shares into ordinary shares, the necessary amendments are made.

The proposed amendments are set at
http://bankrupt.com/misc/tcrap_ufj0610.pdf


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


ASIANA AIRLINES: Wins 2004 Airline Excellence Award
---------------------------------------------------
British research advisory group Skytrax recently declared Asiana
Airlines winner of the Airline Excellence Awards 2004 along with
eight other airlines, the Korea Times reports.  The airline was
also adjudged the best provider of flight services in Asia.

Asiana plans to sell its assets for 258.3 billion won (US$219.8
million), as part of its restructuring plan, TCR-AP reported
recently.  Its shareholders include Kumho Group, a company
equally troubled by heavy debt load caused by its rapid
expansion.


DAEWOO HEAVY: To Finalize Bidders Shortlist Next Week
-----------------------------------------------------
The selection of bidders for the final around has been moved to
next week, delaying the planned sale of Daewoo Heavy Industries
and Machinery Limited, Yonhap News says.

The auction, however, is sure to occur as state-run Korea Asset
Management Corporation -- the firm's largest shareholder with a
35 percent stake -- intends to push ahead with the sale,
notwithstanding workers' opposition.  The report did not
identify any of the bidders.


HYNIX SEMICONDUCTOR: Sees US$1.7B Profit Next Year
--------------------------------------------------
Hynix Semiconductor Inc. forecasted a net income of KRW1.95
trillion in 2005 (US$1.7 billion) from a net income of KRW1.5
trillion this year, Bloomberg reported on Wednesday.

After piling up losses of KRW11.8 trillion over four years and
averting bankruptcy through a creditor-led bailout, Hynix has
sold assets to focus on making computer memory chips.

Earlier this month, Hynix's creditors approved the sale of its
non-memory operations to a venture capital arm of Citigroup Inc.
for KRW954.3 billion. Shareholders will vote on the sale next
month.


KOREA EXCHANGE: S&P Upgrades Rating To BBB-/A-3
-----------------------------------------------
Standard & Poor's Ratings Services has raised its credit ratings
on Korea Exchange Bank (KEB) to 'BBB-/A-3' from 'BB+/B'. The
outlook on the long-term rating is stable.

The upgrade is based on the expectation that KEB will reduce its
credit risks and the new management team's strategic focus will
shift away from asset growth toward profitability.

In particular, Standard & Poor's believes that:

(i) While exposure to financially weak, large corporations is
still a constraint on the credit quality of KEB, the potential
losses are likely to be smaller than previously, because the
bank has realized losses or increased provisions for its
exposure.

(ii) KEB's card assets are expected to continue to incur losses
in 2004, but additional credit costs should decline because of
reduced lending, aggressive provisioning in the past, and
tightened underwriting criteria for new card users.

(iii) KEB's management team, newly appointed in early 2004, aims
to change the corporate culture toward earnings performance and
away from asset growth.

"Given the bank's relatively thin capital base, the new
management team's strategy to emphasize risk management and
operational efficiency is adequate, but it will take a while to
change the corporate culture, given resistance toward staff
restructuring," Standard & Poor's credit analyst Young Il Choi
said.

KEB's exposure to some large corporations and SMEs remains a
challenge for the bank, but the current level of risk should be
manageable unless Korea's export industry or domestic
consumption encounters major problems. At the end of March 2004,
unsecured credit to SMEs accounted for 55% of KEB's total loans
to the SME sector, but the delinquency rate on these unsecured
loans is still below 1%.

Since its establishment in 1967, KEB has maintained strengths in
foreign exchange and trade financing. As a result, fees and
commissions contributed 31% of operating revenues before
provisioning and selling & administrative expenses in 2003.

KEB's capitalization is weak by international standards, which
leaves the bank exposed to the risk of coping with a potential
economic downturn with a relatively thin capital base.
Consolidation among domestic competitors limits the potential
for the bank to improve its overall market position, which is a
factor in the bank's moderate net interest margin.

Lone Star, a U.S. private equity fund, held a 50.53% stake in
KEB at the end of April 2004, and could dispose of its stake
within the next few years. A potential ownership change could
limit the bank's ability to implement its key strategy.

Contact: Young Il Choi, Tokyo (81) 3-3593-8413


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


BOUSTEAD HOLDINGS: Issues 198,000 Additional Shares
---------------------------------------------------
Boustead Holdings Berhad disclosed to Bursa Malaysia Securities
Berhad (BMSB) that an additional 198,000 new ordinary shares of
RM0.50 each issued pursuant to the Employee's Share Option
Scheme (ESOS) will be granted listing and quotation effective
9:00 a.m., Monday, 14 June 2004.


BRITISH AMERICAN: SC Approves CPs/MTNs Programme
------------------------------------------------
British American Tobacco (Malaysia) (BATM) Berhad refers to its
announcement dated May 19, 2004 in relation to the proposed
issuance programme of up to RM300.0 million nominal value
commercial papers/medium-term notes (CPS/MTNS) (Proposed
CPS/MTNS Programme) by BATM.

On behalf of BATM, Commerce International Merchant Bankers
Berhad (CIMB) is pleased to announce that the Securities
Commission (SC) has on 3 June 2004 approved the Proposed
CPs/MTNs Programme based on the terms as submitted to the SC,
subject to the following conditions:

(i) Citibank Berhad (Citibank) as the lead arranger for the
Proposed CPs/MTNs Programme, and BATM are required to obtain the
SC's prior approval for any change in the terms and conditions
for the Proposed CPs/MTNs Programme;

(ii) prior to the issuance of the CPs/MTNs under the Proposed
CPs/MTNs Programme, Citibank is required to furnish the
following information or documents to the SC:

(a) A copy of the Facility Maintenance File (FMF/JPB Form);

(b) A certified true copy of the executed trust deed for the
Proposed CPs/MTNs Programme;

(c) A copy of the rating report for the Proposed CPs/MTNs
Programme;

(d) A list of names of the tender panel members; and

(e) A hard and soft copy diskette (in PDF format) of the
complete principal terms and conditions in a specified format.

