TCRAP_Public/070301.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R  
  
                     A S I A   P A C I F I C  

            Thursday, March 1, 2007, Vol. 10, No. 43

                            Headlines

A U S T R A L I A

ADVANCED MARKETING: Court Approves Bid Procedures on Asset Sale
AGENIX LIMITED: Posts AU$4.7-Mln. Loss for HY-Ended Dec. 2006
ALI MAY: Members to Receive Wind-Up Report
BANOR HOLDINGS: Members Opt to Wind Up Operations
CONROCK GROUP: Members and Creditors to Meet on March 29

DANALIZ PTY: To Declare Dividend for Unsecured Creditors
EASTLAKES MANAGEMENT: Members Resolve to Liquidate Business
ELECTRONIC INTERNATIONAL: Final Meeting Slated for March 22
ENESCO GROUP: U.S. Trustee Appoints Three-Member Official Panel
ENESCO GROUP: Committee Retains Adelman & Gettleman as Counsel

FASCIALE FUTURES: S. Fasciale in Court on ASIC Charges
FOOD-SHARE AUSTRALIA: Liquidator to Present Wind-Up Report
HANDS OZ: Members and Creditors to Meet on March 30
LAFAYETTE MINING: Rapu-Rapu Plant Resumes Production
MERIDIAN FOREX: Members Resolve to Close Business

MICHAEL CHARLES: Names de Vries and Tayeh as Liquidators
NORSKE SKOGINDUSTRIER: To De-Merge Non-Core Real Properties
NORSKE SKOGINDUSTRIER: To Invest NOK330 Million Into Skogn Unit
NORSKE SKOGINDUSTRIER: Posts NOK3-Billion Net Loss for 2006
RHSS LIMITED: Members to Meet on March 27

SUBIACO HERBS: Members and Creditors to Meet on March 27
TRANSAX INTERNATIONAL: Commits to Repay US$1.6 Mln. Investment
WENHAM BUILDERS: Supreme Court Issues Wind-Up Order
ZINIFEX LTD: EU Commission Approves Joint Venture Proposal


C H I N A   &   H O N G  K O N G

BOE TECHNOLOGY:  Will Sell Remaining TPV Tech Shares
BOE TECHNOLOGY: To Merge with SVA Group
BOE TECHNOLOGY: Expects Another Loss for 2006
CHEERGOLD INVESTMENT: Shareholders to Hear Wind-Up Report
CHEUNG MAN: Members' Final Meeting Slated for March 28

GALLAS PUBLISHING: Liabilities Prompts Wind-Up
HEILONGJIANG SUNFIELD: Expects to Profit Due to Subsidy
INNER MONGOLIA: Mitsui & Co., Ltd. Buys Shares in Unit
JINAN IRON: Merges with Laiwu Iron
LANE CRAWFORD: Creditors Must File Claims by March 30

LIVINGSTON COMPANY: Taps Clara Fung Pui Ling as Liquidator
NANJING IRON: Restructures Sales and Management Division
NANJING IRON: China Steel Seeks Strategic Alliance
PACICO INTERNATIONAL: Placed Under Voluntary Wind-Up
ROBHEATH INVESTMENTS: Members to Hear Liquidator's Report

SHENZHEN CHINA BICYCLE: Shareholders OK Share Merger Reform
SHENZHEN CHINA BICYCLE: Expects 2006 Net Loss of CNY5 Million
SHENZHEN CHINA BICYCLE: Hires Wong Lam As New Auditors
SHENZHEN DAWNCOM: Implements Share Merger Reform
SHENZHEN DAWNCOM: Expects a CNY140 Million Loss For 2006

SHENZHEN DAWNCOM: Disclosure Delays Lead to CNY300,000 CSRC Fine
SHENZHEN SHENXIN: Increases Liabilities in Restatement
SIBER HEGNER: Creditors Must Prove Debts by March 26
SUCCESS INFORMATION: Losses UnionPay Shares in Court Verdict
SUCCESS INFORMATION: Xinhai Investment Repays Debt with Shares

SUCCESS INFORMATION: Expects CNY12-M. Profit After Assets Sale
SUCCESS INFORMATION: Hires Nanfang Minhe As New Auditors
SKYPORT ENTERPRISES: Creditors' Proofs of Debt Due on March 16
TRIUMPHANT TONE: Members' Final General Meeting Set for March 27
XINING SPECIAL: Two Units Apply for Working Capital Loans


I N D I A

AES CORP: Restating Financials & Delays Fourth Quarter Results
AMERICAN AXLE: Offers US$300 Million of Senior Unsec. Notes
BRITISH AIRWAYS: Hires Porter Novelli for Public Relations Work
ELCOM INT'L: Appoints David Elliot as VP Finance & Secretary
INDIA CEMENTS: Signs Scheme of Amalgamation with Visaka Cement

KDL BIOTECH: Narrows 4th Qtr. 2006 Net Loss to INR21.85 Million
LML LTD: Posts INR2.45BB Net Loss in 18 Mos. Ended Sept. 30, '06
* CI Raises India's Long-Term Currency Ratings to BBB-


I N D O N E S I A

ALCATEL-LUCENT: Wins US$1.5-Billion Patent Suit vs. Microsoft
ALCATEL-LUCENT: Signs Outsourcing Pact with E-Plus Mobilfunk
ALCATEL-LUCENT: Eyes Another 1,700 Job Cuts in Europe
BAKRIE SUMATERA: Moody's Affirms 'B2' Senior Secured Debt Rating
BAKRIE SUMATERA: S&P Affirms 'B' Corporate Credit Rating

BAKRIE SUMATERA: Sets Up New Subsidiary
CORUS GROUP: Tata Dismisses Speculation on Scunthorpe Plant Sale
FOSTER WHEELER: Ralph Alexander Resigns as Director
FOSTER WHEELER: Discloses Highest Profit in Its 116-Year History
FOSTER: Appoints New Vice President for Corporate Development

PAKUWON JATI: Sells US$110-Million Bond Due 2011 at 12%
PERTAMINA: To Set Up Joint Venture for CPP Management
PERUSAHAAN GAS: Will Deliver Gas to Java After 4-Month Delay
TELKOM INDONESIA: Signs Cooperation Agreement with Flexi Handset


J A P A N

DELPHI CORP: Closing Manufacturing Facility in Spain
FIDELITY NATIONAL: Net Earnings Rise to US$259.1 Million in 2006
METHANEX CORP: Earns US$482.9 Million in Year Ended December 31
MITSUBISHI MOTORS: Announces Sales & Export Results for January
NIKKO CORDIAL: Will File Damages Suit Against 3 Former Execs

NIKKO CORDIAL: Moody's Comments on Possible Delisting from TSE
NORTHWEST AIRLINES: Committee Against Equity Panel Appointment
NORTHWEST AIRLINES: Wants Court Approval on JP Morgan Pact
SANYO ELECTRIC: May Revise Inaccurate Financial Reports


K O R E A

ARROW ELECTRONICS: Earns US$388 Million for Full Year 2006
DAEGU BANK: Records Lowest SBL Ratio Among Regional Banks
DAEGU BANK: BIS Capital Adequacy Ratio at 11.73% at Sept. End
HYNIX SEMICONDUCTOR: Shareholders Elect Jong-kap Kim as New CEO
JEONBUK BANK: Declares Total Dividends of KRW3.6 Billion

KOOKMIN BANK: Reports KRW2.47 Trillion Net Income for 2006
KOOKMIN BANK: To Issue MBS Worth KRW1 Tril. to Foreign Investors
KOREA EXPRESS: Parent Posts KRW344.27 Billion Net Loss in 2006
KOREA EXPRESS: Increases Stake in JV Company to 40%
KOREA EXPRESS: HS Holdings Divests Entire Holding

KWANGJU BANK: Posts Highest SBL Ratio Among Regional Banks
KWANGJU BANK:  Records Lower BIS Ratio At September End
LG CARD: Creditors to Reap Capital Gains in Shinhan Acquisition
PUSAN BANK: Moody's Assigns Baa3 Rtg. to Subordinated Debt Issue
* FSS Says Bank Net Income Decreases to KRW13.49 Trillion

* FSS Says Substandard Bank Loans Decrease to KRW7.8 Trillion


M A L A Y S I A

AMSTEEL: Bursa Asks Explanation on Why Securities Should Stay
ANTAH HOLDINGS: Posts MYR9.83 Million Profit in December Quarter
ARK RESOURCES: Unit Inks Sub-Contracting Agreement w/ Pastiya
COMSA: Inks Deal w/ Principal Odyssey to Develop Quoin Hill
MALAYSIA AIRLINES: Fosters Codeshare Cooperation with KLM Royal

STAR CRUISES: Casino License in Singapore not Guaranteed
UNITED CHEMICAL: Balance Sheet Upside Down by MYR78MM at Dec. 06


N E W   Z E A L A N D

166 MARSDEN: Court Sets Liquidation Hearing on March 8
A2 CORP: Appoints Le Grice as Exec. Director & A. Lawler as CEO
BLUEPARK SEAFOODS: Court Hears Liquidation Petition
CAPITAL PROPERTIES: To Purchase 2007 Capital Notes on April 15
CLASSIC DE'COR: Faces Liquidation Proceedings

CMA SHELL: Creditors Must Prove Claims by March 2
COULIBALY & ASSOCIATES: Petition Hearing Slated for March 8
GILL INVESTMENTS: Commences Liquidation Proceedings
GLOVER LAND: Shareholders Resolve to Close Business
HALLS EARTHWORKS: Creditors' Meeting Slated for March 5

MANE HAIR: Hearing of Liquidation Petition Set for April 5
TE HAU KAINGA: Creditors' Proofs of Claim Due on May 19
VIDEOWORKS LTD: Court to Hear Liquidation Petition
WAI ARIKI: Creditors Must Prove Debts by March 20


P H I L I P P I N E S

CHIQUITA BRANDS: Sets Shareholders Annual Meeting for May 24
COVANTA HOLDING: Earns US$12 Mil. in Quarter Ended Dec. 31, 2006
MIRANT CORP: NY Units Want Confirmation Trial Moved to March 21
WARNER MUSIC: S&P Puts Ratings on Watch After EMI Merger Talks


S I N G A P O R E

CHINA AVIATION: Proposes Dividend of SGD0.02 Per Share
COMPACT METAL: Net Loss Down by 43% to SGD14.34 Mil. in FY 2006
DREAMWORLD ENTERTAINMENT: Proofs of Debt Due on March 23
EXCEL MACHINE: Creditors Approve Statement of Proposals at EGM
FAIRFAX FINANCIAL: Earns US$159.1 Million in 2006 Fourth Quarter

GETRONICS NV: Inks Strategic Partnership with NTT Data Corp
LIFEXCHANGE ASIA: Pays Preferential Dividend
MONEYLINE TELERATE: Creditors Must Prove Debts by March 23
PETROLEO BRASILEIRO: To Study Petrosix Technology at Attarat


T H A I L A N D

DAIMLERCHRYSLER: Plans to Cut 1,000 Salaried Jobs by June 2007
DAIMLERCHRYSLER: Chrysler & UAW Ink Two Employee Incentive Deals
DAIMLERCHRYSLER AG: May Accept GM Stake in Exchange for Chrysler
DAIMLERCHRYSLER AG: Chrysler Eyes Sale of Dodge Cars in China
G STEEL: Appoints New Member to Board of Directors

ITV PCL: Gov't Will Seize Control if Penalties Are Unsettled
PHELPS DODGE: Moody's Lowers Ratings on US$556.7MM Notes to B1

     - - - - - - - -

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

ADVANCED MARKETING: Court Approves Bid Procedures on Asset Sale
---------------------------------------------------------------
The United States Bankruptcy Court for the District of Delaware
approved the qualified transaction procedures proposed by
Advanced Marketing Services Inc. and designated Baker & Taylor
as stalking horse bidder.

The approval follows the announcement by the Debtor that it has
entered into a letter of intent with Baker & Taylor, the world's
largest book distributor, to sell the majority of its assets,
excluding Publishers Group West Inc., pursuant to Section 363 of
the United States Bankruptcy Code.  The letter of intent is
subject to the negotiation of a definitive asset purchase
agreement and will require the Court approval.

Following an auction, if necessary, the company anticipates a
closing by March 15, 2007, as per the requirements of the letter
of intent.

The Hon. Christopher S. Sontchi ruled that the Debtors will
provide these stalking horse protections to Baker & Taylor, in
cash and at the closing of an alternative transaction:

   (a) a break-up fee in an amount equal to 2% of the sum of  
       (i) $20,000,000, (ii) the minimum Selected APG Inventory
       Purchase Price, (iii) Advanced Marketing Services Inc.'s
       and Baker & Taylor's jointly established good faith
       estimate of the APG Product Prepayment Price, and (iv)
       AMS' and Baker & Taylor's jointly established good faith
       estimate of the Accounts Receivable Price; and

   (b) Baker & Taylor's reasonable and documented out-of-pocket
       fees and costs, including costs of counsel, not exceeding
       $300,000.

These Stalking Horse Protections are entitled to status and
payment as super-priority administrative expenses in the
Debtors' Chapter 11 cases, Judge Sontchi added.

                         Offer Deadline

Binding offers to purchase all or any defined portion of the
assets to be sold under the APA between the Debtors and Baker &
Taylor may be submitted on or before Feb. 27, 2007, at 5:0O p.m.  
Although a Qualified Offer may be subject to some contingencies,
any contingencies will be considered by AMS when evaluating and
comparing Qualified Offers.

                    Offer Evaluation Process

On March 1, 2007, at 10:00 a.m., a meeting will be held at the
offices of the Debtors' counsel, if AMS determines that
proceeding with the Offer Evaluation Process is appropriate.

Initial Qualified Offers will be considered only if they exceed
the offer for the assets by Baker & Taylor plus the Stalking
Horse Protections -- calculated under the assumption that the
Stalking Horse Protections will equal approximately $2,000,000.  
Successive Qualified Offers will be considered only if they
exceed the previous offer by $500,000.  

The Debtors may recess the Offer Evaluation Process from time to
time in their discretion to assess Qualified Offers or permit
participants to alter or increase their Qualified Offers.   The
Debtors may conduct the Offer Evaluation Process as an auction,
a series of negotiations or whatever other means it determines
in its business judgment.

                         Multiple Lots

The Offer Evaluation Process may proceed in multiple lots,
provided that any participant will have an opportunity to submit
a Qualified Offer on one or more lots or on all lots together,
and the Debtors will be free to accept the Qualified Offer or
Offers that, alone or in conjunction with others, the Debtors
deems to comprise the highest and best offer available.

                           Inventory

Unless the Debtors' inventory is sold pursuant to a Qualified
Offer approved by the Bankruptcy Court, the Debtors will propose
and file with the Bankruptcy Court a program to provide for the
return of the Debtors' inventory to the publishers that sold the
inventory for values and on terms as agreed by the Debtors and
the Official Committee of Unsecured Creditors, or as otherwise
ordered by the Bankruptcy Court.  The program will be effective
after payment of the Closing Payoff Amount.

Upon the conclusion of the Offer Evaluation Process, the Debtors
will file and serve a supplement identifying the highest and
best Qualified Offers, and seek approval of the sale of their
assets pursuant to Sections 363 and 365 of the Bankruptcy Code
to the party or parties submitting Qualified Offers.  

The Court sets the hearing on the Sale Motion to March 5, 2007.

The Court directs the Debtors to file a schedule of proposed
cure amounts for all executory contracts proposed to be assumed
and assigned under the Sale Motion.

Any objections to (a) the Sale Motion or (b) the proposed cure
amounts set forth in the Proposed Cure Schedule must be filed no
later than 5:00 p.m. EST, on Feb. 28, 2007.  Any objections to
the ability of Buyers to provide adequate assurances of future
performance under any executory contract proposed to be assumed
and assigned under the Sale Motion may be presented at the March
5 Sale Hearing.

"We are pleased to enter into this letter of intent with Baker &
Taylor and believe it marks a significant milestone in the
restructuring of our business," said Gary Rautenstrauch,
President and CEO of AMS.  "Baker & Taylor is a recognized
leader in the book distribution industry and has the experience
to seamlessly assume operations and continue meeting the needs
of our customers."

"An agreement with AMS will represent an important strategic
addition to Baker & Taylor's business.  We are excited about the
opportunity to work with AMS to foster and broaden the
commitment to customer service and operational excellence that
AMS is known for," stated Richard Willis, Chairman, President
and CEO of Baker & Taylor.

                       About Baker & Taylor

Baker & Taylor, founded in 1828, is the world's leading
distributor of books, video, and music products to public and
academic libraries.  It is also a global leader in the
distribution of books and entertainment products to many of the
country's leading brick and mortar retailers, Internet
retailers, as well as thousands of independent book, music and
video stores.  Baker & Taylor is based in Charlotte, North
Carolina and is ranked in the top 250 US private companies by
Forbes magazine.  It serves customers in 125 countries around
the world and has six distribution facilities strategically
located throughout the country.  Baker & Taylor is a portfolio
company of Castle Harlan Partners IV, L.P.

                       About Castle Harlan

Castle Harlan, founded in 1987, invests in controlling interests
in the buyout and development of middle-market companies in
North America and Europe.  Its team of 20 investment
professionals has completed 48 acquisitions since its inception
with a total value in excess of $9 billion.  The firm traces its
roots to the start of the institutionalized private-equity
business in the late 1960's.

Castle Harlan's current portfolio companies, which employ more
than 42,000 people, include Ames True Temper, a leading
manufacturer of lawn and garden tools and accessories;
RathGibson, a leader in the manufacture of stainless steel and
high alloy precision-welded tubing; and, Perkins & Marie
Callender's Inc., which operates and franchises 618 family
restaurants in the United States and Canada.

                     About Advanced Marketing

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

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


AGENIX LIMITED: Posts AU$4.7-Mln. Loss for HY-Ended Dec. 2006
-------------------------------------------------------------
For the half-year ended Dec. 31, 2006, Agenix Limited posted a
consolidated loss of AU$4.7 million, down AU$1.2 million from
AU$5.9 million loss incurred during the same period in 2005.

Revenue declined to AU$4.6 million from AU$7.7 million in the
previous corresponding half year as Agenix implemented its
corporate strategy, for wholly owned subsidiary Agen Biomedical
Ltd, of selling its non-core Animal Health and Human Health
businesses to develop a broader development pipeline of
monoclonal antibody-based products.

Despite the reduced revenue, continued cost cutting resulted in
the lower loss.

Research and development expenditure in relation to the
ThromboView(R) project was down 42% at AU$2.9 million for the
six months ended Dec. 31, 2006, compared to AU$5.0 million for
the previous corresponding period.  Agenix is currently
finalizing the design of its proposed Phase II pulmonary
embolism clinical trial after the announcement of strong results
in the previous Phase Ib PE trial and the Phase II deep vein
thrombosis trial.

In addition, employee related expenditure was down AU$1.1
million.  A further reduction in staff numbers will occur with
the sale of the Human Health business, including the announced
transaction with American Diagnostica Inc., which settled on
February 28.

At Dec. 31, 2006, Agenix had cash of AU$5.0 million.

                         About Agenix

Agenix Limited -- http://www.agenix.com/-- is a global health  
and biotechnology Company based in Brisbane, Australia.  The
Company runs a suite of established businesses in human and
animal health diagnostics, and is focused on growing its world-
leading molecular diagnostic imaging R&D program.  Agenix's lead
candidate is its high-technology ThromboView blood clot-imaging
project, which is currently undergoing Phase II human trials in
the United States and Canada.  ThromboView uses radio-labeled
antibodies to locate blood clots in the body, and could
revolutionize the US$3 billion global clot diagnostic imaging
market.  ThromboView is being developed with the assistance of
the Federal Government through its START scheme.  Agenix employs
110 staff and sells its products to more than 50 countries.
ThromboView is a registered trademark of AGEN Biomedical.

The Troubled Company Reporter - Asia Pacific reported on Nov. 3,
2006, that Agenix's consolidated net loss for FY 2005-06 fell to
AU$3.721 million from the previous year's AU$13.616 million.  
Agenix ended 2003 with a AU$811,000 net loss, owing to huge R&D
expense on Thromboview.  The Company had announced a AU$14.3-
million loss for the six months ending June 30, 2004, largely
due to increased investments and one-off items including legal
fees associated with the Synbiotics patent case which was
resolved earlier, costs associated with the terminated Peptech
merger, additional licenses, improvements made to manufacturing
and regulatory infrastructure and losses associated with Milton
Pharmaceuticals.


ALI MAY: Members to Receive Wind-Up Report
------------------------------------------
Ali May Clothing Pty Limited will hold a final meeting for its
members on March 28, 2007, at 10:00 a.m.

At the meeting, the liquidator will present the final accounts
of the company's wind-up proceedings and property disposal.

As reported by the Troubled Company Reporter - Asia Pacific, the
company was placed under liquidation on Dec. 13, 2005.

The company's liquidator can be reached at:

         Arthur Eady
         Arthur Eady & Co.
         Level 6 131 Clarence Street
         Sydney
         Australia

                          About Ali May

Ali May Clothing Pty Limited is a distributor of non-durable
goods.  The company is located in New South Wales, Australia.


BANOR HOLDINGS: Members Opt to Wind Up Operations
-------------------------------------------------
The members of Banor Holdings Pty Limited -- formerly known as
LVP Australia Pty Limited -- decided to wind up the company's
operations.

Accordingly, P. Ngan was appointed as liquidator.

The company's Liquidator can be reached at:

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

                       About Banor Holdings

Banor Holdings Pty Limited is a distributor of plastic products.  
The company is located in New South Wales, Australia.


CONROCK GROUP: Members and Creditors to Meet on March 29
--------------------------------------------------------
A joint meeting will be held for the members and creditors of
Conrock Group Pty Limited on March 29, 2007, at 10:00 a.m.

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

The company's liquidator can be reached at:

         R. G. Tolcher
         Lawler Partners
         Chartered Accountants
         763 Hunter Street
         Newcastle West, New South Wales 2302
         Australia

                      About Conrock Group

Conrock Group Pty Limited is a distributor of construction sand
and gravel.  The company is located in New South Wales,
Australia.


DANALIZ PTY: To Declare Dividend for Unsecured Creditors
--------------------------------------------------------
A first and final dividend will be declared for the unsecured
creditors of Danaliz Pty Ltd on March 31, 2007.

Creditors are given until March 17, 2007, to formally prove
their debts.

The company entered wind-up proceedings on Oct. 19, 2005, as
reported by the Troubled Company Reporter - Asia Pacific.

The liquidator can be reached at:

         Brian Silvia
         Ferrier Hodgson
         Level 13, 225 George Street
         Sydney, New South Wales 2000
         Australia

                       About Danaliz Pty

Danaliz Pty Ltd operates auto and home supply stores.  The
company is located in New South Wales, Australia.


EASTLAKES MANAGEMENT: Members Resolve to Liquidate Business
-----------------------------------------------------------
At a general meeting held on Feb. 15, 2007, the members of
Eastlakes Management Pty Ltd resolved to liquidate the company's
business.

Accordingly, Peter Charles Hicks was appointed as liquidator.

The company's Liquidator can be reached at:

         Peter Charles Hicks
         Forsythes Chartered Accountants
         Level 5, 175 Scott Street
         Newcastle
         Australia

                   About Eastlakes Management

Eastlakes Management Pty Ltd -- also trading as Eastlakes
Automotive Repairs -- operates general automotive repair shops.  
The company is located in New South Wales, Australia.


ELECTRONIC INTERNATIONAL: Final Meeting Slated for March 22
-----------------------------------------------------------
The members and creditors of Electronic International Trade
Services Pty Limited will hold a final meeting on March 22,
2007, at 10:45 a.m.

During the meeting, the members and creditors will consider the
liquidators' report about the company's financial circumstances.

The company's liquidators can be reached at:

         S. J. Parbery
         A. L. Smith
         PPB, Level 46, MLC Centre 19
         Martin Place
         Sydney, New South Wales 2000
         Australia

                  About Electronic International

Electronic International Trade Services Pty Ltd is an investor
relation company.  The company is located in New South Wales,
Australia.


ENESCO GROUP: U.S. Trustee Appoints Three-Member Official Panel
---------------------------------------------------------------
The United States Trustee for Region 11, appointed three
creditors to serve on an Official Committee of Unsecured
Creditors in Enesco Group, Inc. and its debtor-affiliates
chapter 11 cases.

The Creditors Committee consists of:

         1. Victradco Ltd.
            No. 1, Section 4
            7F Zhong Xiad East Road
            Taipei 106, Taiwan

            Representative:

            Terry Chang

         2. Disney Enterprises, Inc.
            500 South Buena Vista Street
            Burbank, CA 91521

            Representative:

            Alec M. Lipkind
            The Walt Disney Co.
            77 West 66th Street, 15th Floor
            New York, NY 10023

         3. Jim Shore Design, Inc.
            426 North Main Street
            Health Springs, SC 29058

            Representatives:

            Michael Molinaro
            Stanley F. Orszula

Official creditors' committees have the right to employ legal
and accounting professionals and financial advisors, at the
Debtor's expense.  They may investigate the Debtor's business
and financial affairs.  Importantly, official committees serve
as fiduciaries to the general population of creditors they
represent.  Those committees will also attempt to negotiate the
terms of a consensual chapter 11 plan -- almost always subject
to the terms of strict confidentiality agreements with the
Debtors and other core parties-in-interest.  If negotiations
break down, the Committee may ask the Bankruptcy Court to
replace management with an independent trustee.  If the
Committee concludes reorganization of the Debtor is impossible,
the Committee will urge the Bankruptcy Court to convert the
Chapter 11 cases to a liquidation proceeding.

                        About Enesco Group

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

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

Enesco Group and its two affiliates, Enesco International Ltd.
and Gregg Manufacturing, Inc., filed for chapter 11 protection
on Jan. 12, 2007 (Bankr. N.D. Ill. Lead Case No. 07-00565).  
Shaw Gussis Fishman Glantz Wolfson & Tow and Skadden, Arps,
Slate, Meagher & Flom LLP, represent the Debtors.  The Debtors'
financial condition as of Nov. 30, 2006, showed total assets of
US$155,350,698 and total debts of US$107,903,518.


ENESCO GROUP: Committee Retains Adelman & Gettleman as Counsel
--------------------------------------------------------------
The Official Committee of Unsecured Creditors appointed in
Enesco Group, Inc. and its debtor-affiliates chapter 11 cases
obtained permission from the United States Bankruptcy Court for
the Northern District of Illinois to retain Adelman & Gettleman,
Ltd., as its bankruptcy counsel.

Adelman & Gettleman is expected to:

    (a) advise the Committee with respect to its duties and
        powers in these cases;

    (b) consult with the Debtors, its counsel and other
        professionals concerning the administration of these
        cases;

    (c) assist the Committee in its investigation of the acts,
        conduct, assets, liabilities and financial condition of
        the Debtors, the operation of the Debtors' businesses
        and the desirability of the continuance of such
        businesses, and any other matter relevant to these cases
        or the formulation of a plan;

    (d) participate with the Committee in the formulation of a
        plan, if appropriate under the circumstances;

    (e) assist the Committee in requesting the appointment of a
        trustee or examiner, should such action be necessary;
        and

    (f) perform such other legal services as may be required in
        the interest of creditors.

The Committee discloses that the firm's attorneys bill:

         Professional                            Hourly Rate
         ------------                            -----------
         Howard L. Adelman, Esq.                   US$440
         Chad H. Gettleman, Esq.                   US$440
         Henry B. Merens, Esq.                     US$440
         Brad A. Berish, Esq.                      US$415
         Mark A. Carter, Esq.                      US$415
         Adam P. Silverman, Esq.                   US$385
         Nathan Q. Rugg, Esq.                      US$340
         Steven B. Chaiken, Esq.                   US$250

Mr. Gettleman, a shareholder of Adelman & Gettleman, assures the
Court that his firm does not represent any interest adverse to
the Debtors or their estates.

Mr. Gettleman can be reached at:

         Chad H. Gettleman, Esq.
         Adelman & Gettleman, Ltd.
         53 West Jackson Boulevard, Suite 1050
         Chicago, Illinois 60604-3701
         Tel: (312) 435-1050
         Fax: (312) 435-1059
         http://www.adelmangettlemanlaw.com/

                       About Enesco Group

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

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

Enesco Group and its two affiliates, Enesco International Ltd.
and Gregg Manufacturing, Inc., filed for chapter 11 protection
on Jan. 12, 2007 (Bankr. N.D. Ill. Lead Case No. 07-00565).  
Shaw Gussis Fishman Glantz Wolfson & Tow and Skadden, Arps,
Slate, Meagher & Flom LLP, represent the Debtors.  The Debtors'
financial condition as of Nov. 30, 2006, showed total assets of
US$155,350,698 and total debts of US$107,903,518.


FASCIALE FUTURES: S. Fasciale in Court on ASIC Charges
------------------------------------------------------
On Feb. 27, 2007, Spartaco Fasciale appeared in the Melbourne
Magistrates Court on charges brought by the Australian
Securities and Investments Commission.

Mr. Fasciale, the sole director of Fasciale Futures Trading Pty
Ltd, has been charged with 15 counts of obtaining a financial
advantage by deception and 108 counts of breaching director's
duties.

These charges follow an ASIC investigation into Mr. Fasciale's
conduct between March 2004 and May 2006.  During this period,
the ASIC alleges that nine individuals collectively invested
over AU$1.4 million with Fasciale Futures and that their
principal investments have not been repaid as of Feb. 28, 2007.

The matter will return to the Melbourne Magistrates Court on
May 22, 2007, for a committal mention hearing.

The Commonwealth Director of Public Prosecutions is prosecuting
the matter.

                       ASIC's Proceedings

On May 10, 2006, the ASIC commenced urgent ex-parte proceedings
after concerns raised by individuals that returns due from their
investments with Fasciale Futures and Spartaco Fasciale have not
been paid, and that Mr. Fasciale was a flight risk.  The ASIC
also obtained interim orders restraining Fasciale Futures from
dealing with its assets and prohibiting Mr. Fasciale from
leaving Australia.

On May 24, 2006, the ASIC obtained final orders by consent in
the Federal Court of Australia to wind up Fasciale Futures on
the grounds of insolvency.  The Court also restrained
Mr. Fasciale from dealing with or disposing of his assets until
further orders and from leaving Australia until August 2007.  
Mr. Fasciale consented to these orders being made.

On Feb. 19, 2007, the Court by consent discharged the
restraining order relating to Mr. Fasciale's assets.

                     About Fasciale Futures

The Troubled Company Reporter - Asia Pacific reported on May 26,
2006, that at the Australian Securities and Investments
Commission's request, the Federal Court in Melbourne entered an
order to wind up Fasciale Futures Trading Pty Ltd on grounds of
insolvency.

The Court appointed Michael Scales and Guy Alexander Edwards, of
PKF Chartered Accountants, as official liquidators for the
Company.


FOOD-SHARE AUSTRALIA: Liquidator to Present Wind-Up Report
----------------------------------------------------------
John Vouris, as liquidator of Food-Share Australia Limited, will
present the company's wind-up report at the final meeting to be
held on March 28, 2007, at 10:15 a.m.

Mr. Vouris can be reached at:

         John Vouris
         Lawler Partners
         Level 7, 1 Margaret Street
         Sydney, New South Wales 2001
         Australia
         Telephone:(02) 8346 6000

                   About Food-Share Australia

Food-Share Australia -- http://www.foodshare.com.au-- is a  
unique, non-profit, self-help community development program that
provides Australians who are living on the poverty line, with
the opportunity to purchase good quality, wholesome food at a
low cost, enabling them to stretch their food dollars.

Located in New South Wales, Australia, Food-Share is a hand-up
program, not a hand-out program.  No donated goods are used.  
Food-Share directly purchases fresh, frozen and dry produce from
growers, wholesalers and manufacturers.  

Once a month, participants pay US$15.00 and undertake 2 hours of
voluntary community service.  In return they receive a
nutritionally balanced box of food worth around US$35.00.


HANDS OZ: Members and Creditors to Meet on March 30
---------------------------------------------------
The members and creditors of Hands Oz Therapeutic Bodywork Pty
Limited will hold a final meeting on March 30, 2007, at
11:00 a.m., to receive the liquidator's report regarding the
company's wind-up proceedings and property disposal.

The company's liquidator can be reached at:

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

                         About Hands Oz

Hands Oz Therapeutic Bodywork Pty Ltd is a distributor of
physical fitness facilities.  The company is located in New
South Wales, Australia.


LAFAYETTE MINING: Rapu-Rapu Plant Resumes Production
----------------------------------------------------
The Pollution Adjudication Board has issued a final lifting
order, authorizing Rapu Rapu Processing, Inc., to immediately
resume production of copper and zinc concentrates from its base
metals plant on the island of Rapu Rapu in the Republic of the
Philippines, Lafayette Mining Limited said in a statement.

