TCRAP_Public/070727.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R  
  
                     A S I A   P A C I F I C  

             Friday, July 27, 2007, Vol. 10, No. 147

                            Headlines

A U S T R A L I A

ADVANCED MARKETING: Files Revised Reclamation Claims Report
EMBEL PTY: Liquidator to Give Wind-Up Report on August 3
FUTURIS CORP: Wozniczka Denies Unit Elders is in Crisis
JOHE ENTERPRISES: Sets Meeting for August 3
JONROSE TRANSPORT: Members and Creditors to Meet on August 3

KELDON HOLDINGS: Members Opt to Shut Down Firm
MCLAREN INVESTMENTS: Placed Under Members' Voluntary Liquidation
NORDX/CDT AUSTRALIA: Members to Hold Final Meeting on August 10
STOCKFORD GROUP: To Declare Fourth Dividend on Sept. 4
SYMBION HEALTH: Primary Health Care Buys 50 Million Shares

T F DANAHER: Members Decide to Voluntarily Liquidate Business
TIFFANY FABRICS: Undergoes Liquidation Proceedings
WALT DISNEY: Declares First and Final Dividend


C H I N A   &   H O N G  K O N G

BOSSEN INTERNATIONAL: Sets Final Meeting for August 24
CHINA STEP: Members and Creditors to Meet on August 23
CROWN HOLDINGS: June 30 Balance Sheet Upside-down by US$388 Mln
CROWN HOLDINGS: Fitch Affirms Issuer Default Rating at B+
FIAT SPA: Earns EUR1 Billion for First Half Ended June 30, 2007

FIAT SPA: Appoints New Members to Board of Directors
INTERMOST CORP: Unit Collects Receivables of CNY48 Million
XINING SPECIAL: Issues CNY350 Million of One-Year Debt
* Moody's Upgrades Hong Kong's Ratings
* Moody's Upgrades China's Ratings

* S&P Affirms Rating on People's Republic of China


I N D I A

AES CORP: Finalizes Joint Dev't. & Equipment Pact with Altair
GENERAL MOTORS: Deal Hits Snag as Firms Shelve US$3.1B Debt Sale
GENERAL MOTORS: Seeks Concessions as Labor Talks With UAW Start
HAYES LEMMERZ: Names Fred Bentley as Chief Operating Officer
STATE BANK OF INDIA: Board to Meet Tomorrow for 1st Qtr. Results

TATA MOTORS: To Start Russian Joint Venture With Iveco
TATA MOTORS: Shortlisted in Bid for Jaguar and Land Rover
* Fitch Sees Indian Two-Wheeler Finance Environment Weakening
* Fitch: Personal Loans Pools Show Increased Delinquencies
* India's 2007 Auto ABS Performance Stable, Fitch Says

* Fitch Says Commercial Vehicle ABS Performance Improved


I N D O N E S I A

ALCATEL-LUCENT: Receives Certificate From Quality Management
BANK DANAMON: Posts IDR1.02-Tril. Net Profit for 1st Half 2007
FREEPORT-MCMORAN: 2007 2nd Quarter Profit Triples to US$1.1 Bil.
MEDCO ENERGI: Discovers Potential Oil Reserves in Libya
PANIN BANK: 2007 First-Half Net Profit Up 60% to IDR464 Billion

PERUSAHAAN LISTRIK: To Post IDR3.8-Trillion Net Profit in 2007


J A P A N

ALL NIPPON: Expands Code-Share Agreement with Singapore Airlines
BOSTON SCIENTIFIC: Moody's Cuts Sr. Unsecured Debt Rating to Ba2
BOSTON SCIENTIFIC: To Explore Sale of Fluid Management Business
BOSTON SCIENTIFIC: 2007 Second Quarter Sales Lowers by US$39 Mln
ELAN CORP: Seeks Re-Examination of Negative Opinion on TYSABRI

FORD MOTOR: Seeks Concessions as Labor Talks With UAW Start
MITSUKOSHI LTD: Denies Reports of Share Sale to Rival Isetan
PAYLESS SHOESOURCE: Moody's Cuts Corporate Family Rating to B1
SNOW BRAND: Moody's Lifts Long-Term Debt Rating to Baa3 from Ba2


K O R E A

ILSUNG CONSTRUCTION: Signs Services Contract with Jeong Mu
KENERTEC CO: Sings MOA for Terminal Warehouses Construction
SHINWHA INTERTEK: Converts First Convertible Bonds to Shares


M A L A Y S I A

ASIAN PAC: Enters MR23-Mil. Share Sale Pact With Safe Valley


N E W  Z E A L A N D

NUPLEX INDUSTRIES: To Rollover Capital Notes
TRUSTPOWER LTD: First Quarter Net Profit Up 22% to NZ$32 Million
WINDFLOW TECHNOLOGY: To Hold Shareholders Meeting on Oct. 24


P H I L I P P I N E S

BANCO DE ORO: FPHC Executes US$100-Million Promissory Note
MAYNILAD WATER: DMCI Seeks Maynilad's Early Exit from Rehab
SAN MIGUEL: Must Decide on Power Asset to Invest In, PSALM Says
SECURITY BANK: Plans To Expand Operations in Mindanao Area
* Continued Use of Coco Methyl Ester Could Result in Power Hike

* Government Remains Confident of Keeping PHP63BB Deficit Target


S I N G A P O R E

ISP SERVICES: Declares First and Final Dividend
LEAR CORP: Terminated Agreement Cues S&P to Lift Rating to B+
STATS CHIPPAC: Second Qtr. Profit Decreases by US$10.6 Million
STATS CHIPPAC: Enters Definitive Agreement with LSI Corp.


T H A I L A N D

DAIMLERCHRYSLER: Chrysler Aims to Cut Costs as Labor Talks Begin
THAI PROPERTY: Spends THB137.9 Mil. for Costs & Working Capital
THAI WAH: Vipa Chimchan & Chaiwat Phengpinit Resign as Directors
TOTAL ACCESS: Awaits Proposals for Possible Thai Mobile Alliance
TRUE CORP: Resumes Trading After Capital Increase Procedures


* Large Companies With Insolvent Balance Sheets

     - - - - - - - -

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

ADVANCED MARKETING: Files Revised Reclamation Claims Report
-----------------------------------------------------------
Advanced Marketing Services, Inc., and its debtor-affiliates
delivered to the U.S. Bankruptcy Court for the District of
Delaware a revised reclamation claims report on July 6, 2007 to
reflect adjustments in the methodology used to determine the
date of receipt of goods.

The Reclamation Reports, including the initial report filed in
April 2007, contain two broad categories of claims -- claims
under Section 503(b)(9) and reclamation claims.  With respect to
Section 503(b)(9) claims, the Debtors determined the value and
amount of goods received during the 20-day period before the
Petition Date.  With respect to reclamation claims, the Debtors
determined the value and amount of goods received during the
period from 21 to 45 days prepetition.

To calculate the amounts set forth in the Initial Report, the
Debtors reviewed the purchase order freight terms for goods
received at their various distribution centers from November 14,
2006, through February 8, 2007.  If the purchase order freight
terms suggested that possession or title to the goods passed to
the Debtors as of the date of the bill of lading for the goods,
the Debtors used the bill of lading date -- instead of the
actual date of receipt at the distribution centers -- to
determine whether the goods were received by or sold to the
Debtors during the 45-day reclamation period.

After filing the Initial Report, the Debtors consulted with the
Official Committee of Unsecured Creditors and determined to make
the adjustments.  The Revised Report reflects the Debtors' use
of the date of actual receipt of both domestic and international
goods at their distribution centers to calculate the amount and
value of goods received during the reclamation period.

Goods sold by the Debtors prior to the receipt of a Reclamation
Claim, but subsequently returned by a customer prior to the
receipt of the Claim, were excluded from the calculations set
forth in the Revised Report.  The Debtors also looked to the
calendar day immediately prior to the receipt date of a
Reclamation Claim to determine whether or not goods were in
their possession.  The Debtors believe using this date avoids
confusion regarding shipments they made on the actual dates the
Reclamation Claims were received.

A full-text copy of the Revised Reclamation Report is available
at no charge at http://ResearchArchives.com/t/s?21bb

The Debtors ask the Court to allow the Reclamation Claims in
amounts set forth in the Revised Report as administrative
expense claims, subject to reduction for goods returned to the
reclaiming creditor.  The Debtors propose to pay the Reclamation
Claims in accordance with, and pursuant to the terms of, a
confirmed plan of reorganization or liquidation in their cases.

Any reclamation claimant disputing the amount set forth in the
Revised Report must file and serve an objection to the Debtors'
request by Aug. 6, 2007.

The Debtors believe that the proposed treatment of Reclamation
Claims is fair and reasonable, and will likely avoid the costs
and risks attendant with litigation.

The Committee supports the Debtors' request.

                   About Advanced Marketing

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

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel.  Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.  
Lowenstein Sandler PC represents the Official Committee of
Unsecured Creditors.  When the Debtors filed for protection from
their creditors, they listed estimated assets and debts of more
than US$100 million.

The Debtors' exclusive period to file a plan expires on Aug. 10,
2007.  (Advanced Marketing Bankruptcy News, Issue No. 14;
Bankruptcy Creditors' Service Inc.
http://bankrupt.com/newsstand/or 215/945-7000).


EMBEL PTY: Liquidator to Give Wind-Up Report on August 3
--------------------------------------------------------
Embel Pty Ltd will hold a meeting for its members on August 3,
2007, at 11:45 a.m.

G. S. Andrews, the company's liquidator, will give at the
meeting a report about the company's wind-up proceedings and
property disposal.

The Liquidator can be reached at:

         G. S. Andrews
         c/o G. S. Andrews & Assoc.
         22 Drummond Street
         Carlton, Victoria 3053
         Australia
         Telephone:(03) 9662 2666
         Facsimile:(03) 9662 9544

                        About Embel Pty

Embel Pty Ltd, which is also trading as G E S Trading, is a
distributor of home furnishings.  The company is located in
Victoria, Australia.


FUTURIS CORP: Wozniczka Denies Unit Elders is in Crisis
-------------------------------------------------------
Futuris Corporation managing director denies that the company's
main division, Elders Australia Ltd., is in a crisis after two
executives resigned from post, Cathy Bolt of The Age, reports.

According to the report, the general manager of client services
-- Paul Barber -- quit, effective immediately in support for
Elders managing director Greg Hunt, who was removed from his
post last week.

Elders general manager for strategy and development John
McKillop also resigned shortly before Mr. Hunt's departure, to
reportedly take up a job in Sydney.

Ms. Bolt reports that despite rumors that Mr. McKillop has had a
tense relationship with Futuris managing director, Les
Wozniczka, it is believed that Mr. McKillop's resignation may
have been influenced by increasing frustration about confusion
between Elders' internal expansion plans and those being pursued
by Mr. Wozniczka.

Mr. Wozniczka, admitting that there had been friction between
Futuris and some Elders management, said that the upheaval was
not a crisis and that "if the competition wants to think Elders
is somehow going to be hampered by one or two internal issues,
that's probably a nice thing for them to think because nothing
could be further from the truth."

Mr. Wozniczka added that the Mr. Hunt's departure reflected a
need for a change at the 400-branch Elders network.

                        About Futuris Corp.

