TCRAP_Public/070207.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R  
  
                     A S I A   P A C I F I C  

          Wednesday, February 7, 2007, Vol. 10, No. 27

                            Headlines

A U S T R A L I A

ADVANCED MARKETING: Asks Court to Set Reclamation Claims Process
ADVANCED MARKETING: Appoints Marc Ravitz to Board of Directors
ADVANCED MARKETING: Wants to Sell PGW Distribution Agreements
AQUINAS EDUCATION: To Declare Dividend on Feb. 26
ARROW RESOURCES: Members Agree on Voluntary Wind-Up

ATIGON PTY: Members Appoint Stephen Gower Baker as Liquidator
BARTON NELSON: Members & Creditors' Final Meeting Set on March 9
BUILDING CONTROLS: Schedules Final Meeting on March 9
ELDER & ROSE: Members Decide to Wind Up Operations
GEO GROUP: Acquires CentraCore Properties for US$427.6 Million

GRAB IT: Members and Creditors to Receive Liquidator's Report
LEVEMA PTY: Members Pass Resolution to Wind Up Firm
MAXTOR DISC: Enters Voluntary Liquidation
ORMSRAY CORPORATION: Members Opt for Voluntary Wind-Up
PEABODY ENERGY: Posts 45% Increase in 2006 Earnings

REVLON INC: Completes US$100 Million Rights Offering
RODELA PTY: To Declare Dividend for Priority Creditors
SATS AUSTRALIA: Members and Creditors to Receive Final Report
SMARTIRE SYSTEMS: Oct. 31 Balance Sheet Upside-Down by US$34.8M
SMARTIRE SYSTEMS: Inks Sale Agreement for US$1.8 Mln. Debentures

SMARTIRE SYSTEMS: Inks Consulting Agreement with SKS Consulting
SUPERIOR ENERGY: Board OKs US$362MM Capital Expenditure Budget
UNIVERSAL COMPRESSION: Unit Declares Prorated Cash Distribution
ZINIFEX LTD: Shuts Down Port Pirie Blast Furnace for Repair


C H I N A   &   H O N G  K O N G

ACE WORKSHOP: Wind-Up Hearing Slated for March 14
BASIC BREAD: Final Meetings Slated for March 27
BENNY'S CATERERS: Creditors' Proofs of Claim Due on March 3
DANA CORP: Wants E&Y's Work Expanded to Add Internal Audit Task
DANA CORP: Gets Approval to Amend Postpetition Credit Facility

ESTERLINE TECH: CMC Buyout Cues Moody's Possible Downgrade
GENERAL AVIATION: Taps Corkhill and Bruce as Liquidators
GOLD-FACE: Appoints Inspection Committee and Liquidators
LITERARY CENTURY: Enters Wind-Up Proceedings
MBF CREDIT: Members to Receive Wind-Up Report on February 27

PETROLEOS DE VENEZUELA: Output Cut Sums 195,000 Barrels Per Day
PETROLEOS DE VENEZUELA: Appoints Jose Parada as Division Head
SKYLINE VIEW: Liquidator Lin Lai Har Wendy Ceases to Act
TYSON FOODS: Executives Positive on Firm's Profitability
ULTRA MILL: Court Appoints Joint Liquidators

V3 ENTERPRISES: Members Opt for Voluntary Wind-Up
VISTAMARINE LIMITED: Creditors Must Prove Debts by Feb. 26
WOLFORD CHINA: Schedules Final Meetings on February 27
* Taiwan's Regulators Imposes Market Discipline, Moody's Says


I N D I A

AMERICAN AXLE: Incurs US$222.5 Mil. Net Loss in Full Year 2006
BAUSCH & LOMB: Moody's Cuts Rating to Ba1 on Slow Revenue Growth
BRITISH AIRWAYS: Earns GBP107 Million in Third Quarter 2006
BRITISH AIRWAYS: Has 1,150,734,490 Voting Rights and Capital
RPG LIFE SCIENCES: Posts INR3.4-Mil. Net Loss in 4th Qtr. 2006

SAMTEL COLOUR: Net Loss Widens to INR98 Mil. in 4th Quarter
SAURASHTRA CEMENT: Appoints G J Prasad & B P Deshmukh to Board
SYNDICATE BANK: To Raise INR240 Crore from Upper Tier II Bonds
SYNDICATE BANK: Gov't. Appoints Shobha Oza as Part-Time Director


I N D O N E S I A

ALCATEL-LUCENT: Provides Broadband Access to Estonia's Elion
CA INC: Reports Third Quarter Fiscal Year 2007 Results
CA INC: Moody's Comments On Earnings Report & Negative Outlook
EXCELCOMINDO PRATAMA: Moody's Revises Bond Rating to Positive
GARUDA INDONESIA: To Select Investors in Two or Three Months

HANOVER COMPRESSOR: Plans to Merge With Universal Compression
HANOVER COMPRESSOR: Moody's Places Ratings Under Review
TELKOM INDONESIA: Books US$22.3-Bil. Market Cap. on Dec. 28


J A P A N

CNET NETWORKS: Earns US$387.7 Million in Fourth Quarter 2006
GAP INC: Moody's Downgrades Senior Unsecured Notes to Ba1
GUNMA BANK: Fitch Upgrades Individual Rating from 'C/D' to 'C'
HACHIJUNI BANK: Fitch Affirms 'C' Individual Rating
JAPAN AIRLINES: Incurs JPY10.8-Billion Net Loss in 3rd Quarter

JOYO BANK: Fitch Affirms Individual Rating at 'C'
NIKKO CORDIAL: Investors Unload Shares On Possible Delisting
NIKKO CORDIAL: Harris Associates Acquires 5.04% Stake
NIKKO CORDIAL: Former CFO Ignored Audit Panel, Report Says
NOMURA HOLDINGS: Closes Instinet Purchase & Reveals New Board

NOMURA HOLDINGS: Invests JPY30 Billion in Joinvest Securities


K O R E A

HYNIX SEMICONDUCTOR: Says Main Production Plant Remains in Korea
HYNIX SEMICONDUCTOR: CEO Woo Eui-jei Plans to Step Down in March


M A L A Y S I A

CELESTICA INC: Poor Performance Cues Moody's Ratings' Review
CELESTICA INC: Weak Financials Cue S&P's Negative CreditWatch
CELESTICA INC: Fitch Puts Ratings' Outlook to Negative
EKRAN BERHAD: Files Update on Loan Default as of January 2007
FEDERAL FURNITURE: Reinvents Strategies for Future Growth

HARVEST COURT: Unveils Proposed Regularization Plan
JOHAN CERAMICS: SC Okays Public Bank as Takeover Adviser
KAI PENG: Total Loan Default Reaches MYR10 Million as of Dec. 06
KAI PENG: Bourse Extends Plan Filing Deadline to Feb. 14


N E W   Z E A L A N D

2P PROPERTY: Shareholders Pass Resolution to Liquidate Firm
DAVID GRAPHICS: Commences Liquidation Proceedings
DIAMONDS CONSTRUCTION: Faces Liquidation Proceedings
G. H. HAERI: Liquidation Hearing Set for March 27
HOST INTERNATIONAL: Court Issues Liquidation Order

KPC (NZ): Creditors' Proofs of Claim Due on February 16
PAIB INTERNATIONAL: Appoints Official Assignee as Liquidator
PRIMED PAINTING: Court Hears Liquidation Petition
TURNER DEVELOPMENTS: Court Sets Liquidation Hearing on Feb. 8
WEIGHT WATCHERS: 8.5 Mil. Common Stock Sold in Self-Tender Offer


P H I L I P P I N E S

BENGUET CORP: Updates on Kingking Project and Estimates Costs
CLIENTLOGIC CORP: SITEL Shareholders Approve Proposed Merger
CLIENTLOGIC: Inks Multi-Year Contract Extension with DIRECTV
FIL-ESTATE CORP: Annual Stockholders' Meeting Set on March 20
HERTZ CORP: Seeks to Amend Term Loan & ABL Revolving Facilities

HERTZ CORP: Unit Adds 24 Locations as Part of Rental Expansion
SITEL CORP: Posts US$1.8-Mln. Net Loss in Quarter Ended Sept. 30
SITEL CORP: ClientLogic Closes Merger with Company
VICTORIAS MILLING: Names New Members and Officers of Board
WEST CORP: US$165 Million Add-on Cues S&P to Affirm B+ Rating

WEST CORP: Posts US$496.4MM Revenues in Qtr. Ended Dec. 31, 2006


S I N G A P O R E

CHINA FAR EAST: Enters Wind-Up Proceedings
COSELSING PTE: Creditors' Meeting Set for Feb. 16
LEAR CORP: B2 Rating on Moody's Review for Possible Downgrade
MEWASA PTE: Pays Dividend to Creditors
PETROLEO BRASILEIRO: Launching Cubatao Plant Construction

PETROLEO BRASILEIRO: Aims for 1.92MM Barrels Per Day Oil Output
PROGEN ENGINEERING: Court to Hear Wind-Up Petition on Feb. 16
SEA CONTAINERS: Files Amended November 30 Balance Sheet
UNITED TEST: Moody's Affirms Ba3 Ratings with Stable Outlook


T H A I L A N D

DOLE FOOD: Posts US$56.1 Million Net Loss in Period Ended Oct. 7
DOLE FOOD: Weak Performance Prompts Moody's to Junk Ratings
PHELPS DODGE: Stockholders to Vote on Proposed Buy on March 14
PHELPS DODGE: Earns US$1.32 Billion in Fourth Quarter 2006


* Upcoming Meetings, Conferences and Seminars

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A U S T R A L I A
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ADVANCED MARKETING: Asks Court to Set Reclamation Claims Process
----------------------------------------------------------------
Advanced Marketing Services Inc. and its debtor-affiliates ask
the United States Bankruptcy Court for the District of Delaware
to enter a ruling establishing procedures for reconciliation of
reclamation claims.

Section 546(c)(1) of the Bankruptcy Code authorizes vendors who
have delivered goods to a debtor in the ordinary course of
business to reclaim those goods, subject to certain limitations,
if:

    (a) the debtor was insolvent when the goods were received;

    (b) the goods were received by the debtor within 45 days
        before the Petition Date;

    (c) the seller demanded reclamation in writing; and

    (d) the demand was made within 45 days after the debtor
        received possession of the goods or within 20 days if
        the 45-day period would expire after the Petition Date.

The Debtors estimate that as of the Petition Date, as many as
US$24,457,822 in goods may be subject to reclamation claims.  As
a distribution company, these goods are essential to the
Debtors, Mark D. Collins, Esq., at Richards, Layton & Finger,
P.A., in Wilmington, Delaware, notes.  The Debtors' business
will be severely disrupted if vendors are allowed to exercise
their rights to reclaim goods without a uniform procedure that
is fair and applicable to all parties, Mr. Collins explains.

Mr. Collins says that given the high volume of merchandise they
received daily, the Debtors anticipate that a number of vendors
will attempt, pursuant to Section 546(c), to assert their right
to reclaim goods delivered to the Debtors shortly after the
Petition Date.  In the week since the Petition Date, the Debtors
have already received numerous demands for reclamation, many of
which have threatened suit or requested that the Debtors take
drastic and disruptive steps as physically segregating
inventory, freezing sales and permitting physical investigation
by the publishers.  Any of these remedies threaten to seriously
disrupt the Debtors' operations at this crucial time.

Mr. Collins asserts that absent the establishment of an orderly
process for the determination of reclamation claims, the
Debtors' business operations will suffer and management's
attention will be diverted from important issues to deal with
reclamation claims.

The inventory subject to reclamation is also subject to a
floating lien asserted by the Senior Lenders, which takes
priority over any reclamation claims, Mr. Collins relates.  
Similarly, premature payment of reclamation claims could
constitute an event of default under the Debtors' debtor-in-
possession credit agreement.  Hence, if and to the extent that
publishers' reclamation claims are valid, the value of claims
can be more than adequately protected by the granting of an
administrative claim.  Like the reclamation claims, replacement
administrative claims are and will be subject and subordinate to
the liens of the Senior Lenders.

Furthermore, Mr. Collins continues, the Debtors are more than
capable of preserving the reclamation claims of their inventory
suppliers without the need to disrupt the Debtors' operations.

In the ordinary course of their business, in addition to general
purchasing and sales information, the Debtors track and record
in their centralized computer database the locations of pallets
and cartons of books not only geographically but also by shelf
location within each distribution center.  By gathering this and
other data concerning the number of books purchased, moved, or
sold, the Debtors can determine -- without requiring any
physical segregation of goods or manual inventory count or
examination -- which units of inventory were purchased and
received within the 45-day period before the Petition Date that
remain unsold as of any date, Mr. Collins tells the Court.  From
this, the Debtors are and will remain in possession of the
information needed to describe the validity and extent of any
reclamation claim.

Hence, the Debtors propose these procedures for processing and
treatment of reclamation claims:

   (a) any vendor asserting a claim for reclamation under
       Section 546(c) must satisfy all requirements entitling
       It to have a right of reclamation under Section 546(c)
       and will send a written reclamation claim demand to:

       -- Advanced Marketing Services, Inc.
          5880 Oberlin Drive
          San Diego, California 92121
          Attention: Gary Lloyd,

          or directly to the Debtors' counsel:

       -- Richards, Layton & Finger, P.A.
          One Rodney Square, 920 King Street
          Wilmington, Delaware 19899
          Attn: Mark Collins, Esq.

       -- O'Melveny & Myers, LLP
          275 Battery Street
          San Francisco, California 94111
          Attn: Suzzanne S. Uhland, Esq.,
                Austin K. Barron, Esq., and
                Alexandra B. Feldman, Esq.

   (b) after receipt of all demands and an opportunity to
       review the demands, the Debtors will file a report, on
       notice to parties-in-interest, listing those claims, if
       any, that the Debtors deem to be valid pursuant to the
       Court approval of the request;

   (c) absent further Court ruling, the Reclamation Claims
       Report will be filed by the Debtors within 180 days
       after a final Court ruling for the request;

   (d) if the Debtors fail to file the Reclamation Claims
       Report within the required period of time, any holder of
       a reclamation claim may commence an adversary proceeding
       on its own behalf but no action may be commenced or
       filed earlier than 180 days after the Court's final
       ruling for the request;

   (e) all parties-in-interest will have the right and
       opportunity to object to the inclusion or omission of
       any asserted reclamation claim in the Reclamation Claims
       Report; and

   (f) all reclamation claims allowed by the Court pursuant to
       the Reclamation Claims Report will receive either an
       administrative expense claim or a replacement lien, to
       the extent allowed by law, or will receive treatment
       otherwise agreed upon.  Provided, however, nothing will
       be deemed to be a finding or determination that a
       reclamation claim is valid or entitled to the treatment.

To allay concerns of reclamation claimants, to avoid unnecessary
disruption of the Debtors' business, and to minimize or
eliminate needless litigation, the Debtors will not take the
position that an otherwise valid reclamation demand is rendered
invalid by:

   (1) a reclamation claimant's failure to take any or all
       possible "self-help" measures with respect to the goods
       subject to reclamation demand; or

   (2) the failure of a reclamation claimant to institute a
       adversary proceeding against the Debtors seeking to
       enjoin them from using or selling the goods subject to
       the reclamation demand or any other similar request.

Mr. Collins further notes that reclamation claims that are
determined in accordance with the procedures to be valid
reclamation claims will be paid pursuant to the Debtors'
Reorganization Plan.

                         Responses

(A) Hachette Book

Hachette Book Group USA, Inc., formerly known as Time Warner
Book Group, has been a supplier of books to AMS over the past 20
years.  The Debtors have listed Hachette Book as their fourth
largest unsecured creditor, holding an unsecured claim for
US$22,569,624.

Jeffrey A. Marks, Esq., at Squire, Sanders & Dempsey L.L.P, in
Cincinnati, Ohio, says that during the 45 days before the
Petition Date, Hachette Book sold books to AMS for which it has
not yet been paid.  Accordingly, Hachette Book has the right to
reclaim the books sold to AMS during that period under Section
546(c), and to an administrative expense claim for those books
sold to AMS during the 20-day period before the Petition Date
under Section 503(b)(9).

Hachette Book objects to the Debtors' request because:

   (1) the proposed procedures requires the Debtors to file a
       report listing those reclamation claims that they deem
       to be valid, but does not require the Debtors to provide
       any explanation or detail supporting their conclusions.
       Hachette Book asserts that the Debtors should be
       required to provide sufficient explanation and support
       to enable reclamation and administrative claimants to be
       reasonably informed as to the basis for the Debtors'
       conclusions;

   (2) it is premature at this point to establish a 180-day
       deadline without knowing the extent and nature of the
       reclamation and administrative claims in question.
       Hachette Book asserts that the appropriate amount of
       time within which the Debtors must analyze the
       reclamation and administrative claims depends on the
       amount and complexity of the reclamation and
       administrative claims actually received;

   (3) the proposed procedures provides that all parties-in-
       interest will have the right and opportunity to object
       to the inclusion or omission of any asserted reclamation
       claim in the Reclamation Claims Report but does not set
       a deadline for doing so.  A reasonable deadline should
       be established in order to enhance the efficiency of the
       process;

   (4) at this nascent stage of the Debtors' bankruptcy cases,
       there is no legitimate basis to conclude that payment of
       reclamation claims should be delayed until Plan
       confirmation.  Hachette Book asserts that the Debtors'
       first-day filings indicate that there is value and
       working capital substantially in excess of the
       prepetition and projected postpetition secured debt.
       Hence, payment of reclamation claims may be justifiable
       and appropriate well before Plan confirmation; and

   (5) the Debtors assert in the request that they will not
       take the position that an otherwise valid reclamation
       demand is rendered invalid by a reclamation creditor's
       failure to (a) exercise self-help remedies, or
       (b)institute an adversary proceeding to enjoin the use
       or sale of goods subject to reclamation by the creditor.

Accordingly, Hachette Book asks the Court to enter a ruling
sustaining its objection.

Furthermore, Hachette Book asks the Court that any ruling on the
Debtors' request contain a provision that any creditor's rights
to reclaim goods under Section 546(c) will not be prejudiced or
limited in any way by the creditor's failure to (a) take any and
all possible "self-help" measures with respect to the goods
subject to the creditor's reclamation demand, or (b) to
institute an adversary proceeding or contested matter against
the Debtors seeking to enjoin them from using or selling the
goods subject to the creditor's reclamation demand or any other
similar relief.

Seven other creditors essentially join Hachette Book's
objection:

   (1) Random House, Inc.;

   (2) Trinity University Press;

   (3) Meredith Corp.;

   (4) Barron's Educational Series, Inc.;

   (5) Global Book Publishing and Design Eye, Ltd., both
       divisions of Quarto Publishing PLC;

   (6) Mascot Books, Inc.; and

   (7) Penguin Group (USA) Inc.

Random House, the Debtors' largest creditor, also asserts that
the holders of the reclamation claims should be entitled to
notice of the sale of their goods, which sale should not be
allowed without Court approval.

Trinity University further asks the Court to:

   (a) reduce the amount of time sought to reconcile the
       reclamation claims; and

   (b) provide some form of adequate assurance that if the
       goods subject to its reclamation demand are or have been
       sold, Trinity will be paid in full for the goods within
       30 days of the reconciliation.

Quarto Publishing contends that the Debtors' request has no
basis for being granted under applicable law.

(B) Wells Fargo

The Debtors and Wells Fargo Foothill, Inc., along with other
lender parties, are parties to a Loan and Security Agreement
dated April 27, 2004.

On the Petition Date, the Court issued an interim ruling
authorizing the Debtors' DIP financing agreement with Foothill.

In connection with the Prepetition and DIP Loan Agreements, the
Debtors granted the Lenders security interests in substantially
all of the Debtors' pre- and postpetition assets.

To the extent, if any, that the reclamation procedures seek to
affect any of the Lender Liens in the Debtors' inventory, the
Lenders object to the reclamation procedures and will argue at
the hearing, among other things, that there should be no
reclamation procedures if the evidence establishes that the
reclamation claims are "valueless" under the applicable case
law.

(C) Simon & Schuster

Simon & Schuster, Inc., objects to the Debtors' request because,
if granted, the request will eliminate its statutory right to
specific performance under Section 546(c) to reclaim its goods.

Since the Petition Date, Simon & Schuster has worked diligently
to enforce its statutory right to specific performance under
Section 546(c), including:

   (a) sending a written demand for reclamation of its goods on
       the Petition Date;

   (b) filing a complaint for reclamation of the Goods on
       Jan. 5, 2007; and

   (c) seeking a temporary restraining order to protect its
       reclamation rights on January 11.

Accordingly, Simon & Schuster asks the Court to deny the
Debtors' request and maintain status quo until it has an
opportunity to rule on the merits of Simon & Schuster's
complaint to reclaim goods.  Alternatively, Simon & Schuster
asks the Court that the approved request will not apply to it.

                  About Advanced Marketing

Based in San Diego, California, Advanced Marketing Services,
Inc. -- http://www.advmkt.com/-- provides customized  
merchandising, wholesaling, distribution and publishing
services, currently primarily to the book industry.  The company
has operations in the U.S., Mexico, the United
Kingdom, and Australia, and employs approximately 1,200 people
Worldwide.

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
Chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Chun I. Jang, Esq., Mark D.
Collins, Esq., and Paul Noble Heath, Esq., at Richards, Layton &
Finger, P.A., represent the Debtors.  When the Debtors filed for
protection from their creditors, they listed estimated assets
and debts of more than US$100 million.  The Debtors' exclusive
period to file a Chapter 11 Plan will expire on Apr. 28, 2007.


ADVANCED MARKETING: Appoints Marc Ravitz to Board of Directors
--------------------------------------------------------------
Advanced Marketing Services, Inc.'s board of directors has
appointed Marc E. Ravitz, CFA, as a director of the company.

Mr. Ravitz is Executive Vice President of Grace & White, Inc.,
an investment advisory firm that, together with certain other
affiliated entities and persons, controls approximately 12% of
the company's common stock.

"Marc's firm has been a stockholder for many years.  We're
pleased that he has joined the Board, and we look forward to his
contributions," said Robert F. Bartlett, the Chairman of the
Board.

Mr. Ravitz stated, "I look forward to working with the other
members of the Board and management to chart a positive course
for the company."

The company filed a petition pursuant to chapter 11 of the
Bankruptcy Code on Dec. 29, 2006, and is conducting business as
a debtor in possession.

                  About Advanced Marketing

Based in San Diego, California, Advanced Marketing Services,
Inc. -- http://www.advmkt.com/-- provides customized  
merchandising, wholesaling, distribution and publishing
services, currently primarily to the book industry.  The company
has operations in the U.S., Mexico, the United
Kingdom, and Australia, and employs approximately 1,200 people
Worldwide.

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
Chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Chun I. Jang, Esq., Mark D.
Collins, Esq., and Paul Noble Heath, Esq., at Richards, Layton &
Finger, P.A., represent the Debtors.  When the Debtors filed for
protection from their creditors, they listed estimated assets
and debts of more than US$100 million.  The Debtors' exclusive
period to file a Chapter 11 Plan will expire on Apr. 28, 2007.


ADVANCED MARKETING: Wants to Sell PGW Distribution Agreements
-------------------------------------------------------------
Advanced Marketing Services Inc. and its debtor-affiliates ask
the United States Bankruptcy Court for the District of Delaware
for authority to sell Publishers Group West Incorporated's
rights under its distribution agreements with various publishers
to Perseus Books, L.L.C., and Client Distribution Services, Inc.

The Debtors also ask the Court to authorize PGW to assume and
assign the Distribution Agreements, and sell certain other
assets related to its distribution business to Perseus Books.

The Debtors will continue to seek higher and better offers for
the PGW Assets.  However, given the exigencies surrounding PGW's
business, the Debtors do not intend to auction or adopt other
formal procedures to test the adequacy of the proposed
transaction.

The Debtors believe that any extended sale process could
severely impact the value of the PGW estate or jeopardize the
financial well-being of PGW's publishers.

The Debtors also explain that they had been exploring various
strategic alternatives for months prior to the Petition Date and
have continued those efforts postpetition.  The Debtors believe
that the terms of the Purchase Agreement and the PGW Sale
contemplated are fair and reasonable, and that the PGW Sale will
maximize the value of the PGW estate for the benefit of the
Debtors' creditors, stakeholders and other parties-in-interest.

Bankruptcy has prevented the Debtors from making payments with
respect to the relatively higher volume of products purchased
and sold by PGW during the busy holiday season, Paul N. Heath,
Esq., at Richards, Layton & Finger, P.A., in Wilmington,
Delaware, relates.

Although PGW has been paying substantially all PGW Publishers
weekly since the Petition Date, according to Mr. Heath, failure
to make payments relating to the holiday season is leading to
drastic consequences for many, if not all of the PGW Publishers.

In some cases, Mr. Heath says, the financial difficulties have
placed the PGW Publishers in extreme distress, threatening a
possible "domino effect" of insolvencies if PGW does not soon
reach a solution where these claims may be satisfied.  PGW
Publishers may also demand for an expedited assumption or
rejection of the Distribution Agreements.

The Debtors, nonetheless, reserve the right to take appropriate
measures to pursue an alternative bid should the Debtors receive
any viable and superior offer before the Court considers the
sale to Perseus Books.  Should they pursue and accept an
alternative transaction, the Debtors seek the Court's permission
to pay a US$500,000 breakup fee to Perseus Books.

AMS, through PGW, provides a full range of book marketing and
distribution services to smaller publishers under exclusive
contractual arrangements.  PGW stores the books at its
distribution centers and ships them to customers based on
customer requirements, primarily on a fully returnable basis.  
PGW also provides smaller publisher clients with a range of
related services, including marketing and publicity; customer
service; warehousing and distribution; billing and collections;
and sales and inventory reporting.

PGW's fees for its distribution and marketing services are
calculated as a percentage of net sales proceeds.  In the event
a product becomes old or unmarketable, PGW will, for a fee,
return any books in its possession to the PGW Publisher or
destroy the books.  PGW is under no obligation to purchase the
books held in its warehouses if it receives no orders for books
from third party retailers.

Founded in 1997, Perseus Books provides services to more than
150 independent publishers.  Perseus Books operates through CDS
and Consortium Book Sales & Distribution, Inc.  In fiscal year
2006, CDS and Consortium shipped more than US$330,000,000 of
books at wholesale value to more than 10,000 retailers and
wholesalers in the United States and Canada.

                 Purchase & Related Agreements

Pursuant to a Purchase Agreement dated Jan. 18, 2007, PGW will
assign to CDS all of PGW's rights under each Distribution
Agreement with a Publisher that executes a publisher agreement
with Perseus Books.  CDS will purchase and assume on a
prospective basis all of PGW's obligations under each
Distribution Agreement with a Consenting Publisher.

PGW will also provide CDS with administrative, technical and
support services pursuant to a Transition Services Agreement.

Under the Publisher Agreements, Perseus Books will pay
Consenting Publishers representing at least 65% of PGW's best
good faith estimate of the maximum amount of the Prepetition
Claims of all Publishers, 70% of their claims against PGW in
exchange for a complete assignment to Perseus Books of the
Prepetition Claims.  With respect to Consenting Publishers
representing the remaining 35%, Perseus Books may -- but is not
required to -- pay the Consenting Publishers less than 70% of
their Prepetition Claims.

PGW and Perseus Books agree that the Maximum Prepetition Claims
estimate will not exceed in the aggregate US$28,950,193.

Perseus Books will release the estate from the paid portion of
the Claims.  Perseus Books will retain against the PGW estate an
administrative claim for the amount of the assigned Prepetition
Claim that is not released.

Perseus Books' administrative claim may be increased on a
dollar-for-dollar basis if the Net Amount paid by Perseus Books
exceeds a sliding scale keyed off a "purchase price" -- that is,
the amount paid by Perseus Books to Consenting Publishers net of
its retained administrative claim -- of US$12,500,000 for all
Distribution Agreements.

CDS will purchase from PGW all returns of Consenting Publishers'
books received on or after the Petition Date, provided that with
respect to no more than 50% of the returns, CDS may pay for the
returns with a reduction in the amount of Perseus Books'
administrative claim against the estate.

PGW will transfer all items of each Consenting Publisher's
inventory to CDS, free and clear of all liens, claims and
interests of PGW's creditors, including Wells Fargo Foothill and
the DIP Lenders.

As a condition to closing, Publishers holding Claims aggregating
at least 65% of the Maximum Prepetition Claims against PGW must
execute the Publisher Agreements.

Perseus Books and CDS may terminate the Purchase Agreement if
the closing has not occurred, or in Perseus Books' good faith
judgment is not likely to occur, by March 15, 2007.

AMS and PGW retain the right to terminate the deal if, in their
good faith judgment, PGW no longer has the financial wherewithal
and capacity to (y) perform under the Purchase Agreement or the
Transition Services Agreement or (z) operate in the ordinary
course as established postpetition.

A full-text copy of the Purchase Agreement with Perseus Books is
available at no charge at http://ResearchArchives.com/t/s?193d

               PGW to Abandon Unassigned Contracts

The Debtors also seek the Court's nod to walk away from those
Distribution Agreements that will not be assigned, to avoid
burdening their estates with continuing obligations, if any,
associated with the Non-Assigned Contracts.

The Debtors may provide a written rejection notice by facsimile,
first-class mail or overnight courier to each Publisher to any
Non-Assigned Contract.  The applicable Non-Assigned Contract
will be deemed rejected effective upon the expiration of five
days after receipt of a Rejection Notice.

                    About Advanced Marketing

Based in San Diego, California, Advanced Marketing Services,
Inc. -- http://www.advmkt.com/-- provides customized  
merchandising, wholesaling, distribution and publishing
services, currently primarily to the book industry.  The company
has operations in the U.S., Mexico, the United Kingdom and
Australia, and employs approximately 1,200 people Worldwide.

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel.  Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.  
When the Debtors filed for protection from their creditors, they
listed estimated assets and debts of more than $100 million.  
The Debtors' exclusive period to file a chapter 11 plan expires
on Apr. 28, 2007.


AQUINAS EDUCATION: To Declare Dividend on Feb. 26
-------------------------------------------------
Aquinas Education Ltd, which is in liquidation, will declare a
first and final dividend on Feb. 26, 2007.

Failure to file proofs of debt by Feb. 19, will exclude a
creditor from sharing in the dividend distribution.

The joint and several liquidators can be reached at:

         Terry Grant van der Velde
         Paul Desmond Sweeney
         c/o SV Partners Pty Ltd
         Insolvency Accountants and Risk Managers
         Web site: http://www.svpartners.com.au

                    About Aquinas Education

Aquinas Education Limited provides quality education facilities
in Australia.  St. Joseph`s School is the key subsidiary of
Aquinas Education.  St. Joseph`s School is a primary school
catering for students from Kindergarten to Year 6.  The school
has been registered with the New South Wales, Australia Board of
Studies since 1992.


ARROW RESOURCES: Members Agree on Voluntary Wind-Up
---------------------------------------------------
At a general meeting held on Jan. 17, 2007, the members of Arrow
Resources Management Pty Ltd passed a special resolution to
voluntarily wind up the company's operations.

The liquidators can be reached at:

         Timothy James Cuming
         David Clement Pratt
         Level 15, 201 Sussex Street
         Sydney, New South Wales 1171
         Australia

                     About Arrow Resources

Arrow Resources Management Pty Limited is an investor relation
company.

The company is located in New South Wales, Australia.


ATIGON PTY: Members Appoint Stephen Gower Baker as Liquidator
-------------------------------------------------------------
At a meeting held on Jan. 23, 2007, the members of Atigon Pty
Ltd resolved to wind up the company's operations.

In this regard, Stephen Gower Baker was appointed as liquidator.

The Liquidator can be reached at:

         Stephen Baker & Co
         Chartered Accountant
         Suite 2, 98 Woolwich Road
         Woolwich, New South Wales 2110
         Australia
         Telephone: 9817 6427
         Facsimile: 9879 0964

                        About Atigon Pty

Atigon -- http://www.atigon.com.au-- has been a CRM company for  
over 9 years offering CRM systems based on business needs and
culture of their clients.  CRM projects vary from US$15,000
through to US$2.5million and have encompassed supply of
hardware, wide area networks, deployment of Microsoft Dynamics
GP (financials), and ongoing management and operation of systems
if required.

The company has locations in New South Wales and Victoria,
Australia.


BARTON NELSON: Members & Creditors' Final Meeting Set on March 9
----------------------------------------------------------------
The members and creditors of Barton Nelson & Parkes Pty Ltd will
hold a final meeting on March 9, 2007, at 9:30 a.m., to consider
the liquidator's final accounts of the company's wind-up
proceedings.

The liquidator can be reached at:

         Frank Lo Pilato
         RSM Bird Cameron Partners
         Level 1, 103-105 Northbourne Avenue
         Turner ACT 2612
         Australia
         Telephone: 02 6247 5988

                      About Barton Nelson

Barton Nelson & Parkes Pty Ltd provides help supply services.

The company is located in ACT, Australia.


BUILDING CONTROLS: Schedules Final Meeting on March 9
------------------------------------------------------
Building Controls Management Pty Ltd will hold a final meeting
for its members and creditors on March 9, 2007, at 12:00 p.m.,
to consider the liquidator's final account of the company's
wind-up proceedings.

The Troubled Company Reporter - Asia Pacific previously reported
that the company entered wind-up proceedings on Nov. 30, 2006.

The liquidator can be reached at:

         Frank Lo Pilato
         RSM Bird Cameron Partners
         Level 1, 103-105 Northbourne Avenue
         Turner ACT 2612
         Australia
         Telephone: 02 6247 5988

                    About Building Controls

Building Controls Management Pty Ltd provides business services.

The company is located in ACT, Australia.


ELDER & ROSE: Members Decide to Wind Up Operations
--------------------------------------------------
On Jan. 24, 2007, the members of Elder & Rose (Tempe) Pty Ltd
met and decided to voluntarily wind up the company's operations.

In this regard, Graham Dudley Short was appointed as liquidator.

The Liquidator can be reached at:

         Graham Dudley Short
         Chartered Accountant
         54 Sailors Bay Road, Northbridge
         New South Wales 2063
         Australia

                       About Elder & Rose

Elder & Rose (Tempe) -- trading as Orana Windmill Hotel Pty
Limited -- operates hotels and motels.

The company is located in New South Wales, Australia.


