TCRAP_Public/060927.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

          Wednesday, September 27, 2006, Vol. 9, No. 192

                            Headlines

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

ABORIGINAL AIR: Creditors Vote to Liquidate Business
ADSTAV PTY: Liquidator Albarran to Present Wind-Up Report
ALI S PROPERTIES: Creditors to Prove Claims on October 6
ASIA PROPERTIES: Placed Under Voluntary Wind-Up
BATEAU BAY: Members' Final Meeting Slated for October 12

BROADCENTRIC (ASIA-PACIFIC): Court Orders Wind-Up
BUFFALO FPSO: Liquidator to Present Wind-Up Report
CENTIK PTY: Final Meeting Slated for October 19
CHC HELICOPTER: First Quarter Profit Drops on Increased Expenses
COCO BELLE: To Declare First and Final Dividend

CUIR PTY: Enters Wind-Up Proceedings
ETIC INTERIORS: Members Opt to Shut Down Operations
GENEVA FINANCE: S&P Affirms B+ Rating with Stable Outlook
GENEVA FINANCE: S&P Affirms B- Rating on Insurance Arm - Quest
GENEVA FINANCE: Secures NZ$30 Million International Bank Line

GLOBAL PEST: Creditors Must Prove Debts by October 11
GRANPA'S ENTERPRISE: Creditors to Prove Debts on October 5
H.J. HEINZ: S&P Lowers Preferred Stock's Rating to BB+ from BBB-
H STANLEY DEV: Names Heath and Lamacraft as Liquidators
HELILOGGING LTD: Court to Hear CIR's Liquidation Petition

INSIDIOUS FIX: Names Gilbert as Liquidator
JABAMAK PTY: Appoints Sule Arnautovic as Liquidator
KIALBA ROAD: To Declare First and Final Dividend
L&J DI NUNZIO: Members Agree to Close Business
LUSH DESIGN: Creditors Must Prove Debts by Oct. 9

MIDLAND FREIGHTERS: Hearing of Liquidation Bid Set on Oct.9
MORPETH BOWLING: Undergoes Wind-Up Proceedings
M.Q.F. PTY: Creditors Must Prove Debts by October 3
MTA ROAD SERVICE: Court Orders Wind Up; Appoints Liquidator
NAVBAR PTY: Final Meeting Scheduled on October 24

OZ DIGITAL: To Hold Final Meeting on October 20
P & D TRAD: Placed Under Voluntary Wind-Up
P & R MOTORS: Court Appoints Joint Liquidators
PARRAMATTA CITY: Enters Voluntary Liquidation
PLUMBCALL ADMINISTRATION: Members Decide to Wind Up Operations

RILADI PTY: To Declare First and Final Priority Dividend
SANFIELD PROPERTIES: Creditors' Proofs of Debt Due on October 19
SCHUBACH CONSTRUCTIONS: Final Meeting Set on October 20
SHERATON PROPERTY: Court Orders Wind Up; Names Liquidator
SHOAL VALLEY: Creditors Appoint Liquidator

SMART COMMUNICATIONS: To Declare Final Dividend on October 30
T.T.P. RECRUITMENT: To Declare Final Dividend on October 10
TARANAKI TIMBER: Court Will Hear Liquidation Petition on Oct. 5
TROUTS 1: Faces Liquidation Proceedings
TROUTS HOTEL: Liquidation Bid Hearing Set on Oct. 9

WASABI GRAPHICS: Members Resolve to Wind Up Firm
WHORLTON PTY: Final Meeting Slated for October 20
* New Zealand Posts NZ$961-Million Deficit in August


C H I N A   &   H O N G  K O N G

ACXIOM CORP: Reports Results of "Dutch Auction" Tender Offer
ASHLAND INC: CFO Provides Quarter Ended September 30 Outlook
AUSTFIN PERSONAL: Enters Voluntary Liquidation
BARBICAN CAPITAL: Faces Wind-Up Proceedings
CHESAPEAKE CORP: S&P Lifts Sr. Unsecured Debt's Rating to B+

CRMC ACTEM: Members Agree to Wind Up Operations
CYBERTRONICS (HK): Creditors' Proofs of Claim Due on October 31
EXCELLENT WAY: Shareholders Opt for Voluntary Wind-Up
GUANGDONG TOURS: Annual Meeting Slated for September 28
J & S INTERIOR: Court Sets Date to Hear Wind-Up Bid

M.S. LTD: Members Winds Up Operations
MILLION HERO: Members Resolve to Wind Up Operations
MORE WAYS: Lai and Haughey Ceased to Act as Liquidators
PAK MAN: Wind-Up Petition Hearing Set on November 8
POINT HARVEST: Creditors' Proofs of Debt Due October 4

SAFENET INC: Review of Option Grants Prompts Fin'l Restatements
SAFENET INC: Incurs Additional Expenses Due to Restatements
SHAN MEI: Wind-Up Petition Hearing Set on November 8
SINGING MACHINE: Incurs US$1.1-M. Net Loss in 2006 Second Qtr
STAGE AND ART: Members Opt to Close Operations

TAG-IT PACIFIC: Earns US$654,642 in Second Quarter Ended June 30
TYSON FOODS: Moody's Rates US$1 Billion Senior Facility at Ba1
VADE DEVELOPMENT: Appoints Heng as Liquidator
WHOLE WIDER: Shareholders Wants Voluntary Wind-Up
ZION CRUADE: Names Chung as Liquidator

* China's IPP Gain on Margins But Leverage Soars, says Fitch
* Weak State Firms Given More Time to Comply with Bankruptcy Law


I N D I A

AMERICAN AXLE: Sending Axle Work on Camaro Car in Mexico Plant
ARTSON ENGINEERING: Profit Rises 16.2% for June 2006 Quarter
CENTRAL BANK OF INDIA: Treasury Income Drops By 41%
CENTRAL BANK OF INDIA: To Expand Business in Gujarat
CENTURION BANK: RBI Stops Foreign Funds From Getting Shares

CONTINENTAL AIRLINES: Defends DOT China Route Application
DUNLOP INDIA: Losses Down to INR2.1 Million in June Quarter
EASYLINK SERVICES: Cures Non-Compliance to Nasdaq Requirement
EMCO LTD: Forays into Power Generation
ESSAR OIL: Can Start Pre-Commissioning on Gujarat Refinery

EXTREME NETWORKS: Stock-Option Probe Delays Form 10-K Filing
GARWARE POLYESTER: Posts INR10-Mil. Profit for 2nd Quarter 2006
GENERAL MOTORS: To Enter Tie-Up Talk with Nissan-Renault's Ghosn
HINDUSTAN COPPER: 2nd Quarter Profit Doubles to INR408 Million
NATIONAL TEXTILE: Gets INR550 Crore To Revive 15 Mills

NTPC LTD: Closes Loan Syndication Deal
SAMTEL COLOUR: Revenues Improve 6.5% YoY for June Quarter
SILICON GRAPHICS: Gets Okay to Hire Deloitte FAS as Accountants
SILICON GRAPHICS: Court OKs Ernst & Young Employment as Auditors
SILICON GRAPHICS: LGE Gets Okay to Withdraw Lift Stay Motion

SILVERLINE TECH: Announces Completion of Restructuring
SILVERLINE TECH: Ties Up With Mainstream Partners
SILVERLINE TECH: Holds EGM to Decide Millennium Care Acquisition
SOUTHERN IRON: Shareholders Agree on Delisting from CSX
SUVARNA SAHAKARI: Placed Under Administration

VISTEON CORP: Opens US$10 Million Technical Center in India


I N D O N E S I A

DELTA MUTUAL: June 30 Balance Sheet Upside-Down by US$1.3-M
HESS CORPORATION: Moody's Assigns Loss-Given-Default Ratings
METSO CORP: Inks EUR100 Million Supply Pact with Guangzhou Paper


J A P A N

ALIXPARTNERS: Moody's Rates Proposed US$435-M Senior Loan at B1
EBARA CORPORATION: Expands Cooperation with Capsulution
FTI CONSULTING: S&P Rates Proposed US$215-M Senior Notes at B+
FTI CONSULTING: Moody's Rates US$215 Mil. Sr. Notes at Ba2
FORD MOTOR: Asks Court to Dismiss Suit Over Flaky Paints

HANKYU HOLDINGS: Plans Hotel Integration with Hanshin on Oct. 1
HERBALIFE INT'L: Moody's Assigns Loss-Given-Default Rating
SOFTBANK CORP: To Raise JPY1.45 Trillion from Vodafone Assets
* Japan's Debt Balance Rises to Record JPY827.8 Trillion


K O R E A

DAEWOO CORPORATION: Seeks U.S. Chapter 15 Protection
DAEWOO CORPORATION: Chapter 15 Petition Summary
DRESSER INC: Initiates Cash Tender Offer for 2011 Notes
KOREA DEVELOPMENT: Advised to Get Rid of Non-Core Businesses
SHINHAN BANK: Stake in Parent Sold to Mizuho for US$86 Million


M A L A Y S I A

COMSA FARMS: Will Submit 2006 Annual Report After Audit
PAN MALAYSIA CORP: Buys Back 33,000 Shares for MYR8,865
PAN MALAYSIA HOLDINGS: To Execute Par Value Reduction on Sept.29
PROTON HOLDINGS: HLG Retains Sell Recommendation
PROTON HOLDINGS: Gearing for Competition in Two Years

PROTON HOLDINGS: Peugeot Tie-Up May Save Business, Analysts Say
PSC INDUSTRIES: APB Taps Shipyard to Boost Oil & Gas Operations


P H I L I P P I N E S

DEVELOPMENT BANK: Posts 37% Increase in Net Income for 1H2006
DEVELOPMENT BANK: Shifts from Commercial to Development Programs
DEVELOPMENT BANK: Strengthens Support for OFW Sector
MANILA ELECTRIC: Will not Include NPC GRAM Adjustments
PHILODRILL CORP: Assigns 85% Interest in SC 41 to Tap Oil

SECURITY BANK: Board Names R. Victa as VP for Corp Relationship
* Philippines Roars as Economy Rolls to Record Highs


S I N G A P O R E

CHUAN JOO: Creditors' Meeting Set for October 2
DIAMOND PETROLEUM: High Court to Hear Wind-Up Petition on Oct. 6
FREESCALE SEMICONDUCTOR: Sr. Facility's Rating Lowered to BB+
HONDAI ENGINEERING: Pays Preferential Dividend to Creditors
IPC ACQUISITION: Moody's Holds Junk Rating on Second Lien Debt

LIANG HUAT: Updates Whitewash Waiver and Conversion Option
LINDETEVES-JACOBERG: Books' Closure Date Set on October 10


T H A I L A N D

DOLE FOOD: Prod. Warning Cues S&P to Hold Ratings on Neg. Watch
KRUNG THAI: Moody's Withdraws Ba1 Tier-1 Rating


* Upcoming Meetings, Conferences and Seminars

     - - - - - - - -

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

ABORIGINAL AIR: Creditors Vote to Liquidate Business
----------------------------------------------------
Aboriginal Air Services has been placed in liquidation, the
Sydney Morning Herald reports.

On September 25, 2006, the airline's creditors have voted
unanimously to wind up the 24-year-old company and formally
place the business into liquidation, the Sydney Herald relates.

Austin Taylor and Anthony James, of Meertens Chartered
Accountants, were appointed as liquidators.

A white knight could not be found to save the airline company,
the Sydney Herald cites Mr. Taylor, as saying.

The paper recounts that Aboriginal Air went into voluntary
administration owing about AU$1 million to creditors, including
about AU$250,000 in staff entitlements.

Mr. Taylor says he is looking into claims by creditors that
Aboriginal Air Services was insolvent for some time.

ABC News Online relates that Mr. Taylor will ask the Australian
Securities and Investments Commission to investigate the
company's directors for offences under the Corporations Act,
including insolvent trading.

"Well, directors can be made personally liable for insolvent
trading, so debts that are incurred by [a] company director when
they know or have reason to suspect that the company is
insolvent can be, they can be made to pay them," ABC News cites
Mr. Taylor, as saying.

Mr. Taylor says, "it is highly unlikely the company will be
saved by an investor."

ABC News also cites the Northern Territory Transport Minister,
Delia Lawrie, as saying that it is now unrealistic to expect
another company to rescue the airline.

"When they go into liquidation mode and when matters are
referred to ASIC, it's extremely unlikely that anyone will come
in with a rescue package," Ms. Lawrie contends.

Ms. Lawrie says she will encourage other commercial airlines to
service stranded communities, ABC News relates.

As reported in the TCR-AP, flights in South Australia, Coober
Pedy, Indulkana, and Ernabella were understood to have ended as
of September 14, 2006.  "This covers freight, postage. . .these
are the lifelines to these communities," Mr. Taylor noted.  "Not
much goes in on buses or trucks.  Some of it does, but most of
it goes in on aircrafts because they are just so remote."

The TCR-AP report stated that the airline operates patient
transfers from remote communities and its administrator says
people could die as a direct result of the company's
liquidation.

                     About Aboriginal Air

Aboriginal Air Services -- http://www.aboriginalair.com.au/--  
is a corporation, which runs four air companies:

   1. Ngaanyatjarra Air servicing the Western communities
      through to Kalgoorlie;

   2. Ngurratjuta Air operating North and West of Alice Springs;

   3. PY Air is supplying communities in the northern part of
      South Australia; and

   4. Janami Air, the RPT route to Katherine Via communities

Aboriginal Air Services also has its own maintenance arm,
Aboriginal Aircraft Maintenance Services.

The Air and Maintenance companies are owned and controlled by
Aboriginal Corporations.

The Troubled Company Reporter - Asia Pacific reported on
September 6, 2006, that the board of directors of Aboriginal Air
Services voted to bring in an administrator.  Aboriginal Air has
never made a profit in its 20-year history and has been propped
up by its shareholders -- four Aboriginal groups from central
Australia -- with large management fees, the TCR-AP said, citing
a report from The Australian.


ADSTAV PTY: Liquidator Albarran to Present Wind-Up Report
---------------------------------------------------------
A final meeting of the members and creditors of Adstav Pty Ltd,
which is in liquidation, will be held on October 20, 2006, at
11:00 a.m.

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

The Liquidator can be reached at:

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


ALI S PROPERTIES: Creditors to Prove Claims on October 6
--------------------------------------------------------
On September 5, 2006, Arron Leslie Heath and Michael Lamacraft
were appointed as joint and several liquidators in the
liquidation of Ali S Properties Ltd.

In this regard, the Liquidators require company creditors to
submit their proofs of claim by October 6, 2006, or be excluded
from the benefit of any distribution the Company will make.

The Troubled Company Reporter - Asia Pacific reported that the
Commissioner of Inland Revenue filed a liquidation petition
against the company on June 20, 2006.  The petition was heard on
September 21, 2006.

The Liquidators can be reached at:

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


ASIA PROPERTIES: Placed Under Voluntary Wind-Up
-----------------------------------------------
On September 6, 2006, the members of Asia Properties Australia
Pty Ltd resolved to voluntarily wind up the Company's operations
and distribute the proceeds of the company's assets.

Subsequently, Stephen James Parbery was appointed as liquidator.

The Liquidator can be reached at:

         Stephen James Parbery
         PPB, Level 15
         25 Bligh Street, Sydney
         Australia


BATEAU BAY: Members' Final Meeting Slated for October 12
--------------------------------------------------------
The members of Bateau Bay Bowling Club Ltd will hold a final
meeting on October 12, 2006, at 9:00 a.m.

At the meeting, Liquidator Peter Walker will report the
company's wind-up proceedings and the manner of property
disposal.

The Liquidator can be reached at:

         Peter Walker
         Ferrier Hodgson
         Level 13, 255 George Street
         Sydney, New South Wales 2000
         Australia


BROADCENTRIC (ASIA-PACIFIC): Court Orders Wind-Up
-------------------------------------------------
On September 1, 2006, the Federal Court of Australia ordered
Broadcentric (Asia-Pacific) Pty Ltd to wind-up the company's
operations.

Accordingly, Antony De Vries was appointed as liquidator.

The Liquidator can be reached at:

         Antony De Vries
         c/o de Vries Tayeh
         Level 3, 95 Macquarie Street
         Parramatta, New South Wales 2124
         Australia
         Telephone:(02) 9633 3333
         Facsimile:(02) 9933 3040


BUFFALO FPSO: Liquidator to Present Wind-Up Report
--------------------------------------------------
Buffalo FPSO Pty Ltd will hold a final meeting for its members
on October 19, 2006, at 10:00 a.m.

At the meeting, Liquidator Timothy James Cuming will present the
final report of the company's wind-up proceedings and property
disposal activities.

The Liquidator can be reached at:

         Timothy James Cuming
         PricewaterhouseCoopers
         Level 15, 201 Sussex Street
         Sydney, New South Wales 1171
         Australia


CENTIK PTY: Final Meeting Slated for October 19
-----------------------------------------------
The members of Centik Pty Ltd will hold a final meeting on
October 19, 2006, at 10:00 a.m., to receive Liquidator
Sutherland's report on the Company's wind-up proceedings and
property disposal exercises.

According to the Troubled Company Reporter - Asia Pacific, the
Company commenced a wind-up of its operations on June 16, 2006.

The Liquidator can be reached at:

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


CHC HELICOPTER: First Quarter Profit Drops on Increased Expenses
----------------------------------------------------------------
CHC Helicopter Corporation reported unaudited financial results
for the three months ended July 31, 2006.

The Company continues to aggressively expand its fleet to meet
current and future contractual agreements.  Revenue increased
during the first quarter by CDN$41.4 million, excluding the
impact of foreign exchange.  However, the quarter's results have
been affected by the cost of the Company's unprecedented
addition of 19 aircraft to its fleet, resulting in a fleet
increase of 34 aircraft compared to the first quarter of last
year.

Furthermore, foreign exchange has also had a significant impact
on the Company's earnings growth.

As a result of this rapid fleet expansion, the Company
experienced significant aircraft introduction costs which
consist of recruitment and training, crew duplication and
overtime, mobilization costs, and pre-deployment lease and
interest costs. There is a timing difference between when these
introduction costs are incurred and when an aircraft begins
flying and generating revenue, resulting in a significant
reduction in earnings during this introduction period.  During
the first quarter, very few of the 19 new aircraft earned
revenue while approximately

CDN$3.5 million of introduction costs and approximately CDN$2
million of lease and interest costs were expensed to prepare
these aircraft for deployment in fiscal 2007.  These
introduction costs were particularly high in Europe where
several aircraft, including new aircraft types, were added to
the fleet.

In addition, substantial costs were expensed in the first
quarter in the European Operations and Heli-One segments related
to scheduled and unscheduled maintenance requirements on newly
introduced aircraft, aircraft being modified for current and
future contracts and older aircraft on which unscheduled
maintenance work was required.  These costs totaled
approximately CDN$2.7 million, consisting of CDN$2.4 million in
operating costs and CDN$0.3 million of lease and interest costs.

During the first quarter, the Company continued to be negatively
impacted by the strengthening Canadian dollar, consistent with
previously reported quarters.  Revenue was negatively impacted
by FX of approximately CDN$22.3 million.

During the first quarter, consolidated revenue increased by
CDN$41.4 million or 17% over the same period last year,
excluding the negative impact of FX.  Revenue increased in all
operating segments with Global Operations experiencing a 33%
revenue growth this quarter, excluding FX.  Flying hours in the
first quarter increased by 3,767 hours over the same period last
year and by 4,015 hours from the fourth quarter of last year.

The first quarter was a strong quarter for Global Operations,
with increases in revenue and segment EBITDAR of CDN$25 million
and CDN$12.4 million, respectively, from the same period last
year, excluding the negative impact of FX.  Global Operations
has added 13 new aircraft to its fleet compared to the first
quarter of last year, which is partially offset by aircraft
returned to Heli-One for re-deployment.  The addition of new
aircraft is a major contributing factor to the increases in
revenue and segment EBITDAR in the Global Operations segment.

Net earnings for the first quarter were CDN$8.8 million, a
decrease of CDN$10.4 million from the first quarter last year.

                       About CHC Helicopter

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

                           *     *     *

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


COCO BELLE: To Declare First and Final Dividend
-----------------------------------------------
Coco Belle Pty Ltd will declare the first and final dividend to
its creditors on October 16, 2006.

Creditors who cannot prove their debts by October 9, 2006, will
be excluded from sharing in the dividend distribution.

The Deed Administrator can be reached at:

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


CUIR PTY: Enters Wind-Up Proceedings
------------------------------------
On August 25, 2006, the members of Cuir Pty Ltd resolved to wind
up the Company's operations.

Accordingly, Antony de Vries and Riad Tayeh were appointed as
joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Riad Tayeh
         de Vries Tayeh
         Level 3, 95 Macquarie Street
         Parramatta, New South Wales 2125
         Australia


ETIC INTERIORS: Members Opt to Shut Down Operations
---------------------------------------------------
At an extraordinary general meeting held on September 1, 2006,
the members of Etic Interiors & Planners Pty Ltd decided to shut
down the Company's operations.

Subsequently, John Vouris was appointed liquidator at the
creditors' meeting held that same day.

The Liquidator can be reached at:

         John Vouris
         Lawler Partners
         Chartered Accountants
         Level 7, 1 Margaret Street
         Sydney, New South Wales 2000
         Australia


GENEVA FINANCE: S&P Affirms B+ Rating with Stable Outlook
---------------------------------------------------------
Standard & Poor's Ratings Services affirms its 'B+' long-term
counterparty credit rating on New Zealand-based finance company
Geneva Finance Ltd.  The outlook is stable.

"Standard & Poor's 'B+' rating on Geneva reflects the sound
execution of its business strategy, which has supported its
franchise and moderated some of its start-up risks," Standard &
Poor's credit analyst Derryl D'Silva of the Financial Services
Ratings group says.  The rating on Geneva, however, is limited
by the company's small market position; the potential for
deterioration in asset quality given the company's loan
portfolio is unseasoned and is largely focused on a higher-risk
market segment; and a relatively small absolute-sized capital
base. Geneva's earnings profile is progressively improving and
management's recognition of the need for alternative funding
avenues support the financial profile and final rating.

Factors that will support a higher long-term rating include
evidence of further improvement in the company's operating
performance and diversity of earnings, and the maintenance of
sound asset quality.  Further support would arrive from an
improvement in capital resources, reflecting Geneva's
involvement in higher-risk lines of business.  Conversely, the
rating could be pressured if there was any deterioration in
Geneva's asset quality, given its proximity to a market segment
that is experiencing difficulties.  Maintenance of sound
liquidity management is equally important.

                      About Geneva Finance

Geneva Finance Limited -- http://www.genevafinance.co.nz/-- has
21 professionally branded retail finance branches throughout New
Zealand to facilitate lending receivables collection and credit
management -- mirroring the trading bank consumer retail
distribution strategy while affording the company face-to-face
contact with applicants and security evaluations.

On May 3, 2005, the Troubled Company Reporter - Asia Pacific
reported that Standard & Poor's Ratings Services assigned its
'B+' long-term counterparty credit rating on Geneva Finance with
a stable outlook.


GENEVA FINANCE: S&P Affirms B- Rating on Insurance Arm - Quest
--------------------------------------------------------------
Standard & Poor's Ratings Services revises its rating outlook on
its 'B-' insurer financial strength rating on Quest Insurance
Group Ltd., to stable from positive.  At the same time, Standard
& Poor's affirms its 'B-' rating on the non-life insurer.

The outlook revision on the insurer financial strength rating on
Quest aligns with and reflects the stable outlook on its parent,
Geneva Finance Ltd., (Geneva; B+/Stable/-).  The stable outlooks
on both Quest and Geneva reflect Standard & Poor's view that
further improvement of Quest's capability and business profile
is dependent on, and closely associated with, Geneva.

"Standard & Poor's views Geneva's decision to form Quest as
opportunistic and strategic in nature, providing additional
products to its existing finance-company client base," Standard
& Poor's credit analyst Derryl D'Silva  of the Financial
Services Ratings group says.  "In the event of a deterioration
of Geneva's credit quality, its capacity to provide support to
Quest may be pressured, which would likely flow into the
insurer's credit quality."

Prior to the changed outlook on Quest, Standard & Poor's
expected its standalone financial profile to build to a stage
where it could become less reliant on Geneva.  The introduction
of new products, albeit to Geneva's client base, has delayed
Quest's development and ability to contend with traditional
start-up risks.

On a stand-alone basis, the rating on Quest continues to reflect
its short operating period, start-up risks, very small business
position, and low absolute capital size.  As a captive company,
Quest's business profile relies on its relationship with Geneva.
The rating also takes into account the involvement of an
external manager with extensive experience in managing insurance
products.

                      About Geneva Finance

Geneva Finance Limited -- http://www.genevafinance.co.nz/-- has
21 professionally branded retail finance branches throughout New
Zealand to facilitate lending receivables collection and credit
management -- mirroring the trading bank consumer retail
distribution strategy while affording the company face-to-face
contact with applicants and security evaluations.

On May 3, 2005, the Troubled Company Reporter - Asia Pacific
reported that Standard & Poor's Ratings Services assigned its
'B+' long-term counterparty credit rating on Geneva Finance with
a stable outlook.


GENEVA FINANCE: Secures NZ$30 Million International Bank Line
-------------------------------------------------------------
On July 27, 2006, Geneva Finance Limited reported that it has
secured a NZ$30-million wholesale banking facility with BOS
International, a member of the HBOS Australia Group.

The company noted that transparency, strong medium term business
planning, and a sound management structure were instrumental in
securing the facility.

Geneva Finance Chief Executive Officer, Dennis Kelly, said that
Geneva Finance's ability to secure this substantial facility is
a reflection of its risk management systems, policies, and
processes.

Geneva Finance became the first 'non-bank' finance company in
New Zealand to secure a rating from Standard & Poor's.  In its
rating report issued in May 2005, Standard & Poor's identified
the need for Geneva Finance to develop other funding options to
complement its successful retail debenture program.  Geneva's
securing this facility is confirmation that it has implemented
the recommendation.

"That we chose to be the first non-bank owned finance company to
take the step of being rated by Standard & Poor's confirms our
intention to establish a strong business infrastructure and risk
management processes in line with our long term vision to build
a company with a solid, prosperous future."

On May 3, 2005, the Troubled Company Reporter - Asia Pacific
reported that Standard & Poor's Ratings Services assigned its
'B+' long-term counterparty credit rating on Geneva Finance with
a stable outlook.

Geneva Finance Managing Director, Glenn Walker, said the recent
appointment of Shaun Riley -- formerly District Manager for GE
Finance and Regional Manager UDC -- to General Manager, and the
promotion of Dennis Kelly -- former Chief Operating Officer for
Hanover Finance -- to Chief Executive Officer underpins the
company's intentions to become a market leader in New Zealand
with a strong senior management capability.

McDouall Stuart in its recent industry reports on NZ Finance
Companies predicted that "quality companies that are credit
rated by internationally credible rating agencies and which have
strong business infrastructure would continue to attract
investment".

