TCRAP_Public/060804.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R  
  
                     A S I A   P A C I F I C  

             Friday, August 4, 2006, Vol. 9, No. 154

                            Headlines

A U S T R A L I A   &   N E W  Z E A L A N D

ACM FLOORING: Members and Creditors Decide to Liquidate Business
AGLASS SALES: Creditors Resolve to Wind Up Firm
AUSTRALISIAN ROAD: Appoints Joint Liquidators
BANSTEAD CONSULTANTS: Court to Hear Liquidation Bid on Sept. 14
BLUE & GREEN: Creditors' Proofs of Claim Due on August 15

BORIS METAL: Placed Under Members' Voluntary Liquidation
CAMBAY ADMINISTRATION: Members Pass Resolution to Wind Up Firm
CASHMERE HEIGHTS: Faces Liquidation Proceedings
DA COOKE & COMPANY: Enters Wind-Up Proceedings
DIESEL NET: Creditors Appoint Official Liquidator

EASTVIEW CONSTRUCTION: Liquidation Bid Hearing Fixed on Sept. 28
FELTEX CARPETS: Turners to Challenge Godfrey Hirst Proposal
FELTEX CARPETS: Issue Raised Over G. Hirst's Rejected 2005 Offer
HUON CORPORATION: J. Schulz Surrenders Assets to Administrator
IDRONE PTY: Placed Under Members' Voluntary Liquidation

INTEC COMMERCIAL: Members and Creditors to Convene on August 31
JK GROUP: To Declare Dividend on September 21
LORNDELL HOLDINGS: Liquidator Holbrook to Present Wind-Up Report
LOXTON SERVICES: Placed Under Members' Voluntary Wind-Up
MI CONSULTING: Names Kenneth Whittingham as Liquidator

MALLEE FINANCIAL: Winds Up After Going Into Administration
N ENTERPRISES: Court to Hear Liquidation Application on Aug. 7
NATIONAL SNOWBOARD: Inability to Pay Debt Prompts Wind-Up
NEOLIDO HOLDINGS: Court Dismisses Directors' Wind Up Appeal
NEWTON CONSTRUCTION: Appoints Brown and Hart as Liquidators

NUMBER 1 CYCLES: Wind-Up Petition Hearing Slated for August 31
NYALBRIDGE PTY: Undergoes Voluntary Wind-Up
ONE RED DOG: Faces Wind-Up Proceedings
P.M.B. HOLDINGS: Court to Hear CIR's Liquidation Bid on Sept. 7
PETER HOLM: Members to Hear Liquidator's Report

PORT BREAKWALL: Court Issues Wind-Up Order
PROFESSIONAL KITCHENS: Creditors' Must Prove Debts by Aug. 21
REVUE DESIGN: Members Resolve to Wind Up Firm
ROSBAN HOTELS: Appoints Joint Liquidators
ROTHSCHILD PROPERTIES: Names Managh as Official Liquidator

RYDGE PUBLICATIONS: Members Pass Resolution to Wind Up Business
SAMSON PTY: Federal Court Appoints Receivers
SOLLAISE PTY: Supreme Court Issues Wind-Up Order
SOUTH AUSTRALIAN REAL: Members Opt for Wind-Up
STRUCTURAL CONCRETE: Members Agree to Liquidate Business

STYLECRAFT FURNITURE: Appoints Ozem Kassem as Liquidator
TDH RETAIL: Inability to Pay Debt Prompts Wind-Up
W DAVIES: Enters Voluntary Liquidation
WESTERN BAY: In Receivership, with NZ$53 Mln Loan Portfolio
YALLOURN FRIENDLY: Appoints Peter James Hedge as Liquidator


C H I N A   &   H O N G  K O N G

A.O. SMITH CORP: Earns US$25.1 Million in Second Quarter of 2006
AXIMAGE INTERNATIONAL: Members' Final Meeting Slated for Aug. 28
BANK OF COMMUNICATIONS: Overseas Investment Plan Gets Nod
CHINA CONSTRUCTION: SAFE Approves US$2-Bln Offshore Investments
ELRA (HONG KONG): Liquidator to Present Wind-Up Report

FAR MANOR: Members to Receive Wind-Up Report on August 28
JOYFINE LIMITED: Members Final Meeting Slated for September 1
KENFIELD CORPORATION: Creditors Must Prove Debts by August 21
LC EPICURE: Members to Receive Wind-Up Report
QUERRINGTON LIMITED: Final Members Meeting Set on August 29

SK GLOBAL: Joint Liquidators Step Aside
SOUTHERN FORTUNE: Faces Wind-Up Proceedings
WELRISE HOLDINGS: Creditors' Proofs of Claim Due on August 29
* CBRC Punishes Financial Staff Involved in Bank Crimes


I N D I A

HINDUSTAN PETROLEUM: Mulls Entry Into Power Sector
LML LIMITED: Allots 6.99-Lakh Shares Upon FCCB Conversion
UTI BANK: S&P Assigns BB+/B Credit Ratings With Positive Outlook


I N D O N E S I A

BANK TABUNGAN: Moody's Revises 'E' BFSR Outlook to Positive
HM SAMPOERNA: Net Income Rises to IDR947 Trillion
HM SAMPOERNA: Agrees to Sell 23.4% Stake in Retail Unit
PAN INDONESIA: Moody's Raises 'D-' BSFR Outlook to Positive


J A P A N

FORD MOTOR CREDIT: JCR Pulls Down Senior Debts Rating to BB-
MITSUBISHI MOTORS: R&I Upgrades CCC+ Rating to B
SOFTBANK CORPORATION: Sells 7.5% Stake in Unit for JPY50 Billion


K O R E A

BOWATER INC: Reports US$10.6 Mil. Net Loss for 2nd Quarter 2006
EUGENE SCIENCE: March 31 Balance Sheet Upside Down by US$11.3M
INDUSTRIAL BANK OF KOREA: Plans to Buy LIG Unit
KOREA EXCHANGE BANK: Stake Sales Hack Up Net Income
LG CARD: Net Profit Falls 40% in Second Quarter

* BSI Slips to Lowest Level This Year
* Korea Sees Recession of Construction Industry in June


M A L A Y S I A

AYER HITAM: Default Amount Tops MYR41 Million
CONSOLIDATED FARMS: Defaults on Over MYR148-Million Loans
DATUK KERAMAT: Bourse Halts Trading of Securities
FOREMOST HOLDINGS: Fined and Reprimanded for Breach of Rules
JIN LIN: To Discuss Restructuring at Meetings

JOHAN CERAMICS: Still Working to Finalize Regularization Scheme
KIG GLASS: Updates on Group's Default Status
MALAYSIA AIRLINES: Sees Lower Losses in Second Quarter
PAXELENT CORPORATION: Has Yet to Submit Regularization Plan
SBBS CONSORTIUM: Bourse Gives Public Reprimand and Imposes Fine

SUREMAX GROUP: Posts Lower Revenue, Higher Loss in Third Quarter
TAP RESOURCES: Unit Receives Payment Demand from Hilti
WEMBLEY INDUSTRIES: Wants One More Year to Complete Rehab Scheme


P H I L I P P I N E S

DEVELOPMENT BANK: Looks to Raise PHP6.7-Billion Tier 1 Issuance
PHILIPPINE NATIONAL BANK: Bad Loans Comprise 27% of Total Loans
UNION BANK: H1 Non-Performing Loan Ratio Rises 9.46%
UNION BANK: Net Income Falls 27% to PHP1.1 Billion in June 2006


S I N G A P O R E

INFORMATICS HOLDINGS: Cuts Losses by 29% in First Quarter FY07
INTEGRATED ENVIRONMENTAL: Court to Hear Wind-Up Petition
MAE ENGINEERING: Appoints Financial Officer and Vice President
REFCO INC: Chap 7 Trustee Wants Court to Wind Down Refco Trading
REFCO INC: Files June 2006 Statement of Cash Disbursements

SEE HUP SENG: Welcomes New Executive Director & Chief Executive
SNP RETAIL: Liquidator to Present Wind-Up Report on August 28
UNITY BUILDER: Creditors' Proofs of Debt Due on August 11


T H A I L A N D

THAI PETROCHEMICAL: Units Delay Financial Report Submission


* Large Companies With Insolvent Balance Sheets

     - - - - - - - -

============================================  
A U S T R A L I A   &   N E W  Z E A L A N D
============================================  

ACM FLOORING: Members and Creditors Decide to Liquidate Business
----------------------------------------------------------------
At a general meeting held on July 17, 2006, the members and
creditors of ACM Flooring Pty Ltd decided to liquidate the
Company's business.

In this regard, Terry Van Der Velde and David Stimpson were
appointed as joint and several liquidators.

The Liquidators can be reached at:

         Terry Van Der Velde
         David Stimpson
         SV Partners
         Level 16, 120 Edward Street
         Brisbane, Queensland 4000
         Australia


AGLASS SALES: Creditors Resolve to Wind Up Firm
-----------------------------------------------
The creditors of Aglass Sales Pty Ltd convened on July 18, 2006,
and agreed to wind up the Company's operations.

Accordingly, Daniel I. Cvitanovic was appointed as liquidator.

The Liquidator can be reached at:

         Daniel I. Cvitanovic
         Shop 5 Old Potato Shed
         74-76 Hoddle Street
         Robertson, New South Wales 2577
         Australia
         Telephone:(02) 4885 2500
         Facsimile:(02) 4885 2995


AUSTRALISIAN ROAD: Appoints Joint Liquidators
---------------------------------------------
Karen Betty Mason and Lloyd James Hayward were on July 20, 2006,
appointed as joint and several liquidators for Australisian Road
Markers (NZ) Ltd.

The Joint Liquidators will be accepting proofs of claim from the
Company's creditors until August 8, 2006.

The Joint Liquidators can be reached at:

        K.B. Mason
        Meltzer Mason Heath
        Chartered Accountants
        P.O. Box 6302, Wellesley Street
        Auckland, New Zealand
        Telephone: (09) 357 6150
        Facsimile: (09) 357 6152


BANSTEAD CONSULTANTS: Court to Hear Liquidation Bid on Sept. 14
---------------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against Banstead Consultants Ltd on September 14, 2006, at 10:00
a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on June 21, 2006.

The plaintiff's solicitor can be reached at:

         David Weaver
         Technical and Legal Support Group
         Auckland North Service Centre
         Inland Revenue Department
         5-7 Byron Avenue, Takapuna
         Auckland, New Zealand
         P.O. Box 33-150 Auckland
         Telephone: (09) 984 1595
         Facsimile: (09) 984 3116


BLUE & GREEN: Creditors' Proofs of Claim Due on August 15
---------------------------------------------------------
Blue & Green Tour Service Pty Ltd will declare its first and
final dividend on September 19, 2006.

Creditors are required to formally prove their debts by
August 15, 2006, for them to share in the dividend distribution.

The liquidator can be reached at:

         John Park
         KordaMentha (Queensland)
         Level 2, Corporate Centre One
         2 Corporate Court
         Bundall, Queensland 4217
         Australia
         Telephone:(07) 5574 1322
         Facsimile:(07) 5574 1433


BORIS METAL: Placed Under Members' Voluntary Liquidation
--------------------------------------------------------
After a general meeting held on July 3, 2006, the members of
Boris Metal Works Pty Ltd agreed to voluntarily liquidate the
Company's business.

In this regard, Joseph Sleiman was appointed as liquidator.

The Liquidator can be reached at:

         Joseph Sleiman
         Certified Practising Accountant
         Sleiman & Co
         Level 8, 65 York Street
         Sydney, Australia


CAMBAY ADMINISTRATION: Members Pass Resolution to Wind Up Firm
--------------------------------------------------------------
Members of of Cambay Administration Pty Limited on July 14,
2006, passed a special resolution to voluntarily wind up the
Company's operations.

Subsequently, Peter Ngan was appointed as liquidator.

The Liquidator can be reached at:

         Peter Ngan
         Ngan & Co
         Chartered Accountants
         Level 5, 49 Market Street
         Sydney, New South Wales 2000
         Australia


CASHMERE HEIGHTS: Faces Liquidation Proceedings
-----------------------------------------------
An application to liquidate Cashmere Heights Group Ltd will be
heard before the High Court of Christchurch on August 21, 2006,
at 10:00 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on June 29, 2006.

The solicitor for the plaintiff can be reached at:

         Julia Dykema
         Inland Revenue Department
         Technical and Legal Support Group
         South Island Service Centre
         Ground Floor Reception
         518 Colombo Street (P.O. Box 1782)
         Christchurch 8140, New Zealand
         Telephone: (03) 968 0809
         Facsimile: (03) 977 9853


DA COOKE & COMPANY: Enters Wind-Up Proceedings
----------------------------------------------
The members of DA Cooke & Company Pty Ltd met on July 11, 2006,
and resolved to voluntarily wind up the Company's operations.

In this regard, Jason Bettles and Susan Carter were appointed as
liquidators.

The Liquidators can be reached at:

         Jason Bettles
         Susan Carter
         Worrells
         Level 6, 50 Cavill Avenue
         Surfers Paradise
         Queensland 4217
         Australia


DIESEL NET: Creditors Appoint Official Liquidator
-------------------------------------------------
Members of Diesel Net Pty Limited decided to voluntarily wind up
the Company's operations during an extraordinary general meeting
held on July 18, 2006.

Subsequently, Barry Keith Taylor was named official liquidator.

The Liquidator can be reached at:

         Barry Keith Taylor,
         B. K. Taylor & Co.
         8th Floor, 608 St Kilda Road
         Melbourne, Australia


EASTVIEW CONSTRUCTION: Liquidation Bid Hearing Fixed on Sept. 28
----------------------------------------------------------------
A liquidation petition against Eastview Construction Ltd will be
heard before the High Court of Auckland on September 28, 2006,
at 10:00 a.m.

Power Quality Services Ltd filed the petition with the Court on
July 3, 2006.

The solicitor for the plaintiff can be reached at:

         D.J.G. Cox
         Offices of Rennie Cox
         Level Fifteen
         126 Vincent Street
         Auckland, New Zealand


FELTEX CARPETS: Turners to Challenge Godfrey Hirst Proposal
-----------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
August 2, 2006, Feltex Carpets Limited has received a takeover
offer from Australian rival Godfrey Hirst for up to 12 cents per
share.

In an update, The National Business Review relates that Graeme
and Craig Turner, who run bed-makers Sleepyhead, are set to
challenge Godfrey Hirst's bid.

ShareChat News says that the Turners, who share a
NZ$70-million family fortune according to the NBR Rich List,
want Feltex Carpets to issue preference shares that would have
priority if the Company was wound up.

As well as keeping local ownership, the Turners believe that
issuing preference shares would give existing investors the
opportunity to enjoy any Feltex recovery, ShareChat notes.

The NBR relates that the Turners have been interested in Feltex
since the shares started going down and have been working on a
bid for 10 months.

The New Zealand Press Association also says that the Turners
want to underwrite a third of a rescue rights issue for the
business and keep Feltex listed on the NZX.  They estimate that
Feltex needs between NZ$35 million and NZ$40 million to put it
back on an even keel.

Furthermore, the NZPA says that the Turners want other well-
heeled investors to put up similar sums, and are talking to
several institutions and other advisers.

According to the NBR, Graeme Turner says there are synergies
with his own company's product and manufacturing would remain
where it is now if they are successful in acquiring Feltex.  He
notes that they have a lot of support from other local
investors, but that he would not disclose the identities of
those investors at this stage.

ShareChat News says that Feltex is reportedly trading
profitably, has a strong order book, and is servicing its
NZ$128-million of debt.

The NBR relates that Feltex re-listed in 2004 at NZ$1.70 a share
giving it a market capitalization of more than NZ$250 million.  
As of August 2, 2006, its market cap was less than NZ$13 million
-- a fall of more than 90%, the NBR notes.

        Workers Fear Job Loss on Godfrey Hirst Takeover

With Feltex being the second-largest employer in Dannevirke, New
Zealand, its workers are worried about job security, Hawke's Bay
Today relates.

HBToday cites National Distribution Union's national textile
secretary Judy Attenberger as saying that they would not know
much more about the future of the Dannevirke plant until the
union meets with Feltex bosses on August 7, 2006.

HBToday says that long-term job security at the Dannevirke plant
could hinge on contract negotiations with a new owner in about
12 months, when the current collective employment contract would
expire.

Feltex spokesman John Walsh discloses that all 820 Feltex jobs
and the terms and conditions of employment would be transferred
to Godfrey Hirst if the proposed sale went ahead in October.
However, Mr. Walsh notes that in the end, Godfrey Hirst would
determine the long-term future of jobs.

Feltex is trying to keep an "open dialogue" with the union and
its management would visit plants over the next week, HBToday
notes.

Meanwhile, a leading carpet industry executive, speaking on
condition of anonymity, says Godfrey Hirst would look to close
or mothball at least one New Zealand mill, stuff.co.nz relates.

The Dominion Post notes that Feltex has plants in Kakariki near
Marton, Lower Hutt, Feilding, Dannevirke, Foxton and
Christchurch, with about 890 New Zealand staff.  Godfrey Hirst
has 550 Kiwi staff at factories in Manukau City, Napier,
Christchurch, and Invercargill.

                          About Feltex

Established over 50 years ago, Feltex Carpets Limited --
http://www.feltex.com/-- has built a reputation for being one  
of the world's leading manufacturers of superior-quality carpet.  
The Feltex operation includes a wool scouring plant, six
spinning mills, three tufted carpet mills, a woven carpet mill
and offices in New Zealand, Australia and the United States.

The Company also leads the way in exports, with customers
throughout South East Asia, Japan, the United States, the Middle
East and other key world markets.  Feltex listed on the local
stock exchange in mid-2004 in a NZ$254-million initial public
offering -- the year's largest in New Zealand.  However, the
Company fell short of its prospectus earnings projections,
reporting a net profit of NZ$11.8 million in the fiscal year to
June 30, 2005, about half the forecast NZ$23.9 million.  The
Company has struggled with losses and earnings downgrades,
flogging sales, and a dipping share price.  The Company closed
plants and in October 2005, axed 235 jobs, mostly in Australia,
and by 2006, abandoned merger talks with Australian competitor
Godfrey Hirst after it suggested that the apparent "white
knight" investor was more interested in a reverse takeover.
Godfrey Hirst later sold out its nearly 9% stake in the Company.

In February 2006, Feltex reported a first-half after tax loss of
NZ$11.83 million, down almost 200% compared to the net loss in
the previous year.


FELTEX CARPETS: Issue Raised Over G. Hirst's Rejected 2005 Offer
----------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
August 2, 2006, that Feltex Carpets Limited received a takeover
offer from privately owned Australian rival Godfrey Hirst for up
to 12 cents per share.

Godfrey Hirst's current bid comes about nine months after its
earlier takeover offer was rejected by Feltex.

The Dominion Post relates that some of Feltex Carpet's larger
shareholders are seeking legal opinions, and question whether
Feltex directors acted in the interests of shareholders when
spurning Godfrey Hirst's previous reverse takeover proposal in
October 2005.

The shareholders are frustrated that there has been no action
from the Securities Commission over Feltex's prospectus
disclosure, and are considering establishing a "fighting fund,"
The Dominion says.

The TCR-AP reported on October 19, 2005, that Feltex advised
Godfrey Hirst that the Board could not support its proposal to
merge their operations.  The TCR-AP noted that the Board of
Feltex considered advice received from Cameron and Co. in
reaching the decision.

The Dominion notes that Feltex's prospectus for the June 2004
float projected 2005 profit of NZ$23.9 million and delivered
NZ$11.8 million.  The Company then lost NZ$11.8 million in the
first half of 2006.

Stuff.co.nz cites ASB Securities managing director Tim Preston
as saying that Feltex shareholders, including those who bought
shares for NZ$1.70 each in the float, faced a Hobson's choice,
either vote for:

   (a) Godfrey Hirst's takeover offer of a maximum of 12 cents a
       share; or

   (b) see the company placed in receivership.

