/raid1/www/Hosts/bankrupt/TCRAP_Public/060419.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
Wednesday, April 19, 2006, Vol. 9, No. 077
Headlines
A U S T R A L I A & N E W Z E A L A N D
ABLE JOINERY: Decides to Close Operations
A.C.N. 069 106 234: Set to Declare Dividend Today
AIR NEW ZEALAND: Airport Wants Watchdog To Check Code-Share Plan
AUTOWORLD CORPORATION: Liquidation Hearing Set for Tomorrow
AWB LIMITED: UN Key Witness to Appear Before Cole Inquiry
BLISSRIVER PTY: Winds Up Business
BRO SERVICES: Members Opt for Voluntary Liquidation
BROID PTY: Supreme Court Issues Wind-up Order
CAPITALCORP TECHNOLOGY: Enters Voluntary Liquidation
CLIFFORD ENTERPRISES: Members Discuss Wind-up with Liquidator
COMEDIA PTY: Receivers and Managers Named
CSETI PROJECTS: Members Agree to Shut Down Operations
DATAMETRIX PTY: Inability to Pay Debts Prompts Wind-up
DELGARN PTY: Appoints Norbert Ryker as Liquidator
ERS PTY: Liquidator Presents Wind-up Report
EVODRIVE LIMITED: Faces Liquidation Proceedings
FOAMWOOD INVESTMENTS: Members Agree to Have Business Liquidated
GYMPIE GOLD: Geroff and Lewis Cease to Act as Receivers
IK BALL & COMPANY: Prepares to Distribute Assets
JAMES HARDIE: Closes Roofing Business in California
JAMES HARDIE: Aborigines To Launch Asbestos Actions
MENDOCINO PTY: Placed Under Voluntary Liquidation
NORTH CENTRAL: Court to Hear Wind-up Application on April 24
SCALY DAZE: To Pay Final Dividend on April 28
SOUTHERN CONTROLS: Members to Receive Liquidator's Report
TELSTRA LIMITED: To Take on Foxtel Partnership with IPTV Plan
TOP NOTCH BUILDERS: Undertakes Voluntary Liquidation
VALDIA PTY: Supreme Court Appoints Company Liquidator
C H I N A & H O N G K O N G
ARCONTECH CORPORATION: Wind-up Petition Hearing Fixed on May 3
ASIA TIME TECHNOLOGIES: Court to Hear Wind-up Petition on May 10
CHAMPOINT DEVELOPMENT: Members Appoint Liquidators
CONCORD PLUS: Court Names Official Liquidator
DAILY DELIVERY: Appoints Liquidator to Winds Up Operations
FOOK KEE: Enters Winding Up Proceedings
FORKIDS TOYS: Picks Muk & Middleton as Joint Liquidators
HARBOUR DRAGON: Placed Into Liquidation
HILLKING DEVELOPMENT: Names Official Liquidators
KARTING MALL: Court Orders Winding Up
KENFORD HOLDINGS: Schedules Meeting on April 20
KOMOKO TRADING: Appoints Muk & Middleton as Liquidators
LEAD ACTION: Taps Joint Liquidators from KPMG
LIOTE PROPERTY: Liquidation Process Commenced
MASTER LINK: Court Orders Winding Up
MEGAPOWER TECHNOLOGY: Court Initiates Winding Up
N.G.A. OPTICAL: Sutton and Chiong Named as Liquidators
PACIFIC WELL: Creditors' First Meeting Slated for April 20
PROFIT RAINBOW: Court to Hear Wind-up Petition on May 24
SKYLIGHT INTERNATIONAL: Court Appoint Liquidators
STEREO LIMITED: Court Sanctions Scheme of Arrangement
SUN WING: Appoints Provisional Liquidators
SZE HO: Court Appoints Muk & Middleton as Liquidators
TALENT WIN: Court Names Joint Liquidators
TEAM RISE: Court Releases Wind-up Order
YAMAHA MOTOR CHINA: Creditors' Proof of Debt Due May 15
I N D I A
JIK INDUSTRIES: CDR Endorses Debt Restructuring Package
PENNAR INDUSTRIES: Issues and Allots 72,50,000 Equity Shares
* State Oil Firms Mull Price Freeze
I N D O N E S I A
PERTAMINA: Needs Fair Play in Liberalization of Fuel Supply
PERTAMINA: Releases New Fuel Prices
PERTAMINA: Oil Fields Draw Interest From Chevron, Conoco & Total
J A P A N
HUSER LIMITED: President Faces Criminal Raps
LIVEDOOR COMPANY: Usen Corp. May Absorb Livedoor Via Share Swap
LIVEDOOR COMPANY: Shares Dip Ahead of Delisting
MITSUBISHI MOTORS: May Postpone Plant Shutdown
* Bankruptcies Decline to 14-year Low in 2005
K O R E A
HANARO TELECOM: Losing Market Share, Information Ministry Says
HYUNDAI MOTOR: Two Top Executives Detained
M A L A Y S I A
AFFIN HOLDINGS: Growth Hinges on NPL Recoveries
AFFIN HOLDINGS: In No Hurry to Choose Banking Arm Partner
ASIAN PAC: Lists and Quotes Additional Shares
AVANGARDE RESOURCES: Further Delays Financial Reports Submission
AYER MOLEK: Court Releases Wind-Up Order
KIG GLASS: Agrees to Extend Negotiation Agreement Through May 13
MBF HOLDINGS: Court to Hear Summary Judgment Appeal on Aug. 7
PATIMAS COMPUTERS: Pays MYR105,513 for 110,000 Shares
PRIME UTILITIES: Unit Defaults on Loans
SBBS CONSORTIUM: Wind-up Stay Hearing Adjourned to May 3
TELEKOM MALAYSIA: Judge Junks MCAT's Relief Bid with Costs
TELEKOM MALAYSIA: Fourth Quarter Revenue Jumps 8.3%
TENAGA NASIONAL: High Sales & Strong Currency Pull Up 2Q Revenue
P H I L I P P I N E S
ATLAS CONSOLIDATED: Secures PHP257-Mln Loan from Toledo Mining
LEPANTO CONSOLIDATED: Stockholders Elect Directors
NATIONAL FOOD: Intent on Pursuing Distribution Programs
PHILIPPINE AIRLINES: Landing Gear Problem Causes Scare
S I N G A P O R E
CHINA AVIATION(S): Trading Arm Buys Jet Fuel for May
ESCOLSING PTE: Distributes Second Interim Dividend
GHIM PENG: Pays First and Final Dividend
MAGENTA COLOPRINTERS: Receiver Distributes Preferential Dividend
TAI FOOK: Court Orders Winding Up
T H A I L A N D
THAI DURABLE: Clarifies News on Business Shift
THAI PROPERTY: Posts 100% Decline in 2005 Net Profit
- - - - - - - -
============================================
A U S T R A L I A & N E W Z E A L A N D
============================================
ABLE JOINERY: Decides to Close Operations
-----------------------------------------
Members of Able Joinery Pty Limited convened on
March 10, 2006, to wind up the Company's operations.
Subsequently, Joseph Sleiman was appointed as liquidator.
Contact: Joseph Sleiman
Sleiman & Company
Level 8, 65 York Street
Sydney, Australia
A.C.N. 069 106 234: Set to Declare Dividend Today
-------------------------------------------------
A.C.N. 069 106 234 Pty Limited will declare its first dividend
today, April 19, 2006.
Creditors who were not able to prove their claims will be
excluded from the benefit of the dividend.
Contact: Lachlan McIntosh
Liquidator
KordaMentha (Queensland)
22 Market Street, Brisbane
Queensland 4000, Australia
Telephone: (07) 3225 4000
Fax: (07) 3225 4999
AIR NEW ZEALAND: Airport Wants Watchdog To Check Code-Share Plan
----------------------------------------------------------------
Wellington International Airport wants the competition watchdog,
Commerce Commission, to check the proposed trans-Tasman code-
share agreement between Air New Zealand and Qantas Airways, the
Dominion Post reports.
As reported in the Troubled Company Reporter - Asia Pacific on
April 13, 2006, the two airlines have signed a code-share
agreement for their Tasman routes. Air New Zealand and Qantas
intend to file applications seeking authorization from the New
Zealand Minister of Transport and the Australian Competition and
Consumer Commission.
The TCR-AP stated that a code-share deal will allow both
airlines to reduce cost by removing some surplus capacity and
utilizing aircraft more efficiently, while increasing the number
of flights available to their customers. The proposed code-
share will be supported by revenue, pricing and scheduling
arrangements. Once it becomes effective, all revenue earned by
Air New Zealand and Qantas on Tasman routes will be allocated on
an agreed basis.
According to Dow Jones Newswires, the Wellington Airport has
warned that the code-share arrangement would mean fewer flights,
less choice of airlines and higher fares.
The competition regulators of both sides of the Tasman had
blocked a plan to merge the two airlines' New Zealand and trans-
Tasman operations in 2003.
About Air New Zealand
Based in Auckland, New Zealand, Air New Zealand is the country's
flag air carrier, with domestic and international passenger and
freight operations, and an aviation engineering business.
As reported in the Troubled Company Reporter - Asia Pacific
reported on September 2, 2005, Moody's Investors Service
affirmed its Ba1 issuer rating on Air New Zealand Limited after
the airline announced its annual results for FY2005. Air NZ's
rating reflected its dominant position in the New Zealand
domestic market, with around 80% market share, and the
profitability of domestic operations following their
restructuring to a low-cost network model. Also supporting Air
NZ's rating was its solid liquidity position, with cash balances
of NZ$1,071 million held as at June 30, 2005. However, while
Air NZ has a solid position in New Zealand and other parts of
the international network are performing well, intense
competition on trans-Tasman routes has resulted in it being
unprofitable for Air NZ. International competition also limits
Air NZ's ability to expand. Its management is also aware of the
airline's vulnerability to external shocks and the actions of
key competitors.
Moody's had expressed concern regarding the airline's limited
track-record since the collapse of Ansett Australia in 2001.
However, FY2004 and FY2005 results have been in line with
expectations. Air NZ has signaled that the recent increases in
fuel price will adversely affect profitability in 2006, with the
potential to decrease profit by 40% from 2005. Moody's believes
that this drop, which would result in EBITDAR/(Interest +Rent)
between 2.0x and 2.4x, and Adjusted Debt/EBITDAR of just under
5x, would not adversely affect the rating of the airline.
Moody's expected Air NZ to have significant capital expenditure
requirements over the next three years -- which will be funded
from a combination of operating cash flow, debt and operating
leases -- as it acquires additional aircraft. However, Moody's
considered the increased debt load to be manageable within Air
NZ's rating. The company is expected to be free cash flow
positive from 2007. Moody's said that if fuel prices continued
high for the medium to long term and no rationalization in
trans-Tasman routes were forthcoming, then Air NZ's credit
metrics could be negatively affected. Operating margin less
than 3%, EBITDAR/(Interest+Rent) less than 2x and Adjusted
Debt/EBITDAR greater than 5.5x would be a trigger for Moody's to
review the rating.
AUTOWORLD CORPORATION: Liquidation Hearing Set for Tomorrow
-----------------------------------------------------------
On January 31, 2006, an application to liquidate Autoworld
Corporation Limited was filed with the High Court of Auckland by
Mountwel Properties Limited.
The Application will be heard on April 20, 2006, at 10:45 a.m.
Contact: A. W. Johnson
Solicitor for the Plaintiff
Martelli McKegg Wells & Cormack
Level Twenty, PricewaterhouseCoopers Tower
188 Quay Street
P.O. Box 5745 or D.X. C.P. 24-036
Auckland, New Zealand
AWB LIMITED: UN Key Witness to Appear Before Cole Inquiry
---------------------------------------------------------
The Cole Inquiry, which is examining AWB Limited's role in the
Iraqi Kickback Scandal, has been adjourned to a date to be fixed
after hearing evidence last week from Prime Minister John
Howard, Foreign Affairs Minister Alexander Downer and Trade
Minister Mark Vaile.
As reported in the Troubled Company Reporter - Asia Pacific,
Prime Minister Howard testified on April 13, 2006, at the
judicial inquiry into alleged illicit payments made by the
Australian wheat exporter to Saddam Hussein's Iraqi regime.
The inquiry relates to an allegation that AWB made some AU$300
million kickback payments to Iraq through the United Nation's
oil-for-food program.
The TCR-AP had reported that the Cole Commission had found out
that cables were sent to the ministers two years ago warning
them that every contract under the UN's oil-for-food program
contained bribes. Yet, despite the warning, the Department of
Foreign Affairs and Trade did not carry out any rigorous review.
During the questioning, Ministers Howard, Downer and Vaile
denied that they saw the diplomatic cables warning that the
Iraqi government was breaching United Nations sanctions.
Yet, with public hearings still to be finalized, there is at
least one key witness still to appear before the Cole
Commission, ABC Online relates.
According to the report, senior counsel assisting John Agius
informed Commissioner Terence Cole that he would require
Felicity Johnston to sit for several days after Anzac Day.
ABC Online says that Mr. Agius told the Cole Inquiry that he had
obtained clearance for Ms. Johnston, who worked for the United
Nation's Office of Iraq program, to appear before the
commission. Mr. Agius clarified, however, that he is still
going through necessary protocols with the British Foreign
Office.
ABC Online notes that Ms. Johnston is considered to be a key
witness, having dealt closely with Bronte Moules from
Australia's Mission to the UN in New York and also with
Australia's Austrade office in Washington.
About AWB
AWB Limited -- http://www.awb.com.au/-- is Australia's leading
agribusiness and one of the world's largest wheat marketing
companies. It is also one of Australia's top 100 publicly
listed companies. The Company is the exclusive manager and
marketer of all Australian bulk wheat exports through what is
known as the Single Desk. The Company markets wheat, and a
range of other grains, into more than 50 countries, with
Australian wheat exports worth up to $5 billion per year. AWB's
footprint includes more than 430 outlets through its subsidiary
landmark and has offices across the world. The company employs
more than 2,700 staff reaching over 100,000 customers. AWB is
also one of the nation's largest suppliers of rural merchandise,
distributors of fertilizer, marketers of livestock, brokers of
rural real estate and handlers of wool.
Previously a low profile organization, AWB made headlines in
late 2005 when it was accused of knowingly paying AU$290 million
in kickbacks to the Government of Iraq, under Saddam Hussein's
administration, through the United Nation's oil-for-food
program. A UN report then found out that AWB paid the kickbacks
to a Jordanian trucking company linked to Hussein's deposed
regime. The Australian Government then appointed a commission,
headed by retired judge Terence Cole, to investigate into the
Company's role in and the Government's alleged "knowledge" of
the scandal. The "Cole Inquiry" is currently underway. The
scandal is anticipated to create great political repercussions
to the Australian Government, given the country's contribution
to military action against President Hussein in the 2003
invasion of Iraq.
BLISSRIVER PTY: Winds Up Business
---------------------------------
The members of Blissriver Pty Limited held a meeting on March 1,
2006, and agreed to shut down the Company's operations.