"Securing this facility provides further enhancement of its
existing liquidity resources.  Having committed to a long term
credit rating process and having to ensure the discipline of
meeting the rigorous requirements of our wholesale banking
compliance programs we are very committed to continuing to
further strengthen the company's liquidity, risk management, and
prudential processes," Mr. Walker said.

                      About Geneva Finance

Geneva Finance Limited -- http://www.genevafinance.co.nz/-- has
21 professionally branded retail finance branches throughout New
Zealand to facilitate lending receivables collection and credit
management -- mirroring the trading bank consumer retail
distribution strategy while affording the company face-to-face
contact with applicants and security evaluations.

On May 3, 2005, the Troubled Company Reporter - Asia Pacific
reported that Standard & Poor's Ratings Services assigned its
'B+' long-term counterparty credit rating on Geneva Finance with
a stable outlook.


GLOBAL PEST: Creditors Must Prove Debts by October 11
-----------------------------------------------------
On September 5, 2006, the members of Global Pest Control
Services Pty Ltd resolved to wind up the company's operations
and appoint Daniel J. Civil as liquidator.

In this regard, creditors are required to submit their proofs of
claim by October 11, 2006, to be included in the company's
distribution of dividend.

The Liquidator can be reached at:

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


GRANPA'S ENTERPRISE: Creditors to Prove Debts on October 5
----------------------------------------------------------
On September 5, 2006, shareholders of Granpa's Enterprise Ltd
appointed Peri Micaela Finnigan and John Trevor Whittfield as
the company's joint and several liquidators.

The Joint Liquidators subsequently required the creditors of the
company to prove their debts by October 5, 2006 for them to
share in the benefit of the distribution.

The Liquidators can be reached at:

         Peri Micaela Finnigan
         John Trevor Whittfield
         McDonald Vague
         P.O. Box 6092, Wellesley Street Post Office
         Auckland, New Zealand
         Telephone:(09) 303 0506
         Facsimile:(09) 303 0508
         Web site: http://www.mvp.co.nz


H.J. HEINZ: S&P Lowers Preferred Stock's Rating to BB+ from BBB-
----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its corporate credit
and senior unsecured debt ratings for ketchup and condiment
manufacturer H.J. Heinz Co. to 'BBB' from 'BBB+'.

"We also lowered the company's 'BBB-' preferred stock rating to
'BB+' and the 'A-1 (LOW)' Canadian commercial paper ratings to
'A-2'; the U.S. 'A-2' short-term and commercial paper ratings
have been affirmed," said Standard & Poor's credit analyst
Alison Sullivan.

The ratings were removed from CreditWatch with negative
implications where they were placed on May 23, 2006, following
5.5% aggregate shareholders Trian Fund Management LP and Sandell
Asset Management Corp.'s release of a position paper detailing
its proposed plan which included a proposal for a more
aggressive financial policy, including increased share
repurchases, dividends, and leverage.

The outlook is stable.  The company had about US$4.5 billion
total debt outstanding at Aug. 2, 2006.

The downgrade reflects Standard & Poor's concern that the
confirmed election of two of the five Trian Group board of
director nominees to Heinz's board could further strain
financial policy and may cause the company to alter its current
plans.

While Heinz management has indicated its intention to maintain
their current financial policy and operations strategy, Standard
& Poor's believe management may be faced with pressures from new
board members that could result in a weakening of credit
measures. (Trian's initial proposal had included a more
aggressive financial policy and debt-financed share repurchase
plan.)

Credit measures are already weak for the current rating and are
unlikely to improve in the near term to levels more appropriate
for the rating due to management's previously announced sizable
share repurchase plans.

The ratings on Heinz reflect:

   * its broad, strong portfolio of branded products;

   * geographic diversity; and

   * participation in the relatively stable packaged and
     processed food industry.

These factors are somewhat offset by the company's weakened
credit measures following several debt-financed acquisitions,
and by the numerous restructuring initiatives implemented during
the past few years.

                        About H. J. Heinz

H. J. Heinz Company -- http://www.heinz.com/-- and its
subsidiaries manufacture and market a line of processed food
products throughout the world.  The company's principal products
include ketchup, condiments and sauces, frozen food, soups,
beans and pasta meals, infant food and other processed food
products.  The company also owns or leases office space,
warehouses, distribution centers and research and other
facilities throughout the world.

The company has presence all over the world, including
Australia.

                          *     *     *

Troubled Company Reporter - Asia Pacific reported that Standard
& Poor's Ratings Services, on September 19, 2006, lowered the
company's BBB- preferred stock rating to BB+.


H STANLEY DEV: Names Heath and Lamacraft as Liquidators
-------------------------------------------------------
Arron Leslie Heath and Michael Lamacraft were appointed as joint
and several liquidators of H Stanley Developments Ltd on
September 4, 2006.

Subsequently, the liquidators required creditors to submit their
proofs of claim by October 6, 2006.  Failure to prove debt will
exclude a creditor from sharing in any distribution the company
will make.

The Joint Liquidators can be reached at:

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


HELILOGGING LTD: Court to Hear CIR's Liquidation Petition
---------------------------------------------------------
On August 7, 2006, the Commissioner of Inland Revenue filed a
liquidation petition against Helilogging Ltd before the High
Court of New Plymouth.

The petition will be heard on October 5, 2006, at 10:00 a.m.

The Solicitor for the Petitioner can be reached at:

         P. L. Windsor-Knaap
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone: (07) 959 0471


INSIDIOUS FIX: Names Gilbert as Liquidator
------------------------------------------
Insidious Fix Ltd commenced the liquidation of its business on
September 5, 2006, and appointed John Michael Gilbert as
liquidator.

Creditors of the Company are then required by the Liquidator to
prove their claims by October 27, 2006, or be excluded from the
benefit of any distribution the Company will make.

The Liquidator can be reached at:

         John Michael Gilbert
         c/o C & C Strategic Limited
         Private Bag 47-927, Ponsonby
         Auckland, New Zealand
         Telephone:(09) 376 7506
         Facsimile:(09) 376 6441


JABAMAK PTY: Appoints Sule Arnautovic as Liquidator
---------------------------------------------------
On September 7, 2006, members of Jabamak Pty Ltd agreed to
voluntarily wind-up the Company's operations.

In this regard, Sule Arnautovic was appointed as the company's
liquidator.  The appointment was confirmed at the creditors'
meeting held later that day.

The Liquidator can be reached at:

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


KIALBA ROAD: To Declare First and Final Dividend
------------------------------------------------
Kialba Road Pty Ltd, which is in liquidation, will declare the
first and final dividend to its creditors on October 11, 2006.

Creditors are required to submit their proofs of debts by
October 4, 2006, to be included in the benefit of the dividend.

The Liquidator can be reached at:

         Daniel I. Cvitanovic
         Chartered Accountant
         Shop 5 Old Potato Shed
         74-76 Hoddle Street, Robertson
         New South Wales 2577
         Australia
         Telephone:(02) 4226 9575
         Facsimile:(02) 4225 9293


L&J DI NUNZIO: Members Agree to Close Business
----------------------------------------------
The members of L & J Di Nunzio No 2 Pty Ltd met on September 5,
2006, and resolved to voluntarily wind-up the Company's
operations.

In this regard, Antony de Vries and Riad Tayeh were appointed as
joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Riad Tayeh
         de Vries Tayeh
         Level 3, 95 Macquarie Street
         Parramatta, New South Wales 2125
         Australia


LUSH DESIGN: Creditors Must Prove Debts by Oct. 9
-------------------------------------------------
On August 31, 2006, Karen Betty Mason and Jeffery Philip Meltzer
were appointed joint and several liquidators to oversee the
liquidation of Lush Design Gallery (Auckland) Ltd.

Accordingly, the creditors of the company are required to prove
their debts by October 9, 2006, or be excluded from sharing in
any distribution the company will make.

The Joint Liquidators can be reached at:

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


MIDLAND FREIGHTERS: Hearing of Liquidation Bid Set on Oct.9
-----------------------------------------------------------
An application to liquidate Midland Freighters (2004) Ltd will
be heard before the High Court of Rotorua on October 9, 2006, at
10:45 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on July 22, 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


MORPETH BOWLING: Undergoes Wind-Up Proceedings
----------------------------------------------
At an extraordinary general meeting held on August 27, 2006, the
members of Morpeth Bowling & Recreation Club Ltd agreed to
voluntarily wind up the company's operations.

Accordingly, Raymond George Tolcher was nominated to act as
liquidator.

The Liquidator can be reached at:

         Raymond George Tolcher
         Lawler Partners
         Chartered Accountants
         763 Hunter Street, Newcastle
         West, New South Wales 2302
         Australia


M.Q.F. PTY: Creditors Must Prove Debts by October 3
---------------------------------------------------
Creditors of M.Q.F. Pty Ltd are required to submit their proofs
of debts to Joint Liquidators Christopher R. Campbell and David
J. F. Lombe by October 3, 2006.

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

The Joint and Several Liquidators can be reached at:

         Christopher R. Campbell
         David J. F. Lombe
         Deloitte Touche Tohmatsu
         Grosvenor Place, 225 George Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9322 7000


MTA ROAD SERVICE: Court Orders Wind Up; Appoints Liquidator
-----------------------------------------------------------
On September 4, 2006, the Supreme Court of New South Wales
ordered MTA Road Service Australia Pty Ltd to wind up its
operations and appointed G. J. Parker as the company's
liquidator.

The Liquidator can be reached at:

         G. J. Parker
         Parker Insolvency
         Level 5, 49 Market Street
         Sydney, New South Wales 2000
         Australia


NAVBAR PTY: Final Meeting Scheduled on October 24
-------------------------------------------------
Navbar Pty Ltd, which is in liquidation, will hold a final
meeting for its members and creditors on October 24, 2006, at
10:45 a.m.

At the meeting, Liquidators Parberry and Smith will report on
the company's wind-up proceedings and property disposal
exercises.

The Joint Liquidators can be reached at:

         S. J. Parberry
         A. L. Smith
         PPB
         Level 15, 25 Bligh Street
         Sydney, New South Wales 2000
         Australia


OZ DIGITAL: To Hold Final Meeting on October 20
-----------------------------------------------
OZ Digital Australia Pty Ltd will hold a final meeting for its
members and creditors on October 20, 2006, at 9:30 a.m., for the
purpose of attending to statutory duties.

The Liquidator can be reached at:

         Nicholas Crouch
         Crouch Insolvency
         Level 28, 31 Market Street
         Sydney, New South Wales
         Australia


P & D TRAD: Placed Under Voluntary Wind-Up
------------------------------------------
At a meeting of the members and creditors of P&D Trad Pty Ltd
held on September 6, 2006, voluntary winding up the company's
operations was agreed.  Ozem Kassem was named as liquidator.

The Liquidator can be reached at:

         Ozem Kassem
         Cor Cordis Chartered Accountants
         Level 8, 50 Carrington Street
         Sydney, New South Wales
         Australia
         Telephone:(02) 8221 8433
         E-mail: okassem@corcordis.com.au


P & R MOTORS: Court Appoints Joint Liquidators
----------------------------------------------
The High Court of Palmerston North appointed Iain Bruce Shephard
and Christine Margaret Dunphy to act as liquidators jointly and
severally in the liquidation of P & R Motors Ltd.

According to the Troubled Company Reporter - Asia Pacific, Brake
& Transmission NZ Ltd filed a petition to liquidate the company
on August 3, 2006.  The petition was heard on September 4, 2006.

The Joint Liquidators can be reached at:

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


PARRAMATTA CITY: Enters Voluntary Liquidation
---------------------------------------------
Members and creditors of Parramatta City Smash Repairs Pty Ltd
held separate meetings on August 28, 2006, and agreed to close
the company's business.

Ozem Kassem was appointed as liquidator.

The Liquidator can be reached at:

         Ozem Kassem
         Cor Cordis Chartered Accountants
         Level 8, 50 Carrington Street
         Sydney, New South Wales
         Australia
         Telephone:(02) 8221 8433
         Facsimile:(02) 8221 8422


PLUMBCALL ADMINISTRATION: Members Decide to Wind Up Operations
--------------------------------------------------------------
At a meeting held on September 4, 2006, the members of Plumbcall
Administration Systems Pty Ltd agreed to voluntarily wind up the
company's operations.

Subsequently, Nicholas Crouch was appointed as liquidator.

The Liquidator can be reached at:

         Nicholas Crouch
         Crouch Insolvency
         Chartered Accountants
         Level 28, 31 Market Street
         Sydney, New South Wales 2000
         Australia


RILADI PTY: To Declare First and Final Priority Dividend
--------------------------------------------------------
Riladi Pty Ltd will declare the first and final priority
dividend for its creditors on October 27, 2006.

Creditors who cannot prove their claims by October 13, 2006,
will be excluded from sharing in the dividend distribution.

The Deed Administrator can be reached at:

         Adam Shepard
         Star Dean-Willcocks
         Level 1, 32 Martin Place
         Sydney, New South Wales 2000
         Australia


SANFIELD PROPERTIES: Creditors' Proofs of Debt Due on October 19
----------------------------------------------------------------
On September 6, 2006, members of Sanfield Properties Pty Ltd
resolved to voluntarily wind up the company's operations and
appointed Stephen James Parbery as liquidator.

Creditors are required to formally prove their debts by
October 19, 2006, to be included in the benefit of the dividend.

The Liquidator can be reached at:

         S. J. Parbery
         c/o PPB
         Chartered Accountants
         Level 15, 25 Bligh Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9233 4955
         Facsimile:(02) 9221 1310


SCHUBACH CONSTRUCTIONS: Final Meeting Set on October 20
-------------------------------------------------------
A final meeting of the members and creditors of Schubach
Constructions Pty Ltd will be held on October 20, 2006, at 11:00
a.m.

At the meeting, Liquidator Palmer will give final accounts of
the company's wind-up proceedings.

The Liquidator can be reached at:

         Christopher J. Palmer
         Level 4, 23-25 Hunter Street
         Sydney, New South Wales 2000
         Australia


SHERATON PROPERTY: Court Orders Wind Up; Names Liquidator
---------------------------------------------------------
The Supreme Court of New South Wales ordered Sheraton Property
Development Pty Ltd to wind up its Company's operations on
August 17, 2006.

In this regard, 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


SHOAL VALLEY: Creditors Appoint Liquidator
------------------------------------------
Creditors of Shoal Valley Holdings Pty Ltd convened on
September 7, 2006, and decided to 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
         Chartered Accountants
         PO Box 573
         Wollongong, New South Wales 2500
         Australia


SMART COMMUNICATIONS: To Declare Final Dividend on October 30
-------------------------------------------------------------
Smart Communications Group Ltd will declare the final dividend
for its creditors on October 30, 2006.

In this regard, creditors are required to submit their proofs of
claim to the liquidators by October 16, 2006, for them to share
in the dividend distribution.

The Liquidators can be reached at:

         M. W. Prentice
         M. J. Robinson
         PPB
         Level 15, 25 Bligh Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9233 4955
         Facsimile:(02) 9233 1310


T.T.P. RECRUITMENT: To Declare Final Dividend on October 10
-----------------------------------------------------------
A final dividend will be declared on October 10, 2006, for the
creditors of T.T.P. Recruitment Group Pty Ltd.  Creditors who
cannot prove their claims by that day will be excluded in the
distribution.

The Liquidator can be reached at:

         Bill Cotter
         Level 24, 264 George Street
         Sydney, New South Wales 2000
         Australia


TARANAKI TIMBER: Court Will Hear Liquidation Petition on Oct. 5
---------------------------------------------------------------
The High Court of New Plymouth will hear a liquidation petition
filed against Taranaki Timber & Treatment Ltd on October 5,
2006, at 10:00 a.m.

The petition was filed by the Commissioner of Inland Revenue on
August 7, 2006.

The solicitor for the Petitioner can be reached at:

         P. L. Windsor-Knaap
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone: (07) 959 0471


TROUTS 1: Faces Liquidation Proceedings
---------------------------------------
A petition to liquidate Trouts 1 Ltd will be heard before the
High Court of Rotorua on October 9, 2006, at 10:45 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on August 9, 2006.

The solicitor for the Petitioner can be reached at:

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


TROUTS HOTEL: Liquidation Bid Hearing Set on Oct. 9
---------------------------------------------------
A liquidation petition filed against Trouts Hotel Ltd will be
heard before the High Court of Rotorua on October 9, 2006, at
10:45 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on August 9, 2006.

The Revenue Commissioner's solicitor can be reached at:

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


WASABI GRAPHICS: Members Resolve to Wind Up Firm
------------------------------------------------
At a meeting on September 6, 2006, the members of Wasabi
Graphics Pty Ltd decided to voluntarily wind up the company's
operations.

Subsequently, Peter Paul Krejci was appointed as liquidator at
the creditors' meeting held that same day.

The Liquidator can be reached at:

         Peter P. Krejci
         GHK Green Krejci
         Level 13, 1 Castlereagh Street
         Sydney, New South Wales 2000
         Australia


WHORLTON PTY: Final Meeting Slated for October 20
-------------------------------------------------
Members of Whorlton Pty Ltd will meet on October 20, 2006, at
10:00 a.m., to receive Liquidator McDonald's report on the
company's wind-up proceedings.

The Liquidator can be reached at:

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


* New Zealand Posts NZ$961-Million Deficit in August
----------------------------------------------------
New Zealand's trade deficit in August came in at NZ$961 million,
worse than the NZ$780 million that economists had forecast, the
New Zealand Press Association says, citing a report from
Statistics New Zealand dated September 26, 2006.

The monthly shortfall pushed the August year deficit up to
NZ$6.547 billion, slightly down from NZ$6.735 billion in the
July year but again worse than economists' forecasts of
NZ$6.4 billion, the New Zealand Herald says.

The paper notes that the largest contributor to the increase in
imports was petroleum and products.  Despite the irregular
nature of petroleum shipments, this was the seventh month in the
last eight when petroleum and products had the highest value for
any import commodity, NZ Herald adds.

According to NZPA, the August 2005 deficit was slightly worse
than this year at NZ$1.1 billion.  However, this year's deficit
equated to 35.3% of exports and was the second largest on record
for an August month.

The monthly deficit was despite a 15.4% rise in exports in
August to NZ$2.723 billion, NZPA notes.


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

ACXIOM CORP: Reports Results of "Dutch Auction" Tender Offer
------------------------------------------------------------
Acxiom disclosed the final results of its modified "Dutch
auction" tender offer to purchase up to 11,111,111 shares of its
common stock, which expired at 5:00 p.m., New York City time on
September 12, 2006.

Acxiom has accepted for payment an aggregate of 11,111,111
shares of its common stock at a purchase price of US$25 per
share and an aggregate purchase price of approximately US$277.8
million.  These shares represent approximately 12.6% of the
shares outstanding immediately prior to completion of the tender
offer.

Computershare Trust Company, N.A., the depositary for the tender
offer has informed Acxiom, that the final proration factor for
the tender offer is 73.868515%.

Based on Computershare's final count (and excluding conditional
tenders that were not accepted because the specified condition
was not satisfied), 15,053,367 shares were properly tendered and
not withdrawn at a price of US$25.00 per share.  Any shares that
were not properly tendered will be returned promptly to the
tendering stockholders.

Payment for the shares accepted for purchase, and return of all
shares tendered and delivered and not accepted for purchase,
will be carried out promptly by Computershare.  As a result of
the completion of the tender offer, Acxiom has approximately
77.4 million shares of common stock outstanding.

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

            Innisfree M&A Incorporated
            Information Agent for the Offer
            501 Madison Avenue
            New York, NY 10022
            Phone:(877) 750-9497

                      or

            J.P. Morgan Securities
            Phone: (877) 371-5947
            Stephens Inc.
            Phone: (800) 643-9691
            Dealer Managers for the Offer

                   About Acxiom Corporation

Based in Little Rock, Arkansas, Acxiom Corporation (Nasdaq:
ACXM) -- http://www.acxiom.com/-- integrates data, services and
technology to create and deliver customer and information
management solutions for many of the largest, most respected
companies in the world.  The core components of Acxiom's
innovative solutions are Customer Data Integration technology,
data, database services, IT outsourcing, consulting and
analytics, and privacy leadership.  Founded in 1969, Acxiom has
locations throughout the United States, Europe, Australia and
China.

                         *     *     *

Standard & Poor's Ratings Services assigned its loan and
recovery ratings to Little Rock, Arkansas-based Acxiom Corp.'s
proposed US$800 million secured first-lien financing.  The
first-lien facilities consist of a US$200 million revolving
credit facility and a US$600 million term loan.  They are rated
'BB' with a recovery rating of '2'.

Moody's Investors Service assigned a Ba2 rating to Acxiom
Corporation's US$800 million senior secured credit facilities,
while affirming its corporate family rating of Ba2.  The outlook
is stable.


ASHLAND INC: CFO Provides Quarter Ended September 30 Outlook
------------------------------------------------------------
Ashland, Inc.'s Senior Vice President and Chief Financial
Officer, J. Marvin Quin, provided participants in the Credit
Suisse 19th Annual Chemical Conference in New York City with an
update on the Company's outlook for its fiscal fourth quarter,
ending September 30, 2006.

Commenting on Valvoline, Mr. Quin estimated that it would incur
an operating loss due to weak operating margins, especially
early in the current quarter.  "The previously disclosed price
increase of roughly 50 cents per gallon does appear to be
holding," Mr. Quin said, "so we are more optimistic about the
next quarter, beginning Oct. 1, which should be profitable."
Mr. Quin also noted that the establishment of a US$3 million
reserve related to the sale of 33 Valvoline Instant Oil Change
stores will contribute to the operating loss.

Commenting on the Company's other divisions, Mr. Quin said,
"Performance Materials and Distribution have performed well thus
far this quarter.  Performance Materials should produce
operating results well above the prior year, and Distribution
should report solid profit growth."

Mr. Quin noted that the Company's Water Technologies division is
also performing better, due in large part to the operating
income produced by the Environmental and Process Solutions
flocculants business acquired from Degussa AG in May 2006.

Concluding, Mr. Quin said, "I do want to caution that we may
record restructuring and severance charges in the quarter that
are not reflected in my outlook.  Also, we are now conducting
our regular quarterly review of various assets and contingent
liabilities, including insurance receivables and environmental
remediation, and the associated reserves could increase or
decrease.  In total, we do not expect reserve adjustments to be
material to Ashland as a whole.  Of course, these items may
impact some divisions more than others.  However, we cannot
accurately project the impact of these items until our
accounting close processes are complete."

Ashland, Inc., (NYSE: ASH) -- http://www.ashland.com/-- a
diversified, global chemical company, provides quality products,
services and solutions to customers in more than 100 countries.
Ashland operates through four wholly owned divisions: Ashland
Performance Materials, Ashland Distribution, Valvoline and
Ashland Water Technologies.

The company has a major office in Shanghai, China

                         *     *     *

As reported in the Troubled Company Reporter on Aug. 24, 2006
Standard & Poor's Ratings Services lowered its long-term
corporate credit and senior unsecured debt ratings on Ashland to
'BB+' from 'BBB-', and its short-term corporate credit and
commercial paper ratings to 'B' from 'A-3'.  The outlook is
stable for this Ashland, Kentucky-based company.


AUSTFIN PERSONAL: Enters Voluntary Liquidation
----------------------------------------------
On September 11, 2006, members of Austfin Personal Financial
Services Ltd held a general meeting and agreed to voluntarily
wind up the company's operations.

In this regard, Kevin John O'Shaughnessy and Thomas Andrew
Corkhill were appointed as joint and several liquidators.

The Joint Liquidators can be reached at:

         Kevin John O'Shaughnessy
         Thomas Andrew Corkhill
         8/F, Gloucester Tower
         The Landmark, 11 Pedder Street
         Central, Hong Kong


BARBICAN CAPITAL: Faces Wind-Up Proceedings
-------------------------------------------
A petition to wind up Barbican Capital Investment Ltd will be
heard before the High Court of Hong Kong on October 18, 2006, at
9:30 a.m.

Catdave Investments Ltd filed the petition with the Court on
August 18, 2006.

The Solicitors for the Petitioner can be reached at:

         S.H. Leung & Co.
         Room 502, 5/F
         Aon China Building
         29 Queen's Road Central
         Hong Kong


CHESAPEAKE CORP: S&P Lifts Sr. Unsecured Debt's Rating to B+
------------------------------------------------------------
Standard & Poor's Ratings Services raised its senior unsecured
debt rating on Chesapeake Corp. to 'B+' from 'B' and withdrew
its 'BB-' senior secured bank loan rating and '2' recovery
rating.  The corporate credit rating on Chesapeake is 'BB-', and
the outlook is stable.

"The rating actions followed the company's announcement that it
did not complete its proposed refinancing transaction," said
Standard & Poor's credit analyst Lisa Wright.

Chesapeake, based in Richmond, Virginia, had about US$550
million of lease and post-retirement-adjusted debt outstanding
at July 2, 2006.

The ratings on paperboard and plastics packaging producer
Chesapeake reflect:

   * its very thin discretionary cash flow;

   * very aggressive debt leverage;

   * industry overcapacity; and

   * competitive pricing pressures.

The ratings also reflect some ability to pass on raw-material
cost increases to customers and the diversity of the company's
end markets and operations.

Chesapeake Corp.:

  * Corporate Credit Rating: BB-/Stable/--

Rating Raised:

  * Senior Unsecured: to B+ from B

Rating Withdrawn:

  * Senior Secured Bank Loan: to NR from BB-

  * Recovery Rating: to NR from 2

Chesapeake Corporation's -- http://www.cskcorp.com/-- principal
activities are to design, manufacture and market paperboard and
plastic packaging.

The company has an office in Hong Kong, and plastic packaging
facilities in China.


CRMC ACTEM: Members Agree to Wind Up Operations
-----------------------------------------------
At a general meeting held on September 8, 2006, the members of
CRMC Actem Ltd passed a resolution to wind up company's
operations.

Accordingly, Heng Poi Cher was appointed as liquidator.

The Liquidator can be reached at:

         Heng Poi Cher
         4404, 44/F, China Resources Building
         26 Harbour Road, Wanchai
         Hong Kong


CYBERTRONICS (HK): Creditors' Proofs of Claim Due on October 31
---------------------------------------------------------------
Joint Liquidators Andrew C.C. Ma and Felix K.L. Lee require the
creditors of Cybertronics (HK) Ltd to submit their proofs of
claim by October 31, 2006.

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

The Joint Liquidators can be reached at:

         Andrew C.C. Ma
         Felix K.L Lee
         19/F, Seaview Commercial Building
         21-24 Connaught Road West
         Hong Kong


EXCELLENT WAY: Shareholders Opt for Voluntary Wind-Up
-----------------------------------------------------
Shareholders of Excellent Way Properties Ltd resolved on
September 15, 2006, to voluntarily wind up the company's
operations and distribute the proceeds of its assets disposal.

Subsequently, Leung Fung Yee was appointed as liquidator.

