TCRAP_Public/060821.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  

             Monday, August 21, 2006, Vol. 9, No. 165

                            Headlines

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

ABN EXCAVATIONS: Court Orders Wind Up
ABPACK FISH: Members Pass Resolution to Wind Up Firm
ADMIRAL PLANNING: Appoints Andrew Fielding as Liquidator
AIR NEW ZEALAND: Plans to Outsource Finance Jobs, SFWU Says
AN YING INTERNATIONAL: Court to Hear Liquidation Bid on Aug. 24

ARAB BANK AUSTRALIA: Fitch Affirms Individual Rating at C/D
AUSTRALIAN HYPERBARIC: Appoints Receiver and Manager
BPJP NOMINEES: Placed Under Members' Voluntary Liquidation
BRADLEY HOLDINGS: Creditors Appoint Travaglini as Liquidator
BROUWER PTY: Members' Final Meeting Slated for September 11

CJR AND ASSOCIATES: Enters Wind-Up Proceedings
COX COMPANY: Members to Receive Wind-Up Report on September 6
DOWNTOWN DIRECTIONS: Creditors and Members to Meet on Sept. 12
ELGIN PARK: Members Opt to Shut Down Business
GLOBAL ENGINEERED: Talks on Customers' Rescue Package Fail

HERITAGE FINANCE: Court Hears CIR's Liquidation Bid Today
JNIEDI ENTERPRISES: Receivers and Managers Cease to Act
KARAGOLD PTY: Undergoes Voluntary Wind-Up
MACCOE LOGISTICS: Creditors' Proofs of Claim Due on August 29
MANLY APARTMENT: Courts Issues Wind-Up Order

MERRINDALE AUTOMOTIVE: Liquidator Cant to Present Wind-Up Report
MSC GUARDS: Names Oren Zohar and Brian McMaster as Liquidators
MULTIPLEX GROUP: Worries on Wembley Losses if it Loses in Court
NYLETTLE PTY: Receivers and Managers Step Aside
PETER HACKWORTHY: To Declare Dividend on September 8

QUEENSTOWN TAHITI: Faces Liquidation Proceedings
RETREAT FRANCHISING: Appoints Vartelas as Receiver and Manager
ROLLE ASSET: Creditors Resolve to Wind Up Operations
RONALD EDWARDS: Members Decide to Close Operations
ROTHSCHILD AUSTRALIA: Members Pass Resolution to Shut Down Firm

SANDOW TRANSPORT: Members to Hear Liquidator's Report on Sept. 8
SKYSEARCH PTY: Enters Liquidation Proceedings
TACTICAL EDGE: Creditors Appoint Official Liquidator
WARE NOMINEES: Enters Wind-Up Proceedings
WESTERN BAY: Receivers to Pay 10c in the Dollar by End-September

WESTERN BAY: Finance Now Still Interested to Buy Part of Assets
YTM PROPRIETARY: Receivers and Managers Cease to Act


C H I N A   &   H O N G  K O N G

ACTIVE GAINER: to Hear Wind-Up Bid on August 30
BENQ CORP: Taiwan Ratings Pares LT Credit Rating to twBB+
CHINA MERCHANTS: Gets Nod to Launch US$2-Billion IPO
CHINA SOUTHERN: Posts CNY825-Mil. Net Loss in First Half of 2006
CHINA SOUTHERN (SECURITIES): Court Formally Declares Bankruptcy

CNG LIMITED: Faces Wind-Up Proceedings
CORPSHINE INDUSTRIAL: Wind-Up Bid Hearing Set on September 13
DRAGON LINK: To Wind-Up Business Operations
EFFECT LEATHER: Court Orders Wind-Up
HI-SPEED TRANSPORTATION: Court Favors Wind-Up Bid

HOSHING TELECOM: Final Members Meeting Set on September 11
JOY RISE: Court to Hear Wind-Up Bid on September 27
SHEENSTAR LIMITED: Members Final Meeting Slated for September 11
SHENZHEN DEVELOPMENT: Posts CNY463-Mil Net Profit in First Half
WEALTHY DEVELOPMENT: High Court Issues Wind-Up Order


I N D I A

FORD MOTOR: Plans to Expand and Expedite Restructuring Plan
ORIENTAL BANK: Fitch Assigns BB+ LT Foreign Currency Rating
* India Halves FTA Exclusion List with ASEAN


I N D O N E S I A

ADARO INDONESIA: Annual Production Forecast at 33M Tons
ADARO INDONESIA: Plans to buy Malaysia's TNB Coal
ANEKA TAMBANG: Nickel Exploration Costs 32% More
ANEKA TAMBANG: Sales Double in Second Quarter
INCO LTD: Teck Cominco Withdraws Proposed Equity Offering

INCO LTD: Board Says CVRD Offer Could Be a Superior Proposal
MEDCO ENERGI: Posts US$55.1-Million Net Income in First Half


J A P A N

FALCONBRIDGE LTD: Xstrata Acquires 67.8% of the Company's Shares
FUJI HEAVY: Toyota May Provide Cars to Sell in Europe
JAPAN AIRLINES: To Hike Fuel Surcharges on Overseas Routes
LIVEDOOR: Court to Begin Former President's Trial Next Month
SOFTBANK CORPORATION: Inks Joint Venture Pact with SBI


K O R E A

DAEWOO ELECTRONICS: Five Firms Submit Final Offer


M A L A Y S I A

AYER HITAM: Unit Inks Joint Venture Deal to Develop Land
BIMB HOLDINGS: Bourse Grants More Time to Release 4Q Results
LIEN HOE: Pre-tax Loss Widens to MYR8.45 Mil. in 2nd Quarter
LIEN HOE: Lists and Quotes 1 Million New Shares
NAKAMICHI CORPORATION: Books MYR2.17-M Net Loss in 2nd Quarter

POLYMATE HOLDINGS: Given Until November to Submit Rehab Plan
PROTON HOLDINGS: To Declare Final Dividend


P H I L I P P I N E S

BANCO DE ORO: Philippines' Best for 2005, Asiamoney Says
GLOBE TELECOM: Fitch Upgrades Foreign Currency IDR To 'BB+'
PHILIPPINE LONG DISTANCE: Fitch Ups Issuer Default Rating to BB+
SAN MIGUEL: Shares Still Expensive, Analysts Say
SAN MIGUEL: Posts PHP121.6-Billion Net Sales Revenue for 1H2006

* The Philippines' PHP17 Billion July Budget Deficit is on Track


S I N G A P O R E

CELATO PTE: Enters Liquidation Proceedings
PDC Corp: June 30 Balance Sheet Reveals Stockholders' Deficit
PDC CORP: Notes Changes to Board
VAN HIN FURNITURE: Court to Hear Wind-Up Petition on September 1


T H A I L A N D

SRITHAI FOOD: SET Place Securities in Non-Performing Group


* Fitch Revises Country Ceilings for 40 Countries

     - - - - - - - -

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

ABN EXCAVATIONS: Court Orders Wind Up
-------------------------------------
The Federal Court of Australia made an order on July 21, 2006,
to wind up ABN Excavations Pty Ltd and appoint Steven Nicols as
liquidator.

The Liquidator can be reached at:

         Steven Nicols
         Level 2, 350 Kent Street
         Sydney, New South Wales 2000
         Australia


ABPACK FISH: Members Pass Resolution to Wind Up Firm
----------------------------------------------------
The members of Abpack Fish Exports Pty Ltd held a general
meeting on July 27, 2006, and passed a special resolution to
wind up the Company's operations.

In this regard, Bruce N. Mulvaney was appointed as liquidator.

The Liquidator can be reached at:

         Bruce N. Mulvaney
         Bruce Mulvaney & Co
         1st Floor, 613 Canterbury Road
         Surrey Hills, Victoria 3127
         Australia


ADMIRAL PLANNING: Appoints Andrew Fielding as Liquidator
--------------------------------------------------------
At a general meeting held on July 27, 2006, the members of
Admiral Planning & Construction Management Consultants Pty Ltd
resolved to close the Company's business and appoint Andrew
Fielding as liquidator.

The Liquidator can be reached at:

         Andrew Fielding
         PPB Chartered Accountants
         Level 4, Toowong Terraces  
         31 Sherwood Road
         Toowong, Queensland 4066
         Australia


AIR NEW ZEALAND: Plans to Outsource Finance Jobs, SFWU Says
-----------------------------------------------------------
The Service and Food Workers Union states that Air New Zealand
is preparing to outsource more than half its Finance Department
to take advantage of cheaper labor overseas.

Air New Zealand confirmed that at least 160 engineering services
and finance staff would be affected by the plan and that some
finance functions would now be outsourced, probably to Fiji, The
Dominion Post reports.

Air New Zealand said that 16 other major carriers outsource
similar jobs, Radio NZ relates.

Air New Zealand is also engaged in consultation with the SFWU
Nga Ringa Tota and the Engineering, Printing and Manufacturing
Union to find a "competitive in-house solution" to avoid
tendering out all its ground-staff employees at the airports.

SFWU Northern Region Secretary Jill Ovens says that the two
processes follow hot on the heels of attempts to outsource the
Company's heavy engineering services -- avoided only by unions
agreeing to cuts in staff numbers and reductions in conditions.

Ms. Ovens asserts that the latest moves by Air New Zealand
appear to be part of a general plan to divest itself of its
employees and operations, possibly to make the 80% publicly
owned Air NZ shares more attractive to private buyers.

"The airline is making a profit and recently announced that it
is on target with its profit estimate for the 2006 financial
year," Ms. Ovens recounts.

"There is no crisis in Air NZ.  This is simply a drive for
bigger profits for a minority of private shareholders in order
that the Company can convince the Government to relinquish the
Kiwi share," Ms. Ovens asserts.

Air New Zealand plans to shed more than half of its finance
department -- 53% of the employees -- over one year.  The
remaining employees would be training the staff of the outsource
provider who will be based off-shore, most likely in Fiji where
clerical workers are paid as little as NZ$6000 a year.  Other
possibilities include India or the Philippines.

Once they are trained, the New Zealand workforce would be made
redundant, SFWU says.

According to Radio New Zealand, the airline is proposing 26
positions in its financial services sector to be disestablished
and that the remaining 71 be outsourced.

"If Air NZ follows through on its plans, the finance operation
will be performed by staff off-shore, and ground staff wearing
the Air NZ uniform will be employed by contractors," Ms. Ovens
says.

Air New Zealand communications manager David Jamieson said that
62 engineering services workers, including 28 in Christchurch,
are being "redeployed" with servicing of Air New Zealand
aircraft to take place in Auckland, The Dominion Post says.

The paper relates that when asked if there would be an option
for voluntary redundancies, Mr. Jamieson said that there will be
equivalent roles available for all affected, but noted that each
individual case will be closely looked at.

"The proposal reflects this reduction on a phased basis between
January 2007 and April 2008," The Dominion Post cites Mr.
Jamieson, as saying.

A decision on the outsourcing is due to be made on August 24,
2006, tvnz.co.nz notes.

The SFWU is planning a public campaign, including picketing Air
New Zealand Chief Executive Officer Rob Fyfe's offices, in
opposition to outsourcing its members in Air New Zealand
Finance.

                      About Air New Zealand

Based in Auckland, New Zealand, Air New Zealand is the country's
flag air carrier, with domestic and international passenger and
freight operations, and an aviation engineering business.  

As reported in the Troubled Company Reporter - Asia Pacific on
September 2, 2005, Moody's Investors Service affirmed its Ba1
issuer rating on Air New Zealand Limited after the airline
announced its annual results for FY2005.  Air NZ's rating
reflected its dominant position in the New Zealand domestic
market, with around 80% market share, and the profitability of
domestic operations following their restructuring to a low-cost
network model.  Also supporting Air NZ's rating was its solid
liquidity position, with cash balances of NZ$1,071 million held
as at June 30, 2005.  However, while Air NZ has a solid position
in New Zealand and other parts of the international network are
performing well, intense competition on trans-Tasman routes has
resulted in it being unprofitable for Air NZ.  International
competition also limits Air NZ's ability to expand.  Its
management is also aware of the airline's vulnerability to
external shocks and the actions of key competitors.


AN YING INTERNATIONAL: Court to Hear Liquidation Bid on Aug. 24
---------------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against An Ying International Financial Ltd on August 24, 2006,
10:00 a.m.

The plaintiff's solicitor, J.M.T. Wells, filed the petition with
the Court on June 1, 2006.

Mr. Wells can be reached at:

         J.M.T. Wells
         Wells & Company
         419 Remuera Road, Remuera
         Auckland, New Zealand
         P.O. Box 28-390, Remuera, Auckland
         Facsimile: (09) 522 1035


ARAB BANK AUSTRALIA: Fitch Affirms Individual Rating at C/D
-----------------------------------------------------------
Fitch Ratings affirms Arab Bank Australia Limited's ratings:

   * Long-term Issuer Default Rating 'A-' (A minus);

   * Short-term 'F2';

   * Individual 'C/D'; and

   * Support '1'

The ratings have a Stable Outlook.

Arab Bank Australia is a wholly owned subsidiary of Arab Bank
plc, a Jordanian bank with operations in 35 countries around the
world.  ABAL's ratings are underpinned by an extremely high
probability of support from Arab Bank plc., given the latter's
size, history of sound profitability and liquidity as well as
prudent balance sheet management.  Arab Bank plc is rated by
Fitch at Long-term IDR 'A-' with a Stable Outlook and Short-term
'F2'.

Arab Bank Australia's Individual rating reflects the bank's
small size and modest franchise.  That said, Fitch notes that
ABAL maintains conservative risk management practices, an
adequate financial profile and satisfactory capitalization.

Arab Bank Australia shows a prudent approach to risk management
consistent with the low risk culture that is fostered by Arab
Bank plc.  Arab Bank Australia mainly undertakes secured
property lending and as a result, its financial performance is
closely linked to conditions in the Australian property market.  
Lower loan fees and commissions from a cooling property market
and substantial investment in internal business infrastructure
contributed to a 36% decline in profits in the financial year
ended 31 December 2005.  However, during the same period, Arab
Bank Australia's net interest margin increased by 20 basis
points, suggesting the bank has not followed a price-driven
strategy.  Asset quality remains sound with the bank reporting a
loan loss (provision) impairment charge of AU$432,000 which
equates to a low 4.9% of pre-tax, pre-provision profit.

Arab Bank Australia is well capitalized -- its equity to assets
ratio of more than 7% is high by Australian bank standards, as
is its Tier 1 ratio of 12.2% as at March 31, 2006.


AUSTRALIAN HYPERBARIC: Appoints Receiver and Manager
----------------------------------------------------
Glen Bottriell of Prestige Holdings appointed Neil Robert Cussen
as receiver and manager of all the assets and undertakings of
Australian Hyperbaric Therapy Pty Ltd on July 26, 2006.

The Receiver and Manager can be reached at:

         Neil Robert Cussen
         Horwath Sydney Partnership
         Level 10, 1 Market Street
         Sydney, New South Wales 2000
         Australia


BPJP NOMINEES: Placed Under Members' Voluntary Liquidation
----------------------------------------------------------
At a general meeting held on July 31, 2006, the members of BPJP
Nominees Pty Ltd agreed to voluntarily liquidate the Company's
business and distribute the proceeds of its assets disposal.

