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                     A S I A   P A C I F I C  

           Thursday, August 31, 2006, Vol. 9, No. 173

                            Headlines

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

3C CHEMICAL LABORATORIES: To Declare First and Final Dividend
3D RECYCLING: Court to Hear CIR's Liquidation Bid on Sept. 28
A.H.B. PTY: Members Resolve to Wind-Up Firm
A H LANDSEER: To Declare Dividend on September 13
ANELA PTY: Appoints Official Receivers and Managers

BISACAR PTY: Members to Receive Wind-Up Report
BRADSNAX FOODS: Creditors Appoint Official Liquidators
BREMEN RURAL: Creditors' Proofs of Claim Due on Sept. 19
BRITISH-ISRAEL-WORLD: To Declare First and Final Dividend
C.P.H. INVESTMENTS: Shareholders Pass Resolution to Close Firm

CARALIS HOLDINGS: Liquidator Caralis to Present Wind-Up Report
CARPE OMNES: Appoints Suncorp Metway Limited as Controller
EAST RIDING: Creditors' Proofs of Debt Due on September 22
EUROPEAN MARINE: Undergoes Liquidation Proceedings
EVANS & TATE: Completes Griffith Winery Sale to TWG Australia

EVANS & TATE: Completes Mildura Winery Sale to Roberts Estate
FABRIC DYE: Members and Creditors to Convene on September 22
FIRST STAR: Members Agree to Shut Down Business
GAMEON GROUP: Names Shephard and Dunphy as Liquidators
HUSEN PTY: Members and Creditors to Receive Wind-Up Report

ION LIMITED: Sells Castalloy Business to Harley-Davidson
J & J POLI: Supreme Court Orders Wind-Up
JENPEET PTY: Members Scheduled to Meet on September 22
JMA FOOD: Enters Wind-Up Proceedings
K & K INVESTMENT: Members' Final Meeting Set on September 20

KP ENGINEERING: Creditors to Receive 25 Cents in the Dollar
LIB MANAGEMENT: Placed Under Members' Voluntary Liquidation
METAL STORM: AU$27.5 Million Renounceable Rights Issue Closed
MONARO SERVICES: Court to Hear CIR's Liquidation Bid on Sept. 4
MOTORING WOMENS: Faces Liquidation Proceedings

NATIONAL INDUSTRIES: Members to Receive Wind-Up Report
NDL FRAGRANCES: Names Hugh Martin as Liquidator
OLIVE TREE: Creditors' Proofs of Claim Due on September 29
OLIVE TREE PAINTERS: Creditors' Proofs of Claim Due on Sept. 29
ONE.TEL LIMITED: Compiler of Expert's Report Can't Testify

ONE.TEL LIMITED: Liquidator to Sell Mobile Phone Spectrum
PICS PATTERNS: Members Decide to Close Business
PIONEER STEEL: Members' Final Meeting Scheduled on September 22
PRESTIGE CAR: Shuts Down Business
SAPHIRE MOON: Names Joseph Sleiman as Liquidator

SANSON AUTO: Liquidation Bid Hearing Fixed on September 4
SPUD JOINERY: Court Appoints Joint Liquidators
TUI'S HELPING: Faces Liquidation Proceedings
TUUSON ENTERPRISES: Creditors' Proofs of Claim Due on Sept. 19
WHF INVESTMENTS: Liquidator Fischer to Present Wind-Up Report

WWWICKED PTY: Enters Wind-Up Proceedings
XPRESSIONS FASHION: Court Sets Date to Hear Liquidation Bid


C H I N A   &   H O N G  K O N G

ASUN ENTERPRISE: Members to Receive Liquidators' Wind-Up Report
BALLY TOTAL: Enters Confidentiality Pact with Pardus Capital
BARCLAYS CORPORATION: Joint Liquidators Step Aside
BINA INVESTMENT: Creditors' Proofs of Claim Due on September 18
BIOPHARM GLOBAL: Members to Hear Wind-Up Report

BIS GARMENT: Creditors' First Meeting Fixed on August 30
CERADYNE INC: Wants Nasdaq Listing Qualifications Panel Hearing
E. SUN BANK: S&P Affirms Financial Strength Rating at C+
EUROPOINT WATCH: Members and Creditors Hold Meetings
FILA MARKETING: Joint Liquidators Ceases to Act for Company

FIS CHINA: Members' Final Meeting Slated for Sept. 20
GUANGDONG KELON: Expects to Book Losses in First Three Quarters
KONG WING TRADING: Liquidator Ceases to Act for Company
LEAD SUPPLY: Members Resolve to Wind-Up Operations
MBF INTERNATIONAL: Liquidator Steps Aside

MILLION GRAND: Final Members Meeting Set on September 20
NATURE'S FARM: Liquidator Presents Wind-Up Report
PARTY PRODUCTS: Creditors Must Prove Debts by September 14
SCREEN MARKETING: Liquidators Muk and Middleton Step Aside
SERASIA LIMITED: Sole Shareholder Opts for Voluntary Wind-Up

TCL MULTIMEDIA: European Operations Widen First Half Losses
VISION CARD: Liquidator Ceases to Act for Company
YUE CHEONG: Company's Books Under Liquidator's Custody


I N D I A

CADMUS COMMS: Inks Asian Joint Venture Pact with Periscope Inc.
SILICON GRAPHICS: Gets Final OK to Keep Existing Bank Accounts
SILICON GRAPHICS: Winston & Strawn Hired as Committee's Counsel
SILICON GRAPHICS: Gets Final Nod to Use Existing Business Forms
SILICON GRAPHICS: Court OKs Hiring of Morgan Lewis as IP Counsel

SILICON GRAPHICS: Gets Court Approval to Continue Refund Program


I N D O N E S I A

GOODYEAR TIRE: Delaware Court Denies Dismissal Motion
GOODYEAR TIRE: Asbestos Claims Drop to 124,400 in 2Q
GOODYEAR TIRE: Reports US$2 Million Net Income in Second Quarter
GREAT RIVER: Bank Mandiri Says No To Taking Over Management
NORTEL NETWORKS: Second Quarter Revenues Up 5% to US$2.74 Bil.

NORTEL NETWORKS: Reaches US$438M Settlement in US, Canada Suits
NORTEL NETWORKS: Unit Inks New US$1.6M Court Records System Pact
NORTEL NETWORKS: Deploys New IP Telephony Network for DEDIC


J A P A N

AMERICAN AXLE: Earns US$20.4 Million in 2006 Second Quarter
COREL CORP: Buying InterVideo Inc. for US$196 Million in Cash
HITACHI ZOSEN: R&I Affirms BB- Rating with Negative Outlook
LEAR CORP: Incurs US$6.4 Million Net Loss in Second Quarter 2006


K O R E A

ARAMARK SERVICES: Moody's Reviews Ratings for Possible Downgrade
ARAMARK CORP: S&P Lowers Corp. Credit Rating to BB+ from BBB-
ARAMARK CORPORATION: Board Declares Quarterly Cash Dividend
ARAMARK CORP: Inks $8.3-Bil. Merger Accord with Investment Group
DONG-AH CONSTRUCTION: Prime-Led Group Named Preferred Bidder


M A L A Y S I A

EKRAN BERHAD: Books MYR92-Million Net Loss in Fourth Quarter
KRAMAT TIN: High Court Approves Scheme of Arrangement
HO WAH GENTING: Second Quarter Pre-tax Loss Drops to MYR2 Mil.
INTAN UTILITIES: Provides Default Updates
LITYAN HOLDINGS: Creditors Grant Restructuring Deal Extension

MBF HOLDINGS: Hearing of Amfinance's Case Adjourned to Jan. 2007
SETEGAP BERHAD: Appeals SC's Rejection of Rehab Proposals
TANCO HOLDINGS: Net Loss Widens to MYR11.5 Mil in Second Quarter
TECHVENTURE BERHAD: Still In Talks with Lenders for Debt Revamp
WEMBLEY INDUSTRIES: June 30 Balance Sheet Reveals Insolvency


P H I L I P P I N E S

CHC HELICOPTER: Invests US$30 Million in New Helicopter Facility
CHC HELICOPTER: Earns CDN$10.8 Million in Quarter Ended April 30
EQUITABLE PCI: Sy Family Proposes to Buy EBCII-Owned Shares
LIBERTY TELECOMS: Postpones ASM; Date to be Determined
METROPOLITAN BANK: Partners with 35 Mid-East Remittance Houses

SECURITY BANK: Appoints J. Jereza as 1st VP of N. Metro Manila


S I N G A P O R E

CHEMTURA CORP: Earns US$420,000 in Second Quarter of 2006
CHEMTURA CORP: Faces Albermarle's Decabromodiphenyl Patent Suits
HIBEX SINGAPORE: Wind-Up Petition Hearing Slated for Sept. 11
ISOFT GROUP: Inks Revised Credit Agreement with Banks
NETWORK EQUIPMENT: Posts US$3.7M Loss in 2007 1st Fiscal Quarter

POH LIAN SHIPPING: Faces Liquidation Proceedings
SEA CONTAINERS: Restructuring Spurs S&P to Keep Junk Rating
SILVERN INVESTMENT: Creditors' Proofs of Debt Due on Sept. 25
SPECTRUM BRANDS: Fitch Junks Rating on US$2.3 Billion Debt
SPECTRUM BRANDS: Third Quarter Earnings Down to US$2.5 Million

TIANJIN ZHONG: Creditors Should Prove Debts by September 25


T H A I L A N D

BANK OF AYUDHYA: Finance Ministry Approves GE Deal
SIAM COMMERCIAL: President Tenders Resignation
THAI DURABLE: SET Suspends Securities Trading

     - - - - - - - -

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

3C CHEMICAL LABORATORIES: To Declare First and Final Dividend
-------------------------------------------------------------
3C Chemical Laboratories Pty Limited will declare its first and
final dividend to creditors on September 25, 2006, to the
exclusion of those who were not able to prove their claims by
August 22, 2006.

The liquidator can be reached at:

         Robert Moodie
         c/o Rodgers Reidy
         Chartered Accountants
         Level 8, 333 George Street
         Sydney, New South Wales 2000
         Australia


3D RECYCLING: Court to Hear CIR's Liquidation Bid on Sept. 28
-------------------------------------------------------------
A petition to liquidate 3D Recycling Ltd will be heard before
the High Court of Auckland on September 28, 2006, at 10:00 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on July 3, 2006.

The Plaintiff's Solicitor can be reached at:

         P.L. Windsor-Knaap
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone: (07) 959 0432
         Direct Inquiries to:  S. MacLean
         Telephone: (06) 968 4029


A.H.B. PTY: Members Resolve to Wind-Up Firm
-------------------------------------------
At a general meeting held on June 30, 2006, the members of
A.H.B. Pty Ltd resolved to wind up the company's operations and
appoint James Patrick Downey as liquidator.

Mr. Downey can be reached at:

         James Patrick Downey
         Chartered Accountant
         Cole Downey & Co
         Chartered Accountants
         Level 1, 22 William Street
         Melbourne, Victoria 3000
         Australia


A H LANDSEER: To Declare Dividend on September 13
-------------------------------------------------
Liquidator G. R. Ashby will declare the first and final dividend
for the creditors of A H Landseer Pty Ltd on September 13, 2006.

Creditors are required to submit their proofs of debt by
September 12, 2006, for them to share in the dividend
distribution.

The Liquidator can be reached at:

         G. R. Ashby
         Ground Floor, 200 East Terrace
         Adelaide, South Australia 5000
         Australia


ANELA PTY: Appoints Official Receivers and Managers
---------------------------------------------------
First Capital Securities Limited appointed Ginette Muller and
John Park on August 9, 2006, as joint and several receivers and
managers of Anela Pty Ltd.

Ms. Muller and Mr. Park can be reached at:

         Ginette Muller
         John Park
         KordaMentha (Queensland)
         22 Market Street
         Brisbane, Queensland 4000
         Australia
         Telephone:(07) 3225 4900
         Facsimile:(07) 3225 4999


BISACAR PTY: Members to Receive Wind-Up Report
----------------------------------------------
Members of Bisacar Pty Limited will hold a final meeting on
September 22, 2006, at 10:00 a.m., to receive Liquidator
Stephanie Wilkinson's final account on the company's wind-up
proceedings and property disposal exercises.

As reported by the Troubled Company Reporter - Asia Pacific on
March 16, 2006, the company commenced a wind-up of its
operations on February 3, 2006.

The Liquidator can be reached at:

         Stephanie J. Wilkinson
         c/o L. W. Gray
         5/120 Katoomba Street
         Katoomba 2780
         Australia


BRADSNAX FOODS: Creditors Appoint Official Liquidators
------------------------------------------------------
The members of Bradsnax Foods Pty Ltd convened on August 14,
2006, and agreed to voluntarily wind up the company's
operations.

At the creditors' meeting held later that day, Philip Newman and
Clyde Peter White were appointed as joint and several
liquidators.

Mr. Newman and Mr. White can be reached at:

         Philip Newman
         Clyde Peter White
         HLB Mann Judd
         Chartered Accountants
         Level 1, 160 Queen Street
         Melbourne 3000
         Australia


BREMEN RURAL: Creditors' Proofs of Claim Due on Sept. 19
--------------------------------------------------------
Liquidator Raymond Gordon Burgess require the creditors of
Bremen Rural Ltd to submit their proofs of claim by
September 19, 2006, or be excluded from sharing in any
distribution the company will make.

The Liquidator can be reached at:

         Raymond Burgess
         P.O. Box 82-100, Auckland
         New Zealand
         Telephone: (09) 576 7806
         Facsimile: (09) 576 7263


BRITISH-ISRAEL-WORLD: To Declare First and Final Dividend
---------------------------------------------------------
British-Israel-World Federation New South Wales Branch Limited
will declare its first and final dividend on October 1, 2006.

Failure to prove debts by August 22, 2006, will exclude the
creditor from sharing in the company's dividend distribution.

The liquidator can be reached at:

         Geoffrey McDonald
         Level 29, 31 Market Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9263 2600
         Facsimile:(02) 9263 2800


C.P.H. INVESTMENTS: Shareholders Pass Resolution to Close Firm
--------------------------------------------------------------
Shareholders of C.P.H. Investments Pty Ltd passed a resolution
to close the company's business during their meeting held on
August 10, 2006.

In this regard, Anthony Desmond Hoffman was appointed as
liquidator.

The Liquidator can be reached at:

         Anthony Desmond Hoffman
         Hoffman Kelly Lajoie Pty Ltd
         Level 1, 15 Harries Road
         Coorparoo, Queensland
         Australia


CARALIS HOLDINGS: Liquidator Caralis to Present Wind-Up Report
--------------------------------------------------------------
Members and creditors of Caralis Holdings Pty Limited will hold
a final meeting on September 18, 2006, at 9:00 a.m., to receive
Liquidator James Caralis' report on the company's wind-up
proceedings and property disposal exercises.

The Liquidator can be reached at:

         James Caralis
         Level 8, 15 Blue Street
         North Sydney, New South Wales 2060
         Australia


CARPE OMNES: Appoints Suncorp Metway Limited as Controller
----------------------------------------------------------
On August 7, 2006, Suncorp Metway Limited was appointed as
controller of all the assets and undertakings of Carpe Omnes
Diem Pty Ltd.

The Controller can be reached at:

         Suncorp Metway Limited
         Suncorp Metway Plaza
         Level 6, Corner Albert & Turbot Streets
         Brisbane, Queensland 4001
         Australia


EAST RIDING: Creditors' Proofs of Debt Due on September 22
----------------------------------------------------------
East Riding Investments Pty Ltd notifies parties-in-interest of
its intention to declare dividend to creditors.

Creditors are required to submit their proofs of claim by
September 22, 2006, for them to share in the dividend
distribution.

The Troubled Company Reporter - Asia Pacific reported on
August 24, 2006, that the company commenced a wind-up of its
operations on July 23, 2006.

The liquidator can be reached at:

         BDH & Co
         Suite 3, Level 1
         3 Carlingford Road
         Epping, New South Wales 2121
         Australia


EUROPEAN MARINE: Undergoes Liquidation Proceedings
--------------------------------------------------
At a general meeting of the members of European Marine Pty Ltd
held on August 9, 2006, it was resolved that a voluntary wind-up
of the company's operations is appropriate and necessary.

Subsequently, Russell Graeme Peake was appointed as liquidator.

The Liquidator can be reached at:

         Russell Peake
         Jenkins Peake & Co
         Chartered Accountants
         Lexen Building, 200 Malop Street
         PO Box 1570, Geelong 3220
         Australia
         Telephone:(03) 5223 1000
         Facsimile:(03) 5221 4938


EVANS & TATE: Completes Griffith Winery Sale to TWG Australia
-------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
July 18, 2006, Evans & Tate Limited had decided to sell its
winery in Griffith, NSW, for AU$8 million, to the Terlato Wine
Group.  According to the TCR-AP report, Evans & Tate had
disclosed that "binding agreements for the asset sale and for
wine storage have been entered into with TWG Australia Pty
Limited" and that "settlement was scheduled to be completed by
August 11, 2006, after final conditions precedent have been
satisfied."

In an update, Evans & Tate reveals that on August 25, 2006, it
has completed the sale of its Griffith winery in the New South
Wales Riverina to TWG Australia, which is the Australian
subsidiary of California-based The Wine Group LLC, for
AU$8 million.

The Griffith Winery Sale, the TCR-AP had noted, brings the
amount that Evans & Tate will get from asset realization to more
than AU$30 million.

According to Evans & Tate Chief Executive Officer Martin
Johnson, the transaction demonstrated that the company can
execute its turnaround strategy and bring it to a stable trading
position with a renewed emphasis on premium wines and luxury
brands.

                     About Evans & Tate

Headquartered in Wembley, Western Australia, Evans & Tate
Limited -- http://www.etw.com.au/-- is an Australian wine  
company listed on the Australian Stock Exchange.  The primary
businesses of the Evans & Tate Wine Group are the production,
marketing and distribution of a number of branded, exclusive
labeled and unbranded wines; contract winemaking; wine trading;
viticultural services; and wine tourism through its Visitor
Centers.

In June 2005, rumors began brewing that the wine maker was
carrying total liabilities of AU$127.5 million, of which
AU$102.5 million was interest-bearing debt.  A few days later,
Evans & Tate admitted that it had been coordinating with
insolvency firm KordaMentha on the recommendation of its major
creditor, ANZ Banking Group Limited.  It had appointed
KordaMentha's 333 Performance Management "to improve its
forecasting, planning and business efficiencies."  Evans & Tate
also admitted that it was cash flow negative and had sought an
AU$8.5-million capital injection from ANZ Bank.  The firm
further said that it would cut the value of its wine inventories
by AU$8 million to AU$10 million, offload stock at a discount,
and cut the carrying value of certain wineries.  In July 2005,
Evans & Tate has secured an additional AU$10 million in short-
term working capital from ANZ.

In the first half of 2006, Evans & Tate has taken steps to sell
its Griffith and Mildura Wineries to reduce debts, which are
estimated to be more than AU$160 million, and meet restructuring
costs.

The TCR-AP reported on July 18, 2006, that Evans & Tate has
already written down the value of its inventory by AU$39 million
over the past year and reported a AU$44-million first-half loss.


EVANS & TATE: Completes Mildura Winery Sale to Roberts Estate
-------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
March 15, 2006, that Evans & Tate Limited has entered into
negotiations to sell its Mildura Winery to British beverage
group Neqtar Ltd, through its Australian subsidiary SDS
Beverages Food and Wine Pty Ltd.  Through the Mildura Winery
Sale, Evans & Tate will get AU$22 million, plus the granting of
options over 5.9% of the pre-listing capital of Neqtar.

Yet, in a subsequent TCR-AP report on August 2, 2006, Evans &
Tate clarified that the purchaser will be Roberts Estate Wines
Pty Ltd., a wholly owned subsidiary of Neqtar.

Accordingly, in a statement posted at its Web site, Evans & Tate
discloses that on August 29, 2006, the sale of its Mildura
Winery to Roberts Estate was completed for a total consideration
of AU$22 million.

Evans & Tate also noted that nearly all of its Mildura staff
have been offered positions by Roberts Estate.

"In Mildura, we will continue to have access to their valuable
skills, as Roberts Estate is contracted to continue making some
of our most important export products, such as the newly
re-launched Barramundi brand," Evans & Tate Chief Executive
Officer Martin Johnson said.

                        About Neqtar

Based in Hertfordshire, Neqtar UK --
http://www.neqtarbeverages.com/-- through HwCg Ltd., is a
leading supplier to the British multiple retail and independent
trade.  It supplies over 2.5 million cases of wine, which
represents 3% of the United Kingdom off trade.

HwCg was founded in 1999, after the merger of Hedley Wright and
Castle Growers, both well established wine distributors in the
U.K.

Neqtar UK represents 29 suppliers from around the world, with
particular strength in France, Chile and Italy.  Neqtar UK
intends to be a major player in Australian wines through its
2005 acquisition of Roberts Estate and its new UK distribution
partner Evans and Tate Ltd.

                     About Evans & Tate

Headquartered in Wembley, Western Australia, Evans & Tate
Limited -- http://www.etw.com.au/-- is an Australian wine  
company listed on the Australian Stock Exchange.  The primary
businesses of the Evans & Tate Wine Group are the production,
marketing and distribution of a number of branded, exclusive
labeled and unbranded wines; contract winemaking; wine trading;
viticultural services; and wine tourism through its Visitor
Centers.

In June 2005, rumors began brewing that the wine maker was
carrying total liabilities of AU$127.5 million, of which
AU$102.5 million was interest-bearing debt.  A few days later,
Evans & Tate admitted that it had been coordinating with
insolvency firm KordaMentha on the recommendation of its major
creditor, ANZ Banking Group Limited.  It had appointed
KordaMentha's 333 Performance Management "to improve its
forecasting, planning and business efficiencies."  Evans & Tate
also admitted that it was cash flow negative and had sought an
AU$8.5-million capital injection from ANZ Bank.  The firm
further said that it would cut the value of its wine inventories
by AU$8 million to AU$10 million, offload stock at a discount,
and cut the carrying value of certain wineries.  In July 2005,
Evans & Tate has secured an additional AU$10 million in short-
term working capital from ANZ.

In the first half of 2006, Evans & Tate has taken steps to sell
its Griffith and Mildura Wineries to reduce debts, which are
estimated to be more than AU$160 million, and meet restructuring
costs.

The TCR-AP reported on July 18, 2006, that Evans & Tate has
already written down the value of its inventory by AU$39 million
over the past year and reported a AU$44-million first-half loss.


FABRIC DYE: Members and Creditors to Convene on September 22
------------------------------------------------------------
A final meeting of the members and creditors of Fabric Dye
Services Pty Limited will be held on September 22, 2006, at
9:30 a.m.

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

   -- receive Liquidator Geoffrey Mcdonald's report on the
      accounts of the company's wind-up that will end on
      September 22, 2006;

   -- authorize the Liquidator to destroy all books and records
      of the company on completion of all duties; and

   -- discuss any other business.

The Liquidator can be reached at:

         Geoffrey Mcdonald
         c/o Hall Chadwick
         Level 29, 31 Market Street
         Sydney, New South Wales 2000
         Australia


FIRST STAR: Members Agree to Shut Down Business
-----------------------------------------------
Members of First Star Marine Pty Ltd convened on August 9, 2006,
and agreed to shut down the company's business operations.

Creditors appointed Gary Anderson as liquidator at a separate
meeting held later that day.

The Liquidator can be reached at:

         Gary Anderson
         PO Box 1661
         West Perth, Western Australia 6872
         Australia
         Telephone:(08) 9486 7822
         Facsimile:(08) 9226 4250
         e-mail: garya@iinet.net.au


GAMEON GROUP: Names Shephard and Dunphy as Liquidators
------------------------------------------------------
Members of The Gameon Group Ltd appointed on August 14, 2006,
Iain Bruce Shephard and Christine Margaret Dunphy as joint and
several liquidators of the company.

The Joint Liquidators can be reached at:

         Chris Dunphy
         Shephard Dunphy Limited, Level Two
         Zephyr House, 82 Willis Street
         Wellington, New Zealand
         Telephone: (04) 473 6747
         Facsimile: (04) 473 6748


HUSEN PTY: Members and Creditors to Receive Wind-Up Report
----------------------------------------------------------
Members and creditors of Husen Pty Ltd will hold a final meeting
on September 21, 2006, at 9:30 a.m., to receive Liquidator B. P.
Cotter's report on the company's wind-up and property disposal
exercises.

According to the Troubled Company Reporter - Asia Pacific, the
company commenced a wind-up of its operations on July 22, 2005.

The Liquidator can be reached at:

         B. P. Cotter
         Level 24, 264 George Street
         Sydney, New South Wales 2000
         Australia


ION LIMITED: Sells Castalloy Business to Harley-Davidson
--------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
August 8, 2006, that a report to creditors dated April 15, 2005,
disclosed that administrators have been appointed to ION Limited
and each of its 22 Australian subsidiaries, including Castalloy
Limited.

In an update, an agreement has been executed for the sale of
ION's Castalloy business to a subsidiary of U.S. domiciled
Harley-Davidson Inc., New Castalloy Pty Ltd, which will see the
continued manufacture of motorcycle wheels at North Plympton in
Adelaide, South Australia.  This follows a successful turnaround
of the business and has been made possible with the support of
the South Australian Government, which has agreed to acquire the
North Plympton site and lease it to the purchaser.

Prior to the appointment of Administrators Colin Nicol and Peter
Anderson of the independent restructuring and corporate advisory
firm, McGrath Nicol + Partners, in December 2004, the Castalloy
business was incurring losses of up to AU$20 million per annum.  
After 20 months of intensive operational restructuring and
performance turnaround implemented by the Deed Administrators,
the business is now in a position to be transferred to a new
owner.

The successful business turnaround and sale was critically
dependant on the support of key stakeholders including
management, employees, Harley Davidson, the Australian Workers
Union, the State Government, suppliers and the Environment
Protection Agency.

The Harley-Davidson subsidiary is purchasing the majority of
Castalloy's plant, equipment, intellectual property and
inventory, and will be offering ongoing employment to
approximately 320 employees.  All employee entitlements for
these employees will transfer to the purchaser in accordance
with the new Australian Workplace Agreement implemented in June
2006.

Any employees not transferring to New Castalloy will receive
their full entitlements from the Administrators.

The Deed Administrators will also be transferring the ten year
EPA Licence, obtained in August 2005, to the Harley-Davidson
subsidiary.  The EPA has confirmed that Castalloy has
complied with the licence conditions as at June 30, 2006.

The sale is due to settle in late September 2006.

                            About ION

ION Limited -- http://www.ionlimited.com/-- is a manufacturer  
of automotive components and also has an energy services
business.  It employs around 3,000 people at sites in Australia,
New Zealand, and the United States of America and has annual
revenues of approximately AU$700 million.

ION manufactures wheels and alloy components, transmission
assemblies, cylinder heads, oil pans and other automotive
products.  Its energy services business distributes oil and gas
to retail and commercial outlets, undertakes aviation refuelling
and manages terminal operations.

On December 7, 2004, ION Limited was placed in voluntary
administration.  Trading in its shares has been suspended and
Colin Nicol and Peter Anderson of the independent restructuring
and corporate advisory firm, McGrath Nicol + Partners, have been
appointed as joint and several administrators to the group.

The TCR-AP stated on August 8, 2006, that the company has been
placed in administration by its board of directors primarily as
a result of cost overruns and delays associated with three major
capital projects, which have absorbed cash.

McGrath Nicol Partner Colin Nicol said that they will work
towards selling ION's businesses -- where possible as going
concerns -- recapitalizing parts of the group.  The
Administrators expected the existence of sufficient assets
within the group to ensure that employee entitlements were
secure.

A report to creditors dated April 15, 2005, disclosed that
administrators have been appointed to ION and each of its 22
Australian subsidiaries:

   1) Castalloy Limited,
   2) Castalloy Manufacturing Pty Ltd,
   3) Castalloy Wheels Pty Ltd,
   4) Core Cast Limited,
   5) ION Automotive Group Limited,
   6) ION Automotive Systems Pty Ltd,
   7) ION Light Metal Castings Pty Ltd,
   8) ION Transmissions Pty Ltd,
   9) XCTA Pty Ltd (formerly Cootes Transport Pty Ltd),
  10) XCTS Pty Ltd (formerly Cootes Tanker Service Pty Ltd),
  11) XIRC Pty Ltd (formerly I.R. Cootes Pty Ltd),
  12) XLC Pty Ltd (formerly Liquip Corp Pty Limited),
  13) XLO Pty Ltd (formerly Liquip Overseas Pty Ltd),
  14) XLS Pty Ltd (formerly Liquip Sales Pty Ltd),
  15) XLSE Pty Ltd (formerly Liquip Service Pty Ltd),
  16) XLSV Pty Ltd (formerly Liquip Sales (Vict.) Pty Ltd),
  17) XST Pty Ltd (formerly Stevenson Transport Pty Ltd),
  18) ION Finance Ltd,
  19) ION Holdings Pty Ltd,
  20) ION Investments Pty Ltd,
  21) Thomson & Scougall Industries Pty Ltd, and
  22) XCHO Pty Ltd (formerly Cootes Holdings Pty Ltd)

On May 30, 2005, the Administrators informed creditors that ION
and 17 of its subsidiaries executed deeds of company arrangement
on May 27, 2005:

   1) ION Automotive Group Limited,
   2) ION Light Metal Castings Pty Ltd,
   3) Core Cast Limited,
   4) Castalloy Limited,
   5) Castalloy Wheels Pty Ltd,
   6) Castalloy Manufacturing Pty Ltd,
   7) ION Automotive Systems Pty Ltd,
   8) ION Transmissions Pty Ltd,
   9) XCTA Pty Ltd,
  10) XCTS Pty Ltd,
  11) XIRC Pty Ltd,
  12) XST Pty Ltd,
  13) XLSV Pty Ltd,
  14) XLS Pty Ltd,
  15) XLSE Pty Ltd,
  16) XLC Pty Ltd, and
  17) XLO Pty Ltd


J & J POLI: Supreme Court Orders Wind-Up
----------------------------------------
Valerie/notice

The Supreme Court of New South Wales ordered on August 17, 2006,
the wind-up of J & J Poli Pty Ltd's operations.

