TCRAP_Public/060901.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R  
  
                     A S I A   P A C I F I C  

            Friday, September 1, 2006, Vol. 9, No. 174

                            Headlines

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

24 HOURS MINI: Court Sets Date to Hear Liquidation Bid
353 WAVERLEY ROAD: Members' Final Meeting Set on September 22
ACE COATINGS: Creditors Appoint Richard Judson as Liquidator
ADC (AUSTRALIA) TECHNIQUE: Liquidator to Present Wind-Up Report
AMTECH AUSTRALIA: To Declare Priority Dividend on Oct. 1

AWB LIMITED: AWBI Chairman Clarifies Single Desk Agreement
BIGGIE RATT: Members and Creditors to Meet on Sept. 22
CAVALIER JOINERY: Enters Wind-Up Proceedings
CORPORATE DELIGHTS: Members and Creditors Opt to Shut Down Firm
DARK ELF: Court to Hear ACC's Liquidation Bid on Sept. 7

ENOTSDALG PTY: Undergoes Voluntary Liquidation
FELTEX CARPETS: Investigation Unsatisfactory, Green Party Says
FELTEX CARPETS: Commission Clears Godfrey Hirst Acquisition
FLINDERS POWER: Fitch Affirms BB+ LT Issuer Default Rating
FORD AUSTRALIA: Fitch Downgrades Issuer Default Rating to 'B'

GENESIS LIQUOR: Creditors' Proofs of Claim Due on September 5
GLOBAL 4X4 ACCESSORIES: Creditors Agree to Liquidate Business
GREENPAC ENTERPRISE: Liquidation Bid Hearing Set on Oct. 12
H.R HOARE: Members' Final Meeting Scheduled on September 22
INDYWELD PTY: Members and Creditors to Receive Wind-Up Report

INDUSTRIAL SWEEPING: Shareholders Opt for Voluntary Liquidation
INFORMATION KIOSK: Court to Hear CIR's Liquidation Petition
JAMES HARDIE: NSW Government Further Extends FFA to September 30
JOHN STOREY: Liquidator to Present Wind-Up Report on Sept. 22
KEVIN O'SHEA: To Declare Dividend on October 1

KINGDOM BUILDERS: Faces Liquidation Petition
LH NOMINEES: Placed Under Members' Voluntary Wind-Up
MARN-SOU-KUNG: Members to Hold Final Meeting on September 22
MOLIORPANTON HOLDINGS: Receiver and Manager Ceases to Act
NATIONAL INDUSTRIES: Liquidator Rennie to Present Wind-Up Report

NAWAB AGRICULTURE: Creditors' Proofs of Claim Due on Sept. 29
NEILSON PRODUCTIONS: Names Anthony Robert Cant as Liquidator
ONE HOBSON: Creditors Must Prove Debts by September 15
ORIGIN PACIFIC: To Resume Air Charter and Freight Services
PHILIPS BUILDING: Final Meeting Scheduled on September 22

PICCWICK PTY: Faces Liquidation Proceedings
PIONEER STEEL: Members to Hear Wind-Up Report on September 22
PRIMELIFE CORPORATION: PrimeLiving Acquires Elliot Gardens
SPLASHDOWN HOLDINGS: To Declare Dividend on October 2
STONEHENGE PROPERTIES: Enters Liquidation Proceedings

STYLISH SHOPFITTERS: Members Resolve to Close Business
SUN MICROSYSTEMS: Members' Final Meeting Scheduled on Sept. 22
SURF CITY: Members and Creditors to Convene on September 22
TARANAKI 55: Appoints Joint and Several Liquidators
THEODORE'S ON WINDSOR: Supreme Court Issues Wind-Up Order

TRW AERONAUTICAL SYSTEMS: Members and Creditors to Meet Sept. 22
VILLA DEVELOPMENTS: Members Pass Resolution to Wind Up Firm


C H I N A   &   H O N G  K O N G

CHINA EASTERN: Seeks Austerity Measures to Avert Losses
CYBER RESOURCES: Declares Final Dividend
GDMR (HONG KONG): Joint Liquidators Step Aside
HANG SENG: Members' Final Meeting Fixed on September 21
HODEX DEVELOPMENT: Creditors and Contributories Hold Meeting

HOI FUNG ALUMINUM: Creditors & Contributories Meeting Convened
HOPEWELL HOLDINGS: Unveils Plans to Boost Property Investment
HUNG FUNG: Names New Committee of Inspection Member
JOIN-IN SHIRT: Liquidator Ceases to Act for Company
KAM FAI: Liquidator Presents Wind-Up Report

LEASUM LIMITED: Appoints Joint and Several Liquidators
NEW AGE: Final Members' Meeting Set on September 19
OCEAN JET: Creditors and Contributories Hold First Meeting
TITAN PETROCHEMICALS: First Half Earnings Drop to HKD65.4 Mil.
UNION WAY: Court Appoints Joint Liquidators

Y & H ENGINEERING: Names Chung and Man as Joint Liquidators


I N D I A

AES CORP: Accrues US$12M Liability in 2Q06 for Remediation Costs
AES CORP: Plaintiffs File Opening Brief in Calif. Suit Appeal
CEMENT CORPORATION: Awaits BIFR's OK on Revamp and Assets Sale
DAEWOO INDIA: Assets Sale Attracts One Bidder
FORD MOTOR: Executive Committee Chairman Robert E. Rubin Resigns

SILICON GRAPHICS: Rosen Slome Hired as Panel's Conflicts Counsel
SILICON GRAPHICS: Will Pay US$1.6M Prepetition Custom Duties
SILICON GRAPHICS: Will Remit Contract Surcharges for US$75,000
SILICON GRAPHICS: Morgan Lewis Hires CRA Int'l as Consultants


I N D O N E S I A

INDOSAT: Posts IDR549-Bil. Net Income For the First Half of 2006
MEDIA NUSANTARA: Moody's Affirms (P)B1 Family and Bond Rating
MEDIA NUSANTARA: S&P Affirms 'B+' Senior Secured Debt Rating


J A P A N

DAIEI INC: Marubeni to Sell Part of Stake to Retail Giants
LEAR CORP: Faces Consolidated ERISA Violations Suit in Michigan
LIVEDOOR: Books JPY6.4-Billion Net Loss in Third Quarter
SANYO ELECTRIC: Wants to Delist from Nadaq and 3 Local Bourses
XM SATELLITE: June 30 Balance Sheet Shows US$1.035B Deficit


K O R E A

KOOKMIN BANK: Preliminary Data Show Highest BIS Capital Ratio
KYONGNAM BANK: Posts Lowest Capital Ratio Among Regional Banks
STANDARD CHARTERED FIRST BANK: Last in BIS Capital Ratio
TRIGEM COMPUTER: Gets Letters of Interest from Lenovo & 9 Others
* Banks BIS Capital Ratios Up Slightly


M A L A Y S I A

AYER HITAM: July Default Amount Hits MYR41,517,039
FOREMOST HOLDINGS: Posts MYR12.9M Net Profit in Second Quarter
FOREMOST HOLDINGS: Clarifies Disclosure on Unit's Wind-Up
FURQAN BUSINESS: Austral Amalgamated Changes Name to EBF Land
KIG GLASS: June 30 Balance Sheet Reveals Insolvency

SUGAR BUN: Lists Additional 1,500,000 New Shares
TENAGA NASIONAL: Lists and Quotes Shares Today


P H I L I P P I N E S

EQUITABLE PCI: SM Group Files Tender Offer for EPCIB Shares
GLOBE TELECOM: S&P Affirms 'BB+' Rating with Stable Outlook
MIRANT CORP: Discloses Final Results of Tender Offer
PHILIPPINE AIRLINES: Baguio Gold to Finish Due Diligence Yr-end
PHILIPPINE LONG DISTANCE: S&P Affirms BB+ For. Currency Rating

RIZAL COMMERCIAL BANKING: Appoints and Promotes New Officers


S I N G A P O R E

DEWHURST PTE: Creditors Must Submit Proofs of Debt by Sept. 25
FLEXTRONICS INTERNATIONAL: To Pick Minority Stake in SEZ Scheme
LESCOSING PTE: Pays Third and Final Dividend
LKN-PRIMEFIELD: Uses SGD4M from Rights Issue to Repay Debt
SEA KING: High Court to Hear Wind-Up Petition on September 8


T H A I L A N D

BANK OF AYUDHYA: Acquires JPMorgan's 38.34% Stake in AJF Asset


* Large Companies With Insolvent Balance Sheets

     - - - - - - - -

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

24 HOURS MINI: Court Sets Date to Hear Liquidation Bid
------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against 24 Hours Mini Supermarket Ltd on October 19, 2006, at
10:00 a.m.

The Commissioner of Inland Revenue filed the petition on
July 24, 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
         Inquiries to C. Williams:
         Telephone: (06) 968 4004


353 WAVERLEY ROAD: Members' Final Meeting Set on September 22
-------------------------------------------------------------
In accordance with Section 509 of the Corporations Act 2001, the
final meeting of the members of 353 Waverley Road Pty Ltd will
be held on September 22, 2006, at 10:30 a.m.

The Troubled Company Reporter - Asia Pacific reported on April
12, 2006, that the company commenced a wind-up of its operations
on March 1, 2006.

The liquidator can be reached at:

         P. R. Vince
         Vince & Associates
         51 Robinson Street
         Dandenong, Australia


ACE COATINGS: Creditors Appoint Richard Judson as Liquidator
------------------------------------------------------------
At an extraordinary general meeting held on August 9, 2006, the
members of Ace Coatings Pty Ltd resolved to voluntarily wind up
the company's operations.

Creditors appointed Richard Herbert Judson as liquidator at a
separate meeting held later that day.

The Liquidator can be reached at:

         Richard Herbert Judson
         Judson & Co
         Chartered Accountants
         Suite 4, Level 1
         10 Park Road
         Cheltenham Victoria 3192
         Australia
         Telephone: 9585 4155


ADC (AUSTRALIA) TECHNIQUE: Liquidator to Present Wind-Up Report
---------------------------------------------------------------
Members of ADC (Australia) Technique Pty Limited will hold a
final meeting on September 22, 2006, at 10:00 a.m., to receive
the liquidators' report on the company's wind-up and property
disposal exercises.

The liquidators can be reached at:

         David J. F. Lombe
         Peter G. Yates
         Grosvenor Place
         225 George Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9322 7000


AMTECH AUSTRALIA: To Declare Priority Dividend on Oct. 1
--------------------------------------------------------
Amtech Australia Pty Ltd will declare its first and final
dividend for priority creditors on October 1, 2006.

Failure to submit proofs of debt by August 22, 2006, will
exclude a creditor from sharing in the company's dividend
distribution.

The joint and several liquidator can be reached at:

         T. M. Pogroske
         Grant Thornton
         Level 17, 383 Kent Street
         Sydney, New South Wales 2000
         Australia


AWB LIMITED: AWBI Chairman Clarifies Single Desk Agreement
----------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
July 21, 2006, that the Australian Government backs the
country's wheat export monopoly, and that the Western Australian
Farmers Federation and the Victorian Farmers Federation have
joined growing calls to keep the single desk wheat marketing
system.

A subsequent TCR-AP report said that concurrent with its profit
forecast downgrade, AWB revealed that it is restructuring its
monopoly wheat export arm -- AWB (International) -- which would
increase the autonomy of its wheat export business.  AWBI
operates the monopoly -- known as the single desk, the TCR-AP
noted.

According to the report, though there were calls to strip AWB of
its export monopoly, farmers have generally supported a
continuation of the single desk, which they believe can win
better prices for Australian wheat, but have urged changes to
make the export arm more independent of its listed parent.

In a statement from its Web site, AWB states that there has been
increasing media and industry speculation regarding the services
agreement between AWB and AWBI for the operation and management
of the Single Desk.

AWBI Chairman Ian Donges asserts that the only contentious issue
appears to be a break fee clause in the services agreement.

According to Mr. Donges, the services agreement reflects normal
commercial business practices and the current break fee clause
is designed to reimburse AWB for investments made in pool
management systems.

"The clause was put in place to ensure [AWB] increased
investment in the National Pool over the long term.   Examples
of the long term investments made by [AWB] which have enhanced
the Single Desk include Shaping the Future, Golden Rewards,
Premium Choice Varieties, IT systems and staff," Mr. Donges
explains.

"The clause ensures that [AWB] can recover some of its fixed
costs on these investments if the agreement ends.  It also
provides incentive to [AWB] to continue to invest in systems and
services which ultimately benefit pool participants," Mr. Donges
says.

Mr. Donges notes that AWBI will be renegotiating the services
agreement with AWB to reflect the recent corporate changes to
increase the separation between the two.

"The services agreement will have all appropriate legal checks
and safeguards as part of functional separation between AWBI and
[AWB] and once the new services agreement is completed it will
be publicly released," Mr. Donges says.

"Any break fee clause would be negotiated by AWBI and [AWB]
Board and would take into account the Constitutional requirement
to maximize returns to growers," Mr. Donges further says.

AWB recounts that it has implemented a number of corporate
changes to increase the separation of AWBI as part of its
response to the Williams Review.

Once completed, the new services agreement will take effect from
October 1, 2006.

                         About AWB

AWB Limited -- http://www.awb.com.au/-- is Australia's leading  
agribusiness and one of the world's largest wheat marketing
companies.  It is also one of Australia's top 100 publicly
listed companies.  The Company is the exclusive manager and
marketer of all Australian bulk wheat exports through what is
known as the Single Desk.  The Company markets wheat, and a
range of other grains, into more than 50 countries, with
Australian wheat exports worth up to AU$5 billion per year.  
AWB's footprint includes more than 430 outlets through its
subsidiary landmark and has offices across the world.  The
company employs more than 2,700 staff reaching over 100,000
customers.  AWB is also one of the nation's largest suppliers of
rural merchandise, distributors of fertilizer, marketers of
livestock, brokers of rural real estate and handlers of wool.

In late 2005, AWB was accused of knowingly paying AU$290 million
in kickbacks to the Government of Iraq, under Saddam Hussein's
administration, through the United Nation's oil-for-food
program.  A UN report then found out that AWB paid the kickbacks
to a Jordanian trucking company linked to Hussein's deposed
regime.  The Australian Government then appointed a commission,
headed by retired judge Terence Cole, to investigate into the
Company's role in and the Government's alleged "knowledge" of
the scandal.  The "Cole Inquiry" is currently underway.  The
scandal is anticipated to create great political repercussions
to the Australian Government, given the country's contribution
to military action against President Hussein in the 2003
invasion of Iraq.

In the Company's half-year report ended March 31, 2006, Brett
Kallio, a partner at Ernst & Young, noted that there is inherent
uncertainty surrounding the consolidated entity with regard to
matters associated with the Cole Inquiry.  As the findings of
the Cole Inquiry have not yet been determined and reported,
there is uncertainty as to the nature of these findings and the
financial effect, if any, on the consolidated entity and its
operations, Mr. Kallio stated.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
July 12, 2006, that six American wheat farmers have launched a
AU$1- billion class action against AWB in the United States,
claiming its dealings in overseas markets damaged their own
incomes.  According to the TCR-AP report, more farmers are
considering joining the class action.

The TCR-AP also previously reported that Australian law firm
Maurice Blackburn Cashman was considering a class action against
AWB on behalf of shareholders who lost money in the wake of the
Cole Inquiry.

The Company's balance sheet as of March 31, 2006, reflected
total assets of AU$5.7 billion and total liabilities of AU$4.54
billion, showing total equity of AU$1.16 billion.


BIGGIE RATT: Members and Creditors to Meet on Sept. 22
------------------------------------------------------
A final meeting will be held for the members and creditors of
Biggie Ratt Pty Ltd on September 22, 2006, at 10:00 a.m.

During the meeting, Liquidators Hellen and Fordyce will present
the report on the company's wind-up proceedings and property
disposal exercises.

As reported by the Troubled Company Reporter - Asia Pacific, the
company declared a final priority dividend on December 13, 2005.

The Joint and Several Liquidators can be reached at:

         Bradley Hellen
         Ann Fordyce
         Pilot Partners
         Chartered Accountants
         Level 5, 175 Eagle Street
         Brisbane, Queensland 4000
         Australia


CAVALIER JOINERY: Enters Wind-Up Proceedings
--------------------------------------------
Members and creditors of Cavalier Joinery Pty Ltd on August 11,
2006, decided to wind up the company's operations and appoint R.
A. Sutcliffe as liquidator.

The Liquidator can be reached at:

         R. A. Sutcliffe
         Ground Floor
         192-198 High Street
         Northcote, Victoria 3070
         Australia
         Telephone:(03) 9482 6277


CORPORATE DELIGHTS: Members and Creditors Opt to Shut Down Firm
---------------------------------------------------------------
Members and creditors of Corporate Delights Pty Ltd met on
August 14, 2006, and agreed to shut down the company's business.

In this regard, Jonathan Paul McLeod was appointed as
liquidator.

The Liquidator can be reached at:

         Jonathan Paul McLeod
         McLeod & Partners
         Australia


DARK ELF: Court to Hear ACC's Liquidation Bid on Sept. 7
--------------------------------------------------------
The High Court of Auckland will hear the liquidation petition
filed against Dark Elf Developments Ltd on September 7, 2006, at
10:45 a.m.

The Accident Compensation Corporation filed the petition on
July 3, 2006.

The Plaintiff's Solicitor can be reached at:

         Dianne S. Lester
         Maude & Miller, 2nd Floor
         McDonald's Building
         Cobham Court, Porirua City
         New Zealand


ENOTSDALG PTY: Undergoes Voluntary Liquidation
----------------------------------------------
At a general meeting held on August 14, 2006, the members of  
Enotsdalg 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


FELTEX CARPETS: Investigation Unsatisfactory, Green Party Says
--------------------------------------------------------------
Feltex Carpets Limited workers and shareholders left devastated
by the recent NZ$200 million drop in the company's value deserve
more than the unsatisfactory and inappropriate Securities
Commission investigation that was recently completed, Green
Party Economic Development Spokesperson Sue Bradford says.

As reported in the Troubled Company Reporter - Asia Pacific on
August 28, 2006, Feltex shares were halted moments before the
Securities Commission released its decision clearing the company
of prospectus irregularities.  The Commission has found no
breaches of the securities laws in the Prospectus.  Thus, there
was no further action taken in regard to the matter, the TCR-AP
noted.

"The Securities Commission decision to take no further action
seems bizarre, particularly in light of the Commission's own
vision statement, which purports to want to ensure that
'investors can have confidence in New Zealand's securities
markets so that the markets increasingly attract investment.'
Surely the wiping of NZ$200 million off the value of one company
in such a short time completely undermines this goal," Ms.
Bradford contends.

According to Ms. Bradford, in 1997, Credit Suisse First Boston
Asian Merchant Partners purchased Feltex's shares for
NZ$19.5 million, split these into 120 million shares, and
floated them in the IPO at between NZ$1.70 and $1.95 a share in
2004, walking away with a cool NZ$200 million profit.  The
Securities Commission gave Credit Suisse First Boston nine
exemptions under the Securities Act for information not included
in the flawed IPO Prospectus.

Given this involvement, Ms. Bradford relates, it seems highly
inappropriate that the Securities Commission should have been
the body to investigate the IPO, as its ability to fairly
investigate its own actions must be in question.

Ms. Bradford says that it is Feltex workers, Feltex
shareholders, and the regions and communities where Feltex
operates that are the biggest losers after this extraordinary
expropriation of wealth.

Ms. Bradford notes that it is not the first time that Feltex has
been pillaged.  It was raided by Equiticorp in the 1980s and
almost collapsed at the same time Equiticorp did.  The head of
Equiticorp, Allan Hawkins, was eventually convicted and jailed
for fraud, Ms. Bradford relates, noting that it is a tribute to
the workers and local management of Feltex that the company
still remains a profitable carpet manufacturer.