Robyn Erskine and Peter Goodin were appointed to oversee the
Company's winding up.
Contact: Robyn Erskine
Peter Goodin
Liquidators
Brooke Bird & Company Chartered Accountants
471 Riversdale Road, Hawthorn East 3123
Australia
Telephone: (03) 9882 6666
BRO SERVICES: Members Opt for Voluntary Liquidation
---------------------------------------------------
The members of Bro Services Pty Limited held a general meeting
on March 9, 2006, and agreed to:
-- voluntarily wind up the Company's operations; and
-- appoint Richard Herbert Judson as liquidator.
Contact: Richard H. Judson
Liquidator
Judson & Company Chartered Accountants
Suite 4, Level 1, 10 Park Road
Cheltenham, Victoria 3192
Australia
Telephone 9585 4155
BROID PTY: Supreme Court Issues Wind-up Order
---------------------------------------------
On March 7, 2006, the Supreme Court of New South Wales ordered
the winding up of Broid Pty Limited and appointed Chris
Chamberlain as liquidator.
Contact: Chris Chamberlain
Liquidator
c/o Nicholls & Co. Chartered Accountants
Suite 103, 1st Floor, Wollundry Chambers
Johnston Street, Wagga Wagga
New South Wales 2650
Australia
CAPITALCORP TECHNOLOGY: Enters Voluntary Liquidation
----------------------------------------------------
At a general meeting of Capitalcorp Technology Pty Limited on
March 2, 2006, members agreed that it is in the Company's best
interests to wind up its operations.
Subsequently, Ian Alexander Currie and Peter George Biazos were
appointed as joint and several liquidators.
Contact: Peter G. Biazos
Ian A. Currie
Joint Liquidators
Currie Biazos Insolvency Accountants
Level 3, 320 Adelaide Street
Brisbane, Queensland 4000
Australia
Telephone: 3220 0994
Web site: http://www.cbia.com.au/
CLIFFORD ENTERPRISES: Members Discuss Wind-up with Liquidator
-------------------------------------------------------------
The final meeting of the members of Clifford Enterprises Pty
Limited will be held today, April 19, 2006.
At the meeting, the members will get an account of the manner of
the Company's wind-up and property disposal from Liquidator G.
J. Nedwich.
Contact: G. J. Nedwich
Liquidator
171 Attunga Road, Yowie Bay
New South Wales 2228
Australia
COMEDIA PTY: Receivers and Managers Named
-----------------------------------------
On February 15, 2006, Derrick Vickers and Geoffrey Frank
Totterdell were appointed as joint and several receivers and
managers of the property and undertakings of Comedia Pty
Limited.
Contact: Geoffrey F. Totterdell
Derrick Vickers
Receivers and Managers
Level 19, QVI Building
250 St. Georges Terrace, Perth
Western Australia 6000
Australia
CSETI PROJECTS: Members Agree to Shut Down Operations
-----------------------------------------------------
The members of CSETI Projects Pty Limited on March 6, 2006,
resolved to wind up the Company's operations.
They then named John Arthur Sawley as liquidator.
Contact: John A. Sawley
Liquidator
Level 7, 276 Pitt Street
Sydney, Australia
DATAMETRIX PTY: Inability to Pay Debts Prompts Wind-up
------------------------------------------------------
At a general meeting on March 10, 2006, Datametrix Pty Limited
has determined that due to its inability to pay its debts, a
voluntary wind-up of its business operations is appropriate and
necessary.
G. G. Woodgate was subsequently appointed as liquidator.
Contact: G. G. Woodgate
Liquidator
c/o Woodgate & Company
Telephone: 02 9233 6088
DELGARN PTY: Appoints Norbert Ryker as Liquidator
-------------------------------------------------
At an extraordinary general meeting on March 7, 2006, members of
Delgarn Pty Limited agreed that the Company must voluntarily
commence a wind-up of its operations.
Norbert Ryker was appointed to oversee the Company's wind-up
activities.
Contact: Norbert Ryker
Liquidator
Level 4, 155 Castlereagh Street
Sydney, Australia
ERS PTY: Liquidator Presents Wind-up Report
-------------------------------------------
A final meeting of ERS Pty Limited will be conducted today,
April 19, 2006.
At the meeting, Liquidator John Feddema will present his final
accounts regarding the Company's wind-up operations.
Contact: John Freddema
Liquidator
Cranstoun & Hussein
Level 2, 102 Adelaide Street
Brisbane, Queensland 4000
Australia
EVODRIVE LIMITED: Faces Liquidation Proceedings
-----------------------------------------------
The High Court of Wellington has received an application to
liquidate Evodrive Limited on December 5, 2005.
The Application will be heard before the Court on April 24,
2006, at 10:00 a.m.
Parties wishing to appear at the hearing are required to file an
appearance not later than April 20, 2006.
Contact: Scottish Pacific Business Finance Limited
Plaintiff
M.R. Bos
Solicitor for the Plaintiff
Phillips Fox, Lawyers,
Level 22, Phillips Fox Tower
209 Queen Street, Auckland
New Zealand
FOAMWOOD INVESTMENTS: Members Agree to Have Business Liquidated
---------------------------------------------------------------
At a general meeting of the members of Foamwood Investments Pty
Limited on March 8, 2006, it was agreed that a voluntary wind-up
of the Company is appropriate and necessary.
James Patrick Downey was appointed as liquidator to oversee the
wind-up
Contact: James P. Downey
Liquidator
Cole Downey & Company Chartered Accountants
Level 1, 22 William Street
Melbourne, Victoria 3000
Australia
GYMPIE GOLD: Geroff and Lewis Cease to Act as Receivers
-------------------------------------------------------
On March 2, 2006, Peter Ivan Felix Geroff and Andrew John Love
of Ferrier Hodgson ceased to act as the receivers and managers
of the property of Gympie Gold Limited.
As reported by the Troubled Company Reporter - Asia Pacific on
January 2, 2004, the Board of Gympie Gold Limited appointed
Joseph Hayes and Murray Smith of KPMG as voluntary
administrators to the Group following the devastating
underground fire at the Southland Colliery over the Christmas
period and the mine's subsequent sealing. Shortly after the
Voluntary Administrators were appointed, HSBC Precious Metals
(Australia) Limited, acting as Agent for the company's
corporate loan facility, appointed Andrew Love, Peter Geroff and
Allan Lewis of Ferrier Hodgson as Group Receivers and Managers.
In August 2004, creditors of Gympie Gold agreed to wind up the
company and its subsidiaries, Gympie Eldorado Gold Mines, the
gold project operator, and Southland Mining, the group that
controlled a 90-percent stake in the Southland colliery in
the Hunter Valley in New Sotub Wales. McGrath Nicol+Partners'
Murray Smith and Joseph Hayes, who were the group's
administrators, also stood as liquidators.
IK BALL & COMPANY: Prepares to Distribute Assets
------------------------------------------------
At a general meeting on March 6, 2006, the members of IK Ball &
Company Pty Limited resolved to close the Company's business
operations and distribute the proceeds of its assets.
Angela Ann Gaffney was named as liquidator to manage the
Company's wind-up activities.
JAMES HARDIE: Closes Roofing Business in California
---------------------------------------------------
James Hardie Industries Limited will shut down its Artisan
roofing business and will close its roofing pilot factory in
Fontana, California, in the United States.
According to the Australian Associated Press, James Hardie will
book an AU$18.3 million impairment charge in its 2005/06
accounts after deciding that its Artisan roofing business was no
longer worthwhile. The AAP relates that the roofing operations
were still in their trial phase.
Aggregate Research recounts that James Hardie constructed a
small-scale roofing manufacturing plant in 2003. Since then,
the Company has been undertaking production and market trials of
its new roofing product in Southern California to quantify the
market potential of the new product.
The Company's decision to cease manufacturing roofing products
came after a review of market testing results. James Hardie
concluded that greater shareholder value would be created by
focusing on other fiber cement growth initiatives, Shaw Online
explains.
"We have found that the costs of manufacture and potential
market for the roofing product make it a less attractive
investment for us than other fiber cement growth opportunities,"
James Hardie Chief Executive Officer Louis Gries said in a
statement.
The AAP adds that the California pilot plant will be closed with
workers relocated to other James Hardie operations. James
Hardie has been exploring new lines of business in recent years
outside of its core fiber cement products used in home cladding.
Even though the U.S. housing market is expected to slow, James
Hardie believes it can keep growing as it breaks into markets
previously dominated by home siding made from vinyl or wood.
About James Hardie
James Hardie Industries Limited -- http://www.jameshardie.com/
-- manufactures, markets and distributes fiber cement and gypsum
products, fiberglass reinforced plastic and PVC products,
sanitary ware and bathroom products, insulating materials and
fillers, strippers and adhesives. After beginning Australian
operations in 1888, it reincorporated into a Netherlands-based
company in 2001 to focus on its American growth businesses.
Nearly 80% of its sales are in North America. The Company's
troubles began with its "under-funded" allocation for asbestos
claims, which were brought in by people who suffer or may have
diseases caused by exposure to the asbestos-related products
produced by James Hardie. In 2001, James Hardie set up an
independent entity, Medical Research and Compensation
Foundation, to handle asbestos claims. The Foundation has
warned that it could run out of money within five years. The
Asbestos Diseases Foundation of Australia and workers unions
called for all the Company's asbestos profits to be immediately
placed in the fund. James Hardie was later accused of topping
up the dwindling asbestos fund it established. By 2004, James
Hardie's former asbestos manufacturing subsidiaries, Amaca and
Amaba, are two of around 150 defendants in asbestos litigation,
and based on the Foundation's own figures, they account for
US$1,000,000,000 of the predicted US$6,000,000,000 future
liabilities in Australia. Although James Hardie stopped making
asbestos products in 1987, the average 35-year latency of
mesothelioma, an asbestos-related disease, means asbestos
compensation funds will be needed until mid-century. In a 2005
report by a Company-hired actuary from KPMG, it was predicted
that 4,915 Australians would contract mesothelioma from exposure
to Hardie products in the coming decades. When less serious
forms of asbestos-related disease are included, James Hardie
should expect to compensate 8,725 victims.
JAMES HARDIE: Aborigines To Launch Asbestos Actions
---------------------------------------------------
Aborigines from the Baryulgil Aboriginal Community will launch
10 test cases against James Hardie Industries Limited in May
seeking compensation for physical and psychological injury, The
Australian says. The Baryulgil was a community that mined
asbestos for the Company.
According to the report, the decision to launch these actions
follows a long-running issue concerning the Baryulgil Community
in northern New South Wales, wherein 200 of its members were
exposed to asbestos.
Ean Higgins of The Australian recounts that, in 1984, a federal
parliamentary select committee heard evidence that Hardie
knowingly exposed its Baryulgil workers to dangerous levels of
asbestos without adequate protection. The Company had also not
met legal health requirements by 1976 when it sold the mine,
which closed three years later.
In 2004, Hardie excluded the Baryulgil asbestos victims from a
AU$1.5 billion asbestos compensation deal, Mr. Higgins states.
The Company only included the Baryulgil claimants after The
Australian revealed that they would be the only Australians left
out.
While 12 former Baryulgil miners have received statutory workers
compensation, the test cases will be the first seeking civil
damages for non-miners, Mr. Higgins relates. Most of the 10
plaintiffs were miners' children who were exposed to asbestos in
the mine or in other sites that were near asbestos-related
products. According to Mr. Higgins, the children are now in
their 30s, 40s and 50s, and are showing signs of asbestos
diseases after the typical incubation period of 30 to 40 years.
The Australian cites Barrister David Baran as saying that the
cases would be the forerunners of others, which would eventually
cover the entire community.
Apart from physical damage, the plaintiffs would seek
compensation for the psychological trauma of seeing relatives in
the close-knit community die from asbestos disease, and the fear
of contracting such illnesses themselves.
About James Hardie
James Hardie Industries Limited -- http://www.jameshardie.com/
-- manufactures, markets and distributes fiber cement and gypsum
products, fiberglass reinforced plastic and PVC products,
sanitary ware and bathroom products, insulating materials and
fillers, strippers and adhesives. After beginning Australian
operations in 1888, it reincorporated into a Netherlands-based
company in 2001 to focus on its American growth businesses.
Nearly 80% of its sales are in North America. The Company's
troubles began with its "under-funded" allocation for asbestos
claims, which were brought in by people who suffer or may have
diseases caused by exposure to the asbestos-related products
produced by James Hardie. In 2001, James Hardie set up an
independent entity, Medical Research and Compensation
Foundation, to handle asbestos claims. The Foundation has
warned that it could run out of money within five years. The
Asbestos Diseases Foundation of Australia and workers unions
called for all the Company's asbestos profits to be immediately
placed in the fund. James Hardie was later accused of topping
up the dwindling asbestos fund it established. By 2004, James
Hardie's former asbestos manufacturing subsidiaries, Amaca and
Amaba, are two of around 150 defendants in asbestos litigation,
and based on the Foundation's own figures, they account for
US$1,000,000,000 of the predicted US$6,000,000,000 future
liabilities in Australia. Although James Hardie stopped making
asbestos products in 1987, the average 35-year latency of
mesothelioma, an asbestos-related disease, means asbestos
compensation funds will be needed until mid-century. In a 2005
report by a Company-hired actuary from KPMG, it was predicted
that 4,915 Australians would contract mesothelioma from exposure
to Hardie products in the coming decades. When less serious
forms of asbestos-related disease are included, James Hardie
should expect to compensate 8,725 victims.
MENDOCINO PTY: Placed Under Voluntary Liquidation
-------------------------------------------------
On March 1, 2006, the members of Mendocino Pty Limited agreed to
voluntarily wind up the Company's operations. They appointed
Louise Guines as liquidator for that purpose.
The Company will hold its final meeting today, April 19, 2006,
for members to get an account of the manner of the Company's
wind-up and property disposal from the liquidator.
Contact: Louise Guines
Liquidator
Netra Professional
Level 12, 46 Edward Street
Brisbane, Queensland 4000
Australia
NORTH CENTRAL: Court to Hear Wind-up Application on April 24
------------------------------------------------------------
On December 5, 2006, Scottish Pacific Business Finance Limited
filed with the High Court of Wellington an application to
liquidate North Central Limited.
The Application will be heard before the court on April 24,
2006, at 10:00 a.m.
Any person wishing to appear at the hearing is required to file
an appearance not later than April 21, 2006.
Contact: M.R. Bos
Solicitor for the Plaintiff
Scottish Pacific Business Finance Limited
Plaintiff
Phillips Fox, Lawyers
Level 22, Phillips Fox Tower
209 Queen Street, Auckland
New Zealand
SCALY DAZE: To Pay Final Dividend on April 28
---------------------------------------------
Scaly Daze Pty Limited will declare its first and final dividend
on April 28, 2006, to the exclusion of its creditors who were
not able to prove their claims.