In this regard, Mark Costigan was appointed as liquidator.

The Liquidator can be reached at:

         Mark Costigan
         Mark Costigan & Associates
         Suite 1, 329 Main Street
         Lilydale Victoria 3140
         Australia


BRADLEY HOLDINGS: Creditors Appoint Travaglini as Liquidator
------------------------------------------------------------
The members of Bradley Holdings Pty Ltd convened on July 31,
2006, and resolved to close the Company's business.

Creditors appointed Dino Travaglini as liquidator at a separate
meeting held later that day.

The Liquidator can be reached at:

         Dino Travaglini
         c/o Moore Stephens
         Chartered Accountants
         Level 3, 12 St Georges Terrace
         Perth, Western Australia 6000
         Australia
         Telephone:(08) 9225 5355


BROUWER PTY: Members' Final Meeting Slated for September 11
-----------------------------------------------------------
Members of Brouwer Pty Ltd will convene on September 11, 2006,
to receive Liquidator G. J. Waterland's report on the Company's
wind-up proceedings and the property disposal exercises.

The Troubled Company Reporter - Asia Pacific reported on
April 6, 2006, that the Company commenced liquidation
proceedings on March 1, 2006

The Liquidator can be reached at:

         G. J. Waterland
         JCW Consulting Pty Limited
         Level 1, 405 Nepean Highway
         Frankston, Victoria 3199
         Australia


CJR AND ASSOCIATES: Enters Wind-Up Proceedings
----------------------------------------------
Members of CJR and Associates Pty Ltd met on July 27, 2006, and
agreed to voluntarily wind up the Company's operations.

Subsequently, Derrick Craig Vickers was named official
liquidator.

The Liquidator can be reached at:

         Derrick Craig Vickers
         PricewaterhouseCoopers
         Level 19, 250 St George's Terrace
         Perth, Australia


COX COMPANY: Members to Receive Wind-Up Report on September 6
-------------------------------------------------------------
The members of The Cox Company Pty Ltd will hold a final meeting
on September 6, 2006, at 1:00 p.m., to receive Liquidator Peter
Graham Cox's report on the Company's wind-up and the property
disposal exercises.

The Troubled Company Reporter - Asia Pacific reported on
August 11, 2006, that the Company commenced a wind-up of its
operations on July 28, 2006.

The Liquidator can be reached at:

         Peter Graham Cox
         40 St
         Elmo Road
         Ivanhoe, Victoria
         Australia




DOWNTOWN DIRECTIONS: Creditors and Members to Meet on Sept. 12
--------------------------------------------------------------
A final meeting of the members and creditors of Downtown
Directions Pty Ltd will be held on September 12, 2006.

During the meeting, members and creditors will hear accounts of
the Company's wind-up and property disposal exercises from
Liquidator O'Keeffe Walton Richwol.

As reported by the Troubled Company Reporter - Asia Pacific on
March 27, 2006, the Company commenced a wind-up of its
operations on February 15, 2006.

The Liquidator can be reached at:

         O'Keeffe Walton Richwol
         Suite 3, 431 Burke Road
         Glen Iris 3146
         Australia


ELGIN PARK: Members Opt to Shut Down Business
---------------------------------------------
After an extraordinary general meeting on July 31, 2006, the
members of Elgin Park Pty Ltd decided to shut down the Company's
business and appoint Bryan Hughes as liquidator.

The Liquidator can be reached at:

         Bryan Hughes
         c/o Pitcher Partners
         Chartered Accountants
         17th Level, AMP Building
         140 St Georges Terrace
         Perth, Western Australia 6000
         Australia
         Telephone:(08) 9322 2022
         Facsimile:(08) 9322 1262


GLOBAL ENGINEERED: Talks on Customers' Rescue Package Fail
----------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
August 16, 2006, industry players were deciding on whether to
sign up to a rescue package for Ajax Engineered Fasteners, a
division of Global Engineered Fasteners.  Moreover, according to
the TCR-AP, workers unions have threatened to stop production at
the factory if administrators do not agree to underwrite
workers' entitlements.

A subsequent TCR-AP report stated that a group of four car
companies, including Holden, which buy parts from Ajax, have
offered a package to keep the Company open and cover a shortfall
in entitlements.

In an update, the Australian Associated Press relates that on
August 18, 2006, the administrators gave almost 200 Ajax workers
marching orders when negotiations with Ajax customers for a
multi-million rescue package disintegrated.

Ford spokeswoman Sinead McAlary disclosed that negotiations
broke down when one of the customers couldn't sign off on a deal
to cover Ajax's trading losses.

Workers, however, refused to leave the Braeside factory, saying
that it represents their "assets" as offsite negotiations
between company administrators and the Australian Manufacturing
Workers Union continue, the AAP notes.

The Age cites AMWU state secretary Steve Dargavel as saying that
the ball was in the car companies' court, adding that further
stand-downs across the industry are expected "if this doesn't
get resolved."

Administrator Stephen Longley said that there was no cash to
keep the business running, The Age reveals.

"We've spent the last of it this week in paying the payroll and
received some non-refundable contributions from their customers
to be able to pay the payroll and keep the doors open to date,"
the paper quotes Mr. Longley as telling ABC Radio.

"We can't keep trading the business for the benefit of the
customers without their longer term commitment over the next
month to fund the operations," Mr. Longley contended.

The Age notes that Holden, Ford, and Toyota run the risk of
running out of parts.

The Age further relates that Ms. McAlary said that Ford would
have to stand workers down next week if Ajax remained shut.  
Ford buys components through supplier, Textron, the paper notes.

Holden spokesman Jason Laird said that the failed deal was
"extremely disappointing," but he would not speculate on Holden
workers being stood down, The Age relates.

The paper also cites Toyota spokesman Peter Griffin as saying
that the company had enough parts -- supplied through PBR
Australia -- to continue until next week.  "At the moment [it's
having] no impact but that's something we're going to have to
watch on a day-to-day basis," Mr. Griffin said.

                           About GEF

Based at the Ajax plant in Braeside, Victoria, Global Engineered
Fasteners -- http://www.ajaxfast.com.au/-- wholly owns Ajax  
Engineered Fasteners.  GEF also owns the full-service automotive
supplier Global Automotive Logistics.  Allen Capital Private
Equity and a team of company directors jointly own GEF.  GEF was
established in 2004 to acquire the assets of Ajax EF and GAL
from the Nylex Group.

GEF supplies customers, including GM Holden, Pacifica Group, and
Textron, with nuts and bolts for engines and suspension parts as
well as fasteners for other vehicle parts.

The Troubled Company Reporter - Asia Pacific reported on
August 9, 2006, that Allen Capital, the private equity owner of
Global Engineered Fasteners, called in administrators to try to
engineer a turnaround after the Company's battle with rising
costs and falling volumes failed.  The report noted that the
action was due to the Company's more than AU$5 million in debt
and the inability to convince Holden and brakes-maker Pacifica
to agree to price rises.

The directors of GEF appointed Stephen Longley and David McEvoy,
of PricewaterhouseCoopers, as the Company's voluntary
administrators.


HERITAGE FINANCE: Court Hears CIR's Liquidation Bid Today
---------------------------------------------------------
A liquidation petition filed against Heritage Finance Ltd will
be heard before the High Court of Wellington today, August 21,
2006, at 10:00 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on June 23, 2006.

The Plaintiff's Solicitor can be reached at:

         Kate Elizabeth Harder
         Technical and Legal Support Group
         Wellington Service Centre, First Floor
         New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1162
         Facsimile: (04) 890 0009


JNIEDI ENTERPRISES: Receivers and Managers Cease to Act
-------------------------------------------------------
On August 1, 2006, P. Vrsecky and S. L. Horne ceased to act as
receivers and managers of Jniedi Enterprises Pty Ltd.

The former Receivers and Managers can be reached at:

         P. Vrsecky
         Draper Dillon
         499 St Kilda Road
         Melbourne 3004
         Australia


KARAGOLD PTY: Undergoes Voluntary Wind-Up
-----------------------------------------
The members of Karagold Pty Ltd passed a special resolution to
wind up the Company's operations on July 31, 2006.

In this regard, Mark Pearce was appointed as liquidator.

The Liquidator can be reached at:

         Mark Pearce
         c/o Pearce & Heers Insolvency Accountants
         Level 8, 410 Queen Street
         Brisbane, Queensland 4000
         Australia


MACCOE LOGISTICS: Creditors' Proofs of Claim Due on August 29
-------------------------------------------------------------
Maccoe Logistics Pty Limited notifies parties-in-interest of its
intention to declare a first and final dividend to creditors.

Creditors are required to prove their debts by August 29, 2006,
for them to share in the dividend distribution.

The liquidator can be reached at:

         Jamieson Louttit
         Chartered Accountant
         Jamieson Louttit & Associates
         Suite 73, Level 15
         88 Pitt Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9231 0505
         Facsimile:(02) 9231 0303


MANLY APARTMENT: Courts Issues Wind-Up Order
--------------------------------------------
The Federal Court of Australia and the Supreme Court of New
South Wales issued wind-up orders against Manly Apartment
Leasing Pty Ltd on July 21, 2006, and July 27, 2006,
respectively.

In this regard, Steven Nicols was appointed as Liquidator.

The Liquidator can be reached at:

         Steven Nicols
         Level 2, 350 Kent Street
         Sydney, New South Wales 2000
         Australia


MERRINDALE AUTOMOTIVE: Liquidator Cant to Present Wind-Up Report
----------------------------------------------------------------
The members and creditors of Merrindale Automotive Developments
Pty Ltd will convene on September 11, 2006, at 10:15 a.m. to
hear Liquidator Anthony Cant's report on the Company's wind-up
and the property disposal exercises.

According to the Troubled Company Reporter - Asia Pacific, the
Company commenced a wind-up of its operations on June 20, 2006.

The Liquidator can be reached at:

         Anthony R. Cant
         2nd Floor
         106 Hardware Street
         Melbourne, Australia


MSC GUARDS: Names Oren Zohar and Brian McMaster as Liquidators
--------------------------------------------------------------
At a general meeting held on July 28, 2006, the members of MSC
Guards & Patrols Pty Ltd decided to close the Company's
operations and appoint Oren Zohar and Brian McMaster as official
liquidators.

The Liquidators can be reached at:

         Oren Zohar
         Brian McMaster
         KordaMentha
         Level 11, 37 St Georges Terrace
         Perth, Australia


MULTIPLEX GROUP: Worries on Wembley Losses if it Loses in Court
---------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
August 8, 2006, Multiplex Group has taken seven separate
disputes, including payments, changes of specification, and time
schedules, with Wembley National Stadium Ltd., to adjudication
over the past month.

The report said that the disputes process allows 28 days for
resolution and the first adjudications are due this month,
noting that if either party disagrees with the finding, it can
take the matter to court.  Wembley said it will go to court if
needed but indicated it has no desire for public spats.

A report from the Australian Associated Press relates that
Multiplex disclosed that its attempts to recoup its Wembley
losses through legal avenues could result in bigger booked
losses if it loses in court.

The TCR-AP recently reported that Multiplex's Wembley project
incurred a pretax loss of AU$364.3 million or AU$255 million
after-tax loss.  The project loss position has remained
unchanged since December 31, 2005.

However, Multiplex Chief Executive Officer Andrew Roberts says
that the Company is looking to reclaim some of those losses from
Wembley, The Age notes.

Mr. Roberts reveals that they have also allowed for the
anticipated legal costs of pursuing claims, noting that "[i]f we
lose our claims, then it is possible the loss could increase on
Wembley."

"Inversely, if we do better on our claims than booked we believe
that our losses could reduce -- both of those outcomes are
possible," Mr. Roberts adds.

                         About Multiplex  

Headquartered at Miller's Point, in New South Wales, Australia,
Multiplex Group -- http://www.multiplex.biz/-- derives its  
revenue from property funds management, construction, property
development, and facilities management.  The Group employs over
2,000 people and has established operations and offices
throughout Australia, New Zealand, the United Kingdom and the
Middle East.  In December 2003, Multiplex Limited listed on the
Australian Stock Exchange as a part of the Multiplex Group,
raising a total of AU$1.2 billion.  Multiplex Group was formed
by combining the various businesses of Multiplex Limited and the
newly established portfolio of investments held by Multiplex
Property Trust.

Early in 2005, Multiplex began facing cost pressures on its
reconstruction project for the Wembley Stadium in London,
prompting it to conduct its own internal investigation into the
Wembley difficulties.  Its auditor, KPMG, later conducted its
own thorough review of the problems, leading to an unpredicted
write-down.  In February 2005, stunned investors sold down
Multiplex shares after the Company reversed its stance on two
United Kingdom projects, writing off AU$68.3 million from its
profits.  This started a series of profit downgrades throughout
2005.

The Company's troubles continue with plunging share prices,
extortion attempts, and threats of class action from disgruntled
shareholders.  The Roberts family, as founder and controlling
shareholder of Multiplex, opted to offer AU$50 million indemnity
in a bid to appease dissatisfied shareholders.  In May 2005,
Multiplex admitted that its troubled Wembley Stadium
construction project may end up with a multimillion loss.  As of
February 2006, the Company is faced with liquidity crisis after
posting a massive AU$474 million loss on Wembley and is
currently in talks to bring down possible delay fees, pegged at
AU$138,000 per day beyond the scheduled March 31, 2006,
completion date.


NYLETTLE PTY: Receivers and Managers Step Aside
-----------------------------------------------
Martin Russell Brown and David Laurence McEvoy ceased to act as
receivers and managers of Nylettle Pty Ltd on July 27, 2006.

The former Receivers and Managers can be reached at:

         David Laurence Mcevoy
         PricewaterhouseCoopers
         Level 23, Freshwater Place
         2 Southbank Blvd
         Southbank, Victoria 3006
         Australia


PETER HACKWORTHY: To Declare Dividend on September 8
----------------------------------------------------
Peter Hackworthy Real Estate Pty Ltd will distribute its first
and final dividend to creditors on September 8, 2006, to the
exclusion of those who cannot prove their claims by September 6,
2006.

The Troubled Company Reporter - Asia Pacific reported on
July 19, 2006, that the Company commenced a wind up of its
operations on June 8, 2006.

The liquidator can be reached at:

         K. L. Sutherland
         Bent & Cougle Pty Ltd
         Chartered Accountants
         332 St Kilda Road
         Melbourne, Victoria 3004
         Australia


QUEENSTOWN TAHITI: Faces Liquidation Proceedings
------------------------------------------------
The Commissioner of Inland Revenue on June 23, 2006, filed
before the High Court of Invercargill a petition to liquidate
The Queenstown Tahiti Pearl Co Ltd.

The Court will hear the petition on September 7, 2006.

The Plaintiff's Solicitor 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


RETREAT FRANCHISING: Appoints Vartelas as Receiver and Manager
--------------------------------------------------------------
Paul Vartelas was appointed on August 2, 2006, as receiver and
manager of all the assets and undertakings of Retreat
Franchising Pty Ltd.

The Receiver and Manager can be reached at:

         Paul Vartelas
         B. K. Taylor & Co.
         8th Floor
         608 St Kilda Road
         Melbourne, Victoria 3004
         Australia


ROLLE ASSET: Creditors Resolve to Wind Up Operations
----------------------------------------------------
The creditors of Rolle Asset Inspections Pty Ltd convened on
August 1, 2006, and resolved to wind up the Company's
operations.

