TCRAP_Public/070116.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R  
  
                     A S I A   P A C I F I C  

           Tuesday, January 16, 2007, Vol. 10, No. 11

                            Headlines

A U S T R A L I A

AWB LIMITED: To Distribute Pool Payment to Farmers on Jan.  17
AWB LIMITED: J. McElveney is Sole Challenger for AWB Board Seat
BRYNEX PTY: To Declare First Dividend on February 14
CLELANDS COLD: Members Resolve to Wind Up Operations
E.G.J.S.D. PTY: Schedules Members' Final Meeting on Feb. 5

ENESCO GROUP: Files Chapter 11 to Effect Tinicum Sale
ENESCO GROUP: Case Summary & 30 Largest Unsecured Creditors
FIWIWBITBA PTY: Members Resolve to Wind Up Firm
GLOBAL COLOUR: Members Appoint Liquidators
HERITAGE PAINTS: To Declare First Interim Dividend on Feb. 14

PACIFIC MEAT: Placed Under Voluntary Liquidation
SEDGWICK NOBLE: Members Decide to Close Business
SEDGWICK SUPERANNUATION: Members Opt to Wind Up Operations
SUNSHINELINK PTY: Members to Receive Liquidator's Report
TAHA GAMING: Members' Final Meeting Slated for February 12

TAHAL ENTERPRISES: Liquidator McKern to Present Wind-Up Report
WILLIAM M. MERCER: Members Agree to Wind Up Operations


C H I N A   &   H O N G  K O N G

ALDWICK TEXTILE: Receives Wind-Up Order from Court
BENQ CORP: Investor Group Optimistic on Making Profit in 2008
CITIC PACIFIC: Shows Interest in Cape Lambert's Magnetite Proj.
EXTRASURE INSURANCE: Shareholders Appoint Liquidators
GREATER CHINA: Incurs US$207,829 Net Loss on Year Ended Sept.'06

GREAT FORTUNE: Court Issues Wind-Up Order
KAI SHING: Creditors Must Prove Claims by February 6
LUNG ELECTRONICS: Members & Creditors to Receive Wind-Up Report
MIRABAUD (FAR EAST): Members' Final Meeting Slated for Feb. 16
POSITIVE PSYCHOLOGY: Members Agree on Voluntary Wind-Up

SHENZHEN DEVELOPMENT: To Appoint New President
SINO HERITAGE: Members Decide to Close Business
TAKARA (HONG KONG): Creditors Must Prove Debts by February 5
WIN PROFIT: Enters Voluntary Wind-Up
WING TAT: Members Opt for Voluntary Liquidation

YMT OVERSEAS: Creditors' Proofs of Claim Due on January 26


I N D I A

BANK OF BARODA: RBI Authorizes Primary Dealership Business
BANK OF BARODA: Enters Into Infrastructure Deal with IIFC
BANK OF BARODA: To Consider Merger with Unit on Jan. 17 Meeting
BANK OF INDIA: To Consider December 2006 Results on Jan. 22
BHARAT PETROLEUM: To Declare Dividend of INR2.50 Per Share

BHARTI AIRTEL: To Consider December 2006 Results on Jan. 23
EXIDE TECHNOLOGIES: Wants More Time to Object to Claims
FEDERAL BANK: CRISIL Rates Enhanced Amount of CD Program
HDFC BANK: Earns INR2,133 Crore in December 2006 Quarter
IMAX CORP: Inks Multiplex Theatre Deal with Kerasotes ShowPlace

IMAX CORP: Signs Two-Theatre Deal with Zyacorp Entertainment
GENERAL MOTORS: Kirk Motors No Longer International Sales Rep


I N D O N E S I A

BANK NEGARA: To Conduct Rights Issue in First Semester of 2007
CORUS GROUP: Confirms Issuance of Ordinary Shares & Bonds
GARUDA INDONESIA: Rajawali Group Wants to Buy Stake
TELKOM INDONESIA: Sets Up New Subsidiary to Expand Business
TELKOM INDONESIA: Moves Shareholders' Meeting to February 28

WILLBROS GROUP: Appoints Gerald J. Maier to Board of Directors


J A P A N

ADVANCED MEDICAL: S&P Places BB- Corporate Credit Rating
ADVANCED MEDICAL: IntraLase Deal Cues Moody's Ratings Review
ADVANCED MEDICAL: Buying IntraLase for US$808 Million in Cash
JAPAN AIRLINES: To Raise JPY60 Billion in Loans to Redeem Bonds
MICRON TECHNOLOGY: S&P Lifts to BB- Rating on Good Performance

NIKKO CORDIAL: Freezes Investments to Fix Compliance Problems
SOLO CUP: Fitch Gives B- Issuer Default Rating
* Cost Reduction Drive Airlines' Credit Quality, Fitch Says


K O R E A

HYNIX SEMICONDUCTOR: Toshiba Files Another Infringement Suit
PHOTRONICS: Extends Employment of Asia Ops Pres. Until Oct. 28


M A L A Y S I A

ARMSTRONG WORLD: May Sell Tapijtfabriek to NPM Capital
EKRAN BERHAD: Updates on Loan Default Status as of December 2006
GEORGE TOWN: Fails to Submit Plan; Bursa Suspends Securities
KAI PENG: Appeals Bursa's Rejection of Plan Extension Request
MERGE ENERGY: Nine-month Revenue Up to MYR45.59 Million

MERGE ENERGY: Alliance Investment to Advise in Purchase Deal
MOL.COM BHD: Complies w/ Public Shareholding Spread Requirement
SILVERSTONE: Gets OK on Proposed Variation to Repayment Schemes
SILVERSTONE CORP: Posts MYR8.41-Mil. Net Loss for Sept. Quarter
SINORA INDUSTRIES: Plan Not Substantive, Bourse Says

SUNWAY INFRASTRUCTURE: Post MYR19-Mil. Net Loss in Sept. Quarter
TALAM CORPORATION: Updates Bursa on Europlus Merger
TALAM CORP: Provides Update on Default Status as of Nov. 2006
TAP RESOURCES: Second Quarter Net Loss Reaches MYR895,000
TAP RESOURCES: Unit Faces Wind-Up Petition


N E W   Z E A L A N D

AIR NEW ZEALAND: No Plans to Cut Fare Despite Fuel Price Drop
AIR NEW ZEALAND: Talks with Union on Ground Service Jobs' Future
CAPITAL CLEANING: Court Sets Liquidation Hearing on Jan. 23
CHECKMATE LTD: Court Sets Liquidation Hearing on Jan. 23
COUNTRY GARAGES: Shareholders Opt to Liquidate Business

DRAGON WORLD: CIR Seeks to Liquidate Company
DUNWEL CORP: Decides to Liquidate Business
GREYS AVENUE: Faces Liquidation Proceedings
KEISH HOLDINGS: Court to Hear Liquidation Petition on Jan. 25
L.T. ROBINSON: Liquidation Hearing Set on January 23

ORIGIN PACIFIC: Commences Liquidation Proceedings
PAX TRADING: Creditors Must Prove Debts by January 31


P H I L I P P I N E S

* RP's 2006 Budget Deficit Likely a Low PHP62-Billion
* NPL Ratio of RP's Universal and Commercial Banks Down to 6.96%


S I N G A P O R E

ADVANCED MICRO: Shares Drop 10% as Lower Prices Cut Profit
APBT MYANMAR: Pays Dividend to Creditors
AXS-ONE INC: AMEX Reviewing Plan of Compliance
CHELSEA INVESTMENTS: Court to Hear Wind-Up Petition on Jan. 19
EVERGREAT CONSTRUCTION: Creditors' Meeting Scheduled on Jan. 18

ONE PHILLIP: Creditors Must Prove Debts by Feb. 2
PETROLEO BRASILEIRO: Cidade do Rio Platform Goes Online
PETROLEO BRASILEIRO: Inks Lease Contract with Larsen Oil
PETROLEO BRASILEIRO: P-52 Oil Rig Construction Completed
REFCO INC: RCM Trustee Withdraws Objection to PlusFunds' Claims

REFCO INC: Wants West Loop's Claims Reduced
TRANS WORLD: Wind-Up Petition Hearing Slated for Jan. 19
VALEANT PHARMA: Closes Licensing Deal with Schering-Plough


T H A I L A N D

BANGKOK BANK: Mulls Expansion to India; Foreign Loan Rises
BANGKOK STEEL: Economic Intellect to Resign as Plan Supervisor
BANK OF AYUDHYA: Fitch Hikes Individual Rating to C/D
BANK OF AYUDHYA: Moody's Lifts Financial Strength Rating to D-
DAIMLERCHRYSLER: Reaction on BBC Report on Global Climate Change

DAIMLERCHRYSLER: Might Delay Releasing 2006 Financial Statements
TOTAL ACCESS: Fitch Keeps Long Term Foreign Default Rating at BB


* BOND PRICING: For the Week 8 January to 12 January 2006

     - - - - - - - -

=================
A U S T R A L I A
=================

AWB LIMITED: To Distribute Pool Payment to Farmers on Jan.  17
--------------------------------------------------------------
AWB Limited will make its fourth 2005/2006 National Pool
distribution payment to eligible growers on January 17, 2007, to
ensure timely cash flow support to drought-affected Australian
wheat farmers.  The distribution amounts to AU$693 million FOB
(GST exclusive).

The payment follows a pattern of good AWB export sales
performance through 2006 and active customer representations to
create the foundation for ongoing demand into the 2007 marketing
year.

Despite vigorous international competition, AWB has continued to
achieve healthy sales performance from its active marketing
programs and commitment to product quality.  An example is the
benefit secured for Australian growers after delivering more
than one million tonnes to become India's dominant international
supplier in 2006.

Following this fourth distribution payment there is
approximately AU$1,000 million equity on a Net basis to be paid
to growers in future 2005/2006 National Pool distributions, the
timing of which will be advised.

Growers can access details about AWB Distributions or view their
statements online.  Alternatively, they can contact the Grower
Service Centre on 1800 054 433 for more information.

                          About AWB

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

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

However, after auditing AWB's financial results for the fiscal
year ended September 30, 2006, Brett Kallio, a partner at Ernst
& Young, disclosed that there is inherent uncertainty
surrounding the consolidated entity with regard to matters
associated with the Federal Inquiry into certain Australian
companies in relation to the United Nations Oil-for-Food
Programme.

Mr. Kallio noted that there is uncertainty as to the nature of
the findings of the Oil-for-Food Inquiry and the resultant
impact, if any, on the company's financial position, financial
performance, cash flows and its operations arising directly or
indirectly from the Inquiry.

                          *     *     *

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

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

AWB's September 30, 2006, balance sheet showed total assets of
AU$5.65 billion and total liabilities of AU$4.52 billion
resulting to total shareholders' equity of AU$1.12 billion.


AWB LIMITED: J. McElveney is Sole Challenger for AWB Board Seat
---------------------------------------------------------------
In February, AWB Limited will hold its annual meeting.  Notices
of the meeting to be sent this week will reveal that only one
director, West Australia businessman Tony Howarth, will be
challenged, The Age reports.

The report says Mr. Howarth is one of the newest members of the
board.  He was appointed in March 2006, after the outbreak of
the Iraqi kickbacks scandal and subsequent Cole inquiry.

Deakin University management lecturer John McElveney is
challenging Mr. Howarth.

Mr. McElveney is expected to argue the board needs better
corporate governance, The Age notes.

                          About AWB

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

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

However, after auditing AWB's financial results for the fiscal
year ended September 30, 2006, Brett Kallio, a partner at Ernst
& Young, disclosed that there is inherent uncertainty
surrounding the consolidated entity with regard to matters
associated with the Federal Inquiry into certain Australian
companies in relation to the United Nations Oil-for-Food
Programme.

Mr. Kallio noted that there is uncertainty as to the nature of
the findings of the Oil-for-Food Inquiry and the resultant
impact, if any, on the company's financial position, financial
performance, cash flows and its operations arising directly or
indirectly from the Inquiry.

                          *     *     *

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

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

AWB's September 30, 2006, balance sheet showed total assets of
AU$5.65 billion and total liabilities of AU$4.52 billion
resulting to total shareholders' equity of AU$1.12 billion.


BRYNEX PTY: To Declare First Dividend on February 14
----------------------------------------------------
Brynex Pty Ltd, which is subject to a deed of company
arrangement, will declare a first interim dividend on Feb. 14,
2007.

Accordingly, creditors are required to prove their debts by
Jan. 30, or they will be excluded from the benefit of the
dividend.

The deed administrators can be reached at:

         B. R. Silvia
         A. J. Love
         Ferrier Hodgson
         Level 13, 225 George Street
         Sydney, New South Wales 2000
         Australia

                        About Brynex Pty

Brynex Pty Ltd -- trading as Amazing Paints; Amazing Paint
Discounts -- operates miscellaneous retail stores.

The company is located in New South Wales, Australia.


CLELANDS COLD: Members Resolve to Wind Up Operations
----------------------------------------------------
On Dec. 14, 2006, the members of Clelands Cold Storage and
Distribution Pty Ltd met and resolved to voluntarily wind up the
company's operations.

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

The Joint and Several Liquidators can be reached at:

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

                      About Clelands Cold

Clelands Cold Storage and Distribution Pty Ltd is a distributor
of retail goods.

The company is located in Victoria, Australia.


E.G.J.S.D. PTY: Schedules Members' Final Meeting on Feb. 5
----------------------------------------------------------
E.G.J.S.D. Pty Ltd, which is in liquidation, will hold a final
meeting for its members on Feb. 5, 2007, at 10:00 a.m., at the
offices of White & Grosso Pty Ltd.

During the meeting, the members will receive the liquidator's
final account and explanation of his report.

The liquidator can be reached at:

         Graeme Leslie White
         Chartered Accountant
         Level 11, 63 Exhibition Street
         Melbourne, Victoria 3000
         Australia

                       About E.G.J.S.D. Pty

E.G.J.S.D. Pty Ltd is an investor relation company.

The company is located in Tasmania, Australia.


ENESCO GROUP: Files Chapter 11 to Effect Tinicum Sale
-----------------------------------------------------
An affiliate of Tinicum Capital Partners II, L.P., a private
investment partnership, has agreed in principle to a financial
restructuring for Enesco Group, Inc.

As part of the restructuring, Enesco expects to enter into an
asset purchase agreement with Tinicum, which would provide for
an affiliate of Tinicum to purchase substantially all of the
assets of Enesco and to assume certain of Enesco's unsecured
liabilities.  

Under the agreement, the purchase price for Enesco's business,
operations and assets would be paid by the forgiveness of all or
substantially all of Enesco's senior secured debt.

After the transaction, substantially all of Enesco's assets
would be owned by the Tinicum affiliate, a private company.  
Enesco does not anticipate there would be any distribution to
its stockholders from the transaction.

In order to effect these transactions, Enesco and certain of its
domestic subsidiaries filed voluntary petitions for
reorganization relief under Chapter 11 of the U.S. Bankruptcy
Code in the U.S. Bankruptcy Court for the Northern District of
Illinois, Eastern Division, which is located in Chicago,
Illinois, on Jan. 12, 2007.
  
Each of the transactions is subject to the finalization and
execution of the definitive agreements and receipt of all
requisite bankruptcy court approvals.

"We are very pleased to have a financial and strategic partner
in Tinicum who shares our vision for Enesco," Basil Elliott,
Enesco President and CEO, said.  "Tinicum is well versed with
the demands and needs of our particular industry.  With their
expertise and resources, we believe Tinicum will help Enesco
bring our customers the highest quality products and customer
service that they and the marketplace require."

"We are delighted to be associated with Enesco," Terence M.
O'Toole, co-managing partner of Tinicum said.  "The company has
a long established tradition of excellence and we are excited to
be part of its continued growth.  We applaud the support and
loyalty of Enesco's extraordinary employees, customers,
suppliers and artists and we look forward to working with them."

                       About Enesco Group

Headquartered in Itasca, Illinois, Enesco Group, Inc. ---
http://www.enesco.com/-- is a producer of giftware, and home  
and garden d,cor products.  Enesco's product lines include some
of the world's most recognizable brands, including Disney,
Heartwood Creek, Nickelodeon, Cherished Teddies, Lilliput Lane,
Border Fine Arts, among others.

Enesco distributes products to a wide array of specialty gift
retailers, home d,cor boutiques and direct mail retailers, as
well as mass-market chains.  The company serves markets
operating in Europe, Australia, Mexico, Asia and the Pacific
Rim.  With subsidiaries in Europe, Canada and a business unit in
Hong Kong, Enesco's international distribution network leads the
industry.

                          Credit Default

As reported in the Troubled Company Reporter on Aug. 15, 2006,
Enesco is continuing to aggressively pursue long-term debt
financing.  Enesco previously had agreed to obtain a commitment
for long-term financing by Aug. 7, 2006.  Because Enesco has not
obtained a commitment, the company is in default of its current
credit facility agreement.

Enesco is working with the lenders for possible additional loans
or terms and conditions, but has been advised that the lenders
are not committing to waive the default.


ENESCO GROUP: Case Summary & 30 Largest Unsecured Creditors
-----------------------------------------------------------
Lead Debtor: Enesco Group Inc.
             225 Windsor Drive
             Itasca, IL 60143

Bankruptcy Case No.: 07-00565

Debtor affiliates filing separate chapter 11 petitions:

      Entity                                     Case No.
      ------                                     --------
      Enesco International Ltd.                  07-00571
      Gregg Manufacturing, Inc.                  07-00574

Type of Business: The Debtors design, manufacture, and sells
                  licensed and proprietary branded giftware and
                  home and garden d,cor products to a variety of
                  specialty gift, home d,cor, mass market, and
                  direct mail retailers.  Product lines include
                  some of the world's recognizable brands
                  including Heartwood Creek(TM) by Jim Shore,
                  Foundations(R), Pooh & Friends(R), Walt Disney
                  Classics Collections(R), Disney Traditions(R),
                  Disney(R), Border Fine Arts(TM), Cherished
                  Teddies(R), Halcyon Days(R), and Lilliput
                  Lane(TM), among others.  Products include
                  diverse lines of accent furniture, wall decor,
                  garden accessories, frames, desk accessories,
                  figurines, cottages, musicals, music boxes,
                  ornaments, waterballs, tableware, general home
                  accessories, and resin figures.

                  The company serves markets operating in
                  Europe, Australia, Mexico, Asia and the
                  Pacific Rim.  The company has subsidiaries in
                  Europe, Canada and a business unit in Hong
                  Kong.  See http://www.enesco.com/

Chapter 11 Petition Date: January 12, 2007

Court: Northern District of Illinois (Chicago)

Judge: A. Benjamin Goldgar

Debtors' Counsel: Brian L Shaw, Esq.
                  Shaw Gussis Fishman Glantz Wolfson & Tow
                  321 N Clark Street, Suite 800
                  Chicago, IL 60610
                  Tel: (312) 541-0151
                  Fax: (312) 980-3888

                       -- and --

                  Skadden, Arps, Slate, Meagher & Flom LLP
                  333 West Wacker Drive
                  Chicago, IL 60606-1285

Consolidated Financial Condition as of Nov. 30, 2006:

   Total Assets: US$155,350,698

   Total Debts:  US$107,903,518

Consolidated List of Debtors' 30 Largest Unsecured Creditors:

   Entity                        Nature of Claim   Claim Amount
   ------                        ---------------   ------------
Internal Revenue Service         Tax               US$5,400,000
Ogden, UT 84201-0012

UPS Supply Chain Solutions(SM)   Trade Debt        US$1,260,916
P.O. Box 226717
Dallas, TX 75222-6717
Fax: (913) 469-8824

Jim Shore Designs, Inc.          License Fees      US$1,147,509
426 N. Main Street
Health Springs, SC 29058
Fax: (866) 665-0069

National Distribution Centers    Trade Debt          US$870,866
P.O. Box 827600
Philadelphia, PA 19182-7600

United Parcel Service            Trade Debt          US$834,104
Lockbox 577
Carol Stream, IL 60132-0577
Fax: (630) 851-7571

Citic Global Logistics Ltd.      Trade Debt          US$610,581
11854 South Alameda Street
Lynwood, CA 90262
Fax: (310) 638-3790

Churchward Ltd.                  Trade Debt          US$371,336
68/6 Moo 1
Salaya
Puthamonthon
Nadompathom, Thailand

WBE Industries Co. Ltd.          Trade Debt          US$338,267
17 Lane 99
Pei Yuan Street
Tainan, Taiwan
Fax: 86-752-367929

Victradco (H.K.) Limited         Trade Debt          US$337,738
Suites 828-831, Ocean Center
5 Canton Road, Tsim Sha Tsui
Kowloon, Tsinshatsui, Hong Kong
Fax: 866-2-2721-5845

China Innovation Co. Ltd.        Trade               US$311,177
No. 16 Chuang YI Road
Long Hua Town, Baoan District
ShenZhen, GuangDong
China

Disney Enterprises Inc.          License Fees        US$310,068
File 55988
Los Angeles, CA 90074-5988
Fax: (818) 553-7210

Seagull Decor Co. Ltd.           Trade Debt          US$308,771
13F No. 167, Sec. 5
Ming Sheng E. Road
Taipei, Thailand
Fax: 886-2-2765-4174

Mesirow Financial                Professional        US$288,130
Consulting LLC                   Services
350 N. Clark Street
Chicago, IL 60610
Fax: (312) 595-4246

KPMG LLP                         Professional        US$258,000
Department 0970                  Services
P.O. Box 120001
Dallas, TX 75312-0970
Fax: (214) 840-2297

Faith Cartage Inc.               Trade               US$231,313
7401 South 78th Avenue
Bridgeview, IL 60455
Fax: (708) 458-4197

Vedder Price                     Professional        US$196,733
Kaufman & Kammholz, P.C.         Services
222 North LaSalle Street
Chicago, IL 60601-1003
Fax: (312) 609-5005

Illinois Department of Revenue   Tax                 US$151,118

Maritz                           Trade Debt          US$149,250

Blue Cross Blue                  Insurance Plan      US$128,811
Shield of Illinois

Tukaiz Litho Inc.                Trade Debt          US$121,822

City Forum Enterprises Ltd.      Trade Debt            
US$121,281

Phoenix International            Trade Debt          US$112,856
Freight Service

Federal Express                  Trade Debt          US$108,592

Oracle USA                       Trade Debt          US$107,323

Deloitte Touche                  Professional        US$106,000
                                 Services

Taiwan Merchant (HK) Co.         Trade Debt           US$88,758

American Express                 Trade Debt           US$87,097

Priscilla Hillman 888            License Fees         US$81,787

Hild Studios Inc.                Trade Debt           US$81,034

SGS Testing Company Inc.         Trade Debt           US$60,146


FIWIWBITBA PTY: Members Resolve to Wind Up Firm
-----------------------------------------------
The members of Fiwiwbitba Pty Ltd met on Dec. 14, 2006, and
resolved to voluntarily wind up the company's operations

In this regard, Samuel Richwol was appointed as liquidator.

The Liquidator can be reached at:

         Samuel Richwol
         O'Keeffe Walton Richwol
         431 Burke Road, Glen Iris 3146
         Australia
         Telephone:(03) 9822 9823

                      About Fiwiwbitba Pty

Fiwiwbitba Pty Ltd -- trading South Side Special Project;
Turning Point Imports -- operates Children's and Infants' Wear
Stores.

The company is located in Victoria, Australia.


GLOBAL COLOUR: Members Appoint Liquidators
------------------------------------------
On Dec. 15, 2006, the members of Global Colour Solutions Pty Ltd
appointed Paul Burness and Matthew Jess as liquidators.

The Liquidators can be reached at:

         Paul Burness
         Matthew Jess
         Registered Liquidators
         Worrells
         Level 5 15 Queen Street
         Melbourne, Victoria 3000
         Australia
         Telephone:(03) 9613 5511
         Facsimile:(03) 9614 3233
         Website: http://www.worrells.net.au

                      About Global Colour

Global Colour Solutions Pty Ltd is a distributor of paint,
varnishes, and supplies.

The company is located in Victoria, Australia.


HERITAGE PAINTS: To Declare First Interim Dividend on Feb. 14
-------------------------------------------------------------
Heritage Paints Pty Ltd, which is subject to a deed of company
arrangement, will declare a first interim dividend on Feb. 14,
2007.

Creditors, who cannot formally prove their debts by Jan. 30,
will be excluded from sharing in the distribution.

The deed administrators can be reached at:

         B. R. Silvia
         A. J. Love
         Ferrier Hodgson
         Level 13, 225 George Street
         Sydney, New South Wales 2000
         Australia

                      About Heritage Paints

Heritage Paints Pty Ltd manages unit investment trusts, face-
amount certificate offices, and closed-end management investment
offices.

The company is located in New South Wales, Australia.


PACIFIC MEAT: Placed Under Voluntary Liquidation
------------------------------------------------
At an extraordinary general meeting held on Dec. 14, 2006, the
members of Pacific Meat Packers Pty Ltd resolved to voluntarily
liquidate the company's business and appointed Nicholas Martin
as liquidator.

Consequently, creditors are required to submit their proofs of
claim by Jan. 30, 2007.

The Liquidator can be reached at:

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

                       About Pacific Meat

Pacific Meat Packers Pty Ltd is a distributor of meats and meat
products.

The company is located in Victoria, Australia.


SEDGWICK NOBLE: Members Decide to Close Business
------------------------------------------------
On Dec. 14, 2006, the members of Sedgwick Noble Lowndes
Trusteeship Services Ltd decided to close the company's business
and appointed Richard Mansell as liquidator.

Accordingly, creditors are required to lodge their claims by
Jan. 19, 2007, for them to share in any distribution the company
will make.

Mr. Mansell can be reached at:

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

                      About Sedgwick Noble

Sedgwick Noble Lowndes Trusteeship Services Ltd manages trusts
-- except educational, religious, and charitable trusts.

The company is located in Victoria, Australia.


SEDGWICK SUPERANNUATION: Members Opt to Wind Up Operations
----------------------------------------------------------
At a general meeting held on Dec. 14, 2006, the members of
Sedgwick Superannuation Pty Ltd agreed to voluntarily wind up
the company's operations and named Richared Mansell as
liquidator.

Accordingly, the company notes that the due date for filing
proofs of claims is on Jan. 19, 2007.

The Liquidator can be reached at:

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

                 About Sedgwick Superannuation

Sedgwick Superannuation Pty Ltd is an insurance carrier.

The company is located in Victoria, Australia.


SUNSHINELINK PTY: Members to Receive Liquidator's Report
--------------------------------------------------------
A final meeting of the members of Sunshinelink Pty Ltd, which is
in voluntary liquidation, will be held on Feb. 12, 2007, at
10:00 a.m.

At the meeting, the members will receive Liquidator Robyn
Beverley McKern's report of the company's wind-up proceedings
and property disposal exercises.

The Liquidator can be reached at:

         Robyn Beverley Mckern
         McGrathNicol+Partners
         Level 8, IBM Centre 60 City Road
         Southbank, Victoria 3006
         Australia
         Telephone:(03) 9038 3137
         Website: http://www.mcgrathnicol.com

                     About Sunshinelink Pty

Sunshinelink Pty Ltd manages unit investment trusts, face-amount
certificate offices, and closed-end management investment
offices.

The company is located in New South Wales, Australia.


TAHA GAMING: Members' Final Meeting Slated for February 12
----------------------------------------------------------
A final meeting of the members of Taha Gaming Services Pty Ltd -
- which is in voluntary liquidation -- will be held on Feb. 12,
2007, at 10:00 a.m., to consider the liquidator's account of the
company's wind-up proceedings.

The liquidator can be reached at:

         Robyn Beverley Mckern
         McGrathNicol+Partners
         Level 8, IBM Centre 60 City Road
         Southbank, Victoria 3006
         Australia
         Telephone:(03) 9038 3137
         Web site: http://www.mcgrathnicol.com

                       About Taha Gaming

Taha Gaming Services Pty Ltd provides amusement and recreation
services.