The FLO represented the last substantive condition precedent for
the completion of the US$15 million convertible note issue
approved by Lafayette shareholders in 2006.  The principal
investor in the notes, South East Asian Strategic Assets Fund,
has accordingly confirmed that Financial Close has been
achieved.

Issue of the notes and receipt of the subscription moneys was
completed last week.

The proceeds of the note issue are available to provide working
capital for the ramp up of the base metals plant.  An amount of
US$3 million will be set aside to fund an accelerated
exploration program with initial focus on the western end of the
existing Ungay open cut deposit to delineate possible extensions
in the ore body at depth and along strike.

           Multi Option Facility and Concentrate Sales

In the meantime, funding for the restoration project has been
sourced from the Multi Option Facility established by Lafayette
late last year with the project bank group and the proceeds
of the stockpile financing facility provided by LG International
for the concentrate produced immediately before Supertyphoon
Reming caused a suspension of operations at the end of
November 2006.

On Feb. 2, 2007, US$1.145 million was received in respect of
stockpiled copper concentrate and a further US$900,000 was
expected to be received for additional copper and stockpiled and
bagged zinc concentrate.

                         Options Issued

The terms of the Multi Option Facility and the funding provided
for the settlement of the December 2006 base metal forward sale
contracts required Lafayette to issue unlisted options to the
relevant banks to purchase Lafayette ordinary shares at a 20%
premium to the average share price over a period prior to the
date on which the entitlement vested -- Jan. 31, 2007, if the
FLO had not been issued by that date.

No other establishment or participation fees are payable to the
banks by Lafayette for these facilities, the company notes.

In full satisfaction of that requirement, Lafayette issued
91,164,190 options on Feb. 7, 2007, with an exercise price of
10.6 cps.  Each bank received four options for each U.S. dollar
amount of the relevant facility.

                     About Lafayette Mining

Headquartered in Melbourne, Australia, Lafayette Mining Limited
-- http://www.lafayettemining.com/-- through its subsidiary  
companies and Philippine partners, holds an interest in the
Rapu-Rapu polymetallic project in the Philippines.  Rapu Rapu
Island is approximately 350 kilometers south of Manila.  During
the fiscal year ended June 30, 2006, the Company was engaged in
the development of polymetallic mineral prospects on Rapu Rapu
Island and the production of precious metals and base metals.  
The Rapu-Rapu mineral resource supports an eight-year mine life
capable of producing approximately 10,000 tons of copper in
concentrates, 14,000 tons of zinc in concentrates, 50,000 ounces
of gold and 600,000 ounces of silver annually.  The project was
suspended by the national government's Department of Environment
and Natural Resources after two incidents in 2005 that resulted
in discharges of contaminated liquid.

                       Going Concern Doubt

After reviewing the company's half-year (ended June 30, 2006)
accounts, HLB Mann Judd, the company's independent auditors,
raised significant uncertainty on the company's going concern
"unless its license to operate the Rapu Rapu polymetallic
project on a commercial basis are fully restored in the near
future, and unless ongoing funding initiatives are successful."

The auditors pointed out that the balance sheet of the group as
of June 30, 2006, disclosed a net working capital deficiency of
AU$89,748,451 and a deficiency in net assets of AU$172,202,840.  
The working capital deficiency takes into account a current
liability of AU$88,547,226 being the current portion of
unrealised losses on base and precious metals forward sales
contracts.


MERIDIAN FOREX: Members Resolve to Close Business
-------------------------------------------------
On Feb. 15, 2007, the members of Meridian Forex Pty Limited met
at a general meeting and resolved to wind up the company's
operations.

Accordingly, Stephen Gower Baker was appointed as liquidator.

The company's Liquidator can be reached at:

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

                      About Meridian Forex

Meridian Forex Pty Limited is involved in loan brokerage.  The
company is located in New South Wales, Australia.


MICHAEL CHARLES: Names de Vries and Tayeh as Liquidators
--------------------------------------------------------
At a general meeting held on Feb. 8, 2007, the members of
Michael Charles Jewellers Pty Limited resolved to wind up the
company's operations.

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

The Joint and Several Liquidators can be reached at:

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

                     About Michael Charles

Michael Charles Jewellers Pty Ltd operates jewelry stores.  The
company is located in New South Wales, Australia.


NORSKE SKOGINDUSTRIER: To De-Merge Non-Core Real Properties
-----------------------------------------------------------
Norske Skogindustrier ASA has initiated a process for de-merging
most of its real property unrelated to paper production.

Since the resulting property company will be a wholly owned
subsidiary of Norske Skogindustrier ASA, the consolidated
balance sheet will not be affected by this transaction.

The most important properties include Klosteroya in Skien, the
head office with surrounding land in Baerum outside Oslo, and a
farming and residential area in Trondheim.  

This proposal will be considered by the board of directors at
its meeting on March 1, and is subject to final approval by the
annual general meeting on April 12.

                      About Norske Skog

Headquartered in Lysaker, Norway, Norske Skogindustrier ASA --
http://www.norskeskog.com/-- manufactures paper and pulp.  It  
produces long and short fiber sulphate pulp, newsprint, bleached
Kraft paper and others.  The Company owns and operates paper
mills in Europe, Asia, Australia, Africa and North and South
America.  Norske has posted three consecutive annual net losses
of EUR116.3 million in 2004, EUR315.4 million in 2003, and
EUR849 million in 2002.  It has paper mills in Chile and Brazil.

                        *     *     *

As of Feb. 14, Norske Skog carries these ratings:

Moody's:

   -- Long-Term Corporate Family: Ba1
   -- Senior Unsecured Debt: Ba1
   -- Outlook: Stable

Standard & Poor's:

   -- Long-Term Foreign Issuer Credit: BB+
   -- Long-Term Local Issuer Credit: BB+
   -- Short-Term Foreign Issuer Credit: B
   -- Short-Term Local Issuer Credit: B
   -- Outlook: Stable


NORSKE SKOGINDUSTRIER: To Invest NOK330 Million Into Skogn Unit
---------------------------------------------------------------
Norske Skogindustrier ASA is to invest NOK330 million at its
Norske Skog Skogn mill in mid-Norway in order to boost its
competitiveness and further improve the quality of the paper it
produces.

The project will cut annual electricity consumption at the mill
by 250 GWh or 17%.  State-owned company Enova is contributing
NOK50 million to the work.

"Energy saving measures are one of our top priorities,"
Christian Rynning-Tonnesen, chief executive of Norske Skog,
said.  "I'm very pleased that the government, through Enova, is
helping to make this project profitable.  The changes being made
are optimal because they not only reduce energy consumption and
costs at Norske Skog Skogn but also improve paper quality."

The project will kick off this year, and is due to be completed
by the end of 2009.  Norske Skog Skogn's production is currently
based on paper pulp from wood and recovered paper.  Once the
work has been done, the proportion of wood will be slightly
reduced and replaced by cheaper fillers and increased use of
recovered paper.  That will enhance the mill's competitiveness
while meeting customer requirements for a larger proportion of
recycled fiber in their newsprint.

                        About Norske Skog

Headquartered in Lysaker, Norway, Norske Skogindustrier ASA --
http://www.norskeskog.com/-- manufactures paper and pulp.  It  
produces long and short fiber sulphate pulp, newsprint, bleached
Kraft paper and others.  The Company owns and operates paper
mills in Europe, Asia, Australia, Africa and North and South
America.  Norske has posted three consecutive annual net losses
of EUR116.3 million in 2004, EUR315.4 million in 2003, and
EUR849 million in 2002.

                        *     *     *

As of Feb. 14, Norske Skog carries these ratings:

Moody's:

   -- Long-Term Corporate Family: Ba1
   -- Senior Unsecured Debt: Ba1
   -- Outlook: Stable

Standard & Poor's:

   -- Long-Term Foreign Issuer Credit: BB+
   -- Long-Term Local Issuer Credit: BB+
   -- Short-Term Foreign Issuer Credit: B
   -- Short-Term Local Issuer Credit: B
   -- Outlook: Stable


NORSKE SKOGINDUSTRIER: Posts NOK3-Billion Net Loss for 2006
-----------------------------------------------------------
Norske Skogindustrier ASA released its financial results for the
full year and fourth quarter ended Dec. 31, 2006.

Norske Skog registered NOK3.02 billion in net losses on NOK28.83
billion in revenues for the full year 2006, compared with NOK848
million in net losses on NOK25.73 billion in revenues for 2005.

Norske Skog posted NOK209 million in net profit on NOK7.72
billion in revenues for the fourth quarter 2006, compared with
NOK1 billion in net losses on NOK7.11 billion in revenues for
the same period in 2005.

As of Dec. 31, 2006, Norske Skog had NOK45.23 billion in total
assets, NOK26.28 billion in total liabilities and NOK18.55
billion in shareholders' equity.

"Major changes that will have long-term effects for Norske Skog
characterized 2006," Christian Rynning-Tonnesen, chief
executive, said.

"The company acquired a new corporate management and a changed
organizational structure, an extensive turnaround was launched,
we closed five paper machines and resolved to transfer one of
these to Brazil.  The turnaround is intended to improve profits
by NOK3 billion by the end of 2008. With the commitment now
being made by the whole organization, I am very optimistic about
reaching our target."

                   Earnings Improvement Plan

The plan aims to achieve an increase of NOK3 billion in gross
operating earnings for the Norske Skog group by the end of 2008,
compared with the 2005 level and 2005 market and cost
conditions.

Roughly speaking, the plan comprises these elements:

   -- cost reductions based on restructuring the mill portfolio,
      with effects from the closure of Norske Skog Union largely
      realized in 2006.  The remainder will primarily come in
      2007;

   -- de-manning by 1,000 jobs in addition to more than 600
      employees who have left as a result of implemented
      closures.  Reductions at head office and regional offices
      have largely been completed, while the process is under
      way in the various business units.  It is due for
      completion during 2008; and

   -- measures to improve productivity and cost reductions in
      procurement, energy optimization, sales and logistics.
      Measures were originally identified in more than 40
      areas, but a number of other improvement proposals have
      been made in the subsequent process which involves the
      business units. To the extent that improvement measures
      require investment, this will fall within the framework of
      normal capital spending by the group.

A team of productivity experts has carried out a design study at
Norske Skog Jeonju.  A pilot has since been carried out at
Norske Skog Golbey, with good result.  The program, Norske Skog
Production Systems, will later be rolled out at the other mills.

The profit improvement program is progressing as planned.  Gross
operating earnings for 2006 were positively affected by NOK400
million compared with 2005 as a result of initiatives already
implemented.  Detailed plans exist at each business unit for
implementing the program, and these plans are incorporated in
the group's system for performance measurement.

Performance-based remuneration is practiced to a considerable
extent in Norske Skog, and takes the form of bonus payments if
specified targets are met.  In connection with the plan to
improve earnings, a special bonus program will be established
for all group employees.

This program will be based on the overall improvement in the
group's earnings.

                      About Norske Skog

Headquartered in Lysaker, Norway, Norske Skogindustrier ASA --
http://www.norskeskog.com/-- manufactures paper and pulp.  It  
produces long and short fiber sulphate pulp, newsprint, bleached
Kraft paper and others.  The Company owns and operates paper
mills in Europe, Asia, Australia, Africa and North and South
America.  Norske has posted three consecutive annual net losses
of EUR116.3 million in 2004, EUR315.4 million in 2003, and
EUR849 million in 2002.  It has paper mills in Chile and Brazil.

                        *     *     *

As of Feb. 14, Norske Skog carries these ratings:

Moody's:

   -- Long-Term Corporate Family: Ba1
   -- Senior Unsecured Debt: Ba1
   -- Outlook: Stable

Standard & Poor's:

   -- Long-Term Foreign Issuer Credit: BB+
   -- Long-Term Local Issuer Credit: BB+
   -- Short-Term Foreign Issuer Credit: B
   -- Short-Term Local Issuer Credit: B
   -- Outlook: Stable


RHSS LIMITED: Members to Meet on March 27
-----------------------------------------
The members of Rhss Limited will meet on March 27, 2007, at
10:00 a.m., to hear the liquidator's report regarding the
company's wind-up proceedings and property disposal.

In a report by the Troubled Company Reporter - Asia Pacific, the
company went into liquidation on Nov. 28, 2006.

The company's liquidators can be reached at:

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

                       About Rhss Limited

Rhss Limited -- trading as St Vincent's Hospital & Health
Service -- operates general medical and surgical hospitals.  The
company is located in Queensland, Australia.


SUBIACO HERBS: Members and Creditors to Meet on March 27
--------------------------------------------------------
A joint meeting of the members and creditors of Subiaco Herbs
Pty Limited will be held on March 27, 2007, at 10:00 a.m.

At the meeting, the members and creditors will be asked to:

   -- consider the liquidator's accounts of his acts and
      dealings during the wind-up proceedings; and

   -- discuss other matters that are brought forward before the
      meeting.

The liquidator can be reached at:

         Martin John Green
         GHK Green Krejci
         Level 9, 179 Elizabeth Street
         Sydney, New South Wales 2000
         Australia

                      About Subiaco Herbs

Subiaco Herbs Pty Limited is a distributor of field crops,
except cash grains.  The company is located in New South Wales,
Australia.


TRANSAX INTERNATIONAL: Commits to Repay US$1.6 Mln. Investment
--------------------------------------------------------------
Transax International Limited has entered into a Standstill
Agreement with its Series A Preferred Shareholder, Cornell
Capital Partners LP.  The company also signed a similar
Standstill Agreement with convertible note holder Scott and
Heather Grimes.

Under the terms of the agreements, and subject to the conditions
specified therein, the Preferred Stockholder and Convertible
Note Holder have agreed that they will not convert or sell any
of their holdings during the standstill period, which extends
until April 30, 2007.

As a result of the agreement, the company has committed to a
full repayment of the $1.6 million equity investment along with
the redemption premium to Cornell as well as a similar
arrangement for the $225,000 convertible debenture to Scott and
Heather Grimes.  

A full-text copy of Cornell's Standstill Agreement is available
for free at http://ResearchArchives.com/t/s?1a23

A full-text copy of the Grimeses' Standstill Agreement is
available for free at http://ResearchArchives.com/t/s?1a24

Stephen Walters, president and CEO of Transax, commented, "'Last
month we announced our intent of selling our Brazilian
operations and satisfying all outstanding liabilities. To this
extent, we have signed these standstill agreements with the
anticipation of closing the proposed transaction in the coming
weeks. These agreements are the first step to ultimately
reducing our liabilities, as well as alleviating concerns within
the investment community regarding our obligations."

                About Transax International Limited

Based in Miami, Florida, Transax International Limited (OTCBB:
TNSX) -- http://www.transax.com/-- provides health information   
management systems to hospitals, physicians and health insurance
companies.  The company's subsidiaries, TDS Telecommunication
Data Systems LTDA provides services in Brazil; Transax Australia
Pty Ltd. operates in Australia; and Medlink Technologies Inc.
initiates research and development.

At Sept. 30, 2006, the company's balance sheet showed
US$2,003,214 in total assets, US$6,179,904 in total liabilities,
resulting in a $4,176,690 in total stockholders' deficit.


WENHAM BUILDERS: Supreme Court Issues Wind-Up Order
---------------------------------------------------
The Supreme Court of New South Wales issued an order to wind up
the operations of Wenham Builders Pty Limited on Feb. 12, 2007.

In this regard, Sule Arnautovic was appointed as liquidator.

The company's Liquidator can be reached at:

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

                      About Wenham Builders

Wenham Builders Pty Limited is a general contractor of
residential buildings, other than single-family.  The company is
located in New South Wales, Australia.


ZINIFEX LTD: EU Commission Approves Joint Venture Proposal
----------------------------------------------------------
On Feb. 28, 2007, the European Commission has formally approved
the proposed merger of Zinifex and Umicore's respective smelting
and alloying assets.

On Dec. 12, 2007, Zinifex and Umicore announced that they had
signed a Memorandum of Understanding to create the world's pre-
eminent zinc smelting and alloying company with 1.2 million
tones of production and operations on four continents.

As part of the regulatory approval process the two companies had
formally filed their notification to the European Commission's
Directorate-General for Competition of the proposed merger on
Jan. 22, 2007.

According to Zinifex's Chief Executive Officer Greig Gailey,
both parties are continuing to work together to complete final
due diligence and structuring discussion with a view to signing
the binding Business Combination and Shareholders' Agreement, by
the end of the first quarter of 2007.

                         About Zinifex

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

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

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

                          *     *     *

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

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


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

BOE TECHNOLOGY:  Will Sell Remaining TPV Tech Shares
----------------------------------------------------
BOE Technology Group plans to sell all of its remaining stocks
in TPV Technology at an appropriate time, according to
DigiTimes, citing a report from Dow Jones.

In a filing with the Hong Kong Stock Exchange, BOE said that it
sold 10.29% of TPV's stocks on Jan. 18, 2007.  Boe Tech,
however, said that it will not sell its remaining 11.56% within
90 days.

Reuters placed the shares at around 224,360,191.  

                          *     *     *

Based in Beijing, BOE Technology Group Co., Ltd. (BOE) is a
manufacturer of display devices and digital products. Based in
Beijing, the People's Republic of China, the Company operates
seven key divisions: Thin-Film Transistor-Liquid Crystal Display
(TFT-LCD); Monitor & Panel Television (TV), offering cathode ray
tube (CRT) monitors, TFT-LCD monitors, TFT-LCD TVs and plasma
display panel (PDP) TVs; Mobile Display System, providing super
twisted nematic-LCD (STN-LCD) and organic light-emitting display
(OLED); Special Application Display, supplying vacuum
fluorescent display (VFD) and light-emitting display (LED); CRT,
producing CRTs together with Toshiba and Panasonic; Precision
Electronic Component & Material, and Digital Display Product &
Display Application System.

Xinhua Far East China Ratings gave the company a CC issuer
credit rating on October 24, 2006.


BOE TECHNOLOGY: To Merge with SVA Group
---------------------------------------
BOE Technology and Shanghai-based SVA Group have agreed to merge
their operations, Taipei Times reports.

According to the Times, the companies said they expect to sign
an agreement before June 30, 2007.  

The report explains that the companies, which mostly sell panels
for computer monitors 17 inches diagonally in size, have
suffered losses as the price of these products fell.  The
company formed through the merger will be based in Shanghai.  
However, other details were not disclosed.

The Times opines that both may be able to increase profitability
two years after merging their LCD operations.  

Based in Beijing, BOE Technology Group Co., Ltd. (BOE) is a
manufacturer of display devices and digital products. Based in
Beijing, the People's Republic of China, the Company operates
seven key divisions: Thin-Film Transistor-Liquid Crystal Display
(TFT-LCD); Monitor & Panel Television (TV), offering cathode ray
tube (CRT) monitors, TFT-LCD monitors, TFT-LCD TVs and plasma
display panel (PDP) TVs; Mobile Display System, providing super
twisted nematic-LCD (STN-LCD) and organic light-emitting display
(OLED); Special Application Display, supplying vacuum
fluorescent display (VFD) and light-emitting display (LED); CRT,
producing CRTs together with Toshiba and Panasonic; Precision
Electronic Component & Material, and Digital Display Product &
Display Application System.

Xinhua Far East China Ratings gave the company a CC issuer
credit rating on October 24, 2006.


BOE TECHNOLOGY: Expects Another Loss for 2006
---------------------------------------------
BOE Technology has said that it expected to post a second
consecutive annual net loss for 2006, according to Taipei Times.

The Times recounts that the company posted a loss of CNY108.9
million yuan in the third quarter of last year, compared with a
loss of CNY379.1 million a year earlier.

Based in Beijing, BOE Technology Group Co., Ltd. (BOE) is a
manufacturer of display devices and digital products. Based in
Beijing, the People's Republic of China, the Company operates
seven key divisions: Thin-Film Transistor-Liquid Crystal Display
(TFT-LCD); Monitor & Panel Television (TV), offering cathode ray
tube (CRT) monitors, TFT-LCD monitors, TFT-LCD TVs and plasma
display panel (PDP) TVs; Mobile Display System, providing super
twisted nematic-LCD (STN-LCD) and organic light-emitting display
(OLED); Special Application Display, supplying vacuum
fluorescent display (VFD) and light-emitting display (LED); CRT,
producing CRTs together with Toshiba and Panasonic; Precision
Electronic Component & Material, and Digital Display Product &
Display Application System.

Xinhua Far East China Ratings gave the company a CC issuer
credit rating on October 24, 2006.


CHEERGOLD INVESTMENT: Shareholders to Hear Wind-Up Report
---------------------------------------------------------
The shareholders of Cheergold Investment Limited will hold a
final general meeting on March 30, 2007, at 11:00 a.m., at 12th
Floor, New World Tower II in 18 Queen's Road Central, Hong Kong.

At the meeting, the shareholders will hear the liquidators'
report regarding the company's wind-up proceedings and property
disposal.


CHEUNG MAN: Members' Final Meeting Slated for March 28
------------------------------------------------------
Cheung Man Sik Limited, which is in members' voluntary
liquidation, will hold a final meeting for its members on
March 28, 2007, at 10:00 a.m., at 9/F, Asia Standard Tower in
59-65 Queen's Road Central, Hong Kong.


GALLAS PUBLISHING: Liabilities Prompts Wind-Up
----------------------------------------------
At an extraordinary general meeting held on Feb. 13, 2007, the
members of Gallas Publishing Group Limited decided to wind up
the company's operations, due to its inability to pay its debts.

Accordingly, James Wardell and Jackson Ip were appointed as
joint and several liquidators.

The Joint and Several Liquidators can be reached at:

         James Wardell
         Jackson Ip
         Room 1601-1602, 16/F.
         One Hysan Avenue, Causeway Bay
         Hong Kong


HEILONGJIANG SUNFIELD: Expects to Profit Due to Subsidy
-------------------------------------------------------
Heilongjiang SunField Science & Tech Co. expects its full year
2006 net profit to be in the range of CNY0.5 million to CNY1
million after it received CNY3.5 million fiscal subsidy from the
Finance Bureau of Mudanjiang, Reuters Key Development says.

Headquartered in Mudanjiang, Heilongjiang Province, China,
Heilongjiang SunField Science & Technology Co., Ltd., a Chinese
company incorporated in 1993, is principally engaged in the
production and sale of petrochemical products. Gasoline, diesel
oil, ethyne are the Company's main products. The Company
distributes all of its products in the domestic market.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$49.18 million, on total assets of US$29.96 million.


INNER MONGOLIA: Mitsui & Co., Ltd. Buys Shares in Unit
-------------------------------------------------------
Mitsui & Co., Ltd. will purchase 600 million shares in an Inner
Mongolia-based electric power metallurgy company, a 54%-owned
subsidiary of Inner Mongolia Eerduosi Cashmere Products Co.,
Ltd, at a price of no less than CNY1.3 per share, Reuters
reports.

In addition, Reuters relates that Mitsui & Co. will acquire 300
million shares, accounting for a 10% stake of the Inner
Mongolia-based electric power metallurgy company from a cashmere
investment company.  

After the transaction, Inner Mongolia Eerduosi and Mitsui & Co
will hold a 45% stake and 25% stake of the Inner Mongolia-based
electric company respectively.  The cashmere investment company,
meanwhile, will divest all of its shares, Reuters says.

                          *     *     *

Based in Dongsheng, Inner Mongolia Meng Autonomous Region, the
People's Republic of China, Inner Mongolia Eerduosi Cashmere
Products Co., Ltd. is principally engaged in the manufacture and
sale of cashmere products and de-haired cashmere, cashmere yarn,
cashmere sweaters, cashmere coats, silk/cashmere blended
products, cashmere fashions, Nano materials, electrically
conductive fibers, healthcare fibers and other products.

Xinhua Far East China Ratings downgraded the company's issuer
credit rating to BB+ from BBB- on December 21, 2006.  Its rating
outlook is changed to stable from negative.


JINAN IRON: Merges with Laiwu Iron
----------------------------------
Jinan Iron and Steel Group will merge with Laiwu Iron & Steel
Group Co to form a new company, Shandong Iron and Steel Group,
Bloomberg reports.

The new company will then gradually move its production
facilities to Rizhao port, Bloomberg says, quoting the Shanghai
Securities News, citing undidentified officials at the
provincial government of Shandong.

Jinan Iron announced the merger plan on Aug. 1, 2006, Bloomberg
recounts.

                          *     *     *

Headquartered in Jinan, Shandong Province, China, Jinan Iron &
Steel Co., Ltd is principally engaged in the manufacture and
sale of iron and steel products.  The company mainly offers
medium to heavy steel plates and deformed steel bars.

Xinhua Far East China Ratings gave the company a BB+ issuer
credit rating on January 17, 2005.


LANE CRAWFORD: Creditors Must File Claims by March 30
-----------------------------------------------------
The creditors of Lane Crawford (Beijing) Limited, Lane Crawford
(Guangzhou) Limited, and Lane Crawford (Shanghai) Limited are
required to prove their debts by March 30, 2007.

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

The joint liquidators can be reached at:

         Katherine Fung Wai Yee
         Chan Man To
         23rd Floor, Wheelock House
         20 Pedder Street, Central
         Hong Kong


LIVINGSTON COMPANY: Taps Clara Fung Pui Ling as Liquidator
----------------------------------------------------------
On Feb. 12, 2007, a resolution to wind up the operations of
Livingston Company Limited was passed by the company's
shareholders.

In this regard, Clara Fung Pui Ling was appointed as
Livingston's liquidator.

The company's liquidator can be reached at:

         Clara Fung Pui Ling
         11 Magazine Gap Road
         Apartment PHB, The Harbourview
         Hong Kong


NANJING IRON: Restructures Sales and Management Division
---------------------------------------------------------
Nanjing Iron & Steel Co., Ltd will restructure its sales and
management system, Reuters reports.

According to Reuters, the restructuring involves the closing of
four of its steel materials sales companies in Nanjing, Xuzhou,
and Zhenjiang.  The company will then set up sales companies in
Beijing, Guangzhou, Chongqing and Shanghai with an aggregate
registered capital of approximately CNY30 million.

                          *     *     *

Nanjing, China-based Nanjing Iron & Steel Co.,Ltd. --
http://www.600282.net/-- is primarily engaged in the smelting  
and processing of ferrous metal and the production and sale of
steel products, coke and coke by-products.  Its major iron and
steel products consist of steel plates, steel bars, steel bands,
billets and pig iron.

Xinhua Far East China Ratings gave the company a BB+ issuer
credit rating on January 17, 2005.


NANJING IRON: China Steel Seeks Strategic Alliance
---------------------------------------------------
China Steel Corporation plans to form a strategic alliance with
Nanjing Iron & Steel Co., Ltd after both parties signed a
cooperation agreement, Reuters reports, citing Taiwan Economic
News.

According to Reuters, Nanjing Iron earlier signed a cooperation
agreement with China Steel in establishing enterprise resources
planning scheme as well as to learn manufacturing technologies
already developed by CSC.

                          *     *     *

Nanjing, China-based Nanjing Iron & Steel Co.,Ltd. --
http://www.600282.net/-- is primarily engaged in the smelting  
and processing of ferrous metal and the production and sale of
steel products, coke and coke by-products.  Its major iron and
steel products consist of steel plates, steel bars, steel bands,
billets and pig iron.

Xinhua Far East China Ratings gave the company a BB+ issuer
credit rating on January 17, 2005.


PACICO INTERNATIONAL: Placed Under Voluntary Wind-Up
----------------------------------------------------
The shareholders of Pacico International Limited passed a
special resolution to wind up the company's operations on Feb.
14, 2007.

In this regard, Lai Kar Yan, Derek and Darach E. Haughey were
appointed as joint and several liquidators.

The Joint and Several Liquidators can be reached at:

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


ROBHEATH INVESTMENTS: Members to Hear Liquidator's Report
---------------------------------------------------------
The members of Robheath Investments Limited will hold a final
general meeting on March 26, 2007, at 10:00 a.m., at 1408 World-
Wide House in 19 Des Voeux Road Central, Hong Kong.

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


SHENZHEN CHINA BICYCLE: Shareholders OK Share Merger Reform
-----------------------------------------------------------
Shenzhen China Bicycles Co., (Hlds) Ltd.'s shareholders have
approved the company's share merger reform proposal, Reuters Key
Development says.

Under the terms of the proposal, the company will use paid-in
capital to issue 39,519,800 new shares to holders of tradable
shares.  This compensation plan is equivalent to the ratio of
every 10 tradable shares to be given 3.173 shares from holders
of non-tradable shares, Reuters notes.

Headquartered in Shenzhen, Guangdong Province, China, Shenzhen
China Bicycle Company (Holdings) Limited --
http://www.cbc.com.cn/-- is principally engaged in the  
manufacture and sale of bicycles, electric bicycles and related
components.  Its product brand is Emmelle.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$224.64 million, on total assets of US$39.13 million.


SHENZHEN CHINA BICYCLE: Expects 2006 Net Loss of CNY5 Million
-------------------------------------------------------------
Shenzhen China Bicycles Co., (Hlds) Ltd. expects an approximate
net loss of CNY5 million for fiscal 2006, as compared to the
previous year's net profit of CNY3,838,700, Reuters Key
Development says.

Headquartered in Shenzhen, Guangdong Province, China, Shenzhen
China Bicycle Company (Holdings) Limited --
http://www.cbc.com.cn/-- is principally engaged in the  
manufacture and sale of bicycles, electric bicycles and related
components.  Its product brand is Emmelle.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$224.64 million, on total assets of US$39.13 million.


SHENZHEN CHINA BICYCLE: Hires Wong Lam As New Auditors
------------------------------------------------------
Shenzhen China Bicycles Co., (Hlds) Ltd. hires Wong Lam Leung &
Kwok Investment Consulting Co., Ltd. as the company's overseas
auditing firm for fiscal 2006.

Headquartered in Shenzhen, Guangdong Province, China, Shenzhen
China Bicycle Company (Holdings) Limited --
http://www.cbc.com.cn/-- is principally engaged in the  
manufacture and sale of bicycles, electric bicycles and related
components.  Its product brand is Emmelle.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$224.64 million, on total assets of US$39.13 million.


SHENZHEN DAWNCOM: Implements Share Merger Reform
-------------------------------------------------
Shenzhen Dawncom Business Tech & Service has implemented the
company's share merger reform on Jan. 30, 2007, Reuters Key
Development reports.

According to the terms, the company will use paid-in capital to
issue 39,000,002 shares to all holders of tradable shares, who
will be given 10 shares for every 10 shares held.  This is
equivalent to the compensation plan where holders of tradable
shares are given 5.553 shares for every 10 shares held, Reuters
explains.

Reuters recounts that on Jan. 19, 2007, shareholders approved
the merger reform.  After the issuance, the company's total
outstanding shares would increase to 174,620,264, Reuters says,
noting that the company will adopt the standard locking period
stated by the regulator for its share merger reform.

Shenzhen, China-based Shenzhen Dawncom Business Technology and
Service Co., Ltd. is principally engaged in the sale of computer
network products, computer software, as well as computers and
hardware components.  The company is also engaged in providing
integrated electric automatic products, as well as technical
services and business-service platform (BSP) systems.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$37.30 million, on total assets of US$79.84 million.


SHENZHEN DAWNCOM: Expects a CNY140 Million Loss For 2006
--------------------------------------------------------
Shenzhen Dawncom Business Tech & Service expects an approximate
net loss of CNY140 million for fiscal 2006, Reuters Key
Development reports.

The company reported a net loss of CNY72,414,960.78 for the
fiscal 2005, Reuters recounts.

Shenzhen, China-based Shenzhen Dawncom Business Technology and
Service Co., Ltd. is principally engaged in the sale of computer
network products, computer software, as well as computers and
hardware components.  The company is also engaged in providing
integrated electric automatic products, as well as technical
services and business-service platform (BSP) systems.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$37.30 million, on total assets of US$79.84 million.


SHENZHEN DAWNCOM: Disclosure Delays Lead to CNY300,000 CSRC Fine
----------------------------------------------------------------
Shenzhen Dawncom Business Tech & Service has been fined
CNY300,000 by the China Securities Regulatory Commission because
of the non-timely disclosure of its litigation involvement and
guarantee liabilities, Reuters Key Development reports.

Shenzhen, China-based Shenzhen Dawncom Business Technology and
Service Co., Ltd. is principally engaged in the sale of computer
network products, computer software, as well as computers and
hardware components.  The company is also engaged in providing
integrated electric automatic products, as well as technical
services and business-service platform (BSP) systems.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$37.30 million, on total assets of US$79.84 million.


SHENZHEN SHENXIN: Increases Liabilities in Restatement
------------------------------------------------------
Shenzhen Shenxin Taifeng Group Co., Ltd. has restated its fiscal
2005 net profit by CNY40.84 million, Reuters Key Development
reports, noting that the company recorded the same amount as
liabilities.

The restatements came after a court verdict for a litigation
dispute came out, Reuters notes.