Contact: Gerald T. Collins
Liquidator
c/o Horwath BRI Brisbane
Level 4, 370 Queen Street
Brisbane, Queensland 4000
Australia
SOUTHERN CONTROLS: Members to Receive Liquidator's Report
---------------------------------------------------------
The members of Southern Controls Investment Pty Limited will
convene today, April 19, 2006, to receive Liquidator Andrew
McLellan's account regarding the Company's completed wind-up and
disposal of its property.
Contact: Andrew McLellan
Liquidator
PPB Chartered Accountants
Level 10, 90 Collins Street
Melbourne, Victoria 3000
Australia
TELSTRA LIMITED: To Take on Foxtel Partnership with IPTV Plan
-------------------------------------------------------------
Telstra Limited confirmed last week its the plans for internet-
based video services, broadly known as IPTV, which are at the
heart of its proposed AU$3 billion residential fiber network now
under discussion with the Australian Competition and Consumers
Commission, The Australian reports.
According to The Australian, the plans would put Telstra on a
collision course with its partners in Foxtel -- News Corporation
and Publishing & Broadcasting Ltd -- which is only just climbing
out of the red after a decade of investment.
Under the Foxtel partnership agreement, the three parties are
unable to establish services that compete with Foxtel. This
non-compete period with the group expires in 2008.
However, The Australian notes that Telstra is exploring new
businesses with higher margins, such as entertainment services,
as its traditional fixed line telephony revenues are eroded by
mobile services, new internet-based voice services and price-
based competition.
The paper, citing observers, believes that it is the looming
conflict between the parties that caused Telstra Chief Executive
Officer Sol Trujillo to abruptly leave the Foxtel board this
month, after only three meetings.
Foxtel chairman and Telstra's former legal counsel, Bruce
Akhurst had earlier testified that Telstra's attitudes towards
the other Foxtel partners in 2000 and 2001 were "heated" and the
dynamics between the partners were "strained" and "tense."
The Australian explained that the tensions arose from a long-
running dispute with News and PBL over what Telstra saw as
inflated prices they charged Foxtel for pay-TV programs.
Telstra also saw News and PBL as favoring their interests over
those of Foxtel.
Telstra considered buying out its partners or suing them.
Mr. Trujillo has been replaced on the Foxtel board by the
Company's chief operations officer, Greg Winn.
About Telstra
Headquartered at Melbourne, in Victoria, Australia, Telstra
Corporation -- http://www.telstra.com.au/-- is an Australian
telecommunications and information services company. Telstra
offers a full range of services and compete in all
telecommunications markets throughout Australia, providing more
than 10.3 million Australian fixed line and more than 6.5
million mobile services. In September 2005, Telstra suffered an
earnings downgrade and share price fall. The Company announced
that its earnings before interest and tax in 2005/06 are
expected to decline by 7-10% compared to that of 2004/05 as a
result of accelerating declines in public switched telephone
network revenues and softening growth in the mobiles market due
to aggressive pricing. Also, the political furor surrounding
Telstra has strengthened the Government's resolve to dispose of
its remaining 51% majority interest in the Company. The
Australian Securities and Investment Commission then commenced
an investigation into Telstra in connection with the Company's
compliance with its disclosure obligations following the
earnings downgrade. This led to a number of Telstra
shareholders and class action claimants showing anger and dismay
over the telco's behavior. In November 2005, after a four-month
review, Telstra Chief Executive Officer Sol Trujillo announced a
major restructure of the Company, one which involves the loss of
thousands of jobs over the next five years and a massive
investment in new networks which will help deliver bigger profit
margins.
TOP NOTCH BUILDERS: Undertakes Voluntary Liquidation
----------------------------------------------------
After their extraordinary general meeting on March 10, 2006, the
members of Top Notch Builders & Maintenance Pty Limited decided
to voluntarily wind up the Company's operations.
Leonard A. Milner was appointed as liquidator at a creditors'
meeting held on the same day.
Contact: Leonard A. Milner
Liquidator
Venn Milner & Company
Suite 1, 43 Railway Road
Blackburn, Victoria 3130
Australia
VALDIA PTY: Supreme Court Appoints Company Liquidator
-----------------------------------------------------
On March 2, 2006, the Supreme Court of New South Wales appointed
Deryk Andrew as Official Liquidator of Valdia Pty Limited.
Contact: Deryk Andrew
Liquidator
Bentleys MRI Sydney Business Recovery & Insolvency
Partnership
PO Box Q1165, QVB Post Office
Sydney, New South Wales 1230
Australia
Telephone: (02) 8221 8433
Fax: (02) 8221 8422
================================
C H I N A & H O N G K O N G
================================
ARCONTECH CORPORATION: Wind-up Petition Hearing Fixed on May 3
--------------------------------------------------------------
New Era Group (China) Limited on March 6, 2006, filed a petition
to wind up Arcontech Corporation Limited.
The Petition will be heard before the High Court of Hong Kong at
9:30 a.m. on May 3, 2006.
Any creditor or contributory wishing to support or oppose the
making of a wind up order may appear at the hearing by himself
or by his counsel.
Contact: Johnson Stokes & Master
Solicitors for the Petitioner
18th Floor, Prince's Building
10 Chater Road
Central, Hong Kong
ASIA TIME TECHNOLOGIES: Court to Hear Wind-up Petition on May 10
----------------------------------------------------------------
On March 8, 2006, Boris Frederiksen lodged with the High Court
of Hong Kong a winding-up petition against Asia Time
Technologies Limited.
The High Court will hear the Petition on May 10, 2006, at 9:30
a.m.
Any creditor or contributory wishing to support or oppose the
making of the wind up order may appear at the hearing by himself
or by his counsel.
Contact: Allens Arthur Robinson
Solicitors for the Petitioner
49/F., One Exchange Square
8 Connaught Place
Central, Hong Kong
Telephone: 2840 1202
Fax: 2840 0686
CHAMPOINT DEVELOPMENT: Members Appoint Liquidators
--------------------------------------------------
Members of Champoint Development Limited has appointed Jacky CW
Muk and Edward S. Middleton as the Company's Official Liquidator
as ordered by the High Court of Hong Kong on March 21, 2006.
Contact: Jacky CW Muk
Edward S. Middleton
Joint and Several Provisional Liquidator
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
CONCORD PLUS: Court Names Official Liquidator
---------------------------------------------
On March 21, 2006, the High Court of Hong Kong appointed
Jacky CW Muk and Edward S. Middleton as Joint and Several
Provisional Liquidators for Concord Plus International Limited.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
DAILY DELIVERY: Appoints Liquidator to Winds Up Operations
----------------------------------------------------------
Daily Delivery Services Limited is winding up its operations
following an order from High Court of Hong Kong on March 21,
2006.
Jacky CW Muk and Edward S Middleton were appointed as
liquidators.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
FOOK KEE: Enters Winding Up Proceedings
---------------------------------------
Fook Kee Handbags Manufactory Company Limited is liquidating its
assets after the High Court of Hong Kong issued an order to wind
up the Company's operation on April 13, 2006.
Subsequently, Jacky CW Muk and Edward S Middleton were appointed
as Joint Liquidators.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
FORKIDS TOYS: Picks Muk & Middleton as Joint Liquidators
--------------------------------------------------------
Jacky CW Muk and Edward Middleton were appointed as joint and
several liquidators for Forkids Toys Limited.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
HARBOUR DRAGON: Placed Into Liquidation
---------------------------------------
On March 21, 2006, the High Court of Hong Kong appointed
Jacky CW Muk and Edward S. Middleton as Joint and Several
Provisional Liquidators for the wind-up of Harbour Dragon
Swimming Pool Management Co. Limited.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
HILLKING DEVELOPMENT: Names Official Liquidators
-----------------------------------------------
On March 21, 2006, Jacky CW Muk and Edward S. Middleton were
appointed as joint and several provisional liquidators of
Hillking Development Limited.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
KARTING MALL: Court Orders Winding Up
-------------------------------------
On March 21, 2006, the High Court of Hong Kong made an order to
liquidate Karting Mall (Hong Kong) Limited.
Subsequently, the Court appointed Jacky CW Muk and Edward S.
Middleton as Joint and Several Provisional Liquidators.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
KENFORD HOLDINGS: Schedules Meeting on April 20
-----------------------------------------------
The first meeting of creditors of Kenford Holdings Limited will
be held at Rooms 501-3, 5/F, Hang Seng Building, 77 Dex Voeux
Road Central, Hong Kong, on April 20, 2006, at 3:00 p.m.
A member or creditor may appoint a proxy to attend and vote at
the meeting. Proxy forms are available at the meeting venue.
KOMOKO TRADING: Appoints Muk & Middleton as Liquidators
-------------------------------------------------------
The High Court of Hong Kong has appointed Jacky CW Muk and
Edward S. Middleton as Joint and Several Provisional Liquidators
of Komoko Trading (Hong Kong) Company Limited.
Contact: Jacky CW Muk
Edward S. Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road
Central, Hong Kong
LEAD ACTION: Taps Joint Liquidators from KPMG
---------------------------------------------
Jacky CW Muk and Edward S. Middleton of KPMG were appointed
joint administrators of Lead Action Limited on March 21, 2006.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
LIOTE PROPERTY: Liquidation Process Commenced
---------------------------------------------
Liote Property Management Limited has commenced liquidation on
March 21, 2006.
Subsequently, Jacky CW Muk and Edward S. Middleton were
appointed to facilitate the liquidation of the Company's assets.
Contact: Jacky CW Muk
Edward S. Middleton
Joint and Several Provisional Liquidator
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
MASTER LINK: Court Orders Winding Up
------------------------------------
The High Court of Hong Kong, on March 21, 2006, issued an order
to wind up Master Link Development Limited.
The Court also directed the appointment of Jacky CW Muk and
Edward S. Middleton as Joint and Several Provisional Liquidators
of the Company.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
MEGAPOWER TECHNOLOGY: Court Initiates Winding Up
------------------------------------------------
The High Court of Hong Kong appointed Jacky CW Muk and Edward S.
Middleton as Megapower Technology Limited's Joint and Several
Provisional Liquidators on March 21, 2006.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
N.G.A. OPTICAL: Sutton and Chiong Named as Liquidators
------------------------------------------------------
The High Court of Hong Kong has appointed Roderick John Sutton
and Desmond Chung Seng Chiong as Joint and Several Provisional
Liquidators of N.G.A. Optical Manufactory Company Limited.
Contact: Roderick John Sutton
Desmond Chung Seng Chiong
C/O Ferrier Hodgson Limited
14th Floor, Hong Kong Club Bldg
3A Chater Road
Hong Kong
PACIFIC WELL: Creditors' First Meeting Slated for April 20
----------------------------------------------------------
Creditors of Pacific Well Development Limited will meet on
April 20, 2006, at 4:00 p.m. for the purposes of considering
matters in relation to Sections 241, 242, 243 244 and 255A of
the Companies Ordinance.
Creditors may vote either in person or by proxy. Proxies must
be lodged not later than April 19, 2006, at:
Rooms 501-3, 5/F.
Hang Seng Building
77 Des Voeux Road Central
Hong Kong
PROFIT RAINBOW: Court to Hear Wind-up Petition on May 24
--------------------------------------------------------
On March 27, 2006, the Bank of China (Hong Kong) Limited filed a
winding up petition against Profit Rainbow Investments Limited
with the Court of First Instance of Hong Kong.
The Petition will be heard before the Court at 9:30 a.m. on
May 24, 2006.
Any creditor or contributory wishing to support or oppose the
making of a wind up order may appear at the hearing by himself
or by his counsel.
Contact: K. W. NG & CO.
Solicitors for the Petitioner
11th Floor, Wings Building
110 Queen's Road Central
Hong Kong
SKYLIGHT INTERNATIONAL: Court Appoint Liquidators
-------------------------------------------------
The High Court of Hong Kong has appointed Jacky CW Muk and
Edward S. Middleton as Joint and Several Liquidators for
Skylight International Trading Limited on March 21, 2006.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
STEREO LIMITED: Court Sanctions Scheme of Arrangement
-----------------------------------------------------
On July 5, 2005, The High Court of Hong Kong Special
Administrative Region has sanctioned the scheme of arrangement
between Stereo Limited and its scheme creditors. The
restructuring agreement entered into by the Company, Vevion Hong
Kong Limited and others were completed on March 31, 2006.
Pursuant to Clause 3.1 of the scheme, creditors who have not
previously submitted a notice of claim are required to complete
and submit a notice of claim to the scheme administrators at
5/F., Allied Kajima Building, 138 Gloucester Road, in Wanchai,
Hong Kong (or by fax on (852) 2598 0060) by no later than 5:00
p.m. on April 17, 2006, in order to be eligible to receive
dividends.
A Form of Notice of Claim for this purpose was delivered to each
of the known creditors of the Company on May 5, 2005. Such
Notice of Claim is also available from the office of the Scheme
Administrators, at 5th Floor, Allied Kajima Building, 138
Gloucester Road, Wanchai, Hong Kong.
A copy of the Scheme of Arrangement and a copy of the
Explanatory Statement required to be furnished pursuant to
section 166A of the Companies Ordinance (Cap. 32) of Hong Kong
are also available free of charged to the creditors between 9:00
a.m. and 5:00 p.m. Monday to Friday not later than April 17,
2006.
Contact: Cosimo Borrelli
Kelvin Edward Flynn
Joint and Several Scheme Administrators of the Scheme
Alvarez & Marsal Asia Limited
5/F., Allied Kajima Building
138 Gloucester Road
Wanchai, Hong Kong
SUN WING: Appoints Provisional Liquidators
------------------------------------------
On March 21, 2006, the High Court of Hong Kong appointed Jacky
CW Muk and Edward S. Middleton as Joint and Several Provisional
Liquidators of all of the property, undertaking and interests of
Sun Wing Catering Equipment & Gas Engineering Co. Limited.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
SZE HO: Court Appoints Muk & Middleton as Liquidators
-----------------------------------------------------
Members of Sze Ho Engineering Works Limited convened on March
21, 2006, to wind up the Company's operations.
Jacky CW Muk and Edward Middleton, both of KPMG, were appointed
as Joint and Several Liquidators of the Company.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
TALENT WIN: Court Names Joint Liquidators
-----------------------------------------
On March 21, 2006, the High Court of Hong Kong appointed
Jacky CW Muk and Edward S. Middleton as Joint and Several
Provisional Liquidators for the wind-up of Talent Win Limited.
Contact: Jacky CW Muk
Edward S Middleton
Joint and Several Provisional Liquidator
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
TEAM RISE: Court Releases Wind-up Order
---------------------------------------
Jacky CW Muk and Edward S. Middleton, of KPMG, were appointed as
Joint and Several Provisional Liquidators of Team Rise
Industrial Engineering Limited after the High Court of Hong Kong
issued an order to wind up the Company on March 21, 2006.
Contact: Jacky CW Muk
Edward S. Middleton
KPMG
8th Floor, Prince's Building
10 Chater Road, Central
Hong Kong
YAMAHA MOTOR CHINA: Creditors' Proof of Debt Due May 15
-------------------------------------------------------
Yamaha Motor China Limited will be receiving creditors' proof of
debts or claims on or before May 15, 2006.
Creditors are requested to send in their particulars to the
solicitors and liquidators of the Company.