GEO GROUP: Acquires CentraCore Properties for US$427.6 Million
--------------------------------------------------------------
The GEO Group Inc. closed its acquisition of CentraCore
Properties Trust for approximately US$427.6 million.  GEO paid
US$32.58 per common share of CPT, inclusive of the repayment of
US$40 million in CPT debt and the payment of US$20 million in
transaction related fees and expenses.  

The acquisition was financed through the use of US$365 million
in new term loan borrowings and US$62.6 million cash on hand.  
The amended senior secured credit facility consists of the 7-
year term loan and a US$150 million, 5-year revolving credit
facility.  It was underwritten by BNP Paribas.

"We are pleased with the acquisition of CentraCore Properties
Trust," George C. Zoley, Chairman and Chief Executive Officer of
GEO, said.  "The acquisition allows our company to ensure the
long-term ownership, control, and utilization of these
facilities, while reducing our exposure to escalating use costs
in the future.  We can now move forward toward enhancing the
value of these important new company assets."

Lehman Brothers acted as GEO's financial adviser in connection
with this transaction. Akerman Senterfitt served as GEO's legal
advisor.

                  About CentraCore Properties

Based in Palm Beach Gardens, Florida, CentraCore Properties
Trust (NYSE:CPV) -- http://www.correctionalpropertiestrust.com/
-- is a correctional real estate investment trust.  CPT owns 13
correctional facilities totaling 8,671 beds, of which 11
facilities totaling 7,545 beds are currently leased to GEO under
sale-lease back agreements.
                        
                       About GEO Group

Headquartered in Boca Raton, Florida, The GEO Group, Inc. --
http://www.thegeogroupinc.com/-- is a world leader in the   
delivery of correctional, detention, and residential treatment
services to federal, state, and local government agencies around
the globe.  The company offers a turnkey approach that includes
design, construction, financing, and operations.  The company
represents government clients in the United States, Australia,
South Africa, Canada, and the United Kingdom.  GEO's worldwide
operations include 62 correctional and residential treatment
facilities with a total design capacity of approximately 51,000
beds, inclusive of facilities under management, facilities for
which GEO has received contract awards but which have not yet
opened, and inactive facilities.

The Geo Group, Inc.'s 8-1/4% Senior Notes due 2013 carry Moody's
Investors Service's and Standard & Poor's single-B rating.

On Sept. 14, 2006, the Troubled Company Reporter - Asia Pacific
reported that Standard & Poor's Ratings Services raised its
ratings on prison and correction services company The GEO Group
Inc.  The corporate credit rating was raised to 'BB-' from 'B+'.  
The ratings were removed from CreditWatch, where they were
placed with positive implications May 31, 2006, following the
company's announcement that it would offer 3 million shares of
its common stock in an underwritten public offering, intending
to use proceeds to pay down its term loan bank debt.  The rating
outlook is stable.


GRAB IT: Members and Creditors to Receive Liquidator's Report
-------------------------------------------------------------
The members and creditors of Grab It Accessories Pty Ltd will
meet on March 6, 2007, at 10:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings and
property disposal exercises.

As reported by the Troubled Company Reporter - Asia Pacific, the
company commenced a wind-up of its operations on Sept. 27, 2004.

The Liquidator can be reached at:

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

                          About Grab It

Grab It Accessories Pty Limited operates women's accessory and
specialty stores.

The company is located in New South Wales, Australia.


LEVEMA PTY: Members Pass Resolution to Wind Up Firm
---------------------------------------------------
On Jan. 16, 2007, the members of Levema Pty Ltd passed a special
resolution to voluntarily wind up the company's operations.

Accordingly, Robyn Beverley McKern and Colin McIntosh Nicol were
appointed as joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Robyn Beverley McKern
         Colin McIntosh Nicol
         c/o McGrathNicol+Partners
         Level 8, IBM Centre, 60 City Road
         Southbank, Victoria 3006
         Australia
         Telephone:(03) 9038 3185
         Web site: http://www.mcgrathnicol.com

                        About Levema Pty

Levema Pty Ltd is an investor relation company.

The company is located in Victoria, Australia.


MAXTOR DISC: Enters Voluntary Liquidation
-----------------------------------------
At a general meeting held on Jan. 19, 2007, the members of
Maxtor Disc Drives Pty Ltd resolved by way of special resolution
to voluntarily liquidate the company's business.

The joint and several liquidators can be reached at:

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

                        About Maxtor Disc

Maxtor Disc Drives Pty Limited -- http://www.maxtor.com-- is a  
distributor of computer storage devices.

The company is located in New South Wales, Australia.


ORMSRAY CORPORATION: Members Opt for Voluntary Wind-Up
------------------------------------------------------
On Jan. 16, 2007, the members of Ormsray Corporation Pty Ltd
passed a special resolution to voluntarily wind up the company's
operations.

Accordingly, Robyn Beverley McKern and Colin McIntosh Nicol were
appointed as joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Robyn Beverley McKern
         Colin McIntosh Nicol
         c/o McGrathNicol+Partners
         Level 8, IBM Centre, 60 City Road
         Southbank, Victoria 3006
         Australia
         Telephone:(03) 9038 3185
         Web site: http://www.mcgrathnicol.com

                   About Ormsray Corporation

Ormsray Corporation Pty Ltd is a distributor of fabricated
rubber products.

The company is located in Victoria, Australia.


PEABODY ENERGY: Posts 45% Increase in 2006 Earnings
---------------------------------------------------
Peabody Energy reported a 45% increase in full-year earnings to
US$2.29 per share, excluding the effects of the recent Excel
Coal acquisition.

With the acquisition, earnings were US$2.23 per share on net
income of US$600.7 million.

EBITDA increased 24% to US$1,080.4 million for the year.

"The Peabody team delivered record results for the fifth
consecutive year.  And in 2007, we are targeting increased
results as we benefit from greater access to high-margin global
coal markets, along with higher realized US prices from sales
contracts signed in recent years.  The international coal
markets are very strong, and we expect US markets to strengthen
in 2007 with the announced industry production cutbacks and a
return to normal electricity generation.  In the near term, we
are managing our US production and capital to match demand,"
said Peabody Energy President and Chief Executive Officer
Gregory H. Boyce.

In the fourth quarter 2006, Peabody Energy completed the
acquisition of Excel Coal, one of Australia's largest coal
companies, to serve rapidly expanding global markets and Peabody
Energy's six-continent customer base.  With Excel Coal, Peabody
Energy acquired more than 500 million tons of proven and
probable reserves to accommodate future expansion.  EBITDA from
international coal activities is anticipated to be as much as
30% of Peabody Energy's total in 2007 and continue to increase
in later years.

Full-year 2006 revenues increased 13% over the prior year to a
record US$5.26 billion, on coal sales volume that led the
industry at 248 million tons.  The increase was due to higher
prices and increased volumes in all regions.  Average revenues
per ton for the year improved more than 7% in the US and more
than 6% in Australia.

Peabody Energy increased EBITDA from all business activities.  
Contributions from US mining operations grew 3% for the year to
US$857.2 million.

Increased customer demand drove higher realized pricing and
volumes.  EBITDA from Australian operations improved 37% to
US$278.4 million, driven by increased metallurgical coal volumes
and a US$19.7 million fourth quarter contribution from recently
acquired operations.  Trading and Brokerage and Resource
Management contributed a combined US$204.9 million of EBITDA, a
73% improvement over the prior year.

Operating profit increased 28% to US$663.1 million last year.  
The 2006 net income totaled US$600.7 million, compared with
prior-year income of US$422.7 million.  The tax benefit of
US$81.5 million for the year resulted from increased valuation
of tax assets due to higher forecasted profitability and the
certainty of sales contracting positions.

During 2006, Peabody Energy achieved its second best safety
performance in the company's 123-year history.  The company
received eight awards for safety including, for the second time
in three years, the U.S. Department of Labor Sentinels of Safety
award for the safest US surface mine.  Peabody Energy was
recognized with 14 reclamation awards, including five granted by
the U.S. Department of the Interior.

In the fourth quarter 2006, Peabody Energy also joined the S&P
500 index and was named to Forbes "Platinum List of America's
Best Big Companies."

"Growing demand for coal is being driven by rising global energy
needs and increasing interest in energy security.  China may
become a net importer as early as the second half of 2007.  
Europe is taking steps to reinvest in coal.  And the United
States is pursuing significant initiatives to increase its long-
term use of clean coal technologies for electricity generation
and coal conversion applications," said Mr. Boyce.

Global coal demand is strong and growing, as coal continues to
fuel the world's leading economies.  Approximately 115 gigawatts
of new coal-fueled electricity generating capacity is scheduled
to come on line around the world over the next three years.  In
its new Annual Energy Outlook, the U.S. Energy Information
Administration projects an additional 156 gigawatts of new US
coal-fueled generation by 2030, which by itself represents more
than 500 million tons of additional coal demand.  EIA has
reaffirmed its forecast that coal's share of the US generation
market will increase to 57% by 2030.  EIA also raised its long-
term natural gas and oil price assumptions, and reduced its
estimate of liquefied natural gas available to the US.

Coal-to-gas and coal-to-liquids plants represent a significant
avenue for long-term industry growth. China and India are
developing coal-to-gas and coal-to-liquids facilities.  And
coal-to-liquids technologies are receiving growing bipartisan US
support, as demonstrated by newly introduced CTL bills such as
the "Coal-to-Liquid Fuel Promotion Act" by U.S. Senators Obama
and Bunning.

Coal was the fastest growing fuel in the world for each of the
past four years, and Peabody Energy believes this trend
continued in 2006.  Growth in European and Asian markets is
estimated to have more than offset lower weather-related US coal
demand.

In reviewing the global coal markets:

   -- The Pacific seaborne market has tightened considerably.
      China's net exports declined more than 30% in 2006, a
      trend that Peabody Energy expects to continue;

   -- Thermal coal from Australia into Asia remains in high
      demand, and a record number of ships are waiting to load
      in Newcastle.  Australia thermal pricing is strong, rising
      in recent months.  The current index price is US$52 per
      metric ton, which is more than 20% higher than the price
      in October 2006;

   -- China steel production is on pace for 21% growth over
      2005, as China serves most of the growth in global steel
      demand; and

   -- Seaborne metallurgical coal prices for the upcoming fiscal
      year are being settled from a reference price near US$100
      per metric ton.

While near-term US markets are affected by year-end US coal
inventories at generators, which are estimated to be above the
five-year average at 130 to 140 million tons, early indications
suggest that growth in US coal shipments slowed in the second
half of 2006 and declined in December.  A new US EIA outlook for
2007 forecasts a demand increase of more than 20 million tons
and a production decline of more than 30 million tons across the
US.

"Peabody will continue to use its financial strength, global
scope, 10 billion ton reserve base and extensive US and
international trading network as a platform aimed at continued
shareholder value creation.  We are executing a multi-pronged
action plan to deliver improved results by capitalizing on
strong global markets and managing through near-term US market
softness," said Peabody Energy Chief Financial Officer and
Executive Vice President of Corporate Development Richard A.
Navarre.

Key initiatives include:

   -- Expanding internationally where markets and margins are
      strongest.  Peabody is maximizing production at new mine
      developments in Australia.  Operations acquired in the
      Excel Coal transaction are projected to add 15 million
      tons of production in 2007 and up to 20 million tons in
      2008.  Peabody Energy's 2007 Australia production includes
      more than 11 million tons of high-demand thermal export
      coal.  Peabody Energy is also expanding its international
      presence with increased trading activities in Australia,
      China and Europe.

   -- Tightly managing the cost structure.  In 2007, Peabody
      Energy will implement a company-wide mine operations
      process improvement initiative that was successfully
      piloted in 2006.  Peabody Energy also strengthened its
      operating base in 2006 at long-wall operations in
      Australia and Colorado.  And a new dragline and in-pit
      crusher/conveyor at North Antelope Rochelle will lead to
      higher productivity and lower per-ton consumption of fuel.

   -- Limiting production growth. Peabody Energy reduced its
      anticipated 2007 production growth by seven million tons
      in the third quarter, and will continue to evaluate proper
      production levels to match market demand.  The company now
      targets 2007 production of 240 to 260 million tons and
      sales of 265 to 285 million tons.

   -- Exercising capital discipline.  Peabody Energy anticipates
      capital expenditures comparable with last year in the
      range of US$450 to US$525 million, including US$100
      million of development capital in 2007 for new Excel Coal
      operations.

   -- Optimizing sales contracting strategies and coal trading
      opportunities.  Peabody Energy uses its contracting
      strategies to layer in profitable agreements at
      appropriate times and levels.  Peabody Energy's extensive
      backlog of business also provides multiple opportunities
      for substitution and structured product solutions using
      its leading trading and brokerage capabilities.

Peabody is targeting full-year financial results in 2007 that
include earnings per share of US$2.10 to US$2.75 and EBITDA of
US$1,200 million to US$1,450 million.  Quarterly and annual
performance will be sensitive to transportation in the US and
Australia, the ramp-up of operations from Excel, and the timing
of metallurgical coal shipments.

Peabody Energy is targeting increased yearly EBITDA at both US
and Australian operations, led by increased volumes and higher
realized pricing.  Targeted realized prices include an estimated
20% in higher Western US revenues per ton, led by a 30% increase
in premium Powder River Basin products, related to the benefit
of contracts signed in recent years.  These results will be
partly offset by approximately US$175 million in EBITDA impacts
primarily related to lower metallurgical coal prices, union
contract-driven labor costs and higher non-cash postretirement
health care expenses.

Peabody Energy has five to 15 million tons of expected 2007 US
production unpriced at Dec. 31, 2006, after pricing 12 million
tons of 2007 production in the fourth quarter.  The company has
14 million tons remaining to be priced in Australia.  The
company has 70 to 80 million tons of expected US coal production
unpriced for 2008, along with 20 to 22 million tons of expected
Australia coal production.

For the first quarter 2006, Peabody Energy is targeting EBITDA
of US$275 to US$325 million and earnings per share of US$0.25 to
US$0.45.

Headquartered in St. Louis, Missouri, Peabody Energy Corp.,
(NYSE: BTU) -- http://www.peabodyenergy.com/-- is the world's   
largest private-sector coal company, with 2005 sales of 240
million tons of coal and U.S.US$4.6 billion in revenues.  Its
coal products fuel 10% of all U.S. and 3% of worldwide
electricity.  The company has coal operations in Australia.

                          *     *     *

On Dec. 14, 2006, Moody's Investors Service assigned Peabody
Energy Corporation's proposed US$500-million convertible junior
subordinated debentures a rating of Ba2.  At the same time,
Moody's affirmed Peabody's Ba1 corporate family rating and the
Ba1 senior unsecured rating on its existing revolver, term loan
and notes.  The ratings reflect the overall probability of
default of the company, to which Moody's affirms a PDR of Ba1.

As reported in the Troubled Company Reporter - Asia Pacific on
Dec. 21, 2006, Standard & Poor's Ratings Services assigned its
'B' rating to the US$500-million convertible junior subordinated
debentures.

On Dec. 13, 2006, Fitch Ratings rated the US$500-million
debentures due 2066 at 'BB-'.


REVLON INC: Completes US$100 Million Rights Offering
----------------------------------------------------
Revlon Inc. has disclosed the completion of its over-subscribed
US$100 million rights offering and the related private placement
it launched on Dec. 18, 2006, with public shareholders seeking
to subscribe for approximately 72 million shares, which was
approximately 34 million shares in excess of the 37,847,472
shares sold to the public in the rights offering at US$1.05 per
share.

MacAndrews & Forbes Holdings Inc., Revlon's majority
stockholder, which is wholly-owned by Ronald O. Perelman, has
purchased in a private placement directly from Revlon a total of
57,390,623 shares of Revlon's Class A common stock, pursuant to
a previously-disclosed Stock Purchase Agreement between Revlon
and MacAndrews & Forbes, at the same price of US$1.05 per share,
representing the number of shares that MacAndrews & Forbes would
otherwise have been entitled to subscribe for in the rights
offering pursuant to its basic subscription privilege.

The shares sold to MacAndrews & Forbes were sold in reliance on
Rule 506 under the Securities Act of 1933, as amended.  The
issuance of shares to MacAndrews & Forbes was not registered
under the Securities Act of 1933, as amended, and, accordingly,
such shares may not be offered or sold in the U.S. absent
registration or an applicable exemption from registration
requirements.

As a result of these transactions, Revlon will have issued a
total of 95,238,095 new shares of its Class A common stock,
increasing the number of outstanding shares of Revlon's Class A
common stock to 476,688,940 shares and increasing the total
number of shares of common stock outstanding, including the
company's existing 31,250,000 shares of Class B common stock, to
507,938,940 shares. With the completion of these transactions,
MacAndrews & Forbes beneficially owns approximately 58% of
Revlon's Class A common stock and approximately 60% of Revlon's
total common stock outstanding, which shares represent
approximately 74% of the combined voting power of such shares.

Revlon also announced that Revlon Consumer Products Corporation,
Revlon's wholly owned operating subsidiary, will use
approximately US$50 million of the proceeds of the rights
offering and related private placement to redeem approximately
US$50 million aggregate principal amount of its 8 5/8% Senior
Subordinated Notes due 2008, at a redemption price of 100% of
the principal amount of such Notes, plus accrued and unpaid
interest up to, but not including, the redemption date.  

In addition, Revlon announced that on or about Jan. 25, 2007,
RCPC used the remainder of such proceeds to repay approximately
US$43 million of indebtedness outstanding under RCPC's US$160
million revolving credit facility (which represented all of the
indebtedness outstanding under this facility at that time),
without any permanent reduction in that commitment, after paying
fees and expenses incurred in connection with the rights
offering and related private placement, with the remaining
approximately US$5 million available for general corporate
purposes.

                         About Revlon

Revlon, Inc. (NYSE:REV) -- http://www.revloninc.com/-- is a  
worldwide cosmetics, skin care, fragrance, and personal care
products company.  The company's vision is to deliver the
promise of beauty through creating and developing the most
consumer preferred brands.  The company's brands include
Revlon(R), Almay(R), Vital Radiance(R), Ultima(R), Charlie(R),
Flex(R), and Mitchum(R).  The company has Asia Pacific
operations in Australia, China, Hong Kong, Singapore, and
Taiwan.

At Sept. 30, 2006, Revlon Inc.'s balance sheet showed $925
million in total assets and $2.150 billion in total liabilities,
resulting in a $1.225 billion stockholders' deficit.


RODELA PTY: To Declare Dividend for Priority Creditors
------------------------------------------------------
Rodela Pty Ltd, which is in liquidation, notifies parties-in-
interest of its intention to declare first and final dividend
for its priority creditors on March 13, 2007.

Failure to prove debts by Feb. 27, will exclude a priority
creditor from sharing in the dividend distribution.

The liquidator can be reached at:

         Frank Lo Pilato
         c/o RSM Bird Cameron Partners
         GPO Box 200, Canberra ACT 2601
         Australia
         Telephone:(02) 6247 5988

                       About Rodela Pty

Rodela Pty Ltd is a distributor of durable goods.

The company is located in ACT, Australia.


SATS AUSTRALIA: Members and Creditors to Receive Final Report
-------------------------------------------------------------
The members and creditors of Sats Australia & New Zealand Pty
Ltd will meet on March 9, 2007, at 11:00 a.m., to receive the
liquidator's final report regarding the company's wind-up
proceedings.

According to the Troubled Company Reporter - Asia Pacific, the
company entered voluntary wind-up on June 7, 2006.

The Liquidator can be reached at:

         Frank Lo Pilato
         RSM Bird Cameron Partners
         Level 1, 103-105 Northbourne Avenue
         Turner ACT 2612
         Australia
         Telephone: 02 6247 5988

                       About Sats Australia

Sats Australia & New Zealand Pty Ltd is engaged with computer
maintenance and repair.

The company is located in New South Wales, Australia.


SMARTIRE SYSTEMS: Oct. 31 Balance Sheet Upside-Down by US$34.8M
---------------------------------------------------------------
SmarTire Systems Inc. reported a US$5.3 million net loss on
US$851,779 of revenues for the first quarter ended Oct. 31,
2006, compared with an US$18.2 million net loss on US$592,866 of
revenues for the same period in 2005.

The decrease in net loss is mainly due to the US$15.7 million
decrease in interest and financing expense.  Interest and
finance charges for the three months ended Oct. 31, 2006
includes non-cash interest of US$1.9 million compared to non-
cash interest charges of US$16.7 million for the three months
ended Oct. 31, 2005.  Of the US$16.7 million non-cash interest
charges, US$16.3 million were for amortization of deferred
financing fees.

The company's balance sheet at Oct. 31, 2006, showed US$6.1
million in total assets, US$38.7 million in total liabilities,
and 2.2 million in preferred shares subject to mandatory
redemption, resulting in a stockholders' deficit of US$34.8
million.

At Oct. 31, 2006, the company's balance sheet also showed
strained liquidity with US$3.6 million in total current assets
available to pay US$4.7 million in total current liabilities.

Full-text copies of the company's consolidated financial
statements for the quarter ended Oct. 31, 2006, are available
for free at http://researcharchives.com/t/s?1810    

                           About SmarTire

Headquartered in Richmond, British Columbia, Canada, SmarTire
Systems Inc. (OTC BB: SMTR.OB) -- http://smartire.com/--
develops and markets technically advanced tire pressure
monitoring systems for the transportation and automotive
industries that monitor tire pressure and tire temperature.  Its
TPMSs are designed for improved vehicle safety, performance,
reliability and fuel efficiency.  The company has three wholly
owned subsidiaries: SmarTire Technologies Inc., SmarTire USA
Inc. and SmarTire Europe Limited.  The company has operations in
Australia and New Zealand.


SMARTIRE SYSTEMS: Inks Sale Agreement for US$1.8 Mln. Debentures
----------------------------------------------------------------
SmarTire Systems Inc. entered into an agreement providing for
the sale of convertible debentures in the amount of up to
US$1,800,000.  On Jan. 23, 2007, SmarTire sold one convertible
debenture for gross proceeds of US$684,000.  The Agreement
provides that SmarTire may sell convertible debentures for the
balance of up to US$1,116,000 at any time over the next six
months.

"As reported on Dec. 10, 2006, our first quarter results showed
a continuing trend of year-on-year revenue growth and major
players in the commercial vehicle industry have advised us that
they plan to begin ordering our products," SmarTire CFO Jeff
Finkelstein said.  "This indication was further supported last
week with the announcement by DaimlerChrysler Commercial Buses
that they will begin supplying SmarTire products to their
customers.  As this revenue growth trend continues throughout
2007, it is most important that we have the working capital
necessary to respond to this increase in product demand.  The
actions recently undertaken to reduce our operating costs and
the infusion of the net proceeds from the first tranche of this
financing represent major steps in satisfying our working
capital requirements going forward."

                         About SmarTire

Based in British Columbia, Canada, SmarTire Systems Inc. (OTC
Bulletin Board: SMTR) -- http://www.smartire.com/-- develops  
and markets technically advanced tire pressure monitoring
systems for the transportation and automotive industries that
monitor tire pressure and tire temperature.  Its TPMSs are
designed for improved vehicle safety, performance, reliability
and fuel efficiency.  The company has three wholly owned
subsidiaries: SmarTire Technologies Inc., SmarTire USA Inc. and
SmarTire Europe Limited.  The company has operations in
Australia and New Zealand.

                          Going Concern

In an addendum to its audit report, KPMG pointed to the
company's uncertainty in meeting its current operating and
capital expense requirements after auditing the company 's
financial statements for the fiscal years ended July 31, 2005
and 2004.

                          *     *     *

As reported in the Troubled Company Reporter on Feb. 6, 2007,
the company's balance sheet at Oct. 31, 2006, showed US$6.1
million in total assets, US$38.7 million in total liabilities,
and 2.2 million in preferred shares subject to mandatory
redemption, resulting in a stockholders' deficit of
US$34.8 million.


SMARTIRE SYSTEMS: Inks Consulting Agreement with SKS Consulting
---------------------------------------------------------------
SmarTire Systems Inc. entered into a consulting agreement with
SKS Consulting of South Florida Corp.  The agreement is for a
12-month term commencing Jan. 1, 2007 and expiring Dec. 31,
2007, with automatic renewals on a month-to-month basis unless
either of SKS consulting, or the company elect to terminate,
which the company are permitted to do on 30 days written notice
at anytime after the initial 12-month term.

Under the consulting agreement, SKS will provide the compay with
the services of Mr. George O'Leary for an aggregate of one week
per month.  Mr. O'Leary is a business consultant who the company
will assist in streamlining the business operations to achieve
greater efficiencies.  All payments made by the company are to
be approved by SKS consulting.  In consideration for these
services, we have agreed to compensate SKS as follows:

Daily remuneration of US$1,000 per day for each day Mr. O'Leary
spends working with our company and 100,000 shares per month, to
be paid at the end of each month during the term.

In addition, the company has agreed to issue to SKS consulting
100,000 share purchase warrants per month exercisable into
common shares of at US$0.03 per warrant.  The holders of the
company outstanding convertible debentures have agreed that the
grant of these warrants at this exercise price will not cause
any adjustment of the conversion price specified in any of those
convertible debentures.

The company's consulting agreement with SKS consulting also
provides that SKS consulting can earn warrants to purchase up to
an additional 500,000 of the company's common shares at an
exercise price US$0.06 per common share if these milestones are
achieved by the company:

   -- Successful organizational
      restructuring by Feb. 28, 2007          100,000 warrants

   -- Successful additional
      short-term financing by Mar. 31, 2007   100,000 warrants

   -- company at monthly breakeven
      by Dec. 31, 2007                        200,000 warrants

   -- Stock price at $0.12/share
      for a consecutive 30 day period         100,000 warrants

                         About SmarTire

Headquartered in Richmond, British Columbia, Canada, SmarTire
Systems Inc. (OTC BB: SMTR.OB) -- http://smartire.com/--
develops and markets technically advanced tire pressure
monitoring systems for the transportation and automotive
industries that monitor tire pressure and tire temperature.  Its
TPMSs are designed for improved vehicle safety, performance,
reliability and fuel efficiency.  The company has three wholly
owned subsidiaries: SmarTire Technologies Inc., SmarTire USA
Inc. and SmarTire Europe Limited.  The company has operations in
Australia and New Zealand.

                          Going Concern

In an addendum to its audit report, KPMG pointed to the
company's uncertainty in meeting its current operating and
capital expense requirements after auditing the company 's
financial statements for the fiscal years ended July 31, 2005
and 2004.

                          *     *     *

As reported in the Troubled Company Reporter on Feb. 6, 2007,
the company's balance sheet at Oct. 31, 2006, showed US$6.1
million in total assets, US$38.7 million in total liabilities,
and 2.2 million in preferred shares subject to mandatory
redemption, resulting in a stockholders' deficit of
US$34.8 million.


SUPERIOR ENERGY: Board OKs US$362MM Capital Expenditure Budget
--------------------------------------------------------------
Superior Energy Services, Inc.'s board of directors has approved
a record-high capital expenditures budget of approximately
US$362 million for 2007.  The capital expenditures budget is
expected to be funded entirely by internally generated cash
flows. Some of the significant capital expenditures are as:

   * The rental tools segment has a capital expenditures budget
     of approximately US$135 million with the emphasis being on
     continuing the company's international growth.  The plan
     includes:

     -- US$67 million for drill pipe and specialty tubulars,
        primarily in international markets;

     -- US$38 million for accommodations and ancillary
        equipment, primarily in the Rocky Mountains market area;
        and

     -- US$24 million for continued growth in the stabilization
        and drill collars markets.

   * The well intervention segment has a capital expenditures
     budget of approximately US$123 million.  Some of the larger
     capital expenditure items include:

     -- US$53 million allocated to the recently acquired Warrior
        Energy Services for, among other things, 14 coiled
        tubing spreads and 10 electric line units for the
        domestic land markets;

     -- US$26 million in connection with the construction of the
        880-ton derrick barges;

     -- US$14 million for offshore production-related equipment;
        and

     -- US$10 million for well control assets.

   * The company's oil and gas subsidiary SPN Resources has a
     capital expenditures budget of approximately US$90
     million, primarily for re-completions and workovers.

   * Of the remaining US$14 million of capital expenditures,
     about US$3 million will be spent by the marine segment and
     the remainder is allocated for facilities and other
     miscellaneous projects.

Chairman and CEO Terry Hall comments, "We believe our capital
expenditures program will help us fulfill our geographic
diversification strategy in a manner that creates value long-
term.  Our capital expenditure plan, which is primarily for
expansionary purposes, also reflects our belief that the Warrior
acquisition provides us a platform to deploy capital and a
footprint to grow our premium well intervention service
offerings."

Superior Energy Services, Inc., is headquartered in Harvey,
Louisiana. The company has operations in the United States,
Trinidad and Tobago, Australia, the United Kingdom, and
Venezuela, among others.

The Troubled Company Reporter - Asia Pacific reported on
Dec. 18, 2006, Standard & Poor's Ratings Services assigned its
'BB-' senior unsecured rating to oilfield services firm SESI
LLC's proposed US$400 million exchangeable notes due 2026.  At
the same time, Standard & Poor's affirmed SESI's and parent
Superior Energy Services Inc.'s 'BB' corporate credit rating and
'BB-' rating on the US$300 million senior unsecured notes.  The
outlook is stable.

The TCR-AP also reported that Moody's Investor's Service
affirmed with a negative rating outlook SESI, L.L.C.'s Ba3
Corporate Family Rating, Ba3 Probability of Default Rating, and
B1 rated senior unsecured notes guaranteed by Superior Energy
Services, Inc., with the LGD assessment changed to LGD 4 (60%)
from LGD 5 (71%).  At the same time, Moody's withdrew the Ba3
rating on SESI's US$200 million secured term loan facility, as
the facility has been terminated.


UNIVERSAL COMPRESSION: Unit Declares Prorated Cash Distribution
---------------------------------------------------------------
Universal Compression Partners, L.P., a unit of Universal
Compression Holdings Inc., declared a cash distribution of
US$0.278 per unit payable on Feb. 14, 2007, to unitholders of
record at the close of business on Feb. 7, 2007.

The distribution reflects the pro rata share of the
partnership's minimum quarterly distribution of US$0.35 per unit
and covers the time period from the closing of the partnership's
initial public offering on Oct. 20, 2006, through Dec. 31, 2006.

Universal Compression Partners was recently formed by Universal
Compression Holdings, Inc., to provide natural gas contract
compression services to customers throughout the United States
and was started with an initial fleet comprising approximately
330,000 horsepower, or approximately 17% by available horsepower
of Universal Compression Holdings' domestic contract compression
business at that time.  Universal Compression Holdings owns
approximately 51% of Universal Compression Partners.

Headquartered in Houston, Texas, Universal Compression, Inc. --
http://www.universalcompression.com/-- provides natural gas  
compression equipment and services, primarily to the energy
industry in the United States, as well as in Canada, Venezuela,
Argentina, Columbia, and Australia.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
November 27, 2006, Standard & Poor's Ratings Services raised its
corporate credit rating on Universal Compression Holdings Inc.
to 'BB' from 'BB-'.  At the same time, Standard & Poor's
assigned its 'BB' rating and '3' recovery rating to Universal's
US$500 million revolving credit facility. The company had
approximately US$807 million in debt outstanding following the
IPO of its subsidiary Universal Compression Partners L.P.


ZINIFEX LTD: Shuts Down Port Pirie Blast Furnace for Repair
-----------------------------------------------------------
In a statement posted at its Web site, dated Feb. 6, 2007,
Zinifex Limited advises that last weekend, an employee was
injured after a steam explosion, but notes that the injured
employee is now recovering after treatment.

Zinifex reveals that damage was also sustained in the blast
furnace area at the Port Pirie smelter.  The company explains
that the incident was due to molten slag that came into contact
with water.

Zinifex clarifies that the damage was not to the blast furnace
itself but to the slag granulation system nearby.  However, to
effect safe repairs to this equipment, the blast furnace has
been shut down.

The unplanned shutdown is expected to last for 7-10 days and, as
a result, lead and silver production this financial year will be
reduced by approximately 6,000 tonnes and 7,600 kilograms,
respectively, the company reveals.

Operations other than the blast furnace will continue largely
unaffected and so the impact on production of other metals at
Port Pirie will be minor.

The financial impact from the shutdown will not be material with
an estimated reduction to this year's profit of less than AU$4
million, Zinifex notes.

                         About Zinifex

Zinifex Limited, one of the world's largest integrated zinc and
lead companies -- http://www.zinifex.com/-- is headquartered in  
Melbourne, Australia.  The company owns and operates two mines
and four smelters.  The mines and two of the smelters are
located in Australia and supply the growing industrial markets
of the Asian-Pacific region, including China.  The company also
has a zinc smelter in the Netherlands and the United States.

The company sells a range of zinc metal, lead metal, and
associated alloys in 20 countries.

More than 80% of the company's products are distributed outside
Australia, particularly in Asia, which is experiencing
significant growth in construction activity and vehicle
production.  Zinc is used for steel galvanizing and die-casting
and lead for lead acid batteries used mainly in cars and other
vehicles.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on Aug. 9,
2006, that Fitch Ratings assigned Zinifex a Long-term foreign
currency Issuer Default Rating of 'BB+' with a Stable Outlook.

According to Fitch, the rating is unaffected by Zinifex's
announcement of a proposed transaction with Belgium-based
specialty metals group Umicore to merge their respective zinc
smelting and alloying businesses, a Dec. 14, 2006, TCR-AP report
noted.


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

ACE WORKSHOP: Wind-Up Hearing Slated for March 14
-------------------------------------------------
The High Court of Hong Kong will hear a wind-up petition against
ACE Workshop Production Co. Ltd on March 14, 2007, at 9:30 a.m.

Wong Sing Yeuk filed the petition with the Court on Jan. 10,
2007.

Wong Sing Yeuk's solicitor can be reached at:

         Chong Yan-Tung Chris
         34/F, Hopewell Centre
         183 Queen's Road East, Wanchai
         Hong Kong


BASIC BREAD: Final Meetings Slated for March 27
-----------------------------------------------
The members and creditors of Basic Bread Ltd will hold their
final meetings on March 27, 2007, at 2:00 p.m. and 2:30 p.m.,
respectively, to consider the liquidator's account of the
company's wind-up proceedings.

The Troubled Company Reporter - Asia Pacific reported that the
company was placed under liquidation on June 9, 2006.