The company is located in Victoria, Australia.


TAHAL ENTERPRISES: Liquidator McKern to Present Wind-Up Report
--------------------------------------------------------------
Tahal Enterprises Pty Ltd, which is in voluntary liquidation,
will hold a final meeting for its members on Feb. 12, 2007, at
10:00 a.m.

During the meeting, Liquidator Robyn Beverley McKern will
present a report on the company's wind up and property disposal
exercises.

The Liquidator can be reached at:

         Robyn Beverley Mckern
         McGrathNicol+Partners
         Level 8, IBM Centre 60 City Road
         Southbank, Victoria 3006
         Australia
         Telephone:(03) 9038 3137
         Website: http://www.mcgrathnicol.com

                     About Tahal Enterprises

Tahal Enterprises Pty Ltd manages unit investment trusts, face-
amount certificate offices, and closed-end management investment
offices.

The company is located in Victoria, Australia.


WILLIAM M. MERCER: Members Agree to Wind Up Operations
------------------------------------------------------
At a general meeting held on Dec. 14, 2006, the members of
William M. Mercer (Aust) Ltd agreed to voluntarily wind up the
company's operations and appointed Richard Mansell as
liquidator.

Consequently, creditors are required to filed their proofs of
claim by Jan. 19, 2007, to share in the company's assets
distribution.

The Liquidator can be reached at:

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

                     About William M Mercer

William M Mercer (Aust) Ltd provides management-consulting
services.

The company is located in New South Wales, Australia.


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

ALDWICK TEXTILE: Receives Wind-Up Order from Court
--------------------------------------------------
On Dec. 27, 2006, the High Court of Hong Kong issued a wind-up
order for Aldwick Textile Exports Ltd.

The Troubled Company Reporter - Asia Pacific previously reported
that Plexus Cotton Ltd filed the petition with the Court on
Nov. 1, 2006.

                     About Aldwick Textile

Aldwick Textile Exports Ltd is a distributor of piece goods,
notions, and other dry goods.

The company is located in Yuen Long, NT, Hong Kong.


BENQ CORP: Investor Group Optimistic on Making Profit in 2008
-------------------------------------------------------------
BenQ Mobile GmbH & Co. OHG, the bankrupt German unit of Taiwan-
based BenQ Corp., may post a profit next year, Focus magazine
reports citing a proposal put forward by a group of investors in
talks of buying the business.

In a Troubled Company Reporter-Europe report on Jan. 15, Gilbert
Amelio, a former chairman of Apple Computer Inc., and Hansjorg
Beha, a former Daimler-Benz executive, are part of a consortium
of U.S.-German investors interested in acquiring BenQ Mobile.

The magazine states that Messrs. Amelio and Beha would aim to
hit break-even for the mobile company this year and report a
EUR10 million profit in 2008.  The managers are optimistic BenQ
Mobile could double its mobile phone production to 8 million
units by 2008, Focus relates.

The parties are continuing talks on the purchase price and
financing.

Frankfurter Allgemeine Zeitung earlier reported that the group
is suggesting that BenQ Mobile specialize in the production of a
limited number of expensive, high-quality mobile phones.  Mr.
Prager, however, believes that there is little chance the
group's offer will succeed because of its incomplete financing
concept, the daily relates.

Unnamed sources told German news magazine Spiegel that the
investor group is seeking:

   -- up to EUR100 million in state-backed credit lines;

   -- compensation for employing 800 BenQ Mobile employees, who
      have since been transferred to a temporary organization
      funded by Siemens and the Federal Employment Agency; and

   -- rights to BenQ Corp.'s brand names.

                        Other Bidders

As previously reported in the TCR-Europe, German laptop computer
company Bacoc is also in talks with BenQ Mobile over its plans
to acquire the company's business.

Bacoc, which eyes a two-third reduction of BenQ's work force,
plans to retain BenQ's facility in Kamp-Lintfort in North Rhine-
Westphalia and close down the central office in Munich.  It is
targeting sales of 4.5 million units in 2007.

On the other hand, Sentex Sensing Technologies has revealed
plans to acquire BenQ Mobile to the firm's creditors.  Sentex
disclosed that it has received a written statement of Nord Rhein
Westfahlen again on a country endorsement for working capital of
EUR25 million, which was forwarded to the Bank for approval.

Sentex is in serious discussions with several Financial
Institutions for the strategic financing for the deal to
succeed.

                          About BenQ

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

BenQ Mobile GmbH & Co., the company's wholly owned subsidiary,
operates from Munich, Germany.  BenQ Mobile filed for insolvency
in Germany on Sept. 29, after BenQ Corp.'s board decided to
discontinue capital injection into the mobile unit in order to
stem unsustainable losses.  The collapse follows a year after
Siemens sold the company to Taiwanese technology group BenQ.

BenQ Mobile has lost market share against giant competitors.

More than 3,000 manufacturing workers have been affected in the
company's insolvency proceedings after it disclosed of plans to
reduce two-thirds of its work force.  The mobile unit took over
a factory in Kamp Lintfort in western Germany from Siemens,
which cost Siemens more than US$1 billion.  Under the agreement,
BenQ will have the right to use the Siemens brand for five
years.  Siemens owns a 2.5 percent stake in BenQ Corp.

                        *     *     *

As reported in the TCR-AP on Oct. 31, Taiwan Ratings Corp.
affirmed its twBB+/twB corporate credit ratings and twBB+
unsecured corporate bond issue rating on BenQ Corp.  The outlook
on the long-term rating is negative.  At the same time, Taiwan
Ratings removed all ratings from Credit Watch with negative
implications, where they were placed on March 14, 2006, and
withdrew all the ratings upon the company's request.


CITIC PACIFIC: Shows Interest in Cape Lambert's Magnetite Proj.
--------------------------------------------------------------
CITIC Pacific has joined the queue of international groups
casting its eyes over Cape Lambert Iron's namesake magnetite
project on the Pilbara coast, The Sydney Morning Herald reports.

Cape Lambert chairman Ian Burston confirmed that they would meet
with the Chinese firm to discuss the massive project.

Mr. Burston however said that it's too early to comment on the
nature of Citic's interest.

On Jan. 9, 2007, the Troubled Company Reporter - Asia Pacific
reported that Citic is also pushing ahead with its plans for a
US$2.5 billion Cape Preston iron ore project in the Pilbara.

Its deal with Cape Preston further stipulates that Citic has
options to acquire the mining rights for another five billion
tonnes of magnetite.

Meanwhile, The Sydney Herald relates that Citic is the third
major Chinese group eyeing the project, joining specialist
pipemaker Xingxing Iron Pipes and Beijing-controlled SinoSteel
as prospective partners.

Details of Citic's interest remain scant, though it is possible
the company believes there is potential to establish two
separate mining operations linked by an 80km slurry pipeline,
the paper says.

The move, according to the paper, would eliminate the need for
two separate ports, as well as provide distinct sources of
magnetite ore for blending purposes and give Citic unmatched
command of magnetite resources in the Pilbara.

The Sydney Herald recounts that Cape Lambert has previously
indicated it is in no hurry to lock in any deal with a major
partner until it has better understanding of the true potential
of its massive resource, thereby allowing it to extract a better
deal for its shareholders.

                          *    *    *

Based in Hong Kong, CITIC Pacific Ltd --
http://www.citicpacific.com/-- is engaged in a range of  
businesses in China and Hong Kong, including steel
manufacturing, property development and investment, power
generation, aviation, infrastructure, communications and
distribution.  It is 29% indirectly owned by China International
Trust & Investment Corporation.

On June 28, 2006, The Troubled Company Reporter - Asia Pacific
reported that Standard & Poor's Ratings Services lowered its
long-term corporate credit rating on CITIC Pacific Ltd to BB+
from BBB-.  At the same time, it removed the rating from
CreditWatch, where it had been placed with negative implications
on April 7, 2006.  The outlook is stable.

In addition, the TCR-AP also reported that Moody's Investors
Service on June 16, 2006, assigned a Ba1 corporate family rating
to CITIC Pacific Ltd and has withdrawn its Baa3 issuer rating.  
The senior unsecured rating for CITIC Pacific Finance (2001)
Ltd's bond is downgraded to Ba1 from Baa3.  The rating outlook
is stable.  This concludes the review initiated by the rating
agency in April 2006.


EXTRASURE INSURANCE: Shareholders Appoint Liquidators
-----------------------------------------------------
On Dec. 29, 2006, the shareholders of Extrasure Insurance
Services (International) Ltd passed a special resolution to
appoint Ying Hing Chiu and Chung Miu Yin Diana as the company's
joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Ying Hing Chiu
         Chung Miu Yin, Diana
         Level 28, Three Pacific Place
         1 Queen's Road East
         Hong Kong


GREATER CHINA: Incurs US$207,829 Net Loss on Year Ended Sept.'06
----------------------------------------------------------------
Greater China Media and Entertainment Corp posted US$207,829 net
loss in the fiscal year ended September 31, 2006, as compared
with US$33,682 net loss in fiscal year ended Sept. 2005.

As of end-Sept. 2006, the company's balance sheet showed
strained liquidity with US$55,631 in current assets available to
pay US$181,267 in total current liabilities.

The company's current assets and its current liabilities were
also its total assets and liabilities as of end-Sept. 2006.  
Shareholders' deficit in the company reached US$125,636.

After auditing the company's financial statement for the year
ended Sept. 2006, Michael Studer raised substantial doubt on the
company's ability to continue as a going concern.

The company also noted that no dividends on outstanding common
stock have ever been paid.  It currently has no plans regarding
payment of dividends in the foreseeable future.

                          *     *     *

Greater China Media Entertainment Corp was incorporated in the
State of Nevada on December 15, 2004.  It is currently based in
Beijing, China.

On August 9, 2006, the Company changed its name from AGA
Resources, Inc. to Greater China Media and Entertainment Corp.,
which will be more consistent with its proposed business
activities in the media and entertainment industries in China.

On July 29, 2006, the Company announced the appointment of Jake
Wei as Chairman of the Board of Directors, and the appointment
of John Hui, a director of the Registrant, to the position of
Vice Chairman of the Board of Directors.


GREAT FORTUNE: Court Issues Wind-Up Order
-----------------------------------------
On Dec. 27, 2006, the High Court of Hong Kong issued a wind-up
order against Great Fortune Trading Ltd.

According to the Troubled Company Reporter - Asia Pacific, the
Hong Kong and Shanghai Banking Corp filed the wind-up petition
against the company on Oct. 31, 2006.


KAI SHING: Creditors Must Prove Claims by February 6
----------------------------------------------------
Creditors of Kai Shing Chemicals Ltd are required to prove their
claims by Feb. 6, 2007, for them to share in any distribution
the company will make.

As reported by the Troubled Company Reporter - Asia Pacific, the
company's members appointed Malcolm Andrew Bleach as the
company's liquidator on Dec. 22, 2006.

The Liquidator can be reached at:

         Malcolm Andrew Bleach
         Rooms 1501-3, Far East Consortium Building
         121 Des Voeux Road Central
         Hong Kong


LUNG ELECTRONICS: Members & Creditors to Receive Wind-Up Report
---------------------------------------------------------------
The members and creditors of Lung Electronics (HK) Ltd will meet
on Feb. 8, 2007, at 10:00 a.m. and 10:30 a.m., respectively, to
receive the liquidator's report on how the company was wound up
during the year-ended Nov. 8, 2006.

The Troubled Company Reporter - Asia Pacific previously reported
that the company's creditors met on Feb. 8, 2006, for their
annual meeting.

The liquidator can be reached at:

         Au-Yeung Sin Ming Cindy
         1-3, 10/F., Kwan Chart Tower
         6 Tonnochy Road, Wanchai
         Hong Kong


MIRABAUD (FAR EAST): Members' Final Meeting Slated for Feb. 16
--------------------------------------------------------------
The final meeting of the members of Mirabaud (Far East) Ltd will
be held on Feb. 16, 2007, at 9:30 a.m., to consider the
liquidator's account on the company's wind-up proceedings.

According to the Troubled Company Reporter - Asia Pacific, the
company's shareholders appointed Seng and Susan Y H Lo as joint
and several liquidators.

The Joint and Several Liquidator can be reached at:

         Lau Mui Sum
         Rm. 1621-33, 16/F
         Sun Hung Kai Centre
         30 Harbour Road
         Hong Kong


POSITIVE PSYCHOLOGY: Members Agree on Voluntary Wind-Up
-------------------------------------------------------
The members of Positive Psychology Power Ltd met on Jan. 2,
2007, and agreed to voluntarily wind up the company's
operations.

Accordingly, Cheng Chi Man was appointed as liquidator and was
authorized to distribute the company's assets.

The Liquidator can be reached at:

         Cheng Chi Man
         Room 1001, 10/F Tai Yau Building
         181 Johnston Road, Wanchai
         Hong Kong


SHENZHEN DEVELOPMENT: To Appoint New President
----------------------------------------------
Shenzhen Development Bank Co Ltd will soon announce the
appointment of a new president, Forbes says citing a report from
the China Business Times.

The China Business Times, quoting an unknown source said that
the bank may appoint Xiao Suining, the president of Bank of
Communications, Shenzhen branch as its new president.

As reported by the Troubled Company Reporter - Asia Pacific on
Feb. 16, 2006, Jeffrey Williams, the bank's former president,
has tendered his resignation as president effective February 11,
2006.

His resignation is part of the bank's management reshuffle, the
TCR-AP said.

The bank's chairman, Frank Newman has temporarily stepped in to
handle the president's functions, Forbes says.

Chinese regulations do not permit a bank's presidency and chair
to be held by a single person except in extraordinary
situations, and a spell at president by a bank's chairman can
only take place for a limited period, Forbes notes.

                          *     *     *

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

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


SINO HERITAGE: Members Decide to Close Business
-----------------------------------------------
At an extraordinary general meeting held on Dec. 29, 2006, the
members of Sino Heritage Ltd decided to close its business and
appointed Lau Mui Sum as liquidator.

Accordingly, Mr. Lau was authorized to divide the company's
assets.

The Liquidator can be reached at:

         Lau Mui Sum
         Rm. 1621-33, 16/F
         Sun Hung Kai Centre
         30 Harbour Road
         Hong Kong


TAKARA (HONG KONG): Creditors Must Prove Debts by February 5
------------------------------------------------------------
Creditors of Takara (Hong Kong) Company Ltd, which is in
members' voluntary liquidation, are required to prove their
debts by
Feb. 5, 2007.

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

The liquidators can be reached at:

         Thomas Andrew Corkhill
         Iain Ferguson Bruce
         8/F, Gloucester Tower, The Landmark
         15 Queen's Road Central
         Hong Kong


WIN PROFIT: Enters Voluntary Wind-Up
------------------------------------
At an extraordinary general meeting held on Jan. 12, 2007, the
shareholders of Win Profit Investment Development Co. Ltd passed
a special resolution to voluntarily wind up the company's
operations.

In this regard, Lee Chi Keung was appointed as liquidator and
was authorized to divide the company's assets.

The Liquidator can be reached at:

         Lee Chi Keung
         21/F, Fee Tat Commercial Centre
         No. 613 Nathan Road, Kowloon
         Hong Kong


WING TAT: Members Opt for Voluntary Liquidation
-----------------------------------------------
On Jan. 5, 2007, the members of Wing Tat Industrial Company Ltd
passed a special resolution to voluntarily liquidate the
company's business and appointed Lee Kwok On Alexander as
liquidator.

The Liquidator can be reached at:

         Lee Kwok On, Alexander
         Rooms 1901-2, Park-In Commercial Centre
         56 Dundas Street, Kowloon
         Hong Kong


YMT OVERSEAS: Creditors' Proofs of Claim Due on January 26
----------------------------------------------------------
Liquidator Chang Ching Hsin requires the creditors of YMT
Overseas Ltd to submit their proofs of claim by Jan. 26, 2007.

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

The Liquidator can be reached at:

         Chang Ching Hsin
         Room 707, Wing On Plaza
         62 Mody Road, Tsimshatsui East
         Kowloon, Hong Kong

                       About YMT Overseas

YMT Overseas Ltd is a distributor of festival items & party
favors.

The company is located in Kowloon, Hong Kong.


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

BANK OF BARODA: RBI Authorizes Primary Dealership Business
----------------------------------------------------------
The Reserve Bank of India authorized Bank of Baroda to undertake
the Primary Dealer business in government securities as a
department of the bank, effective Jan. 16, 2007.

In that regard, the bank will take over the PD business of its
wholly owned subsidiary BOB Capital Markets Ltd.

RBI had announced in its Annual Policy Statement for the year
2005-06 that the permitted structure of PD business would be
expanded to include banks, which fulfill certain minimum
eligibility criteria.  Accordingly, RBI issued guidelines on
Feb. 27, 2006, addressed to all Scheduled Commercial Banks on
eligibility criteria for banks to undertake the business.

Headquartered in Mumbai, India, Bank of Baroda --
http://www.bankofbaroda.com/-- is a provider of banking   
services in India.  The company's solutions includes personal
banking, which includes deposits, retail loans, credit cards,
debit card, lockers and other services; business banking, which
comprises working capital, term finance and traders loans;
corporate banking, which includes cash management and
remittances, multi-city cheques, appraisals and merchant
banking; international business, which includes import finance,
international treasury, export finance, correspondent banking
and other solutions; treasury banking, which comprises domestic
operations and forex operations, and rural banking, which
includes retail loan, small businesses and small scale
industries.

Fitch Ratings, on June 1, 2005, gave Bank of Baroda an
individual rating of C/D.


BANK OF BARODA: Enters Into Infrastructure Deal with IIFC
---------------------------------------------------------
Bank of Baroda and India Infrastructure Finance Company Ltd
entered into a Memorandum of Understanding on Jan. 10, 2007, to
enhance the provision of financing and other banking products
and services to the infrastructure development sector.

Both parties will cooperate in joint pooling of complimentary
resources and expertise of both the organizations in debt
financing to enable quicker financial closure for infrastructure
projects in the area such as Power Generation and Distribution,
Road and Bridges, Telecommunication, Ports, Technology Parks
etc.

The Areas of cooperation will include:

   -- creating a deal flow of infrastructure projects for IIFC;

   -- credit appraisal;

   -- syndication of funds; and

   -- co-financing.

The parties also agreed to work together to enable extension of
non-fund exposure in the form of letters of credit, bank
guarantees etc.  Under the deal, Bank of Baroda will also
provide additional banking facilities to IIFC including cash
management, treasury services and corporate accounts.

Headquartered in Mumbai, India, Bank of Baroda --
http://www.bankofbaroda.com/-- is a provider of banking   
services in India.  The company's solutions includes personal
banking, which includes deposits, retail loans, credit cards,
debit card, lockers and other services; business banking, which
comprises working capital, term finance and traders loans;
corporate banking, which includes cash management and
remittances, multi-city cheques, appraisals and merchant
banking; international business, which includes import finance,
international treasury, export finance, correspondent banking
and other solutions; treasury banking, which comprises domestic
operations and forex operations, and rural banking, which
includes retail loan, small businesses and small scale
industries.

Fitch Ratings, on June 1, 2005, gave Bank of Baroda an
individual rating of C/D.


BANK OF BARODA: To Consider Merger with Unit on Jan. 17 Meeting
---------------------------------------------------------------
Bank of Baroda will hold separate meetings for the members and
secured and unsecured creditors of subsidiary BOB Housing
Finance Ltd on Jan. 17, 2006, the bank discloses in a filing
with the Bombay Stock Exchange.

The purpose of the meeting is to consider, and if thought fit,
approve the merger embodied in the Scheme of Amalgamation
proposed by BOB Housing with the Bank.

The meeting was set pursuant to the order of the Honorable High
Court of Judicature at Jaipur.

Headquartered in Mumbai, India, Bank of Baroda --
http://www.bankofbaroda.com/-- is a provider of banking   
services in India.  The company's solutions includes personal
banking, which includes deposits, retail loans, credit cards,
debit card, lockers and other services; business banking, which
comprises working capital, term finance and traders loans;
corporate banking, which includes cash management and
remittances, multi-city cheques, appraisals and merchant
banking; international business, which includes import finance,
international treasury, export finance, correspondent banking
and other solutions; treasury banking, which comprises domestic
operations and forex operations, and rural banking, which
includes retail loan, small businesses and small scale
industries.

Fitch Ratings, on June 1, 2005, gave Bank of Baroda an
individual rating of C/D.


BANK OF INDIA: To Consider December 2006 Results on Jan. 22
-----------------------------------------------------------
The Bank of India's board of directors will hold a meeting on
Jan. 22, 2007, the bank informs the Bombay Stock Exchange in a
regulatory filing.  During the meeting, the board will, among
others, consider and approve the bank's reviewed financial
results for the quarter ended Dec. 31, 2006.

As previously reported in the Troubled Company Reporter - Asia
Pacific, the bank posted a net profit of INR2.121 billion for
the quarter ended Sept. 30, 2006.

Bank of India -- http://www.bankofindia.com/-- has 2,628   
branches spread over all states/union territories in India,
including 93 specialized branches.  The bank provides a range of
financial products and services, including numerous credit
schemes, deposit schemes, cash management services, credit/debit
cards, deposit vaults and corporate bonds.  It also extends
finance to small and medium enterprises and small-scale
industries.  It provides a variety of loans, such as mortgage
loans, educational loans, auto finance loans, holiday loans,
personal loans and home loans.  The bank offers Internet banking
services for both the retail and corporate clients.

The bank also operates in the Cayman Islands, China, the Channel
Islands, France, Hong Kong, Indonesia, Japan, Kenya, Singapore,
the United Kingdom, the United States, and Vietnam.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Sept. 11, 2006, that Standard & Poor's Ratings Services
assigned its BB- rating to Bank of India's (BoI; BB+/Positive/B)
proposed upper Tier II subordinated and hybrid Tier I notes
under its US$1 billion MTN program.

At the same time, Standard & Poor's raised its rating on the
proposed subordinated notes, or lower Tier II notes, under the
MTN program to BB from BB-.

S&P had earlier given Bank of India both BB+ long-term local and
foreign issuer credit ratings, and B ratings on its short-term
foreign and local issuer credit.


BHARAT PETROLEUM: To Declare Dividend of INR2.50 Per Share
----------------------------------------------------------
Bharat Petroleum Corporation Ltd's members agreed to the
company's declaration of dividend at the rate of INR2.50 per
fully paid up equity share of INR10 each, on fully paid-up
equity shares for the year ended March 31, 2006.

The members gave their nod at the company's 53rd Annual General
Meeting held on Dec. 18.

During the AGM, the members also accorded:

   -- the adoption of the Directors' Report, the Report on the
      Corporate Governance, the Audited Profit & Loss Account
      for the year ended March 31, 2006, and the Balance Sheet
      as at that date along with the reports of the Statutory
      Auditors and the comments of the Comptroller & Auditors
      General of India, as presented to the members;

   -- the reappointment of V D Gupta, P C Sen and Prof. A H
      Kalro as Bharat Petroleum directors;

   -- the approval of fixing of remuneration of the Single/Joint
      Statutory Auditors to be appointed by the C&AG be paid to
      the Single firm of Statutory Auditors or to be shared
      equally by the Joint Statutory Auditors, in case of
      appointment of Joint firms of Statutory Auditors by the
      C&AG, for the year 2006-07 and for subsequent years, until
      further recommendation for increase in the remuneration is
      approved; and

   -- appointment of P K Sinha, S K Joshi and R K Singh as
      directors.

Headquartered in Maharashtra, India, Bharat Petroleum
Corporation Limited -- http://www.bharatpetroleum.com/-- is  
engaged in refining and marketing petroleum, liquefied petroleum
gas and petrochemical products including middle distillates,
light distillate, lubricants, benzene and toluene.  During the
year 2002, the Group introduced Petro Card and SmartFleet Card
and had around 700,000 customers enrolled in 28 cities.  There
are 4,711 retail outlets and 1,729 LPG distributors that operate
in the country.  The plants of the Group are located in Mahul
and Mallet Road in Mumbai and in Budge.

Bharat Petroleum is currently working to reverse its losses
resulting from the Government's mandate to sell kerosene,
liquefied petroleum gas, petrol and diesel way below market
rates.

On September 23, 2005, the Company delisted its shares from the
Madras Stock Exchange Ltd, Calcutta Stock Exchange Association
Ltd and Delhi Stock Exchange Association Ltd.  In November 2005,
Bharat Petroleum's November 2004 profits dissipated and the
Company registered a INR203-crore (US$45.7 million) net loss.
By the end of the third quarter ending December 31, 2005, the
Company posted a US$231-million net loss.

In January 2006, Bharat Petroleum entered into a merger with
Koichi Refineries Ltd, which shareholders for both companies
accepted.  Even with its expansion moves, Bharat Petroleum has
decided to put aside a US$1.4-million expansion project due to
losses brought about by oil subsidies, as the Company -- and the
entire industry -- suffered huge losses and has difficulty
implementing expansion activities due to the Government's
refusal to allow oil companies to raise fuel prices despite
global crude oil price crossing US$70 a barrel.

On February 20, 2006, the Petroleum Ministry proposed an
increase of INR3 per liter each in petrol and diesel prices and
INR20 per cylinder increase in liquefied petroleum gas price to
save the oil companies from going bankrupt.


BHARTI AIRTEL: To Consider December 2006 Results on Jan. 23
-----------------------------------------------------------
Bharti Airtel Ltd informs the Bombay Stock Exchange that a
meeting of its committee of board of directors will be held on
Jan. 23, 2007.  The Committee will, among others, consider and
take on record the company's Audited Financial Results for the
third quarter and nine months ended Dec. 31, 2006.

As previously reported by the Troubled Company Reporter - Asia
Pacific, Bharti Airtel posted a net profit after tax of
INR8.884 billion for the quarter ended Sept. 30, 2006, an
increase from the INR5.004 billion recorded for the Sept. 2005
quarter.

Headquartered in New Delhi, India, Bharti Airtel Limited --
http://www.bhartiairtel.in/-- is a telecom services provider.    
The company has three business units: Mobile Services, Broadband
& Telephone Services (B&TS) and Enterprise Services.  The Mobile
Services business unit offers mobile services in all 23 telecom
circles of India.  The B&TS business unit provides broadband and
telephone services in 90 cities across India.  The Enterprise
Services business unit has two sub-units: Carriers (long-
distance services) and Corporates.  Through Enterprise Services-
Carriers, Bharti Airtel provides national and international
long-distance services.  The Enterprise Services-Corporates
business unit provides integrated voice and data communications
solutions to corporate customers and small and medium-size
enterprises.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
June 28, 2006, that Fitch Ratings has affirmed Bharti Airtel
Limited's long-term foreign currency issuer default rating at
BB+.  The outlook on the rating remains stable.

Additionally, Standard and Poor's Rating Service gave the
company's long-term local and foreign issuer credit BB+
ratings on September 21, 2005.


EXIDE TECHNOLOGIES: Wants More Time to Object to Claims
-------------------------------------------------------
Reorganized Exide Technologies and its affiliates ask the United
States Bankruptcy Court for the District of Delaware to extend
their deadline to object to various proofs of claim through and
including April 30, 2007, without prejudice to their rights to
seek additional extensions.

Scotta E. McFarland, Esq., at Pachulski Stang Ziehl Young Jones
& Weintraub LLP, in Wilmington, Delaware, tells the Court that
more than 6,000 proofs of claim have been filed in Exide
Technologies and its debtor-affiliates' Chapter 11 cases
totaling approximately US$4,400,000,000.

Ms. McFarland relates that through the efforts of the
Reorganized Debtors, the Postconfirmation Committee of Unsecured
Creditors and each of their professionals, about 5,750 claims
have been reviewed, reconciled, and resolved, thus reducing the
total amount of outstanding claims by more than
US$2,900,000,000.

Ms. McFarland adds that the Reorganized Debtors have completed
10 quarterly distributions to creditors under the confirmed Plan
of Reorganization, consisting of distributions on 2,200 claims
totaling US$1,600,000,000.

