TCRAP_Public/070409.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  

              Monday, April 9, 2007, Vol. 10, No. 69

                            Headlines

A U S T R A L I A

ARROW ELECTRONICS: Completes US$485 Million Agilysys Acquisition
ARROW ELECTRONICS: ECS Unit Brings In New Management Team
ARVINMERITOR INC: Names Ed Frutig as LVS General Manager & VP
CBH RESOURCES: Shareholders' General Meeting Slated for April 27
FIAT GROUP: CEO Sergio Marchionne Warns Cutback on Production

NORTEL NETWORKS: Closes US$1.15 Billion Senior Notes Offering
REALOGY CORP: Faces Suit in Del. Court Over Apollo Merger Plan
REALOGY CORP: Reaches Settlement in N.J. Suit Over Apollo Merger
SCHEFENACKER PLC: Adjourns Creditors' Meeting to May 4
WCM BETEILIGUNGS: Kloeckner-Werke Will Not Pay 2006 Dividends


C H I N A   &   H O N G  K O N G

CHINA SOUTHERN: Plans to Set Up CNY1.2 Bil. Chongqing Airlines
IAC BANK: Net Profit Up 31% in Fiscal Year 2006
SHIMAO PROPERTY: RP Trade Chief Says Better Go to Private Firms


I N D I A

BANK OF BARODA: Hikes Benchmark Prime Lending Rate to 13.25%
BANK OF INDIA: Raises US$85 Million Through Debt Instruments
BPL LTD: Board OKs Transfer of PBC Business to Joint Venture
CANARA BANK: Opens First Branch in Hong Kong
CENTURION BANK: Allots 32,00,000 Shares on Warrants Conversion

CENTURION BANK: Compensation Committee Allots Shares Under ESOP
CITY UNION BANK: Allots 12 Million Shares to Larsen & Toubro


I N D O N E S I A

ALCATEL-LUCENT: Supports Neuf Cegetel's Network Services
ALCATEL-LUCENT: Unit Wins EUR9 Million Globalstar Contract
ANEKA TAMBANG: To Split Stock into Five to Boost Liquidity
GARUDA INDONESIA: Records AUD$18.5-Million Profit in Jan. & Feb.
HILTON HOTELS: 3.375% Senior Notes Still Convertible to Stock

INDOFOOD: Allocates 80% of IDR1.6 Trillion for Expansion
INDOFOOD: To Issue IDR1.5 Trillion Five-Year-Old Bonds in May
KERETA: In Talks w/ PT Tambang to Upgrade Rail Transportation
METSO CORPORATION: Discloses Annual Meeting Results
METSO CORPORATION: Sees Likely Delisting from NY Stock Exchange

PERTAMINA: To Conduct Emergency Response Drills for Locals
TELKOM INDONESIA: Expects 30% Increase in Fourth Qtr. Net Profit
TUPPERWARE BRANDS: Loan Reduction Prompts S&P to Hold BB Rating


J A P A N

FUKUOKA: Holding Company is 4th Largest Regional Financial Group
ITOCHU CORP: To Buy 20% Stake in Tullow Oil's Namibian LNG
JAPAN AIRLINES: Secures JPY59.5 Billion in New Loans
JAPAN AIRLINES: To Install Boeing's Flight Bag on Two New Planes
NIKKO CORDIAL: Harris Joins Orbis in Citigroup Pressure

SANYO ELECTRIC: Unit Completes Solar Plant in Hungary
SHINSEI BANK: Moody's Affirms Its A3/Prime-2/D+ Ratings


K O R E A

HYUNDAI CORP: Plans to Start Luxury Division, Cheap Cars to Stay
HYUNDAI MOTOR: Gets Permit to Build Czech Assembly Plant
* Korea-US FTA Likely Positive for Korea's Ratings, Moody's Says


M A L A Y S I A

MALAYSIA AIRLINES: Maintains Skytrax's "5-Star" Rating
PAXELENT CORP: Unit Eyes 30% Stake in Konsortium for MYR2.5 Mln
PSC INDUSTRIES: Shareholders and Creditors Approve Reform Plan
PROTON HOLDINGS: To Cut Back Sales Network by 20%


N E W  Z E A L A N D

A2 CORPORATION: In Due Diligence on Possible JV with FNP
BLIS TECHNOLOGIES: Inks R&D Pact With Nestle Nutritional


P H I L I P P I N E S

CHIQUITA BRANDS: Unit Signs California Leafy Agreement
LAND O'LAKES: Earns US$44.5 Million in Fourth Quarter 2006


S I N G A P O R E

DATAWORK PTE: Creditors Must Prove Debts by April 10
L&M INTERNATIONAL: Creditors Must Prove Debts by April 27
REFCO: Plan Administrators Want Until May 25 to Object to Claims
SYNIVERSE TECH: Increased Debt Cues Moody's Negative Outlook
SPECTRUM BRANDS: Hires Amy Yoder as Exec. VP for Home & Garden


T H A I L A N D

SIAM CITY: 2006 Net Profit Down 32.04% to THB4.26 Billion
THAI DURABLE: Trims 2006 Net Loss Down to THB255.91 Million
THAI DURABLE: Appoints Narin Nokhuntod as Director
THAI DURABLE: Still Looking For Investors in Property Dev't
TOTAL ACCESS: Moody's Affirms Ba1 Rating with Stable Outlook

     - - - - - - - -

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

ARROW ELECTRONICS: Completes US$485 Million Agilysys Acquisition
----------------------------------------------------------------
Arrow Electronics Inc. has completed its acquisition of
substantially all of the assets and operations of the Agilysys
KeyLink Systems Group for US$485 million in cash, subject to
final adjustments based upon a closing audit.

Arrow has also entered into a long-term procurement agreement
with the Agilysys Enterprise Solutions Group, Agilysys' value-
added reseller business.

"We are now the leading value-added distributor in the fast
growing segments of storage and security and virtualization
software, as well as the leading value-added distributor of
enterprise products for both International Business Machines
Corp. and Hewlett Packard Company," William E. Mitchell,
chairman, president and chief executive officer of Arrow
Electronics, said.  "In the last fifteen months, we have
transformed our industry leading, value-added enterprise
computing business into a much stronger organization with a
broader line card, a more robust customer and supplier base, and
an expanded geographic reach."

"The KeyLink acquisition provides us with significant cross
selling opportunities to further accelerate our growth in the
global enterprise computing solutions market, added Mr.
Mitchell.  "With this transaction, we have added more than 800
value-added resellers to our portfolio and gained over 300
highly experienced sales and marketing professionals to ensure
we continue to drive superior levels of service."

"With increased scale and greater levels of operating
efficiency, we will further strengthen our industry leading
financial performance. This acquisition is expected to be
US$0.15 to US$0.17 accretive in 2007, including an estimated
US$0.04 of intangible amortization, while generating US$30
million in operating cash flow annually," Paul J. Reilly, senior
vice president and chief financial officer of Arrow Electronics,
said.  "Pro forma sales for the 2007 calendar year, including
revenues associated with the above mentioned procurement
agreement, are expected to be in excess of US$1.2 billion.  The
transaction was funded with cash-on-hand plus borrowings under
Arrow's existing committed liquidity facilities."

                     About Arrow Electronics

Headquartered in Melville, New York, Arrow Electronics Inc.
-- http://www.arrow.com/-- provides products, services and  
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.

The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.

                          *     *     *

In a TCR-Europe report on March 30, Moody's affirmed Arrow
Electronics' senior preferred stock at Ba2 and senior
subordinated stock at Ba1.

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


ARROW ELECTRONICS: ECS Unit Brings In New Management Team
---------------------------------------------------------
Arrow Enterprise Computing Solutions, a unit of Arrow
Electronics Inc., appointed a new management team that includes
senior leaders from both Arrow ECS and the legacy KeyLink
Systems Group.

With this announcement, Arrow ECS has established global
business units to oversee its IBM and software business.

"Through this and our other recent acquisitions, Arrow ECS is
the No. 1 value-added distributor of enterprise products for HP
and IBM, the No. 1 distributor of enterprise storage, and the
No. 1 distributor of security and virtualization software,"
Kevin Gilroy, president of Arrow ECS, said.  "One of Arrow ECS'
main attractions to KSG was the people who made that business so
successful.  Our new management team reflects a true integration
of the best of both companies."

"The creation of global business units for our IBM and software
business is not only a reflection of the significant
opportunities that exist for Arrow ECS in these areas but also
ensures that Arrow ECS is prepared to meet our partners' future
needs as end-user demand for global service and solutions
increases," Mr. Gilroy added.

Due to the large scope of the global IBM business unit, Arrow
ECS will retain the segmentation of the legacy Arrow ECS and KSG
IBM groups.  KSG will be fully integrated into all other
business units across Arrow ECS.

These executives have been appointed to lead Arrow ECS new
global business units, effective immediately:

   -- Eric Williams, vice president of the Arrow ECS' IBM group
      for Arrow ECS' global IBM business unit;

   -- Mark Taylor, vice president of the Arrow KeyLink IBM group
      for Arrow ECS' global IBM business unit;

   -- Lance Sedlak, director of retail services for Arrow ECS'
      global IBM business unit;

   -- Matt Reaves, vice president of North American enterprise
      software for Arrow ECS' global software business unit; and

   -- John Szabo, vice president, Arrow KeyLink group, for Arrow
      ECS' customer programs.

Robert Boulet will continue to serve as vice president of Arrow
ECS' storage group, which has been renamed the Arrow ECS North
American storage business unit; Richard Severa will continue to
serve as vice president of Arrow ECS' MOCA group, which has been
renamed the Arrow ECS North American Sun business unit; and
Andrew Bratton will continue to serve as vice president of Arrow
ECS' government group.

Mr. Williams previously served as vice president of the Arrow
ECS' legacy IBM group and was responsible for planning the
strategic direction and overseeing daily operations for Arrow
ECS' IBM business.  Prior, he served as vice president of sales
and product for Arrow's former Gates/Arrow division and as vice
president of sales for Arrow/Schweber.  He also is the former
vice president of sales for Bell Industries.  Mr. Williams will
co-lead supplier, marketing and joint business strategies for
Arrow ECS' IBM business with Mr. Taylor.

As vice president and general manager of the legacy KSG IBM
business group, Mr. Taylor was responsible for field sales,
profit and loss, and the overall growth and strategy for KSG's
IBM business.  Mr. Taylor joined Agilysys KSG in 1994 and held
several positions during his tenure.

Mr. Sedlak previously established and served as general manager
for Arrow ECS' legacy software group.  Mr. Sedlak joined Arrow
ECS in 2001 after managing the SGI business group for GE Access.
He previously held positions ranging from vice president of
sales to product management roles for Integration Alliance
Corporation.  In his new role, Mr. Sedlak will oversee business
initiatives with the legacy KSG point-of-sale and retail
services business.

Mr. Reaves is the former vice president for the legacy KSG
software business unit, where he was responsible for all
software sales, marketing and operations for all non-application
specific products.  Mr. Reaves joined Agilysys in 1990 and held
several other positions with the company.  Prior, he held
positions at PTXI and Medical Information Systems, a value-added
reseller.  Mr. Reaves also previously owned his own VAR
business.

Mr. Szabo previously served as vice president of sales
operations for KSG.  He was with Agilysys for 14 years and has
extensive asset management experience.  He held various
management positions within the company including resource
center director and branch operations manager.  In his current
role, Mr. Szabo will manage inside sales for legacy KSG
partners.

                     About Arrow Electronics

Headquartered in Melville, New York, Arrow Electronics Inc.
-- http://www.arrow.com/-- provides products, services and  
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.

The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.

                          *     *     *

In a TCR-Europe report on March 30, Moody's affirmed Arrow
Electronics' senior preferred stock at Ba2 and senior
subordinated stock at Ba1.

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


ARVINMERITOR INC: Names Ed Frutig as LVS General Manager & VP
-------------------------------------------------------------
ArvinMeritor Inc. appointed Ed Frutig as vice president and
general manager of Light Vehicle Systems Chassis Systems.

He will be responsible for leading the business unit's
accelerated plan for profitable growth through customer-focused
initiatives; including, global expansion, and commercialization
of advanced-engineering products.

"Ed's prior experience in developing and leading successful
global automotive system businesses, including ten years
specifically dedicated to chassis systems, makes him a great
addition to the ArvinMeritor team," said Phil Martens, president
of LVS.  "Ed will be extremely valuable in supporting the
company's global efforts to develop, produce and deliver vehicle
stability and ride control solutions that are scalable in
performance yet modular in design and assembly."

The Chassis Systems business unit includes:

   -- the newly combined ride control group offering light-,
      medium- and heavy-duty original equipment and replacement
      shock absorbers and struts;

   -- the light vehicle suspension modules group offering
      original equipment cross-car and wheel-end chassis
      modules; and

   -- the Meritor Suspension Systems Company (MSSC) joint
      venture offering coil springs, and stabilizer and torsion
      bars for the North American passenger car market.

In July 2006, ArvinMeritor announced it would sell its joint
venture shares to partner Mitsubishi Steel Mfg. Co., Ltd. (MSM).

On March 29, 2007, MSM announced that both companies support the
long-term viability of the partnership, and would continue in
the joint venture as currently structured.

Mr. Frutig most recently served as vice president of Global
Sales and Engineering at Cooper-Standard Automotive.  There he
led Engineering, Sales, Program Management and Finance for the
company's Fluid Systems Business.  

Mr. Frutig has more than 20 years of automotive experience,
including holding various leadership positions at ZF, Visteon,
Ford Motor Company and General Motors.  Ten of those years have
been specifically focused in the chassis systems arena where
he's been recognized by both industry and customers for his
leadership and innovation skills.  Frutig holds a masters of
business administration degree from the University of Detroit
and a bachelors of science in mechanical engineering from the
University of Michigan.

                    About ArvinMeritor Inc.

Headquartered in Troy, Michigan, ArvinMeritor, Inc. (NYSE: ARM)
-- http://www.arvinmeritor.com/-- is a premier US$8.8
billion global supplier of a broad range of integrated systems,
modules and components to the motor vehicle industry.  The
company serves light vehicle, commercial truck, trailer and
specialty original equipment manufacturers and certain
aftermarkets.  ArvinMeritor employs approximately 29,000 people
at more than 120 manufacturing facilities in 25 countries.  
These countries are: China, India, Japan, Singapore, Thailand,
Australia, Venezuela, Brazil, Argentina, Belgium, Czech
Republic, France, Germany, Hungary, Italy, Netherlands, Spain,
Sweden, Switzerland, United Kingdom, among others.  ArvinMeritor
common stock is traded on the New York Stock Exchange under the
ticker symbol ARM.

                           *     *     *

As reported in the Troubled Company Reporter on Feb. 12,
Dominion Bond Rating Service assigned a rating of BB (low) to
the US$175 million Convertible Senior Unsecured Notes of
ArvinMeritor Inc.  The trend is Stable.

In a TCR-Europe on Feb. 6, Moody's Investors Service has
downgraded ArvinMeritor's Corporate Family Rating to Ba3 from
Ba2.  Ratings on the company's secured bank obligations and
unsecured notes were lowered one notch as a result.

Other ratings lowered were ArvinMeritor Inc.'s Senior Secured
bank debt to Ba1, LGD-2, 20% from Baa3, LGD-2, 18%; Senior
Unsecured notes to B1, LGD-4, 65% from Ba3, LGD-4, 64%;
Probability of Default to Ba3 from Ba2; and Shelf unsecured
notes to (P)B1, LGD-4, 65% from (P)Ba3, LGD-4, 64%.

Moody's also affirmed the company's Speculative Grade Liquidity
rating at SGL-2.


CBH RESOURCES: Shareholders' General Meeting Slated for April 27
----------------------------------------------------------------
A General Meeting of the shareholders of CBH Resources Ltd. will
be held at 9:30 a.m. on April 27, 3007, at:

         Level 3
         2 Elizabeth Plaza
         North Sydney
         New South Wales
         Australia

The meeting's agendum was to consider and approve, for the
purposes of ASX Listing Rule 7.1, the issue of 200,000
convertible notes each at a price of AU$1,000 to the allottees
identified in the Notice of this Meeting.

On March 23, the Company announced an issue of US$200 million of
convertible notes due 2012, conditional on shareholder approval,
which is being sought at this Meeting.

The ASX Listing Rules limit the issue of securities by a company
to 15% of the company's issued capital in the 12 months prior to
the issue date, subject to certain adjustments.  The proposed
issue of the Bonds is treated, for these purposes, as the issue
of 298,507,463 CBH shares.

                       About CBH Resources

CBH Resources Limited -- http://www.consbh.com.au/-- is a   
Sydney-based mineral resources company engaged in the production
of zinc, lead and silver from the Endeavor Mine at Cobar.
Development studies are underway for the zinc, lead and silver
resources at Broken Hill, and copper and zinc resources a
Sulphur Springs in western Australia.

The Troubled Company Reporter - Asia Pacific's Distressed Bonds
Column on April 3, 2007, listed CBH Resources's bond with a
9.500% coupon and a Dec. 16, 2009, maturity date as trading
at 0.45% of its face value.


FIAT GROUP: CEO Sergio Marchionne Warns Cutback on Production
-------------------------------------------------------------
Fiat Group Automobiles S.p.A. CEO Sergio Marchionne cautioned a
possible reduction on auto production in Europe resulting from
the European Commission's plan to cap carbon-dioxide emission
from cars, Budapest Business Journal reports.