Failure to comply with the requirements will exclude any
creditor from the benefit of any distribution the Company will
make.
Contact: Rainier Hok Chung Lam
Joint and Several Liquidator
22/F., Prince's Building
Central, Hong Kong
=========
I N D I A
=========
JIK INDUSTRIES: CDR Endorses Debt Restructuring Package
-------------------------------------------------------
JIK Industries Limited's debt-restructuring package was approved
by the Corporate Debt Restructuring Committee on April 17, 2006.
The approval will align the Company's debt structure to the
current operations of its crystal business.
The CDR package has entitled the Company to a INR105-million
debt waiver, in addition to the reduction in loan interest rate
to 9% and FITL interest rate to 6%.
Under the scheme, the Company's bank creditors are given the
option to convert the Company's INR45.90-million outstanding
debt into preference shares.
The package allows the Company to complete the major part of its
debt and business restructuring. So far, the Company's chemical
division is shelved closed and discontinued as whole. Post
restructuring, the Company will remove and reduce approximately
48% of outstanding debt and increase Share Capital and Network.
The Company decided to concentrate on its most promising and
profitable division of crystal glass ware and focus its capital,
management resources to grow the business.
About JIK Industries
Headquartered in Mumbai, India, JIK Industries Limited
-- http://www.jikindustriesltd.com/-- manufactures handmade
non-lead crystalware segment and is the only organized player in
the country. JIK has had over seven years of experience in
manufacturing and marketing crystal. Its products include
crystal glassware such as, glass tumblers, bowls, stemware,
showpieces, vases, etc, manufactured at Balkum, Thane,
Maharashtra. The company had collapsed following accidents at
its chemical waste recycling plant and at its crystal-making
unit. The company, which had diversified interests -- crystal
making, money changing and chemical waste recycling -- was
forced to exit the money changing business after its net worth
was eroded. Under the Reserve Bank of India stipulations
companies whose net worth was eroded were not allowed to
continue in the money changing business.
PENNAR INDUSTRIES: Issues and Allots 72,50,000 Equity Shares
------------------------------------------------------------
Pennar Industries Limited has issued and allotted 72,50,000
equity shares of INR5 each at a premium of INR1.50 per equity
share against the 72,50,000 Convertible warrants that are
eligible for conversion during the financial Year 2005-06.
About Pennar Industries Limited
Incorporated in 1975 in Andhra Pradesh, India, Pennar Industries
was promoted by the Pennar group. The Company is into
manufacturing of cold rolled steel strips and cold formed metal
profiles and engineering components. The Company's plants are
located in Tarapur in Maharashtra, Patancheru in Medak, Andra
Pradesh, and Sangareddy in Medak, Andra Pradesh. In 2002,
Pennar Industries' Board decided to make a reference to the
Board for Industrial and Financial Reconstruction as a sick
industrial company, even as its corporate debt restructuring
scheme has received in-principle approval from the lenders. The
reference became necessary under the provisions of Sick
Industrial Companies (Special Provisions) Act, as the Company's
net worth has been totally eroded at the end of June 2002 and
there is some delay in giving effect to the Corporate Debt
Restructuring.
* State Oil Firms Mull Price Freeze
-----------------------------------
The embattled public sector oil marketing firms in India are
planning to ask the Government to freeze the prices at which
they buy petroleum products at the April level to hedge against
impeding price increases, Business Standard reports.
Representatives of Indian Oil Corporation, Bharat Petroleum
Corporation Limited and Hindustan Petroleum Corporation Limited
met earlier this month to discuss the matter.
The Companies are still studying the impact of the plan, which
some executives describe as "risky."
According to some executives of the different oil firms, the
Companies will benefit from the scheme if prices continue to
rise. However, these firms will lose more money if prices fall.
The Companies have been burdened with huge under recoveries due
to selling of products like kerosene and domestic cooking gas
below their cost prices. The under recoveries are expected to
touch INR26,000 crore during 2005-06.
Last year, the public sector oil marketing companies had frozen
prices in March. The decision placed greater pressure on
private players to give discount over the applicable import
parity price. Private oil firms sell some of their products to
public sector marketing companies to take advantage of their
huge network.
=================
I N D O N E S I A
=================
PERTAMINA: Needs Fair Play in Liberalization of Fuel Supply
-----------------------------------------------------------
State-owned gas firm PT Pertamina has agreed with the Government
to liberalize the supply of aviation fuel for national air
carriers with the participation of foreign oil companies, but on
a fair basis, Antara News reports, citing Pertamina`s spokesman
Muhammad Harun.
Domestic carriers had proposed to be exempted from value added
tax on aviation fuel through the so-called "Pertamina Card Net."
Pertamina is still in talks with the Finance Ministry to discuss
the payment system.
In a bid to decide on which foreign oil company would be
Pertamina's partner in supplying aviation fuel, the Government
will open a tender. Indonesian's Transportation Minister Hatta
Rajasa said that the foreign oil Company should have an
experience in several countries and must also have a fuel
storage facility.
According to Antara News, the liberalization of the aviation
fuel supply would start this year in Juanda Airport, Surabaya.
Pertamina has been producing aviation fuel at its refineries in
Cilacap in Central Java, Plaju in South Sumatra, Dumai in Riau
and Balikpapan in East Kalimantan.
About Pertamina
PT Pertamina (Persero) -- http://www.pertamina.com/-- is a
wholly state-owned enterprise. The enactment of Oil and Gas Law
No. 22/2001 in November 2001 and Government Regulation No.
31/2003 has changed its legal status from a special state-owned
enterprise into a Limited Liability Company. In carrying out
its activities, PT Pertamina implements an integrated system
from upstream to downstream. Despite reporting a net profit of
IDR3.03 trillion for the first six months of 2005, Pertamina's
failure to service its financial obligations was pegged as one
of the contributors to Indonesia's decreased income for the year
and a subsequent debt restructuring. Indonesia's President
Susilo Bambang Yudhoyono has promised to expedite the overhaul
of state oil firm PT Pertamina in order to increase the
country's fuel output. However, President Yudhoyono said that
the Company's restructuring program is not proceeding
effectively, as the Company is still experiencing many
difficulties. He added that he wants to conduct a "real"
restructuring of Pertamina, with clear and measurable phases.
On March 8, 2006, the Indonesian government has appointed
Pertamina marketing director Ari Soemarno as Pertamina's new
chief executive officer.
PERTAMINA: Releases New Fuel Prices
-----------------------------------
PT Pertamina released new fuel prices starting April 1, 2006,
for customers apart from the household, small businesses,
transportation, and the public's service sectors, as well as the
price of the international bunker.
In a press statement, the specific fuel prices are:
1. Gasoline
The Retail Price for Domestic Market (IDR/Liter): 5,098.57
International Bunker Price (US Cent/Liter): 54.92
2. Kerosene
The Retail Price for Domestic Market (IDR/Liter): 5,507.06
International Bunker Price (US Cent/Liter): 59.31
3. High Speed Diesel
* For transportation
The Retail Price for Domestic Market (IDR/Liter): 5,362.31
International Bunker Price (US Cent/Liter): 57.75
* For industry
The Retail Price for Domestic Market (IDR/Liter): 5,129.16
International Bunker Price (US Cent/Liter): 55.24
4. Marine Diesel Fuel
The Retail Price for Domestic Market (IDR/Liter): 4,983.11
International Bunker Price (US Cent/Liter): 53.67
5. Marine Fuel Oil
The Retail Price for Domestic Market (Rp/Liter): 3,672.74
International Bunker Price (US Cent/Liter): 39.56
Fuel Price for Industry includes VAT 10% and the fuel price for
transportation includes VAT 10% and Tax for Vehicle fuel 5%.
Subsidized gasoline and HSD for public transportation were
maintained at IDR 4.500/liter for gasoline and IDR 4.300/liter
for HSD. The price for subsidized kerosene for household
consumption and small industry is still at Rp. 2.000/liter.
About Pertamina
PT Pertamina (Persero) -- http://www.pertamina.com/-- is a
wholly state-owned enterprise. The enactment of Oil and Gas Law
No. 22/2001 in November 2001 and Government Regulation No.
31/2003 has changed its legal status from a special state-owned
enterprise into a Limited Liability Company. In carrying out
its activities, PT Pertamina implements an integrated system
from upstream to downstream. Despite reporting a net profit of
IDR3.03 trillion for the first six months of 2005, Pertamina's
failure to service its financial obligations was pegged as one
of the contributors to Indonesia's decreased income for the year
and a subsequent debt restructuring. Indonesia's President
Susilo Bambang Yudhoyono has promised to expedite the overhaul
of state oil firm PT Pertamina in order to increase the
country's fuel output. However, President Yudhoyono said that
the Company's restructuring program is not proceeding
effectively, as the Company is still experiencing many
difficulties. He added that he wants to conduct a "real"
restructuring of Pertamina, with clear and measurable phases.
On March 8, 2006, the Indonesian government has appointed
Pertamina marketing director Ari Soemarno as Pertamina's new
chief executive officer.
PERTAMINA: Oil Fields Draw Interest From Chevron, Conoco & Total
----------------------------------------------------------------
Chevron Pacific Indonesia, ConocoPhillips and PT Total E&P
Indonesie have expressed interest in PT Pertamina Eksplorasi &
Produksi's offer to develop jointly its onshore oil and gas
fields in Java and Sumatra, AFX News relates, citing Pertamina
Eksplorasi & Produksi President Kun Kurneli.
PT Pertamina Eksplorasi & Produksi, which is a unit of state oil
and gas firm PT Pertamina, will open in two months the data room
to offer cooperation in its production and exploration fields in
the two islands. Mr. Kurneli gave no details about the fields'
reserves and their locations.
Meanwhile, PT Pertamina Eksplorasi & Produksi expects to boost
its oil production to 170,000 barrels a day from 100,000 barrels
per day, and its gas production to 2,000 million cubic feet per
day from 1,000 million cubit feet per day, Mr. Kurneli said.
About Pertamina
PT Pertamina (Persero) -- http://www.pertamina.com/-- is a
wholly state-owned enterprise. The enactment of Oil and Gas Law
No. 22/2001 in November 2001 and Government Regulation No.
31/2003 has changed its legal status from a special state-owned
enterprise into a Limited Liability Company. In carrying out
its activities, PT Pertamina implements an integrated system
from upstream to downstream. Despite reporting a net profit of
IDR3.03 trillion for the first six months of 2005, Pertamina's
failure to service its financial obligations was pegged as one
of the contributors to Indonesia's decreased income for the year
and a subsequent debt restructuring. Indonesia's President
Susilo Bambang Yudhoyono has promised to expedite the overhaul
of state oil firm PT Pertamina in order to increase the
country's fuel output. However, President Yudhoyono said that
the Company's restructuring program is not proceeding
effectively, as the Company is still experiencing many
difficulties. He added that he wants to conduct a "real"
restructuring of Pertamina, with clear and measurable phases.
On March 8, 2006, the Indonesian government has appointed
Pertamina marketing director Ari Soemarno as Pertamina's new
chief executive officer.
=========
J A P A N
=========
HUSER LIMITED: President Faces Criminal Raps
--------------------------------------------
Police may arrest realty developer Huser Limited's president
Susumu Ojima next month on charges of constructing a building
with falsified quake safety data, the Japan Times reports,
citing unnamed sources.
According to the police, they have asked Mr. Ojima to come in
for questioning next week, where he can answer questions
voluntarily.
The Troubled Company Reporter - Asia Pacific reported on
February 20, 2006, that the Tokyo District Court initiated
bankruptcy proceedings for the Company after around 300 owners
of nine Huser condominium building units with substandard
earthquake resistance asked the court to protect Huser's assets
so they might share in the distribution of these assets.
Earlier this year, the Ministry of Land, Infrastructure and
Transport discovered that Huser Limited had developed about 20
of around 100 buildings that were designed with substandard data
fabricated by now disqualified building engineer, Hidetsugu
Aneha.
Subsequently, the Tokyo District Court declared that the
Company's liabilities exceed its assets. The TCR-AP reported on
February 20, 2006, that the Court commenced bankruptcy
procedures on Huser and named lawyer Hideo Seto as
administrator.
Police aim to charge Mr. Ojima and other Company executives with
fraud and real estate business law violations once their
investigation is concluded. Officials of defunct Kimura
Construction Company, which built more than half of the
buildings with substandard earthquake safety data, are also
being questioned, as the firm is alleged to have manipulated
financial reports submitted to the infrastructure ministry.
LIVEDOOR COMPANY: Usen Corp. May Absorb Livedoor Via Share Swap
---------------------------------------------------------------
Local cable broadcaster Usen Corporation is planning to
transform Livedoor Company Limited into a wholly owned
subsidiary via a share swap, the South China Morning Post
relates.
According to the Mainichi Shimbun, Usen may absorb Livedoor
through a share swap and divide it into a business division and
a division to handle its assets and counter lawsuits against the
Company.
Analysts said that this may be a good deal for Livedoor in the
long run, as it would be able to survive if someone else would
help it out. They added that both firms have areas that can be
merged successfully.
On April 13, 2006, the last day of trading before its stocks
would be delisted, Livedoor shares traded at JPY94 per share.
This means its current market value stands at JPY98.6 billion;
however, its real value is difficult to ascertain, according to
analysts, due to the allegations that Livedoor inflated its
earnings and future compenssation claims from creditors. It is
unsure whether the Company would be able to resume normal
operations anytime soon.
About Livedoor
Headquartered in Tokyo, Japan, Livedoor Company Limited --
http://corp.livedoor.com/en/-- is engaged in Internet-related
business. It is involved in many sectors, including out portal
site "livedoor", financial business, corporate web solutions,
data center and IP telephony business. In 2005, prosecutors
raided Livedoor's office on suspicions of accounting fraud.
Company executives were alleged to have relayed false
information on a merger, with the intent to boost the stock
price of a Company subsidiary. Livedoor's stock price plunged
on allegations that the Company concealed a huge JPY1 billion
loss for the financial year ended September 2004.
LIVEDOOR COMPANY: Shares Dip Ahead of Delisting
-----------------------------------------------
On the last day before its delisting, shares of troubled
Internet provider Livedoor Company Limited fell 6.9% to JPY94
per share. The Company's shares were delisted from the Tokyo
Stock Exchange on April 14, 2006, Associated Press reveals.
In January 2006, Livedoor shares sold at JPY800 per share.
However, after it was discovered that Livedoor president
Takafumi Horie and other Company directors doctored financial
statements to cover up a whopping JPY1 billion net loss for the
business year ended September 2004, its stock price plunged, and
the Company has not recovered since. Since the investigation
into the Company, its shares were traded for the last hour of
the Tokyo session, so as to control volatile trading. Livedoor
has 220,000 shareholders as of last count, since Mr. Horie
divided the Company's stocks so that everyone could avail of
them.
About Livedoor
Headquartered in Tokyo, Japan, Livedoor Company Limited --
http://corp.livedoor.com/en/-- is engaged in Internet-related
business. It is involved in many sectors, including out portal
site "livedoor", financial business, corporate web solutions,
data center and IP telephony business. In 2005, prosecutors
raided Livedoor's office on suspicions of accounting fraud.
