TCRAP_Public/070702.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R  
  
                     A S I A   P A C I F I C  

             Monday, July 2, 2007, Vol. 10, No. 129

                            Headlines

A U S T R A L I A

AYMTRAM PTY: Creditors Resolve to Close Business
BEARING ENGINEERING: Appoints Francesco Ingarsia as Liquidator
CAFENTA PTY: Sets Members? Final Meeting for July 27
COLIN KWONG: Sets Members? Final Meeting for July 26
DOSEC PTY: Shareholders to Meet on July 18

HUNGRY DOG: Members Opt to Shut Business
JEFF MOULSDALE: Placed Under Members? Voluntary Liquidation
MEGAVISION INTERNATIONAL: Members & Creditors to Meet on July 26
MKI TRADING: Requires Creditors to File Claims by July 17
THE HARBORD: Members to Receive Wind-Up Report on July 27

W.R. GRACE: Wants Exclusive Plan-Filing Period Further Extended
W.R. GRACE: Wants to Sell Washcoat Business for US$21.9 Million
XILLIX TECHNOLOGIES: Court Gives Interim Nod on Plan
ZINIFEX LIMITED: Prepares for Europe Float with Umicore in Oct.
ZINIFEX LIMITED: Execs to Get AU$11 Million Early Bonus Shares


C H I N A   &   H O N G  K O N G

C.T. INTERNATIONAL: Shareholders Agree on Liquidation
CHAROEN POKPHAND: Names Pang Siu Chik, Alick as Liquidator
CHINA EASTERN: Expects to Return to Black in First Half of 2007
CHINA EASTERN: Gets Prelim. Gov?t. Nod for Singapore Air Deal
CHINA SOUTHERN: To Form Air Cargo Venture with Air France KLM

CHOW KEE: Creditors? Proofs of Debt Due by July 25
CONCORD COMMUNICATIONS: Commences Wind-Up Proceedings
CTL TOOLS: Taps Joint Liquidators
GAI NIN: Appoints Pang Siu Chik as Liquidator
GREAT CHINA: Proofs of Claim Bar Date is on July 30

JAUNTWALL LIMITED: Sets Annual Meeting for July 6
JOI MAXIE: Commences Wind-Up Proceedings
THE CHRISTIAN CHURCH: Placed Under Voluntary Liquidation
* SAFE Punishes 19 Chinese Banks for Involvement in Illegal Acts
* China?s New Bankruptcy Law Lures Investors, Research Says


I N D I A

BALLARPUR INDUSTRIES: Allots 77,27,958 Equity Shares to IFC
DENA BANK: Declares 8% Dividend for Fiscal Year 2006-07
DECCAN AVIATION: Gets Three-Year Helicopter-Services Contract
GENERAL MOTORS: Sells Unit to Carlyle Group & Onex for US$5.6BB
GENERAL MOTORS: Goldman Sachs Raises Ratings to Buy on Wage Cuts

LOK HOUSING: CRISIL Reaffirms D Rating on INR170-Mil. Debentures
NAVISTAR INT'L: DA Davidson Maintains Underperform Rating


I N D O N E S I A

ALCATEL-LUCENT: Wins US$126-Million Contract From Cricket
HESS CORP: To Suspend Drilling Operations at Pony #2 Well
NORTEL NETWORKS: Appoints New New Chief Information Officer
PARKER DRILLING: To Offer US$115-Mil Convertible Senior Notes


J A P A N

HITACHI ZOSEN: Gets Business Suspension Order
ITOCHU CORP: Forms Business and Capital Alliance with Kanemi Co.
NOVA CORP: Shareholders Lose Faith in Management After Scandal


K O R E A

DYNCORP INTERNATIONAL: Awarded LOGCAP IV Contract by US Army
SHINHAN BANK: To Disposes of Entire Stake in Shinhan Financial
SK CORP: Plans to Delist From Luxembourg Stock Exchange
YOUNGCHANG SILUP: Crimson H&C Acquires 732,108 Shares


M A L A Y S I A

FOREMOST HOLDINGS: CIMB Bank Okays Settlement; Sets Conditions


N E W  Z E A L A N D

AIR NEW ZEALAND: Inks Code-Share Pacts With 2 Chinese Airlines
AIR NEW ZEALAND: Qantas Sells 4.2% Stake for NZ$119 Million
ALLIED SHEETMETALS: Court to Hear Wind-Up Petition Today
BRAGATO COMPANY: Shareholders Decide to Liquidate Business
CASH PLUS: Requires Creditors to File Claims by July 4

COPIER SERVICE: Fixes July 5 as Last Day to File Claims
DURASET HOLDINGS: Wind-Up Petition Hearing Set for Today
DURASET (NZ): Subject to CIR?s Wind-Up Petition
GODZONE ENTERPRISES: Shareholders Resolve to Close Business
JEET GROUP: Court to Hear Wind-Up Petition on August 1

NATUSCH TRANSPORT: Faces CIR?s Wind-Up Petition
TRANSAX PROCESSING: Proofs of Debt Due by July 4
WATERHOUSE FARMS: Appoints Daniel Perry Johnston as Liquidator


P H I L I P P I N E S

JG SUMMIT: Elects Directors & Officers for 2007
JG SUMMIT: Mulls Options for Repayment of US$300 Million Loan
PHIL AIRLINES: Posts 3rd Annual Net Income of US$140.3 Million
PHIL AIRLINES: Talks for Clark Eco-zone Lease in Final Round
SAN MIGUEL: In Talks With Gov?t to Build 10 Corn Grain Centers

* Foreign Debts for 1st Qtr. 2007 Down 2% from 2006 to US$54 BB
* Gov?t Plans Sale of Assets& Expects PHP105 Billion in Proceeds


S I N G A P O R E

CATALOG MAGAZINE: Wind-Up Petition Hearing Set for July 6
COMPACT METAL: Shareholder Reduces Stake in Company
DIGILAND INTERNATIONAL: Enters MOU with Vincente Holdings
KIM POH: Will Pay Dividend on July 9
RINOL SINGAPORE: Proofs of Debt Due by July 6

WSID PTE: Creditors? Meeting Set for Today


T H A I L A N D

DAIMLERCHRYSLER: CEO Upbeat on Future Following Chrysler Sale
DAIMLERCHRYSLER AG: MAN and Freightliner Settle ERF Case
KASIKORNBANK PCL: Fitch Affirms Individual ?C? Rating
KASIKORNBANK PCL: Elects Pairash Thajchayapong as Director
KUANG PEI: To Acquire 7.5 Million Shares in Kuang Holding

MANAGER MEDIA: Civil Court OKs Amendment of Rehabilitation Plan
NATURAL PARK: Completes Capital Increasing Procedures
SIAM COMMERCIAL: Fitch Affirms Individual Rating at ?C?


* Moody's Says Asia-Pacific Negative Credit Trend Moderating

     - - - - - - - -

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

AYMTRAM PTY: Creditors Resolve to Close Business
------------------------------------------------
The creditors of Aymtram Pty Ltd met on June 14, 2007, and
resolved to close the company?s business.

David Anthony Hurst and Andrew Hugh Jenner Wily of Armstrong
Wily were appointed as liquidators.

The Liquidators can be reached at:

         David Anthony Hurst
         Andrew Hugh Jenner Wily
         Armstrong Wily, Chartered Accountants
         Level 5, 75 Castlereagh Street
         Sydney, New South Wales 2000
         Australia

                        About Aymtram Pty

Aymtram Pty Ltd, which is also trading as Peter Thomas &
Associates, provides business services.  The company is located
in New South Wales, Australia.


BEARING ENGINEERING: Appoints Francesco Ingarsia as Liquidator
--------------------------------------------------------------
On June 6, 2007, the members of Bearing Engineering Services Pty
Ltd met and agreed to voluntarily liquidate the company?s
business.

Francesco Ingarsia was appointed as liquidator.

The Liquidator can be reached at:

         Francesco Ingarsia
         Bearing Engineering Services Pty Ltd
         Building 8, Level 1
         49 Frenchs Forest Road
         Frenchs Forest, New South Wales 2086
         Australia

                   About Bearing Engineering

Bearing Engineering Services Pty Ltd provides engineering
services.  The company is located in New South Wales, Australia.


CAFENTA PTY: Sets Members? Final Meeting for July 27
----------------------------------------------------
Cafenta Pty Ltd will hold the final meeting for its members on
July 27, 2007, at 10:00 a.m.

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

The company?s liquidator is:

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

                        About Cafenta Pty

Cafenta Pty Ltd operates miscellaneous business credit
institutions.  The company is located in New South Wales,
Australia.


COLIN KWONG: Sets Members? Final Meeting for July 26
----------------------------------------------------
A final meeting will be held for the members of Colin Kwong
Industrial Leather Products Pty Limited on July 26, 2007, at
10:00 a.m. at 66 Fernleigh Road in Caringbah New South Wales
2229, Australia.

At the meeting, the members will be asked to:

   -- receive and adopt the liquidator's report about the
      company?s wind-up proceedings and property disposal;

   -- receive and adopt the liquidator?s statement and
      Australian Securities and Investments Commission Form 524
      Accounts; and

   -- transact other business.

                        About Colin Kwong

Colin Kwong Industrial Leather Products Pty Ltd is a distributor
of leather goods.  The company is located in New South Wales,
Australia.


DOSEC PTY: Shareholders to Meet on July 18
------------------------------------------
The shareholders of Dosec Pty Ltd will meet on July 18, 2007, at
12:30 p.m., to receive the liquidator?s report about the
company?s wind-up proceedings and property disposal.

The company?s liquidator is:

         A. Koutzoumis
         Holden & Bolster Avenir Pty Ltd
         Suite 3101, Level 31
         Australia Square, 264-278 George Street
         Sydney, New South Wales 2000
         Australia

                         About Dosec Pty

Dosec Pty Ltd is a distributor of construction machinery and
equipment.  The company is located in New South Wales,
Australia.


HUNGRY DOG: Members Opt to Shut Business
----------------------------------------
The members of Hungry Dog Pty Ltd met on June 15, 2007, and
agreed to shut down the company?s business.

Hungry Dog Pty Ltd, which is also trading as Classic Country
Cottages, is a general contractor of single-family houses.  The
company is located in New South Wales, Australia.


JEFF MOULSDALE: Placed Under Members? Voluntary Liquidation
-----------------------------------------------------------
During a general meeting held on June 1, 2007, the members of
Jeff Moulsdale & Associates Pty Limited decided to voluntarily
liquidate the company?s business and appointed Mark W. Willock
as liquidator.

Jeff Moulsdale & Associates Pty Limited operates investment
offices.  The company is located in New South Wales, Australia.


MEGAVISION INTERNATIONAL: Members & Creditors to Meet on July 26
----------------------------------------------------------------
A joint meeting will be held for the members and creditors of
Megavision International Pty Limited on July 26, 2007, at 10:30
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 liquidator is:

         John D. Green
         BDO Kendalls, Level 19
         2 Market Street, Sydney
         Australia

                 About Megavision International

Megavision International Pty Limited provides business services.  
The company is located in New South Wales, Australia.


MKI TRADING: Requires Creditors to File Claims by July 17
---------------------------------------------------------
MKI Trading Systems Pty Limited, which is in liquidation,
requires its creditors to file their proofs of debt by July 17,
2007.

Creditors who cannot file their claims by the due date will be
excluded from sharing in the company?s dividend distribution.

The company?s liquidator is:

         D. J. F. Lombe
         225 George Street
         Sydney, New South Wales 2000
         Australia

                       About MKI Trading

MKI Trading Systems Pty Limited, which is also trading as Nynex,
is involved with prepackaged software.  The company is located
in New South Wales, Australia.


THE HARBORD: Members to Receive Wind-Up Report on July 27
---------------------------------------------------------
The Harbord Diggers' Memorial Club Ltd will hold a meeting for
its members on July 27, 2007, at 11:00 a.m.

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

The company?s liquidator is:

         G. A. Russell
         Russell Corporate Advisory
         Suite 304, Level 3
         97 Pacific Highway
         North Sydney, New South Wales 2060
         Australia

                        About The Harbord

The Harbord Diggers' Memorial Club Ltd provides individual and
family social services.  The company is located in New South
Wales, Australia.


W.R. GRACE: Wants Exclusive Plan-Filing Period Further Extended
---------------------------------------------------------------
W.R. Grace & Co. and its debtor-affiliates ask the Hon. Judith
Fitzgerald of the U.S. Bankruptcy Court for the District of
Delaware to further extend their exclusive period to:

  (i) file a plan of reorganization until 90 days after the
      Court issues a final order on the personal injury claims
      estimation trial; and

(ii) solicit acceptances of that plan until 60 days after a
      reorganization plan is filed.

The trial dates for the estimation of the Debtors' personal
injury liabilities will begin January 2008, Timothy P Cairns,
Esq., at Pachulski Stang Ziehl Young Jones & Weintraub, LLP, in
Wilmington, Delaware, relates.

Mr. Cairns asserts that the PI Estimation Trial remains the key
event in the Debtors' Chapter 11 cases and is required for the
confirmation of any reorganization plan.  It is through the PI
Estimation Trial and other asbestos claims litigation that the
issue of insolvency will be resolved, Mr. Cairns contends.

Competing plans of reorganization will only distract the parties
and the Court, and create yet more litigation, Mr. Cairns
asserts.  The Debtors suspect that various other constituents
including the Official Committee of Asbestos Personal Injury
Claimants and the Future Claims Representative want to file a
competing plan that presumes the Debtors' insolvency to send a
message to the market that the Debtors appear substantially
insolvent thereby eroding the Debtors' stock price and, in turn,
possibly weakening the equity holders' ability to negotiate
effectively.

"Lifting exclusivity will not advance formulation of a
confirmable reorganization plan and a quicker exit from Chapter
11," Mr. Cairns says.  "The other constituents in the Debtors'
cases could not confirm a plan without incorporating the results
from the PI Estimation Trial."

Accordingly, the Debtors insist that exclusivity should be
extended to allow the results from the PI Estimation Trial to be
incorporated into a plan of reorganization

Mr. Cairns points out that the Debtors have made significant
progress in their bankruptcy cases.  Among other things, the
pool of property damage claims have been reduced from 4,042 in
March 2003 to 483 PD Claims as of June 11, 2007.  From 2003 to
June 2007, the Debtors have also settled several of the PD
Claims.  Other PD Claims have been withdrawn or disallowed by
the Court.  Of the remaining 483 PD Claims, about 268 are
subject to settlements and 215 are not.

Mr. Cairns adds that as of June 1, 2007, the Debtors have
resolved approximately 2,900 non-asbestos claims, leaving only
approximately 348 open and unresolved non-asbestos claims.  More
than 14,000 non-asbestos claims were filed against the Debtors
in March 2003.

By application of Delaware Local Rule 9006-2, the Debtors'
exclusive period is automatically extended until July 23, 2007,
when the Court will convene a hearing on the extension request.

                      About W.R. Grace

Headquartered in Columbia, Md., W.R. Grace & Co. (NYSE:GRA)
-- http://www.grace.com/-- supplies catalysts and silica  
products, especially construction chemicals and building
materials, and container products globally, including Argentina,
Australia and Ireland.

The Company and its debtor-affiliates filed for chapter 11
protection on April 2, 2001 (Bankr. D. Del. Case No. 01-01139).
James H.M. Sprayregen, Esq., at Kirkland & Ellis, and Laura
Davis Jones, Esq., at Pachulski, Stang, Ziehl, Young, Jones &
Weintraub, P.C., represent the Debtors in their restructuring
efforts.  The Debtors hired Blackstone Group, L.P., for
financial advice.  PricewaterhouseCoopers LLP is the Debtors'
accountant.

Stroock & Stroock & Lavan LLP represent the Official Committee
of Unsecured Creditors.  The Creditors Committee tapped Capstone
Corporate Recovery LLC for financial advice.  David T. Austern,
the legal representative of future asbestos personal injury
claimants, is represented by Orrick Herrington & Sutcliffe LLP
and Phillips Goldman & Spence, PA.  Anderson Kill & Olick, P.C.,
represent the Official Committee of Asbestos Personal Injury
Claimants.  The Asbestos Committee of Property Damage Claimants
tapped Martin W. Dies, III, Esq., at Dies & Hile L.L.P., and C.
Alan Runyan, Esq., at Speights & Runyan,to represent it.   
Lexecon, LLP, provided asbestos claims consulting services to
the Official Committee of Equity Security Holders.