Accordingly, Colin R. McDonald was appointed as liquidator.

The Liquidator can be reached at:

         Colin R. McDonald
         Chartered Accountant
         PO Box 56
         Mooroolbark, Victoria 3138
         Australia
         Telephone:(03) 9726 4988
         Facsimile:(03) 9726 9338


RONALD EDWARDS: Members Decide to Close Operations
--------------------------------------------------
The members of Ronald Edwards Holdings Pty Ltd at a general
meeting on July 27, 2006, agreed to close the Company's
operations.

In this regard, Colin McIntosh Nicol and R. B. McKern were
appointed as liquidators.

The Liquidators can be reached at:

         Colin McIntosh Nicol
         R. B. McKern
         c/o McGrathNicol+Partners
         Level 8, IBM Centre
         60 City Road
         Southbank, Victoria 3006
         Australia
         Telephone:(03) 9038 3100
         Web site: http://www.mcgrathnicol.com/


ROTHSCHILD AUSTRALIA: Members Pass Resolution to Shut Down Firm
---------------------------------------------------------------
On July 28, 2006, the members of Rothschild Australia E-Fund
passed a special resolution to wind up the Company's operations
and appoint Timothy James Cuming and David Clement Pratt as
liquidators.

The Liquidators can be reached at:

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


SANDOW TRANSPORT: Members to Hear Liquidator's Report on Sept. 8
----------------------------------------------------------------
A final meeting of the members of Sandow Transport Pty Ltd will
be held on September 8, 2006, at 2:30 a.m., to hear Liquidator
Peter J. Carnell's report on the Company's wind-up and the
manner of property disposal.

As reported by the Troubled Company Reporter - Asia Pacific on
August 31, 2005, the Company commenced a wind-up of its
operations on July 25, 2005.

The Liquidator can be reached at:

         Peter J. Carnell
         Darcy Kennedy
         Accountants and Advisors
         157 Brisbane Street
         Dubbo, New South Wales 2830
         Australia


SKYSEARCH PTY: Enters Liquidation Proceedings
---------------------------------------------
The members of Skysearch Pty Ltd held a general meeting on
July 28, 2006, and decided that it is in the Company's best
interest to wind up its operations.

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

The Liquidators can be reached at:

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


TACTICAL EDGE: Creditors Appoint Official Liquidator
----------------------------------------------------
At an extraordinary general meeting held on July 31, 2006, the
members of Tactical Edge International Pty Ltd resolved to
liquidate the Company's business.

Creditors appointed Craig Crosbie as liquidator at a separate
meeting held later that day.

The Liquidator can be reached at:

         Craig Crosbie
         PPB Chartered Accountants
         Level 10, 90 Collins Street
         Melbourne, Victoria 3000
         Australia


WARE NOMINEES: Enters Wind-Up Proceedings
-----------------------------------------
At an extraordinary general meeting held on July 31, 2006, the
members of Ware Nominees Pty Ltd resolved to wind up the
Company's operations.

John Lindholm was appointed as liquidator at a creditors'
meeting held that same day.

The Liquidator can be reached at:

         John Lindholm
         Ferrier Hodgson
         Level 29, 600 Bourke Street
         Melbourne, Victoria 3000
         Australia


WESTERN BAY: Receivers to Pay 10c in the Dollar by End-September
----------------------------------------------------------------
In an update to debenture holders, Grant Graham and Brendon
Gibson, receivers for Western Bay Finance Ltd, disclose that
they expect debenture holders to receive the majority of their
investment back.

The update addresses:

   1. the estimated recovery for debenture holders from the
      receivership;

   2. initial steps toward realization of the Company's greatest
      asset, the loan book; and

   3. the projected date of a first dividend to debenture
      holders.

At least NZ$10 million owed to Western Bay's 3,000 debenture
stock investors has disappeared down the drain, the New Zealand
Herald cites the Receivers as telling the investors.

The paper says that the Receivers' early analysis showed
debenture investors who are owed a total of NZ$48 million could
expect to see 75c to 80c in the dollar of their outstanding
principal.

The Receivers also note that there remain some risks to this
estimate, given the profile of the book.  However, they are
mindful of the concerns of debenture holders and wished to give
an early estimate to debenture holders.

The Receivers relate that they have taken immediate steps to
bolster the collection function in-house and are examining a
range of options like external agencies, and outright sale of
tranches of the book.

In the interim, they project to be able to pay a first dividend
to debenture holders of 10 cents in the dollar, before the end
of September.

Mr. Graham also reveals that Western Bay's Web site --
http://www.wbf.co.nz/-- has been reinstated and will be used as  
a primary channel of updating debenture holders on progress.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
August 4, 2006, that Western Bay Finance has been put into
receivership, leaving more than 3,000 investors in limbo.  
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.

An earlier TCR-AP report stated 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.

Jim Smylie established Western Bay Finance 17 years ago.


WESTERN BAY: Finance Now Still Interested to Buy Part of Assets
---------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
August 4, 2006, Finance Now, a subsidiary of Southland Building
Society, has been undertaking due diligence in Western Bay
Finance's loan book.  The TCR-AP noted that the receivers for
Western Bay would be evaluating whether a deal could still be
worked out.

A subsequent TCR-AP report on August 14, 2006, however, noted
that Finance Now has called off the deal because the quality of
Western Bay's portfolio was not satisfactory.

Yet, Finance Now is still believed to have an offer on the table
for about NZ$30 million to buy over half of Western Bay's
assets, The Dominion Post reports.

According to the report, Finance Now business development
director Wayne Evans did not discuss figures but confirmed that
his company had talked to the receivers and remained interested
in parts of Western Bay.

"Our view is that a trade sale would be in the best interests of
debenture holders," the paper cites Mr. Evans, as saying.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
August 4, 2006, that Western Bay Finance has been put into
receivership, leaving more than 3,000 investors in limbo.  
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.

An earlier TCR-AP report stated 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.

Jim Smylie established Western Bay Finance 17 years ago.


YTM PROPRIETARY: Receivers and Managers Cease to Act
----------------------------------------------------
Martin Russell Brown and David Laurence McEvoy ceased to act as
receivers and managers of YTM Proprietary Limited on July 27,
2006.

The former Receivers and Managers can be reached at:

         David Laurence McEvoy
         PricewaterhouseCoopers
         Level 23, Freshwater Place
         2 Southbank Blvd
         Southbank, Victoria 3006
         Australia


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

ACTIVE GAINER: to Hear Wind-Up Bid on August 30
-----------------------------------------------
A wind-up petition filed against Active Gainer Ltd will be heard
before the High Court of Hong Kong on August 30, 2006, at 9:30
a.m.

Shek Chi Wai filed the petition with the Court on July 3, 2006.

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


BENQ CORP: Taiwan Ratings Pares LT Credit Rating to twBB+
---------------------------------------------------------
Taiwan Ratings Corp on August 17, 2006, lowered its long-term
corporate credit rating and unsecured corporate bond rating on
BenQ Corporation to twBB+ from twBBB.  At the same time, the
short-term corporate rating on the Company was lowered to twB
from twA-3.  All ratings remain on CreditWatch with negative
implications, where they were placed on March 14, 2006.

The downgrade reflects the diminishing prospects of a rapid
turnaround of BenQ's handset business and the negative impact of
heavy operating losses on BenQ's financial profile after the
company reported much weaker-than-expected sales in the four
months ended July 31, 2006.

The ratings remain on CreditWatch with negative implications
because BenQ's financial profile is likely to deteriorate
further unless the company improves its operating performance
over the next few quarters.

BenQ partly attributes the poor sales result in the quarter
ended June 30, 2006, to seasonal demand softness for PC related
products, as well as slower-than-expected handset sales due to
the delayed launches of new handset models.  BenQ's consolidated
revenue declined 4.5% quarter-on-quarter to NT$55 billion in
contrast to its guidance (given in April 2006) of more than 10%
sequential growth.

                          *     *     *

Based Taiwan, Republic of China, BenQ Corporation, Inc.
-- http://www.benq.com/-- is principally engaged in  
manufacturing, developing and selling of computer peripherals
and telecommunication products.  It is also a major provider of
3G handset, 3G handset, Camera phones, and other products.


CHINA MERCHANTS: Gets Nod to Launch US$2-Billion IPO
----------------------------------------------------
China Merchants Bank received an approval in principle from Hong
Kong's regulator to launch its US$2 billion initial public
offering next month, The Standard reports.

Sources told The Standard that the mainland lender received the
green light from the Hong Kong stock exchange on August 17,
2006, to proceed with its first overseas share sale by the end
of September.

Bloomberg recounts that Merchants Bank announced in April that
stockholders of the bank approved its plan to sell 2.2 billion
shares, or a 15% stake to investors in Hong Kong and use the
proceeds to expand its branch network and boost capital.  The
China Securities Regulatory Commission approved the plan last
week, Bloomberg adds.

Three investment banks -- China International Capital, UBS and
JPMorgan -- are helping to arrange the share sale, while BNP
Paribas, Credit Suisse and Morgan Stanley are co-lead managers,
The Standard relates.

According to Bloomberg, the Chinese government is encouraging
its biggest banks to sell shares overseas to improve their
finances and enhance corporate governance in line with
international standards.  Domestic banks will face unprecedented
competition from overseas competitors including Citigroup Inc.
and HSBC Holdings Plc when China fully opens its banking market
at the end of this year.

China Knowledge notes that China Merchants joined seven other
banks that receive the approval from CSRC to launch IPO's
overseas: the Industrial and Commercial Bank of China, China
Construction Bank Corp., Bank of China Ltd., Bank of
Communications Co. Ltd., Hong Kong and Shanghai Banking Corp.,
and Bank of East Asia Ltd. and Citibank.

                          *     *     *

China Merchants Bank -- http://www.cmbchina.com/-- is the  
second-largest bank among China's 12 nationwide shareholding
commercial banks. It was established in 1987 and listed on the
Shanghai Stock Exchange in 2002.  The Ministry of
Communications-owned China Merchants Group is the bank's main
shareholder with a 26 percent stake (through various companies).   
The bank had 410 banking outlets nationwide and 17,829 employees
at end-2004.

On August 3, 2006, The Troubled Company Reporter - Asia Pacific
reported that Fitch Ratings has upgraded its Individual rating
on China Merchants Bank to 'D' from 'D/E'.  At the same time,
the bank's Support rating was affirmed at '3'.


CHINA SOUTHERN: Posts CNY825-Mil. Net Loss in First Half of 2006
----------------------------------------------------------------
China Southern Airlines Co Ltd registered a net loss of CNY825
million for the first half of 2006 due to soaring fuel prices
and rapid expansion, China Daily reports.

Based on the Company's interim report, the airline's costs
surged 17% year-on-year to reach CNY20 billion in the first six
months.  The Daily, however, notes that the carrier's net loss
dropped only slightly by 9% compared with that of the same
period last year.

XFN - Asia relates that the carrier announced an operating
profit of CNY149 million for the first half against a loss of
CNY271 million in the same period last year, while revenue rose
15% to CNY20.60 billion from CNY17.84 billion a year earlier.

In addition, China Southern's net loss per share stood at
CNY0.19 narrowing from the CNY0.21 loss in the first six months
of 2005.

The Company did not declare any interim dividend.


                          *     *     *

Headquartered in Guangzhou, China, China Southern Airlines Co
Ltd. -- http://www.cs-air.com-- engages in the operation of  
airlines, as well as in aircraft maintenance and air catering
operations in the People's Republic of China and
internationally.  It provides commercial airlines, cargo
services, logistics operations, air catering, utility service,
hotel operation, travel services, aircraft leasing, and Internet
services.

On May 1, 2006, Fitch Ratings has downgraded China Southern
Airlines Company Limited's Foreign Currency and Local Currency
Issuer Default Ratings to B+ from BB-.

The Troubled Company Reporter - Asia Pacific reported in April
2006, that the carrier posted a net loss of CNY1.85 billion for
2005 versus a net loss of CNY48 million a year earlier.


CHINA SOUTHERN (SECURITIES): Court Formally Declares Bankruptcy
---------------------------------------------------------------
The Shenzhen Intermediate People's Court on August 9, 2006,
formally declared China Southern Securities bankrupt, the China
Knowledge reports.

According to a liquidation report from Deloitte, the securities
firm was found to have negative net assets of CNY12.18 billion.  
At the end of 2005 the total assets of Southern Securities
amounted to CNY10.63 billion and the total liability was
CNY22.81 billion, with a liability-asset ratio of 214.55%.

The Troubled Company Reporter - Asia Pacific earlier reported
that once bankruptcy proceedings are commenced, the local
courthouse will auction the remaining assets of the Company, the
proceeds of which will be used to pay off the Company's debts.   
The Company is expected to settle first its individual debts
over its institutional debts.

The TCR-AP notes that personal debts of the Company include the
appropriation of the deposits of clients and compensation for
staffs.  Its institutional debts, on the other hand, are mostly
loans from banks and entrusted financing reached a total of
CNY12 billion.

China Daily recounts that Shenzhen Lanbowan Investment Co took
China Southern Securities to Court in July this year asking the
brokerage to pay back its overdue CNY30 million debt.

Guo Yimin, deputy dean of the Shenzhen Intermediate People's
Court told the Daily "the bankruptcy and clearing helps to
protect the interests of investors and creditors."  This move
also rings an alarm bell for securities firms to strengthen
their corporate governance and risk management, Mr. Gou adds.


                          *     *     *

Established in 1992, China Southern Securities -- also known as
Nanfang Securities -- used to be one of China's largest
brokerage houses with a registered capital of CNY3.45 billion
(US$416.9 million) and boasts 56 major shareholders including
China's largest state-owned banks and insurance companies.

The Troubled Company Reporter - Asia Pacific reported in January
2004 that The China Securities Regulatory Commission and the
Shenzhen government have shut down securities brokerage China
Southern Securities because of mismanagement and irregularities.

In April 2005, the Commission ordered for the immediate closure
and liquidation of the Company.  However, the liquidation
proceeding was halted when China Jianying Investment decided to
bail out the Company in August last year in a hope to revive the
Company.


CNG LIMITED: Faces Wind-Up Proceedings
--------------------------------------
Marc Dransene Conception on July 10, 2006, filed before the High
Court of Hong Kong a petition to wind-up CNG Ltd's operation.

The Court will hear the petition on September 6, 2006, at 9:30
a.m.

The Solicitors for the Petitioner can be reached at:

         Sit Fung Kwong & Shum
         18th Floor, Gloucester Tower
         The Landmark, 11 Pedder Street
         Central, Hong Kong


CORPSHINE INDUSTRIAL: Wind-Up Bid Hearing Set on September 13
-------------------------------------------------------------
A wind-up petition filed against Corpshine Industrial Co Ltd.
Will be heard before the High court of Hong Kong on
September 13, 2006, at 9:30 a.m.

Top Alliance Industries Ltd filed the petition with the Court on
July 17, 2006.