According to BBJ, the 27-nation European Union's regulatory arm
commission is processing a legislation that would reduce carbon-
dioxide discharges from cars in Europe to an average of 120
grams a kilometer in 2012.  The commission also wants engine
emissions to be reduced to 130 grams and an extra 10-gram cut to
come from improvements in car parts and fuels.  

"The timelines that have been imposed and the size of the
reduction are not technologically feasible," Mr. Marchionne, who
is also president of the European Automobile Manufacturers
Association, was quoted by BBJ as saying.  "It is not doable at
Fiat, it is not doable as a whole for the European car industry.
We'll have to curtail production," he added.

The proposal will need the support of EU governments and the
European Parliament.  The process of approval could last until
2009 or longer.

"The industry does need lead time," Mr. Marchionne said.  "This
is not a grocery store.  Cars being sold in 2012 are being
worked on now," he added.

Ratings agency Standard & Poor's stated that European carmakers'
profits may be seriously undermined by the cost of the planned
EU legislation.  A limit on engine carbon-dioxide emissions of
130 grams a kilometer in 2012 may cost EUR600 to EUR3,000 per
vehicle compared with average profit margin of less than EUR500
per unit, BBJ relates.

According to Mr. Marchionne, the commission plan would be the
most expensive way of cutting carbon-dioxide emissions from cars
because it directs the burden mainly on the auto industry.

                        About Fiat S.p.A.

Headquartered in Turin, Italy, Fiat Group Automobiles S.p.A.
(fka Fiat S.p.A.) -- http://www.fiatgroup.com/-- manufactures   
and sells automobiles, commercial vehicles, and agricultural and
construction equipment.  It also manufactures, for use by the
company's automotive sectors and for sale to third parties,
other automotive-related products and systems, principally power
trains (engines and transmissions), components, metallurgical
products and production systems.  Fiat's creditors include Banca
Intesa, Banca Monte dei Paschi di Siena, Banca Nazionale del
Lavoro, Capitalia, Sanpaolo IMI, and UniCredito Italiano.

Fiat operates in Argentina, Australia, Austria, Belgium, Brazil,
Bulgaria, China, Czech Republic, Denmark, France, Germany,
Greece, Hungary, India, Ireland, Italy, Japan, Lituania,
Netherlands, Poland, Portugal, Romania, Russia, Singapore,
Spain, among others.

                        *     *     *

Standard & Poor's Ratings Services raised its long-term
corporate credit rating on Italian industrial group Fiat S.p.A.
to 'BB' from 'BB-'.  At the same time, Standard & Poor's
affirmed its 'B' short-term rating on Fiat.  S&P said the
outlook is stable.

Fitch Ratings changed Fiat S.p.A.'s Outlook to Positive from
Stable.  Its Issuer Default rating and senior unsecured rating
are affirmed at BB-.  The Short-term rating is affirmed at B.
Around EUR6 billion of debt is affected by this rating action.

The Troubled Company Reporter - Asia Pacific reported that
Moody's Investors Service changed the outlook on Fiat SpA's Ba3
Corporate Family Rating to positive from stable and affirmed the
long-term senior unsecured ratings as well as the short-term
non-Prime rating.


NORTEL NETWORKS: Closes US$1.15 Billion Senior Notes Offering
-------------------------------------------------------------
Nortel Networks Corp. closed the offering of US$1.15 billion
aggregate principal amount of senior unsecured convertible notes
to qualified institutional buyers pursuant to Rule 144A under
the U.S. Securities Act of 1933, as amended, and in Canada to
qualified institutional buyers that are also accredited
investors pursuant to applicable Canadian private placement
exemptions.

As previously disclosed, the Notes issued by the Company consist
of US$575 million principal amount of Senior Convertible Notes
due 2012 and US$575 million of Senior Convertible Notes due
2014, which principal amounts include Notes issued pursuant to
the exercise in full of the over-allotment options granted to
the initial purchasers.  The 2012 Notes pay interest semi-
annually at a rate per annum of 1.75% and the 2014 Notes pay
interest semi-annually at a rate per annum of 2.125%.  The Notes
are fully and unconditionally guaranteed by the Company's
principal direct operating subsidiary, Nortel Networks Limited,
and initially guaranteed by the Company's indirect subsidiary,
Nortel Networks Inc.  The Notes are senior unsecured obligations
and will rank pari passu with all other senior obligations of
the Company.

The 2012 Notes and 2014 Notes are each convertible into common
shares of the Company at any time based on an initial conversion
rate of 31.25 common shares per US$1,000 principal amount of
Notes, in each case subject to adjustment in certain events.

The Company expects that the net proceeds from the sale of the
Notes will be approximately US$1.125 billion and plans to use
these net proceeds to redeem on or about Sept. 1, 2007 at par a
corresponding amount of its US$1.8 billion outstanding principal
amount of 4.25% Convertible Notes due 2008.  Pending this
redemption, the Company plans to invest the net proceeds in
money market instruments.

The Notes and related guarantees and any common shares issuable
upon conversion of the Notes have not been registered under the
Securities Act or the securities laws of any other jurisdiction
and may not be offered or sold unless so registered except
pursuant to an exemption from, or in a transaction not subject
to, the registration requirements of the Securities Act and
applicable securities laws in other jurisdictions.

                      About Nortel Networks

Headquartered in Ontario, Canada, Nortel Networks Corporation
(NYSE/TSX: NT) -- http://www.nortel.com/-- delivers technology  
solutions encompassing end-to-end broadband, Voice over IP,
multimedia services and applications, and wireless broadband
designed to help people solve the world's greatest challenges.
Nortel Networks Limited is the principal direct operating
subsidiary of Nortel Networks Corporation.

Nortel does business in more than 150 countries including the
United Kingdom, Denmark, Russia, Norway, Australia, Brazil,
China, Singapore, among others.

                         *     *     *

As reported in the TCR-Europe on March 23, Moody's Investors
Service affirmed Nortel Networks' existing ratings, including
its B3 corporate family rating, and assigned a B3 rating to the
proposed US$1 billion convertible senior unsecured notes
offering.  Proceeds of the offering will be used to refinance a
portion of the US$1.8 billion in 4.25% convertible notes due in
2008 when they become payable at par.  Moody's said the outlook
remains stable.

Standard & Poor's Ratings Services also assigned its 'B-' debt
rating to Canada-based Nortel Networks Corp.'s proposed US$1
billion senior unsecured convertible notes, which will consist
of two tranches of US$500 million, maturing in 2012 and 2014,
respectively.

Proceeds from the convertible notes will be used to partially
refinance NNC's US$1.8 billion senior unsecured convertible
notes due Sept. 1, 2008, and therefore the overall debt level is
not expected to change.

Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on 100%-owned Canada-based
subsidiary, Nortel Networks Ltd.  At the same time, the ratings
on the US$200 million notes of NNL and the US$150 million notes
of Nortel Networks Capital Corp. were lowered to 'CCC' from
'B-'.  NNC, NNL, and the U.S.-based subsidiary, Nortel Networks
Inc., are collectively referred to as Nortel.

S&P said the outlook on NNL is stable.

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

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


REALOGY CORP: Faces Suit in Del. Court Over Apollo Merger Plan
--------------------------------------------------------------
Realogy Corp. based in Parsippany, New Jersey, is facing a
consolidated suit filed in the Court of Chancery of the State of
Delaware in relation to a December 2006 Agreement and Plan of
Merger with affiliates of Apollo Management VI, L.P.

On Dec. 18, 2006, plaintiffs filed three putative class actions
in the Court of Chancery of the State of Delaware concerning the
proposed acquisition of Realogy pursuant to the merger
agreement.  The suits are:

      -- "Berkovich v. Silverman, Smith (Richard), Edelman,
         Fisher, Mills, Nederlander, Pittman, Smith (Robert),
         Figliulo, Apollo Management, L.P., and Realogy
         Corp., C.A. No. 2618-N  (Del. Ch.);"

      -- "Call4u, Ltd., v. Realogy Corp., Silverman, Smith
         (Richard), Edelman, Fisher, Mills, Nederlander,
         Pittman, Smith (Robert), and Apollo Management, L.P.,
         C.A. No. 2619-N  (Del. Ch.);" and

      -- "Neuman v. Realogy Corp., Silverman, Smith (Richard),
         Edelman, Pittman, Smith (Robert), Nederlander, Mills,
         Fisher, Domus Holdings Corp., Domus Acquisition Corp.
         and Apollo Management, L.P., C.A. No. 2621-N  (Del.
         Ch.).

On Jan. 8, 2007, the court ordered the consolidation of the
Delaware actions.  The court's order provides:

     * that the caption of the consolidated action shall be "In
       Re: Realogy Corp. Shareholder Litigation, Civil Action
       No. 2621-N;"

     * that the complaint filed in the Neuman action (C.A. No.
       2621-N) shall be the operative complaint in the
       consolidated action; and

     * that the order is without prejudice to the right of any
       defendant to contest personal jurisdiction or the venue
       of the action or to move for dismissal, stay, or for any
       other disposition of the action on any ground.

In summary, the Delaware complaint alleges, among other things:

     -- that the company and certain officers and directors
        breached their fiduciary duties in connection with the
        sale of the company to Apollo Management VI, L.P.;

     -- that the purchase price of $30.00 per share is at least
        $5.00 less than the fair price for the stock;

     -- that the company is under Mr. Henry Silverman's
        domination and control such that a special committee of
        the board of directors cannot act in an independent and
        disinterested manner;

     -- that the defendant directors approved the proposed sale
        without obtaining, soliciting or attempting to solicit
        other higher bids for the company;

     -- that the defendant directors failed to properly inform
        themselves of the company's highest transactional value;

     -- that Apollo Management, L.P. has access to material
        information relating to the true value of the company's
        assets and value;

     -- that the proposed sale is an attempt by defendants to
        aggrandize their personal and financial positions and
        interests at the expense of the public stockholders; and

     -- that the proposed sale will deny the public stockholders
        their right to share appropriately in the true value of
        the company.

Plaintiffs also allege that Apollo Management, L.P. knowingly
aided and abetted the alleged breaches of fiduciary duty.
Plaintiffs seek, among other things, preliminary and permanent
injunctive relief against the proposed sale; a declaration that
the proposed sale is unfair, unjust and inequitable;
compensatory damages; and attorneys' and experts' fees and
expenses.

                          About Realogy

Headquartered in Parsippany, N.J., Realogy Corporation (NYSE:
H)-- http://www.realogy.com/-- is real estate franchisor and a  
member of the S&P 500.  The company has a diversified business
model that also includes real estate brokerage, relocation, and
title services.  Realogy's world-renowned brands and business
units include CENTURY 21(R), Coldwell Banker(R), Coldwell Banker
Commercial(R), ERA(R), Sotheby's International Realty(R), NRT
Incorporated, Cartus, and Title Resource Group.  Realogy has
more than 15,000 employees worldwide.  The company operates in
Australia, Brazil and France.

                        *      *      *

As published in the Troubled Company Reporter April 3, Moody's
Investors Service downgraded the US$1.2 billion of existing
unsecured senior fixed and floating rate notes of Realogy
Corporation to Ba3 from Baa2.  

At the same time, Standard & Poor's Ratings Services assigned
its 'B-' rating to Parsippany, New Jersey-based Realogy Corp.'s
proposed US$1.5 billion senior notes due 2014, US$750 million
senior pay-in-kind toggle notes due 2014, and US$900 million
senior subordinated notes due 2015.  

S&P also affirmed its loan and recovery ratings on Realogy's
senior secured credit facilities, following the increase in the
term commitment under the loan by US$500 million.  The secured
loan rating is 'BB' with a recovery rating of '1', indicating
the expectation for full recovery of principal in the event of a
payment default.


REALOGY CORP: Reaches Settlement in N.J. Suit Over Apollo Merger
----------------------------------------------------------------
Realogy Corp. has entered into a Memorandum of Understanding in
a consolidated shareholder litigation pending in the Chancery
Division of the Superior Court of New Jersey over the company's
December 2006 Agreement and Plan of Merger with affiliates of
Apollo Management VI, L.P.

From Dec. 18 through Dec. 22, 2006, plaintiffs filed four
putative class actions in the Superior Court of the State of New
Jersey concerning the proposed acquisition of Realogy pursuant
to the merger agreement.

The suits are:

     -- "Adams v. Silverman, Smith (Richard), Edelman, Pittman,
        Smith (Robert), Nederlander, Mills, Fisher, Apollo
        Management, L.P., and Realogy Inc., D. No. C-180-06  
        (N.J. Super. Ct. Ch. Div.);

     -- "NECA-IBEW Pension Fund (The Decatur Plan) and Thomas F.
        Coyne v. Realogy Corp., Silverman, Smith (Richard),
        Edelman, Fisher, Mills, Nederlander, Pittman, and Smith
        (Robert), D. No. MRS-L-3450-06 (N.J. Super. Ct.);

     -- "Roffe v. Realogy Corp., Silverman, Smith (Richard),
        Edelman, Fisher, Mills, Nederlander, Pittman, and Smith
        (Robert), D. No. MRS-L-3456-06 (N.J. Super. Ct.);" and

     -- "Norfolk County Retirement System v. Realogy Corp.,
        Silverman, Smith (Richard), Edelman, Pittman, Smith
        (Robert), Nederlander, Mills, and Fisher, D. No. C-181-
        06 (N.J. Super. Ct. Ch. Div.)."

The Norfolk complaint was subsequently amended to add Apollo
Management VI, L.P. as a defendant.  On Jan. 10, 2007, the
parties entered into a stipulation and requested that the Court
consolidate the four New Jersey actions in the Chancery Division
of the Superior Court, with the proposed caption of the\
consolidated action to be:

     "In Re Realogy Corp. Shareholder Litigation, D. No. C-181-
     06," and with the amended Norfolk complaint filed in D. No.
     C-181-06 to be the operative complaint in the consolidated
     action.

The stipulation and proposed order are without prejudice to the
right of any defendant to contest personal jurisdiction or the
venue of the action or to move for dismissal, stay, or for any
other disposition of the action on any ground.  The court
granted the motion to consolidate on Feb. 2, 2007.

In summary, the complaint filed in D. No. C-181-06 alleges,
among other things:

     -- that the company and certain officers and directors
        breached their fiduciary duties in connection with the
        sale of the company to Apollo Management VI, L.P.;

     -- that the price offered by Apollo Management VI, L.P. is
        grossly inadequate;

     -- that the proposed sale does not have adequate procedural
        protections;

     -- that defendants are engaged in self-dealing, allowing
        Apollo Management VI, L.P. to acquire the company for as
        little value as possible;

     -- that Mr. Henry Silverman will receive windfall profits
        as a result of the transaction and "Change of Control"
        provisions in his employment contract;

     -- that the merger agreement contains financial penalties
        up to US$215 million if the proposed sale is not
        consummated, including a US$30 million fee to Apollo
        Management VI, L.P. if the company's stockholders do not
        approve the merger;

     -- that the timing of the transaction makes it particularly
        unfair to the public stockholders;

     -- that the public stockholders will not receive their fair
        portion of the value of the company's assets and
        business;

     -- that defendants have access to company information that
        is unavailable to the public stockholders; and

     -- that the defendant directors are controlled by Mr. Henry
        Silverman and as such cannot fairly discharge their
        duties.

Additionally, after the company filed its preliminary proxy
statement on Jan. 18, 2007, plaintiffs amended the operative
complaint to add a claim of "breach of fiduciary duty - candor."

Plaintiffs seek, among other things, preliminary and permanent
injunctive relief against the proposed sale, rescission of the
sale (if necessary), an order requiring that defendants utilize
Realogy's shareholder rights plan in a "suitor-neutral" fashion,
a declaration that the termination provisions in the merger
agreement are null and void in the event a superior offer is
made, rescissory and/or compensatory damages and attorneys' and
experts' fees and expenses.

The company believes that the allegations in the complaint are
wholly without merit and intends to vigorously defend against
the action.

The parties to the New Jersey Action have been engaged in
negotiations concerning a potential settlement of that
litigation.  On Feb. 22, 2007, they entered into a memorandum of
understanding, which contains the terms of an agreement in
principle concerning a proposed settlement of the New Jersey
Action.

The memorandum of understanding provides, among other things,
that defendants deny all allegations of wrongdoing, fault,
liability or damage to plaintiffs and the putative class, but
wish to settle the litigation on the terms and conditions stated
in the memorandum of understanding in order to, among other
things, eliminate the burden and expense of further litigation.

Pursuant to the memorandum of understanding, the Apollo
defendants have irrevocably waived any right to a termination
fee to the extent that it exceeds US$180,000,000.  

Further, defendants have agreed that they will not assert that
any shareholder's demand for appraisal is untimely under Section
262 of the Delaware General Corporation Law (DGCL), where such
shareholder has submitted a written demand for appraisal within
30 calendar days of the shareholder vote on the merger (with any
such deadline being extended to the following business day
should the 30th day fall on a holiday or weekend).

Also, defendants have further agreed not to assert that any
actions taken by such stockholders are untimely with respect to
the first three sentences of Section 262(e) of the DGCL, if such
actions are taken within 30 days of the deadlines (i.e., 120
days (first sentence), 60 days (second sentence), and 120 days
(third sentence)) set forth therein.

