TCRAP_Public/070605.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

             Tuesday, June 5, 2007, Vol. 10, No. 110

                            Headlines

A U S T R A L I A

A1 TEL: Members & Creditors to Meet on June 29
ALEX J. LOW: Final Meeting Set for June 29
APPLIED MANUFACTURING: Moves Declaration of Dividend to June 11
ARROW ENERGY: Ties Up with LNG To Supply Gas
COMPARE NOMINEES: Members & Creditors to Meet on June 29
DELTA AIR: Discloses Promotion of Three Leaders
FENTINA PTY: Liquidators to Present Wind-Up Report on June 29
FOOT LOCKER: Ceases Acquisition Pursuit for Genesco
FOOT LOCKER: S&P Retains Neg. Watch After Rejected Genesco Bid
HOVE NOMINEES: Members & Creditors to Meet on June 29
LIFESTYLE CLASSICS: Members Resolve to Close Business
PLAZA INTERIORS: To Declare First Dividend on June 21
POWERLINK GLOBAL: Creditors Agree on Liquidation
PRIMELIFE CORP: To Restructure with Babcock & Brown Group
RICK VIRTUE: To Declare Dividend on June 22
SYMBION HEALTH: Ratings and Loans Remain at S&P's CreditWatch


C H I N A   &   H O N G  K O N G

AGRICULTURAL BANK: Needs Up to Five Years to Implement Reform
AGRICULTURAL BANK: 2006 Profit Soars on Increased Loan Demands
BANKERS TRUST: Liquidators Quit Posts
BANK OF HUALIEN: Chinatrust Wins Bid for EBH
BANK OF HUALIEN: TRC Withdraws twB Rating After Cititrust Buys
BT BROKERAGE: Lai Yan & Darach Haughey Quit Liquidator Posts
CHINA EASTERN: Board Approves Revised Share Issuance Plan
DONG SHAN: Wind-Up Petition Hearing Set for July 18
KONSGREAT LIMITED: Muk & Middleton Quit as Liquidators
METZLER INTERNATIONAL: Proofs of Debt Due by June 18
SUNDAY ENTERPRISES: Liquidators Resign from Posts
SUN PROUD: Liquidator Quits Post
TOP ASIA: Shareholders Resolve to Close Business
TOWA CONCRETE: Contributories & Creditors to Meet on June 12
UNCIA LIMITED: Taps Liu Yuk Ming Stephen as Liquidator


I N D I A

CANARA BANK: Bids for Government's Pension Business
CENTURION BANK: Board OKs Issuance of 10 Cr. Stock Options
DECCAN AVIATION: To Sell 26% Stake to UB Group for INR5.5BB
DENA BANK: To Increase Customers by 4 Million in FY2007
GENERAL MOTORS: To Invest US$44 Million in Bedford Foundry


I N D O N E S I A

ANEKA TAMBANG: Shareholders Approve 5-for-1 Stock Split
GARUDA INDONESIA: On Track to Post Profit in 2007
TELKOM INDONESIA: Shares Rise on Buyback Announcement


J A P A N

GK L-JAC4: S&P Rates JPY4 Billion Bonds at BB
JAPAN AIRLINES: To Sell 49% JALcard as Part of Restructuring
JVC CORP: Forecasts JPY15-Billion Operating Income for FY07
JVC CORP: To Appoint Kunihiko Sato as President
MAZDA MOTOR: To Recall 264,276 Units Due to Clutch Defect
ORIX-NRL TRUST: S&P Puts Low-B Ratings on Three Certificates


K O R E A

BOE HYDIS: Bankruptcy Court Approves Rehabilitation Plan
DAEWOO SHIPBUILDING: Wins 1.3 Billion European Contract
DOOSAN INDUSTRIAL: Fined KRW4.1 Bil. for Unfair Unit Support
EG SEMICON: Amends Exercise Price of Second Bond
ILSUNG CONSTRUCTION: Issues Shares Via Private Placement
KOREA EXPRESS: Up for Sale in Early July


M A L A Y S I A

PROTON HOLDINGS: Posts MYR591-Mil. Net Loss for Year to March 31
PROTON: Gov't Won't Give Up Controlling Stake to Foreign Partner
PROTON HOLDINGS: Talks With Volkswagen in Final Round
TRANOCEAN HOLDING: Fails to Meet Capital Requirement


N E W  Z E A L A N D

ARAMAND SEA: Appoints Graham and Gibson as Liquidator
DENNY'S CORP: Names VP Jay Gilmore as Chief Accounting Officer
EXPONENT HOLDINGS: Fixes June 29 as Last Day to Receive Claims
INDEPENDENT GLASS: Appoints Bruce Richards as Liquidator
KERBSIDE SERVICES: Enters Wind-Up Proceedings
KENPAUL PROPERTIES: Appoints  Bruce Richards as Liquidator
NISHIDA YOUNG: Taps Official Assignee as Liquidator
S J COTTAM: Names Phillip Craig Macey as Liquidator
SOUNDLINE AUDIO: Creditors' Proofs of Debt Due by June 29
SNAVELY INTERNATIONAL: Receiving Proofs of Debt Until June 15


P H I L I P P I N E S

BANGKO SENTRAL: Seeks To Increase US$10 Mil. Limit on Forex Swap
GOTESCO LAND: Stocks Remain Suspended Pending 1Q07 FS Submission
LODESTAR INVESTMENT: PSE Allows Securities Trading to Resume
MANILA ELECTRIC: May Increase Power Sales to 2.5% for 2007
MANILA MINING: Posts PHP4.25 Mil. Net Loss for March 31, 2007
PHIL NAT'L BANK: Inks Deal with ING to Sell Mutual Funds to OFWs


T H A I L A N D

NFC FERTILIZER: Reports on Progress of Operations
PICNIC CORP: Ends Joint Venture with Ruamnakornkorsrang
TMB BANK: Moody's Rates Hybrid Securities at B1
* Economy Exceeds Expectations, Grows 1.2% from 2006


     - - - - - - - -

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

A1 TEL: Members & Creditors to Meet on June 29
----------------------------------------------
The members and creditors of A1 Tel Australia Pty Ltd will have
their final meeting on June 29, 2007, at 9:15 a.m., to receive
the liquidator's report about the company's wind-up proceedings
and property disposal.

The company's liquidators are:

          V. R. Dye
          N. Giasoumi
          Dye & Co. Pty Ltd
          165 Camberwell Road
          Hawthorn East 3123
          Australia

                         About A1 Tel

A1 Tel Australia Pty Ltd is a special trade contractor.  The
company is located in Victoria, Australia.


ALEX J. LOW: Final Meeting Set for June 29
------------------------------------------
Alex J. Low (Australia) Pty. Ltd. will hold a final meeting for
its members and creditors on June 29, 2007, at 9:45 a.m.

The members and creditors will hear, at the meeting, a report
about the company's wind-up proceedings and property disposal.

The company's liquidators are:

          V. R. Dye
          N. Giasoumi
          Dye & Co. Pty Ltd
          165 Camberwell Road
          Hawthorn East 3123
          Australia

                     About Alex J. Low

Alex J Low (Australia) Pty Ltd provides plumbing, heating, and
air-conditioning services.  The company is located in Victoria,
Australia.


APPLIED MANUFACTURING: Moves Declaration of Dividend to June 11
---------------------------------------------------------------
Applied Manufacturing Pty Ltd, which is scheduled to declare the
first and final dividend on May 1, 2007, has moved the
declaration of dividend to June 11.

The company's deed administrator is:

          Stephen R. Dixon
          BDO Kendalls Business Recovery & Insolvency
          (Victoria) Pty Ltd
          Chartered Accountants
          The Rialto, Level 30
          525 Collins Street
          Melbourne, Victoria 3000
          Australia

                About Applied Manufacturing

Applied Manufacturing Pty Ltd is a distributor of sheet metal
work.  The company is located in Victoria, Australia.


ARROW ENERGY: Ties Up with LNG To Supply Gas
--------------------------------------------
The Directors of Arrow Energy N.L. disclosed that Arrow has
signed a Heads of Agreement with Liquefied Natural Gas
International Pty Ltd., supported by the world's largest
independent owner of LNG transportation, Golar LNG Limited, and
a high investment grade existing Japanese LNG buyer, to supply
gas to an LNG facility proposed to be located within the
Gladstone Port area and designed to produce approximately
1 million tonnes per annum of LNG with an option to expand to
2 mtpa.

It is proposed for Arrow to supply an estimated 55 PJ/year of
gas to the terminal for a period of 12 years, commencing in late
2010, with an option to supply a further 55 PJ/year, starting as
early as mid 2011, subject to the second LNG train being
developed.

Gas pricing details and mechanisms are still being finalized
(dependent on final site selection) with it proposed that gas be
supplied to the LNG facility at a base price and upside sharing
linked to oil price.

Arrow also has the option to aggregate the gas supply from
multiple sources (including joint venture parties) which,
importantly, will provide the impetus for development of Arrow's
Bowen Basin, Coastal Queensland and Pure Energy Resources
Limited joint venture coal seam gas holdings plus associated
major pipeline infrastructure.

LNGI is a wholly owned subsidiary of ASX listed company, LNG
Limited, which is 20% owned by Golar, the world's largest
independent owner of LNG shipping transportation with a project
portfolio, which fully covers LNG mid-stream activity -
liquefaction, shipping, trading and regasification.  Golar has
confirmed its "in principle " interest in investing in the
Gladstone LNG project; purchasing the LNG off-take in addition
to assisting with shipping solutions.

Discussions are currently underway with relevant authorities
regarding a likely facility location.

Commenting on the agreement Arrow Chief Executive Officer, Nick
Davies said, "This is the breakthrough we have been looking for
and planning towards over the last 15 months.  Our strategy has
been to seek a viable export project for our gas from the east
coast of Australia that would give us exposure to oil pricing
and to help us to break out of the low gas price environment in
the eastern Australian states caused by the wide availability of
coal.  The merger with CH4 Gas Limited, the investment and farm-
in to Pure Energy and the funding deal with EIG were all
designed to get us a critical mass of reserve certification
options aimed at supplying the Port of Gladstone so that we
could export gas as either LNG, CNG or GTL."

Arrow is in the final stages of planning its financial year 2008
exploration and appraisal programs that will target increasing
Arrow's net 2P reserves to 1500 PJ with a target for gross
uncontracted reserves that could access the Port of Gladstone,
of approximately 1100 PJ during the year.  That reserve level
would be more than adequate to meet the needs of the first LNG
train with any additional reserves required for the second LNG
train to be added in FY 2009.  The significant field development
that will follow on immediately from this reserve certification
program is also being assessed for implementation in the FY2009
and FY2010 years.

Financial close for the LNG terminal project is targeted for
September 2008 with a development timeline to enable first
deliveries of LNG in late 2010.

                        About LNG Ltd

Liquefied Natural Gas Limited is an ASX listed company that
brings a new concept to the international energy market.  It has
been formed to act as an energy link between discovered gas
reserves and existing, and potentially new, energy markets
identified by the Company.

                       About Arrow Energy

Arrow Energy NL -- http://www.arrowenergy.com.au/-- is an  
Australian company engaged in the undertaking of gas exploration
and development activities.  The Company is focused on coal seam
gas exploration and production in the Surat, Clarence-Moreton
and Ipswich Basins in southeast Queensland and northern New
South Wales and the Styx Basin and Nagoorin Graben in coastal
central Queensland.  Arrow Energy NL has been carrying out
exploration/appraisal drilling (over 50 wells) and has proven a
large CSG resource. The Company's projects include Kogan North,
Tipton West, Moranbah, Daandine, Dundee, Mt Lindesay, Silverdale
and Boyne River.

The Troubled Company Reporter - Asia Pacific, on March 28, 2007,
listed as distressed Arrow Energy's bond with a 10.000% coupon
and a March 31, 2008, maturity date.


COMPARE NOMINEES: Members & Creditors to Meet on June 29
--------------------------------------------------------
A final meeting will be held for the members and creditors of
Compare Nominees Pty Ltd on June 29, 2007, at 10:45 a.m.

The members and creditors will receive at the meeting a report
about the company's wind-up proceedings and property disposal.

The company's liquidators are:

          V. R. Dye
          N. Giasoumi
          Dye & Co. Pty Ltd
          165 Camberwell Road
          Hawthorn East 3123
          Australia

                   About Compare Nominees

Compare Nominees Pty Ltd, which is also trading as Thomastown
Betta Electrical, operates household appliance stores.  The
company is located in Victoria, Australia.


DELTA AIR: Discloses Promotion of Three Leaders
-----------------------------------------------
Delta Air Lines (NYSE:DAL) promoted three Delta leaders who were
integral to the company's ongoing transformation from a
domestically focused carrier to a truly global airline.

Robert Cortelyou is being promoted from vice president to senior
vice president - Network Planning.

Pam Elledge is being promoted from vice president to senior vice
president - Global Sales and Distribution.

Gail Grimmett is being promoted from vice president to senior
vice president - Revenue Management.

