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        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 14, 2007, Vol. 10, No. 32

                            Headlines

A U S T R A L I A

ADROM PTY: Members and Creditors' Meeting Slated for March 13
ADSTEAM MARINE: Svitzer Required to Sell Off Liverpool Operation
AJ KITCHEN: Taps Jamieson Louttit as Liquidator
CELLHIRE PTY: To Declare First and Final Dividend on March 16
DEPENDABLE TAXI: Members Opt to Shut Down Firm

GAOMAIN PTY: Members and Creditors to Meet on March 7
GHATTAS PETROLEUM: Liquidator to Present Wind-Up Report
HAVAMA PTY: Members' Final Meeting Slated for March 16
JAMES HARDIE: Pays Initial AU$184.3 Million to Asbestos Fund
JUSTIN NEWBERRY: Undergoes Members' Voluntary Wind-Up

ONE.TEL LIMITED: Horwath Wants to Examine Cancelled Rights Issue
SMIT CHARTERS: Members to Receive Liquidator's Report
THE MALMARK: General Meeting Set for March 14


C H I N A   &   H O N G  K O N G

CHINA EVERBRIGHT: Posts 21.6% Rise in 2006 Net Profit
DONG FANG GAS (CHINA): Commences Liquidation Proceedings
DONG FANG GAS (B.V.I.): Undergoes Voluntary Liquidation
GITI TIRE: Moody's Keeps B3 Senior Secured Note Rating
HOPEWELL HOLDING: Fitch Pulls Foreign Currency LTDR to BBB-

JOHNSTONE LIMITED: Creditors Must Prove Debts by March 9
LEE YIP: Creditors' Proofs of Debt Due on March 19
ON MERIT: Members and Creditors' Meeting Set for March 9
PETROLEOS DE VENEZUELA: Moody's Assigns B1 Corp. Family Rating
PETROLEOS DE VENEZUELA: Borrows US$1 Bln from Syndicated Lenders

SAXONDALE LIMITED: Creditors' Meeting Set for March 9
SHANGHAI REAL: S&P Keeps BB-Rating; Outlook Goes Negative
TRULY FAIR: Appoints Chan Po Kau as Liquidator
VAUTIER LIMITED: Creditors' Proofs of Debt Due on March 9
WAYWIN CORPORATION: Members Decide to Shut Down Business


I N D I A

AES CORP: S&P Maintains BB- Rating Amidst EDC Stake Sale
CONEXANT SYSTEMS: Earns US$7.4 Mil. in Fiscal 2007 First Quarter
EASTMAN KODAK: Details Major Restructuring by End of 2007
FEDERAL BANK: To Expand Share Capital by Rights Issue
GARWARE POLYESTER: Posts INR43.5 Net Loss in 2006 4th Quarter

HDFC BANK: Ties Up With Godrej Aaadhar for Agri-Credit Facility
HDFC BANK: Allots 4,18,200 Equity Shares Under ESOS
HMT LTD: Names A. V. Kamat as New Chairman & Managing Director


I N D O N E S I A

ALCATEL-LUCENT: Selected by Vodafone for Network Convergence
ALCATEL-LUCENT: Performed Well Despite Weak Results, Fitch Says
ANIXTER: Fitch Assigns 'BB' Rating to US$300-Mil. Notes Due 2013
BANK INDONESIA: Has No Plan to Revise Inflation Target for 2007
GENERAL NUTRITION: S&P Keeps 'B' Credit Rating on Watch Negative

NORTEL: Estimates Results for Prelude 4Q Operating Performance
PERTAMINA: May Work with Norway's Statoil on Natuna Gas
PERTAMINA: To Undertake Six Oil Exploration Projects in Ecuador
TELKOM INDONESIA: Plans to Change Board of Directors


J A P A N

BANCO BRADESCO: Increasing Interest on Own Capital by 10%
CAPCOM CO: Moody's Upgrades Long-Term Rating To Baa3 from Ba2
NIKKO CORDIAL: To Sue Former Executives Over Accounting Fraud
SANYO ELECTRIC: Expects 7.5% Rise In CTV Market Shares in India


K O R E A

MAGNACHIP SEMICONDUCTOR: S&P Downgrades Credit Rating to 'B'
* Bank of Korea Retains 4.5% Call Rate for February


M A L A Y S I A

AVAYA INC: Earns US$71 Million in Quarter Ended Dec. 31
EKRAN BERHAD: Sells Warehouse to Saravera for MYR8 Million
ELBA HOLDINGS: Bursa Decides to Delist Securities on February 16
FOAMEX INT'L: Posts US$1.969 Million Net Loss in December 2006
FOAMEX INT: Bankruptcy Court Confirms Plan of Reorganization

FOAMEX INT'L: Emerges from Chapter 11 Bankruptcy Protection
JOHAN CERAMICS: Bursa to Suspend Securities Trading on Feb. 16
MALAYSIA AIRLINES: Expects to Record Profit in Fourth Quarter
TENAGA NASIONAL: MRCB Bags MYR282 Million Power Cable Contract


N E W   Z E A L A N D

A & R COATINGS: Court Appoints Joint Liquidators
A-MART EDEN: Official Assignee Acts as Liquidator
ANALOGY SYSTEMS: Court to Hear Liquidation Hearing on Feb. 15
ATECH CUTTING: Courts Sets Liquidation Hearing on Feb. 15
BLUE ROOM: Faces CIR's Liquidation Petition

COMMUNITY TRUST: Shareholders Opt to Liquidate Business
ITALIAN GROCER: Liquidation Hearing Slated for February 15
MACNICOL SAWMILLING: Parsons and Kenealy to Act as Liquidators
PAPANUI PROPERTIES: Shareholders Resolved to Close Business
PLUS SMS: Posts NZ$4.9M Deficit for Half-Year Ended Sept. 2006

PLUS SMS: To Initiate Legal Proceedings Against Donoghue
PLUS SMS: To Provide Content to Nuevatel Bolivia
SANSOM CONTRACTING: Creditors Must Prove Claims by Feb. 26
SOTHERNS FAMILY: Creditors' Proofs of Claim Due on March 9
TUTAKI-HONA LTD: Faces Liquidation Proceedings

WOODWORKS FURNITURE: Shareholders Appoint Liquidators


P H I L I P P I N E S

CHIQUITA BRANDS: Jeffrey Benjamin Leaves Board of Directors
GEOGRACE RESOURCES: In JV Talks w/ China's Jinchuan Metals Corp.
HERTZ CORP: Addt'l. Debt Cues S&P's BB- Corporate Credit Rating
RIZAL COMMERCIAL: Fitch Revises BB- Ratings Outlook to Positive
RIZAL COMMERCIAL: BSP Approves 17% Stake Sale to Spinnaker


S I N G A P O R E

BASIL THAI: Enters Wind-Up Proceedings
BENCHMARK: Earns US$28.3 Mil. Net Income in Qtr. Ended Dec. 2006
CKG PETROCHEMICALS: Creditors' Proofs of Debt Due on March 9
INTERSHOP COMMUNICATIONS: Schedules Annual Meeting to May 9
LEAR CORP: Inks US$5.3 Billion Merger Deal with Icahn Affiliate

LERENO BIO-CHEM: Inks Joint Venture Agreement with Reno Pacific
LERENO BIO-CHEM: Terminates MOU with Beijing Construction
NUANSA LEISURE: Creditors' Proofs of Debt Due on February 23
READER'S DIGEST: S&P Puts 'B' Rating on US$1.46 Bil. Facilities
RED HAT: Taps Masatsugu Koketsu as Director for Japan Operations


T H A I L A N D

DAIMLERCHRYSLER AG: Plans to Cut 10,000 Factory Jobs at Chrysler
DOLE FOOD: Fresh Vegetables Unit Inks Leafy Greens Mktg. Pact
PHELPS DODGE: Declares US$0.020 Per Share Dividend
SIAM COMMERCIAL: Stocks on Long-Term Buy, Sees Growth In 2007


V I E T N A M

VIETCOMBANK: S&P Assigns BB Ratings on Strong Domestic Position


* Upcoming Meetings, Conferences and Seminars

     - - - - - - - -

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

ADROM PTY: Members and Creditors' Meeting Slated for March 13
-------------------------------------------------------------
The members and creditors of Adrom Pty Ltd will hold a final
meeting on March 13, 2007, at 10:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings.

The liquidator can be reached at:

         Ozem Kassem
         Cor Cordis
         Chartered Accountants, Level 8
         50 Carrington Street
         Sydney, New South Wales
         Australia

                         About Adrom Pty

Adrom Pty Ltd is a distributor of durable goods.

The company is located in New South Wales, Australia.


ADSTEAM MARINE: Svitzer Required to Sell Off Liverpool Operation
----------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
Dec. 8, 2006, the UK Competition Commission had ruled that some
assets held by Adsteam Marine Ltd at a Liverpool port in the
United Kingdom must be sold if the company is taken over by
SvitzerWijsmuller Marine, the tugboat unit of shipping and oil
group AP Moeller-Maersk AS.  The TCR-AP report said that the
recommended takeover is worth about AU$700 million.

In an update, Svitzer will be required to sell off one of the
harbor towage operations in Liverpool, if it goes ahead with the
anticipated acquisition of Adsteam, the Competition Commission
said in a media release.

In its final report published on Feb. 9, 2007, the Commission
has decided that the acquisition may be expected to result in a
substantial lessening of competition for towage services in
Liverpool, although it has not identified similar problems
anywhere else in the U.K.  The report confirms the provisional
findings, which were published in December 2006.

A full-text copy of the Commission's Final Report is available
for free at:

              http://ResearchArchives.com/t/s?19ce

The TCR-AP cited AFX News as stating that in September 2006, the
Commission raised concerns that a merger of the companies would
create a monopoly in Liverpool.

Shareholders with questions in relation to the Offer should
contact the Adsteam Offer Information Line on:

   -- 1800 24 23 00 from within Australia, between 8:00 a.m. and
      6:00 p.m. (AEST time) Monday to Friday; or

   -- + 61 2 9207 3622 (calls from outside Australia) between
      8:00 a.m. and 6:00 p.m. (AEST), or the SvitzerWijsmuller
      Offer Information Line on 1300 650 907 from within
      Australia, or +61 3 9415 4265 from outside Australia,
      between 9:00 a.m. and 5:00 p.m. (AEST time) Monday to
      Friday.

                     About SvitzerWijsmuller

SvitzerWijsmuller -- http://www.svitzerwijsmuller.com/-- is a  
major global towage and salvage company headquartered in
Copenhagen, Denmark with activities in 35 countries within
harbor towage, terminal towage, salvage, emergency response and
rescue, ocean towage and crew boat operations.  
SvitzerWijsmuller is a subsidiary of A.P. Moller - Maersk A/S.
Last year, SvitzerWijsmuller had a turnover of US$355 million
and it employs approximately 2,500 people.

                         About Adsteam

Headquartered in New South Wales, Australia, Australia Adsteam
Marine Ltd -- http://www.adsteam.com.au/-- currently has a  
fleet of more than 200 vessels and also offers other maritime
services such as a shipping agency, fuel distribution and
salvage.

The Company had undertaken steps in a plan to divest non-core
businesses since May 2003 as part of its business transformation
program and has raised money to support its rescue plan designed
to trim down debts and repay borrowings.  Adsteam's debt was
estimated to be AU$360 million.

As reported in the Troubled Company Reporter - Asia Pacific on
Nov. 13, 2006, the group is in a financially healthy position
with net debt of AU$297.3 million as of June 30, 2006.
During the year, the company refinanced AU$173 million of
syndicated debt with a new AU$300 million, five-year syndicated
debt facility.  The gearing of the group at June 30, 2006, stood
at 46%, down from 51% at the same time last year.


AJ KITCHEN: Taps Jamieson Louttit as Liquidator
-----------------------------------------------
On Feb. 5, 2007, the members and creditors of AJ Kitchen
Creations Sydney Pty Limited appointed Jamieson Louttit as the
company's liquidator.

Mr. Louttit can be reached at:

         Jamieson Louttit
         Jamieson Louttit & Associates
         Suite 73, Level 15
         88 Pitt Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9231 0505
         Facsimile:(02) 9231 0303

                        About AJ Kitchen

AJ Kitchen Creations Sydney Pty Limited is involved with
nonresidential construction.

The company is located in New South Wales, Australia.


CELLHIRE PTY: To Declare First and Final Dividend on March 16
-------------------------------------------------------------
Cellhire Pty Limited will declare a first and final dividend for
its creditors on March 16, 2007.

Accordingly, creditors are required to file their proofs of debt
by March 13, 2007, to be included in the distribution.

The Troubled Company Reporter - Asia Pacific reported that the
company entered voluntary wind-up on March 30, 2006.

The liquidator can be reached at:

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

                        About Cellhire Pty

Cellhire Pty Limited -- http://www.cellhire.com-- was  
established in 1987.  Cellhire is an independent company that
provides innovative and competitive wireless solutions with its
innovation of sophisticated voice and data technology.

The company has offices in U.S., France, Japan, and New South
Wales, Australia.


DEPENDABLE TAXI: Members Opt to Shut Down Firm
----------------------------------------------
At a general meeting held on Jan. 30, 2007, the members of
Dependable Taxi Trucks & Couriers (Sydney) Pty Limited resolved
to voluntarily wind up the company's operations.

Accordingly, Schon G. Condon was appointed as liquidator.

The Liquidator can be reached at:

         Schon G. Condon RFD
         c/o Condon Associates
         Australia
         Telephone:(02) 9893 9499

                     About Dependable Taxi

Dependable Taxi Trucks & Couriers (Sydney) Pty Ltd provides
courier services, except by air.

The company is located in New South Wales, Australia.


GAOMAIN PTY: Members and Creditors to Meet on March 7
-----------------------------------------------------
The members and creditors of Gaomain Pty Limited will hold a
final meeting on March 7, 2007, at 11:00 a.m.

At the meeting, Liquidator Richard Albarran, will present the
company's wind-up proceedings and property disposal exercises.

The liquidator can be reached at:

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

                       About Gaomain Pty

Gaomain Pty Limited operates top and body repair and paint
shops.

The company is located in New South Wales, Australia.


GHATTAS PETROLEUM: Liquidator to Present Wind-Up Report
-------------------------------------------------------
The members and creditors of Ghattas Petroleum Pty Ltd will
receive the liquidator's report on the company's wind-up
proceeding and property disposal exercises on March 13, 2007, at
10:00 a.m.

The Liquidator can be reached at:

         Riad Tayeh
         Level 3, 95 Macquarie Street
         Parramatta, New South Wales 2150
         Australia

                     About Ghattas Petroleum

Ghattas Petroleum Pty Ltd is a dealer of fuel oils.

The company is located in New South Wales, Australia.


HAVAMA PTY: Members' Final Meeting Slated for March 16
------------------------------------------------------
The members of Havama Pty Ltd will hold a final meeting on
March 16, 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 went into liquidation on June 9, 2006.

The liquidator can be reached at:

         Nicholas Craig Malanos
         c/o Star Dean-Willcocks
         Level 1, 32 Martin Place
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9223 2944
         Facsimile:(02) 9223 3011

                         About Havama Pty

Havama Pty Ltd provides management-consulting services.

The company is located in New South Wales, Australia.


JAMES HARDIE: Pays Initial AU$184.3 Million to Asbestos Fund
------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 12, 2007, security holders approved the long-term
compensation funding arrangements for asbestos-related personal-
injury claims against certain former James Hardie group
subsidiaries.

According to the TCR-AP, the initial payment of AU$184.3 million
was expected to be transferred to the Asbestos Injuries
Compensation Fund by Feb. 14, 2007.

In a update, James Hardie relates that it has made the initial
payment to the AICF in accordance with the long-term funding
arrangements endorsed by security holders.

The transfer of the initial payment satisfies the final
condition precedent to the Amended and Restated Final Funding
Agreement.  The commencement date for the Amended FFA becoming
fully operational was Feb. 9, 2007.

The first annual payment is due on July 1, 2007.

The AICF will now assume the role of processing asbestos-related
personal injury claims made against certain former James Hardie
group subsidiaries.

                      About James Hardie

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

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

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

By 2004, James Hardie's former asbestos manufacturing
subsidiaries -- Amaca Pty Ltd, Amaba Pty Ltd, and ABN 60 Pty Ltd
-- are three of around 150 defendants in asbestos litigation,
and based on the Foundation's own figures, they account for
US$1,000,000,000 of the predicted US$6,000,000,000 future
asbestos liabilities in Australia.  Although James Hardie
stopped making asbestos products in 1987, the average 35-year
latency of mesothelioma, an asbestos-related disease, means
asbestos compensation funds will be needed until mid-century.

In a 2005 report by a company-hired actuary from KPMG, it was
predicted that 4,915 Australians would contract mesothelioma
from exposure to Hardie products in the coming decades.  When
less serious forms of asbestos-related disease are included,
James Hardie should expect to compensate 8,725 victims.

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


JUSTIN NEWBERRY: Undergoes Members' Voluntary Wind-Up
-----------------------------------------------------
At an extraordinary general meeting held on Feb. 1, 2007, the
members of Justin Newberry Pty Ltd decided to shut down the
company's operations.

In this regard, Paul Andrew Fahey and Winifred Gibson were
appointed as liquidators.

The Liquidators can be reached at:

         Paul Andrew Fahey
         Winifred Gibson
         NorthCorp Accountants Chartered Accountants
         109 William Street
         Port Macquarie
         Australia
         Telephone:(02) 6583 1166

                     About Justin Newberry

Justin Newberry Pty Ltd is a land subdivider and developer,
except for cemeteries.

The company is located in New South Wales, Australia.


ONE.TEL LIMITED: Horwath Wants to Examine Cancelled Rights Issue
----------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
Jan. 30, 2007, a special liquidator, appointed to investigate a
controversial AU$132 million rights issue that was cancelled
just before One.Tel Limited was placed into administration, was
allowed access to documents and is likely to seek access to the
defense submissions.

According to a report from The Australian, the special-purpose
liquidator -- Paul Weston of Horwath accountancy firm -- wants
to examine executives from Publishing & Broadcasting and News
Limited, including its chief executive officer, John Hartigan,
and general counsel, Ian Philip, over the controversial rights
issue.

The report notes that the issue was to be underwritten by News
and PBL.

Mr. Weston is concerned that there is not enough time since he
only has until May 30, 2007, to launch any legal action that
might arise out of the cancellation of the rights issue, The
Australian says.

Lawyers for News and PBL want to stop the examinations, the
report says.  The lawyers argued that they should be allowed to
view a confidential affidavit sworn by Mr. Weston, which
explains in detail why he is pursuing the executives.

They also want to be present when Mr. Weston makes a closed-
court application about the orders, The Australian adds.

The lawyers further argued that in 2006, a judge ruled that
there was no new evidence to justify the issuance of any
summonses and that it is premature to act before a judgment was
handed down in the separate civil suit against One.Tel founder
Jodee Rich.

However, it is premature for the PBL and News interests to make
a legal challenge, as no orders have yet been made, The
Australian cites Mr. Weston's lawyer as saying.

Summonses for the examinations have yet to be issued.  However,
the lawyers will oppose any summons orders, the paper says,
citing Tom Bathurst QC, representing the PBL and CPH interests,
as saying "it is harassing and vexatious in circumstances where
(executives) have been examined before."

Mr. Bathurst asserted that CPH's Darren Miller and Martin Green
had already been questioned by the Australian Securities and
Investments Commission.

Messrs. Miller and Green examined One.Tel's finances in the
months before it collapsed, The Australian recounts.  But Mr.
Weston asserted that they "have never been interviewed by anyone
at all."

News's lawyer offered in court to extend the limitation period
to overcome the timing issue, The Australian relates.

The judge reserved his decision, the paper notes.

                          *     *     *

One.Tel Limited is an Australian based telecommunications
company, belonging to One.Tel Group.  One.Tel Ltd. was
established in 1995 soon after the deregulation of the
Australian telecommunications industry, most of which are
currently under external administration by court appointed
liquidators.

One.tel is currently in liquidation due to financial problems.  
Ferrier Hodgson was appointed as voluntary administrator on May
29, 2001.  The administrator's report stated that the company
was insolvent as of March 2001.  Accordingly, the administrator
terminated approximately 3,000 employees in June that same year.

Steve Sherman and Peter Walker of Ferrier Hodgson were then
named liquidators on July 24, 2001.

The Liquidators can be reached at:

         Steve Sherman
         Peter Walker
         Joint Liquidators
         Ferrier Hodgson
         Level 17
         2 Market Street
         Sydney, NSW
         Australia 2000


SMIT CHARTERS: Members to Receive Liquidator's Report
-----------------------------------------------------
The members of Smit Charters Pty Limited will hold a final
meeting on May 22, 2007, at 9:00 a.m., to receive the
liquidator's report on the company's wind-up proceedings.