The Solicitors for the Petitioner can be reached at:

         Ford Kwan and Company
         Suites 1505-1508, 15th Floor
         Chinachem Golden Plaza
         77 Mody Road, Tsimshatsui East
         Kowloon, Hong Kong
         Telephone: 2366 0688
         Facsimile: 2722 0376


DRAGON LINK: To Wind-Up Business Operations
-------------------------------------------
Dragon Link Maintenance on August 2, 2006, received a wind-up
order issued by the High Court of Hong Kong.

The Troubled Company Reporter - Asia Pacific reported that the
Company was facing a wind-up petition filed before the Court by
Leung Kam Wah.  The petition was heard on August 2, 2006.


EFFECT LEATHER: Court Orders Wind-Up
------------------------------------
The High Court of Hong Kong on August 2, 2006, issued a wind-up
order against Effect Leather Shoes Factory Ltd.

According to The Troubled Company Reporter - Asia Pacific, Chan
Kam Fung on June 7, 2006, filed with the Court a petition to
wind-up the Company's operation.  The petition was heard before
the Court on August 2, 2006.


HI-SPEED TRANSPORTATION: Court Favors Wind-Up Bid
-------------------------------------------------
The High Court of Hong Kong on August 2, 2006, issued a wind-up
order against Hi Speed Transportation Co Ltd.

On July 14, 2006, The Troubled Company Reporter - Asia Pacific
reported that the company was facing a wind-up petition filed by
Lok Yiu Fu.  The Court heard the petition on August 2, 2006.


HOSHING TELECOM: Final Members Meeting Set on September 11
----------------------------------------------------------
Members of Hoshing Telecom Ltd will convene for their final
meeting at Liquidator Desmond Chiong's office on September 11,
2006, at 11:00 a.m.

At the meeting, Mr. Chiong will present a report regarding the
Company's wind-up and the manner its properties were disposed
of.

Mr. Chiong can be reached at:

         Desmond Chiong
         14/F., Hong Kong Club Bldg
         3A Chater Road, Central
         Hong Kong


JOY RISE: Court to Hear Wind-Up Bid on September 27
---------------------------------------------------
Ng Wing Hung on July 26, 2006, filed before the High Court of
Hong Kong a petition to wind-up the operations of Joy Rise
Holdings Ltd.

The Court will hear the petition on September 27, 2006, at 9:30
a.m.

The Solicitors for the Petitioner can be reached at:

         Yuen & Partners
         10th Floor, Chiyu Bank Building
         78 Des Voeux Road, Central
         Hong Kong
         Telephone: 2815 2688
         Facsimile: 2541 2088


SHEENSTAR LIMITED: Members Final Meeting Slated for September 11
----------------------------------------------------------------
Members of Sheenstar (Hong Kong) Ltd will hold a final meeting
on September 11, 2006, at 11:00 a.m.

At the meeting, Liquidators Lui Wan Ho and Lui Yee Lin will
present accounts of the Company's wind-up and property disposal
exercises.

The Joint Liquidators can be reached at:

         Lui Wan Ho
         Room 1701, Olympia Plaza
         255 King's Road, North Point
         Hong Kong


SHENZHEN DEVELOPMENT: Posts CNY463-Mil Net Profit in First Half
---------------------------------------------------------------
Shenzhen Development Bank's net profit nearly tripled in the
first half of 2006, in line with the company's estimates, as
revenue from fees and lending increased strongly, Reuters
reports.

The Bank booked a net profit of CNY463.62 million, or US$58.1
million, in the six months ended June 2006, up from a restated
CNY167.88 million in the same period of last year.

Turnover rose 24% to CNY5.54 billion for the first half ended
June, from CNY4.47 billion.  The Bank's non-performing loan
ratio fell to 8.3% at the end of the period from 8.9% at the end
of the first quarter.

Outstanding loans reached CNY175.9 billion by the end of June,
up 11% from the end of last year, while provisions for bad loans
in the first half rose to CNY6.67 billion from CNY6.23 billion
at the end of 2005.

The Bank's capital adequacy ratio slipped to 3.58 percent at the
end of June, from 3.70 percent at the end of December -- far
below the minimum requirement of 8 percent.  Regulators have
agreed to give the bank time to bring the ratio up.

Meanwhile, Reuters relates that General Electric's investment is
key to the Bank's efforts to raise capital.  Last October, GE
said it would pay US$100 million for a 7.3% stake in the medium-
sized bank.  But the deal is still awaiting regulatory approval,
and may be delayed further by shareholders' vote last month to
reject the bank's plan to take part in a national share reform
program.


                          *     *     *

Based in Shenzhen, Guangdong, People's Republic of China,
Shenzhen Development Bank Company Ltd's
-- http://www.sdb.com.cn/-- principal activities are the  
provision of local and foreign currency deposits and loan
services.  Other activities include foreign currencies
exchanging, foreign currency deposit and remittances, acts as an
agent for issuing foreign currency value-bearing securities,
management of letters of credit and operation of both an
international and a domestic discounting service.

Fitch Ratings on August 14, 2006, affirmed Shenzhen Development
Bank's Individual 'D/E' and Support '4' ratings.


WEALTHY DEVELOPMENT: High Court Issues Wind-Up Order
----------------------------------------------------
Wealthy Development Ltd received a wind-up order from the High
Court of Hong Kong on August 2, 2006.

According to The Troubled Company Reporter - Asia Pacific, Grand
Marseille Enterprises Ltd on June 6, 2006, filed a petition with
the Court to wind-up the Company's operation.  The petition was
heard on August 2,2006.


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

FORD MOTOR: Plans to Expand and Expedite Restructuring Plan
-----------------------------------------------------------
Ford Motor Company plans to expand and accelerate the
implementation of its restructuring program named Way Forward,
The Wall Street Journal reports, citing people familiar with the
Company's plans.

The Company is planning to close more factories, cut more
management jobs by another 10% to 30% and reduce benefits as it
reels from a US$254 million net loss for the second quarter of
2006.  The original plan called for termination of 30,000
employees and shutting down of 14 plants by 2012.

As reported in the Troubled Company Reporter on Aug. 4, 2006,
the Company hired Kenneth H.M. Leet as a strategic advisor to
Bill Ford, the Company's chairman and chief executive officer.  
The Company is trying to achieve its profitability and market
share goals using a two-pronged approach: (a) cut costs; and (b)
increase revenue.  To increase its market share, the Company
plans to introduce more products by investing up to US$1 billion
in several of the company's Michigan facilities.

Amendments to the restructuring plan will be deliberated by the
Company's board of directors on Sept. 14, 2006.  Formal
announcements will come a week after that.

                        About Ford Motor

Ford Motor Company, headquartered in Dearborn, Michigan, U.S.A.,
is the world's third largest automobile manufacturer.  It has
operations all over the world, including India.

The Troubled Company Reporter - Asia Pacific reported on July 3,
2006, that Moody's Investors Service lowered the Corporate
Family and senior unsecured ratings of Ford Motor Company to B2
from Ba3.

Standard & Poor's Ratings Services, on the other hand, lowered
its corporate credit rating on Ford Motor Co. and its related
units to 'B+' from 'BB-' and affirmed its 'B-2' short-term
rating.

On June 12, 2006, Fitch Ratings downgraded Ford Motor's issuer
default rating to B+ from BB, and its senior unsecured ratings
to BB- from BB.


ORIENTAL BANK: Fitch Assigns BB+ LT Foreign Currency Rating
-----------------------------------------------------------
Fitch Ratings has assigned, on August 18, 2006, a Long-term
foreign currency Issuer Default Rating of 'BB+' to Oriental Bank
of Commerce.  The Individual and Support ratings have been
affirmed at 'C/D' and '4', respectively.  The Outlook on the
ratings is Stable.

Oriental Bank's ratings reflect its relatively strong standalone
financials compared with most Indian banks, majority government
ownership and moderately large size.  The Bank's otherwise
stable financial profile was affected by its merger with the
troubled private sector Global Trust Bank in August 2004 under
the guidance of the central bank.  

Oriental Bank issued equity in April 2005 and is effecting a
clean up of the erstwhile Global Trust's loan portfolio through
recoveries and write-offs.  The merger increased Oriental Bank's
assets by about 17% and enabled it to acquire a presence in
south India to complement its own operations, which are
predominantly based in north India.

Prior to the merger, Oriental Bank became the first government
bank to report a zero net non-performing loan ratio at March
2004; gross NPL ratios were also better than system averages.  
The addition of problem loans due to the merger with Global
Trust increased the gross NPL ratio to 9.1% as at the financial
year ending March 2005; however, this has since fallen to 6% at
FY06 through Oriental Bank's recovery efforts and write-offs.  
The net NPL ratio remains well below the system median.

While the merger led to a dip in Oriental Bank's historically
healthy capital adequacy ratio (total: 9.2%, tier 1: 5.4% at
FY05), the bank's equity issue in FY06 boosted the tier 1 ratio
to 11.7%.  Although the issue has diluted the government's stake
to the statutory minimum of 51%, restricting the bank's ability
to raise additional equity, the bank can comfortably issue
subordinated debt and hybrid capital instruments to support
growth in the next 12 to 24 months.

Oriental Bank's profitability (return on assets: FY06: 1%; FY05:
1.5%; FY04: 1.8%) has been declining on account of falling net
interest margins, mark-to-market losses on its government
securities portfolio, as well as an annual INR2.5 billion write-
off (recurring from FY05 to FY09) of Global Trust's accumulated
losses, although FY06 profits were boosted by a net write-back
of loan loss provisions on account of recoveries.  The bank's
profitability may remain under pressure in the next two years
due to further mark-to-market losses at INR2 billion in 1Q/FY07
on its treasury portfolio and merger-related write-offs.

Oriental Bank of Commerce was established in 1943 and functioned
as a small private bank until it was nationalized in 1980.  It
has a network of over 1100 branches.  Retail loans constitute
around one-fifth of its loan portfolio.


* India Halves FTA Exclusion List with ASEAN
--------------------------------------------
Free-trade talks between India and the Association of South-East
Asian Nations resumed on August 18, 2006, after India trimmed
its exclusion list of products from tariff reduction from 850 to
560, Bernama reports.  In addition, India disclosed that it was
ready to offer tariff concessions for 94% of ASEAN exports.

According to Bernama, India is willing to slash tariff on refine
palm oil from 90% to 60%, crude oil from 80% to 50%, black tea
from 100% to 50% and pepper from 70% to 50%.

Despite the plum offer, India continues to withhold its
agriculture sector, where millions of subsistence farmers depend
for their livelihoods, Bernama says.  India said it is not
prepared to negotiate on agriculture with ASEAN at least for the
next five years.

India's Ministry of Commerce & Industry special secretary Gopal
K. Pillai told Bernama that India had offered an extensive list
and hopes ASEAN members would reciprocate accordingly but
lamented the 10-member grouping is yet to respond.

Mr. Pillai said ASEAN is yet to counter propose and urged the
grouping to submit their list so that the FTA can be finalized
quickly.

As reported by the Troubled Company Reporter - Asia Pacific on
July 27, 2006, talks between the ASEAN and India soured due to
the haggling over India's exclusion list which some ASEAN
experts described as too extreme as it included items from
toilet bowls to naked dolls.

According to the TCR-AP, the FTA discussions have become
difficult following India's demand to exclude some 850 goods
from the pact.  Last year, the so-called exclusion list included
nearly 1,400 goods, which account for some 30% of Southeast
Asia's exports to India.

The media had reported that the ASEAN had suspended talks with
India over the controversial exclusion list.  But Indian deputy
minister of defense Rao Inderjit Singh refuted the reports,
saying that the talks will continue as India is still very keen
on a free-trade agreement, TCR-AP stated.


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

ADARO INDONESIA: Annual Production Forecast at 33M Tons
-------------------------------------------------------
PT Adaro Indonesia projects annual production of 33 million tons
for 2006, Bloomberg News reports.

Adaro Indonesia Administration Manager Priyono told Bloomberg
that this year's output may rise 23%, faster than expected, as
good weather makes production easier and as demand increases.
The company produced 8.6 million tons in the second quarter of
2006, a 6% increase from last year and the most since the mine
started production in 1991.  Annual production may total 33
million tons, he said.

Adaro, together with PT Kaltim Prima Coal, Indonesia's two
largest coal miners, are increasing capacity to meet demand from
Asian utilities that have boosted coal use as oil has risen to
records.  The move comes after Indonesia, the world's largest
exporter of coal used to generate electricity, planned to raise
production at least 9% in 2007 as the country starts building a
series of coal-fired power stations.  Indonesia wants to add
20,000 megawatts of coal-fired stations by 2010.  That may add
as much as 70 million tons of domestic demand for the fuel, said
Jeffrey Mulyono, chairman of the Indonesian Coal Mining
Association.

The Bloomberg report adds that Indonesia may export 125 million
tons of coal this year, from 117.9 million tons last year,
according to the association. Its main export markets are Japan,
South Korea and Taiwan.  China and India are emerging as new
markets for Indonesian coal.

                    About PT Adaro Indonesia

Headquartered in Indonesia, PT Adaro Indonesia --
http://www.adaro-envirocoal.com-- operates one of the world's  
largest sub-bituminous coal mines in Kalimantan, Indonesia.  The
company operates under a Coal Cooperation Agreement with the
Government of Indonesia which gives it the right to mine coal
within its agreement area in the Tanjung district of South
Kalimantan Province until the year 2022 with rights to extend by
mutual agreement.  There are four deposits within the Agreement
Area which contain total coal resources of approximately
3.0 billion tones of open cut coal characterized by extremely
thick seams of up to 50 meters with relatively low overburden.  
The coal is exceptionally clean with 0.1% sulphur, 1.2% ash and
low nitrogen and has been trademarked internationally as
Envirocool.  Production commenced in 1991 and has increased
steadily since that time with sales to both export and domestic
markets reaching 25 million tonnes in 2004 making  Indonesia's
largest coal producer.

                          *     *     *

Moody's Investors Service, on May 19, 2006, affirmed the Ba3
local currency corporate family rating for PT Adaro Indonesia
and the Ba3 foreign currency rating for Adaro Finance B.V.  The
outlook for the ratings remains stable.

Moody's says that the upgrade of Indonesia's foreign currency
sovereign rating to B1 from B2 does not have any impact on
Adaro's ratings.

Standard & Poor's Ratings Services gave Adaro Indonesia a 'B+'
in both its Long-Term Foreign and Local Issuer Credit Ratings,
effective on November 11, 2005.


ADARO INDONESIA: Plans to buy Malaysia's TNB Coal
-------------------------------------------------
PT Adaro Indonesia has submitted a proposal to buy Malaysia's
Tenaga Nasional Berhad's controlling stake in TNB Coal
International, Bernama News reveals.

According to Bernama, Tenaga has received offers from PT Adaro
and PT Pamapersada Nusantara to buy its 92.5% equity interest in
TNB Coal.

PT Adaro is proposing to purchase Tenaga's mining stake through
Padang Karunia, which is valuing TNB Coal's mining asset at
MYR87.16 million, or US$23.75 million.  Under the proposal,
Padang Karunia will make an upfront payment of MYR20.18 million
(US$5.50 million) and a deferred payment of MYR66.98 million
(US$18.25 million) on a staggered basis, Bernama says.

On the other hand, Pamapersada Nusantara -- a mining contractor
for PT Dasa Eka Jasatama -- is proposing to acquire TNB Coal by
way of writing off Tenaga's investments and advances into Dasa
Eka, totaling, MYR106.06 million, or US$28.9 million.