The Court also directed the appointment of Steven Nicols as
liquidator.

The Liquidator can be reached at:

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


JENPEET PTY: Members Scheduled to Meet on September 22
------------------------------------------------------
Members of Jenpeet Pty Ltd will convene on September 22, 2006,
at 9:00 a.m. to hear Liquidator Richard Mansell's report on the
company's wind-up and property disposal exercises.

The Troubled Company Reporter - Asia Pacific reported on
June 7, 2006, that the company commenced a wind-up of its
operations on April 13, 2006.

The Liquidator can be reached at:

         Richard G. Mansell
         R. G. Mansell & Associates
         Level 3, 118 Queen Street
         Melbourne
         Australia


JMA FOOD: Enters Wind-Up Proceedings
------------------------------------
At a general meeting held on August 14, 2006, the members of
JMA Food & Beverage Pty Limited resolved to wind up the
company's operations and appoint Daniel Civil as liquidator.

The Liquidator can be reached at:

         Daniel Civil
         Jirsch Sutherland
         Chartered Accountants
         Level 2, 84 Pitt Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9233 2111
         Facsimile:(02) 9233 2144


K & K INVESTMENT: Members' Final Meeting Set on September 20
------------------------------------------------------------
The members of K & K Investment Company Pty Limited will hold a
final meeting on September 20, 2006, at 11:00 a.m.

During the meeting, Liquidator Ole Michael Madsen will present
accounts of the company's wind-up and property disposal
activities.

As reported by the Troubled Company Reporter - Asia Pacific on
July 27, 2006, the company commenced a wind-up of its operations
on June 26, 2006.

The Liquidator can be reached at:

         Ole Michael Madsen
         PO Box 328
         Belconnen, Australian Capital Territory 2616
         Australia


KP ENGINEERING: Creditors to Receive 25 Cents in the Dollar
-----------------------------------------------------------
KP Engineering (WA) Pty Ltd will declare dividend for its
creditors with claims in excess of AU$1,000.

The amount to be declared is 25 cents in the dollar.

Creditors who failed to submit their proofs of debt by
August 22, 2006, will be excluded from sharing in the dividend
distribution.

The joint and several deed administrator can be reached at:

         Martin Jones
         Engineering (WA) Pty Ltd
         Ferrier Hodgson
         Chartered Accountants
         Level 26, 108 St George's Terrace
         Perth, Western Australia 6000
         Australia


LIB MANAGEMENT: Placed Under Members' Voluntary Liquidation
-----------------------------------------------------------
At a general meeting held on August 14, 2006, the members of
LIB Management Pty Ltd resolved to voluntarily wind up the
company's operations and appoint Michael Owen as liquidator.

The Liquidator can be reached at:

         Michael Owen
         Chartered Accountant
         BDO Kendalls, Level 18
         300 Queen Street
         Brisbane, Queensland 4000
         Australia


METAL STORM: AU$27.5 Million Renounceable Rights Issue Closed
-------------------------------------------------------------
Metal Storm Limited's Renounceable Rights Issue of Unsecured
Convertible Notes and attaching New Options closed on August 24,
2006.  The company has received acceptances for 28,688,166 of
the 203,703,704 Convertible Notes and 14,344,083 of the
101,851,852 New Options that were offered.

The issue was fully underwritten by Patersons Securities Limited
and sub-underwritten to the extent of AU$26.125 million by
Harmony Investment Fund Limited.  The Company confirms that a
shortfall notice has been issued under the underwriting
agreement.  Subject to the terms of this agreement, the
shortfall of 175,015,538 Convertible Notes and 87,507,769 New
Options will be taken up by the underwriter and sub-underwriter.  
When completed, the total funds raised under this issue will be
approximately AU$27.5 million before issue costs.

As detailed in the Prospectus lodged on July 28, 2006,
shareholders who have accepted the offer will be issued with
securities with these key features:

Convertible Notes

   -- Convertible Notes bear interest at the rate of 10% per
      annum on the face value of A$0.135 per Convertible note
      over the term.  Interest is payable quarterly in arrears,
      but the Company may elect to defer payment of some or all
      of the interest for the first year;

   -- at the Maturity Date (expected to be Aug. 31, 2009), the
      Company must repay the face value of A$0.135 to the Note
      Holder, unless the Note Holder has elected to convert
      their Convertible Note into ordinary shares;

   -- it is an event of default under the Trust Deed for the
      Convertible Notes if, amongst other things, Metal Storm
      does not meet certain performance and cash milestones;

   -- until conversion or redemption, the Convertible Notes rank
      ahead of ordinary shares in the event of the Company being
      wound up;

   -- Note Holders may elect to convert some or all of their
      Convertible Notes into ordinary shares at a conversion
      price which is the lesser of:

      1. A$0.135 cents per share;

      2. 90% of the volume weighted average price of ordinary
         shares during the 30 business days immediately
         preceding the conversion date, rounded to the nearest
         cent; and

   -- Note Holders can elect to convert some or all of their
      Convertible Notes into ordinary shares at the beginning of
      each quarter, at the Maturity Date and at certain other
      times.

New Options

   -- Subject to the terms and conditions of the New Options,
      each New Option entitles the holder to subscribe for one
      ordinary share of Metal Storm upon exercise and payment of
      the Exercise Price of AU$0.15;

   -- the New Options expire three years from the date of issue,
      expected to be August 31, 2009, and can be exercised by
      the holder at any time before then.

The net funds raised, together with existing cash reserves and
confirmed revenues from current operations, are expected to be
sufficient to cover the estimated cost of existing and planned
operations and interest payable on the Convertible Notes through
to the August 2009, without assuming additional income from
other sources or from the exercise of options.

The Board are grateful to the shareholders, Patersons and
Harmony for their support in the capital raise.  The Company is
more committed than ever to see the development of its
technology to commercial outcomes.

The Convertible Notes and the New Options are to be allotted on
August 31, 2006, and holding statements for those securities are
to be dispatched on September 1, 2006.  Metal Storm will then
have three securities independently traded on the ASX under
these codes:

      Ordinary Shares     MST  (existing)
      Convertible Notes   MSTG
      Options             MSTO

                   About Patersons Securities

Patersons Securities is Australia's largest independently owned
specialist stockbroker, with ten offices around the country.  
Established over 100 years ago, Patersons now has more than 140
private client advisers, institutional sales, research and full
corporate finance capability.  Over the last two years the
Patersons corporate finance team has raised over AU$1.5 billion
for clients, ranking it in the Top 10 brokers in capital
raisings by value.

                    About Harmony Capital Pte

Harmony Capital Partners is a Singapore-based fund management
company which manages a US$500 million capacity Fund.  The
primary strategy of Harmony is to invest in special situations
in Asia including Australia and New Zealand.  The principals of
Harmony, Suresh Withana and John Nicholls, are very familiar
with the investment environment in Australia, particularly in
the turnaround space with experience in a number of industry
sectors.  Harmony has a number of large investors in its fund
including a cornerstone investor with a significant capital base
providing it with the capability to execute investments ranging
from US$5 million to US$50 million in size.

                          *     *     *

Metal Storm Limited -- http://www.metalstorm.com/-- is  
headquartered in Brisbane, Australia, and incorporated in
Australia, with an office in Arlington, Virginia.  Metal Storm
works with government agencies and departments, as well as
industries, to develop a variety of systems utilizing the Metal
Storm non-mechanical, electronically fired stacked ammunition
system.

Metal Storm reflected a loss of AU$10,914,600 in its Annual
Financial Report for the year ended December 31, 2005, which was
attributable to members of its parent company.  The Directors
noted that they are actively seeking funding to continue the
Company's operations.

After auditing the Company's 2005 Annual Report, Winna Irschitz,
a partner at Ernst & Young, raised significant uncertainty
regarding the Company's and its consolidated entity's ability to
continue as going concerns.

As stated in the 2005 Annual Report, Metal Storm's continuing
viability, and ability to continue as a going concern and to
meet debts and commitments as and when they fall due is
dependent on its ability to secure additional equity funding in
the near future and to continue the development and progress the
commercialization of its electronically initiated "stacked
projectile" weapons systems.


MONARO SERVICES: Court to Hear CIR's Liquidation Bid on Sept. 4
---------------------------------------------------------------
A petition to liquidate Monaro Services Ltd will be heard before
the High Court of Palmerston North on September 4, 2006, at
10:00 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on July 25, 2006.

The Solicitor for the Petitioner can be reached at:

         Kerri Ann Doherty
         Technical and Legal Support Group
         Wellington Service Centre
         1st Floor, New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1045
         Facsimile: (04) 890 0009


MOTORING WOMENS: Faces Liquidation Proceedings
----------------------------------------------
The members of Motoring Womens Holdings Pty Ltd held a general
meeting on August 11, 2006, and decided to liquidate the
company's business.

Accordingly, Leigh Dudman was appointed as liquidator.

The Liquidator can be reached at:

         Leigh Dudman
         B. K. Taylor & Co
         8/608 St Kilda Road
         Melbourne, Victoria 3004
         Australia


NATIONAL INDUSTRIES: Members to Receive Wind-Up Report
------------------------------------------------------
Members of National Industries (NSW) Pty Ltd will hold a final
meeting on September 22, 2006, to receive Liquidator
Kenneth John Rennie's report on the company's wind-up
proceedings and property disposal exercises.

The Liquidator can be reached at:

         Kenneth John Rennie
         Ernst & Young
         Level 37, 680 George Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9248 4304


NDL FRAGRANCES: Names Hugh Martin as Liquidator
-----------------------------------------------
At a general meeting held on August 11, 2006, the members
appointed Hugh Martin to oversee the company's wind-up
proceedings.

The Liquidator can be reached at:

         Hugh Martin
         Bernardi Martin
         Level 1, 195 Victoria Square
         Adelaide, Australia


OLIVE TREE: Creditors' Proofs of Claim Due on September 29
----------------------------------------------------------
Shareholders of Olive Tree Productions (2002) SP Ltd appointed
on August 18, 2006, Peter Reginald Jollands and Rory Iain Grieve
as joint and several liquidators for the Company.

The Joint Liquidators will be receiving proofs of claims from
the company's creditors until September 29, 2006.

The Joint and Several Liquidator can be reached at:

         Rory Grieve
         Jollands Callander
         Accountants and Insolvency Practitioners
         Level Four, 3-13 Shortland Street
         Auckland, New Zealand
         P.O. Box 106-141, Auckland City
         Web site: www.jollandscallander.co.nz
         Telephone: (09) 379 0463
         Facsimile: (09) 379 0465
         e-mail: rory@jollandscallander.co.nz


OLIVE TREE PAINTERS: Creditors' Proofs of Claim Due on Sept. 29
---------------------------------------------------------------
Shareholders of Olive Tree Painters & Decorators Ltd appointed
on August 18, 2006, Peter Reginald Jollands and Rory Iain Grieve
as joint and several liquidators for the Company.

The Joint Liquidators will be receiving proofs of claims from
the company's creditors until September 29, 2006.

The Joint and Several Liquidator can be reached at:

         Rory Grieve
         Jollands Callander
         Accountants and Insolvency Practitioners
         Level Four, 3-13 Shortland Street
         Auckland, New Zealand
         P.O. Box 106-141, Auckland City
         Web site: www.jollandscallander.co.nz
         Telephone: (09) 379 0463
         Facsimile: (09) 379 0465
         e-mail: rory@jollandscallander.co.nz


ONE.TEL LIMITED: Compiler of Expert's Report Can't Testify
----------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
February 8, 2006, the Australian Securities and Investments
Commission has initiated actions against One.Tel Limited's
founder, Jodee Rich, and finance director, Mark Silbermann, for
allegedly allowing the Company to trade while it was insolvent
and for providing misleading financial information to the
Company's Board of Directors.

In an update, Vanda Carson of The Australian relates that
PricewaterhouseCoopers partner Ian Hocking was named on a list
of 10 witnesses that the ASIC hopes to call in the final stages
of its AU$92-million damages claim against Mr. Rich and Mr.
Silbermann.

Paul Carter, another PwC partner, who spent a year compiling an
expert report on One.Tel's AU$2-billion collapse that has been
the center of the ASIC's case, will not be called after
suffering a heart attack, The Australian notes.

The report relates that Mr. Carter faces surgery and a long
recovery that will prevent him from returning to the stand to
contradict evidence given by Mr. Rich and Mr. Silbermann over
the past two months.

The Australian recounts that Mr. Hocking and Mr. Carter were
hired by the ASIC to help prepare its case, in which it seeks to
ban Mr. Rich and Mr. Silbermann from holding directorships and
have them pay AU$92 million -- the value allegedly lost by the
telco by continuing to trade after February 2001, when ASIC
alleged it became insolvent.

Lawyers for the defendants argued that the evidence does not
warrant the extension of the case by up to three weeks, Ms.
Carson says.

According to the report, Mr. Carter spent more than a year
writing an "independent expert's report" on One.Tel for the
ASIC, noting that the 90-page financial report has been
described by Judge Robert Austin as "a central plank in ASIC's
case against the defendants."

However, large parts of it were excluded from evidence on legal
grounds earlier in the hearing, The Australian says.

The Australian recounts that One.Tel collapsed in 2001, leaving
shareholders with no chance of recovering their investment.
Directors Lachlan Murdoch and James Packer claim they were
"profoundly misled" by executives about the true state of the
company's finances, the paper notes.

                          *     *     *

One.Tel Limited is an Australian based telecommunications
company, belonging to One.Tel Group.  One.Tel Ltd. was
established in 1995 soon after the deregulation of the
Australian telecommunications industry, most of which are
currently under external administration by court appointed
liquidators.

One.tel is currently in liquidation.  Ferrier Hodgson was
appointed as voluntary administrator on May 29, 2001.  The
administrator's report stated that the company was insolvent as
of March 2001.  Accordingly, the administrator terminated
approximately 3,000 employees in June that same year.

Steve Sherman and Peter Walker of Ferrier Hodgson were then
named liquidators on July 24, 2001.

The Liquidators can be reached at:

         Steve Sherman
         Peter Walker
         Joint Liquidators
         Ferrier Hodgson
         Level 17
         2 Market Street
         Sydney, NSW
         Australia 2000


ONE.TEL LIMITED: Liquidator to Sell Mobile Phone Spectrum
---------------------------------------------------------
More than five years after One.Tel Limited collapsed, an
advertising campaign to promote the sale of its mothballed
mobile phone spectrum has been launched for the second time, The
Australian relates.

The paper further relates that liquidator Steve Sherman of
insolvency specialist Ferrier Hodgson wants to offload the
spectrum with a resale value estimated to be just 15% of the
AU$532 million purchase price paid in 1998 and 2000.

According to The Australian, the spectrum is capable of
transmitting third generation in five of the nation's state
capitals and the licenses are valid until 2013 and 2015.  It is
in the 1.8GHz band and covers a population of more than 11
million.

The Australian recounts that while the licenses have
unofficially been on the market since One.Tel's collapse, a
formal advertising campaign was launched two years ago to ignite
interest in an otherwise flat market.

However, the campaign was withdrawn after the major
telecommunications carriers who had expressed interest failed to
match the undisclosed asking price, The Australian says, noting
that analysts have predicted that the licenses would sell for as
low as AU$50-AU$80 million.  

The paper says that the funds will go to creditors.

Moreover, The Australian notes, Mr. Sherman prefers to sell the
licenses "in one line" and in a single transaction.

Tenders closed on August 28, 2006, and if a buyer is found,
assignment of licenses will occur around September 18, 2006, The
Australian says.

According to the paper, news of the sale comes as a special
purpose liquidator, appointed to resume his investigation of the
role played by the Packer and Murdoch families in the company's
dying days, has been awarded AU$250,000 to fund his work in the
coming months.

              S. Sherman has Conflict of Interest

The Australian relates that Paul Weston, of Horwath Chartered
Accountants, had originally asked the NSW Supreme Court to force
Mr. Sherman to hand over AU$750,000 to fund examinations of more
than 30 key executives, including former One.Tel directors James
Packer and Lachlan Murdoch.

A recent committee of inspection meeting of creditors was told
that Mr. Weston had already spent AU$146,000 on legal fees, the
paper reveals.

The Australian explains that Mr. Weston's role is to investigate
the circumstances surrounding the controversial 11th-hour
withdrawal of a AU$132 million renounceable rights issue
underwritten by Mr. Packer's Publishing and Broadcasting Ltd.,
and News Limited, publisher of The Australian.

Mr. Weston must launch any legal action by May 29, 2007, when a
six-year statute of limitations expires, The Australian notes.

According to the paper, Mr. Weston was appointed to investigate
after a group of creditors with connections to One.Tel founder
Jodee Rich convinced the court that Mr. Sherman had a potential
conflict of interest in looking into the pivotal move.  It
claimed that this conflict arose because Mr. Sherman was present
at a meeting on May 17, 2001, when it was decided to cancel the
issue, The Australian relates.

Mr. Sherman and his partner, Peter Walker, might possibly be
made parties in future lawsuits, the paper says.

                      Previous Asset Sales

According to The Australian, previous sales of former One.Tel
assets have been bargains.

The paper recounts that Telstra purchased the junior telco's
customer base in 2001 for a couple of million dollars.  The
company's British arm, which had 600,000 customers, returned
just AU$60 million to creditors, after which, it was on-sold for
AU$400 million.

                          *     *     *

One.Tel Limited is an Australian based telecommunications
company, belonging to One.Tel Group.  One.Tel Ltd. was
established in 1995 soon after the deregulation of the
Australian telecommunications industry, most of which are
currently under external administration by court appointed
liquidators.

One.tel is currently in liquidation due to financial problems.  
Ferrier Hodgson was appointed as voluntary administrator on May
29, 2001.  The administrator's report stated that the
company was insolvent as of March 2001.  Accordingly, the
administrator terminated approximately 3,000 employees in June
that same year.

Steve Sherman and Peter Walker of Ferrier Hodgson were then
named liquidators on July 24, 2001.

The Liquidators can be reached at:

         Steve Sherman
         Peter Walker
         Joint Liquidators
         Ferrier Hodgson
         Level 17
         2 Market Street
         Sydney, NSW
         Australia 2000


PICS PATTERNS: Members Decide to Close Business
-----------------------------------------------
On August 9, 2006, the members of Pics Patterns Pty Ltd decided
to close the company's business and appoint Matthew L. Joiner
and Gerald T. Collins as joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Matthew L. Joiner
         Gerald T. Collins
         c/o JCJ Partners Pty Ltd
         Chartered Accountants
         GPO Box 272
         Brisbane, Queensland 4001
         Australia


PIONEER STEEL: Members' Final Meeting Scheduled on September 22
---------------------------------------------------------------
The members of Pioneer Steel Pty Ltd will meet on September 22,
2006, at 10:00 a.m., to receive Liquidator Rennie's report on
the company's wind-up and property disposal exercises.

The Liquidator can be reached at:

         Kenneth John Rennie
         Ernst & Young
         Level 37, 680 George Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9248 4304


PRESTIGE CAR: Shuts Down Business
---------------------------------
At a general meeting held on August 17, 2006, the members of
Prestige Car Exchange Pty Limited decided to shut down the
company's business and appoint Roderick Mackay Sutherland as
liquidator.

The Liquidator can be reached at:

         Roderick Mackay Sutherland
         Jirsch Sutherland
         Chartered Accountants
         Level 2, 84 Pitt Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9233 2111
         Facsimile:(02) 9233 2144


SAPHIRE MOON: Names Joseph Sleiman as Liquidator
------------------------------------------------
On August 4, 2006, a general meeting was held for the members of
Saphire Moon Pty Ltd and resolved to:

   -- voluntarily wind up the company's operations; and

   -- appoint Joseph Sleiman as liquidator.

The Liquidator can be reached at:

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


SANSON AUTO: Liquidation Bid Hearing Fixed on September 4
---------------------------------------------------------
The High Court of Palmerston North will hear a liquidation
petition against Sanson Auto Court Ltd on September 4, 2006, at
10:00 a.m.

The Commissioner of Inland Revenue filed the petition before the
Court on July 25, 2006.

The Solicitor for the Petitioner can be reached at:

         Kerri Ann Doherty
         Technical and Legal Support Group
         Wellington Service Centre
         1st Floor, New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1045
         Facsimile: (04) 890 0009


SPUD JOINERY: Court Appoints Joint Liquidators
----------------------------------------------
Henry David Levin and Barry Jordan were appointed by the High
Court of Auckland on August 17, 2006, as joint and several
liquidators for Spud Joinery Specialists Ltd.

The Joint Liquidators will be receiving proofs of claims from
the company's creditors until September 14, 2006.

According to the Troubled Company Reporter - Asia Pacific, the
Commission of Inland revenue filed a liquidation petition
against the company on May 22, 2006.  The Court heard the
petition on August 17, 2006.

The Joint Liquidators can be reached at:

         Henry David Levin
         McCallum Petterson, Level 11
         Forsyth Barr Tower
         55-65 Shortland Street, Auckland
         New Zealand
         P.O. Box 6916, Wellesley Street, Auckland
         Telephone: (09) 336 0000
         Facsimile: (09) 336 0010


TUI'S HELPING: Faces Liquidation Proceedings
--------------------------------------------
A petition to liquidate Tui's Helping Hands Ltd will be heard
before the High Court of Auckland on September 7, 2006, at 10:45
a.m.

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

The Plaintiff's Solicitor can be reached at:

         Geraldine Ann Ryan
         Auckland South Service Centre
         17 Putney Way (P.O. Box 76-198)
         Manukau City, New Zealand
         Telephone: (09) 984 2002


TUUSON ENTERPRISES: Creditors' Proofs of Claim Due on Sept. 19
--------------------------------------------------------------
Liquidator Raymond Burgess will be receiving proofs of claim
from the creditors of Tuuson Enterprises Ltd until September 19,
2006.

Failure to submit claims will exclude a creditor from sharing in
any distribution the company will make.

The Liquidator can be reached at:

         Raymond Burgess
         P.O. Box 82-100, Auckland
         New Zealand
         Telephone: (09) 576 7806
         Facsimile: (09) 576 7263


WHF INVESTMENTS: Liquidator Fischer to Present Wind-Up Report
-------------------------------------------------------------
A final meeting will be held for the members of WHF Investments
Pty Limited on September 22, 2006, at 10:00 a.m.

At the meeting, Liquidator Fischer will report on the company's
wind-up proceedings and property disposal exercises.

The Liquidator can be reached at:

         Walter Henry Fischer
         Level 6, 151 Macquarie Street
         Sydney, New South Wales 2000
         Australia


WWWICKED PTY: Enters Wind-Up Proceedings
----------------------------------------
Members of WWWICKED Pty Ltd convened on August 11, 2006, and
resolved to voluntarily wind up the company's operations.

Accordingly, Anthony Grieves was appointed as liquidator.

The Liquidator can be reached at:

         Anthony Grieves
         WalterTurnbull
         44 Sydney Avenue
         Barton, Australian Capital Territory 2600
         Australia
         Telephone:(02) 6247 6200
         Facsimile:(02) 6257 6655


XPRESSIONS FASHION: Court Sets Date to Hear Liquidation Bid
-----------------------------------------------------------
The High Court of Napier will hear a liquidation petition filed
against Xpressions Fashion Clothing Ltd on September 7, 2006, at
10:00 a.m.

Zara Elizabeth Warren filed the petition with the Court on
August 10, 2006.

The Plaintiff's Solicitor can be reached at:

         B.S. King
         Langley Twigg, Barristers & Solicitors
         66 West Quay, Napier
         New Zealand


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

ASUN ENTERPRISE: Members to Receive Liquidators' Wind-Up Report
---------------------------------------------------------------
Members of Asun Enterprise Ltd will hear Joint Liquidators Ng
Tze Kin and Tsui Yip Kin's report on the company's wind-up and
property disposal exercises.

The report will be presented at a members' meeting on September
21, 2006, at 3:00 p.m. at 3/F., Malaysia Building, 50 Gloucester
Road, Wanchai in Hong Kong.


BALLY TOTAL: Enters Confidentiality Pact with Pardus Capital
------------------------------------------------------------
Bally Total Fitness Holding Corp. has entered into a
confidentiality agreement with its largest shareholder, Pardus
Capital Management, the Associated Press reports.

Pardus Capital told AP that it would receive confidential
information about Bally Total.

AP notes that Pardus Capital said in a filing with the US
Securities and Exchange Commission late last week that Bally
Total will give it certain private information to be used in the
evaluation and negotiation of a possible strategic transaction
with Pardus Capital.

AP underscores that under the agreement, Pardus Capital can:

    -- nominate individuals to Bally's board of directors;
    -- bring business before a stockholders meeting; and
    -- conduct a proxy solicitation in support of director  
       nominees.

Pardus Capital agreed not to buy or sell Bally Total securities
for a "period ending three business days", after Oct. 16, AP
states.

                        About Bally Total

Bally Total Fitness Holding Corporation
-- http://www.Ballyfitness.com -- is a commercial operator of  
fitness centers, with over 400 facilities located in 29 states,
Mexico, Canada, Korea, the Caribbean, and China under the Bally
Total Fitness, Bally Sports Clubs and Sports Clubs of Canada
brands.  

                        *    *    *

As reported in the Troubled Company Reporter on March 17, 2006,
Standard & Poor's Ratings Services held its ratings on Bally
Total Fitness Holding Corp., including the 'CCC' corporate
credit rating, on CreditWatch with developing implications,
where they were placed on Dec. 2, 2005.


BARCLAYS CORPORATION: Joint Liquidators Step Aside
--------------------------------------------------
Jacky Chung Wing Muk and Edward Simon Middleton ceased to act as
joint and several liquidators for Barclays Corporation NZ Ltd on
August 11, 2006.

The former Joint Liquidators can be reached at:

         Jacky Chung Wing Muk
         KPMG, 8th Floor
         Prince's Bldg, 10 Chater Road
         Central, Hong Kong


BINA INVESTMENT: Creditors' Proofs of Claim Due on September 18
---------------------------------------------------------------
Liquidator Philip Brendan Gilligan requires creditors of Bina
Investment Ltd to file their proofs of claim by September 18,
2006.

Failure to prove claims will exclude a creditor from sharing in
any distribution the company will make.

On August 14, 2006, the Troubled Company Reporter - Asia Pacific
reported that the company commenced a wind-up of its operations
on July 26, 2006.

The Liquidator can be reached at:

         Philip Gilligan
         7th Floor, Alexandra House
         18 Chater Road, Central
         Hong Kong


BIOPHARM GLOBAL: Members to Hear Wind-Up Report
-----------------------------------------------
Members of Biopharm Global (BPG) Ltd will hear Liquidator Lau
Hak Lap's report on the company's wind-up and property disposal
activities.

The report will be presented at a members' meeting on September
18, 2006, at 11:00 a.m. at Mr. Lau's office.

The Liquidator can be reached at:

         Lau Hak Lap
         Unit 1001-4, 10/F
         China Merchants Steam Navigation Building
         152-155 Connaught Road Central
         Hong Kong


BIS GARMENT: Creditors' First Meeting Fixed on August 30
--------------------------------------------------------
Creditors of BIS Garment convened for their first meeting on
August 30, 2006, at Room 201, Duke of Windsor Social Service
Building, No.15, Hennessy Road, Wanchai in Hong Kong.

During the meeting, creditors will discuss various matters
provided under different sections of the Companies Ordinance of
Hong Kong.


CERADYNE INC: Wants Nasdaq Listing Qualifications Panel Hearing
---------------------------------------------------------------
Ceradyne, Inc., requested a hearing before the Nasdaq Listing
Qualifications Panel in response to its receipt of a Nadaq Staff
Determination letter on Aug. 17, 2006, indicating that the
Company is not in compliance with the filing requirements for
continued listing as set forth in Marketplace Rule 4310(c)(14).

The letter was issued in accordance with Nasdaq procedures due
to the delayed filing of the Company's Form 10-Q for the quarter
ended June 30, 2006.  Pending a decision by the Panel, the
Company's common stock will remain listed on The Nasdaq Stock
Market.