Receivership would see additional costs and an even weaker
bargaining position for Feltex, Stuff.co notes.

"I think this (Godfrey Hirst's offer) is the best you're going
to get, unfortunately," The Dominion cites Mr. Preston, as
saying.

John Irving, who spent NZ$10,000 on Feltex shares shortly after
the initial public offering on co-lead broker Forsyth Barr's
recommendation, says that he did not see a choice other than
accepting Godfrey Hirst's offer, Stuff.co relates.

Shareholders Association chairman Bruce Sheppard says investors
would receive less than 12 cents a share, The Dominion notes.

Unless Feltex could gain ANZ support, Godfrey Hirst would
succeed in gaining control either through its takeover offer or
by buying assets from a receiver, The Dominion cites Mr.
Sheppard saying.  Bank support might be won through the
departures of chief executive Peter Thomas and chairman Tim
Saunders and the appointment of Ferrier Hodgson partner Michael
Stiassny as chairman, Mr. Sheppard suggests.

According to Mr. Sheppard and Mr. Preston, Feltex's directors
need to explain why they rejected Godfrey Hirst's 2005 takeover
offer, Stuff.co.nz notes.

                          About Feltex

Established over 50 years ago, Feltex Carpets Limited --
http://www.feltex.com/-- has built a reputation for being one  
of the world's leading manufacturers of superior-quality carpet.  
The Feltex operation includes a wool scouring plant, six
spinning mills, three tufted carpet mills, a woven carpet mill
and offices in New Zealand, Australia and the United States.

The Company also leads the way in exports, with customers
throughout South East Asia, Japan, the United States, the Middle
East and other key world markets.  Feltex listed on the local
stock exchange in mid-2004 in a NZ$254-million initial public
offering -- the year's largest in New Zealand.  However, the
Company fell short of its prospectus earnings projections,
reporting a net profit of NZ$11.8 million in the fiscal year to
June 30, 2005, about half the forecast NZ$23.9 million.  The
Company has struggled with losses and earnings downgrades,
flogging sales, and a dipping share price.  The Company closed
plants and in October 2005, axed 235 jobs, mostly in Australia,
and by 2006, abandoned merger talks with Australian competitor
Godfrey Hirst after it suggested that the apparent "white
knight" investor was more interested in a reverse takeover.
Godfrey Hirst later sold out its nearly 9% stake in the Company.

In February 2006, Feltex reported a first-half after tax loss of
NZ$11.83 million, down almost 200% compared to the net loss in
the previous year.


HUON CORPORATION: J. Schulz Surrenders Assets to Administrator
--------------------------------------------------------------
On August 2, 2006, Huon Corp.'s managing director John Schulz
agreed to return AU$13 million of land assets allegedly stripped
from the business, The Age reports.

Joint administrator Tony Sims of SimsPartners relates that a
deal was reached with Mr. Schulz, who agreed to return the lands
on which the three former Nylex factories were located -- Empire
Rubber in Bendigo, Mills Elastomers in Dandenong, and FRN in
Frankston.

According to The Bendigo Advertiser, the administrators can now
fast-track the sale of the Bendigo car parts business.

The paper relates that the deal was reached after three days of
court-ordered mediation.

The Rural Press Ltd. says that if Mr. Schulz backed-out, it
would have forced the administrator to resume its costly Supreme
Court action against Mr. Schulz.

The Troubled Company Reporter - Asia Pacific reported on
July 18, 2006, that Mr. Schulz allegedly diverted Empire
Rubber's property holdings into personally linked interests
shortly after Huon acquired the factory from Nylex Limited in
December 2005.  Subsequently, Huon's administrators took Supreme
Court action against Mr. Schulz and the other directors, seeking
to recover more than AU$30 million in entitlements owed to
workers at the Company's three factories.

According to Mr. Sims, the Nylex properties were bought in
December 2005 for AU$13 million, from which a secure creditor
was owed about AU$5 million, The Age relates.  That left "a
substantial amount of equity" to help the sale process and to go
towards workers' entitlements, Mr. Sims notes.

Mr. Sims further notes that while he could not guarantee all
entitlements of redundant workers, he says that, "[i]f a lot of
people manage to retain their jobs through the sale process,
then there's clearly going to be a very substantial dividend
paid to those who are going to be made redundant."

All parties in the mediation have signed a strict
confidentiality agreement, The Bendigo Advertiser says.

However, administrator Tony Sims states that:

   "The agreement will result in three commercial properties
   situated at Bendigo, Frankston, and Dandenong being
   transferred back to Huon, which will enable the administrator
   to realize the equity in these properties for the benefit of
   Huon."

National Union of Workers state secretary Antony Thow says that
"the next piece in the jigsaw puzzle will be to sell the
business as a going concern," Rural Press Ltd., relates.

With several parties interested in buying Huon's car parts
businesses, including Empire Rubber, the administrator is now
confident that he can execute a swift sale, Rural Press says.

Selling the businesses with their property assets will greatly
increase the proceeds of any sale, ensuring the group's debts to
be paid off, Rural Press notes.

                          *     *     *

Based in Victoria, Australia, Huon Corp. manufactures car parts.  
It has factories that supply parts including air intake hoses,
steering column covers, rubber seals, and fuel filler shields to
major car companies like Toyota, Holden, Ford, and PBR.

Huon Corp. went into voluntary administration after concerns
about its financial situation, saying the failure to perform
occurred after it purchased Empire Rubber, and Melbourne-based
firms FRN and Mills Elastomers from Nylex Ltd., in December
2005.  Tony Sims and Ken Sellars of SimsPartners were appointed
as administrators.


IDRONE PTY: Placed Under Members' Voluntary Liquidation
-------------------------------------------------------
At a general meeting on July 15, 2006, the members of Idrone Pty
Limited resolved to close the Company's business operations and
distribute the proceeds of its assets disposal.

Subsequently, Peter Debus was appointed as liquidator.

The Liquidator can be reached at:

         Peter Debus
         Bridgeway Accountants and Advisers
         105 Dubbo Street
         Warren, New South Wales 2824
         Australia
         Telephone:(02) 6847 4139


INTEC COMMERCIAL: Members and Creditors to Convene on August 31
---------------------------------------------------------------
The members and creditors of Intec Commercial Upholstery Pty Ltd
will convene on August 31, 2006, at 4:00 p.m.

During the meeting, members and creditors will be asked to:

   -- receive final receipts and payments from the Liquidator;

   -- receive formal notice of the end of the Company's
      administration; and

   -- discuss other business that may be considered with the   
      foregoing.

The liquidator can be reached at:

         Michael Griffin
         Worrells Solvency & Forensic Accountants
         8th Floor, 102 Adelaide Street
         Brisbane, Queensland 4000
         Australia
         Telephone:(07) 3225 4377
         Facsimile:(07) 3225 4311
         Web site: http://www.worrells.net.au/


JK GROUP: To Declare Dividend on September 21
---------------------------------------------
JK Group Pty Ltd will declare its first and final dividend on
September 21, 2006.

Creditors are required to file their proofs of claim by
August 28, 2006, for them to share in the dividend distribution.

The liquidator can be reached at:

         Mark Pearce
         Pearce & Heers
         Insolvency Accountants
         Australia
         Telephone:(07) 3221 0055


LORNDELL HOLDINGS: Liquidator Holbrook to Present Wind-Up Report
----------------------------------------------------------------
A final meeting of the members and creditors of Lorndell
Holdings Pty Limited will be held on August 31, 2006, at
9:30 a.m.

During the meeting, Liquidator Kim D. Holbrook will report on
the activities that transpired during the wind-up period.

The Liquidator can be reached at:

         Kim D. Holbrook
         Holbrook & Associates
         Chartered Accountants
         Level 2, 19 Pier Street
         (GPO Box M925)
         Perth, Western Australia 6001
         Australia
  

LOXTON SERVICES: Placed Under Members' Voluntary Wind-Up
--------------------------------------------------------
At an extraordinary general on July 11, 2006, members of Loxton
Services Pty Limited agreed that the Company must voluntarily
commence a wind-up of its operations.

Accordingly, R. W. Whitton was appointed as liquidator.

The Liquidator can be reached at:

         R. W. Whitton
         Lawler Partners
         Chartered Accountants
         Level 7, 1 Margaret Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 8346 6000


MI CONSULTING: Names Kenneth Whittingham as Liquidator
------------------------------------------------------
The members of MI Consulting Group Pty Limited convened on
July 11, 2006, and agreed to voluntarily wind up the Company's
operations.

In this regard, Kenneth Michael Whittingham was appointed as
liquidator.

The Liquidator can be reached at:

         Michael Whittingham
         BDO Chartered Accountants & Advisors
         Level 19, 2 Market Street
         Sydney, New South Wales 2000
         Australia


MALLEE FINANCIAL: Winds Up After Going Into Administration
----------------------------------------------------------
The Mallee Financial Information Service went into voluntary
administration after accumulating a debt of more than
AU$120,000, the Murray Valley Standard reports.

According to the report, the major cause of the insolvency is
alleged to be an Ausgrow Training debt of more than AU$50,000 to
the State Government.

Now, Mallee Financial is being wound up, ABC News Online relates
and cites administrator Robert Parker as saying that the
business has stopped operating.  It has been funded by the
federal, state and local governments, local businesses and
through fundraising projects, ABC News says.

Murray Valley cites an anonymous source telling The Standard
that the State Government refused to clear the debt, despite
Mallee Financial supposedly unaware of the money owing when it
merged with the agricultural training organization in 2004.

Mallee Financial provides rural financial counseling, community
programs, and access to Federal Government agencies.  It was
taken over in administration by Freer Parker and Associates on
July 4, 2006, Murray Valley relates.

The paper notes that some of the Company's programs will
continue, but the number of redundancies is still unknown.

Mr. Parker says that the debt was likely to be between
AU$120,000 and AU$150,000, but could rise to AU$200,000 if
employee entitlements were paid.

Mr. Parker tells ABC News that "[t]here is a priority
distribution of funds and there are various employees who will
share initially in that distribution process and further monies
will be distributed to other creditors on a pro rata basis
depending on how much money is left."

Mr. Parker asserts that an investigative report into the cause
of the insolvency would determine the organization's future,
noting that he does not believe Mallee Financial will "rise from
the dead."  Creditors are unlikely to receive all their money
back, Mr. Parker notes.

However, Mr. Parker refused to comment on the Ausgrow Training
debt, Murray Valley relates.

Mallee Financial office was located in Karoonda, with services
also regularly offered in Coonalpyn, Tintinara, Lameroo and
Pinnaroo, Murray Valley notes.

The Mallee Financial Information Service provides rural
financial counseling, education, community housing, youth
services and other information to residents in the Mallee area
of South Australia.

The Administrator can be reached at:

         Robert Parker
         Freer Parker Accountants
         40 Sturt Street
         Adelaide, SA 5000
         Australia
         Tel No.: (08) 8211 7177


N ENTERPRISES: Court to Hear Liquidation Application on Aug. 7
--------------------------------------------------------------
The High Court of Rotorua will hear a liquidation petition
against N Enterprises Limited on August 7, 2006, 10:45 a.m.

Damodar Jewellery Ltd -- trading as Christies Jewellery
Papatoetoe -- filed the petition with the Court on June 19,
2006.

The solicitor for the plaintiff can be reached at:

         Malcolm Whitlock
         Debt Recovery Group NZ Limited
         149 Ti Rakau Drive
         Pakuranga, Auckland
         New Zealand


NATIONAL SNOWBOARD: Inability to Pay Debt Prompts Wind-Up
---------------------------------------------------------
At an extraordinary general meeting of National Snowboard
Promotions Pty Ltd held on July 7, 2006, members decided to
place the Company under creditors' voluntary wind-up due to its
inability to pay debts.

In this regard, Chris Chamberlain was appointed as liquidator.

The Liquidator can be reached at:

         Chris Chamberlain
         Suite 103, 1st Floor
         Wollundry Chambers
         Johnston Street
         Wagga Wagga, New South Wales 2650
         Australia


NEOLIDO HOLDINGS: Court Dismisses Directors' Wind Up Appeal
-----------------------------------------------------------
The Court of Appeal, Supreme Court of Queensland, dismisses the
appeals of former directors Richard Spencer and Silvana Perovich
in relation to the winding up of Brisbane-based property
developers, Neolido Holdings Pty Ltd and Neo Lido Pty Ltd.

Neolido Holdings and Neo Lido were placed into liquidation after
the Australian Securities and Investments Commission commenced
proceedings.

The orders to wind up the Companies on the grounds of insolvency
were first made on November 25, 2005, when Ray Richards, of
SimsPartners, was appointed liquidator.

Mr. Spencer and Ms. Perovich jointly lodged a number of appeals
after ASIC's winding up application.  They applied before the
trial judge for special leave to be heard on behalf of the
Companies.  The judge refused leave but allowed the former
directors to give submissions in their own right.

Mr. Spencer and Ms. Perovich refused the opportunity and
appealed the point on the basis that the winding up order denied
natural justice as a result of the trial judge's order and a
refusal for an adjournment.  The Court of Appeal dismissed the
application, rejecting the contention that the directors did not
understand it was open to them to make any argument they wished
in opposition to the winding up of the companies.

Mr. Spencer and Ms. Perovich also made an application to appeal
against the decision of Justice McPherson, who was exercising
the powers of the Court of Appeal even though he was sitting
alone. Justices Williams, Keane, and Holmes found there was no
provision for the appeal.  

The ASIC also appealed against the orders regarding a condition
in the trial judge's orders that required ASIC to pay the costs
of the liquidator in the winding up.  On July 28, 2006, the
Court of Appeal allowed the appeals of the ASIC.

In the judgment, it was held that the concerns of the trial
judge about further expenses imposed on the Companies in
relation to the appointment of a liquidator were erroneous.  Mr.
Spencer and Ms. Perovich were ordered to pay ASIC's costs in
relation to their appeals.  Neolido Holdings and Neo Lido were
ordered to pay the costs of ASIC's appeals and were also granted
an indemnity certificate under the Appeal Costs Fund Act 1973
(Qld).

Pursuant to the Act, Neolido Holdings and Neo Lido can recover
costs payable to ASIC from the Appeal Costs Fund.

                         *     *     *

Neo Lido Holdings and Neo Lido -- http://www.neolido.com.au/--  
are involved in the development of residential and commercial
property, mainly in Queensland.

According to The Australian, the group began developing inner-
city houses but had more recently branched into coastal
subdivisions, commercial developments, and affordable housing.

The Australian Securities and Investments Commission commenced
wind-up proceedings against Neo Lido Holdings and Neo Lido after
it identified solvency concerns in April 2005.  Because of those
concerns, ASIC sought orders for the appointment of a
provisional liquidator, as well as final orders to wind up the
two companies.


NEWTON CONSTRUCTION: Appoints Brown and Hart as Liquidators
-----------------------------------------------------------
On July 10, 20063, members of Newton Construction Limited
appointed Kenneth Peter Brown and Sheree Ann Hart as joint and
several liquidators for the Company.

The Joint Liquidators can be reached at:

         K. P. Brown
         c/o Rodewald Hart Brown Limited
         38C Cavendish Drive, Manukau
         Auckland, New Zealand
         Telephone: (09) 262 3634
         Web site: www.rhb.co.nz/


NUMBER 1 CYCLES: Wind-Up Petition Hearing Slated for August 31
--------------------------------------------------------------
A wind-up petition filed against Number 1 Cycles Ltd will be
heard before the High Court of Auckland on August 31, 2006, at
10:00 a.m.

Robert Sidney Bryce Williams filed the petition with the Court
on June 20, 2006.

The plaintiff's solicitor can be reached at:

         Natalia Baronian
         Price Baker Berridge
         First Floor, 354 Great North Road
         (P.O. Box 21-463) Henderson
         Auckland, New Zealand
         Telephone: (09) 836 1079
         Facsimile: (09) 837 2667


NYALBRIDGE PTY: Undergoes Voluntary Wind-Up
-------------------------------------------
At a general meeting on July 13, 2006, the members of
Nyalbridge Pty Ltd resolved to voluntarily wind up the Company's
operations.

In this regard, Con Kokkinos was appointed as liquidator.

The Liquidator can be reached at:

         Con Kokkinos
         O'Keeffe Walton Richwol
         Chartered Accountants
         Suite 3, 431 Burke Road
         Glen Iris 3146, Australia


ONE RED DOG: Faces Wind-Up Proceedings
--------------------------------------
Crean Foodservice Ltd on June 26, 2006, filed before the High
Court of Auckland a wind-up petition against One Red Dog
Ponsonby Ltd.

The Court will hear the petition on September 21, 2006, at 10:45
a.m.

The plaintiff's counsel can be reached at:

         D.M. Lester
         Twelfth Floor, Clarendon Tower
         78 Worcester Street (P.O. Box 2929)
         Christchurch, New Zealand
         Telephone: (03) 366 1465


P.M.B. HOLDINGS: Court to Hear CIR's Liquidation Bid on Sept. 7
---------------------------------------------------------------
The Commissioner of Inland Revenue on June 19, 2006, filed
before the High Court of Auckland an application to liquidate
P.M.B. Holdings Ltd.

The Court is set to hear the petition on September 7, 2006, at
10:45 a.m.

The plaintiff's solicitor can be reached at:

         David Weaver
         Technical and Legal Support Group
         Auckland North Service Centre
         Inland Revenue Department
         5-7 Byron Avenue, Takapuna
         Auckland, New Zealand
         Postal Address: P.O. Box 33-150
         Telephone: (09) 984 1595
         Facsimile: (09) 984 3116


PETER HOLM: Members to Hear Liquidator's Report
-----------------------------------------------
A final meeting of the members of Peter Holm Investments Pty
Limited will be held on August 29, 2006, at 10:00 a.m.

During the meeting, Liquidator P. A. Hennessy will report on the
Company's wind-up and property disposal exercises.

The Liquidator can be reached at:

         P. A. Hennessy
         c/o McGrathNicol+Partners
         Level 32, Central Plaza One
         345 Queen Street
         Brisbane, Queensland 4000
         Australia
         Telephone:(07) 3333 9800
         Web site: http://www.mcgrathnicol.com/


PORT BREAKWALL: Court Issues Wind-Up Order
------------------------------------------
On July 14, 2006, the Federal Court of Australia issued an order
to wind up The Port Breakwall Group Pty Ltd.

In this regard, Antony De Vries was appointed as liquidator.

The Liquidator can be reached at:

         Antony De Vries
         de Vries Tayeh
         Level 3, 95 Macquarie Street
         Parramatta, New South Wales 2126
         Australia


PROFESSIONAL KITCHENS: Creditors' Must Prove Debts by Aug. 21
-------------------------------------------------------------
Joint Liquidators Kevin David Pitfield and Gareth Russel Hoole
require the creditors of The Professional Kitchens Ltd to submit
their proofs of claim by August 21, 2006.

Failure to comply with the requirement will exclude a creditor
from sharing in any distribution the Company will make.

According to the Troubled Company Reporter - Asia Pacific, the
High Court of Auckland heard a liquidation petition against the
Company on July 20, 2006.

The Joint Liquidators can be reached at:

         K.D. Pitfield
         c/o Leon Tabb, Staples Rodway Limited
         Chartered Accountants
         P.O. Box 3899, Auckland
         New Zealand
         Telephone: (09) 309 0463


REVUE DESIGN: Members Resolve to Wind Up Firm
---------------------------------------------
After a general meeting on July 12, 2006, the members of  
Revue Design Australia Pty Ltd decided to wind up the Company's
operations.

In this regard, Robert Eugene Murphy was appointed as
liquidator.

The Liquidator can be reached at:

         Robert Eugene Murphy
         R. E. Murphy & Co., Chartered Accountants
         Level 9, 46 Edward Street
         Brisbane, Queensland 4000
         Australia


ROSBAN HOTELS: Appoints Joint Liquidators
-----------------------------------------
The members of Rosban Hotels Pty Limited held a meeting on
July 11, 2006, and agreed to shut down the Company's business
operations.