"Under their leadership, the company successfully implemented
one of the biggest network restructurings in airline history,
enabling Delta to significantly improve its revenue performance
against the industry," said Glen Hauenstein, executive vice
president - Network and Revenue Management.  "Our goal this year
is to completely close the remaining revenue gap with our
network competitors, and I'm confident that this team can
accomplish that."

As senior vice president - Network Planning, Bob Cortelyou will
continue to be responsible for network planning and worldwide
route development.  During his 22-month tenure at Delta, Mr.
Cortelyou and his team have introduced and implemented the
largest international expansion in the airline's history with
the launch of more than 60 new international routes.  Mr.
Cortelyou's efforts formed the cornerstone of the company's
network restructuring and Delta's return to leadership in the
industry.  Mr. Cortelyou is a 25-year airline veteran.

In her role as senior vice president - Global Sales and
Distribution, Ms. Elledge will continue to be responsible for
business growth efforts in all revenue channels and for leading
Delta's worldwide sales organization.  Last year her team opened
a record number of sales offices around the world to support
Delta's international expansion, including complex and emerging
markets in Eastern Europe, Asia and Africa.  Ms. Elledge, a 27-
year Delta veteran, has held various positions of increasing
responsibility within the sales organization.

As senior vice president - Revenue Management, Gail Grimmett
will continue to be responsible for pricing and inventory
management strategies for Delta's global network.  Under her
leadership, the revenue management team implemented an industry-
leading revenue management system and competitive pricing
strategies that accelerated Delta's emergence from Chapter 11 by
achieving its revenue targets more than a year ahead of
schedule.  During Ms. Grimmett's 12 years at Delta, she has held
various positions including managing director - Investor
Relations and chief economist - Corporate Forecasting and
Planning.

"These promotions underscore our commitment to building a
network that takes our customers to places where they most want
to visit and do business," said Lee Macenczak, executive vice
president - Sales and Marketing.  "This team will continue to be
critical in building the infrastructure needed to increase
Delta's global presence, including serving emerging markets like
Africa and Asia."

                        About Delta Air

Headquartered in Atlanta, Georgia, Delta Air Lines (NYSE:DAL)
-- http://www.delta.com/-- is the world's second-largest  
airline in terms of passengers carried and the leading U.S.
carrier across the Atlantic, offering daily flights to 502
destinations in 88 countries on Delta, Song, Delta Shuttle, the
Delta Connection carriers and its worldwide partners.  Delta
flies to Argentina, Australia and the United Kingdom, among
others.

                         *     *     *

As reported in the Troubled Company Reporter on May 2, 2007,
Standard & Poor's Ratings Services raised its ratings on Delta
Air Lines Inc. (B/Stable/--), including raising the corporate
credit rating to 'B', with a stable outlook, from 'D', following
the airline's emergence from Chapter 11 bankruptcy proceedings.


FENTINA PTY: Liquidators to Present Wind-Up Report on June 29
-------------------------------------------------------------
Fentina Pty. Ltd. will hold a meeting for its members and
creditors on June 29, 2007, at 11:00 a.m.

At the meeting, V. R. Dye and N. Giasoumi, the company's
liquidators, will give a report about the company's wind-up
proceedings and property disposal

The  Liquidators can be reached at:

          V. R. Dye
          N. Giasoumi
          Dye & Co. Pty Ltd
          165 Camberwell Road
          Hawthorn East 3123
          Australia

                    About Fentina Pty

Fentina Pty Ltd, which is also trading as Brownway Joinery, is
involved with carpentry work.  The company is located in
Victoria, Australia.


FOOT LOCKER: Ceases Acquisition Pursuit for Genesco
---------------------------------------------------
In light of Genesco Inc.'s rejection of its acquisition
proposal, Foot Locker Inc. disclosed that it was no longer
pursuing its proposal.

The company confirmed that it had made a proposal to Genesco
Inc. last Thursday to acquire all of the outstanding common
stock of Genesco for US$51 per share.  

In consultation with its financial advisor, Goldman Sachs & Co.,
the Board of Directors of Genesco considered the proposal and,
following a thorough review, unanimously rejected the proposal
having concluded that it was not in the best interests of
Genesco's shareholders.

The Board of Directors of Genesco invited Foot Locker to
participate in the company's process on the same terms as other
interested parties to date, but Foot Locker has declined to do
so.

                         About Genesco Inc.

Headquartered in Nashville, Tennessee, Genesco Inc. (NYSE:GCO)
-- http://www.genesco.com/-- retails branded footwear, licensed  
and branded headwear, and wholesaler of branded footwear.  Its
business segments include Journeys, Underground Station Group,
Hat World, Johnston & Murphy, and Licensed Brands.  The Journeys
segment consists of the Journeys and Journeys Kidz retail
footwear chains.  The Underground Station Group segment includes
the Underground Station and Jarman retail footwear chains.  The
Hat World segment includes the Hat World, Lids, Hat Zone, Cap
Connection and Head Quarters retail headwear chains.  The
Johnston & Murphy segment includes Johnston & Murphy retail
operations, and wholesale distribution.  The Licensed Brands
segment is engaged in the wholesale distribution of footwear
manufactured under the Dockers and Perry Ellis brands, under
licenses from Levi Strauss & Company and PEI, Inc.  As of June
9, 2006, it operated a total of 1,773 stores: 1,755 stores
throughout the United States and Puerto Rico, and 18 stores in
Canada.

                        About Foot Locker

Headquartered in New York City, Foot Locker, Inc. (NYSE: FL) --
http://www.footlocker-inc.com/-- retails athletic footwear and   
apparel.  The company operates approximately 3,900 athletic
retail stores in 17 countries in North America, The Netherlands
and Australia under the brand names Foot Locker, Footaction,
Lady Foot Locker, Kids Foot Locker, and Champs Sports.

The Company, through its subsidiaries, operates in two segments:
Athletic Stores and Direct-to-Customers.  The Athletic Stores
segment is an athletic footwear and apparel retailer, whose
formats include Foot Locker, Lady Foot Locker, Kids Foot Locker,
Champs Sports and Footaction.  The Direct-to-Customers segment
reflects Footlocker.com, Inc., which sells, through its
affiliates, including Eastbay, Inc., to customers through
catalogs and Internet Websites.  The Foot Locker brand is the
Company's principal brand.  In March of 2006, Foot Locker, Inc.
entered into a 10-year area development agreement with the
Alshaya Trading Co. W.L.L., in which the Company agreed to enter
into separate license agreements for the operation of a minimum
of 75-foot Locker stores.


FOOT LOCKER: S&P Retains Neg. Watch After Rejected Genesco Bid
--------------------------------------------------------------
Standard & Poor's Ratings Services said that its ratings on New
York City-based Foot Locker Inc., including its 'BB+' corporate
credit rating, remain on CreditWatch with negative implications
following the company's announcement that it launched a bid to
acquire Genesco Inc. (BB-/Watch Dev/--) for approximately
US$1.3 billion in cash.  Genesco has rejected the US$51.00 per
share proposal having concluded that it was not in the best
interests of its shareholders.
      
"Because Standard & Poor's expects that a significant portion of
any revised acquisition bid could be funded with debt, this
would result in deterioration in Foot Locker's credit metrics
and a likely downgrade," said Standard & Poor's credit analyst
David Kuntz.
     
At the same time, ratings for Genesco remain on CreditWatch with
developing implications, suggesting that a downgrade for Foot
Locker may be limited to two notches.  If a transaction is
subsequently completed, Genesco's rating would be the same as
Foot Locker's.  S&P will continue to monitor the ratings as
additional information becomes available.

Headquartered in New York City, Foot Locker, Inc. (NYSE: FL) --
http://www.footlocker-inc.com/-- retails athletic footwear and   
apparel.  The company operates approximately 3,900 athletic
retail stores in 17 countries in North America, The Netherlands
and Australia under the brand names Foot Locker, Footaction,
Lady Foot Locker, Kids Foot Locker, and Champs Sports.


HOVE NOMINEES: Members & Creditors to Meet on June 29
-----------------------------------------------------
The members and creditors of Hove Nominees Pty Ltd will meet on
June 29, 2007, at 11:30 a.m. to receive the liquidator's report
about the company's wind-up proceedings and property disposal.

The company's liquidators are:

          V. R. Dye
          N. Giasoumi
          Dye & Co. Pty Ltd
          165 Camberwell Road
          Hawthorn East 3123
          Australia

                    About Hove Nominees

Hove Nominees Pty Ltd is a manufacturer of wood kitchen
cabinets.  The company is located in Victoria, Australia.


LIFESTYLE CLASSICS: Members Resolve to Close Business
-----------------------------------------------------
During a general meeting held on May 21, 2007, the members of
Lifestyle Classics Pty Ltd resolved to liquidate the company's
business and appointed  Samuel Richwol as liquidator.

The Liquidator can be reached at:

          Samuel Richwol
          O'Keeffe Walton Richwol
          431 Burke Road, Glen Iris 3146
          Australia
          Telephone:(03)9822 9823

                  About Lifestyle Classics

Lifestyle Classics Pty Ltd is a distributor of furniture.  The
company is located in Victoria, Australia.


PLAZA INTERIORS: To Declare First Dividend on June 21
-----------------------------------------------------
Plaza Interiors (Victoria) Pty Ltd will declare a first dividend
on June 21, 2007.

Creditors are required to file their proofs of debt by June 19,
2007, to be included in the company's dividend distribution.

The company's deed administrator is:

          H. A. MacKinnon
          Bent & Cougle Pty Ltd
          Chartered Accountants
          332 St Kilda Road, Level 5
          Melbourne, Victoria 3004
          Australia


POWERLINK GLOBAL: Creditors Agree on Liquidation
------------------------------------------------
On May 14, 2007, the members of Powerlink Global Pty Ltd had a
meeting and agreed to liquidate the company's business.

James Patrick Downey was appointed as liquidator.

The Liquidator can be reached at:

          James Patrick Downey
          Chartered Accountants
          J P Downey & Co
          22 William Street, Level 1
          Melbourne, Victoria 3000
          Australia


PRIMELIFE CORP: To Restructure with Babcock & Brown Group
---------------------------------------------------------
Primelife Corporation Limited and Babcock & Brown disclosed on
May 30, 2007, that they have executed an implementation
agreement for the restructuring of Primelife to create Babcock &
Brown Communities Group.

BBC is expected to be the largest Australian Securities Exchange
listed vehicle with a pure exposure to the ownership, operation
and development of Australian and New Zealand senior living
communities, with approximately AU$1.8 billion in total assets.

Under the restructure proposal which is subject to shareholder
approval, Primelife will:

    * Acquire the balance of 74.7% of PrimeLiving Trust and  
      Babcock & Brown's 55% interest in the development joint   
      venture;

    * Enter into a management agreement with Babcock & Brown and
      rename itself to Babcock & Brown Communities Limited;
    
    * Re-organise its capital structure into a stapled security
      to be known as BBC;
    
    * Conduct a major capital raising of a minimum of AU$300  
      million; and
    
    * Acquire the assets of the WA based Fini Villages.

                       Capital Rising

The minimum amount of the capital raising of AU$300m has been
fully underwritten at a fixed price of AU$1.15 per security by
the Joint Lead Managers (ABN AMRO Rothschild, JPMorgan Australia
Limited and Macquarie Equity Capital Markets Limited) and Co-
Lead Managers (CommSec and Tricom).  There will also be a
discounted priority offer of at least AU$50 million to existing
Primelife shareholders, PLFGA Noteholders, BBC staff and
retirement village residents at AU$1.10 per security.

The directors of Primelife have unanimously recommended that
Primelife shareholders support the restructure proposal in the
absence of a superior proposal.  Primelife board members intend
to vote in favour of the restructure proposal in respect of
their own holdings of Primelife shares.

Upon completion of the restructure proposal (including the
acquisition of the Fini Portfolio), BBC will comprise 61 senior
living communities (44 retirement villages and 17 aged care
facilities) across all the Australian mainland states and New
Zealand, with over 6,200 retirement village units and 941 aged
care beds, providing lifestyle and care solutions to over 8,300
residents.

Along with a diversified portfolio of mature assets, BBC will
have a substantial identified development pipeline with land
bank for over 2,000 retirement village units across 18 sites and
171 aged care beds to be developed largely over the next 6
years.  BBC's target is to deliver and sell approximately 300
new ILUs per annum over the long term, initially from its
existing development pipeline and over time through newly
identified development opportunities.
Expected Shareholding

Assuming a minimum AU$300 million capital raising and
subscriptions by Primelife shareholders for AU$50 million under
the priority offer, on completion of the Restructure Proposal,
BBC's expected shareholding will be:

    * Current Primelife shareholders - 38%;
    * Babcock & Brown - 10%;
    * New BBCG stapled securities holders - 48%; and
    * MFS - 4%.

Babcock & Brown and MFS will enter into voluntary escrow
agreements for their BBC stapled securities for 12 months and 6
months respectively.

Full details of the restructure proposal (including an
Independent Expert's Report) is expected to be provided in an
Explanatory Memorandum to Primelife shareholders in June. A
shareholder meeting and a scheme meeting will be held in July
where Primelife shareholders will vote on the restructure
proposal.