"I hope that Feltex will be able to conclude an agreement with
an investor that keeps the company in kiwi hands, employing kiwi
workers," Ms. Bradford says.

                          About Feltex

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

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

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

The Company is currently undergoing negotiations for a capital
raising exercise, proceeds of which will be used to ease its
NZ$128-million debt to ANZ Bank.


FELTEX CARPETS: Commission Clears Godfrey Hirst Acquisition
-----------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
August 2, 2006, that Feltex Carpets Limited has received a
takeover offer from privately owned Australian rival Godfrey
Hirst for up to 12 cents per share.  Pursuant to an Agreement
between the parties, Godfrey Hirst began due diligence, which
was completed on August 28, 2006.

Subsequently, the Commerce Commission has cleared Godfrey Hirst
to acquire some or all of Feltex's assets.

CC Chairperson Paula Rebstock says that the Commission was
satisfied that the proposed acquisition would not have, or would
not be likely to have, the effect of substantially lessening
competition in any of the relevant markets.

The Commission notes that a public version of its written
decision will shortly be available on its Web site, under Public
Registers, at: http://www.comcom.govt.nz/

                          About Feltex

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

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

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

The Company is currently undergoing negotiations for a capital
raising exercise, proceeds of which will be used to ease its
NZ$128-million debt to ANZ Bank.


FLINDERS POWER: Fitch Affirms BB+ LT Issuer Default Rating
----------------------------------------------------------
Fitch Ratings affirms the 'BBB-' senior secured rating on
Flinders Power Partnership's -- formerly known as NRG Flinders
-- project debt bank facility as well as the its 'BB+' Long-term
Issuer Default Rating and removed the ratings from Rating Watch
Evolving where they were placed on January 16, 2006.  The
Outlook for the ratings is Stable.

The rating actions follow completion of NRG Energy Inc.'s (rated
IDR 'B'/Stable) sale of Flinders Power to Babcock & Brown in
accordance with the latter's proposed financial and acquisition
structure.

The ratings benefit from Flinders Power's importance to the
South Australian market as the provider of around 40% of the
States' electricity supply.  Flinders Power's plants enjoy the
lowest marginal cost as the only coal-fired facilities in the
region.

While Flinders Power relies heavily on two plants in close
geographical proximity, a portfolio approach to the six
available units, as well as a contract position over the
capacity of the Osborne cogeneration facility provides
production flexibility and some ability to 'self-insure'.  Fitch
expects that Flinders Power will continue to exhibit a
conservative hedging position, which is expected to stabilize
its cash flows.  Flinders Power's operating costs are expected
to be relatively predictable through its captive long-term coal
supply, with reserves sufficient until at least 2017.

Flinders Power's relatively high leverage reduces the
partnership's financial flexibility.  Other risks include
Flinders Power's inherited loss-making Osborne contracts, and
its counterparty concentration risk to The Australian Gas Light
Company Limited, although mitigated somewhat by AGL's investment
grade rating from Fitch (rated IDR 'BBB+'/Rating Watch
Negative).

While Flinders Power's coal-fired plants are not new facilities,
Playford was refurbished in 2005 and its performance is
improving in its targeted mid-merit role.

The senior secured rating of 'BBB-' also reflects the strong
structural features of the project finance facility.  Key
enhancements include:

   * first ranking senior secured status;

   * cash flow waterfall (with distribution lock-ups which
     govern distributions to its shareholder);

   * debt service cash reserve;

   * Osborne cash reserve;

   * loss-making Osborne contract structured separately to
     project debt;

   * restrictions on further indebtedness; and

   * other covenants.

Fitch placed its ratings for Flinders Power on RWE on Jan. 16,
2006, after an announcement that its U.S. parent, NRG Energy,
was considering various strategic alternatives with respect to
its Australian investments, including a potential sale of its
assets.  On June 2, 2006, NRG Energy entered into a sale
agreement to sell Flinders Power to the Australian investment
bank Babcock & Brown for approximately AU$317 million
(US$238 million).

The transaction also includes the assumption of AU$238 million
of non-recourse debt.  The acquisition of the Flinders Power
assets will assist Babcock & Brown in its objective of
establishing a Babcock & Brown-managed diversified power
generation fund, potentially by the end of 2006.

Flinders Power is a South Australia-based electricity generator,
originally acquired under 100-year lease by NRG Energy in 2000.
Flinders Power's operations comprise of:

   (a) 960MW of generation capacity, including Northern and
       Playford power stations;

   (b) output from Osborne cogeneration facility (long-term
       power purchase agreement);

   (c) as well as rights to the Leigh Creek coalfield,
       responsibility for the township and the railway.


FORD AUSTRALIA: Fitch Downgrades Issuer Default Rating to 'B'
-------------------------------------------------------------
Fitch Ratings downgrades the Issuer Default Rating of Ford Motor
Company and Ford Motor Credit Company to 'B' from 'B+'.  Fitch
also lowers the Ford's senior unsecured rating to 'B+/RR3' from
'BB-/RR3' and Ford Credit's senior unsecured rating to 'BB-/RR2'
from 'BB/RR2'.  The Rating Outlook remains Negative.

The downgrade is based on the significant production cutbacks in
the third and fourth quarter that reflect persistent share
losses across key product categories.  Negative cash flows,
including restructuring costs, could exceed US$7 billion in
2006, including working capital and restructuring outflows.  
Cash outflows related to restructuring actions will continue in
2007, although operating losses could moderate as cost reduction
efforts are realized.  Sustained market share losses or a
decline in economic conditions through 2007 would result in
continued high levels of cash outflows and erosion of liquidity.  
Although liquidity remains adequate, progress in achieving
structural cost reductions and maintaining the confidence of
trade creditors will remain critical over the near term.

Implicit in the production cutbacks are expectations of
continued weak pickup sales that have resulted in extended
inventories.  Volume declines in Ford's pickup segment, along
with continued declines in mid-size and large SUVs, are likely
to accelerate revenue declines and negative cash flows in 2006.  
Although continued share losses and price erosion were
anticipated as a result of GM's upcoming refreshed pickup line
and the start-up of Toyota's new pickup plant, vulnerability to
this segment has increased as a result of high gas prices, a
potential slowdown in economic conditions, and a contracting
construction segment.  Ford has demonstrated recent growth in
certain car segments, where industry sales have been migrating,
but volumes and profitability in these segments will be
insufficient in the short-term to offset the decline in higher-
margin mid-size and large SUVs and pickups.  Ford's product
pipeline is modest over the near term, although two crossover
products to be introduced in 2006 (the Ford Edge and Lincoln
MKX) are expected to partially offset continued share erosion.

Ford's 'RR3' Recovery Rating reflects good recovery prospects of
50-70% in the event that the Company is forced to seek
protection under Chapter 11.  Recovery values benefit from
Ford's holdings in Mazda, operations in Asia and South America,
very modest recoveries from Premier Automotive Group operations,
and 100% ownership in Ford Credit.  Recovery for senior
unsecured holders also benefits from being in a superior
position to the Capital Trust II securities (which represents
approximately 29% of consolidated debt).  Recovery values
associated with Ford Credit are likely to decline as Ford
Credit's balance sheet shrinks and repatriated capital is used
to finance operating losses.  Fitch's recovery analysis also
projects that due to declining market share and low current
capacity utilization, at least one additional assembly plant
will be shut down (in addition to those already announced).

Fitch's recovery scenario incorporates a Chapter 11 filing of
North American operations only, and would result in significant
claims from working capital liabilities (trade creditors,
dealers, fleet customers, etc.) in addition to unsecured
debtholders.  Fitch also factored in liabilities related to on
and off-balance sheet liabilities that could augment claims.
Fitch did not factor in claims related to potential termination
or alteration of legacy OPEB and pension costs.  In the event of
a filing, Fitch anticipates that Ford would not attempt to
terminate its pension plans (for rationale, please see Fitch's
report on General Motors dated March 1, 2006).  Changes to OPEB
liabilities, are expected to be negotiated as part of a new
labor agreement in the event of a Chapter 11 filing (as is
taking place at Delphi), without resulting in claims against the
estate.  The restructured enterprise value includes reduced
production volumes, and structural cost reductions to an extent
that a 3% operating margin could be achieved in North America.

Declining revenues are unlikely to reverse through 2007 due to
market share losses and declining mix.  Despite modest progress
on the cost side, the pace of cost reductions is not expected to
keep up with revenue losses (assuming continued high commodity
costs), thereby continuing negative cash flows.  Over the
intermediate-term, reducing inventories and producing closer to
demand will enhance even-flow production and production
efficiencies, and reduce reliance on ruinous incentive programs.
However, lower production levels, coupled with already weak
capacity utilization, ill increase short-term cash outflows and
heighten the urgency of achieving substantive structural cost
reductions.

Ford's production cutbacks will also heighten operating and
financial stresses throughout the supply chain, increasing the
risks of further bankruptcies or other supply disruptions.  
Supply chain stresses are expected to result in increased risks
of financial support and will limit the potential for any cost
savings to accrue to Ford over the near term from the
restructuring of the supply base.

Ford Credit's (FMCC) IDR remains linked to those of Ford due to
the close business relationship between them.  Fitch expects
FMCC's earnings and dividends to decline noticeably in 2006
primarily due to lower receivables outstanding and margins.  
FMCC has benefited from lower provision expense, as the quality
of its receivables pool has increased, but the pace of these
improvements is expected to slow going forward.  Fitch believes
that FMCC maintains a good degree of liquidity relative to its
rating.  Supporting this is FMCC's ability to sell or securitize
a broad spectrum of assets such as retail finance, lease, and
wholesale loans.  Moreover, FMCC continues to hold high cash
balances and its assets mature faster than its debt.  FMCC's
'RR2' Recovery Rating indicates superior recovery prospects on
unsecured debt resulting from solid unencumbered asset
protection, although discounted to account for stressed
performance and/or disposition.

Fitch downgrades these ratings with a Negative Rating Outlook:

   * Ford Motor Co.

     -- Issuer Default Rating to 'B' from 'B+';

     -- Senior debt to 'B+' from 'BB-'

   * Ford Motor Credit Co.

     -- Issuer Default Rating to 'B' from 'B+';

     -- Senior debt to 'BB-' from 'BB'.

   * FCE Bank Plc

     -- Issuer Default Rating to 'B' from 'B+-';

     -- Senior debt to 'BB-' from 'BB'

   * Ford Capital B.V.

     -- Issuer Default Rating to 'B' from 'B+';

     -- Senior debt to 'BB-' from 'BB'

   * Ford Credit Canada Ltd.

     -- Issuer Default Rating to 'B' from 'B+';

     -- Senior debt to 'BB-' from 'BB'

   * Ford Motor Capital Trust II

     -- Preferred stock to 'CCC+/RR6' from 'B-/RR6'

   * Ford Holdings, Inc.

     -- Issuer Default Rating to 'B' from 'B+';

     -- Senior debt to 'B+' from 'BB-'

  * Ford Motor Co. of Australia

    -- Issuer Default Rating to 'B' from 'B+';

    -- Senior debt to 'B+' from 'BB-'.

   * Ford Credit Australia Ltd.

     -- Issuer Default Rating to 'B' from 'B+'

     -- Senior debt to 'BB-' from 'BB'

   * PRIMUS Financial Services (Japan)

     -- Issuer Default Rating to 'B' from 'B+'

   * Ford Credit de Mexico, S.A. de C.V.

     -- Issuer Default Rating to 'B' from 'B+'

   * Ford Motor Credit Co. of New Zealand

     -- Issuer Default Rating to 'B' from 'B+';

     -- Senior debt to 'BB-' from 'BB'

   * Ford Credit Co S.A. de CV

     -- Issuer Default Rating to 'B' from 'B+'

     -- Senior debt to 'BB-' from 'BB'

Fitch also affirms these short-term ratings:

   * Ford Motor Credit Co.

     -- Commercial Paper 'B'

   * FCE Bank Plc

     -- Commercial Paper and short-term debt 'B'

   * Ford Credit Canada Ltd.

     -- Commercial Paper 'B'

   * Ford Credit Australia Ltd.

     -- Commercial Paper 'B'

   * Ford Motor Credit Co. of New Zealand

     -- Commercial Paper 'B'


GENESIS LIQUOR: Creditors' Proofs of Claim Due on September 5
-------------------------------------------------------------
Genesis Liquor Distributors Pty Limited notifies parties-in-
interest of its intention to declare dividend on October 13,
2006.

Liquidator David J. Kerr require the company's to file their
proofs of debt by September 5, 2006, for them to share the
dividend distribution.

Mr. Kerr can be reached at:

         David J. Kerr
         RSM Bird Cameron Partners
         Level 12, 60 Castlereagh Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9233 8933
         Facsimile:(02) 9233 8521


GLOBAL 4X4 ACCESSORIES: Creditors Agree to Liquidate Business
-------------------------------------------------------------
The creditors of Global 4x4 Accessories Pty Ltd convened on
July 13, 2006, and decided to liquidate the company's business.

Accordingly, Neil Robert Cussen was appointed as liquidator.

The Liquidator can be reached at:

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


GREENPAC ENTERPRISE: Liquidation Bid Hearing Set on Oct. 12
-----------------------------------------------------------
A petition to liquidate Greenpac Enterprise Ltd will be heard
before the High Court of Auckland on October 12, 2006, at 10:00
a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on July 24, 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
         Inquiries to C. Williams:
         Telephone: (06) 968 4004


H.R HOARE: Members' Final Meeting Scheduled on September 22
-----------------------------------------------------------
Members of H.R Hoare Pty Limited will hold a final meeting on
September 22, 2006, at 10:00 a.m., to receive Liquidator Sule
Arnautovic's report on the company's wind-up proceedings and
property disposal exercises.

According to the Troubled Company Reporter - Asia Pacific, the
company commenced a wind-up of its operations on July 12, 2006.

The Liquidator can be reached at:

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


INDYWELD PTY: Members and Creditors to Receive Wind-Up Report
-------------------------------------------------------------
A final meeting of the members and creditors of Indyweld Pty
Limited will be held on September 22, 2006, at 10:00 a.m.

During the meeting, Liquidator Danny Vrkic will report on the
company's wind-up proceedings and property disposal exercises.

As reported by the Troubled Company Reporter - Asia Pacific on
October 17, 2005, the company commenced a wind-up of its
operations on September 12, 2005.

The Liquidator can be reached at:

         Danny Vrkic
         c/o Jirsch Sutherland & Co Wollongong
         PO Box 573
         Wollongong, New South Wales
         Australia


INDUSTRIAL SWEEPING: Shareholders Opt for Voluntary Liquidation
---------------------------------------------------------------
Shareholders of Industrial Sweeping Ltd resolved on August 16,
2006, to voluntary liquidate the company and appoint Stephen
Mark Lawrence and Anthony John McCullagh as joint and several
liquidators.

In this regard, the company's creditors are required to prove
their debts by September 29, 2006, for them to share in any
distribution the company will make.

According to the Troubled Company Reporter -Asia Pacific, the
Commissioner of Inland revenue filed a petition to liquidate the
company on May 18, 2006.  The petition was scheduled for hearing
on August 24, 2006.

The Joint Liquidators can be reached:

         Stephen Mark Lawrence
         Horwath Corporate (Auckland) Limited
         P.O. Box 3678, Shortland Street
         Auckland, New Zealand
         Telephone: (09) 308 1611
         Facsimile: (09) 302 0536


INFORMATION KIOSK: Court to Hear CIR's Liquidation Petition
-----------------------------------------------------------
A petition to liquidate Information Kiosk Systems NZ Ltd will be
heard before the High Court of Auckland on October 19, 2006, at
10:00 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on July 24, 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
         Inquiries to C. Williams:
         Telephone: (06) 968 4004


JAMES HARDIE: NSW Government Further Extends FFA to September 30
----------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific had reported that
to give time to assess possible options under a Final Funding
Agreement between James Hardie Industries Limited and the NSW
Government, which was established on December 1, 2005, the
parties agreed to extend the deadline to satisfy certain
conditions precedent from June 30, 2006, to July 31, then later
to August 31.

A follow-up report from the Sydney Morning Herald relates that
the NSW Government further extended the deadline until
September 30, 2006.

Premier Morris Iemma said that the extension "will allow further
time for all parties to resolve the outstanding taxation
issues," the paper says.

Asbestos compensation campaigner Bernie Banton argued that James
Hardie "shouldn't be given any further extension of time," the
Australian Associated Press relates.

Still, Mr. Banton is determined reach a compensation deal.

                      About James Hardie

James Hardie Industries Limited -- http://www.jameshardie.com/
-- manufactures, markets and distributes fiber cement and gypsum
products, fiberglass reinforced plastic and PVC products,
sanitary ware and bathroom products, insulating materials and
fillers, strippers and adhesives.  On July 2, 1998, the then
public company announced a plan of reorganization and capital
restructuring.  James Hardie N.V. was incorporated in August
1998 as an intermediary holding company, with all of its common
stock owned by indirect subsidiaries of JHIL.  Effective as of
November 1998, JHIL contributed its fibre cement businesses, its
United States gypsum wallboard business, its Australian and New
Zealand building systems businesses and its Australian windows
business to JHNV and its subsidiaries.

On July 24, 2001, JHIL announced a further plan of
reorganization and capital restructuring, which reorganization
was completed on October 19, 2001.  In connection with the 2001
Reorganization, James Hardie Industries N.V., formerly RCI
Netherlands Holdings B.V., issued common shares represented by
CHESS Units of Foreign Securities on a one for one basis to
existing JHIL shareholders in exchange for their shares such
that JHINV became the new ultimate holding company for JHIL and
JHNV.  Following the 2001 Reorganization, JHINV controls the
same assets and liabilities as JHIL controlled immediately prior
to the 2001 Reorganization.

The Company's troubles began with its "under-funded" allocation
for asbestos claims, which were brought in by people who suffer
or may have diseases caused by exposure to the asbestos-related
products produced by JHIL.  In 2001, James Hardie set up an
independent entity, Medical Research and Compensation
Foundation, to handle asbestos claims.  The Foundation has
warned that it could run out of money within five years.  The
Asbestos Diseases Foundation of Australia and workers unions
called for all the Company's asbestos profits to be immediately
placed in the fund.  James Hardie was later accused of topping
up the dwindling asbestos fund it established.

By 2004, James Hardie's former asbestos manufacturing
subsidiaries -- Amaca Pty Ltd, Amaba Pty Ltd, and ABN 60 Pty Ltd
-- are three of around 150 defendants in asbestos litigation,
and based on the Foundation's own figures, they account for
US$1,000,000,000 of the predicted US$6,000,000,000 future
asbestos liabilities in Australia.  Although James Hardie
stopped making asbestos products in 1987, the average 35-year
latency of mesothelioma, an asbestos-related disease, means
asbestos compensation funds will be needed until mid-century. In
a 2005 report by a company-hired actuary from KPMG, it was
predicted that 4,915 Australians would contract mesothelioma
from exposure to Hardie products in the coming decades.  When
less serious forms of asbestos-related disease are included,
James Hardie should expect to compensate 8,725 victims.

On December 1, 2005, the Company announced that the NSW
Government and a wholly owned Australian subsidiary of the
Company -- LGTDD Pty Ltd -- had entered into a conditional
agreement to provide long-term funding to a special purpose fund
that will provide compensation for Australian asbestos-related
personal injury claims against certain former James Hardie
asbestos companies.  The amount of the asbestos provision of
AU$1 billion, at March 31, 2006, is the Company's best estimate
of the probable outcome, which estimate includes an actuarial
calculation prepared by KPMG Actuaries Pty Ltd of the projected
future cash outflows, undiscounted and uninflated, and the
anticipated tax deduction arising from Australian legislation
which came into force on April 6, 2006.