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

The liquidator can be reached at:

         Robert Bruce Mercer
         c/o Ian F Hansen & Co Pty Limited
         6th Floor, 12 Mount Street
         North Sydney, New South Wales 2060
         Australia

                      About Smit Charters

Smit Charters Pty Limited is a distributor of durable goods.

The company is located in New South Wales, Australia.


THE MALMARK: General Meeting Set for March 14
---------------------------------------------
The members and creditors of The Malmark Group Pty Ltd will hold
a general meeting on March 14, 2007, at 10:00 a.m.

At the meeting, the members and creditors will receive the
liquidator's report on the company's wind-up proceedings and
property disposal exercises.

The liquidator can be reached at:

         Riad Tayeh
         Level 3, 95 Macquarie Street
         Parramatta, New South Wales 2150
         Australia

                        About The Malmark

The Malmark Group Pty Ltd operates restaurants.

The company is located in Victoria, Australia.


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

CHINA EVERBRIGHT: Posts 21.6% Rise in 2006 Net Profit
-----------------------------------------------------
China Everbright Bank Co. posted a 21.6% rise in 2006 net
profit, while total assets rose 16.4% to CNY595.1 billion,
Reuters says, citing local media reports.

The reports did not provide a figure for net profit, Reuters
notes.

China Everbright also saw its loan rising 16% to CNY352.4
billion last year, Reuters cites the Beijing News, as saying.  
The reports also revealed that the company's total deposits rose
14.7% to CNY519.8 billion.

                          *     *     *

Headquartered in Beijing, China, China Everbright Bank Company -
- http://www.cebbank.com/-- is the first state-owned commercial  
bank with shares held by international financial institutions.

The Troubled Company Reporter - Asia Pacific reported that Fitch
Ratings affirmed on August 14, 2006, China Everbright Bank's
Individual 'E' and Support '3' ratings.

According to the rating agency, China Everbright Bank's
Individual 'E' rating reflects its still weak, though improving,
financial profile, and continued poor public transparency and
disclosure.  China Everbright is also in the process of
undergoing major restructuring and is waiting in queue for
government support.


DONG FANG GAS (CHINA): Commences Liquidation Proceedings
--------------------------------------------------------
Dong Fang Gas (China) Limited has commenced a wind-up of its
operations on Dec. 29, 2007.

Accordingly, Lai Kar Yan, Derek and Darach E. Haughey were
appointed as liquidators.

Creditors are asked to file their proofs of debt by March 12,
2007, to be included in the company's distribution of dividend.

The Liquidators can be reached at:

         Lai Kar Yan, Derek
         Darach E. Haughey
         35th Floor, One Pacific Place
         88 Queensway
         Hong Kong


DONG FANG GAS (B.V.I.): Undergoes Voluntary Liquidation
-------------------------------------------------------
On Dec. 29, 2006, Dong Fang Gas (B.V.I.) Limited has entered
voluntary wind-up.

In this regard, the company's creditors are required to file
their proofs of debt by March 12, 2007, to be included in the
company's distribution of dividend.

The liquidators can be reached at:

         Lai Kar Yan, Derek
         Darach E. Haughey
         35th Floor, One Pacific Place
         88 Queensway
         Hong Kong


GITI TIRE: Moody's Keeps B3 Senior Secured Note Rating
------------------------------------------------------
Moody's Investors Service has affirmed its B3 rating on Feb. 12,
2007, for GITI Tire Pte Ltd's senior secured note following the
issuance's completion.  At the same time, Moody's has affirmed
GITI's B2 corporate family rating.  Moody's has also removed
both ratings from their provisional status.  The ratings outlook
is stable

"The major part of the note proceeds has been on-lent to GT Asia
Pacific Holdings Pte Ltd (GT Asia) -- the ultimate holding
company -- to refinance its existing debt," said lead analyst
Angela Choi.

"The remainder has been earmarked for capital expenditure,
general corporate purposes and the possible acquisition of
additional tire businesses, either inside or outside China,"
adds Ms. Choi.

GITI is the largest motor vehicle tire manufacturer in China.  
As a holding company, it is incorporated in Singapore and
headquartered in Shanghai. All of its 6 production plants are
located in Mainland China.  It is a private company ultimately
owned by the Liem family, which has a Singaporean-Indonesian
background.  GITI also has a minority interest in PT Gajah
Tunggal Tbk (B2/negative), an Indonesian tire producer.


HOPEWELL HOLDING: Fitch Pulls Foreign Currency LTDR to BBB-
-----------------------------------------------------------
On Feb. 13, 2007, Fitch Ratings has upgraded Hong Kong-based
Hopewell Holdings Limited's Long-term foreign currency Issuer
Default rating to 'BBB-' from 'BB+'.  The rating Outlook is
Stable.

The upgrade is underpinned by the continued and expected
improvement in Hopewell's business profile.  The anticipated
expansion and enhancement of its investment property portfolio
and the increase in traffic flow on its toll road portfolio are
expected to bring further stability to Hopewell's operating cash
flows.  The agency also expects the company's credit metrics to
be in line with low investment grade entities with similar risk
profile.

Hopewell's rating reflects the good performance of Hopewell's
toll road operations due to a favorable macro environment, a
strengthened financial profile, and the encouraging performance
of its property investment portfolio.  The key strength of the
company is its toll road portfolio, which has enjoyed good
growth for the last three years.  Gross daily average revenue
and average daily traffic of the toll road portfolio have
surpassed HKD10 million and 377,000 vehicles, respectively, in
FY06.  Growth prospect is positive, as robust economic growth in
the Pearl River Delta should provide support to traffic volume.

Hopewell's investment property portfolio also registered good
growth in FY06 (FY06 EBITDAR: HKD192m; FY05: HKD172m).  Though
Hopewell's properties are not located in prime office districts,
strong demand for office properties and the resulting positive
rental reversion should help Hopewell's rental income to improve
further.  The ongoing enhancement work and expansion of the
investment property portfolio will provide further support to
growth in rental revenue.

The ratings, however, are constrained by the company's appetite
for greenfield projects and aggressive expansion plans. Capex
for the entire Hopewell group, primarily for the expansion of
its toll road and property investment/development portfolios, is
expected to rise.  For instance, Hopewell's share of the
expected capex in Phases 2 and 3 of the West Delta Route is
HKD4.3 billion.

The currently low leverage level, measured by the FFO Net
Adjusted Leverage (with proportionate debt at project JVs
included), of 0.8x at end-FY06 demonstrates a healthy capital
structure and is better than its peers at a similar rating
category.  However, future capex and project investment is
likely to lead to the re-leveraging of the group.

The Outlook is Stable, reflecting Fitch's expectation that there
will be no material changes in Hopewell's financial fundamentals
and risk profile over the next 18 to 24 months.  Positive rating
triggers include improved business diversification and recurring
cash flow generating capacity, without significant increase in
the overall risks profile.  Negative rating triggers include
aggressive change in business mix and significant negative
change in the regulatory and/or macro economic environment.

Having started out as a property construction and development
company in Hong Kong in the 1970s, Hopewell began to diversify
from 1984, investing in power generation and infrastructure in
Southeast Asia and China.  Hopewell currently manages
investments in toll roads in mainland China through its 73%
owned subsidiary Hopewell Highway Infrastructure Limited.  
Additionally, Hopewell has business interests in property
investments, hotel/catering businesses and property development
in Hong Kong/Macau/mainland China.


JOHNSTONE LIMITED: Creditors Must Prove Debts by March 9
--------------------------------------------------------
Johnstone Limited, which is in members' voluntary liquidation,
requires its creditors to submit their proofs of debt by
March 9, 2007, to Liquidator Cheng Mo Kit, Katherine.

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


LEE YIP: Creditors' Proofs of Debt Due on March 19
--------------------------------------------------
The creditors of Lee Yip Metal Co. Limited are required to file
their proofs of debt by March 19, 2007, to be included in any
distribution the company will make.

The liquidator can be reached at:

         Kwan Sun Lok
         Room 1302"C3, Crocodile House II
         55 Connaught Road Central
         Hong Kong


ON MERIT: Members and Creditors' Meeting Set for March 9
--------------------------------------------------------
On Merit Limited, which is in creditors' voluntary wind-up, will
hold the final meetings for its members and creditors on
March 9, 2007, at 10:00 a.m. and 11:00 a.m., respectively at
8/F., Richmond Commercial Building, 109 Argyle Street in
Kowloon, Hong Kong.

At the meeting, Liquidator Cheng Faat Ting, Gary, will present
his accounts on the company's wind-up proceedings and property
disposal exercises.


PETROLEOS DE VENEZUELA: Moody's Assigns B1 Corp. Family Rating
--------------------------------------------------------------
Moody's Investors Service assigned to Petroleos de Venezuela a
global local currency issuer rating of B1 and a foreign currency
Corporate Family Rating of B1 with a stable outlook.  Moody's
previously withdrew PDVSA's ratings on July 28, 2006, in
response to the company's de-registration with the SEC and
protracted delays in the receipt of timely and transparent
financial information.  Since that time, PDVSA has produced
updated audited financial statements for fiscal years 2004 and
2005 under International Financial Reporting Standards and
interim unaudited results for 2006.  In the future, the company
plans to provide audited financial statements annually, as well
as quarterly interim statements for the rating agency's use.  
Moody's has reviewed the updated financial statements and
considers them sufficient to maintain monitored credit ratings.

PDVSA's B1 global local currency rating is underpinned by a
baseline credit assessment of 14.  The B1 rating reflects
application of, but no uplift from, the government-related
issuers methodology.  In PDVSA's case, the methodology
incorporates a high level of default correlation between PDVSA
and the government, as well as a high degree of expected
government support for PDVSA in the event of a stress scenario.  
PDVSA's ratings are equivalent to the Venezuelan government's
local currency bond rating of B1, reflecting Moody's view that
PDVSA is so closely linked to the government's fiscal, social
and geo-political mandates that there is no reason to
distinguish the two ratings.  PDVSA's B1 foreign currency
Corporate Family Rating is capped by Venezuela's B1 foreign
currency country ceiling.  PDVSA currently has no publicly rated
debt outstanding and CFRs cannot pierce the ceiling per Moody's
sovereign rating methodology.

PDVSA's BCA of 14 reflects a high degree of political risk and
uncertainty stemming from its strategic role in supporting the
government and its social spending programs.  PDVSA's assets and
current financial position fundamentally indicate a considerably
higher standalone credit risk more in line with its highly rated
integrated peer group.  PDVSA has enormous hydrocarbon
resources, including some 41 billion proved barrels of
conventional crude oil reserves and 39 billion barrels of extra
heavy crude oil reserves in the Orinoco belt.  The company also
has a very low debt level, particularly following the redemption
in 2005 of virtually all of the debt of PDVSA Finance Ltd., a
receivables financing conduit that served as its main source of
cross border finance.  Revenues and pre-tax cash flows were also
at record levels in 2006, driven by higher crude prices, despite
the trend in declining crude production over the past few years.

However, under the Chavez administration PDVSA has become even
more the primary instrument of government funding and social
policy, not only through cash paid out in royalties, income
taxes and dividends, but also through a rising level of social
payments by PDVSA and a variety of trusts set up and funded by
cash resources of the company.  Moreover, as a consequence of
operational challenges since the strike and its growing and
evolving role in funding state programs, PDVSA has been re-
investing in the upstream and downstream businesses at much
lower rates than are typical for a company of its scale and
production levels.  Capital spending in 2006 was estimated to be
in the area of US$7 billion and PDVSA intends to ramp up capital
spending in 2007 and beyond.

PDVSA has set significant goals in the 2007-2012 timeframe,
including plans to increase its conventional crude production
(excluding extra heavy oil from the Orinoco) from a current 2.3
million barrels per day to 4 million barrels per day, to double
extra-heavy oil production through new projects in the Orinoco
Belt, to develop significant offshore natural gas resources, and
to expand its refinery upgrading capacity to increase export of
higher-value refined products.

The current price environment has allowed PDVSA both to fund its
capital and to make ever-larger social payments (the latter at
US$9 billion in the first nine months of 2006, vs. US$6.6
billion for all of 2005).  At the same time, a recently
established US$1 billion bank credit facility and prospects for
other potential debt issuance in 2007 indicate the company could
leverage up in the future, effectively to support the capital
program in the face of government calls on cash for social
spending programs.  In addition, the political climate and
uncertainty surrounding PDVSA's ownership of and control over
the recently established operating joint partnerships (empresas
mixtas) and moves to take majority control of the four Orinoco
heavy oil projects raise serious questions about the direction
of foreign investment and PDVSA's ability to attract new capital
on a sustained basis in the future.

In Moody's view, PDVSA will require higher levels of internal
capital retention and a more certain investment climate if it is
to attract foreign capital and expertise to meet its strategic
goals.  PDVSA also will need to develop and grow its human
resources, despite re-staffing and accelerated training
initiatives that have occurred since the strike of 2002-2003.  
Ultimately, PDVSA's biggest challenge will be to retain more of
the cash it needs internally relative to the government's
increasing demands on cash flow.  Without significant re-
investment, the company's ability even to continue to deliver
cash to the government could be compromised, particularly if
there is a return to lower commodity prices than currently
prevail.

Petroleos de Venezuela, the state oil company of Venezuela, is
headquartered in Caracas, Venezuela with a commercial office in
China.


PETROLEOS DE VENEZUELA: Borrows US$1 Bln from Syndicated Lenders
----------------------------------------------------------------
Petroleos de Venezuela SA has obtained a US$1 billion senior
revolving credit facility from a consortium of lenders comprised
of:

         -- BNP Paribas,
         -- ABN AMRO,
         -- Banco do Brasil,
         -- Citibank,
         -- Deutsche Bank, and
         -- JPMorgan Chase.

Venezuela's state-owned oil firm will use the funds to finance
its operations until it sells US$3.5 billion of bonds in the
local market, Bloomberg News reports.  

Finance Director Eudomario Carruyo told El Universal that the
company will soon register the securities.

Petroleos de Venezuela is planning a US$70 billion expansion
aimed at increasing oil output to meet rising demands.  It
targets a 5.8 million barrels per day output by 2012, Bloomberg
says.

                          *     *     *

Petroleos de Venezuela SA -- http://www.pdv.com/--  
isVenezuela'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.


SAXONDALE LIMITED: Creditors' Meeting Set for March 9
-----------------------------------------------------
The creditors of Saxondale Limited will meet on March 9, 2007,
at 11:30 a.m., to consider the resolution to wind up and appoint
a liquidator.

As reported by the Troubled Company Reporter - Asia Pacific, the
company commenced a wind-up of its operations on Jan. 24, 2007.


SHANGHAI REAL: S&P Keeps BB-Rating; Outlook Goes Negative
---------------------------------------------------------
On Feb. 12, 2007, Standard & Poor's Ratings Services said that
it has revised its outlook on the long-term corporate credit
rating on Shanghai Real Estate Ltd to negative from stable.

At the same time, it affirmed the 'BB-' rating on the company
and the 'BB-' senior unsecured issue rating on its US$200
million 8.625% notes due 2013.

This follows the company's announcement that its 49%-owned
associate, China New Town Development Co. Ltd, plans to issue a
CNY 1,239.6 million convertible bond.
     
"Our outlook revision reflects SRE's increasing risk appetite
and rapid expansion plans, which have been largely funded by
debt.  We are concerned that the company's aggressive land
acquisition activities are likely to lead it to draw on more
resources and capital requirements in the near future," said
Standard & Poor's credit analyst Jacphanie Cheung.
     
As well as expanding land development projects under CNTD, SRE
has acquired several large property development projects over
the past year and has branched out to cities outside of its home
base in Shanghai.  Its land bank more than doubled to an
attributable gross floor area of about 2.1 million square meters
in the year to December 2006.  The site area of land development
projects under CNTD will increase to about 35 million square
meters from 6.6 million square meters.
     
While CNTD is preparing to list separately from SRE and may be
able to raise more funds and convert its proposed bond into
equity, the success of its IPO is dependent on market
conditions. In addition, the effective interest rate of the
proposed bond to maturity is high, at about 15%.  If the IPO
does not go ahead in year 2 of the proposed issue, the
bondholders will have the right to put back at 135% of the
nominal amount.  SRE may therefore need to look for alternative
funding sources to finance its CNTD operations.  Rapid expansion
into new markets could also heighten project execution risks.  
In particular, CNTD's land development and sales schedule could
be affected by tightening regulatory controls, particularly over
land supply.
     
The proposed bond, which has a 5% coupon, is due 2010 and will
be settled in U.S. dollars -- about US$160 million.  CNTD plans
to use the net proceeds to develop two new town developments at
Wuxi and Shenyang.


TRULY FAIR: Appoints Chan Po Kau as Liquidator
----------------------------------------------
On Jan. 30, 2007, Chan Po Kau was appointed as liquidator of
Truly Fair Limited.

The Liquidator can be reached at:

         Chan Po Kau
         Room D, 11/F., 8 Hart Avenue
         8 C10 Hart Avenue
         Tsim Sha Tsui, Kowloon
         Hong Kong


VAUTIER LIMITED: Creditors' Proofs of Debt Due on March 9
---------------------------------------------------------
Vautier Limited requires its creditors to file their proofs of
debt by March 9, 2007, to be included in the company's
distribution of dividend.

The liquidator can be reached at:

         Cheng Mo Kit, Katherine
         United Centre, 26th Floor
         Office B, 95 Queensway
         Hong Kong


WAYWIN CORPORATION: Members Decide to Shut Down Business
--------------------------------------------------------
At an extraordinary general meeting held on Feb. 2, 2007, the
members of Waywin Corporation Limited resolved to wind up the
company's operations.

In this regard, Yip Pui Yee was appointed as liquidator.

The Liquidator can be reached at:

         Yip Pui Yee
         24th Floor, Prosperous Commercial Building
         54-58 Jardine's Bazaar
         Causeway Bay
         Hong Kong


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

AES CORP: S&P Maintains BB- Rating Amidst EDC Stake Sale
--------------------------------------------------------
Standard & Poor's Ratings Services said that AES Corp's
(BB-/Stable/--) preliminary agreement to sell its 82% stake in
La Electricidad de Caracas, a regulated electricity business in
Venezuela, to the Bolivarian Republic of Venezuela (BB/Stable/B)
for US$740 million (after 2007 dividends) does not affect the
ratings or outlook on AES at this time.

While EDC has provided about US$665 million of dividends to AES
between 2000 and 2006, our assessment of AES parent operating
cash flow incorporates the high-risk nature of EDC's
distributions.  We estimate EDC would have provided about US$80
million in annual distributions, or about 9% of AES' parent cash
flow, in the future.  Eliminating distributions of this
magnitude would result in parent-level cash flow interest
coverage of about 1.75x versus actual of 2.0x and parent-level
cash flow to debt of 15.5% versus 17.5% for 2006, but will also
result in lesser volatility in parent level operating cash flow.  
Relative to the low probability but worst-case scenario of
expropriation without compensation, this result is positive.  
However, the ultimate use of proceeds will drive the company's
credit quality, with debt reduction or reinvestment in less
risky assets being viewed positively.  The sale is contingent
upon the company's completion of satisfactory due diligence.

AES Corporation -- http://www.aes.com/-- is a global power    
company.  The company operates in South America, Europe, Africa,
Asia and the Caribbean countries.  Generating 44,000 megawatts
of electricity through 124 power facilities, the company
delivers electricity through 15 distribution companies.

The company has presence in India, China and Sri Lanka.


CONEXANT SYSTEMS: Earns US$7.4 Mil. in Fiscal 2007 First Quarter
----------------------------------------------------------------
Conexant Systems Inc. reported US$7.4 million of net income on
US$245.5 million of revenues for the first quarter of fiscal
2007, compared with US$7.3 million of net income on
US$245.9 million of revenues for the same period of fiscal 2006.

Core operating expenses increased in the first quarter of fiscal
2007 to US$93.6 million as a result of increased investments in
new product development.  Core operating expenses in the year-
ago quarter were US$83.1 million.

Core operating income was US$16 million compared to US$13
million in the first quarter of fiscal 2006.

"In the first fiscal quarter, despite a clearly challenging
market environment, the Conexant team delivered financial
results that met the expectations we set entering the quarter,"
said Dwight W. Decker, Conexant chairman and chief executive
officer.