(iii) BATM is required to provide the following information to
the SC within seven (7) days following each drawdown of the
CPs/MTNs under the Proposed CPs/MTNs Programme:

(a) date of issue;

(b) size of issue;

(c) mode of issue;

(d) utilization of proceeds raised from the issue;

(e) minimum level of subscription and the actual level of
subscription;

(f) tenure of the issue;

(g) issue price, yield to maturity and coupon rate for the
CPs/MTNs;

(h) revisions to the rating, if any, since the last date of
issue of the CPs/MTNSs under the Proposed CPs/MTNs Programme;

(i) List of placees of the CPs/MTNs together with the amount
subscribed, price subscribed and the yield to maturity.

(iv) Citibank is to fully disclose the potential conflict of
interest arising from the Proposed CPs/MTNs Programme together
with relevant mitigating measures, including the appointment of
Mayban Trustees Berhad as trustee for the Proposed CPs/MTNs
Programme to all prospective investors and relevant parties.

This announcement is dated 8 June 2004.


GULA PERAK: BMSB To Grant Listing Of 18,500 Ordinary Shares
-----------------------------------------------------------
Gula Perak Berhad disclosed to Bursa Malaysia Securities Berhad
(BMSB) that an additional new ordinary shares of RM1.00 each
issued pursuant to the conversion of RM18,500 irredeemable
convertible secured loan stocks into 18,500 new ordinary shares
will be granted listing and quotation effective 9:00 a.m.,
Thursday, June 10, 2004


KAI PENG: Appoints New Director And Executive Deputy Chairman
-------------------------------------------------------------
Kai Peng Berhad disclosed to Bursa Malaysia Securities Berhad
the appointment of Tuan Haji Ahmad Jamal Bin Jamil as the new
Director and Executive Deputy Chairman of the company effective
June 7, 2004.

Haji Ahmad Jamal bin Jamil has more than 40 years of experience
in banking, corporate management as well as private businesses.
He has worked with United Asian Bank and Chase Manhattan Bank
for more than 10 years before he joined Sisson Paints Malaysia
and later became its Managing Director. In 1992, he ventured
into business and has various business interests in the building
materials & construction sector.

This announcement is dated 8 June 2004.


MWE HOLDINGS: Acquires 140,000 Ordinary Shares
----------------------------------------------
MWE Holdings Berhad disclosed to Bursa Malaysia Securities
Berhad the acquisition of 140,000 ordinary shares of RM1.00 each
in Davex Holdings Berhad (DHB) for a total consideration of
RM2,499,000.

INTRODUCTION

Pursuant to Paragraph 10.08 of Part E, Chapter 10 of the Bursa
Malaysia Securities Berhad Listing Requirements, the Board of
Directors of MWE Holdings Berhad (MWE) announced that the
Company has entered into the following related party
transaction.

DETAILS OF THE TRANSACTION

The Company has on 8 June 2004 acquired 140,000 ordinary shares
of RM1.00 each representing approximately 1.94 percent
shareholding interest in Davex Holdings Berhad (DHB) from Mr
Tang King Hua (the Vendor), a Director of the Company, for a
total cash consideration of RM2,499,000 (hereinafter referred to
as the Acquisition).

Upon completion of the Acquisition, MWE shall hold 92.89 percent
of shareholding interest in DHB.

BRIEF INFORMATION ON DHB

DHB was incorporated in Malaysia on 21 October 1985 under the
name of Eastrade Sdn Bhd. It was converted into a public limited
company on 18 October 1994 and changed its name to Eastrade
Berhad. It assumed its present name on 24 January 1995.

Its present authorized share capital is RM20,000,000 divided
into 20,000,000 ordinary shares of RM1.00 each of which
7,200,000 ordinary shares of RM1.00 each have been issued and
fully paid-up as at 27 May 2004.

The principal activity of DHB is investment holding while its
subsidiaries are involved in manufacturing and assembling of all
range of electrical cable trunking and lightings, design,
manufacturing, importing, exporting, selling of electrical power
conversion products, general importer and supplier of electrical
fittings, design, manufacturing and distribution of
telecommunication and internet related products, provision of
air, sea freight forwarding services, etc.

Based on the audited accounts for the financial year ended 31
December 2003, DHB Group's net tangible assets per share and
earnings per share are RM11.85 and RM2.98 respectively.

ACQUISITION PRICE

The acquisition price for the DHB shares of RM2,499,000 was
arrived at on a willing buyer willing seller basis taking into
account of the net tangible assets and earnings potential of DHB
as at 31 December 2003.

The total purchase consideration of RM2,499,000 will be funded
by internal generated funds.

RATIONALE FOR THE ACQUISITION

The Acquisition will enable MWE to further increase its interest
in DHB, which is a highly profitable company and has contributed
substantially to the Group's earnings.

EFFECTS ON THE SHARE CAPITAL AND SUBSTANTIAL SHAREHOLDINGS

The Acquisition will have no effect on the share capital and
substantial shareholders shareholding in MWE.

FINANCIAL EFFECTS

The Acquisition is expected to contribute positively to the
future earnings of MWE Group.

