TCRAP_Public/070302.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  

             Friday, March 2, 2007, Vol. 10, No. 44

                            Headlines

A U S T R A L I A

AUBURN FRUIT: Liquidator to Present Wind-Up Report
BRINTAM PTY: Members to Receive Wind-Up Report
DRIVELINE PUMPS: Federal Court Enters Wind-Up Order
EVANS & TATE: Reports AU$6.7MM Net Loss for HY-Ended Dec. 2006
FREESURF PUBLISHING: Members to Hear Wind-Up Report

J.R. THOMAS: Federal Court Issues Wind-Up Order
LIFESTYLE VISION: Members Resolve to Close Business
PROLEC ENTERPRISES: Members and Creditors to Meet on March 28
ST GEORGE: Will Declare Dividend for Unsecured Creditors
SYMBION HEALTH: Reports AU$94 Million EBIT for 1H2007, Up 16%

SYMBION HEALTH: Caroly Kay Resigns as Non-Executive Director
THE TEXT CITY: Members to Receive Wind-Up Report
TOPCON AUSTRALIA: Creditors Must Prove Debts by March 20


C H I N A   &   H O N G  K O N G

EAST RIGHT: Placed Under Members' Voluntary Liquidation
FINSTAR LIMITED: Members' Final Meeting Slated for March 23
MANLAI COURT: Liquidators Quit Posts
PACICO INTERNATIONAL: Creditors Must Prove Debts by March 23
YIU WING: Court to Hear Wind-Up Petition on March 14


I N D I A

AES CORP: Restatement Issues Won't Affect Ratings Yet, S&P Says
AES CORP: Fitch Affirms Subsidiary's B- Issuer Default Rating
GENERAL MOTORS: Expects 6-7% Decrease in February U.S. Sales
LML LTD: Narrows 4Q Net Loss to INR144.5 Mil. from INR226 Mil.
ORIENTAL BANK OF COMMERCE: Increases BPLR to 12.50% from 11.75%

RELIANCE INDUSTRIES: Seeks Members' Consent for Warrants Issue
RELIANCE INDUSTRIES: Discloses Board Resolutions at Meeting
* India Budget Shows Efforts on Fiscal Consolidation, S&P Says


I N D O N E S I A

ALCATEL-LUCENT: Inks Marketing Partnership Pact with ConSentry
ALLIANCE ONE: Amends & Restates Senior Secured Credit Facility
EXCELCOMINDO PRATAMA: Sets to Issue IDR1.5-Tril. Bond in April
EXCELCOMINDO PRATAMA: Promotes Mobile Video Services
FOSTER WHEELER Wins Contract for Terrace-Wall Reformer

FOSTER WHEELER: Wins Contract from Nigeria's LNG Liquefaction
GENERAL NUTRITION: Moody's Assigns 'B3' Corporate Family Rating
MCDERMOTT INT'L: No TXU Update Regarding Contracts Amidst Sale
TELKOM INDONESIA: Plans to Lower Internet Speedy Access Rate
TELKOM INDONESIA: Gov't Nominates CFO Rinaldi Firmansyah as CEO

TELKOM INDONESIA: Workers Union Calls for Reshuffle


J A P A N

BANCO BRADESCO: Fourth Quarter 2006 Results Worse Than 2005
BANCO BRADESCO: Regulator Fines Bank BRL8.4MM for Capital Raise
DELPHI CORP: Posts US$5.5 Bil. Loss in 2006; Losses to Continue
DELPHI CORP: Talks with IUE-CWA Reaches Impasse
DELPHI CORP: Amends Equity Purchase Agreement with Investors

DELPHI CORP: Court Okays Ivins Phillips as Special Tax Counsel
FUJI HEAVY: Sets 683,000-Unit Sales Target in New Business Plan
HANKYU HANSHIN: May Sell HDSL Stocks to Hankyu Dep't. Stores
MACDERMID INC: S&P Junks Rating on Proposed US$465 Million Notes
NIKKO CORDIAL: Stock Dives on Talks of TSE's Final Decision

NORTHWEST AIRLINES: Court Approves Mesaba Aviation Acquisition
SANYO ELECTRIC: SESC Won't File Charges for Inaccurate Reports
US AIRWAYS: America West Merger Plans Spur ALPA to File Lawsuit
* Japanese Breweries Need Brand Rationalization, Fitch Says
* Outlook Generally Stable for Japan Oil Industry, Moody's Says


K O R E A

JEONBUK BANK: Posts Highest BIS Ratio Among Regional Banks
JEONBUK BANK: Posts Lower SBL Ratio at 0.84% in End-2006
KOREAN DEV'T BANK: Unveils Executive Management Changes
KOREA EXPRESS: Earmarks 9,914 New Shares for Seoul Guarantee
KOREA EXPRESS: Irish Triumph II Buys 24.06% Stake

KOREA MUTUAL: Declares Dividends After 3% Rise in Interim Profit
KOOKMIN BANK: Grants Stock Options to Key Management People
KOOKMIN BANK: Sets AGM on March
KYONGNAM BANK: Records Lowest SBL Ratio Among Regional Banks
KYONGNAM BANK: Gets Second Lowest BIS Ratio Among Regional Banks


M A L A Y S I A

DATUK KERAMAT: Bursa Hands Public Reprimand, Fines Directors
GEORGE TOWN: Gets Reprimand Over Failure to File Financials
TAP RESOURCES: Bursa to Suspend Securities Trading on March 9


N E W   Z E A L A N D

ATECH CUTTING: Court Appoints Joint Liquidators
BOP HORTICULTURE: Court to Hear Liquidation Petition on March 8
EAST COAST: Appoints Official Assignee as Liquidator
FRUEHAUF TRAILERS: Placed Under Receivership, Lays Off Workers
HI TECH BUILDING: Faces Liquidation Proceedings

KATANA BUSINESS: Shareholders Appoint Joint Liquidators
MID CITY: CIR Seeks to Liquidate Company
OCTAGON HOUSING: Liquidation Hearing Slated for May 3
PETERRY HOLDINGS: Commences Liquidation Proceedings
PUKEATUA CONTRACTING: Court Hears Liquidation Petition

THE COVE: Hearing of Liquidation Petition Set for May 3
TRUE DIMENSION: Shareholders Opt to Close Business
WHANGAPOUA PROPERTIES: Creditors' Proofs of Claim Due on May 15
WOOL EQUITIES: Commission Completes Review of Trading in Shares


P H I L I P P I N E S

PHIL. LONG DISTANCE: First Pacific Completes Buying 6.4% Stake
PRIME ORION: Subsidiary Sells Pepsi Stake for US$21.16 Million
* Bear Stearns Sees Further Strengthening of Peso in June


S I N G A P O R E

CHINA FORTUNE: High Court to Hear Wind-Up Petition on March 2
GOUDIE ASSOCIATES: Pays First and Final Dividend to Creditors
LAZARD LTD: Dec. 31 Balance Sheet Upside-Down by US$240.3 Mil.
LEAR CORP: Net Loss Down to US$707.5 Mil. in Year Ended Dec. 31
LIANG HUAT: Net Loss Down by 45% to SGD16.08 Mil. in FY 2006

OVERSEAS SHIPHOLDING: Posts Net Income of US$392.7MM in FY 2006


T H A I L A N D

DAIMLERCHRYSLER AG: Chrysler Group February Sales Down 8%
PICNIC CORP: SET Posts "Halt" Sign Until Public Fin'l Disclosure
SIAM CITY: Appoints New Director and Executive Director
TRUE CORP: Posts THB4.18-Billion Net Loss in FY 2006


* Large Companies With Insolvent Balance Sheets

     - - - - - - - -

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

AUBURN FRUIT: Liquidator to Present Wind-Up Report
--------------------------------------------------
The members and creditors of Auburn Fruit World Pty Limited will
hold a meeting on March 29, 2007, at 11:00 a.m.

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

The company's Liquidator can be reached at:

         Bruce Gleeson
         c/o Jones Partners
         Chartered Accountants
         Australia
         Telephone:(02) 9251 5222

                       About Auburn Fruit

Auburn Fruit World Pty Limited is a distributor of durable
goods.  The company is located in New South Wales, Australia.


BRINTAM PTY: Members to Receive Wind-Up Report
----------------------------------------------
The members of Brintam Pty Limited will hold a general meeting
on March 27, 2007, at 10:00 a.m., to hear the liquidator's
report about the company's wind-up proceedings and property
disposal.

As reported by the Troubled Company Reporter - Asia Pacific, the
company went into liquidation on Nov. 22, 2006.

The company's liquidator can be reached at:

         J. A. Shaw
         Ferrier Hodgson
         Chartered Accountants
         PO Box 840
         Newcastle, New South Wales 2300
         Australia

                        About Brintam Pty

Brintam Pty Limited provides management services.  The company
is located in New South Wales, Australia.


DRIVELINE PUMPS: Federal Court Enters Wind-Up Order
---------------------------------------------------
On Feb. 9, 2007, the Federal Court of Australia entered an order
to wind up the operations of Driveline Pumps (Aust) Pty Ltd.

Accordingly, Steven Nicols was appointed as liquidator.

The company's liquidator can be reached at:

         Steven Nicols
         Level 2, 350 Kent Street
         Sydney, New South Wales 2000
         Australia

                      About Driveline Pumps

Driveline Pumps (Aust) Pty Ltd is into manufacturing industries.  
The company is located in New South Wales, Australia.


EVANS & TATE: Reports AU$6.7MM Net Loss for HY-Ended Dec. 2006
--------------------------------------------------------------
Evans & Tate Limited reported a net loss of AU$6.7 million for
the half-year ended Dec. 31, 2006, an 85% improvement compared
with the figure reported for the corresponding period in 2005.  
In contrast to the previous year, there were no "one-off"
charges recorded in the current period, the company noted.

At Dec. 31, 2006, the company had net debt of AU$148 million,
including the company's listed Convertible Notes of
AU$20 million and the listed WinES preference shares of
AU$29.8 million.  This represents a net debt reduction of
AU$21 million from the position as at June 30, 2006.

Operating revenue for the 2006 2nd half was AU$39,371,000, a
decrease of 11.2% from the previous corresponding period.  
Despite this, the loss before financing costs was significantly
reduced to AU$512,000, an improvement of 98.7% on the loss of
AU$39,298,000 incurred in the previous corresponding period.

As of Dec. 31, 2006, the company's balance sheet revealed
illiquidity with AU$60.030 billion in total current
assets available to pay AU$149.287 billion of total current
liabilities.

Evans & Tate's Dec. 31, 2006 balance sheet also showed total
liabilities of AU$180.620 billion exceeding total assets of
AU$160.189 billion, resulting to total shareholders' deficit of
AU$74.431 billion.

On Feb. 23, 2007, the Directors resolved not to declare any
dividend on either the company's preference shares or ordinary
shares.

During the period, the company made steady progress on its plan
to restructure its balance sheet as outlined in the June 30,
2006, annual report.  In addition, the company has also
disclosed to the market several offers it has received
subsequent to balance date from Yarraman Winery Inc. in respect
of a proposed merger by way of scheme of arrangement.  As of
Feb. 28, 2007, the company is engaged in a 21-day period of due
diligence in respect of that offer.

Evans & Tate notes that it continues to enjoy the support of ANZ
Bank and its financial statements have been prepared on a going
concern basis.

                           Outlook

The results of the first half point to continuing price and
promotional pressures on top-line revenues.  However, tight cost
control and better margins have enabled the company to deliver
its bottom line improvement.  The Board expects that revenue
growth for the full-year will now be in the low single digit
range, but continuing focus on the margins and costs will
deliver the EBIT breakeven profit forecasted at the company's
Annual General Meeting in November 2006.

The Board remains committed to restructuring the company's
significant debt burden and is actively pursuing a resolution to
this.

               Auditor Issues Going Concern Doubt

Evans & Tate's directors believe that it is appropriate to
prepare the financial statements on a going concern basis for
these reasons:

   (a) the consolidated entity continues to receive the
       financial support of ANZ;

   (b) the Directors' belief that breaches of the existing
       covenants under ANZ facility agreement will continue to
       be waived until the time as the balance sheet restructure
       or other alternatives refinancing is complete;

   (c) the waiver of the covenant requirement under the Trust
       Deed until June 30, 2007, is sufficient time to allow the
       consolidated entity to either restructure its balance
       sheet or complete other alternative refinancing and
       therefore achieve compliance by this date.  In the event
       that the consolidated entity is unable to complete either
       the balance sheet restructure proposal or alternative
       refinancing solutions by June 30, 2007, the Directors are
       confident that an extension of the waiver of the covenant
       requirement under the Trust Deed would be achieved;

   (d) the extension of the existing ANZ facilities expiry date
       to Dec. 31, 2007;

   (e) the projected working capital requirement over the next
       12 months will be met by either the proceeds of the new
       preferred equity issue, alternative refinancing or
       directly through existing facilities by ANZ in the
       interim;

   (f) the Directors' belief that in the event that there is a
       substantial variation or delay in the restructure
       proposal, ANZ will continue to support  the consolidated
       entity to identify alternative finance or restructure
       solutions; and

   (g) the consolidated entity remains on target to achieve a
       positive earnings before interest and tax in the 2007
       year.

Both ANZ facility agreement and the Trust Deed provide that if
an event of default occurs, ANZ and the Trustee of the Unsecured
Convertible Note holders have various rights including, but not
limited to, demanding immediate repayment of the amount due.

Should such a circumstance arise or the ANZ withdraws its
support of the consolidated entity and if the consolidated
entity is not successful in restructuring its balance sheet and
financing arrangements or identifying any other acceptable
alternatives, there is significant uncertainty whether or not
the consolidated entity will be able to continue as a going
concern.

The company's auditors -- PKF Chartered Accountants -- also
pointed at the consolidated entity's incurred net loss during
the period ended Dec. 31, 2006, of AU$6,740,000 (2005: loss of
AU$44,398,000) and, as of that date, the consolidated entity's
current liabilities exceeded its current assets by AU$89,257,000
(June 30, 2006: AU$67,653,000).  

Accordingly, PKF noted that these conditions along with other
matters indicate the existence of a material uncertainty which
may cast significant doubt about the consolidated entity's
ability to continue as a going concern, and therefore whether it
will realize its assets and extinguish its liabilities in the
normal course of business and at the amounts stated in the
financial report.

                       About Evans & Tate

Headquartered in Wembley, Western Australia, Evans & Tate
Limited -- http://www.etw.com.au/-- is an Australian wine  
company listed on the Australian Stock Exchange.  The primary
businesses of the Evans & Tate Wine Group are the production,
marketing and distribution of a number of branded, exclusive
labeled and unbranded wines; contract winemaking; wine trading;
viticultural services; and wine tourism through its Visitor
Centers.

The Troubled Company Reporter - Asia Pacific reported on Sept.
15, 2006, that Evans & Tate posted a loss of AU$63.9 million for
the 2005-2006 financial year, down 12% on the corresponding
figure for the previous year.

Evans & Tate's Dec. 31, 2006 balance sheet also showed total
liabilities of AU$180.620 billion exceeding total assets of
AU$160.189 billion, resulting to total shareholders' deficit of
AU$74.431 billion.

The company's auditors -- PKF Chartered Accountants -- raised
substantial doubt on the company's ability to continue as going
concern after auditing the company's financial report for the
half year period ended Dec. 31, 2006.  


FREESURF PUBLISHING: Members to Hear Wind-Up Report
---------------------------------------------------
The members of Freesurf Publishing Pty Ltd will meet on
March 27, 2007, at 10:00 a.m., to hear the liquidators' report
regarding the company's wind-up proceedings and property
disposal.

The Troubled Company Reporter - Asia Pacific reported that the
company commenced liquidation proceedings on July 31, 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 Freesurf Publishing

Located in Victoria, Australia, Freesurf Publishing Pty Ltd is a
distributor of durable goods.


J.R. THOMAS: Federal Court Issues Wind-Up Order
-----------------------------------------------
On Feb. 9, 2007, the Federal Court of Australia issued an order
to wind up the operations of J.R. Thomas & Co Pty Ltd.

In this regard, Steven Nicols was appointed as liquidator.

The Liquidator can be reached at:

         Steven Nicols
         Level 2, 350 Kent Street
         Sydney, New South Wales 2000
         Australia

                        About J.R. Thomas

Located in New South Wales, Australia, J.R. Thomas & Co Pty Ltd
is a distributor of durable goods.


LIFESTYLE VISION: Members Resolve to Close Business
---------------------------------------------------
The members of Lifestyle Vision Pty Ltd met on Feb. 9, 2007, and
resolved to voluntarily wind up the company's operations.

In this regard, Mathew Campbell Muldoon and Kenneth Stewart
Sellars were appointed as liquidators.

The company's Liquidators can be reached at:

         Mathew Campbell Muldoon
         Kenneth Stewart Sellars
         SimsPartners
         Level 2, 446 Collins Street
         Melbourne, Victoria 3000
         Australia

                     About Lifestyle Vision

Located in Victoria, Australia, Lifestyle Vision Pty Ltd
operates miscellaneous retail stores.


PROLEC ENTERPRISES: Members and Creditors to Meet on March 28
-------------------------------------------------------------
The members and creditors of Prolec Enterprises Pty Limited will
have their final meeting on March 28, 2007, at 11:00 a.m., to
receive the liquidator's report about the company's wind-up
proceedings and property disposal.

In this regard, Bruce Gleeson was appointed as liquidator.

The company's Liquidator can be reached at:

         Bruce Gleeson
         c/o Jones Partners
         Chartered Accountants
         Australia
         Telephone:(02) 9251 5222

                    About Prolec Enterprises

Headquartered in New South Wales, Australia, Prolec Enterprises
Pty Limited is a distributor of durable goods.


ST GEORGE: Will Declare Dividend for Unsecured Creditors
--------------------------------------------------------
St George Welding Industries (Aust) Pty Limited will declare a
first and final dividend for its unsecured creditors on
March 28, 2007.

Unsecured creditors must prove debts by March 27, 2007, to be
included in the company's distribution of dividend.

The company's liquidators can be reached at:

         Murray Godfrey
         RMG Partners
         Level 12, 88 Pitt Street
         Sydney, New South Wales 2000
         Australia
         Telephone:(02) 9231 0889

                        About St George

St George Welding Industries (Aust) Pty Ltd is a special trade
contractor.  The company is located in New South Wales,
Australia.


SYMBION HEALTH: Reports AU$94 Million EBIT for 1H2007, Up 16%
-------------------------------------------------------------
Symbion Health Limited reported a 16% increase in continuing
business earnings before interest and tax for the six-months
ended Dec. 31, 2006.  Symbion Health's Directors declared a
fully franked final dividend of 4.25 cents per share.

According to Symbion Health's Managing Director and Chief
Executive Officer Robert Cooke, the company "has delivered a
strong first half result, with all divisions improving their
performance."

Key financial information for the continuing business includes:

   -- a 10% increase in revenue to AU$1,876.5 million;

   -- a 15.9% increase in EBIT to AU$94.0 million.  EBIT is now
      reported on a pre-securitization basis.  A change in
      accounting policy during the period resulted in the
      reclassification of the pharmacy debtors securitization
      charge to a financing charge;

   -- a 0.5% decrease in NPAT to AU$46.9 million as a result of
      higher charges incurred in 1H07; and

   -- expect FY07 growth in pre-securitization EBIT to be
      broadly in line with the 16% growth achieved in 1H07.

                 Sales Revenue and Earnings

Symbion Health reported a 10% increase in continuing business
sales revenue to AU$1,876.5 million in 1H07.  EBIT increased
15.9% to AU$94 million over the prior corresponding period,
driven by an increase in earnings from the Pathology (including
Medical Centers), Pharmacy, and Consumer divisions, and to a
lesser extent imaging.

The company recorded NPAT of AU$46.9 million in 1H07, compared
to AU$47.1 million in 1H06.

The increase in earnings from operations was more than offset by
an increase in the securitization charge and a higher interest
expense.  Interest expense increased significantly in 1H07
reflecting the higher debt levels assumed by Symbion Health
after the demerger.  Similarly, earnings per share decreased
marginally from 7.1 cents in 1H06 to 7.0 cents in 1H07.

                     Cashflow and gearing

After adjusting for net cash outflows of AU$13.2 million in
relation to prior period significant items, cash generated from
operations amounted to AU$103.2 million, compared to AU$123.2
million in the prior corresponding period.  Cash generated from
operations was equivalent to 86% of EBITDA in 1H07.  This was
lower than the prior corresponding period due to an increase in
inventories as a result of higher sales, and a decrease in trade
and other creditors balances.  The cashflow conversion is
expected to return to more normal levels in the second half and
going forward.

Net debt as at Dec. 31, 2006, was AU$423.4 million, and gearing
stood at 33.1%.

Symbion expects full year 2007 growth in pre-securitization EBIT
to be broadly in line with the 16% growth achieved in 1H07.

Melbourne-based Symbion Health Limited --
http://www.symbionhealth.com/-- formerly Mayne Group Limited,  
provides health products and services. The principal activities
of Symbion Health, during the fiscal year ended June 30, 2006,
consisted of diagnostic and wellness products and services
through its Pathology, Imaging, Medical Centers, Pharmacy
Services and Consumer divisions. Symbion Pathology owns and
operates private pathology practices, providing pathology
services to healthcare professionals and their patients.  
Symbion Medical Centers provides local communities with
healthcare and family medicine. Symbion Imaging provides imaging
services to patients on the eastern seaboard of Australia.  
Symbion Pharmacy Services supplies a line of pharmaceuticals and
associated products to pharmacies. Symbion Consumer manufactures
and markets nutraceuticals (vitamins and mineral supplements).

On Feb. 22, 2007, Moody's Investors Service confirmed the Ba1
issuer rating of Symbion Health Limited and stable outlook.  
This rating action concludes the review for possible downgrade
after the company's announcement that it has received an
ownership proposal from Primary Health Care Limited (unrated).

As reported in the TCR-AP on Oct. 12, 2005, Moody's affirmed the
company's senior unsecured rating of Ba1.  At the same time,
Moody's revised the rating outlook to stable from negative.  The
company also carries Moody's NP short-term rating.

The TCR-AP has also reported that Standard & Poor's Ratings
Services placed its 'BB' corporate credit rating and debt issue
ratings on Mayne Group Ltd. on CreditWatch with positive
implications.  The action follows the lodgment of the company's
scheme booklet for consideration by shareholders.


SYMBION HEALTH: Caroly Kay Resigns as Non-Executive Director
------------------------------------------------------------
Symbion Health advises the Australian Securities Exchange that
Carolyn Kay has retired as a director of the company effective
March 1, 2007.