JOHN STOREY: Liquidator to Present Wind-Up Report on Sept. 22
-------------------------------------------------------------
Members of John Storey Pty Limited will hold a final meeting on
September 22, 2006.

At the meeting, Liquidator Kenneth John Rennie will 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


KEVIN O'SHEA: To Declare Dividend on October 1
----------------------------------------------
Kevin O'Shea & Company Pty Ltd will declare its first and final
dividend to creditors on October 1, 2006, to the exclusion of
those who were not able to prove their claims by August 22,
2006.

The joint and several liquidator can be reached at:

         D. J. Offermans
         c/o Offermans PPB
         Level 7, Suncorp Plaza
         62-73 Sturt Street
         Townsville, Queensland 4810
         Australia
         Telephone:(07) 4724 0000
         Facsimile:(07) 4724 0060


KINGDOM BUILDERS: Faces Liquidation Petition
--------------------------------------------
A petition to liquidate Kingdom Builders Ltd will be heard
before the High Court of Auckland on September 7, 2006, at 10:45
a.m.

The Accident Compensation Commission filed the petition with the
Court on June 26, 2006.

The Plaintiff's Solicitor can be reached at:

         Dianne S. Lester
         Maude & Miller, 2nd Floor
         McDonald's Building
         Cobham Court, Porirua City
         New Zealand


LH NOMINEES: Placed Under Members' Voluntary Wind-Up
----------------------------------------------------
After a meeting held on June 15, 2006, the members of LH
Nominees Pty Limited agreed to voluntarily wind up the company's
operations and appoint David M. McCarthy as joint and several
liquidator.

Mr. McCarthy can be reached at:

         Christopher R. Campbell
         Deloitte Touche Tohmatsu
         Grosvenor Place
         225 George Street
         Sydney, New South Wales 2000
         Australia


MARN-SOU-KUNG: Members to Hold Final Meeting on September 22
------------------------------------------------------------
The members of Marn-Sou-Kung Pty Limited will hold a final
meeting on September 22, 2006, at 10:00 a.m. to receive the
liquidators' report on the company's wind-up proceedings and
property disposal exercises.

The liquidators can be reached at:

         Stephen Graham Longley
         David Laurence Mcevoy
         PricewaterhouseCoopers
         Freshwater Place
         2 Southbank Boulevard
         Southbank, Victoria 3006
         Australia


MOLIORPANTON HOLDINGS: Receiver and Manager Ceases to Act
---------------------------------------------------------
Justin Denis Walsh ceased to act on August 7, 2006, as receiver
and manager of all the assets and undertakings of Moliorpanton
Holdings Pty Ltd.

Mr. Walsh can be reached at:

         Justin Denis Walsh
         Ernst & Young
         Level 5, Waterfront Place
         1 Eagle Street
         Brisbane, Queensland 4000
         Australia


NATIONAL INDUSTRIES: Liquidator Rennie to Present Wind-Up Report
----------------------------------------------------------------
Members of National Industries (NSW) Pty Ltd will hold a final
meeting on September 22, 2006, at 10:30 a.m., to receive
Liquidator Kenneth John Rennie's report on the company's wind-up
proceedings and roperty 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


NAWAB AGRICULTURE: Creditors' Proofs of Claim Due on Sept. 29
-------------------------------------------------------------
Anthony Charles Harris was appointed official Liquidator of
Nawab Agriculture & Horticulture Ltd on August 7, 2006.

Mr. Harris requires the company's creditors to submit their
proofs of claim by September 29, 2006, for them to share in any
distribution the company will make.

The Troubled Company Reporter - Asia Pacific reported on August
1, 2006, that the Accident Compensation Commission filed a wind-
up petition against the company.  The Court heard the petition
on August 7, 2006.

The Liquidator can be reached at:

         Anthony Charles Harris
         Harris Neil & Associates Limited
         Level Two, 181 Devonport Road
         Tauranga, New Zealand
         Telephone: (07) 571 6384


NEILSON PRODUCTIONS: Names Anthony Robert Cant as Liquidator
------------------------------------------------------------
The members of Neilson Productions Pty Ltd convened on
August 11, 2006, and agreed to voluntarily wind up the company's
operations.

In this regard, Anthony Robert Cant was appointed as liquidator.

The Liquidator can be reached at:

         Anthony Robert Cant
         Romanis Cant
         Chartered Accountants
         106 Hardware Street
         Melbourne, Australia


ONE HOBSON: Creditors Must Prove Debts by September 15
------------------------------------------------------
Creditors of One Hobson Street Limited are required to submit
their proofs of claim to Liquidator Bernard Spencer Montgomerie
by September 15, 2006.

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

The Liquidator can be reached at:

         B.S. Montgomorie
         Montgomerie & Associates
         Insolvency Practitioners
         P.O. Box 65, Auckland
         New Zealand
         Telephone: (09) 368 7672
         Facsimile: (09) 307 0174


ORIGIN PACIFIC: To Resume Air Charter and Freight Services
----------------------------------------------------------
On August 31, 2006, Origin Pacific Airways advised that it would
resume an air charter service, the New Zealand Press Association
reports.

The report cites Origin founder and managing director Robert
Inglis' letter to passengers, as saying that the airline would
recommence charter flights, in addition to its freight service,
as the division had operated "significantly profitably".

The Troubled Company Reporter - Asia Pacific reported on
August 11, 2006, that Origin Pacific "has lost its struggle to
survive" and has suspended operations, putting most of its 260
staff out of work immediately.  Thus, Origin Pacific halted its
passenger services on August 10, 2006, after it was unable to
secure the capital urgently needed to reduce its debt.  Origin
Pacific, however, indicated hopes of continuing its freight
operations.

According to Mr. Inglis, Origin was looking at opportunities for
its fleet but was not considering returning to its previous
level of regional scheduled flights "whilst our State-owned
competitor continues to enjoy such an unfettered dominant
position," New Zealand Herald relates.

"The airline is considering a range of initiatives for
recapitalization and options for future operations," Mr. Inglis
notes.

A number of interested parties have formally entered into due
diligence on both Origin Pacific' freight and passenger
businesses, NZPA reveals.

                     About Origin Pacific

Origin Pacific Airways -- http://www.originpacific.co.nz/-- was  
initially launched in 1997 as an air charter service and
continues to offer charters tailored to the specific needs of
business and groups.

Origin Pacific Airways operates from its own purpose-built
facilities at Nelson Airport.  The Company is 100% New Zealand
owned and managed and run by people with extensive knowledge of
air travel and proven success in running airline businesses.

                         *     *     *

The Troubled Company Reporter - Asia Pacific reported on
August 11, 2006, that Origin Pacific Airways was urgently
seeking fresh capital to help reduce debt.  The report noted
that a capital injection was necessary to ensure that the
airline could continue to "provide the competition so sorely
needed in regional aviation services."

However, a subsequent TCR-AP report noted that Origin Pacific
halted its passenger services on August 10, 2006, saying that it
has been unable to secure the capital urgently needed to reduce
its debt.  The action put most of its 260 staff out of work
immediately.


PHILIPS BUILDING: Final Meeting Scheduled on September 22
---------------------------------------------------------
The members and creditors of Philips Building Pty Ltd will hold
a final meeting on September 22, 2006, at 10:00 a.m.

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

   -- receive a report from the liquidator on the company's
      wind-up proceedings that will end on September 22, 2006;

   -- empower the liquidator to destroy all books and records of
      the company on completion of all duties; and

   -- discuss other business.

The Liquidator can be reached at:

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


PICCWICK PTY: Faces Liquidation Proceedings
-------------------------------------------
At an extraordinary general meeting held on August 11, 2006, the
members of Piccwick Pty Ltd resolved to voluntarily liquidate
the company's business.

Subsequently, Laurence A. Fitzgerald was appointed as joint and
several liquidators.

The Joint and Several Liquidators can be reached at:

         Laurence A. Fitzgerald
         Horwath BRI (Vic) Pty Ltd
         Chartered Accountants
         Level 30, The Rialto
         525 Collins Street
         Melbourne, Victoria 3000
         Australia


PIONEER STEEL: Members to Hear Wind-Up Report on September 22
-------------------------------------------------------------
Members of Pioneer Steel Pty Ltd will convene on September 22,
2006, to receive the liquidator'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


PRIMELIFE CORPORATION: PrimeLiving Acquires Elliot Gardens
----------------------------------------------------------
Primelife Corporation Limited advises that PrimeLiving Trust, an
unlisted acquisition trust jointly owned and managed by
Primelife, Babcock & Brown Limited and MFS Limited, has
completed the acquisition of Elliot Gardens Retirement Village
in Port Elliot, South Australia.

Jim Hazel, Primelife Managing Director, notes that the
development is well underway with community facilities close to
completion.

"This acquisition takes total units under management by
Primelife to 2,278 and total units under development to 509,"
Mr. Hazel discloses.

"This is the Trust's first acquisition in South Australia and
will give Primelife an opportunity to grow its business in this
state," Mr. Hazel says.

Primelife manages three other facilities in Adelaide.

Primelife will be responsible for all operational management of
Elliot Gardens and will be the development manager for the
rollout of the remaining units.  Primelife will have an option
to acquire Elliot Gardens from the Trust at appropriate market
prices.

                      About Elliot Gardens

The village is located at Port Elliot, in the South Coast region
of South Australia, about 90 kilometers south of Adelaide. Port
Elliot is a small coastal township about 6 kilometres east
of Victor Harbor and has a permanent population of about 1,000
residents.

Elliot Gardens comprises 69 occupied independent living units in
a total development of 200 two and three bedroom ILUs.  The
community and administration facilities are nearing completion,
with the completed resident's facilities including a workshop
and secure boat/caravan storage yard.  Proposed facilities will
include an indoor pool and bowling green.

                        About Primelife

Headquartered in Melbourne, Australia, Primelife Corporation --
http://www.primelife.com.au-- develops and manages properties  
catering to a wide range of senior living needs, including
independent retirement living, serviced apartments, aged care or
low care hostels and high care nursing homes, and in-home care.
  
Primelife almost skidded into insolvency when, on September 23,
2004, the Australian Securities and Investments Commission filed
37 proceedings in the Federal Court of Australia seeking, among
other things, orders that an investigating accountant be
appointed over managed investment schemes under Primelife to
report to the Federal Court to ascertain the position of each of
the schemes.  ASIC also applied for the schemes to be wound up.

ASIC alleged that the schemes are not registered, as required
under the Corporations Act.  ASIC brought the Federal Court
proceedings against Primelife and a number of other defendants
including parties who, ASIC alleges, have been involved in
promoting and managing the schemes to a large number of
investors since 1997.   

The unregistered schemes are undergoing or were completely wound
up starting October 2005.  The Company had currently resolved
most of the legal issues and was turning the corner after a
couple of years.


SPLASHDOWN HOLDINGS: To Declare Dividend on October 2
-----------------------------------------------------
Splashdown Holdings Pty Ltd will declare its first and final
dividend for ordinary unsecured creditors on October 2, 2006, to
the exclusion of those who were not able to prove claims by
August 22, 2006.

The deed administrator can be reached at:

         J. P. Mcleod
         McLeod & Partners
         Level 3, 380 Queen Street
         Brisbane, Queensland 4000
         Australia


STONEHENGE PROPERTIES: Enters Liquidation Proceedings
-----------------------------------------------------
After a general meeting held on June 30, 2006, the members of
Stonehenge Properties Pty Ltd resolved to voluntarily wind up
the company's operations and appoint James Patrick Downey as
liquidator.

The Liquidator can be reached at:

         J. P. Downey
         Cole Downey & Co
         Chartered Accountants
         Level 1, 22 William Street
         Melbourne, Victoria 3000
         Australia


STYLISH SHOPFITTERS: Members Resolve to Close Business
------------------------------------------------------
At an extraordinary general meeting held on August 1, 2006, the
members of Stylish Shopfitters Pty Limited resolved to close the
company's business and appoint Veronica O'Hara as liquidator.

The Liquidator can be reached at:

         Veronica O'Hara
         15 Watt Place
         Emu Plains
         New South Wales 2750
         Australia


SUN MICROSYSTEMS: Members' Final Meeting Scheduled on Sept. 22
--------------------------------------------------------------
The members of Sun Microsystems Technology Pty Ltd will hold a
final meeting on September 22, 2006, at 11:00 a.m., to hear the
liquidators' report on the company's wind-up proceedings and
property disposal exercises.

The Troubled Company Reporter - Asia Pacific reported on May 8,
2006, that the company commenced a wind-up of its operations on
March 24, 2006.

The liquidators can be reached at:

         Murray Smith
         Anthony McGrath
         McGrathNicol+Partners
         Level 9, 10 Shelley Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9338 2666
         Web site: http://www.mcgrathnicol.com/


SURF CITY: Members and Creditors to Convene on September 22
-----------------------------------------------------------
A final meeting of the members and creditors of Surf City
Holdings Pty Limited will be held on September 22, 2006, at 3:30
p.m.

During the meeting, Liquidator Sule Arnautovic will present
accounts of the company's wind-up and property disposal
exercises.

The Liquidator can be reached at:

         Sule Arnautovic
         Jirsch Sutherland
         Level 2, 84 Pitt Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9233 2111
         Facsimile:(02) 9233 2144


TARANAKI 55: Appoints Joint and Several Liquidators
---------------------------------------------------
Iain Bruce Shephard and Christine Margaret Dunphy were appointed
by the shareholders of Taranaki 55 North Ltd -- formerly known
as Impossible Mission Ltd and Roseleigh on Oriental Bay Ltd --
on August 15, 2006, as joint and several liquidator of the
company.

The Joint Liquidators can be reached at:

         Chris Dunphy
         Shephard Dunphy Limited, Level 2
         Zephyr House, 82 Willis Street
         Wellington, New Zealand
         Telephone: (04) 473 6747
         Facsimile: (04) 473 6748



THEODORE'S ON WINDSOR: Supreme Court Issues Wind-Up Order
---------------------------------------------------------
The Supreme Court of New South Wales has ordered on August 10,
2006, Theodore's on Windsor Pty Ltd to wind up its operations

Subsequently, Steven Nicols was appointed as liquidator.

The Liquidator can be reached at:

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


TRW AERONAUTICAL SYSTEMS: Members and Creditors to Meet Sept. 22
----------------------------------------------------------------
The members and creditors of TRW Aeronautical Systems Australia
Limited will convene on September 22, 2006, at 10:30 a.m.

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

   -- receive the formal receipts and payments from the
      liquidator;

   -- receive formal notice of the end of the administration;

   -- resolve that the company be dissolved; and

   -- resolve that the books and records of the company be  
      destroyed.

The liquidator can be reached at:

         Cliff Sanderson
         CRS Warner Sanderson
         Level 5, 30 Clarence Street
         Sydney, New South Wales 2000
         Australia


VILLA DEVELOPMENTS: Members Pass Resolution to Wind Up Firm
-----------------------------------------------------------
At a general meeting held on August 17, 2006, the members of
Villa Developments Pty Ltd resolved to voluntarily liquidate the
company's business and distribute the proceeds of its assets
disposal.

Accordingly, Robert Bates was appointed as liquidator.

The Liquidator can be reached at:

         Robert Bates
         Casey Bates
         Chartered Accountant
         Suite 2, Level 6
         20 Smith Street
         Parramatta, Australia


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

CHINA EASTERN: Seeks Austerity Measures to Avert Losses
-------------------------------------------------------
China Eastern Airlines' net loss in the first half of 2006 ended
June 30 almost tripled to CNY1.7 billion, or US$213 million,
while its fuel costs rocketed 86% year-on-year on the back of
rising fuel prices and an expansion of its fleet, China Daily
reports.

In an attempt to minimize losses, Xu Bin, deputy manager of
China Eastern's system operations department, said that the
airline is considering cutting the number of in-flight magazines
from four to two as it can save an airline millions of dollars a
year.

"Fewer magazines do not simply mean less subscription fees.  It
is the equivalent to a fully loaded Airbus 300 plane and the
huge amount of fuel it would consume," Mr. Xu said.

Mr. Xu explained that as the airline currently has a fleet of
199 planes with 27,800 seats, two magazines per seat would
result in an additional weight of 40 tons, China Daily relates.

"We can't do much about rising oil prices, but we can always
take measures to use less oil and control our costs," said China
Eastern Board Secretary Luo Zhuping.

Another major measure taken by the airline is the establishment
of an airline operations control system.  The system --
developed in the United States --promotes efficiency, according
to China Daily.

In the past, a plane's oil tank was filled with a fixed amount
of fuel before take-off, with the figure only adjusted on a
seasonal basis, however, the AOC system means that the amount of
fuel is now adjusted according to the plane's daily
requirements.

In another measure to cut costs, pilots are being urged to fly
higher to reduce air pressure and close down some unnecessary
equipment during flights, China Daily says.

In addition, an awards system was also set up to encourage staff
to introduce cost-saving measures, the report adds.

                          *     *     *

Headquartered in Shanghai, China, China Eastern Airlines
Corporation Limited's -- http://www.ce-air.com- principal  
activity is operation of domestic and international commercial
air transportation.  The Group also is involved in the common
aircraft industry. Other activities include general aviation,
air catering, advertisement, import and export, equipment
manufacturing, real estate, hotel business, finance and
training. The fleet includes more than 60 large and medium size
airplanes, Airbus and Boeing mostly.  Its operation centering
from Shanghai to the whole People's Republic of China and
linking to Asia, Europe, America and Australia.

On April 28, 2006, Fitch Ratings downgraded China Eastern's
Foreign Currency and Local Currency Issuer Default Ratings to B+
from BB-.  The outlook on the IDRs is stable.

According to the rating agency, the downgrade primarily reflects
China Eastern's substantially declined profitability, caused by
a 36.8% hike in operating expenses relative to a 28.4% growth in
revenues, and increased debt levels, which substantially
weakened the carrier's major credit ratios.


CYBER RESOURCES: Declares Final Dividend
----------------------------------------
Cyber Resources and Technology declared its first and final
dividend on August 21, 2006.  

The payment was made at the office of Joint and Several
Liquidators Kelvin Edward Flynn and Cosimo Borrelli.

The Joint Liquidators can be reached at:

         Cosimo Borrelli
         5/F., Allied Kajima Bldg
         138 Gloucester Road
         Wanchai, Hong Kong


GDMR (HONG KONG): Joint Liquidators Step Aside
----------------------------------------------
Lai Kar Yan, Derek and Darach E. Haughey ceased to act as joint
and several liquidators of GDMR (Hong Kong) Ltd on August 8,
2006.

Mr. Lai and Mr. Haughey can be reached at:

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


HANG SENG: Members' Final Meeting Fixed on September 21
-------------------------------------------------------
Members of Hang Seng Credit Card will convene on September 21,
2006, 10:30 a.m. at the Meeting Room of Hang Seng Bank Ltd, 83
Des Voeux Road Central, Level 8, in Hong Kong.

At the meeting, Joint Liquidators Chan Shet Hung, Suzanne and Li
Chi Chung will present a report regarding the company's wind-up
and property disposal activities.

According to the Troubled Company Reporter - Asia Pacific,
members resolved on April 28, 2006, to voluntary wind-up the
company's operations.


HODEX DEVELOPMENT: Creditors and Contributories Hold Meeting
------------------------------------------------------------
The creditors and contributories of Hodex Development Ltd
convened for their first meeting on August 29, 2006, at the
Official Receiver's office.

According to The Troubled Company Reporter - Asia Pacific, Yung
Sau Lan filed a wind-up petition against the company in November
2005.  Subsequently, the Court issued a wind-up order on July 5,
2006.