The Company disclosed that a special committee of independent
directors was formed, on Aug. 4, 2006, to conduct an internal
investigation of the Company's historical stock option grants
and related accounting treatment.  The special committee is
being assisted by independent legal counsel and forensic
accountants.  The special committee's investigation is ongoing
and, accordingly, the Company was unable to file its Form 10-Q
for the quarter ended June 30, 2006, by the required filing
deadline.  The Company is focused on resolving the issues as
quickly as possible and plans to file its Form 10-Q following
completion of the independent investigation by the special
committee.

Ceradyne, Inc. (Nasdaq: CRDN) -- http://www.ceradyne.com/--  
develops, manufactures and markets advanced technical ceramic  
products and components for defense, industrial,  
automotive/dieseland consumer applications.  The company
operates a technical ceramic plant in Tianjin, China.
  
                           *     *     *

As reported in the Troubled Company Reporter on July 24, 2006,  
Ceradyne's US$50 million revolving credit facility due 2009
carries Standard & Poor's BB- rating.  The Company's credit
rating is also rated BB- by Standard & Poor's.


E. SUN BANK: S&P Affirms Financial Strength Rating at C+
--------------------------------------------------------
Standard & Poor's Ratings Services affirmed on August 29, 2006,
its 'BBB' long-term and 'A-2' short-term counterparty credit
ratings on E.Sun Bank.  The 'C+' bank fundamental strength
rating on the bank was also affirmed.  The outlook is stable.

The affirmation follows an announcement that E.Sun Bank, a
wholly owned subsidiary of E.Sun Financial Holding Co. Ltd.,
plans to merge with E.Sun Bills Finance Corp., another wholly
owned subsidiary of E.Sun FHC, by Dec. 25, 2006, through a share
swap transaction.

According to the plan, designed to enhance capital efficiency,
E.Sun Bank will be the surviving entity and retain the risk
exposure of E.Sun BFC.  Based on pro forma financials as of the
end of June 2006, E. Sun Bank's ratio of adjusted common equity
to assets would increase to 5.4% from 5% currently.

Nevertheless, the bank's capitalization is unlikely to change
significantly because of ongoing expansion.  The transaction is
subject to regulatory approval.

The ratings on E.Sun Bank continue to reflect the bank's good
asset quality, prudent risk controls, and adequate
capitalization.  Counterbalancing factors include potential
risks as a result of the bank's ambitious growth strategy.

The stable outlook reflects the expectation that E.Sun Bank's
prudent risk controls will help the bank to maintain its current
financial profile and creditworthiness.

                          *     *     *

Based in Taiwan, E Sun Commercial Bank
-- http://www.esunbank.com.tw/-- engages in commercial banking,  
savings banking, offshore banking, trust investments and
international financial services.


EUROPOINT WATCH: Members and Creditors Hold Meetings
----------------------------------------------------
Members and creditors of Europoint Watch and Jewellery Ltd held
separate meetings on August 28, 2006, at 9:45 a.m. and 10:00
a.m. respectively to discuss matters relating to the company's
wind-up.

The meetings were held at Room 503, 5th Floor of the Boy's &
Girl's Club Assoc. of Hong Kong, No. 3 Lockhart Road, Wanchai,
Hong Kong.


FILA MARKETING: Joint Liquidators Ceases to Act for Company
-----------------------------------------------------------
Chung Miu Yin, Diana and Yeung Betty Yuen ceased to act as joint
and several liquidators of Fila Marketing (P.R.C) on August 7,
2006.

According to the Troubled Company Reporter - Asia Pacific, the
Liquidators had presented if final wind-up report on June 5,
2006.   

The Joint Liquidators can be reached at:

         Yeung Betty Yuen
         Level 28, Three Pacific Place
         1 Queen's Road East
         Hong Kong


FIS CHINA: Members' Final Meeting Slated for Sept. 20
-----------------------------------------------------
Members of FIS China Ltd will convene for their final meetings
at the office of Liquidator David John Lawrence on September 20,
2006, at 3:00 p.m.

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

According to the Troubled Company Reporter - Asia Pacific, the
company commenced a members' voluntary wind-up of its operations
on March 29, 2006.

The Liquidator can be reached at:

         David J. Lawrence
         7th Floor, Alexandra House
         18 Chater Road Central
         Hong Kong


GUANGDONG KELON: Expects to Book Losses in First Three Quarters
---------------------------------------------------------------
Guangdong Kelon Electrical Holdings warned it will incur losses
for the first three quarters of this year due to increased
material cost, production halts at some plants and a drop in
orders, The South China Morning Post reports.

"In view of the continuous surging raw material prices and some
subsidiaries which have ceased production, it is expected that
loss will be incurred from January 1 to September 30, 2006" said
chairman Tang Yeguo.

"As a result of the former chairman being suspected of economic
crimes, the confidence of the distributors in our company was
significantly affected, causing a huge loss of potential orders
from September 2005 to September 2006 as well as a significant
drop in sales of air conditioners and freezers," Mr. Tang told
The Post.

Trading in Kelon's Hong Kong-listed shares has been suspended
since June 16, 2005 while its Shenzhen-listed shares may also be
suspended under listing rules if it reports a net loss fro this
year, which would be the firm's third straight annual loss, the
Post says.

For the first half this year, Kelon said net loss shrank to
CNY29.2-million from CNY448-million in the same period a year
ago while sales fell 21.3% to CNY3.59-billion.

As of June 30, Kelon's liabilities exceeded its assets by
CNY3.27-billion and it had CNY1.45-billion of overdue short-term
loans.  The company said it was negotiating its debts with
creditors.

Although H.K.-listed firms are not required to have independent
auditors review their earnings, Kelon's auditor BDO McCable Lo
stated that it was unable to determine if hundreds of millions
of yuan of assets and liabilities in Kelon's first-half balance
sheet were accurately stated, the South China Post said.

In addition, Kelon's reported first-half earnings also failed to
win endorsement from the majority of its three supervisors.  One
endorsed the results, another was not contactable and another,
Bai Yunfeng, abstained from voting on the results, the paper
relates.

                          *     *     *

Headquartered in Wanchai, Hong Kong, Guangdong Kelon Elecrical
Holdings Company Limited -- http://www.kelon.com/-- is one of  
the largest cooling domestic appliance manufacturers in China,
mainly engaging in the development and manufacture, as well as
domestic and overseas sales of refrigerators and air-
conditioners.  Before the latest scandal involving it's former
Chairman, the refrigerator maker was saddled with 2004 net
losses, after seeing a CNY197.3 million net profit in 2003 and a
similar substantial profit in 2002.  With the outbreak of the
scandal, it suspended trading of some of its shares and had its
assets frozen.  The Company was taken over China's Hisense Group
in a CNY900-million acquisition agreement in September 2005.

The Troubled Company Reporter - Asia Pacific reported on July 3,
2006, that Guangdong Kelon is facing possible de-listing of its
shares from China's stock exchanges for failing to submit its
first quarter financial report ending March 31, 2006 on an
appointed date.

On August 16, 2006, TCR-AP reported that Guangdong Kelon's net
loss widened to CNY3.7 billion, or CNY3.73 a share, from
CNY226.29 million or CNY23 a share in 2004 under Hong Kong
accounting standards.


KONG WING TRADING: Liquidator Ceases to Act for Company
-------------------------------------------------------
Ha Man Kit, Marcus ceased to act as liquidator for Kong Wing
Trading & Transportation Ltd on August 7, 2006.

Mr. Marcus can be reached at:

         Ha Man Kit, Marcus
         Room 2302, 23/F
         99 Hennessy Road
         Wanchai, Hong Kong


LEAD SUPPLY: Members Resolve to Wind-Up Operations
--------------------------------------------------
Members of Lead Supply Industrial Ltd resolved on August 12,
2006, to voluntary wind-up its operations and appoint Chiu Chi
Kin as liquidator to oversee its liquidation.

The Liquidator can be reached at:

         Chiu Chi Kin
         Block E, 3rd Floor
         Wang Cheong Bldg
         251 Reclamation Street
         Kowloon, Hong Kong


MBF INTERNATIONAL: Liquidator Steps Aside
-----------------------------------------
Ha Man Kit, Marcus ceased to act as Liquidator for MBF
International Finance Ltd on August 7, 2006.

The former Liquidator can be reached at:

         Ha Man Kit, Marcus
         Room 2302, 23/F
         99 Hennessy Road
         Wanchai, Hong Kong


MILLION GRAND: Final Members Meeting Set on September 20
--------------------------------------------------------
Members of Million Grand Industrial Ltd will convene for their
final meeting at 905 Silvercord Tower 2, 30 Canton Road,
Tsimshatsui, Kowloon in Hong Kong on September 20, 2006, at
10:00 a.m.

At the meeting, Joint Liquidators James T. Fulton and Cordelia
Tang will present a report regarding the Company's wind-up and
the manner its properties were disposed of.


NATURE'S FARM: Liquidator Presents Wind-Up Report
-------------------------------------------------
Joint and Several Liquidator Yeo Boon Ann presented a report
regarding the company's wind-up and property disposal activities
on August 25, 2006.


PARTY PRODUCTS: Creditors Must Prove Debts by September 14
----------------------------------------------------------
Creditors of Party Products Manufacturing Ltd are required to
submit their proofs of claim to Company Chairman Ho Ka Ping by
September 14, 2006.

Failure to prove debts will exclude a creditor from sharing in
any distribution the Company will make.


SCREEN MARKETING: Liquidators Muk and Middleton Step Aside
----------------------------------------------------------
Jacky Chung Wing Muk and Edward Simon Middleton ceased to act as
joint and several liquidators of Screen Marketing Ltd on
August 11, 2006.

The former Joint Liquidators can be reached at:

         Jacky Chung Wing Muk
         KPMG, 8th Floor
         Prince's Bldg, 10 Chater Road
         Central, Hong Kong


SERASIA LIMITED: Sole Shareholder Opts for Voluntary Wind-Up
------------------------------------------------------------
The sole shareholder of Serasia Limited resolved on August 9,
2006, to voluntary wind-up the company's operations and named
Lai Kar Yan, Derek and Darach E. Haughey as joint and several
liquidators.

The Joint Liquidators require the company's creditors to file
their proofs of claim by September 18, 2006, for them to share
in any distribution the company will make.  

The Joint Liquidators can be reached at:

         Lai Kar Yan, Derek
         35/F., One Pacific Place
         88 Queensway, Hong Kong


TCL MULTIMEDIA: European Operations Widen First Half Losses
-----------------------------------------------------------
The CNY763 million losses of TCL Multimedia Technology Holdings
Limited's European operations have caused losses of the TCL
Corp. group to widen to CNY737.56 million, AFX News reports.

TCL Corp's loss per share was CNY0.285 against CNY0.268 a year
earlier.

According to the Company's report, slower-than-expected business
integration of acquisitions from Alcatel and Thomson were also
partly responsible for the weak performance of its European
businesses.  

TCL Corp's core revenue was down 3.44% year-on-year at CNY23.58
billion in the first half.

Its sales in China totaled CNY10.31 billion, or 43.74% of the
total, while overseas sales were CNY13.26 billion.

Color television sales dropped 3.68% year-on-year to CNY13.66
billion, with sales of CNY6.41 billion in North America and
Europe.  Computer sales totaled CNY1.25 billion for the first
half, up 21.34% year-on-year.  Appliance sales totaled CNY2.48
billion, down 1.94%.

On July 12, 2006, the Troubled Company Reporter - Asia Pacific
reported that TCL Multimedia Technolgy issued a profit warning
in anticipation that the group may record substantial losses for
the six months ended June 30, 2006.

In a statement to the Hong Kong Stock Exchange, the Company said
the Group may record huge first-half losses as a result of its
lackluster operations in Europe.

                          *     *     *

Headquartered in New Territories, Hong Kong, TCL Multimedia
Technology Holdings Limited -- http://www.tclcom.com/-- is  
formerly known as TCL International Holdings Limited.  The
Group's principal activities are designing, manufacturing and
selling electronic products like colored TV, DVD players, VCD
players, home cinema hi-fi systems, mobile handsets, internet
related information technology products, refrigerators and
washing machines.  Its other activity includes trading
electronic parts and components used in the production of color
television sets.

The Troubled Company Reporter - Asia Pacific reported on January
9, 2006, that China's TCL Multimedia Technology Holdings Ltd.
expects its money-losing North American and European operations
to break even this year, a half year behind previous targets,
citing TCL Multimedia Chairman Li Dongsheng.  The North American
and European operations, which operate under the RCA and Thomson
brands, respectively, posted losses of about HK$30 million in
2005.


VISION CARD: Liquidator Ceases to Act for Company
-------------------------------------------------
Ha Man Kit, Marcus ceased to act as liquidator for Vision Card
International Ltd on August 7, 2006.

The former Liquidator can be reached at:

         Ha Man Kit, Marcus
         Room 2302, 23/F
         99 Hennessy Road
         Wanchai, Hong Kong


YUE CHEONG: Company's Books Under Liquidator's Custody
------------------------------------------------------
At a final members meeting of Yue Cheong Hardware Co Ltd held on
August 7, 2006, a resolution was passed to put the Company's
books and accounts under Liquidator Fan King Kit's custody.

It was also resolved that Mr. Fan may destroy the books of the
Company only after the expiry of three months after the
Company's dissolution.


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

CADMUS COMMS: Inks Asian Joint Venture Pact with Periscope Inc.
---------------------------------------------------------------
Cadmus Communications Corporation entered into a joint venture
agreement with Periscope, Inc., a Minneapolis-based graphic
services and creative agency.  The new PeriscopeCadmus(TM)
entity will integrate Cadmus Specialty Packaging's global
packaging network with Periscope's design and pre-press
capabilities to provide an end-to-end worldwide print management
solution.  The joint venture agreement between Cadmus and
Periscope was signed on June 29, 2006.

Cadmus simultaneously disclosed that PeriscopeCadmus(TM) has
been selected as one of only four global print managers to serve
a large United States-based retail chain.  This initial business
development success will provide the joint venture with an
excellent opportunity to win a significant portion of an
estimated US$200 million annual packaging buy.

PeriscopeCadmus(TM) has already begun operations at its new,
expanded pre-press and print management operation in Hong Kong.
John Riley, Vice President of Operations for Cadmus Specialty
Packaging, has relocated to Hong Kong to assume the position of
Director, Global Operations and lead the team that will manage
PeriscopeCadmus(TM) print operations in the eastern hemisphere.  
Gilbert Lee has signed on as Director, Sales & Prepress and in
that role will share responsibility with Riley for leadership of
the business in Asia.  PeriscopeCadmus(TM) is currently adding
15 associates to existing Hong Kong staff in anticipation of
rapid sales growth in Asia.  Additional support offices are
planned in the next few months in Shanghai, India, and Thailand
to provide even closer regional support for anticipated business
in those regions.

Alan Parnell, Vice President of Global Packaging Solutions for
Cadmus, said, "this is a tremendous opportunity to apply our
global brand management expertise on a much larger scale.  It
expands the scope of our business in terms of services offered
as well as enhancing our global reach.  Our print and packaging
network has grown to include facilities in China, Thailand,
India and Turkey.  The establishment in Hong Kong of a pre-press
and print management hub, together with our existing U.S. and
Central American capabilities, positions us to provide our
customers with unparalleled global brand management solutions
for packaging."

"This agreement and the related business development success
represents an opportunity to aggressively accelerate our growth
in Asia and sustain strong momentum in our Specialty Packaging
business," Paul Suijk, Senior Vice President and Chief Financial
Officer of Cadmus, commented.  "With this joint venture, we can
not only build on the success we have had in the Caribbean Rim,
but we now can extend our production management capabilities
literally around the world.  We expect the joint venture and our
Asian operation to move quickly from the current 'start up'
phase and adding significant revenue and profitability as early
as the fall of this year."

                         About Periscope

Periscope, Inc. -- http://www.periscope.com/-- is a marketing  
agency providing clients with a full range of integrated
services, including advertising, media planning and buying,
interactive, public relations, design and graphic services.  
With offices in Minneapolis and Hong Kong, Periscope has 200
employees and US$200 million in capitalized billings.  The
agency's clients include Arctic Cat, Buca di Beppo, Cox
Communications, Humana, Papa Murphy's Take 'N' Bake Pizza and
Target.

                          About Cadmus

Based in Richmond, Virginia, Cadmus Communications Corporation
-- http://www.cadmus.com/-- provides end-to-end, integrated  
graphic communications services to professional publishers, not-
for-profit societies and corporations.  Cadmus is the world's
largest provider of content management and production services
to scientific, technical and medical journal publishers, the
fifth largest periodicals printer in North America, and a
leading provider of specialty packaging and promotional printing
services.  The company also has operations in India.

                          *     *     *

Cadmus Communications' 8-3/8% Senior Subordinated Notes due 2014
carry Moody's Investors Service's B2 rating and Standard &
Poor's single-B rating.


SILICON GRAPHICS: Gets Final OK to Keep Existing Bank Accounts
--------------------------------------------------------------
The Hon. Allan L. Gropper of the United States Bankruptcy Court
for the Southern District of New York approved the request of
Silicon Graphics, Inc., and its debtor-affiliates to designate,
maintain and continue to use, with the same account numbers, all
of the bank accounts in existence on the Chapter 11 filing on a
final basis.

Furthermore, the Debtors are allowed to open new bank accounts
or close any existing bank accounts, as they may deem necessary.

The Debtors maintained 27 Bank Accounts with several financial
institutions.

A full-text copy of a list of the Debtors' Bank Accounts is
available for free at http://researcharchives.com/t/s?eab

                     About Silicon Graphics

Headquartered in Mountain View, California, Silicon Graphics,
Inc. (OTC: SGID) -- http://www.sgi.com/-- offers high-
performance computing.  SGI helps customers solve their
computing challenges, whether it's sharing images to aid in
brain surgery, finding oil more efficiently, studying global
climate, providing technologies for homeland security and
defense, enabling the transition from analog to digital
broadcasting, or helping enterprises manage large data.

Silicon Graphics has operations in India, Australia, China,
Japan, New Zealand and sales offices in Hong Kong, Korea,
Malaysia, Indonesia, the Philippines, Singapore, Thailand, and
Vietnam.

The Debtor and 13 of its affiliates filed for Chapter 11
protection on May 8, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10977
through 06-10990).

Debtor affiliates filing separate chapter 11 petitions:

   * Silicon Graphics Federal, Inc.
   * Cray Research, LLC
   * Silicon Graphics Real Estate, Inc.
   * Silicon Graphics World Trade Corporation
   * Silicon Studio, Inc.
   * Cray Research America Latina Ltd.
   * Cray Research Eastern Europe Ltd.
   * Cray Research India Ltd.
   * Cray Research International, Inc.
   * Cray Financial Corporation
   * Cray Asia/Pacific, Inc.
   * ParaGraph International, Inc.
   * WTI-Development, Inc.

Gary Holtzer, Esq., and Shai Y. Waisman, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors in their restructuring
efforts.  When the Debtors filed for protection from their
creditors, they listed total assets of US$369,416,815 and total
debts of US$664,268,602.


SILICON GRAPHICS: Winston & Strawn Hired as Committee's Counsel
---------------------------------------------------------------
The United States Bankruptcy Court for the Southern District of
New York authorized the Official Committee of Unsecured
Creditors in Silicon Graphics, Inc., and its debtor-affiliates'
Chapter 11 cases, to retain Winston & Strawn LLP as its counsel,
nunc pro tunc to May 18, 2006.

As reported in the Troubled Company Reporter on June 30, 2006,
Winston & Strawn will:

    a. provide legal advice to the Committee with respect to its
       duties and powers in the Chapter 11 cases;

    b. consult with the Committee and the Debtors concerning the
       administration of the bankruptcy proceedings;

    c. assist the Committee in:

       -- in its investigation of the acts, conduct, assets,
          liabilities, postpetition financing, and financial
          condition of the Debtors, operation of the Debtors'
          businesses, and the desirability of continuing or
          selling businesses and assets, and other matters
          related to the bankruptcy case or to the formulation
          of a plan;

       -- in the evaluation of claims against the estates,
          including analysis of and possible objections to the
          validity, priority, amount, subordination, or
          avoidance of claims and transfers of property on
          account of the claims;

       -- in participating in the formulation of a plan,
          including the Committee's communications with
          unsecured creditors concerning the plan and collecting
          of, and filing with the Court, acceptances or
          rejections of the plan; and

       -- with any effort to request the appointment of a
          trustee or examiner;

    d. advise and represent the Committee in connection with
       administrative and substantive matters arising in the
       Chapter 11 cases, including the obtaining of credit, the
       sale of assets, and the rejection or assumption of
       executory contracts and unexpired leases;

    e. appear before the Court, any other federal court, state
       court or appellate courts; and

    f. perform other legal services as may be required and which
       are in the interest of the unsecured creditors.

Winston & Strawn will be paid on its current hourly rates and
will be reimbursed for necessary expenses.  The firm's customary
hourly rates, subject to periodic adjustment, were:

          Partners                    US$360 to US$765
          Associates                  US$225 to US$470
          Legal Assistants            US$105 to US$230

David Neier, a partner at Winston & Strawn, assured the Court
that his firm has no connection with, and holds no interest
adverse to, the Debtors, their creditors, or any other party-in-
interest.  Winston & Strawn is a "disinterested person," as
defined in Section 101(14) of the Bankruptcy Code.

                      About Silicon Graphics

Headquartered in Mountain View, California, Silicon Graphics,
Inc. (OTC: SGID) -- http://www.sgi.com/-- offers high-
performance computing.  SGI helps customers solve their
computing challenges, whether it's sharing images to aid in
brain surgery, finding oil more efficiently, studying global
climate, providing technologies for homeland security and
defense, enabling the transition from analog to digital
broadcasting, or helping enterprises manage large data.

Silicon Graphics has operations in India, Australia, China,
Japan, New Zealand and sales offices in Hong Kong, Korea,
Malaysia, Indonesia, the Philippines, Singapore, Thailand, and
Vietnam.

The Debtor and 13 of its affiliates filed for Chapter 11
protection on May 8, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10977
through 06-10990).

Debtor affiliates filing separate chapter 11 petitions:

   * Silicon Graphics Federal, Inc.
   * Cray Research, LLC
   * Silicon Graphics Real Estate, Inc.
   * Silicon Graphics World Trade Corporation
   * Silicon Studio, Inc.
   * Cray Research America Latina Ltd.
   * Cray Research Eastern Europe Ltd.
   * Cray Research India Ltd.
   * Cray Research International, Inc.
   * Cray Financial Corporation
   * Cray Asia/Pacific, Inc.
   * ParaGraph International, Inc.
   * WTI-Development, Inc.

Gary Holtzer, Esq., and Shai Y. Waisman, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors in their restructuring
efforts.  When the Debtors filed for protection from their
creditors, they listed total assets of US$369,416,815 and total
debts of US$664,268,602.


SILICON GRAPHICS: Gets Final Nod to Use Existing Business Forms
---------------------------------------------------------------
The Hon. Allan L. Gropper of the United States Bankruptcy Court
for the Southern District of New York allowed Silicon Graphics,
Inc., and its debtor-affiliates to continue using existing
checks and business forms, including purchase orders, multi-copy
checks, letterheads, and promotional materials, without
reference to the Debtors' status as debtors-in-possession, on a
final basis.

Pursuant to the operating guidelines established by the Office
of the United States Trustee for debtors-in-possession, the
Debtors are required to obtain checks that bear the designation
"debtor in possession" and reference the bankruptcy case number
and the type of account on those checks.

As reported in the Troubled Company Reporter on May 22, 2006,
the Debtors also obtained the Court's permission to use their
existing check stock.  As soon as practicable, the Debtors will
imprint the legend "Debtor-In-Possession" and the Debtors'
chapter 11 case number on those checks.

                      About Silicon Graphics

Headquartered in Mountain View, California, Silicon Graphics,
Inc. (OTC: SGID) -- http://www.sgi.com/-- offers high-
performance computing.  SGI helps customers solve their
computing challenges, whether it's sharing images to aid in
brain surgery, finding oil more efficiently, studying global
climate, providing technologies for homeland security and
defense, enabling the transition from analog to digital
broadcasting, or helping enterprises manage large data.

Silicon Graphics has operations in India, Australia, China,
Japan, New Zealand and sales offices in Hong Kong, Korea,
Malaysia, Indonesia, the Philippines, Singapore, Thailand, and
Vietnam.

The Debtor and 13 of its affiliates filed for Chapter 11
protection on May 8, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10977
through 06-10990).

Debtor affiliates filing separate chapter 11 petitions:

   * Silicon Graphics Federal, Inc.
   * Cray Research, LLC
   * Silicon Graphics Real Estate, Inc.
   * Silicon Graphics World Trade Corporation
   * Silicon Studio, Inc.
   * Cray Research America Latina Ltd.
   * Cray Research Eastern Europe Ltd.
   * Cray Research India Ltd.
   * Cray Research International, Inc.
   * Cray Financial Corporation
   * Cray Asia/Pacific, Inc.
   * ParaGraph International, Inc.
   * WTI-Development, Inc.

Gary Holtzer, Esq., and Shai Y. Waisman, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors in their restructuring
efforts.  When the Debtors filed for protection from their
creditors, they listed total assets of US$369,416,815 and total
debts of US$664,268,602.


SILICON GRAPHICS: Court OKs Hiring of Morgan Lewis as IP Counsel
----------------------------------------------------------------
The United States Bankruptcy Court for the Southern District of
New York allowed Silicon Graphics, Inc., and its debtor-
affiliates to employ Morgan, Lewis & Bockius LLP as their
special intellectual property counsel, nunc pro tunc to their
bankruptcy filing.

As reported in the Troubled Company Reporter on June 21, 2006,
Morgan Lewis will be responsible for:

    -- counseling the Debtors with respect to patent, trademark,
       licensing, open source, and other issues relating to
       transactional and non-transactional matters; and

    -- the litigation of intellectual property disputes,
       including matters that may come before the Court in
       connection with the Debtors' Chapter 11 case concerning
       intellectual property.

Morgan Lewis' customary hourly rates are:

             Professionals                Rates Per Hour
             -------------                --------------
             Counsel                    US$330 to US$530
                Douglas J. Crisman                US$450

             Partners                   US$430 to US$750
                Andrew Gray                       US$530
                James Bollinger                   US$750

             Associates                 US$210 to US$500
                Tim Heaton                        US$500

             Paraprofessionals          US$130 to US$200
                Jeremy Sullivan                   US$175

Mr. Crisman assures the Court that his firm does not have any
connection with or interest adverse to the Debtors or any party-
in-interest.

                     About Silicon Graphics

Headquartered in Mountain View, California, Silicon Graphics,
Inc. (OTC: SGID) -- http://www.sgi.com/-- offers high-
performance computing.  SGI helps customers solve their
computing challenges, whether it's sharing images to aid in
brain surgery, finding oil more efficiently, studying global
climate, providing technologies for homeland security and
defense, enabling the transition from analog to digital
broadcasting, or helping enterprises manage large data.

Silicon Graphics has operations in India, Australia, China,
Japan, New Zealand and sales offices in Hong Kong, Korea,
Malaysia, Indonesia, the Philippines, Singapore, Thailand, and
Vietnam.

The Debtor and 13 of its affiliates filed for Chapter 11
protection on May 8, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10977
through 06-10990).

Debtor affiliates filing separate chapter 11 petitions:

   * Silicon Graphics Federal, Inc.
   * Cray Research, LLC
   * Silicon Graphics Real Estate, Inc.
   * Silicon Graphics World Trade Corporation
   * Silicon Studio, Inc.
   * Cray Research America Latina Ltd.
   * Cray Research Eastern Europe Ltd.
   * Cray Research India Ltd.
   * Cray Research International, Inc.
   * Cray Financial Corporation
   * Cray Asia/Pacific, Inc.
   * ParaGraph International, Inc.
   * WTI-Development, Inc.

Gary Holtzer, Esq., and Shai Y. Waisman, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors in their restructuring
efforts.  When the Debtors filed for protection from their
creditors, they listed total assets of US$369,416,815 and total
debts of US$664,268,602.


SILICON GRAPHICS: Gets Court Approval to Continue Refund Program
----------------------------------------------------------------
The United States Bankruptcy Court for the Southern District of
New York authorized Silicon Graphics, Inc., and its debtor-
affiliates to:

     -- continue their Refund Program, including the ordinary
        course practice of issuing Credit Memos to customers;
        and

     -- perform and honor their prepetition obligations under
        the Refund Program, including the issuance of
        approximately US$100,000 in Credit Memos relating to
        refund credit requests received prepetition.

In addition, Judge Lifland permits the Debtors to issue
approximately US$100,000 in Credit Memos applicable to future
purchases of their products and services in respect of refund
requests received prepetition.

As reported in the Troubled Company Reporter on July 24, 2006,
the Debtors want to continue their customer refund program and
issue Credit Memos to customers to ensure customer satisfaction,
effectively compete with their market, develop and sustain
customer loyalty, improve profitability, and generate goodwill
for the Debtors and their products.

Shai Y. Waisman, Esq., at Weil, Gotshal & Manges LLP, in New
York, told the U.S. Bankruptcy Court for the Southern District
of New York that Credit Memos avoid the need to issue cash
refunds to customers, which are less likely to yield future
benefits to the Debtors, as customers are not obligated to use
their cash refund to make additional purchases from the Debtors.  
On the other hand, Credit Memos incentivize customers to
continue their business relationship with the Debtors as opposed
to purchasing similar products and services from a competitor.