Melbourne-based Symbion Health Limited --
http://www.symbionhealth.com/-- formerly Mayne Group Limited,  
provides health products and services. The principal activities
of Symbion Health, during the fiscal year ended June 30, 2006,
consisted of diagnostic and wellness products and services
through its Pathology, Imaging, Medical Centers, Pharmacy
Services and Consumer divisions. Symbion Pathology owns and
operates private pathology practices, providing pathology
services to healthcare professionals and their patients.  
Symbion Medical Centers provides local communities with
healthcare and family medicine. Symbion Imaging provides imaging
services to patients on the eastern seaboard of Australia.  
Symbion Pharmacy Services supplies a line of pharmaceuticals and
associated products to pharmacies. Symbion Consumer manufactures
and markets nutraceuticals (vitamins and mineral supplements).

On Feb. 22, 2007, Moody's Investors Service confirmed the Ba1
issuer rating of Symbion Health Limited and stable outlook.  
This rating action concludes the review for possible downgrade
after the company's announcement that it has received an
ownership proposal from Primary Health Care Limited (unrated).

As reported in the TCR-AP on Oct. 12, 2005, Moody's affirmed the
company's senior unsecured rating of Ba1.  At the same time,
Moody's revised the rating outlook to stable from negative.  The
company also carries Moody's NP short-term rating.

The TCR-AP has also reported that Standard & Poor's Ratings
Services placed its 'BB' corporate credit rating and debt issue
ratings on Mayne Group Ltd. on CreditWatch with positive
implications.  The action follows the lodgment of the company's
scheme booklet for consideration by shareholders.


THE TEXT CITY: Members to Receive Wind-Up Report
------------------------------------------------
The members of The Text City Newspaper Company Pty Ltd will hold
a meeting on March 27, 2007, at 10:00 a.m., to receive the
liquidator's report regarding the company's wind-up proceedings
and property disposal.

The company was placed in liquidation on July 31, 2006, as
reported by the Troubled Company Reporter - Asia Pacific.

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 The Text City

The Text City Newspaper Company Pty Ltd -- also trading as The
Melbourne City Weekly -- is involved with publishing and
printing business.  The company is located in New South Wales,
Australia.


TOPCON AUSTRALIA: Creditors Must Prove Debts by March 20
--------------------------------------------------------
The creditors of Topcon Australia Pty Limited are required to
prove their debts by March 20, 2007, to be included in the
company's distribution of final dividend.

In a report by the Troubled Company Reporter - Asia Pacific, the
company entered wind-up proceedings on Nov. 1, 2006.

The company's liquidators can be reached at:

         C. R. Campbell
         D. J. F. Lombe
         Grosvenor Place
         225 George Street
         Sydney, New South Wales 2000
         Australia

                     About Topcon Australia

Headquartered in New South Wales, Australia, Topcon Australia
Pty Limited -- http://www.topcon.com.au/-- is a wholly owned  
subsidiary of Topcon Corporation, a Japanese producer of optical
products and equipments used with the products.  The company
sells products, supplied by its parent company, for ophthalmic,
GPS and surveying industries throughout Australia and New
Zealand.


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

EAST RIGHT: Placed Under Members' Voluntary Liquidation
-------------------------------------------------------
The members of East Right Enterprises Limited met on Feb. 14,
2007, and resolved to voluntarily wind up the company's
operations.

In this regard, Chan Shu Kin and Chow Chi Tong, the appointed
liquidators, require the company's creditors to submit their
proofs of debt by March 23, 2007.

The company's Liquidators can be reached at:

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


FINSTAR LIMITED: Members' Final Meeting Slated for March 23
-----------------------------------------------------------
The members of Finstar Limited will hold a final meeting on
March 23, 2007, at 11:00 a.m., at Suite 905, 9/F, Centre Point,
181-185 Gloucester Road in Wanchai, Hong Kong.

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


MANLAI COURT: Liquidators Quit Posts
------------------------------------
Chan Wah Tip, Michael and Ho Man Kei, Keith ceased to act as
liquidators of Manlai Court Property Management Company Limited
on Feb. 13, 2007.

The company was placed under members' voluntary wind-up on
Oct. 9, 2006, as reported by the Troubled Company Reporter -
Asia Pacific.

The company's former Liquidator can be reached at:

         Chan Wah Tip, Michael
         Ho Man Kei, Keith
         601 Prince's Building
         Chater Road, Central
         Hong Kong


PACICO INTERNATIONAL: Creditors Must Prove Debts by March 23
------------------------------------------------------------
The creditors of Pacico International Limited are required to
prove their debts by March 23, 2007, to be included in the
company's distribution of dividend.

In a report by the Troubled Company Reporter - Asia Pacific, the
company entered liquidation proceedings on Feb. 14, 2007.

The company's liquidators can be reached at:

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


YIU WING: Court to Hear Wind-Up Petition on March 14
----------------------------------------------------
On Jan. 10, 2007, Impact Entertainment International Limited --
trading as Entertainment Impact -- filed a petition to wind up
the operations of Yiu Wing Investment Holdings Limited before
the High Court of Hong Kong.

The petition will be heard on March 14, 2007, at 9:30 a.m.

Impact Entertainment's solicitor can be reached at:

         Raymond T. Y. Chan
         Victoria Chan & Co.
         3rd Floor, Crocodile House I
         50 Connaught Road Central
         Hong Kong
         Telephone: 2523 2820
         Facsimile: 2845 1605


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

AES CORP: Restatement Issues Won't Affect Ratings Yet, S&P Says
---------------------------------------------------------------
Standard & Poor's Ratings Services said that The AES Corp.'s
(BB-/Stable/--) announcement that it would delay the release of
its 2006 10-K, that it would restate previous financial
statements because it has discovered certain errors mostly
related to previously identified material weaknesses, and that
it is reviewing its accounting for long-term compensation, does
not immediately affect the company's ratings or outlook.  The
review is not yet complete and AES Corp. has not yet determined
the final amount of the adjustments, but at this time the
company does not believe they will be material or will affect
its cash balances.

The restatements should not affect our view of the company's
future credit quality, but they do raise further questions
regarding AES Corp.'s accounting and financial controls,
problems with which were first brought to light about two years
ago.  Although not expected to cause credit deterioration on
their own, these accounting issues could hinder the company's
ability to develop positive rating momentum as long as they go
unresolved.

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

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

                          *     *     *

In March, Standard & Poor's Ratings Services raised its
corporate credit rating on diversified energy company The AES
Corp. to 'BB-' from 'B+'.  S&P said the outlook is stable.


AES CORP: Fitch Affirms Subsidiary's B- Issuer Default Rating
-------------------------------------------------------------
Fitch has affirmed AES Dominicana Energia Finance, S.A.'s
foreign currency Issuer Default Rating at 'B-'.  The rating
outlook is stable.

Fitch has also affirmed the 'B-/RR4' rating of the company's
US$160 million of senior unsecured notes due 2015.  The notes
are jointly and severally guaranteed by AES Dominicana's two
operating companies, AES Andres B.V. and Dominican Power
Partners.  In addition, the notes benefit from a six-month debt-
service reserve account and a US$23.5 million guarantee from AES
Corp., rated 'B+' by Fitch.  The 'RR4' recovery rating reflects
the Dominican Republic's recovery rating cap.

AES Dominicana's ratings are based on the credit quality of the
company's two main electricity generation assets, Andres and
Dominican Power.  The company's credit metrics are considered
strong for the rating category and have recently improved
significantly.  The ratings also consider the company's
dependence on government subsidies and the systemic risks
associated with the power sector in the Dominican Republic.  
Over the next two years, Fitch expects the government to
continue to support the sector via subsidies and the sector to
slowly recover.  The recent government initiatives to re-
negotiate power purchase agreements might increase cash flow
generation uncertainty for generation companies.

Andres and Dominican Power enjoy a competitive advantage due to
their favorable power purchase agreements and the use of
liquefied natural gas or LNG versus other fuels to generate
electricity.  AES Dominicana controls the only LNG import point
into the Dominican Republic.  Andres is the newest and most
efficient power plant in the country and ranks among the lowest
cost electricity generators in the country.  Andres' combined-
cycle plant burns natural gas and is expected to be fully
dispatched as a base load unit as long as the LNG price is not
more than 15% above the imported price of fuel oil No. 6.

Due to increased electricity generation, strong collections and
favorable natural gas prices, AES Dominicana's credit metrics
have exceeded expectations and are considered to be one year
ahead of projections.  The company generated EBITDA of US$74.3
million as of the last twelve months ended Sep. 30, 2006.  
Annual debt service of US$17.6 million can be adequately met
using cash on hand of US$46 million as of Sept. 30, 2006, and
free cash flow generation.

The Dominican Republic power sector is characterized by low
collections from end users and high electricity losses.  This
creates great uncertainty towards the government respect for
private property.  Such conditions have kept distribution
companies from effectively transferring cash to the country's
generation companies.  The proposed electricity law reform that
will penalized electricity theft is viewed as positive for the
sector.  Should the reform be approved by congress and passed
into law, the sector benefits are expected to take place in two
phases.  Phase one will be a sharp reduction in electricity
losses from theft of electricity from industrial customers.  The
second phase would be more challenging given that it requires
significant investments from distribution companies in order to
convert non-paying non-subscribers families and small users to
regulated customers.

Over the past two and a half years, the Dominican government has
provided approximately US$1.4 billion of subsidies to the sector
and has budgeted US$400 million in subsidies for 2007.  This
compare favorably with the US$500 million budgeted and allocated
subsidies during 2006 and the US$600 million of subsidies during
2005.  Going forward, subsidies to distribution companies are
expected to decline as discos should increase efficiency by
increasing collections and reducing losses and government
funding tightens.  If the sector's systemic problem does not
improve, it will continue depending on the government's onerous
subsidy program in order to endure.

AES Dominicana is an energy group operating in the Dominican
Republic, which manages two of AES Corp.'s wholly owned
generation assets, Andres and Dominican Power.  AES Dominicana,
through an AES Corp subsidiary, also has a management agreement
to operate EDE-Este, one of the three distribution companies in
the country.  Andres is a power plant with a 304 MW combined
cycle generation facility with duel fuel capability (gas and
diesel) but with natural gas supplied through the LNG import
facility serving as the primary fuel while DPP is a 236 MW power
plant comprising two simple-cycle combustion turbines that can
burn both natural gas and fuel oil Number 2.  Both plants
together have PPA contracts with EDE-Este for 260 MW that
increase over time, but Andres is currently servicing all
contracts given its greater efficiency.  Andres LNG terminal
includes a large tanker berth and jetty, an LNG refueling pier,
and a one million barrel (160,000 cubic meters, m3) LNG storage
tank, as well as regasification and handling facilities for both
LNG and diesel.

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

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


GENERAL MOTORS: Expects 6-7% Decrease in February U.S. Sales
------------------------------------------------------------
Following its decision to reduce sales to daily rental fleets,
General Motors Corp. expects its February U.S. sales to be down
between 6 to 7%, Reuters reports.

GM reduced discounted fleet sales with the prospect of returning
to profitability in North America.  The move, according to
analysts, allowed the automaker to keep its assembly plants
running but eroded the value of its brands.

GM spokesman John McDonald told Reuters in an interview that the
company expects retail sales to be flat for the month.  Overall,
Mr. McDonald added, GM expects the U.S. February industry sales
to come in at an annualized rate of 16 million units.

According to Reuters, GM planned to cut its daily rental sales
more than 200,000 units this year after a reduction of about
77,000 units in 2006.  The planned cuts would take GM's annual
rental-related sales below 700,000 units by the end of 2008 from
more than 1 million before the effort began.

GM shares eased more than 2% in pre-market trading after
finishing almost 1% lower in Monday trade on the New York Stock
Exchange, Reuters said.

                    About General Motors Corp.

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

                          *     *     *

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

As reported in the Troubled Company Reporter - Asia Pacific on
Jan. 31, 2007, S&P said that the company's announcement that it
is restating financial results from 2002 through the third
quarter of 2006 raises new concerns about the integrity of the
company's financial reporting and internal controls, but has no
immediate effect on the ratings on GM, GMAC LLC
(BB+/Developing/B-1), or GMAC unit Residential Capital LLC
(ResCap; BBB/Negative/A-3).

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


LML LTD: Narrows 4Q Net Loss to INR144.5 Mil. from INR226 Mil.
--------------------------------------------------------------
Despite a sharp fall in revenues, LML Limited narrowed its net
loss to INR144.5 million in the quarter ended Dec. 31, 2006,
from the INR225.9-million net loss incurred in the corresponding
quarter in 2005.

LML's total income plunged to INR6.12 million in the December
2006 quarter from the INR1.11 billion in the December 2005
quarter.

LML said that its operations have been severely affected due to
the illegal strike by its workmen pursuant to which a lockout
was declared on March 7, 2006.  The lockout is still continuing
and, currently, the company's operations relate to only one
segment -- motorized two-wheelers.

With the lockout, the company incurred operating expenditures
totaling to INR42.5 million in the fourth quarter of 2006,
compared with INR1.32 billion in the same quarter in 2005.

Interest charges showed slight change -- INR46.7 million in the
December 2006 quarter and INR51.6 million in the December 2005
quarter.  The company recorded depreciation expense of INR61
million and provision for taxes of INR500,000 for the December
2006 quarter.

A copy of the company's financial results for the quarter ended
Dec. 31, 2006, is available for free at
http://ResearchArchives.com/t/s?1a99

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, 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.

For the 18 months ended Sept. 30, 2006, LML 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.


ORIENTAL BANK OF COMMERCE: Increases BPLR to 12.50% from 11.75%
---------------------------------------------------------------
The Oriental Bank of Commerce increased its benchmark prime
lending rate by 75 basis points from 11.75% to 12.50% with
effect from Feb. 23, 2007.

The rate has been raised in view of increase in cost of
deposits, recent cash recovery rate hike coupled with increased
provisioning requirement on standard advances under certain
segments, Zee News says, citing a statement made by the bank.

The BPLR hike is, however, not applicable to housing loans up to
INR20 lakh and education loan up to INR4 lakh, the news agency
notes.

Headquartered in New Delhi, India, Oriental Bank of Commerce --
http://www.obcindia.com/-- is a scheduled commercial bank.  The  
company's domestic services include deposits, comprised of term
deposits, savings accounts, current accounts and the Suvidha
deposit scheme; advances, which consist of corporate advances, a
range of retail credit products and specialty schemes, and
government business, comprised of direct tax collection, pension
disbursement and savings bonds.  It also provides non-resident
Indian banking solutions, including non-resident external
accounts, non-resident ordinary accounts, foreign currency non-
resident accounts and resident foreign currency accounts.  It
also offers debit card services.  The bank also provides
treasury services and merchant banking services.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Aug. 21, 2006, that Fitch Ratings assigned a long-term foreign
currency issuer default rating of BB+ to Oriental Bank of
Commerce.  The Bank's individual and support ratings have been
affirmed at C/D and 4, respectively.  The outlook on the ratings
is stable.


RELIANCE INDUSTRIES: Seeks Members' Consent for Warrants Issue
--------------------------------------------------------------
Reliance Industries Limited has initiated the necessary steps to
implement its proposal of the Preferential Offer of Warrants to
its promoter/promoter group pursuant to a meeting of its board
of directors held on Feb. 24, 2007.

Consent of the Shareholders is being sought through a postal
ballot.  The issue price of the shares arising out of exercise
of the warrants will be INR1,402.  This price is the average of
the weekly high and low of the closing prices of the company's
equity shares quoted on the National Stock Exchange of India
Limited during the two weeks preceding the relevant date --
Feb. 27, 2007.

The INR1,402 price is against the price of INR1,253 per share
being the average of the weekly high and low of the closing
prices of the company's equity shares quoted on the National
Stock Exchange of India Limited during the six months preceding
Feb. 27, 2007.

The last date for receipt of the Postal Ballot from the
shareholders is March 29, 2007.  The company is expected to
announce the results of the resolution being passed through
Postal Ballot on March 30, 2007.

Reliance Industries Ltd -- http://www.ril.com/-- is engaged  
in the exploration and production sector.  The company is
organized into three major business segments, which include
Exploration and Production of oil and gas; Refining and
Marketing of petroleum products, and Petrochemicals, including
the manufacturing and marketing of polymers, polyester,
polyester intermediates and chemicals.  RIL's operations capture
value addition at every stage, from the production of crude oil
and gas to polyester, polymer and chemical products, and finally
to the production of textiles.  RIL also has exploration and
production interests in India, Yemen and Oman.  The company
operates mainly in India but has business activities and
customers in more than 100 countries around the world.

Fitch Ratings gave Reliance Industries Ltd's foreign currency
long-term debt, long-term issuer default and local currency
long-term debt BB+ ratings effective on December 15, 2005.

Moody's Investors Service gave the company 'Ba2' long-term
corporate family, issuer, and senior unsecured debt ratings
effective March 17, 2005.


RELIANCE INDUSTRIES: Discloses Board Resolutions at Meeting
-----------------------------------------------------------
The board of directors of Reliance Industries Ltd has made these
decision at its meeting:

   1. Confirm the decision taken on Nov. 9, 2006, to raise
      US$2 billion to finance the capital expenditure plan for
      oil and gas business through External Commercial
      Borrowings by way of debt.

   2. Raise further equity by way of preferential issue of
      12 crore warrants exercisable into equal number of equity
      shares of INR10 each of the company to the Promoters as
      per SEBI guidelines for Preferential Issues, subject to
      shareholders approval.  An amount equivalent to 10% of the
      price would be paid on allotment of warrants and the
      remaining 90% would be paid at the time of subscription to
      equity shares on exercise of rights attached to the
      warrants within a period of 18 months.  On exercise of
      such rights the paid up capital of the company will
      increase from INR1,393 crore to INR1,513 crore.

   3. Build one of the largest integrated cracker and
      petrochemicals complex with a total capacity
      of 2 mmtpa in the SEZ at Jamnagar.  This cracker will use
      refinery off gases and other byproducts as feedstock to
      manufacture ethylene, propylene and its downstream
      commodity and specialty derivatives.  The proposed
      facility will be built at a capital cost of US$3 billion
      and is expected to go on stream by 2010-11.  This unique
      integration with the refinery will place the proposed
      cracker complex at par with the most efficient producers
      of olefins and derivatives in the world including those in
      the Middle East and will enable the Company to achieve one
      of the most competitive cost positions.

   4. Appoint Dr. R.A. Mashelkar as an independent director on
      the Company's board, subject to necessary Government
      approvals.  Dr. Mashelkar is an eminent scientist and
      engineer and has an outstanding academic record and has
      held several high positions in the field of Science and
      Technology.  Dr. Mashelkar is presently the President of
      the Indian National Science Academy and President of
      Global Research Alliance, a network of publicly funded R&D
      institute from Asia Pacific, Europe & U.S.A. with over
      60,000 scientists.  Dr. Mashelkar was awarded the
      Padmashri in 1991 and Padmabhushan in 2000, and is the
      only third Indian engineer to have been elected as Fellow
      of Royal Society (FRS) London in the twentieth Century.

Reliance Chairman Mukesh Ambani said "The Board's approval to
enhance the equity capital of the Company by Preferential issue
of warrants to promoters demonstrates our commitment to value
creation at Reliance.  The substantial enhancement of
shareholders funds will take RIL to a higher growth platform by
strengthening its capital structure.  I am really excited about
accelerating our investments in all our key businesses - oil &
gas, refining, petrochemicals and retailing by both organic and
inorganic growth initiatives."

Reliance Industries Ltd -- http://www.ril.com/-- is engaged  
in the exploration and production sector.  The company is
organized into three major business segments, which include
Exploration and Production of oil and gas; Refining and
Marketing of petroleum products, and Petrochemicals, including
the manufacturing and marketing of polymers, polyester,
polyester intermediates and chemicals.  RIL's operations capture
value addition at every stage, from the production of crude oil
and gas to polyester, polymer and chemical products, and finally
to the production of textiles.  RIL also has exploration and
production interests in India, Yemen and Oman.  The company
operates mainly in India but has business activities and
customers in more than 100 countries around the world.

Fitch Ratings gave Reliance Industries Ltd's foreign currency
long-term debt, long-term issuer default and local currency
long-term debt BB+ ratings effective on December 15, 2005.

Moody's Investors Service gave the company 'Ba2' long-term
corporate family, issuer, and senior unsecured debt ratings
effective March 17, 2005.


* India Budget Shows Efforts on Fiscal Consolidation, S&P Says
--------------------------------------------------------------
Standard & Poor's Ratings Services, on March 1, 2007, said that
the budget announced by the Indian government (foreign currency
BBB-/Stable/A-3; local currency BBB-/Stable/A-3) reflects
ongoing efforts toward fiscal consolidation.

The fiscal 2007-2008 (ending March 31, 2008) budget targets a
central government deficit of 3.4% of GDP, after registering
3.7% in fiscal 2006-2007.

The expected reduction in the deficit keeps the government on a
path to achieve the objectives set out under the Fiscal
Responsibility and Budget Management Act 2003, among which is to
reduce the budget deficit to 3.0% by 2009. Continuing adherence
to the fiscal targets set out in the FRBM remains a cornerstone
in maintaining the sovereign's creditworthiness.

A key challenge facing the government in the coming years will
be its ability to balance the need for further fiscal
consolidation with its pro-growth objectives.  The Eleventh
Plan, which begins in 2007-2008 and provides the framework for
the latest budget and those in the next several years, aims to
achieve a growth rate of about 10% by 2012-2013.  Other
challenges include the risk of increasing political pressure to
spend in the run-up to national polls due in 2009 and the Sixth
Pay Commission.  Both of these factors could derail what has
been steady progress in recent years on the fiscal front, with
the deficit decreasing to its present levels from 5.9% in 2002-
2003.

The latest budget looks to have struck a balance between fiscal
consolidation and the need to spend, especially in key areas
such as agriculture, the rural economy, and social services.
Expectations for continuing strong revenue growth, especially
tax revenues, have allowed the government greater room to spur
growth and reduce poverty.  The flexibility accorded by such
revenue growth will be vital given ongoing spending pressures
related to public investment, infrastructure, and the rural and
social sectors.  The latest budget, in which the government has
increased its allocations for education and health by 34% and
22%, respectively, underlines such spending commitments.

The latest budget also introduces measures to address price-
related pressures.  Leading the way is a reduction in customs
and excise duties for a number of commodities such as edible
oil, cement, gasoline, and diesel to ease the prices for such
commodities.  Notably, the agriculture sector is a key focus of
the latest budget, reflecting the sector's central role in
India's overall growth story and its social-political
importance.  The budget addresses the need to alleviate price
pressures emanating from this sector due to supply constraints.