The liquidator can be reached at:

         Leung Chi Wing
         Office B, 4/F
         Kiu Fu Commercial Bldg
         300 Lockhart Road, Wanchai
         Hong Kong


BENNY'S CATERERS: Creditors' Proofs of Claim Due on March 3
-----------------------------------------------------------
The creditors of Benny's Caterers International Ltd are required
to submit their proofs of claim by March 3, 2007.

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

The Troubled Company Reporter - Asia Pacific previously reported
that the company went into liquidation on Jan. 26, 2007.

The joint liquidators can be reached at:

         Wong Ping Cheung, Benny
         Tang Tai Yuen
         Flat A, Floor 24, Beverley Heights
         Belair Gardens, 52 Tai Chung Kiu Road
         Shatin, New Territories
         Hong Kong


DANA CORP: Wants E&Y's Work Expanded to Add Internal Audit Task
---------------------------------------------------------------
Dana Corp. and its debtor-affiliates seek authority from the
U.S. Bankruptcy Court for the Southern District of New York to
expand the scope of Ernst & Young LLP's services to include
certain internal audit tasks, nunc pro tunc to Jan. 1, 2007.

The Internal Audit Services include, among others:

   (a) providing a client service charter for approval by the
       Management and the Audit Committee every year;

   (b) conducting a risk assessment focused on the Debtors'
       articulated areas of risk and concern

   (c) finalizing an annual audit plan and an annual budget;

   (d) enhancing the Debtors' understanding of and compliance
       with legislation like Section 404 of the Sarbanes-Oxley
       Act;

   (e) providing pragmatic review and assessment of controls
       over financial reporting;

   (f) recommending improvements of efficiency and control of
       business processes related to the Debtors' information
       technology; and

   (g) providing reports and results from the performance of
       risk assessment procedures.

The Debtors' Internal Audit Department has historically provided
the Internal Audit Services.  As a consequence of the expansion
of E&Y's employment, the Audit Department will no longer be
maintained, Corinne Ball, Esq., at Jones Day, in New York,
relates.

Certain of the Audit Department's 33 employees will be offered
reassignments within the Debtors' business or terminated or
offered employment with E&Y, Ms. Ball says.

The Debtors believe that outsourcing of the Internal Audit
Services will result in greater efficiencies and potentially
significant cost savings for the benefit of their Chapter 11
estates.  E&Y's provision of the Internal Audit Services on an
hourly basis will eliminate the burdensome costs and
inefficiencies associated with employee downtime and will help
ensure that the Debtors only receive and pay for Internal
Auditing Services as and when needed.

The Debtors estimate that the elimination of those
inefficiencies through the proposed outsourcing program could
result in annual savings of as much as US$3,000,000.

The Debtors will pay E&Y according to its customary hourly
rates:

                   U.S.  UK & German  Other Int'l.    Other
Level          Personnel  Personnel    Personnel    Specialist
-----          --------- ----------- -------------  ----------
Partner/
Principal/
Executive Dir. US$345     US$525        US$380     US$490-US$650
Senior Manager US$250     US$370        US$275     US$300-US$550
Manager        US$200     US$310        US$220     US$250-US$500
Senior         US$143     US$245        US$157     US$200-US$375
Staff          US$110     US$160        US$121     US$145-US$180

The Debtors will also reimburse E&Y for any necessary and
reasonable out-of-pocket expenses and applicable taxes.

                          *     *     *

Toledo, Ohio-based Dana Corp. -- http://www.dana.com/-- designs  
and manufactures products for every major vehicle producer in
the world, and supplies drivetrain, chassis, structural, and
engine technologies to those companies.  Dana employs 46,000
people in 28 countries.  Dana is focused on being an essential
partner to automotive, commercial, and off-highway vehicle
customers, which collectively produce more than 60 million
vehicles annually.  Dana has facilities in China, Argentina and
Italy.

The company and its affiliates filed for chapter 11 protection
on Mar. 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
Sept. 30, 2005, the Debtors listed US$7,900,000,000 in total
assets and US$6,800,000,000 in total debts.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.  

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represents the Official Committee of Unsecured Creditors.  
Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel
to the Official Committee of Equity Security Holders.  Stahl
Cowen Crowley, LLC serves as counsel to the Official Committee
of Non-Union Retirees.  

The Debtors' exclusive period to file a plan expires on Sept. 3,
2007.  They have until Nov. 2, 2007, to solicit acceptances to
that plan.

(Dana Corporation Bankruptcy News, Issue No. 29; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or  
215/945-7000).

Following Dana Corporation's announcement that it has filed for
Chapter 11 bankruptcy court protection and defaulted on its debt
agreements, Fitch downgraded Dana's issuer default rating to 'D'
from 'C'.

Fitch also affirms and removes from Rating Watch Negative the
'CC' rating and 'RR4' recovery rating on Dana's unsecured notes.  
These ratings will be withdrawn in 30 days.  The 'B-' rating on
the pre-petition senior secured facility and the recovery rating
of 'RR1' are being withdrawn, as the facility is expected to
achieve full recovery through the establishment of US$1.45
billion in debtor-in-possession facilities.

Moody's Investors Service assigned B3 ratings to the US$1.45
billion debtor-in-possession financing of Dana Corporation as a
Debtor-in-Possession.  The DIP financing consists of a US$750
million super priority senior secured asset based revolving
credit and a US$700 million super priority senior secured term
loan B.


DANA CORP: Gets Approval to Amend Postpetition Credit Facility
--------------------------------------------------------------
The Honorable Burton R. Lifland of the U.S. Bankruptcy Court for
the Southern District of New York authorizes Dana Corp. and its
debtor-affiliates to amend their postpetition credit facility to
provide for:

   (a) a US$200,000,000 increase of their term loan commitments;

   (b) a 0.25% increase of the annual rate at which interest
       accrues on amounts borrowed under the term facility;

   (c) reduction of certain minimum global EBITDAR covenant
       levels and an increase of the annual amount of cash
       restructuring charges excluded in the calculation of
       EBITDAR;

   (d) the implementation of a corporate restructuring of their
       European non-Debtor subsidiaries to facilitate the
       establishment of a European credit facility and improve
       treasury and cash management operations; and

   (e) their ability to receive and retain proceeds from the
       trailer axle asset sales that closed on January 5, 2007,
       without potentially triggering a mandatory repayment to
       the lenders of the amount of proceeds received.

The Debtors, the Guarantors, and Citicorp North America, Inc.,
as Administrative Agent for the Incremental Term Lenders,
entered into an Amended and Restated Credit Agreement on Jan.
25, 2007.  Pursuant to the Amendment, the Debtors can borrow up
to US$900,000,000 in the term loan portion of its DIP Facility.

Moreover, each Revolving Credit Lender that executes a
counterpart to the Amendment will be paid an amendment fee in an
amount equal to 0.125% in respect of its Revolving Credit
Commitment, which will be earned on the Effective Date of the
Amendment and become due and payable upon the funding of all or
any portion of the Incremental Term Facility.

The Debtors expect the increase in the Term Loan Facility to
alleviate their short-term liquidity issues, but may need to
seek additional financing to complete their restructuring
initiatives, Michael L. DeBacker, the Debtors' vice president
and general counsel, says in a filing with the Securities and
Exchange Commission.

                          *     *     *

Toledo, Ohio-based Dana Corp. -- http://www.dana.com/-- designs  
and manufactures products for every major vehicle producer in
the world, and supplies drivetrain, chassis, structural, and
engine technologies to those companies.  Dana employs 46,000
people in 28 countries.  Dana is focused on being an essential
partner to automotive, commercial, and off-highway vehicle
customers, which collectively produce more than 60 million
vehicles annually.  Dana has facilities in China, Argentina and
Italy.

The company and its affiliates filed for chapter 11 protection
on Mar. 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
Sept. 30, 2005, the Debtors listed US$7,900,000,000 in total
assets and US$6,800,000,000 in total debts.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.  

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represents the Official Committee of Unsecured Creditors.  
Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel
to the Official Committee of Equity Security Holders.  Stahl
Cowen Crowley, LLC serves as counsel to the Official Committee
of Non-Union Retirees.  

The Debtors' exclusive period to file a plan expires on Sept. 3,
2007.  They have until Nov. 2, 2007, to solicit acceptances to
that plan.

(Dana Corporation Bankruptcy News, Issue No. 29; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or   
215/945-7000).

Following Dana Corporation's announcement that it has filed for
Chapter 11 bankruptcy court protection and defaulted on its debt
agreements, Fitch downgraded Dana's issuer default rating to 'D'
from 'C'.

Fitch also affirms and removes from Rating Watch Negative the
'CC' rating and 'RR4' recovery rating on Dana's unsecured notes.  
These ratings will be withdrawn in 30 days.  The 'B-' rating on
the pre-petition senior secured facility and the recovery rating
of 'RR1' are being withdrawn, as the facility is expected to
achieve full recovery through the establishment of US$1.45
billion in debtor-in-possession facilities.

Moody's Investors Service assigned B3 ratings to the US$1.45
billion debtor-in-possession financing of Dana Corporation as a
Debtor-in-Possession.  The DIP financing consists of a US$750
million super priority senior secured asset based revolving
credit and a US$700 million super priority senior secured term
loan B.


ESTERLINE TECH: CMC Buyout Cues Moody's Possible Downgrade
----------------------------------------------------------
Moody's Investors Service has placed the ratings of Esterline
Technologies Corporation on review for possible downgrade.

This action was prompted by the company's report on Feb. 1,
2007, that it had entered into a definitive agreement to
purchase CMC Electronics Inc. from Onex Corporation for
approximately US$335 million in cash.  Esterline expects to
finance this acquisition primarily through issuance of
additional debt.  This acquisition is expected to close in March
2007.

Moody's primary concern, prompting this review, is the potential
increase in leverage and decrease in cash flow relative to debt
that will result from this acquisition.  The CMC purchase is the
company's largest acquisition over recent years: the US$335
million price is approximately equal to total expenditures on
acquisitions over the last three years and is estimated to
increase Esterline's revenue base by about 20%.

Moody's believes that the acquisition price, estimated at 18x
pro forma trailing EBITDA, is high even relative to the high
multiples currently seen in the sector.  However, Esterline
estimates a purchase multiple of approximately 12x EBITDA on a
forward 12 months basis.  Since the company plans to finance the
transaction entirely through use of additional debt, leverage is
expected to increase significantly.  Moody's estimates that pro
forma Debt/EBITDA will likely exceed 4x, which is high relative
to the company's current Ba2 Corporate Family Rating.  

Moody's assessment of near term cash flow generation and the
potential for material debt reduction over the next 12 months
will be a key factor in determining whether this review
concludes with an affirmation of ratings, a downgrade, or a
change in the ratings' outlook.

The review will also focus on the form of debt to be used to
finance the purchase of CMC as the priority and amount of
increased debt will affect the ratings of the company's
outstanding subordinated notes.  The notes are rated Ba3, one
notch below the Corporate Family Rating.  Under Moody's LGD
Methodology, the addition of a substantial amount of debt senior
to the subordinated notes could result in a downgrade of those
notes, even if the Corporate Family Rating is confirmed at the
current Ba2.

Moody's expects to conclude this review prior to the close of
the CMC acquisition.

                          *     *     *

Headquartered in Bellevue, Washington, Esterline Technologies
Corp. -- http://www.esterline.com/-- is a specialized  
manufacturing company serving principally aerospace and defense
markets.  Esterline operates in three business segments:
Avionics and Controls, Sensors and Systems and Advanced
Materials.  The company has operations in China.

The Troubled Company Reporter - Asia Pacific on Oct. 25, 2006,
reported that in connection with Moody's Investors Service's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology, the rating agency confirmed its Ba2
Corporate Family Rating for Esterline Technologies Corp. and its
Ba3 rating on the company's 7.75% Senior Subordinated Notes due
2013.  Moody's assigned those debentures an LGD5 rating
suggesting noteholders will experience a 75% loss in case of
default.


GENERAL AVIATION: Taps Corkhill and Bruce as Liquidators
--------------------------------------------------------
Thomas Andrew Corkhill and Iain Ferguson Bruce were appointed as
joint and several liquidators of General Aviation Services Ltd
by a special resolution passed on Jan. 22, 2007.

The Joint and Several Liquidators can be reached at:

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


GOLD-FACE: Appoints Inspection Committee and Liquidators
--------------------------------------------------------
On Dec. 20, 2006, the High Court of Hong Kong appointed a
Committee of Inspection for Gold-Face Holdings Ltd, which
comprised of:

   -- Chun Wo Building Construction Limited;

   -- China Overseas Building Construction Limited;

   -- Bank of China (Hong Kong) Limited;

   -- Bank of Communications Co. Ltd.;

   -- Umbrella Finance Company Limited; and

   -- Liu Chong Hing Bank Limited.

On the same day, Stephen Liu Yiu Keung and Robert Armor Morris
were appointed as the company's joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Stephen Liu Yiu Keung
         Robert Armor Morris
         18/F, Two International Finance Centre
         8 Finance Street, Central
         Hong Kong


LITERARY CENTURY: Enters Wind-Up Proceedings
--------------------------------------------
At an extraordinary general meeting held on Jan. 22, 2007, the
shareholders of Literary Century Ltd passed a special resolution
to voluntarily wind up the company's operations.

Accordingly, Chui Ying Yui was appointed as liquidator to divide
the company's assets.

The Liquidator can be reached at:

         Chui Ying Yui
         1201, Connaught Commercial Building
         185 Wanchai Road
         Hong Kong


MBF CREDIT: Members to Receive Wind-Up Report on February 27
------------------------------------------------------------
The members of MBf Credit Ltd will meet on Feb. 27, 2007, at
10:00 a.m., to receive the liquidator's report regarding the
company's wind-up proceedings and property disposal exercises.

The Troubled Company Reporter - Asia Pacific reported that the
company entered wind-up proceedings on Oct. 20, 2006.

The liquidators can be reached at:

         Wong Poh Weng
         Wong Tak Man Stephen
         7/F, Allied Kajima Building
         138 Gloucester Road
         Hong Kong


PETROLEOS DE VENEZUELA: Output Cut Sums 195,000 Barrels Per Day
---------------------------------------------------------------
Petroleos de Venezuela SA said in reports it will comply with
the country's production quota in accordance with the
Organization of Petroleum Exporting Countries' guidelines.

Oil Minister Rafael Ramirez said that Venezuela's cuts of
195,000 barrels per day will be split among the four Orinoco
heavy crude projects, Reuters reports.

The oil cartel has committed to a total output cut of 1.7
million barrels per day to curb the lowering of crude prices.

"What we have in the (Orinoco) belt we are going to keep cut,
plus PDVSA's own production to complete the level of the cut,"
the oil minister was quoted by Reuters as saying.

In October last year, the Latin American nation agreed to reduce
daily production by 138,000 barrels.  It agreed to an additional
57,000 bpd cut that took effect on Feb. 1, Reuters says.

According to the Associated Press, Venezuela is one of the
bloc's price hawks.  Venezuelan leader Hugo Chavez was
instrumental in raising oil prices from about US$10 per barrel
in 1999 to more than US$50 per barrel in 2006.

                          *     *     *

Petroleos de Venezuela SA -- http://www.pdv.com/-- is  
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

                        *    *    *

Standard & Poor's said on July 17, 2006, that it may lower the
company's B+ foreign-currency debt rating in part because of the
absence of timely financial and operating information.


PETROLEOS DE VENEZUELA: Appoints Jose Parada as Division Head
-------------------------------------------------------------
Venezuelan energy and oil minister Rafael Ramirez has appointed
Jose Luis Parada as head of the troubled western division of the
state-run oil company Petroleos de Venezuela SA, Business News
Americas reports, citing company officials the firm's HQ unit in
Maracaibo, Zulia.

The officials told BNamericas that Mr. Parada will be replacing
Ricardo Coronado.

Figures from the Petroleos de Venezuela indicated that the
western division has consistently produced about 100,000 barrels
per day below its goal of over one million barrels per day,
BNamericas notes.  

BNamericas relates that as the western division's new head, Mr.
Parada will have to deal with international oil majors like
Chevron and Brazil's Petroleo Brasileiro, which collaborate with
Petroleos de Venezuela in several projects in the region.  Mr.
Parada also received a order to double output by 2012.  

However, reports say that the division lacks the natural gas to
increase the output.

The military had to create Oro Negro, a special task force, to
deal with theft at the western division installations,
BNamericas states.

                          *     *     *

Petroleos de Venezuela SA -- http://www.pdv.com/-- is  
Venezuela's state oil company in charge of the development of
the petroleum, petrochemical and coal industry, as well as
planning, coordinating, supervising and controlling the
operational activities of its divisions, both in Venezuela and
abroad.  The company has a commercial office in China.

                        *    *    *

Standard & Poor's said on July 17, 2006, that it may lower the
company's B+ foreign-currency debt rating in part because of the
absence of timely financial and operating information.


SKYLINE VIEW: Liquidator Lin Lai Har Wendy Ceases to Act
--------------------------------------------------------
On Jan. 25, 2007, Lin Lai Har Wendy ceased to act as liquidator
of Skyline View Ltd.

The Troubled Company Reporter - Asia Pacific recounts that the
members received the company's wind-up report from Ms. Lin on
that day.

The former Liquidator can be reached at:

         Lin Lai Har Wendy
         1301 Eton Tower
         8 Hysan Avenue, Causeway Bay
         Hong Kong


TYSON FOODS: Executives Positive on Firm's Profitability
--------------------------------------------------------
Efforts to return Tyson Foods, Inc. (NYSE:TSN) to profitability
are "paying off," senior executives told shareholders at the
company's annual meeting.

"We've taken steps in the right direction and our business is
getting back on track," said Chairman John Tyson.  "I think
Tyson Team Members are excited about all the work they've been
doing to bring the company back to profitability... their hard
work is paying off."

After losses in three consecutive quarters, Tyson this week
reported US$57 million in net earnings for the first quarter of
fiscal 2006.

"It was the best quarter we've had since the fourth quarter of
fiscal 2005 and it's the result of an overall strengthening in
all our core businesses as well as a focus on controlling
costs," said Wade Miquelon, Tyson's chief financial officer.  
The company currently expects to remain profitable, estimating
diluted earnings per share for fiscal 2007 in the range of
US$0.50 to US$0.80.

Tyson President and CEO Richard L. Bond attributes some of the
company's progress to Team Member efforts to institute a $200
million Cost Management Initiative.  "We have implemented those
measures and they are already showing up on the bottom line," he
said.

Bond also described other measures the company is taking to
remain profitable.  Mr. Bond noted Tyson managers are working in
several cross-functional teams as part of the "Power Performance
through Profitability" initiative, also known as "P3."  This
effort focuses on these areas:

   * Demand creation -- This involves a renewed approach to
     product innovation and consumer insight.  This process is
     also bolstered by the recent opening of the Discovery
     Center, Tyson's new product research and development
     complex.

   * Price optimization -- More than raising prices, this
     initiative entails driving value and value creation
     with customers.

   * Supply chain optimization -- This effort involves such
     things as streamlining operations and the number of stock
     keeping units.

   * Performance-based alignment -- Re-energizing Team Members
     and the culture of the company is extremely important to
     the company's future success.

"P3 will help us execute our long-term strategy to create more
value-added products, improve operational efficiencies and
expand our international business," Mr. Bond said.

During the business portion of the annual meeting, shareholders
elected 10 members to the Tyson Board of Directors, including
five independent directors.  Those elected were:

   -- Dick Bond,
   -- Scott Ford,
   -- Lloyd Hackley,
   -- Jim Kever,
   -- Jo Ann Smith,
   -- Leland Tollett,
   -- Barbara Tyson,
   -- Don Tyson,
   -- John Tyson and
   -- Albert Zapanta.

In other business, an amendment to the Tyson 2000 Stock
Incentive plan was approved, Ernst & Young LLP was ratified as
independent auditor for 2007 and a shareholder proposal by the
People for Ethical Treatment of Animals was defeated.

Based in Springdale, Arkansas, Tyson Foods, Inc. (NYSE:TSN) --
http://www.tysonfoods.com/-- is a processor and marketer of  
chicken, beef, and pork.  The company produces a wide variety of
protein-based and prepared food products, which are marketed
under the "Powered by Tyson(TM)" strategy.

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

On Sept. 27, 2006, the Troubled Company Reporter - Asia
Pacific reported that Moody's Investors Service took a number of
rating actions in relation to Tyson, including the assignment of
a Ba1 rating to the company's:

   -- US$1 billion senior unsecured bank credit facility; and

   -- US$345 million senior unsecured bank term loan for its
      Lakeside Farms Industries Ltd. subsidiary, under a full
      Tyson Foods, Inc. guarantee.


ULTRA MILL: Court Appoints Joint Liquidators
--------------------------------------------
On Nov. 6, 2006, the High Court of Hong Kong appointed Ho Kwan
Yiu Junius and Ho Wai Fung as joint and several liquidators of
Ultra Mill Ltd.

According to the Troubled Company Reporter - Asia Pacific, the
company received the Court's wind-up order on June 13, 2005.

The Joint and Several Liquidators can be reached at:

         Ho Kwan Yiu Junius
         Ho Wai Fung
         18/F, Henley Building
         5 Queen's Road Central
         Hong Kong


V3 ENTERPRISES: Members Opt for Voluntary Wind-Up
-------------------------------------------------
On Jan. 22, 2007, the members of V3 Enterprises (H.K.) Ltd
passed a special resolution to voluntarily wind up the company's
operations and appointed Lau Hin Chi as liquidator.

The Liquidator can be reached at:

         Lau Hin Chi
         Suite 5008, Hopewell Centre
         183 Queen's Road East, Wanchai
         Hong Kong


VISTAMARINE LIMITED: Creditors Must Prove Debts by Feb. 26
----------------------------------------------------------
Creditors of Vistamarine Ltd are required to submit their proofs
of debt by Feb. 26, 2007.

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

The liquidator can be reached at:

         David Hague
         22/F, Prince's Building
         Hong Kong


WOLFORD CHINA: Schedules Final Meetings on February 27
------------------------------------------------------
Wolford China Ltd will hold final meetings for its members and
creditors on Feb. 27, 2007, at 10:30 a.m. and 11:00 a.m.,
respectively, to consider the liquidator's account of how the
company was wound up.

The Liquidator can be reached at:

         To Wai Kum
         1711 North Tower, Concordia Plaza
         No.1 Science Museum Road
         Tsimshatsui, Kowloon
         Hong Kong


* Taiwan's Regulators Imposes Market Discipline, Moody's Says
-------------------------------------------------------------
Moody's Investors Service says that Taiwan's regulatory
authorities have increased their emphasis on market discipline
for the island's banking system and seem to be moving away from
their traditional highly supportive stance following a run on
various small banks in January 2007.

"Taiwan's regulators have taken their first meaningful steps
away from their previous philosophy of 'support for all,' and
are now stepping towards greater market discipline," says Cherry
Huang, a Moody's VP/Senior Analyst and author of a new report on
the banking landscape in Taiwan.

"However, political forces, weakness in the banking system and a
shortage of state resources may slow the transition to full
market discipline," says Huang, who is based in Taipei.

"Furthermore, although there is no immediate ratings impact on
Moody's-rated banks, the potential for a rating differential
between deposits and senior debt will have to be evaluated in
the light of the depositor preference provisions of Taiwan's new
Deposit Insurance Act," says Huang.

"At the same time, government-owned banks may see downward
pressure on their bank financial strength ratings if they have
to bear the costs of supporting weak institutions," says Huang.

The run on some small banks started when two Taiwanese
corporates, China Rebar Co Ltd and Chia Hsin Food and Synthetic
Fiber Co Ltd, announced on January 5 that they had filed for
corporate restructuring. They were widely known to be
financially troubled.

This action triggered a run on their affiliate, The Chinese
Bank, and which spread in turn to various other small
institutions.  None were Moody's-rated entities.

The Central Deposit Insurance Company then took over the
operations of The Chinese Bank, while the Central Bank of China
and the Minister of Finance assured depositors that they would
be fully repaid.  Then, the government passed its new Deposit
Insurance Act on January 18.

The passing of the new act indicates the government's preference
for relying more in the future on a deposit insurance mechanism
- which would be partly funded by stronger financial
institutions, rather than taxpayers - to support troubled banks.

However, some political backlash is possible because of this
change in regulatory emphasis, while questions about adequate
funding could also slow the move towards full market discipline,
says Huang.

"In Moody's experience, an abrupt move to market discipline can
only be tolerated by systems in which all banks are
intrinsically strong.  If there are too many vulnerable players
in the banking system, the first sign of serious difficulties at
any banks could spark a system-wide panic, forcing the regulator
back to a 'support for all' approach," Huang says.

Moreover, Moody's believes that systemic stability clearly
remains the regulator's priority, and that the strong support
traditionally afforded to Taiwan's banks would still be
available in case of a broader loss of market confidence, Huang
says.


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

AMERICAN AXLE: Incurs US$222.5 Mil. Net Loss in Full Year 2006
--------------------------------------------------------------
American Axle & Manufacturing Holdings, Inc., reported its
financial results for the fourth quarter and full year 2006.

                   Full Year 2006 Results

   -- Full year sales of US$3.2 billion, reflecting a 9%
      year-over-year decline in AAM production volumes;

   -- Non-GM sales of US$758.5 million, or 24% of total net
      sales;

   -- Special charges of US$181.4 million for a special
      attrition program or SAP accepted by approximately 1,500
      UAW represented associates at AAM's master agreement
      facilities and other related restructuring actions;

   -- Asset impairment charges of US$196.5 million primarily
      associated with plans to idle AAM production capacity in
      the U.S. dedicated to the mid-size light truck product
      range; and

   -- Net loss of US$222.5 million.

AAM's results in the fourth quarter of 2006 were a net loss of
US$188.6 million or US$3.74 per share.  This compares to
earnings of US$4.5 million or US$0.09 per share in the fourth
quarter of 2005.  Full year 2006 results were a net loss of
US$4.42 per share as compared with earnings of US$1.10 per share
in 2005.  AAM's results in 2006 reflect an overall 9% year-over-
year decline in production volumes for the major North American
light truck programs AAM currently supports.  This includes an
estimated 30% decrease in customer production volumes for AAM's
mid-sized light truck product range as compared with 2005.
Production volumes for the major full-size pickup truck and SUV
programs AAM currently supports for General Motors and the
Chrysler Group were relatively unchanged in 2006 as compared
with 2005.

In the fourth quarter of 2006, AAM recorded special charges
relating to a special attrition program accepted by
approximately 1,500 UAW represented associates at AAM's master
agreement facilities.  AAM also recorded a special charge in
2006 for supplemental unemployment benefits estimated to be
payable to UAW associates who are expected to be permanently
idled through the end of the current collective bargaining
agreement that expires in February 2008.  AAM recorded
additional special charges associated with salaried workforce
reductions and other attrition programs offered to its
associates.  In total, these special charges increased AAM's
operating costs in 2006 by US$181.4 million.  AAM estimates that
the future structural cost benefit resulting from the SAP and
other related restructuring actions will exceed US$100 million
annually.

In addition to these special charges, AAM also recorded asset
impairment charges of US$196.5 million in the fourth quarter of
2006 associated with plans to idle a portion of AAM's production
capacity in the U.S. dedicated to its mid-size light truck
product range and other capacity reduction initiatives.

"As the domestic automotive industry continues its rapid and
unprecedented structural transformation, AAM took difficult, but
necessary actions in 2006 to adjust our workforce and production
capacity in the U.S. to meet the realities of the new global
automotive market," said American Axle & Manufacturing Co-
Founder, Chairman of the Board & CEO, Richard E. Dauch.  "In
2006, we made significant progress on AAM's long-term strategic
goals with the expansion of our product portfolio and new
business backlog to support the growing all-wheel-drive
passenger car and crossover vehicle market segment.  We also
launched important new products for General Motors, the Chrysler
Group, SsangYong Motors, Hino, Jatco, Koyo and Harley-Davidson,
while expanding our served markets and global manufacturing
footprint into mainland Europe and Asia."

                        2007 Outlook

   -- AAM expects full year 2007 sales to increase to
      approximately US$3.3 billion;

   -- AAM expects production volumes for the major North
      American light truck programs AAM currently supports to
      be approximately 2% lower as compared with 2006;

   -- AAM expects earnings to range from approximately US$1.25
      to US$1.50 per share in 2007;

   -- AAM expects capital spending to range from US$240 million
      to US$250 million in 2007; and

   -- AAM expects free positive cash flow to exceed US$100
      million in 2007.

AAM's 2007 earnings outlook is based on the assumption that its
customers' production volumes for the major North American light
truck programs it currently supports will be approximately 2%
lower as compared with 2006.  Based on this production
assumption, the anticipated timing of new program launches and
higher content on GM's all-new, award winning full-size SUV and
pickup truck program, AAM expects 2007 sales to increase to
approximately US$3.3 billion.  AAM expects content per vehicle
to increase approximately 5% in 2007, off a base of US$1,225 in
2006.

AAM's 2007 earnings outlook also reflects its plans to incur an
additional US$25 million of additional special charges and other
non-recurring operating costs related to incremental attrition
program activity, the redeployment of machinery and equipment
and other steps to rationalize underutilized capacity.  
Including capital expenditures related to this activity and
payments due to associates pursuant to the SAP and other
attrition programs expensed in 2006, AAM expects to incur a net
use of cash approximating US$100 million in 2007 in support of
these attrition obligations and restructuring activities.

Reflecting the impact of AAM's 2007 earnings outlook, a
reduction in AAM's capital spending to a range of US$240 million
to US$250 million and the continuation of its quarterly cash
dividend program, AAM expects its free positive cash flow to
exceed US$100 million in 2007.  AAM defines free cash flow to be
net cash provided by (or used in) operating activities less
capital expenditures and dividends paid.

AAM expects depreciation and amortization expense to increase
approximately US$20 million in 2007 as compared with 2006.
Although the asset impairments recorded in 2006 reduce the
annual rate of depreciation and amortization expense for certain
of these assets in 2007, the impact of depreciation on new
machinery and equipment almost entirely offsets that reduction.
AAM also accelerated useful life estimates for various assets as
a result of its asset impairment assessment in 2006.  These
changes in useful life estimates increase the annual rate of
depreciation for these assets beginning in 2007.

Taking all of these factors into account, AAM expects its
earnings to range from US$1.25 to US$1.50 per share in 2007.

"In 2007, we expect to strengthen AAM's position in terms of
sales growth, margin expansion and free cash flow generation,"
said Mr. Dauch.  "AAM's plan to generate more than US$100
million of free cash flow in 2007 will enhance our ability to
invest in the continuing diversification of our product
portfolio, customer base and global manufacturing footprint.  We
will remain focused on these long-term strategic goals in 2007,
while at the same time reducing debt levels, improving our
balance sheet strength and enhancing stockholder value."

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

The Troubled Company Reporter - Asia Pacific reported on
Dec. 21, 2006, Moody's Investors Service confirmed American Axle
& Manufacturing Holdings Inc.'s Corporate Family Rating of Ba3
and affirmed American Axle & Manufacturing, Inc.'s Speculative
Grade Liquidity rating of SGL-2.

Unsecured debt ratings of Ba3 LGD-4, 57% at both American Axle
and Holdings have also been confirmed.

The outlook is negative.


BAUSCH & LOMB: Moody's Cuts Rating to Ba1 on Slow Revenue Growth
----------------------------------------------------------------
Moody's Investors Service downgraded Bausch & Lomb Inc.'s senior
unsecured debt to Ba1 and continues to review all ratings for
possible downgrade.  The rating agency also assigned a Ba1
Corporate Family Rating.

According to Moody's, the downgrade primarily reflects the
belief that revenue growth will be sluggish for 2007 and lower
than Moody's previous expectations.  This belief is based on a
slower than anticipated recovery of the company's contact lens
and lens care businesses in Asia, sluggish growth in the U.S.
contact lens market, and the loss of significant market share in
the lens care segment following the recall of MoistureLoc.

Moody's believes that it will take the company around two to
three years to regain the lost market share in the lens care
market.

The downgrade also reflects heightened uncertainty about the
effectiveness of internal accounting controls and the
reliability of management's recent financial guidance.

Moody's review will focus primarily on the strength and
direction of financial forecasts, the company's ability to file
timely financial statements with the Securities and Exchange
Commission, lenders' and noteholders' willingness to continue
extending waivers pertaining to BOL's failure to file timely
financial statements and the outlook for BOL's near term
financial flexibility.

Moody's previous rating action on BOL occurred on March 23,
2006, when the company's ratings were placed on review for
possible downgrade following the company's failure to file
financial statements with the SEC.

These ratings were assigned:

   -- Ba1 Corporate Family Rating; and
   -- Ba1 Probability of Default Rating.

These ratings were downgraded:

   -- US$133.2-million senior unsecured notes due 2007 to Ba1
      (LGD4/52%) from Baa3;

   -- US$50-million senior unsecured notes due 2008 to Ba1
      (LGD4/52%) from Baa3;

   -- US$160-million senior unsecured convertible notes due 2023
      to Ba1 (LGD4/52%) from Baa3;

   -- US$0.4-million senior unsecured debentures due 2026 to Ba1
      (LGD4/52%) from Baa3; and

   -- US$66.4-million senior unsecured debentures due 2028 to
      Ba1 (LGD4/52%) from Baa3.

Moody's anticipates assigning a Speculative Grade Liquidity
rating subsequent to the company's filing of all delinquent
financial statements with the SEC.

Headquartered in Rochester, New York, Bausch & Lomb Inc. is a
leading worldwide provider of eye care products, including
contact lens, lens care, ophthalmic pharmaceuticals and surgical
products.

                          *     *     *

The company is organized into three geographic segments: the
Americas, Europe, Middle East and Africa, and Asia (including
operations in India, Australia, China, Hong Kong, Japan, Korea,
Malaysia, the Philippines, Singapore, Taiwan and Thailand.  Its
additional operating segments, which are managed on a global
basis, are the Research, Development and Engineering
organization and the Global Supply Chain Organization.  In each
geographic segment, Bausch & Lomb  markets products in five
product categories: contact lenses, lens care products,
ophthalmic pharmaceuticals, cataract and vitreoretinal surgery,
and refractive surgery.


BRITISH AIRWAYS: Earns GBP107 Million in Third Quarter 2006
-----------------------------------------------------------
British Airways Plc released its unaudited financial results for
the three months ended Dec. 31, 2006.