However, Ms. McFarland notes that despite the substantial
progress, the Reorganized Debtors need more time to review and
resolve the remaining 390 claims.

Ms. McFarland asserts that the extension will allow the
Reorganized Debtors and the Postconfirmation Creditors Committee
more time to continue evaluating the claims filed against the
estate, prepare and file additional objections, and consensually
resolve those claims.

The Court will convene a hearing on Jan. 18, 2007, at 11:00
a.m., to consider the Debtors' request.  By application of
Del.Bankr.LR 9006-2, the Debtors' Claims Objection Deadline is
automatically extended through the conclusion of that hearing.

Headquartered in Princeton, New Jersey, Exide
Technologies(NASDAQ: XIDE) -- http://www.exide.com/--  
manufactures and distributes lead acid batteries and other
related electricalenergy storage products.  The Company filed
for chapter 11protection on Apr. 14, 2002 (Bankr. Del. Case No.
02-11125).Matthew N. Kleiman, Esq., and Kirk A. Kennedy, Esq.,
at Kirkland & Ellis, represented the Debtors in their successful
restructuring.  Exide's confirmed chapter 11 Plan took effect on
May 5, 2004.  The company has operations in Norway, India and
ItalyExide's long-term foreign and local issuer credit both
carries Standard and Poors' CCC rating.

The company's long-term corporate family rating and senior
unsecured debt both carries Moody's Caa1 rating, while its bank
loan debt carries a B1 rating.

                        Going Concern Doubt

PricewaterhouseCoopers LLP expressed substantial doubt about
Exide Technologies' ability to continue as a going concern after
auditing the Company's financial statements for the fiscal years
ended March 31, 2006, and 2005.  The auditing firm pointed to
the company's recurring losses and negative cash flows from
operations.  The auditing firm also said that, given the
company's past financial performance in comparison to its
budgets and forecasts, there is no assurance the Company will be
able to meet the budgets and forecasts and be in compliance
throughMarch 31, 2007, with one or more of the debt covenants of
its Senior Secured Credit Facility.


FEDERAL BANK: CRISIL Rates Enhanced Amount of CD Program
--------------------------------------------------------
Credit Rating Information Services of India Ltd assigns these
ratings on The Federal Bank Limited's debt instruments:

   INR30 Billion Certificate of Deposit
   programme (Enhanced from INR20 Billion)             P1+

   Short-Term Fixed Deposit                            P1+  
   Programme                                     (Reaffirmed)

CRISIL'S reaffirmed ratings on Federal Bank's debt instruments
reflect the bank's healthy earnings profile, strong franchise in
Kerala and among non-resident Indians, and adequate
capitalisation levels.  These rating strengths are tempered by
the bank's stressed asset quality and geographical concentration
in Kerala.  The pressures on its liquidity profile, which
Federal Bank had earlier faced, are expected to be mitigated by
the control mechanisms that the bank has now put in place.

Federal Bank's strong earnings profile is marked by a healthy
net profitability margin (based on a year-end average) of 1.9%
in 2005-06 (refers to financial year, April 1 to March 31).  
Federal Bank's strong customer base includes cash-rich NRIs from
Kerala.

The bank generates approximately 30% of its total deposits from
international customers; and 80% of these deposits are from the
Middle-East region.  Federal Bank also remits deposits from NRIs
to their families in Kerala, thus adding to its core fee income.

Federal Bank's Tier I capital base has increased significantly
from 6.4% as on March 31, 2005, to 9.7% as on March 31, 2006.  
This is primarily on account of its global depository receipt
issue in January 2006, through which it raised about
INR3.50 billion, and enhanced internal accruals for 2005-06.

Historically, Federal Bank's portfolio has been characterised by
weaker than average asset quality.  This is due largely to
lending to entities with average credit quality.  The bank's
gross non-performing assets, at 4.6% as on March 31, 2006,
remain higher than the banking system average of 3.3%.  Nearly
70% of Federal Bank's branches, 61% of its deposits, and 47% of
its advances are concentrated in Kerala.  This exposes the bank
to the vagaries of regional economic and social conditions.

Federal Bank had faced pressures on its asset liability maturity
profile in 2005-06; this was the result of bulk borrowings
falling due on a single day.  However, the bank has now deployed
control mechanisms to resolve this issue; these include
staggering the maturity of its certificates of deposit so that
large amounts do not mature on a single day.  CRISIL expects
Federal Bank to further resolve liquidity pressures by accessing
the call, repo, and collateralised lending and borrowing market
or CDs, if required.

                          About the Bank

Federal Bank is a mid-sized, private sector bank headquartered
in Aluva, Kerala.  It had a deposit base of INR182.8 billion and
outstanding advances of INR127.1 billion as of Sept. 30, 2006.
Federal Bank reported a profit after tax of INR 1096.4 million
on a total income (net of interest charges) of INR9.7 billion
for the half year, ended Sept. 30, 2006.

                          *     *     *

Headquartered in Aluva, India, the Federal Bank Limited --
http://www.federal-bank.com/-- is engaged in the banking  
business, offering a number of deposit products to its retail
customers, including non-resident Indians, such as savings bank
account, current deposits, time deposits and recurring deposits
with suitable variations for customized products targeting
different groups, including students, salaried employees and
senior citizens.

Fitch Ratings gave Federal Bank a support rating of 5 on
July 22, 2003.


HDFC BANK: Earns INR2,133 Crore in December 2006 Quarter
--------------------------------------------------------
The Board of Directors of HDFC Bank Limited approved the Bank's
accounts for the quarter and nine months ended December 31, 2006
at its meeting held on Thursday, January 11, 2007.  The accounts
have been subjected to a limited review by the Bank's statutory
auditors.

                        Financial Results

Quarter Ended December 31, 2006

For the quarter ended December 31, 2006, the Bank earned total
income of INR2,132.6 crores as against INR1,475.9 crores in the
corresponding quarter ended December 31, 2005.  Net revenues
(net interest income plus other income) for the quarter ended
December 31, 2006, were INR1,301.9 crores, an increase of 34.7%
over INR966.7 crores for the corresponding quarter of the
previous year.

Interest earned (net of loan origination costs) increased by
49.1% from INR1,179.8 crores for the quarter ended December 31,
2005, to INR1,759.3 crores for the quarter ended December 31,
2006.  Net interest income (interest earned less interest
expended) for the quarter ended December 31, 2006, increased by
38.5% to INR928.6 crores driven by average asset growth of 31.6%
and improvement in net interest margin to just over 4%.

Other income (non-interest revenue) for the quarter ended
December 31, 2006 increased by 26.1% to INR373.3 crores, from
INR296.1 crores for the corresponding quarter of the previous
year.  Its principal component was fees and commissions
contributing INR331.4 crores for the quarter ended December
31, 2006, as against INR275.4 crores for the corresponding
quarter ended December 31, 2005.

The other two components of other income were foreign
exchange/derivatives revenues of INR63.0 crores and
profit/(loss) on revaluation/sale of investments of (INR21.1)
crores as against INR20.1 crores and (INR0.6) crores
respectively, for the quarter ended December 31, 2005.

Operating (non-interest) expenses for the quarter increased by
INR155.9 crores to INR605.0 crores and were 46.5% of net
revenues.  Provisions and contingencies for the quarter were
INR401.3 crores (against INR293.2 crores for the corresponding
quarter ended December 31, 2005), principally comprising of
specific provision for non performing assets and general
provision for standard assets of INR192.9 crores and
amortization of premia (for investments in the Held to Maturity
category) of INR60.4 crores.

After providing INR134.9 crores for taxation, the Bank earned a
Net Profit of INR295.6 crores, an increase of 31.7% over the
quarter ended December 31, 2005.

Total balance sheet size increased by 32.5% from INR67,623
crores as of December 31, 2005 to INR89,608 crores as of
December 31, 2006.  Total deposits were INR66,749 crores, an
increase of 30.4% from December 31, 2005.

With savings account deposits of INR19,238 crores and current
account deposits at INR17,433 crores, the CASA mix was healthy
at around 54.9% of total deposits as at December 31, 2006, as
against 53.1% as at December 31, 2005.

Net advances as at December 31, 2006 were INR48,201 crores, an
increase of 32.8% over December 31, 2005, with gross retail
loans now forming 52% of gross advances.  The Bank's customer
assets (including advances, corporate debentures, investments in
securitised paper, etc.) net of loans securitized and
participated out increased to INR53,898 crores as of December
31, 2006, from INR42,538 crores as of December 31, 2005.

Nine Months Ended December 31, 2006

For the nine months ended December 31, 2006, the Bank earned
total income of INR6,021.1 crores as against INR3,916.7 crores
in the corresponding period of the previous year.  Net revenues
(net interest income plus other income) for the nine months
ended December 31, 2006 were INR3,713.7 crores, up by 41.4%
over INR2,626.3 crores for the nine months ended December 31,
2005.  Net Profit for the nine months ended December 31, 2006
was INR797.9 crores, up by 31.3%, over the corresponding nine
months ended December 31, 2005.

                         Business Update

As of December 31, 2006, the Bank's distribution network had
expanded to 583 branches and 1,471 ATMs in 263 cities from 535
branches and 1,326 ATMs in 228 cities as of December 31, 2005.
As of December 2006 the number of debit cards issued by the bank
touched 4 million while credit cards issued crossed the 2.75
million mark.

Portfolio quality as of December 31, 2006, remained healthy with
net non-performing assets at 0.4% of total customer assets.

Capital Adequacy Ratio was 12.8% against the regulatory minimum
of 9%.  Tier I CAR was at 8.4%.  During the quarter ended
December 31, 2006, the Bank has raised INR479 crores of
subordinated debt qualifying as Upper Tier II capital
(including US$100 million in foreign currency).

                          *     *     *

A full-text copy of HDFC Bank's unaudited financial results for
the quarter and nine months ended Dec. 31, 2006, is available
for free at:

  
http://www.hdfcbank.com/common/pdf/corporate/reporting%20format_
dec06.pdf

                          About HDFC Bank

Headquartered in Mumbai, India, HDFC Bank Limited --
http://www.hdfcbank.com/-- is a private sector bank that offers  
a range of commercial and transactional banking services and
treasury products to wholesale and retail customers.  The bank
operates in three segments: retail banking, wholesale banking
and treasury services.  The retail banking segment serves retail
customers through a branch network and other delivery channels.
The wholesale banking segment provides loans and transaction
services to corporate and institutional customers.  The treasury
services segment undertakes trading operations on the
proprietary account, foreign exchange operations and derivatives
trading.

Fitch Ratings, on June 1, 2005, gave HDFC Bank a 'C' individual
rating.


IMAX CORP: Inks Multiplex Theatre Deal with Kerasotes ShowPlace
---------------------------------------------------------------
IMAX Corp. and Kerasotes ShowPlace Theatres disclosed an
agreement to install an IMAX theatre in the exhibitor's flagship
location, the ShowPlace 16 in Indianapolis, Indiana.  Expected
to open in 2007, the new IMAX theatre will utilize IMAX MPX
technology and take advantage of Hollywood movies that have been
digitally re-mastered into the unparalleled image and sound
quality of The IMAX Experience.  Kerasotes ShowPlace Theatres
currently operates 81 theatres with 685 screens in the USA.
With this agreement, IMAX now has partnerships with seven of the
top ten exhibitors in North America.

"IMAX theatres offer a unique and immersive cinematic experience
that cannot be replicated at home or in any other type of
theatre," said Tony Kerasotes, Chairman and CEO of Kerasotes
ShowPlace Theatres.  "The attractive economics of IMAX's MPX
theatre system will enable us to cost-effectively enter the IMAX
theatre business and offer our customers Hollywood's biggest
titles in an exciting, premium format.  We look forward to
opening our first IMAX theatre in 2007 and hope to expand with
more locations in the future."

"We are delighted to enter into a new partnership with one of
North America's leading, well-respected and innovative
exhibitors," said IMAX co-Chairmen and co-CEOs Richard L.
Gelfond and Bradley J. Wechsler.

"Kerasotes ShowPlace Theatres is a welcome addition to the
family of IMAX exhibitors, and we are excited to build on this
relationship as we continue to implement our domestic growth
strategy."

The new IMAX theatre will feature IMAX MPX technology. The IMAX
MPX theatre system was designed specifically to enable multiplex
operators to more cost effectively enter into the IMAX theatre
business, either by retrofitting an existing stadium-seating
auditorium or via an economical new build.  The new IMAX theatre
will be capable of playing Hollywood event films that have been
digitally re-mastered into the unparalleled image and sound
quality of The IMAX Experience, as well as original IMAX
productions in 2D and IMAX 3D.

                    About Kerasotes Theatres

Kerasotes ShowPlace Theatres, LLC is the sixth largest motion
picture exhibitor in the U.S.  Founded in 1909, the company grew
from a single storefront nickelodeon to one of the industry's
premier companies. Based in Chicago, Kerasotes ShowPlace
Theatres is managed by third generation family, Tony and Dean
Kerasotes, who have directed the company's aggressive growth
since 1985. Currently, the company operates 81 theatres with 685
screens.

                         About IMAX Corp.

IMAX Corporation - http://www.imax.com-- is an entertainment  
technology company specializing in large-format and three-
dimensional (3D) film presentations. The company's principal
business is the design, manufacture, sale and lease of
projection systems based on technology for large-format, 15-
perforation film frame, 70-mm format (15/70-format) theaters,
including commercial theaters, museums and science centers, and
destination entertainment sites.  IMAX has locations in India
and Italy, among others.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
December 21, 2006, Moody's Investors Service affirmed the B3
corporate family rating for IMAX Corp., as well as the Caa1
rating on its senior notes.  Moody's said the outlook remains
stable.


IMAX CORP: Signs Two-Theatre Deal with Zyacorp Entertainment
------------------------------------------------------------
IMAX Corp. and Zyacorp Entertainment's Cinemagic entered into an
agreement to install two IMAX theatres as part of new
multiplexes.  Zyacorp Entertainment's first IMAX theatre is
scheduled to open in Hooksett, New Hampshire, in 2007.  A second
location in Southern Maine is expected to install in 2008.  The
new IMAX theatres will utilize IMAX MPX technology.  

"More consumers are making trips to the multiplex to experience
Hollywood movies in IMAX's immersive format," said Mark T. Adam,
President of the Zyacorp Companies.  "This trend, combined with
the attractive economics of the IMAX MPX theatre system, gives
us a compelling reason to enter into the IMAX theatre business
-- especially when increasingly sophisticated home theatre
systems are keeping people at home more often.  With a cinematic
experience that cannot be replicated at home or in any other
type of theatre, IMAX theatres give multiplexes a point of
differentiation -- and that is part of what keeps the turnstiles
moving in the right direction."

"The strong IMAX box office performance this holiday season has
generated exhibitor interest in North America," said IMAX
co-Chairmen and co-CEOs Richard L. Gelfond and Bradley J.
Wechsler.  "Our new partnership with Zyacorp, the fastest
growing exhibitor in Northern New England, increases the
momentum of our domestic expansion, which is fueled by
exhibitors' desire to deliver a unique moviegoing experience."

"Zyacorp Entertainment's Cinemagic is the only exhibitor in
Maine and New Hampshire to have entered the IMAX theatre
business," added Larry T. O'Reilly, IMAX's Executive Vice
President, Theatre Development.  "We look forward to working
with them to captivate a whole new market with The IMAX
Experience."

The new IMAX theatres will feature an IMAX MPX system.  The IMAX
MPX theatre system was designed specifically to enable multiplex
operators to more cost effectively enter into the IMAX theatre
business, either by retrofitting an existing stadium-seating
auditorium or via an economical new build.  The new IMAX
theatres will be capable of playing Hollywood event films that
have been digitally re-mastered into the unparalleled image and
sound quality of The IMAX Experience, as well as original IMAX
productions in 2D and IMAX 3D.

                         About IMAX Corp.

IMAX Corporation - http://www.imax.com-- is an entertainment  
technology company specializing in large-format and three-
dimensional (3D) film presentations. The company's principal
business is the design, manufacture, sale and lease of
projection systems based on technology for large-format, 15-
perforation film frame, 70-mm format (15/70-format) theaters,
including commercial theaters, museums and science centers, and
destination entertainment sites.  IMAX has locations in India
and Italy, among others.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
December 21, 2006, Moody's Investors Service affirmed the B3
corporate family rating for IMAX Corp., as well as the Caa1
rating on its senior notes.  Moody's said the outlook remains
stable.


GENERAL MOTORS: Kirk Motors No Longer International Sales Rep
-------------------------------------------------------------
Kirk Motors general manager Carl Gordon told Caymanian Compass
that the firm's contract as the exclusive sales and service
representative of General Motors International Sales, a Cayman
Islands-based firm that handles inventory and logistics for
General Motors dealerships across the Caribbean and Latin
America, has ended.

Caymanian Compass relates that the 33-year contract ended on
Dec. 31, 2006.

Mr. Gordon told Caymanian Compass that the contract was
terminated by mutual agreement.

According to the report, Kirk Motors will continue to sell its
inventory of General Motors vehicles.  However, the firm will no
longer be taking new shipments.

Caymanian Compass underscores that General Motors International
conducted an open bidding process to select Cayman's new General
Motors products dealer.  

The new General Motors dealership contract will be a far more
modern and comprehensive one showing the many changes that have
occurred in the automotive sector over the past 33 years,
Caymanian Compass says, citing General Motors International
president and managing director Nicolas Wsevolojskoy.

Mr. Wsevolojskoy told Caymanian Compass, "We are absolutely not
excluding Kirk from the bidding process, indeed we welcome their
submission, but it was time to make some necessary changes that
meet the needs of 21st Century customers.  We have a number of
very strong candidates we are currently looking at."

Caymanian Compass underscores that a decision on the contract is
expected in about a month.

Meanwhile, Advance Automotive, a Mazda dealership and a general
service center specializing in all vehicle types, signed a one-
year contract as the Cayman's new authorized General Motors
service provider.  The company will be responsible for honoring
all warranties and service for General Motors vehicles bought at
Kirk Motors, Caymanian Compass notes.  

Mr. Wsevolojskoy told Caymanian Compass that the firm chose
Advance Automotive due to a pre-existing relationship.

According to Caymanian Compass, Advance Automotive
proprietor/director Charles Markman has provided service for
Kirk Motors for the past 10 years.

Mr. Wsevolojskoy told Caymanian Compass, "With the quality
leadership of Charles Markman, Advance has proven itself to be
just the kind of business we were looking for to provide our
customers with an attractive, impeccably maintained location and
an unparalleled level of professionalism and service."

"We are happy with this development as I think the hard work and
dedication of our staff is the reason for this great news.  We
are already expanding our existing 15-member team, and this is a
truly exciting development for our business and we know we will
be able to offer the service GM (General Motors) clients have
come to expect," Mr. Markman commented to Caymanian Compass.


General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- the    
world's largest automaker, has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 317,000
people around the world.  It has manufacturing operations in 32
countries, including India, and its vehicles are sold in 200
countries.

                          *     *     *

Standard & Poor's Ratings Services, on Dec. 13, 2006, affirmed
its 'B' corporate credit rating and other ratings on General
Motors Corp. and removed them from CreditWatch with negative
implications, where they were placed on March 29, 2006.

As reported in the Troubled Company Reporter - Asia Pacific on
Nov. 16, 2006, Moody's Investors Service assigned a Ba3, LGD1,
9% rating to the proposed US$1.5 Billion secured term loan.  The
term loan is expected to be secured by a first priority
perfected security interest in all of the US machinery and
equipment, and special tools of GM and Saturn Corporation.


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

BANK NEGARA: To Conduct Rights Issue in First Semester of 2007
--------------------------------------------------------------
Bank Negara Indonesia plans to conduct a rights issue in the
first semester of 2007, Antara News reports.

The report cites Bank Negara's corporate secretary, Intan Abdams
Katoppo, as saying that the bank has been studying the
implementation of the proposed corporate action.

Meanwhile, a letter issued on December 19, 2006, by the State
Ministry of State Enterprises regarding the Government's plan on
a divestment in Bank Negara, stated that the bank has been
included in the annual state enterprises privatization program
for 2007.

Mr. Katoppo said that a follow-up to the proposed divestment
program has yet to wait for information and clarification from
the State Minister for State Enterprises, the report notes.

Headquartered in Jakarta, Indonesia, PT Bank Negara Indonesia
(Persero) Tbk -- http://www.bni.co.id/-- is a financial  
institution with products and services that include: Individual,
Business, Syariah, Micro Banking, and Online Feature.  The Bank
has approximately 700 correspondent banks, 914 local branches
and five oversea branches located in New York, London, Tokyo,
Hong Kong and Singapore.  The bank has five subsidiaries: PT BNI
Multi Finance, a financial services company; PT BNI Securities,
a securities company; PT BNI Life Insurance, an insurance
provider; PT BNI Nomura Jafco Manajemen Ventura, a venture
capital company, and PT BNJI Ventura Satu, a venture capital
company.

As reported in the Troubled Company Reporter - Asia Pacific on
May 22, 2006, Moody's Investors Service has lifted Bank Negara
Indonesia's senior debt rating to B1 from B2, and long-term
deposit rating to B2 from B3.  The revised ratings carry a
stable outlook.  Bank Negara's short-term deposit rating of Not-
Prime, and bank financial strength rating of E are unaffected.

A subsequent TCR-AP report on July 17, 2006, said that Standard
& Poor's Ratings Services revised the outlook on the local
currency counterparty credit rating on Bank Negara to stable
from positive.  At the same time, Standard & Poor's affirmed its
foreign and local currency ratings on BNI (B+/Stable/B).

Another TCR-AP report on December 15, 2006, stated that Fitch
Ratings affirmed Bank Negara's:

   -- Long-term foreign currency Issuer Default rating at 'BB-';

   -- Long-term local currency Issuer Default rating at 'BB-';

   -- Short-term foreign currency rating at 'B';

   -- National Long-term rating at 'A+(idn)';

   -- Individual rating at 'D';

   -- Support rating at '4'; and

   -- subordinated notes rating at 'B+'.


CORUS GROUP: Confirms Issuance of Ordinary Shares & Bonds
---------------------------------------------------------
In accordance with Rule 2.10 of the City Code on Takeovers and
Mergers, Corus Group plc confirmed that, as at Jan. 8, it had
these relevant securities in issue (including any ordinary
shares represented by American Depositary Shares but excluding
any ordinary shares held in treasury):

   -- 945,889,566 ordinary shares of 50p each under
      ISIN code GB00B127GF29.

   -- 4.625% convertible subordinated bonds due 2007
      amounting to NLG345,000,000 convertible into
      19,338,687 ordinary shares of Corus Group plc.

      The ISIN code for these securities is NL0000183184.

Each American Depositary Share represents two ordinary shares of
the company.

                        About Corus Group

Corus Group plc, fka British Steel, was formed when the UK
privatized its major steelworks in 1988.  It then changed its
name to Corus Group after acquiring most of Dutch rival
Koninklijke Hoogovens.  Corus makes coated and uncoated strip
products, sections and plates, wire rod, engineering steels, and
semi-finished carbon steel products.   It also manufactures
primary aluminum products.  Customers include companies in the
automotive, construction, engineering, and household-product
manufacturing industries.

Corus turns over GBP10 billion annually and employs 47,300 in
over 40 countries and sales offices and service centers
worldwide, including Indonesia and the Philippines.

                          *     *     *

As reported in the Troubled Company Reporter on Oct. 25, 2006,
Moody's Investors Service placed Corus Group plc's Ba2 Corporate
Family and other ratings under review.

In March 2006, Standard & Poor's Ratings Services placed its
'BB-' long-term corporate credit rating for Corus Group on
CreditWatch.

At the same time, Fitch Ratings changed Corus Group's outlook
to Positive from Stable and affirmed its Issuer Default Rating
at BB-.


GARUDA INDONESIA: Rajawali Group Wants to Buy Stake
---------------------------------------------------
The Rajawali Group has expressed interest in buying a stake in
national carrier PT Garuda Indonesia, The Jakarta Post reports.

According to the report, the Rajawali Group, owned by business
tycoon Peter Sondakh, has sent a letter to the State Ministry
for State Enterprises expressing its intention to buy part of
the "debt-ridden" airline.

The report relates that the Rajawali Group would form a
consortium with United States-based company Texas Pacific Group,
Lufthansa Airlines, Air Canada and Thai Airways to fund the
national airliner.  However, Rajawali managing director Darjoto
Setiawan commented that it was too early to talk about fund
injections for Garuda.

Mr. Setiawan admitted that the Rajawali Group has not yet looked
into the details of the airline's financial situation, but that
he was optimistic for Garuda's future, with Rajawali Group being
a national business with long experience of running a number of
companies.

Garuda has struggled to pay its foreign currency-denominated
debts, worth up to US$791 million.  It owes US$510 million to
Europe's Export Credit Agency, US$130 million to a promissory
notes holder in Singapore, and the remainder to Bank Mandiri and
airport operator PT Angkasa Pura, The Post recounts.

The Post says that the Government has devised a number of
options to restructure the airline's debt, including opening a
strategic partnership for new investors.

The Troubled Company Reporter - Asia Pacific reported on
Nov. 23, 2006, that Garunda Indonesia and its shareholders are
in talks with four or five airlines regarding strategic
partnerships.

State Minister Sugiharto noted that a number of investors from
Asia, Europe, the Middle East and North America have expressed
intentions to buy Garuda shares, The Post says.

The Post relates that Minister Sugiharto said that the
Privatization Committee is still discussing which option to
take.  According to the minister, the Government would retain
its position as the majority shareholder in the carrier by
holding at least a 51% stake.

The Government, The Post recalls, has committed to give Garuda
IDR1 trillion to help the airline.  Half of the money was
released in 2006 and the rest will be handed over this year,
adding that Garuda has been required to come up with a concrete
plan to settle its mounting debts.

The Government had earlier planned to establish a special
purpose entity, the Asset Management Company, to take over
US$644 million of Garuda's US$794 million in debts, along with
six of its aircraft and that Garuda will then have to repay the
money in 10 years, the report adds.

                          About Garuda

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

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

Antara News stated that Garuda, as of the end of 2006, is facing
liquidity problems with its debts totaling US$791 million.

The company, until November 2006, suffered an unaudited loss of
IDR390 billion, which was lower than the IDR672 billion,
recorded in the same period the year before, the report
discloses.  Antara pointed out that Garuda's loss until the end
of 2006 was predicted to reach around IDR400 billion.

Garuda is currently undergoing debt restructuring.  The Troubled
Company Reporter - Asia Pacific reported on December 20, 2006,
that in line with the airline's debt restructuring, it continues
to consistently pay debt interest.


TELKOM INDONESIA: Sets Up New Subsidiary to Expand Business
-----------------------------------------------------------
PT Telekomunikasi Indonesia Tbk. has established a new
subsidiary in connection with its plan to expand its business
abroad, Tempo Interactive reports.

According to the report, Telkom's Deputy Managing Director,
Garuda Sugardo, said that a new subsidiary -- which will be PT
Telkom International -- is waiting for legalization before it
can operate.

Tempo also cites Mr. Sugardo as saying that Telkom International
will provide consultation service, education and code division
multiple access telecommunication service and will focus in Asia
and African countries.

In terms of CDMA-based telecommunication service, Mr. Sugardo
said that Telkom Internasional will build the service network in
other countries.  Telkom Indonesia is targeting for the new
subsidiary to be able to operate this year.

Tempo recounts that Telkom Managing Director Arwin Rasyid
earlier said that in order to increase Telkom's market
capitalization to US$30 billion within the next five years, the
company must expand and one of the expansion is abroad.

The report adds that in terms of the business expansion plan,
this year Telkom has allocated between IDR15 trillion and
IDR20 trillion for capital expenditure.  Out of those funds,
around IDR13.5 trillion will be allocated for cellular business
development, IDR1.8 trillion for wireless fixed phone network
and IDR450 billion for providing Internet Speedy service.