The company cannot provide any assurance that a court will
recognize appraisal rights when the statutory time periods have
not been complied with (notwithstanding the fact that defendants
have agreed not to assert certain timeliness defenses discussed
above).

Additionally, pursuant to the memorandum of understanding, the
company has agreed to include certain additional disclosures in
this proxy statement.  The parties have agreed that they will
use their best efforts to agree upon, and execute within 30 day
sof the memorandum of understanding's execution, a formal
Stipulation of Settlement that, with the court's approval, will
dismiss with prejudice the New Jersey Action and release, among
other things, plaintiffs' and the putative class' claims against
the defendants and others.

Satisfaction of the terms in the memorandum of understanding
will also entitle plaintiffs to a payment of attorneys' fees.  
The memorandum of understanding states that the settlement of
the New Jersey Action is conditioned upon dismissal, with
prejudice, of the Delaware action, "In Re: Realogy Corp.
Shareholder Litigation, Civil Action No. 2621-N"

                          About Realogy

Headquartered in Parsippany, N.J., Realogy Corporation (NYSE:
H)-- http://www.realogy.com/-- is real estate franchisor and a  
member of the S&P 500.  The company has a diversified business
model that also includes real estate brokerage, relocation, and
title services.  Realogy's world-renowned brands and business
units include CENTURY 21(R), Coldwell Banker(R), Coldwell Banker
Commercial(R), ERA(R), Sotheby's International Realty(R), NRT
Incorporated, Cartus, and Title Resource Group.  Realogy has
more than 15,000 employees worldwide.  The company operates in
Australia, Brazil and France.

                        *      *      *

As published in the Troubled Company Reporter April 3, Moody's
Investors Service downgraded the US$1.2 billion of existing
unsecured senior fixed and floating rate notes of Realogy
Corporation to Ba3 from Baa2.  

At the same time, Standard & Poor's Ratings Services assigned
its 'B-' rating to Parsippany, New Jersey-based Realogy Corp.'s
proposed US$1.5 billion senior notes due 2014, US$750 million
senior pay-in-kind toggle notes due 2014, and US$900 million
senior subordinated notes due 2015.  

S&P also affirmed its loan and recovery ratings on Realogy's
senior secured credit facilities, following the increase in the
term commitment under the loan by US$500 million.  The secured
loan rating is 'BB' with a recovery rating of '1', indicating
the expectation for full recovery of principal in the event of a
payment default.


SCHEFENACKER PLC: Adjourns Creditors' Meeting to May 4
------------------------------------------------------
Schefenacker Plc has adjourned a creditors' meeting scheduled
for March 30 in London.  The company has made an application to
court to hold the meeting on or before May 4.

As a reaction to concerns raised by some bondholders on the
financial restructuring proposal presented by the company on
March 9, a revised package has been negotiated among relevant
stakeholders.

The package in essence foresees that, in addition to the 5%
equity stake in the recapitalized company provided for
bondholders in exchange for their claims in the original
proposal, the revised package will comprise a EUR7.5 million
cash payment and warrants, giving 10% of the equity, which can
be exercisable if the equity value of the company reaches
certain thresholds, taking the total stake of the bondholders to
15% of the company.

Major institutional and private bondholders have confirmed their
support for the revised proposal.  Matthew Prest of Close
Brothers, speaking on behalf of the informal committee of
Bondholders, said his clients have agreed to the modified
proposal and that this was now a significantly better
alternative for bondholders than the insolvency of the company.

"All parties see value in maintaining the Group and avoiding the
liquidation of its assets," Stephen Taylor, acting CEO of
Schefenacker, said.  "In particular the revised offer represents
substantial value for bondholders compared to their likely
return on a liquidation, which would be no payments at all."

The operational improvements achieved by the new management are
producing first results.  Schefenacker is showing a strong
month-on-month performance in all segments and is performing
ahead of budget.  "This performance and the tight cash
management that goes with it convinced our creditors and gave us
the flexibility to re-open the negotiations for a solution that
can save the company," Mr. Taylor added.

The company now intends to produce and distribute as quickly as
possible a supplemental proposal document containing full
details of the modified proposal.  This document will also be
made available under http://www.schefenacker.com/or under  
http://www.bondcom.com/schefenacker/

                      About Schefenacker

Headquartered in Hampshire, United Kingdom, Schefenacker Plc
(fka Schefenacker AG) -- http://www.schefenacker.com/--  
develops, produces and supplies rear vision systems, lighting
systems and sound systems to the world's automotive
manufacturers.  The company employs 7,900 people and operates 27
sites in Australia, China, France, Hungary, India, Japan, Korea,
Mexico, Romania, Slovenia, Spain, the United Kingdom, and the
U.S.A.

                          *     *     *

As reported in the TCR-Europe on Feb. 15, Moody's Investors
Service downgraded the Corporate Family Rating of Schefenacker
AG to Ca from Caa2, the rating on the company's senior
subordinated notes to C from Ca and the rating for the senior
secured facility from Caa1 to Caa2.  Moody's said the outlook
has been changed to stable.  

In December 2006, Standard & Poor's Ratings Services lowered its
long-term corporate credit rating on German automotive parts
supplier Schefenacker AG to 'SD' (selective default) from 'CCC'.

At the same time, the rating was removed from CreditWatch, where
it had been placed with negative implications on Sept. 12, 2006,
following the company's announcement that it had appointed
financial-restructuring experts.

S&P said the 'C' long-term debt rating on the Schefenacker's
EUR200-million subordinated notes maturing in 2014 remains on
CreditWatch with negative implications.


WCM BETEILIGUNGS: Kloeckner-Werke Will Not Pay 2006 Dividends
-------------------------------------------------------------
The Supervisory Board of Kloeckner-Werke AG disclosed that the
EUR363.9-million non-recurring effects of the insolvency of WCM
Beteiligungs- und Grundbesitz-AG resulted in a balance sheet
loss, which was offset by withdrawals from the capital and
earnings reserves.

As a result, in spite of the positive increase in operating
earnings, there are no retained earnings for a dividend payment
for the financial year 2006.

Kloeckner-Werke reported EBIT of -EUR342.5 million for financial
year 2006 after non-recurring effects.  Sales totaled EUR872.5
million.

At Dec. 31, 2006, Kloeckner-Werke's balance sheet showed
EUR771.8 million in total assets, EUR488.4 million in total
liabilities and EUR283.5 million in stockholders' equity.

WCM applied for insolvency on Nov. 8, 2006, as a result of the
extraordinary termination of the loan agreement by HSH Nordbank
AG.  The District Court of Frankfurt (Main) opened bankruptcy
proceedings against the company on Nov. 21, 2006.

The Court will verify the claims against WCM at 9:00 a.m. on
April 23, at:

          The District Court of Frankfurt (Main)
          Hall 1
          Building F
          Klingerstrasse 20
          60313 Frankfurt (Main)
          Germany

The administrator can be reached at:

          Michael C. Frege
          Barckhausstrasse 12-16
          60325 Frankfurt (Main)
          Germany
          Tel: 069/71701-300
          Fax: 069/71701-40-410

                      About Klockner-Werke

Klockner-Werke AG is a group holding whose subsidiaries operate
successfully on the world market.  The focus of business
operations is at KHS AG, Dortmund, and thus on the development
and production of filling and packaging systems.  In addition to
German and international production facilities, KHS is
represented on all continents with more than 60 service and
sales outlets. Production takes place in Germany, the USA,
Brazil, Mexico, India and China. For many years, the company has
established itself as a world leader in providing filling and
packaging systems for the beverages industry, and well as the
food and non-food sector.

Other companies in the Klockner Group produce machines and
systems for processing plastic, manufacturing shoes, the
confectionary industry and various robot technologies.

                         About WCM AG

Headquartered in Frankfurt, Germany, WCM Beteiligungs- und
Grundbesitz-AG -- http://www.wcm.de/-- holds equity interests  
in other real estate investment, management, and development
companies, as well as in the nursing homes and a packaging
maker.  The group owns 80% of Klockner-Werke AG, which also
operates in Austria, Czech Republic, Denmark, France, the United
Kingdom, Italy, Netherlands, Spain, Switzerland, Australia,
Brazil, India, Japan, Mexico, Russian Federation, Singapore, and
the U.S.A.

WCM has been posting consecutive annual net losses since 2002:
EUR849 million in 2002; EUR315 million in 2003; EUR163 million
in 2004; and EUR44 million in 2005.


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

CHINA SOUTHERN: Plans to Set Up CNY1.2 Bil. Chongqing Airlines
--------------------------------------------------------------
China Southern Airlines Co. plans to set up a new carrier,
Chongqing Airlines, with a local partner for a total investment
of CNY1.2 billion yuan, Reuters reports, citing a statement from
the General Administration of Civil Aviation of China.

According to the report, China Southern will take 60% of the
joint venture for CNY720 million while a local government
investment arm will pay the remaining CNY480 million.

The China's aviation regulator added that Chongqing Air will
operate a fleet of three A320 single-aisle planes provided by
China Southern flying domestic routes only, Reuters relates.

                          *     *     *

Headquartered in Guangzhou, China, China Southern Airlines Co
Ltd. -- http://www.cs-air.com/-- engages in the operation of  
airlines, as well as in aircraft maintenance and air catering
operations in the People's Republic of China and
internationally.  It provides commercial airlines, cargo
services, logistics operations, air catering, utility service,
hotel operation, travel services, aircraft leasing, and Internet
services.

On May 1, 2006, Fitch Ratings downgraded China Southern Airlines
Company Limited's Foreign Currency and Local Currency Issuer
Default Ratings to B+ from BB-.

The Troubled Company Reporter - Asia Pacific reported in April
2006 that the carrier posted a net loss of CNY1.85 billion for
2005 versus a net loss of CNY48 million in 2004.


IAC BANK: Net Profit Up 31% in Fiscal Year 2006
-----------------------------------------------
Industrial and Commercial Bank of China reported a 31% rise in
2006 net profit on increased contributions from its retail
banking and lending operations, Forbes reports.

Citing the bank's statement, the report says that it recorded a
net profit of CNY49.26 billion for 2006 against CNY37.56 billion
a year earlier.  Net interest income rose to CNY163.12 billion
from CNY153.60 billion while net interest margin stood at 2.39%.

Market expectations, however, were not meet as it speculated a
profit of around CNY52 billion, Forbes says.

"Loans increased by CNY341.6 billion representing a growth of
10.4% mainly due to the rapid increase in loans to fast-growing
industries such as transportation, energy, infrastructure, and
loans to small enterprises and individuals with high returns,"
Forbes quoted the bank statement.

Loans and advances to clients reached CNY3.5 trillion last year,
while customer deposits were at CNY6.35 trillion, the report
notes, adding that operating profit came in at CNY72.05 billon
against CNY63.02 billion in 2005.

"The contribution of retail banking to total profits of the bank
increased continuously," ICBC said, adding that retail banking
remains on of its strategic business.

Income from personal banking business reached CNY62.26 billion
last year, accounting for 34.3% of the total income from all
businesses.  Fee-based businesses and other bank products
including credit cards significantly increased the net fee
commission income of the bank, which increased by 55% to
CNY16.34 billion, accounting for 9% of the bank's operating
income, ICBC's statement said.

The Industrial and Commercial Bank set aside CNY32.19 billion
towards asset impairment losses, which is 19% higher compared
that in 2005, Forbes notes.

Non-performing loans ratio stood at 3.79%, while the total loan
reserve ratio was at 2.68% and the capital adequacy ratio was at
14.05%.

                          *     *     *

The Industrial and Commercial Bank of China --
http://www.icbc.com.cn-- is the largest state-owned commercial  
bank, and is authorized by the State Council and the People's
Bank of China.  ICBC conducts operations across China as well as
in major international financial centers.

On Sept. 18, the Troubled Company Reporter - Asia Pacific
reported that Fitch Ratings affirmed ICBC' Individual D/E
rating.

On Dec. 6, 2006, Moody's Investors Service upgraded to D- from
E+ the Bank Financial Strength Rating for Industrial and
Commercial Bank of China.  The D- BFSR has a stable outlook.  
The upgrade concludes a review of ICBC's BFSR started on Aug. 9,
2006.


SHIMAO PROPERTY: RP Trade Chief Says Better Go to Private Firms
---------------------------------------------------------------
Philippines Trade Secretary Peter Favila proposed to Shimao
Property Holdings Ltd. to tap private landowners in the
Bonifacio Global City for its planned US$2-billion investment to
do away with the tedious process of teaming up with a government
agency, Manila Standard Today reports.

In a meeting with the officials of the Chinese firm, Sec. Avila
told them to look into a partnership with private entities such
as George Ty's Metropolitan Bank and Trust Co. or the Ayala-led
Fort Bonifacio Development Corp, the report says.

The paper recounts that Shimao has signed last month an
agreement with state-owned Bases Conversion Development
Authority to conduct detailed studies for future projects.

According to Secretary Favila, Shimao apparently wanted to start
immediately on the project and have the deal finalized in time
for President Gloria Macapagal Arroyo's state visit to China
later this month.

However, securing a long-term lease agreement with BCDA would
involve a long process with the private proponent having to go
through competitive bidding, the secretary told the paper.

"If they partner with government, they would have to go through
a long process and they would have to bid along with other
proponents to develop a property owned by BCDA.  If they have a
joint venture with the private sector, which owns the parcel of
land, they could immediately proceed on developing the project."

The company is reportedly in talks with Lucio Tan's group for a
possible joint venture in developing the BCDA property,
including the 35.5-hectare JUSMAG property within Bonifacio
Global City, the report adds.

Shimao has also indicated it could sign a long-term lease
agreement with BCDA to develop a property up for lease or joint
venture, Elaine Ruzul Ramos, writing for the Manila Standard,
notes.

                          *     *     *

Shimao Property Holdings Limited --
http://www.shimaogroup.com/english/main.asp-- is a large-scale  
developer of real estate projects in China, specializing in
high-end developments in prime locations.  The company's
business portfolio comprises the development of residential
properties, retail properties, offices and hotels.  The company
has 15 projects at various stages of development located in
Shanghai, Beijing, Harbin, Wuhan, Nanjing, Fuzhou, Kunshan,
Changshu, Shaoxing and Wuhu.

The Troubled Company Reporter - Asia Pacific reported that
Standard & Poor's Ratings Services on November 8, 2006, assigned
its BB+ long-term corporate credit rating to China-based Shimao
Property Holdings Ltd.  The outlook is stable.


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

BANK OF BARODA: Hikes Benchmark Prime Lending Rate to 13.25%
------------------------------------------------------------
Bank of Baroda has decided to increase its Benchmark Prime
Lending Rate by 75 basis points from existing 12.50% p.a to
13.25% p.a with immediate effect, the bank informs the Bombay
Stock Exchange in a filing dated April 5, 2007.

Just recently, the bank decided to reduce interest rates on
dollar and rupee-denominated Non-Resident Indian deposits.  
According The Hindu, Interest rates on Foreign Currency Non-
Resident (banking) deposits in US dollar having maturity periods
between one year to less than two years, two years to less than
three years and three years to less than four years tenors have
been revised to 4.97%, 4.77% and 4.71%, respectively from 4.99
per cent, 4.8% and 4.73% earlier.

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

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


BANK OF INDIA: Raises US$85 Million Through Debt Instruments
------------------------------------------------------------
Bank of India has raised US$85 million by way of Innovative
Perceptual Debt Instruments, a filing with the Bombay Stock
Exchange reveals.

The debt instrument, which is callable after 10 years, will be
used to augment the bank's tier-I capital.

The instrument is listed at Singapore Stock Exchange.

The board of directors of the bank, at its meeting held on
January 22, had approved an increase in Tier I capital by
issuing the IPDI - Series I of INR800 crore in domestic currency
or partly in foreign currency of up to US$85 million, domain-
b.com relates.  The board also approved the issue of upper Tier
II capital bonds to the tune of INR1,200 crore on a private
placement basis at an appropriate time, domain-b.com adds.

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

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

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 1, 2007, Standard & Poor's Ratings maintained Bank of
India's Bank Fundamental Strength Rating at 'C'.


BPL LTD: Board OKs Transfer of PBC Business to Joint Venture
------------------------------------------------------------
BPL Ltd's board of directors has approved transfer of the
company's printed circuit board business and lease certain
specified plant and machinery and immovable assets for a period
of 60 months, to a proposed joint venture company, the company
discloses in a filing with the Bombay Stock Exchange.

In that regard, the board also agreed to invest in the equity
share capital of the proposed venture.

Furthermore, the board approved the issuance of upto 15,00,000
equity shares on preferential issue basis to Electro Investment
Pvt Ltd.

The transfer s still subject to the approval of the members,
lenders and regulatory authorities as may be necessary.

According to the BSE filing, the approval of the shareholders
would be sought through postal ballot.  The board has appointed
P. Sivarajan, Chartered Accountant, as the scrutinizer for the
postal ballot.

Headquartered in Bangalore, India, BPL Limited manufactures and
distributes consumer electronic products such as televisions,
video tape recorder, audio systems, emergency lanterns,
electrocardiographs and monitors.  The Group also manufactures
home appliances like washing machines, refrigerators, vacuum
cleaners, microwave ovens, gas tables, soft energy and consumer
telecom products.  Its plants are located at Kerala, Karnataka
and Uttar Pradesh.  The Group operates only in India.

