TCRAP_Public/060912.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

           Tuesday, September 12, 2006, Vol. 9, No. 181

                            Headlines

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

10 H.S LIMITED: Court to Hear Liquidation Petition on Sept. 14
ADPRINT PTY: Members and Creditors Set to Meet on September 27
AUS SAILING: Receiver and Manager Ceases to Act for Company
AUSTRALIA GIFT: Commences Wind-Up of Operations
AWB LIMITED: Grains Council Considers VFF Wheat Marketing Model

BM PACIFIC: Liquidation Bid Hearing Slated for Oct. 12
BROTHER HOOD: Faces Liquidation Proceedings
C-RIUS DRINKS: Court Hears Transcold's Liquidation Bid
C.D. STRACHAN: Placed Under Members' Voluntary Wind-Up
CS CHINA: Members' Final Meeting Slated for September 29

CASH STOP: Court to Hear Porterfield's Petition on Sept. 25
CUSTOMHOUSE PROPERTIES: Court Hears CIR's Liquidation Bid
EMERALD GATEWAY: High Court Hears Liquidation Petition
EVANS & TATE: To Introduce New Wines
FELTEX CARPETS: Workers Entitled to One-Year Payouts, Union Says

FORTESCUE METALS: Awards Marine Structures Contract to McConnell
GLOBAL ONLINE: Members Pass Resolution to Wind Up Operations
GOODBERRY HOLDINGS: Final Meeting Fixed on September 28
HOWQUA RIVER: Liquidator to Present Wind-Up Report on Sept. 26
HRD SERVICE: Members and Creditors to Receive Wind-Up Report

HULA HAKA: Court Hears Liquidation Petition
IMMEDIATE SOLUTIONS: Enters Liquidation Proceedings
INSULATION SERVICES: Creditors' Proofs of Claim due on Sept. 18
IRRIGATION SOLUTIONS: Liquidation Bid Hearing Fixed on Sept. 28
IT TRADING: Members Opt to Close Business

JOHN BURROWS: Final Meeting Scheduled on September 28
K.L.A.P. PTY: Enters Wind-Up Proceedings
LAGOLA PTY: Members Resolve to Close Business
LION CORPORATION: Undergoes Liquidation Proceedings
MACED HOLDINGS: Supreme Court Orders Wind-Up Of Operations

MAURICE RUSHFORD: Members' Final Meeting Set on September 25
MCGUIGAN PROPERTIES: Liquidation Petition Heard on Sept.11
METRAMAR MINERALS: Members to Hear Wind-Up Report on Sept. 29
MONIVANT HOLDINGS: Court Appoints Joint and Several Liquidators
MONSTORY PTY: Appoints Receivers and Managers

MURAN PTY: Members Resolve to Wind Up Operations
N.G. CLARK: Members Final Meeting Set on September 29
NGATI KAHU: Court Sets Date to Hear Liquidation Bid
NIKIMIKI PROPERTIES: CIR's Liquidation Bid Heard on Sept.11
NORTH CENTRAL: Court Hears CIR's Liquidation Bid

PINEHURST EARTHMOVING: Members Opt to Shut Down Firm
PROACTIVE STAFFING: To Declare First and Final Dividend
RETREAT FRANCHISING: Creditors Resolve to Wind Up Operations
ROBERT GRUBB: Members Resolve to Wind-Up Operations
RONSON DEVELOPMENTS: Hearing of Liquidation Bid Held on Sept.11

SIXTYSEVENTH GARLAND: Citigroup Appoints Receivers
STARS OF PERTH: To Declare First and Final Dividend
TEDAIC PTY: Members Resolve to Wind Up Operations
THE BICYLCE AUTHORITY: Appoints Receivers and Managers
TOWNSVILLE HOTEL: Members' Final Meeting Set for September 29


C H I N A   &   H O N G  K O N G

CHEER LONG: Wind-Up Bid Hearing Set on September 27
KA SHUN: Court to Hear Wind-Up Bid on October 11
KELLY CONSTRUCTION: Wind-Up Petition Hearing Set on September 27
LLOYDS ARCHITECTURAL: Enters Wind-Up Proceedings
MODERN GARMENTS: Court to Hear Wind-Up Petition on September 27

MOULIN GLOBAL: Joint and Several Liquidators Named
MOULIN GLOBAL (TRADING): Names Sutton and Chiong as Liquidators
OCEAN GRAND: Seeks to Wind Up its Operations
OCEAN GRAND CHEMICALS: Appoints Provisional Liquidators
STAR CRUISES: Moody's Pares Corp. Family Rating to B1 from Ba3

STAR CRUISES: S&P's Sets BB Corp. Credit Rating on CreditWatch


F I J I

FIJI DEVELOPMENT BANK: S&P Assigns 'BB-/B' Credit Rating


I N D I A

LML LIMITED: Turns to BIFR for Help
PARASRAMPURIA SYNTHETICS: ICRA Reaffirms LD Credit Rating
* Government Clears INR124.37-Crore Package for 15 CPSEs


I N D O N E S I A

ANEKA TAMBANG: Posts IDR515-Billion First Half Net Profit
BANK CENTRAL ASIA: Posts IDR2 Trillion First Half Net Profit
COMVERSE TECHNOLOGY: Wants Until Sept. 25 to File Fin'l Report
COMVERSE TECHNOLOGY: Granted Continued Listing By NASDAQ Panel
DIRGANTARA INDONESIA: To Get IDR40-Bil Government Bailout Fund

GARUDA INDONESIA: Activist's Death Brings Lawsuit
GOLDEN AGRI-RESOURCES: Moody's Assigns Ba3 Corp. Family Rating
KERETA API: To Get IDR100 Billion Bailout Fund from Government
KERTAS KRAFT: To Receive IDR300-Bil in Government Bailout Funds
MULTIBREEDER ADIRAMA: Deficit Lowers to IDR63.11 Billion

PANCA WIRATAMA: First-Half Net Loss Increases 6%
STEADY SAFE: Net Loss Widens to IDR4.67 Billion
* Single Presence Policy Deadline Moved to 2010


K O R E A

EUGENE SCIENCE: Gets US$11.7 Million from Headquarters Sale
KOREA INVESTMENT SECURITIES: Fitch Assigns 'C' Individual Rating


J A P A N

JAPAN AIRLINES: Mulls International Cargo Fuel Surcharge Hike
JAPAN AIRLINES: Closes Global Equity Offering
JAPAN AIRLINES: Morgan Stanley Cuts Equity Stake to 2.34%
LIVEDOOR CO: Prosecutors Framed Horie, Lawyer Says
SOFTBANK CORP: Shares Fall After Founder Lent 1/3 of Stake


M A L A Y S I A

CONSOLIDATED FARMS: August Default Amount Hits MYR149.3 Million
JIN LIN: Seeks Extension of Restraining Order
MENTIGA CORPORATION: Buys More Time to Implement Proposals
MERCES HOLDINGS: Subsidiary Ordered to Settle with Prime Angle
PAN MALAYSIA CORP: Buys Back 10,000 Ordinary Shares for MYR2,628

PARACORP BERHAD: HSBC Asserts Over MYR5-Million Claim
PROTON HOLDINGS: Concludes MOI with Petronas
PROTON HOLDINGS: Aims to Extend MOU with Mitsubishi Motors
PROTON HOLDINGS: Wants Pact with Cherry and Alado Extended
PROTON HOLDINGS: Lotus' Deal with Youngman to End September 28

TRU-TECH HOLDINGS: Bourse Delists Securities


P H I L I P P I N E S

ATLAS CONSOLIDATED: To Start Toledo Mine Initial Rehabilitation
BANK OF THE PHILIPPINE ISLANDS: Aims 8% Growth in MFI lending
DEVELOPMENT BANK: Inaugural Offshore Offering Draws US$1.7 Bln
METRO CEBU WATER DISTRICT: Union to Raise Water Issues


S I N G A P O R E

B.K.B. ENGINEERING: Creditors' Meeting Slated for September 20
DIGILAND AUSTRALIA: Subsidiary Repositions in Australian Market
FLEXTRONICS INT'L: Pays US$300M for International DisplayWorks
FLEXTRONICS INTERNATIONAL: Inks License Deal with Tessera
GETRONICS N.V.: S&P Cuts Credit Rating to B- on Weak Margins

MAE ENGINEERING: Designates Ong Puay Koon as CEO
MILLENNIUM-WESTMONT: Creditors' Proofs of Claims Due on Sept. 15
PROMOSTYL (S) PTE: Wind-Up Petition Hearing Set on September 15
REFCO INC: Ch. 7 Trustee Wants 36 Claims Disallowed & Expunged
WELLMIX ORGANICS: Court to Hear Wind-Up Petition on September 15


T H A I L A N D

CIRCUIT ELECTRONICS: Posts THB8.052-Mil. Net Loss in 1H 2006
KRUNG THAI: Fitch Affirms 'C/D' Individual Rating
KRUNG THAI: Moody's Assigns Ba1 Rating to Hybrid Tier-1
KRUNG THAI: S&P Assigns BB+ Rating to Proposed Hybrid Tier-1


* BOND PRICING: For the Week 11 September to 15 September 2006

     - - - - - - - -

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

10 H.S LIMITED: Court to Hear Liquidation Petition on Sept. 14
--------------------------------------------------------------
A liquidation petition filed against 10 H.S Ltd will be heard
before the High Court of Auckland on September 14, 2006, at
10:45 a.m.

Contact Real Estate Ltd filed the petition with the court on
June 29, 2006.

The Solicitor for the Petitioner can be reached at:

         P.L. Rice
         Grove Darlow & Partners, Solicitors
         Level Ten, Tower One
         The Shortland Centre
         51 53 Shortland Street, Auckland
         New Zealand


ADPRINT PTY: Members and Creditors Set to Meet on September 27
--------------------------------------------------------------
The members and creditors of Adprint Pty Ltd will hold a final
meeting on September 27, 2006, at 10:00 a.m., to receive
accounts of the company's wind-up proceedings and property
disposal exercises from Liquidator Nicholas Martin.

The Liquidator can be reached at:

         Nicholas Martin
         Adprint Pty Ltd
         PPB Chartered Accountants
         Level 10, 90 Collins Street
         Melbourne, Victoria 3000
         Australia


AUS SAILING: Receiver and Manager Ceases to Act for Company
-----------------------------------------------------------
Brian Keith McMaster ceased to act as receiver and manager of
Aus Sailing Ltd on August 10, 2006.

Mr. McMaster can be reached at:

         Brian Keith McMaster
         KordaMentha
         Level 11, 37 St. Georges Terrace
         Perth, West Australia 6000
         Australia


AUSTRALIA GIFT: Commences Wind-Up of Operations
-----------------------------------------------
At a general meeting held on August 21, 2006, the members of
Australia Gift Imports Pty Ltd resolved to voluntarily wind up
the company's operations and appoint Gideon Rathner and David
Coyne as joint liquidators.

The Joint Liquidators can be reached at:

         Gideon Rathner
         David Coyne
         Lowe Lippmann
         Chartered Accountants
         5 St. Kilda Road
         St. Kilda, Victoria 3182
         Australia


AWB LIMITED: Grains Council Considers VFF Wheat Marketing Model
---------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
July 5, 2006, the Western Australian Farmers Federation and the
Victorian Farmers Federation have joined growing calls to keep
the single desk wheat marketing system.

The TCR-AP noted that under VFF's plan, AWB Limited and AWB
International -- AWB's monopoly wheat export arm -- would be
split, with international wheat sales returned to farmer
control.

In an update, a report from The Age relates that the Grains
Council of Australia is considering VFF's wheat marketing model.
The Government and the wheat industry are waiting for the
outcome of the inquiry into AWB's alleged involvement in the
Iraqi kickback scandal before making their move, the report
notes.

The TCR-AP previously reported that Commissioner Terence Cole
will hand over his report on the scandal to the Howard
Government on September 29, 2006.

According to The Age, the VFF grains group wants to retain the
single desk, but to strip AWB of the monopoly right.  It wants
subsidiary AWB International to become a separate, non-listed
company to operate the single desk and manage all wheat sales on
behalf of growers.

The TCR-AP reported on August 7, 2006, that AWB will restructure
AWB International, which move would increase the autonomy of its
wheat export business, effective October 1, 2006.

AWB Chairman Brendan Stewart explained that the restructuring
would provide the autonomy and transparency sought by the
industry for the wheat sales arm, the TCR-AP noted.

According to the TCR-AP, Mr. Stewart said that, under the
restructuring, the wheat export arm would have a separate
management team, receive key staff from its parent, and have an
independent board and a separate governance and committee
structure from AWB Ltd.

However, the grains group believes that they don't go far
enough, The Age says.

The report cites group president Ian Hastings as asserting that
there is an inherent conflict of interest between shareholder
returns and grower returns.  AWB class A shareholders -- growers
-- elect the AWB board, while class B shareholders that own the
company include non-growers, Mr. Hastings noted.

"AWB directors have responsibility to maximize shareholder
returns," Mr. Hastings said.  "How does AWB reconcile this with
maximizing grower returns?  We need to remove this conflict of
interest," Mr. Hastings contended.

According to The Age, Mr. Hastings said the kickbacks
highlighted by the Cole Inquiry were a corporate governance
issue.  "It's all about risk management. . .. There can be
internal audits," Mr. Hastings said, noting that, "other
corporations have these in place."

Mr. Hastings further said that the grains group was very
concerned about a break fee that grains growers might be forced
to pay if AWB lost the export monopoly.  Estimates have put this
as high as AU$400 million.  It would compensate AWB for setting
up infrastructure to operate the single desk, Mr. Hastings
asserted.

Mr. Hastings argued that any business in providing a service put
its equity at risk.  "Shareholders should carry the risk," The
Age cites Mr. Hastings as saying.

                  EGG Wants Total Deregulation

The Age reveals that the VFF group, however, has not won over
the Eastern Grain Growers, who want total deregulation of the
export market.

The paper cites a spokesman, Mark Johns, as saying that the VFF
model relied on many of the principles that had proved
disastrous in all previous grain marketing monopolies.

"Grower election of board members has provided a career path for
agri-politicians encouraging inefficiencies aimed at political
solutions," Mr. Johns asserted.  "For most grain farmers, the
VFF model is just more of the same," Mr. Johns added.

The Australian Grain Exporters Association also favors complete
deregulation, The Age relates, noting that the association,
which represents multinational grain companies, wants an
independent regulator to control export wheat.

According to The Age, registered bulk wheat exporters would
obtain their wheat from Australian growers, and market it to
international customers.

                        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.


BM PACIFIC: Liquidation Bid Hearing Slated for Oct. 12
------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against BM Pacific Retail Holdings Ltd on October 12, 2006, at
10:45 a.m.

Anthony Phillip Galbraith and Robert Andrew Jane, trustees of
Galbraith Holdings Ltd, filed the petition with the Court on
August 1, 2006.

The Solicitor for the Petitioners can be reached at:

         J.W. True
         Harkness Henry & Co, Solicitors
         Seventh/Eighth Floors, KPMG Centre
         85 Alexandra Street, Hamilton
         New Zealand
         Facsimile: (07) 839 4043


BROTHER HOOD: Faces Liquidation Proceedings
-------------------------------------------
K Auto Trading (NZ) Ltd on June 22, 2006, filed before the High
Court of Auckland a liquidation petition against Brother Hood
Motorworld LMVD Ltd.

The petition will be heard before the court on September 28,
2006, at 10:00 a.m.

The Solicitor for the Petitioner can be reached at:

         Kim Lesley Parbery
         McHardy Parbery Lawyers
         Unit J, 86 Bush Road
         Albany, North Shore City
         D.X. B.P. 61-707, Albany, Auckland

         or

         P.O. Box 34-051, Birkenhead, Auckland
         New Zealand
         Telephone: (09) 415 2048
         Facsimile: (09) 415 2049


C-RIUS DRINKS: Court Hears Transcold's Liquidation Bid
------------------------------------------------------
The High Court of Napier heard a liquidation petition against
C-Rius Drinks Ltd on September 7, 2006.

Transcold Group Ltd filed the petition with the Court on
August 11, 2006.

The Solicitor for the Petitioner can be reached at:

         C.N. Lord
         Corporate Collections Limited
         187 Mt Eden Road, Mt Eden
         Auckland, New Zealand


C.D. STRACHAN: Placed Under Members' Voluntary Wind-Up
------------------------------------------------------
Members of C.D. Strachan Investments (Victoria) Pty Ltd on
August 21, 2006, decided to voluntarily wind-up the company's
operations and appoint Richard Mansell as liquidator.

In this regard, the company's creditors are required to prove
their debts by September 26, 2006, for them to share in any
distribution the company will make.

The Liquidator can be reached at:

         Richard Mansell
         R. G. Mansell & Associates
         Level 3, 118 Queen Street
         Melbourne, Australia
         Telephone:(03) 9603 0090
         Facsimile:(03) 9603 0099


CS CHINA: Members' Final Meeting Slated for September 29
--------------------------------------------------------
A final meeting will be held for the members of CS China
Investments Pty Ltd on September 29, 2006, at 10:00 a.m.

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

The Troubled Company Reporter - Asia Pacific reported that on
May 2, 2006, members agreed to voluntarily wind up the company's
operations.

The Liquidator can be reached at:

         Stephen Graham Longley
         David Clement Pratt
         PricewaterhouseCoopers
         Freshwater Place
         2 Southbank Boulevard
         Southbank, Victoria 3006
         Australia


CASH STOP: Court to Hear Porterfield's Petition on Sept. 25
-----------------------------------------------------------
The High Court of Christchurch will hear a liquidation petition
against Cash Stop Finance Ltd on September 25, 2006, at 10:00
a.m.

Norman Leslie Porterfield filed the petition with the Court on
August 10, 2006.

The Solicitor for the Petitioner can be reached at:

         Charlotte Bashford
         Saunders Robinson, Level Four
         227 Cambridge Terrace (P.O. Box 39)
         Christchurch, New Zealand


CUSTOMHOUSE PROPERTIES: Court Hears CIR's Liquidation Bid
---------------------------------------------------------
On September 11, 2006, the High Court of Wellington heard a
liquidation petition against Customhouse Properties Ltd.

The Commissioner of Inland Revenue filed the petition on July
27, 2006.

The Solicitor for the Petitioner can be reached at:

         Philip Hugh Brian Latimer
         Technical and Legal Support Group
         Wellington Service Centre, 1st Floor
         New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1028
         Facsimile: (04) 890 0009


EMERALD GATEWAY: High Court Hears Liquidation Petition
------------------------------------------------------
A petition to liquidate Emerald Gateway Consultancy Ltd was
heard before the High Court of Wellington on September 11, 2006.

The Commissioner of Inland Revenue filed the petition with the
Court on July 27, 2006.

The Solicitor for the Petitioner can be reached at:

         Philip Hugh Brian Latimer
         Technical and Legal Support Group
         Wellington Service Centre, 1st Floor
         New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1028
         Facsimile: (04) 890 0009


EVANS & TATE: To Introduce New Wines
------------------------------------
The Evans & Tate Wine Group informs the Australian Stock
Exchange that it will launch a new stand-alone brand and release
several new wines.

The new stand alone brand will be know as X&Y and comprise four
wines from the Margaret River region in Western Australia.

The company's managing director, Martin Johnson says, "the
introduction of the new wines is a clear sign of our
determination to aggressively attack the market and positively
grow our brand."

"Our aim is to continue making high quality wines to meet the
growing number of consumers who are embracing the premium end of
the Australian wine market," Mr. Johnson adds.

According to The Australian, Evans & Tate's launching of new
wines will revive the company's fortunes as it struggles under a
AU$160-million debt.

The paper relates that along with the rest of the wine sector,
Evans & Tate has struggled to remain afloat as a global
oversupply of wine has slashed profit margins, decimating all
but the lowest-cost producers.

The company has responded with plans to refocus its British
export sales on premium wines rather than the high-volume, deep-
discount segment it had previously concentrated on, The
Australian notes.

The paper cites figures recently released by the Australian
Bureau of Statistics showing that wine exports rose 6.4% to
723.5 million liters over the 12 months to the end of July,
while export revenues were flat at AU$2.7 billion.  The figures
show the impact of discounting in the global market as Australia
faces increasing competition from other "new world" producers
like Chile and the U.S., The Australian says.

The paper recounts that the company's shares have fallen over
the past 12 months.  However, after creditors agreed to let
Evans & Tate try to trade its way out of trouble, the company's
shares have more than doubled in price, The Australian relates.

                     About Evans & Tate

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

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

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

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

On August 25, 2006, it has completed the sale of its Griffith
winery in the New South Wales Riverina to TWG Australia, which
is the Australian subsidiary of California-based The Wine Group
LLC, for AU$8 million.  The Griffith Winery Sale, the TCR-AP had
noted, brings the amount that Evans & Tate will get from asset
realization to more than AU$30 million.

Furthermore, a company statement disclosed that on August 29,
2006, the sale of its Mildura Winery to Roberts Estate was
completed for a total consideration of AU$22 million.


FELTEX CARPETS: Workers Entitled to One-Year Payouts, Union Says
----------------------------------------------------------------
Feltex Carpet Limited's 900 workers will be in line for
redundancy payments of up to NZ$40,000 each if the plug is
pulled on the company, The Dominion Post reports.

According to the report, rough estimates show that the
redundancy bill could total more than NZ$20 million.

Stuff.co.nz says that if the company goes under -- which looks
increasingly likely after ANZ Bank's ultimatum -- workers would
be paid out only after the bank has taken what it is owed from a
fire sale of Feltex's assets.

The Dominion Post says that National Distribution Union
organizer Bob Brough confirmed that a number of staff would be
entitled to payouts equivalent to one year's money.

Mr. Brough also noted that there is "tax to come out of that but
there are some big entitlements."

Unions accuse the ANZ of railroading Feltex into receivership,
The Dominion Post says.  Workers, on the other hand, blamed the
company's plight on Feltex's senior management, the paper notes.

Engineering, Printing and Manufacturing Union national secretary
Andrew Little said "it's extremely disappointing to see this
bank moving against a company that has a good product, is
trading well and has a healthy order book."

Feltex's Upper Riccarton plant in Christchurch employs 170 staff
and it is estimated that more than half would have clocked up
more than 20 years of service, Stuff.co.nz notes.