British Airways reported GBP107 million in net profit against
GBP2.07 billion in net revenues for the three months ended
Dec. 31, 2006, compared with GBP124 million in net profit
against GBP2.06 billion in net revenues for the same period in
2005.

The company posted an operating profit of GBP129 million for the
three months to Dec. 31, 2006 (2005: GBP176 million).  For the
nine months, the operating profit was GBP571 million (2005:
GBP596 million).  The operating margin for the quarter was 6.2%,
2.4 points lower than last year.

Pre-tax profit for the quarter was GBP113 million (2005:
GBP166 million).  For the nine months, pre-tax profit was
GBP584 million (2005: GBP518 million).  These results have been
restated to show the business on a continuing basis, excluding
BA Connect, following the decision to dispose of the regional
business to Flybe.

BA Chief Executive Willie Walsh said: "These are mixed results
with costs up 3% reflecting higher fuel costs and revenue up
0.5% to GBP2.1 billion.

"Our drive on costs continues ahead of our move to Terminal 5.
Fuel remains a significant burden with costs in the quarter up
11.2%.  We remain committed to achieving our cost reduction
target of GBP450 million and a 10% operating margin by March
2008.

"Revenue has been hit by a raft of external factors.  These
include the continued impact of the August security measures.
Common EU baggage standards on liquids were not agreed until
mid-way through the quarter and more restrictive rules on hand
baggage continue to apply in the U.K.  As a result, transfer
volumes at Heathrow are still down.  The baggage system operated
by the BAA at Heathrow's Terminal 4, failed twice in December
and severe fog led to the cancellation of 800 flights in the
pre-Christmas peak period. The impact of all these external
factors in the quarter is estimated at GBP40 million.

"The patience and loyalty of our customers has been tested and I
want to apologize for the inconvenience they have suffered
during this period.  The uncertainty caused by the threat of
recent industrial action has added to this but we have reached
an agreement with the cabin crew branch of the T&G over a range
of issues which I am confident forms the basis of a good
relationship in the future.  We are now re-focusing on customer
service to win back the confidence and trust of our customers.

"On pensions, we are delighted that the BA Forum, which
represents British Airways' unions, recently issued a statement
recommending acceptance of the changes in benefits to tackle the
GBP2.1 billion deficit in the New Airways Pension Scheme (NAPS).
This is a major milestone and we can now move forward on our
plans for fleet renewal and replacement.

"We are now flying our new Club World on four aircraft and the
embodiment program is on schedule for completion by summer 2008.
Feedback from our customers has been fantastic.  They love the
extra comfort, space and flexibility of the new flat bed and our
greatly enhanced in-flight entertainment system."

BA Chairman Martin Broughton said: "The market continues to show
good demand in premium cabins.  The weakness in some non-premium
segments is also still a feature.  The revenue outlook for the
fourth quarter has been impacted by the threat of industrial
action.  While the strike was averted, the estimated revenue
loss is still some GBP80 million.  Revenue guidance for the full
year is now 3.25 - 3.75% growth.

"While cost control remains strong, full year costs excluding
fuel are expected to be some GBP50 million higher than last
year.  This reflects higher costs in the first quarter.  Our
full year fuel guidance has been revised down by GBP40 million
reflecting the reduction in fuel prices.  The fuel bill will now
be accounted for on a continuing operations basis, and is
expected to be some GBP1.95 billion."

Group turnover for the third quarter at GBP2.1 billion was up
0.5% on a flying program 1.8% smaller measured in available ton
kilometers (ATKs).  Passenger yields were up 1.9% measured in
pence per revenue passenger kilometers (RPKs).  Seat factor was
down 0.5 points at 74% on capacity 0.8% higher measured in
available seat kilometers (ASKs).

For the nine-month period, turnover improved by 6.5% to
GBP6.6 billion on a flying program 1.5% higher in ATKs.  
Passenger yields were up 3.7% with seat factor up 0.6 points at
77.6% on capacity 3.3% higher in ASKs.

For the quarter, unit costs were up 4.9% on the same period as
last year reflecting total costs up 3% and capacity 1.8% lower
in ATKs. Excluding fuel, unit costs were up 2.6%.

Total costs were up, driven mainly by higher fuel and employee
costs.  Fuel costs rose by 11.2% due to the increase in fuel
price net of hedging.  Employee costs were up by 2% due mainly
due to increased pension costs.

Operating cashflow for the nine months was GBP608 million.
Including current interest bearing deposits, the cash position
at Dec. 31, 2006, was GBP2.6 billion, up GBP203 million compared
with March 31, 2006.  Net debt was GBP866 million, down by
GBP775 million since the start of the year.

At Dec. 31, 2006, the company's balance sheet showed
GBP11.6 billion in total assets and GBP9.1 billion in total
liabilities, resulting in a GBP2.5 billion stockholders' equity.

Headquartered in West Drayton, United Kingdom, British Airways
Plc -- http://www.ba.com/-- operates of international and  
domestic scheduled and charter air services for the carriage of
passengers, freight and mail, and provides of ancillary
services.  The British Airways group consists of British Airways
Plc and a number of subsidiary companies including in particular
British Airways Holidays Ltd. and British Airways Travel
Shops Ltd.  BA has offices in India and Guatemala.

A full-text copy of the company's financial report for the three
months ended June 30, 2006, is available at no charge at
http://ResearchArchives.com/t/s?1974

                          *     *     *

British Airways carry these ratings:

   * Moody's Investors Service:

      -- Long-Term Corporate Family Rating: Ba1
      -- Senior Unsecured Debt: Ba2
      -- Outlook: Negative

   * Standard & Poor's:

      -- Long-Term Foreign Issuer Credit Rating: BB+
      -- Long-Term Local Issuer Credit Rating: BB+


BRITISH AIRWAYS: Has 1,150,734,490 Voting Rights and Capital
------------------------------------------------------------
In conformity with the Transparency Directive's transitional
provision 6, British Airways Plc disclosed that its capital
consists of 1,150,734,490 ordinary 25 pence shares with voting
rights.  As BA does not hold any ordinary shares in Treasury its
total number of voting rights equals its capital.

The total voting rights figure may be used by shareholders as
the denominator for the calculations by which they will
determine if they are required to notify their interest in, or a
change to their interest in, BA under the FSA's Disclosure and
Transparency Rules.

Headquartered in West Drayton, United Kingdom, British Airways
Plc -- http://www.ba.com/-- operates of international and  
domestic scheduled and charter air services for the carriage of
passengers, freight and mail, and provides of ancillary
services.  The British Airways group consists of British Airways
Plc and a number of subsidiary companies including in particular
British Airways Holidays Ltd. and British Airways Travel
Shops Ltd.  BA has offices in India and Guatemala.

                        *     *     *

British Airways carry these ratings:

   * Moody's Investors Service:

      -- Long-Term Corporate Family Rating: Ba1
      -- Senior Unsecured Debt: Ba2
      -- Outlook: Negative

   * Standard & Poor's:

      -- Long-Term Foreign Issuer Credit Rating: BB+
      -- Long-Term Local Issuer Credit Rating: BB+


RPG LIFE SCIENCES: Posts INR3.4-Mil. Net Loss in 4th Qtr. 2006
--------------------------------------------------------------
RPG Life Sciences Ltd recorded a net loss of INR3.4 million for
the quarter ended Dec. 31, 2006, a filing with the Bombay Stock
Exchange reveals.  In the corresponding quarter in 2005, the
company booked a net profit of INR36.4 million.

RPG Life's total income dropped 19% from the INR320.5 million
booked in the three months ended Dec. 31, 2005, to INR260.4
million in the current quarter under review.  The company's
expenditures didn't change much with INR229.7 million incurred
in the December 2005 quarter compared to the INR222.5 million in
the December 2006 quarter.

A copy of RPG Life's financial results for the quarter ended
Dec. 31, 2006, is available for free at the BSE at:

               http://ResearchArchives.com/t/s?1980

Headquartered in Mumbai, India, RPG Life Sciences Ltd --
http://www.rpglifesciences.com/-- is a full spectrum, world  
class, customer focused, innovative pharmaceutical organization.
Formerly known as Searle (India) Ltd., the company develops,
manufactures and markets, for national and international
markets, a broad range of branded formulations, generics and
bulk drugs developed through fermentation and chemical synthesis
routes.

On April 17, 2003, Credit Analysis and Research Limited
downgraded the rating of the outstanding NCD program of
INR145.5 million of RPG Life Sciences rating from CARE BBB to
CARE D.  The downgrade is on account of a default in debt
servicing obligations towards institutional investors.


SAMTEL COLOUR: Net Loss Widens to INR98 Mil. in 4th Quarter
-----------------------------------------------------------
Even with rising revenues, Samtel Colour Ltd. widened its net
loss to INR98 million in the three months ended Dec. 31, 2006,
from the INR30-million loss booked in the corresponding quarter
in 2005.

Samtel Colour's income totaled INR2.369 billion in the fourth
quarter of 2006, a 23% increase from the INR1.928 billion booked
in the last quarter of 2005.  Expenses rose 19% from
INR1.755 billion incurred in the December 2005 quarter to
INR2.095 billion recorded in the current quarter under review.

The widening of the net loss figure could be attributed to the
sharp rise in depreciation and provision for taxes:

                      December '06 Qtr.    December '05 Qtr.
                      -----------------    -----------------
   Depreciation        INR169.6 million     INR128.6 million
   Taxes                   33.0 million          9.9 million

A copy of the company's financial results for the quarter ended
Dec. 31, 2006, is available for free at the Bombay Stock
Exchange at http://ResearchArchives.com/t/s?1981

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

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


SAURASHTRA CEMENT: Appoints G J Prasad & B P Deshmukh to Board
--------------------------------------------------------------
Saurashtra Cement Ltd informs the Bombay Stock Exchange that its
board of directors has approved the appointment of G J Prasad,
nominee director of IFCI Ltd. on the board.

Saurashtra's board made the decision at its meeting held on
Jan. 31, 2007.

The board also appointed B P Deshmukh as additional director of
Saurashtra on his cessation as nominee director of UTI.

The flagship company of The Mehta Group, Saurashtra Cement Ltd.
-- http://www.mehtagroup.com/scement.htm-- manufactures and    
exports cement including Ordinary Portland Cement, Pozzolana
Portland Cement, Sulphate Resistant Cement and Portland Slag
Cement.  SCL markets cement under the brand name "HATHI CEMENT".
The company also exports clinker.

On Dec. 9, 2006, Credit Rating Information Services of India Ltd
changed the outstanding rating of Saurashtra Cement's INR477.6-
million Non Convertible Debenture Issue from 'D' to 'Not
Meaningful.'  The revision followed the company's registration
in the Board of Industrial and Financial Reconstruction as a
Sick Industrial Company pursuant to the SIC (SP) Act, 1985.


SYNDICATE BANK: To Raise INR240 Crore from Upper Tier II Bonds
--------------------------------------------------------------
Syndicate Bank Ltd, on Feb. 6, 2007, issued Upper Tier II Series
II Bonds in the nature of promissory notes.

The company, by private placement, issued the unsecured,
redeemable, non-convertible, subordinated bonds for
INR100 crore with a green shoe option of INR140 crores
aggregating to INR240 cores.

The bond is callable at the end of 120 months from the deemed
date at allotment.  The deemed date of allotment is on Feb. 28,
2007.

Other information on the bond issue include:

   * Issue size: INR100 crores with an option to retain
     over subscription;

   * Face Value/Issue Price: INR10,00,000 per bond;

   * Minimum Application Size: 10 bonds and multiples of one
     bond thereafter;

   * Tenor: 180 months from the deemed date of allotment;

   * Redemption: bulleted redemption at par at the end of 180
     months from the deemed date of allotment (with the prior
     approval of the Reserve Bank of India);

   * Coupon Rate: 9.30% p.a, step up coupon rate of 9.80% p.a.
     for the last five years if call option is not exercised at
     the end of the 10th year;

   * Interest Payment: annual (subject to RBI norms);

   * Annual Interest Payment Date: Feb. 28 every year;

   * Put Option: No Put Option

Credit Rating Information Services of India Ltd gave the issue a
'AA+/Stable' while the Credit Analysis & Research Ltd. gave it
its 'CARE AA' rating.

Syndicate Bank Ltd  -- http://syndicatebank.in/-- provides a
range of banking services.  The bank's services include
deposits, loans, recoveries and electronic funds transfer.  The
bank has also tied up with United India Insurance Company to
provide general insurance.  As of March 31, 2006, the bank had
2006 branches.  The bank has 38 specialized branches, which
focus on business segments, such as small and medium
enterprises.

Fitch Ratings, on June 1, 2005, gave Syndicate Bank a 'D'
individual rating.


SYNDICATE BANK: Gov't. Appoints Shobha Oza as Part-Time Director
----------------------------------------------------------------
The Central Government has named Shobha Oza as part-time non-
official director on the board of Syndicate Bank Ltd, a filing
with the Bombay Stock Exchange reveals.

The appointment is for a period of three years from Jan. 2,
2007, or until a successor is nominated or until further orders,
whichever is earliest.

Syndicate Bank Ltd  -- http://syndicatebank.in/-- provides a  
range of banking services.  The bank's services include
deposits, loans, recoveries and electronic funds transfer.  The
bank has also tied up with United India Insurance Company to
provide general insurance.  As of March 31, 2006, the bank had
2006 branches.  The bank has 38 specialized branches, which
focus on business segments, such as small and medium
enterprises.

Fitch Ratings, on June 1, 2005, gave Syndicate Bank a 'D'
individual rating.


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

ALCATEL-LUCENT: Provides Broadband Access to Estonia's Elion
------------------------------------------------------------
Alcatel-Lucent has been selected by Elion Enterprises, Estonia's
largest telecommunications and IT provider, for the delivery of
an IP-based broadband access network.  While the first nodes
have already been delivered, the project is intended to run over
several years.

Elion has selected Alcatel-Lucent's state-of-the-art DSL
solution in order to further expand its leadership in triple
play services, currently being offered to 26,000 of its total of
141,000 subscribers.

Toivo Praakel, Director of Elion's Internet and Datacom
Division, commented: "Alcatel-Lucent is presently helping us in
a fast and efficient way with DSL deployment and that is
critical to our business.  Their IP access platform and
experience in broadband access will enable us to evolve further
in our triple play offering and expand to even higher bandwidth
services. "

Elion has always been very innovative in offering advanced
services in their market, and as their partner, we are committed
to help them expand their leadership," said Dirk Van den
Berghen, head of Alcatel-Lucent's access network activities.
"Alcatel-Lucent's industry-leading access platforms are
effectively enabling operators to evolve towards future-proof
broadband access networks."

Under the terms of the contract, Alcatel-Lucent will deliver its
7302 Intelligent Services Access Manager the most widely
deployed IP access platform, and its 7330 ISAM Fiber-to-the-Node
system.  With this contract, Alcatel-Lucent grows its footprint
with Elion.

                           About Elion

Elion is the largest telecommunications and IT provider in
Estonia.  It is owned by AS Eesti Telekom, listed at the stock
exchanges of Tallinn and London Elion provides comprehensive
household and business communication services - from telephone
calls to integrated business solutions, from the sale of
handsets and computers to the provision of broadband, the
installation and maintenance of large IT systems.  In Estonia
Elion is the market leader in fixed network calls, in Internet
subscriptions and data communication solutions, and it has made
a powerful entry into the IT and digital television market.
Elion owns Estonia's most popular Internet search engine and
subject catalogue NETI.  In 2005 the consolidated revenue of
Elion Group were 2.588 billion kroons, and the consolidated net
profit was 385 million kroons.  In 2005 Elion invested 370
million kroons in the development of telecommunications.  At the
end of 2005 Elion Group employed the staff of 1673.

                      About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent
-- http://www.alcatel-lucent.com/-- provides solutions that  
enable service providers, enterprises and governments worldwide,
to deliver voice, data and video communication services to end
users.  Through its operations in fixed, mobile and converged
broadband networking, Internet protocol technologies,
applications, and services, Alcatel-Lucent offers the end-to-end
solutions that enable communications services for people at
home, at work and on the move.  The company has operations in
Indonesia.

On Nov. 30, 2006, Alcatel and Lucent Technologies Inc. completed
their merger transaction, and began operations as a
communication solutions provider under the name Alcatel-Lucent
on Dec. 1, 2006.

                          *     *     *

As reported on Dec. 14, 2006, following the completion of
Alcatel S.A.'s merger with Lucent Technologies Inc., at which
time Alcatel was renamed Alcatel-Lucent, Fitch Ratings
downgraded and removed Alcatel from Rating Watch Negative:

   -- Issuer Default Rating to BB from BBB-; and

   -- Senior unsecured debt to BB from BBB-.

Alcatel's F3 short-term rating has also been withdrawn.

The Rating Outlook for Alcatel-Lucent is Stable.

Fitch has also withdrawn the following Lucent ratings due to the
lack of clarity regarding Alcatel's support and, therefore,
expected recovery of these securities in a distressed scenario:

   -- Issuer Default Rating BB-;

   -- Senior unsecured debt BB-;

   -- Convertible subordinated debt B; and

   -- Convertible trust preferred securities B.

Moody's Investors Service downgraded to Ba2 from Ba1 the
Corporate Family Rating of Alcatel S.A., which has completed its
merger with Lucent Technologies Inc. and was renamed to Alcatel-
Lucent.  The ratings for senior debt of Alcatel were equally
lowered to Ba2 from Ba1 and its Not-Prime rating for short-term
debt was affirmed.

At the same time, Moody's raised the ratings for senior debt of
Lucent to Ba3 from B1 reflecting both the standalone credit
profile of Lucent and, given the strategic importance of Lucent
to round-off the group's product range and regional presence,
expected financial support from Alcatel-Lucent, although this is
not formally committed at this time.  The ratings for the other
legacy debt of Lucent were raised to B2 from B3 for subordinated
debt and trust preferreds, and to P(B3) from P(Caa1) for
preferred stock issuable under its shelf registration.

Moody's has withdrawn Lucent's Corporate Family Rating of B1,
assuming that management of the two entities will be fully
integrated over the next several months and all of Lucent's non-
US activities merged with their Alcatel counterparts.  This
should result in a rapid convergence of the credit risks of the
affected companies.  The outlook for all these ratings is
stable.  This rating action concludes the rating reviews
initiated on April 3, 2006.

Standard & Poor's, on Dec. 6, 2006, said that following news
that the merger between French telecoms equipment supplier
Alcatel and U.S. peer Lucent Technologies Inc. has received
final approval from the U.S. Committee on Foreign Investments,
it has lowered its long-term corporate credit and senior
unsecured debt ratings on Alcatel -- now named Alcatel-Lucent to
'BB-' from 'BB', in line with its preliminary indication in its
Nov. 7, 2006 research update.

The 'B' short-term corporate credit rating on Alcatel-Lucent was
affirmed.  S&P said the outlook is positive.


CA INC: Reports Third Quarter Fiscal Year 2007 Results
------------------------------------------------------
CA, Inc. one of the world's largest management software
companies, reported financial results for its third quarter of
fiscal year 2007, ended December 31, 2006.

Financial Overview                           
(in millions, except share data)            Q3FY06
                                 Q3FY07    (Restated)    Change
                                 ------    ----------    ------
Revenue                        US$1,002       US$965       4%

GAAP Diluted EPS from
continuing operations                 0.10         0.09   11%

GAAP Income from
continuing operations                52           56      (7%)

GAAP Cash Flow from
continuing operations               587          422       39%

Non-GAAP Operating EPS*               0.24         0.24     0%

     * Operating earnings per share is a non-GAAP financial
       measure, as noted in the discussion of non-GAAP results
       below. A reconciliation of GAAP diluted EPS to non-GAAP
       diluted EPS is included in the tables following
       this news release.

"I am pleased with our third quarter performance," said John
Swainson, CA's president and chief executive officer.  "We made
progress executing on our second half plan and recorded a solid
third quarter with significant growth in cash flow from
operations and total bookings.

"Overall, we are seeing healthy demand in the marketplace for
our Enterprise IT Management solutions and especially those
solutions we have acquired over the past two years," Swainson
said. "Our customers continue to turn to us to help them solve
their most complex information technology management and
security issues.  Going forward, we will continue to focus on
superior execution and on becoming even stronger partners with
our customers."

Revenue for the third quarter was US$1 billion, an increase of
4% or 1% in constant currency, over the US$965 million reported
in the comparable period last year.  Aside from currency gains,
the increase in revenue primarily was attributed to growth in
subscription revenue, partially offset by declines in software
fees and other revenue, maintenance and financing fees.  Revenue
from professional services increased 11% over the prior year.
Total North America revenue was up 4% while revenue from
international operations was up 3%, or down 3% in constant
currency.

Subscription revenue for the third quarter was US$773 million,
an increase of 8% or 5% in constant currency, compared to US$717
million reported in the third quarter of last year.  The
increase primarily was due to growth in new deferred
subscription value from the sale of solutions in CA's Enterprise
Systems Management, Business Service Optimization and Security
Management business units, led by the sale of acquired products.
Subscription revenue accounted for 77% of total revenue in the
quarter, up from 74% reported in the third quarter of fiscal
year 2006.

Total product and services bookings in the third quarter were
US$1.55 billion, up 65% from US$944 million in the prior year
period.  This increase was attributed in part to growth in sales
of new products and services, improved management of contract
renewals, the benefits achieved from the realignment of CA's
sales force earlier in the fiscal year and an increase in the
volume, length and dollar amounts of large contracts.  During
the quarter, the Company renewed six license agreements valued
in excess of US$40 million for an aggregate value of
approximately US$472 million, with one contract valued at over
US$100 million.  The average contract length grew to 3.7 years
compared to 3.5 years during the prior year period due to an
improved process and greater discipline in evaluating the
financial implications of executing longer contracts.  In the
comparable period last year, the Company renewed two contracts
each totaling more than US$40 million with an aggregate value of
approximately US$108 million.

Total expenses, before interest and taxes, for the third quarter
were US$907 million, compared to the US$910 million reported in
the prior year period.  On a constant currency basis, expenses
were down 3 percent.  The Company experienced significantly
lower commission expenses associated with the Company's revised
incentive compensation program.  This was offset in part by
costs associated with the delivery of professional services
commensurate with the increase in professional services revenue.
On a non-GAAP basis, the Company reported operating expenses of
US$791 million, which excludes restructuring, acquisition
amortization, and certain legal expenses and was up 2% from the
US$775 million reported in the comparable period last year and
slightly down on a constant currency basis.  A reconciliation of
GAAP expenses to non-GAAP operating expenses is included in the
tables following this news release.

In the third quarter of fiscal year 2007, the Company recorded
restructuring and other charges of approximately US$32 million,
of which US$14 million was related to severance costs and US$15
million was associated with the closure of facilities under the
fiscal year 2007 cost reduction and restructuring plan.  The
Company continues to expect the total costs associated with the
2007 restructuring plan to be approximately US$150 million,
which will be recognized during the remainder of fiscal year
2007 and into fiscal year 2008.

The Company recorded GAAP income from continuing operations of
US$52 million for the third quarter, or US$0.10 per diluted
common share, compared to income from continuing operations of
US$56 million, or US$0.09 per diluted common share, reported in
the prior year period.  The improvement in GAAP earnings per
share reflects the reduced share count principally associated
with the completion of the Company's US$1 billion share
repurchase in the second quarter of fiscal year 2007.

The Company reported non-GAAP income from continuing operations
of US$133 million for the third quarter, or US$0.24 per diluted
common share, compared to US$146 million, or US$0.24 per diluted
common share a year earlier.  A reconciliation of GAAP income
from continuing operations to non-GAAP income is included in the
tables following this news release.

For the third quarter, CA generated cash flow from operations of
US$587 million, up 39% compared to US$422 million in cash flow
from operations reported in the prior year comparable period.
Third quarter cash flow was affected positively by the higher
volume of bookings and associated billings and an increase of
approximately US$120 million in the aggregate amount of up-
front single installment contract payments over the comparable
period last fiscal year.  In addition, the third quarter
positively was affected by improved accounts receivable
collections including the early receipt of one payment of
approximately US$46 million scheduled for the fourth quarter of
fiscal year 2007.

During the third quarter, restructuring payments were US$27
million, compared to restructuring payments of $11 million in
the third quarter of fiscal year 2006.  Adjusting for these
payments, cash flow from operations was US$614 million, up 42
percent from the prior year period.

The balance of cash and marketable securities at December 31,
2006, was US$1.8 billion. With US$2.6 billion in total debt
outstanding, the Company has a net debt position of
approximately US$743 million.

The Company said it is continuing to evaluate its ongoing
performance, as well as market conditions, before making a
decision on the implementation of further stock repurchases.
Year-to-date, CA has repurchased 51 million shares of common
stock at a cost of about US$1.2 billion.

                   Outlook for Fiscal Year 2007

    CA updated its outlook for the fiscal year and believes it
    will:

     * Exceed revenue guidance of $3.9 billion;

     * Report GAAP earnings per share from continuing operations
       of US$0.26 to $0.29 which includes estimated
       restructuring and other charges of approximately US$130
       million;

     * Report non-GAAP operating earnings per share of between
       US$0.83 and US $0.86, up from original guidance of $0.83;
       and,

     * Report cash flow from operations of $900 million to US$1
       billion, consistent with its most recent guidance.  The
       Company expects cash flow generation during the fourth
       quarter will be affected by significantly higher tax
       payments than in the fourth quarter of fiscal year 2006.
       In addition, the Company does not expect to realize
       further improvements to accounts receivable collections
       in the fourth quarter.

The Company also anticipates total product and services bookings
to grow in the range of 12% to 15% for the full fiscal year as
it focuses on new product sales and continued discipline in its
contract renewal process.

                         About CA Inc.

Headquartered in Islandia, New York, CA Inc. (NYSE:CA)
-- http://www.ca.com/-- is an information technology management  
software company that unifies and simplifies the management of
enterprise-wide IT.  Founded in 1976, CA serves customers in
more than 140 countries.  In Asia-Pacific, the company has
operations in Indonesia, Australia, China, Japan, Hong Kong,
India, Philippines and Thailand.

                          *     *     *

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 Software sectors this week,
the rating agency confirmed its Ba1 Corporate Family Rating for
CA, 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$350 Million
   6.5% Senior
   Unsecured Notes
   due 2008               Ba1      Ba1     LGD4       54%

   US$1 Billion
   Senior Global
   Notes due 2011         Ba1      Ba1     LGD4       54%

   US$460 Million
   Convertible
   Senior Unsecured
   Notes due 2009         Ba1      Ba1     LGD4       54%

Standard & Poor's Rating Services affirmed its 'BB' corporate
credit and senior unsecured debt ratings on CA Inc., and removed
them from CreditWatch where they were placed on July 5, 2006,
with negative implications.  S&P said the outlook is negative.


CA INC: Moody's Comments On Earnings Report & Negative Outlook
--------------------------------------------------------------
Moody's Investors Service comments that it is maintaining the
negative outlook for CA Inc. following the company's fiscal
third quarter 2007 earnings reported yesterday evening.

"CA's fiscal third quarter results provide evidence of its
bookings and billings growth, reversing previous negative
trends" commented John Moore, VP/Senior Analyst.  "Moody's is
monitoring CA's negative rating outlook pending further evidence
of organic business growth" Moore added.

The company's Ba1 senior unsecured rating reflects its large
portfolio of mission critical software product offerings and
installed base of a diverse set of creditworthy clients, which
in isolation is similar to cross industry A3 rated peers.
However, the Ba1 rating also reflects uncertainties surrounding
the effectiveness of its internal financial controls, its
unsettled fulfillment of the terms of the Deferred Prosecution
Agreement, moderate financial leverage, its modest returns on
assets, and competitive challenges impacting its core mainframe
and Unix products.

The negative outlook reflects challenges the company has to
revive organic growth, implement effective financial controls,
remediate material weaknesses to its financial reporting, and
contain costs.  While earnings report reversed the negative
operating trends exhibited by CA in prior reports, Moody's
believes that CA's organic sales traction and management of its
financial controls require further proof of execution through
subsequent quarterly reports.

Moody's estimates that the company's LTM December 2006 client
billings grew by about US$170 million or 4%, excluding higher
upfront client payments of about US$120 million received in the
December 2006 quarter.  Moody's notes that this US$170 million
growth was slightly less than the company's LTM December 2006
US$504 million cash acquisition spending.  In addition, LTM
December 2006 total bookings grew by approximately 3%.

Moody's estimates that CA generated approximately US$800 million
LTM December 2006 free cash flow adjusted for leases.  Moody's
expects the company's free cash flow will be negatively affected
in the near term by about US$200 million higher annualized tax
payments the company anticipates to incur, in addition to the
potential for a diminution of upfront client payments from the
approximate US$120 million higher level of upfront payments that
the company received in its December 2006 quarter as well as
upfront payments received in prior periods.  Moody's notes that
FY 2006 cash flow from operations benefited from higher than
usual upfront client payments, as indicated by the US$285
million year over year increase in deferred subscription revenue
recorded in the liability section of its balance sheet.

Moody's also notes that the company affirmed its fiscal 2007
cash flow from operations guidance of between US$900 million and
US$1 billion.  The company also expects to continue to evaluate
ongoing business performance and market conditions before making
a decision on the implementation of additional share
repurchases.  In the September 2006 quarter, CA repurchased
approximately US$1 billion of shares.

                          About CA Inc.

Headquartered in Islandia, New York, CA Inc. (NYSE:CA)
-- http://www.ca.com/-- is an information technology management  
software company that unifies and simplifies the management of
enterprise-wide IT.  Founded in 1976, CA serves customers in
more than 140 countries.  In Asia-Pacific, the company has
operations in Indonesia, Australia, China, Japan, Hong Kong,
India, Philippines and Thailand.


EXCELCOMINDO PRATAMA: Moody's Revises Bond Rating to Positive
-------------------------------------------------------------
Moody's Investors Service revised the outlook to positive from
stable on Excelcomindo Finance Company B.V.'s Ba3 foreign
currency senior unsecured bond rating.  

The bond is irrevocably and unconditionally guaranteed by PT
Excelcomindo Pratama.  

This rating action follows Moody's decision to revise the rating
outlook on Indonesia's Ba3 foreign currency sovereign ceiling to
positive.

At the same time, Moody's has affirmed the Ba2 local currency
corporate family rating of Excelcomindo Pratama.  The outlook
for the rating remains stable.

Headquartered in Jakarta, Indonesia, PT Excelcomindo Pratama Tbk
-- http://www.xl.co.id/-- provides wireless telecommunications  
services, leased lines and corporate services, which include
Internet Service Provider and Voice over Internet Protocol
services.  In addition, Excelcomindoprovides voice, data and
other value-added cellular telecommunications services.  Its
product lines include jempol, bebas and xplor.  The company also
provides services that allow its customers to purchase
electronic voucher reloads at all of its centers and outlets,
automated teller machines of various major banks and through its
call centers.  Excelcomindo starter packs and voucher reloads
are also sold by independent retailers.


GARUDA INDONESIA: To Select Investors in Two or Three Months
------------------------------------------------------------
Several investors who are interested in investing in PT Garuda
Indonesia Airlines are now undergoing due diligence, Tempo
Interactive reports.

The report, citing State Minister for State-Owned Enterprise
Sugiharto, said that the selection will take place over two or
three months.

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

In a Jan. 16, 2007 report, TCR-AP stated that The Rajawali Group
wanted to buy a stake in Garuda.  The 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.

Tempo says interested investors also include others from Europe
and North America.

"For Garuda, shareholders have given indication that we are open
to strategic partnership," Reuters quotes Garuda Chief Executive
Officer Emirsyah Satar as saying.  "Moving forward, this is the
main agenda for Garuda itself."

The TCR-AP had related 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.

Tempo notes that, according to Minister Sugiharto, the
restructuring team is handling the investment deals.

                           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.  Garuda is concentrating its efforts on repaying its debt
with foreign creditors under the European Credit Agency, which
were due on December 31, 2005.

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.

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.

Reuters reported that Garuda's outstanding debt, mostly owed to
the ECA, fell to US$749 million as of November 2006 from
US$794.5 million by the end of 2005.


HANOVER COMPRESSOR: Plans to Merge With Universal Compression
-------------------------------------------------------------
Hanover Compressor Co and Universal Compression Holdings Inc
plans to merge in an all-stock deal, New Ratings reports.

Under the deal, which has been approved by the board of
directors of both companies, shareholders in Hanover Compressor
will hold a 53% stake in the merged entity, with the remaining
47% to be held by shareholders in Universal Compression, the
report relates.  

According to New Ratings, Hanover's stockholders will receive
0.325 shares of the new company for each share held by them
under the deal, while Universal's stockholders will receive one
share of the merged entity for each share held by them.

The report points out that the transaction is expected to be tax
free to stockholders of both the companies and will be complete
in the third quarter of this year resulting in the creation of a
company with an equity market capitalization of US$3.8 billion,
the report relates.

The merger, subject to regulatory and shareholder approvals, is
expected to boost the earnings per share of the new entity in
2008, besides resulting in annualized pretax cost savings of
approximately US$50 million, New Ratings adds.

Headquartered in Houston, Texas, Hanover Compressor Company
--http://www.hanover-co.com-- rents and repairs compressors and  
performs natural gas compression services for oil and gas
companies.  It has a fleet of more than 6,520 mobile compressors
ranging from 8 to 4,735 horsepower.  The company's subsidiaries
also provide service, fabrication, and equipment for oil and
natural gas processing and transportation applications.  Hanover
Compressor is disposing of its non-oilfield power generation
facilities and used equipment businesses to focus on core
operations.  In 2006 the company sold the US amine treating
rental assets of Hanover Compression Limited Partnership to oil
and gas firm Crosstex Energy for about US$52 million.

The company has locations in India, China, Indonesia, Japan,
Korea, Taiwan, the United Kingdom, and Vietnam, among others.

As reported in the Troubled Company Reporter - Asia Pacific on
Oct. 29, 2006, Moody's Investors Service, in connection with the
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the North American Forest
Products sector, confirmed its B1 Corporate Family Rating for
Hanover Compressor Company.

Four layers of bond debt issued by Hanover Compressor and
maturing between 2008 and 2014 carry low-B ratings from Moody's
Investors Service and Standard & Poor's Rating Services.