The Debtors' filed their Chapter 11 Plan and Disclosure
Statement on Nov. 13, 2004.  On Jan. 13, 2005, they filed an
Amended Plan and Disclosure Statement.  The hearing to consider
the adequacy of the Debtors' Disclosure Statement began on Jan.
21, 2005.  The Debtors' exclusive period to file a chapter 11
plan expires on July 23, 2007.

At Dec. 31, 2006, the W.R. Grace's balance sheet showed total
assets of $3,620,400,000 and total debts of $4,189,100,000.   
W.R. Grace Bankruptcy News, Issue No. 132; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000.


W.R. GRACE: Wants to Sell Washcoat Business for US$21.9 Million
-------------------------------------------------------------
W.R. Grace & Co. and its debtor-affiliates operate a business
line -- the Washcoat Business -- that designs, manufactures, and
markets alumina and mixed-oxide materials used in catalytic
converters to remove pollutants produced by automotive and other
engines.

The Washcoat Business also sells into the automobile supply
chain end in which the Debtors have no other presence and have
limited leverage, Timothy P. Cairns, Esq., at Pachulski Stang
Ziehl Young Jones & Weintraub, LLP, in Wilmington, Delaware,
tells the United States Bankruptcy Court for the District of
Delaware.

In 2006, the Washcoat Business had sales of approximately
US$25,800,000, which is less than 1% of the Debtors'
consolidated revenue for that year, according to Mr. Cairns.

In the third quarter of 2006, the Debtors made known that they
were considering strategic alternatives for the Washcoat
Business.  The Debtors determined that the Washcoat Business is
not complementary to their other business lines, had low sales
and yet required frequent management attention.

Thus, the Debtors and their financial advisor began marketing
and soliciting potential buyers for the Washcoat Business and
have since contacted numerous strategic and financial buyers.  
The marketing efforts culminated in the entry of a sale
agreement with Rhodia, Inc., who agreed to purchase the Business
for approximately US$21,900,000 subject to certain post-closing
adjustments through a private sale process.

Under the Sale Agreement, all of the Debtors' right, title and
interest in assets used exclusively in the Washcoat Business,
including real property, leases, machinery, equipment,
inventory, accounts receivable, books and record, software, and
claims under insurance policies will be transferred to Rhodia.

Rhodia, however, will not assume certain of the Debtors' assets,
including:

  -- all of the Debtors' assets not used for the Business;

  -- the Washcoat intellectual property, which is being provided
     to Rhodia under a license agreement; and

  -- the assets of the Debtors' silica manufacturing operations
     that have shared facilities with the Washcoat Business in
     Cincinnati, Ohio.

Rhodia will also assume all liabilities and obligations arising
out of the operation or ownership of the Transferred Assets
post- closing, including (i) post-closing employment liabilities
and (ii) all removal, repair or abatement-related liabilities
related to the presence of lead or asbestos in any of the
buildings, structures, improvements and fixtures in the Washcoat
real property.

Rhodia will not assume all pre-closing liabilities arising from
exposure to hazardous substance related to the Debtors'
businesses other than the Washcoat Business and all liabilities
arising out of the Transferred Assets arising on or before the
Closing Date.

The Debtors will make an offer concerning certain conditions of
employment to non-bargaining unit employees and no more than 27
bargaining unit employees, provided that the terms of the
compensation is comparable to the existing compensation to the
employees.  The Debtors will also use reasonable commercial
efforts to offer a voluntary severance plan to their bargaining
unit employees located at the Cincinnati facility.  Rhodia will
not assume any employee benefit plans.

The Debtors will assume and assign several executory contracts
and unexpired leases of the Washcoat Business to Rhodia.  
Payments of the Cure Amounts will be shared equally between the
Debtors and Rhodia.  As of June 18, 2007, the Debtors estimate
that the cure amounts for the Assumed Contracts is US$0.

The Sale Agreement provides that the Debtors will indemnify
Rhodia for certain intellectual property-related indemnities for
up to five years after the Closing Date provided that the
indemnification will not exceed 15% of the Purchase Price.

Accordingly, the Debtors seek the Court's permission to sell the
Washcoat Business to Rhodia, free and clear of all liens and
claims through a private sale process.

The Debtors assert that if they are to proceed with a public
auction, their estates will incur significant market risk with
low probability of identifying a higher and better offer.  The
Debtors believe that further delays in completing the sale could
lead to deteriorating financial performance of the Washcoat
Business.

In any event, the Debtors seek the Court for permission to pay
Rhodia US$547,500 as Break-Up Fee in the event they complete a
sale of the Washcoat Business to another bidder other than
Rhodia.

                      About W.R. Grace

Headquartered in Columbia, Md., W.R. Grace & Co. (NYSE:GRA)
-- http://www.grace.com/-- supplies catalysts and silica  
products, especially construction chemicals and building
materials, and container products globally, including Argentina,
Australia and Ireland.

The Company and its debtor-affiliates filed for chapter 11
protection on April 2, 2001 (Bankr. D. Del. Case No. 01-01139).
James H.M. Sprayregen, Esq., at Kirkland & Ellis, and Laura
Davis Jones, Esq., at Pachulski, Stang, Ziehl, Young, Jones &
Weintraub, P.C., represent the Debtors in their restructuring
efforts.  The Debtors hired Blackstone Group, L.P., for
financial advice. PricewaterhouseCoopers LLP is the Debtors'
accountant.

Stroock & Stroock & Lavan LLP represent the Official Committee
of Unsecured Creditors.  The Creditors Committee tapped Capstone
Corporate Recovery LLC for financial advice.  David T. Austern,
the legal representative of future asbestos personal injury
claimants, is represented by Orrick Herrington & Sutcliffe LLP
and Phillips Goldman & Spence, PA.  Anderson Kill & Olick, P.C.,
represent the Official Committee of Asbestos Personal Injury
Claimants.  The Asbestos Committee of Property Damage Claimants
tapped Martin W. Dies, III, Esq., at Dies & Hile L.L.P., and C.
Alan Runyan, Esq., at Speights & Runyan,to represent it.  
Lexecon, LLP, provided asbestos claims consulting services to
the Official Committee of Equity Security Holders.

The Debtors' filed their Chapter 11 Plan and Disclosure
Statement on Nov. 13, 2004.  On Jan. 13, 2005, they filed an
Amended Plan and Disclosure Statement.  The hearing to consider
the adequacy of the Debtors' Disclosure Statement began on Jan.
21, 2005.  The Debtors' exclusive period to file a chapter 11
plan expires on July 23, 2007.

At Dec. 31, 2006, the W.R. Grace's balance sheet showed total
assets of US$3,620,400,000 and total debts of $4,189,100,000.  
(W.R. Grace Bankruptcy News, Issue No. 132; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000).


XILLIX TECHNOLOGIES: Court Gives Interim Nod on Plan
----------------------------------------------------
Xillix Technologies Corp. (TSX: XLX) disclosed last week that
the Supreme Court of British Columbia granted an interim order
approving a consolidated plan of compromise and arrangement
under the Companies Creditors Arrangement Act and the British
Columbia Business Corporations Act.

The arrangement provided for in the Plan would recapitalize and
reorganize the company, resulting in funding of $4.4 million.

The Plan provides for:

    (i) an investment in the company by Cavalon Capital Partners
        Ltd., a Calgary based private investment company, in the
        amount of US$4,400,000, structured as a non-interest
        bearing loan;

   (ii) the settlement and release of all of the company's
        secured and unsecured creditors' claims in exchange for
        the payment of a total of US$3,600,000, of which not
        less than US$600,000 will be paid to the unsecured
        creditors (on a pro rata basis), leaving the company
        with a cash balance of US$800,000;

  (iii) the conversion of approximately 94.5% of the Convertible
        Loan into common shares and a new class of non-voting
        shares of the company, such that immediately following
        such conversion Cavalon would hold 45% of the (voting)
        common shares and 100% of the non-voting shares then
        outstanding, providing it with the ownership of 45% of
        the voting and 80% of the equity interests in the
        company;

   (iv) the cancellation of all outstanding options, warrants,
        exchange rights and conversion rights; and

    (v) the change of the company's name to "Zillion  
        Technologies Corp." or such other name as its directors
        may approve.

The remaining sum of US$240,000 would then be owing by the
company to Cavalon under the Convertible Loan.

The completion of the Arrangement will be subject to a number of
conditions, including the entering into of a definitive
agreement by the company and Cavalon providing for the
Convertible Loan, the approval of the Plan by the company's
secured and unsecured creditors, the granting of a final Court
order approving the Plan, and the receipt of all required
regulatory approvals, including the approval of the Toronto
Stock Exchange.

The company expects to hold a creditors meeting to consider and
approve the Plan on July 9, 2007.  If the Plan is approved by
the creditors, it is anticipated that the company will apply to
Court for a final order approving the Plan on or about July 25,
2007 and that the Arrangement will be completed by the end of
July.

On May 3, 2007, the company sold substantially all of its
assets, including its intellectual property, certain capital
assets and inventory to Novadaq Technologies Inc., of Toronto,
Ontario.  The completion of the Arrangement would enable the
company to seek additional capital and pursue potential
acquisitions.

Xillix Technologies Corp. (TSX:XLX) -- http://www.xillix.com/--  
is a Canadian medical device company and is known for using
fluorescence endoscopy for improved cancer detection.  The
company's currently approved device, Onco-LIFETM, incorporates
fluorescence and white-light endoscopy in a single device that
has been developed for the detection and localization of lung
and gastrointestinal cancers.  Onco-LIFE is approved for sale in
the United States for the lung application and in Europe, Canada
and Australia for both lung and gastrointestinal applications.  
The company also recently developed a new product, LIFE
LuminusTM, designed to allow fluorescence imaging of the colon
using conventional video endoscope technology.


ZINIFEX LIMITED: Prepares for Europe Float with Umicore in Oct.
---------------------------------------------------------------
Zinifex Limited and Belgium?s Umicore are banking on base metals
and equities markets holding up sufficiently to allow for an
October float on European markets of their AU$5 billion combined
zinc smelter business, Nyrstar, Barry Fitzgerald writes for The
Age.

According to Mr. Fitzgerald, shareholders must first approve the
transfer of the company?s group smelting assets to Nyrstar.

If approved, Zinifex's assets to be contributed to Nyrstar are
the Hobart, Port Pirie, Clarksville (US) and Budel (the
Netherlands) smelting and alloying operations, and its
shareholdings in Australian Refined Alloys and Genesis Alloys
(China).  Umicore's assets to be contributed are in Belgium,
France, Thailand and China, relates Mr. Fitzgerald.

Mr. Fitzgerald writes that depending on the market conditions,
Zinifex said that October would be the earliest that Nyrstar, in
which it will hold 60%, could be floated.  

Mr. Fitzgerald relays that both companies believe that their
smelting assets are undervalued by the market, and that stand-
along miners and smelting groups are more highly valued by the
market than integrated groups.

However, Zinifex previously claims that if it cannot find a use
for the funds through acquisitions, the proceeds would be
returned to shareholders at AU$6.60 a share.

                    About Zinifex Limited

Zinifex Limited, one of the world's largest integrated zinc and
lead companies -- http://www.zinifex.com/-- is headquartered in  
Melbourne, Australia.  The company owns and operates two mines
and four smelters.  The mines and two of the smelters are
located in Australia and supply the growing industrial markets
of the Asian-Pacific region, including China.  The company also
has a zinc smelter in the Netherlands and the United States.   
The company sells a range of zinc metal, lead metal, and
associated alloys in 20 countries.  More than 80% of the
company's products are distributed outside Australia,
particularly in Asia, which is experiencing significant growth
in construction activity and vehicle production.  Zinc is used
for steel galvanizing and die-casting and lead for lead acid
batteries used mainly in cars and other vehicles.

                         *     *     *

On March 21, 2007, Fitch Ratings affirmed Zinifex Limited's
'BB+' Issuer Default rating with a Stable Outlook, following its
offer to buy Wolfden Resources Inc for approximately CDN$360   
million (approximately AU$385m).  Wolfden's board has
unanimously recommended that shareholders accept Zinifex's
offer.


ZINIFEX LIMITED: Execs to Get AU$11 Million Early Bonus Shares
--------------------------------------------------------------
Fifty senior executives of Zinifex Limited will receive an early
share payout aggregating as much as AU$11 million as the company
spins off and floats its smelting and refining assets, Andrew
Trounson, of News.com, reports.

According to the report, the executives will be paid out a
proportion of their long-term incentive bonus shares as they
will leave Zinifex to join Nyrstar.

Meanwhile, those executives staying with Zinifex will be paid
out a similar proportion of their bonus entitlement to the
amount of AU$5 million, based on the current share price value
of the share awards, and the ones leaving AU$6 million.

Zinifex revealed to News.com that it was important for both sets
of employees to be treated equally.

News.com quotes the company saying, ?The willingness of these
key executives to transfer to Nyrstar and the ability to
undertake the Nystar proposal would be placed in jeopardy if
such an award were not made to compensate them for the benefits
that otherwise lapse on their leaving Zinifex.?

                    About Zinifex Limited

Zinifex Limited, one of the world's largest integrated zinc and
lead companies -- http://www.zinifex.com/-- is headquartered in  
Melbourne, Australia.  The company owns and operates two mines
and four smelters.  The mines and two of the smelters are
located in Australia and supply the growing industrial markets
of the Asian-Pacific region, including China.  The company also
has a zinc smelter in the Netherlands and the United States.   
The company sells a range of zinc metal, lead metal, and
associated alloys in 20 countries.  More than 80% of the
company's products are distributed outside Australia,
particularly in Asia, which is experiencing significant growth
in construction activity and vehicle production.  Zinc is used
for steel galvanizing and die-casting and lead for lead acid
batteries used mainly in cars and other vehicles.

                         *     *     *

On March 21, 2007, Fitch Ratings affirmed Zinifex Limited's
'BB+' Issuer Default rating with a Stable Outlook, following its
offer to buy Wolfden Resources Inc for approximately CDN$360   
million (approximately AU$385m).  Wolfden's board has
unanimously recommended that shareholders accept Zinifex's
offer.


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

C.T. INTERNATIONAL: Shareholders Agree on Liquidation
-----------------------------------------------------
On June 22, 2007, the shareholders of C.T. International Trading
Limited agreed to voluntarily liquidate the company?s business
and appointed Pang Siu Chik as liquidator.

The Liquidator can be reached at:

         Pang Siu Chik, Alick
         China Merchants Building, Room 804
         152-155 Connaught Road
         Central, Hong Kong


CHAROEN POKPHAND: Names Pang Siu Chik, Alick as Liquidator
----------------------------------------------------------
On June 22, 2007, Pang Siu Chik, Alick was appointed as
liquidator of Charoen Pokphand Insurance Limited.

The Liquidator can be reached at:

         Pang Siu Chik, Alick
         China Merchants Building, Room 804
         152-155 Connaught Road, Central
         Hong Kong


CHINA EASTERN: Expects to Return to Black in First Half of 2007
---------------------------------------------------------------
Li Fenghua, China Eastern Airlines? chairman, is optimistic that
the company will return to black in the first half of this year,
helped by strong business growth and recently introduced
accounting rules, Reuters reports.

In an interview with Reuters, Mr. Li said that the company
expects its net profit for all of 2007 to total about
CNY200 million (US$26 million).

China Eastern, according to Reuters, posted a net loss of
CNY2.78 billion in 2006, and had previously said it expected to
report a loss for the first half of this year.


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.


CHINA EASTERN: Gets Prelim. Gov?t. Nod for Singapore Air Deal
-------------------------------------------------------------
China Eastern Airlines Corp. won preliminary government approval
to sell a stake to Singapore Airlines Ltd., Chairman Li Fenghua
told Shanghai Daily.

The sale, according to Mr. Li, was approved by the State
Administration of State-owned Assets Commission.  Mr. Li added
that the airline is still discussing final details with other
regulators.