In another report, The Dominion Post relates that Feltex
shareholders are being advised to sell or sue after Godfrey
Hirst withdrew its takeover offer and debt continues to mount.

The paper reveals that Feltex is burning through NZ$167,000 of
cash a day and ANZ is threatening to pull the plug.

Stuff.co.nz cites Macquarie Equities investment director Arthur
Lim, as saying that with receivership a real possibility, Feltex
shareholders appeared to have two options:

   1) they could sell their shares on the market and salvage
      what they could; or

   2) hold on and support the Shareholders Association's
      investigation into legal options against Feltex's
      directors and float promoters.

Shareholders might get up to 30c a share through this course of
action, Stuff.co.nz cites investment commentator Brian Gaynor
telling an association meeting, as saying.

As reported in the Troubled Company Reporter - Asia Pacific on
September 11, 2006, that Mr. Gaynor told National Radio that
receivership remains a possibility for Feltex.

The TCR-AP previously reported that Feltex's current debt level
is expected to rise which is reflected in higher working capital
levels for the company due to suppliers reducing their credit
terms to Feltex.  ANZ Bank has been monitoring and extending
credit on a daily basis in accordance with daily and weekly
forecasts provided to it by Feltex, the TCR-AP noted.

The paper also cites Feltex spokesmen John Walsh as saying that
discussions with ANZ were continuing.

                          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.


FORTESCUE METALS: Awards Marine Structures Contract to McConnell
----------------------------------------------------------------
Fortescue Metals Group Ltd. advises that it has awarded a lump
sum contract to McDonnell Dowell for the design and construction
of the marine structures including the jetty and wharf
facilities at the company's port site at Port Hedland.

The marine structures contract is one of the key materials
contracts pursuant to the port and rail development.  It
represents 10% of the total construction and procurement budget
and is one of the largest -- in value -- project agreements.

The contract value has been agreed at the budgeted price thereby
maintaining the integrity of the overall project budget, the
company notes.

Work on the design component of the contract has been ongoing
for several months under a separate consulting agreement, which
has now been rolled into this larger contract.  Commencement of
on-site works is expected to be within the next six weeks.

              Other Sites Construction on Schedule

In another matter, progress on the work at the port site at
Anderson Point, which commenced in February 2006 is within
schedule.  Dredging of the harbor, which commenced in July 2006
is also on schedule.

Fortescue also advises that it has commenced site works on a
motel development within the township of South Hedland that will
provide for 455 rooms.  This facility will accommodate Fortescue
construction workers and any surplus rooms will be available for
third-party use.  After project completion the motel will become
a permanent tourist facility for the region.

Work has also commenced on several other accommodation villages
servicing both the port and rail construction program.  In
addition to the motel development at South Hedland, there is a
smaller village being developed within the town that is project
specific.  There will be two rail construction villages located
along the 260 km route of the rail line from Port Hedland to the
mine site at Cloud Break.  The existing 100-person village at
Cloud Break is to be maintained through construction.  However,
there will also be a new 750 person permanent village to be
constructed at Cloud Break that will be ongoing to house the
mining work force when the project moves from construction into
production.

                      About Fortescue

Headquartered in West Perth, Western Australia, Fortescue Metals
Group Limited -- http://fmgl.com.au/-- is involved in the
exploration of iron ore through a project to mine iron ore in
the Chichester Ranges, in the Pilbara region of Western
Australia and exporting it from Port Hedland.

In 2005, Fortescue's chief executive officer, Andrew Forrest,
admitted to a AU$500-million blowout on the cost of port and
rail infrastructure in the Pilbara Project because of price
hikes for steel, fuel, construction materials, and contract
labor.  The Company also disclosed that the hampered progress of
the Pilbara Project brings in the possibility that the Company
may not meet its ore delivery schedule and pushes up costs at
resource developments across Western Australia.  In May 2005,
the Australian Stock Exchange pressured Fortescue to explain
matters about the project and to explain how the Company would
be able to dispose of its lower grade order for 95% of the price
obtained by rivals BHP Billiton and Rio Tinto for their top-
quality products.  The ASX then referred the matter to the
Australian Securities and Investments Commission, which
commenced a legal action against the Company.

The ASIC alleges that Fortescue is engaged in misleading and
deceptive conduct and has failed to comply with its continuous
disclosure obligations when it announced various contracts with
Chinese entities on August 23 and November 5, 2004.  In
particular, Fortescue did not disclose that the Chinese parties
had not reached a concluded agreement on fundamental aspects of
the projects and they had merely agreed that they would in the
future jointly develop and agree on the "agreed" matters.  The
ASIC is seeking civil penalties of up to AU$3 million against
Fortescue.

                          *     *     *

Fortescue reported total assets of AU$221 million and total
liabilities of AU$84 million as of June 30, 2006.

Fortescue reported a net loss for the past two fiscal years.
Net loss for the year ended June 30, 2005, was AU$4.52 million
and net loss for the year ended June 30, 2006, was AU$2.15
million.


GLOBAL ONLINE: Members Pass Resolution to Wind Up Operations
------------------------------------------------------------
On August 22, 2006, the members of Global Online Dealing Ltd
passed a special resolution to wind up the company's operations.

Accordingly, Richard Herbert Judson was appointed as liquidator.

The Liquidator can be reached at:

         Richard Herbert Judson
         Members Voluntarys Pty Ltd
         P.O. Box 819
         Moorabbin, Victoria 3189
         Australia


GOODBERRY HOLDINGS: Final Meeting Fixed on September 28
-------------------------------------------------------
Members and creditors of Goodberry Holdings Pty Ltd will convene
for a final meeting on September 28, 2006, 11:00 a.m. at the
liquidator's office.

During the meeting, the liquidator will present a report
regarding the company's wind-up proceedings and property
disposal activities.

According to the Troubled Company Reporter - Asia Pacific, the
company commenced a wind-up of operations on February 22, 2006.

The Liquidator can be reached at:

         Andrew Mclellan
         Chartered Accountants
         Level 10, 90 Collins Street
         Melbourne, Victoria 3000
         Australia


HOWQUA RIVER: Liquidator to Present Wind-Up Report on Sept. 26
--------------------------------------------------------------
Howqua River Road Investments Pty Ltd will hold a final meeting
for its members on September 26, 2006, 10:00 a.m.

During the meeting, Liquidator Andrew Stewart Hewitt will 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 1, 2005.

The Liquidator can be reached at:

         Andrew Stewart Hewitt
         Grant Thornton Recovery (Victoria) Pty Ltd
         Rialto, North Tower
         525 Collins Street
         Melbourne
         Australia


HRD SERVICE: Members and Creditors to Receive Wind-Up Report
------------------------------------------------------------
The members and creditors of HRD Service Pty Ltd will convene on
September 25, 2006 at 10:00 a.m.

At the meeting, Liquidator Adrian Stewart Duncan will present a
report regarding the company's wind-up proceedings and the
manner its properties were disposed of.

The Liquidator can be reached at:

         Adrian Stewart Duncan
         c/o Hall Chadwick
         Level 29, 31 Market Street
         Sydney, New South Wales 2000
         Australia


HULA HAKA: Court Hears Liquidation Petition
-------------------------------------------
A liquidation petition filed against Hula Haka Productions Ltd
was heard before the High Court of Rotorua on September 11,
2006.

The Commissioner of Inland Revenue filed the petition with the
Court on July 20, 2006.

The Solicitor for the Petitioner can be reached at:

         E.M. Duncan-Sittlington
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone: (07) 959 0471


IMMEDIATE SOLUTIONS: Enters Liquidation Proceedings
---------------------------------------------------
A petition to liquidate Immediate Solutions Ltd was heard before
the High Court of Rotorua on September 11, 2006.

The Commissioner of Inland Revenue filed the petition with the
High Court of Tauranga on July 28, 2006.

The Solicitor for the Petitioner can be reached at:

         E.M. Duncan-Sittlington
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone: (07) 959 0471


INSULATION SERVICES: Creditors' Proofs of Claim due on Sept. 18
---------------------------------------------------------------
David Stuart Vance and Bruce McCallum were appointed by the High
Court of Wellington to act as joint and several liquidators of
Insulation Services Ltd on August 21, 2006.

The Joint Liquidators require the company's creditors to file
their proofs of claim by September 18, 2006.  Failure to comply
with the requirement will exclude a creditor from sharing in any
distribution the company will make.

According to the Troubled Company Reporter - Asia Pacific, the
Commissioner of Inland Revenue filed a liquidation petition
against the company on May 2, 2006.  The petition was heard
before the Court on June 26, 2006.

The Joint and Several Liquidators can be reached at:

         David Vance
         McCallum Petterson, Level Eight
         The Todd Building
         95 Customhouse Quay (P.O. Box 3156)
         Wellington, New Zealand
         Telephone: (04) 499 7796
         Facsimile: (04) 499 7784


IRRIGATION SOLUTIONS: Liquidation Bid Hearing Fixed on Sept. 28
---------------------------------------------------------------
The High Court of Nelson will hear a liquidation petition
against Irrigation Solutions Ltd on September 28, 2006, at 10:00
a.m.

Tyco Flow Control Pacific Pty Ltd filed the petition with the
Court on August 2, 2006.

The Solicitor for the Petitioner can be reached at:

         Nat Dunning
         Thirteenth Floor, Vogel Building
         8 Aitken Street, Thorndon
         Wellington, New Zealand


IT TRADING: Members Opt to Close Business
-----------------------------------------
Members of IT Trading Australia Pty Ltd convened on August 21,
2006, and agreed to voluntarily liquidate the company's
business.

In this regard, Danny Vrkic was appointed as liquidator.

The Liquidator can be reached at:

         Danny Vrkic
         Jirsch Sutherland & Co - Wollongong
         Chartered Accountants
         Level 3, 6-8 Regent Street
         Wollongong, New South Wales 2500
         Australia
         Telephone:(02) 4225 2545
         Facsimile:(02) 4225 2546


JOHN BURROWS: Final Meeting Scheduled on September 28
-----------------------------------------------------
John Burrows Malvern Pty Ltd will hold a final meeting on
September 28, 2006, 9:30 a.m., at the offices of the joint
liquidators.

At the meeting, Liquidators T. J. Clifton and M. C. Hall will
present accounts of the wind-up and property disposal exercises.

The Joint Liquidators can be reached at:

         T. J. Clifton
         M. C. Hall
         c/o PPB
         Chartered Accountants
         10th Floor, 26 Flinders Street
         Adelaide, South Australia 5000
         Australia


K.L.A.P. PTY: Enters Wind-Up Proceedings
----------------------------------------
On August 21, 2006, the members of K.L.A.P. Pty Ltd passed a
special resolution to voluntarily wind up the company's
operations and distribute the proceeds of its assets disposal.

Subsequently, Adam Farnsworth was appointed as liquidator.

The Liquidator can be reached at:

         Adam Farnsworth
         c/o Hills Insolvency Services Pty Ltd
         PO Box 915
         Rockdale, New South Wales 2216
         Australia
         Telephone:(02) 9599 7945
         Facsimile:(02) 9599 7946


LAGOLA PTY: Members Resolve to Close Business
---------------------------------------------
At an extraordinary general meeting held on August 2, 2006, the
members of Lagola Pty Ltd passed a special resolution to:

   -- voluntarily wind up the company's operations;

   -- appoint John Gordon Hinde as appointed liquidator;

   -- fix the liquidator's remuneration at US$3,850; and

   -- dispose of the books and records of the company and of the
      Liquidator six months after the deregistration of
      the company.

The Liquidator can be reached at:

         John Gordon Hinde
         c/o Wynn & Bennett
         Chartered Accountants
         Level 10, 5 Elizabeth Street
         Sydney, New South Wales 2000
         Australia


LION CORPORATION: Undergoes Liquidation Proceedings
---------------------------------------------------
On August 22, 2006, the members of Lion Corporation (Aus) Pty
Ltd held a general meeting and agreed to voluntarily liquidate
the company's business.

Accordingly, Gregory Stuart Andrews was appointed as liquidator.

The Liquidator can be reached at:

         G. S. Andrews
         G. S. Andrews & Assocs
         22 Drummond Street
         Carlton, Victoria 3053
         Australia
         Telephone:(03) 9662 2666
         Facsimile:(03) 9662 9544


MACED HOLDINGS: Supreme Court Orders Wind-Up Of Operations
----------------------------------------------------------
On August 24, 2006, the Supreme Court of New South Wales has
ordered Maced Holdings Pty Ltd to wind up its operations and
appoint Steven Nicols as liquidator.

The Liquidator can be reached at:

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


MAURICE RUSHFORD: Members' Final Meeting Set on September 25
------------------------------------------------------------
Members of Maurice Rushford & Staff Pty Ltd will convene for
their final meeting on September 25, 2006, at 11:00 a.m.

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

The Troubled Company Reporter - Asia Pacific previously reported
that Mr. Crosbie was appointed as liquidator on December 28,
2005.

The Liquidator can be reached at:

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


MCGUIGAN PROPERTIES: Liquidation Petition Heard on Sept.11
----------------------------------------------------------
A petition to liquidate McGuigan Properties Ltd was heard before
the High Court of Wellington on September 11, 2006.

The Commissioner of Inland Revenue filed the petition on July
24, 2006.

The Solicitor for the Petitioner can be reached at:

         Andrew Hamer Instone
         Technical and Legal Support Group
         Wellington Service Centre, 1st Floor
         New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1133
         Facsimile: (04) 890 0009


METRAMAR MINERALS: Members to Hear Wind-Up Report on Sept. 29
-------------------------------------------------------------
Members of Metramar Minerals Pty Ltd will convene for their
final meeting on September 29, 2006, 11:00 a.m. at the offices
of KordaMentha, Level 11, 37 St. Georges Terrace, Perth WA.

At the meeting, Liquidator Brian McMaster will present a report
regarding the company's wind-up and property disposal
activities.

The Liquidator can be reached at:

         Brian McMaster
         KordaMentha, Level 11
         37 St. Georges Terrace
         Perth, Western Australia
         Australia


MONIVANT HOLDINGS: Court Appoints Joint and Several Liquidators
---------------------------------------------------------------
The High Court of Wellington appointed David Stuart Vance and
Bruce McCallum as Joint and Several Liquidators for Monivant
Holdings Ltd on August 21, 2006.

Subsequently, the Joint Liquidators required the company's
creditors to prove their debts by September 18, 2006.  Failure
to present proofs of claim will exclude a creditor from sharing
in any distribution the company will make.

The Troubled Company Reporter - Asia Pacific previously reported
that the company was facing a liquidation petition filed by the
Commissioner of Inland Revenue on June 28, 2006.  The petition
was heard before the Court of Wellington on August 21, 2006.

The Joint and Several Liquidators can be reached at:

         David Vance
         McCallum Petterson, Level Eight
         The Todd Building
         95 Customhouse Quay (P.O. Box 3156)
         Wellington, New Zealand
         Telephone: (04) 499 7796
         Facsimile: (04) 499 7784


MONSTORY PTY: Appoints Receivers and Managers
---------------------------------------------
On August 17, 2006, Glenn Anthony Crisp was appointed as
receiver and manager of Monstory Pty Ltd.

The Receiver and Manager can be reached at:

         Glenn Anthony Crisp
         RSM Bird Cameron Partners
         Chartered Accountants
         Level 8
         525 Collins Street, Melbourne
         Australia


MURAN PTY: Members Resolve to Wind Up Operations
------------------------------------------------
On August 22, 2006, members of Muran Pty Ltd resolved to
voluntary wind up its operations and appoint Paul Desmond
Sweeney and David Michael Stimpson as joint and several
liquidators.

The Joint Liquidators can be reached at:

         Paul Desmond Sweeney
         David Michael Stimpson
         c/o SV Partners Pty Ltd
         Insolvency Accountants and Risk Managers
         Australia
         Web site: http://www.svpartners.com.au


N.G. CLARK: Members Final Meeting Set on September 29
-----------------------------------------------------
Members of N.G. Clark (Freeholds) Pty Ltd will convene on
September 29, 2006, at 10:00 a.m. to receive Liquidator B.A.
Secatore's accounts on the company's wind-up proceedings and
property disposal exercises.

The Liquidator can be reached at:

         B. A. Secatore
         Cor Cordis
         Chartered Accountants
         406 Collins Street
         Melbourne 3000
         Australia


NGATI KAHU: Court Sets Date to Hear Liquidation Bid
---------------------------------------------------
The High Court of Whangarei will hear a liquidation petition
filed against Ngati Kahu o Torongare/Te Parawhau Hapu Trust on
September 18, 2006, at 10:45 a.m.

Southcombe Distributors Ltd filed the petition on August 8,
2006.

The Solicitor for the Petitioner can be reached at:

         Malcolm Whitlock
         Debt Recovery Group NZ Limited
         149 Ti Rakau Drive, Pakuranga
         P.O. Box 259 059, Burswood, Auckland
         New Zealand


NIKIMIKI PROPERTIES: CIR's Liquidation Bid Heard on Sept.11
-----------------------------------------------------------
On July 24, 2006, the Commissioner of Inland Revenue filed
before the High Court of Wellington a liquidation petition
against Nikimiki Properties Ltd.

The Court heard the petition on September 11, 2006.

The Solicitor for the Petitioner can be reached at:

         Kate Elizabeth Harder
         Technical and Legal Support Group
         Wellington Service Centre, 1st Floor
         New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1162
         Facsimile: (04) 890 0009


NORTH CENTRAL: Court Hears CIR's Liquidation Bid
------------------------------------------------
A petition to liquidate North Central Ltd was heard before the
High Court of Wellington on September 11, 2006.

The Commissioner of Inland Revenue filed the petition on July
27, 2006.

The Solicitor for the Petitioner can be reached at:

         Philip Hugh Brian Latimer
         Technical and Legal Support Group
         Wellington Service Centre, 1st Floor
         New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1028
         Facsimile: (04) 890 0009


PINEHURST EARTHMOVING: Members Opt to Shut Down Firm
----------------------------------------------------
After a general meeting held on August 22, 2006, the members of
PineHurst Earthmoving Pty Ltd resolved to shut down the
company's operations and appoint Richard Herbert Judson as
Liquidator.

The Liquidator can be reached at:

         Richard Judson
         Members Voluntarys Pty Ltd
         PO Box 819
         Moorabbin, Victoria 3189
         Australia


PROACTIVE STAFFING: To Declare First and Final Dividend
-------------------------------------------------------
Proactive Staffing Solutions Pty Ltd will declare the first and
final dividend for its creditors on September 29, 2006, to the
exclusion of those who are unable to prove their claims by
September 14, 2006.

The Liquidator can be reached at:

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


RETREAT FRANCHISING: Creditors Resolve to Wind Up Operations
------------------------------------------------------------
On August 21, 2006, creditors of Retreat Franchising Pty Ltd
agreed to voluntarily wind up its operations and appoint Gideon
Rathner to oversee its liquidation proceedings.

The Joint and Several Liquidator can be reached at:

         Gideon Rathner
         Lowe Lippmann
         Chartered Accountants
         5 St Kilda Road
         St Kilda, Victoria 3182
         Australia


ROBERT GRUBB: Members Resolve to Wind-Up Operations
---------------------------------------------------
On August 21, 2006, members of Robert Grubb & Associates Pty Ltd
decided to voluntarily wind up the company's operations.

In this regard, Liquidator P. Ngan was appointed as Liquidator.

The Liquidator can be reached at:

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


RONSON DEVELOPMENTS: Hearing of Liquidation Bid Held on Sept.11
---------------------------------------------------------------
On September 11, 2006, the High Court of Wellington heard a
liquidation petition filed against Ronson Developments Ltd.

The Commissioner of Inland Revenue filed the petition with the
Court on July 27, 2006.

The Solicitor for the Petitioner can be reached at:

         Julie Marie Snelson
         Technical and Legal Support Group
         Wellington Service Centre, 1st Floor
         New Zealand Post House
         7-27 Waterloo Quay (P.O. Box 1462)
         Wellington, New Zealand
         Telephone: (04) 890 1127
         Facsimile: (04) 890 0009


SIXTYSEVENTH GARLAND: Citigroup Appoints Receivers
--------------------------------------------------
As Appointor under a Mortgage of Land dated February 21, 2003,
registered with the Victoria Land Titles Office, Citigroup Pty
Ltd appointed William Bernard Abeyratne and Loke Ching Wong as
joint and several receivers of Sixtyseventh Garland Pty Ltd on
August 14, 2006.

The Joint and Several Receivers can be reached at:

         William Bernard Abeyratne
         Loke Ching Wong
         Harrisons Insolvency
         Level 5, 150-151 Albert Road
         South Melbourne, Victoria
         Australia


STARS OF PERTH: To Declare First and Final Dividend
---------------------------------------------------
Stars of Perth Ltd will declare the first and final dividend for
its creditors on September 29, 2006.

Failure to submit proofs of debts by September 13, 2006, will
exclude the creditor from sharing in the company's distribution
of dividend.

The Deed Administrator can be reached at:

         D. McLay
         Summerscorporate
         Next Building
         Level 5, 16 Milligan Street
         Perth, West Australia 6000
         Australia


TEDAIC PTY: Members Resolve to Wind Up Operations
-------------------------------------------------
At a general meeting held on August 22, 2006, the members of
Tedaic Pty Ltd resolved to voluntarily wind up the company's
operations and appoint John Gordon Hinde as liquidator.

The Liquidator can be reached at:

         John Gordon Hinde
         c/o Wynn & Bennett
         Chartered Accountants
         Level 10, 5 Elizabeth Street
         Sydney, New South Wales 2000
         Australia


THE BICYLCE AUTHORITY: Appoints Receivers and Managers
------------------------------------------------------
On August 2, 2006, Geoffrey Niels Handberg and Brent Leigh
Morgan were appointed as joint and several receivers and
managers of The Bicycle Authority Pty Ltd.

The Joint and Several Receivers and Managers can be reached at:

         Geoffrey Niels Handberg
         Brent Leigh Morgan
         D'Aloia Handberg
         Level 10, 200 Queen Street
         Melbourne, Victoria
         Australia


TOWNSVILLE HOTEL: Members' Final Meeting Set for September 29
-------------------------------------------------------------
Members of Townsville Hotel Pty Ltd will convene for their final
meeting on September 29, 2006 at 10:00 a.m.