HANOVER COMPRESSOR: Moody's Places Ratings Under Review
-------------------------------------------------------
Moody's Investors Service placed the ratings for Hanover
Compressor Company under review for possible upgrade.
Simultaneously, Moody's placed the ratings for Universal
Compression Inc. on review for possible downgrade.  Moody's
anticipates this review will be completed on or about the close
of the merger, which is expected in the third quarter of 2007.

The ratings review is prompted by the all-stock merger
announcement between Hanover and Universal.  The merger will be
conducted through a new holding company that will exchange Newco
shares for Hanover and Universal shares.  Following the merger,
Hanover shareholders are expected to own approximately 53% of
Newco, with Universal shareholders owning the remainder.
Universal's Chairman, President and CEO, Stephen Snider, will
serve as President and CEO for Newco and Hanover's Chairman,
Gordon T. Hall, will serve as Newco's Chairman.  Newco's board
will be evenly split between representatives from both
companies.

The merger combines two companies with comparable size, market
positions and diversity of product lines and geographic reach.
However, both companies have materially different leverage
profiles, with Hanover carrying much more debt than Universal
relative to EBITDA and capitalization.  Therefore, we believe
the transaction is likely a credit positive for Hanover and have
placed its ratings under review for possible upgrade.
Conversely, Newco's combined leverage profile is higher than
Universal's, which has raised concerns that led to the review
for possible downgrade of Universal's ratings.

Moody's estimates that the combined company will have pro forma
assets of US$6.3 billion at September 30, 2006, making the new
company the largest natural gas compression services company in
the world with approximately 4.4 million of domestic horsepower
and 1.5 million internationally.  The combination effectively
doubles the size of the asset base and further enhances the
business profile of the combined entity.

These potential benefits of the merger are tempered by the
capital intensity of the compression business and the
significant inherent challenges for domestic growth, requiring
the pursuit of growth in international markets that bring both
opportunities and increased political risks.  Moody's views this
merger to be a favorable resolution for Hanover of its difficult
strategic choice between growth expenditures and needed debt
reduction.  Moody's also notes that both Hanover's and
Universal's capital structures have a high level of complexity
with their Equipment Trusts and ABS facility, respectively.
Furthermore, the creation of Universal Compression Partners, LP
created uncertainties regarding the future capital structure and
leverage profile of Universal, which also will apply to the
combined entity.

The ratings review will focus on the market position and
financial profile of the combined group, the strategic direction
chosen by management with respect to the pace and scale of
international growth, the plans for further drop downs of
compression assets into Universal Compression Partners, LP, and
management's targets for leverage and potential share buybacks
post combination.  In Moody's view, any downgrade of Universal's
corporate family rating would likely be limited to one notch and
it is possible that the enhanced size and other benefits of the
merger will enable Moody's to confirm the ratings.

The Hanover ratings affected by the review for upgrade are as
follows:

   * Hanover's B1 corporate family rating and probability of
     default rating

   * The Ba3 rating on Hanover Equipment Trust 2001A 8.50%
     partly secured notes due 2008.

   * The Ba3 rating on Hanover Equipment Trust 2001B 8.75%
     partly secured notes due 2011.

   * The B3 rating on Hanover's two 4.75% non-guaranteed senior
     convertible note issues due 2008 and 2014, respectively.

   * The B2 rating on Hanover's 7.5% senior unsecured notes due
     2013, 8.625% senior unsecured notes due 2010 and 9% senior
     unsecured notes due 2014, each with senior subordinated
     guarantees from core operating subsidiary Hanover
     Compression, L.P.

   * The B3 rating on Hanover's 7.25% non-guaranteed convertible
     trust preferred stock.

The Universal ratings affected by the review for downgrade are
as follows:

   * Universal's Ba2 corporate family rating and probability of
     default rating.

   * The Ba1 rating on Universal's senior secured bank
     facilities due 2010.

   * The B1 rating on Universal's 7.25% senior unsecured notes
     due 2010.

Universal Compression, Inc. is a wholly owned subsidiary of
Universal Compression Holdings, Inc.  Both Universal and Hanover
are based in Houston, TX.

Headquartered in Houston, Texas, Hanover Compressor Company
-- http://www.hanover-co.com-- rents and repairs compressors  
and performs natural gas compression services for oil and gas
companies.  It has a fleet of more than 6,520 mobile compressors
ranging from 8 to 4,735 horsepower.  The company's subsidiaries
also provide service, fabrication, and equipment for oil and
natural gas processing and transportation applications.  Hanover
Compressor is disposing of its non-oilfield power generation
facilities and used equipment businesses to focus on core
operations.  In 2006 the company sold the US amine treating
rental assets of Hanover Compression Limited Partnership to oil
and gas firm Crosstex Energy for about US$52 million.

The company has locations in Indonesia, Japan, India, China,
Korea, Taiwan, the United Kingdom, and Vietnam, among others.


TELKOM INDONESIA: Books US$22.3-Bil. Market Cap. on Dec. 28
-----------------------------------------------------------
PT Telekomunikasi Indonesia Tbk booked US$22.3 billion in market
capitalization as of Dec. 28, 2006, Tempo Interactive reports.

Telkom Secretary Harsya Denny Surya considers it "significant
progress."

The report, citing Mr. Surya, says that Telkom's Managing
Director Arwin Rasyid was given the responsibility by the
company's shareholders of increasing market capitalization to
US$30 billion by 2010.

For this year, the company's focus is to increase its
performance and its consumer services for all products and
service segments, Mr. Surya reportedly said.

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
January 31, 1007, Fitch Ratings has revised the Outlook on
Telekomunikasi Indonesia Long-term foreign and local currency
Issuer Default ratings to Positive from Stable and affirmed the
ratings at 'BB-'.

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+.


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

CNET NETWORKS: Earns US$387.7 Million in Fourth Quarter 2006
------------------------------------------------------------
CNET Networks Inc. reported results for the fourth quarter and
year ended Dec. 31, 2006.

Financial highlights for the year ended Dec. 31, 2006, are:

   -- total revenues of US$387.7 million, a 15% increase
      compared with revenues of US$338 million for the same
      period of 2005.

   -- operating income totaled US$9.4 million during 2006
      compared with operating income of US$29.9 million for the
      same period of 2005.  Reported operating income also
      reflects US$13.7 million in costs related to the company's
      restatement and stock option investigation.

   -- operating income before depreciation, amortization,
      impairments, and stock compensation expense was
      US$66.7 million for the year ended Dec. 31, 2006.
      Excluding stock option investigation costs of
      US$13.7 million, operating income before depreciation,
      amortization, impairments, and stock compensation expense
      was US$80.5 million, a 24% increase compared with US$65
      million during 2005.

   -- the profit margin of operating income before depreciation,
      amortization, impairments, and stock compensation expense
      was 17%.  Excluding stock option investigation expenses,
      the profit margin of operating income before depreciation,
      amortization, impairments, and stock compensation expense
      increased to 21% from 19% during 2005.

   -- net cash provided by operating activities for the year of
      2006 was US$61.8 million, up from US$43.2 million in the
      same period of 2005.  Free cash flow for the year of 2006
      was US$29 million.  Free cash flow is defined as cash flow
      from operating activities less capital expenditures.

   -- on a reported basis, net income for the year of 2006
      was US$7.8 million.  This compares with net income of
      US$19.6 million in 2005.  Reported net income was
      negatively impacted by stock option investigation costs of
      US$13.7 million.

   -- Excluding stock compensation expense, impairment, realized
      gain on investments, loss from discontinued operations and
      stock option investigation costs, adjusted net income
      for the year of 2006 was US$43.6 million compared to
      US$36.8 million in 2005.

"We were able to deliver solid performance in the fourth
quarter," said Neil Ashe, chief executive officer of CNET
Networks.  "We will continue to demonstrate our ability to build
interactive media brands for people and the things they are
passionate about.  Our brands combined with our ability to
generate, fund and promote emerging media provide us the
platform for success in the evolving media landscape."

CNET Networks, Inc. (Nasdaq: CNET) --
http://www.cnetnetworks.com/-- is an interactive media company
that builds brands for people and the things they are passionate
about, such as gaming, music, entertainment, technology,
business, food, and parenting.  The company's leading brands
include CNET, GameSpot, TV.com, MP3.com, Webshots, CHOW, ZDNet
and TechRepublic. Founded in 1993, CNET Networks has a strong
presence in the US, Asia and Europe.  The company has locations
in Japan, China, Korea, Australia, Germany and France, among
others.

                          *     *     *

On Oct. 23, 2006, Standard & Poor's Ratings Services lowered its
ratings on CNET Networks Inc., including lowering the corporate
credit rating to 'CCC+' from 'B', and placed the ratings on
CreditWatch with developing implications.


GAP INC: Moody's Downgrades Senior Unsecured Notes to Ba1
---------------------------------------------------------  
Moody's Investors Service downgraded Gap Inc. senior unsecured
notes to Ba1 and assigned a corporate family rating of Ba1 and
speculative grade liquidity rating of SGL-1.  The rating outlook
is stable.  This concludes the review for downgrade initiated on
January 4, 2007.

The following ratings are downgraded:

For Gap Inc.:

Senior unsecured notes to Ba1 (LGD4-58%) from Baa3;

For Gap (Japan) K.K.:

Senior unsecured notes guaranteed by Gap Inc. to Ba1 (LGD4-58%)
from Baa3.

The following ratings are assigned:

For Gap Inc.:

Corporate family rating at Ba1;

Probability of default rating at Ba1;

Speculative grade liquidity rating at SGL-1.

The downgrade reflects Moody's expectation that there will be no
meaningful improvement in Gap's operating performance until well
after the board of directors completes its search for a new CEO.
The downgrade also reflects the likelihood that operating
performance will be constrained by the distraction of senior
management turnover and by the possibility for additional
expenses to support any strategic initiatives put in place by
the new CEO, once appointed.  Gap has experienced steady erosion
in comparable store sales and profitability over the past two
years resulting in the recent departure of Paul Pressler as CEO.
Robert Fisher, the current non-executive chairman of the board,
will fill the slot on an interim basis while the search for the
new CEO is conducted.

Gap Inc.'s Ba1 corporate family rating is supported by its
strong liquidity and conservative financial policies, which
include a history of creditors equally sharing in cash flow and
predictable and balanced returns to shareholders.  In addition,
the rating is supported by the company maintaining predominantly
investment grade credit metrics despite the ongoing operating
performance weakness.  Gap Inc. has been able to maintain these
metrics given its healthy balance sheet with approximately
US$513 million of debt and US$2.4 billion of cash and short term
investments at October 28, 2006.  These strengths are
constrained by the company's eroding profitability and
competitive position.  Its merchandising has been weak, as
demonstrated by a negative comparable store sales trend for over
a two year period.  Also constraining the rating category is the
high product volatility associated with the specialty retail
segment in which the company operates.  The rating category also
reflects Gap Inc.'s scale with annual revenues of approximately
US$16.0 billion and its national geographic diversification
combined with some international presence.

The ratings outlook is stable.  Ratings could be further
downgraded should operating performance deteriorate further
resulting in Debt/EBITDA (as calculated by Moody's) to be
sustained above 4.25x.  In addition, ratings could be downgraded
should the company's financial policies become more aggressive
as evidenced by its liquidity position significantly
deteriorating or an aggressive increase in leverage to finance
share repurchases, capital expenditures, or acquisitions.
Ratings could be upgraded should the company maintain its
current level of credit metrics and very good liquidity while
turning comparable store sales to modestly positive levels on a
consistent basis and improving EBIT margins (as reported) to
above 9%.

                          About Gap Inc.

Gap Inc. (NYSE: GPS) -- http://www.gapinc.com/-- is an  
international specialty retailer offering clothing, accessories
and personal care products for men, women, children and babies
under the Gap, Banana Republic, Old Navy, Forth & Towne and
Piperlime brand names.  Gap Inc. operates more than 3,100 stores
in the United States, the United Kingdom, Canada, France,
Ireland and Japan.  In addition, Gap Inc. is expanding its
international presence with franchise agreements for Gap and
Banana Republic in Southeast Asia and the Middle East.


GUNMA BANK: Fitch Upgrades Individual Rating from 'C/D' to 'C'
--------------------------------------------------------------
Fitch Ratings has upgraded the majority of the ratings on Gunma
Bank as follows:

   -- Long-term foreign and local currency Issuer Default
      Ratings upgraded to 'BBB+' from 'BBB' with Stable Outlook;

   -- Short-term foreign and local currency IDR affirmed at
      'F2'.

   -- Individual rating upgraded to 'C' from 'C/D'.

The Support rating was affirmed at '2'.

Gunma's upgrades reflect improvement in the credit quality of
its loans and improved capital quality.  At the same time, the
new ratings also take into account the bank's still somewhat low
profitability and relatively high exposure to equity holdings.
The bank's net NPLs (net of loan loss reserves)/total loan ratio
fell to 2.61% at end-September 2006, which indicates relatively
good asset quality for a regional bank.  The bank's capital
quality has improved as the deferred tax assets, which accounted
for 22.6% of its Tier 1 capital at end-September 2004,
continuously decreased to account for only 10.4% at end-
September 2006.


HACHIJUNI BANK: Fitch Affirms 'C' Individual Rating
---------------------------------------------------  
Fitch Ratings has affirmed the ratings of Hachijuni Bank as
follows:

   -- Long-term foreign and local currency Issuer Default
      Ratings affirmed at 'A-' with a Stable Outlook.

   -- Short-term foreign and local currency IDR affirmed at
      'F1',

   -- Individual rating affirmed at 'C', and

   -- Support rating affirmed at '2'.

Hachijuni's ratings reflect its relatively strong capital
position and limited credit risk, as indicated by its Tier 1
capital ratio of 9.10% with limited dependence on deferred tax
assets and net NPLs/total loan ratio of 2.37% at end-September
2006.  Fitch expects the bank's net interest revenues and net
credit costs to remain stable in the foreseeable future, with
limited possibility of deteriorations.  Fitch also notes the
bank's low exposure to stock investment risk.


JAPAN AIRLINES: Incurs JPY10.8-Billion Net Loss in 3rd Quarter
--------------------------------------------------------------
Japan Airlines Group revealed its consolidated results for the
third quarter (October-December 2006 inclusive) of financial
year ending March 31, 2007 (FY 2006).

Total operating revenues for the three-month period were
JPY584.1 billion, up 4.9% on the same period last fiscal year.
Operating costs were JPY598.1 billion (4.3% up on last fiscal
year), resulting in a third quarter operating loss of
JPY14.0 billion.  JAL recorded an ordinary loss of
JPY13.0 billion and a net loss of JPY10.8 billion, compared to
an ordinary loss of JPY20.6 billion and a net loss of
JPY11.0 billion over the same period in the previous fiscal
year.

For the first three quarters of financial year 2006 (April 1-
December 31, 2006), total operating revenues were
JPY1,734.1 billion, up 3.9% on the same period last fiscal year.
Operating expenses were JPY1,740.0 billion (4.2% up on last
fiscal year), resulting in an operating loss of JPY5.8 billion
over the nine-month period.  An ordinary loss of JPY7.7 billion
and a net loss of JPY9.3 billion were recorded, compared to an
ordinary loss of JPY10.8 billion and a net loss of
JPY23.0 billion during the same period in the previous fiscal
year.

1. Operating Income (April - December 2006)

International passenger traffic: Due to route restructuring and
aircraft downsizing, supply measured in available seat
kilometers (ASK) decreased by 10.4% from the same period last
fiscal year.  Business traveler and tourist demand was strong on
China, Korea and Southeast Asia routes.  Passenger demand on
China routes has fully recovered from the effects of anti-
Japanese demonstrations held in China in April 2005.  Measured
in revenue passenger kilometers (RPK), overall there was a
decline in passenger demand of 6.9% when compared to the same
period last fiscal year.

The international flight seat load factor for the Group was up
2.7 points on the previous year to 71.0%.  Unit price increased
by 11.7% compared to the previous year, mainly due to a revision
of fares and fuel surcharges.  Revenue over the period increased
by JPY21.0 billion to JPY549.2 billion, up 4.0% on the previous
year.  The total number of passengers carried was 10,065,258.

Domestic passenger traffic: Individual passenger traffic was up
on the same period last year, due to the introduction of
discount fares, and the launch of seasonal promotional
campaigns.  However, the number of individual passenger
traveling domestically for business purposes was stagnant.  The
number of passengers traveling in tour groups declined when
compared to the previous year, due to fare increases, decreased
demand from skiers due to poor snowfall, and also as a result of
the effect the Aichi Expo had in boosting demand in Japan during
2005.

When looking at domestic passenger traffic overall, supply in
terms of available seat kilometers (ASK), and demand in terms of
revenue passenger kilometers (RPK) both increased by 1.0% from
the same period last year.  Unit price increased by 1.1% from
the same period a year earlier due to fare increases.  Income
increased by JPY10.6 billion to JPY514.8 billion, up 2.1% on the
previous year.  The total number of passengers carried on
domestic routes was 33,471,407.

International cargo traffic: Cargo traffic from Japan to the
high growth market of China was generally strong.  There was
brisk business in exports from Japan to Europe, and the US, in
the first half of financial year 2006, but this was stagnant in
the third quarter.  Import traffic from China, Europe, and the
USA to Japan was strong, but cargo traffic from Southeast Asia
dropped below last year's levels due to a reduction in supply in
terms of cargo space resulting from international passenger
flight route restructuring.  Measured in revenue cargo ton
kilometers (RCTK), worldwide international air cargo demand
decreased by 2.1% on the previous year.  With the revision of
the fuel surcharge, the unit price rose by 7.2%, and revenue
increased by 5.0%, up JPY6.8 billion on the previous year.  The
volume of cargo carried was 589,946 tons, down 1.9% on the year
before.

2. Operating Cost (April - December 2006)

Fuel cost: The price for Singapore kerosene began to decrease
from October 2007 onwards, but the average price over the whole
9-month period still remained at an unprecedented level of 81.9
US dollars per barrel.  The average price of kerosene over the
same period in FY2005 was US$71.3 per barrel, and in FY2004 it
was US$49.00 per barrel.  JAL managed to limit the full effect
of increasing fuel prices by conducting a wide range of measures
including fuel hedging, and fuel consumption reductions.  As a
result, the fuel bill over the period was JPY320.4 billion,
12.8% increase or JPY36.3 billion up on the same period last
fiscal year.

Maintenance cost: Maintenance costs over the nine-month period
increased to a total of JPY102.5 billion, up by JPY21.7 billion
or by 26.8% when compared to the previous year, mainly due to
B777 PW4000 engine modifications completed in December 2006.

Exchange rate: The average US$ - Yen exchange rate for the
period was JPY116 to US$1.0, compared with JPY111 for the same
period during the last fiscal year, affecting operating income
by minus JPY11.6 billion.  However, the negative effect of the
exchange rate was offset by US dollar hedging which enabled the
Group to post a foreign exchange profit of JPY12.0 billion for
non-operating income.

3. JAL Group Consolidated FY2006 Third Quarter Result (October-
   December 2006)

   in JPY billions:

                         FY06        FY05
                      (end 3/07)  (end 3/6)  Variation  % change
                      ----------  ---------  ---------  --------
  Operating revenue       584.1      556.9       27.2    104.9%
  1. International
     Passenger            178.5      167.7       10.8    106.5%
  2. Domestic
     passenger            169.0      163.7        5.3    103.2%
  3. International
     cargo                 53.1       53.1       -0.0     99.9%
  4. Other                183.4      172.2       11.1    106.5%
  Operating expenses      598.1      573.5       24.5    104.3%
  Operating income
    (loss)                -14.0      -16.6        2.6        -
  Ordinary income
    (loss)                -13.0      -20.6        7.5        -
  3rd Quarter Net
    income (loss)         -10.8      -11.0        0.1        -

4. Consolidated Financial Forecast for the Year Ending March 31,
   2007

Based on recent business performance trends, JAL has revised the
forecast for the year ending March 31, 2007, announced mid-term
on November 8, 2006.  There are no changes in operating income,
ordinary income and net income.

   In JPY billions

                   Revised     Previous              FY2005
                   forecast    forecast      Dif.   (ending
                  for FY2006  (11/08/06)             03/07)
                (ending 3/07)
                -------------  --------      ----    ------
  Operating
   revenues         2,268.0     2,281.0     -13.0    2,199.3
  1. International
     passenger        729.0       732.0      -6.0      690.2
  2. Domestic
     passenger        672.0       678.0      -6.0      659.9
  3. International
     cargo            189.0       195.0      -6.0      659.9
  4. Other            678.0       676.0       2.0      180.5
  4. Other            678.0       676.0       2.0      668.5
  Operating
   expenses         2,255.0     2,268.0     -13.0    2,226.2
  Operating
   income              13.0        13.0         0      -26.8
  Ordinary income       0.5         0.5         0      -41.6
  Net income            3.0         3.0         0      -47.2

Operating revenues: the company has forecast a reduction in
operating revenues of JPY13.0 billion from the previous
forecast, due to stagnant tourism demand for travel to Guam and
Hawaii; stagnant individual domestic passenger demand; a drop in
ski demand due to poor snowfall; and a drop in international
cargo traffic out of from Japan.

Operating expenses: Despite a JPY3.0 billion increase in fuel
costs due to the foreign exchange rate, JAL expects to reduce
operating expenses by an additional JPY13.0 billion mainly
realized through changes in the management of the pension system
and deeper cost reform.

                       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.


JOYO BANK: Fitch Affirms Individual Rating at 'C'
-------------------------------------------------  
Fitch Ratings has upgraded the majority of the ratings on Joyo
Bank as follows:

   -- Long-term foreign and local currency Issuer Default
      ratings upgraded to 'A-' from 'BBB+' with a Stable
      Outlook.

   -- Short-term foreign and local currency IDR upgraded to
      'F1' from 'F2'.

The Individual and Support ratings were affirmed at 'C' and '2',
respectively.

Joyo's upgrades reflect an improvement in capital position and
asset quality, but also take account of the competitive
operating environment, which places pressure on the bank's
profitability.  While the Tier 1 ratio has improved to 9.88% at
end-September 2006 from 9.36% at end-March 2005, the quality of
capital remains good, with little reliance on deferred tax
assets.  The bank's non-performing loans fell to 3.78% at end-
September 2006, down from 7.74% at end-March 2002, which
indicates a remarkable improvement of the bank's asset quality.


NIKKO CORDIAL: Investors Unload Shares On Possible Delisting
------------------------------------------------------------
Index tracking funds in Japan have been dumping shares in Nikko
Cordial Corp. because of the possibility that the brokerage firm
will be delisted from the Tokyo Stock Exchange, Reuters reports,
citing investment managers.

Reuters' Michiko Iwasaki relates that investors have been
unloading shares in Nikko Cordial since December 2006, when the
company admitted that it improperly booked about US$150 million
in profits related to an acquisition by its merchant banking
unit.

The report recounts that last week, Daiwa Asset Management told
Reuters that 10 out of 16 active mutual funds under its control
that had owned Nikko stock in December had dumped all their
shares.  Other active asset managers are also thought to have
sold heavily.

However, passive funds were believed to be holding onto the
stock since it still belongs to the indexes they track, such as
the Nikkei 225 <.N225> or the TOPIX index <.TOPX> of all first
section shares on the Tokyo Stock Exchange, Reuters says.

Passive funds, Reuters explains, do their best to track the
index they are following.

The report states that dumping Nikko Cordial stock now raises
the risk of tracking error while holding the shares could mean
serious losses if the TSE decides to delist the company.  The
stock would likely fall sharply on the announcement and then
become very difficult to unload once it is no longer traded on
the stock exchange.

Kokusai Asset Management, one of Japan's biggest investment
managers, told Reuters that the four passive funds it controls
that had owned Nikko Cordial stock had sold all their shares as
of Feb. 1.  Another Japanese asset manager also told Reuters
that seven of its passive funds had sold all their Nikko shares.

The report points out that shares in Nikko Cordial plunged by
more than a quarter last week following a special investigative
panel report relating to the accounting irregularities allegedly
committed by the company.  The decline in shares wiped out
US$3 billion off the company's market value as well as subjected
the company to a possible delisting from the TSE.

                      About Nikko Cordial

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.



NIKKO CORDIAL: Harris Associates Acquires 5.04% Stake
-----------------------------------------------------
Harris Associates LP acquired an aggregate 5.04% stake in Nikko
Cordial Corp. as of Jan. 30, AFX News Limited reports, citing
the Nikkei.

The report explains that the U.S. asset investment firm began
purchasing the Nikko Cordial shares in sporadic off-market
transactions from Dec. 25, 2006, for a total investment of
around JPY65 billion.

AFX relates that, according to recent media reports, other
investment firms based in Canada and Bermuda are also obtaining
stakes of more than 5% in Nikko Cordial.

                      About Nikko Cordial

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.


NIKKO CORDIAL: Former CFO Ignored Audit Panel, Report Says
----------------------------------------------------------
Nikko Cordial Corp.'s former chief financial officer, Hajime
Yamamoto, ignored repeated warnings in late 2004 and early 2005
from the company's audit committee regarding certain accounting
methods, Takahiko Hyuga writes for Bloomberg News.

According to the report, these accounting methods may now cost
Nikko Cordial its stock market listing with the Tokyo Stock
Exchange.

Bloomberg, citing a Jan. 30 report by a special panel
investigating the accounting scandal that hit Nikko Cordial,
relates that Mr. Yamamoto was "actively" involved in inflating
the brokerage firm's profit in 2004.

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 1, 2007, the independent panel, led by former Financial
Services Agency Commissioner Masaharu Hino, found that
Mr. Yamamoto, as well as Hirofumi Hirano -- the former president
of Nikko Principal Investments Japan Ltd., an investment unit of
the group -- had a hand in the falsification of the company's
consolidated earnings report for the year through March 2005.

The panel report singled out Mr. Yamamoto for ignoring an audit
committee's objections to the treatment of transactions that
boosted Nikko's earnings by JPY13.7 billion (US$112.6 million),
Bloomberg notes.

Nikko's audit committee, led by Toshihiro Matsumoto, in November
2004 was told by the firm's outside auditor that the company had
added a gain from an exchangeable bond transaction to its
profit, according to the 100-page panel report.

The bond deal, Bloomberg relates, resulted in a loss for the so-
called special purpose vehicle that Nikko had set up for the
transaction.  Nikko excluded that loss from its earnings, the
inquiry concluded.

The Tokyo Stock Exchange said that it will use the panel report
to determine whether to remove the company's stock from trading.  
Bloomberg says that the panel cited 54 hours of interviews with
executives and employees, and reviewed 507,000 e-mails and
documents from board meetings.

Bloomberg notes that Mr. Yamamoto was CFO of Nikko Cordial from
October 2001 to February 2006.  He then served as a member of
the company's board of directors.

Mr. Yamamoto quit after he was implicated in the accounting
irregularities plaguing Nikko Cordial, the TCR-AP report stated.

Bloomberg says that Mr. Yamamoto is the fifth top Nikko
executive who had stepped down since the accounting scandal
erupted in December.  The other four are Nikko ex-President
Junichi Arimura; Nikko ex-Chairman Masashi Kaneko; Hirofumi
Hirano, chairman of Nikko Principal Investments Japan Ltd.; and
Nikko Principal President Kazuyuki Kido.

                      About Nikko Cordial

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.


NOMURA HOLDINGS: Closes Instinet Purchase & Reveals New Board
-------------------------------------------------------------
Nomura Holdings, Inc., on Feb. 2, 2007, has closed its
acquisition of Instinet Inc. for a final price of
US$1.2 billion.  Nomura also announced a new board of directors
at Instinet as outlined below.

Nomura's acquisition of Instinet comes as hedge funds and other
institutional investors increasingly look to place orders with
firms that can deliver sophisticated trading technologies and
execution services.  The acquisition is part of Nomura's ongoing
strategy to strengthen its capabilities in this area.

"Instinet brings with it leading-edge execution infrastructure
and technologies as well as extensive expertise in execution
services.  Combining this with our high-quality research
coverage will allow us to deliver optimal solutions to meet the
diverse execution needs of our clients.  We are now looking to
expand our business and seek further growth by achieving
synergies with Nomura Group's strong client base," said Nobuyuki
Koga, Nomura President and CEO.

"As one of the world's foremost global agency brokers, Instinet
is excited to officially join the Nomura family," said Ed
Nicoll, Chairman of Instinet.  "We believe that institutional
clients around the world will find great value in the
combination of our electronic execution tools with Nomura's
suite of research and execution services and global liquidity."

Instinet Board of Directors (as of February 1, 2007):

       * Edward J. Nicoll
       * Fumiki Kondo
       * John Fay
       * Alex Goor
       * Hidekazu Matoba
       * Yasuo Agemura
       * Hiromasa Yamazaki
       * David Findlay

                         About Instinet

Established in 1969, Instinet is one of the world's largest
agency-brokers.  Since its founding, Instinet has been a leader
in the execution service space.  Instinet provides the trading
expertise and advanced technology necessary to successfully
interact with more than 50 securities markets worldwide.
Instinet has a strong client base of approximately 1,500
institutions worldwide, and has grown its business by leveraging
its cutting-edge execution technology and trading platforms.
Instinet is particularly strong in algorithmic trading solutions
and features a global portfolio trading system.

                      About Nomura Holdings

Nomura Holdings, Inc. -- http://www.nomura.com/-- is a   
securities and investment banking firm in Japan and have
worldwide operations in more than 20 countries and regions
including Japan, the United States, the United Kingdom,
Singapore and Hong Kong through its subsidiaries.  Nomura
operates in five business segments: Domestic Retail, which
includes investment consultation services to retail customers;
Global Markets, which includes fixed income and equity trading
and asset finance businesses in and outside Japan; Global
Investment Banking, which includes mergers and acquisitions
advisory and corporate financing businesses in and outside
Japan; Global Merchant Banking, which includes private equity
investments in and outside Japan, and Asset Management, which
includes development and management of investment trusts, and
investment advisory services.

On April 13, 2006, Fitch Ratings gave Nomura Holdings' a 'C'
individual rating.


NOMURA HOLDINGS: Invests JPY30 Billion in Joinvest Securities
-------------------------------------------------------------
Nomura Holdings, Inc., revealed on Feb. 5, 2007, that it has
invested an additional JPY30 billion in Joinvest Securities, a
Nomura Group company offering online financial services in
Japan.

Joinvest plans to use the funds to strengthen its information
technology infrastructure in order to handle growth in client
accounts and upgrade its online systems as it continues to
expand its services.

                      About Nomura Holdings

Nomura Holdings, Inc. -- http://www.nomura.com/-- is a   
securities and investment banking firm in Japan and have
worldwide operations in more than 20 countries and regions
including Japan, the United States, the United Kingdom,
Singapore and Hong Kong through its subsidiaries.  Nomura
operates in five business segments: Domestic Retail, which
includes investment consultation services to retail customers;
Global Markets, which includes fixed income and equity trading
and asset finance businesses in and outside Japan; Global
Investment Banking, which includes mergers and acquisitions
advisory and corporate financing businesses in and outside
Japan; Global Merchant Banking, which includes private equity
investments in and outside Japan, and Asset Management, which
includes development and management of investment trusts, and
investment advisory services.

On April 13, 2006, Fitch Ratings gave Nomura Holdings' a 'C'
individual rating.


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

HYNIX SEMICONDUCTOR: Says Main Production Plant Remains in Korea
----------------------------------------------------------------
Hynix Semiconductor Inc. denied reports that it plans to move
its South Korean plant to China if the government disapproves
the expansion plan of its facilities, media reports say.

"Hynix's main production facilities should be based at domestic
operations along with research and development functions.  
Overseas plants, including Chinese plants, will be used as
supplementary ones," XFN-Asia cites the company as saying.

According to XFN-Asia, a report from Yonhap News Agency
published on Feb. 5, 2007, said that Hynix may have to move its
existing lines in Icheon as well as new lines to China or other
countries unless domestic environmental regulations are eased.

On Jan. 29, 2007, the Troubled Company Reporter - Asia Pacific
cited a report from The Chosun Ilbo stating that the Korean
Government gave its nod for Hynix Semiconductor to develop a
wafer plant in Cheongju, but rejected the company's planned
facility expansion at Icheon.

The TCR-AP noted that the Icheon complex sits in a zone subject
to strict environmental regulations.

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.


HYNIX SEMICONDUCTOR: CEO Woo Eui-jei Plans to Step Down in March
----------------------------------------------------------------
On Feb. 5, 2007, Hynix Semiconductor Inc. Chief Executive
Officer Woo Eui-jei revealed his intention to resign, reports
say.

"I want to give a chance to young blood as the company's
financial structure and management have been stabilized," Yonhap
News Agency quotes Mr. Woo as saying.

Yonhap News recounts that Mr. Woo assumed the post in July 2002
as creditors were pushing for a debt workout program for the
company.

In July 2005, the creditors terminated the supervision of Hynix
18 months earlier than scheduled, citing its brisk business
performances, Yonhap relates, noting that Mr. Woo is credited
for saving Hynix from years of creditor supervision.

A new CEO is expected to be named and approved by the company's
board of directors and shareholders by the end of March, The
Associated Press relates, citing James Kim, a Hynix investor
relations official.

The AP notes that Mr. Kim emphasized that Mr. Woo's decision was
entirely his own.  Mr. Kim also clarified that Mr. Woo's
resignation will not affect Hynix's drive to maintain its
position of leadership in the semiconductor industry, according
to chron.com.

In 2006, Hynix posted net profit of KRW2.01 trillion
(US$2.14 billion), up 10.7% from a year earlier, Yonhap relates.  
In 2004, its net profit was KRW1.7 trillion, a sharp turnaround
from a KRW1.7-trillion loss a year earlier, the paper added.

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.


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

CELESTICA INC: Poor Performance Cues Moody's Ratings' Review
------------------------------------------------------------
Moody's Investors Service has placed the ratings of Celestica
Inc. under review for possible downgrade.

This is based on the poor performance and operational issues
reported as part of company's fourth quarter earnings release
and Moody's concerns regarding the company's ability to rectify
its operational issues in a timely manner to minimize customer
attrition and its impact on Celestica's revenue, profitability,
and cash flow.

Celestica reported that while revenue for the fourth quarter was
generally in line with expectations, it is faced with
significant operational issues at its Mexican facilities, a core
piece of the company's cost re-alignment strategy.  Execution
challenges which included sub par ERP systems capability
resulted in a US$30 million inventory write off at the Mexico
site, and became a reason for "customer disengagement."