                     About Silicon Graphics

Headquartered in Mountain View, California, Silicon Graphics,
Inc. (OTC: SGID) -- http://www.sgi.com/-- offers high-
performance computing.  SGI helps customers solve their
computing challenges, whether it's sharing images to aid in
brain surgery, finding oil more efficiently, studying global
climate, providing technologies for homeland security and
defense, enabling the transition from analog to digital
broadcasting, or helping enterprises manage large data.

Silicon Graphics has operations in India, Australia, China,
Japan, New Zealand and sales offices in Hong Kong, Korea,
Malaysia, Indonesia, the Philippines, Singapore, Thailand, and
Vietnam.

The Debtor and 13 of its affiliates filed for Chapter 11
protection on May 8, 2006 (Bankr. S.D.N.Y. Case Nos. 06-10977
through 06-10990).

Debtor affiliates filing separate chapter 11 petitions:

   * Silicon Graphics Federal, Inc.
   * Cray Research, LLC
   * Silicon Graphics Real Estate, Inc.
   * Silicon Graphics World Trade Corporation
   * Silicon Studio, Inc.
   * Cray Research America Latina Ltd.
   * Cray Research Eastern Europe Ltd.
   * Cray Research India Ltd.
   * Cray Research International, Inc.
   * Cray Financial Corporation
   * Cray Asia/Pacific, Inc.
   * ParaGraph International, Inc.
   * WTI-Development, Inc.

Gary Holtzer, Esq., and Shai Y. Waisman, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors in their restructuring
efforts.  When the Debtors filed for protection from their
creditors, they listed total assets of US$369,416,815 and total
debts of US$664,268,602.


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

GOODYEAR TIRE: Delaware Court Denies Dismissal Motion
-----------------------------------------------------
The Superior Court of Delaware, New Castle County, denied the
dismissal motion filed by The Goodyear Tire & Rubber Co. in an
asbestos-related action filed by multiple plaintiffs.

Judge Susan C. Del Pesco handed down the decision of the case on
March 13, 2006.

The Goodyear Tire & Rubber Co. is an Ohio corporation with its
principle place of business in Ohio. The Company had filed a
motion to dismiss this action based on interests of justice.

The Court ruled that the provision relied on is a codification
of the due process protection of the U.S. Constitution, which is
implicated when a State seeks to exercise jurisdiction over a
nonresident. The provision does not supply a basis for
dismissing the plaintiff's claim.

The Court denied the Company's motion to dismiss based on
interests of justice.

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest  
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  It has marketing operations in almost every country
around the world, including Indonesia, Australia, China, India,
Korea, Malaysia, New Zealand, Philippines, Singapore, Taiwan,
and Thailand.  Goodyear employs more than 80,000 people
worldwide.  The company's Asia-Pacific headquarters is in
Shanghai, China.

                          *     *     *

Fitch affirmed The Goodyear Tire & Rubber Company's Issuer
Default Rating at 'B'; US$1.5 billion first lien credit facility
at 'BB/RR1'; US$1.2 billion second lien term loan at 'BB/RR1';
US$300 million third lien term loan at 'B/RR4'; US$650 million
third lien senior secured notes at 'B/RR4'; and Senior Unsecured
Debt at 'CCC+/RR6'.

Moody's Investors Service assigned a B3 rating to Goodyear Tire
& Rubber Company's US$400 million ten-year senior unsecured
notes.

Standard & Poor's Ratings Services assigned its 'B-' rating to
Goodyear Tire & Rubber Co.'s US$400 million senior notes due
2015 and affirmed its 'B+' corporate credit rating.


GOODYEAR TIRE: Asbestos Claims Drop to 124,400 in 2Q
----------------------------------------------------
The Goodyear Tire & Rubber Co. recorded about 124,400 pending
asbestos-related claims against it at June 30, 2006, compared
with 125,700 claims at March 31, 2006.

The claims related to alleged asbestos-related diseases
resulting from exposure to asbestos in products made by the
company or in asbestos-containing materials in the company's
facilities.  The plaintiffs sought unspecified actual and
punitive damages and other relief.

In the 2006-2nd quarter, about 700 new claims were filed against
the company and about 2,000 were settled or dismissed.  The
amount expended on asbestos defense and claim resolution by the
company and its insurance carriers during the 2006-2nd quarter
was US$6 million and US$10 million in the first six months of
2006.

In the six months ended June 30, 2006, the company noted 1,600
new claim filings and 2,700 claims settled or dismissed.

To date, the company has disposed of about 40,800 claims by
defending and obtaining the dismissal or by entering into a
settlement. The sum of the company's accrued asbestos-related
liability and gross payments, including legal costs, totaled
about US$242 million through June 30, 2006 and US$233 million
through December 31, 2005.

The company had recorded liabilities for both asserted and
unasserted claims, inclusive of defense costs, totaling
US$103 million at June 30, 2006 and US$104 million at December
31, 2005.

The portion of the liability associated with unasserted asbestos
claims was US$37 million at June 30, 2006, and US$31 million at
December 31, 2005.

The company's liability with respect to asserted claims and
related defense costs was US$66 million at June 30, 2006, and
US$73 million at December 31, 2005.

As of June 30, 2006 and December 31, 2005, the company had
recorded a receivable related to asbestos claims of
US$53 million. The company expects that about 52% of asbestos
claim related losses would be recoverable up to the company's
accessible policy limits through the period covered by the
estimated liability.  Of this amount, US$9 million was included
in current assets as part of accounts and notes receivable at
June 30, 2006, and December 31, 2005.

The company said that at June 30, 2006, it had at least
US$176 million in aggregate limits of excess level policies
potentially applicable to indemnity payments for asbestos
products claims. A portion of the availability of the excess
level policies is included in the US$53 million insurance
receivable recorded at June 30, 2006.

The company also had about US$20 million in aggregate limits for
products claims, as well as coverage for premise claims on a per
occurrence basis and defense costs available with the company's
primary insurance carriers through coverage-in-place agreements
at June 30, 2006.

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest  
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  It has marketing operations in almost every country
around the world, including Indonesia, Australia, China, India,
Korea, Malaysia, New Zealand, Philippines, Singapore, Taiwan,
and Thailand.  Goodyear employs more than 80,000 people
worldwide.  The company's Asia Pacific headquarters is in
Shanghai, China.

                          *     *     *

Fitch affirmed The Goodyear Tire & Rubber Company's Issuer
Default Rating at 'B'; US$1.5 billion first lien credit facility
at 'BB/RR1'; US$1.2 billion second lien term loan at 'BB/RR1';
US$300 million third lien term loan at 'B/RR4'; US$650 million
third lien senior secured notes at 'B/RR4'; and Senior Unsecured
Debt at 'CCC+/RR6'.

Moody's Investors Service assigned a B3 rating to Goodyear Tire
& Rubber Company's US$400 million ten-year senior unsecured
notes.

Standard & Poor's Ratings Services assigned its 'B-' rating to
Goodyear Tire & Rubber Co.'s US$400 million senior notes due
2015 and affirmed its 'B+' corporate credit rating.


GOODYEAR TIRE: Reports US$2 Million Net Income in Second Quarter
----------------------------------------------------------------
The Goodyear Tire & Rubber Company filed its financial results
for the second quarter ended June 30, 2006, with the United
States Securities and Exchange Commission on Aug. 4, 2006.

For the three months ended June 30, 2006, the Company earned
US$2 million of net income on US$5.14 billion of net revenues,
compared to US$69 million of net income on US$5 billion of net
revenues in 2005.

At June 30, 2006, the Company had US$1.56 billion in cash and
cash equivalents as well as US$1.68 billion of unused
availability under the company's various credit arrangements,
compared to US$2.16 billion and US$1.68 billion at Dec. 31,
2005, respectively.  Cash and cash equivalents decreased
primarily due to payments of debt maturities and funding of
seasonal working capital.  Cash and cash equivalents do not
include restricted cash.  Restricted cash primarily consists of
Goodyear contributions made related to the settlement of the
Entran II litigation and proceeds received pursuant to insurance
settlements.  In addition, the Company will, from time to time,
maintain balances on deposit at various financial institutions
as collateral for borrowings incurred by various subsidiaries,
as well as cash deposited in support of trade agreements and
performance bonds.

As of June 30, 2006, cash balances totaling US$224 million were
subject to restrictions, compared to US$241 million at Dec. 31,
2005.

A full-text copy of the Company's Quarterly Report is available
for free at http://researcharchives.com/t/s?f3b

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest  
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  It has marketing operations in almost every country
around the world, including Indonesia, Australia, China, India,
Korea, Malaysia, New Zealand, Philippines, Singapore, Taiwan,
and Thailand.  Goodyear employs more than 80,000 people
worldwide.  The company's Asia Pacific headquarters is in
Shanghai, China.

                          *     *     *

Fitch affirmed The Goodyear Tire & Rubber Company's Issuer
Default Rating at 'B'; US$1.5 billion first lien credit facility
at 'BB/RR1'; US$1.2 billion second lien term loan at 'BB/RR1';
US$300 million third lien term loan at 'B/RR4'; US$650 million
third lien senior secured notes at 'B/RR4'; and Senior Unsecured
Debt at 'CCC+/RR6'.

Moody's Investors Service assigned a B3 rating to Goodyear Tire
& Rubber Company's US$400 million ten-year senior unsecured
notes.

Standard & Poor's Ratings Services assigned its 'B-' rating to
Goodyear Tire & Rubber Co.'s US$400 million senior notes due
2015 and affirmed its 'B+' corporate credit rating.


GREAT RIVER: Bank Mandiri Says No To Taking Over Management
-----------------------------------------------------------
PT Bank Mandiri (Persero) Tbk has refused to take over the
management of its troubled debtor, apparel maker PT Great River
International Tbk, the Jakarta Post reports.

Bank Mandiri Vice President Wayan Agus Mertayasa has said that
the matter of managing Great River, which owes the bank
IDR310 billion (US$34 million), should be the domain of its
shareholders, and not its creditors.  Any decision on the
company's fate should be determined through a shareholders
meeting, and be settled in court, he said.

The Post further cites Mr. Wayan as saying that Mandiri has no
plans to provide more loans to save Great River, until its
previous loans have been settled.

Great River's five acting directors -- Kristanto Setyadi, D.
Swantopo, Hasanuddin Rachman, Doddy Soepardi and Albert Mario
Setyawan -- told the Jakarta Stock Exchange last week that they
would step down, handing over the company to Mandiri, PT Nikko
Securities as its bond underwriter, and Bank Mega as the
trustee.

The five resigned after the Jakarta-based firm -- once Southeast
Asia's largest apparel manufacturer -- continued to be dogged by
problems paying for its raw material purchases, salaries, and
other obligations.

Great River's shares were suspended from the JSX in January 2005
after the company failed to pay IDR11 billion in interest on its
loans and bonds.

Its main shareholder, Sunjoto Tanudjaja, the son of tycoon
Sukanta Tanudjaja, has been named a suspect in a scam regarding
the loans and is a fugitive from justice.

The company has failed to submit financial reports since 2004,
making it more difficult for the debtor to settle its
outstanding loans.

Mandiri had disbursed IDR260 billion in loans to the company and
bought IDR50 billion of its bonds, in return for collateral
worth 1.4 times more, but mostly in the form of fast
depreciating buildings and machinery.

Mandiri is under pressure to lower its still-high level of bad
loans, the report says.

                       About Bank Mandiri

Headquartered in Jakarta, Indonesia, PT Bank Mandiri (Persero)
Tbk's -- http://www.bankmandiri.co.id/-- services include:  
Internet banking, consumer banking, commercial banking and
corporate banking. The bank's subsidiaries consist of: Bank
Mandiri (Europe) Limited, which is the bank's representative in
Europe; PT Bank Syariah Mandiri, which is a bank within the
syariah banking system; PT Usaha Gedung Bank Dagang Negara,
which is a property management company; PT Mandiri Sekuritas,
which is an investment management company, and PT Bumi Daya
Plaza, which is a property management company. The bank is
supported by 10 regional offices, 54 hub offices, 98 community
offices, 334 spoke offices, 423 cash offices, four international
offices and one representative office.  The bank has overseas
operations in the Cayman Islands, China, Hong Kong, London, and
Singapore.

                         *     *     *

A Troubled Company Reporter - Asia Pacific report on May 22,
2006, reported that Moody's Investors Service has upgraded Bank
Mandiri's long-term deposit rating to B2 from B3, with a stable
outlookBank Mandiri's short-term deposit rating of Not-Prime,
and bank financial strength rating of E+ are unaffected.

A subsequent TCR-AP report on May 29, 2006, stated that Moody's
upgraded these ratings of Bank Mandiri Persero (P.T.),Cayman
Islands under the revised foreign currency ceilings:

   -- Subordinated debt rating: to Ba3 from B1 with stable
      outlook; and

   -- Senior debt rating: to Ba3 from B1 with stable outlook.

Another TCR-AP report on May 24, 2006, said that Fitch Ratings
affirmed Bank Mandiri's

   * Long-term Foreign and Local Currency Issuer Default Ratings
     at 'BB-';

   * Short-term rating at 'B';

   * Individual rating at 'D'; and

   * Support rating at '4'.

The outlook for the ratings is stable.

                       About Great River

PT Great River International Tbk -- http://www.greatriver.co.id/  
-- is a fashion apparel producer, exporter and retailer of
international brands.  Great River produces ladies'/men's
undergarments and men's shirts/trousers, as well as children's
wear in Indonesia.  The company distributes brands of men's wear
and other apparel through its subsidiary in Malaysia, Apparel
World (M) Sdn. Bhd., and an associated distributor in Singapore,
Inter Fashion Marketing Pte. Ltd. Great River operates three
production facilities located in West Java, Cibinong, Cikarang
and Purwakarta, which, together, house a combined total of more
than 6,600 sewing machines.  These production facilities are
capable of producing over 34 million pieces garments per annum.


NORTEL NETWORKS: Second Quarter Revenues Up 5% to US$2.74 Bil.
--------------------------------------------------------------
Nortel Networks Corp. disclosed that it and its principal
operating subsidiary Nortel Networks Limited or NNL have
reported their unaudited financial results for the second
quarter of 2006 prepared in accordance with accounting
principles generally accepted in the United States.

                  Second Quarter 2006 Results

Revenues were US$2.74 billion for the second quarter of 2006
compared to US$2.62 billion for the second quarter of 2005 and
US$2.38 billion for the first quarter of 2006.  The company
reported net earnings in the second quarter of 2006 of
US$366 million, or US$0.08 per common share on a diluted basis,
compared to a net loss of US$33 million, or (US$0.01) per common
share on a diluted basis, in the second quarter of 2005 and a
net loss of US$167 million, or (US$0.04) per common share on a
diluted basis, in the first quarter of 2006.

Net earnings in the second quarter of 2006 included a
shareholder litigation recovery of US$510 million reflecting a
mark-to-market adjustment of the share portion of the global
class action settlement, special charges of US$45 million for
restructuring and a loss of US$10 million on the sale of assets.
Net loss in the second quarter of 2005 included special charges
of US$92 million related to restructuring activities and
US$11 million of costs related to the sale of businesses and
assets.  Net loss in the first quarter of 2006 included a
benefit of US$35 million in gains on the sale of businesses and
assets and a shareholder litigation expense of US$19 million
reflecting a mark-to-market adjustment.

"Our second quarter performance underscores both the challenges
and good progress we are making with Nortel's transformation. On
the plus side we saw strong order growth of 22% and increased
sales momentum but gross margin was up only modestly and not at
the 40% target we have set for ourselves," said Mike Zafirovski,
president and chief executive officer, Nortel.  "We remain
intensely focused on delivering improved financial performance
and there's solid traction on significant business
transformation initiatives including the go-to-market supporting
our Enterprise business, the development of our Services
business, our strategic alliance with Microsoft, and across the
board cost management programs.  Together, these efforts are
enabling us to deliver greater customer value and substantially
enhance Nortel's competitiveness."

          Breakdown of Second Quarter 2006 Revenues

Mobility and Converged Core Networks revenues were
US$1.59 billion, an increase of 7% compared with the year-ago
quarter and an increase of 12% sequentially.  Enterprise
Solutions and Packet Networks revenues were US$1.07 billion, a
decrease of 1% compared with the year-ago quarter and an
increase of 23% sequentially.  Deferred revenues decreased
sequentially by US$14 million and backlog increased by
approximately US$194 million.

                         Gross margin

Gross margin was 39% of revenue in the second quarter of 2006,
primarily impacted by geographic and product mix, and
competitive pricing pressures.  This compares to gross margin of
43 percent for the second quarter of 2005 and 38 percent for the
first quarter of 2006. Compared to the second quarter of 2005,
gross margin was impacted primarily by pricing pressures and
unfavourable product mix, which was partially offset by higher
sales volumes.

               Selling, General and Administrative

SG&A expenses were US$596 million in the second quarter of 2006,
reflecting incremental costs related to our acquisition of PEC
and the LG-Nortel joint venture and unfavorable foreign exchange
impacts, offset by cost containment initiatives.  This compares
to SG&A expenses of US$588 million for the second quarter of
2005, and US$595 million for the first quarter of 2006.

                  Research and Development

R&D expenses were US$489 million in the second quarter of 2006,
reflecting increased investment in targeted product areas, the
consolidation of the LG-Nortel joint venture and unfavorable
foreign exchange impacts, offset by the favorable impact of the
savings associated with its 2004 restructuring program.  This
compares to US$488 million for the second quarter of 2005 and
US$478 million for the first quarter of 2006.

                       Special Charges

Special charges in the second quarter of 2006 of US$45 million
included US$43 million for the restructuring program announced
June 27, 2006.

                Other income (expense) - net

Other income (expense) - net was net income of US$51 million for
the second quarter of 2006, which primarily related to
investment income of US$29 million and foreign exchange gains of
US$16 million.

                           Cash

Cash balance at the end of the second quarter of 2006 was
US$1.90 billion, down from US$2.70 billion at the end of the
first quarter of 2006.  This decrease in cash was primarily
driven by an outflow of US$580 million (US$575 million plus
accrued interest of US$5 million) deposited into escrow on
June 1, 2006, under the global class action settlement (pending
satisfactory completion of all conditions) and US$150 million
for the repayment at maturity of the outstanding aggregate
principal amount of the 7.40% Notes due June 15, 2006, and a
cash outflow from operations of US$108 million, partially offset
by cash proceeds of US$70 million related to the Flextronics
transfer.

On July 5, 2006, Nortel announced the closing of the offering of
US$2 billion aggregate principal amount of senior notes and that
it has used US$1.3 billion of the proceeds to prepay the
US$1.3 billion one-year credit facility that it entered into in
February 2006.

                    First Half 2006 Results

For the first half of 2006, revenues were US$5.13 billion
compared to US$5.01 billion for the same period in 2005.  The
company reported net earnings for the first half of 2006 of
US$199 million, or US$0.05 per common share on a diluted basis,
compared to a net loss of US$137 million, or (US$0.03) per
common share on a diluted basis, for the same period in 2005.

Net earnings in the first half of 2006 included a shareholder
litigation recovery of US$491 million reflecting a mark-to-
market adjustment of the share portion of the global class
action settlement, special charges of US$50 million related to
restructuring activities and a benefit of US$25 million related
to the sale of businesses and assets.  The first half 2005
results included special charges of US$106 million related to
restructuring activities and US$33 million of costs related to
the sale of businesses and assets.

                          Outlook

Commenting on the company's financial expectations, Peter
Currie, executive vice president and chief financial officer,
Nortel, said, "For the full year 2006, we continue to expect
strong revenue momentum for the rest of 2006, resulting in high
single digit growth for the full year 2006 compared to 2005,
gross margin to be around 40% as a percentage of revenue and
operating expenses to be flat to up slightly from 2005, with
foreign exchange and growth related expenses offsetting
productivity and efficiencies.  For the third quarter of 2006,
we expect revenue growth in excess of 10 percent compared to the
third quarter of 2005 and gross margin and operating expenses to
be in-line with our full year guidance."

                  Recent Business Highlights

New Strategic Relationships

Nortel and Microsoft announced a strategic alliance to
accelerate the transformation of business communications towards
a shared vision for unified communications.  The agreement
engages the companies at the technology, marketing and business
levels and includes joint product development, solutions and
systems integration, and go-to-market initiatives.

Liberty Global, the world's leading international cable
operator, has signed a 3-year global purchase agreement with
Nortel for cable VoIP and optical solutions and services.  With
this agreement, Nortel is now an approved vendor across Liberty
Global's cable subsidiaries that serve 15 million customers in
18 countries around the world.

Nortel Government Solutions has teamed up with NextiraOne
Federal to work together to propose joint solutions for the U.S.
Army Infrastructure Modernization program or IMOD.  NextiraOne
Federal, an authorized Nortel reseller, was awarded one of 10
Indefinite Delivery/Indefinite Quantity contracts to provide
converged voice and data solutions for bases worldwide under the
U.S. Army IMOD program.  In addition, Fortress Technologies and
Nortel Government Solutions have formed a strategic relationship
to provide government agencies worldwide with a joint solution
for secure wireless voice, video and data networking.

                       Revenue Momentum

Nortel's enterprise customer momentum has resulted in new
customers such as:

   -- Hong Kong Exchanges and Clearing Ltd., one of Asia's
      largest international stock exchanges,

   -- China's University of Petroleum to improve communications
      and ensure easy online access to advanced learning
      resources for 40,000 students,

   -- Israel's Migdal Insurance and Financial Holdings Ltd.,

   -- Macquarie University in Australia for a network security
      solution from Nortel, and

   -- Langham Hotel Hong Kong for IP phone systems.

The Bahamas Telecommunications company Ltd., the primary telecom
operator in the Bahamas will deploy network enhancements to
extend the availability of next-generation, voice, data and
multimedia services with Nortel GSM/GPRS wireless technology.  
The GSM/GPRS solution from Nortel will enable BTC to achieve
operational efficiencies through reduced network complexity and
operating expenses as well as the availability to introduce new
services quickly.

Nortel's Global Services will provide full lifecycle services
for the Rolls-Royce telephone network under a seven-year
management services agreement.  Rolls-Royce will transform its
entire telephone network into a single, advance network
providing VoIP services based on Nortel solutions including the
Nortel Communication Server 1000 and Nortel CallPilot for
unified voice, fax and e-mail accessible from any location, and
Nortel mobility services.  Nortel Global Services will also
provide network design, integration, management and maintenance
services to Suddenlink Communications, one of the 10 largest
cable operators in the United States.  Suddenlink will provide
VoIP-based telephony services based on Nortel PacketCable-
qualified Communications Server 2000-Compact as the exclusive
softswitch on their Suddenlink backbone.

Recent momentum in Nortel's Government Solutions business  
includes selection by the U.S. Department of Homeland Security
for program management, acquisition and administrative services
to the U.S. Citizenship and immigration Service, and a contract
for systems engineering and software development for ground
systems with the U.S. National Oceanic and Atmospheric
Administration.

Russia's alternative telecommunications service provider Pride
has launched 'triple play' voice, video and multimedia services
with a newly deployed Metro Ethernet network from Nortel.  The
solution is based on Nortel's Metro Ethernet portfolio
andenables Pride to make available services such as IPTV with
video on demand; VoIP; and high-speed Internet access.

                Leading Next-Generation Solutions

Nortel has been selected to supply Verizon Wireless with one of
the industry's most advanced CDMA 1xEV-DO Revision A technology
beginning in the third quarter of 2006.  This upgrade will
provide data speeds significantly faster than current
capabilities and meet customer demand for more high-bandwidth,
real-time wireless services such as VoIP, video telephony and
advanced multimedia applications.

KTF, one of South Korea's leading cellular providers, has
launched a next-generation ultra high speed 3.5G wireless
network in Seoul and cities across South Korea using wireless
broadband technology from LG-Nortel.  The network supports
advanced handset capabilities including high-definition video,
video chatting, messaging and remote monitoring.

                     About Nortel Networks

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized  
leader in delivering communications capabilities that enhance
the human experience, ignite and power global commerce, and
secure and protect the world's most critical information.  
Serving both service provider and enterprise customers, Nortel
delivers innovative technology solutions encompassing end-to-end
broadband, Voice over IP, multimedia services and applications,
and wireless broadband designed to help people solve the world's
greatest challenges.  Nortel does business in more than 150
countries including Indonesia, Australia, China, Hong Kong,
India, Philippines, Singapore, Taiwan and Thailand.

                          *     *     *

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  All trends are Stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.

Additionally, Moody's Investors Service affirmed the B3
corporate family rating of Nortel; assigned a B3 rating to the
proposed USUS$2billion senior note issue; downgraded the
USUS$200 million 6.875% Senior Notes due 2023 and revised the
outlook to stable from negative.

Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on the company, and assigned
its 'B-' senior unsecured debt rating to the company's proposed
USUS$2 billion notes.  The outlook is stable.


NORTEL NETWORKS: Reaches US$438M Settlement in US, Canada Suits
---------------------------------------------------------------
A proposed settlement has been reached in these class actions
filed in the United States and Canada:  

     -- In Re Nortel Networks Corp. Securities Litigation,  
        Consolidated Civil Action No.: 2001-CV-1855 (RMB) in the  
        U.S. District Court for the Southern District of New
        York (U.S. Action);

     -- Frohlinger v. Nortel Networks Corporation et al., Court  
        File No.: 02-CL-4605 in the Ontario Superior Court of  
        Justice (Ontario National Action);

     -- Association de Protection des Epargnants et  
        Investisseurs du Quebec v. Corp. Nortel Networks, No.:  
        500-06-000126-017 in the Superior Court of Quebec  
        (Quebec Action); and

     -- Jeffery et al. v. Nortel Networks Corp. et al., Court  
        File No.: S015159 in the Supreme Court of British  
        Columbia (B.C. Action).

The Ontario National Action, the Quebec Action and the B.C.
Action are collectively referred to as the "Canadian Nortel I  
Actions."  The U.S. Action and the Canadian Nortel I Actions are
collectively referred to as the "Nortel I Actions."  

                  Terms of Proposed Settlement  

The settlement will provide total proceeds consisting of
approximately US$438,667,428 in cash, plus 314,333,875 shares of
Nortel common stock for the benefit of members of the classes.  
In addition, Nortel will adopt certain corporate governance
enhancements.  The settlement resolves lawsuits over whether
Nortel misled investors about its historic and future earnings
during the class period.  The settlement is contingent on
approval by the courts in the Nortel I Actions and in certain
related actions against Nortel in the U.S. and Canada (the
Nortel II Actions) for which there is a separate notice.  The
settlement is further subject to certain regulatory approvals.  

The settlement constitutes a full and final resolution of claims
and causes of action raised by members of the classes in the
Nortel I Actions and encompassed in the settlement.  

               Notice of Certification of Classes  

The U.S. Action was certified in 2004 to proceed as a class
action on behalf of persons and entities, wherever located, who
bought Nortel common stock or call options on Nortel common
stock or who wrote (sold) put options on Nortel common stock
during the period Oct. 24, 2000, through Feb. 15, 2001,
inclusive, and suffered damages thereby, including, but not
limited to, those persons or entities who traded in Nortel
Securities on the New York Stock Exchange and/or the Toronto
Stock Exchange (U.S. Global Class).  

The Canadian Nortel I Actions have now been certified for
settlement purposes on behalf of Canadian class members.  The
Ontario Court, the Quebec Court and the B.C. Court have
certified these classes for settlement purposes:  

     -- Ontario National Class: All persons or entities, except
        members of the Quebec Class or British Columbia Class,
        who, while residing in Canada at the time, purchased
        Nortel common stock or call options on Nortel common
        stock, or wrote (sold) put options on Nortel common
        stock, during the period between Oct. 24, 2000,
        through Feb. 15, 2001, inclusive;

     -- Quebec Class: All "natural" persons, who, while residing
        in Quebec at the time, purchased Nortel common stock or
        call options on Nortel common stock, or wrote (sold) put
        options on Nortel common stock, during the period
        between Oct. 24, 2000, through Feb. 15, 2001, inclusive;
        and

     -- British Columbia Class: All persons or entities, who,
        while residing in British Columbia at the time,
        purchased Nortel common stock or call options on Nortel
        common stock, or wrote (sold) put options on Nortel
        common stock, during the period between Oct. 24, 2000,
        through Feb. 15, 2001, inclusive.

As described in detail in the Long-Form Notice, certain persons
and entities are excluded from the above classes.  

Deadline for filing proof of claim is Nov. 20, 2006.  Requests
for exclusion and objections are due Sept. 19, 2006.  Requests
for exclusion and objections must be mailed to:

   Nortel I Securities Litigation Exclusions
   c/o The Garden City Group, Inc.
   Claims Administrator
   P.O. Box 9000 #6445, Merrick,
   NY 11566-9000

On the Net: http://www.nortelsecuritieslitigation.com/

         Notice of Settlement Fairness/Approval Hearings  

Dates for the Settlement Fairness/Approval Hearings have been
scheduled with the respective courts as:  

     -- in the U.S. Action: at 1:00 p.m. on Oct. 26, 2006, at
        the U.S. District Court for the Southern District of New
        York, Daniel Patrick Moynihan U.S. Courthouse, Courtroom
        12A, 500 Pearl Street, New York, N.Y.;

     -- in the Ontario National Action: at 10:00 a.m. on Nov. 6,
        2006, at the Ontario Superior Court of Justice, 361
        University Avenue, Toronto, Ontario;

     -- in the Quebec Action: at 9:30 a.m. on Nov. 16, 2006,
        at the Superior Court of Quebec, District of Montreal, 1
        Notre-Dame East, Montreal, Quebec; and

     -- in the British Columbia Action: at 10:00 a.m. on
        November 27, 2006, at the Supreme Court of British
        Columbia, 800 Smithe Street, Vancouver, British
        Columbia.