Based in Bandung, Indonesia, Perusahaan Perseroan (Persero) PT
Telekomunikasi Indonesia Tbk -- http://www.telkom-indonesia.com
-- provides local and long distance telephone service in
Indonesia.  Known as Telkom, the company also offers fixed-
wireless service, leased lines, and data transport through
affiliates.

As reported in the Troubled Company Reporter - Asia Pacific on
May 22, 2006, Moody's Investors Service gave Telekomunikasi
Indonesia a Ba1 local currency corporate family rating.

Standard & Poor's Ratings Services gave the company foreign and
local currency corporate credit ratings of BB+.

Fitch Ratings has assigned Telkom Indonesia Long-term foreign
and local currency Issuer Default Ratings of 'BB-'.


TELKOM INDONESIA: Moves Shareholders' Meeting to February 28
------------------------------------------------------------
PT Telekomunikasi Indonesia Tbk has postponed its extraordinary
shareholders' meeting originally scheduled for January 26, to
February 28, Antara News relates.

According to the report, the company's corporate secretary,
Harsya Denny Suryo, told the Surabaya Stock Exchange that only
shareholders whose names appear on a corporate shareholders
document as per Feb. 12 has the right to take part in the
meeting.

The report cites Mr. Suryo as saying that those involved who
control at least 10% of the total amount of Telkom shares and
have voting right can forward suggestions at the meeting's
agenda until Feb. 6 at the latest.

Mr. Suryo also said that with the postponement of the company's
shareholder's meeting, all announcements and information
released in compliance with Bapepam-LK rules on Conflict of
Interest in Transactions stand annulled, Antara points out.

The report adds that as of March 31, 2006, Telkom had
approximately 4.7 million telephone access lines in service and
99.9% of telephone access lines were connected to digital
exchanges.

Based in Bandung, Indonesia, Perusahaan Perseroan (Persero) PT
Telekomunikasi Indonesia Tbk -- http://www.telkom-indonesia.com
-- provides local and long distance telephone service in
Indonesia.  Known as Telkom, the company also offers fixed
wireless service, leased lines, and data transport through
affiliates.

As reported in the Troubled Company Reporter - Asia Pacific on
May 22, 2006, Moody's Investors Service gave Telekomunikasi
Indonesia a Ba1 local currency corporate family rating.

Standard & Poor's Ratings Services gave the company foreign and
local currency corporate credit ratings of BB+.

Fitch Ratings has assigned Telkom Indonesia Long-term foreign
and local currency Issuer Default Ratings of 'BB-'.


WILLBROS GROUP: Appoints Gerald J. Maier to Board of Directors
--------------------------------------------------------------
Willbros Group, Inc., disclosed that it has appointed Gerald J.
Maier to its Board of Directors.

Mr. Maier served as Chairman of TransCanada PipeLines, a natural
gas transmission and power company, from 1992 until his
retirement in 1998.  He also served as President and Chief
Executive Officer of TransCanada PipeLines from 1985 to 1994.  
Mr. Maier is a director of Bow Valley Energy Ltd., a Canadian
oil and gas company listed on the Toronto Stock Exchange.  He
has served as Chairman of Granmar Investment, Ltd., a private
family enterprise, since 1986, and as Chairman of the Board of
Regents of the Athol Murray College of Notre Dame since 1997.  
Mr. Maier is the recipient of numerous honors and awards for his
professional accomplishments and civic and charitable
contributions.  He is a Fellow of the Canadian Academy of
Engineering.  He holds a B.Sc. degree in Petroleum Engineering
from the University of Alberta.

Randy Harl, President and CEO commented, "Willbros is currently
well positioned in the oil sands region of northern Alberta.  We
believe Gerry's extensive experience in the pipeline and energy
sector will help the Company strengthen its engineering and
construction services for pipelines and related facilities in
the expanding Canadian market."

Mr. Maier will serve as a Class I director fulfilling the term
of Peter A. Leidel, who has resigned from his position as
Director, effective January 9, 2007.  Mr. Leidel had served on
the board of Willbros Group, Inc. since 1992.

Mike Curran, Chairman, commented, "Pete Leidel has served the
Company with distinction for more than a decade and his
contributions to the growth of Willbros are greatly appreciated.
We wish him all the best in his future endeavors.  We are
pleased to have Gerry join our board and look forward to his
active participation."

Willbros Group, Inc. (NYSE:WG) -- http://www.willbros.com/-- is  
an independent contractor serving the oil, gas and power
industries, providing engineering and construction, and
facilities development and operations services to industry and
government entities worldwide.  Willbros has operations in
Indonesia.

                     Long-term Debt Waivers

During the period from Nov. 23, 2005, to June 14, 2006, the
company entered into four additional amendments and waivers to
the 2004 Credit Facility with its syndicated bank group to waive
non-compliance with certain financial and non-financial
covenants.  Among other things, the amendments provided that:
(1) certain financial covenants and reporting obligations were
waived and/or modified to reflect the Company's current and
anticipated future operating performance; (2) the ultimate
reduction of the facility to US$70,000 for issuance of letter of
credit obligations only; and (3) a requirement for the Company
to maintain a minimum cash balance of US$15,000.


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

ADVANCED MEDICAL: S&P Places BB- Corporate Credit Rating
--------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings for
Advanced Medical Optics Inc., including the 'BB-' corporate
credit rating, on CreditWatch with negative implications,
reflecting the company's intention to acquire IntraLase Corp.
for US$808 million.

"While the acquisition is strategically attractive, AMO is
paying a high multiple and using debt to finance the
transaction," said Standard & Poor's credit analyst Cheryl
Richer.  "The company's limited debt capacity within constraints
of the current rating reflects the issuance of US$500 million of
convertible debentures in mid 2006 to finance a share repurchase
program."

IntraLase provides a complementary technology to AMO's LASIK
business: It designs, develops, and manufactures a computer-
controlled femtosecond laser that replaces the hand-held
microkeratome blade used during LASIK surgery.  IntraLase's
proprietary laser and disposable patient interfaces are
presently marketed throughout the US and 32 other countries.

AMO's largely stock-financed acquisition of VISX Inc. for
US$1.4 billion in May 2005 transformed it into the No. 1 laser
vision correction player.  While LVC revenue growth has been
bolstered by custom procedures, AMO believes it can reinvigorate
stagnant LASIK demand by providing the more advanced femtosecond
technology.

AMO holds leading positions in its three business Segments --
cataract/implants, eye care, and LVC -- which accounted for
52%, 25%, and 23% of revenues for the first half of 2006,
respectively.  Geographic diversity is demonstrated by the 57%
of sales derived outside the U.S.

Standard & Poor's will meet with management to review AMO's
prospects for success in the LASIK area and its ability to
reduce debt in a timely manner following the IntraLase
acquisition to determine if a downgrade is warranted.  We
anticipate that the rating, if lowered, would not fall by
more than one notch.

                  About Advanced Medical Optics

Headquartered in Santa Ana, California, Advanced Medical Optics
-- http://www.amo-inc.com/-- develops, manufactures and markets   
ophthalmic surgical and contact lens care products.  Sales for
the 12 months ended June 24, 2005 were approximately
US$921 million.

The company has operations in Japan, Germany and Ireland.


ADVANCED MEDICAL: IntraLase Deal Cues Moody's Ratings Review
------------------------------------------------------------
Moody's Investors Service placed the ratings of Advanced Medical
Optics Inc. on review for possible downgrade after the company's
disclosure that it has entered into a definitive agreement to
acquire IntraLase Corp. in an all-debt financing for
approximately US$808 million, which translates to US$25 per
share of IntraLase stock.

The proposed transaction is outside of Moody's expectations that
was outlined in its last rating action in June 2006.

Closing of the transaction is expected to occur in the second
quarter of 2007 and will be subject to the receipt of IntraLase
stockholder approval as well as regulatory approvals and other
customary closing conditions.  The Boards of Directors of both
companies have approved the transaction.  AMO is currently in
the process of arranging a final financing package in order to
close the transaction.

The review for possible downgrade is triggered by the
significance of the intended all-debt financing of the
acquisition which would pressure on AMO's credit metrics
resulting in the expectation that the combined entity's pro
forma lease-adjusted debt to EBITDA will rise to above 7.x which
is considerably higher than AMO's current lease-adjusted debt to
EBITDA of 4.3x for the twelve months ended Sept. 30, 2006.  

For the same period, EBIT to interest expense will likely
tighten which would put pressure on the outcome under the
Medical Device Rating Methodology.  Additionally, the proposed
transaction will not be cash flow accretive over the
intermediate term.  With the stretched pro forma credit metrics,
there is concern that AMO will further engage in debt-financed
acquisitions.  The review will also consider AMO's expectations
for pro forma free cash flow, its intention and timeframe to
reduce the amount of incremental pro forma debt and the specific
debt financing structure that will be used at closing.

These ratings were placed on review for downgrade:

   -- US$300 million senior secured revolving credit facility
      due 2009 at Ba1, LGD1, 7%;

   -- US$251 million convertible senior subordinated notes due
      2024 at B2, LGD4, 66%;

   -- Corporate Family Rating at B1; and,

   -- Probability of Default Rating at B1.

                  About Advanced Medical Optics

Headquartered in Santa Ana, California, Advanced Medical Optics
-- http://www.amo-inc.com/-- develops, manufactures and markets   
ophthalmic surgical and contact lens care products.  Sales for
the 12 months ended June 24, 2005 were approximately
US$921 million.

The company has operations in Japan, Germany and Ireland.

                        About IntraLase

IntraLase Corp., headquartered in Irvine, California, designs,
develops and manufactures an ultra-fast laser that is used in
refractive and corneal surgery by creating safe and more precise
corneal incisions.  For the twelve months ended Sept. 30, 2006,
IntraLase generated approximately US$122 million in revenues.


ADVANCED MEDICAL: Buying IntraLase for US$808 Million in Cash
-------------------------------------------------------------
Advanced Medical Optics, Inc., and IntraLase Corp. have entered
into a definitive agreement for AMO to acquire IntraLase for
approximately US$808 million in cash.

Under terms of the agreement, approved by the boards of
directors of both companies, following the receipt of fairness
opinions from their respective financial advisors, AMO will pay
US$25 in cash per share of IntraLase stock and the individually
determined cash value per share of outstanding stock options.  
AMO has arranged committed financing from a consortium of banks
to complete the transaction.  AMO expects the transaction to be
completed early in the second quarter of 2007.  The transaction
is subject to IntraLase stockholder approval as well as
regulatory approvals and other customary closing conditions.

"This acquisition offers significant strategic value by further
establishing AMO as the global refractive technology leader,
positioning us with a broad range of technologies and expertise
to serve the needs of comprehensive refractive practices," said
AMO Chairman, President and CEO Jim Mazzo.  "We believe the
transaction benefits eye care practitioners and their patients
by bringing together state-of-the-art technologies to define a
new standard of care in laser vision correction.  Additionally,
we believe the transaction is financially attractive and will
create significant operating leverage and growth opportunities,
as well as stockholder value."

"Besides the value that we believe will be created for both
companies' stockholders, we think this transaction provides
truly unique opportunities," commented IntraLase President and
CEO Robert J. Palmisano.  "There will now be the ability to
advance our femtosecond laser technology in a coordinated way,
both developmentally and commercially, with the world's leading
excimer laser technology.  Also, this combination provides the
opportunity for further innovation and beneficial refinement of
LASIK procedures that can and should grow the overall LASIK
market."  

Mr. Palmisano concluded, "I am confident that this combination
will provide for better surgical procedures for patients,
happier customers and future opportunities for employees."

AMO expects the transaction to be dilutive to 2007 adjusted
earnings per share and slightly accretive to 2008 adjusted EPS.  
As a result of this transaction, AMO expects amortization to
increase by approximately US$30 million on an annualized basis,
which would bring the company's total annual amortization to
approximately US$70 million or about US$0.70 per share on an
after-tax basis.

UBS Investment Bank is acting as lead financial advisor and
Goldman Sachs is acting as co-financial advisor to AMO.  UBS
Investment Bank is acting as lead arranger of a US$900 million
acquisition facility for AMO.  Bank of America and Goldman Sachs
are acting as joint-arrangers of the acquisition facility.  Bank
of America is acting as lead financial advisor and JPMorgan is
acting as co-financial advisor to IntraLase.  Skadden, Arps,
Slate, Meagher & Flom LLP is acting as legal advisor to AMO.
Stradling Yocca Carlson & Rauth is acting as legal advisor to
IntraLase.

                         About IntraLase

Headquartered in Irvine, California, IntraLase Corp. --
http://www.intralase.com/-- designs, develops, and manufactures   
an ultra-fast laser that is revolutionizing refractive and
corneal surgery by creating safe and more precise corneal
incisions.

IntraLase is presently in the process of commercializing
applications of its technology in the treatment of corneal
diseases that require corneal transplant surgery.  The company's
proprietary laser and disposable patient interfaces are
presently marketed throughout the United States and 33 other
countries.

                  About Advanced Medical Optics

Headquartered in Santa Ana, California, Advanced Medical Optics
-- http://www.amo-inc.com/-- develops, manufactures and markets   
ophthalmic surgical and contact lens care products.  Sales for
the 12 months ended June 24, 2005 were approximately
US$921 million.

The company has operations in Japan, Germany and Ireland.

                          *     *     *

Standard & Poor's Ratings Services placed its ratings for
Advanced Medical Optics Inc., including the 'BB-' corporate
credit rating, on CreditWatch with negative implications,
reflecting the company's intention to acquire IntraLase Corp.
for US$808 million.

Moody's Investors Service placed the ratings of Advanced Medical
Optics Inc. on review for possible downgrade after the company's
disclosure that it has entered into a definitive agreement to
acquire IntraLase Corp. in an all-debt financing for
approximately US$808 million, which translates to US$25 per
share of IntraLase stock.


JAPAN AIRLINES: To Raise JPY60 Billion in Loans to Redeem Bonds
---------------------------------------------------------------
Japan Airlines Corp will seek about JPY60 billion in loans from
Development Bank of Japan and other main lenders to cover the
upcoming redemption of convertible bonds, XFN-Asia reports,
citing the Nikkei.

Japan Airlines needs to redeem JPY100 billion worth of
convertible bonds in March 2007, XFN says.

According to the report, the main lenders will decide whether to
grant the loans after examining Japan Airlines' medium-term
business plan, which is due out Feb. 6, 2007.

Menafn.com relates that Japan Airlines, which was negatively
affected by high fuel prices and safety failures, will announce
its midterm plan by which it will regain the confidence of
financial institutions as well as its stakeholders.

                      About Japan Airlines

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

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
October 10, 2006, that Moody's Investors Service affirmed its
Ba3 long-term debt ratings and issuer ratings for both Japan
Airlines International Co., Ltd and Japan Airlines Domestic Co.,
Ltd.  The rating affirmation is in response to the planned
restructuring of the Japan Airlines Corporation group on Oct. 1,
2006 with the completion of the merger of JAL's two operating
subsidiaries, JAL International and Japan Airlines Domestic.
JAL International will be the surviving company.  The rating
outlook is stable.

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

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


MICRON TECHNOLOGY: S&P Lifts to BB- Rating on Good Performance
--------------------------------------------------------------
Standard & Poor's Ratings Services raised its corporate credit
rating on Micron Technology Inc. to 'BB-' from 'B+'.  The
outlook is stable.

"The upgrade reflects the company's improving business
diversity, good operating performance, and sustained
satisfactory capitalization," said Standard & Poor's credit
analyst Bruce Hyman.

The ratings on Boise, Idaho-based Micron reflect the challenges
of supplying capital- and technologically-intensive products in
an environment of severe price pressures and aggressive
competition, tempered by the company's moderate financial
policies and good industry position.  Micron has been
diversifying its business away from the commodity dynamic random
access memory industry, used in PCs.  Micron also supplies
specialty DRAMs for servers, networking and wireless
applications; NAND flash memories for music players through a
joint venture with Intel Corp.; and is the leading supplier
of complementary metal-oxide semiconductors image sensors for
phones.

Micron is the fifth-largest DRAM supplier, holding about a 10%
share of the global market, after Samsung Electronics Co. Ltd.,
Qimonda AG, Hynix Semiconductor Inc., and Elpida Memory Inc.
Micron has substantially reduced its position in the highly
challenging commodity DRAM market.  Commodity DRAM margins are
now well below the low-20% corporate average (after D&A), while
most other products' gross margins are in the 40% area.  About
20%-25% of wafers entering production are for imaging, a similar
amount are specialty DRAM, 15%-20% NAND, and about 40% commodity
PC DRAM; the percentages vary seasonally.  PC DRAMs had been 75%
of wafer starts in the November 2004 quarter.

IM Flash Technologies LLC, Micron's 51%-owned NAND joint venture
with Intel Corp., began operations in January 2006.  The
business will supply a significant portion of Apple Computer
Corp.'s iPod memory needs in addition to merchant market sales.  
IM operates a 300-millimeter wafer fabrication plant in
Virginia, and uses some capacity in Micron's Idaho plant.  
Micron's NAND market share was in the low single digits entering
2006.  Total NAND output could double by year-end as a Utah
plant comes on line, and the company plans to produce NAND chips
in Singapore in 2008.

                           About Micron

Micron Technology, Inc. (NYSE:MU) -- http://www.micron.com/--   
is a worldwide provider of semiconductor solutions.  Through its
worldwide operations, Micron manufactures and markets DRAMs,
NAND flash memory, CMOS image sensors, other semiconductor
components, and memory modules for use in leading-edge
computing, consumer, networking, and mobile products.  Micron
has worldwide locations including those in Japan, China, India,
Korea, Singapore, and Taiwan.


NIKKO CORDIAL: Freezes Investments to Fix Compliance Problems
-------------------------------------------------------------
Nikko Cordial Corp. said that one of its units -- Nikko
Principal Investments Japan Ltd. -- will stop making new
investments until it fixes compliance problems after a breach of
accounting regulations, Takahiko Hyuga writes for Bloomberg
News.

The freeze on Nikko Principal will last until at least March 31,
2007, Bloomberg says, citing Nikko Cordial Chief Executive
Officer Shoji Kuwashima.  "We want to resume it as soon as
possible after rebuilding Nikko Principal's compliance system,"
Mr. Kuwashima said in an interview.

As reported in the Troubled Company Reporter - Asia-Pacific on
Dec. 22, 2006, the Securities and Exchange Surveillance
Commission began investigating Nikko Cordial for allegedly
falsifying its annual financial statements for the
business year ended March 30, 2005, declaring JPY14 billion in
false profits, and using them to procure money from the market.

On Dec. 18, Nikko Cordial admitted to the falsification of its
fiscal 2004 financial report and said it would revise the
figures and reissue the report by Jan. 15.  Nikko Cordial
initially reported a consolidated pretax profit of
JPY77.7 billion and a net profit of JPY46.9 billion between
April 2004 and March 2005, but said it would revise the figures
to JPY58.8 billion in pretax profit and JPY35.1 billion in net
profit.

A subsequent TCR-AP report on Jan. 3, 2007, stated that Nikko
Cordial announced that the release of its corrected group
earnings report for financial year 2004 will be delayed until
Feb. 28, 2007, because it has changed auditors.  The revision
led the SESC to recommend that the Financial Services Agency
take disciplinary action against the company.  The FSA then
slapped a JPY500-million fine on Nikko Cordial.

Bloomberg points out that Nikko Cordial has invested more than
JPY650 billion (US$5.39 billion) since 2004 in companies and
assets.  The freeze action means that the firm may miss
opportunities in a global principal investment market that has
quadrupled in five years to US$488 billion, Bloomberg notes data
from a Nikko presentation on Nov. 7.

"Principal investments generate a lot of income and jobs at
Nikko and other brokerages," said Hisakazu Amano, who helps
manage the equivalent of US$16 billion including shares in Nikko
Cordial at T&D Asset Management Co. in Tokyo.  "M&A, including
private equity, is set to grow in Japan as companies reshape."

                About Nikko Cordial Corporation

Headquartered in Tokyo, Japan, Nikko Cordial Corporation --
http://www.nikko.jp/-- is mainly engaged in the provision of    
financial services in the securities-related field.  The Company
operates in four business segments.  The Retail segment provides
consulting services for financial products management.  The
Asset Management segment provides asset management services for
individual, corporate and foreign investors.  The Investment
Banking segment provides corporate finance and capital market
services, mergers and acquisitions, advisory services, trading
services for institutional investors and research services.  The
Merchant Banking segment is involved in the investment of
corporate issued stocks, bonds, securities-related financial
products and other financial products.  Nikko Cordial has 62
consolidated subsidiaries.  It has oversea operations in the
United States, the United Kingdom, Luxemburg and Singapore.  The
Company has a global network.

On April 12, 2006, Fitch Ratings upgraded Nikko Cordial Corp.'s
individual rating to C from C/D.

The Troubled Company Reporter - Asia Pacific reported on
December 22, 2006, that Fitch placed its ratings on Nikko
Cordial Corp. and Nikko Cordial Securities Inc. on Rating Watch
Negative following the decision announced on Dec. 18 by the
Tokyo Stock Exchange to place the shares of NCC on its official
watchlist pending the full investigation into reported
accounting breaches by the company.


SOLO CUP: Fitch Gives B- Issuer Default Rating
----------------------------------------------
Fitch Ratings has initiated the following ratings for Solo Cup
Company:

   -- Issuer default rating 'B-';

   -- Senior secured first lien credit facility 'B+/Recovery
      Rating 2';

   -- Senior secured second lien credit facility 'CCC+/RR5';

   -- Senior subordinated notes 'CCC/RR6'

The Rating Outlook is Negative.  Approximately US$1.2 billion of
debt is covered by the ratings.  The company's Canadian bank
debt is excluded from the ratings.

The ratings reflect Fitch's concern about the company's negative
operating and free cash flow, high leverage, a lengthy and
difficult integration process associated with the SF Holdings
(Sweetheart) acquisition, margin contraction due to higher resin
and energy prices, material weaknesses in internal accounting
controls, low unit volume growth, and management turnover in the
past year.  The ratings also recognize Solo's leading market
share across its product categories, strong brand equity, modest
near-term debt maturities, diversified product mix, and stable
customer base.  The ratings also reflect Solo's increased focus
on cost reduction and the possibility of asset sales, the
proceeds from which would be used to reduce debt.

The Negative Outlook is based on constrained operating cash flow
generation and declining operating margins.  Inability by Solo
to generate cash in the next year as a result of performance
improvement or asset sales would likely lead to a review of the
ratings for a possible downgrade.

The Recovery Ratings and notching in the debt structure reflect
Fitch's recovery expectations under a scenario in which
distressed enterprise value is allocated to each debt class.  
The recovery rating for Solo's senior secured first lien credit
facility, consisting of a revolving credit facility and term
loan ('RR2'; expected 71%-90% recovery) reflect superior
expected recovery given the security from substantially all
assets.  With most of the estimated distressed enterprise value
being distributed to the first lien senior secured creditors,
Fitch estimates that recoveries for second lien creditors and
8.50% senior subordinated noteholders would be significantly
impaired.  The recovery rating for the second lien credit
facility ('RR5'; expected 11%-30% recovery) reflects the
secondary claim to assets and the allocation of concession
payments to improve recovery.  The recovery on the subordinated
notes ('RR6; expected 0%-10% recovery) would likely be poor in a
reorganization given the lack of security, contractual
subordination and limited, if any, enterprise value remaining to
distribute.

Solo is a market-leading foodservice disposables manufacturer
that has recently endured several business challenges.  An
unusually adverse operating environment and a difficult merger
integration have combined to pose serious challenges to the
company over the past two years.  Raw materials and energy
prices have shown unprecedented increases, creating an inflated
cost structure and lower profitability.  The merger with
Sweetheart has been costly and delayed, with most expected
synergies not yet realized.  In some respects the two companies
have continued to operate as distinct entities, even two years
post-acquisition.  With this backdrop, the company has also had
turnover in several key management positions during the past
year.

Given Solo's difficult, although improving, operating
environment and growing competitive pressures, the company's
ability to maintain market share without increased investment in
R&D is a concern.  Fitch believes that the company's debt burden
may be limiting its ability to invest in innovative, higher
margin products.  Competitors have been able to leverage their
brands into certain Solo Cup product areas, and have taken
advantage of lower cost resins to produce similar products at
lower prices in some cases.  Along with pricing pressure from
low-cost foreign producers, this has lead to volume losses and
constrained cash flows over the past year.

Weak cash flows and tightening liquidity forced the company to
arrange second lien financing twice in 2006; first with an
US$80 million term loan in March, then an additional
US$50 million under the same facility acquired in December to
pay down the first lien revolver and improve liquidity.
Management has acknowledged the need for immediate action to
improve the company's performance.  Workforce reductions, cost
savings initiatives, and sale-leaseback transactions are being
contemplated or are already under way.  The company is working
with external advisors to explore the possible sale of certain
non-core assets or business lines.  In connection with the
December financing arrangements, the credit facility covenants
were modified to allow for the sale of up to 20% of consolidated
assets in 2007, with proceeds used to pay down debt.  Fitch is
also encouraged by the appointment of four new board members,
including a new chairman by Vestar Capital Partners, the
company's minority equity investor.  AlixPartners, a
consultancy, has also been engaged to implement a performance
improvement program.

Fitch calculates LTM October 1, 2006 operating EBITDA of
US$147.5 million and total leverage of 7.8 times (x).  Interest
coverage for the same period was 1.7x.  Although the company has
implemented price increases in response to higher raw materials
costs, competitive pressures and overall higher freight and
other costs will likely prove to be an ongoing challenge which
will require structural changes in the business.  Asset
divestitures will likely be needed to bring the company into
compliance with leverage ratio covenant requirements which start
at 9.75x and decline every three months this year to 7.25x by
December 31, 2007.  Fitch believes the company will likely be
able to comply with leverage ratio requirements in 2007,
assuming sufficient asset sales are executed.  The fundamental
trend should improve somewhat in 2007, given cost management
initiatives, completion of the new order management system, and
moderating raw materials and energy prices.

As of October 1, 2006 the company had about US$49 million of
availability under the revolver and cash of US$22 million for
total liquidity of roughly US$71 million.  Considering the
additional US$50 million of second-lien financing, Fitch
estimates current liquidity of about US$121 million.  Near term
debt maturities are not significant with US$6.5 million due in
both 2007 and 2008.  Capital expenditures are expected to be
US$55 to US$60 million in the coming year.  The amended credit
agreement of December 22, 2006 stipulates that all management
fees to Vestar will be suspended in 2007, unless the
consolidated leverage ratio is equal to or less than 4.5x.

Solo's credit profile could improve in 2007 if significant cost
savings or de-leveraging occurs.  The company has outlined an
aggressive agenda to rationalize costs, maximize cash flows, and
change corporate culture.  Significant asset sales or other
divestitures could materially improve leverage.  The company's
new technology system is scheduled to come online in the first
quarter, which could significantly improve order management,
reduce redundancies stemming from the merger, and lead to
improved profitability.  Fitch believes the rationale for the
Sweetheart merger remains mostly intact.  There is ample scope
for operational improvement such as asset utilization and
productivity and better product line management.  Many of the
originally anticipated synergies could yet be realized
accordingly.

Fitch's Recovery Ratings are a relative indicator of creditor
recovery prospects on a given obligation within an issuers'
capital structure in the event of a default.  A broad overview
of Fitch's RR methodology as it relates to specific sectors can
be found at http://www.fitchratings.com/recovery'/

Headquartered in Highland Park, Illinois, Solo Cup Company
-- http://www.solocup.com/-- manufactures disposable  
foodservice products for the consumer and retail, foodservice,
packaging, and international markets.  Solo Cup has broad
expertise in plastic, paper, and foam disposables and creates
brand name products under the Solo, Sweetheart, Fonda, and
Hoffmaster names.  The company was established in 1936 and has
presence in Japan, Canada, Mexico, Panama and the United States.