During the meeting, Liquidators Cuming and Pratt will present a
report regarding the company's wind-up proceedings and the
manner its properties were disposed of.

The Troubled Company Reporter - Asia Pacific previously reported
that the company commenced a wind-up of its operations on
December 29, 2005.

The Liquidator can be reached at:

         Timothy James Cuming
         David Clement Pratt
         PricewaterhouseCoopers
         Level 15, 201 Sussex Street
         Sydney, New South Wales 2000
         Australia


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

CHEER LONG: Wind-Up Bid Hearing Set on September 27
---------------------------------------------------
A liquidation petition filed against Cheer Long Holdings Ltd
will be heard before the High Court of Hong Kong on Sept. 27,
2006, at 9:30 a.m.

Leung Fung Luen Hing filed the petition with the Court on
July 28, 2006.

The Solicitors for the Petitioner can be reached at:

         Joe Poon
         34/F, Hopewell Centre
         183 Queen's Road East
         Wanchai, Hong Kong


KA SHUN: Court to Hear Wind-Up Bid on October 11
------------------------------------------------
The High Court of Hong Kong will hear a wind-up petition filed
against Ka Shun Industrial Ltd on October 4, 2006, at 9:30 a.m.

Chow Nim Chi, Amanda filed petition with the court on August 2,
2006.

The Solicitors for the Petitioner can be reached at:

         Joe Poon
         34/F, Hopewell Centre
         183 Queen's Road East
         Wanchai, Hong Kong


KELLY CONSTRUCTION: Wind-Up Petition Hearing Set on September 27
----------------------------------------------------------------
The High Court of Hong Kong will hear a wind-up petition against
Kelly Construction Engineering Ltd on September 27, 2006, at
9:30 a.m.

Leung Shiu Ming filed the petition with the Court on July 28,
2006.

The Solicitor for the Petitioner can be reached at:

         Joe Poon
         34/F, Hopewell Centre
         183 Queen's Road East
         Wanchai, Hong Kong


LLOYDS ARCHITECTURAL: Enters Wind-Up Proceedings
------------------------------------------------
The High Court of Hong Kong will hear a wind-up petition against
Lloyds Architectural & Engineering Consultants Ltd on Sept. 13,
2006, at 9:30 a.m.

Chan Chi Fung filed the petition with the Court on July 14,
2006.

The Solicitor for the Petitioner can be reached at:

         Joe Poon
         34/F, Hopewell Centre
         183 Queen's Road East
         Wanchai, Hong Kong


MODERN GARMENTS: Court to Hear Wind-Up Petition on September 27
---------------------------------------------------------------
A wind-up petition filed against Modern Garments Ltd will be
heard before the High Court of Hong Kong on September 27, 2006,
at 9:30 a.m.

Lloyd Textile Fashion Company Ltd filed the petition on July 31,
2006.

The Solicitors for the Petitioner can be reached at:

         Darin Leung & Partners
         25th Floor, Beautiful Group Tower
         Nos. 74-77 Connaught Road Central
         Hong Kong


MOULIN GLOBAL: Joint and Several Liquidators Named
--------------------------------------------------
Roderick John Sutton and Desmond Chung Seng Chiong were
appointed joint and several liquidators of Moulin Global Eyecare
Holdings Ltd on August 28, 2006.

The Troubled Company Reporter - Asia Pacific reported that on
June 5, 2006, the High Court of Hong Kong issued a wind-up order
against the company's operations.

The Joint and Several Liquidators can be reached at:

         Roderick John Sutton
         c/o Ferrier Hodgson Limited
         14/F., Hong Kong Club Building
         3A Chater Road, Central
         Hong Kong

                      About Moulin Global

Based in Hong Kong, Moulin Global Eyecare Holdings
-- http://www.moulin.com.hk/-- was once the world's third-
largest maker of eyeglasses until it went into liquidation last
year.  The primary activity of the Company was manufacturing and
designing ophthalmic goods, the Company was also engaged in
distribution and retailing of optical frames and sunglasses.

Chairman Ma Bo-kee founded Moulin on 1960 as a spectacle
workshop with 12 workers. It listed on the stock exchange in
1993 and was ranked by Forbes Global in 1998 among the 300 best
small firms in the world.  By last year, it had more than 5,000
workers with business in the United States and Europe.

Moulin's debt problems surfaced shortly after its auditor,
Deloitte Touche Tohmatsu, resigned in April last year.  Moulin
went bankrupt in June 2005 owing almost HKD3.6 billion, HKD2.4
billion of this are owed from creditors in Hong Kong.


MOULIN GLOBAL (TRADING): Names Sutton and Chiong as Liquidators
---------------------------------------------------------------
On August 28, 2006, Roderick John Sutton and Desmond Chung Seng
Chiong were named Joint and Several Liquidators of Moulin Global
Eyecare Trading Ltd.

The Joint and Several Liquidators can be reached at:

         Roderick John Sutton
         c/o Ferrier Hodgson Limited
         14/F., Hong Kong Club Building
         3A Chater Road, Central
         Hong Kong

Based in Hong Kong, Moulin Global Eyecare Trading Ltd, a wholly
owned subsidiary of Moulin Global Eyecare Holdings --
http://www.moulin.com.hk/-- was once the world's third-largest
maker of eyeglasses until it went into liquidation in 2005.  The
primary activity of the Company was manufacturing and designing
ophthalmic goods, the Company was also engaged in distribution
and retailing of optical frames and sunglasses.

Chairman Ma Bo-kee founded Moulin on 1960 as a spectacle
workshop with 12 workers.  It listed on the stock exchange in
1993 and was ranked by Forbes Global in 1998 among the 300 best
small firms in the world.  By 2005, it had more than 5,000
workers with business in the United States and Europe.

Moulin's debt problems surfaced shortly after its auditor,
Deloitte Touche Tohmatsu, resigned in April last year.  Moulin
went bankrupt in June 2005 owing almost HKD3.6 billion, of which
HKD2.4 billion are owed from creditors in Hong Kong.


OCEAN GRAND: Seeks to Wind Up its Operations
--------------------------------------------
Ocean Grand Holdings Ltd filed before the High Court of Hong
Kong a petition to wind up its operations on July 24, 2006.

The petition will be heard on September 20, 2006, at 9:30 a.m.

Any person who intends to appear on the hearing are required to
send a letter of intent to the petitioner's solicitor not later
than September 19, 2006.

The Solicitor for the Petitioner can be reached at:

         Woo, Kwan, Lee & Lo
         Room 2801, Sun Hung Kai Centre
         30 Harbour Road
         Wanchai, Hong Kong


Ocean Grand Holding's -- http://www.ogholdings.com/-- principal
activities are the manufacture and sale of aluminum extrusion
products and chemicals for use in electroplating and refining of
gold material produced at facilities located in Nanhai of
Guangdong Province and the Hong Kong Special Administrative
Region of The People's Republic of China.

The Troubled Company Reporter - Asia Pacific reported on July
27, 2006, that the investigators conducting a probe on the
Group's accounts discovered a total of CNY842 million missing
from the bank accounts of Ocean Grand's subsidiaries and that
the group was unable to pay immediate debts exceeding HKD261
million.

On August 10, 2006, the TCR-AP reported that the company was
also facing a wind-up petition with the Supreme Court of
Bermuda.  The petition was heard on August 18, 2006.

                          *     *     *

Standard & Poor's Ratings Services lowered its long-term
corporate credit rating on Ocean Grand Holdings Ltd to B from
BB-.  It also lowered its issue rating on US$160 million senior
unsecured notes due 2010 to B from BB-.  S&P said that the
downgrade reflects their heightened concerns on Ocean Grand's
corporate governance and internal control systems.

On July 27, 2006, S&P had again lowered its long-term corporate
credit rating on Ocean Grand Holdings Ltd. to 'D' from 'B'.  In
addition, it lowered its issue rating on US$160-million senior
unsecured notes due 2010 to 'D' from 'B'.


OCEAN GRAND CHEMICALS: Appoints Provisional Liquidators
-------------------------------------------------------
Lai Kar Yan, Derek and and Joseph Kin Ching Lo, both of Deloitte
Touche Tohmatsu, were appointed Joint and Several Provisional
Liquidators of the Company on July 24, 2006.

The Provisional Liquidators can be reached at:

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


                       About Ocean Grand Chemicals

Ocean Grand Chemicals Holding Ltd -- www.ogchemicals.com/ -- is
a wholly owned subsidiary of Ocean Grand Holdings Company Ltd.
The Group's principal activities are the trading, manufacturing,
and sub-contracting of chemicals for electroplating of precious
metal materials (being gold salt, silver salt, palladium salt,
and rhodium sulphate).  Other activities include provision of
management services and investment holding.  Operations are
carried out in Hong Kong and the People's Republic of China.

                          *     *     *

Ocean Grand Holding's -- http://www.ogholdings.com/-- principal
activities are the manufacture and sale of aluminum extrusion
products and chemicals for use in electroplating and refining of
gold material produced at facilities located in Nanhai of
Guangdong Province and the Hong Kong Special Administrative
Region of The People's Republic of China.

The Troubled Company Reporter - Asia Pacific reported on July
27, 2006, that the investigators conducting a prove on the
Group's accounts discovered a total of CNY842 million missing
from the bank accounts of Ocean Grand's subsidiaries and that
the group was unable to pay immediate debts exceeding HKD261
million.

On August 10, 2006, the TCR-AP reported that the company was
also facing a wind-up petition with the Supreme Court of
Bermuda.  The petition was heard on August 18, 2006.

                          *     *     *

Standard & Poor's Ratings Services lowered its long-term
corporate credit rating on Ocean Grand Holdings Ltd to B from
BB-.  It also lowered its issue rating on US$160 million senior
unsecured notes due 2010 to B from BB-.  S&P said that the
downgrade reflects their heightened concerns on Ocean Grand's
corporate governance and internal control systems.

On July 27, 2006, S&P had again lowered its long-term corporate
credit rating on Ocean Grand Holdings Ltd. to 'D' from 'B'.  In
addition, it lowered its issue rating on US$160-million senior
unsecured notes due 2010 to 'D' from 'B'.


STAR CRUISES: Moody's Pares Corp. Family Rating to B1 from Ba3
--------------------------------------------------------------
Moody's Investors Service has downgraded on September 8, 2006,
the corporate family rating of Star Cruises Limited to B1 from
Ba3.  The rating outlook remains negative.

"The downgrade follows the announcement by NCL Corporation
Limited --NCL; B1 corporate family rating -- its 100%-owned
subsidiary, that it has entered into shipbuilding contracts for
the construction of two new vessels with an option to request
the builder to construct a third one by August 2007.  The 2 new
builds will be funded by debt and internal resources at the NCL
level," says lead analyst Kaven Tsang, adding, "Moody's also
expects SCL to provide support to part fund NCL's new
acquisition."

Further, Moody's understands that NCL's new acquisition is
subject to the fulfillment of condition precedents and
shareholders' approval.

"The downgrade reflects the close association between SCL and
NCL, which represented over 80% of consolidated revenue and 72%
of consolidated debt in 2005," says Tsang.

NCL's weaker-than-expected performance in 1H 06 and the rise in
capex from the 2 new builds will likely result in SCL's
projected consolidated EBITDA interest coverage falling to
around 1.5-2x and adjusted debt/EBITDA staying high at around 8-
10x over the next 2 years -- levels considered as more
appropriate for SCL's revised rating level (on a stand-alone
rating basis).

SCL's stand-alone liquidity is expected to weaken as a result of
NCL's purchase of the new vessels if it provides support to NCL
to part fund the acquisition.  In such case, aside from its cash
balance of around US$110 million, SCL may have to rely on
additional bank borrowings and asset disposals to part fund
NCL's acquisition and its working capital requirements.

The B1 rating continues to reflect Moody's expectation of
potential support from its shareholders, including the Lim
Family and Genting (A3), which directly and indirectly own 87%
and 21% of SCL, respectively.  Such support could be in the form
of capital injections for SCL and indirectly to NCL for capex
requirements.  The rating is therefore one-notch higher than
what it would be on a stand-alone basis.

The ratings outlook remains negative, reflecting Moody's
concerns that SCL's financial metrics may remain under pressure
due to uncertainty over when NCL will turn around its weak
performance.  Furthermore, NCL's exercise of the purchase option
would also further increase leverage.

The negative outlook further reflects uncertainties over whether
SCL's potential asset disposals - to part fund its support to
NCL and its working capital needs - will prove successful, such
that weakness in SCL's liquidity and leverage is somehow
mitigated.

Downgrade pressure would evolve if EBITDA interest coverage
consistently falls below 1.25x and adjusted debt/EBITDA stays
high at above 10x over the next 2 years. Such an outcome could
occur if:

   -- the performance of NCL, mainly the Hawaiian route, fails
      to improve as planned, such that EBITDA growth for NCL and
      hence SCL continues to fall below expectations; or

   -- further acquisitions occur, such that debt rises and
      appropriate remedies to reduce the resultant higher
      leverage appear insufficient.

The rating is unlikely to be upgraded, given the negative
outlook.

However, for the outlook to return to stable, Moody's would need
to see a stabilization in SCL operating performances, mainly
NCL's Hawaiian business, such that EBITDA interest coverage
rises above 2x and adjusted debt/EBITDA trends towards 7-8x over
the next 2 years. Such trends could be a result of:

   --  NCL successfully turning around the Hawaiian route, such
       that EBITDA grows as projected; or

   -- it strengthens liquidity and lowers leverage through the
      implementation of equity injections and asset disposals.

SCL, publicly listed in Hong Kong, is a core member of the
Genting Group and 36.0% owned by Resorts World, which is, in
turn, 57.7% owned by Genting Berhad (rated A3).  SCL operates 20
ships with some 30,000 lower berths under five brands: Star
Cruises and Cruise Ferries, which service Asia Pacific, and
three brands under NCL. SCL has another 4 ships due to be
delivered up to 2010.

                          *     *     *

Star Cruises Limited -- www.starcruises.com/ -- is a Company
publicly listed in Hong Kong and is a core member of the Genting
Group and 36.1% owned by Resorts World, which is, in turn, 57.7%
owned by Genting Berhad.  Star Cruises operates 22 ships with
35,000 lower berths under five main brands:  Star Cruises and
Cruise Ferries, which service Asia Pacific, and three brands
under NCL.

Standard and Poors Ratings Services placed on September 8, 2006,
its BB corporate credit ratings on Star Cruises Ltd. and its
wholly owned subsidiary, NCL Corp. Ltd., on CreditWatch with
negative implications.

On May 26, 2006, Moody's Investors Service has changed to
negative from stable its outlook for the Ba3 corporate family
rating of Star Cruises Limited.  At the same time, Moody's
likewise revised to negative from stable its outlook for the Ba3
corporate family rating and B2 senior unsecured bond rating of
NCL Corporation Limited, a wholly owned subsidiary of Star
Cruises.


STAR CRUISES: S&P's Sets BB Corp. Credit Rating on CreditWatch
--------------------------------------------------------------
Standard & Poor's Ratings Services placed on September 8, 2006,
its BB corporate credit ratings on Star Cruises Ltd. and its
wholly owned subsidiary, NCL Corp. Ltd., on CreditWatch with
negative implications.

Star Cruises is the third-largest cruise operator globally, and
NCL is the North American arm of the group.

"The placement on CreditWatch negative reflects our concerns
over the aggressive and further weakening in the financial risk
profile resulting from the proposed acquisition of two new
vessels by NCL," said Standard & Poor's credit analyst Greg Pau.

NCL has placed orders for two new cruise ships, each with
capacity of over 4,200 passengers.  The ships will be delivered
in the fourth quarter of 2009 and the second quarter of 2010.
The acquisition price of each ship is contracted at EUR735
million.  In addition, NCL has an option to buy a third ship of
similar size at EUR700 million.  Standard & Poor's understands
that NCL intends to finance the acquisitions substantially by
debt.

At the group level, the acquisitions are expected to increase
Star Cruises' financial risk. Star Cruises' current financial
measures, reflected in debt to EBITDA of 8x and funds from
operations (FFO) to debt of 7% in 2005, were weaker than peers
at a similar rating level.  The current 'BB' ratings on Star
Cruises and NCL reflect Standard & Poor's previous expectation
that there would be debt reduction and steady improvement in
these measures to 5x and 15%, respectively, in 2008 after the
company takes delivery of the last ship under its previously
planned ship acquisition program.

The newly announced acquisitions will delay the improvement by
at least three years.  Star Cruises' financial profile could
weaken further and its credit rating will be under further
downward pressure if NCL exercises its option to buy the third
ship and uses substantial debt to finance the purchase.

The rating on Star Cruises reflects its strategic importance to
its parent, Malaysia-based Genting Bhd. (BBB+/Stable/--), and
Star Cruises' established position in the Asian cruise market.
However, the rating remains constrained by Star Cruises' small
size relative to its two main competitors, and its less
competitive and profitable fleet.  The rating is also weakened
by intense industry competition, the company's volatile
profitability, and its very aggressive capital structure.

The rating on NCL takes into account the wider Star Cruises
group, due to the strong influence of the parent on its business
operations and financial policies, and operational integration
between the entities.  Therefore, the rating on NCL is highly
correlated to the credit profile of Star Cruises.

Standard & Poor's expects to resolve the CreditWatch listing
within one month, upon evaluation of the group's detailed
financing plan.  In resolving the CreditWatch listing, Standard
& Poor's will also evaluate the group's business and financial
strategies, liquidity profile, and future acquisition
strategies.  Financing sources and terms for the proposed
acquisition, realization from the potential sale of older ships,
and prospects of improvement in cash flows will be key issues
for consideration.

                          *     *     *

Star Cruises Limited -- www.starcruises.com/ -- is a Company
publicly listed in Hong Kong and is a core member of the Genting
Group and 36.1% owned by Resorts World, which is, in turn, 57.7%
owned by Genting Berhad.  Star Cruises operates 22 ships with
35,000 lower berths under five main brands:  Star Cruises and
Cruise Ferries, which service Asia Pacific, and three brands
under NCL.

On May 26, 2006, Moody's Investors Service has changed to
negative from stable its outlook for the Ba3 corporate family
rating of Star Cruises Limited.  At the same time, Moody's
likewise revised to negative from stable its outlook for the Ba3
corporate family rating and B2 senior unsecured bond rating of
NCL Corporation Limited, a wholly owned subsidiary of Star
Cruises.


=======
F I J I
=======

FIJI DEVELOPMENT BANK: S&P Assigns 'BB-/B' Credit Rating
--------------------------------------------------------
Standard & Poor's Ratings Services assigns its 'BB-/B' foreign
currency and 'BB/B' local currency counterparty credit ratings
to the Fiji Development Bank.  The outlook is stable.  The
ratings on FDB reflect the bank's status as the Republic of Fiji
Islands' (Fiji; BB-/Stable/B) official development bank, and its
close relationship with and guaranteed support from the
government of Fiji.

"Government guarantee for all but around a quarter of FDB's
existing obligations underpins government support for the bank's
rating," Standard & Poor's credit analyst Kyran Curry of the
Sovereign Ratings group says.  "In the medium term, Standard &
Poor's expects the government to continue guaranteeing most of
FDB's future borrowing programs.  Furthermore, monitoring and
oversight by the government ensures that the government should
be aware of any impending cash flow difficulty at FDB."

FDB's traditional role fulfills the government's policy and
development objectives by providing financing to development
projects that commercial banks might have difficulty covering
because of associated risks.  The government also uses FDB to
direct lending to certain sectors and groups.

Nevertheless, in addition to supporting the government policy,
the bank offers commercial and personal loans in competition
with the commercial banks operating in Fiji.  At June 2005, the
"commercial loans" represented about 65% of FDB's total loan
portfolio of FJ$325 million (US$186 million).

"FDB's standalone credit profile is hindered by the bank's very
weak asset quality, as reflected in high non-performing assets
to average customer loans of 29%, and net loan losses to average
customer loans of 3.9% for fiscal 2005.

Asset quality risks are moderated to a degree, however, by the
bank's good net interest income to average earning assets of
5.7%, and capitalization of 25% of adjusted common equity to
adjusted assets," Mr. Curry says.

The stable outlook on the rating reflects that of the Fiji
government.  Under the current legislative and policy framework,
FDB's rating should remain equated with the government.  In the
medium term, FDB's credit quality might be affected by a change
in legislation or policy, or the bank's entry into full retail
banking, if this move results in a weakening of government
support.


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

LML LIMITED: Turns to BIFR for Help
-----------------------------------
LML Limited has decided to approach the Board for Industrial and
Financial Reconstruction after declaring itself sick on
September 8, 2006, upon complete erosion of its net worth, My
Iris News reports.

The company informed the Bombay Stock Exchange that after taking
into consideration the continued lockout of two-wheeler
operations and the present prevailing condition, coupled with
the uncertainty of generation of profits in near future, the
board decided to reverse the provision of deferred tax asset, My
Iris says.   As a result, the net worth of the company as of
August 31, 2006, has been completely eroded and it has,
consequently, become a sick industrial company under the Sick
Industrial Companies (Special Provisions) Act, 1985.

The company cited the Kanpur plant lockout and an "uncertainty
of generation of profits in near future" as among the reasons
for the decision to approach the BIFR, The Times of India says.

As reported in the Troubled Company Reporter - Asia Pacific, the
LML management had declared a lockout on March 7, 2006, when it
was not able to pay salary to its staff on February 27, 2006.
The TCR-AP stated that the workers resorted to an industrial
action after calls to managing director Deepak Singhania and
factory administrative head RK Shrivastava went unanswered.

The Times recounts that LML's woes began nearly half a decade
ago when customers suddenly shifted preference from scooters to
motorcycles.  LML, which was predominantly a scooter
manufacturer, tried to step into the motorcycle market to keep
pace with the changing market dynamics, and even joined hands
with South Korean company Daelim.  However, their joint effort
failed to yield any dividend and the firm saw its profits slide
fast, pushing the company into the red zone, The Times notes.

According to Moneycontrol, LML had started a restructuring plan
in February 2005 and had raised INR200 crore in first tranche.
It had also increased its authorized share capital from
INR60 crore to INR250 crore.

Financial investment institutions like Credit Suisse and Merrill
Lynch had bet on the company.  Yet, lately, they have been
selling shares, Moneycontrol reveals.  Merrill Lynch sold 49.89
lakh shares, Credit Suisse sold 32.41 lakh shares and Morington
Investment sold 28.29 lakh shares in August.