At Dec. 31, 2006, the company's balance sheet showed US$1.9
billion in total assets, US$1.3 billion in total liabilities,
and US$531.3 million in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Dec. 31, 2006, are available
for free at http://researcharchives.com/t/s?19af

Headquartered in Newport Beach, CA, Conexant Systems, Inc. --
http://www.conexant.com/-- is a leading provider of integrated  
circuits for the communications and broadband digital home
markets.  The company has operations in India, Taiwan, China,
Japan, Korea, Bristol, and Germany.

The Troubled Company Reporter - Asia Pacific reported on Nov. 1,
2006, that Standard & Poor's Ratings Services raised its
corporate credit and other ratings on Conexant Systems Inc.,
reflecting improved liquidity and operating results.  The
corporate credit rating was raised to 'B' from 'B-'.  The
outlook was revised to stable from negative.

At the same time, Standard & Poor's assigned 'B+' senior secured
rating and '1' recovery rating to the company's proposed US$250
million senior secured floating rate notes due 2010, indicating
that investors can expect full (100%) recovery of principal in
the event of payment default.  The rating is based on
preliminary offering statements and is subject to review upon
final documentation.

Also on Nov. 1, the TCR-AP reported that Moody's Investors
Service assigned a B1 rating to the senior secured floating rate
notes and a Caa1 rating to the corporate family of Conexant
Systems, Inc.


EASTMAN KODAK: Details Major Restructuring by End of 2007
---------------------------------------------------------
Eastman Kodak Company has reported significant progress in the
implementation of its digital business strategy, led by new
product introductions across its consumer and commercial
portfolio, the continued integration and growth of its Graphic
Communications Group, and accelerated cost reductions that will
follow the divestiture of its Health Group.

At a meeting with investors, Kodak detailed the plan that it is
following to generate profitable digital growth in 2007 and to
position itself for further success in 2008 and beyond.  The
presentation also covered Kodak's plan to complete its major
business restructuring by the end of 2007, as the company
progresses toward its target business model.  The company
expects that target business model to yield gross profit margins
of 28% to 29% with earnings from operations equal to 8% to 9% of
revenue in 2009.

"During the past three years we have made visible and
significant progress in creating the new Kodak," Eastman Kodak
Company Chairman and Chief Executive Officer Antonio M. Perez
said.

"We have built the industry's leading provider of products and
services for commercial printers, and this week we launched a
long-awaited breakthrough value proposition for consumers in the
inkjet market.  In 2007, we are continuing to move aggressively
to complete the transformation of our business operations and
fully implement a business model which will power our future
success in digital markets."

           Business Units Poised for Profitable Growth

During 2006, the company's Consumer Digital Group made
significant progress in achieving its digital operating model,
delivering a US$132 million improvement in earnings and positive
cash contribution for the year.  For 2007, the company expects
Consumer Digital Group revenues to be steady on a year-over-year
basis, driven by new product introductions in consumer inkjet
and image sensors and growth in the Kodak Gallery and Kodak
Picture Kiosks, partially offset by declines in consumer paper.

The company forecasted improved earnings for CDG, driven by
image sensors, home printing, the Kodak Gallery, Kodak Picture
Kiosks and consumer paper, plus the benefit from the company's
ongoing intellectual property licensing program.

"As an early investor in digital technology, Kodak has amassed a
sizeable amount of extremely valuable intellectual property,"
Mr. Perez said.  "We are committed to generating value from that
asset by using it to drive business partnerships, provide the
company with access to new markets and additional technology,
and to generate earnings and cash."

For 2007, the company expects revenue and earnings from
intellectual property licensing of at least US$250 million.

The Graphic Communications Group continues to remain ahead of
its integration plan and, in 2007, the company expects the
business to grow digital revenue between 6% and 9% with
expanding earnings.  Key areas of profitable growth and market
leadership for GCG include digital plates, inkjet-printing
solutions, document imaging, electrophotographic digital
printing, and workflow software.

                      Financial Priorities

Kodak remains focused on three priorities as it continues to
transform its business: net cash generation, digital earnings
from operations, and digital revenue growth.

For 2007, on a continuing operations basis, Kodak expects net
cash generation (formerly investable cash flow) of US$100
million to US$200 million after restructuring disbursements of
approximately US$600 million and an aggressive introduction plan
for inkjet products.  The company also expects to generate
digital earnings from operations of US$200 million to US$300
million on digital revenue growth of 3% to 5%.

"As we enter the final year of our transformation, we are
focused on completing the restructuring of our traditional
operations, reducing debt, and refining our cost model in order
to create a foundation for sustainable and profitable growth,"
Eastman Kodak Company Chief Financial Officer Frank S. Sklarsky
said.

"We continue to generate sufficient cash in order to fund these
efforts, and also to support the launch of key new products that
will drive our future growth in revenue and earnings."

                Achieving the Targeted Cost Model

The company has set a goal of building a business model to
achieve sustained success in digital markets, supported by
achieving selling, general, and administrative expenses level
equal to 14% to 15% of revenue by 2009.  For 2006, the company's
selling, general, and administrative expenses level was
approximately 18% of revenue.

"Our manufacturing cost reductions are in the final stages of
implementation," Mr. Sklarsky said.  "We defined what had to be
done and the team has moved aggressively to do it.  We are now
bringing the same focus and intensity to driving reductions in
our SG&A expenses in order to achieve our target business
model."

As part of achieving these cost reductions, the company expects
to make restructuring payments of US$575 million to US$625
million in 2007, with a focus on addressing the anticipated cost
overhang following the completion of its Health Group
divestiture.  By the end of 2007, the company expects to have
made substantial progress in establishing a business model that
will support sustained profitable growth in the digital markets
in which it operates.

                            Job Cuts

Kodak's restructuring program was first announced in January
2004 and updated in July 2005 and August 2006.  As of August
2006, the program anticipated the elimination of 25,000 to
27,000 positions and charges totaling US$3 billion to
US$3.4 billion.

During the fourth quarter of 2006, the company eliminated
approximately 1,200 positions, bringing the program's total
to-date to approximately 23,400 positions along with cumulative
charges of US$2.7 billion.

Based on the restructuring and selling, general, and
administrative expenses reduction actions to-date, and an
understanding of the remaining actions to conclude these
activities by the end of 2007, influenced by the divestiture of
the Health Group, the company now expects that the total
employment reductions will be in the range of 28,000 to 30,000
positions and total charges will be in the range of US$3.6
billion to US$3.8 billion.  The company expects that these
actions will allow it to conclude its major restructuring
program by the end of 2007.

"Kodak is now a company comprised of numerous leading digital
businesses with diverse sources of sales and earnings, coupled
with strong intellectual property positions," Mr. Perez said.

"Our dramatic operational improvements during the past three
years have created a solid foundation from which Kodak will
become a growing digital company with innovative new products
and services, attractive margins and strong cash generation."

                    About Eastman Kodak Co.

Headquartered in Rochester, New York, the Eastman Kodak Company
is a worldwide provider of imaging products and services.  The
company has operations in India, Australia, China, Hong
Kong, Japan, Korea, Malasia, New Zealand, Philippines,
Singapore, Taiwan and Thailand.

Eastman Kodak carries these Moody's Investors Service ratings,:

   -- Corporate Family Rating B1
   -- Senior Unsecured Rating B2
   -- Senior Secured Credit Facilities Ba3

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 5, 2007, the ratings are on Moody's review for possible
downgrade.


FEDERAL BANK: To Expand Share Capital by Rights Issue
-----------------------------------------------------
Federal Bank Ltd's board of directors, at a meeting on Feb. 12,
decided to raise the bank's share capital, a filing with the
Bombay Stock Exchange reveals.

The bank will expand its capital by way of a rights issue in a
ration of 1:1.

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

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


GARWARE POLYESTER: Posts INR43.5 Net Loss in 2006 4th Quarter
-------------------------------------------------------------
Despite an increase in revenues, Garware Polyester Ltd. posted a
net loss of INR43.5 million in the three months ended Dec. 31,
2006, compared with the INR2.4-million net profit booked in the
corresponding period in 2005.

Garware Polyester recorded total income of INR1.313 billion for
the December 2006 quarter, an 8.5% increase from the
INR1.210 billion earned in the December 2005 quarter.

The company's expenditures, however, rose twice as the increase
in revenues.  For the fourth quarter of 2006, the company posted
expenditures totaling INR1.172 billion, a 17% increase from the
INR1.003 billion incurred in the corresponding quarter of 2005.

Interest expenses also rose by 6% from INR119 million in the
quarter ended Dec. 31, 2005, to INR126.5 million in the current
quarter under review.  Likewise, depreciation expense increased
from INR77.6 million in the December 2005 quarter to
INR80.7 million in the December 2006 quarter.

A copy of Garware Polyester'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?19cd

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

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


HDFC BANK: Ties Up With Godrej Aaadhar for Agri-Credit Facility
---------------------------------------------------------------
HDFC Bank has entered into an agreement with Godrej Aadhaar, the
agri services cum retail initiative of Godrej Agrovet Ltd., to
offer agri-credit facility to the rural community across the
country, a media release states.

Under the tie-up, Aadhaar customers could avail of banking
services and loans on a preferential interest rate from HDFC
Bank.  Farmers associated with Godrej Aadhaar can avail credit
in the form of cash and term loans post assessment of their land
holding and cropping patterns.  These farmers could also avail
loan facility for their farm mechanization needs like tractors,
combine harvesters and other Agri-related implements.

"HDFC Bank's association with Godrej Agrovet reflects our
commitment in empowering the farming sector by offering them
world-class banking services at their doorsteps," HDFC Bank
Executive Vice President and Business Head Retail for Agri
Business Neena Singh says.  "While we understand the farmer's
financial needs and Godrej Aadhaar understands their farming
requirements, our association would help the farmers in sourcing
quality agricultural products at attractive rates and thus
improving their returns.  The tie-up is a part of our concerted
strategy in scaling up the visibility and penetration into rural
India. We are sure that with this arrangement, we will be able
to attract large number of farmers."

"[The alliance is] a win-win situation for everyone as this
would not only enable our customers to avail attractive credit
facilities but also allow us to extend our portfolio of products
and services and offer the best to our consumers," Godrej
Agrovet Executive Vice President, R. S. Vijan, says.  "We are
very bullish about this venture and look forward to a very
promising association that could meet the needs of the rural
community."

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

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


HDFC BANK: Allots 4,18,200 Equity Shares Under ESOS
---------------------------------------------------
HDFC Bank Ltd's Investor Grievance (Share) Committee approved at
its meeting held on Feb. 12, 2007, the allotment of 4,18,200
equity shares to the bank's employees.

The share allotment is pursuant to the Employees Stock Option
Scheme of the bank.

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

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


HMT LTD: Names A. V. Kamat as New Chairman & Managing Director
------------------------------------------------------------
HMT Ltd informs the Bombay Stock Exchange of the appointment of
A. V. Kamat as the company's new chairman and managing director
by Presidential Order dated Dec. 14, 2006.  Mr. Kamat replaces
M. S. Zahed who retired from his CMD post on Jan. 31.  
Previuosly a managing director of HMT Machine Tools Ltd, Mr.
Kamat assumed his new post starting Feb. 1.

HMT further informs BSE of these changes in directorate:

   -- N. Gokulram, additional secretary & financial adviser,
      Ministry of Heavy Industries & Public Enterprises, New
      Delhi, has been appointed as part-time official director
      on the company's board via presidential order dated
      Jan. 22, 2007, with effect from Jan. 22, 2007; and

   -- G. S. Shanthiraj has relinquished the charge of the post
      of Director (Finance) with effect from Feb. 1, 2007, upon
      resignation pursuant to Presidential Order dated Jan. 31,
      2007.

HMT Limited -- http://www.hmtindia.com/-- is an engineering  
conglomerate. The company retains the Tractor's Business, which
develops tractors ranging from 25 horsepower to 75 horsepower.  
It has an installed capacity of 18,000 tractors for
manufacturing and assembly operations.  The Company has three
tractor manufacturing units in India located at Pinjore in
Haryana, Mohali in Punjab, and Hyderabad in Andhra Pradesh.  The
subsidiaries of the company include HMT Machine Tools Limited,
HMT Watches Limited, HMT Chinar Watches Limited, HMT
(International) Limited, HMT Bearings Limited and Praga Tools
Limited.  The principal segments include Machine tools, Watches,
Tractors, Bearings and Exports.  The Company has a Joint Venture
with SUDMO HMT Process Engineers (India) Limited, Bangalore.

HMT recorded a net loss of INR44.90 million for the quarter
ended Dec. 31, 2006, down from the net loss of INR14.50 million
in the corresponding quarter in 2005.

Credit Analysis and Research Limited downgraded HMT's long term
bond issue of INR310 crore to CARE BB(SO) on February 18, 2005.  
At the same time, the company's medium term bond issue of
INR40.40 crore was likewise downgraded to CARE BB(SO).  
Instruments rated 'Double B' are considered to be speculative,
with inadequate protection for interest and principal payments.


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

ALCATEL-LUCENT: Selected by Vodafone for Network Convergence
------------------------------------------------------------
Alcatel-Lucent has been selected by Vodafone in Spain to migrate
all networking services onto a highly reliable Alcatel-Lucent
IP/MPLS based network.  The converged network will support
broadband data services, signaling and billing traffic, 3G voice
traffic as well as future multimedia evolutions.  The project,
part of a global network transformation to IP, will enable the
operator to guarantee end-to-end quality of service, to optimize
its network performance and to support new multimedia services.

By evolving its networks to a next-generation infrastructure,
Vodafone will support all services on a single network allowing
the mobile operator to optimize its investment and operational
expenditures, and accelerate the launch of new advanced and
convergent services to the market.

"This project provides our network with the reliability and
versatility needed to offer our consumer and corporate clients
the highest quality and most advanced mobile services on the
market," said Jaime Bustillo, Technology director from Vodafone
Spain.  "A streamlined network based on the Alcatel- Lucent IP
solution allows us to dramatically improve on CAPEX and OPEX
while still gaining new revenue opportunities.  As well,
Alcatel-Lucent is involved in the Vodafone Group's overall end-
to-end IP transformation initiative so from a consistency point
of view, the Alcatel-Lucent IP solution is a perfect fit."

With the Alcatel-Lucent IP/MPLS solution, Vodafone is optimizing
the use of bandwidth in its IP core network, that will
dynamically be adapted to the bandwidth needs depending on the
volume of data and the type of traffic transmitted.
Additionally, its intelligent service management capabilities
will allow the operator to guarantee reliability and end-to-end
quality, and to diversify its offering by establishing
differentiated quality of service levels based on the type of
client or the use of the network.  This is a significant
advantage for high bandwidth multimedia services that are very
demanding in terms of network performance.

"Users are requesting more innovative and sophisticated 'always
on' mobile services with optimal quality and widespread
availability which is very demanding in terms of network
performance," said Olivier Picard, President of Alcatel-Lucent's
Europe and South activities.  "Offering a service mix of this
caliber requires a complete network transformation giving
Vodafone the reliability, performance and flexibility of a
converged network architecture.  Alcatel-Lucent's unique high
availability features in our service routers are ideally geared
toward delivering mobile voice services over an IP/MPLS
network."

Alcatel-Lucent is providing Vodafone with an IP/MPLS core and
edge network solution based on its next generation Alcatel-
Lucent 7750 Service Router and 7710 Service Router along with
the Alcatel-Lucent 5620 Service Aware Manager.

Vodafone joins more than 160 service providers in over 60
countries, including massive, multi-year IP network and service
transformation projects at AT&T, BT, Cable & Wireless, and
Telstra.  According to Ovum-RHK, Alcatel- Lucent was #2 in the
IP/MPLS Edge market segment in Q4 2006, with 19% market share.

                       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.


ALCATEL-LUCENT: Performed Well Despite Weak Results, Fitch Says
---------------------------------------------------------------
Fitch Ratings reported that Alcatel-Lucent has managed
expectations well and apparently received good support from the
capital markets, despite what was a relatively weak but
well-flagged set of full-year financial results.

The results support Fitch's downgrade of Alcatel to 'BB' from
'BBB-' on Dec. 8, 2006 upon completion of the Lucent merger.

"It is interesting that a well-trailed profit warning in January
and a step-up in restructuring initiatives announced [Fri]day,
combined with a relatively weak set of results, have resulted in
a positive reaction from the equity markets for Alcatel-Lucent
this morning," says Stuart Reid, a Director in Fitch's European
TMT team.

"While the company provided somewhat reassuring guidance for
2007, Fitch believes considerable work remains before the
company might justify a move back into the investment-grade
world".

Alcatel-Lucent results included a fall in pro-forma sales by
1.7% to EUR18.2 billion, at a time when equipment vendors
generally have been reporting healthy levels of growth.  
Stripping out the impact of restructuring, impairments and
share-based compensation, operating income fell to EUR1,025
million reflecting a pro-forma margin of 5.6%.  Coupled with
relatively weak cash flows and a more leveraged balance sheet,
the agency believes the current rating of 'BB' to be fully
justified.

While it is too early to conclude too much from Alcatel-Lucent's
figures, the weakness in the company's North American mobile
revenues in 2006 - the key strategic benefit contributed by
Lucent - is a concern.  Although Ericsson, which reported last
week, also suffered an erosion in sales from the region in 2006,
its strong overall revenue and earnings growth confirm the
benefits of the geographic diversity that that company enjoys.

In terms of cash flow performance, analysis is obscured by the
fact that Alcatel-Lucent's numbers only benefit from one month's
consolidation of the merged entity.  They nonetheless confirm
Fitch's reservations at the time of the downgrade in December
2006 that cash flow would be weakened and that the company's
capitalization would suffer as a result of the merger.  On a
consolidated basis Alcatel-Lucent reported negative free cash
flow of around EUR500 million for the year.

While credit default spreads generally have benefited from
technical conditions in recent months, Fitch views the
tightening in Alcatel-Lucent's credit spreads in recent months
somewhat difficult to rationalize.  

Fitch would want to see an improvement in operating margins and
free cash flow before any change in the Outlook might be
considered.  While the company has articulated a clear road map
to improved profitability, including the escalation in headcount
cuts from 9,000 to 12,500, execution risk remains.  Cash costs
related to the restructuring will weigh on cash flow and
liquidity, although M&A risk is considered relatively low given
the challenges at hand.

                      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-
U.S. 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.


ANIXTER: Fitch Assigns 'BB' Rating to US$300-Mil. Notes Due 2013
----------------------------------------------------------------
Fitch Ratings has assigned a 'BB-' rating to Anixter
International's offering of up to US$300 million in senior
unsecured convertible notes maturing in 2013.  Fitch rates
Anixter and its wholly owned operating subsidiary, Anixter Inc.
as follows:

Anixter

   --Issuer Default Rating (IDR) 'BB+';
   --Senior unsecured debt 'BB-'.

AI

   --Issuer Default Rating 'BB+';
   --Senior unsecured notes 'BB+';
   --Senior unsecured bank credit facility 'BB+'.

The Rating Outlook is Stable, although similar future debt-
financed shareholder friendly actions that result in
deteriorating credit protection measures would result in
negative rating actions.

Fitch expects Anixter to use the proceeds from this offering to
reduce debt by approximately US$150 million and to repurchase
common stock with the remaining portion.  Combined with a
repurchase program at the beginning of January, Anixter will
have repurchased close to 3 million shares this year, roughly 8%
of total shares outstanding.

Based on financial results as of Dec. 29, 2006 and reflecting
the aforementioned convertible note issuance, share repurchase
and debt redemption plan, Fitch estimates liquidity on a pro
forma basis to be approximately US$200 million consisting of the
following:

   -- Approximately US$50 million of cash and cash equivalents;

   -- A US$275 million, five-year revolving credit agreement
      maturing June 2009 of which approximately US$125 million
      is undrawn and available;

   -- A US$40 million Canadian revolving credit facility
      expiring June 2009 with a minimal amount remaining undrawn
      and available;

   -- Revolving credit facilities at other foreign subsidiaries
      totaling approximately US$35 million with nominal amounts
      undrawn and available.

In addition, Anixter has a US$225 million on-balance-sheet
accounts receivable securitization program expiring September
2007 of which approximately US$125 million is available.

Fitch estimates pro forma total debt is approximately US$950
million consisting of the following:

Anixter

   -- Approximately US$160 million accreted value of 3.25% zero
      coupon convertible senior notes due 2033;

   -- Current offering of up to US$300 million in senior
      unsecured convertible notes due 2013.

AI

   -- US$200 million 6% senior unsecured notes due 2015;

   -- Approximately US$190 million in borrowings under various
      credit facilities;

   -- Approximately US$100 million outstanding under the
      company's accounts receivable securitization program.

Anixter's senior unsecured convertible notes are not guaranteed
by AI and, therefore, are structurally subordinated to AI's
debt.