In 2005, the Company obtained approval from the Kerala High
Court for its financial restructuring scheme and the launch of
the 50:50 joint venture with Sanyo for the CTV business.  The
restructuring has allowed BPL to focus and strategize on its
core businesses like mobile phones, entertainment electronics,
medical electronics, engineering plastics and tooling for
automotive and consumer electronics industry.  As a part of the
restructuring exercise, BPL had recently sold off its dry cell
business -- which operated through its subsidiary BPL Soft
Energy Systems -- in a INR67 crore deal including liabilities to
the Khaitans of Eveready Industries.

                          *     *     *

On Jan. 5, 2006, CRISIL Ratings reaffirmed the 'D' and 'FD'
ratings on BPL Limited's non-convertible and fixed deposit
programmes.  The ratings indicate that the company continues to
be in default on its rated debt.

These ratings are reaffirmed:

   * INR600 Million Non-Convertible Debenture at D
   * INR210 Million Non-Convertible Debenture at D
   * INRFixed Deposit Programme at FD


CANARA BANK: Opens First Branch in Hong Kong
--------------------------------------------
Canara Bank has opened its first branch in Hong Kong, with an
aim to tap the growing financial, economic and trade ties
between India and the Greater China region, Zee News reports.

The move is an expansion for the bank since it has already set
up a wholly owned subsidiary, deposit-taking company, Indo Hong
Kong International Finance Ltd., in the city state in 1985.

The branch allowed the company greater freedom to explore
opportunities arising from the growing trade between India and
China by way of increased trade finance, syndicated loans and
treasury operations," Zee News cites the bank's Chairman and
Managing Director M.B.N. Rao as saying.

As part of the bank's plan to expand in the Greater China, it
has set up a representative office in Shanghai, reports say. The
bank is also applying for a branch license to operate more
widely in the Chinese mainland.

Headquartered in Bangalore, India, Canara Bank --
http://www.canbankindia.com/-- provides services to a diverse  
clientele group with a range of subsidiaries and sponsored
institutions.  The bank services include networked automated
teller machines, anywhere banking, telebanking, remote access
terminals Internet, and mobile banking and debit card.

Fitch Ratings gave Canara Bank an individual rating of 'C/D' on
Nov. 9, 2006.


CENTURION BANK: Allots 32,00,000 Shares on Warrants Conversion
--------------------------------------------------------------
The securities transfer, allotment and grievance redressal
committee of Centurion Bank of Punjab Ltd's board of directors
has allotted 32,00,000 equity shares of face value of INR1 each
for cash at a premium of INR3 per share aggregating to
INR1,28,00,000 on conversion of warrants.

According to the bank, the warrants were issued in terms of the
Scheme of Arrangement amongst Bank Muscat S.A.O.G, the Bank
(formerly Known as Centurion Bank Ltd) and Centurion Bank's
shareholders pursuant to Sections 391 to 394 of the Companies
Act, 1956.  The scheme was duly approved by the shareholders,
the High Courts of Mumbai (Goa Bench) and Karnataka as well as
by the Reserve Bank of India, the bank adds.

Headquartered in Goa, India, Centurion Bank of Punjab Limited --
http://www.centurionbop.co.in/-- is a private-sector bank.  The  
bank provides a range of transaction banking products under cash
management services to various customer segments, such as
corporates, small and medium enterprises, utility providers and
domestic correspondent banks.  The bank has entered into an
enterprise partnership with Indecomm Global Services to form
Centillion Solutions and Services.  Centillion will focus on
operations and services for banking and related financial
services.  The Retail Asset servicing operations of the Bank are
being transitioned to Centillion.  The bank has entered into an
arrangement with IL&FS Investsmart Limited for offering equity
broking services to its customers.  The wholesale banking
business is divided into Corporate, SME and Financial
Institutions Group.  NRI business has been a focus of the bank.
In Trade Finance business, the bank provides services, such as
export trade, import trade, remittance, domestic trade and
structured trade.

On Jan. 31, 2007, Fitch Ratings assigned the bank an individual
rating of  'D'.


CENTURION BANK: Compensation Committee Allots Shares Under ESOP
---------------------------------------------------------------
The compensation committee of Centurion Bank of Punjab Ltd's
board of directors has allotted 44,78,080 equity shares of face
value of INR1 each aggregating to INR7,88,68,682.50 pursuant to
exercise of stock options granted under the Employee Stock
Option Plan.  The committee made the move at its meeting on
March 30, 2007.

Further, the committee also allotted 44,00,000 equity shares of
face value of INR1 each at an exercise price of INR4 per share
aggregating to INR1,76,00,000 pursuant to exercise of stock
options granted under the Key Employees Stock Options Plan.

On Feb. 17, the committee also allotted 15,36,649 equity shares
with face value of INR1 each pursuant to the exercise of stock
options granted under ESOP.

Headquartered in Goa, India, Centurion Bank of Punjab Limited --
http://www.centurionbop.co.in/-- is a private-sector bank.  The  
bank provides a range of transaction banking products under cash
management services to various customer segments, such as
corporates, small and medium enterprises, utility providers and
domestic correspondent banks.  The bank has entered into an
enterprise partnership with Indecomm Global Services to form
Centillion Solutions and Services.  Centillion will focus on
operations and services for banking and related financial
services.  The Retail Asset servicing operations of the Bank are
being transitioned to Centillion.  The bank has entered into an
arrangement with IL&FS Investsmart Limited for offering equity
broking services to its customers.  The wholesale banking
business is divided into Corporate, SME and Financial
Institutions Group.  NRI business has been a focus of the bank.
In Trade Finance business, the bank provides services, such as
export trade, import trade, remittance, domestic trade and
structured trade.

On Jan. 31, 2007, Fitch Ratings assigned the bank an individual
rating of  'D'.


CITY UNION BANK: Allots 12 Million Shares to Larsen & Toubro
------------------------------------------------------------
City Union Bank Ltd has allotted 12,000,000 equity shares of
INR10 each to Larsen & Toubro Ltd, a filing with the Bombay
Stock Exchange states.

The bank issued the shares at a price of INR169 each (including
a share premium of INR159 per share) on preferential basis.

In a separate BSE filing, City Union disclosed that it has
opened branches at Krishnagiri and Paramakudi (Tamil Nadu) on
March 28, 2007.

Headquartered in Goa, India, Centurion Bank of Punjab Limited --
http://www.centurionbop.co.in/-- is a private-sector bank.  The  
bank provides a range of transaction banking products under cash
management services to various customer segments, such as
corporates, small and medium enterprises, utility providers and
domestic correspondent banks.  The bank has entered into an
enterprise partnership with Indecomm Global Services to form
Centillion Solutions and Services.  Centillion will focus on
operations and services for banking and related financial
services.  The Retail Asset servicing operations of the Bank are
being transitioned to Centillion.  The bank has entered into an
arrangement with IL&FS Investsmart Limited for offering equity
broking services to its customers.  The wholesale banking
business is divided into Corporate, SME and Financial
Institutions Group.  NRI business has been a focus of the bank.
In Trade Finance business, the bank provides services, such as
export trade, import trade, remittance, domestic trade and
structured trade.

On Jan. 31, 2007, Fitch Ratings assigned the bank an individual
rating of  'D'.


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

ALCATEL-LUCENT: Supports Neuf Cegetel's Network Services
--------------------------------------------------------
Alcatel-Lucent revealed that Neuf Cegetel, France's leading
alternative service provider, has deployed its open services
platform for the delivery of Intelligent Network services.
Alcatel-Lucent is also providing integration services to support
the project.

The Alcatel-Lucent open services platform, integrated with Neuf
Cegetel's service platform, enables the operator to offer
innovative services, to generate additional revenue. Neuf
Cegetel customers have been enjoying free of charge waiting time
on the operator's hotline since February 2007.

As a result of the deployment, Neuf Cegetel will also be able to
transfer its existing traditional services to a single open
services platform provided by Alcatel-Lucent, allowing seamless
evolution to the new NGN/IMS multimedia services.

With the introduction of the Alcatel-Lucent open services
platform, Neuf Cegetel can also offer local number portability,
optimize call routing as well as handle high levels of traffic.

"By integrating the new IN service platform, we can offer our
customers new services while making substantial savings", said
Pierre-Alain Allemand, general manager for the network division
of Neuf Cegetel.  "It is also essential to deploy a solution
that is compatible with VoIP technology."

"The Alcatel-Lucent solution allows Neuf Cegetel to benefit
directly from innovative services and to migrate to NGN/IMS
services," added said Olivier Picard, President of Alcatel-
Lucent's Europe and South activities.  "In addition, with the
support of Alcatel-Lucent Neuf Cegetel can now better serve the
needs of enterprises, creating new revenue streams."

                       About Neuf Cegetel

Neuf Cegetel is the leading alternative operator in France.  The
company operates its own national network infrastructure,
comprising nearly 45,000 kilometres of optical fibres, and has
invested heavily in the rollout of its DSL access network.  It
now has a presence in over 1,200 subscriber connection units.
This means that Neuf Cegetel is in a position to produce its own
broadband services, control their costs and quality and sell
them directly to 70% of the target population.  Neuf Cegetel has
a presence in all market segments, providing a wide range of
innovative services to residential customers and to enterprises
(139,000 corporate sites connected), while 200
telecommunications and internet service providers benefit from
its wholesale services.  Neuf Cegetel, whose two key
shareholders are Louis Dreyfus and SFR, reported revenues of
2,897 million euros in 2006. external link
http://www.groupeneufcegetel.fr

                     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 Ratings
Services' BB rating.  Its Short-Term Corporate Credit rating
stands at B.

Moody's Investor Services, 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 Ratings rates Alcatel's Issuer Default Rating and Senior
Unsecured Debt rating at BB.


ALCATEL-LUCENT: Unit Wins EUR9 Million Globalstar Contract
----------------------------------------------------------
Alcatel Alenia Space has been awarded a EUR9 million contract by
Globalstar, Inc, a leading provider of mobile satellite voice
and data services, to upgrade their Control Network facility.
The upgraded control facility will enable Globalstar to monitor
and control its second-generation satellite constellation and
provide support for satellite operations through 2025.

Alcatel Alenia Space will provide Globalstar with the control
network upgrades required to support the second-generation
satellite constellation over its 15-year design life.  The
contract covers several parts of the Globalstar Control Network
facility: Satellite and Operation Control Center in Milpitas,
California and the backup satellite ground control facility in
El Dorado Hills, California, upgrades to the Telemetry and
Command Units and In Orbit Test Equipment located in several
Globalstar ground stations worldwide.

This latest contract is in addition to the initial 661 million
euro contract awarded by Globalstar in December 2006 to design,
manufacture and deliver 48 low Earth orbit satellites, coupled
with launch and mission support services.  Starting in 2009,
these second-generation Globalstar satellites will be launched
in clusters of six to eight at a time.

"This latest contract fully reflects Globalstar's confidence in
our company and in the ability of our ground segment solutions
to meet the specific requirements of a LEO satellite
constellation," said Dimitri Savescu, senior vice president for
ground business activities at Alcatel Alenia Space.  "Going
forward, it also provides clear proof of our end-to-end
capabilities in this market."

A preliminary version of the upgraded control network facility
is to be installed by end-2008 for use with first-generation
satellites.  Final delivery is expected by mid-2009 to prepare
for the second generation of satellites, slated for launch from
year-end 2009.

                    About Alcatel Alenia Space

Alcatel Alenia Space is the European leader in satellite systems
and at the forefront of orbital infrastructures.  Created in
July 2005, the company brings together the vast experience and
know-how of Alcatel Space and Alenia Spazio to form a new
leading force in European space technology.  Alcatel Alenia
Space sets the global standard for space developments that
impact everybody's future: from navigation to
telecommunications, from meteorology to environmental
monitoring, from defense to science and observation.

About Alcatel Alenia Space's Ground Segment business
With a dedicated staff of 600 persons at eight facilities in
Europe, the Ground Segment business is an important part of
Alcatel Alenia Space.  It offers a complete range of products
already in use by many satellite operators and governments
worldwide: satellite broadband access network, satellite control
centers, ground stations, antennas, baseband equipment and RF
components, communications system monitoring, ground navigation
receivers, earth observation acquisition systems, etc..For
further information, visit our web site:
http://www.alcatel.com/space/ground/

                      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 Ratings
Services' BB rating.  Its Short-Term Corporate Credit rating
stands at B.

Moody's Investor Services, 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 Ratings rates Alcatel's Issuer Default Rating and Senior
Unsecured Debt rating at BB.


ANEKA TAMBANG: To Split Stock into Five to Boost Liquidity
----------------------------------------------------------
PT Aneka Tambang Tbk plans to undergo a five-for-one stock split
in an effort to boost liquidity, Bloomberg News reports.

According to the report, the company will have a meeting with
investors on May 30 to seek approval from shareholders regarding
this proposal.

                       About Aneka Tambang

PT Aneka Tambang Tbk -- http://www.antam.com/-- mines,  
processes, develops, and explores natural deposits.  The company
operates six mines.  They are located in Riau (bauxite),
Sulawesi and Maluku (nickel), Central Java (iron sand), and
WestJava (gold).  The company also operates a precious metal
refinery and a geology unit in Jakarta.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on Dec. 4,
2006, that Standard & Poor's Ratings Services raised its long-
term corporate credit rating on Indonesian state-owned mining
company PT Antam Tbk. to 'B+' from 'B'.  The outlook is stable.
At the same time, Standard & Poor's also raised to 'B+', from
'B', the rating on the senior unsecured notes issued by Antam
Finance Ltd. and guaranteed by Antam.

Moody's Investors Service gave Aneka Tambang a local currency B1
corporate family rating, and a B2 foreign currency bond rating.


GARUDA INDONESIA: Records AUD$18.5-Million Profit in Jan. & Feb.
----------------------------------------------------------------
PT Garuda Indonesia recorded a profit of approximately
AUD$18.5 million over the 'low season' months of January and
February 2007.

This has been a happy result for the airline after it had
suffered losses over the same period for the last three years.
2007 saw a growth in revenue for the airline, seeing Garuda's
load factor rise by 9% in comparison to the same period the year
before as well as an increased yield by 8 per cent.

"Achieving a positive operations performance early in the year
marks a promising start in achieving targets set for 2007," said
Garuda Indonesia Regional Manager for the South West Pacific
Suranto Yitnopawiro.

Hopefully this growth will see the revenue increase for the
airline, particularly with the domestic routes where the growth
has been most noticeable.  This improvement has been said to be
a result of enhanced efficiency and network management.  If this
is to continue, Garuda should be looking at a highly successful
2007.

                      About Garuda Indonesia

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

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

The company, until November 2006, suffered an unaudited loss of
IDR390 billion, which was lower than the IDR672 billion,
recorded in the same period the year before.

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

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


HILTON HOTELS: 3.375% Senior Notes Still Convertible to Stock
-------------------------------------------------------------
Hilton Hotels Corp. reported that its 3.375% Convertible Senior
Notes due 2023 will remain convertible into Hilton Hotels common
stock at the option of the holders during the fiscal quarter
ending June 30, 2007.

The 3.375% notes remained convertible because the closing sale
price of Hilton Hotels' common stock for at least 20 consecutive
trading days during the 30 consecutive trading day period ending
on the last trading day of the calendar quarter ended March 31,
2007, was greater than 120% of the conversion price in effect on
such last trading day.  The 3.375% notes are currently
convertible at a conversion price of US$22.50 per share, which
represents a conversion rate of approximately 44.4444 shares of
Hilton Hotels' common stock per US$1,000 principal amount of
notes.

Hilton Hotels will not make any further public announcement on
this subject unless and until the trading price condition for
conversion of the 3.375% notes is no longer satisfied.  Until
such further public announcement is made, the 3.375% notes will
be convertible into Hilton Hotels common stock in accordance
with the terms and subject to the conditions of the notes and
the indenture, under which the notes were issued.

                    About Hilton Hotels Corp.

Headquartered in Beverly Hills, California, Hilton Hotels Corp.
-- http://www.hilton.com/-- together with its subsidiaries,  
owns, manages, and develops hotel resorts, and timeshare
properties.  It is also engaged in the franchising of lodging
properties in the United States and internationally, including
Indonesia, Australia, Austria, India, Philippines and Vietnam.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
March 9, 2007, Standard & Poor's Ratings Services raised its
ratings on the US$25 million class A and B trust certificates
issued by Public STEERS Series 1998 HLT-1 Trust to 'BB+' from
'BB' and removed them from CreditWatch, where they were placed
with positive implications on Feb. 5,
2007.

The rating action reflects the March 2, 2007, raising of the
rating on the underlying securities, the US$25 million 7.95%
senior notes due April 15, 2007, issued by Hilton Hotels
Corp.(BB+/Stable/NR) and its removal from CreditWatch positive.

Moody's Investors Service upgraded Hilton Hotels' corporate
family rating to Ba1 from Ba2 reflecting a reduction in leverage
from a faster than expected pace of asset sales and strong
earnings during 2006.  Adjusted debt to EBITDAR improved to
around 5.0x from 6.0x in January 2006.  Moody's capitalizes
total rent at 8x and adds a debt equivalent of approximately 20%
of Hilton's guaranty exposure to debt.

The rating outlook is stable.

As reported in the TCR-AP on Feb. 2, 2007, Fitch Ratings
upgraded the debt ratings for Hilton Hotels:

   -- Issuer Default Rating to 'BB+' from 'BB';

   -- Senior credit facility to 'BB+' from 'BB'; and

   -- Senior notes to 'BB+' from 'BB'.