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

ALCATEL-LUCENT: Inks Marketing Partnership Pact with ConSentry
--------------------------------------------------------------
ConSentry Networks, announced a multi-year worldwide Original
Equipment Manufacturer or OEM agreement with Alcatel-Lucent for
its award-winning LANShieldTM Switch and LANShield Controller
platforms as well as its InSightTM Command Center.  Under the
terms of the agreement, Alcatel-Lucent will market the ConSentry
products under the OmniAccess SafeGuard brand across the global
Alcatel-Lucent enterprise market beginning in March 2007.

Supporting both pre-admission and post-admission controls, the
ConSentry LANShield family provides enterprises with a proven
and affordable solution for controlling access to resources and
applications on the LAN.  Since introducing its Controller
platform in September 2005 and Switch platform in May 2006,
ConSentry has deployed LANShield systems capable of controlling
more than a half-million end users.  With the agreement,
ConSentry adds the power and breadth of the Alcatel-Lucent
sales, service, and support teams to capitalize on that strong
momentum and extend its leadership position.

"The ConSentry platform is unique in its ability to provide both
comprehensive threat control and identity-based access control,
including the ability to provide per-application enforcement.  
We believe the all-in-one platform provides strong
differentiation for security managers looking to increase
overall security and improve visibility in a simple, cost-
effective way," said Tom Burns, head of Alcatel-Lucent
enterprise solutions activities.

"We had a record fourth quarter, and this agreement with
Alcatel-Lucent marks another major milestone for ConSentry,"
said Tom Barsi, ConSentry president and CEO.  "Alcatel-Lucent
has developed an impressive global base of customers and
partners.  Our relationship with the company will enable us to
expand our global market reach and accelerate our leadership
position in LAN security."

Many industry observers have forecast 2007 as the year of
Network Access Control or NAC maturation.  While many NAC
products focus solely on LAN admission, the ConSentry LANShield
family provides a more comprehensive approach to LAN security,
focusing on post-admission controls.  So in addition to the
authentication and posture check functionality that ensures only
valid people and systems can enter a LAN, the ConSentry devices
also offer complete visibility into all network activities,
logged by user and including server and application details;
identity-based controls to restrict access to resources based on
a user's role in an organization; and zero-day malware
containment to automatically minimize the impact of worms,
viruses, and other network-borne threats to LAN security.

"The demand for increased security control embedded into
traditional network infrastructure equipment will clearly
increase starting this year," said Mark Fabbi, vice president
and distinguished analyst in Gartner's enterprise infrastructure
team.  "Enterprise network architects must realize that the
focus for future network purchases will shift from connecting
the dots to providing more business-focused services for the
enterprise.  Vendors that recognize and lead this shift will be
in a good position to gain traction in the competitive network
infrastructure market."

                    About ConSentry Networks

ConSentry Networks delivers Control without Compromise with its
family of award-winning LANShield platforms - the LANShieldTM
Controller and LANShield Switch.  ConSentry enables businesses
to protect their corporate assets, ensure continuity of
operations, and dramatically reduce the risk of security
breaches.  ConSentry's LANShield platforms and InSightTM Command
Center provide network admission control, visibility, identity-
based control, and threat control.  This combination of pre- and
post-admission controls provides enterprises with a simple,
proven, and affordable means of integrating security into their
LAN infrastructure and controlling access to business resources
and applications.  Backed by blue-chip venture capital firms
that include Accel Partners, DAG Ventures, INVESCO Private
Capital, and Sequoia Capital, ConSentry is headquartered in
Milpitas, California.  ConSentry Networks also has offices in
Germany, United Kingdom and Japan.

                      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.


ALLIANCE ONE: Amends & Restates Senior Secured Credit Facility
--------------------------------------------------------------
Alliance One International, Inc., a leading independent leaf
tobacco merchant, commenced a process to amend and restate its
existing senior secured credit facility.  Alliance One expects
the amended and restated credit facility to consist of a three
and one-half year US$250.0 million senior secured revolving
credit line and a four-year US$135.0 million senior secured term
loan.

Alliance One expects the amendment and restatement, which
requires the approval of the lenders under the existing senior
secured credit facility, to occur on or prior to March 31, 2007.

However, there can be no assurance that the amendment and
restatement of the senior secured credit facility will close at
the time currently expected or at all.

                       About Alliance One

Based in Morrisville, North Carolina, Alliance One
International, Inc. (NYSE:AOI) -- http://www.aointl.com/-- is a  
leaf tobacco merchant.

The company has worldwide operations, including those in
Indonesia, Argentina, Brazil, Bulgaria, Canada, China, France,
India, Philippines, Malaysia, and Singapore.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Sept. 29, 2006, that in connection with Moody's Investors
Service's implementation of its new Probability-of-Default and
Loss-Given-Default rating methodology for the US Consumer
Products, Beverage, Toy, Natural Product Processors, Packaged
Food Processors and Agricultural Cooperative sectors, the rating
agency confirmed its B2 Corporate Family Rating for Alliance One
International, Inc., and upgraded its B2 rating on the company's
US$300 million senior secured revolver to B1.  In addition,
Moody's assigned an LGD3 rating to notes, suggesting noteholders
will experience a 37% loss in the event of a default.


EXCELCOMINDO PRATAMA: Sets to Issue IDR1.5-Tril. Bond in April
--------------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
Jan. 22, 2007, that PT Excelcomindo Pratama Tbk plans to raise
IDR1.5 trillion (US$164.3 million) by issuing bonds in the
second quarter of 2007.

In an update, Reuters relates that Excelcomindo Pratama will
offer its planned bond issue on April 18-20.

Excelcom, according to the report, said that the five-year bonds
will be listed on The Surabaya Stock Exchange on April 27.

The company, recounts Reuters, had earlier said that it is
seeking up to US$430 million in loans to fund capital spending
to meet the demands of its growing user base.  Hasnul Suhaimi,
Excelcom's president director, said in an interview that the
company's shareholders have approved to obtain the loans, in
which around a third of it, or about IDR1.5 trillion, would be
in bonds, the TCR-AP report stated.

The TCR-AP, in a separate report on Feb. 8, 2007, cited Bisnis
Indonesia as saying that the company, together with a unit of
parent firm Telekom Malaysia Bhd, hired PT CIMB GK Securities
Indonesia, PT Standard Chartered Securities Indonesia, and
PT Danareksa Sekuritas as managers for the issue.  The Reuters
report also includes BS Vickers Securities Indonesian in the
list of managers.

                   About Excelcomindo Pratama

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

Excelcomindo is Indonesia's third-largest cellular operator; as
at the first quarter of 2006 the company had 8.2 million
subscribers representing total market share of around 15% but
with cellular revenue market share of approximately 10%.  TM and
its parent Khazanah together hold 73.7% in XL.

                          *     *     *

A Feb. 7, 2007 report by the Troubled Company Reporter - Asia
Pacific stated that Moody's Investors Service revised the
outlook to positive from stable on Excelcomindo Finance Company
B.V.'s Ba3 foreign currency senior unsecured bond rating.  

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

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

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

A subsequent TCR-AP report says that Fitch Ratings, on June 5,
2006, upgraded PT Excelcomindo Pratama's Long-term foreign
currency and local currency Issuer Default Ratings to 'BB-' from
'B+'.  The outlook on the ratings is stable.


EXCELCOMINDO PRATAMA: Promotes Mobile Video Services
----------------------------------------------------
PT Excelcomindo Pratama Tbk says its 10 million-strong
subscriber base will soon be able to enjoy mobile video
technology, Teleography reports.

According to the report, this is due to a tie-up with technology
developers IP Unity Glenayre, Dilithium, Polycom, locally based
Asia Quattro Net and Inphosoft.

The company in a statement said that it is working with IP Unity
Glenayre, a specialist in delivering messaging and multimedia
solutions over IP, Time Division Multiplexing and enterprise
networks, to bring mobile video services to South East Asia, the
report notes.

The report recounts that Excelcom launched its 3G network in
September 2006, claiming that they are the first with the widest
& fastest 3G network in Indonesia.

                   About Excelcomindo Pratama

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

Excelcomindo is Indonesia's third-largest cellular operator; as
at the first quarter of 2006 the company had 8.2 million
subscribers representing total market share of around 15% but
with cellular revenue market share of approximately 10%.  TM and
its parent Khazanah together hold 73.7% in XL.

                          *     *     *

A Feb. 7, 2007 report by the Troubled Company Reporter - Asia
Pacific stated that Moody's Investors Service revised the
outlook to positive from stable on Excelcomindo Finance Company
B.V.'s Ba3 foreign currency senior unsecured bond rating.  

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

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

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

A subsequent TCR-AP report says that Fitch Ratings, on June 5,
2006, upgraded PT Excelcomindo Pratama's Long-term foreign
currency and local currency Issuer Default Ratings to 'BB-' from
'B+'.  The outlook on the ratings is stable.


FOSTER WHEELER Wins Contract for Terrace-Wall Reformer
------------------------------------------------------
Foster Wheeler Ltd.'s subsidiary, Foster Wheeler Energy Limited,
part of its Global Engineering and Construction Group, has been
awarded an engineering and materials supply contract for a
Terrace-Wall reformer and three fired heaters by CTCI
Corporation.  CTCI is the engineering, procurement &
construction prime contractor for the Bangchak Petroleum Public
Co. Ltd.'s Product Quality Improvement project at its refinery
in Thailand.  The objective of the project is to upgrade fuel
oil to produce higher-value products such as gasoline, kerosene
and diesel.

The Foster Wheeler contract value was not disclosed and the
award was included in the company's fourth-quarter 2006
bookings.

The project includes a hydrogen production plant, which will use
steam-reforming technology licensed from Foster Wheeler and a
Foster Wheeler Terrace-Wall reformer.  The hydrogen production
plant will have the capacity to produce 40 million standard
cubic feet per day, or 44,680 normal cubic meters per hour, of
high-purity hydrogen.  The hydrogen production plant is planned
for operation by mid-2008.  Foster Wheeler will also supply
three fired heaters for the vacuum distillation and hydrocracker
units.

"This award further strengthens Foster Wheeler's excellent
relationship with the Bangchak Refinery.  We first worked at the
refinery in 1995, on the successful clean fuels project," said
Steve Davies, chairman and chief executive officer, Foster
Wheeler Energy Limited.  "This award also reinforces our
position as a leading supplier of technology and reformers for
hydrogen production, in particular where heavier feedstocks are
processed that require pre-reformer technology."

Foster Wheeler's Terrace-Wall reformer features a unique firing
arrangement within a sloped-wall radiant section, enabling long
catalyst and catalyst tube life, and can be designed for natural
draft operation, providing additional operational, reliability
and cost benefits.  Foster Wheeler has supplied over 200
Terrace-Wall steam reformers to the refining and petrochemical
industries in more than 40 countries worldwide.

                      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: Wins Contract from Nigeria's LNG Liquefaction
-------------------------------------------------------------
Foster Wheeler Ltd. 's UK and Nigerian subsidiaries, Foster
Wheeler Energy Limited and Foster Wheeler Limited, which are
both part of its Global Engineering and Construction Group, in a
joint venture with Chiyoda Corporation have been awarded a
contract by Nigeria LNG Limited for the Project Specification,
or front-end engineering design, for the SevenPlus project.  The
SevenPlus project involves the construction of two new natural
gas liquefaction trains, each producing 8.5 million metric
tonnes of LNG per annum, at NLNG's Bonny Island LNG complex in
Nigeria.  On completion, these will be the two largest LNG
trains in the world. NLNG is a partnership of the Nigerian
National Petroleum Company, Shell, Total and ENI.

The terms of the contract were not disclosed, and the award was
included in Foster Wheeler's fourth-quarter 2006 bookings.

Foster Wheeler and its joint venture partner will produce a
project specification package, which will form the basis for an
invitation to bid for an engineering, procurement and
construction contract.

"Foster Wheeler is proud to be leading this joint venture," said
Steve Davies, chairman and chief executive officer, Foster
Wheeler Energy Limited.  "This award demonstrates NLNG's
confidence in the quality and experience of our technical
experts and our LNG track record.  We are committed to working
with NLNG to meet its objectives including safety, quality,
cost, schedule and local content."

"We welcome Foster Wheeler's leadership in our plans to design
and build the world's two largest LNG trains in Nigeria,"
commented Chinasa Ego-Osuala, expansion co-ordinator, Nigeria
LNG Limited.  "Foster Wheeler has over 30 years' experience in
Nigeria and brings substantial LNG liquefaction expertise from
other LNG projects in Australia, the Middle East and the Far
East."

                      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.


GENERAL NUTRITION: Moody's Assigns 'B3' Corporate Family Rating
---------------------------------------------------------------
Moody's Investors Service assigned a B3 corporate family rating
and SGL-3 liquidity rating to General Nutrition Centers, Inc.
Moody's also rated GNC's proposed secured bank loan at B1,
senior notes at Caa1, and senior subordinated notes at Caa2.
Proceeds from the new debt, together with preferred and common
equity from the new owners Ares Management and Ontario Teachers'
Pension Plan, will be used to finance the leveraged buyout of
GNC from Apollo Management for total consideration of almost
US$1.7 billion.  The rating outlook is stable.

Ratings/assessments assigned are the following:

-- US$710 million senior secured credit facility at B1;

-- US$300 million floating-rate seven-year senior notes at
    Caa1;

-- US$125 million fixed-rate eight-year senior subordinated
    notes at Caa2;

-- Corporate family rating at B3;

-- Probability-of-default rating at B3;

-- Speculative Grade Liquidity rating at SGL-3.

As part of this action assigning ratings to the post-LBO
iteration of GNC, the corporate family and probability-of-
default ratings were transferred to General Nutrition Centers,
Inc from GNC Parent Corporation.  The ratings on the existing
bank loan, senior notes, senior subordinated notes, and holding
company notes will be withdrawn upon completion of this
transaction.

GNC's corporate family rating of B3 balances the company's very
weak post-transaction credit metrics and revenue vulnerability
to new product introductions against certain qualitative aspects
that have low investment grade or high non-investment
characteristics.  Also weighing down the overall rating with B
characteristics is the company's financial policy that is
leading to higher leverage compared to before the transaction.
The ongoing challenges in matching changes in consumer
preferences for VMS products also constrain the ratings.  The
company's geographic diversification and the relative lack of
cash flow seasonality have solidly investment grade scores,
while the company's scale and widespread consumer recognition of
the GNC name in the intensely competitive segment of vitamin,
mineral, and nutritional supplement retailing have Ba scores.  
In accordance with Moody's hybrid securities methodology, the
proposed preferred stock falls in basket C.

The outlook reflects Moody's expectation that debt protection
measures will improve over the next six quarters.  The stable
rating outlook also recognizes that the sales and operating
profit trends have turned positive over the past six quarters,
and that liquidity is adequate.  Concerns about liquidity if
free cash flow does not exceed break-even, a return to declining
store-level operating performance, or another aggressive
financial policy action would cause the ratings to be lowered.
Debt to EBITDA remaining above 7 times twelve to eighteen months
from now, EBIT to interest expense below 1 time, or negative
free cash flow would cause ratings to be lowered.  Given the
sizable contribution to operating profit from franchise
royalties, operating weaknesses among franchisees also would
negatively impact the ratings.  In the near term, Moody's
believes that a rating upgrade is unlikely.  Ratings could
eventually move upward if the company establishes a long-term
track record of sales stability and improved margins, the system
expands both from new store development and existing store
performance, and if the company begins to substantially reduce
debt.  Debt protection measures that Moody's will focus on
include EBIT coverage of interest expense meaningfully greater
than 1 time, debt to EBITDA below 6.5 times, and Free Cash Flow
to Debt approaching 3%.

                     About General Nutrition

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

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


MCDERMOTT INT'L: No TXU Update Regarding Contracts Amidst Sale
--------------------------------------------------------------
McDermott International Inc. announced that it has not received
any notices from TXU Corp. pursuant to an announcement that TXU
has agreed to be acquired.

However, prior to the acquisition news, TXU had given notice to
McDermott's subsidiary, The Babcock & Wilcox Company, to suspend
performance on five of the eight projects in Texas for the
design and supply of supercritical coal-fired boilers and
selective catalytic reduction systems.  A notice of suspension
is a client-initiated directive to wind down and suspend all
work on the affected units until a notice of resumption or
termination is issued.  These suspended projects will remain in
McDermott's backlog until TXU provides further notice.

For the suspended units, the contract(s) require that TXU
compensate Babcock & Wilcox for all work performed to date and
for all costs associated with the suspension, storage and
resumption.  Also, under the terms of the contract, Babcock &
Wilcox is permitted to file claims for contract changes in all
terms, including price and schedule should work resume.  In the
event of termination, the contract(s) provide for recovery of
costs and a reasonable profit.  Babcock & Wilcox is continuing
to perform on the remaining unsuspended units.

"We read TXU's press release this morning and their comments
regarding reducing the number of plants.  However, Babcock &
Wilcox has not received any official word today from TXU related
to either the suspended units or the other three," said Bruce W.
Wilkinson, Chairman and Chief Executive Officer of McDermott.

"Babcock & Wilcox is a clear industry leader in improving
emissions associated with the power generation market, including
carbon capture technology," continued Wilkinson.  "Regardless of
the potential change in TXU's ownership or the status of these
projects, we expect TXU will remain a valued customer."

                      About McDermott Int'l

Headquartered in Houston Texas, McDermott International, Inc.
(NYSE:MDR) -- http://www.mcdermott.com/-- through its  
subsidiaries, operates as energy services company worldwide,
including Indonesia and the United Kingdom.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Oct. 11, 2006, that in connection with Moody's Investors
Service's implementation of its new Probability-of-Default and
Loss-Given-Default rating methodology for the oilfield service
and refining and marketing sectors last week, the rating agency
confirmed its B1 Corporate Family Rating for McDermott
International Inc.

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

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   Multiple Seniority
   Shelf (Senior
   Unsecured)            (P)B3    (P)B3    LGD6        97%

   Multiple Seniority
   Shelf (Subordinate)  (P)Caa2   (P)B3    LGD6        97%

   Multiple Seniority
   Shelf (Preferred)    (P)Caa3   (P)B3    LGD6        97


TELKOM INDONESIA: Plans to Lower Internet Speedy Access Rate
------------------------------------------------------------
PT Telekomunikasi Indonesia Tbk is trying to reduce the rate of
Internet broadband access called Speedy by 30% in 2007 and by
another 20% to 30% next year, Antara News reports, citing Telkom
Director Arwin Rasyid.

According to the report, Mr. Rasyid said that the plan is part
of efforts to participate in the provision of national Internet
Protocol and in the development of local network so that in
participating, Internet access rate that is provided by Speedy
will be equal to the rates offered by regional operators.

The report also notes that Mr. Rasyid said the role of
telecommunications in the national implementation of information
and communications technology will create effective and
efficient IP-based infrastructure through broadband wireline and
broadband wireless.

Mr. Rasyid said that the company will take part in the
development of broadband wireless-3G service program and Palapa
Ring consortium project that aim's to improve accessibility in
the eastern parts of Indonesia, the report says.

                     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 and
local currency corporate credit ratings of BB+.


TELKOM INDONESIA: Gov't Nominates CFO Rinaldi Firmansyah as CEO
---------------------------------------------------------------
Indonesia's state enterprises ministry nominated the chief
financial officer of PT Telekomunikasi Indonesia Tbk, Rinaldi
Firmansyah, as the company's new chief executive, Reuters
reports.

According to the report, former Telkom CEO Arwin Rasyid,
together with some other company directors, tendered their
resignation at a shareholders' meeting on Feb. 28.

The report notes that speculation about a possible change in the
state-run company's leadership has driven Telkom's shares down
in recent weeks.  Telkom's shares have lost nearly 12% of their
value since the start of the year, underperforming the 3.6%
decline in the overall market.

                     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
And local currency corporate credit ratings of BB+.


TELKOM INDONESIA: Workers Union Calls for Reshuffle
---------------------------------------------------
PT Telekomunikasi Indonesia Tbk's workers union called on the
Indonesian Government to replace all of the state-owned
telecommunications company's executives at its Shareholder's
General Meeting, Antara News reports.

According to the report, Telkom Workers Union Founder Dian
Rachmawan made the remarks in response to controversies with
regard to candidates for Telkom's executive positions that
surfaced in the Meeting.

The report notes that Telkom's Meeting created controversies as
various circles took with them their own individual interests in
filling Telkom's executive positions.

Ms. Rachmawan said that they want Telkom's executive positions
in the top management, including the president director's post,
to be occupied by people who truly understand telecommunications
business and technology, the report relates.  Antara says that
Ms. Rachmawan said the government should appoint best candidates
who were able to bring stability to Telkom's management.

Ms. Rachmawan added that the company's Workers Union had sent a
letter to the minister for states enterprises explaining the
performance of Telkom in the 2005-2006 period, which has some
encouraging aspects as well as discouraging ones, the report
points out.

Antara recounts that in the 2005-2006 period, the management was
able to raise the prices of Telkom's shares at the New York
Stock Exchange so that the value of Telkom's market
capitalization rose to US$17 billion.

Ms. Rachmawan also said that this is not fundamental as it is
short-term in nature and prone to changes, the report adds.

                     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
and local currency corporate credit ratings of BB+.


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

BANCO BRADESCO: Fourth Quarter 2006 Results Worse Than 2005
-----------------------------------------------------------
Unibanco Corretora analyst Carlos Macedo told Business News
Americas that the fourth quarter 2006 results for Banco Bradesco
and Banco Itau Holding Financeira SA were worse than 2005, but
in line with expectations.

As reported in the Troubled Company Reporter-Latin America on
Feb. 14, 2007, the 2006 fourth quarter recurring net income of
Banco Bradesco was BRL1.620 billion, +0.6% compared to the 2006
third quarter.  In the year of 2006, the annualized return on
average stockholders' equity stood at 30% (32.1% in 2005), and
at 32.3% in the quarter annualized (32.7% in 2006 third
quarter).  Total Assets reached BRL265.5 billion, +27.2% when
compared to December 2005 and +9.2% when compared to September
2006, BRL96.2 billion or 36.2% of which represented by Loans and
Leasing.

Mr. Macedo told BNamericas, "What propped up Bradesco were the
insurance businesses, accounting for 43% of net income in fourth
quarter 2006.  Insurance keeps growing because the banking
business no longer achieves results.  The loan portfolio
expanded, but not among profitable loans."