DIRECTORS' AND SHAREHOLDERS' INTEREST

MWE is a substantial shareholder of DHB. Datuk Surin Upatkoon,
the substantial shareholder and director of MWE, is also a
director of DHB. Mr. Lawrence Lim Swee Lin, a director and
shareholder of MWE is also a director of DHB. Mr. Tang King Hua,
the Managing Director and a shareholder of MWE is also a
director and substantial shareholder of DHB.

Save as disclosed above and to the best knowledge of the Board
of Directors, none of the Directors nor substantial shareholders
of MWE and persons connected to the Directors or substantial
shareholders has any interest, direct or indirect in the
Acquisition.

APPROVAL REQUIRED

The above acquisition is not subject to the approval of
shareholders of neither MWE nor any relevant authorities.

DIRECTORS' RECOMMENDATION

Having considered all the above, the Board of Directors of MWE
is of the opinion that the Acquisition is in the best interest
of the Company.


NYLEX BERHAD: Issues Notice On Book Closure
-------------------------------------------
Nylex (Malaysia) Berhad disclosed to Bursa Malaysia a Notice of
Book Closure.

Contents:

(A) Capital reduction of the existing issued and paid-up share
capital of Nylex from RM224,487,720 comprising 224,487,720
ordinary shares of RM1.00 each to RM112,243,860 comprising
224,487,720 ordinary shares of RM0.50 each via the cancellation
of rm0.50 from each existing ordinary share of rm1.00 par value
in Nylex pursuant to an order of the High Court of Malaya under
section 64 of the companies act, 1965 resulting in a capital
reserve of RM112,243,860 to be utilized for the capital
distribution (capital reduction)

(b) Consolidation of 224,487,720 ordinary shares of RM0.50 each
in Nylex after the capital reduction into 112,243,860 ordinary
shares of RM1.00 each on the basis of two (2) ordinary shares of
RM0.50 each into one (1) ordinary share of rm1.00 each in Nylex
held at the books closure date (share consolidation)

(c) Capital distribution of Nylex's entire investment in Tamco
Corporate Holdings Berhad (Tamco) of RM112,243,860 comprising
224,487,720 ordinary shares of RM0.50 each on the basis of two
(2) Tamco shares for each consolidated Nylex share held (capital
distribution).

Kindly be advised that:

1) The above Company's securities will be traded and quoted [Ex-
All] as from 21 June 2004.

2) The last date of lodgment 23 June 2004.


SIME DARBY: BMSB To Grant Additional 64,000 New Ordinary Shares
---------------------------------------------------------------
In a disclosure to Bursa Malaysia Securities Berhad (BMSB), Sime
Darby Berhad announced that an additional 64,000 new ordinary
shares of RM0.50 each issued pursuant to the the Employees Share
Option Scheme will be granted listing and quotation effective
9:00 a.m., Thursday, 10 June 2004.


SIN HENG: Issues Renounceable Rights Up To 37,988,750 New Shares
----------------------------------------------------------------
Sin Heng Chan (Malaya) Berhad disclosed to Bursa Malaysia
Securities Berhad that the Renounceable rights issue of up to
37,988,750 new ordinary shares of RM1.00 each (Rights Shares),
with minimum subscription level of 30,000,100 Rights Shares, at
an issue price of RM1.00 per Rights Share on the basis of two
(2) Rights Shares for every one (1) existing ordinary share of
RM1.00 each held in SHCM (Rights Issue).

Kindly be advised that:

1) The above Company's securities will be traded and quoted [Ex-
Rights Issue] as from 22 June 2004.

2) The last date of lodgment: 24 June 2004

3) Retention Money: Where securities are not delivered in time
for registration by the seller, then the brokers concerned:

a) Selling Broker to deduct [2/3], of the Selling Price against
the Selling Client.

b) Buying Broker to deduct [10 percent] of the Purchase Price
against the Buying Client.

c) Between Broker and Broker, the deduction of [2/3] of the
Transacted Price is applicable.


SUNWAY CONSTRUCTION: Issues 1,616,000 Additional Shares
-------------------------------------------------------
In a notice submitted to Bursa Malaysia Securities Berhad,
Sunway Construction Berhad announced that an additional
1,616,000 new ordinary shares of RM1.00 each issued pursuant to
the Employee's Share Option Scheme (ESOS) will be granted
listing and quotation effective 9:00 a.m., Monday, 14 June 2004.


SURIA CAPITAL: Clarifies Notice Published On New Sabah Times
------------------------------------------------------------
Reference is made to Suria Capital Corporation Berhad's Notice
of Annual General Meeting that appeared on Page L19, New Straits
Times (Friday, 4th June 2004) and on Page 8, New Sabah Times
(Sabah Local Newspaper) (Friday, 4th June, 2004).

Please be informed that the said Notice was inadvertently
published on that date in both newspapers.

As announced to Bursa Malaysia on 7th June 2004, the Notice of
the Annual General Meeting together with the Annual Report for
the financial year ending 31st December 2003 will be sent out on
8th June 2004.

The company sincerely apologizes for any inconvenience caused.

This announcement is dated 8th June 2004.

Announcement Authorized By:
ABU BAKAR @ WAHAB HJ. ABAS
Managing Director


TANJONG PUBLIC: To List 45,000 Additional Ordinary Shares
---------------------------------------------------------
Tanjong Public Ltd. Co. in a notice submitted to Bursa Malaysia
Securities Berhad announced that an additional 45,000 new
ordinary shares of 7.5 pence each issued pursuant to the
Employees Share Option Scheme will be granted listing and
quotation effective 9:00 a.m., Wednesday, 9 June 2004.