TNB Coal's mining asset in Indonesia is centered around Dynamic
Acres Sdn Bhd, which in turn holds a 99% stake in Dasa Eka,
according to Bernama.  Dasa Eka owns the exclusive mining rights
to five concession areas in south Kalimantan, Indonesia, and
supplies coal to TNB Fuel Services Sdn Bhd, Tenaga's wholly-
owned subsidiary since last year.

                     About Tenaga Nasional

Headquartered in Kuala Lumpur, Malaysia, Tenaga Nasional Berhad
-- http://www.tnb.com.my/-- is engaged in the generation,  
transmission, distribution and sale of electricity.  The company
also manufactures, sells and repairs transformers and
switchgears.  It is also involved in provision of project
management, consultancy, engineering works, contracting,
trading, risk management, risk surveys, insurance, research and
development, property management, energy project development and
investment holding services.  It also undertakes repairs and
maintenance of motor vehicles.  The Group operates in Malaysia
and Mauritius.

The company is currently undertaking liability management
exercises, which are expected to extend the company's debt
maturity profile and reduce refinancing risk.

Moody's gave the Company a 'Ba' rating due to the company's
relatively high financial leverage and significant PPA
obligations.

                    About PT Adaro Indonesia

Headquartered in Indonesia, PT Adaro Indonesia --
http://www.adaro-envirocoal.com-- operates one of the world's  
largest sub-bituminous coal mines in Kalimantan, Indonesia.  The
company operates under a Coal Cooperation Agreement with the
Government of Indonesia which gives it the right to mine coal
within its agreement area in the Tanjung district of South
Kalimantan Province until the year 2022 with rights to extend by
mutual agreement.  There are four deposits within the Agreement
Area which contain total coal resources of approximately 3.0
billion tones of open cut coal characterized by extremely thick
seams of up to 50 meters with relatively low overburden.  The
coal is exceptionally clean with 0.1% sulphur, 1.2% ash and low
nitrogen and has been trademarked internationally as Envirocool.  
Production commenced in 1991 and has increased steadily since
that time with sales to both export and domestic markets
reaching 25 million tonnes in 2004 making  Indonesia's largest
coal producer.

                          *     *     *

Moody's Investors Service, on May 19, 2006, affirmed the Ba3
local currency corporate family rating for PT Adaro Indonesia
and the Ba3 foreign currency rating for Adaro Finance B.V.  The
outlook for the ratings remains stable.

Moody's says that the upgrade of Indonesia's foreign currency
sovereign rating to B1 from B2 does not have any impact on
Adaro's ratings.

Standard & Poor's Ratings Services gave Adaro Indonesia a 'B+'
in both its Long-Term Foreign and Local Issuer Credit Ratings,
effective on November 11, 2005.


ANEKA TAMBANG: Nickel Exploration Costs 32% More
------------------------------------------------
PT Aneka Tambang spent 32% more in July to explore ore than in
the previous month as nickel prices soared, Bloomberg News
reports.

Antam spent IDR10 billion (US$1.1 million) during the month, of
which IDR7.6 billion was spent seeking nickel deposits on
Halmahera, Sulawesi and Obi islands in east Indonesia, Bloomberg
says, citing an e-mailed statement from the Company.

Bloomberg adds that prices of nickel have risen to their highest
level in at least 19 years on concerns that supply cannot meet
demand.  Inventories of the metal monitored by the London Metal
Exchange have fallen 82% since the year started to 6,378 tons in
August 10, 2006, the lowest since July 31, 2006.

The Company also spent IDR1.8 billion exploring for gold and
IDR642.4 million looking for bauxite deposits in July 2006.

                       About Aneka Tambang

PT Aneka Tambang Tbk -- http://www.antam.com/-- mines,  
processes, develops, and explores natural deposits.  The company
operates six mines.  They are located in Riau (bauxite),
Sulawesi and Maluku (nickel), Central Java (iron sand), and West
Java (gold). The company also operates a precious metal refinery
and a geology unit in Jakarta.

                          *     *     *

As the Troubled Company Reporter - Asia Pacific reported on
December 19, 2005, Moody's Investors Service had, on Dec. 15,
2005, changed the outlook for Aneka Tambang's local currency B1
corporate family rating to positive from stable.  The B2 foreign
currency bond rating remains unchanged with a positive outlook,
which is in line with the positive outlook for Indonesia's
sovereign rating.

Standard & Poor's Ratings Services gave Aneka Tambang 'B' long-
term local and foreign issuer credit ratings, effective Aug. 26,
2003.


ANEKA TAMBANG: Sales Double in Second Quarter
---------------------------------------------
PT Aneka Tambang Tbk's consolidated second quarter 2006 sales
revenues rose 108% to IDR1.49 trillion from IDR715 billion in
the same quarter last year, resulting in first half consolidated
sales revenues of IDR2.05 trillion, the company said in its
quarterly report to shareholders for the three months ending
June 30, 2006.

The increase is largely due to higher sales volumes and prices
of ferronickel, as the new smelter FeNi III began to produce
nickel during commissioning, and high-grade nickel ore due to
output from the new Mornopo mine.  In the first half of 2006,
the nickel segment which consists of ferronickel, high grade
nickel ore, low grade saprolite ore and low grade nickel ore
remained the biggest contributor, totaling IDR1,724 billion or
84% of Antam's consolidated net sales.  Meanwhile, the gold
segment, which includes sales from gold, silver and precious
metals refinery services contributed 12% of net sales, at a
value of IDR237 billion.

Antam's ferronickel production increased 196% to 4,153 tonnes of
nickel contained in ferronickel including production from the
new FeNi III smelter, which had yet to reach commercial
operations but was operating at or near full capacity from about
the middle of May.

Exploration costs in the second quarter of 2006 reached
IDR21 billion, 15% higher than IDR18.2 billion spent in the same
quarter last year, due to Antam's continued exploration on
lateritic nickel (IDR17 billion), gold (IDR3 billion) and
bauxite (IDR1 billion).

          Business Developments in the Second Quarter

On May 2, 2006, Antam disclosed that it signed a joint venture
agreement on March 31, 2006, to build a Chemical Grade Alumina
plant at Tayan, West Kalimantan, Indonesia.  Among other things,
the agreement is for Antam and its partners to resolve
outstanding issues by certain deadlines, to undertake further
preparatory work, and to update a Bankable Feasibility Study
completed in 2003.  The joint venture agreement was signed in
Tokyo by senior executives of Antam and its international
partners, Showa Denko K.K. of Japan, Straits Trading Amalgamated
Resources Private Limited of Singapore, and Marubeni Corporation
of Japan.  

On May 30, 2006, Antam also announced the results of its Annual
General Meeting of Shareholders.  Among the resolutions of the
AGM, it was resolved to pay a cash dividend in the amount of
IDR286.3 billion, or 34% of Antam's net profits after tax for
the year ended December 31, 2005, which is equivalent to
IDR150.05 per share.

                     First Quarter Results

The company's profit statements and balance sheet are not yet
available.  In the first quarter of 2006, Antam reported an
IDR131.03 billion net income on IDR563.24 billion in sales.  As
of March 31, 2006, the company reported a liquid position with
current assets and current liabilities amounting to IDR1.84
trillion and 386.72 billion, respectively.  Total assets as of
end-March 2006 stood at IDR5.99 trillion while total liabilities
were at IDR2.45 trillion.

                      About Aneka Tambang

PT Aneka Tambang Tbk -- http://www.antam.com/-- mines,  
processes, develops, and explores natural deposits.  The company
operates six mines.  They are located in Riau (bauxite),
Sulawesi and Maluku (nickel), Central Java (iron sand), and West
Java (gold). The company also operates a precious metal refinery
and a geology unit in Jakarta.

                          *     *     *

As the Troubled Company Reporter - Asia Pacific reported on
December 19, 2005, Moody's Investors Service had, on Dec. 15,
2005, changed the outlook for Aneka Tambang's local currency B1
corporate family rating to positive from stable.  The B2 foreign
currency bond rating remains unchanged with a positive outlook,
which is in line with the positive outlook for Indonesia's
sovereign rating.

Standard & Poor's Ratings Services gave Aneka Tambang 'B' long-
term local and foreign issuer credit ratings, effective Aug. 26,
2003.


INCO LTD: Teck Cominco Withdraws Proposed Equity Offering
---------------------------------------------------------
Teck Cominco Limited will not be amending its outstanding offer
to acquire all of the outstanding common shares of Inco Limited.

Teck's offer for Inco expired at midnight (Toronto time) on
August 16, 2006.

"While we received strong support from a large number of
institutional investors, in the end we could not complete the
proposed equity offering on terms that made sense for Teck
Cominco," Teck Cominco President and Chief Executive Officer Don
Lindsay said.  "Accordingly, we will not amend or extend our bid
for Inco.  We will now pursue some of the many other
opportunities we see to grow Teck Cominco and to add value for
our shareholders, both through enhancements to our existing
assets and through acquisitions."

                       About Teck Cominco

Headquartered in Vancouver, Canada, Teck Cominco Limited
(TSX:TCK.A; TCK.B; NYSE: TCK) -- http://www.teckcominco.com/--  
is a diversified mining company.  The Company focuses in the
production of zinc and metallurgical coal and also produces
copper, gold and specialty metals.

                         About Inco Ltd.

Headquartered in Sudbury, Ontario, Inco Limited (TSX, NYSE:N) --
http://www.inco.com/-- produces nickel, which is used primarily  
for manufacturing stainless steel and batteries.  Inco also
mines and processes copper, gold, cobalt, and platinum group
metals.  It makes nickel battery materials and nickel foams,
flakes, and powders for use in catalysts, electronics, and
paints.  Sulphuric acid and liquid sulphur dioxide are produced
as byproducts.  The company's primary mining and processing
operations are in Canada, the U.K., and Indonesia.

                          *     *     *

Inco Limited's 3-1/2% Subordinated Convertible Debentures due
2052 carry Moody's Investors Service's Ba1 rating.


INCO LTD: Board Says CVRD Offer Could Be a Superior Proposal
------------------------------------------------------------
Inco Limited gave its response to the offer commenced by
Companhia Vale do Rio Doce to purchase for cash all of the
outstanding common shares of Inco.

Inco's Board of Directors carefully reviewed and considered the
CVRD Offer, in consultation with its financial and legal
advisors and in the context of its legal obligations under its
existing Combination Agreement with Phelps Dodge Corporation.

Subject to certain exceptions, the Combination Agreement between
Inco and Phelps Dodge requires that Inco's Board of Directors
continue to recommend that Inco shareholders vote in favor of
the arrangement between Inco and Phelps Dodge unless it
determines that an acquisition proposal, in this case, the CVRD
Offer, constitutes a "superior proposal" and certain other
requirements are met.  The Board did not make the determination
that the CVRD Offer is a "superior proposal" for purposes of the
Combination Agreement and accordingly continues to recommend
that Inco shareholders vote in favor of the proposed combination
between Inco and Phelps Dodge.

However, the Board did determine, based on information then
available and after consultation with its advisors, that the
CVRD Offer could reasonably be expected to result in a "superior
proposal" for purposes of the Combination Agreement.  This
determination allows Inco to engage in discussions and
negotiations with CVRD pursuant to the terms of the Combination
Agreement and, accordingly, the Board has authorized Inco's
senior management and its advisors to engage in such discussions
and negotiations.

The CVRD Offer is open for acceptance until Sept. 28, 2006 and
is subject to a number of conditions.  Accordingly, there is no
necessity for Inco shareholders to take any action with respect
to the CVRD Offer at this time.  At this time, the Inco Board of
Directors has determined to remain neutral and to make no
recommendation to Inco shareholders in respect of the CVRD
Offer.

                          About CVRD

Headquartered in Rio de Janeiro, Brazil, Companhia Vale do Rio
Doce -- http://www.cvrd.com.br/-- engages primarily in mining  
and logistics businesses. It engages in iron ore mining, pellet
production, manganese ore mining, and ferroalloy production, as
well as in the production of nonferrous minerals, such as
kaolin, potash, copper, and gold.

                        About Inco Ltd.

Headquartered in Sudbury, Ontario, Inco Limited (TSX, NYSE:N) --
http://www.inco.com/-- produces nickel, which is used primarily  
for manufacturing stainless steel and batteries.  Inco also
mines and processes copper, gold, cobalt, and platinum group
metals.  It makes nickel battery materials and nickel foams,
flakes, and powders for use in catalysts, electronics, and
paints.  Sulphuric acid and liquid sulphur dioxide are produced
as byproducts.  The company's primary mining and processing
operations are in Canada, the U.K., and Indonesia.

                          *     *     *

Inco Limited's 3-1/2% Subordinated Convertible Debentures due
2052 carry Moody's Investors Service's Ba1 rating.


MEDCO ENERGI: Posts US$55.1-Million Net Income in First Half
------------------------------------------------------------
PT Medco Energi Internasional Tbk posted a US$55.1-million net
income for the first six months ended June 30, 2006, the company
reveals in a press release.

According to Medco Energi, the result translates to a 15.4%
improvement over the same period in 2005, which recorded a
US$47.7-million net income.  The Company says that the increase
was due to:

   * the increase of average oil and gas prices;

   * the 7.3% increase in the average oil lifting for the first
     six months of 2006; and

   * the gain in the swap transactions which resulted from the
     strengthening of the Indonesia currency at June 30, 2006,
     compared to a year ago.

Revenues came in at US$372.0 million, a 26.4% increase from the
previous corresponding period's US$294.4 million.  Oil and gas
revenues increased 35.2% to US$269.1 million, while drilling
operation and related services contributed US$43.0 million.  
Subsidiaries' revenues contributed US$46.15 million, a 12.1%
decreased compared to the US$52.4 million in 2005.

Exploration expenses increased to US$22.5 million for the first
half of 2006, while operating expenses increased US$59.5 million
from US$45.2 million a year ago.

Operating profit for the six months ending June 30, 2006,
amounted to US$134.6 million, a 7.9% increase from the June 30,
2005 operating profit of US$124.78 million.

Medco Energi's financial statements include these key figures:

               PT Medco Energi Internasional Tbk
                      Financial Highlights
                       (US$ in millions)

                                1H2006      1H2005     %Changes
                               --------    --------    --------
     Revenue                     372.0       294.4       26.4
     Gross Profit                194.0       169.9       14.2
     Total Assets              1,757.6     1,402.2       25.3
     Total Liabilities         1,203.5       885.5       35.9
     Total Equity                554.1       516.6        7.3
     Income from Operations      134.6       124.8        7.9
     Net Income                   55.1        47.7       15.4


Medco Energi's first half 2006 financial report is available for
free at: http://bankrupt.com/misc/MEDCOENERGY_1h2006.pdf

                      About PT Medco Energi

Headquartered in Jakarta, Indonesia, PT Medco Energi
Internasional Tbk -- http://www.medcoenergi.com-- is engaged in  
the exploration, production of and support services for oil and
natural gas and other energy industries, including onshore and
offshore drilling. Other activities include production of
methanol and its derivatives and raising funds by issuing debt
securities and marketable securities. Exploration and production
of oil and gas accounted for 78% of 2001 revenues; drilling
services, 15%; and methanol, 7%.