* Cost Reduction Drive Airlines' Credit Quality, Fitch Says
-----------------------------------------------------------
Fitch Ratings says in a report published on Jan. 14, 2007, that
the two Japanese airlines -- All Nippon Airways Co. Ltd. and
Japan Airlines Corporation -- may need to further increase fares
and yields and adopt additional cost reduction measures in order
to improve, or at least maintain, their current financial
profiles.

"Market recovery is likely to support the positive revenue
fundamental for the two Japanese airlines in the near future,"
said Satoru Aoyama, director of Fitch's Corporate team.
"However, the airlines' fuel cost burden remains high while non-
fuel cost has been growing steadily, putting their profit
margins under pressure."

In the report entitled, "Japanese Airlines: Yield Improvements
and Cost Reductions Drive Credit Quality", the agency gave an
overview of the operational performance and financial results
for H107 and examined trends in the sector's fundamentals and
the airlines' credit issues.  More than five years after the
turmoil of 11 September 2001, the two Japanese airlines are
finally enjoying the strong operating and revenue performances
of pre-2000.  The recovery in the Japanese economy, solid
corporate results and stable private spending, as well as a lack
of external shocks, have revived demand for air travel from both
business and private passengers.  The two airlines' passenger
yields and unit revenues have recovered steadily, and load
factors remain near historically high levels.  These have
supported increased passenger revenues.

However, the two airlines have not benefited equally from the
market improvement.  In H107, Japan's second-largest carrier,
ANA (rated 'BB+'/Stable), reported a robust operating profit.
Its rival and Japan's largest carrier, JAL (rated 'BB-' (BB
minus)/Negative), reported an operating loss in its core air
transportation segment.  This followed FYE06 full-year operating
losses in this segment and for the consolidated company.  These
losses occurred despite the solid revenue growth achieved by the
two airlines following market improvements.  The latest
financial results from the two Japanese airlines show their
distinct operating performance and financial profiles, which
emanate from the companies' strategic and operational
differences (including flight networks, fleet types and
operational flexibility) and a shift of passengers to ANA from
JAL. The results also show that the gap between the two
airlines' credit qualities is widening.

The agency also notes that despite the significant reduction in
fuel prices since September, the average crude oil price in H107
was still about 20% higher than the full-year average price in
FYE06.  This means that the airlines' heavy fuel cost burdens
have not eased.  A recovery in passenger volumes has also
steadily increased non-fuel costs.  These are partly offsetting
the positive effects from revenue growth, putting the airlines'
profit margins under pressure.  These pressures are strong even
at ANA despite its proven operational flexibility and improved
efficiency.

Fitch also warns that the two airlines' planned capital
investments could be burdensome in the short term.  The two
airlines are planning to make significant capital investments in
the next four-to-five years, accelerating their fleet downsizing
and renewal while trying to strengthen their competitive
positions.  However, the positive effect of the investments is
only likely to appear in the long term.  Barring any significant
asset sales, the planned investments are likely to cause
negative free cash flow at the two airlines.

"In the short term, in order to enable the airlines to finance
these investments without weakening their financial profiles,
the airlines need to maintain stable earnings and cash flow
generation.  And, to achieve such earnings and cash flow
stability while mitigating the margin pressures, they may need
to boost revenues much faster than cost via increases in fares
and yields and additional cost reduction efforts", added by Mr.
Aoyama

The report, "Japanese Airlines: Yield Improvements and Cost
Reductions Drive Credit Quality", is available on the agency's
Web site: http://www.fitchratings.com/


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

HYNIX SEMICONDUCTOR: Toshiba Files Another Infringement Suit
------------------------------------------------------------
As widely reported, Japan's Toshiba Corp. filed a patent-
infringement lawsuit with a federal court in the United States
against Hynix Semiconductor Inc.

The suit asserted that Hynix Semiconductor infringed two patents
related to NAND flash memory chips that store songs and
pictures, Bloomberg News relates.

The case is Toshiba Corp. v. Hynix Semiconductor Inc. 07cv153,
U.S. District Court for the Northern District of California.

Patent-infringement disputes are not new to Hynix and Toshiba.

As reported in the Troubled Company Reporter - Asia Pacific on
Nov. 13, 2006, the U.S. International Trade Commission rejected
Toshiba's claims that Hynix infringed the Japanese firm's
patents for flash memory chips.  Toshiba filed that infringement
complaint in October 2005, asking the ITC Judge to ban Hynix-
made NAND flash memory chips from import and sale in the U.S.

Also in November 2006, Bloomberg recounts, a different
commission judge determined that the Japanese company didn't
infringe two Hynix patents on NAND flash memory.

The two companies have been locked in legal disputes since
Toshiba first sued Hynix in November 2004 after the companies
failed to extend a cross-licensing agreement, Reuters relates.

Headquartered in Ichon, South Korea, Hynix Semiconductor Inc. --
http://www.hynix.com/-- is a semiconductor manufacturer.      
Through a merger with LG Semiconductor in 1999, Hynix
Semiconductor now has the world's largest dynamic random access
memory chip production capacity as well as the industry's best
technical development capacity by fully exploiting synergies
resulting from the historical integration of both companies.

Standard & Poor's Ratings Services gave Hynix, and its U.S.
subsidiary, Hynix Semiconductor Manufacturing America Inc., a
'B+' long-term corporate credit rating.


PHOTRONICS: Extends Employment of Asia Ops Pres. Until Oct. 28
-----------------------------------------------------------
Photronics, Inc. and Soo Hong Jeong extended for one additional
year the employment agreement of Soo Hong Jeong, chief operating
officer, president - Asia operations, until Oct. 28, 2007.

The Employment Agreement was originally entered into between
Photronics and Mr. Jeong on August 24, 2001, and was
subsequently amended on March 18, 2004, Nov. 28, 2005 and June
9, 2006.

Photronics, Inc. -- http://www.photronics.com/-- is a worldwide   
manufacturer of photomasks.  Photomasks are high precision
quartz plates that contain microscopic images of electronic
circuits.  A key element in the manufacture of semiconductors
and flat panel displays, photomasks are used to transfer circuit
patterns onto semiconductor wafers and flat panel substrates
during the fabrication of integrated circuits, a variety of flat
panel displays and, to a lesser extent, other types of
electrical and optical components.  They are produced in
accordance with product designs provided by customers at
strategically located manufacturing facilities in Europe, North
America, and Asia (specifically Korea, Taiwan, and Singapore.)

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Nov. 3, 2006, Moody's Investors Service's in connection with its
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the U.S. technology semiconductor
and distributor sector, affirmed the B1 corporate family rating
on Photronics.


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

ARMSTRONG WORLD: May Sell Tapijtfabriek to NPM Capital
------------------------------------------------------
Armstrong World Industries, Inc., and NPM Capital N.V. are
negotiating on the possible sale of Tapijtfabriek H. Desseaux
N.V. and its subsidiaries, the principal operating companies in
Armstrong's European Textile and Sports Flooring business
segment, to NPM Capital N.V.  The negotiations have reached the
stage where it is expected that the parties will enter into an
agreement.

Tapijtfabriek H. Desseaux N.V. and its subsidiaries manufacture
and market carpet tiles and broadloom carpet for commercial and
residential use in Europe under brand names including Desso and
Bergoss, and artificial turf for sports applications in Europe
and the United States under the brand names of Desso DLW Sports
Systems and GrassMaster.

The Desseaux business recorded sales of approximately euro 200
million (approximately US$262 million) in 2005.  Desseaux has
approximately 1,000 employees and manufacturing plants in
Waasmunster, Belgium; Dendermonde, Belgium; and Waalwijk,
Netherlands, where it also has its headquarters.

"The sale of the majority of Armstrong's Textile and Sports
Flooring business in Europe would allow us to focus on our core
European resilient flooring business," said Michael D. Lockhart,
Armstrong Chairman and CEO.

"Tapijtfabriek H. Desseaux N.V. is a company with a lot of know-
how and great products," said Stef Kranendijk, prospective CEO
of Desseaux.  "It has the potential to further strengthen its
European markets, build on its excellent reputation and well-
known brand names, and expand its leading position in the
textile and sports flooring segments."

Armstrong acquired Tapijtfabriek H. Desseaux N.V. in 1998 as
part of the purchase of Deutsche Linoleum Werke A.G., a
manufacturer and marketer of resilient flooring products
headquartered in Bietigheim-Bissingen, Germany.

Armstrong plans to retain ownership of certain Desseaux
businesses including automotive carpeting and linoleum-based
indoor sports flooring.

Armstrong's continuing flooring manufacturing operations in
Europe include linoleum production in Delmenhorst, Germany;
resilient vinyl flooring in Teesside, England and Holmsund,
Sweden; and resilient vinyl flooring and automotive carpeting in
Bietigheim-Bissingen, Germany.

Based in Lancaster, Pennsylvania, Armstrong World Industries,
Inc. -- http://www.armstrong.com/-- the major operating  
subsidiary of Armstrong Holdings, Inc., designs, manufactures
and sells interior floor coverings and ceiling systems, around
the world.  The company has operation in Malaysia, Australia,
China, Hong Kong, Indonesia, Japan, Philippines, Singapore,
South Korea, Thailand and Vietnam, among others.

The company and its affiliates filed for chapter 11 protection
on Dec. 6, 2000 (Bankr. Del. Case No. 00-04469).  Stephen
Karotkin, Esq., at Weil, Gotshal & Manges LLP, and Russell
C.Silberglied, Esq., at Richards, Layton & Finger, P.A.,
represent the Debtors in their restructuring efforts.  The
company and its affiliates tapped the Feinberg Group for
analysis, evaluation, and treatment of personal injury asbestos
claims.

Mark Felger, Esq. and David Carickhoff, Esq., at Cozen and
O'Connor, and Robert Drain, Esq., Andrew Rosenberg, Esq., and
Alexander Rohan, Esq., at Paul, Weiss, Rifkind, Wharton &
Garrison, represent the Official Committee of Unsecured
Creditors.  The Creditors Committee tapped Houlihan Lokey for
financial and investment advice.  The Official Committee of
Asbestos Personal Injury Claimant hired Ashby & Geddes as
counsel.

The Bankruptcy Court confirmed AWI's plan on Nov. 18, 2003.  The
District Court Judge Robreno confirmed AWI's Modified Plan on
Aug. 14, 2006.  The Clerk entered the formal written
confirmation order on Aug. 18, 2006.  The company's "Fourth
Amended Plan of Reorganization, as Modified," has become
effective and AWI has emerged from Chapter 11.

                        *    *    *

As reported in the Troubled Company Reporter on Oct. 9, 2006,
Standard & Poor's Ratings Services raised its corporate credit
rating on Armstrong World Industries Inc. to 'BB' from 'D',
following the Company's emergence from bankruptcy on
Oct. 2, 2006.  S&P said the outlook is stable.


EKRAN BERHAD: Updates on Loan Default Status as of December 2006
----------------------------------------------------------------
Ekran Bhd submitted to the Bursa Malaysia Securities Bhd an
update on its default status regarding loan payments to several
lenders.

According to the company, as of December 2006, it has already
settled with Affin Bank Bhd its debt aggregating
MYR19.033 million plus interests.  In addition, Ekran also
settled with Affin Bank the MYR6.34-million loan, plus
interests, granted to one of the company's subsidiaries.

Moreover, as reported by the Troubled Company Reporter - Asia
Pacific on Dec. 14, 2006, Ekran had fully settled its agreed
settlement sum with UOB as of Dec. 1.  According to the TCR-AP
report, UOB filed a wind-up petition against the company after
it had failed to settle its debt amounting MYR8,975,649, plus
interests, in a timely manner.

Meanwhile, the company has yet to settle its loans to these
lenders:

        Lenders                    Claimed Amount + Interests
        -------                    --------------------------
   * Pengurusan Danaharta
     National Sdn Bhd             MYR28,426,953.08 + Interest
   
   * Danaharta Managers Sdn Bhd   MYR1,217,535.25 + Interest
   
   * Danaharta Urus  Sdn Bhd      MYR29,535,045.28 + Interest
   
   * RHB Bank Berhad              MYR20,560,629.68 + Interest
   
   * AmBank Berhad
   (Arab Malaysian Bank Berhad)   MYR3,079,661.39 + Interest

                          *     *     *

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

Ekran has been classified as an affected listed issuer under
Amended Practice Note 17, when the auditors have expressed a
disclaimer opinion on the company's audited financial report for
the financial year ended June 30, 2005, and for defaulting on
various credit facilities.


GEORGE TOWN: Fails to Submit Plan; Bursa Suspends Securities
------------------------------------------------------------
The Bursa Malaysia Securities Bhd suspended the trading of
Georgetown Holdings Bhd's securities starting Jan. 15, 2007,
after the company failed to timely submit its regularization
plan to relevant authorities for approval.

However, as the listed securities of Georgetown Holdings have
already been suspended from trading since August 1, 2005, due to
the fact that the company has not issued its Annual Audited
Accounts for the 15 months ended December 31, 2004, the
suspension will continue and is without prejudice to the
suspension which was earlier imposed.

                          *     *     *

Headquartered at Petaling Jaya, in Selangor Darul Ehsan,
Malaysia, George Town Holdings Berhad operates supermarkets,
department stores and convenience stores.  Its other activities
include property development, trading in pharmaceutical
products, media design and advertising, management services,
goldsmith and jewelers, management of car parks, bakery, pastry
and fast food center, financial services, hotel management and
investment holding.

The Group operates in Malaysia, Continental Europe/Offshore
Islands and other countries.

The company has been categorized as an Affected Listed Issuer
under Practice Note 17, based on its unaudited financial
statement as at December 31, 2004, wherein it showed that it had
MYR28.7 million shareholders' equity representing 23.4% of the
issued and paid-up share capital which is less than the 25%
minimum required under the listing requirements of Bursa
Securities.


KAI PENG: Appeals Bursa's Rejection of Plan Extension Request
-------------------------------------------------------------
Kai Peng Bhd has filed an appeal with the Bursa Malaysia
Securities Bhd in connection with the bourse's rejection of its
request to extend until January 31, 2007, the time within which
it may submit a regularization plan.

Kai Peng's plan submission deadline was originally set to expire
on Jan. 8, 2007.

However, Bursa Malaysia rejected the company's extension
request.

Pursuant to paragraph 8.14C(4) of the Listing Requirements of
Bursa Malaysia, a company's failure to submit its regularization
plan to the Securities Commission and other relevant authorities
for approval by the deadline means that a suspension will be
imposed on the trading of the company's listed securities and
delisting procedures will be commenced against the company.

Yet, pending a decision on Kai Peng's appeal, the bourse's
suspension of the company's securities and commencement of
delisting will be deferred.   

                          *     *     *

Headquartered in Selangor, Darul Ehsan, Malaysia, Kai Peng
Berhad Kai manufactures, markets and distributes steel products.  
Other activities include provision of information and
communication technology services, undertaking steel fabrication
and engineering works and investment holding.  Operations are
carried out principally in Malaysia.

Kai Peng was on May 9, 2006, classified under Practice Note 17
of Bursa Malaysia Securities Berhad after its shareholders'
equity failed to meet the listing requirement.  As an affected
listed issuer, the Company is required to submit a financial
regularization plan or risk the possibility of delisting.

On November 9, 2006, the Troubled Company Reporter - Asia
Pacific reported that the external auditors of Kai Peng Berhad,
Ernst & Young, have raised a substantial doubt on the company's
and the group's ability to continue as going concerns after
auditing their financial statements for the fiscal year ended
June 30, 2006.

Specifically, Ernst & Young pointed out these factors in Kai
Peng's June 30, 2006 financial statements:

   -- The group and the company reported net losses of
      MYR62,181,981 and MYR53,789,921 respectively;

   -- The group and the company's current liabilities
      exceeded their current assets by MYR77,245,002 and
      MYR49,988,562 respectively; and

   -- The group and the company's June 30, 2006 balance
      sheet showed shareholder's deficit of MYR36,300,109 and
      MYR34,116,889 respectively.

As of September 30, 2006, the company's balance sheet showed
insolvency with MYR105.29 million of total assets and
MYR142.93 million in total liabilities, resulting to a
shareholders' deficit of MYR37.64 million.


MERGE ENERGY: Nine-month Revenue Up to MYR45.59 Million
-------------------------------------------------------
For the nine months ended October 31, 2006, Merge Energy Berhad
recorded revenues of MYR45.59 million and pretax profit of
MYR4.51 million vis-a-vis revenues of MYR36.46 million and
pretax profit of MYR2.77 million for the corresponding period in
the previous financial year, the company said in its quarterly
financials submitted to the Bursa Malaysia.

For the quarter ended Oct. 31, 2006, the group registered a
pretax profit of MYR19.45 million on revenues of
MYR189.85 million, compared with pretax profit of
MYR3.79 million on revenues of MYR59.25 million for the quarter
ended Oct. 31, 2005.  
  
The overall improvement in the group financial performance for
the financial year to date was mainly due to higher revenue
generated from projects in progress.   

The group recorded a profit before taxation of MYR4.51 million
for the current quarter under review, as compared with the group
profit before taxation of MYR10.36 million for the corresponding
quarter in 2005.  The decline in profit before taxation for the
current quarter was mainly due to lower revenue generated from
projects in progress.

As of October 31, 2006, the company had total assets of
MYR130.77 million and total liabilities of MYR101.81 million

                   Status of Corporate Proposal

On May 8, 2006, the company has been classified as an affected
listed issuer pursuant to the Amended Practice Note No. 17/2005
whereby the company's shareholders' equity on consolidated basis
is less than 25% of its issued and paid-up share capital of
MYR67.00 million.

On September 25, 2006, an announcement was made that the Company
had entered into a Sale and Purchase Agreement to acquire the
entire equity interest in Suasa Efektif (M) Sdn Bhd as the plan
to regularize its financial position.

On October 19, 2006, the board has approved the submission to
the Securities Commission in respect of the Proposed Acquisition
and the application has been submitted on November 2, 2006.  

The proposed regularization plan will regularize the company's
financial position and cease to be an affected listed issuer
pursuant to Amended PN17.

Merge Energy Berhad's principal activities involve building
construction, structural, infrastructure and civil engineering
works.  Other activity includes property investment and
investment holding.  Operations of the company are carried out
predominantly in Malaysia.


MERGE ENERGY: Alliance Investment to Advise in Purchase Deal
------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
Nov. 1, 2006 that Merge Energy Bhd entered into a sale and
purchase agreement to acquire:

   -- from SFSB and Al-Mudharib Niaga Sdn Bhd the entire equity
      interest in Suasa Efektif (M) Sdn Bhd; and

   -- from SFSB the MYR8,462,002 7-year 10% redeemable
      convertible unsecured loan stocks 2003/2010 in Suasa
      Efektif.  

The total purchase consideration of MYR46.9 million will be
fully satisfied by the issuance of 46,900,000 ordinary shares of
MYR1.00 each in Merge Energy.

In an update, Alliance Investment Bank Berhad (formerly known as
Alliance Merchant Bank Berhad) has been appointed as the
Independent Adviser for the foregoing transaction, as approved
by the Securities Commission on December 22, 2006.

Merge Energy Berhad's principal activities involve building
construction, structural, infrastructure and civil engineering
works.  Other activity includes property investment and
investment holding.  Operations of the company are carried out
predominantly in Malaysia.

On May 8, 2006, the company has been classified as an affected
listed issuer pursuant to the Amended Practice Note No. 17/2005
whereby the company's shareholders' equity on consolidated basis
is less than twenty five percent (25%) of its issued and paid-up
share capital of MYR67.00 million.


MOL.COM BHD: Complies w/ Public Shareholding Spread Requirement
---------------------------------------------------------------
MOL.com Berhad discloses that based on the Record of Depositors
as at December 31, 2006, it has complied with the public
shareholding spread requirement pursuant to paragraph 8.15(1) of
the Listing Requirements of Bursa Malaysia Securities Berhad.  
The public shareholding spread of 25.79% is held by 1,195 public
shareholders.

Based in Malaysia, Mol.Com Bhd's principal activities are
provision of electrical engineering services and contracting and
trading of electrical machinery and apparatus.  Other activities
include operation and maintenance of web portals, registration
and marketing of internet domain names, provision of web and
information technology solutions, advertising, promotional
activities and investment holding.

Operations are carried out in Malaysia, British Virgin Islands
and Singapore.

Mol.Com is an Affected Listed Issuer pursuant to the Amended
Practice Note 17/2005 of the Listing Requirements of Bursa
Malaysia and is therefore required to submit a Regularization
Plan to the Securities Commission.


SILVERSTONE: Gets OK on Proposed Variation to Repayment Schemes
---------------------------------------------------------------
Silverstone Corporation Berhad's bondholders and SPV debt
holders, on Dec. 15, 2006, have approved the company's proposed
variation to the:

   1. Redemption date of the zero-coupon redeemable secured MYR-
      denominated bonds; and

   2. Repayment date of the zero-coupon redeemable secured USD-
      denominated consolidated and rescheduled debts.

               Details of the Proposed Variation

   * The bonds, with the redemption date of Dec. 31, 2006, for
     the redemption amount of MYR33,175,519, were proposed to be
     paid on Dec. 31, 2006, at MYR1,337,284 and Oct. 31,
     2007 at MYR31,838,235.

   * The SPV Debts, with a repayment date of Dec. 31, 2006, for
     the repayment amounts of MYR21,522,769, MYR913,152 and
     MYR2,458,645 for Class B (a) Tranche 1, Class B (a) Tranche
     2 and Class B (b), respectively, were proposed to paid as
     follows:

     Category                   Repayment Date          Amount
     --------                   --------------          ------
     Class B (a) Tranche I        12/31/2006        MYR867,568
                                  10/31/2007        20,655,201

     Class B (a) Tranche II       12/31/2006            36,809
                                  10/31/2007           876,343

     Class B (b)                  12/31/2006            99,107
                                  10/31/2007         2,359,538

   * Late payment interest will be paid to the bondholders and
     SPV debt holders at the rate of one per cent per annum
     above the relevant yield to maturity on the Bonds and SPV
     Debts in respect of the Redemption Amount/Repayment Amount
     from the Redemption Date/Repayment Date to the date of
     actual payment.

                  About Silverstone Corporation

Headquartered in Kuala Lumpur, Silverstone Corporation Berhad is
an investment holding company.  The Company operates through
business segments.  SCB's business segments consist of tyre and
motor segments.  The tyre segment is engaged in the manufacture
sale and distribution of tyres, retreading tyres, rubber
compounds and other related rubber products.  SCB's tyres, the
Kruizer 1 and Evol 8 series are developed by using MicroBeta
Silica Technology.  The motor segment is engaged in the
manufacturing of motorcycle parts and accessories,
electroplating of motorcycle absorbers, sales, and distribution
of motor vehicles.  The company's other business segments
include investment holding, treasury business and provision of
training services.  SCB has its operations in Malaysia and
China.  Some of the company's subsidiaries include AMB Aerovest
Limited, AMB Harta (L) Limited, AMB Harta (M) Sdn Bhd and AMB
Venture Sdn Bhd.

The company is an affected listed issuer under Bursa Malaysia
Securities Berhad's amended Practice Note No. 17 as its auditors
have expressed a modified opinion with emphasis on the company's
going concern in the company's audited financial statement for
the financial year ended June 30, 2005.  Moreover, Silverstone's
shareholders' equity on a consolidated basis as at June 30,
2005, represented 47.2% of the issued and paid-up capital of the
company.


SILVERSTONE CORP: Posts MYR8.41-Mil. Net Loss for Sept. Quarter
---------------------------------------------------------------
Silverstone Corporation Berhad reported a net loss of
MYR8.41 million for the quarter ended Sept. 30, 2006, 81.45%
more than the net loss of MYR4.64 million reported for the
quarter ended Sept. 30, 2005, the company said in its quarterly
financials.

For the period in review, the company recorded MYR122.24 million
in revenues, with operating expenses amounting to MYR124.29
million and other operating income amounting to MYR2.48 million.

As of September 30, 2006, the company had total assets of
MYR1.02 billion, total liabilities of MYR783.92 million and
total equity of MYR237.66 million.

                  About Silverstone Corporation

Headquartered in Kuala Lumpur, Silverstone Corporation Berhad is
an investment holding company.  The Company operates through
business segments.  SCB's business segments consist of tyre and
motor segments.  The tyre segment is engaged in the manufacture
sale and distribution of tyres, retreading tyres, rubber
compounds and other related rubber products.  SCB's tyres, the
Kruizer 1 and Evol 8 series are developed by using MicroBeta
Silica Technology.  The motor segment is engaged in the
manufacturing of motorcycle parts and accessories,
electroplating of motorcycle absorbers, sales, and distribution
of motor vehicles.  The company's other business segments
include investment holding, treasury business and provision of
training services.  SCB has its operations in Malaysia and
China.  Some of the company's subsidiaries include AMB Aerovest
Limited, AMB Harta (L) Limited, AMB Harta (M) Sdn Bhd and AMB
Venture Sdn Bhd.

The company is an affected listed issuer under Bursa Malaysia
Securities Berhad's amended Practice Note No. 17 as its auditors
have expressed a modified opinion with emphasis on the company's
going concern in the company's audited financial statement for
the financial year ended June 30, 2005.  Moreover, Silverstone's
shareholders' equity on a consolidated basis as at June 30,
2005, represented 47.2% of the issued and paid-up capital of the
company.


SINORA INDUSTRIES: Plan Not Substantive, Bourse Says
----------------------------------------------------
Sinora Industries Berhad has been informed by the Bursa Malaysia
Securities Berhad that its regularization plan is not a
substantive and comprehensive plan.

Sinora was directed to:

   i. Undertake a plan that is substantive to regularize its
      financial position and level of operations.

  ii. Submit the plan to the Securities Commission and other
      relevant authorities for approval within eight months from
      December 20, 2006.

iii. Implement the plan within the timeframe stipulated by the
      SC and other relevant authorities.

Headquartered in Kota Kinabalu, Malaysia, Sinora Industries
Berhad was engaged in the manufacture and sale of plywood, sawn
timber, veneer and molded wood products.  Its other activities
included investment holding and the provision of management
services.  Operations of the Group are carried out in Malaysia,
Japan, Korea, the United States of America, Europe and other
Asian countries.

Bursa Malaysia Securities Berhad, on July 8, 2005, classified
Sinora Industries Berhad as an affected listed issuer pursuant
to Practice Note No. 17/2005, in view that the company has
effectively ceased all its business and operations.


SUNWAY INFRASTRUCTURE: Post MYR19-Mil. Net Loss in Sept. Quarter
----------------------------------------------------------------
Sunway Infrastructure Berhad posted a net loss of MYR18.88
million for the quarter ending September 30, 2006.

The company had revenues of MYR7.30 million, expenses of MYR2.95
million and other operating income of MYR1.05 million, giving
the company a MYR5.40 million profit from operations.

The company incurred a MYR24.28 million finance cost.

As of September 30, 2006, the company had total assets of
MYR1.37 billion, total liabilities of MYR1.35 billion, and total
equity of MYR26.70 million.

                          *     *     *

Headquartered in Petaling Jaya, Malaysia, Sunway Infrastructure
Berhad -- http://www.sunway.com.my/-- is an investment holding  
company in Malaysia.  The Company's wholly owned subsidiary,
Sistem Lingkaran-Lebuhraya Kajang Sdn. Bhd. (SILK), is
responsible for the construction of the Kajang Traffic Dispersal
Ring Road.  Silk's activities are the upgrading and widening of
existing roads; the design and construction of a new alignment,
and the operation of the Kajang Traffic Dispersal Ring Road,
including toll operations and maintenance.  Through SILK, the
Company owned Salient Million Sdn. Bhd. Salient Million Sdn. Bhd
mainly focuses on undertaking housing development for residents
whose dwellings are located on the land, on which the Kajang
Traffic Dispersal Ring Road is constructed or who are affected
by the construction of the Kajang Traffic Dispersal ring road.
On November 22, 2005, SILK disposed of Salient Million Sdn. Bhd.