The ratings and Outlook reflect Anixter's improved operating
performance driven by the combination of a stable end-market
demand environment, market share gains in the company's small
but growing sales of fasteners and C-class components to
original equipment manufacturers, and higher EBIT margins due in
part to cost savings from integrating recent acquisitions as
well as rising copper prices during 2006.  Also considered are
Anixter's well-diversified product, customer and supplier
portfolios, and the information technology distribution
industry's ability to generate cash from working capital during
a downturn.  Fitch also expects that Anixter will continue to be
able to generate cash from operations even at growth rates in
the low double-digits.

Rating concerns mainly center on the company's history of using
debt financing for shareholder friendly actions as well as
Fitch's expectation that Anixter will continue using free cash
flow for a combination of special dividends and acquisitions.
Given Anixter's current focus of integrating prior acquisitions,
Fitch expects acquisition activity to slow in 2007.  Fitch also
considers the thin operating EBIT margins associated with the IT
distributors and Anixter's unhedged exposure to commodity
prices, which would affect operating income negatively if copper
prices were to decline significantly.

                         About Anixter

Anixter International Inc. -- http://www.anixter.com-- is the  
world's largest distributor of communication products and
electrical and electronic wire and cable, and a leading
distributor of fasteners and other small parts ("C" class
inventory components) to original equipment manufacturers.

The company has nearly US$725 million in inventory of more than
325,000 products, logistics network of 197 warehouses with more
than 5.0 million square feet of space, and has presence in 220
cities in 45 countries, including Indonesia, Australia, China,
Hong Kong, India, Malaysia, New Zealand, the Philippines,
Singapore, Taiwan, and Thailand.


BANK INDONESIA: Has No Plan to Revise Inflation Target for 2007
---------------------------------------------------------------
Bank Sentral Republik Indonesia has no plan to revise its
inflation target of 6% for this year despite floods hitting
several parts of the country early this year, Antara News
reports citing the Central Bank Senior Deputy Governor Miranda
S. Goeltom.

According to the report, Ms. Goeltom said that the floods have
not had a significant impact on the inflation target of six,
plus or minus one, percent for 2007.

Ms. Goeltom told the news agency that the central bank would
revise the inflation target only if something affected the macro
economic structure in the rest of 2007.  Natural disasters that
hit the country like drought and flood had a little impact on
the inflation rate, she says.

Ms. Goeltom believes that the bank still had enough time to keep
the inflation rate in check with still more than 10 months to
go.  She cites volatile global oil prices and natural disasters
as external factors that might affect the inflation target for
2007.

Bank Sentral Republik Indonesia -- http://www.bi.go.id/-- was  
created by a new Central Bank Act, the UU No. 23/1999 on Bank
Indonesia, enacted on May 17, 1999.  The Act confers it the
status and position as an independent state institution and
freedom from interference by the Government or any other
external parties.

In its capacity as central bank, Bank Indonesia has one single
objective of achieving and maintaining stability of the rupiah
value.  The stability of the value of the rupiah comprises two
aspects, one is stability of rupiah value against goods and
services and the other is the stability of the exchange rate of
the rupiah against other currencies.  The first aspect is as
reflected by the rate of inflation and the second aspect is as
reflected by the development of rupiah exchange rate against
other currencies.

The Troubled Company Reporter - Asia Pacific reported on Jan.
29, 2007, that Fitch Ratings affirmed the ratings of Bank
Indonesia as follows:

   -- Long-term foreign currency Issuer Default rating at 'BB-',
   -- Short-term rating at 'B',
   -- National Long-term rating at 'AA-',
   -- Individual rating at 'C/D' and
   -- Support rating at '4'.

Standard and Poors Rating Services gave Bank Indonesia's long
term foreign issuer credit a B+ rating and long-term local
issuer credit a BB rating, both effective on December 21, 2004.
May 12, 2003.


GENERAL NUTRITION: S&P Keeps 'B' Credit Rating on Watch Negative
----------------------------------------------------------------
Standard & Poor's Ratings Services said its ratings on General
Nutrition Centers Inc., including the 'B' corporate credit
rating, remain on CreditWatch with negative implications, where
they were placed on Dec. 22, 2006, following the company's
announcement that it was no longer contemplating a public
offering, but that it would continue to evaluate strategic
alternatives, including a possible sale of the company that
would be financed with a substantial amount of additional debt.

"On Feb. 9, Ares Management LLC and the Ontario Teachers'
Pension Plan announced that they had signed a definitive
agreement to acquire GNC Parent Corp., the parent company of
GNC, from Apollo Management L.P.," explained Standard & Poor's
credit analyst Jackie Oberoi.  "GNC's enterprise value is
estimated at US$1.65 billion for this transaction."

The ratings on Pittsburgh, Penn.-based GNC reflect a highly
leveraged capital structure, with total lease-adjusted debt pro
forma for the company's recent pay-in-kind note issuance of
about 6.8x.

Pittsburgh, Pennsylvania-based General Nutrition is a subsidiary
of GNC Corp. -- http://www.gnc.com/-- a specialty retailer of  
health and wellness products, including vitamins, minerals,
herbal, and specialty supplements (VMHS), sports nutrition
products and diet products.  The company sells its products
through a worldwide network of more than 5,800 locations
operating under the GNC brand name and operates in three
business segments: retail, franchise and manufacturing/
wholesale.

GNC's Asian operations include those in Indonesia and the
Philippines.


NORTEL: Estimates Results for Prelude 4Q Operating Performance
--------------------------------------------------------------
Nortel Networks Corp., in a media release, gave its estimated
preliminary results for the fourth quarter operating
performance.

According to Nortel, fourth quarter 2006 revenues are expected
to be approximately US$3.26 billion, up 8.8% from US$3.00
billion for the same period in 2005.  Gross margin in the
quarter is expected to be slightly above 40% of revenue, with a
strong contribution from the LG joint-venture and CDMA, up from
39.4% in the fourth quarter of 2005.  Spending for the fourth
quarter of 2006 is expected to be flat too slightly higher than
for the same period last year.

Cash as at Dec. 31, 2006, was approximately US$3.50 billion, up
about US$900 million from Sept. 30, 2006.  This includes
approximately US$300 million of gross proceeds from the sale of
certain assets and liabilities of the UMTS Access business to
Alcatel-Lucent.

Nortel expects to report its operating and financial performance
for the fourth quarter and full year 2006 in the second half of
February 2007, in conjunction with the filing of the Annual
Report on Form 10-K.

"I am pleased with the progress made in 2006, and with the
strong performance Nortel delivered towards the end of the
year," said Zafirovski.  "Nortel is committed to our short and
long-term plans, and we are beginning to see the desired
results."

As reported in yesterday's issue of the Troubled Company
Reporter - Asia Pacific, Nortel announced plans to cut its
global workforce by around 2,900 jobs during the course of 2007
and into 2008.  The workforce reduction is part of the company's
business transformation plan.

                          About Nortel

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- is a recognized  
leader in delivering communications capabilities that enhance
the human experience, ignite and power global commerce, and
secure and protect the world's most critical information.

Serving both service provider and enterprise customers, Nortel
delivers innovative technology solutions encompassing end-to-end
broadband, Voice over IP, multimedia services and applications,
and wireless broadband designed to help people solve the world's
greatest challenges.  Nortel does business in more than 150
countries, including in Indonesia, Australia, China, Mexico,
Philippines, and Thailand.

                          *     *     *

As reported in the Troubled Company Reporter on Oct. 5, 2006
Moody's Investors Service upgraded its B3 Corporate Family
Rating for Nortel Networks Corp. to B2.

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  DBRS says all trends are stable.

DBRS confirmed B (low) Stb Senior Unsecured Notes; B (low) Stb
Convertible Notes; B (low) Stb Notes & Long-Term Senior Debt;
Pfd-5 (low) Stb Class A, Redeemable Preferred Shares; and Pfd-5
(low) Stb Class A, Non-Cumulative Redeemable Preferred Shares.


PERTAMINA: May Work with Norway's Statoil on Natuna Gas
-------------------------------------------------------
PT Pertamina (Persero) may cooperate with Norway's Statoil to
develop the Natuna D-Alpha gas block over which Exxon Mobil Corp
is in a dispute with Jakarta, Reuters reports, citing Pertamina
President Director Ari Soemarno.

According to the report, the Natuna D-Alpha block in the South
China Sea has around 222 trillion cubic feet of gas, of which 46
tcf is thought to be commercially recoverable, and about 70% of
the gas reserve contain carbon dioxide, making it expensive to
develop and difficult to sell.

The block, about 1,100 km north of Jakarta and 200 km east of
the West Natuna fields that feed gas to Singapore, accounts for
about a quarter of Indonesia's total commercially recoverable
gas reserves of 182 tcf, Reuters notes.

Pertamina has a 24% stake in the block while Exxon Mobil had
76%.  Exxon, however, is in a dispute with the government of
Indonesia over whether the contract giving its share has
expired, Reuters relates.  The government said it had terminated
the contract with Exxon Mobil late last year amid high
extraction costs and a lack of buyers for the gas while Exxon
believes it has two more years, the news agency says.  

Pertamina reportedly wants to increase its stake in Natuna D-
Alpha to 50%.  Citing Indonesia Energy Minister Purnomo
Yusgiantoro, Reuters says the government wants the company to
have a larger share.

PT Pertamina (Persero) -- http://www.pertamina.com/-- is a  
wholly state-owned enterprise.  The enactment of Oil and Gas Law
No. 22/2001 in November 2001 and Government Regulation
No.31/2003 has changed its legal status from a special state
owned enterprise into a Limited Liability Company.  In carrying
out its activities, PT Pertamina implements an integrated system
from upstream to downstream.  Pertamina operates seven oil
refineries with a total output capacity of around 1 million
barrels per day.  However, these refineries only cover about
three-quarters of domestic oil demand, with the rest being me by
imports.

In 2003, PT Pertamina finance director Alfred Rohimone disclosed
that the Company's financial condition was in critical condition
because its expenses had surpassed its income due to its
obligation to meet domestic demand with fuel oil bought at
higher prices on the international market.  Mr. Rohimone stated
that with a liquidity position below IDR2 trillion, the Company
was already bleeding.

Despite reporting a net profit of IDR3.03 trillion for the first
six months of 2005, Pertamina's failure to service its financial
obligations was pegged as one of the contributors to Indonesia's
decreased income for the year.

In August 2005, Pertamina's debt to United States firm Karaha
Bodas Company rose from IDR2.54 trillion to IDR2.99 trillion.
The debt had increased when, in 2003, a U.S. court ordered the
Company to pay compensation to KBC, relating to an international
arbitration decision, when the Indonesian Government halted a
geothermal project in Karaha Bodas, East Java.  Since that time,
the debt has steadily risen due to the Company's failure to pay
the compensation immediately.


PERTAMINA: To Undertake Six Oil Exploration Projects in Ecuador
---------------------------------------------------------------
PT Pertamina (Persero) will undertake six oil exploration
projects in Ecuador in 2007, Antara News reports, citing the
company's Upstream Operations Director Sukusen Soemarinda.

According Mr. Soemarinda, the oil-exploration projects the
company is eyeing in Ecuador are all production-sharing
contracts.

The projects reportedly were all in the upstream sector and with
one located offshore.

Mr. Soemarinda said that the projects had been agreed on through
a strategic alliance agreement signed in August last year,
Antara recounts.

The report adds that Mr. Soematinda expects the projects to add
20,000 barrels of oil a day to Pertamina's total output once
they will begin commercial production.

PT Pertamina (Persero) -- http://www.pertamina.com/-- is a  
wholly state-owned enterprise.  The enactment of Oil and Gas Law
No. 22/2001 in November 2001 and Government Regulation
No.31/2003 has changed its legal status from a special state
owned enterprise into a Limited Liability Company.  In carrying
out its activities, PT Pertamina implements an integrated system
from upstream to downstream.  Pertamina operates seven oil
refineries with a total output capacity of around 1 million
barrels per day.  However, these refineries only cover about
three-quarters of domestic oil demand, with the rest being me by
imports.

In 2003, PT Pertamina finance director Alfred Rohimone disclosed
that the Company's financial condition was in critical condition
because its expenses had surpassed its income due to its
obligation to meet domestic demand with fuel oil bought at
higher prices on the international market.  Mr. Rohimone stated
that with a liquidity position below IDR2 trillion, the Company
was already bleeding.

Despite reporting a net profit of IDR3.03 trillion for the first
six months of 2005, Pertamina's failure to service its financial
obligations was pegged as one of the contributors to Indonesia's
decreased income for the year.

In August 2005, Pertamina's debt to United States firm Karaha
Bodas Company rose from IDR2.54 trillion to IDR2.99 trillion.
The debt had increased when, in 2003, a U.S. court ordered the
Company to pay compensation to KBC, relating to an international
arbitration decision, when the Indonesian Government halted a
geothermal project in Karaha Bodas, East Java.  Since that time,
the debt has steadily risen due to the Company's failure to pay
the compensation immediately.


TELKOM INDONESIA: Plans to Change Board of Directors
----------------------------------------------------
PT Telekomunikasi Indonesia Tbk is planning to change its board
of directors through a shareholders' extraordinary meeting on
Feb. 28, Antara News reports, citing a company statement.

According to the report, the company's board will also make a
decision on Telkom Pension Fund restructuring, bought back
share, as well as Employee and Management Stock Option Plan
during the meeting.

The report points out that corporate commissioner membership
tenure adjustment will be on the agenda for the extraordinary
meeting as well.  Tenure adjustment of the corporate
commissioners, which were appointed on March 10, 2004, is in
line with PT Telkom`s new basic calculation stipulation and Law
No.19/2003 on State Enterprises, the report relates.

Antara notes of a rumor that Telkom President Director Arwin
Rasyid will resign.  The company's secretary Harsya Denny Suryo,
however, denied the rumor, citing a report to the Jakarta Stock
Exchange.

Mr. Suryo said that Telkom's commissioner had never received a
letter of resignation from Mr. Rasyid, adding that Telkom's
shareholders had named Mr. Rasyid a president director and
assigned him to increase market capitalization to US$30 billion
in 2010, Antara says.

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, 2007, 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
=========

BANCO BRADESCO: Increasing Interest on Own Capital by 10%
---------------------------------------------------------
Banco Bradesco's Board Of Directors approved a proposal of the
Board of Executive Officers to increase by 10% the amount of the
Monthly Interest on Own Capital, paid in advance to the
stockholders, in conformity with the Monthly Compensation
System, increasing them from BRL0.032775000 to BRL0.036052500
for the common stocks and from BRL0.036052500 to BRL0.039657750
for the preferred stocks, effective as from the Interest
referring to March 2007, payable on April 2, 2007, to
stockholders of record at the close of business on March 1,
2007.

The payment will be made by the net amount of BRL0.030644625 for
the common stocks and BRL0.033709088 for the preferred stocks,
after deduction of Withholding Income Tax of 15%, except for the
legal entity stockholders that are exempted from this taxation,
which will receive according to the declared gross amount.

Banco Bradesco resolved to submit to the company's stockholders
at the Annual Meeting to be called on March 12, 2007, the
proposal for increasing the capital stock in the amount of
BRL3.8 billion, from BRL14.2 billion to BRL18 billion, by using
part of the balance of the "Profit Reserve - Statutory Reserve"
account, attributing to the company's stockholders, free of
charge, as bonus stock held, 1 new stock, of the same type, for
each stock held.  The bonus stock held will be disclosed to the
market by Banco Bradesco, after the process is approved by the
Brazilian Central Bank.

Simultaneous to the operation in the Brazilian Market, and in
the same proportion, the bonus stock will benefit the Depositary
Receipts in the U.S. (NYSE) and European (Latibex) Markets, as
investors will receive 1 new DR for each DR held, which will
continue to be traded at the ratio of 1 preferred stock for 1
DR, in the respective markets.

The operation aims at adjusting the price of the stocks in the
market to a more attractive level for trading, providing an
improved liquidity to the shares, not implying an increase in
the distribution of monthly dividends and interest on own
capital.

The monthly interest on own capital to be declared after
including the bonus stock in stockholders' positions will be
adjusted, from BRL0.036052500 to BRL0.018026250 for the common
stocks and from BRL0.039657750 to BRL0.019828875 for the
preferred stocks, so that the stockholders will continue
receiving equal amount of interest.

Current stocks issued by the company will continue to be traded,
entitled to bonus stocks, and new stocks will be made available
for trading after the approval by the Brazilian Central Bank and
included in the stockholders' position.

The unit price to be attributed to the bonus stocks will be
disclosed on the meeting.

                       Bonus Stock Rights

Stocks resulting from the bonus stock will be entitled to
monthly dividends and interest on own capital, and possibly
complementary dividends and interests to be declared as from the
date the new stocks are included in the stockholders' position.  
Those stocks will also be fully entitled to possible advantages
attributed to other stocks as from the referred date on.

                      About Banco Bradesco

Headquartered in Sao Paulo, Brazil, Banco Bradesco S.A. Banco --
http://www.bradesco.com.br/-- prides itself on serving low-and   
medium-income individuals in Brazil since the 1960s.  Bradesco
is Brazil's largest private bank, with more than 3,000 banking
branches, and also a leader in insurance and private pension
management.  Bradesco has branches throughout Brazil as well as
one in New York, and Japan.  Bradesco offers Internet banking,
insurance, pension plans, annuities, credit card services
(including football-club affinity cards for the soccer-mad
population), and Internet access for customers.  The bank also
provides personal and commercial loans, along with leasing
services.

                          *     *     *

Fitch Ratings upgraded Banco Bradesco S.A.'s short-term local
currency rating to 'F3' from 'B.'

Fitch has also taken these rating actions on Banco Bradesco:

   -- Foreign Currency Issuer Default Rating upgraded to
      'BB+' from 'BB', Outlook remains Stable;

   -- Short-term Foreign Currency rating affirmed at 'B';

   -- Local Currency Issuer Default Rating affirmed at 'BBB-',
      Outlook Stable;

   -- Individual rating affirmed at 'B/C';

   -- Support rating affirmed at '4';

   -- National Long-term affirmed at 'AA+(bra)', Outlook remains
      Stable; and

   -- National Short-term affirmed at 'F1+(bra)'.

As reported on Nov. 30, 2006, Moody's Investors Service upgraded
these ratings of Banco Bradesco SA:

   -- long-term foreign currency deposits to Ba3 from B1; and

   -- long- and short-term global local currency deposit
      ratings to A1/Prime fom A3/Prime-2.

Moody's said the ratings outlook is stable.


CAPCOM CO: Moody's Upgrades Long-Term Rating To Baa3 from Ba2
-------------------------------------------------------------
Moody's Investors Service has upgraded Capcom Co., Ltd's senior
unsecured long-term debt rating to Baa3 from Ba2.  The rating
outlook is stable.  This action reflects Moody's expectation
that Capcom's earnings and cash flow will continue to grow and
stabilize over the intermediate term, as a result of heightened
demand for home video game software based on the launch of new
hardware platforms and the company's efforts in ongoing
structural reforms.  This action concludes the review initiated
on November 21, 2006.

Capcom is a leading home video game software developer and, in
Moody's view, has the advanced technology needed to develop
popular titles. Its very popular game software titles have
posted strong worldwide sales.

Moody's believes that the launch of next-generation game
hardware will contribute to stimulating domestic demand for game
software titles over the medium term, although this demand has
shrunk in the past.  Capcom should create strong growth
opportunities -- mainly in its home video games business, which
accounts for about 60% of its consolidated sales -- by further
executing its multi-platform business strategy.

Over the last couple of years, Capcom has taken various measures
to rationalize its organization, aimed at increasing its ability
to continue to launch popular and profitable game software
titles and to pursue growth opportunities both in Japan and
abroad.  It has implemented its multi-platform strategy to
provide its game software titles to all the home video-game
hardware platforms and has established alliances with other
leading software developers through the development and
distribution of software titles.

Furthermore, Capcom has maintained stable arcade operations and
arcade games sales businesses, as well as contents expansion
business -- which includes development and sales of contents to
mobile telecommunications services.  These initiatives will
contribute to stabilizing sales and earnings, in Moody's view.

As a result of these efforts, the company's financial results
for the nine months to December 2006 showed significant
improvement over the same period of the prior year.  It posted a
13.5% operating margin, up from 9.9% for the same period of the
prior year. Its new software titles, especially "Dead Rising"
for Microsoft's Xbox 360 in North America and Europe, have
contributed to growing sales and earnings.  Moody's views
positively that Capcom has demonstrated an ability to develop
software for next-generation systems and create new game titles,
and that this will enable the company to further diversify
revenue and earnings among game hardware platforms.