                        About LML Limited

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

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


PARASRAMPURIA SYNTHETICS: ICRA Reaffirms LD Credit Rating
---------------------------------------------------------
ICRA has reaffirmed the LD rating assigned to the INR573-million
Non-Convertible Debenture program and INR387.7-million
Cumulative Convertible Preference Shares of Parasrampuria
Synthetics Limited.  This is the lowest-credit-quality rating
assigned by ICRA.

The rated instrument has very low prospect of recovery.  The
rating reaffirmation takes into account PSL's continued delays
in meeting its interest and principal obligations to banks,
financial institutions and other creditors.

                          *     *     *

Headquartered in New Delhi, India, Parasrampuria Synthetics
Limited -- http://www.parasrampuria.com/psl1.html-- produces
dope dyed yarn and is  also able to offer its customers one of
the widest range  of  yarns including partially oriented yarn,
texturized yarns, bright trilobal yarns, cationic dyeable yarns
and micro-filament yarns.  Apart from selling its products in
the domestic market, PSL is exporting its products to discerning
buyers in Europe, Asia and Africa.


* Government Clears INR124.37-Crore Package for 15 CPSEs
--------------------------------------------------------
The Cabinet Commitee on Economic Affairs approved on Sept. 7,
2006, a INR124.37-crore package to pay the dues of 15 sick
central public sector enterprises to around 37,000 workers for
the January-June 2006 period, The Hindu Business Line relates.

The 15 companies were unable to pay salary to their employees
and the Government is providing budgetary support to them for
six-month salary arrears, the report says.

The CPSEs for which support will been provided are:

     1) Andrew Yule and Company -- INR12.77 crore;
     2) Bharat Heavy Plates and Vessels Ltd -- INRI.01 crore;
     3) Burn Standard Company -- INRI.95 crore;
     4) Bharat Wagon Engineering -- INR4.27 crore;
     5) Hindustan Cables -- INR39.75 crore;
     6) HMT Machinery Tools -- INR6.10 crore;
     7) HMT Watches -- INR19.93;
     8) Hindustan Photo Films -- INR6.93 crore;
     9) Instrumentation Ltd -- INR7.63 crore
    10) Nepa Ltd -- INR3.26 crore;
    11) Triveni Structurals -- INR2.40 crore;
    12) HMT Chinar Watches -- INR5.78 crore;
    13) HMT Machine Tools -- INR6.10 crore;
    14) National Instruments Ltd -- INR0.33 crore; and
    15) Tungabhadra Steel Products Ltd -- INR3.09 crore.

Minister for Heavy Industries and Public Sector Enterprises
Santosh Mohan Dev said that the amounts will be released within
this week, The Business Line states.


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

ANEKA TAMBANG: Posts IDR515-Billion First Half Net Profit
---------------------------------------------------------
PT Aneka Tambang Tbk recorded a net profit of IDR515 billion
(US$56 million) or IDR270.06 per share for the six-month period
ending June 30, 2006, according to a company release.  This
result shows a 24% increase over the IDR416 billion or
IDR217.97 per share recorded for the six-month period ended
June 30, 2005.

Antam's net sales increased IDR794 billion, or 61%, to
IDR2.104 trillion in the 2006 first-half, largely due to
increased production and sales volumes of nickel contained in
ferronickel and slightly to moderately higher average selling
prices for all of Antam's products.  As in past years, the bulk
of sales were generated by exports and from the nickel division.
According to the company, IDR1.949 trillion, or 93% of sales,
were exports and IDR1.779 trillion, or 84% of sales, were from
the nickel division.

Ferronickel production increased by 151% to 6,859 tonnes in the
2006 first-half as output from FeNi II continued strongly
following an overhaul completed in October 2005.  Sales volumes
rose along with production increases by 175% to 6,329 tonnes,
due to the continuing strong demand for nickel from Antam's
customers.  In combination with a 10% higher sales price of
US$7.54 per pound, ferronickel sales rose 241% to
IDR967 billion, or 46% of total sales and contributed an
additional IDR684 billion compared with the first half of 2005,
or 86% of the increase of total sales.

Increased production and sales volumes and prices of high grade
(saprolite) and low grade (limonite) nickel ores contributed to
the first half of 2006 net sales increase, although to a lesser
degree.  Antam produced 1.63 million tonnes of saprolite, a 38%
increase while sales increased 15% to 1.57 million tonnes.
Antam produced 0.38 million tonnes of limonite, a 19% decrease
while sales decreased 13% to 0.36 million tonnes.  Combined,
nickel ore sales of IDR812 billion, or 38% of total sales,
contributed an additional IDR133.5 billion, which amounts to 17%
of the increase.  High grade nickel ore prices rose by 2% to an
average of US$46.02 per wet metric ton and low grade prices rose
by 74% to US$28.29 per wmt.

Due to the implementation of a redesign of Antam's Pongkor gold
mine, brought about by lower than expected grades and softer
than expected tunnel wall conditions, production of gold and
silver fell in the first half of 2006 to 1,280kg and 10,631kg,
respectively.  In line with these decreases, sales volumes
dropped by 33% to 1,178kg for gold and by 9% to 10,236kg for
silver.  Although the gold price increased by 38% to
US$590.48 per troy ounce, the contribution of gold sales
decreased IDR31 billion, or 13%, to IDR206 billion and
represented a 10% share of net sales.  The reduction of silver
sales volumes was less pronounced than with gold, and together
with a 13% higher sales price of US$8.01 per troy ounce, the
contribution of silver rose by 1% to IDR24 billion.  Also part
of the gold division, the services provided by Logam Mulia,
Indonesia's only precious metals refinery, rose 8% to
IDR6.6 billion.  Together the contribution of the gold division
decreased 11% to IDR237 billion, or 11% of Antam's net sales.

Antam's bauxite division sales increased IDR9 billion, or 11%
more, in the first half of 2006.  Total sales rose to
IDR88 billion, despite lower production and sales volumes, as
the average bauxite price rose 27% to US$13.45 per wmt.

                           Customers

Antam's four largest buyers in the first half of 2006 accounted
for nearly two thirds of all sales: Avarus at IDR400 billion
(19% of total sales) which is Antam's nickel agent for European
sales, and deals with long-term customers such as Thyssen Krupp
Nirosta and AvestaPolaris; Posco at IDR379 billion (18% of total
sales); Mitsui & Co at IDR346 billion (16% of total sales); and
Yieh United Steel Corp at IDR229 billion (11% of total sales).

Substantially all of Antam sales contracts are volume-based and
the price is determined by the international spot market.  For
nickel ore the price is determined using an average on the
London Metal Exchange of the spot price for nickel over the
previous quarter.  Based on medium term contracts, high-grade
ore (usually grading 2.2-2.4% of nickel) is sold to Japanese
ferronickel smelters such as Pamco and Sumitomo Metals Mining Co
and low grade ore (usually grading 1.2 - 1.5%) and low grade
saprolite ore (usually grading 1.6-2.0%) is sold to QNI in
Australia.  For nickel contained in ferronickel, which is
substantially all sold in medium to long-term contracts to
customers in Europe and North Asia, the price is determined
using an average on the LME of the previous month's spot price
for nickel.  Antam's nickel ore is shipped FOB -- free on board
-- while nickel contained in ferronickel is shipped CIF -- cost,
insurance and freight.

Antam's internationally accredited gold bars, as well as silver,
are priced by spot prices determined by the London Bullion
Market Association, although only 35% of sales revenues were
from exports.

Antam's bauxite is sold to high quality alumina producers in
China and Japan with prices negotiated in recognition of the
high silica-containing bauxite that was never intended for sale.
Due to the high demand for bauxite Antam has prolonged the mine
life of the Kijang bauxite mine, which will eventually be shut
down and together with Chinese partners converted into a smelter
grade alumina facility.

                  Costs of Sales/Gross Profit

Antam's cost of sales in the first half of 2006 increased
IDR469 billion, or 71%, to IDR1.129 trillion compared with the
cost of sales in the first half of 2005.  The increase is
largely attributed to increased production of ferronickel and
nickel ore, together with increasing prices for materials and
mining services.  The 151% increase of ferronickel production to
6,859 tonnes was the largest contributor to Antam higher costs.
Ferronickel is energy-intensive, with 44% of the cash costs in
the first half of 2006 attributed to fuel used to create the
power to heat the smelters.  Antam increased nickel ore
production, the cost of which is largely reflected in the higher
ore mining fees, but the production of the other products
decreased.  Due to the fast pace of demand growth and the
industry's attempts to catch up by ramping up supply, the prices
of substantially all inputs in the mining sector, from
transportation to spare parts to equipment to raw materials
increased.  This is reflected in Antam's results, where only 4
cost items decreased while 17 cost items increased.

The impact of ramping up ferronickel production in the first
half of 2006, and higher non-subsidized fuel prices, is also
reflected in fuel becoming Antam's top expense.  Accounting for
85% of the cost of sales, the top five costs in descending order
(and percentage of cost of sales) were: fuel (22%), materials
(22%), ore mining fees (20%), labour (12%) and depreciation
(9%).  Last year, the top cost was ore mining fees (19%),
materials (14%), labour (14%), depreciation (11%) and fuel (9%).

Antam's fuel cost rose 331% to IDR250 billion of which
substantially all was used to produce ferronickel.  Fuel is a
variable cost, such that when FeNi II was under repairs last
year, and despite the full removal of subsidies by mid-2005,
fuel was only the fifth largest cost.  In the first half of
2006, the fuel cost rose at a faster pace than the increase in
production volumes as the price of fuel rose as well.  The price
per litre for fuel rose 114% from IDR1,768 per litre to IDR3,791
per litre.  Antam's Pomalaa nickel facility used power generated
at its 102 mega watt power plant, which is operated by Wartsila
of Finland.  The new and more efficient power plant is able to
operate using the less expensive marine fuel oil.

Antam's materials cost increased 170% to IDR248 billion and
maintained its position as the number two largest expense.
Materials are also typically variable costs such as raw
materials (excavated by Antam) and consumables such as limestone
and anthracite. It mostly consists of materials for ferronickel
production.  Unlike in 2005, a large component of this cost, and
the cost increase, is the amount spent on the 518,353 wmt of
saprolite ore from PT Inco to feed FeNi III smelter.

The cost of nickel and bauxite ores that are mined by Antam's
contractors makes up the third largest cost, which increased 77%
to IDR221 billion.  The rate of increase of the ore mining fees
exceeded that of the increase of ore production volumes due to
higher operating costs, which are passed on to Antam.  Ore
mining fees dropped down from the number one cost as Antam did
not conduct any toll smelting in the first half of 2006, whereas
in 2005 Antam conducted close to 300 tonnes of toll smelting
with Pamco of Japan.  Antam will carry out toll smelting with
other ferronickel producers to offset production decreases from
repairs or unexpected shutdowns.

The cost of labour is Antam's fourth largest cost, down from the
third position last year.  It rose 49% to IDR134 billion.  It is
best characterized as a fixed cost although Antam is continuing
to find appropriate ways to link performance to compensation.
The increase is attributed to one-time early retirement payments
and higher compensation levels agreed to by management in
recognition of the company's improved financial performance.
The increase would have been far greater had Antam not reduced
the work force through the closure of the Gebe nickel mine at
the end of 2005 and the early retirement of non-permanent daily
contractors at the Pongkor gold mine during the first quarter of
2006.

Antam's depreciation charges, the fifth largest cost, increased
by 42% to IDR103.5 billion, as Antam began to depreciate the
FeNi III smelter.  Although commercial operations of FeNi III
had not been achieved, construction of the smelter was completed
when the smelter was switched on in February 2006 and operations
began soon thereafter.  Upon commencing operations at the end of
March, Antam began to depreciate the value of the smelter.

As the 71% increase of the cost of sales exceed the 61% net
sales growth, Antam's gross profit increased by the lesser 50%
to IDR976 billion (US$106 million) and the gross margin
decreased to 46% from 50%.

                   Operating Expenses/Income

Unlike the cost of sales, Antam decreased operating expenses by
9% to IDR122 billion (US$13 million).  General and
administrative costs decreased 6.5% to IDR114 billion, largely
due to lower mine closure cost, which decreased 62% to
IDR15 billion.  The labor expense, the largest operating
expense, increased 9% to IDR55 billion.  Antam lowered its
operating expenses by spending less on office supplies, post and
telecommunications, as well as less on the representative office
in Tokyo and on exploration.

Antam's operating income increased at a faster pace than gross
profit due to lower operating expenses, jumping 65% to
IDR854 billion (US$93 million).  Antam's operating margin,
unlike the gross margin, widened slightly to 41% from 39%.  The
nickel division was the largest contributor, as operating income
rose 71% to IDR900 billion although operating margins squeezed
slightly from 55% to 51%.  The gold division generated 31% less
operating income of IDR46 billion as the operating margin
contracted slightly from 25% to 19%.  Antam's other division,
which is mostly bauxite, generated IDR10 billion, with an
operating margin of 11%, a substantial improvement over last
year.  Antam's head office, which does not generate any income,
incurred a 31% larger operating loss of IDR102 billion.  Not
including the operating loss from head office, Antam's
operations generated income of IDR956 billion, 95% of which was
generated by the nickel division followed by 5% from the gold
division.

                           Cash Costs

The cash cost of production of ferronickel rose from US$3.80 per
pound at the end of the first half of 2005 to US$4.00 per lb at
the end of the first half of 2006.  The 5% increase is largely
attributed to higher fuel prices.  In the first half of 2006,
fuel accounted for 44% half of the cash cost of producing
ferronickel.  Meanwhile, the cash cost of saprolite increased
34% to US$18.88 per wmt as the limonite cash cost amounted to
US$6.01 per wmt.  Antam is currently planning to reduce the cash
cost of its energy-intensive ferronickel operations by switching
to less expensive natural gas by mid-2008 from the more costly
diesel.  Antam is also exploring the possibility of hydropower
in the medium to long term.

Inline with the sharp reduction in gold production, during the
first half of the year, the cash cost of producing gold rose 47%
to US$292.07 per t.oz.

During 1H06 the cash cost of producing bauxite was 31% higher
compared to the same period last year at US$9.55 per wmt.

                     Other Income/Expenses

Due to larger interest expenses and foreign exchange losses, and
other one-off losses, Antam incurred IDR118 billion of Other
Expenses in the 2006 first half compared with IDR74 billion of
Other Income last year.  Antam's interest expense increased 433%
to IDR48 billion as Antam began to expense, rather than
capitalize, the interest associated with the funding of the FeNi
III smelter.  Prior to the completion of construction and
operation in February/March (which is not the same as achieving
commercial operations), Antam capitalized the FeNi III interest.
As well due to the stronger Rupiah, Antam incurred a foreign
exchange loss of IDR75 billion, compared to a foreign exchange
gain of IDR19 billion in 2005.

                           Net Income

As a result of incurring Other Expenses rather than income,
Antam's net income grew at a slower pace than operating income,
increasing 24% to IDR515 billion as the net margin contracted to
24% from 32%.

                          Total Assets

Antam's total assets grew by 14% to IDR6,640 billion (US$714
million), largely due to increased third party trade
receivables, higher inventories and increased fixed assets.

                         Current Assets

Antam's current assets increased by 25% to IDR2.523 trillion
(US$271 million) due to a 267% increase of third party trade
receivables to IDR579 billion and a 49% increase of inventories
to IDR664 billion.  Antam's cash and cash equivalents decreased
10% to IDR900 billion.  Although less than the 5.1 times of the
end of the first half of 2005, Antam's liquidity remained
satisfactory at 2.8 times, with working capital remaining the
same at IDR1.615 trillion.

Antam's IDR900 billion of cash and cash equivalents remained
held largely as cash and time deposits in over a dozen domestic
and international banks.  The amount of cash in banks increased
to IDR550 billion, or 61% of total cash and cash equivalents, up
from IDR170 billion or 17% of total cash and cash equivalents.
Concurrently, Antam held IDR348 billion in time deposits or 39%
of total cash and cash equivalents, down from 83% or IDR1,001
billion at the end of the first half of 2005.  The interest
rates on the time deposits had increased for US Dollar
deposits to a range of 3.90% -- 5.00% and for Rupiah deposits to
12.00% - 13.00%.  As last year, most of the cash and cash
equivalents were held as US Dollars.  The equivalent of IDR659.5
billion, or 73% of the total, was held as US Dollars.

Antam's trade receivables jumped nearly fourfold to
IDR579 billion mostly due to higher ferronickel sales and
prices.  Antam has reviewed the individual accounts and believes
all are collectible.

Antam's inventories increased 49% to IDR664 billion due mostly
to higher value work in process and spare parts and supplies,
which increased 500% to IDR66 billion and 125% to IDR250 billion
respectively.  Most of the values of product inventories, stated
at the lower of cost or net realisable value, remained stable.

                       Non-Current Assets

Antam's non current assets increased 9% to IDR4.117 trillion
(US$443 million) due to the 7% increase in fixed assets to
IDR3.611 trillion, mostly due to the new FeNi III smelter and
the 39% increase of deferred exploration and development
expenditures to IDR318 billion.

                       Total Liabilities

Antam's total liabilities increased 6% to IDR3.396 trillion
(US$36 million) due to higher current liabilities, such as third
party trade payables, accrued expenses, taxes payable and
dividend payable.

Due to prudent financial management, Antam improved its
financial structure by reducing its debt to equity to 58%, and
debt to assets to 28%.  Antam's capital was funded (liabilities:
equity) 51:49 compared to the 55:45 at the end of the first half
of 2005.

                      Current Liabilities

Antam's current liabilities increased 128% to IDR908 billion.
For the purchase of goods and services, third party trade
payables increased 58% to IDR138.5 billion, had a larger share
in US Dollars, at 46%, with 40% of trade payables owed in
Rupiah.  Accrued expenses increased 110% to IDR284 billion,
mostly attributed to the IDR98 billion increase to
IDR101 billion for mining and transportation services.  Taxes
payable increased 42% to IDR143 billion.  Unlike in 2005, Antam
had a IDR271 billion dividend payable, as it had not yet paid
the dividend associated with the net income of 2005.

                    Non-current Liabilities

Antam's non-current liabilities decreased 11% to
IDR2.488 trillion, with the largest portion attributed to the
IDR1.592 trillion owed for the corporate bond, followed by the
IDR597 billion pension and other post-retirement obligation,
which increased by 8%.
                           Total Debt

Antam's total debt, which did not include any short term
borrowings, decreased 16% to IDR1.871 trillion (US$201 million)
and included the IDR1.591 trillion still owed for the Antam
Finance Ltd (Mauritius) US Dollar bond which was issued
September 30, 2003, and must be repaid by September 30, 2010,
although early redemption is possible on each coupon payment
date from September 30, 2007.  Antam bought and cancelled some
of the outstanding bonds and thereby, together with a stronger
Rupiah, reduced the value of the bond by 14% to
IDR1.592 trillion.  Antam's only other borrowing included the
IDR223 billion owed to BCA, a local bank, for an investment
credit facility used to partially fund the FeNi III project.
The value of the BCA debt decreased by 30% to IDR223 billon.

                             Equity

Antam's equity increased 25% to IDR3,244 billion (US$349
million), as total retained earnings increased 39%, due to
higher income, to IDR2,267 billion.

              Cash Flows From Operating Activities

Antam's cash flows from operating activities increased 59% to
IDR476 billion, due to higher receipts from customers on the
back of increased ferronickel sales and higher prices.  Customer
receipts increased 43% to IDR2.019 trillion, which was reduced
by the payments to suppliers, which rose 111% to
IDR1.11 trillion due mostly to higher fuel costs and more
expensive materials.  Payment for labour decreased by 9% to
IDR212 billion, as did payments of tax, which decreased 10% to
IDR316 billion.  Unlike in 2005, Antam received IDR112 billion
in receipts from tax restitution related to purchases made for
the parts and equipment of the FeNi III project.

            Cash Flows Used In Investing Activities

Antam's cash used in investing activities decreased to 73% to
IDR304 billion as capital expenditures on the FeNi III project
came to an end.  Payments for fixed assets decreased 78% to
IDR229 billion.

In combination with higher operating cash and lower capital
expenditures, Antam returned to a free cash flow positive
position.

             Cash Flow Used In Financing Activities

Unlike in the first half of 2005, Antam had no cash flows used
in, or from, financing activities, when Antam repaid some long
term debt and paid a dividend of IDR246 billion.

                            Hedging

Antam has engaged in nickel hedging through the use of an
instrument called a "zero-cost collar".   Under this
arrangement, which Antam made with three counterparties (banks),
Antam buys a put option (which gives Antam the right to sell a
quantity of nickel at a pre-determined price) and sells a call
option (which obliges Antam to sell nickel at a pre-determined
price) both of equal value.  If the average spot price of nickel
during the previous month does not fall below the price on the
put option, nor exceeds the price on the call option, no trading
occurs and there is no cost to Antam.

Antam has 3,100 tonnes of nickel hedged, with an average put
price at US$9.65 per pound and an average call price of US$13.19
per pound. The period runs from August to December of 2006, with
600 tonnes of options maturing every month.

Antam had no other commodities hedging.

Aneka Tambang's Consolidated Balance Sheet as of June 30, 2006,
is available for free at:
http://www.antam.com/Financial/bs/BS1H06.htm

Aneka Tambang's Consolidated Income Statement for the six-month
period ended June 30, 2006, is available for free at:
http://www.antam.com/Financial/is/IS1H06.htm

Aneka Tambang's Consolidated Statement of Cashflows for the six-
month period ended June 30, 2006, is available for free at:
http://www.antam.com/Financial/cf/CF1H06.htm

                      About Aneka Tambang

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

                          *     *     *

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

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


BANK CENTRAL ASIA: Posts IDR2 Trillion First Half Net Profit
------------------------------------------------------------
Bank Central Asia Tbk has recorded a first half 2006 net profit
of IDR2.0 trillion, up 16.3% compared with the IDR1.8-trillion
net profit posted in the same period last year, according to a
bank press release.

Increasing net interest income led profit growth resulting in a
3.8% Return on Assets and a 27.9% Return on Equity.  "We were
able to implement a balanced strategy facing challenging
economic conditions and we delivered encouraging financial
results," remarked D.E. Setijoso, President Director of PT Bank
Central Asia Tbk.