Medco Energy also has operations in the United States and in
Libya.

                          *     *     *

The Troubled Company Reporter - Asia Pacific stated on May 10,
2006 that Moody's Investors Service has affirmed the B1 local
currency corporate family rating of PT Medco Energi
Internasional.  At the same time, Moody's affirmed the B2 the
senior unsecured bond rating of MEI Euro Finance Ltd, which is
guaranteed by Medco.  The outlook was downgraded to negative in
August 2006.

Another TCR-AP report on May 10, 2006 said that Standard &
Poor's Ratings Services has revised its outlook on Indonesia's
PT Medco Energi Internasional Tbk. to negative from stable.  
Standard & Poor's also affirmed its "B+" corporate credit rating
on Medco, an Indonesia-based oil and gas exploration and
production company.


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

FALCONBRIDGE LTD: Xstrata Acquires 67.8% of the Company's Shares
----------------------------------------------------------------
Xstrata plc has disclosed that 257,700,100 common shares of
Falconbridge Limited had been validly deposited to Xstrata's
offer to acquire all Falconbridge common shares not already
owned by the company.

Xstrata has taken up and accepted for payment all shares
tendered, which represent approximately 67.8% of the issued and
outstanding Common Shares on a fully diluted basis.  Xstrata now
beneficially owns 349,922,526 Common Shares or approximately
92.1% of the issued and outstanding Common Shares on a fully
diluted basis.  Payment will be made to shareholders who have
tendered their shares on or before Aug. 17, 2006.

In line with Xstrata's intention to acquire 100% of Falconbridge
as soon as possible, the company has also extended the expiry
date of its all-cash offer to enable the remaining Falconbridge
shareholders to receive prompt payment of the same CND$62.50 per
share consideration under the offer.  The offer will now expire
at midnight (Vancouver time) on Aug. 25, 2006.  All other terms
and conditions of Xstrata's offer described in its offer and
offering circular dated May 18, 2006, as varied, amended, and
supplemented, remain unchanged.  Xstrata intends to acquire all
Common Shares not tendered to the offer following the expiry of
the offer pursuant to a compulsory acquisition or subsequent
acquisition transaction.

Xstrata has now taken effective control of Falconbridge and both
management teams are working closely together to facilitate a
smooth and swift integration of the two businesses.

Falconbridge shareholders with questions or requests for copies
of the documents, may contact:

           Kingsdale Shareholder Services Inc.
           Tel: 1-866-639-7993

Banks and brokers should call at 416-867-2272.

                       About Xstrata

Xstrata plc -- http://www.xstrata.com/-- is a major global   
diversified mining group, listed on the London and Swiss stock
exchanges.  The Group is and has approximately 24,000 employees
worldwide, including contractors.

Xstrata does business in six major international commodities
markets: copper, coking coal, thermal coal, ferrochrome,
vanadium and zinc, with additional exposures to gold, lead and
silver.  The Group's operations and projects span four
continents and nine countries: Australia, South Africa, Spain,
Germany, Argentina, Peru, Colombia, the U.K. and Canada.

                     About Falconbridge

Headquartered in Toronto, Ontario, Falconbridge Limited
(TSX:FAL) (NYSE:FAL) -- http://www.falconbridge.com/-- is a   
leading copper and nickel company with investments in fully
integrated zinc and aluminum assets.  Its primary focus is the
identification and development of world-class copper and nickel
orebodies.  It employs 14,500 people at its operations and
offices in 18 countries.  The Company owns nickel mines in
Canada and the Dominican Republic and operates a refinery and
sulfuric acid plant in Norway.  It is also a major producer of
copper (38% of sales) through its Kidd mine in Canada and its
stake in Chile's Collahuasi mine and Lomas Bayas mine.  Its
other products include cobalt, platinum group metals, and zinc.

Falconbridge has sales offices in Beijing, China, and Tokyo,
Japan, as well as a recycling plant in Penang, Malaysia.

                        *    *    *

Falconbridge's CDNUS$150 million 5% convertible and callable
bonds due April 30, 2007, carries Standard & Poor's BB+ rating.


FUJI HEAVY: Toyota May Provide Cars to Sell in Europe
-----------------------------------------------------
Toyota Motor Corp. is keen on supplying small cars to Fuji Heavy
Industries Ltd to sell in Europe, Reuters reports, citing the
Daily Yomiuri.

Toyota, which is Fuji Heavy's largest shareholder, is looking at
providing cars based on its Yaris model and on another model
sold only in Europe, Yomiuri relates.

According to Reuters, the move would help Fuji Heavy, which
lacks a strong small car model in a market where cars must meet
new tighter emission standards.  It would also help Toyota cut
costs by boosting volume sales.

Fuji Heavy, in which Toyota took an 8.7% stake from General
Motors Corp. last year, is aiming to redefine itself as a
premium carmaker but has failed to inspire sufficient sales.

As reported by the Troubled Company Reporter - Asia Pacific on
August 18, 2006, the Company's market share in Japan slipped to
4.2% in the first seven months of the year from 4.5% last year,
as Japanese consumers are shifting to minicars.

In a bid to curb plunging sales, Fuji Heavy has earmarked JPY60
billion, or US$515 million, to restructure its sales network in
Japan, TCR-AP reported.  Aside from refurbishing and modernizing
its showrooms, the Company is also looking at introducing four
new models in the next two years to regain its market share.

                   About Fuji Heavy Industries

Japan-based manufacturing company Fuji Heavy Industries Ltd is
engaged in the production, sale, repair and leasing of
automobile and transportation-related products.  The Company
distributes its products in both domestic and overseas markets.
As of March 31, 2006, Fuji Heavy Industries has 115 subsidiaries
and nine associated companies.  The Company has a global
network.

Standard & Poor's Ratings Services lowered its long-term credit
rating on Fuji Heavy Industries Ltd. to 'BB+' from 'BBB-' based
on diminished prospects for a recovery in profitability and cash
flow over the near term along with intensifying competition in
the global auto industry.  


JAPAN AIRLINES: To Hike Fuel Surcharges on Overseas Routes
----------------------------------------------------------
In a bid to offset skyrocketing jet fuel costs, Japan Airlines
Corporation has decided to raise fuel surcharges on
international flights by JPY700 to JPY5,600 starting October 1,
2006, The Japan Times Online reports.

According to The Japan Times, the carrier expects the increase
in fuel surcharges to generate JPY13 billion in revenue for the
six months to March 2007.

Japan Airlines has been increasing surcharges on international
flights since introducing them in January 2005, The Japan Times
relates.  After the hike, ticket prices will run from JPY2,000
to JPY17,100 per ticket from the current rates of between
JPY1,300 and JPY11,500.

As reported by the Troubled Company Reporter - Asia Pacific on
August 9, 2006, Japan Airlines is increasing rates for of its
international flights for the second time this year in order to
cope with rising aviation fuel prices and garner a profit for
the current fiscal year.

The Company's Senior Vice-President Tetsuya Takenaka earlier
explained that cost-cuts and efficient fuel use is not enough to
offset losses, the TCR-AP disclosed.

The Japan Times says that Japan Airlines has been trying to
reduce fuel consumption and cut purchasing costs by hedging.  It
is also considering selling off assets to cover the higher fuel
prices.  In addition, the carrier has also decided to abandon
loss-making routes and cut flight frequencies on certain
destinations.

The carrier will suspend flights between Nagoya and Manila and
cut the number of flights between Tokyo and Chicago starting
Oct. 29, 2006.  Instead, it will add flights on its profitable
routes to Southeast Asia and China, The Japan Times relates.

                      About Japan Airlines

Tokyo-based Japan Airlines International Company, Limited --
http://www.jal.com/en/-- was created as a result of the merger  
of Japan Airlines and Japan Air Systems to boost domestic
coverage.

As of March 31, 2006, JAL's debt amounted to JPY1.93 trillion,
whereas shareholders' equity stood at JPY148.1 billion.  

The Troubled Company Reporter - Asia Pacific stated on May 12,
2006, that JAL posted a consolidated net loss of
JPY47.24 billion for the business year 2005 ended March 31,
2006, due to safety-related incidents in 2005 that caused
passengers to shift to its rival All Nippon Airways, and an
increase in aviation fuel costs.

                          *     *     *

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
Company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the Company, which is three notches lower than
investment grade.

Moody's Investors Service gave Ba3 senior unsecured and issuer
ratings for Japan Airlines International Co., Ltd., as well as
its Ba3 issuer rating for Japan Airlines Domestic Co., Ltd.

On July 20, 2006, Standard & Poor's Ratings Services had
affirmed its B+ long-term corporate credit and senior unsecured
debt rating on the Company.


LIVEDOOR: Court to Begin Former President's Trial Next Month
------------------------------------------------------------
The Tokyo District Court has decided to open the trial of former
Livedoor Company president Takufumi Horie over securities laws
violation charges, Bloomberg News reports.

The first hearing will be conducted on September 4, 2006, to be
followed by 25 more hearings scheduled to be completed by
November 28 this year, Bloomberg says.

According to Crisscross News, the Court will hold one to three
hearings a week to finish all 26 within a three-month period.  
The schedule was agreed upon on August 18, 2006, during the
ninth session of conferences by Court officials, prosecutors and
Mr. Horie's lawyers under the Court's pretrial proceeding.

As reported by the Troubled Company Reporter - Asia Pacific on
January 18, 2006, Mr. Horie and other Livedoor directors were
found to have conspired to cover up the Company's JPY310-million
pre-tax loss for the business year ended September 2004, by
tampering financial accounts to instead show an inflated pre-tax
profit of JPY5.03 billion.  Moreover, Mr. Horie and the Company
executives allegedly relayed false information on a merger, with
the intent to boost the stock price of Livedoor's subsidiary,
Livedoor Marketing Co.

Livedoor's FY04 financial report included proceeds of
JPY1.58 billion from fake deals with two firms that the Company
was scheduled to acquire.  Some JPY1.3 billion of the proceeds
came from undue accounting procedures such as window-dressing,
the TCR-AP said.

The TCR-AP revealed on May 30, 2006, that four former Livedoor
directors, two external accountants, and both the Company and
its unit, Livedoor Marketing, pled guilty on May 26, to charges
of accounting fraud and violating the Securities Exchange Law.  
However, Mr. Horie denied the charges against him, saying that
he did not know everything his colleagues were doing.  He was
released in April from detention on bail of JPY300 million.

The TCR-AP further reported on July 28, 2006, that Mr. Horie's
defense lawyers admitted on July 26, 2006, that the Company was
partially involved in accounting fraud, but claimed that Mr.
Horie was not aware of the illegal activities.

                          *     *     *

Headquartered in Tokyo, Japan, Livedoor Company, Limited
-- http://corp.livedoor.com/en/-- is involved in out portal  
site "livedoor," financial business, corporate web solutions,
data center and IP telephony business.

The Troubled Company Reporter - Asia Pacific reported that in
January 2006, Livedoor ex-president and founder Takafumi Horie,
and other Livedoor directors were investigated over allegations
that they have conspired to cover up the Company's JPY310-
million pre-tax loss for the financial year ended September 2004
by doctoring financial accounts to instead show an inflated pre-
tax profit of JPY5.03 billion.

Following the accounting scandal surrounding the Company in
January 2006, Livedoor's stock price plunged to JPY94 per share
from over JPY300 per share.  Livedoor was delisted from the
Tokyo Stock Exchange on April 14, 2006.


SOFTBANK CORPORATION: Inks Joint Venture Pact with SBI
------------------------------------------------------
Softbank Corporation and SBI Holdings Incorporated have agreed
to form a JPY200-million joint venture for the operations of a
new financial data portal, The Japan Times reports.

A Softbank official told The Japan Times that the two companies
are looking to set up a portal that will cover all kinds of
financial products and services by combining business know-how.

Softbank presides over a wide array of telecom operations,
including broadband, fixed-line and mobile telephone services.  
Its group firms also operate in the video and online game
businesses.

SBI Holdings, on the other hand, is known for its investment
expertise in various financial products, including securities,
insurance and commodity futures.

According to The Japan Times, the 50-50 joint venture is
primarily aimed at maintaining friendly ties between the two
firms after they severed ties on August 3, 2006, when a Softbank
subsidiary disposed of its entire shareholding in SBI.

The joint venture, which has not yet been named, will put
Softbank President Masayoshi Son and SBI Chief Executive Officer
Yoshitaka Kitao on its board, the report says.

                      About Softbank Corp.

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.

Moody's Investors Service had, on August 9, 2006, upgraded
Softbank Corp.'s stable long-term debt rating and issuer rating
to Ba2 from Ba3, concluding a review initiated on March 17,
2006, when the Company announced that it would acquire a 97.7%
stake in mobile phone giant Vodafone Group's Japanese unit,
Vodafone K. K.


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

DAEWOO ELECTRONICS: Five Firms Submit Final Offer
-------------------------------------------------
Five firms have submitted their final bids for the acquisition
of home appliance and television maker Daewoo Electronics Co.
Ltd, The Financial Express relates.

A source privy to the matter disclosed that the bidders consist
of one domestic investor and four foreign companies, including
India's Videocon Industries Ltd, Financial Express says.

Although the source would not name the four other bidders, local
newspapers had named three candidates as top global insurer AIG,
private equity firm Newbridge Capital and South Korean venture
capital KTB Network Company Limited, DNA India relates.

The Troubled Company Reporter - Asia Pacific reported on
June 29, 2006, that Daewoo Electronics' creditors have short-
listed five bidders to conduct due diligence on the Company.
  
Daewoo Electronics is being sold by its domestic creditors, who
own 97% of the unlisted firm.  The deal value is not known but
earlier media reports suggested the sale could fetch up to
US$1 billion.

Reuters says that Daewoo's creditors would name a preferred
bidder, along with one or two reserve bidders, late this week.

ABN AMRO, Woori Investment & Securities Co. and Samil
PricewaterhouseCoopers are managing the sale.

                   About Daewoo Electronics

Headquartered in Chung-Gu, Seoul, Daewoo Electronics Corporation
-- http://www.dwe.co.kr/-- is the third largest Korean consumer  
electronics company.  It manufactures and sells a variety of
products including televisions, DVD players, refrigerators, air
conditioners, washing machines, microwaves, vacuum cleaners and
car audio systems in over 105 countries.

The Troubled Company Reporter - Asia Pacific reported on
November 14, 2005, that creditors of Daewoo Electronics have
placed the firm for sale for US$1 billion.  ABN Amro,
PricewaterhouseCoopers and Woori Bank were appointed to find a
buyer for the business.

According to the TCR-AP, Daewoo Electronics has been under a
debt workout program since January 2000, months after its parent
group -- the Daewoo Group -- collapsed under debts of nearly
US$80 billion in 1999.

Daewoo Electronics Corp. posted a KRW94-billion loss in 2005
after sales declined 6.4%.  The net loss compares with the
KRW30-billion profit the company posted in 2004.  Sales fell to
KRW2.2 trillion from KRW2.3 trillion in 2004.