Company executives were alleged to have relayed false
information on a merger, with the intent to boost the stock
price of a Company subsidiary. Livedoor's stock price plunged
on allegations that the Company concealed a huge JPY1 billion
loss for the financial year ended September 2004.
MITSUBISHI MOTORS: May Postpone Plant Shutdown
----------------------------------------------
Mitsubishi Motors may delay the planned shutdown of its Ozakazi
plant in Western Japan to meet strong demand for its Outlander
sport utility vehicle, Kyodo News relates, citing informed
sources.
Reuters News says that Mitsubishi Motors may keep its Okazaki
plant running for at least two to three years more. According
to the Yomiuri Shimbun, the Company also plans to meet with its
major shareholders Mitsubishi Heavy Industries Limited and
Mitsubishi UFJ Financial Group Inc. next week.
In the Company's 2004 rehabilitation plan, which was revised in
2005, the Okazaki factory was scheduled to be shut down due to
slow sales as a result of defect cover-ups and recalls of
certain vehicles, as well as the pullout of DaimlerChrysler AG.
However, Kyodo News clarifies, Mitsubishi Motors still plans to
close down the plant as worldwide production is higher than
demand and the Company is uncertain about its sales outlook.
For fiscal 2005, Mitsubishi Motors sold 200 units more than its
expected sales of 256,000 units in the Japanese market. Demand
for its Outlander sports utility vehicle has been rising faster
than expected, and the Company takes orders of around 20,000
units a month since its launch in October last year. Since its
Mizushima factory is now operating at full capacity, Reuters
News adds, the Company plans to retain its Okazaki plant, which
currently operates at 50% capacity, to produce the Outlander, as
it is expected to be exported to North America and France.
Mitsubishi Motors chairman, Takashi Nishioka, said at a press
conference last week that he will look over the Company's
rehabilitation plan to see how to retain operations for the
Okazaki plant.
About Mitsubishi Motors
Headquartered in Tokyo, Japan, Mitsubishi Motors Corporation --
http://www.mitsubishi-motors.co.jp/-- is one of the few
automobile companies in the world that produces a full line of
automotive products ranging from 660-cc mini cars and passenger
cars to commercial vehicles and heavy-duty trucks and buses.
The Company also operates consumer financing services and
provides this to its customer base.
Mitsubishi's problems stem, in part, from the scandal
surrounding years of systematically covering up defects and ill-
advised auto lending policies in the United States.
The TCR-AP reported on March 31, 2006, that Moody's Investors
Service changed the outlook of Mitsubishi's Ba3 long-term debt
rating to stable from negative, which reflects Moody's
expectation that the Company's credit profile may continue
improving profitability recovering due to improved cost
structures and an increased market position due to global
introductions of new models.
* Bankruptcies Decline to 14-year Low in 2005
---------------------------------------------
A rise in economic activity and government aid to struggling
firms has reduced the number of Japan firms going bankrupt to a
record 14-year low, the Japan Times says.
Credit research firm Tokyo Shoko Research found that in fiscal
2005, 13,170 firms filed for bankruptcy, the lowest number of
firms that went under since fiscal 1991, when 11,557 firms went
bankrupt. According to the research agency, the failed
companies had a combined debt of JPY6.12 trillion, the first
time in 11 years that combined debt stands below JPY7 trillion.
Around 60% of the total number of failed companies were small
firms with five employees or less. However, bankruptcies in
financial, insurance and other service companies have increased.
In March 2005, corporate bankruptcies stood at 1,255, 10% higher
than the previous year, the Times relates.
Teikoku Databank also disclosed a similar report, saying that in
fiscal March 2005, 848 corporate bankruptcies were reported, a
9.1% rise fro the previous month. The reported bankruptcies had
a total debt of JPY473.96 billion.
=========
K O R E A
=========
HANARO TELECOM: Losing Market Share, Information Ministry Says
--------------------------------------------------------------
Hanaro Telecom lost 440,000 subscribers, excluding the users of
Thrunet, a broadband carrier that the Company acquired last
year, The Korea Herald relates, citing a report from the
Ministry of Information and Communication.
According to the report, Hanaro is currently maintaining 3.6
million subscribers in total, which accounts for 29% of the
high-speed Internet market. The Information Ministry data had
showed that Korea has 12.4 million broadband subscribers as of
the end of February 2006.
The loss in subscribers is attributed to the rapid expansion of
Powercomm and smaller rivals, as they mark a turning point since
Hanaro Telecom and KT Corp. -- the country's biggest broadband
service operator -- combined to create a new fixed-line Internet
market. The Korea Herald says that Powercomm, which entered the
market in September last year, signed up as many as 390,000
users in the past six months, while smaller cable-based carriers
also lured 340,000 users in the past year.
Hanaro Telecom launched Korea's first digital subscriber line
service in 1999 but lost so much money amid bruising competition
that it turned to United States investors in 2003 for US$1.1
billion in new capital.
The data shows that the existing structure dominated by
heavyweights KT and Hanaro is now being disintegrated. Worse,
Hanaro Telecom is expected to lose its subscribers further
because some existing subscribers may switch to regional
operators. Hanaro and regional carriers jointly signed up
600,000 users in the past, but a significant portion of the
users are now set to switch to the cheaper services of the
smaller operators.
Hanaro Telecom, which is 39.56% owned by the Newbridge-AIG
consortium, earns 70% of its revenue from its high-speed
Internet service, and its share price plunged in February amid
jittery investors who fear the Company's broadband service is
losing its competitive edge. Its fixed-line telephone service
has a market share of 6.8%.
About Hanaro Telecom
Hanaro Telecom is the second largest player in the Korean local
telephone market. It provides high-speed Internet services in
Korea. In June 2001, the company integrated broadband Internet
access services which included ADSL, Hybrid Fiber Coaxial cables
(HFC) and Broadband Wireless Local Loop (BWLL) into a single
brand called HanaFOS. Hanaro offers VoIP services to its
broadband business customers as a bundled service and also as a
stand alone service. Its VoIP infrastructure consists of an
ADSL / VDSL circuit, a splitter and a modem. The splitter,
which is connected through a DSL or cable modem line, converts
the user's voice into digital data packets, which are further
passed on through the Internet. The operator had 1.5 million
VoIP subscribers at the end of July 2005.
The Company had 569,604 DSL subscribers and approximately
350,000 VoIP subscribers at the end of December 2005. It aims to
reach a target of 550,000 VoIP subscribers by the end of 2006.
In January 2006, Hanaro Telecom stated its objective for the new
financial year of focusing on improving sales performance,
corporate efficiency and implementing organizational
restructuring. In due course, Hanaro Telecom merged with
Thrunet, which thus ceased to exist.
On February 22, 2006, Hanaro Telecom adopted a resolution on a
50% reduction of capital stock without payment to shareholders.
If the capital reduction is approved at the annual general
meeting of shareholders to be held this year, two registered
common shares will be consolidated into one registered common
share, with the par value remaining at KRW 5,000, decreasing the
number of total outstanding shares from 463,353,012 to
231,676,506 and the amount of paid-in capital from KRW
2,316,765,060,000 to KRW 1,158,382,530,000. Hanaro explained
that it plans to eliminate the accumulated deficit of KRW
1,072.9 billion with about KRW 1,158.3 billion of gains from the
capital reduction. Based on the improved financial structure,
it will pursue shareholder-friendly initiatives such as a
dividend payout or purchase of treasury stock.
HYUNDAI MOTOR: Two Top Executives Detained
------------------------------------------
Prosecutors recently detained two top executives of Hyundai
Motor Co. and a former executive of Korea Development Bank, for
allegedly taking part in a slush fund scandal involving the
carmaker, shortnews.com reports.
Hyundai's vice-president in charge of procurement, Kim Seung-
nyun; Hyundai Chief Financial Officer Lee Jung-dae; and Korea
Development Bank's former deputy governor Park Sang-bae, are
charged for their involvement in the scandal, wherein Hyundai is
suspected of embezzling money from affiliates and creating a
slush fund that was used by at least two lobbyists to bribe
government officials for business favors.
The Troubled Company Reporter - Asia Pacific reported on
March 31, 2006, that prosecutors raided the headquarters of
Hyundai Motor Co., and three of its subsidiaries -- Glovis Co.,
Kia Motors Corporation and Hyundai Autonet Co. -- on March 26,
2006, as part of their investigation into the slush fund and
illegal political lobbying issue.
The TCR-AP recounts that prosecutors will summon this month
Hyundai Automotive Group Chairman Chung Mong-koo and his son
Chung Eui-sun to question them about slush funds created by
several of the group's subsidiaries.
About Hyundai Motor
Headquartered in Seoul, South Korea, Hyundai Motor Company --
http://www.hyundai-motor.com/-- has been selling cars in the
United States since 1986, but it only started selling its heavy
trucks stateside in 1998. South Korea's number 1 carmaker,
Hyundai produces 14 models of cars and minivans, as well as
trucks, buses, and other commercial vehicles. The Company
reestablished itself as Korea's leading carmaker in 1998 by
acquiring a 51% stake in Kia Motors (since reduced to about
45%). Hyundai's exports include the Accent and Sonata, while
its Korean models include the Atos subcompact. The Company also
manufactures machine tools for factory automation and material-
handling equipment.
In September 2005, Standard & Poor's Rating Services maintained
its long-term BB+ ratings on Hyundai Motor Co. and Kia Motors
Corp. on CreditWatch with positive implications following recent
reports that the Hyundai Group may buy Mando Corp. a Korean auto
parts maker. Mando has been put up for sale for KRW2 trillion
by JP Morgan Partners and Affinity Capital, which together own
over 70% of the Company. Despite Hyundai and Kia's continued
improvement of their global market positions, the group
continues to make overly aggressive expansion and acquisition
plans. These include a recently announced Kia factory in the
U.S. and, of more concern, the W5 trillion-W7 trillion blast
furnaces planned by group Company INI Steel Co. The CreditWatch
listings will be reassessed within the following two months. If
purchase terms for Mando are solidified during that time, the
CreditWatch placement will be resolved. However if the
negotiations are prolonged, Standard & Poor's will affirm the
current 'BB+' ratings until further information is available.
===============
M A L A Y S I A
===============
AFFIN HOLDINGS: Growth Hinges on NPL Recoveries
-----------------------------------------------
Affin Holdings Berhad is looking to boost its asset quality and
accelerate business growth by focusing on recovery of its non-
performing loans, or NPLs, The Star Online reports, citing an
analyst from Mayban Securities.
Mayban says that although Affin Holdings' NPL ratio targets are
quite ambitious, the broker believes that the Company will
achieve these by improving recovery of its legacy NPLs. The
Company wants to achieve a target NPL ratio of 10.6% for fiscal
2006 and 8% for 2007.
The Edge Daily says that the Company was setting up a special
task force to take appropriate actions to recover the NPLs.
According to Mayban, Affin's insurance business would be a
growth driver for the group. The Company has earlier indicated
that it would be cross-selling bancassurance products and
leverage on its network branches.
Meanwhile, analysts are positive that Affin Holdings'
performance will improve upon completion of the group's
reorganization exercise, which will see the Company adopting a
new corporate structure. Under the new structure, Affin Islamic
Bank Bhd will come directly under Affin Holdings instead of
under Affin Bank Bhd now.
Mayban Securities believes that "the group still had a long way
to go" when it came to being on par with other industry players.
The securities firm assigned a "hold" call on Affin Holdings'
stock since it was currently trading at 0.7 times net tangible
assets, making it the cheapest banking stock in the market.
Mayban also views Affin as a potential takeover target, given
its cheap valuations.
On the other hand, the Company did not seem to have a particular
niche segment, which lessened its appeal to local banks, Mayban
said
"In addition, the foreign ownership limit could prove to be a
drawback for foreign banks that may be viewing it as a potential
take-over target," the brokerage agency added.
About Affin Holdings Berhad
Affin Holdings Berhad -- http://www.affin.com.my/-- was
incorporated on May 31, 1975, as a private limited company under
the name of I.M.A. Sdn Bhd. On September 15, 1978, it changed
its name to Affin Motor and Credit Finance (Malaysia) Sdn Bhd.
Subsequently, it changed its name again to Affin Credit
(Malaysia) Sdn Bhd on January 16, 1979, and thereafter to Affin
Holdings Sdn Bhd on March 2, 1991. It was converted into a
public company under its present name on May 6, 1991.
Headquartered in Kuala Lumpur, Malaysia, Affin Holdings is
engaged in commercial banking, merchant banking, finance company
business, stock broking and asset management business. The
Company's other activities include the provision of insurance
services, lease and hire purchase financing, nominee services
and investment holding. Operations are carried out principally
in Malaysia. Affin Holdings had experienced consecutive losses
because of huge loan provisions and impairment of assets.
However, the Affin Group is starting to recover as a result of
the hard work and professionalism displayed by management at all
levels of the organization.
AFFIN HOLDINGS: In No Hurry to Choose Banking Arm Partner
---------------------------------------------------------
Affin Holdings Bhd is not rushing up its search for a suitable
foreign partner for its banking unit, Affin Bank Bhd, in
overseas ventures, Bernama says.
According to Business Times, Affin Holdings as received
expressions of interest to buy a stake in Affin Bank from both
the Pacific and Atlantic regions. The holding firm, however,
has yet to obtain Bank Negara Malaysia's approval to initiate
talks with foreign parties.
At the Company's Annual General Meeting on April 14, 2006, Affin
Holdings managing director Tan Sri Lodin Wok Kamaruddin stressed
that the group was exploring the possibility with a few parties
and the foreign partner was expected to take up a stake in Affin
Bank, The Edge Daily reveals.
"We are exploring the possibility with a few parties. We will be
looking for a partner that could facilitate our entry into a
strong market, where they have a strong presence," Mr. Lodin
told The Edge.
Mr. Lodin said the Bank was more interested in strengthening its
fundamentals before exploring relationships with a foreign
party.
He added that Affin Bank was not in merger talks with any local
banks and wished to remain an anchor bank with a strong niche
market.
About Affin Holdings Berhad
Affin Holdings Berhad -- http://www.affin.com.my/-- was
incorporated on May 31, 1975, as a private limited company under
the name of I.M.A. Sdn Bhd. On September 15, 1978, it changed
its name to Affin Motor and Credit Finance (Malaysia) Sdn Bhd.
Subsequently, it changed its name again to Affin Credit
(Malaysia) Sdn Bhd on January 16, 1979, and thereafter to Affin
Holdings Sdn Bhd on March 2, 1991. It was converted into a
public company under its present name on May 6, 1991.
Headquartered in Kuala Lumpur, Malaysia, Affin Holdings is
engaged in commercial banking, merchant banking, finance company
business, stock broking and asset management business. The
Company's other activities include the provision of insurance
services, lease and hire purchase financing, nominee services
and investment holding. Operations are carried out principally
in Malaysia. Affin Holdings had experienced hefty losses in the
past because of huge loan provisions and impairment of assets.