On May 31, 2007, the Troubled Company Reporter ? Asia Pacific
reported that Singapore Airlines Ltd and parent Temasek Holdings
Pte may pay about US$930 million for a combined 24% stake in
China Eastern.  Singapore Airlines would invest about
US$600 million and Temasek about US$330 million for the combined
stake, the TCR-AP added.

The deal is expected to be completed soon, Mr. Li told The
Daily.  No definite timeframe, however, was disclosed.

The paper, however, notes that the approval procedure will
probably take at least another two weeks to complete, as the
deal needs to be sanctioned by at least five departments under
the State Council.


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.


CHINA SOUTHERN: To Form Air Cargo Venture with Air France KLM
-------------------------------------------------------------
China Southern Airlines has entered into exclusive talks to
create a joint venture with Air France KLM in the cargo
business, Reuters reports.

On May 17, the Troubled Company Reporter ? Asia Pacific reported
that China Southern Airlines confirmed with the Hong Kong Stock
Exchange that it is in talks with Air France to explore the
possibility of establishing a joint-venture cargo airline.

In a disclosure statement posted on the bourse's Web site, the
airline stressed that it has not yet signed any agreements nor
any memorandum of understanding with Air France, the TCR-AP
said.

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

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


CHOW KEE: Creditors? Proofs of Debt Due by July 25
--------------------------------------------------
The creditors of Chow Kee Company Limited are required to file
their proofs of debt by July 25, 2007, to be included in the
company?s dividend distribution.

The company?s liquidator is:

         Shum Sui On
         Ritz Plaza, Suite A, 12th Floor
         122 Austin Road
         Tsimshatsui, Kowloon
         Hong Kong


CONCORD COMMUNICATIONS: Commences Wind-Up Proceedings
-----------------------------------------------------
At an extraordinary general meeting held on June 21, 2007, the
members of Concord Communications Limited resolved to
voluntarily wind up the company?s operations.

Poon Chi Woo and Li Man Fai were appointed as liquidators.


CTL TOOLS: Taps Joint Liquidators
---------------------------------
Poon Chi Woo and Poon Chin Chung, Philip were appointed as
liquidators of CTL Tools & Equipments Limited on June 22, 2007.

The Joint Liquidators can be reached at:

         Poon Chi Woo
         Poon Chin Chung, Philip
         Dominion Centre, Room 1307-8
         43-59 Queen?s Road East
         Wanchai, Hong Kong


GAI NIN: Appoints Pang Siu Chik as Liquidator
---------------------------------------------
During a meeting held on June 22, 2007, the shareholders of Gai
Nin Trading Limited agreed to voluntarily liquidate the
company?s business and appointed Pang Siu Chik, Alick as
liquidator.

The Liquidator can be reached at:

         Pang Siu Chik, Alick
         China Merchants Building, Room 804
         152-155 Connaught Road
         Central, Hong Kong


GREAT CHINA: Proofs of Claim Bar Date is on July 30
---------------------------------------------------
Great China Assets Limited, which is in liquidation, requires
its creditors to file their proofs of debt by July 30, 2007.

Creditors who can file their proofs of debt by the due date will
be included from sharing in the company?s dividend distribution.

The company?s liquidators are:

         Wong Poh Weng
         Wong Tak Man Stephen
         Allied Kajima Building, 7th Floor
         138 Gloucester Road
         Hong Kong



JAUNTWALL LIMITED: Sets Annual Meeting for July 6
-------------------------------------------------
The creditors and contributories of Jauntwall Limited will have
their annual meeting on July 6, 2007, at 10:00 a.m., to receive
the liquidator?s report about the company?s wind-up proceedings
and property disposal.

The company?s liquidator is:

         Roderick John Sutton
         Ferrier Hodgson Limited
         14th Floor, Hong Kong Club Building
         3A Chater Road, Central
         Hong Kong


JOI MAXIE: Commences Wind-Up Proceedings
----------------------------------------
During a general meeting held on June 22, 2007, a special
resolution was passed to voluntarily wind up the company?s
operations and named Huang Qimin as liquidator.

The Liquidator can be reached at:

         Huang Qimin
         No. 99, Lane 4028
         Long Dong Avenue
         Shanghai, Postcode 201201
         China


THE CHRISTIAN CHURCH: Placed Under Voluntary Liquidation
--------------------------------------------------------
At an extraordinary general meeting held on June 11, 2007, the
members of The Christian Church of Spiritual Light Limited
resolved to voluntarily liquidate the company?s business.

Locke Jeffrey Hung Chun and Chan Kar Lok were appointed as
liquidators.

The Liquidators can be reached at:

         Locke Jeffrey Hung Chun
         China Merchants Tower, 31st Floor, Room 9
         China Merchants Tower, Shun Tak Centre
         168 Connaught Road
         Central, Sheung Wan
         Hong Kong;

         and

         Chan Kar Lok
         Wing Lung Bank Building, 15th Floor
         45 Des Voeux Road, Central
         Hong Kong


* SAFE Punishes 19 Chinese Banks for Involvement in Illegal Acts
----------------------------------------------------------------
A number of Hong Kong-listed banks have been punished by China's
foreign exchange regulator for helping funnel illegal hot money
flows into China's stock and property markets, The Standard
reports.

The banks, according to the report, include these mainland
giants:

    -- China Construction Bank
    -- Bank of China
    -- Industrial and Commercial Bank of China, and
    -- Bank of Communications.

Also cited were foreign players HSBC Holdings, Standard
Chartered and Bank of East Asia.

Based on a report from the Financial Times, The Standard relates
that 19 domestic banks and 10 foreign banks were punished by the
State Administration of Foreign Exchange for "assisting
speculative foreign capital to enter the country disguised as
trade or investment."

The nature of the punishment was not specified.

China has been seeing US$5 billion (HK$39 billion) to US$10
billion of hot money inflows per month recently, UBS chief Asia
economist Jonathan Anderson was quoted as saying.

Most large banks operating in China are able to get around the
country's capital controls by taking foreign exchange deposits
offshore and lending a corresponding amount in yuan through
their domestic operations, the Financial Times said.

There is also a vibrant trade in bringing physical cash over
from Hong Kong or Macau, it said.

A statement from HSBC China confirmed it had been inspected by
SAFE in March and April this year, an audit which revealed steps
still needed to be taken in order for HSBC to comply with SAFE's
requirements.

"A number of issues were identified, primarily relating to the
compatibility of HSBC's systems with the required regulatory
reporting processes," HSBC China said.

HSBC had not been notified of any penalty, the statement said.

A Standard Chartered spokeswoman confirmed that the bank had
been audited by SAFE, however, she declined to comment on the
report that it had been punished, Benjamin Scent, writing for
The Standard notes.

Meanwhile a Bank of East Asia spokeswoman said BEA had not
received any notification from SAFE.  When asked whether SAFE
had conducted an audit of BEA's China operations, she said: "No,
for the time being," Mr. Scent reveals.


* China?s New Bankruptcy Law Lures Investors, Research Says
-----------------------------------------------------------   
China?s newly amended bankruptcy law has increased the country's
attractiveness as an investment destination, Shanghai Daily
reports, citing a research made by Deloitte Touche Tohmatsu and
CPA Australia in late May.

According to the survey, about 72% of 480 senior finance
executives in China, Malaysia and Singapore said they would add
investment on the mainland as a result of the newly revised
bankruptcy law that took effect on June 1, the Daily relates.  
Specifically, 33% of the respondents said they would add
investment in the mainland by up to 5%, and another 33% said
they would look for a 6% to 30% increase, while another 6% said
they would boost investment by more than 30%.

The investors' positive attitude toward the new law was
underpinned by a workable and transparent bankruptcy regime that
will assist investors in identifying investment risks and exit
options if investments perform poorly, experts told the news
agency.

The new law replaced the 1986 trial version, which covered only
state-owned enterprise, the paper relates, adding that the new
law now includes the regulation of SOEs, foreign firms and
private companies.

"The law is a major milestone in the development of the
corporate bankruptcy system in China," said Derek Lai, national
leader of reorganization services at DTT China.  ?Before its
implementation, China mainland only had controlled bankruptcy
for state-owned enterprises, but there was nothing in place for
the more than 4.9 million private firms.

The new law allows creditors to claim debtors' assets overseas
and give creditors the right to implement overseas court
verdicts involving assets in the mainland.  It also introduces
the concept of an independent administrator for bankrupt assets,
which is in line with international practice.

Majority of the respondents also said they thought the
independent third-party administrator system can help protect
debtors' interest.


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

BALLARPUR INDUSTRIES: Allots 77,27,958 Equity Shares to IFC
-----------------------------------------------------------
Ballarpur Industries Ltd?s committee of directors on June 29,
2007, approved the allotment of 77,27,958 equity shares of INR10
each of the company.  The shares are allotted to International
Finance Corporation as part conversion of Foreign Currency
Convertible Bonds of US$45 million, which were allotted by the
company in November 2003.  The conversion price is INR86.20.

On June 13, with the committee of directors? approval, the
company allotted 77,27,958 shares to Deutsche Investitions and
Entwicklungsgesselschaft MBH from the conversion of FCCBs.


Headquartered in Ballarpur, India, Ballarpur Industries Limited
-- http://www.bilt.com/-- is a paper manufacturer and exporter.
BILT has five product groups: coated wood-free, uncoated wood-
free, copier, creamwove, and business stationery.  There are
three types of products in the coated wood-free segment: two
side coated paper, two side coated boards, and single side
coated products.  The company has a presence in all segments of
the paper usage spectrum that includes writing and printing
paper, industrial paper, and specialty paper.

On April 12, 2004, Standard and Poor's Ratings Services gave
Ballarpur Industries BB- ratings for both its long-term local
and foreign issuer credit.  As of May 15, 2007, the company
still carry those ratings.


DENA BANK: Declares 8% Dividend for Fiscal Year 2006-07
-------------------------------------------------------
Dena Bank held its members? 11th annual general meeting on
June 29, 2007.  During the meeting, dividend at 8% on equity
share of INR10 each for the financial year 2006-07 was declared.

Also during the meeting, the members approved, among others:

1. the bank?s balance sheet as at March 31, 2007, and the profit
   and loss account for the year ended on that date;

2. the report of the board of directors on the working and   
   activities of the bank for the period covered by the
   accounts; and

3. the auditors report on the Balance Sheet and the Accounts.

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.


DECCAN AVIATION: Gets Three-Year Helicopter-Services Contract
-------------------------------------------------------------
Deccan Aviation Ltd has won a three-year contract by Shri
Amarnathji Shrine Board to provide helicopter services for
Amaranath Yatra organised every July and August by the J&K
government, the Press Trust of India reports.

The company?s Executive Chairman G. R. Gopinath believes
religious travelers are growing.  ?More than 1.25 lakh devotees
visited the Amarnath Shrine last year...? Mr. Gopinath told PTI.

The report, hoever, did not disclose the financial terms of the
deal.

According to PTI, Deccan Aviation?s helicopter service to the
cave is available from Srinagar and Baltal.  

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 29, 2007, that Deccan Aviation has a stockholder's equity
deficit of US$2.83 million.


GENERAL MOTORS: Sells Unit to Carlyle Group & Onex for US$5.6BB
---------------------------------------------------------------
General Motors Corp. reached a definitive agreement for the
company to sell its Allison Transmission commercial and military
business to The Carlyle Group and Onex Corporation for
approximately US$5.6 billion.

The sale agreement covers substantially all of Allison
Transmission, including seven manufacturing facilities in
Indianapolis, Indiana and its worldwide distribution network and
sales offices.  The production facility in Baltimore, Maryland
is dedicated to the production of conventional and hybrid 2MODE
transmissions used in GM's retail pick-up trucks and SUVs and
will remain with GM.  The transaction is structured to preserve
GM's and Allison's competitive strengths in their respective
product lines and is expected to close as early as the third
quarter of this year pending union and regulatory approval.

"This is another important step to strengthen our liquidity and
provide resources to support our heavy investments in new
products and technology," Rick Wagoner, GM chairman and CEO,
said.  "At the same time, this sale will position Allison for
growth with strong partners in Carlyle and Onex, which have
well-established track records of working effectively with their
management teams, unions and employees," Wagoner went on to say.

"We believe Allison is poised for excellent growth in its sector
with the increasing rate of adoption of automatic transmissions
in commercial vehicles both in North America and abroad,? Seth
Mersky, managing director of Onex said.  ?Allison's exceptional
reputation for product quality and reliability, its strong brand
and talented management team provide it with a competitive
advantage that will allow the company to capture that growth."

"We are excited to partner with Onex, the Allison management
team and employees as we grow this iconic brand and support its
transition to a stand-alone business," Carlyle managing director
Greg Ledford said.

Allison Transmission designs and manufactures automatic
transmissions for medium and heavy duty commercial vehicles.  
Its products are used in on-highway, off-highway and vehicles.  
Headquartered in Indianapolis, Indiana, Allison Transmission
employs approximately 3,400 people, has seven plants in
Indianapolis and sells its transmissions through a worldwide
distribution network with sales offices in North America, South
America, Europe, Africa and Asia.  The company generates annual
revenues in excess of US$2 billion.

                       About Carlyle Group

The Carlyle Group ?- http://www.carlyle.com/-- is a private  
equity firm with US$58.5 billion under management.  Carlyle
invests in buyouts, venture & growth capital, real estate and
leveraged finance in Asia, Europe and North America, focusing on
aerospace & defense, automotive & transportation, consumer &
retail, energy & power, healthcare, industrial, infrastructure,
technology & business services and telecommunications & media.
Since 1987, the firm has invested US$28.3 billion of equity in
636 transactions for a total purchase price of US$132 billion.  
The Carlyle Group employs more than 800 people in 18 countries.  
In the aggregate, Carlyle portfolio companies have more than
US$87 billion in revenue and employ more than 286,000 people
around the world.  

                          About Onex

Onex Corp. makes private equity investments through the Onex
Partners and ONCAP family of Funds.  These companies are in a
variety of industries, including electronics manufacturing
services, aerostructures manufacturing, healthcare, financial
services, aircraft & aftermarket, metal services, customer
management services, theatre exhibition, personal care products
and communications infrastructure.

                     About General Motors

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

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.

                            *    *    *
Standard & Poor's Ratings Services assigned its 'B+' bank loan
rating to General Motors Corp.'s proposed US$1.5 billion senior
term loan facility, expiring 2013, with a recovery rating of
'1'.  The 'B+' rating was placed on Creditwatch with negative
implications, consistent with the other issue ratings of GM,
excluding recovery ratings.

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


GENERAL MOTORS: Goldman Sachs Raises Ratings to Buy on Wage Cuts
----------------------------------------------------------------
Goldman Sachs Group, Inc. has upgraded General Motors Corp.'s
ratings to "buy" from "neutral," citing the potential for
sizable wage and benefit cuts during negotiations with the
United Auto Workers for a new labor contract, Reuters reports.

The firm also increased the 52-week price target on the stock to
US$42 from US$29.  The automaker's shares rose to a four-month
high on Monday as a result of the upgrade, Reuters reveals.

The TCR-Europe reported on June 19, 2007, that General Motors
Corp., Ford Motor Co. and DaimlerChrysler AG's Chrysler Group
are seeking unprecedented concessions from the United Auto
Workers union in a bid to narrow what they say is a US$30-an-
hour labor-cost disadvantage against Asian rivals like Toyota
Motor Corp. and Honda Motor Co.

"GM can make a compelling case to UAW members that material wage
and benefit cuts are needed," Goldman Sachs analyst Robert Barry
said in a research note.  "And we suspect members and retirees
are increasingly amenable to such cuts."  He added that the "UAW
pattern bargaining implies positive read across for Ford,"
Reuters notes.

According to Reuters, GM shares were up 3.2 percent, or US$1.12,
at US$36.58 in early trading on the New York Stock Exchange
after reaching a session high of US$36.84.  Ford shares were up
1.8 percent, or 16 cents, at US$9.29.  Monday's gains pushed
GM's stock to its highest level since Feb 20, 2007.  The stock
has increased 23 percent in the last two weeks.

                     About General Motors

Headquartered in Detroit, Michigan, 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.

                         *     *     *

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.


LOK HOUSING: CRISIL Reaffirms D Rating on INR170-Mil. Debentures
----------------------------------------------------------------
Credit Rating Information Services of India Ltd, on June 27,
2007, reaffirmed its ?D? rating on Lok Housing and Constructions
Ltd?s INR170-million non-convertible debentures.