YCS CORPORATION: Issues Update On Financial Condition
-----------------------------------------------------
YCS Corporation Berhad disclosed to Bursa Malaysia Securities
Berhad that it is still in the midst of negotiation with various
parties to finalize plans to regularize its financial condition.

Further development will be announced accordingly.


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


BAYAN TELECOMMUNICATIONS: Creditors Oppose Receiver's Rehab Plan
----------------------------------------------------------------
Disagreements between creditors of Bayan Telecommunications Inc.
(BayanTel) and its receiver are derailing efforts to finalize
the company's rehabilitation plan, BusinessWorld says.

Creditors oppose the version of Remigio S. Noval, the court-
appointed receiver, who wants BayanTel to pay US$370 million
worth of debt within a 15-year period and allocate only PHP14.8
billion for capital expenditure.  The management, however,
believes BayanTel can only support a debt level of US$275
million within the same period and it needs to spend PHP22
billion to meet its revenue target of PHP130.4 billion.  They
add Mr. Noval is underestimating the capital expenditures needed
to rehabilitate the firm.

Angel S. Ong, BayanTel chief operating officer, says none of the
creditors agrees with Mr. Noval's proposal, adding some favor
the management's version because it takes into consideration the
business shift from fixed landline and voice services to
enterprise data and Internet service.

"With a master restructuring document, possible arbitrariness
and caprice of parties to the rehabilitation, specially the
receiver, may be curbed and potential disagreements between the
stakeholders of BayanTel may be minimized if not totally
avoided," the company stated in a recent court filing.

"What is alarming is how the receiver can effectively supplant
the prerogatives of BayanTel's management for the long period of
rehabilitation of 15 years," it added. "The interim rules grant
the receiver merely oversight and monitoring functions.  The
receiver is not empowered to take over the management and
control of BayanTel."

BayanTel's secured creditors hold the company's assets as a
collateral to its US$248 million in financial claims, while it
is also restructuring an approximate of US$223 million in
unsecured financial claims since 2001.  At present, BayanTel has
US$621 million in outstanding obligations.

BayanTel creditors include the Bank of New York, Avenue Asia
Investments, L.P.; Avenue Asia International Ltd.; Avenue Asia
Special Situations Fund II, L.P.; Avenue Asia Capital Partners,
L.P.; and Van Eck Global Opportunity Masterfund Ltd.;

Philippine National Bank, Development Bank of the Philippines,
Land Bank of the Philippines, United Coconut Planters Bank, and
Asian Finance & Investment Corp., Clearwater Capital Partners
Singapore Pte. Ltd, Deutsche Bank AG, Express Investments III
Private Ltd., Export Development Canada, J.P. Morgan Chase Bank,
PT. Bank Negara Indonesia (Persero) Tbk. (Hong Kong branch), and
Standard Chartered Bank.


MANILA ELECTRIC: Issues Clarification On Generation Charge
----------------------------------------------------------
The Manila Electric Co. (Meralco) on Wednesday clarified in a
press release that the recently approved Generation Charge under
the Generation Rate Adjustment Mechanism (GRAM) is not a Meralco
rate increase.  It is a mere recovery of generation cost that
has accumulated but has not yet been passed to Meralco
customers.  The power service provider added that prior approval
from the Energy Regulatory Commission (ERC) is needed before
these costs can be recovered from its customers.

The latest GRAM approval reflects the cost of generation for the
November 2003 to January 2004 supply months.  Meralco filed for
an adjustment to recover the average generation cost for the
said supply months, which the company already paid to its
suppliers.  ERC subsequently granted a 13.27-centavo adjustment
in the generation charge.

Meralco President and COO Jesus Francisco clarified, "The GRAM
is a cost-recovery mechanism which allows utilities to file with
the ERC for adjustments in the Generation Charge to cover
fluctuations in the price of electricity sourced from the
National Power Corporation (NPC) and Independent Power Producers
(IPPs).

The GRAM and its guidelines were promulgated by the ERC last
February 2003.  Despite the monthly volatility in generation
costs, changes in the generation charge through the GRAM are
effected only every three months.

Impact on residential customers by the adjustment was tempered,
though, by the 3.09-centavo increase in the Power Act Reduction
in June.  This therefore brings down the 13.27-centavo
adjustment to just a 10-centavo per kWh increase.  The rate
adjustments is even further trimmed down for lifeline customers
(those with a monthly consumption of 100 kWh or below) because
of the lifeline discount which is also applied on the generation
charge of these customers.  Thus, residential customers within
the first 50 kWh consumption bracket, which number to 540,133
kWh bracket numbering 281,808 will experience a 6-centavo per
kWh increase while those in the 71-100 kWh bracket will have an
8-centavo per kWh increase.  Commercial and industrial customers
will have to pay the full increase of 13.27 centavos per kWh
plus corresponding franchise tax.

Among the factors influencing changes in generation costs are
fuel prices, the peso-dollar exchange rate and changes in
National Power Corporation's (NPC) rates.

Mr. Francisco made the clarification in the midst of
misconceptions among some sectors that Meralco earns from the
GRAM, whereas the company in fact does not gain a single centavo
from such rate adjustment.  The Meralco official further stated,
"The GRAM is really just a cost-recovery mechanism and revenue
neutral in so far as Meralco is concerned."

He further stated that generation costs as far back as November
2003 will only be reflected in the bills of customers this June.
After Meralco's GRAM filing, ERC has 45 days to decide on a new
generation charge.  "In fact, it is not even an immediate pass
through cost," Meralco's President and COO averred.


MANILA ELECTRIC: To Complete Refund By Year-end
-----------------------------------------------
In a press release, Manila Electric Co. (Meralco), a publicly
listed electricity distribution firm, assured its residential
customers that it will be able to complete Phase III of its
refund program by the end of the year as ruled by the Energy
Regulatory Commission (ERC).