However, the Affin Group is starting to recover as a result of
the hard work and professionalism displayed by management at all
levels of the organization
ASIAN PAC: Lists and Quotes Additional Shares
---------------------------------------------
Asian Pac Holdings Berhad's additional 2,000 new ordinary shares
of MYR0.20 each will be granted listing and quotation today,
April 19, 2006.
The Shares were issued pursuant to the exercise of 2,000
warrants 2001/2006.
Headquartered in Kuala Lumpur, Malaysia, Asian Pac Holdings
Berhad -- http://www.asianpac.com.my/-- is principally engaged
in the underwriting of general insurance. Its other activities
include provision of stockbroking and nominee services,
investment and development of properties and investment holding.
Despite its healthier profits, Asian Pac's balance sheet has
remained burdened by its hefty accumulated losses, which
amounted to MYR506.48 million as of March 1, 2005. To address
this, Asian Pac is currently undertaking a corporate-
restructuring exercise, which includes several proposed land
acquisitions to improve its high gearing level and to address
the accumulated losses.
AVANGARDE RESOURCES: Further Delays Financial Reports Submission
----------------------------------------------------------------
Avangarde Resources Berhad has failed to submit its Annual
Report for financial year ended December 31, 2003, to Bursa
Malaysia Securities Berhad for public release within the
stipulated timeframe pursuant to Paragraph 9.23(a) of Bursa
Securities' Listing Requirements. The Annual Report was due on
June 30, 2004.
Pursuant to the Listing Requirements, if a listed issuer fails
to issue the outstanding financial statements within three
months from the expiry of the suspension deadline, in addition
to any enforcement action that the Bursa Securities may take,
the Bursa Securities will suspend trading in the securities of
such listed issuer. The suspension will be effected on the
market day following the expiry of the Suspension Deadline,
which starts from the last day of the three-month suspension
period.
If a listed issuer fails to issue the outstanding Financial
Statements within six months from the expiry of the Relevant
Timeframes, in addition to any enforcement action that Bursa
Securities may take; de-listing procedures will be commenced
against such listed issuer.
Headquartered in Kuala Lumpur, Malaysia, Avangarde Resources
Berhad is involved in the construction and development of
housing projects. The Group has incurred huge losses due to
provision of doubtful debts and writing off of bad debts. It is
also facing the possibility of being delisted for failing to
meet with the requirements of Bursa Malaysia.
AYER MOLEK: Court Releases Wind-Up Order
----------------------------------------
On April 13, 2006, the Kuala Lumpur High Court heard a winding
up petition filed by Mirra Sdn Bhd against Ayer Molek Rubber
Company Berhad. Subsequently, the Court issued a wind-up order
against Ayer Molek.
Ayer Molek solicitor immediately filed an appeal of the Wind-Up
Order with the Court of Appeals. The Company's Solicitor in the
meantime has filed an application for stay of the execution
proceeding.
The Company, through its Solicitor, has already filed an
application to set aside the Judgment entered against the
Company. This application to set aside the Judgment is fixed
for hearing on June 14, 2006.
Nevertheless, the Solicitor for the Company will be filing a
Certificate of Urgency to have the application heard at an early
date.
Background
Through its Petition, Mirra asserts a MYR3,224,690 claim against
Ayer Molek, as at December 8, 2005. The claim relates to a
Judgment in Default dated November 22, 2005, obtained by Mirra
for work done but as yet not completed. The interest paid under
the statement of claim is at 8% per annum on the judgment sum of
MYR2,097,315.62 from March 24, 1999 up to full settlement.
Since 1999, the Company was in constant negotiation with Mirra
to pay the amount allegedly owed to Mirra but taking into
account the fact that the development plans by the Company,
which involved the conversion of land, was aborted. Hence, the
Petitioner should not claim the contracted sum but rather
abortive fees. In August 2005, the parties had reached a
settlement amount of MYR300,000 on account of Mirra's work for
Ayer Molek.
Yet, due to several conditions, which were not fulfilled by
Mirra, the settlement arrangement came to a standstill.
Following the breakdown of negotiations, the winding-up petition
was presented against Ayer Molek.
About Ayer Molek Rubber Company
Headquartered in Kuala Lumpur, Malaysia, Ayer Molek Rubber
Company Berhad is principally engaged in the leasing of its
entire plantation land to a third party. It operates solely in
the domestic market. Ayer Molek has incurred substantial losses
since the early 90s, which prompted the Company to propose a
rescue and restructuring scheme to fully redeem and settle
outstanding debts.
KIG GLASS: Agrees to Extend Negotiation Agreement Through May 13
----------------------------------------------------------------
As reported by the Troubled Company Reporter - Asia Pacific on
April 6, 2006, KIG Glass Industrial Berhad agreed with Permintex
Holdings Sdn Bhd's suggestion to extend their restructuring
negotiations through April 13, 2006. A stay of the Order was
subsequently granted by the Johor Bahru High Court for three
months effective March 24, 2006.
The TCR-AP stated that on April 3, 2006, Bursa Malaysia
Securities Berhad required the Company to submit its
Regularization Plan approximately three months from the date of
the Order.
In a recent update, KIG Glass has on April 12, 2006, accepted
Permintex's proposal to further extend the expiry date of the
Agreement To Negotiate from April 13, 2006, to May 13, 2006.
The Company said it is still in the midst of finalising the
terms of the regularisation plans and the definitive agreement
with Permintex, wherein a detailed announcement will be made
upon finalisation of the same.
About KIG Glass Industrial Berhad
Headquartered in Johor Darul Ta'zim, Malaysia, KIG Glass
Industrial Berhad -- http://www.kedaung.com/-- manufactured and
sold glassware, glass blocks and carton boxes. The firm's other
activities included manufacturing of ceramic roof tiles. Its
operations were carried out in Malaysia and China. Due to hefty
losses and inability to pay its mounting debts, the Company
ceased operation in May 2005.
MBF HOLDINGS: Court to Hear Summary Judgment Appeal on Aug. 7
-------------------------------------------------------------
The Kuala Lumpur High Court will on August 7, 2006, hear MBf
Holding's appeal against the decision of summary judgment
entered against the Company and MBf Trading Snd Bhd by MBf
Leasing Sdn Bhd.
The Court will also consider MBf Leasing's appeal against the
stay of execution, which was granted, to MBf Holdings and MBf
Trading on September 1, 2005.
The Troubled Company Reporter - Asia Pacific on April 3, 2006,
reported that the Kuala Lumpur High Court has postponed until
July 12, 2006, the hearing of MBf Leasing Sdn Bhd's application
for summary judgment against MBf Holdings Berhad and MBf
Printing Industry Sdn Bhd.
In October 2004, MBf Holdings, together with its subsidiaries,
lodged with the High Court of Malaya at Kuala Lumpur, a request
for an injunction against MBf Leasing, restraining it from
presenting, advertising or prosecuting a winding up petition
against the Plaintiffs.
Together with MBf Holdings, the subsidiary-plaintiffs are:
* Alamanda Development Sdn Bhd;
* MBf Trading Sdn Bhd;
* MBf Automobile Sdn Bhd; and
* MBf Printing Industry Sdn Bhd
The injunction application was made following a notice served by
MBf Leasing against MBf Holdings on September 10, 2004, in
respect of a debt owed by Alamanda, MBf Property Services Sdn
Bhd, which was purportedly guaranteed by the Company.
Subsequently, the MBf Leasing also issued letters of demand to
the Company as principal debtor/guarantor and to its
subsidiaries as principal debtors for facilities granted to its
subsidiaries.
A settlement sum of MYR18 million was agreed to be settled by
cash and assets. In the midst of identifying the mechanics of
settlement, the MBf Leasing issued the notice pursuant to
Section 218 of the Companies Act 1965 on the Company.
Subsequently the Defendant also served the letters of demand on
the Company and its subsidiaries as principal debtor/guarantor
and principal debtors respectively of the facilities granted.
Of the total MYR77,568,321.05 claims made by the MBf Leasing, a
sum of MYR25,688,140.15 had been accounted for in the books of
MBf Holdings group and MYR51,880,180.90 disclosed as contingent
liabilities.
Should the settlement of MYR18 million be formalized, there will
be a gain of approximately MYR9.1 million on the writeback of
the balance of the Inter-company Loans. MBf Holdings and its
subsidiaries will incur a loss of approximately MYR51.88 million
and further interest and additional confirming facilities
accruing thereafter until the date of full settlement if the
Defendant is successful in its claims.
Without prejudice to the Company's rights at law, the Company
negotiated with the Defendant to settle the matter amicably.
On June 8, 2005, the Court allowed MBf Leasing's application for
summary judgment to be entered against MBf Trading Sdn Bhd and
MBf Holdings in the sum of MYR14,603,477.84 together with
interest and confirmation fee claimed via Kuala Lumpur High
Court Suit No. 7-22-1547-2004.
MBf Holdings has filed a Notice of Appeal to the court and
applied for stay of execution.
About MBf Holdings
Headquartered in Selangor Darul Ehsan, Malaysia, MBf Holdings
Berhad is involved in retailing and wholesaling of merchandise,
shipping, automotive and heavy earthmoving equipment and
printing of packaging boxes. Its other activities include
copra, cocoa, coffee and tea production, issuing of credit
cards, acquiring merchants and other related services, provision
of financial services, provision of property management,
investment in properties, property development including dealing
in land and estate management, club management, development and
sale of membership of a recreational club, education and
investment holding. The Group's operations are carried out in
Malaysia, other Asean countries including Singapore, Thailand
and Philippines, Hong Kong, South Pacific Islands, Australia and
United States of America.
Over the years of 1997 and 1998, the ravages of the Asian
economic crisis adversely affected the operations of the MBf
Group. Given the substantial debt and accumulated losses
suffered, MBf Holdings sought protection under Section 176(1) of
the Companies Act 1965. MBf Holdings obtained court orders to
propose a scheme of arrangement to restructure its borrowings
with its lenders and selected creditors and to restrain its
creditors from commencing recovery action. The Scheme was
completed on June 30, 2003. Included in the Scheme was a debt-
restructuring scheme, which excluded the lease, hire-purchase
liabilities, general unsecured liabilities and amounts owing to
subsidiary and associated companies. The lease, hire-purchase
and general liabilities were to be addressed in the ordinary
course of business. However, the Scheme made no provision for
the settlement of the Inter-company Loans, which the Group is
now having problems with.
PATIMAS COMPUTERS: Pays MYR105,513 for 110,000 Shares
-----------------------------------------------------
On April 17, 2006, Patimas Computers Berhad bought back 110,000
ordinary shares for a total cash consideration of MYR105,513.17.
The minimum price paid for each share purchased was MYR0.955 and
the maximum was MYR0.955.
After the purchase, the cumulative outstanding treasury shares
of the Company have reached 210,000.
Headquartered in Kuala Lumpur, Malaysia, Patimas Computers
Berhad is principally engaged in the development and sale of
computer related products and provision of computer related
services that is predominantly carried out in Malaysia.
Accordingly, information by business and geographical segments
on the Group's operations is not presented. The Group has
undertaken internal restructuring and other measures to offset
substantial losses and debts it incurred in the past years. As
a result of its revival efforts, the contingent liabilities
arising from unsecured corporate guarantees given to licensed
banks for bank credit facilities granted to the Company's
subsidiaries decreased from MYR89.9 million as of December 2004
to MYR89.4 million as at December 2005. The Group, which
currently has a healthy revenue backlog and strong sales
pipeline, is optimistic of the prospects in the year ahead and
anticipates better financial results in 2006.
PRIME UTILITIES: Unit Defaults on Loans
---------------------------------------
Prime Utilities Berhad's subsidiary, LBCN Development Sdn Bhd,
had defaulted in payments on these loan facilities:
* Cash Note Facility/Al Istisna Financing I & II
These facilities are under Bank Islam Malaysia Berhad.
The borrowing was due since September 3, 2005.
Currently, LBCN is in the midst of negotiating with the
bank on the repayment schedule via project development
sales. The Bank is quite receptive and yet to finalize.
The amount outstanding for the above Islamic loan are:
-- Cash Note Facility : MYR3,881,093.60
-- Al-Istisna Financing I : MYR8,747,290.89
-- Al-Istisna Financing II : MYR2,929,220.72
* Term Loan 1
This facility is under Malayan Banking Berhad. The loan
installments have been due and LBCN is in the midst of
negotiating with the bank with new proposal. The bank is
quite receptive and yet to finalize. The amount
outstanding as of January 31, 2006, is MYR28,916,131.52.
* Term Loan VI
This is a friendly unsecured interest free loan from
Stockware Capital Sdn Bhd. The borrowing has been due
since December 31, 2003. Several verbal approval for
extension have been granted and no action being taken by
the lender yet. LBCN is planning to repay the above loan
via project sales and sale proceeds from part of other
undeveloped land banks. The amount outstanding as of
January 31, 2006, is MYR50,000,000.
The loan default will not have any material financial impact on
Prime Utilities as the aforesaid loan facilities had already
been recognized as current liabilities in both the annual report
for financial year ended April 30, 2005, and latest quarterly
announcement as at January 31, 2006.
The project will commence on May 2006 as LBCN is still waiting
for Housing Developer's Association license renewal and 90%
consent from house buyers.
About Prime Utilities Berhad
Headquartered in Selangor, Malaysia, Prime Utilities Berhad
-- http://www.prime.com.my/-- is a property development company
listed on the Main Board of Bursa Malaysia Securities Berhad.
The principal activities of the Prime Group of companies is the
development of a 1,373 acres township known as Alam Perdana in
the Mukim of Ijok, District of Kuala Selangor. The township of
Alam Perdana will comprise of 15,630 units of bungalows, semi-
detached, single and double-storey linked houses, low-cost
flats, medium-cost apartments, condominiums, shop offices and
retail complexes, when fully developed. After booking losses
since 1999, the Company has continuously taken necessary steps
to improve its financial position. In 2005, Bursa Malaysia
Securities Berhad has publicly reprimanded and imposed fines
twice on the Company for failing to submit its financial reports
on time.
SBBS CONSORTIUM: Wind-up Stay Hearing Adjourned to May 3
--------------------------------------------------------
The application made by Kain Ann @ Chua Kien Lam, a contributory
of SBBS Consortium Berhad, for a stay of the Winding-Up Order,
which came up for hearing on April 13, 2006, has been adjourned
to May 3, 2006.
The Troubled Company Reporter - Asia Pacific reported that Mr.
Chua, on April 5, 2006, filed an application for a stay and
restraining order on the wind-up ruling issued by the Court on
March 29.
The wind-up petition was filed by Southern Bank Berhad last year
after SBBS defaulted on a loan facility extended by the Bank.
About SBBS Consortium
Headquartered in Kuala Lumpur, Malaysia, SBBS Consortium Berhad
is engaged in the trade, manufacture and sale of molded and sawn
timber and other wood-based products. Its other activity is
investment holding. Due to its inability to service loan
facilities, the Company had entered into various negotiations
with its bank creditors, and in order to ensure that these
creditors are treated on a pari passu basis, the Company had
ceased making repayments to its bank creditors on an ad-hoc
basis. As a consequence of this treatment, its bank creditors
have taken various measures to recover their outstanding loans.