Adelaide, Australia-based Futuris Corporation Limited --
http://www.futuris.com.au/default.asp-- is engaged in the  
provision of farm services to the rural sector; financial
services to rural and regional customers, and management of
investor-funded hardwood plantations and manufacture of sawn
timber products.  The company also operates businesses in
automotive componentry supply, and property ownership and
development.  Its segments comprise Rural services, which
includes the provision of agricultural products and services
through a common distribution channel; Forestry, which includes
the Company's interests in forestry plantations and processing;
Automotive Components, which is engaged in manufacturing and
sales of automotive components, of which the key components are
seating, heating ventilating and air-conditioning systems;
Property, which includes the sale and development of land, and
commercial developments and holding an equity interest in a
listed property trust, and Investment and Other, which includes
investment activities.

The Troubled Company Reporter-Asia Pacific's distressed bonds
column on July 24, 2007 showed that company's bonds, which has a
coupon of 7.000% and a maturity date of December 31, 2007, is
trading at 2.54%.


JOHE ENTERPRISES: Sets Meeting for August 3
-------------------------------------------
Johe Enterprises Pty Ltd will hold a meeting for its members and
creditors on August 3, 2007, at 12:00 noon.

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:

         G. S. Andrews
         c/o G. S. Andrews & Assoc.
         22 Drummond Street
         Carlton, Victoria 3053
         Australia
         Telephone:(03) 9662 2666
         Facsimile:(03) 9662 9544

                     About Johe Enterprises

Johe Enterprises Pty Ltd, which is also trading as Arbeena Court
Receptions, provides amusement and recreation services.  The
company is located in Victoria, Australia.


JONROSE TRANSPORT: Members and Creditors to Meet on August 3
------------------------------------------------------------
The members and creditors of Jonrose Transport Pty Ltd will meet
on August 3, 2007, at 11:30 a.m. to receive the liquidator's
report about the company's wind-up proceedings and property
disposal.

The company's liquidator is:

         G. S. Andrews
         c/o G. S. Andrews & Assoc.
         22 Drummond Street
         Carlton, Victoria 3053
         Australia
         Telephone:(03) 9662 2666
         Facsimile:(03) 9662 9544

                    About Jonrose Transport

Jonrose Transport Pty Ltd, which is also trading as Jonrose
Courier, is involved in the business of local trucking with
storage.  The company is located in Victoria, Australia.


KELDON HOLDINGS: Members Opt to Shut Down Firm
----------------------------------------------
On June 29, 2007, the members of Keldon Holdings Pty Ltd had a
meeting and decided to shut down the company's business.

Leigh Dudman was appointed as liquidator.

The Liquidator can be reached at:

         Leigh Dudman
         B. K. Taylor & Co.
         8th Floor, 608 St Kilda Road
         Melbourne, Victoria 3004
         Australia

                     About Keldon Holdings

Keldon Holdings Pty Ltd is involved with the business of trusts,
except educational, religious, and charitable.  The company is
located in New South Wales, Australia.


MCLAREN INVESTMENTS: Placed Under Members' Voluntary Liquidation
----------------------------------------------------------------
The members of Mclaren Investments Pty Ltd met on June 29, 2007,
and agreed to voluntarily liquidate the company's business.

Samuel Richwol was appointed as liquidator.

The Liquidator can be reached at:

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

                    About Mclaren Investments

Mclaren Investments Pty Ltd is involved with hardware business.  
The company is located in Victoria, Australia.


NORDX/CDT AUSTRALIA: Members to Hold Final Meeting on August 10
---------------------------------------------------------------
The members of Nordx/Cdt Australia Pty Ltd will hold a final
meeting on August 10, 2007, at 11:00 a.m., to hear the
liquidator's report about the company's wind-up proceedings and
property disposal.

The company's liquidator is:

         Sule Arnautovic
         c/o Jenkins Peake Chartered Accountants
         PO Box 1570, Geelong 3220
         Australia
         Telephone:(03) 5223 1000
         Facsimile:(03) 5221 4938

                   About Nordx/Cdt Australia

Nordx/Cdt Australia Pty Ltd Limited is a distributor of
electronic components.  The company is located in New South
Wales, Australia.


STOCKFORD GROUP: To Declare Fourth Dividend on Sept. 4
------------------------------------------------------
Stockford Group will declare the fourth dividend on Sept. 4,
2007.

Creditors are required to file their claims by July 31, 2007, to
be included in the company's dividend distribution.

The company's deed administrator is:

         Mark A. Korda
         KordaMentha
         Level 24, 333 Collins Street
         Melbourne, Victoria 3000
         Australia


SYMBION HEALTH: Primary Health Care Buys 50 Million Shares
----------------------------------------------------------
Primary Health Care Ltd. has bought a 9.7% stake in bid target
Symbion Health Limited amid talks that it may try to spoil a
rival takeover deal, reports Michael Smith and Ben Wilson of
Reuters.

Mr. Smith and Mr. Wilson, citing a document from the Australian
Stock Exchange, write that Primary bought a total of 50 million
shares last week.

On February 15, 2007, the Troubled Company Reporter-Asia Pacific
reported that Symbion rejected Primary's AU$2.3-billion offer,
saying it was unfair and unreasonable.

According to Mr. Smith and Mr. Wilson, Primary later sold a 6.7%
stake it built in Symbion.

Mr. Smith and Mr. Wilson tried to reach Primary Managing
Director Ed Bateman to ask for comment regarding local reports
that he is buying more stock in Symbion, but to no avail.

                      About Symbion Health

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

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


T F DANAHER: Members Decide to Voluntarily Liquidate Business
-------------------------------------------------------------
During a general meeting held on June 29, 2007, the members of T
F Danaher Proprietary Limited decided to voluntarily liquidate
the company's business.

Simon A. Wallace-Smith and Timothy B. Norman were appointed as
liquidators.

The Liquidators can be reached at:

         Simon A. Wallace-Smith
         Timothy B. Norman
         c/o Deloitte Touche Tohmatsu
         180 Lonsdale Street
         Melbourne, Victoria 3000
         Australia
         Telephone:(03) 9208 7000

                       About T F Danaher

T F Danaher Proprietary Limited in the business of beef cattle,
except feedlots.  The company is located in Victoria, Australia.


TIFFANY FABRICS: Undergoes Liquidation Proceedings
--------------------------------------------------
During a general meeting held on June 29, 2007, the members of
Tiffany Fabrics Pty Ltd agreed to voluntarily liquidate the
company's business and appointed Samuel Richwol as liquidator.

The Liquidator can be reached at:

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

                     About Tiffany Fabrics

Tiffany Fabrics Pty Ltd is a distributor of piece goods and
notions.  The company is located in Victoria, Australia.


WALT DISNEY: Declares First and Final Dividend
----------------------------------------------
Walt Disney Animation Australia Pty Ltd, which is in
liquidation, declared the first and final dividend on
July 16, 2007.

Creditors who were not able to file their claims before July 13,
2007, were excluded from sharing in the company's dividend
distribution.

The company's liquidator is:

         Rod Slattery
         c/o PPB Chartered Accountants
         Level 10, 90 Collins Street
         Melbourne, Victoria 3000
         Australia

                        About Walt Disney

Walt Disney Animation Australia Pty Limited is a theatrical
producer, except for motion picture, and provides theatrical
services.  The company is located in New South Wales, Australia.


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

BOSSEN INTERNATIONAL: Sets Final Meeting for August 24
------------------------------------------------------
A final meeting will be held for the members of Bossen
International Limited on August 24, 2007, at 4:00 p.m., on
Room 1402B, 14th Floor of Block B, Sea View Estate at No. 2-8
Watson Road in North Point, Hong Kong.

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


CHINA STEP: Members and Creditors to Meet on August 23
------------------------------------------------------
The members and creditors of China Step Holdings Limited will
meet on August 23, 2007, at 9:30 a.m. and 10:00 a.m.,
respectively, to hear the liquidator's report about the
company's wind-up proceedings and property disposal.

The meeting will be held on Unit D, 12th Floor of Seabright
Plaza at 9-23 Shell Street in North Point, Hong Kong.


CROWN HOLDINGS: June 30 Balance Sheet Upside-down by US$388 Mln
---------------------------------------------------------------
Crown Holdings Inc.'s consolidated balance sheet at June 30,
2007, showed US$6.79 billion in total assets and US$7.18 billion
in total liabilities, resulting in a US$388 million total
shareholders' deficit.

The company reported net income of US$88 million for the second
quarter ended June 30, 2007, compared with net income of
US$50 million for the same period ended June 30, 2006.

Net sales in the second quarter rose to US$1.99 billion, up
11.7% over the US$1.78 million in the second quarter of 2006.  
The increase was primarily the result of higher sales unit
volumes across most product lines and geographies, the pass-
through of higher raw material costs and favorable foreign
currency translation.  Approximately 71% of sales were generated
outside the U.S. in both the second quarter of 2007 and 2006.

Second quarter gross profit grew 15.5% to US$283 million over
the US$245 million in the 2006 second quarter.  As a percentage
of net sales, gross profit expanded to 14.2% in the second
quarter from 13.8% in the second quarter last year.  Stronger
sales unit volumes, increased operating efficiencies and
productivity gains drove the improvements.

Selling and administrative expense in the second quarter was
US$93 million compared to US$74 million in last year's second
quarter.  The increase is attributable to a higher accrual for
incentive compensation costs, foreign currency translation and
general inflationary increases.

Segment income (a non-GAAP measure defined by the company as
gross profit less selling and administrative expense) grew to
US$190 million in the second quarter, up 11.1% over the US$171
million in the 2006 second quarter.  Segment income as a
percentage of net sales was 9.5% in the second quarter compared
to 9.6% in the second quarter last year.

Commenting on the results, John W. Conway, chairman and chief
executive officer, stated, "The company continued to build
momentum in the second quarter through a combination of positive
factors.  In our Americas Beverage business, volumes and margins
are returning to their 2005 levels due to sales unit recovery in
North America, strong Latin American results and an increase in
specialty cans in our overall sales mix.  Equally important,
margin recovery in our European Beverage business is on plan.  
At the same time, our North America Food business continues to
improve.  The company remains on plan to generate strong free
cash flow in 2007, which will be available to pay down debt and
repurchase shares.  Looking ahead, our new beverage can plant in
Cambodia will begin operating in the third quarter.  This will
further expand and diversify our world class manufacturing
portfolio with entry into another fast growing emerging market."

Interest expense in the second quarter was US$77 million
compared to US$70 million in the second quarter of 2006.  The
increase reflects the impact of higher average short-term
borrowing rates and foreign currency translation.

Net income from continuing operations in the second quarter was
US$88 million, compared to US$74 million in the second quarter
of 2006.

Included within net income from continuing operations, the
company recorded a net gain of US$4 million reflecting a net
gain of US$8 million related to gain on sale of assets offset by
a net loss of US$4 million related to restructuring actions.  In
last year's second quarter, the company reported a net gain of
US$2 million related to financial foreign exchange gains offset
by restructuring charges.

At June 30, 2007, the company's consolidated balance sheet
showed US$6.79 billion in total assets and US$7.18 billion in
total liabilities, resulting in a US$388 million total
shareholders' deficit.