Headquartered in Shenzhen, Guangdong Province, Mainland China,
Shenzhen Shenxin Taifeng Group Co., Ltd. --
http://www.sxtf.com.cn/-- is principally engaged in the  
manufacture, research, development and sale of communication
equipment and software products, industrial processing, real
estate and agricultural businesses.  

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$44.65 million, on total assets of US$95.27 million.


SIBER HEGNER: Creditors Must Prove Debts by March 26
----------------------------------------------------
The creditors of Siber Hegner Luxury Limited are required to
prove their debts by March 26, 2007.

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

The company's liquidator can be reached at:

         Tsang Man Hing
         12th Floor, Grand Building
         Nos. 15-18 Connaught Road, Central
         Hong Kong


SUCCESS INFORMATION: Losses UnionPay Shares in Court Verdict
------------------------------------------------------------
Ningbo Jiangdong Branch of China Merchants Bank has filed a
borrowing dispute lawsuit against Success Information Industry
Group Co. and its subsidiary, Ningbo Success Investment Holding
Ltd, Reuters Key Development relates.

According to Reuters, the Intermediate People's Court of
Ningbo's ruled that 6,634,880 corporate shares of Chinaunionpay
Co., Ltd. held by Success Information will be transferred to a
Shenzhen-based investment company.

Success Information Industry Group Co., Ltd.
-- http://www.000517.com/-- is mainly engaged in the digital  
video broadcasting (DVB), wireless digital telecommunications
and utility metering industries.  Its products are classified
into five major categories: DVB, including digital video
systems, digital satellite receivers, digital cable receivers
and digital terrestrial receivers; digital telecommunications,
including global system for mobile communication (GSM) fixed
wireless terminals, GSM desktop phones and others; utility
metering, including electricity meters and integrated circuit
(IC) card water metering systems; computer, including
motherboards, display cards, universal serial bus products,
moving picture experts group audio layer-3 (MP3) products and
computer network products, and software products, including
wireless broadband application platforms, broadband
broadcasting, copyright management, video dedication and
operation management systems and geographic information system
(GIS) platforms.


The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$18.67 million, on total assets of US$88.67 million.


SUCCESS INFORMATION: Xinhai Investment Repays Debt with Shares
--------------------------------------------------------------
Success Information Industry Group Co. would get a 77.25% stake
in a Guangzhou-based network development company as part of a
debt repayment by Shenzhen Xinhai Investment Holding Co., Ltd.,
Reuters Key Development reports.

The transaction is valued at CNY6,091,085.

Success Information Industry Group Co., Ltd.
-- http://www.000517.com/-- is mainly engaged in the digital  
video broadcasting (DVB), wireless digital telecommunications
and utility metering industries.  Its products are classified
into five major categories: DVB, including digital video
systems, digital satellite receivers, digital cable receivers
and digital terrestrial receivers; digital telecommunications,
including global system for mobile communication (GSM) fixed
wireless terminals, GSM desktop phones and others; utility
metering, including electricity meters and integrated circuit
(IC) card water metering systems; computer, including
motherboards, display cards, universal serial bus products,
moving picture experts group audio layer-3 (MP3) products and
computer network products, and software products, including
wireless broadband application platforms, broadband
broadcasting, copyright management, video dedication and
operation management systems and geographic information system
(GIS) platforms.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$18.67 million, on total assets of US$88.67 million.


SUCCESS INFORMATION: Expects CNY12-M. Profit After Assets Sale
--------------------------------------------------------------
Success Information Industry Group Co. expects a net profit of
approximately CNY12 million for fiscal 2006, as compared to the
previous year's net loss of CNY245,033,529.09, Reuters Key
Development reports.

                          Assets Sale

Reuters had earlier said that in November 2006, the company --
in an effort to reverse its losses -- sold:

   * 705,387 shares in Bank of Communications;

   * 743,600 shares in Silvertie Holding Co., Ltd.;

   * a 15% stake in Ningbo YongChengTong Intelligence Card Co.;
     Ltd.; and

   * 952,800 shares in Ningbo Commercial Bank.

According to Reuters, the asset sale came after the company sold
the industrial properties in Shangbu, Shenzhen as well as
residential buildings in Ningbo, Zhejiang Province, for a total
amount of CNY3,046,000.  

The company plans to sell the construction project in Chenggong
Science and Technology Park located in Ningbo, Reuters notes.

Success Information Industry Group Co., Ltd.
-- http://www.000517.com/-- is mainly engaged in the digital  
video broadcasting (DVB), wireless digital telecommunications
and utility metering industries.  Its products are classified
into five major categories: DVB, including digital video
systems, digital satellite receivers, digital cable receivers
and digital terrestrial receivers; digital telecommunications,
including global system for mobile communication (GSM) fixed
wireless terminals, GSM desktop phones and others; utility
metering, including electricity meters and integrated circuit
(IC) card water metering systems; computer, including
motherboards, display cards, universal serial bus products,
moving picture experts group audio layer-3 (MP3) products and
computer network products, and software products, including
wireless broadband application platforms, broadband
broadcasting, copyright management, video dedication and
operation management systems and geographic information system
(GIS) platforms.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$18.67 million, on total assets of US$88.67 million.


SUCCESS INFORMATION: Hires Nanfang Minhe As New Auditors
--------------------------------------------------------
Success Information Industry Group Co. has engaged Shenzhen
Nanfang Minhe Certified Public Accountants Ltd. as the company's
new auditing firm, replacing Shenzhen Tianjian Xinde Certified
Public Accountants, Reuters Key Development says.

Success Information Industry Group Co., Ltd.
-- http://www.000517.com/-- is mainly engaged in the digital  
video broadcasting (DVB), wireless digital telecommunications
and utility metering industries.  Its products are classified
into five major categories: DVB, including digital video
systems, digital satellite receivers, digital cable receivers
and digital terrestrial receivers; digital telecommunications,
including global system for mobile communication (GSM) fixed
wireless terminals, GSM desktop phones and others; utility
metering, including electricity meters and integrated circuit
(IC) card water metering systems; computer, including
motherboards, display cards, universal serial bus products,
moving picture experts group audio layer-3 (MP3) products and
computer network products, and software products, including
wireless broadband application platforms, broadband
broadcasting, copyright management, video dedication and
operation management systems and geographic information system
(GIS) platforms.

The Troubled Company Reporter - Asia Pacific reported on
February 16, 2007 that the company has a capital deficiency of
US$18.67 million, on total assets of US$88.67 million.


SKYPORT ENTERPRISES: Creditors' Proofs of Debt Due on March 16
--------------------------------------------------------------
Poon Ka Lee, Barry, as liquidator of Skyport Enterprises
Limited, requires the company's creditors to prove their debts
by
March 16, 2007.

The company's Liquidator can be reached at:

         Poon Ka Lee, Barry
         1607 ING Tower
         308 Des Voeux Rd C
         Hong Kong


TRIUMPHANT TONE: Members' Final General Meeting Set for March 27
----------------------------------------------------------------
The members of Triumphant Tone Company Limited will hold a final
general meeting on March 27, 2007, at 10:00 a.m., at Room 4908,
49/F., Office Tower Convention Plaza, 1 Harbour Road in Wanchai,
Hong Kong.

At the meeting, the members will be asked to:

   -- receive the liquidator's report regarding the company's
      wind-up proceedings;

   -- approve and adopt the liquidator's statement of accounts;
      and

   -- retain the company's accounts and documents for a period
of
      three months from the company's dissolution and destroy
      afterwards.

As reported by the Troubled Company Reporter - Asia Pacific, the
company went into liquidation on Sept. 15, 2006.

The liquidator can be reached at:

         Yiu Kwong Man
         Rooms 1501-3, Far East Consortium Building
         121 Des Voeux Road Central
         Hong Kong


XINING SPECIAL: Two Units Apply for Working Capital Loans
---------------------------------------------------------
Two of Xining Special Steel Co Ltd's 51%-owned subsidiaries have
applied for a CNY54 million working capital loan and a CNY85
million working capital loan, Reuters reports.

The two subsidiaries are both mining companies with one based in
Subei.

Xining Special will act as guarantor for the loans, Reuters
says.

                          *     *     *                

Based in Xining, Qinghai Province, Xining Special Steel Co.,
Ltd. is principally engaged in the smelting and processing of
special steel products and offers alloy structural steel, alloy
tool steel, carbon structural steel, bearing steel, spring
steel, carbon tool steel, stainless steel, high-temperature
steel and other steel products.

Xinhua Far East China Ratings gave the company a BB issuer
credit rating on August 25, 2006.


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

AES CORP: Restating Financials & Delays Fourth Quarter Results
--------------------------------------------------------------
The AES Corp. expects to reschedule the release of its fourth
quarter and full year 2006 financial results and its earnings
conference call that was tentatively scheduled for Feb. 28.

The Company would restate its previously reported financial
statements.  Revised dates for the earnings release and
conference call will be announced at a future time.  As the
Company has not finalized its accounting review or year-end
audit, it will likely seek an extension from the SEC of its
filing deadline for its 2006 10-K to March 16.

                       Material Weakness

The Company has identified certain errors in its financial
statements.  Many of these errors were identified as a result of
the Company's continuing remediation of previously identified
material weaknesses.  Other errors were discovered during the
Company's quarterly and year-end accounting reviews.  As a
result of the errors discovered, the Company has decided to
conduct additional reviews and analyses as of year-end, which
are currently ongoing.  The Company believes that all errors,
which have been identified to date, were inadvertent and
unintentional.

Since the accounting review is not complete, no definitive
conclusions can be presented regarding the adjustments that will
be made in the restatement.  However, at this stage of the
Company's review, the net impact of recording these adjustments
is not expected to be material to any prior periods.
Nevertheless, the Company is still required to restate its
financial statements because, if it did not, the cumulative
impact of correcting these adjustments would be recorded in the
fourth quarter and the full year ending Dec. 31, 2006, and would
likely be material.  In addition, the Company does not believe
that any adjustments will affect total cash balances.  However,
as noted, subsequent review and analysis could reveal errors
that are material to prior periods or that affect cash.

In addition, the Company is reviewing its accounting for long
term compensation, which includes restricted stock units and
stock options.  At this stage of the review, management does not
believe that any accounting errors related to long-term
compensation are the result of any fraudulent practice.  The
Company's review relates primarily to the fact that it has
generally been treating the board approval date for its annual
long-term compensation grants as the accounting measurement date
for its share-based compensation.

However, since accounting measurement dates are determined by
finalization of awards or communication to employees of awards,
it is likely that the Company incorrectly calculated its share-
based compensation expense.  The Company is also reviewing the
potential impact on the accounting measurement date of
administrative errors in the granting process, including
administrative delays, errors in data entry and communication,
and other mistakes.  The Company has retained an outside
consulting firm to assist with its review of its accounting for
share-based compensation.  As this review is in process, the
Company is still evaluating whether any adjustment to its share-
based compensation expense may be required and, if there is such
an adjustment, whether the expense will be material to any prior
period.  In addition, subsequent findings could alter the scope
of the review.

The decision to restate prior financial statements was made by
management on Feb. 22 after consultation with AES's Financial
Audit Committee and after discussion with the Company's
independent registered public accounting firm, Deloitte & Touche
LLP.

                            About AES

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 Asian presence in India, China and Sri Lanka.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 14, 2007, Standard & Poor's Ratings Services said that AES
Corp's preliminary agreement to sell its 82% stake in La
Electricidad de Caracas to the Bolivarian Republic of Venezuela
for US$740 million (after 2007 dividends) does not currently
affect the ratings or outlook on the company.  AES carries S&P's
BB- corporate credit rating.

The company carries Fitch's 'B+' Issuer Default Rating.

Moody's affirmed the ratings of The AES Corporation, including
its Ba3 Corporate Family Rating and the B1 rating on its senior
unsecured debt.  Moody's said the rating outlook remains stable.


AMERICAN AXLE: Offers US$300 Million of Senior Unsec. Notes
-----------------------------------------------------------
American Axle & Manufacturing Holdings Inc. and its wholly owned
subsidiary, American Axle & Manufacturing Inc. has offered
US$300 million of 10-year senior unsecured notes due 2017.  The
offering is subject to market and other customary conditions.
The offering is being made pursuant to an effective shelf
registration statement previously filed with the Securities and
Exchange Commission.

Net proceeds from this financing will be used for general
corporate purposes, which includes repaying amounts outstanding
under its revolving credit facility.

The offering is being lead managed by J.P. Morgan Securities
Inc. and Banc of America Securities LLC.

This announcement does not constitute an offer to sell or a
solicitation of an offer to buy any securities.  The notes will
not be sold in any state or jurisdiction in which such an offer,
solicitation or sale would be unlawful.

Copies of the prospectus supplement and accompanying prospectus
related to the offering may be obtained from:

         J.P. Morgan Securities Inc.
         270 Park Avenue, 8th Floor
         New York, NY 10017
         Tel: (800) 245-8812

                  -- or --

         Banc of America Securities LLC
         100 West 33rd Street, 3rd Floor
         New York, NY 10001
         Tel: (800) 294-1322

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


BRITISH AIRWAYS: Hires Porter Novelli for Public Relations Work
---------------------------------------------------------------
British Airways plc has appointed Porter Novelli to support its
North American public relations activities.  In this role,
Porter Novelli will focus on both corporate and consumer
outreach to continue building British Airways' reputation
amongst target audiences throughout North America.

"Porter Novelli has shown an insightful understanding of our
business needs for the North American market," said Robin Hayes,
executive vice president Americas for British Airways.  "We
selected Porter Novelli for its expertise and reputation in
corporate public relations and consumer marketing and we look
forward to working with them on a variety of programs as part of
a larger global effort to increase customer loyalty and further
enhance our brand identity in the region."

"The opportunity to apply our insights about the British Airways
customer and her influencers is among the main reasons we are
thrilled to be working with this iconic global brand," said
Julie Winskie, partner and chief client officer of Porter
Novelli.  "Our 360 degree approach to assure an accurate view of
all possible points of contact for a client -- from
environmental to policy to emerging new consumer forces -- puts
the British Airways opportunity right in the Porter Novelli
sweet spot."

Porter Novelli also represents British Airways for consumer
public relations work in their headquarters UK market as well as
in Trinidad and Tobago.

                        About the Company

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

                          *     *     *

As reported on Feb. 8, Moody's Investors Service changed the
outlook on the Ba1 corporate family and Ba2 senior unsecured
debt ratings of British Airways Plc and its guaranteed
subsidiaries to positive from negative.


ELCOM INT'L: Appoints David Elliot as VP Finance & Secretary
------------------------------------------------------------
Elcom International Inc. appointed David Elliott as its Vice
President of Finance and Secretary, effective immediately.

Mr. Elliott, 32, will serve as the principal financial and
accounting officer of the company.  He joined the company on
Nov. 14, 2006.  He has been responsible for introducing a new
financial system in the company's UK operations and improving
financial controls and reporting.

The company said that Mr. Elliott has been employed in a number
of financial roles with Volkswagen Group.  He is most recently
responsible for Volkswagen Group's Development Ventures Fund.

                          About Elcom

Elcom International, Inc. (OTC Bulletin Board: ELCO and AIM: ELC
and ELCS) -- http://www.elcominternational.com/-- operates  
elcom, inc, an international B2B Commerce Service Provider
offering affordable solutions for buyers, sellers and commerce
communities to automate many or all of their purchasing
processes and conduct business online.  PECOS, Elcom's remotely
hosted flagship solution, enables enterprises of all sizes to
achieve the many benefits of B2B eCommerce without the burden of
infrastructure investment and ongoing content and system
management.  The company has operations in India, Brazil and the
United Kingdom.

                       Going Concern Doubt

Vitale, Caturano & Company Ltd. expressed substantial doubt
about Elcom International's ability to continue as a going
concern after it audited the company's financial statements for
the year ended Dec. 31, 2005.  The auditing firm pointed to the
company's net losses every year since 1998.  It has an
accumulated deficit of US$126,252,000 as of Sept. 30, 2006.


INDIA CEMENTS: Signs Scheme of Amalgamation with Visaka Cement
--------------------------------------------------------------
India Cements Ltd's board of directors resolved to merge its
associate company, Visaka Cement Industry Ltd, with itself, the
company reveals in a filing with the Bombay Stock Exchange.

The board came to the decision at its meeting held on Feb. 28,
2007.  In that regard, the board approved a scheme of
amalgamation under Sec. 391 to Sec. 394 of the Companies Act,
1956, to take effect from July 1, 2006, subject to the sanction
of appropriate authorities.

Pursuant to the scheme, one equity share of INR10 per share in
India Cements will be issued to the shareholders of VCIL for
every five equity shares of INR10 each held by them in VCIL.
With the transaction, India Cements' subscribed and paid-up
equity share capital will increase from INR220.37 crore to
INR260.37 crore.

"If the merger goes through, India Cements will be one of the
top cement companies in India and will have a total capacity of
around 12 million tonne," The Financial Express says, citing
unnamed sources.  According to the news agency, India Cements,
with a capacity of around 9 million tonne, is currently adding 2
million tonne capacity at its existing plants in Tamil Nadu and
Andhra Pradesh.

A senior official of India Cements told the news agency that the
integration will give Visaka a new identity and will become one
of the India Cements plant.  "The plant is thinly staffed and
has been performing well," the paper adds.

Headquartered in Chennai, India, India Cements Limited --
http://www.indiacements.co.in/-- manufactures and markets   
cement under the brand name Coromandel cement.  The Company was
established in 1946 and the first plant was set up at
Sankarnagar in Tamilnadu in 1949.  Since then, it has grown in
stature to seven plants spread over Tamilnadu and Andhra
Pradesh.

The Company was prompted to undertake debt restructuring plans
in 2003.  The Company reduced interest costs, improved capacity
utilization, implemented voluntary retirement schemes and raised
equity.  All these initiatives helped the firm bring down its
debt under the corporate debt restructuring program from
INR1,700 crore to the current INR400 crore.

The Troubled Company Reporter - Asia Pacific reported on Mar. 8,
2006, that India Cements has successfully reduced its workforce
by 1,400 since it started its revival program.  The job cuts are
part of the Company's continuing corporate debt restructuring.


KDL BIOTECH: Narrows 4th Qtr. 2006 Net Loss to INR21.85 Million
---------------------------------------------------------------
KDL Biotech Ltd. narrowed its net loss in the quarter ended
Dec. 31, 2006, to INR21.85 million from the INR32.62-million net
loss booked in the last quarter of 2005.

The company recorded total income of INR338.56 million in the
December 2006 quarter, a 13% increase from the INR299.07 million
booked in the same quarter in 2005.

Operating expenses also increased by 13% from the
INR291.72 million in the fourth quarter of 2005 to
INR322.24 million in the latest quarter under review.

There was a slight change in the company's interest charges,
depreciation expense and provision for taxes:

                     4th Qtr. '06          4th Qtr. '05
                     ------------          ------------
   Interest      INR21.15 million      INR23.01 million
   Depreciation     16.93 million         16.90 million
   Tax                .10 million           .06 million

A copy of the company's financial results for the quarter ended
Dec. 31, 2006, is available for free at the Bombay Stock
Exchange at http://ResearchArchives.com/t/s?1a81

Headquartered in Maharashtra, India, KDL Biotech Ltd. --
http://www.kdlbiotech.com/-- manufactures biotechnology-based   
products.  The Group specializes in Semi-synthetic Penicillin
and related Enzymes.  KDL Biotech has a joint venture with
Synpac Pharmaceuticals to develop Penicillin-related products.

Credit Rating Information Services of India Ltd., on Dec. 9,
2006, reaffirmed its 'D' rating on KDL Biotech's INR6.7-million
Non Convertible Debenture Issue.


LML LTD: Posts INR2.45BB Net Loss in 18 Mos. Ended Sept. 30, '06
----------------------------------------------------------------
LML Ltd has filed with the Bombay Stock Exchange its audited
financial results for the period starting April 1, 2005, to
Sept. 30, 2006.

For the 18 months ended Sept. 30, 2006, LML Ltd posted a net
loss of INR2.45 billion, INR44.3 per share.

The company says operations have been severely effected due to
illegal strike by its workmen that resulted in a lockout on
March 7, 2006, which is still continuing.

LML's operating expenses for the 18-month period -- INR4.35
million -- exceeded its revenues of INR3.35 billion.  Interest
expenses totaled INR266.3 million while depreciation expenses
aggregated INR390.6 million, resulting in loss before tax of
INR794.9 million.  The company booked taxes of INR794.9 million,
provisions and contingencies of INR0.1 million and extraordinary
loss of INR37.4 million.

A copy of the company's financial results for the 18 months
ended Sept. 30, 2006, is available for free at the Bombay Stock
Exchange at http://ResearchArchives.com/t/s?1a85

Headquartered in Kanpur, India, LML Limited manufactures
scooters and motorcycles.  The LML NV, manufactured with
Piaggio, is a scooter that is loaded with features such as a
large taillight, cushioned backrest, improved handlebar design
and speedometer, a utility box and a large glove compartment.
The Company's motorcycles, which are made in collaboration with
Daelim of Korea, feature a three-valve, 109-cubic centimeter
engine, a long wheelbase and broad tires.  The Energy FX model
features a four-speed gearbox, while the Adreno FX sports a
five-speed unit.  The bikes come in a large variety of colors
offer other features such as disc brakes and electronic
ignition.

As reported in the Troubled Company Reporter - Asia Pacific, LML
disclosed that its board of directors, at a meeting on Sept. 8,
2006, has decided that LML has become a sick industrial company
under the Sick Industrial Companies (Special Provisions Act)
1985.  The company is currently working for the restructuring of
its business, which includes the possibility of a strategic or
financial partnership.


* CI Raises India's Long-Term Currency Ratings to BBB-
------------------------------------------------------
Capital Intelligence, the international emerging markets rating
agency, has raised India's long-term foreign currency and long-
term local currency ratings to BBB- from BB+ and its short-term
ratings to A3 from B.  The outlook is stable.

The upgrades reflect the strengthening of India's external
position and CI's expectation that the external finances will
remain robust for the foreseeable future.  The change also
reflects improving fiscal performance, a firmer commitment to
financial discipline by both the central and state governments,
and a favorable medium-term outlook for the economy.

CI notes that the growth of the export base has led to a marked
improvement in external solvency indicators while broader
balance of payments developments have led to a further
improvement in India's international liquidity position.  As a
proportion of GDP, gross external debt has fallen from 20.7% in
March 2002 to an estimated 15.3% in March 2007.  But measured
against current account receipts the decline in indebtedness has
been more significant, with the debt ratio falling from 121.4%
to 59.6% over the same period.  Sovereign external debt
(including explicit loan guarantees) is very low, at just over
6% of GDP or 25% of current account receipts and is unlikely to
increase much, if at all, over the medium term.  For the past
three years the country has been a net external creditor, with
foreign assets in the official and banking sectors exceeding the
external debt stock by about 6% of GDP or 23% of current account
receipts.

Although a widening current account deficit and low, but rising,
net FDI have increased the economy's reliance on potentially
volatile sources of foreign capital, external risks are greatly
mitigated by capital controls and the liquidity buffer provided
by the world's sixth largest stock of official reserves.  At a
projected US$178 billion in March 2007 (around 19% of GDP),
official reserves are 10 times larger than external debt
payments falling due in fiscal year 2007/2008 or nearly 4 times
including the entire stock of bank deposits of non-resident
Indians.

On the fiscal front, the general government budget deficit has
fallen steadily from 10.1% of GDP in 2001/2002 to an expected
6.4% in 2006/2007.  While part of the improvement reflects a
cyclical pick-up in revenues, there has been some progress in
strengthening tax administration and collection and financial
discipline has been enhanced by the adoption of fiscal
responsibility legislation at both the central government and
state levels.  CI expects the fiscal consolidation process to
continue over the medium term, albeit at a slow pace.

Nevertheless, it is fiscal factors that continue to weigh
heavily on the sovereign's ratings.  The budget deficit remains
comparatively high and a debt stock in excess of 80% of GDP
places a heavy burden on the public finances, with interest
payments currently devouring about 27% of budget revenues.
Despite the large debt burden, refinancing risks are mitigated
by a high domestic savings rate, deep domestic capital markets
and a strong captive demand for government debt, over 90% of
which is in local currency.  Consequently, the government is
able to sustain a much higher level of debt than would typically
be thought possible for a low-income country.  Deeper fiscal
consolidation would, however, enable the government to re-direct
spending towards more growth-enhancing social and infrastructure
programs as well as strengthening repayment capacity.


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

ALCATEL-LUCENT: Wins US$1.5-Billion Patent Suit vs. Microsoft
-------------------------------------------------------------
A U.S. federal jury has ordered Microsoft Corp. to pay around
US$1.52 billion in infringement damages to Alcatel-Lucent, the
Associated Press reports.

The jury ruled that Microsoft infringed two MP3 patents, which
cover the encoding and decoding of audio into the digital MP3
format.

"We think this verdict is completely unsupported by the law or
the facts," Tom Burt, a Microsoft deputy general counsel, said.

Lucent Technologies Inc., which merged with Alcatel in 2006 to
form Alcatel-Lucent, filed 15 patent claims in 2003 against
Gateway Inc. and Dell Inc. for technology developed by Bell
Laboratories, its research arm, AP relates.  In April 2003,
Microsoft added itself to the list of defendants, saying the
patents were closely tied to its Windows operating system.  A
judge had dismissed the claims and scheduled six separate trials
for the remaining disputes.  The case in question went on trial
on Jan. 29.

Microsoft argued in court that Alcatel-Lucent's patents govern
its MP3 encoding and decoding tools, stressing that its MP3
software for Windows Media Player was licensed from Fraunhofer-
Gesellschaft, which developed the format along with Bell Labs
and French electronics group Thomson.

"The damages award seems particularly outrageous when you
consider we paid Fraunhofer only US$16 million to license this
technology," Microsoft said adding that the damages were
calculated by multiplying Windows sales volumes and PC sales
prices worldwide since May 2003.

John Desmarais, who represents Alcatel-Lucent in the case, said
the proposed damages were consistent with patent law, adding
that it was not appropriate to compare the amount Microsoft paid
Thomson to the figure Lucent paid Bell Labs since Bell Labs
patents were far more valuable, AP relays.

The federal jury agreed on all Alcatel-Lucent's arguments but
reached an impasse on whether Microsoft had willfully infringed
on the Bell Labs patents, AP reports.  AP suggests that if jury
had found that Microsoft did, the firm would have had to pay
triple damages.

AP suggests that the case, if upheld on appeal, could become a
precedent for possible damage actions against firms
manufacturing MP3-playing products.  These firms, AP adds, could
face demands to pay royalties to Alcatel-Lucent.

The court will consider the patent suits relating to speech
coding in March or April, AP says citing Microsoft.  Other
patents in question include video coding on Microsoft's Xbox
game console and Windows' user interface.

Headquartered in Redmond, Washington, Microsoft Corp. --
http://www.microsoft.com/-- develops, manufactures, licenses  
and supports a range of software products for computing devices.

                       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 of Feb. 7, 2007, Alcatel-Lucent's Long-Term Corporate Credit
rating and Senior Unsecured Debt carry Standard & Poor's BB
rating.  It's Short-Term Corporate Credit rating stands at B.

Moody's on the other hand put a Ba2 rating on Alcatel's
Corporate Family and Senior Debt rating.  Lucent carries Moody's
B1 Senior Debt rating and B2 Subordinated debt & trust preferred
rating.

Fitch rates Alcatel's Issuer Default Rating and Senior Unsecured
Debt rating at BB.


ALCATEL-LUCENT: Signs Outsourcing Pact with E-Plus Mobilfunk
------------------------------------------------------------
Alcatel-Lucent will be managing several network business
divisions of Germany's third-largest mobile communications
provider, E-Plus Mobilfunk.  Under the terms of the network
outsourcing agreement, E-Plus Mobilfunk will transfer the
operational business divisions responsible for the operation,
maintenance and deployment of its cellular network to Alcatel-
Lucent on March 1, enabling E-Plus to concentrate on its core
business, reduce operational expenses and increase network
quality.

As part of this agreement, about 750 E-Plus employees in Germany
will join Alcatel-Lucent.

E-Plus will maintain responsibility for strategic network
planning and network development, including the selection of
mobile communications locations and their technical equipment to
ensure the long-term quality of its cellular network.

"Our decision to enter a strategic partnership with Alcatel-
Lucent is designed to guarantee our subscribers a network of a
constantly increasing quality over the long term," explained
Elmar Grasser, Chief Technical Officer of E-Plus Mobilfunk GmbH
& Co KG.  "Alcatel-Lucent is the world's leading network
integrator with the resources to meet future network
construction and maintenance requirements with greater speed,
flexibility and cost synergies than we could alone. And with
this step, we're once again playing a pioneering role on the
German market."

The outsourcing of several network divisions is part of E-Plus's
strategic reorientation and follows the company's recently
announced restructuring.  These measures are intended to lead to
increased customer focus as well as boosting efficiency,
flexibility and effectiveness, thus contributing to E-Plus'
continued profitable growth.

"By outsourcing individual business divisions, we can apply
greater energy to our core business - and that means quality and
especially care for our customers. It will put us in a position
to focus even more attention on the development of simple, cost-
effective mobile communications solutions for clearly defined
customer segments," Grasser added.

Network operations and managed services is a key focus area for
Alcatel-Lucent's service activities.  Alcatel-Lucent manages
more than 50 networks around the world from ten of its Global
Network Operations Centers and IP Transformation Centers.

"We are proud that an innovative, quality-conscious service
provider like E-Plus has entrusted us with the maintenance and
management of its cellular network," said John Meyer, President
of Alcatel-Lucent's service activities.  "We are the world's
leading network integrator, and hosted and network operations is
one of our strengths.  We look forward to helping E-Plus meet
the needs of their customers.  We also look forward to having
the experienced and talented employees from E-Plus join the
Alcatel-Lucent team, bolstering our ability to serve this
important customer and expanding our expertise and resources."

                     About E-Plus Mobilfunk

With over 12.7 million subscribers as of December 2006, E-Plus
Mobilfunk GmbH & Co. KG is the third largest mobile
communications provider in Germany.  Profitable growth is
central to the company, which consistently gears its activities
according to its operating results.  E-Plus has significantly
increased its market share since mid-2005, experiencing the
fastest and most profitable growth of the providers present on
the German market.  With the launch of new names and products
such as BASE, simyo and AY YILDIZ in 2005, the company has
evolved into a brand group.  The BASE flat-rate brand with
subscription cards for normal and heavy users and the discount
simyo brand with prepaid cards for infrequent users round out
the E-Plus line for private and business customers.  AY YILDIZ
is the first mobile brand for the Turkish-German community.  The
latest addition to the range had its debut in October 2006:
vybemobile, Germany's first phone and music brand for young
users and music fans. Partnerships with enterprises from other
industries such as Medion (ALDI talk), VIVA and Conrad round out
the family. Since mid-2005, these new initiatives have brought
nearly 4.3 million users to the E-Plus fold.

                       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 of Feb. 7, 2007, Alcatel-Lucent's Long-Term Corporate Credit
rating and Senior Unsecured Debt carry Standard & Poor's BB
rating.  It's Short-Term Corporate Credit rating stands at B.

Moody's on the other hand put a Ba2 rating on Alcatel's
Corporate Family and Senior Debt rating.  Lucent carries Moody's
B1 Senior Debt rating and B2 Subordinated debt & trust preferred
rating.

Fitch rates Alcatel's Issuer Default Rating and Senior Unsecured
Debt rating at BB.


ALCATEL-LUCENT: Eyes Another 1,700 Job Cuts in Europe
-----------------------------------------------------
Alcatel-Lucent will slash over 1,700 jobs in Europe on top of
1,468 cuts already announced in France, the Associated Press
reports citing Patrick Moreau, an official of CGT union.

The company, according to Mr. Moreau, will reduce its workforce
by:

   -- 877 jobs in Germany,
   -- 310 in Spain,
   -- 250 to 280 in Italy,
   -- 140 to 180 in the Netherlands, and
   -- 140 in Belgium.

Alcatel-Lucent, which posted EUR618 million in net losses
against EUR4.42 billion in net revenues for the fourth quarter
2006, previously announced plans to decrease its global
workforce by 12,500 employees.

Patricia Russo, Chief Executive of Alcatel-Lucent, said the job
cuts could help the company save as much as EUR1.7 billion in
pre-tax cost within three years, with at least EUR600 million
for 2007.

Alcatel-Lucent, meanwhile, refused a request from Gerard
Larcher, France's employment minister, to suspend the job cuts
pending conclusions of a working group that will study the
telecommunications industry in France, Bloomberg News reports
citing union CFTC Metallurgie.

Alcatel, however, said it "welcomes" the creation of a working
group and will take part in it, Bloomberg News adds.