                       About Primelife

Headquartered in Melbourne, Australia, Primelife Corporation --
http://www.primelife.com.au/-- develops and manages properties   
catering to a wide range of senior living needs, including
independent retirement living, serviced apartments, aged care or
low care hostels and high care nursing homes, and in-home care.

Primelife almost skidded into insolvency when, on September 23,
2004, the Australian Securities and Investments Commission filed
37 proceedings in the Federal Court of Australia seeking, among
other things, orders that an investigating accountant be
appointed over managed investment schemes under Primelife to
report to the Federal Court to ascertain the position of each of
the schemes.  The ASIC also applied for the schemes to be wound
up.

The ASIC alleged that the schemes are not registered, as
required under the Corporations Act.  The ASIC brought the
Federal Court proceedings against Primelife and a number of
other defendants including parties who, the ASIC alleges, have
been involved in promoting and managing the schemes to a large
number of investors since 1997.

The unregistered schemes are undergoing or were completely wound
up starting October 2005.  The Company had currently resolved
most of the legal issues and was turning the corner after a
couple of years.

The Troubled Company Reporter - Asia Pacific's Distressed Bonds
Column on Mar. 13, 2007, showed that Primelife Corporation's
bond, with a coupon of 10.000% and maturity date of Jan. 31,
2008, trades at 1.02% of its face value.


RICK VIRTUE: To Declare Dividend on June 22
-------------------------------------------
Rick Virtue Builders Pty Ltd, which is in liquidation, will
declare a first dividend on June 22, 2007.

Creditors who cannot file their proofs of debt by June 8, 2007,
are excluded from sharing in the company's dividend
distribution.

The company's liquidator is:

          J. P. Downey
          J. P. Downey & Co
          Chartered Accountants
          22 William Street, Level 1
          Melbourne, Victoria 3000
          Australia
          Telephone:(03) 9642 2811


SYMBION HEALTH: Ratings and Loans Remain at S&P's CreditWatch
-------------------------------------------------------------
Standard & Poor's Ratings Services said that its 'BBB-' credit
ratings on Symbion Health Ltd. and Symbion's associated bank
loans remain on CreditWatch with negative implications, where
they were initially placed on May 1, 2007.

The CreditWatch update follows today's announcement detailing
the takeover proposal for Symbion from Healthscope Ltd.  The
board of Symbion has unanimously supported the Healthscope
proposal in the absence of any superior offer.  Completion of
the acquisition is subject to regulatory and court approvals.  
As noted when the ratings were initially placed on CreditWatch,
progression of this takeover would trigger change-of-control
provisions on Symbion's existing outstanding debt (including
its AU$650 million term debt facility and an AU$30 million 364-
day facility), which is therefore likely to result in this debt
being repaid.  Refinancing of this debt is expected to be funded
by Healthscope.

The acquisition of Symbion will positively affect the business
risk profile of Healthscope following the addition of Symbion's
diagnostic business.  In addition, Healthscope's plan to sell
Symbion's Pharmacy Services and Consumer businesses to private-
equity buyers, together with the share component of the offer, a
cap on the cash component, and the anticipated cost synergies,
temper the financial impact of the transaction on Healthscope's
credit profile.
  
                       About Symbion Health

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

On Jan. 30, 2007, Moody's Investors Service placed the Ba1
issuer rating of Symbion Health Limited on review for possible
downgrade after the company's announcement that it has received
an ownership proposal from Primary Health Care Limited


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

AGRICULTURAL BANK: Needs Up to Five Years to Implement Reform
-------------------------------------------------------------
The Agricultural Bank of China will need up to five years to
modernize its systems and conform to modern standards of
financial reporting, Reuters relates, citing a report from the
China Securities Journal.

"We plan to use three to five years to build up the requirements
suitable for a modern bank," the bank was quoted by the news
agency as saying in Securities Journal .

AgBank also said that it had made progress on trimming its bad
loan ratio, which had fallen by 2.74 percentage points to 23.43%
by the end of last year, the paper notes, adding that an
official with the bank had said previously that the ratio had
dipped to 23.6% and that AgBank's eventual aim was to slash it
to less than 5%.

As reported by the Troubled Company Reporter - Asia Pacific on
Jan. 23, 2007, the bank's shareholding reform has been decided
at the China's Third National Financial Work Conference early
this year and that the reform plan is estimated to cost around
US$100 billion.

In addition, the TCR-AP, on Feb. 2, 2007, also reported that the
bank may get additional capital injection from the government as
it moves toward public listing.  The actual figure of the
capital injection, according to the TCR-AP, will depend on the
result of the National Audit Office's accounting report.

                          *     *      *

The Agricultural Bank of China -- http://www.abocn.com/-- is  
the mainland's fourth largest bank.  It has lagged behind other
major Chinese commercial banks, which have received government
injections of new capital and been allowed to link up with
foreign partners in preparation for raising money on foreign
stock exchanges.

Despite posting operating profits of over CNY42.4 billion in
2005, the Bank is still carrying billions of dollars in unpaid
loans to state companies, which it says accounted for 26% of its
lending at the end of last year.

The Troubled Company Reporter - Asia Pacific reported on June
27, 2006, that the National Audit Office found accounting
irregularities involving CNY51.6 billion -- CNY14.27 billion of
which come from deposit business, CNY27.62 billion from loan
grants, and CNY9.72 billion from fraudulent bill issuance.

The bank carries Fitch Ratings' Individual strength rating of
'E'.

On May 4, 2007, Moody's Rating Agency implemented its new BFSR
methodologies and affirmed Agricultural Bank of China's Bank
Financial Strength Rating at E.


AGRICULTURAL BANK: 2006 Profit Soars on Increased Loan Demands
--------------------------------------------------------------
The Agricultural Bank of China's fiscal 2006 profit jumped more
than fivefold, as an expanding economy boosted loan demand and
fee income.  The bank's net income rose to CNY5.8 billion or
US$758 million from CNY1.04 billion yuan in 2005, Shanghai Daily
reports, citing the bank's annual report.

In addition, the bank recorded an increase in savings by CNY694
billion last year, or 17%, making it the largest deposit-taking
institution in China, the Daily notes.  Loans, mostly to the
country's 800 million farmers, grew 11% to CNY3.1 trillion,
faster than Industrial & Commercial Bank of China Ltd and Bank
of China Ltd, according to Bloomberg.  The bank's bad loan ratio
fell 2.74 percentage points last year to 24.43%.

Agricultural Bank's net interest income rose by 65% to CNY72
billion while fee-based income from services such as selling
insurance and mutual funds gained 45% to CNY13.9 billion.

The improved results, according to Shanghai Daily, could help
Agricultural Bank, burdened with US$99 billion of bad loans, as
it seeks a government bailout to prepare it for an initial
public offering.

                          *     *      *

The Agricultural Bank of China -- http://www.abocn.com/-- is  
the mainland's fourth largest bank.  It has lagged behind other
major Chinese commercial banks, which have received government
injections of new capital and been allowed to link up with
foreign partners in preparation for raising money on foreign
stock exchanges.

Despite posting operating profits of over CNY42.4 billion in
2005, the Bank is still carrying billions of dollars in unpaid
loans to state companies, which it says accounted for 26% of its
lending at the end of last year.

The Troubled Company Reporter - Asia Pacific reported on June
27, 2006, that the National Audit Office found accounting
irregularities involving CNY51.6 billion -- CNY14.27 billion of
which come from deposit business, CNY27.62 billion from loan
grants, and CNY9.72 billion from fraudulent bill issuance.

The bank carries Fitch Ratings' Individual strength rating of
'E'.

On May 4, 2007, Moody's Rating Agency implemented its new BFSR
methodologies and affirmed Agricultural Bank of China's Bank
Financial Strength Rating at E.


BANKERS TRUST: Liquidators Quit Posts
-------------------------------------
Lai Kar Yan (Derek) and Darach Haughey quit as liquidators of
Bankers Trust Securities (Pacific) Limited on May 23, 2007.

The former Liquidators can be reached at:

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


BANK OF HUALIEN: Chinatrust Wins Bid for EBH
--------------------------------------------
Chinatrust Financial, Taiwan's largest credit card issuer, won
an auction for Enterprise Bank of Hualien,  outbidding four
others and accepted US$135 billion or NT$4.49 billion from the
government in exchange for taking over the lender, Lawrence Pan,
vice president for the government-owned Central Deposit
Insurance Corp., told Reuters.

"The successful bidding points to a positive direction for the
industry.  Unhealthy banks are getting out of the market, while
good ones get bigger," Mr. Pan, whose office oversaw the
auction, indicated.

Mr. Pan declined to identify other bidders, however, according
to the news agency, local media had reported that ABN AMRO, HSBC
along with the banking unit of Taiwan's top financial holding
firm, Cathay Financial, and unlisted Shanghai Commercial &
Savings Bank, showed interest in bidding.

Enterprise Bank, according to China Post, is among the several
failed banks that the government seeks to auction off.  These
include Taitung Business Bank, the Chinese Bank, and China
United Trust & Investment Corp.  The auction came as Taiwanese
consumer lenders are seeking to increase their fee income, after
surging defaults on credit card loans from 2005 to 2006 hurt
profits.  As of end November 2006, Enterprise Bank had NT$7.8
billion more debt than assets.

The Troubled Company Reporter - Asia Pacific on Jan. 10, 2007,
reported that a task force from Central Deposit Insurance, under
the instruction of the Financial Supervisory Commission, took
full control of the bank on Jan. 5, 2007.  The regulator acted
because of rising concerns about Hualien
Bank's financial profile, particularly its capitalization, which
has deteriorated significantly over the past 15 months due to
rapid growth in the level of its impaired assets.  The bank's
net worth turned negative in the third quarter of 2005 and
declined to negative NT$2.7 billion at the end of November 2006.

The takeover will increase Chinatrust's branches islandwide to
142, Faith Hung of Reuters relates.

"We made the bid in the interest of obtaining Enterprise Bank's
31 branches to improve our wealth management performance," a
Chinatrust official told the Post, adding "In Q1, our revenue in
wealth management service fee increased 8.5% from the same
period last year and 42.2%from Q4 last year.  Adding more
branches to our bank will help us obtain more wealth management
customers."

Based in Hualien, Taiwan, Enterprise Bank of Hualien operates 31
branches accross the island.  

On January 9, 2007, Taiwan Ratings Corp revised its long-term
credit rating on Enterprise Bank of Hualien to 'twR' from 'twBB'
after a task force from Central Deposit Insurance Corp., under
the instruction of the Financial Supervisory Commission, took
full control of the bank on Jan. 5, 2007.  

The 'twR' rating reflects the extension of regulatory
supervision due to Hualien Bank's failure to execute a
recapitalization plan designed to meet the minimum requirement
for regulatory capital.

The regulator acted because of rising concerns about Hualien
Bank's financial profile, particularly its capitalization, which
has deteriorated significantly over the past 15 months due to
rapid growth in the level of its impaired assets.  The bank's
net worth turned negative in the third quarter of 2005 and
declined to negative NT$2.7 billion at the end of November 2006.

Its official BIS ratio stood at negative 17.7% at the end of
November 2006, well below the regulatory minimum requirement of
8%.  The situation would be far more serious if potential credit
costs were also taken into consideration.


BANK OF HUALIEN: TRC Withdraws twB Rating After Cititrust Buys
--------------------------------------------------------------
Taiwan Ratings Corp. withdrew its 'twB-' long-term counterparty
credit rating on Enterprise Bank of Hualien following the
government's announcement that it successfully completed an
auction of the bank's assets and liabilities on May 31, 2007.

Taiwan Ratings expects the winning bidder, Chinatrust Commercial
Bank, to absorb the majority of Hualien Bank's liabilities after
the completion of the settlement and the remaining obligations
carried on the bank's accounting book will become negligible.

Based in Hualien, Taiwan, Enterprise Bank of Hualien operates 31
branches accross the island.


BT BROKERAGE: Lai Yan & Darach Haughey Quit Liquidator Posts
------------------------------------------------------------
On May 23, 2007, Lai Kar Yan (Derek) and Darach Haughey quit as
liquidators of BT Brokerage Nominees Limited.

The former Liquidators can be reached at:

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


CHINA EASTERN: Board Approves Revised Share Issuance Plan
---------------------------------------------------------
The board of China Eastern Airlines Corp Ltd has approved a
revised plan for the issue of new shares that will allow
Singapore Airlines Ltd and Singapore government-linked
investment firm, Temasek Holdings, to become strategic
investors, XFN-Asia News relates, citing a report from the
official Caijing Magazine.

According to the report, an unindentified source told Caijing
that the revised plan is for China Eastern Airlines to issue
2.985 bln new H-shares to its parent, Eastern Airlines Group,
SIA and Temasek at HK$3.80 each.  Singapore Air will pay HK$4.7
billion for 1.24 billion new shares, and Eastern Airlines Group
HK$4.18 billion and TemasekHK$ 640 million for the rest.

The revised shareholding plan will give Singapore Air 15.8% of
China Eastern Airlines and Temasek 8.2%, and leave Eastern
Airlines Group with 51%, the report notes.