Banco Bradesco started developing its credit card business in
2005 after it bought Amex operations in Brazil for US$490
million, while the bank's private label accords with retailers
like Casas Bahia did not help boost lending in the fourth
quarter of 2006, BNamericas says, citing Mr. Macedo.

Mr. Macedo told BNamericas that Banco will likely deliver strong
results in 2007, with return on equity above 29%.

"But it has to deliver better results from its banking business.
The insurance sector is going through a positive period, but
there is no telling on how abruptly that may end," Mr. Macedo
commented to BNamericas.

Meanwhile, Banco Itau Holding Financiera SA's results looked
good at first.  Further analysis revealed the bulk came from
treasury operations, BNamericas says, citing Mr. Macedo.

BNamericas underscores that Banco Itau's recurring net income in
the fourth quarter 2006 increased 14.2% to BRL1.63 billion, from
the fourth quarter 2005.

"The NPL [non-performing loan] ratio improved a lot, but I
wonder if it's going to improve in 2007," Mr. Macedo told
BNamericas.

                         About Banco Itau

Banco Itau Holding Financeira SA -- http://www.itau.com.br/--  
is a private bank in Brazil.  The company has four principal
operations: banking -- including retail banking through its
wholly owned subsidiary, Banco Itau SA (Itau), corporate banking
through its wholly owned subsidiary, Banco Itau BBA SA (Itau
BBA) and consumer credit to non-account hold customers through
Itaucred -- credit cards, asset management and insurance,
private retirement plans and capitalization plans, a type of
savings plan.  Itau Holding provides a variety of credit and
non-credit products and services directed towards individuals,
small and middle market companies and large corporations.

                       About Banco Bradesco

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

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Jan. 26, 2007, Fitch Ratings affirmed these issuer default
ratings on Bradesco, with a Stable Outlook:

   -- Long-term foreign currency at 'BB+';
   -- Long-term local currency at 'BBB-';
   -- Individual rating at 'B/C';
   -- Local currency short-term at 'F3';
   -- Short-term at 'B';
   -- Support rating of '4';
   -- National short-term rating 'F1+(bra)'; and
   -- National long-term rating 'AA+(bra)'.

                          *     *     *

As reported in the Troubled Company Reporter-Latin America on
Nov. 27, 2006, Standard & Poor's Ratings Services maintained the
'BB+' ratings on both of Banco Bradesco SA's foreign and local
currency counterparty credit rating, however it changed the
ratings outlook to positive from stable on both ratings:

   -- Foreign currency counterparty credit rating

      * to BB+/Positive/B from BB+/Stable/B

   -- Local currency counterparty credit rating

      * to BB+/Positive/B from BB+/Stable/B

   -- Brazil national scale rating

      * to brAA+/Positive/brA-1 from brAA+/Stable/brA-1


BANCO BRADESCO: Regulator Fines Bank BRL8.4MM for Capital Raise
---------------------------------------------------------------
Published reports say that the Brazilian securities Comissao de
Valores Mobiliarios has fined Banco Bradesco SA BRL8.4 million.
for breaching rules governing capital increases in 1998.

Banco Bradesco can file an appeal on the regulator's decision
through the finance ministry, Business News Americas reports.

BNamericas did not provide further details regarding Banco
Bradesco's capital increase.

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

                        *     *     *

As reported on Jan. 26, 2007, Fitch Ratings placed these ratings
assigned to Banco BMC SA on Rating Watch Positive:

   -- Local foreign currency long-term Issuer Default Rating
      'B-';
   -- Foreign currency long-term IDR 'B-';
   -- Local currency short-term 'B';
   -- Fixed-rate notes issuance maturing 2008 'B-/RR4';
   -- Support '5';
   -- National Short-Term rating 'F3(bra)'; and
   -- National long-term rating 'BBB-(bra)'.

In addition, Fitch affirmed BMC's:

   -- Individual rating at 'D/E'; and
   -- Foreign currency short-term at 'B'.

At the same time, Fitch also affirmed these IDRs on Bradesco,
with a Stable Outlook:

   -- Long-term foreign currency at 'BB+';
   -- Long-term local currency at 'BBB-';
   -- Individual rating at 'B/C';
   -- Local currency short-term at 'F3';
   -- Short-term at 'B';
   -- Support rating of '4';
   -- National short-term rating 'F1+(bra)'; and
   -- National long-term rating 'AA+(bra)'.

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

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

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

Moody's said the ratings outlook is stable.


DELPHI CORP: Posts US$5.5 Bil. Loss in 2006; Losses to Continue
---------------------------------------------------------------
Delphi Corp. reported that its revenues for the fourth quarter
of 2006 totaled US$6.4 billion, down from US$6.8 billion in the
same period last year.

Non-GM revenue for the quarter was US$3.7 billion, essentially
the same as in the fourth quarter of 2005, representing 57% of
fourth quarter 2006 revenues.

The company's incurred an US$853 million in the fourth quarter
of 2006 compared to an US$828 million net loss in the fourth
quarter of 2005.  Included in the 2006 fourth quarter net loss
were US$200 million non-cash impairment charges related to long-
lived assets.  For the fourth quarter of the prior year, US$589
million of non-cash impairment charges was included and related
to long-lived assets, goodwill and intangible assets.

The company's fourth quarter net loss was US$853,000,000,
compared to Q4 2005 net loss of US$828,000,000.  Included in the
Q4 2006 net loss were US$200,000,000 non-cash impairment charges
related to long-lived assets.  Included in the Q4 2005 net loss
was US$589,000,000 of non-cash impairment charges related to
long-lived assets, goodwill and intangible assets.

Delphi reported a net loss of US$5.5 billion for 2006, which
includes US$3 billion of charges related to the attrition of
more than 20,000 traditional employees through its U.S. hourly
special attrition programs.

According to Robert Dellinger, Delphi Corp.'s chief financial
officer, "Excluding those charges, Delphi's 2006 net loss was
approximately the same as the 2005 net loss of US$2.4 billion.  
With that said, our losses are likely to continue until we
completely and successfully address our high U.S. cost structure
and complete all aspects of our transformation plan.  Delphi's
losses in 2006 were concentrated in the U.S. as we continued to
see lower volumes, partially reflecting market share losses by
GM, and commodity price increases, in addition to the charges
associated with implementing our U.S. hourly attrition plans."

Revenues in 2006 totaled US$26.4 billion, down from
US$26.9 billion in 2005.  Non-GM revenue in 2006 reached
US$14.8 billion, up 5% from US$14.1 billion in CY 2005, up 4%
excluding the effects of foreign exchange rates.  
For the year, 56% of revenues came from customers other than GM.  
In 2006, revenues from GM declined US$1.2 billion or 10%
year-over-year.

Cash flow from operations for the year was US$43 million, down
from US$154 million in CY 2005.

At year-end 2006, Delphi had US$1.7 billion of cash and cash
equivalents and US$1.7 billion of debt capacity under the
recently refinanced DIP credit facility.

In 2006, Delphi contributed US$243 million to its U.S. pension
plans, representing the portion of the pension contribution
attributable to services rendered by employees in the plan year
ended Sept. 30, 2006.  Delphi's U.S. under-funded pension plan
status as of Dec. 31, 2006 was US$4.2 billion.

Delphi's year-end 2006 OPEB obligation was US$9.1 billion.

"Despite a difficult 2006 calendar year with significant losses
stemming from the challenges we are experiencing in our U.S.
operations, we remain clearly focused on two key elements to
ensure Delphi's long term success," said Rodney O'Neal, Delphi
Corp. chief executive officer and president.  "First is meeting
our customers' expectations with respect to innovation, quality,
delivery and value.  Second is transforming Delphi and emerging
from Chapter 11 as a strong, competitive, global company."

"With our customers, we continue to execute, as evidenced by our
strong operating performance -- a true testament to our
employees' dedication to operational excellence and to our
customers.  As a result, we were awarded a very solid and
diverse portfolio of new business bookings.  And with our
business reorganization, the hourly attrition programs
negotiated with several of our labor unions and General Motors
Corp. were an important step in our ongoing transformation.  We
are fully committed to addressing the remaining uncompetitive
issues within our U.S. operations, and the challenges associated
with completing our transformation and emerging from Chapter 11
business reorganization."

A full-text copy of Delphi's Form 10-K report for the fourth
quarter and year ended Dec. 31, 2006, filed with the Securities
and Exchange Commission is available for free at:

          http://ResearchArchives.com/t/s?1a7a

                    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.


DELPHI CORP: Talks with IUE-CWA Reaches Impasse
-----------------------------------------------
The International Union of Electronic, Electrical, Salaried,
Machine and Furniture Workers-Communications Workers of America
began intensive meetings with Delphi Corp., the Plan Investors,
and General Motors Corp. on Feb. 12, 2007, in an attempt to
reach local and national agreements at the auto parts
manufacturer.

The negotiations, however, have not yielded meaningful results
for the Union, Raymond L. Smith of Tribune Chronicle reports.

"The company has failed to propose meaningful language to
address the long-term concerns of our members," Willie Thorpe,
chairman of the IUE-CWA Automotive Conference Board, said in a
memo to IUE-CWA members.  "They have fallen short on all aspects
of the proposed agreement.

"We are prepared to resume talks when Delphi, GM, and the
investor group indicate their willingness to address the
concerns of our workers," Mr. Thorpe continued.

Delphi Corp. spokesperson Lindsey Williams, on the other hand,
related to Tribune Chronicle that he is unaware of any
postponements in Delphi's negotiations with the IUE-CWA.

The union negotiations are expect to resume soon, according to
Mr. Smith.

Delphi and the Plan Investors, including Appaloosa Management LP
and Cerberus Capital Management LP, have agreed that the Equity
Purchase and Commitment Agreement may be terminated on or before
Feb. 28, 2007, if the Debtors have not reached agreements
with its labor unions and GM by Jan. 31, 2007.

According to IUE-CWA Local 717 Chairman Mike O'Donnell, the
Local was not consulted about the deadline.  "I do not expect
national negotiations to be completed at that time.  The company
wants wage and benefit cuts, but it is not willing to make any
job guarantees nor is it willing to make commitment to any of
its communities," Mr. O'Donnell told the newspaper.

                    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.


DELPHI CORP: Amends Equity Purchase Agreement with Investors
------------------------------------------------------------
Delphi Corporation has entered into an amendment to the Equity
Purchase and Commitment Agreement dated Jan. 18, 2007, with its
Plan Investors -- affiliates of Cerberus Capital Management,
L.P., Appaloosa Management L.P., and Harbinger Capital Partners
Master Fund I, Ltd., as well as with Merrill Lynch & Co. and UBS
Securities LLC.  The EPCA amendment granted an extension of the
date by which the company, the affiliate of Cerberus or the
affiliate of Appaloosa have the right to terminate the agreement
on account of not having completed tentative labor agreements
with Delphi's principal U.S. labor unions and a consensual
settlement of legacy issues with General Motors Corporation.

The amendment provides that the day-to-day right to terminate
will continue beyond Feb. 28, 2007 through a future date to be
established pursuant to a 14-day notice mechanism in the
amendment.  Delphi, the affiliate of Cerberus and the affiliate
of Appaloosa agreed not to exercise such termination right
before March 15, 2007.  The amendment also extends the deadline
to make certain regulatory filings under the federal antitrust
laws in connection with the framework transaction.

A full-text copy of the EPCA Amendment is available for free at
http://ResearchArchives.com/t/s?1a90

                   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.


DELPHI CORP: Court Okays Ivins Phillips as Special Tax Counsel
--------------------------------------------------------------
The Honorable Robert D. Drain of the U.S. Bankruptcy Court for
the Southern District of New York authorized Delphi Corporation
and its debtor-affiliates to employ Ivins, Phillips & Barker as
their special pension benefits tax counsel, nunc pro tunc to
Nov. 1, 2006.

Since November 2005, the Debtors employed IPB as an ordinary
course professional pursuant to the Ordinary Course
Professionals Order.  It is apparent, however, that IPB will
exceed the fee cap established in the OCP Order, John D.
Sheehan, vice president and chief restructuring officer of
Delphi Corporation, informs the Court.

Pursuant to the OCP Order, if IPB is to continue rendering the
services that it had been engaged by the Debtors to perform, the
Debtors must formally retain IPB, Mr. Sheehan noted.

Mr. Sheehan related that IPB is especially attuned to the unique
employee benefits issues that arise in the Debtors' industry.
Accordingly, the Debtors believed that IPB is well qualified to
serve as special pension benefits tax counsel in their
Chapter 11 cases in an efficient and effective manner.

The Debtors believed that the continued employment of IPB would
enhance, and will not duplicate, the employment of any of the
other professionals they have retained.

As the Debtors' tax counsel, IBP will render legal advice and
services to:

   -- the Debtors' employment, compensation, and employment
      benefit plans and arrangements;

   -- the Debtors' corporate, employee benefits, and employment
      tax matters; and

   -- the Debtors' representation before federal agencies,
      Congress and the courts.

The Debtors will pay IPB based on the firm's hourly rates:

      Category                                 Hourly Rate
      --------                                 -----------
      Lawyers                                US$725 - US$200
      Paralegals & other paraprofessionals         US$200

William L. Sollee, Jr., Esq., a shareholder of Ivins Philipps,
assured the Court that the firm and its attorneys are
"disinterested persons" as defined in Section 101(14) of the
Bankruptcy Code.

                     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.


FUJI HEAVY: Sets 683,000-Unit Sales Target in New Business Plan
---------------------------------------------------------------
Fuji Heavy Industries Ltd. unveiled a new four-year business
plan, setting a target of achieving global auto sales of 683,000
units and an operating profit ratio of 5% in business 2010 by
enhancing its foothold in the U.S. market, The Japan Times says.

According to The Times, Fuji Heavy President Ikuo Mori said that
the company will increase the number of its U.S. dealers to 625
in 2010 from 601 in 2006 because the company believes that its
future rests on the success of its U.S. market.

The report states that Fuji Heavy will aim for a group operating
profit of JPY80 billion in its 2010 business year, an increase
from its forecast of JPY50 billion in 2006.

The Times adds that Fuji Heavy will strengthen its ties with
Toyota Motor Corp., its biggest shareholder with an 8.7% stake,
in the areas of development and production to meet its business
goals.

"We only have a market share of 1 percent on a global basis.  
But we can manufacture unique products because we are small.  We
will attach greater importance to quality than to quantity,"
The Times quotes Mr. Mori.

The report further says that Fuji Heavy is expecting to sell
575,000 Subaru cars worldwide and achieve 3.3% in the ratio of
operating profit to sales in the current business year ending
March 31, and that the company wants to expand its auto sales in
the U.S. market to 236,000 units, up from projected sales of
179,000 units in business 2006.

                    About Fuji Heavy Industries

Headquartered in Tokyo, Japan, Fuji Heavy Industries Ltd. --
http://www.fhi.co.jp/-- is a manufacturing company engaged in      
the production, sale, repair and leasing of automobile and
transportation-related products.

Standard & Poor's Ratings Services lowered its long-term credit
rating on Fuji Heavy Industries Ltd. to 'BB+' from 'BBB-' based
on diminished prospects for a recovery in profitability and cash
flow over the near term along with intensifying competition in
the global auto industry.  


HANKYU HANSHIN: May Sell HDSL Stocks to Hankyu Dep't. Stores
------------------------------------------------------------
Hankyu Hanshin Holdings Inc. will propose selling the stocks of
affiliate Hanshin Department Store Ltd. to Hankyu Department
Stores Inc. as an optional integration method for the two in the
holding firm's midterm management plan, The Yomiuri Shimbun
reports.

The report states that Hankyu Hanshin is believed to be
discussing several plans for the integration, including setting
up a holding firm to control the two department stores and
making Hanshin Department Store a subsidiary of Hankyu
Department Stores.

Sources say that the creation of a holding firm is a favorable
option if the morale of the employees of the two department
stores is to be considered, the report adds.

The report states that the integration will be made as early as
Oct. 1, 2007.

The Shimbun states that the sale price of Hanshin Department
Store's stocks will be negotiated based on a third-party asset
evaluation to satisfy stockholders of Hankyu Hanshin Holdings
and Hankyu Department Stores.

The Shimbun explains that Hanshin Department Store is a wholly
owned subsidiary of Hanshin Electric Railway Co., which is under
Hankyu Hanshin Holdings, but Hanshin Department Store is not
under the control of the holding firm because Hankyu Department
Stores and Hankyu Hanshin cross-hold only a small percentage of
their stocks.

The Troubled Company Reporter - Asia Pacific reported on Oct. 6,
2006, that Hankyu Holdings Inc. and Hanshin Electric Railway Co.
merged into Hankyu Hanshin Holdings Inc.  The TCR-AP said that
Hankyu Hanshin Holdings is expected to announce a mid-term
management plan through March 2010 in March 2007.

                 About Hankyu Hanshin Holdings

Headquartered in Osaka, Hankyu Hanshin Holdings,Inc., formerly
Hankyu Holdings, Inc. -- http://www.hankyu.co.jp/-- is a  
holding company with seven business segments.  The City
Transportation segment is involved in the railway, bus, taxi,
automobile maintenance, car rental and vehicle manufacturing
businesses.  The Real Estate segment leases, purchases, sells
and manages real estates and operates investment assets.  Travel
and International Transportation segment is involved in
traveling and cargo delivery services.  The Hotel segment is
engaged in the hotel business, while the Entertainment and
Communication segment is involved in the opera business, theater
operations, advertising agency services and the publishing
business.  The Retail segment is engaged in the retail, as well
as food and drink businesses.  Finance services, information,
human resource and accounting agency services, golf course
management, movie entertainment, construction and broadcasting
are operations under the "Others" segment.

                          *     *     *

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

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


MACDERMID INC: S&P Junks Rating on Proposed US$465 Million Notes
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its bank loan and
recovery ratings to MacDermid Inc.'s proposed US$560 million
senior secured credit facilities, based on preliminary terms and
conditions.  The 'B+' bank loan rating and the '1' recovery
rating indicate the rating agency's expectation that lenders
will experience full (100%) recovery of principal in a payment
default scenario.

Standard & Poor's also assigned its 'CCC+' rating to the
proposed US$250 million senior unsecured notes due in 2014 and
to the proposed US$215 million senior subordinated notes due
2017.  Both note issues are rated two notches below the expected
'B' corporate credit rating to reflect the substantial amount of
priority debt in the capital structure.

Standard & Poor's said that its 'BB+' corporate credit rating
and other existing ratings on MacDermid remain on CreditWatch
with negative implications, where they were placed on
Sept. 6, 2006. The ratings were placed on CreditWatch after the
disclosure that MacDermid received a proposal letter from the
investor group consisting of Daniel H. Leever, MacDermid's
chairman and chief executive officer, Court Square Capital
Partners, and Western Presidio to purchase all of its
outstanding common stock at US$32.50 per share.  
Subsequently, the merger agreement was signed on Dec. 15, 2006,
with a purchase price of US$35.00 per share.

The investor group will use proceeds from the new bank credit
facilities, the senior unsecured notes, and the senior
subordinated notes to finance the acquisition of MacDermid in a
transaction valued at about US$1.3 billion.

Upon successful completion of the acquisition and proposed
financing, Standard & Poor's will resolve the CreditWatch
listing.  "We will lower the corporate credit rating on
MacDermid to 'B' from 'BB+' to reflect the substantial increase
in debt and subsequent deterioration of the financial profile,"
said Standard & Poor's credit analyst David Bird.

"We also expect to withdraw all of the ratings on the existing
debt instruments upon closing of the proposed refinancing."

After the completion of the pending transaction, the ratings on
MacDermid will reflect its satisfactory business position,
offset by a highly leveraged financial profile.  

                      About MacDermid Inc.

MacDermid Inc. -- http://www.macdermid.com-- is manufacturer of  
a broad line of chemicals and related equipment for a range of
applications, including metal and plastic finishing,
electronics, graphic arts and printing, and offshore drilling.  
The company maintains its headquarters in Denver, Colorado, but
operates facilities worldwide, including China, Germany, Italy,
and Japan.  Revenues for the twelve months ended June 30, 2006,
were US$797 million.


NIKKO CORDIAL: Stock Dives on Talks of TSE's Final Decision
-----------------------------------------------------------
Nikko Cordial Corporation's stock plunged nearly 15% on
Wednesday in reaction to a media report that said the Tokyo
Stock Exchange was already in the final stages of a decision to
delist the brokerage in April, the Associated Press reports.

AP, citing Japanese business daily The Nikkei, relates that the
TSE would announce a decision "soon" on delisting Nikko Cordial,
mentioning the systematic involvement of the firm's executives
in an accounting manipulation scandal.

The Japan Times, however, points out that the TSE denied having
made a decision.

According to the report, Nikko Cordial's stock dived despite the
TSE's clarification, taking its daily maximum allowable loss of
JPY200 to end at JPY1,147.

"We are proceeding with screening so that we can reach a
conclusion on whether to delist Nikko Cordial around mid-March.  
At this moment, we have no direction affecting the conclusion,"
The Times quotes TSE President Taizo Nishimuro.

AP relates that Nikko Cordial issued a statement saying all
customer services were operating normally, and that the company
was also mulling various strategies including tie-ups and
capital alliances.

The report recounts that Nikko Cordial's shares were placed on
the exchange's supervisory post for review in December after the
company announced that it would correct its net profit for the
fiscal years ended March 2005 and March 2006 as inappropriate
booking of proceeds from derivatives trading inflated earnings.

The Times adds that if the TSE formally decides to proceed with
Nikko Cordial's delisting, the brokerage's stock will be
transferred to the liquidation post the next day, where it will
trade normally for a month until it is delisted.  Yet, the
report explains, even with the delisting, Nikko Cordial
customers' assets, including stocks and investment trusts, are
secured under the Securities and Exchange Law.

Citing sources, The Times report says that the TSE thinks
Nikko Cordial should be disqualified from trading because former
managers maliciously padded group profits and because of the
scandal's impact on the stock market.

As reported in the Troubled Company Reporter - Asia Pacific
reported on Feb. 27, Nikko Cordial has decided to file 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.

In addition, The Times says that Nikko Cordial is losing
customers to rival brokerages, and alliance talks with
interested financial institutions are expected to accelerate
toward the delisting decision deadline.

A separate TCR-AP report stated that Citigroup Inc. may increase
its stake in Nikko Cordial Corp. from 4.9% to 33.4% or
JPY330 million (US$2.73 million) to shore up the Japanese
brokerage.  Mizuho Financial Group may also seek an alliance
with Citigroup in connection with a takeover of Nikko Cordial.

                       About Nikko Cordial

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

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'.