The Liquidator can be reached at:

         Fung Yee, Alice
         5/F, Jardine House
         1 Connaught Place
         Hong Kong


GUANGDONG TOURS: Annual Meeting Slated for September 28
-------------------------------------------------------
Members and creditors of Guangdong Tours Transportation Ltd,
which is in liquidation, will hold separate annual meetings on
September 28, 2006, at Room 203, Duke of Windsor Social Service
Bldg, 15 Hennessy Road, Wanchai, Hong Kong.

                         *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
June 17, 2003, a Hong Kong court wound up Guangdong (HK) Tours
after creditors alleged in a petition that the company had been
remiss with its debt repayments.

The company, whose net debt is estimated to be HK$260 million,
immediately halted operation, including those of six travel
agencies and wholly owned subsidiary -- Guangdong Tours
Transportation.


J & S INTERIOR: Court Sets Date to Hear Wind-Up Bid
---------------------------------------------------
The High Court of Hong Kong will hear the wind-up petition
against J & S Interior Design & Decoration Company Ltd on
October 11, 2006, at 9:30 a.m.

Comegreat Ltd filed the petition with the Court on August 10,
2006.

The Solicitors for the Petitioner can be reached at:

         Fred Kan & Co.
         31/F, Central Plaza
         18 Harbour Road
         Wanchai, Hong Kong


M.S. LTD: Members Winds Up Operations
-------------------------------------
Members of M.S. Ltd convened on September 8, 2006, and resolve
to voluntarily wind up the Company's operations.

In this regard, Natalia K. M. Seng and Susan Y. H. Lo were
appointed as joint and several liquidators.

The Joint Liquidators can be reached at:

         Natalia K. M. Seng
         Susan Y. H. Lo
         Level 28, Three Pacific Place
         1 Queen's Road East
         Hong Kong


MILLION HERO: Members Resolve to Wind Up Operations
---------------------------------------------------
On September 15, 2006, members of Million Hero Development
(Peking) Ltd passed a special resolution to wind up the
company's operations.

Chan Shu Kin and Chow Chi Tong were consequently appointed as
joint and several liquidators.

The Joint Liquidators can be reached at:

         Chan Shu Kin and Chow Chi Tong
         9/F, Tung Ning Building
         249-253 Des Voeux Road, Central
         Hong Kong


MORE WAYS: Lai and Haughey Ceased to Act as Liquidators
-------------------------------------------------------
Derek Lai and Darach E. Haughey ceased to act as joint and
several liquidators of More Ways Investment Ltd on August 28,
2006.

The Joint and Several Liquidators can be reached at:

         Derek Lai
         Darach E. Haughey
         35/F, One Pacific Place
         88 Queensway
         Hong Kong


PAK MAN: Wind-Up Petition Hearing Set on November 8
---------------------------------------------------
On August 7, 2006, the Bank of China (Hong Kong) Ltd filed
before the High Court of Hong Kong a petition to wind-up the
operation of Pak Man Engineering Company Ltd.

The Court will hear the petition on November 8, 2006, at 9:30
a.m.

The Solicitors for the Petitioner can be reached at:

         Gallant Y. T. Ho & Co.
         5/F, Jardine House
         No. 1 Connaught Place
         Central, Hong Kong

POINT HARVEST: Creditors' Proofs of Debt Due October 4
------------------------------------------------------
Creditors of Point Harvest Ltd are required to submit their
proofs of debt to Liquidator Chu Jeffy by October 4, 2006, for
them to share in any distribution the company will make.

According to the Troubled Company Reporter - Asia Pacific,
members of the company resolved to wind up the company's
operations on September 4, 2006.

The Liquidator can be reached at:

         Chu Jeffy
         Room 1807, West Tower
         Shun Tak Centre, 168-200
         Connaught Road Central
         Hong Kong


SAFENET INC: Review of Option Grants Prompts Fin'l Restatements
---------------------------------------------------------------
SafeNet, Inc.'s Board of Directors previously appointed a
special
committee of the Board to investigate the Company's stock option
granting practices.  The special committee has retained
independent counsel and forensic accountants to assist in its
investigation, which is currently in progress.  In addition, the
Company has also retained an international professional services
firm to assist the Company in a review of the Company's
accounting for stock option grants.

Based on its review to date, the Company has concluded that
certain option grants made between 2000 and 2005, including
grants to directors, officers and employees, were or likely were
accounted for using incorrect measurement dates under applicable
accounting rules in effect at the time, and that material non-
cash, stock-based compensation expenses related to these option
grants will have to be recorded.  As a result, the Company
expects that annual and interim financial statements for the
periods from 2000 through March 31, 2006, will have to be
restated.

Therefore, on Sept. 12, 2006, the audit committee of the Board
of Directors of the Company determined, after consultation with
management and with the concurrence of the Company's independent
registered public accounting firm, Ernst & Young LLP, that the
Company's annual and interim financial statements and the
related Reports of Independent Registered Public Accounting Firm
on these financial statements for the periods from 2000 through
March 31, 2006 should no longer be relied upon.

Further, management's report and the Report of Independent
Registered Public Accounting Firm on the Company's internal
controls over financial reporting as of December 31, 2004 and
2005 should also no longer be relied upon.  Upon completion of
the investigation and the audit of the necessary restatements by
Ernst & Young LLP, the Company intends to file restated
financial statements for these periods and its quarterly report
for the quarter ended June 30, 2006 as soon as practicable.

The Company says it has not yet determined the tax consequences
that may result from these matters or whether tax consequences
will give rise to monetary liabilities which may have to be
satisfied in any future period.  Additionally, the Company is
evaluating the impact of this matter on the Company's internal
controls over financial reporting and disclosure controls and
procedures.

Any additional non-cash, stock-based compensation expense
recorded for the periods in question would have the effect of
decreasing income from operations, net income and net income per
share (basic and diluted) in periods in which the Company
reported a profit, and increasing loss from operations, net loss
and net loss per share (basic and diluted) in periods in which
the Company reported a loss.  The Company presently believes
that additional non-cash, stock-based compensation expenses will
not affect the Company's current cash position or previously
reported revenues.

The Company's management has discussed these matters with Ernst
& Young LLP, the its independent registered public accounting
firm.

Headquartered in Belcamp, Maryland, SafeNet, Inc. (NASDAQ:SFNT)
-- http://www.safenet-inc.com/-- provides complete security
utilizing its encryption technologies to protect communications,
intellectual property and digital identities, and offers a full
spectrum of products including hardware, software, and chips.

The company's Asian headquarters is in Hong Kong.

                          *     *     *

As reported in the Troubled Company Reporter on Aug. 22, 2006,
SafeNet, Inc., received a purported Notice of Default from
Citibank, N.A., Trustee, under the Indenture relating to the
issuance of its US$250 million 2-1/2% Convertible Subordinated
Notes Due 2010, as a result of the failure to file the Form 10-
Q.  This purported notice of default demands that the Company
cure the purported default within 60 days from the receipt of
the notice of default.  The Indenture provides that the trustee
or holders of at least 25% of the aggregate principal amount of
the Notes may accelerate repayment of the Notes if a default
under the Indenture is not cured within 60 days after the
Company receives notice of the default.


SAFENET INC: Incurs Additional Expenses Due to Restatements
-----------------------------------------------------------
SafeNet, Inc. reported that for the quarter ending Sept. 30,
2006, consistent with original financial guidance, it continues
to expect to achieve revenues in the range of US$70 to US$74
million.

As a result of its efforts to complete its review and file its
restated financial statements for the impacted periods in an
expeditious manner, the Company may incur costs totaling
approximately US$12 million during the fiscal year 2006, which
is US$7 million higher than the original expectation.  This
estimated total represents some additional expenses associated
with keeping to an accelerated timetable and reflects the fact
that, while the Company believes at least some of this total
will be reimbursed by insurance, a final determination is yet to
be made.

As a result, the Company at this time is taking a conservative
position and is not assuming that any reimbursement will occur.
Approximately US$6 million of these expenses will be incurred
during the third quarter 2006, which is US$3.5 million higher
than the original expectation.

The Company also disclosed that due to the success of the KIV-7M
link encryptor product, the Company will write-down its legacy
KIV-7 link encryptor inventory and record non-cash charges of
approximately US$2 million.

Headquartered in Belcamp, Maryland, SafeNet, Inc. (NASDAQ:SFNT)
-- http://www.safenet-inc.com/-- provides complete security
utilizing its encryption technologies to protect communications,
intellectual property and digital identities, and offers a full
spectrum of products including hardware, software, and chips.

The Company's Asian headquarters is in Hong Kong.

                          *     *     *

As reported in the Troubled Company Reporter on Aug. 22, 2006,
SafeNet, Inc., received a purported Notice of Default from
Citibank, N.A., Trustee, under the Indenture relating to the
issuance of its US$250 million 2-1/2% Convertible Subordinated
Notes Due 2010, as a result of the failure to file the Form 10-
Q.  This purported notice of default demands that the Company
cure the purported default within 60 days from the receipt of
the notice of default.  The Indenture provides that the trustee
or holders of at least 25% of the aggregate principal amount of
the Notes may accelerate repayment of the Notes if a default
under the Indenture is not cured within 60 days after the
Company receives notice of the default.


SHAN MEI: Wind-Up Petition Hearing Set on November 8
----------------------------------------------------
A wind-up petition against Shan Mei Development Company Ltd will
be heard before the High Court of Hong Kong on November 8, 2006,
at 9:30 a.m.

The Bank of China (Hong Kong) Ltd filed the petition with the
Court on September 8, 2006.

The Solicitors for the Petitioner can be reached at:

         Rowland Chow, Chan & Co.
         15/F, Wing Lung Bank Building
         No. 45 Des Voeux Road Central
         Hong Kong


SINGING MACHINE: Incurs US$1.1-M. Net Loss in 2006 Second Qtr
-------------------------------------------------------------
The Singing Machine Company, Inc., incurred a US$1.1 million net
loss on US$1 million of net revenues for the three months ended
June 30, 2006, compared to a US$1.9 million net loss on US$2.7
million of revenues in 2005.

At June 30, 2006, the Company's balance sheet showed
US$4,039,723 in total assets and US$5,799,917 in total
liabilities, resulting in a US$1,760,194 stockholders' deficit.

The Company's June 30 balance sheet also showed strained
liquidity with US$3.4 million in total current assets available
to pay US$5.7 million in total current liabilities coming due
within the next 12 months.

As of June 30, 2006, the Company had cash on hand of US$168,635,
as compared to cash on hand of US$233,345 and restricted cash of
US$872,645 as of June 30, 2005.

The Company has a factoring agreement with Crestmark Bank,
pursuant to which the Company may borrow 70% of eligible
accounts receivable up to approximately US$2.5 million.  The
agreement stipulates that the Company is only allowed to factor
sales originating from its warehouses in the United States.  The
factoring company determines the eligible receivables based on
their own credit standard, and the accounts' aging.  As of June
30, 2006, the credit availability under this agreement is
US$118,119.

As of June 30, 2006, the Company's unrestricted cash on hand was
US$168,635.  The Company had an average monthly general and
administrative expenses are approximately US$350,000.  The
Company expects that it will require approximately US$1.05
million for working capital during the next three-month period.

A full-text copy of the Company's Quarterly Report is available
for free at http://researcharchives.com/t/s?1213

                        Going Concern Doubt

Berkovits, Lago & Company, LLP, expressed substantial doubt
about The Singing Machine Company, Inc.'s ability to continue as
a going concern after it audited the Company's financial
statements for the fiscal year ended March 31, 2005.   The
auditor points to the Company's inability to obtain outside long
term financing, increasing stockholders' deficit and recurring
losses from operations.

                 About The Singing Machine Company

Based in Coconut Creek, Florida, The Singing Machine Company
(AMEX: SMD) -- http://www.singingmachine.com/-- develops and
distributes a full line of consumer-oriented karaoke machines
and music as well as other products under The Singing
Machine(TM), Motown(TM), MTV(TM), Nickelodeon(TM), Hi-5(TM) and
other brand names.  The first to provide karaoke systems for
home entertainment in the United States, The Singing Machine
sells its products in North America, Europe, Hong Kong and
China.


STAGE AND ART: Members Opt to Close Operations
----------------------------------------------
Members of Art Design Associates Ltd resolved on September 8,
2006, to wind up the company's operations and appointed Wong Wai
Pui Ricky and Ngan Lin Chun Esther as joint and several
liquidators.

The Joint and Several Liquidators can be reached at:

         Wong Wai Pui Ricky
         Ngan Lin Chun Esther
         1902 MassMutual Tower
         38 Gloucester Road
         Wanchai, Hong Kong


TAG-IT PACIFIC: Earns US$654,642 in Second Quarter Ended June 30
----------------------------------------------------------------
Tag-It Pacific, Inc., filed its second quarter financial
statements for the three months ended June 30, 2006, with the
Securities and Exchange Commission.

For the second quarter ended June 30, 2006, the Company reported
net income of US$654,642 on US$14,246,087 of net sales compared
with a US$12,476,638 net loss on US$15,639,646 of net sales for
the same period in 2005.

At June 30, 2006, the Company's balance sheet showed
US$29,930,927 in total assets, US$28,858,231 in total
liabilities, and US$1,072,696 in total stockholders' equity.

Full-text copies of the Company's second quarter financials are
available for free at http://ResearchArchives.com/t/s?120a

                         Going Concern Doubt

As reported in the Troubled Company Reporter on June 7, 2006,
Singer Lewak Greenbaum & Goldstein, LLP, in Los Angeles, Calif.,
raised substantial doubt about Tag-It Pacific, 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 incurred net losses
and accumulated deficiencies.

                       About Tag-It Pacific

Tag-It Pacific, Inc., -- http://www.tagitpacific.com--  
distributes apparel items to fashion manufacturers United
States, Hong Kong, Mexico, the Dominican Republic, and Central
and South America.  Also it offers formed wire metal zippers for
the jeans and sportswear industries.


TYSON FOODS: Moody's Rates US$1 Billion Senior Facility at Ba1
--------------------------------------------------------------
Moody's Investors Service took a number of rating actions in
relation to Tyson:

     -- assigned a Ba1 rating to Tyson Foods, Inc.'s US$1
        billion senior unsecured bank credit facility and to a
        US$345 million senior unsecured bank term loan for
        Tyson's Lakeside Farms Industries Ltd. subsidiary, under
        a full Tyson Foods, Inc. guarantee;

     -- affirmed Tyson's Ba1 corporate family rating, its Not
        Prime short term rating and its SGL-3 speculative grade
        liquidity rating; and,

     -- applied Moody's new Probability of Default and Loss
        Given Default rating methodology to all of the company's
        long term ratings.

The outlook on all long term ratings continues to be negative.

These are the new ratings assigned:

   * Tyson Foods, Inc.

     -- US$1 billion senior unsecured revolving credit facility
        at Ba1 (LGD 3, 44%)

     -- Probability of default rating at Ba1

   * Lakeside Farms Industries Ltd.

     -- US$345 million senior unsecured term loan (originally
        US$353 million) at Ba1 based on full Tyson Foods, Inc.
        and Tyson Fresh Meats, Inc. guarantees (LGD 3, 44%)

Ratings Upgraded:

   * Tyson Foods, Inc.

     -- Senior secured industrial revenue bonds to Baa2 from Ba1
        based on full Tyson Foods, Inc. guarantee (LGD 2, 14%)

     -- Tyson Fresh Meats, Inc.

     -- Senior secured industrial revenue bonds to Baa2 from Ba1
        based on full Tyson Fresh Meats, Inc. guarantee (LGD 2,
        14%)

Ratings Affirmed:

   * Tyson Foods, Inc.

     -- Corporate family rating at Ba1

     -- US$1 billion 6.60% senior unsecured notes due 2016 at
        Ba1 (LGD 3, 44%)

     -- Short term rating at Not Prime

     -- Speculative grade liquidity assessment at SGL-3

   * Tyson Fresh Meats, Inc.

     -- Senior unsecured debt at Ba1 based on the full guarantee
        of Tyson Foods, Inc. (LGD 3, 44%)

Ratings Downgraded

   * Tyson Foods, Inc.

     -- Senior unsecured debt with no guarantees to Ba2 from Ba1
        (LGD 5, 88%)

     -- Senior unsecured shelf registration with no guarantees
        to Ba2 from Ba1 (LGD 5, 88%)

The affirmation of Tyson's Ba1 corporate family rating reflects
the fact that several elements of Tyson's overall business
profile are very strong -- such as its size, scale and
diversification -- and consistent with a mid-investment grade
rating.  However, these elements are more than offset by the
severe volatility of the company's earnings and cash flow and
its weak debt protection measures, which score well below
investment grade.  Moody's also continues to have concerns
regarding some elements of Tyson's corporate governance, and
shade its ratings as a result.  Together these factors bring the
corporate family rating down to the Ba1 level.

Moody's has applied its new Probability-of-Default and Loss-
Given-Default rating methodology to Tyson and its subsidiaries.
Moody's current long-term credit ratings are opinions about
expected credit loss which incorporate both the likelihood of
default and the expected loss in the event of default.  The LGD
rating methodology disaggregates these two key assessments in
long-term ratings.  The LGD rating methodology also enhances the
consistency in Moody's notching practices across industries and
improves the transparency and accuracy of our ratings as our
research has shown that credit losses on bank loans have tended
to be lower than those for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  These ratings express Moody's opinion of the
likelihood that any entity within a corporate family will
default on any of its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock Moody's opinion
of expected loss are expressed as a percent of principal and
accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% - 9%)
to LGD6 (loss anticipated to be 90% - 100%).

The assignment of Ba1 ratings to Tyson's various bank
facilities, as well as the rating actions taken in relation to
its various debt securities, reflects -- with one exception
noted below -- Moody's new methodology for assigning ratings to
individual securities and bank facilities rather than a change
in the characteristics of any debt security or bank facility or
in the company's fundamental credit profile.  Moody's notes,
however, that the higher rating on Tyson's 6.60% senior
unsecured bonds reflects the benefits that these bonds receive
from a recently established upstream guarantee from Tyson Fresh
Meats which some other Tyson Foods, Inc. debt does not have.

Tyson's SGL-3 speculative grade liquidity rating (adequate
liquidity) reflects concerns over the company's financial
flexibility given continuing weakness in global protein markets.
Tyson received covenant relief from its banks in March, April,
and then again in July 2006.

Tyson's ratings could come under downward pressure if earnings
and cash flow remain weak -- conceivably due to a prolonged
continuation of the downturn in the beef processing industry -
or its liquidity becomes constrained.  Tyson's ratings could be
downgraded if it is unable to improve its debt protection
measures such that LTM Debt/EBITDA remains higher than 4 times
at 9/30/07, and LTM EBIT/Interest remains below 2 times at
9/30/07.  Given the recent downgrade, we do not expect an
upgrade in Tyson's ratings in the near term.  Tyson's rating
outlook could stabilize if operating performance and returns on
invested capital improve, and it is able to generate more stable
and consistent earnings and cash flow.  A stabilized rating
outlook would also require Tyson to be able to boost earnings
and/or reduce debt such that LTM Debt/EBITDA falls below 3.5
times, and LTM EBIT/interest rises above 2.5 times.


Springdale, Arkansas-based meat processor Tyson Foods Inc.  --
http://www.tyson.com-- is the world's largest fully integrated
producer, processor, and marketer of poultry-based products,
which account for about 32% of its total sales.  The company is
also the world's largest processor of fresh beef and a leading
pork processor.  Beef and pork operations account for about 57%
of sales and have much lower EBITDA margins than the company's
poultry segment, which produces a much greater amount of value-
added poultry products.

The prepared foods segment accounts for the remaining portion of
sales; this division manufactures and markets frozen and
refrigerated food products.  Tyson's products are sold through
the food service, retail, and wholesale club channels, as well
as internationally.

The company has operations in China, Japan, Singapore, South
Korea, and Taiwan.


VADE DEVELOPMENT: Appoints Heng as Liquidator
---------------------------------------------
On September 8, 2006, members of Vade Development Company Ltd
resolved to voluntarily wind-up the company's operations.

Heng Poi Cher was appointed as official liquidator.

The Liquidator can be reached at:

         Heng Poi Cher
         4404, 44/F, China Resources Building
         26 Harbour Road, Wanchai
         Hong Kong


WHOLE WIDER: Shareholders Wants Voluntary Wind-Up
-------------------------------------------------
Shareholders of Whole Wider Ltd passed a resolution that a
voluntary wind-up of the company's operations is necessary.

Accordingly, Chan Chi Bor and Li Fat Chung were appointed as
joint and several liquidators.

The Joint Liquidators can be reached at:

         Chan Chi Bor
         Li Fat Chung
         Unit 1202, 12/F., Malaysia Building
         No. 50, Gloucester Road
         Wanchai, Hong Kong


ZION CRUADE: Names Chung as Liquidator
--------------------------------------
Kwan Yiu Chung was appointed liquidator of Zion Cruade
Association Ltd on September 17, 2006.

The Liquidator can be reached at:

         Kwan Yiu Chung
         Unit 1305, Tai Tung Building
         8 Fleming Road, Wanchai
         Hong Kong


* China's IPP Gain on Margins But Leverage Soars, says Fitch
------------------------------------------------------------
Fitch Ratings said on September 25, 2006, that the operating
margins for China's independent power producers rebounded in the
first half of 2006 thanks to the implementation of the "fuel-
tariff pass-through mechanism" and higher energy sales.

However, the agency also noted that substantial capital
expenditure in the absence of equity capital injections
continued to lift IPPs' leverage ratios.  Nonetheless, Fitch
added, the overall credit profiles of the Chinese IPPs will
remain relatively stable despite expectations that the trend of
rising leverage will continue through 2006.

"The two tariff adjustments under the "fuel-tariff pass-through
mechanism" has resulted in the operating EBITDAR margins of the
Chinese IPPs rebounding to their H205 levels, reversing the
margin compression seen over the last three years," said Shang
Ma, associate director in Fitch's Asia-Pacific Energy and
Utilities team.

"Coupled with energy-saving measures, higher operational
efficiency and lower contracted coal prices, the trend of
declining unit fuel costs of the IPPs over the past six months
will likely continue into H206," added Mr. Ma. Fuel costs
represent the largest percentage of the IPPs' operating
expenses.

China first implemented a nationwide coal-electricity tariff
linkage mechanism in May 2005 in view of the weak financial
performance of the Chinese IPPs arising from their inability to
adjust tariffs to reflect rising coal prices.  In July 2006, the
on-grid tariffs were further increased by an average of
RMB12/MWh or 3.6% given the persistently high fuel costs.
Together with new generation capacity coming on line and
continuing robust energy demand, this allowed the major Hong
Kong-listed Chinese IPPs to report strong growth in revenue and
healthy improvement in profitability in H106.

However, Fitch says the improvement in profitability will not
lead to material enhancement in the overall credit profiles of
the Chinese IPPs, although higher cash generation will result in
better debt service coverage.

"The Chinese IPPs will likely see negative free cash flow as
capital expenditure on new capacity remains significant enough
to put a strain on operating cash flows," commented Mr. Ma.

The Chinese power sector has seen aggressive construction of new
power generation capacity over the past few years in a bid to
alleviate the current power shortages that have resulted in
blackouts and to meet growing electricity demand generated by
the country's continued strong economic progress.  Unless the
pace of capacity growth moderates, capital expenditure will
remain the largest use of funds for the fast-growing Chinese
IPPs.

"Given the high gearing and massive capacity expansion, the
earnings of the Chinese IPPs may be at risk if interest rates
rise further and plant utilisation rates continue to moderate,"
said Mr. Ma.

The sector's financial performance may be further affected if
emission controls become more stringent amid growing
environmental concerns and rising pollution, resulting in higher
operating and capital expenditure.  Fitch also notes that the
aggressive capacity construction underway may potentially result
in excess supply, which will add further downward pressure on
plant utilization rates.

Against the above concerns, Fitch weighs the strengths of the
Chinese IPP sector, which include sustainable domestic power
demand from robust economic growth, low per capita consumption
and rising affluence; the availability of significant domestic
coal resources for power generation; ongoing progressive
industry reform for a more transparent and market-oriented
structure; government promotion of renewable energy sources to
diversify the energy generation mix and reduce reliance on coal;
and good funding sources from domestic banking sector.

The five major Chinese IPPs listed on the Hong Kong Stock
Exchange are Huaneng Power International, Inc. ("HNP", rated
foreign currency IDR 'BBB+'/Stable Outlook), Datang
International Power Generation Company Ltd ("DTP"), Huadian
Power International Corporation Limited ("HDP"), China Resources
Power Holdings Company Limited ("CRP") and China Power
International Development Limited ("CPI").


* Weak State Firms Given More Time to Comply with Bankruptcy Law
----------------------------------------------------------------

Over 2,000 weak Chinese companies will be given at least 18
extra months to comply with a new bankruptcy law aimed at ending
government caring for loss-making firms, the Agence France Press
reports.

The law, which will come into effect in June next year, will not
apply to 2,116 state-owned enterprises until the end of 2008 due
to concerns about the potential social impact if the companies
go bankrupt, AFP relates.

China's new bankruptcy law, passed in August after more than a
decade of debate, is aimed at closing out poor performers and
protecting creditor and investor rights in the event of
bankruptcy.

Li Shuguang, director of the Bankruptcy Law and Restructuring
Research center at Beijing's China University of Politics and
Law stressed that "social priorities still need to be taken into
account".

According to Mr. Li, for some companies, employee health and
wage claims will still take precedence over creditors' claims,
an arrangement that has so far slowed restructuring in some
sectors.

AFP notes that claims by state employees range from hundreds to
millions of yuan and Mr. Li said resolving those wage claims by
2008 would be difficult.  Nevertheless, he said the government
is unlikely delay the implementation of the law any further.

Bankrupt state companies have until 2008 to deal with employees'
claims.  Mr. Li believes the government may have to use some
funds to pay the debts.

Meanwhile, Finance Asia relates that the exclusion of state
companies will also hinder attempts by state banks to dispose
and resolve their mountain of bad loans.  Moreover, private
equity firms' and foreign multinationals' efforts to buy and
restructure state companies would also suffer a setback.


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

AMERICAN AXLE: Sending Axle Work on Camaro Car in Mexico Plant
--------------------------------------------------------------
American Axle & Manufacturing's workers at its Buffalo plant
were disappointed when the company decided to send work on
General Motor's new Camaro muscle car to Mexico, Business First
of Buffalo reports.

"I'm disappointed and disgusted," Kevin Donovan, the United Auto
Workers union's Region 9 assistant director, told Business
First. "The plant worked hard to make American Axle a success
which gave them the opportunity to build plants in Mexico.  Now
the company is taking work that we worked real hard to bring
here and is putting it into Mexico."

Mr. Donovan told Business First that 130 local jobs probably
would have been involved in producing components for the Camaro,
which is being introduced in the 2008 model year.  The plant has
about 650 hourly workers.  Several hundred more are on layoff,
some since early this year.

Plant officials assured workers that American Axle will
aggressively pursue other new work for the Delavan Avenue
facility, the same report says.