The Troubled Company Reporter - Asia Pacific on May 24, 2007,
Singapore Airlines is set amd close to finalizing the details
regarding its acquisition of a 24% stake for HK$15.8 billion in
the Chinese airline.

Caijing quoted its source as saying that the board of Eastern
Airlines Group has approved the revised plan and that the
regulators have given their initial approval, but that the plan
is awaiting final approval by the state-owned assets regulator
and the securities regulator, XFN says.


Headquartered in Shanghai, China, China Eastern Airlines
Corporation Limited's -- http://www.ce-air.com/-- principal  
activity is operation of domestic and international commercial
air transportation.  The Group also is involved in the common
aircraft industry. Other activities include general aviation,
air catering, advertisement, import and export, equipment
manufacturing, real estate, hotel business, finance and
training.  The fleet includes more than 60 large and medium size
airplanes, Airbus and Boeing mostly.  Its operation centering
from Shanghai to the whole People's Republic of China and
linking to Asia, Europe, America and Australia.

On April 28, 2006, Fitch Ratings downgraded China Eastern's
Foreign Currency and Local Currency Issuer Default Ratings to B+
from BB-.  The outlook on the IDRs is stable.


DONG SHAN: Wind-Up Petition Hearing Set for July 18
---------------------------------------------------
A petition to wind up the operations of Dong Shan Lamb
Restaurant Company Limited will be heard before the High Court
of Hong Kong on July 18, 2007, at 9:30 a.m.

The petition was filed by Yu Chi Wah on May 14, 2007.


KONSGREAT LIMITED: Muk & Middleton Quit as Liquidators
------------------------------------------------------
Jacky CW Muk and Edward Middleton quit as liquidators of
Konsgreat Limited on May 23, 2007.

The former Liquidators can be reached at:

          Jacky CW Muk
          Edward Middleton
          KPMG
          8th Floor, Prince's Building
          10 Chater Road
          Central, Hong Kong


METZLER INTERNATIONAL: Proofs of Debt Due by June 18
----------------------------------------------------
Metzler International (Asia) Limited, which is in liquidation,
requires its creditors to file their proofs of debt by June 18,
2007.

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

The Liquidators can be reached at:

          Roderick John Sutton
          Desmond Chung Seng Chiong
          c/o Ferrier Hodgson Limited
          Hong Kong Club Building, 14th Floor
          3A Chater Road
          Central, Hong Kong


SUNDAY ENTERPRISES: Liquidators Resign from Posts
-------------------------------------------------
On May 23, 2007, Jacky CW Muk and Edward Middeleton resigned
from their posts as liquidators of Konsgreat Limited.

The former Liquidators can be reached at:

          Jacky CW Muk
          Edward Middleton
          KPMG
          8th Floor, Prince's Building
          10 Chater Road
          Central, Hong Kong


SUN PROUD: Liquidator Quits Post
--------------------------------
On May 22, 2007, Chang Tai resigned to be the liquidator of Sun
Proud Enterprises Limited.

The former Liquidator can be reached at:

          Chang Tai
          Flat A, Block 7, 21st Floor
          King's Villa Park
          1 King Parkrise
          Hong Kong


TOP ASIA: Shareholders Resolve to Close Business
------------------------------------------------
The shareholders of Top Asia Garment Limited met on May 28,
2007, and resolved to close the company's business.

Creditors who were able to file their proofs of debt by
July 3, 2007, will be included in the company's dividend
distribution.

The company's liquidators are:

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


TOWA CONCRETE: Contributories & Creditors to Meet on June 12
------------------------------------------------------------
The contributories and creditors of Towa Concrete Limited will
have a separate meeting on June 12, 2007, at 3:00 p.m. and 3:30
p.m., respectively.

The meeting will be held in the office of Baker Tilly Hong Kong
on Unit 1203-13 , 12th Floor of China Merchants Tower, Shun Tak
Centre at 168-200 Connaught Road, Central, Hong Kong.


UNCIA LIMITED: Taps Liu Yuk Ming Stephen as Liquidator
------------------------------------------------------
Liu Yuk Ming was appointed as liquidator of Uncia Limited on May
31, 2007.

The Liquidator can be reached at:

          Liu Yuk Ming
          Progress Commercial Building, Room 2407
          7-17 Irving Street, Causeway Bay
          Hong Kong


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

CANARA BANK: Bids for Government's Pension Business
---------------------------------------------------
Canara Bank, along with six other firms, has put up a bid to run  
India's new pension fund, Reuters reports citing the
government's Pension Fund Regulatory and Development Authority
as source.  The six other companies are State Bank of India,
Punjab National Bank, Life Insurance Corp., UTI Asset Management
Co., IDBI Capoital and Securities Trading Corp. of India.

On May 11, 2007, the PFRDA invited applications from state-run
firms to manage the new pension fund, which is estimated at
INR16-17 billion (US$394-419 million) for about 500,000
government staff recruited since January 2004, Reuters relates.

"Two or three firms will be finally selected," the news agency
quotes PFRDA Chairman D. Swarup as saying.  The selection
process is expected to be completed by July 20.

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.

In April 2007, Moody's Investors Service revised Canara's bank
financial strength rating to D+ from D as part of its
application of its refined joint default analysis and updated
BFSR methodologies.  Moody's maintains the bank's foreign
currency deposit rating of Ba2.  

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


CENTURION BANK: Board OKs Issuance of 10 Cr. Stock Options
----------------------------------------------------------
Centurion Bank of Punjab Ltd's board of directors has approved a
scheme for issue of up to 10 crore additional stock options to
the bank's employees, a filing with the Bombay Stock Exchange
reveals.  The proposed issuance will be pursuant to the Employee
Stock Option Plan 2007 framed as per the Securities & Exchange
Board of India (ESOS) & (ESPS) Guidelines, 1999.

The Scheme will be put to the shareholders' approval by means of
a special resolution.

At a separate BSE filing the bank disclosed that at the
Compensation Committee of its board on May 25, 2007, it has
allotted 4,79,668 equity shares of face value of INR1 each
aggregating to INR81,13,253 pursuant to 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 gave the bank an individual
rating of 'D'.


DECCAN AVIATION: To Sell 26% Stake to UB Group for INR5.5BB
-----------------------------------------------------------
Deccan Aviation plans to sell 26% of the company for around
INR5.5 billion to United Breweries Group, various reports say.

Deccan Aviation's board of directors, at its meeting on May 31,
2007, has approved in principle the preferential issue of up to
35,222,231 of the company's equity shares of INR10 each to
members of the United Breweries Group, a filing with the Bombay
Stock Exchange reveals.  The shares, which will be 26% of post
issue capital, will be issued at a price of INR155 per share.

As approved by the board, the term sheet for the issuance
provides that:

1. Members of the United Breweries Group will pay no later than
   May 31, 2007, a sum of INR150 crore into the company as an
   advance which would be used as share application money
   towards allotment of 96,77,419 fully paid up equity shares at
   a price of INR155 per share subject to and upon approval of
   the shareholders.

2. In addition members of the United Breweries Group will
   further pay an amount of INR3,959,445,738 to the company as
   share application for the 25,544,811 equity shares no later
   than June 29, 2007.

3. There would also be a separate Shareholders Agreement among
   the UB Group investors, the promoters and the company.

4. All the rights and covenants of the existing investors namely
   ICICI Ventures and Capital International will cease to exist
   upon executing the Shareholders Agreement.

The proposed preferential transfer is still subject to the
approval of the shareholders, among others.  According to the
company, the promoters have agreed to vote in favor of the
shareholder resolution.  However, if the relevant approvals are
not received the advance will be immediately refunded.

The UB Group would make an open offer for 20 percent more in
Deccan at 155 rupees a share, Reuters cites UB Group Chief
Financial Officer and President Ravi Nedungadi as saying at a
CNBC-TV18 interview.  

UB Group is required under Indian takeover rules to make the 20%
additional offer, Bruce Stanley and Eric Bellman of The Wall
Street Journal, says, adding that the potential value of the
deal could come to more than US$200 million.

G. R. Gopinath reportedly would continue as chairman of the
airline.

Bangalore, India-based Deccan Aviation Limited --
http://www.deccanair.com/-- is a charter aviation company in   
the private sector.  Deccan Aviation provides company charters,
tourism, medical evacuation, off-shore logistics and a host of
other services.

The Troubled Company Reporter - Asia Pacific reported on
June 1, 2007, that Deccan Aviation has a stockholder's equity
deficit of US$2.83 million.


DENA BANK: To Increase Customers by 4 Million in FY2007
-------------------------------------------------------
Dena Bank is planning to increase its customer base by 4,000,000  
this financial year, the Business Standard reports, citing Bank
Chairman and Managing Director P. L. Gairola.  Currently, the
bank has around 9,000,000 clients.

To arrive at the goal, the bank's action plan includes improving  
service and asking current customers to bring in potential
clients, BS says.  The bank reportedly plans to also add 180
automated teller machines to its existing 270, and, subject to
the approval of the Reserve Bank of India, increase by 50 its
number of branches.

The Troubled Company Reporter - Asia Pacific, on May 18, 2007,
cited a report by the Business Standard as stating that talks of
a proposed merger between Dena and Canara Bank are at an
advanced stage.

Headquartered in Mumbai, Dena Bank -- http://www.denabank.com/      
-- is principally engaged in the provision of a range of
financial and banking solutions.  It offers both retail banking
and corporate banking services.

On March 16, 2007, Fitch affirmed the bank's 'D/E' Individual
Rating and '4' Support Rating.


GENERAL MOTORS: To Invest US$44 Million in Bedford Foundry
----------------------------------------------------------
General Motors Corp. will invest US$44 million in its Bedford
Foundry to produce transmission cases and converter housings for
GM's growing family of fuel-efficient, six-speed transmissions.  
The project will retain about 100 production jobs at the
facility.

The investment includes plant renovation and installation of new
die casting machines with an automated (robotic) casting
processing cell for each machine.  Construction and equipment
orders will begin immediately, with machine installation
beginning in June 2008.  Full production targeted for December
2009.

The US$44 million investment disclosed brings GM's total
investments in the past year for the Bedford facility to
US$114 million.

"These investments would not be possible without the involvement
of employees at this facility, who have dedicated themselves to
improving the quality of our products and the efficiency of the
operations here at the Bedford Foundry," Arvin Jones, GM
Powertrain manufacturing manager for castings and components,
said.  "Their efforts have contributed to GM's competitiveness
and our transformation in North America."

The GM Powertrain Bedford plant management, UAW Local 440 and
IBEW Local 16 leadership successfully negotiated competitive
operating agreements that improve operational effectiveness.  
The agreements also address processes and methods to improve
safety of the operations and production quality.

Mr. Jones thanked members of UAW Local 440 and IBEW Local 16 as
well as Indiana's leaders on the state and local levels --
working together they were able to build a competitive business
case to support this investment in Indiana.

"GM continues to make a significant commitment to Indiana,"
Indiana Lt. Governor Skillman said.  "I commend them for
choosing to invest in our state.  This is good news for Hoosier
workers and a testament to the great value of our highly skilled
workforce and competitive business climate."

High pressure die casting is the most economical process for
casting high-volume powertrain components.  The process works by
injecting molten aluminum into a water-cooled steel die with
high pressure exerted by a metal plunger during solidification.

"The investment marks an exciting new chapter in this plant's
64-year history of producing high quality castings and
components for GM engines and transmissions," John Lancaster,
Bedford plant manager, said.  "The credit goes to our employees
who've established a culture of continuous improvement that
helps secure our future in today's competitive global market."

GM's Powertrain Bedford Foundry is an aluminum melting, die
casting and permanent mold facility that has been a proud part
of the Bedford community since 1943.  The plant currently
employs 544 hourly and 115 salaried workers and has an annual
payroll of approximately US$58 million.  Castings produced at
the plant include: transmission cases and converter housings for
GM's four-speed and six-speed transmissions; pistons for the
Vortec 4.8-liter and 5.3-liter V-8 engines that power GM's full-
size SUVs and pickups marketed under the Chevrolet Tahoe and
Silverado and GMC Yukon and Sierra brands; and engine blocks for
GM's Northstar 4.6-liter V-8 engines that power the Cadillac
DTS, XLR and STS luxury cars.  On a daily average, the plant
manufactures 10,000 transmission cases and converter housings,
34,000 pistons and 350 engine blocks.

Headquartered in Detroit, GM General Motors Corp. (NYSE: GM) --
http://www.gm.com/-- was  founded in 1908, GM employs about  
280,000 people around the world.  With global manufactures its
cars and trucks in 33 countries.  In 2006, nearly 9.1 million GM
cars and trucks were sold globally under the following brands:
Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER,
Opel, Pontiac, Saab, Saturn and Vauxhall.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security
and information services.

General Motors has Asia-Pacific operations in India, China,
Indonesia, Japan, the Philippines, among others. I t has
locations in European countries including Belgium, Austria, and
France.  In Latin-America, the company maintains locations in
Argentina, Brazil, Chile, Colombia, Ecuador, Venezuela, Paraguay
and Uruguay.