The Official Receiver can be reached at:

         E. T. O'Connell
         10/F., Queensway
         Government Offices
         66 Queensway
         Hong Kong


HOI FUNG ALUMINUM: Creditors & Contributories Meeting Convened
--------------------------------------------------------------
Creditors and contributories of Hoi Fung Aluminum Engineering Co
Ltd convened for their first meeting on August 29, 2006.


HOPEWELL HOLDINGS: Unveils Plans to Boost Property Investment
-------------------------------------------------------------
Hopewell Holdings unveiled its plans for property investment
projects in Kowloon Bay and Happy Valley with an estimated total
price tag of more than HKD1 billion, The Standard reports.

Company Chairman Gordon Wu Ying-sheung was quoted by the paper
as saying, the projects were part of its plans to develop its
existing land bank to unlock the group's value.

The Standard relates that the company is working on a plan to
almost double the gross floor area of its property portfolio to
more than six million square feet in 2012 from 3.6 million sqft
this year.

Thomas Jefferson Wu, deputy managing director and the chairman's
son, relates that based on the company's current project, The
Happy Valley currently require investments of about HKD500
million, or HKD4,500 per square foot.

Land purchase has been completed for the site at 12 Broadwood
Road, which will be developed as luxury residential rental
property, he said.  The project will generate a gross floor area
of 113,900 square feet when completed in the fourth quarter of
2009.

Planning for the revamp of the Hong Kong International Trade and
Exhibition Centre in Kowloon Bay into an entertainment and
shopping complex has also been finalized, Wu said.

Scheduled to open in the second half of 2007, the complex will
have a gross floor area of about 900,000 square feet.  Analysts
estimate the cost of the revamp at between HKD500 million and
HKD900 million. Wu said details would be released shortly.

Meanwhile, Hopewell recorded its highest net earnings for the
past 11 years.  Based on the company's financial statement
submitted to Hong Kong Stock Exchange, its full-year net profit
rose to HKD2.25 billion from HKD1.91 billion a year earlier on
higher mainland toll-road income and asset sales.  

Stripping out revaluation on investment properties, underlying
profit rose 16% to HKD1.92 billion - in line with analysts'
estimates and the highest since Hopewell earned HKD2.17 billion
in the fiscal year ended June 1995.  Turnover jumped 19% to
HKD2.72 billion.  Hopewell increased its final dividend by 26
percent.

Meanwhile, the company is planning to get involved in the
construction of a bridge linking Hong Kong, Zhuhai and Macau
through its unit, Hopewell Highway Infrastructure (0737).

The company has yet to finalize plans to seek partners as it is
still awaiting a financial proposal by a working group of the
three cities, The Standard says.

                          *     *     *

Hopewell Holdings Limited -- http://www.hopewellholdings.com/--
principal activities are investment in infrastructure projects
in roads and highway projects; property development and
investment, that includes property letting, agency and
management; hotel ownership and management,; and restaurant
operations and food catering.  The Group operates in Hong Kong,
Mainland China and Macau.

Fitch affirmed on February 27, 2006, Hopewell Holdings' Foreign
Currency Long Term Debt rating at BB.


HUNG FUNG: Names New Committee of Inspection Member
---------------------------------------------------
Wong Chun Hung -- a representative from July First Holdings Co
Ltd and a creditor to Hung Fung Holdings Ltd -- was appointed on
June 9, 2006, as member to the company's Committee of
Inspection.


JOIN-IN SHIRT: Liquidator Ceases to Act for Company
---------------------------------------------------
E. T. O'Connell ceased to act as Liquidator of Join-in Shirt Ltd
on July 27, 2006.

Mr. O'Connell can be reached at:

         E. T. O'Connell
         10/F., Queensway
         Government Offices
         66 Queensway
         Hong Kong        


KAM FAI: Liquidator Presents Wind-Up Report
-------------------------------------------
Members and creditors of Kam Fai International Finance Co Ltd
convened for their final meeting on August 29, 2006.

At the meeting, Liquidator Bruno Arboit presented a report
regarding the Company's wind-up and the manner its properties
were disposed of.


LEASUM LIMITED: Appoints Joint and Several Liquidators
------------------------------------------------------
The High Court of Hong Kong appointed on July 12, 2006, Wong Man
Chung, Francis and Wong Wai Man, Cliff as joint and several
liquidators for the wind-up of Leasum Ltd.

The Joint Liquidators can be reached at:

         Wong Man Chung, Francis
         19/F., No. 3 Lockhart Road
         Wanchai, Hong Kong


NEW AGE: Final Members' Meeting Set on September 19
---------------------------------------------------
Members of The New Age Foundation Ltd will convene on
September 19, 2006, 11:00 a.m. for their final meeting to be
held at Liquidator Lam Ying Sui's office.

During the meeting, Liquidators Lam will present a report on the
company's wind-up proceedings and its property disposal
activities.

On July 19, 2006, the Troubled Company Reporter - Asia Pacific
reported that the company's operations was placed under
voluntary wind-up through a members' special resolution passed
on July 13, 2006.

The Liquidator can be reached at:

         Lam Ying Sui
         Room 1005, Allied Kajima Bldg
         138 Gloucester Road, Wanchai
         Hong Kong


OCEAN JET: Creditors and Contributories Hold First Meeting
----------------------------------------------------------
Creditors and contributories of Ocean Jet Development Ltd
convened for their first meeting on August 30, 2006, at the
Official Receiver's office

According to The Troubled Company Reporter - Asia Pacific, Win
Mode Industries Ltd filed a wind-up petition against the company
in June 2005.  Subsequently, the Court ordered the company's
wind-up on June 27, 2006.

The Official Receiver can be reached at:

         E. T. O'Connell
         10/F., Queensway
         Government Offices
         66 Queensway
         Hong Kong


TITAN PETROCHEMICALS: First Half Earnings Drop to HKD65.4 Mil.
--------------------------------------------------------------
Titan Petrochemicals Group recorded a 74% drop in its first half
net profit earnings due to soaring oil prices and the absence of
HKD138-million disposal gain it received in the same period last
year, the People Daily reports.

Based on the company's financial statement submitted to the Hong
Kong Stock Exchange, net profit fell to HKD65.39- million, or
HKD1.35 cents per share, for the six months ended June, compared
with HKD255 million, or HKD5.26 cents, a year ago.  

However, its revenue rose 82.4% to HKD6.47 billion.

Titan said revenue from its core oil-transportation business
jumped 46% to HKD1.08 billion, due to its expanded fleet
capacity and a 7% increase in tank rate for Very Large Crude
Carriers in the first half.

"I expect our growth momentum in the second half will be better
than the first half due to the positive outlook of the
transportation business," said chairman Berry Cheung Chun-yuen.

"We are in a good position to cash in on the booming market -
not only the higher freight rate, but also the trend for falling
fuel costs in the second half."

VLCC rates for July were almost 30 percent higher than in the
same period last year and the momentum continued to build,
Cheung said.  The freight rate for VLCCs is expected to increase
more than 7% in the second half as oil consumption reaches the
peak season, which will further drive demand.

Mr. Cheung said that an increase in transportation capacity of
refined oil products would provide steadier income.

"Refined oil products will hold a significant weighting over the
next two years," he added.

Crude-oil transportation accounts for 90% of the company's
business, with refined products accounting for the rest, the
People Daily relates.

Meanwhile, Titan has set aside US$70 million or HKD546 million
to US$80 million for capital expenditure this year and 2007,
down from US$400 million in 2005.  Currently, Titan has HKD786
million in cash.


Headquartered in Hong Kong, with strategic business operations
in Singapore, Malaysia and China, Titan Petrochemicals Group
Limited -- http://www.petrotitan.com-- is an integrated oil  
service provider, offering a broad range of oil services,
including transportation, storage, distribution, including ship
refueling (bunkering) and supply. Titan operates and manages a
fleet of over 30 oil tankers ranging from 400 to 270,000
deadweight tones.

On May 4, 2006, the Troubled Company Reporter - Asia Pacific
reported that the Standard & Poor's Ratings Services has revised
its outlook on Titan Petrochemicals Group Ltd. to negative from
stable.  At the same time, it affirmed the "BB-" long-term
corporate credit rating on Titan.  The "B+" issue rating on the
company's senior unsecured notes was also affirmed.

Meanwhile, Moody's Investors Service on July 20, 2006,
downgraded the corporate family rating of Titan Petrochemicals
Group Ltd to B1 from Ba3.  At the same time, Titan's senior
unsecured bond rating has been downgraded to B2 from B1.  The
outlook for both ratings is stable.  This concludes the ratings
review initiated in April 2006.


UNION WAY: Court Appoints Joint Liquidators
-------------------------------------------
The High Court of Hong Kong appointed on July 27, 2006, Wong Man
Chung, Francis and Wong Wai Man, Cliff as joint and several
liquidators of Union Way Technology Ltd.

The Joint Liquidators can be reached at:

         Wong Man Chung, Francis
         19/F., No. 3 Lockhart Road
         Wanchai, Hong Kong


Y & H ENGINEERING: Names Chung and Man as Joint Liquidators
-----------------------------------------------------------
On July 12, 2006, the High Court of Hong Kong appointed Wong Man
Chung, Francis and Wong Wai Man, Cliff as joint and several
liquidators for the wind-up of Y & H Engineering Co Ltd.

The Joint Liquidators can be reached at:

         Wong Man Chung, Francis
         19/F., No. 3 Lockhart Road
         Wanchai, Hong Kong


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

AES CORP: Accrues US$12M Liability in 2Q06 for Remediation Costs
----------------------------------------------------------------
The AES Corporation has accrued US$12 million liabilities for
projected environmental remediation costs, as of June 30, 2006.

On Nov. 27, 2002, the Company's subsidiary, AES Eastern Energy
LLP, informed the New York State Department of Environmental
Conservation and the United States Environmental Protection
Agency that nitrogen oxide (NOx) exceedances appeared to have
occurred on Oct. 30 and 31, and Nov. 1-8 and 10 of 2002.

The exceedances were discovered through an audit by plant
personnel of the Plant's NOx Reasonably Available Control
Technology tracking system.  Upon the discovery of the
exceedances, the selective catalytic reduction at the Somerset
plant was activated to reduce NOx emissions.

AES Eastern Energy learned of a notice of violation issued by
the NYSDEC for the NOx RACT exceedances through a review of the
November 2004 release of the EPA's Enforcement and Compliance
History database.  However, AES Eastern Energy has not yet seen
the NOV from the NYSDEC.

AES Eastern Energy is negotiating with NYSDEC concerning this
matter.

                         About AES Corp.

The AES Corporation (NYSE:AES) -- http://www.aes.com/-- is a  
power company with operations in South America, Europe, Africa,
Asia and the Caribbean.  The Company generates 44,000 megawatts
of electricity through 124 power facilities, and delivers
electricity through 15 distribution companies.

AES's business group in Asia & Middle East is comprised of
electric utilities and generation plants in China, Kazakhstan,
Oman, Qatar, Pakistan, Sri Lanka and India.  Fuels include coal,
diesel, hydro, gas and oil.

                          *     *     *

As reported in the Troubled Company Reporter on May 25, 2006,
Fitch affirmed The AES Corporation's Issuer Default Rating at
'B+'.  Fitch also affirmed and withdrew the ratings for the
company's junior convertible debt.  The Rating Outlook for all
remaining instruments is Stable.

As reported in the Troubled Company Reporter on March 31, 2006,
Standard & Poor's Ratings Services raised its corporate credit
rating on diversified energy company The AES Corp. to 'BB-' from
'B+'.  S&P said the outlook is stable.

As reported in the Troubled Company Reporter on Jan. 11, 2006,
Moody's affirmed the ratings of The AES Corporation, including
its Ba3 Corporate Family Rating and the B1 rating on its senior
unsecured debt.  Moody's said the rating outlook remains stable.


AES CORP: Plaintiffs File Opening Brief in Calif. Suit Appeal
-------------------------------------------------------------
Plaintiffs filed an opening brief in an appeal of the dismissal
by the San Diego County Superior Court, California, of a
remanded antitrust class action against AES Corp. and other
electric companies.

In November 2000, the company was named in a purported class
action along with six other defendants, alleging unlawful
manipulation of the California wholesale electricity market,
allegedly resulting in inflated wholesale electricity prices
throughout California.  

The alleged causes of action include violation of the Cartwright
Act, the California Unfair Trade Practices Act and the
California Consumers Legal Remedies Act.  

In December 2000, the case was removed from the San Diego County
Superior Court to the United States District Court for the
Southern District of California.   

On July 30, 2001, the court remanded the case to San Diego
Superior Court.  The case was consolidated with five other
lawsuits alleging similar claims against other defendants.  

In March 2002, the plaintiffs filed a new master complaint in
the consolidated action, which reasserted the claims raised in
the earlier action and names the company, AES Redondo Beach,
LLC, AES Alamitos, LLC, and AES Huntington Beach, LLC as
defendants.  

In May 2002, the case was removed by certain cross-defendants
from the San Diego County Superior Court to the U.S. District
Court for the Southern District of California.  The plaintiffs
filed a motion to remand the case to state court, which was
granted on Dec. 13, 2002.   

Certain defendants appealed aspects of that decision to the U.S.
Court of Appeals for the Ninth Circuit.  On Dec. 8, 2004, a
panel of the Ninth Circuit issued an opinion affirming in part
and reversing in part the decision of the District Court, and
remanding the case to state court.  

On July 8, 2005, defendants filed a demurrer in state court
seeking dismissal of the case in its entirety.  On Oct. 3, 2005,
the court sustained the demurrer and entered an order of
dismissal.  On Dec. 2, 2005, plaintiffs filed a notice of
appeal.   

Plaintiffs-appellants filed their opening appeal brief on
June 16, 2006.  Defendants-appellees anticipate filing their
responsive brief in or about mid-August 2006.

The federal suit is "Gordon v. Reliant Energy Inc., et al., Case
No. 3:00-cv-02525-RHW-RBB," filed in the U.S. District Court for
the Southern District of California under Judge Robert H. Whaley
with referral to Judge Ruben B. Brooks.  

Representing the plaintiffs is Ralph B. Kalfayan of Krause
Kalfayan Benink and Slavens, 1010 Second Avenue, Suite 1750, San
Diego, CA 92101, Phone: (619) 232-0331, Fax: (619) 232-4019.

Representing the defendants are:

    (1) Katherine Koransky Pothier of Coughlan Semmer and
        Lipman, 501 West Broadway, Suite 400, San Diego, CA
        92101-3544, Phone: (619) 232-0800, Fax: (619) 232-0107;
        and

    (2) Stephen David Raber and Richard Hackney Wiegmann of
        Williams and Connolly, 725 12th Street North West,
        Washington, DC 20005, Phone: (202) 434-5000, Fax:
        (202) 434-5029.

                         About AES Corp.

The AES Corporation (NYSE:AES) -- http://www.aes.com/-- is a  
power company with operations in South America, Europe, Africa,
Asia and the Caribbean.  The Company generates 44,000 megawatts
of electricity through 124 power facilities, and delivers
electricity through 15 distribution companies.

AES's business group in Asia & Middle East is comprised of
electric utilities and generation plants in China, Kazakhstan,
Oman, Qatar, Pakistan, Sri Lanka and India.  Fuels include coal,
diesel, hydro, gas and oil.

                          *     *     *

As reported in the Troubled Company Reporter on May 25, 2006,
Fitch affirmed The AES Corporation's Issuer Default Rating at
'B+'.  Fitch also affirmed and withdrew the ratings for the
company's junior convertible debt.  The Rating Outlook for all
remaining instruments is Stable.

As reported in the Troubled Company Reporter on March 31, 2006,
Standard & Poor's Ratings Services raised its corporate credit
rating on diversified energy company The AES Corp. to 'BB-' from
'B+'.  S&P said the outlook is stable.

As reported in the Troubled Company Reporter on Jan. 11, 2006,
Moody's affirmed the ratings of The AES Corporation, including
its Ba3 Corporate Family Rating and the B1 rating on its senior
unsecured debt.  Moody's said the rating outlook remains stable.


CEMENT CORPORATION: Awaits BIFR's OK on Revamp and Assets Sale
--------------------------------------------------------------
The Heavy Industries and Public Enterprises Ministry will sell
off Cement Corporation of India's seven defunct units to
generate funds for the revival of the firm's three remaining
plants, India eNews reports.

The disposal, which has recently obtained the cabinet's
approval, is expected to raise INR6 billion, the report says.

According to India eNews, the Government is waiting for the
Board of Industrial and Financial Reconstruction's approval of
the company's restructuring package before it could proceed with
the proposed sale.

Aside from the funds that will be raised through the sale, the
Government has drafted an INR18-billion revival package for
Cement Corp's remaining viable units -- Tandur in Andhra
Pradesh, Bokajan in Assam, and Rajban in Himachal Pradesh, India
eNews reveals.  The scheme also includes writing off some of the
company's high-cost debts.

India eNews relates that the units that are up for sale have
been non-operational for many years mainly due to financial
constraints.  The seven units have a total of 300 employees.

As reported by the Troubled Company Reporter - Asia Pacific on
March 13, 2006, the closure of the seven non-operational units
is expected to reduce the outgo on payment of idle wages and
enable the Government to sell the assets to meet liabilities and
infuse fresh funds for the expansion and modernization of three
units to make them self-sufficient and profit generating.

                    About Cement Corporation of India

Cement Corporation of India Limited --
http://www.cementcorporation.com/-- was incorporated in 1965 as  
a wholly owned undertaking of the Government of India.  The
Corporation started incurring losses since 1984-85 and its net
worth was eroded completely in the year 1994-95.  In March 2006,
the Government has cleared a revival package for the ailing
public state utility.  

The Company's revival package includes:

   * the closure and sale of assets of seven ailing units;

   * the expansion of three units at an investment of
     INR141.11 crore;

   * the waiver of interests on government loans, worth
     INR886.22 crore; and

   * the conversion of loans worth INR355.43 crore into
     redeemable preference capital.

The closure of the seven non-operational units is expected to
reduce the outgo on payment of idle wages and enable the
Government to sell the assets to meet liabilities and infuse
fresh funds for the expansion and modernization of three units
to make them self-sufficient and profit generating.  Pursuant to
the revival plan, Cement Corporation will also get a plan
assistance amounting INR30.67 crore and a non-plan assistance of
INR153.62 crore.  The Company will have to repay loans worth
INR304.52 crore to the Government.


DAEWOO INDIA: Assets Sale Attracts One Bidder
---------------------------------------------
The Ruia Group was the only bidder qualified to acquire Daewoo
Motor's entire passenger car unit at Surajpur in Uttar Pradesh,
Business Standard reports, citing the Press Trust of India.

According to The Standard, other firms like Tatas, Mahandras and
Ford are not eligible to bid for Daewoo Motor India as they do
not have plans to take over all the assets of the auto-making
unit.

Money Control relates that auto components maker Jai Bharat
Maruti has also evinced interest in Daewoo India's partial
assets.  General Motors India, which withdrew last year plans to
purchase Daewoo India's small car assembly plant, is reportedly
planning to revive talks with the Asset Reconstruction Company
of India.

However, the Debt Recovery Tribunal told ARCIL, which has the
mandate to auction the Daewoo plant, that it prefers to sell the
unit as a whole and not in pieces, Money Control says.

The Troubled Company Reporter - Asia Pacific reported on
August 18, 2006, that the reserve price for the entire assets of
the defunct carmaker has been maintained at about INR1,100
crore.  

The TCR-AP further stated that the proceeds of the sale will be
shared between the revenue department and Daewoo India's lenders
based on the 45:55 ratio that was approved by the Cabinet
Committee on Economic Affairs in June 2006.  The Government's
dues from Daewoo Motor India are primarily in the form of custom
duty claims amounting to over INR1,000 crore and also dues
resulting from alleged financial mismanagement by the Company.  
The lenders too have claims of about INR1,000 crore.