Celestica also reported that its revenue guidance for first
quarter 2007 will be negatively impacted mainly by seasonality
and partly by these customer disengagements as well.  The
company will also incur an additional US$60 to US$80 million in
restructuring charges.

As part of the review, Moody's will focus on management's plans
to turnaround its operations and improve execution -- a key
competitive differentiation in the EMS industry.  Moody's will
also examine prospects for improvements in Celestica's revenue,
profitability, free cash flow generation given the uncertainty
provided by the company's operational mishaps.

Furthermore, Moody's will also review management's business and
financial strategies given the recent changes in the company's
key management -- the latest being the resignation of Celestica
CFO, announced as part of the earnings call yesterday.

These ratings are placed under review for possible downgrade:

   -- Corporate family rating at Ba3;

   -- Probability of default rating at Ba3;

   -- US$500 million 7.875% Senior Subordinated Notes due 2011
      at B2LGD5, 87%;

   -- US$250 million 7.5% Senior Subordinated Notes due 2013 at
      B2, LGD5, 87%;

   -- Speculative grade liquidity rating SGL -- 1.

Headquartered in Toronto, Ontario, Celestica, Inc. (NYSE: CLS,
TSX: CLS/SV) -- http://www.celestica.com/-- is a world leader  
in the delivery of innovative electronics manufacturing
services.  Celestica operates a highly sophisticated global
manufacturing network with operations in Malaysia, Brazil,
China, Ireland, Italy, Japan, Philippines, Puerto Rico, and the
United Kingdom, among others, providing a broad range of
integrated services and solutions to original equipment
manufacturers.  Celestica's expertise in quality, technology and
supply chain management, enables the company to provide
competitive advantage to its customers by improving time-to-
market, scalability and manufacturing efficiency.


CELESTICA INC: Weak Financials Cue S&P's Negative CreditWatch
-------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings, including
its 'BB-' long-term corporate credit rating, on Celestica Inc.
on CreditWatch with negative implications.

This action follows the company's weak fourth-quarter operating
results, which reflected larger-than-expected weakness in end-
market demand, particularly with respect to key
elecommunications clients and persistent problems at the
company's Mexican operations.

"Although revenues from the majority of Celestica's customer
segments grew in the fourth quarter, revenues from the
telecommunications segment declined 28% from the third quarter,"
said Standard & Poor's credit analyst Don Povilaitis.

"Likewise, revenues declined from the automotive and defense
segments, as well as the consumer business segment, demand of
which (despite an element of seasonality) has become inherently
unpredictable," added Mr. Povilaitis.

The company's Mexican operations remain challenged, affected by
the continued execution issues that resulted in lost customers
and an unadjusted EBIT loss.  Celestica has a three-step plan to
rectify its production problems, including reducing parts
complexity, reducing multiple platforms, and ensuring reliable
delivery by consolidating warehouses.  The company also has
transferred several customer orders to its Asian facilities.

Standard & Poor's remains concerned with Celestica's prospects
for fiscal 2007, with no improvement expected before the second
half of 2007, as the company is likely to remain challenged by
persistent weakness in the telecommunications segment and the
effect of more customer disengagements.

In addition, Standard & Poor's is concerned by the potential
disruption caused by recent management turnover, with the
imminent resignation of CFO Tony Puppi, which follows the
departure in late 2006 of President Steve Delaney.

Standard & Poor's will meet with Celestica's management shortly
in order to resolve the CreditWatch placement.

Headquartered in Toronto, Ontario, Celestica, Inc. (NYSE: CLS,
TSX: CLS/SV) -- http://www.celestica.com/-- is a world leader  
in the delivery of innovative electronics manufacturing
services.  Celestica operates a highly sophisticated global
manufacturing network with operations in Malaysia, Brazil,
China, Ireland, Italy, Japan, Philippines, Puerto Rico, and the
United Kingdom, among others, providing a broad range of
integrated services and solutions to original equipment
manufacturers.  Celestica's expertise in quality, technology and
supply chain management, enables the company to provide
competitive advantage to its customers by improving time-to-
market, scalability and manufacturing efficiency.


CELESTICA INC: Fitch Puts Ratings' Outlook to Negative
------------------------------------------------------
Fitch Ratings has changed its Ratings Outlook for Celestica Inc.
to Negative from Stable and affirmed the following ratings:

   * Issuer default rating at 'BB-';
   * Unsecured credit facility at 'BB-';
   * Senior subordinated debt at 'B+'.

Fitch's action affects approximately US$750 million of debt.

The Ratings and Negative Outlook reflect:

    i) negative operational issues that precipitated a drop in
       demand from telecom customers which, when combined with
       seasonal factors, led to a sequential decline in revenue
       and profitability in fiscal fourth quarter 2006;

   ii) expectations for continued declines in revenue and EBIT
       margin in the first half of 2007 due to customer
       attrition as management attempts to resolve its execution
       issues;

  iii) limited financial leverage with total debt/operating
       EBITDA of 2.9x along with a net cash position for the
       company at the end of 2006; iv) modest but positive free
       cash flow over the past two quarters.

Ratings concerns center on:

    i) the potential for continued declines in revenue beyond
       the first half of 2007;

   ii) further weakening in operating metrics due to lower than
       expected revenue and/or continued execution issues;

  iii) limited liquidity in the revolving credit facility due to
       a leverage covenant which currently limits additional
       debt incurrence to approximately US$60 million, although
       Fitch believes Celestica will be able to renew this
       facility before it expires in June 2007 and potentially
       improve liquidity; and

   iv) significant customer concentration with the top ten
       customers accounting for approximately 60% of revenue
       including IBM and Cisco, both of which were 10% customers
       in 2006.

In addition, Celestica is highly dependent on the communication
and information technology sectors, which combined account for
roughly 75% of total revenue.

Ratings strengths include:

    i) limited debt maturities until 2011;

   ii) a well established customer base and significant scale in
       core markets; and

  iii) positive long-term trends towards increased outsourcing
       of manufacturing services across numerous industries.

Fitch believes that a decline in operating metrics beyond that
expected during the first half of 2007 or a lack of improvement
to operations in the second half of 2007 could lead to further
negative ratings action, as could the further incurrence of
debt.  Conversely, significant improvements in operating
performance including successfully correcting customer attrition
issues could stabilize the ratings.

As of Dec. 31, 2006, liquidity was adequate with no near-term
debt maturities and was supported by approximately US$804
million of cash and cash equivalents and an undrawn US$600
million senior unsecured revolving credit facility expiring June
2007.  The leverage covenant contained within the credit
agreement currently limits the incurrence of additional debt to
approximately US$60 million.  Celestica also has a committed
agreement providing the company with the ability to sell up to
US$250 million of accounts receivable to a third party financial
institution plus additional receivables at the discretion of the
purchaser, which expires November 2007.  As of Dec. 31, 2006,
total debt was approximately US$750 million and consisted
primarily of i) US$500 million 7.875% senior subordinated notes
due 2011 and ii) US$250 million 7.625% senior subordinated notes
due 2013.

                          *     *     *

Headquartered in Toronto, Ontario, Celestica, Inc. (NYSE: CLS,
TSX: CLS/SV) -- http://www.celestica.com/-- is a world leader  
in the delivery of innovative electronics manufacturing
services.  Celestica operates a highly sophisticated global
manufacturing network with operations in Malaysia, Brazil,
China, Ireland, Italy, Japan, Philippines, Puerto Rico, and the
United Kingdom, among others, providing a broad range of
integrated services and solutions to original equipment
manufacturers.  Celestica's expertise in quality, technology and
supply chain management, enables the company to provide
competitive advantage to its customers by improving time-to-
market, scalability and manufacturing efficiency.


EKRAN BERHAD: Files Update on Loan Default as of January 2007
-------------------------------------------------------------
Ekran Bhd submitted before the Bursa Malaysia Securities Bhd an
update on its loan default status to several lenders as of
January 2007.

The company disclosed that it has already settled with RHB Bank
Bhd a debt aggregating MYR20.56 million plus interests.

In addition, Ekran told the bourse that it is in the final phase
of debt settlement with these banks:

           Lenders                   Claimed Amount
           -------                   --------------
      Pengurasan Danaharta          MYR28,426,953.08
      National Sdn Bhd

      Danaharta Managers            MYR1,217,535.25
      Sdn Bhd

      Danaharta Urus                MYR29,535,045.28
      Sdn Bhd

Meanwhile, AmBank Bhd filed a writ of summon against the company
pertaining to a loan of MYR3.08 million plus interest.  Ekran
told the bourse that it accordingly filed a defense against the
lender's summon.

                          *     *     *

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.


FEDERAL FURNITURE: Reinvents Strategies for Future Growth
---------------------------------------------------------
Federal Furniture Holdings Bhd has undergone the process of
reinventing its business strategies to position itself for
future growth, Bernama News reports, citing Federal Furniture's
group managing director, Choy Wai Hin.

"It has been a total paradigm shift in many areas of our
business model" Mr. Choy said in an interview with Bernama,
adding that the group has discarded old practices which no
longer brought any benefit so that it could move to areas where
it could grow speedily.

"In 2002 we started the process of changing our business model.  
Gone is our old business of mass-producing low end rubber wood
furniture for the U.S. market.  The basic economics of that
business model does not work for Malaysia anymore," Mr. Choy
added.

Mr. Choy also told the paper that the company instead focused
its resources and skill in areas with maximum returns like
producing specialized commercial shop fixtures such as food
service stations, merchandising counters for retailers, jewelry
display cases for jewelers, book shelves, clothes display racks,
CD display towers in music stores and food kiosks.

Federal Furniture thus seeks to penetrate major markets like
China and other parts of Asia, where the advancement of
lifestyle is evident, Bernama relates.

"We have therefore reinvented ourselves from a manufacturer of
commoditized rubber wood furniture to be a highly specialized
company producing commercial shop fixtures to branded
retailers," Mr. Choy said.

Mr. Choy, according to the report, also emphasized that they had
to revolutionize their approach in the large-scale fit out and
interior designing business to move up the value chain and
expand market share.  In this regard, yhe the company has re-
tooled its factory in Banting, Selangor by investing in computer
numeric-controlled machinery and instituting modern
methodologies.

Another potential growth area eyed by Federal Furniture is
kitchen cabinets for condominiums, apartments and high-end
dwellings, Bernama says.

To exploit this market development, Mr. Choy said the company
had teamed up with MFI, Europe's largest furniture manufacturer
and retailer, to bring in imported kitchen cabinets for its
projects.

                          *     *     *

Headquartered in Selangor Darul Ehsan Malaysia Federal Furniture
Holdings Bhd -- http://www.federal-furniture.com/-- is a listed  
company on the Kuala Lumpur Stock Exchange and is Malaysia's
premier furniture and interior design group.  It consists of
companies in all the main sectors of the furniture-related
industries, from manufacturing, marketing, exporting, contract
furnishing and interior design to retail.

On June 24, 2004, the Board of Directors of Federal Furniture
has proposed a capital reduction, a share premium reduction,
rights issue with warrants and a debt settlement scheme with
some of its financial institution lenders to restructure and
settle a substantial part of its total bank borrowings.  On July
5, 2006, the Company submitted its Regularization Plan to Bursa
Malaysia Securities Berhad for approval.

The company's balance sheet as of Sept. 30, 2006, reflected
MYR149.14 million in total assets and MYR159.09 million in total
liabilities.  Shareholders' deficit totaled MYR9.95 million.


HARVEST COURT: Unveils Proposed Regularization Plan
---------------------------------------------------
Harvest Court Bhd filed with the Bursa Malaysia Securities Bhd
its proposed regularization plan, which involves:

    -- Share Capital Reduction
    -- Share Premium Reduction
    -- Amendments
    -- Rights Issue With Warrants
    -- Land Acquisition
    -- Debt Settlement Scheme
    -- Joint Venture; and
    -- Exemption.

According to the proposal, Harvest Court would reduce the par
value of each existing HCIB Share from MYR1.00 to MYR0.25.

The company also proposed to undertake a share premium reduction
of up to MYR873,000 and that the credit gained will be utilized
towards setting-off against the unaudited accumulated losses of
the company as at September 30, 2006.

Accordingly, the company proposed to amend the articles of
association of the company in order to facilitate:

    (i) the change in the par value of the Company's ordinary
        shares arising from the Proposed Share Capital
        Reduction; and

   (ii) the adjustment in the authorized share capital of the
        company from MYR25,000,000 comprising 25,000,000
        ordinary shares of MYR1.00 each to MYR100,000,000
        comprising 400,000,000 ordinary shares of MYR0.25 each
        to accommodate the Proposed Rights Issue with Warrants,
        Proposed Land Acquisition and the Proposed Debt
        Settlement Scheme.

Meanwhile, part of Harvest Court's proposal is to issue
renounceable rights of up to a maximum of 52,820,000 new
ordinary shares of MYR0.25 each with up to 52,820,000 free
detachable warrants in HCIB on the basis of approximately 36
Rights Share for every 17 existing HCIB Shares of MYR0.25 each.

Harvest also intends to acquire four parcels of leasehold
industrial land at a total purchase consideration of
MYR5,370,000.  The acquisition will be made through the issuance
of 21,480,000 new HCIB Shares of MYR0.25 each and with
approximately 5,370,000 free detachable warrants on the basis of
one warrant for every four new HCIB Shares of MYR0.25 each
issued.

In addition, Harvest proposed to settle its MYR38,691,969 debt
with bank lenders and MYR1,387,216 debt to statutory creditors
as of Dec. 31, 2005.

According to the proposed debt settlement, Harvest will pay its
debt through:   

A. Cash Settlement

Harvest will allocate MYR1,347,934 from the proceeds from of the
Proposed Rights Issue with Warrants to repay part of the secured
portion of the amount owing to the Bank Lenders and to fully
repay the statutory debts.

B. Issuance of HCIB Shares of RM0.25 each with Warrants

The company intends to issue 69,376,800 HCIB Shares of MYR0.25
each together with 17,344,200 free detachable warrants on the
basis of one new warrant for every four new HCIB Shares.

C. Transfer of Outstanding Amounts Owing to Bank Lenders by HCIB
   Group to SPVs

In relation with the proposed debt settlement, Harvest also
intends to dispose a piece of development land, called Linngi
Land, valued at an indicative price of MYR8.5 million.  The
disposal of Linngi land is intended to satisfy the amount owed
by Harvest to MIDF Amanah Investment Bank Bhd and Affin Bank Bhd
amounting to MYR8.5 million.

Meanwhile, on January 17, 2007, Harvest Court Management Sdn
Bhd, a wholly owned subsidiary of Harvest Court, entered into a
Joint Venture Agreement with Laing Huan dan Rakan.

                       Salient Terms of Agreement

  (i) Laing Huan dan Rakan grants HCMSB the exclusive rights to
      fell, extract, harvest and remove all merchantable timber
      from the of approximately 3,000 acres of land in Sarawak
      under license to Laing.

(ii) HCMSB will supply and provide labor, logging machinery,
      tools and other equipment and materials necessary for the
      felling and extraction of the timber and the operation and
      maintenance of such machinery, tools and equipment;

(iii) HCMSB is entitled to collect and receive all payments for
      all sawn timber extracted from the Designated Area;

(iv) The profit before taxation arising from the sale of the
      sawn timber extracted from the Designated Area, after the
      deduction of all costs and expenses incurred in relation
      to the felling, harvesting, extraction, transportation and
      sale of the timber, will be shared equally between HCMSB
      and Laing Huan dan Rakan and paid out on a bi-annual
      basis, or such other period as may be mutually agreed
      between HCMSB and Laing Huan dan Rakan; and

  (v) The Proposed JV will subsist and continue for the duration
      of the License, including all renewals of the License, and
      will terminate upon the completion of the extraction of
      all merchantable timber on the Land and the sale of all
      sawn timber pursuant to such extraction.

The joint venture agreement was part of the regularization
proposal submitted by the company with the bourse.

                          *     *     *

Headquartered in Selangor, Malaysia, Harvest Court Industries
Berhad -- http://www.harvestcourt.com/-- is engaged in kiln  
drying, saw milling and manufacturing of timber doors and
related products. Other activities include development of
residential and commercial properties and jetty services and
provision of construction works and related maintenance
services.  The Group is also involved in the provision of
marketing and management services and investment in shares and
securities.  The Group operates in Malaysia and Australia.

The Group has defaulted on several loan facilities because of a
reduction in sales from 2002 onwards due to a weak global market
as a result of the Iraqi and the severe acute respiratory
syndrome, or SARS, as well as its inability to raise funds via
the equity market due to weak market sentiment.  Due to its
financial position, Harvest Court had embarked on an exercise to
restructure the Company, including a debt restructuring and
capital reduction.  The Company's proposed corporate exercise
was rejected by the Securities Commission in November 2005, on
grounds that the proposals are not comprehensive and are not
capable of resolving all financial problems of the Company.  Its
appeal to reconsider the rejection was also junked by the
Commission on February 24, 2006.

Currently, the company is classified under the Amended PN17
category of the Bursa Malaysia Securities Bhd's official list
and is therefore required to implement a plan to regularize its
finances.


JOHAN CERAMICS: SC Okays Public Bank as Takeover Adviser
--------------------------------------------------------
Malaysia's Securities Commission has approved the appointment of
Public Investment Bank Bhd as independent adviser for the
proposed takeover by Lembaga Tabung Angkatan Tentera of Johan
Ceramics Bhd.

As reported by the Troubled Company Reporter - Asia Pacific on
Jan. 31, 2007, Johan Ceramics received a notice of take-over
offer from Lembaga Tabung.

The offer was made with regard to the remaining 26,053,000
ordinary shares of MYR1.00 each not already owned by LTAT in the
company, the TCR-AP said.

                          *     *     *

Headquartered in Malaysia, Johan Ceramics Berhad --
http://johanceramics.com/-- principally engages in the  
manufacture and sale of glazed ceramic wall and floor tiles.  
The Troubled Company Reporter - Asia Pacific reported that the
Company's balance sheet as of June 30, 2006 showed that the
Company has accumulated losses of MYR36,062,000. March 31, 2006,
showed accumulated losses of MYR35.5 million in shareholders
equity.  

On June 12, 2006, the Company was classified as an affected
listed issuer under the Amended Practice Note 17 category of
Bursa Malaysia Securities Berhad's Listing Requirements after
its auditors expressed doubt on the Company's ability to
continue as a going concern and after its shareholders' equity
plunged below the listing requirement.  As an affected issuer,
the Company is required to formulate and implement a plan to
regularize its financial condition.


KAI PENG: Total Loan Default Reaches MYR10 Million as of Dec. 06
----------------------------------------------------------------
Kai Peng Bhd's total loan default as of end-December 2006 to
various loan facilities reached over MYR10 million.

                 Unsecured Borrowings

  Bank Overdrafts                          Amount
  ---------------                          ------
  EON Bank Bhd                       MYR1,046,614
  Malayan Banking Bhd                     453,036


  Term Loan
  ---------
  Utama Merchant Bank                     456,865
  Perwira Affin Bank                      154,658

  Total:                               2,129, 173


                  Secured Borrowings

  Revolving Credits                        Amount                  
  -----------------                        ------
  Malayan Banking Bhd                  MYR266,333


  Term Loan (12 months)
  ---------------------
  CIMB Bank Bhd                          450, 000
  Takaful Nasional Sdn Bhd              3,569,501


  Term Loan (more than 12 months)
  -------------------------------
  CIMB Bank Bhd                         3,593,195

  Total:                               10,008,202

                          *     *     *

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 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
MYR105.29 million in total assets and MYR142.93 million in total
liabilities, resulting to a shareholders' deficit of
MYR37.64 million.


KAI PENG: Bourse Extends Plan Filing Deadline to Feb. 14
--------------------------------------------------------
At Kai Peng Bhd's request, the Bursa Malaysia Securities Bhd
extended the company's regularization plan-filing deadline to
Feb. 14, 2007.

As a company classified under Practice Note 17 of Bursa Malaysia
Securities, Kai Peng, is required to submit a financial
regularization plan showing how it will stabilize its current
financial status with the Securities Commission and other
relevant authorities.

                          *     *    *

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 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
MYR105.29 million in total assets and MYR142.93 million in total
liabilities, resulting to a shareholders' deficit of
MYR37.64 million.


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

2P PROPERTY: Shareholders Pass Resolution to Liquidate Firm
-----------------------------------------------------------
On Dec. 20, 2006, the shareholders of 2P Property Ltd passed a
special resolution to liquidate the company's business and
appointed Stuart Douglas Robertson as liquidator.

The Liquidator can be reached at:

         Stuart Douglas Robertson
         235 Royal Road, Massey
         Auckland 0614
         New Zealand
         Telephone:(09) 831 0160
         Facsimile:(09) 831 0161
         e-mail: sdr@isolve.co.nz


DAVID GRAPHICS: Commences Liquidation Proceedings
-------------------------------------------------
On Jan. 19, 2007, the shareholders of David Graphics Ltd
resolved to liquidate the company's business and appointed Iain
Andrew Nellies and Paul William Gerrard Jenkins as joint and
several liquidators.

The Joint and Several Liquidators can be reached at:

         Iain Andrew Nellies
         Paul William Gerrard Jenkins
         Insolvency Management Limited
         Level 3, Burns House
         10 George Street (PO Box 1058), Dunedin
         New Zealand


DIAMONDS CONSTRUCTION: Faces Liquidation Proceedings
----------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against Diamonds Construction and Maintenance Ltd on Feb. 8,
2007, at 10:00 a.m.

Colourplus Eastern Hire Ltd filed the petition with the Court on
Oct. 12, 2006.

Colourplus' solicitor can be reached at:

         Malcolm Whitlock
         Debt Recovery Group NZ Limited
         149 Ti Rakau Drive
         Pakuranga, Auckland
         New Zealand


G. H. HAERI: Liquidation Hearing Set for March 27
-------------------------------------------------
On Nov. 20, 2006, Colwall Property Investment Ltd filed a
petition to liquidate G. H. Haeri Ltd before the High Court of
Auckland.

The petition will be heard on March 27, 2007, at 10:00 a.m.

Colwall's solicitor can be reached at:

         Michael Thornton
         Barrister and Solicitor
         Level 1, 75 Queen Street
         Auckland
         New Zealand


HOST INTERNATIONAL: Court Issues Liquidation Order
--------------------------------------------------
On Jan. 23, 2007, the High Court of Invercargill entered an
order to liquidate the business of Host International Ltd and
appointed Iain Andrew Nellies and Paul William Gerrard Jenkins
as joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         Iain Andrew Nellies
         Paul William Gerrard Jenkins
         Insolvency Management Limited
         Level 3, Burns House
         10 George Street (PO Box 1058)
         Dunedin
         New Zealand


KPC (NZ): Creditors' Proofs of Claim Due on February 16
-------------------------------------------------------
On Jan. 22, 2007, the shareholders of KPC (NZ) Properties Ltd
decided to liquidate its business and appointed Douglas Kim
Fisher as liquidator.

Accordingly, creditors are required to prove their claims and to
establish any priority claims by Feb. 16, 2007.

The Liquidator can be reached at:

         D. K. Fisher
         Douglas Kim Fisher
         Private Bag MBE M215, Auckland
         New Zealand
         Telephone:(09) 630 0491
         Facsimile:(09) 638 6283


PAIB INTERNATIONAL: Appoints Official Assignee as Liquidator
------------------------------------------------------------
The official assignee of PAIB International Ltd was appointed as
the company's liquidator on Jan. 25, 2007.

As reported by the Troubled Company Reporter - Asia Pacific, the
High Court of Auckland heard the liquidation petition against
the company on that day.  Lovegroves Trustee Co Ltd., filed the
petition.

The Liquidator can be reached at:

         Official Assignee
         Insolvency and Trustee Service
         Private Bag 4714, Christchurch
         New Zealand
         Telephone: 0508 467 658
         Web site: http://www.insolvency.govt.nz


PRIMED PAINTING: Court Hears Liquidation Petition
-------------------------------------------------
A petition to liquidate Primed Painting Services Ltd was heard
before the High Court of Wellington on Feb. 5, 2007.

Accident Compensation Corporation filed the petition with the
Court on Dec. 12, 2006.

Accident's solicitor can be reached at:

         Dianne S. Lester
         Maude & Miller
         2nd Floor, McDonald's Building
         Cobham Court (PO Box 50555 or DX SP 32505)
         Porirua City
         New Zealand


TURNER DEVELOPMENTS: Court Sets Liquidation Hearing on Feb. 8
-------------------------------------------------------------
A petition to liquidate Turners Developments Ltd will be heard
before the High Court of Auckland on Feb. 8, 2007, at 10:00 a.m.

The Commissioner of Inland Revenue filed the petition on Oct.
11, 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


WEIGHT WATCHERS: 8.5 Mil. Common Stock Sold in Self-Tender Offer
----------------------------------------------------------------
Weight Watchers International, Inc. disclosed the final results
of its "modified Dutch Auction" tender offer, which expired at
12:00 midnight, New York City time, on Jan. 18, 2007.  The
company has accepted for purchase an aggregate of 8,548,027
shares of its common stock at a purchase price of US$54 per
share.  The shares represent approximately 8.8% of the company's
outstanding shares as of Nov. 30, 2006.

Based on the final count by the depositary for the tender offer,
an aggregate of 8,548,027 shares were properly tendered and not
withdrawn at or below a price of US$54.  The 8,548,027 shares to
be purchased are comprised of the 8,300,000 shares the Company
offered to purchase and 248,027 shares to be purchased pursuant
to the Company's right to purchase up to an additional 2% of the
outstanding shares of common stock as of Nov. 30, 2006 without
extending the tender offer in accordance with applicable
securities laws.  Because the company has accepted all of the
shares tendered, there will not be any proration of the shares
accepted for purchase.  The depositary will promptly pay for the
shares accepted for purchase.

Additionally, on Feb. 2, 2007, the company expects to purchase
10,511,432 shares from Artal Holdings Sp. z o.o., its majority
shareholder, at a purchase price of US$54 per share.  The
company previously announced an agreement with Artal to purchase
a number of shares of common stock at the price established by
the tender offer so that Artal's percentage ownership interest
in the Company's outstanding shares of common stock after the
tender offer and such purchase from Artal will be substantially
equal to its current level.  As a result of the tender offer and
the purchase from Artal, the Company will repurchase
approximately 19.6% of its common stock outstanding as of
Nov. 30, 2006.

                     Amended Credit Facility

The company amended its senior credit facility to increase its
borrowing capacity up to an additional US$1.2 billion to finance
the purchases pursuant to the tender offer and the agreement
with Artal and to refinance certain indebtedness of its
subsidiary WeightWatchers.com, Inc.

The tender offer was made pursuant to an Offer to Purchase and
Letter of Transmittal, each dated Dec. 18, 2006, in which the
company offered to purchase up to 8.3 million shares at a price
not less than US$47 per share and not greater than US$54 per
share, that were filed as exhibits to the company's Schedule TO
filed with the Securities and Exchange Commission on Dec. 18,
2006, as amended on Jan. 11, 2007 and Jan. 19, 2007.

Credit Suisse Securities (USA) LLC was the dealer manager,
Georgeson Inc. was the information agent and Computershare Trust
Company, N.A. was the depositary for the tender offer.  All
inquiries about the tender offer should be directed to Georgeson
Inc. at (866) 785-7396 in the United States and Canada and (212)
440-9800 for all other countries.

                      About Weight Watchers

Headquartered in New York, U.S.A., Weight Watchers International
Inc. (NYSE: WTW) -- http://www.weightwatchersinternational.com/
-- provides weight management services, with a presence in 30
countries around the world, including Brazil, Netherlands, and
New Zealand.  The company serves its customers through Weight
Watchers branded products and services, including meetings
conducted by Weight Watchers International and its franchisees.

                          *     *     *

On Jan. 12, 2007, the Troubled Company Reporter - Asia Pacific
reported that Standard & Poor's Ratings Services affirmed its
'BB' corporate credit rating for Weight Watchers International
Inc.

At the same time, all WWI ratings were removed from CreditWatch,
where they were placed with negative implications on Dec. 20,
2006, reflecting WWI's increasingly aggressive financial policy
following the company's announcement that it plans to launch a
"modified Dutch auction" self-tender offer for up to 8.3 million
shares of its common stock at a price range between US$47 and
US$54 per share.

On Jan. 10, 2007, the TCR-AP reported that Moody's Investors
Service assigned a Ba1 rating to the proposed US$1.2 billion
senior secured term loan facility of Weight Watchers
International, Inc. and affirmed existing credit ratings.  The
rating outlook remains stable.


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

BENGUET CORP: Updates on Kingking Project and Estimates Costs
-------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
Oct. 11, 2006, Benguet Corp. entered into discussions with South
African investors regarding a mining project in Kingking,
Pantukan, Compostela Valley.   For the project, the company
hired Citigroup as its financial advisor.

In a filing with the Philippine Stock Exchange, Benguet Corp.
says the project has received a number of proposals that the
company is currently reviewing.  Citigroup continues to advise
the company on how best to proceed to develop the project, the
filing states.

Benguet Corp. further reveals that preliminary estimates show
that developing the copper oxide portion of Kingking will entail
a capital cost of between US$120 million to US$150 million at
10,000 to 15,000 tons per day production while that of copper
sulfide portion will entail a capital cost of between US$500
million to US$750 million at 50,000 to 70,000 tons per day
production.

According to the company, latest studies of Kingking copper
porphyry deposit indicated an estimated resource of 1.040
billion tons containing 0.306% total copper and 0.410 grams gold
per ton.  The company is applying for the conversion of the
tenement status of the copper porphyry portion of Kingking from
a Mineral Production Sharing Agreement to Financial Technical
Assistance Agreement, which application is currently being
evaluated by Mines and Geosciences Bureau.

Benguet Corporation -- http://www.benguetcorp.com/-- was   
organized to primarily engage in gold mining.  It expanded into
chromite and copper production, and then into the fields of
general engineering and industrial construction, agriculture,
shipping, banking and finance, real estate and forestry-based
ventures.

As of Sept. 30, 2006, the company's total assets stood at
PHP2.82 billion, while total liabilities amount to
PHP4.89 billion, resulting to a shareholders' equity deficit of
PHP2.07 billion.  


CLIENTLOGIC CORP: SITEL Shareholders Approve Proposed Merger
------------------------------------------------------------
ClientLogic Corp. and SITEL Corp. disclosed that at SITEL's 2006
Annual Meeting, held on Jan. 13, the company's shareholders
voted to approve the proposed merger with ClientLogic.  More
than 71.9 million, or approximately 96%, of SITEL's outstanding
common shares were voted at the meeting, with more than 97% of
voted shares voting in favor of the merger.  The merger is
expected to close in late January 2007 or early February 2007.  
The United States Federal Trade Commission, the European
Commission and the Canadian Commissioner of Competition have
cleared the merger.  Under the terms of the merger agreement
approved by SITEL shareholders, SITEL shareholders will receive
US$4.25 per share in cash.

Jim Lynch, Founder, Chairman and CEO of SITEL Corporation,
stated, "We're extremely pleased to see that our shareholders
recognize the significant value created from the merger with
ClientLogic.  I am also happy that our loyal employees have an
opportunity to join a combined company that will be a leader in
our industry for years to come.  I thank our shareholders,
clients, and employees for their years of support and
dedication."

Dave Garner, CEO and President of ClientLogic, commented, "We
look forward to the completion of the deal and the ability to
combine these two excellent companies, creating the industry
leader.  Our continued focus will be to ensure that we deliver
the utmost benefit to our valued clients, associates, and other
stakeholders."

At the annual meeting, SITEL's shareholders also voted to re-
elect current directors Rohit Desai, David Hanger and Stephen
Key as Class II directors to serve on SITEL's Board of Directors
until the closing of the merger.

                        About ClientLogic

ClientLogic Corp. -- http://www.clientlogic.com/-- is a  
business process outsourcing provider in the customer care and
back office processing industries.  ClientLogic's footprint
spans 49 facilities in the Philippines, Austria, Canada, France,
Germany, India, Mexico, Netherlands, Panama, United Kingdom, and
United States, among others.

                          *     *     *

On Jan. 11, 2007, the Troubled Company Reporter - Asia Pacific
reported that Moody's Investors Service upgraded ClientLogic
Corp.'s corporate family rating to B2 from B3.  The rating
outlook is stable.

The TCR-AP also reported that Standard & Poor's Rating Services
upgraded its corporate credit rating on ClientLogic to 'B+' from
'B', and removed the ratings from CreditWatch with positive
implications where they were placed on Oct. 20, 2006.  The
outlook is stable.


CLIENTLOGIC: Inks Multi-Year Contract Extension with DIRECTV
------------------------------------------------------------
ClientLogic signed a multi-year contract extension with DIRECTV,
Inc., to continue providing award-winning customer care and
technical support to DIRECTV's more than 15.6 million customers.  
The contract extension is the result of a successful outsourcing
partnership focused on driving customer service excellence
through industry-leading business and operational initiatives.

ClientLogic and DIRECTV began working together in 2004 with the
common goal of providing the highest level of customer care in
the industry.  ClientLogic immediately implemented a multi-level
client management team to ensure all lines of communication
between the organizations -- from strategic to tactical -- were
always open.  The "peer to peer" management team, along with
highly specialized auxiliary staff, has consistently identified
business and operational initiatives to elevate customer care
performance to the next level.

"Customer satisfaction has been the cornerstone of DIRECTV's
success since its inception and that will be an area of intense
focus in 2007," said John Suranyi, president, Sales and Service,
DIRECTV, Inc.  "ClientLogic has been a key partner in ensuring
that each of our customers has the best experience possible and
we're pleased to continue this important relationship."

"Our work with DIRECTV demonstrates ClientLogic's commitment to
developing true outsourcing relationships that move business
forward," said Julie Casteel, chief global sales and marketing
officer at ClientLogic.  "Through innovative management
practices, training programs and business strategies,
ClientLogic has become an engrained part of DIRECTV's success
and we are proud to work with a company that shares our
commitment to customer service excellence."

                       About DIRECTV

Headquartered in El Segundo, California, The DirecTV Group, Inc.
(NYSE: DTV) -- http://www.directv.com/-- provides direct  
broadcast satellite service to more than 15 million customers in
the US and more than 1.5 million customers through its DirecTV
Latin America segment.

                        About ClientLogic

ClientLogic Corp. -- http://www.clientlogic.com/-- is a  
business process outsourcing provider in the customer care and
back office processing industries.  ClientLogic's footprint
spans 49 facilities in the Philippines, Austria, Canada, France,
Germany, India, Mexico, Netherlands, Panama, United Kingdom, and
United States, among others.