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

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: Court Approves Mesaba Aviation Acquisition
--------------------------------------------------------------
The United States Bankruptcy Court for the Southern District of
New York authorized Northwest Airlines Corp. and its debtor-
affiliates to enter into a stock purchase and reorganization
agreement with Mesaba Aviation, Inc.

Subject to (i) a plan of reorganization becoming effective in
Mesaba's bankruptcy case that implements the terms of the
Agreement, and (ii) consummation of the Closing of the
transactions contemplated by the Agreement, Judge Gropper
granted Mesaba a US$145,000,000 allowed general unsecured claim
plus interest, in Northwest's bankruptcy case.  The Mesaba
Allowed Claim is not subject to reconsideration pursuant to Rule
3008 of the Federal Rules of Bankruptcy Procedure or Section
502(j) of the Bankruptcy Code.

The Air Line Pilots Association, International, sought to
reserve its rights to pursue a grievance under its agreement
with Northwest in relation to actions that may be taken by
Northwest pursuant to or following its transaction with Mesaba.

ALPA pointed out that after the Mesaba Agreements were reached,
Northwest announced that 36 CRJ-900 aircraft it has ordered
would be placed in service at Mesaba.  The aircraft can be
configured to carry between 51 and 76 passengers.

ALPA noted that its new collective bargaining agreement with
Northwest provides that if the Debtors establish a feeder
carrier which is an affiliate and which operates 51-76 seat
aircraft, they must comply with certain provisions set out in
the CBA.

ALPA is the exclusive bargaining representative of Northwest
Airlines pilots.  ALPA has filed a grievance challenging
Northwest's actions under the CBA.

Under the CBA, a "Feeder Carrier" is one that "conducts
operations pursuant to a capacity purchase, fee for scheduled
block hours, fee for departure or similar basis for the Company
and is engaged in code sharing with the Company [.]"

ALPA argued that the Debtors' announced intent to place
CRJ-900 aircraft at Mesaba after the transactions are approved
and consummated implicate the provisions of the CBA.  
However, Northwest will have established a Feeder Carrier
affiliate without complying with the CBA.

Mark C. Ellenberg, Esq., at Cadwalader, Wickersham & Taft LLP,
in Washington D.C., representing Northwest, pointed to the Court
that the ALPA's response does not constitute an objection and
does not set forth any basis for denying the request.

"ALPA brings to the Court's attention the fact that Northwest
and ALPA have different interpretations of the collective
bargaining agreement extant between Northwest and its pilots,
which agreement provides a mechanism for resolving such a
dispute," Mr. Ellenberg said.

Judge Gropper said the Court will retain jurisdiction with
respect to any matters, claims, rights or disputes arising from
or related to the implementation of the Court order.

                      About Mesaba Aviation

Headquartered in Eagan, Minn., Mesaba Aviation Inc., dba
Mesaba Airlines -- http://www.mesaba.com/-- operates as a   
Northwest Airlink affiliate under code-sharing agreements with
Northwest Airlines.  The Company filed for chapter 11 protection
on Oct. 13, 2005 (Bankr. D. Minn. Case No. 05-39258).  Michael
L.Meyer, Esq., at Ravich Meyer Kirkman McGrath & Nauman PA,
represents the Debtor in its restructuring efforts.  Craig D.
Hansen, Esq., at Squire Sanders & Dempsey, L.L.P., represents
the Official Committee of Unsecured Creditors.  When the Debtor
filed for protection from its creditors, it listed total assets
of US$108,540,000 and total debts of US$87,000,000.  The Debtor
filed its Plan of Reorganization on Jan. 22, 2007.  It filed its
Disclosure Statement two days later on Jan. 24, 2007.  The
hearing to consider the adequacy of the Debtor's Disclosure
Statement has been set for Feb. 27, 2007.

                  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: SESC Won't File Charges for Inaccurate Reports
--------------------------------------------------------------
Japan's Securities and Exchange Surveillance Commission has
decided not to file a criminal complaint against Sanyo Electric
Co. amid allegations that the company dressed up its financial
statements, Japan Today reports, citing sources familiar with
the matter.

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

The TCR-AP report said that Sanyo Electric had allegedly 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 it may have falsely reported a profit
when it was in the red.

Moreover, Japan Today says that the SESC also decided to refrain
from recommending that the Financial Services Agency order Sanyo
Electric to pay fines in connection with the alleged accounting
fraud.

Citing a Kyodo News report, Bloomberg News adds that the FSA
will not press charges because of Sanyo Electric's intention to
provide corrected earnings reports to the government.  

Bloomberg states that Sanyo Electric stock gained 9.2% to JPY189
on the Osaka Securities Exchange on Thursday after the media
reported the SESC's decision not to seek penalties against the
company.  The rise in stock price, according to the report, was
Sanyo Electric's biggest advance in 10 days.

                     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.


US AIRWAYS: America West Merger Plans Spur ALPA to File Lawsuit
---------------------------------------------------------------
The US Airways and America West units of the Air Line Pilots
Association, International, filed a lawsuit with the United
States District Court of Philadelphia demanding that US Airways
halt plans that attempt to illegally merge the airlines until a
single contract is reached between both pilot groups, as is
required under the Railway Labor Act and an agreement reached by
the parties in September 2005.

US Airways plans to eliminate America West's HP designator code
from reservation systems, which means that all flights will be
listed as a US Airways flight.  The code elimination is in
violation of the Transition Agreement negotiated with the two
pilot groups that promised that the two airlines would remain
separated until a single pilot collective bargaining agreement
is reached.

The parties have been negotiating for a year and a half, but
US Airways management is continuing to pass bankruptcy-era
proposals that ignore the investment that the pilots made in
order to keep their airline viable after 9/11.  Until a single
agreement is reached, the company must operate both airlines
separately.  Instead, management apparently is trying to reap
the benefits of the merger without fulfilling their promise to
first get a single, fair pilot contract.

ALPA contends that US Airways is violating their obligation to
negotiate a single agreement and asks that the status quo be
maintained until then.

"US Airways wants desperately for our pilots to look like, dress
like, and act like they work for a merged airline. However, the
only road to a real merged airline is through a single
contract," US Airways Master Executive Council Chairman Captain
Jack Stephan said.  "Our pilot group will not tolerate
management attaining synergies they haven't paid for or
negotiated.  Like our passengers, we are frustrated dealing with
management's empty promises and their reluctance to properly
merge our airline."

"US Airways continues to drag the merger process on and on, to
the detriment of our passengers and our employees," America West
Master Executive Council Chairman Captain John McIlvenna said.  
"Instead of focusing on productive negotiations, management is
trying to grab operational efficiencies they can't legally have.  
Until the America West and US Airways pilots have a fair, single
contract, we are far from being one airline."

Founded in 1931, Air Line Pilots Association, International --
http://www.alpa.org/represents 60,000 pilots at 39 airlines in  
the U.S. and Canada.

                       About US Airways

Headquartered in Arlington, Virginia, US Airways' primary
business activity is the ownership of the common stock of US
Airways, Inc., Allegheny Airlines, Inc., Piedmont Airlines,
Inc., PSA Airlines, Inc., MidAtlantic Airways, Inc., US Airways
Leasing and Sales, Inc., Material Services Company, Inc., and
Airways Assurance Limited, LLC.

Under a chapter 11 plan declared effective on March 31, 2003,
USAir emerged from bankruptcy with the Retirement Systems of
Alabama taking a 40% equity stake in the deleveraged carrier in
exchange for US$240 million infusion of new capital.

US Airways and its subsidiaries filed another chapter 11
petition on Sept. 12, 2004 (Bankr. E.D. Va. Case No. 04-13820).
Brian P. Leitch, Esq., Daniel M. Lewis, Esq., and Michael J.
Canning, Esq., at Arnold & Porter LLP, and Lawrence E. Rifken,
Esq., and Douglas M. Foley, Esq., at McGuireWoods LLP, represent
the Debtors in their restructuring efforts.  In the Company's
second bankruptcy filing, it lists US$8,805,972,000 in total
assets and US$8,702,437,000 in total debts.

The Debtors' chapter 11 plan for its second bankruptcy filing
became effective on Sept. 27, 2005.  The Debtors completed their
merger with America West on the same date.

US Airways has operations in Japan, Australia, China, Costa
Rica, Philippines, and Spain, among others.

                          *     *     *

As reported in the Troubled Company Reporter on Jan. 11, 2007,
Standard & Poor's Ratings Services stated that its ratings on US
Airways Group, including the 'B-' corporate credit ratings on US
Airways Group and its major operating subsidiaries America West
Holdings Corp., America West Airlines Inc., and US Airways Inc.,
remain on CreditWatch with developing implications, where they
were initially placed on Nov. 15, 2006.


* Japanese Breweries Need Brand Rationalization, Fitch Says
-----------------------------------------------------------  
Fitch Ratings commented that the Japanese brewing sector needs
to evolve if it wants to improve its currently sub-par
profitability.  The agency added that not only does the industry
need to reduce the number of players, it has to also rationalize
its brand offerings.

"The Steel Partners' bid for Sapporo may trigger an evolution of
the industry structure," said Yuri Shinoda, associate director
in Fitch's Corporate team.  "But if the existing brands remain
after a merger, the potential synergies are likely to be
limited," she added.

Since Sapporo's announcement on Feb. 15, 2007, that they had
received a 66.6% share purchase proposal from Steel Partners
Japan Strategic Fund (Offshore), L.P., there have been several
media reports referring to the possibility of a consolidation in
the sector.  A similar plan by Steel Partners to acquire Myojo
Foods Co. was scuttled last year by a larger competitor, Nissin
Food Products Co., which made a more attractive offer.  Although
the main parties, Sapporo, Asahi Breweries, Ltd. and Kirin
Brewery Company Ltd. have until now denied such discussions were
underway, there is increasing pressure for the industry
structure to evolve as its profitability is well below other
mature markets in Europe or the U.S.  EBITDA margins of Asahi's
and Kirin's domestic alcoholic beverage operations are around
11% to 12%; excluding liquor tax, they are assumed to be around
20%.  These figures are significantly lower than, for example,
those of the Anheuser-Busch Companies Inc., are around 30%, with
market share of the U.S. beer market at about 50%.

The Japanese beer market is highly competitive, despite virtual
oligopoly, where the two largest companies, Asahi and Kirin,
command more than 75% of the market.  The marginal gap between
Asahi and Kirin in their market share has generated intense
competition.  Due to the declining population and the heightened
health concerns in Japan, the domestic beer market has continued
to shrink, though marginally, further stiffening competition in
the industry.

Japanese brewers' profit margins are generally lower than those
of its global peers.  One of the main factors of the lower
margins is the race to develop new products/brands; this has
resulted in too many products flooding the market.  This has led
to higher advertising and promotional expenses, dilution in
brand value and shorter product cycles, in order to whet
Japanese consumers' appetites.  The building and scrapping of
new brands at such short intervals makes it difficult to reduce
the production costs as well as promotion or marketing costs.

"Reducing the number of players in itself would not address any
of these concerns.  Each brewing company has individually made
efforts to cut costs, and these efforts will continue regardless
of the consolidation," said Ms. Shinoda.  "Distribution costs
and procurement may contribute, to some extent, to the
improvement and efficiency of the merged entity.  However, it is
highly improbable that they would be sufficient to compensate
the acquisition costs raised by possible takeover bids," she
added.  "Accordingly, the synergistic effects should be minimal
unless they eliminate a wide range of brands, which may
initially cause a decrease in the sales of the merged entities.
If consolidation occurs in form of the capital alliance without
Sapporo being a wholly owned subsidiary of its acquiring
company, due to a competition law, any positive effects of such
an alliance would be uncertain.  This would create a deadlock,
making any rationalisation of the industry structure even more
difficult to achieve," noted Ms. Shinoda.

The intervention of an overseas brewer is highly unlikely.  The
already mature and intensively competitive Japanese brewing
industry does not seem attractive to the main international
brewers, who, for the most part, have to fight against a long-
term negative trend in their own domestic markets.  As a result,
they tend to focus their investment efforts on markets with
strong long-term growth potential, such as Russia, China, India
or Latin America.  In the medium and long term, for the Japanese
brewers, operational and geographical diversification will be
key to their growth.  Given that most diversified businesses of
domestic brewers are not generating the comparable level of cash
flows with significant synergy with their brewing operation, the
companies have to be selective in their investments.

In 2006, domestic beer-like beverage shipment volumes declined
by 0.7%.  The sector's top-line is likely to remain under
pressure in 2007.  All three brewers forecast that the market
will shrink by around 1% for 2007.  However, their sales
estimates are strong; Asahi foresees a 5.7% increase in its
total sales volume, Kirin sees a 4.8% increase and Sapporo sees
a 7.0% increase.  Marketing and promotion costs are expected to
increase across the industry in 2007 in accordance with a strong
sales estimate.  If any of the brewers fall considerably short
of its sales target, it will suffer squeezed margins.

Despite low profitability, Asahi and Kirin's domestic brewing
businesses are currently strong cash generators.  For Sapporo's
domestic beer operations however, cash generation is limited due
to lower profitability and this raises questions regarding the
viability of this business on a stand-alone basis.  Taking an
initiative to reduce the number of brands/products and focus on
a select few strong brands makes more sense in improving
profitability rather than merely reducing the number of players.


* Outlook Generally Stable for Japan Oil Industry, Moody's Says
---------------------------------------------------------------
The outlook is in general stable condition for Moody's Investors
Service's universe of Japan's oil industry -- Nippon Oil
Corporation (A3), TonenGeneral Sekiyu K.K. (Baa1), Cosmo Oil
Co., Ltd. (Ba1) and Nippon Mining Holdings, Inc. (Ba2) -- says
the rating agency in a new report.  However, management efforts
to reduce debts have benefited the capital structures of Nippon
Mining Holdings and Cosmo Oil in recent years, and Moody's
therefore sees a possibility of positive rating pressures for
these issuers.

The report, "Japanese Oil Industry Outlook for 2007," comments
that although the refining and marketing companies' operating
performances remain vulnerable to cyclical Japanese economic
downturns, supply and demand and crude oil costs, they have
adopted various cost-cutting measures to lower their breakeven
points.  In addition, all Japanese oil companies have
successfully diversified into non-R&M businesses.

"We view this diversification positively, as the rated companies
have thereby increased the resistance of their operating
performances to market downturns of refined products," says
Junichi Yamaki, Moody's Senior Vice President and author of the
report.

In addition, Japanese oil companies have raised oil product
exports in response to growing demand in Asia.  With Japan's
long-term deflation, a weakening of the yen and ongoing efforts
to reduce costs, domestic petroleum product prices are
competitive with those in other parts of Asia.  Moody's expects
that an export volume increase for refined products will be
moderate, but will help raise the operating rates of Japanese
refineries.

The report further states that while the capital structures of
the rated Japanese oil companies generally remain weak compared
to global peers, in line with management efforts to reduce debts
they have been showing modest improvement

However, the report also notes that the oil industry in Japan
has been facing two structural problems.  First, price
competition is hurting profitability.  Second, rises in crude
oil prices are decreasing demand -- encouraging the industrial
sector to convert from oil to other energy sources and shrinking
the gasoline market as drivers move to use less gasoline and use
more energy-efficient vehicles.

"Although Japan's economy and oil industry are much more
resilient to high oil prices than they were during past oil
crises, the industry needs to adjust itself to a new
environment: high crude costs and decreased domestic demand,"
describes Moody's Yamaki.

While crude oil prices fell back to $50 per barrel in January
2007 from their 2006 record summer highs, consumers have
retained a sense of energy conservation, and the trend toward
less consumption is likely to continue, causing earnings
pressure for the oil companies, Moody's report comments.

If oil prices remain high, Moody's believes demand for oil
products in Japan will continue to decline due to energy source
substitution in the industrial sector and energy saving
sentiment nationwide. As a result, the industry will have excess
production capacity. Disposition of this will eventually be
necessary and would benefit the industry, in Moody's view.

                   About Nippon Holdings Ltd

Headqartered in Tokyo, Nippon Mining Holdings Ltd.--
http://www.shinnikko-hd.co.jp/-- is a Japan-based holding  
company mainly engaged in the oil, metals and electronics
materials business. The Company operates in five business
segments. The Oil segment develops, drills, and manufactures
energy resources, such as gasoline, petroleum and natural gas.
The segment is also involved in the petrochemical and oil-
related business. The Resources and Metal segment develops and
drills non-iron metallic resources, as well as manufactures and
sells gold, silver, bronze, zinc and others. This segment also
provides industrial waste services for non-iron metallic
products, as well as transportation services related to its
metals business. The Electronic Materials segment manufactures
and sells copper foils, thin-film material and others. The Metal
Processing segment offers copper and brass products and other
metal processing products. The Others segment is involved in the
information processing, funding and other business-related work.


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

JEONBUK BANK: Posts Highest BIS Ratio Among Regional Banks
----------------------------------------------------------
Jeonbuk Bank posted a BIS capital adequacy ratio of 12.22% at
the end of September 2006, overtaking Jeju Bank as the regional
bank with the highest BIS ratio.

The September 2006 ratio compares to the 11.54% the bank chalked
up at the end of June 2006, the second lowest among all regional
banks for that period.

A Troubled Company Reporter - Asia Pacific report on Sept. 1,
2006, explained 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.

The FSS release contains the following information on regional
banks' BIS Capital Ratio (in percent):

                                             June    Sept.
                     2003    2004    2005    2006    2006
                    ------  ------  ------  ------  ------
      Daegu          10.58   10.66   11.33   11.60   11.73
      Busan          11.66   10.84   12.25   11.61   11.14
      Kwangju        10.72   11.81   11.60   11.89   11.55
      Jeju           10.96   10.91   11.71   12.22   11.70
      Jeonbuk        10.79   10.72   11.53   11.54   12.22
      Kyongnam       11.69   11.34   10.59   11.42   11.35
      Regional Banks 11.13   11.02   11.52   11.63   11.49

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 Dec. 8, 2003.


JEONBUK BANK: Posts Lower SBL Ratio at 0.84% in End-2006
--------------------------------------------------------
Jeonbuk Bank posted an SBL -- Substandard Bank Loan -- ratio of
0.84% on total loans of KRW3.50 trillion at the end of 2006,
according to a Financial Supervisory Service press release.

The end of 2006, the bank's SBL ratio is a 34.88% decrease from
the SBL ratio of 1.29% at the end of 2005.

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 Dec. 8, 2003.


KOREAN DEV'T BANK: Unveils Executive Management Changes
-------------------------------------------------------
Korea Development Bank has named In Sung Chung and Moon Hei Huh
as its new executive directors, the bank said in a press
release.

Mr. In Sung, former director of Financial Management Division,
is now Executive Director of Consulting Business Division,
succeeding In-Chul Kim.

Mr. Moon, former General Manager of Planning Department, is now
Executive Director of Regional Banking Division, succeeding
Young-Kee Kim.

Other changes in the company's executive management are:

   * Yeon Hee Lee, former General Manager of Corporate
     Restructuring Department, was promoted to Director of Risk
     Management Division, succeeding Mr. Sang Woon Shim.

   * You Hun Kim, former General Manager of International
     Finance Department, was promoted to Director of Finance
     Division (previously Financial Management Division),
     succeeding In Sung Chung.

   * Young Chan Kim, former Executive Director of Corporate
     Banking Division, succeeded Ho In as Executive Director
     of Planning & Admin. Division.

   * Young-Kee Kim, former Executive Director of Regional
     Banking Division, succeeded Young Chan Kim as Executive
     Director of Corporate Banking Division.

   * In Sup Shim, former Director of KDB Technology
     Evaluation Institute, succeeded Hee Dall Lee as
     Director of IT Division.

   * Sang Woon Shim, former Director of Risk Management
     Division, succeeded Byung Soo Kim as Director of Trust
     Business Division.

The official term for the new officials commences on Feb. 5,
2007.

In addition, Investment Banking Division has been transformed
and re-named as Public Banking & Investment Division.  Likewise,
International Banking Division has is now known as Global
Banking Division.

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

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


KOREA EXPRESS: Earmarks 9,914 New Shares for Seoul Guarantee
------------------------------------------------------------
The Korea Express Co., Ltd., will sell 9,914 new common shares
to Seoul Guarantee Insurance Company at the price of KRW25,000
per share, effective March 15, 2007, Reuters Key Development
reports.

The aggregate value of the sale is KRW247.85 million.

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: Irish Triumph II Buys 24.06% Stake
-------------------------------------------------
Triumph II Investments (Ireland) Limited has acquired 552,000
shares of The Korea Express Co., Ltd., from December 6, 2006, to
January 1, 2007, giving Triump II a 24.01% holding in Korea
Express, Reuters Key Development reports.

The aggregate value of the sale is KRW247.85 million.

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 MUTUAL: Declares Dividends After 3% Rise in Interim Profit
----------------------------------------------------------------
Korea Mutual Savings Bank has declared an interim cash dividend
of KRW250 per share of common stock, payable on January 30,
2007, to shareholders of record as of December 31, 2006, Reuters
Key Development reports.

The total cash dividend amount is approximately KRW1.25 billion.

The bank posted a net income of KRW23.60 billion for the six
months ending December 31, 2006, a 2.99% increase from the year
before net income of KRW22.91, Bloomberg News relates.

For the period in review, the bank reported interest income of
KRW42.88 billion, 14.15% higher than the previous corresponding
period, data obtained from Bloomberg shows.

The report adds that the bank lowered its provisions for loan
losses by 19.75% to KRW29.17 billion for the six months to
December 31, 2006 from KRW36.35 billion a year earlier.  The
lower provisions paved the way for a net interest income after
provisions of KRW13.71 billion, more than tenfold higher than
the year ago value.

Headquartered in Seoul, Korea, Korea Mutual Savings Bank --
http://www.ksbank.co.kr-- offers its services under two  
segments: deposits and loans. Its deposits segment provides
ordinary savings, salary, current, fixed, social security direct
and labor deposits. Its loans segment offers discounted bills,
installments, contract loans, ordinary loans, passbook loans,
secured loans and other related services.

Korea Ratings gave Korea Mutual's Subordinated Unsecured Debt a
non-investment grade 'BB+' rating effective on May 10, 2004.


KOOKMIN BANK: Grants Stock Options to Key Management People
-----------------------------------------------------------
Kookmin Bank's board of directors has resolved to grant stock
options to some of its senior executive vice presidents,
executive vice presidents and heads of regional head offices,
the company said in a 6-K filing with the Securities and
Exchange Commission.

The stock grant is to be approved during the company's general
meeting of stockholders on March 23, 2007.