                      About American Axle

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

                          *     *     *

Standard & Poor's Ratings Services assigned its 'BB' rating to
the new $50 million senior unsecured term loan of American Axle
& Manufacturing Inc. (BB/Negative/--).

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


ARTSON ENGINEERING: Profit Rises 16.2% for June 2006 Quarter
------------------------------------------------------------
Artson Engineering Ltd posted a INR4.16-million net profit for
the quarter ended June 30, 2006, a 16.20% improvement against
the INR3.58-million net profit it posted for the quarter ended
June 30, 2005, according to the company's financials.

The company had net sales of INR30.45 million for the quarter in
review, lower than the INR35.94-million turnover for the same
quarter last year.  Total income was pegged at INR32.00 million
for the quarter in review, with other income adding another
INR1.55 million to net sales.

The company's financials submitted to the Bombay Stock Exchange
includes these financial data (in INR millions):

                         For the Quarter Ended
                     June 30, 2006   June 30, 2006
                     -------------   -------------
Net sales                   30.45           35.94
Other income                 1.55             -
Total income                32.00           35.94
Expenditure                 27.13           31.30
Operating Profit             4.86            4.63
Depreciation                  0.7            1.05
Net Profit                   4.16            3.58

                    About Artson Engineering

Headquartered in Mumbai, India, Artson Engineering Limited --
http://www.artson.net/-- is a niche engineering company,
active in specialized area of refineries, ports and airports.

The Company was referred to the Board for Industrial and
Financial Reconstruction as a sick company.  It is currently
awaiting approval of its restructuring program


CENTRAL BANK OF INDIA: Treasury Income Drops By 41%
---------------------------------------------------
Central Bank of India experienced a decline in its income from
its treasury operations, the Business Standard reports.

CBI registered a drastic fall of 41% in its profit from its
treasury operation in the financial year 2005-06 compared to
previous year.  The bank's profit from its treasury operation
came down to INR532 crore in the FY 05-06 from INR900 crore in
FY 04-05.  CBI has existing treasury operation corpus of
INR27,000 crore out of which 10% is invested in government
securities and balance in other avenues.

The Standard report explains that with the weak chance of
improving the treasury income in the future, the bank has
chalked out strategies to raise income from other fast growing
segments.

CBI plans to focus on core banking and para banking segment to
supplement the fall in treasury operations as it expects further
fall in its treasury income due to the hardening of the interest
rates in future.  Specifically, the bank will focus on areas
like retail banking and agriculture.  The Forex segment is also
one of the major thrust areas where the bank intend to earn
through volumes.

CBI Chairperson and Managing Director H A Daruwalla said, "The
yield are hardening from treasury investment due to hardening of
interest rates."  She further said, "We need to develop other
income source as the treasury incomes are coming down
drastically".

                  About Central Bank of India

Established in 1911, Central Bank of India --
http://www.centralbankofindia.co.in/-- was the first Indian
commercial bank, which was wholly owned and managed by Indians.
Central Bank of India has large network in 27 out of 28 States
as also in four out of seven Union Territories in India.  The
bank holds a very prominent place among the Public Sector Banks
on account of its network of 3,165 branches and 270 extension
counters at various centers throughout the length and breadth of
the country.

Moody's Investors Service gave the bank's foreign long-term bank
deposits a Ba2 rating.  Additionally, the bank carries Moody's
E+ bank financial strength rating.

Fitch on June 1, 2005, gave the bank an individual rating of
D/E.


CENTRAL BANK OF INDIA: To Expand Business in Gujarat
----------------------------------------------------
Central Bank of India plans to further consolidate its business
operations in Gujarat, Gujarat Global reports.

The bank currently has 19 million customers in Gujarat,
contributing around INR7,000 crore to the bank's bottomline.

CBI Chairperson and Managing Director H A Daruwalla said that
the second foreign exchange center will be opened in Ahmedabad
soon.  She said that everything was ready for the center while
waiting for the Reserve Bank of India's authorized dealer code.
She added that export import was one of the thrust areas of the
bank; at present there are five foreign exchange centers in the
state.

Ms. Daruwalla said that to boost the growth of the SME -- small
and medium enterprises -- sector by ensuring timely credit
delivery, the bank has designated 39 new branches as specialized
branches during the current year taking the total number to 60.

                  About Central Bank of India

Established in 1911, Central Bank of India --
http://www.centralbankofindia.co.in/-- was the first Indian
commercial bank, which was wholly owned and managed by Indians.
Central Bank of India has large network in 27 out of 28 States
as also in four out of seven Union Territories in India.  The
bank holds a very prominent place among the Public Sector Banks
on account of its network of 3,165 branches and 270 extension
counters at various centers throughout the length and breadth of
the country.

Moody's Investors Service gave the bank's foreign long-term bank
deposits a Ba2 rating.  Additionally, the bank carries Moody's
E+ bank financial strength rating.

Fitch on June 1, 2005, gave the bank an individual rating of
D/E.


CENTURION BANK: RBI Stops Foreign Funds From Getting Shares
-----------------------------------------------------------
The Reserve Bank of India has said that foreign funds cannot
make further purchases of the shares in Centurion Bank of Punjab
Ltd., Reuters reports.

Foreign holding in the bank has reached the maximum limit of 74%
of its paid-up capital, RBI said.

The central bank also said foreign funds can purchase up to 49%
DCM Ltd. and up to 40% in PVR Ltd.

                 About Centurion Bank of Punjab

Headquartered in Goa, India, Centurion Bank of Punjab Limited --
http://www.centurionbop.co.in/-- is a private-sector bank.  The
bank provides a range of transaction banking products under cash
management services to various customer segments, such as
corporates, small and medium enterprises, utility providers and
domestic correspondent banks.  The bank has entered into an
enterprise partnership with Indecomm Global Services to form
Centillion Solutions and Services.  Centillion will focus on
operations and services for banking and related financial
services.  The Retail Asset servicing operations of the Bank are
being transitioned to Centillion.  The bank has entered into an
arrangement with IL&FS Investsmart Limited for offering equity
broking services to its customers.  The wholesale banking
business is divided into Corporate, SME and Financial
Institutions Group.  NRI business has been a focus of the bank.
In Trade Finance business, the bank provides services, such as
export trade, import trade, remittance, domestic trade and
structured trade.

Fitch Ratings, on November 2, 2005, gave Centurion Bank of
Punjab a support rating of 5.


CONTINENTAL AIRLINES: Defends DOT China Route Application
---------------------------------------------------------
Continental Airlines, Inc., says its application to serve the
largest U.S.-China market currently without nonstop service --
New York/Newark-Shanghai -- should be approved by the United
States Department of Transportation because the airline has made
the best case for the route award.

The company further says that its proposed flight from Newark
Liberty International Airport would conveniently link
metropolitan New York City with China's center for finance and
trade.

                     Third Quarter Outlook

Meanwhile, for the third quarter, the company expects the
mainline load factor to be up about 1 point year-over-year on a
mainline capacity increase of 8.4%.  It expects Mainline
Domestic load factor to be up about 1 point year-over-year on 6%
more capacity, with modest year-over-year yield improvements.

The company expects the Mainline Transatlantic load factor to be
down about 2 points year-over-year on a capacity increase of
14.5%, and Mainline Latin load factor to be up 3 to 4 points
year-over-year on a capacity increase of 12.5%, with strong
year-over- year yield improvements.

The company expects Pacific load factor to be up about 3 points
year-over-year with capacity up slightly year-over-year and
strong yield improvements.

For Regional Operations, the company expects the load factor to
be up 1 to 2 points year-over-year on a capacity increase of
12.4%, with modest year-over-year yield improvements.

The company disclosed that it has contributed US$176 million to
the pension plans to date and estimates that its 2006 pension
plan contributions will total approximately US$210 million.

The company estimates its non-cash pension expense will be
approximately US$185 million for the year, which includes year-
to-date settlement charges of US$29 million related to lump-sum
distributions from the pilot's frozen defined benefit plan.
Additional settlement charges are expected for the remainder of
2006.

The company also estimates its 2007 pension plan contributions
will total approximately US$200 million.

The company also disclosed that it expects to record stock
option expense of US$6 million for the third quarter and
US$26 million for the full year 2006.

Cargo, mail and other revenue are estimated to be approximately
US$280 million for the third quarter 2006.

Scheduled debt and capital lease principal payments for the
third quarter 2006 are estimated to be approximately
US$92 million.

Using petroleum swap contracts, the company also disclosed that
it has hedged approximately 33% of its projected fuel
requirements for the third quarter with a weighted average swap
price of US$73.18 per barrel, and 28% of its projected fuel
requirements for the fourth quarter, with a weighted average
swap price of US$75.20 per barrel.  The company is minimally
hedged for the first quarter 2007.

The company expects to record income of approximately US$26
million for the full year 2006 related to the tax sharing
agreement with ExpressJet.

The company further disclosed that it anticipates ending the
third quarter 2006 with an unrestricted cash and short-term
investments balance of between US$2.4 billion and US$2.5 billion
and that due to accumulated losses, it has stopped recording
income tax benefit on current and future book losses and does
not expect to record a tax expense or pay cash taxes this year


Continental Airlines (NYSE: CAL) -- http://continental.com/--  
is the world's fifth largest airline.  Continental, together
with Continental Express and Continental Connection, has more
than 3,200 daily departures throughout the Americas, Europe and
Asia, serving 154 domestic and 138 international destinations.
More than 400 additional points are served via SkyTeam alliance
airlines.  With more than 43,000 employees, Continental has hubs
serving New York, Houston, Cleveland and Guam, and together with
Continental Express, carries approximately 61 million passengers
per year.  Continental consistently earns awards and critical
acclaim for both its operation and its corporate culture.

The company has Asian operations, including in Hong Kong,
Indonesia, Japan, Philippines, Taiwan, and India.

                          *     *     *

Standard & Poor's Ratings Services assigned its 'AAA'
preliminary rating to Continental Airlines Inc.'s (B/Negative/B-
3) US$190 million Class G pass-through certificates, and its
'B+' preliminary rating to the US$130 million Class B pass-
through certificates.

Moody's Investors Service assigned Aaa rating to the Class G
Certificates and B1 rating to the Class B Certificates of
Continental Airlines, Inc.'s 2006-1 Pass Through Trusts Pass
Through Certificates, Series 2006-1.


DUNLOP INDIA: Losses Down to INR2.1 Million in June Quarter
-----------------------------------------------------------
Dunlop India's losses have decreased to INR2.1 million in the
quarter ended June 30, 2006, compared with the INR109.1-million
loss it recorded in the quarter ended June 30, 2005, the company
said in a regulatory filing.

Total income was INR9.9 million in the current quarter while it
earned INR9.8 million in the comparable quarter of fiscal year
2005-06.

The net worth of the company (excluding Revaluation Reserve) was
negative at INR3.12 billion as of June 30, 2006, and negative at
INR4.44 billion as of June 30, 2005.

                       About Dunlop India

Headquartered in Kolkota, India, Dunlop India Limited is
involved principally in manufacturing and distributing
automotive tires and tubes.  The firm's other activities include
manufacturing high-pressure hoses, steelcord belting and
vibration isolators.

In January 1998, the Board of Directors decided that the company
had become sick.  The Board of Directors decided to refer the
company to the Board for Industrial and Financial Reconstruction
and abruptly announced suspension of Dunlop's operations in both
Sahagunj and Ambattur in February 1998.  The Ministry for Law,
Justice and Company Affairs had also come to the conclusion
after inspection of the Books of Accounts of Dunlop India that
there were serious irregularities and had moved the Company Law
Board for appointment of Government Directors.

Dunlop's last complete financial results posted was for the
fiscal year ended March 31, 2003.  The company recorded INR2.504
billion in total assets as of that date, and INR5.604 billion in
total liabilities, resulting in a stockholders' equity deficit
of INR3.10 billion.

Moreover, Dunlop India incurred a net loss of INR306.1 million
for the year ended March 31, 2004, compared with a net loss of
INR392.2 million for the year ended March 31, 2003.

In January 2006, the Ruia Group took over the Company and voted
to reopen its plants.  Both the Sahagunj and Ambattur plants
were reopened in April 2006.


EASYLINK SERVICES: Cures Non-Compliance to Nasdaq Requirement
-------------------------------------------------------------
EasyLink Services Corporation received notice from the Nasdaq
Stock Market, Inc., Listing Qualifications Staff that it had
cured its non-compliance with the minimum bid price requirement
for the NASDAQ Capital Market and that no hearing to review the
matter was required.

The Company disclosed that it is now in full compliance with all
Nasdaq Capital Market listing requirements and in connection
with its reverse stock split reported in the Troubled Company
Reporter on Aug. 29, 2006, the Company's common stock traded
under the symbol "EASYD" and will resume trading under the
symbol "EASY" on Sept. 26, 2006.

                   About EasyLink Services Corp.

Headquartered in Piscataway, New Jersey, Easylink Services
Corporation (NASDAQ: EASY) -- http://www.EasyLink.com/--  
provides outsourced business process automation services to
medium and large enterprises, including 60 of the Fortune 100,
to improve productivity and competitiveness by transforming
manual and paper- based business processes into efficient
electronic business processes.

The company has sales offices in China, Hong Kong, Japan, Korea,
Malaysia, Philippines, Singapore, Thailand and India.

                        Going Concern Doubt

Grant Thornton LLP expressed substantial doubt about Easylink's
ability to continue as a going concern after it audited the
Company's financial statement for the year ended Dec. 31, 2005.
The accounting firm pointed to the Company's history of
operating losses, accumulated deficit and negative working
capital.


EMCO LTD: Forays into Power Generation
--------------------------------------
Emco Ltd. plans to diversify into power generation by setting up
a 135-megawatt thermal station in Maharashtra, Reuters said.

The company also plans to double transformer capacity and set up
a switchgear unit as part of a growth plan that will cost a
total of INR6.45 billion, Narayan Iyer, Emco's general manager
for finance, told Reuters.

"Our foray into the power segment is a logical forward
integration for our existing business, while it will also de-
risk it," Mr. Iyer said.

The company would fund the growth plan partly by raising
US$50 million through a global depositary issue or a share
placement with qualified institutional buyers, Mr. Iyer added.

Emco had set up a special purpose firm, Emco Energy Ltd., to
manage the power project in Chandrapur, he said.  The
INR6-billion project would be funded by equity for 30% and debt
for the balance.

The company had earmarked INR200 million to raise its
transformer capacity to 15,000 megavolt amperes by March 2007
and 20,000 MVA a year later, Mr. Iyer said.

According to Mr. Iyer, the switchgear unit, to be built in
Maharashtra at a cost of INR250 million and expected to start in
2007/08, would yield a revenue of 250-300 million in the first
year.

                        About EMCO Ltd.

Headquartered in Jalgaon, India, Emco Ltd. --
http://www.emcoindia.com/-- offers transmission and
distribution solutions within the power sector in India.
Through its Transformer Division, Emco offers power
transformers, specialized rectifier transformers, furnace
transformers, and locomotive and traction transformers.  Through
its Meters Division, the Company offers metering solutions like
tamper-proof electronic energy meters, automatic meter reading
solutions like drive by, walk by or fixed network, pre-payment
metering solutions and high-end metering like trivector meters.
It also offers energy and revenue management solutions.  Through
its Projects Division, Emco offers turnkey solutions from
concept to commissioning for electrical substation projects.  It
also undertakes entire industrial electrification work from
designing to execution.  Emco offers information technology
solutions for power distribution management.  Through its
International Division, EMCO offers transformers and energy
meters confirming to international specifications.

Credit Analysis and Research Limited downgraded Emco's senior
unsecured debt from A to BB on April 1, 2004.


ESSAR OIL: Can Start Pre-Commissioning on Gujarat Refinery
----------------------------------------------------------
Essar Oil Limited received its first consignment of crude on
Sept. 22, 2006, enabling it to start pre-commissioning
activities in a new refinery at Vadinar, in Gujarat, India.

This is a major milestone in the commissioning of its refinery
project, Business Line says.

Essar Oil originally expected to start preliminary activities on
the commissioning on October, domain-b.com relates.  The Company
plans to complete the project by April 2007.

The Gujarat Refinery reportedly will process 150,000 barrels per
day, increasing production to 210,000 early next year.

More than 11,000 employees are now working at the refinery site,
with major consultants and contractors working round-the-clock
to ensure the timely completion of the project, Business Line
notes.

According to domain-b.com, the Refinery has previously faced
delays.

                       About Essar Oil Ltd.

Headquartered in Jamnagar, India, Essar Oil Limited --
http://www.essar.com-- is engaged in the exploration,
production and marketing of oil and gas.  The company's
principal activities are developing, exploring, producing and
refining oil and gas.  Vadinar Power Company Limited is a wholly
owned subsidiary of the company.

On August 23, 2005, CRISIL Ratings reaffirmed the outstanding
"D" rating on the INR5.65-billion and INR2-billion Non-
Convertible Debenture programmes of Essar Oil Limited.  The
rating indicates that the instruments are in default.


EXTREME NETWORKS: Stock-Option Probe Delays Form 10-K Filing
------------------------------------------------------------
Extreme Networks, Inc., disclosed that it will delay filing its
Form 10-K for the year ended July 2, 2006, with the United
States Securities and Exchange Commission.

Extreme reported that its Board of Directors has appointed a
special committee to review the company's historical practices
for stock option grants and the accounting for option grants.
The special committee has retained outside independent legal
counsel to assist it in its review.

The Company had earlier received and responded to an informal
inquiry letter from the SEC requesting that the Company
voluntarily provide documents related to the same subject
matter.  The Company is continuing to cooperate fully with the
inquiry.

If the committee's review identifies any errors in the
measurement date associated with stock option grants,
adjustments to present and previously reported financial
statements could be required.

                     Extreme Networks, Inc.

Headquarted in Californina, United States, Extreme Networks Inc.
-- http://www.extremenetworks.com/--designs, builds, and
installs Ethernet infrastructure solutions that solve the
toughest business communications challenges.

The company has Asian offices in Hong Kong and Japan, and a
research and development center in India.


GARWARE POLYESTER: Posts INR10-Mil. Profit for 2nd Quarter 2006
---------------------------------------------------------------
Polyester film manufacturer Garware Polyester Ltd. posted a
INR10.1-million net profit for the quarter ended June 30, 2006,
down by more than half compared with the INR23.1-million net
profit posted for the same quarter in 2005.

Net sales for the 2nd quarter of 2006, however, is an
improvement from last year's 2nd quarter figure --
INR1.262 billion and INR1.21 billion, respectively.

According to Garware's disclosure with the Bombay Stock
Exchange, the sharp decline in net profit between the two
reporting periods could be attributed to the swelling of
operating expenses in the 2nd quarter of 2006.

For the quarter ended June 30, 2006, the Company reported
expenditures totaling INR1.059 billion.  Expenditures for the
same period last year aggregated INR982.4 million.

The company's financial results are available at the BSE at:

http://bseindia.com/qresann/result.asp?scripcd=500655&scripname=
Garware+Polyester+Ltd&quarter=JQ2006-2007&type=50

                  About Garware Polyester Ltd.

Headquartered in Aurangabad, India, Garware Polyester Ltd. --
http://www.garwarepoly.com/-- produces polyester film.  Its
products range includes films that cater to the solar control
industry, packaging industry and reprographic industry.  In
addition, the company's bi-axially oriented polyethylene
teraphthalate film range includes sun control films, overhead
projector films and film for packaging, cable insulation,
audiotapes, tracing and drafting.

On June 14, 2006, CRISIL Ratings reaffirmed the outstanding 'D'
rating on the INR164.2-million non-convertible debenture issue
of Garware Polyester.  The rating indicates that the instrument
is in default and in arrears of interest and principal payments.


GENERAL MOTORS: To Enter Tie-Up Talk with Nissan-Renault's Ghosn
----------------------------------------------------------------
General Motors Corp. Chief Executive Officer Richard Wagoner is
set to meet with Nissan Motor Co. and Renault SA head Carlos
Ghosn this week in Paris, France, to discuss a possible three-
way alliance of the companies, Japan Today reveals.

Kyodo News agency says it is unclear whether the meeting would
happen before the opening of the Paris Motor Show, which starts
Thursday with a media preview.

The Troubled Company Reporter reported that in July, General
Motors Corp., Renault SA of France and Nissan Motor Co.
announced a 90-day review of an alliance among them.  The idea
sprung up amidst GM's troubles as it faces market, production
and cost issues.  GM is currently implementing a turnaround plan
that involves plant closings and job cuts.

The automakers are expected to decide by Oct. 15, 2006, whether
to go ahead forming a partnership, The International Herald
Tribune reveals.

Over the weekend, The Daily Yomiuri reported that the companies
are unlikely to form a capital alliance because of reluctance on
the part of GM, whose United States sales have shown recent
signs of a recovery.

GM's employees and labor union have also voiced opposition to
the possible capital linkup with the Nissan-Renault group, the
report said, citing unidentified officials.  Yet GM could still
cooperate with Renault-Nissan in buying auto parts and
materials, the report added.

Meanwhile, Mr. Ghosn told the Automotive News that progress
about creating a three-way alliance was being made, but the
outcome was still open.  He declined to comment on whether GM
was ready to accept the kind of alliance he had in mind.

Mr. Ghosn said that he realized such a deal faced internal
resistance from some people at GM.  He said there is no chance
for an alliance unless it has support from the very top of GM,
the Tribune relates.

"This is going to have to be friendly, associative, cooperative
and performance-driven," Mr. Ghosn said.  "That's all. If they
don't want it, we'll stop."

                      About General Motors

General Motors Corp. -- http://www.gm.com/-- the world's
largest automaker, has been the global industry sales leader for
75 years.  With global headquarters in Detroit, GM manufactures
its cars and trucks in 33 countries.  In India, GM is
headquartered in Panchmahals, Gujarat.

On June 30, 2006, Standard & Poor's Ratings Services held all
its ratings on General Motors Corp. -- including the 'B'
corporate credit rating and the 'B+' bank loan rating, but
excluding the '1' recovery rating -- on CreditWatch with
negative implications, where they were placed March 29, 2006.

On June 22, 2006, Fitch assigned a rating of 'BB' and a Recovery
Rating of 'RR1' to General Motor's new US$4.48 billion senior
secured bank facility.  The 'RR1' (recovery of 90%-100%) is
based on the collateral package and other protections that are
expected to provide full recovery in the event of a bankruptcy
filing.

On June 21, 2006, Moody's Investors Service assigned a B2 rating
to the secured tranches of the amended and extended secured
credit facility of up to US$4.5 billion being proposed by
General Motors Corporation, affirmed the company's B3 corporate
family and SGL-3 speculative grade liquidity ratings, and
lowered its senior unsecured rating to Caa1 from B3.  Moody's
said the rating outlook is negative.


HINDUSTAN COPPER: 2nd Quarter Profit Doubles to INR408 Million
--------------------------------------------------------------
Hindustan Copper Limited records a INR408.3-million net profit,
0.52 EPS, for the second quarter of fiscal year 2006, according
to a company disclosure to the Bombay Stock Exchange.

The 2Q/FY2006 net profit figure is an increase by more than 100%
from the INR179.28-million net profit recorded for the second
quarter last year.

Hindustan Copper's financial statements show net sales for the
quarter ended June 30, 2006, of INR3.310 billion -- more than
double the 2ndQ/FY2006 net income figure of INR1.443 billion.

The Company's operating expenditure also soared in the 2nd
quarter of 2006 to INR2.788 billion from INR1.129 billion in the
same period last year.

The Company incurred interest expenses totaling INR77.46 billion
for the quarter ended June 30, 2006.  For the quarter ended
June 30, 2005, it posted INR98.03 million in interest expenses.

                  About Hindustan Copper Limited

Based in Kolkata, India, Hindustan Copper Limited --
http://www.hindustancopper.com/-- is an undertaking of the
Government of India.  The company is the sole fully integrated
copper manufacturer in India.

On November 18, 2005, CRISIL Ratings upgraded its outstanding
rating on the non-convertible bond programme of Hindustan Copper
Limited to 'C' from 'D'.  Since July 2004, Hindustan Copper has
met its interest obligations on the rated instrument on time.
The upward revision in the rating is in line with CRISIL's
policy of revising ratings, post-default only after monitoring
timely debt servicing for a year.  Hindustan Copper, however,
continues to default on its interest obligations relating to its
unrated debt.


NATIONAL TEXTILE: Gets INR550 Crore To Revive 15 Mills
------------------------------------------------------
India's Textile Minister Shankarsinh Vaghela has announced that
the Government of India has allotted INR550 crore for the
revival of 15 out of 22 National Textiles Corporation mills,
Fibre2Fashion.Com reports.

According to Minister Vaghela, the revival process would take
off in a few months.

The report says that two sick textile mills in Kanpur, presently
belonging to British India Corporation, are to be taken up for
revival after merging them with NTC and will help in the revival
of age old brands "Lal Imli" and "Dhariwal."

Headquartered in New Delhi, India, National Textile Corporation
Ltd -- http://texmin.nic.in/-- is the single largest textile
central public sector enterprise under Ministry of Textiles
managing 52 textile mills through its nine subsidiary companies
spread all over India.  It has around 22000 employees.  The
annual turnover of the company in the year 2004-05 was
approximately INR638 crores.

In 2002, the Board for Industrial and Financial Reconstruction
approved the revival of 53 viable mills and closure of 66
unviable mills.

National Textile is in the process of a major restructuring.  A
new corporate plan is under formulation for repositioning of the
organization by merging all its nine subsidiaries into one
holding company


NTPC LTD: Closes Loan Syndication Deal
--------------------------------------
NTPC Ltd raised a total of US$300 million after Bank of America
Securities Asia Ltd closed its first loan syndication deal for
an Indian corporation, Zee News reports.

Basal was the sole underwriter and book-runner for
US$225 million, while the balance US$75 million was funded by
ADB, a press release stated.

The entire loan amount was raised in off-shore loan markets.

Zee News explains that the loan was oversubscribed by 2.9 times
with 31 participating banks and will help fund NTPC's capital
expenditure of the Sipat and Kahalgaon (Stage II) super thermal
power projects.

Vishwawir Ahuja, Bank of America's India Country Executive
Officer said that, "This is one of the most successful deals
ever conducted in India's syndicated loan market.  Total
commitments of about US$640 million were received, exceeding the
client's expectations.

This transaction represents the first-ever loan to an Indian
Corporate under ADB's CFS as also the first non-guaranteed loan
to a state-owned enterprise.

Under the CFS programme, the ADB partners with other lenders to
deliver the loan and the scheme offers several unique advantages
to both syndicate participants as well as borrowers.

Headquartered in New Delhi, India, NTPC Limited --
http://www.ntpc.co.in/-- formerly known as National Thermal
Power Corporation Limited, is engaged in generation and sale of
bulk power.  It operates in two business segments: Generation
and Other business.  The company is also engaged in providing
consultancy, project management and supervision, oil and gas
exploration and coal mining.  NTPC Limited operates coal
stations and Gas stations.

On February 2, 2005, Standard and Poor's Ratings Service gave
NTPC Ltd's long-term foreign issuer credit a BB+ rating.