                          *     *     *

As reported in the Troubled Company Reporter on May 28, 2007,
Standard & Poor's Ratings Services placed General Motors Corp.'s
corporate credit rating at B/Negative/B-3.

At the same time, Moody's Investors Service affirmed GM's B3
Corporate Family Rating and B3 Probability of Default Rating,
and
maintained its SGL-3 Speculative Grade Liquidity Rating.  The
rating outlook remains negative.


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

ANEKA TAMBANG: Shareholders Approve 5-for-1 Stock Split
-------------------------------------------------------
The Troubled Company Reporter - Asia Pacific reported on
April 9, 2007, that PT Aneka Tambang Tbk plans to undergo a
five-for-one stock split in an effort to boost liquidity and
market capitalisation.

In an update, Reuters cites Antam President Director Dedi Aditya
Sumanagara as saying that the company's shareholders have
already approved the stock split in a meeting on May 30.

Mr. Sumanagara told reporters that Antam will then seek the
approval of relevant authorities, which may take the company up
to two months.

According to Reuters, Mr. Sumanagara said that the shareholders
also approved a plan to pay 40% of the company's IDR1.55
trillion net profit in 2006 as dividend.  The report recalls
that last year, Antam paid a cash dividend of IDR286.3 billion,
or 34% of Antam's net profit.

                       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: On Track to Post Profit in 2007
-------------------------------------------------
National flag carrier PT Garuda Indonesia is poised to end three
years of consecutive losses and post a profit in 2007, The
Jakarta Post says.  This after Garuda booked IDR121 billion
(US$14 million) in the first four months of the year.

The Post relates that Garuda spokesman Pujobroto attributed the
January-April profit mostly to an increase in the airline's load
factor and number of passengers from the same period in 2006.

The Post recounts that Garuda's load factor rose 7% from 69%,
while the number of passengers rose by 5% from 2.684 million in
the January-April period last year.

Mr. Pujobroto said that the first four months of the year are
considered as the "low season" and, therefore, the carrier
expects an even better performance for the rest of 2007.

Garuda incurred losses totalling IDR298.3 billion in 2006 and
IDR688.5 billion in 2005.

                     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.


TELKOM INDONESIA: Shares Rise on Buyback Announcement
-----------------------------------------------------
PT Telekomunikasi Indonesia Tbk shares opened 1.05% higher on
May 31 after the company announced plans to buy back shares,
Reuters reports.

As reported in the Troubled Company Reporter - Asia Pacific on
June 4, 2007, Telkom plans to allocate up to IDR3.2 trillion to
buy back a maximum of 1.58% of its shares.  Specifically, Telkom
intends to buy 319,488,818 shares that would translate to a
price of IDR10,016 per share.

The TCR-AP noted that this is the second share buyback for the
company.  The plan is subject to shareholder's approval at a
meeting on June 29, according to the report.

                      About Telkom Indonesia

Based in Bandung, Indonesia, 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 rating.


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

GK L-JAC4: S&P Rates JPY4 Billion Bonds at BB
---------------------------------------------
Standard & Poor's Ratings Services assigned its ratings to G.K.
L-JAC4 Funding's JPY78.7 billion floating-rate bonds, classes A-
1 to G-3, and to its class X-1 and X-2 trust certificates.
     
The bonds are secured by five nonrecourse loans, which were
originated by New Century Finance Co. Ltd., to three sponsors.  
The nonrecourse loans are backed by 34 real estate properties.  
The arranger for this transaction is Lehman Brothers Japan Inc.,
and the servicer is Premier Asset Management Co.
     
Standard & Poor's ratings address the full and timely payment of
interest and the ultimate repayment of principal by the
transaction's legal final maturity date in May 2015 for the
class A-1 to G-3 bonds, and the timely payment of available
interest for the interest-only class X-1 and X-2 certificates.
     
The ratings are based on:

  -- The quality of the nonrecourse loans that ultimately
     secure the bonds;

  -- The quality of the real estate properties that ultimately       
     secure the nonrecourse loans;

  -- Ample credit support provided by the senior/subordinate
     structure of the bonds;

  -- Ample liquidity support provided by an advancing agent; and

  -- The sound nature of the transaction's legal structure.

                     Ratings Assigned

Class   Rating   Amount        Coupon Type     O/C Ratio
-----   ------   ------        -----------     ----------
  A-1     AAA    JPY20.5 bil.   Floating Rate      39.7%
  B-1     AA      JPY3.8 bil.   Floating Rate      28.5%
  C-1     A       JPY3.3 bil.   Floating Rate      18.8%
  A-2     AAA    JPY25.0 bil.   Floating Rate      44.1%
  B-2     AA      JPY5.2 bil.   Floating Rate      32.4%
  C-2     A       JPY4.8 bil.   Floating Rate      21.7%
  D-1     BBB     JPY3.7 bil.   Floating Rate      7.9%
  E-1     BBB-    JPY1.2 bil.   Floating Rate      4.4%
  F-1     BB+     JPY1.0 bil.   Floating Rate      1.5%
  G-1     BB      JPY0.5 bil.   Floating Rate      0.0%
  D-2     BBB     JPY1.9 bil.   Floating Rate      10.1%
  E-2     BBB-    JPY0.8 bil.   Floating Rate      5.6%
  F-2     BB+     JPY0.5 bil.   Floating Rate      2.8%
  G-2     BB      JPY0.5 bil.   Floating Rate      0.0%
  D-3A    BBB     JPY1.0 bil.   Floating Rate      10.0%
  D-3B    BBB     JPY2.3 bil.   Fixed Rate         10.0%
  E-3     BBB-    JPY1.2 bil.   Fixed Rate         5.6%
  F-3     BB+     JPY1.1 bil.   Fixed Rate         1.5%
  G-3     BB      JPY0.4 bil.   Fixed Rate         0.0%
  X-1     AAA    JPY78.7 bil.   N/A                N/A
  X-2     AAA    JPY78.7 bil.   N/A                N/A


JAPAN AIRLINES: To Sell 49% JALcard as Part of Restructuring
------------------------------------------------------------
Japan Airlines International Company, Limited, may sell up to
49% stake in its wholly owned credit card subsidiary, JALcard
Inc., as part of its restructuring measures that are aimed at
rebuilding its operations, Forbes reports, citing The Nikkei
Business Daily.

The Nikkei, according to Forbes, related that JALcard is
estimated to have a market capitalization of around
JPY100 billion, which if sold, will go toward repaying interest-
bearing debt.

JALcard handles some JPY1.5 trillion in transactions, the report
added.

Along with this transaction, JAL also seeks to reduce its own
workforce by 4,300 by the end of March 2010, Forbes notes.  The
airline will also revamp its retirement pension system this
fiscal year and negotiate with labor to be able to reduce
pension obligations in fiscal 2008 and beyond, Forbes relates.

However, in another report by Forbes, citing AFX News Limited,
JAL mentioned that it has yet to decide on any restructuring of
its group affiliates, but it acknowledged that this is something
that needs to be studied.

On May 25, 2007, the Troubled Company Reporter - Asia Pacific
reported that JAL had asked its main lenders to help increase
its capital to JPY200-400 billion to prevent its credit from
worsening.

A follow-up report on June 1, 2006, by the TCR-AP reported that
the airline was considering increasing its capital base to
JPY100-150 billion with Sojitz Corp., Mitsui & Co. and Itochu
Corp. as possible underwriters for the new capital increase.

                      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 Oct. 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.

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.          


JVC CORP: Forecasts JPY15-Billion Operating Income for FY07
-----------------------------------------------------------
Victor Company of Japan Limited (JVC) forecasts an
operating income of JPY15.00 billion for the fiscal year ended
March 31, 2008.  

Total sales for the current year is expected to be at
JPY760.00 billion, compared with the previous year's
JPY742.70 billion.

Net income is foreseen to be at JPY10.50 billion, a 33% increase
from last fiscal year's JPY7.9 billion.

                      About JVC Corp

Headquartered in Kanagawa Prefecture, Japan, Victor Company of
Japan, Limited (JVC) -- http://www.jvc-victor.co.jp/-- is  
primarily engaged in the manufacture and sale of audiovisual
(AV) equipment, information and communications equipment,
electronic products and others.  The Company has five business
segments.  The Consumer Equipment segment offers various types
of televisions, digital video cameras, car audio systems, as
well as players and related equipment for video, mini disc (MD),
compact disc (CD) and digital versatile disc (DVD) systems.  The
Industrial Equipment provides visual inspection devices, audio
and video equipment, as well as projectors.  The Electronic
Devices segment offers monitors, optical pickups, high density
buildups, multilayer boards and display parts.  The Software and
Media segment provides music and visual software and recording
media.  The Others segment is engaged in businesses related to
interior furniture and production facilities.  It has 96
subsidiaries and seven associated companies.

Troubled Company Reporter - Asia Pacific reported on June 4,
2007, that JVC reported a net loss of JPY7.9 billion for fiscal
year 2006.  This is its fourth consecutive annual loss.


JVC CORP: To Appoint Kunihiko Sato as President
-----------------------------------------------
Victor Company of Japan, Limited, or JVC, said last week that it
will promote Senior Managing Director Kunihiko Sato to the top
post on June 27, Bloomberg News reports.

Mr. Sato will replace JVC's current president, Masahiko Terada.

Mr. Sato's appointment, the report relates, was announced with a
business plan for fiscal 2007, which included spinning off the
company's recording and software media operations and
streamlining its production sites in Asia.

The article quotes Mr. Sato as saying, "The biggest challenge
for the time being is how to transform JVC into a structure that
can create new value and earnings."  The soon-to-be president
added that JVC failed to achieve marketing power despite its
"technologically excellent" products.

Mr. Terada, according to Reuters, will become special senior
corporate adviser to JVC.  He will also leave the JVC Board of
Directors to take responsibility for the company's continuing
poor business performance.

Along with this development, Reuters also states that JVC will
cut its parent-based workforce to 4,700 by March 2008 from 6,490
as part of the company's restructuring program.  

The Reuters report further adds that JVC will cut its group-
based workforce to 24,850 by next March from 26,851.

                        About JVC Corp

Headquartered in Kanagawa Prefecture, Japan, Victor Company of
Japan, Limited (JVC) -- http://www.jvc-victor.co.jp/-- is  
primarily engaged in the manufacture and sale of audiovisual
(AV) equipment, information and communications equipment,
electronic products and others.  The Company has five business
segments.  The Consumer Equipment segment offers various types
of televisions, digital video cameras, car audio systems, as
well as players and related equipment for video, mini disc (MD),
compact disc (CD) and digital versatile disc (DVD) systems.  The
Industrial Equipment provides visual inspection devices, audio
and video equipment, as well as projectors.  The Electronic
Devices segment offers monitors, optical pickups, high density
buildups, multilayer boards and display parts.  The Software and
Media segment provides music and visual software and recording
media.  The Others segment is engaged in businesses related to
interior furniture and production facilities.  It has 96
subsidiaries and seven associated companies.

Troubled Company Reporter - Asia Pacific reported on June 4,
2007, that JVC reported a net loss of JPY7.9 billion for fiscal
year 2006.  This is its fourth consecutive annual loss.


MAZDA MOTOR: To Recall 264,276 Units Due to Clutch Defect
---------------------------------------------------------
Mazda Motor Corp. said that it will recall a total of 264,276
Demio and Verisa vehicles produced in Japan between June 2002
and March 2006 due to a possible clutch defect, Forbes reports,
citing Agence France Presse.

In an interview with Forbes, a spokesperson for Mazda said that
the same passenger cars with the same trouble were also shipped
to Australia, New Zealand, Hong Kong, and Brunei.

The company said that it is not certain about the total number
of cars distributed overseas but that it would decide on whether
to exchange defective parts for free "depending upon the
regulations of each countries [sic]."
               
                       About Mazda Motors

Headquartered in Hiroshima Prefecture, Mazda Motor Corporation
-- http://www.mazda.co.jp/-- together with its subsidiaries and  
associates, is primarily involved in the manufacture and
distribution of automobiles.  The company manufactures passenger
cars and commercial vehicles.  Mazda Motor distributes its
products in both domestic and overseas markets. The company has
58 subsidiaries.  It has overseas operations in the United
States, Canada, Mexico, Germany, Belgium, France, the United
Kingdom, Switzerland, Portugal, Italy, Spain, Austria, Russia,
Columbia, New Zealand, Thailand, Indonesia and China.  The
Company has a global network.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
April 27, 2007, that Standard & Poor's Ratings Services raised
Mazda Motor Corp.'s long-term corporate credit rating and the
company's long-term senior unsecured debt to:

   * Corporate Credit Rating: BB /Stable/

   * Company's Long-term Senior Unsecured Debt: BB+

S&P's rating actions reflect Mazda's improved operational and
financial performance, and financial risk profile.  Mazda's
operating and financial performance has been improving over the
past several years due to the success of new products following
a shift in strategy.  The company continued to improve operating
and financial performance in the nine months ended Dec. 31,
2006, owing to an improved sales mix and favorable foreign
exchange rates.  Although the EBITDA margin of about 6% remains
lower than most of its Japanese peers, profitability is steadily
improving.  Mazda is now focusing on certain segments instead of
attempting to compete as a full-line producer.  The company also
has excellent product engineering capabilities.