Meanwhile, the TCR-AP added that workers at the Daewoo facility
were hoping for a successful outcome of the bidding process so
they could finally claim their dues, according to Business Line.  
The workers, who have not received their wages since April 2003,
have sought payment of approximately INR86 crore from the
official liquidator.  There are currently about 1,433 workers on
the Daewoo payroll.

Daewoo Motors India went into liquidation pursuant to a wind-up
order issued by the High Court of Delhi on August 28, 2004.

The auction for the Daewoo plant had been opened last year by
the Debt Recovery Tribunal but since there were was no one party
willing to buy all the assets of the unit, the auction was
scrapped and a fresh bidding process was restarted.

ARCIL is hoping that the Ruia group will cough up INR800 crore
to INR1000 crore for all of Daewoo's assets, Money Control
relates.  


FORD MOTOR: Executive Committee Chairman Robert E. Rubin Resigns
----------------------------------------------------------------
Ford Motor Company disclosed that Robert E. Rubin, director and
chairman of the Executive Committee and member of the Office of
the Chairman of Citigroup Inc., has resigned from the Company's
Board of Directors.  Mr. Rubin joined the board in 2000.

In a letter to Bill Ford, Mr. Rubin said, "As the Board
undertakes its upcoming review of strategic options, Citigroup's
multi-faceted relationship with Ford could raise a question
whether my relationship with Ford and Citigroup creates an
appearance of conflict.  Although no conflict currently exists
and while I would have liked to remain involved, I have with
great regret concluded that I should resign from the Board at
this time."

Commenting on the announcement, Bill Ford, chairman and chief
executive officer, said, "I greatly appreciate the many valuable
contributions Bob has made to Ford Motor Company during his six-
year tenure.  He brought strategic thinking to every situation
and has been a wise and generous counselor to me and to the
company. However, I understand and respect Bob's prudent
decision to resign as we continue to explore future strategic
options."

                         About Ford Motor

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

Fitch Ratings downgraded on August 18, 2006, the Issuer Default
Rating of Ford Motor Company and Ford Motor Credit Company to
'B' from 'B+'.  Fitch also lowered Ford's senior unsecured
rating to 'B+/RR3' from 'BB-/RR3' and Ford Credit's senior
unsecured rating to 'BB-/RR2' from 'BB/RR2'.  The Rating Outlook
remains Negative.

Standard & Poor's Ratings Services on August 18, 2006, placed
its 'B+' long-term and 'B-2' short-term ratings on Ford Motor
Co., Ford Motor Credit Co., and related entities on CreditWatch
with negative implications.  The 'BB-' long-term rating and 'B-
2' short-term ratings on FCE Bank PLC, Ford Motor Credit's
European bank, were also placed on CreditWatch with negative
implications, reflecting its linkage to the Ford rating.


SILICON GRAPHICS: Rosen Slome Hired as Panel's Conflicts Counsel
----------------------------------------------------------------
The Official Committee of Unsecured Creditors in Silicon
Graphics, Inc., and its debtor-affiliates' chapter 11 cases,
obtained permission from the United States Bankruptcy Court for
the Southern District of New York to retain Rosen Slome Marder
LLP as its conflict counsel, nunc pro tunc to June 7, 2006.

As reported in the Troubled Company Reporter, July 3, 2006, RSM
is expected to:

    a. represent the Committee in connection with the
       investigation of liens and claims of the Debtors'
       prepetition secured lenders against the Debtors' estates,
       and the pursuit of claims against the lenders;

    b. represent the Committee with regard to other matters, if
       any, related to the prepetition secured lenders;

    c. assist Winston and Strawn in matters relating to the
       Debtors' proposed debtor-in-possession financing;

    d. advise the Committee and represent it concerning any
       other matters with respect to which Winston & Strawn may
       have a potential conflict of interest; and

    e. perform other professional services at the request of the
       Committee, including without limitation, those set forth
       In Section 1103.

RSM will be paid on an hourly basis in accordance with its
customary hourly rates, subject to periodic adjustments to
reflect economic and other conditions.  The firm's current
hourly rates are:

          Partners                      US$325 to US$380
          Paralegals and Associates     US$100 to US$285

Neither RSM nor its professionals hold or represent any other
entity having an adverse interest with respect the proceedings,
assures Thomas R. Slome, a partner of the firm.

                     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: Will Pay US$1.6M Prepetition Custom Duties
------------------------------------------------------------
The United States Bankruptcy Court for the Southern District of
New York authorizes Silicon Graphics, Inc., and its debtor-
affiliates to pay all prepetition Delivery Charges up to an
aggregate of US$1,650,000.

As reported in the Troubled Company Reporter on May 26, 2006,
the Court authorized the Debtors to pay prepetition obligations
up to an aggregate of US$1,300,000.

Shai Y. Waisman, Esq., at Weil, Gotshal & Manges LLP, in New
York, tells the Court that the Debtors have become aware of
additional outstanding prepetition Delivery Charges for
US$350,000.  Majority of the outstanding US$350,000 is owed SSI
on account of invoices billed to the Debtors after the Petition
Date by several United Parcel Services entities, DHL Worldwide
Express and Danzas DHL Freight, who each hold a significant
portion of the Debtors' spare parts inventory in over 100
locations worldwide.

Mr. Waisman asserts that the satisfaction of obligations owed in
respect of the prepetition Delivery Charges will allow the
Debtors to minimize costs and comply with customer deadlines.

                      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: Will Remit Contract Surcharges for US$75,000
--------------------------------------------------------------
The Hon. Burton R. Lifland of the United States Bankruptcy Court
for the Southern District of New York authorizes Silicon
Graphics Inc. and its debtor-affiliates to remit:

    (i) US$50,000 to the General Services Administration
        representing the Industrial Fund Fees collected from
        counterparties to their General Services Administration
        Multiple Schedule contracts; and

   (ii) US$25,000 to the National Aeronautics and Space
        Administration representing the outstanding surcharges
        collected from counterparties to their Scientific &
        Engineering Workstation Procurement III contracts.

As reported in the Troubled Company Reporter on July 11, 2006,
the Debtors sought authority from the Court for to remit the
amounts they hold on account of the Industrial Fund Fees and
Scientific & Engineering Workstation Procurement Surcharges to
the GSA and NASA.

The contract surcharges currently held by the Debtors are not
property of the Debtors' estates and can, therefore, be remitted
to NASA and the GSA, as applicable, Shai Y. Waisman, Esq., at
Weil, Gotshal & Manges LLP, in New York, told Judge Lifland.  
The Debtors do not have legal or equitable interest in the
Surcharges, he said.  The Debtors hold the Surcharges in
constructive trust.

Mr. Waisman explained that the Surcharges do not reflect payment
for goods or services rendered to the Debtors by the GSA and
NASA; instead, they are handling fees owed by the Debtors'
customers to the GSA and NASA.  In transmitting the fees, the
Debtors act merely as conduits on the customers' behalf.

                     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: Morgan Lewis Hires CRA Int'l as Consultants
-------------------------------------------------------------
The United States Bankruptcy Court for the Southern District of
New York approved the request of Silicon Graphics, Inc., and its
debtor-affiliates to allow Morgan, Lewis & Bockius LLP to employ
of CRA International, Inc., as consultants, nunc pro tunc to the
Debtors' bankruptcy filing.

As reported in the Troubled Company Reporter on Jul 14, 2006,
the Debtors acknowledge that it is essential for Morgan Lewis,
their special intellectual counsel, to employ consultants
because of the nature of their operations and contemplated
reorganization.

As consultants for Morgan Lewis', CRA will provide analysis,
advice, and an expert report, if necessary, with respect to the
valuation of certain patents held by the Debtors.  To the extent
litigation arises with respect to patent issues, CRA will
analyze and respond to testimony proffered and provide
deposition or expert testimony.

In exchange for its services, CRA will be paid based on its
customary hourly rates:

          Position                          Hourly Rate
          --------                          -----------
          Presidents and Vice Presidents    US$400 to US$815
          Principals                        US$360 to US$580
          Associate Principals              US$300 to US$460
          Senior Associates                 US$250 to US$400
          Consulting Associates             US$225 to US$310
          Associates                        US$185 to US$275
          Analysts                          US$170 to US$200
          Other Support                     US$105

Jonathan D. Yellin, general counsel and vice president of the
firm, assured the Court that his firm is a "disinterested
person" as that term is defined in Section 101(14) of the
Bankruptcy Code, as modified by Section 1107(b) 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.


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

INDOSAT: Posts IDR549-Bil. Net Income For the First Half of 2006
----------------------------------------------------------------
For the half-year period ended June 30, 2006, PT Indosat Tbk
recorded operating revenues and operating income amounting to
IDR5.77 trillion and IDR1.57 trillion, respectively, according
to a company press release.

The company posted a net income of IDR548.8 billion, a 30.2%
decrease compared with the figure reported for the first half of
2005.  

For the half-year period ended June 30, 2006, cellular, MIDI,
and fixed telecommunication services contributed 74.4%, 16.1%
and 9.5% to operating revenues, respectively.

                       Operating Revenues

Cellular services revenues

In the first half of 2006, Indosat recorded cellular operating
revenues of IDR4.29 trillion, a 0.5% decrease from the
IDR4.31 trillion posted in the first half of 2005.  As of end-
June 2006, the company had 13,859,914 subscribers, 95% of which
are prepaid subscribers.

Following the new marketing initiatives in April and June 2006,
subscribers increased by 903,734 and usage revenues increased by
9.4% in the second quarter compared to the first quarter of
2006.

   Cellular Services                1Q 2006       2Q 2006
                                    -------       -------
   Total cellular subscriber     12,956,180    13,859,914
   Net add subscriber            (1,556,273)      903,734

   Cellular revenues (IDR billion)

   Usage                            1,156.1       1,264.5
   Features                           723.1         703.5
   Others                             292.7         150.9
                                    -------       -------
   Total                            2,171.9       2,118.9

MIDI services

Operating revenues from MIDI services grew 13.1%, from
IDR820.1 billion in the first half 2005 to IDR927.3 billion in
first half 2006, despite the increased competition from domestic
and international providers.

The increase in MIDI revenues is contributed by growth of IP
based services (IP VPN), such as Frame relay, IPVPN and Internet
access as well of wholesale services.

Fixed Telecommunication services

Operating revenues from fixed telecommunication services
decreased 15.3%, from IDR648.3 billion in the first half of 2005
to IDR548.9 billion in the first half of 2006.  Indosat's
international call traffic grew especially the incoming traffic,
and this made an increase of IDD revenues in the second quarter
of 2006.

                       Operating expenses

Operating expenses increased by IDR335.0 billion, or 8.7%, from
IDR3.864 trillion in the first half of 2005 to IDR4.20 trillion
in the first half of 2006, primarily due to increased expenses
for depreciation and amortization, marketing, leased circuit,
and other cost of services.

Depreciation and amortization expenses increased by 17.7% from
IDR1.477 trillion in the first half of 2005 to IDR1.738 trillion
in the first half of 2006 due to increase in capital expenditure
especially for cellular equipments.

Leased Circuit expenses increased by IDR23.2 billion, or 33.4%,
from IDR69.5 billion in the first half of 2005 to
IDR92.6 billion in the first half of 2006 due to increase for
Internet circuit and transponder leasing of MIDI and cellular
services.

Marketing expenses increased by IDR26.9 billion or 17.0%, from
IDR158.7 billion in the first half of 2005 to IDR185.6 billion
in the 2006 first half due to aggressive campaigns in the second
quarter 2006.

Other cost of services expenses increased by IDR88.7 billion, or
12.4%, from IDR714.0 billion in the first half of 2005 to
IDR802.7 billion in the first half of 2006.  Cost of SIM cards &
pulse reload vouchers contributed around 30% of total cost of
services, and increased by IDR51.5 billion or 27.2% year on
year, due to provision for obsolete and net realizable value of
inventory.

The company recorded a decreased other expenses account from
IDR764.7 billion in the first half of 2005 to IDR744.5 billion
in the first half of 2006.

                         Status of Debt

As of June 30, 2006, the company had outstanding debt of
IDR11.63 trillion, which includes Loans payable (including
current maturities and unamortized debts issuance cost) of
IDR1.70 trillion and bonds payable (including current
maturities, unamortized bonds/notes issuance cost and
unamortized notes discount) of IDR9.94 trillion.  

                      Capital Expenditures

In the first half of 2006, Indosat committed IDR2.823 trillion
for capital expenditure with this breakdown:

   i. IDR2.247 trillion for cellular network;
  ii. IDR421.6 billion for fixed telecom, MIDI and Backbone;
iii. IDR104.1 billion for Network and Information Technology;
  iv. IDR50.0 billion for Region and Property

For 2006, Indosat plans to spend for the capital expenditure of
around US$700 million of which around 80% will be allocated for
cellular business.

Indosat's press release includes these financial highlights:

Financial Summary
For First-Half Ended June 30
In IDR Billion

                                  2005       2006    %Change
                                  ----       ----    -------
   Operating Revenues          5,780.7    5,767.1       -0.2
   Operating Expense           3,864.3    4,199.3        8.7
   Operating Income            1,916.4    1,567.8      -18.2
   Net Income                    786.3      548.8      -30.2
   EBITDA                      3,393.7    3,306.1       -2.6

Financial Ratios                             2005       2006
                                             ----       ----   
   EBITDA Margin                            58.7%      57.3%
   Interest Coverage                       578.9%     536.7%
   Debt to EBITDA                          222.5%     220.8%
   Net Debt to Equity                       42.5%      56.0%

                      Recent Developments

Indosat Received Annual Report Award

On August 11, 2006, Indosat received the Annual Report Awards
for the 2nd winner for Non-Financial Private Listed Category.  
The Award was conducted by the Ministry of State Own Enterprise,
Directorate General Tax, Capital Market Supervisory Agency, Bank
Indonesia, Jakarta Stock Exchange, National Committee Good
Corporate Governance Regulation and Indonesia Accountant Union.

Indosat Launched Starone in Palembang

On August 5, 2006, PT Indosat launched Fixed Wireless Access
(FWA) through its brand Jagoan and StarOne Postpaid for
Palembang area as part of its plan to expand FWA services in 15
cities during year 2006.  Besides Palembang, currently StarOne
is available in 8 cities in Indonesia, Jakarta, Bogor, Surabaya,
Malang, Medan, batam, Pekanbaru and Palembang.

Indosat Launched Poin Plus Plus Program

On August 29, 2006, Indosat launched the program so called "Poin
Plus Plus," an appreciation program for all Indosat's wireless
subscribers either those as postpaid subscribers (Matrix,
Starone) or prepaid ones (Mentari, IM3, Jagoan), through poin
collection based mechanism from usage and voucher reloading as
well as the of subscription period.

                         About Indosat

PT Indosat Tbk -- http://www.indosat.com/-- is a fully  
integrated Indonesian telecommunications network and service
provider and provides a full complement of national and
international telecommunications services in Indonesia.  The
company is a provider of international long-distance services in
Indonesia.  It also provides multimedia, data communications and
Internet services to Indonesian and regional corporate and
retail customers.  The company's principal cellular service is
the provision of airtime, which measures the usage of its
cellular network by its customers.  Airtime is sold through
postpaid and prepaid plans.  It provides a variety of
international voice telecommunications services and both
international switched and non-switched telecommunications
services.  MIDI services include high-speed point-to-point
international and domestic digital leased line broadband and
narrowband services, a high-performance packet-switching service
and satellite transponder leasing and broadcasting services.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on May 22,
2006, that Moody's Investors Service has affirmed the Ba1 local
currency corporate family rating of PT Indosat Tbk, and the Ba3
foreign currency senior unsecured bond rating of Indosat Finance
Company B.V. and Indosat International Finance Company B.V.  The
bonds are irrevocably and unconditionally guaranteed by Indosat.  
The outlooks for the ratings remain positive.

A TCR-AP report on June 7, 2006, stated that Fitch Ratings
affirmed PT Indosat Tbk's long-term foreign and local currency
Issuer Default Ratings at 'BB-'.  The outlook on the ratings is
stable.


MEDIA NUSANTARA: Moody's Affirms (P)B1 Family and Bond Rating
-------------------------------------------------------------  
Moody's Investors Service has affirmed its provisional (P)B1
corporate family and bond rating on PT Media Nusantara Citra.
This follows the company's announcement that the bond size to be
issued will reduce to up to US$182 million from the initial
proposed US$230 million.  The ratings outlook is stable.

Moody's commented that the downsizing does not have any rating
impact.  "It will moderately improve interest and leverage
metrics but not sufficiently to change the rating" said Moody's
analyst Angela Choi.  Other changes to the company's business
including the decision not to proceed with the acquisition of a
share in Indovision are also ratings neutral.

Moody's expects to affirm the ratings and remove them from their
provisional status upon completion of the bond issuance.

MNC, headquartered in Jakarta, Indonesia is an integrated media
company with operations in television broadcasting network,
radio and print media.  It is the leader in Indonesia's FTA TV
broadcasting market, owning 3 FTA TV networks out of a total of
11, and captured the largest audience and ADEX shares in 2005.
MNC is 100% owned by PT Bimantara Citra Tbk, which is listed on
Jakarta Stock Exchange.


MEDIA NUSANTARA: S&P Affirms 'B+' Senior Secured Debt Rating
------------------------------------- ----------------------
Standard & Poor's Ratings Services affirmed its 'B+' rating on
senior secured debt of up to US$182 million to be issued by
Indonesia's PT Media Nusantara Citra's wholly-owned subsidiary,
Media Nusantara Citra B.V.  The notes are unconditionally and
irrevocably guaranteed by MNC and some of its subsidiaries,
excluding PT Rajawali Citra Televisi Indonesia and PT
Cipta Televisi Pendidikan Indonesia.  The size of the issue has
been reduced from the initial proposed amount of US$230 million
as the company delays entering its pay TV business.

RCTI and TPI, however, will become subsidiary guarantors of this
issuance once RCTI's local currency bonds are fully paid, which
is not later than October 2008, TPI is fully acquired by MNC,
and TPI's debt is fully repaid, upon completion of the new bond
issuance.  The proceeds that will be received by Media Nusantara
Citra B.V. will be on-lent to RCTI and TPI and these inter-
company loans will be assigned to bondholders as security.  This
will mean that the new bondholders will be the largest creditor
at RCTI and the only creditor at TPI until all guarantees are
put in place.  With the intercompany loans as security,
bondholders will have a direct claim to the operating assets of
RCTI and TPI for amounts up to the intercompany loans as if they
were an unsecured creditor to the company.  The rating on the
notes is subject to final documentation.

"The rating on MNC reflects the concentration of MNC's cash
flows from a single source, an aggressive financial profile,
intense competition in Indonesia's TV broadcasting industry, and
the weaker credit profile of its parent," said Standard & Poor's
credit analyst Yasmin Wirjawan.  "These weaknesses are, however,
partially offset by MNC's leading market position in Indonesia's
TV advertising market, its established local language programs
that are popular with viewers, and the favorable growth
prospects for advertising spending in Indonesia," she added.

MNC's flagship broadcasting station is operated by RCTI, which
contributed nearly all of MNC's operating EBITDA in the first
half of 2006.

MNC's reliance on RCTI will remain high in the near to medium
term.

Indonesia's TV broadcasting industry is highly competitive, with
11 free-to-air TV stations, of which MNC owns three.  The
industry is also fragmented, and no single TV network captures
more than 21% of viewers.

The company's financial profile is aggressive, as debt to EBITDA
is expected to reach 3.5x-4.0x in the near term, while the ratio
of funds from operations to debt could decline to 15%-20%.
Including cash programming cost, debt to equalized EBITDA is
projected to peak at 5x-6x in the near term.  The company also
plans to spend US$89 million in 2006 and 2007 for an expansion
program that will be mostly financed by debt.