The ratings apply to its US$5.75 billion credit facility and
roughly US$2.6 billion of its senior notes.  Fitch has also
revised Hilton's Rating Outlook to Positive from Stable.


INDOFOOD: Allocates 80% of IDR1.6 Trillion for Expansion
--------------------------------------------------------
PT Indofood Sukses Makmur Tbk has allocated a capital
expenditure of IDR1.6 trillion, in which 80% is for business
expansion and the remainder will be for maintenance, tempo
Interactive reports.

The report notes that the 80% business expansion is breakdown to
30% allocation for plantation expansion, 30% instant noodles,
and 20% for instant products.

According to report, internal funds supports this capital
expenditure and the funds from bonds will be used for repaying
debts in foreign currency and Rupiah.

                      About Indofood Sukses

PT Indofood Sukses Makmur Tbk (Indofood)
-- http://www.indofood.co.id/-- is Indonesia's premier  
processed foods company.  Its products, including instant
noodles, wheat flour, branded edible oils and fats, baby foods,
snack foods, food seasoning, lead domestic market shares.
Indofood is currently the largest instant noodles manufacturer
and the largest flour miller in the world, with installed
capacities of approximately 13 billion packs and 3.6 million
tons per annum, respectively.  Indofood's products are
distributed mainly through its subsidiaries, including
Indomarco, independent distributors, as well as some
cooperatives, which bring the Company's products to more than
150,000 retail outlets in the country.  Total employees as of
December 1999 were 42,172.  A combination of shrinking profits,
escalating costs, losses, competition and a declining rupiah
prompted the Company to cut around 2,000 or 4.4% of its
workforce and slash 40 products from its range in 2005.

In 2005, Indofood's total outstanding debt fell to IDR6.8
trillion from IDR7.9 trillion in 2004.  The United States
dollar-denominated debts also fell to US$190.6 million in the
same period from US$317.4 million in 2004.

Indofood has bought back US$166.3 million (IDR1.55 trillion) of
its US$280 million (IDR2.61 trillion) Eurobonds due in 2007.
The Company also plans to redeem all the outstanding balance of
the Eurobonds this year.

The Troubled Company Reporter - Asia Pacific reported on
July 19, 2006, that Standard & Poor's Ratings Services has
withdrawn its 'B' corporate credit rating on Indofood at the
company's request.


INDOFOOD: To Issue IDR1.5 Trillion Five-Year-Old Bonds in May
-------------------------------------------------------------
PT Indofood Sukses Makmur Tbk will issue IDR1.5 trillion worth
of five-year-old bonds, which received an "idAA+" and stable
outlook from stock rating company PT Pemeringkat Efek Indonesia,
in May, Antara News reports.

According to the report, the proceeds from the bond issue will
be used to repay the company`s borrowings in foreign currencies
and short-term debts in the rupiah.

Mandiri, Danareksa, Trimegah and Danatama Makmur Sekuritas will
act as joint lead underwriters for the bond issue, the report
adds.

                      About Indofood Sukses

PT Indofood Sukses Makmur Tbk (Indofood)
-- http://www.indofood.co.id/-- is Indonesia's premier  
processed foods company.  Its products, including instant
noodles, wheat flour, branded edible oils and fats, baby foods,
snack foods, food seasoning, lead domestic market shares.
Indofood is currently the largest instant noodles manufacturer
and the largest flour miller in the world, with installed
capacities of approximately 13 billion packs and 3.6 million
tons per annum, respectively.  Indofood's products are
distributed mainly through its subsidiaries, including
Indomarco, independent distributors, as well as some
cooperatives, which bring the Company's products to more than
150,000 retail outlets in the country.  Total employees as of
December 1999 were 42,172.  A combination of shrinking profits,
escalating costs, losses, competition and a declining rupiah
prompted the Company to cut around 2,000 or 4.4% of its
workforce and slash 40 products from its range in 2005.

In 2005, Indofood's total outstanding debt fell to IDR6.8
trillion from IDR7.9 trillion in 2004.  The United States
dollar-denominated debts also fell to US$190.6 million in the
same period from US$317.4 million in 2004.

Indofood has bought back US$166.3 million (IDR1.55 trillion) of
its US$280 million (IDR2.61 trillion) Eurobonds due in 2007.
The Company also plans to redeem all the outstanding balance of
the Eurobonds this year.

The Troubled Company Reporter - Asia Pacific reported on
July 19, 2006, that Standard & Poor's Ratings Services has
withdrawn its 'B' corporate credit rating on Indofood at the
company's request.


KERETA: In Talks w/ PT Tambang to Upgrade Rail Transportation
-------------------------------------------------------------
PT Kereta Api is holding talks with PT Tambang Batubara Bukit
Asam to upgrade rail tracks and add locomotives to transport
more of the commodity to ports, which will need three years,
Bloomberg News reports.

According to the report, Kereta Api and Bukit Asam's partnership
aimes to connect the Tanjung Enim mines and a proposed port in
nearby Bangka island.

                        About Kereta Api

Headquartered in Bandung, West Java, Indonesia's state railway
PT Kereta Api -- http://www.kereta-api.com/-- operates a large  
and busy network.  Its 6,000 kilometers of track extend
throughout Java and Sumatra and carry some 200 million
passengers per year.  Since 1999, KAA has operated as a limited
corporation and is currently implementing a strategy for change
designed to make it Indonesia's main choice of transport for all
sectors of Indonesian society.

                          *     *     *

Kereta Api confessed to having stated a IDR5-billion loss in
2005 as profit, although it was unintentional, said KA spokesman
Noor Hamidi.

Earlier Troubled Company Reporter - Asia Pacific reports stated
that the Company booked a 2005 net loss of IDR13 billion.

KA commissioner Hekinus Manao informed the public that several
company liabilities were recorded as assets in its financial
report, which he had refused to sign and thus delayed a
scheduled shareholders' meeting earlier this month.

The TCR-AP also reported that the Indonesian Government plans to
provide IDR100 billion to Kereta Api as bailout funds.


METSO CORPORATION: Discloses Annual Meeting Results
---------------------------------------------------
Metso Corporation, in its Annual General Meeting, approved the
accounts for 2006 as presented by the Board of Directors and
voted to discharge the members of the Board and the President
and Chief Executive Officer of Metso Corporation from liability
for the financial year 2006.

In addition, the Annual General Meeting approved the proposals
of the Board of Directors to amend the Articles of Association
and to authorize Board of Directors to resolve of a repurchase
of the corporation's own shares and of a share issue.

The Annual General Meeting decided to establish a Nomination
Committee of the Annual General Meeting to prepare proposals for
the following Annual General Meeting in respect of the
composition of the Board of Directors along with the director
remuneration.  Nomination Committee consists of the
representatives appointed by the four biggest shareholders along
with the Chairperson of the Board of Directors as an expert
member.

Matti Kavetvuo was re-elected the Chairperson of the Board and
Jaakko Rauramo was re-elected the Vice Chairperson of the Board.  
Eva Liljeblom, Professor at the Swedish School of Economics and
Business Administration, Helsinki, Finland, was elected as new
member of the Board.  Board members re-elected were Svante Adde,
Maija-Liisa Friman, Christer Gardell and Yrjo Neuvo.  The term
of office of Board members lasts until the end of the next
Annual General Meeting.

The Annual General Meeting decided that the annual remunerations
for Board members be EUR80,000 for the Chairman, EUR50,000 for
the Vice Chairperson and the Chairperson of the Audit Committee
and EUR40,000 for the members and that the meeting fee including
committee meetings be EUR500 for meeting.

The auditing company, Authorized Public Accountant
PricewaterhouseCoopers was re-elected to act as an Auditor of
the corporation until the end of the next Annual General
Meeting.

The Annual General Meeting decided that a dividend of EUR1.50
per share be paid for the financial year which ended on
Dec. 31, 2006.  The dividend will be paid to shareholders who
have been entered as shareholders in the Corporation's
shareholder register maintained by the Finnish Central
Securities Depository Ltd. by the dividend record date,
April 10, 2007.  The dividend will be paid on April 17, 2007.

                           About Metso

Headquartered in Helsinki, Finland, Metso Corporation
-- http://www.metso.com/-- serves customers in the pulp and    
paper industry, rock and minerals processing, the energy
industry and selected other industries.

The company also has operations in Indonesia.

                          *     *     *

Standard & Poor's Ratings Services revised its outlook on
Finland-based machinery and engineering group Metso Corp. to
positive from stable, reflecting improvements in the group's
operating performance and capital structure that offer it the
potential to return to a low investment-grade rating.  The 'BB+'
long-term and 'B' short-term corporate credit ratings, as well
as the 'BB' senior unsecured debt rating on the group were
affirmed.


METSO CORPORATION: Sees Likely Delisting from NY Stock Exchange
---------------------------------------------------------------
Metso Corporation's Board of Directors has decided to evaluate
the possible deregistration and delisting of Metso Corporation's
shares from the New York Stock Exchange in view of the revisions
to the U.S. Securities Exchange Act of 1934 published by the
U.S. Securities and Exchange Commission on March 27, 2007, which
will take effect in early June 2007.  Metso Corporation's Board
of Directors will decide on the matter later this year after
having completed the evaluation.

Irrespective of the final decision on the matter, Metso intends
to continue to develop its business operations in the United
States and its strong relationship with American investors.  In
2006, Metso's financial reporting systems were fully compliant
with the Section 404 of the U.S. Sarbanes-Oxley Act, and the
company intends to maintain its high standard of corporate
governance, financial reporting and ongoing disclosure for all
investors.

                          About Metso

Headquartered in Helsinki, Finland, Metso Corporation
-- http://www.metso.com/-- serves customers in the pulp and    
paper industry, rock and minerals processing, the energy
industry and selected other industries.

The company also has operations in Indonesia.

                          *     *     *

Standard & Poor's Ratings Services revised its outlook on
Finland-based machinery and engineering group Metso Corp. to
positive from stable, reflecting improvements in the group's
operating performance and capital structure that offer it the
potential to return to a low investment-grade rating.  The 'BB+'
long-term and 'B' short-term corporate credit ratings, as well
as the 'BB' senior unsecured debt rating on the group were
affirmed.


PERTAMINA: To Conduct Emergency Response Drills for Locals
----------------------------------------------------------
PT Pertamina (Persero)- PetroChina Company Limited Joint
Operating Body will educate local community, before drilling
operations starts at its Sukowati Wells, on an emergency
response plan if possible oil well disaster occurs, Antara News
reports.

According to the report, the drilling will start after the
environment ministry will issue an environmental impact analysis
and the ERP familiarization program is done.  

The production is of the company's Sukowati Well 6,7 and 8 is
expected to start later this year, the report adds.


                        PT Pertamina

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

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

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

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


TELKOM INDONESIA: Expects 30% Increase in Fourth Qtr. Net Profit
----------------------------------------------------------------
PT Telekomunikasi Indonesia Tbk is set to post a 30% increase in
fourth quarter net profit due to strong growth in mobile phone
subscribers but could still face slow growth as new customers
looks for low-cost tariff plans, Reuters News reports, citing
analysts.

According to the report, Telkom is expected to report net profit
rose to IDR3.01 trillion in the three months ended December,
compared to IDR2.32 trillion in the same period a year ago.

Telkom is expected to report net profit rose to IDR3.01 trillion
in the three months ended December, compared to IDR2.32 trillion
in the same period a year ago, according to analysts polled by
Reuters Estimates, 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 revised the outlook on
Telekomunikasi Indonesia's 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 'BB+'
foreign and local currency corporate credit ratings.


TUPPERWARE BRANDS: Loan Reduction Prompts S&P to Hold BB Rating
---------------------------------------------------------------
Standard & Poor's Ratings Services raised its recovery ratings
on the senior secured credit facilities of Tupperware Brands
Corp. to '2' from '3', indicating the expectation for
substantial (80%-100%) recovery of principal in the event of a
payment default.

At the same time, S&P affirmed the corporate credit and loan
ratings at 'BB'.

The rating action reflects improved recovery prospects for the
bank lenders following a permanent reduction in the size of
Tupperware's term loan.  During 2006, Tupperware made $75.8
million in principal prepayments.  As a result of the
prepayments, the term loan outstanding balance is $669.2 million
and the first required quarterly payment is now not due until
Jan. 2, 2008.

The outlook is stable.  Tupperware had about $680 million of
debt outstanding at Dec. 30, 2006.  

Ratings List

Ratings Affirmed
Tupperware Brands Corp.

Corporate Credit Rating          BB/Stable/--
Senior Secured Local Currency    BB

Ratings Raised
                                  To       From

Senior Secured Recovery Rating   2        3

                    About Tupperware Brands

Tupperware Brands Corporation -- http://www.tupperware.com/--  
is a global direct seller of premium, innovative products across
multiple brands and categories through an independent sales
force of approximately 1.9 million.  Tupperware's product brands
and categories include design-centric preparation, storage and
serving solutions for the kitchen and home through the
Tupperware brand and beauty and personal care products through
its Avroy Shlain, BeautiControl, Fuller, NaturCare, Nutrimetics,
Nuvo and Swissgarde brands.

The company has operations in Indonesia, Argentina, Australia,
Bahamas, Brazil, China, France, Germany, Philippines, Spain, and
Sweden, among others.


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

FUKUOKA: Holding Company is 4th Largest Regional Financial Group
----------------------------------------------------------------
The Japan Times reports that Bank of Fukuoka and Kumamoto Family
Bank Ltd. last week formally integrated their management under
Fukuoka Financial Group Inc., creating the fourth-largest
regional financial group in Japan, with assets totaling JPY9.3
trillion.

The two banks are now wholly owned subsidiaries of the holding
company.  The company held a ceremony on April 2 to unveil its
new logo and welcome new employees for the 2007 business year.

                    About The Bank of Fukuoka

Headquartered in Fukuoka-shi, Japan, The Bank of Fukuoka, Ltd.
-- http://www.fukuokabank.co.jp/-- is a regional bank that   
serves its home market of Fukuoka Prefecture and the Kyushu
region in western Japan.  The Bank is principally engaged in the
provision of services that include deposits, loans, as well as
domestic and foreign exchange services.  Additionally, the Bank
is involved in the provision of corporate revival support, debt
management and collection, guarantee and administrative
services.  Through one of its wholly owned subsidiaries, the
Bank also specializes in the management of real estate and the
dispatch of manpower.  As of Mar. 31, 2006, the Bank had six
consolidated subsidiaries and one associated company.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
Oct. 18, 2006, that Fitch Ratings affirmed these ratings of
Bank of Fukuoka:

   -- Long-term foreign and local currency Issuer Default
      ratings at 'BBB+' with Positive Outlook;

   -- Short-term foreign and local Currency IDRs at 'F2';

   -- Individual at 'C'; and

   -- Support '2'.

The TCR-AP reported on Oct. 18, 2006, that Moody's Investors
Service affirmed The Bank of Fukuoka's D+ bank financial
strength rating.


ITOCHU CORP: To Buy 20% Stake in Tullow Oil's Namibian LNG
----------------------------------------------------------
Itochu Corp. will acquire later this month a 20% stake in a
Namibian liquefied natural gas project from Tullow Oil Plc for
about JPY10 billion, XFN-ASIA reports citing the Nikkei.

According to the report, the gas field has confirmed natural gas
reserves of 4 trillion cubic feet.  Tullow currently owns a 90%
operating interest in the site while the National Petroleum
Corp. of Namibia holds the remaining 10%.

The Nikkei, XFN-ASIA says, reports that the project is estimated
to cost US$6 billion or JPY700 billion.

                        About Itochu Corp

Itochu Corporation -- http://www.itochu.co.jp/-- is a Japan-  
based trading company.  It operates in eight business segments.  
The Textile segment offers clothing and interior products, such
as wool, synthetic fabrics, silk and others.  The Machinery
segment is engaged in the automobile, industrial machinery,
plants and related businesses.  The Space, Information and
Multimedia segment is involved in the media network, high
technology and related businesses.  The Metal and Energy segment
is involved in the mining, metal, energy and related businesses.  
The Living Materials and Chemicals segment is involved in the
precision chemistry, rubber, timber, glass, cement and other
related businesses.  The Food segment is involved in the
production, distribution and sale of wheat, rice, corn, frozen
food and others.  The Financial, Real Estate, Insurance and
Logistics segment provides financial consultation, real estate,
transportation and other services.  The Overseas Corporation
segment is involved in various trading activities.

The company has operations in Bulgaria, France, Colombia, and
Argentina, among others.

                        *     *     *

Fitch Ratings gave Itochu Corp's long-term local credit issuer a
BB+ rating on October 2, 2005.  Fitch had earlier given the
company a BB+ rating for its senior unsecured debt and long-term
foreign credit default on March 10, 2004.

Moody's Investors Service gave the company a Ba1 rating on its
issuer rating and local currency long-term debt and an NP on its
short term rating on Feb. 7, 2005.  Moody's had earlier
given the company's senior unsecured debt a Ba1 rating.


JAPAN AIRLINES: Secures JPY59.5 Billion in New Loans
----------------------------------------------------
Japan Airlines Corp. has borrowed JPY59.5 billion or US$505
million from the Development Bank of Japan, Mizuho Corporate
Bank Ltd., Bank of Tokyo-Mitsubishi UFJ Ltd., and Sumitomo
Mitsui Banking Corp. to finance its business plan over the next
three years, The Wall Street Journal reports.