                       About Crown Holdings

Philadelphia, Pa.-based Crown Holdings Inc. (NYSE: CCK)
-- http://www.crowncork.com/-- through its affiliated  
companies, supplies packaging products to consumer marketing
companies around the world. In Latin America, the Company has
operations in Mexico, and in South and Central America. The
Company also maintains operations in Europe, particularly in the
United Kingdom and France. In the Asia-Pacific region, the
Company has an office in Singapore and China.
                           *     *     *

Standard & Poor's Ratings Services affirmed its 'BB-' rating and
its '2' recovery rating on Crown Holdings Inc.'s existing US$1.5
billion credit facilities including its US$200 million add-on
senior secured term loan B due 2012.


CROWN HOLDINGS: Fitch Affirms Issuer Default Rating at B+
---------------------------------------------------------
Fitch Ratings has affirmed the ratings for Crown Holdings, Inc.,
and its subsidiaries Crown Cork & Seal Company, Inc., Crown
Americas, LLC, and Crown European Holdings, SA as:

Crown:

  -- Issuer Default Rating 'B+'.

Crown Cork:

  -- IDR 'B+';
  -- Senior unsecured notes 'B/Recovery Rating (RR) of RR5'.

Crown Americas:

  -- IDR 'B+';
  -- Senior secured dollar term facility 'BB+/RR1';
  -- Senior secured dollar revolving facility 'BB+/RR1';
  -- Senior unsecured notes 'B+/RR4';

Crown European:

  -- IDR 'B+';
  -- Senior secured euro term facility 'BB+/RR1';
  -- Senior secured euro revolving facility 'BB+/RR1';
  -- Senior secured euro 1st priority notes 'BB+/RR1';

Approximately US$3.5 billion of debt is covered by the ratings.
The Rating Outlook is Stable.

The ratings reflect Crown's leading market share across its
product categories, balanced revenue mix, geographic
diversification, good liquidity, modest near-term debt
maturities, volume growth in emerging markets, and focus on debt
reduction.  Rating concerns include high leverage, escalating
raw materials and energy costs, intense competition in mature
markets, increasing cash deployment towards shareholders, and to
a lesser extent, asbestos liability.

The Stable Outlook reflects the relatively steady demand in
Crown's key end-markets, consistent operating performance and
solid cash generation.  The company's internationally balanced
asset portfolio is also a key factor lending stability to the
Outlook.

Crown has been challenged with substantially higher raw
materials costs over the past few years but has successfully
passed higher costs to its customer base in most cases.  Higher
energy costs are an additional pressure on margins.  Despite
these challenges, Crown has maintained stable profitability over
the past several quarters, and has repaid a meaningful portion
of debt over the past few years.  Free cash generation of US$164
million in 2006 was below Fitch's expectation.  Management has
indicated that working capital was the primary factor leading to
lower than expected free cash flow.

In late 2006, Crown added an additional US$200 million of term
debt under its existing credit facility, using the proceeds to
pay down outstanding revolver balances and improve liquidity.  
Fitch has updated its recovery analysis to account for the
additional secured debt outstanding.

Despite the additional debt, the ratings on each debt class
within the capital structure remain unchanged.  Fitch expects
that, in a distressed scenario, all secured claims including the
senior secured credit facility (at CA and CEH) and the senior
secured first priority notes at CEH would obtain full recovery.  
However, the two unsecured classes (at CA and CCS) would likely
be impaired.  Compared to Fitch's previous analysis, the
estimated recovery value for holders of the unsecured debt held
at CCS would be reduced from the high end to the low end of the
'RR5' recovery band (11% to 30%) due to the additional debt.  
Fitch views the CCS unsecured class as structurally subordinate
to the unsecured class at CA, and therefore rates the CA class
one notch higher at 'B+/RR4'.

Crown maintains debt reduction as a top financial priority,
although the company was a net borrower in 2006.  Pension
contributions, asbestos payments, and shareholder distributions
are competing uses of cash. Shareholder focused actions may be
gaining a larger share of excess cash distribution.  Crown
repurchased US$135 million of stock in 2006 (after just US$38
million in 2005) and has US$227 million remaining under its
current repurchase authorization. Crown has indicated that
excess cash in 2007 will be directed towards debt reduction and
share repurchases in roughly a two-thirds, one-third proportion.  
The company is targeting free cash flow in the US$330 million to
US$370 million range for 2007.  After expected cash asbestos
payments of about US$25 million, Crown could direct US$200
million or more towards debt reduction. Greater deleveraging
could take place in 2008 if cash flows improve as expected.

Fitch believes Crown's free cash flow target is achievable and
expects operating cash flows to improve over the intermediate
term, driven by volume growth, product mix, and lower pension
payments.  Fitch expects lower capital spending as certain
foreign investment projects have been completed.

As of March 31, 2007, the company's liquidity was about US$689
million, comprised of US$278 million cash and US$411 million of
available revolver.  The company has modest debt maturities of
US$43 million and US$39 million due in 2007 and 2008. Crown's
financial position and debt service obligations offer
substantial flexibility for the next several years. Crown
divested the last of its plastic packaging assets in 2006 and
Fitch does not believe further asset sales will be a source of
funds for significant debt reduction as they have been in the
past.

At fiscal year-end 2006 Crown's credit metrics were relatively
stable year over year.  As of Dec. 31, 2006, the company had
operating EBITDA leverage of 4.4 times (compared to 4.3x in
2005) and EBITDA interest coverage of 2.3x (compared to 2.3x in
2005).  It should be noted that Fitch's calculation of these
ratios is not equivalent to those allowed for covenant
compliance, which incorporate a provision for asbestos payments,
among other things.  Covenants under the senior secured credit
facilities limit debt-to-EBITDA to 4.25x through Sept. 30, 2007
and EBITDA interest coverage to 2.75x through the same date.  
Requirements by Fiscal Year 2007 will be 4.0x and 2.9x
respectively.

Asbestos payments and new claims continue to decline steadily.  
Crown paid US$26 million for asbestos related settlements in
2007 compared to US$29 million in 2005.  New claims fell by
nearly 50% year over year and the company expects payments of
US$25 million in 2007.

Looking ahead, key risks and challenges include escalating raw
materials and energy costs.  Fitch believes Crown may face
stronger headwinds from rising raw materials prices,
particularly for aluminum in North America, as price ceilings
contained in some supplier contracts are removed.  These
ceilings may have partially shielded the company from the
dramatic escalation in aluminum prices in recent quarters.  If
further cost increases are not completely passed through or if
there is a lag in pass through, profitability could be
challenged.

Crown should continue to see solid volume and revenue growth in
certain emerging markets.  Productivity and cost reduction
initiatives are also beginning to show results so far in 2007.  
Competition will remain fierce in mature markets and volume
losses are always a possibility.  However, Crown rebounded
strongly from volume losses in early 2006, capturing new volume
in higher margin specialty can products.

Philadelphia-based Crown Holdings Inc. (NYSE: CCK)
-- http://www.crowncork.com/-- through its affiliated   
companies, supplies packaging products to consumer marketing
companies around the world.  In Latin America, the Company has
operations in Mexico, and in South and Central America.   The
Company also maintains operations in Europe, particularly in the
United Kingdom and France.  In the Asia-Pacific region, the
Company has an office in Singapore and China.


FIAT SPA: Earns EUR1 Billion for First Half Ended June 30, 2007
---------------------------------------------------------------
Fiat S.p.A. posted EUR1 billion in net profit on EUR28.86
billion in net revenues for the first half of 2007, compared
with EUR481 million in net profit on EUR26.16 billion in net
revenues for the same period in 2006.

The company also posted EUR627 million in net profit on
EUR15.18 billion in net revenues for the second quarter of 2007,
compared with EUR330 million in net profit on EUR13.61 billion
in net revenues for the same period in 2006.

Net industrial debt decreased from EUR1.8 billion at Dec, 31,
2006, end to EUR900 million at June 30, 2007, mainly reflecting
positive net industrial cash flow of approximately
EUR1.4 billion net of dividends paid and share buy-back of more
than EUR0.5 billion.

                             Outlook

The Group's first half results are fully in line with its 2007
targets and provide a solid base to pursue the growth and margin
expansion path set out in the 2007-2010 industrial plan.

In particular, the Group confirms that it expects to reach the
upper end of all the 2007 target ranges announced in November
2006.

The Group expects:

   -- consolidated trading profit of approximately
      EUR2.7 billion (5% trading margin);

   -- net income between EUR1.6 and EUR1.8 billion; and

   -- earnings per share between EUR1.25 and EUR1.40.

In addition, strong industrial cash flow generation in the first
half of the year enables the Group to move its year-end net
industrial debt target to around EUR600 million (excluding the
impact of additional share buy-backs).

The Group will continue to implement its strategy of targeted
alliances, in order to optimize capital commitments and reduce
risks.

                        About Fiat S.p.A.

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

Fiat operates in Asia-Pacific in Australia, China, India, Japan,
and Singapore. Its European operations are found in Austria,
Belgium, Czech Republic, Denmark, France, Germany, Greece,
Hungary, Ireland, Lithuania, Netherlands, Poland, Portugal,
Romania, Russia and Spain. Its Latin-American operations are
found in Brazil and Argentina.

                          *     *     *

As of June 19, 2007, Fiat S.p.A. carries Moody's Long-Term
Corporate Family Rating of Ba2 and Probability of Default Rating
at Ba2 with Outlook Positive.

Standard & Poor's give Long-Term Foreign and Local Issuer Credit
Ratings of BB+ for Fiat.  Its Short-term Foreign and Local
Issuer Credit Ratings are at B with Positive Outlook.

Dominion Bond Rating Service gives Fiat a Long-term Issuer
Rating of BB with Positive Outlook.


FIAT SPA: Appoints New Members to Board of Directors
----------------------------------------------------
Fiat S.p.A.'s board of director has accepted the resignation
tendered by member Hermann-Josef Lamberti due to his increasing
commitments and thanked him on behalf of the entire Fiat Group
for his precious cooperation throughout these years.

The Board co-opted Rene Carron, Chairman of Credit Agricole, as
new board member.  Considering the size of the Credit Agricole
Group, the Board determined that the relations existing between
the French banking group and the Fiat Group are not material and
therefore that Mr. Carron meets the requirements for
independence.

The Board of Directors also appointed Gian Maria Gros-Pietro as
component of the Internal Control Committee in replacement of
Mr. Lamberti and resolved to split the Nominating and
Compensation Committee into two separate committees in order to
better conform to corporate governance best practices, as well
as the other recommendations set forth on the issue in the
Corporate Governance Code.

* Internal Control Committee

    Mario Zibetti Chairman
    Gian Maria Gros-Pietro
    Vittorio Mincato

* Nominating and Corporate Governance Committee

    John Elkann Chairman
    Luca Garavoglia
    Gian Maria Gros-Pietro

* Compensation Committee

    Roland Berger Chairman
    Luca Garavoglia
    Mario Zibetti

                        About Fiat S.p.A.

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

Fiat operates in Asia-Pacific in Australia, China, India, Japan,
and Singapore. Its European operations are found in Austria,
Belgium, Czech Republic, Denmark, France, Germany, Greece,
Hungary, Ireland, Lithuania, Netherlands, Poland, Portugal,
Romania, Russia and Spain. Its Latin-American operations are
found in Brazil and Argentina.