U.S. Action:             Lead Plaintiff's Counsel
                         ------------------------
                         George A. Bauer III
                         Milberg Weiss Bershad & Schulman LLP  
                         One Pennsylvania Plaza, New York, New  
                         York 10119-0165
                         Murray Gold
                         Koskie Minsky LLP
                         20 Queen Street West
                         Suite 900, Toronto
                         Ontario M5H 3R3

Ontario National Action  Ontario National Class Counsel
                         ------------------------------
                         Joel P. Rochon, Rochon Genova LLP
                         121 Richmond Street West, Suite 900,  
                         Toronto, Ontario M5H 2K1

Quebec Action            Quebec Class Counsel
                         --------------------
                         Daniel Belleau, Belleau Lapointe, S.A.,
                         306 Place D'Youville, B-10, Montreal,  
                         Quebec H2Y 2B6  

British Columbia Action  British Columbia Class Counsel
                         ------------------------------
                         David Klein, Klein Lyons, 1100-1333  
                         West Broadway, Vancouver, British  
                         Columbia V6H 4C1

                     About Nortel Networks

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized  
leader in delivering communications capabilities that enhance
the human experience, ignite and power global commerce, and
secure and protect the world's most critical information.  
Serving both service provider and enterprise customers, Nortel
delivers innovative technology solutions encompassing end-to-end
broadband, Voice over IP, multimedia services and applications,
and wireless broadband designed to help people solve the world's
greatest challenges.  Nortel does business in more than 150
countries including Indonesia, Australia, China, Hong Kong,
India, Philippines, Singapore, Taiwan and Thailand.

                          *     *     *

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  All trends are Stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.

Additionally, Moody's Investors Service affirmed the B3
corporate family rating of Nortel; assigned a B3 rating to the
proposed USUS$2billion senior note issue; downgraded the
USUS$200 million 6.875% Senior Notes due 2023 and revised the
outlook to stable from negative.

Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on the company, and assigned
its 'B-' senior unsecured debt rating to the company's proposed
USUS$2 billion notes.  The outlook is stable.


NORTEL NETWORKS: Unit Inks New US$1.6M Court Records System Pact
----------------------------------------------------------------
Nortel Government Solutions will continue development and
operational support of a sophisticated records system for the
Fairfax County, Virginia Circuit Court under a five-year
agreement valued at US$1.6 million.

First implemented in 1996, the Fairfax County Courts Automated
Recording System provides more than 1,400 users each day with
automated access to more than 31 million recorded images and
corresponding indexes dating back to 1742.

CARS was initially designed for the Land Records department, but
later enhanced with the help of Nortel Government Solutions to
include the Judgments, Public Services and Probate Departments.  
The system is now used by banks, title examiners, law offices,
mortgage companies and county agencies.

Nortel Government Solutions developed and implemented the
integrated scanning, point-of-sale, verification, storage and
retrieval capabilities that enable CARS to capture images and
index data.  The system has been maintained and enhanced by
Nortel Government Solutions for the past 10 years.

"CARS has been a big success for Fairfax County," Chuck Saffell,
chief executive officer, Nortel Government Solutions, said.  
"This new agreement is a testament to our performance in
maintaining and enhancing the system for the past 10 years, and
a vote of confidence in our ability to evolve and improve it
with new technology over the next five years."

               About Nortel Government Solutions

Headquartered in Fairfax, Virginia, Nortel Government Solutions
-- http://www.nortelgov.com-- is a U.S. company wholly-owned by  
Nortel(x).  It offers a one-stop shop for solutions designed to
improve workforce productivity, reduce operating costs, and
streamline inter-agency communications.  Nortel Government
Solutions is a network-centric integrator.

                     About Nortel Networks

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized  
leader in delivering communications capabilities that enhance
the human experience, ignite and power global commerce, and
secure and protect the world's most critical information.  
Serving both service provider and enterprise customers, Nortel
delivers innovative technology solutions encompassing end-to-end
broadband, Voice over IP, multimedia services and applications,
and wireless broadband designed to help people solve the world's
greatest challenges.  Nortel does business in more than 150
countries including Indonesia, Australia, China, Hong Kong,
India, Philippines, Singapore, Taiwan and Thailand.

                          *     *     *

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  All trends are Stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.

Additionally, Moody's Investors Service affirmed the B3
corporate family rating of Nortel; assigned a B3 rating to the
proposed USUS$2billion senior note issue; downgraded the
USUS$200 million 6.875% Senior Notes due 2023 and revised the
outlook to stable from negative.

Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on the company, and assigned
its 'B-' senior unsecured debt rating to the company's proposed
USUS$2 billion notes.  The outlook is stable.


NORTEL NETWORKS: Deploys New IP Telephony Network for DEDIC
-----------------------------------------------------------
Nortel Networks Corporation deployed its new IP telephony
network to create a state of the art contact center to support
business expansion of DEDIC.

The new network, being deployed by the company's channel partner
Wittel, makes it possible for DEDIC to cost-effectively expand
its contact center outsourcing services to customers through the
addition of 1,000 new agent positions.  DEDIC is investing
US$2 million on the first project phase.

The company's IP technology makes it possible for DEDIC to
respond quickly to customer service requests through a range of
multimedia services beyond telephony such as e-mail and web-
based chat.  Incoming calls to the center are also immediately
routed to the most appropriate agent.  The new IP telephony
network includes anywhere, anytime mobility for agents and gives
DEDIC the flexibility to expand quickly to meet increasing
demand without major costs for additional network upgrades.

"Nortel's contact center solutions provides DEDIC with one of
the most innovative and competitive cost-effective product on
the market.  These technologies are essential to ensuring DEDIC
maintains its competitive edge as one of the largest calls
centers in Brazil," noted Juan Chico, president, Nortel Brazil.

"Instead of deploying several contact centers we decided to
create a central site with intelligent routing to reduce
operational costs" Miguel Cui, president of DEDIC, said.  "Among
all suppliers we contacted, Nortel was the one that best
understood our needs both in terms of proposed solution and our
cost limitations.  Nortel and its partner Wittel also ensured
the network will be deployed quickly without interrupting daily
business activities."

Carlos Louro, president of Wittel, said, "For a contact center
to maintain competitive advantage today, it's essential that
access to information happens in real time.  The Nortel solution
we are deploying allows DEDIC to maintain the advantage of
services being centralized through one management center,"

DEDIC's new network includes the company's Communication Server
1000 and its Contact Center 6.0 for skill-based routing.  The
deployment also includes the company's ERS 470 to ensure network
capacity easily meets increased demand.

                          About DEDIC

DEDIC is one of the largest Brazilian contact center companies,
and ranks among the top five in the segment.  It is owned by
Portugal Telecom Group and was created in 2002 to strengthen the
Group's contact center business.

                          About Wittel

Wittel is a company that provides corporate communications and
technology solutions, and is specialized in the Contact Center
and Trading Floors fields with a strong presence in the
financial, wireline and wireless telecommunications, and third-
party contact center service provider segments.  Wittel provides
services ranging from design, deployment and maintenance for the
solutions it offers.

               About Nortel Networks Corporation

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized  
leader in delivering communications capabilities that enhance
the human experience, ignite and power global commerce, and
secure and protect the world's most critical information.  
Serving both service provider and enterprise customers, Nortel
delivers innovative technology solutions encompassing end-to-end
broadband, Voice over IP, multimedia services and applications,
and wireless broadband designed to help people solve the world's
greatest challenges.  Nortel does business in more than 150
countries including Indonesia, Australia, China, Hong Kong,
India, Philippines, Singapore, Taiwan and Thailand.

                          *     *     *

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  All trends are Stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.

Additionally, Moody's Investors Service affirmed the B3
corporate family rating of Nortel; assigned a B3 rating to the
proposed USUS$2billion senior note issue; downgraded the
USUS$200 million 6.875% Senior Notes due 2023 and revised the
outlook to stable from negative.

Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on the company, and assigned
its 'B-' senior unsecured debt rating to the company's proposed
USUS$2 billion notes.  The outlook is stable.


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

AMERICAN AXLE: Earns US$20.4 Million in 2006 Second Quarter
-----------------------------------------------------------
American Axle & Manufacturing Holdings Inc. reported
US$20.4 million of earnings for the second quarter of 2006.  
This compares to earnings of US$18.9 million in the second
quarter of 2005.

AAM's second quarter earnings in 2006 reflect the impact of a
one-time non-cash charge of US$2.4 million to write off
unamortized debt issuance costs related to the cash conversion
of approximately US$128.4 million of AAM's Senior Convertible
Notes due 2024.  An additional US$21.6 million of these Notes
remain outstanding as of June 30, 2006.  AAM's second quarter
earnings in 2006 also reflect the impact of an unfavorable tax
adjustment of US$2.6 million related to the settlement of prior
year foreign jurisdiction tax liabilities.  AAM's earnings in
the second quarter of 2005 included a charge of US$8.9 million
related to voluntary lump-sum separation payments accepted by
162 hourly associates.

Net sales in the second quarter of 2006 were US$874.6 million as
compared to US$867.7 million in the second quarter of 2005. Non-
GM sales in the quarter were US$204.5 million and now represent
23% of AAM's total sales.  On a year-to- date basis through the
second quarter of 2006, AAM's non-GM sales have increased
US$53.9 million or 15% over the prior year.

"In the second quarter of 2006, AAM benefited from strong demand
for GM's full-size utility vehicles and the increase in our
content appearing on these outstanding new vehicles.  We look
forward to supporting the launch of GM's new full-size pick-ups
later this year," said American Axle & Manufacturing Co-Founder,
Chairman of the Board & CEO, Richard E. Dauch.

"AAM is also looking forward to the launch of production at our
new regional manufacturing facilities in Changshu, China and
Olawa, Poland.  With the addition of these new low-cost
manufacturing facilities, as well as the continuing development
of our products supporting passenger car and crossover vehicle
applications, AAM is well positioned for profitable growth and
diversification in 2007 and beyond."

AAM sales in the quarter reflect an estimated 5% increase in
customer production volumes for the major full-size truck and
SUV programs it currently supports for GM and The Chrysler Group
as compared to the second quarter of 2005.  AAM estimates that
customer production volumes for its mid-sized pick- up truck and
SUV programs were down approximately 23% in the quarter on a
year-over-year basis.

AAM's content per vehicle increased by approximately 3% to
US$1,216 in the second quarter of 2006 as compared to US$1,185
in the second quarter of 2005.  This increase is due primarily
to the impact of new AAM content appearing on GM's full-size
utility vehicles, as well as production mix shifts favoring
AAM's axles and driveline systems for the Dodge Ram heavy-duty
series pick-ups and the four-wheel-drive HUMMER H3 in the mid-
size SUV segment.

Gross margin in the second quarter of 2006 was 10.3% as compared
to 9.8% in the second quarter of 2005.  Operating income was
US$40.5 million or 4.6% of sales in the quarter as compared to
US$36.4 million or 4.2% of sales in the second quarter of 2005.

Net sales in the first half of 2006 were US$1.7 billion,
approximately the same as the first half of 2005.  Gross margin
was 9.0% in the first half of 2006 as compared to 9.4% for the
first half of 2005.  Operating income for the first half of 2006
was US$55.5 million or 3.2% of sales as compared to US$62.1
million or 3.7% of sales for the first half of 2005.

AAM's gross margin and operating margin performance in the first
half of 2006 reflects the impact of higher non-cash expenses
related to depreciation, amortization, pension and
postretirement benefits and stock-based compensation.  Higher
fringe benefit costs, including supplemental unemployment
benefits paid to certain of AAM's hourly associates, also
pressured margins in the first half of 2006.

                     Recent Developments

On June 8, 2006, AAM received financing commitments for a
US$200 million senior unsecured term loan.  Proceeds from this
financing, which closed on June 28, 2006, will be used for
general corporate purposes and to finance payments made upon the
cash conversion of American Axle & Manufacturing Holdings, Inc.
Senior Convertible Notes due 2024.

AAM also disclosed on June 8, 2006 that it expects its full year
2006 earnings to be in the range of US$1.00 - US$1.10 per share
to reflect the anticipated impact of the term loan financing.

On May 31, 2006, AAM reported that it had purchased a
manufacturing building in Olawa, Poland.  In addition, AAM
purchased approximately 75 acres of land in an industrial park
adjacent to the building for future development.  AAM has
designed a new 170,000 square-foot, state-of-the-art
manufacturing plant for that site, to accommodate future
manufacturing requirements.  Operations will begin in late 2006.

                      About American Axle

American Axle & Manufacturing -- http://www.aam.com/--  
manufactures, engineers, designs and validates driveline and
drivetrain systems and related components and modules, chassis
systems and metal-formed products for light trucks, sport
utility vehicles and passenger cars.  In addition to locations
in the United States, AAM also has offices or facilities in
Brazil, China, United Kingdom, Germany, India, Mexico, Poland,
Scotland, South Korea and Japan.

                          *     *     *

As reported in the Troubled Company Reporter on Aug. 17, 2006,
Standard & Poor's Ratings Services assigned its 'BB' rating to
the new US$50 million senior unsecured term loan of American
Axle & Manufacturing Inc. (BB/Negative/--).

The corporate credit ratings on American Axle and parent
company, American Axle & Manufacturing Holdings Inc., are 'BB'.
The rating outlook is negative.  The company has about US$717
million of lease-adjusted debt and US$425 million of underfunded
employee benefit liabilities.


COREL CORP: Buying InterVideo Inc. for US$196 Million in Cash
-------------------------------------------------------------
Corel Corp. and InterVideo, Inc., entered into a definitive
agreement for Corel to acquire InterVideo in an all-cash
transaction at a price of US$13 per share or US$196 million.

In 2005, InterVideo acquired a majority interest in Ulead, a
developer of video imaging and DVD authoring software for
desktop, server, mobile and Internet platforms.

By acquiring InterVideo, Corel is delivering on its strategy to
accelerate revenue and earnings growth by acquiring
complementary companies and technologies that will benefit from
Corel's global sales, marketing, and distribution capabilities.  
With a robust product line, strategic partnerships with leading
OEM manufacturers, and an established presence in Asia Pacific
and Europe, InterVideo will provide Corel with added critical
mass to efficiently serve the growing consumer demand for
digital media software.  This acquisition is especially
strategic for Corel given InterVideo's strength in Asian
markets, including China, Taiwan and Japan regions that Corel
has targeted for expansion.  InterVideo's development centers
across China and Taiwan provide Corel with a solid base from
which to broaden its footprint in these key regions.

The companies share a common vision around delivering high
quality, full-featured software to consumers through leading
OEMs and Internet distribution channels.  The companies also
believe they will be able to realize meaningful efficiencies by
eliminating redundant operational expenses and public company
costs.

"We are pleased to announce Corel's latest acquisition as a
public company as we continue to execute our strategy to grow
both organically and through the acquisition of complementary
businesses that leverage our capabilities and scale in the
packaged software market," said David Dobson, CEO of Corel.  

"With outstanding products, talented employees and deep
relationships with eight of the world's top ten PC
manufacturers, InterVideo represents a significant opportunity
for Corel to deliver enhanced value to our shareholders.  This
acquisition will also benefit customers and partners as we
expand our ability to provide flexible, bundled solutions that
meet the needs of today's digital media consumers."

The acquisition will be financed through a combination of
Corel's cash reserves, debt financing, and InterVideo's cash and
cash equivalents, which stood at approximately US$105 million as
of June 30, 2006.  The acquisition is subject to InterVideo
shareholder approval, regulatory approvals, and other customary
closing conditions. The transaction is expected to close in the
fourth quarter of 2006 and to be accretive in the second quarter
after closing.

Directors and executive officers of InterVideo, including Steve
Ro, Chinn Chin and Honda Shing, have entered into voting
agreements pursuant to which they have agreed to vote their
shares of InterVideo in favor of the merger.

                   About InterVideo, Inc.

Based in Fremont, California, InterVideo, Inc. (NASDAQ:IVII)
-- http://www.intervideo.com/-- provides integrated digital and  
high-definition multimedia and audio/video content solutions in
the PC, CE and wireless industries.  The company's broad suite
of integrated multimedia software products are designed to
enhance the consumer's entertainment experience, whether the
content is delivered to a home system, HDTV set, wireless
system, mobile or personal multimedia device.  InterVideo also
has major offices in Taiwan, Japan, Mainland China and around
the globe.
  
                     About Corel Corp

Headquartered in Ottawa, Ontario, Corel Corp. (NASDAQ:CREL)
(TSX:CRE) -- http://www.corel.com/-- is a packaged software    
company with an estimated installed base of over 40 million
users.  The Company provides productivity, graphics and digital
imaging software.  Its products are sold in over 75 countries,
including Japan, Australia, Hong Kong, Korea, Mainland China and
Taiwan, through a scalable distribution platform comprised of
original equipment manufacturers, Corel's international
websites, and a global network of resellers and retailers.  The
Company's product portfolio features CorelDRAW(R) Graphics
Suite, Corel(R) WordPerfect(R) Office, WinZip(R), Corel(R) Paint
Shop(R) Pro, and Corel Painter(TM).

Corel Corp. opened an office in Tokyo, Japan in May 2002.
Corel's Japan office was established following the company's
2001 acquisition of Micrografx.  The office is designed to
further strengthen relationships with customers and partners in
the Asia-Pacific market.

                          *     *     *

As reported in the Troubled Company Reporter on April 7, 2006,
Standard & Poor's Ratings Services assigned its 'B' long-term
corporate credit and senior secured debt ratings to Corel Corp.

At the same time, Standard & Poor's assigned its 'B' bank loan
rating, with a recovery rating of '3', to the company's
US$165 million first-lien senior secured bank facility.  The
outlook is positive.

As reported in the Troubled Company Reporter on April 11, 2006,
Moody's Investors Service assigned first time corporate family
rating of B3 to Corel Corp. and B3 ratings to Corel's proposed
senior secured term loan facility and senior secured revolving
credit facility.  Moody's also assigned a SGL-2 liquidity
rating, reflecting good liquidity.  Combined proceeds of US$90
million from the term loan and those of Corel's IPO will be used
to repay Corel's existing debt.  The rating outlook is stable.


HITACHI ZOSEN: R&I Affirms BB- Rating with Negative Outlook
-----------------------------------------------------------
Rating and Investment Inc. has affirmed the BB- issuer rating of
Hitachi Zosen Corporation with a negative outlook.

Hitachi Zosen is a major heavy machinery manufacturer.  A large
amount of extraordinary loss led to bottom line profits for the
March 2006 term going into the red, and the ordinary profits for
the year ending March 2008 -- projected in the midterm
management plan -- have been revised downwards because the
environment surrounding the company's core businesses of
environmental systems and steel structures has considerably
worsened on the back of shrinking public sector demand and other
factors.

At the beginning of March R&I therefore downgraded the Issuer
Rating from BB to BB-, and placed the company for the Rating
Monitor with a view towards downgrading.

The results for the first quarter of fiscal 2007, announced on
August 8, 2006, showed that sales losses were greatly improved,
falling to JPY600 million loss compared to the JPY3.8 billion
loss recorded in the same period of the previous fiscal year.
The main reason for this was the major gains made by machinery
and process machinery products such as auto factory presses,
gas-to-liquid machinery, and marine engines.  Moreover, the
consolidated equity capital, which had sunk to JPY24.1 billion
by the end of March 2006, had recovered to a level of
JPY40 billion at the end of June 2006 due to the partial
progress of converting share warrants (convertible bonds) to
stock.  Since this has helped to stall any further deterioration
in Hitachi Zosen's financial base, R&I has removed it from
Rating Monitor status and held the Issuer Rating at BB-.

However, the company's future prospects hold little room for
optimism.  As public sector demand continues to shrink, and
since the company will be prohibited from receiving tenders as
punishment for its role in a scandal involving the orchestrated
bidding for a human waste treatment facility construction
project, the business environment surrounding its flagship
environmental systems becomes even more severe.  Though debts
have decreased, the weakening of the company's ability to create
cash flow will become an increasing burden.  Attention must be
given to the fact that non-operating income is worsening due to
falling dividend income.  Improving the interest coverage ratio,
which dipped below one in March 2006, is also an urgent matter.

Hitachi Zosen's financial durability against the latent risks
carried by its engineering business is still weak.  The Rating
Outlook is negative because it is difficult to assess whether or
not profitability will fully recover, and because the progress
of financial restructuring efforts such as convertible bond
switches and the disposal of non-core assets are susceptible to
the impact of market factors.

Headquartered in Osaka, Japan, Hitachi Zosen Corporation
-- http://www.hitachizosen.co.jp/-- is principally involved in  
the manufacture of heavy machinery and engineering. Its other
businesses include electronics, information systems and
technology development.


LEAR CORP: Incurs US$6.4 Million Net Loss in Second Quarter 2006
----------------------------------------------------------------
Lear Corporation posted record net sales of US$4.8 billion and
pretax income of US$31.5 million, which included costs related
to restructuring actions, impairments, and other special items
of US$24 million, for the second quarter of 2006.  The results
for the second quarter of 2006 compare to year-earlier net sales
of US$4.4 billion and a pretax loss of US$50.4 million,
including costs related to restructuring actions and other
special items of US$79.5 million.

Net loss for the second quarter of 2006 was US$6.4 million.  
This compares with a net loss of US$44.4 million, for the second
quarter of 2005.

Net sales were up from the prior year, primarily reflecting the
addition of new business globally, offset in part by lower
production on several Lear platforms in North America and
Europe.  Operating performance improved from the year earlier
results primarily due to the increase in net sales as well as
benefits from cost and operating efficiencies in the Company's
core businesses.  These improvements were offset in part by
higher raw material costs.

"The Lear team remains focused on improving quality and ensuring
flawless launch execution while we aggressively implement cost
improvement and operating efficiency initiatives," said Bob
Rossiter, Lear Chairman and Chief Executive Officer.  

"Although there are many challenges facing our industry, we are
taking aggressive actions to address these issues and further
improve our operating results.  We will continue to be product-
line focused; competitive on a global basis; and dedicated to
working collaboratively with our customers."

Free cash flow was positive US$800,000 for the second quarter of
2006. Net cash provided by operating activities was US$74.8
million.

Quality and customer satisfaction measures remain at high
levels, and the Company continued to win recognition from
customers around the world.  Second quarter awards include
"Supplier of the Year" from General Motors and Special
Recognition for Customer Service from Ford Motor Company.  
Recognition was also received from Toyota, Mazda and Volkswagen
for excellence in quality and customer service.  Lear continues
to be ranked as the highest quality major seat supplier in the
2006 J. D. Power Seat Quality Report.

Lear also made progress on important strategic initiatives,
including the signing of a definitive agreement to contribute
substantially all of its European Interiors business to
International Automotive Components Group, LLC in return for a
34% equity interest, subject to adjustment, and the Company
continued to aggressively expand its business in Asia and with
Asian automakers globally.

During the quarter, Lear was awarded several new programs in
China, and in India, Lear won its first business with Tata
Motors.  In addition, Lear opened a new TACLE joint venture
facility in Sunderland, United Kingdom with its Japanese partner
Tachi-S, to support future vehicle programs with Nissan in
Europe.  This is Lear's third TACLE joint venture facility,
including a plant under construction in Mt. Juliet, Tennessee to
serve Nissan in North America and a facility in China to serve
Asia.  Lear's plant in Montgomery, Alabama is ramping up to full
production to supply seats for the all-new Hyundai Santa Fe
sport utility vehicle and another new location in San Antonio,
Texas will be supplying interior trim for the 2007 Toyota
Tundra.

                    Full-Year 2006 Outlook

For the full year of 2006, Lear expects record worldwide net
sales of approximately US$18 billion, reflecting primarily the
addition of new business globally, partially offset by
unfavorable platform mix.  Net sales guidance is up about US$300
million from the prior guidance reflecting primarily the
forecast for a stronger Euro.

Lear anticipates 2006 income before interest, other expense,
income taxes, impairments, restructuring costs and other special
items (core operating earnings) to be in the range of US$400 to
US$440 million, unchanged from the prior guidance.  This
compares with US$325 million a year ago.

Restructuring costs for 2006 are estimated to be in the range of
US$120 to US$150 million.  Interest expense is estimated to be
in the range of US$220 to US$230 million in 2006, compared with
US$183 million last year.

Pretax income before impairments, restructuring costs and other
special items is estimated to be in the range of US$120 to
US$160 million.  This compares with US$97 million last year.
Cash taxes are estimated to be within a range of US$80 to US$100
million, compared with US$113 million last year.

Free cash flow is expected to be in the range of positive US$50
to US$100 million, compared with negative US$419 million a year
ago.  This reflects improved earnings, lower capital spending,
reduced tooling and engineering costs and improved net working
capital, offset in part by higher cash costs for restructuring.
Net cash provided by operating activities for 2005 was US$561
million.

Capital spending in 2006 is estimated at approximately US$400
million, down from last year's peak level due primarily to lower
launch activity.  Depreciation and amortization are expected to
be in the range of US$410 to US$420 million, compared with
US$393 million last year.

Industry production assumptions underlying Lear's financial
outlook include 15.7 million units in North America, which is
down slightly from a year ago, and 19 million units in Europe,
roughly flat with a year ago.

                           About Lear Corp

Headquartered in Southfield, Michigan, Lear Corporation (NYSE:
LEA) -- http://www.lear.com/-- supplies automotive interior  
systems and components.  Lear provides complete seat systems,
electronic products and electrical distribution systems and
other interior products.  Lear has operating facilities in Latin
America, Europe and Asia Pacific.  In the Asia Pacific, Lears
operates in China, India, Philippines, Singapore, Thailand and
Japan.

                          *     *     *

As reported in the Troubled Company Reporter on April 21, 2006,
Standard & Poor's affirmed the 'B+' rating on the US$1 billion
first-lien term loan.  Standard & Poor's corporate credit rating
on Lear Corp. is B+/Negative/B-2.  The speculative-grade rating
reflects the company's depressed operating performance caused by
severe industry pressures.


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

ARAMARK SERVICES: Moody's Reviews Ratings for Possible Downgrade
----------------------------------------------------------------
Moody's Investors Service confirmed the Baa3 rating on the 7.1%
senior notes due 2006 of Aramark Services, Inc., a wholly owned
subsidiary of Aramark Corp.  All other senior note issues of
Aramark Services remain on review for possible downgrade.

The rating action follows Aramark's announcement that it has
signed a definitive merger agreement under which the company's
Chairman and Chief Executive Officer and a group of investment
funds will acquire the company in a transaction valued at
approximately US$8.3 billion, including the assumption or
repayment of approximately US$2 billion of debt.  The merger
agreement was approved by the board of directors based on the
unanimous recommendation of a special committee consisting of
independent directors.  Moody's placed all the credit ratings of
Aramark on review for possible downgrade on May 1, 2006,
following the announcement that it received a proposal from the
company's CEO and a group of investors to acquire all of the
outstanding shares of common stock.

The transaction is expected to be completed by late 2006 or
early 2007, subject to receipt of stockholder and regulatory
approvals.  The investor group has obtained equity and debt
financing commitments for the transactions contemplated by the
merger agreement.  There is no financing condition to the
proposed transaction.

Based upon the expected terms of the proposed transaction,
Moody's expects a substantial increase in debt levels and
weakening of credit metrics.  Moody's believes that a corporate
family rating in the single B rating category is possible upon
conclusion of the review.  The rating review will focus on
Aramark's post-acquisition capital structure including the
company's plans regarding the treatment of the existing senior
unsecured notes, liquidity position and operating strategy.

Aramark has not announced the components of its post-acquisition
capital structure.  The confirmation of the Baa3 rating on the
senior notes due 2006 reflects Moody's expectation that such
notes will either mature before the transaction closes or will
be repaid as a condition to any new financing.  Aramark's other
issues of senior notes (maturing in 2007-2012) remain on review
for possible downgrade because of uncertainty as to whether such
notes will be refinanced in connection with the acquisition or
will remain in the post-acquisition capital structure.  Moody's
expects to confirm the ratings of any senior notes that will be
refinanced in connection with the acquisition and to downgrade
by multiple notches any senior notes that remain in the post-
acquisition capital structure.

Moody's confirmed this rating:

   -- US$125 million senior unsecured notes due 2006: Baa3;

These ratings remain on review for possible downgrade:

   -- US$300 million senior unsecured notes due 2007: Baa3;
   -- US$31 million senior unsecured notes due 2007: Baa3;
   -- US$300 million senior unsecured notes due 2008: Baa3;
   -- US$250 million senior unsecured notes due 2012: Baa3;
   -- Senior unsecured shelf registration: (P) Baa3; and
   -- Senior subordinated shelf registration: (P) Ba1.