The company is an affected listed issuer pursuant to the Amended
PN17 since its auditors have expressed a modified opinion with
emphasis on the company's going concern in the company's audited
financial statements for the year ended June 30, 2006, and since
the unaudited shareholders' equity of approximately MYR26.702
million based on its quarterly results for the period ended
September 30, 2006 is less than 50% of its issued and paid up
capital of MYR90 million.


TALAM CORPORATION: Updates Bursa on Europlus Merger
---------------------------------------------------
On October 30, 2006, the Troubled Company Reporter - Asia
Pacific reported that the Securities Commission has given a time
extension until June 23, 2007, for Talam Corp. and Europlus
Berhad to comply with the SC-imposed conditions for the proposed
merger of their property related businesses.

Under the SC's approval for the time extension, Talam is
required to make an announcement on the status of compliance on
a quarterly basis.

The tables showing conditions imposed by the SC on the
properties of Talam and Europlus, which have yet to be met and
the current status of the conditions imposed on the properties
of Talam are available for free at:

    http://bankrupt.com/misc/tcrap_talam-conditions.xls

                          *     *     *

Headquartered in Kuala Lumpur, Malaysia, Talam Corporation
Berhad is principally engaged in property development.  Its
other activities include trading building materials,
manufacturing of ready mixed concrete, provision for higher
educational programs, development and management of hotel, golf
and country club horticulturists, agriculturists and landscaping
designers and contractors and investment holding.  Operations of
the group are carried out in Malaysia and China.

The Troubled Company Reporter - Asia Pacific reported on
Sept. 11, 2006, that based on the Audited Financial Statements
of Talam Corporation for the financial year ended January 31,
2006, the Auditors Ernst & Young were unable to express their
opinion on the Company's Audited Accounts.  As such, the Company
is an affected listed issuer of the Amended Practice Note 17
category.  

In accordance with PN 17, the company is required to submit and
implement a plan to regularize its financial condition within
eight months from Sept. 1, 2006.


TALAM CORP: Provides Update on Default Status as of Nov. 2006
-------------------------------------------------------------
Talam Corporation Berhad has fully settled the overdraft
facility of MYR1.8 Million granted by RHB Bank Berhad, the
company said in a corporate disclosure.

The status of the various credit facilities in default by the
company and its subsidiaries to the financial institutions as at
January 3, 2007, are:

A. Talam's loan with Hong Leong Bank Berhad will be settled from
   The balance of the sale proceeds from the disposal of land by
   the company to Banting Resources Sdn Bhd.

                                               Amt. Outstanding
   Subsidiary            Lender                  of 11/30/2006
   ----------            ------                ----------------
   Zillion Development   Hong Leong Bank Bhd    MYR1,671,495.75
   Sdn Bhd

B. Europlus Corporation Sdn Bhd has been notified that the
   Noteholders have approved and passed the resolution in
   writing on the proposed restructuring scheme on September 25,
   2006:

                                               Amt. Outstanding
   Subsidiary            Lender                  of 11/30/2006
   ----------            ------                ----------------
   Europlus Corp         Abrar Discounts Bhd     MYR196,000,000
   Sdn Bhd

C. These loans with the companies are part of the overall
   Financial Restructuring scheme submitted to the respective
   financial institutions and are waiting for their approval:

                                               Amt. Outstanding
   Subsidiary            Lender                  of 11/30/2006
   ----------            ------                ----------------
   Abra Development      EON Bank Bhd             MYR13,208,364
   Sdn Bhd

   Europlus Bhd          RHB Sakura Merchant       MYR3,408,693
                         Bankers Bhd

   Europlus Bhd          AmMerchant Bank           MYR6,674,920
                         Bank Bhd

   Maxisegar Realty      TA First Credit          MYR28,770,732
   Sdn Bhd               Sdn Bhd                  MYR53,475,091
                                                  MYR52,663,674

   Talam Corp Bhd        Pengurusan Danaharta      MYR2,526,830
                         Danaharta Nasional     


   Talam Corp Bhd        RHB Sakura Merchant      MYR11,552,303
                         Bankers Bhd              MYR17,339,836
                                                   MYR7,637,843
                                                   MYR5,759,106

   Talam Corp Bhd        EON Bank Berhad           MYR3,363,381
                                                   MYR3,341,413

   Talam Industries Bhd  RHB Sakura Merchants     MYR12,521,064
                         Bankers Bhd


D. These companies are in the midst of finalizing the sales and
   Purchase agreement for the disposal of the asset to repay the
   banking facilities:

                                               Amt. Outstanding
   Subsidiary            Lender                  of 11/30/2006
   ----------            ------                ----------------
   Europlus Bhd          Affin Bank Bhd            MYR8,850,000
                                                   MYR1,900,000

   Juara Tiasa           Affin-ACF Finance Bhd     MYR3,358,842
   Sdn Bhd

   Talam Corp Bhd        Affin Bank Bhd            MYR3,000,000
                                                   MYR5,000,000

   Talam Corp Bhd        RHB Bank Bhd             Fully Settled

E. These companies are finalizing the joint venture agreement
    with the reputable developers where the joint venture
    company will repay the loan:

                                               Amt. Outstanding
   Subsidiary            Lender                  of 11/30/2006
   ----------            ------                ----------------
   Untung Utama          Insas Credit &            MYR5,139,636
   Sdn Bhd               Leasing Sdn Bhd          MYR14,231,875

   Ukay Land Bhd         Insas Credit &          Fully Settled
                         Leasing Sdn Bhd          MYR11,117,473

   Zhinmun Sdn Bhd       Insas Credit &            MYR5,117,428
                         Leasing Sdn Bhd          MYR21,176,749

F. This company is currently under Section 176 of the Companies
   Act, 1965:

                                               Amt. Outstanding
   Subsidiary            Lender                  of 11/30/2006
   ----------            ------                ----------------
   Maxisegar Sdn Bhd     Abrar Discounts Bhd     MYR130,000,000

                          *     *     *

Headquartered in Kuala Lumpur, Malaysia, Talam Corporation
Berhad is principally engaged in property development.  Its
other activities include trading building materials,
manufacturing of ready mixed concrete, provision for higher
educational programs, development and management of hotel, golf
and country club horticulturists, agriculturists and landscaping
designers and contractors and investment holding.  Operations of
the group are carried out in Malaysia and China.

The Troubled Company Reporter - Asia Pacific reported on
Sept. 11, 2006, that based on the Audited Financial Statements
of Talam Corporation for the financial year ended January 31,
2006, the Auditors Ernst & Young were unable to express their
opinion on the Company's Audited Accounts.  As such, the Company
is an affected listed issuer of the Amended Practice Note 17
category.  

In accordance with PN 17, the company is required to submit and
implement a plan to regularize its financial condition within
eight months from Sept. 1, 2006.


TAP RESOURCES: Second Quarter Net Loss Reaches MYR895,000
---------------------------------------------------------
Tap Resources Bhd incurred a net loss of MYR895,000 on
MYR2.22 million of revenues in the second quarter ended Oct. 31,
2006, as compared with the MYR1.77-million net loss on
MYR3.35 million of revenues in the same period in 2005.

As of end-October 2006, the company's consolidated balance sheet
showed strained liquidity with MYR3.66 million in current assets
available to pay MYR49.54 million of current liabilities.

The company's balance sheet showed total assets of
MYR71.32 million and total liabilities of MYR49.54 million,
resulting in a shareholders' equity of MYR21.76 million.

                          *     *     *

TAP Resources Berhad is principally engaged in property
development.  Its other activities include general contracting;
manufacturing and general trading of building materials,
construction chemicals, ready mixed concrete and non-baked
bricks; installing air-conditioners, process control and switch
gear automation; selling of electrical goods; and investment
holding.  The Group operates wholly in Malaysia.

The company is classified under the PN17 category because, for
the nine months ended January 31, 2006, its shareholders' equity
on a consolidated basis is equal to or less than 25% of the
issued and paid up capital of the Company and such shareholders
equity is less than the minimum issued and paid up capital as
required under paragraph 8.16A (1) of the Listing Requirements
of Bursa Malaysia Securities Berhad, plus it has a default in
payments and is unable to provide a solvency declaration.  


TAP RESOURCES: Unit Faces Wind-Up Petition
------------------------------------------
Tap Construction Sdn Bhd, a wholly owned subsidiary of Tap
Resources Bhd is facing a wind-up petition filed before the High
Court of Malaya at Kuala Lumpur by MS Elevators Engineering Sdn
Bhd.

A hearing of the petition will be on March 8, 2007.

MS Elevators is claiming a sum of MYR74,135.39 for construction
works and services provided to TAP Construction in respect of a
project in Malacca and interest sum of MYR41,080.00 being the
interest at the rate of 8% per annum calculated from April 30,
1999, until the date the debt is satisfied.  

In addition, a further interest at the rate of 8% per annum will
be paid by the company on the sum until date of actual payment
plus cost of MYR1,369.00.

Tap Resources said that the winding up proceedings can
jeopardize the operations of its unit since it has been granted
some credit facilities by suppliers.

The expected losses would be the legal costs and the amount
claimed.

TAP Construction had in April 2006 proposed to MS Elevators for
settlement of the above sum by procuring the transfer of a
vacant unit of condominium located in Klang Valley with market
value of approximately MYR135,000 or alternatively the payment
of MYR15,000 through 3 cheques of MYR5,000 each and the balance
outstanding sum within the six months period.

MS Elevators, however, did not revert to TAP Construction in
respect of the proposal.

Meanwhile, Tap Resources Bhd disclosed that its total investment
in TAP Construction is MYR4,208.036.

In addition, it said that as at October 31, 2006, the unaudited
accumulated losses of TAP Construction amounts to
MYR64.25 million.  Full impairment losses have been provided for
in the latest audited accounts.

                          *     *     *

TAP Resources Berhad is principally engaged in property
development.  Its other activities include general contracting;
manufacturing and general trading of building materials,
construction chemicals, ready mixed concrete and non-baked
bricks; installing air-conditioners, process control and switch
gear automation; selling of electrical goods; and investment
holding.  The Group operates wholly in Malaysia.

The company is classified under the PN17 category because, for
the nine months ended January 31, 2006, its shareholders' equity
on a consolidated basis is equal to or less than 25% of the
issued and paid up capital of the Company and such shareholders
equity is less than the minimum issued and paid up capital as
required under paragraph 8.16A (1) of the Listing Requirements
of Bursa Malaysia Securities Berhad, plus it has a default in
payments and is unable to provide a solvency declaration.  


=====================
N E W   Z E A L A N D
=====================

AIR NEW ZEALAND: No Plans to Cut Fare Despite Fuel Price Drop
-------------------------------------------------------------
Air New Zealand has no plans of cutting airfares despite the
recent drop of jet fuel prices, reports say.

"At this stage we have no intention of reducing them (fares),"
Air New Zealand spokeswoman Pam Wong told the New Zealand Press
Association.  "We are still not recovering the full cost of
fuel.  Until we are a little bit close to that, we don't have
any intention of reducing them."

According to Ms. Wong, the airline had forward purchased its
fuel so that the recent falls had not reduced its fuel bill, The
Age relates.

The Australian Associated Press says the airline has been caught
on the wrong side of fuel hedging contracts designed to protect
it from fuel price rises.

In August, at its annual result briefing it said it was 60%
hedged at $US71 (AU$91.04) a barrel -- meaning that would be the
maximum price it would have to pay for 60% of its fuel, AAP
relates, noting that the airline is currently 72% hedged at
between US$62 and US$72 a barrel.

Air NZ forecast that its fuel bill this year would be around
US$1.1 billion, up from around NZ$900 million (AU$798.9 million)
last year and NZ$480 million (AU$426 million) three years ago,
The Age says.

According to One News, cheaper petrol does not mean courier or
freight companies will pass on price cuts.  It does not mean
cheaper local airfares either, One News adds.

The AAP relates that over the past six months the price of crude
oil has fallen from a peak of about US$78 a barrel to under
US$52.  Jet fuel prices rose 44% on a year earlier, it says.

                      About Air New Zealand

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

As reported in the Troubled Company Reporter - Asia Pacific on
September 2, 2005, Moody's Investors Service affirmed its Ba1
issuer rating on Air New Zealand Limited after the airline
announced its annual results for FY2005.  Air NZ's rating
reflected its dominant position in the New Zealand domestic
market, with around 80% market share, and the profitability of
domestic operations following their restructuring to a low-cost
network model.  Also supporting Air NZ's rating was its solid
liquidity position, with cash balances of NZ$1.071 billion held
as at June 30, 2005.

However, while Air NZ has a solid position in New Zealand and
other parts of the international network are performing well,
intense competition on trans-Tasman routes has resulted in it
being unprofitable for Air NZ.  International competition also
limits Air NZ's ability to expand.  Its management is also aware
of the airline's vulnerability to external shocks and the
actions of key competitors.


AIR NEW ZEALAND: Talks with Union on Ground Service Jobs' Future
----------------------------------------------------------------
In Auckland on January 15, 2007, talks started between the
Engineering, Printing and Manufacturing Union and Air New
Zealand over the future of the airlines' passenger and ground-
handling services and the 1,700 jobs they involve.

According to EPMU, the talks represent the last opportunity to
stop the outsourcing of the services.

EPMU National Secretary Andrew Little says "this is about the
future quality of this important frontline work and about the
future quality of working life for many of these employees."

Mr. Little reveals that the union has "very real doubts about
whether the claimed savings are at all possible, and the case
for contracting out is far from convincing."

"Nevertheless, if there are aspects of the operation that can be
improved without harming our members then we are open to
discussing those improvements and we will seek to do so this
week," Mr. Little notes.

In February 2006, unions, including the EPMU, persuaded the
airline to abandon a proposal to contract out wide-bodied
aircraft heavy maintenance, saving approximately 400 out of 700
jobs as a result.  Recently, the airline advertised for aircraft
engineering positions saying they no longer had enough
engineering personnel to do the work available.

"Obviously, we want to prevent the same sort of short-sighted
decision-making we saw last year," Mr. Little says.

The union has engaged Bevan Wallace, a business analyst from
chartered accountancy firm Ireland Wallace, to evaluate the
airline's original proposal.  Mr. Wallace's analysis will be
formally presented to the airline this week.

On October 18, 2007, the Troubled Company Reporter - Asia
Pacific cited a report from Travel Daily News stating that
Swissport International and partner company Transfield Services
New Zealand Ltd. agreed with Air New Zealand to be the preferred
bidders in the potential outsourcing of Air New Zealand's ground
handling operations at Auckland, Wellington, and Christchurch
airports.

According to the TCR-AP, Swissport International had put in a
formal offer to provide frontline services for NZ$20 million a
year less than current costs.  Air New Zealand assumed that the
contractor could do the job NZ$20 million cheaper.

The TCR-AP noted that the nomination is subject to contract
after a 58-day consultation period between Air New Zealand and
its labor unions.

On November 30, 2006, the TCR-AP reported that the EPMU and the
Food Service Workers Union filed an application for injunction
in the Employment Court against Air New Zealand to prevent the
airline from contracting out their jobs to Swissport.

The unions claimed that the airline had failed to disclose
relevant information and that the contracting out proposal was
designed to compel them to negotiate wages and conditions
without the right to take industrial action.

In December, Air New Zealand agreed to postpone any decision
until February 8, 2007, when the legal action is due to be heard
in the Employment Court in Auckland.

                      About Air New Zealand

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

As reported in the Troubled Company Reporter - Asia Pacific on
September 2, 2005, Moody's Investors Service affirmed its Ba1
issuer rating on Air New Zealand Limited after the airline
announced its annual results for FY2005.  Air NZ's rating
reflected its dominant position in the New Zealand domestic
market, with around 80% market share, and the profitability of
domestic operations following their restructuring to a low-cost
network model.  Also supporting Air NZ's rating was its solid
liquidity position, with cash balances of NZ$1.071 billion held
as at June 30, 2005.

However, while Air NZ has a solid position in New Zealand and
other parts of the international network are performing well,
intense competition on trans-Tasman routes has resulted in it
being unprofitable for Air NZ.  International competition also
limits Air NZ's ability to expand.  Its management is also aware
of the airline's vulnerability to external shocks and the
actions of key competitors.


CAPITAL CLEANING: Court Sets Liquidation Hearing on Jan. 23
-----------------------------------------------------------
A liquidation petition filed against Capital Cleaning Services
Ltd will be heard before the High Court of Wellington on
Jan. 23, 2007, at 10:00 a.m.

The Commissioner of Inland Revenue filed the petition on
Nov. 30, 2006.

The CIR's solicitor can be reached at:

         John Frederick Parnell
         Technical and Legal Support Group
         Wellington Service Centre
         1st Floor, New Zealand Post House
         7-27 Waterloo Quay (PO Box 1462)
         Wellington
         New Zealand
         Telephone:(04) 890 4673
         Facsimile:(04) 890 0009


CHECKMATE LTD: Court Sets Liquidation Hearing on Jan. 23
--------------------------------------------------------
The High Court of Wellington will hear a liquidation petition
filed against Checkmate Ltd on Jan. 23, 2007, at 10:00 a.m.

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

The CIR's solicitor can be reached at:

         John Frederick Parnell
         Technical and Legal Support Group
         Wellington Service Centre
         1st Floor, New Zealand Post House
         7-27 Waterloo Quay (PO Box 1462)
         Wellington
         New Zealand
         Telephone:(04) 890 4673
         Facsimile:(04) 890 0009


COUNTRY GARAGES: Shareholders Opt to Liquidate Business
-------------------------------------------------------
On Dec. 14, 2006, the shareholders of Country Garages Ltd
resolved by a special resolution to:

   (a) liquidate the company's business; and

   (b) appoint Michael Crawford as liquidator

The Liquidator can be reached at:

         Michael Crawford
         P.O. Box 17, Hamilton
         New Zealand
         Telephone:(07) 838 4800
         Facsimile:(07) 838 4810


DRAGON WORLD: CIR Seeks to Liquidate Company
--------------------------------------------
On Nov. 10, 2006, the Commissioner of Inland Revenue filed a
petition to liquidate Dragon World Ltd.

The petition will be heard before the High Court of Wellington
on Jan. 23, 2007, at 10:00 a.m.

The CIR's solicitor can be reached at:

         John Frederick Parnell
         Technical and Legal Support Group
         Wellington Service Centre
         1st Floor, New Zealand Post House
         7-27 Waterloo Quay (PO Box 1462)
         Wellington
         New Zealand
         Telephone:(04) 890 4673
         Facsimile:(04) 890 0009


DUNWEL CORP: Decides to Liquidate Business
------------------------------------------
On Dec. 20, 2006, the shareholders of Dunwel Corporation Ltd
resolved through a special resolution to liquidate the company's
business and appointed Christopher John Lynch as liquidator.

The Liquidator can be reached at:

         Christopher John Lynch
         Staples Rodway Taranaki Limited
         109-113 Powderham Street, New Plymouth
         New Zealand
         Telephone:(06) 758 0956
         Facsimile:(06) 757 5081


GREYS AVENUE: Faces Liquidation Proceedings
-------------------------------------------
A petition to liquidate Greys Avenue Development Ltd will be
heard before the High Court of Auckland on Jan. 25, 2007, at
10:45 a.m.

The Commissioner of Inland Revenue filed the petition with the
Court on Oct. 10, 2006.

The CIR's solicitor can be reached at:

         Geraldine Ann Ryan
         Auckland South Service Centre
         17 Putney Way (PO Box 76198)
         Manukau, Auckland
         New Zealand
         Telephone:(09) 984 2002


KEISH HOLDINGS: Court to Hear Liquidation Petition on Jan. 25
-------------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against Keish Holdings Ltd on Jan. 25, 2007, at 10:45 a.m.

The Commissioner of Inland Revenue filed the petition on Oct. 5,
2006.

The CIR's solicitor can be reached at:

         Justine Berryman
         Technical and Legal Support Group
         Auckland North Service Centre
         Inland Revenue Department
         5-7 Byron Avenue (PO Box 33150)
         Takapuna, Auckland
         New Zealand
         Telephone:(09) 984 1538
         Facsimile:(09) 984 3116


L.T. ROBINSON: Liquidation Hearing Set on January 23
----------------------------------------------------
On Nov. 28, 2006, the Commissioner of Inland Revenue filed a
liquidation petition against L.T. Robinson Ltd before the High
Court of Wellington.

The petition will be heard on Jan. 23, 2007, at 10:00 a.m.

The CIR's solicitor can be reached at:

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


ORIGIN PACIFIC: Commences Liquidation Proceedings
-------------------------------------------------
On Nov. 15, 2006, the shareholders of Origin Pacific Airways Ltd
resolved to put the company into liquidation.

In this regard, Iain Andrew Nellies and Wayne John Deuchrass
were appointed as joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Iain Andrew Nellies
         Wayne John Deuchrass
         Insolvency Management Limited
         Level 1, 148 Victoria Street
         (PO Box 13401), Christchurch
         New Zealand

                      About Origin Pacific

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

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

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

A subsequent TCR-AP report on September 18, 2006, stated that
Origin Pacific admitted that its attempts at finding a buyer for
its freight business had failed, and is thus taking steps to
wind up its operations.  Accordingly, on September 21, Origin
Pacific was placed in receivership, with Christchurch chartered
accountant Murray Allott as the receiver.


PAX TRADING: Creditors Must Prove Debts by January 31
-----------------------------------------------------
On Dec. 21, 2006, the shareholders of Pax Trading Company Ltd
resolved through a special resolution to liquidate the company's
business and appoint Kim S. Thompson as liquidator.

Accordingly, the company's creditors are required to prove their
debts by Jan. 31, 2007, or they will be excluded from sharing in
any distribution the company will make.

As reported by the Troubled Company Reporter - Asia Pacific, the
Court heard a wind-up petition against the company on Aug. 24,
2006.  The Commissioner of Inland Revenue filed the petition

The Liquidator can be reached at:

         Kim S. Thompson
         PO Box 1027, Hamilton
         New Zealand
         Telephone:(07) 834 6027
         Facsimile:(07) 834 6104


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

* RP's 2006 Budget Deficit Likely a Low PHP62-Billion
-----------------------------------------------------
The national government likely ended 2006 with a budget deficit
of about PHP62 billion, way below the target ceiling of
PHP125 billion, according to a full-year financial performance
assessment presented at a meeting of the inter-agency
Development Budget Coordination Committee on January 12, 2007.

The final figure will be officially announced on Feb. 14, 2007.

The DBCC also approved a revision in its exchange-rate
assumption to factor in the peso's recent surge to six-year
highs against the dollar.  For 2007, it assumes a rate of
PHP48.00-PHP50.00 to the dollar, compared with its earlier
forecast of PHP50.00-PHP52.00.

The national government kept its deficit in check last year
largely due to under-spending, especially as it operated on a
rolled-over 2005 budget after Congress failed to pass the budget
proposal for 2006.  In October, Congress approved a supplemental
budget of PHP46.9 billion, but officials said it came too late
for line agencies to spend on their programs for 2006.

The latest official data show a January-November budget deficit
of PHP58.32 billion, 52% below the target limit of PHP123.0
billion for that period.

At the meeting on Jan. 12, the DBCC agreed to slash the 2007
revenue collection targets of the Bureau of Internal Revenue and
Bureau of Customs to factor in reduced interest rates and a
stronger peso exchange rate against the U.S. dollar, although it
kept the total revenue target for 2007 at PHP1.12 trillion and
the target limit for the budget deficit at PHP63 billion.

The government also expects to generate PHP25 billion from the
sale of its remaining stake in Philippine Long Distance
Telephone Co. by April, the DBCC documents showed.

The BIR target collection is trimmed to PHP765 billion from
PHP784 billion, and customs bureau target to PHP228 billion from
PHP235 billion, the documents also showed.

One reason for cut in the BIR target is the fall in interest
rates, which results in reduced collection of withholding tax on
yields on government securities.

The DBCC forecasts 2007 interest rates based on the benchmark
91-day Treasury bills at 4.0%-4.5% from the 5.5%-6.5% projected
during a review of economic assumptions in November 2006.

The DBCC also noted, according to documents, "decelerating
inflation, ample liquidity in the system and the sustained
improvements in the national government's fiscal position and
the strong demand for government securities."

"Strong foreign exchange inflows will continue to drive the
expansion in domestic liquidity.  Inflows are expected to come
from overseas Filipino workers' remittances as well as from
foreign investments as a result of fiscal reform and improving
economic fundamentals," it added.

A reason for the cut in the customs bureau's target is the
continued strengthening of the peso, which results in a lower
peso equivalent of the bureau's dollar collections of import
duties.

                          *     *     *

On January 10, 2007, Standard & Poor's Ratings Services assigned
its 'BB-' senior unsecured debt rating to the Republic of
Philippines' (foreign currency BB-/Stable/B, local currency
BB+/Stable/B) proposed US$1.0 billion global bond issue maturing
in 2032.

On January 10, 2007, Fitch Ratings assigned a Long-term foreign
currency rating of 'BB' to the Republic of the Philippines'
(rated foreign currency Issuer Default 'BB') US$1 billion global  
bond maturing in 2032 and priced to yield 6.55%.

On November 3, 2006, the Troubled Company Reporter - Asia
Pacific reported that Moody's Investors Service changed to
stable from negative the outlook on the Philippines' key ratings
due to the progress made in reining in fiscal deficits in 2006
and an easing in dependence on external financing.

The affected ratings include the B1 long-term government
foreign- and local-currency ratings, the B1 foreign-currency
bank deposit ceiling and Ba3 foreign currency country ceiling,
the TCR-AP noted.


* NPL Ratio of RP's Universal and Commercial Banks Down to 6.96%
----------------------------------------------------------------
As of end-November 2006, the universal and commercial banks'
(U/KBs) non-performing loans (NPL) ratio moved closer to its
pre-crisis level at 6.96 percent, marking improvements of 0.20
percentage point from the previous month's 7.16 percent and 1.80
percentage points from year ago's 8.76 percent ratio.

The month-on-month reduction in NPL ratio was an effect of the
0.86 percent drop in NPLs and the 2.02 percent increase in the
industry's total loan portfolio (TLP).  NPLs shrunk to P140.98
billion from the previous month's P142.20 billion, while TLP
broadened to P2,026.18 billion from P1,986.07 billion.

Exclusive of interbank loans (IBL), the industry's NPL ratio
likewise improved by 0.15 percentage point to 8.47 percent from
last month's 8.62 percent with regular loans marginally
increasing by 0.94 percent. Year-on-year, this month's ratio is
2.05 percentage points better than the base figure of 10.52
percent.

The month of November saw lower balance of restructure loans.
Consequently, the proportion of restructured loans (RLs) to TLP
was pared to 4.63 percent from 4.75 percent in October.
Meantime, the ratio of non-performing RLs to total RLs favorably
went down to 48.48 percent from the previous month's 51.13
percent ratio.

There was progress in the disposal of foreclosed properties by
the industry. Its stock of real and other properties acquired
(ROPA) declined by 3.41 percent to P180.12 billion from P186.47
billion last month.  Consequently, the ROPA to gross assets (GA)
ratio slid to 4.15 percent from 4.39 percent.

The non-performing assets (NPA) ratio also eased to 7.15
percent from the previous month's 7.50 percent. This was driven
by the 2.45 percent decline in NPAs, complemented by the 2.25
percent expansion in GAs.  Moreover, this month's ratio is 1.65
percentage points better than year ago's 8.80 percent ratio.

As of end-November 2006, loan loss reserves (LLRs) stood at
P110.67 billion, for a 78.50 percent NPL coverage ratio, while
the NPA reserves amounted to P127.05 billion, for a 41.09
percent NPA coverage ratio.  This month's NPL coverage ratio is
lower than last month's 79.42 percent, yet stronger than year
ago's 71.88 percent ratio.  The same is true for the NPA
coverage ratio at 41.47 percent last month and 39.55 percent
ratio a year ago. The month-on-month relief came about from a
faster pace of reduction in loss reserves than the reduction in
NPLs and NPAs.