"We will definitely honor the deadline given by the ERC. We are
finding means to ensure that we pay the refund of customers who
fall under Phase III.  These are the residential customers whose
electricity consumption in April 2003 is more than 300 kWh per
month," said Ms. Cheri Torres, Meralco Assistant Vice President
and Refund Project Manager.

Phase III of the refund involves 850 thousand customers and a
refund amount of PhP4,908 billion.  Customers are given the
choice of claiming their refund in cash or crediting the amount
to their future Meralco billings.

According to Ms. Torres, Meralco has already processed close to
90 percent of residential and general services customers under
Phase I to III.  "We're right on schedule and we want to finish
this based on the schedule ordered by the ERC so we can go on
with the next and last phase, which involves our commercial and
industrial customers."

Meralco is currently meeting with business groups to present its
proposed refund scheme for Phase IV.  For small commercial and
industrial customers, the scheme is fixed credit to bills for 36
months.  For the large commercial and industrial customers,
Meralco is offering two (2) options.  The first option is fixed
credit to bills within a five-year period.  The second option is
for Meralco to issue non-interest bearing refund notes which are
tradable in the market for cash.

Though some groups are opposed to Meralco's proposed scheme, Ms.
Torres pointed out that it will be the ERC who will decide on
the payment scheme that would eventually be implemented.
Meralco is looking to submit its proposal to the ERC for the
Phase IV refund scheme before July.


PHILIPPINE LONG: PSE Approves Additional Listing Of 1,500 Shares
----------------------------------------------------------------
The Philippine Stock Exchange approved on June 14, 2000 the
application submitted by Philippine Long Distance Telephone Co.
(PLDT) to list additional 1,289,745 common shares, with a par
value of PhP5.00 per share, to cover the Executive Stock Option
Plan (ESOP) of the company, at an exercise price of Php814.00
per share.

In this connection, please be advised that a total of 1,500
common shares have been availed of and fully paid by the
optionees under the company's ESOP.

In view thereof, the listing of the 1,500 common shares is set
for Thursday, June 10, 2004. This brings the number of common
shares listed under ESOP to a total of 34, 660 common shares.

The designated stock transfer agent is hereby authorized to
record and register in its books the above number of shares.


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


HUA KOK: In Reverse-takeover Talks with Possible 'White Knights'
----------------------------------------------------------------
Troubled construction company Hua Kok International is holding
discussions with so-called 'white knights' for a proposed
reverse takeover, Channel News Asia reports.

To facilitate this transaction, the company is reducing the par
value of each of its shares from five cents to one cent.
Concurrently, the company is also pursuing and securing major
acquisitions of profitable businesses.

"But given that Hua Kok is financially strapped, that would mean
a reverse takeover by the acquired," Channel News Asia says.


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


EASTERN WIRE: Philaphan Phalasuk Quits Audit Committee
------------------------------------------------------
According to the resolution of the company's board of Directors
to appoint Dr. Philaphan Phalusuk as member of audit committee,
Eastern Wire PCL informs the Stock Exchange of Thailand that Dr.
Philaphan Phalusuk has resigned from this position effective on
June 8, 2004, but still retained the position as the Company
director.

Please be informed accordingly,
(Mr.Pirom  Priyawat)
Managing Director


SIAM AGRO: Issues Performance Progress Report
---------------------------------------------
Reference is made to the Stock Exchange of Thailand's (SET)
letter No. Bor. Jor. 444/2547 dated May 27, 2004 concerning the
request to report the progress of the performance of Siam Agro
Industry Pineapple and Others PCL.

Siam Agro, whose shares have been traded under the REHABCO
sector, has already implemented a Rehabilitation Plan to remedy
the cause of being de-listed from the SET.

The process of rehabilitating the business commenced on April
30, 1999 when the Company signed the Debt Restructuring
Agreement with its major creditor, KASIKORNBANK (KBANK),
formerly Thai Farmer Bank Plc. and thereafter submitted a
Rehabilitation Plan that was approved at Shareholders' meeting
on August 16, 1999. Since the injection of new equity in April
1999, the Company has made significant progress in
rehabilitating and securing the business for long-term growth as
highlighted in the attached report.

For your consideration.
Yours sincerely,
Praful Shah
(Managing Director)

Summary of the progress to rehabilitate The Siam Agro Industry
Pineapple and Others PCL.

Background

The Siam Agro Industry Pineapple and Others Plc was listed on
the Stock Exchange of Thailand (SET) on 17 May 1989. Following a
period of poor financial performance from 1993, the SET
suspended the trading shares of Company in February 1997 and
transferred the shares to the REHABCO sector. However, in 1999,
the Company embarked earnestly on a rehabilitation program and
made rapid progress that resulted in SET lifting the suspension
notice on the Company's shares effective 20 March 2000.

The Company is a manufacturer and distributor of processed
fruits, pineapple and tropical fruits. Its core products are
derived from processing of fresh pineapple to canned pineapple
and pineapple juice.

Thailand is the world's largest exporter of canned pineapple and
pineapple juice, constituting about 40 percent of the world's
export volume. The pineapple industry is cyclical with major
fluctuations happening every four or five years subject to
normal weather conditions.

Fresh pineapple for processing in Thailand is sourced mainly
thousands of farmers, each cultivating small size plantations.
When the fresh pineapple price is attractive, farmers will be
lured to switch or enlarge their existing plantations, resulting
in an oversupply of pineapples about 18 months, when the first
harvest of fruit is expected and hence a price slump.