Aramark Corp., a managed services company headquartered in
Philadelphia, Pennsylvania, provides or manages a variety of
services, including food and support services, and uniform
rental and sales.  The company's revenues were approximately
US$11.3 billion for the 12-month period ended March 31, 2006.
   

ARAMARK CORP: S&P Lowers Corp. Credit Rating to BB+ from BBB-
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on
Philadelphia-based ARAMARK Corp. and its subsidiary, ARAMARK
Services Inc., including its corporate credit rating to 'BB+'
from  'BBB-'.

All ratings remain on CreditWatch with negative implications
where they were placed on May 1, 2006, following an announcement
that ARAMARK's board of directors had received a proposal from a
group of investors led by its Chairman and CEO, Joseph Neubauer,
to acquire all of the outstanding shares of the company, for
US$32 per share in cash.  This proposal included commitments
from certain investment banking firms stating that they were
confident about raising the approximately US$6.25 billion of
debt financing necessary to complete the transaction.

The downgrade reflects our assessment that ARAMARK no longer
possesses an investment-grade financial policy following today's
announcement that it has signed a definitive merger agreement
under which a group of investors including Joseph Neubauer will
acquire ARAMARK for US$33.80 per share, plus the assumption or
repayment of approximately US$2.0 billion of debt in a
transaction valued at approximately US$8.3 billion.  The
CreditWatch listing reflects our expectation that leverage for
ARAMARK will increase substantially after effecting the
acquisition.  While financing details have yet to be disclosed,
a significant amount of the transaction is likely to be financed
with debt, and the corporate credit rating is likely to fall to
the 'B' rating category.  The transaction, which is expected to
be completed by late 2006 or early 2007, is subject to receipt
of stockholder and regulatory approvals, as well as satisfaction
of other customary closing conditions.

To resolve the CreditWatch listing, Standard & Poor's will:

   -- continue to monitor developments,

   -- meet with management to discuss financial policies and
      operating strategies, and

   -- evaluate the ultimate financing and terms of this  
      going-private transaction, including the implications
      to ARAMARK's existing senior unsecured debt rating.

                    About ARAMARK Corporation

Headquartered in Philadelphia, Pennsylvania, ARAMARK Corporation
(NYSE:RMK) -- http://www.aramark.com/-- is a leader in  
professional services, providing award-winning food services,
facilities management, and uniform and career apparel to health
care institutions, universities and school districts, stadiums
and arenas, and businesses around the world.  In FORTUNE
magazine's 2006 list of "America's Most Admired Companies,"
ARAMARK was ranked number one in its industry, consistently
ranking since 1998 as one of the top three most admired
companies in its industry as evaluated by peers and industry
analysts.  The company was also ranked first in its industry in
the 2006 FORTUNE 500 survey. ARAMARK has approximately 240,000
employees serving clients in 20 countries, including Japan and
Korea.


ARAMARK CORPORATION: Board Declares Quarterly Cash Dividend
-----------------------------------------------------------
The Board of Directors of ARAMARK Corporation declared a
quarterly cash dividend of US$0.07 per share on its Class A and
Class B common stock.  The dividend will be payable on Sept. 8,
2006, to ARAMARK shareholders of record at the close of business
on August 18, 2006.

                    About ARAMARK Corporation

Headquartered in Philadelphia, Pennsylvania, ARAMARK Corporation
(NYSE:RMK) -- http://www.aramark.com/-- is a leader in  
professional services, providing award-winning food services,
facilities management, and uniform and career apparel to health
care institutions, universities and school districts, stadiums
and arenas, and businesses around the world.  In FORTUNE
magazine's 2006 list of "America's Most Admired Companies,"
ARAMARK was ranked number one in its industry, consistently
ranking since 1998 as one of the top three most admired
companies in its industry as evaluated by peers and industry
analysts.  The company was also ranked first in its industry in
the 2006 FORTUNE 500 survey. ARAMARK has approximately 240,000
employees serving clients in 20 countries, including Japan and
Korea.

                          *     *     *

Standard & Poor's Ratings Services lowered on Aug. 8, 2006, its
ratings on Philadelphia-based ARAMARK Corp. and its subsidiary,
ARAMARK Services Inc., including its corporate credit rating to
'BB+' from 'BBB-'.

Fitch has downgraded on Aug. 8, 2006, the Issuer Default Rating
and senior unsecured debt ratings for both ARAMARK Corporation
and its wholly owned subsidiary, ARAMARK Services, Inc., to 'BB-
' from 'BBB'.  The ratings remain on Rating Watch Negative.


ARAMARK CORP: Inks $8.3-Bil. Merger Accord with Investment Group
----------------------------------------------------------------
ARAMARK Corporation has signed a definitive merger agreement
under which Joseph Neubauer and investment funds managed by GS
Capital Partners, CCMP Capital Advisors and J.P. Morgan
Partners, Thomas  H. Lee Partners and Warburg Pincus LLC will
acquire ARAMARK in a transaction valued at approximately
US$8.3 billion, including the assumption or repayment of
approximately US$2.0 billion of debt.

Under the terms of the agreement, ARAMARK stockholders will
receive US$33.80 in cash for each share of ARAMARK common stock
they hold.

The Board of Directors of ARAMARK, on the unanimous
recommendation of a special committee comprised entirely of
independent directors, has approved the agreement and will
recommend that ARAMARK's stockholders approve the merger.

The transaction is expected to be completed by late 2006 or
early 2007, subject to receipt of stockholder approval and
regulatory approvals, as well as satisfaction of other customary
closing conditions.  In addition to the vote required under
Delaware law, the transaction will be subject to an additional
affirmative approval of stockholders in which each share owned
by Joseph Neubauer will have only one vote, rather than the ten
votes to which they are entitled.  As a result, Mr. Neubauer's
voting power will be less than 5% of the total possible vote.

Joseph Neubauer, ARAMARK Chairman and Chief Executive Officer,
said, "We are proud to partner with this distinguished group of
private equity firms, all of which have outstanding reputations
and proven records of success.  They are committed to working
with us in building long-term solutions that deliver the most
value for our clients and customers.  They understand our
business, share our mindset, and will be strong partners moving
forward."

Commenting further on the transaction, Mr. Neubauer said, "Our
success is driven by the ongoing efforts of our 240,000
employees around the world.  I want to thank them for their
efforts and assure them we will remain focused on sustaining
profitable growth by delivering outstanding environments,
experiences and outcomes for our clients."

The transaction will be financed through a combination of equity
contributed by Joseph Neubauer and investment funds managed by
GS Capital Partners, CCMP Capital Advisors and J.P. Morgan
Partners, Thomas H. Lee Partners and Warburg Pincus LLC, and
debt financing provided by JP Morgan Chase Bank, N.A., J.P.
Morgan Securities, Inc., and Goldman Sachs Credit Partners L.P.  
There is no financing condition to the obligations of the group
of investors led by Joseph Neubauer to consummate the
transaction.

Credit Suisse Securities (USA) LLC is acting as financial
advisor to the special committee and Shearman & Sterling LLP is
acting as legal advisor to the special committee.  Credit Suisse
has delivered a fairness opinion to the special committee.

Goldman, Sachs & Co. and J.P. Morgan Securities Inc. are acting
as financial advisors to the private equity investors.  Simpson
Thacher & Bartlett LLP, Sullivan & Cromwell LLP and Wachtell,
Lipton, Rosen & Katz are acting as legal advisors to the private
equity investors and Joseph Neubauer.

                    About GS Capital Partners

Founded in 1869, Goldman Sachs is one of the oldest and largest
investment banking firms.  Goldman Sachs is also a global leader
in private corporate equity and mezzanine investing.  
Established in 1992, the GS Capital Partners Funds are part of
the firm's Principal Investment Area in the Merchant Banking
Division.  Goldman Sachs' Principal Investment Area has formed
12 investment vehicles aggregatingUS$35 billion of capital to
date. Significant investments include: VoiceStream Wireless,
Allied World Assurance, Burger King, SunGard, YES Network,
Western Wireless, Nalco Company, Kabel Deutschland and
Coffeyville Resources.  WithUS$8.5 billion in committed capital,
GS Capital Partners V is the current primary investment vehicle
for Goldman Sachs to make privately negotiated equity
investments.

                       About CCMP Capital

CCMP Capital Advisors, LLC, formed in August 2006 by the
formerbuyout/growth equity investment team of JPMorgan Partners,
is a  leading private equity investor.  Through active
management and its powerful value creation model, CCMP Capital's
investment team has established a reputation as a world-class
investment partner. CCMP Capital and its London affiliate manage
approximatelyUS$8 billion in direct private equity investments.  
CCMP Capital's proprietary global network includes its affiliate
in Asia, CCMP Capital Asia Ltd., a leading private equity firm
with approximatelyUS$2 billion under management, operating from
offices in Hong Kong, Melbourne, Seoul, Shanghai and Tokyo.  
CCMP Capital is an investment adviser registered with the
Securities and Exchange Commission.

                   About J.P. Morgan Partners

J.P. Morgan Partners, LLC, is a leading private equity firm with
approximatelyUS$10 billion in capital under management as of
December 31, 2005.  Since its inception in 1984, JPMP has
invested overUS$15 billion worldwide in consumer, media, energy,
industrial, financial services, healthcare and technology
companies.  JPMP is an experienced investor in companies with
worldwide operations.  Selected investments include: AMC
Entertainment, Cabela's, The International Cornerstone Group,
Pinnacle Foods, PQ Corporation, Brand Services and SafetyKleen
Europe.

JPMP is a private equity division of JPMorgan Chase & Co. (NYSE:
JPM), one of the largest financial institutions in the United
States, and is a registered investment adviser with the
Securities and Exchange Commission.

                  About Thomas H. Lee Partners

Thomas H. Lee Partners, L.P., is one of the oldest and most
successful private equity investment firms in the United States.  
Since its founding in 1974, THL Partners has invested
approximatelyUS$12 billion of equity capital in more than 100
businesses with an aggregate purchase price of more thanUS$90
billion, completed over 200 add-on acquisitions for portfolio
companies, and generated superior returns for its investors and
partners.  THL Partners identifies and acquires substantial
ownership positions in large growth-oriented companies through
acquisitions, recapitalizations and direct investments.  The
firm currently manages approximatelyUS$20 billion of committed
capital.  Notable transactions sponsored by the firm include
Dunkin Brands, Michael Foods, Warner Music Group, General
Nutrition Companies, Houghton Mifflin Company, Fisher Scientific
International, Experian Information Solutions, TransWestern
Holdings, Cott Corporation and Snapple Beverage.

                    About Warburg Pincus LLC

Warburg Pincus LLC has been a leading private equity investor
since 1971.  The firm currently has more thanUS$10 billion of
assets under management and invests in a range of industries
including consumer and retail, industrial, business services,
healthcare, financial services, energy, real estate, technology,
media and telecommunications.  Warburg Pincus is an experienced
partner to management teams seeking to build durable companies
with sustainable value.  The firm has an active portfolio of
more than 100 companies.  Significant current and past
investments include: Neiman Marcus, Knoll (NYSE: KNL), TransDigm
(NYSE: TDG), Mattel (NYSE: MAT), Mellon Financial (NYSE: MEL),
Neustar (NYSE: NSR), BEA Systems (NASDAQ: BEAS) and Coventry
Health Care (NYSE: CVH).  Since inception, Warburg Pincus has
sponsored 11 private equity funds, which have invested
approximatelyUS$23 billion in more than 540 companies in 30
countries.

                    About ARAMARK Corporation

Headquartered in Philadelphia, Pennsylvania, ARAMARK Corporation
(NYSE:RMK) -- http://www.aramark.com/-- is a leader in  
professional services, providing award-winning food services,
facilities management, and uniform and career apparel to health
care institutions, universities and school districts, stadiums
and arenas, and businesses around the world.  In FORTUNE
magazine's 2006 list of "America's Most Admired Companies,"
ARAMARK was ranked number one in its industry, consistently
ranking since 1998 as one of the top three most admired
companies in its industry as evaluated by peers and industry
analysts.  The company was also ranked first in its industry in
the 2006 FORTUNE 500 survey. ARAMARK has approximately 240,000
employees serving clients in 20 countries, including Japan and
Korea.

                          *     *     *

Standard & Poor's Ratings Services lowered on Aug. 8, 2006, its
ratings on Philadelphia-based ARAMARK Corp. and its subsidiary,
ARAMARK Services Inc., including its corporate credit rating to
'BB+' from 'BBB-'.

Fitch has downgraded on Aug. 8, 2006, the Issuer Default Rating
and senior unsecured debt ratings for both ARAMARK Corporation
and its wholly owned subsidiary, ARAMARK Services, Inc., to 'BB-
' from 'BBB'.  The ratings remain on Rating Watch Negative.


DONG-AH CONSTRUCTION: Prime-Led Group Named Preferred Bidder
------------------------------------------------------------
The Korea Asset Management Corporation said that a consortium
led by Prime Industrial Co. Ltd. has been named as the preferred
bidder for Dong-Ah Construction Industrial Co. Ltd., Seo Jee-
yeon of the Korea Times states.

According to FactSet Mergerstat, LLC, Prime has offered to
acquire Dong-Ah Construction for approximately KRW650 billion
(US$674.1 million) -- which takeover offer is the largest among
the six firms that participated in the bid.

FactSet says that Daeju Construction Co Ld had offered more that
KRW600 billion (US$622.2 million), while Kolon Engineering &
Construction Co Ltd offered about KRW570 billion
(US$591.1 million) and Soosan Consortium bid at KRW500 billion
(US$518.5 million).

State-run debt restructuring agency KAMCO, which is arranging
the sale, said that it will soon sign a memorandum of
understanding with Prime and will conduct due diligence before
signing the main contract in October, The Korea Times notes.

The report says that a key issue for a successful deal is Dong-
Ah regaining its license for construction, which was revoked
when it went under court receivership.

As reported in the Troubled Company Reporter - Asia Pacific on
Aug. 28, 2006, Dong-Ah will not be allowed to recover its
canceled license for projects on electricity.  The company
cannot get back its canceled license, which is essential for it
to work on power plants and nuclear reactors, the Ministry of
Commerce, Industry and Energy said.

Yet, the TCR-AP stated that, according to MOCIE, it will examine
whether Dong-Ah can get a fresh license immediately or two years
after a new owner of the construction firm registers for it.

The Korea Times relates that on the news that Prime was selected
to be the preferred bidder for Dong-Ah, stocks connected to the
builder soared.

                   About Dong-Ah Construction

Dong-Ah Construction Industrial Co., Ltd. --
http://www.dongah.co.kr/-- is a construction firm that focuses  
on fields such as civil engineering, architectural and
electrical works, and plant constructions.  The Company's
projects consist of land developments, bridges, tunnels,
subways, apartment complexes, and commercial buildings.  In
addition, Dong-Ah is building the Great Man-made River in Libya.

After being hit hard by the 1997-98 Asian financial crisis, the
firm underwent debt workout programs, but failed to overcome
financial trouble amid soured investor sentiment for the
construction industry.  It was officially declared bankrupt in
May 2001.  Dong-Ah's stock was suspended from trading on Feb. 7,
2001, after an accounting firm advised a court that closing the
Company would cost less than trying to keep it afloat.  Minority
shareholders owned 88% of the Company's outstanding shares,
according to the Company's financial statements in 1999.

In 2005, Goldman Sachs Group Inc. and Korea Asset Management
Corp., the main creditors of Dong-Ah, asked a Seoul court to
halt bankruptcy filing procedures for the construction company
and place it under court receivership, to be sold later.

Claims by all creditors against the Company were
KRW4.05 trillion, but industry estimates that the Company is
valued at more than KRW400 billion, including premiums to
business rights.  Of Dong-Ah's assets, only KRW289.7 billion
have not been pledged as security, according to the Company's
financial statement as of March 31, 2006.


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

EKRAN BERHAD: Books MYR92-Million Net Loss in Fourth Quarter
------------------------------------------------------------
Ekran Berhad released on August 28, 2006, its unaudited
financial report for the fourth quarter ended June 30, 2006.

For the quarter under review, the group booked a higher pre-tax
loss of MYR77.43 million on MYR8.65 revenue, as against a pre-
tax loss of MYR1.85 million on revenue of MYR6.7 million in the
same quarter last year.

The group registered a net loss of MYR92 million in the quarter
ended June 30, 2006, compared with a net profit of MYR895,000 in
the quarter ended June 30, 2006.

For the twelve months ended June 30, 2006, the group posted a
turnover of MYR26.37 million from its construction sector, oil
palm plantation and hotel business and a pre-tax loss of
MYR97.65 million attributed mainly to the provision for doubtful
debts from associated companies and interest expenses.

The Group recorded a pre-tax loss of MYR95 million for the
fourth quarter this year compared to MYR3.4 million pre-tax gain
for the preceding quarter ended March 31, 2006.  The fourth-
quarter loss was mainly due to the provision of doubtful debts
on the amount owing from associated companies.

For the 12 months ended June 30, 2006, the group accumulated
MYR1,130,904,000 in losses.

According to the June 30, 2006, balance sheet, the group has
current assets of MYR348,649,000 available to pay current
liabilities of MYR290,924,000.

The June 30, 2006, balance sheet also showed total assets of
MYR1,098,592,000, total liabilities of MYR497,164,000, and total
shareholders' equity of MYR601,428,000.

There was no dividend declared for the quarter under review.

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

http://bankrupt.com/misc/tcrap_ekranberhad083006.xls

                        About Ekran Berhad

Ekran Berhad is a Malaysian company engaged in investment
holding and the provision of management services to its
subsidiary companies.  Through its subsidiaries, the Company is
engaged in property development; the provision of property
management services; timber logging and saw milling; the sale of
timber products, and the operation of oil palm plantations.  The
Company's operations are mainly concentrated in Malaysia, China
and the Philippines.

As reported by the Troubled Company Reporter on August 8, 2006,
the company is facing a wind-up petition by United Overseas Bank
for defaulting on a bank loan.  The company is classified as a
Practice Note 1 company for defaulting on various credit
facilities.


KRAMAT TIN: High Court Approves Scheme of Arrangement
-----------------------------------------------------
The High Court of Malaya, on August 28, 2006, entered an order
approving the scheme of arrangement under Section 176 of the
Companies Act, 1965, between Kramat Tin Dredging Berhad and all
its shareholders in relation to the restructuring proposals.

As reported by the Troubled Company Reporter - Asia Pacific on
July 27, 2006, Kramat Tin's shareholders on July 26, 2006,
approved the Scheme, which is part of the Company's
restructuring plan.

The TCR-AP disclosed that the Plan was unveiled on April 24,
2004, and was approved by the Securities Commission on June 9,
2005.

                    About Kramat Tin Dredging

Headquartered in Kuala Lumpur, Malaysia, Kramat Tin Dredging
Berhad is currently in the process of identifying suitable
business opportunities.   The Company ceased its mining
operations in 1988.  In 2001, Bursa Malaysia Securities Berhad
classified Kramat Tin as a Practice Note 10 company, given its
inadequate level of operations.

To avoid being de-listed, Kramat Tin, in 2004, entered into an
arrangement to restructure its operational and financial
position.  On April 24, 2004, the Company's restructuring plan
was unveiled and subsequently approved by the Securities
Commission on June 9, 2005.

For the financial year ended December 31, 2005, Kramat Tin
registered a smaller loss of MYR524,000 compared with the
MYR1.3-million net loss in 2004.


HO WAH GENTING: Second Quarter Pre-tax Loss Drops to MYR2 Mil.
--------------------------------------------------------------
Ho Wah Genting Berhad has submitted for public release its
financial report for the second quarter ended June 30, 2006.

The group registered revenue of MYR60.87 million for the quarter
under review, up from a revenue figure of MYR43.89 million in
the same quarter last year.  

The Company recorded a loss before taxation of MYR2 million for
the quarter ended June 30, 2006, compared to a loss before
taxation of MYR5.19 million in the same period last year.  Net
loss for the quarter under review stood at MYR3.24 million.  As
of June 30, 2006, the Company accumulated MYR244.35 in losses.

The group's June 30, 2006, balance sheet revealed weak liquidity
with current assets of MYR80,838,000 available to pay current
liabilities of MYR1387,752,000 coming due in the next 12 months.
The group has total assets of MYR243,552,000, total liabilities
of MYR168,766,000 and total stockholders' equity of
MYR74,786,000.

There was no dividend paid for the current financial period
ended June 30, 2006.

The group's financial report and its accompanying notes are
available for free at:

http://bankrupt.com/misc/tcrap_howahgenting083006.xls

http://bankrupt.com/misc/tcrap_howahgentingnotes083006.doc  

                       About Ho Wah Genting

In 2004, the Company was served with a wind-up petition from
United Overseas Bank Limited in connection with the
US$2.5-million balance the Company owed to UOB as of Sept. 17,
2001.  Ho Wah Genting came out of its first restructuring
program in 2000.  However, continuous losses promoted the
Company to propose another restructuring scheme, which was
approved by the Singapore High Court in July 2004.


INTAN UTILITIES: Provides Default Updates
-----------------------------------------
Intan Utilities Berhad provided an update of the borrowings in
default and the steps taken to address the defaults by Intan
Utilities Berhad's 70% effectively owned subsidiaries, IDS
Electonics Sdn Bhd and IDS Technology Sdn Bhd.

As reported by the Troubled Company Reporter - Asia Pacific on
June 29, 2006, Intan Utilities Berhad's board of directors
disclosed that IDS Electronics and IDS Technology have been
negotiating with Bank Islam Malaysia Berhad to restructure a
total of MYR10,678,953 in existing loans from short term to long
term.

Since the loans were defaulted, the total repayment by IDS
Electronics made as of July 31, 2006, amounted to approximately
MYR3.93 million.  The repayments comprise fixed monthly
repayment of MYR90,000 from February 2004 to July 2005, and
thereafter MYR120,000 per month for August and September 2005.
The repayment from October 2005 to April 2006 amounted to
MYR150,000 per month.  For the month of May 2006 to July 2006,
the repayment increases to MYR180,000.    
     
                      About Intan Utilities

The company is classified as a Parctice Note 1 company after it
defaulted on several loan facilities due to its tight cash flow
position.  It is currently formulating plans to address the
issue.  As of March 31, 2006, the Company's balance sheet showed
MYR457,961,000 in total assets and MYR267,213,000 in total
liabilities.  However, the Company's March 31 balance sheet
showed strained liquidity with MYR151,393,000 in total current
assets available to pay MYR243,032,000 in total current
liabilities coming due within the next 12 months.


LITYAN HOLDINGS: Creditors Grant Restructuring Deal Extension
-------------------------------------------------------------
Lityan Holdings Berhad, on August 28, 2006, entered into a
supplemental restructuring agreement with Giant Best Corporation
Limited, Chen Xinmim and Lim Chu Fatt to extend until
September 28, 2006, the deadline for the company to fulfill all
conditions under the restructuring agreement.

The Troubled Company Reporter - Asia Pacific reported on
August 1, 2006, that Lityan signed an agreement with the three
creditors to extend the time to fulfill conditions of the
restructuring proposal for another one month until August 28,
2006.

A TCR-AP report on July 12, 2006, stated that the Company
submitted on July 6, 2006, an application for a review of the
Securities Commission's decision to reject the Company's
proposed restructuring scheme.

The TCR-AP noted that on June 9, 2006, the Securities Commission
denied Lityan Holdings' restructuring proposal, as there were
issues that raised concerns regarding the Scheme including a
requirement to fulfill several conditions of the agreement.

In view of the SC's rejection, Bursa Malaysia Securities Berhad
commenced delisting procedures on June 13, 2006, against Lityan.
Trading in Lityan's shares has been suspended since June 16,
2006.

                     About Lityan Holdings

Headquartered in Selangor Darul Ehsan, Malaysia, Lityan Holdings
Berhad -- http://www.lityan.com.my/-- sells and provides  
maintenance services and rental of computer equipment,
peripherals, telecommunication equipment and related services.  
The Company's other activities include provision of building
maintenance and management services, developing and marketing of
new client-server programming tools and application software,
operation of public mobile data network, property investment and
investment holding.  The Group carries out its operations in
Malaysia and the Philippines.   

On May 10, 2005, the Company was classified as an affected
listed issuer pursuant to Bursa Malaysia Securities Berhad's
Practice Note 17 category.  On January 16, 2006, the Company
entered into a conditional Restructuring Agreement to undertake
the Proposed Restructuring Scheme with the intention of
restoring the Company onto stronger financial footing via an
injection of new viable businesses.  

The total amount of debts defaulted by Lityan Holdings Berhad
and its subsidiaries as of June 30, 2006, has reached
MYR12,565,005.


MBF HOLDINGS: Hearing of Amfinance's Case Adjourned to Jan. 2007
----------------------------------------------------------------
On August 28, 2006, the Kuala Lumpur High Court further
adjourned the management of the case initiated by MBf Holdings
Berhad against AmFinance Berhad to January 25, 2007.

The Troubled Company Reporter - Asia Pacific reported on
June 30, 2006, that the Kuala Lumpur High Court has adjourned
for mention on August 28 the pre-trial case management relating
to MBf Holdings Berhad's case against AmFinance.  The case was
initially heard on June 28, 2006.

The TCR-AP recounts that on November 5, 2004, MBf Holdings and
its subsidiaries, Alamanda Development Sdn Bhd and MBf Project
Management Sdn Bhd, served a Writ of Summons against AmFinance.

The Writ was filed following a demand by AmFinance for payment
of debts allegedly owed by Alamanda on loan facilities in the
aggregate of MYR132.9 million as of August 31, 2004, plus
accrued interest at 2.5% above the Base Lending Rate per annum
and additional default interest of 1% per annum on the principal
sum of approximately MYR103.15 million, from September 1, 2004,
until date of full payment.  The Alamanda loan was purportedly
guaranteed by MBf Holdings.

The Plaintiffs' claims are for the relief of:

   -- a declaration that the Deed of Novation dated April 1,
      2000, between MBF and Alamanda, and the Defendant is
      void and unenforceable;

   -- a declaration that the Deed of Novation dated April 1,
      2000, between the 2nd Alamanda and MBf Project, and the
      Defendant is void and unenforceable; and

   -- a declaration that the Corporate Guarantees dated
      September 14, 1996, January 16, 1997, January 17, 1997,
      June 26, 1997, June 12, 2000, by MBf Holdings in favor of
      the Defendant are void and unenforceable.

The Plaintiffs are advised that the action against the Defendant
is premised on a sound legal basis.  Save as disclosed, the suit
does not have any material financial impact on the Plaintiffs.

                        About MBf Holdings

Headquartered in Selangor Darul Ehsan, Malaysia, MBf Holdings
Berhad is involved in retailing and wholesaling of merchandise,
shipping, automotive and heavy earthmoving equipment and
printing of packaging boxes.  Its other activities include
copra, cocoa, coffee and tea production, issuing of credit
cards, acquiring merchants and other related services, provision
of financial services, provision of property management,
investment in properties, property development including dealing
in land and estate management, club management, development and
sale of membership of a recreational club, education and
investment holding.  The Group's operations are carried out in
Malaysia, other Asean countries including Singapore, Thailand
and Philippines, Hong Kong, South Pacific Islands, Australia and
United States of America.

MBF Holdings Berhad undertook and completed a restructuring
scheme in 2003.  Included in the Scheme was a debt-restructuring
scheme, which excluded the lease, hire-purchase liabilities,
general unsecured liabilities and amounts owing to subsidiary
and associated companies.  The lease, hire-purchase and general
liabilities were to be addressed in the ordinary course of
business.  However, the Scheme made no provision for the
settlement of the Inter-company Loans, which the Group is now
having problems with.  As of June 30, 2006, balance sheet also
showed accumulated losses of MYR425,243,000.


SETEGAP BERHAD: Appeals SC's Rejection of Rehab Proposals
---------------------------------------------------------
Setegap Berhad submitted on August 24, 2006, an appeal to the
Securities Commission to reconsider its decision to reject the
company's restructuring proposals.

The company's board of directors, having deliberated on the
issues raised by the SC, on the proposals in its letter dated
July 27, 2006, among others, is presenting certain revisions to
the proposals:

Revision 1 -- Removal of the proposed subscription of new shares
              in Sumatec (Sarawak) and Sumatec Trackworks from
              the proposals.

Revision 2 -- Increase in the number of shares under the
              proposed debt settlement by 2.2 million new
              ordinary shares of MYR1.00 each in the Newco i.e.
              an increase from 57 million Newco Shares to
              59.2 million Newco Shares.

As reported by the Troubled Company Reporter - Asia Pacific on
August 3, 2006, the Securities Commission rejected on July 27
Setegap Berhad's application in relation to its restructuring
exercise, as the SC has determined that the proposals do not
comply with its Policies and Guidelines on Issue/Offer of
Securities.

The Company's restructuring plan consists of a proposed:

   -- debt settlement of all outstanding debt owed by the
      Company to its secured lenders and trade creditors for a
      total of MYR87.6 million;

   -- exchange of Setegap shareholders' ordinary shares of
      MYR1.00 each with Newco, or new company, shares on the
      basis of one Newco share for every five existing Setegap
      shares;

   -- transfer of listing status to Newco; and

   -- disposal by the Newco of the entire issued and paid-up
      capital of Setegap for a nominal consideration of MYR1.