                       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 of Feb. 7, 2007, Alcatel-Lucent's Long-Term Corporate Credit
rating and Senior Unsecured Debt carry Standard & Poor's BB
rating.  It's Short-Term Corporate Credit rating stands at B.

Moody's on the other hand put a Ba2 rating on Alcatel's
Corporate Family and Senior Debt rating.  Lucent carries Moody's
B1 Senior Debt rating and B2 Subordinated debt & trust preferred
rating.

Fitch rates Alcatel's Issuer Default Rating and Senior Unsecured
Debt rating at BB.


BAKRIE SUMATERA: Moody's Affirms 'B2' Senior Secured Debt Rating
----------------------------------------------------------------
Moody's Investors Service has affirmed the B2 senior secured
debt rating for Bakrie Sumatera Plantations Tbk following its
decision to increase the existing bond size of US$110 million by
another US$45 million.  At the same time, Moody's has also
affirmed the B2 corporate family rating for BSP.  The outlook
for all the ratings is stable.

The increased bond amount will fund BSP's acquisition of new oil
palm plantations.  These acquisitions will give BSP another
15,000 hectares of oil palm estates as well as more mills
capacity.

"The proposed debt-funded acquisitions will increase BSP's debt
leverage and will weaken its credit metrics, which will position
the company at the lower limits of the current B2 rating," says
Peter Choy, a Moody's Vice President & Senior Credit Officer.
"Nevertheless, the B2 rating is supported by both favourable
demand for crude palm oil and BSP's established operations.
Moreover, the acquisitions will increase BSP's plantation size
and maintain the prime production age of the company's oil palm
plantation," he says.

"The above positive factors are counterbalanced by BSP's small
size, a lack of any downstream operations, its aging rubber
plantation, rising production costs and aggressive growth,"
comments Choy.

"Any Further debt-funded transactions in the absence of new
equity will further weaken its credit metrics and reduce its
financial flexibility, which would have downward pressure on the
rating," he adds.

The outlook for all the ratings is stable.  Moody's expects BSP
will manage the execution risk related to its bio-diesel plant
and the integration of the two new plantations.  Moody's does
not expect further debt-funded acquisitions in the absence of
new equity.

Upward ratings pressure would arise if BSP can successfully
complete its bio-diesel plant within budgeted time and cost, as
well as improve its home-grown production to enhance yield.
Furthermore, BSP would need to demonstrate an improvement in the
production rates in its acquired companies.  The improvements
would need to translate into sustainable improved financial
performance, as measured by Adjusted Debt/EBITDA below 3.0x --
3.5x, EBITDA/Interest of at least 3.5x - 4.0x, and RCF/Adjusted
Debt of at least 15% - 20%.

On the other hand, the ratings may experience downward pressure
if evidence emerges of:

   * cash leakages from BSP to fund affiliated companies, such
     as through inter-company loans or aggressive cash
     dividends;

   * further aggressive debt-funded acquisitions, especially
     without appropriate new equity;

   * acceleration of plantation aging;

   * prices of crude palm oil and latex falling beyond our
     expectations; and/or

   * delays or cost overruns in the new bio-diesel plant, such
     that credit metrics show continuous deterioration with
     Adjusted Debt/EBITDA increasing to 4.5x-5.0x,
     EBITDA/Interest declining to 2.0x or below, and/or Retained
     Cash Flow/Adjusted Debt falling to 10%.

                      About Bakrie Sumatera

Headquartered in Sumatra, Indonesia, Bakrie Sumatera Plantations
Tbk is Indonesia's third largest largest publicly traded
plantation company.  It is 54% owned by PT Bakrie & Brothers
Tbk, and its products include crude palm oil, palm kernel oil
and latex.  It was listed in 1990 on the Jakarta Stock Exchange.


BAKRIE SUMATERA: S&P Affirms 'B' Corporate Credit Rating
--------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating on Indonesia's PT Bakrie Sumatera Plantations Tbk.  
The outlook is stable.

At the same time, Standard & Poor's assigned its 'B' issue
rating on the proposed US$45 million senior secured notes issued
by its wholly-owned subsidiary, BSP Finance B.V., irrevocably
and unconditionally guaranteed by BSP and its subsidiaries. The
new notes are a further issuance of and are in addition to the
US$110 million principal amount of the 10.75% guaranteed senior
secured notes due in 2011, issued in October 2006.  The rating
on the notes is subject to final documentation.  Most of the
proceeds will be used for capital expenditures, working capital,
and general corporate purposes.

"The rating on BSP reflects its large debt-funded capital
spending program, high reliance on external purchases, small
revenue relative to future debt, and limited integration," said
Standard & Poor's credit analyst Yasmin Wirjawan.  "However,
these risks are partly offset by the company's satisfactory age
profile in palm oil plantation, focus on higher-margin value-
added rubber products, and satisfactory cost position."

BSP's financial risk profile is expected to deteriorate further
with an increase in borrowing to finance budgeted capital
expenditures of about IDR1.7 trillion (US$178 million) from 2007
to 2010.  About 46% of the capital spending will take place in
2007, and most of it will be used for the acquisition of new
palm oil plantations and investment in a biodiesel plant.

Expansion in its palm oil plantations is critical as BSP's
production using externally purchased raw material supplies is
expected to increase to at least half of palm oil and rubber
production within the 2007-2009 period, with higher utilization
rate of its processing facilities and expansion into the bio-
diesel project.  The cost of external purchases is substantially
higher than the cash production cost of BSP's own products and
is expected to reduce the company's operating margin.

Including the nonrecourse loan for the biodiesel project and the
bond issuance, the ratio of funds from operations to total debt
is projected to fall to about 11%-13% in the near term, from 46%
as at Sept. 30, 2006, while debt to EBITDA could increase to
about 3.5x-3.8x from 1.7x, for the same period.  The company is
small, with revenue of US$87 million in the nine months ended
Sept. 30, 2006.  Following its aggressive expansion, its
consolidated debt could increase to US$181 million after the
proposed additional bond issue and the loan for the biodiesel
project.  Debt-servicing ability could be hampered if there is a
delay in the construction of new facilities, an increase in the
cost of equipment or external purchases, or a decline in product
prices.  As the company has no experience in the biofuel segment
and the local regulatory aspects are yet to be finalized, it
remains uncertain if it can reap the full benefits of its
planned expansion.

All its palm trees are below 15 years of age and young plants
aged between six and 10 years occupy about 43% of the planted
area.  This has resulted in improving fresh fruit bunches yield
for its own plantations to 23.8 tons per hectare in 2006, from
18 tons per hectare in 2002.  Yields and operating efficiency
should improve further as more young plants enter the high-
yielding prime age of between 11 and 20 years.  BSP's palm oil
blended cash production cost of US$243 per metric ton compared
favorably with the current market price of US$600 per metric
ton, and a 30-year low of about US$250 per metric ton.

In addition, BSP has attained a steady EBITDA margin of more
than 30% as the company focuses on higher-margin value-added
rubber products, which contributed about 67% of its production
volume in 2006.

BSP's near-term liquidity is adequate. Although its cash and
cash equivalents of IDR77 billion were not sufficient to cover
debt due in one year of IDR102 billion as at Sept. 30, 2006, its
liquidity position has improved following the successful US$110
million bond issuance in the fourth quarter of 2006.

"The stable outlook reflects Standard & Poor's expectation that
BSP's financial measures remain acceptable for the current
rating level despite the anticipated deterioration in its
financial profile due to its large capital spending plan," Ms.
Wirjawan noted.  "It is also based on the expectation that the
company will not be required to provide financing or other type
of support to related parties and has the capacity to promptly
and smoothly execute the capital expenditure program in its core
businesses."

                     About Bakrie Sumatera

Headquartered in Sumatra, Indonesia, Bakrie Sumatera Plantations
Tbk is Indonesia's third largest largest publicly traded
plantation company.  It is 54% owned by PT Bakrie & Brothers
Tbk, and its products include crude palm oil, palm kernel oil
and latex.  It was listed in 1990 on the Jakarta Stock Exchange.


BAKRIE SUMATERA: Sets Up New Subsidiary
---------------------------------------
PT Bakrie Sumatera Plantations Tbk said that it has set up a
subsidiary called PT Bakrie Sentosa Persada to support its
business activities, Antara News reports.

BSP Corporate Secretary Fitri Barnas reportedly disclosed that
the company put in IDR247.50 million as capital participation in
the new subsidiary.

Antara recounts that the company said early in February that its
2006 income probably rose 30% to IDR1.15 trillion from IDR883.3
billion a year earlier on rising CPO prices.

In the nine months ended Sept. 30, 2006, the company posted a
net profit of IDR142.49 billion, up from IDR65.37 billion in
2005, Antara notes.

                      About Bakrie Sumatera

Headquartered in Sumatra, Indonesia, Bakrie Sumatera Plantations
Tbk is Indonesia's third largest largest publicly traded
plantation company.  It is 54% owned by PT Bakrie & Brothers
Tbk, and its products include crude palm oil, palm kernel oil
and latex.  It was listed in 1990 on the Jakarta Stock Exchange.

BSP carries Standard & Poor's Ratings Services' 'B' corporate
credit rating.  The outlook is stable.

Moody's Investors Service has affirmed the B2 senior secured
debt rating for Bakrie Sumatera Plantations Tbk following its
decision to increase the existing bond size of US$110 million by
another US$45 million.  At the same time, Moody's has also
affirmed the B2 corporate family rating for BSP.  The outlook
for all the ratings is stable.


CORUS GROUP: Tata Dismisses Speculation on Scunthorpe Plant Sale
----------------------------------------------------------------
Tata Steel may sell the Scunthorpe plant of Corus Group plc to
resolve debts obtained for the financing of its US$12.1-billion
acquisition of the Anglo-Dutch steelmaker, The Economic Times
relates citing a report by a British publication.

According to the report, Russian steelmaker Severstal offered
Tata Steel US$1.9 billion for the Scunthorpe plant, where 80% of
the value in the long products division resides.

The Scunthorpe division has an estimated total asset value of
US$3 billion but it may sell at a discount because of debt and
low profitability.

The report adds that Severstal owner Alexie Mordashov might put
in a counter bid for Corus.

A group of steelmakers, including Brazil's Gerdau, Russia's
Evraz and Arcelor Mittal, has also expressed interest in buying
Corus assets, the report continues.

However, Tata dismissed speculations regarding the sale of Corus
assets.

It "didn't make sense for Tata Steel to sell a plant that was
producing long products," industry analysts in India were quoted
by the Economic Times as saying.

Tata is currently finalizing the financing structure and
integration of Corus operations with the company, sources close
to the Indian steelmaker reveal.

As previously reported in the Troubled Company Reporter - Asia
Pacific, Tata Steel won an auction for Corus over Companhia
Siderurgica Nacional after offering investors 608 pence per
share in cash, or GBP5.7 billion (US$11.3 billion).

                         About Tata Steel

Established in 1907, Tata Steel is Asia's first and India's
largest private sector steel company. Tata Steel is among the
lowest cost producers of steel in the world and one of the few
select steel companies in the world that is EVA+ (Economic Value
Added).

                         About Corus Group

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

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

                          *     *     *

As reported in the TCR-AP on Feb. 2, 2007, Standard & Poor's
Ratings Services kept its 'BB'\ long-term corporate credit
rating on U.K.-based steelmaker Corus Group PLC on CreditWatch
with developing implications, after the completion of the
auction process, during which India-based steel manufacturer
Tata Steel Ltd. offered the highest bid of 608 pence per share.

This values the company at GBP5.75 billion, up from the 455
pence per share of the initial bid.

At the same time, the 'BB+' long-term debt rating on Corus'
EUR700 million senior secured bank loan and the 'BB-' unsecured
debt ratings on Corus remain on CreditWatch with developing
implications.  The 'B' short-term corporate credit rating
remains on CreditWatch with positive implications.

All ratings were placed on CreditWatch on Oct. 18, 2006,
following the disclosure of an initial bid by Tata Steel.

On Feb 2, 2007, Fitch Ratings said that Corus Group Plc's
Issuer Default 'BB-' and Short-term 'B' ratings remain on Rating
Watch Negative following a recommended bid, valued at GBP6.2
billion, from India-based Tata Steel Limited in the wake of an
auction process conducted by the UK Takeover Panel on 30-31
January 2007.  The RWN also applies to the 'B+' ratings on CS's
EUR800 million 7.5% senior notes and Corus Finance Plc's GBP200m
6.75% guaranteed bonds.

At the same time, Moody's Investors Service placed Corus Group
plc's Ba2 Corporate Family and other ratings under review.


FOSTER WHEELER: Ralph Alexander Resigns as Director
---------------------------------------------------
Foster Wheeler Ltd. reveals that effective Feb. 27, 2006, Ralph
Alexander has resigned from its Board of Directors, in order to
pursue other business opportunities that could, in the future,
potentially conflict with his duties as a director of Foster
Wheeler.

Mr. Alexander was elected to the Board of Directors of Foster
Wheeler Ltd. in May 2006 and his term was to have expired in May
2007.  Mr. Alexander has also advised that he does not intend to
stand for re-election.

"I would like to thank Ralph for his contribution during his
time as a Board Director and wish him every success in his new
ventures," said Raymond J. Milchovich, chairman and chief
executive officer.

                      About Foster Wheeler

With operational headquarters in Clinton, New Jersey, Foster
Wheeler Ltd. -- http://www.fwc.com/-- offers a broad range of  
engineering, procurement, construction, manufacturing, project
development and management, research and plant operation
services.  Foster Wheeler serves the refining, upstream oil and
gas, LNG and gas-to-liquids, petrochemical, chemicals, power,
pharmaceuticals, biotechnology and healthcare industries.

The company has offices in Indonesia, China, India, Malaysia,
Singapore, Thailand and Vietnam.

                          *     *     *

On Dec. 17, 2006, Standard & Poor's Ratings Services revised its
outlook on Foster Wheeler Ltd. to positive from stable.

At the same time, Standard & Poor's affirmed its 'B+' corporate
credit rating and other ratings on the Clinton, New Jersey-based
engineering and construction company.  The company had about
US$217 million of total debt at Sept. 29, 2006.


FOSTER WHEELER: Discloses Highest Profit in Its 116-Year History
----------------------------------------------------------------
Foster Wheeler Ltd. disclosed record full-year and quarterly net
income for the period ended December 29, 2006.

Net income for the full year 2006 was US$196.4 million, or
US$2.78 per diluted share, excluding:

   * an asbestos-related net gain of US$100.1 million;

   * US$27.4 million in charges relating to successful debt
     reduction initiatives and the voluntary termination of the
     Company's former domestic credit agreement; and

   * US$7.1 million in costs relating to the closure of the
     Global Power Group's Canadian office.

The US$196.4 million is a new earnings record and is more than
double the Company's previous record.  Including the items
listed above, net income for the year was US$262.0 million, or
US$3.43 per diluted share.

The Company also reported record quarterly net income for the
third consecutive quarter. Net income for the fourth quarter of
2006 was US$85.9 million, or US$1.20 per diluted share,
excluding:

   * an asbestos-related provision of US$15.5 million;

   * US$0.1 million in costs arising from the voluntary
     termination of the Company's former domestic credit
     agreement; and

   * the US$7.1 million in costs relating to the closure of the
     GPG's Canadian office.

Including these items, net income for the quarter was US$63.1
million, or US$0.88 per diluted share.

"2006 was an outstanding year for Foster Wheeler.  I would like
to congratulate our management team and recognize all of our
employees worldwide for transforming the earning capability of
this company to a level that far exceeds any prior period in our
Company's 116-year history," said Raymond J. Milchovich,
chairman and chief executive officer.  "The combination of the
commercial and operational excellence demonstrated by our Global
E&C Group and its 47% increase in capacity during 2006 has
driven our Company's earnings and earnings growth and positioned
us for a very bright future."

                             EBITDA

Consolidated EBITDA for the full-year 2006, also a new Company
record, was US$333.9 million, excluding:

   * the US$100.1 million asbestos-related net gain;

   * the US$27.4 million in charges relating to successful debt
     reduction initiatives and the voluntary termination of the
     Company's former domestic credit agreement; and

   * the US$7.1 million in costs for the closure of the GPG's
     Canadian office.

Including these items, full-year 2006 EBITDA was US$399.5
million.

Consolidated fourth quarter 2006 EBITDA was US$128.9 million,
excluding:

   * the asbestos-related provision of US$15.5 million;

   * the US$0.1 million costs arising from the voluntary
     termination of the Company's former domestic credit
     agreement; and

   * the US$7.1 million costs relating to the closure of the
     GPG's Canadian office.

Including these items, fourth-quarter 2006 EBITDA was US$106.1
million.

The Company began recording stock option compensation expense in
2006.  US$1.7 million and US$7.3 million, respectively, were
expensed in the fourth quarter and full-year 2006.

                New Orders, Revenues and Backlog

New orders for the full-year 2006, measured in Foster Wheeler
scope, which excludes flow-through costs, increased to US$3.0
billion, up 18% from US$2.6 billion in 2005.

Scope operating revenues for the full-year 2006 increased to
US$2.8 billion, up by 56% from US$1.8 billion in 2005.

Year-end 2006 scope backlog increased to US$2.5 billion, up 17%
from US$2.2 billion at year-end 2005.

                       Cash and Liquidity

The Company had a record US$630.0 million of cash and short-term
investments at year-end 2006.  This total cash balance compares
with US$509.7 million at the end of the third quarter of 2006,
and US$372.7 million at year-end 2005.  The substantial cash
increase during 2006 resulted primarily from net cash generated
by operations of US$263.7 million, driven by the very strong
operating performance in the Global E&C Group.

                             Asbestos

The Company recorded a net gain from its asbestos management
program in 2006 of US$100.1 million, reflecting:

   * a US$115.6 million gain from four insurance settlements and
     the successful appeal of a court decision in the Company's
     pending asbestos-related insurance coverage litigation; and

   * a US$15.5 million charge in the fourth quarter of 2006
     resulting from the Company's year-end update of its 15-year
     estimate of its asbestos liabilities and related assets.

                       Calculation of EBITDA

EBITDA is a supplemental, non-generally accepted accounting
principle financial measure.  EBITDA is defined as income before
income taxes, interest expense, depreciation and amortization.
The Company has presented EBITDA because it believes it is an
important supplemental measure of operating performance.  
EBITDA, after adjustment for certain unusual and infrequent
items specifically excluded in the terms of the Company's
current and prior senior credit agreements, is used for certain
covenants under its current and prior senior credit agreements.
The Company believes that the line item on its consolidated
statement of operations and comprehensive income/(loss) entitled
"net income/(loss)" is the most directly comparable generally
accepted accounting principle financial measure to EBITDA.  
Since EBITDA is not a measure of performance calculated in
accordance with GAAP, it should not be considered in isolation
of, or as a substitute for, net income/(loss) as an indicator of
operating performance or any other GAAP financial measure.

EBITDA, as calculated by the Company, may not be comparable to
similarly titled measures employed by other companies.  In
addition, this measure does not necessarily represent funds
available for discretionary use, and is not necessarily a
measure of the Company's ability to fund its cash needs.  As
EBITDA excludes certain financial information compared with net
income/(loss), the most directly comparable GAAP financial
measure, users of this financial information should consider the
type of events and transactions that are excluded.

The Company's non-GAAP performance measure, EBITDA, has certain
material limitations as follows:

    * It does not include interest expense. Because the Company
      has borrowed money to finance some of its operations,
      interest is a necessary and ongoing part of its costs and
      has assisted the Company in generating revenue. Therefore,
      any measure that excludes interest has material
      limitations;

    * It does not include taxes. Because the payment of taxes is
      a necessary and ongoing part of the Company's operations,
      any measure that excludes taxes has material limitations;

    * It does not include depreciation. Because the Company must
      utilize substantial property, plant and equipment in order
      to generate revenues in its operations, depreciation is a
      necessary and ongoing part of its costs. Therefore, any    
      measure that excludes depreciation has material
      limitations.

                      About Foster Wheeler

With operational headquarters in Clinton, New Jersey, Foster
Wheeler Ltd. -- http://www.fwc.com/-- offers a broad range of  
engineering, procurement, construction, manufacturing, project
development and management, research and plant operation
services.  Foster Wheeler serves the refining, upstream oil and
gas, LNG and gas-to-liquids, petrochemical, chemicals, power,
pharmaceuticals, biotechnology and healthcare industries.

The company has offices in Indonesia, China, India, Malaysia,
Singapore, Thailand and Vietnam.

                          *     *     *

On Dec. 17, 2006, Standard & Poor's Ratings Services revised its
outlook on Foster Wheeler Ltd. to positive from stable.

At the same time, Standard & Poor's affirmed its 'B+' corporate
credit rating and other ratings on the Clinton, New Jersey-based
engineering and construction company.  The company had about
US$217 million of total debt at Sept. 29, 2006.


FOSTER: Appoints New Vice President for Corporate Development
-------------------------------------------------------------
Foster Wheeler Ltd.'s Board of Directors has elected Thierry
Desmaris to the position of vice president of corporate
development, effective immediately.  In this newly created role,
Mr. Desmaris, who is also vice president and treasurer, will
report to Raymond J. Milchovich, chairman and chief executive
officer.

"Thierry is a 20-year veteran of Foster Wheeler.  He has served
in a variety of senior financial management positions in both
North America and Europe, and has an in-depth knowledge of our
business," said Mr. Milchovich.  "Thierry's prime objective will
be to oversee and expedite the Company's growth through mergers
and acquisitions that are consistent with our strategic growth
plan.  Thierry is an extremely experienced individual and I am
highly confident that he will make a significant contribution to
the future growth and success of Foster Wheeler."

Prior to his appointment as vice president and treasurer of
Foster Wheeler, Mr. Desmaris, 48, was chief financial officer of
the Company's Continental Europe business unit, part of its
Global Engineering and Construction Group.  During his career
with Foster Wheeler, he has also held senior positions in
financial planning and analysis, and in project finance.

Mr. Desmaris holds a Bachelor's Degree from Columbia University
and a Master's in Business Administration, from Syracuse
University.

                      About Foster Wheeler

With operational headquarters in Clinton, New Jersey, Foster
Wheeler Ltd. -- http://www.fwc.com/-- offers a broad range of  
engineering, procurement, construction, manufacturing, project
development and management, research and plant operation
services.  Foster Wheeler serves the refining, upstream oil and
gas, LNG and gas-to-liquids, petrochemical, chemicals, power,
pharmaceuticals, biotechnology and healthcare industries.

The company has offices in Indonesia, China, India, Malaysia,
Singapore, Thailand and Vietnam.

                          *     *     *

On Dec. 17, 2006, Standard & Poor's Ratings Services revised its
outlook on Foster Wheeler Ltd. to positive from stable.

At the same time, Standard & Poor's affirmed its 'B+' corporate
credit rating and other ratings on the Clinton, New Jersey-based
engineering and construction company.  The company had about
US$217 million of total debt at Sept. 29, 2006.


PAKUWON JATI: Sells US$110-Million Bond Due 2011 at 12%
-------------------------------------------------------
PT Pakuwon Jati Tbk sold US$110 million of five-year bonds to
help repay debt and fund expansion, Bloomberg News reports.

According to the report, Head of Debt syndication of
UBS AG Cristian Jonsson, said that the bond due November 2011
was priced to yield at 12%.

Pakuwon Jati Finance Director Winarto did not want to comment on
the terms of the pricing, the report says.

Bloomberg explains that Indonesian companies need funds to meet
the demand spurred by accelerating economic growth.

                       About Pakuwon Jati

Headquartered in Surabaya, Indonesia, PT Pakuwon Jati Tbk is a
property management company.  The company operates the Tunjungan
Plaza shopping center, the Mandiri Tower office center, the
Sheraton Surabaya Hotel and Towers and the Laguna Indah housing
and industrial estate.

The Troubled Company Reporter - Asia Pacific reported on
Nov. 17, 2006, Moody's Investors Service has affirmed its B2
corporate family rating for PT Pakuwon Jati, Tbk (Pakuwon) and
its B2 senior secured rating for Pakuwon Jati Finance BV
following the completion of the company's USD110 million bond
issuance.  At the same time, both ratings have been removed from
their provisional status.  The bonds are guaranteed by Pakuwon,
as well as PT Artisan Wahyu, which will become Pakuwon's
subsidiary upon the completion of the acquisition of newly
issued shares from AW.  The outlook for both ratings is stable.

An earlier TCR-AP report on Sept. 5, 2006, stated that Fitch
Ratings has assigned long-term foreign currency and local
currency Issuer Default Ratings of 'B' to Pakuwon Jati.  In
addition, Fitch has assigned a National Long-term rating of
'BBB-(idn)' to Pakuwon.  The Outlook for the ratings is Stable.

Fitch has also assigned an expected rating of 'B' with a
Recovery Rating of 'RR4' to the US$120-million senior unsecured
notes due 2011 to be issued by Pakuwon Jati Finance B.V. and
guaranteed by Pakuwon.  The final rating is contingent upon
receipt of documents conforming to information already received.


PERTAMINA: To Set Up Joint Venture for CPP Management
-----------------------------------------------------
PT Pertamina (Persero) stated its willingness to set up a joint
venture company to manage the Coastal Plain Pekanbaru oil block
in Riau, Tempo Interactive reports.

Currently, the CPP Block management is carried out by a joint
operation agency of PT Bumi Siak Pusako and Pertamina's
subsidiary PT Pertamina Eksporasi Produksi, with 50% ownership
each, Tempo says.  However, there are no reports of any official
discussion between Bumi Siak and Pertamina EP, the news agency
points out.

The report notes that Pertamina Upstream Director Sukusen
Soemarinda said that the setting of a joint venture company was
in line with a 2001 agreement.  

The agreement signed on December 28, 2001, states that in order
to manage the CCP block a joint venture will be founded in two
years' time at the earliest.  The agreement says that in the
joint venture, Bumi Siak will own between 70 and 55% of the
shares, and Pertamina will own the remainder.

Mr. Soemarinda makes it clear that the working interest at CCP
oil field will remain in spite of the joint venture  -- 50% each
for Pertamina and Bumi Siak -- since the change will only apply
to ownership of the joint venture.

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.


PERUSAHAAN GAS: Will Deliver Gas to Java After 4-Month Delay
------------------------------------------------------------
PT Perusahaan Gas Negara (Persero) Tbk said that the first phase
of a US$1.1-billion project to deliver the fuel from Sumatra to
Java will start this March, four months behind schedule,
Bloomberg News reports.

According to the report, Gas Negara Director of Development Adil
Abas told reporters that the company plans to complete tests by
March 15 on a 450-kilometer pipeline, the first of two under
construction.  The second, a 661-kilometer pipeline, will be
completed a year late, in March next year, he adds.

The Troubled Company Reporter - Asia Pacific reported on Feb. 6,
2007, that Gas Negara said it will delay until September the
shipment of natural gas through a pipeline from South Sumatra to
western Java originally due to open in March.  A second link,
scheduled to begin operation in November 2006, will start up in
March.

The company attributed the pipeline project delay to problems
acquiring the land, heavy rainfall in the area and hitches in
completing tests on sections of the pipeline already built.

Blomberg relates that Jakarta-based analyst at Macquarie
Securities Adam Worthington said that investors will now be
encouraged that all facilities are in place and the customers
are also dying to get the gas.

The project will supply natural gas from fields operated by
ConocoPhillips and PT Pertamina to Cilegon and Muara Bekasi in
the western part of Java, Bloomberg points out.

The government is encouraging a shift to gas to reduce
consumption of more expensive oil products in power stations and
manufacturing plants, the news agency adds.

                      About Perusahaan Gas

Headquartered in Jakarta, Indonesia, PT Perusahaan Gas Negara
(Persero) Tbk -- http://www.pgn.co.id/-- is a gas and energy  
company that is comprised of two core businesses: distribution
and transmission.  For distribution, PGN signs long-term supply
agreements with upstream operators, which give the company
scheduled and reliable gas volumes and fixed gas prices.  These
volumes are subsequently sold to commercial and industrial
customers under gas sales agreements.  Under these agreements,
sales volumes are take-or-pay and the gas pricing is fixed and
in US dollar.  On the transmission business, PGN ships gas on
behalf of the upstream suppliers under a fixed US dollar tariff
with ship-or-pay volumes agreements.   The company is 59.4%
owned by the Government of Indonesia.

The Troubled Company Reporter - Asia Pacific reported on
Jan. 18, 2007, that Moody's Investors Service has affirmed the
Ba2 corporate family rating of PT Perusahaan Gas Negara
(Persero) Tbk.  At the same time, Moody's has affirmed the Ba3
debt ratings of PGN Euro Finance 2003 Ltd, which is guaranteed
by PGN.  The ratings outlook is stable.  This affirmation
followed the recent announcement of a delay in the South
Sumatera West Java gas commercialization.

The TCR-AP reported on Dec. 21, 2006, that Standard & Poor's
Ratings Services revised the outlook on Perusahaan Gas to
positive from stable.  The ratings on the company are affirmed
at 'B+'.

On June 28, 2006, the TCR-AP stated that Fitch Ratings Agency
assigned these ratings to PT Perusahaan Gas Negara Tbk:

   -- Long-term foreign currency Issuer Default Rating 'BB-';

   -- Long-term local currency IDR 'BB-'; and

   -- PGN Euro Finance 2003 Limited's IDR1.12-trillion notes due
      2014 and IDR1.35-trillion notes due 2013 guaranteed by PGN
      and its subsidiaries 'BB-'.


TELKOM INDONESIA: Signs Cooperation Agreement with Flexi Handset
----------------------------------------------------------------
Taken place in Jayakarta Hotel, Jl. Ir. H. Djuanda Bandung, PT
Telekomunikasi Indonesia and its working partners, the CDMA
2000-1X Handset Terminal Provider signed a cooperation agreement
for Flexi's Bundling Terminal Program.

In the occasion, Vice President of Public and Marketing
Communication of TELKOM, Muhammad Awaluddin said that Flexi
today is the market leader for Fixed Wireless Service with the
widest coverage area.  It may enable the increasing of
interFlexi's call especially when it is added by the presence of
Flexi Combo's feature.  In order to support the situation, Flexi
also conducted a SurePrice's Promotion Program, a special price
for interFlexi's call.  So, there will be no reason for people
not to make Flexi as the main choice in fulfilling their
communication's need.

Through the cooperation between TELKOM and its CDMA 2000-1X-
handset terminal providing partners, customers may receive a
special package with special price including bonus for rate and
SMS.  Awaluddin said that by the time people own the intended
handset and become Flexi's customers, TELKOM will help their
communication cost through the given bonus so that costumer's
cost will be lessened.

Meanwhile, in order to fulfill people's need over various
handset types, TELKOM cooperates with several CDMA terminal-
providing partners through their distributors.  Some of the
partners who had signed the cooperation agreement in 2006 are
Nokia and Motorola.  At the moment, in order to add the
customer's alternative choice over Flexi bundling terminal
through a relatively lower price, TELKOM conducted cooperation
with several CDMA-1X handset terminal providing partners such as
Motorola, Haier, and LG which own today's cheapest sales price
starting from IDR469.000,00.

           About the Flexi's Bundling Terminal Partners

Nokia is the market leader of the CDMA handset provider in
Indonesia with over than 80% of market share.  Cooperation
between Flexi and Nokia have been holding since 2005 up till
now.  Cooperating with Flexi, Nokia have launched various types
of CMDA handset.  The last types in bundling program with Flexi
were Nokia 6275i, 2865 and 1255.  The handset types of 6275i and
2865 had complete features, which may fulfill needs of the
middle class customers.  Meanwhile, type of 1255 was relatively
cheaper and only had basic features.  The cheapest price for
Nokia handset terminal was owned by type of 1255, IDR595.000,00
of each.

Motorola is the second biggest CDMA handset provider in
Indonesia which have four types of handset such as:

   * W150i
   * W170
   * W200, and
   * W210

All of them are single-band types.  It is supported by an after
sales support from a well-experienced company in after sales
services and spreads in big cities of Indonesia.  The price of
W150i is the cheapest price for Motorola handset terminal,
IDR469.000 of each.

Haier CDMA Mobiles is the second biggest CDMA handset provider
in India.  It is also one of the 100 top world brands.  The
available handset consists of two terminals: D1000 and D1600.
They are supported by easy user menus including Indonesian
language availability.  It is supported by an after sales
support from a well-experienced company in after sales services
and spreads in big cities of Indonesia.  It is also become
significant that the price might consider the consumption level
of Indonesian customers.  Considering that all the customers in
DKI, West Java, and Banten ought to operate dual band-type
terminal, Haier handset become a good choice for the customers
who prefer the cheaper ones.  It also enables customers to use
"Combo" in 800 MHz-frequency area.  The cheapest price for Haier
handset terminal is owned by both D1000 and D1600.  It is
IDR499.000 for each of them.