As a consequence, farmers will then switch to other crops that
give better income returns. This will result in supply of fresh
to decrease to the extent it is insufficient to meet demand thus
pushing up the prices that will again encourage farmers to
switch back to pineapple. Generally, one crop of pineapple
plantation allows two consecutive harvests over a period of
about 3 years.

Details of the Company's progress since 1997 can be summarized
as follows:

(1) Equity injection

In April 1999, Del Monte Group Limited (Del Monte), a member of
the then South African based Del Monte Group of companies, a
leading worldwide manufacturer of processed food products under
the premier Del Monte brand name, acquired a controlling
majority stake in the Company by investing THB133.23 million
with the purchase 13.32 million shares in the Company. Del Monte
together with its designee now owns 15,000,001 shares or 50
percent of the paid-up share capital of the Company.

(2) Debt restructurings

(2.1) Following the approval at the Shareholders' meeting on 29
April 1999, the Company signed the Debt Restructuring Agreement
with its major financial creditor, the KASIKORNBANK (KBANK),
formerly Thai Farmer Bank PCL, on 30 April 1999. Prior to this
restructuring, the amount of outstanding debt to KBANK including
accrued interest was THB1,348.71 million, accounting for about
89.9 percent of the Company's total debt with banks and
financial institutions at that moment.

The major components of the debt restructuring with KBANK are:

(a) The entire accrued interest of THB333.26 million up to the
date of signing the Debt Restructuring Agreement is forgiven.

(b) Outstanding debt of THB483.78 million set off against the
sale of land and buildings by the Company to KBANK.  After the
set off, KBANK will lease the assets back to the Company for a
period of up to 5 years. The Company has the option to
repurchase these assets at anytime within 5 years at an agreed
price which is equal to the set-off price plus accumulated
interest at the simple annual rate of 6.0 percent.

(c) Existing debt of THB200.00 million converted to debentures
with interest paid annually at the rate of 3 percent per annum.
The debentures will be redeemed from year 11 to 15 (2010-2014)
in an equal amount of THB40.00 million per year.

(d) The remaining debt balance of THB331.67 million was
restructured as a 10 year-long term loan with a 5-year grace
period on principal repayment. Interest is paid monthly at an
interest rate based on Minimum Lending Rate (MLR) less 0.5
percent. The repayment of the principal amount will commence
from year 6 to 10 (2005-2009) based on a step-up repayment
schedule, starting in April 2005 when the repayment amount is 12
percent of the loan amount. This repayment is increased annually
by 4 percent of the loan amount through to 2009.

(e) In addition, KBANK has granted to the Company new Working
Capital facilities of THB200.00 million to the Company with
interest charged at MOR. This facility is supported by THB100.00
million guarantee from Del Monte.

(f) Since April 1999, the Company has serviced all the debts
with KBANK as and when they fall due.

(2.2) The Company has further restructured the other outstanding
default debts including interest of THB124.48 million with TISCO
Finance PCL, Nakornthon Bank PCL, Cathay Finance (debt
subsequently acquired by Kiatnakin Finance Public Company
Limited) and Vajira Finance (now part of BankThai) in 1999 and
2000.

With the exception of BankThai, all the other debts with these
banks and financial institutions have been repaid as at 31
December 2002. The amount outstanding to BankThai is THB8.495
million as at 31 March 2004.

(3) Old accounts payable to farmers and Co-op

The Company settled in the 2nd and 3rd quarter of 1999, payables
of approximately THB41.00 million outstanding to the local
farmers and Rayong Agricultural Settlement Co-operatives since
1997.

(4) Old accounts payable to trade creditors

As at April 1999, the Company had about THB147.88 million of old
debts outstanding to various trade creditors, some of which were
in litigation. Following court adjudication or bilateral
discussions and negotiations, a work-out plan was agreed and at
31 March 2004, a balance of THB26.99 million was outstanding to
one trade creditor. All other old debts have been settled.

(5) Approval of the rehabilitation plan by the shareholders'
meeting

The Company proposed to the shareholders the Rehabilitation Plan
that was approved at the Shareholders' meeting on 16 August
1999. Following this approval by the shareholders, the
Rehabilitation Plan was then submitted to the SET for disclosure
to the public.

(6) Financial status and performance from 1997 to 2003

After the equity investment by Del Monte in April 1999, the
Company has progressively resumed normal operations with
increased production from June 1999. The outcome of these early
actions has positively impacted the results of the Company from
1999 onwards (see attached chart).

(a) The Company increased the tonnage of pineapple processed
from about 21,000 metric tons in 1997 to about 144,000 metric
tons in 2000 but fell to about 113,000 metric tons in 2003 due
to the cyclical nature of pineapple supply in Thailand.

(b) Over the same period, the Company's revenues from sales have
grown from THB262.60 million in 1997 to THB966.31 million in
2003 after reaching THB1,015.40 million in 2000, reflecting the
cyclical nature of pineapple industry. To minimize the impact of
these pineapple cycles, the Company has embarked on a
diversification strategy to develop and expand the tropical
fruit business and other products, from about THB28.00 million
in 1999 to about THB208.76 million in 2003. Furthermore, the
Company has launched the production and marketing of tomato
ketchup in 2003.

(c) The gross margin has increased from THB2.34 million in 1997
to THB 104.67 million in 2003. At the same time, the ratio of
gross margin to net sales has improved from 0.89 percent in 1997
to 10.83 percent in 2003. The margin has been depressed since
2001 due to higher cost of fresh pineapple as the supply become
tight coupled with the general appreciation of Thai Baht against
US Dollar and increased costs of other raw materials.