                          *     *     *

On January 10, 2007, Standard & Poor's Ratings Services assigned
its 'BB-' senior unsecured debt rating to the Republic of
Philippines' (foreign currency BB-/Stable/B, local currency
BB+/Stable/B) proposed US$1.0 billion global bond issue maturing
in 2032.

On January 10, 2007, Fitch Ratings assigned a Long-term foreign
currency rating of 'BB' to the Republic of the Philippines'
(rated foreign currency Issuer Default 'BB') US$1 billion global  
bond maturing in 2032 and priced to yield 6.55%.

On November 3, 2006, the Troubled Company Reporter - Asia
Pacific reported that Moody's Investors Service changed to
stable from negative the outlook on the Philippines' key ratings
due to the progress made in reining in fiscal deficits in 2006
and an easing in dependence on external financing.

The affected ratings include the B1 long-term government
foreign- and local-currency ratings, the B1 foreign-currency
bank deposit ceiling and Ba3 foreign currency country ceiling,
the TCR-AP noted.


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

ADVANCED MICRO: Shares Drop 10% as Lower Prices Cut Profit
----------------------------------------------------------
Advanced Micro Devices Inc.'s shares dropped nearly 10% Friday
after the company warned of substantially lower profits caused
by a price war with its bigger rival Intel Corp., Chris Nuttall
writes for the Financial Times.

AMD disclosed expects revenue, excluding ATI-related segments,
for the fourth quarter ended Dec. 31, 2006, to increase
approximately three percent from the US$1.33 billion reported in
the third quarter of 2006.  Fourth quarter operating income,
excluding ATI-related segments and acquisition-related charges,
is expected to be positive but substantially lower than in the
third quarter.  The company said that its fourth quarter gross
margin and operating income were impacted by "significantly
lower microprocessor average selling prices, which largely
offset a significant increase in unit sales."

FT reports that AMD's total expected sales of US$1.72 billion
for the fourth quarter, including expected revenue of US$350
million from the purchase of ATI Technologies, is below analyst
expectations of US$1.85 billion for the fourth quarter.  Bank of
America semiconductor analyst Sumit Dhanda expressed the figures
as a big miss.

Joe Osha, an analyst at Merrill Lynch, warned that AMD might
lose money in the first half of 2007 citing competition from
rival Intel, slower discovery in its ATI's graphics card
business and the need to raise capacity.

AMD will report fourth quarter 2006 consolidated results after
market close on Jan. 23, 2007.

                           About AMD

Headquartered in Sunnyvale, California, Advanced Micro Devices,
Inc., -- http://www.amd.com/-- designs and manufactures   
microprocessors and other semiconductor products.

The company has a facility in Singapore.  It has sales offices
in Belgium, France, Germany, the United Kingdom, Mexico and
Brazil.

Standard & Poor's Ratings Services affirmed its 'B+' corporate
credit rating on Sunnyvale, California-based Advanced Micro
Devices Inc.

Standard & Poor's removed the rating from CreditWatch negative
where it had been placed on July 24, 2006, following the
announced acquisition of unrated ATI Technologies Inc.  The
ratings outlook is negative.

At the same time, the rating agency assigned its 'BB-' bank loan
rating, one notch above the corporate credit rating, and a '1'
recovery rating to the company's proposed US$2.5 billion senior
secured term loan, to be used as partial funding of the
acquisition.

Standard & Poor's also raised its rating on the company's
US$600 million (US$390 million outstanding) senior notes to 'B+'
from 'B', because the company plans to withdraw its shelf
registration which structurally subordinated the notes.
Concurrent with the closing of the new bank loan and pursuant to
a debt incurrence test in the indenture for the notes, the notes
will become pari passu to the bank loan and the note rating will
become 'BB-' with a '1' recovery rating.

The Troubled Company Reporter - Asia Pacific reported on Nov. 2,
2006, that 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. technology semiconductor
and distributor sector, the rating agency affirmed its Ba3
corporate family rating on Advanced Micro Devices, Inc.

Additionally, Moody's revised or held its probability-of-default
ratings and assigned loss-given-default ratings on these loans
and bond debt obligations:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$600 Mil. senior
   unsecured notes         B1      Ba3     LGD4        59%

   Shelf - Sr.
   Unsecured Notes         B1      Ba3     LGD4        59%

   Shelf - Subor.          B2       B2     LGD6        97%

   Shelf - Preferred       B3       B2     LGD6        97%


APBT MYANMAR: Pays Dividend to Creditors
----------------------------------------
APBT Myanmar Pte Ltd, which is in compulsory liquidation, has
paid the first and final dividend to its creditors on Jan. 12,
2007.

The company paid 0.42 cents to a dollar.

As reported by the Troubled Company Reporter - Asia Pacific, the
company entered wind-up proceedings on May 20, 2005.

The liquidator can be reached at:

         Ramasamy Subramaniam Iyer
         Goh Thien Phong
         c/o PricewaterhouseCoopers
         8 Cross Street #17-00
         PWC Building
         Singapore 048424


AXS-ONE INC: AMEX Reviewing Plan of Compliance
----------------------------------------------
The staff of the American Stock Exchange has reviewed the AXS-
One Inc.'s plan of compliance to meet the AMEX's continued
listing standards and will continue the company's listing while
the company seeks to regain compliance with the listing
standards during the period ending April 6, 2008.

The AMEX staff notified AXS-One on Oct. 6, 2006, that the
company had fallen below the listing standard set forth in
Section 1003(a)(i) of the AMEX Company Guide.  During the plan
period, the company must continue to provide the AMEX staff with
updates regarding initiatives set forth in its plan of
compliance.

The company will be subject to periodic review by the AMEX staff
during the plan period.  If the company is not in compliance
with the continued listing standards on April 6, 2008 or the
company does not make progress consistent with the plan during
the plan period, then the AMEX may initiate immediate delisting
proceedings.

                      About AXS-ONE Inc.

AXS-One Inc. (AMEX: AXO) -- http://www.axsone.com/-- provides   
high performance Records Compliance Management solutions.  The
AXS-One Compliance Platform enables organizations to implement
secure, scalable and enforceable policies that address records
management for corporate governance, legal discovery and
industry regulations such as SEC17a-4, NASD 3010, Sarbanes-
Oxley, HIPAA, The Patriot Act and Gramm-Leach Bliley.
Headquartered in Rutherford, New Jersey, AXS-One has offices
worldwide including in the United States, Australia, United
Kingdom, South Africa and Singapore.

As of June 30, 2006, the company's balance sheet showed
US$9,799,000 in total assets and US$16,887,000 in total
liabilities, resulting in a US$7,088,000 stockholders' deficit.

Moreover, the company's total assets as of the end of September
2006 amounted to US$7.30 million while total liabilities
amounted to US$17.05 million, resulting in a stockholders'
equity deficit of US$9.79 million.


CHELSEA INVESTMENTS: Court to Hear Wind-Up Petition on Jan. 19
--------------------------------------------------------------
On Dec. 28, 2006, Lim Teck Chuan has filed a petition to wind up
the operations of Chelsea Investments Pte Ltd.

The High Court of Singapore will hear the wind-up petition on
Jan. 19, 2007, at 10:00 a.m.

The Petitioner's solicitors can be reached at:

         Tan Lian Ker & Co
         101 Upper Cross
         Street #06-10, People's Park Centre
         Singapore 058357


EVERGREAT CONSTRUCTION: Creditors' Meeting Scheduled on Jan. 18
---------------------------------------------------------------
Evergreat Construction Company Private Limited, which is under
judicial management, will hold a meeting for its creditors on
Jan. 18, 2007, at 3:00 p.m., at 442 Orchard Road, Orchard Hotel
in Level 3 - Meeting Room (Lavender 2), Singapore 238879.

At the meeting, the creditors will be asked to:

   -- receive an update on the status of the arbitration
      proceedings between Evergreat Construction, Architects
      Vista Pte Ltd and Fong Hoo Cheong; and

   -- consider the financing and contributions toward the
      arbitration proceedings.

As reported by the Troubled Company Reporter - Asia Pacific, the
company was placed under judicial management on Jan. 20, 2006.

The judicial manager can be reached at:

         Goh Boon Kok
         c/o Goh Boon Kok & Co.
         1 Claymore Drive #08-11
         Orchard Towers (Rear Block)
         Singapore 229594


ONE PHILLIP: Creditors Must Prove Debts by Feb. 2
-------------------------------------------------
The creditors of One Phillip Street Pte Ltd are required to file
their proofs of debt by Feb. 2, 2007, to be included in the
company's distribution of dividend.

The liquidator can be reached at:

         Zalinah Samade
         c/o IP Consultants Pte Ltd
         50 Robinson Road
         #15-00 VTB Building
         Singapore 068882


PETROLEO BRASILEIRO: Cidade do Rio Platform Goes Online
-------------------------------------------------------
Petroleo Brasileiro SA aka Petrobras disclosed that the Cidade
do Rio de Janeiro FPSO went online on Jan. 9, 2007, in the
Espadarte field, in the Campos Basin.

The Cidade do Rio de Janeiro vessel-platform will be capable of
lifting up to 100,000 barrels of oil and 2.5 million cubic
meters of gas per day. Installed at a water depth of 1,350
meters, the new platform can store 1.6 million barrels of oil.
The Cidade do Rio de Janeiro is an FPSO (floating, production,
storage, and offloading) unit that is 320 meters long, 54 meters
wide, and 30 meters tall, corresponding to a 10 story building.

The new platform is expected to reach its full production
capacity during 2007.  When operating at full load, it will be
connected to nine underwater wells, five of which for oil and
natural gas production while the other four are used for water
injection.  The FPSO has several technological innovations
onboard which includes a new oil-pumping system developed by the
Petrobras Research Center or Cenpes. The underwater centrifuge
pumping system, also known as S-BCSS, assists in lifting the oil
from the field to the platform.  

The great advantage, compared to the traditional systems, is
that it is installed externally to the well, on the sea floor,
expediting pump maintenance and replacement.  This technology
will slash operating costs, facilitate remote intervention in
the connected wells, and do away with completion rig use, one of
the most expensive equipment to lease in the international
market.  Contracted from MODEC International LCC, the Cidade do
Rio de Janeiro FPSO will make a significant contribution to
maintaining Brazilian oil self-sufficiency.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, distributes oil and natural gas
and power to various wholesale customers and retail distributors
in Brazil.

Petrobras has operations in China, India, Japan, and Singapore.

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's.

Fitch Ratings assigned these ratings on Petroleo Brasileiro's
senior unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+

Fitch upgraded the foreign currency rating of Petrobras to BB+
from BB, with positive outlook, in conjunction with Fitch's
upgrade of the long-term foreign and local currency IDRs of the
Federative Republic of Brazil to BB, from BB- on June 29, 2006.


PETROLEO BRASILEIRO: Inks Lease Contract with Larsen Oil
--------------------------------------------------------
Petroleo Brasileiro SA, the state-run oil company of Brazil, has
signed a five-year lease contract with Larsen Oil & Gas for a
semi-submersible drilling rig, Business News Americas reports.

Petrolia Drilling, Larsen's partner, said in a filing with the
Oslo stock exchange that the gross value of the lease contract
is US$645 million.

The drilling rig will have capacity to run at water depths of
2,400 meters.  It will start operating in offshore Brazil in
2009, BNamericas states.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, distributes oil and natural gas
and power to various wholesale customers and retail distributors
in Brazil.

Petrobras has operations in China, India, Japan, and Singapore.

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's.

Fitch Ratings assigned these ratings on Petroleo Brasileiro's
senior unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+

Fitch upgraded the foreign currency rating of Petrobras to BB+
from BB, with positive outlook, in conjunction with Fitch's
upgrade of the long-term foreign and local currency IDRs of the
Federative Republic of Brazil to BB, from BB- on June 29, 2006.


PETROLEO BRASILEIRO: P-52 Oil Rig Construction Completed
--------------------------------------------------------
Brasfels, the largest shipyard in the Rio de Janeiro state,
completed the construction of a 180,000-barrels-a-day P-52 oil
rig that Petroleo Brasileiro SA, the Brazilian state oil firm,
aims to start operating by the end of the first quarter of this
year, the Estado newswire reports.

Estado relates that the P-52 rig is expected to produce from the
Roncador field in the Campos Basin off the coast of Rio de
Janeiro.  It will also have the capacity to compress about 9.3
million cubic meters of natural gas daily.

Dow Jones Newswires underscores that Petroleo Brasileiro expects
to produce 1.979 million barrels per day this year, which is
higher compared with analysts' estimates of about 1.8 million
barrels per day last year.

Petroleo Brasileiro expects domestic production to average 2.23
million barrels of oil equivalent daily in 2007, Dow Jones
states.

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp  
-- was founded in 1953.  The company explores, produces,
refines, transports, markets and distributes oil and natural
gas and power to various wholesale customers and retail
distributors in Brazil.

Petrobras has operations in China, India, Japan and Singapore.

Petroleo Brasileiro SA's long-term corporate family rating is
rated Ba3 by Moody's.

Fitch Ratings assigned these ratings on Petroleo Brasileiro's
senior unsecured notes:

  Maturity Date           Amount        Rate       Ratings
  -------------           ------        ----       -------
  April  1, 2008      US$400,000,000    9%          BB+
  July   2, 2013      US$750,000,000    9.125%      BB+
  Sept. 15, 2014      US$650,000,000    7.75%       BB+
  Dec.  10, 2018      US$750,000,000    8.375%      BB+

Fitch upgraded the foreign currency rating of Petrobras to BB+
from BB, with positive outlook, in conjunction with Fitch's
upgrade of the long-term foreign and local currency IDRs of the
Federative Republic of Brazil to BB, from BB- on June 29, 2006.


REFCO INC: RCM Trustee Withdraws Objection to PlusFunds' Claims
---------------------------------------------------------------
In a stipulation approved by the U.S. Bankruptcy Court for the
Southern District of New York, Marc S. Kirschner, Chapter 11
Trustee of Refco Capital Markets, Ltd., and Refco Inc. and its
debtor-affiliates agree to withdraw their objections to
PlusFunds Group, Inc.'s claims, with prejudice.

PlusFunds filed amended proofs of claim on Dec. 1, 2006.  The
parties agree that the Amended Claims will supersede all Claims
filed by PlusFunds in the Refco cases.

In addition, allowance of the Amended Claims against all the
Debtors and Refco LLC will, in the aggregate, be capped at
US$7,000,000.

PlusFunds will be required to establish in further proceedings
which Debtor, if any, is liable for the Amended Claim or Claims,
and in what amount.  The Debtors will establish reserves as
appropriate for a potential US$7,000,000 claim in the aggregate
against all the Debtors and Refco LLC.  The aggregate reserve
will be used to pay any allowed Amended Claim against any of the
Debtors and Refco LLC not exceeding US$7,000,000.  Any reserve
taken by a Debtor in connection with the US$7,000,000 cap will
reduce, dollar-for-dollar, the reserve amount that must be taken
by the other Debtors with respect to the Amended Claims.

If and to the extent the Amended Claims should be adjudicated as
a liability of RCM, the RCM Trustee will classify the Amended
Claim as a Class 3 RCM FX/Unsecured Claim under the Plan.

The parties reserve all rights with respect to the validity of
the Amended Claims as against any Debtor or Refco LLC, or
whether the same is subject to subordination.  The Debtors and
Refco LLC reserve the right to seek avoidance of any
preferential payment to PlusFunds.  PlusFunds reserves the right
to assert all defenses to the same.

On Dec. 7, 2006, PlusFunds cast ballots to reject the Plan in
the full amount of its Amended Claims.  Pursuant to the
Stipulation, the Ballots cast will not be counted for purposes
of numerosity, value or existence of the Amended Claims at any
or all of the Debtors.  However, any elections contained in any
Ballot will be deemed valid to the extent the applicable Amended
Claim is allowed.

PlusFunds withdraws its Plan confirmation objection with
prejudice and its request pursuant to Bankruptcy Rule 3018
seeking temporarily allowance of the Amended Claims for voting
purposes.

Prior to the stipulation, Marc S. Kirschner, Chapter 11 Trustee
of Refco Capital Markets, Ltd., asks Judge Drain to disallow and
expunge Claim No. 11289 filed by PlusFunds against RCM for
approximately US$532,000,000.

The Claim asserts entitlement to an amount precisely equal to a
US$312,000,000 preference cash, plus PlusFunds' "enterprise
value" of US$220,000,000 and "unliquidated damages in an amount
to be determined at trial" related to PlusFunds' lost management
fees.

Claim No. 11289 arose from the decline of PlusFunds' assets
under management in the wake of a preference action commenced by
the Official Committee of Unsecured Creditors against SPhinX
Managed Futures Fund SPC.

The SPhinX Preference Action sought to avoid a US$312,000,000
cash transfer placed with RCM by SPhinX to segregated customer
accounts at Refco, LLC.  The Preference Cash was then
transferred from Refco LLC outside of Refco entirely, to
accounts at Lehman Brothers.

Jared R. Clark, Esq., at Bingham McCutchen LLP, in New York,
relates that on October 13, 2005, Refco, Inc., and its
affiliates imposed a 15-day moratorium on withdrawals from RCM
accounts because of insufficient liquidity within RCM.  On
December 16, Judge Drain entered a temporary restraining order
freezing and attaching SPhinX's assets in an amount equal to the
Preference Cash.

To resolve the SPhinX Preference Action, the Creditors Committee
and SPhinX entered into a settlement, subsequently approved by
Judge Drain, providing for a US$263,000,000 payment to RCM.

The SPhinX Settlement is currently subject to appeal pending
before the U.S. District Court for the Southern District of New
York.

Mr. Clark tells Judge Drain that Claim No. 11289 fails to
articulate any facts that could serve as the basis for an
alleged breach of a contractual obligation or common law duty by
RCM.

Mr. Clark argues that the unspecified charge of wrongdoing does
not approach the level of particularity required for a fraud
claim under Rule 9(b) of the Federal Rules of Civil Procedure.
Specifically, he states, the Claim does not allege with
particularity:

   (1) what statement or omission RCM made or failed to make;

   (2) scienter on the part of RCM;

   (3) how or whether PlusFunds replied; or

   (4) what specific injury resulted.

Furthermore, Mr. Clark contends that PlusFunds' general
allegations of breach of contract, breach of fiduciary duty,
aiding, abetting, and conspiracy are similarly unsubstantiated.
He notes that the Claim asserts breach of contract without
specifying the nature of the contract with RCM that PFGI replies
upon; duty without alleging a relationship; and conspiracy
without naming the cabalists.

"The Claim's general, innuendo-laden allegations themselves
demonstrate that nothing lies back of it; it is prima facie
invalid," Mr. Clark asserts.

To the extent the Claim suggests the SPhinX Transfer itself
started a chain of events leading to PlusFunds' collapse,
PlusFunds was the catalyst, Mr. Clark points out.  Therefore, he
says, PlusFunds' subsequent wounds were self-inflicted.

To the extent the Claim suggests that Refco's filing for
bankruptcy caused PlusFunds to lose value, PlusFunds fails to
state a cognizable claim, Mr. Clark maintains.

                        About Refco Inc.

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

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

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

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

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).

Refco Commodity Management, Inc., formerly known as CIS
Investments, Inc., a debtor-affiliate of Refco Inc., filed for
chapter 11 protection on Oct. 16, 2006 (Bankr. S.D.N.Y. Case No.
06-12436).  (Refco Bankruptcy News, Issue No. 54; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)

                           Plan Update

On Sept. 14, 2006, Refco, Inc., and 25 of its subsidiaries,
along with Marc S. Kirschner, the Chapter 11 Trustee for the
estate of Refco Capital Markets, Ltd., delivered a Chapter 11
plan of reorganization and accompanying Disclosure Statement to
the Court.

On Oct. 10, 2006, the Debtors filed an Amended Plan and
Disclosure Statement and on Oct. 13, filed a Modified Amended
Disclosure Statement.  On Oct. 16, 2006, the Court gave its
tentative approval on the Disclosure Statement and the Court
Clerk entered an order on Oct. 20, 2006.

On Dec. 15, the Modified Joint Chapter 11 Plan of Refco Inc. and
certain of its direct and indirect subsidiaries, including Refco
Capital Markets, Ltd., and Refco F/X Associates LLC, was
confirmed by the Court.  That Plan became effective on Dec. 26,
2006.


REFCO INC: Wants West Loop's Claims Reduced
-------------------------------------------
Refco Inc. and its debtor-affiliates ask the U.S. Bankruptcy
Court for the Southern District of New York to reduce Claim Nos.
9884 and 9887 so that their maximum amount cannot exceed the
statutory cap under Section 502(b)(6) of the Bankruptcy Code.

Refco Group Ltd., LLC, and 550 Jackson Associates Limited
Liability Company were parties to a lease dated April 24, 2001,
for an office space located at 550 West Jackson Boulevard, in
Chicago, Illinois.  West Loop Associates, Inc., acquired title
to the Premises, with an assignment of the Lease.

RGL rejected the Lease, effective as of August 15, 2006.

                West Loop Claim Nos. 9884 and 9887

West Loop filed Claim Nos. 9884 and 9887 against RGL asserting
damages equal to US$67,482,808 caused by:

   (1) RGL's breach and rejection of the Lease;

   (2) acts of occupants of the Premises during the term of the
       Lease that caused the filing of mechanic's liens against
       the Building;

   (3) RGL's fraudulent transfer of approximately
       US$1,325,000,000 to Refco Group Holdings, Inc., in
       connection with a leveraged recapitalization that left
       RGL undercapitalized and insolvent; and

   (4) RGL's fraud, including misrepresentations, omissions, and
       concealment of material facts with the intent to defraud
       West Loop.

Specifically, West Loop asserted that:

     (i) assuming that payment of rent remains current under the
         Lease until August 15, the base rent owed from Aug. 16,
         2006, to March 31, 2015, will total US$36,159,764; and

    (ii) an additional rent is owed under the Lease from Aug. 16
         to March 31, 2015, totaling approximately
         US$27,484,008.

Thus, according to West Loop, the Base Rent and Additional Rent
from August 16 to the end of the Lease total US$63,643,772.

Furthermore, West Loop held that the total rent reserved under
the Lease from the Petition Date until March 2015 is
US$69,041,563, of which 15% equals the US$10,256,235 Rejection
Claim Amount.

West Loop also asserted that it will incur additional estimated
damages for US$3,002,217 in commissions, and US$8,114,100 in
tenant improvement costs in connection with re-letting the
premises.

The Debtors object to West Loop's calculation of the Rejection
Claim Amount on the grounds that:

   (1) West Loop failed to include all of its claims relating to
       the rejection of the Lease that are subject to Section
       502(b)(6) cap, including its fraud-related damage
       claims, and the cost of re-letting the Premises,
       including the commissions.

   (2) rejection damage calculation is incorrect; and

   (3) the Building is in Illinois and, under Illinois law, West
       Loop has a duty to mitigate its damages, and has the
       burden of proving its mitigation.

In addition, the Debtors want West Loop's claim for
reimbursement of attorneys' fees and costs denied because West
Loop:

   -- did not provide documentation evidencing that it incurred
      no less than US$366,491 in attorneys' fees and costs; and

   -- has not demonstrated that the fees and costs are
      reimbursable for the full amount sought.

Moreover, the Debtors state that the attorneys' fees and costs
are subject to cap under Section 502(b)(6) of the Bankruptcy
Code.

Sally McDonald Henry, Esq., at Skadden, Arps, Slate, Meagher &
Flom LLP, in New York, tells the Court that there is no evidence
that RGL was insolvent in September 2005.  Since there was no
default, there could be no false statement of material fact in
the estoppel certificate.

Ms. Henry argues that there is no evidence that the RGL estoppel
certificate was issued to induce West Loop to act, or that RGL
received any benefit from executing the certificate.

Ms. Henry summons West Loop to demonstrate that its damages
result from relying on RGL's purported false statements.

The Debtors maintain that West Loop has not demonstrated that it
is entitled to recover additional estimated damages equal to
US$3,002,217 in commissions and US$8,114,100 in tenant
improvement costs with reletting the Premises.

The Debtors insist that even if the Lease allows West Loop to
recover the Reletting Claims, the costs of reletting the
Premises were caused by the rejection of the Lease, and, thus
should be capped under Section 502(b)(6).

                    West Loop Related Claims

The Debtors further ask the Court to disallow and expunge:

   (a) a master proof of claim -- Claim No. 11560 -- filed by
       West Loop against RGL and its affiliates, except Refco
       Capital Markets, Ltd., Refco, Inc., and Refco, LLC;

   (b) Claim Nos. 9885 and 9886 filed by West Loop against Refco
       asserting damages caused by Refco's fraud; and

   (c) Claim Nos. 9882 and 9883 filed by West Loop against New
       Refco Group Ltd., LLC, asserting claims to the extent
       New RGL (x) had knowledge of, or was involved in, the
       fraudulent activities of RGL, Refco LLC, and (y) received
       any benefit on account of the breaches or fraudulent
       activities of entities, or is found responsible for the
       conduct of the entities.

Ms. Henry insists that the Related Claims should be disallowed
because:

     (i) West Loop has not demonstrated that a fraud claim lies
         against RGL;

    (ii) West Loop did not specifically assert that the RGL
         Affiliates made any misleading misrepresentations that
         were relied on by West Loop resulting in damages, nor
         has West Loop shown any other basis on which entities
         other than RGL could be liable; and

   (iii) West Loop's broad allegation that the RGL Affiliates
         are liable, to the extent that any or all of them had
         knowledge of or were involved in the fraudulent
         activities of Refco, Refco LLC, or RGL, received any
         benefit on account of the breaches or fraudulent
         activities of those entities or are found responsible
         for their conduct, does not satisfy Rule 9(b) of the
         Federal Rules of Civil Procedure.

To the extent that the Related Claims are not disallowed and
expunged in their entirety, the Debtors seek that they should be
subject to the Section 502(b)(6) cap because West Loop's
damages, if any, arise from RGL's rejection of the Lease.

              Debtors Seek Partial Summary Judgment

The Debtors ask Judge Drain to enter an order granting partial
summary judgment under Rule 7056 of the Federal Rules of
Bankruptcy Procedure and Civil Rule 56, finding that any fraud-
related damages asserted in the West Loop Claims are subject to
statutory limitation on lease rejection claims pursuant to
Section 502(b)(6).

Ms. Henry states that West Loop's recharacterization of its
lease termination damages claim to a fraud claim is irrelevant.
There was a landlord-tenant relationship between West Loop and
RGL.  West Loop's fraud claim is a claim arising from the
termination of a lease, she says.

Ms. Henry maintains that even if the Court favors West Loop, the
asserted fraud-related damages should be subject to Section
502(b)(6) limitation on lease termination damage claims.

The Official Committee of Unsecured Creditors supports the
Debtors' position.

                       West Loop Responds

A. Brent Truitt, Esq., at Hennigan, Bennett & Dorman LLP, in New
York, argues that West Loop's fraud claim and the damages
arising from that claim are factually and legally independent
and distinct from any claims and damages that resulted from
RGL's rejection of the Lease.

Mr. Truitt notes that the Court has (i) previously rejected the
very arguments now raised by the Debtors, and (ii) expressly
held that Section 502(b)(6) does not apply to damages resulting
from a sale of real property.

Mr. Truitt reminds Judge Drain that the Bankruptcy Court for the
Southern District of New York has recognized in Leslie Fay Cos.,
Inc. v. Corporate Property Associates 3 (In re The Leslie Fay
Cos., Inc.), 166 B.R. 802 (Bankr. S.D.N.Y. 994), that "it is
simply impossible to draw the inference which Leslie Fay says
flows from the facts which it has pleaded, that the fair market
value of the Premises is nothing more than the discounted rental
stream."

Rather, Mr. Truitt points out, the damages caused by West Loop's
payment of a purchase price in excess of the Property's actual
value is not simply lost cash flow, but is based on the higher
capitalization rate that would have been applied by West Loop in
October 2005 to calculate its purchase price, had it not been
misled about RGL's solvency and financial condition.