Creditors appointed Laurence Andrew Fitzgerald and Michael James
Humphris as joint and several liquidators at a separate meeting
held that same day.

The Joint and Several Liquidators can be reached at:

         Laurence Andrew Fitzgerald
         Michael James Humphris
         Horwath BRI (Victoria) Pty Ltd
         Chartered Accountants
         Level 30, The Rialto
         525 Collins Street
         Melbourne, Victoria 3000
         Australia


ROTHSCHILD PROPERTIES: Names Managh as Official Liquidator
----------------------------------------------------------
Shareholders of Rothschild Properties Ltd on July 21, 2006,
named John Francis Managh as liquidator for the Company.

Mr. Managh requires the creditors of the Company to submit their
proofs of claim by August 24, 2006, for them to share in any
distribution the Company will make.

The Liquidator can be reached at:

        John Managh
        Gladstone Chambers
        50 Tennyson Street (P.O. Box 1022)
        Napier, New Zealand
        Telephone/Facsimile: (06) 835 6280
        e-mail: jmanagh@xtra.co.nz


RYDGE PUBLICATIONS: Members Pass Resolution to Wind Up Business
---------------------------------------------------------------
On July 4, 2006, the members of Rydge Publications Pty Ltd
passed a special resolution to voluntarily wind up the Company's
operations.

In this regard, David Clement Pratt and Timothy James Cuming
were appointed as liquidators.

The Liquidators can be reached at:

         David Clement Pratt
         Timothy James Cuming
         Level 15, 201 Sussex Street
         Sydney, New South Wales 1171
         Australia


SAMSON PTY: Federal Court Appoints Receivers
--------------------------------------------
The Federal Court of Australia appointed Mark Korda, Oren Zohar
and Brian McMaster as receivers of Samson Food Distributors Pty
Ltd on July 7, 2006.

The Receiver can be reached at:

         Brian Mcmaster
         KordaMentha
         Level 11, 37 St Georges Terrace
         Perth, Western Australia 6000
         Australia


SOLLAISE PTY: Supreme Court Issues Wind-Up Order
------------------------------------------------
On July 17, 2006, the Supreme Court of New South Wales, ordered
the wind-up of Sollaise Pty Limited.

The Court also directed the appointment of R. J. Porter as
liquidator.

The Liquidator can be reached at:

         R. J. Porter
         Moore Stephens
         Chartered Accountants
         Level 6, 460 Church Street
         Parramatta, New South Wales 2150
         Australia


SOUTH AUSTRALIAN REAL: Members Opt for Wind-Up
----------------------------------------------
At a general meeting on July 4, 2006, the members of
South Australian Real Estate Press Pty Limited decided to shut
down the Company's operations.

Subsequently, David Clement Pratt and Timothy James Cuming were
appointed as liquidators.

The Liquidators can be reached at:

         David Clement Pratt
         Timothy James Cuming
         Level 15, 201 Sussex Street
         Sydney, New South Wales 1171
         Australia


STRUCTURAL CONCRETE: Members Agree to Liquidate Business
--------------------------------------------------------
The members of Structural Concrete Pty Ltd convened on
July 12, 2006, and decided to voluntarily liquidate the
Company's business.

Robert M. H. Cole was consequently appointed as liquidator at
the creditors' meeting held that same day.

The Liquidator can be reached at:

         Robert M. H. Cole
         Cole Downey & Co
         Chartered Accountants
         Unit 2, 6 Moorabool Street
         Geelong, Victoria 3220
         Australia


STYLECRAFT FURNITURE: Appoints Ozem Kassem as Liquidator
--------------------------------------------------------
At separate meetings of the members and creditors of
Stylecraft Furniture (Aust) Pty Limited on July 10, 2006, it was
resolved that the Company should wind up its operations.

Accordingly, Ozem Kassem was appointed as liquidator.

The Liquidator can be reached at:

         Ozem Kassem  
         Cor Cordis Chartered Accountants
         Level 8 Carrington House
         50 Carrington Street
         Sydney, New South Wales
         Australia


TDH RETAIL: Inability to Pay Debt Prompts Wind-Up
-------------------------------------------------
At a general meeting held on July 17, 2006, the members and
creditors of TDH Retail Pty Ltd resolved to wind up the
company's operations due to its inability to pay outstanding
debts.

The liquidator can be reached at:
        
         G. G. Woodgate
         c/o Woodgate & Co
         Australia
         Telephone: 9233 6088


W DAVIES: Enters Voluntary Liquidation
--------------------------------------
At a general meeting held on July 17, 2006, the members of W
Davies Pty Limited resolved to voluntarily wind up the Company's
operations.

Accordingly, John Charles York was appointed as liquidator.

The Liquidator can be reached at

         John Charles York
         Dixon York & Napper
         Suite 1, Level 1,
         3-5 Railway Street
         Baulkham Hills, New South Wales 2153
         Australia


WESTERN BAY: In Receivership, with NZ$53 Mln Loan Portfolio
-----------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on July 3,
2006, that Standard & Poor's Ratings Services downgraded its
insurer financial strength rating on New Zealand general insurer
Linsa Insurance Ltd. -- previously named Premium Insurance Ltd.
-- to 'CC' from 'B-'.   At the same time, Linsa was placed on
CreditWatch with negative implications.

The report stated that the rating actions follow heightened
financial difficulties facing sister company Western Bay Finance
Ltd.  S&P noted that Western Bay Finance is not rated.

A report from the New Zealand Press Association reveals that
Western Bay has been put into receivership, leaving more than
3,000 investors in limbo.

On August 3, 2006, receivers Ferrier Hodgson were called to
assess the quality of Western Bay's loan book, which has about
10,000 loans totaling NZ$53 million.

The National Business Review says that according to Ferrier
Hodgson, Western Bay's recovery from receivership will depend on
what emerges on the quality of its book.

According to the NBR, whether loans were sold or collected would
depend on the quality of the book and cites receiver Grant
Graham saying "[t]hat's what may ultimately drive the recovery."

Mr. Graham says that "a good number" of the 30-odd staff would
continue working and that the picture for debenture holders
would be clearer next week, ShareChat News relates.

The NBR relates that Mr. Graham has reassured the remaining 30
staff that "there will be an ongoing need for staff" as the
receivership proceeds.

Finance Now, a subsidiary of Southland Building Society, has
been undertaking due diligence in Western Bay's loan book
ShareChat relates.  Mr. Graham says they would be evaluating
whether a deal could still be worked out, ShareChat notes.

The NZPA cites a source close to the situation asserting that
debenture holders could do better out of this receivership than
other recent finance company collapses.

Western Bay stopped granting new loans in June after the supply
of funding from retail investors dried up, the NZPA recounts.

The NZPA relates that the firm's trustee, Covenant Trustee
Company, sounded the alarm over its debt levels on June 20,
2006, when auditors told the finance company it needed to lift
equity levels after its provision for doubtful debts rose from
NZ$2.67 million to NZ$12.4 million.

This placed the finance company in breach of its liabilities-to-
assets ratio, which prohibits the company from having debts over
90% of its asset base, the NZPA explains.

Covenant's managing director Graham Miller notes that Finance
Now had originally considered taking NZ$40 million of the
Company's assets but then altered the deal, ShareChat says.

"The directors were unable to determine if this offer could
reasonably be accepted and in the light of the existing breach.
. .have requested the trustee to appoint a receiver," Mr. Miller
explains.

Ferrier Hodgson will now be asked to assess Finance Now's
amended offer, made after due diligence, The NBR relates.

According to ShareChat, Western Bay chairman Jim Smylie has
reportedly blamed the Company's position on negative publicity
from the failures of Christchurch's Provincial Finance and
Auckland's National Finance 2000, which meant that Western had
no money to lend.


YALLOURN FRIENDLY: Appoints Peter James Hedge as Liquidator
-----------------------------------------------------------
The members of Yallourn Friendly Society Ltd met on July
14,2006, and decided to voluntarily wind up the Company's
operations.

In this regard, Peter James Hedge was appointed as liquidator.

The Liquidator can be reached at:

         Peter Hedge
         Level 27, 363 George Street
         Sydney, New South Wales 2000
         Australia


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

A.O. SMITH CORP: Earns US$25.1 Million in Second Quarter of 2006
----------------------------------------------------------------
A. O. Smith Corporation reported US$25.1 million net earnings on
record sales of US$594.5 million for the second quarter of 2006.  
Net earnings for the second quarter of 2005 were US$6.5 million.

The Company's revenues for the second quarter were $594.5
million including sales of US$117.8 million from American Water
Heater Company and GSW.  Revenues for the same period in 2005
were US$437.7 million.

For the first six months of 2006, A. O. Smith reported net
earnings of US$40.6 million on sales of US$1.1 billion.  Net
earnings for the first six months of 2005 were US$20.8 million.

"Our businesses were able to generate strong results in the
second quarter, achieving record sales in both businesses and
significantly improved operating profits in spite of large cost
increases in raw materials and energy," Chairman and Chief
Executive Officer Paul W. Jones commented.

Headquartered in Milwaukee, Wisconsin, A. O. Smith Corporation,
manufactures and markets residential and commercial water
heating equipment.  The Company also manufactures electric
motors for residential, commercial, and industrial applications.  
A. O. Smith employs 19,500 people at facilities in the United
States, Mexico, China, Canada, and Europe.

                          *     *     *

On July 22, 1985, Moody's Investors Service assigned A. O. Smith
Corporation's preferred stock rating at Ba1.


AXIMAGE INTERNATIONAL: Members' Final Meeting Slated for Aug. 28
----------------------------------------------------------------
Members of Aximage International Ltd will convene for their
final meeting on August 28, 2006, 10:00 a.m. at 32nd Floor, One
Pacific Place, 88 Queensway, Hong Kong.

At the meeting, Joint Liquidators Darach E. Haughey and Lai Kar
Yan Derek will present their report on the Company's wind-up
property disposal activities.


BANK OF COMMUNICATIONS: Overseas Investment Plan Gets Nod
---------------------------------------------------------
Bank of Communications received central government approval to
invest a total of US$1.5 billion of their clients' money
overseas under the mainland's qualified domestic institutional
investor, or QDII, scheme, The Standard reports.

"With the quota, we will launch the first investment product
soon," a Bank of Communications spokesperson told China Daily,
adding that the bank is well prepared for the service.

According to The Standard, the Chinese government had launched
the QDII scheme in April in order to ease the upward pressure on
the yuan.  The scheme would relax the controls of capital
outflows by allowing institutions and citizens to invest
overseas through the QDII program.

The China Daily reports that quotas totaling nearly US$10
billion are expected to be approved for the QDII scheme by the
end of the year.

The China Banking Regulatory Commission approved the first batch
of six banks to start the business over a month ago, China Daily
adds.

                          *     *     *

Founded in 1908, Bank of Communications is one of four oldest
banks in China and one of the early note-issuing banks of China.  
BOCOM was also China's first state-owned shareholding commercial
bank.  With a 20% stake owned by HSBC, BOCOM was listed in Hong
Kong in June 2005, becoming the first major commercial bank from
the Chinese mainland to be listed overseas.

Earlier, the Bank faced a fraud case involving CNY220 million at
its Jinzhou branch in Liaoning.  According to the National Audit
Office, several staff members at the branch had forged documents
to deceive the lender's Shanghai headquarter about the
cancellation of loans made out to 175 companies.


CHINA CONSTRUCTION: SAFE Approves US$2-Bln Offshore Investments
---------------------------------------------------------------
The State Administration of Foreign Exchange approved China
Construction Bank's overseas investment quota of US$2 billion,
the China Daily reports.

According to China Daily, the investment would be under the
qualified domestic institutional investor, or QDII, scheme.  
Based on the QDII scheme, banks approved by SAFE are allowed to
convert their clients' renminbi funds into foreign currency and
invest in overseas capital markets.

The China Daily relates that amid expectations of an
appreciation of the renminbi, huge amounts of foreign exchange
rushed into China in recent years, putting increased upward
pressure on the Chinese currency.

Thus, the capital outflows resulting from the QDII scheme will
help alleviate the pressure on the renminbi and will slow the
pace of the expansion of the country's foreign exchange
reserves, analysts told China Daily.

                          *     *     *

The China Construction Bank -- http://www.ccb.cn/-- is one of  
the "big four" banks in the People's Republic of China.  It was
founded on October 1, 1954 under the name of "People's
Construction Bank of China" and later changed to "China
Construction Bank" on March 26, 1996.

On November 24, 2005, The Troubled Company Reporter - Asia
Pacific reported that Moody's Investors Service has upgraded
CCB's Bank Financial Strength Rating to D- from E+.

Recently, The Troubled Company Reporter - Asia Pacific reported
that Zhang Jianguo, former head of China's Bank of
Communication, was named president and vice chairman of China
Construction Bank.


ELRA (HONG KONG): Liquidator to Present Wind-Up Report
------------------------------------------------------
Members of Elra (Hong Kong) Ltd will convene on August 31, 2006,
at 10:00 a.m. to hear Liquidator Heing Poi Cher's accounts of
the Company's wind-up and property disposal exercises.

The Liquidator can be reached at:

         Heng Poi Cher
         Liquidator
         4404 China Resources Bldg
         26 Harbour Road Wanchai
         Hong Kong


FAR MANOR: Members to Receive Wind-Up Report on August 28
---------------------------------------------------------
Members of Far Manor Limited will hold a meeting on August 28,
2006, 3:00 p.m. at 26/F., 88 Lockhart Road, Wanchai, Hong Kong.

During the meeting, Liquidator Ng Chi Kin, David will present
his report on the Company's wind-up and property disposal
activities.


JOYFINE LIMITED: Members Final Meeting Slated for September 1
-------------------------------------------------------------
Members of Joyfine Limited will convene for their final meeting
at Room A, 3/F., Centre Mark II, 305-313 Queen's Road Central,
Hong Kong on September 1, 2006, at 10:00 a.m.

At the meeting, Liquidator Chan Man Sau will report on the
Company's wind-up proceedings.


KENFIELD CORPORATION: Creditors Must Prove Debts by August 21
-------------------------------------------------------------
Liquidator Raymond Tang Wai Man requires the creditors of
Kenfield Corporation Ltd to submit their proofs of by August 21,
2006.

Failure to comply with the requirement will exclude a creditor
from sharing in any distribution the Company will make.

The Liquidator can be reached at:

         Raymond Tang Wai Man
         Room 1109-10 C C Wu Bldg
         302-8 Hennessy Road
         Wanchai, Hong Kong


LC EPICURE: Members to Receive Wind-Up Report
---------------------------------------------
On September 12, 2006, members of LC Epicure Ltd will be
receiving a report on the Company's wind-up proceedings from
liquidator Lee Ho Ming.

The presentation will be made at 23/F., Wheelock House, 20
Pedder Street, Central, Hong Kong.


QUERRINGTON LIMITED: Final Members Meeting Set on August 29
-----------------------------------------------------------
A final meeting of the members of Querrington Ltd will be held
at the office of Liquidator Allan Hon Wing Yu on August 29,
2006, at 11:00 a.m.

At the meeting, Mr. Yu will report on the Company's wind-up and
property disposal exercises.

The Liquidator can be reached at:

         Allan Hon Wing Yu
         23rd Floor, Wing Hang Finance Centre
         60 Gloucester Road, Wanchai
         Hong Kong


SK GLOBAL: Joint Liquidators Step Aside
---------------------------------------
Choi Byoung Sun and Yim Chi Po, Brian ceased to act as joint and
several liquidators of SK Global Hong Kong Ltd on July 18, 2006.

The former joint liquidators can be reached at:

         Yim Chi Po, Bryan
         Room 702, Hollywood Plaza
         610 Nathan Road, Kowloon
         Hong Kong


SOUTHERN FORTUNE: Faces Wind-Up Proceedings
-------------------------------------------
The High Court of Hong Kong received a wind-up petition against
Southern Fortune Trading (Hong Kong) Ltd from Wong Fuk Po on
June 28, 2006.

The Court will hear the application on August 23, 2006, at 9:30
a.m.

The solicitor for the petitioner can be reached at:

         Joe Poon
         For Director of Legal Aid
         34/F., Hopewell Centre
         183 Queen's Road East
         Wanchai, Hong Kong


WELRISE HOLDINGS: Creditors' Proofs of Claim Due on August 29
-------------------------------------------------------------
Creditors of Welrise Holdings Ltd are required to submit their
proofs of claim by August 29, 2006, to Liquidator Lee Chi Keung.

Failure to comply with the requirement will exclude a creditor
from sharing in any distribution the Company will make.

The Liquidator can be reached at:

         Lee Chi Keung
         21/F., Fee Tat Commercial Centre
         No 613 Nathan Road, Kowloon
         Hong Kong


* CBRC Punishes Financial Staff Involved in Bank Crimes
-------------------------------------------------------
The China Banking Regulatory Commission disclosed in a statement
that it had since February 2005 punished total of 1,887 bank
employees for bank crimes involving a total of CNY8 billion, the
Xinhua News reports.

In addition, CBRC relates bank crimes dropped by almost a third
to 480 cases in the first half of the year, a decline of 240
cases over the same period last year.  The CBRC told Xinhua News
that this shows scandalous financial crimes is being contained.

However, Xinhua News notes that the statement did not provide
details on the types of crimes that were committed nor the type
of punishment the criminals faced.

The Troubled Company Reporter - Asia Pacific reported on July 4,
2006, that CBRC launched a special program to improve bank
governance in the country. The commission has urged Chinese
banking institutions to establish stricter internal-controls to
prevent financial crimes.

TCR-AP also noted that China has been rocked by a number of
shocking banking scandals in recent years, as the country
strives to reform its bank system.

According to Xinhua News, analysts attribute the frequent
occurrence of these crimes to the old management systems of
state-owned banks, traditional banking culture in China as well
as weak supervision.


=========
I N D I A
=========

HINDUSTAN PETROLEUM: Mulls Entry Into Power Sector
--------------------------------------------------
Hindustan Petroleum Corporation Limited is planning to venture
into the power business despite calls by the Government for oil
marketing firms to stick to their core operations, The Financial
Express reveals.

The state-owned oil firm is keen on offshore and onshore
exploration, production of hydrocarbon and the setting up of
power plants in India, The Express says.

In its "Perspective Plan: Vision 2020" report, Hindustan
Petroleum proposes to change its predominantly retail tilt.  It
wants to increase participation in industrial and government
business, buoyed by the fact that one of its core strengths is
product availability, the report says.

According to The Express, the Company has confirmed that it has
already formulated a "vision plan" but there is still no clear
plan to enter the power sector as of now.

Meanwhile, analysts noted that the implementation of its
perspective plan might not be easy, as the petroleum ministry
has directed upstream and downstream companies to concentrate on
core activities, The Express relates.

If Hindustan Petroleum indeed enters the power sector, it will
set up plants near natural gas and liquefied natural gas
sources.  So, the plants could be near HPCL/JVC refineries or
where natural gas/LNG is available.  Thereafter, the Company may
also weigh the option of diversifying into transmission and
distribution.

                    About Hindustan Petroleum

Mumbai-based Hindustan Petroleum Corporation Ltd
-- http://www.hindustanpetroleum.com/-- was formed in 1974 on  
nationalization of ESSO India operations.  The operations of
Caltex were merged in 1976.  With two refineries at Mumbai and
Vizag, Hindustan Petroleum is currently is the second largest
player in both the Indian oil sector as well as the highly
competitive lubricants market.  However, the Company has lately
been incurring losses due to a government mandate to sell fuel
at subsidized prices.  The Company is counting on a Government
bailout to save it from bankruptcy.


LML LIMITED: Allots 6.99-Lakh Shares Upon FCCB Conversion
---------------------------------------------------------
LML Ltd has allotted 6.99 lakh equity shares to Merrill Lynch
Capital Markets Espana SASV upon conversion of 500 Foreign
Currency Convertible Bonds, the Company revealed in a statement
to the Bombay Stock Exchange.