ORIX-NRL TRUST: S&P Puts Low-B Ratings on Three Certificates
------------------------------------------------------------
Standard & Poor's Ratings Services assigned its ratings to ORIX-
NRL Trust 14's JPY20.7 billion trust certificates, classes A to
H and X, due December 2014.  The trust certificates are secured
by 10 non-recourse loans and specified bonds (tokutei shasai),
backed by 39 real estate certificates and real estate
properties.  The transaction has been arranged by ORIX Corp.
     
The ratings address the full and timely payment of interest and
the ultimate repayment of principal by the transaction's legal
final maturity date for the class A certificates, the full
payment of interest and ultimate repayment of principal by the
legal maturity date for the class B to H certificates, and the
timely payment of available interest for the interest-only class
X certificates.
     
The ratings are based on:

  -- The quality of the non-recourse loan and specified bond
     pool that secures the trust certificates;

  -- The quality of the real estate properties that ultimately
     secure the non-recourse loans and specified bonds;

  -- Ample credit support provided by the senior/subordinated
     structure of the trust certificates;

  -- Ample liquidity support provided by a servicer advance; and

  -- The sound nature of the transaction's legal structure.

In this transaction, ORIX will entrust assets with Sumitomo
Trust & Banking Co. Ltd., which in return will issue an
aggregate of JPY20.7 billion trust certificates.  The trust
assets consist of non-recourse loans and specified bonds
originated by ORIX, as well as cash.  These are ultimately
backed by collateral, including first security rights over the
obligor's beneficial interest in the entrusted real estate
property and general lien.  Sumitomo Trust subcontracts
servicing operations to ORIX Asset Management & Loan Services
Corp.
           
                     Ratings Assigned

                     ORIX-NRL Trust 14
     JPY20.7 billion trust certificates due December 2014

                                                  Subordination
Class              Rating  Amount      Coupon        Rate
-----              ------  ------      -------    ------------
   A                 AAA    JPY15.7 bil.  Floating      24.2%
   B                 AA     JPY2.0 bil.   Floating      14.5%
   C                 A      JPY1.2 bil.   Floating      8.7%
   D                 BBB    JPY0.7 bil.   Floating      5.3%
   E                 BBB-   JPY0.3 bil.   Floating      3.9%
   F                 BB     JPY0.5 bil.   Floating      1.4%
   G                 BB-    JPY0.1 bil.   Floating      1.0%
   H                 B      JPY0.2 bil.   Floating      0.0%
   X (interest only) AAA    JPY20.7 bil. (notional principal)


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

BOE HYDIS: Bankruptcy Court Approves Rehabilitation Plan
--------------------------------------------------------
BOE Hydis' Corporate Rehabilitation Plan was approved by a
review panel of the Seoul Central District 3rd Bankruptcy Court
on May 31.  The plan was part of the company's application for
Court Receivership and was approved with 90 percent of
rehabilitation security holders and 97 percent of creditors in
agreement.

The rehabilitation security is held by the Industrial Bank of
Korea, Korea Exchange Bank, Woori Bank, Hyundai Fire & Marine
Insurance Co., Ltd., Hynix Semiconductor Co., Ltd., and various
rehabilitation creditors, including the Korea Federation of
Community Credit Cooperatives and National Credit Union
Federation of Korea.

As a condition of the Court Receivership, 100% of shares issued
held by its largest shareholder, the BOE Technology Group, will
be dissolved without compensation.  The BOE Technology Group is
considered responsible for the management failure of the
company.

Due to deteriorating market conditions in the TFT-LCD sector and
the company's liquidity problems, BOE HYDIS filed for Court
Receivership on Sept. 8, 2006.  On Sept. 29, the company
commenced its restructuring process.  The 1st meeting of
interested parties with Creditors was held on Jan. 19 of this
year, followed by the 2nd and 3rd meeting of interested parties
on April 19.  Due to differing opinions among some of the
creditors on repayment rate, the 3rd meeting of interested
parties was reheld on May 31 where the creditor agreement was
sufficient for BOE HYDIS to receive Court Receivership approval
in eight months after the original filing.

With approval of Court Receivership, BOE Hydis has secured its
Corporate Rehabilitation procedure.

Haesung Park, the court-appointed supervising director of BOE
HYDIS stated, "Although the company is currently under Court
Receivership due to deteriorating profitability caused by
oversupply, the plunging prices of TFT-LCD products, and the
temporary liquidity problem, BOE HYDIS' 20 years of accumulated
technologies, most notably our in-house developed AFFS, in
addition to our small to mid-sized product development
competitiveness, strong cooperative relationships with strategic
clients, and other supporting factors were recognized by the
court and Court Receivership was approved.  And now for rapid
recovery and normalization of the company, we will aggressively
seek out investors and pursue M&As."

BOE Hydis launched its operations as Hyundai Electronic's LCD
Business Division in 1989.  In 2001, the company spun-off from
Hyundai Electronics and established the corporate name HYDIS.  
It was then acquired by BOE Group of China and became today's
BOE HYDIS.

                About BOE Hydis Technology

Headquartered in Seoul, South Korea, BOE Hydis Technology
Company, Limited -- http://www.boehydis.com/-- develops,  
manufactures and distributes flat panel display products for a
wide range of applications, including laptop computers, Tablet
PC's, monitors, medical, avionic and car navigation systems.
China's BOE Technology Group Co. acquired the Company from
Korea's Hynix Semiconductor Inc. in 2003.  BOE Hydis is one of
the 10 LCD manufacturers in the world and has over 1,000
employees in China, Germany, Japan, Korea, Singapore, Taiwan,
and the United States.


DAEWOO SHIPBUILDING: Wins 1.3 Billion European Contract
-------------------------------------------------------
Daewoo Shipbuilding and Marine Engineering Co. won a
KRW1.22-trillion shipbuilding order from Europe, Reuters
reports.

The report, citing a filing with the Korea Exchange, notes that
Daewoo would deliver the order by Dec. 31, 2010.

              About Daewoo Shipbuilding and Marine

Headquartered in Seoul, South Korea, Daewoo Shipbuilding and
Marine Engineering Co. -- http://www.dsme.co.kr/-- has   
developed into one of the world's premium specialized
shipbuilding and offshore contractor that builds various
vessels, offshore platforms, drilling rigs, floating oil
production units, submarines, and destroyers.  The shipbuilder
has been under a creditors-led corporate restructuring program
since 1999 along with some other affiliates after its parent,
Daewoo Group, collapsed under heavy debt exposure.  Daewoo
Shipbuilding is up for sale and the Korea Development Bank and
Korea Asset Management Corporation plan to start the sale
process of their remaining stakes in the second half of 2006.

The Troubled Company Reporter - Asia Pacific reported on May 16,
2006, that Daewoo Shipbuilding posted a KRW45-billion net loss
for the first quarter ended March 31, 2006, as compared to the
KRW31.4-billion net loss for the corresponding period in 2005.
The Company blamed the result on low ship prices.


DOOSAN INDUSTRIAL: Fined KRW4.1 Bil. for Unfair Unit Support
------------------------------------------------------------
The Fair Trade Commission, South Korea's anti-trust regulators,
fined Doosan Industrial Development Co. KRW4.1 billion for
unfairly supporting its affiliate units, The Seoul Times
reports, citing Yonhap News.

According to the report, FTC said that Doosan has unfairly paid
KRW13.9 billion in interest on bank loans, which Vice Chairman
Park Jeong-won and his family members took, between 2000-2005,
to increase their capital in the company.

Doosan Industrial is also guilty of illegally supporting its
merger and acquisition of sister firm Neoplux by purchasing
KRW6 billion worth of corporate bills from the company in 2003
at a discount rate lower than the allowed rate at that time, the
commission said in a statement.

                  About Doosan Industrial

Doosan Industrial Development Co., Ltd., provides civil
engineering and architectural services.  Doosan Industrial
constructs apartment complexes, commercial buildings, facilities
and subways.  The company also manufactures ready-mixed
concrete, aluminum, electrical cables and polyethylene pipes.

Korea Investors Service gave the company's senior unsecured debt
a D rating effective March 3, 2001.


EG SEMICON: Amends Exercise Price of Second Bond
------------------------------------------------
EG Semicon Co., Ltd., has amended the exercise price of its
second bond with warrants from KRW1,630 per share to KRW1,150
per share, Reuters reports.

The report recounts that the company disclose the amendment on
December 1, 2006 and would be effective on June 1, 2007.

                         About EG Semicon

EG Semicon Co., Ltd. -- http://www.osec.co.kr/-- manufactures   
liquid crystal displays.  The company is headquartered in
Gyeongsangbuk Province, Korea.  It operates two factories in
Korea and a factory in China.

On March 9, 2007, the Troubled Company Reporter - Asia Pacific
reported that EG Semicon Co. has a shareholders' equity deficit
of US$12.34 million on total assets of US$166.70 million.


ILSUNG CONSTRUCTION: Issues Shares Via Private Placement
--------------------------------------------------------
Ilsung Construction Co., Ltd., has agreed to issue 87,241 common
shares and 62,124 preferred shares through a private placement,
Reuters reports.

According to the report, the par value is KRW5,000 for common
share and preferred share and the offer prices are KRW 300,000
for common share and KRW 221,016 for preferred share,
respectively.

The listing date of the new shares is June 29, 2007, the report
adds.

                About Ilsung Construction

Seoul, Korea-based Ilsung Construction Co., Ltd. --
http://www.ilsungconst.co.kr/-- specializes in the provision of   
construction and engineering services. The Company has five
major divisions: Construction division, which constructs
buildings, high-speed railways and condominiums; Engineering
Works division, which builds highways, subways, tunnels, bridges
and housing developments; Social Overhead Capital (SOC)
division, which collects toll fees to recoup its investment in
the construction of tunnels, environment and energy plants;
Housing division, which constructs apartment, mansions and
villas, and Gardening division, which constructs golf clubs,
parks and landscape architecture.

Korea Ratings gave the company's commercial papers a B+ rating
on January 31, 2007.


KOREA EXPRESS: Up for Sale in Early July
----------------------------------------
Korea Express Co., Ltd., is expected to come on the market as
early as July, after seven years of court receivership, with
analysts expecting the company to fetch at least US$1.6 billion
in a year, Reuters reports.

According to the report, potential bidders range from transport
groups such as Kumho Asiana, Hanjin and STX and CJ.

Korea Express plans to sell 50% plus one share to a buyer by
issuing new shares.  Analysts say a 50% holding would cost at
least KRW1.5 trillion, the report notes.

The report adds that Kumho Asiana Group, which owns 14% of the
company, would be the frontrunner, and JPMorgan had been
appointed as adviser by the company, citing a source.

                    About Korea Express

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

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

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

Korea Investors Service gave the company a BB rating.


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

PROTON HOLDINGS: Posts MYR591-Mil. Net Loss for Year to March 31
----------------------------------------------------------------
Proton Holdings Corp recorded a net loss of MYR591.36 million on
MYR4.92 billion of revenues in the fiscal year ended March 31,
2007, compared with a net profit of MYR46.39 million on
MYR7.79 billion of revenues in 2006.

According to the company, the higher than expected net loss was
incurred due to "intense competition from other marques in terms
of year-end discounts to clear the 2006 stocks and its
consequential market share.  In addition, provision for claims
in respect of prior years project development costs, higher
component costs, additional expenditure required for promotions
and higher cost of raw materials also contributed to losses for
the current financial year under review."

As of March 31, 2007, the company's unaudited balance sheet
showed current assets of MYR3.23 billion and current liabilities
of MYR1.60 billion.  In addition, Proton's total assets as of
end March 2007 amounted to MYR7.01 billion and total liabilities
of MYR1.78 billion, resulting to a shareholders' equity of
MYR5.23 billion.

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 as 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.

However, the carmaker until now has yet to name a strategic
partner.  On May 23, 2007, the TCR-AP reported that Proton
Holdings may need a government bailout if talks to sell a stake
to a foreign investor continue to falter.


PROTON: Gov't Won't Give Up Controlling Stake to Foreign Partner
----------------------------------------------------------------
The Malaysian government stressed that it will never give up
control of Proton Holdings Corp to a foreign firm, as it still
struggles to find a strategic partner for the loss-making
national car company, Agence France Press reports.  The
government has for months been in talks with German automaker
Volkswagen and US auto giant General Motors for a tie-up that
would help Proton arrest a sharp decline in market share.

According to AFP, Bernama News quoted Deputy Prime Minister
Najib Razak as saying that any potential partner had to realise
that Proton would never be allowed to fall under foreign
control.  A collaboration "must be in line with our thinking and
our position, otherwise there cannot be an agreement," Mr. Najib
said, adding "What this means is that we will not simply hand
over Proton, we have our stand that a prospective strategic
partner must accept."