Capcom's capital structure has been recovering over the last two
years after the company posted extraordinary losses for
restructuring in FYE 3/2003 and FYE 3/2004. At end-December
2006, the company had about Yen 37.5 billion in debt, but also
Yen 36 billion of cash and deposits.  It continues to prioritize
debt reduction, mainly by using cash on hand.  Thus, Moody's
expects it will keep a strong balance sheet going forward.

Headquartered in Osaka, Japan, Capcom Co., Ltd. --
http://www.capcom.co.jp-- is one of Japan's leading developers   
of home video-game software.  The company also engages in arcade
operations and arcade games sales businesses.  Its consolidated
sales in FYE3/2006 were JPY70.3 billion.


NIKKO CORDIAL: To Sue Former Executives Over Accounting Fraud
-------------------------------------------------------------
Nikko Cordial Corp. intends to file a suit against two former
group executives to seek compensation for fraudulent accounting
under their leadership, The Asahi Shimbun reports.

The report says that the company's decision to commence a case
against Hajime Yamamoto, Nikko Cordial's former senior group
executive in charge of finance, and Hirofumi Hirano, former
president of Nikko Principal Investments Japan Ltd, was made by
an advisory committee chaired by Nikko Cordial President Shoji
Kuwashima.  The advisory committee was formed after a special
independent panel concluded that the falsification of the
company's earnings reports was done systematically.   

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 1, 2007, a report issued on Jan. 30 by a special panel
looking into the accounting fraud at Nikko Cordial stated that
the company's top management was involved in inflating profits.
The TCP-AP report said that Mr. Yamamoto and Mr. Hirano were
directly involved in the falsification of the company's
consolidated earnings report for the year through March 2005.

The advisory committee concluded that the two former executives
had neglected their obligations as board directors, stipulated
under the Company Law, The Asahi Shimbun states.

According to the report, the advisory committee stopped short of
opting to press criminal complaints against the two men due to
lack of evidence.

The advisory committee is also considering whether the company
can hold former Nikko Cordial President Junichi Arimura directly
responsible for his involvement in the fraud as well as calling
him to account for allowing it to go unchecked, the report adds,
citing sources.

The Asahi Shimbun relates that Nikko Cordial is expected to
officially announce its plans for the lawsuit early next week
when it comes up with measures to enhance internal control.

The committee will hear explanations from the former executives
before deciding how much in damages the company should claim
from them.  The committee is also weighing whether to seek
compensation for the group's slackening performance, which can
be blamed on the loss of public trust caused by the scandal, the
report says.

Nikko Cordial hopes that by adopting a tough stance with its
former executives, it will impress the Tokyo Stock Exchange with
the seriousness of its commitment to reform and improve its
chances of remaining listed, The Asahi Shimbun relates.

                       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.


SANYO ELECTRIC: Expects 7.5% Rise In CTV Market Shares in India
----------------------------------------------------------------
Sanyo Electric is targeting a hike in its color TV market share
to 7.5% from the current 5% riding on its slim TV offerings and
a heightened demand due to cricket events this year, The
Economic Times reports.

"Our plan is to aggressively market slim TVs in the country. We
think slim TVs are the future while flat TVs will become a thing
of past.  We have six models in flat TV and 10 in the slim TV
category," the report quotes Sanyo BPL Private Ltd Director
Katsuyoshi Takahashi.

The report states that Sanyo Electric is also looking to launch
an environmental-friendly 'green TV' next year.

"Our Bangalore centre has developed a new technology for
manufacturing TV using environmental-friendly material.  This
includes plastic, which can be recycled, and recycled paper.
India will be the first market to witness the entry of such a
product," the Economic Times quotes Sanyo TV International
Corporation President Toshiaki Iue.

The report explains that the new TV will bear the Sanyo brand,
even if it will be manufactured by joint venture Sanyo-Bpl in
Bangalore, which produces 1 million CTV units per year in a
single shift.

"We need to conduct an elaborate study on the market potential
as India is a price sensitive market.  Also, the product will be
priced at a premium of 25%," The Economic Times quotes Mr. Iue.

The Economic times states that the size of the Indian CTV market
is about 10 million units and growing at 10%.

"India is our fifth largest market in terms of turnover.  Last
year, we set up Sanyo India, a subsidiary of Sanyo Electric, and
this year, we expect our revenues to touch INR450 crore as we
also have other products including refrigerators, ACs and LCD
projectors," The Times quotes Mr. Iue.

The report adds that the company is looking to introduce
surveillance cameras in India.

"We are in talks with various government authorities in India
and the first installation is expected in eastern part of India
this year.  Initially, these cameras will be imported from China
and depending on the demand, we may look at setting up a
facility for camera manufacturing," The Economic Times quotes
Mr. Iue.

                      About Sanyo Electric

Headquartered in Osaka, Japan, Sanyo Electric Co., Ltd. --
http://www.sanyo.com/-- is one of the world's leading       
manufacturers of consumer electronics products.  The company has
operations in Brazil, Germany, India, Ireland, Spain, the United
States and the United Kingdom, among others.

Sanyo, according to press reports, has struggled after an
earthquake damaged a key chip-making plant in 2004.  It has been
undergoing extensive restructuring, including job cuts and
alliances with companies to lower production costs.

The Troubled Company Reporter - Asia Pacific reported on
December 22, 2006, that Fitch Ratings has affirmed the 'BB+'
Long-term foreign and local currency Issuer Default and senior
unsecured ratings on Sanyo Electric Co., Ltd.  The Outlook on
the ratings remains Stable.  The rating affirmations follow
Sanyo's latest downward revision of its forecast for the fiscal
year ending March 2007, reflecting the difficulty of its
operating environment, the need for additional restructuring
activities, as well as the recent recall of its rechargeable
batteries.  Fitch says Sanyo's revised forecast is in line with
the agency's expectation for the company at the time of
assigning the current ratings.

The TCR-AP also reported on Dec. 20, 2006, that Standard &
Poor's Ratings Services lowered to 'BB-' from 'BB' its long-term
corporate credit rating on Sanyo Electric.  At the same time,
Standard & Poor's lowered to 'BB' from 'BB+' its issue ratings
on Sanyo Electric's senior unsecured debt.  The outlook on the
long-term credit rating is negative.  The ratings were removed
from CreditWatch, where they were placed on Nov. 22, 2006.


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

MAGNACHIP SEMICONDUCTOR: S&P Downgrades Credit Rating to 'B'
------------------------------------------------------------
On Feb. 13, 2007, Standard & Poor's Ratings Services lowered its
corporate credit rating on MagnaChip Semiconductor LLC to 'B'
from 'B+'.  At the same time, Standard & Poor's lowered the
rating on MagnaChip's senior unsecured debt to 'B' from 'B+' and
rating on its senior subordinated notes due 2014 to 'CCC+' from
'B-'.  The outlook on the long-term corporate credit rating is
negative.

"The downgrade reflects a significant drop in profitability and
weakened liquidity, ongoing concerns over the company's
vulnerability to hostile end market conditions and its prospects
for a near-term recovery in its financial profile," said
Standard & Poor's credit analyst Jae Min Kwon.  The negative
outlook reflects the possibility that the company's
profitability and liquidity could deteriorate further in the
next few quarters.  Still, the outlook could be revised to
stable if the company's new products can generate improved
revenues and higher levels of factory utilization, which would
be expected to yield improved profitability and a return to
positive free cash flows.

The rating on Korea-based MagnaChip reflects the company's
exposure to a highly competitive and cyclical industry and its
substantial debt burden.  MagnaChip produces CMOS image sensors
for cell phones, display driver chips for flat panel displays,
and provides foundry chip manufacturing services.  The company
has a relatively good position within certain market segments
with favorable growth prospects, but faces severe competition
from several strong competitors.  After missing a major sensor
product cycle, exacerbated by weak analog and power end markets
in 2006, MagnaChip is working to recover its market share under
new leadership.  Still, revenues are depressed, factory
utilization levels are low, profitability is weak, and cash
balances have been declining.  Under the best circumstances,
sales and profitability recovery will take several quarters, and
cash balances could dwindle further in the interim.

Due to the product line problems, revenues dropped sequentially
each quarter in 2006, and were down 33.8% for the year compared
to 2005.  The EBITDA margin (adjusted for one-time restructuring
and impairment charges) deteriorated significantly to 3.8% in
4Q06 from 19.4% in 4Q05.  Because of high debt levels,
debt/EBITDA for the full year was 10.5x.


* Bank of Korea Retains 4.5% Call Rate for February
---------------------------------------------------
In a monthly rate-setting session, seven policymakers at the
Bank of Korea held the February target for the call rate steady
at 4.5%, a five-year high, Yonhap News reports.

According to the report, the decision corresponded with
economists' expectations.

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 8, 2007, a poll by the financial arm of Yonhap News Agency
-- Yonhap Infomax -- showed that all 21 analysts it surveyed
predicted that the Bank of Korea would retain its call rate
target for February at a five-year high of 4.5%.  The survey was
conducted among local and foreign financial institutions from
Jan. 29 to Feb. 5, 2007, Yonhap noted.

According to Yonhap, the rate freeze comes amid widespread
concerns that housing prices may surge again despite the
government's introduction of stricter measures since November
2006 to curb lenders' ability to extend home-backed loans.  The
central bank also hiked the required reserve ratios on local and
foreign demand deposits in December, the report relates.

Yonhap cites latest data from Kookmin Bank, which reveals that
the prices of housing in South Korea began to show signs of a
cool-down in January after posting the fastest monthly rise in
16 years in November.

Kookmin Bank is the nation's top lender that compiles
information on housing prices nationwide, Yonhap notes.

Kookmin Bank said housing prices in South Korea rose 0.9% in
January from the previous month, marking the lowest monthly gain
in five months.

Bank lending to households posted the first monthly drop in a
year in January from the previous month following implementation
of stricter rules on home-backed loans, Yonhap cites the BOK, as
saying.


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

AVAYA INC: Earns US$71 Million in Quarter Ended Dec. 31
-------------------------------------------------------
Avaya Inc. reported net income of US$71 million for the quarter
ended Dec. 31, 2006, compared with the US$71 million net income
for the same period in 2005.

Avaya's first fiscal quarter 2007 revenues increased 2.5% to
US$1.28 billion compared to US$1.25 billion in the same period
last fiscal year.  Avaya shipped more than one million IP lines
for the third consecutive quarter.  Avaya noted that during the
first quarter of fiscal 2006 it experienced delays and
disruption in the delivery of its products to customers due to
changes made in its warehousing and distribution operations and
estimates the impact on revenue in the quarter was approximately
US$20 million.

"During the first quarter, we invested in our business to extend
our technology leadership, effectively managed costs and
expenses, attracted new talent to our senior management team and
delivered solid bottom line results," said Lou D'Ambrosio,
Avaya's president and chief executive officer.  "We will
continue to be relentlessly focused on our three priorities:
strategy, execution and culture."

The company reported operating income for the first fiscal
quarter of 2007 of US$90 million.  Operating income for the
first fiscal quarter of 2006 was US$107 million.

Avaya ended the quarter with cash of US$895 million, relatively
flat with the fourth quarter of fiscal 2006.  The provision for
income taxes in the quarter benefited from discrete tax
benefits, including a retroactive extension of the U.S. federal
research and development tax credit.

Full-text copies of the company's consolidated financial
statements for the quarter ended Dec. 31, 2006, are available
for free at http://researcharchives.com/t/s?19ba

                        About Avaya Inc.

Headquartered in Basking Ridge, N.J., Avaya Inc., (NYSE: AV) --     
http://www.avaya.com/-- designs, builds and manages  
communications networks for more than one million businesses
worldwide, including more than 90 percent of the FORTUNE 500(R).
Focused on businesses large to small, Avaya is a world leader in
secure and reliable Internet Protocol telephony systems and
communications software applications and services.  Avaya has
locations in Malaysia, Argentina and the United Kingdom.

                          *     *     *

Standard & Poor's Ratings Services raised its corporate credit
rating on Avaya, Inc., to 'BB' from 'B+'.

Moody's Investors Service upgraded the senior implied rating of
Avaya, Inc., to Ba3 from B1.  Moody's said the ratings outlook
is positive.


EKRAN BERHAD: Sells Warehouse to Saravera for MYR8 Million
----------------------------------------------------------
Ekran Bhd agreed to dispose of its warehouse property for a
total cash consideration of MYR8 million after signing a sale
purchase agreement with Saravera Sdn Bhd on Feb. 9, 2007.

The property, with a land size of 3.205 hectares, is located at
Lot 678, Section 66, in Kuching Town Land District, Pending
Industrial Estate.

According to the terms of the agreement, Saravera will first pay
MYR800,000 to Ekran upon execution of the agreement.  The
balance of MYR7,200,000 will then be paid within three months
after the execution of the agreement.

The Pending Warehouse is currently idle and unprofitable since
1998 after Ekran ceased its timber operations in Kuching, the
company told the bourse.

A valuation report compiled by HASB Consultants (Sarawak) Sdn
Bhd on the property showed a Market Value of MYR8 million and an
Auction Sale Price of MYR6 million, Ekran added.

Ekran purchased the property on June 7, 1993, for MYR10 million.  
As at January 31, 2007, the net book value of the Pending
Warehouse is approximately MYR7.0 million, allowing the company
to gain MYR1 million from the disposal.

Both Ekran and Saravera agreed to authorize Solicitors
Battenberg And Talma to facilitate the agreement.

                          *     *     *

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.


ELBA HOLDINGS: Bursa Decides to Delist Securities on February 16
----------------------------------------------------------------
The securities of Elba Holdings Bhd will be delisted from the
official list of the Bursa Malaysia Securities Bhd on Feb. 16,
2007, at 9:00 a.m.

According to the bourse, Elba Holdings failed to show that its
financial condition is of an adequate level and that its
operations could warrant continued listing.

The Troubled Company Reporter - Asia Pacific also reported on
Jan. 11, 2007, that Elba Holdings faced possible delisting after
it failed to timely submit its regularization plan to relevant
authorities.

The bourse required the company to make a written explanation on
why its securities should not be removed from the Bursa.  The
company, however, disclosed that it has no viable regularization
plan under consideration and hence will not be making any
explanation.

Elba's securities may remain deposited with Bursa Depository
after the delisting, but it will be barred from trading.

Meanwhile, shareholders of the company who intend to hold their
securities in the form of physical certificates can withdraw
these securities with Bursa Depository after the securities have
been delisted.

Shareholders can contact Bursa Securities' General Line at 03-
2034 7000.

                          *     *     *

Elba Holdings Berhad -- http://www.elbaholdings.com.my/-- is a  
Malaysia-based investment holding company engaged in the
provision of management consultancy services to its
subsidiaries.  Through its subsidiaries, the Company
manufactures, distributes and trades in apparels.

The company disclosed on May 8, 2006, that it is an affected
listed issuer of the Amended Practice Note 17 category of the
Listing requirements.  Based on the audited consolidated results
for the year ended December 31, 2005, the company's
shareholders' equity on consolidated basis was less than 25% of
its issued and paid up capital and less than the minimum issued
and paid up capital as required by the Listing Requirements.  In
addition, the company's auditors have expressed a debt with
emphasis on the company's going concern for fiscal 2005.

As of September 30, 2006, Elba's balance sheet showed insolvency
with total assets of MYR82.801 million, total liabilities of
MYR92.70 million resulting in a shareholders' deficit of
MYR9.9 million.


FOAMEX INT'L: Posts US$1.969 Million Net Loss in December 2006
--------------------------------------------------------------

                    Foamex International, Inc.
                    Consolidated Balance Sheet
                     As of December 31, 2006

                              ASSETS

Current Assets
   Cash                                           US$2,444,000
   Accounts Receivable                             167,099,000
   Inventory                                       119,407,000
   Other Current Assets                             24,271,000
                                                 -------------
Total Current Assets                               313,219,000

Land and Land Improvements                           5,117,000
Buildings                                           86,971,000
Leasehold Improvement                                6,692,000
Machinery and Equipment                            192,380,000
Furniture and Fixtures                               4,915,000
Auto Equipment                                       7,421,000
Computer Equipment                                   9,499,000
Construction in Progress                             3,569,000
Accumulated Depreciation                          (221,075,000)
                                                 -------------
Total property plant & equipment, net               95,488,000

Goodwill, net                                       86,191,000
Debt Issuance Costs                                    593,000
Investment in Subsidiaries                          13,903,000
Long-term Intercompany Receivable                    4,850,000
Other Assets                                        61,792,000
                                                 -------------
Total Assets                                    US$576,035,000

              LIABILITIES & SHAREHOLDERS' DEFICIT

Current liabilities
     Revolver borrowings                         US$56,331,000
     Current portion of long-term debt              86,233,000
     Accounts payable                               87,052,000
     Intercompany                                      212,000
     Accrued Employee Costs                         20,596,000
     Accrued Rebates                                 9,365,000
     Accrued Interest                                3,686,000
     Other Current Liabilities                      23,872,000
                                                 -------------
Total Current Liabilities                          287,358,000
                                                 -------------
Long-term Debt                                         160,000
Intercompany Debt                                            0
Liabilities subject to compromise                  664,372,000
Other Liabilities                                   26,366,000
                                                 -------------
Total Long-term liabilities                        690,896,000
                                                 -------------
Total Liabilities                               US$978,254,000

Common stock                                           286,000
Preferred stock                                         15,000
Additional paid-in capital                         105,427,000
Treasury stock                                     (27,969,000)
Partner's capital                                            0
Other comprehensive income(loss)                   (37,777,000)
Shareholder loans                                   (9,221,000)
Accumulated deficit                               (432,978,000)
                                                 -------------
Stockholders' deficiency                          (402,218,000)
                                                 -------------
Total Liabilities & Stockholders' Deficiency    US$576,035,000

                      Foamex International, Inc.
                           Income Statement
                For the Month Ended December 31, 2006

Gross Sales                                      US$88,019,000
Rebates, Discount & Sale Allowance                  (4,211,000)
                                                 -------------
Net sales                                           83,808,000

Material                                            55,487,000
Labor                                                3,167,000
Overhead                                             9,716,000
Asset Impairments                                       15,000
Freight/Shipping                                     3,688,000
                                                 -------------
Cost of Sales                                       72,071,000
                                                 -------------
Gross Profit                                        11,735,000
                                                 -------------

Labor Expense                                        3,870,000
Indirect Materials & Samples                            88,000
Equipment and Maintenance Expense                       39,000
Facility Expense                                       164,000
Travel & Entertainment                                 289,000
Technology                                             159,000
Professional Fees & Services                           944,000
Other Miscellaneous Expense                             46,000
Insurance & Tax                                         69,000
Bad Debt Expense                                       (14,000)
Bank/Collection Costs                                   60,000
Transportation Cost                                     12,000
Depreciation/Amortization                              378,000
Corp Cost to COB                                      (685,000)
                                                 -------------
Selling, General & Admin Expenses                    5,419,000

Gain (Loss) on sale of assets                           74,000
Restructuring Charges                                  276,000
                                                 -------------
Income from Operations                               6,115,000

Interest Expense                                     6,575,000
Equity in Earnings of JV & non debtor subs             271,000
Other income (expense)                                 179,000
Professional Fees                                    2,175,000
Provision (Gains) - Rejected Contracts                  84,000
Bankruptcy Filing Fees                                       0
Other Expense (Income)                                       0
Debt Adjustment Gain (Loss)                                  -
                                                 -------------
Reorganization Expense (Income)                      2,259,000
                                                 -------------
Income (Loss) before tax                            (2,269,000)
Tax Provision (benefit)                               (300,000)
                                                 -------------
Net Income (Loss)                                (US$1,969,000)

                          *     *     *

Headquartered in Linwood, Pa., Foamex International Inc. --
http://www.foamex.com/-- is the world's leading producer of  
comfort cushioning for bedding, furniture, carpet cushion and
automotive markets.  The company also manufactures high-
performance polymers for diverse applications in the industrial,
aerospace, defense, electronics and computer industries.  Foamex
also has locations in Malaysia, Thailand and China.  

The Company and eight affiliates filed for chapter 11 protection
on Sept. 19, 2005 (Bankr. Del. Case Nos. 05-12685 through 05-
12693).  Attorneys at Paul, Weiss, Rifkind, Wharton & Garrison
LLP, represent the Debtors in their restructuring efforts.  
Houlihan, Lokey, Howard and Zukin and O'Melveny & Myers LLP are
advising the ad hoc committee of Senior Secured Noteholders.  
Kenneth A. Rosen, Esq., and Sharon L. Levine, Esq., at
Lowenstein Sandler PC and Donald J. Detweiler, Esq., at Saul
Ewings, LP, represent the Official Committee of Unsecured
Creditors.  As of July 3, 2005, the Debtors reported
US$620,826,000 in total assets and US$744,757,000 in total
debts.  (Foamex International Bankruptcy News, Issue No. 34;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)  

As reported in the Troubled Company Reporter on Dec. 8, 2006,
Moody's Investors Service has assigned a B2 corporate family and
probability of default ratings on Foamex L.P.  Concurrently,
Moody's has assigned a B1 rating to the company's US$425 million
first lien senior secured Term Loan B and a Caa1 rating to its
US$190 million second lien senior secured term loan (expected to
be downsized to US$175 million).  Moody's said the ratings
outlook is stable.