At a meeting held on August 2, 2006, 6,99,356 shares of INR10
each were allotted upon conversion of FCCBs (Series B) of
US$1,000 each aggregating to US$500,000.

Shares were allotted to Merrill Lynch at a premium of INR21.10
per share upon FCCB conversion.

The Troubled Company Reporter - Asia Pacific reported that on
June 14, 2006, LML allotted 67,15,769 equity shares of INR10
each at a premium of INR28.08 per share to Merrill Lynch  
Capital.  The allotment was made pursuant to the conversion of
5,879 foreign currency convertible bonds of US$1,000 each for a
total of US$5,879,000 into equity shares.

On July 13, 2006, LML Limited allotted 27,97,427 equity shares
of INR10 each to Merrill Lynch Capital Markets Espana S.A.SV. at
a premium of INR21.10 per share.  The allotment is pursuant to
the conversion of 2,000 Foreign Currency Convertible Bonds-
Series B due 2010 of US$1,000 each.

                        About LML Limited

Headquartered in Uttar Pradesh, India, LML Limited manufactures
two wheeler vehicles particularly scooters and spares and
accessories.  The Group's products include geared scooters,
gearless scooters, motorcycles and mopeds.  The Company has been
incurring consecutive losses since 2004.  As on March 31, 2005,
LML had capacity to manufacture 0.45 million scooters and 0.18
million motorcycles per annum.  During the 18 month period ended
March 2005, LML reported turnover of INR5.97 billion and a net
loss of INR956.06 million.  The Company is currently in a
restructuring mode -- for the second time in less than a year --
and is struggling to overcome working capital problems.  Labor
unrest and a lack of working capital have practically stopped
production and dispatches at its sole Kanpur plant in the past
months.

As reported by the Troubled Company Reporter - Asia Pacific on
June 28, 2006, ICRA has downgraded the rating assigned to the
INR1,250-million preference share capital program of LML Limited
to "LC" from "LBB" following prolonged disruption of
manufacturing operations subsequent to lockout at its Kanpur
factory.


UTI BANK: S&P Assigns BB+/B Credit Ratings With Positive Outlook
----------------------------------------------------------------
Standard & Poor's Ratings Services, on August 2, 2006, assigned
its 'BB+/B' counterparty credit ratings to UTI Bank Ltd., a
private sector bank based in India.  The outlook is positive.  
S&P also assigned its 'C' bank fundamental strength rating to
the Bank.

At the same time, S&P assigned its ratings to UTI Bank's
proposed debt issues under its EUR1 billion medium-term note
program.  The agency rated UTI Bank's proposed senior unsecured
notes 'BB+', its lower Tier II subordinated notes 'BB', and its
upper Tier II subordinated notes 'BB-'.  The lower Tier II
subordinated notes will have a minimum tenor of five years, and
the upper Tier II subordinated notes will have a minimum tenor
of 15 years.

"The ratings on UTI Bank take into account its competitive
interest costs, and the significant contribution of fee income,
which stood at 27% of operating revenues in fiscal 2005.  In
addition, the bank's asset quality is comparable with domestic
banks, and it has satisfactory capitalization and adequate
liquidity," said S&P credit analyst Nandini Vijayaraghavan.

Although UTI Bank's interest expenses rose to 4.75% of interest-
bearing liabilities in fiscal 2006 due to higher interest rates,
this ratio still compares favorably with domestic peers.
    
"However, the bank's net interest income margin is lower than
its domestic peers, and the ratings on UTI Bank are linked to
the operating environment and sovereign risk," said
Ms. Vijayaraghavan.

The ratio of the bank's net interest income to average assets,
at 2.47% for the year ended March 31, 2006, is lower than the
average 2.7% at domestic banks rated by
S&P.

Aggressive loan growth since fiscal 2004 has resulted in
deterioration in the bank's gross nonperforming asset ratio to
3.65%, and pressure on its capitalization, with a decline in the
ratio of adjusted common equity to assets to 5.78% at March 31,
2006.

As with other Indian banks, UTI Bank's credit profile is linked
to the sovereign credit rating on India (BB+/Positive/B) because
banks are subject to government policy and regulation, invest a
significant proportion of funds in government securities, and
derive a high proportion of revenue from India.  A BFSR of 'C'
indicates that the bank has adequate fundamental strength.   
However, the bank is more sensitive to uncertainties and adverse
circumstances than higher-rated banks.

The proposed senior unsecured debt issue ranks pari passu with
all other senior debt obligations of UTI Bank. The differential
between the 'BB+' counterparty credit rating, the 'BB' rating on
the lower Tier II notes, and the 'BB-' rating on the upper Tier
II notes reflects the subordinated nature of the notes.

In addition, the 'BB-' rating on the upper Tier II subordinated
notes reflects an interest deferral option on the notes.  Any
missed payments are non-cumulative.  The interest deferral
feature is linked to the compliance of the regulatory capital
adequacy ratio and a liberal profit test, in turn linked to the
'balance in profit & loss account,' which is a component of the
reserves and surplus on a bank's balance sheet.  A 'net loss' is
defined as a negative balance in this account.

If the bank is in compliance with the RCAR but registers a 'net
loss,' the bank will require the regulator's permission before
the bank can make interest payments on the notes.

If the bank is not in compliance with the RCAR and registers a
'net loss,' it will be mandatory for the bank to defer interest
payments.

If the bank is not in compliance with the RCAR but does not have
a 'net loss,' UTI Bank has the option to defer interest
payments.
     
The upper Tier II notes are not included in Standard & Poor's
measure of core capital, which is adjusted common equity.  This
is in line with S&P's treatment of other forms of hybrid
capital, including preference shares, in its analysis of
capital.  S&P will, however, recognize equity capital credit for
the proposed upper Tier II notes in the bank's adjusted total
equity of up to 10% (adequate equity content).

The positive outlook on UTI Bank reflects the bank's improving
profile amid a stronger operating environment. The rating on UTI
Bank could be raised if it continues to moderate funding costs
despite rising interest rates, the significant contribution of
fee income continues to impart stability to earnings, and its
asset quality remains comparable with the industry average.  
Conversely, the rating could be lowered if bank's net interest
income, as a proportion of average assets, declines to levels
that are significantly lower than the domestic average and asset
quality deteriorates due to aggressive loan expansion targets.


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

BANK TABUNGAN: Moody's Revises 'E' BFSR Outlook to Positive
-----------------------------------------------------------
Moody's Investors Service had, on Aug. 1, 2006, revised the
outlook for Bank Tabungan Negara's 'E' bank financial strength
rating to positive from stable.

According to Moody's Vice President & Senior Credit Officer
Beatrice Woo, the revised outlook reflects Bank Tabungan's level
of economic solvency, although it deteriorated in 2005 due to
Bank Indonesia's revised regulations.  She added, "After
adjusting for problem loans on its balance sheet, its economic
solvency is positive under less severe loss assumptions.  The
Bank's profitability ratios have also been relatively modest in
the past two years, despite its policy role of providing
financing for low- to middle-income housing."

                          *     *     *

Bank Tabungan Negara -- http://www.btn.co.id/-- was established  
in 1897 under the name Postspaarbank.  After several name
changes, the Bank assumed its current title in 1963.  In 1974,
Bank Tabungan was appointed as the financing institution for
low- to medium-income housing in an effort to support the
Government's housing development program. Nonetheless, BTN
suffered huge losses from large corporate lending during the
1997 economic crisis.  The Government then recapitalized the
Bank, and still wholly owns it.

BTN is now the smallest state bank, but retains a dominating 31%
share in housing loans as of end-2004.  In 2002, the Government
directed it to focus on commercial housing loans.  Hence, its
subsidized housing loans dropped to 44% of its portfolio at July
2005 from 75% at end-2002.


HM SAMPOERNA: Net Income Rises to IDR947 Trillion
-------------------------------------------------
PT Hanjaya Mandala Sampoerna Tbk's net income for first quarter
of 2006 is IDR947.14 trillion, up 25.80% or IDR194.27 trillion
from the previous corresponding quarter's net income of
IDR752.87 trillion, according to the company's financials.

Net sales improved 35.24% to IDR7.13 quadrillion for the first
quarter of 2006 from IDR5.27 quadrillion the year before.  Cost
of goods sold increased by 41.53% to IDR5.12 quadrillion, giving
the company a 32.57% improvement in operating income.

Total assets as of March 31, 2006, was at IDR12.42 quadrillion
while total equity amounted to IDR5.63 quadrillion.

HM Sampoerna's financial report for the quarter ended March 31,
2006, is available for free at:

   http://bankrupt.com/misc/hm_sampoerna_1q2006.pdf

                       About HM Sampoerna

Surabaya, East Java-based PT Hanjaya Mandala Sampoerna Tbk --
http://www.sampoerna.com-- manufactures hand rolled and  
machine-rolled clove-blended cigarettes. The company distributes
its products in the domestic and international market. Through
its subsidiaries, the company also develops properties.

Standard and Poors gave HM Sampoerna's Long Term Foreign Issuer
Credit a 'BB+' rating effective on November 3, 2005.


HM SAMPOERNA: Agrees to Sell 23.4% Stake in Retail Unit
-------------------------------------------------------
PT Hanjaya Mandala Sampoerna Tbk will sell its 23.4% stake in
local retail unit PT Alfa Retailindo, Bloomberg News reports.

According to a company statement to the Jakarta Stock Exchange,
Sampoerna has agreed to sell its stake in Alfa Retailindo to PT
Sigmantara Alfindo.  However, the Company did not indicate the
value for the transaction.

Sampoerna signed the sale agreement with Sigmantara on July 14,
2006, and the transaction will be completed by October 5, 2006,
at the latest, the Company said.

                       About HM Sampoerna

Surabaya, East Java-based PT Hanjaya Mandala Sampoerna Tbk --
http://www.sampoerna.com-- manufactures hand rolled and  
machine-rolled clove-blended cigarettes. The company distributes
its products in the domestic and international market. Through
its subsidiaries, the company also develops properties.

Standard and Poors gave HM Sampoerna's Long-Term Foreign Issuer
Credit a 'BB+' rating effective on November 3, 2005.


PAN INDONESIA: Moody's Raises 'D-' BSFR Outlook to Positive
-----------------------------------------------------------
Moody's Investors Service had, on Aug. 1, 2006, revised its
outlook for Pan Indonesia Bank's D- bank financial strength
rating to positive from stable.

Moody's Vice President & Senior Credit Officer Beatrice Woo
said, "The positive outlook reflects upward pressure on Pan
Indonesia's BSFR, arising from its solid economic solvency, even
after adjusting for problem loans on its balance sheet.  
However, its capital strength was off-set by the deterioration
in its financial performance during 2005."

Traditionally, Pan Indonesia enjoyed financial metrics superior
to its peer group, particularly in profitability and asset
quality.  If the Bank can regain its stronger recurring earnings
stream, its BFSR may then move into a higher rating band.

Panin, headquartered in Jakarta, is Indonesia's eighth largest
bank by assets. During the financial crisis, it was the only
listed bank that did not require government recapitalization.
Since 1999, Australia's ANZ Bank (rated Aa3) has held a stake in
Panin following a technical services agreement. ANZ has
increased its ownership and now controls 29%. Panin has a 2.5%
share of the deposit market and 2.4% of the loan market.

This rating was affected:

   -- Bank financial strength rating of D-.  Outlook revised to
      positive from stable.

These ratings were unaffected:

   -- Long-term/short-term deposit ratings of B2/Not Prime.
      Outlook stable.

                          *     *     *

PT Pan Indonesia Bank Tbk. is a commercial bank that was
established in 1971 through the merger of three private banks:
PT Bank Industri dan Dagang Indonesia, PT Bank Kemakmuran and PT
Industri Djaja Indonesia.  In 1972, the Bank was granted a
license to operate in foreign exchange transactions.

The Bank has a network of 100 domestic offices, consisting of 20
main branches and 80 sub-branches in all the important cities in
Indonesia and 2 offshore branches in the Cayman Islands and Cook
Island.  Pan Indonesia also has several international banks as
joint-venture partners in local financial services firms.


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

FORD MOTOR CREDIT: JCR Pulls Down Senior Debts Rating to BB-
------------------------------------------------------------
Japan Credit Rating Agency, Ltd., has, on August 1, 2006,
downgraded the long-term senior debts rating of Ford Motor
Credit Co. to BB- with a negative outlook and its long-term
senior bonds rating to BB with a negative outlook from BBB-, on
the deteriorating credit standing of parent firm Ford Motor Co.

With the increasingly competitive situation in the North
American auto market, Ford suffered from substantial
deteriorating sales mix and erosion in market shares.  JCR
downgraded the rating by two notches because the agency
concluded that, with a weaker sales mix, the level of profit and
cashflow to be generated by Ford in the coming years would not
be enough to support the former BBB- rating, even with its
efforts to revitalize North American auto operation in the mid-
term.  The rating could be pulled down if further erosion of
market shares or deterioration of sales mix will be seen in
North America.

1. Ford is still exposed to increased competitive pressure in
   its key North American market, and is suffering from
   pressures on profitability emanating from a deteriorating
   sales mix.  While Ford maintained its market shares in North
   America for the first half of 2006 slightly above 18%, modest
   decrease in the shares are mainly due to solid market
   acceptance of its new mid and full-size passenger cars.
   Sales of mid- to large-size SUVs, which were generating a
   large share of Ford's auto segment earnings, had rapidly
   decreased, and consequent deterioration of sales mix put
   pressures on its profitability.  JCR thinks that the decline
   in sales was mainly due to high gasoline prices and the shift
   of consumer preference away from mid- to large-size SUVs, and
   thus is not likely to be reversed in the near future.

2. Ford's cost structure is less competitive due to its
   relatively generous health insurance benefits.  Even as Ford
   tried to improve its cost structure via employee buyouts and
   agreement with UAW on reduction of healthcare cost, JCR
   thinks that the consequent cost reduction will not be
   sufficient to restore profitability with current level of
   market shares and sales mix.  While further reductions of
   healthcare cost is necessary, it is not certain whether Ford
   could reach a meaningful agreement with UAW in labor
   negotiations in 2007.  While Ford derived significant
   earnings and cashflow from Ford Credit in recent years, Ford
   Credit's earnings have been decreasing with its funding cost
   rising and asset portfolio becoming smaller.  Earnings and
   cashflow to be derived from Ford Credit in the coming years
   will be smaller than in the recent years.

3. Ford is currently implementing North American restructuring
   ("Way Forward") plan, which aims at regaining long-term
   profitability of North American auto business by reducing
   material cost, eliminating excess capacity and accelerating
   introduction of new models.  However, measures such as
   extensive reduction of capacity and headcounts entail
   substantial costs and could take more time to implement than
   initially expected.  Ford's credit standing is likely to be
   undermined with future declining sales mix, before the
   improvements in cost structure will be materialized.

4. In JCR's view, Ford Credit and Ford have a very close
   relationship with each other through their operations and
   shareholding, and thus Ford Credit's credit rating is
   strongly influenced by its parent's credit standing.  While
   Ford relies on Ford Credit to provide funds to its dealers
   and retail customers purchasing Ford vehicles, Ford Credit
   heavily depends on Ford's dealership system and retail
   customers for financing revenue.

Ford Motor Credit Co. -- http://www.fordcredit.com/-- is one of  
the world's largest auto financing companies, and funds autos
for and through some 12,500 Ford, Lincoln, Mercury, Jaguar, Land
Rover, Mazda, Aston Martin, and Volvo dealerships.  Ford Motor
Credit Co. finances new, used, and leased vehicles (including
about 40% of new Fords sold in the US) and provides wholesale
financing, mortgages, and capital loans for dealers.  The
Company also offers individual and business fleet financing,
while its insurance operations offer extended service contracts,
automobile insurance, wholesale inventory insurance, and credit
life and disability insurance.


MITSUBISHI MOTORS: R&I Upgrades CCC+ Rating to B
------------------------------------------------
Rating & Investment Information Inc. has, on July 31, 2006,
upgraded its issuer rating on Mitsubishi Motors Corp. from CCC+
to B with a stable outlook and its commercial paper rating from
c to b, and has removed the rating from its monitor at the same
time.

The Company's efforts to revamp its operational base and launch
new models are beginning to pay off and earning power has begun
to recover.  While the earnings base is still weak and there
are several issues to address before a full recovery occurs,
grave concerns of a significant deterioration in the financial
base have receded.  

After announcing its Revitalization Plan in January 2005, MMC
set about revitalizing its operations.  Sales of its new
Outlander SUV and the new concept "i" minicar models that were
launched locally in March 2006 were satisfactory.  The Company
has also been earning relatively stable profits in Asia, mainly
from pickup trucks produced in Thailand.  As a result, operating
results have returned to the black to JPY6.8 billion.  Operating
deficit for the period ended March 2006, however, stood at
JPY128.5 billion.

Mitsubishi Motors' subsidiary NedCar stopped producing Daimler-
Chrysler's compact smart forfour vehicle on June 30, 2006.  This
left the unit with production of the Colt model, so there is
considerable excess production capacity and the Company plans
further rationalization and restructuring in the future.  
However, the impact on earnings at the moment is limited due to
compensation from Daimler-Chrysler.

There is room for improvement in the Company's global production
system and there are still several issues to be tackled before a
full-fledged recovery of the earnings base can occur.  
Mitsubishi Motors also needs to pay more attention to the
incidence of further extraordinary losses due to streamlining of
operations.  In spite of these weaknesses, however, R&I believes
that the financial base will probably be maintained at a certain
level.  R&I will monitor the Company to determine whether it can
improve its earnings in Japan and North America, which are still
in the red, after the launch of new vehicles and boost of its
sales network.  Another aspect to monitor is whether the Company
can smoothly procure external funds for capital investment and
research & development.

                 About Mitsubishi Motors Corp.

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.

MMC adopted the "Mitsubishi Motors Revitalization Plan" on
January 28, 2005, as its three-year business plan covering
fiscal 2005 through 2007, after investor DaimlerChrysler backed
out from the Company.  The main objectives of the plan are
"Regaining Trust" and "Business Revitalization."

                          *     *     *

Japan Credit Rating Agency, Ltd. had on July 18, 2006, upgraded
the Company's senior debts rating to BB- from B- with a stable
outlook, as its restructuring has been going well as planned,
with Mitsubishi group firms increasing their stakes in MMC to
34.3% as of March 31, 2006.


SOFTBANK CORPORATION: Sells 7.5% Stake in Unit for JPY50 Billion
----------------------------------------------------------------
Softbank Corp. sold 7.5% of its 26.7% stake in unit SBI Holdings
Inc. for JPY50 billion, AFX News Limited relates.

The shares were valued at JPY45,000 each.  The Company said that
it will use the proceeds from the share sale to repay a portion
of its outstanding debt.

The AFX report, however, did not specify who bought the shares.

Based in Tokyo, Japan, Softbank Corporation --
https://www.softbank.co.jp/ -- is a leading Japanese
telecommunications and media corporation, with operations in
broadband, fixed-line telecommunications, e-Commerce, Internet,
broadmedia, technology services, finance, media and marketing,
and other businesses.  SoftBank was established on September 3,
1981, and had a market capitalization of approximately
US$32.8 billion at 28 February 2006.

SoftBank's corporate profile includes various other companies
such as Japanese broadband company Cable & Wireless IDC, cable
company BB-Serve, and gaming company GungHo Online
Entertainment.  On March 17, 2006, SoftBank announced its
agreement to buy Vodafone Japan, giving it a stake in Japan's
US$78 billion mobile market.  

                          *     *     *

According to a Troubled Company Reporter - Asia Pacific report
on April 18, 2006, Standard & Poor's Rating Services agency
affirmed its 'BB-' long-term corporate credit rating on the
Company, with negative implications.