The rating continues to indicate that the instrument is in
default.  The arrears on interest and principal payments have
not been entirely cleared.

Headquartered in Mumbai, India, Lok Housing and Constructions
Ltd constructs residential buildings.  Apart from housing
construction, the company manufactures concrete blocks catering
to in-house needs.  The company is also involved in the
construction of railway quarters, railway bridges and slum
rehabilitation programs through its associate companies.


NAVISTAR INT'L: DA Davidson Maintains Underperform Rating
---------------------------------------------------------
DA Davidson analyst JB Groh has kept his "underperform" rating
on Navistar International Inc's shares, Newratings.com reports.

According to Newratings.com, the 12-18 month target price for
Navistar International's shares was increased to US$45 from
US$39.

Mr. Groh said in a research note that Navistar International
would file its fiscal year 2005 10-K by September 2007.

Mr. Groh told Newratings.com that Navistar International said
that by March 31, 2008, it would file its 10-Ks for fiscal year
2006 and fiscal year 2007.

Navistar International "is likely to protect itself from the
future cyclical downturns through growth in the expansion and
non-traditional markets," Newratings.com states, citing DA
Davidson.

Based in Warrenville, Illinois, Navistar International Corp.
(NYSE:NAV) -- http://www.nav-international.com/-- is the parent
company of Navistar Financial Corp. and International Truck and
Engine Corp.  The company produces International brand
commercial trucks, mid-range diesel engines and IC brand school
buses, Workhorse brand chassis for motor homes and step vans,
and is a private label designer and manufacturer of diesel
engines for the pickup truck, van and SUV market.  The company
also provides truck and diesel engine parts and service sold
under the International brand.  A wholly owned subsidiary offers
financing services.  The company has operations in Brazil,
Iceland and India.

                       *     *     *

As reported in the Troubled Company Reporter on May 8, 2007,
Fitch Ratings retained Navistar International Corp.'s BB- Issuer
Default Rating and BB- senior unsecured bank facility rating
under Rating Watch Negative.


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

ALCATEL-LUCENT: Wins US$126-Million Contract From Cricket
---------------------------------------------------------
Alcatel-Lucent has been selected by Cricket Communications,
Inc., a wholly owned subsidiary of Leap Wireless International,
Inc. to help expand its network into new markets across the
United States, using Cricket?s new Advanced Wireless Services
spectrum, and upgrade existing markets.  Under the terms of the
five-year agreement Cricket has committed to purchase up to
USD126 million worth of equipment, services and software.

Under terms of the agreement, the new market expansion includes
the deployment of third-generation CDMA2000(R) 1xEV-DO Revision
A technology.  The CDMA2000 1xEV-DO Rev.  A network will enable
Cricket to provide its customers with new mobile high-speed data
services such as Voice over IP, Internet access, mobile video
telephony, high-quality music and other multimedia applications.

?We are very excited to further expand our Cricket wireless
services across many more markets," said Glenn Umetsu, executive
vice-president, engineering and technical operations at Leap.
"Alcatel-Lucent has been and remains an integral part of our
network as we continue to build out and expand our business.
Alcatel-Lucent?s solutions are in sync with our business
objective of providing our customers with high-quality, high-
value mobile services while maintaining our low-cost
leadership.?

Alcatel-Lucent also will provide its CDMA2000 1X equipment as
part of this deal so that Cricket can continue to provide
circuit-switched mobile voice services.  Alcatel-Lucent services
will provide installation, engineering, training and technical
support.

In addition, Alcatel-Lucent will provide its industry leading
IP/MPLS solution, which includes the Alcatel-Lucent 7750 Service
Router and 7450 Ethernet Service Switch, to deploy an IP routing
and IP RAN backhaul solution.  Built on a single unified IP
infrastructure, Alcatel-Lucent?s IP-based solution is designed
to support multiple types of services with superior scale,
hierarchical quality of service and availability, which are
critical for ensuring subscriber Quality of Experience for
multimedia applications.

?We are very excited to have the opportunity to continue our
support of Cricket as it expands and evolves its network even
further across the United States using its new AWS spectrum,?
said Cindy Christy, president of Alcatel-Lucent?s North America
business.  ?In addition, the deployment of CDMA2000 1xEV-DO Rev.
A technology will enable Cricket to offer its customers exciting
new services.?

EV-DO Rev. A continues the evolution of CDMA2000 technology,
bringing increases in efficiency, data speeds and capacity to
existing CDMA2000 1X and 1xEV-DO networks. EV-DO Rev.  A enables
users to receive data at speeds up to 3.1 Megabits per second
and send data at speeds of up to 1.8 Mbps. These increased
forward and reverse link data speeds reduce data latency and
will enable Leap to deliver multimedia services.

CDMA2000 is a registered trademark of the Telecommunications
Industry Association.

                     About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent --
http://www.alcatel-lucent.com/-- provides solutions that enable  
service providers, enterprises and governments worldwide to
deliver voice, data and video communication services to end
users.  Alcatel-Lucent maintains operations in 130 countries,
including, Austria, Germany, Hungary, Italy, Netherlands,
Ireland, Canada, United States, Costa Rica, Dominican Republic,
El Salvador, Guatemala, Peru, Venezuela, Indonesia, Australia,
Brunei and Cambodia.  On Nov. 30, 2006, Alcatel and Lucent
Technologies Inc. completed their merger transaction, and began
operations as a communication solutions provider under the name
Alcatel-Lucent on Dec. 1, 2006.

                         *     *     *

As reported on April 13, 2007, Fitch Ratings affirmed Alcatel-
Lucent's ratings at Issuer Default 'BB' with a Stable Outlook,
senior unsecured 'BB' and Short-term 'F2' and simultaneously
withdrawn them.

As of Feb. 7, 2007, Moody's Investor Services put a Ba2 rating
on Alcatel's Corporate Family and Senior Debt rating.  Lucent
carries Moody's B1 Senior Debt rating and B2 Subordinated debt &
trust preferred rating.

Alcatel-Lucent's Long-Term Corporate Credit rating and Senior
Unsecured Debt carry Standard & Poor's Ratings Services' BB
rating.  Its Short-Term Corporate Credit rating stands at B.


HESS CORP: To Suspend Drilling Operations at Pony #2 Well
---------------------------------------------------------
Hess Corporation will temporarily suspended its drilling
operations at its Pony #2 well, on Green Canyon Block 468 in the
deepwater Gulf of Mexico, because of drilling rig inspection
requirements.  The Ocean Baroness rig will be put in dry dock
for statutory Coast Guard ABS inspection and routine repairs.
The cost of the demobilization, repairs, inspection and
remobilization will be incurred by Diamond Offshore Drilling,
Inc.

"While we had hoped to reach total depth of 32,500 feet before
this statutory inspection, various mechanical issues kept us
from achieving this goal," said John O'Connor, President,
Worldwide Exploration and Production.  "The Pony #2 well has
been drilled and cased to approximately 23,000 feet and we plan
to resume drilling in late September."

Total hydrocarbon resource on the Hess acreage is estimated to
be in the range of 100 to 600 million barrels of oil equivalent.
Hess Corporation has a 100 percent working interest in the Pony
discovery.

                     About Hess Corp.

Headquartered in New York, Hess Corporation
-- http://www.hess.com/-- is a global integrated energy company  
engaged in the exploration for and the development, production,
purchase, transportation and sale of crude oil and natural gas.
The corporation also manufactures, purchases, trades and markets
refined petroleum and other energy products.

The company has operations in the United States, United Kingdom,
Norway, Thailand and Indonesia, among others.

The Troubled Company Reporter - Asia Pacific reported on
Mar. 23, 2007, that Moody's upgraded Hess Corporation's
unsecured long-term debt rating to Baa3 from Ba1 on March 20,
2007.  The rating outlook is stable.

The upgrade reflects the company's progress in advancing its
portfolio of upstream development projects, which are intended
to diversify and strengthen the durability of its reserves and
production profile, as well as improvements in achieving a more
competitive cost structure and a gradually declining financial
leverage position.


NORTEL NETWORKS: Appoints New New Chief Information Officer
-----------------------------------------------------------
Nortel [NYSE/TSX: NT] President and CEO Mike Zafirovski
announced that Steven J. Bandrowczak will be appointed Nortel?s
new chief information officer (CIO), effective July 16, 2007.

Reporting to Dennis Carey, executive vice president, Corporate
Operations, Bandrowczak will be responsible for Nortel?s
information technology strategy and operations, leading the
Information Services group, and overseeing Nortel?s internal
network infrastructure, business applications and data security.

?With the appointment of Steven, Nortel extends it world-class
leadership team,? said Zafirovski. ?Steven will bring extensive
experience and a consistent track record of performance to this
role.  He is the right person to continue building and to
deliver the best-in-class IT strategy necessary for Nortel to
compete and win.?

A proven leader, Bandrowczak brings an outstanding background to
this key corporate responsibility.  Prior to joining Nortel, he
was senior vice president and CIO of Lenovo, a global producer
of PC products and value-added professional services.  Prior to
that, he served as executive vice president and worldwide CIO
for DHL Worldwide, a global market leader in the international
express and logistics industry.  Previously, he spent 14 years
with Avnet in a variety of IT roles, culminating as CIO for the
electronics distributor.  Bandrowczak earned his bachelor?s
degree in computer science from Long Island University, C.W.
Post.  He was also named one of the Top 100 CIOs by
Computerworld in 2004.

Bandrowczak will lead Nortel?s IT department, leveraging the
breadth of the Company?s own technology and networking
capabilities to transform business networks, remove barriers to
efficiency, productivity and growth and create opportunities for
new revenues and services.

?Nortel operates a sophisticated, leading-edge enterprise
network and is respected for best practices in security,
mobility and business continuity planning,? said Steven
Bandrowczak.  ?I look forward to furthering Nortel?s thought
leadership in these areas, both internally and with customers
around the world.?

Bandrowczak will assume the CIO role from Bill Donovan, who has
served as CIO on an interim basis since May 15, 2007.  Bill
continues as senior vice president in Nortel?s Business
Transformation Office.

                          About Nortel

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

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

                          *     *     *

On March 27, 2007, Moody's Investors Service affirmed Nortel
Networks' existing ratings, including its B3 corporate family
rating, and assigned a B3 rating to the proposed US$1 billion
convertible senior unsecured notes offering.  Proceeds of the
offering will be used to refinance a portion of the US$1.8
billion in 4.25% convertible notes due in 2008 when they become
payable at par.  Moody's said the outlook remains stable.

On March 26, 2007, Standard & Poor's Ratings Services assigned
its 'B-' debt rating to Canada-based Nortel Networks Corp.'s
proposed US$1 billion senior unsecured convertible notes, which
will consist of two tranches of USUS$500 million, maturing in
2012 and 2014, respectively.  Proceeds from the convertible
notes will be used to partially refinance NNC's US$1.8 billion
senior unsecured convertible notes due Sept. 1, 2008, and
therefore the overall debt level is not expected to change.  
Standard & Poor's also affirmed its 'B-' long-term and 'B-2'
short-term corporate credit ratings on 100%-owned Canada-based
subsidiary, Nortel Networks Ltd.  At the same time, the ratings
on the US$200 million notes of NNL and the US$150 million notes
of Nortel Networks Capital Corp. were lowered to 'CCC' from 'B-
'.  NNC, NNL, and the U.S.-based subsidiary, Nortel Networks
Inc., are collectively referred to as Nortel.  S&P said the
outlook on NNL is stable.

Dominion Bond Rating Service confirmed the long-term ratings of
Nortel Networks Capital Corporation, Nortel Networks
Corporation, and Nortel Networks Limited at B (low) along with
the preferred share ratings of Nortel Networks Limited at Pfd-5
(low).  DBRS says all trends are stable.  DBRS confirmed B (low)
Stb Senior Unsecured Notes; B (low) Stb Convertible Notes; B
(low) Stb Notes & Long-Term Senior Debt; Pfd-5 (low) Stb Class
A, Redeemable Preferred Shares; and Pfd-5 (low) Stb Class A,
Non-Cumulative Redeemable Preferred Shares.


PARKER DRILLING: To Offer US$115-Mil Convertible Senior Notes
-------------------------------------------------------------
Parker Drilling Company (NYSE: PKD) today announced that,
subject to market and other conditions, it plans to offer $115
million aggregate principal amount of convertible senior notes
due 2012 in a registered public offering.  Parker expects to
grant the underwriters an option to purchase up to an additional
$10 million aggregate principal amount of Notes solely to cover
over-allotments.  The Notes will bear interest at a fixed rate
and will be convertible, in certain circumstances, into cash and
shares, if any, of Parker's common stock.

Parker intends to use the net proceeds from the offering to
redeem all of its outstanding senior floating rate notes due
2010 and for general corporate purposes.  Additionally, Parker
intends to use a portion of the net proceeds to pay the net cost
of convertible note hedge and warrant transactions, which is
expected to reduce the potential dilution to Parker's common
stock from the conversion of the Notes and to have the effect of
increasing the conversion price of the Notes.  Parker has been
advised by the counterparties to the convertible note hedge and
warrant transactions that the counterparties expect to enter
into various derivative transactions at and possibly after the
pricing of the offering of the Notes and may unwind such
derivative transactions, enter into other derivative
transactions and purchase and sell Parker's common stock in
secondary market transactions following the pricing of the Notes
(including during any cash settlement averaging period relating
to the Notes).  These derivative transactions could have the
effect of increasing, or preventing a decline in, the price of
Parker's common stock at or shortly after the pricing of the
offering of the Notes.  If the counterparties were to unwind
various derivatives and/or purchase or sell Parker's common
stock in secondary market transactions prior to the maturity of
the Notes, such activity could adversely affect the price of
Parker's common stock or the settlement amount payable upon
conversion of the Notes.

The offering will be made pursuant to an effective registration
statement filed with the Securities and Exchange Commission.

This release is not an offer to sell or the solicitation of an
offer to buy nor shall there be any sale of these securities in
any jurisdiction in which such offer, solicitation or sale would
be unlawful prior to registration or qualification under the
securities laws of any such jurisdiction.

This release is not a call for redemption of any of Parker's
outstanding senior floating rate notes due 2010.  Any such call
for redemption will be made in a separate communication pursuant
to the terms of the senior floating rate notes.

The sole book-running manager for this offering will be Banc of
America Securities LLC.  Deutsche Bank Securities and Lehman
Brothers will be acting as co-managers.  When available, copies
of the prospectus relating to the Notes may be obtained by
contacting Banc of America Securities LLC, Capital Markets
Operations (Prospectus Fulfillment), 100 West 33rd Street, New
York, NY 10001.

                   About Parker Drilling

Headquartered in Houston, Texas, Parker Drilling Company
-- http://www.parkerdrilling.com/-- provides contract drilling   
and drilling-related services worldwide.  The company has rigs
located in Indonesia, New Zealand, Colombia and Mexico, among
others.

The Troubled Company Reporter - Asia Pacific reported on
Oct. 12, 2006, that in connection with Moody's Investors
Service's implementation of its new Probability-of-Default and
Loss-Given-Default rating methodology for the oilfield service
and refining and marketing sectors last week, the rating agency
confirmed its B2 Corporate Family Rating for Parker Drilling
Company, as well as it B2 rating on the company's 9.625% Senior
Unsecured Guaranteed Global Notes Due 2013, and Senior Unsecured
Guaranteed Floating Rate Global Notes Due 2010.  Moody's
assigned those debentures an LGD4 rating suggesting note holders
will experience a 55% loss in the event of default.


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

HITACHI ZOSEN: Gets Business Suspension Order
---------------------------------------------
Hitachi Zosen Corporation divulged that it has received a
business suspension order from National Land and Transportation
Ministry for its violation of antitrust law, Reuters reports.

According to a report by Makiko Suzuki of Bloomberg News,
Hitachi Zosen was asked by the Japanese Government to suspend
incinerator construction for almost a month after the company
was charged with illegal bidding on a sewage-treatment project.

The Reuters report relates that the company is suspended from
its business dealings in Chubu, Kinki, Chugoku and Kyushu
Districts, Japan during the period of July 10, 2007 to August 8,
2007.