                        *     *     *

As of June 19, 2007, Fiat S.p.A. carries Moody's Long-Term
Corporate Family Rating of Ba2 and Probability of Default Rating
at Ba2 with Outlook Positive.

Standard & Poor's give Long-Term Foreign and Local Issuer Credit
Ratings of BB+ for Fiat.  Its Short-term Foreign and Local
Issuer Credit Ratings are at B with Positive Outlook.

Dominion Bond Rating Service gives Fiat a Long-term Issuer
Rating of BB with Positive Outlook.


INTERMOST CORP: Unit Collects Receivables of CNY48 Million
----------------------------------------------------------
The Intermost Corporation said that one of its subsidiaries, the
InterAnke Securities & Surveillance Technology Co., Ltd., a 51%
owned subsidiary of IMOT Information Technology (Shenzhen) Co.,
has successfully collected its long overdue receivables (some of
them over 200 days) of CNY48 million in June.

The result came from the great efforts made by the new
management team led by the new President & CEO, Rocky Wulianghai
and the new Corporate Secretary & CFO, Mr. Thomas Lee.  They
formed a new management team that included legal,
administration, finance, and sales & marketing talents to drive
a new business strategy for the company.  Of course, this new
team still has to deal with unresolved issues as well as the
development of new and profitable business.  One of the apparent
results was the efforts in the collection of the long overdue
receivables amounting to CNY48 million in June.

The newly engaged lawyers and auditors also gave great support
and advice to the new management team and were very
conscientious and responsible in their work.

Mr. Rocky Wulianghai commented that he feels very comfortable
with the new management team's ability and marketing strategy,
and believes that the company's business will grow smoothly.

                      About Intermost Corp.

Headquartered in Shenzhen, China, Intermost Corporation --
http://www.intermost.com/-- is a service provider of electronic  
exchange platforms for equity exchanges and financial products
in China.  It also provides value-added service to overseas
financing and listing for medium and small sized companies.  The
company was established in USA in September 1998.  It was quoted
on US OTC Bulletin Board (stock symbol: IMOT) in December 1998.  
As a financial service provider, Intermost Corporation is the
first Chinese Internet Company quoted on the US OTC BB.

E. Randall Gruber, CPA, PC, expressed substantial doubt about
Intermost Corporation's ability to continue as a going concern
after it audited the company's financial statements for the
fiscal year ended June 30, 2006.  The auditing firm pointed to
the company's recurring losses and negative cash flows from
operations and has accumulated deficit.


XINING SPECIAL: Issues CNY350 Million of One-Year Debt
------------------------------------------------------
Xining Special Steel Co Ltd (SHA 600117) said that it has issued
CNY350 million of 365-day debt to institutional investors on the
interbank bond market, Rusmet.com says.

The report notes that, in a statement posted on the official
chinabond.com Web site, Xining Special said the yield has been
set at 4.35%.

                          *     *     *

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

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


* Moody's Upgrades Hong Kong's Ratings
--------------------------------------
Moody's Investors Service has upgraded the foreign- and
domestic- currency bond ratings of the Hong Kong government to
Aa2 from Aa3 to reflect a strengthening of Hong Kong government
finances and its external position.

At this level, Moody's ratings of Hong Kong, a Special
Administrative Region of China since 1997, stand two notches
above those of the Chinese government, which were also upgraded
on July 26 to A1.  In addition, Hong Kong's foreign currency
bank deposit ceiling was upgraded to Aa2 from Aa3.

"The Hong Kong government has almost no debt and large and
growing fiscal reserves, equivalent to about one quarter of
GDP," said Moody's Vice President Steven Hess.  "This strong
position gives the government considerable financial flexibility
and provides a strong buffer against potential shocks emanating
from the mainland or elsewhere."

Not only is the government's position strong, said Hess, but the
SAR as a whole has a large and growing international asset
position.  Consistently large current account surpluses have
enabled Hong Kong corporations, banks, and the government to
build up one of the strongest net international investment
positions in the world, providing yet another buffer against
possible shocks.

"The upgrade reflects our belief that, over the past several
years, Hong Kong's economic and financial resilience to
unforeseen external developments has grown," said Hess.  "This
resilience means that a rating gap between Hong Kong and China
is justified, even though Hong Kong and the mainland have become
increasingly integrated."

He added that trade and financial flows between the rest of
China and Hong Kong mean that there is still an element of China
risk in Hong Kong's ratings, but the SAR's ability to deal with
this risk has been enhanced over time.


* Moody's Upgrades China's Ratings
----------------------------------
Moody's Investors Service upgraded to A1 from A2 the rating for
the Chinese government's long-term foreign currency bonds in
light of the exceptional strength of China's external payments
position, favorable government debt trends, and continued
progress in economic reform.

The rating agency also assigned an A1 rating to long-term local
currency obligations of the government, and China's country
ceilings for foreign and local currency bank deposits and
foreign and local currency bond ceilings were raised to A1 from
A2.  The outlook on the ratings and ceilings is stable.  These
ceilings act as a cap on ratings that can be assigned to
domestic or foreign currency obligations of other entities
domiciled in the country.

"China's very strong external payments position provides
insulation from external shocks and allows the authorities time
to expand and deepen structural reform" said Moody's Senior Vice
President Tom Byrne.  "Official foreign exchange reserves
continue to grow and now exceed US$1.3 trillion, and external
obligations of the government and state-owned banks are a small
fraction of that sum."

He said the performance of the export sector has been
"formidable," despite the appreciation of the renminbi yuan
against the dollar, and that WTO accession and foreign
investment have improved competitiveness, moving China up the
global ranks to the third largest exporter.  Byrne said that "we
expect that China's external payments position will remain
resilient to domestic and external pressures."

He explained that the newly assigned rating for local-currency
obligations of the government reflects the striking progress
made in fiscal performance and the containment of government
debt.  State revenues have grown rapidly and are likely to reach
20% of GDP in 2007 from less than 10% of GDP a decade earlier.

"Budget deficits have been very small, government indebtedness
trends favorable, and Chinese government debt ratios have
declined in recent years and are below the median of A-rated
countries, providing headroom for possible future fiscal
contingencies," said Byrne.  "Moreover, the share of foreign
currency debt in total debt is among the lowest of A-rated
countries, which reduces vulnerability of government finances to
external shocks."

Moody's noted that substantial improvement has been seen in the
intrinsic financial strength and supervision of the large state-
owned commercial banks.  Although non-performing loans and
unrecognized impaired assets are still somewhat high, contingent
fiscal liabilities embedded in the financial sector are not as
high as previously thought.  The cost of banking system
recapitalization to date is largely offset by the value of MOF
and government agency holdings of shares of listed state-owned
commercial banks.

"Continued progress in these areas will reduce financial-sector
contingent liabilities," said Byrne.  "The fact that the state-
owned banks have a net foreign asset position ultimately reduces
vulnerability of the government's fiscal position to external
shocks that could be channeled through the banking sector."

Moody's said that while rapid growth has not produced balance-
of-payments or fiscal imbalances, and inflation is moderate,
management of domestic liquidity, in large part fueled by
balance-of-payments inflows, presents challenges not only for
domestic monetary policy but also for exchange rate policy.

"Still, financial or economic turbulence would not likely damage
the government's creditworthiness," said Byrne.  "Future upward
movement to China's ratings will depend on the sustainability of
macroeconomic stability, which would need to be supported by
continued improvement in governance and in institutional
strengthening."

He said China's ability to carry on a successful opening of its
economy to foreign participation and to maintain access to
foreign markets will also influence the future ratings
trajectory.  He noted that while trade friction with the U.S.
and the E.U. have increased and that verbal skirmishes are
increasing, especially with the U.S., mutual national interests
will likely forestall the creation of a serious rift.

"Nevertheless, the possibility of heightened trade frictions
poses some risk to the sustainability of China's exceptional
economic growth performance," said Byrne.  "And China's ratings
will continue to remain sensitive to the state of cross-strait
relations with Taiwan, the stability of which would be necessary
to forestall geopolitical tensions from undermining the
country's credit fundamentals."


* S&P Affirms Rating on People's Republic of China
--------------------------------------------------
Standard & Poor's Ratings Services today affirmed its 'A' long-
term and 'A-1' short-term sovereign credit ratings on the
People's Republic of China.  The outlook was revised to positive
from stable.

At the same time, Standard & Poor's affirmed its 'A' long-term
and 'A-1' short-term credit ratings on the Export-Import Bank of
China.  The outlook on the credit ratings on China EXIM was
similarly revised to positive, in line with the sovereign
ratings outlook revision.

"China's reforms in the areas of bankruptcy, property, and labor
laws in 2007 have motivated our revision of the ratings outlook
to positive," said Standard & Poor's credit analyst Kim Eng Tan
of the Sovereign Ratings group.  "These reforms should underpin
a high single-digit trend rate of growth in China and at the
same time improve the productivity of investment, thereby
reducing the risks of unduly large fluctuations in growth. In
addition, although protectionist sentiment is rising among the
Congressional leaders of China's largest trading partner, the
U.S., we do not expect any enacted measures to materially
disrupt trade volumes between the two nations."

The ratings on China are supported by the sovereign's strong
external asset position, exceptional economic growth potential,
and the government's continuing improvement of its financial
position.  While the financial health of a number of China's
large banks needs further improvement, we expect sustained
efforts at financial reforms to reduce the associated risks
markedly in the coming years.

The key weakness in China's credit profile remains the inability
of policy makers to rely predominantly on bottom-up market-
oriented instruments for macroeconomic management.  Instead,
policy makers have preferred to manage the economy using top-
down administrative measures.  "The ratings on China
could rise if its leadership embraces market-based policies more
readily, or if the government strengthened public finances
further," Mr. Tan concluded.


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

AES CORP: Finalizes Joint Dev't. & Equipment Pact with Altair
-------------------------------------------------------------
The AES Corporation has finalized a joint development and
equipment purchase agreement related to Altairnano's battery
technology and energy storage products with Altair
Nanotechnologies Inc.

Earlier this year, AES completed a US$3-million strategic
investment in Altairnano.

Under the terms of the deal, Altairnano and AES will jointly
develop a suite of energy storage solutions specifically for
AES.  These energy storage products are expected to deliver in
excess of one megawatt of power and 500-kilowatt hours of
energy.  Altairnano is working with AES to apply these products
and systems at strategic points within the electrical grid to
more efficiently deal with congestion, peak energy consumption,
and real-time fluctuations in electricity demand.  The quick
response time, extended life, and power profile of the
Altairnano batteries and energy storage products are well suited
to improving performance in these areas with lower environmental
impact than traditional generation solutions.

Delivery to AES of the prototype Altairnano energy storage
products is scheduled for the end of the year.

"This agreement demonstrates the unique product performance of
Altairnano's technology to improve the operation of the
electrical grid, one of the most critical infrastructures in the
world," said Altairnano President and Chief Executive Officer
Alan J. Gotcher, PhD.  "We are very proud to work with the AES
Corporation in these market applications and we look forward to
jointly creating solutions for their businesses around the
globe."