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

BOWATER INC: Reports US$10.6 Mil. Net Loss for 2nd Quarter 2006
---------------------------------------------------------------
Bowater Incorporated reported a net loss of US$10.6 million on
sales of US$899.4 million for the second quarter of 2006
compared with a net loss of US$3.6 million on sales of
US$897.5 million in the second quarter of 2005.

"Our second quarter financial results were impacted by
additional costs related to scheduled operational maintenance,
conversion of a newsprint machine to specialty papers at our
Calhoun, Tennessee facility and permanent closure of a market
pulp line at our Thunder Bay site," David J.  Paterson,
president and chief executive officer, said.  "However, with
these events largely behind us, I look forward to improved
operational and financial performance which, when combined with
our asset sale program, should lower our debt levels in the
second half of the year."

The asset sale program of the Company during the second quarter
had proceeds of $201.3 million providing an after-tax gain of
US$45.7 million resulting to a decline of total debt by
US$148 million.

During the first quarter of 2006, the Company sold its Degelis
sawmill and approximately 24,000 acres of timberlands located in
Tennessee and during the second quarter of 2006, it sold its
Baker Brook sawmill and approximately 472,000 acres of
timberlands located in Tennessee and the Canadian province of
New Brunswick.  As of June 30, 2006, it has approximately 42,000
acres classified as timberlands held for sale.

A full-text copy of the Company's quarterly report is available
for free at http://ResearchArchives.com/t/s?e92

Headquartered in Greenville, South Carolina, Bowater
Incorporated (TSX: BWX) produces newsprint and coated mechanical
papers.  In addition, the company makes uncoated mechanical
papers, bleached kraft pulp and lumber products.  The company
approximately has 7,800 employees and has 12 pulp and papermills
in the United States, Canada and South Korea and 12 North
American sawmills that produce softwood lumber.  Bowater also
operates two facilities that convert a mechanical base sheet to
coated products.  Bowater's operations are supported by
approximately 1.4 million acres of timberlands owned or leased
in the United States and Canada and 30 million acres of timber
cutting rights in Canada.  Bowater common stock is listed on the
New York Stock Exchange, the Pacific Exchange and the London
Stock Exchange.  A special class of stock exchangeable into
Bowater common stock is listed on the Toronto Stock Exchange.

                         *     *     *

As reported in the Troubled Company Reporter on June 27, 2006
Fitch Ratings has assigned a 'BB' rating to Bowater, Inc.'s
senior secured bank debt.  The company's issuer default ratings,
'BB-' and senior unsecured bond ratings, 'BB-', remain
unchanged.  The Rating Outlook remains Stable.

As reported by the Troubled Company Reporter on June 21, 2006
Moody's Investors Service affirmed the Company's B1 long term
debt ratings and SGL-2 speculative grade liquidity rating. The
Outlook is Stable.

As reported in the Troubled Company Reporter on June 2, 2006,
Dominion Bond Rating Service downgraded the rating of Bowater
Canadian Forest Products Inc. to BB (low) from BB.  The trend
remains Negative.

Standard & Poor's Ratings Services lowered its ratings on
Bowater and subsidiary Bowater Canadian Forest Products Inc.,
including the corporate credit rating on each entity to 'B+'
from 'BB' in December 2005.  S&P said the outlook is stable.


EUGENE SCIENCE: March 31 Balance Sheet Upside Down by US$11.3M
--------------------------------------------------------------
Eugene Science, Inc., fka Ezomm Enterprises, Inc., filed its
first quarter financial statements for the three months ended
March 31, 2006, with the Securities and Exchange Commission on
May 22, 2006.

The Company reported a US$1,198,494 net loss on US$122,443 of
revenues for the three months ended March 31, 2006.

At March 31, 2006, the Company's balance sheet showed
US$11,696,088 in total assets and US$23,073,055 in total
liabilities, resulting in a US$11,376,967 stockholders' deficit.

The Company's March 31 balance sheet also showed strained
liquidity with US$1,571,491 in total current assets available to
pay US$20,952,649 in total current liabilities coming due within
the next 12 months.

A full-text copy of the regulatory filing is available for free
at http://ResearchArchives.com/t/s?aeb

                        Going Concern Doubt

As reported in Troubled Company Reporter on May 18, 2006, SF
Partnership, LLP, Chartered Accountants, in Toronto, Canada,
raised substantial doubt about Eugene Science, Inc., fka Ezomm
Enterprises, Inc.'s ability to continue as a going concern after
auditing the Company's consolidated financial statements for the
year ended Dec. 31, 2005.  The auditor pointed to the Company's
recurring losses, negative working capital, and operation in a
country whose economy is currently unstable -- South Korea.

                       About Eugene Science

Based in Kyonggi Do, South Korea, Eugene Science, Inc., fka
Ezomm Enterprises, Inc. (OTCBB: EUSI) is a global biotechnology
company that develops, manufactures and markets nutraceuticals,
or functional foods that offer health-promoting advantages
beyond that of nutrition. Plant sterols are the Company's
primary products, which include CZTM Series of food additives
and CholZeroTM branded beverages and capsules. In June 2005, the
Company received regulatory approval for certain health claims
associated with the Company's products from government agencies
in the Republic of Korea.


INDUSTRIAL BANK OF KOREA: Plans to Buy LIG Unit
-----------------------------------------------
The Industrial Bank of Korea, the nation's largest lender to
small-sized companies, said that LIG Non-Life Insurance Co.'s
life insurance subsidiary is among its potential takeover
targets as it seeks to expand, Bloomberg News reports.

Bloomberg says that Industrial Bank is in talks with the biggest
shareholder of LIG Life Co. to buy a controlling stake.  

However, according to the report, Lee Do Hee, a spokesman for
LIG Non-Life, has denied any talks about a possible sale.

                  About LIG Non-Life Insurance

LIG Non-Life Insurance Co., Ltd., offers a variety of non-life
insurance services, such as auto, fire, marine, casualty,
health, leisure, and travel for individual and institutional
customers.  The Company also provides specialty purpose
insurance services, including e-commerce and Internet service
provider businesses.

                 About Industrial Bank of Korea

Industrial Bank of Korea -- http://www.kiupbank.co.kr-- is  
South Korea's largest lender to small-sized companies.  It
provides commercial banking services to small and mid-sized
companies.  The Bank provides loans, discount bills, deposits,
installment savings deposits, domestic remittances, foreign
exchange, safe deposit boxes, and payment acceptances and
guarantees.  IBK also provides PC banking and telephone banking
services.

Moody's Investors Service gave Industrial Bank of Korea a Bank
Financial Strength Rating of 'D' effective January 24, 2006.


KOREA EXCHANGE BANK: Stake Sales Hack Up Net Income
---------------------------------------------------
Korea Exchange Bank posted a record KRW928.4 billion net income
for the first six months of this year, up 43.72% year-on-year,
according to the bank's press release.

The Korea Times notes that the result is due to "a steady
increase in interest and non-interest income, as well as its
sale of a stake in Hynix Semiconductor."

The steady increase of net income is attributable to continuous
expansion of its earning platform involving ordinary operating
activities, KEB said.  The bank's strength in earning capacity
comes from a continuous increase of its lending, its solid
position as a leading bank in foreign exchange and trade
finance, as well as high fee income generated by sale of
bancassurance products and beneficiary certificates, among
others.  Furthermore, its industry-top performance in terms of
asset quality and recovery of its distressed assets steadily
eased its loss provisioning burdens.

Pre-tax income of KRW1.29 trillion during the first half of 2006
doubled the performance of the  previous corresponding period
which recorded a pre-tax income of KRW649.0 billion.  Even
excluding one-off factors, the bank maintains a normal quarterly
profit, at par with its average of more than KRW300 billion
every quarter, indicating its solid earning power surpassing
that of the preceding year.

The bank recorded extraordinary income during the period after
partial disposals of debt-equity-swap shares of Hyundai
Engineering and Hynix Semiconductor.

The Troubled Company Reporter - Asia Pacific reported on
June 26, 2006, that KEB has sold a 5.2% stake in Hyundai
Engineering & Construction Co. in a block trade on June 20,
2006.  The block trade of about 5.7 million shares was done at a
price of KRW42,700 per share.  The final price marked the mid-
point of the initial price range of KRW41,850 and KRW43,600.  
The KRW241.9-billion block trade was arranged by Morgan Stanley.  

The Hyundai Engineering stake sale and reversal of impairment
loss related to Hyundai Engineering gave the bank an additional
KRW364 billion.

Another TCR-AP report stated that Hynix Semiconductor and its
creditors sold shares and bonds.  The sale, according to The
Korea Times, gave KRW100 billion to Korea Exchange, after the
bank divested a 1.33% stake in Hynix.

                    Better Asset Management

KEB now maintains annualized ROA of 2.8% and ROE of 31.0%.  With
stable asset management, the bank recorded substandard-and-below
ratio of 0.65% and delinquency ratio of 0.75% as of June 30,
2006.

Its BIS ratio is anticipated to reach 14% level as of June-end,
up from 13.67% as of March-end this year.  Tier 1 capital ratio
of the bank is expected to hover 11% as of June-end, up from
10.06% as of March-end this year.

KEB's Financial Report for the First Half of 2006 is available
for free at:

   http://bankrupt.com/misc/KEB_First_Half_2006.pdf

                     Second Quarter Results

KEB's second quarter 2006 net income is KRW628.5 billion, up
109.64% from KRW299.8 billion in the first quarter 2006.

Net interest income for the three months ended June 30, 2006,
amounted to KRW450.8 billion, a difference of KRW4.1 billion, or
0.92% from the first quarter's KRW446.7 billion.

                      About Korea Exchange

Korea Exchange Bank -- http://www.keb.co.kr/english/index.htm--   
was established in January 1967 by the Government originally as
a specialist foreign exchange bank.  It retains its strength in
trade finance and foreign exchange.  In terms of assets, it
ranks sixth among Korea's nationwide commercial banks with 7% of
system assets.  It operates a branch network of 317 domestic and
28 overseas offices in Australia, Bahrain, Canada, China, Hong
Kong, France, Germany, Indonesia, Japan, Netherlands, Panama,
Philippines, the United States, Singapore, and the United
Kingdom.  During the economic crisis, significant exposures to
troubled corporate borrowers led to a deterioration in the
bank's financial health.  However, since then, its operating
performance stabilized, and the bank has reported consecutive
quarterly profits since the end of 2003.

Fitch Ratings gave Korea Exchange Bank a 'C' Individual Rating
effective on June 17, 2005.

Moody's Investors Service gave KEB a 'D' Bank Financial Strength
Rating effective on May 9, 2006.

                          *     *     *

South Korean politicians -- led by the main opposition Grand
National Party -- have alleged that the Korea Exchange shares
were sold cheap to United States-based Lone Star Funds after the
Bank's financial status was incorrectly reported.  Korea
Exchange denied the allegations in March 2006.

The Board of Audit and Inspections and the Supreme Public
Prosecutors' Office initiated separate investigations into the
matter.  On June 20, 2006, the BAI determined that Lone Star's
acquisition of Korea Exchange was led by management with the
approval of the financial supervisory bureau.  BAI found that
KEB exaggerated its insolvency and falsely recorded the Bank for
International Settlements' capital adequacy ratio at 6.16%,
which is below the 8% threshold for healthy banks.

Prosecutors are investigating whether there were any
transgressions of law in the process of selling KEB and whether
bribes were given to officials.  If prosecutors will find solid
evidence that the data was cooked up, it might lead to the
nullification of the KEB sale to Lone Star and the arrest of
regulators, policymakers and former KEB executives.


LG CARD: Net Profit Falls 40% in Second Quarter
-----------------------------------------------
LG Card Co.'s second quarter 2006 net profit fell 40%, mainly
because of the absence of a large gain it recorded in the second
quarter 2005, the Wall Street Journal reports.

According to WSJ, LG Card's net profit for the quarter ended
June 30, 2006, was KRW287 billion (US$300.5 million), down from
the KRW479.79 billion reported a year earlier when it recorded a
gain of KRW123.8 billion from selling non-performing loans.  The
second quarter net profit fell 19% from the first quarter
figure.

The second quarter 2006 revenue rose 3% to KRW692.79 billion
from KRW672.35 billion in the second quarter last year.

Kim Jun-Young, an LG Card investor-relations official, explains
that the company had set aside more provisions than the previous
quarter, despite improving asset quality, due to forecasts that
the South Korean economy would not be "as strong" in the first
half.

WSJ adds that LG Card's delinquency ratio fell to 5.99% in June
2006 from 6.18% a month earlier and 9.69% a year earlier.  Its
customer numbers rose 6.5% from a year earlier to 10.1 million
at the end of June.

The huge customer base, which accounts for more than one-fifth
of South Korea's 48-million population, has drawn keen interest
from several local and foreign retail-finance firms as creditors
of LG Card put up a controlling stake for sale.  The creditors
collectively own 82% of LG Card and plan to sell 51% to 72.1% of
the company.

A Troubled Company Reporter - Asia Pacific report on July 26,
2006, said that LG Card's main creditor, Korea Development Bank,
has sent invitations to potential bidders for the credit-card
company, kicking off an acquisition deal with an estimated value
of more than US$5 billion.  The deadline for the bids is on
August 11, 2006, and KDB hopes to select a buyer late that
month.

                       About LG Card Co.

Headquartered in Seoul Korea, LG Card Co. --
http://www.lgcard.com/-- provides installment finance services  
and credit card, as well as leasing services to credit worthy
companies while acquiring valuable assets from merchant banks
and leasing firms.  LG Card also finances families wishing to
purchase big ticket items such as automobiles, appliances and
computers.

At the end of October 2003, LG Card had KRW3.24 trillion more
debt than assets and had faced threats of liquidity crisis and
court receivership.  LG Card has been in the hands of creditors
since it was rescued from bankruptcy through a KRW5-trillion
(US$4.78 billion) debt-for-equity swap and a further
KRW1 trillion bailout in late 2004.  Creditors are hoping to
recover the bailout amount through a sale of the credit card
issuer in 2006.


* BSI Slips to Lowest Level This Year
-------------------------------------
The manufacturing industry's business outlook has plunged to its
lowest level this year following a slowdown in the business
sector, KBS Global reports.

According to a Bank of Korea survey in July 2006 on some 29-
hundred domestic firms, the business survey index for July was
down six points from June to 77, by far the lowest level this
year.

The report says that it marked the first time for the figure to
slip into the 70's since the index stood at 75 in July of last
year.

The index has been falling steadily for the five straight months
from its tally of 91 in April 2006.

A rating of less than a hundred means more companies predict
business conditions will worsen rather than improve in the
coming six months.

A related report by Dong-A Ilbo cites statistics released by the
Small and Medium Business Administration, which states that the
number of newly established manufacturing businesses fell 26.1%
year-on-year from 5,505 to 4,070.

The annual number of start-ups in the manufacturing sector has
fallen constantly from 12,445 in 2003 to 10,178 in 2004 -- an
11.0% decrease -- and to 9,435 in 2005 -- a 14.8% decrease).

Meanwhile, the total annual number of newly established
corporations, including those in the manufacturing, service,
agriculture, fishery, and construction sectors, has remained
constant at around 50,000 since 2003.  Accordingly, the share of
the manufacturing sector among all of the newly found companies
plummeted from 23.6% in 2003 to 15.3% in the first half of this
year.

It has been analyzed that a lack of profitable business items
and excessive regulations were the biggest reasons for the
shrinking manufacturing sector, the Dong-A report adds.

In a survey conducted by the Korea Federation of Small and
Medium Business on 212 venture businesses established since
2002, 45.3% of the respondents said "weakened profitability of
manufacturing sector" was the greatest factor discouraging
start-ups in the manufacturing sector.

Others included "difficulty in securing workforce" (17.9%),
"excessive regulations" (16.5%), and "difficulty in raising
money" (15.5%).


* Korea Sees Recession of Construction Industry in June
---------------------------------------- --------------
Korea's construction industry is having a hard time, the Dong-A
Ilbo reports.

Korean construction firms received orders worth KRW9.26 trillion
in June 2006, 7.7% less than the same period last year.  The
monthly contraction amount of the construction industry was
weaker than the same month last year for four consecutive months
since March, the Dong-a report adds.

Construction revenue in June 2006 increased to KRW7.23 trillion
compared with the figure for June 2005, reflecting the lowest
growth rate since February 2006.

The Dong-A states that there are even rumors in the curb loan
market that some local construction companies face bankruptcy
due to their financial difficulties.

According to the report, the sluggish construction industry is
imposing an adverse effect on economic growth and employment.
Quarterly real economic growth in the second quarter, released
by the Bank of Korea, was a mere 0.8%, the lowest in five
quarters.

Private consumption and facility investment increased 0.9% and
2.8% respectively, but investment in the construction sector
decreased 3.9%, dragging down overall growth.

The Hyundai Research Institute recently released a report
arguing that recession of the construction industry would be
prolonged.  The report estimated that 15,000 jobs vanished in
May alone due to this recession.


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

AYER HITAM: Default Amount Tops MYR41 Million
---------------------------------------------
As of June 30, 2006, Ayer Hitam Tin Dredging Malaysia Group has
a total default in principal sums plus interest of
MYR41,339,119.

Of the total default amount, MYR27,993,900 is owed by Ayer
Hitam's wholly owned subsidiary Motif Harta Sdn Bhd to:

     * Alliance Bank Malaysia Berhad;
     * EON Bank Berhad;
     * Kewangan Bersatu Berhad; and
     * Malayan Banking Berhad.

The remaining MYR13,345,218 is owed by Ayer Hitam's 100% owned
subsidiary Pembinaan AHT Sdn Bhd to AmBank Berhad.

The principal sum is based on the amount owed to the syndicated
lenders as of September 30, 2004, as per judgment dated May 9,
2005.  Pursuant to the judgment, interest is chargeable at the
rate of 3.5% per annum above base lending rate until full
settlement of the amount outstanding.  Interest comprises of
default interest from October 1, 2004, to June 30, 2006.

                        About Ayer Hitam

Headquartered in Kuala Lumpur, Malaysia, Ayer Hitam Tin Dredging
Malaysia Berhad -- http://www.ahtin.com.my/-- is involved in  
property development and the trading of promotional products and
services in Malaysia.  The Company is also engaged in the
trading of uninterrupted power supply equipment and magnetic
fuel treatment systems and the provision of investment holding,
nominee services, hotel development and management and
renovation services.  The Company has been incurring losses in
the past years and has defaulted on several loan facilities.  As
of May 31, 2006, Ayer Hitam's payment defaults have reached
MYR40 million.  The Company has presented a restructuring
proposal, which was rejected by the Securities Commission after
determining that the Scheme is not a comprehensive proposal
capable of resolving all the financial issues faced by the
Company.   


CONSOLIDATED FARMS: Defaults on Over MYR148-Million Loans
---------------------------------------------------------
The Consolidated Farms Group has been unable to pay the amount
of principal and interest in respect of its credit facilities as
of July 31, 2006.

The Confarm Group owes a total of MYR148,247,800 to:

        Creditor                           Amount Owed
        --------                           -----------
        Bank Pertanian Malaysia          MYR47,166,900
        Bumiputra Commerce Bank Berhad   MYR63,546,800
        Malayan Banking Berhad           MYR24,460,700
        AmMerchant Bank Berhad           MYR13,073,400

There has been no material development in respect of the
Company's plan to regularize its financial position.

                    About Consolidated Farms

Headquartered in Kuala Lumpur, Malaysia, Consolidated Farms Bhd
-- http://www.confarm.com/-- is engaged in poultry farming  
which includes operating of breeder farm, production and
processing of organic fertilizer, feed milling, and
manufacturing and sale of egg trays.  Other activities include
manufacturing and processing of eggs into pasteurized eggs and
de-shelled hard-boiled eggs.  The Company is a Practice Note 4
concern currently undergoing a restructuring exercise to address
its debt problem.  The Company had appointed Deloitte KassimChan
Business Services Sdn Bhd as advisor for the restructuring
exercise.  As of March 31, 2006, Confarm said that it will not
be able to settle all its debts in full when they fall due
within the next 12 months hence, the Company was unable to
provide a solvency declaration.