The government, according to the AFP, is under intense pressure
to forge a partnership for Proton, but has so far missed two
self-imposed deadlines to make a decision.  Analysts have partly
attributed difficulties in talks over government reluctance to
cede control of a key national company into foreign hands.


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 as 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.

However, the carmaker until now has yet to name a strategic
partner.  On May 23, 2007, the TCR-AP reported that Proton
Holdings may need a government bailout if talks to sell a stake
to a foreign investor continue to falter.


Second Finance Minister Nor Mohamed Yakcop Friday said Malaysia
would decide on a partner for Proton within the next three
months.


PROTON HOLDINGS: Talks With Volkswagen in Final Round
-----------------------------------------------------
Proton Holdings Corp and Volkswagen are back in negotiations in
an apparent last-ditch attempt to forge a strategic alliance
involving the two companiesfor besieged national carmaker
Proton, Agence France Press reports, citing a senior government
official as its source.  

The AFP recounts that late last week, Prime Minister Abdullah
Ahmad Badawi had said that the talks with Volkswagen had failed.  
"I have decided, since Volkswagen is not interested in the
proposal that Proton wants in terms of equity, Proton needs to
talk to other people," Mr. Abdullah told the Bernama News
agency.

According to AFPs' source, Volkswagen requested for a final
round of talk after the Prime Minister announced the failure of
negotiations.

Managing director Azman Mokhtar of Khazanah Nasional, a
controlling 42.7% stakeholder in Proton, has confirmed the
report.  "I can categorically say today that all the reported
interested parties, including Volkswagen and General Motors,
remain in the picture," Mr. Azman said.

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 as 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.

However, the carmaker until now has yet to name a strategic
partner.  On May 23, 2007, the TCR-AP reported that Proton
Holdings may need a government bailout if talks to sell a stake
to a foreign investor continue to falter.


TRANOCEAN HOLDING: Fails to Meet Capital Requirement
----------------------------------------------------
The Bursa Malaysia Securities Berhad has commenced delisting
procedures against Transocean Holding Berhad after the company
failed to comply with the required minimum issued and paid-up
capital under the bourse's listing requirements.

According to the bourse, the latest issued and paid up capital
of the company as at May 31, 2006, is MYR28,998,500 and hence,
it has failed to comply with the minimum issued and paid-up
capital of MYR40,000,000 as required of a company listed on the
Second Board of Bursa Securities.

In addition, the company has failed to announce and submit its
regularisation plan to the Securities Commission and the
relevant authorities for approval within the extended timeframe
granted by Bursa Securities.

Transocean Group of Companies, is a well - diversified total
logistics provider of integrated interstate and local bonded /
non-bonded trucking, high-tech warehousing, freighting,
forwarding, customs clearance and container haulage services.

Established in 1977, the Group's activities are conducted and
managed through its head office on Penang Island and operation
offices at the Penang International Airport, Butterworth, Port
Klang, Kuala Lumpur International Airport, Johor Bahru and
Singapore.


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

ARAMAND SEA: Appoints Graham and Gibson as Liquidator
-----------------------------------------------------
Grant Robert Graham and Brendon James Gibson were appointed as
liquidators of Aramand Sea Fishing Ltd. on May 24, 2007.  The
company commenced liquidation proceedings on the same day.

The Liquidators can be reached at:

          Grant Robert Graham
          Brendon James Gibson
          Ferrier Hodgson & Co
          Tower Centre, Level 16
          45 Queen Street, Auckland
          New Zealand
          Telephone:(09) 307 7865
          Facsimile:(09) 377 7794


BATLEYS LTD: Shareholders Agree on Liquidation
----------------------------------------------
On May 24, 2007, the shareholders of Batleys Limited resolved to
liquidate the company's business and appointed  Murray Rodney
Carey as liquidator.

Mr. Carey requires the company's creditors to file their proofs
of debt by June 26, 2007.

The Liquidator can be reached at:

          Murray Rodney Carey
          c/o Carey Smith & Co Limited
          Chartered Accountants
          PO Box 185, Wanganui
          New Zealand
          Telephone:(06) 345 8179
          Facsimile:(06) 345 7048


DENNY'S CORP: Names VP Jay Gilmore as Chief Accounting Officer
--------------------------------------------------------------
Denny's Corporation reported Jay C. Gilmore, Vice President and
Corporate Controller, has assumed the additional title of Chief
Accounting Officer effective May 23, 2007.

The company said that the addition of the title recognizes the
shifting of the principal accounting role, previously held by
the company's chief financial officer, to the company's
Corporate Controller.

Mr. Gilmore will continue to report to F. Mark Wolfinger,
Executive Vice President, Growth Initiatives and Chief Financial
Officer.

Mr. Gilmore, 38, joined the company in February 1999 as
Assistant Corporate Controller and became Corporate Controller
of the company in February 2001 and Vice President in January
2005.

Mr. Gilmore was with KPMG LLP in Greenville, SC for
approximately eight years where he was a senior audit manager.

                      About Denny's Corporation

Headquartered in Spartanburg, South Carolina, Denny's
Corporation (Nasdaq: DENN) -- http://www.dennys.com/-- is a  
full-service family restaurant chain in the U.S., with 521
company-owned units and 1,024 franchised and licensed units,
with operations in the United States, Canada, Costa Rica, Guam,
Mexico, New Zealand and Puerto Rico.

                             *     *     *

Denny's Corp. carries Standard & Poor's 'B+' Long Term Foreign
Issuer and 'B+' Long Term Local Issuer ratings.


EXPONENT HOLDINGS: Fixes June 29 as Last Day to Receive Claims
--------------------------------------------------------------
Exponent Holdings Ltd. commenced liquidation proceedings on
May 28, 2007.

The company requires its creditors to file their proofs of debt
by June 29, 2007, to be included in the company's dividend
distribution.

The company's liquidator is:

          Kim S. Thompson
          PO Box 1027, Hamilton
          New Zealand
          Telephone:(07) 834 6027
          Facsimile:(07) 834 6104


INDEPENDENT GLASS: Appoints Bruce Richards as Liquidator
--------------------------------------------------------
On May 24, 2007, Bruce Carlaw Richards was appointed as
liquidator of Independent Glass Merchants Ltd.

The company commenced liquidation proceedings on that day.

The Liquidator can be reached at:

          Bruce Carlaw Richards
          Staples Rodway Taranaki Limited
          109-113 Powderham Street, New Plymouth
          New Zealand
          Telephone:(06) 758 0956
          Facsimile:(06) 757 5081


KERBSIDE SERVICES: Enters Wind-Up Proceedings
---------------------------------------------
Kerbside Services (2001) Ltd. went into liquidation on May 21,
2007.

Vivian Judith Fatupaito and Colin Thomas McCloy were appointed
as liquidators.

The Liquidators can be reached at:

          Vivian Judith Fatupaito
          Colin Thomas McCloy
          PricewaterhouseCoopers
          PricewaterhouseCoopers Tower, Level 8
          188 Quay Street
          Auckland
          New Zealand
          Telephone:(09) 355 8000
          Facsimile:(09) 355 8013


KENPAUL PROPERTIES: Appoints  Bruce Richards as Liquidator
----------------------------------------------------------
Kenpaul Properties Ltd. entered liquidation proceedings on
May 24, 2007, and appointed Bruce Carlaw Richards as liquidator.

The Liquidator can be reached at:

          Bruce Carlaw Richards
          Staples Rodway Taranaki Limited
          109-113 Powderham Street, New Plymouth
          New Zealand
          Telephone:(06) 758 0956
          Facsimile:(06) 757 5081


NISHIDA YOUNG: Taps Official Assignee as Liquidator
---------------------------------------------------
On May 24, 2007, the official assignee was appointed as the  
liquidator of Nishida Young Pacific Ltd.

The Liquidator can be reached at:

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


S J COTTAM: Names Phillip Craig Macey as Liquidator
---------------------------------------------------
On May 24, 2007, S J Cottam Ltd. started to liquidate its
business and appointed Philip Craig Macey as liquidator.

The Liquidator can be reached at:

          Phillip Craig Macey
          Staples Rodway Taranaki Limited
          109-113 Powderham Street, New Plymouth
          New Zealand
          Telephone:(06) 758 0956
          Facsimile:(06) 757 5081


SOUNDLINE AUDIO: Creditors' Proofs of Debt Due by June 29
---------------------------------------------------------
Soundline Audio (Hamilton) Ltd. requires its creditors to file
their proofs of debt by June 29, 2007.

The company went into liquidation on May 24, 2007.

The company's liquidator is:

          Kim S. Thompson
          PO Box 1027, Hamilton
          New Zealand
          Telephone:(07) 834 6027
          Facsimile:(07) 834 6104


SNAVELY INTERNATIONAL: Receiving Proofs of Debt Until June 15
-------------------------------------------------------------
Snavely International (NZ) requires its creditors to file their
proofs of debt by June 15, 2007.

The company went into liquidation on May 10, 2007.

The company's liquidator is:

          Douglas Kim Fisher
          Auckland
          New Zealand
          Telephone:(09) 630 0491
          Facsimile:(09) 638 6283


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

BANGKO SENTRAL: Seeks To Increase US$10-Mil. Limit on Forex Swap
----------------------------------------------------------------
The Bangko Sentral ng Pilipinas is seeking to increase its
US$10 billion internal limit of foreign currency exchanges in
the wake of steady remittance and heavy investment flows, the
Manila Standard reports.

According to the report, the bank has sought the approval of the
Monetary Board of its plan.

The bank's foreign currency swaps amounted to US$9.6 billion in
late May 2007, as compared to only US$2.2 billion in May 2006,
the report relates.  

BSP governor Amando Tetangco C. Jr. described the foreign
exchange swap as "one of the instruments available to [the Bank]
in its conduct of monetary policy."  Mr. Tetangco further said
that the bank is monitoring developments to discern courses of
action pertaining to capital flows, and mentioned other options
like building up the bank's reserves, exchange rate flexibility
and pre-payment of foreign obligations.

Manila Standard notes that the Philippines' gross international
reserves could have ballooned to US$35 billion without the
foreign exchange swaps.  The BSP is expecting a surplus in
payments in 2007, which will augment the country's foreign
currency reserves and swaps.

                    About Bangko Sentral

The Bangko Sentral ng Pilipinas -- http://www.bsp.gov.ph/--is  
the central bank of the Republic of the Philippines. It was
established on July 3, 1993, pursuant to the provisions of the
1987 Philippine Constitution and the New Central Bank Act of
1993. BSP took over from the Central Bank of Philippines as the
country's central monetary authority. Bangko Sentral enjoys
fiscal and administrative autonomy from the National Government
in the pursuit of its mandated responsibilities.

The powers and functions of the Bangko Sentral are exercised by
the Bangko Sentral Monetary Board, the highest policy-making
body in the BSP.

Standard and Poor's Ratings Servoces gave Bangko Sentral a 'B'
Short Term Local Issuer Credit Rating, a 'BB-' Long-Term Foreign
Issuer Credit Rating, and a 'BB+' Long-Term Local Issuer Credit
Rating.

Moody's Investors Service gave Bangko Sentral a 'Ba1' Senior
Unsecured Debt Rating.


GOTESCO LAND: Stocks Remain Suspended Pending 1Q07 FS Submission
----------------------------------------------------------------
The trading of Gotesco Land Inc.'s securities remain suspended
by the Philippine Stock Exchange as the company has not yet
submitted its quarterly report for the period ended March 31,
2007.

The suspension will remain in effect pending compliance with the
required submission under Section 17.8 of the Revised Disclosure
Rules.

Headquartered in Manila, Philippines, Gotesco Land, Inc. is the
holding company of the Ever-Gotesco Group of Companies for its
property development projects.  As a real estate company, it
acquired various interests principally involved in
leisure/tourist estate developments.  The company was partially
successful in the early part of the three-year period but was
hit by the 1997 Asian economic crisis that led to the temporary
suspension of some of its affiliates' various on-going real
estate projects.

The Troubled Company Reporter - Asia Pacific reported on June 7,
2006, that after auditing Gotesco Land's financial report for
the year ended December 31, 2005, Laya Mananghaya & Co. raised
significant doubt on the company's ability to continue operating
as a going concern due to its financial difficulties in
generating enough cash flow to meet obligations on time and
maintain operations.


LODESTAR INVESTMENT: PSE Allows Securities Trading to Resume
------------------------------------------------------------
The Philippine Stock Exchange has lifted the suspension on the
trading of Lodestar Investment Holdings Corp.'s securities
effective June 1, at 9:00 am.

On April 11, 2007, the PSE's Board of Directors approved the
company's petition to lift the suspension on its securities
subject to the infusion of additional capital to bring its
stockholders' equity from negative to positive.

In compliance with the requirement, the company disclosed to the
PSE that it received PH2 million from Cyan Management Corp. for
2 million shares of its stocks.  As of May 25, 2007, the company
applied the amount as part of its equity, as 2 million shares
for credit to the name of Cyan Management to be issued upon
approval by the Securities and Exchange Commission.

The company said that since it posted a negative PHP952,332 in
total shareholders' equity as of March 31, 2007, the issuance of
the shares to Cyan will result in total shareholders' equity of
PHP1.04 million.