                          *     *     *

On Jan. 11, 2007, the Troubled Company Reporter - Asia Pacific
reported that Moody's Investors Service upgraded ClientLogic
Corp.'s corporate family rating to B2 from B3.  The rating
outlook is stable.

The TCR-AP also reported that Standard & Poor's Rating Services
upgraded its corporate credit rating on ClientLogic to 'B+' from
'B', and removed the ratings from CreditWatch with positive
implications where they were placed on Oct. 20, 2006.  The
outlook is stable.


FIL-ESTATE CORP: Annual Stockholders' Meeting Set on March 20
-------------------------------------------------------------
Fil-Estate Corporation will hold its annual stockholders'
meeting on March 20, 2007, at 8:30 a.m., at the EDSA Shangri-La
Plaza Hotel, in Mandaluyong City.

During the meeting, stockholders of record as of Feb. 19, 2007,
will consider, among others, the approval of the company's
audited financial statements and the election of directors and
auditors.

Headquartered in Pasig City, Philippines, Fil-Estate Corporation
was originally incorporated as San Jose Oil Company, Inc. whose
primary purpose was to prospect for and market, oil, natural gas
and other minerals and secondarily invest in non-mining
corporation or other enterprises.  In July 1996, the Board of
Directors and the stockholders approved the change in the
company's primary purpose from oil exploration to that of a
holding company authorized to engage in property and
infrastructure development, as well as the increase in
authorized capital stock from PHP300 million to PHP2 billion
with par value of PHP1.00 per share.

On January 22, 1998, the Securities and Exchange Commission
approved the change in corporate name to Fil-Estate Corporation,
the change in primary purpose from oil exploration to a holding
firm, the change in par value from PHP0.01 to PHP1.00 per share,
and the declassification of the A and B shares.  The company
started engaging in infrastructure, privatization, leisure and
real estate investments through directly managed subsidiaries,
associated entities and strategic alliances.  The key investment
of Fil-Estate Corporation is in the form of equity interest in
Metro Rail Transit Holdings, Inc., and Metro Rail Transit
Holdings 2.

The Troubled Company Reporter - Asia Pacific previously reported
that Fil-Estate Corporation, as of Dec. 21, 2006, has assets
totaling US$33.30 million and total shareholders' equity deficit
of US$5.80 million.


HERTZ CORP: Seeks to Amend Term Loan & ABL Revolving Facilities
---------------------------------------------------------------
The Hertz Corp. is seeking to amend its term loan facility and
asset based revolving credit facility.

The proposed amendments would have the effect of lowering the
pricing on the Term Loan Facility by 25 basis points from the
pricing currently in effect and the ABL Facility by 25 basis
points, which should result in corresponding decreases in The
Hertz Corp.'s interest expense.

In addition to lowering the pricing, among other things, the
company is seeking to increase availability under the ABL
Facility from US$1.6 billion to US$1.8 billion and currently
intends to prepay a portion of the borrowings under the Term
Loan Facility, resulting in a reduction of the outstanding
borrowings under the Term Loan Facility from approximately
US$1.98 billion to approximately US$1.4 billion.

The proposed amendments require the consent of the lenders under
each of the Term Loan Facility and the ABL Facility.  There can
be no assurance that Hertz Corp. will receive the required
consents or be able to amend the Term Loan Facility or the ABL
Facility.

                        About Hertz Corp.

Hertz Corp. -- https://www.hertz.com/ -- the largest global car
rental company, participates primarily in the on-airport segment
of the car rental industry.  This segment, which generates
approximately 69% of Hertz's consolidated revenues, is heavily
reliant on airline traffic.  Demand tends to be cyclical, and
can also be affected by global events such as wars, terrorism,
and disease outbreaks.  Through its Hertz Equipment Rental Corp.
subsidiary (HERC, 18% of consolidated revenues), Hertz also
operates one of the larger industrial and construction equipment
renters in the U.S., along with some European locations.  Hertz
has operations in the Philippines, Hungary and Peru, among
others.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Nov. 27, 2006, that Moody's Investors Service changes the rating
outlook of The Hertz Corp. to stable from negative following the
completion of a US$1.3 billion IPO by Hertz Global Holdings,
Inc., the acquisition vehicle through which equity sponsors
Clayton, Dubilier & Rice, Inc., The Carlyle Group and Merrill
Lynch Global Private Equity acquired Hertz in December 2005.

On Nov. 24, 2006, the TCR-AP also reported that Standard &
Poor's Ratings Services affirmed its ratings on Hertz Corp.,
including the 'BB-' corporate credit rating, and removed them
from CreditWatch, where they were placed with negative
implications June 26, 2006.  The outlook is negative.


HERTZ CORP: Unit Adds 24 Locations as Part of Rental Expansion
--------------------------------------------------------------
Hertz Equipment Rental Corp. or HERC, Hertz Corp.'s industrial
equipment rental unit, added 24 General Rental locations in 2006
as part of its planned expansion in that line of equipment
rental.

Grand opening celebrations were held for all 24 locations in a
year that saw some of HERC's most well-attended events,
including the April 21, 2006, opening in Oklahoma City, which
drew more than 1,400 people; and the Oct. 13, 2006 opening in
Bakersfield, CA, which drew more than 1,200 people.  
Cumulatively, the 2006 events, held between the months of March
and October, attracted more than 14,000 attendees.

"The success of our 2006 general rental events underscores the
importance of HERC's strategic growth as a full-service
equipment rental company," says Gerry Plescia, President of
Hertz Equipment Rental Corporation.

HERC began its general rental program during 2003, in support of
its commitment to increase services and products available for
small to medium-sized contractors and homeowners.  The company
has since opened 55 general rental facilities, including 20 in
2005.  Currently, HERC has 115 locations in the U.S. and Canada
operating in the General Rental program.

HERC's general rental locations offer a broad range of products,
including lawn mowers, floor sanders and buffers, trenchers,
paint sprayers, ladders, pumps and scaffolding, as well as a
wide assortment of construction and industrial equipment from
manufacturers such as:

          -- Case,
          -- Genie,
          -- Ingersoll-Rand,
          -- JLG,
          -- John Deere,
          -- Wacker and
          -- Stihl.

                       About Hertz Corp.

Hertz Corp. -- https://www.hertz.com/ -- the largest global car
rental company, participates primarily in the on-airport segment
of the car rental industry.  This segment, which generates
approximately 69% of Hertz's consolidated revenues, is heavily
reliant on airline traffic.  Demand tends to be cyclical, and
can also be affected by global events such as wars, terrorism,
and disease outbreaks.  Through its Hertz Equipment Rental Corp.
subsidiary (HERC, 18% of consolidated revenues), Hertz also
operates one of the larger industrial and construction equipment
renters in the U.S., along with some European locations.  Hertz
has operations in the Philippines, Hungary and Peru, among
others.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Nov. 27, 2006, that Moody's Investors Service changes the rating
outlook of The Hertz Corp. to stable from negative following the
completion of a US$1.3 billion IPO by Hertz Global Holdings,
Inc., the acquisition vehicle through which equity sponsors
Clayton, Dubilier & Rice, Inc., The Carlyle Group and Merrill
Lynch Global Private Equity acquired Hertz in December 2005.

On Nov. 24, 2006, the TCR-AP reported that Standard & Poor's
Ratings Services affirmed its ratings on Hertz Corp., including
the 'BB-' corporate credit rating, and removed them from
CreditWatch, where they were placed with negative implications
June 26, 2006.  The outlook is negative.


SITEL CORP: Posts US$1.8-Mln. Net Loss in Quarter Ended Sept. 30
----------------------------------------------------------------
Sitel Corp. reported a US$1.8 million net loss on
US$274.5 million of revenues for the third quarter ended
Sept. 30, 2006, compared with a US$1.9 million net loss on
US$244 million of revenues for the same period in 2005.

Revenue increased US$30.5 million primarily due to revenue
increases in Europe of US$34.1 million and Latin America of
US$4.3 million, partly offset by decreases in North America of
US$5.6 million and Asia Pacific of US$2.3 million.

The revenue increases in Europe and Latin America resulted from
higher sales volumes from new and existing clients.

North American revenue decreased in view of a decrease of
US$23.8 million resulting from the loss of General Motors,
partly offset by US$18.2 million of revenue growth primarily in
customer care, customer acquisition and risk management.

Lower sales volumes from existing clients in Asia Pacific
resulted in US$1.7 million of the decrease.

Direct labor and telecommunications expenses increased
US$26.2 million, or 17.8%, for the three months ended Sept. 30,
2006, compared to the same period of 2005.  The increase was
primarily the result of higher ramp-up costs of new client
programs, particularly in Europe, and a change in the mix of
services provided in the three months ended Sept. 30, 2006,
compared to the same period in 2005.

Subcontracted and other services expenses decreased
US$1.7 million for the three months ended Sept. 30, 2006,
compared to the same period of 2005 primarily as the result of
lower subcontracted IT costs to support client programs
partially offset by higher subcontracted services provided by
the company's India joint venture.

Operating, selling and administrative expenses increased
US$6.3 million for the three months ended Sept. 30, 2006,
compared to the same period of 2005.  The weakening of the U.S.
dollar compared to the primary currency in the jurisdictions
that the company operates in accounted for US$1.8 million of the
increase. The remainder of the increase was associated with the
revenue increase.

The company recorded restructuring expenses of US$4.6 million
for the three months ended Sept. 30, 2005.  There were no
restructuring expenses for the same period in 2006.

Other income, net decreased US$500,000 for the three months
ended Sept. 30, 2006, compared to the same period in 2005
primarily as a result of fluctuations in foreign currency
remeasurement gains  arising from monetary assets and
liabilities denominated in currencies other than the business
unit's functional currency.

During the three months ended Sept. 30, 2005, the company
recorded a non-cash tax benefit of approximately US$5.8 million,
which is included in income tax benefit in the consolidated
condensed statements of operations.  This tax benefit results
from the release of a valuation allowance associated with
deferred tax assets in one of the European business units.  The
decision to release this valuation allowance was based on a
sustained improvement of earnings combined with an improved
financial outlook for the business unit.  The improved financial
situation led management to decide that the tax losses in the
business unit would be fully utilized before they expire.

At Sept. 30, 2006, the company's balance sheet showed
US$419.2 million in total assets, US$279.1 million in total
liabilities, US$6.3 million in minority interests, and
US$133.8 million in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2006, are available
for free at http://researcharchives.com/t/s?1887

              Merger Agreement with ClientLogic Corp.

On Oct. 13, 2006, the company and ClientLogic Corporation
disclosed that they have signed a definitive merger agreement.  
Under the terms of the agreement, a newly formed subsidiary of
ClientLogic will merge with the company and pay US$4.05 per
share in cash for all of the outstanding common stock of the
company.  The board of directors of each company has unanimously
approved the transaction.  The transaction is expected to be
completed in the first quarter of 2007 and is subject to
customary closing conditions, including approval of the
company's shareholders and regulatory clearances.  The company's
board of directors has recommended to its shareholders that they
vote in favor of the transaction.  

                        About Sitel Corp.                     

Sitel Corp.(NYSE:SWW) -- http://www.sitel.com/-- provides  
outsourced customer support services.  On behalf of many of the
world's leading organizations, SITEL designs and improves
customer contact models across its clients' customer
acquisition, retention and development cycles.  SITEL manages
approximately two million customer interactions per day via the
telephone, e-mail, Internet and traditional mail.   SITEL has
over 42,000 employees in 101 global contact centers, utilizing
more than 32 languages and dialects to serve customers in 56
countries.  The company has operations in the Philippines,
Finland and Colombia.

                          *     *     *  

Sitel Corp. carries Standard & Poor's Rating Services 'B'
corporate credit rating.


SITEL CORP: ClientLogic Closes Merger with Company
--------------------------------------------------
ClientLogic Corp. has completed its acquisition of SITEL Corp.
by merger.  Under the terms of the definitive agreement
announced in October 2006, ClientLogic paid US$4.25 per share in
cash for all of the outstanding common stock of SITEL.  SITEL's
shareholders approved the acquisition on Jan. 12, 2007.

The combined company is headquartered in Nashville and has over
65,000 associates across 28 countries.  Providing world-class
solutions from on-shore, nearshore and offshore locations across
145+ facilities throughout North America, South America, EMEA
and Asia Pacific generates the combined company's revenue of
US$1.8 billion.  The company is privately held and majority
owned by Canadian diversified company, Onex Corporation.  Dave
Garner, formerly President and CEO of ClientLogic, is the
President and CEO of the combined company.

"Today's closing is an important event for our clients,
associates and the industry," said Mr. Garner.  "The combined
company is one of the largest providers of customer care and
transaction processing services in the Business Process
Outsourcing (BPO) market.  As companies increasingly turn to
trusted BPO partners to manage their customer care and
transaction processing needs, qualities like adaptability, a
large menu of services, a deep bench of expertise and expansive
geographic reach are a requirement.  The new company is ideally
positioned to meet these needs."

The merger brings together two synergistic companies with a
similar focus on serving clients' business process outsourcing
needs.  Clients will benefit from:

   * Delivery of maximum return on customer investment by
     reducing service costs, increasing revenue per customer
     and increasing customer retention;

   * Utilization of the Right-Shore strategy, leveraging
     multi-shore facilities to serve clients from various
     locations, offering a reliable, cost-efficient and
     flexible customer management strategy;

   * Expanded capacity, a larger geographic footprint and a
     more advanced communications network, offering greater
     flexibility and choice for clients' customer service
     needs;

   * Additional complementary service offerings, providing the
     ability to expand and centralize customer care initiatives.
     The new company's offerings include: customer service,
     technical support services, sales and retention programs,
     back-office processing and receivable/collections; and

   * Access to a team with deep industry domain experience
     across multiple verticals, providing clients with strategic
     insight into their business and how to best achieve
     measurable results.

Mr. Garner concludes, "The two companies are a great fit,
sharing like-minded industry focus and service-oriented
cultures.  Moving forward, we will continue to provide top-
quality service to all clients and a positive work environment
for all associates.  The new company will quickly align talent,
processes and technology to achieve maximum client, associate
and corporate success."

                        About ClientLogic

ClientLogic Corp. -- http://www.clientlogic.com/-- is a  
business process outsourcing provider in the customer care and
back office processing industries.  ClientLogic's footprint
spans 49 facilities in 13 countries: Austria, Canada, France,
Germany, India, Ireland, Mexico, Morocco, The Netherlands,
Panama, Philippines, United Kingdom and the United States.

                        About Sitel Corp.

Sitel Corp. (NYSE:SWW) -- http://www.sitel.com/-- provides  
outsourced customer support services.  On behalf of many of the
world's leading organizations, SITEL designs and improves
customer contact models across its clients' customer
acquisition, retention and development cycles.  SITEL manages
approximately two million customer interactions per day via the
telephone, e-mail, Internet and traditional mail.   SITEL has
over 42,000 employees in 101 global contact centers, utilizing
more than 32 languages and dialects to serve customers in 56
countries including Argentina, Denmark, Panama, Philippines, and
the United Kingdom, among others.

                          *     *     *

Sitel Corp. carries Standard & Poor's Rating Services 'B'
corporate credit rating.


VICTORIAS MILLING: Names New Members and Officers of Board
----------------------------------------------------------
Victorias Milling Company Inc., at its annual stockholders'
meeting on Feb. 6, elected 11 members of the company's board of
directors:

   Representing the Existing Stockholders:

      1. Abelardo E. Bugay
      2. Norberto B. Capay
      3. Wilson T. Young

   Representing the Secured Creditors:

      4. Anna Rosario V. Paner

   Representing the Creditors with Debt Conversion (Unsecured
   Creditors):

      5. Cecilia C. Borromeo
      6. Jose M. Chan, Jr.
      7. Jaime C. Laya
      8. Omar Byron T. Mier
      9. Armando O. Samia
     10. Hubert D. Tubio

   Representing the Joint Venture Partner:

     11. Mariano C. Tanenglian

Among the members, these individuals were elected as officers of
the board:

   Omar Byron T. Mier: Chairman of the Board
   Jose M. Chan, Jr.: Vice Chairman of the Board
   Abelardo E. Bugay: President
   Cecilia C. Borromeo: Treasurer
   Nilo A. FlorCruz: Vice President for Manufacturing
   Teresita V. Ilagan: Controller
   Santiago T. Gabionza, Jr.: Corporate Secretary
   Atty. Eva A. Vicencio-Rodriguez: Assistant Corporate
                                    Secretary & Compliance &
                                    Information Officer

Headquartered in Victorias City, Bacolod, Victorias Milling
Company Inc. -- http://www.victoriasmilling.com/-- was   
organized in 1919 and is engaged in the acquisition,
construction, maintenance and operation of sugar mills, as well
as other related business activities.  Through the years, the
company has expanded its operations to include a foundry, a
machine shop, a fabrication shop, a food canning company, an
organic fertilizer plant and a piggery.

On July 4, 1997, the Company filed an application with the
Securities and Exchange Commission to suspend payments to
creditors.  On July 8, 1997, the SEC issued a stay order
restraining all Victorias Milling creditors or any of its
subsidiaries from enforcing their claims, to allow the Company
or any of its subsidiaries to continue to their normal business
operations.  The SEC also ordered the formation of a Management
Committee to oversee the Company's operations and
rehabilitation.

The Management Committee was tasked to submit a feasible and
viable rehabilitation plan for VMC.

The Company is currently undergoing debt restructuring.

As reported in the Troubled Company Reporter - Asia Pacific on
Jan. 12, 2007, auditing firm C.L. Manabat & Co., after auditing
VMC's financial statements for the years-ended Aug. 31, 2006,
and 2005, raised doubt in the company's ability to continue as a
going concern entity.


WEST CORP: US$165 Million Add-on Cues S&P to Affirm B+ Rating
------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B+' loan and
'2' recovery ratings on the senior secured first-lien bank
facility of business process outsourcer West Corp., after the
report that the company will add US$165 million to its first-
lien term loan.  The bank loan rating recovery of principal in
the event of a payment default.  Pro forma for the proposed add-
on term loan, the facility will consist of a US$250 million
revolving credit facility due 2012 and a US$2.215 billion term
loan B due 2013.

Proceeds from the proposed add-on term loan will be used to
finance the acquisitions of TeleVox Software Inc. and CenterPost
Communications Inc.  TeleVox provides communication and
automated messaging services to the health care industry.  
CenterPost provides self-service automated notification
services.

Ratings List:

   * West Corp.

      -- Corporate Credit Rating at B+/Stable/

Ratings Affirmed:

   * West Corp.

      -- Senior Secured US$2.47 Bil. Sr. Second First-Lien
         Facilities affirmed at B+
   
      -- Recovery Rating affirmed 2

Based in Omaha, Nebraska, West Corporation --
http://www.west.com-- is a leading provider of business process  
outsourcing services.  The company reported revenues of US$1.7
billion for the 12-month period ending June 30, 2006.  West
operates through 3 business segments: communication services
(55% of revenues), conferencing services (32% of revenues) and
receivable management (13% of revenues).

The company has operations in the Philippines, Mexico and
Jamaica.


WEST CORP: Posts US$496.4MM Revenues in Qtr. Ended Dec. 31, 2006
----------------------------------------------------------------
West Corp. disclosed its fourth quarter and full year 2006
results.

"We are pleased with how we finished the year.  Our 2006
consolidated revenue was in line with the updated guidance
provided on April 6," said Thomas B. Barker, Chief Executive
Officer of West Corporation. "The integration of our recent
acquisitions is progressing well and we are achieving the
synergies we expected."

                 Consolidated Operating Results

For the fourth quarter ended Dec. 31, 2006, revenues were
US$496.4 million compared with US$404.8 million for the same
quarter last year, an increase of 22.6 percent.  Revenue from
acquired entities accounted for US$68.9 million of this
increase.  Organic growth in revenue for the fourth quarter was
US$22.7 million, an increase of 5.6 percent.

For the year ended Dec. 31, 2006, revenues were
US$1,856.0 million compared with US$1,523.9 million for 2005, an
increase of 21.8 percent. Revenue from acquired entities2
accounted for US$235.1 million of this increase.  Organic
revenue growth for 2006 was US$97.0 million, an increase of
6.4 percent.

                 Balance Sheet and Liquidity

At Dec. 31, 2006, West Corp. had cash and cash equivalents
totaling US$214.9 million and working capital of
US$128.6 million.  Stock purchase obligations of approximately
US$170.6 million related to the company's recapitalization
remain outstanding and are included in current liabilities.  
Fourth quarter depreciation expense was US$25.7 million and
amortization expense was US$11.5 million.  Cash flow from
operating activities was US$(32.1) million and was impacted by
interest expense of US$65.7 million and recapitalization
transaction expense of US$73.2 million for the fourth quarter.
Adjusted EBITDA for the fourth quarter was US$141.5 million, or
28.5% of revenue.  A reconciliation of adjusted EBITDA to cash
flow from operating activities is presented below.

Cash flow from operating activities for 2006 was
US$196.6 million, compared with US$276.3 million for 2005.  
Interest expense for 2006 was US$94.8 million.  Recapitalization
transaction expense for 2006 was US$78.8 million.  Adjusted
EBITDA for 2006 was US$501.9 million, an increase of
31.5 percent, versus US$381.6 million in 2005.  Adjusted EBITDA
as a% of revenue grew to 27.0% in 2006 from 25.0% in 2005.  A
reconciliation of adjusted EBITDA to cash flow from operating
activities is presented below.

During the quarter, West incurred US$3.2 billion of debt in
connection with the recapitalization of the company.  The
previous outstanding debt of US$665 million was repaid at the
closing of the recapitalization. At Dec. 31, 2006, there were no
borrowings under the US$250 million revolving line of credit.

The company is seeking an amendment to its existing term loan
facility to reduce the margin over LIBOR that the company pays
as interest on its term loan.  The amendment may also
potentially increase the size of the term loan facility by up to
US$165 million.  The balance of its outstanding term loan as of
Dec. 31, 2006 was US$2.1 billion.  Approval of the amendment may
require approval of the existing lenders, and there can be no
assurance that the company will be able to obtain such approval.

"During the quarter, we invested US$21.1 million in capital
expenditures for equipment and infrastructure and to expand
facilities domestically," stated Paul Mendlik, Chief Financial
Officer of West Corporation. "For the year, our capital
expenditures totaled US$83.4 million, or 4.5% of revenues,
excluding the purchase of a building for US$30.5 million which
had previously been subject to a synthetic lease."

                        Acquisitions

The company has agreed to acquire TeleVox Software, Inc. and
CenterPost Communications in separate transactions.

TeleVox and CenterPost are fast-growing firms in the large and
rapidly growing notifications market.

   * TeleVox is a leading provider of communication and
     automated messaging services to the healthcare industry,
     serving over 12,000 customers and 11 of the nation's top
     14 hospitals.  TeleVox offers a full suite of high-quality
     customer communication products, including message
     delivery, inbound inquiry, website design and hosting and
     secure online communication portals.  TeleVox helps its
     customers effectively communicate with their patients,
     reducing no-shows and improving the overall patient
     experience.

   * CenterPost Communications is a leading provider of
     self-service automated notification solutions.  The
     company's applications allow clients to efficiently send
     automated communications to their customers via voice,
     E-mail, fax, wireless text and instant messaging utilizing
     CenterPost's patented preference management functionality.
     CenterPost's solutions are designed to help companies
     effectively acquire, retain and care for their customers by
     enabling timely and relevant communication.  CenterPost
     serves Fortune 500 companies in the pharmaceutical, travel,
     insurance and financial services industries.

Both TeleVox and CenterPost generate high-quality revenue with
exceptional visibility.  The multi-year nature of their customer
relationships result in significant recurring revenue.  Adding
both firms to West further diversifies the company's base of
clients and brings additional vital and valuable transactions to
West.  The scale that West brings to these transactions along
with the anticipated growth is expected to result in strong
margins for the company.

The total cost of both transactions before transaction expenses
and working capital adjustments is approximately US$161 million.  
The 2007 pro forma EBITDA for these acquisitions is expected to
be approximately US$16 million.  The company's pro forma
leverage ratio after the acquisitions, as of Dec. 31, 2006, is
6.2, compared with 6.0 without these acquisitions.  The
transactions are expected to be funded with cash on hand and the
company's existing line of credit.  The CenterPost transaction
is expected to close on Feb. 1, 2007 and the TeleVox transaction
is expected to close on March 1, 2007 and is subject to
customary regulatory approval.

The company has estimated that automated notifications will
represent a market opportunity of over US$1 billion by 2009.  
Although the market is currently fragmented with no clear
leader, West is making a significant commitment to this market
with today's announcement.

"This market and these two firms are a great fit with West's
strengths. The businesses revolve around managing voice-oriented
transactions and offer a strong recurring revenue model with
solid margins.  Both companies are growing fast and have great
profitability.  West brings economies of scale, access to
critical capital investment and expertise in developing large
and successful sales organizations.  By adding TeleVox and
CenterPost into the West Interactive suite of services, West has
the products, scalability, systems and sales team firmly in
place to be the leader in this industry.  We expect this
combination to drive value well into the future," stated Mr.
Barker.

                        2007 Guidance

For 2007, the company expects revenues of US$2.05 to
US$2.13 billion, adjusted EBITDA of US$540 to US$560 million and
capital expenditures of US$90 to US$110 million.  This guidance
includes TeleVox and CenterPost results and assumes no other
acquisitions or additional changes in the current operating
environment.

Based in Omaha, Nebraska, West Corporation --
http://www.west.com/-- is a leading provider of business  
process outsourcing services.  The company reported revenues of
US$1.7 billion for the 12-month period ending June 30, 2006.  
West operates through 3 business segments: communication
services (55% of revenues), conferencing services (32% of
revenues) and receivable management (13% of revenues).

The company has operations in Manila, Philippines, Mexico and
Jamaica.

On Oct. 4, 2006, the Troubled Company Reporter - Asia Pacific
reported that Moody's Investors Service assigned to West
Corporation:  

   -- a Ba3 first time rating US$2.35 billion senior secured
      credit facility ($2.1 billion term loan and US$250 million
      revolver),

   -- Caa1 ratings to both the company's US$650 million of
      senior unsecured notes and US$450 million of senior
      subordinated notes, and a

   -- a B2 corporate family rating.


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

CHINA FAR EAST: Enters Wind-Up Proceedings
------------------------------------------
The High Court of Singapore issued an order on Jan. 26, 2007, to
wind up the operations of China Far East International
Enterprise Pte Ltd.

A.N. Technology Pte Ltd filed the wind-up petition against the
company.

The liquidator can be reached at:

         Veerappan Subramanian
         Veera & Associates
         105 Cecil Street, #13-02
         The Octagon
         Singapore 069534


COSELSING PTE: Creditors' Meeting Set for Feb. 16
-------------------------------------------------
Coselsing Pte Ltd, which is in compulsory liquidation, will hold
a meeting for its creditors on Feb. 16, 2007, at 10:30 a.m., at
8 Cross Street #17-00 in PWC Building, Singapore 048424.

At the meeting, the creditors will:

   -- receive the liquidator's report showing how the
      wind-up was conducted;

   -- approve the remuneration of the liquidators and
      disbursements; and

   -- discuss other matters.

The liquidator can be reached at:

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


LEAR CORP: B2 Rating on Moody's Review for Possible Downgrade
-------------------------------------------------------------
Moody's Investors Service placed the long term ratings of Lear
Corporation, corporate family rating at B2, under review for
possible downgrade.  The company's speculative grade liquidity
rating of SGL-2 has been affirmed.

The action follows disclosure that American Real Estate Partners
LP, an affiliate of Carl C. Icahn, has made an offer to acquire
all of the common stock of Lear.  The offer would value Lear's
equity at approximately US$2.6 billion.

Lear has reported that its board of directors may formally
consider the proposal following any negotiations between the
parties.  Funds controlled by Mr. Icahn held approximately
15.77% of Lear's stock following their investment of US$200
million in newly issued shares during the fourth quarter of
2006.  Mr. Vincent Intrieri represents Mr. Icahn's interests on
Lear's board of directors and is one of 11 members of the board.  

The review will focus on the prospective impact to Lear's credit
metrics and financial strategies which may result should a
transaction be agreed.  In particular, it will consider the
extent of any leverage deployed, the resultant impact on cash
flows, as well as any related terms and conditions.

Lear's current ratings include a B2 Corporate Family Rating with
a stable outlook and a Speculative Grade Liquidity rating of
SGL-2. US$1 billion of secured bank term loans are rated B2
(LGD-2, 50%) with some US$1.4 billion of unsecured notes rated
B3 (LGD-4, 61%).  Change in control provisions under the bank
documentation would be triggered were the transaction to
proceed.  Provisions in Lear's US$900 million of new unsecured
notes issued in late 2006 (US$300 million due in 2013 and US$600
million due in 2016) deem funds controlled by Mr. Icahn as a
"Permitted Holder" and would not have a change in control event.

Indentures covering Lear's US$0.5 billion of other unsecured
notes would permit a change of control provided Lear is the
surviving corporation and the merger would be with a domestic
corporation.  Indentures for the unsecured notes contain
differences in permissible lien baskets and could fare
differently with respect to security arrangements in a
prospective capital structure.

                      About Lear Corporation

Headquartered in Southfield, Michigan , Lear Corporation (NYSE:
LEA) -- http://www.lear.com/-- supplies automotive interior    
systems and components.  Lear provides complete seat systems,
electronic products and electrical distribution systems and
other interior products.

Lear has operations in these Asian countries: Singapore, China,
India, Japan, the Philippines and Thailand.


MEWASA PTE: Pays Dividend to Creditors
--------------------------------------
Mewasa Pte Ltd paid the first and final dividend to its
creditors on Jan. 30, 2007.

The company paid 7.60% to all received claims.

The liquidator can be reached at:

         The Official Receiver
         The URA Centre (East Wing)
         45 Maxwell Road #06-11
         Singapore 069118


PETROLEO BRASILEIRO: Launching Cubatao Plant Construction
---------------------------------------------------------
Brazilian state-owned oil firm Petroleo Brasileiro said in a
statement that it will start constructing the 160-megawatt
Cubatao gas-fired power generation plant.

Petroleo Brasileiro told Business News Americas that the plant
is situated in Cubatao, Sao Paulo, close to port Santos.  It
will start operating in 2008.

BNamericas relates that Cetesb, Sao Paulo's state environmental
protection agency, awarded a full environmental license for the
project in May 2006.

Cubatao will be a co-generation plant that will generate power
from the burning of natural gas and from steam, 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, 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.


PETROLEO BRASILEIRO: Aims for 1.92MM Barrels Per Day Oil Output
---------------------------------------------------------------
Brazilian state oil Petroleo Brasileiro's exploration and
production director Guilherme Estrella told news daily Valor
Economico that the company has targeted 1.92 million barrels per
day of average output for this year.

Petroleo Brasileiro will depend on eight new oil production
projects to reach the goal, Valor Economico notes, citing Mr.
Estrella.

According to Valor Economico, this year's target is 8% greater
than the 1.78 million barrels per day average in 2006.

Valor Economico underscores that new production units coming on
line include:

          -- P-52 semi-submersible platform,

          -- P-54 floating, production, storage and offloading
             vessel (FPSO), and

          -- Piranema FPSO.

The units will have combined capacity of 390,000 barrels per
day, Valor Economico says.

Business News Americas relates that Petroleo Brasileiro raised
on Jan. 19 its overall investment budge for this year to BRL55
billion, from the BRL47.5 billion disclosed earlier.

Petroleo Brasileiro had said in a statement that its exploration
and production budget increased to BRL25.9 billion from BRL23.5
billion.

BNamericas emphasizes that the BRL23.5 billion previously
disclosed for exploration and production included BRL21 billion
in direct Petroleo Brasileiro investments and BRL2.3 billion
through joint ventures.

The budget was increased to accelerate some development projects
including the natural gas initiative under Plangas, Brazil's gas
supply boost program, Petroleo Brasileiro told BNamericas.

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.


PROGEN ENGINEERING: Court to Hear Wind-Up Petition on Feb. 16
-------------------------------------------------------------
Chua Aik Kia -- trading as Uni Sanitary Electrical Construction
-- filed a petition on Jan. 22, 2007, to wind up operations of
Progen Engineering Pte Ltd.

The High Court of Singapore will hear the petition on Feb. 16,
2007, at 10:00 a.m.

Chua Aik's solicitor can be reached at:

         WongPartnership
         One George Street #20-01
         Singapore 049145


SEA CONTAINERS: Files Amended November 30 Balance Sheet
-------------------------------------------------------
Sea Containers Ltd., Sea Containers Services Ltd., and Sea
Containers Caribbean Inc., filed on Jan. 24, 2007, with the
Court an amendment to their November 2006 monthly operating
report, restating certain balance sheet information.

                     Sea Containers, Ltd.
                    Unaudited Balance Sheet
                    As of November 30, 2006

                            Assets

Current assets
   Cash and cash equivalents                      US$56,007,964
   Trade receivables, less allowances
      for doubtful accounts                           1,917,770
   Due from related parties                           8,201,195
   Prepaid expenses and other current assets          6,524,397
                                                   ------------
      Total current assets                           72,651,326

Fixed assets, net                                             -

Long-term equipment sales receivable,                         -
Investment in group companies                                 -
Intercompany receivables                                      -
Investment in equity ownership interests            202,366,216
Other assets                                          3,378,541
                                                   ------------
Total assets                                     US$278,396,083
                                                   ============

             Liabilities and Shareholders' Equity

Current liabilities
   Accounts payable                                US$2,809,381
   Accrued expenses                                  29,436,083
   Current portion of long-term debt                 26,795,063
   Current portion of senior notes                  385,069,151
                                                   ------------
      Total current liabilities                     444,109,678

Total shareholders' equity                         (165,713,595)
                                                   ------------
Total liabilities and shareholders' equity       US$278,396,083
                                                   ============

Headquartered in Hamilton, Bermuda, Sea Containers Ltd. (NYSE:
SCRA, SCRB) -- http://www.seacontainers.com/-- provides  
passenger and freight transport and marine container leasing.  
Registered in Bermuda, the company has regional operating
offices in London, Genoa, New York, Rio de Janeiro, Sydney, and
Singapore.  The company is owned almost entirely by United
States shareholders and its primary listing is on the New York
Stock Exchange (SCRA and SCRB) since 1974.  On October 3, the
company's common shares and senior notes were suspended from
trading on the NYSE and NYSE Arca after the company's failure to
file its 2005 annual report on Form 10-K and its quarterly
reports on Form 10-Q during 2006 with the U.S. Securities and
Exchange Commission.