                 About Altair Nanotechnologies

Altairnano -- http://www.altairnano.com/-- is an innovator and  
supplier of advanced novel, ceramic nanomaterials.  A seasoned
management team complements Altairnano's leading edge
scientists, with substantial experience in commercializing
innovative, disruptive technologies.  The company has developed
nanomaterials for the alternative energy, life sciences and
performance materials markets based on its proprietary
manufacturing process.  This process also provides the
foundation for its innovative AHP pigment process.  Altairnano
is a manufacturer of advanced battery pack systems which are
used in stationary power applications and electric and hybrid-
electric vehicles.

                          About AES

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

AES Corp.'s Latin America business group is comprised of
generation plants and electric utilities in Argentina, Brazil,
Chile, Colombia, Dominican Republic, El Salvador, Panama and
Venezuela.  Fuels include biomass, diesel, coal, gas and
hydro.  The group also pursues business development activities
in the region.  AES has been in the region since May 1993, when
it acquired the CTSN power plant in Argentina.

AES has been in Eastern Europe for over ten years, since it
acquired three power plants in Hungary in 1996.  Currently, AES
has two distribution companies in Ukraine, which serve 1.2
million customers and generation plants in the Czech Republic
and Hungary. AES is also the leading company in biomass
conversion in Hungary, generating 37% of the nation's total
renewable generation in 2004.

                          *     *     *

In Oct. 20, 2006, Moody's Investors Service's downgraded its B1
Corporate Family Rating for AES Corporation in connection with
the implementation of its new Probability-of-Default and Loss-
given-default rating methodology.  Additionally, Moody's revised
its probability-of-default ratings and assigned loss-given-
default ratings on the company's loans and bond debt obligations
including the B1 rating on its senior unsecured notes 7.75% due
2014, which was also given an LGD4 loss-given default rating,
suggesting noteholders will experience a 55% loss in the event
of a default.


GENERAL MOTORS: Deal Hits Snag as Firms Shelve US$3.1B Debt Sale
----------------------------------------------------------------
General Motors Corp.'s plan to sell Allison Transmission is
facing a major hurdle after Wall Street firms postponed a sale
of US$3.1 billion in loans that would pay for the leveraged
buyout of the unit by private-equity firms, the Wall Street
Journal relates.

The TCR-Europe reported on July 2, 2007, that GM had reached a
definitive agreement to sell its Allison Transmission commercial
and military business to The Carlyle Group and Onex Corporation
for about US$5.6 billion.  The deal is being financed by US$3.5
billion in corporate loans and US$1.1 billion in junk bonds.

Allison is expected to have debt that represents about seven
times its annual cash flow, according to Standard & Poor's
Leveraged Commentary & Data, WSJ notes.

Underwriters that include Citigroup, Lehman Brothers and Merrill
Lynch were planning to sell, or syndicate, US$3.1 billion of the
loans to investors, the report says.  The firms will now try to
distribute the loan among a small group of banks, WSJ quotes a
person familiar with the matter as saying.

Investors have been avoiding sales of junk bonds and similarly
rated corporate loans for several weeks.  Debt investors have
become more cautious after seeing the losses that have struck
bonds backed by risky subprime mortgage debt, WSJ states.

The snag reflects difficult conditions in the market for risky
corporate loans and bonds and raises questions about the
prospects of other buyout-related debt financings that need to
be completed this summer, Serena Ng and Gina Chon of WSJ
observe.

                      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, including Brazil and India.  
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, according to Moody's.


GENERAL MOTORS: Seeks Concessions as Labor Talks With UAW Start
---------------------------------------------------------------
General Motors Corp. and Ford Motor Company officially opened
contract negotiations with the United Auto Workers on Monday,
seeking to win concessions that would reduce labor costs as they
grapple with rising health care expenses and stiff competition,
particularly from Japanese carmakers, Reuters reports.

DaimlerChrysler AG unit Chrysler Group started labor talks with
the UAW on Friday.

The TCR-Europe reported on June 14, 2007, that the car companies
are trying to deal with health care costs that GM CEO Rick
Wagoner says cost them a combined US$12 billion in 2006.  
Providing health care to 2 million employees, retirees and
dependents contributed to losses at each of the U.S. automakers
last year, while Japanese rivals posted record profits.  The
difference is made even more significant by higher pensions and
retiree health care costs.

Many analysts expect the UAW to consider establishing a union-
aligned trust fund for retiree health care, if it can reach an
agreement with the automakers on how fully to fund it.

GM and Ford hourly labor costs -- US$73.26 and US$70.51,
respectively -- are about US$30 an hour higher than those paid
by Japanese competitors operating U.S. plants, Reuters states,
referring to data compiled by the automakers.

The UAW's current four-year contract with the "Big Three"
automakers expires September 14, 2007, Reuters relates.  UAW
President Ron Gettelfinger said a strike was still possible if
the parties could not reach an agreement.

                      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, including Brazil and India.  
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, according to Moody's.


HAYES LEMMERZ: Names Fred Bentley as Chief Operating Officer
------------------------------------------------------------
Hayes Lemmerz International Inc. has appointed Fred Bentley to
the new position of Chief Operating Officer of Hayes Lemmerz and
President of the company's Global Wheel Group.  In assuming the
new Chief Operating Officer position, Mr. Bentley will be
responsible for all of the company's manufacturing and business
unit operations.

Mr. Bentley will continue to report to Curtis J. Clawson,
President, Chief Executive Officer and Chairman of the Board.

Mr. Bentley joined the company in 2001 and most recently served
as Chief Operating Officer and President of the company's Global
Wheel Group.   Prior to that, he was President of the Company's
International Wheel Group and also President of its Commercial
Highway and Aftermarket Group.

Mr. Bentley has led strategic expansions in Brazil, Thailand,
India, Turkey, Mexico and the Czech Republic, where the Company
has realized significant growth.  He has successfully undertaken
various restructuring activities to move the wheel business from
regional segments to the creation of a global group.  As a
result, annual sales in the international wheel business have
increased from US$822 million in fiscal 2003 to US$1.3 billion
in fiscal 2006 and annual global wheel sales have significantly
increased over the past two years.

Immediately prior to joining Hayes Lemmerz, Mr. Bentley served
as Managing Director for Honeywell's Holts European and South
Africa automotive aftermarket operations.  He has also held
leadership positions of increasing responsibility with
AlliedSignal and Frito-Lay.  Mr. Bentley earned his Bachelor of
Science degree in Industrial Engineering from the University of
Cincinnati, in Ohio.  He holds a MBA from the University of
Phoenix, has completed the Advanced Management program at
Harvard University and is a Six Sigma Black Belt.

In conjunction with Mr. Bentley's appointment, Hayes Lemmerz
announced that it has simplified the management reporting
structure of its operating businesses.  As part of this move,
Daniel M. Sandberg, President of the company's Automotive
Components Group will now report to Mr. Bentley.  Mr. Sandberg,
who is also Vice President, Global Materials and Logistics, will
continue to report to Mr. Clawson in this role.

"With the recent completion of our balance sheet restructuring
and divestiture of our suspension and MGG businesses, it was
appropriate to rethink how the Company operates," said Mr.
Clawson.  "The moves announced today are designed to facilitate
the Company's growth plans over the next several years.  Fred's
understanding of Hayes Lemmerz' core wheel business, strategic
growth plans and the challenges faced by today's suppliers, will
strengthen Hayes Lemmerz as we continue to grow our world
presence.  The resulting management structure will be
streamlined, flexible and efficient." Mr. Clawson added, "We
don't foresee any significant changes in the structure of the
Automotive Components Group, as a result of this change."

"I am enthusiastic about this opportunity," Mr. Bentley said.
"This move makes strategic sense for our business, which we have
substantially restructured over the past two years.  This new
organizational structure will enable us to better integrate the
talented resources that we have in both our wheel and non-wheel
businesses, and take both businesses to the next level."

Headquartered in Northville, Michigan, Hayes Lemmerz
International Inc. (Nasdaq: HAYZ) -- http://www.hayes-
lemmerz.com/ -- global  supplier of automotive and commercial
highway wheels, brakes and powertrain components.  The company
has 30 facilities and approximately 8,500 employees worldwide.

The company has operations in India, Brazil and Germany, among
others.

                          *     *     *

As reported in the Troubled Company Reporter on May 4, 2007,
Moody's Investors Service raised to B3 from Caa1 the corporate
family and probability of default ratings of HLI Operating
Company, Inc., a wholly owned subsidiary of Hayes Lemmerz
International, and changed the rating outlook to stable from
negative.


STATE BANK OF INDIA: Board to Meet Tomorrow for 1st Qtr. Results
----------------------------------------------------------------
The State Bank of India's board of directors will hold a meeting
tomorrow, July 28, 2007, to take on record the unaudited working
results of the bank for the first quarter ended June 30, 2007,
the bank informed the Bombay Stock Exchange in a regulatory
filing.

According to a separate BSE filing, the bank has schedules the
general meeting of its shareholders on Sept. 4, 2007.  During
the meeting, the shareholders will transact these business:

   1. To elect two directors to the centre board of the bank
      under the provisions of Section 19 (c) of the State Bank
      of India Act, 19555.

   2. The first vacancy of shareholder director arises since the
      term of Shareholder Director Ajay G. Piramal expires on
      Aug. 3, 2007.  The second vacancy has arisen on account of
      resignation of M. S. Swaminathan on April 11, 2007.
      Further, M. S. Swaminathan was elected in place of
      Director I. G. Patel, from Sept. 15, 2005, to Aug. 31,
      2007.  The terms of the two directors elected against the
      above vacancies will be for a period of three years from
      Sept. 5, 2007, to Sept. 4, 2010.

Headquartered in Mumbai, State Bank of India --
http://www.sbi.co.in/-- is a financial services group operating
primarily in the banking industry.  Its core operations include
Treasury Operations, Corporate Banking Group, National Banking
Group and International Banking Group.

                          *     *     *

Standard & Poor's Ratings Services, on June 18, 2007, assigned
its 'BB' issue rating to the State Bank of India's proposed
US$225 million Hybrid Tier I perpetual notes under its US$5
billion MTN program.  The Hybrid Tier I notes will be perpetual
notes with a call option 10 years from the date of issue.

As reported in the Troubled Company Reporter - Asia Pacific on
Feb. 2, 2007, Fitch Ratings affirmed the bank's 'C' individual
rating.

Moody's Investors Service placed a Ba2/Not Prime rating on State
Bank of India's foreign currency bank deposits, a Ba2/Not Prime
Financial Strength Rating in June 2006.


TATA MOTORS: To Start Russian Joint Venture With Iveco
------------------------------------------------------
Tata Motors Limited is working on a joint venture with Iveco
S.p.A. to put up a manufacturing base for commercial vehicles in
Russia, Ajoy K. Das of India's Daily News & Analysis reports.

As reported by the Troubled Company Reporter-Asia Pacific on
Feb. 23, 2007, Tata Motors and Iveco signed a Memorandum of
Understanding to analyze the feasibility of cooperation, across
markets, in the area of commercial vehicles.  The MoU
encompassed a number of potential developments in engineering,
manufacturing, sourcing and distribution of products, aggregates
and components.  Shortly after signing the MoU signature, Iveco
and Tata Motors set up a joint steering committee to determine
the feasibility of cooperation.

Currently, DNA relates, the two companies have separate
commercial bases in the form of distribution arrangements in
Russia.  Although the tie-up is yet to be worked on, the Russian
venture is expected to be a 50:50 partnership between Tata
Motors and Iveco, the news agency said citing unnamed officials
of Tata Motors.