The Company's April 30, 2006, balance sheet showed total
liabilities of MYR203,323,000 exceeding total assets of
MYR133,822,000, resulting into a stockholders' equity deficit of
MYR69,501,000.


DATUK KERAMAT: Bourse Halts Trading of Securities
-------------------------------------------------
On July 31, 2006, Bursa Malaysia Securities Berhad suspended
trading of the listed securities of Datuk Keramat Holdings
Berhad for failing to submit for public release the Company's
annual audited accounts for the financial year ended Dec. 31,
2005.

However, as the Company's listed securities have already been
suspended from trading since August 1, 2005, the suspension will
continue regardless of the new suspension action.

The Bourse also warned that the Company's securities may be
delisted in addition to any enforcement action the Bourse may
take.

                  About Datuk Keramat Holdings
  
Headquartered in Pulau Pinang, Malaysia, Datuk Keramat Holdings
Berhad is engaged in investment and property holding.  The
Company is also involved in management services; property
investment services; project management services and
development; credit and financing activities; distribution and
publication of magazines; media design and advertising;
management of supermarket and departmental store; trading and
distribution of pharmaceutical, management of car park, garment
manufacturing and financial services.  The Group faced numerous
suits filed by financiers and trade creditors who have alleged
that outstanding debts are owed to them.  On January 24, 2005,
the Company was served with a wind-up petition by Affin Bank
Bhd, who claimed a sum of MYR15.66 million in respect of
revolving credit facilities granted to the Company.  


FOREMOST HOLDINGS: Fined and Reprimanded for Breach of Rules
------------------------------------------------------------
On July 31, 2006, Bursa Malaysia Securities Berhad publicly
reprimanded and imposed a fine of MYR6,250 on Foremost Holdings
Berhad for breach of Listing Requirements.

The Company had breached listing rules for failing to furnish
its annual audited accounts for the year ended December 31,
2005, to Bursa Securities by the April 30, 2006, deadline.  The
AAA 2005 was only submitted to the Bourse on May 8, 2006.

Moreover, Foremost breached the Listing Requirements for
reporting an unaudited loss after taxation and minority interest
of MYR7.983 million for the full financial year ended
December 31, 2005, in the fourth quarterly report as compared to
an audited loss after taxation and minority interest of
MYR20.902 million in the AAA 2005.

The difference between the Unaudited Results and the Audited
Results on the increase of loss after taxation and minority
interest of MYR12.919 million represents a 161.8% deviation.

Bursa Securities also directs the Company to have its next four
quarterly reports reviewed by external auditors before they are
disseminated to the public.

Bursa Securities cautions the Company on its responsibility to
maintain appropriate standards of corporate responsibility and
accountability to achieve greater disclosure and transparency to
its shareholders and the investing public.

                     About Foremost Holdings

Foremost Holdings Berhad manufactures and sells automobile
speakers, home audio speakers, general-purpose speakers and
speaker wooden cabinets.  The Company is also engaged in the
trading of auto accessories, investment holdings and the
provision of management services.  Products are distributed in
Malaysia, Singapore, United Kingdom, Italy, Taiwan, the United
States, other Asian countries, other European countries and
other countries.  Foremost was classified as an affected listed
issuer under Bursa Malaysia Securities Berhad's Practice Note 17
because it has "insufficient financial position to warrant
continued listing".  As an affected issuer, the Company is
required to draft a plan to regularize its finances to avoid
being delisted from the Official List.


JIN LIN: To Discuss Restructuring at Meetings
---------------------------------------------
Jin Lin Wood Industries Berhad will hold a court-convened
meeting of shareholders on August 25, 2006, at 10:00 a.m., to
consider the Proposed Scheme of Arrangement with Shareholders in
respect of the Company's proposed restructuring scheme.

An extraordinary general meeting will also be held on the same
date at 10:30 a.m. to discuss and approve matters relating the
restructuring proposal.

Both meetings will be held at Dewan Berjaya, Bukit KIara
Equestrian & Country Resort, Jalan Bukit Kiara, Off Jalan
Damansara, 60000 Kuala Lumpur, Malaysia.

                  About Jin Lin Wood Industries

Headquartered in Kuala, Lumpur Malaysia, Jin Lin Wood Industries
Berhad is engaged in the manufacture and trade of timber and
related timber products.  The Company is also involved in
warehousing, chemical treatment, and investment holding.

As of March 31, 2006, the Company's balance sheet showed total
assets of MYR68,666,000 and total liabilities of MYR99,706,000
resulting into a shareholders deficit of MYR31,040,000.


JOHAN CERAMICS: Still Working to Finalize Regularization Scheme
---------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
June 20, 2006, that Johan Ceramics Berhad became an affected
listed issuer as it triggered or fulfilled the enhanced
prescribed criteria under the Amended Practice Note 17 of Bursa
Malaysia Securities Berhad's Listing Requirements.  Thus, Johan
Ceramics was required to submit a regularization plan to the
Securities Commission and to other relevant authorities for
approval and implement the Plan within the timeframe stipulated
by the approving authority.

The report noted that the Company's board of directors was
exploring and evaluating various options to formulate the
Regularization Plan.

In an update, Johan Ceramics discloses that it is still in the
process of outlining its financial regularization plan, which
once completed will be made available to Bursa Malaysia
Securities Berhad.

Other than mentioned, there are no significant developments to
the Company's plan to regularize its financial condition.

                      About Johan Ceramics

Headquartered in Malaysia, Johan Ceramics Berhad principally
engages in the manufacture and sale of glazed ceramic wall and
floor tiles.  The Company's balance sheet as of March 31, 2006,
showed accumulated losses of MYR35.5 million in shareholders
equity.  The Company was classified as an affected listed issuer
under the Amended Practice Note 17 category of Bursa Malaysia
Securities Berhad's Listing Requirements after its auditors
expressed doubt on the Company's ability to continue as a going
concern and after its shareholders' equity plunged below the
listing requirement.  As an affected issuer, the Company is
required to formulate and implement a plan to regularize its
financial condition.


KIG GLASS: Updates on Group's Default Status
--------------------------------------------
KIG Glass Industrial Berhad reports that as of June 30, 2006, it
owes Bumiputra Commerce Bank Berhad a total of MYR54,041,103 for
bankers acceptances, term loans, trust receipts, as well as
revolving credit, and letter of credit.

On the other hand, KIG Ceramics Industrial Sdn Bhd defaults on:

   (a) a total of MYR10,496,156 to Bumiputra Commerce; and

   (b) MYR886,476 as overdraft payment to RHB Bank Berhad.

KIG Ceramics also owes Overseas Union Bank Berhad MYR3,905,709,
and The Labuan branch of Bumiputra Commerce Bank Limited
MYR9,566,973.

Meanwhile, United Overseas Bank (Malaysia) Berhad files a wind-
up petition against KIG Ceramics, which is set for hearing
before the High Court in Kuching on September 7, 2006.

The updated figures for KIG's subsidiary Zibo Jiali Glass
Industry Co. Ltd. is not available to date because of a
voluntary wind-up application against the subsidiary filed with
the Court in People's Republic of China.  The principal amount
Zibo Jiali owes to United Overseas Bank Limited, China, is
USD1,400,000.

According to the Trouble Company Reporter - Asia Pacific, KIG
and its subsidiaries are unable to service the loan repayments
to the banks and financial institutions as the Company has
ceased operations on May 27, 2005, as well as one of its
subsidiaries -- Ziabo Jiali -- on February 15, 2006.

The TCR-AP recounts that on May 11, 2006, KIG unveiled its
restructuring proposal, which included a debt settlement
proposal to resolve the default issue.  

The Company is in the process of finalizing its restructuring
exercise in line with its regularization exercise since the
Company is under Practice Note 17 of the Bursa Malaysia
Securities Berhad.

The Company's board of directors believes that the Group and the
Company are insolvent.

                   About KIG Glass Industrial

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 its
inability to pay its debts, the Company ceased operation in May
2005.

As of December 31, 2005, the KIG Group's accumulated losses
stood at almost MYR300 million.  The shareholders' funds of the
KIG Group was in deficit of approximately MYR93 million while
its total borrowings amounted to approximately MYR104 million.  
The Company's board of directors has formed the opinion that the
Group is insolvent as of March 31, 2006.


MALAYSIA AIRLINES: Sees Lower Losses in Second Quarter
------------------------------------------------------
Malaysia Airlines expects to see an improvement in its financial
performance after hiking ticket prices, cutting costs and
stepping up on restructuring efforts, The Associated Press
reports.

For the quarter ended June 30, 2006, Malaysia Airlines projects
a net loss figure of less than MYR180 million, which is an
improvement of a net loss of MYR280.7 million in the same
quarter last fiscal year, AP says.

According to AP, the Malaysia Airlines has forecast a full-year
loss of MYR620 million for fiscal 2006 mainly due to
skyrocketing fuel costs.  However, the carrier is confident it
would reap profits by 2007 under its ongoing three-year business
turnaround program.

The carrier is scheduled to report the second-quarter earnings
later this month, AP adds.

                     About Malaysia Airlines

Headquartered in Selangor, Malaysia, Malaysia Airlines
-- http://www.malaysiaairlines.com/-- services domestic and  
international flights.  Its global network comprised 32 domestic
and 86 international destinations.  Of the 86 international
destinations, 17 were operated in collaboration with our airline
partners.

The carrier made a loss after tax of MYR1.3 billion for fiscal
year 2005, due to high fuel and operating costs, and
unprofitable routes.  In late February 2006, it unveiled a
radical rescue plan to raise MYR4 billion to stay afloat and
return to profitability by 2007.  Under the restructuring plan,
the airline pledged to cut its budget by 20% across the board,
terminate many unprofitable routes, freeze recruitment except
for front-line staff, crack down on corruption by encouraging
Whistle-blowing and stop corporate sponsorship.


PAXELENT CORPORATION: Has Yet to Submit Regularization Plan
-----------------------------------------------------------
Paxelent Corporation Berhad is left with five months to submit
its financial regularization plan to relevant parties for
approval.

As of August 1, 2006, the Company says that it is still
negotiating with various creditors for the restructuring of its
finances.

                    About Paxelent Corporation

Paxelent Corporation is engaged in investment holding.  The
principal activities of the subsidiaries are property
investment, provision of information technology solutions,
investment holding, marketing and sale of hard disk drive
components.  The Company is a public limited liability company,
incorporated and domiciled in Malaysia, and is listed on the
Second Board of Bursa Malaysia Securities Berhad.

The Company is actively pursuing various restructuring schemes
to address its default issues.  These schemes would involve
raising funds through partial disposal of assets, potential
debts waivers and rescheduling of the debts.


SBBS CONSORTIUM: Bourse Gives Public Reprimand and Imposes Fine
---------------------------------------------------------------
On July 31, 2006, Bursa Malaysia Securities Berhad publicly
reprimanded and imposed a fine on SBBS Consortium Berhad for
breaching the Bourse's Listing Requirements.

The Company violated the Listing Rules by failing to issue for
public release its annual audited accounts for the financial
year ended December 31, 2005, by the April 30, 2006 deadline.

After taking into consideration various relevant factors
including the fact that the Company previously breached the
Listing Requirements, the Bourse reprimanded the firm and
imposed a fine of MYR1,250 per market day calculated from May 1,
2006, to the date of submission of the AAA 2005.

The public reprimand and fine are imposed after taking into
consideration various relevant factors including the fact that
the Company had previously breached the Listing Requirements.

On July 22, 2005, SBBS was publicly reprimanded by Bursa
Securities for breach of the Listing Requirements for reporting
an unaudited net loss after taxation of MYR378,843 for the
financial year ended December 31, 2004, in the fourth quarter
report for the financial period ended December 31, 2004, as
compared to an audited net loss after taxation of MYR23,950,078
in the annual audited accounts for the financial year ended
December 31, 2004.  The net loss after taxation reported in the
Audited Results showed an increase of MYR23,571,235, or a
deviation of 6221.9%, compared to the Unaudited Results.

Bursa Securities cautions the Company on its responsibility to
maintain appropriate standards of corporate responsibility and
accountability to achieve greater disclosure and transparency to
its shareholders and the investing public.

                       Trading Suspended

On July 31, 2006, Bursa Malaysia Securities Berhad suspended
trading of the Company's securities due to its failure to submit
its annual audited accounts for the financial year ended
December 31, 2005, within the stipulated timeframe.

However, as the listed securities of the Company have already
been suspended from trading since March 31, 2006, due to a wind-
up order made against it, the previous suspension will continue
regardless of the recent trading halt action.

If the Company fails to issue its outstanding financial reports
by October 31, 2006, the Bursa Malaysia may commence delisting
procedures in addition to any enforcement action the Bourse may
take.

                     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.  On May 9, 2006, the SBBS
acknowledged that it belongs to Bursa Malaysia Securities
Berhad's Practice Note 17/2005 category because it is insolvent
by virtue of the wind-up order granted by the Kuala Lumpur High
Court on March 29, 2006.


SUREMAX GROUP: Posts Lower Revenue, Higher Loss in Third Quarter
----------------------------------------------------------------
On July 31, 2006, Suremax Group Berhad submitted for public
release its unaudited financial report for the third quarter
ended May 31, 2006.

For the quarter under review, the Group registered a revenue
figure of MYR12,000, which is lower than the MYR2,785,000
revenue the Company booked in the same quarter last fiscal year.  
However, turnover for the current quarter has increased
marginally from MYR1.82 million in the last quarter to
MYR1.83 million for the current quarter.

The Group clocked a pre-tax loss of MYR1,410,000 in the quarter
ended May 31, 2006, as against a pre-tax loss of MYR1,558,000 in
the corresponding quarter in fiscal 2005.

For the current year to date, the Group's loss before taxation
has increased from MYR1.32 million in the preceding quarter to
MYR2.73 million in the current quarter.  The Group's accumulated
losses as of May 31, 23006, has reached MYR66,835,000.  

The Company's May 31, 2006 balance sheet revealed total assets
of MYR65,469,000 and total liabilities of MYR39,800,000.

The Company's board of directors did not recommend any payment
of dividend for the current financial quarter ended May 31,
2006.

The Company's Third Quarter Report and its accompanying notes
are available for free at:

     http://bankrupt.com/misc/tcrap_suremaxgroup080306.xls

   http://bankrupt.com/misc/tcrap_suremaxgroupnotes080306.pdf

                 About Suremax Group

Headquartered in Kuala Lumpur, Malaysia, Suremax Group Berhad is
engaged in property development, construction, trading in
construction materials and sub-contracting works.  The firm's
other activities include the provision of property management
services and building construction.  The Group is also involved
in the manufacture and sale of ready mixed concrete.  Suremax
Group has suffered losses since 2004 due to sluggish market
demand.  For the second quarter of the financial year ended
August 31, 2006, Suremax booked a pre-tax loss of MYR1.32
million.  The Company is also trying to avert a series of
winding up actions against its subsidiaries.  On May 9, 2006,
Suremax was identified as a Practice Note 17 company and was
required to regularize its financial condition pursuant to the
Bursa Malaysia Securities Berhad's Listing Requirements.


TAP RESOURCES: Unit Receives Payment Demand from Hilti
------------------------------------------------------
Hilti (Malaysia) Sdn Bhd asserts a MYR20,000-claim from TAP
Resources Berhad's subsidiary company, TAP Construction Sdn Bhd.  
TAP Construction is required to settle the full amount within 21
days from July 26, 2006.

Accordingly, the parties agree to settle at a lump sum of
MYR13,000.  In return, Hilti's lawyer will withdraw the notice
of demand.

                    About TAP Resources

TAP Resources Berhad is principally engaged in property
development.  Its other activities include general contracting;
manufacturing and general trading of building materials,
construction chemicals, ready mixed concrete and non-baked
bricks; installing air-conditioners, process control and switch
gear automation; selling of electrical goods; and investment
holding.  The Group operates wholly in Malaysia.

As of April 30, 2006, the Company registered a net loss of
MYR3.57 million and a net current deficit of MYR48.56 million.  
The Company has defaulted in the redemption of the balance of
MYR31,734,381 redeemable convertible secured loan stocks.  It
has also defaulted in the payment of interests, default
interests and overdue interests totaling approximately MYR3.1
million.


WEMBLEY INDUSTRIES: Wants One More Year to Complete Rehab Scheme
----------------------------------------------------------------
Wembley Industries Holdings Berhad had, on July 3, 2006,
submitted to the Securities Commission an application to extend
for another year the signing of a supplemental joint venture
agreement and completion of the Company's restructuring scheme.

The Company has instructed its adviser, Alliance Merchant Bank
Berhad, to make a formal application for the extension from
July 31, 2006, to July 7, 2007, or the period as advised by
Alliance Merchant.

The Troubled Company Reporter - Asia Pacific reported on May 4,
2006, that the Securities Commission granted Wembley Industries'
wholly owned subsidiary, Plaza Rakyat Sdn Bhd, until July 31,
2006, to sign a supplemental agreement with Dewan Bandaraya in
relation to a joint venture agreement, which is part of the
Company's restructuring scheme.

The restructuring scheme involves a proposed:

   * capital reduction and consolidation;

   * debt-restructuring; and

   * rights issue.

A subsequent TCR-AP report noted that Plaza Rakyat and Dewam
Bandaraya are still negotiating on the terms and conditions of
the supplemental agreement between them.  Government ministries
and departments are also involved in the discussions.

                    About Wembley Industries

Headquartered in Sarawak Malaysia, Wembley Industries Holdings
Berhad is a developer of commercial properties and investment
holding.  Its other activities are the development of the inter-
state bus and taxi terminal, the retail podium and the budget
hotel.

The Company has been placed under the Practice Note 4 category
due to its tight cash flow position.  On January 7, 2003,
Malaysia's Foreign Investment Committee approved the Company's
regularization plan.  Subsequently, on April 7, 2003, the FIC
revised its approval to include the possible participation of
Daewoo Corporation, the former turnkey contractor of Plaza
Rakyat Project in the Company's Proposed Debt Restructuring.  
The Company's ability to continue as a going concern hinges on
the successful implementation of the Scheme.

As of March 31, 2006, the Company's balance sheet revealed total
assets of MYR422,729,000 and total liabilities of
MYR1,214,178,000, resulting in a MYR791,749,000 stockholders'
deficit. The Company's accumulated losses as of March 31, 2006,
have reached MYR1,063,555,000.


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

DEVELOPMENT BANK: Looks to Raise PHP6.7-Billion Tier 1 Issuance
---------------------------------------------------------------
Due to favorable market conditions, the Development Bank of the
Philippines is considering increasing a scheduled hybrid Tier 1
notes issuance worth PHP6.71 billion, the Philippine Star
reveals, citing DBP President Reynaldo David.

According to Mr. David, they are evaluating if they could still
increase the notes issuance, which is scheduled for next month,
since the Bureau of Treasury's offer received a positive
response, although they have yet to see by how much the notes
would be increased.  DBP appointed Deutsche Bank and Barclays to
endorse the capital offering, which was approved by the Monetary
Board of the Bangko Sentral Ng Pilipinas last June 2006.  

The Star relates that DBP had issued PHP10 billion worth of Tier
2 notes in January 2006 to improve its capital base.  The
issuance raised the Bank's capital adequacy ratio to 36%, the
highest in the industry.  This time, DBP will use the proceeds
from the Tier 1 notes issuance to reinforce its capital position
and meet capital requirements under revised international
accounting standards, and raise funds for priority projects.

                            About DBP

Development Bank of the Philippines --
http://www.devbankphil.com.ph/-- is the Philippines's most  
progressive development banking institution, providing for the
medium and long-term financing needs of enterprises, with
emphasis on small and medium-scale industries, particularly in
the countryside.

                          *     *     *

Fitch Ratings gave BDP a C/D Individual Rating on September 3,
2001.

Moody's Investors Service gave DBP's Foreign Long-Term Bank
Deposits a B1 rating and Local Long-Term Bank Deposits a Ba2
rating effective February 16, 2005.