The credit profile of MNC is linked to that of its parent, PT
Bimantara Citra Tbk., given the latter's full ownership in MNC,
shared senior management, and control over MNC's business
strategy and financial policy.

MNC is the only integrated media company in Indonesia, with its
three TV stations capturing 38% of audience share and 32% of
advertising expenditures as of May 2006.  The company produces
and owns more than 50% of its programming, measured by hours,
mainly in local language, providing MNC with the flexibility to
control the timing, quality, costs, and the ability to tailor
specific target audiences suitable to advertisers.

The company is likely to benefit from robust growth in
advertising spending in Indonesia, which has grown at a
compounded annual rate of 24% over the past 10 years.
Advertising spending is expected to continue rising
steadily in the near to medium term, with the improved domestic
economic outlook.  TV advertising is the main advertising medium
in Indonesia, and accounts for more than 60% of advertising
spending.

MNC's near-term liquidity is weak.  At June 30, 2006, the
company had cash balance of about IDR137 billion (US$14.4
million), and IDR400 billion marketable securities (mostly
bonds).  These were insufficient to cover debt due in one year
of IDR728 billion.  However, this will be mitigated by the new
bond issuance as it will be used to refinance part of the
group's debt including short-term loans (US$114 million),
acquire the remaining 25% stake in TPI (US$25 million), and the
balance to fund working capital as well as other general
corporate purposes.


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

DAIEI INC: Marubeni to Sell Part of Stake to Retail Giants
----------------------------------------------------------
Trading house Marubeni Corporation is keen on selling part of
its 44.6% holding in Daiei Inc. to either Aeon Co or Wal-Mart
Stores Inc., Crisscross News reveals.

As reported in the Troubled Company Reporter - Asia Pacific on
August 18, 2006, Marubeni became Daiei's largest shareholder in
August by purchasing shares held by government bailout agency
Industrial Revitalization Corporation of Japan.

Crisscross reports that the stake sale is in line with
Marubeni's plan to tie up with one of the two supermarket chain
operators.  The partner will become Daiei's third-largest
shareholder after Marubeni and Advantage Partners LLP, an
investment fund holding a 23.5% stake.

Marubeni plans to make a final decision following negotiations
with other major retail chain operators, but Aeon is seen as a
prime candidate because of its expertise in developing goods and
outlets, The Yomiurin Shimbun says.

The Mainichi Daily News cited Aeon President Motoya Okada as
saying that his company is set to partner with Daiei in October
this year by acquiring a 10% stake from Marubeni.

Marubeni, meanwhile, has asked Wal-Mart and Aeon to outline how
they would rebuild operations and distribution systems and to
propose how big a stake they would be willing to take in Daiei,
Reuters relates, citing The Nihon Kezai.  

According to The Japan Times, Aeon -- which had tried
unsuccessfully to be picked as the leader or Daiei's
rehabilitation -- has been seeking tie-ups with supermarkets in
the Tokyo metropolitan area.  On the other hand, United States-
based Wal-Mart wants to boost its position in the Asian market
by tying up with Daiei.

But despite what Aeon's president reportedly said, the firm
stressed it is not involved in talks with Marubeni over
obtaining Daiei shares at present.

Daiei also released a statement saying it is not involved in
talks with a specific third party.

                         About Daiei Inc.

Headquartered in Hyogo, Tokyo, Daiei Incorporated
-- http://www.daiei.co.jp/-- operates about 3,000 stores  
through its subsidiaries and franchisees.  Its retail businesses
include supermarkets, discount stores, department stores, and
specialty shops.  Other businesses include restaurants, hotels,
and real estate services.  Domestic sales make up more than 90%
of its revenues.  Daiei diversified haphazardly during the 1980s
loading up on debt and failing to keep up with new, more
efficient competitors.  Daiei, with the support of the
Industrial Rehabilitation Corporation of Japan, has decided to
close 54 stores nationwide, including subsidiaries, as part of
its new business reconstruction plan.

Daiei has been rehabilitated under the auspices of the
Industrial Revitalization Corp. of Japan after accumulating huge
debts during the bubble economy of the late 1980s.  With the
IRCJ's help since late 2004, Daiei's finances have started to
show a recovery as it has shut down unprofitable stores and sold
subsidiaries.  

As reported by the Troubled Company Reporter - Asia Pacific on
August 18, 2006, Marubeni assumed the leading role in Daiei's
turnaround efforts by acquiring the entire 33.67% stake held by
the IRCJ in Daiei.  Marubeni now holds a 44.6% stake in Daiei.


LEAR CORP: Faces Consolidated ERISA Violations Suit in Michigan
---------------------------------------------------------------
Lear Corp. is a defendant in a purported consolidated class
action filed in the United States District Court for the Eastern
District of Michigan that alleges violations of the Employment
Retirement Income Security Act.

In April 2006, a former employee of the company filed a
purported class action against the company, members of its board
of directors, members of its Employee Benefits Committee and
certain of its human resources personnel alleging violations of
ERISA with respect to the company's retirement savings plans for
salaried and hourly employees.  

In the second quarter of 2006, the company was served with three
additional purported ERISA class actions, each of which
contained similar allegations against the company, its board of
directors, members of its Employee Benefits Committee and
certain of its members of senior management and its human
resources personnel.  

The complaints allege that the defendants breached their
fiduciary duties to plan participants in connection with the
administration of those plans.   

The fiduciary duty claims are largely based on allegations of
breaches of the fiduciary duties of prudence and loyalty and of
over-concentration of plan assets in the company's common stock.  

The plaintiffs purport to bring these claims on behalf of the
plans and all persons who were participants in or beneficiaries
of the plans from 2000 to the present and seek to recover losses
allegedly suffered by the plans.  The complaints do not specify
the amount of damages sought.   

No determination has been made that a class action can be
maintained, and there have been no decisions on the merits of
the cases.   

In June 2006, the court entered an order consolidating these
four lawsuits.  The company intends to vigorously defend the
consolidated lawsuit.

The suit is "Malloy v. Lear Corp., et al., Case No. 5:06-cv-
11735-JCO-VMM," filed in the U.S. District Court for the Eastern
District of Michigan under Judge John Corbett O'Meara with
referral to Judge Virginia M. Morgan.   

                         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.


LIVEDOOR: Books JPY6.4-Billion Net Loss in Third Quarter
--------------------------------------------------------
Livedoor Co. registered a JPY6.4-billion net loss in the nine-
month period to June 30, 2006, as a result of an alleged
accounting fraud scandal that led to the arrest of the company's
top executives in January this year, Reuters reports, citing
Kyodo News.

The company recorded a one-off loss of JPY12.2-billion due to
the discontinuation of a range of its business plans including
one for an online bank, Reuters says.  Livedoor withdrew a
license application for the bank from the Financial Services
Agency.

Livedoor's operating revenue, however, soared 94.6% to
JPY101.7 billion after Carchs Co. -- a used-car subsidiary
formerly known as Livedoor Auto Co. -- joined the Livedoor
group.  According to Reuters, the higher revenue was a result of
the consolidation of Carch's financial results with Livedoor's.

Meanwhile, the group operating profit fell 0.9% to JPY6.1
billion as the recovery process for revenue from Internet
advertising on its portal site was delayed with advertisers
distancing themselves from the scandal-tainted company, Reuters
reveals.

                          *     *     *

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

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

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


SANYO ELECTRIC: Wants to Delist from Nadaq and 3 Local Bourses
--------------------------------------------------------------
Sanyo Electric Company is planning to have its stock delisted
from the Sapporo Securities Exchange, the Nagoya Stock Exchange
and the Fukuoka Stock Exchange due to sluggish trading in its
shares, Reuters reports.

At about the same time, it will withdraw its American Depositary
Receipts from the United States' Nasdaq market while continuing
to have its shares traded on the Tokyo Stock Exchange and the
Osaka Securities Exchange, Reuters relates.

The company expects the delisting to be completed by the end of
the year.

                       About Sanyo Electric

Incorporated in Japan in 1947, Sanyo Electric Company, Limited
-- http://www.global-sanyo.com/-- manufactures a broad range of  
electronic products grouped into six categories: video
equipment, audio equipment, home appliances, industrial and
commercial equipment, information systems and electronic
devices, and batteries and other products.

In its business-restructuring plan, Sanyo planned to downsize
its global workforce of 96,000 by 15% to 14, 400 over a three-
year period, and to concentrate on developing environment
friendly products and technologies and sell 20% of a 2-million
square meter property occupied by its factories in Japan.  The
Company stated that it had completed its downsizing in March
2006, two years ahead of schedule.

                          *     *     *

Standard & Poor's Ratings Services gave Sanyo Electric a 'BB'
long-term corporate credit and 'BB+' long-term senior unsecured
debt ratings, which were placed on Creditwatch with negative
implications after the Company disclosed its plan to form a
joint venture with Taiwan's Quanta Computer, Inc., in the flat
panel TV business.


XM SATELLITE: June 30 Balance Sheet Shows US$1.035B Deficit
-----------------------------------------------------------
XM Satellite Radio Inc.'s working capital deficit decreased by
about 2.7%, or US$29.18 million, from US$1.064 billion at
Dec. 31, 2005 to US$1.035 billion at June 30, 2006.

The Company had US$329.14 million in current assets and
US$1.364 billion in current liabilities at June 30, 2006,
compared with US$285.14 million in current assets and
US$1.350 billion in current liabilities at Dec. 31, 2005.

For the six months ended June 30, 2006, cash used in operating
activities was US$433.4 million, consisting of a net loss of
US$378.3 million adjusted for net non-cash expenses of
US$264.5 million, US$4.5 million gain on sale of fixed assets
and US$315.0 million used in working capital as well as other
operating activities. For the same period in 2005, cash used in
operating activities was US$85.3 million.

For the six months ended June 30, 2006, cash used in investing
activities was US$87.2 million, compared with US$102 million for
the same period in 2005.

For the six months ended June 30, 2006, cash provided by
financing activities was US$240.7 million, compared with
US$399.8 million for the same period in 2005.

On May 1, 2006, XM Satellite Radio Holdings Inc. announced that
its subsidiary, the Company, had completed an US$800 million
debt offering, consisting of US$600 million of 9.75% Senior
Notes due 2014 and US$200 million of Senior Floating Rate Notes
due 2013, each at the issue price of 100%.  Substantially all of
the proceeds of the debt offering have been or are being applied
to refinance existing debt or other fixed obligations.

On May 5, 2006, the Company entered into a new US$250 million
revolving credit facility with a group of banks.  It has the
right to increase the size of the facility by up to
US$100 million, with any increase to be syndicated on a "best
efforts" basis with no lender being required to increase its
commitment.

On April 19, 2006, the Company entered into a series of
amendments to arrangements with General Motors Corp. under which
it made a prepayment in the amount of US$237 million to General
Motors to retire about US$320 million of fixed payment
obligations that would have come due in 2007, 2008 and 2009
under the distribution agreement with General Motors.

                      About XM Satellite

Headquartered in Washington, D.C., XM Satellite Radio Inc.
(Nasdaq: XMSR) -- http://www.xmradio.com/-- is a wholly owned  
subsidiary of XM Satellite Radio Holdings Inc.  XM has been
publicly traded on the NASDAQ exchange since Oct. 5, 1999.  XM's
2006 lineup includes more than 170 digital channels of choice
from coast to coast: the most commercial-free music channels,
plus premier sports, talk, comedy, children's and entertainment
programming; and 21 channels of the most advanced traffic and
weather information.  XM has broadcast facilities in New York
and Nashville, and additional offices in Boca Raton, Florida;
Southfield, Michigan; and Yokohama, Japan.

At June 30, 2006, XM Satellite Radio Inc.'s balance sheet showed
a stockholders' deficit of US$358,079,000, compared to a deficit
of US$362,713,000, at Dec. 31, 2005.

                          *     *     *

As reported in the Troubled Company Reporter on April 21, 2006,
Standard & Poor's Ratings Services assigned its 'CCC' rating to
XM Satellite Radio Inc.'s proposed US$600 million senior
unsecured notes.  The senior unsecured notes are rated one notch
below the corporate credit rating because of the sizable amount
of secured debt in the company's capital structure relative to
its asset base.

At the same time, Standard & Poor's assigned its 'B-' rating and
recovery rating of '1' to XM's proposed US$250 million first-
lien secured revolving credit facility, indicating an
expectation of full recovery of principal in the event of a
payment default.


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

KOOKMIN BANK: Preliminary Data Show Highest BIS Capital Ratio
-------------------------------------------------------------
Kookmin Bank posted a 15.20% BIS capital adequacy ratio as of
the end of June 2006, 2.25 percentage points higher than the
12.95% ratio it held as of the end of 2005, according to a press
release from South Korea's Financial Supervisory Commission
showing preliminary data.

The Korea Herald explains that the capital adequacy ratio is set
by the Bank for International Settlements to measure the
soundness of 18 banks in Korea.  The BIS ratio stood at 13.08%
on average in June, up from 13% at the end of December 2005.

Kookmin has the highest BIS capital ratio among seven national
banks in South Korea and is higher than the average of 12.75%
for all nationwide banks, and the 13.08% overall average ratio.

Other banks in the same league includes:

   * Korea Exchange Bank, which posted a 0.21 percentage point
     improvement to get a 13.89% BIS capital ratio as of the end
     of June 2006, and;

   * Citibank Korea with a 14.28% ratio, down 0.75 percentage
     points.

The FSC Preliminary Data also show:

                   BIS Capital Ratio by Bank

                      Dec.   Dec.   Dec.   Dec.   June
                      2002   2003   2004   2005   2006  Change
                      ----   ----   ----   ----   ----  ------
Korea Exchange Bank   9.31   9.32   9.47  13.68  13.89   0.21
Citibank Korea       12.11  10.98  12.42  15.03  14.28  -0.75
Kookmin              10.41   9.81  11.14  12.95  15.20   2.25

                       About Kookmin Bank

Kookmin Bank -- http://inf.kbstar.com/-- provides various  
commercial banking services, such as deposits, credit cards,
trust funds, foreign exchange transactions, and corporate
finance.  The bank also offers Internet banking services.

                          *     *     *

Moody's Investors Service gave Kookmin Bank a Bank Financial
Strength rating of D+ effective March 27, 2006.

Fitch Ratings gave the bank a B/C rating.


KYONGNAM BANK: Posts Lowest Capital Ratio Among Regional Banks
--------------------------------------------------------------
Kyongnam Bank posted an 11.42% BIS capital ratio as of the end
of June 2006, according to preliminary data from South Korea's
Financial Supervisory Commission.

The Korea Herald explains that the capital adequacy ratio is set
by the Bank for International Settlements to measure the
soundness of 18 banks in Korea.  The BIS ratio stood at 13.08%
on average in June, up from 13% at the end of December 2005.

The data show that the result is 0.83 percentage points higher
than the 10.59% BIS capital ratio Kyongnam had at the end of
2005.  It is, however, lower than the 11.63% average for all
regional banks in South Korea.

The FSC press release details BIS Capital Ratios at the end of
the years 2002 until 2005 and the end of June 2006 for these
regional banks:

                      2002   2003   2004   2005   2006  Change
                      ----   ----   ----   ----   ----  ------
   Daegu             10.85  10.58  10.66  11.33  11.60   0.27
   Busan             11.69  11.66  10.84  12.25  11.61  -0.64
   Kwangju           11.03  10.72  11.81  11.60  11.89   0.29
   Jeju              11.71  10.96  10.91  11.71  12.22   0.51
   Jeonbuk           11.35  10.79  10.72  11.53  11.54   0.01

                      About Kyongnam Bank

Kyongnam Bank -- http://www.kyongnambank.co.kr/-- has served as    
a regional financial center of South Gyeongsang Province from
its stronghold bases in Masan, Changwon and Ulsan, the three
major industrial centers in Korea.

Fitch Ratings gave Kyongnam Bank an individual rating of 'C'
effective April 25, 2006.


STANDARD CHARTERED FIRST BANK: Last in BIS Capital Ratio
--------------------------------------------------------
Woori Bank has the lowest BIS capital ratio as of the end of
June 2006 among nationwide banks with 10.22%, 0.17 percentage
points lower than the 10.74% as of the end of 2005, states a
press release from South Korea's Financial Supervisory
Commission.

The preliminary results show that Woori Bank has a lower BIS
capital ratio than the average of 12.75% for all nationwide
banks, and 13.08% for all South Korean banks.

The Korea Herald explains that the capital adequacy ratio is set
by the Bank for International Settlements to measure the
soundness of 18 banks in Korea.  The BIS ratio stood at 13.08%
on average in June, up from 13% at the end of December 2005.

The FSC press release details BIS Capital Ratios for these
nationwide banks at the end of the years 2002 until 2005 and the
end of June 2006:

                   BIS Capital Ratio by Bank

                      2002   2003   2004   2005   2006  Change
                      ----   ----   ----   ----   ----  ------
   Shinhan           10.92  10.49  11.94  12.23  11.77   -0.46
   Woori             11.59  11.23  12.20  11.65  11.48   -0.17
   SC First Bank     11.55  12.00  11.91  10.74  10.22   -0.52
   Hana              10.30  11.17  11.83  13.29  11.70   -1.59

                      About SC First Bank

Standard Chartered First Bank Korea Ltd. --
http://www.scfirstbank.com/-- is a commercial bank that offers  
a  wide range of financial services.  The company's offerings
include loans, deposits, credit card, trust accounts, financial
derivative transactions, corporate banking, consumer banking,
and investment banking services.  SC First Bank is the sixth
largest commercial bank in Korea with total assets of
KRW60.2 trillion as of March 31, 2006.  Through its nationwide
network of 404 branch offices, SC First Bank serves some 3.5
million clients in Korea.

Moody's Investors Service gave SC First Bank a Bank Financial
Strength Rating of 'D+'.

Fitch Ratings gave the bank a 'C' Individual Rating.


TRIGEM COMPUTER: Gets Letters of Interest from Lenovo & 9 Others
----------------------------------------------------------------
TriGem Computer, Inc., has received letters of interest from
Lenovo Group, Ltd., and nine other interested parties as of
August 25, 2006, Bloomberg News reports, citing the Korean
Economic Daily.

Japanese PC maker MCJ Co., Ltd., also expressed interest to buy
TriGem, according to Reuters, citing the same Korean newspaper.

Bang Yeong Il, an official at Zoomee Communication, TriGem's
public relations agency, confirmed to Bloomberg that 10 bids
were received, but refused to reveal the potential buyers' names
or the bid amounts.

The Suwon District Court, Bankruptcy Division, in South Korea,
has estimated TriGem's value at KRW200 billion to KRW250 billion
-- US$209 million to US$261 million -- Reuters relates.

As reported in the Troubled Company Reporter - Asia Pacific on
June 7, 2006, TriGem put its assets up for sale pursuant to a
corporate reorganization plan agreed to by TriGem's creditors
and shareholders, and approved by the Suwon District Court on
January 5, 2006.  TriGem will use the sale proceeds for a
"single lump repayment" of reorganization debt and normalization
of the company's operations.

TriGem has retained the consortium of Samjong KPMG FAS, Inc.,
Samhwa Accounting Corp. and Barun Law in connection with the
sale.

TriGem and its M&A Advisors will select a number of prospective
bidders who will be allowed to conduct due diligence before
submitting binding offers.  Only Qualified Bidders will be
allowed to conduct preliminary due diligence, which includes
factory visit and management presentation from September 6 to
19, 2006.

Qualified Bidders must submit binding offers to Samjong KPMG FAS  
by September 27, 2006.

A preferred bidder will be selected on September 29, Mr. Bang
said, according to Bloomberg.

TriGem has not yet scheduled an auction.

                          About TriGem

Headquartered in Ansan City, Kyunggi-Do, Korea, TriGem Computer
Inc. -- http://www.trigem.com/--  manufactures desktop PCs,   
notebook PCs, LCD monitors, printers, scanners, other computer
peripherals, and PIDs and supplies over four million PCs a year
to clients all over the world.