SAMTEL COLOUR: Revenues Improve 6.5% YoY for June Quarter
---------------------------------------------------------
Samtel Colour Ltd posted net revenues of INR2.05 billion for the
first quarter of fiscal year 2006-2007 ended June 30 -- 6.5%
higher compared with the revenue recorded for the corresponding
quarter last fiscal year despite a price drop of about 20% --
Samtel Chairman and Managing Director Satish Kaura said in a
letter to shareholders.

PBIDT for the quarter was INR214 million against INR232 million
last year: a large impact on expenses was due to liquidation of
large inventory being carried from the previous year.  As a
result, the company reported a cash profit of INR123 million and
net profit after taxes of INR3 million.  Sales volumes at
1.48 million units were higher compared to both the
corresponding quarter last year and sequentially preceding
quarter.

Market Update

Mr. Kaura reported that the worldwide Color Picture Tubes
industry has seen a distinct shift towards more cost competitive
locations.  This restructuring has resulted in uncompetitive
capacities totaling about 25 million units exiting the industry
in the last 12 months.  The depletion of capacities, leading to
more balance in supply and demand, is creating greater
opportunities globally for high quality cost-competitive players
like Samtel.

In the domestic market too, Samtel has witnessed a noticeable
growth in its market share, from about 38% earlier to about 50%
currently.  Consumer preferences in the domestic market are also
exhibiting a clear shift in favor of higher-end, large and flat
picture tubes, where Samtel is the market leader and in case of
29-inch flat CPTs, the only manufacturer.

The changed business environment has led to a normalized price
trend, due to which Samtel has been able to implement some price
increases for its products.

Expansion Plans Update

Samtel's Line 4, to manufacture 29-inch super flat CPTs, became
commercially operational in early July 2006.  Line 5, for
manufacture of 21-inch super flat CPTs at Kota has completed
trial and sample runs and should move into full commercial
production in late July 2006.  The contribution from the
operations of these Lines should be reflected in performance to
a large extent from Q2 and Q3FY2006-07 respectively.

Outlook

Samtel's performance outlook for the current Financial Year is
strong, with the Company expecting to deliver higher revenues
and earnings on the back of a higher domestic market share along
with additional volumes arising from Lines 4 and 5 from next
quarter onwards and improving price dynamics.  The Company is
witnessing encouraging traction in the international and
domestic markets, and has a full order book now.

The Company is leveraging upon its engineering capabilities and
the in-built flexibility of its production lines to launch
higher value products in an effort to increase the average
selling price of its products.  Samtel has already developed 15-
inch flat CPTs, which will be commercially launched in Q2FY2006-
07.  Its 29-inch Flat CPT is already available in the market and
its 21-inch Slim CPT, is expected to be launched in Q3FY2006-07.

The launch of new, higher value-added products during the year
and correction of its BOM (bill-of-material) to sales ratio
through value engineering, alternate sourcing and design
enhancements is expected to drive margin expansion.

With a turnaround in market conditions, downward adjustment in
input costs, and the contribution from two new lines, the
earnings outlook for FY2007 is expected to be noticeably
improved in this financial year.

                      About Samtel Colour

Headquartered in New Delhi, India, Samtel Colour Ltd --
http://www.samtelgroup.com/samtelnew/home.jsp-- manufactures a
range of display devices like television picture tubes, tubes
for avionics, medical and industrial applications, glass parts
for picture tubes, components for tubes like deflection yokes
and engineering services.  The company's manufacturing facility
has a production capacity of approximately 6.2 million tubes per
annum.  The deflection yoke division of Samtel Color
manufactures DYs for color picture tubes.  The division supplies
its products to the color picture tube division, as well as some
television manufacturers in India.  The division also
manufactures deflection yokes for export to tube and television
manufacturers in South East Asia.  The electron devices division
of Samtel Color is a manufacturer of electron guns for color
picture tubes. The Company also manufactures glass for
television and display tubes.  Through Samtel Electron Devices
GmbH, the company manufactures professional cathode ray tube.

As reported by the Troubled Company Reporter - Asia Pacific on
June 30, 2006, ICRA Limited has downgraded the rating for the
INR250-million Long-Term Non-Convertible Debenture Programme of
Samtel Color Limited to LBB from the LBBB- assigned earlier.
LBB is the inadequate-credit-quality rating assigned by ICRA.
The rated instrument carries high credit risk.  The rating
downgrade follows Samtel's delay in meeting its repayment
obligations against term loans from banks and financial
institutions because of the liquidity pressures brought about by
a sharp decline in the Company's income and profits.


SILICON GRAPHICS: Gets Okay to Hire Deloitte FAS as Accountants
---------------------------------------------------------------
Silicon Graphics, Inc., and its debtor-affiliates obtained
authority from the United States. Bankruptcy Court for the
Southern District of New York to employ Deloitte Financial
Advisory Services LLP to provide accounting services --
specifically fresh-start accounting -- relating to the Debtors'
emergence from Chapter 11, nunc pro tunc to June 29, 2006.

As reported in the Troubled Company Reporter on Aug. 16, 2006,
Deloitte FAS will:

    (a) assist with Disclosure Statement and Financial
        Projections;

    (b) prepare and substantiate fresh-start balance sheet under
        Statement of Position 90-7;

    (c) post fresh-start entries back to Books of Entry;

    (d) provide application support;

    (e) assist and provide valuation work per fresh-start under
        SOP90-7; and

    (f) assist with accounting and financial reporting.

The Debtors will pay Deloitte FAS for its services in accordance
with negotiated hourly rates:

       Partner, Principal, or Director          US$600 to US$750
       Senior Manager                           US$475 to US$580
       Manager                                  US$400 to US$500
       Senior Staff                             US$275 to US$375
       Staff

Kirk Blair, a partner of Deloitte FAS, assured the Court that
his firm is a "disinterested person," as defined in Section
101(14) of the Bankruptcy Code.  Deloitte FAS has no connection
with, and holds no interest adverse to, the Debtors, their
creditors, or any other party-in-interest, Mr. Blair said.

                     About Silicon Graphics

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

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

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

Debtor affiliates filing separate chapter 11 petitions:

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

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

As of July 28, 2006, the company has total assets of
US$352,980,000 and total liabilities of US$662,258,000 resulting
into a stockholders' deficit of US$309,278,000.


SILICON GRAPHICS: Court OKs Ernst & Young Employment as Auditors
----------------------------------------------------------------
The United States Bankruptcy Court for the Southern District of
New York approves the application of Silicon Graphics, Inc., and
its debtor-affiliates to employ Ernst & Young LLP, nunc pro tunc
to July 3, 2006.  The Court rules that the firm's compensation
will not exceed US$70,000 without its further order.

As reported in the Troubled Company Reporter on Aug. 17, 2006,
Ernst & Young is expected to:

   * provide transition services in connection with the Debtors'
     audit; and

   * perform certain post-report review procedures relating to
     the reuse of the firm's prepetition audit report.

Ernst & Young's professionals will be paid based on their
customary hourly rates:

       Partners and Principals               US$690 to US$730
       Senior Manager                        US$590 to US$665
       Manager                               US$495 to US$565
       Senior Staff                          US$300 to US$420
       Staff                                 US$240 to US$260

Rhonda W. Munnerlyn, a partner of Ernst & Young, assured the
Court that her firm is a "disinterested person" as defined in
Section 101(14) of the Bankruptcy Code and as modified by
Section 1107(b) of the Bankruptcy Code.

                      About Silicon Graphics

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

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

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

Debtor affiliates filing separate chapter 11 petitions:

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

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

As of July 28, 2006, the company has total assets of
US$352,980,000 and total liabilities of US$662,258,000 resulting
into a stockholders' deficit of US$309,278,000.


SILICON GRAPHICS: LGE Gets Okay to Withdraw Lift Stay Motion
------------------------------------------------------------
The Hon. Burton R. Lifland of the United States Bankruptcy Court
for the Southern District of New York approves the stipulation
between the Debtors and LG Electronics, Inc., which among other
things, provides that LGE will withdraw its lift stay request,
without prejudice.

As reported in the Troubled Company Reporter on Sept. 12, 2006,
the Debtors and LGE agreed that:

    * LGE withdraws the lift stay request, without prejudice,
      provided that it will not seek again for relief from the
      automatic stay prior to the confirmation of the Plan;

    * Upon Court approval of the stipulation, LGE agrees that it
      will not file any objection on any ground and will not
      oppose the confirmation of the Plan;

    * LGE withdraws with prejudice its protective claims, which
      are deemed expunged and will not be entitled to payment.
      LGE's Claim No. 623 against Silicon Graphics, Inc., the
      Debtors' objection to the Claim, and the Ad Hoc
      Committee's joinder to the objection, will not be impaired
      Provided that:

       -- Claim No. 623 will be treated as a General Unsecured
          Silicon Graphics Claim in Class 6 and discharged under
          the Plan;

       -- the validity of the Claim will be adjudicated and
          determined in the Court unless the Parties agree or
          the Court orders otherwise.

      The Plan and any order confirming the Plan will enjoin LGE
      from taking any action against the Debtors or Reorganized
      Debtors outside of the Court to assert patent infringement
      claims to the extent the claims first arise before the
      Petition Date.  The Reorganized Debtors will not be liable
      to LGE or its subsidiaries for any claims of infringement
      of the LGE Patents which first arise prior to the Petition
      Date;

    * any valid administrative expense claim asserted by LGE
      will be paid as provided by the Plan, or as provided in a
      Court order or by agreement of the parties.  However, the
      Debtors will not be required to pay LGE on account of any
      Administrative Expense Claim in excess of US$1,500,000.
      Any Administrative Expense Claim asserted by LGE against
      Silicon Graphics may be asserted outside of the Court in
      the same action in which LGE may assert any post-effective
      date claims alleging infringement of the LGE Patents.  LGE
      waives any Administrative Expense Claims alleging
      infringement of the LGE Patents against any of the Debtors
      except Silicon Graphics.  The Plan and Confirmation Order
      will not enjoin LGE from commencing litigation against
      Silicon Graphics asserting patent infringement claims
      relating to the LGE Patents, to the extent the claims
      first arise between May 8, 2006, and the Plan Effective
      Date; and

    * the Plan and Confirmation Order will not enjoin LGE from
      commencing litigation against the Reorganized Debtors
      asserting patent infringement claims relating to the LGE
      Patents, but only insofar as the claims first arise after
      the Plan's Effective Date.

                     About Silicon Graphics

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

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

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

Debtor affiliates filing separate chapter 11 petitions:

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

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

As of July 28, 2006, the company has total assets of
US$352,980,000 and total liabilities of US$662,258,000 resulting
into a stockholders' deficit of US$309,278,000.


SILVERLINE TECH: Announces Completion of Restructuring
------------------------------------------------------
Silverline Technologies Ltd has informed the Bombay Stock
Exchange in a regulatory filing that its board of directors, at
a meeting on Sept. 19, 2006, has reviewed the completion of the
restructuring process which has been successfully completed and
the board thanked Firstcall Equity India Pvt Ltd., India, for
having stood with the company during the testing times and for
having structured the One Time Settlement for and on behalf of
the Company with the institutions.  And took the same on record.

                     About Silverline Tech

Mumbai-based Silverline Technologies Limited --
http://www.silverline.com/-- provides a comprehensive set of
eBusiness consulting and IT services including strategic
consulting, creative design, technology integration and
implementation, as well as management and maintenance of
Internet and Legacy applications.  The company focuses its
market on telecommunication and financial services, as well as
banking and other related industries that use IBM mainframes,
client servers, ORACLE, SYBASE, intranet and web technologies.
Operations of the Group are carried out in India.

The company's problems began in 2001 when it suffered a decline
in profitability and increase in collection period resulting
from cash flow mismatches.  Subsequently, the Company closed
redundant facilities and trimmed payrolls as a result of the
slowing economy.  Aimed at leveraging its underutilized assets,
Silverline Technologies took up a restructuring exercise that
involves a proposal to hive off one or more of its undertakings
located in India.  The Company planned to sell, transfer, lease
or otherwise dispose of its Indian undertakings.  It also
proposed to raise additional resources either through debt or
equity and increase its authorized capital.


SILVERLINE TECH: Ties Up With Mainstream Partners
-------------------------------------------------
Silverline Technologies Ltd has announced in a regulatory filing
with the Bombay Stock Exchange that as part of its Small and
Medium Enterprises market penetration strategy across North
America, it has completed a strategic tie-up with Mainstream
Partners Inc, a management consulting, business services and
funding company headquartered in Ontario, Canada.

The company team boosts of former executives and senior
management personnel from North American Companies.

As per the terms of the initiative, Silverline Tech will be the
global Shared Services Provider working strategically with
Mainstream Partners.

The complete details on the initiative will be announced within
the next couple of weeks.

Silverline Technologies will leverage its facilities in Mumbai
to deliver on these initiatives.

Silverline Chairman Ravi Subramanian said, "This strategic tie-
up is the first announcement on the Company's growth strategy.
This is yet another milestone towards attaining sustained growth
and increased shareholder value.  The relationship will enable
aggressive growth in the SME marketplace.  Silverline is in the
final stages of planning similar strategic tie-ups for Fortune
500 clients.  Silverline will announce its strategies in the
near future."

                     About Silverline Tech

Mumbai-based Silverline Technologies Limited --
http://www.silverline.com/-- provides a comprehensive set of
eBusiness consulting and IT services including strategic
consulting, creative design, technology integration and
implementation, as well as management and maintenance of
Internet and Legacy applications.  The company focuses its
market on telecommunication and financial services, as well as
banking and other related industries that use IBM mainframes,
client servers, ORACLE, SYBASE, intranet and web technologies.
Operations of the Group are carried out in India.

The company's problems began in 2001 when it suffered a decline
in profitability and increase in collection period resulting
from cash flow mismatches.  Subsequently, the Company closed
redundant facilities and trimmed payrolls as a result of the
slowing economy.  Aimed at leveraging its underutilized assets,
Silverline Technologies took up a restructuring exercise that
involves a proposal to hive off one or more of its undertakings
located in India.  The Company planned to sell, transfer, lease
or otherwise dispose of its Indian undertakings.  It also
proposed to raise additional resources either through debt or
equity and increase its authorized capital.


SILVERLINE TECH: Holds EGM to Decide Millennium Care Acquisition
----------------------------------------------------------------
Silverline Technologies Ltd has informed the Bombay Stock
Exchange in a regulatory filing that its board of directors at a
meeting on Sept. 21, 2006, has reviewed the acquisition
proposition of Millennium Care Inc.

Millennium Care, based in the Toronto Canada, has a very
successful Technology Help Desk Practice as its Main Business
Focus.  The company has developed and markets a proprietary
product based on ITIL (Information Technology Infrastructure
Library), a highly accepted international standard for
Information Technology Service Management.  Majority of
Millennium Care's clients (which are Fortune 500 companies)
utilize the ITIL tools and services for their Information
Technology support needs.

Millennium Care Inc for the financial year 2005-06 (ending
September - 2006) achieved a turnover of CND6.7 million and for
the year 2006-07 ending September 2007, the company is expected
to post a turnover of about CND10 million.

As a part of acquisition process, the board of directors
reviewed the proposition from Millennium Care Inc., agreeing to
be a wholly owned subsidiary with all management controls given
to Silverline Tech, on the basis of getting its present holding
swapped to the extend of 50,000,000 under lying new Equity
Shares equivalent either by way of American Depository Receipts
or American Depository Shares, or Global Depository Receipt or
Global Depository Shares as per the "SEBI" Guidelines prevalent.
The said ADR or ADS or GDR or GDS will be listed on Luxemburg or
any other recognized stock exchange besides the present listing
on Bombay Stock Exchange Ltd.

Considering the above, and the business plan which Silverline
has envisaged with the said company, the board of directors
after detailed deliberations and discussions think it fit to
call for an "Extra Ordinary General Meeting" of the Shareholders
for their approval and pass the said resolution under sec 81 and
all other provisions of the Companies Act 1956.

The board wishes to hold the Extra Ordinary General meeting on
October 12, 2006.

                     About Silverline Tech

Mumbai-based Silverline Technologies Limited --
http://www.silverline.com/-- provides a comprehensive set of
eBusiness consulting and IT services including strategic
consulting, creative design, technology integration and
implementation, as well as management and maintenance of
Internet and Legacy applications.  The company focuses its
market on telecommunication and financial services, as well as
banking and other related industries that use IBM mainframes,
client servers, ORACLE, SYBASE, intranet and web technologies.
Operations of the Group are carried out in India.

The company's problems began in 2001 when it suffered a decline
in profitability and increase in collection period resulting
from cash flow mismatches.  Subsequently, the Company closed
redundant facilities and trimmed payrolls as a result of the
slowing economy.  Aimed at leveraging its underutilized assets,
Silverline Technologies took up a restructuring exercise that
involves a proposal to hive off one or more of its undertakings
located in India.  The Company planned to sell, transfer, lease
or otherwise dispose of its Indian undertakings.  It also
proposed to raise additional resources either through debt or
equity and increase its authorized capital.


SOUTHERN IRON: Shareholders Agree on Delisting from CSX
-------------------------------------------------------
Southern Iron & Steel Company Ltd's shareholders passed a
resolution to de-list from the Coimbatore Stock Exchange Ltd,
the Company's equity shares, preference shares and all other
securities.

The decision was reached at a shareholders' meeting held on
July 21, 2006.

                   About Southern Iron & Steel

Headquartered in Salem, India, Southern Iron & Steel Company
Limited is engaged in the business of manufacturing pig iron,
billets, bars and rods.  The Company produces these products at
its integrated steel plant located in the district of Salem,
Tamil Nadu.  The plant has a capacity of 0.3 metric tons per
annum.  Southern Iron and Steel Company Ltd. also has plants for
the generation of power and production of oxygen.

On July 20, 2006, CRISIL Ratings reaffirmed the outstanding 'D'
rating on the INR280 million Non-Convertible portion of the
Optionally Convertible Debenture Issue of Southern Iron & Steel
Company Limited indicating that the instrument continues in
default.  The original instrument has been restructured and is
due for redemption in two installments on May 17, 2007, and
May 17, 2008.


SUVARNA SAHAKARI: Placed Under Administration
---------------------------------------------
The Cooperative Commissioner of Maharashtra has dismissed the
board of Shree Suvarna Sahakari Bank and appointed an
administrator to look after the bank's day-to-day functioning,
Express India reports.

Express India stated that "The administrator has been appointed
under Section 110 A(3) of the Cooperative Act," according to
Anil Diggikar, Cooperative Commissioner, Maharashtra.

According to the Financial Express, the cooperatives
commissioner had put Shree Suvarna Bank under the microscope for
the last four months as it was headed towards insolvency.  The
Reserve Bank of India had earlier placed the bank under a
moratorium.

According to the reports, withdrawals of only INR1,000 is
allowed.  The bank experienced a series of panic withdrawals
after the RBI placed the United Western Bank under moratorium
earlier this mount.

Moreover, a subsequent announcement of a proposed merger between
Suvarna and Cosmos Cooperative Bank led to further panic
withdrawals.

Headquartered in Pune, India, Shree Suvarna Sahakari Bank is a
cooperative bank.


VISTEON CORP: Opens US$10 Million Technical Center in India
-----------------------------------------------------------
Global automotive supplier Visteon Corporation (NYSE: VC) opened
a US$10-million Visteon Technical and Services Center in
Chennai, India.  The 110,000 square-foot facility is set to
become Visteon's center of excellence for automotive embedded
software, providing support to Visteon globally, including joint
ventures and aftermarket business.  The Indian arm of Visteon
software development accounts for more than 50% of the global
software development within Visteon.

The new center will build on the strong capability of the India
software team to develop and validate electronic modules for
audio products (radios, satellite digital radios, media
players), instrument clusters, body control modules, adaptive
lighting products, electronic climate controls, powertrain
electronics and engine control modules, center displays and
other products.

The center will also provide business process outsourcing
support in the areas of supplier management, finance operations
and environmental engineering.  Visteon Technical and Services
Center will be fully supported by two other existing Visteon
entities: Visteon Powertrain Control Systems India Private Ltd.,
and Visteon Automotive Systems India Private Ltd.

"The new technical and service center demonstrates our
continuous commitment to India," said Bob Pallash, senior vice
president of Visteon Corporation and president of Asia Pacific
Customer Group. "This development center will play a crucial
role in further driving our success worldwide.  With the Indian
automotive sector poised for unprecedented growth, our Indian
operations are a critical asset in further developing Visteon's
competitive edge."

Located at Olympia Tech Park, an information technology park in
the business district of Chennai, Visteon Technical and Services
Center occupies four floors of the "Fortius" building.  The new
facility is expected to accommodate more than 700 software
professionals and 250 business process professionals.  The
Chennai software operation has been growing steadily since its
inception in 1998 and currently has 450 full time employees,
including 400 software engineers and 50 business process
employees.

"This new center is another symbol of our expansion in the
country and emphasizes Visteon's strengths and world-class
capabilities to deliver services globally and meet the unique
requirements of customers in India," said A. Viswanathan,
managing director, Visteon India.  "The employees deliver
remarkable quality, innovation and performance standards.  With
its world-renowned IT skills and excellent automotive knowledge,
India is fast emerging as an excellent base for prototyping,
testing, validating and producing auto-components for the global
market."

With approximately 2,200 employees, Visteon has a significant
presence in India in electronics, climate (car air conditioning
and engine cooling systems), interior (instrument panel and door
trims), rotating electronics and lighting systems.

                    About Visteon Corporation

Headquartered in Van Buren Township, Michigan, Visteon
Corporation -- http://www.visteon.com/-- is a global automotive
supplier that designs, engineers and manufactures innovative
climate, interior, electronic and lighting products for vehicle
manufacturers, and also provides a range of products and
services to aftermarket customers.  With corporate offices in
Michigan (U.S.); Shanghai, China; and Kerpen, Germany; the
company has more than 170 facilities in 24 countries and employs
approximately 50,000 people.

Visteon facilities in India include:

   *  Climate Systems India Limited,
   *  Visteon Automotive Systems India Private Ltd.
   *  Visteon Automotive Systems India Private Ltd.
   *  Visteon Powertrain Control Systems India Private Ltd.
   *  TATA Visteon Automotive Private Ltd.
   *  TACO Visteon Engineering Private Ltd.

                          *     *     *

As reported in the Troubled Company Reporter on Sept 13, 2006,
Standard & Poor's Ratings Services affirmed its 'B+' corporate
credit rating on Van Buren Township, Michigan-based Visteon
Corp., and removed the rating from CreditWatch with negative
implications where it was placed on Aug. 21, 2006.

Visteon, a global manufacturer of automotive components, has
total debt of about $2.3 billion.  The rating outlook is
negative.


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

DELTA MUTUAL: June 30 Balance Sheet Upside-Down by US$1.3-M
-----------------------------------------------------------
Delta Mutual, Inc.'s balance sheet at June 30, 2006, showed
US$1,329,134 in total assets, US$2,040,031 in total liabilities
and minority interest in consolidated subsidiaries of
US$422,886, resulting in a US$1,133,783 stockholders'
deficiency.

The Company reported a US$642,082 net loss on US$99,982 of
revenues for the quarter ended June 30, 2006, compared to a
US$751,881 net loss on zero revenues for the same period in the
prior year.

The net loss increased from approximately US$1,287,000 for the
six months ended June 30, 2005 to approximately US$1,445,000 for
the six months ended June 30, 2006.

During the six months ended June 30, 2006, Delta Mutual had
revenue of US$260,704 but incurred a net loss of US$1,444,783
because our revenue was not sufficient to offset operating
expenses.  The loss in the first six months was primarily
attributable to general and administrative expenses of
approximately US$1,364,000, including consulting and
professional fees of approximately US$411,000, non-cash
compensation of US$168,400 and compensatory element of stock
options of US$447,000.  In addition, the Company had accretion
of convertible debt of approximately US$147,000, and an increase
in cost of sales of about US$79,000.

At June 30, 2006, the Company had a working capital deficit of
US$1,315,218 compared with US$1,099,555 at June 30, 2005.  The
increase in working capital deficit is a result of the net loss
incurred during the six months ended June 30, 2006, and
increases in accounts payable, accrued expenses, accretion of
convertible debt and increases in notes payable; partially
offset by increases in accounts receivable and prepaid expenses.

A full-text copy of the Company's quarterly report is available
for free at http://researcharchives.com/t/s?11c1

                        About Delta Mutual

Headquartered in Sellersville, Pennsylvania, Delta Mutual, Inc.
-- http://www.deltamutual.com/-- specializes in energy recovery
and construction services through environmentally friendly
technologies that recover energy sources from soil, water and
other waste streams.  Delta Mutual and its subsidiaries provide
environmental and construction technologies and services to
certain geographic reporting segments in Indonesia, the Middle
East, the United States and Puerto Rico.

                       Going Concern Doubt

Wiener, Goodman & Company, PC, expressed substantial doubt about
Delta Mutual's ability to continue as a going concern after
auditing the company's financial statements for the year ended
Dec. 31, 2005.  The auditing firm pointed to the Company's
deficiency in net assets at Dec. 31, 2005, losses from
operations since inception and needs to obtain additional
financing.


HESS CORPORATION: Moody's Assigns Loss-Given-Default Ratings
------------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. and Canadian Exploration and Production
sector this week, the rating agency confirmed its Ba1 Corporate
Family Rating for Hess Corporation.  Additionally, Moody's
revised its probability-of-default ratings and assigned loss-
given-default ratings to these securities:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   7.375% Sr. Unsec.
   Notes due 2009         Ba1      Ba1     LGD4       55%

   7.875% Sr. Unsec.
   Bonds due 2029         Ba1      Ba1     LGD4       55%

   7.3% Sr. Unsec.
   Notes due 2031         Ba1      Ba1     LGD4       55%

   6.65% Sr. Unsec.
   Notes due 2011         Ba1      Ba1     LGD4       55%

   7.125% Sr. Unsec.
   Bonds due 2033         Ba1      Ba1     LGD4       55%

   5.75% Pollution
   Control Revenue
   Bonds, Ser 2002
   due 2032               Ba1      Ba1     LGD 4       55%

   6.05% Pollution
   Control Revenue
   Bonds, Ser 2004
   due 2034               Ba1      Ba1     LGD4       55%

   Multiple Seniority
   Shelf (Senior
   Unsecured             (P)Ba1  (P)Ba1    LGD4       55%

   Multiple Seniority
   Shelf (Subordinate)   (P)Ba2  (P)Ba2    LGD6       97%

   Multiple Seniority
   Shelf (Cumulative
   Preferred)            (P)Ba3  (P)Ba2    LGD6       97%

   Multiple Seniority
   Shelf (Non-Cumulative
   Preferred)            (P)Ba3  (P)Ba2    LGD6       97%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in Moody's
notching practices across industries and will improve the
transparency and accuracy of Moody's ratings as Moody's research
has shown that credit losses on bank loans have tended to be
lower than those for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in New York, Hess Corporation (NYSE:HES) --
http://www.hess.com/-- is a global integrated energy company
engaged in the exploration for and the development, production,
purchase, transportation and sale of crude oil and natural gas.
The corporation also manufactures, purchases, trades and markets
refined petroleum and other energy products.