FOAMEX INT: Bankruptcy Court Confirms Plan of Reorganization
------------------------------------------------------------
Foamex International Inc. disclosed that the United States
Bankruptcy Court for the District of Delaware has confirmed the
company's Second Amended Joint Plan of Reorganization and set
the stage for the company's emergence from chapter 11 on
Feb. 12, 2007.

In confirming the Plan, the Court determined that Foamex had
provided fair and equitable treatment of its creditors and
equityholders and otherwise satisfied the confirmation
requirements under the Bankruptcy Code.  Foamex's Plan provides
for the satisfaction in full in cash to all holders of allowed
claims against the company.  In addition, under the Plan, the
company's equityholders will retain their interests in Foamex,
subject to dilution as a result of the issuance of additional
common stock pursuant to the rights offering and, if exercised,
the call option and any common stock to be issued under the
proposed Management Incentive Plan and the existing Key Employee
Retention Program or upon exercise of any stock options.  The
company's Senior Secured Noteholders and equityholders voted
unanimously in favor of the Plan.

Raymond E. Mabus, Chairman and Chief Executive Officer of
Foamex, said, "We are extremely pleased that the Court has
confirmed Foamex's Plan, paving the way for our emergence from
bankruptcy and providing our stakeholders with full recovery.  
The announcement represents a significant, and almost final,
milestone in Foamex's chapter 11 case.  The confirmation of the
Plan validates the painstaking efforts of our talented team to
negotiate the best possible outcome for all of our stakeholders
and emerge as a stronger, more competitive company that is
better able to compete in the marketplace, invest in our
operations and R&D efforts, and provide our customers with the
innovative solutions they need."

Mr. Mabus concluded, "This has been an arduous, but valuable,
journey. Over the past year and a half we have worked tirelessly
with our stakeholders to devise a plan that would maximize the
value of Foamex.  I am pleased with the results we have achieved
to date, and look forward to working with our many employees,
customers, and other stakeholders as we look to the future."

Foamex has secured a commitment from a group of lenders led by
Bank of America, N.A. and Banc of America Securities LLC for up
to US$790 million of exit financing from which the company will
draw approximately US$615 million upon its emergence from
chapter 11.  In connection with the previously announced rights
offering and related equity commitment, which expired on
Jan. 31, 2007, and related agreements, the exit financing will
be used by Foamex to repay the Debtor-In-Possession facility, to
make other payments required upon exit from bankruptcy, and to
ensure strong cash balances to conduct post-reorganization
operations.

The company said that creditor distributions would likely begin
on the scheduled Feb. 12 Effective Date for the Plan.

The company is advised by Paul, Weiss, Rifkind, Wharton &
Garrison LLP, and its financial advisor is Miller Buckfire &
Co., LLC.

Counsel can be reached at:

          Paul, Weiss, Rifkind, Wharton & Garrison LLP  
          1285 Avenue of the Americas
          New York, New York 10019-6064

The financial adviser can be reached at:

          Miller Buckfire & Co., LLC
          250 Park Avenue, 19th Floor
          New York, NY 10177
          Tel: (212) 895-1800
          Fax: (212) 895-1853
          e-mail: info@millerbuckfire.com

                          *     *     *

Headquartered in Linwood, Pa., Foamex International Inc. --
http://www.foamex.com/-- is the world's leading producer of  
comfort cushioning for bedding, furniture, carpet cushion and
automotive markets.  The company also manufactures high-
performance polymers for diverse applications in the industrial,
aerospace, defense, electronics and computer industries.  Foamex
also has locations in Malaysia, Thailand and China.  

The Company and eight affiliates filed for chapter 11 protection
on Sept. 19, 2005 (Bankr. Del. Case Nos. 05-12685 through 05-
12693).  Attorneys at Paul, Weiss, Rifkind, Wharton & Garrison
LLP, represent the Debtors in their restructuring efforts.  
Houlihan, Lokey, Howard and Zukin and O'Melveny & Myers LLP are
advising the ad hoc committee of Senior Secured Noteholders.  
Kenneth A. Rosen, Esq., and Sharon L. Levine, Esq., at
Lowenstein Sandler PC and Donald J. Detweiler, Esq., at Saul
Ewings, LP, represent the Official Committee of Unsecured
Creditors.  As of July 3, 2005, the Debtors reported
US$620,826,000 in total assets and US$744,757,000 in total
debts.  (Foamex International Bankruptcy News, Issue No. 34;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)  

As reported in the Troubled Company Reporter on Dec. 8, 2006,
Moody's Investors Service has assigned a B2 corporate family and
probability of default ratings on Foamex L.P.  Concurrently,
Moody's has assigned a B1 rating to the company's US$425 million
first lien senior secured Term Loan B and a Caa1 rating to its
USUS$190 million second lien senior secured term loan (expected
to be downsized to US$175 million).  Moody's said the ratings
outlook is stable.


FOAMEX INT'L: Emerges from Chapter 11 Bankruptcy Protection
-----------------------------------------------------------
The Plan of Reorganization of Foamex International Inc. has
become effective and the company has successfully emerged from
chapter 11 bankruptcy protection.

In accordance with the Plan, holders of allowed claims will be
satisfied in full in cash.  Additionally, the company's
equityholders will retain their interests in Foamex, subject to
dilution as a result of the issuance of additional common stock
in connection with the rights offering, the call option and any
common stock to be issued under the proposed Management
Incentive Plan and the existing Key Employee Retention Program
or upon exercise of any stock options.  Foamex has begun to make
the initial distributions required under the Plan, and expects
to finish making all distributions required to be made on or
about the effective date by Feb. 15, 2007.

                    New Executive Management

The company also disclosed that Gregory J. Christian, who had
been Executive Vice President, Chief Restructuring Officer,
Chief Administrative Officer, and General Counsel of Foamex, has
been named President of the company, effective immediately.
Mr. Christian, who joined the company in 1996, will also
continue to serve on the company's Board of Directors.

"This is an extraordinary day for Foamex," Raymond E. Mabus,
Chairman and Chief Executive Officer of Foamex, said.  "It marks
the close of one of the most challenging times in the history of
the company, and more importantly, it is the beginning of a new
era.  Foamex is emerging as a stronger, leaner company, with a
reinvigorated business and the financial flexibility needed to
compete and be the industry leader.  We have worked diligently
with our employees, advisors and stakeholders to reach this
point.

"Central to our turnaround has been our efforts to transform the
business from a traditional foam manufacturer to a market-
focused provider of polyurethane foam-based solutions and
specialty comfort products. Innovation is the cornerstone of our
future.  We are partnering with our customers to develop
specialty solutions for diverse markets, while still continuing
to be a full service provider of high quality products to the
traditional markets we serve.  We believe that executing this
strategy, coupled with discipline, hard work and operational
excellence will ensure our future success.

"Emerging from chapter 11 is extremely gratifying. I am pleased
to say that the results of our restructuring process exceeded
everyone's expectations -- a true testament to the hard work of
our employees, our restructuring team, and all of our
stakeholders.  Our situation is highly unusual in that all of
Foamex's creditors will be paid in full in cash, and our
equityholders will have the opportunity to retain their
interests in Foamex.  Today's news, combined with our
operational performance, provides strong evidence that we have
good momentum and a promising future.

"Additionally, I would like to congratulate Greg on his well-
deserved promotion to President of Foamex.  This is truly a
testament to the invaluable contributions he has made to the
Company and the central role he played in the reorganization
process.  We look forward to his many contributions in the years
ahead in this new capacity.

"I would also like to express thanks to Andy Thompson, Executive
Vice President of Foam and Technical Products, and Don Phillips,
Executive Vice President of Automotive Products.  With Greg,
they have been instrumental in effectuating Foamex's turnaround
and the Company's strategic shift.  As I've said, Foamex has a
bright future and I look forward to working with these three
leaders and the rest of our talented employees as we take Foamex
to the next level."

With the company's emergence from bankruptcy, Foamex has a new
seven-member board of directors.  The members are Messrs. Mabus
and Christian; Mr. Thomas M. Hudgins, retired Partner, Ernst &
Young LLP; Mr. Robert B. Burke, Founder and Chief Executive
Officer of Par IV Capital Management, LLC; Mr. Seth Charnow of
the D. E. Shaw Group; Mr. Eugene I. Davis, Chairman and Chief
Executive Officer of PIRINATE Consulting Group, LLC; and Gregory
E. Poling, President of Grace Davison Chemicals, an operating
segment of W.R. Grace & Co., and Vice President of W.R. Grace &
Co.

                          *     *     *

Headquartered in Linwood, Pa., Foamex International Inc. --
http://www.foamex.com/-- is the world's leading producer of  
comfort cushioning for bedding, furniture, carpet cushion and
automotive markets.  The company also manufactures high-
performance polymers for diverse applications in the industrial,
aerospace, defense, electronics and computer industries.  Foamex
also has locations in Malaysia, Thailand and China.  

The Company and eight affiliates filed for chapter 11 protection
on Sept. 19, 2005 (Bankr. Del. Case Nos. 05-12685 through 05-
12693).  Attorneys at Paul, Weiss, Rifkind, Wharton & Garrison
LLP, represent the Debtors in their restructuring efforts.  
Houlihan, Lokey, Howard and Zukin and O'Melveny & Myers LLP are
advising the ad hoc committee of Senior Secured Noteholders.  
Kenneth A. Rosen, Esq., and Sharon L. Levine, Esq., at
Lowenstein Sandler PC and Donald J. Detweiler, Esq., at Saul
Ewings, LP, represent the Official Committee of Unsecured
Creditors.  As of July 3, 2005, the Debtors reported
US$620,826,000 in total assets and US$744,757,000 in total
debts.  (Foamex International Bankruptcy News, Issue No. 34;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).  On Feb. 2,  
2007, the Court confirmed the Debtors' Second Amended Joint Plan
of Reorganization.

As reported in the Troubled Company Reporter on Dec. 8, 2006,
Moody's Investors Service has assigned a B2 corporate family and
probability of default ratings on Foamex L.P.  Concurrently,
Moody's has assigned a B1 rating to the company's US$425 million
first lien senior secured Term Loan B and a Caa1 rating to its
US$190 million second lien senior secured term loan (expected to
be downsized to US$175 million).  Moody's said the ratings
outlook is stable.


JOHAN CERAMICS: Bursa to Suspend Securities Trading on Feb. 16
--------------------------------------------------------------
Trading of Johan Ceramics Bhd's securities will be suspended
starting Feb. 16, 2007, after the company failed to submit its
regularization plan to relevant authorities for approval.

Johan Ceramics was previously required by the Bursa Malaysia
Securities to submit its plan by Feb. 11.  However, the company
resolved not to file the plan within the timeframe.  

Instead, the company asked the bourse to defer any proceedings
to suspend and delist its securities to enable its shareholders
to have a ready market to dispose their shares in Bursa
Securities during the offer period of the VGO and would
facilitate the take over offer of Lembaga Tabung.

                          *     *     *

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 was required to formulate and implement a plan to
regularize its financial condition.


MALAYSIA AIRLINES: Expects to Record Profit in Fourth Quarter
-------------------------------------------------------------
Malaysian Airline System Bhd expects to post a profit for the
fourth quarter this fiscal year, Reuters says, citing the
airline's chief executive officer, Idris Jala.

The state-controlled airline is due to announce its financial
results for the October-December quarter on Feb. 26.

According to Reuters, a profit in the airline's fourth quarter
result will mark second straight quarterly profit since
announcing a turnaround plan that included ditching unprofitable
routes and cutting costs.

"We started to make money in the third quarter, we will make
money in the fourth quarter.  The turnaround is beginning to
kick into the organization," Reuters quotes Mr. Jala as saying.

The Troubled Company Reporter - Asia Pacific on Nov. 30, 2006,
reported that Malaysia Airline posted third quarter pre-tax
profit of MYR256.676 million following a one-off gain of
MYR194 million from the sale of its headquarters in Kuala Lumpur
and compensation received from the government.

Reuters says, however, that despite two quarters of profit, the
carrier is still likely to post a yearly loss.

Reuters Estimates forecast a net loss for the airline at
MYR350.4 million for the year to Dec. 31, 2006.  This compares
with a loss of MYR1.3 billion in 2005.

Meanwhile, the airline said that its fourth-quarter earnings
will surpass internal targets after the company offered mutual
separation schemes for 2,622 workers and withdrew some routes.

                          *     *     *

Headquartered in Selangor, Malaysia, Malaysia Airlines --
http://www.malaysiaairlines.com/-- services domestic and  
international flights.  Its global network comprised 32 domestic
and 86 international destinations.  Of the 86 international
destinations, 17 were operated in collaboration with airlines
partners.

The carrier made a loss after tax of MYR1.3 billion for fiscal
year 2005, due to high fuel and operating costs, and
unprofitable routes.  In late February 2006, it unveiled a
radical rescue plan to raise MYR4 billion to stay afloat and
return to profitability by 2007.  Under the restructuring plan,
the airline pledged to cut its budget by 20% across the board,
terminate many unprofitable routes, freeze recruitment except
for front-line staff, crack down on corruption by encouraging
whistle-blowing and stop corporate sponsorship.


TENAGA NASIONAL: MRCB Bags MYR282 Million Power Cable Contract
--------------------------------------------------------------
A consortium led by Malaysian Resources Corp Bhd won a
MYR282-million contract to lay transmission cable for Tenaga
Nasional Bhd, various reports say.

According to the reports, MRCB, along with HG Corporation Sdn
Bhd, Isoplas Resources Sdn Bhd and KOP Construction Services Sdn
Bhd, would build the transmission line from Pantai to Salak
South substation and erect the 275 kV Salak South substation.

The project would commence immediately and is expected to be
completed in approximately 30 months, The Edge Daily says,
citing a statement from the MRCB.  

The project was a part of Tenaga's greater plan to strengthen
the national power grid connection, the paper adds.

                          *     *     *

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

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

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


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

A & R COATINGS: Court Appoints Joint Liquidators
------------------------------------------------
On Jan. 25, 2007, the High Court of Auckland appointed John
Trevor Whittfield and Peri Micaela Finnigan as joint and several
liquidators of A & R Coatings Ltd.

Accordingly, creditors are required to prove their debts by
March 9, 2007.

The Troubled Company Reporter - Asia Pacific previously reported
that a liquidation petition filed by Accident Compensation Corp.
against the company was heard on Jan. 25, 2007.

The Joint and Several Liquidators can be reached at:

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


A-MART EDEN: Official Assignee Acts as Liquidator
-------------------------------------------------
On Feb. 1, 2007, the Official Assignee of A-Mart Eden Restaurant
Group Ltd was appointed as the company's liquidator.

As reported by the Troubled Company Reporter - Asia Pacific, the
High Court of Auckland heard a liquidation petition against the
company on that day.  

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


ANALOGY SYSTEMS: Court to Hear Liquidation Hearing on Feb. 15
-------------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against Analogy Systems Ltd on Feb. 15, 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


ATECH CUTTING: Courts Sets Liquidation Hearing on Feb. 15
---------------------------------------------------------
A liquidation petition filed against Atech Cutting Ltd will be
heard before the High Court of Auckland on Feb. 15, 2007, at
10:45 a.m.

The Commissioner of Inland Revenue filed the petition on Nov. 1,
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


BLUE ROOM: Faces CIR's Liquidation Petition
-------------------------------------------
On Nov. 6, 2006, the Commissioner of Inland Revenue filed a
liquidation petition against The Blue Room Ltd.

The High Court of Auckland will hear the petition on Feb. 15,
2007, at 10:45 a.m.

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


COMMUNITY TRUST: Shareholders Opt to Liquidate Business
-------------------------------------------------------
On Jan. 30, 2007, the shareholders of The Community Trust
Amateur Sports Company Ltd resolved by special resolution to
liquidate the company's business and appointed Matthew David
Taylor as liquidator.

The Liquidator can be reached at:

         Matthew David Taylor
         44 York Place, Dunedin
         New Zealand
         Telephone:(03) 477 5790
         Facsimile:(03) 474 1564


ITALIAN GROCER: Liquidation Hearing Slated for February 15
----------------------------------------------------------
On Oct. 11, 2006, the Commissioner of Inland Revenue filed a
liquidation petition against The Italian Grocer Ltd before the
High Court of Auckland.

The petition will be heard on Feb. 15, 2007, at 10:00 a.m.

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


MACNICOL SAWMILLING: Parsons and Kenealy to Act as Liquidators
--------------------------------------------------------------
Dennis Clifford Parsons and Katherine Louise Kenealy, insolvency
practitioners of Hamilton, were appointed as joint and several
liquidators of MacNicol Sawmilling & Treatment Ltd.

The Joint and Several Liquidators can be reached at:

         Dennis Clifford Parsons
         Katherine Louise Kenealy
         Indepth Forensic Limited
         Insolvency Practitioners
         PO Box 278, Hamilton
         New Zealand
         Telephone:(07) 957 8674
         Facsimile:(07) 957 8677


PAPANUI PROPERTIES: Shareholders Resolved to Close Business
-----------------------------------------------------------
On Jan. 29, 2007, the shareholders of Papanui Properties Ltd
passed a special resolution to liquidate the company's business
and appointed Michael John Keyse as liquidator.

The Liquidator can be reached at:

         Michael John Keyse
         c/o HFK Limited
         PO Box 5071
         Papanui, Christchurch
         New Zealand
         Telephone:(03) 352 9189


PLUS SMS: Posts NZ$4.9M Deficit for Half-Year Ended Sept. 2006
--------------------------------------------------------------
In a filing with the New Zealand Stock Exchange, Plus SMS
Holdings Ltd. reported that its total operating revenue for the
six months ended Sept. 30, 2006, was NZ$192,000, up 3,100% from
the NZ$6,000 posted in the same period in 2005.

However, the company incurred NZ$4.9 million net deficit for the
period, down 281% from the deficit of NZ$1.3 million in the same
period of the prior year.

                        About Plus SMS

Plus SMS Holdings Ltd. -- http://www.cre-eight.com/-- is the  
parent company of Plus SMS Limited.  It provides access to
businesses to the number ranges required for the routing of
short message service (SMS) and multimedia messaging system
(MMS) messages worldwide using a single short number.  On July
4, 2005, Plus SMS Limited acquired Plus SMS Holdings Limited in
a reverse acquisition.

The company suffered net losses of NZ$366,000 and NZ$362,000 for
the years ended March 31, 2006, and 2005, respectively.


PLUS SMS: To Initiate Legal Proceedings Against Donoghue
--------------------------------------------------------
At a Special General Meeting held on Feb. 2, 2007, Plus SMS
Holdings Ltd. relates that a resolution for a share buy back and
cancellation of 85,000,000 shares was approved.

The Shares are held by Plus Trustee Limited and beneficially
owned by the Donoghue Family Trust, a trust associated with
Garry Donoghue.

The cancellation will be effected immediately after Garry
Donoghue delivers the shares to the company.  Mr. Donoghue has
the obligation to deliver the shares by Feb. 9, 2007, pursuant
to a settlement deed between him and Plus SMS.

In a statement filed to the New Zealand Stock Exchange on
Feb. 12, 2007, Plus SMS requested Mr. Donoghue to provide the
company with an executed instrument of transfer, transferring
the 85 million ordinary shares to Plus SMS in accordance with
the terms of the Settlement Deed.

However, Plus SMS revealed that it has not received an
instrument of transfer for the Donoghue Shares.  Thus, the
company believes the transfer will not happen.

Accordingly, the Board of Plus SMS has resolved to immediately
initiate legal proceeding against Mr. Donoghue and Plus Trustee
Limited to enforce its rights under the Settlement Deed.

                        About Plus SMS

Plus SMS Holdings Ltd. -- http://www.cre-eight.com/-- is the  
parent company of Plus SMS Limited.  It provides access to
businesses to the number ranges required for the routing of
short message service (SMS) and multimedia messaging system
(MMS) messages worldwide using a single short number.  On July
4, 2005, Plus SMS Limited acquired Plus SMS Holdings Limited in
a reverse acquisition.

The company suffered net losses of NZ$366,000 and NZ$362,000 for
the years ended March 31, 2006, and 2005, respectively.