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

AYER HITAM: Unit Inks Joint Venture Deal to Develop Land
--------------------------------------------------------
On August 18, 2006, Ayer Hitam Tin Dredging Malaysia Berhad's
wholly owned subsidiary, AHT Technology Sdn Bhd, entered into a
joint venture agreement with Janlim Holdings (M) Sdn Bhd for the
development of a land property into a residential project
comprising of residential units together with the necessary
facilities, infrastructure and amenities on a 50:50 joint
venture basis.

Janlim Holdings is the registered proprietor and owner of the
land.  The category land use of the land is agriculture, which
has been approved and converted to development land with a
leasehold tenure of 99 years, pending payment of the conversion
premium by Janlim Holdings.  The land is currently free from all
encumbrances and charges.

The JV Agreement is expected to complement Ayer Hitam Group's
effort to continue to focus and expand on its core business
activity in property development.  It will allow the Ayer Hitam
Group to participate in a property development project, which is
expected to contribute to its future earnings without having to
raise funds to acquire land.

The Agreement will not have any effect on the share capital and
substantial shareholdings of Ayer Hitam as it does not involve
any issuance of new shares in the Company.  However, Ayer
Hitam's board of directors expects that it will contribute
positively to the future long terms earnings of the Group.

                         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.  


BIMB HOLDINGS: Bourse Grants More Time to Release 4Q Results
------------------------------------------------------------
Bursa Malaysia Securities Berhad, on August 17, 2006, granted
five more market days immediately after receipt of the relevant
authorities' approval for BIMB Holdings Berhad to release its
fourth quarter results for the financial period ended June 30,
2006.

The extension is subject to the finalization and submission of
the draft audited accounts for the financial year ended June 30,
2006, of its wholly owned subsidiary, Bank Islam Malaysia Berhad
to Bank Negara Malaysia by August 30, 2006.

                      About BIMB Holdings

Headquartered in Kuala Lumpur, Malaysia, BIMB Holdings Berhad
-- http://www.bankislam.com.my/-- is an investment holding  
company, which operates along Islamic principles.  The Company
was incorporated in Malaysia on March 20, 1997, and was listed
on the Main Board of the Kuala Lumpur Stock Exchange on
September 16 in the same year.  Core subsidiaries of the Group
are involved in various Islamic financial service activities
including banking, stock-broking, leasing and other related
services.  

The firm has incurred substantial losses since 2000 due to huge
financing costs and high provisions for loss-making offshore
units.  For the quarter ended March 31, 2006, the Group incurred
a pre-tax loss of MYR67,494,000 on a revenue of MYR300,103,000,


LIEN HOE: Pre-tax Loss Widens to MYR8.45 Mil. in 2nd Quarter
------------------------------------------------------------
Lien Hoe Corporation Berhad has submitted for public release its
financial report for the second quarter ended June 30, 2006.

For the quarter under review, the Group posted a higher revenue
of MYR32,281,000, as compared with MYR23,517,000 revenue in the
same quarter last year.  The improvement is mainly due to higher
earnings from the construction division.

However, loss before tax has increased to MYR8,450,000 in the
current quarter from MYR8,122,000 in the quarter ended June 30,
2005.  The higher loss is mainly due to soaring finance cost.

The Company has been operating at a loss since 1999.  As of
June 30, 2006, the Company has accumulated losses of
MYR182,880,000.

The Company's June 30, 2006, balance sheet revealed strained
liquidity with current assets of MYR72,352,000 available to pay
current liabilities of MYR342,761,000 coming due within the next
12 months.  The balance sheet also showed total assets of
MYR650,487,000, total liabilities of MYR457,551,000 and total
shareholders' equity of MYR192,936,000.

There was no dividend recommended or paid for the second
quarter.  
   
The Group expects to continue to operate at a loss for this
financial year because of high finance costs.  To reduce its
borrowings, the Group is looking at various avenues including
the disposal of assets.

The Company's Second Quarter Report is available for free at:

   http://bankrupt.com/misc/tcrap_lienhoe081906.xls

                   About Lien Hoe Corporation

Headquartered in Petaling Jaya, Selangor, Malaysia, Lien Hoe
Corporation Berhad -- http://www.lienhoe.com.my/home.htm-- is  
engaged in building and civil works, property investment,
operation of hotel operations and property development.  The
Company is also engaged in the management of food court, car
park operations and property and investment holding.  The Group
principally operates in Malaysia.

Lien Hoe Corporation Berhad and its lenders have successfully
entered into a debt restructuring agreement on September 10,
1999.  The proposed debt restructuring involves the
restructuring of debts, totaling MYR212.062 million, owed by
Lien Hoe and one of its subsidiaries, Lien Hoe Resort Sdn Bhd,
to creditors.  Lien Hoe also implemented a capital reduction
exercise as part of its restructuring.

The Company has been operating at a loss since 1999.  As of
June 30, 2006, the Company has accumulated losses of
MYR182,880,000.


LIEN HOE: Lists and Quotes 1 Million New Shares
-----------------------------------------------
Lien Hoe Corporation Berhad's additional 1,000,000 new ordinary
shares of MYR1 each were granted listing and quotation on
August 11, 2006.

The new shares were derived from the conversion of MYR1,000,000
nominal value of 2% 2002/2007 irredeemable convertible unsecured
loan stocks into 1,000,000 new ordinary shares.

                   About Lien Hoe Corporation

Headquartered in Petaling Jaya, Selangor, Malaysia, Lien Hoe
Corporation Berhad -- http://www.lienhoe.com.my/home.htm-- is  
engaged in building and civil works, property investment,
operation of hotel operations and property development.  The
Company is also engaged in the management of food court, car
park operations and property and investment holding.  The Group
principally operates in Malaysia.

Lien Hoe Corporation Berhad and its lenders have successfully
entered into a debt restructuring agreement on September 10,
1999.  The proposed debt restructuring involves the
restructuring of debts, totaling MYR212.062 million, owed by
Lien Hoe and one of its subsidiaries, Lien Hoe Resort Sdn Bhd,
to creditors.  Lien Hoe also implemented a capital reduction
exercise as part of its restructuring.

The Company has been operating at a loss since 1999.  As of
June 30, 2006, the Company has accumulated losses of
MYR182,880,000.


NAKAMICHI CORPORATION: Books MYR2.17-M Net Loss in 2nd Quarter
--------------------------------------------------------------
Nakamichi Corporation Berhad has submitted for public release
its financial report for the second quarter ended June 30, 2006.

For the quarter under review, the Group booked a MYR7,004,000
revenue, an improvement from the MYR,819,000 revenue in the same
quarter last year.

The Group registered a net loss of MYR2,169,000 in the quarter
ended June 30, 2006, compared to a net loss of MYR1,315,000 in
the same quarter ended June 30, 2005.

For the half-year, the Group achieved a sales turnover of
MYR11,899,000 as compared with MYR7,025,000 achieved last year.  
The half-year net loss was MYR4,775,000 compared with a net loss
of MYR3,024,000 for the same period last year.

The Company has been suffering continuous losses since the first
quarter of fiscal 2004.  As of June 30, 2006, the Company
recorded an accumulated loss figure of MYR31,193,000.

As of June 30, 2006, the Company's balance sheet showed current
assets of MYR29,804,000 available to pay current liabilities of
MYR24,291,000.  The balance sheet also revealed total assets of
MYR87,011,000 and total liabilities of MYR24,291 resulting into
shareholders' equity of MYR62,720,000.

There was no dividend recommended or declared for the period
under review.

The Company's Second Quarter Report is available for free at:

  http://bankrupt.com/misc/tcrap_nakamichicorp081806.pdf

                      About Nakamichi Corp.

Nakamichi Corporation Berhad -- http://www.nakamichi.com/-- is  
a Malaysia-based company that is principally engaged in the
manufacture and marketing of audiovisual and multimedia
equipment.  The Company's products are marketed and sold
worldwide through a distribution network spanning Asia, Europe,
North America, South America, Africa, the Middle East, the Near
East and Australia.

The Company has been suffering continuous losses since the first
quarter of fiscal 2004.  As of June 30, 2006, the Company
recorded an accumulated loss figure of MYR31,193,000.


POLYMATE HOLDINGS: Given Until November to Submit Rehab Plan
------------------------------------------------------------
Bursa Malaysia Securities Berhad, on August 16, 2006, granted
Polymate Holdings Berhad another three months until November 30,
2006, to submit its regularization plan pursuant to Bursa
Malaysia Securities Berhad's Listing Requirements.

The Troubled Company Reporter - Asia Pacific reported on
July 27, 2006, that the Bourse, on July 24, rejected Polymate's
request to extend the deadline for submission of its
regularization plan until January 31, 2007.  The Company
immediately filed an appeal against the Bourse's rejection of
the application.

The TCR-AP further reported on August 9, 2006, that the
Company's securities were suspended on August 7, due to its
failure to submit its regularization plan within the stipulated
timeframe.

The Bourse warned that it may take delisting procedures against
Polymate if the Company fails to comply with the Listing
Requirements.

                    About Polymate Holdings

Headquartered in Selangor Malaysia, Polymate Holdings Berhad
-- http://www.polymate.com.my/-- is engaged in the  
manufacturing and marketing of lead acid batteries for the
automotive and related industries.  It is also engaged in the
manufacturing and dealing of plastic articles and products,
corrugated carton boxes and related products, manufacturing and
trading of door closers and trading of building materials,
investment holding, and provision of corporate and financial
support services.  The Group operates in Malaysia, Australia,
New Zealand, and Europe.

Polymate is negotiating with its lenders to restructure the
Group's credit facilities and is working on various schemes to
regulate its financial position.


PROTON HOLDINGS: To Declare Final Dividend
------------------------------------------
Proton Holdings Berhad intends to pay a final dividend of 5% per
share tax exempt on October 13, 2006.

Parties-in-interest are required to submit their proofs of claim
by September 14, 2006.

                      About Proton Holdings

Headquartered in Selangor Darul Ehsan, Malaysia, Perusahaan
Otomobil Nasional Berhad or Proton Holdings Berhad
-- http://www.proton-edar.com.my/-- is engaged in  
manufacturing, assembling, trading and provision of engineering
and other services in respect of motor vehicles and related
products.  Its other activities include property development,
trading of steel and related products, engine and technologies
research, development of automotive related technologies,
investment holding, importation and distribution of motor
vehicles, related spare parts and accessories, holds
intellectual property, provides engineering consultancy,
operates single make race series and carries out specific
engineering contracts.  The Group's operations are carried out
in Malaysia, England, Australia, Socialist Republic of Vietnam
and the United States of America.

Proton was reported to be among Malaysia's worst-performing
companies in 2005, after competition from foreign carmakers and
a lack of new models lost the firm local market share and
subsequently led it into a loss.  It has since brought in a new
chief, sold its loss-making MV Agusta motorbike firm and pledged
to find a new technology partner.  The Company has been under
increasing pressure, with its share of domestic sales falling to
44% from 75% over the past decade.

The Troubled Company Reporter - Asia Pacific reported on May 4,
2006, that Proton was expected to finalize a recovery plan and
seal an alliance with a strategic partner by the end of this
year.


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

BANCO DE ORO: Philippines' Best for 2005, Asiamoney Says
--------------------------------------------------------
Banco de Oro Universal Bank and its wholly owned investment
banking subsidiary BDO Capital & Investment Corp. were recently
cited by Asiamoney magazine as the best in their respective
fields for 2005.  BDO Universal Bank was adjudged  "Best
Domestic Bank", while BCIC received the "Best Equity House" and
"Best Debt House" awards.  This was a first-ever sweep of all
country awards by a single banking group.

To come up with the best domestic bank, best equity house and
best debt house in each country, Asiamoney's editorial team
conducts a period of intensive market research, discussions with
market experts, investors, business advisors and top-ranked
research analysts.

Asiamoney's editorial team conducts an extensive assessment of
each institution using these criteria before deciding the
winners, including:

   (a) strength of an institution's financial performance,
   (b) financial and expansion strategy,
   (c) market penetration,
   (d) product innovation, and
   (e) customer satisfaction

As of March 31, 2006, Banco de Oro was the Philippines' 5th
largest bank with total assets of PHP239 billion, and net loans
of PHP87 billion.  In terms of liquid assets, BDO ranked 4th
largest with PHP120 billion.

BDO Capital is the Philippines' 5th largest investment house,
with total assets of PHP1.3 billion as of March 31, 2006.  BCIC
has led and participated in the major capital markets
transactions for both the government and private corporations in
2005.  Total combined debt issue and total equity issue was
PHP132.5 billion in 2005.

Asiamoney is a renowned regional publication providing leading
coverage and analysis of the financial and investment markets in
the Asia Pacific countries.

                       About Banco de Oro

Banco de Oro Universal Bank -- http://www.bdo.com.ph/--  
provides a wide range of corporate, commercial and retail
banking services in the Philippines, which include traditional
loan and deposit products, as well as treasury, trust banking,
investment banking, cash management, insurance, remittance,
retail cash cards and credit card services.

Banco de Oro is a member of the SM Group of Companies, one of
the Philippines' largest conglomerates, and is currently ranked
among the top 10 banks in the Philippines in terms of assets,
capital, deposits and loans.  Its asset quality indicators (non-
performing loans & non-performing assets) are among the lowest
in the industry.

                          *     *     *

Fitch Ratings Ltd. had on July 27, 2006, upgraded Banco de Oro
Universal Bank's Support rating to '3' from '4', and affirmed
its Individual rating at 'C/D', following a review of the Bank.


GLOBE TELECOM: Fitch Upgrades Foreign Currency IDR To 'BB+'
-----------------------------------------------------------
Fitch Ratings upgrades Globe Telecom Inc.'s Long-term foreign
currency Issuer Default Rating to 'BB+' from 'BB'.  The Outlook
is Stable.  At the same time, Fitch upgrades Globe's senior
unsecured debt instruments to 'BB+' from 'BB' while it also
affirmed Globe's Long-term local currency IDR of 'BB+' with a
Positive Outlook and National Long-term rating of 'AAA(phl)'
with a Stable Outlook.

The ratings action follows the announcement by Fitch that it has
upgraded the Country Ceiling on the Republic of the Philippines
to 'BB+' from 'BB'.  Globe's foreign currency IDR and senior
unsecured debt instrument ratings remain constrained by the
sovereign Country Ceiling.  On the other hand, Globe's Long-term
local currency IDR is not constrained with the IDR effectively
already exceeding the Republic of the Philippines' local
currency IDR of 'BB+' with a Stable Outlook.


PHILIPPINE LONG DISTANCE: Fitch Ups Issuer Default Rating to BB+
----------------------------------------------------------------
Fitch Ratings upgrades Philippine Long Distance Telephone
Company's Long-term foreign currency Issuer Default Rating to
'BB+' from 'BB'.  The Outlook is Stable.  At the same time,
Fitch upgrades PLDT's global bonds and senior notes to 'BB+'
from 'BB' while it also affirmed PLDT's Long-term local currency
IDR of 'BBB-' with a Positive Outlook and National Long-term
rating of 'AAA(phl)' with a Stable Outlook.

The ratings action follows the announcement by Fitch that it has
upgraded the Country Ceiling on the Republic of the Philippines
to 'BB+' from 'BB'.  PLDT's foreign currency IDR and senior debt
instrument ratings remain constrained by the sovereign Country
Ceiling.  On the other hand, PLDT's Long-term local currency IDR
is not constrained with the IDR already exceeding the Republic
of the Philippines' local currency IDR of 'BB+' with a Stable
Outlook.