(d) However, since 1999 the Company has returned to
profitability and generated net income, recording net income
from continuing operations of thb29.70 million in 1999 and
THB10.60 million in 2003 after posting net income of THB100.51
million, THB57.63 million, and THB23.73 million in 2000, 2001
and 2002 respectively, highlighting the cyclical impact.

(e) Since 1999, against a backdrop of limited capital
availability, the Company has continued to make modest but
selective investments in fixed assets to maintain and improve
product quality and building infrastructure, develop new
products, satisfy customers' requirements, enhancing efficiency
and ensuring that the Company is in compliance with government
regulations, environmental safety and independently accredited
international quality standards.

CAPEX in 1999 was about THB 16.36 million but increased to about
THB31.49 million in 2000 following the installation of major
turnkey project to pack aseptic pineapple crush products and a
juice belt press to enhance the recovery of our pineapple juice
processing.

(f) Following the debt restructuring with KBANK in April 1999,
the Company has managed to reduce the net debt from THB813.45
million at 31 December 1999 to THB723.84 million as at 31
December 2003 with all loans from banks and financial
institutions are serviced as and when they fall due during this
period.

(7) Financial performance for 3 months period ended 31 March
2004

Since the beginning of year, the tight fruit supply situation
has impacted the operations and performance of Company (see
attached chart). The salient points are:

(a) As indicated above the cyclical nature of pineapple crop
continues to adversely affect the core operations of the
Company. The pineapple tonnage processed was about 27 percent
lower than same period last year and the cost of fruit also
remains high.

(b) Whilst the present demand for finished goods remains good,
but due to limited availability of fresh pineapple, the Company
has processed and therefore sold lower volume but at slightly
higher selling prices off-set impact of stronger Thai Baht
versus the U.S. Dollar during this period compared to same
period last year as net sales edged lower to THB187.68 million
in 2004 compared to THB193.20 million for 2003.

(c) Gross margin fell from THB27.14 million in 2003 to THB8.88
million in 2004 due to higher costs and the impact of
significant stronger of Thai Baht versus the U.S. Dollar.

(d) Net interest expense reduced from THB4.38 million in 2003 to
THB2.64 million in 2004 as interest rates have eased coupled
with lower debt levels during the period.

(e) Consequently, the Company's net profit of THB10.40 million
in 2003 declined to a loss of THB10.13 million in 2004 for the
three months period ended 31 March.

(f) Since 1999, against a backdrop of limited capital
availability, the Company has continued to make modest but
selective investments in fixed assets to maintain and improve
product quality and building infrastructure, develop new
products, satisfy customers' requirements, enhancing efficiency
and ensuring that the Company is in compliance with government
regulations, environmental safety and independently accredited
international quality standards. Such CAPEX in 2004 was only
about THB0.67 million compared to THB2.77 million for the same
period in 2003.

(g) Following the debt restructuring with KBANK in April 1999,
the Company has maintained tight control of working capital and
continued to progressively reduce the net debt from THB723.84
million at 31 December 2003 to THB704.70 million as at 31 March
2004 with all loans from banks and financial institutions being
serviced as and when they fall due during this period.

In summary, despite the challenging circumstances this year, the
Company has made significant progress since 1999 in this
cyclical industry as it continues to rehabilitate and secure the
business for long-term growth.


SIAM SYNTECH: Completes Legal Process To Change Name
----------------------------------------------------
Siam Syntech Construction PCL disclosed to the Stock Exchange of
Thailand that it has changed its name to Syntec Construction PCL
and has already completed the legal process for changing its
name.

Therefore, effective June 11,2004, the securities name in the
trading system will be changed as:

Old Name: Siam Syntech Construction PCL

New Name: Syntec Construction PCL

Symbol: SYNTEC (No Change)


SRITHAI FOOD: SET Transfers Securities To Rehabco Sector
--------------------------------------------------------
The Stock Exchange of Thailand (SET) has established procedures
and guidelines for listed company to be transferred to the
Companies Under Rehabilitation (REHABCO) sector by considering
listed company's financial statements showing negative
shareholders' equity on its balance sheet.

However, it should be noted that any unrealized losses that
occurred as a result of the 1997 change in the exchange rate
system can be used to adjust its shareholders' equity.

In addition, in case the auditor has issued a qualified opinion,
or a disclaimer, or an adverse opinion on the financial
statements, the SET may consider the financial condition of the
listed company by including the adjusted condition from the
auditor's report. If company shareholders' equity is less than
zero, the SET will transfer the listed company to the REHABCO
sector.

The SET has considered the audited quarterly financial statement
ending 31 March 2004 filed by Srithai Food and Beverage PCL
(SRI) and found that SRI shareholders' equity had a negative
value. As a result, SRI is subjected to rehabilitation plan
preparation.

Therefore, the SET will proceed under the requirements of the
Rule Governing Delisting of Securities, 1999 as follows:

(1) The SET publicly announces that SRI has been subjected to
rehabilitation plan preparation and temporarily post SP
(Suspension) sign to suspend further trading on 9 June 2004.

(2) The SET will transfer the securities of SRI to REHABCO
sector on 10 June 2004 and temporarily post an SP (suspension)
sign for 30 days from the date of announcement from 9 June 2004
to 8 July 2004 to suspend further trading. This is to give the
company's management time to make prudent decisions that benefit
all parties concerned.

(3) SRI must inform the SET by 8 July 2004 whether it has
decided to prepare a rehabilitation plan to propose to the
company shareholders; or whether they would like to ask for
voluntary delisting; or whether it would like to attempt
rehabilitation under new Bankruptcy Act; or whether it would
like to try other options which will benefit all company
stakeholders involved. The company must also provide the SET
with a time schedule to implement its decisions.