The Troubled Company Reporter - Asia Pacific reported on
June 20, 2005, that the Suwon District Court has authorized
TriGem's receivership and gave it a chance to revive its
operations.  The Suwon Court then appointed the Company's former
president and chief executive officer Park Il-hwan as
supervisor.

Mr. Park, also as TriGem's Foreign Representative, filed a
chapter 15 petition on Nov. 3, 2005, with the United States
Bankruptcy Court for the Central District of California (Bankr.
C.D. Calif. Case No. 05-50052), seeking recognition of TriGem's
case pending under the Corporate Reorganization Act in Korea as
a foreign main proceeding.  Charles D. Axelrod, Esq., at Stutman
Treister & Glatt, P.C., represents the Foreign Representative in
the U.S.

TriGem America Corporation, an affiliate of the Debtor, filed
for chapter 11 protection on June 3, 2005 (Bankr. C.D. Calif.
Case No. 05-13972).  TriGem Texas, Inc., another affiliate of
the Debtor, also filed for  chapter 11 protection on June 8,
2005 (Bankr. C.D. Calif. Case No. 05-14047). (TriGem Bankruptcy
News, Issue No. 3 Bankruptcy Creditors' Service, Inc., 215/945-
7000).


* Banks BIS Capital Ratios Up Slightly
--------------------------------------
Preliminary figures show that banks' BIS capital ratios averaged
13.08% at the end of June 2006, compared with end-2005 average
of 13.00%, according to a press release from South Korea's
Financial Supervisory Commission.

The Korea Herald explains that the capital adequacy ratio is set
by the Bank for International Settlements to measure the
soundness of 18 banks in Korea.

Bank capital rose KRW9.1 trillion or 8.8% on robust net income
totaling KRW8.1 trillion for the first half of 2006, compared
with KRW64.6 trillion or 8.2% jump in risk-weighted assets.  
Tier-1 capital rose 11.0% (KRW8.1 trillion) versus a 3.3%
increase (KRW1.0 trillion) for tier-2 capital.

The press release details BIS Capital Ratios for the end of the
years 2001 until 2005 and the end of June 2006:

                      2001   2002   2003   2004   2005   2006
                      ----   ----   ----   ----   ----   ----
BIS capital ratio    11.68  11.33  11.16  12.08  13.00  13.08
Tier-1 capital ratio  7.70   7.16   6.95   7.97   9.32   9.57

The capital ratio rose for nine banks but fell for the others.  
Banks with higher capital ratios were helped by strong earnings.
Kookmin Bank and the National Agricultural Cooperative
Federation increased their tier-2 capital by KRW1.9 trillion and
KRW800 billion, respectively, with subordinated debt issues.  
For most of the banks with lower capital ratios than at end of
2005, capital increases did not keep pace with increases in
risk-weighted assets.  Capital ratio for Shinhan Bank fell
modestly following its merger with Chohung Bank on April 1,
2006.  All the banks reported BIS capital ratio higher than 10%
at end-June.


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

AYER HITAM: July Default Amount Hits MYR41,517,039
--------------------------------------------------
As of June 30, 2006, Ayer Hitam Tin Dredging Malaysia Group has
a total default in principal sums plus interest of
MYR41,517,039.

Of the total default amount, MYR28,192,822 is owed by Ayer
Hitam's wholly owned subsidiary Motif Harta Sdn Bhd to:

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

The remaining MYR13,324,218 is owed by Ayer Hitam's 100% owned
subsidiary Pembinaan AHT Sdn Bhd to AmBank Berhad.

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

                        About Ayer Hitam

Headquartered in Kuala Lumpur, Malaysia, Ayer Hitam Tin Dredging
Malaysia Berhad -- http://www.ahtin.com.my/-- is involved in  
property development and the trading of promotional products and
services in Malaysia.  The Company is also engaged in the
trading of uninterrupted power supply equipment and magnetic
fuel treatment systems and the provision of investment holding,
nominee services, hotel development and management and
renovation services.

The Company has been incurring losses in the past years and has
defaulted on several loan facilities.  As of June 30, 2006, Ayer
Hitam's total default amounts MYR41,517,039.  The Company has
presented a restructuring proposal, which was rejected by the
Securities Commission after determining that the Scheme is not a
comprehensive proposal capable of resolving all the financial
issues faced by the Company.


FOREMOST HOLDINGS: Posts MYR12.9M Net Profit in Second Quarter
--------------------------------------------------------------
Foremost Holdings Berhad released on August 28, 2006, its
unaudited financial report for the second quarter ended June 30,
2006.

For the quarter under review, the group recorded a net profit of
MYR12,863,000 on MYR5,975,000, compared with a net loss of
MYR451,000 on MYR34,224,000 revenue in the same quarter last
year.

As of June 30, 2006, the group accumulated MYR34,220,000 in
losses.

Based on the June 30, 2006, balance sheet, the group has
MYR26,615,000 in current assets available to pay MYR13,569,000
in current liabilities coming due within the next 12 months.  
The group has total assets of MYR35,853,000, total liabilities
of MYR13,823,000, and total stockholders' equity of
MYR22,030,000.

There was no dividend paid or declared during the current
financial quarter ended June 30, 2006.

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

http://bankrupt.com/misc/tcrap_foremostholdings083106.xls
http://bankrupt.com/misc/tcrap_foremostholdingsnotes083106.pdf  

                     About Foremost Holdings

Foremost Holdings Berhad manufactures and sells automobile
speakers, home audio speakers, general-purpose speakers and
speaker wooden cabinets.  The Company is also engaged in the
trading of auto accessories, investment holdings and the
provision of management services.  Products are distributed in
Malaysia, Singapore, United Kingdom, Italy, Taiwan, the United
States, other Asian countries, other European countries and
other countries.

Foremost was classified as an affected listed issuer under Bursa
Malaysia Securities Berhad's Practice Note 17 because it has
"insufficient financial position to warrant continued listing".  
As an affected issuer, the Company is required to draft a plan
to regularize its finances to avoid being delisted from the
Official List.


FOREMOST HOLDINGS: Clarifies Disclosure on Unit's Wind-Up
---------------------------------------------------------
Foremost Holdings Berhad clarified an earlier announcement
regarding the wind-up of its wholly owned subsidiary, Kenn Kenn
Auto Accessories & Services Sdn Bhd, which was wound up on
June 13, 2006, by the Kuala Lumpur High Court.

As reported by the Troubled Company Reporter - Asia Pacific on
August 24, 2006, a wind-up petition was served to Kenn Kenn on
February 23, 2006, by Citibank Berhad.  The petition was heard
on May 9, 2006, and the order to wind-up Kenn Kenn's operations
was issued on June 13, 2006.

In an update on August 28, Foremost Holdings clarified that the
notice was served on December 14, 2005.

                     About Foremost Holdings

Foremost Holdings Berhad manufactures and sells automobile
speakers, home audio speakers, general-purpose speakers and
speaker wooden cabinets.  The Company is also engaged in the
trading of auto accessories, investment holdings and the
provision of management services.  Products are distributed in
Malaysia, Singapore, United Kingdom, Italy, Taiwan, the United
States, other Asian countries, other European countries and
other countries.

Foremost was classified as an affected listed issuer under Bursa
Malaysia Securities Berhad's Practice Note 17 because it has
"insufficient financial position to warrant continued listing".  
As an affected issuer, the Company is required to draft a plan
to regularize its finances to avoid being delisted from the
Official List.


FURQAN BUSINESS: Austral Amalgamated Changes Name to EBF Land
-------------------------------------------------------------
Furqan Business Organization Berhad's wholly owned subsidiary,
Austral Amalgamted Assets Sdn Bhd, has changed its name to EBF
Land Sdn Bhd effective August 23, 2006.

                    About Austral Amalgamated

Austral Amal is a wholly owned subsidiary of Furqan Business and
was incorporated in Malaysia under the Companies Act, 1965, on
June 5, 1995.  The authorized and issued and paid up capital of
Austral Amal is MYR100,000 divided into 100,000 ordinary shares
of MYR1.00 each and MYR2.00 divided into two ordinary shares of
MYE1.00 each, respectively.

                About Furqan Business Organization

Headquartered in Kuala Lumpur, Malaysia, Furqan Business
Organization Berhad formerly known as Austral Amalgamated Berhad
is engaged in property development and investment, tour and
travel services, and financial services.  Other activities
include contractor, leasing and hire purchase financing
facilities.  The Group's operations are substantially carried
out in Malaysia.

Rating Agency Malaysia has downgraded the rating of the
Company's MYR37.66 million Redeemable Convertible Loan Stocks,
from BB3 to B1, with a negative outlook.  At the same time, the
rating agency is maintaining the Rating Watch on the Company.  
The downgrade is premised on the deterioration in Furqan's
business profile, especially in its leasing business, which is
currently the main revenue contributor to the Group.


KIG GLASS: June 30 Balance Sheet Reveals Insolvency
---------------------------------------------------
KIG Glass Industrial Berhad submitted for public release its
unaudited financial report for the second quarter ended June 30,
2006.

The group recorded lower revenues of MYR1.84 million for the
quarter under review as compared to MYR17.44 million in the
quarter ended June 30, 2005.  The decrease was due to the fact
that the KIG Glass and its subsidiary, Zibo Jiali Glass Industry
Co. Ltd, have both ceased production operations.

However, the Group recorded a lower loss before taxation of
MYR1.81 million for the current quarter as compared to
MYR15.33 million in the same quarter last year.  The lower loss
was mainly attributable to:

   -- the deconsolidation of its loss making subsidiary, Zibo
      Jiali Glass Industry; and

   -- lower depreciation charge due to recognition of
      impairment losses on property, plant and equipment in
      the last financial year ended December 31, 2005.

The group's turnover decreased to MYR1.84 million for the
current quarter as compared to MYR2.95 million in the preceding
quarter.  Loss before taxation increased to MYR1.81 million as
compared to MYR1.71 million in the preceding quarter due to
lower sales.

As of June 30, 2006, the group's accumulated losses reached
MYR289,365,000.

The group's June 30, 2006, balance sheet revealed strained
liquidity with current assets of MYR12,844,000 available to pay
current liabilities of MYR153,683,000 coming due within the next
12 months.  The group has a net current deficit of
MYR140,839,000.

As of June 30, 2006, the group has total assets of MYR57,173,000
and total liabilities of MYR153,698,000, resulting into a
stockholders' deficit of MYR96,525,000.

There was no dividend paid or declared since the end of fiscal
2005.

The scale of losses incurred by KIG Glass over the years have
significantly eroded its share capital base and the current net
liability position of the company has demonstrated its lack of
working capital to support its existing operations.  In this
regard, the company's board of directors are compelled to
protect the long-term interests of the shareholders and
creditors, to prevent delisting of the Company.

Due to insolvency, the company has recently been classified
under Practice Note 17.  Accordingly, the directors are of the
opinion that the prospects for the rest of the year are not
expected to improve.

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

http://bankrupt.com/misc/tcrap_kigglass083106.xls
http://bankrupt.com/misc/tcrap_kigglassnotes083106.doc

                    About KIG Glass Industrial

Headquartered in Johor Darul Ta'zim, Malaysia, KIG Glass
Industrial Berhad -- http://www.kedaung.com/-- manufactured and  
sold glassware, glass blocks and carton boxes.  The firm's other
activities included manufacturing of ceramic roof tiles.  Its
operations were carried out in Malaysia and China.

Due to its inability to pay debts, the Company ceased operation
in May 2005.  As of December 31, 2005, the KIG Group's
accumulated losses stood at almost MYR300 million.  The
shareholders' funds of the KIG Group was in deficit of
approximately MYR93 million while its total borrowings amounted
to approximately MYR104 million.

As of June 30, 2006, the group has total assets of MYR57,173,000
and total liabilities of MYR153,698,000, resulting into a
stockholders' deficit of MYR96,525,000.


SUGAR BUN: Lists Additional 1,500,000 New Shares
------------------------------------------------
Sugar Bun Corporation Berhad's additional 1,500,000 new ordinary
shares of MYR1 each will be granted listing and quotation today,
September 1, 2006.

The new shares were derived from the exercise of 1,500,000
warrants 2002/2012.

According to the Troubled Company Reporter - Asia Pacific, Sugar
Bun's additional 1,000,000 new ordinary shares derived from the
exercise of 1,000,000 warrants 2002/2012 were granted listing
and quotation on August 24, 2006.

                       About Sugar Bun Corp.

Sugar Bun Corporation Bhd -- http://www.sugarbun.com/-- is  
engaged in the operation and franchising of restaurants,
bakeries, and confectioneries.  Its other activities include
general trading of machinery, spare parts and phone cards,
investment holding and provision of administrative, management
and marketing services.  Operations of the Group are carried out
mainly in Malaysia.

The Company is currently undertaking a corporate and debt
restructuring program to wipe out its accumulated losses.  As of
April 30, 2006, the Company has accumulated losses of
MYR46,190,000.


TENAGA NASIONAL: Lists and Quotes Shares Today
----------------------------------------------
Tenaga Nasional Berhad's additional 1,092,147 new ordinary
shares of MYR1 each will be granted listing and quotation today,
September 1, 2006.

The new shares were derived from the conversion of USD2,328,000
nominal value of the five-year (2002/2007) guaranteed
exchangeable bonds issued by Tenaga's wholly owned subsidiary,
TNB capital (L) Limited.

                     About Tenaga Nasional

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

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

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


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

EQUITABLE PCI: SM Group Files Tender Offer for EPCIB Shares
-----------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
August 31, 2006, the Sy Family presented a binding offer to buy
all the Equitable PCI Bank common shares owned by EBC
Investments, Inc., for PHP92 per share or a total consideration
of PHP7,250,253,016, payable in cash.

Simultaneously, the Sy Family intended 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, the TCR-AP noted.

According to a release with the Philippine Stock Exchange, the
Board of Directors of SM Investments Corp. approved the filing
of a Tender Offer Report, in consortium with its affiliates,
with the Securities and Exchange Commission with respect to its
plan to purchase the remaining shares of common stock of
Equitable PCI Bank.

The offer covers all of EPCIB's shares not already owned by the
SM Group and the offer price has been set at PHP92/share payable
as:

   * 10% payable on October 2, 2006 -- Cross and Settlement    
     Date,

   * 10% on June 2, 2007,

   * 10% on February 2, 2008, and

   * 70% on October 2, 2008

The total consideration for the tender offer is estimated at up
to PHP36.9 billion.

The SM Group also offered to purchase, on a negotiated basis,
EBCII's 10.8% stake in EPCIB, valued at PHP7.25 billion.  SMIC
disclosed that it is undertaking the tender offer to consolidate
SM Group's holdings in EPCIB.

SMIC said that it is willing to put in more funds in EPCIB to
meet its capital requirements and prepare it for Basle II and
the new reporting standards.  It also said that it is keeping
its option to merge EPCIB with another bank, if the business
case for it is present, to further strengthen EPCIB's balance
sheet.  The merger will, however, be subject to approval of
EPCIB shareholders and regulators.

The tender offer commenced on August 31, 2006, and will end on
September 28, 2006.  The transaction is expected to be completed
on October 2, 2006.

             Banco de Oro Supports SMIC Tender Offer

In a filing with the PSE, Banco De Oro Universal Bank advises
that it has been informed of SMIC's Tender Offer report with the
Securities and Exchange Commission with respect to SMIC's plan
to purchase the remaining shares of common stock of Equitable
PCI Bank, Inc.  In this regard, its Board of Directors has
expressed full support to the SMIC Tender Offer.

As reported in the Troubled Company Reporter - Asia Pacific on
July 28, 2006, Banco de Oro Universal Bank decided to forego on
merger plans with Equitable PCI Bank, Inc.

                        About SM Group

The SM Group is one of the largest conglomerates in the country.
It is engaged in shopping mall development, retail
merchandising, financial services, and real estate development,
and tourism.  SMIC has total assets of PHP182.45 billion and
stockholders' equity of PHP105.14 billion as of June 30, 2006.

                      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.


GLOBE TELECOM: S&P Affirms 'BB+' Rating with Stable Outlook
-----------------------------------------------------------
Standard & Poor's Ratings Services affirms its ratings on Globe
Telecom Inc. at 'BB+', a major cellular telephone operator in
the Philippines.  The outlook is stable.

"The ratings on Globe reflect its steady market position and
solid cash flow protection measures, although these strengths
are offset by declining domestic subscriber growth and intense
price competition," Standard & Poor's credit analyst Yasmin
Wirjawan, says.  "The stable outlook reflects the company's
steady market position, improving financial profile, and higher
operating efficiency."

Globe is one of two leading wireless service providers in the
Philippines.  At June 30, 2006, the company had a subscriber
base of about 13.9 million, or a market share of 36%.

"We expect Globe to maintain its favorable market position in
the near to medium term given its established customer base and
improved network," Ms. Wirjawan says.

Globe is expected to generate steady funds from operations (FFO)
averaging PHP25 billion (US$473 million) to PHP30 billion per
year in the medium term.  The company is expected to maintain
positive free cash flows, as future capital expenditures are
lower after the completion of its 2G network expansion.  Globe's
liquidity is strong. The company had cash of PHP14 billion, more
than sufficient to cover short-term debts of PHP7 billion at
June 30, 2006.

Nevertheless, Globe faces slowing new subscriber growth, amid
greater market penetration, which reached 44% as at June 30,
2006.  In addition, pricing competition is expected to remain
intense, as operators pursue aggressive pricing and promotions
to build market share.

The stable outlook reflects the company's steady market
position, improving financial profile, and higher operating
efficiency.  An upward revision of the transfer and
convertibility risk assessment for the Philippines will be
required before an upgrade of the foreign currency ratings on
Globe may be considered.  Conversely, any downgrade in the
sovereign rating could prompt a reduction in the T&C risk
assessment or deterioration in country risk factors, which in
turn could result in a downgrade of the ratings on Globe.

The outlook or rating on Globe could be negatively affected if
heightened competition significantly weakens the company's
market position.  In addition, the ratings may also be pressured
if initiatives to increase shareholders' returns, like
significant dividend payouts or significant debt-funded
investments, deteriorate Globe's current financial metrics, such
as when FFO to debt drops below 35%.


MIRANT CORP: Discloses Final Results of Tender Offer
----------------------------------------------------
Mirant Corporation discloses the final results of its modified
"Dutch auction" tender offer to purchase up to 43,000,000 shares
of the company's common stock, which expired at 5:00 p.m., New
York City time, on August 21, 2006.

Mirant has accepted for payment an aggregate of 43,000,000
shares of its common stock at a purchase price of US$28.50 per
share.  These shares represent approximately 14% of the shares
outstanding as of June 30, 2006.  Mirant has been informed by
Mellon Investor Services, the depositary for the tender offer,
that the final proration factor for the tender offer is
approximately 85.6%.

Based on the final count by the depositary (and excluding any
conditional tenders that were not accepted due to the specified
condition not being satisfied), 50,218,254 shares were properly
tendered and not withdrawn at or below a price of US$28.50 per
share.

Payment for the shares accepted for purchase, and return of all
shares tendered and delivered and not accepted for purchase,
will be carried out promptly by the depositary.  As a result of
the completion of the tender offer, Mirant has approximately
257,068,663 shares of common stock outstanding (basic).