The company has operations in the United States, United Kingdom,
Norway, Denmark, Equatorial Guinea, Gabon, Azerbaijan, Thailand
and Indonesia.


METSO CORP: Inks EUR100 Million Supply Pact with Guangzhou Paper
----------------------------------------------------------------
Metso Paper, a subsidiary of Metso Corp., will supply Guangzhou
Paper in Guangdong province, China, with a close to 400,000 tpy
printing paper production line.  Start-up is scheduled for end
of 2007.  The total value of the order is well over EUR100
million.

The single-supplier delivery will include a complete 10.2-m-wide
(wire), 2,000 m/min (design) OptiConcept paper machine, a parent
reel cart, two winders and a roll wrapping machine, together
with related stock preparation equipment, wet end chemical
preparation and air systems.

Metso Automation will supply an extensive automation package,
including machine, process and quality controls, systems for
runnability and condition monitoring, and a system for web
runnability monitoring.

Guangzhou Paper is one of China's oldest and most respected
newsprint makers.  It is also the site of Metso Paper's first
paper machine delivery to the People's Republic of China, 50
years ago.  Currently the company operates five newsprint
machines with a combined capacity of 470,000 tpy.  The Metso-
supplied OptiConcept PM 1 was successfully started up in May
2006.  Recently Guangzhou Paper placed an order with Metso Paper
for an extensive rebuild of the mill's PM 8.

                           About Metso

Headquartered in Helsinki, Finland, Metso Corporation --
http://www.metso.com/-- is a global engineering and technology
corporation with 2005 net sales of approximately EUR4.2 billion.
Its 22,000 employees in more than 50 countries, including China,
India, Japan, Korea, Indonesia, serve customers in the pulp and
paper industry, rock and minerals processing, the energy
industry and selected other industries.

                          *     *     *

The Company's 5-1/8% Senior Notes due 2009 carry Moody's
Investors Service's Ba1 rating and Standard & Poor's BB rating.

Standard & Poor's Services revised its outlook on Finland-based
machinery and engineering group Metso Corp. to positive from
stable, reflecting improvements in the group's operating
performance and capital structure that offer it the potential to
return to a low investment-grade rating.  The 'BB+' long-term
and 'B' short-term corporate credit, as well as the 'BB' senior
unsecured debt rating on the group were affirmed.


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

ALIXPARTNERS: Moody's Rates Proposed US$435-M Senior Loan at B1
---------------------------------------------------------------
Moody's Investors Service assigns a B1 first time rating to
AlixPartners LLP proposed US$435 million senior secured credit
facility -- US$385 million term loan and US$50 million revolver
-- and a B1 corporate family rating.  The ratings for the
secured credit facility reflect both the overall probability of
default of the company, to which Moody's assigns a PDR of B2,
and a loss given default of LGD 3 for the credit facility.  The
rating outlook is stable.

On Aug. 3, 2006, AlixPartners entered into an agreement whereby
Hellman & Friedman LLC and AlixPartners' managing directors and
employees will acquire a majority equity stake in the company in
a leveraged recapitalization.  Pursuant to the recapitalization,
AlixPartners Holdings, Inc., an entity controlled by the
company's founder, agreed to sell 80.1% of the AlixPartners'
partnership units.  The transaction values AlixPartners at
US$872 million, before fees and expenses.  The transaction is
expected to close mid October.

The transaction is expected to be funded with a US$385 million
term loan, US$296 million of cash equity contributed by the
sponsor and US$218 of rollover equity from the founder and
management.

The ratings reflect strong business diversity which helps to
mitigate exposure to cyclicality, a relatively small revenue
base compared to the company's rated peer group, significant pro
forma adjustments to historical financial statements and
concerns about employee retention.  The ratings are supported by
a track record of strong organic growth, stable segment revenues
across economic cycles, a high proportion of variable expenses,
as well as solid pro forma credit metrics.

The B1 rating on the senior secured credit facility reflects an
LGD 3 loss given default assessment as this facility is secured
by a pledge of substantially all of assets of AlixPartners and
its domestic subsidiaries and there is an immaterial amount of
junior non-debt obligations.  In the case of pledges of foreign
stock, the collateral package is limited to 65% of the voting
stock and 100% of the non-voting stock of certain of its first
tier foreign subsidiaries.  The senior secured credit facility
is guaranteed by substantially all the domestic subsidiaries of
the company.

Ratings/assessments assigned:

   * Corporate Family Rating B1;
   * Probability-of-default rating B2;
   * US$385 million senior secured 7-year term loan at B1;
   * US$50 million senior secured 6-year revolver at B1.

The stable outlook anticipates moderate revenue and EBITA growth
over the next 12 to 18 months.  Free cash flow from operations
is expected to be used to pay down debt.

Strong revenue growth accompanied by steady EBITA margins could
lead to a change in outlook to positive.  The ratings could be
upgraded if debt to EBITDA and EBITA to interest are expected to
be sustained at under 3.5 times and over 3 times, respectively.

A loss of key personnel or a downturn in revenues and/or
utilization rates in major lines of business could lead to a
negative outlook.  The ratings could be downgraded if debt to
EBITDA and EBITA to interest are expected to be sustained at
over 5 times and under 1.6 times, respectively.  A significant
debt financed acquisition could also pressure the ratings.

                     About AlixPartners LLP

AlixPartners LLP -- http://www.alixpartners.com/-- is an
international business consulting and advisory firm, offering
the following five areas of consulting services financial
advisory; performance improvement; turnaround and restructuring;
case management; and information technology.

AlixPartners has approximately 530 employees operating in 12
offices across the United States, Europe and Asia, including in
Japan.  Revenues for the 12-month period ending July 31, 2006,
was US$369.9 million.

The Troubled Company Reporter - Asia Pacific reported that
Moody's Investors Service assigned a B1 first time rating to
AlixPartners LLP proposed US$435 million senior secured credit
facility (US$385 million term loan and US$50 million revolver)
and a B1 corporate family rating.  The ratings for the secured
credit facility reflect both the overall probability of default
of the company, to which Moody's assigns a PDR of B2, and a loss
given default of LGD 3 for the credit facility.  The rating
outlook is stable.


EBARA CORPORATION: Expands Cooperation with Capsulution
-------------------------------------------------------
Japan's Ebara Corp. and Capsulution NanoScience AG of Berlin,
Germany recently finalized the expansion of their co-operation
that began in 2005.  As such, the two companies are now also
collaborating to develop new products for the improved and goal-
oriented delivery of pharmaceutical substances.

In order to achieve this goal, the two companies have selected
concrete active agents whose delivery properties are to be
improved using Capsulution's nanocapsules or complexes.  At the
foreground of development is the time-controlled release of the
active agents.  The developments are of great benefit to
customers as they simplify the delivery of medications, reduce
side effects and thus increase therapeutic success.

In particular, products are to be adapted especially to the
needs of the Japanese pharmaceutical market.  Presently the new
active agent formulas are to undergo testing to determine their
effects on living organisms in the context of pre-clinical
experiments in Japan.  The costs for further development are
divided equally between the two companies.

"With the expansion of our co-operation we will achieve a new
quality in our collaborative work with Ebara.  Both partners are
convinced that visible results can be achieved in as little as
12 months on the basis of our shared know-how and the increased
mutual trust," says Alexander Herrmann, chief financial officer.

The decision to expand co-operation represents an important step
for both partners in the successful marketing of Capsulution's
LBL Technology and the manufacturing equipment developed
especially for Ebara (LBL-Units).  The first prototype of the
LBL-Unit already began operation late last year.

                 About Capsulution NanoScience AG

Based in Berlin, Germany, Capsulution NanoScience AG is a
leading nanotechnology company focusing on the development of
tailor-made drug delivery systems and other innovative life
science products based on tunable nano-sized capsules.  The
company implements its worldwide-patented LBL Technology.  Based
on their minute size, their functionality and their highly
reproducible production process, the tunable capsules can be
used in a multitude of different applications.  In order to meet
customers' needs for complete product solutions, Capsulution
designated EBARA Corp. as the preferred developer, manufacturer
and distributor for automated LBL units.

                       About Ebara Corp.

Ebara Corp. -- http://www.ebara.co.jp/-- is Japan's largest
manufacturer of pumps, a major fluid machinery producer and an
integrated environmental engineering service company.  It also
has technologies for semiconductor polishing, cleaning and
plating.   Headquartered in Tokyo, the Company has 107
subsidiaries and 17 associated companies.

Fitch Ratings Agency, on June 21, 2006, assigned stable BB+
foreign and local currency Issuer Default Ratings and a BB+
senior unsecured local currency debt rating to Ebara Corp.


FTI CONSULTING: S&P Rates Proposed US$215-M Senior Notes at B+
--------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B+' rating to
FTI Consulting Inc.'s proposed US$215 million senior notes due
2016.

At the same time, Standard & Poor's affirmed the corporate
credit rating on FTI at 'BB-' and revised the outlook to
positive from stable, based on strong earnings performance and
talent retention.

Proceeds from the proposed senior note offering will be used to
finance the acquisition of FD International (Holdings) Ltd.

Pro forma for the transaction, total debt outstanding, including
earn-out, was US$669.4 million as of June 30, 2006.

Baltimore, Maryland-based FTI is a consulting firm focusing on
five areas:

   * forensics and litigation,
   * corporate finance/restructuring,
   * technology,
   * economic consulting, and
   * (with the acquisition of FD) strategic communications.

"The senior unsecured notes are rated one notch below the
corporate credit rating because of the secured position of the
company's revolving credit facility and the substantial amount
of senior unsecured debt," said Standard & Poor's credit analyst
Andy Liu, "but only one notch below, because we expect the
company to have a minimal or no outstanding balance on the
revolving credit facility over the medium term."

If borrowing under the revolving credit facility becomes
substantial, Standard & Poor's may review the separation between
the secured debt and the senior unsecured debt, and it could
rate the senior unsecured debt two notches below the corporate
credit rating.

The revision of outlook to positive is based on FTI's positive
operating momentum and its success in re-signing significant
numbers of senior managing directors.  Importantly, FTI was able
to re-sign 28 senior managing directors, whose contracts were up
for renewal.  This helped to lessen Standard & Poor's concerns
regarding the retention of key principals.

The ratings reflect:

   * FTI's dependence on highly mobile and sought-after senior
     staff;

   * its acquisition-centric growth strategy; and

   * its position in a competitive marketplace.

These factors are only partially offset by the company's
improving business diversity and good discretionary cash flow.

Baltimore, Maryland-based FTI Consulting Inc. --
http://www.fticonsulting.com/-- is a consulting firm focusing
on five areas: forensics and litigation, corporate
finance/restructuring, technology, economic consulting, and
strategic communications.  FTI Consulting has offices in the
United Kingdom, Australia, China, Hong Kong, Singapore and
Japan.


FTI CONSULTING: Moody's Rates US$215 Mil. Sr. Notes at Ba2
----------------------------------------------------------
Moody's Investors Service assigned a Ba2 rating to FTI
Consulting, Inc.'s proposed US$215 million of senior unsecured
notes and lowered the ratings on its US$150 million senior
subordinated convertible notes to B1 from Ba3.  Moody's affirmed
the Ba2 corporate family rating and the Ba2 rating on FTI's
existing senior unsecured notes.  The rating outlook remains
stable.

The rating actions followed FTI's recent announcement that it
entered into an agreement to acquire Financial Dynamics
International from Advent International and its management for
US$259 million, excluding fees and expenses and an earn out
obligation.  FD is a leading business and financial
communications consulting firm based in London, employing over
450 people in 17 offices situated in major business and capital
market locations in Europe, the U.S., Asia, the Middle East and
South Africa.

The transaction is expected to be funded with the new
US$215 million of senior unsecured notes, US$22 million of FTI
common equity, US$15 million of seller notes and revolver
borrowings.  The acquisition is expected to close in the fourth
quarter of 2006.

The ratings reflect increased size and diversification
attributable to the FD acquisition, progress in renewing and
staggering the expiration dates of long term contracts with key
senior managing directors, good growth prospects and high
operating margins.  The ratings are constrained by credit
metrics that are weak for the rating category pro forma for the
acquisition, integration and employee retention risks related to
recent acquisitions, continued dependence on senior management
of its business units and weak performance of the corporate
finance/restructuring unit year-to-date in 2006.

The lowering of the rating on the senior subordinated
convertible notes to B1 from Ba3 reflects the additional
US$215 million of more senior ranking debt to the capital
structure.

Moody's took these rating actions:

   * Assigned US$215 million senior unsecured notes due 2016,
     rated Ba2

   * Affirmed US$200 million senior unsecured notes due 2013,
     rated Ba2

   * Downgraded US$150 million senior subordinated convertible
     notes due 2012, to B1 from Ba3

   * Affirmed corporate family rating, rated Ba2

   * Affirmed speculative grade liquidity rating, SGL-1

The stable outlook anticipates a successful integration of the
FD business and continued moderate organic revenue and
profitability growth.  Moody's expects continued strength in the
technology business and an improvement in margins in the
corporate finance/restructuring segment.

The ratings outlook could be changed to negative if anticipated
improvements in credit metrics are not expected to be achieved
in 2007.  The ratings could be downgraded if revenue growth
stagnates or operating margins fail to improve from levels
achieved in the first half of 2006 such that debt to EBITDA
remains above 3.5 times and free cash flow to debt remains below
7%. Profitability could be pressured by difficulties integrating
FD, loss of key management personnel or a weaker business
climate for the company's services.  Another large debt financed
acquisition could also pressure the rating.

Given FTI's weak pro forma credit metrics, the ratings are
unlikely to upgraded in the near term.  The outlook could be
changed to positive if the company achieves greater that
expected revenue growth or expands operating margins such that
debt to EBITDA and free cash flow to debt are expected to be
sustained at less than 2.5 times and over 15%, respectively.

Baltimore, Maryland-based FTI Conslulting Inc. --
http://www.fticonsulting.com/-- is a consulting firm focusing
on five areas: forensics and litigation, corporate
finance/restructuring, technology, economic consulting, and
strategic communications.  FTI Consulting has offices in the
United Kingdom, Australia, China, Hong Kong, Singapore and
Japan.


FORD MOTOR: Asks Court to Dismiss Suit Over Flaky Paints
--------------------------------------------------------
Ketrina Bakewell at Bryan Cave LP, the law firm representing
Ford Motor Co., asked Madison Circuit Judge Andy Matoesian on
Sept. 15, 2006, to dismiss a third amended complaint in a class
action over flaky paint on certain models of the company's
vehicles.

Ms. Bakewell claims that statutes of limitations ran out years
ago on claims of new Lakin Law Firm plaintiffs.  She said in a
memorandum with her motion to dismiss that plaintiffs all knew
paint was coming off their vehicles years before they filed
suit.  The models referred to in the case are those from 1989 to
1996.

In 1999, The Lakin Law Firm filed the suit against Ford Motor
Co. on behalf of owners of vehicles that have experienced paint
peeling.

Plaintiffs contend that their paint is defective in two
respects.  First, they allege that, because the company did not
use spray primer between the high-build electro coat and the
color coat in some models, the color coat lost adhesion to the
HBEC after extended exposure to ultraviolet radiation from
sunlight.  Second, they allege that the clearcoat on some models
deteriorated prematurely.

Plaintiffs seek unspecified punitive damages, attorneys' fees
and interest, and compensatory damages in an amount to cover the
cost of repainting their vehicles and to compensate for alleged
diminution in value.

In 2003, Circuit Judge Phillip Kardis certified Elaine Phillips,
a secretary of the firm, as representative of two nationwide
classes of plaintiffs.

After Judge Kardis retired, the case was assigned to Judge
Matoesian.

In March, Ford Motor moved to decertify the class action, based
on last year's Illinois Supreme Court decision in Avery v. State
Farm, and Ms. Phillips chose to drop out as class representative
of the case.

In 2005 the Lakin firm added Beverly Brede of St. Clair County
and Joseph Gulash of Madison County as plaintiffs, and it
changed the definition of the class.

Ford Motor moved to stay discovery pending a ruling on the
decertification motion, but Judge Matoesian ruled Aug. 18 that
discovery on decertification issues could continue.

Also, in August, the Lakin firm filed a third amended complaint
proposing to certify Daniel Schopp of Madison County as class
representative.  Ms. Brede and Mr. Gulash remained in the case,
and the Lakin firm added Norma Maag of St. Clair County and
Peter Yaciuk of St. Louis County, Missouri, as plaintiffs.

On the same day, Mr. Schmieder sent a letter to Ms. Bakewell, to
depose employees, including Ford Motor boss William Clay Ford
Jr.  The judge denied the motion to depose Mr. Ford.

Representing Ford are Peter Herzog of Bryan Cave LLP, One
Metropolitan Square, 211 North Broadway, Suite 3600, St. Louis,
MO 63102-2750, Phone: 314/259-2000, Fax: 314/259-2020; and
Ketrina Blakewell of Bryan Cave LLP, 161 North Clark, Suite 4300
Chicago, IL  60601-3315, Phone: 312/602-5000, Fax: 312/602-5050.

Representing the plaintiffs is Robert Schmieder of the Lakin Law
Firm, 300 Evans Avenue, PO Box 229, Wood River, Illinois 62095,
Phone: (618) 254-1127, Fax: (618) 254-0193.

                        About Ford Motor

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

On Aug. 22, 2006, Dominion Bond Rating Service placed long-term
debt rating of Ford Motor Company Under Review with Negative
Implications following announcement that Ford will sharply
reduce its North American vehicle production in 2006.  DBRS
lowered on July 21, 2006, Ford Motor Company's long-term debt
rating to B from BB, and lowered its short-term debt rating to
R-3 middle from R-3 high.  DBRS also lowered Ford Motor Credit
Company's long-term debt rating to BB(low) from BB, and
confirmed Ford Credit's short-term debt rating at R-3(high).

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

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

On July 24, 2006, Moody's Investors Service lowered the
Corporate Family and senior unsecured ratings of Ford Motor
Company to B2 from Ba3 and the senior unsecured rating of Ford
Motor Credit Company to Ba3 from Ba2.  The Speculative Grade
Liquidity rating of Ford has been confirmed at SGL-1, indicating
very good liquidity over the coming 12-month period.  The
outlook for the ratings is negative.


HANKYU HOLDINGS: Plans Hotel Integration with Hanshin on Oct. 1
---------------------------------------------------------------
Hankyu Holdings Inc. and Hanshin Electric Railway Co. will start
the integration of their hotel firms as the first step in
reorganizing their businesses on Oct. 1, when Hankyu Hanshin
Holdings is officially established, The Yomiuri Shimbun reports.

As reported in the Troubled Company Reporter - Asia Pacific on
September 21, 2006, Hankyu Hanshin Holdings is the company to be
created in October as a result of the merger between Hankyu and
Hanshin Electric.

According to the Yomiuri, the total sales of the two companies'
hotel businesses were about JPY80 billion in fiscal year 2005.
Both Hankyu and Hanshin hope to reduce costs by unifying these
hotel operations as management and the purchase of fixtures.

Hankyu Hotel Management Co., an affiliate of Hankyu Holdings,
runs 42 hotels in Japan, including the Hotel Hankyu
International in Kita Ward, Osaka, and Dai-ichi Hotel Tokyo in
Minato Ward, Tokyo.  Hanshin Electric has Hotel Hanshin in
Fukushima Ward, Osaka, and Rokko Oriental Hotel in Kobe, both of
which are run by affiliates.

The Yomiuri says that with the integration, the two Hanshin
affiliates are likely to come under Hankyu Hotel Management.
However, both are expected to continue operations.  The Ritz-
Carlton Osaka in the Umeda district, which is run by another
Hanshin affiliate, is not likely to be involved in the
integration as it is operated under contract with another
company.

Headquartered in Osaka, Japan, Hankyu Holdings Incorporated is
formerly known as Hankyu Corporation.  The Group's principal
activities include the operation of railway transportation and
development of housing estates and recreational and commercial
facilities.  The Group's operations are carried out through
these divisions: Transportation segment is involved in the
railway, automobile maintenance and vehicle manufacturing
businesses; the Real Estate segment leases, purchases, sells and
manages real estates and operates investment assets; the Travel
and International Transportation segment is involved in
traveling and cargo delivery services; the Hotel segment is
engaged in the hotel business; the Entertainment and
Communication segment is involved in the theater operations,
advertising agency services and the publishing business; the
Retail segment is engaged in the retail, and food and drink; and
the others segment is involved in finance services, information,
human resource and accounting agency services.

As reported in the Troubled Company Reporter - Asia Pacific on
June 23, 2006, Standard & Poor's Ratings Services affirmed its
'BB' long-term corporate credit and 'BB+' senior unsecured debt
ratings on Hankyu Holdings following completion of the company's
takeover bid for Hanshin Electric Railway Co. Ltd. and
clarification of Hankyu's financial burden from the takeover.
At the same time, Standard & Poor's removed the ratings from
CreditWatch, where they were placed on May 1, 2006, following
Hankyu's official announcement of merger discussions.  The
outlook on the long-term credit rating is stable.

The TCR-AP reported on June 22, 2006, that Fitch Ratings Agency
affirmed the BB+ long-term foreign and local currency Issuer
Default Rating of Hankyu Holdings as well as its BB+ senior
guaranteed debt rating, on June 21.


HERBALIFE INT'L: Moody's Assigns Loss-Given-Default Rating
----------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the United States natural product processors
sector last week, the rating agency raised its Corporate Family
Rating for Herbalife International Inc. to Ba2 from Ba1, and
confirmed its Ba1 ratings on the company's US$100 million
Guaranteed Senior Secured Revolving Credit Facility Due 2012 and
US$200 million Guaranteed Senior Secured Term Loan B Due 2013.
Additionally, Moody's assigned an LGD2 rating to those bonds,
suggesting lenders will experience a 27% loss in the event of a
default.

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in Moody's
notching practices across industries and will improve the
transparency and accuracy of Moody's ratings as Moody's research
has shown that credit losses on bank loans have tended to be
lower than those for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Inglewood, California, Herbalife International
Inc. sells more than 100 products containing herbal and other
natural ingredients.  The company's products include weight-
control mixes and tablets, nutritional supplements specifically
designed for men and women, food, shampoos, lotions, sunscreens,
and body oils.  The multi-level marketer sells its products
through a network of independent distributors in nearly 60
countries; salespeople earn money from their own efforts, as
well as from the sales of those whom they have recruited into
the organization.

Herbalife of Japan K.K. is headquartered in Minato-ku, Tokyo.


SOFTBANK CORP: To Raise JPY1.45 Trillion from Vodafone Assets
-------------------------------------------------------------
Softbank Corporation plans a major issue of new bonds backed by
Vodafone KK assets to cover a short-term loan that the Internet
conglomerate obtained to acquire the mobile phone operator,
Today Online reveals.

According to Reuters, Softbank aims to generate
JPY1.45 trillion, or US$12.46 billion, by securitizing its
Vodafone operations by the end of this month.

The refinancing scheme will set aside cash from Vodafone Japan
for loan interest and principal payment, Reuters adds.

XFN-ASIA reports that Mizuho Corporate Bank, Citigroup Inc, and
Deutsche Bank are expected to lead-manage the deal.

As reported by the Troubled Company Reporter - Asia Pacific on
April 26, 2006, Tokyo-based Softbank bought Vodafone Japan for a
total of JPY1.8 trillion and borrowed from local and foreign
banks JPY1.3 trillion in short-term bridge loans for the
acquisition.

Softbank plans to rebrand the cellphone operator "Softbank
Mobile" on October 1, 2006, ditching the name of the British
giant, which struggled to penetrate the tough Japanese market,
the TCR-AP said.

                       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.


* Japan's Debt Balance Rises to Record JPY827.8 Trillion
--------------------------------------------------------
The balance of Japan's debt totaled JPY827.795 trillion as of
June 30, 2006, up JPY314.3 billion from the March 31, 2006,
level and hitting a record high, Japan Today reports, citing the
Finance Ministry.

The tally translates into some JPY6.48 million per citizen,
leaving the task of rebuilding the nation's debt-ridden finances
to the administration of Prime Minister-in-waiting Shinzo Abe,
the report says.

Mr. Abe, who was chosen as head of the ruling Liberal Democratic
Party last week, is set to succeed Prime Minister Junichiro
Koizumi after receiving confirmation in the post by parliament
later on Tuesday, Reuters says.

While Mr. Abe favors repairing the government's finances, doubts
linger among economists as to how much his policies will reduce
the mountain of public debt, as Mr. Abe argues that high growth
is the key to fiscal reform.

According to Reuters, Japan's outstanding public debt stands at
around 150 percent of gross domestic product, the highest among
major industrial nations.


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

DAEWOO CORPORATION: Seeks U.S. Chapter 15 Protection
----------------------------------------------------
On September 25, 2006, Daewoo Corporation, through its court-
appointed Bankruptcy Trustee Hyung-Ha Lee, filed a petition
pursuant to Chapter 15 of the United States Bankruptcy Code with
the U.S. Bankruptcy Court for the Southern District of New York.

In its Chapter 15 Petition, Daewoo seeks:

   a. recognition as a "foreign main proceeding" a proceeding
      under the Republic of Korea's Act on Rehabilitation of
      Debtors and Bankruptcy pending before the 12th Bankruptcy
      Division of the Seoul Central District Court; and

   b. injunctive relief in aid of the Korean Proceeding.

Chapter 15, which became effective on October 17, 2005, broadens
the mechanism through which representatives of non-U.S.
proceedings might obtain relief, including injunctive relief, in
the United States; expands the powers of U.S. Bankruptcy Courts;
and enhances the rights of both U.S. and non-U.S. creditors.

Daewoo Corporation was formed through a merger of Daewoo
Development Co., which was engaged in general construction
business, with Daewoo Trading Co., which was engaged in general
trading business, in December 1981.

After a severe liquidity crisis in the late 1990's, the Company
was put under a special form of corporate restructuring under
Korean law called a "workout proceeding" on August 1999.   The
Company, in early 2000, entered into a workout agreement with
its creditor financial institutions.  The Workout Agreement
called for, among other things, the spin-off of the Company's
trading division and constructions division and the management
of the remaining assets after the spin-offs.

Pursuant to the Workout Agreement, the trading division of the
Company was spun-off into Daewoo International Corporation and
the construction division of the Company was spun-off into
Daewoo Engineering & Construction Co., Ltd.  The Company has
been dormant since its trading division and construction
division were spun-off.

Under the workout proceeding, while the Company was never
formally declared bankrupt, claims against the Company -- which
were held by the financial institutions that participated in the
workout proceeding -- were stayed until March 31, 2006.  By the
end of December 2005, the Company was unable to repay its debts.

On May 25, 2006, pursuant to a resolution by its Board of
Directors, the Company applied for bankruptcy under the Korean
ARDB.  The Company was formally declared bankrupt under the ARDB
in accordance with a ruling of the Korean Court on June 16,
2006.  The Korean Court also appointed Mr. Lee as the Company's
Bankruptcy Trustee.