(4) In case the company decides to prepare a rehabilitation plan
to propose to the shareholders, the company must proceed as:

(a) Appoint an independent financial advisor to assist
management in the preparation of the rehabilitation plan.

(b) Co-operate fully with the independent financial advisor in
organizing a meeting to present the rehabilitation plan to
analysts and shareholders, and then also propose it to the
shareholders for approval.

(c) Co-operate with the independent financial advisor in
reporting every three months to the SET on its actual
implementation progress, as compared to the rehabilitation plan
until the causes of possibly being delisted are eliminated.

(5) In case the company which securities are transferred to
REHABCO submits a petition under the Bankruptcy Act, the company
is able to implement the rehabilitation plan approved by the
creditors and the court in place of the plan approved by the
company's shareholders. However, the company still has the duty
to report to the SET about the implementation progress (see No
4(3)).

(6) The SET will allow trading of the securities of SRI under
the REHABCO sector from 9 July 2004 to 9 August 2004 after the
SET disseminates the company's decisions. This is to give all
shareholders a chance to trade the securities, before further
suspension during the company has implemented the rehabilitation
plan.

(7) The SET will post an SP (suspension) sign to prohibit the
trading of SRI on 10 August 2004 onward until the cause of
remedy problem has been solved.

The SET requests that all shareholders and general investors
study the complete set of the financial statements published in
the R-SIMS system. The SET also recommends that it should
follow-up on the rehabilitation plan progress.


THAI PETROCHEMICAL: Quarterly Spending Exceeds THB300M
------------------------------------------------------
The newly appointed plan administrator of Thai Petrochemical
Industry (TPI) led by Gen Mongkol Amponpisit reported that the
company incurred a THB300 million excess in its quarterly
expenditure, Businessday reports.

The said excess is mostly attributed to the advisory fees made
to the Legal Enforcement Department (LED). About THB200 million
went to Siam Commercial Securities and Morgan Stanley Dean
Witter for the services rendered on its second restructuring
plan. Other expenses include THB45 million, plus THB13 million
paid to ABB for the technical analysis work on production.

In addition, Synergy Solution Company Limited also received a
monthly fee of THB20 million, while Universal Assets Co earned
THB2.3 million monthly for advisory work on finance and
accounting. Marketing advisor Chemical Market Associate received
THB9.4 million, while Norton Rose (Thailand) got THB16.5 million
in legal fees.

However, according to Dr. Siri Jirapongphan, a member of the
plan administrator team, these expenses are normal and business-
related. Still, the LED officials pointed out that these
expenses should be included in the rehabilitation plan which has
yet to be approved by the bankruptcy court. The officials also
noted that the former plan administrator, Effective Planners,
had already used up the five-year allocated expenses for the
plan.



* Large Companies With Insolvent Balance Sheets
-----------------------------------------------

                              Total
                                        Shareholders   Total
                                        Equity         Assets
  Company                      Ticker    ($MM)          ($MM)
  ------                       ------    ------------   -------

CHINA & HONG KONG
-----------------

Shenzhen China Bicycles-B
Co., Ltd.                      200017    (-203.9)      52.16
Shenzhen China Bicycles-A
Co., Ltd.                      000017    (-203.9)      52.16


INDONESIA
---------
Barito Pacific Timber Tbk Pt    BRPT       (50.67)     393.92
PT Smart Tbk                    SMAR      (-37.38)     398.89


JAPAN
-----

Fujitsu Comp Ltd                6719       (-46.88)    316.07
Kanebo Limited                  3102     (-3409.58)   4163.73
Prime Systems                   4830      (-100.79)     130.2

MALAYSIA
--------

CSM Corporation Bhd             CSM        (-8.40)      41.55
Faber Group Bhd                 FAB        (-7.16)     504.98
Kemayan Corp Bhd                KOP      (-353.12)      84.89
Panglobal Bhd                   PGL0      (-41.07)     187.79
Sri Hartamas Bhd                SHB      (-138.37)      24.48


PHILIPPINES
-----------

Pilipino Telephone Co.          PLTL     (-400.56)     115.91


  SINGAPORE
  ---------

Pacific Century Regional
Developments Ltd                 PAC      (-176.29)    1050.46


  THAILAND
  --------

Asia Hotel PCL                  ASIA       (-26.62)      96.21
Asia Hotel PCL                  ASIA/F     (-26.62)      96.21
Bangkok Rubber PCL              BRC/F      (-41.29)     80.14
Bangkok Rubber PCL              BRC        (-41.29)     80.14
Central Paper Industry PCL      CPICO      (-37.02)     40.41
Central Paper Industry PCL      CPICO/F    (-37.02)     40.41
Jutha Maritime                  JUTHA      (-0.78)      29.03
Jutha Maritime-F PCL            JUTHA/F    (-0.78)      29.03
National Fertilizer PCL         NFC        (-91.34)    293.84
National Fertilizer PCL-F       NFC/F      (-91.34)    293.84
Siam Agro-Industry Pineapple
And Others PCL                  SAIC      (-14.84)      13.32
Siam Agro-Industry Pineapple
And Others PCL-F                SAICO/F   (-14.84)      13.32
Thai Wah Public
Company Limited                 TWC       (-43.88)     168.15
Thai Wah Public
Company Limited-F               TWC/F     (-43.88)     168.15
Tuntex (Thailand) PCL           TUNTEX    (-50.94)     398.25
Tuntex (Thailand) PCL-F         TUNTEX/F  (-50.94)     398.25







                            *********


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., Frederick, Maryland USA. Lyndsey
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Copyright 2004.  All rights reserved.  ISSN: 1520-9482.

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