PHILIPPINE NATIONAL BANK: Bad Loans Comprise 27% of Total Loans
---------------------------------------------------------------
Philippine National Bank's non-performing loans accounted for
27% of its total loans as of June 30, 2006, the same level as at
March 30, 2006, the Philippine Inquirer relates, citing Xinhua
Financial News.

In the Bank's statement of condition for the first half of 2006,
its non-performing loans amounted to PHP27.8 billion as of end-
June, a slight drop from its PHP28.2-bllion NPL level last
March.  Return on equity was 3.7% for the same period, from 3.3%
in the first quarter.

The Inquirer states that PNB set aside PHP577.2 million in
general provisions and PHP15.7 billion in specific provisions
for probable losses on its loans.

                 About Philippine National Bank

Philippine National Bank -- http://www.pnb.com.ph/-- is the   
Philippine's first universal bank established on July 22, 1916.  
The Bank's core business consists of lending and deposit-taking
activities from corporate, middle market and retail customers,
as well as various government units.  Its other principal
activities include bill discounting, fund transfers, remittance
servicing, foreign exchange dealings, retail banking, trust
services, treasury operations and trade finance.  Through its
subsidiaries, PNB engages in a number of diversified financial
and related businesses such as international merchant banking,
investment banking, life/non-life insurance, leasing, financing
of small-and-medium-sized industries, and financial advisory
services.  It introduced innovations such as the bank on wheels,
computerized banking, ATM banking, mobile money changing and
domestic travelers' checks.

Standard and Poor's Ratings Services has given PNB 'B' Short-
Term Foreign Issuer Credit and Short-Term Local Issuer Credit
Rating, as well as 'B-' Long-Term Foreign Issuer Credit and
Long-Term Local Issuer Credit Ratings effective as of April 26,
2006.

Moody's Investors Service has assigned a Ba3 rating to PNB's
proposed local currency subordinated notes -- Series A and
Series B.


UNION BANK: H1 Non-Performing Loan Ratio Rises 9.46%
----------------------------------------------------
Union Bank of the Philippines' non-performing loans comprised
9.46% of its total loan portfolio in the first half of 2006,
compared with 6.94% in the first quarter this year, the
Philippine Inquirer reports, citing Xinhua Financial News
Service.

According to the Bank, its non-performing loans stood at
PHP4.14 billion on March 30, 2006.  As of June 30, 2006, its
non-performing loans amounted to PHP4.06 billion.  Return on
equity was pegged at 16.98%.

Moreover, the Bank had set aside general provisions worth
PHP322.71 million for probable losses on its loans, whereas
specific provisions amounted to PHP3.11 billion.

                         About UnionBank

Union Bank of the Philippines -- http://www.unionbankph.com/--  
offers a wide range of products and services to both corporate
and individual clients.  Its core businesses are payment
services, corporate cash management foreign exchange, capital
markets, corporate finance and consumer finance.  It is also
engaged in investment management, trust banking, insurance
brokerage, currency brokerage, private banking, pre-need
products marketing, investment banking and financial advisory
and real property development and marketing via Union
Properties, Inc.

Moody's Investors Service gave UnionBank 'Ba3' Senior Unsecured
Debt and Long-Term Bank Deposits Ratings effective May 25, 2006.


UNION BANK: Net Income Falls 27% to PHP1.1 Billion in June 2006
---------------------------------------------------------------
Union Bank of the Philippines posted a 27% decline in net income
for the first half of 2006 to PHP1.1 billion from PHP1.5 billion
for the same period last year, the Manila Bulletin states.

The Philippine Star reports that, in a disclosure to the
Philippine Stock Exchange, Union Bank attributed the earnings
drop to expenses related to its acquisition of rival
International Exchange Bank as well as falling domestic interest
rates, although consumer finance, cash management, and capital
markets businesses contributed to income.

The Bulletin says that Union Bank had purchased a 98.8% stake in
International Exchange Bank on June 5, 2006, in a special block
sale through the Stock Exchange.  The Bank expects the merger to
create the 7th largest private universal bank in the industry
with assets close to PHP170 billion and an almost PHP100-billion
deposit base.

The Bank's non-performing loans cover reached 83% against the
industry average of 78% on reserves of PHP140 million for loan
losses, the Star relates.  Return on average equity stood at
12%, whereas return on average assets was pegged at 2% in the
first half this year and total resources increased to
PHP108 billion from PHP105 billion last year.

Union Bank's net income had increased slightly in 2005 to
PHP2.76 billion from PHP2.28 billion the previous year.  The
Bank aims to be one of the top three universal banks by 2010 on
an average annual income growth of up to 30%.

                         About UnionBank

Union Bank of the Philippines -- http://www.unionbankph.com/--  
offers a wide range of products and services to both corporate
and individual clients.  Its core businesses are payment
services, corporate cash management foreign exchange, capital
markets, corporate finance and consumer finance.  It is also
engaged in investment management, trust banking, insurance
brokerage, currency brokerage, private banking, pre-need
products marketing, investment banking and financial advisory
and real property development and marketing via Union
Properties, Inc.

Moody's Investors Service gave UnionBank 'Ba3' Senior Unsecured
Debt and Long-Term Bank Deposits Ratings effective May 25, 2006.


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

INFORMATICS HOLDINGS: Cuts Losses by 29% in First Quarter FY07
--------------------------------------------------------------
Informatics Holdings Ltd slashed its net losses by 29% or
SGD1.15 million in first quarter fiscal year ended 2007, to
SGD2.8 million.  With the latest quarter's improvement, the
Group has managed to cut its net losses in five out of the past
six quarters.

The Group's loss from operations was down by 34% to SG$2.9
million from SGD4.3 million compared with the same period last
year.  The operating loss reduction was achieved by a 21.1%
reduction in staff costs, fixed asset depreciation and other
operating expenses to SGD14.6 million, in spite of a 17% decline
in operating revenue to SGD11.7 million.

The fall of SGD2.4 million in Group operating revenue was mainly
due to the rationalization exercise in the Malaysian operations,
disposal of ATS business in November 2005, and poor performance
in e-learning business segment. Some of these decreases in
revenue were offset by encouraging growth shown in Hong Kong,
Singapore and Sri Lanka school operations, as well as the
Group's European operations.

Mr. Val Ortega, the Group's Acting Chief Executive Officer, says
that in spite of the challenging conditions in which the Group
continues to operate, its performance during first quarter 2007
had been encouraging. While the tight leash on costs and
expenses continues to bear fruits, revenue performance showed
further improvement in the key territories of Hong Kong,
Singapore and Sri Lanka, at the same time as the validation unit
in the United Kingdom has also contributed to the encouraging
showing.

During this period, fees received in advance (course fee revenue
deferred to future periods) increased by SGD0.8 million to
SGD19.0 million. The Group's balance sheet reflected a net
liability position of SGD17.1 million as at June 30, 2006.
However, excluding the deferred course fee revenue, the Group's
balance sheet would have shown a net asset position of SGD1.9
million as of June 30, 2006.

Consistent with the Group's focus and to better reflect its core
business activity, the Company adopted the name Informatics
Education Ltd in place of Informatics Holdings Ltd. The name
change was approved at its recent Extraordinary General Meeting
held on July 31, 2006, and became effective on the same day. The
change in name of the Company will provide a clearer identity
for the Group with a renewed emphasis on the core business of
education and providing a strong foundation to achieve its
vision of becoming a global leader in providing quality lifelong
learning services for individuals and corporations.

Going forward, Mr. Val added that the Group has managed to
sustain its improvement in cost control and operational
efficiency in first quarter 2007.  Efforts will be continued on
revenue growth through product development, new market
penetration, as well as improvement in financial and operational
management control systems.

The Board noted that the Group's financial position has improved
after the latest rights issue. However, its NTA remains
negative, due to current and past losses. It may need to raise
additional funds by issuing equity via another rights issue or
private placement.

The Group may also consider entering into strategic partnerships
to enhance its core business, which may entail fresh equity
injection into the Company. These efforts may comprise
approaching other parties including the Berjaya Companies.

             About Informatics Holdings Limited

Informatics Holdings Ltd -- http://www.informatics.edu.sg/--  
was established in 1983, in response to Asia's economic growth
fostering tremendous demands for skilled Information Technology
manpower and knowledge-based workers to build and sustain the
rapid economic development in the region.  Informatics' core
business activities are training and education, IT-related
services and franchise operations.  Informatics was at the
center of a scandal that began in mid-April 2004 when it
admitted that it has overstated profits and understated costs
for the nine months ended December 2003 in its quarterly
financial statement.  The scandal started a string of losses for
the education services provider.  Informatics Holdings, however,
managed to cut its losses for the fourth successive quarter in
its third-quarter financial results for the fiscal year 2006.  

Due to continued financial support from majority shareholder
Berjaya and efforts to sell non-core assets, Informatics
Holdings hopes to get back to black by continuing to increase
revenue and control costs.  The Company is currently looking
into agreements with underwriters on an earlier proposed rights
issue, in order to raise working capital.

As reported by the Troubled Company Reporter- Asia Pacific, on
June 1, 2006, Informatics Holdings slashed its net losses by 68%
or SGD48.4 million from SGD71.2 million in fiscal year ended
March 31, 2005, to SGD22.8 million in fiscal year ended
March 31, 2006.


INTEGRATED ENVIRONMENTAL: Court to Hear Wind-Up Petition
--------------------------------------------------------
On July 17, 2006, Schneider Electric Singapore Pte Ltd filed
before the High Court of Singapore a petition to wind up
Integrated Environmental Solutions.

The wind-up petition will be heard on August 11, 2006, at
11:00 a.m.

The Petitioner's solicitor can be reached at:

         Messrs Axel Chan & Co
         No. 83 Clemenceau Avenue
         # 13-02 UE Square
         Singapore 239920


MAE ENGINEERING: Appoints Financial Officer and Vice President
--------------------------------------------------------------
MAE Engineering Ltd has appointed Lim Leong Kiat as the
Company's new Chief Financial Officer and Executive Vice
President.  The appointment will take effect on August 15, 2006.

In the past ten years, Mr. Lim held top positions in big firms
such as SHC Capital Limited, Cathay Organisation Holdings and
Singapore Press Holdings Ltd Group.

                About MAE Engineering Limited

Headquartered in Singapore, MAE Engineering Limited is engaged
in the provision of integrated electrical and mechanical
engineering services including designing, planning and
procurement.  These services are categorized into electrical
installations, mechanical installations, electrical power supply
installations, instrumentation and building automation as well
as maintaining electrical and mechanical systems.  The Group
also offers consulting and specialist services to oceanariums
and aquariums.  The Group has disposed off its prawn and fish
farming as well as edutainment businesses, after suffering
accumulated losses of SGD48 million as of September 30, 2005.  
The Company also suffered a liquidity crunch since September 30,
2005, when its total current liabilities of SGD23,695,000
exceeded its total current assets of SGD5,582,000.

As of March 31, 2006, the Company's balance sheet showed
SGD7,404,000 in total assets and SGD27,257,000 in total
liabilities, resulting in a SGD19,853,000 stockholders' equity
deficit.  The Company's March 31 balance sheet also revealed
strained liquidity with SGD6,346,000 in total current assets
available to pay SGD27,200,000 in total current liabilities
coming due within the next 12 months.


REFCO INC: Chap 7 Trustee Wants Court to Wind Down Refco Trading
----------------------------------------------------------------
Albert Togut, the Court-appointed Chapter 7 trustee for Refco,
LLC's estate, seeks the Bankruptcy Court's authority to complete
a wind-down and dissolution of Refco Trading Services, LLC's
business operations in accordance with Delaware laws.

Refco Trading was formed in 2003 when Refco, Inc., acquired
United Kingdom-based MacFutures, a day-trading business engaging
in commodity futures and options.

Refco Trading followed a similar model to MacFutures and became
Refco LLC's proprietary trading subsidiary.  Most Refco Trading
employees traded using accounts funded by Refco LLC, and only a
few workers had any customer accounts.

Like the Refco Trading proprietary accounts, any third-party
customer accounts were settled on a daily basis to the extent
that the business day would rarely, if ever, end with Refco
Trading having any open trade positions, Scott E. Ratner, Esq.,
at Togut, Segal & Segal LLP, in New York, relates.

Before the Petition Date, Refco Trading had over 100 employees
and business operations in Montreal, Canada; Chicago, Illinois;
and Miami, Florida.  Refco Trading hired employees, trained them
using a proprietary training system, and provided an account
with which to trade. Most of the employees were paid a flat
salary and traded on an account that was settled on a daily
basis.

The traders also received profit percentages of successful
trades as additional remuneration.  Consistent with their
Acquisition Agreement, Man Financial, Inc., has hired most or
all of Refco Trading's former employees.

Refco Trading ceased all trading operations after the Petition
Date.

Refco Trading currently holds approximately $1,600,000 in cash.
The company's liabilities are uncertain, but Mr. Togut believes
that there may be intercompany obligations.  Refco Trading
participated in an intercompany cash management system that paid
the company's obligations to outside sources and repaid the
obligations with intercompany receivables.  Mr. Togut also
believes that there may be liabilities to Canadian taxing
authorities.

Specifically, Mr. Togut proposes to direct certain actions as
are necessary and appropriate to Refco Trading's dissolution and
wind-down, including:

   (a) preparation of accounting reports, statements of receipts
       and disbursements and income statements;

   (b) preparation, signing, and filing of any tax returns in
       the United States or Canada;

   (c) appearances before any governmental authority as may be
       necessary to effectuate a legal wind-down;

   (d) adjudication and resolution of any claims asserted
       against Refco Trading and authorization for payment of
       any allowed claims from Refco Trading's assets to the
       extent required by law; and

   (e) performing any other related tasks as may be necessary to
       effectuate a proper and legal wind-down and dissolution.

Mr. Togut also seeks to pay, without further Court order, all
necessary costs and expenses incurred in connection with the
wind-down, provided that any payments will be made from Refco
Trading's assets, and not those of Refco LLC's estate.

Furthermore, Mr. Togut asks Judge Drain for qualified immunity
from personal liability for his actions in furtherance of Refco
Trading's wind-down.

According to Mr. Togut, Refco LLC's ownership interest in Refco
Trading is an asset of its Chapter 7 estate.  To the extent that
Refco Trading is solvent, its remaining assets will inure to
Refco LLC's benefit.  Therefore, Refco Trading's wind-down and
dissolution pursuant to Delaware laws is consistent with
Mr. Togut's duty to "collect and reduce to money the property of
the estate" under Section 704(a)(1) of the Bankruptcy Code.

Considering that the scope of Refco Trading's assets and
liabilities are unknown, Mr. Togut insists that he must wind
down Refco Trading to determine whether there are any residual
assets that will flow to Refco LLC's estate.

                       About Refco Inc.

Based in New York, Refco Inc. -- http://www.refco.com/-- is a  
diversified financial services organization with operations in
14 countries and an extensive global institutional and retail
client base.  Refco's worldwide subsidiaries are members of
principal United States and international exchanges, and are
among the most active members of futures exchanges in Chicago,
New York, London and Singapore.  In addition to its futures
brokerage activities, Refco is a major broker of cash market
products, including foreign exchange, foreign exchange options,
government securities, domestic and international equities,
emerging market debt, and OTC financial and commodity products.  
Refco is one of the largest global clearing firms for
derivatives.

The Company and 23 of its affiliates filed for Chapter 11
protection on Oct. 17, 2005 (Bankr. S.D.N.Y. Case No. 05-60006).
J. Gregory Milmoe, Esq., at Skadden, Arps, Slate, Meagher & Flom
LLP, represent the Debtors in their restructuring efforts.  Luc
A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP,
represents the Official Committee of Unsecured Creditors.  Refco
reported US$16.5 billion in assets and US$16.8 billion in debts
to the Bankruptcy Court on the first day of its Chapter 11
cases.

Refco LLC, an affiliate, filed for Chapter 7 protection on
Nov. 25, 2005 (Bankr. S.D.N.Y. Case No. 05-60134).  Refco, LLC,
is a regulated commodity futures company that has businesses in
the United States, London, Asia and Canada.  Refco, LLC, filed
for bankruptcy protection in order to consummate the sale of
substantially all of its assets to Man Financial Inc., a wholly
owned subsidiary of Man Group plc.  Albert Togut, the Chapter 7
trustee, is represented by Togut, Segal & Segal LLP.

On April 13, 2006, the Court appointed Marc S. Kirschner as
Refco Capital Markets Ltd.'s Chapter 11 trustee.  Mr. Kirschner
is represented by Bingham McCutchen LLP.  RCM is Refco's
operating subsidiary based in Bermuda.

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).  


REFCO INC: Files June 2006 Statement of Cash Disbursements
----------------------------------------------------------
In lieu of comprehensive financial statements, Refco, Inc., and
its debtor-affiliates delivered to the Bankruptcy Court a
monthly statement of their cash receipts and disbursements for
the period from June 1 to 30, 2006.

Peter F. James, controller of Refco, reports that the company
holds a beginning cash balance of US$1,357,526,000 during the
reporting period.  Refco received US$36,191,000 and disbursed
US$21,584,000 in cash.  Refco's ending cash balance totals
US$1,372,133,000.

As paying agent for certain non-debtors and Refco, LLC, the
Debtors disbursed approximately US$3,200,000.

Refco also paid $662,000 in gross wages, of which US$354,000 was
paid on behalf of and reimbursed by the Non-Debtors and Refco
LLC.
     
Mr. James discloses that Refco withheld US$204,000 in employee
payroll taxes, of which US$30,000 was remitted to a third party
vendor.  
  
Mr. James states that all taxes due and owing, as well as tax
returns, have been paid and filed for the current period.

Refco paid US$7,252,000 for professional fees for June, and
US$18,073,000 since the Petition Date.  The Debtors did not pay
professional fees on Refco LLC's behalf.

Mr. James says all insurance policies are fully paid for the
current period, including amounts owed for workers' compensation
and disability insurance.

A full-text copy of Refco's June 2006 Monthly Statement is
available at no charge at:

              http://researcharchives.com/t/s?e19

                        About Refco Inc.

Based in New York, Refco Inc. -- http://www.refco.com/-- is a  
diversified financial services organization with operations in
14 countries and an extensive global institutional and retail
client base.  Refco's worldwide subsidiaries are members of
principal United States and international exchanges, and are
among the most active members of futures exchanges in Chicago,
New York, London and Singapore.  In addition to its futures
brokerage activities, Refco is a major broker of cash market
products, including foreign exchange, foreign exchange options,
government securities, domestic and international equities,
emerging market debt, and OTC financial and commodity products.  
Refco is one of the largest global clearing firms for
derivatives.

The Company and 23 of its affiliates filed for Chapter 11
protection on Oct. 17, 2005 (Bankr. S.D.N.Y. Case No. 05-60006).
J. Gregory Milmoe, Esq., at Skadden, Arps, Slate, Meagher & Flom
LLP, represent the Debtors in their restructuring efforts.  Luc
A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP,
represents the Official Committee of Unsecured Creditors.  Refco
reported US$16.5 billion in assets and US$16.8 billion in debts
to the Bankruptcy Court on the first day of its Chapter 11
cases.

Refco LLC, an affiliate, filed for Chapter 7 protection on
Nov. 25, 2005 (Bankr. S.D.N.Y. Case No. 05-60134).  Refco, LLC,
is a regulated commodity futures company that has businesses in
the United States, London, Asia and Canada.  Refco, LLC, filed
for bankruptcy protection in order to consummate the sale of
substantially all of its assets to Man Financial Inc., a wholly
owned subsidiary of Man Group plc.  Albert Togut, the Chapter 7
trustee, is represented by Togut, Segal & Segal LLP.

On April 13, 2006, the Court appointed Marc S. Kirschner as
Refco Capital Markets Ltd.'s Chapter 11 trustee.  Mr. Kirschner
is represented by Bingham McCutchen LLP.  RCM is Refco's
operating subsidiary based in Bermuda.