During the first half ended June 30, 2006, net interest income
increased by 27.9% to IDR4.7 trillion from IDR3.7 trillion in
the first half ended June 30, 2005.  Improvement in net interest
income was supported by a favorable third party funding mix and
earning asset composition.  Net interest margin rose by 171 bps
to 7.4% in the first half 2006.

As of the first half of 2006, outstanding loans grew year on
year by 21.0% to IDR52.9 trillion, however on a year to date
basis, loans slightly declined by IDR1.3 trillion leading to a
loan to deposit ratio of 39.2%.

"Under challenging economic conditions combined with a high
interest rate environment, we prioritized loan quality and
lending infrastructure consolidation. With indications of a
continuing decline in interest rates and improvement in economic
conditions, we expect credit demand will pick up in the second
half of 2006," said D.E. Setijoso.  As of June 30, 2006,
commercial and SME loans comprised 45.9% of total loans while
corporate and consumer lending comprised 38.4% and 15.7%,
respectively. BCA's NPL remained at a relatively low level of
1.6% as compared to the industry average of 8.7%.

BCA was able to maintain its deposit franchise as transaction
accounts continued to dominate funding composition.  As of the
first semester 2006, BCA's third party funds increased by 5.1%
(YoY) and by 4.1% (YTD) to IDR134.9 trillion.  Saving and demand
deposits accounted for 68.9% of total third party funds while
time deposits contributed 31.1%.  With stable funding sources,
BCA recorded secondary reserves of IDR24.2 trillion.

D. E. Setijoso added, "We continue to improve our transaction
banking franchise through investments in infrastructure,
products and services to serve our more than 6.7 million
customers."

Throughout the first semester 2006, BCA expanded its network and
points of sales by adding 346 new ATMs and 3,249 EDCs
nationwide.  Advancing the Internet and mobile banking services
were another main focus of BCA to improve customers'
convenience.  The banking transaction activities done through
ATMs and internet banking increased significantly amounting to
IDR261.2 trillion (up 23.1% YoY) and IDR133.3 trillion (up 99.3%
YoY) respectively during the first half 2006.

The bank's Analyst Meeting includes these key financial
highlights (in IDR billions):

                                 1H05       1H06     % change
                                --------   --------   --------
   Outstanding Loans             43,710     52,871      21.0%
   Third Party Funds            128,313    134,854       5.1%
   Net Interest Income            3,656      4,677      27.9%
   Fee Based Income               1,017      1,046       2.9%
   Operating Profit               2,393      2,894      20.9%
   Net Profit                     1,756      2,034      16.3%

                    About Bank Central Asia

Headquartered in Jakarta, Indonesia, PT Bank Central Asia Tbk --
http://www.klikbca.com/-- offers individual and business
products and services.  The bank's individual services consist
of savings accounts, home loans and car loans, remittance,
collection and safe deposit facilities.  The bank's business
services consist of working capital loans, investment loans and
bank guarantee for small and medium-sized enterprises.  In
addition, it provides export import facilities such as letters
of credit, negotiation and discounting.  The bank's subsidiaries
include PT BCA Finance, BCA Finance Limited and BCA Remittance
Limited.  It has 772 branches in Indonesia, Singapore and New
York, 42,958 EDCs and operates 4,425 ATMs.  The bank serves 6.6
million accounts throughout Indonesia.

                          *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
May 24, 2006, Fitch Ratings affirmed Bank Central Asia's:

   * Long-term Foreign Currency Issuer Default Rating at 'BB-';

   * Short-term at 'B';

   * Individual at 'C/D'; and

   * Support '4'.

The outlook is stable.


COMVERSE TECHNOLOGY: Wants Until Sept. 25 to File Fin'l Report
--------------------------------------------------------------
Comverse Technology, Inc., has submitted a request to the NASDAQ
Listing Qualifications Panel for an additional extension of the
deadline for the company to regain compliance with the NASDAQ
continued listing requirements related to the filing of U.S. SEC
reports.

The Panel previously granted the company's request for continued
listing subject to the requirement that the company file its
Annual Report on Form 10-K for the fiscal year ended Jan. 31,
2006, by Aug. 18, 2006, and its Quarterly Report on Form 10-Q
for the fiscal quarter ended April 30, 2006, by no later than
Sept. 1, 2006.

In its request for an additional extension, the company asked
that the Panel grant the company until Sept. 25, 2006, to file
both of these reports.

The company intends to announce the Panel's decision promptly
after it receives written notice of such decision.

Comverse Technology, Inc. (NASDAQ: CMVT) --
http://www.comverse.com/-- provides software and systems that
enable network-based multimedia enhanced communication and
billing services.  Over 450 communication and content service
providers in more than 120 countries use Comverse products to
generate  revenues, strengthen customer loyalty and improve
operational efficiency.  Comverse has offices all over the
world, including Indonesia, Malaysia and the Philippines.

                          *     *     *

Standard & Poor's Ratings Services held its ratings on Comverse
Technology Inc. on CreditWatch with negative implications, where
they were placed on March 15, 2006, on the disclosure that the
board of directors at Comverse had created a special committee
to review matters relating to the company's stock option grants
and the likely need to restate prior-period financial results.

Standard & Poor's placed its corporate credit and senior
unsecured debt ratings on Comverse Technology on CreditWatch
with negative implications.  The company has S&P's 'BB-'
corporate credit and senior unsecured debt ratings.


COMVERSE TECHNOLOGY: Granted Continued Listing By NASDAQ Panel
--------------------------------------------------------------
The NASDAQ Listing Qualifications Panel has granted Comverse
Technology, Inc.'s request for continued listing on the NASDAQ
National Market.  The Panel granted the company's request for
continued listing subject to the requirement that the company
file its Annual Report on Form 10-K for the fiscal year ended
Jan. 31, 2006, and its Quarterly Report on Form 10-Q for the
fiscal quarter ended April 30, 2006, by no later than Sept. 25,
2006.  The Panel has advised the company that should it be
unable to meet the deadline, it will issue a final determination
to delist the company's shares from The NASDAQ Stock Market.

Comverse Technology, Inc. (NASDAQ: CMVT) --
http://www.comverse.com/-- provides software and systems that
enable network-based multimedia enhanced communication and
billing services.  Over 450 communication and content service
providers in more than 120 countries use Comverse products to
generate  revenues, strengthen customer loyalty and improve
operational efficiency.  Comverse has offices all over the
world, including Indonesia, Malaysia and the Philippines.

                          *     *     *

Standard & Poor's Ratings Services held its ratings on Comverse
Technology Inc. on CreditWatch with negative implications, where
they were placed on March 15, 2006, on the disclosure that the
board of directors at Comverse had created a special committee
to review matters relating to the company's stock option grants
and the likely need to restate prior-period financial results.

Standard & Poor's placed its corporate credit and senior
unsecured debt ratings on Comverse Technology on CreditWatch
with negative implications.  The company has S&P's 'BB-'
corporate credit and senior unsecured debt ratings.


DIRGANTARA INDONESIA: To Get IDR40-Bil Government Bailout Fund
--------------------------------------------------------------
The Indonesian Government plans to provide IDR40 billion to PT
Dirgantara Indonesia, the Jakarta Post states.

According to the report, the Government's move is part of its
effort to provide IDR2.19 trillion (US$241 million) from the
2006 state budget for several troubled state-owned enterprises.

Muhammad Said Didu, secretary to the State Minister for State
Enterprises, said that the SOEs must provide concrete business
plans for the use of the funds.  He added that the companies
will be held accountable.

The state equity participation funds will be financed through
this year's planned IDR3 trillion SOE privatization program.

The Troubled Company Reporter - Asia Pacific reported on
August 16, 2006, that PT Garuda Indonesia will get fresh capital
of IDR1 trillion from the Government to enable the airline to
turn around its business, while another TCR-AP report on the
same day reported that another IDR450 billion will be placed in
PT Merpati Nusantara Indonesia as part of its efforts to help
the airline achieve restructurization and efficiency.

Indonesian Finance Minister Sri Mulyani Indrawati has previously
disagreed with State Minister for State Enterprises Sugiharto
about providing funding or government guarantee schemes for
Garuda and Merpati, arguing it would set a bad precedent
encouraging financially troubled SOEs to come to the government
for a bailout.

Many SOEs suffer from poor and corrupt management, but some are
also burdened by their public service obligations.

                   About Dirgantara Indonesia

PT Dirgantara Indonesia -- http://www.indonesian-aerospace.com/
-- is one of the indigenous aerospace companies in Asia with
core competence in aircraft design, development and manufacture
of civilian and military regional commuter aircraft.  In its
production line, Dirgantara Indonesia has delivered more than
300 units of aircraft & helicopters, defense system, aircraft
components and other services.

The company was not able to fully recover from the 1998 Asian
financial crisis, and has sought government help to turn its
business around.  It has urged the government to support the
industry by purchasing aircraft from PT DI, and is currently
marketing its products to neighboring countries in the region.


GARUDA INDONESIA: Activist's Death Brings Lawsuit
-------------------------------------------------
PT Garuda Indonesia is being sued for IDR13 billion (US$1.4
million) over the death of leading rights activist Munir, Today
Online reports.

Today Online adds that the lawsuit accused the airline and nine
of its employees, including senior management and flight crew of
negligence.  Munir died in the business-class cabin of a Garuda
flight before reaching Amsterdam in September 2004.  An autopsy
later found a lethal dose of arsenic in his blood.

"We are suing Garuda for their failure to protect their
consumer, in this case Munir," lawyer Mufti Makarim from the
Munir-founded Kontras rights group told AFP.

In 2005, a Garuda pilot, Pollycarpus Priyanto, who was on the
flight but off-duty, was jailed for 14 years after being found
guilty of killing Munir by lacing his drink with arsenic.
Priyanto is appealing the conviction.

Suciwati, Munir's widow, called on the government to form a new
investigation team to thoroughly look into the death, the
Detikcom online news service said.

                      About Garuda Indonesia

Headquartered in Jakarta, Indonesia, government-owned airline PT
Garuda Indonesia -- http://www.garuda-indonesia.com/--  
currently has a fleet of about 77 aircraft offering service to
some 27 domestic and 33 international destinations.  Under its
Citilink brand, it serves another 10 domestic routes.  Garuda
also ships about 200,000 tons of cargo a month and operates a
computerized tracking system.

The Troubled Company Reporter - Asia Pacific reported on
August 16, 2006, that PT Garuda Indonesia will get fresh capital
of IDR1 trillion from the Government to enable the airline to
turn around its business.

The airline was affected by plunging arrivals on the resort
island of Bali, where tourists have been killed in bomb attacks
in 2002 and 2005.  It has also suffered from soaring global oil
prices, a weakening of the Indonesian rupiah and rising interest
rates.  At present, Garuda is concentrating its efforts on
repaying its IDR4.55-trillion debt with foreign creditors under
the European Credit Agency, which were due last December 31,
2005.


GOLDEN AGRI-RESOURCES: Moody's Assigns Ba3 Corp. Family Rating
--------------------------------------------------------------
Moody's Investors Service has assigned a Ba3 corporate family
rating to Golden Agri-Resources Ltd.  The rating outlook is
stable.  This is the first time Moody's has assigned rating to
GAR.

"GAR's position in the Indonesian oil palm plantation market,
its vertically integrated business model -- which partially
buffers it against volatility in prices for crude palm oil --
and the favorable state of demand for CPO are the key credit
strengths," says Moody's Ken Chan, AVP/Analyst and lead analyst
for the company, adding, "Demand for CPO is being driven by
organic growth in other Asian countries and its application over
the longer term as a bio-fuel."

"Moreover, the company shows a favorable maturity profile for
its plantation trees, and which translates into more stable
recurrent cash flows and sustainable yields.  GAR's sound
financial profile and ability to generate positive free cash
flow well position the company in the Ba rating category,"
Moody's Chan adds.

However, the rating is constrained at the current Ba3 level by
the history of debt restructuring at GAR's subsidiaries and
related group companies controlled by Widjaja Family, such as
APP.  Such incidents had in the past impaired its ability to
acquire access to the bank funding market.  Moreover, there is a
likelihood for the company to rely on external facility lines
over the next 2 years to fund its capex and maturing debts.

Furthermore, its complicated family-controlled organizational
structure could give rise to the risk of funds being channeled
to support affiliated companies.  At the same time, the
independent operating nature of each business group and the low
level of related-party transactions partially mitigate this
risk.

The rating also reflects the company's exposure to the inherent
cyclicality of CPO prices and the country risk associated with
Indonesia, the location of most of its operations and assets.

The rating outlook is stable, given the healthy state of long-
term demand for CPO and the maturity profile of GAR's
plantations, which should help sustain yields and profitability
appropriate for the current rating.

The rating may experience upward pressure if GAR:

   1) establishes a track record of operating independently from
      its related group companies and managing its business
      expansion through the industry cycle;

   2) maintains its leadership position in Indonesian oil palm
      plantations; and

   3) manages to improve its liquidity profile by building up
      balance sheet liquidity and/or putting in place
      appropriate committed bank facilities.

Furthermore, strengthening in financial performance such that
Adjusted Debt/ EBITDA approaching 2.0x and EBITDA/Interest
improving to 5.0-6.0x on a sustainable basis will be positive
for the rating.

On the other hand, the rating may experience downward pressure
if evidence emerges of cash leakage from GAR to fund affiliated
companies, such as through inter-company loans or aggressive
cash dividends; and/or aggressive debt-funded acquisitions;
and/or CPO prices decline beyond our expectations, such that
EBITDA margins fall below 13-15%; Adjusted Debt/EBITDA surpasses
3.5-4.0x; and/or EBITDA/Interest drops under 3.5-4.0x.
Moreover, a weakening of liquidity profile such that cash on
hand and operating cash flow cannot cover its debt servicing
obligations on a rolling 12-month basis will be negative for the
rating.

Golden Agri-Resources Ltd, is the largest privately owned oil
palm plantation company in Indonesia.  Listed on the Singapore
Stock Exchange in 1999, it operates in Indonesia and China.  It
is 55% owned by Asian Food and Properties, a Singapore-listed
company controlled by Widjaja Family.


KERETA API: To Get IDR100 Billion Bailout Fund from Government
--------------------------------------------------------------
The Indonesian Government plans to give PT Kereta Api
IDR100 billion in bailout funds, the Jakarta Post reports.

According to the Post, the Government allots IDR2.19 trillion
(US$241 million) from the 2006 state budget to help several
troubled state-owned enterprises.

Muhammad Said Didu, secretary to the State Minister for State
Enterprises, said that the SOEs must provide concrete business
plans for the use of the funds.  He added that the companies
will be held accountable.

The state equity participation funds will be financed through
this year's planned IDR3-trillion SOE privatization program.

Headquartered in Bandung, West Java, Indonesia's state railway
PT Kereta Api -- http://www.kereta-api.com/-- operates a large
and busy network.  Its 6,000 kilometers of track extend
throughout Java and Sumatra and carry some 200 million
passengers per year.  Since 1999, KAA has operated as a limited
corporation and is currently implementing a strategy for change
designed to make it Indonesia's main choice of transport for all
sectors of Indonesian society.

                          *     *     *

Kereta Api confessed to having stated a IDR5-billion loss in
2005 as profit, although it was unintentional, said KA spokesman
Noor Hamidi.

Earlier Troubled Company Reporter - Asia Pacific reports stated
that the Company booked a 2005 net loss of IDR13 billion.

KA commissioner Hekinus Manao informed the public that several
company liabilities were recorded as assets in its financial
report, which he had refused to sign and thus delayed a
scheduled shareholders' meeting.


KERTAS KRAFT: To Receive IDR300-Bil in Government Bailout Funds
---------------------------------------------------------------
The Indonesian Government intends to provide PT Kertas Kraft
Aceh with IDR300 billion of bailout funds, the Jakarta Post
reports.

The Post says that the move is part of the Government's effort
to help several troubled state-owned enterprises.  According to
the report, the Government has allotted IDR2.19 trillion from
the 2006 state budget for SOEs.

Muhammad Said Didu, secretary to the State Minister for State
Enterprises, said that the SOEs must provide concrete business
plans for the use of the funds.

The state equity participation funds will be financed through
this year's planned IDR3 trillion SOE privatization program.

The Troubled Company Reporter - Asia Pacific reported on
February 13, 2006, that the Government injected up to
IDR50 billion into ailing Kertas Kraft to enable the company to
resume normal operations.  At that time, Minister of State
Enterprises Sugiharto has said that Kertas Kraft needs up to
IDR200 billion in order to resume its operations.

Based in Aceh province, Indonesia PT Kertas Kraft Aceh (Persero)
-- http://www.KKA-lsm.com/-- is a paper manufacturer.  Kraft
Kertas ceased operations in 2003 when its supplier, ExxonMobil,
stopped supplying gas to the Company after it failed to pay an
outstanding gas bill amounting to IDR65 billion.  The company
was unable to secure another gas supplier after that.  The
company stopped paying its 1,035 workers in 2005.


MULTIBREEDER ADIRAMA: Deficit Lowers to IDR63.11 Billion
--------------------------------------------------------
PT Multibreeder Adirama Indonesia Tbk's posted a
IDR63.11-billion deficit as of June 30, 2006, lower than both
the IDR65.20-billion deficit as of March 31, 2006, and the
IDR107.40-billion deficit as of June 30, 2005.

Multibreeder Adirama also reports a gross profit of
IDR53.91 billion for the half year ending June 30, 2006, lower
than IDR107.64 billion a year ago.  The result comes from lower
sales and a slightly higher cost of goods sold account
(IDR302.95 billion and IDR249.03 billion, respectively).

Total operating expenses for the half year 2006 amounted to
IDR63.60 billion, bringing an operating loss of IDR9.68 billion.

Other income amounted to IDR22.37 billion for 2006, against a
IDR15.85-billion loss a year before.

Net income for the first half of 2006 fell to IDR8.88 billion
from IDR23.12 billion a year ago.

The company's total assets increased to IDR640.13 billion as of
June 30, 2006, from IDR597.84 billion a year ago.

PT Multibreeder Adirama Indonesia Tbk --
http://www.japfacomfeed.co.id/-- is an agribusiness company
engaged in the farming, cattle and maritime industries.  It
produces chicken grand parents stocks, parents stocks, parents
stock broilers, parents stock layers, final stock broilers,
final stock layer females and final stock layer males, as well
as derivatives products.  The Company's subsidiary, PT
Multiphala Adiputra, is also engaged in the same business
activities.  A member of Japfa Group, Multibreeder Adirama
Indonesia is headquartered in Jakarta, Indonesia, and supported
by production facilities in Lampung, South Sumatera, West Java,
Central Java, East Java, Bali, South Sulawesi and Kalimantan.

The Troubled Company Reporter - Asia Pacific reported on
September 1, 2006, that Multibreeder Adirama has a shareholders'
deficit of US$2.31 million.


PANCA WIRATAMA: First-Half Net Loss Increases 6%
------------------------------------------------
For the six months ended June 30, 2006, PT Panca Wiratama Sakti
Tbk's revenues totaled IDR635.8 million, a decrease of 68% from
the IDR1.96-billion posted in the 2005 first-half, Reuters
reports.

The company's net loss for the current period totaled
IDR13.71 billion, a 6% increase from IDR12.92 billion in the
prior year.  Revenues reflect lower sales of land.  Net loss was
partially offset by lower shares administration expense and an
increase in interest income.

Headquartered in Jakarta, Indonesia, PT Panca Wiratama Sakti Tbk
is a real estate company engaged in the development and
management of real estate in Tangerang.

The Troubled Company Reporter - Asia Pacific reported on
September 1, 2006, that Panca Wiratama has a shareholders'
deficit of US$18.82 million.


STEADY SAFE: Net Loss Widens to IDR4.67 Billion
-----------------------------------------------
For the six months ended June 30, 2006, PT Steady Safe Tbk's
revenues totaled IDR8.10 billion, a 52% fall from the
IDR16.87-billion revenue posted in the previous year, Reuters
reports.

The company's net loss totaled IDR4.67 billion, a 31% increase
from IDR3.56 billion in the prior year.  Lower revenues reflect
a decrease in Land Transportation business segment.

Net loss was partially offset by a presence of gain on foreign
exchange and an existence of tax payable written-off.

Headquartered in Jakarta, Indonesia, PT Steady Safe Tbk is a
transportation company that manages and operates fleet of taxis
and buses under the Steady Safe brand name.

The Troubled Company Reporter - Asia Pacific reported on
September 1, 2006, that Steady Safe has a shareholders' deficit
of US$2.43 million.


* Single Presence Policy Deadline Moved to 2010
-----------------------------------------------
The central bank has delayed implementing a regulation that
prohibits shareholders from having a majority stake in more than
one bank to give the affected companies more time to comply, the
Jakarta Post reports.

Bank Indonesia deputy governor Maman H. Soemantri said that the
central bank would require the management of all banks to fully
implement the single presence policy by 2010 instead of 2008 as
initially planned.   He said that the banks should submit a
detailed explanation of how they would reform by 2008 before the
final compliance date of 2010.

"The policy is clear and is certainly in the pipeline. We expect
banks will be able to fully implement it before 2010," Maman
told Antara at a banking seminar in Bandung.

BI Governor Burhanuddin Abdullah has earlier said that the
extension would be still in line with the Indonesian Banking
Architecture blueprint, a framework drawn up to reform the
country's historically shaking and corrupt banking system.

Consolidation in the sector is expected to create fewer, more
robust institutions and make it easier for industry regulator
Bank Indonesia to police banks.

Burhanuddin said that the policy was not the central bank's only
way to consolidate banks in the country.  Other policies could
include encouraging normal mergers and acquisitions and
enforcing minimum capital requirements.  Burhanuddin also said
that the industry should not think negatively about the single
presence policy, as similar policies were also implemented in
other countries to improve their banking industries.

The Post explains that the API blueprint is the grand design to
overhaul and consolidate the country's banking industry.  Under
its single presence policy owners of more than one bank will
have to sell their shares in one interest, undertake a merger or
acquisition or set up a holding company for their banks.

The government will also be affected by the policy, with Bank
Mandiri, Bank Negara Indonesia, and Bank Rakyat Indonesia -- the
country's top-three lenders in terms of assets -- still state-
controlled.