LG is the third biggest CDMA handset provider in Indonesia.  LG
offers CDMA handset type, LG25750 with a quiet cheap price.
LG2750 is supported by user-friendly menu and dual language both
Indonesian and English.  In addition, LG 2750 also has speaker's
feature and LMS.  The price of LG2750 is IDR.550.000 of each.

Having through handset bundling terminal programs, Flexi's sales
target in 2007 is 500.000 SSF.

TELKOM will keep cooperating with its working partners, the CDMA
2000-1X Handset Terminal Provider -- especially the low-cost
handset provider in bundling program -- so that Flexi's
prospective customer needs may always be fulfilled.  In the
bundling program, TELKOM will continuously deliver many bonuses
such as rate, SMS and other various Flexi's features.  Having
through handset bundling terminal program, Flexi's sales target
in 2007 become 1.5 million SSF at least.

Meanwhile, PT Telekomunikasi Indonesia Divisi Regional III West
Java and Banten as being represented by the Deputy Executive
General Manager, ELvizar KH also had signed a cooperation
agreement with TELKOM's business partner, CISCO as the provider
of computer equipment.  As being stated by ELvizar, this
cooperation is aimed to help TELKOM in overcoming a solution
both for customer who want to use Speedy service and rapidity of
Speedy's marketing program in West Java and Banten.

                     About Telkom Indonesia

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
Jan. 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
andlocal currency corporate credit ratings of BB+.


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

DELPHI CORP: Closing Manufacturing Facility in Spain
----------------------------------------------------
Delphi Corp. is planning to shut down a Cadiz, Spain facility,
which manufactures steering mechanisms, Jeff Bennett of
Bloomberg News reports.  The company employs approximately
1,570 employees.

Due to high operating costs, the Cadiz Facility has incurred
losses aggregating US$196,000,000 in the last five years, the
Associated Press relates in a separate news report.

Delphi did not disclose the date of the planned closure.  The
company, however, has informed the Facility's labor unions of
the imminent closure, Delphi spokeswoman Cheryl Kilborn told
Bloomberg.  Among the labor unions representing Cadiz Facility
workers are the Confederacion Sindical de Comisiones Obreras and
the Union General de Trabajadores.

The Facility is not part of Delphi's proposal to sell its
steering division to Platinum Equity Holdings LLC.

The contemplated plant closure will not only affect the
Facility's workers, but will also indirectly affect 4,000
related jobs, Jose Barriga, a UGT union official, noted in a
press statement.  UGT is set to hold a strike tomorrow, March 1.

                    About Delphi Corporation

Troy, Mich.-based Delphi Corporation -- http://www.delphi.com/
-- is the single largest global supplier of vehicle electronics,
transportation components, integrated systems and modules, and
other electronic technology.  The company's technology and
products are present in more than 75 million vehicles on the
road worldwide.  Delphi has regional headquarters in Japan,
Brazil and France.

The Company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors.  As of
Aug. 31, 2005, the Debtors' balance sheet showed
US$17,098,734,530 in total assets and US$22,166,280,476 in total
debts.


FIDELITY NATIONAL: Net Earnings Rise to US$259.1 Million in 2006
----------------------------------------------------------------
Fidelity National information Services Inc. reported net
earnings of US$259.1 million on revenues of US$4.1 billion for
the year ended Dec. 31, 2006, compared with net earnings of
US$196.5 million for the year ended Dec. 31, 2005.

For the fourth quarter ended Dec. 31, 2006, the company reported
net earnings of US$75.1 million on revenues of US$1.1 billion,
compared with net earnings of US$45.5 million on revenues of
US$707.7 million.  

"Fidelity National Information Services reported excellent
fourth quarter results with pro forma revenue growth of 12.5%,
EBITDA growth of 11.0% and adjusted cash earnings of US$0.58 per
diluted share," stated FIS Chairman William P. Foley, II.  

"We are extremely pleased with the outstanding results we
achieved in 2006, which was our first year as a new public
company.  Our strong operating performance provides an excellent
foundation for the continued growth and success of our company."

            Fourth Quarter Pro Forma Segment Information

The company's Transaction Processing Services generated revenue
of US$694.7 million, or 16.1% over the prior-year period, driven
by 55% growth in International, 8.9% growth in Enterprise
Solutions and 8.6% growth in Integrated Financial Solutions.  
The company's new item processing operation in Brazil, new
account wins and deeper penetration of the existing customer
base contributed to the strong revenue growth.

Lender Processing Services revenue increased 7.9% to
US$437.1 million, driven by 10.6% growth in Information
Services, which continues to benefit from strong results within
the default solutions and appraisal product lines.

                     About Fidelity National

Headquartered in Jacksonville, Florida, Fidelity National
Information Services, Inc. --
http://www.fidelityinfoservices.com/-- provides core processing  
for financial institutions; card issuer and transaction
processing services; mortgage loan processing and mortgage-
related information products; and outsourcing services to
financial institutions, retailers, mortgage lenders and real
estate professionals.  FIS has processing and technology
relationships with 35 of the top 50 global banks, including nine
of the top ten.  Nearly 50 percent of all U.S. residential
mortgages are processed using FIS software.  FIS maintains a
strong global presence, serving over 7,800 financial
institutions in more than 60 countries worldwide, including
Brazil and Japan.

                          *     *     *

As reported in the Troubled Company Reporter on Jan. 24, 2007,
Fitch Ratings assigned a senior unsecured rating of 'BB+' for
Fidelity National Information Services' new US$3 billion senior
unsecured credit facilities.  The facilities consist of a US$2.1
billion term loan and a US$900 million revolving credit
facility.  The company used the proceeds to refinance existing
debt.  Fidelity's Issuer Default Rating remains at 'BB+'.  Fitch
said the rating outlook is stable.

Standard & Poor's Ratings Services raised, on March 8, 2006, the
corporate credit and senior secured ratings of Fidelity National
Information Services Inc. to 'BB+' from 'BB', and removed it
from CreditWatch where it was placed on Sept. 15, 2005.


METHANEX CORP: Earns US$482.9 Million in Year Ended December 31
---------------------------------------------------------------
Methanex Corp. reported net income of US$482.9 million for the
year ended Dec. 31, 2006, compared with a net income of
US$165.8 million during the same period in 2005.

For the fourth quarter of 2006, the company recorded a net
income of US$172.4 million.  This compares with a net income of
US$113.2 million for the third quarter of 2006.

Bruce Aitken, President and CEO of Methanex, commented, "We are
very pleased to have produced record earnings and cash flows for
our shareholders during the fourth quarter and fiscal 2006.
Extremely tight market conditions created primarily by outages
at competitor plants led to a very high methanol price
environment in the fourth quarter.  As a result, we achieved an
average realized price of $460 per tonne in Q4 2006, an increase
of $155 per tonne over our realization of US$305 per tonne in
Q3 2006."

Mr. Aitken added, "The high methanol price environment has
continued into the beginning of this year and we believe that an
extended period of high operating rates in 2007 is required to
balance supply and demand.  The Methanex European posted
contract price has been set for the first quarter of 2007 at
EUR420 per tonne (US$545 per tonne at date of settlement), an
increase of EUR20 over the fourth quarter price.  
Our non-discounted posted contract prices for the United States
and Asia for February are US$549 per tonne and US$490 per tonne,
respectively.  Overall, the average posted price across the
three regions is US$528 per tonne in February, compared to an
average posted price of US$558 per tonne in Q4 2006."

"Our global market leadership position proved to be very
effective in 2006.  In a year where methanol shortages occurred,
the strength and flexibility of our global supply chain allowed
us to maintain supply commitments to our customers.  We operated
our flexible Waitara Valley plant in New Zealand which added
much needed supply to the market and generated incremental
profits for our shareholders.  As a result of the continuing
tight market conditions, we expect to secure additional gas to
allow us to operate this facility at least until the end of
2007."

Mr. Aitken concluded, "Our excellent cash generation in the
fourth quarter leaves us in a strong financial position.  With
$355 million cash on hand at the end of the year, a strong
balance sheet and a US$250 million undrawn credit facility, we
are well positioned to meet our financial requirements related
to our potential methanol project in Egypt, pursue new
opportunities to enhance our leadership position in the methanol
industry, investigate opportunities related to new methanol
demand for energy applications and continue to deliver on our
commitment to return excess cash to shareholders."

                Liquidity and Capital Resources

For the year ended Dec. 31, 2006, cash flows from operating
activities before changes in non-cash working capital were
US$623 million compared with US$330 million for the same period
in 2005.  During the year ended Dec. 31, 2006, non-cash working
capital increased by US$154 million.  The increase in non-cash
working capital is primarily a result of the impact of higher
methanol pricing on working capital balances as well as the
impact of higher ending inventory volumes.

For the year ended Dec. 31, 2006, the company repurchased a
total of 8.5 million common shares at an average price of
US$21.91 per share, totaling US$187 million, inclusive of
4.7 million common shares repurchased in 2006 under a normal
course issuer bid that expired May 16, 2006.

                        About Methanex Corp.

Headquartered in Vancouver, British Columbia, Methanex Corp. --
http://www.methanex.com-- is a producer and marketer of  
methanol.  The company has locations in Belgium, Chile, China,
Japan, Trinidad and the United Kingdom, among others.

In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its Ba1 Corporate Family Rating for
Methanex Corp.

Moody's also affirmed its probability-of-default ratings and
assigned loss-given-default ratings to these two bond issues:
                                          
                                          Projected
                        POD      LGD      Loss-Given
   Debt Issue           Rating   Rating   Default
   ----------           -------  -------  ----------
   US$200 million
   8.75%
   Sr Unsec Notes
   due 2012             Ba1      LGD4     56%

   US$150 million
   6.00%
   Sr Unsec Notes
   due 2015             Ba1      LGD4     56%


MITSUBISHI MOTORS: Announces Sales & Export Results for January
---------------------------------------------------------------
Mitsubishi Motors Corporation announced global production, as
well as domestic sales and export results for January 2007.

Total global production came in at 107,772 units, 101% of last
year's figure.  Japanese production increased 14.1% year-on-year
to 63,413 units, marking the fourth consecutive month of year-
on-year growth.  Adding to U.S. Outlander and European
Outlander, production of Chinese Outlander started from
December 2006.  Demand of new Pajero models have increased in
Europe.  Also production of new Delica D:5 model for Japanese
market launched this month.  All these factors contributed to
increase production volume in Japan.

Total vehicle sales in Japan totaled 15,522 units, an 11.8%
decline from the January 2006 total.  Registered vehicles
charted sales of 4,751 units, 64.3% of the year-ago figure.
Mini-car sales continued year-on-year growth increasing to
10,771 units, 105.5% of the total for January 2006.  Total sales
for passenger cars were 89.5% percent year-on-year to 11,868
units, and commercial vehicle sales were 3,654 units, 84.3% of
the same period last year.

Overseas production reached 44,359 units, 86.7% of the year-ago
figure.  European production came in at 5,691 units or
101.9% of last year's figure.  North American production reached
7,724 units, an 18.7% rise year-on-year due to an increase in
production of the Galant export model for Russia and Middle East
countries.  Asian production totaled 27, 296 units, a 24.0%
decline from January 2006's levels, representing continued
weakness in Asian markets such as Malaysia and Taiwan, where the
economies are in long-term stagnation.

Total exports from Japan increased to 42,186 units, 142.4% of
the year-ago level, marking the third consecutive month of year-
on-year volume increase.  Exports to Europe increased to
14,466 units, 141.0% of the level seen last year due to
favorable demand of new Pajero and new Outlander models.
Exports to Asia came to 2,030 units, 5.2% increase over the
last-year period due to good sales of Lancer models in the
Singapore market.  Exports to North America rose to 7,980 units,
274.1% higher than the January 2006 levels, because of the
full-scale production of the Outlander export model for the
North American market at the Okazaki plant.

                     About Mitsubishi Motors

Headquartered in Tokyo, Japan, Mitsubishi Motors Corporation --
http://www.mitsubishi-motors.co.jp/-- is one of the few  
automobile companies in the world that produces a full line of
automotive products ranging from 660-cc mini cars and passenger
cars to commercial vehicles and heavy-duty trucks and buses.

The company also operates consumer-financing services and
provides this to its customer base.  MMC adopted the "Mitsubishi
Motors Revitalization Plan" on Jan. 28, 2005, as its three-
year business plan covering fiscal 2005 through 2007, after
investor DaimlerChrysler backed out from the company.  The main
objectives of the plan are "Regaining Trust" and "Business
Revitalization."

The company has operations worldwide, covering the United
States, Germany, the United Kingdom, Italy, the Netherlands, the
Philippines, Indonesia, Malaysia, China and Australia.  Its
products are sold in over 170 countries.

                          *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
Sept. 29, 2006, Standard & Poor's Ratings Services raised its
long-term  corporate credit and senior unsecured debt ratings on
Mitsubishi Motors Corp. to B- from CCC+, reflecting progress in
the company's revitalization efforts and reduced downside risks
in its earnings and financial profile.  S&P said the outlook on
the long-term rating is stable.

As reported by the Troubled Company Reporter - Asia Pacific on
Aug. 4, 2006, Rating & Investment Information Inc. has
upgraded its issuer rating on Mitsubishi Motors Corp. from CCC+
to B with a stable outlook and its commercial paper rating from
c to b, and has removed the rating from its monitor at the same
time.

As reported by the Troubled Company Reporter - Asia Pacific on
July 19, 2006, Japan Credit Rating Agency, Ltd. upgraded the
rating of Mitsubishi Motors Corp.'s senior debts to BB- from B-,
with a stable outlook.  The agency also affirmed the NJ rating
on CP program of the company, while upgrading its rating on the
Euro Medium Term Note Program of MMC and subsidiaries Mitsubishi
Motors Credit of America, Inc. and MMC International Finance
(Netherlands) B.V. to B+ from CCC.


NIKKO CORDIAL: Will File Damages Suit Against 3 Former Execs  
------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
Feb. 27, 2006, that Nikko Cordial Corp. was considering filing a
legal action against and seek a total of JPY3 billion in damages
from three former senior executives -- Nikko Cordial President
Junichi Arimura; former chairman of Nikko Principal Investments
Japan Ltd., Hirofumi Hirano; and former executive managing
director of Nikko Cordial Securities Inc., Hajime Yamamoto --
for their involvement in the accounting scandal surrounding the
company.

The TCR-AP reported cited The Japan Times as saying that Nikko
Cordial has yet to officially announce its intention to seek
damages.

In an update, Reuters says that Nikko Cordial has finalized its
decision to file a damages suit against the three former
executives, seeking JPY3.1 billion (US$25.7 million) in
compensation.

According to Reuters, Nikko said that the sought compensation
covers JPY1.4 billion (US$11.6 million) in losses the company
suffered, as well as the fine imposed by the Japanese financial
authorities, and expenses for auditors, an in-house
investigation and attorney fees.  Expenses of JPY1.7 billion
(US$14.1 million) or more, are also expected, in part for
advertisement and letters apologizing to its shareholders, Nikko
said.

The Japan Times relates that the decision to file the action was
arrived at by an in-house investigation team that Nikko Cordial
set up earlier in February to look into the executives'
responsibility for the fraud.

Led by Nikko Cordial President Shoji Kuwashima, the
investigation team said that it will not file a criminal
complaint against the former executives due to a lack of
evidence, The Times says.

Moreover, Nikko is asking former chairman Masashi Kaneko to
offer his private assets worth JPY300 million (US$2.5 million)
because he shares the blame, being the head of the firm, The
Times.  

Nikko also plans to ask seven former or current senior
executives to return a portion of their salaries for the 2005
and 2006 business years.

                       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.

The Troubled Company Reporter - Asia Pacific reported on
Feb. 13, 2007, that Fitch Ratings has downgraded Nikko Cordial
Corporation's Long- term foreign and local currency Issuer
Default ratings to 'BBB-' from 'BBB', the Short-term foreign and
local currency IDRs to 'F3' from 'F2', and the Individual rating
to 'C/D' from 'C'.

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


NIKKO CORDIAL: Moody's Comments on Possible Delisting from TSE
--------------------------------------------------------------
Moody's commented on recent developments in connection with the
potential delisting of Nikko Cordial Corporation from the Tokyo
Stock Exchange.  The rating agency confirmed that the Baa3
issuer rating of Nikko Cordial Corporation and the Baa2/ P-2
long and short term ratings of Nikko Cordial Securities are
still under review for downgrade and it is monitoring
developments.  Moody's understands from discussions with the
management of NCC that the firm's retail business is holding up
reasonably well despite recent events, however the rating agency
believes that continued uncertainty over the future of the firm
can only have a negative impact on business going forwards.  
Nevertheless, given the large portfolio of liquid assets held by
the firm, Moody's considers that the firm is in a position to be
able to meet liabilities coming due, absent any major negative
developments.

A delisting, without any strong support from an outside bank,
could lead to a further downgrade of the firm's ratings.  
However, even if delisted, the firm can continue its current
business activities, and so Moody's main concern would be that
over the medium term the firm fails to regain full market and
customer confidence and faces a gradual attrition of retail
clients and higher funding costs which affect medium-term
profitability.  Therefore Moody's does not consider it likely
that the Nikko Group will face multi-notch downgrades upfront,
but the scale and speed of any downgrades would depend on how
NCC manages a potential delisting and how effective it is at
countering the negative impact from such a delisting.  
Ultimately Moody's considers that the smoothest way for NCC to
regain market confidence is for a significant tie-up with a
large bank, and such a tie-up is likely to have a positive
effect on ratings, depending on the rating of the bank concerned
and the level of the shareholding.

Moody's also affirmed the Aa2/ P-1 long and short-term ratings
of Nikko Citigroup.  The rating agency noted that some of the
firm's business activities have also been impacted, due to its
association with NCC.  However, the high ratings assigned to the
firm are driven by expected support from Citigroup, and we still
believe that support from its ultimate parent, Citigroup, is
extremely strong.  The rating agency will continue to monitor
any long-term negative impact on the franchise of Nikko
Citigroup resulting from the problems at NCC, but given the many
different possible developments over the next 4 - 6 weeks until
the decision on the delisting and the implementation of a
potential delisting take place, it is too early to assess the
impact on Nikko Citigroup's creditworthiness.

                     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.

The Troubled Company Reporter - Asia Pacific reported on
Feb. 13, 2007, that Fitch Ratings has downgraded Nikko Cordial
Corporation's Long- term foreign and local currency Issuer
Default ratings to 'BBB-' from 'BBB', the Short-term foreign and
local currency IDRs to 'F3' from 'F2', and the Individual rating
to 'C/D' from 'C'.

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


NORTHWEST AIRLINES: Committee Against Equity Panel Appointment
--------------------------------------------------------------
The Official Committee of Unsecured Creditors of Northwest
Airlines Corp. and its debtor-affiliates says that the
appointment of an equity committee in the Debtors' cases is
unwarranted.

The Official Creditors Committee points out there will not be a
distribution to equity under any confirmable plan of
reorganization in the case.  Considering the track record of
other recent major airline bankruptcies like US Airways I and
II, United Airlines, and ATA Airlines, this is not surprising,
the Official Creditors Committee says.

The Official Creditors Committee also notes that a disclosure
statement was recently approved in the Delta Air Lines
bankruptcy case, which, like the Debtors' proposed Plan of
Reorganization, provides that creditors will receive equity --
valued at less than the full amount of the claims -- in exchange
for their claims, and that existing equity holders will not
receive any distribution.

The appointment of an official equity committee would only
create unnecessary and substantial costs for the estates and
distract the Debtors, the creditor constituents, and their
professionals from focusing on confirming the Reorganization
Plan and emerging from bankruptcy, Scott L. Hazan, Esq., at
Otterbourg, Steindler, Houston & Rosen, P.C., in New York,
argues.

"There is nothing that an official equity committee can add to
this case that the Ad Hoc Committee itself is not capable of
contributing," according to Mr. Hazan.

Mr. Hazan explains that the Ad Hoc Committee is comprised of
institutions that collectively manage billions of dollars in
assets and has retained experienced bankruptcy counsel and
financial advisors.

"There is no reason to believe that the Ad Hoc Committee will
not continue to pursue any possible value (to the extent that
they reasonably believe that it actually exits) for a return on
their individual equity investments, and by extension, protect
the interests of all equity holders," Mr. Hazan tells
Judge Gropper.

Douglas A. Fordyce, managing director at Lazard Freres & Co.
LLC, financial advisor to the Official Creditors Committee,
relates that the Ad Hoc Committee utilizes a JPMorgan analyst
report dated Nov. 16, 2006, in support of its allegation that
the Debtors have an equity value of approximately
US$10,500,000,000.  The Ad Hoc Committee arrived at the
valuation only by adjusting the assumed jet fuel price utilized
in the JPMorgan Report down from US$1.95 per gallon to the then
current trading price of jet fuel -- US$1.70 per gallon, which
corresponds to a crude oil price of approximately US$55 per
barrel.

In estimating Northwest's profitability for 2007, Mr. Fordyce
says the JPMorgan Report assumed a jet fuel cost of US$1.95 per
gallon or approximately US$63 per barrel for crude oil, which
estimate is generally consistent with the fuel projections
contained in the Debtors' Business Plan of US$1.92 per gallon.  
The JPMorgan report also forecasted the Debtors' 2007 EBITDAR to
be US$2,332,000,000 -- which is very close to the Debtors'
projected 2007 EBITDAR of US$2,305,000,000.

The JPMorgan Report then applied a 6.5x - 7.0x multiple to
calculate an adjusted enterprise value, subtracted net adjusted
debt from that value and arrived at a total equity value of
US$8,056,000,000 to US$9,222,000,000.

However, Mr. Fordyce points out, the 6.5x - 7.0x multiple
utilized in the JPMorgan analysis was based on what JPMorgan
assumed to be the multiple implied by a Delta/US Airways merger
transaction.  As US Airways has withdrawn its offer for Delta,
the multiples used in the JPMorgan Report, whether appropriate
then or not, are no longer valid, and a lower multiple -- based
on the current trading levels of the Debtors' major airline
peers -- must be applied to arrive at a reasonable valuation,
Mr. Fordyce explains.

Mr. Fordyce also notes that the fuel price utilized by the
Ad Hoc Committee occurred during a "dip" in the fuel market.  
Since that time, crude oil has risen back to approximately $59
per barrel on the spot market and US$61 to 64 on the "forward
fuel curve" - the market's expectation of the price of oil in
the future and where an airline could lock-in the costs.

Mr. Fordyce relates that the price of fuel in the airline
industry over the last several years has been closely correlated
with unit revenue per seat mile.  As fuel expense has become a
much larger component of total operating costs, airlines have
attempted to "pass through" the cost to passengers in the form
of higher ticket prices.  In addition, at higher fuel prices,
routes served with older, less fuel-efficient aircraft become
less profitable or even unprofitable and marginal routes -- even
flown with new aircraft -- can become unprofitable, leading to a
curtailing of service and a general reduction in capacity.  
With tighter capacity, unit revenue tends to rise as the supply
and demand of seats comes into greater balance.

The Ad Hoc Committee's "forecast" attempts to utilize a
significant decrease in the price of fuel without any
corresponding decrease in revenue, Mr. Fordyce tells the Court.

"That is bad forecasting," Mr. Fordyce says.

Any sustained reduction in the cost of jet fuel in the magnitude
projected by the Ad Hoc Committee, Mr. Fordyce explains, would
almost certainly cause a corresponding decrease in the Debtors'
revenues, as airlines passed through reduced costs to consumers
and additional aircraft were brought back into service, further
increasing capacity and reducing unit revenues.  Any prolonged
decrease in fuel would bring with it a decrease in unit
revenues, which must be considered in order to properly value
the Debtors' business.

Mr. Hazan also tells Judge Gropper that the Disclosure Statement
explaining the Debtors' Plan projects an equity valuation for
the Debtors of between US$6,450,000,000 and US$7,550,000,000 --
with a midpoint of US$7,000,000,000 -- with an estimated claims
universe of between US$8,750,000,000 and $9,500,000,000.  
Based on the estimates, the Disclosure Statement projects a
distribution to creditors of between 66% and 83% on the
principal of their claims, before consideration of any accrued
interest to unsecured creditors.

The Ad Hoc Committee has not and will not be able to present any
credible evidence to suggest that either the valuation or claims
estimates contained in the Disclosure Statement are materially
inaccurate, Mr. Hazan contends.

"The Motion is nothing more than a transparent attempt by
speculators in the Debtors' equity to force the estates to pay
the costs of their fruitless pursuits," Mr. Hazan says.

                 About Northwest Airlines

Northwest Airlines Corp. (OTC: NWACQ) -- http://www.nwa.com/--
is the world's fourth largest airline with hubs at Detroit,
Minneapolis/St. Paul, Memphis, Tokyo and Amsterdam, and
approximately 1,400 daily departures.  Northwest is a member of
SkyTeam, an airline alliance that offers customers one of the
world's most extensive global networks.  Northwest and its
travel partners serve more than 900 cities in excess of 160
countries on six continents.  The company and 12 affiliates
filed for chapter 11 protection on Sept. 14, 2005 (Bankr.
S.D.N.Y. Lead Case No. 05-17930).  Bruce R. Zirinsky, Esq., and
Gregory M. Petrick, Esq., at Cadwalader, Wickersham & Taft LLP
in New York, and Mark C. Ellenberg, Esq., at Cadwalader,
Wickersham & Taft LLP in Washington represent the Debtors in
their restructuring efforts.  The Official Committee of
Unsecured Creditors has retained Akin Gump Strauss Hauer & Feld
LLP as its bankruptcy counsel in the Debtors' chapter 11 cases.  
When the Debtors filed for protection from their creditors, they
listed US$14.4 billion in total assets and US$17.9 billion in
total debts.  On Feb. 15, 2007, the Debtors filed an Amended
Plan & Disclosure Statement.  The hearing to consider the
adequacy of the Disclosure Statement has been scheduled for
March 26, 2007.  (Northwest Airlines Bankruptcy News, Issue No.
57; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


NORTHWEST AIRLINES: Wants Court Approval on JP Morgan Pact
----------------------------------------------------------
Northwest Airlines Corp. and its debtor-affiliates intend to
offer certain eligible unsecured creditors the right to
subscribe for new common stock to raise up to US$637,500,000 in
equity capital.

J.P. Morgan Securities Inc., has agreed to purchase any shares
not subscribed to by the eligible creditors, ensuring that the
Debtors will receive the full anticipated proceeds, Gregory M.
Petrick, Esq., at Cadwalader, Wickersham & Taft, LLP, in New
York, relates.

In addition, JPMorgan will purchase directly 4,166,667 shares of
new common stock for US$112,500,000 in the aggregate.

Thus, the new capital to be raised through the Rights Offering
-- including the backstop commitment -- and the JPMorgan direct
purchase total US$750,000,000.

The Debtors believe that the transactions represent the
opportunity for a US$750,000,000 new equity investment in the
Debtors in market conditions that are currently favorable on the
best terms available, and will promote the Debtors' successful
emergence from these Chapter 11 cases.

The Debtors' Amended Plan of Reorganization proposes that
holders of all other allowed unsecured claims against Northwest
Airlines Corp., Northwest Airlines Holdings Corp., NWA Inc., and
Northwest Airlines, Inc. -- the Consolidated Debtors -- will
receive shares of new common stock of NWA Corp. and the right to
purchase additional shares of new common stock of the
reorganized Debtors under the Rights Offering in satisfaction of
their claims.

Mr. Petrick says the Debtors' business plan contemplated a
recapitalization of the Debtors through new equity investment.
The equity capital will be deployed for general corporate
purposes; and, in particular, to help finance the modernization
of the Debtors' fleet through the acquisition of new, fuel-
efficient aircraft, appropriately sized to provide efficient
service in various domestic and international markets.

Commencing in December 2006, the Debtors interviewed more than
30 financial institutions in connection with a potential rights
offering to be provided to the its creditors, presenting to
numerous potential equity investors with respect to an
additional private equity investment in the Debtors.

After careful review, the Debtors determined that the proposal
submitted by JPMorgan was the most favorable.  On Feb.12, 2007,
the proposal was approved by the Board of Directors of
NWA Corp.

The Official Committee of Unsecured Creditors was closely
involved in the Debtors' processes to raise new equity, and
fully supports the transactions, Mr. Petrick tells the Court.

As an integral part of the parties' Equity Commitment Agreement
dated Feb. 12, 2007, JPMorgan will enter into a syndication
agreement with certain investors who will purchase certain of
the shares being sold to JPMorgan under the ECA either from
JPMorgan or directly from NWA Corp.

The syndicate will not include any person or entity that is a
competitor of the Debtors.

Certain holders of allowed unsecured claims, as of the record
date fixed by the Court for the determination of eligibility to
vote on the Plan, will be offered the opportunity to purchase up
to their pro rata share of 23,611,111 shares of new common stock
of NWA Corp., subject to reduction, at US$27 per share.

Furthermore, in the event that eligible unsecured creditors
receiving subscription rights decline to exercise those rights
-- or fail to do so in a manner that complies with the Plan --
the remaining rights will be allocated to those eligible
unsecured creditors wishing to subscribe for up to two times
their original subscription rights, pro rata, until all over
subscription requests have been filled, subject to the
availability of additional shares.

JPMorgan will purchase any unsubscribed shares on the closing of
the Rights Offering at US$27 per share.

The Rights Offering including any backstop purchase, together
with JPMorgan's purchase of additional shares, will represent a
sale of 10.2% of the equity of the Reorganized Debtors.

The Debtors have agreed to enter into a registration rights
agreement, which will provide that all shares of new common
stock acquired pursuant to the ECA will constitute "registrable
securities," and will provide for the parties to complete
necessary requirements for the registration.

The Debtors reserve the right under the ECA to sell up to
US$150,000,000 of new common stock of NWA Corp. to one or more
potential investors on a list that has been provided to
JPMorgan.

In consideration for the Underwriting Commitment and to
compensate JPMorgan for undertaking the risk in entering into
the ECA; and, after substantial arm's-length negotiations among
the Debtors, JPMorgan and the Syndicate Members, the Debtors
will pay:

   (a) to JPMorgan, a fee of 2.75% of the potential investment,
       or US$20,625,000;

   (b) two additional fees of 0.25% each of the anticipated
       proceeds may be due if the expiration of the subscription
       period is extended beyond May 15 or June 1, 2007;

   (c) the out-of-pocket expenses reasonably incurred by
       JPMorgan with respect to the Rights Offering; and

   (d) reasonable fees and expenses of specified counsel and
       other professionals retained by JPMorgan and the
       Syndicate Members.

The parties also agreed to certain indemnification provisions.

By this motion, the Debtors seek the U.S. Bankruptcy Court for
the Southern District of New York's authority to enter into and
perform under the ECA, including entry into the Registration
Rights Agreement.  The Debtors also seek permission to pay the
related fees and expenses.

The Debtors also ask the Court to approve the related
Syndication Agreement, and authorize them to file the
Syndication Agreement in redacted form to protect certain
proprietary, sensitive or otherwise confidential information.

A full-text copy of the Equity Commitment Agreement is available
at no charge at http://ResearchArchives.com/t/s?1a5d

A full-text copy of the redacted form of the Syndication
Agreement is available at no charge at:

           http://ResearchArchives.com/t/s?1a5e

                    About Northwest Airlines

Northwest Airlines Corp. (OTC: NWACQ) -- http://www.nwa.com/--   
is the world's fourth largest airline with hubs at Detroit,
Minneapolis/St. Paul, Memphis, Tokyo and Amsterdam, and
approximately 1,400 daily departures.  Northwest is a member of
SkyTeam, an airline alliance that offers customers one of the
world's most extensive global networks.  Northwest and its
travel partners serve more than 900 cities in excess of 160
countries on six continents.  The company and 12 affiliates
filed for chapter 11 protection on Sept. 14, 2005 (Bankr.
S.D.N.Y. Lead Case No. 05-17930).  Bruce R. Zirinsky, Esq., and
Gregory M. Petrick, Esq., at Cadwalader, Wickersham & Taft LLP
in New York, and Mark C. Ellenberg, Esq., at Cadwalader,
Wickersham & Taft LLP in Washington represent the Debtors in
their restructuring efforts.

The Official Committee of Unsecured Creditors has retained Akin
Gump Strauss Hauer & Feld LLP as its bankruptcy counsel in the
Debtors' chapter 11 cases.  When the Debtors filed for
protection from their creditors, they listed US$14.4 billion in
total assets and US$17.9 billion in total debts.  On Feb. 15,
2007, the Debtors filed an Amended Plan & Disclosure Statement.  
The hearing to consider the adequacy of the Disclosure Statement
has been scheduled for March 26, 2007.  (Northwest Airlines
Bankruptcy News, Issue No. 57; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000)


SANYO ELECTRIC: May Revise Inaccurate Financial Reports
-------------------------------------------------------
Sanyo Electric Co. may revise its unconsolidated earnings
reports from fiscal 2000 to 2003 before it receives an order to
do so from the financial authorities, The Japan Times reports.