Headquartered in Osaka, Japan, Hitachi Zosen Corporation --
http://www.hitachizosen.co.jp-- develops, manufactures, sells  
and maintains machinery and systems.  The company has five
business segments.  The Environment and Plant segment offers
refuse incineration plants, industrial waste treatment plants,
biomass energy systems, water and sludge treatment plants and
others.  The Ship and Sea segment is involved in the building,
improvement and repair of ships, and the creation of ocean
structures.  The Steel, Construction and Logistics segment
offers bridges, hydraulic gates, steel chimneys, water pressure
pipes, offshore engineering, disaster prevention systems, and
others.  The Machinery and Motors segment includes steel-making
machinery, food machines, medical equipment, power generators
and internal combustion engines.  The Others segment is involved
in electronic and control systems, package software, information
systems and other businesses.

As reported in the Troubled Company Reporter - Asia Pacific on
May 31, 2007, Rating and Investment Inc. has upgraded the BB-
issuer rating of Hitachi Zosen Corporation from negative to a
stable outlook.


ITOCHU CORP: Forms Business and Capital Alliance with Kanemi Co.
----------------------------------------------------------------
Itochu Corporation has formed business and capital alliances
with Kanemi Co., Ltd., Reuters reports.

According to the report, under the business alliance, the
companies will collaborate in the development of products,
procurement of raw materials, exploration of new customers, cut
in costs and exchange of staff, among other fields.

Under the capital alliance, Itochu Corporation will purchase
800,000 shares of Kanemi for approximately JPY 2.7 billion and
hold 8% stake in the company, Reuters says.

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

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

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

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


NOVA CORP: Shareholders Lose Faith in Management After Scandal
--------------------------------------------------------------
After the Japanese Ministry of Economy, Trade and Industry
suspended Nova Corporation's business for six months for lying
to customers about its services, shareholders express that they
can no longer trust the management, reports The Yomiuri Shimbun.

Reportedly, Nova conducted a general meeting with its
shareholders with President Nozomu Sahashi expressing his
apologies to the shareholders saying, "We'd like to regain your
trust as soon as possible."

One shareholder vented out to the Yomiuri Shimbun that the
management was the one responsible for the scandal and the
negatively affected share price.  The shareholder further
contended that the management should step down.

Osaka-based company, Nova Corporation-- http://www.nova.ne.jp/
-- is primarily engaged in the operation of language schools.  
The Company has seven subsidiaries and two associated companies.  
The Company is involved in the teaching of languages, the
creation of international environment of different languages and
cultures, the provision of real time services, the development
and provision of network contents, the development of hardware
technology, the building of human network, as well as the
organization of member groups to provide services
internationally.  The Company also has subsidiaries and
associates, which are engaged in advertisement services,
interior construction, facility and commodity sale, overseas
study services, computer system services, real estate brokerage,
facility leasing and installment sale, capital management,
cleaning services, sanitary management, multimedia goods sale,
Internet connection services, customer services and assistance
to foreigners.  

Nova has reported two consecutive net losses -- JPY3.09-billion
net loss for fiscal year ended March 31, 2006, and
JPY2.89 billion for the year ended March 31, 2007.

On June 19, 2007, the Troubled Company Reporter - Asia Pacific
reported that the Ministry of Economy, Trade and Industry
suspended Nova Corp from selling long-term contracts for
language schools starting June 14, 2007, for lying to customers
about its services.


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

DYNCORP INTERNATIONAL: Awarded LOGCAP IV Contract by US Army
------------------------------------------------------------
DynCorp International was one of three companies awarded a
contract by the U.S. Army to feed, house and provide other
services to U.S. troops in Iraq, the Washington Post reports.  
The contract, which is worth up to US$150 billion, was also
awarded to Fluor Intercontinental and KBR, Inc.

According to the report, the three companies were chosen from
around six competitors based on their management, past
performance, price and technical abilities.

The contract, known as the Logistics Civil Augmentation Program
or LOGCAP IV, is considered as one of the biggest deals in the
contracting service industry, the report adds.  The Post relates
that DynCorp had previously won a LOGCAP contract in 1997 or
work in the Philippines and East Timor.

The Post discloses that the Army decided to award the contract
to more than one company on concerns of lack of competition.

                  About Dyncorp International

Headquartered in Irving, Texas, DynCorp International Inc.
(NYSE: DCP) -- http://www.dyn-intl.com/-- provides specialized  
mission-critical outsourced technical services to civilian and
military government agencies.  The Company specializes in law
enforcement training and support, security services, base
operations, aviation services and operations, and logistics
support.  The company has more than 14,400 employees in 33
countries including Korea, and Haiti.  DynCorp International,
LLC, is the operating company of DynCorp International Inc.

                        *    *    *

As reported in the Troubled Company Reporter on June 19, 2006,
Standard & Poor's Ratings Services raised its ratings, including
the corporate credit rating to 'BB-' from 'B+', on DynCorp
International LLC. The ratings were removed from CreditWatch
where they were placed with positive implications on
Oct. 3, 2005.  S&P said the outlook is stable.

As reported in the Troubled Company Reporter on June 13, 2006,
Moody's Investors Service upgraded DynCorp International LLC's
US$90 million senior secured revolver maturing Feb. 11, 2010, to
Ba3 from B2; US$345 million senior secured term loan B due
Feb. 11, 2011, to Ba3 from B2; US$320 million 9.5% senior
subordinated notes due Feb. 15, 2013, to B3 from Caa1; Corporate
Family Rating, to B1 from B2; and Speculative Grade Liquidity
Rating, to SGL-2 from SGL-3.  Moody's said the ratings outlook
is stable.


SHINHAN BANK: To Disposes of Entire Stake in Shinhan Financial
--------------------------------------------------------------
Shinhan Bank is selling off its entire stake in its parent
Shinhan Financial Group to a number of investors by June 22,
2007, Reuters Key Developments reports.

According to the report, the bank has to dispose of its 1.1%
stake in Shinhan Financial Group, or 4.3 million shares, under
domestic laws.

The law orders companies to sell shares in parent companies
within three years from the acquisition, the report explains.

                        About Shinhan Bank

Headquartered in Taepyeong-no, Seoul, Shinhan Bank --
http://www.shinhan.com/-- was established in 1982 with capital   
from Korean residents in Japan.  It is Korea's fourth largest
bank by assets -- second largest after merging with Chohung Bank
-- holding a 9% share of deposits and 11% of loans.  The bank
has developed a strong franchise in the consumer as well as
small and medium-sized enterprise segments.  In September 2001,
it formed a holding company, Shinhan Financial Group, under
which it and five other affiliates became stable companies.  
Since then, the Shinhan Financial Group has expanded its
organizational structure to include 11 subsidiaries and is now
Korea's second largest financial group.

                          *     *     *

The Troubled Company Reporter - Asia Pacific reported on
March 16, 2006, that Moody's Investors Service raised Shinhan
Bank's Bank Financial Strength Rating to D+ from D.  The revised
rating carries a stable outlook.  The higher BFSR reflects the
bank's sustained financial fundamentals upon its merger with
affiliate Chohung Bank.


SK CORP: Plans to Delist From Luxembourg Stock Exchange
-------------------------------------------------------
SK Corporation plans to delist from The Luxembourg Stock
Exchange, Reuters Key Developments reports.

No further information was given.

                        About SK Corp

Headquartered in Seoul, South Korea, SK Corp.
-- http://eng.skcorp.com/-- is an energy and petrochemical  
company  with 4,916 employees and 22 offices around the world in
2005.  The company is strategically positioned as Korea's
largest and Asia's leading refiner next to Sinopec and
PetroChina.  SK Corp. currently explores, develops and produces
oil in 13 nations, including Peru, London and the United States.

The Troubled Company Reporter - Asia Pacific reported that on
Feb. 20, 2006, Moody's Investors Service has placed on review
for possible upgrade the Ba1 long-term rating of SK Corp.


YOUNGCHANG SILUP: Crimson H&C Acquires 732,108 Shares
-----------------------------------------------------
Youngchang Silup Co., Ltd., disclosed that Crimson H&C Co.,
Ltd., has acquired 732,108 shares of common stock of the
company, Reuters Key Developments reports.

According to the report, Crimson H&C now holds 40.19% of the
company.

Seoul, Korea-based Youngchang Silup Co., Ltd. --
http://www.youngchang.co.kr/main.asp-- is engaged in the  
manufacturing of leather for shoes, bags, belts, garments, car
seats and wheel covers.  The company's main clients are
Timberland, Rockport, Coach, Brighton, Polo, DKNY, Aigner, Mova,
Superior Sungchang, Simmone, Mikwang, Ssamzie, St. John, Nautica
Jean, I Blues, Marina Rinaldi and Geiger. It has an affiliated
company each in Korea and China.  

On May 18, 2005, Korea Ratings gave the company's
KRW10.00 billion convertible bond and KRW5.00 billion straight
bond a BB+ rating with a stable outlook.


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

FOREMOST HOLDINGS: CIMB Bank Okays Settlement; Sets Conditions
--------------------------------------------------------------
Foremost Holdings Bhd disclosed with the Bursa Malaysia
Securities Bhd that it has obtained CIMB Bank Bhd?s nod to its
proposed debt settlement plan.

The agreement, however, was subject to two conditions, which
states that Foremost:

    i) crystallize the corporate guarantee debt with Yaku Shin
       (M) Sdn Bhd at MYR15.4 million being debt as at Dec. 31,
       2006, (cut-off date), after netting off MYR1.5 million to
       be received from Receivers and Managers; and

   ii) allow 50% waiver and balance MYR7.70 million to be
       converted into FHB shares at MYR0.50 per share.  CIMB
       Bank Berhad expects to receive 15.4 million shares of
       FHB.

YKSM is a 58.75% owned subsidiary of FHB but is not a major
subsidiary as this subsidiary does not contribute 70% or more of
the profit before tax or total assets of FHB, the disclosure
said.

Foremost Holdings Berhad manufactures and sells automobile
speakers, home audio speakers, general-purpose speakers and
speaker wooden cabinets.  The Company is also engaged in the
trading of auto accessories, investment holdings and the
provision of management services.  Products are distributed in
Malaysia, Singapore, United Kingdom, Italy, Taiwan, the United
States, other Asian countries, other European countries and
other countries.

Foremost was classified as an affected listed issuer under Bursa
Malaysia Securities Berhad's Practice Note 17 because it has
"insufficient financial position to warrant continued listing."
As an affected issuer, the Company is required to draft and
implement a plan to regularize its finances to avoid being
delisted from the Official List.

Foremost's total assets as of Dec. 31, 2006, amounted to
MYR33.72 million and total liabilities aggregated to
MYR35 million.  Shareholders' equity deficit reached MYR1.54
million.


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

AIR NEW ZEALAND: Inks Code-Share Pacts With 2 Chinese Airlines
--------------------------------------------------------------
Air New Zealand, pursuant to a code-share agreement, has
commenced reciprocal code-share flights with Shanghai Airlines
starting July 1, 2007.

Under the agreement, Shanghai Airlines will code share on Air
New Zealand?s services between Shanghai and Auckland and
selected New Zealand domestic services.  In return, Air New
Zealand will code-share on selected Shanghai Airlines Domestic
China services that operate from Pudong Airport in Shanghai.

Air New Zealand Group General Manger International Airline Ed
Sims said that ANZ was very pleased to have reached agreement
with Shanghai Airlines, which will join the Star Alliance in
December 2007.

The Shanghai deal follows ANZ?s announcement of another code-
share pact with Air China, which also commenced on July 1.
Air China will code-share on ANZ flights between Shanghai and
Auckland and on some flights between Australia and New Zealand,
the Associated Press relates.  In return, ANZ will code-share on
Air China's international services between China and Australia.

The agreements are reportedly part of ANZ?s plan to position
itself to take advantage of the Beijing Olympics in 2008.

ANZ currently operates three times weekly services to Shanghai
increasing to five times weekly starting Oct. 29, 2007.   

                      About Air New Zealand

Based in Auckland, New Zealand, Air New Zealand is the country's
flag air carrier, with domestic and international passenger and
freight operations, and an aviation engineering business.

As reported in the Troubled Company Reporter - Asia Pacific on
Sept. 2, 2005, Moody's Investors Service affirmed its Ba1 issuer
rating on Air New Zealand Limited after the airline announced
its annual results for FY2005.  Air NZ's rating reflected its
dominant position in the New Zealand domestic market, with
around 80% market share, and the profitability of domestic
operations following their restructuring to a low-cost network
model.  Also supporting Air NZ's rating was its solid liquidity
position, with cash balances of NZ$1.071 billion held as at
June 30, 2005.

However, while Air NZ has a solid position in New Zealand and
other parts of the international network are performing well,
intense competition on trans-Tasman routes has resulted in it
being unprofitable for Air NZ.  International competition also
limits Air NZ's ability to expand.  Its management is also aware
of the airline's vulnerability to external shocks and the
actions of key competitors.  The airline has operations in the
United Kingdom and the United States.


AIR NEW ZEALAND: Qantas Sells 4.2% Stake for NZ$119 Million
-----------------------------------------------------------
Australia?s Qantas Airways Ltd has sold a 4.2% stake in Air New
Zealand Ltd, Bloomberg News reports.  According to the news
agency, the stake in ANZ represents what was left from the two
airlines? failed attempt to cut costs by sharing flights.

Australia's national carrier agreed to sell its stake in ANZ via
a bookbuild -- a process in which interested investors bid for
shares -- at NZ$2.70 per share, The Associated Press relates.  
Qantas sold about 44 million of the ANZ shares hence, it raised
around NZ$119 million, Bloomberg says.

The stake was reportedly bought in 2002 as part of the airlines?
alliance plan at an average price of NZ$2.225 per share.  

                      About Air New Zealand

Based in Auckland, New Zealand, Air New Zealand is the country's
flag air carrier, with domestic and international passenger and
freight operations, and an aviation engineering business.

As reported in the Troubled Company Reporter - Asia Pacific on
Sept. 2, 2005, Moody's Investors Service affirmed its Ba1 issuer
rating on Air New Zealand Limited after the airline announced
its annual results for FY2005.  Air NZ's rating reflected its
dominant position in the New Zealand domestic market, with
around 80% market share, and the profitability of domestic
operations following their restructuring to a low-cost network
model.  Also supporting Air NZ's rating was its solid liquidity
position, with cash balances of NZ$1.071 billion held as at
June 30, 2005.

However, while Air NZ has a solid position in New Zealand and
other parts of the international network are performing well,
intense competition on trans-Tasman routes has resulted in it
being unprofitable for Air NZ.  International competition also
limits Air NZ's ability to expand.  Its management is also aware
of the airline's vulnerability to external shocks and the
actions of key competitors.  The airline has operations in the
United Kingdom and the United States.


ALLIED SHEETMETALS: Court to Hear Wind-Up Petition Today
--------------------------------------------------------
A petition to wind up the operations of Allied Sheetmetals
(1994) Ltd. will be heard before the High Court of Hamilton
today, July 2, 2007, at 10:45 a.m.

Forte Stainless Limited filed the petition on May 10, 2007.

Forte Stainless? solicitor is:

         L. F. Muldowney
         Tompkins Wake, Westpac House
         430 Victoria Street, Hamilton
         New Zealand


BRAGATO COMPANY: Shareholders Decide to Liquidate Business
----------------------------------------------------------
The shareholders of Bragato Company Ltd. met on May 16, 2007,
and decided to liquidate the company?s business.

Craig Speakman was appointed as liquidator.

The Liquidator can be reached at:

         Craig Emerson Speakman
         PO Box 9687, Newmarket, Auckland
         New Zealand
         Telephone:(09) 630 3808
         Facsimile:(09) 630 3970


CASH PLUS: Requires Creditors to File Claims by July 4
------------------------------------------------------
Cash Plus Australia Ltd requires its creditors to file their
proofs of debt by July 4, 2007.

The company went into liquidation on June 6, 2007.

The company?s liquidator is:

         David Stuart Vance
         c/o Jeff Hart
         PPB McCallum Petterson
         The Todd Building, Level 8
         95 Customhouse Quay
         PO Box 3156, Wellington
         New Zealand
         Telephone:(04) 499 7796
         Facsimile:(04) 499 7784


COPIER SERVICE: Fixes July 5 as Last Day to File Claims
-------------------------------------------------------
Copier Service Finance Ltd. requires its creditors to file their
proofs of debt by July 5, 2007.