The Korean Court set July 21, 2006, as the due date by which all
claims against the Company should be reported.  DWHK Recovery
Co. filed a claim against the Company in the Korean bankruptcy
proceeding.

On November 24, 2004, DWHK Recovery Co. commenced an action with
the New York State Court against Daeha Corp., Daewoo Engineering
and Construction Co. and Daewoo Corp. to recover allegedly
unpaid interest and principal on loans totaling US$69 million
made by Daewoo Hong Kong Ltd. to Daeha.  Daewoo Corp. is the
alleged guarantor of the Loan and DWEC allegedly assumed all of
the Company's obligations vis-a-vis the Loan.

On July 2006, DWHK Recovery filed a motion for summary judgment,
which is currently pending.

On August 31, 2006, the first meeting of creditors was held and
the validity of reported claims against the Company was
initially inspected.

According to Mr. Lee, if the New York State Court Action is not
stayed by recognizing Daewoo's proceedings in Korea, the Company
would be required to respond to what is effectively a claims
litigation duplicative of a bankruptcy claims process in Korea,
Daewoo's U.S. counsel, Paul H. Silverman, Esq., at Alston & Bird
LLP, argues.

Mr. Silverman asserts that Chapter 15 of the Bankruptcy Code was
specifically designed to assist foreign representatives like Mr.
Lee in the performance of their duties.  One of its express
objectives is the "fair and efficient administration of cross-
border insolvencies that protects the interests of all
creditors, and other interested entities, including the debtor,"
he added.

Daewoo believes that granting recognition to its Korean
Proceeding is consistent with the goals of international
cooperation and assistance to foreign courts, embodied in
Chapter 15 of the U.S. Bankruptcy Code.


DAEWOO CORPORATION: Chapter 15 Petition Summary
-----------------------------------------------
Petitioner: Hyung-Ha Lee
            Bankruptcy Trustee of Daewoo Corporation
            Foreign Representative

Debtors: Daewoo Corporation
         Daewoo Center Building 541, 5-ga
         Namdaemunro, Chung-gu
         Seoul, Korea

Case No.: 06-12242

Type of Business: The Debtor is a global trading and investment
                  company in the areas of international trade,
                  project organizing and overseas resource
                  developments.  It provides trading in
                  chemicals, textiles, metals and steel.

Chapter 15 Petition Date: September 25, 2006

Korean Court: Seoul Central District Court (12th Bankruptcy
              Division)

U.S. Court: Southern District of New York (Manhattan)

U.S. Judge: Robert E. Gerber

Petitioner's Counsel: Paul H. Silverman, Esq.
                      Alston & Bird LLP
                      90 Park Avenue
                      New York, NY 10016
                      Tel: (212) 210-9562
                      Fax: (212) 210-9444

Estimated Assets: US$50 Million to US$100 Million

Estimated Debts:  More than US$100 Million

More information on the Company's proceeding under Chapter 15 of
the United States Bankruptcy Code is available at
http://www.chapter15.com/


DRESSER INC: Initiates Cash Tender Offer for 2011 Notes
-------------------------------------------------------
Dresser, Inc., has commenced a cash tender offer for any and all
of its outstanding 9 3/8% senior subordinated notes due 2011 and
a solicitation of consents for proposed amendments to the
indenture.

The tender offer will expire at midnight, New York City time, on
Oct. 23, 2006, and the solicitation of consents at 5 p.m., New
York City time, on Oct. 6, 2006.  The times and dates may be
extended or terminated at the company's discretion.  Dresser is
offering to purchase the notes at a price of US$1,048.13 for
each US$1,000 of principal amount of notes tendered, plus
accrued and unpaid interest up to, but not including, the date
the notes are paid under the terms of the offer.  This purchase
price includes a US$20 fee for each US$1,000 of principal amount
for holders who validly tender, and do not withdraw, their notes
and who deliver, and do not revoke, their consents prior to the
expiration of the consent solicitation.

The company's obligation to accept tendered notes for payment is
contingent upon a majority of the holders consenting to the
proposed amendments to the indenture and the company's
consummation of the previously announced refinancing of its
existing senior debt facilities with available borrowings
sufficient to pay amounts due to tendering holders of the notes.
If the proposed amendments, which eliminate many restrictive
covenants contained in the indenture, become operative, they
will be binding on all non-tendering holders.  The transaction
is described fully in the Offer to Purchase and Consent
Solicitation Statement and the related Consent and Letter of
Transmittal, both dated Sept. 25, 2006.

The company has retained Morgan Stanley to act as dealer manager
and solicitation agent in connection with the tender offer and
consent solicitation.  MacKenzie Partners, Inc. is the
depositary and information agent for the offer.  Questions
regarding the tender offer and consent solicitation should be
directed to Morgan Stanley at 800-624-1808 (U. S. toll-free) and
212-761-5746 (collect) and requests for copies of the Offer to
Purchase and Consent Solicitation Statement and the related
Consent and Letter of Transmittal to MacKenzie Partners at 800-
322-2885 (U. S. toll-free) and 212-929-5500 (collect).

                       About Dresser, Inc.

Based in Addison, Texas, Dresser, Inc. --
http://www.dresser.com/-- designs, manufactures and markets
equipment and services sold primarily to customers in the flow
control, measurement systems, and compression and power systems
segments of the energy industry.  The Company has a
comprehensive global presence, with over 8,500  employees and a
sales presence in over 100 countries worldwide, including Korea
and Japan.

                          *     *     *

Moody's Investors Service downgraded Dresser, Inc.'s Corporate
Family Rating to B1 from Ba3.  The rating for the Company's
Senior Secured Tranche C Term Loan maturing 2009 was downgraded
to B1 from Ba3.  Moody's also downgraded the rating for the
Company's Senior Unsecured Term Loan maturing 2010 to B2 from
B1.  The Company's Senior Subordinated Notes maturing 2011 was
downgraded to B3 from B2.  Moody's said the rating outlook is
negative.


KOREA DEVELOPMENT: Advised to Get Rid of Non-Core Businesses
------------------------------------------------------------
Korea's Board of Audit and Inspection urged Korea Development
Bank to sell off its non-core businesses, The Korea Herald
reports, citing "industry sources."

The advice is the result of the Board's investigation of state-
owned banks, which probe aims to streamline their organizations.

According to the report, the Board's decision may trigger KDB's
selling of its stake in Daewoo Securities.  The Herald says that
analysts believe that the sale of Daewoo Securities is critical
to the future privatization of KDB and would create a profound
impact on the local financial landscape.

As of June 30, 2006, KDB holds 39.089% of the outstanding shares
of Daewoo Securities.

Initiating the process of selling the securities brokerage firm
may, however, take time, analysts said.

The Herald notes that KDB is opposed to the idea of selling off
the brokerage business.

KDB also holds a 31.258% stake in Daewoo Shipbuilding and Marine
Engineering Co. Ltd.

                   About Korea Development Bank

Korea Development Bank -- http://www.kdb.co.kr/-- is South
Korea's long-term funds provider to major industrial projects.
The company is wholly owned by the Korean Government.  KDB also
offers short and long-term loans, investments, guarantees and
trusts to international finance.  Its major funding sources are
Industrial Finance Bonds, client deposits, special-purpose funds
and foreign-currency funds.

Moody's Investors Service gave KDB a 'D-' Bank Financial
Strength Rating effective on January 24, 2006.


SHINHAN BANK: Stake in Parent Sold to Mizuho for US$86 Million
--------------------------------------------------------------
Mizuho Corporate Bank bought a 0.5% stake in Shinhan Financial
Group for JPY10 billion (around US$86 million), Reuters reports,
citing a Shinhan official as source.

According to a Mizuho press release, the stake sold -- 1.855
million shares -- is owned by Shinhan Bank.

The company release shows that Mizuho and Shinhan Financial
agreed to enter into the deal on September 19, 2006.

The Wall Street Journal notes that early this year, a chief
executive of Shinhan Bank said that the bank was interested in
expanding into Japan and acquiring a Japanese bank in the
future.

According to Reuters, analysts expect Mizuho to increase its
stake in Shinhan Financial, either from the remaining shares
held by Shinhan Bank or a stake owned by the state-run Korea
Deposit Insurance Corp.

                       About Shinhan Bank

Headquartered in Taepyeong-no, Seoul, Shinhan Bank --
http://www.shinhan.com/-- was established in 1982 with capital
from Korean residents in Japan.  It is Korea's fourth largest
bank by assets -- second largest after merging with Chohung Bank
-- holding a 9% share of deposits and 11% of loans.  The bank
has developed a strong franchise in the consumer as well as
small and medium-sized enterprise segments.  In September 2001,
it formed a holding company, Shinhan Financial Group, under
which it and five other affiliates became stable companies.
Since then, the Shinhan Financial Group has expanded its
organizational structure to include 11 subsidiaries and is now
Korea's second largest financial group.

The Troubled Company Reporter - Asia Pacific reported on
March 16, 2006, that Moody's Investors Service has raised
Shinhan Bank's Bank Financial Strength Rating to D+ from D.  The
revised rating carries a stable outlook.  The higher BFSR
reflects the bank's sustained financial fundamentals upon its
merger with affiliate Chohung Bank.

Despite Moody's initial concerns, Chohung Bank's credit-
worthiness under its parent, Shinhan Financial Group, has
improved substantially.  Therefore, the absorption of Chohung
Bank into Shinhan Bank will not dilute the financial health of
the combined bank as greatly anticipated at the time of the
acquisition.  Nonetheless, the financial fundamentals place
Shinhan Bank at the low end of the rating band.


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

COMSA FARMS: Will Submit 2006 Annual Report After Audit
-------------------------------------------------------
Comsa Farms Berhad was not able to submit its Annual Audited
Accounts for the year ended March 31, 2006, to Bursa Malaysia
Securities Berhad by the September 22 deadline.

The company said that it will issue the outstanding financial
report in due course upon completion of the audit done by
external auditors, Moores Rowland.

                        About Comsa Farms

Headquartered in Sabah, Malaysia, Comsa Farms Berhad engages in
the wholesale and retail of fresh and frozen chicken products,
meat and foodstuff.  Its other activities include livestock,
aqua feed milling, poultry feeding, hatchery operations, and
layer farming.

On April 10, 2006, the Company was declared a Practice Note 17
company by Bursa Malaysia due to a stockholders' equity deficit.
As an affected listed issuer, Comsa Farms is required to submit
a plan to regularize its financial condition. The Company's
balance sheet as of March 31, 2006, showed total assets of
MYR200,072,000 and total liabilities of MYR273,643,000 resulting
into a stockholders' deficit of MYR73,571,000.


PAN MALAYSIA CORP: Buys Back 33,000 Shares for MYR8,865
-------------------------------------------------------
On September 25, 2006, Pan Malaysia Corporation Berhad bought
back 33,000 ordinary shares of MYR0.50 each for MYR8,865.44.

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 59,821,400.

The Troubled Company Reporter - Asia Pacific reported on
September 14, 2006, that Pan Malaysia bought back 10,000
ordinary shares of MYR0.50 each for MYR2,628.20 in aggregate.

                 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.


PAN MALAYSIA HOLDINGS: To Execute Par Value Reduction on Sept.29
----------------------------------------------------------------
Pan Malaysia Holdings Berhad has resolved to cancel the Par
Value of each existing ordinary share from MYR0.90 to MYR1.00
per share to be implemented on Sept. 29, 2006, at
9.00 a.m.

Accordingly, MYR34,734,007 will be reduced from the share
premium pursuant to Sections 64(1) and 60(2) of the Companies
Act.

The High Court of Kuala Lumpur has approved on August 28, 2006,
the Company's Petition for the Capital Reconstruction.  An
office copy of the order of the Court has been lodged with the
Companies Commission of Malaysia on September 13, 2006.

The Capital Reconstruction created a credit amounting to
approximately MYR870.71 million which has been utilized to set
off the accumulated losses of the Company.  Accordingly, the
Company's audited accumulated losses of MYR872.86 million as at
December 31, 2005, have been reduced to MYR2.15 million.

Moreover, the Company's Shareholders should note that the Par
Value Reduction does not affect the number or the rights
attaching to the ordinary shares held by them.

               About Pan Malaysia Holdings Berhad

Headquartered in Kuala Lumpur, Malaysia, Pan Malaysia Holdings
Berhad engaged in the provision of financial services, property
and leisure, investment holding and dealing and manufacturing
and selling of self-adhesive sticker labels.  The Group also
manufactures carton boxes and general packaging products.  Other
activities relating to financial services are stockbroking,
options and financial futures broker, research fund management
services and money lending.

As reported by Troubled Company Reporter - Asia Pacific on
March 14, 2006, Pan Malaysia Holdings has drafted a capital
reorganization plan following its admission to Bursa Malaysia's
Practice Note 17.  Pan Malaysia Holdings proposed to cancel 90
sen of the par value of each existing share of MYR1.00 each.  On
completion of the capital reconstruction, it is expected that
the Company's accumulated losses of MYR872.5 million at end-2005
would be reduced to MYR1.8 million.


PROTON HOLDINGS: HLG Retains Sell Recommendation
------------------------------------------------
HLG Research believes that the planned equity participation by
PSA Peugeot Citreon in Proton Holdings Berhad may not
materialize, The Edge Daily reports.  In this regard, HLG
maintained its sell recommendation on the Malaysian carmaker.

HLG Research said on Sept. 25, 2006, that the eventual
materialization of a meaningful alliance between Proton and
Peugeot was still in question, given Proton's earlier failed
attempt of a largely similar alliance with the Volkswagen group,
The Edge relates.

According to HLG, the five possible methods of the alliance
would either be:

     -- a joint venture company with Khazanah Nasional Bhd
        holding a majority stake;

     -- cross-shareholding between Peugeot and Proton;

     -- outright sale of Proton to Peugeot;

     -- Peugeot taking an interest in Proton's manufacturing
        facilities and marketing division; or

     -- merely an ad hoc co-operation without any equity
        interest.

However, HLG said the privatization of Proton was a "highly
unlikely scenario", though the option was within Peugeot's
financial reach, as both Khazanah and Peugeot may have different
valuations on the national carmaker, The Edge says.

HLG expected the ancillary parts industry and the "national
pride" sentiment to be the major hindrances that deterred
Peugeot from owning majority stake in Proton, The Edge adds.

As reported by the Troubled Company Reporter - Asia Pacific on
September 19, 2006, Proton and PSA Peugeot signed a letter of
intent to examine possible collaborations in product
development, manufacturing, quality initiatives, vendor
development, contract assembly and distribution.

PSA expects the collaboration with Proton would boost sales of
Peugeot and Citroen cars in Malaysia and serve as a platform for
developing its South-East Asian business, the TCR-AP added.

                     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: Gearing for Competition in Two Years
-----------------------------------------------------
Proton Holdings Managing Director Syed Zainal Abidin Syed
Mohamed Tahir is confident that the carmaker will be ready to
compete with local and foreign rivals in two years, The Star
Online reports.

Mr. Syed Zainal told the Star that the two-year preparation
period will be enough especially with the scheduled launch of
two new models next year.

Currently, Proton is undergoing a restructuring process, which
incorporates a quality campaign launched five months ago to
improve Proton products.  The campaign aims to not just produce
better results but to implement more stringent systems and
disciplines, manufacturing and engineering processes and
practice customer-centered service at showrooms, workshops and
via its dealers and vendors as well, the report says.

Aside from resolving quality concerns on certain models, Proton
is also coordinating with vendors to improve the quality of
autoparts, the Star relates.  In addition, the company is
working closer with its dealers -- Proton Edar Sdn Bhd and
Edaran Otomobil Nasional Berhad -- to improve the quality of
service and boost sales.

Mr. Syed Zainal added that Proton would not hesitate to delay
launches for future models to ensure top quality and minimal
faults, and would also recall faulty cars.

                     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: Peugeot Tie-Up May Save Business, Analysts Say
---------------------------------------------------------------
A proposed tie-up between Proton Holdings Berhad and French
automaker, PSA Peugeot Citreon, may aid Proton's revival put
analysts pointed out the issue of control, Agence France Presse
reports.

As reported by the Troubled Company Reporter - Asia Pacific on
September 19, 2006, the two auto manufacturers recently signed a
letter of intent to evaluate and study possible co-operation,
with the first round of talks to start next week.

The three-month study will focus on product development,
manufacturing, distribution, contract assembly, vendor
development and quality improvement, the TCR-AP said.

Malaysian Automotive Association president, Aishah Ahmad, told
AFP that the alliance would benefit Proton, whose market share
has plunged in recent years due to the slashing of import duties
and a persistent reputation for poor quality and unimaginative
models.

Hardeep Singh, senior assistant vice-president and economist of
Bank of Tokyo-Mitsubishi UFJ (Malaysia) Bhd. said that it was in
the interest of Proton to seal a partnership with a foreign
player quickly in order to survive in the cutthroat car market,
AFP relates.  Mr. Hardeep said a tie-up with a foreign partner
would also boost Proton's image.

However, Mr. Hardeep stressed that Proton must be willing to
share control of the company for Peugeot to provide technical
know-how in exchange.  "Proton has to allow some form of control
to the other partner. They have to be fair in their
negotiations," he said.

Meanwhile, an auto analyst with a local said equity control was
a sensitive issue and would spoil the alliance plan if Peugeot
insists on equity control.  "The issue of control could derail
any plans by the two automakers to work together. Proton will
have to confront it later," she told AFP on condition of
anonymity.

First round of talks will begin next week but will not include
the question of equity sharing, AFP reveals.

                     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.


PSC INDUSTRIES: APB Taps Shipyard to Boost Oil & Gas Operations
---------------------------------------------------------------
APB Resources Berhad is proposing a joint venture with PSC
Industries Berhad subsidiary, Penang Shipbuilding & Construction
Sdn Bhd, in a bid to expand its oil and gas process equipment
fabrication capacity, The Star Online reveals.

According to the Star, APB had entered into an agreement to
collaborate with PSC Industries in the engineering,
construction, designing, building and repairing of vessels.  The
collaboration will be undertaken at PSC Industries' shipyard in
Pulau Jerejak, Penang, via a 50:50 joint venture firm.

The deal, the report says, will enable APB to uses the existing
shipyard in Pulau Jerejak and immediately expand production
capacity by about 40%.

                       About PSC Industries

PSC Industries Berhad's principal activities are shipbuilding
and ship repairing. It is also involved in heavy engineering
construction, provision of shipping management services,
manufacturing of aluminium fast passenger sea ferries, supplies
equipment and machineries, marketing and distributing Exocet
Weapon system, manufacturing of confectioneries, snack food and
related products, general trading, power plant construction and
its support activities, printing, property development, and
property and investment holding.  The Group operates in
Malaysia, Australia and the Republic of Ghana.

The Company is currently formulating a regularization plan for
the Group pursuant to Practice Note 17/2005 of the Bursa
Malaysia Securities Berhad's Listing Requirements.  As of
March 31, 2006, the Company's balance sheet showed
MYR212,330,000 in total assets and MYR677,272,000 in total
liabilities, resulting in a MYR464,942,000 stockholders'
deficit.


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

DEVELOPMENT BANK: Posts 37% Increase in Net Income for 1H2006
-------------------------------------------------------------
The Development Bank of the Philippines reported a net income of
PHP2.11 billion for the first six months of 2006, which figure
is an increase of 37% from the figure reported for the same
period last year.  The 2005 first half income as reflected in
its latest DBP Bulletin was at PHP1.54 billion.

In a statement, DBP president and chief executive officer
Reynaldo G. David attributed the increase on the bank's well-
diversified development institution.

According to Mr. David, the bank's gross income rose by 15.84%
at PHP9.07 billion from PHP7.83 billion.

Gross loan portfolio registered a 39.36% gain to reach
PHP113.40 billion from PHP96.72 billion in June 2005.

Exclusive of inter-bank loans, DBP financed PHP56 billion in
developmental projects and PHP38.77 billion in commercial
projects.

The bank's past due rate was recorded at only 5.91% compared to
the industry average of 9.20% as of March 2006.

As of June 30, 2006, the bank's statement of condition showed
total assets of PHP228.62 billion and total liabilities of
PHP206.50 billion.

According to the Philippine Information Agency, DBP's total
assets for the first half of 2006 is higher by 26.62% compared
to PHP189.49 billion a year ago.

A full-text copy of DBP's Statement of Condition as of June 20,
2006, is available for free at:

http://www.devbankphil.com.ph/downloads/financials/condition06.pdf

DBP board of director for Mindanao Rey Magno Teves said the bank
is targeting this year over PHP4 billion in net income and the
shift to 90% development projects from commercial has fully been
implemented in the island.

DBP offers a wide range of products and services that address
specific funding and banking needs of various clients either on
project financing to deposit and investment products and
services.

Loans are available through retail lending and wholesale lending
operations for capital assets, investments, and working capital.

                           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 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 the 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.


DEVELOPMENT BANK: Shifts from Commercial to Development Programs
----------------------------------------------------------------
The Development Bank of the Philippines has shifted its
direction to developmental projects from its more commercial
activities.

According to DBP board member Rey Magno Teves, the DBP
performance has focused 90% of its program to development.

Mr. Teves discloses that during a recent meeting with the DBP
managers of Mindanao, it was reported that the 90% shift to
development programs were already applied in the whole island.

DBP still maintains its micro-lending window through conduits
like micro finance institutions and cooperatives.

"There has been a change in its direction because of the bank's
vision to bring development to the poor," Mr. Teves says,
without disclosing details of the program but notes that the
reforms are being studied.

Mr. Teves says a collateral free loan is being considered so
that people would not go to the "5/6" loan sharks.

Mr. Teves notes that there were already programs that were
granted, for instance, to teachers where some PHP1 billion has
been allotted and as of this time about PHP300 million was
already used up for this purpose.

Another scheme is the partnership with One Network Bank Mindanao
where DBP serves other parts of the island especially those hard
to reach area through the rural bank.

The ONB-DBP partnership is an attempt to address inefficiency
and to also serve the poor who are not credit-worthy as far as
commercial banks are concerned.

                           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 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 the 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.


DEVELOPMENT BANK: Strengthens Support for OFW Sector
----------------------------------------------------
The Development Bank of the Philippines is stepping up its
support for the overseas Filipino workers sector through a
financing program that will provide loan assistance to migrant
Filipino workers and overseas placement agencies.

DBP president and chief executive officer Reynaldo G. David
discloses that for this financing program, the Bank has
allocated:

   -- PHP500 million for wholesale lending to eligible borrower-
      conduits for re-lending to OFWs; and

   -- PHP100 million for wholesale lending to eligible borrower-
      conduits for re-lending to overseas placement agencies.

Eligible borrower-conduits are:

   (a) financing companies registered with the Securities and
       Exchange Commission;

   (b) financial institutions like banks, thrift banks, rural
       banks, microfinance banks, and cooperative banks; and

   (c) non-government organizations and cooperatives

Mr. David says the financing program consists of pre-departure,
multi-purpose, enterprise development, and housing loans for
OFWs, and a credit line for overseas placement agencies.

Mr. David explains that the program was developed in line with
DBP's commitment to further intensify assistance to the ever-
growing OFW sector, and to uplift the conditions of migrant
workers.

Ready-to-leave OFWs including seafarers can avail of a pre-
departure loan to defray expenditures like placement or
processing fees, subsistence allowances, and pocket money.

Currently-employed OFWs, on the other hand, can avail of a
multi-purpose loan to tide them over emergency situations.
Enterprise development loans for investment and entrepreneurial
opportunities, and housing loans for the acquisition,
construction, and renovation of existing housing units can
likewise be availed of.

Overseas placement agencies, on the other hand, can apply for a
credit line to support their working capital requirements, as
well as to fund recruitment, training, and business development
activities.

                           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 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 the 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.


MANILA ELECTRIC: Will not Include NPC GRAM Adjustments
------------------------------------------------------
On August 17, 2006, the Troubled Company Reporter - Asia Pacific
cited a report from the Philippine Daily Inquirer stating that
the Supreme Court ordered Manila Electric Co. to refund its
customers a still unknown aggregate amount to cover the
additional charge of PHP0.1327 per kilowatt-hour it had
collected under a June 2004 order of the Energy Regulatory
Commission, which the SC had nullified early this year.

As an upshot of the Supreme Court ruling, Meralco will not pass
on the R.38 per kilowatt-hour adjustment that would account for
generation rate adjustment mechanism charges of the National
Power Corporation, Manila Bulletin reports.

Meralco vice president and utility economics division head
Ivanna G. dela Pena confirmed the report, saying the company is
not including recovery of the NPC GRAM adjustments in the
August-September billing cycle because of the tribunal's ruling,
Manila Bulletin relates.

The paper cites Meralco as explaining that since the court
ruling prevented it from collecting GRAM charges, and
subsequently underpinned by a resolution of the Energy
Regulatory Commission, it is compelled to suspend collection of
these cost recoveries.

Manila Bulletin believes that Meralco already sent official
correspondence to National Power president Cyril del Callar on
this concern.

Ms. del Callar cannot exactly say when these deferred cost
adjustments would finally be recouped, but she noted that they
are waiting on the next policy issuance or pronouncement of the
ERC on this regulatory matter.

Manila Bulletin explains that GRAM is treated as a pass-on
revenue-neutral charge allowed by the ERC for National Power to
recover its deferred costs for generation and currency exchange
movements.

To avoid any threat of legal skirmish, the regulatory body has
instructed Meralco to suspend automatic recovery of any
adjustments in its generation charges, Manila Bulletin relates.

                      About Manila Electric

Headquartered in Ortigas, Pasig City, the Manila Electric
Company -- http://www.meralco.com.ph/-- is the largest utility
in the Philippines, providing power to 4.1 million customers in
metropolitan Manila and more than 100 surrounding communities.
As deregulation takes effect, Meralco is reducing its dependence
on state-owned National Power Corp. by increasing the amount of
power it purchases from independent power producers.  Meralco is
also preparing for competition by moving into non-regulated
activities, including energy consulting, independent power
production, engineering, fiber optics, e-commerce, and real
estate.

                          *     *     *

A March 31, 2006 report by the Troubled Company Reporter - Asia
Pacific stated that the Company posted a 79.7% decrease in its
2005 net losses to PHP411 million from PHP2.03 billion in 2004,
due to provisions for probable losses while awaiting a Supreme
Court final decision on a pending unbundling rate case, and the
adoption of new accounting standards.

The TCR-AP further stated on April 27, 2006, that the Company
filed a report with the Philippine Stock Exchange, indicating a
66.1% decline in its net loss from January to March 2006 to
PHP748 million against a PHP2.2 billion loss for the same period
in 2005.

According to a subsequent TCR-AP report on April 24, 2006,
Manila Electric cannot seek a loan to expand its facilities
unless it repays outstanding short-term debts amounting to
around PHP4.7 billion.