The borrowing agreements were signed in late March.

As reported by the Troubled Company Reporter - Asia Pacific in
February, the JAL Group's medium-term corporate business plan
for the four years FY2007 to March 2011 includes workforce
reduction, retirement of old aircraft, and introduction of
smaller and more economical planes.

                       About Japan Airlines

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

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on Feb. 9,
2007, that Standard & Poor's Ratings Services affirmed its 'B+'
long-term corporate credit and issue ratings on Japan Airlines
Corp. (B+/Negative/--) following the company's announcement of
its new medium-term management plan.  The outlook on the long-
term corporate credit rating is negative.

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

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


JAPAN AIRLINES: To Install Boeing's Flight Bag on Two New Planes
----------------------------------------------------------------
Japan Airlines International will install Boeing's Class 3
Electronic Flight Bag (EFB) on two new 777 airplanes to be
delivered beginning this year: a 777-200 scheduled for delivery
in May and a 777-300ER scheduled to join the fleet later in the
year.

The airline's decision represents its first EFB order.  Japan
Airlines has 38 777s in operation and eight more on order.

The Boeing Class 3 EFB is a pilot-dedicated flight-deck computer
integrated into an airplane's avionics that has become a must-
have device for airlines looking to improve both the safety and
efficiency of their 777 fleets.

"We know our passengers will appreciate our willingness to
invest in technology that helps us improve the safety, value and
service we offer," said Tadao "Tad" Sakai, vice president, Japan
Airlines Flight Operations Engineering Department.  "We're
convinced that with the Boeing Electronic Flight Bag, Japan
Airlines has picked a device that will help give us a powerful
competitive advantage."

Boeing's EFB has recorded more than 1,000 total orders since it
was introduced for sale in 2002.  It has been ordered for Next-
Generation 737s, 747s, 757s, 767s, 777s and 787s (the Class 3
EFB comes as standard equipment on the 787 Dreamliner).

"We are pleased that Japan Airlines has picked Boeing to be a
partner in its drive to continuously improve operations," said
Dan da Silva, vice president of Sales and Marketing for Boeing
Commercial Aviation Services.  "Boeing's Electronic Flight Bag
represents a critical piece of our effort to enable airlines to
gather and use timely information throughout their operation."

Japan Airlines is one of the world's leading airlines in its
embrace of Boeing's digital productivity solutions.  It was an
original development partner for Airplane Health Management,
Boeing's airplane monitoring tool that collects and delivers
real-time maintenance information to airlines so that they can
address potential problems before they force airplanes out of
service.  In 2005, Japan Airlines began monitoring its entire
fleets of 777s and 747-400s with the tool.

In October of 2005, the airline adopted Boeing's Maintenance
Performance Toolbox, an award-winning suite of software tools
that represents the industry's first productivity software
designed to unify an airline's maintenance and engineering
operations from start to finish.

And in 2006, Japan Airlines expanded its use of Boeing's
Integrated Materials Management program, in which Boeing manages
most of the airline's spare parts.

All of these technologies aim to collect and mobilize
information that can help an airline improve its operations.
Central to the effort is the idea that data, information and
knowledge are shared across an entire enterprise so that
airlines operate their fleets at the highest levels of safety,
security and efficiency.

Boeing's Class 3 EFB can serve as a critical communications
gateway between the airplane in the sky and an airline's
operations center and maintenance department on the ground.

RealTimeTraders.com reported that Japan Airlines Corp. has
ordered for five 787-8 airplanes, which use 20% less fuel per
passenger than similarly sized airplanes and has lower emissions
and quieter takeoffs and landings.

                       About Japan Airlines

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

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on Feb. 9,
2007, that Standard & Poor's Ratings Services affirmed its 'B+'
long-term corporate credit and issue ratings on Japan Airlines
Corp. (B+/Negative/--) following the company's announcement of
its new medium-term management plan.  The outlook on the long-
term corporate credit rating is negative.

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

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


NIKKO CORDIAL: Harris Joins Orbis in Citigroup Pressure
-------------------------------------------------------
Harris Associates joined Orbis Investment Management in offering
to sell its shares in Nikko Cordial Corp. at JPY1,900 each,
Reuters reports.

As previously reported, Citigroup offered JPY1,700 per share.  
Nikko Cordial's major shareholders earlier complained that
Citigroup's JPY1,700-per-share offer was too low.  Citigroup
initially offered JPY1,350 per share.

According to Reuters, Harris and Orbis together own a little
over 10% of Nikko; they hope to press Citigroup to sweeten its
offer a second time.

                       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 Mar. 8,
2007, that Fitch Ratings revised the Rating Watch on the foreign
and local currency Issuer Default and Individual ratings of
Nikko Cordial Corporation and Nikko Cordial Securities Inc. to
Evolving from Negative.  These ratings were placed on Watch
Negative on Dec. 21, 2006:

  * NCC: Individual rating C/D and Support rating 5.

  * Nikko Cordial Securities: Individual C and Support rating 4.

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.


SANYO ELECTRIC: Unit Completes Solar Plant in Hungary
-----------------------------------------------------
The Hungarian unit of Sanyo Electric Co. Ltd. has completed the
construction of a new production hall at its solar cell plant in
Hungary, according to the Portfolio online financial journal.
The new hall is expected to triple its annual capacity to
720,000 units in 2008.

The plant at Dorog, outside Budapest, will be Sanyo Electric's
largest facility producing solar cells in the world, United
Press International reports citing Hungarian news sources.  
Sanyo Hungaria opened the solar cell plant in 2004, and produced
solar cells worth US$213 million in 2006.

                      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
global operations in Brazil, Germany, India, Ireland, Spain, the
United States and the United Kingdom, among others.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Mar. 2, 2007, Fitch Ratings 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 reported on May 25, 2006, that Standard & Poor's
Ratings Services affirmed its negative BB long-term corporate
credit and BB+ senior unsecured debt ratings on Sanyo Electric
Co. Limited.  At the same time, the ratings were removed from
CreditWatch where they were first placed with negative
implications on Sept. 28, 2005.


SHINSEI BANK: Moody's Affirms Its A3/Prime-2/D+ Ratings
-------------------------------------------------------
Moody's Investors Service has affirmed its A3/Prime-2/D+ ratings
of Shinsei Bank, Limited.  This rating action is in response to
the bank's announcement that it has made downward revisions to
its FY2006 earnings forecasts.  The rating outlook is stable.

The rating affirmation is based upon Moody's view that Shinsei
will likely be able to retain its good consolidated Tier I
capital base even after the loss recognition for FY2006.

According to Shinsei's announcement, it has incurred a total
goodwill and intangible assets impairment of JPY101 billion, in
connection with its 68.9% owned subsidiary, APLUS Co., Ltd.
(APLUS).  This has led the bank to revise its FY2006 net income
forecast to JPY58 billion net loss from JPY40 billion net income
on a consolidated basis.

APLUS' businesses are under severe pressures due to regulatory
changes in Japan with regard to consumer loan interest rates,
and in January 2007 APLUS and Shinsei announced a drastic
business transformation. Given the strategic importance and
earnings contribution of APLUS for Shinsei, Moody's considers
APLUS' business performance as continuing to be a key factor for
Shinsei's franchise value. A delay in implementing APLUS'
business transformation could constrain Shinsei's ratings going
forward.


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

HYUNDAI CORP: Plans to Start Luxury Division, Cheap Cars to Stay
----------------------------------------------------------------
Hyundai Motor Co. Ltd. will enter the U.S. luxury market with
its Genesis concept vehicle, but will continue to produce
inexpensive cars, various reports say, citing chief operating
officer of Hyundai Motors Americas Steve Wilhite.

The Genesis, according to reports, was designed to compete and
capture sales from some Lexus models as well as DaimlerChrysler
AG's Mercedes-Benz E-Class.  Some Genesis models may cost about
US$35,000, LA Times notes, citing a report from Bloomberg News.

"We are looking to change our image in the U.S. market, but are
not looking to abandon any of the segments that we compete in
today," Mr. Wilhite said.

Reuters relates that as part of the changing of image, Hyundai
will reduce the number of its dealers, from about 750 at
present.  The company also expects to choose a new advertising
agency by the end of next week.

Mr. Wilhite added that the company may eventually set up a
separate luxury division.

"We're already considering this.  You can't be a global player
and not be impressed with what Toyota has achieved with Lexus,
or what Nissan as achieved with Infiniti.  We're constantly
evaluating the opportunities and the appropriateness for our
company, but no decision has been made."

Hyundai also plans to sell at least 500,000 vehicles in the
United States this year.  It sold about 455,000 vehicles in the
United States in each of the last two years, Reuters relates.

Headquartered in Seoul, South Korea, Hyundai Motor Company --
http://www.hyundai-motor.com/-- has been selling cars in the  
United States since 1986, but it only started selling its heavy
trucks stateside in 1998.  Hyundai produces 14 models of cars
and minivans, as well as trucks, buses, and other commercial
vehicles.  The Company reestablished itself as Korea's leading
carmaker in 1998 by acquiring a 51% stake in Kia Motors -- since
reduced to about 45%.  The Company also manufactures machine
tools for factory automation and material- handling equipment.

                        *     *     *

The Troubled Company Reporter - Asia Pacific reported that the
Hyundai Automotive Group is facing its deepest crisis since
chairman Chung Mong-koo took over in 1999, with problems like
the falling United States dollar, high oil prices and union
demands aggravated by a sweeping criminal investigation
regarding the carmaker's alleged creation of slush funds that
were used by at least two lobbyists to bribe government
officials for business favors, including having KRW55 billion of
Hyundai's bad debts written off.

Chairman Chung has been indicted early in May 2006 for fraud
charges.

Some of the group's official business has been on hold since the
probe on the slush fund started and several top executives were
summoned for questioning.


HYUNDAI MOTOR: Gets Permit to Build Czech Assembly Plant
--------------------------------------------------------
Hyundai Motor Company's plan to build an assembly plant in North
Moravia in the Czech Republic received a boost after its first
building permit was approved on March 28, the Prague Daily
Monitor relates.

According to the report, the facility's construction, which is
expected to cost Hyundai about CZK10 billion this year alone,
was slated to begin in December 2006.  The company hopes to
complete the plant by the end of 2007.

                       About Hyundai Motor

Headquartered in Seoul, South Korea, Hyundai Motor Company --
http://www.hyundai-motor.com/-- has been selling cars in the  
United States since 1986, but it only started selling its heavy
trucks stateside in 1998.  Hyundai produces 14 models of cars
and minivans, as well as trucks, buses, and other commercial
vehicles.  The Company reestablished itself as Korea's leading
carmaker in 1998 by acquiring a 51% stake in Kia Motors -- since
reduced to about 45%.  The Company also manufactures machine
tools for factory automation and material- handling equipment.

The Troubled Company Reporter - Asia Pacific reported that the
Hyundai Automotive Group is facing its deepest crisis since
chairman Chung Mong-koo took over in 1999, with problems like
the falling United States dollar, high oil prices and union
demands aggravated by a sweeping criminal investigation
regarding the carmaker's alleged creation of slush funds that
were used by at least two lobbyists to bribe government
officials for business favors, including having KRW55 billion of
Hyundai's bad debts written off.

Chairman Chung has been indicted early in May 2006 for fraud
charges.

Some of the group's official business has been on hold since the
probe on the slush fund started and several top executives were
summoned for questioning.


* Korea-US FTA Likely Positive for Korea's Ratings, Moody's Says
----------------------------------------------------------------
The enactment of a free trade agreement reached on April 1
between South Korea and the United States would likely reinforce
South Korea's credit fundamentals over time, said Moody's Vice
President Thomas J. Byrne, the rating agency's lead analyst for
the country.

"We have previously stated that, for the A3 foreign and local
currency ratings to move up, South Korea would need to maintain
favorable macroeconomic and fiscal prospects, and geopolitical
risks associated with North Korea would need to be contained,"
said Byrne.  "A successful adoption of the KORUS FTA would
support a favorable outlook on South Korea's long-term
macroeconomic prospects."  Moody's outlook for the ratings is
positive.

He said that near-term benefits for Korea would be faster growth
of its exports to the U.S., and that protected domestic markets
and industries would face the invigorating effect of greater
competition from rising imports from the U.S.  He predicted that
the US$77 billion bilateral trade volume between Korea and the
US should expand significantly under the FTA.

"Korea will likely receive advantageous access to the US market
over its regional trade competitors - Japan, Taiwan and even
mainland China - in some key sectors," said Byrne.

Korea was the only northeast Asian country to seize the
opportunity to negotiate an FTA with the U.S. before the White
House's fast track trade authority expires on July 1.  The
prospect that another country might secure an FTA with the U.S.
by that date is rapidly diminishing as the renewal of fast track
authority is unlikely with the current Congress.

Additional benefits to Korea over the long term would come from
effects on competitiveness and productivity in sectors of the
Korean economy currently less open to trade -- not just in
manufacturing industries but more importantly in the services
sectors and even in agriculture.

Moody's positive view of the implications of a freer trade
regime on Korea's fundamentals is reinforced by the observation
that Korean's strategy to accelerate liberalization and
deregulation in the in the wake of the 1997 financial crisis
helped the economy recover rapidly than it would have otherwise.

Moreover, he said, Moody's believes that the KORUS FTA should
help allay recent concerns that Korea is becoming less friendly
to foreign investment.

"We also think the treaty's expected boost to Korea's long-term
economic growth potential will generate more resources for the
government to meet growing domestic social welfare demands and
to cope with the cost of future engagement with North Korea,"
said Byrne.

Finally adoption of the agreement will take place only after its
ratification by legislative bodies in both countries. Although
the deal was struck just in time to receive fast track trade
consideration by the U.S. Congress, there are significant
obstacles to enactment of the agreement.

"US negotiators have already warned their Korean counterparts
that Korea's continued ban on U.S. beef imports could be a deal
breaker for Congress," said Byrne.

He said chances for approval are also clouded by the rise of
anti-globalization sentiment in the Congress, by the
difficulties in passing recent FTAs (there was only a two-vote
margin of support for CAFTA in 2005, and that was in a House of
Representatives dominated by Republicans), and by increasing
strains in the relationship between the Congress and the White
House.

"We expect the South Korean National Assembly to approve the
FTA, especially as the complete exclusion of any opening of the
domestic rice market to foreign competition makes the deal
politically more palatable to South Korea's legislators," said
Byrne.

He added that the agreement would also strengthen bilateral
strategic ties between South Korea and the U.S., and may have
the positive effect of helping to advance the six-party talks to
denuclearize the Korean peninsula from rhetoric to tangible
actions.

"A critical junction is approaching in the implementation of the
February 13 agreement," said the analyst.  "By mid-April, North
Korea will have to shut down and seal for eventual abandonment
its Yongbyon nuclear reactor, re-permit access by the U.N.'s
International Atomic Energy Agency, and be prepared to "discuss"
the scope of its entire nuclear weapons program in order for it
to begin to receive the economic and political benefits pledged
by the U.S., South Korea and the other parties to the
negotiations.

Moody's will watch how developments on both the trade and
geopolitical fronts develop to assess their effects on the
credit standing of South Korea.


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

MALAYSIA AIRLINES: Maintains Skytrax's "5-Star" Rating
------------------------------------------------------
Malaysia Airlines has maintained its "5-Star Airline" rating
from the airline industry research advisors, Skytrax, for
excellent service quality and product delivery, Bernama News
reports.

According to Bernama, citing a statement from Malaysia's flag
carrier, the star ranking awards were based on the total travel
experience an airline delivers to its customers and the
friendliness or efficiency of staff on the ground and onboard
flights.

Skytrax conducted the assessment between November and December
2006, the report says.  The research firm's chief executive,
Edward Plaisted, said the ranking was a highly exclusive quality
award.

"This is confirmed by the fact that just three other airlines in
the world have achieved this status," he said.

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

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


PAXELENT CORP: Unit Eyes 30% Stake in Konsortium for MYR2.5 Mln
---------------------------------------------------------------
Mass Media Interactive Sdn Bhd, an 87.74%-owned subsidiary
company of Paxelent Corp Bhd, has entered into a share sale
agreement to acquire 30% of Konsortium Multimedia Swasta Sdn Bhd
from CSA-MSC Sdn Bhd.

Under the agreement, Mass Media will acquire Konsortium's
3,000,000 ordinary shares at MYR1.00 each for a cash
consideration of MYR2,500,000.

                Salient Terms of the Share Sale Agreement

Upon the execution of the agreement, Mass Media will pay CSA-MSC
by way of a banker's draft made payable to CSA-MSC's solicitors.  
Accordingly, Chuah Tai Eu, Peter Yong Kar Seng and Aw May Fah
will resign as directors of Konsortium.

In addition, CSA-MSC will withdraw its wind-up petition against
Konsortium with the Kuala Lumpur High Court without order as to
cost.  CSA-MSC will also waive Konsortium's MYR2,828,030 of
debt.

It was also stated under the agreement that in the event that
the shares sale will not obtain the approvals from relevant
government committees, Mass Media will transfer the share sale
agreement to I-Twohearts.com Sdn Bhd, a substantial shareholder
of Paxelent Corp.

The acquisition is expected to be completed in the third quarter
of 2007.

The purchase consideration of MYR2,500,000 will be satisfied
wholly in cash.  I-Twohearts will loan the amount to Paxelent
without interest.