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

The company?s liquidator is:

         Henry David Levin
         David Stuart Vance
         c/o Jennifer Ji
         PPB McCallum Petterson
         Level 11, Forsyth Barr Tower
         55-65 Shortland Street
         Auckland
         New Zealand
         Telephone:(09) 336 0000
         Facsimile:(09) 336 0010


DURASET HOLDINGS: Wind-Up Petition Hearing Set for Today
--------------------------------------------------------
The High Court of Hamilton will hear a petition to wind up the
operations of Duraset Holdings Ltd. today, July 2, 2007, at
10:45 a.m.

The petition was filed by the Commissioner of Inland Revenue on
May 11, 2007.

The CIR?s solicitor is:

         Kay S. Morgan
         c/o Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone:(07) 959 0373



DURASET (NZ): Subject to CIR?s Wind-Up Petition
-----------------------------------------------
The Commissioner of Inland Revenue filed a petition to wind up
the operations of Duraset (NZ) Ltd. on May 11, 2007.

The petition will be heard before the High Court of Hamilton
today, July 2, 2007, at 10:45 a.m.

The CIR?s solicitor is:

         Kay S. Morgan
         c/o Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone:(07) 959 0373


GODZONE ENTERPRISES: Shareholders Resolve to Close Business
-----------------------------------------------------------
On June 6, 2007, the shareholders of Godzone Enterprises Ltd.
passed a resolution to close the company?s business and
appointed Terry Bastion as liquidator.

The Liquidator can be reached at:

         Terry Bastion
         KBC House, 272 Karori Road
         Karori, Wellington
         New Zealand
         Telephone:(04) 476 5775
         Facsimile:(04) 476 5778


JEET GROUP: Court to Hear Wind-Up Petition on August 1
------------------------------------------------------
The High Court of Blenheim will hear a petition to wind up the
operations of Jeet Group of Companies Ltd on August 1, 2007, at
10:00 a.m.

The petition was filed by Accident Compensation Corporation on
April 17, 2007.

Accident Compensation?s solicitor is:

         Dianne S. Lester
         Maude & Miller
         McDonald?s Building, 2nd Floor
         Porirua City
         New Zealand


NATUSCH TRANSPORT: Faces CIR?s Wind-Up Petition
-----------------------------------------------
On May 10, 2007, the Commissioner of Inland Revenue filed a
petition to wind up the operations of Natusch Transport Ltd.

The petition will be heard before the High Court of Hamilton
today, July 2, 2007.

The CIR?s solicitor is:

         Kay S. Morgan
         c/o Inland Revenue Department
         1 Bryce Street, Hamilton
         New Zealand
         Telephone:(07) 959 0373


TRANSAX PROCESSING: Proofs of Debt Due by July 4
------------------------------------------------
Transax Processing Limited, which is in liquidation, requires
its creditors to prove their debts by July 4, 2007.

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

The company?s liquidator is:

         David Stuart Vance
         c/o Jeff Hart
         PPB McCallum Petterson
         The Todd Building, Level 8
         95 Customhouse Quay
         PO Box 3156, Wellington
         New Zealand
         Telephone:(04) 499 7796
         Facsimile:(04) 499 7784


WATERHOUSE FARMS: Appoints Daniel Perry Johnston as Liquidator
--------------------------------------------------------------
On June 5, 2007, Waterhouse Farms Ltd. commenced liquidation
proceedings and Daniel Perry Johnston was appointed as
liquidator.

The Liquidator can be reached at:

         Daniel Perry Johnston
         23 Rathbone Street, Whangarei
         New Zealand
         Telephone:(09) 438 8532
         Facsimile:(09) 438 0108


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

JG SUMMIT: Elects Directors & Officers for 2007
-----------------------------------------------
JG Summit Holdings Inc. elected new directors and officers, and
designated new members of its Board committees for the year 2007
during the annual stockholders' meeting held on June 28.

The stockholders elected these individuals as directors of the
company for 2007:

    * John L. Gokongwei Jr.
    * James L. Go
    * Lance Y. Gokongwei
    * Lily G. Ngochua
    * Patrick Henry C. Go
    * Johnson Robert G. Go Jr.
    * Ignacio O. Gotao
    * Gabriel C. Singson
    * Ricardo J. Romulo
    * Cornelio T. Peralta  (Independent)
    * Jose T. Pardo   (Independent)

These directors were elected as officers of the company during
the Board of Directors organizational meeting held after the
stockholders' meeting:

    * James L. Go              - Chairman, chief executive
                                 officer

    * Lance Y. Gokongwei       - President, chief operating
                                 officer

    * Ignacio O. Gotao         - Senior vice president

    * Eugenie ML. Villena      - Senior vice president, chief
                                 financial officer-treasurer

    * Constante T. Santos      - Senior vice president,
                                 corporate controller

    * Bach Johann M. Sebastian - Senior vice president,
                                 corporate planning

    * Rosalinda F. Rivera      - Corporate secretary

Mr. Sebastian as the newly appointed officer for corporate
planning has no beneficial ownership over any shares of the
corporation.

    MEMBERS OF THE ADVISORY BOARD

    * Aloysius B. Colayco
    * Washington Z. SyCip
    
    MEMBERS OF THE EXECUTIVE COMMITTEE OF THE BOARD OF DIRECTORS

    * John L. Gokongwei Jr.
    * James L. Go
    * Lance Y. Gokongwei
    * Johnson Robert G. Go Jr.
    * Patrick Henry C. Go
  
    AUDIT COMMITTEE
    
    * Cornelio T. Peralta   - Chairman of the Audit Committee
    * John L. Gokongwei Jr.
    * James L. Go
    * Lance Y. Gokongwei
    * Jose T. Pardo

    NOMINATION COMMITTEE

    * John L. Gokongwei Jr.
    * James L. Go
    * Lance Y. Gokongwei
    * Johnson Robert G. Go Jr.
    * Jose T. Pardo

    REMUNERATION AND COMPENSATION COMMITTEE

    * John L. Gokongwei Jr.
    * James L. Go
    * Lance Y. Gokongwei
    * Johnson Robert G. Go Jr.
    * Cornelio T. Peralta

                       About JG Summit

JG Summit Holdings Inc. -- http://www.jgsummit.com.ph/-- is  
engaged in manufacturing and distributing food and agro-
industrial products and commodities; development, leasing and
management of real estate and hotels; manufacturing and
exporting textiles; provision of voice and data
telecommunication services; manufacturing of polypropylene,
polyethylene and other industrial chemicals; operation of thrift
bank and foreign exchange and securities dealing; provision of
air transport services both domestic and international and other
supplementary businesses like manufacturing of printed circuit
boards; air charter services, power generation, printing
services, Internet-related services, packaging materials,
insurance brokering and securities investment.

                          *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
April 12, 2006, Standard & Poor's Ratings Services assigned its
B+ corporate credit rating to JG Summit, with a stable outlook.  

At the same time, Standard & Poor's assigned its B+ rating to
the US$300 million 8% unsecured notes due 2013 issued in January
2006 by JGSH Philippines Limited, a special purpose vehicle
wholly owned by JG Summit.  The notes are irrevocably and
unconditionally guaranteed by JG Summit.


JG SUMMIT: Mulls Options for Repayment of US$300 Million Loan
-------------------------------------------------------------
JG Summit Corp. is evaluating its options for repaying bonds
worth US$300 million, including retirement, using internally
generated funds, the Philippine Daily Inquirer reports, citing
JG Summit President and CEO Lance Gokongwei as stating during
the company's annual stockholders' meeting held on June 28.

Mr. Gokongwei further said that the strong cash position showed
by the company gave it the advantage to choose the type of
payment for the obligation without using a refinancing program,
although the executive added that refinancing is still an
option.  Mr. Gokongwei also mentioned the use of dollar- or
peso-denominated financing in order to replace the loan.

The company's subsidiary, Universal Robina Corp., also plans to
retire early its US$110 million bond, which will mature next
year, the report relates.

During the meeting, Mr. Gokongwei also revealed that the company
would focus most of PHP25 billion capital expenditure program
for 2007 in expanding the Sun Cellular brand of Digital
Telecommunications Philippines, with the remainder to be spent
on Robinsons Land Corp.

The JG Summit executive disclosed his expectations of strong
2007 revenues for the group but he declined to specify the
figures, instead only saying that the conglomerate will "do
substantially better this year."

                         About JG Summit

JG Summit Holdings Inc. -- http://www.jgsummit.com.ph/-- is  
engaged in manufacturing and distributing food and agro-
industrial products and commodities; development, leasing and
management of real estate and hotels; manufacturing and
exporting textiles; provision of voice and data
telecommunication services; manufacturing of polypropylene,
polyethylene and other industrial chemicals; operation of thrift
bank and foreign exchange and securities dealing; provision of
air transport services both domestic and international and other
supplementary businesses like manufacturing of printed circuit
boards; air charter services, power generation, printing
services, Internet-related services, packaging materials,
insurance brokering and securities investment.

                          *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
April 12, 2006, Standard & Poor's Ratings Services assigned its
B+ corporate credit rating to JG Summit, with a stable outlook.  

At the same time, Standard & Poor's assigned its B+ rating to
the US$300 million 8% unsecured notes due 2013 issued in January
2006 by JGSH Philippines Limited, a special purpose vehicle
wholly owned by JG Summit.  The notes are irrevocably and
unconditionally guaranteed by JG Summit.


PHIL AIRLINES: Posts 3rd Annual Net Income of US$140.3 Million
--------------------------------------------------------------
Philippine Airlines reported a net income of US$140.3 million
for its financial year ending March 31, 2007, the largest profit
in its 66-year history and an affirmation of the flag carrier?s
robust financial health eight years into its restructuring
program.

In a filing with the Securities and Exchange Commission, PAL
said that the surplus was a ?significant improvement? over the
preceding fiscal year?s profit of US$22.8 million ? a more-than-
six-fold jump.  It was also PAL?s third straight annual profit,
a modest streak achieved in spite of adverse operating
conditions, including skyrocketing fuel prices, the
liberalization of the aviation industry, continuing global
terrorist threats and other issues affecting travel, as well as
the airline?s cost base.

?These solid results, not just from last fiscal year but over
the past eight years under restructuring, confirm that PAL is
fully recovered and is now firmly on track towards long-term
profitability,? said PAL president Jaime J. Bautista.  ?We are
consolidating these gains by reinvesting them in the business in
order to further improve our products and services, which is
critical in shoring up our competitive position in the
liberalized aviation milieu.?

Last year?s record profit came on the back of a US$158.4 million
or 12.8% upsurge in revenues, which also reached a new high of
US$1.39 billion.  Strong performances by the passenger and cargo
businesses, coupled with some non-recurring items, contributed
to the expansion.  Passenger carriage led the way, with PAL
ferrying a total of 6.9 million passengers on 21,252 flights
during the year, attaining a load factor of 76.8% ? its highest
in 15 years.

On the other hand, expenses increased by 6.4% to US$1.3 billion,
principally due to the continued rise in jet fuel prices from an
average of US$71.79 per barrel in 2006 to US$79.81 per barrel in
2007.  This added US$35.7 million to PAL?s fuel bill, which
ballooned to US$401.9 million last fiscal year.

PAL managed to keep other expenses in check by relentlessly
controlling costs, and improving systems and productivity.  For
instance, the airline recently completed the implementation of
electronic ticketing throughout its network, becoming the first
Philippine carrier to fully adopt the customer-friendly
technology.  Since entering an SEC-supervised rehabilitation
framework in June 1999, PAL has consistently posted an operating
income for eight consecutive years and a net income in six of
those eight years, key indicators that the flag carrier is on
the cusp of a sustained run of financial viability.

Mr. Bautista said the profit plow-back is manifested by PAL?s
ongoing modernization programs for both its narrow-body and
wide-body fleets.  The airline is in the midst of acquiring up
to 20 Airbus A320-family jets, with six units already delivered,
four due later this year and five more in 2008, in addition to
five option aircraft.  PAL has also signed for the acquisition
of six Boeing 777-300ER aircraft, comprising four firm orders
and two leased units, to boost its long-haul operations to North
America and other destinations.

Mr. Bautista said PAL will invest from US$50 million to
US$100 million to reconfigure and refurbish cabin interiors on
its existing wide-body fleet.  Major investments will also go
towards continuously upgrading the airline?s safety and security
standards ? already among the industry?s most stringent ? as
well as its technology, infrastructure and human-resource
assets, he added.  Part of this thrust is the planned investment
of up to US$50 million in the development of PAL?s presence at
the emerging aviation hub in Clark Field, Pampanga, announced by
Bautista earlier this week.

?We are undertaking all these as an investment for the future.   
Our vision is for PAL to reclaim its accustomed place among the
region?s premier airlines and we are on track towards that
goal,? he said.

                         About PAL

Philippine Airlines -- http://www.philippineairlines.com/-- is  
the Philippines' national airline.  It was the first airline in
Asia and the oldest of those currently in operation.  With its
corporate headquarters in Makati City, Philippine Airlines flies
both domestic and international flights.  As of 2005, it claims
to serve 21 domestic airports and 31 foreign cities.  Its main
hub is the Ninoy Aquino International Airport in the capital
city of Manila.

Following labor problems and its failure to settle debts, PAL
filed for rehabilitation in June 1998, and is slated to complete
its 10-year debt rehabilitation program in 2009.

A March 21, 2006 report by the Troubled Company Reporter - Asia
Pacific stated that the airline company will continue a
government-led rehabilitation program even as creditors neither
approved nor rejected the program to leave the protection of the
Securities and Exchange Commission.

A report by the Manila Times in July 2006 said that since its
corporate rehabilitation in 1998, PAL reduced its debts to
PHP237.23 billion from PHP496.02 billion by selling assets and
using the proceeds to pay off maturing debts.


PHIL AIRLINES: Talks for Clark Eco-zone Lease in Final Round
------------------------------------------------------------
Philippine Airlines and Clark International Airport Corp. are in
the final stages of negotiations for the expansion of the
airline's operations to the Diosdado Macapagal International
Airport in Pampanga, the Philippine Daily Inquirer reports.

The Troubled Company Reporter ? Asia Pacific reported on June 27
that PAL disclosed to the Philippine Stock Exchange its
negotiations with the CIAC for the lease of a 30-hectare
property.  PAL President Jaime Bautista now told reporters in a
press briefing that the parties were finalizing talks for the
catering, ground handling and maintenance services for the Clark
terminal.

Costs of construction are about US$30 million to US$50 million,  
Mr. Bautista said.  He also expects to spend about US$20 million
to US$30 million yearly on maintenance.

Explaining PAL's decision, the Inquirer cites Mr. Bautista as
saying that the current trend in Asia to relocate airports as
far away from cities as possible, and cited examples in Bangkok
and Kuala Lumpur.  However, he also said that the company will
continue to maintain operations at the Ninoy International
Airport in Makatai City.

In reaction to PAL's statement, CIAC President Victor Luciano
said his firm "welcomes the announcement of PAL" and that it is
"stepping up its development to respond to a bigger and growing
interest in DMIA."  

                         About PAL

Philippine Airlines -- http://www.philippineairlines.com/-- is  
the Philippines' national airline.  It was the first airline in
Asia and the oldest of those currently in operation.  With its
corporate headquarters in Makati City, Philippine Airlines flies
both domestic and international flights.  As of 2005, it claims
to serve 21 domestic airports and 31 foreign cities.  Its main
hub is the Ninoy Aquino International Airport in the capital
city of Manila.

Following labor problems and its failure to settle debts, PAL
filed for rehabilitation in June 1998, and is slated to complete
its 10-year debt rehabilitation program in 2009.

A March 21, 2006 report by the Troubled Company Reporter - Asia
Pacific stated that the airline company will continue a
government-led rehabilitation program even as creditors neither
approved nor rejected the program to leave the protection of the
Securities and Exchange Commission.

A report by the Manila Times in July 2006 said that since its
corporate rehabilitation in 1998, PAL reduced its debts to
PHP237.23 billion from PHP496.02 billion by selling assets and
using the proceeds to pay off maturing debts.