Other lenders to be affected include Bank International
Indonesia and Bank Danamon -- which are controlled by the
Singaporean government holding company, Temasek.


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

EUGENE SCIENCE: Gets US$11.7 Million from Headquarters Sale
-----------------------------------------------------------
Eugene Science, Inc., has already closed escrow on the sale of
its corporate headquarters at Bucheon, in Kyonggi-Do, Korea, for
US$11.7 million, according to a company press release.

The Company will use the proceeds of the sale:

   -- to retire and restructure debt;

   -- for operating expenses; and

   -- to equip a new corporate headquarters on the outskirts of
      Seoul, in the Jang-An Industrial Complex.

For the second quarter, Eugene Science is expected to post a
US$4.5-million profit, which will be recorded as non-operating
income.

Eugene Science also expects to conclude in the current quarter
the sale of unnecessary equipment in its Bucheon headquarters.
The Company anticipates a capital infusion of around US$800,000
to US$1.2 million from the equipment's sale.

By year-end, Eugene Science will move to its new headquarters,
which land the company obtained at no cost from the Kyonggi-Do
State Government under an economic development incentive
program.

                       Going Concern Doubt

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

                       About Eugene Science

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


Fitch Assigns 'BBB' Rating To Korea Investment Securities Co.
10 Sep 2006 8:00 PM (EDT)


KOREA INVESTMENT SECURITIES: Fitch Assigns 'C' Individual Rating
----------------------------------------------------------------
Fitch Ratings has assigned ratings to Korea Investment
Securities as follows:

   -- Long-term Issuer Default rating of 'BBB' with a Stable
      Outlook,

   -- Short-term rating of 'F3',

   -- Individual rating of 'C', and

   -- Support rating of '4'.

The ratings of KIS reflect its position as one of Korea's few
leading stock-broking firms, its long history of satisfactory
performance, high level of capitalization, good management and
prudent regulatory regime.

KIS is one of Korea's four largest stockbrokers, which together
hold a 31% share of the country's retail brokerage market -- 5%
for KIS.  Unlike its peers, however, KIS's performance is not
entirely reliant on brokerage commissions and proprietary
trading/investment; KIS also derives a good portion of fee-based
income from the provision of investment-trust products following
the acquisition of, and then merger with, Korea Investment Trust
Co. in early 2005.  KITC was one of Korea's five largest trust
companies, which together had a 50% share of the market -- 10%
for KITC.

The agency notes that while KIS's brokerage/trading/investment
activities have been volatile, it has generally performed quite
well -- achieving an average of 3.2% RoA over the decade to
2005, despite Korea's financial crisis in the late-1990s and
early-2000s.  Though KIS incurred losses in 2001 and 2003, these
were small relative to KIS's capital base.

Meanwhile, KITC, which was owned by the government prior to
being acquired by KIS, posted huge losses during the financial
crisis as a result of guaranteeing returns to investors and
excessive direct investments in numerous large Korean
corporates, which collapsed during the crisis.  The agency notes
that much of KITC's activities before the merger with KIS were
government-directed.

In FY06, KIS achieved strong profits (RoA of 17.2%) on the back
of various one-off gains; in particular, from the sale of a
small stake in one of Korea's major banks which KIS invested in
a few years ago.  The agency notes that without the one-off
gains, its RoA would have been around 5%.  For FY07, KIS is on
track for a similar RoA of 5%.

Regulations require KIS to maintain a "net capital ratio" or NCR
of at least 300%.  In Fitch's view, this is a highly
conservative requirement, much more so than what banks are
subject to.  At March 31, 2006, KIS's ratio was 892%.
Meanwhile, its equity-to-asset ratio stood at 41%, with much of
its assets carrying little or no risk.  Hence, KIS was extremely
well capitalized.  However, through additional investment
activities, KIS does plan to reduce its NCR to 350%.  Even then,
however, it would remain very well capitalized.

The Outlook on the ratings is Stable given KIS's long history of
satisfactory performance and after taking into account KIS's
plans to reduce its NCR to 350%. KIS was originally established
in 1968.  It was acquired by interests associated with the
family of Kim Jai-Chul in 1982.  Mr. Kim's son, Kim Nam-Gu
retains a 21% stake in KIS, through Korea Investment Holdings,
KIS's wholly-owning holding company, and is the chairman of
KIS's board of directors.  However, he is not involved in the
day-to-day management of KIS, which is carried out by
professionals.


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

JAPAN AIRLINES: Mulls International Cargo Fuel Surcharge Hike
-------------------------------------------------------------
On September 7, 2006, Japan's Ministry of Land, Infrastructure
and Transport received Japan Airlines' application to raise fuel
surcharges on its international cargo services, Dow Jones
Newswires reports.

Japan Airlines is seeking to increase its international cargo
fuel surcharges to JPY66 per kilogram from JPY54 due to rising
jet fuel costs, Dow Jones says.  The carrier hopes to implement
the hike from October 16 for routes between Japan and North
America or Europe.

Japan Airlines is keen on a more moderate hike from JPY54 to
JPY57 for other international cargo service destinations
effective October 16.

Dow Jones relates that Japanese airlines can hike fuel
surcharges if average fuel prices rise above certain levels for
a prolonged period of time.

The Troubled Company Reporter - Asia Pacific reported on
August 21, 2006, that Japan Airlines has decided to raise fuel
surcharges in international flights by JPY700 to JPY5,600
starting October 1, 2006, in a bid to offset soaring jet fuel
costs.

According to Dow Jones, the planned hike will be the airline's
third since it began fuel surcharges for international services
in February 2005.

                      About Japan Airlines

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

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

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

                          *     *     *

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
Company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the Company, which is three notches lower than
investment grade, whereas Moody's Investors Service gave Ba3
senior unsecured and issuer ratings for Japan Airlines
International Co., Ltd., as well as its Ba3 issuer rating for
Japan Airlines Domestic Co., Ltd.  On July 20, 2006, Standard &
Poor's Ratings Services had affirmed its B+ long-term corporate
credit and senior unsecured debt rating on the Company.


JAPAN AIRLINES: Closes Global Equity Offering
---------------------------------------------
Japan Airlines Corporation completed on July 28, 2006, a global
equity offering, including a Rule 144A offering in the United
States and a Regulation S offering in Europe and Asia, of 700
million shares of common stock with Goldman Sachs International
and Mizuho Securities acting as joint global coordinators,
Lawfuel reports.

Together with the additional 50 million shares of common stock
subsequently issued upon the exercise of the over-allotment
option, the offering size totaled approximately JPY58.3 billion,
or US$1.35 billion.

Standard & Poor's Ratings Services said that its corporate
credit and issue ratings on Japan Airlines Corp. would not be
immediately impacted by the company's equity issuance
announcement, the Troubled Company Reporter - Asia Pacific
reported on July 6, 2006.

Even if Japan Airlines' capital structure is strengthened to
some extent as a result of the equity offering, Standard &
Poor's would still remain skeptical about the prospect that the
equity offering alone will enable the company to strengthen its
financial profile sufficiently to ward off risks from
unpredicted events, TCR-AP said.

Fitch Ratings said that Japan Airlines Corporation's ratings are
not affected by its recently announced new equity issue, adding
that the move is a positive step but not sufficient to prompt a
positive rating action, the TCR-AP further reported.

                      About Japan Airlines

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

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

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

                          *     *     *

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
Company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the Company, which is three notches lower than
investment grade, whereas Moody's Investors Service gave Ba3
senior unsecured and issuer ratings for Japan Airlines
International Co., Ltd., as well as its Ba3 issuer rating for
Japan Airlines Domestic Co., Ltd.  On July 20, 2006, Standard &
Poor's Ratings Services had affirmed its B+ long-term corporate
credit and senior unsecured debt rating on the Company.


JAPAN AIRLINES: Morgan Stanley Cuts Equity Stake to 2.34%
---------------------------------------------------------
United States-based investment banking group, Morgan Stanley,
has trimmed its equity stake in Japan Airlines Corporation from
5.78% in June 30, 2006, to 2.34% as of August 31, CrissCross
News reveals.

In the report to the ministry's Kanto Local Finance Bureau,
Morgan Stanley said it holds about 64 million shares in JAL as
of the end of August.

Morgan Stanley's equity stake fell as the firm had sold about 51
million shares, while Japan Airlines had issued 750 million new
shares to raise funds, CrissCross News adds.

                      About Japan Airlines

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

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

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

                          *     *     *

Fitch Ratings Tokyo analyst Satoru Aoyama said that the
Company's debt obligations and expenses for new aircraft have
placed it in an unfavorable financial position.  Fitch assigned
a BB- rating on the Company, which is three notches lower than
investment grade, whereas Moody's Investors Service gave Ba3
senior unsecured and issuer ratings for Japan Airlines
International Co., Ltd., as well as its Ba3 issuer rating for
Japan Airlines Domestic Co., Ltd.  On July 20, 2006, Standard &
Poor's Ratings Services had affirmed its B+ long-term corporate
credit and senior unsecured debt rating on the Company.


LIVEDOOR CO: Prosecutors Framed Horie, Lawyer Says
--------------------------------------------------
Yasuyuki Takai, the counsel representing former Livedoor Company
president Takafumi Horie, claimed that his client is being
framed by prosecutors, BBC News reports.

Prosecutors have alleged Livedoor executives of using "dummy"
firms to purchase the company's shares in order to artificially
boost profits, the report says.

According to the Troubled Company Reporter - Asia Pacific, Mr.
Horie quit his post amid allegations that he and his executives
violated securities laws by tampering with profit figures to
boost Livedoor's share price.  Mr. Horie faces a maximum of five
years in jail if found guilty.

Mr. Takai said that in cross-examinations, some witnesses
admitted that some of the money had gone into accounts unrelated
to Mr. Horie, which he claimed showed that his client had no
link to them, BBC says.

"This is a frame up," Mr. Takai told the Associated Press.

Four colleagues, including the firm's chief financial officer,
have admitted their guilt but Mr. Horie, whose case has taken
much longer to come to court, has denied all charges, AP states.

BBC News relates that the court case is unusual because Mr.
Horie has pleaded not guilty.  Less than 1% of trials in Japan's
district courts end in acquittals.  This leads executives
charged with white-collar crime to tend to plead guilty in
return for a lighter sentence.

                          *     *     *

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

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


SOFTBANK CORP: Shares Fall After Founder Lent 1/3 of Stake
----------------------------------------------------------
A regulatory filing revealed that Softbank Corporation's
founder, Masayoshi Son, has lent up to one third of his
US$6-billion stake in the company as collateral for loans,
Reuters reports.

The regulatory filing, made on July 20, 2006, to the Kanto Local
Finance Bureau, stated that Mr. Son handed over 107 million
Softbank shares to Japanese and foreign banks including Deutsche
Bank DE, Goldman Sachs (Charts), Merrill Lynch (Charts) and
Mizuho Corporate Bank, part of Mizuho Financial Group.  Half the
amount, or 54 million shares, went to Deutsche Bank, which,
along with Mizuho, was a lead underwriter of Softbank's Vodafone
buyout.

The collateral arrangements caused Softbank's shares -- which
fell 15% in two days last month due to worries over accounting
practices at Softbank -- to drop another 2.5% to JPY2,155 by
September 8, 2006, The Financial Times reveals.

According to Reuters, Softbank's shares dipped as much as 3% on
concerns that the collateral offering could erode Mr. Son's
ownership stake, which has supported the company's share price
amid worries over its mounting debts.

As reported by the Troubled Company Reporter - Asia Pacific on
April 5, 2006, Softbank this year borrowed JPY1.3 trillion, or
US$11 billion, to finance the US$15-billion acquisition of
mobile phone operator Vodafone Group's struggling Japanese unit.

Softbank's shares have since dropped 30% as the debt has alarmed
investors and prompted analysts to cut their ratings, the TCR-AP
revealed.

According to Financial Times, the decline would likely have been
larger were it not for Son's large, stable shareholding.  Hence,
investors are worried that Mr. Son would put part of that
holding at risk as collateral.

Meanwhile, Credit Suisse Group analyst Hitoshi Hayakawa cut
Softbank's rating and halved its share-price target, saying the
wireless unit's value had declined by JPY1 trillion from its
earlier estimate, Bloomberg News reports.  Mr. Hayakawa, who
downgraded the rating to "underperform" from "neutral", also
cited a decline in the value of Softbank's equity holdings.

The rating downgrade was the first since the beginning of
August, and comes after Lehman Brothers Holdings Inc. and HSBC
Holdings Plc reiterated "sell" recommendations.  The brokerages
cut Softbank's share-price targets on concern the Tokyo-based
company overpaid for its Vodafone Japan purchase, Bloomberg
states.  Analysts cited increase in debt and signs that the
company paid too much for Vodafone.

Softbank shares were also rated "underperform" by Mistsubishi
UFJ Securities analyst Hironobu Sawake, Bloomberg adds.

                      About Softbank Corp.

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

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

                          *     *     *

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

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


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

CONSOLIDATED FARMS: August Default Amount Hits MYR149.3 Million
---------------------------------------------------------------
The Consolidated Farms Group has been unable to pay the amount
of principal and interest in respect of its credit facilities as
of August 31, 2006.

The Confarm Group owes a total of MYR149,299,100 to:

        Creditor                           Amount Owed
        --------                           -----------
        Bank Pertanian Malaysia          MYR47,510,500
        Bumiputra Commerce Bank Berhad   MYR63,975,600
        Malayan Banking Berhad           MYR24,651,000
        AmMerchant Bank Berhad           MYR13,161,100

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

                    About Consolidated Farms

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

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

Bursa Malaysia Securities Berhad has decided to delist
Consolidated Farms Berhad's securities on September 5, 2006, as
the Company "does not have an adequate level of financial
condition" to warrant continued listing on the Bourse.


JIN LIN: Seeks Extension of Restraining Order
---------------------------------------------
Shareholders of Jin Lin Wood Industries Berhad approved on
August 25, 2006, the company's proposed scheme of arrangement
and proposed restructuring scheme.

Following the approvals, the company instructed its lawyers to
file an application for the extension of a restraining order
pursuant to Section 176 of the Companies Act 1965 to the High
Court of Malaya.

The restraining order was obtained for the company to implement
its restructuring scheme, which was already approved by the
Securities Commission.

                          About Jin Lin

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

As of June 30, 2006, the Company's balance sheet showed total
assets of MYR66,849,000 and total liabilities of MYR100,292,000,
resulting into a stockholders' deficit of MYR33,443,000.


MENTIGA CORPORATION: Buys More Time to Implement Proposals
----------------------------------------------------------
Mentiga Corporation Berhad has requested the Securities
Commission to extend until September 30, 2006, the time for the
company to implement:

   * its proposed revaluation of its property assets and those
     of its subsidiaries;

   * its proposed issue of new ordinary shares of MYR1.00 each
     as settlement of an amount it owes to shareholder Amanah
     Saham Pahang Berhad;

   * its proposed restricted issue of 20,000,000 redeemable
     convertible preference Mentiga shares of MYR1.00 each to
     Amanah Saham; and

   * the proposed disposal by Selat Bersatu Sdn Bhd, a 56% owned
     Mentiga subsidiary, of 18,900 ordinary shares of
     IDR1,000,000 each in PT Rebinmas Jaya, representing its
     entire 90% equity interest in PTRJ, to Delloyd Plantation
     Sdn Bhd and Taipan Hectares Sdn Bhd, for a cash
     consideration of MYR61,200,000.

In an update, the company revealed that Selat's disposal of PTRJ
shares has been completed on August 2, 2006.

In addition, the Company has, on July 28, 2006, allotted
12,500,000 new Mentiga Shares and issued 20,000,000 RCPS to
Amanah Saham under the Debt Settlement and Restricted Issue
respectively.  On the same day, Amanah Saham has converted.

On August 30, 2006, Commerce International Merchant Bankers
Berhad, in behalf of Mentiga, had announced that the completion
of the Proposals is pending the approval of Bursa Securities for
the upliftment of Mentiga's Practice Note No. 4/2001 status and
for the quotation of the new Mentiga Shares issued under the
Debt Settlement and from RCPS converted under the Restricted
Issue.

                       About Mentiga Corp.

Headquartered in Pahang Darul Makmur, Malaysia, Mentiga
Corporation Berhad is engaged in the trading of timber products,
construction and property development and management and
advisory services to oil palm plantations.

In 2003, the Company proposed to undertake a debt-restructuring
program to settle its debt with creditors.  The Group has
submitted a revised comprehensive proposal to the Securities
Commission on March 16, 2005, to regularize its financial
condition and to restore the Group's shareholders' fund from
being in a deficit position in order to remove Mentiga from
being classified as a Practice Note 4 company.

As of June 30, 2006, Mentiga has total assets of MYR85,632,000
and total liabilities of MYR156,970,000, resulting into a
stockholders' deficit of MYR71,338,000.


MERCES HOLDINGS: Subsidiary Ordered to Settle with Prime Angle
--------------------------------------------------------------
A Malaysian Judge directed Merces Holdings Berhad's subsidiary,
Merces Builders Sdn Bhd, to file a settlement proposal
acceptable to Prime Angle Sdn Bhd.

As reported by the Troubled Company Reporter - Asia Pacific on
June 21, 2006, Prime Angle issued a wind-up petition against
Merces Builders.  Prime Angle asserted a MYR114,616 claim
against the subsidiary representing sub-contract painting works
for a project at Bandar Tasik Selatan, in Kuala Lumpur,
Malaysia.

The wind-up petition hearing, which was previously scheduled for
August 29, 2006, is now fixed on September 21, 2006.

                      About Merces Holdings

Merces Holdings Berhad's principal activities are the provision
of property development and building construction works.  The
Company's other activity include investment holding.  Operations
of the Group are predominantly carried out in Malaysia.

Merces Holdings has defaulted on several loan facilities and had
faced winding-up petitions due to unsettled financial
obligations.


PAN MALAYSIA CORP: Buys Back 10,000 Ordinary Shares for MYR2,628
----------------------------------------------------------------
On September 4, 2006, Pan Malaysia Corporation Berhad bought
back 10,000 ordinary shares of MYR0.50 each for a total cash
consideration of MYR2,628.20.

The minimum price paid for each share purchased was MYR0.260 and
the maximum was MYR0.265.

After the purchase, the cumulative outstanding treasury shares
reached 59,463,400.

The Troubled Company Reporter - Asia Pacific reported that Pan
Malaysia, on May 11, 2006, bought back 60,000 ordinary shares of
MYR0.50 each for a total cash consideration of MYR24,958.77.

                 About Pan Malaysia Corporation

Headquartered in Kuala Lumpur, Malaysia, Pan Malaysia
Corporation Berhad provides management services and the
manufacturing, marketing and distribution of confectionery and
cocoa-based and other food products.  The Company also operates
departmental and specialty stores, construction and property
investment and investment holding.  The Group operates in
Malaysia, Australia and the rest of Asia-Pacific.

Pan Malaysia has suffered consecutive losses in the past due to
skyrocketing operating expenses.  The group has been selling
assets to curb losses.  In the fiscal year ending December 31,
2005, the Company booked a net loss of MYR6.8 million.


PARACORP BERHAD: HSBC Asserts Over MYR5-Million Claim
-----------------------------------------------------
HSBC Bank Malaysia Berhad, on August 30, 2006, served a Writ of
Summons dated August 15, 2006, on Paracorp Berhad and its wholly
owned subsidiary, Empire Valley Sdn Bhd.

In the Statement of Claim, HSBC asserted payment of MYR5,177,762
as outstanding amount as of July 6, 2006, under a facility
agreement.  HSBC also demands payment of an annual interest rate
of 2.50% from July 7, 2006, until the date of full settlement.
HSBC is also asking payment for legal costs incurred.

The Troubled Company Reporter - Asia Pacific reported on
August 23, 2006, that Paracorp was in talks with HSBC Bank
Malaysia Berhad on the restructuring of debt owed to the Bank by
Empire Valley.

The TCR-AP disclosed on July 24, 2006, that Empire Valley has
defaulted in its MYR5,177,762 repayment of a banking facility
granted by HSBC Bank Malaysia through a facility agreement dated
July 15, 1997.  Empire Valley blamed its inability to repay the
banking facility on its current negative cash flow position.

Earlier, Paracorp declared itself and its subsidiaries as
insolvent, as the Group is unable to repay all of its debts
within the next 12 months.

                     About Paracorp Berhad

Paracorp Berhad's principal activities are the manufacture and
trading of printed graphic overlay, printed electronic circuits,
electroluminescent display, telemetry monitoring system,
electronic circuit components, corrugated plastic sheets,
corrugated carton boxes and plain boards.  Its other activities
include the provision of management services, investment
holding, property investment, property management, money
lending, technology management and research and development
services.  The Group operates in Malaysia, Oceanic countries,
European countries, American countries and other Asian
countries.

The Company has been incurring losses in the past.  For the
quarter ended March 31, 2006, the Company recorded a net loss of
MYR12.3 million.  As of March 31, 2006, the Company's balance
sheet revealed total assets of MYR106,347,000 and total
liabilities of MYR110,465,000, resulting in a MYR41,180,000
stockholders' deficit.

The Company is also classified under Practice Note 17 of Bursa
Malaysia Securities Berhad's Listing Requirements.  As an
affected listed issuer, the Company is required to submit a
financial regularization plan by January 7, 2007.


PROTON HOLDINGS: Concludes MOI with Petronas
--------------------------------------------
The Memorandum of Intent between Proton Holdings Berhad and
Petroliam Nasional Berhad, or Petronas, has been concluded on
September 1, 2006.  In this regard, both parties are currently
assessing alternative engine sourcing opportunities.

Proton and Petronas signed the MOI on January 27, 2006, to
develop larger engines and environmentally friendly alternative
fuel systems for use by Proton.

Under the MOI, both parties collaborated and explored the
possibilities of further developing Petronas engines,
particularly the compatibility of its E01 engine to Proton's
motor vehicles, and the subsequent potential commercialization
of the engine.  In addition, the collaboration also allowed
Proton and Petronas to work together in developing a Natural Gas
Vehicle system for Proton's use.