Negotiations between the Company and its bank creditors are
nonetheless, still continuing. The Company is considering
various sources of new business and funds to address its
financial position, and had on June 24, 2005, appointed Covenant
Equity Consulting Sdn Bhd to advise on its options. Currently,
the Company is working to implement corporate rehabilitation
exercises to turn its business around.
TELEKOM MALAYSIA: Judge Junks MCAT's Relief Bid with Costs
----------------------------------------------------------
On March 20, 2006, Justice Dato' Abdul Wahab bin Patail heard
MCAT GEN Sdn Bhd's application for interim injunction to
restrain Telekom Malaysia's wholly owned subsidiary, Celcom
(Malaysia) Berhad from:
-- entering into, continuing and completing any reseller's
agreement with any third party or acting in a manner
which contravenes, contradicts and causes detriment to
the Plaintiff's alleged rights under its alleged
appointment of a reseller of Celcom's services; and
-- disclosing MCAT GEN's confidential information and
trade secrets to any third parties pending the disposal
of this suit.
After hearing arguments from Counsels for both parties and
considered the relevant cause papers, Justice Abdul ordered that
the MCAT's application for interim injunctive relief be
dismissed with costs.
The Troubled Company Reporter - Asia Pacific reported that on
November 24, 2005, Celcom was served with a sealed copy of a
Writ of Summons and Statement of Claim for a suit filed by MCAT-
Gen in the Kuala Lumpur High Court.
In its Statement of Claim, MCAT has pleaded a cause of action
for libel against Celcom based on certain alleged press releases
which appeared in the New Straits Times, Utusan Malaysia, Harian
Metro and Berita Harian. MCAT is seeking, amongst others,
damages for libel in the sum of MYR1.0 billion, aggravated and
exemplary damages, an injunction restraining Celcom from further
publishing any similar defamatory words, a public apology and
costs.
About Telekom Malaysia
Headquartered in Kuala Lumpur, Malaysia, Telekom Malaysia
-- http://www.telekom.com.my/-- which once owned Malaysia's
telecommunications landscape, now faces growing competition.
Telekom Malaysia provides voice and data services through three
primary operating units: TelCo, its core telecom business;
Telekom Multimedia, which develops new media businesses; and
ServiceCo, which oversees operational activities such as fleet
and property management. The company is also a leading Internet
Service Provider. Among Telekom Malaysia's subsidiaries are
units that publish phone directories and operate fiber optic
networks. It sold its cellular unit in 2002 but gained control
of Celcom (Malaysia) in 2003. The company also owns stakes in
businesses in nine countries in Asia and Africa. The Company
had been locked up in disputes with different companies in the
past, which brought heavy losses to the firm. Some of its units
are also facing the possibility of being wound up by creditors.
TELEKOM MALAYSIA: Fourth Quarter Revenue Jumps 8.3%
---------------------------------------------------
For the fourth quarter of the year ended December 31, 2005,
Telekom Malaysia's revenue increased by 8.3%, to MYR3,754
million from the MYR3,465,105 million in the fourth quarter of
2004, mainly due to higher revenue from cellular segment
following the consolidation of PT Excelcomindo Pratama Tbk's
two months results and Internet and multimedia segments.
The Group profit before taxation decreased by 140.0% or
MYR1,321.6 million, mainly due to provision for a claim which
was made under protest in respect of the award to DeTeAsia
Holding GmbH (DeTeAsia) amounting to MYR879.5 million
(Arbitration Award) and the absence of exceptional gain arising
from disposal of Telkom SA Limited (Telkom SA) and Sheba Telecom
(Pvt) Ltd (Sheba) of MYR894.4 million reported in fourth quarter
2004.
For the financial year under review, the Group revenue increased
by 5.2% or MYR691.5 million to MYR13,942.4 million, driven
primarily by the cellular and Internet and multimedia segments.
The Group profit before taxation however decreased by 50.3% or
MYR1,595.2 million, mainly due to the Arbitration Award, lower
contribution from associates and absence of exceptional gain
arising from disposal of Telkom SA and Sheba.
Group revenue for the current quarter of MYR3,754.0 million
increased by 8.8% or MYR302.8 million over MYR3,451.2 million
recorded in the preceding quarter, mainly due to higher
contribution from cellular and other telecommunication services.
The Group profit before taxation however decreased by 141.0% or
MYR1,300.0 million) from MYR922.1 million to a loss of MYR377.9
million mainly due to Arbitration Award and absence of gain on
dilution/partial disposal of a subsidiary and an associate
aggregating MYR341.4 million.
In the next fiscal year, Telekom Malaysia will continue to
mitigate the decline in fixed voice and focus on improving its
data related services. In addition both mobile and broadband
services shall continue to remain a focal point for TM as key
growth engines for the future. Efforts to rollout 3G and improve
mobile data services will continue as TM strives to further
strengthen its position in the market. Improvement in customer
service and experience will remain a priority as we transform
our distribution, retail and contact center outlets to be more
customer friendly.
TM will continue to enhance value of its current overseas
investments while exploring into other potential markets in the
region and expanding its global footprint through partnerships
and alliances. The importance of overseas contribution will
be greater as TM continues to position itself as a key
regional player.
The Group expects revenue for 2006 to be driven primarily from
further growth in Internet and multimedia services, mobile
services and international operations.
Whilst, significant efforts are put in generating revenue,
Telekom Malaysia will also continue to manage costs effectively.
Several cost control initiatives on operating costs including
outsourcing of non-core business activities are being
implemented throughout the Group.
Barring any unforeseen circumstances, the Board of Directors
expects the Group's performance for financial year ending
December 31, 2006 to improve.
Summary of Key Financial Information
Individual Period Cumulative Period
Current Year Preceding Year Current Year Preceding Year
Quarter Corresponding to Date Corresponding
Quarter Period
31-12-2005 31-12-2004 31-12-2005 31-12-2004
MYR'000 MYR'000 MYR'000 MYR'000
* Revenue
3,754,017 3,465,105 13,942,370 13,250,900
* Profit/(loss) before tax
-377,930 943,773 1,577,566 3,172,839
* Profit/(loss) after tax and minority interest
-701,275 824,200 875,237 2,613,460
* Net profit/(loss) for the period
-701,275 824,200 875,237 2,613,460
* Basic earnings/(loss) per shares (sen)
-20.70 24.40 25.80 78.20
* Dividend per share (sen)
25.00 20.00 35.00 30.00
* Net assets per share (MYR)
As at end of As at Preceding
Current Quarter Financial Year End
5.9083 5.8364
A full-text copy of the Company's Fourth Quarter Report is
available for free at:
http://bankrupt.com/misc/tcrap_telekommalaysia041806.pdf
http://bankrupt.com/misc/tcrap_telekommalaysianotes041806.pdf
About Telekom Malaysia
Headquartered in Kuala Lumpur, Malaysia, Telekom Malaysia --
http://www.telekom.com.my/-- which once owned Malaysia's
telecommunications landscape, now faces growing competition.
Telekom Malaysia provides voice and data services through three
primary operating units: TelCo, its core telecom business;
Telekom Multimedia, which develops new media businesses; and
ServiceCo, which oversees operational activities such as fleet
and property management. The company is also a leading Internet
Service Provider. Among Telekom Malaysia's subsidiaries are
units that publish phone directories and operate fiber optic
networks. It sold its cellular unit in 2002 but gained control
of Celcom (Malaysia) in 2003. The company also owns stakes in
businesses in nine countries in Asia and Africa. The Company
had been locked up in disputes with different companies in the
past, which brought heavy losses to the firm. Some of its units
are also facing the possibility of being wound up by creditors.
TENAGA NASIONAL: High Sales & Strong Currency Pull Up 2Q Revenue
----------------------------------------------------------------
Tenaga Nasional's net profit for the six months ended Feb. 28,
2006, improved from MYR303.6 million to MYR995.1 million -- an
increase of MYR691.5 million. This resulted mainly from higher
electricity sales and the strengthening of Ringgit Malaysia
against the major currencies, which has resulted in foreign
exchange gain for the Group.
For the quarter under review, the Group recorded a total revenue
of MYR9,742.8 million which was MYR557.2 million or 6.1% higher
than the corresponding period in the last financial year. The
increase was mainly attributed to higher electricity sales,
which increased by MYR529.6 million or 6.0%. The commercial and
domestic sectors were the main contributors to the increase of
MYR244.1 million (8.1%) and MYR144.8 million (9.1%)
respectively.
The Ringgit Malaysia at the closing of financial period
strengthened against the major currencies which TNB Group was
exposed to. This has resulted in foreign exchange gain of
MYR347.7 million compared to the loss of MYR395.7 million
recorded in the corresponding period last financial year. The
operating expenses increased by MYR641.0 million or 8.4%
compared to the corresponding period last financial year. The
operating profit of the Group decreased from MYR1,757.2 million
to MYR1,725.0 million, a reduction of MYR32.2 million or 1.8%.
The increase in coal price was the main contributor to the
higher operating expenses where the average price increased from
US$49.86 to US$53.46 per tonne.
The initiatives carried out by the management such as increasing
efficiency and productivity and cost management have also helped
in containing the burden resulted mainly from increased fuel
price and higher operating costs.
The Group registered a net profit of MYR399.5 million for the
current quarter compared to MYR295.1 million recorded for the
corresponding quarter last year an increase of MYR104.4 million
or 35.4% resulted mainly from the improvement in operating
profit and higher foreign exchange gain compared to the
corresponding quarter last year.
Following the continuing growth in the Malaysian economy,
Management expects growth in electricity demand to be stable.
In addition, the Management has embarked on several initiatives
to improve the operating efficiencies and productivity.
However, as prices are expected to rise which will have a
significant impact on the operating costs, the Board of
Directors is of the view that such circumstances may pose a
challenge to the performance of the Group for FY2006.
The Company has submitted a tariff review proposal to the
Government in order to address its current financial position.
The Government has requested TNB to make certain adjustments to
the revised tariff structure and the Company remains hopeful for
the proposal to be considered. Failing to secure the tariff
review will have a negative impact on the Company's financial
position in the medium and long-term.
Given the uncertainty of the outcome of the tariff proposal
coupled with the continuous increase in operating expenses, the
Board of Directors has decided not to declare and pay an interim
dividend at this juncture. The Company had in the last
financial year paid a tax-exempt interim dividend of 3.0 sen per
share.
Summary of Key Financial Information
Individual Period Cumulative Period
Current Year Preceding Year Current Year Preceding Year
Quarter Corresponding to Date Corresponding
Quarter Period
28-02-2006 28-02-2005 28-02-2006 28-02-2005
MYR'000 MYR'000 MYR'000 MYR'000
* Revenue
4,831,400 4,640,800 9,742,800 9,185,600
* Profit/(loss) before tax
542,700 507,200 1,291,600 723,700
* Profit/(loss) after tax and minority interest
399,500 295,100 995,100 303,600
* Net profit/(loss) for the period
399,500 295,100 995,100 303,600
* Basic earnings/(loss) per shares (sen)
12.36 9.24 30.80 9.56
* Dividend per share (sen)
0.00 3.00 0.00 3.00
* Net assets per share (MYR)
As at end of As at Preceding
Current Quarter Financial Year End
5.2700 5.0300
The Company's latest Financial Report is available for free at:
http://bankrupt.com/misc/tcrap_tenaganasional041806.pdf
About Tenaga Nasional
Headquartered in Kuala Lumpur, Malaysia, Tenaga Nasional Berhad
-- http://www.tnb.com.my/-- is engaged in the generation,
transmission, distribution and sale of electricity. The Company
also manufactures, sells and repairs transformers and
switchgears. It is also involved in provision of project
management, consultancy, engineering works, contracting,
trading, risk management, risk surveys, insurance, research and
development, property management, energy project development and
investment holding services. It also undertakes repairs and
maintenance of motor vehicles. The Group operates in Malaysia
and Mauritius. The Company is currently undertaking liability
management exercises, which are expected to extend the Company's
debt maturity profile and reduce refinancing risk. Moody's gave
the Company a 'Ba' rating due to the Company's relatively high
financial leverage and significant PPA obligations, accounting
for approximately 42% of total operating costs in FY2004.
=====================
P H I L I P P I N E S
=====================
ATLAS CONSOLIDATED: Secures PHP257-Mln Loan from Toledo Mining
--------------------------------------------------------------
Mining firm Atlas Consolidated Mining & Development Corporation
secured a PHP257.42 million loan from Toledo Mining Corporation,
Dow Jones says. Atlas signed an agreement for the loan, which
is payable in three years.
According to Atlas Mining, the loan would go to paying its
contributions for the ongoing Berong nickel project located in
Palawan, Philippines, of which the Company owns a 35% stake.
The Berong project covers an area of 10,659 hectares, with 275
million metric tons of 1.3% nickel and 0.074% cobalt, and is
operated by Toledo Mining. Atlas' loan has a 10% annual
interest, and is convertible into shares in the Company at a
PHP10 par value.
About Atlas Consolidated
Headquartered in Mandaluyong City, Philippines, Atlas
Consolidated Mining and Development Corporation was established
through the merger of assets and equities of three Soriano-
controlled pre-war mines, the Masbate Consolidated Mining
Company, IXL Mining Company and the Antamok Goldfields Mining
Company. The Company is engaged in mineral and metallic mining
and exploration that primarily produces copper concentrates and
gold with silver and pyrites as major by-products. The
Company's copper mining operations are centered in Toledo City,
Cebu, where two open pit mines, two underground mines and
milling complexes (concentrators) are located. The Cebu copper
mine ceased operations in 1994. Activities after the shutdown
were limited to safeguarding and maintaining the property, plant
and equipment at the minesite. The closure has brought huge
losses to the mining firm. The Masbate gold mine, meanwhile,
was sold to Base Metal Minerals Resources Corporation in 1996.
In January 2004, Atlas decided to rehabilitate the company and
its assets at the earliest possible time since copper and nickel
prices have recovered. On February 23, 2006, the TCR-AP
reported that Atlas signed an agreement with Crescent Asian
Special Opportunities Portfolio, which would buy part of the
Company's debts for PHP358.05 million convertible into stock,
and would invest PHP1.69 billion into Carmen Copper Corporation
in exchange for a 34% stake.
LEPANTO CONSOLIDATED: Stockholders Elect Directors
--------------------------------------------------
At the annual stockholders' meeting of Lepanto Consolidated
Mining Company on April 17, 2006, the stockholders elected a new
set of directors for the year 2006-2007:
1. Felipe U. Yap
2. Bryan U. Yap
3. Felicitas Aquino-Arroyo
4. Jose G. Cervantes
5. John D. Fairfield
6. Ricardo V. Puno, Jr.
7. Cresencio C. Yap
Independent Directors:
1. Ray C. Espinosa
2. Wilfrido C. Tecson
About Lepanto
Lepanto Consolidated Mining Company --
http://www.lepantomining.com/-- was incorporated primarily to
be involved in the exploration and mining of gold, silver,
copper, lead, zinc and all kinds of ores, metals, minerals, oil,
gas and coal and their related by-products. The Company was
incorporated in 1936 and until 1997 was operating an enargite
copper mine. It shifted to gold bullion production in the same
year through its Victoria Project. Lepanto operated a copper
flotation plant from August 2000 to December 2001, when copper
operations were suspended due to the presence of excessive
penalty elements in the mill feed and copper concentrate.