SAN MIGUEL: In Talks With Gov?t to Build 10 Corn Grain Centers
--------------------------------------------------------------
San Miguel Corp. plans to build 10 grain centers in 10 corn-
growing areas in the Philippines and has met with the Department
of Agriculture for possible financing of the investment, the
Manila Standard reports.

According to The Standard Each of the center will cost PHP500
million, with the entire investment amounting to about PHP5
billion.  The government had initially identified Bukidnon,
Cagayan province, Isabela, Occidental Mindoro, Quirino,
Sarangani, Pangasinan, Pampanga, North Cotabato and Maguindanao
as possible sites for the grain centers.

DA director for corn crop Dennis Araullo said that they are in
the preliminary stage of negotiations with SMC, the report
notes.  Mr. Araullo also told the Manila Standard of his hopes
that other investors will follow SMC's interest in the corn
areas, which the company conveyed after local corn production
experienced a decline.

Fluctuations from insufficient production and seasonality have
negatively affected the prices for domestic corn, The Standard
says.  Because of this, the government had to import 400,000
metric tons of corn to recover from the 1.7 million to
1.8 million metric tons shortfall in production.  

Headquartered in Manila, Philippines, San Miguel Corporation --
http://www.sanmiguel.com.ph/-- through its subsidiaries,  
operates food, beverage and packaging businesses.  The company's
products include beer, wine and spirits, soft drinks, mineral
water, chicken and pork products.  San Miguel markets its
products both in the domestic and overseas markets.  The company
also manufactures glass, metal, plastic, paper and composites
packaging products.

A Troubled Company Reporter - Asia Pacific report on Oct. 12,
2006, stated that Moody's Investors Service affirmed its Ba1
corporate family rating.

Standard & Poor's Ratings Services gave San Miguel Corp. a 'BB'
foreign currency corporate credit rating and a 'B' rating to its
proposed five-year benchmark non-callable, non-cumulative, non-
voting, perpetual preferred shares to be issued by San Miguel
Capital Funding.


* Foreign Debts for 1st Qtr. 2007 Down 2% from 2006 to US$54 BB
---------------------------------------------------------------
The Republic of the Philippines recorded a foreign debt of
US$54 billion in the first quarter of 2007, 2% lower from the
first quarter of 2006 figure because of the government's pre-
payments, the Bangko Sentral ng Pilipinas told the Manila
Standard.

The lower debt lowered the country's debt-to-gross domestic
product ratio to 44.2% in the first three months of 2007, from
the 53.7% reported last year, the report says.  However, the
Philippines ratios are still higher than other countries despite
the reduced foreign debt.

According to the BSP, the Philippines' debt service ratio stood
at 12.1%, compared to the 12.7% from last year. This is also
within the international benchmark of 20%.  The bank also
revealed these as comprising the country's foreign debt:

     * 90.5% is made up of medium to long-term loans or those
       that mature in five years or longer.

     * Public sector borrowings account for US$38.3 billion,
       with an average maturity of 20.7 years.

     * Private sector borrowings make up US$15.7 billion, higher
       than the US$11.97 billion last year.

     * Loans from official creditors and bilateral creditors are           
       39.1% of the total foreign debt.

     * 35.8% is taken up by foreign holders of bonds and notes.

     * Foreign banks and other financial institutions compose
       18.5% of the total foreign debt.

? 6.6% are debts to foreign suppliers.

                          *     *     *

As reported in the Troubled Company Reporter ? Asia Pacific on
May 22, 2007, Standard & Poor's Ratings Services affirmed its
'BB-/B' foreign currency and 'BB+/B' local currency sovereign
credit ratings on the Philippines, with a stable outlook.  Also
in May 2007, S&P assigned its 'BB+' senior unsecured rating to
the Philippines' new three- and five-year benchmark bond
issues.  The new bonds mature in 2010 and 2012 and carry
interest rates of 5.5% and 5.75%, respectively.  The exchange
offers yielded approximately Philippine peso 55 billion and
PHP58 billion for the three- and five-year bonds, respectively,
from the exchange of eligible issues.

Fitch Ratings, on March 5, 2007, affirmed the Republic of the
Philippines' Long-term foreign and local currency Issuer Default
ratings at 'BB' and 'BB+', respectively.  The agency also
affirmed the Short-term IDR at 'B' and the Country Ceiling at
'BB+'.

On Nov. 3, 2006, the TCR-AP reported that Moody's Investors
Service changed to stable from negative the outlook on the
Philippines' key ratings due to the progress made in reining in
fiscal deficits in 2006 and an easing in dependence on external
financing.  The affected ratings include the B1 long-term
government foreign- and local-currency ratings, the B1 foreign-
currency bank deposit ceiling and Ba3 foreign currency country
ceiling, the TCR-AP noted.


* Gov?t Plans Sale of Assets& Expects PHP105 Billion in Proceeds
----------------------------------------------------------------
The Philippine Government will sell off its stakes in both power
and non-power firms this year, and hopes to earn PHP105 billion
from the sales, Finance Secretary Margarito B. Teves told the
Manila Bulletin.

The Bulletin notes that, in an effort to boost its non-tax
revenues, the government decided to sell its 60% holdings in the
Philippine National Oil Co.-Energy Development Corp.  The
government expects to earn PHP50 billion from the sale, Mr.
Teves revealed.

Mr. Teves further disclosed that the government also plans to
dispose of 20% of PNOC-EDC by next month or August for PHP17
billion, and the remaining holdings are to be sold by November.

San Miguel Corp. and Manila Electric Co. will also be privatized
this year, Mr. Teves revealed, in order to earn additional non-
tax revenues of PHP55 billion, comprising of PHP50 billion from
San Miguel and PHP5 billion in MERALCO.

Mr. Teves further said that only the National Government's
shares will be considered non-tax revenues, and said that the
finalization of the privatization within three months is crucial
in achieving the targeted deficit for 2007, The Bulletin
relates.

                          *     *     *

As reported in the Troubled Company Reporter ? Asia Pacific on
May 22, 2007, Standard & Poor's Ratings Services affirmed its
'BB-/B' foreign currency and 'BB+/B' local currency sovereign
credit ratings on the Philippines, with a stable outlook.  Also
in May 2007, S&P assigned its 'BB+' senior unsecured rating to
the Philippines' new three- and five-year benchmark bond
issues.  The new bonds mature in 2010 and 2012 and carry
interest rates of 5.5% and 5.75%, respectively.  The exchange
offers yielded approximately Philippine peso 55 billion and
PHP58 billion for the three- and five-year bonds, respectively,
from the exchange of eligible issues.

Fitch Ratings, on March 5, 2007, affirmed the Republic of the
Philippines' Long-term foreign and local currency Issuer Default
ratings at 'BB' and 'BB+', respectively.  The agency also
affirmed the Short-term IDR at 'B' and the Country Ceiling at
'BB+'.

On Nov. 3, 2006, the TCR-AP reported that Moody's Investors
Service changed to stable from negative the outlook on the
Philippines' key ratings due to the progress made in reining in
fiscal deficits in 2006 and an easing in dependence on external
financing.  The affected ratings include the B1 long-term
government foreign- and local-currency ratings, the B1 foreign-
currency bank deposit ceiling and Ba3 foreign currency country
ceiling, the TCR-AP noted.


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

CATALOG MAGAZINE: Wind-Up Petition Hearing Set for July 6
---------------------------------------------------------
On June 14, 2007, Wong Wei Ling filed a petition to wind up the
operations of Catalog Magazine Pte Ltd.

The petition will be heard before the High Court of Singapore on
July 6, 2007, at 10:00 a.m.

Wong Wei?s solicitor is:

         PK Wong & Associates LLC
         9 Temasek Boulevard
         #26-03 Suntec Tower Two
         Singapore 038989


COMPACT METAL: Shareholder Reduces Stake in Company
---------------------------------------------------
Temasek Holdings (Private) Limited reduced its deemed shares in
Compact Metal Industries Ltd on June 22, 2007.

The reduction of shares was due to DBS Bank Ltd sold 13,000,000
of the company?s ordinary shares.  DBS Bank is a subsidiary of
DBS Group Holdings Limited, which is in turn an associated
company of Temasek.  Temasek is deemed by virtue of section 7 of
the Companies Act to be interested in the 244,003,722 Shares
held by DBS Bank Ltd.

Temasek previously held 257,003,722 deemed shares with 7.26%
issued share capital.  Presently, Temasek holds 244,003,722
deemed shares with 6.89% issued share capital.

Headquartered in Singapore, with offices in Malaysia, Compact
Metal Industries Limited manufactures, fabricates, and sells
aluminum windows and doors, aluminum sections, and other metal
products.  The company also manufactures and sells bricks,
undertakes aluminum architectural contracts and engineering
works, and sub-contracts building projects.  Its other
activities include trading aluminium and related products, and
hotel ownership and others.

As reported by the Troubled Company Reporter - Asia Pacific on
Aug. 10, 2006, auditors KPMG raised significant doubt on Compact
Metal's ability to continue as a going concern, citing reasons
that include: the group's and company's current liabilities that
exceeded their current assets by SGD81.96 million and SGD78.82
million, respectively, as of December 31, 2005; the group's and
company's recorded net liabilities attributable to equity
holders of the parent of SGD43.10 million and US$43.83 million,
respectively, as of December 31, 2005; and the group's recorded
recurring losses with net losses attributable to equity holders
of the parent of US$24.09 million for the year ended Dec. 31,
2005.


DIGILAND INTERNATIONAL: Enters MOU with Vincente Holdings
---------------------------------------------------------
Digiland International Limited disclosed on June 27, 2007, that
it has entered into a non-binding memorandum of understanding
with Vincente Holdings Pte Limited.  The MOU represents the
company?s intentions to proceed with further negotiations of
possibly purchasing one or more real properties in Singapore
being prime land available for redevelopment, which Vincente
Holdings intends to acquire from a third party that do not have
any interest in the properties.  

The acquisition of the properties may be made indirectly by the
acquisition of the entire issued share capital of the company,
which owns the Property or through a direct acquisition of the
properties themselves.  In addition, the MOU also sets
out the understanding of the parties on the continuation or
disposal of the existing business of the company in the event
that the Properties are acquired by the company
and Vincente Holdings becomes a controlling shareholder of the
company.

                     Rationale for the MOU

The current trends in the property market in Singapore are
positive and subject to the approval of shareholders, Digiland
wants to take this opportunity to enter into the business of
property development and investment and should it acquire the
Properties or the Sale Shares, contemplate the disposal of its
existing business or its continuation as a separate business
group.

Vincente Holdings has been incorporated for the purpose of
acquiring various properties for development and investment.  In
the event that Vincente Holdings is successful in acquiring the
properties, Vincente Holdings seeks to inject the Properties
into Digiland as the company's shares are listed on the main
board of The Singapore Exchange Securities Trading
Limited.

The consideration for the sale shares of the properties will be
agreed between the company and Vincente Holdings, which is based
on an appropriate valuation including but not limited to a
valuation in respect of the properties provided by the valuers
appointed by Digiland.  The consideration will be subject to the
adjustment as may be required by the results of the legal and
financial due diligence to be carried out by the company, and
the terms of the purchase agreement.  Based on information
provided by Vincente Holdings, a non-binding indicative
valuation of the land cost of the properties which, Vincente
Holdings has expressed an interest to acquire is estimated to
be in the region of SGD2.3 billion.  The company will determine
its own valuation for the properties in the legal and financial
due diligence to be conducted.

The consideration is intended to be satisfied by the allotment
and issue of new Shares at an indicative issue price of SGD0.048
per consideration share which will rank pari passu with all
existing Shares as at the date of their issue.

The actual number of consideration shares to be issued will
depend on the final agreed value of the properties, which are
actually acquired by the company from Vincente Holdings.  

Digiland International Limited -- http://www.digiland.com.sg/--  
is a major distributor of IT products and provider of IT
services in the Asia-Pacific.  The Digiland International Group
of Companies was set up initially as the distribution arm of GES
International Limited to handle sales, marketing and
distribution of GES products, specifically the Datamini brand of
Personal Computer, designed and manufactured by GES
International Limited.  It was renamed Digiland International
Private Ltd in 1998 and has since expanded geographically to
cover most countries in Asia-Pacific.  The company has been
reporting a string of losses in the recent years due to the
negative impact of the highly cyclical nature of the computer
industry.  Sales were adversely affected by the shortening
product cycles of IT products and downward pressure on selling
prices as newer and more technologically advanced products enter
mass production.  Aside from recurring losses, the company's
subsidiaries have also been bombarded by wind-up petitions filed
by creditors.

The company has acquired losses for the past two years.  For the
fiscal year ended June 2005, the Company's annual report showed
a US$18.7-million loss while fiscal year ended June 2004 showed
a US$44.7-million loss.

As reported in the Troubled Company Reporter - Asia Pacific on
Oct. 13, 2006, the company registered US$31.32 million in total
assets and a US$11.94 million shareholders' equity deficit as of
October 12.


KIM POH: Will Pay Dividend on July 9
------------------------------------
Kim Poh Auto (Pte) Ltd, which is in voluntary liquidation, will
pay dividend to its creditors on July 9, 2007.  The company will
pay its creditors 100% or statutory limit.

The company?s liquidator is:

         Lim Yeong Seng
         111A Telok Ayer Street
         Singapore 068580



RINOL SINGAPORE: Proofs of Debt Due by July 6
---------------------------------------------
Rinol Singapore Pte Ltd, which is in creditors? voluntary
liquidation, requires its creditors to file their proofs of debt
by July 6, 2007.

The company?s liquidator is:

         Timothy James Reid
         50 Raffles Place
         #16-06 Singapore Land Tower
         Singapore 048623


WSID PTE: Creditors? Meeting Set for Today
------------------------------------------
The creditors of WSID Pte Ltd will have their meeting today,
July 2, 2007, at 3:30 p.m. in NTUC Centre, One Marina, Level 8,
on Room 801 in Boulevard Business Centre, Singapore 018989.

At the meeting, the creditors will be asked to:

   -- receive an update on the company?s affairs as at the date  
      of liquidation;

   -- appoint a Committee of Inspection; and

   -- discuss other business.

Bob Yap Cheng Ghee is the company?s liquidator.


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

DAIMLERCHRYSLER: CEO Upbeat on Future Following Chrysler Sale
-------------------------------------------------------------
DaimlerChrysler AG CEO Dieter Zetsche told German daily Der
Tagesspiegel he is confident in the company's future following
the sale of its U.S. unit Chrysler Group to Cerberus Capital
Management LP, Reuters reports.

The CEO pointed out that the sale has lowered the risk of a
financial investor taking over Daimler, Reuters notes.

"The risk of others influencing the company... is today clearly
lower," Mr. Zetsche said in the interview with Der Tagesspiegel.  
"A year ago the company was worth less than EUR35 billion
(US$47.09 billion), today it's about EUR70 billion," he added.

The company would do more to reduce carbon dioxide (CO2)
emissions.  "We still want to accelerate progress," he said.  In
March, BMW and DaimlerChrysler agreed to co-develop hybrid
transmission systems for rear-wheel-drive premium cars, Reuters
relates.  But "at the moment there were no plans" for further
cooperation between the two car makers, Mercedes' head of sales
and marketing, Klaus Maier, told Handelsblatt.

                  About DaimlerChrysler

Based in Stuttgart, Germany, DaimlerChrysler AG (NYSE:DCX)
(FRA:DCX) -- http://www.daimlerchrysler.com/-- develops,  
manufactures, distributes, and sells various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide.  It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.

The company's worldwide operations are located in: Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam, and Australia.

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

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.

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


DAIMLERCHRYSLER AG: MAN and Freightliner Settle ERF Case
--------------------------------------------------------
MAN AG has reached an agreement with DaimlerChrysler AG's
Freightliner division, in the litigation with the group in USA
and Canada, that settles MAN?s claims for damages in connection
with the financial fraud committed at ERF, a British truck maker
taken over by MAN.  The settlement provides that Freightliner
shortly pay an indemnity of GBP250 million (EUR370 million) to
MAN.

Back in 2000, MAN had taken over ERF from Canada?s Western Star,
a company shortly afterwards acquired by Freightliner.  After
the ERF acquisition, it emerged that ERF?s financial statements
and thus its value had been severely and fraudulently
manipulated and misrepresented.