                     About Proton Holdings

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

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

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


PROTON HOLDINGS: Aims to Extend MOU with Mitsubishi Motors
----------------------------------------------------------
Subject to the approval of Proton Holdings Berhad's board of
directors, the Memorandum of Understanding that the company
signed with Japan's Mitsubishi Motors Corporation will be
extended for another three months until November 2006.

On February 3, 2006, Proton signed an MOU with Mitsubishi Motors
to explore the feasibility of cooperation in:

   -- product development of new Proton vehicles;

   -- supply of components between Proton and Mitsubishi;

   -- technical support for production, engineering and quality
      control from Mitsubishi to Proton and Proton's vendors;
      and

   -- manufacturing of the vehicles at Proton's facilities to
      the extent mutually beneficial.

The MOU marked a significant step for car makers around the
globe who are seeking collaboration as a means of rapid
expansion and higher profits.

                     About Proton Holdings

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

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

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


PROTON HOLDINGS: Wants Pact with Cherry and Alado Extended
----------------------------------------------------------
Proton Holdings Berhad seeks to extend for another two months
the understanding of a joint feasibility study between
Perusahaan Otomobil Nasional Sdn Bhd, Cherry Automobile Company
Limited and Alado Corporation Sdn Bhd.

Proton's wholly owned subsidiary, Perusahaan Otomobil, had, on
May 23, 2006, entered into an understanding with Cherry
Automobile and Alado Corporation to undertake a joint
feasibility study to evaluate possibilities and opportunities
for providing assembly services and distribution of vehicles of
Proton and Cherry brands in China, Malaysia and also in the
Association of Southeast Asian Nations.

The feasibility study period ran from May 23 up to
August 28, 2006.

                     About Proton Holdings

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

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

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


PROTON HOLDINGS: Lotus' Deal with Youngman to End September 28
--------------------------------------------------------------
The understanding of a joint feasibility study between Proton
Holdings firm Lotus Engineering (Malaysia) Sdn Bhd and Youngman
Automobile Group Company Limited will come to an end on
September 28, 2006.  Lotus Engineering is currently studying the
financial, legal and marketing aspects of the proposed
collaboration.

Lotus Engineering had on May 23, 2006, entered into an
understanding with Jinhua Youngman Automobile Group to undertake
a joint feasibility study to evaluate the possibilities for
cooperation for designing, developing and selling complete
knocked down vehicles in China.

                       About Proton Holdings

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

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

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


TRU-TECH HOLDINGS: Bourse Delists Securities
--------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific,
Bursa Malaysia Securities delisted Tru-Tech Holdings Berhad's
securities effective September 5, 2006.

Despite Tru-Tech's appeal, Bursa Securities decided that the
Company does not have an adequate level of financial condition
to warrant continued listing on the Official List of Bursa
Securities.

In connection with the removal, Bursa Securities advises
shareholders that with respect to Tru-Tech securities that are
currently deposited with Bursa Malaysia Depository Sdn Bhd, the
securities, despite the delisting, may remain deposited there.
Withdrawal from the Bursa Depository is not mandatory, Bursa
Securities says.

Alternatively, the shareholders who intend to hold their
securities in the form of physical certificates can withdraw
these securities from their Central Depository System accounts
maintained with Bursa Depository.  In this case, Bursa
Securities directs the shareholders to submit an application
form for withdrawal in accordance with the procedures prescribed
by Bursa Depository.

For further information regarding the procedures, the
shareholders are advised to contact any participating
Organization of Bursa Securities or Bursa Securities' general
line at 03-2034 7000.

                   About Tru-Tech Holdings

Headquartered in Ulu Tiram Johor, Malaysia, Tru-Tech Holdings
Berhad's principal activity is the manufacturing of electronic
components and products.  Its other activities include
development and distribution of switch-mode power supplies and
investment holding.  The Group operates in Malaysia, Singapore,
United States and United Kingdom.  On May 27, 2004, Tru-Tech
announced a series of proposed corporate exercises to address
its losses.  These include the incorporation of a new entity as
Tru-Tech's holding company, and the disposal of its existing
contract-assembly business to a third party.  Much of Tru-Tech's
future performance will hinge on its ability to restructure its
debts and resolve its poor liquidity.  Bursa Malaysia Securities
Berhad, on May 26, 2006, decided to suspend trading in the
securities of Tru-Tech Holdings Berhad from June 5, 2006, as the
Company has failed to regularize its financial condition
pursuant to the Bourse's Listing Requirements.

The Company's June 30, 2006, balance sheet showed stockholders'
deficit of MYR91,052,000, resulting from total liabilities of
MYR133,902,000 exceeding total assets of MYR42,850,000.


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

ATLAS CONSOLIDATED: To Start Toledo Mine Initial Rehabilitation
---------------------------------------------------------------
The Directors of Atlas Consolidated Mining and Development
Corporation discloses that initial rehabilitation work is
immediately commencing on its copper mine in Toledo, Cebu, on
the basis of confirmation from Crescent Asian Special
Opportunities Portfolio of an additional US$13 million drawdown
on its US$33 million funding package in favor of the company's
100%-owned subsidiary Carmen Copper Corporation, the operator of
the Toledo Copper mine.

This will also be a convertible loan in addition to the
US$5-million drawdown previously made.

Atlas Consolidated, through Carmen Copper, plans to re-open the
Toledo Copper Mine at a daily ore throughput rate of 42,000
tons.  The company's Directors believe that this initial funding
will jump-start the rehabilitation process and provide a sound
foundation for sourcing additional finance needed and finalizing
the copper off-take arrangements.

From 1955 to 1994, Atlas Consolidated had operated three large
open-pits and three underground block-caving lifts at the Toledo
Copper mine.  Total production was approximately 667 million
tons of ore producing concentrates containing 2.56 million tons
of copper, 1.96 million ounces of gold and 7.2 million ounces of
silver.  Total material mined was 1.9 billion tons.  Atlas
pioneered many aspects of the block-cave mining method since its
successful introduction in 1964, producing 220 million tons of
ore with this method to date.  At its peak production, Atlas was
the third largest copper producer in the world (1979 - 1984). In
1994 the active operations were the Carmen open pit and the
initial production from the Carmen underground mine (together
the "Carmen Operation"), both exploiting the Carmen ore body.

Mining was suspended in 1994 after a "super-typhoon" which
flooded the Carmen open pit and subsequently the Carmen
underground mine.  Current resources for the Carmen, Biga, and
Lutopan orebodies are in the order of 874 million tons at 0.41%
copper, with potential for the discovery of higher-grade
orebodies in the tenements surrounding the mines.

An updated feasibility study completed in August 2006 on the
rehabilitation and re-opening of the Toledo Copper mine was
based on an average mine throughput of 42,000 tons of ore per
day which, over an initial 12-year period is estimated to
produce an average 47,000 tons of copper and 41,000 ounces of
gold per annum primarily from underground block-caving
operations but initially open-pit mining.  The initial
rehabilitation is expected to take 3 months and the start of the
full project could commence in January 2007 with first
concentrate production in November
2007.

"The re-opening of the mine will have a significant social and
economic effect on the local communities" Atlas' recently
appointed Managing Director Kim Freeman said. He further stated
"We also wish to see many of the previous facilities such as the
hospital, recreational clubs and other community development
projects restored over the next few years.  This development is
good for Atlas, the local communities, Cebu and the Philippines
as well as the mining industry in general."

                    About Atlas Consolidated

Headquartered in Mandaluyong City, Philippines, Atlas
Consolidated Mining and Development Corporation was established
through the merger of assets and equities of three Soriano
controlled pre-war mines, the Masbate Consolidated Mining
Company, IXL Mining Company and the Antamok Goldfields Mining
Company.  The Company is engaged in mineral and metallic mining
and exploration that primarily produces copper concentrates and
gold with silver and pyrites as major by-products.  The
Company's copper mining operations are centered in Toledo City,
Cebu, where two open pit mines, two underground mines and
milling complexes (concentrators) are located.  The Cebu copper
mine ceased operations in 1994.  Activities after the shutdown
were limited to safeguarding and maintaining the property, plant
and equipment at the minesite.  The closure has brought huge
losses to the mining firm.

In January 2004, Atlas decided to rehabilitate the company and
its assets since copper and nickel prices have recovered.

According to a TCR-AP report on June 1, 2006, Atlas reported a
capital deficiency of PHP3.035 billion for the year ended
December 31, 2005.  Moreover the Company's auditor, Jaime F. Del
Rosario, of Sycip Gorres Velayo, raised substantial doubt on the
Company's ability to continue as a going concern.


BANK OF THE PHILIPPINE ISLANDS: Aims 8% Growth in MFI lending
-------------------------------------------------------------
The Bank of the Philippine Islands aims to attain an 8% growth
in its lending to small and medium entrepreneurs as well as
expand its services to other micro finance institutions in 2006,
Sun.Star Daily reports.

The report cites Eduardo D. Jose Jr., senior vice president of
BPI corporate banking division and executive director of BPI
Foundation, as saying that the bank also wants to reach out to
areas in Mindanao even though it already has existing client
like the Caraga Green Bank.

Mr. Jose disclosed that the bank has earmarked some
PHP90 million for lending to MFIs in 2006.

According to Sun.Star, part of the BPI program is forging a
memorandum of agreement with Ateneo de Manila University.  The
MOA supports the introductory course to MFIs where the bank
shares funding as grant to augment the fees collected to the
participants, the paper explains.

Mr. Jose also explained that the bank will also subsidize the
long term course that would run for two years where participants
will be coached one on one by the bank.

Mr. Jose said the program will be prioritized in Ateneo's in
Davao, Cagayan, and Zamboanga and will do their share in looking
at how they can help microfinance, Sun.Star relates.

Meanwhile, Mr. Jose said that their capability program for SMEs
was aimed at how to make it easy for the entrepreneurs to
understand what the bank are looking for and what banks to look
for in accessing for loans, the paper notes.

Although he did not provide figures on their lending window for
SMEs, Mr. Jose said they are targeting an 8% growth in this year
or even more, Sun.Star reveals.

The paper cites Mr. Jose as saying an SME can access credit in
banks from PHP500,000 to PHP5 million.

Sun.Star further reveals that the free learning program
initiated by the BPI Foundation is designed to empower SMEs to
assist business concerns with assets from PHP3 million to PHP5
million and a work force of 100 on matters concerning financial
management to ensure access to credit.

It will also enhance the vitality and profitability of their
business while leading them to proper avenues of growth,
Sun.Star says.

                           About BPI

Bank of the Philippine Islands -- http://www.bpi.com.ph/-- is
the oldest bank in South East Asia and is the second largest
commercial bank in the Philippines in terms of assets, deposits,
loans and capital base in the year 2003.  The Bank has two major
products and services categories: the first covers its deposit
taking and lending/investment activities, while the second
covers income derived from all services other than deposit
taking, lending and investing, which are generally in the form
of commissions, service charges and fees.

Moody's Investors Service gave BPI a 'B1' Long-Term Bank
Deposits Rating effective February 16, 2005.

Fitch Ratings gave the bank an individual rating of 'C'
effective October 26, 2000.


DEVELOPMENT BANK: Inaugural Offshore Offering Draws US$1.7 Bln
---------------------------------------------------------------
On September 8, 2006, Development Bank of the Philippines raised
US$130 million in fresh hybrid tier-1 capital through a
perpetual bond float, Doris Dumlao of the Philippine Daily
Inquirer reports.

The report cites DBP president Reynaldo David, as saying in an
interview that the bank's inaugural offshore offering was 12
times oversubscribed, drawing tenders of US$1.7 billion despite
several issuers from other Asian emerging markets during the
week.

Rated B+ by Standard & Poor's, DBP's perpetual bond issue was
the second hybrid tier 1 transaction from a Philippine bank
after Metropolitan Bank and Trust Co.'s and the newest bank
capital-raising deal out of developing Asia, the Inquirer says.

According to the Inquirer, Hybrid tier-1 capital instruments
have equity-like features that make them acceptable as tier-1 or
core capital.  The paper explains that under local banking
regulations, they must be available to absorb losses of the bank
on a going concern basis, one of the central requirements that
set them apart from other debt securities.

The paper notes that the DBP's perpetual bonds, managed by
Barclays Capital and Deutsche Bank, carried a call option by
2016.

About 25% of the demand for the maiden issue came from Europe
while the rest was from Asia, the paper cites Mr. David, as
saying.

Despite the overwhelming response to the DBP's offering, Mr.
David explained that the bank could not raise more than US$130
million as its approval from banking and corporate regulators
was limited to this amount, the Inquirer relates.

                           About DBP

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

                          *     *     *

On, September 4, 2006, Fitch Ratings assigned DBP a rating of
'BB-' to DBP's hybrid issue of up to US$130 million.

Standard & Poor's Ratings Services also assigned its 'B+' long-
term issue credit ratings to bank's Tier-I Hybrid Security of up
to US$130 million.  S&P also assigned its 'BB-/B' foreign
currency and 'BB+/B' local currency counterparty credit ratings
to DBP, with a stable outlook.


METRO CEBU WATER DISTRICT: Union to Raise Water Issues
------------------------------------------------------
As the water crisis in Cebu took a turn for the worse, Cebu
Archbishop Ricardo Cardinal Vidal has reportedly set a dialogue
with officials of the Metropolitan Cebu Water District Employees
Union this week to listen to their gripes.

MCWD Employees Union president Victor Chiong said they have
requested the Cardinal to intercede on two critical issues that
has aggravated the water problem in Cebu.

The MEU wanted to know the position of the Cebu prelate on two
water issues namely, the planned partnership between the MCWD
and the Ayala Consortium to extract water from the town of
Carmen and the multimillion water well projects in Compostela
town that has not been operational for 15 years.

Cebu City Mayor Tomas Osmena earlier bared his strong objections
to the planned partnership between the MCWD and Ayala as
detrimental to the public's interest.  Ayala wanted to enter
into a 40-year Build-Operate-Own-Transfer contract with MCWD
with the partnership enabling Ayala to extract water from the
Luyang and Cantumog Rivers in Carmen and selling it to MCWD at
PHP25.55/ cubic meter.

With the Carmen project, Cebu will have an additional 46,000
cubic meter supply of new water daily.  Government however, has
to spend PHP680 million for new distribution lines and another
PHP175 million for new transmission lines.

Mr. Osmena told media reporters that since the MCWD has to spend
millions to lay down new transmission and distribution lines,
the consumers will pay more than PHP25.55/cu.m. which makes
water rates very expensive.  The MCWD's current rate is only
PHP15/cu.m.

Mr. Osmena has been very vocal of his objections and said the
Carmen water project is unfair and inimical to the interests of
the public.  Mr. Osmena said bidding should be done in case
there are other interested takers willing to provide a better
offer.

The mayor also got irked when he learned that in case another
entity will take over the project, Ayala wants a reimbursement
of its project cost amounting to PHP200 million which the firm
agreed to lower to PHP110 million.  Nobody asked Ayala to make
the proposal while he was advised to make all his objections
formal and submit the written objections to the National
Economic and Development Authority.

Another issue the MEU wanted to take up with Cardinal Vidal is
the PHP100 million water well projects in Compostela that failed
to take off because Mayor Antonio Dangoy would not issue a
permit.  The MCWD project that was completed in 1992 has been
met with stiff resistance from the mayor.

Mr. Chiong said they would ask Cardinal Vidal to advise Mayor
Dangoy to allow the operation of the water well field project as
from 1992 to 1997, the MCWD suffered losses of PHP100.86 million
due to the non-operation of the project.

The Compostela project would have augmented the scarcity of
water supply in Cebu as an estimated volume of 10,000 cubic
meter daily will be made available.

                           About MCWD

In 1974, the Metropolitan Cebu Water District took over in
distributing potable water to the whole metropolis after the
Osmena Waterworks System suffered financial losses.  MCWD
supplies potable water to the cities of Cebu, Mandaue, Lapu-lapu
and Talisay and the municipalities of Consolacion, Lilo-an,
Compostela and Cordova from their resevoirs in Talamban and
Pardo in Cebu City, Casili in Consolacion and Mananga in Talisay
City.

MCWD is engaged in a dispute with supplier Mactan Rocks
Industries Inc., which ended up in a court order directing the
utility firm to garnish PHP19 million in banks.  MCWD, according
to a report by Sun.Star Cebu on August 2, 2006, admitted that if
more MCWD funds will be tied up, it could reach a point when no
more money can be used for its day-to-day operations and payment
of salaries and allowances may be stopped.


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

B.K.B. ENGINEERING: Creditors' Meeting Slated for September 20
--------------------------------------------------------------
B.K.B. Engineering Constructions Pte Ltd, which is under
judicial management, will hold a meeting for its creditors on
September 20, 2006, 10:00 a.m., at 20 Raffles Plac, 17th Floor
Ocean Towers, Singapore 048620.

During the meeting, members will be asked to:

   -- receive updates on a suit by the Ministry of Education;

   -- receive updates on Suit 39 of 2006; and

   -- discuss any other relevant matters.

The Judicial Managers can be reached at:

         Mr. Chee Kum Tin
         Telephone: 6428 6872
         Ms. Lee Hui Hsien
         Telephone: 6428 6107
         c/o Ernst & Young
         10 Collyer Quay #21-01
         Ocean Building
         Singapore 049315


DIGILAND AUSTRALIA: Subsidiary Repositions in Australian Market
---------------------------------------------------------------
Digiland Australia a subsidiary of Digiland International has
rapidly repositioned itself in the Australian Market, Artnet
reports.

Koon Hock Lim, CFO of Digiland International said, "We have
accomplished a great deal in a short amount of time and feel
confident that under the direction of our new CEO Philip Jackson
our position will go from strength to strength in the Australian
market."

Mr. Lim also added that, "Mr. Jackson has brought structure,
experience and a high level of professionalism to Digiland and
has a long and stable history in the IT and AV space.  Our new
model has been developed around two divisions, Media - which
markets and supports our NetDisk NDAS storage technology family
and Health which markets and supports personal health monitors
and analyzers."

Accordingly, ARNnet has quoted Mr. Jackson as saying that the
company has moved very quickly to re-adjust the business model,
develop the new product range and branding -- DGA LifeStyle --
and move the business to facilities, which are more appropriate
for the company's needs.

"We are not backwards in admitting that our legacy distribution
business was a significant challenge in Australia and our
decision to become a vendor and only develop markets for
products and solutions from within the group will provide a much
more sustainable model for the future." Mr. Jackson reveals.

                    About Digiland International

Digiland International Limited -- http://www.digiland.com.sg/--  
is a major distributor of IT products and provider of IT
services in the Asia-Pacific.  The Digiland International Group
of Companies was set up initially as the distribution arm of GES
International Limited to handle sales, marketing and
distribution of GES products, specifically the Datamini brand of
Personal Computer, designed and manufactured by GES
International Limited.  It was renamed Digiland International
Private Ltd in 1998 and has since expanded geographically to
cover most countries in Asia-Pacific.

                          *     *     *

The company has reported a loss of US$44.7 million for the year
ended June 2004, and US$18.7 million for the year ended June
2005 due to the negative impact of the highly cyclical nature of
the computer industry.  Sales were adversely affected by the
shortening product cycles of IT products and downward pressure
on selling prices as newer and more technologically advanced
products enter mass production.  Aside from recurring losses,


FLEXTRONICS INT'L: Pays US$300M for International DisplayWorks
--------------------------------------------------------------
Flextronics International Limited has acquired Roseville-based
International DisplayWorks Incorporated on September 5, 2006,
for US$300 million, the Sacramento Business Journal relates.

According to the report, the deal is a stock swap based on a
price of US$6.55 per share.  Under the deal, the price can float
within a 10 percent collar, and International DisplayWorks can
terminate the deal if Flextronics' stock drops more than 15
percent.

The Business Journal reveals that the deal, which is expected to
close in the fourth quarter, is subject to customary closing
conditions, including International DisplayWorks stockholders'
approval.

International DisplayWorks Chairman and Chief Executive Officer
Tom Lacey said that the deal makes sense because it will create
a stronger company.  Both companies have been discussing the
buyout since April, Sacbee.com reveals.

Mr. Lacey added that Flextronics is one of International
DisplayWorks' top customers, accounting for about 15 percent of
sales.

                 About International Displayworks Inc

International Displayworks, Inc. is formerly known as Granite
Bay Technologies, Inc.  The group's principal activities are to
design, manufacture and distribute liquid crystal displays,
modules and assemblies for original equipment manufacturers.

International DisplayWorks has 3,800 employees, including 12 at
its headquarters and sales office in Roseville. The majority of
the company's employees are in China, home of International
DisplayWork's 466,000-square-foot manufacturing operation and
sales office. The company also has sales offices in Europe, Hong
Kong and Singapore.

                       About Flextronics

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.


FLEXTRONICS INTERNATIONAL: Inks License Deal with Tessera
---------------------------------------------------------
Flextronics International Limited has inked a licensing
agreement of wafer-level assembly technology with Tessera
Technologies Inc.

Under the agreement, Flextronics will gain access to use
Tessera's Shellcase CF Technology, a wafer-level technology that
utilizes the manufacturing infrastructure of conventional chip-
on-board assembly processes.

No financial details were disclosed on the agreement.

Shellcase CF is a wafer-level technology that uses the
manufacturing infrastructure of conventional chip-on-board (COB)
assembly processes.  It helps overcome the challenges associated
with increasing resolution and decreasing pixel size in image
sensors.

The technology is used to assemble optical components integrated
into electronic products such as miniaturized cameras in camera
phones, digital still cameras and video camcorders.

The wafer-level assembly technology has many functions, which
includes:

   -- protecting the image sensor's active area from
      contamination from the initial stage of processing;

   -- providing manufacturers the flexibility to perform optical
      testing at the most favorable point of the assembly flow
      as defined by their specific requirements and
      manufacturing environment, while utilizing existing wire-
      bond assembly infrastructure; and

   -- processing to minimize the hurdles to rapid adoption.

                       About Flextronics

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.


GETRONICS N.V.: S&P Cuts Credit Rating to B- on Weak Margins
------------------------------------------------------------
Standard & Poor's Ratings Services lowered its long-term
corporate credit rating on Dutch IT services company Getronics
N.V. to 'B-' from 'B'.  The outlook is negative.

At the same time, Standard & Poor's lowered its rating on
Getronics' senior unsecured notes to 'CCC' from 'CCC+', still
two notches below the corporate credit rating.  Standard &
Poor's also lowered to 'B-' from 'B' its rating on the company's
EUR284 million senior secured credit facilities, in line with
the corporate credit rating.