Mr. Truitt insists that the Section 502(b)(6) cap simply does
not apply to West Loop's fraud-based claims, and, thus the
Debtors' request should be denied.

                        About Refco Inc.

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

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

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

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

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).

Refco Commodity Management, Inc., formerly known as CIS
Investments, Inc., a debtor-affiliate of Refco Inc., filed for
chapter 11 protection on Oct. 16, 2006 (Bankr. S.D.N.Y. Case No.
06-12436).  (Refco Bankruptcy News, Issue No. 54; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)

                        Plan Update

On Sept. 14, 2006, Refco, Inc., and 25 of its subsidiaries,
along with Marc S. Kirschner, the Chapter 11 Trustee for the
estate of Refco Capital Markets, Ltd., delivered a Chapter 11
plan of reorganization and accompanying Disclosure Statement to
the Court.

On Oct. 10, 2006, the Debtors filed an Amended Plan and
Disclosure Statement and on Oct. 13, filed a Modified Amended
Disclosure Statement.  On Oct. 16, 2006, the Court gave its
tentative approval on the Disclosure Statement and the Court
Clerk entered an order on Oct. 20, 2006.

On Dec. 15, the Modified Joint Chapter 11 Plan of Refco Inc. and
certain of its direct and indirect subsidiaries, including Refco
Capital Markets, Ltd., and Refco F/X Associates LLC, was
confirmed by the Court.  That Plan became effective on Dec. 26,
2006.


TRANS WORLD: Wind-Up Petition Hearing Slated for Jan. 19
--------------------------------------------------------
A petition to wind up the operations of Trans World Food
Marketing Pte Ltd has been filed by Kwah Hock Seng, on Dec. 28,
2006.

The High Court of Singapore will hear the petition on Jan. 19,
2007, at 10:00 a.m.

Kwah Hock Seng's solicitor can be reached at:

         Lie Kee Pong Partnership
         190 Middle Road
         #15-03 Fortune Centre
         Singapore 188979


VALEANT PHARMA: Closes Licensing Deal with Schering-Plough
----------------------------------------------------------
Valeant Pharmaceuticals International and Metabasis
Therapeutics, Inc. closed their agreement with Schering-Plough
Corporation for the assignment and license of development and
commercial rights to pradefovir.  The close follows the early
termination by the U.S. Federal Trade Commission of the waiting
period under the Hart-Scott-Rodino Antitrust Improvement Act of
1976.

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International -- http://www.valeant.com-- is a global specialty  
pharmaceutical company with US$823 million of 2005 revenues.  It
has offices in Singapore and Taiwan.

The Troubled Company Reporter - Asia Pacific reported on
Dec. 20, 2006, that Moody's Investors Service downgraded the
Corporate Family Rating of Valeant Pharmaceuticals International
to B2 from B1, and kept Valeant's ratings under review for
possible further downgrade.  Moody's initially placed the
ratings under review for possible downgrade on Oct. 23, 2006.

The Troubled Company Reporter - Asia Pacific reported on
Nov. 21, 2006, that Standard & Poor's Ratings Services lowered
its ratings on Valeant Pharma's corporate credit rating to 'B+'
from 'BB-'.


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

BANGKOK BANK: Mulls Expansion to India; Foreign Loan Rises
----------------------------------------------------------
Bangkok Bank posted booming loan growth exceeding 50% for its
foreign branches, and now may expand to India and the Middle
East, the Bangkok Post says.

According to the bank's Senior Executive Vice President Prasong
Uthaisaengchai, BBL's foreign branches last year recorded loan
growth of US$1.32 billion.  Foreign outstanding loans stood at
US$3.975 billion at the end of 2006, or about 15% of the bank's
total assets.

Mr. Prasong said 80% of the growth came from five markets:

    1. China
    2. Vietnam
    3. Hong Kong
    4. Singapore
    5. Taiwan

He credited efficiency gains and staff improvements in marketing
and internal controls over the past three years as helping to
boost international operations.

Bangkok Bank expects its foreign outstanding loans to rise to
US$6.5 billion at the end of this year, primarily focused on
China and other East Asian markets.

"Economic growth in China is expected to remain strong," Mr.
Prasong said.  "Although there is some risk in the property
sector, the overall outlook remains strong, with inflation
moderate and infrastructure investment still in need."

The Bangkok Post relates that foreign capital flows into China
are projected to reach a record high this year at US$80 billion.

Bangkok Bank plans to increase its overseas staffing by
recruiting 25 new executives for its 19 branches, including four
in China.  It is looking at opportunities to open a new branch
in Danang, Vietnam, to complement its existing operations in Ho
Chi Minh and Hanoi, the paper notes.

Two new markets being looked at are Mumbai in India and possibly
Dubai.

The bank was keen to expand to the Middle East to tap its huge
pool of petrodollars, Mr Prasong added.

                          *     *     *

Headquartered in Bangkok -- http://www.bangkokbank.com/--  
Bangkok Bank is Thailand's largest bank, with total assets of
THBB1.498 trillion (US$39 billion) at end-June 2006.

Moody's Investors Service has upgraded on August 29, 2006,
Bangkok Bank's bank financial strength rating to D+ from D and
was re affirmed on September 20, 2006, following the military
coup in Thailand.

As reported by the Troubled Company Reporter - Asia Pacific on
Nov. 16, 2006, Fitch Ratings affirmed Bangkok Bank's Individual
rating at C.


BANGKOK STEEL: Economic Intellect to Resign as Plan Supervisor
--------------------------------------------------------------
Economic Intellect Co Ltd filed a petition to resign as co-plan
administrator in the rehabilitation of Bangkok Steel Industry
Pcl, BSI informs the Stock Exchange of Thailand.

C.J. Morgan Co Ltd jointly filed the petition, however, seeking
for re-appointment as Bangkok Steel's plan administrator.

Together with C.J. Morgan Co Ltd, Economic Intellect was
appointed by the central bankruptcy court to act as plan
administrator for Bangkok Steel in February 2005.

BSI made it clear that Economic Intellect and C.J. Morgan Co.
will continue to perform as joint plan administrators until the
court has decided on Economic Intellect's petition.

                          *     *     *

Bangkok Steel Industry Public Company Limited --
http://www.bangkoksteel.co.th/-- manufactures reinforcing steel  
bars including deformed steel bars under "BSI" brand name, and
galvanized iron flat sheets under "Singha" brand name.  
Additionally, the Company provides steel fabrication services
for machinery installations and large containers, and is a
licensee of "Kone" cranes from Finland.

On Dec. 22, 2003, the Supreme Court ordered the Company to
rehabilitate its business in accordance with Thailand's
Bankruptcy Act.  On April 19, 2004, the Central Bankruptcy Court
appointed C.J. Morgan Co., Ltd. and Panya Intellect Co., Ltd. to
be its business rehabilitation planners.  The comptroller of
Bankruptcy head invited the debtors, creditors and lenders to
lodge the claim for settlement of debts with the Company.  The
total claims lodged by the appellants amounted to approximately
THB59.09 billion which were the outstanding balance in the
Company's accounts approximately THB18.91 billion and
commitments and contingent liabilities of THB40.18 billion.

On October 2, 2006, the Troubled Company Reporter - Asia Pacific
reported that Bangkok Steel's balance sheet reflected total
assets at THB16.591-billion and THB24.852 billion in total
liabilities.  Total capital deficiency amounted to THB8.261
billion.

                       Going Concern Doubt

Somchai Kurujitkosol of S.K. Accountant Services Co. Ltd
expressed substantial doubt about Bangkok Steel's ability to
continue as a going concern after auditing its financial
statements for the first half of 2006.

Mr. Somchai specifically pointed to the company's outstanding
balance of debts as of June 30, 2006, amounting to THBB34.557
billion which are divided to principal of THBB26.157 billion and
interest of THB8.400 billion.

In addition, the TCR-AP reported on Nov. 24, 2006, that the
company's plan administrators filed a petition to modify its
rehabilitation plan.

The Amended Petition to Modify Rehabilitation Plan, among
others, provides:

1. The adjustment of the capital structure:

       The quantity of increased common shares to be allocated
       to pay debts to creditors, in case of converting debt to
       equity, will not exceed 1,440 million shares based on the
       regulation of distributing shares to minor shareholders
       of the Stock Exchange of Thailand.

2. The payment to creditors on behalf of the guarantor's company
   and or the mortgager of assets as collateral:

       The condition and payment method is based on the mutual
       agreement between the company's guarantors and
       mortgagers and the creditors in order to prevent the
       company from making double payment.

3. The designation of the plan administrators to adjust payment
   schedule and claim back assets or sum of money which
   creditors have been overpaid by the company.  This is in
   conformance with the ultimate order which allows creditors to
   receive payment less than what is specified the  in the
   application to receive performance as the payment schedule
   was calculated from the base of debt in the application of
   each creditors.

   The official receiver has currently ordered, based on the
   Adjustment of debt, to reduce the debt of many creditors to
   Approximately THB13.542 million and is currently waiting for
   the approval of the Central Bankruptcy Court.

4. The payment of debt before maturity date:

       The plan administrators will be allowed to pay debts
       before its maturity date as equivalent to its present
       value and setting it as the criteria of payment of the
       plan administrators to all the company's creditors.


BANK OF AYUDHYA: Fitch Hikes Individual Rating to C/D
-----------------------------------------------------
On Jan. 12, 2007, Fitch Ratings upgraded Bank of Ayudhya Public
Company Limited's:

    * Long-term foreign currency Issuer Default rating to BBB-
      from BB+;  

    * Short-term foreign currency to F3 from B;

    * Foreign currency subordinated debt rating to BB+ from BB;
      and

    * Individual rating to C/D from D.

Fitch also affirmed the bank's Support ratings at 3.  

At the same time, Fitch Ratings (Thailand) has also upgraded
BAY's:

    * National Long-term rating to A+(tha) from A(tha); and

    * National subordinated debt rating to A(tha) from A-(tha);
      and

    * National Short-term rating of the bank has been affirmed
      at F1(tha).

The Outlook on the ratings is Stable.

The rating action follows the completion of the acquisition by
GE Capital International Holdings Corporation of a significant
stake in BAY via a private placement of 1,391 million new shares
at THB16 each, totaling THB22.3 billion.

BAY's major shareholder, the Ratanarak family, and other warrant
holders have also made an early conversion of 463 million
warrants at THB12 each, totaling THB5.6billion.  This resulted
in GECIH holding 29% of BAY's capital.

GE also has the right to purchase an additional 609 million
shares of BAY over the next five years.  GE Money Retail Bank
has completed the transfer of its assets totaling THB2.1billion
and its deposits totaling THB1.4billion to BAY.

The initial capital injection of THB27.8 billion is expected to
increase BAY's Tier 1 capital ratio to about 13.7% from 7.8% at
end-September 2006, although additional provisioning could see
this fall again.

BAY's 2006 results show continued improvement in underlying
profitability, although it faces a tougher operating environment
in 2007.  The capital raising should address BAY's loan loss
reserve and capital adequacy weaknesses that had, in part,
previously constrained the bank's ratings.  It is also expected
to bolster the bank's franchise in the medium term.

GE is participating in both the board and the management of BAY.  
BAY could also benefit from GE's expertise in global transaction
services, technology and operations.  The shift towards higher-
margin consumer banking should also help improve the bank's
profitability.  Future rating actions will depend on further
strengthening of balance sheet and profitability, franchise and
the level of capital and operational support from GE.


BANK OF AYUDHYA: Moody's Lifts Financial Strength Rating to D-
--------------------------------------------------------------
Moody's Investors Service upgraded the Bank of Ayudhya Public Co
Ltd's bank financial strength rating to "D-" from "E+" on
Jan. 12, 2007.  

The upgrade concludes Moody's review of BAY's ratings for
possible upgrade as announced on May 31, 2006.  No debt or
deposit ratings have been affected. The outlook for all ratings
is stable.

"The upgrade of BAY's rating reflects the benefits accrued from
the acquisition of a strategic stake in BAY by GE Group-owned GE
Capital International Holdings Corporation, as well as the
continued improvement in the bank's creditworthiness," says Leo
Wah, a Moody's Assistant Vice President/Analyst.

According to Wah, also Moody's lead analyst for BAY, GECIH's
acquisition of 1,391 million new shares in BAY at the end of
December 2006 and the exercise of outstanding warrants -- which
will expire in August 2008 and are currently quite deep in the
money -- by existing shareholders, including the major
shareholder Ratanarak family, could double the bank's tier-1
capital base from approximately THB37 billion as at end-November
2006.

In fact, GECIH's investment alone has already restored BAY's
economic solvency, even when stressed for possible additional
loan losses.

The increase in current regulatory capital to approximately 17%
following GECIH's investment and warrant conversion so far would
allow BAY to strengthen its balance sheet by raising provisions
against non-performing loans, while also allowing the bank to
write off bad debts more aggressively and support its strategy
to expand its retail banking business.  The bank's balance sheet
is relatively weak, with a 13% NPL ratio and a 33% loan loss
reserve -- both worse than the average for Thailand's rated
commercial banks.

Moreover, with only 14% of BAY's loan portfolio in retail
banking, GE Group's individual business expertise in product
design, system, collection, and most importantly risk management
would certainly support BAY's strategy of seeking a more
balanced and healthier loan portfolio.  Moody's also expects GE
Group's best practice in risk management to be adopted.

"We foresee more rapid improvements ahead thanks to GE Group
being involved in the management of the bank while also adding
its strength in retail business to the mix, which may lead to
further upgrades in the future," notes Wah.

However, Moody's will closely monitor developments, which could
adversely affect ratings in the future.

These include:

    1) the expansion of BAY's loan book and in particular
       individual lending, as over-aggressiveness in a volatile
       operating environment would negatively affect credit
       quality;

    2) possible negative consequences in the event of a drastic
       overhaul in the management team as GE Group has the right
       to appoint senior executives; and

    3) any possible surge in NPLs, which may more reasonably
       reflect real asset quality due to different
       classification or due diligence with possible new risk
       management systems in place.

"Despite the upgrade of BAY's rating, neither its debt nor
deposit ratings have been affected," adds Wah.  "This is because
the bank's existing Baa3 senior debt and deposit ratings already
reflect potential extraordinary government support under our
existing methodology."

BAY, headquartered in Bangkok, is Thailand's sixth largest bank
by deposits assets.  As of June 30, 2006, it had total assets of
THB646 billion.


DAIMLERCHRYSLER: Reaction on BBC Report on Global Climate Change
----------------------------------------------------------------
This statement can be attributed to Jason Vines, vice president,
Communications for Chrysler Group of DaimlerChrysler.

   While describing different interpretations of global climate
   change at the meeting of the Society of Automotive Analysts
   in Detroit, Michigan, on Tuesday, Jan. 9, 2007,
   DaimlerChrysler chief economist Van Jolissaint's comments
   concerning the company's policy on global climate change were
   misinterpreted.  Mr. Jolissaint's remarks to the conference
   were tape-recorded.

   A report by the BBC misquoted Mr. Jolissaint and provided
   misleading information to its listeners, viewers and readers
   concerning the position of DaimlerChrysler on global climate
   change.  We have asked the BBC to retract its report.

   During the conference, while describing the view that "some
   people might have" of a recently published report that has a
   more dramatic approach to the issue of global warming,
   Mr. Jolissaint specifically said, "not me, of course."

The official policy of DaimlerChrysler states:

We share the concern expressed by many, that global climate
could affect future generations.  While the science remains
uncertain, we support concurrent advances in climate science to
ensure fuller understanding of the controversies surrounding
this issue and to avoid inappropriate responses by government or
the private sector.

We believe that the competitive marketplace is the best solution
to this challenge, and we expect to be a leader in developing
and introducing advanced technologies designed to reduce
greenhouse gas emissions.  Voluntary actions, because of their
inherent flexibility, allow for the greatest greenhouse gas
reductions at the lowest cost.

DaimlerChrysler is committed to develop new advanced
technologies to minimize any potential impact our vehicles might
have on global climate or the environment in general.

                          *     *     *

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- engages in the development,
manufacture, distribution, and sale of various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide.  It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

DaimlerChrysler has operations in Australia, China, Indonesia,
Japan, Korea, Malaysia and Thailand.

DaimlerChrysler lowered its operating profit forecast for full-
year 2006 to be in the magnitude of EUR5 billion (US$6.4
billion) based on an expected full-year operating loss of
approximately EUR1 billion (US$1.2 billion) for its Chrysler
Group.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures - particularly on light trucks - by making
significant price concessions.  

In addition, increased interest rates caused higher sales &
marketing expenses.  Chrysler Group will take additional
production cuts in the third and fourth quarters to reduce
dealer inventories and make way for its current product
offensive.


DAIMLERCHRYSLER: Might Delay Releasing 2006 Financial Statements
----------------------------------------------------------------
DaimlerChrysler AG's fourth quarter and full year 2006 financial
statements may not be released as planned on Feb. 14, and the
company's April 4 annual general assembly may be postponed, a
company spokeswoman told the Frankfurter Allgemeine
Sonntagszeitung.

She confirmed that the delay is caused by refusal of the
company's works council to approve overtime work for accountants
to complete the annual report on time, reports said.

The prohibition to work extra hours by the council is in protest
against management plans to cut 6,000 administrative jobs.

The company plans to move some administrative work to Prague
where labor costs are lower than in Germany.

                          *     *     *

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- engages in the development,   
manufacture, distribution, and sale of various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide.  It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

DaimlerChrysler has operations in Australia, China, Indonesia,
Japan, Korea, Malaysia and Thailand.

DaimlerChrysler lowered its operating profit forecast for full-
year 2006 to be in the magnitude of EUR5 billion (US$6.4
billion) based on an expected full-year operating loss of
approximately EUR1 billion (US$1.2 billion) for its Chrysler
Group.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures - particularly on light trucks - by making
significant price concessions.

In addition, increased interest rates caused higher sales &
marketing expenses.  Chrysler Group will take additional
production cuts in the third and fourth quarters to reduce
dealer inventories and make way for its current product
offensive.  


TOTAL ACCESS: Fitch Keeps Long Term Foreign Default Rating at BB
----------------------------------------------------------------
Fitch Ratings (Thailand) on Jan. 12, 2007, affirmed the ratings
of Advanced Info Service Plc and Total Access Communication
following the proposed amendments to the Thailand's Foreign
Business Act.

Fitch affirmed AIS's:

    -- National Long-term rating at AA(tha) with a Stable
       Outlook; and

    -- National Short-term rating at F1+(tha).

Meanwhile, Fitch also affirmed DTAC's:

    -- Long-term foreign currency Issuer Default rating at BB+;

    -- National Long-term rating at A(tha);

    -- National Short-term rating at F2(tha); and

    -- National senior unsecured rating at A(tha).

The Outlook on DTAC's ratings is Stable.

On Jan. 9, 2007, the Thai cabinet endorsed proposed amendments
to the FBA, which limit foreign investors' shareholding and
voting rights in Thai companies to less than 50%.  This planned
law is still subject to legislative approval.

Fitch views that the proposed changes to the FBA should have
limited credit impact on AIS and DTAC, although it may result in
partial dilution of the stakes of both companies' ultimate major
shareholders, namely Singapore's Temasek Holdings and Telenor of
Norway.

The agency notes that in the case of AIS, with its current
strong financial position and dominant market position, a
partial divestment of Temasek Holdings would have minimal impact
on AIS's credit profile.  The amended FBA may lead to a
reduction in Telenor's economic interest in DTAC from the
current 69%.

However, the agency notes that Telenor has indicated that it
would continue to maintain strong operational involvement and
support of the company, which would help to support DTAC's
credit profile.  However, a significant reduction of Telenor's
stake to below 49%, resulting in a loss of control of DTAC's
management and strategic functions, could negatively affect the
ratings.


* BOND PRICING: For the Week 8 January to 12 January 2006
---------------------------------------------------------
Issuer                         Coupon  Maturity  Currency  Price
------                         ------  --------  --------  -----

AUSTRALIA & NEW ZEALAND
-----------------------
Ainsworth Game                 8.000%  12/31/09     AUD     0.85
Alinta Networks                5.750%  09/22/10     AUD     6.80
APN News & Media Ltd           7.250%  10/31/08     AUD     5.70
A&R Whitcoulls Group           9.500%  12/15/10     NZD     9.50
Arrow Energy NL               10.000%  03/31/08     AUD     1.19
Babcock & Brown Pty Ltd        8.500%  12/31/49     NZD     7.95
Becton Property Group          9.500%  06/30/10     AUD     0.71
Capital Properties NZ Ltd      8.500%  04/15/07     NZD     8.55
Capital Properties NZ Ltd      8.000%  04/15/10     NZD     8.00
Cardno Limited                 9.000%  06/30/08     AUD     5.30
CBH Resources                  9.500%  12/16/09     AUD     0.52
Chrome Corporation Ltd        10.000%  02/28/08     AUD     0.02
Clean Seas Tuna Ltd            9.000%  09/30/08     AUD     0.87
Djerriwarrh Investments Ltd    6.500%  09/30/09     AUD     4.52
Evans & Tate Ltd               8.250%  10/29/07     AUD     0.40
Fletcher Building Ltd          8.600%  03/15/08     NZD     8.00
Fletcher Building Ltd          7.800%  03/15/09     NZD     7.65
Fletcher Building Ltd          8.850%  03/15/10     NZD     7.70
Fletcher Building Ltd          7.550%  03/15/11     NZD     7.85
Futuris Corporation Ltd        7.000%  12/31/07     AUD     2.45
Hy-Fi Securities Ltd           7.000%  08/15/08     NZD     8.10
Hy-Fi Securities Ltd           8.750%  08/15/08     NZD    10.05
Hutchison Telecoms Australia   5.500%  07/12/07     AUD     0.50
IMF Australia Ltd             11.500%  06/30/10     AUD     0.80
Infrastructure & Utilities
   NZ Ltd                      8.500%  09/15/13     NZD     8.75
Infratil Ltd                   8.500%  11/15/15     NZD     8.10
Kagara Zinc Ltd                9.750%  05/06/07     AUD     6.50
Kiwi Income Properties Ltd     8.000%  06/30/10     NZD     1.19
Minerals Corporation Ltd      10.500%  09/30/07     AUD     0.87
Nuplex Industries Ltd          9.300%  09/15/07     NZD     9.00
Pacific Print Group Ltd       10.250%  10/15/09     NZD    11.00
Primelife Corporation         10.000%  01/31/08     AUD     1.02
Salomon SB Australia           4.250%  02/01/09     USD     7.60
Silver Chef Ltd               10.000%  08/31/08     AUD     1.04
Software of Excellence         7.000%  08/09/07     NZD     1.80
Speirs Group Ltd.             10.000%  06/30/49     NZD    61.00
Structural Systems            11.000%  06/30/07     AUD     1.69
TrustPower Ltd                 8.300%  09/15/07     NZD     8.70
TrustPower Ltd                 8.300%  12/15/08     NZD     8.35
TrustPower Ltd                 8.500%  09/15/12     NZD     8.25
TrustPower Ltd                 8.500%  03/15/14     NZD     8.00


KOREA
-----
Korea Development Bank         7.350%  10/27/21     KRW    49.25
Korea Development Bank         7.450%  10/31/21     KRW    48.22
Korea Development Bank         7.400%  11/02/21     KRW    48.21
Korea Development Bank         7.310%  11/08/21     KRW    48.17
Korea Development Bank         8.450%  12/15/26     KRW    70.47


MALAYSIA
--------
Aliran Ihsan Resources Bhd     5.000%  11/29/11     MYR     0.82
AHB Holdings Bhd               5.500%  03/06/07     MYR     0.20
Asian Pac Bhd                  4.000%  12/21/07     MYR     0.26
Berjaya Land Bhd               5.000%  12/30/09     MYR     0.76
Bumiputra-Commerce             2.500%  07/17/08     MYR     1.18
Camerlin Group Bhd             5.500%  07/15/07     MYR     2.22
Crescendo Corporation Bhd      3.000%  08/25/07     MYR     0.92
Eastern & Oriental Hotel       8.000%  07/25/11     MYR     1.81
Eden Enterprises (M) Bhd       2.500%  12/02/07     MYR     1.00
EG Industries Bhd              5.000%  06/16/10     MYR     0.63
Equine Capital Bhd             3.000%  08/26/08     MYR     0.36
Greatpac Holdings Bhd          2.000%  12/11/08     MYR     0.33
Gula Perak Bhd                 6.000%  04/23/08     MYR     0.42
Hong Leong Industries Bhd      4.000%  06/28/07     MYR     0.89
Huat Lai Resources Bhd         5.000%  03/28/10     MYR     0.62
I-Berhad                       5.000%  04/30/07     MYR     0.55
Insas Bhd                      8.000%  04/19/09     MYR     0.59
Kamdar Group Bhd               3.000%  11/09/09     MYR     0.33
Kosmo Technology Industrial    2.000%  06/23/08     MYR     0.53
Kretam Holdings Bhd            1.000%  08/10/10     MYR     0.64
Kumpulan Jetson                5.000%  11/27/12     MYR     0.52
LBS Bina Group Bhd             4.000%  12/31/07     MYR     0.50
LBS Bina Group Bhd             4.000%  12/31/08     MYR     0.50
LBS Bina Group Bhd             4.000%  12/31/09     MYR     0.51
Media Prima Bhd                2.000%  07/18/08     MYR     1.59
Mithril Bhd                    8.000%  04/05/09     MYR     0.41
Mithril Bhd                    3.000%  04/05/12     MYR     0.63
Nam Fatt Corporation Bhd       2.000%  06/24/11     MYR     0.44
Pelikan Int'l Corp Bhd         3.000%  04/08/10     MYR     1.32
Pelikan Int'l Corp Bhd         3.000%  04/08/10     MYR     1.32
Pilecon Engineering Bhd        5.000%  12/19/11     MYR     0.26
Puncak Niaga Holdings Bhd      2.500%  11/18/16     MYR     0.89
Ramunia Holdings               1.000%  12/20/07     MYR     0.85
Rashid Hussain Bhd             3.000%  12/23/12     MYR     1.37
Rashid Hussain Bhd             0.500%  12/24/12     MYR     1.50
Rhythm Consolidated Bhd        5.000%  12/17/08     MYR     0.41
Senai-Desaru Exp.              3.500%  12/09/19     MYR    74.33
Senai-Desaru Exp.              3.500%  06/09/20     MYR    73.34
Senai-Desaru Exp.              3.500%  12/09/20     MYR    71.99
Senai-Desaru Exp.              3.500%  06/09/21     MYR    71.01
Senai-Desaru Exp.              3.500%  12/09/21     MYR    70.05
Senai-Desaru Exp.              3.500%  12/09/22     MYR    68.53
Senai-Desaru Exp.              3.500%  06/09/23     MYR    67.60
Senai-Desaru Exp.              3.500%  12/08/23     MYR    66.69
Senai-Desaru Exp.              3.500%  06/07/24     MYR    65.79
Silver Bird Group Bhd          1.000%  02/15/09     MYR     0.30
Southern Steel                 5.500%  07/31/08     MYR     1.40
Tenaga Nasional Bhd            3.050%  05/10/09     MYR     1.30
Tradewinds Plantations Bhd     3.000%  02/28/16     MYR     1.10
WCT Land Bhd                   3.000%  08/02/09     MYR     1.18
Wah Seong Corp                 3.000%  05/21/12     MYR     3.00
YTL Cement Bhd                 4.000%  11/10/15     MYR     1.50


SINGAPORE
---------
Sengkang Mall                  8.000%  11/20/12     SGD     1.03




                            *********

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, Rousel Elaine Tumanda,
Valerie Udtuhan, Francis James Chicano, Catherine Gutib, Tara
Eliza Tecarro, Freya Natasha Fernandez, and Peter A. Chapman,
Editors.

Copyright 2007.  All rights reserved.  ISSN: 1520-9482.
   
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
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                 *** End of Transmission ***