                     About Setegap Berhad

Headquartered in Petaling Jaya, Malaysia, Setegap Berhad's
principal activities consist of the construction and maintenance
of roads, railways and building, including services rendered on
quarrying.  The Company's other activities include manufacturing
and selling offroad construction equipment, asphalt plants,
mixing plants, asphalt emulsions and premix.  The Group also
provides mechanical and electrical services, leases machinery
and investment holding.  

Setegap's cash flow and profitability were affected by the Asian
financial crisis in 1997/98.  As of March 31, 2006, the
Company's balance sheet showed MYR71,401,000 in total assets and
MYR176,007,000 in total liabilities, resulting in a
stockholders' deficit of MYR104,606,000.


TANCO HOLDINGS: Net Loss Widens to MYR11.5 Mil in Second Quarter
----------------------------------------------------------------
Tanco Holdings Berhad, on August 28, 2006, released its
unaudited financial report for the second quarter ended June 30,
2006.

For the quarter under review, the group booked a loss before tax
figure of MYR11,701,000 on MYR10,019,000 revenue, as against a
pre-tax loss of MYR9,353,000 on MYR7,506,000 revenue in the same
quarter last year.

The group recorded a net loss of MYR11,526,000 in the quarter
ended June 30, 2006, as against a net loss of MYR3,333,000 in
the quarter ended June 30, 2005.

The current quarter's MYR11.7-million pre-tax loss is higher
compared to a loss of MYR10.452 million in the preceding quarter
ended March 31, 2006.  The increased losses incurred in this
quarter are due mainly to lower revenue achieved and higher
interest cost incurred.

For six months ending June 30, 2006, the group had incurred a
loss before taxation and minority interest of MYR22.153 million
as compared to the corresponding period loss of
MYR18.701 million. The higher losses incurred in this period is
due to higher interest costs and marketing expenses.

The company's accumulated losses as of June 30, 2006, stood at
MYR261,716,000.

As of June 30, 2006, the company's balance sheet revealed
current assets of MYR113,873,000 available to pay current
liabilities of MYR501,784,000 coming due within the next 12
months.  The company has a net current deficit of
MYR387,911,000.

The June 30, 2006, the company's balance sheet also showed total
assets of MYR576,177,000, total liabilities of MYR502,954,000,
and total stockholders' equity of MYR73,223,000.

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

The economic situation whilst showing signs of improvement,
remains fluid and abounds with uncertainties and appropriate
steps have been and will continue to be taken by the group to
deal with the numerous challenges faced by its businesses.  In
addition to this, there is a need for the group to address its
debt position with its creditors.

The company's financial report and its accompanying notes are
available for free at:

http://bankrupt.com/misc/tcrap_tancoholdings083006.xls

http://bankrupt.com/misc/tcrap_tancoholdings083006.doc

                       About Tanco Holdings

Headquartered in Selangor Darul Ehsan, Malaysia, Tanco Holdings
Berhad -- http://www.tancoresorts.com/-- operates resort, golf  
and marina clubs and provides management services.  Its other
activities include provision of exchange services in relation to
vacation ownership schemes; property holding and development;
provision of consultancy services; money lending business;
travel and tour agent; multimedia related business; and
investment holding.  The Group carries out its operations in
Malaysia, the British Virgin Islands, New Zealand and Mauritius.

The Company is a Practice Note 17 company.  As an affected
listed issuer, the Company is required to submit and implement a
regularization plan to avoid delisting.


TECHVENTURE BERHAD: Still In Talks with Lenders for Debt Revamp
---------------------------------------------------------------
Techventure Berhad disclosed that it is still working on a debt-
restructuring scheme proposal with its financial institution
lenders.

Techven assures to keep Bursa Malaysia Securities informed of
the status of the scheme.

As reported by the Troubled company Reporter - Asia Pacific on
June 19, 2006, the Company is required to submit a financial
restructuring plan to the Securities Commission since it was
identified as an affected listed issuer of Bursa Malaysia
Securities Berhad's Practice Note 17 category.

The Company fell under the category because:

   -- the auditors have expressed a modified opinion with
      emphasis on Techven's going concern status in the latest
      audited accounts for the financial year ended December 31,
      2005; and

   -- there are defaults in payment by Techven and its major
      subsidiaries as announced pursuant to Practice Note
      No. 1 and Techven is unable to provide a solvency
      declaration to Bursa Malaysia Securities Berhad.

In the event Techven fails to comply with the obligation to
regularize its condition, all its listed securities will be
suspended from trading and delisting procedures will be
commenced against the Company.

                       About Techventure Bhd

Techventure Berhad is based in Selangor, Malaysia.  Apart from
being a corrugated cartons manufacturer, the Group is also
involved in the production of rubber insulation materials and
roto-molded plastic products like septic tanks, playground
equipment, traffic barriers, and water tanks.  It markets its
entire corrugated cartons and plastic products locally while
about 80% of the rubber insulation materials are exported.  In
addition, the Group also manufactures ice cream.

In June 2003, the Company proposed a debt-restructuring program
to its financial institution lenders to avoid liquidation. In
May 2006, the Company was categorized under the Amended Practice
Note 17 category of the Bursa Malaysia Securities Berhad's
Listing Requirements.  As an affected listed issuer, the Company
is required to regularize its financial condition or risk being
delisted from the Official List of Companies.


WEMBLEY INDUSTRIES: June 30 Balance Sheet Reveals Insolvency
------------------------------------------------------------
Wembley Industries Holdings Berhad has submitted for public
release its unaudited financial report for the second quarter
ended June 30, 2006.

For the quarter under review, the group reported a net loss
figure of MYR14,811,000 compared with the MYR36,679,000 net loss
in the same quarter last year.  The improvement is mainly due to
a write-back of taxes amounting to MYR4.58 million in the
current period, otherwise there are no other major incurrence of
losses vis-a-vis last quarter's results.

The group did not report revenues for the quarter ended June 30,
2006, as in the previous quarters.  As of June 30, 2006, the
group accumulated MYR1,078,366,000 in losses.

The group's balance sheet as of June 30, 2006, revealed strained
liquidity with current assets of MYR415,649,000 available to pay
current liabilities of MYR1,229,086,000 coming due within the
next 12 months.  

As of June 30, 2006, the group has total assets of
MYR422,526,000 and total liabilities of MYR1,229,086,000,
resulting into a shareholders' deficit of MYR806,560,000.

There was no dividend payment and no dividends are recommended
or have been declared during the financial quarter and year to-
date ended March 31, 2006.

The group's second quarter report and its accompanying notes are
available for free at:

http://bankrupt.com/misc/tcrap_wembleyindustries083006.xls

http://bankrupt.com/misc/tcrap_wembleyindustriesnotes083006.doc

                     About Wembley Industries

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

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

As of June 30, 2006, the group has total assets of
MYR422,526,000 and total liabilities of MYR1,229,086,000,
resulting into a shareholders' deficit of MYR806,560,000.


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

CHC HELICOPTER: Invests US$30 Million in New Helicopter Facility
----------------------------------------------------------------
Heli-One, an operating subsidiary of CHC Helicopter Corporation,
has established a new helicopter maintenance, repair and
overhaul facility at Boundary Bay Airport in Delta, B.C.,
Canada.

Heli-One will establish a 235,000 square-foot facility including
aircraft hangar, workshops and office space, with completion
anticipated in October 2007.  This new facility will support a
wide range of components, engines and aircraft types including
AgustaWestland, Bell, Eurocopter and Sikorsky.

CHC will invest approximately US$30 million in establishing the
new facility, which will allow Heli-One to provide total
helicopter support and improved efficiency for CHC's rapidly
expanding fleet of aircraft and for third-party customers around
the world.  The facility will consolidate Heli-One's existing
workshops and facilities in the Vancouver area, and create
additional capacity.

This new facility will complement Heli-One's major European
Repair and Overhaul center in Stavanger, Norway, which
specializes in tip-to-tail support of Eurocopter aircraft.

                          About Heli-One

Heli-One is the world's largest independent helicopter support
company, providing logistics, maintenance and power-by-the-hour
support for 14 different aircraft types operated by customers
around the world.

                       About CHC Helicopter

CHC Helicopter Corporation (TSX: FLY.A and FLY.B; NYSE: FLI) --
http://www.chc.ca/-- is the world's largest provider of     
helicopter services to the global offshore oil and gas industry
with aircraft operating in more than 30 countries.  
International bases of operation include the Philippines,
Australia, Thailand, and the Middle East.

                          *     *     *

CHC's $250 million senior subordinated notes due 2014 carry
Moody's B2 rating.


CHC HELICOPTER: Earns CDN$10.8 Million in Quarter Ended April 30
----------------------------------------------------------------
CHC Helicopter Corporation reports unaudited financial results
for the three months and year ended April 30, 2006.

                          Highlights

   -- Continued year-over-year growth in the fourth quarter
      contributed to annual revenue of over CDN$1 billion, the
      highest in the Company's history; and

   -- During the fourth quarter, revenue increased in all
      operating segments excluding the negative impact of
      foreign exchange.  Segment EBITDAR (excluding FX) also
      increased in all operating segments despite increased
      expenditures related to future growth and restructuring
      activities.

As demand for helicopters continues to grow both in the North
Sea oil and gas sector and elsewhere, the Company has continued
to invest in future growth through the recruitment, hiring and
training of new employees, financing of new aircraft and
aircraft deposits, business development, and other related
activities.  The Company continued to be negatively impacted by
the strengthening Canadian dollar in the fourth quarter,
consistent with previously reported quarters.

   -- Revenue (excluding FX) increased CDN$36.4 million for the
      quarter and CDN$142.7 million for the year for a 15%
      increase in the fourth quarter and the fiscal year
      compared to previous periods.  Revenue was negatively
      impacted by FX of CDN$28.1 million in the fourth quarter
      and CDN$98.4 million for the year ended April 30, 2006;

   -- Revenue (excluding FX) in all operating segments increased
      from the fourth quarter of last year.  Revenue increases
      were most significant in Global Operations where revenue
      increased by approximately 26% (excluding FX);

   -- Segment EBITDAR increased in European Operations and
      Global Operations by approximately 17% and 6%,
      respectively, from the fourth quarter of last year
      (excluding FX); and

   -- Net earnings from continuing operations for the fourth
      quarter were CDN$10.8 million, a decrease of CDN$3.3
      million from the fourth quarter of last year.  Major items
      impacting current year fourth quarter earnings from
      continuing operations are (all amounts are pre-tax):

      a) Operating costs

         -- Costs of approximately CDN$2.9 million incurred to
            support future growth including recruiting,
            relocation, training, business development and
            aircraft introduction;

         -- Segment support and general and administration cost
            savings of approximately CDN$3.1 million due to
            current restructuring initiatives;
       
         -- Transitional expenses including support, general and
            administrative and direct costs of approximately
            CDN$1.7 million incurred during the restructuring
            process.  It is expected that these costs will be
            reduced or eliminated throughout fiscal 2007; and

         -- Restructuring expenses of approximately
            CDN$3.6 million.  Restructuring activities are now
            essentially complete.

      b) Other costs

         -- During the fourth quarter, the Company entered into
            discussions with two unaffiliated private equity
            firms regarding the potential acquisition of the
            Company.  These discussions terminated near the end
            of the fourth quarter with no offer made to
            shareholders.  The Company incurred legal, advisory
            and other costs of approximately CDN$1.0 million
            relating to this event;

         -- During the fourth quarter the Company recorded
            additional payroll taxes and related penalties,
            interest and other costs associated with activities
            in various foreign jurisdictions of approximately
            CDN$1.2 million; and

         -- Lease expense increases of approximately
            CDN$1.7 million as a result of higher interest
            rates.

      c) Financing costs

         --Interest expense increases of approximately
           CDN$2.0 million primarily as a result of higher
           debt levels related to investment in fleet and
           working capital, net of the benefit of FX; and

         -- Foreign exchange losses of approximately
            CDN$1.2 million on foreign currency denominated
            monetary items.

      d) FX impact

         -- A negative FX impact (net of hedging gains) on
            operating income of approximately CDN$2.2 million
            due to the strengthening of the Canadian dollar in
            relation to the functional currencies of the
            Company's subsidiaries.

                        Subsequent Events

The Company was awarded a contract renewal by the Irish Minister
for Transport for the continued provision of marine Search and
Rescue services in Ireland from July 2007 to July 2010, plus
three option years.  The contract is anticipated to generate
revenue of approximately CDN$74 million over the fixed three-
year term.

BHS-Brazilian Helicopter Services Taxi Aereo Ltd. was awarded a
new five-year contract for the provision of eight Sikorsky S-
76C+ helicopters in support of Petrobras' operations in the
Brazilian offshore sector, commencing in January 2007.  Total
revenue from this contract is estimated at approximately CDN$170
million over five years.  The Company has exercised its option
to acquire a significant equity position in BHS.  The
acquisition is expected to close in the second quarter of fiscal
2007.

The Company was awarded one three-year contract and two five-
year contracts by Statoil for the provision of helicopter
services in the Norwegian Sea.  These new contracts commence in
mid-2007 and are anticipated to generate incremental revenue of
approximately $200 million over the fixed terms of the
contracts.

                       About CHC Helicopter

CHC Helicopter Corporation (TSX: FLY.A and FLY.B; NYSE: FLI) --
http://www.chc.ca/-- is the world's largest provider of     
helicopter services to the global offshore oil and gas industry
with aircraft operating in more than 30 countries.  
International bases of operation include the Philippines,
Australia, Thailand, and the Middle East.

                          *     *     *

CHC's US$250 million senior subordinated notes due 2014 carry
Moody's B2 rating.


EQUITABLE PCI: Sy Family Proposes to Buy EBCII-Owned Shares
-----------------------------------------------------------
Equitable PCI Bank, Inc., advises the Philippine Stock Exchange
Limited, Inc., that on August 29, 2006, it received a copy of a
letter from Teresita T. Sy, on behalf of the Sy Family and their
nominees, addressed to the Board of Directors of EBC
Investments, Inc., and the Board of Directors of EPCIB.  The
letter presented a binding offer to buy all the Equitable PCI
common shares owned by EBCII -- approximately 78,807,098 common
shares -- for a consideration of PHP92 per share or a total
consideration of PHP7,250,253,016, payable in cash:

   Downpayment on Closing Date     10%     PHP725,025,301.60
   8 Months from Closing Date      10%     PHP725,025,301.60
   16 MOnths from Closing Date     10%     PHP725,025,301.60
   24 Months from Closing Date     70%   PHP5,075,177,111.20

subject to all necessary corporate and regulatory approvals,
including the approval of Bangko Sentral ng Pilipinas, which
will be obtained prior to the Closing Date, and subject further
to all the other terms and conditions stated in the letter.

The letter further states that "[S]imultaneously to these
transactions, the Buyer intends to commence a tender offer to
purchase Equitable PCI shares of common stock pursuant to the
Tender Offer Rules of the Securities and Regulation Code of the
Philippines, and its amended Implementing Rules and
Regulations."

                      About Equitable PCI

Equitable PCI Bank, Inc. -- http://www.equitablepci.com/-- is a  
universal bank formed from the consolidation of Equitable
Banking Corporation and PCI Bank on September 2, 1999.  EBC and
its subsidiaries provide a wide range of commercial, corporate,
and retail banking and financial services, including lending and
deposit taking, branch banking, international banking,
electronic banking, trade finance, cash management, and trust
and treasury services.  Aside from commercial banking, the Bank
also capitalizes in credit card, investment banking, leasing,
trust banking, and remittance business.

                          *     *     *

Moody's Investors Service gave Equitable PCI Bank's Subordinated
Debt and Long-Term Bank Deposits 'Ba3' ratings effective May 25,
2006.

Standard & Poor's Rating Service gave Equitable PCI Bank's
senior unsecured debt a 'B' rating and its subordinated debt a
CCC+ rating.


LIBERTY TELECOMS: Postpones ASM; Date to be Determined
------------------------------------------------------
At the Special Meeting of the Board of Directors of Liberty
Telecoms Holdings, Inc., it was resolved that the Annual Regular
Stockholders Meeting scheduled for September 29, 2006, was
postponed to a suitable date, time, and place, within Metro
Manila to be determined by the company's president.

                     About Liberty Telecoms

Headquartered in Makati City, Philippines, Liberty Telecoms
Holdings, Inc. was incorporated in January 1994 primarily to
engage in real and personal property businesses; to deal in
stocks, bonds and other securities or evidence of indebtedness
of any entity; and to acquire all or any part of the business of
any entity.  Shortly after its incorporation, the company
acquired all of the shares of stock of Liberty Broadcasting
Network, Inc., Radionet, Inc. and Tanya Development, Inc.
Consequently, these companies became wholly owned subsidiaries
of Liberty Telecoms.  On March 15, 2000, the three wholly owned
subsidiaries of the company merged, with Liberty Broadcasting as
the surviving company.

A report by the Troubled Company Reporter - Asia Pacific on
July 18, 2006, stated that Liberty Telecoms suffered a
PHP338.44-million net loss for fiscal 2005, against a net loss
of PHP436.41 million in 2004.  The Company filed for corporate
rehabilitation in August 2005 to restructure debts totaling
PHP616.19 million.


METROPOLITAN BANK: Partners with 35 Mid-East Remittance Houses
--------------------------------------------------------------
Metropolitan Bank & Trust Company has partnered with 35
remittance and exchange houses in the Middle East to give
overseas foreign workers more outlets to send their remittances.

"Metrobank is establishing mroe partnerships to bring our
products and services closer to Filipinos across the globe,"
Metrobank International Offices and Subsidiaries Group head and
executive vice president Carmelita R. Araneta, explains.

The bank has signed an agreement with reputable remittance
companies in countries where many Filipinos are expatriated like
Qatar, Bahrain, Lebanon, Saudi Arabia, United Arab Emirates,
Oman, and Kuwait.  These remittance partners included Bahrain
Exchange Company, Asia Express Exchange, Al Fardan Exchange &
Finance Co., Al Rahji Banka, and Al Ansari Exchange, among
others.

"More than 1.5 million OFWs are currently deployed in the
region," Ms. Araneta says, adding "our compatriots stand to
benefit from using a Metrobank remittance partner in these
areas."

The new remittance tie-ups complement Metrobank's vast network
of remittance officers and correspondent banks worldwide.  "Most
of our remittance hubs operate on extended hours and during
weekends.  This is advantageous for OFWs who don't have time to
do transactions during regular banking hours," Ms. Araneta
notes.

The bank also opened Metro Remittance Center, Inc. (Canada)
Vancouver Office, its first remittance office in Canada.  It is
expected to serve the requirements of overseas Filipinos, now
numbering close to 500,000 in North America.

Metrobank currently enjoys market leadership in countries where
it has presence and continues to develop remittance markets
across the globe.

                        About Metrobank

Metropolitan Bank and Trust Company --
http://www.metrobank.com.ph/-- is the flagship company of the  
Metrobank Group.  Metrobank provides a host of deposit, savings,
and loan products as well as electronic banking services like
internet banking, mobile banking, and phone banking, as well as
its huge ATM network.  Metrobank is also the leading provider of
trade finance in the country, and its overseas branch network
has enabled it to service the fund remittances of Filipino
overseas contract workers.

The Bank has 583 local branches and 35 international branches
and offices located in Taiwan, China, Japan, Korea, Guam, United
States, Hong Kong, Singapore, Bahamas, and in Europe.

                          *     *     *

On March 3, 2006, the Troubled Company Reporter - Asia Pacific
reported that Standard and Poor's Rating Service assigned a CCC+
rating on its US$125-million non-cumulative capital securities,
whereas Moody's Investors Service Rating Agency issued a B-
rating on the same capital instruments.

Moreover, Moody's gave Metrobank a Ba3 Foreign Long-Term Bank
Deposits and Subordinated Debt Rating effective May 25, 2006.

Fitch Ratings Ltd. gave Metrobank a B- Subordinated Debt Rating.


SECURITY BANK: Appoints J. Jereza as 1st VP of N. Metro Manila
--------------------------------------------------------------
The Board of Directors of Security Bank Corporation, in its
Board meeting held on August 29, 2006, approved the appointment
of Jose Raul E. Jereza IV as First Vice President/Area Business
Manager of North Metro Manila Area 1 effective September 1,
2006.

The Board also approved the declaration of a regular semestral
cash dividend of PHP0.25 per share and a special cash dividend
of PHP0.50 per share on the outstanding capital stock of the
corporation, subject to the approval of the Bangko Sentral ng
Pilipinas.

The record date and date of payment will be fixed upon receipt
by the Bank of the approval of the cash dividend declaration by
the BSP.

                         About Security Bank

Security Bank Corporation -- http://www.securitybank.com.ph/--  
offers a wide variety of financial products and services.  The
Bank's services include peso, dollar and third currency
deposits, domestic and international fund transfers, deposit
pick-up and payroll services, and ancillary services.  Security
Bank also provides working capital financing, term arrangements
and loan syndication services.

Fitch Ratings gave Security Bank a 'BB' Long-Term Foreign
Currency Issuer Default Rating, a 'BB' Long-Term Local Currency
Issuer Default Rating, a 'D' Individual Rating and a '4' Support
Rating.


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

CHEMTURA CORP: Earns US$420,000 in Second Quarter of 2006
---------------------------------------------------------
Chemtura Corp. filed its second quarter financial statements for
the three months ended June 30, 2006, with the United States
Securities and Exchange Commission on August 7, 2006.

Chemtura reported net income of US$420,000 on US$1 billion of
net sales for the second quarter ended June 30, 2006, compared
with a US$17 million net loss on US$602.3 million of net sales
for the same period in 2005.

For the six months ended June 30, 2006, Chemtura reported net
income of US$13.62million on US$1.9 billion of net sales
compared with US$3.4 million of net income on US$1.19 billion of
net sales for the same period in 2005.

Chemtura's net sales and operating profit increased for both the
quarter and six month periods ended June 30, 2006, as compared
with the same periods in 2005, notwithstanding increases in
general corporate expense, antitrust costs, a charge for
impairment of long-lived assets and merger costs for the six-
month period, which were partially offset by decreases to
facility closures, severance and related costs for the quarter
period.

At June 30, 2006, Chemtura's balance sheet showed US$4.89
billion in total assets, US$3.02 billion in total liabilities,
and US$1.8 billion in total stockholders' equity.

                  Significant Transactions

Chemtura Corp. continues to assess its business portfolio and
debt position.  To date, the Company has undertaken these
initiatives:

   1. In July 2006, the company completed the redemption of the
      remaining US$158.9 million of outstanding 9.875% Senior
      Notes due 2012, which was funded through the revolving
      credit facility, the uncommitted working capital
      facilities and available cash.  The purchase price to
      tender the notes was US$1,123.87 per US$1,000 principal
      amount.  The company anticipates that the premium and
      other costs associated with the redemption will be
      approximately US$25.0 million and will be recorded as a
      loss on early extinguishment of debt in the third quarter
      of 2006.

   2. On June 23, 2006, the company sold a significant portion
      of the real estate at the West Lafayette, Indiana
      location, for net proceeds of US$6.1 million, inclusive of
      US$400,000 of associated costs.  There was no gain or loss
      recognized on this sale.

   3. On May 12, 2006, the company sold its Industrial Water
      Additives business to BWA Water Additives for US$85
      million, exclusive of a US$10.2 million adjustment for
      retained accounts receivable and payable.  A reduction in
      net assets of US$81.0 million, primarily related to
      US$33.6 million of goodwill; US$32.5 million of net
      intangibles related to technology, brands and customer
      relationships; and US$12.2 million of finished goods
      inventory was a result of this sale.  Additionally, the
      Company incurred US$3.3 million in associated costs,
      US$400,000 related to employee retention agreements,
      US$2.3 million due to future losses related to supply
      agreements with BWA, and US$400,000 related to other
      expenses.  A loss of US$12.5 million (US$14.1 million
      after-tax) has been included in other expense, net on the
      condensed consolidated statement of earnings.

      No facilities or manufacturing assets were included in
      this transaction and Chemtura will continue to manufacture
      and sell products to BWA via supply agreements.  These
      assets were reviewed for recoverability under the
      requirements of Financial Accounting Standards Board
      Statement No. 144, "Accounting for the Impairment of
      Disposal of Long-Lived Assets," and a charge of US$5.6
      million related to the impairment of the fully-dedicated
      manufacturing assets retained was recorded in operating
      profit.

      Contemporaneous with the sale, the Company entered into an
      exclusive distribution agreement with BWA related to the
      Liquibrom product line.

   4. On May 24, 2006, the Company completed a tender offer to
      repurchase the remaining US$164.8 million of its
      outstanding Senior Floating Rate Notes due 2010.  The
      purchase price to tender notes was US$1,095.83 per
      US$1,000 principal amount.  As a result of the tender, the
      Company recorded a loss on early extinguishment of debt of
      US$19.5 million during the second quarter of 2006.  The
      loss includes a premium of US$15.8 million and the write-
      off of unamortized deferred costs of US$3.7 million.

   5. On April 19, 2006, the Company and certain of its
      consolidated subsidiaries entered into an underwriting
      agreement with several financial institutions for the sale
      of US$500 million aggregate principal amount of 6.875%
      Senior Notes due 2016.  The offering closed on
      April 24, 2006, and the Company received net proceeds from
      the offering of US$492.3 million after expenses.  The
      proceeds were utilized to repay the outstanding balance on
      the Company's revolving credit facility of US$364 million,
      the outstanding balance on uncommitted lines of credit of
      US$50 million and to repurchase receivables under the
      domestic receivable securitization programs of US$60
      million, with the remaining proceeds used for general
      corporate purposes.

   6. On March 24, 2006, the Company acquired the Trace
      Chemicals business from Bayer CropScience LP for net cash
      of US$6.7 million.  Trace Chemicals is a leader in farmer-
      applied seed treatments in markets serving the United
      States of America.  The acquisition will serve to enhance
      the Company's offerings in the Crop Protection business.

Full-text copies of the Company's second quarter financials are
available for free at:

               http://ResearchArchives.com/t/s?f4f

                     About Chemtura Corp.

Headquartered in Middlebury, Connecticut, Chemtura Corp. (NYSE:
CEM) -- http://www.chemtura.com/-- is a global manufacturer and  
marketer of specialty chemicals, crop protection and pool, spa
and home care products.  The Company has approximately 6,400
employees around the world and sells its products in more than
100 countries.  In the Asia Pacific, Chemtura has facilities in
Australia, China, Hong Kong, India, Japan, Singapore, South
Korea, Taiwan, and Thailand.

                          *     *     *

Moody's Investors Service assigned a Ba1 rating to Chemtura
Corp.'s US$400 million of senior notes due 2016 and affirmed the
Ba1 ratings for its other debt and the corporate family rating.

Standard & Poor's Ratings Services assigned its 'BB+' senior
unsecured debt rating to Chemtura Corp.'s US$400 million notes
due 2016.  Standard & Poor's affirmed Chemtura's 'BB+' long-term
corporate credit rating.  The outlook remains positive.

   
CHEMTURA CORP: Faces Albermarle's Decabromodiphenyl Patent Suits
----------------------------------------------------------------
Chemtura Corp. is facing Albemarle Corp.'s suits for alleged
infringement of patents on the use of decabromodiphenyl ethane.

In May 2002, Albemarle filed two suits against the company in
the U.S. District Court for the Middle District of Louisiana.
The first suit alleged that the company infringed three of
Albemarle's process patents on bromine vacuum tower technology,
while the second claimed that the company has infringed,
contributed to or induced others to violate its patent on using
decabromodiphenyl ethane as a flame retardant in thermoplastics.

The company has counterclaimed that the patent in the flame
retardant case is invalid, and obtained through inequitable
conduct in the U.S. Patent and Trademark Office. These cases
were later consolidated upon the Company's motion. Albemarle
amended this consolidated complaint in March 2004 to add new
counts of patent infringement and trade secret violations.

On October 25, 2005, Albermarle filed suit in the same Court
against the company and Great Lakes Chemical Corp. for allegedly
infringing its recently issued patent on decabromodiphenyl
ethane "wet cake" intermediate product.

Based in Middlebury, Connecticut, Chemtura Corp. manufactures
plastic additives, petroleum additives, flame retardants, and
swimming pool chemicals. The Company was formed from the merger
of Crompton Corp. and Great Lakes Chemical Corp.

                     About Chemtura Corp.

Headquartered in Middlebury, Connecticut, Chemtura Corp. (NYSE:
CEM) -- http://www.chemtura.com/-- is a global manufacturer and  
marketer of specialty chemicals, crop protection and pool, spa
and home care products.  The Company has approximately 6,400
employees around the world and sells its products in more than
100 countries.  In the Asia Pacific, Chemtura has facilities in
Australia, China, Hong Kong, India, Japan, Singapore, South
Korea, Taiwan, and Thailand.

                          *     *     *

Moody's Investors Service assigned a Ba1 rating to Chemtura
Corp.'s US$400 million of senior notes due 2016 and affirmed the
Ba1 ratings for its other debt and the corporate family rating.