SAN MIGUEL: Shares Still Expensive, Analysts Say
------------------------------------------------
Even as San Miguel Corp. starts to harvest the fruits of its
overseas expansion, many analysts still prefer other food
companies by sales in the Philippines, Micheline R. Millar of
Dow Jones reports.

The report cites analysts as saying that San Miguel has a
demanding valuation even as it underperformed in the overall
market.  The Company is more expensive on a price/earnings basis
than other local or regional food manufacturers, the report
adds.

"We're still neutral on the stock, partly because of the price,"
says Macquarie Securities analyst Nadine Javellana, who notes
the more widely traded Class B shares are already near her price
target of PHP75 (US$1.46).  "We may adjust our price target, but
nothing's final yet.  This is still a plan."

Dow Jones notes that the median price target of five brokerage
houses polled by Thomson Financial for San Miguel's Class B
shares is PHP74.50.

The paper also cites ATR Kim Eng Securities analyst Leo
Venezuela, who has a "hold" on San Miguel, saying that compared
with other Southeast Asian food-and-beverage makers, San Miguel
looks pricey even after taking into account its historical
premium as one of Asia's largest food companies.

Mr. Venezuela explains, "San Miguel, being a regional food-and-
beverage company, should be compared to counterparts in the
region.  He discloses that his estimate is regional food-and-
beverage companies are trading at a P/E ratio of 14 times to 19
times.

                      About San Miguel Corp.

Headquartered in Manila, Philippines, San Miguel Corporation --
http://www.sanmiguel.com.ph/-- through its subsidiaries,  
operates food, beverage and packaging businesses.  The Company's
products include beer, wine and spirits, soft drinks, mineral
water, chicken and pork products.  San Miguel markets its
products both in the domestic and overseas markets.  The Company
also manufactures glass, metal, plastic, paper and composites
packaging products.

A Troubled Company Reporter - Asia Pacific report on April 20,
2006, stated that Moody's Investors Service put a (P)Ba3 foreign
currency rating on the proposed preferred stock issuance
of San Miguel Corp. subsidiary San Miguel Capital Funding
Limited.  Moody's also placed a Ba1 local currency corporate
family and indicative foreign currency senior unsecured rating
on the Company.  

Standard & Poor's Ratings Services gave San Miguel Corp. a 'BB'
foreign currency corporate credit rating and a 'B' rating to its
proposed five-year benchmark non-callable, non-cumulative, non-
voting, perpetual preferred shares to be issued by San Miguel
Capital Funding.


SAN MIGUEL: Posts PHP121.6-Billion Net Sales Revenue for 1H2006
---------------------------------------------------------------
San Miguel Corporation sustained its double-digit growth with
consolidated net sales revenue for the first semester of 2006
reaching PHP121.6 billion, 21% higher than last year with the
Food Group contributing a hefty 13% volume growth.

San Miguel's consolidated operating income for the first-half
amounted to PHP11.1 billion, 48% higher than last year.

The consolidation of National Foods Limited contributed much to
the increase, coupled with benefits from improved raw material
costs and more rigorous cost containment measures.

"Yet we reckon there are still costs to be managed related to
National Foods, despite its significantly growing impact to the
San Miguel Group," Micheline R. Millar of Dow Jones cites SMB
Chief Financial Officer Ferdinand Constantino as saying.

Consolidated net income for the first-half of the year totaled
PHP43.6 billion, 15% higher than the 2005 level, primarily due
to financing costs of PHP4.464 billion related also to National
Foods' acquisition.

For the first-half of 2006, the Company's total assets were at
PHP328.737 billion and total liabilities were at
PHP204.776 billion.  The Company also posted total stockholders'
equity of PHP143.961 billion.

A full-text copy of the Company's Consolidated Financial
Statements for the period ending June 30, 2006, is available for
free at:

http://www.pse.org.ph/html/ListedCompanies/pdf/2006/SMC_17Q_Aug2006.pdf

                      About San Miguel Corp.

Headquartered in Manila, Philippines, San Miguel Corporation --
http://www.sanmiguel.com.ph/-- through its subsidiaries,  
operates food, beverage and packaging businesses.  The Company's
products include beer, wine and spirits, soft drinks, mineral
water, chicken and pork products.  San Miguel markets its
products both in the domestic and overseas markets.  The Company
also manufactures glass, metal, plastic, paper and composites
packaging products.

A Troubled Company Reporter - Asia Pacific report on April 20,
2006, stated that Moody's Investors Service put a (P)Ba3 foreign
currency rating on the proposed preferred stock issuance
of San Miguel Corp. subsidiary San Miguel Capital Funding
Limited.  Moody's also placed a Ba1 local currency corporate
family and indicative foreign currency senior unsecured rating
on the Company.  

Standard & Poor's Ratings Services gave San Miguel Corp. a 'BB'
foreign currency corporate credit rating and a 'B' rating to its
proposed five-year benchmark non-callable, non-cumulative, non-
voting, perpetual preferred shares to be issued by San Miguel
Capital Funding.


* The Philippines' PHP17 Billion July Budget Deficit is on Track
----------------------------------------------------------------
The Philippines posted a budget deficit of PHP17 billion  
(US$331.7 million) in July 2006, ending a run of three
consecutive monthly surpluses as the Government increased
spending for infrastructure projects, Cecilia Yap of Bloomberg
News reports.

However, officials said that they are sticking with their
targeted cap on the full-year budget deficit of PHP125 billion,
the report says.

"We should finish all infrastructure projects within the coming
three months," Bloomberg cites budget secretary Rolando Andaya
as saying.

Bloomberg relates that for the first seven months of 2006, the
budget deficit totaled PHP48.5 billion, narrower than a deficit
of PHP82.6 billion in the year-earlier period and just 39% of
the full-year cap.  For the same period of 2005, the deficit was
46% of the full-year ceiling, Bloomberg recounts.

Finance Secretary Margarito Teves asserts that the Country is on
track with its revenue program and fiscal target.

According to Mr. Teves, Congress's failure to pass the proposed
2006 budget partly contributed to the narrower deficit in the
first seven months.  That could change in coming months as
Congress tackles President Gloria Macapagal Arroyo's request for
a supplemental budget of PHP46 billion pesos for public-works
and social-services projects, Bloomberg relates.

Standard & Poor's Ratings Services had, on July 25, 2006,
affirmed its 'BB-' senior unsecured rating on the Philippines'
-- foreign currency BB-/Stable/B, local currency BB+/Stable/B --
bonds due in 2016 and 2031.


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

CELATO PTE: Enters Liquidation Proceedings
------------------------------------------
On August 15, 2006, Cultural Day Limited filed an application to
wind up Celato (Singapore) Pte Ltd.

The High Court of Singapore will hear wind-up petition on
September 8, 2006, at 10:00 a.m.

The Plaintiff's solicitors can be reached at:

         Rodyk & Davidson
         80 Raffles Place
         #33-00 UOB Plaza 1
         Singapore 048624


PDC Corp: June 30 Balance Sheet Reveals Stockholders' Deficit
-------------------------------------------------------------
PDC Corporation has submitted to Singapore Stock Exchange its
unaudited financial statement for the second quarter ended June
30, 2006.

The financial report showed that the Group incurred a loss of
SGD8,000 for the second quarter ended June 30, 2006, a
significant decrease from a SGD152,000 loss in the corresponding
period last year.

For the quarter under review, the Group booked a net loss before
tax and loss attributable to shareholders of approximately
SGD0.37 million.

The Group's June 30, 2006, balance sheet showed SGD833,000 in
current assets available to pay SGD21,176,000 current
liabilities coming due within the next 12 months.  The Company
has a net current deficit of SGD20,343,000.  

As of June 30, 2006, the Company's balance sheet revealed
current assets of SGD48,000 and current liabilities of
SGD4,082,000, resulting into a net current deficit of  
SGD4,034,000.

The Group's total assets as of June 30, 2006, stands at
SGD894,000 and total liabilities of SGD31,325,000, resulting
into a stockholders' deficit of SGD20,431,000.

Meanwhile, the Company's June 30, 2006, balance sheet revealed
total assets of SGD110,000 and total liabilities of
SGD4,183,000, resulting into a shareholders' deficit of
SGD4,073,000.

There was no dividend declared or recommended for the quarter
under review.

The Company's financial report is available for free at:

http://bankrupt.com/misc/tcrap_pdccorp082106.pdf
                          *     *     *

Headquartered in Singapore, PDC Corporation Limited is
principally involved in the provision of general construction,
property development, real estate and investment.  Its other
activities are the provision of renovation work of any kind and
for the demolition of any structure, trading, rental and
servicing of industrial machinery and equipment and the
distribution of multimedia products, home automation system,
other high technology products and investment holding.  

Auditors Ernst & Young has expressed significant doubt on the
Company's ability to continue as a going concern citing its
liabilities and default in repayments.

                       
PDC CORP: Notes Changes to Board
--------------------------------
PDC Corporation Ltd. has disclosed changes to its board of
directors in a filing to the Singapore Exchange.

Dr. Wang Kai Yuen, a non-executive and independent director, has
been appointed Chairman of the Board of Directors of the Company
from August 11, 2006.

Gan Wui Koh is its new chief operation officer and an executive
director, while John Chen Seow Phun as a non-executive and
independent director.

PDC Corp.'s new board now comprises of:

   1. Dr. Wang Kai Yuen
   2. Ms. Mah Peek Sze
   3. Ms. Gan Wui Koh
   4. Mr. Chang Mak Chow
   5. Mr. See Tow Siew Chuan
   6. Mr. Chua Teck Leong
   7. Mr. Luar Eng Hwa
   8. Mr. Chen Seow Phun


                          *     *     *

Headquartered in Singapore, PDC Corporation Limited is
principally involved in the provision of general construction,
property development, real estate and investment.  Its other
activities are the provision of renovation work of any kind and
for the demolition of any structure, trading, rental and
servicing of industrial machinery and equipment and the
distribution of multimedia products, home automation system,
other high technology products and investment holding.  

Auditors Ernst & Young has expressed significant doubt on the
Company's ability to continue as a going concern citing its
liabilities and default in repayments.


VAN HIN FURNITURE: Court to Hear Wind-Up Petition on September 1
----------------------------------------------------------------
An application to wind up Van Hin Furniture Company Pte Limited
was filed by JTC Corporation on August 10, 2006.

The High Court of Singapore is set to hear the wind-up petition
on September 1, 2006, at 10:00 a.m.

The Solicitors' Plaintiffs can be reached at:

         Tan Kok Quan Partnership
         No. 5 Shenton Way
         Level 29, UIC Building
         Singapore 068808


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

SRITHAI FOOD: SET Place Securities in Non-Performing Group
----------------------------------------------------------
The securities of Srithai Food & Beverages Public Co Ltd will be
placed in the "Non-Performing Group" sector of the Stock
Exchange of Thailand starting August 29, 2006.

According to the SET, when the Company's shareholder equity is
less than zero, the firm is given two years from the
announcement of a possible delisting to rehabilitate itself.  If
a company is unable to resolve the causes of possible delisting
within two years, the SET will remove its securities from the
trading board and transfer them into the Non-Performing Group.

If the company then resolves its problems in line with the SET's
criteria, the SET will consider moving the securities back to be
traded in its normal sector.

Since June 9, 2004, the SET announced that SRI is subjected to
rehabilitation plan under the REHABCO sector.  The SET, after
considering the latest financial statements of the Company
submitted on August 15, 2006, said that SRI did not resolve its
problems in line with the SET criteria.

Thus, the SET will follow its resolutions by removing the
securities of SRI from the trading board and transfer it into
the Non-Performing Group from August 29 onward until the company
has resolved its causes of possible delisting.

                          *     *     *

Headquartered in Amphoe Bang Phli Samut Prakarn, Thailand,
Srithai Food & Beverage Public Co Ltd --
http://www.srithaifood.thailand.com/-- markets and manufactures  
seasoning, sauce, beverages, and personal care products.

The Company had been under rehabilitation since 2005 and was
placed under the REHABCO sector of the Stock Exchange of
Thailand.   On July 3, 2006, the Troubled Company Reporter -
Asia Pacific reported that the SET reclassified the sector.

Based on the reclassification, all 34 companies in the
Rehabco Sector, had their securities reclassified.  Srithai's
securities were placed back to their original sector as they
have been in the Rehabco Sector for less than two years.  
However, non-compliance -- NC -- and suspension -- SP -- signs
was be posted on their shares until they meet the rehabilitation
requirements.


* Fitch Revises Country Ceilings for 40 Countries
-------------------------------------------------
Fitch Ratings has, on August 17, 2006, revised upwards the
Country Ceilings for 40 countries.  The Country Ceilings are an
effective cap on all foreign currency ratings of entities and
transactions originating within each country.  Fitch first
publicly assigned Country Ceilings to countries with Fitch-rated
sovereign issuers in June 2004.

Country Ceilings capture the risk of exchange controls being
imposed that would prevent or materially impede the private
sector's ability to convert local into foreign currency and
transfer to non-resident creditors transfer and convertibility
risk.  Country Ceilings are not ratings but rather a key
analytical input and constraint on the foreign currency ratings
of entities and transactions originating in the sovereign's
jurisdiction.  Increased integration of national economies into
global production, trade and financial networks has reduced T&C
risk, as evidenced by the experience of sovereign crises over
the last decade.  However, T&C and country risk more generally
remain strongly correlated with sovereign risk and hence Country
Ceilings are "notched" from the foreign currency rating of the
sovereign.  The ratings of transactions and non-sovereign
entities that are above the sovereign and capped at the Country
Ceiling may consequently exhibit more volatility at a given
rating level than would normally be expected.

The methodology for assigning Country Ceilings was recently
updated as part of Fitch's regular and on-going review of its
criteria and methodologies.  As a result of the review of the
Country Ceiling methodology, the Country Ceilings on 40
countries have been revised upwards -- out of a total of 99.  
The average "notch" uplift has been increased by around 50 basis
points to a little over one notch above the sovereign foreign
currency issuer rating.  The upward revision to Country Ceilings
since they were first assigned more than two years ago reflects
greater liberalization of capital and exchange controls in many
"emerging market" economies, such as Russia and Brazil, the
strengthening of monetary and exchange rate regimes and the
deepening integration of emerging markets in the global economy.

Corporations, financial institutions and structured transactions
can only be rated above the sovereign foreign currency issuer
rating and up to the Country Ceiling if their stand-alone credit
quality is judged to be sufficiently strong to withstand a
sovereign debt crisis.  The ratings of financial institutions
and corporations are affected by the revision to the Country
Ceilings and will be detailed in subsequent announcements.

The revised Country Ceilings for Asia-Pacific countries are:

   * Hong Kong -- Country Ceiling revised to 'AAA' from 'AA'
   * Indonesia -- Country Ceiling revised to 'BB' from 'BB-'
   * Korea -- Country Ceiling revised to 'AA' from 'AA-'
   * Malaysia -- Country Ceiling revised to 'A' from 'A-'
   * Philippines -- Country Ceiling revised to 'BB+' from 'BB'
   * Taiwan -- Country Ceiling revised to 'AA' from 'AA-'


                            *********

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, 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.
   
                 *** End of Transmission ***