In 2002, MAN sued Freightliner as Western Star?s legal successor
for damages of around GBP300 million.  While MAN had been
successful in the actions brought before British and US courts,
time-consuming and costly actions before higher-instance courts
in Britain and the US nonetheless awaited MAN, and these are now
avoided by the settlement.

                          About MAN AG

Based in Munich, Germany, the MAN Group -- http://www.man.de/--  
is one of Europe's leading manufacturers of commercial vehicles,
engines and mechanical engineering equipment with annual sales
of approximately EUR13 billion and circa 50,000 employees
worldwide.  MAN supplies trucks, buses, diesel engines,
turbomachinery, as well as industrial services and holds leading
market positions in all its business areas.

                      About DaimlerChrysler

Based in Stuttgart, Germany, DaimlerChrysler AG (NYSE:DCX)
(FRA:DCX) -- http://www.daimlerchrysler.com/-- develops,  
manufactures, distributes, and sells various automotive
products, primarily passenger cars, light trucks, and commercial
vehicles worldwide.  It primarily operates in four segments:
Mercedes Car Group, Chrysler Group, Commercial Vehicles, and
Financial Services.

The company's worldwide operations are located in: Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam, and Australia.

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

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions.  In addition, increased interest
rates caused higher sales & marketing expenses.

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


KASIKORNBANK PCL: Fitch Affirms Individual ?C? Rating
-----------------------------------------------------
Fitch Ratings has affirmed on Friday Kasikornbank PCL?s Long-
term Foreign Currency Issuer Default Rating (IDR) at 'BBB+',
Short-term Foreign Currency IDR at 'F2', Individual at 'C',
Support at '2' and its long-term foreign currency subordinated
debt at 'BBB'.

The Bank's Support Rating Floor remains unchanged at 'BBB-' (BBB
minus).  At the same time, the agency has affirmed the bank's
National Long-term Rating at 'AA(tha)', National Short-term
Rating at 'F1+(tha)', its National long-term and short-term
senior unsecured debt at 'AA(tha)' and 'F1+(tha)', respectively,
as well as its subordinated debt at National Long-term 'AA-
(tha)' (AA minus(tha)). The Outlook on the bank remains Stable.

KBANK's ratings reflect the sustained improvement in the bank's
underlying profitability, its asset quality and capital, as well
as its strong domestic banking franchise in the middle market,
corporate and retail banking.  Given KBANK's large deposit
share, strong institutional links and importance to the Thai
economy, Fitch believes that there is a high probability the
bank would receive state support should the need arise.  KBANK's
debt ratings are currently capped by the country's sovereign
rating ('BBB+'/Stable).  A further improvement in the bank's
ratings would require a further significant decline in impaired
and restructured loans, as well as structural improvements in
the Thai economy and banking system, including the regulatory
and legal framework.

The weakening operating environment could affect KBANK's
performance in 2007, although this is not expected to be
significant.  KBANK expects corporate, SME and retail loan
growth to recover in 2008.  The bank is also expanding SME
lending in China, although the initial exposure is expected to
be small.

Net profit remained relatively stable at THB13.7 billion in 2006
from THB14bn in 2005.  The bank reported a 7.1% rise in pre-
provisioning profit before tax due to strong loan growth,
increased loan yield and improved fee and foreign exchange
(forex) income.  The net interest margin appeared relatively
high at 3.9% when compared with most other banks. In Q107, net
income rose to THB3.9bn from THB3.6bn in Q106 due to improved
interest and dividend income from loan growth, increased loan
yield, improved fee and forex income and larger gains on
investments.

Impaired loans fell to 7% of gross loans at end-2006, before
rising slightly to 7.2% at end-March 2007 as a result of the
weakening operating environment.  Loan loss reserves stood at
THB33.3bn, equating to about 67% of the remaining impaired
loans.

At end-March 2007, the bank's Tier 1 capital stood at 10.3% of
total risk-weighted assets (RWAs), while total capital stood at
14.4%. Capital should remain strong on the back of solid
earnings, offsetting the impact of dividend and asset growth.


KASIKORNBANK PCL: Elects Pairash Thajchayapong as Director
----------------------------------------------------------
The Board of Directors of Kasikornbank PCL has elected
Dr. Pairash Thajchayapong as director of the bank during a
meeting held on June 29, according to a disclosure with the
Stock Exchange of Thailand.

Dr. Pairash was elected per recommendation of the Human
Resources and Remuneration Committee in order to replace Tian
Suning, who resigned as a director on February 23, 2006.

Kasikorn Bank Public Company Limited --
http://www.kasikornbank.com/-- otherwise known as the Thai  
Farmers Bank, was established in 1945 with registered capital of
THB5 million and has been listed on the Stock Exchange of
Thailand since 1976.  It is Thailand's fourth largest bank, with
total assets of THB844 billion (US$22 billion) as at end June
2006.

The bank currently carries Moody's Bank financial strength
rating of D+, which Moody?s affirmed on May 4, 2007. The outlook
is stable.

On June 29, 2007, Fitch Ratings affirmed Fitch Ratings has
affirmed on Friday Kasikornbank PCL?s Long-term Foreign Currency
Issuer Default Rating (IDR) at 'BBB+', Short-term Foreign
Currency IDR at 'F2', Individual at 'C', Support at '2' and its
long-term foreign currency subordinated debt at 'BBB'.


KUANG PEI: To Acquire 7.5 Million Shares in Kuang Holding
---------------------------------------------------------
Kuang Pei San Food Products PCL, as largest creditor, will hold
a new equity amount of 7,509,865 shares with par value of
THB100 in Kuang Holding Co. Ltd. under Kuang Holding's debt
restructuring plan, which was approved by the Central Bankruptcy
Court on June 25.

The number of shares represents Kuang Holding?s total debt of
THB750.98 million to Kuang Pei, which will then be balanced by
the transaction.  The company will then become Kuang Holding's
major shareholder.

Kuang Pei San Food Products Public Company Limited manufactures
and distributes tinned foods and canned sardine fish under its
Pompui, Pla Yim and Lap brand names.

As of December 31, 2006, the company had a shareholders' equity
deficit of THB408,269,091.16 on total assets of
THB568,886,989.98 and total liabilties of THB977,156,081.14.

                       Significant Doubt

The Troubled Company Reporter ? Asia Pacific reported on April
10, 2007 that Wanraya Puttasatiean at S.K. Accountant Services
Company Limited, the company's independent auditors, raised
significant doubt on the company's ability to continue as a
going concern, citing that:

   * the company?s net losses of THB96,434,952.69 for the year
     ending December 31, 2006, and THB90,483,711.38 reported a   
     year earlier;

   * the company?s insolvency, and

   * the company?s illiquidity as of December 31, 2006, when    
     current liabilities exceeded current assets by
     THB764.52 million.


MANAGER MEDIA: Civil Court OKs Amendment of Rehabilitation Plan
---------------------------------------------------------------
The Civil Court has granted approval for the amendment of
Manager Media Group PCL's business rehabilitation plan under the
Bankruptcy Act B.E. 2483 Section 90/63.

On June 15, 2007, the company's creditors voted for the proposed
amendment of the rehabilitation plan.  After the proposal was
filed, the Civil Court requested a hearing for consideration on
June 28, 2007.

Headquartered in Bangkok, Thailand, Manager Media Group Public
Company Limited -- http://www.manager.co.th/-- publishes a  
variety of daily, weekly, and monthly publications.  Periodicals
include Manager monthly magazine, Manager weekly newspaper,
Manager daily newspaper, and Thai Investment weekly magazine.  
The company also partners with the Vietnam News Agency to
publish The Vietnam News, an English-language daily newspaper in
Vietnam.  

                      Going Concern Doubt

Prawit Wipusirikup at RSM Nelson Wheeler Audit Limited, the
company?s independent auditors raised significant doubt on the
company?s ability to continue as a going concern, saying that
the company and its subsidiary company is in the process of
business rehabilitation and has built up significant accumulated
losses over the last few years and has suffered recurring losses
from operations.  

He adds that as of December 31, 2006, the group?s consolidated
current liabilities exceeded its current assets by THB108.57
million, while the company?s current liabilities exceeded its
current assets by THB69.05 million.  

He adds further that the consolidated capital deficiency as of
December 31, 2006 was THB368.23 million, and the company?s
capital deficiency amounted to THB337.86 million.  

Moreover, the group has amended its business rehabilitation
plan, which will be approved by the creditor?s meeting.  The
civil court agreed to extend the rehabilitation process until
August 2, 2007.  The ultimate outcome of the debt rehabilitation
process being completed within the timeframe agreed by the court
cannot presently be determined, according to Mr. Prawit.

He explains that the continuing business operations of the group
substantially depends on:

   a) the group?s ability to complete the business
      rehabilitation plan within the timeframe set by the court;
      and

   b) the ability of the group to operate successfully in the
      future and generate adequate cash flows from operations.  


NATURAL PARK: Completes Capital Increasing Procedures
-----------------------------------------------------
Natural Park PCL has completed on June 27 the registration of
its increased paid-up capital with the Business Development,
Ministry of Commerce.

According to a disclosure with the Stock Exchange of Thailand,
the company's paid-up capital is now THB8,057,456,000 from the
previous THB8,057,160,000.

The SET has now allowed the trading of Natural Park's securities
after the completion of its capital increasing procedures.

                          *     *     *

Based in Bangkok, Thailand, Natural Park Public Company Limited
engages in developing, renting, leasing, selling and managing of
residential and commercial properties. Its business groups
include the operations of a luxury apartment complex, The
Natural Park Apartment, in Bangkok, the management of Novotel
Beach Resort Phanwa Phuket and the operations of french
restaurants, LEN?TRE and LEN?TRE BOUTIQUE. In addition, the
Company is involved in the catering services.

Natural Park is facing a suit for bankruptcy filed by Sathorn
Asset Management with debt value of THB39.59 million. It has
also been faced with a suit earlier by Ocean Life Insurance,
which is now appealing the junking of the case by the Central
Bankruptcy Court.

The company's net loss in the first quarter of this year was
Bt296.79 million, after a loss of Bt249.13 million in the
corresponding period last year. It has so far disposed of many
assets, including the Natural Hotel and a significant stake in
Bangkok Metro, Finansa and Siri Phuket.


SIAM COMMERCIAL: Fitch Affirms Individual Rating at ?C?
-------------------------------------------------------
Fitch Ratings affirmed on June 29 Siam Commercial Bank's Long-
term Foreign Currency Issuer Default Rating (IDR) at 'BBB+',
Short-term Foreign Currency IDR at 'F2', Individual at 'C',
Support at '2', and its foreign currency senior unsecured debt
and subordinated notes at 'BBB+' and 'BBB', respectively.

The Bank's Support Rating Floor remains unchanged at 'BBB-' (BBB
minus).  At the same time, the agency has affirmed SCB's
National Long-term Rating at 'AA(tha)', National Short-term
Rating at 'F1+(tha)', senior unsecured debt at National Short-
term 'F1+(tha)', and subordinated debt at National Long-term
'AA-(tha)' (AA minus (tha)).  The Outlook for the bank remains
Stable.

SCB's ratings reflect the bank's sustained recovery in
underlying earnings and profitability on the back of an
improvement in asset quality and loan growth.  The bank's
reserve and capital positions have also strengthened.  SCB has
one of the strongest corporate and retail banking franchises in
Thailand.

Fitch believes there is a high probability that the bank would
receive state support should the need arise, given the support
of the Crown Property Bureau (CPB, the Thai Crown's investment
agency) which is SCB's single largest private shareholder, the
past support of the Ministry of Finance (MOF), SCB's large share
of deposits and its importance to the Thai economy.  SCB's debt
ratings are currently capped by the country's sovereign rating
('BBB+'/Stable).  Further improvement in its ratings would
require a further significant decline in impaired and
restructured loans, as well as structural improvements in the
Thai economy and banking system, including the regulatory and
legal framework.

While SCB's financial performance could be affected by the
weakening operating environment in 2007, its strong corporate
and retail franchise should help support the bank's earnings.
SCB's aggressive expansion into retail, especially auto hire
purchase lending through its subsidiary, Siam Commercial Leasing
(SCBL), and SME segments may impact profitability and see a rise
in credit costs.

In 2006, SCB's net profit decreased to THB13.6bn from THB19bn in
2005 due to tax expenses and higher provisions in compliance
with the Bank of Thailand's provisioning guidelines under IAS39.
Nonetheless, its pre-provision profit before tax improved by 17%
to THB24.7bn in 2006, from THB21.1bn in 2005.  In Q107, SCB's
net profit fell to THB3.7bn from THB4.2bn in Q106, due mainly to
higher provisions, whereas its underlying performance continued
to improve, with pre-provision profit before tax rising by 3.4%.

SCB's impaired loans amounted to THB61.2bn, or 8% of total
loans, at end-March 2007.  The bank aims to reduce its impaired
loans to less than 6% by end-2007.  Loan loss reserves (LLRs)
fell to THB52.9bn after write-offs, and covered 86.4% of
impaired loans, which remains one of the highest loss coverage
ratios among Thai banks.

At end-March 2007, the bank's Tier 1 capital stood at THB78.9bn,
or 11.1% of total risk-weighted assets, while total capital
amounted to THB99.2bn, or 13.9%, which appears strong.


* Moody's Says Asia-Pacific Negative Credit Trend Moderating
------------------------------------------------------------
Moody's Investors Service, on June 29, 2007, said that the
negative credit trend that prevailed among Asia Pacific's (ex-
Japan) non-financial corporates over the previous year showed
signs of moderating during 2Q2007, supported by an upturn in the
Asian corporate portfolio, a result in turn of improved
fundamentals.

"Much of the improvement was driven by telecommunications
companies and corporates in Korea," says Clara Lau, Moody's
Chief Credit Officer and author of the rating agency's latest
quarterly review for Asia Pacific.

"Furthermore, looking ahead into 3Q2007, Moody's expects the
overall trend in Asia Pacific to remain neutral to mildly
negative, supported by the likely continuation of the more
positive trend across Asia," says Lau.

"The apparent stabilization of the region's negative credit
trend was evidenced by the rise in the percentage of credits
with a stable outlook to 80% in 2Q2007 from 76% in 1Q2007," says
Lau, adding, "Meanwhile, the percentage on review for downgrade
or with a negative outlook declined slightly to 14% from 16%. "

"The above was a result of the quarter-over-quarter percentage
of Asian ratings with a negative bias declined to 9% from 15%,
offsetting the rising negative credit trend experienced by
companies in Australia," says Lau.  In Australia, credits on
review for downgrade or with a negative outlook rose to 25% in
2Q2007 from 19% in 1Q 2007 due to M&A activity.

"Going forward, the key risk for Asian issuers will continue to
stem from ongoing expansion, as acquisitive growth spurs
ambitious capital expenditures," says Lau, adding, "Both strong
domestic growth, particularly in China and India, and aggressive
strategic efforts to expand scale to fortify market positions
before these countries open up to further foreign investment are
driving ambitious investments."

The Moody's report says this situation poses increasing
execution risks which affect credit profiles.  Several recent
rating actions were partly the result of the issuers' inability
to achieve projected results, based on aggressive growth plans,
or due to debt-funded expansion beyond Moody's expectations.

"So far, ample liquidity has allowed for continued active debt
and equity issuances at low interest costs or high P/Es," says
Lau.  "But, there is a risk that the ample liquidity currently
supporting the positive outlook for Asia may fall away."

"Such a turn may come without warning, leading to unexpected
rating pressure on companies with weak liquidity profiles,
particularly high-yield credits which are heavily reliant on
short-term funding or are facing significant debt maturities,"
says Lau.

Moody's report, "Asia Pacific (ex Japan) Corporate Credit Second
Quarter 2007 Update: Negative Trends Ease across Asia but
Strengthen in Australia" can be found at http://www.moodys.com




                            *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.  
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.  
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N
   
Troubled Company Reporter - Asia Pacific is a daily newsletter
co-published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Mark Andre Yapching, Azela Jane Taladua, Rousel
Elaine Tumanda, Valerie Udtuhan, Francis James Chicano, Tara
Eliza Tecarro, Freya Natasha Fernandez-Dy, Frauline Abangan, and
Peter A. Chapman, Editors.

Copyright 2007.  All rights reserved.  ISSN: 1520-9482.
   
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Information contained herein is obtained from sources believed
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