PHILODRILL CORP: Assigns 85% Interest in SC 41 to Tap Oil
---------------------------------------------------------
Philodrill Corporation advises the Philippine Stock Exchange
that subject to the approval of the Department of Energy, the
company and the continuing parties of Service Contract 41
consortium have completed the assignment of an aggregate 85%
participating interest in SC 41 (Sulu Sea Block) in favor of Tap
Oil Limited of Australia to implement Tap Oil's farm-in into SC
41.

Philodrill notes that it retains a 3.398% participating interest
in SC 41.

                          About Tap

Based in Perth, Australia, Tap Oil Limited --
http://www.tapoil.com.au/-- is an oil and gas exploration, and
production company with interests on the North West Shelf of
offshore Western Australia, the Gippsland Basin off Victoria and
New Zealand.

                    About The Philodrill Corp.

The Philodrill Corporation was registered with the Philippine
Securities and Exchange Commission on June 26, 1969, as an oil
exploration and production company.  In 1989, realizing the need
to balance the risk associated with its petroleum activities,
the Company changed its primary purpose to that of a diversified
holding company while retaining petroleum and mineral
exploration and development as one of its secondary purposes.

The Company, which is operating in only one business segment,
has three associates with one engaged in real estate and the
others in financial services.  The Company and its associates
have no geographical segments as they were incorporated and are
operating within the Philippines.

                         *     *     *

After auditing Philodrill's 2005 annual financial statements,
Sycip, Gorres and Velayo & Co., raised doubt on the Company's
ability to continue as a going concern, as its current
liabilities exceed current assets by PHP419.2 million as of Dec.
31, 2005.  The Company also had difficulty meeting its
obligations to creditor banks.

In early 2006, Philodrill was able to redenominate its loans
with Rizal Commercial Banking Corp. amounting to PHP28.25
million, from U.S. dollars to Philippine Pesos.


SECURITY BANK: Board Names R. Victa as VP for Corp Relationship
---------------------------------------------------------------
Security Bank Corporation discloses to the Philippine Stock
Exchange that on September 26, 2006, the bank's Board of
Directors approved the appointment of Ruben Victa as Vice
President of Corporate Relationship Group effective November 2,
2006.

                        About Security Bank

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

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


* Philippines Roars as Economy Rolls to Record Highs
----------------------------------------------------
Banking on strong foundations in economics and good governance,
President Gloria Macapagal-Arroyo is slowly but surely stirring
the Philippines to its best form as latest indicators reflect
positive health on the country's overall economy.

National Economic and Development Authority reports show that
the domestic economy sustained its strong upturn in the second
quarter of 2006, with gross domestic product or GDP growing by
5.5% in real terms over a year ago.  The registered GDP rise is
higher than the average forecast by domestic and selected
international analysts tracked by Bloomberg.

The gross national product, on the other hand, rose by 6.6% as
net factor income from abroad grew by 18.3%.

First semester growth rates of 5.6% for GDP and 6.5% for GDP
were registered as economic data for the second quarter were
updated, yielding higher growth rates than earlier predicted.

The results were driven by the strong performances from the
agriculture sector, manufacturing, and sustained growth in
finance.

Surge in the manufacturing sector performances exceeded
expectations as 11 out of 20 sub-sectors posted positive growth.
Food manufacturers, comprising 40.6% of total gross value added,
expanded 7.6% in the second quarter.  Significant contributions
were also recorded in export-related manufactures like textiles,
furniture, petroleum products, basic metals, and electrical
machineries.

The economic growth led to improvements in the labor market,
with employment levels up by 2.5% as of April.  The employment
rate for agriculture and services improved while employment in
the industry sector remained stable.

       Per Capita Income Improved, Poverty Level Lessened

On government and private economists' estimate, the country's
per capita income or the share of each citizen in the country's
wealth as measured by the GDP -- will reach more than US$1,400
this year.

This was the best per capita income level since the 70s,
surpassing the industrial years of the Marcos Era and the tiger
economy under the Ramos Presidency.

Presidential Economic Adviser and Albay Rep. Joey Salceda,
quoting a Citibank report, said that the 22-consecutive quarters
of GDP expansion and slower population growth of below 2% were
the factors that lifted the country's per capita income.

Based on the government's economic growth forecast, Mr. Salceda
said the Philippines would hit a per capita income of US$1,463
per Filipino by the end of 2006 based on a GDP of PHP6.7
trillion, population of 87.4 million and average peso-dollar
exchange rate of PHP52.40.

To adjust for changes in the prices, NEDA calculated its
estimate of US$1,463 per capita income using constant 1988
prices.  Per capita income in 2004 was US$1,200 and US$1,040 in
2000.

Mr. Salceda said that at this rate, the Philippines could hit a
minimum of US$1,800 per capita income by 2010.

The Philippines has also made progress in the poverty reduction,
as a new World Bank report noted that the number of Filipinos
living on less than US$1 a day declined to 9 million, or 10.8%
of the total population, as of end-2005 from 12 million or 13.5%
of the population in the 2000.

Living below the US$1-a-day mark is an international benchmark
for measuring poverty across countries.

                     Palace's Point of View

Malaca¤ang says the strong showing of key indicators -- rise in
income, stable prices and low inflation rate -- reflect the good
health of the country's overall economy.

In a statement, Press Secretary and Presidential Spokesman
Ignacio Bunye expressed confidence that the government would be
able sustain the upbeat economic trend as "we keep up the spirit
of enterprise and faith in the Filipinos."

"As a result of fiscal reforms, good governance, increased
investments and better revenue generation and collection, the
government can now afford to undertake more infrastructure
facilities and deliver social services more effectively."

Secretary Bunye stressed that the rise in income, stable prices,
and low inflation rate are sign that the people from all walks
of life are beginning to get their fair share of the economic
momentum that is being propelled by more investments, better
infrastructure, good governance, and the more effective delivery
of social services.

                         *     *     *

"Standard & Poor's Ratings Services assigned its 'BB-' senior
unsecured rating to the Republic of Philippines' proposed new
bond issue that will mature in 2024, as well as the new debt
under the series of 7.75% Global Bonds due in 2031.  The
government is offering these bonds in exchange for some of its
existing debt.  At the same time, Standard & Poor's also
affirmed its 'BB-' ratings on the bonds that are eligible for
exchange."


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

CHUAN JOO: Creditors' Meeting Set for October 2
-----------------------------------------------
Chuan Joo (Pte) Ltd, which is in compulsory liquidation, will
hold a meeting for its creditors on October 2, 2006, at
3:00 p.m.

At the meeting, the creditors will be asked to:

   -- receive a brief account on the conduct of liquidation;

   -- determine if there is a need for the appointment of
      committee of inspection to act with liquidator, and if so
      determine its members; and

   -- discuss other business.

The liquidator can be reached at:

         Goh Boon Kok
         1 Stadium Walk
         Level 2 Kallang Theatre Building
         Singapore 397688


DIAMOND PETROLEUM: High Court to Hear Wind-Up Petition on Oct. 6
----------------------------------------------------------------
On September 12, 2006, Yap Ban Lee, Yap Hock Lee and Yap Chye
Lee, trading under Hock Lee Company, have filed an application
to wind up Diamond Petroleum Pte Ltd.

The High Court of Singapore will hear the wind-up petition on
October 6, 2006, at 10:00 a.m.

The Petitioners' Solicitor can be reached at:

         Mok & Tan
         No. 3 Shenton Way #12-08
         Shenton House
         Singapore 068805


FREESCALE SEMICONDUCTOR: Sr. Facility's Rating Lowered to BB+
-------------------------------------------------------------
Fitch downgraded Freescale Semiconductor Inc.'s Issuer Default
Rating, senior unsecured notes, and senior unsecured bank credit
facility to 'BB+' from 'BBB-' following the company's
confirmation that it has entered into a definitive agreement to
be purchased by a consortium of private equity firms for
US$17.6 billion, the largest ever technology leveraged buy-out.

The ratings remain on Rating Watch Negative.  Approximately
US$850 million of debt securities are affected by Fitch's
action.

Fitch believes the IDR of the new company would likely be 'B+'
or lower due to:

   * the company's increased leverage;

   * deteriorated credit protection measures; and

   * limited free cash flow pro forma for the anticipated
     incremental debt service.

The resolution of Fitch's Rating Watch will be determined by:

   * an evaluation of the ultimate financing of the transaction;

   * overall mix of securities in the capital structure; and

   * the company's ability to generate free cash flow after the
     transaction closes.

Fitch believes debt levels will increase to US$8.5-$11.5
billion, assuming the private equity consortium contributes 35%-
50% of equity as is typical for LBO transactions within the
current market environment.

While the change of control put contained within the indenture
covering the existing senior unsecured notes is effective, Fitch
anticipates Freescale will tender for or repay the existing
US$850 million of senior unsecured notes and ultimately
refinance the current bank facility.

At that time, Fitch will withdraw ratings on these securities
and assign issue-specific and recovery ratings on the new debt
securities.

               About Freescale Semiconductor

Based in Austin, Texas, Freescale Semiconductor, Inc. (NYSE:FSL)
(NYSE:FSL.B) -- http://www.freescale.com/-- designs and
manufactures embedded semiconductors for the automotive,
consumer, industrial, networking and wireless markets.
Freescale became a publicly traded company in July 2004.  The
company has design, research and development, manufacturing or
sales operations in more than 30 countries, including Australia,
China, Hong Kong, India, Japan, Korea, Malaysia, Taiwan and
Singapore.


HONDAI ENGINEERING: Pays Preferential Dividend to Creditors
-----------------------------------------------------------
Hondai Engineering Pte Ltd, which is in liquidation, has paid
the first and final preferential dividend to its creditors on
September 18, 2006.

The company paid 71.060% to all admitted claims.

The Official Receiver can be reached at:
         The Official Receiver
         The URA C0entre (East Wing)
         45 Maxwell Road #06-11
         Singapore 069118


IPC ACQUISITION: Moody's Holds Junk Rating on Second Lien Debt
--------------------------------------------------------------
Moody's reported rating changes to four companies following a
refinement in the application of its new methodology for
assessing loss given default.  The agency has changed the loan
ratings and probability of default ratings on three companies
and has changed the PDR on one additional company.  All other
ratings, including corporate family ratings, are unaffected by
this change.

These ratings are changed:

   * Wesco Aircraft Hardware Corp.:

     -- First priority senior secured credit facilities to B1
        (LGD 3) from Ba3 (LGD 2);

     -- Corporate Probability of Default Rating to B2 from B3.

   * Stolle Machinery Company, LLC:

     -- First priority senior secured credit facilities to B1
        (LGD 3) from Ba3 (LGD 2);

     -- Corporate Probability of Default Rating to B2 from B3.

    * IPC Acquisition Corp.:

     -- First priority senior secured credit facilities to B1
        (LGD 3) from Ba3 (LGD 2);

     -- Corporate Probability of Default Rating to B2 from B3.

    * Persona Communications Corp.:

     -- Corporate Probability of Default Rating to B2 from B3.

These ratings are affirmed:

   * Wesco Aircraft Hardware Corp.:

     -- Corporate family rating at B2;

     -- Second lien credit facilities at Caa1 (LGD 5).

   * Stolle Machinery Company, LLC:

     -- Corporate family rating at B2;

     -- Second lien secured term loan at Caa1 (LGD 5).

   * IPC Acquisition Corp.:

     -- Corporate family rating at B2;

     -- Second lien credit facilities at Caa1 (LGD 5).

   * Persona Communications Corp.:

     -- Corporate family rating at B2;

     -- 1st lien senior secured credit facilities at Ba3
        (LGD 3);

     -- 2nd lien senior secured credit facilities at Caa1
        (LGD 5).

The ratings of all four companies were assigned between Sept. 6,
2006 and Sept. 16, 2006.  The changes were made as a result of
an adjustment to Moody's assumptions regarding expected loss
given default recovery rates at the family level.  The corporate
family ratings were affirmed as there were no changes to Moody's
opinion regarding the strength of the underlying credits.

                          About IPC

Headquartered in New York, IPC has over 800 employees in full-
service offices in London, Paris, Frankfurt, Milan, Toronto,
Hong Kong, Sydney, Tokyo, Chicago, San Francisco, Boston, nine
other major U.S. cities and Singapore.


LIANG HUAT: Updates Whitewash Waiver and Conversion Option
----------------------------------------------------------
On September 25, 2006, Liang Huat Aluminium Limited has given an
update on its Whitewash Waiver and Conversion Option.

The update states that in the event of the non-completion of
Investment Agreement, Liang Huat, under the Modified Scheme, has
the absolute discretion to implement the Modified Scheme
notwithstanding that the LHAI Scheme and the Modified Durabeau
Scheme are not implemented.  However, the implementation of the
Modified LHAI Scheme and the Modified Durabeau Scheme are
dependent on the implementation of the Modified Scheme.

In the event of the non-completion of Investment Agreement,
Maybank, a Scheme Creditor who currently holds more than 30% but
less than 50% of the voting rights in Liang Huat will acquire
more than 1% of the voting rights in Liang Huat in each of the
scenarios, which are:

  (i) where the Modified Schemes, are implemented;

(ii) the Modified Durabeau Scheme is not implemented but Liang
      decides to implement the Modified Scheme and the Modified
      LHAI Scheme;

(iii) the Modified LHAI Scheme is not implemented but Liang Huat
      decides to implement the Modified Scheme and the Modified
      Durabeau Scheme; or

(iv) the Modified LHAI Scheme and the Modified Durabeau Scheme
      are not implemented but Liang Huat decides to implement
      the Modified Scheme.

In this regard, Maybank and the parties acting in concert with
it will incur the mandatory obligation under rule 14 of the
Singapore Code on Take-Overs and Mergers to make a general offer
for the remaining shares in Liang Huat not held by Maybank and
the other parties acting in each of the 0scenarios.

Moreover, Maybank and the parties acting with it have obtained
the relevant whitewash waiver from the Securities Industry
Council on September 22, 2006.  As a result, Maybank and the
other parties will not be required to make a mandatory general
offer for the remaining Shares, which they do not own, following
the allotment and issuance of new Shares by Liang Huat to
Maybank in each of the scenarios subject to the conditions:

  (i) that majority of Liang Huat's independent shareholders
      present and voting at a general meeting, held before the
      Allotment, to waive their rights to receive a general
      offer from Maybank and the other parties to acquire all
      the issued shares in Laing Huat;

(ii) the Maybank Whitewash Resolution is separate from other
      resolutions;

(iii) Maybank and the other parties dependent of it to
      abstain from voting on the Maybank Whitewash Resolution;
      and

(iv) For the financial adviser appointed by Liang Huat to
      advise the Independent Shareholders on the Maybank
      Whitewash Resolution.

The conditions in the Maybank Whitewash Waiver granted by the
SIC will be fully set out in the circular to be dispatched in
due course by Liang Huat to its shareholders.  As previously
announced, MS Corporate Finance Pte Ltd was appointed as the
Independent Financial Adviser to advise the Independent
Shareholders on the proposed whitewash resolutions.

As the SIC has granted the Maybank Whitewash Waiver, one of the
conditions precedent as set out in the Modified Schemes has been
fulfilled.  Laing Huat is in the process of fulfilling the
remaining conditions precedent as set out in the Modified
Schemes and the Investment Agreement.

As previously posted by Liang Huat on August 10, 2006, in the
event of non-completion of the Investment Agreement, the
Investor and a co-investor, will be entitled to exercise the
Conversion Option pursuant to the Investment Agreement, and upon
the exercise, Liang Huat will allot and issue to the Investor
and the Co-Investor the Conversion Shares resulting in the
holding of 29.0% of Liang Huat's issued share capital.

However, the investor and Liang Huat have now agreed that in the
event of non-completion of the Investment Agreement, only the
investor will be entitled to exercise the Conversion Option
pursuant to the Investment Agreement.  The investor and Liang
Huat will amend the Investment Agreement accordingly to reflect
this intention.

                        About Liang Huat

Liang Huat Aluminium -- http://www.lianghuatgroup.com.sg/-- is
a vertically integrated, professionally run group of companies
focusing on producing high quality aluminum products and
processed glass for both the industrial and construction
industries.  It also supplies and installs aluminum and
processed glass for major commercial and residential projects
mainly in Singapore.  Liang Huat was the subject of a wind-up
petition filed by Lim Ah Siong trading as Lian Siong Aluminium &
Trading on August 26, 2004.  Presently, the company is
undergoing a financial restructuring exercise.  It is also
working a Scheme of Arrangement with its major creditor banks.


LINDETEVES-JACOBERG: Books' Closure Date Set on October 10
----------------------------------------------------------
Lindeteves-Jacoberg Limited refers to its release wherein it
proposed to undertake up to 248,056,294 new ordinary shares in
at an issue price of SGD0.12.

In an update, the company's Share Transfer Books and Register of
Members be closed at 5.00 p.m. on October 10, 2006.  This will
be done to determine the provisional allotments of Right Shares
to Shareholders whose registered addresses with the Central
Depository Limited "CDP" or the Company are in Singapore or who
have, at least five market days prior to the Books Closure Date.
This will be provided addresses in Singapore to CDP or the
Company, for the service of notices and documents under the
Rights Issue.

In order to avoid any violation in the securities legislation in
countries other than Singapore, the Rights Shares will not be
issued to Shareholders with registered addresses outside
Singapore.

Entitled Shareholders whose securities accounts with CDP
are credited at 5.00 p.m. on October 10, 2006, will be
provisionally allotted the Rights Shares on the basis of
their securities accounts with CDP.

Shareholders with credited shares with CDP and have registered
addresses outside Singapore, may notify CDP at 4 Shenton Way
#02-01 SGX Centre 2, Singapore 068807, or to the Company's share
registrar, Tricor Barbinder Share Registration Services at 8
Cross Street #11-00 PWC Building Singapore 048424.  Notifying
must be done at least five market days prior to the Books
Closure Date.


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

DOLE FOOD: Prod. Warning Cues S&P to Hold Ratings on Neg. Watch
---------------------------------------------------------------
Standard & Poor's Ratings Services' ratings for Westlake
Village, California-based Dole Food Co. Inc. remained on
CreditWatch with negative implications following the company's
announcement that consumers should dispose of Dole-branded
packaged fresh spinach products (including "Spinach," "Baby
Spinach," and "Spring Mix" names) stamped with a Best-If-Used-By
date of Aug. 17, through Oct. 1, 2006.  The warning follows an
outbreak of E. coli in several states that was believed to have
originated from spinach products.

"The ratings initially were placed on CreditWatch with negative
implications on Aug. 9, 2006, following materially weaker-than-
expected financial performance in the first half of fiscal 2006,
which typically represents a substantial portion of cash flow"
said Standard & Poor's credit analyst Alison Sullivan.

On Sept. 15, 2006, a voluntary recall was issued by Natural
Selection Foods LLC of packaged fresh spinach that the company
produced and packaged under 28 different brand names, including
Dole.  All spinach items under the Dole label were produced and
packaged by Natural Selection Foods.

As part of Standard & Poor's resolution of the CreditWatch
listing, the rating agency will monitor the investigation for
further developments and any impact on future pre-packaged salad
sales or damage to the Dole brand image.

Standard & Poor's also will review Dole's operating and
financial plans with management before resolving the CreditWatch
listing.

Dole has three canneries in Asia: two in Thailand and one in the
Philippines.


KRUNG THAI: Moody's Withdraws Ba1 Tier-1 Rating
-----------------------------------------------
Moody's Investors Service has withdrawn its Ba1 rating for Krung
Thai Bank Public Company Limited's Hybrid Tier-1 securities
originally planned to be issued via its Singapore branch.

The rating action reflects KTB's decision to stop the issue in
light of the political situation in Thailand.

Krung Thai Bank Public Company Limited -- http://www.ktb.co.th/
-- began its operation on March 14, 1966, through the merger of
business between the Agricultural Bank Limited and the
Provincial Bank Limited with the Ministry of Finance as its
major shareholder.

The Bank provides financial assistance to large and small
business, it also renders financial assistance to other state
enterprises, both business oriented and public utility types.
Currently the bank is operating 511 domestic and 12 foreign
branches and representative offices.

                          *     *     *

On May 30, 2006, The Troubled Company Reporter - Asia Pacific
reported that Moody's Investors Service has upgraded KTB's bank
financial strength rating to D- from E+.  Moody's previously
placed it at E+ on March 31, 2006.

Meanwhile Fitch Ratings, on July 10, 2006, upgraded the
individual rating of Krung Thai Bank Public Company Limited to
C/D from D.  Fitch assigned the previous rating on November last
year.


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
September 26-27, 2006
  American Bankruptcy Institute
    Airline Restructuring
      Helmsley Park Lane Hotel, New York, NY
        Telephone: 1-703-739-0800
          Web site: http://www.abiworld.org/

September 27, 2006
  Beard Audio Conferences
    BAPCPA One Year On: Hits and Misses in the New Code's
      Rookie Year
        Web site: http://www.beardaudioconferences.com/
          Telephone: 240-629-3300

October 5, 2006
  Turnaround Management Association - Australia
    UTS Fundamentals of Turnaround Management Australia
      Mecure Hotel - Haymarket
        Telephone: 0438-653-179
          e-mail: tma_aust@bigpond.net.au

October 11, 2006
  INSOL
    INSOL Lenders, Australia Technical Day
      Brisbane, Australia
        Web site: http://www.insol.org/

October 11-14, 2006
  Turnaround Management Association - Australia
    2006 Annual Convention
      JW Marriott Grande Lakes, Orlando, FL, USA
        e-mail: livaldi@turnaround.org

October 11, 2006
  Turnaround Management Association - Australia
    Professional Development Meeting Australia
      TBA
        Telephone: 0438-653-179
          e-mail: tma_aust@bigpond.net.au

October 12, 2006
  Insolvency Practitioners Association Of Australia
    IPAA National Conference 2006
      Stamford Plaza, Brisbane City,
        Queensland, Australia
          Telephone: 07-3367-0500
            e-mail: corinne.templeton@invigorate.com.au

October 12, 2006
  Turnaround Management Association - Australia
    UTS Fundamentals of Turnaround Managment Australia
      Melbourne, Australia
        Telephone: 0438-653-179
          e-mail: tma_aust@bigpond.net.au

October 19, 2006
  Beard Audio Conferences
    Surviving the Digital Deluge:
      Best Practices in e-Discovery and Records Management
        for Bankruptcy Practitioners and Litigators
          Telephone: 240-629-3300
            Web site: http://www.beardaudioconferences.com/

October 19, 2006
  Insolvency Practitioners Association Of Australia
    Study Group Meetings
      Chartered Accountants House, Sydney, Australia
        Telephone: 9416-2395
          e-mail: amanda_taylor@aapt.net.au

October 25, 2006
  Beard Audio Conferences
    Deepening Insolvency - Widening Controversy: Current Risks,
      Latest Decisions Review Risks, Examine Latest Decisions
        Affecting Directors, Advisors and Lenders of Troubled
          Companies
            Web site: http://www.beardaudioconferences.com/
              Telephone: 240-629-3300

October 31 - November 1, 2006
  International Women's Insolvency & Restructuring Confederation
    IWIRC Annual Conference
      San Francisco, CA, USA
        Web site: http://www.iwirc.com/

November 7-8, 2006
  International Monetary Fund and the Financial
    Supervisory Service
      Macroprudential Supervision: Challenges for Financial
        Supervisors
          Seoul, South Korea
            Telephone: 82-2-3771-5114
              Web site: http://www.fss.or.kr/

November 9-10, 2006
  Turnaround Management Association - Australia
    TMA Australia National Conference Australia
      TBA
        Telephone: 0438-653-179
          e-mail: tma_aust@bigpond.net.au

November 15, 2006
  LI TMA Formal Event
    TMA Australia National Conference
      Long Island, New York, USA
        Web site: http://www.turnaround.org/

November 16, 2006
  Insolvency Practitioners Association of Australia
    Study Group Meetings
      Chartered Accountants House, Sydney, Australia
        Telephone: 9416-2395
          e-mail: amanda_taylor@aapt.net.au

December 13, 2006
  Turnaround Management Association - Australia
    Christmas Function Australia
      GE Commercial Finance, George Street,
        Sydney, Australia
          Telephone: 0438-653-179
            e-mail: tma_aust@bigpond.net.au

February 2007
  American Bankruptcy Institute
    International Insolvency Symposium
      San Juan, Puerto Rico
         Telephone: 1-703-739-0800
           Web site: http://www.abiworld.org

March 27-31, 2007
  Turnaround Management Association - Australia
    2007 TMA Spring Conference
      Four Seasons Las Colinas, Dallas, TX, USA
        e-mail: livaldi@turnaround.org

April 11-15, 2007
  American Bankruptcy Institute
    ABI Annual Spring Meeting
      J.W. Marriott, Washington, DC, USA
        Telephone: 1-703-739-0800
          Web site: http://www.abiworld.org/

October 16-19, 2007
  Turnaround Management Association - Australia
    TMA 2007 Annual Convention
      Boston Marriott Copley Place, Boston, MA, USA
        e-mail: livaldi@turnaround.org

March 25-29, 2008
  Turnaround Management Association - Australia
    TMA Spring Conference
      Ritz Carlton Grande Lakes, Orlando, FL, USA
        e-mail: livaldi@turnaround.org

October 28-31, 2008
  Turnaround Management Association - Australia
    TMA 2008 Annual Convention
      New Orleans Marriott, New Orleans, LA, USA
        e-mail: livaldi@turnaround.org

October 5-9, 2009
  Turnaround Management Association - Australia
    TMA 2009 Annual Convention
      JW Marriott Desert Ridge, Phoenix, AZ, USA
        e-mail: livaldi@turnaround.org

October 4-8, 2010
  Turnaround Management Association - Australia
    TMA 2010 Annual Convention
      JW Marriot Grande Lakes, Orlando, FL, USA
        e-mail: livaldi@turnaround.org

Beard Audio Conferences
  Coming Changes in Small Business Bankruptcy
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Audio Conferences CD
  Beard Audio Conferences
    Distressed Real Estate under BAPCPA
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Changes to Cross-Border Insolvencies
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Healthcare Bankruptcy Reforms
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Calpine's Chapter 11 Filing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Changing Roles & Responsibilities of Creditors' Committees
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Validating Distressed Security Portfolios: Year-End Price
    Validation and Risk Assessment
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Employee Benefits and Executive Compensation
    under the New Code
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Dana's Chapter 11 Filing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Reverse Mergers-the New IPO?
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Fundamentals of Corporate Bankruptcy and Restructuring
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  High-Yield Opportunities in Distressed Investing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Privacy Rights, Protections & Pitfalls in Bankruptcy
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  When Tenants File -- A Landlord's BAPCPA Survival Guide
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Clash of the Titans -- Bankruptcy vs. IP Rights
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/


                            *********

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

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

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


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter - Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Nolie Christy Alaba, Valerie Udtuhan, Francis
James Chicano, Catherine Gutib, Tara Eliza Tecarro, Reiza
Dejito, Freya Natasha Fernandez, and Peter A. Chapman, Editors.

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

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

TCR-AP subscription rate is $575 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are $25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.


                 *** End of Transmission ***