A "definitive agreement" between the two companies will precede
before work on the venture gets underway, DNA's sources said.

According to DNA, Tata Motors and Iveco have the entire range of  
light, medium and heavy commercial vehicles, as also Daewoo
branded commercial vehicles in their portfolio.  Tentative
plans, however, reveals that medium and heavy commercial
vehicles will be the focus for the Russian base, at least
initially, DNA adds.

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the Company.  The Company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.

Tata Motors has operations in Russia, and the United Kingdom.

                          *    *    *

Standard & Poor's Ratings Services, on July 13, 2007, assigned
its 'BB+' issue rating to the proposed US$490 million zero-
coupon convertible bonds of India's Tata Motors Ltd.
(BB+/Stable/--).  The bonds represent a direct, unsecured and
unsubordinated obligation of the company.  Proceeds from the
bonds will be used for capital expenditure, overseas
investments, acquisitions, and other general corporate purposes.

Moody's Investors Service, on July 26, 2005, gave Tata Motors
'Ba1' long-term corporate family and senior unsecured debt
ratings.


TATA MOTORS: Shortlisted in Bid for Jaguar and Land Rover
---------------------------------------------------------
Tata Motors Ltd has made it to the list of selected bidders for
final consideration in the race for Ford Motor Co.'s Jaguar and
Land Rover, reports say.

The Economic Times, citing unnamed auto industry sources, says
that the shortlisted bidders have started the process of
appointing advisors and are likely to meet Ford officials and
the management of Jaguar and Land Rover over the next one week.

IBN Live believes Tata Motors is facing fierce competition from
United States firms.  American private equity firm, TPG Capital
is eyeing the car brands and is in fact a strong contender for
the bid, IBN states.

Aside from TPG and Tata Motors, The Financial Times says bidders
also include Ripplewood Holdings, One Equity Partners, Cerberus
Capital Management, and India's Mahindra & Mahindra.  Ford is
expected to ask for binding offers by September, and aims to
complete the sale by the end of the year.

Merrill Lynch analysts have evaluated Jaguar and Land Rover at
around US$1.5 billion but consultants are now estimating it to
cost between US$2 billion to US$3 billion, ET relates.  The
deal, however, is still far from being clinched, the news agency
adds, citing sources close to the development as saying.

Ford told the Indian ET that a sale would seek to ensure that
Jaguar/Land Rover has the ownership and technology and
investment structure it needs to allow it to reach its full
potential.

Ford Chief Executive Alan Mulally told the Financial Times that
the carmaker was open to different options including retaining a
minority stake in both operations, adding that he prefers sell
the two brands jointly as they were so highly integrated.

Ford on Thursday released second quarter results, showing a turn
around with a profit of US$750 million compared to a loss of
US$317 million in the same period last year.  After posting
seven quarters of consecutive losses, Ford finally swung to a
profit in the second quarter, albeit aided by a slew of cost
cuts, rather than roaring new sales," Evelyn M. Rusli of
Forbes.com notes.

                        About Ford Motor Co.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles   
in 200 markets across six continents.  With about 260,000
employees and about 100 plants worldwide, the company's core and
affiliated automotive brands include Ford, Jaguar, Land Rover,
Lincoln, Mercury, Volvo, Aston Martin, and Mazda.  The company
provides financial services through Ford Motor Credit Company.

                        About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business   
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the Company.  The Company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.

Tata Motors has operations in Russia, and the United Kingdom.

                          *     *     *

Standard & Poor's Ratings Services, on July 13, 2007, assigned
its 'BB+' issue rating to the proposed US$490 million zero-
coupon convertible bonds of India's Tata Motors Ltd.
(BB+/Stable/--).  The bonds represent a direct, unsecured and
unsubordinated obligation of the company.  Proceeds from the
bonds will be used for capital expenditure, overseas
investments, acquisitions, and other general corporate purposes.

Moody's Investors Service, on July 26, 2005, gave Tata Motors
'Ba1' long-term corporate family and senior unsecured debt
ratings.


* Fitch Sees Indian Two-Wheeler Finance Environment Weakening
-------------------------------------------------------------
Fitch Ratings says the business environment surrounding retail
two-wheeler financing in India has weakened and is currently
reflected in the increasing delinquency across rated pools.  The
180+days past due reached as high as 6% of original principal
outstanding in some of the pools, compared to a maximum of 3.6%
in 2006.

"Intense competition in the segment and rural expansion has led
to looser criteria for advancing loans.  This has resulted in
deterioration in the credit quality of the portfolios," noted
Peeyush Pallav, Associate Director at Fitch Ratings India.  "The
two-wheeler finance transactions have performed in a
satisfactory manner with regard to senior rated pass-through
certificates, owing to cherry-picking of portfolios, sound
transaction structures, and adequate credit enhancements."

Fitch has rated six pools originated by Centurion Bank.  The
180+ dpd delinquencies for these six deals have ranged from 0.1%
to 1.24% of POS.  The collection performance of all the
Centurion deals is stable.  On average, the cumulative
collection efficiency has been around 96% for all transactions.
Cumulative prepayments have been in the range of 4.5% to 9%.

Fitch has also rated seven transactions for TVS Finance and
Services Ltd.  The deals have shown weaker performance. For all
seven transactions, 180+ dpd delinquencies range from 2% to 6%
as a percentage of original POS.  CCE for some of the
transactions has shown weak performance at 85%, compared with a
CCE of around 90% for others.  Monthly prepayments are in the
range of 8.5% to 12.5%.

The ongoing transaction performance analysis forms an integral
part of the ratings process.  Clear and timely reporting is
essential for assessing current performance and for forming an
accurate credit view.  Hence, for active monitoring, Fitch has
developed a surveillance process, where the impact of key
performance indicators such as delinquencies, prepayment rates,
collection efficiency, interest rate movements, and credit
enhancement utilisation are examined.  The agency ultimately
assesses the impact of such indicators on the timely repayment
of interest and principal for the pass-through certificates on
an ongoing basis, to ensure that the level of protection
available to pass-through certificates investors is commensurate
with the rating level assigned to the notes.

The agency has formulated an Indian ABS 180+ delinquency index
for various asset classes with loans which are 180+ days in
arrears.  The index is based on the weighted-average delinquency
rates.

The report, "Two Wheeler ABS Performance", is available on
public Web sites, http://www.fitchindia.comand  
http://www.fitchratings.com


* Fitch: Personal Loans Pools Show Increased Delinquencies
----------------------------------------------------------
Fitch Ratings says personal loan pools in India have shown a
higher delinquency compared to other asset categories.  The
underlying pools of personal loans have shown weak performance,
with about 5.5% of the original pool being over 90+days past due
delinquent.

"Personal loans are unsecured lending; borrowers don't usually
specify the purpose for taking these loans.  These are typically
unproductive usage loans and usually do not generate an income
stream," says Peeyush Pallav, Associate Director at Fitch
Ratings India.

Fitch monitors closely the key performance parameters for two
personal loans-backed transactions originated by ICICI Bank.
They include the 90+dpd and 180+dpd prepayments, collection
efficiency and charge-offs.  These transactions have performed
satisfactorily on account of their structures (e.g. chargeoff at
120+dpd to minimise the cost of carry on account of defaulted
assets), and adequately sized credit enhancements.  However, the
underlying pool of personal loans has shown weak performance,
with about 5.5% of the original pool being over 90+dpd
delinquent.  The 180+dpd portion of the pool comprises about
4.2% of the original principal outstanding.

The ongoing transaction performance analysis forms an integral
part of the ratings process.  Clear and timely reporting is
essential for assessing current performance and for forming an
accurate credit view.  Hence, for active monitoring, Fitch has
developed a surveillance process, where the impact of key
performance indicators such as delinquencies, prepayment rates,
collection efficiency, interest rate movements, and credit
enhancement utilisation are examined.  The agency ultimately
assesses the impact of such indicators on the timely repayment
of interest and principal for the pass-through certificates on
an ongoing basis, to ensure that the level of protection
available to PTC investors is commensurate with the rating level
assigned to the notes.

The agency has formulated an Indian ABS 180+ delinquency index
for various asset classes with loans, which are 180+ days in
arrears.  The index is based on the weighted-average delinquency
rates.

The report "Personal Loans ABS Performance" is available on
public websites, http://www.fitchindia.comand  
http://www.fitchratings.com


* India's 2007 Auto ABS Performance Stable, Fitch Says
------------------------------------------------------
Fitch Ratings, on July 26, says Indian ABS transactions continue
to perform well in 2007, particularly in auto loans where
delinquencies have been low.  The delinquencies in auto ABS
pools are in the range of 0.4% to 0.5% of original principal
outstanding.  The pools have demonstrated high collection
efficiencies, with a cumulative collection efficiency of about
99%.

"The short tenure of auto loan transactions, the strong
performance and innovative structural features, which cater to
various investor requirements, have helped generate significant
demand for auto ABS," says Peeyush Pallav, Associate Director at
Fitch Ratings India.

Fitch has rated two transactions originated by ICICI Bank.  The
180+ days past due delinquencies for these two transactions have
ranged from 0.4% to 0.5% of POS.  The collection performance for
both transactions is stable.  On average, the cumulative
collection efficiency has been around 99% for all transactions.
Cumulative prepayments are in the range of 12% to 19%.

The agency has also rated one transaction for HDFC Bank.  It has
shown equally strong performance.  In the transaction, the
180+dpd delinquencies have also ranged from 0.3% to 0.4% as a
percentage of POS.  The cumulative collection efficiency for the
transaction is in the range of 99% to 100%.  Cumulative
prepayments are in line with industry standards and are in the
range of 14%.

The ongoing transaction performance analysis forms an integral
part of the ratings process.  Clear and timely reporting is
essential for assessing current performance and for forming an
accurate credit view.  Hence, for active monitoring, Fitch has
developed a surveillance process, where the impact of key
performance indicators such as delinquencies, prepayment rates,
collection efficiency, interest rate movements, and credit
enhancement utilisation are examined.  The agency ultimately
assesses the impact of such indicators on the timely repayment
of interest and principal for the pass-through certificates on
an ongoing basis, to ensure that the level of protection
available to PTC investors is commensurate with the rating level
assigned to the notes.


The agency has formulated an Indian ABS 180+ delinquency index
for various asset classes with loans, which are 180+ days in
arrears. The index is based on the weighted-average delinquency
rates.

The report "Auto ABS Performance" is available on public
websites, http://www.fitchindia.comand  
http://www.fitchratings.com


* Fitch Says Commercial Vehicle ABS Performance Improved
---------------------------------------------------------
Fitch Ratings says the business environment surrounding retail
commercial vehicle financing in India has improved this year as
oil prices eased while the freight index rose, reversing the
downtrend in 2005-2006.  This has improved the underlying
economics for transport operators, which has resulted in lower
delinquencies.

"Unlike the retail car loan market, which is considered low-
risk, the commercial transport asset segment is considered to be
higher-risk, due to the type of the end-use for which the asset
is applied and the non-salaried nature of borrowers," says
Peeyush Pallav, Associate Director at Fitch Ratings India.