The purpose of these stock option grants is to derive better
performance by relating performance and compensation, in order
to elevate shareholder value.  

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 the bank carries Moody's bank financial
strength rating of D+.


KOOKMIN BANK: Sets AGM on March
-------------------------------
Kookmin Bank's board of directors has scheduled the company's
general meeting of shareholders for the fiscal year 2006 on
March 23, 2007, at 10:00 a.m. at the 4th floor Auditorium,
Kookmin Bank, 36-3 Yeouido-dong, Yeongdeungpo-gu, in Seoul,
Korea.

The meeting's agenda are:

   1. approval of non-consolidated financial statements (balance
      sheet, income statement and statement of appropriation of
      retained earnings) for the fiscal year 2006;

   2. appointment of directors;

   3. appointment of candidates for the members of the Audit
      Committee, who are non-executive directors;

   4. approval of previously granted stock options, and;

   5. grant of stock options.

The shareholders may exercise their voting rights without
attending the meeting in person by submitting voting cards via
mail.

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 the bank carries Moody's bank financial
strength rating of D+.


KYONGNAM BANK: Records Lowest SBL Ratio Among Regional Banks
------------------------------------------------------------
Data from the Financial Supervisory Service shows that Kyongnam
Bank, along with Daegu Bank, has the lowest SBL -- Substandard
Bank Loan -- 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 this 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

Kyongnam Bank -- http://www.kyongnambank.co.kr/-- has served as  
a regional financial center of South Gyeongsang Province from
its stronghold bases in Masan, Changwon and Ulsan, the three
major industrial centers in Korea.

Fitch Ratings gave Kyongnam Bank an individual rating of 'C'
effective April 25, 2006.


KYONGNAM BANK: Gets Second Lowest BIS Ratio Among Regional Banks
----------------------------------------------------------------
Kyongnam Bank posted an 11.35% BIS capital adequacy ratio at the
end of September 2006, lower than the 11.42% BIS ratio the bank
reported at the end June 2006, according to preliminary data
released by the Financial Supervisory Service.

The bank's BIS ratio is the lowest among all regional banks,
with the exception of Busan Bank's 11.14%

A Troubled Company Reporter - Asia Pacific report on Sept. 1,
2006, explained 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.

The FSS release contains this information on regional banks' BIS
Capital Ratio by Bank (in percent):

                                             June    Sept.
                     2003    2004    2005    2006    2006
                    ------  ------  ------  ------  ------
      Daegu          10.58   10.66   11.33   11.60   11.73
      Busan          11.66   10.84   12.25   11.61   11.14
      Kwangju        10.72   11.81   11.60   11.89   11.55
      Jeju           10.96   10.91   11.71   12.22   11.70
      Jeonbuk        10.79   10.72   11.53   11.54   12.22
      Kyongnam       11.69   11.34   10.59   11.42   11.35
      Regional Banks 11.13   11.02   11.52   11.63   11.49

Kyongnam Bank -- http://www.kyongnambank.co.kr/-- has served as  
a regional financial center of South Gyeongsang Province from
its stronghold bases in Masan, Changwon and Ulsan, the three
major industrial centers in Korea.

Fitch Ratings gave Kyongnam Bank an individual rating of 'C'
effective April 25, 2006.


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

DATUK KERAMAT: Bursa Hands Public Reprimand, Fines Directors
------------------------------------------------------------
The Bursa Malaysia Securities Bhd publicly reprimanded Datuk
Keramat Holdings Bhd after the company failed to file its annual
report for the financial year ended Dec. 31, 2005, and quarterly
report for the period ended June 30, 2006, within the stipulated
timeframe.

In addition, Bursa Malaysia had also taken enforcement action
against some of the company's directors for failing to ensure
the timely filing of the company's financial reports with the
bourse.

Datuk Keramat has yet to file these financial reports:

    -- annual audited accounts for the financial years ended
       Dec. 31, 2004 and Dec. 31, 2005;

    -- annual report for the financial year ended Dec. 31, 2004;
       and

    -- quarterly reports for the financial period ended
       March 31, 2005, June 30, 2005, Sept. 30, 2005, Dec. 31,
       2005, and March 31, 2006.

The directors who are facing fines are:

   * Azimuddin bin Ab. Ghani -- MYR63,000

   * Willie Howard Pickle -- MYR25,200

   * Mohd Nor bin Abdul Raman -- MYR25,200.  

                          *     *     *

Headquartered in Pulau Pinang, Malaysia, Datuk Keramat Holdings
Berhad is engaged in investment and property holding.  The
Company is also involved in management services; property
investment services; project management services and
development; credit and financing activities; distribution and
publication of magazines; media design and advertising;
management of supermarket and departmental store; trading and
distribution of pharmaceutical, management of car park, garment
manufacturing and financial services.  

The Group is facing numerous suits filed by financiers and trade
creditors who have alleged that outstanding debts are owed to
them.  On January 24, 2005, the Company was served with a wind-
up petition by Affin Bank Bhd, who claimed a sum ofMYR15.66
million in respect of revolving credit facilities granted to the
company.


GEORGE TOWN: Gets Reprimand Over Failure to File Financials
-----------------------------------------------------------
George Town Holdings Bhd failed to submit its annual report for
the financial year ended Dec. 31, 2005, and quarterly report for
the period ended June 30, 2006, within the timeframe set by
Bursa Malaysia Securities Bhd.

Accordingly, the bourse publicly reprimanded the company for
violating its listing requirements.  

In addition, Bursa Securities had also taken enforcement action
against some of the company's directors for their failure to
ensure the filing of these financial statements within the
stipulated time frame:

    -- annual audited accounts for the financial years ended
       Dec. 31, 2004 and Dec. 31, 2005;

    -- annual report for the financial year ended Dec. 31, 2004;
       and
       
    -- quarterly reports for the financial period ended
       March 31, 2005, June 30, 2005, Sept. 30, 2005, Dec. 31,
       2005 and March 31, 2006.

These fined directors are:

   * Azimuddin bin Ab. Ghani, Executive Director -- MYR63,000

   * Willie Howard Pickle -- MYR25,200

   * Mohd Nor bin Abdul Raman -- MYR25,200

                          *     *     *

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

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

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


TAP RESOURCES: Bursa to Suspend Securities Trading on March 9
-------------------------------------------------------------
The Bursa Malaysia Securities Bhd will suspend the trading of
Tap Resources Bhd's securities on March 9, 2007, at 9:00 a.m.
after the company failed to submit its regularization plan to
relevant authorities.

As an affected listed issuer under the Amended PN 17 category of
the bourse, Tap Resources was expected to submit a plan showing
the steps it will take to stabilize its financial and
operational operation on Feb. 28, 2007, to the Securities
Commission and other relevant authorities.

                          *     *     *

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

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

With Tap's failure to comply with the requirements, Bursa
Securities will commence a suspension and delisting procedure on
the company's securities.


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

ATECH CUTTING: Court Appoints Joint Liquidators
-----------------------------------------------
The High Court of Auckland appointed Henry David Levin and Barry
Phillip Jordan as joint and several liquidators of Atech Cutting
Ltd on Feb. 15, 2007.

Accordingly, the liquidators fixed March 15, 2007, as the last
day for the company's creditors to lodge their claims.

The Joint Liquidators can be reached at:

         Henry David Levin
         Barry Phillip Jordan
         PPB McCallum Petterson
         Level 11, Forsyth Barr Tower
         55-65 Shortland Street, Auckland
         New Zealand
         Telephone:(09) 336 0000
         Facsimile:(09) 336 0010


BOP HORTICULTURE: Court to Hear Liquidation Petition on March 8
---------------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
against BOP Horticulture Ltd on March 8, 2007, at 10:00 a.m.

Accident Compensation Corp. filed the petition on Nov. 20, 2006

Accident Compensation's solicitor can be reached at:

         Dianne S. Lester
         Maude & Miller
         2nd Floor, McDonald's Building
         Cobham Court (PO Box 50555 or DX SP 32505)
         Porirua City
         New Zealand


EAST COAST: Appoints Official Assignee as Liquidator
----------------------------------------------------
On Feb. 13, 2007, the Official Assignee of East Coast Plasterers
Ltd was named as the company's liquidator.

As reported by the Troubled Company Reporter - Asia Pacific, the
High Court of Gisborne heard the liquidation petition against
the company on that day.  The Commissioner of Inland Revenue
filed the petition.

The Liquidator can be reached at:

         Official Assignee
         Insolvency and Trustee Service
         Private Bag 4714, Christchurch
         New Zealand
         Telephone: 0508 467 658
         Web site: http://www.insolvency.govt.nz


FRUEHAUF TRAILERS: Placed Under Receivership, Lays Off Workers
--------------------------------------------------------------
On Feb. 23, 2007, PricewaterhouseCoopers placed Fruehauf
Trailers Ltd. under receivership.  However, the company advised
that it is continuing to trade as normal.

According to Receiver Malcolm Hollis, of PriceWaterhouseCoopers,
the company was put into receivership because it was trading at
a loss and owed more than NZ$1 million, stuff.co.nz cites the
Manawatu Standard.

The company will stay open with a trimmed workforce for about
six weeks and the company will be sold as a going concern, Mr.
Hollis noted, adding that manufacturing in New Zealand is
becoming increasingly difficult.

On Feb. 28, 2007, 13 Fruehauf Pacific workers, which include
welders, fitters, spray painters and engineers, were laid off,
the Manawatu Standard relates, noting that the remaining 33
workers will also be laid off and the business closed if
receivers cannot sell it as a going concern.

The reason for the lay off of 13 workers was to reduce workers
to compensate for the current level of work in the company.  Mr.
Hollis said "we have had to restructure so we don't lose money
while we are here."

Mr. Hollis further said that the 13 workers would be paid their
two days of outstanding wages, but would not receive holiday pay
unless receivers get the necessary cash.

The laid-off workers will not receive redundancy payouts, as it
was not in their contract, the paper notes.

The company's is based in Feilding with branches in Auckland and
Christchurch.

Stuff.co.nz recounts that Fruehauf Pacific cut 20 jobs from its
Feilding workforce nine months ago.  One other worker has been
laid off in Christchurch, the paper adds.

                    About Fruehauf Trailers

Fruehauf Trailers -- http://www.fruehauf.co.nz/-- is New  
Zealand's leading manufacturer of heavy transport trailers and
ancillary equipment, meeting a wide variety of transport needs.  
Fruehauf's design, quality and production systems reflect it's
international standing as a leading supplier.


HI TECH BUILDING: Faces Liquidation Proceedings
-----------------------------------------------
A petition to liquidate Hi Tech Building Systems Ltd was heard
before the High Court of Christchurch on Feb. 26, 2007.

Chapman Engineering Ltd filed the petition with the Court on
Sept. 18, 2006.

Chapman Engineering's solicitor can be reached at:

         P. M. James
         Saunders & Co
         227 Cambridge Terrace (PO Box 18)
         Christchurch
         New Zealand
         Telephone:(03) 379 7690
         Facsimile:(03) 353 0469


KATANA BUSINESS: Shareholders Appoint Joint Liquidators
-------------------------------------------------------
On Feb. 7, 2007, the shareholders of Katana Business Group Ltd
appointed Peri Micaela Finnigan and Victoria Toon as the
company's joint and several liquidators.

In this regard, the Liquidators fixed March 15, 2007, as the
deadline within which the company's creditors are to prove their
debts.

The Joint Liquidators can be reached at:

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


MID CITY: CIR Seeks to Liquidate Company
----------------------------------------
On Dec. 19, 2006, the Commissioner of Inland Revenue filed a
petition to liquidate Mid City Concrete Ltd.

The petition will be heard before the Court of Napier on
March 1, 2007, at 10:00 a.m.

The CIR's solicitor can be reached at:

         R. J. Collins
         Elvidge & Partners
         corner of Raffles and Bower Streets
         Napier
         New Zealand


OCTAGON HOUSING: Liquidation Hearing Slated for May 3
-----------------------------------------------------
On Jan. 16, 2007, Newmarket European Ltd filed a liquidation
petition against Octagon Housing 3000 Ltd before the High Court
of Auckland.

The petition will be heard on May 3, 2007, at 10:45 a.m.

Newmarket European's solicitor can be reached at:

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


PETERRY HOLDINGS: Commences Liquidation Proceedings
---------------------------------------------------
On Feb. 14, 2007, the shareholders of Peterry Holdings Ltd
resolved to liquidate the company's business.

In this regard, Neil William Evetts was appointed as liquidator.

The company's Liquidator can be reached at:

         Neil William Evetts
         28 Vivian Street, New Plymouth
         New Zealand
         Telephone:(06) 757 9074
         Facsimile:(06) 758 1182


PUKEATUA CONTRACTING: Court Hears Liquidation Petition
------------------------------------------------------
A liquidation petition filed against Pukeatua Contracting 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


THE COVE: Hearing of Liquidation Petition Set for May 3
-------------------------------------------------------
The High Court of Auckland will hear a liquidation petition
filed against The Cove Ltd on May 3, 2007, at 10:00 a.m.

Hilti (New Zealand) Ltd filed the petition on Dec. 20, 2006.

Hilti (New Zealand)'s solicitor can be reached at:

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


TRUE DIMENSION: Shareholders Opt to Close Business
--------------------------------------------------
On Feb. 15, 2007, the shareholders of True Dimension Investment
Ltd resolved through a resolution to liquidate the company's
business.

Subsequently, Nigel Andrew Milton was appointed as liquidator.

The Liquidator can be reached at:

         Nigel Andrew Milton
         c/o John Schollum
         BDO Spicers, PO Box 51563
         Pakuranga, Auckland
         Telephone:(09) 274 9340
         Facsimile:(09) 274 0863


WHANGAPOUA PROPERTIES: Creditors' Proofs of Claim Due on May 15
---------------------------------------------------------------
The creditors of Whangapoua Properties Ltd are required to
submit their proofs of claim by May 15, 2007, and to establish
any priority claims they may have.

According to the Troubled Company Reporter - Asia Pacific, the
Court heard the liquidation petition against the company on
Feb. 15, 2007.   The Commissioner of Inland Revenue filed the
petition.

The company's 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


WOOL EQUITIES: Commission Completes Review of Trading in Shares
---------------------------------------------------------------
The Securities Commission has completed a review of trading in
the shares of Wool Equities Limited, the company said in a
disclosure to the New Zealand Stock Exchange.

The matter was referred to the Commission by NZX on Nov. 22,
2006, after a complaint by some shareholders.

The review related to allegations of insider trading against the
former chairman, Richard Bentley, and the former chief executive
officer, Mark O'Grady.

The Commission will not be taking any further action in this
matter, the company notes.

Wellington, New Zealand-based Wool Equities Ltd. --
http://www.woolequities.co.nz/-- is a technology investment  
company, with shareholdings in a diverse range of companies,
focusing in the biotech sector.  The companies include Karatec
Limited, which is a manufacturing, marketing/distribution and
technology licensing business extracting high-value protein
fractions used for applications in personal care, consumer
health and medical materials; Canesis Networks Limited, which is
engaged in wool science and textile technology; Orico Limited,
and Paracco Limited. From June 30, 2006, Covita Limited was a
subsidiary of the company.

The group suffered net losses of NZ$3,571,000 and NZ$7,996,000
for the years ended June 30, 2006, and 2005, respectively
(parent: NZ$2,852,000 and NZ$5,942,000).


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

PHIL. LONG DISTANCE: First Pacific Completes Buying 6.4% Stake
--------------------------------------------------------------
First Pacific's shareholders, on Feb. 28, approved the company's
acquisition of an additional interest in approximately 46% in
Philippine Telecommunications Investment Corporation for a
consideration of PHP25.2 billion (equivalent to approximately
510.6 million).  This additional investment in PTIC represents
an attributable interest of approximately 6.4% issued common
share capital of Philippine Long Distance Telephone Company,
thereby raising First Pacific's interest in PLDT to
approximately 29%.

The acquisition approved by the shareholders at a special
general meeting, allowed First Pacific to complete on Feb. 28
the conditional sale and purchase agreement signed with the
Philippine Government on Feb. 14, 2007.  This finalizes a
process that commenced with a public auction initiated by the
Philippine Government on Dec. 8, 2006.

The transaction has been financed with a combination of
approximately US$90.6 million of internal resources and US$420
million of borrowings.

Manuel V. Pangilinan, First Pacific's Managing Director and
Chief Executive Officer, said: "We are pleased to have this
valuable opportunity to further increase our investment in PLDT,
which has been a strategic investment of the Group since 1998.
PLDT has reported outstanding performances over last few years
and is a major earnings and dividend contributor to the Group.
We are confident that the Group will continue to benefit from
the strong performance of PLDT."

                       About First Pacific

First Pacific is a Hong Kong-based investment and management
company with operations located in Asia.  Its principal business
interests relate to Telecommunications, Consumer Food Products
and Infrastructure.  Listed in Hong Kong (Stock code: 00142),
First Pacific's shares are also available in the United States
through American Depositary Receipts (ADR code: FPAFY).

                           About PLDT

Based in Makati City, Philippines, Philippine Long Distance
Telephone Co. -- http://www.pldt.com.ph/-- is the leading    
national telecommunications service provider in the Philippines.
Through three principal business groups -- wireless, fixed line,
and information and communications technology -- the company
offers a wide range of telecommunications services to over 22
million subscribers in the Philippines across the nation's most
extensive fiber optic backbone and fixed line, cellular and
satellite networks.

                          *     *     *

On Nov. 3, 2006, Moody's Investors Service affirmed PLDT's Ba2
senior unsecured foreign currency rating and changed its outlook
to stable from negative.   The Ba2/stable rating is above the
Philippines' foreign currency country ceiling of Ba3/stable,
Moody's notes.  According to the agency, the foreign currency
senior unsecured debt rating incorporates convertibility risk,
which is the likelihood of the government declaring a debt
moratorium to counter a foreign currency crisis.

Moody's views foreign currency bonds subject to international
law as less likely to be subject to a debt moratorium than
foreign currency obligations subject to local law.  Therefore, a
differential exists between PLDT's foreign currency bond rating
and the sovereign rating.

As such, PLDT's foreign currency bond rating is a function of
its own risk of default and the probability of a Philippine
government default on its foreign debt (implied by its B1
rating), the likelihood that the government would declare a
moratorium in the event of a default (implied by the Ba3 foreign
currency ceiling) and, if it did, the chances that it would
exempt a company such as PLDT.


PRIME ORION: Subsidiary Sells Pepsi Stake for US$21.16 Million
--------------------------------------------------------------
Prime Orion Philippines, Inc., said that its wholly owned
subsidiary, Orion Brands International, Inc., sold on Feb. 28,
584,283,294 common shares stock of Pepsi-Cola Products
Philippines, Inc.

In a disclosure with the Securities and Exchange Commission and
the Philippine Stock Exchange, Prime Orion reveals that its unit
sold the Pepsi-Cola Stake to The Nassim Fund for a cash
consideration of US$21,163,362 or US$0.36 per share.

Nassim is a Singapore-based absolute return hedge fund that
invests in Asia Pacific equities, the company says.

Headquartered in Makati City, Philippines, Prime Orion
Philippines, Inc. acquires by purchase, exchange, assign, donate
or otherwise, and to hold, own and use, for investment or
otherwise and to sell, assign, transfer, exchange, lease, let,
develop, mortgage, pledge, traffic, deal in and with, and
otherwise operate, enjoy and dispose of any and all properties
of every kind and description and wherever situated, as and to
the extent permitted by law, including but not limited to,
buildings, tenements, warehouses, factories, edifices and
structures and other improvements, and bonds, debentures,
promissory notes, shares of capital stock, or other securities
and obligations, created, negotiated or issued by any
corporation, association, or other entity, domestic or foreign.

Prime Orion Philippines, Inc. and subsidiaries have principal
business interests in real estate, financial services and
manufacturing.

As previously reported in the Troubled Company Reporter - Asia
Pacific, the company's balance sheet as of Sept. 30, 2006,
showed capital deficiency of PHP4.6 billion.


* Bear Stearns Sees Further Strengthening of Peso in June
---------------------------------------------------------
Even with easing of regulations on foreign exchange, the
Philippine peso could strengthen between 47 and 48 against the
United States dollar by June, the Manila Standard Today quotes
Bear Stearns and Co. Inc. as saying in its weekly journal.

The Bangko Sentral ng Pilipinas has recently made changes to its
foreign exchange regulatory framework, which is set to take
effect on April 2.  The central bank will now allow banks and
individuals to hold more dollars and allow local companies to
make more overseas investments.  Bear Stearn says this move is
aimed at slowing the Philippine peso's appreciation.

The international brokerage firm admits that the new regulations
may temporarily weaken the peso but by mid-year will be back to
its march toward stronger levels.

The international brokerage firm believes that the peso could
even go up to 45 to 46 over the next few years.

Bear Stearns said the peso had been the best-performing currency
in Asia and even lagged other currencies such as the Korean won
and the Thai baht, the Manila Standard points out.

Bear Stearns based it forecast on the peso's further rise on
heavy foreign exchange inflows in 2006 that resulted in a
balance of payments position of US$3.7 billion.

                         *     *     *

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

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

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

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


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

CHINA FORTUNE: High Court to Hear Wind-Up Petition on March 2
-------------------------------------------------------------
Poh Tiong Choon Holdings (Pte) Ltd filed a petition on Feb. 8,
2007, to wind up the operations of China Fortune Investment
Corporation Pte Ltd.

The petition will be heard before the High Court of Singapore on
March 2, 2007, at 10:00 a.m.

Poh Tiong's solicitor can be reached at:

         Gurbani & Co
         9 Temasek Boulevard
         #17-01 Suntec Tower 2
         Singapore 038989


GOUDIE ASSOCIATES: Pays First and Final Dividend to Creditors
-------------------------------------------------------------
Goudie Associates Singapore Pte Ltd, which is under creditors'
voluntary liquidation, paid the first and final dividend to its
creditors on Feb. 22, 2007.

The company paid 33.91% on account of all received claims.

The company's liquidator can be reached at:

         Kon Yin Tong
         47 Hill Street #05-01
         Chinese Chamber of Commerce & Industry Building
         Singapore 179365


LAZARD LTD: Dec. 31 Balance Sheet Upside-Down by US$240.3 Mil.
--------------------------------------------------------------
Lazard Ltd. reported that at Dec. 31, 2006, its balance sheet
showed total assets of US$3.2 billion and total liabilities of
US$3.4 billion, resulting in a total stockholders' deficit of
US$240.3 million.