PLUS SMS: To Provide Content to Nuevatel Bolivia
------------------------------------------------
Plus SMS Holdings Ltd. has announced that wholly owned
subsidiaries CRE8 and Content Technology have been chosen by
Nuevatel Bolivia, a leading wireless carrier, to be its White
Label provider of numerous multimedia services including Ring
Tones, Wall Papers, Java Games, Chat Services, etc., according
to a corporate disclosure with the New Zealand Exchange.

Gabriela Arza Luna-Barrera, Multimedia Specialist at Nuevatel
Bolivia, commented: "It is with great satisfaction that we have
started working with Content Technology to provide our end-users
with the best content portfolio available.  Using Content
Technology's experience, creativeness, multimedia infrastructure
and localized approach, Nuevatel is confident that we will
continue to be Bolivia's most innovative carrier."

"With the Nuevatel launch in Bolivia, CRE8 now has a foothold in
the fast growing South American mobile market.  We continue to
deliver on our strategy to be the mobile operators' first choice
provider of localized content services.  CRE8 is on its way to
becoming one of the leading players in the Latin American
content aggregation and distribution space," says Nicolas
Barrera Rios, General Manager of Latin America at CRE8.

                        About Plus SMS

Plus SMS Holdings Ltd. -- http://www.cre-eight.com/-- is the  
parent company of Plus SMS Limited.  It provides access to
businesses to the number ranges required for the routing of
short message service (SMS) and multimedia messaging system
(MMS) messages worldwide using a single short number.  On July
4, 2005, Plus SMS Limited acquired Plus SMS Holdings Limited in
a reverse acquisition.

The company suffered net losses of NZ$366,000 and NZ$362,000 for
the years ended March 31, 2006, and 2005, respectively.


SANSOM CONTRACTING: Creditors Must Prove Claims by Feb. 26
----------------------------------------------------------
The creditors of Sansom Contracting Ltd are required to prove
their debts by Feb. 26, 2007.

According to the Troubled Company Reporter - Asia Pacific, the
High Court of Christchurch heard the liquidation petition
against the company on Dec. 11, 2006.  

The liquidators can be reached at:

         David Donald Crichton
         Keiran Anne Horne
         Crichton Horne & Associates Limited
         Old Library Chambers, 109 Cambridge Terrace
         PO Box 3978, Christchurch
         New Zealand
         Telephone:(03) 379 7929


SOTHERNS FAMILY: Creditors' Proofs of Claim Due on March 9
----------------------------------------------------------
The creditors of Sotherns Family Restaurant Ltd are required to
submit their proofs of claim by March 9, 2007.

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

The liquidators can be reached at:

         Stephen Kim Bennett
         Timothy John Hoyle
         Steve Bennett Associates
         PO Box 627, Whangarei
         New Zealand


TUTAKI-HONA LTD: Faces Liquidation Proceedings
----------------------------------------------
A petition to liquidate Tutaki-Hona Ltd will be heard before the
High Court of Auckland on Feb. 15, 2007, at 10:00 a.m.

The Commissioner of Inland Revenue filed the petition on Oct.
16, 2006.

The CIR's solicitor can be reached at:

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


WOODWORKS FURNITURE: Shareholders Appoint Liquidators
-----------------------------------------------------
The shareholders of Woodworks Furniture Ltd appointed Gerald
Stanley Rea and Paul Graham Sargison as liquidators on Jan. 31,
2007.

In this regard, creditors are required to prove their debts on
March 1, 2007.

The Liquidators can be reached at:

         Gerald Stanley Rea
         Paul Graham Sargison
         Gerry Rea Associates
         PO Box 3015, Auckland
         New Zealand
         Telephone:(09) 377 3099
         Facsimile:(09) 377 3098


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

CHIQUITA BRANDS: Jeffrey Benjamin Leaves Board of Directors
-----------------------------------------------------------
Chiquita Brands International Inc. disclosed that Jeffrey D.
Benjamin has resigned as a member of the company's Board of
Directors on Feb. 6, 2007.  Mr. Benjamin served as an Audit
Committee and Compensation & Organization Development Committee
member.  Mr. Benjamin's resignation was for personal reasons and
did not involve any disagreement with the company, its
management or its Board of Directors.

                      About Chiquita Brands

Cincinnati, Ohio-based Chiquita Brands International, Inc.
(NYSE: CQB) -- http://www.chiquita.com/-- operates as an  
international marketer and distributor of bananas and other
fresh produce sold under the Chiquita and other brand names in
over 60 countries including the Philippines and Australia.  It
also distributes and markets fresh-cut fruit and other branded,
value-added fruit products.

                          *     *     *

On Nov. 6, Moody's Investors Service downgraded the ratings for
Chiquita Brands L.L.C., as well as for its parent Chiquita
Brands International, Inc.  Moody's said the outlook on all
ratings is stable.

This rating action follows the company's announcement that had
incurred a USUS$96 million net loss for its 2006 third quarter.

Standard & Poor's Ratings Services also lowered its ratings on
Cincinnati, Ohio-based Chiquita Brands International Inc.,
including its corporate credit rating, from 'B+' to 'B'.

S&P said the ratings remain on CreditWatch with negative
implications where they were placed on Sept. 26.


GEOGRACE RESOURCES: In JV Talks w/ China's Jinchuan Metals Corp.
----------------------------------------------------------------
GEOGRACE Resources Philippines, Inc., is negotiating with
Chinese mining firm Jinchuan Nonferous Metals Corp. for a
possible joint venture over GEOGRACE's nickel mining assets, the
Philippine Daily Inquirer reports, citing a source who requested
anonymity.

According to PDI's source, Jinchuan has expressed interest to
buy the output of GEOGRACE's mines and take part in an equity
position in the firm.

GEOGRACE, in a filing with the Philippine Stock Exchange, did
not confirm nor deny talks with Jinchuan for a possible tie-up.  
The company, however, admitted that it is "in exploratory talks
with various foreign and local partners for the development of
the nickel mining tenements located in Zambales and Palawan."

"No definitive agreement has been concluded between GEOGRACE and
its potential partners," the company said.

Citing PDI as source, Bloomberg News relates that GEOGRACE
Chairman Jerry Angping said on Jan. 26 that the company will
choose its partner in two weeks.

                         About Jinchuan

Jinchuan Nonferrous Metal Corp. is a metallurgical and chemical
engineering enterprise engaged in mining, concentrating,
metallurgy and chemical engineering.  It produces nickel,
copper, cobalt, rare and precious metals and also some chemical
products such as sulfuric acid, caustic soda, liquid chlorine,
hydrochloric acid and sodium sulfite, together with some further
processed nonferrous metals products.  The output of nickel and
platinum group metals respectively accounts for more than 88%
and 90% of the total in China.

                          About GEOGRACE

Formerly known as Global Equities Inc., GEOGRACE Resources
Philippines, Inc., manufactures and distributes absorbent
cotton, personal, health and baby care products.  The company
also develops premier vacation residential area within a Nature
Park along Tagaytay Ridge in Batangas.  The company also
develops properties.

GEOGRACE Resources was originally incorporated as La Suerte Gold
Mining Corporation on April 20, 1970, primarily to engage in the
exploration, exploitation, and development of mineral resources;
to purchase, lease and otherwise acquire mining claims and
concessions anywhere in the Philippines; and to carry on the
business of mining, extracting, smelting, treating, and
otherwise producing and dealing in metals and minerals of all
kinds including all its products and by-products.

The company was included in the Troubled Company Reporter - Asia
Pacific's Feb. 9 "Large Companies with Insolvent Balance Sheet"
column -- having total assets of US$24.18 million and a
stockholders' deficit of US$1.81 million.

The parent company and subsidiaries have recorded negative
stockholders' equity of PHP263.302 million as of Sept. 30, 2006,
and PHP27.207 million as of Sept. 30, 2005.


HERTZ CORP: Addt'l. Debt Cues S&P's BB- Corporate Credit Rating
---------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its bank loan and
recovery ratings on Hertz Corp.'s senior secured bank facility,
following the report that the company will increase its first-
lien ABL facility to US$1.8 billion from US$1.6 billion and
apply approximately US$550 million of the ABL to repay term loan
borrowings.

Pro forma for the increase, the facility will consist of the
US$1.8 billion ABL due 2012 maturity, extended from the previous
2010 maturity; and approximately US$1.4 billion outstanding on
the term loan and a US$250 million synthetic letter-of-credit
facility, both due 2010.

All facilities were also amended to reflect improved pricing.
The ABL is rated 'BB+', two notches above Hertz Corp.'s
corporate credit rating and the term loan and synthetic letter-
of-credit facilities are rated 'BB', one notch above the
corporate credit rating.  Each of the facilities has a recovery
rating of '1', indicating a high expectation of full recovery of
principal in the event of payment default.

Rating List:

   * Hertz Corp.

      -- Corporate Credit Rating, BB-/Negative/

Rating Affirmed:

   * Hertz Corp.

      -- Senior Secured Bank Facility affirmed at BB+/BB
      -- Recovery Rating: 1

                          *     *     *

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.


RIZAL COMMERCIAL: Fitch Revises BB- Ratings Outlook to Positive
---------------------------------------------------------------
Fitch Ratings, on Feb. 13, 2007, revised the Outlook on the
Long-term foreign and local currency Issuer Default Ratings of
Rizal Commercial Banking Corporation to Positive from Stable,
while affirming all its other ratings as follows:

   -- Long-term foreign and local currency IDR 'BB-',
   -- Individual 'D/E', and
   -- Support '3'.

The revision follows the bank's announcement that it plans to
raise a substantial amount of common capital in H107.  There
were also a number of other positive developments at the bank in
recent times, including two hybrid capital raisings in the last
quarter of 2006, the recent appointment of Mr. Lorenzo Tan as
the bank's new chief executive officer (who has substantial
experience in distressed asset management and was the instigator
of the aggressive reforms now in place for Philippine National
Bank following a stint as president there).

Like all banks in the Philippines, RCBC is also benefiting from
the Philippines' improved operating environment thanks to a more
stable political situation, with the government's position
strengthened by an improved fiscal situation and the ongoing
buoyancy of the Philippine economy.

RCBC's hybrid raisings in Q406 amounted to PHP6.5 billion.  This
along with a good level of net profitability over FY06 saw its
equity base increase to PHP24.5 billion (versus PHP13.2 billion
at end-2005); more than enough to cover the PHP14.5 billion in
losses that Fitch estimates the bank will ultimately incur on
its various non-performing assets -- albeit still leaving its
overall capitalisation quite weak given its PHP227 billion asset
base.

Going forward, the bank plans to raise over PHP7 billion in
fresh capital by mid-2007 through the issuance of 250 million
new common stock shares via a public offering.  Consummation of
this should lead to a ratings upgrade.

Established in 1960, RCBC is majority owned by the Yuchengco
group (controlled by the Yuchengco family), a Philippine
conglomerate with extensive other interests.


RIZAL COMMERCIAL: BSP Approves 17% Stake Sale to Spinnaker
----------------------------------------------------------
The Bangko Sentral ng Pilipinas has approved with finality the
sale of 17.14% shareholdings of Bank of Tokyo Mitsubishi UFJ in
Rizal Commercial Banking Corp. to the Spinnaker Capital Group.

Pursuant to the approved sale, the 17.14% stake will be acquired
by Spinnaker Group's three investment funds:

   -- Spinnaker Global Emerging Markets Fund, Ltd.,
   -- Spinnaker Global Opportunity Fund, Ltd., and
   -- Spinnaker Global Strategic Fund, Ltd.

The country's central bank gave its final approval to the sale
by a letter dated Feb. 12, 2007.

                   BSP Okays Capital Increase

BSP, as per its Feb. 12 Certificate of Authority, also approved
the amendment of the bank's article of incorporation increasing
our capital stock from PHP9 billion to PHP13 billion.  

As reported in the Troubled Company Reporter - Asia Pacific on
Jan. 24, the bank's board of directors approved late last year
the increase in capital to PHP13 billion, which is divided into:

   -- 1.1 billion common shares of stock with par value of PHP10
      per share; and

   -- 200 million preferred shares of stock with par value of
      PHP10 per share.

The capital increase and the sale to Spinnaker are still subject
to the approval of the country's Securities and Exchange
Commission.

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

Fitch Ratings, on Feb. 13, 2007, affirmed RCBC's 'BB-' Long-term
foreign and local currency Issuer Default Rating and its 'D/E'
Individual rating.

On Nov. 2, 2006, the Troubled Company Reporter - Asia
Pacific reported that Fitch has assigned a final rating of 'B-'
to RCBC's hybrid issue of up to US$100 million.

The TCR-AP also reported on Nov. 6, 2006, that Moody's Investors
Service revised the outlook for the bank's foreign currency
senior debt rating of Ba3, foreign currency Hybrid Tier 1 of B3,
and foreign currency long-term deposit rating of B1 to stable
from negative.  The outlook for the foreign currency Not-Prime
short-term deposit rating and bank financial strength rating of
E+ remains stable.

The TCR-AP reported on Oct. 24, 2006, that Standard & Poor's
Ratings Services assigned its 'CCC' rating to RCBC's
(B/Stable/B) US$100 million non-cumulative step-up callable
perpetual capital securities.


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

BASIL THAI: Enters Wind-Up Proceedings
--------------------------------------
The High Court of Singapore entered an order on Feb. 2, 2007, to
wind up the operations of Basil Thai Restaurant Pte Ltd.

J Morita (Singapore) Pte Ltd filed the wind-up petition against
Basil Thai.

The liquidator can be reached at:

         The Official Receiver
         Insolvency & Public Trustee's Office
         The URA Centre (East Wing)
         45 Maxwell Road #05-11/#06-11
         Singapore 069118


BENCHMARK: Earns US$28.3 Mil. Net Income in Qtr. Ended Dec. 2006
----------------------------------------------------------------
Benchmark Electronics Inc. disclosed sales of US$737 million for
the quarter ended December 31, 2006, compared to US$625 million
for the same quarter in the prior year.  Fourth quarter net
income was US$28.3 million, or US$0.43 per diluted share.  In
the comparable period of 2005, net income was US$24.7 million,
or US$US$0.38 per diluted share.  Excluding restructuring
charges and the impact of stock-based compensation expense, the
company would have reported net income of US$29 million, or
US$0.44 per diluted share, in the fourth quarter of 2006.

Sales for the year ended Dec. 31, 2006, were US$2.9 billion, a
29% increase from US$2.3 billion in the previous year.  Net
income for the year ended Dec. 31, 2006, was US$111.7 million,
or US$1.71 per diluted share.  In the prior year, net income was
US$80.6 million, or US$1.25 per diluted share.  Excluding
restructuring charges, the impact of stock-based compensation
expense and a tax benefit resulting from the closure of the UK
facility, the company would have reported net income of US$113.1
million, or US$1.74 per diluted share, in 2006.

As of Dec. 31, 2006, the company's balance sheet showed US$1.4
billion in total assets, total liabilities of US$421 million and
US$985 million in shareholders' equity.

"We are pleased with our performance in the fourth quarter.  We
had a solid finish to 2006, and achieved record annual sales and
earnings", stated Benchmark's CEO Cary T. Fu.  " Our teams have
delivered strong revenue growth for the past five years.

            Fourth Quarter 2006 Financial Highlights

   * Operating margin for the fourth quarter was 4.3% on a GAAP
     basis and was 4.5%, excluding restructuring charges and the
     impact of stock-based compensation expense;

   * Cash flows used in operating activities for the fourth
     quarter were US$28 million;

   * Cash and short-term investments balance at Dec. 31, 2006,
     of US$224 million;

   * No debt outstanding;

   * Accounts receivable balance at Dec. 31, 2006, of US$463
     million; calculated days sales outstanding were 57 days;

   * Inventory of US$420 million at Dec. 31, 2006, a decrease of
     US$112 million compared to Sept. 30; inventory turns were
     6.5 times; and

   * Effective tax rate for the full year 2006, of 15.2%
     compared to 23.8% in 2005.

                           2007 Outlook

The outlook for Benchmark's remains positive moving into fiscal
2007.  A moderation in end market demands and growth rates is
expected when compared to 2006.  For 2007, including the impact
of the acquisition of Pemstar, we expect top line growth of
12-15% for the year and earnings growth in the range of 15-20%,
excluding integration costs and the impact of stock-based
compensation expense.

Specifically, sales for the first quarter of 2007 are expected
to be between US$735 million and US$765 million.  Diluted
earnings per share for the first quarter, excluding integration
costs and the impact of stock-based compensation expense, are
expected to be between US$0.37 and US$0.42

Full-text copies of the company's consolidated financial
results for the quarter and year ended Dec. 31, 2006, are
available for free at http://bankrupt.com/misc/Benchmark.pdf

                        About Benchmark

Benchmark Electronics, Inc. -- http://www.bench.com/--    
manufactures electronics and provides its services to original
equipment manufacturers of computers and related products for
business enterprises, medical devices, industrial control
equipment, testing and instrumentation products, and
telecommunication equipment.  Benchmark's global operations
include facilities in eight countries. Benchmark's Common Shares
trade on the New York Stock Exchange under the symbol BHE.

The company has operations in United States, Brazil, Mexico,
Europe, and Asia, which includes Thailand, China and Singapore.

                          *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
Nov. 6, 2006, Standard & Poor's Ratings Services placed its 'BB-
'corporate credit rating on Benchmark Electronics Inc. on
CreditWatch with positive implications after the company
announced it will acquire Pemstar Inc. in a stock transaction
valued at about US$300 million.

Moody's rates Benchmark's long-term corporate family rating at
Ba3; Bank loan debt at Ba2; and equity linked at B2.  The
ratings were assigned on March 2003.


CKG PETROCHEMICALS: Creditors' Proofs of Debt Due on March 9
------------------------------------------------------------
CKG Petrochemicals Pte Ltd, which is in members' voluntary
liquidation, requires its creditors to submit their proofs of
debt by March 9, 2007.

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

The liquidators can be reached at:

         Chee Yoh Chuang
         Lim Lee Meng
         18 Cross Street
         #08-01 Marsh & McLennan Centre
         Singapore 048423


INTERSHOP COMMUNICATIONS: Schedules Annual Meeting to May 9
-----------------------------------------------------------
In a report by the Troubled Company Reporter- Asia Pacific on
Feb. 2, 2007, minority shareholders of Intershop Communications
AG wanted to hold an earlier annual general meeting or summon an
extraordinary meeting to resolve the company's changes in its
supervisory board and clarify the special audits on particular
contracts.

In an update, the company has amended its financial calendar
setting the ordinary annual shareholders' meeting to May 9,
2007.

The company's auditors believes that the meeting's date
represents the earliest possible option, because the annual
report and financial statements must be prepared and certified
before an ordinary annual shareholders' meeting is held.

                         About Intershop

Headquartered in Jena, Germany, Intershop Communications AG --
http://www.intershop.com/-- provides software solutions that
help organizations evolve trading relationships with consumers
and business partners online.  Intershop Solutions enables
organizations to consolidate and manage unlimited online
commerce channels on a single platform.

Intershop also operates in Singapore, France, U.K., Sweden,
Czech Republic, China, Australia, South Korea, Taiwan and the
United States.

The company has been posting annual losses since 2000: EUR87.5
million in 2000; EUR102.5 million in 2001; EUR59.7 million in
2002, EUR15.5 million in 2003; EUR14.3 million in 2004; and
EUR7.8 million in 2005.


LEAR CORP: Inks US$5.3 Billion Merger Deal with Icahn Affiliate
---------------------------------------------------------------
Lear Corporation and American Real Estate Partners, L.P., an
affiliate of Carl C. Icahn, have entered into an agreement for
Lear to be acquired by AREP, in a transaction valued at
approximately US$5.3 billion, including the assumption of debt.
Under the terms of the agreement, Lear shareholders would
receive US$36.00 per share in cash.  Closing is expected to
occur by the end of the second quarter of 2007.

Under the terms of the agreement, Lear may solicit alternative
proposals from third parties for a period of 45 days from the
execution of the agreement and intends to consider any such
proposals with the assistance of its independent advisors.  In
addition, Lear may, at any time, subject to the terms of the
merger agreement, respond to unsolicited proposals.  If Lear
accepts a superior proposal, a break-up fee would be payable to
AREP.

"Following a very thorough review of the proposed transaction,
our Board unanimously concluded that the AREP offer was in the
best interests of Lear's shareholders," Bob Rossiter, Lear's
chairman and chief executive officer, commented.  "We believe
that the transaction price, which represents a multiple of about
9x our forecasted 2007 core operating earnings -- excluding the
Interior business, provides shareholders with significant value.
Furthermore, we intend to solicit other offers to ensure that
value is maximized for all of our shareholders."