Paxelent said that the proposed acquisition is not expected to
give rise to any further financial commitment to Konsortium as
its business is already in operations.

                        About Paxelant

Paxelent Corporation is engaged in investment holding.  The
principal activities of the subsidiaries are property
investment, provision of information technology solutions,
investment holding, marketing and sale of hard disk drive
components.  The Company is a public limited liability company,
incorporated and domiciled in Malaysia, and is listed on the
Second Board of Bursa Malaysia Securities Berhad.

The Company is actively pursuing various restructuring schemes
to address its default issues.  These schemes would involve
raising funds through partial disposal of assets, potential
debts waivers and rescheduling of the debts.


PSC INDUSTRIES: Shareholders and Creditors Approve Reform Plan
--------------------------------------------------------------
PSC Industries Bhd disclosed with the Bursa Malaysia Securities
Bhd that it has obtained the shareholders' approval regarding
the company's reform plan.

The company was notified of the approval after the shareholders'
extraordinary general meeting held on March 26, 2007.

PSC told the bourse that the company's creditors had also agreed
to the proposed debt settlement under the company's reform plan
during a March 26 meeting.

Malaysia's Securities Commission approved PSC Industries Bhd's
proposed restructuring plan and proposed disposal of a unit's
assets on March 19, a Troubled Company Reporter - Asia Pacific
report said.

                      About the Company

PSC Industries Berhad's principal activities are shipbuilding
and ship repairing.  It is also involved in heavy engineering
construction, provision of shipping management services,
manufacturing of aluminum fast passenger sea ferries, supplies
equipment and machineries, marketing and distributing Exocet
Weapon system, manufacturing of confectioneries, snack food and
related products, general trading, power plant construction and
its support activities, printing, property development, and
property and investment holding.  The PSC Group operates in
Malaysia, Australia and the Republic of Ghana.

The Company is currently formulating a regularization plan
pursuant to Practice Note 17/2005 of the Bursa Malaysia
Securities Berhad's Listing Requirements.

At Dec. 31, 2006, PSC Industries' unaudited balance sheet showed
MYR204.43 million in total assets and MYR741.71 million in total
liabilities, resulting in a MYR537.28 million shareholders'
deficit.


PROTON HOLDINGS: To Cut Back Sales Network by 20%
-------------------------------------------------
Proton Holdings Bhd, Malaysia's national carmaker, will downsize
20% of its sales network by end-June 2007, various reports say,
citing managing director Datuk Syed Zainal Abidin Syed Mohamed
Tahir.

According to Mr. Zyed Zainal, the move came after the company
made progress in the rationalization of its dealers as part of
initiatives rolled out to enhance the operational efficiency,
cost competitiveness and value to customers.

"A long-term rationalization is important as a strong dealer
network and improvements throughout the business value chain are
vital to move Proton's business forward," Mr. Zyed Zainal was
quoted by reports as saying in a statement.

The director added that Proton had been emphasizing the need for
its dealers to increase productivity and achieve business
sustainability.  In addition, the company has been constantly
evaluating performance of the dealers in meeting the challenge
of improving sales and customer satisfaction.


                      About the Company

Headquartered in Selangor Darul Ehsan, Malaysia, Perusahaan
Otomobil Nasional Berhad or Proton Holdings Berhad --
http://www.protonedar.com.my/-- is engaged in manufacturing,  
assembling, trading and provision of engineering and other
services in respect of motor vehicles and related products.  Its
other activities include property development, trading of steel
and related products, engine and technologies research,
development of automotive related technologies, investment
holding, importation and distribution of motor vehicles, related
spare parts and accessories, holds intellectual property,
provides engineering consultancy, operates single make race
series and carries out specific engineering contracts.  The
Group's operations are carried out in Malaysia, England,
Australia, Socialist Republic of Vietnam and the United States
of America.

Proton was reported to be among Malaysia's worst performing
companies in 2005, after competition from foreign carmakers and
a lack of new models lost the firm local market share and
subsequently led it into a loss.  It has since brought in a new
chief, sold its loss-making MV Agusta motorbike firm and pledged
to find a new technology partner.  The Company has been under
increasing pressure, with its share of domestic sales falling to
44% from 75% over the past decade.

The Troubled Company Reporter - Asia Pacific reported on May 4,
2006, that Proton was expected to finalize a recovery plan and
seal an alliance with a strategic partner, in order to boost
sales and become more competitive.


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

A2 CORPORATION: In Due Diligence on Possible JV with FNP
--------------------------------------------------------
A2 Corporation Ltd., in December 2006, signed a Terms Sheet with
So Natural Foods Australia Ltd., now known as Freedom
Nutritional Products Ltd., for the formation of a 50/50 joint
venture company.  

The joint venture entity will be granted exclusive rights for
the production and sale of a2 Milk(TM) products in Australia and
Japan.  

In an update, A2 Corp. said both parties are continuing the due
diligence process and discussions on how they can work together
to build the business in Australia remain positive.  The parties
extended the completion date from March 30, 2007, to May 2007.

Under the deal, A2C's current operations in Australia will be
transferred into the new entity.

The transaction is subject to due diligence, board and other
relevant approvals, and the finalization of formal
documentation.

FNP is an emerging public company focused on building a leading
position in functional and nutritional foods in Australia and
targeted international markets through a focus on brand
development, product innovation, sales, marketing and
distribution.  SNF provides a wide range of foods and beverages
that encourage better health and vitality in Australia and has a
relationship with the major functional dairy group Yakult Honsha
in Japan.

As well as providing significant dairy industry knowledge,
access to further milk supply through its majority shareholder
and retail grocery expertise, SNF will contribute a substantial
cash investment to support the ongoing development of the joint
venture company.

"This presents a significant opportunity to accelerate the
expansion and growth of the A2 business in Australia, and entry
into Japan," A2C Chairman Clifford Cook said.  "We believe there
is a natural fit between A2C and SNF's focus on functional foods
that seek to provide health benefits beyond basic nutrition."

New Zealand-based A2 Corporation Ltd. --
http://www.a2corporation.com/-- is engaged in the sale and   
production of beta-casein A2 milk products.  The company owns
and licenses intellectual property that enables the
identification of cattle for the production and subsequent
marketing of A2 Milk.  During the fiscal year ended March 31,
2006, the company acquired A2 Australia Pty Ltd.  In April 2006,
the company reacquired the business of A2 Australia Pty Ltd from
F&N Dairy Investments Limited.  A2 Milk Company LLC provided the
Company with a research basis for launching A2 Milk in the North
American market.

The company suffered net losses of NZ$925,847 and NZ$9,017,633
for the years ended March 31, 2006, and March 31, 2005,
respectively.


BLIS TECHNOLOGIES: Inks R&D Pact With Nestle Nutritional
--------------------------------------------------------
BLIS Technologies Limited entered into an agreement with
Switzerland-based Nestle Nutrition to carry out research and
development of BLIS probiotics for use in infant nutrition
products and targeting respiratory infections.

Pursuant to the terms of the deal, Nestle Nutrition will fund
BLIS Technologies' research efforts in this area through a
series of milestone and R&D expense payments.  BLIS Technologies
will be responsible for development of probiotics suitable for
incorporation into infant nutrition products and supplying the
probiotics for clinical trial purposes.  Nestle Nutrition will
be responsible for clinical studies and will commercialize
probiotics under license as part of its range of infant
nutrition products.

BLIS will not only benefit from research milestone payments, but
potential revenue streams from worldwide licensing and ongoing
supply of probiotic material, The New Zealand Herald cites BLIS
Chief Executive Barry Richardson as saying.

"The research will focus on boosting infant immune systems,"
Stuff.co.nz says.  "Currently there is no effective method of
preventing or reducing infant respiratory tract infections but
probiotics . . . could help address that."

"It's a deal which has potential in the short term from the
point of view of aiding cash flow and so on, but its most
significant potential long term is obviously the commercial
revenues which is potentially very significant," Mr. Richardson
told The Herald.

According to The Herald, Mr. Richardson did not reveal exact
cashflow figures generated from the deal but said upfront  
payments and milestone payments were "all in reasonable six
figure numbers" on an annual basis.

Also citing Mr. Richardson, Stuff.co.nz said Nestle Nutrition
had been doing technical due diligence on BLIS for the last six
months.

                     About BLIS Technologies

Headquartered in Dunedin, New Zealand, BLIS Technologies Limited
-- http://www.blis.co.nz/-- is engaged in developing healthcare  
products based on strains of bacteria that produce bacteriocin-
like inhibitory substances.  BLIS substances act as natural
antibiotics and control the growth of bacterial infections.  

                        *     *     *

                      Going Concern Doubt

Deloitte -- the company's auditors -- in forming its unqualified
opinion, raised fundamental uncertainty on the company's ability
to continue as a going concern.

BLIS Technologies Limited recorded a net deficit of NZ$1,107,851
for the year ended March 31, 2006 (2005: 1,336,319) and has cash
and short-term deposits of NZ$201,850 on hand at March 31, 2006.  
The company has raised additional capital of NZ$200,000 by way
of a private placement of 2 million ordinary shares at NZ$0.10
per share.  The company has prepared a business plan and budget
which indicate that available cash reserves combined with cash
generated as a result of the private placement, are sufficient
for a period of at least 12 months from the date these financial
statements were approved by the Board of Directors.

While the directors are confident in the Company's ability to
continue as a going concern, there is significant uncertainty as
to whether the company will be able to achieve a positive
operating cash flow position within the timeframe set out in the
Board of Directors' plans prior to utilization of available cash
resources, and continue as a going concern and therefore,
whether they will be able to pay their debts as and when they
become due and payable.

In addition, the company may have to provide further liabilities
that might arise, and to reclassify non current assets and
liabilities as current assets and liabilities.


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

CHIQUITA BRANDS: Unit Signs California Leafy Agreement
------------------------------------------------------
Fresh Express disclosed that it will sign the California Leafy
Greens Handlers Agreement in order to further support an
industry-wide move toward stronger food safety.  

"Fresh Express food-safety standards and practices are already
significantly more comprehensive and exceed those outlined in
the California Leafy Greens Handler Food Safety Agreement," said
Tanios E. Viviani, president of Fresh Express.  "Our food-safety
programs are already fully integrated from seed to customer,
comprehensive in scope and focus on prevention."

Mr. Viviani noted that Fresh Express agreed to sign the
Agreement now after originally declining, because he believes
the company's former concerns that the Agreement was not strong
enough are beginning to be addressed.  Specifically:

   -- A commitment has been made to continue to strengthen the
      Good Agricultural Practices (GAPs) Metrics and make them
      more robust.

   -- A commitment has also been made to extend the Agreement
      into other states beyond California, starting in the state
      of Arizona, where the greens are grown during winter
      months.  At this time, the Agreement covers only leafy
      greens grown or processed in the state of California.

   -- The Agreement will not be used for promotional purposes,
      but will remain steadfastly focused on metrics and
      verification to further food safety.

   -- Significant support has been gathered from other industry
      wide organizations including the Produce Marketing
      Association, United Fresh Produce Association, California
      Farm Bureau Federation and the National Restaurant
      Association, among others.

"With these changes, the Agreement is more consistent with our
rigorous approach," said Mr. Viviani.  "We want to further
support the process of raising the level of food safety
throughout the industry by signing the Agreement."  Mr. Viviani
emphasized that Fresh Express is not changing its integrated,
comprehensive and preventive food safety standards and
practices, which are already substantially higher than the
Agreement's.  However, because changes to the Agreement's GAPs
Metrics are beginning to address concerns voiced by Fresh
Express and additional commitments have been made to continue to
strengthen the Metrics, increase their scope and expand the
Agreement into other states, Fresh Express will sign the
Agreement to further support raising the level of food safety in
the industry.

Fresh Express, a subsidiary of Chiquita Brands International,
Inc. (NYSE: CQB), has been recognized as a leader in fresh foods
for more than 80 years and is dedicated to providing consumers
with healthy, convenient and ready-to-eat spinach, salads,
vegetables and fruits.  With the invention and introduction of
the Keep Crisp(TM) bag, Fresh Express was the creator of the
retail packaged salad category and the first to make ready-to-
eat salads available to consumers nationwide.

Cincinnati, Ohio- based Chiquita Brands International, Inc.
(NYSE: CQB) -- http://www.chiquita.com/-- operates as an   
international marketer and distributor of bananas and other
fresh produce sold under the Chiquita and other brand names in
over 70 countries including Panama, Philippines, Australia,
Belgium, Germany, among others.  It also distributes and markets
fresh-cut fruit and other branded, value-added fruit products.

                        *     *     *

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

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


LAND O'LAKES: Earns US$44.5 Million in Fourth Quarter 2006
----------------------------------------------------------
Land O'Lakes Inc. reported net earnings of US$44.5 million on
sales of US$1.9 billion for the fourth quarter ended Dec. 31,
2006, compared with a net loss of US$1.6 million on sales of
US$2 billion for the fourth quarter of 2005.

Full-year sales were US$7.3 billion, with net earnings of
US$88.7 million, compared to sales of US$7.6 billion and net
earnings of US$128.9 million for 2005.  Net earnings for 2005,
however, included a US$69.7 million gain on the company's sale
of its ownership position in CF Industries Inc.  Excluding that
gain, net earnings were up 50 percent.

The decrease in net sales was primarily attributed to a
US$442.8 million decrease in net sales in the Dairy Foods
segment due to lower milk, butter, and cheese commodity markets
in 2006 compared to 2005.  This decline was partially offset by
increases in sales in the Seed and Feed segments of US$102.1
million and US$124.5 million, respectively, due to higher
volumes as well as higher commodity and product prices in 2006
compared to 2005.

Gross profit increased to US$660.9 million in 2006 compared to
US$585 million in 2005, primarily due to a US$52.8 million
improvement in the Dairy Foods segment as a result of improved
margins and volumes as well as improved industrial operations
and unrealized hedging gains in 2006 compared to unrealized
hedging losses in 2005.  Increases in the Feed and Seed segments
due to volume improvements, margin increases and unrealized
hedging gains in 2006 also improved gross profit.

Total EBITDA (Earnings Before Interest, Taxes, Depreciation and
Amortization) was US$250.1 million in 2006, compared to EBITDA
of US$311.6 million one year ago.  Like net earnings, 2005 total
EBITDA includes last year's gain on the CF Industries sale.

Total balance sheet debt, including capital leases, was
US$708.3 million at the end of 2006, a US$38.9 million
improvement from total debt of US$747.2 million at Dec. 31,
2005.

At Dec. 31, 2006, the company's balance sheet showed
US$3,055.1 million in total assets, US$2,101.8 million in total
liabilities, US$8.8 million in minority interests, and
US$944.5 million in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the year ended Dec. 31, 2006, are available for
free at http://researcharchives.com/t/s?1cbd

Land O'Lakes Inc. -- http://www.landolakesinc.com/-- is a    
national farmer-owned food and agricultural cooperative,
marketing dairy-based consumer, foodservice and food ingredient
products.  Land O' Lakes does business in all 50 states, as well
as more than 50 countries, including the Philippines.

                          *     *     *

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 28, 2007, Standard & Poor's Ratings Services revised its
outlook on Land O'Lakes to positive from stable, and affirmed
its 'BB-' corporate credit rating and other ratings on the
company.


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

DATAWORK PTE: Creditors Must Prove Debts by April 10
----------------------------------------------------
Datawork Pte Ltd., which is in liquidation proceedings, requires
its creditors to file their proofs of claim by April 10, 2007.

Creditors who fail to file their proofs of claim by the deadline  
will be excluded on the company's dividend distribution.  
  
The company's liquidator is:

         Chee Yoh Chuang
         Lim Lee Meng
         Marsh & McLennan Centre
         Singapore 048423

L&M INTERNATIONAL: Creditors Must Prove Debts by April 27
---------------------------------------------------------
L&M International Ltd., which is in liquidation proceedings,
requires its creditors to file their proofs of claim by
April 27, 2007.

Creditors who fail to file their proofs of claim by the deadline  
will be excluded on the company's dividend distribution.

The company's liquidator is:  

         Chia Soo Hien
         Ng Geok Mui
         c/o BDO Raffles
         5 Shenton Way #07-01
         UIC Building
         Singapore 068808


REFCO: Plan Administrators Want Until May 25 to Object to Claims
----------------------------------------------------------------
RJM, LLC, as Plan Administrator of the Reorganized Debtors'
Chapter 11 cases, and Marc S. Kirschner, Chapter 11 Trustee and
Plan Administrator of Refco Capital Markets, Ltd.'s estate, tell
the U.S. Bankruptcy Court for the Southern District of New York
that since filing for bankruptcy, about 14,000 claims,
aggregating US$150,000,000,000 in asserted amounts, have been
filed against the estates of Refco, Inc., and its debtor-
affiliates.

Over the course of the Chapter 11 cases, about 5,000 claims
asserting US$143,000,000,000 have been resolved by Court order
or by consent of the parties.

The Plan Administrators also filed objections to 1,300
additional claims asserting approximately US$5,500,000,000.

The Plan Administrators continue to reconcile the remaining
claims filed against the Chapter 11 estates, and anticipate
filing additional claims objections by March 2007.

Pursuant to the Reorganized Debtors' Plan of Reorganization, the
last day for filing an objection to claims against the Debtors
and RCM will be:

   (a) the later of 90 days after the Plan Effective Date, or
       60 days after the filing of a proof of claim for, or
       request for payment of, that Claim; or

   (b) other date as the Court may order.