The long-term, senior unsecured, and bank loan ratings were
removed from CreditWatch with negative implications, where they
had been placed on Jan. 19, following a profit warning.

The '3' recovery rating on the bank loan, indicating our
expectation of meaningful (50%-80%) recovery of principal in the
event of a payment default remains on CreditWatch pending
further analysis of the security package.

"The downgrade reflects substantial uncertainties about
Getronics' cash flow generation amid steady margin pressure in
the company's key markets," said Standard & Poor's credit
analyst Patrice Cochelin.

Gross margin in second-quarter 2006 narrowed by four percentage
points to 20% as several major international contracts were in a
transition phase, and the company increased its recourse to
subcontractors in the Netherlands, while competition and the
nonrenewal of large, mature contracts eroded margins in
North America.

At June 30, 2006, Getronics reported gross consolidated debt of
EUR636 million.

The negative outlook primarily reflects Getronics' weak ongoing
free cash flow generation and our concerns about the company's
ability to restore margins.

"We expect recent improvements in Getronics' liquidity position
to support the company through year-end 2006, but operating
performance currently does not provide sufficient visibility
into 2007, said Mr. Cochelin.

The ratings could be lowered if margins continue to contract or
if negative free cash flow weakens the company's liquidity.  The
outlook could return to stable if Getronics manages to improve
operating performance, notably through wider margins and
stronger cash flow generation.

                          About Getronics

Headquartered in Amsterdam, Netherlands, Getronics N.V.
-- http://www.getronics.com/-- designs, integrates and manages
ICT infrastructures and business solutions for many of the
world's largest global and local companies and organizations,
helping them maximize the value of their information technology
investments.  Getronics has some 27,000 employees in over 30
countries and approximate revenues of EUR3 billion.   The
company has regional offices in Boston, Madrid and Singapore.
Its shares are traded on Euronext Amsterdam.

                          *     *     *

As reported in Troubled Company Reporter - Asia Pacific
Getronics N.V.'s 'B' long-term corporate credit rating, along
with the 'CCC+' senior unsecured debt, 'B' bank loan, and '3'
recovery ratings on CreditWatch with negative implications,
where they had originally been placed on Jan. 19.The '3'
recovery rating indicates Standard & Poor's expectation of
meaningful (50%-80%) recovery of principal for secured lenders
in the event of a payment default.

As reported in TCR-AP, Moody's Investors Service downgraded
Getronics' corporate family rating to B2 from B1 and placed the
ratings on review for possible downgrade following the company's
announcement of half year results showing a widening of net
losses and fall in margins below the company's expectations.
Concurrently the rating on the EUR100 million senior unsecured
convertible Dutch bonds due 2008 has been downgraded to Caa1
from B3.


MAE ENGINEERING: Designates Ong Puay Koon as CEO
------------------------------------------------
On September 5, 2006, Ong Puay Koon was designated as the
Managing Director and Chief Executive Officer of Mae Engineering
Ltd.

Mr. Ong was formerly the Executive Vice Chairman and Chief
Executive Officer of the company.

                          *     *     *

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

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


MILLENNIUM-WESTMONT: Creditors' Proofs of Claims Due on Sept. 15
----------------------------------------------------------------
Liquidator Ong Yew Huat will be receiving proofs of debt from
the creditors of Millennium-Westmont Pte Ltd until September 15,
2006.

Failure to file claims by the due date will exclude a creditor
from sharing in the company's dividend distribution.

The Liquidator can be reached at:

         Ong Yew Huat
         c/o 10 Collyer Quay
         #21-01 Ocean Building
         Singapore 049315


PROMOSTYL (S) PTE: Wind-Up Petition Hearing Set on September 15
---------------------------------------------------------------
United Overseas Bank Limited has filed an application to wind up
Promostyl (S) Pte Ltd on August 23, 2006.

The High Court of Singapore will hear the wind-up petition on
September 15, 2006, at 10:00 a.m.

The Plaintiff's Solicitors can be reached at:

         Rajah & Tann
         4 Battery Road #15-01
         Bank of China Building
         Singapore 049908


REFCO INC: Ch. 7 Trustee Wants 36 Claims Disallowed & Expunged
--------------------------------------------------------------
Albert Togut, the Chapter 7 trustee for the estate of Refco,
LLC, reports that as of August 10, 2006, more than 400 proofs of
claim have been filed and docketed against the Chapter 7 Debtor.
Omni Management, LLC, the claims agent appointed by the United
States Bankruptcy Court for the Southern District of New York,
continues to process numerous claims, which will be docketed
shortly.

Mr. Togut informs the Court that he and his counsel and
financial advisors have been evaluating the proofs of claim
docketed so far to identify objectionable claims.  The Refco LLC
Trustee reviewed each claim, the official claims register
maintained by Omni and Refco LLC's Schedules of Assets and
Liabilities, and the Debtor's books and records.

Based on this review, Mr. Togut found:

     25 claims that are duplicative of other filed claims;
      4 claims that have been superseded by an amended claim; or
      7 claims that any documentation to support the claim.

Mr. Togut asks the Court to disallow and expunge the 36 disputed
claims.

If the Disputed Claims are not disallowed and expunged, the
holders of the claims would receive a windfall or excessive
recovery to the detriment of other creditors, Mr. Togut
explains.

Mr. Togut also points out that holders of Lack Supporting
Documentation Claims do not have any legitimate claims against
Refco LLC's estate.

A schedule of the Duplicate Claims is available at no charge at
http://ResearchArchives.com/t/s?109e

A schedule of the Amended Claims is available at no charge at
http://ResearchArchives.com/t/s?109f

A schedule of the Lack Supporting Documentation Claims is
available at no charge at http://ResearchArchives.com/t/s?10a0

                         About Refco Inc.

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

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

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

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

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).  (Refco Bankruptcy News,
Issue No. 39; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


WELLMIX ORGANICS: Court to Hear Wind-Up Petition on September 15
----------------------------------------------------------------
On August 24, 2006, Lau Yu Man has filed an application to wind
up Wellmix Organics (International).

The High Court of Singapore will hear the wind-up petition on
September 15, 2006, at 10:00 a.m.

The Solicitors for the Plaintiff can be reached at:

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


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

CIRCUIT ELECTRONICS: Posts THB8.052-Mil. Net Loss in 1H 2006
------------------------------------------------------------
The consolidated financial statement of Circuit Electronics
Industries Public Co Ltd for the first half period ended
June 30, 2006, reflects a THB8.052-million net loss compared
with the THB29.584-million net profit posted in the same period
last year.

Total current assets of the company as of June 30, 2006, amount
to THB378.028 million while current liabilities coming due
within the next 12 months total THB129.150 million.

Cirkit's consolidated balance sheet as of June 30, 2006, shows
total liabilities of THB3.486 billion compared to total assets
of THB821.478 million.  Total shareholders' equity deficit as of
June 30, is at THB2.665 billion.

                          *     *     *

Headquartered in Amphoe Uthai Ayutthya, Thailand, Circuit
Electronics Public Co. Limited -- http://www.cei.co.th/--  
manufactures and exports various integrated circuit and chip on
board for many kinds of electronic equipment such as mobile
phone, computer, automobile assembly, household electronic
equipment and others.  The Group operates in the United States
of America, Europe and Asia.

Circuit Electronics Industries Plc reported a net loss of
THB1.65 billion in fiscal year 2005, compared with the THB1.55-
billion net loss in 2004.


KRUNG THAI: Fitch Affirms 'C/D' Individual Rating
-------------------------------------------------
Fitch Ratings assigned on September 11, 2006, an international
Long-term foreign currency rating of BBB- to Krung Thai Bank
Public Company Limited's hybrid Tier 1 securities to be issued
in the international markets.

KTB's hybrid Tier 1 securities are perpetual with a call option
after 10 years from the issuance date, and are non-cumulative
and able to absorb losses on a going-concern basis.

According to the Bank of Thailand's regulations, the
distribution of returns on hybrid Tier 1 securities may be made
from profits or retained earnings.

However, if a commercial bank has a non-profit year -- after
deducting interest payments on the hybrid Tier 1 securities --
the distribution of returns can be made only if it is approved
by the BOT on a case-by-case basis.

The BOT will take into account the commercial bank's financial
strength such as Tier 1 capital, profitability and retained
earnings.

At the same time, Fitch has affirmed KTB's Long-term foreign
currency Issuer Default rating at BBB+ with a Stable Outlook,
Short-term foreign currency rating at F2, foreign currency
subordinated debt rating at BBB, Individual rating at C/D and
Support rating at 2.

The agency has also affirmed the bank's National Long-term
rating at AA+(tha) with a Stable Outlook, National Short-term at
F1+(tha) and National subordinated debt rating at AA(tha).

Fitch notes that KTB's senior ratings are underpinned by strong
government ownership and support, as well as improving financial
strength, although this support is less likely for more junior
debt.  While government ownership and control provide support to
the senior debt ratings, these factors have tended to weaken
KTB's stand-alone financial performance. KTB is the second-
largest Thai bank with an 18% market share with the central
bank's Financial Institutions Development Fund holding 56.1% of
its shares.  Government ownership will likely remain at least
51% for the foreseeable future.

KTB's hybrid Tier 1 securities are subordinated to the bank's
deposits and other senior and subordinated liabilities except
those liabilities, which by their terms rank equal with or
junior to the securities.  Given KTB's Long-term IDR of BBB+,
the rating on KTB's hybrid Tier 1 securities at BBB- has been
rated two notches below its Long-term IDR.

State support is less likely to be extended to the bank's hybrid
Tier 1 securities should there be any deterioration in the
bank's stand-alone financial strength.  This implies some risk
of a rapid and significant rating downgrade of the bank's hybrid
securities while the Long-term senior rating of the bank would
likely remain unchanged on the back of government support.  The
notching difference between the bank's Long-term IDR and the
rating of its hybrid securities may, as a result, widen should
that scenario take place.

Over the past two years, KTB's underlying operating performance
has improved significantly.  In H106, net profit continued to
improve to THB8.6 billion from THB7.6 billion in H105 mainly as
a result of rising loan yields, improved fee income and higher
gains on investments.  These factors also helped the bank's net
interest margin improve to 3.9% on an annualized basis in H106
from 3.4% in 2005.

While the operating environment for 2006 has deteriorated due to
slower economic growth and political turmoil, KTB's performance
should generally remain stable provided the political issues are
resolved and economic growth picks up in 2007 as the agency
currently expects.

KTB's impaired loans fell to THB92.9 billion (10.3%) at end-June
2006 from THB99.1 billion (11.1%) at end-2005 on the back of
further debt restructuring and write-offs, although reserve
coverage still appears low at about 40%.

A large loan re-classification ordered by the BOT in 2004
prompted KTB to review its risk-management systems.  This also
resulted in a management shake-up.  Management is now focused on
improving the bank's culture and organization to be more
commercially-oriented, and on shifting its focus to retail
banking, the benefits of which are likely to become more visible
in the medium term.

Mortgage and personal loans now account for about 16% of the
bank's loan book.  At end-June 2006, KTB's Tier 1 capital ratio
stood at 8.3% of risk-weighted assets while total capital ratio
stood at 11.8%. The bank reported retained earnings of THB23.7
billion.  Earnings recovery should help underpin capital
adequacy.


KRUNG THAI: Moody's Assigns Ba1 Rating to Hybrid Tier-1
-------------------------------------------------------
Moody's assigned on September 11, 2006, a Ba1 rating to Krung
Thai Bank Public Company Limited's (D-/Baa1/P-2) Hybrid Tier 1
securities being issued via its Singapore branch.  The rating
outlook is stable.

The securities are being issued under the new guidelines of Bank
of Thailand governing Hybrid-Tier 1 securities.

"The Ba1 rating reflects the structure of the issue, KTB's
moderate financial fundamentals and Thailand's supportive
regulatory regime," says Leo Wah, a Moody's Assistant Vice
President/Analyst.

Under the terms of the securities, the issuer can call the
securities after 10 years.  Typical of many Tier I capital-
qualifying hybrid security issues, interest on KTB's Hybrid Tier
1 securities is non-cumulative and under certain circumstances
may be deferred.  If implemented, such provisions, while not
legally constituting an event of default, could result in
payment terms appreciably different from senior securities.

"This distinction and the ranking of the securities in
liquidation -- after subordinated debt, but before common and
preferred shares -- are reflected in the three notch rating
differential between the institution's senior obligations and
this subordinated debt issue," adds Wah.

The instrument will, in Moody's view, have sufficient equity-
like features to allow it to receive basket B treatment -- i.e.
25% equity and 75% debt, for financial leverage purposes.

The rating of the Hybrid Tier-1 issue is subject to the receipt
of final documentation with terms and conditions which show no
material change from those already reviewed by Moody's.


KRUNG THAI: S&P Assigns BB+ Rating to Proposed Hybrid Tier-1
------------------------------------------------------------
Standard & Poor's Ratings Services assigned on September 11,
2006, its BB+ rating to the proposed perpetual, non-cumulative,
hybrid Tier-I securities by Krung Thai Bank Public Co. Ltd
(BBB/Stable/A-2).

The differential between the 'BBB' counterparty credit rating on
KTB and the BB+ rating on the proposed hybrid Tier-I securities
reflects the subordinated nature of the securities and an
interest deferral feature.

Under this interest deferral feature, KTB shall not pay any
interest if this results in a retained loss and a current loss
on the payment date.  If the payment results in a current loss,
but not a retained loss, KTB has to seek the approval of the
Bank of Thailand before it can make the interest payment.

A retained loss occurs when KTB determines that the consolidated
retained earnings for the most recently ended fiscal period or
year is less than or equal to zero.  A current loss occurs when
KTB determines that the consolidated net profit for the
immediately preceding half-year period ending in June or full-
year in December is less than or equal to zero.

Claims in respect of the proposed hybrid Tier-I securities will
rank pari passu and without preference among themselves.

Nevertheless, the securities rank in priority to the rights and
claims of holders of

    1) all classes of equity securities (including preferred
       equity securities) of the bank; and

    2) any liabilities of the bank that rank junior to the
       proposed hybrid Tier-I securities.

The proposed hybrid Tier-I securities will be subordinated to
depositors and the bank's subordinated debt.

The bank has the option to redeem the proposed securities in
certain circumstances, subject to approval from the Bank of
Thailand.  These include:

    -- Full redemption of the issue, in whole but not in part,
       at the principal amount on the first call date in 2016,
       or any interest payment date thereafter.

    -- Redemption of the proposed securities at the principal
       amount and any accrued interest if there are taxation
       changes in Thailand or Singapore.

    -- Redemption of the proposed securities at their principal
       amount and any accrued interest if the securities do not
       qualify as Tier-I capital, after having previously
       qualified as such.  This excludes the situation when the
       securities do not qualify as Tier-I capital because the
       amount exceeds limitations by the Bank of Thailand.

The proposed hybrid Tier-I securities are not included in
Standard & Poor's measure of core capital, which is adjusted
common equity.  This is in line with Standard & Poor's treatment
of other forms of hybrid capital, including preference shares,
in its analysis of capital.  Standard & Poor's will, however,
recognize equity capital credit for the proposed securities in
the bank's adjusted total equity of up to 25% (strong equity
content).


* BOND PRICING: For the Week 11 September to 15 September 2006
--------------------------------------------------------------

Issuer                               Coupon     Maturity  Price
------                               ------     --------  -----

AUSTRALIA & NEW ZEALAND
-----------------------
Ainsworth Game                        8.000%    12/31/09     1
APN News & Media Ltd                  7.250%    10/31/08     5
A&R Whitcoulls Group                  9.500%    12/15/10     8
Arrow Energy NL                      10.000%    03/31/08     1
Babcock & Brown Pty Ltd               8.500%    12/31/49     8
Becton Property Group                 9.500%    06/30/10     1
BIL Finance Ltd                       8.000%    10/15/07     9
Capital Properties NZ Ltd             8.500%    04/15/07     8
Capital Properties NZ Ltd             8.500%    04/15/09     7
Capital Properties NZ Ltd             8.000%    04/15/10     8
Cardno Limited                        9.000%    06/30/08     4
CBH Resources                         9.500%    12/16/09     1
Chrome Corporation Ltd               10.000%    02/28/08     1
Clean Seas Tuna Ltd                   9.000%    09/30/08     1
Djerriwarrh Investments Ltd           6.500%    09/30/09     4
EBet Limited                         10.000%    11/29/06    25
Evans & Tate Ltd                      8.250%    10/29/07     1
Fletcher Building Ltd                 7.900%    10/31/06     8
Fletcher Building Ltd                 8.300%    10/31/06     8
Fletcher Building Ltd                 8.600%    03/15/08     7
Fletcher Building Ltd                 7.800%    03/15/09     7
Fletcher Building Ltd                 8.850%    03/15/10     8
Fletcher Building Ltd                 7.550%    03/15/11     7
Fernz Corp Ltd                        8.560%    10/15/06     9
Futuris Corporation Ltd               7.000%    12/31/07     2
Hy-Fi Securities Ltd                  7.000%    08/15/08     8
Hy-Fi Securities Ltd                  8.750%    08/15/08    10
Hutchison Telecoms Australia          5.500%    07/12/07     1
IMF Australia Ltd                    11.500%    06/30/10     1
Infrastructure & Utilities NZ Ltd     8.500%    09/15/13     8
Infratil Ltd                          8.500%    11/15/15     8
Kagara Zinc Ltd                       9.750%    05/06/07     5
Kiwi Income Properties Ltd            8.000%    06/30/10     1
Minerals Corporation Ltd             10.500%    09/30/07     1
Nuplex Industries Ltd                 9.300%    09/15/07     8
Pacific Print Group Ltd              10.250%    10/15/09    11
Primelife Corporation                 9.500%    12/08/06     1
Primelife Corporation                10.000%    01/31/08     1
Salomon SB Australia                  4.250%    02/01/09     8
Sapphire Securities Ltd               7.410%    09/20/35     7
Sapphire Securities Ltd               9.160%    09/20/35     9
Silver Chef Ltd                      10.000%    08/31/08     1
Software of Excellence                7.000%    08/09/07     1
Speirs Group Ltd.                    10.000%    06/30/49    50
Tower Finance Ltd                     8.750%    10/15/07     8
Tower Finance Ltd                     8.650%    10/15/09     8
TrustPower Ltd                        8.300%    09/15/07     8
TrustPower Ltd                        8.300%    12/15/08     7
TrustPower Ltd                        8.500%    09/15/12     8
TrustPower Ltd                        8.500%    03/15/14     8
Vision Systems Ltd                    9.000%    12/15/08     2

KOREA
-----
Korea Electric Power                  7.950%    04/01/96    55

MALAYSIA
--------
Aliran Ihsan Resources Bhd            5.000%    11/29/11     1
AHB Holdings Bhd                      5.500%    03/06/07     1
Asian Pac Bhd                         4.000%    12/21/07     1
Berjaya Land Bhd                      5.000%    12/30/09     1
Bumiputra-Commerce                    2.500%    07/17/08     1
Camerlin Group Bhd                    5.500%    07/15/07     2
Crescendo Corporation Bhd             3.000%    08/25/07     1
Eastern & Oriental Hotel              8.000%    07/25/11     1
Eden Enterprises (M) Bhd              2.500%    12/02/07     1
EG Industries Bhd                     5.000%    06/16/10     1
Equine Capital Bhd                    3.000%    08/26/08     1
Fountain View Development Sdn Bhd     3.500%    11/03/06     1
Greatpac Holdings Bhd                 2.000%    12/11/08     1
Gula Perak Bhd                        6.000%    04/23/08     1
Hong Leong Industries Bhd             4.000%    06/28/07     1
Huat Lai Resources Bhd                5.000%    03/28/10     1
I-Berhad                              5.000%    04/30/07     1
Insas Bhd                             8.000%    04/19/09     1
Kamdar Group Bhd                      3.000%    11/09/09     1
Kosmo Technology Industrial Bhd       2.000%    06/23/08     1
Kretam Holdings Bhd                   1.000%    08/10/10     1
Kumpulan Jetson                       5.000%    11/27/12     1
LBS Bina Group Bhd                    4.000%    12/29/06     1
LBS Bina Group Bhd                    4.000%    12/31/07     1
LBS Bina Group Bhd                    4.000%    12/31/08     1
LBS Bina Group Bhd                    4.000%    12/31/09     1
Lion Diversified Holdings Bhd         2.000%    06/01/09     3
Media Prima Bhd                       2.000%    07/18/08     1
Mithril Bhd                           8.000%    04/05/09     1
Mithril Bhd                           3.000%    04/05/12     1
Mutiara Goodyear Development Bhd      2.500%    01/15/07     1
Nam Fatt Corporation Bhd              2.000%    06/24/11     1
Pantai Holdings Bhd                   5.000%    03/28/07     2
Pantai Holdings Bhd                   5.000%    07/31/07     2
Pelikan International Corp Bhd        3.000%    04/08/10     1
Poh Kong Holdings Bhd                 3.000%    01/20/07     1
Prinsiptek Corporation Bhd            3.000%    11/20/06     1
Puncak Niaga Holdings Bhd             2.500%    11/18/16     1
Ramunia Holdings                      1.000%    12/20/07     1
Rashid Hussain Bhd                    3.000%    12/23/12     1
Rashid Hussain Bhd                    0.500%    12/24/12     1
Rhythm Consolidated Bhd               5.000%    12/17/08     1
Silver Bird Group Bhd                 1.000%    02/15/09     1
Southern Steel                        5.500%    07/31/08     1
Tanah Emas Corporation Bhd            2.000%    12/09/06     1
Tenaga Nasional Bhd                   3.050%    05/10/09     1
Tradewinds Plantations Bhd            3.000%    02/28/16     1
WCT Land Bhd                          3.000%    08/02/09     1
Wah Seong Corp                        3.000%    05/21/12     3
YTL Cement Bhd                        4.000%    11/10/15     1

SINGAPORE
---------
Sengkang Mall                         8.000%    11/20/12     1
Structural System Singapore          11.000%    06/30/07     1
Tincel Ltd                            7.400%    06/13/11     1



                            *********

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.

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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
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Copyright 2006.  All rights reserved.  ISSN: 1520-9482.

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