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).  
                        

SEE HUP SENG: Welcomes New Executive Director & Chief Executive
---------------------------------------------------------------
See Hup Seng Limited has appointed Yap Sew as the Company's new
executive director and chief executive officer. The appointment
will take effect on August 5, 2006.

Mr. Yew will be responsible for the overall management and the
day-to-day operations of the Group.  

Before joining See Hup Seng, Mr. Yap was managing director of
Speedo Corrosion Control Pte Ltd.  He had been with Speedo
Corrosion Pte Ltd from 1983 to 2006.  Speedo Corrosion Pte Ltd
engages in the principal business of contractors for and
consultants of corrosion control services for the marine and
offshore industries.   

Mr. Yap and his spouse hold 12,000,000 and 2,000,000 ordinary
shares respectively in See Hup Seng.  

                About See Hup Seng Limited

See Hup Seng Limited -- http://www.seehupseng.com.sg/-- is  
engaged in the provision of corrosion prevention services
through a range of marine and industrial blasting and coating
methods.  Its other activities are the provision of tank
cleaning, painting and coating, ship repair, shipbuilding and
scaffolding services, trading and manufacturing of blasting and
painting equipment and investment holding.  The Group is
domiciled in Singapore and markets its products and services
domestically and in the People's Republic of China, Hong Kong
and Cayman Islands.   

The Group's balance sheet as of December 31, 2005, revealed
strained liquidity, with SGD12.8 million in current assets
available to pay SGD28.5 million of current liabilities coming
due within the next 12 months.  As of December 31, 2005, the
Group incurred accumulated losses of SGD28 million.

As reported in the Troubled Company Reporter - Asia Pacific on
May 24, 2006, See Hup Seng Limited's auditors, Messrs Moore
Stephens, highlighted a going concern issue for the Company
after auditing its financial statements for the year ended
December 31, 2005.  


SNP RETAIL: Liquidator to Present Wind-Up Report on August 28
-------------------------------------------------------------
The members and creditors of SNP Retail Pte Ltd will hold a
final meeting on August 28, 2006, at 10:00 a.m.

At the meeting, creditors will receive Liquidator Chia Soo
Hein's account on the liquidation proceedings and the manner of
property disposal.

The Liquidator can be reached at:

         Chia Soo Hien
         c/o BDO Raffles
         5 Shenton Way
         # 07-01 UIC Building
         Singapore 068808


UNITY BUILDER: Creditors' Proofs of Debt Due on August 11
---------------------------------------------------------
The creditors of Unity Builder Pte Limited are required to prove
their debts by August 11, 2006.

Failure to comply with the requirement will exclude any creditor
from sharing in any distribution the Company will make.

The assistant official receiver can be reached at:

         Moey Weng Foo
         The URA Centre (East Wing)
         45 Maxwell Road #06-11
         Singapore 069118


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

THAI PETROCHEMICAL: Units Delay Financial Report Submission
-----------------------------------------------------------
Thai Petrochemical Industry PLC President Piti Yimprasert says
that management teams at five subsidiaries are refusing to hand
over their financial results, putting the Company and other
subsidiaries shares at risk of being suspended from trading, The
Nation reports.

Companies listed with the SET are required to submit non-
consolidated and consolidated results within a specified time
frame, or risk having their share trading suspended with the
posting of an "SP" sign, The Nation relates.

Thus, according to The Nation, Thai Petrochem had asked the
Stock Exchange of Thailand's approval to submit only a non-
consolidated financial result for the second quarter of 2006.

Mr. Yimprasert told The Nation that the consolidated results
should be supplied to the stock exchange after Thai Petrochem
completes the registration with the Commerce Ministry of new
boards at the five subsidiaries.

"We are taking over the five subsidiaries' boards of directors
as soon as possible," Mr. Yimprasert said. "So far, we have been
unable to do anything -- even to call for a shareholders'
meeting to change the directors."

In order to call for a shareholders' meeting, consent of at
least two directors is required, The Nation notes.  However, Mr.
Yimprasert relates that they have two directors representing PTT
Plc and its partners, who took over a majority stake in Thai
Petrochem, at only two of the subsidiaries and only one director
at the remaining three.

Thai Petrochem exercised its legal right as the major
shareholder of the five companies to call for a meeting on July
5.  A resolution to revamp the subsidiaries' boards has been
presented to the Commerce Ministry, but the registration of the
new boards is not yet complete.

"If we have problems with the registration of the new boards,
within three or four months we will stop supplying raw materials
to the subsidiaries," Mr. Yimprasert said.

Thai Petrochem is ready to terminate the supply within three or
four months, after hearing from the Commerce Ministry.  "We
won't wait for one or two years.  We can handle this
immediately, but so far we have done nothing because we don't
want to lose the clients," Mr. Yimprasert added.

Thai Petrochem had earlier warned TPI Oil Co., a wholly owned
subsidiary which owes its parent firm an aggregate of
THB1.94 billion, to pay its debts or Thai Petrochem would
terminate its oil supply.

                          *     *     *

Headquartered in Bangkok, Thailand, Thai Petrochemical Industry
Plc -- http://www.tpigroup.co.th/-- is the leading integrated  
petrochemical company in the country, producing naphtha,
liquefied petroleum gas, and lubricant oils.  The Thai
Government was reorganizing the bankrupt company, which had
defaulted on $2.7 billion in loans, until PTT Plc, Thailand's
largest oil and gas group, and Thailand's biggest company,
purchased a 31.5% stake in Thai Petrochemical late in 2005.  In
December 2005, PTT and three other state agencies completed
payment for a 61.5% stake on in Thai Petrochemical.  The money
was used to pay for a bulk of the Company's defaulted loans. The
Company has since been trying to get out of restructuring.

The Troubled Company Reporter - Asia Pacific reported on
April 28, 2006, that the Central Bankruptcy Court of Thailand
approved Thai Petrochemical's exit from business rehabilitation.  
The Court ruled that the business rehabilitation plan of Thai
Petrochemical and its six subsidiaries -- Thai ABS Co; TPI
Aromatics Plc; TPI Oil Co; TPI Polyol Co; Thai Polyurethane
Industry Plc; and TPI Energy Co. -- be terminated.


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

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

AUSTRALIA

Acma Engineering & Const.
   Group Limited                  ACX        21.39      -2.24
Allstate Explorations NL          ALX        12.65     -51.62
Austar United Communications Ltd. AUN       231.54     -52.58
Global Wine Ventures Limited      GWV        22.04      -0.84
Hutchison Telecommunications
   (Aust) Ltd.                    HTA      1696.65    -786.31
Indophil Resources NL             IRN        37.79     -69.96
Intellect Holdings Limited        IHG        23.98     -11.13
Namberry Limited                  NMB        15.12      -4.26
Orbital Corporation Limited       OEC        14.01      -4.86
RMG Limited                       RMG        22.33      -2.16
Stadium Australia Group           SAX       135.23     -41.84
Tooth & Company Limited           TTH        99.25     -74.39
Tourism, Hotels & Leisure Ltd.    TLC        15.76      -0.66

CHINA AND HONG KONG

Artel Solutions Group
  Holdings Limited                931        29.19     -18.65
Asia Telemedia Limited            376        10.89      -5.50
Anhui Feicai Vehicle Co. Ltd.     887       129.80      -7.00
Bestway International             718        25.00      -0.67
Chang Ling Group                  561        77.48     -76.83
Chengdu Book - A               600083        21.50      -3.07
China Liaoning International
  Cooperation Holdings Ltd.       638        25.79     -43.45
China Kejian Co. Ltd.              35        54.71    -179.23
Datasys Technology Holdings      8057        14.10      -2.07
Eforce Holdings Limited           943        10.31      -0.51
Everpride Biopharmaceutical
   Company Limited               8019        10.16      -2.16
Fujian Changyuan Investment
   Holdings Limited               592        31.36     -54.04
Gold-Face Holdings Limited        396        40.60     -63.11
Guangdong Meiya Group
   Company Ltd.                   529       107.16     -49.54  
Guangdong Sunrise Group
   Company Ltd-A                   30        35.98    -182.94
Guangdong Sunrise Group
   Co. Ltd-B                   200030        35.98    -182.94
Guangxi Wuzhou Zhongheng
   Group Co Ltd.                  557        62.19    -115.50
Hainan Dadonghai Tourism          613        19.74      -5.81
Hainan Dadongh-B               200613        19.74      -5.81
Hainan Overseas Chinese
   Investment Co. Ltd.         600759        32.70     -15.28
Hans Energy Company Limited       554        94.75     -10.76
Heilong Jiang Long Di Co. Ltd.    832       134.62     -61.22
Heilongjiang Sun & Field
   Science & Tech.                620        29.96     -49.18
Heilongjiang Black Dragon
   Co. Ltd.                    600187       121.30     -74.45
Hualing Holdings Limited          382       242.26     -28.15
Huda Technology & Education
   Development Co. Ltd.        600892        17.29      -0.19
Hunan Anplas Co., Ltd.            156        94.17     -65.04
Hunan GuoGuang Ceramic
   Co., Ltd.                   600286        87.44     -68.55
Innovo Leisure Recreation
   Holdings Ltd.                  703        13.68      -2.01
Jiangsu Chinese.com Co. Ltd.      805        15.86     -34.56
Jiangxi Paper Industry
   Co. Ltd                     600053        19.58     -12.80
Loulan Holdings Limited          8039        13.01      -1.04
Magnum International Holdings
   Limited                        305        10.35      -5.83
Mindong Electric Group Co., Ltd.  536        21.63      -1.50
New City (Beijing) Development
   Limited                        456       151.61     -19.15
New World Mobile Holdings Ltd     862       215.47    -126.57
Orient Power Holdings Ltd.        615       176.86     -64.20
Plus Holdings Ltd                1013        24.00      -3.15
Prosperity International
   Holdings (HK) Limited         8139        10.73      -2.45
Shandong Jintai Group Co. Ltd.  600385       19.58     -12.18
Shanghai Xingye Housing
   Company Ltd                 600603        14.90     -72.98
Shenyang Hejin Holding
   Company Ltd.                   633        83.18     -20.87
Shenz China Bi-A                   17        39.13    -224.64
Shenz China Bi-B               200017        39.13    -224.64
Shenzhen Dawncom Business Tech
   And Service Co., Ltd           863        79.84     -37.30
Shenzhen Shenxin Taifeng Group
   Co. Ltd.                        34        95.27     -44.65
Shenzen Techo Telecom Co., Ltd.   555        14.84      -6.25  
Sichuan Changjiang Packaging
   Holding Co. Ltd.            600137        13.11     -72.76
Sichuan Topsoft Investment
   Company Limited                583       113.12    -148.61
SMI Publishing Group Ltd.        8010        10.48      -7.83
Songliao Automobile Co. Ltd.   600715        49.56      -3.76
Sun's Group Manufacturing
   Company Limited                988       103.02     -72.80
Taiyuan Tianlong Group Co.
   Ltd                         600234        13.47     -87.63
Theme International
   Holdings Limited               990        22.46      -0.77
UDL Holdings Limited              620        12.48      -7.15
Wealthmark International
   (Holdings) Limited              39        11.32      -2.43
Winowner Group Co. Ltd.        600681        38.03     -62.88
Xinjiang Hops Co. Ltd          600090       101.34    -135.99
Yantai Hualian Development
   Group Co. Ltd.              600766        59.99      -7.66
Yueyang Hengli Air-Cooling
   Equipment Inc.                 622        49.89     -17.71
Zarva Technology Co. Ltd.         688       101.76    -102.01

INDIA

PT Dharmala Intiland             DILD       197.91      -6.62

INDONESIA

Ades Waters Indonesia Tbk        ADES        21.35      -8.93
Bukaka Teknik Utama Tbk          BUKK        44.45    -107.00
Hotel Sahid Jaya                 SHID        71.05      -4.26
Jakarta Kyoei Ste                JKSW        44.72     -38.57
Mulialand Tbk                    MLND       160.45     -19.82
Multibreeder Adirama Indonesia   MBAI        64.54      -2.31
Pakuwon Jati Tbk                 PWON       188.41     -50.78
Panca Wiratama Sakti Tbk         PWSI        39.72     -18.82
PT Steady Safe                   SAFE        19.65      -2.43
PT Toba Pulp Lestrari Tbk        INRU       403.58    -198.86
PT Unitex Tbk                    UNTX        29.08      -5.87
PT Voksel Electric Tbk           VOKS        44.01     -11.74
PT Wicaksana Overseas
   International Tbk             WICO        84.36     -32.88
Sekar Bumi Tbk                   SKBM        23.07     -41.95
Steady Safe Tbk                  SAFE        19.65      -2.43
Suba Indah Tbk                   SUBA        85.17      -9.18
Surya Dumai Industri Tbk         SUDI       105.06     -30.49
Unitex Tbk                       UNTX        29.08      -5.87

JAPAN

Hanaten Co., Ltd.                9870       167.79      -1.63
Mamiya-OP Co., Ltd.              7991       152.37     -67.11
Montecarlo Co. Ltd.              7569        66.29      -3.05
Nihon Seimitsu Sokki Co., Ltd.   7771        23.82      -1.10
Sumiya Co., Ltd.                 9939        89.32     -11.57
Tenryu Lumber Co., Ltd.          7904       187.75     -44.48
Tokai Aluminum Foil Co., Ltd.    5756       106.49     -12.55
Yakinikuya Sakai Co., Ltd.       7622        79.44     -11.14

MALAYSIA

Antah Holdings Bhd                ANT       241.10     -39.36
CHG Industries Bhd                CHG        25.95     -41.38
Cygal Bhd                         CYG        58.47     -69.79
Comsa Farms Bhd                   CFB        63.60      -5.00
Consolidated Farms Berhad       CFARM        36.32     -17.21
Emico Holdings Bhd                EMI        42.56      -1.92
Jin Lin Wood Industries Berhad    JLW        21.68      -1.74
Kig Glass Industrial Berhad       KIG        15.76     -24.61
Lankhorst Bhd                    LKHT        25.91     -28.35
Mentiga Corporation Berhad       MENT        22.13     -18.25
Metroplex Bhd                     MEX       323.51     -49.28
Mycom Bhd                         MYC       227.68    -114.64
Lityan Holdings Bhd               LIT        22.22     -19.11
Olympia Industries Bhd           OLYM       255.84    -227.85
Panglobal Bhd                     PGL       189.92     -50.36
Park May Bhd                      PMY        11.04     -13.58
PSC Industries Bhd                PSC        62.80    -116.18
Setegap Berhad                    STG        19.92     -26.88
Tru-Tech Holdings Berhad          TRU        15.86     -16.71
Wembley Industries Holdings Bhd   WMY       111.72    -204.61

PHILIPPINES

APC Group Inc.                    APC        67.04    -163.14
Atlas Consolidated Mining and
   Development Corp.               AT        33.59     -57.17
Cyber Bay Corporation            CYBR        11.54     -58.06
East Asia Power Resources Corp.   PWR        92.55     -64.61
Fil-Estate Corporation             FC        33.30      -5.80
Filsyn Corporation                FYN        19.20      -8.83
Filsyn Corporation               FYNB        19.20      -8.83
Global Equities Inc.              GEI        24.18      -1.81
Gotesco Land, Inc.                 GO        17.34      -9.59
Gotesco Land, Inc.                GOB        17.34      -9.59
Prime Media Holdings Inc.        PRIM        11.12     -15.52
Prime Orion Philippines Inc.     POPI        98.36     -74.34
Swift Foods Inc.                  SFI        26.95      -8.23
Unioil Resources & Holdings             
   Company Inc.                   UNI        10.64      -9.86
United Paragon Mining Corp.       UPM        21.19     -21.52
Universal Rightfield Property
   Holdings Inc.                   UP        45.12     -13.48
Uniwide Holdings Inc.              UW        61.45     -30.31
Victorias Milling Company Inc.    VMC       127.83     -32.21
Vitarich Corporation             VITA        75.04      -4.27

SINGAPORE

ADV Systems Auto                  ASA        14.32      -8.54
China Aviation Oil (Singapore)
   Corporation                    CAO       211.96    -390.07
Compact Metal Industries Ltd.     CMI        54.36     -25.64
Digiland Intl.                   DIGI        31.32     -11.94
Falmac Limited                    FAL        10.90      -0.73
Gul Technologies Singapore
   Limited                        GUL       152.80     -27.74
Informatics Holdings Ltd         INFO        22.30      -9.14
L&M Group of Companies            LNM        56.91     -10.59
Liang Huat Aluminium Ltd.         LHA        19.30     -76.43
Lindeteves-Jacoberg Limited        LJ       225.52     -53.23
LKN-Primefield Limited            LKN       150.70     -12.72
Mae Engineering Ltd               MAE        11.42      -7.79
PDC Corporation Limited           PDC         0.72     -12.07
Pacific Century Regional          PAC      1381.26    -107.11
See Hup Seng Ltd.                 SHS        17.36      -0.09

SOUTH KOREA

C & C Enterprise Co. Ltd.       38420        28.05     -14.50
Cenicone Co. Ltd.               56060        36.82      -1.46
Cheil Entech Co. Ltd.           53330        37.25      -0.31
Dewell Elecom Inc.              32590        10.93      -6.92
Everex Inc.                     47600        23.15      -5.10
EG Greentech Co.                55250       186.00      -1.50
EG Semicon Co. Ltd.             38720       166.70     -12.34
Inno Metal Inc.                 70080        25.61       1.41
KP&L Company Limited             9810        15.03      -3.81
Radix Co. Ltd.                  16160        53.78     -17.69
Quality & Tech                  15260        32.33      -1.14
Shinil Industrial Co., Ltd.      2700        41.51      -3.44
Tong Yang Major                  1520      2332.81     -86.95

THAILAND

Bangkok Rubber PCL                BRC        70.19     -56.98
Bangkok Rubber PCL              BRC/F        70.19     -56.98
Central Paper Industry PCL      CPICO        40.41     -37.02
Central Paper Industry PCL    CPICO/F        40.41     -37.02
Circuit Electronic
   Industries PCL              CIRKIT        20.37     -64.80
Circuit Electronic
   Industries PCL            CIRKIT/F        20.37     -64.80
Daidomon Group Pcl              DAIDO        12.92      -8.51
Daidomon Group Pcl            DAIDO/F        12.92      -8.51
Datamat PCL                       DTM        17.55      -1.72
Datamat PCL                     DTM/F        17.55      -1.72
Diana Department Store Pcl      DIANA        12.71      -1.71
Diana Department Store Pcl    DIANA/F        12.71      -1.71
Everland Public Company Ltd      EVER        56.71    -311.47
Everland Public Company Ltd    EVER/F        39.12     -12.05
Hantex PCl                        HTX         7.51      -7.88
Hantex PCl                      HTX/F         7.51      -7.88
Kuang Pei San Food Products
   Public Co.                  POMPUI        12.51      -9.87
Sahamitr Pressure Container
   Public Co. Ltd.               SMPC        20.77     -28.13
Sri Thai Food & Beverage Public
   Company Ltd                    SRI        18.29     -43.37
Sri Thai Food -F                SRI/F        18.29     -43.37
Tanayong PCL                    TYONG       178.27    -734.30
Tanayong PCL -F               TYONG/F       178.27    -734.30
Thai-Denmark PCL                DMARK        21.37     -18.88
Thai-Denmark -F               DMARK/F        21.37     -18.88
Thai-Wah PCL                      TWC        91.56     -41.24
Thai-Wah PCL -F                 TWC/F        91.56     -41.24


                            *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.  
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.  
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N
   
Troubled Company Reporter - Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Catherine Gutib, Valerie Udtuhan, Francis
Chicano, Erica Fernando, Reiza Dejito, Freya Natasha Fernandez,
and Peter A. Chapman, Editors.

Copyright 2006.  All rights reserved.  ISSN: 1520-9482.
   
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
   
TCR-AP subscription rate is $575 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are $25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.
   
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