Any questions with regard to the tender offer may be directed
to:

   * the Information Agent for the Offer:

        Innisfree M&A Incorporated
        at 1 877750 5836; or

   * the Dealer Manager for the Offer:

        J.P. Morgan Securities Inc.
        at 1 877 371 5947

                          About Mirant

Headquartered in Atlanta, Georgia, Mirant Corporation (NYSE:
MIR) -- http://www.mirant.com/-- is an energy company that  
produces and sells electricity in North America, the Caribbean,
and the Philippines.  Mirant owns or leases more than 18,000
megawatts of electric generating capacity globally.  Mirant
Corporation filed for Chapter 11 protection on July 14, 2003
(Bankr. N.D. Tex. 03-46590), and emerged under the terms of a
confirmed Second Amended Plan on Jan. 3, 2006.  Thomas E.
Lauria, Esq., at White & Case LLP, represented the Debtors in
their successful restructuring.  When the Debtors filed for
protection from their creditors, they listed US$20,574,000,000
in assets and US$11,401,000,000 in debts.  The Debtors emerged
from bankruptcy on Jan. 3, 2006.

                          *     *     *

As reported in the Troubled Company Reporter on July 17, 2006,
Moody's Investors Service downgraded the ratings of Mirant
Corporation and its subsidiaries Mirant North America, LLC and
Mirant Americas Generation, LLC.  The Ba2 rating for Mirant Mid-
Atlantic, LLC's secured pass through trust certificates was
affirmed.  Additionally, Mirant's Speculative Grade Liquidity
rating was revised to SGL-2 from SGL-1.  The rating outlook is
stable for Mirant, MNA, MAG, and MIRMA.

Moody's downgraded Mirant Americas Generation, LLC's Senior
Unsecured Regular Bond/Debenture, to B3 from B2.  Moody's also
downgraded Mirant Corporation's Corporate Family Rating, to B2
from B1, and Speculative Grade Liquidity Rating, to SGL-2 from
SGL-1.  Mirant North America, LLC's Senior Secured Bank Credit
Facility, was also downgraded to B1 from Ba3 and its Senior
Unsecured Regular Bond/Debenture, to B2 from B1.

As reported in the Troubled Company Reporter on July 13, 2006,
Fitch Ratings placed the ratings of Mirant Corp., including the
Issuer Default Rating of 'B+', and its subsidiaries on Rating
Watch Negative following its announced plans to buy back stock
and sell its Philippine and Caribbean assets.

Ratings affected are Mirant Corp.'s 'B+' Issuer Default Rating
and Mirant Mid-Atlantic LLC's 'B+' Issuer Default Rating and the
Pass-through certificates' 'BB+/Recovery Rating RR1'.

Fitch also placed Mirant North America, Inc.'s Issuer Default
Rating of 'B+', Senior secured bank debt's 'BB/RR1' rating,
Senior secured term loan's 'BB/RR1' rating, and Senior unsecured
notes' 'BB-/RR1' rating on Rating Watch Negative.  Mirant
Americas Generation, LLC's Issuer Default Rating of 'B+' and
Senior unsecured notes' 'B/RR5' rating was included as well.

Standard & Poor's Ratings Services also placed the 'B+'
corporate credit ratings on Mirant Corp. and its subsidiaries,
Mirant North American LLC, Mirant Americas Generating LLC, and
Mirant Mid-Atlantic LLC, on CreditWatch with negative
implications.


PHILIPPINE AIRLINES: Baguio Gold to Finish Due Diligence Yr-end
----------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
August 2, 2006, that Baguio Gold Holdings Corp. was planning to
acquire a majority stake in Philippine Airlines Inc., and
considering several options in bidding for the stake.

According to The Manila Times, Pol Holdings Inc., Cube Factor
Holdings Inc., Ascot Holdings Inc., Sierra Holdings and Equities
Inc., Network Holdings and Equities Inc., and Maxell Holdings
Corp., hold the shares Baguio Gold wants to acquire.

The paper relates that Baguio Gold expects to complete its due
diligence on the airline by the end of 2006.

Baguio Gold's planned acquisition will pave the way for
Philippine Airlines' backdoor listing, the paper cites an
official, as saying.

Jaime J. Bautista, PAL president and chief operating officer,
disclosed that Baguio Gold began its due diligence before buying
about 82% of the airline.

Mr. Bautista estimated that the total book value of the company
is about US$201.548 million (PHP10 billion) or PHP1 a share, The
Manila Times says.

Mr. Bautista noted that the acquisition may be done through a
share swap or through the assumption of the shareholders'
liabilities, adding "most likely it will be done through
assumption of liabilities [of the six companies]," The Manila
Times relates.

                   About Philippine Airlines

Philippine Airlines -- http://www.philippineairlines.com/-- is  
the Philippines' national airline.  It was the first airline in
Asia and the oldest of those currently in operation.  With its
corporate headquarters in Makati City, Philippine Airlines flies
both domestic and international flights.  As of 2005, it claims
to serve 21 domestic airports and 31 foreign cities.  Its main
hub is the Ninoy Aquino International Airport in the capital
city of Manila.

Following labor problems and its failure to settle debts, PAL
filed for rehabilitation in June 1998, and is slated to complete
its 10-year debt rehabilitation program in 2009.

A March 21, 2006 report by the Troubled Company Reporter - Asia
Pacific stated that the airline company will continue a
government-led rehabilitation program even as creditors neither
approved nor rejected the program to leave the protection of the
Securities and Exchange Commission.

A report by the Manila Times in July 2006 said that since its
corporate rehabilitation in 1998, PAL reduced its debts to
PHP237.23 billion from PHP496.02 billion by selling assets and
using the proceeds to pay off maturing debts.

The Troubled Company Reporter - Asiat Pacific on August 28,
2006, cited a report from the Philippine Daily Inquirer, which
said that Philippine Airlines reported an April-June 2006 net
income of US$22.7 million, down 17% from the US$27.5 million
reported in the same quarter of 2005, with increased fuel and
maintenance costs.


PHILIPPINE LONG DISTANCE: S&P Affirms BB+ For. Currency Rating
--------------------------------------------------------------
Standard & Poor's Ratings Services affirms its 'BB+' foreign
currency rating on Philippine Long Distance Telephone Co.  The
outlook is stable.  At the same time, the rating on PLDT's
existing series III preferred stock has been withdrawn as the
preferred stocks have been fully converted into common equity.

The rating on PLDT, a major telecommunications operator in the
Philippines, reflects its leading market position and improving
financial profile.  Nevertheless, these strengths are offset by
declining domestic subscriber growth and high price competition.
PLDT's total debt as at June 30, 2006, declined 47% to PHP101
billion (US$1.9 billion) from PHP196 billion in fiscal 2003.  As
a result, cash flow protection measures have continued to
improve, as reflected in the annualized funds from operation
(FFO) to total debt of 61% as at June 30, 2006, compared with
its three-year (2003-2005) average of 34%.

"The ratio (FFO to total debt) is expected to remain above 50%
as the growth in cash flow from wireless services is likely to
remain solid and cash flow from its fixed-line services remains
stable," Standard & Poor's credit analyst Yasmin Wirjawan, says.

"However, new subscriber growth in the Philippine wireless
market has subsided, as wireless penetration reached 44% as at
June 30, 2006," Ms. Wirjawan notes.  Future growth is expected
to come from the mass-market segments, particularly those in the
outskirts of Manila.

PLDT's liquidity is strong.  At June 30, 2006, the company had
PHP26 billion in cash, more than enough to cover PHP19 billion
of debt due in one year.  In addition, the company has about
equivalent to PHP5 billion in committed credit facilities.

The stable outlook reflects the company's dominant market
position, stronger credit measures and expected sustainable free
cash flow position.  An upward revision of the Transfer and
Convertibility Risk Assessment for the Philippines (foreign
currency BB-/Stable/B, local currency BB+/Stable/B) will be
needed before an upgrade of PLDT's foreign currency ratings may
be considered.  Conversely, any downward movement of the
sovereign rating could prompt a reduction in the T&C Risk
Assessment or deterioration in country risk factors, which in
turn could result in downgrade of the rating on the company.

The outlook or rating on PLDT could be negatively affected if
heightened competition affects the company's market position
significantly.  In addition, they will also be pressured if its
shareholders return initiatives, like significant dividend
payouts or additional significant debt-funded investments,
worsen its current financial metrics, including FFO to debt
dropping below 35%.


RIZAL COMMERCIAL BANKING: Appoints and Promotes New Officers
------------------------------------------------------------
On August 29, 2006, Rizal Commercial Banking Corporation advised
The Philippine Stock Exchange, Inc., that it has:

   (a) appointed two officers, noting that these officers do not
       have shareholding in the bank:

       1. Manuel G. Ahyong, Jr., as Senior Vice President/Wealth
          Segment Head; and

       2. Marcel E. Ayes as Senior Vice President/Global
          Distribution & Advisory Division Head; and

   (b) promoted Lope M. Fernandez, Jr., as Senior Vice
       President/Seconded as President of RCBC Savings Bank
       retroactive July 1, 2006.

The bank also advised that in connection with its Board of
Directors and stockholders' approval of the amendment to the
bank's Articles of Incorporation, the Securities and Exchange
Commission:

   "approved the amendment of Article Seventh of RCBC's Amended
   Articles of Incorporation allowing the issuance of preferred
   shares either in Philippine Peso or US Dollar as evidenced by
   the attached SEC Certificate dated August 25, 2006."

                           About RCBC

Rizal Commercial Banking Corporation -- http://www.rcbc.com/--  
is a universal bank principally engaged in all aspects of
banking.  It provides services such as deposit products, loans
and trade finance, domestic and foreign fund transfers,
treasury, foreign exchange and trust services.  In addition, the
Bank is licensed to enter into forward currency contracts to
service its customers and as a means of reducing and managing
the Bank's foreign exchange exposure.

                          *     *     *

Moody's Investors Service gave Rizal Commercial Banking a 'Ba3'
Long-Term Bank Deposit Rating effective May 25, 2006.


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

DEWHURST PTE: Creditors Must Submit Proofs of Debt by Sept. 25
--------------------------------------------------------------
Liquidator Lau Chin Huat requires the creditors of Dewhurst Pte
Ltd to submit their proofs of debt by September 25, 2006.

Failure to comply with the requirement will exclude a creditor
from sharing in the company's distribution of dividend.

Mr. Lau can be reached at:

         Lau Chin Huat
         c/o 6 Shenton Way #32-00
         DBS Building Tower Two
         Singapore 068809


FLEXTRONICS INTERNATIONAL: To Pick Minority Stake in SEZ Scheme
---------------------------------------------------------------
Flextronics International Ltd will take a minority stake in the
SemIndia's proposed chip manufacturing facility near Hyderabad
for US$100 million

According to the report apart from Flextronics, Advanced Micro
Devices is also planning to invest about US$500 million in
SemIndia's Special Economic Zone "SEZ Scheme".

SEZ Scheme, which will manufacture silicon chips, will need a
total investment of approximately US$3 billion.  Around US$1
billion will come through equity and the rest through debt.
Besides equity, Advaced Micro Devices will also provide
technology to SemIndia for the manufacturing facility.

                   About Flextronics International

Headquartered in Singapore, Flextronics International Ltd.
-- http://www.flextronics.com/-- provides electronics  
manufacturing services through a network of facilities in over
30 countries worldwide.  Its global locations include operations
in Brazil and Mexico.                        *    *    *

Moody's Investors Service assigned a Ba2 rating to Flextronics
International Ltd.'s new US$500 million 6.25% senior
subordinated notes, due 2014.  At the same time, the company was
assigned a liquidity rating of SGL-1, reflecting Flextronics'
significant on-hand liquidity, unfettered access to the sizeable
US$1.1 billion revolver and the expectation for generating
moderately positive free cash flow (pre-Nortel payments) over
the next twelve months.

Standard & Poor's Ratings Services assigned its 'BB-' rating to
Flextronics' private offering of US$500 million, senior
subordinated notes due 2014.  The notes were offered under Rule
144A, with registration rights.  Proceeds of the offering will
be used to repay outstanding debt under its revolving credit
facilities and for general corporate purposes.  The company's
'BB+/Stable/--' corporate credit rating was affirmed.


LESCOSING PTE: Pays Third and Final Dividend
--------------------------------------------
Lescosing Pte Ltd has paid its third and final dividend to
creditors on August 28, 2006.

Liquidators paid 7.625 cents to a dollar on all admitted claims.

The liquidators can be reached at:

         c/o PricewaterhouseCoopers
         8 Cross Street #17-00
         PWC Building
         Singapore 048424


LKN-PRIMEFIELD: Uses SGD4M from Rights Issue to Repay Debt
----------------------------------------------------------
LKN-Primefield Limited disclosed on July 4, 2006, that the
company has raised net proceeds of approximately SGD134.8
million after deducting estimated expenses of approximately
SGD0.6 million from the Rights Issue.

In addition, the company announced on June 20, 2006, that the
the HEM Disposal was completed on June 20, 2006, and SGD15.2
million out of the net sale proceeds of SGD16.2 million is to be
applied towards the redemption of the Existing Bonds. The
company intends to use SGD115.9 million out of the SGD134.8
million net proceeds from the Rights Issue to redeem the balance
of approximately SGD115.9 million in principal amount of
Existing Bonds and the balance of approximately SGD18.9 million
of the net proceeds for working capital purposes of the Group

In and update on August 29, 2006, the company said it had
utilized approximately SGD4.8 million from the balance net
proceeds of the Rights Issue amounting to approximately SGD18.9
million to increase the paid-up capital of Augustland Sdn Bhd --
a wholly owned subsidiary of the company.

The proceeds from the increase in the paid-up capital of
Augustland together with the internal funds from Augustland were
used to repay in full a bank loan of approximately MYR11.77
million -- equivalent to approximately S$5.05 million -- owed by
Augustland.

                 About LKN - Primefield Ltd

LKN-Primefield Ltd is a Singapore-based company involved in
investment holding and investing in property for rental.   
Through a number of subsidiaries, the company is engaged in
building and civil engineering construction; the construction of
crude oil tanks and piping systems; commercial and home repair
works and the provision of related maintenance services;
property development, investment and management; property
rental; the operation of hotels and restaurants, and the
provision of hotel management and consultancy.  LKN is also
involved in the manufacture, retail sale, distribution, import
and export of computer hardware (including computer peripherals)
and software, and the development of multimedia transactional
payphone kiosks.  In addition, it is an ESDN (electronic service
delivery network) provider that owns and operates a large
network of public broadband transactional terminals. The
company's operations are mainly concentrated in Singapore, China
and Indonesia.  

                          *     *     *

On November 29, 2004, LKN-Primefield and certain of its
subsidiaries entered into a debt restructuring plan with the
company's bondholders. HSBC Trustee (Singapore) Ltd. acted as
the trustee for the bondholders; KPMG Business Advisory Pte.
Ltd. acted as New Restructuring Agent/Independent Special
Consultant/Paying Agent.


SEA KING: High Court to Hear Wind-Up Petition on September 8
------------------------------------------------------------
On August 16, 2006, Marine Harvest Singapore Pte Ltd has filed
an application to wind up Sea King Manufacturer Pte Ltd.

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

The solicitors for the applicant can be reached at:

         Shook Lin & Bok
         1 Robinson Road
         #18-00, AIA Tower
         Singapore 048542


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

BANK OF AYUDHYA: Acquires JPMorgan's 38.34% Stake in AJF Asset
--------------------------------------------------------------
Bank of Ayudhya has acquired an additional 38.34% shareholding
in AJF Asset Management from the JPMorgan group, making BAY the
biggest shareholder of AJF, with a 76.67% stake, or 1,149,997
shares, the Bangkok Post reports.  

According to a statement filed with the Stock Exchange of
Thailand on August 30, 2006, Bank of Ayudhya disclosed that it
had spent THB10 million to acquire new shares from JPMorgan,
which doubled its stake in AJF from 38.33% to 76.67%.

Moreover, remaining shares in AJF are owned by the bank's
associated companies - Ayudhya Securities Plc, Ayudhya Insurance
Plc and Ayudhya Allianz CP Life Plc, The Nation relates.

The Nation also notes that JPMorgan now has only one business
remaining in Thailand, JPMorgan Securities (Thailand).  The
paper recounts that in 2001, it divested its holding in JF
Thanakom to Bangkok Bank.

Bank of Ayudhya said that it is committed to a long-term
investment in AJF.  It also said the purchase was not subject to
rules related to acquisitions and disposition of assets or
connected transactions, the Post relates.

The bank also said its increased shareholding in AJF is
consistent with its strategy of moving to a universal banking
model where it can offer a complete range of financial services
to its customers.

In late 2003, Bank of Ayudhya came to the rescue of AJF after it
faced a run of THB4 billion in redemptions from fixed-income
funds, The Nation recounts.  Then last year, AJF was one of
several asset management firms that fell victim to delayed
payment by embattled Picnic Corp on its bills of exchange.

Based on the recent filing of AJF, the company posted an
unaudited second-quarter 2006 net loss of THBB273.3-million,
compared to a THB85.96-million profit in the same quarter a year
ago.

The mutual fund firm now manages THB29.87 billion in assets,
representing 3.26% of the country's combined assets under mutual
fund management.

                          *     *     *

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.


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

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

AUSTRALIA

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

CHINA AND HONG KONG

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

INDIA

PT Dharmala Intiland             DILD     197.91       -6.62

INDONESIA

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

JAPAN

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

MALAYSIA

Antah Holdings Bhd                ANT     241.10      -39.36
Ark Resources Berhad              ARK      25.91      -28.35
CHG Industries Bhd                CHG      25.95      -41.38
Cygal Bhd                         CYG      58.47      -69.79
Comsa Farms Bhd                   CFB      63.60       -5.00
Consolidated Farms Berhad       CFARM      36.32      -17.21
Emico Holdings Bhd                EMI      42.56       -1.92
Jin Lin Wood Industries Berhad    JLW      21.68       -1.74
Kig Glass Industrial Berhad       KIG      15.76      -24.61
Lankhorst Bhd                    LKHT      25.91      -28.35
Mentiga Corporation Berhad       MENT      22.13      -18.25
Metroplex Bhd                     MEX     323.51      -49.28
Mycom Bhd                         MYC     227.68     -114.64
Lityan Holdings Bhd               LIT      22.22      -19.11
Olympia Industries Bhd           OLYM     255.84     -227.85
Panglobal Bhd                     PGL     189.92      -50.36
Park May Bhd                      PMY      11.04      -13.58
PSC Industries Bhd                PSC      62.80     -116.18
Polymate Holdings Bhd            PYMT      64.73       -7.28
Setegap Berhad                    STG      19.92      -26.88
Tru-Tech Holdings Berhad          TRU      15.86      -16.71
Wembley Industries Holdings Bhd   WMY     111.72     -204.61

PHILIPPINES

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

SINGAPORE

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

SOUTH KOREA

BHK Inc                          3990      24.36      -17.38
C & C Enterprise Co. Ltd.       38420      28.05      -14.50
Cenicone Co. Ltd.               56060      36.82       -1.46
Cheil Entech Co. Ltd.           53330      37.25       -0.31
Dewell Elecom Inc.              32590      10.93       -6.92
Everex Inc.                     47600      23.15       -5.10
EG Greentech Co.                55250     186.00       -1.50
EG Semicon Co. Ltd.             38720     166.70      -12.34
Inno Metal Inc.                 70080      25.61       -1.41
KP&L Company Limited             9810      15.03       -3.81
Radix Co. Ltd.                  16160      53.78      -17.69
Quality & Tech                  15260      32.33       -1.14
Shinil Industrial Co., Ltd.      2700      41.51       -3.44
SungKwang Co., Ltd.             41140      19.06       -1.60
Tong Yang Major                  1520    2332.81      -86.95
TriGem Computer Inc             14900     629.32     -292.96  

THAILAND

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


                            *********

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

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

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


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N
   
Troubled Company Reporter - Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Catherine Gutib, Valerie Udtuhan, Francis
Chicano, 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
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mail.  Additional e-mail subscriptions for members of the same
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thereof are $25 each.  For subscription information, contact
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                 *** End of Transmission ***