Fitch has rated five commercial vehicle pools securitised by
CFIL.  The 180+ days past due delinquencies for these five deals
were below 1.5% of original principal outstanding, lower than
the 1.7% observed in March 2006.  On average, the cumulative
collections efficiency has been around 98% for all deals.
Cumulative prepayments are in the range of 8% to 12%.

Fitch has rated one construction equipment transaction for SREI
Infrastructure Finance Ltd.  The deal has shown stable
performance.  As per the data reported, there are no 180+ dpd
delinquencies

The ongoing transaction performance analysis forms an integral
part of the ratings process.  Clear and timely reporting is
essential for assessing current performance and the forming of
an accurate credit view.  Hence, for active monitoring, Fitch
has developed a surveillance process, where the impact of key
performance indicators such as delinquencies, prepayment rates,
collection efficiency, interest rate movements, and credit
enhancement utilisation are examined.  The agency ultimately
assesses the impact of such indicators on the timely repayment
of interest and principal for the pass-through certificates on
an ongoing basis, to ensure that the level of protection
available to PTC investors is commensurate with the rating level
assigned to the notes.

The agency has formulated an Indian ABS 180+ delinquency index
for various asset classes with loans, which are 180+ days in
arrears.  The index is based on the weighted-average delinquency
rates.

The report "Commercial Vehicle ABS Performance" is available on
public websites, http://www.fitchindia.comand  
http://www.fitchratings.com


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

ALCATEL-LUCENT: Receives Certificate From Quality Management
------------------------------------------------------------
Alcatel-Lucent's W-CDMA portfolio has received the TL 9000
Certification from the Quality Management Institute, an
accredited QuEST Forum TL 9000 registrar.  TL 9000 standards
establish a common set of quality management requirements and
measurements for telecommunications hardware, software and
services.

This TL 9000 certification -- achieved just months after the
completion of the Alcatel-Lucent merger and its acquisition of
Nortel's W-CDMA assets -- highlights the speed and success of
the integration of three distinct portfolios into one of the
industry's most comprehensive and high-quality W-CDMA product
lines.  The certification also provides validation that the
integration of processes, systems and practices will help ensure
that the portfolio offers best-in-class reliability and quality.

"This certification represents a tremendous achievement for
Alcatel-Lucent's wireless business," said Alain Biston,
president of Alcatel-Lucent's W-CDMA activities.  "It is no
small feat to bring together three different portfolios and
organizations, with locations around the world, in such a short
time-frame.  The fact that we were able to successfully complete
this rigorous certification program so quickly is a testament to
our unwavering commitment to delivering quality for our
customers."

TL 9000 certification covers a wide array of business functions,
including end-to-end sales, marketing, business development,
product management, program management, design, technology
introduction, quality and post-sales support activities.
Products covered under Alcatel-Lucent's W-CDMA TL 9000
certification included radio access base transceiver stations,
radio network controllers and network management system
offerings.  The audit also included business practices at
Alcatel-Lucent facilities around the world that support the W-
CDMA portfolio.

Through the TL 9000 certification process, Alcatel-Lucent was
able to confirm that quality system and operations designed to
ensure the reliability of the W-CDMA portfolio were maintained
and in some cases strengthened during the integration process.

The TL 9000 standards build on International Standards
Organization's 9001 standards, incorporating additional
requirements and defining a set of quality measurements for
field-deployed products.  The TL 9000 standard was developed by
the QuEST Forum, an industry group made up of telecommunications
companies including service providers, infrastructure vendors,
second- and third-party suppliers and liaison bodies.  The
certification process helps ensure that communications networks
provide a high-quality experience for end-users.

                       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.


BANK DANAMON: Posts IDR1.02-Tril. Net Profit for 1st Half 2007
--------------------------------------------------------------
PT Bank Danamon Indonesia Tbk's first-semester consolidated net
profit is up 83% to IDR1.020 trillion, compared with the figure
recorded for the same period in 2006, The Jakarta Post reports.  

The Post says that the rise in net profit is due to the 20%
year-on-year rise in lending.  According to the report, the
bank's lending is IDR46.394 trillion in the first semester,
caused by loans disbursed to micro, small and medium-sized
enterprises.

The increase in net profit was also supported by a rise in net
interest income, which rose by 29% from IDR2.618 trillion in the
first semester in 2006 to IDR3.381 trillion this year, the
report says.

The Post notes that the bank's operating income in the first
semester also increased 35% to IDR4.423 trillion from
IDR3.269 trillion last year.

The bank's earnings per share also increased from IDR113.64 in
the first half of 2006 to IDR204.87 in the current period.

                    About Bank Danamon

Headquartered in Jakarta, Indonesia, PT Bank Danamon Indonesia
Tbk provides a range of products and services, including
Consumer Banking, Small to Medium-Sized Enterprise and
Commercial, Trade Finance, Treasury Product, Cash Management,
Other Services, Financial Planning and e-Banking.  Danamon
Syariah is the Bank's business unit that provides its customers
with syariah banking products and services.  The bank also   
operates Danamon Simpan Pinjam, which caters to micro banking
customers.  DSP is divided into two groups: DSP to serve and
help enterprises in micro and small-scale banking, and DSP for
individual customers with fixed income.  Bank Danamon is  
supported by 86 domestic branch offices, 325 domestic supporting  
branch offices, 25 domestic cash office, 739 supporting branches  
for DSP, six personal banking branch offices, 10 syariah branch  
offices and one overseas branch.

The Troubled Company Reporter-Asia Pacific reported on May 8,
2007, that Moody's Investors Service published the rating
results for Indonesia's PT Bank Danamon Indonesia Tbk as part of
the application of its refined joint default analysis and
updated bank financial strength rating methodologies.

The specific ratings changes are as follows:

      * BFSR is changed to D with a positive outlook from D-

         -- This action also concludes a review for possible
            upgrade on the BFSR initiated on July 4, 2006

      * Foreign Currency Deposit Ratings are unchanged at B2/Not
        Prime

      * Foreign Currency Debt Rating for subordinated
        obligations is unchanged at Ba3.

      -- Foreign Currency Deposit and Foreign Currency Debt
         Ratings have positive outlooks in line with the outlook
         on the country's sovereign ratings outlook

The TCR-AP reported on Feb. 1, 2007, that Fitch Ratings affirmed
all the ratings of Bank Danamon:

   * Long-term foreign Issuer Default rating 'BB-',

   * Short-term rating 'B',

   * National Long-term rating 'AA-(idn)' (AA minus(idn))

   * Individual 'C/D', and

   * Support '4'.

The Outlook for the ratings was revised to Positive from Stable.


FREEPORT-MCMORAN: 2007 2nd Quarter Profit Triples to US$1.1 Bil.
----------------------------------------------------------------
Freeport McMoRan Copper & Gold Inc.'s 2007 second-quarter profit
tripled due to the increase in metal prices and the acquisition
of Phelps Dodge, Reuters reports.

According to Reuters, the company's net earnings rose to
US$1.1 billion from the US$367 million net earnings recorded in
the corresponding quarter in 2006.

Freeport's revenue quadrupled to US$5.81 billion from
US$1.42 billion, which figure includes earnings and production
from Phelps Dodge.  Phelps Dodge was acquired by Freeport in
March, the report recounts.

Reuters relates that the company earned US$2.70 per share,
excluding the charges to extinguish debt, and the 5 cents per
share gains from sale of marketable equity securities.

The second-quarter results also included charges of 18 cents per
share for noncash mark-to-market accounting adjustments on
Phelps Dodge's copper price protection programs, the report
says.

Steve James of Reuters relates that the company, which has a
vast gold mine in Indonesia, disclosed a consolidated sale from
its mine totaling to 1 billion pounds of copper, 913,000 ounces
of gold and 15 million pounds of molybdenum in the second
quarter.

Freeport expects third-quarter sales of 900 million pounds of
copper, 125,000 ounces of gold and 16 million pounds of
molybdenum.  Full-year 2007 consolidated sales are estimated at
about 3.9 billion pounds of copper, 2.1 million ounces of gold
and 68 million pounds of molybdenum, the report adds.

                     About Freeport-McMoRan

Freeport-McMoRan Copper & Gold Inc. (NYSE: FCX)
-- http://www.fcx.com/-- is an international mining industry     
leader based in North America with large, long-lived,
geographically diverse assets and significant proven and
probable reserves of copper, gold and molybdenum.  Freeport-
McMoRan has one of the most dynamic portfolios of operating,
expansion and growth projects in the copper mining industry.
The Grasberg mine in Indonesia, the world's largest copper and
gold mine in terms of reserves, is the company's key asset.
Freeport-McMoRan also operates significant mining operations in
North and South America and is developing the world-class Tenke
Fungurume project in the Democratic Republic of Congo.

The completion of Freeport-McMoran's acquisition further expands
the company's global operations.  The former Phelps Dodge Corp.
has mining operations in Chile, Peru, Colombia, Venezuela and
Ecuador, among others.

                        *     *     *

As reported in the Troubled Company Reporter- Asia Pacific
reported on Jul 16, 2007, that Fitch Ratings upgrades these
ratings of Freeport-McMoRan Copper & Gold Inc.

FCX

    -- US$1 billion Secured Bank Revolver to 'BB+' from 'BB';
    -- 6.875% secured notes due 2014 to 'BB+' from 'BB';
    -- Unsecured notes due 2015 and 2017 to 'BB' from 'BB-';
    -- 7% convertible notes due 2011 to 'BB' from 'BB-'.


In addition, Fitch affirms these ratings on FCX:

    -- Issuer Default Rating at 'BB';

    -- US$500 million PT Freeport Indonesia/FCX Secured Bank
       Revolver at 'BBB-';

    -- Convertible Preferred Stock at 'B+'.

Fitch also assigns a rating of 'BB+' to FCX's new US$2.45
billion five-year term loan A.  Proceeds of the loan were used
to repay the US$2.45 billion remaining under the term loan due
March 2014.  The term loan amortizes at 10% per annum with the
remainder due at maturity.

The Rating Outlook remains Positive.

On March 29, 2007, Moody's Investors Service upgraded Freeport-
McMoRan Copper & Gold Inc.'s or Freeport's corporate family  
rating to Ba2 from Ba3.

As reported in the Troubled Company Reporter on March 27, 2007,
Standard & Poor's Ratings Services assigned its 'B' preferred
stock rating to the proposed US$2.5 billion US6.75% mandatory
convertible preferred stock offering of Freeport-McMoRan
Copper & Gold Inc.


MEDCO ENERGI: Discovers Potential Oil Reserves in Libya
-------------------------------------------------------
PT Medco Energi Internasional Tbk discovered a potential reserve
in Libya -- the oil reserve in the Area-47 Block in Ghadamesh --
Antara News reports.

The report relates that Medco Director Rashid I Mangunkusuomo
said that they expect the block to produce 50,000 barrels of
crude oil a day when it comes on stream in 2009.

Mr. Mangunkusuomo explained that the discovery is very
significant to the company since the reserve production is
almost the same as Medco's 54,000-barrels daily output in
Indonesia, the report relates.

The report adds that Medco, investing around US$50 million for
explorations excluding the price for the acquisition stake, has
a 50% spilt in the project with Canada's Vernex Energy Inc as
the operator holding the remaining 50 per cent.