Lepanto sells its gold bullion production to London's Johnson
Matthey. Lepanto is now one of the country's top producers of
gold and its by-products, copper and silver. The Company also
has investments in other areas through its subsidiaries such as
hauling business, diamond drilling business, insurance business,
manufacturing of industrial diamond tools for mining
exploration, marble cutting and the construction industry.
The Troubled Company Reporter - Asia Pacific reported on
January 27, 2006, that Lepanto Consolidated is working to
recover from a PHP400 billion loss incurred from the past two
years due to labor disputes.
NATIONAL FOOD: Intent on Pursuing Distribution Programs
-------------------------------------------------------
The National Food Authority is concentrating its efforts on the
implementation of its various rice distribution programs under
the Ten Point Agenda of the Arroyo Administration, The
Philippine Information Agency says.
The agency has a Food for School Program II, where it delivers
packs of well-milled and iron-fortified rice to pre-school kids
and Grade I students, and has distributed 74,697 packs of rice
to 1,011 children. The agency has also sold iron-fortified rice
to local government units in Antique under its supplemental
feeding program.
According to the PIA, National Food is building up a rice
fortification program, where rice mill operators and owners are
urged to improve rice milling facilities so as to produce better
quality rice that could be sold at a higher price, and improve
milling operations. National Food will provide technological
and operational support to those who want to upgrade their
mills, while financial aid would come from the sustainable
logistics development program of the Development Bank of the
Philippines.
About National Food
Headquartered in Quezon City, Philippines, National Food
Authority -- http://www.nfa.gov.ph/-- is a government
organization regulating the rice and corn industry by
stabilizing grain supply and prices and maintaining food
security in cereals. NFA is among the state-owned firms, which
push up the country's outstanding public sector debt.
In 2005, the agency incurred a PHP6-billion debt to bankroll
cost of rice and corn importation, as well as payment of import
duties. The Company is seeking a private sector takeover of its
importation role so it could gradually make a turnaround from
its PHP22-billion aggregate loss in 2005.
On March 13, 2006, the Troubled Company Reporter - Asia Pacific
reported that the Company is slated to post a loss of PHP8
billion in 2006.
PHILIPPINE AIRLINES: Landing Gear Problem Causes Scare
------------------------------------------------------
Landing gear trouble caused a Philippine Airlines plane to
return to the Ninoy Aquino International Airport just two
minutes after takeoff, causing passengers to be slightly shaken,
Manila Standard Today reports.
Philippine Airlines Flight PR811 bound for Davao City took off
the airport runway 31 at 10:45 on April 18, 2006, but
experienced landing gear trouble midair, and the pilot asked
control tower assistance for an emergency landing.
According to airport information chief Judith Dolot, the plane's
tires did not fold up, and so they had no choice but return to
the airport.
Most of the 295 passengers were shocked when they heard of the
incident, the Standard relates. Together with the 14-man crew,
they changed planes and left Manila two hours later.
About Philippine Airlines
Philippine Airlines -- http://www.philippineairlines.com/-- is
the Philippines' national airline. It was the first airline in
Asia and the oldest of those currently in operation. With its
corporate headquarters in Makati City, Philippine Airlines flies
both domestic and international flights. As of 2005, it claims
to serve 21 domestic airports and 31 foreign cities. Its main
hub is the Ninoy Aquino International Airport in the capital
city of Manila.
Following labor problems and its failure to settle debts, PAL
filed for rehabilitation in June 1998, and is slated to complete
its 10-year debt rehabilitation program in 2009.
A March 21, 2006 report by the Troubled Company Reporter - Asia
Pacific says that the airline company will continue a
government-led rehabilitation program even as creditors neither
approved nor rejected the program to leave the protection of the
Securities and Exchange Commission.
As of 2005, Philippine Airlines has paid PHP50.88 billion of its
total PHP111.94 billion debt; Company president Jaime J.
Bautista said they expect to post a profit for the year ended
March 31, 2006.
=================
S I N G A P O R E
=================
CHINA AVIATION(S): Trading Arm Buys Jet Fuel for May
----------------------------------------------------
The trading arm of China Aviation Oil (Singapore) Corporation
Limited has bought jet fuel cargo via tender for early May
delivery, Reuters reports.
The latest purchase by China Aviation Oil Trading has pushed the
firm's total purchases for May to 285,000 tonnes, higher than
last year's monthly average of 265,000 tonnes.
CAOT bought the 30,000-tonne parcel at about US$1.60 per barrel
above Singapore spot quotes on delivered basis. The trading
firm last bought via tender 255,000 tonnes of jet fuel for
delivery in May at premiums of $0.80-$1.70 a barrel to Singapore
quotes, on a cost-and-freight basis.
The Company is now confident that it will be able to supply
enough fuel to meet strong holiday demand in China, the report
says.
According to Reuters, Chinese jet fuel demand would be stronger
than usual due to the Golden Week holiday in the first week of
May, boosting China's air travel for inbound and outbound
flights.
About China Aviation
Incorporated in 1983, China Aviation Oil (Singapore) Corp.
Limited -- http://www.caosco.com/-- deals primarily in jet fuel
procurement, although it is also active in international oil
trading and oil-related investment. The firm commands a near-
100% market share of the procurement of imported jet fuel for
China's civil aviation industry, and has expanded its market to
include ASEAN countries, the Far East and the United States.
Singapore's Commercial Affairs Department investigated China
Aviation in December 2004 after it was discovered that the
Company had lost up to SGD896.07 million in fuel derivatives
trading, which was not immediately reported to the Singapore
Exchange. China Aviation avoided bankruptcy when creditors
agreed to write down some of its debt in June 2005, and BP Plc,
Europe's biggest oil company, agreed to take a stake in the
company.
In February 2006, Chief Financial Officer Peter Lim was
sentenced to two years imprisonment and fined SGD150,000 for his
involvement in cheating and releasing false financial statement.
A Singapore court also fined three other China Aviation
executives for concealing losses at the group, which is subject
to a $130 million restructuring plan. On March 21, 2006, the
former chief executive officer of China Aviation, Chen Jiulin,
was sentenced to more than four years in jail and made to pay
SGD350,000 in fines.
Shareholders of the Company have subsequently approved a new
restructuring plan for China Aviation. According to a TCR-AP
report on March 7, 2006, the approved restructuring plan allows
creditors an option to have an upfront cash payment of 45 cents
on every dollar owed, or a higher repayment rate of 58 cents a
dollar spread over five years.
The Company completed its Restructuring Plan on March 28, 2006.
ESCOLSING PTE: Distributes Second Interim Dividend
--------------------------------------------------
Escolsing Pte Limited, a company under compulsory liquidation,
has on April 17, 2006, distributed its second interim divided at
3.20 cents to a dollar.
The dividend distribution was carried out pursuant to an order
by the High Court of the Republic of Singapore.
Contact: PricewaterhouseCoopers
8 Cross Street #17-00
PWC Building
Singapore 048424
GHIM PENG: Pays First and Final Dividend
----------------------------------------
As ordered by the High Court of the Republic of Singapore, Ghim
Peng Hotel Limited has paid its first and final dividend for
preferential and ordinary claims on April 17, 2006.
The Company distributed 100% of all admitted preferential claims
and 3% of all admitted ordinary claims.
Contact: Chee Yoh Chuang
Lim Lee Meng
Liquidators
RSM Chio Lim
18 Cross Street
#08-01 Marsh & McLennan Centre
Singapore 048423
MAGENTA COLOPRINTERS: Receiver Distributes Preferential Dividend
----------------------------------------------------------------
Karen Loh, the assistant official receiver of all the assets of
failed Magenta Coloprinters Private Limited, has successfully
distributed the Company's first and final dividend on April 4,
2006.
Contact: The Official Receiver
The URA Centre (East Wing)
45 Maxwell Road #06-11
Singapore 069118
TAI FOOK: Court Orders Winding Up
---------------------------------
The High Court of Singapore, on April 7, 2006, issued an order
to wind up Tai Fook Development Pte Limited.
The Company's creditors are requested to file their proofs of
claims with Liquidator Timothy James Reid, who will be
administering all the affairs of the Company.
As reported by the Troubled Company Reporter - Asia Pacific on
April 3, 2006, Hock Hock Chuan Ann Construction Private Limited
filed with the High Court of Singapore on March 14 a petition to
wind up Tai Fook.
Contact: Timothy James Reid of
M/s Ferrier Hodgson,
50 Raffles Place #16-06
Singapore Land Tower
Singapore 048623
===============
T H A I L A N D
===============
THAI DURABLE: Clarifies News on Business Shift
----------------------------------------------
The Thansettakij newspaper had reported on March 6, 2006, that
Thai Durable Public Company Limited will shift its business to
property development by using its 100-Rai land worth THB1
billion, and is seeking a joint venture with foreign investors.
The Company's land, as reported in the newspaper, is located at
33 Moo 4 Suksawadi Road, Thumbon Bangjak, in Phrapradang
District, Samutprakarn Province, about 4.7 kilometers from
Phrapradaeng T-junction and about 1 kilometer from the new
bridge over Chapraya River now being constructed part of the
west outer ring road.
Thai Durable confirms that it is doing its feasibility study to
change its business nature from textile to property development,
as it had informed on February 22, 2006. However, the Company
clarifies with the Stock Exchange of Thailand that it had not
given any interview with the newspaper.
The Company notes that it had negotiated with Sansiri PCL and MR
Chatu Mongol Sonakul regarding a joint venture with interested
property development companies. Yet, at present, the Company
states that there is no progress regarding the matter.
Regarding the progress in business operation, the Company says
that it has currently stopped all textile production except for
the garment department, due to high inventory level of finished
goods, particularly finished and dyed fabric. The Company plans
to convert these finished fabric into table cloths, napkins, bed
sheets, uniforms and others for further distribution, and is
expecting to generate more value to the finished inventory.
Currently, the Company has terminated 941 workers since December
2005, and has paid compensation and accrued bonus aggregating
approximately THB78.4 million. At the end of February 2009, the
remaining number of employee is 121.
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The Thai Durable Group Public Company Limited --
http://www.tdt.co.th/-- manufactures woven fabrics and yarns
from natural and synthetic fibers. The majority of its
production is sold to industrial factories for further
processing.
The Company is under the REHABCO, or Companies under
Rehabilitation sector, of Thailand's Stock Exchange.
The Troubled Company Reporter - Asia Pacific stated on April 12,
2006, that the Company's Board of Directors passed a resolution
not to allocate net profit as legal reserve in the amount of 5%
of the net profit of the Company and not pay the dividend from
its 2005 operating income.
Going Concern of the Company
The Company had sustained significant accumulated losses and has
suffered recurring loss from operations. As at December 31,
2005, Thai Durable has an equity deficit amounting to THB2.0
billion. The Company incurred negative cash flows from
operating activities for the year ended December 31, 2005,
amounting to THB73.3 million. The Company's current liabilities
exceeded its current assets as of December 31, 2005, by THB644.4
million. Moreover, the Company could not repay short-term loans
and long-term loans from two local banks which were due and on
January 27, 2006, the Company was sued by a local bank to repay
all short-term loans and long-term loans totaling THB273.8
million, including principal and accrued interest. In addition,
the management is in the process of negotiating for the
postponement of loans from another local bank. The ultimate
outcome of these matters cannot be determined yet. Presently,
the Company is performing a feasibility study to change its
current business.
The continuing operation of the Company in the future
substantially depends on (i) results of the negotiation
with the financial institution creditors relating to the
postponement of loans, and (ii) the new business plan of
the Company and its ability to operate successfully in the
future and has adequate cash flows from operations. These
matters indicate the existence of a material uncertainty about
the Company's ability to continue its operation as a going
concern.
THAI PROPERTY: Posts 100% Decline in 2005 Net Profit
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Thai Property Public Company Limited has reported a THB0.44
million net profit for the year ending December 31, 2005. This
is a 99.81% decrease from the THB235.52 million it posted in
2004.
The Company explains that the 2004 net profit actually includes
a THB187 million gain from debt restructuring, while there was
increased advertising and marketing expenses for 2005,
accounting for the drastic decline.
Revenue for the Company also declined 24.37% from THB95.11
million in 2004 to THB71.93 million in 2005.
Thai Property Public Company Limited
Financial Highlights, For the Year Ending Dec. 31, 2005
In Millions of THB
2005 2004
Assets 1,737.14 1,682.66
Liabilities 870.51 816.47
Equity 866.63 866.19
Paid-up Capital 2,009.00 2,009.00
Revenue 71.93 95.11
Net Profit 0.44 235.52
EPS(Baht) 0.00 1.49
About Thai Property
Thai Property Public Company Limited was formerly known as
Rattana Real Estate Public Company Limited. The Company
develops real estate for sale and rental including residential,
commercial, and office buildings.
The economic crisis, which occurred in 1997, significantly
affected the various business sectors, especially the real
estate development sector. This led Thai Property to suspend
its real estate development project in 1997, and as a result,
the Company had consistently suffered operating losses and has a
significant capital deficit. The Company also faces liquidity
problems, and has been unable to fulfill the conditions of
various loan agreements and to repay its debts to its creditors.
In 2003, Thai Property had successfully concluded negotiations
with most of its lenders and creditors to restructure the
conditions and the repayment of its debts. The remaining parts
of its debts are subject to ongoing repayments, which the
Company believes will be concluded successfully.
On August 16, 2002, Thai Property entered into a reciprocal
agreement with a new investor, Great China Millennium (Thailand)
Company Limited, to continue its real estate development
project. The agreement stipulates certain conditions, which the
Company and the new investor must comply.
In the first quarter of 2003, the Company completed its
obligations as stipulated under the agreement, and the new
investor had also fulfilled most of its obligations under the
agreement, such as making significant progress with construction
of the project buildings, the provision of loans to the Company
and payment of remuneration. However, in July 2005,
remuneration of THB150 million was due under the agreement and
the new investor intended to offset such remuneration against
part of the loan balance of THB509 million it had provided to
the Company. The new investor has not been able to offset the
amounts because of certain conditions under the Company's short-
term loan agreement.
The Company is confident that the new investor will be able to
fulfill all of its remaining obligations under the reciprocal
agreement. The financial statements under the latest financial
report have been prepared on a going concern basis, assuming
that the realization of assets and settlement of liabilities and
obligations will occur in the ordinary course of business of the
Company without any expectation of significant disruption to the
ongoing activities.
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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
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Fernandez, and Peter A. Chapman, Editors.
Copyright 2006. All rights reserved. ISSN: 1520-9482.
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