By this motion, the Plan Administrators ask the Court to extend
the Claims Objection Deadline through and including
May 25, 2007.

Mark S. Deveno, Esq., at Bingham McCutchen LLP, in New York,
asserts that extension of the Claims Objection Deadline is
appropriate to complete the claims reconciliation process and to
help ensure that all non-meritorious claims are appropriately
challenged.

The Plan Administrators believe that it is important to ensure
that no unwarranted claims are allowed simply by virtue of the
passage of time.

Mr. Deveno assures Judge Drain that extending the Claims
Objection Deadline will not cause delay and will not prejudice
any claimants, as each claimant will retain any substantive
defenses it may have to any claim objections filed.

While the Plan Administrators do not anticipate any need to seek
additional extensions, they reserve the right to seek further
extension of the Claims Objection Deadline.

                          About Refco Inc.

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

The Company and 23 of its affiliates filed for chapter 11
protection on Oct. 17, 2005 (Bankr. S.D.N.Y. Case No. 05-60006).
J. Gregory Milmoe, Esq., at Skadden, Arps, Slate, Meagher & Flom
LLP, represent the Debtors in their restructuring efforts.  Luc
A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP,
represents the Official Committee of Unsecured Creditors.  Refco
reported US$16.5 billion in assets and US$16.8 billion in debts
to the Bankruptcy Court on the first day of its chapter 11
cases.  The Debtors' Amended Plan was confirmed on Dec. 15,
2006.  (Refco Bankruptcy News, Issue No. 60; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or   
215/945-7000).


SYNIVERSE TECH: Increased Debt Cues Moody's Negative Outlook
------------------------------------------------------------
Moody's Investors Service changed Syniverse Technologies, Inc.'s
outlook from stable to negative and affirmed the company's Ba3
corporate family rating.  

The company recently reported the debt-financed acquisition of
Billing Services Group's wireless data and financial clearing
and settlement businesses for US$290 million.  

The change in outlook reflects the increase in debt at time when
Syniverse's core product offerings are experiencing pricing
pressures and moderate declines in operating profit.  Although
the acquisition will likely bring synergies and growth to
international operations, the increased leverage reduces
flexibility as the company faces declines in its North American
business.  The outlook also reflects the expectation of
continued debt financed acquisitions.

Moody's views the BSG acquisition as providing a welcome
diversification of revenues as well as elevating Syniverse into
the number two position in the European GSM business.  BSG will
also bring a financial clearinghouse capability which is viewed
as critical towards providing a unified open connectivity GSM
offering.

Moody's estimates that debt to EBITDA will increase from 2.6x to
4.0x pro forma for the acquisition.  Moody's also estimates that
2006 free cash flow to debt falls from 23.6% to 13.5% pro forma
for the acquisition due to the increased interest expense
associated with the acquisition debt.  Moody's has previously
indicated that once the level falls below 15%, there could be
downward ratings pressure.

The Ba3 ratings reflect the company's leading market positions
in the network and interoperability services businesses
supporting the wireless telecommunication industry and strong
cash flow generating capabilities.  The ratings are constrained
by the company's concentration of revenue derived from roaming
traffic between domestic wireless operators and the pressures
arising as the operators consolidate.

Ratings for debt facilities will be determined after the company
finalizes the capital structure.  Moody's notes that committed
financing has been provided by Lehman Brothers, Deutsche Bank
and Bear, Stearns & Co.  Individual debt instrument ratings
could be downgraded depending on the final structure.

The ratings could be downgraded if operating profits in the
existing business continue to decline at a rate faster than the
profits at the new business grow or if the company were to make
additional large debt financed acquisitions.  Alternately the
outlook could be stabilized if the company is able to grow cash
flows and increase free cash flow to debt to above 15% pro forma
for the acquisition.

                  About Syniverse Technologies

Based in Tampa, Florida, Syniverse Technologies, Inc.
-- http://www.syniverse.com/-- provides technology outsourcing  
to wireless telecommunications carriers.

The company has its international offices in the Netherlands,
China, Japan and Singapore, among others.


SPECTRUM BRANDS: Hires Amy Yoder as Exec. VP for Home & Garden
--------------------------------------------------------------
Spectrum Brands Inc. had appointed Amy J. Yoder, veteran sales,
marketing and operations executive, as Executive Vice President,
Home & Garden.  

In this new position, Ms. Yoder will be responsible for the
company's US$675 million Home & Garden business segment,
comprising branded consumer products in the lawn and plant
growth, weed and insect control and insect repellent markets.  
She will report to David R. Lumley, President Global Batteries &
Personal Care and Home & Garden, and Co-Chief Operating Officer.

Ms. Yoder, 40, who most recently served as Vice President and
General Manager of Chemtura Corp.'s Consumer Products Division,
joined Spectrum Brands on April 2.  Her background includes more
than 15 years experience in the consumer products and
agribusiness industries, having served in a variety of
leadership positions with Chemtura, Nufarm Americas, United Agri
Products, Monsanto and E.I. DuPont de Nemours.

"We are delighted to bring Amy's extensive marketing and
management experience and skills to the company at a critical
point in the execution of our strategic plans for Home &
Garden," commented David Jones, Spectrum Brands Chairman and
CEO.  "I expect that Amy's strong operational knowledge of the
industry, coupled with her outstanding leadership skills, will
immediately add value and accelerate the process of driving top
line growth and strengthening operational efficiency in this
important business segment."

"I am extremely excited to be joining Spectrum Brands, with its
solid portfolio of leading consumer product brands," said Ms.
Yoder.  "The Home & Garden business' category-leading brands and
strong retail relationships are a terrific platform upon which
to strengthen our market position, achieve operational
excellence and create value for shareholders."

                      About Spectrum Brands

Headquartered in Atlanta, Georgia, Spectrum Brands (NYSE: SPC)
-- http://www.spectrumbrands.com/-- is a consumer products  
company and a supplier of batteries and portable lighting, lawn
and garden care products, specialty pet supplies, shaving and
grooming and personal care products, and household insecticides.
Spectrum Brands' products are sold by the world's top 25
retailers and are available in more than one million stores in
120 countries around the world.  The company has manufacturing
and distribution facilities in China, Australia and New Zealand,
and sales offices in Melbourne, Shanghai, and Singapore.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on Apr. 3,
2007, Standard & Poor's Ratings Services assigned its loan and
recovery ratings to Atlanta, Georgia-based Spectrum Brands
Inc.'s planned US$1.6 billion senior secured bank financing,
which includes a US$1.55 billion first-lien term loan B and a
US$50 million first-lien letter of credit facility both maturing
in 2013.  A portion of the term loan can be denominated in Euros
and Canadian dollars.  The facilities are rated 'CCC+' (at the
same level as the corporate credit rating of Spectrum Brands)
with a recovery rating of '2', indicating the expectation of
substantial (80% to 100%) recovery of principal in the event of
a payment default.

S&P also assigned a 'CCC-' rating to Spectrum Brands' planned
US$350 million variable rate toggle senior subordinated notes
due 2013.  The senior subordinated note offering will be an
exchange offer for the company's existing US$350 million senior
subordinated notes due 2013.  The new notes will be issued
pursuant to Section 3(a)(9) of the Securities Act of 1933 and
will retain the same registered status as the existing notes.

Fitch Ratings has affirmed the ratings of Spectrum Brands, Inc.
as:

    -- Issuer default rating 'CCC';
    -- Senior secured bank facility 'B/RR1';
    -- Senior subordinated debentures 'CCC-/RR5'.

The rating outlook has been revised to negative from stable.
Approximately US$2.38 billion of debt is covered by these
actions.

Moody's Investors Service confirmed Spectrum Brands Inc.'s B3
Corporate Family Rating in connection with the rating agency's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology.


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

SIAM CITY: 2006 Net Profit Down 32.04% to THB4.26 Billion
---------------------------------------------------------
Siam City Bank Public Company Limited reports a net income of
THB4,257,794,514 for the year 2006, a decrease of 32.04% from
the net income of THB6,264,987,488 reported for the year 2005.

The bank's total interest and dividend income was up 40.75% to
THB25,289,616,081 for 2006, from THB17,967,964,487.  Total
interest expenses, however, almost doubled to THB12,446,705,084,
giving the bank a net interest and dividend income of
THB12,842,910,997, 11.05% better than a year earlier.

The bank reported a lower bad debt accounts amounting only to
THB1,697,942,998, an 467.18% improvement from THB299,367,378 a
year ago.

A full-text copy of the bank's 2006 financial results is
available at no charge at:

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

                    AGM and Dividend Payout

The board of directors of the bank has set the company's 106th
Ordinary General Shareholders Meeting on April 24, 2007 to
discuss:

   * the result of the year 2006 operations;

   * the approval of the company's balance sheet and profit and
     loss accounts;

   * the approval of the allocation of profit; at least 5% to
     legal reserves and a THB0.80 per share dividend payment;

   * the approval of the directors' remuneration payment;

   * the election of new directors to succeed those completed
     their terms;

   * the election of the auditors and auditor's fee; and

   * the sale of common shares received from debt restructuring.

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.

                        *     *     *

The Troubled Company Reporter - Asia Pacific reported that on
Oct. 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;

Fitch said 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 Troubled Company Reporter - Asia Pacific reported on
September 26, 2006 that the bank currently carries Moody's Bank
financial strength rating of D.


THAI DURABLE: Trims 2006 Net Loss Down to THB255.91 Million
-----------------------------------------------------------
Thai Durable Group Public Company Limited reported a 27.87%
trimmer net loss at THB255,910,122 for the year 2006 from the
THB354,792,029 for the year 2005.

Net sales fell 88.10% to THB64,968,874 for 2006 from
THB545,835,569 a year earlier, fueling the 80.28% decline in
total revenues, which amounted to THB110,065,702 for 2006 (2005:
THB558,150,219).

Total expenses, likewise, fell 67.03% to THB276,525,535 for
2006, from THB838,831,757 a year ago, giving the company a loss
before interest expense of THB166,459,833.

                       Going Concern Doubt

Jadesada Hungsapruek at Karin Audit Company Limited raised
significant doubt on the company's ability to continue as a
going concern due to:

   * the company's significant accumulated losses;

   * the company's recurring loss from operations;

   * the company's deficit as of December 31, 2006 of
     THB1.25 billion;

   * incurring negative cash flows from operating activities for
     the year ended December 31, 2006 amounting to
     THB85.92 million;

   * current liabilities exceeding current assets as of
     Dec. 31, 2006 by THB851.13 million;

   * the company's default on short-term loans and long-term
     loans from two local banks which were due.

Mr. Jadesada adds that the continuing operation of the company
in the future substantially depends on:

   a) results of the negotiation with the financial institution
      creditors relating to the postponement of such loans, and

   b) the new business plan of the Company and its ability to
      operate successfully in the future and has adequate cash
      flows from operations.

The company's balance sheet and profit/loss statement are
available for free at:

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

                            - and -

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


                            ASM Set

The company had set its Annual General Meeting of Shareholders
2007 on April 30,2007 with the following agenda:

   * acknowledge the 2006 annual report of the board of
     directors;

   * approve the balance sheet and the profit and loss statement
     for 2006;

   * approve the non-allocation of net profit for legal reserve
     and the non-payment of dividend;

   * approve the selection and appointment of new directors to
     replace of the directors resigning by rotation and the
     determination of remuneration of directors for the year
     2007; and

   * appoint the auditors and determine their remuneration.

                       About Thai Durable

The Thai Durable Group Public Company Limited --
http://www.tdt.co.th/-- manufactures woven fabrics and yarns  
from natural and synthetic fibers.  The majority of its
production is sold to industrial factories for further
processing.


THAI DURABLE: Appoints Narin Nokhuntod as Director
--------------------------------------------------
Thai Durable Group Public Company Limited's board of directors
approved the appointment of Narin Nokhuntod as a director of the
company replacing Phakarat Visudhimark, the company disclosed.

The Thai Durable Group Public Company Limited --
http://www.tdt.co.th/-- manufactures woven fabrics and yarns  
from natural and synthetic fibers.  The majority of its
production is sold to industrial factories for further
processing.

                       Going Concern Doubt

Jadesada Hungsapruek at Karin Audit Company Limited raised
significant doubt on the company's ability to continue as a
going concern due to:

   * the company's significant accumulated losses;

   * the company's recurring loss from operations;

   * the company's deficit as of December 31, 2006 of
     THB1.25 billion;

   * incurring negative cash flows from operating activities for
     the year ended December 31, 2006 amounting to
     THB85.92 million;

   * current liabilities exceeding current assets as of
     Dec. 31, 2006 by THB851.13 million;

   * the company's default on short-term loans and long-term
     loans from two local banks which were due.

Mr. Jadesada adds that the continuing operation of the company
in the future substantially depends on:

   a) results of the negotiation with the financial institution
      creditors relating to the postponement of such loans, and

   b) the new business plan of the Company and its ability to
      operate successfully in the future and has adequate cash
      flows from operations.


THAI DURABLE: Still Looking For Investors in Property Dev't
-----------------------------------------------------------
Thai Durable Group Public Company Limited says it is still
looking for other financial institutions and/or other investors,
besides Lehman Brothers Asia Limited, Hong Kong branch, after
Lehman delayed its investment in the business.  

The announcement is with regards to the company's plan to shift
its core business to property development.

The company explained that as of December 31, 2006, the company
has defaulted both short-term and long-term loans with two
banks.  The principal and accrued interests amounted to THB602
million and THB136 million respectively, totaling THB738
million.  This amount equals to approximately 79% of the total
liabilities of THB933 million.  

The company says it needs to seek financial support from other
financial institutions and/or new investors to pay the defaulted
debts before carrying out the property development.

                       About Thai Durable

The Thai Durable Group Public Company Limited --
http://www.tdt.co.th/-- manufactures woven fabrics and yarns  
from natural and synthetic fibers.  The majority of its
production is sold to industrial factories for further
processing.

                       Going Concern Doubt

Jadesada Hungsapruek at Karin Audit Company Limited raised
significant doubt on the company's ability to continue as a
going concern due to:

   * the company's significant accumulated losses;

   * the company's recurring loss from operations;

   * the company's deficit as of December 31, 2006 of
     THB1.25 billion;

   * incurring negative cash flows from operating activities for
     the year ended December 31, 2006 amounting to
     THB85.92 million;

   * current liabilities exceeding current assets as of
     Dec. 31, 2006 by THB851.13 million;

   * the company's default on short-term loans and long-term
     loans from two local banks which were due.

Mr. Jadesada adds that the continuing operation of the company
in the future substantially depends on:

   a) results of the negotiation with the financial institution
      creditors relating to the postponement of such loans, and

   b) the new business plan of the Company and its ability to
      operate successfully in the future and has adequate cash
      flows from operations.


TOTAL ACCESS: Moody's Affirms Ba1 Rating with Stable Outlook
------------------------------------------------------------
Moody's Investors Service affirmed Total Access Communication
Public Company Limited's Ba1 corporate family rating.  At the
same time Moody's has revised the rating outlook to stable from
positive.  The change in the outlook follows upon a period of
increasing regulatory and political uncertainty in Thailand.

"While TAC continues to demonstrate an ability to sustain a
stable operating platform, including sound credit metrics in the
competitive Thai market," says Moody's Charles Macgregor,
VP/Senior Credit Officer.  "The company, however, is exposed to
moderate systematic risk and may be susceptible to changes in
government policy and/or the regulatory environment."

"In addition, TAC maintains a moderate liquidity profile which
may be reliant on accessing committed facilities - that have
some conditionality - to meet its upcoming debt maturity
obligations and capex requirement," Mr. Macgregor adds.

In accordance with Moody's global rating methodology for
telecommunications companies, TAC's overall performance
measurements relative to the rating methodology indicates a high
Ba rating category which is consistent with its Ba1 corporate
family rating category.

The stable outlook reflects Moody's expectation that TAC's sound
financial profile will provide sufficient flexibility within the
existing rating should there be any unfavourable regulatory
outcomes in the next 12 months.

TAC's rating could experience an upward trend if there is more
stability within the Thai regulatory and political arenas and:

    a) TAC continues to demonstrate an ability to execute its
       business plan and generate positive free cash flow on a
       sustainable basis; and

    b) sustain a sound liquidity profile.  

Financial metrics that may evidence this would be a ratio of
debt to EBITDA in the range of 2-2.2x and a (EBITDA-
Capex)/Interest ratio approaching 2x.

On the other hand downward rating pressure may become evident
should TAC experience harsher-than-expected regulatory outcomes
that result in lower returns from its network or indeed a
negative political outcome on foreign ownership, greater
competitive pressures on retail pricing, and an acceleration in
its capital expenditure program, which may lead to lower EBITDA
margins, possibly below 25% and failure to generate sustainable
positive cash flow, such that Debt/EBITDA rises above 2.5x.

Total Access Communications Public Company Limited,
headquartered in Bangkok, Thailand, is the second largest
provider of cellular communications services.




                            *********

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, Rousel Elaine Tumanda, Valerie
Udtuhan, Francis James Chicano, Tara Eliza Tecarro, Freya
Natasha Fernandez, Frauline Abangan, and Peter A. Chapman,
Editors.

Copyright 2007.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
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mail.  Additional e-mail subscriptions for members of the same
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thereof are US$25 each.  For subscription information, contact
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                 *** End of Transmission ***