According Agence France Presse, Sanyo Electric announced that it
may correct its past earnings reports after allegations of
accounting irregularities.

As reported in the Troubled Company Reporter - Asia Pacific
reported on Feb. 26, 2007, the Securities and Exchange
Surveillance Commission commenced an investigation on whether
Sanyo Electric failed to fully disclose its losses.

The TCR-AP report, citing AFX News Limited, explained that Sanyo
allegedly underestimated valuation losses on its holdings in
struggling subsidiaries and affiliates in reporting earnings for
fiscal 2003.  The TCR-AP stated that Sanyo Electric had written
off losses of JPY190 billion (US$1.6 billion) at its
subsidiaries, but reported the losses as JPY50 billion (US$412
million), and that the company may have falsely reported a
profit when it was in the red.

"The board members agreed to consider the revision and
correction.  But it's not a final decision yet, and we don't
know when the correction will be released," AFP quotes a
spokesman for Sanyo Electric.

                     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 Niigata, central
Japan in October 2004.  Operating losses in the unit mounted to
JPY17.7 billion in the year to March 2005 and JPY35.1 billion
the following year.

An investigation was launched by Japan's Securities and Exchange
Commission on Sanyo's financial accounts for the year to March
2004.  The probe, media reports say, is a blow to Sanyo at a
time when it has been struggling to turn around its business,
trimming thousands of jobs, reducing factory space and dropping
some businesses since announcing a restructuring plan in 2004.

The company got a much-needed capital boost in January 2006 from
a group of investors led by Goldman Sachs Group Inc., which
became the company's top shareholders and took over the board,
putting new management in place.

                         *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Feb. 27, 2007, that Fitch Ratings has placed Sanyo Electric Co.,
Ltd.'s 'BB+' Long-term foreign and local currency Issuer Default
and senior unsecured ratings on Rating Watch Negative.  The TCR-
AP stated that the rating action was triggered by the ongoing
investigation into Sanyo by Japan's Securities and Exchange
Surveillance Commission.

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
=========

ARROW ELECTRONICS: Earns US$388 Million for Full Year 2006
----------------------------------------------------------
Arrow Electronics Inc. released its financial results for the
fourth quarter and full year ended Dec. 31, 2006.

Arrow Electronics posted US$388.33 million in net profit on
US$13.58 billion in net revenues for the year ended Dec. 31,
2006, compared with US$253.61 million in net profit on
US$11.16 billion in net revenues for 2005.

Arrow Electronics posted US$128.07 million in net profit on
US$3.49 billion in net revenues for the fourth quarter ended
Dec. 31, 2006, compared with US$74.45 million in net profit on
US$2.96 billion in net revenues for the same period in 2005.

As of Dec. 31, 2006, Arrow Electronics had US$6.67 billion in
total assets, US$3.67 billion in total liabilities and
US$3 billion in total shareholders' equity.

"We ended an exceptional year with another very strong quarter,
again posting impressive financial results and industry-leading
levels of profitability," William E. Mitchell, chairman,
president and chief executive of Arrow Electronics, said.  
"Sales and operating income grew to their highest fourth quarter
levels since 2000.  Outstanding working capital management drove
operating cash flow of US$288 million with return on invested
capital greater than our cost of capital for the 12th
consecutive quarter."

"We saw sales at record levels in 2006 with market share gains
in all of our businesses," Mr. Mitchell added.  "Our continued
pursuit of operational excellence enabled us to grow earnings at
a faster pace than sales for the fourth consecutive year.  We
achieved our highest return on working capital since 2000 and
generated a return on invested capital in excess of our cost of
capital for the third consecutive year.  In the past four years
annual net income, excluding items impacting comparability, has
advanced from US$15 million to US$362 million, earnings per
share have grown at a compound annual growth rate of 110%, our
return on invested capital has more than tripled and cash flow
from operations has totaled over US$1 billion, all while
investing in growing our business.  We continue to create value
for our shareholders, employees, customers and suppliers."

                    About Arrow Electronics

Headquartered in Melville, New York, Arrow Electronics --
http://www.arrow.com/-- provides products, services and  
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.  In Asia Pacific, the
company operates in Australia, China, Hong Kong, India,
Malaysia, New Zealand, Philippines, Singapore, Taiwan, Thailand
and Korea.

                          *     *     *

Arrow Electronics carries Fitch's 'BB+' issuer default rating.  
The Company's senior unsecured notes and senior unsecured bank
credit facility also carry Fitch's 'BB+' rating.   The rating
outlook is positive.


DAEGU BANK: Records Lowest SBL Ratio Among Regional Banks
---------------------------------------------------------
Data from the Financial Supervisory Service show that Daegu
Bank, along with Kyongnam Bank, has the lowest Substandard Bank
Loan -- SBL -- ratio among regional banks at the end of 2006.

Both banks posted a 0.73% SBL ratio.  Kyongnam Bank had total
loans of KRW10.90 trillion, of which KRW0.08 trillion are
considered substandard, while Daegu Bank had KRW0.10 trillion
substandard bank loans on total loans of KRW14.20 trillion.

The FSS release contains these information on regional banks'
total loans, substandard bank loans, and SBL ratio (in KRW,
trillions and percent):

                      2005                      2006
             ---------------------     ---------------------
             Total            SBL      Total            SBL
             Loans    SBL    Ratio     Loans    SBL    Ratio
             -----   -----   -----     -----   -----   -----
   Daegu     12.20    0.12    0.97     14.20    0.10    0.73
   Busan     12.50    0.12    0.94     15.30    0.13    0.83
   Kwangju    6.90    0.10    1.46      8.40    0.08    0.98
   Jeju       1.40    0.02    1.42      1.80    0.02    0.96
   Jeonbuk    3.10    0.04    1.29      3.50    0.03    0.84
   Kyongnam   8.60    0.09    1.06     10.90    0.08    0.73

Daegu Bank -- http://www.dgb.co.kr/index.jsp-- provides various  
services such as commercial banking, foreign exchange,
certificate of deposits, securities trading, and trust accounts.  
The bank operates its business primarily in Daegu area.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Apr. 24, 2006, that Fitch Ratings has upgraded Korea-based Daegu
Bank's Individual rating to "B/C" from "C".  At the same time,
the agency also affirmed the bank's Support rating of "2".

Moody's Investors Service gave Daegu Bank a 'D' Bank Financial
Strength Rating effective on March 30, 2006.


DAEGU BANK: BIS Capital Adequacy Ratio at 11.73% at Sept. End
-------------------------------------------------------------
Daegu Bank posted its highest BIS capital adequacy ratio since
the year-end of 2003, according to preliminary data released by
the Financial Supervisory Service.

The bank reported an 11.73% BIS ratio at the end of September
2006, continuing an upward trend for the bank.  The FSS release
contains the following information on Daegu Bank's BIS capital
adequacy ratio (in percent):

                                             June    Sept.
                     2003    2004    2005    2006    2006   
                    ------  ------  ------  ------  ------  
      Daegu          10.58   10.66   11.33   11.60   11.73  

A Troubled Company Reporter - Asia Pacific report on Sept. 1,
2006, explains that the capital adequacy ratio is set by the
Bank for International Settlements to measure the soundness of
18 banks in Korea.  The BIS ratio of all regional banks stood at
11.49% on average at the end of September 2006.

Daegu Bank -- http://www.dgb.co.kr/index.jsp-- provides various  
services such as commercial banking, foreign exchange,
certificate of deposits, securities trading, and trust accounts.  
The bank operates its business primarily in Daegu area.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Apr. 24, 2006, that Fitch Ratings has upgraded Korea-based Daegu
Bank's Individual rating to "B/C" from "C".  At the same time,
the agency also affirmed the bank's Support rating of "2".

Moody's Investors Service gave Daegu Bank a 'D' Bank Financial
Strength Rating effective on March 30, 2006.


HYNIX SEMICONDUCTOR: Shareholders Elect Jong-kap Kim as New CEO
---------------------------------------------------------------
As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 7, 2007, Hynix Semiconductor Chief Executive Officer Woo
Eui-jei revealed his intention to resign.

A subsequent TCR-AP report said that the company's major
shareholders will interview five candidates for the CEO
position.  However, the TCR-AP reported on Feb. 27 that former
minister of information and communication Chin Dae-je has
decided not to run for the CEO post.

In an update, the committee of six shareholders has reviewed the
four remaining candidates:

   1) Kim Jong-kap, former vice minister of commerce, industry
      and energy;

   2) Oh Kye-hwan, president of the Ubiquitous IT-Cluster
      Center;

   3) Oh Choon-sik, executive vice president and chief
      operations officer of Hynix; and

   4) Choi Jin-seog, senior vice president and head of
      manufacturing at Hynix; and

The committee has chosen Mr. Kim as the sole candidate for the
CEO post, The Wall Street Journal says, citing a report from Dow
Jones.

A spokesman for Korea Exchange Bank said four members of the
committee voted for Mr. Kim, but did not disclose the reason for
their support, In-Soo Nam writes for Dow Jones.

Whoever takes over the executive suite will need to find ways to
maintain steady profitability amid declining chip prices, ease
friction with governments in the U.S., the European Union and
Japan over chip tariffs and deal with growing patent disputes
with rival chip makers, Dow Jones cites analysts, as saying.

As noted by the TCR-AP, the official nominee will be approved by
the Hynix executive board meeting and at a general shareholders
meeting in March.

According to Lee Youn Gu, another spokesman for KEB, Mr. Kim is
"almost certain to be approved as the next Hynix chief
executive," Dow Jones relates.

                          About Hynix

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

The Troubled Company Reporter - Asia Pacific reported on July 3,
2006, that Standard & Poor's Ratings Services revised to
positive from stable the outlooks on its 'B+' long-term
corporate credit ratings on Hynix Semiconductor Inc. and its
U.S. subsidiary, Hynix Semiconductor Manufacturing America Inc.  
At the same time, Standard & Poor's affirmed its long-term
corporate credit and senior debt ratings on the company.

The TCR-AP reported on July 14, 2005, that Moody's Investors
Service has upgraded the rating of the senior secured notes
issued by Hynix Semiconductor Manufacturing America Inc. to Ba3
from Caa2.  The rating action follows Moody's decision to affirm
the Ba3 corporate family rating (previously called senior
implied rating) of Hynix Semiconductor Inc., the majority
shareholder of HSMA, and remove it from provisional status.  The
TCR-AP reported on July 13, 2005, that Moody's Investor Service
affirmed its B1 senior unsecured rating for Hynix Semiconductor
Inc.'s US$500 million bonds upon its successful closing.


JEONBUK BANK: Declares Total Dividends of KRW3.6 Billion
--------------------------------------------------------
Jeonbuk Bank Ltd.'s board of directors has declared an annual
cash dividend of KRW100 per common share, payable to
shareholders of record on December 31, 2006, Reuters Key
Development says.

The total cash dividend amount is approximately
KRW3.6 billion, according to the report.

Bloomberg News has said that the bank posted a 16.70% increase
in net income to KRW31.27 billion for the year ending Dec. 31,
2006.

The company, according to Reuters, had forecasted a full year
2007 revenue, operating profit and ordinary profit of
KRW373.9 billion, KRW53.8 billion and KRW49.7 billion,
respectively.

Jeonju-si, Jeollabuk-do, Korea-based Jeonbuk Bank --
http://www.jbbank.co.kr-- provides commercial and retail  
banking services mainly to the Jeonbuk province in South Korea.  
The Bank's services include deposits, loans, credit cards,
foreign exchange, trust accounts, corporate loans, telebanking,
and Internet banking.

Moody's Investors Service gave Jeonbuk Bank a D- bank financial
strength rating effective on December 8, 2003.


KOOKMIN BANK: Reports KRW2.47 Trillion Net Income for 2006
----------------------------------------------------------
Kookmin Bank posted a net income of KRW2.47 trillion for the
year ending December 31, 2006, a 9.8% increase from the
KRW2.25 trillion the bank earned a year ago, according to a
corporate disclosure made by the bank.

As of Dec. 31, 2006, the company had total assets of
KRW195.2 trillion, total liabilities of KRW180.1 trillion, and
total shareholders' equity of KRW15.1 trillion.

At December 31, the bank had KRW133.1 trillion worth of loans,
an 8.8% growth year-on-year, while total deposits grew 7.7% to
KRW136.1 trillion.

                         Asset Quality

As of December 31, 2006, the bank had KRW152.32 trillion in
total loans for NPL management, KRW1.58 trillion of which are
considered substandard and below, which translates to an NPL
ratio of 1.03%.  The bank had a KRW2.37 trillion reserve for
loan loss, giving the bank a NPL coverage ratio of 150.8%.  The
bank currently has a 0.95% delinquency ratio.

The company's disclosure included these financial data:

                            For the years ended
                                December 31
      In KRW, billion         2006       2005      Change
                            --------   --------   --------
      Operating income       3,071.7    3,015.8       1.9%
      Operating income
      before provisioning    4,347.3    4,426.2      -1.8%
      Non-operating income     352.4      212.4      65.9%

Seoul-based Kookmin Bank -- http://inf.kbstar.com/-- provides  
various commercial banking services, such as deposits, credit
cards, trust funds, foreign exchange transactions, and corporate
finance.  The bank also offers Internet banking services.

The Troubled Company Reporter - Asia Pacific reported on
Jan. 24, 2007, that Moody's maintained the bank financial
strength rating of D+.


KOOKMIN BANK: To Issue MBS Worth KRW1 Tril. to Foreign Investors
----------------------------------------------------------------
Kookmin Bank plans to issue mortgage-backed securities worth
KRW1 trillion this year for foreign investors as part of efforts
to diversify sources of borrowing, Na Jeong-ju of The Korea
Times cites bank officials, as saying.

This is the first time for Kookmin to issue the MBS for foreign
investors, the report notes.

The bank has signed contracts with foreign investment banks,
like ABN Amro and JP Morgan, to issue the MBS on the overseas
securities markets by the end of June, The Korea Times relates.

The paper relates that the move came after Kookmin President
Kang Chung-won recently hinted that the bank may issue asset-
backed securities to improve its profitability.  The paper notes
that in 2006, the bank increased its balance of housing-backed
loans by 27%, or KRW10.1 trillion won, to KRW47.4 trillion.

According to a bank official, the bank is "currently in the
process of looking into the quality of mortgages and other
housing-related loans to issue the MBS," The Korea Times
relates.

The MBS is expected to enable Kookmin to borrow long-term money
at low interest rates, the paper says.

Like other Korean banks, Kookmin increased its dependence on
short-term borrowing but the issuance of the MBS shows a
significant change in its borrowing pattern, the paper cites
analysts as saying.

Kookmin Bank -- http://inf.kbstar.com/-- provides various  
commercial banking services, such as deposits, credit cards,
trust funds, foreign exchange transactions, and corporate
finance.  The bank also offers Internet banking services.

Moody's Investors Service gave Kookmin a Bank Financial Strength
rating of D+ effective March 27, 2006.


KOREA EXPRESS: Parent Posts KRW344.27 Billion Net Loss in 2006
--------------------------------------------------------------
Korea Express Co., Ltd.'s parent company reported a net loss of
KRW344.27 billion for the year ending December 31, 2006, against
a net income of KRW47.78 billion for the previous year, data
obtained from Bloomberg News say.

TCR-AP, however, also learns that the parent company made a
profit KRW14.80 billion in the fourth quarter of 2006, a 24.07%
improvement against the KRW11.93 billion for the previous
corresponding period.

The parent company reported revenues of KRW1.17 trillion and
operating profit of KRW60.06 billion for the full year of 2006,
a 2.42% improvement over the previous year.  Reuters Key
Development reports that the company expects a full year 2007
revenue and operating profit of KRW1.3 trillion and
KRW70 billion, respectively.

Headquartered in Seoul, Korea Express Co., Ltd. --
http://www.korex.co.kr/-- provides land and marine  
transportation, and logistics services.  The company also
operates stevedoring, distribution, and warehousing businesses
that serve domestic and international customer needs.  Korea
Express transports a variety of products, ranging from consumer
goods to machinery and turbines.  Korea Express also operates
Internet home shopping business.

Korea Express Bank has been under court receivership since June
2001 after it could not service a KRW1.5-trillion debt,
including KRW919 billion owed by then-parent Dong-Ah
Construction Industrial Co.  Korea Express President Lee Kook-
Dong will decide with a Seoul court about when to sell the
company, which has a market value of US$601 million.

In the company's Web site, Mr. Lee said that Korea Express will
strive to end court receivership and improve its liquidity,
maximize sales profit through strengthening of cooperation
between management and labor, and seek continuous development.

Korea Investors Service gave the company a BB rating.


KOREA EXPRESS: Increases Stake in JV Company to 40%
---------------------------------------------------
Korea Express Co., Ltd., has increased its holdings in an
unnamed Korea-based joint venture company to 40% after it made a
capital injection of KRW200 million, Reuters Key Development
reports.

According to Reuters Key Development, Korea Express had earlier
invested US$1 million into a China-based company, which
specializes in the provision of stevedoring and high volume
cargo and parcels delivery services, making the company a wholly
owned subsidiary of the Korea Express.

Headquartered in Seoul, Korea Express Co., Ltd. --
http://www.korex.co.kr/-- provides land and marine  
transportation, and logistics services.  The company also
operates stevedoring, distribution, and warehousing businesses
that serve domestic and international customer needs.  Korea
Express transports a variety of products, ranging from consumer
goods to machinery and turbines.  Korea Express also operates
Internet home shopping business.

Korea Express Bank has been under court receivership since June
2001 after it could not service a KRW1.5-trillion debt,
including KRW919 billion owed by then-parent Dong-Ah
Construction Industrial Co.  Korea Express President Lee Kook-
Dong will decide with a Seoul court about when to sell the
company, which has a market value of US$601 million.

In the company's Web site, Mr. Lee said that Korea Express will
strive to end court receivership and improve its liquidity,
maximize sales profit through strengthening of cooperation
between management and labor, and seek continuous development.

Korea Investors Service gave the company a BB rating.


KOREA EXPRESS: HS Holdings Divests Entire Holding
-------------------------------------------------
HS Holdings Co., Ltd. has disposed of its entire 202,263 shares
of the Korea Express Co., Ltd, which is worth approximately
KRW20 billion, Reuters Key Development states.

Headquartered in Seoul, Korea Express Co., Ltd. --
http://www.korex.co.kr/-- provides land and marine  
transportation, and logistics services.  The company also
operates stevedoring, distribution, and warehousing businesses
that serve domestic and international customer needs.  Korea
Express transports a variety of products, ranging from consumer
goods to machinery and turbines.  Korea Express also operates
Internet home shopping business.

Korea Express Bank has been under court receivership since June
2001 after it could not service a KRW1.5-trillion debt,
including KRW919 billion owed by then-parent Dong-Ah
Construction Industrial Co.  Korea Express President Lee Kook-
Dong will decide with a Seoul court about when to sell the
company, which has a market value of US$601 million.

In the company's Web site, Mr. Lee said that Korea Express will
strive to end court receivership and improve its liquidity,
maximize sales profit through strengthening of cooperation
between management and labor, and seek continuous development.

Korea Investors Service gave the company a BB rating.


KWANGJU BANK: Posts Highest SBL Ratio Among Regional Banks
----------------------------------------------------------
Data from the Financial Supervisory Service shows that Kwangju
Bank has a substandard bank loan ratio of 0.98%, the highest
among regional banks.

Kwangju Bank, according to the FSS press release, had total
loans of KRW8.40 trillion at the end of 2006, KRW0.08 trillion
of which are substandard and below.

The FSS release contains the following information on regional
banks' total loans, substandard bank loans, and SBL ratio (in
KRW, trillions and percent):

                      2005                      2006
             ---------------------     ---------------------
             Total            SBL      Total            SBL
             Loans    SBL    Ratio     Loans    SBL    Ratio
             -----   -----   -----     -----   -----   -----
   Daegu     12.20    0.12    0.97     14.20    0.10    0.73
   Busan     12.50    0.12    0.94     15.30    0.13    0.83
   Kwangju    6.90    0.10    1.46      8.40    0.08    0.98
   Jeju       1.40    0.02    1.42      1.80    0.02    0.96
   Jeonbuk    3.10    0.04    1.29      3.50    0.03    0.84
   Kyongnam   8.60    0.09    1.06     10.90    0.08    0.73

Kwangju Bank -- http://www.kjbank.com-- is a local bank that  
primary serves Kwangju City and Jeonnam Province in South Korea.  
The bank provides domestic customers with commercial and retail
banking services.  Kwangju Bank also provides phone-banking and
cyber-banking services.

The Troubled Company Reporter - Asia Pacific reported on
Aug. 15, 2006 that Fitch Ratings affirmed the bank's ratings at
individual C, support 2.  The rating outlook remains stable.


KWANGJU BANK:  Records Lower BIS Ratio At September End
-------------------------------------------------------
Kwangju Bank posts a 11.55% BIS capital adequacy ratio as of the
end of September 2006, the Financial Supervisory Service said in
a press release.

The September ratio is lower compared to the 11.89% BIS ratio
the bank reported at the end of June 2006.  It is also the
lowest since the end of 2004.

The FSS release contains the following information on Kwangju
Bank's BIS capital adequacy ratio (in percent):

                                             June    Sept.
                     2003    2004    2005    2006    2006   
                    ------  ------  ------  ------  ------  
      Kwangju        10.72   11.81   11.60   11.89   11.55  

A Troubled Company Reporter - Asia Pacific report on September
1, 2006 explains that the capital adequacy ratio is set by the
Bank for International Settlements to measure the soundness of
18 banks in Korea.  The BIS ratio of all regional banks stood at
11.49% on average at the end of September 2006.

Kwangju Bank -- http://www.kjbank.com-- is a local bank that  
primary serves Kwangju City and Jeonnam Province in South Korea.  
The bank provides domestic customers with commercial and retail
banking services.  Kwangju Bank also provides phone-banking and
cyber-banking services.

The Troubled Company Reporter - Asia Pacific reported on Aug.
15, 2006 that Fitch Ratings affirmed the bank's ratings at
individual C, support 2.  The rating outlook remains stable.


LG CARD: Creditors to Reap Capital Gains in Shinhan Acquisition
---------------------------------------------------------------
On Jan. 8, 2007, the Troubled Company Reporter - Asia Pacific
cited a report from Reuters stating that Shinhan Financial Group
will pay KRW6.68 trillion (US$7.19 billion) for a majority stake
in LG Card, setting the same price for shares held by both
creditors and minority shareholders.

The TCR-AP cited Shinhan's regulatory filing with the Korea
Exchange disclosing that Shinhan will purchase 78.6% stake in LG
Card at KRW67,770 per share in a public tender in February or
March.

As Shinhan starts making a tender offer to buy out the remaining
shares of LG Card from February 28, LG Card creditors who hold a
stake in the card firm will reap about KRW3 trillion in capital
gains, Seo Jee-yeon writes for The Korea Times.

The acquisition will complete Shinhan's takeover of LG Card.

According to the report, the Korea Development Bank, the
National Agricultural Cooperatives Federation, and other
creditors will sell their 80.83% stake in LG Card to Shinhan:

   * The KDB, which holds a 22.93% stake in LG Card, is expected
     to reap about KRW870 billion capital gains.  The bank
     bought its stake in LG Card at KRW32,000 on average in
     December 2004, the paper recounts;

   * The capital gains of the NACF, which has a 14.59% stake is
     forecast to reach KRW460 billion; and

   * Koookmin Bank and Woori Bank also will take gains of 560
     billion and 510 billion won, respectively.

The capital gains from the stock deal with Shinhan will help LG
Card creditors see an improvement in their first quarter
performance, the paper cites analysts, as saying.

After the tender offer, Shinhan will add LG Card to the list of
its affiliates in the latter part of March after completing the
remaining payments, The Korea Times notes.

                       About LG Card Co.

Headquartered in Seoul Korea, LG Card Co. --
http://www.lgcard.com/-- provides installment finance services  
and credit card, as well as leasing services to credit worthy
companies while acquiring valuable assets from merchant banks
and leasing firms.  LG Card also finances families wishing to
purchase big ticket items such as automobiles, appliances and
computers.

At the end of October 2003, LG Card had KRW3.24 trillion more
debt than assets and had faced threats of liquidity crisis and
court receivership.  LG Card has been in the hands of creditors
since it was rescued from bankruptcy through a KRW5-trillion
(US$4.78 billion) debt-for-equity swap and a further KRW1-
trillion bailout in late 2004.  Creditors are hoping to recover
the bailout amount through a sale of the credit card issuer.


PUSAN BANK: Moody's Assigns Baa3 Rtg. to Subordinated Debt Issue
----------------------------------------------------------------
Moody's Investors Service has assigned a Baa3 debt rating to the
US$200 million 10-year subordinated debt issue of Pusan Bank.  
The rating outlook is stable.

This rating does not incorporate any potential rating changes
that may take place as a result of the announcement on February
21 that Moody's will review all bank ratings worldwide in
conjunction with the implementation of Joint Default Analysis
(JDA) for banks and the updated Bank Financial Strength Rating
(BFSR) methodology.

Pusan Bank is based in Busan, Korea's second largest city.
Established in 1967, the bank is the dominant bank in Busan
city. As of Dec. 31, 2006, it had assets of KRW22.8 trillion.

The bank's other ratings are:

   * long-term/short-term deposit ratings of Baa2/Prime-2
     (stable outlook); and

   * D bank financial strength rating (positive outlook)


* FSS Says Bank Net Income Decreases to KRW13.49 Trillion
---------------------------------------------------------
Preliminary figures show that domestic banks' net income for
2006 will come to KRW13.49 trillion, compared with
KRW13.63 trillion for 2005, the Financial Supervisory Service
said in a press release.

Interest income rose KRW1.51 trillion on sharply increased
lending, but the overall net earnings were held back by a
KRW1.73 trillion jump in income tax expenses (partly from a drop
in losses carried forward) for 2006.  Operating and nonoperating
income for the year totaled KRW13.26 trillion and KRW4.18
trillion, respectively.

Loans outstanding at end-2006 totaled KRW873.8 trillion, up
KRW122.4 trillion from end-2005 total of KRW751.4 trillion.

Despite continued improvement in asset soundness, loan loss
provisions fell slightly in 2006-from KRW5.1 trillion to KRW5.0
trillion, due to more stringent provisioning requirements.

ROA for 2006 fell to 1.12% from 1.27% a year earlier on reduced
net interest margin.

Gross profit ratio, a key measure of profitability, came to
2.82%, down slightly from 2.98% a year earlier.

          Key Profitability Measures of Domestic Banks

                      Gross       Net    Non-Interest   Net
                      Profit    Interest   Profit      Profit
            ROA       Ratio      Margin     Ratio      Ratio
         ---------- ---------- ---------- ---------- ----------
2005          1.27       2.98       2.81       0.38       42.5
2006          1.12       2.82       2.64       0.37       39.8

Preliminary Summary Bank Income Statement (in KRW, billions)

                         2005       2006      Change    %Change
                       --------   --------   --------   --------
Interest income        27,964.1   29,473.4    1,509.2        5.4
Gross interest income  56,109.5   65,224.6    9,115.2       16.2
Interest expense       28,145.3   35,751.3    7,605.9       27.0
Non-interest income     4,130.8    4,468.1      337.3        8.2
Service fees            3,445.6    3,929.6      484.0       14.0
Investment securities     380.2      513.5      133.3       35.1
FX/Derivatives          1,318.2    1,523.3      205.1       15.6
                       --------   --------   --------   --------
Total income           32,095.0   33,941.5    1,846.5        5.8

Selling/Admin. exp.    14,569.5   15,729.7    1,160.2        8.0
Operating income
before loan
loss provisions        17,525.5   18,211.7      686.3        3.9

Provisions for
loan losses             5,091.9    4,955.7     -136.2       -2.7
Operating income       12,433.6   13,256.1      822.5        6.6
Nonoperating income     3,414.6    4,182.1      767.5       22.5
Securities-related      3,926.4    4,903.3      976.8       24.9
Others                   -511.8     -721.2     -209.4       40.9
Pretax income          15,848.2   17,438.1    1,590.0       10.0
Corporate inc. taxes    2,213.9    3,943.4    1,729.5       78.1
                       --------   --------   --------   --------
Net income             13,634.3   13,494.8     -139.4       -1.0
                       ========   ========   ========   ========
Income before
provisioning           20,940.1   22,393.8    1,453.7        6.9


* FSS Says Substandard Bank Loans Decrease to KRW7.8 Trillion
-------------------------------------------------------------
Bank loans classified as substandard or below-substandard,
doubtful, or presumed loss-totaled KRW7.8 trillion at the end of
2006, down from KRW9.7 trillion a year ago, the Financial
Supervisory Service said in a press release.

The ratio of SBLs to total outstanding loans fell 0.38
percentage points to 0.84%, its lowest level since the forward-
looking criteria were first adopted in 1999.

The SBL ratio averaged 1.22% at end-2005 and 1.90% at end-2004.
A surge in new loan issuances, which pushed the total
outstanding loans to KRW931.3 trillion from KRW795.2 trillion,
was mainly responsible for the drop in SBL ratio.

Bank SBLs and SBL Ratio: End of Years 1999-2006 (in KRW,
trillions)

            1999  2000  2001  2002  2003  2004  2005  2006
            ----  ----  ----  ----  ----  ----  ----  ----   
SBL         61.0  42.1  18.8  15.1  18.7  13.9   9.7   7.8
SBL Ratio%  12.9  8.00  3.41  2.33  2.63  1.90  1.22  0.84

The SBL ratios fell for all loan types from end-September and
end-2005, averaging 0.91% for corporate loans, 0.68% for
household loans, and 1.33% for credit card receivables at the
end of 2006.


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

AMSTEEL: Bursa Asks Explanation on Why Securities Should Stay
-------------------------------------------------------------
The Bursa Malaysia Securities Bhd asked Amsteel Corp Bhd to make
a written explanation as to why the bourse will avert the
delisting of its securities.

The written explanation must be submitted within five market
days after receiving the order from the bourse.  Amsteel
received Bursa's letter on Feb. 26, 2007.  

As reported by the Troubled Company Reporter - Asia Pacific on
Feb. 13, 2007, Amsteel Corp failed to make the requisite
announcement regarding its regularization plan.  In addition,
the bourse has denied the company's request to further extend
its deadline to make a requisite announcement and to submit a
regularization plan to relevant authorities.

In addition, the bourse said:

    -- that in the event Bursa Securities decides to delist the
       company, its securities will be removed from the official
       list on the expiry of seven market days from the date of
       notification of the decision, or any other date as
       specified by Bursa Securities; and

    -- that in the event Bursa Securities decides not to delist
       the company, other appropriate action/penalty(ies) may be
       imposed pursuant to the bourse's listing requirements.

                          *     *     *

Headquartered in Kuala Lumpur, Malaysia, Amsteel Corporation
Berhad is involved in the provision of plantation management,
property development, management and contractor; hotel operation
and food court.  The Company is also involved in transportation
and logistic services, department stores, nominee services,
trading securities, manufacture and sale of tools, dies, tyres,
rubber compound, light trucks and buses, financial management;
distributes steel products, develops real estate property;
cultivation of rubber and oil palm, golf and country club, sale
and distribute Suzuki motorcycles, beer brewing and mineral
water bottling.

As reported in the Troubled Company Reporter - Asia Pacific on
May 19, 2006, Amsteel Corporation Berhad was classified under
Bursa Malaysia Securities Berhad's Amended Practice Note 17
category.   The Company was identified as an affected listed
issuer because:

   -- the auditors have expressed a modified opinion with
      emphasis on the Company's going concern in the Company's
      latest audited financial statement for the financial year
      ended June 30, 2005; and

   -- the Company's consolidated shareholders' equity as of
      June 30, 2005, represented 17.3% of the issued and paid-up
      capital of the Company.

Pursuant to the PN17 classification, the Company is required to
submit and implement a plan to regularize its financial
condition.


ANTAH HOLDINGS: Posts MYR9.83 Million Profit in December Quarter
----------------------------------------------------------------
Antah Holdings Bhd recorded a net profit of MYR9.83 million on
MYR576,000 of revenues in the second quarter ended December 31,
2006,  as compared with MYR14.27 million net loss on
MYR2.93 million of revenues in the same quarter in 2005.

As of end-December 2006, the company's unaudited balance sheet
reflected illiquidity with current assets of MYR594.92 million
and current liabilities of MYR1.06 billion.

Antah Holdings' total assets as of end Dec. 31, 2006, reached
MYR691.69 million and total liabilities of MYR1.06 billion.  
Shareholders' deficit in the company reached MYR376.51 million.

A full text-copy of the company's financial statement for the
second quarter ended-Dec. 2006, can be viewed for free at:

             http://bankrupt.com/misc/antah-2q-results.xls

                          *     *     *

Headquartered in Petaling Jaya, Selangor Darul Ehsan, Malaysia,
Antah Holdings Berhad -- http://www.antah.com.my/--  
manufactures and trades pharmaceutical products and fluid
engineering and manufacturing.  The Company's other activities
include retailing of houseware and kitchenware, property
development, insurance broking, provision of management
services, and investment holding.