                 About Lodestar Investment

Headquartered in Quezon City, Philippines, Lodestar Investment
Holdings Corporation (LIHC) was originally incorporated as a
mining and natural resources exploration company.  Due to the
unsuccessful ventures in this field, the company decided to
discontinue operations in October 1991.  On October 3, 2003, the
Securities and Exchange Commission approved the amendment of the
LIHC's Articles of Incorporation and By-laws, changing the
company's corporate name from Lodestar Mining Corporation to
what is known today as well as its primary purpose to that of an
investment holding company.

LIHC plans to reengineer the company to enhance shareholders'
value and improve operations.  It will undertake a number of
capital-raising activities, which include but not limited to the
following: (a) a call of subscriptions receivable up to
PHP8 million; (b) second public offering of PHP50 million to
PHP88 million; (c) debt-equity conversion of up to
PHP30 million; and (d) share-for-share or share-for-asset swaps
from PHP112 million to PHP150 million.  The company is likewise
interested in acquiring at least a "significant minority"
interest in other businesses and pursuing prospective
investments, particularly in the Internet Service Provider and
Business to Business Portal services.

The company has a shareholders' equity deficit of PHP502,487 as
of September 30, 2006, and PHP598,853 as of December 31, 2006.


MANILA ELECTRIC: May Increase Power Sales to 2.5% for 2007
----------------------------------------------------------
Manila Electric Co.'s President Jesus Francisco Javier said that
the power distributor's power sales may increase by 2.5% for
this year, Luzi Ann Javier writes for Bloomberg News.

Deutsche Bank AG had raised its share price target for Manila
Electric on May 22, as it expected MERALCO's profit to double
after the Energy Regulatory Commission's draft ruling on its
application for an increase in rates.

The report cited Giovanni Dela Rosa, an analyst working for
Deutsche's Manila unit, as saying that based from the
commission's draft ruling on MERALCO's application, a 20%
increase in rates can be expected this year.  Mr. Dela Rosa
further said that MERALCO may increase its rates by more than 7%
in the next four years.

Headquartered in Ortigas, Pasig City, the Manila Electric
Company -- http://www.meralco.com.ph/-- is the largest utility  
in the Philippines, providing power to 4.1 million customers in
Metropolitan Manila and more than 100 surrounding communities.  
As deregulation takes effect, Meralco is reducing its dependence
on state-owned National Power Corp. by increasing the amount of
power it purchases from independent power producers.  Meralco is
also preparing for competition by moving into non-regulated
activities, including energy consulting, independent power
production, engineering, fiber optics, e-commerce, and real
estate.

                          *     *     *

A March 31, 2006 report by the Troubled Company Reporter - Asia
Pacific stated that the company posted a 79.7% decrease in its
2005 net losses to PHP411 million from PHP2.03 billion in 2004,
due to provisions for probable losses while awaiting a Supreme
Court final decision on a pending unbundling rate case, and the
adoption of new accounting standards.

In a TCR-AP report on April 24, 2006, it was noted that Manila
Electric cannot seek a loan to expand its facilities unless it
repays outstanding short-term debts amounting to around
PHP4.7 billion.


MARIWASA MFG: Posts PHP30.26-Mil. Net Income for 1st Qtr. 2007
--------------------------------------------------------------
Mariwasa Manufacturing Inc. reported a net income of
PHP30.26 million for the quarter ended March 31, 2007, as
compared to the PHP1.34-million net income it posted in the same
period in 2006.

For the January-March 2007 period, the company earned
PHP467.21 million in net sales, PHP116.05 million in gross
profit, and PHP50.63 million in net operating income.  Cost of
goods sold for the quarter totaled PHP351.16 million, and the
company incurred operating expenses of PHP65.41 million and
PHP6.01 million in other charges.

Gross profit percentage to net sales for the first quarter of
2007 is 24.84% compared to last year's 20.44% due to better
sales mix and the declining cost of fuel during the period.
Other charges decreased favorably to 1.29% due to foreign
exchange gains resulted from the strength of the peso against
the U.S. dollar, sale of idle assets and partial recovery on
insurance claim for typhoon "Milenyo."  The company's overall
performance for the quarter has improved greatly this quarter as
it posted a 9.55% net income from operations against last year's
0.31%.

As of March 31, 2007, the company had PHP3.54 billion in total
assets, and PHP3.55 billion in total liabilities resulting in a
stockholders' equity deficit of PHP7.75 million.  The company is
illiquid as of March 31, 2007, as total current liabilities of
PHP3.27 billion exceeded total current assets of
PHP790.17 million.

                 About Mariwasa Manufacturing

Pasig City, Philippines-based Incorporated on November 5, 1963,
Mariwasa Manufacturing Corporation -- http://www.mariwasa.com/-
- manufactures and sells glazed ceramic floor tiles in various
sizes, colors and designs via a distribution network that spans
the whole archipelago.  The company has 76 distributors and a
significant number of exclusive distributors nationwide.  Aside
from the local market, Mariwasa tiles also exports to foreign
markets such as the United States and Hong Kong, among others.


PHIL NAT'L BANK: Inks Deal with ING to Sell Mutual Funds to OFWs
----------------------------------------------------------------
Philippine National Bank and ING NV entered into an agreement
last week to sell mutual funds which are exclusive for Filipino
migrant workers, the Manila Standard reports.  The funds will be
registered in Ireland and are expected to yield about 6%
annually, and grow to about US$1 billion.

The mutual fund will require a minimum investment of US$100.

PNB First Senior Vice President Ramon Lim told the Manila
Standard that as remittances by 8 million overseas Filipino
workers are expected to be US$14.75 billion, the bank and ING
would invest US$15 million each in the mutual fund.  These
investments will be used as seed money that the OFws could
unload after five years, and will be devoted to fixed income
instruments.

Mr. Lim also expressed his confidence that the funds could raise
as much as US$1 billion from the OFWs, despite sources within
ING citing a fund size of between US$200 million to
US$500 million.

Under their agreement, ING will act as fund manager while PNB
will act as selling agent for which OFWs can redeem their
investments.  Mr. Lim disclosed that they are awaiting
regulatory approvals from the Bangko Sentral ng Pilipinas and
authorities in other markets.

Philippine National Bank -- http://www.pnb.com.ph/-- is the  
Philippine's first universal bank established on July 22, 1916.  
The bank's core business consists of lending and deposit-taking
activities from corporate, middle market and retail customers,
as well as various government units.  Its other principal
activities include bill discounting, fund transfers, remittance
servicing, foreign exchange dealings, retail banking, trust
services, treasury operations and trade finance.  Through its
subsidiaries, PNB engages in a number of diversified financial
and related businesses such as international merchant banking,
investment banking, life/non-life insurance, leasing, financing
of small-and-medium-sized industries, and financial advisory
services.  It introduced innovations such as the bank on wheels,
computerized banking, ATM banking, mobile money changing and
domestic travelers' checks.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
November 6, 2006, that Moody's Investors Service has revised the
outlook of Philippine National Bank's foreign currency long-term
deposit rating of B1, local currency senior debt rating of Ba2,
and local currency subordinated debt rating of Ba3 to stable
from negative.

The outlook for PNB's foreign currency Not-Prime short-term
deposit rating and bank financial strength rating of E remains
stable.

The Troubled Company Reporter - Asia Pacific reported on Nov. 1,
2006 that Fitch Ratings affirmed Philippine National Bank's
Individual rating at 'E' and Support rating '3' after a review
of the bank.

The Troubled Company Reporter - Asia Pacific reported that
Standard and Poor's Ratings Services has given PNB 'B' Short-
Term Foreign Issuer Credit and Short-Term Local Issuer Credit
Ratings, as well as 'B-' Long-Term Foreign Issuer Credit and
Long-Term Local Issuer Credit Ratings effective as of April 26,
2006.


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

NFC FERTILIZER: Reports on Progress of Operations
-------------------------------------------------
In a report to the Stock Exchange of Thailand regarding the
progress of its operations, NFC Fertilizer PCL's financial
advisor said that, in the case of non-additional investment, the
company will be able to break its record even in its annual
production and sales volume at about 833,000 tons.

However, in the case of additional investment of about
THB238 million, the company will reach its break even at a
higher point of over than 1,000,000 ton per year.  Consequently,
this will contribute to even greater operational loss in
production and sale.  In the same way, the technical report,
which studies on the production volume relying on the actual
capability of existing machinery and the appropriateness in
budgetary investment, shows that the company will have to invest
an additional THB408 million to improve its machinery and plant
to its workable capacity.  Such improvement will only contribute
to fertilizer production at maximum level of 550,000 ton per
year.

The additional investment will be used to repair and maintain
the physical of machinery and equipment under the same
production technology but it can not improve the efficiency
level.  Therefore, the improvement in current machinery is not
worth to invest.  The Board of Directors then proposed this
issue for acknowledgment at the Annual General Meeting of
Shareholders for the Year 2007 on April 26, 2007.  The Board of
Directors will then propose further details on how to sell or
dispose its assets, and also to propose the future business plan
to the shareholders at the next Shareholders' Meeting.  The
further progress is expected to be within the third quarter of
year 2007.
   
Meanwhile, the company still has fertilizer trading activities
under the its trademark.  In addition, the company also earns
revenue from the sale of gypsum, as well as from importing and
selling sulfuric acid and ammonia.

Regarding the development of a new project, Liquid Buffer Tank
Farm will most likely be added into the company's new business
plan.  The new business plan is referred as a part of the
rehabilitation plan of Rayong Bulk Terminal Co. Ltd ("RBT"),
which is 83% owned by the company.

                  About NFC Fertilizer

Headquartered in Bangkok, NFC Fertilizer Public Company Limited
-- http://www.nfc.co.th/-- produces chemical fertilizer  
containing nitrogen, phosphate, and potash, under its Nation
Fertilizer brand name.  Additionally, it imports and distributes
urea, ammonium sulfate, and potassium chloride fertilizers.  The
company also distributes phosphoric acid and gypsum, which are
by-products of its fertilizer production.

The company is currently listed under the "Non-Performing Group"
sector of the Stock exchange of Thailand.

The Troubled Company Reporter - Asia Pacific reported that
Methee Ratanasrimetha at M.R. & Associates Co., Ltd., the
company's independent auditors, raised significant doubt on the
company's ability to continue as a going concern, saying that
the company's factory is greatly deteriorated and suffers from
lack of maintenance due to strained working capital.


PICNIC CORP: Ends Joint Venture with Ruamnakornkorsrang
-------------------------------------------------------
Picnic Corp. PCL is currently dissolving its joint venture with
Ruamnakornkorsrang (Thailand) Co. Ltd., according to a company
disclosure with the Stock Exchange of Thailand dated June 1,
2007.

The joint venture was established on September 22, 1999, in
order to undertake construction projects.  The company owned 49%
of the venture while Ruamnakornkorsrang (Thailand) owned 51%.
The company stated that since both projects have been completed,
the joint venture is now being dissolved.

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

                   Going Concern Doubt

After reviewing the consolidated financial statements of Picnic
Corp. PCL for the quarter ended March 31, 2007, Somchai
Kurujitkosol, at S.K. Account Services Co. Ltd., raised
significant doubt on the company's ability to continue as a
going concern due to its illiquid balance sheets.  As of
March 31, 2007, the Company's total current liabilities of
THB4.23 billion exceeded its total current assets of
THB1.97 billion.   


TMB BANK: Moody's Rates Hybrid Securities at B1
-----------------------------------------------
Moody's Investors Service has downgraded its ratings for TMB
Bank PCL's US$200 million hybrid tier-1 securities from Ba2 to
B1 with a stable outlook, Bloomberg reports.

Moody's analyst Karolyn Seed disclosed in a statement that the
downgrade reflects the bank's concerns over possible non-payment
of its July interest of THB240 million or US$6.9 million on the
tier-1 securities.

Moody's finds a distinct possibility of a net loss for TMB in
the first half of 2007, since local economy is weak. By then,
Ms. Seed relates, the bank would be compelled to seek approval
by the Bank of Thailand to pay the interest in July.

The terms of the securities dictate that if TMB reports a
negative net profit during any interest payment period, it will
be exempted from making payment.


* Economy Exceeds Expectations, Grows 1.2% from 2006
----------------------------------------------------
Thailand's economy grew beyond analysts' expectations, as
official data showed a growth of 1.2% in the first three months
of 2007 from the last quarter of 2006, Reuters reports.

In an official statement, Thailand's state planning agency
revealed that Thailand's economy grew 4.3% from 2006, coinciding
with an expansion in the fourth quarter which was revised from a
previous 4.2%. The planning agency had lowered its growth
forecast to 4%-4.5% from the 4%-5% projection in March, and
ranked Thailand among Southeast Asia's worst performers for
2007.






                            *********

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.  Mark Andre Yapching, Azela Jane Taladua, Rousel
Elaine Tumanda, Valerie Udtuhan, Francis James Chicano, Tara
Eliza Tecarro, Freya Natasha Fernandez, Frauline S. 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
to be reliable, but is not guaranteed.
   
TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.
   
                 *** End of Transmission ***