"Lear is an excellent company with a strong management team in
place," said Carl Icahn.  "We look forward to working with
Lear's team to improve its long-term competitiveness, capitalize
on growth opportunities globally and to build an even stronger
and more valuable company in the future."

In connection with the transaction, J.P. Morgan Securities Inc.
served as a financial advisor and Winston & Strawn, LLP served
as legal counsel to a Special Committee of Lear's Board of
Directors.  Bank of America provided American Real Estate
Partners, L.P. with debt financing commitments for this
transaction.

The agreement is subject to the affirmative vote of the holders
of a majority of the outstanding shares of Lear common stock,
regulatory filings and approvals and other customary closing
conditions.  Upon the closing of the transaction, shares of Lear
common stock will no longer be listed on the New York Stock
Exchange or publicly-traded.

                   About American Real Estate

Headquartered in New York City, American Real Estate Partners,
LP (NYSE:ACP) -- http://www.arep.com/-- a master limited
partnership, is a diversified holding company engaged in a
variety of businesses.  The company's businesses currently
include gaming, oil and gas exploration and production, real
estate and home fashion.  The company is in the process of
divesting its Oil and Gas operating unit and their Atlantic City
gaming property.

The company owns a 99% limited partnership interest in American
Real Estate Holdings Limited Partnership.  Substantially all of
the assets and liabilities are owned by AREH and substantially
all of the company's operations are conducted through AREH and
its subsidiaries.  American Property Investors, Inc., or API,
owns a 1% general partnership interest in both the company and
AREH, representing an aggregate 1.99% general partnership
interest in the company and AREH.  API is owned and controlled
by Mr. Carl C. Icahn.

                      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.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on Feb. 9,
2007, that following Lear's discussions with Carl Icahn to
acquire the company, Fitch Ratings has placed Lear's Rating
Watch Negative as:

   -- Issuer Default Rating 'B'; and;

   -- Senior unsecured debt 'B/RR4'.

The TCR-AP also noted on Feb. 7, 2007, that Moody's Investors
Service placed Lear's corporate family rating at B2, under
review for possible downgrade.  The company's speculative grade
liquidity rating of SGL-2 has been affirmed.


LERENO BIO-CHEM: Inks Joint Venture Agreement with Reno Pacific
---------------------------------------------------------------
Lereno Bio-Chem Ltd has inked a joint venture with Reno
Plantation Holdings Pte. Ltd. to establish a joint venture
company named as Reno Pacific Private Limited, which will be
incorporated in Singapore.  

The primary purpose of the venture is to acquire palm oil
plantations and other assets in Indonesia and other parts as
part of the company's plan to become stakeholder and participate
in securing the future feedstock supplies for the biofuel
plants.

The initial paid-up capital of the new RenoPac will be SGD100.

Reno Plantation, the majority owner of several Permodalan Asing
companies in Indonesia, possesses the rights over large areas of
potential palm plantations lands.  The majority of the issued
and paid up share capital of Reno Plantation is deemed held by
Suganda Setiadikurnia, a company's director, together with
several substantial partners including Dawn Kong, the daughter
of Kong Mun Kwong, also a company's director.

The shareholding structure of RenoPac comprises of: Reno
Plantation holding 75%; and Lereno Bio-Chem holding 25%, which
totals to 100%.

The enlistment of Reno Plantation as partner in the proposed
RenoPac is necessary to enable and help RenoPac in the
negotiations to purchase a controlling interest in several
assets including an approximately 65,000 hectares of plantations
in Indonesia and elsewhere.

The RenoPAc joint venture and the shareholdings have been
approved by the company's board of directors on Feb. 10, 2007.

                     About Lereno Bio-Chem

Headquartered in Singapore, Lereno Bio-Chem Ltd -- formerly
known as MAE Engineering Limited -- is engaged in biofuel
production and its related businesses.  Prior to that, the
company is engaged in the provision of integrated electrical and
mechanical engineering services including designing, planning
and procurement.  The Group has disposed off its prawn and fish
farming as well as edutainment businesses, after suffering
accumulated losses of SGD48 million as of September 30, 2005.  
The company also suffered a liquidity crunch since September 30,
2005, when its total current liabilities of SGD23,695,000
exceeded its total current assets of SGD5,582,000.

As of March 31, 2006, the company's balance sheet showed
SGD7,404,000 in total assets and SGD27,257,000 in total
liabilities, resulting in a SGD19,853,000 stockholders' equity
deficit.


LERENO BIO-CHEM: Terminates MOU with Beijing Construction
---------------------------------------------------------
Lereno Bio-Chem Ltd said it has terminated the Memorandum of
Understanding entered into with Beijing Construction Engineering
Co. Ltd. for the formation of NEWCO.

The objective for the formation of NEWCO was to transfer the
assets including properties, contracts and staff to from Beijing
Equipment Installation Engineering Corporation, a subsidiary of
Beijing Construction, to NEWCO.  After that, NEWCO will assume
and carry out the business that is undertaken by Beijing
Equipment.

The company said that although fast progress was made during the
initial stage, the negotiations and the full agreement on the
formal joint venture agreement for the formation of NEWCO and
the transfer of Beijing Equipment's assets to NEWCO was delayed
and could not be finalized on terms that were acceptable to both
parties, especially the company.

Moreover, the change of the company's main business focus to
biofuel production from the provision of integrated electrical
and mechanical engineering services, triggered the termination
of the MOU.

                     About Lereno Bio-Chem

Headquartered in Singapore, Lereno Bio-Chem Ltd -- formerly
known as MAE Engineering Limited -- is engaged in biofuel
production and its related businesses.  Prior to that, the
company is engaged in the provision of integrated electrical and
mechanical engineering services including designing, planning
and procurement.  The Group has disposed off its prawn and fish
farming as well as edutainment businesses, after suffering
accumulated losses of SGD48 million as of September 30, 2005.  
The company also suffered a liquidity crunch since September 30,
2005, when its total current liabilities of SGD23,695,000
exceeded its total current assets of SGD5,582,000.

As of March 31, 2006, the company's balance sheet showed
SGD7,404,000 in total assets and SGD27,257,000 in total
liabilities, resulting in a SGD19,853,000 stockholders' equity
deficit.


NUANSA LEISURE: Creditors' Proofs of Debt Due on February 23
------------------------------------------------------------
Nuansa Leisure Pte Ltd, which is in creditors' voluntary
liquidation, will be receiving proofs of debt by Feb. 23, 2007.

Creditors who cannot prove their claims by the due date will be
excluded from the company's distribution of dividend.

The liquidator can be reached at:

         Tam Chee Chong
         c/o Deloitte & Touche
         6 Shenton Way
         #32-00 DBS Building Tower Two
         Singapore 068809


READER'S DIGEST: S&P Puts 'B' Rating on US$1.46 Bil. Facilities
---------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' corporate
credit rating and negative outlook to RDA Holding Co., the
company formed by private equity firm Ripplewood Holdings LLC.
to purchase Reader's Digest Association Inc.

At the same time, Standard & Poor's lowered its ratings on
Reader's Digest Association, including lowering the corporate
credit rating to 'B' from 'BB', reflecting the increase in
financial risk resulting from the leveraged acquisition, and
removed the ratings from CreditWatch, where they were placed
with negative implications on Aug. 15, 2006.

The outlook is negative.

Standard & Poor's also assigned a 'B' bank loan rating, with a
recovery rating of '3', to the company's US$1.46 billion first-
lien senior secured credit facilities.  The recovery rating
indicates an expected meaningful recovery of principal in the
event of a payment default.  The facilities consist of a US$300
million revolving credit facility due 2013 and a US$1.16 billion
term loan B due 2014.

Standard & Poor's also assigned its 'CCC+' bank loan rating to
the company's US$750 million senior subordinated notes due 2017.  
Pro forma total debt at Dec. 31, 2006, was US$1.91 billion.

"The ratings reflect the company's heightened debt leverage,
trend of lower profitability, and Standard & Poor's expectation
of only modest discretionary cash generation," said Standard &
Poor's credit analyst Hal F. Diamond.

"These factors are minimally offset by its market positions in
the highly competitive publishing and direct marketing
businesses."

Standard & Poor's remains concerned about Reader's Digest's
business risk and uncertain long-term growth prospects.

                      About Reader's Digest

Headquartered in Pleasantville, New York, The Reader's Digest
Association, Inc, -- http://www.rda.com-- is a global publisher
and direct marketer of products including magazines, books,
recorded music collections and home videos.  Products include
Readers Digest magazine, which is published in 50 editions and
21 languages.  Annual revenues approximate US$2.4 billion.
Reader's Digest has offices in Singapore, Korea, Malaysia,
Philippines, Thailand and India.


RED HAT: Taps Masatsugu Koketsu as Director for Japan Operations
----------------------------------------------------------------
Red Hat today appointed Masatsugu Koketsu as the Marketing and
Channel Director in its Japan operations.  

Mr. Koketsu was formerly Partner of Infrastructure Consulting
for Accenture Japan, a global management consulting, technology
services and outsourcing company.  Mr. Koketsu was responsible
for technology consultation of IT infrastructure.  Prior to his
work with Accenture, Mr. Koketsu worked for Sun Microsystems
Japan in marketing, sales and engineering capacities.  

Mr. Koketsu also gained experience with NEC Japan, acting as a
project leader in the development of its UNIX operating system,
gaining network and kernel technology experience.

"Koketsu will be a huge asset to our reach in the Asia Pacific
region," said Alex Pinchev, Executive Vice President of Global
Sales at Red Hat.  "The demand for Red Hat's expertise in open
source has been seen in Japan for some time.  With his strong
previous experience in varied roles throughout the industry,
Koketsu understands the whole solution story and will be a
strong addition to the Red Hat team."

                         About Red Hat

Red Hat, Inc. -- http://www.redhat.com/ -- provides open source
software solutions to the enterprise, including its core
enterprise operating system platform, Red Hat Enterprise Linux,
as well as other Red Hat enterprise technologies.  It employs an
open source software development and licensing model that uses
the collaborative input of an international community of
contributors to develop and enhance software.

The company has offices in Singapore, Germany and Argentina.

The Troubled Company Reporter - Asia Pacific on Nov. 3, 2006,
reported that Standard & Poor's Ratings Services revised its
outlook on Raleigh, N.C.-based operating systems provider Red
Hat Inc. to stable from positive, and affirmed its 'B+'
corporate credit rating.


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

DAIMLERCHRYSLER AG: Plans to Cut 10,000 Factory Jobs at Chrysler
----------------------------------------------------------------
DaimlerChrysler AG intends to cut 10,000 factory jobs and shut
down at least two plants at Chrysler Group to return the United
States-based division to profitability, Reuters reports, citing
the Detroit News as its source.

According to the report, a hidden restructuring plan called
"Project X" aims to transform Chrysler into a smaller, more
efficient automaker with closer ties to its parent company
DaimlerChrysler and the Mercedes division.

Jason Vines, Chrysler spokesman called the report "speculation"
and refused to comment further, Reuters relates.  
DaimlerChrysler will announce the strategy for Chrysler's
turnaround on Valentines Day, Feb. 14, 2007, together with its
fourth-quarter results.

As reported in the Troubled Company Reporter on Feb. 8, 2007,
the plan includes the joint development of the basic
underpinnings of automobiles and possibly include the idling of
DaimlerChrysler's truck plant in Newark, Delaware, and several
thousand layoffs.  Published reports say an engine plant in
Detroit might also be affected.

"We need to go deeper and faster, or else what's the point?"
Reuters quoted DaimlerChrysler chairman Dieter Zetsche as
saying.

According to Reuters, inventory management problems pursued
Chrysler in 2006, considering its statement that it had been
hoarding large numbers of vehicles in a "sales bank" before they
had been ordered for showrooms.  At one time, the automaker had
about 100,000 vehicles in the sales bank of unassigned inventory
that were not disclosed in its monthly sales calls for analysts.

                      About DaimlerChrysler

Headquartered in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- engages in the development,  
manufacture, distribution, and sale of various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide.  It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names.  It also sells parts and
accessories under the MOPAR brand.

DaimlerChrysler has operations in Australia, China, Indonesia,
Japan, Korea, Malaysia and Thailand.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.  Chrysler Group
will take additional production cuts in the third and fourth
quarters to reduce dealer inventories and make way for its
current product offensive.

In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.


DOLE FOOD: Fresh Vegetables Unit Inks Leafy Greens Mktg. Pact
-------------------------------------------------------------
Dole Fresh Vegetables, Inc., a subsidiary of Dole Food company,
Inc., has signed the California Leafy Greens Marketing
Agreement.  Under the voluntary Agreement, all participants must
adhere to established good agricultural practices or GAP and
food safety guidelines.  Dole has always used GAP in all its
growing operations and the company has been a strong supporter
of the Agreement as a standard for the industry. Dole has taken
food safety one-step further by applying the California
standards in all states where its leafy greens are grown.

The California Leafy Greens Marketing Agreement will set
mandatory and specific standards for leafy greens supply; the
California Department of Health Services will monitor compliance
with the new standards.  Facilitated by the Western Growers
Association, Dole worked collaboratively with a group that
consisted of growers, processors, regulators and members of
academia to formulate the Agreement.

Eric Schwartz, President of Dole Fresh Vegetables, said, "Dole
is in full support of a uniform, national, leafy greens food
safety standard that will set mandatory and explicit guidelines
in the produce industry.  We strongly encourage our retail and
food service customers to support the Leafy Greens Marketing
Agreement by requiring their produce suppliers to sign this
Agreement."  Mr. Schwartz also commented, "Food safety is our
top priority.  This is another example of our commitment to work
with government, industry leaders, trade organizations and food
safety experts to continuously seek ways to improve and enhance
food safety for consumers."

                         About Dole Food

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. D ole'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.

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 7, 2007, Moody's Investors Service downgraded the ratings
of Dole Food Company Inc. as follows:

   -- corporate family rating to B2 from B1;
   -- probability of default rating to B2 from B1;
   -- senior secured bank credit facilities to Ba3 from Ba2;
   -- senior unsecured notes to Caa1 from B3; and
   -- various shelf registrations to (P)Caa1 from (P)B3.

Moody's said the outlook is stable.

On Dec. 11, Standard & Poor's Ratings Services lowered its
ratings on 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.


PHELPS DODGE: Declares US$0.020 Per Share Dividend
--------------------------------------------------
Phelps Dodge Corp.'s board of directors declared a dividend of
20 cents per share on the common shares of the corporation.  The
dividend is payable on March 2, 2007, to common shareholders of
record at the close of business on Feb. 16, 2007.

                    About Phelps Dodge Corp

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 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.


SIAM COMMERCIAL: Stocks on Long-Term Buy, Sees Growth In 2007
----------------------------------------------------------------
A long-term buy recommendation is maintained on Siam Commercial
Bank even though the stock is on a premium to other blue chip
banks, TMC News relates, citing The Thai Press.

The report says that SCB is currently trading on a projected
2007 P/BV ratio of 1.9x of 2007 compared to ratios of 1.5x and
1.3x for KBANK and BBL respectively.

TMC News says that the stock currently offers 10.4% upside
potential to its fair value estimate of THB69.0/share, which is
based on a target P/BV ratio of 2.1x.

The report states that SCB's return on equity fell from 21% in
2005 to 13.5% last year, mainly due to a 450% year-on-year jump
in provisioning expenses as a result of IAS 39, and if SCB's
additional provisioning is stripped out, ROE would have come in
at 18.7%.

According to the report, SCB expects its loan portfolio to
increase by THB158 billion or 21% this year, and growth will be
driven by an increase in loans for SMEs, retail clients and auto
HP.

TMC News states that if SME's and auto HP loans offer higher
yields this year, SCB expects its NIM to widen to 3.7% versus a
contraction forecast of 3.

The management also expects an increase of 19% in fee-based
income and a 35% jump in non-interest income, TMC News adds.  

                    About Siam Commercial Bank

Thailand's fourth largest commercial bank, Siam Commercial Bank
-- http://www.scb.co.th/-- provides a wide variety of personal   
and business banking options, including funds management, loan
and investment services, foreign currency exchange, and more.  
The bank has more than 500 branches countrywide, its total
assets added to THB814 billion as of December 31, 2005.

The Troubled Company Reporter - Asia Pacific reported on
Aug. 23, 2006, that Moody's Investors Service confirmed Siam
Commercial Bank Public Company Limited's D+ bank financial
strength rating and changed its outlook to positive from stable.

On Oct. 23, 2006, Fitch Ratings affirmed the ratings of Siam
Commercial Bank and removed them from Rating Watch Negative on
which they were placed on September 20, 2006, following the
military coup.  The Outlook on their ratings is now Stable.

After the rating action, SCB's ratings are as follows:

    * Long-term foreign currency IDR BBB+/ Outlook Stable;
    * Short-term foreign currency F2;
    * Individual C;
    * Support 2;
    * Senior unsecured debt BBB+;
    * Subordinated debt BBB.


=============
V I E T N A M
=============

VIETCOMBANK: S&P Assigns BB Ratings on Strong Domestic Position
---------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB/B'
counterparty credit ratings on Vietcombank (also known as Bank
for Foreign Trade of Vietnam).  The outlook is stable.  Standard
& Poor's also assigned a Bank Fundamental Strength Rating of
'D' on the bank.

This is Standard & Poor's first rating on a Vietnamese bank and
it reflects Vietcombank's strong position in the domestic
banking industry and expectations of extraordinary government
support, given the bank's systemic importance to Vietnam
(foreign currency BB/Stable/B; local currency BB+/Stable/B).
These strengths are partly offset by Vietcombank's modest
profitability and its weak, though improving, asset quality and
capitalization by international standards.

Vietcombank has a strong competitive position in Vietnam as the
second-largest bank in terms of total assets.  As one of the
five state-owned commercial banks, it has a good relationship
with state-owned enterprises and big private companies.

Benefiting from its historical mandated role on international
payments, Vietcombank remains the top player on import/export
payments, and the largest recipient of foreign currency
deposits.  The bank also owns the largest ATM network in Vietnam
and is the leader in card services.

Vietcombank's asset quality is improving, although it is still
weak by international standards.  "The chief contributor to the
bank's weak asset quality is its high and mostly unsecured
exposure to SOEs, comprising about two-fifths of its loan
portfolio.  There is no financial transparency in the SOE
segment and a large number of these companies are expected to be
financially weak," said Standard & Poor's credit analyst Ritesh
Maheshwari.

The bank's nonperforming assets ratio (including regulatory NPL,
restructured loans, and foreclosed properties) was still high at
8% at the end of September 2006, even after a steady decline
from over 20% at the end of 2001.  This improvement followed
Vietcombank's efforts to write-off bad debt and upgrade its
credit control mechanism.  The bank's profitability is modest
compared with its international peers'.  Its net interest margin
is thin due to its high proportion of credit to corporate
clients (over 90% of total loans at the end of September 2006).
Vietcombank's fee income-to-revenue ratio is expected to improve
from the 10.9% registered in fiscal year 2005.  However,
considering the latent credit costs due to vulnerable credit
portfolio and fierce competition, the bank's core earnings
profile is likely to remain modest over the medium term.

Vietcombank's capitalization remains lower than similar rated
international peers'.  "The bank's ratio of adjusted common
equity to adjusted assets was 5.8% at the end of 2005, up from
2.8% at the end of 2001, and it is likely to improve further due
to earnings retention and new shares issued under its
equitization plan. However, it should remain pressured
considering latent credit costs due to its weak asset quality,"
Mr. Maheshwari added.

"Vietcombank's IPO, planned for 2007, should enhance its
financial flexibility and, together with its intentions to bring
new strategic investors, could help further improve the bank's
overall competitiveness.  The government, however, is expected
to remain as the largest shareholder with more than 51%
shareholding."



* 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 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 9, 2007
  Fitch Training
    Asian Regional Insurance Roadshow 2007
      Kuala Lumpur, Malaysia
        Telephone: +65 6336 6801
          e-mail: zuraidah.ramli@fitchratings.com

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 16, 2007
  Fitch Training
    Asian Regional Insurance Roadshow 2007
      Taipei, Taiwan
        Telephone: +8862 2514 0580
          e-mail: kathy.chang@fitchratings.com

March 21, 2007
  Fitch Training
    Asian Regional Insurance Roadshow 2007
      Seoul, South Korea
        Telephone: +822 2076 8364
          e-mail: young.ha@fitchratings.com

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 26, 2007
  Fitch Training
    Asian Regional Insurance Roadshow 2007
      Hong Kong
        Telephone: +852 2263 9977
          e-mail: carey.kwan@fitchratings.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 ***