The Group discontinued its beverage and security services
operations.  The Group operates in Malaysia, Australia, United
Kingdom, and Singapore.

Antah Holdings' total assets as of Dec. 31, 2006, reached
MYR691.69 million and total liabilities of MYR1.06 billion.  
Shareholders' deficit in the company reached MYR376.51 million.


ARK RESOURCES: Unit Inks Sub-Contracting Agreement w/ Pastiya
-------------------------------------------------------------
Ark Thai Co Ltd, a subsidiary of Ark Resources Bhd, has signed a
sub contract agreement with Pastiya Thai Co. Ltd for the
proposed construction and completion of low cost flats at Suan
Plu, Pathana.

According to Ark Resources' disclosure with the Bursa Malaysia
Securities Bhd, the agreement involves the National Housing
Authority of Thailand's project to construct 560 units of low
cost flats and the associated external works at a total contract
sum of THB52,911,781.

The construction period of the project is four months and is due
to be completed by the second quarter of 2008.

The company's initial total investments in the project is
approximately THB5,000,000.  It will be funded from internally
generated funds and/or borrowings, the company told the bourse.

Ark Resources said the project is expected to contribute
positively to the earnings of the group for the financial year
ending December 31, 2007.

                          *     *     *

ARK Resources Berhad, formerly known as Lankhorst Berhad --
http://www.lankhorst.com.my/-- is an investment holding company  
with headquarters in Shah Alam, Malaysia.  Through its
subsidiaries, the Company provides civil and geotechnical
engineering.

On April 24, 2006, Lankhorst was classified as an affected
listed issuer and is required to comply with the provisions of
the Bourse's Practice Note 17/2005 category -- which includes
the implementation of a regularization plan -- or face delisting
procedures.  Currently, ARK Resources is under the protection of
a Restraining Order pursuant to Section 176 of the Companies Act
1965 and formulating a debt and capital restructuring scheme to
improve the Company's financial position.

As of September 30, 2006, Ark Resources' balance sheet showed
insolvency with total assets of MYR43.83 million and total
liabilities of MYR214.37 million, resulting to a shareholders'
deficit of MYR170.54 million.


COMSA: Inks Deal w/ Principal Odyssey to Develop Quoin Hill
-----------------------------------------------------------
Comsa Farms Bhd entered into a Heads of Agreement with Principal
Odyssey Sdn Bhd to jointly develop Quoin Hill Land into a full-
scale integrated plantation of dragon fruit.

Based on the agreement, the development will be undertaken via a
joint venture company in which Principal Odyssey and Comsa will
hold 60% equity shareholding and 40% equity shareholding,
respectively.

In addition, both parties agreed that that the equity
shareholding in the JVC will be via the injection of not less
than MYR90 million cash by Principal Odyssey and the sale of
Quoin Hill Land free of encumbrances by Comsa into the JVC.

                 Information on Quoin Hill Land

Quoin Hill Land comprises two parcels of leasehold land,
together with all existing buildings and structures held under
CL105343315 and CL 105343324, Quoin Hill Locality, 40 km to the
north east of Tawau Municipal Centre, Sabah.  The registered
owner of Quoin Hill Land is Comsa Properties Sdn Bhd, a wholly-
owned subsidiary of Comsa.

The MYR364 million aggregate market value of Quoin Hill Land has
been appraised by C H Williams Talhar & Wong (Sabah) Sdn Bhd on
December 28, 2004.  

                          *     *     *

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

On April 10, 2006, the company was declared a Practice Note 17
company by Bursa Malaysia due to a stockholders' equity deficit.  
As an affected listed issuer, Comsa Farms is required to submit
a plan to regularize its financial condition.

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 16, 2007, the company registered US$50.74 million in total
assets and a US$25.55-million shareholders' equity deficit.


MALAYSIA AIRLINES: Fosters Codeshare Cooperation with KLM Royal
---------------------------------------------------------------
Malaysia Airlines and the KLM Royal Dutch Airlines further
intensified the codeshare cooperation they have shared since
1998 through a strong commercial cooperation for flights between
the two convenient hubs at Amsterdam and Kuala Lumpur, New Sabah
Times reports.

According to Malaysia Airlines, starting March 1, KLM passengers
on flights between Amsterdam and Kuala Lumpur would be able to
book under KLM flight numbers connecting domestic services
operated by MAS between the KL International Airport and Penang,
Langkawi, and Kota Kinabalu.

The new arrangement will cover six flights each between KLIA-
Penang and KLIA-Kota Kinabalu as well as five flights between
KLIA-Langkawi, the paper relates, citing a statement by the
airline.

In addition, KLM passengers are also able to codeshare on MAS
flights to and from Australia and New Zealand, New Sabah says.  
In its turn, MAS' codeshares with KLM on European flights to and
from Schiphol.

"We are very satisfied that we can continuously intensify and
extend our successful cooperation with MAS," KLM's senior vice
president Alliances, Hans de Roos was quoted by the paper as
saying.

Datuk Rashid Khan, Malaysia Airlines' senior vice president said
the existing code share partnership with KLM is consistent with
the airline's business turnaround plan.

                          *     *     *

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.


STAR CRUISES: Casino License in Singapore not Guaranteed
--------------------------------------------------------
Star Cruises and Genting International, both part of the Genting
Group, are not guaranteed a casino license in Singapore even if
they sign a development agreement this week, Agence France Press
reports, citing a statement from the Singapore Government.

Both Star Cruises and Genting International are to sign an
agreement to develop a US$3.4 billion casino and entertainment
complex on Sentosa island, the paper relates.

According to the report, a press release from Singapore's Casino
Regulation Division stated that the signing of the development
agreement and the issuance of a casino license are two separate
matters.  The signing of the development agreement allowed the
firms to proceed with construction, but "does not automatically
qualify" them for a casino licence, the regulator added.

Accordingly, Singapore's Home Affairs Ministry had told Genting-
Star that it would conduct suitability checks "to ensure that
the consortium meets the suitability requirements before the
casino license is issued, AFP adds.

                          *     *     *

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

Moody's Investors Service has placed the B1 corporate family
rating of Star Cruises Limited on review for possible downgrade
on Jan. 25, 2007.

The review has been prompted by SCL's announcement that it and
Genting International Plc, a subsidiary of Genting Berhad, will
acquire a 75% interest in Macau Land Investment Corporation,
which will develop a hotel and casino project on the foreshore
of downtown Macau.

In addition, on December 11, 2006, Standard & Poor's Ratings
Services placed its BB- long-term corporate credit ratings on
Malaysia-based cruise operator Star Cruises Ltd. on CreditWatch
with negative implications.

S&P also placed its BB- long-term corporate credit ratings on
U.S. based cruise operator NCL Corp. Ltd. (NCL) and its B
foreign currency ratings on NCL's senior unsecured debt of
US$250 million due 2014 on CreditWatch with negative
implications.


UNITED CHEMICAL: Balance Sheet Upside Down by MYR78MM at Dec. 06
----------------------------------------------------------------
United Chemical Industries Bhd's unaudited balance sheet as of
December 31, 2006, went upside down with total assets of
MYR3.15 million and total liabilities of MYR81.28 million,
resulting to a shareholders' deficit of MYR78.13 million.

Meanwhile, the company incurred a net loss of MYR2.11 million in
the fourth quarter ended Dec. 31, 2006, as compared with a net
loss of MYR1.94 million in the same quarter of 2005.

A full text-copy of the company's financial statement can be
viewed for free at:

          http://www.bankrupt.com/misc/ucib-4thqtr-results.XLS

                          *     *     *

United Chemical Industries Berhad, a company incorporated and
domiciled in Malaysia, is a public company limited by shares,
and is listed on the Second Board of Bursa Malaysia Securities
Berhad.  United Chemical is an investment holding company that
was previously involved in the manufacture and sale of
polypropylene and polyethylene woven bags together with its
allied products.  Its subsidiary company, Geotextiles (M) Sdn
Bhd, was previously involved in the manufacture and sale of
geotextile fabrics together with its allied products.

The company's unaudited balance sheet as of December 31, 2006,
went upside down with total assets of MYR3.15 million and total
liabilities of MYR81.28 million, resulting to a shareholders'
deficit of MYR78.13 million.


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

166 MARSDEN: Court Sets Liquidation Hearing on March 8
------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against 166 Marsden Ltd on March 8, 2007, at 10:45 a.m.

The Commissioner of Inland Revenue filed the petition on Nov. 2,
2006.

The CIR's solicitor can be reached at:

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


A2 CORP: Appoints Le Grice as Exec. Director & A. Lawler as CEO
---------------------------------------------------------------
A2 Corporation Limited has appointed Richard Le Grice as the
company's Executive Director.

As part of the company restructuring which is expected to be an
ongoing process, Anthony Lawler has been appointed as sole Chief
Executive Officer.

Dr. Andrew Clarke is to continue in an executive role, the
company notes.

According to Chairman Cliff Cook, "this restructuring is a
positive reflection of the progress the company has achieved
towards commercializing its core assets into an FMCG business.  
Over the past three years Dr. Clarke has successfully developed
the company from a bio-tech start-up to first stage
international FMCG company."

New Zealand-based A2 Corporation Ltd. --
http://www.a2corporation.com/-- is engaged in the sale and  
production of beta-casein A2 milk products.  The company owns
and licenses intellectual property that enables the
identification of cattle for the production and subsequent
marketing of A2 Milk.  During the fiscal year ended March 31,
2006, the company acquired A2 Australia Pty Ltd.  In April 2006,
the company reacquired the business of A2 Australia Pty Ltd from
F&N Dairy Investments Limited.  A2 Milk Company LLC provided the
Company with a research basis for launching A2 Milk in the North
American market.

The company suffered net losses of NZ$925,847 and NZ$9,017,633
for the years ended March 31, 2006, and March 31, 2005,
respectively.


BLUEPARK SEAFOODS: Court Hears Liquidation Petition
---------------------------------------------------
The High Court of Palmerston North heard the liquidation
petition against Bluepark Seafoods (NZ) Ltd on Feb. 26, 2007.

The Commissioner of Inland Revenue filed the petition on Jan.
10, 2007.

The CIR's solicitor can be reached at:

         Catherine Ann Sweet
         Technical and Legal Support Group
         Wellington Service Centre
         1st Floor, New Zealand Post House
         7-27 Waterloo Quay (PO Box 1462), Wellington
         New Zealand
         Telephone:(04) 890 3281
         Facsimile:(04) 890 0009


CAPITAL PROPERTIES: To Purchase 2007 Capital Notes on April 15
--------------------------------------------------------------
Capital Properties New Zealand Limited advises the New Zealand
Stock Exchange that it will be exercising its option, under the
conditions applicable to the 2007 Capital Notes, to purchase for
cash on April 15, 2007, the 2007 Capital Notes (those capital
notes having an election date of April 15, 2007) on issue.

On April 16, 2007, Capital Properties pay to the holders of 2007
Capital Notes for each such capital note an amount equal to the
aggregate of the principal amount, accrued and unpaid interest,
if any, as at the Election Date.

Wellington, New Zealand-based Capital Properties New Zealand
Limited -- http://www.cpnz.co.nz/-- is a long-term investor in  
commercial property.  The company provides investors with an
income stream by actively managing and developing its portfolio.  
The company's portfolio includes properties in Wellington and
Auckland/New Plymouth, which is made up of office,
office/retail, office/retail/carpark and industrial. It includes
Bowen House, Bowen State Building, Charles Fergusson Tower and
Annex, Defence House, Freyburg Building, St. Paul's Square,
State Services Commission Building, Vogel Building, William
Clayton Building, Novell House and Lambton Square, Bayleys
Building, Forsyth Barr House, Oracle Tower, University of Otago
House, Kitchener Street Carpark, National Bank Center, Forsyth
Barr Tower, Crown Institute Building, National Bank Computer
Center, Ashton Scholastic Building and Center City Building.  In
April 2006, CNZ was acquired by AMP Property Portfolio
Investments Limited.

                         *     *     *

The Troubled Company Reporter - Asia Pacific's Distressed Bonds
column in Feb. 27, 2007, reported Capital Properties' bonds with
8.500% and 8.000% coupons with maturity dates of April 15, 2007
and April 15, 2010, as trading at 9.75% and 8.06%, respectively.


CLASSIC DE'COR: Faces Liquidation Proceedings
---------------------------------------------
An application to liquidate Classic De'cor Painters Ltd was
heard before the High Court of Hamilton on Feb. 26, 2007.

The Commissioner of Inland Revenue filed the petition on Dec.
22, 2006.

The CIR's solicitor can be reached at:

         Kay Susanne Morgan
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone:(07) 959 0373


CMA SHELL: Creditors Must Prove Claims by March 2
-------------------------------------------------
The creditors of CMA Shell Ltd are required to prove their
claims by March 2, 2007.

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

The joint liquidators can be reached at:

         Jeffrey Philip Meltzer
         Karen Betty Mason
         Meltzer Mason Heath
         Chartered Accountants
         PO Box 6302, Wellesley Street
         Auckland 1141
         New Zealand
         Telephone:(09) 357 6150
         Facsimile:(09) 357 6152


COULIBALY & ASSOCIATES: Petition Hearing Slated for March 8
-----------------------------------------------------------
On Nov. 28, 2006, the Commissioner of Inland Revenue filed a
liquidation petition against Coulibaly & Associates Ltd before
the High Court of Auckland.

The petition will be heard on March 8, 2007, at 10:45 a.m.

The CIR's solicitor can be reached at:

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


GILL INVESTMENTS: Commences Liquidation Proceedings
---------------------------------------------------
On Feb. 8, 2007, the shareholders of Gill Investments Taranaki
Ltd -- formerly known as Taranaki Glass & Glazing (2000) Ltd --
resolved by special resolution to liquidate the company's
business.

Subsequently, Alison Ann Turner was appointed as liquidator.

The Liquidator can be reached at:

         Alison Ann Turner
         Staples Rodway Taranaki Limited
         109-113 Powderham Street, New Plymouth
         New Zealand
         Telephone:(06) 758 0956
         Facsimile:(06) 757 5081


GLOVER LAND: Shareholders Resolve to Close Business
---------------------------------------------------
On Feb. 9, 2007, the shareholders of Glover Land Ltd resolved by
special resolution to liquidate the company's business and
appointed Michael Crawford as liquidator.

The Liquidator can be reached at:

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


HALLS EARTHWORKS: Creditors' Meeting Slated for March 5
-------------------------------------------------------
The creditors of Halls Earthworks Ltd will hold a meeting on
March 5, 2007, at 11:00 a.m.  

At the meeting, the creditors will consider:

   -- the liquidators' report containing a statement of the
      company's affairs;

   -- whether to confirm the appointment of Bernard S.
      Montgomerie and Stuart J. Cunningham as joint and several
      liquidators or to appoint another liquidator;

   -- whether the liquidators should be asked to have regard to
      the views, if any, of creditors in conducting the
      liquidation; and

   -- whether a liquidation committee be appointed and, if so,
to
      appoint the members of that committee.

The joint and several liquidators can be reached at:

         Bernard Spencer Montgomerie
         Stuart James Cunningham
         Montgomerie & Associates
         Insolvency Practitioners
         CPO Box 65, Auckland 1015
         New Zealand
         Telephone:(09) 368 7672
         Facsimile:(09) 307 0174


MANE HAIR: Hearing of Liquidation Petition Set for April 5
----------------------------------------------------------
The Commissioner of Inland Revenue filed a petition to liquidate
Mane Hair Design Ltd on Jan. 8, 2007.

Accordingly, the petition will be heard before the High Court of
Auckland on April 5, 2007, at 10:45 a.m.

The CIR's solicitor can be reached at:

         Kay Susanne Morgan
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone:(07) 959 0373


TE HAU KAINGA: Creditors' Proofs of Claim Due on May 19
-------------------------------------------------------
The creditors of Te Hau Kainga Holdings Ltd are required to
submit their proofs of claim by May 19, 2007, to be included in
the company's distribution.

According to the Troubled Company Reporter - Asia Pacific, the
liquidation hearing against the company was heard on Feb. 19,
2007.  The Commissioner of Inland Revenue filed the petition.

The joint liquidators can be reached at:

         Vivian Judith Fatupaito
         Richard Dale Agnew
         PricewaterhouseCoopers
         Level 8, PricewaterhouseCoopers Tower
         188 Quay Street, (Private Bag 92162)
         Auckland
         New Zealand
         Telephone:(09) 355 8000
         Facsimile:(09) 355 8013


VIDEOWORKS LTD: Court to Hear Liquidation Petition
--------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against Videoworks Ltd on April 5, 2007, at 10:45 a.m.

The Commissioner of Inland Revenue filed the petition on Jan. 8,
2007.

The CIR's solicitor can be reached at:

         Kay Susanne Morgan
         Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone:(07) 959 0373


WAI ARIKI: Creditors Must Prove Debts by March 20
-------------------------------------------------
The creditors of Wai Ariki Holdings Ltd are required to prove
their debts by March 20, 2007, or they will be excluded from
sharing in any distribution the company will make.

As reported by the Troubled Company Reporter - Asia Pacific, the
High Court of Wanganui heard the liquidation petition against
the company on Jan. 31, 2007.  Sheetmetal Industries Rotorua Ltd
filed the petition.

The joint liquidators can be reached at:

         Grant Bruce Reynolds
         Gilbert Dale Chapman
         Reynolds & Associates Limited
         Insolvency Practitioners
         PO Box 259059, Greenmount
         East Tamaki, Auckland
         New Zealand
         Telephone:(09) 577 0162
         Facsimile:(09) 577 0243


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

CHIQUITA BRANDS: Sets Shareholders Annual Meeting for May 24
------------------------------------------------------------
Chiquita Brands International Inc. will hold its Annual Meeting
of Shareholders on May 24, 2007, at the Hilton Cincinnati
Netherland Plaza.  The record date for determining shareholders
entitled to vote at the meeting will be April 6, 2007.  The
company will mail to shareholders of record in mid-April a
notice of the meeting and related proxy materials.

                    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, 2006, 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 it 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.


COVANTA HOLDING: Earns US$12 Mil. in Quarter Ended Dec. 31, 2006
----------------------------------------------------------------
Covanta Holding Corporation reported financial results for the
three and twelve months ended Dec. 31, 2006.  The company is
presenting comparative financial results on an as reported basis
for the fourth quarter and a pro forma basis for the full year.  
The pro forma information was prepared as if the acquisition of
Covanta ARC Holdings Inc., which occurred in June 2005, was
consummated on Jan. 1, 2005.  The company believes that such
presentation will assist in assessing Covanta's performance.

                     Fourth Quarter Results

For the three months ended Dec. 31, 2006 total operating
revenues were US$318 million versus US$303 million in the prior
year period.  Net income was US$12 million, which compares with
2005 fourth quarter net income of US$6 million.  The fourth
quarter of 2006 was impacted by a higher than expected effective
tax rate.

At Covanta Energy Corporation, the company's principal
subsidiary, domestic waste and energy operating revenues grew 7%
to US$290 million, driven primarily by higher energy rates,
contractual service fee escalation and the inclusion of a full
quarter of revenue from the Warren facility in the fourth
quarter of 2006.  International revenues of US$25 million
decreased approximately US$3 million versus the prior year
primarily due to the sale of a small facility in China during
the second quarter of 2006.  Covanta Energy's adjusted EBITDA
was US$118 million compared to US$126 million in the prior year
period.  The reduction was primarily due to the Company's
increased spending on scheduled domestic plant maintenance
during the fourth quarter of 2006.

                         Full Year 2006

For the twelve months ended Dec. 31, 2006, total operating
revenues rose 5% to US$1.3 billion while net income was US$106
million, up 53% from the prior year period.  Covanta Energy's
adjusted EBITDA grew 8% to US$542 million resulting from higher
revenues, strong operating performance and the successful
execution of cost reduction initiatives.

"We are very pleased with our strong operating results in 2006,
in particular the meaningful growth we produced from our
existing facilities." said Anthony Orlando, the company's
President and Chief Executive Officer.  "We are also happy with
our recently completed recapitalization which positions Covanta
to take advantage of promising domestic and international growth
opportunities."

          Recapitalization Plan Successfully Implemented

The company completed a comprehensive recapitalization utilizing
a series of equity and debt financings in the first quarter of
2007, which included the following components:

   -- the refinancing of Covanta Energy's debt facilities with
      new Covanta Energy debt facilities, comprised of a US$300
      million revolving credit facility, a US$320 million funded
      letter of credit facility, and a US$650 million term loan
      (collectively referred to as the "New Credit Facilities");

   -- an underwritten public offering of 6.118 million shares of
      Covanta's common stock, in which the Company received
      proceeds of US$136.6 million, net of underwriting
      discounts and commissions;

   -- an underwritten public offering of US$373.75 million
      aggregate principal amount of convertible debentures
      issued by the company, from which Covanta received
      proceeds of US$364.4 million, net of underwriting
      discounts and commissions; and

   -- the repayment, by means of a tender offer, of US$604.4
      million in aggregate principal amount of outstanding notes
      previously issued by Covanta Energy's intermediate
      subsidiaries.

                    2007 Guidance Reaffirmed

The Company is reaffirming its full year 2007 guidance on the
following key metrics:

   -- Covanta Energy Adjusted EBITDA in the range of US$545
      million to US$565 million;

   -- Covanta Energy Free Cash Flow in the range of US$290
      million to US$320 million; and

   -- Covanta diluted earnings per share in the range of US$0.65
      to US$0.75.

Headquartered in Fairfield, New Jersey, Covanta Energy Corp.
-- http://www.covantaenergy.com/-- is a publicly traded holding
company whose subsidiaries develop, own or operate power
generation facilities and water and wastewater facilities in the
United States and abroad.  Covanta has operations in the
Philippines, China, Costa Rica, India, and Bangladesh.

                          *     *     *

As reported in the Troubled Company Reporter on Jan. 24, 2007,
Standard & Poor's Ratings Services assigned a 'BB-' corporate
credit rating to Covanta Holding Corp. and a 'B' issue rating to
the company's US$325 million senior unsecured convertible bonds.  
At the same time, Standard & Poor's also raised the corporate
credit rating on subsidiary Covanta Energy Co., to 'BB-' from
'B+' and assigned a 'BB-' issue rating, with a '2' recovery
rating (reflecting 80% to 100% of recovery in a default
scenario) to its proposed US$1.3 billion credit facilities
consisting of a US$680 million, first-lien secured term loan,
US$320 million in funded LOCs, and US$300 million in revolving
credit facilities.  The outlook remains stable.

Moody's Investors Service also assigned a Ba2 rating to Covanta
Energy Corp.'s new US$1.3 billion senior secured credit facility
and a B1 rating to Covanta Holding Corp.'s US$325 million
convertible debentures.  The Ba2 rating assigned to the new
credit facility is effectively a two-notch upgrade from the B1
rating assigned to Covanta's current first lien credit facility.
With the convertible debenture offering, Moody's has reassigned
the Corporate Family Rating to Covanta Holding Corp. from its
subsidiary, Covanta Energy Corp.  Concurrently, the CFR has been
upgraded to Ba2 from Ba3.


MIRANT CORP: NY Units Want Confirmation Trial Moved to March 21
---------------------------------------------------------------
Mirant New York, Inc., Hudson Valley Gas Corporation and Mirant
Bowline, LLC, affiliates of Mirant Corp., asks the Honorable D.
Michael Lynn of the United States Bankruptcy Court for the
Northern District of Texas to issue an order:

    (a) approving a proposed form of notice of recommencement of
        confirmation in connection with their Chapter 11 cases;

    (b) setting a status conference and hearing on their
        Supplemental Joint Chapter 11 Plan;

    (c) establishing a deadline to file objections to the
        Supplemental Plan;

    (d) finding that the Supplemental Plan does not alter in any
        respect the treatment of the holders of unsecured claims
        against each Emerging New York Entity; therefore, all
        votes cast by the unsecured claimholders in respect of
        the confirmed Joint Plan of Reorganization filed by the
        New Mirant Entities will be deemed votes cast in respect
        of the Supplemental Plan; and

    (e) finding that the Supplemental Plan fully incorporates
        the tax dispute settlement between the Emerging New York
        Entities and the Town of Haverstraw, the Assessor of the
        Town of Haverstraw, the Rockland North Central School
        District and Rockland County, New York; therefore, New
        York Taxing Authorities with claims against the Emerging
        New York Entities are unimpaired under the Supplemental
        Plan.

Jeff P. Prostok, Esq., at Forshey & Prostok LLP, in Fort
Worth, Texas, relates that the proposed Recommencement Notice
establishes March 21, 2007, at 1:30 p.m. prevailing Central
Time, as the date on which the Confirmation Hearing will
recommence, and March 16, 2007, at 4:00 p.m., as the last day to
object to the Supplemental Plan.

The Emerging New York Entities will serve the Recommencement
Notice on all of their creditors.  The Recommencement Notice
will also be published in (i) The Wall Street Journal, and (ii)
The Journal News, no less than 25 days prior to the
recommencement of the Confirmation Hearing.

Mr. Prostok asserts that no further disclosure is required in
connection with the Supplemental Plan because the treatment of
holders of unsecured claims against the Emerging New York
Entities under the Supplemental Plan is identical to the
treatment the holders would have received under the confirmed
Mirant Plan.

Under these circumstances, Mr. Prostok continues, there is no
need for holders of unsecured claims to receive any disclosures
over and above what was received under the Original Disclosure
Statement.  The votes cast by the holders in respect of the
confirmed Mirant Plan should also be deemed votes cast in favor
of the Supplemental Plan, he adds.

Mr. Prostok reminds the Court that Section 1124 of the
Bankruptcy Code provides that a class of claims or interests is
unimpaired if the plan "leaves unaltered the legal, equitable,
and contractual rights to which such claim of interest entitles
the holder of such claim or interest."  Section 1126(f) further
provides that a class of claims that is unimpaired under a plan
is conclusively presumed to have accepted the plan.

Mr. Prostok points out that Class 1 - Taxing Jurisdiction
Settlement Claims is unimpaired since the Supplemental Plan
provides that the Class 1 Claims will "receive the treatment
specified in the New York Settlement."

The Class 1 Claimholders will receive all their legal, equitable
and contractual rights under the New York Settlement without
modification, and should conclusively be deemed to have accepted
the Supplemental Plan, Mr. Prostok asserts.

The Supplemental Plan is available at the Bankruptcy Services
Inc. at Third Avenue, 3rd Floor, New York, New York 10017.

For questions, if any, contact Jeff Prostok, Esq., Forshey &
Prostok LLP 777 Main Street, Suite 1290, Fort Worth, Texas
76102; or Craig H. Averch, Esq., White Case LLP, 633 West Fifth
Street, Suite 1900, Los Angeles, California 90071

                      About Mirant Corp.

Headquartered in Atlanta, Georgia, Mirant Corp. (NYSE: MIR)
-- http://www.mirant.com/-- is an energy company that produces  
and sells electricity in North America, the Caribbean and the
Philippines.  Mirant owns or leases more than 18,000 megawatts
of electric generating capacity globally.  Mirant Corporation
filed for chapter 11 protection on July 14, 2003 (Bankr. N.D.
Tex. 03- 46590), and emerged under the terms of a confirmed
Second Amended Plan on Jan. 3, 2006.  Thomas E. Lauria, Esq., at
White & Case LLP, represented the Debtors in their successful
restructuring.  When the Debtors filed for protection from their
creditors, they listed US$20,574,000,000 in assets and
US$11,401,000,000 in debts.  The Debtors emerged from bankruptcy
on Jan. 3, 2006.

                          *     *     *

Moody's Investors Service assigned its B2 corporate family
rating, effective July 13, 2006, on Mirant Corporation.
Moody's Investors Service assigned its B2 corporate family
rating, effective July 13, 2006, on Mirant Corporation.


WARNER MUSIC: S&P Puts Ratings on Watch After EMI Merger Talks
--------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on Warner
Music Group Corp., including the 'BB-' corporate credit rating,
on CreditWatch with negative implications, following the
company's statement that it is exploring a possible merger
agreement with EMI Group PLC (BB-/Watch Neg/B), which EMI
management has confirmed.

"The two companies have not announced a deal or the possible
structure of financing, other than indicating that consideration
for any deal would be entirely in cash," said Standard & Poor's
credit analyst Michael Altberg.  "This has prompted our
consideration of a potential downgrade."

As of Dec. 31, 2006, Warner Music had approximately US$2.27
billion of debt outstanding.

In resolving the CreditWatch listing, Standard & Poor's will
continue to monitor developments related to the potential buyout
proposal.

                         About EMI Group

Headquartered in London, United Kingdom, EMI Group PLC --
http://www.emigroup.com/-- is the world's largest independent
music company, operating directly in 50 countries and with
licensees in a further 20.  The group has operations in China,
Brazil, and Hungary.  The group employs over 6,600 people.
Revenues in 2005 were near GBP2 billion and operating profit
generated was over GBP225 million.

                     About Warner Music Group

Warner Music Group Corp. (NYSE: WMG) -- http://www.wmg.com/--  
is a music company that operates through numerous international
affiliates and licensees in more than 50 countries, including
the Philippines.


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

CHINA AVIATION: Proposes Dividend of SGD0.02 Per Share
------------------------------------------------------
China Aviation Oil Singapore Corporation Ltd proposed a first
and final dividend of SGD0.02 per share.  This is pursuant to
the increase of the Group's net profit after tax to about SGD369
million for the full year ended Dec. 31, 2006.

Excluding the amount of about SGD312 million of debt waived
under the restructuring exercise, the Group's profit after tax
registered a strong growth of about 95% to SGD57.3 million
compared to 2005.

The Chairman of China Aviation, Lim Jit Poh, said, "We would
like to thank all our shareholders for their continued
confidence and support.  The proposed dividend is evident that
CAO is back on track and has achieved good growth in 2006."
  
The Group's revenue for 2006 was almost SGD3 billion, as
compared to about SGD21 million for 2005.  This large difference
arose because CAO resumed jet fuel procurement on a principal
basis in June 2006 and recorded the value of the underlying
contracts as revenue.  Prior to this, only commission income
received was recorded as revenue under the agency model of
procurement.

In 2006, 4.66 million Metric Tonnes of jet fuel was procured as
against 3.04 million MT in 2005.  This represents an increase of
53%.  Gross profit from jet fuel procurement also increased 31%
to SGD22.4 million.

The Group received SGD15.2 million in dividend from its 5%
investment in Compania Logistica de Hidrocarburos, S.A.  This
was higher than SGD11 million received in 2005.  CAO's associate
company, Shanghai Pudong International Aviation Fuel Supply
Company Ltd, contributed SGD35.5 million to the profit, compared
to SGD38.8 million for 2005.

The reduction in total expenses incurred of about US$7 million
or 21% compared with 2005 helped contribute to the Group's
better overall performance in 2006.  This was primarily due to
lower professional fees incurred following the completion of the
restructuring exercise.  However, there was an increase of
about US$4 million in finance costs as interest payments of
about US$8.4 million were made for the deferred debt under the
restructuring exercise.

Looking forward, jet fuel demand in China is expected to grow
with increased air travel.  However, import level is linked to
domestic production.  Overall, the Group expects the import
volume to remain stable.

Over the course of the year, the Board had continually focused
on strengthening CAO's corporate governance, rebuilding its core
business and setting future directions.

The Board implemented most of the proposals recommended by the
Corporate Governance Assessment Committee to improve the Group's
corporate governance.  These include the establishment of
additional Board Committees, strengthening internal audit
functions, setting up a whistle blowing system and improving
risk management and internal control capabilities.

On the business front, the Group successfully changed its jet
fuel procurement business from agency to principal model in June
2006.  This marked a milestone for CAO in rebuilding its core
business and laid the foundation for the resumption of trading.

Further, the Board took the decision to rationalize the
company's investments.  The company entered into a conditional
sale and purchase agreement on Jan. 24, 2007, to sell its 5%
stake in Compania Logistica for EUR171 million or SGD342
million.  It is the intention of the Board to use the cash
proceeds from this sale to retire all the debts under the
Creditors' Scheme earlier than scheduled.

If this is successful, the Group will save a total interest
expense of US$13.1 million over the next four years.  The Board
believes that full prepayment of the debt will not only relieve
CAO of its debt burden, thereby enhancing the Group's ability
and flexibility to generate future earnings, but will also
improve its standing with existing lenders.

The Group also sold a portion of its stake in Xinyuan
Petrochemicals Co. Ltd, a non-core investment, to another
shareholder of Xinyuan, reducing its equity stake from 80% to
39%.  The Board believes that the purchaser is better placed to
exploit the potential of Xinyuan's lossmaking oil tank farm and
in turn help increase CAO's return on its investment.  However,
the Group retains its 33% interest in Pudong, as its business
model is in line with CAO's core business and it has generated
good performance.