The company earned US$236.2 million for the year ended Dec. 31,
2006, from pro forma net income of US$172.3 million for the year
ended Dec. 31, 2005.  Operating income for the full year 2006
increased 31% to US$327.2 million, compared to pro forma
US$248.9 million for 2005.

For the full year 2006, operating revenue increased 16% to a
record US$1.57 billion compared to US$1.36 billion for 2005.  
Net income, before exchange of outstanding exchangeable
interests for the full year 2006, increased 44% to US$93 million
compared to pro forma income from continuing operations of
US$64.5 million for 2005.

Net income on a fully exchanged basis for the fourth quarter of
2006 increased by 50% to US$85.8 million from US$57.3 million
for the fourth quarter of 2005.  Operating income increased by
49% to US$115.2 million for the fourth quarter of 2006, from
US$77.1 million for the fourth quarter of 2005.  

Operating revenue for the fourth quarter of 2006 increased by
27% to US$491.5 million, from US$387.7 million for the fourth
quarter of 2005.  Net income before exchange of outstanding
exchangeable interests for the fourth quarter of 2006 increased
68% to US$36.6 million compared to pro forma income from
continuing operations of US$21.7 million for the fourth quarter
of 2005.

"Lazard had an exceptional first full year as a publicly traded
firm and these results demonstrate the continued effectiveness
of our simple business model.  We are particularly pleased to
have successfully implemented our three-year plan in Asset
Management," said Bruce Wasserstein, Chairman and Chief
Executive Officer of Lazard Ltd.  "We are a premium financial
services firm that is committed to excellence, intellectual
rigor, integrity and creativity for our clients on a global
scale."

"During 2006, Lazard marked a number of milestones in the
history of the firm.  We are pleased to report record annual
revenues in both Financial Advisory and Asset Management," said
Steven J. Golub, Lazard's Vice Chairman.  

"We advised on a large number of major transactions, including
Pfizer's US$16.6 billion sale of its consumer business, the
Cerberus consortium's US$14 billion acquisition of a controlling
stake in GMAC, Fisher Scientific's US$12.8 billion merger with
Thermo Electron, and Caisse d'Epargne's reorganization of its
Caisse des Depots et Consignations partnership and its
negotiations with Groupe Banque Populaire in the creation of
NATIXIS.  We delivered positive net inflows in Asset Management
for the fourth quarter and the full year, and reached an all
time record of over US$110 billion of assets under management.

"In December, we successfully completed our second public equity
offering, raising US$349 million for us.  This enables us to
invest in our businesses, furthering our ability to achieve our
strategic vision," noted Golub.  "We also have continued to
control costs, while retaining and attracting talented
professionals."

Lazard believes that pro forma results assuming full exchange of
outstanding exchangeable interests provide the most meaningful
basis for comparison among present, historical and future
periods.

Financial Advisory revenue increased 13% to US$973.4 million for
2006, from US$865.3 million for 2005, driven by strong M&A
performance and growth in Corporate Finance and Other revenue
offset by lower Financial Restructuring revenue.  

Asset Management revenue increased 18% to US$548.5 million for
2006 compared with US$463.7 million for the 2005.

                            Capital    

On Dec. 6, 2006, Lazard Ltd. issued 14,050,400 shares of Class A
common stock, of which 8,050,400 shares were sold by Lazard Ltd.
for net proceeds of US$349.1 million and 6,000,000 shares were
sold by its selling shareholders, for which Lazard Ltd did not
receive any proceeds.  The issuance increased the total issued
shares, on a fully exchanged basis, by 8,050,400.

                       About Lazard Ltd.

Lazard Ltd. -- http://www.lazard.com/-- one of the world's    
preeminent financial advisory and asset management firms,
operates from 29 cities across 16 countries in North America,
Europe, Asia, Australia and South America.  With origins dating
back to 1848, the firm provides services including mergers and
acquisitions advice, asset management, and restructuring advice
to corporations, partnerships, institutions, governments, and
individuals.  The company has locations in Australia, China,
France, Germany, India, Japan, Korea and Singapore.


LEAR CORP: Net Loss Down to US$707.5 Mil. in Year Ended Dec. 31
---------------------------------------------------------------
Lear Corporation's net loss for the year ended Dec. 31, 2006,
decreased to US$707.5 million from US$1,381.5 million in the
year ended Dec. 31, 2005, reflecting loss on divestiture of the
company's interior business of US$636 million in 2006 and
goodwill impairment charges of US$1.0 billion in 2005.

Net sales for the year ended Dec. 31, 2006, increased by 4.4%,
or US$750 million, to US$17,838.9 million from US$17,089.2
million in 2005.  New business favorably impacted net sales by
US$1.9 billion.  The increase was partially offset by the impact
of unfavorable vehicle platform mix and lower industry
production volumes primarily in North America, which reduced net
sales by US$1.2 billion.
  
The company's balance sheet at Dec. 31, 2006, showed total
assets of US$7,850.5 million, total liabilities of US$7,248.5
million, and total stockholders' equity of US$602.0 million.  
Lear's total stockholders' equity at Dec. 31, 2005, was
US$1,111.0 million.

Gross profit and gross margin were US$928 million and 5.2% in
2006, as compared to US$736 million and 4.3% in 2005.  New
business favorably impacted gross profit by US$186 million.  
Gross profit also benefited from productivity initiatives and
other efficiencies.  The 2005 period also included incremental
fixed asset impairment charges of US$72 million.  The
improvements in gross profit were partially offset by the impact
of net selling price reductions, unfavorable vehicle platform
mix and lower industry production volumes primarily in North
America, which collectively reduced gross profit by US$175
million.  Gross profit was also negatively impacted by higher
raw material and commodity costs.

Selling, general and administrative expenses, including research
and development, were US$647 million for the year ended Dec. 31,
2006, as compared to US$631 million for the year ended Dec. 31,
2005.  As a percentage of net sales, selling, general and
administrative expenses were 3.6% and 3.7% in 2006 and 2005,
respectively.  The increase in selling, general and
administrative expenses was largely due to inflationary
increases in compensation, facility maintenance and insurance
expense, as well as incremental infrastructure and development
costs in Asia, partially offset by a decrease in litigation-
related charges and the impact of recent census reduction
actions.

Interest expense was US$210 million in 2006, as compared to
US$183 million in 2005.  The increase was largely due to an
increase in short-term interest rates and increased costs
associated with debt refinancings.

                            Cash Flows

Net cash provided by operating activities was US$285 million in
2006, as compared to US$561 million in 2005.  The net change in
sold accounts receivable resulted in a US$589 million decrease
in operating cash flows between periods.  The decrease was
partially offset by the net change in recoverable customer
engineering and tooling, which resulted in a US$307 million
increase in operating cash flows between periods.  Decreases in
accounts receivable and accounts payable were a source of US$153
million of cash and a use of US$359 million of cash,
respectively, in 2006, reflecting the timing of payments
received from customers and made to suppliers.

Net cash used in investing activities was US$312 million in
2006, as compared to US$542 million in 2005, reflecting a US$221
million decrease in capital spending between periods.  In 2006,
cash received of US$35 million related to the sales of interest
in two affiliates was partially offset by a US$21 million
indemnity payment related to 1999 acquisition of UT Automotive,
Inc.

Financing activities were a source of US$277 million of cash in
2006, as compared to a use of US$347 million of cash in 2005.  
In 2006, financing activities include the incurrence of an
additional US$600 million of term loans due 2010 under primary
credit facility, the issuance of US$900 million aggregate
principal amount of senior notes due 2013 and 2016, the
repurchase of US$1.3 billion aggregate principal amount (or
accreted value) of senior notes due 2008, 2009 and 2022 and the
issuance of 8.7 million shares of common stock in a private
placement for a net purchase price of US$199 million.

                          Capitalization

In addition to cash provided by operating activities, the
company utilizes a combination of available credit facilities to
fund capital expenditures and working capital requirements.  For
the years ended Dec. 31, 2006, and 2005, the company's average
outstanding long-term debt balance, as of the end of each fiscal
quarter, was US$2.4 billion and US$2.3 billion, respectively.  
The weighted average long-term interest rate, including rates
under committed credit facility and the effect of hedging
activities, was 7.3% and 6.5% for the respective periods.

The company utilizes uncommitted lines of credit as needed for
short-term working capital fluctuations.  For the years ended
Dec. 31, 2006, and 2005, average outstanding unsecured short-
term debt balance, as of the end of each fiscal quarter, was
US$20 million and US$38 million, respectively.  The weighted
average interest rate, including the effect of hedging
activities, was 4.4% and 3.7% for the respective periods.  The
availability of uncommitted lines of credit may be affected by
financial performance, credit ratings and other factors.  
Uncommitted lines of credit available from banks decreased by
approximately US$75 million from Dec. 31, 2005, to Dec. 31,
2006.

                         AREP Merger Deal

As reported in the Troubled Company Reporter on Feb. 12, 2007,
Lear and American Real Estate Partners entered into an agreement
for Lear to be acquired by AREP, in a transaction valued at
approximately US$5.3 billion, including the assumption of debt.
Under the terms of the agreement, Lear shareholders would
receive US$36.00 per share in cash.  Closing is expected to
occur by the end of the second quarter of 2007.

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

                           Restructuring

In the second quarter of 2005, the company began to implement
consolidation and census actions in order to address unfavorable
industry conditions.  The actions continued throughout 2005 and
2006 and are part of a comprehensive restructuring strategy
intended to (i) better align manufacturing capacity with the
changing needs of customers, (ii) eliminate excess capacity and
lower operating costs and (iii) streamline organizational
structure and reposition business for improved long-term
profitability.

In connection with the restructuring actions, Lear expects to
incur pretax costs of approximately US$300 million through 2007,
although all aspects of the restructuring actions have not been
finalized.  Restructuring and related manufacturing inefficiency
charges were US$100 million in 2006 and US$104 million in 2005.  
The remainder of the restructuring costs are expected to be
incurred in 2007.

                      Financing Transactions

On April 25, 2006, Lear amended and restated its primary credit
facility.  On Nov. 24, 2006, Lear completed the issuance of
US$300 million aggregate principal amount of 8.50% senior notes
due 2013 and US$600 million aggregate principal amount of 8.75%
senior notes due 2016.  Using the net proceeds from the
financing transactions, the company repurchased EUR194 million
aggregate principal amount of 8.125% senior notes due 2008,
US$759 million aggregate principal amount of 8.11% senior notes
due 2009 and outstanding zero-coupon convertible notes due 2022
with an accreted value of US$303 million.  In connection with
the refinancing transactions, Lear recognized a net loss on the
extinguishment of debt of approximately US$48 million in 2006.

On Nov. 8, 2006, Lear completed the sale of 8,695,653 shares of
its common stock in a private placement to affiliates of and
funds managed by Carl C. Icahn for a purchase price of US$23 per
share.  The proceeds of the offering will be used for general
corporate purposes, including strategic investments in the
company's core businesses.

A full-text copy of the financial report can be accessed for
free at http://researcharchives.com/t/s?1a8c

                      About Lear Corporation

Headquartered in Southfield, Michigan , Lear Corporation (NYSE:
LEA) -- http://www.lear.com/-- supplies automotive interior    
systems and components.  Lear provides complete seat systems,
electronic products and electrical distribution systems and
other interior products.

Lear has operations in these Asian countries: Singapore, China,
India, Japan, the Philippines and Thailand.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Feb. 15, 2007, that following Lear's agreement to be acquired by
Carl Icahn- controlled American Real Estate Partners, L.P.,
Standard & Poor's Ratings Services lowered its corporate credit
rating on Lear to 'B' from 'B+' and placed its ratings on
CreditWatch with negative implications.

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


LIANG HUAT: Net Loss Down by 45% to SGD16.08 Mil. in FY 2006
------------------------------------------------------------
On Feb. 27, 2007, Liang Huat Aluminium Limited posted in the
Singapore Stock Exchange its financial results for the fiscal
year ended Dec. 31, 2006.

Liang Huat recorded a SGD16.08-million net loss in the fiscal
year ended Dec. 31, 2006, representing a 45% decrease from the
SGD29.22-million net loss incurred in 2005.  This was mainly due
to the positive effects from the deconsolidation of non-core
subsidiaries amounting to SGD10.0 million.

The Group's turnover for the financial year ended Dec. 31, 2006,
reduced by approximately 69.1% from SGD8.76 million to SGD2.71
million.  The reduction in turnover was the result of:

   * Continued difficult operating environment in light of the
     ongoing restructuring;

   * Effects of the plant shutdown in its China subsidiary,
     Foshan City Nanhai Hualian Aluminium Co., Ltd.  Foshan City
     Nanhai contributed SGD4.3 million or 48.8% to the turnover
     for the financial year ended Dec. 31, 2005;

   * Cessation of rental income subsequent to the completion of
     disposal of the company's leasehold property, Liang Huat
     Industrial Complex, in January 2006 as part of the
     company's restructuring plans; and

   * Revenue from new contract manufacturing orders yet to be
     recognized.

The current level of business volume of the Group is very low
and the revenue generated is insufficient to cover the fixed
costs of operations, hence resulting in gross loss for both
fiscal year 2006 and fiscal year 2005.  However, with the cost
cutting measures that have been in place, the Group has reduced
gross loss from operations by 65.5% from SGD1.8 million in
fiscal year 2005 to SGD0.6 million in fiscal year 2006.

The effects of the continuous efforts of cost cutting measures
is also reflected in operating expenses which have decreased by
56.7% from SGD4.7 million to SGD2.0 million.

The significant increase in other operating income is mainly due
to:

   -- increase in gain on disposal of property, plant and
      equipment from SGD32,000 in fiscal year 2005 to SGD0.9
      million in fiscal year 2006;

   -- increase in gain on de-consolidation of non-core
      subsidiaries totaling SGD10.0 million in fiscal year 2006
      compared to SGD1.6 million in fiscal year 2005; and

   -- reversal of costs and expenses over-recognized in prior
      years amounting to SGD8.9 million in fiscal year 2006
      compared to SGD1.6 million in fiscal year 2005.

As of Dec. 31, 2006, the company's balance sheet showed total
assets of SGD0.84 million and SGD138.78 million in total
liabilities, which leaves a shareholders' equity deficit of
SGD137.93 million.

Moreover, the Group's Dec. 31, 2006, balance sheet showed total
assets of SGD4.58 million and total liabilities of
SGD150.8 million, resulting in a shareholders' equity deficit of
SGD146.22 million.

A full-text copy of Liang Huat's financial statement for the
fiscal year ended Dec. 31, 2006, is available for free at:

          http://bankrupt.com/misc/LiangHuatFY2006.pdf

                         About Liang Huat

Liang Huat Aluminium -- http://www.lianghuatgroup.com.sg/-- is  
a vertically integrated, professionally run group of companies
based in Singapore focusing on producing high quality aluminum
products and processed glass for both the industrial and
construction industries.  It also supplies and installs aluminum
and processed glass for major commercial and residential
projects mainly in Singapore.

Liang Huat was the subject of a wind-up petition filed by Lim Ah
Siong trading as Lian Siong Aluminium & Trading on August 26,
2004.  Presently, the company is undergoing a financial
restructuring exercise.  It is also working a Scheme of
Arrangement with its major creditor banks.

As of Dec. 31, 2006, the company's balance sheet showed total
assets of SGD0.84 million and SGD138.78 million in total
liabilities, which leaves a shareholders' equity deficit of
SGD137.93 million.


OVERSEAS SHIPHOLDING: Posts Net Income of US$392.7MM in FY 2006
---------------------------------------------------------------
Overseas Shipholding Group, Inc., reported on Feb. 27, 2007, the
results for the fiscal year and fourth quarter ended Dec. 31,
2006.

For the fiscal year ended December 31, 2006, the company
reported a 3.2% increase in Time Charter Equivalent1 revenues to
US$992.8 million from US$961.7 million in 2005.  The increase
was principally due to increases in average daily TCE rates for
VLCCs and Handysize Product Carriers, partially offset by
an 888 day decrease in revenue days.  EBITDA1 for the year
decreased to US$595.1 million from US$705.5 million in 2005 and
reflected a US$27.0 million increase in the reserve recorded in
the third quarter for the settlement of a Department of Justice
investigation announced Dec. 19, 2006.  Net income for fiscal
year ended December 31, 2006 was US$392.7 million, or
US$9.92 per diluted share, compared with US$464.8 million, or
US$11.77 per diluted share, a year ago.  During the year, OSG
sold or sold and leased-back four vessels and benefited from
gains on vessel sales and sales of securities of
US$74.1 million, representing US$1.56 per diluted share,
compared with US$66.1 million, or US$1.40 per diluted share, a
year ago.

For the fourth quarter ended December 31, 2006, TCE revenues
declined by 11.0% to US$241.6 million from US$271.1 million in
the fourth quarter of 2005.  EBITDA for the fourth quarter was
US$170.3 million compared with US$170.5 million in the fourth
quarter of 2005.  Net income for the quarter ended December 31,
2006 was US$113.2 million, or US$2.86 per diluted share,
compared with US$113.7 million, or US$2.88 per diluted share,
for the fourth quarter of 2005.  The current quarter benefited
from gains on vessel sales and sale of securities of US$53.1
million, or US$1.12 per diluted share, compared with US$5.4
million, or US$0.09 per diluted share, in the same period a year
ago.  Of the US$53.1 million, US$28.4 million, or US$0.72 per
diluted share, was associated with the sale of the Majestic
Unity and US$24.7 million, or US$0.40 per diluted share, related
principally to gains from liquidating security positions in the
Capital Construction Fund in preparation for qualified
withdrawals in connection with three newbuild Articulated Tug
Barges.

"Investment and expansion in each of our market segments has
resulted in significant value creation for OSG shareholders,"
stated Morten Arntzen, President and Chief Executive Officer.
"We continue to balance growth and investment across each of our
four operating units through active asset management and fleet
diversification.  Adding to our already significant presence in
the Americas, the proposed Heidmar acquisition will enable us to
provide full service lightering services on the East Coast, West
Coast and U.S. Gulf, further strengthening our position in the
Americas."  Arntzen further remarked, "Our objective of building
a large base of contractual revenues has progressed
significantly with more than US$340 million, or 32% of projected
TCE revenues locked in for 2007.  Further, the delivery of two
LNG carriers in the second half of this year, each of which will
commence 25-year charters transporting natural gas to the U.K.,
begins a new era for OSG in the gas segment.  We are very
excited about our prospects for the future."

TCE revenues in the fourth quarter of 2006 for the International
Crude Tanker segment were US$155.3 million, a decrease of
US$40.6 million from the same period of 2005.  The decline was
principally due to a counter seasonal decline in rates, an
increase in the number of days vessels were out of service due
to drydocking and repairs and the sale of two Aframaxes in the
third quarter of 2006.  TCE revenues for the International
Product Carrier segment increased US$5.4 million, or 11%, to
US$54.4 million from US$49.0 million in the year earlier period.
The increase was principally the result of higher rates earned
by the Handysize Product Carriers.  Revenue days remained
consistent between the two periods, as the delivery of two
chartered-in newbuilding Handysize Product Carriers in the third
quarter of 2006 was offset by an increase in the number of days
vessels were out of service due to drydocking and repairs.  U.S.
Flag TCE revenues increased US$8.5 million, or 44% quarter-over-
quarter, to US$28.1 million from US$19.6 million in the same
period a year ago, principally due to the Martitrans
acquisition, which added 444 revenue days and US$11.8 million of
TCE revenues to the U.S. unit during the period.

Income from vessel operations was US$98.1 million in the fourth
quarter of 2006, compared with US$118.1 million in the same
period a year earlier.  For the quarter ended December 31, 2006,
total operating expenses decreased US$3.6 million to US$161.6
million from US$165.2 million in the corresponding quarter in
2005.  Time and bareboat charter hire expenses increased
quarter-over-quarter principally due to the sale lease-back of
the Overseas Crown in the third quarter.  Vessel expenses
increased quarter-over-quarter due to the inclusion of the
Maritrans fleet beginning November 29, 2006 and higher crew
costs.  General and administrative expenses decreased
principally due to the change in recognition of targeted cash
incentive compensation from an annual to a quarterly basis,
partially offset by an increase in overall compensation and the
addition of Tampa and Philadelphia operations of Maritrans.

                       Business Highlights

   -- Future revenues associated with noncancelable time
      charters as of December 31, 2006, excluding time charters
      entered by the pools in which OSG participates and the Gas
      segment, totaled US$1.2 billion up from US$746.1 million
      as of December 31, 2005.  This amount represented 37,669
      revenue days.  This increase reflects the company's
      balanced growth strategy and expansion in segments
      characterized by long-term charters during the last two
      years.  Revenues of US$308.4 million or 13,159 days, is
      already secured for 2007.  During 2006, approximately 69%
      of the company's TCE revenues were derived from the spot
      market and 31% of TCE revenues were generated from time or
      bareboat charters.

   -- OSG purchased 313,500 shares at an average price of
      US$59.09 per share through December 31, 2006, under the
      US$300 million share repurchase program authorized by the
      company's Board of Directors in June 2006.

   -- On January 23, 2007, OSG sold 4.6 million shares of common
      stock of Double Hull Tankers, Inc. in a registered public
      offering.  OSG expects to recognize a gain from the
      transaction of approximately US$15 million in the first
      quarter of 2007.  As a result of the sale, OSG's
      beneficial ownership of DHT's common stock is
      approximately 29.17%, or 8,751,500 shares.

   -- On February 9, 2007, the Board declared a US$0.25 per
      share dividend to stockholders of record on February 23,
      2007, payable on March 8, 2007.

             Recent Activities and Quarterly Events

The company entered into a number of transactions in furtherance
of its strategy to expand its fleet, balance the mix of owned
and chartered-in tonnage and capitalize on the strong market for
second-hand tonnage.

Crude Oil Tankers

   * The sale of the Majestic Unity, a 1996-owned VLCC tanker,
     closed on December 13, 2006 generating a gain of
     approximately US$28.4 million.

   * Three new partners joined Aframax International bringing
     the total number of pool partners to nine.

   * The addition of five, 44-meter beam newbuild Aframaxes
     brings the pool's modern, double hull operated, committed
     and newbuild fleet to 43.

   * On January 19, 2007, OSG entered into a joint venture for
     two VLCC tankers, in which it will own 49.9% interest.  The
     tankers, which will be built at the Jiangnan shipyard in
     China, are scheduled to deliver in October 2009 and
     February 2010.  The contract price for each of the tankers
     is approximately US$108 million.