Through its GNER subsidiary, Sea Containers Passenger Transport
operates Britain's fastest railway, the Great North Eastern
Railway, linking England and Scotland.  It also conducts ferry
operations, serving Finland and Estonia as well as a commuter
service between New York and New Jersey in the U.S.

Sea Containers Ltd. and two subsidiaries filed for chapter 11
protection on Oct. 15, 2006 (Bankr. D. Del. Case No. 06-11156).  
Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor
represents the Debtors in their restructuring efforts.  When the
Debtors filed for protection from their creditors, they reported
US$1.7 billion in total assets and US$1.6 billion in total
debts.  (Sea Containers Bankruptcy News, Issue No. 10;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


UNITED TEST: Moody's Affirms Ba3 Ratings with Stable Outlook
------------------------------------------------------------
Moody's Investors Service has affirmed its Ba3 senior unsecured
rating for United Test and Assembly Center Ltd's US$190 million
convertible bonds.  At the same time, Moody's has affirmed its
Ba3 corporate family rating for UTAC, removing both ratings from
their provisional status.  The ratings outlook is stable.

"The rating action follows the company's repayment with bond
proceeds of the US$175M bridge loan for its acquisition of NS
Electronics Bangkok," says Ken Chan, a Moody's AVP/Analyst.

"Furthermore, UTAC's recently announced results for FY2006 are
in line with Moody's expectations with revenue growth of around
75% and EBITDA growth of around 65%, partially due to the
consolidation of NSEB," says Chan.

"Moody's also expects UTAC to maintain its unique position as a
memory-centric assembly and test company, generating above-
industry profitability," adds Chan.

                           About UTAC

United Test and Assembly Center Ltd, based in Singapore and
listed on the Singapore Stock Exchange since 2004, is an
independent provider of test and assembly services for
semiconductor devices, including memory, mixed-signal and logic
integrated circuits.

The company has manufacturing facilities in Singapore, China
(Shanghai), Taiwan and Thailand, and a global sales network in
Singapore, Thailand, Taiwan, the US, Italy, Korea and Japan.


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

DOLE FOOD: Posts US$56.1 Million Net Loss in Period Ended Oct. 7
----------------------------------------------------------------
Dole Food Company Inc. reported a US$56.1 million net loss on
US$1.8 billion of revenues for the third quarter ended Oct. 7,
2006, compared with US$17.6 million of net income on
US$1.6 billion of revenues for the third quarter ended Oct. 8,
2005.

Revenues increased as a result of higher sales in the company's
fresh fruit, fresh vegetables and packaged foods operating
segments.

The net loss is primarily due to an operating loss of
US$22 million in the third quarter of 2006, compared to an
operating income of US$26.7 million earned in the prior year,
due to lower operating results from the company's fresh-cut
flowers, packaged foods and fresh fruit operating segments, and
the US$15.7 million increase in interest expenses as a result of
additional borrowings and higher effective market-based
borrowing rates on the company's debt facilities.

At Oct. 7, 2006, the company's balance sheet showed
US$4.5 billion in total assets, US$4.1 billion in total
liabilities, US$23.6 million in minority interests, and
US$378.3 million in total stockholders' equity.

In the three quarters ended Oct. 7, 2006, cash flows provided by
operating activities were US$85.3 million lower, primarily due
to lower earnings and lower payables, due in part to the 2005
accrual of income taxes payable related to the provision on
repatriated foreign earnings, as well as the timing of payments,
partially offset by lower levels of expenditures for inventory,
primarily in the packaged foods business due to lower inventory
build, and higher accrued liabilities due in part to the timing
of payments.

Cash flows used in investing activities decreased
US$41.9 million during 2006 primarily due to the first quarter
2005 payment of US$47.1 million to Saba shareholders in
connection with the company's purchase of the remaining 40%
minority interest.

Cash flows provided by financing activities increased
US$63.8 million due to higher current year debt borrowings of
US$155.3 million, net of repayments and an equity contribution
of US$28.4 million made by Dole Holding Company, LLC, the
company's immediate parent during 2006.  These items were offset
by an increase in dividends of US$89.8 million paid to Dole
Holding Company, LLC, during 2006 compared to 2005 as well as a
distribution of additional paid-in capital to Dole Holding
Company, LLC during the third quarter of 2006 of US$31 million.

            Fresh-cut Flowers Business Restructuring

During the third quarter of 2006, the company restructured its
fresh-cut flowers division to better focus on high-value
products and flower varieties, and position the business unit
for future growth.  In connection with this restructuring, the
fresh-cut flowers division has ceased its farming operations in
Ecuador and will close two farms in Colombia and downsize other
Colombian farms.

During the third quarter ended Oct. 7, 2006, total restructuring
and impairment costs incurred amounted to approximately US$5.9
million and US$22.3 million, respectively.  The US$5.9 million
of restructuring costs relate to approximately 3,500 employees
who will be severed by the end of fiscal 2007.  As of Oct. 7,
2006, no restructuring costs had been paid.

                 Restructuring of Saba Business

During the first quarter of 2006, the commercial relationship
substantially ended between the company's wholly owned
subsidiary, Saba Trading AB and Saba's largest customer.  Saba
imports and distributes fruit, vegetables and flowers in
Scandinavia.  Saba's financial results are included in the fresh
fruit reporting segment.

The company restructured certain lines of Saba's business and
expects to incur approximately US$13 million of total related
costs.  Total restructuring and fixed asset write-offs incurred
as of Oct. 7, 2006, amounted to approximately US$10.1 million,
of which US$7.7 million is included in cost of products sold and
US$2.4 million in selling, marketing, and general and
administrative expenses in the condensed consolidated statements
of operations.  Total restructuring costs of US$9.6 million
include US$7.9 million of employee severance costs, which
impacted 245 employees as well as US$1.7 million of contractual
lease obligations.  Fixed asset write-offs of US$0.5 million
were also incurred as a result of the restructuring.

                Write-off of Crop Related Costs

In connection with the company's on-going farm optimization
programs in Asia, approximately US$6.7 million of crop related
costs were written-off during the third quarter of 2006.  The
US$6.7 million non-cash charge has been included in cost of
products sold in the condensed consolidated statements of
operations.

          Amendment and Restatement of Credit Facilities

On April 12, 2006, the company completed an amendment and
restatement of its senior secured credit facilities.  The
company obtained US$975 million of term loan facilities
consisting of:

    * US$225 million related to "Term Loan B;"
    * US$750 million related to "Term Loan C;" and
    * US$100 million in a pre-funded letter of credit facility.

The proceeds of the term loans were used to repay the
outstanding term loans under the company's then existing senior
secured credit facilities which consisted of Term Loan A,
denominated in Japanese yen, and Term Loan B.  In addition, the
company paid a dividend of US$160 million during the second
quarter of 2006 to its immediate parent, Dole Holding Company,
LLC, which proceeds were used to repay its Second Lien Senior
Credit Facility.  The weighted average variable interest rate at
Oct. 7, 2006, for the term loan facilities was 7.5%.

In addition, the Company entered into a new asset based
revolving credit facility of US$350 million.  The facility is
secured and is subject to a borrowing base consisting of up to
85% of eligible accounts receivable plus a predetermined
percentage of eligible inventory, as defined in the credit
facility.  As of Oct. 7, 2006, the ABL revolver borrowing base
was US$305.6 million and the amount outstanding under the ABL
revolver was US$111.2 million.  The weighted average variable
interest rate at Oct. 7, 2006, for the ABL revolver was 7.7%.

                    Interest Rate Swap Agreement

During June 2006, the company entered into an interest rate swap
agreement in order to hedge future changes in interest rates.  
This agreement effectively converted US$320 million of
borrowings under Term Loan C, which is variable-rate debt, to a
fixed rate basis through June 2011.  The interest rate swap
fixed the interest rate at 7.2%.  The fair value of the interest
rate swap was a liability of US$6.2 million at Oct. 7, 2006.

Simultaneously, the company executed a cross currency swap to
synthetically convert US$320 million of Term Loan C into
Japanese yen denominated debt in order to effectively lower the
U.S. dollar fixed interest rate of 7.2% to a Japanese yen
interest rate of 3.6%.  Since the cross currency swap does not
qualify for hedge accounting, all gains and losses are recorded
through other income (expense), net in the condensed
consolidated statements of operations.  The fair value of the
cross currency swap was an asset of US$19.4 million at Oct. 7,
2006.

                       Business Acquisition

On Oct. 3, 2006, Jamaica Producers Group Ltd. accepted the
company's offer to purchase from JPG the 65% of JP Fruit
Distributors Ltd. that the company does not already own for
US$41.9 million in cash.  The transaction closed during the
fourth quarter of 2006.  JP Fruit Distributors Ltd. imports and
sells fresh produce in the United Kingdom.  The company is
considering expressions of interest by potential partners with
respect to the ownership and operation of Jamaica Producers
Group Ltd.

Full-text copies of the company's consolidated financial
statements for the third quarter ended Sept. 30, 2006, are
available for free at http://researcharchives.com/t/s?168a

                        About Dole Food Co.


Headquartered in Westlake Village, California, Dole Food
Company's -- http://www.dole.com-- is a producer and marketer  
of fresh fruit, fresh vegetables and fresh-cut flowers, and
markets a line of packaged foods. The company has four primary
operating segments. The fresh fruit segment produces and markets
fresh fruit to wholesale, retail and institutional customers
worldwide. The fresh vegetables segment contains operating
segments that produce and market commodity vegetables and ready-
to-eat packaged vegetables to wholesale, retail and
institutional customers primarily in North America, Europe and
Asia. The packaged foods segment contains several operating
segments that produce and market packaged foods, including
fruit, juices and snack foods. Dole's fresh-cut flowers segment
sources, imports and markets fresh-cut flowers, grown mainly in
Colombia and Ecuador, primarily to wholesale florists and
supermarkets in the United States.

Dole has three canneries in Asia: two in Thailand and one in the
Philippines.  It also has operations in Sweden, Colombia and
Belgium.

Standard & Poor's Ratings Services lowered its ratings on
Westlake Village, Calif.-based Dole Food Co. Inc. and Dole
Holding Co. LLC, including its corporate credit rating, to 'B'
from 'B+'.  The ratings were removed from CreditWatch, where
they were placed on Aug. 9, 2006, with negative implications,
following materially weaker-than-expected financial performance
in the first half of fiscal 2006, which typically represents a
substantial portion of cash flow.  The outlook is negative.  
Total debt outstanding at the company was about US$2.3 billion
as of Oct. 7, 2006.


DOLE FOOD: Weak Performance Prompts Moody's to Junk Ratings
-----------------------------------------------------------
Moody's Investors Service downgraded the corporate family rating
of Dole Food Company, Inc. to B2 from B1, its probability of
default rating to B2 from B1, its senior secured bank credit
facilities to Ba3 from Ba2, its senior unsecured notes to Caa1
from B3, and its various shelf registrations to Caa1 from B3.

The outlook is stable.

The downgrade reflects Dole's weaker than expected operating
performance, continuing competitive pressures in its key
European banana markets, and debt protection measures which are
much weaker than those consistent with its prior rating
category.  

The company's ratings reflect its high earnings and cash flow
volatility, its high leverage and very weak debt protection
measures, its exposure to commodity markets as well as such
uncontrollable factors as weather or political regulations on
key product markets such as bananas.  These challenges are
partially offset by Dole's strong brand and market position, its
good product diversification, and its solid geographic
diversification of raw material supply.

The stable outlook reflects Moody's expectation that Dole's
operating performance will stabilize, that the company will work
to reduce debt and leverage over the next few years, and that
the company will manage its acquisition activity and financial
policy in such a way that will maintain its debt protection
measures at levels consistent with its rating.

Ratings downgraded:

   * Dole Food Company, Inc.

   -- Corporate family rating to B2 from B1;

   -- Probability of Default rating to B2 from B1;

   -- US$225 million senior secured 7-year term loan to Ba3,
      LGD2, 23% from Ba2, LGD2, 20%;

   -- Senior secured 7-year pre-funded letter of credit facility
      to Ba3, LGD2, 23% from Ba2, LGD2, 20%;

   -- Senior unsecured notes to Caa1, LGD5, 78% from B3,
      LGD5, 77%;

   -- Senior unsecured shelf to Caa1, LGD6, 97% from B3,
      LGD6, 97%;

   -- Senior subordinated shelf to Caa1, LGD6, 97% from B3,
      LGD6, 97%; and,

   -- Junior subordinated shelf to Caa1, LGD6, 97% from B3,
      LGD6, 97%

   * Solvest, Ltd.

      -- US$750 million senior secured 7-year term loan to Ba3,
         LGD2, 23% from Ba2, LGD2, 20%

Dole Food Company, Inc., headquartered in Westlake Village,
Calif., has revenues of about US$6 billion.

Headquartered in Westlake Village, California, Dole Food
Company's -- http://www.dole.com-- is a producer and marketer  
of fresh fruit, fresh vegetables and fresh-cut flowers, and
markets a line of packaged foods. The company has four primary
operating segments. The fresh fruit segment produces and markets
fresh fruit to wholesale, retail and institutional customers
worldwide. The fresh vegetables segment contains operating
segments that produce and market commodity vegetables and ready-
to-eat packaged vegetables to wholesale, retail and
institutional customers primarily in North America, Europe and
Asia. The packaged foods segment contains several operating
segments that produce and market packaged foods, including
fruit, juices and snack foods. Dole's fresh-cut flowers segment
sources, imports and markets fresh-cut flowers, grown mainly in
Colombia and Ecuador, primarily to wholesale florists and
supermarkets in the United States.

Dole has three canneries in Asia: two in Thailand and one in the
Philippines.  It also has operations in Sweden, Colombia and
Belgium.


PHELPS DODGE: Stockholders to Vote on Proposed Buy on March 14
-------------------------------------------------------------
Each of Freeport-McMoRan Copper & Gold Inc. and Phelps Dodge
Corp. will hold a special meeting of its stockholders on March
14, 2007, to vote on the proposed acquisition of Phelps Dodge by
Freeport.  Stockholders who hold shares of Freeport and Phelps
Dodge common stock at the close of business on Feb. 12, 2007,
the record date of each special meeting, will be entitled to
vote on the proposed merger.

On Nov. 19, 2006, Freeport and Phelps Dodge disclosed that they
had entered into a definitive merger agreement whereby Freeport
will acquire Phelps Dodge for approximately US$26 billion in
cash and stock, creating the world's largest publicly traded
copper company.  Each Phelps Dodge shareholder will receive
US$88 per share in cash plus 0.67 common shares of Freeport,
equivalent to a value of US$126.04 based on the closing price of
Freeport on Feb. 1, 2007.  The transaction is subject to
Freeport and Phelps Dodge shareholder approval, regulatory
approvals and customary closing conditions.  The merger
agreement and the merger are described in the joint proxy
statement/prospectus that will be mailed to stockholders of
Freeport and Phelps Dodge in connection with their respective
special meetings.

            About Freeport-Mcmoran Copper & Gold Inc.

Freeport explores for, develops, mines and processes ore
containing copper, gold and silver in Indonesia, and smelts and
refines copper concentrates in Spain and Indonesia.

Phelps Dodge -- http://www.phelpsdodge.com/-- is among the  
world's largest producers of molybdenum, molybdenum-based
chemicals, and manufacturer of wire and cable products.

Phelps Dodge has operations in Venezuela, Thailand, China, the
Philippines and Japan, among others.

                          *     *     *

On June 26, 2006, Moody's Investors Services has placed Phelps
Dodge's Ba1 junior preferred shelf rating in CreditWatch for a
possible downgrade.


PHELPS DODGE: Earns US$1.32 Billion in Fourth Quarter 2006
----------------------------------------------------------
Phelps Dodge discloses its financial performance for the fourth
quarter of 2006.

                 Fourth Quarter Highlights

   * Record fourth quarter net income of US$1,324.3 million;
     2005 fourth quarter net income was US$121.3 million

   * Fourth quarter net income included after-tax, net special
     gains of US$364.1 million (US$1.79 per share); 2005 fourth
     quarter net income included after-tax, net special charges
     of US$204.2 million

   * The London Metal Exchange or LME copper price averaged
     US$3.206 per pound in the 2006 fourth quarter, compared
     with US$1.951 in the 2005 fourth quarter and US$3.479 in
     the 2006 third quarter

   * The New York Commodity Exchange or COMEX copper price
     averaged US$3.191 per pound in the 2006 fourth quarter,
     compared with US$2.029 in the 2005 fourth quarter and
     US$3.539 in the 2006 third quarter

   * The Metals Week Dealer Oxide molybdenum price averaged
     US$25.31 per pound in the 2006 fourth quarter, compared
     with US$29.62 in the 2005 fourth quarter and US$26.22 in
     the 2006 third quarter

   * Cash flow from operating activities was US$1,753.0 million
     for the 2006 fourth quarter, compared with US$470.6 million
     in the 2005 fourth quarter and US$1,681.1 million in the
     2006 third quarter

   * Phelps Dodge received an additional US$231 million, net of
     income taxes withheld, in cash from Inco Ltd., related to
     the Combination Agreement termination fee

   * On Dec. 6, 2006, the Phelps Dodge board of directors
     conditionally approved the development of the Tenke
     Fungurume copper/cobalt mining project

   * Freeport-McMoRan Copper & Gold Inc. and Phelps Dodge have
     signed a definitive merger agreement under which Freeport
     will acquire Phelps Dodge for approximately US$26 billion
     in cash and stock

   * In January 2007, Phelps Dodge paid to third parties
     approximately US$801 million related to its 2006
     Zero-Premium Copper Collar Price Protection Program

Phelps Dodge Corp. reported consolidated net income of
US$1,324.3 million for the 2006 fourth quarter, and US$3,017.8
million for the year 2006.  Mark-to-market accounting on its
2006 and 2007 copper collars and copper put options had a
favorable impact of US$156.7 million (after-tax) on 2006 fourth
quarter net income, and an overall negative impact of US$766.8
million (after-tax) on net income for the year 2006.

Net income included after-tax, net special gains totaling
US$364.1 million for the 2006 fourth quarter, and after-tax, net
special gains totaling US$344.2 million, or US$1.69 per share,
for the year 2006.  Net income also included a loss from
discontinued operations of US$0.4 million for the 2006 fourth
quarter, and US$18.1 million for the year 2006.

By comparison, the company reported net income of US$121.3
million for the 2005 fourth quarter, and US$1,556.4 million for
the year 2005.  Net income included after-tax, net special
charges of US$204.2 million for the 2005 fourth quarter, and
after-tax, net special charges totaling US$54.1 million for the
year 2005.  Net income also included a loss from discontinued
operations of US$39.9 million for the 2005 fourth quarter, and
US$17.4 million for the year 2005.

J. Steven Whisler, chairman and chief executive officer, said,
"Our 2006 net income exceeded US$3 billion and set a record for
a third consecutive year.  As a result of actions we took during
the past few years, we are in excellent condition both
operationally and financially.  We continue to benefit from
strong prices for copper and molybdenum, each of which reflects
solid market fundamentals.

"At the Cerro Verde mine in Peru, we made our first shipment
from our new concentrator, approximately 9,500 metric tons of
copper concentrate produced during preoperational trials.  The
new concentrator continues to work through normal adjustments
associated with the start-up of a major operation, and we expect
to achieve full production during the first half of 2007.  In
addition to Cerro Verde, we are developing exciting new mining
projects at Safford in Arizona and Tenke Fungurume in the
Democratic Republic of the Congo.

"Mining industry consolidation continues, and in late 2006, we
announced an agreement to be acquired by Freeport-McMoRan Copper
& Gold Inc. This transaction provides Phelps Dodge shareholders
a significant premium for their shares and gives them the
opportunity to participate in the upside potential of a
geographically diverse industry leader possessing the scale and
asset quality to compete on the global stage successfully.  We
are looking forward to working with Freeport-McMoRan to realize
all the benefits and potential created by combining our two
companies."

                           Sales

Consolidated sales and other operating revenues were US$3,235.3
million for the 2006 fourth quarter and US$11,910.4 million for
the year 2006, compared with US$2,255.6 million and US$8,287.1
million in the corresponding 2005 periods.  Sales during the
years ended Dec. 31, 2006, and 2005, were negatively impacted by
net copper pricing adjustments associated with its 2006 and 2007
copper collar price protection programs. These programs
represented approximately 28% of its annual copper sales for
2006 and approximately 20% of its expected annual copper sales
for 2007.  As these sales do not qualify for hedge accounting
treatment, the entire quantity hedged for both years was
adjusted to fair market value based on the forward curve price
at Dec. 31, 2006, with the adjustment recorded in revenues.

The cumulative pre-tax charges for its 2006 zero-premium copper
collar price protection programs and put option premiums,
including amounts recognized in 2005 totaled approximately
US$813 million, of which approximately US$801 million was paid
in January 2007; the remainder (for put option premiums) was
paid at inception.  The actual impact of its 2007 zero-premium
copper collar price protection programs will not be fully
determinable until the maturity of the copper collars at Dec.
31, 2007, with final adjustments based on the average annual LME
copper price.  The approximate 72% of sales in 2006 and the
approximate 80% in 2007 not covered by the copper collar price
protection programs participate fully in LME and COMEX copper
prices.

PDMC operating income before special items and provisions of
US$1,419.8 million for the 2006 fourth quarter increased
US$845.5 million, or 147%, compared with the corresponding 2005
period.  The increase was primarily due to higher average copper
prices (approximately US$722 million) and the favorable impact
associated with lower net copper pricing adjustments for our
copper collars and copper put options (approximately US$452
million); partially offset by:

   (i) higher copper production costs (approximately
       US$129 million),

  (ii) higher other net pricing adjustments (approximately
       US$145 million) mostly for provisionally priced copper
       contracts at Dec. 31, 2006, and

(iii) lower by-product molybdenum revenues (approximately US$48
       million).

Higher copper production costs were primarily due to higher
mining and milling rates (approximately US$83 million), higher
smelting, refining and freight costs (approximately US$21
million), a decrease in work-in-process inventories
(approximately US$18 million) and higher depreciation expense
(approximately US$16 million).

Wire & Cable's sales of US$320.9 million for the 2006 fourth
quarter increased US$0.6 million compared with the corresponding
2005 period primarily due to higher metal prices (approximately
US$95 million) and higher sales volumes (approximately US$32
million) for energy cables and building wire in the
international markets; partially offset by the absence of North
American magnet wire sales (approximately US$99 million) and
High Performance Conductors sales (approximately US$26 million)
due to the sales of these divisions in the 2006 first quarter.

Wire & Cable's operating income of US$20.5 million before
special items and provisions for the 2006 fourth quarter
increased US$17.3 million compared with the corresponding 2005
period primarily due to improved margins and higher sales
volumes (approximately US$13 million) for energy cables and
building wire in the international markets, combined with a
favorable impact associated with the sale of the North American
magnet wire assets in the 2006 first quarter (approximately US$5
million).

                     Corporate Matters

At Dec. 31, 2006, consolidated cash (including restricted cash
of US$25.4 million) totaled US$4,972.8 million, of which
US$1,115.9 million was held at its international operations.

Cash provided by operating activities was US$1,753.0 million in
the 2006 fourth quarter and US$5,079.2 million in the year 2006,
compared with US$470.6 million and US$1,769.7 million in the
corresponding 2005 periods.  The increase of US$3,309.5 million,
or 187%, in the year 2006 compared with the corresponding 2005
period primarily reflected higher earnings (approximately
US$2,500 million) exclusive of minority interests, depreciation,
deferred income taxes, special items and provisions and losses
on 2006 and 2007 copper collars and copper put options, coupled
with lower working capital requirements (approximately US$596
million) and the absence of contributions made to pension plans
and VEBA trusts (approximately US$450 million in 2005);
partially offset by payments for realized losses on the 2005
copper collars (approximately US$187 million).

The company's total debt at Dec. 31, 2006, was US$891.9 million,
compared with US$921.6 million at Sept. 30, 2006, and US$694.5
million at Dec. 31, 2005.  The company's ratio of debt to total
capitalization was 9.1% at Dec. 31, 2006, versus 10.4% at Sept.
30, 2006, and 9.6% at Dec. 31, 2005.

The company continues to take various actions designed to
achieve its operating and strategic objectives:

   1. In connection with terminating the Combination Agreement
      with Inco Ltd., Phelps Dodge recognized a 2006 pre-tax
      gain of US$435.1 million (US$330.7 million after-tax),
      which was included as miscellaneous income and expense,
      net, in the Consolidated Statement of Income.  This
      termination fee consisted of gross proceeds of
      approximately US$356 million (approximately US$316 million
      net of expenses) received during 2006.  The company also
      recorded an income tax receivable of approximately US$119
      million for the remaining proceeds associated with
      Canadian income taxes withheld that it expects to receive
      in 2007.

   2. On Nov. 18, 2006, Phelps Dodge and Freeport entered into a
      definitive merger agreement under which Freeport will
      acquire Phelps Dodge creating the world's largest publicly
      traded copper company.  The combined company will
      represent one of the most geographically diversified
      portfolios of operating, expansion and growth projects in
      the copper mining industry.  The transaction, which is
      subject to Phelps Dodge and Freeport shareholder approval,
      regulatory approvals and customary closing conditions, is
      expected to close in March 2007.

      Under the terms of the transaction, Freeport will acquire
      all of the outstanding common shares of Phelps Dodge for a
      combination of cash and common shares of Freeport for a
      total consideration, based on the closing price of
      Freeport stock on Nov. 17, 2006, of US$126.46 per Phelps
      Dodge share.  Each Phelps Dodge shareholder will receive
      US$88.00 per share in cash plus 0.67 common shares of
      Freeport for each Phelps Dodge share.  Freeport will
      deliver a total of approximately 137 million shares to
      Phelps Dodge shareholders, resulting in Phelps Dodge
      shareholders owning approximately 38% of the combined
      company on a fully diluted basis.  Based upon the
      closing price of Freeport stock on Jan. 25, 2007, the
      combination of cash and common shares have a value of
      US$127.11 per Phelps Dodge share.

   3. On Dec. 6, 2006, the Phelps Dodge board of directors
      conditionally approved the development of the Tenke
      Fungurume copper/cobalt mining project, with final
      approval contingent upon finalizing a series of agreements
      with a DRC electricity provider.  The initial project will
      include development of the mine as well as copper and
      cobalt processing facilities, and will require a capital
      investment of approximately US$650 million.  Phelps Dodge
      and Tenke Mining Corp. are responsible for funding 70% and
      30%, respectively, of any advances for project
      development.

      Earthwork activity commenced with initial focus on roads,
      plant-site cleaning and construction-camp installation.
      The company anticipates commencement of production
      beginning in late 2008 or early 2009, with production of
      250 million pounds of copper (approximately 144 million
      pounds for PD's share) and 18 million pounds of cobalt
      (approximately 10 million pounds for PD's share) annually
      for the first 10 years.

      On Dec. 1, 2006, Phelps Dodge paid a regular quarterly
      dividend of 20 cents per common share for the 2006 fourth
      quarter (which was declared on Oct. 23, 2006); the amount
      paid for the quarter was US$40.8 million.

Phelps Dodge -- http://www.phelpsdodge.com/-- is among the  
world's largest producers of molybdenum, molybdenum-based
chemicals, and manufacturer of wire and cable products.

Phelps Dodge has operations in Venezuela, Thailand, China, the
Philippines and Japan, among others.

                          *     *     *

On June 26, 2006, Moody's Investors Services has placed Phelps
Dodge's Ba1 junior preferred shelf rating in CreditWatch for a
possible downgrade.


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
February 2007
  American Bankruptcy Institute
    International Insolvency Symposium
      San Juan, Puerto Rico
         Telephone: 1-703-739-0800
           Web site: http://www.abiworld.org/

February 5-7, 2007
  Fitch Training
    Intensive Bank Analysis
      Sydney, Australia
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com   

February 8-9, 2007
  Euromoney
    Leveraged Finance Asia
      JW Marriott Hong Kong
        Web site: http://www.euromoneyplc.com/

February 8-9, 2007
  Euromoney Conferences
    2nd Philippines Investment Conference
      Cebu Convention Center, Cebu, Philippines
        Web site: http://www.euromoneyplc.com/

February 8-11, 2007
  Turnaround Management Association
    Certified Turnaround Professional (CTP) Training
      NY/NJ
        Contact: http://www.turnaround.org/

February 14, 2007
  Turnaround Management Association
    Marketing Strategies Available to the
      Turnaround Practitioner
        Sydney, Australia
          Web site: http://www.turnaround.org/

February 20, 2007
  Turnaround Management Association
    Professional Development
      Brisbane, Australia
        Web site: http://www.turnaround.org/

February 22, 2007
  Turnaround Management Association
    TMA PowerPlay - Atlanta Thrashers
      Philips Arena, Atlanta, GA
        Contact: 678-795-8103 or http://www.turnaround.org/

February 21-22, 2007
  Euromoney
    Euromoney Pakistan Conference
      Perceptions & Realities
        Marriott Hotel, Islamabad, Pakistan
          Web site: http://www.euromoneyplc.com/

February 22, 2007
  Euromoney
    2nd Annual Euromoney Japan Forex Forum
      Mandarin Oriental, Tokyo, Japan
        Web site: http://www.euromoneyplc.com/

February 25-26, 2007
  Norton Institutes
    Norton Bankruptcy Litigation Institute
      Marriott Park City, UT
        Contact: http://www2.nortoninstitutes.org/

March 12-15, 2007
  Fitch Training
    Corporate Credit Fundamentals
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

March 14, 2007
  Turnaround Management Association
    The Great Debate
      Sydney, Australia
        Web site: http://www.turnaround.org/

March 21-22, 2007
  Euromoney
    2nd Annual Vietnam Investment Forum
      Melia, Hanoi, Vietnam
        Web site: http://www.euromoneyplc.com/

March 21-22, 2007
  Euromoney
    Euromoney Indian Financial Market Congress
      Grand Hyatt, Mumbai, India
        Web site: http://www.euromoneyplc.com/

March 22-23, 2007
  Euromoney Institutional Investor
    Euromoney Indonesian Financial Markets Congress
      Bali, Indonesia
        Web site: http://www.euromoneyplc.com/

March 27-31, 2007
  Turnaround Management Association - Australia
    2007 TMA Spring Conference
      Four Seasons Las Colinas, Dallas, TX, USA
        e-mail: livaldi@turnaround.org

April 2-3, 2007
  Fitch Training
    Leveraged Finance Workshop
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

April 11-15, 2007
  American Bankruptcy Institute
    ABI Annual Spring Meeting
      J.W. Marriott, Washington, DC, USA
        Telephone: 1-703-739-0800
          Web site: http://www.abiworld.org/

May 28-31, 2007
  Fitch Training
    Corporate Credit Fundamentals
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

June 13-15, 2007
  Fitch Training
    Intensive Bank Analysis
      Hong Kong
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

June 18-20, 2007
  Fitch Training
    Insurance Company Analysis
      Singapore
        Telephone: +44-(0)20-7201-2770
          Web site: http://www.FitchTraining.com/
            e-mail: enquiry@fitchtraining.com

October 16-19, 2007
  Turnaround Management Association - Australia
    TMA 2007 Annual Convention
      Boston Marriott Copley Place, Boston, MA, USA
        e-mail: livaldi@turnaround.org

March 25-29, 2008
  Turnaround Management Association - Australia
    TMA Spring Conference
      Ritz Carlton Grande Lakes, Orlando, FL, USA
        e-mail: livaldi@turnaround.org

October 28-31, 2008
  Turnaround Management Association - Australia
    TMA 2008 Annual Convention
      New Orleans Marriott, New Orleans, LA, USA
        e-mail: livaldi@turnaround.org

TBA 2008
  INSOL
    Annual Pan Pacific Rim Conference
      Shanghai, China
        Web site: http://www.insol.org/

June 21-24, 2009
  INSOL
    8th International World Congress
      TBA
        Web site: http://www.insol.org/

October 5-9, 2009
  Turnaround Management Association - Australia
    TMA 2009 Annual Convention
      JW Marriott Desert Ridge, Phoenix, AZ, USA
        e-mail: livaldi@turnaround.org

October 4-8, 2010
  Turnaround Management Association - Australia
    TMA 2010 Annual Convention
      JW Marriot Grande Lakes, Orlando, FL, USA
        e-mail: livaldi@turnaround.org

Beard Audio Conferences
  Coming Changes in Small Business Bankruptcy
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Audio Conferences CD
  Beard Audio Conferences
    Distressed Real Estate under BAPCPA
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Changes to Cross-Border Insolvencies
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Healthcare Bankruptcy Reforms
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Calpine's Chapter 11 Filing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Changing Roles & Responsibilities of Creditors' Committees
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Validating Distressed Security Portfolios: Year-End Price
    Validation and Risk Assessment
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Employee Benefits and Executive Compensation
    under the New Code
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Dana's Chapter 11 Filing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Reverse Mergers-the New IPO?
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Fundamentals of Corporate Bankruptcy and Restructuring
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  High-Yield Opportunities in Distressed Investing
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Privacy Rights, Protections & Pitfalls in Bankruptcy
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  When Tenants File -- A Landlord's BAPCPA Survival Guide
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Clash of the Titans -- Bankruptcy vs. IP Rights
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Distressed Market Opportunities
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Homestead Exemptions under BAPCPA
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  BAPCPA One Year On: Lessons Learned and Outlook
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Surviving the Digital Deluge: Best Practices in
    E-Discovery and Records Management for Bankruptcy
      Practitioners and Litigators
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Deepening Insolvency - Widening Controversy: Current Risks,
    Latest Decisions
      Audio Conference Recording
        Telephone: 240-629-3300
          Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  KERPs and Bonuses under BAPCPA
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Diagnosing Problems in Troubled Companies
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/

Beard Audio Conferences
  Equitable Subordination and Recharacterization
    Audio Conference Recording
      Telephone: 240-629-3300
        Web site: http://www.beardaudioconferences.com/



                            *********

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

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

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


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N
   
Troubled Company Reporter - Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Andrei Sanchez, 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
to be reliable, but is not guaranteed.
   
TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.
   
                 *** End of Transmission ***