"Whilst CAO focused on building strong foundations in 2006, the
company will implement its development strategy for growth in
2007.  The company hopes to complete the joint-asset injection
plan under the Memorandum of Understanding signed with China
National Aviation Fuel Holding Company and with BP, and to
resume trading activities that are consistent with good risk
management practices," said Mr. Lim.

               About China Aviation Oil (Singapore)

Incorporated in 1983, China Aviation Oil (Singapore) Corp.
Limited -- http://www.caosco.com/-- deals primarily in jet fuel
procurement, although it is also active in international oil
trading and oil-related investment.  The firm commands a near-
100% market share of the procurement of imported jet fuel for
China's civil aviation industry, and has expanded its market to
include ASEAN countries, the Far East and the United States.

The company is undergoing restructuring.  Its Restructuring Plan
was approved by shareholders on March 3, 2006, and sanctioned by
the High Court of Singapore on March 21, 2006.  It became
effective on March 28, 2006.

As reported in the Troubled Company Reporter - Asia Pacific on
Nov. 10, 2006, the company is currently working with an
insolvent balance sheet, with a US$390.07 million shareholder's
deficit on total assets of US$211.96 million.


COMPACT METAL: Net Loss Down by 43% to SGD14.34 Mil. in FY 2006
---------------------------------------------------------------
On Feb. 27, 2007, Compact Metal Industries Limited submitted to
the Singapore Stock Exchange its unaudited financial results for
the fiscal year ended Dec. 31, 2006.

The Group reported a net loss of SGD14.34 million for the fiscal
year ended Dec. 31, 2006, a 43% decrease from the recorded
SGD25.19 million net loss in the fiscal year ended Dec. 31,
2005.   The Group attributed the significant reduction to lower
losses incurred in the facade engineering business of SGD8.5
million and a gain of SGD1.6 million from the sale of its entire
shareholding in an associate company in 2006.

For the fiscal year ended Dec. 31, 2006, the Group reported
SGD66.81 million in revenues, a 14% decrease against the SGD77.7
million revenues in the corresponding period in 2005.

As of Dec. 31, 2006, the Group's balance sheet showed SGD72.04
million in total assets and SGD128.0 million in total
liabilities, resulting in a shareholders' equity deficit of
SGD55.96 million.

On the other hand, the company's balance sheet as of Dec. 31,
2006, showed total assets of SGD40.93 million and SGD90.95
million in total liabilities leaving a shareholders' equity
deficit of SGD50.02 million.

A full-text copy of the company's financial statement for the
fiscal year ended Dec. 31, 2006, is available for free at:

         http://bankrupt.com/misc/CompactMetalFY2006.pdf

                       About Compact Metal

Headquartered in Singapore, with offices in Malaysia, Compact
Metal Industries Limited manufactures, fabricates, and sells
aluminum windows and doors, aluminum sections, and other metal
products.  The company also manufactures and sells bricks,
undertakes aluminum architectural contracts and engineering
works, and sub-contracts building projects.  Its other
activities include trading aluminium and related products, and
hotel ownership and others.

As reported by the Troubled Company Reporter - Asia Pacific on
Aug. 10, 2006, auditors KPMG raised significant doubt on
Compact Metal's ability to continue as a going concern, citing
reasons that include:

     i. the group's and company's current liabilities that
        exceeded their current assets by SGD81.96 million and
        SGD78.82 million, respectively, as of December 31, 2005;

    ii. the group's and company's recorded net liabilities
        attributable to equity holders of the parent of
        SGD43.10 million and US$43.83 million, respectively, as
        of December 31, 2005; and

   iii. the group's recorded recurring losses with net losses
        attributable to equity holders of the parent of
        US$24.09 million for the year ended December 31, 2005.


DREAMWORLD ENTERTAINMENT: Proofs of Debt Due on March 23
--------------------------------------------------------
Chee Yoh Chuang and Lim Lee Meng, the appointed liquidators of
Dreamworld Entertainment Pte Ltd, requires the company's
creditors to file their proofs of debt by March 23, 2007.

Creditors who cannot prove debts by the due date will be
excluded from 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


EXCEL MACHINE: Creditors Approve Statement of Proposals at EGM
--------------------------------------------------------------
At an extraordinary general meeting held on Feb. 15, 2007, the
requisite majority creditors of Excel Machine Tools Ltd -- under
judicial management -- approved the judicial managers' Statement
of Proposals and the proposed Scheme of Arrangement.

The judicial managers will be applying to the High Court of
Singapore for sanction of the Scheme of Arrangement.

Moreover, the company's independent shareholders passed the two
ordinary resolutions at a meeting held on Feb. 23, 2007.

The two ordinary resolutions are:

   -- to approve the Subscription Agreement and the Issue of New
      Shares; and

   -- to approve the Whitewash Resolution.


FAIRFAX FINANCIAL: Earns US$159.1 Million in 2006 Fourth Quarter
----------------------------------------------------------------
Fairfax Financial Holdings Ltd. reported US$159.1 million in net
earnings for the fourth quarter of 2006 and US$227.5 million for
the 2006 year, including the effects of a US$69.7 million pre-
tax gain on the secondary offering of OdysseyRe common stock
during the fourth quarter and a US$412.6 million pre-tax and
after-tax non-cash charge related to the commutation in the
third quarter of the Swiss Re corporate insurance cover.

Fairfax's insurance and reinsurance operations generated
favorable underwriting results in 2006, notwithstanding the
anticipated continued broad softening in 2006 in commercial
insurance and reinsurance classes and lines of business other
than certain catastrophe-exposed commercial property markets.  
The combined ratios of Fairfax's insurance and reinsurance
operations were 88.4% and 95.5% for the fourth quarter and 2006
year, respectively, compared to 112.7% and 107.7% for the fourth
quarter and 2005 year, respectively (prior to giving effect to
the 2005 hurricane losses, the 2005 fourth quarter and fiscal
year combined ratios were 92.0% and 93.7%, respectively).  
Fairfax's insurance and reinsurance operations produced an
aggregate underwriting profit of US$198.2 million in 2006,
compared to an aggregate underwriting loss of US$333.9 million
in 2005.

The improved underwriting results and significantly increased
investment income, combined with major initiatives including the
company's OdysseyRe secondary offering and the commutation of
the Swiss Re corporate insurance cover, allowed Fairfax to
strengthen its financial position during 2006.  Corporate
liquidity remained strong, and Fairfax ended 2006 with US$767.4
million of cash, short- term investments and marketable
securities at the holding company level, increased from US$559.0
million at the end of 2005.  Holding company debt decreased by
US$210.1 million during the year to US$1,399.7 million, and
Fairfax's debt maturity profile remained largely unchanged, with
no significant debt maturities until 2012.

"During 2006, our operating insurance and reinsurance
subsidiaries performed well and generated significant
underwriting profits, while in our runoff units we continued to
make solid progress in reducing claims and containing costs,"
Prem Watsa, chairman and CEO, commented.  "Our investment
performance was gratifying given the conservative positioning of
our investment portfolio.  We successfully undertook several
measures to significantly strengthen our balance sheet and to
bolster our liquidity.  We enter 2007 with improved financial
strength, disciplined and underwriting-focused operating teams
at our insurance and reinsurance companies, effective and
economical management of our runoff units and very conservative
investment portfolios."

Other highlights for 2006 included:

   * Net premiums written during 2006 at the company'
     insurance and reinsurance operations increased modestly to
     US$4.43 billion from US$4.35 billion.

   * Cash flow from operations at Northbridge, Crum & Forster
     and OdysseyRe during 2006, even though impacted by the
     payment of 2005 hurricane claims, increased significantly
     to US$1,024.0 million from US$752.4 million in 2005.

   * Total interest and dividend income increased to
     US$746.5 million in 2006 from US$466.1 million in 2005, due
     primarily to higher short term interest rates and increased
     investment portfolios arising from positive cash flows from
     operations and the realization of investment gains.

   * Net realized gains on portfolio investments in 2006
     increased significantly to US$765.6 million (after being
     reduced by US$251.0 million of losses, including mark-to-
     market adjustments recorded as realized losses, related to
     derivative securities positions) from US$385.7 million in
     2005 (after being reduced by US$107.8 million of losses,
     including mark-to-market adjustments recorded as realized
     losses, related to derivative securities positions).

   * During the fourth quarter, the company sold 10.165 million
     common shares of OdysseyRe in a public secondary offering
     for net proceeds of US$337.6 million and a gain on sale of
     US$69.7 million, reducing the company's ownership of
     OdysseyRe to 59.6%.

   * During the third quarter, the company commuted the Swiss
     Re corporate insurance cover.  As a result of this
     transaction, reinsurance recoverables declined by US$1
     billion, funds withheld payable to reinsurers declined by
     US$587.4 million and the company recorded a US$412.6  
     million non-cash charge (pre-tax and after-tax) in its
     European runoff unit.

   * The Runoff and Other segment had a 2006 pre-tax loss of
     US$20.8 million excluding the financial impact of the
     aforementioned gain on the OdysseyRe common shares sold by
     U.S. Runoff companies to facilitate the company's public
     secondary offering (U.S. Runoff recorded a pre-tax gain on
     sale of US$111.6 million, a portion of which was eliminated
     on consolidation, resulting in a US$69.7 million pre-tax
     gain on a consolidated basis) and the US$412.6 million pre-
     tax and after-tax charge recorded by European Runoff on
     the commutation of the Swiss Re corporate insurance cover.
     The 2006 pre-tax loss for Runoff and Other was US$321.8
     million.

   * During the fourth quarter of 2006, in recognition of
     progress made to date and the reduced level of resources
     required going forward, the company announced the closing
     of three U.S. runoff locations and reduced worldwide
     runoff staffing levels, incurring a pre-tax charge of
     US$14.7 million.

   * Consolidated cash and investments increased to US$16.8
     billion at December 31, 2006 from US$14.9 billion at
     the end of 2005 (net of US$783.3 million and US$700.3
     million, respectively, of liabilities for economic hedges
     against a decline in the equity markets).

   * The pre-tax net unrealized gain on portfolio investments
     declined to US$310.6 million at December 31, 2006 from
     US$558.4 million at the end of 2005, after realizing
     US$765.6 million in net gains during 2006.

   * Total common shareholders' equity increased to US$2.7
     billion (US$150.16 per basic share) at December 31, 2006
     from US$2.4 billion (US$137.50 per basic share) at Dec. 31,
     2005, principally as a result of 2006 earnings.

   * Reinsurance recoverables decreased to US$5.5 billion at
     December 31, 2006 from US$7.7 billion at December 31, 2005,
     reflecting the US$1 billion Swiss Re commutation,
     collections on paid claims related to 2005 hurricane ceded
     losses and continued collections and commutations by the
     runoff units.

   * At December 31, 2006, Crum & Forster's principal operating
     subsidiaries remained in a positive earned surplus
     position, with a combined estimated dividend capacity in
     2007 of US$138.4 million.

Fairfax's 2006 Annual Report is scheduled to be posted on its
Web site -- http://www.fairfax.ca/-- after the close of markets  
on March 9, 2007 and will be mailed shortly thereafter to
shareholders.

Fairfax held a conference call to discuss its year-end results
on Feb. 23, 2007.  A replay of the call will be available from
shortly after the termination of the call until 5:00 p.m.
Eastern time on March 9, 2007. The replay may be accessed at
(888) 562-2937 (Canada and U.S.) or 1 (203) 369-3751
(International).

Based in Toronto, Ontario, Fairfax Financial Holdings Ltd.  
(TSX: FFH)(NYSE: FFH) -- http://www.fairfax.ca/-- is a  
financial services holding company with subsidiaries engaged in
property and liability insurance and reinsurance in Canada, the
United States, and internationally.

Fairfax Asia comprises the company's Asian holdings and
operations: Singapore-based First Capital Insurance Limited,
Hong Kong-based Falcon Insurance Limited and a 26.0% equity-
accounted interest in Mumbai-based ICICI Lombard General
Insurance Company Limited, India's largest (by market share)
private general insurer (the remaining 74.0% interest is held by
ICICI Bank, India's second largest commercial bank).

                          *     *     *

Moody's Investors Service changed the rating outlook for Fairfax
Financial Holdings Ltd.'s Ba3 senior debt rating to stable from
negative.  Moody's said the change in outlook reflects the
improved liquidity position at the holding company and within
FFH's run-off operations.


GETRONICS NV: Inks Strategic Partnership with NTT Data Corp
-----------------------------------------------------------
Klaas Wagenaar, CEO of Getronics N.V., and Tomokazu Hamaguchi,
President and CEO of NTT Data Corp., have agreed to form a
strategic partnership between the firms in Japan.

The proposed transaction will enable Getronics to expand its
workspace management activities in Japan and increase
international client business with NTT Data Corporation. As part
of this strategic partnership, NTT Data Corporation has agreed
to acquire 70% of Getronics' local operations in Japan for an
undisclosed sum.  The proposed transaction is subject to
agreement of definitive documents and necessary consents, and
will be completed in the second quarter of 2007.

NTT Data Corporation is well established in Japan, with a
particularly strong position in the financial services sector
and an extensive local service network.  Getronics' current
Japanese business is also strong in the financial services
sector, in particular in the area of banking application
services. As such, there is a strong fit between the two
operations.

NTT Data Corporation will work closely with Getronics to ensure
that the interface with Getronics' Global Service Delivery Model
is effective and that their local service delivery operations
are smoothly integrated with Getronics' remote service delivery
network.  NTT Data Corporation's established local presence in
Japan will help Getronics to increase its regional profile. In
turn, Getronics' leadership position in service innovation will
enable NTT Data Corporation to follow more opportunities with
new and existing clients.

"By forming strong partnerships with leading local players,
Getronics can ensure the depth of service that our international
clients demand," Mr. Wagenaar said. "We also look forward to
exploring shared business opportunities with NTT Data
Corporation, as its major clients look to our key markets."

Getronics operations in Japan generated EUR103 million of
revenues in 2006.  The parties expect that no further financial
details will be provided until completion.

                   About NTT Data Corporation

NTT Data Corporation is a public company currently traded on the
Tokyo Stock Exchange (9613 JP) and is a subsidiary of NTT Group
of Japan. NTT is an abbreviation for Nippon Telegraph and
Telephone Corporation of Japan.  As an US$8 billion system
integrator with over 20,000 employees globally, NTT Data
Corporation has regional offices/subsidiaries in Japan, Asia
(Beijing, Shanghai, South Korea, and Kuala Lumpur), Europe
(London) and North America (New York, New Jersey, Pennsylvania,
Washington D.C., and California).

                         About Getronics

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

                          *     *     *

Getronics N.V.'s 'B' long-term corporate credit rating, along
with the 'CCC+' senior unsecured debt, 'B' bank loan, and '3'
recovery ratings on CreditWatch with negative implications,
where they had originally been placed on Jan. 19.

The '3' recovery rating indicates Standard & Poor's expectation
of meaningful (50%-80%) recovery of principal for secured
lenders in the event of a payment default.

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


LIFEXCHANGE ASIA: Pays Preferential Dividend
--------------------------------------------
Lifexchange Asia Pacific Pte Ltd paid the first and final
dividend to its creditors on Feb. 26, 2007.

The company paid 100% to all received claims.

The liquidators can be reached at:

         Chia Soo Hien
         Ng Geok Mui
         5 Shenton Way
         #07-01 UIC Building
         Singapore 068808


MONEYLINE TELERATE: Creditors Must Prove Debts by March 23
----------------------------------------------------------
The creditors of Moneyline Telerate (Singapore) Pte Ltd are
required to prove their debts by March 23, 2007.

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

The liquidators can be reached at:

         Lau Chin Huat
         c/o 6 Shenton Way #32-00
         DBS Building Tower Two
         Singapore 068809


PETROLEO BRASILEIRO: To Study Petrosix Technology at Attarat
------------------------------------------------------------
Brazilian state oil firm Petroleo Brasileiro SA has signed a
memorandum of understanding with Jordan's energy and mineral
resources ministry to study the use of its Petrosix technology
at block AUG 21 in the Attarat field, Business News Americas
reports.

Business News Americas relates that AUG 21 covers about 11
square kilometers and has potential reserves of 1.7 billion
barrels.

Petroleo Brasileiro said in a statement that its international
and downstream officials will conduct the two-year technical and
economic feasibility studies.

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

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

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

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

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

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


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

DAIMLERCHRYSLER: Plans to Cut 1,000 Salaried Jobs by June 2007
--------------------------------------------------------------
As part of DaimlerChrysler AG's Chrysler Group Recovery and
Transformation Plan, the company has targeted the reduction of
2,000 salaried positions by 2008.

The Chrysler Group intends to reach that target through
attrition and special programs.  The special programs include
the following separation incentive and early retirement packages
for non-bargaining unit, or salaried employees.

The aim of the packages is to reach the 2007 reduction target of
1,000 salaried positions by June 30, 2007.

The packages include the following programs:

   Separation Incentive Program:

   * Eligibility

     All non-union salaried employees aged 62 or older with 10
     Or more years of service as of May 31, 2007.

   * Program Terms:

     -- Offers made May 7, 2007, and returned by May 31, 2007.

     -- Retirements effective May 31, 2007.

     -- Program incentives include three months salary and
        either a US$20,000 car voucher grossed up for taxes, or
        a US$20,000 contribution to the Retirement Health Care
        Account.

     -- 100% Retiree Choice medical credits through aged 64 and
        at age 65 100% Credits in the Health Care Retirement
        Account.  Ordinarily, an employee must be aged 60 with
        30 years of service to receive 100%.

   Special Early Retirement:

   * Eligibility

     All non-union salaried employees aged 53 to 61 years old
     with 10 or more years of service, with earnings in 2006 of
     less than US$100,000 and select non-union salaried
     employees, aged 55 to 61 years old with 10 or more years of
     service with 2006 earnings of US$100,000 or greater.

     -- This is in compliance with Internal Revenue Service
        guidelines.

     -- Eligibility requirements must be satisfied by June 30,
        2007.

   * Program Terms:

     -- Offers will be made to select employees Jun. 4, 2007,
        and returned by Jun. 29, 2007.

     -- Retirements effective Jun. 30, 2007.

     -- Retirement benefits will not be reduced by an early
        retirement reduction percent.

     -- 100% Retiree Choice medical credits through age 64 and
        at age 65 100% credits in the Health Care Retirement
        Account.  Ordinarily, an employee must be age 60 with 30
        years of service to receive 100%.

DaimlerChrysler had about 16,800 salaried workers and about
82,500 total employees as of Dec. 31, 2006, Reuters reports
citing Chrysler Group spokesman Mike Aberlich.

                    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.


DAIMLERCHRYSLER: Chrysler & UAW Ink Two Employee Incentive Deals
----------------------------------------------------------------
DaimlerChrysler AG's Chrysler Group and the United Auto Workers
agreed to two special programs that will provide retirement and
separation incentives for the Company's bargaining-unit
employees in the United States as part of the Chrysler Group's
Recovery and Transformation Plan.

The negotiated programs include an Incentive Program for
Retirement with US$70,000 cash lump-sum amount for employees
with 30 or more years of credited service, or who meet a
combination of age and years-of-service eligibility, and an
Enhanced Voluntary Termination of Employment Program, which
provides a lump sum payment USof $100,000 for employees with at
least one year of credited service.

"These actions enable us to become more competitive going
forward," Chrysler Group Communications Vice President Jason
Vines said.

"Chrysler Group and the UAW want to ensure that we have socially
responsible separation incentives that will allow us to align
our workforce needs with the capacity needs of our manufacturing
operations."

A letter outlining the plans was sent to affected employees
yesterday.

                   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.


DAIMLERCHRYSLER AG: May Accept GM Stake in Exchange for Chrysler
----------------------------------------------------------------
DaimlerChrysler AG mulls accepting a minority stake in General
Motors Corp. in return for Chrysler if both groups come to an
agreement on the sale of the unit, John Reed writes for the
Financial Times.

As reported in the Troubled Company Reporter-Europe on Feb. 19,
citing German publication Manager Magazin, DaimlerChrysler and
General Motors are in talks about a possible purchase of the
Chrysler Group by GM.

If the all-equity deal pushes through, DaimlerChrysler stands to
save billions of dollars in synergies and merger costs, FT
states.

According to the report, both companies have not confirmed the
discussions, although at least two of DaimlerChrysler
institutional shareholders are in favor of the all-share deal.

DaimlerChrysler also has the option to sell the ailing unit to
private equity or industry investors and is relying on JPMorgan
Chase for advice on its available alternatives, FT relates.

                   About General Motors Corp.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- is the  
world's largest automaker and has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 284,000
people around the world.  It has manufacturing operations in 33
countries and its vehicles are sold in 200 countries.  GM sells
cars and trucks under these brands: Buick, Cadillac, Chevrolet,
GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab, Saturn, and
Vauxhall.

                     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.


DAIMLERCHRYSLER AG: Chrysler Eyes Sale of Dodge Cars in China
-------------------------------------------------------------
Chrysler Group, the troubled U.S. unit of DaimlerChrysler AG,
will start selling Dodge cars in China to further tap demand and
increase market share in the country, Bloomberg News reports.

Chrysler will introduce a Dodge model, three Jeep models and one
Chrysler vehicle in China this year.  Chrysler sold 1,477 cars
in January, up 81% from the same period in 2006.

The company will also start the production of its Chrysler
Sebring sedans at its joint venture in Beijing at end-2007,
Trevor Hale, a DaimlerChrysler spokesman in China, told
Bloomberg News.

The company's profitable Mercedes-Benz unit, meanwhile,
currently trails behind Audi and BMW, which have been in China
for around two years.  Mercedes-Benz sold 2,700 units in
January, up 64% from the same period in 2006, Bloomberg News
relays.

DaimlerChrysler and its partners are investing EUR1.5 billion in
China to increase capacity and hike its market share.  
The company opened a manufacturing site with 105,000-unit
capacity in Beijing in September 2006.  The site could produce
up to 25,000 Mercedes-Benz E-Class and C-Class sedans annually,
as well as Chrysler and Mitsubishi Motor vehicles.

                   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.


G STEEL: Appoints New Member to Board of Directors
--------------------------------------------------
In a regulatory filing with the Stock Exchange of Thailand on
Feb. 27, 2007, G Steel PCL disclosed that Kornpranom Wongmongkol
had been appointed as a new member to the company's board of
directors.  Mr. Kornpranom now fills the vacant position left by
Stephane Benayon, who resigned from the board on Jan. 5.

The other members of the board are:

          -- Somsak Leeswadtrakul
          -- Patama Chiachuabsilp
          -- Pol. Lt. General Prakard Sataman
          -- Yanyong Kurovat co-signing with Vijit Supinit
          -- Ryuzo Ogino
          -- Sasivimon Kasemsri

                        About G Steel PCL

G Steel Public Company Ltd, headquartered in Bangkok, produces
hot rolled coils (HRC) in different grades and gauges.  G Steel
is a stand-alone operating entity with no related group
companies.

                          *     *     *

Standard & Poor's Ratings Services said on September 26, 2006,
that it has affirmed the B+ corporate credit rating on
Thailand's G Steel Public Co. Ltd.  The outlook is negative.

In addition, Moody's Investors Service on September 21, 2006,
downgraded G Steel's corporate family and senior unsecured bond
ratings from B1 to B2.

This rating action follows the company's announcement that it
has completed the purchase of up to US$180 million in NSM
convertible bonds, which will allow G Steel to convert into
approximately 33% stake in NSM over the next 18 months.  The
ratings outlook is stable.


ITV PCL: Gov't Will Seize Control if Penalties Are Unsettled
------------------------------------------------------------
Thailand's military-backed government will seize iTV Pcl, unless
the broadcaster pays THB100 billion (US$2.8 billion) in
penalties by Mar. 6, 2007, Bloomberg News reports.

Bloomberg relates that seizing the broadcaster from Temasek
Holdings Pte, the Singaporean company that controls it, may
deepen a diplomatic crisis that escalated after Thailand's army
chief accused Singapore of spying with assets bought from former
Prime Minister Thaksin Shinawatra.  Moreover, it would also
leave all six free-to-air Thai networks in the hands of the
government, which was installed by the military after Prime
Minister Thaksin was deposed in a September coup.

However, according to Bloomberg, iTV Executive Chairman
Niwattumrong Boonsongpaisan said that it will be impossible for
iTV to settle the fines, which were imposed because the company
did not show enough news and educational programs, and pay a
full concession for its license.

iTV's fines, the report further explains, arose because iTV was
granted reduced concession fees and a cut in the number of hours
it had to devote to news and educational programming by an
arbitration panel in 2005.  Thai courts later overturned the
panel's decision and ordered iTV to pay THB2.2 billion in back-
fees and interest of 15%, plus a THB97.8 billion fine.  The
company was also told to restore programming to 70% news and
education.

The company had proposed paying only the back-fees, pending an
arbitration tribunal decision on whether the fine is reasonable
and the conditions are fair, Bloomberg recalls.  In January, the
company proposed that the Government take a controlling stake to
offset some of the money owed, or for it to be allowed to pay
concession fees in installments, while the fine is negotiated.

                        Temasek, Thaksin

Bloomberg recounts that Temasek, in 2006, led a group of
investors buying Shin Corp., which controls iTV; Advanced Info
Service Pcl, Thailand's biggest mobile-phone company; and Shin
Satellite Pcl, the country's only satellite operator among other
assets.

The group, the report relates, bought more than 96% of Shin
Corp. for THB143.12 billion.  About half was bought from Prime
Minster Thaksin's family, sparking demonstrations because the
deal was structured so they didn't have to pay tax on the
proceeds.

Bloomberg explains that the subsequent coup, the imposition of
capital controls and an escalation of violence by Muslim
separatists triggered an exodus by investors.  The value of
investment applications in Thailand fell 24%.

The military junta deployed soldiers in Thai newspapers and
television stations after the coup and directed media not to
report Prime Minister Thaksin's movements or comments.

                          iTV Turnover

Thailand's interim government, installed by the junta following
the Sept. 19 coup, intends to establish a committee under
Thipawadi Meksawan, minister to the Prime Minister's Office, to
run iTV until it finds experts in the television business to
take over, the report says, citing Finance Minister Pridiyathorn
Devakula.

iTV's name will be changed, and the Government will continue to
pursue payment, Mr. Pridiyathorn said.

Mr. Pridiyathorn told Bloomberg that the Government wants to
make the transition for iTV as smooth as it can and that it
intends to keep all the network's employees.

iTV will try to compensate workers who will be forced to find
new jobs or sign onto the state-run version of iTV, Bloomberg
relates.  The company will hold a shareholder meeting on March
20.

                           About iTV

iTV Pcl's principal activity is producing and broadcasting
television programs and channels, including the promotion of
related rights and assets.  Shin Corp Plc is iTV's major
shareholder, with a 53% stake.  Singapore's state investment arm
Temasek Holdings controls more than 96% of Shin, which was
previously owned by caretaker Prime Minister Thaksin
Shinawatra's family.  Earlier this year, it sold its majority
stake in iTV to Temasek.

The Troubled Company Reporter - Asia Pacific reported on
June 23, 2006, that the Prime Minister's Office demanded a
concession fee payment and fines to the government from the
television network.

The demand, TCR-AP recounted, was a result of the Arbitration
Court's consent given to the company to pay an annual concession
fee to the Prime Minister's Office amounting to THB230 million.
The original rate before the consent amounted to THB1 billion
per year.

On Dec. 15, 2006, the TCR-AP reported that the Supreme
Administrative Court upheld the Central Administrative Court's
verdict by voiding the arbitration ruling on concession fee
payments won by iTV in 2004.  The overdue concession payment and
fines that the broadcaster must pay reached THB100 billion.

The TCR-AP reported on Feb. 22, 2007 that the Central
Administrative Court denied iTV Plc's request for an urgent
hearing pertaining to its petition to temporarily block the
Prime Minister's Office from revoking its broadcast concession
if it fails to pay the THB100 billion fee and fine by March 6,
2007.


PHELPS DODGE: Moody's Lowers Ratings on US$556.7MM Notes to B1
--------------------------------------------------------------
Moody's Investors Service confirmed Freeport-McMoRan Copper &
Gold Inc.'s Ba3 corporate family rating and reported a number of
rating actions with respect to Freeport and Phelps Dodge
Corporation.  

The ratings actions are based on the assumption that Freeport
completes the acquisition of Phelps Dodge on substantially the
terms agreed.  The ratings reflect the overall probability of
default of Freeport, to which Moody's assigns a PDR of Ba3,
LGD4, 50%.  The outlook for both Freeport and Phelps Dodge is
stable.

In related rating actions, Moody's assigned a Baa3, LGD1, 1.0%
senior secured rating to Freeport's $500 million secured
revolver and Ba2, LGD2, 29% senior secured ratings to each of
Freeport's $1 billion secured revolver, $2.5 billion secured
Term Loan A, and US$7.5 billion secured Term Loan B.  
Freeport's existing 6.875%, 10.125% and 7.20% senior unsecured
notes, which are being granted a security and guarantee package
equivalent to the US$1 billion revolver and Term Loans A & B,
were upgraded to Ba2, LGD2, 29% from B1.

Moody's downgraded Phelps Dodge's Cyprus Amax notes, which
mature in May 2007, as well as the ratings on Phelps Dodge's
other existing senior unsecured notes to B1, LGD4, 63% from
Baa2.  Moody's also affirmed Freeport's SGL-1 Speculative Grade
Liquidity rating.  This concludes Moody's review of the ratings
of Freeport and Phelps Dodge begun on Nov. 20, 2006 following
the disclosure that Freeport had agreed to acquire Phelps Dodge
for US$26 billion.

The Ba3 corporate family rating reflects Freeport's very high
debt level of approximately US$19 billion and what Moody's
believes will be a protracted time frame for debt reduction in
the face of softening metals prices and continued high cost
challenges. The rating also considers the high concentration in
copper and resultant variability in earnings and cash flow,
significant capital expenditures, and a high level of reliance
on the Grasberg mine in Indonesia.  The rating also reflects the
cultural challenges inherent in the acquisition of the larger
Phelps Dodge by Freeport, and the execution and political risk
of Phelps Dodge's development project in the Congo.  The Ba3
rating favorably considers the company's leading positions in
copper and molybdenum, a significant amount of gold production,
the low cost, long-life reserves at PT-FI, and improved
operating and political diversity.

Ratings confirmed:

   * Freeport-McMoRan Copper & Gold Inc.

      -- Corporate Family Rating: Ba3
      -- Probability of Default Rating: Ba3

Ratings assigned:

   * Freeport-McMoRan Copper & Gold Inc.

      -- US$0.5 billion Senior Secured Revolving Credit
         facility, Baa3, LGD1, 1.0%

      -- US$1.0 billion Senior Secured Revolving Credit
         Facility, Ba2, LGD2, 29%

      -- US$2.5 billion Senior Secured Term Loan A, Ba2, LGD2,
         29%

      -- US$7.5 billion Senior Secured Term Loan B, Ba2, LGD2,
         29%

Ratings to be upgraded:

   * Freeport-McMoRan Copper & Gold Inc.

      -- US$340 million 6.875% Senior Unsecured Notes due 2014,
         B1 to Ba2, LGD2, 29%

      -- US$272 million 10.125% Senior Unsecured Notes due 2010,
         B1 to Ba2, LGD2, 29%

      -- US$0.2 million 7.20% Senior Unsecured Notes due 2026,
         B1 to Ba2, LGD2, 29%

Ratings to be downgraded:

   * Cyprus Amax Minerals Company

      -- US$60.1 million 7.375% Senior Notes due 2007, Baa2 to
         B1, LGD4, 63%

   * Phelps Dodge Corporation

      -- US$107.9 million 8.75% Senior Notes due 2011, Baa2 to
         B1, LGD4, 63%

      -- US$115 million 7.125% Senior Notes due 2027, Baa2 to
         B1, LGD4, 63%

      -- US$150 million 6.125% Senior Notes due 2034, Baa2 to
         B1, LGD4, 63%

      -- US$193.8 million 9.50% Senior Notes due 2031, Baa2 to
         B1, LGD4, 63%

Ratings to be withdrawn:

   * PD Capital Trust I

      -- Preferred Stock Shelf, currently (P)Baa3

   * PD Capital Trust II

      -- Preferred Stock Shelf, currently (P)Baa3

   * Phelps Dodge Corporation

      -- Multiple Seniority Shelf, currently (P)Ba1

Outlook Actions:

   * Freeport-McMoRan Copper & Gold Inc.

      -- Outlook, Changed To Stable from Rating Under Review

   * Cyprus Amax Minerals Company

      -- Outlook, Changed To Stable from Rating Under Review

   * Phelps Dodge Corporation

      -- Outlook, Changed To Stable from Rating Under Review

                  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.





                            *********

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 ***