Standard & Poor's Ratings Services assigned its 'BB+' senior
unsecured debt rating to Chemtura Corp.'s US$400 million notes
due 2016.  Standard & Poor's affirmed Chemtura's 'BB+' long-term
corporate credit rating.  The outlook remains positive.


HIBEX SINGAPORE: Wind-Up Petition Hearing Slated for Sept. 11
-------------------------------------------------------------
A wind-up petition was filed against Hibex Singapore Pte Ltd on
February 16, 2006.

The High Court of Singapore will hear the petition on
September 11, 2006, at 10:00 a.m.

The Petitioner's solicitors can be reached at:

         Wong Thomas & Leong
         5 Shenton Way#26-05/07
         UIC Building
         Singapore 068808


ISOFT GROUP: Inks Revised Credit Agreement with Banks
-----------------------------------------------------
iSoft Group PLC has revised its credit loan agreement with its
banks.  The terms of the revised agreement include:

   -- a GBP25 million facility on top of its existing loan;
   -- a GBP36 million term loan; and
   -- a GBP105 million revolving facility.

"The terms are more favorable to the lenders, but iSoft got the
cash they need to keep the business going for the year," Stefan
Slowinski, an analyst at SG Cowen Securities in London, was
quoted by Bloomberg News as saying.

"New banking agreements will be a relief to ISoft," Kevin
Ashton, an analyst in London at Bridgewell Securities Ltd., told
Bloomberg.

The amendments reflect iSoft's revised revenue recognition
policies and business expectations.

According to Alex Armitage of Bloomberg, the company said it
will need to use its loans more extensively because of lower up-
front customer payments and because of a new policy in the way
it accounts for revenue.

In eight months, iSoft twice delayed its 2006 results, restated
three years of revenue and faced the departure of its chief
executive officer.  Its shares fell about 90 percent this year.

                 Health Care Software Contract

On August 25, the company signed a GBP153 million agreement with
Computer Sciences Corp., for delivery into the North West and
West Midlands regional cluster of the National Program for IT
and on the installation of iSoft software in London and Southern
regions.

iSOFT also disclosed that it will continue to supply an enhanced
service to seven NHS iSOFT Trusts in the London and Southern
Clusters.

                      Accounting Probe

As reported in Troubled Company Reporter - Asia Pacific, on
Aug. 28, 2006, the Financial Services Authority will be
undertaking a more formal investigation into possible accounting
irregularities at iSOFT Group plc, which could take months to
complete.

The initial probe, conducted by Deloitte & Touche and Eversheds
LLP, found evidence of accounting irregularities affecting the
financial years ended April 30, 2004, and April 30, 2005.  The
Group has submitted the findings, which contained grounds for a
more formal investigation, to the British regulator.

                   Streamlining the Cost Base

The Group has been taking, and continues to take, action to
realign its operating costs with future revenue expectations.  
As part of this process, it is examining in detail the operating
cost structure of each of its operations, both in the U.K. and
internationally, to identify areas for cost reduction and
improved organizational efficiency.  The Group is targeting to
reduce its total operating cost base from an annual run rate of
just over GBP209 million at May 1, 2006, to below GBP185 million
by the end of the current financial year.  The current run-rate
is higher than the total actual cost incurred for the year just
ended because the Group has increased significantly its level of
development resources to support both existing and future
applications.

As part of the plan to reduce costs, the group entered into a
consultation process with employees in the U.K. in early May
2006 and it is likely that at least 150 employees, representing
approximately 15% of total headcount in the U.K., will be made
redundant.  The cost of this action will be about GBP3 million,
but is expected to reduce the current annual cost base by
approximately GBP6 million.

The group also intends to reduce staff levels in some of its
international operations and has taken steps to reduce sub-
contract and overhead costs as part of the financial year 2007
budget review process.  The total cost of action already in hand
to reduce the cost base, which will be taken as a one-time
charge in the year ending April 30, 2007, is estimated to be at
least GBP7 million.

                        About iSOFT Group

Headquartered in Manchester, United Kingdom, iSOFT Group plc
-- http://www.isoftplc.com/-- supplies advanced medical  
software applications for the healthcare sector.  Its products
are used by more than 8,000 organizations in 27 countries for
managing patient information and driving improvements in
healthcare services.  In international markets, the Group has a
strong presence in the Asia-Pacific, including Singapore and
India.


NETWORK EQUIPMENT: Posts US$3.7M Loss in 2007 1st Fiscal Quarter
----------------------------------------------------------------
Telecommunications equipment maker Network Equipment
Technologies, Inc., reported its results for the three months
ended June 30, 2006, for the first quarter of fiscal 2007.

Total revenue was US$17.4 million, up from US$13.4 million in
the prior quarter and down from US$18.4 million in the same
period of the prior year.  Product revenue was US$14.8 million,
up from $10.2 million in the prior quarter and up from US$14.7
million in the same period of the prior year.

Net loss for the quarter was US$3.7 million compared with a net
loss of US$10.2 million in the prior quarter and a net loss of
US$5.1 million for the same period of the prior year.

Cash and investment balances at the end of the quarter were
US$84.8 million, compared with US$86.2 million at the end of the
prior quarter and US$100.6 million, including US$405,000 of
long-term restricted cash included in other assets, at the end
of the first quarter of the prior year.

"In the first quarter, our government business rebounded,
primarily due to new orders," president and chief executive
officer C. Nicholas Keating remarked.

"Government revenue was also aided by a US$1.7 million milestone
payment on an existing contract.  We are making progress on our
new product initiatives, which we hope over the course of the
next year, will help stabilize our government business and also
revitalize our enterprise business.  While we are working on our
new product portfolio we are striving to maintain a strong cash
position.  Our cash balance at the end of the quarter declined
only US$1.4 million as we continue to work through this
transition period."

"The new network exchange product we are jointly developing with
Bay Microsystems, providing high-speed SAN to WAN communications
and secure grid computing, continues to perform in lab trials,
and our other NX Series products are on track," Mr. Keating
said.

"During this past quarter, we introduced the VX Series Universal
Voice Exchange, a next-generation solution for delivering
integrated, secure lower cost VoIP and mobility to government
and enterprise customers.  Based on our core voice technology,
the VX Series offers a comprehensive VoIP solution with
intelligent switching functionality and interoperability with
existing telecommunications and data network infrastructure.

Additional advances in the VX Series included:

   -- The NET VX400 Tactical Voice Exchange, a deployment of
      NET's Voice Exchange VoIP software platform on DTECH
      LABS' mobile VoIP hardware platform.

   -- The VX Security Accelerator Module, the industry's
      first wire-speed, full-capacity solution using the secure
      real-time transport protocol to provide military-grade
      encryption."

"During the quarter, we established additional reseller
agreements including Nanotel, a network integration services
provider for applications requiring VoIP telephony, and Aspect
Solutions, a data security and IT solutions firm targeting the
health care industry.  These relationships are early examples of
our partnership distribution strategy," Mr. Keating continued

               About Network Equipment Technologies

Network Equipment Technologies, Inc. (NYSE:NWK)
-- http://www.net.com/-- provides networking equipment that  
enables its customers to adapt to a broadband future.  An
architect of the networking industry, N.E.T. has been supplying
service providers, governments and enterprises around the world
with networking technology for more than 20 years.

It has sales locations in China, Hong Kong, Japan, and
Singapore.

                          *     *     *

Network Equipment Technologies, Inc.'s subordinated debt carries
Moody's Investors Service's B2 rating.


POH LIAN SHIPPING: Faces Liquidation Proceedings
------------------------------------------------
Shia Chong Yian has filed an application to wind up Poh Lian
Shipping Pte Ltd on August 17, 2006.

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

The Plaintiff's solicitor can be reached at:

         De Souza Tay & Goh
         No. 5 Shenton Way
         #12-05, UIC Building
         Singapore 068808


SEA CONTAINERS: Restructuring Spurs S&P to Keep Junk Rating
-----------------------------------------------------------
Standard & Poor's Ratings Services said that its ratings on Sea
Containers Ltd. -- including the 'CCC-' corporate credit rating
-- remain on CreditWatch with negative implications.  Ratings
were lowered to current levels May 1; they were initially placed
on CreditWatch with negative implications on Aug. 25, 2005.

The CreditWatch update follows Sea Containers' update on its
operational and financial restructuring efforts, including the
statement that it will not pay its US$115 million due Oct. 15,
on the 10_% senior notes unless the company concludes that it
will be able to pay its other public notes maturing in 2008,
2009, and 2012, and all other unsecured creditors, and retain
sufficient working capital.

Sea Containers also said it intends in the next few weeks to
begin discussions with advisors in respect of a potential
restructuring of the company's unsecured financial obligations.

"If a restructuring is undertaken that does not provide full
value to the noteholders, we would lower our ratings on the
affected notes to 'D' and the corporate credit rating to 'SD'
or selective default," said Standard & Poor's credit analyst
Betsy Snyder.

Sea Containers provided also an update on various other ongoing
restructuring efforts:

   -- sale of its Silja ferry unit was completed July 19, and
      proceeds applied to reduce debt which has declined by
      US$648 million since Dec. 31, 2005, to US$610 million at
      July 31, 2006;

   -- three ferries were sold for US$48 million, which was used
      to repay secured debt on the vessels, and the company is
      seeking to sell other ferries with an estimated value of
      US$127 million to US$137 million;

   -- cash used in operating activities was US$88 million for
      the first six months of the year, almost double the US$46
      million cash consumption of the prior-year period; and

   -- the Great North Eastern Railway is significantly
      underperforming original projections, due to lower-than-
      forecast revenues, including the effect of terrorist
      attacks in London in July 2005 and higher-than-forecast
      costs.

The company noted also that it remains in covenant default on
various debt instruments, including its public notes, though no
creditors has taken action to exercise remedies.

                       About Sea Containers

Sea Containers Ltd -- http://www.seacontainers.com/-- is a    
Bermuda registered company with regional operating offices in
London, Genoa, New York City, Rio de Janeiro, Sydney and
Singapore.  The company is owned almost entirely by United
States shareholders and its primary listing is on the New York
Stock Exchange.  The company is a market leader in its three
main business areas: passenger transport, leisure and marine
container leasing.  In addition to its three principal
divisions, the company has associated investments in property,
publishing, and plantations.    

                          *     *     *

In June 2006, Moody's Investors Service downgraded the senior
unsecured ratings and confirmed the senior secured rating of Sea
Containers -- Senior Unsecured to Caa3, Senior Secured at B3.  
Moody's said the outlook is negative. On May 4, 2006, Standard &
Poor's Ratings Services lowered its ratings on SeaContainers,
including lowering the corporate credit rating to 'CCC-' from
'CCC+'.  All ratings remain on CreditWatch with negative
implications.

The Troubled Company Reporter -- Asia Pacific report on
August 15, 2006, states that Standard & Poor's Ratings Services
on August 11, 2006, said that its ratings on Sea Containers
Ltd., including the 'CCC-' corporate credit rating, remain on
CreditWatch with negative implications.  Ratings were lowered to
current levels May 1, 2006; they were initially placed on
CreditWatch with negative implications on Aug. 25, 2005.


SILVERN INVESTMENT: Creditors' Proofs of Debt Due on Sept. 25
-------------------------------------------------------------
Silvern Investment Co (Pte) Ltd notifies parties-in-interest of
its intention to declare dividend to creditors.

Creditors must admit proofs of claim by September 25, 2006, form
them to share in the company's dividend distribution.

The liquidator can be reached at:

         Ryosuke Mitomo
         c/o 6 Shenton Way #32-00
         DBS Building Tower Two
         Singapore 068809


SPECTRUM BRANDS: Fitch Junks Rating on US$2.3 Billion Debt
----------------------------------------------------------
Fitch Ratings has initiated rating coverage of Spectrum Brands,
Inc.:

   -- Issuer Default Rating (IDR) CCC;
   -- Senior secured bank facility B/RR1; and
   -- Senior subordinated debentures CCC-/RR5.

The Rating Outlook is Stable.  Approximately US$2.3 billion of
debt is covered by these actions.

The rating reflects SPC's high leverage with FFO adjusted
leverage of 8.06 times as well as debt/EBITDA of 7.68x for the
last 12 months ending July 2, 2006.  Much of SPC's US$2.3
billion in total debt was the result of seven acquisitions
completed since the fiscal year ended September 30, 2003, with
the bulk occurring in 2005.

The acquisitions served to lessen the company's reliance on
essentially one product - the Rayovac battery.  However, poor
performance in batteries combined with high levels of
acquisition-related debt has hampered free cash flow which
declined from US$163.5 million at the FYE September 30, 2005 to
US$22 million at the LTM ending July 2, 2006.

There has also been a declining trend in interest coverages
since the 2005 acquisitions.  EBITDA/interest has fallen
steadily from 3.09x at FYE03 to 1.75x at LTM July 2.  The
company's high leverage provided little flexibility for a myriad
of issues over the past two years: competitive actions in
grooming, a structural change in the European battery market,
retailer inventory adjustments in batteries and lawn & garden
during 2005 and 2006 in North America and escalating commodity
costs which served to more than offset restructuring savings and
price increases.

SPC is a leading provider of private label batteries in its
Europe/Rest of World (ROW) segment.  Batteries represent 70% of
this segment and about half is private label.  Private label is
growing rapidly, however margins are significantly less robust
than SPC's branded batteries and continues to be under pressure.

The Europe/ROW segment represented 29% of revenues and 30% of
operating income for the nine months ending July 3, 2005 with a
nine month operating margin of 14.6%.  For the comparable period
in 2006, revenues have declined 17% with operating profits down
43%.  Part of the revenue decline was the company walking away
from US$30 million in low-margined revenues.  

SPC intends to remain a private-label participant.  Given that
the pressure is expected to continue while the company works on
lowering its operating costs, profits from this key region is
expected to be a drag on the consolidated performance in the
near term.  

Additionally, while the company has hedged it zinc exposure
through the first half of FYE07, the reset in light of expected
tightness in the zinc market and other energy related costs will
contribute to margin pressure as well.  The current trajectory
in the near term appears negative without actions to provide
additional financial flexibility.

SPC's management has historically been able to achieve cost
savings ahead of schedule.  The company is in the process of
three separate actions -acquisition integration, flattening the
North American organization, and reorganizing its European
operation.  

These are expected to lead to cost savings of US$150 million by
2008.  The company reports that it is on track with all
initiatives.  The ability to execute on cost savings and the
company's leading brands are also encompassed in the ratings.
The company has had to amend their financial covenants twice in
the past year to address declining operations.

Thus, a concern is that continued declines in Europe which will
take several quarters to address, potential competitive actions
by participants who have substantially more resources, as well
as increased commodity costs still exist and could continue to
pressure margins and complying with covenants.  

SPC reports that it should comply with its covenants into the
foreseeable future but the ratios appear to be relatively tight.
SPC's ability to continue working well with its bank group is
necessary.

The Rating Outlook is Stable as the company has announced their
discomfort with the present levels of leverage given
underperformance against forecast and has hired Goldman Sachs to
evaluate potential asset sales.  The company's intent is to
review its line of business with a plan to begin executing asset
sales by next spring.  

Lines of businesses to be sold, cash flow lost and amount of
debt reduction is unknown at present.  The goal to de-leverage
is viewed positively in light of recent performance trends.  
Incorporated into the Stable Outlook is the expectation that the
company will be able to receive waivers, if needed, from its
debt-holders.

The Recovery Ratings and notching in the debt structure reflect
Fitch's recovery expectations under a scenario in which
distressed enterprise value is allocated to the various debt
classes.  The recovery ratings for the bank facility benefit
from a substantial enterprise value which more than covers
maximum outstanding.

There is also covenants and conditions precedent to each loan
that provides protection and precludes sizeable amounts of debt
without sizeable increases in cash flow.  The senior
subordinated debentures reflect the expectation of below average
recovery prospects in a distressed case.

Virtually all of SPC's revenue growth from US$573 million in
FYE02 to the US$2.359 billion in FYE05 was derived from
acquisitions.  Revenues in the nine months ending July 2, 2006
also increased 13% to US$1.943 billion benefiting from late
FYE05 acquisitions.  It is to be noted however that if sales
were adjusted to assume that all acquisitions during 2005 were
treated as if they had been completed on the first day of fiscal
2005, net sales for the nine months would have declined 6%.

On an as reported basis, FYE05's gross margin declined 480bps to
37.9% due to mix (320bps) and purchase accounting inventory
value charges (160bps), which increased costs of goods, sold. A
normalized EBITDA margin with the 160bps added back would be
14%.  

However, poor performance in batteries and escalating commodity
costs during the nine months ending July 2, 2006 reduced the
EBITDA margin to 11.5% -250bps below prior year.  Thus while
leverage is down slightly to 7.7x from 7.9x at the end of the
fiscal year, LTM July 2, 2006 EBITDA/interest has continued to
weaken as the current fiscal year bears the full brunt of the
debt and interest rate increases as the financial covenants were
amended in December and May.

SPC is a global branded consumer products company with
operations in seven product categories: consumer batteries; lawn
and garden; pet supplies; electric shaving and grooming;
household insect control; electric personal care products, and
portable lighting.  Today, batteries represent just 33% of
global revenues from 90% in 2002 (41% derived internationally).

                     About Spectrum Brands

Headquartered in Atlanta, Georgia, Spectrum Brands (NYSE: SPC)
-- http://www.spectrumbrands.com/-- is a consumer products    
company and a supplier of batteries and portable lighting, lawn
and garden care products, specialty pet supplies, shaving and
grooming and personal care products, and household insecticides.
Spectrum Brands' products are sold by the world's top 25
retailers and are available in more than one million stores in
120 countries around the world.  The company has manufacturing
and distribution facilities in China, Australia and New Zealand,
and sales offices in Melbourne, Shanghai, and Singapore.

                          *     *     *

On June 15, 2006, Standard & Poor's Ratings Services affirmed
its ratings on Spectrum Brands Inc., including the 'B-'
corporate credit rating. At the same time, the ratings were
removed from CreditWatch, where they were placed with negative
implications April 6, 2006, following the Company's
substantially lowered earnings guidance for the second quarter.
The rating outlook is negative.

Moody's Investors Service downgraded all ratings of Spectrum
Brands, Inc.  The outlook for the ratings is stable.  The action
concluded the review for downgrade that was initiated on April
7, 2006.  Ratings downgraded include Corporate family rating to
B3 from B2; US$300 million senior secured revolving credit
facilities to B2 from B1; US$1.2 billion senior secured term
loan facilities to B2 from B1; US$700 million senior
subordinated notes due 2015 to Caa2 from Caa1, and US$350
million senior subordinated notes due 2013 to Caa2 from Caa1.


SPECTRUM BRANDS: Third Quarter Earnings Down to US$2.5 Million
--------------------------------------------------------------
Spectrum Brands Inc. disclosed that its net income for the
quarter ended July 2, 2006, has significantly reduced to US$2.5
million compared from US$23.7 million for the quarter ended
July 3, 2005.

The company also showed net sales of US$698.3 million for the
third fiscal quarter ending July 2, 2006, a slight reduction
from US$707.8 million for the corresponding period a year ago.

Net income for the nine months ended July 2, 2006, was US$5.4
million, compared to US$49.7 million for the same period in the
previous year.

For the nine months ended July 2, 2006, net sales was US$1.94
billion, up by 13% from US$1.72 billion, for the same period a
year ago.

"Spectrum Brands continues to face challenges in our European
battery business, which was the leading contributor to our
disappointing third quarter results," David A. Jones, chairman
and chief executive officer, said.  "We also generated lower-
than-expected sales this quarter from Remington men's shaving in
North America at Father's Day.  However, there were a number of
bright spots in our third quarter results, including a strong
performance from Remington branded products in Europe and a
modest but encouraging sequential improvement in our North
American battery business," Mr. Jones added.

Gross margin for the quarter was 38% versus 38.2% for the same
period last year.  The decline in gross margin percentage
resulted primarily from lower sales in the global battery
business and increased raw material costs.

Operating income was US$49.0 million versus fiscal 2005's third
quarter operating income of US$69.0 million.

Third quarter interest expense was US$45.7 million versus
US$38.6 million last year due to increased debt levels from the
Tetra acquisition and higher interest rates.  Total debt at July
2, 2006 was US$2.283 billion.

Corporate expenses were US$27.6 million, compared to US$22.1
million in the prior year period.  Expansion of the global
operations support infrastructure and increased professional
fees accounted for the majority of the increase.

                     About Spectrum Brands

Headquartered in Atlanta, Georgia, Spectrum Brands (NYSE: SPC) -
- http://www.spectrumbrands.com/-- is a consumer products    
company and a supplier of batteries and portable lighting, lawn
and garden care products, specialty pet supplies, shaving and
grooming and personal care products, and household insecticides.
Spectrum Brands' products are sold by the world's top 25
retailers and are available in more than one million stores in
120 countries around the world.  The company has manufacturing
and distribution facilities in China, Australia and New Zealand,
and sales offices in Melbourne, Shanghai, and Singapore.

                          *     *     *

On June 15, 2006, Standard & Poor's Ratings Services affirmed
its ratings on Spectrum Brands Inc., including the 'B-'
corporate credit rating. At the same time, the ratings were
removed from CreditWatch, where they were placed with negative
implications on April 6, 2006, following the Company's
substantially lowered earnings guidance for the second quarter.
The rating outlook is negative.

Moody's Investors Service downgraded all ratings of Spectrum
Brands, Inc.  The outlook for the ratings is stable.  The action
concluded the review for downgrade that was initiated on April
7, 2006.  Ratings downgraded include Corporate family rating to
B3 from B2; US$300 million senior secured revolving credit
facilities to B2 from B1; US$1.2 billion senior secured term
loan facilities to B2 from B1; US$700 million senior
subordinated notes due 2015 to Caa2 from Caa1, and US$350
million senior subordinated notes due 2013 to Caa2 from Caa1.


TIANJIN ZHONG: Creditors Should Prove Debts by September 25
-----------------------------------------------------------
Tianjin Zhong Xin Pharmaceutical Group Corporation Singapore Pte
Ltd require its creditors to submit their proofs of claims by
September 25, 2006.

Failure to comply with the requirement will exclude a creditor
from sharing in the company's dividend distribution.

The liquidators can be reached at:

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


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

BANK OF AYUDHYA: Finance Ministry Approves GE Deal
--------------------------------------------------
Bank of Ayudhya disclosed on August 28, 2006, that it would now
push through with the agreement to sell a 25.4% stake to General
Electric's financial arm following approval from the Finance
Ministry and the Bank of Thailand, The Nation reports.

The Troubled Company Reporter - Asia Pacific reported on
August 18, 2006, that the agreement between Bank of Ayudhya and
GE Capital Asia Pacific Ltd, expected to close on August 15, was
postponed indefinitely as the Ministry failed to endorse the
deal.

"Through cooperation between BAY and GE Money in the credit card
sector, BAY is confident the business synergy will further
strengthen the bank's position and lead BAY to the forefront of
Thailand's banking industry," bank's chairman Krit Ratanarak
said in a press statement.

According to the Bangkok Post, the deal would cost GE around
US$600-million to acquire a quarter of ownership with the bank.  
The transaction, however, is still subject to the approval of
the bank's shareholders, the Post said.

Yoshiaki Fujimori, president and chief executive officer of GE
Money Asia, said, "This partnership will further strengthen the
Thai financial market by contributing to economic growth and
offering more competitive options for both Thai consumer and
commercial customers.  The combination of BAY's performance
history and local banking experience and GE's global expertise
and business management processes will help fulfill our shared
vision to become Thailand's 'bank of choice' and to drive sound
growth for the future."

Bank of Ayudhya and GE Money have been Joint Venture partners
since 2001, successfully managing the growth of the
Krungsriayudhya Card Company Ltd, offering credit cards and
personal loans to Thai consumers, the Post relates.  The Joint
Venture serves 700,000 card customers and held total assets of
US$339 million in 2005, generating US$61 million in revenues.

                          *     *     *

Headquartered in Bangkok, Thailand, Bank of Ayudhya Public Co.
Ltd. -- http://www.krungsri.com/-- provides a full range of  
banking and financial services.  The bank offers corporate and
personal lending, retail and wholesale banking; international
trade financing asset management; and investment banking
services to customers through its branches.  It has branches in
Hong Kong, Vietnam, Laos, and the Cayman Islands.

Moody's Investors Service gave Bank of Ayudha an E+ bank
financial strength rating.

Fitch Ratings gave the bank a 'BB+' Long-Term Foreign Currency
Issuer Default Rating, a 'B' Short-Term Foreign Currency Rating,
a 'BB' Foreign Currency Subordinated Debt Rating, and a 'D'
Individual Rating.


SIAM COMMERCIAL: President Tenders Resignation
----------------------------------------------
Arun Chirachavala, president of Siam City Bank Pcl, submitted a
letter on August 28, 2006, to the Stock Exchange of Thailand
notifying his intention to resign from his post.

Subsequently, the bank's board of directors unanimously approved
the resignation to be effective on September 1, 2006.  It was
also resolved that Tasna Rajatabhothi -- Director, Executive
Director and Director of Nomination and Remuneration Committee
-- be appointed as acting president of Siam Commercial.

       Clash with Board Prompted Pres' Resignation

Conflict within the board of directors of Siam City Bank was the
reason behind the president's resignation, The Nation reports,
quoting chairman of the board, Sompol Kiatphaibool.

According to Mr. Sompol, there were disagreements between the
board and Mr. Arun over business strategy, so the president
resigned in order to allow a new leader to take over.

Mr. Sompol further relates that the board and the president had
some differences of opinion over the second-quarter results, in
which several items showed growth rates lower than the industry
level.

Based on the bank's financial statements, net profit of
THB743.29 million was posted in the second quarter, 53.25% down
from the THBB1.59 billion achieved in the corresponding period
last year.

"Arun showed spirit as the bank's management chief, although
differences of opinion are a normal thing.  Meanwhile, he is an
honest man and he supported the bank during his tenure," Mr.
Sompol said.

Mr. Sompol said that the bank's board of directors has always
supported management policy, and in particular a universal
banking concept, but in some cases it requires the bank to have
influence over the management of its affiliates.

Meanwhile, the bank's selection committee will be responsible
for naming a new president.  However, no definite time frame was
given.

                          *     *     *

Thailand's fourth largest commercial bank, Siam Commercial Bank
-- http://www.scb.co.th/-- provides a wide variety of personal  
and business banking options, including funds management, loan
and investment services, foreign currency exchange, and more.
The bank has more than 500 branches countrywide.  The bank had
total assets worth THB814 billion as of December 31, 2005.

On March 31, 2006, The Troubled Company Reporter - Asia Pacific
reported that Moody's Investors Service placed Siam Commercial
Bank Public Company Limited's bank financial strength rating of
"D+" on review for possible upgrade.


THAI DURABLE: SET Suspends Securities Trading
---------------------------------------------
Securities of Thai Durable Group Public Company Ltd were
suspended from trading by the Stock Exchange of Thailand due to
the Company's failure to submit its financial statements for the
second quarter ended June 30, 2006.

The SET fixed August 15, 2006, for all the listed companies to
submit their latest quarter financial statements and indicated
that failure to present the report would result to suspension of
any company's securities from trading.

According to a statement on the SET Web site, Thai Durable's
securities would be suspended effective on the first trading
session, which started on August 16, 2006.

The Troubled Company Reporter - Asia Pacific reported on May 29,
2006, that the SET previously posted SP -- Suspension -- sign on
the company's securities after it also failed to submit its
first quarter results.

Thai Durable said in a statement that the company has yet to
appoint an auditor, resulting to the delay of the submission of
its financial reports.

                          *     *     *

The Thai Durable Group Public Company Limited --
http://www.tdt.co.th/-- manufactures woven fabrics and yarns  
from natural and synthetic fibers.  The majority of its
production is sold to industrial factories for further
processing.  

The Company is under the REHABCO, or Companies under
rehabilitation sector, of Thailand's Stock Exchange.

The Troubled Company Reporter - Asia Pacific stated on April 12,
2006, that the Company's Board of Directors passed a resolution
not to allocate net profit as legal reserve in the amount of 5%
of the net profit of the Company and not pay the dividend from
its 2005 operating income.   

                 Going Concern of the Company   

The Company had sustained significant accumulated losses and has
suffered recurring loss from operations.  As at December 31,
2005, Thai Durable has a THB2-billion equity deficit.  The
Company incurred negative cash flows from operating activities
for the year ended December 31, 2005, amounting to
THB73.3 million.  The Company's current liabilities exceeded its
current assets as of December 31, 2005, by THB644.4 million.  
Moreover, the Company could not repay short-term loans and long-
term loans from two local banks which were due and on Jan. 27,
2006, the Company was sued by a local bank to repay all short-
term loans and long-term loans totaling THB273.8 million,
including principal and accrued interest.  In addition, the
management is in the process of negotiating for the postponement
of loans from another local bank.  The ultimate outcome of these
matters cannot be determined yet.  Presently, the Company is
performing a feasibility study to change its current business.  

The continuing operation of the Company in the future
substantially depends on

    1. results of the negotiation with the financial institution
       creditors relating to the postponement of loans; and

    2. the new business plan of the Company and its ability to
       operate successfully in the future and has adequate cash
       flows from operations.

These matters indicate the existence of a material uncertainty
about the Company's ability to continue its operation as a going
concern.


                            *********

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.
   
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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 ***