   * On February 26, 2007, OSG announced an agreement in
     principle to acquire the Houston-based Heidmar Lightering
     business from Heidmar Inc., a subsidiary of Morgan Stanley
     Capital Group Inc.  The operation, a fleet of four
     International Flag Aframax tankers and two U.S. Flag
     workboats, provides crude oil lightering services to
     refiners, oil companies and trading companies primarily in
     the U.S. Gulf. The lightering operation will create
     synergies and expand OSG's Aframax cargo and logistical
     system in the Atlantic basin as well as provide
     opportunities to serve U.S. West Coast customers with
     lightering service using OSG's Panamax tankers.

Product Carriers

   * On December 1, 2006, OSG chartered-in one 47,350 dwt IMO
     III Product Carrier from Daishin Technos Co., Ltd., a
     privately held shipping company in Japan, for a period of
     eight years with an option to purchase the vessel beginning
     in 2015.  The vessel, to be named the Overseas Carina, will
     be built by Imabari Shipbuilding Co., Ltd. in Japan, and is
     expected to be delivered to OSG in the third quarter of
     2010.

   * On December 6, 2006, the company agreed to build two 52,000
     dwt IMO III Product Carriers at Hyundai Mipo Dockyard Co.
     Ltd.  The vessels, hull number 2107 and hull number 2108,
     are scheduled to be delivered to OSG in 2010.

   * On January 27, 2007, OSG took delivery of the Overseas
     Cygnus.  The vessel, a 51,000 dwt IMO III Product Carrier,
     has been chartered-in through April 2017.

   * On February 14, 2007, the company sold and bareboat
     chartered back two 1996-built Product Carriers, the
     Overseas Nedimar and the Overseas Limar.  The lease-back
     periods range from six and one-half years to eight years.
     The estimated US$11.2 million gain from sales will be
     deferred and recognized over the terms of the charters.
     
U.S.

   * On November 28, 2006, the company completed the acquisition
     of Maritrans Inc., a leading U.S. Flag crude oil and
     petroleum product shipping company with a fleet of 19
     operating and newbuild vessels.  OSG paid US$37.50 per
     share, which valued the transaction at approximately US$506
     million, including debt assumed upon closing.  OSG has
     initially financed the acquisition through borrowings under
     existing credit facilities.  OSG will be able to use
     approximately US$292 million of its Capital Construction
     Fund to fund payments towards the construction contracts
     and related costs of the three newbuild ATBs.  As a result
     of the combination, OSG's U.S. fleet now totals 34
     operating and newbuild vessels that include Handysize
     Product Carriers, ATBs, Dry Bulk Carriers and a Car
     Carrier.  The strategic acquisition gives OSG a presence in
     all major U.S. Jones Act trading routes and provides
     customers with a broad range of short and long-haul
     transportation and lightering services.

   * On February 7, 2007, OSG announced an agreement in
     principle to bareboat charter up to six additional newbuild
     MT-46 Jones Act Product Carriers from American Shipping
     Corporation, a subsidiary of Aker American Shipping for
     initial terms of 10 to 15 years.  Three of the vessels are
     fixed and the company holds options for an additional
     three.  The agreement is subject to final documentation and
     customary closing conditions.

   * On February 9, 2007, OSG took delivery of the Overseas
     Houston, the first of the 10-ship order placed at the Aker
     Philadelphia Shipyard.

              Fleet Metrics and Corporate Statistics

   -- As of December 31, 2006, OSG's owned or operated fleet
      totaled 103 International Flag and U.S.  Flag vessels
      compared to 89 at December 31, 2005.  Fifty-eight percent,
      or 60 vessels, were owned as of December 31, 2006,
      compared with 56%, or 50 vessels, as of December 31, 2005.
      OSG's newbuild program of chartered-in and owned vessels
      totaled 34 and spanned all lines of business.  Updates on
      most vessels under construction can be found in the Fleet
      section of http://www.osg.com

   -- Revenue days in the quarter totaled 7,688, comparable to
      7,620 in the same period a year earlier.  The change
      reflects the addition of the Maritrans fleet, partially
      offset by the sale of older tankers and an increase in
      drydock and repair days.

   -- At year-end, the company had 3,980 employees comprised of
      3,579 sea going personnel and 401 shore side staff,
      compared with 3,437 employees at year end 2005, comprised
      of 3,187 sea going personnel and 250 shore side staff.

                       Financial Profile

As of Dec. 31, 2006, the company's balance sheet registered
total assets of US$4.23 billion, total liabilities of US$2.02
billion leaving a shareholders' equity of US$2.21 billion.

A full-text copy of the company's financial statement for the
fiscal year and fourth quarter ended Dec. 31, 2006, is available
for free at:

              http://bankrupt.com/misc/OSGFY2006.pdf

                   About Overseas Shipholding

Headquartered in New York, U.S.A., Overseas Shipholding Group,
Inc. (NYSE:OSG) -- http://www.osg.com/-- is one of the largest   
publicly traded tanker companies in the world with an owned,
operated and newbuild fleet of 117 vessels, aggregating 13.0
million dwt and 865,000 cbm, as of June 30, 2006.  As a market
leader in global energy transportation services for crude oil
and petroleum products in the U.S. and International Flag
markets, the company is committed to setting high standards of
excellence for its quality, safety and environmental programs.
OSG is recognized as one of the world's most customer-focused
marine transportation companies, with offices in New York,
Athens, London, Newcastle and Singapore.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
August 14, 2006, Moody's Investors Service affirmed the debt
ratings of Overseas Shipholding Group, Inc.'s Senior Unsecured
at Ba1.  The outlook has been changed to stable from negative.


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

DAIMLERCHRYSLER AG: Chrysler Group February Sales Down 8%
---------------------------------------------------------
DaimlerChrysler AG's Chrysler Group reported sales for February
2007 of 174,506 units; down 8% compared with February 2006 with
190,367 units.  All sales figures are reported unadjusted.

"In a generally soft market environment in February, the
Chrysler Group had good traffic and solid customer interest
especially for our newly launched, fuel efficient models like
the Dodge Avenger, Dodge Caliber, and Jeep(R) Compass.  Also,
the Jeep Wrangler had its best February ever," Chrysler Group
Vice President for Sales and Field Operations Steven Landry
said.

The Dodge Avenger posted sales of 5,205 units.  The vehicle is
one of the Chrysler Group's five new models that achieve 30
miles per gallon or better in highway driving.

Jeep Wrangler and Wrangler Unlimited continued to post strong
sales in February with 9,240 units, a rise of 63% over February
2006 sales of 5,673 units.  February 2007 marks the best month
of February in the history of the Jeep Wrangler.

Sales of the Jeep Compass increased 3% over the previous month
with 4,071 units compared with 3,965 units in January 2007.

The Dodge Caliber finished February with sales of 9,900 units,
an increase of 14% compared with last month with 8,672 units.

Dodge Ram pickup sales continued to increase after an already
strong January and posted sales of 28,633 units, up by 17% over
the previous month with 24,379 units.

"Building on the sales momentum of the Dodge Ram in the first
two months of 2007, March will be the Chrysler Group's 'National
Truck Month.'

"Our marketing approach will primarily focus on our biggest
volume model, the Dodge Ram, and tie it with the value of one of
our most successful product features, the legendary HEMI(R)
engine," Chrysler Group Vice President for Sales and Dealer
Operations Michael Manley said.

"Customers have the opportunity to get a no-extra-charge HEMI
engine upgrade for the Dodge Ram 1500 as well as the Dodge
Durango.  We are confident that 'National Truck Month' will
resonate well with our customers."

Chrysler Group finished the month with 492,230 units of
inventory, or a 68-day supply.  Inventory is down by 8% compared
with February 2006 when it was at 532,534 units.

                       About DaimlerChrysler

Based in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- develops, manufactures,  
distributes, and sells 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 company's worldwide locations are located in: Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam and Australia.

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.

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.

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.


PICNIC CORP: SET Posts "Halt" Sign Until Public Fin'l Disclosure
----------------------------------------------------------------
Picnic Corporation Pcl had already submitted its audited
financial statements for the period ending December 31, 2006, to
the Stock Exchange of Thailand, but the company did not disclose
its report to the public via the SET's Electronic Listed
Companies Information Disclosure system.

As a result, the SET has posted the "H" -- Halt -- sign on
Picnic Corp's securities effective on the first trading session
of Feb. 28, 2007, until the company's financial report has been
disseminated to the public.

                  About Picnic Corporation PCL

Headquartered in Bangkok, Thailand, Picnic Corporation Public
Company Limited -- http://www.picniccorp.com/-- is engaged in  
liquefied petroleum gas trading business under "Picnic Gas"
trademark transferred from Union Gas and Chemicals Company Ltd.

Picnic's financial troubles began in 2005 when its two major
shareholders and former executives, Supaporn and Theeratchanon
Lapvisuthisin, were charged with accounting fraud and dishonest
management.  Troubles add up as the company took over B Grimm
Engineering Plc, a company that had languished in the Stock
Exchange of Thailand's rehabilitation sector since the
financial crisis.

                      Going Concern Doubt

After auditing the company's financial statement for the third
quarter ended September 30, 2006, Somchai Kurujitkosol of S.K.
Accountant Services Co Ltd, raised substantial doubt on Picnic
Corp's ability to continue as a going concern.

Mr. Somchai specifically pointed at the company's strained
liquidity status, where current liability exceeds current assets
by THB1.6 million.

Mr. Somchai added that Picnic Corp's ability to continue its
operations is dependent on its ability to negotiate its debt
restructuring and share capital increment.  The auditor also
added that the ability of the company to collect debt is
significant in the company's capability to continue operations.


SIAM CITY: Appoints New Director and Executive Director
-------------------------------------------------------
In a regulatory filing with the Stock Exchange of Thailand on
Mar. 1, 2007, Siam City Bank PCL disclosed that it has appointed
Chaiwat Utaiwan as its new Director & Executive Director.

The notice states that Mr. Chaiwat's appointment is effective on
April 2.

                     About Siam City Bank PCL

Siam City Bank Public Company Limited -- http://www.scib.co.th/  
-- principal activity is the provision of commercial banking
services, which includes deposits, payments, credit cards,
consumer loans and e banking.  Other activities include real
estate development, computer consultancy and provision of
capital market services.

Operations are carried out primarily in Thailand.

On October 19, 2006, Fitch assigned these ratings to Siam City
Bank:

    * Long-term foreign currency Issuer Default rating of 'BB';
    * Short-term foreign currency rating of 'B';
    * National long-term rating of 'A-(tha)'; and
    * National Short-term rating of 'F1(tha)'.

The Outlook on the ratings is Stable.  Fitch has also upgraded
the bank's Individual rating to 'D' from 'D/E' and affirmed its
Support rating at '4'.

The bank also currently carries Moody's Bank financial strength
rating of D.


TRUE CORP: Posts THB4.18-Billion Net Loss in FY 2006
----------------------------------------------------
True Corp. reported a worse-than-expected THB4.18-billion
(THB1.36 per share) net loss in 2006 due to rising operating
expenses and higher interest costs, The Bangkok Post reports.

The report says that True Corp. incurred a net loss of
THB2.26 billion in the fourth quarter of 2006, almost the same
as the net loss incurred in the same period in 2005.  

The Post states that the company's revenues last year rose 18%
to THB51.9 billion from the figure recorded in 2005, due to a
consolidation of its cable television business, TrueVisions
(formerly UBC), and stronger contributions from True Move and
broadband Internet.

According to the report, True Corp Chief Executive Officer
Supachai Chearavanont said that the company's total subscribers,
which increased 33% to more than 11 million, will grow
significantly in 2007.     

The Post says that True Corp. aims to win a third of the
4 million new mobile-phone subscribers expected this year, and
the company expects its broadband Internet unit to have about
700,000 new subscribers, along with an additional 600,000 to its
already 1 million pay-television subscribers.  

The company's operating expenses increased nearly 20% to
THB52 billion due to high network expansion costs, while service
costs rose 24% and interest expenses jumped to 32%, The Post
adds.

                     About True Corp. PCL

True Corporation Public Company Ltd, formerly called
TelecomAsia, is headquartered in Bangkok, Thailand, and is an
integrated provider of fixed line, broadband, internet, mobile
services and lately cable TV -- via the UBC acquisition -- in
that country.

The Troubled Company Reporter - Asia Pacific reported on
Nov. 27, 2006, that Moody's Investors Service affirmed True
Corp. PCL's Ba3 corporate family rating and at the same time
changed the rating outlook to negative from stable.  

The TCR-AP reported on Nov. 21, 2006, that Standard & Poor's
Ratings Services lowered its corporate credit rating on True
Corp. Public Co. Ltd. to 'BB-' from 'BB'.  The outlook is
negative.


* Large Companies With Insolvent Balance Sheets
-----------------------------------------------
                                                      Total
                                           Total   Shareholders
                                          Assets      Equity
Company                        Ticker      ($MM)      ($MM)
-------                        ------     ------   ------------

AUSTRALIA

Hutchison Telecommunications
   (Aust) Ltd.                    HTA    1696.65     -786.31
Indophil Resources NL             IRN      37.79      -69.96
Intellect Holdings Limited        IHG      15.01       -0.83
KH Foods Ltd                      KHF      62.30       -1.71
Lafayette Mining Limited          LAF      78.17     -127.82
Life Therapeutics Limited         LFE      59.00       -0.38
Stadium Australia Group           SAX     135.23      -41.84


CHINA AND HONG KONG

Artel Solutions Group
  Holdings Limited                931      29.19      -18.65
Asia Telemedia Limited            376      10.89       -5.50
Chang Ling Group                  561      77.48      -76.83
Chengdu Book Digital Co. Ltd.  600083      21.50       -3.07
China Liaoning International
  Cooperation Holdings Ltd.       638      20.12      -42.96
China Kejian Co. Ltd.              35      54.71     -179.23
Datasys Technology
  Holdings Ltd                   8057      14.1        -2.07
Dynamic Global Holdings Ltd.      231      39.43       -2.21
Everpride Biopharmaceutical
   Company Limited               8019      10.16       -2.16
Fujian Changyuan Investment
   Holdings Limited               592      31.36      -54.04
Guangdong Kelon Electrical
   Holdings Co Ltd                921     685.74      -96.88
Guangdong Meiya Group
   Company Ltd.                   529     107.16      -49.54
Guangxia (Yinchuan) Industry
   Co. Ltd.                       557      62.19     -115.50
Hans Energy Company Limited       554      94.75      -10.76
Hualing Holdings Limited          382     242.26      -28.15
Huda Technology & Education
   Development Co. Ltd.        600892      17.29       -0.19
Hunan Genuine Material
   Co., Ltd.                      156      77.57      -77.92
Hunan GuoGuang Ceramic
   Co., Ltd.                   600286      87.44      -68.55
Hunan Hengyang                 600762      68.45       -7.20
Innovo Leisure Recreation
   Holdings Ltd.                  703      13.37       -3.89
Jiamusi Paper Co. Ltd.            699     109.07      -86.57
Junefield Department
   Store Group Limited            758      16.80       -6.34
Loulan Holdings Limited          8039      13.01       -1.04
New World Mobile Holdings Ltd     862     295.66      -12.53
Orient Power Holdings Ltd.        615     176.86      -64.20
Plus Holdings Ltd.               1013      18.52       -3.34
Shenyang Hejin Holding
   Company Ltd.                   633      83.18      -20.87
Shenzhen Dawncom Business Tech
   and Service Co., Ltd           863      79.84      -37.30
Shenzhen Shenxin Taifeng
   Group Co., Ltd.                 34      95.27      -44.65
Sichuan Changjiang Packaging
   Holding Co. Ltd.            600137      13.11      -72.76
Sichuan Topsoft Investment
   Company Limited                583     113.12     -148.61
Songliao Automobile Co. Ltd.   600715      49.56       -3.76
Taiyuan Tianlong Group Co.
   Ltd                         600234      13.47      -87.63
Winowner Group Co. Ltd.        600681      38.03      -62.88
Xinjiang Hops Co. Ltd          600090      86.63      -11.26
Yueyang Hengli Air-Cooling
   Equipment Inc.                 622      49.89      -17.71
Zarva Technology Co. Ltd.         688     101.76     -102.01
Zhejiang Haina Science & Tech
   Co., Ltd.                      925      21.43      -33.33


INDIA

Andhra Cement Ltd.               ANDC      58.94      -13.48
ATV Projects India Ltd.           ATV      68.25      -30.17
Bagalkot Udyog Ltd.               BUL      20.55       -0.63
Baroda Rayon Corp. Ltd.            BR      41.16      -26.62
Birla VXL Ltd.                   NVXL      98.77      -14.62
Core Healthcare Ltd.             CPAR     214.36     -199.02
Deccan Aviation Pte. Ltd.        DECA      86.94       -2.83
Fairfield Atlas Ltd.              ATG      20.03       -0.15
GKW Ltd.                          GKW      35.75      -13.52
Gujarat Sidhee Cement Ltd.       GSCL      51.12      -13.01
Himachal Futuris                 HMFC     574.62      -38.68
HMT Ltd.                          HMT     238.05     -288.85
IFCI Ltd.                        IFCI    2566.01     -727.71
JCT Electronics Ltd.             JCTE     118.28     -165.74
Jenson and Nicholson
   (India) Ltd.                    JN      15.41      -77.32
Kinetic Engineering Ltd.         KNEL      72.82       -5.40
Kothari Sugars and
   Chemicals Ltd.               NKTSG      43.24      -29.24
Lloyds Steel Industries Ltd.     LYDS     380.94      -69.93
LML Ltd.                          LML      81.21      -11.89
Mafatlal Ind.                     MFI     110.62      -74.82
Malanpur Steel Ltd.               HDC      82.08      -52.01
Modern Threads                    MRT      78.18      -20.71
Mysore Cements Ltd.               MYC      82.02      -14.57
Mysore Kirloskar Ltd.              MK      23.71       -3.04
Phil Corporation Ltd.            NPPI      22.13       -4.96
RPG Cables Ltd.                  NRPG      51.43      -20.19
Saurashtra Cement Ltd.            SRC     112.31        4.57
Shree Digvijay Cement Co. Ltd.   DIGV      29.62      -32.38
Shyam Telecom                    NSHY     147.34      -22.80
Singer India Ltd.                SING      12.32       -6.69
SIV Ind. Ltd.                    NSIV     101.16      -66.27
SpiceJet Ltd.                    SJET     121.34       -2.75


INDONESIA

Ades Waters Indonesia Tbk        ADES      21.35       -8.93
Eratex Djaja Ltd. Tbk            ERTX      30.30       -1.21
Hotel Sahid Jaya                 SHID      71.05       -4.26
Mulialand Tbk                    MLND     141.33      -45.99
Steady Safe                      SAFE      19.65       -2.43
Toba Pulp Lestrari Tbk           INRU     403.58     -198.86
Unitex Tbk                       UNTX      29.08       -5.87
Wicaksana Overseas
   International Tbk             WICO      43.09      -46.36
Sekar Bumi Tbk                   SKBM      23.07      -41.95
Suba Indah Tbk                   SUBA      85.17       -9.18


JAPAN

Mamiya-OP Co., Ltd.              7991     152.37      -67.11
Montecarlo Co. Ltd.              7569      66.29       -3.05
Nihon Seimitsu Sokki Co., Ltd.   7771      23.82       -1.10
Sumiya Co., Ltd.                 9939      89.32      -11.57
Yakinikuya Sakai Co., Ltd.       7622      79.34      -11.20


MALAYSIA

Antah Holdings Bhd                ANT     184.60      -98.30
Ark Resources                     ARK      25.91      -28.35
Cygal Bhd                         CYG      58.47      -69.79
Mentiga Corporation Berhad       MENT      22.13      -18.25
Metroplex Bhd                     MEX     323.51      -49.28
Mycom Bhd                         MYC     222.58     -136.17
Olympia Industries Bhd           OLYM     272.49     -281.44
Pan Malay Industries             PMRI     199.08       -6.30
Park May Bhd                      PMY      11.04      -13.58
PSC Industries Bhd                PSC      62.80     -116.18
Setegap Berhad                    STG      19.92      -26.88
Wembley Industries Holdings Bhd   WMY     111.72     -204.61


PHILIPPINES

APC Group Inc.                    APC      67.04     -163.14
Atlas Consolidated Mining and
   Development Corp.               AT      33.59      -57.17
Cyber Bay Corporation            CYBR      11.54      -58.06
East Asia Power Resources Corp.   PWR      92.55      -64.61
Filsyn Corporation                FYN      19.20       -8.83
Gotesco Land, Inc.                 GO      17.34       -9.59
Prime Orion Philippines Inc.     POPI      98.36      -74.34
Unioil Resources & Holdings
   Company Inc.                   UNI      10.64       -9.86
United Paragon Mining Corp.       UPM      21.19      -21.52
Uniwide Holdings Inc.              UW      61.45      -30.31
Victorias Milling Company Inc.    VMC     127.83      -32.21


SINGAPORE

China Aviation Oil (Singapore)
   Corporation                    CAO     211.96     -390.07
Compact Metal Industries Ltd.     CMI      54.36      -25.64
Falmac Limited                    FAL      10.90       -0.73
Informatics Holdings Ltd         INFO      22.30       -9.14
Liang Huat Aluminium Ltd.         LHA      19.30      -76.43
Lindeteves-Jacoberg Limited        LJ     225.52      -53.23
Pacific Century Regional          PAC    1381.26     -107.11
See Hup Seng Ltd.                 SHS      17.36       -0.09


SOUTH KOREA

BHK Inc                          3990      24.36      -17.38
C & C Enterprise Co. Ltd.       38420      28.05      -14.50
Cenicone Co. Ltd.               56060      36.82       -1.46
Cheil Entech Co. Ltd.           53330      37.25       -0.31
DaeyuVesper Co. Ltd.            41140      19.06       -1.60
Everex Inc.                     47600      23.15       -5.10
EG Greentech Co.                55250     186.00       -1.50
EG Semicon Co. Ltd.             38720     166.70      -12.34
Tong Yang Major                  1520    2332.81      -86.95
TriGem Computer Inc             14900     629.32     -292.96


THAILAND

Bangkok Rubber PCL                BRC      70.19      -56.98
Circuit Electronic
   Industries PCL              CIRKIT      20.37      -64.80
Kuang Pei San Food Products
   Public Co.                  POMPUI      12.51       -9.87
Sahamitr Pressure Container
   Public Co. Ltd.               SMPC      20.77      -28.13
Sri Thai Food & Beverage Public
   Company Ltd                    SRI      18.29      -43.37
Tanayong PCL                    TYONG     178.27     -734.30
Thai-Denmark PCL                DMARK      21.37      -18.88
Thai-Wah PCL                      TWC      91.56      -41.24




                            *********

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 ***