                       About Medco Energi

Headquartered in Jakarta, Indonesia, PT Medco Energi
Internasional Tbk -- http://www.medcoenergi.com/-- is engaged     
in the exploration, production of, and support services for oil
and natural gas and other energy industries, including onshore
and offshore drilling.  Other activities include production of
methanol and its derivatives and raising funds by issuing debt
securities and marketable securities.

Medco Energy also has operations in the United States and in
Libya.

The Troubled Company Reporter-Asia Pacific reported on Dec. 21,
2006, that Standard & Poor's Ratings Services affirmed its 'B+'
corporate credit rating on Medco Energi.  The outlook remains
negative.  According to S&P, the negative outlook on Medco
reflects the company's weak financial profile due to its
increased debt burden to fund its aggressive capital
expenditure.

A TCR-AP report on Aug. 16, 2006, said that Moody's Investors
Service changed the outlook on Medco Energi's ratings to
negative from stable.  The ratings affected by the outlook
change are:

   * B1 local currency corporate family rating -- Medco

   * B2 foreign currency long-term rating -- MEI Euro Finance
     Ltd (guaranteed by Medco).


PANIN BANK: 2007 First-Half Net Profit Up 60% to IDR464 Billion
---------------------------------------------------------------
PT Bank Pan Indonesia Tbk's 2007 first-half net profit increased
60% to IDR464 billion due to a sharp growth in net interest,
Antara News reports.

According to the report, the net interest income rose up 62% to
IDR1.19 trillion, while the bank's non-interest income was
IDR392 billion.

Roosniati Salihin, Bank Panin Vice President, said that the bank
is set to increase the portion of its fee-based income to 35% of
its total income since, currently, interest income dominates the
bank income by 75%, with fee based income making up only 25 per
cent, the report says.

Antara adds that Bank Panin's assets increased to
IDR44.59 trillion as of June 2007 from IDR33.45 trillion as of
June 2006, while its loan to deposit ratio rose to 93.12% from
73.24%.

                        About Panin Bank

Headquartered in Jakarta, Indonesia, PT Bank Pan Indonesia Tbk's
-- http://www.panin.co.id-- products and services include  
individual, which comprises saving products, consumer credit
products, electronic products and service products corporate,
and corporate, which consist of saving products, financial
service products, loan credit, export and import products,
electronic products and service products. The bank has
investment in several public listed companies, including PT
Clipan Finance Indonesia Tbk, PT Asuransi Multi Artha Guna Tbk
and PT Panin Sekuritas Tbk.

                         *     *     *

A Troubled Company Reporter-Asia Pacific report on Feb 6, 2007,
said that Moody's Investors Service revised the outlook from
positive to stable of the long-term deposit rating of PT Bank
Pan Indonesia Tbk, but maintained the stable outlook of its
short-term deposit rating and the positive outlook of its bank
financial strength:

   -- foreign currency long-term/short-term deposit of B2/Not
      Prime; and

   -- bank financial strength of D-.


PERUSAHAAN LISTRIK: To Post IDR3.8-Trillion Net Profit in 2007
--------------------------------------------------------------
PT Perusahaan Listrik Negara is expected to post a net profit of
IDR3.8 trillion this year due to lower production costs, The
Jakarta Post reports.

The report relates that Alhilal Hamdi, PLN chief commissioner,
said that the anticipated profit return is caused by the firm's
expectation to cut the cost of its fuel by IDR9 trillion to
IDR42 trillion this year from last year's IDR51 trillion.

Perusahaan has already partly switched from oil to coal since it
is much cheaper, causing this year's coal purchases to increase
to IDR8 trillion compared to last year's IDR6.4 trillion.  
Currently, 24% of PLN's total power plants are fired by oil-
based fuels, the report says.

The Post points out that Mr. Hamdi said that based on the
company's official forecasts, the firm might book revenues of
IDR8.7 trillion this year, the first time to book a profit in
eighth years.

The government will pay PLN a subvention of IDR33 trillion so as
to allow it to cap the price of electricity for sale to
households, which is IDR7.8 trillion more than the
IDR25.8 trillion subvention the government paid the company in
2005, the report adds.

                    About Perusahaan Listrik

Indonesian state utility firm PT Perusahaan Listrik Negara --
http://www.pln.co.id/-- transmits and distributes electricity       
to around 30 million customers, roughly 60% of Indonesia's
population.  The Indonesian Government decided to end PLN's
power supply monopoly to attract independents to build more
capacity for sale directly to consumers, as many areas of the
country are experiencing power shortages.

                         *      *      *

The Troubled Company Reporter-Asia Pacific reported on
June 19, 2007, that Moody's Investors Service assigned a B1
senior unsecured rating to PT Perusahaan Listrik Negara's
proposed U.S. dollar bond issuance.

At the same time, Moody's has affirmed PLN's B1 corporate family
rating and A1.id national scale rating.  The outlook for all the
ratings is positive, which is in line with the sovereign's
positive outlook.

Standard & Poor's Ratings Services also assigned its 'BB-'
foreign currency rating and 'BB' local currency rating to PLN.
The outlook on the ratings is stable.  At the same time,
Standard & Poor's assigned its 'BB-' issue rating to the
proposed U.S. ollar enior unsecured notes issued by PLN's wholly
owned subsidiary, Majapahit Holding B.V.


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

ALL NIPPON: Expands Code-Share Agreement with Singapore Airlines
----------------------------------------------------------------
All Nippon Airways Co., Limited, and Singapore Airlines have
filed for permission to increase their present code-sharing
relationship to cover destinations in Asia, North America and
Japan beyond the hub airports of Singapore Changi Airport and
Tokyo Narita Airport, from September 1 this year.

Five destinations in Japan, from the southernmost island of
Okinawa to Sapporo in the north, as well as Chicago and
Washington DC in the United States will be added to Singapore
Airlines' network.  Four cities in India, in addition to Jakarta
and Johannesburg will be added to the ANA network.

The two Star Alliance members began code-sharing on flights
between Japan and Singapore in August 2004, at present covering
36 weekly flights operated by Singapore Airlines and 7 weekly
flights operated by ANA.  The expanded agreement will further
enhance customer convenience, allowing them to fly to an
increased number of destinations using just one flight code for
their entire journey -- either NH for ANA flights, or SQ for
Singapore Airlines flights.

"We are delighted to work ever closer with our Star Alliance
partner, the world renowned Singapore Airlines, to bring more
choice to our customers," said ANA President & CEO, Mineo
Yamamoto.  "The timing of the expanded agreement is particularly
fitting for ANA as it coincides with the start of our own flight
to Mumbai, and allows us to simultaneously offer flights to
multiple cities in the fast expanding Indian market."

"The expansion of the codeshare agreement demonstrates the long-
standing partnership between Singapore Airlines and ANA, our
Star Alliance partner," said Mr Chew Choon Seng, Singapore
Airlines' Chief Executive Officer.  "We are confident that with
our combined network, customers of both Singapore Airlines and
ANA will enjoy the benefits of greater convenience and a wider
range of travel options."

A copy of the routes covered by the expanded relationship can be
viewed for free at http://ResearchArchives.com/t/s?2045

                          About All Nippon

Headquartered in Tokyo, All Nippon Airways Co., Limited --
http://www.ana.co.jp/eng/-- is Japan's second-largest airline   
company in terms of revenue.  The company, which was founded in
1952, provides these services:

   1. Scheduled air transportation business;

   2. Nonscheduled air transportation business and business
      utilizing aircraft;

   3. Business of buying, selling, leasing and maintenance of
      aircraft and aircraft parts; and

   4. Aircraft transportation ground support business, including
      passenger boarding procedures and loading of hand baggage.

The Troubled Company Reporter-Asia Pacific reported on June 28,
2007, that Standard & Poor's Ratings Services raised to 'BB+'
from 'BB' its long-term corporate credit and senior unsecured
debt ratings on All Nippon Airways Co. Ltd. due to the company
generating more stable profits backed by its operational
competitiveness, and the faster-than-expected improvement in its
financial profile.  The outlook on the long-term corporate
credit rating is stable.


BOSTON SCIENTIFIC: Moody's Cuts Sr. Unsecured Debt Rating to Ba2
----------------------------------------------------------------
Moody's Investors Service downgraded the credit ratings of
Boston Scientific Corporation.  The company's senior unsecured
debt rating was downgraded to Ba2 from Baa3 and its short term
debt rating was downgraded to Not Prime from Prime-3.

At the same time, Moody's assigned a Ba1 Corporate Family Rating
to the company.  The rating outlook is negative.  This concludes
Moody's rating review that was initiated on May 9, 2007.

This rating action primarily reflects these concerns:

   (1) second quarter results continue to show lower than
       expected cash flows;

   (2) the lack of definitive action related to material asset
       sales, which could provide financial flexibility;

   (3) the potential for regulatory and litigation matters to
       further impinge on liquidity; and

   (4) the potential for covenant violations under its bank
       agreement over the next twelve months.

"Boston Scientific's cash flows no longer comfortably support
its high debt levels, resulting in a downgrade to below
investment grade," Diana Lee, a Senior Credit Officer at Moody's
said.

"Persistent weakness in the DES market and inability to gain
consistent traction in ICD sales contribute to Moody's concerns
regarding the company's cash flows," said Lee.

The negative outlook reflects concerns that uncertain sales
recovery in key product lines and heightened competition in 2008
could contribute to even lower operating cash flows.  The
negative outlook also considers the possibility that Boston
Scientific may face greater liquidity challenges as upcoming
cash payments (including litigation, bank amortization and
milestone payments) may occur at the same time that the company
faces potential covenant violations.

The US senior unsecured notes held at Boston Scientific
Corporation are structurally subordinated to the (unrated) non-
US bank debt held at its foreign subsidiary.  Before this rating
action, Moody's did not heavily weigh the issue of structural
subordination in its rating of Boston Scientific's US senior
notes; however, the effects of structural subordination are now
reflected in the company's ratings because of the application of
Moody's LGD Rating Methodology.  Using our LGD analysis, the
senior unsecured notes are now notched below the Ba1 CFR.

Ratings assigned:

   * Boston Scientific Corporation:

   -- Ba1 Corporate Family Rating
   -- Ba1 PDR
   -- SGL-3 Speculative Grade Liquidity Rating

Ratings downgraded:

Boston Scientific Corporation:

   -- Sr. Unsecured Notes to Ba2, LGD5, 75% from Baa3
   -- Senior Shelf to (P)Ba2 from (P) Baa3
   -- Subordinated Shelf to (P)Ba2 from (P)Ba1

Short-term rating to Not-Prime from Prime-3 (This rating will be
withdrawn subsequent to the downgrade.)

Rating confirmed:

Boston Scientific Corporation:

   -- Preferred Stock Shelf at (P)Ba2

Headquartered in Natick, Massachusetts, Boston Scientific
Corporation (NYSE: BSX) -- http://www.bostonscientific.com/--
develops, manufactures and markets medical devices used in a
broad range of interventional and cardiac rhythm management
devices.  The company has offices in Argentina, France, Germany,
and Japan, among others.


BOSTON SCIENTIFIC: To Explore Sale of Fluid Management Business
---------------------------------------------------------------
Boston Scientific Corporation has intended to explore the sale
of its fluid management business as part of the company's
ongoing review of its portfolio of assets.  The Boston
Scientific fluid management business, formerly North American
Medical Instruments Corp., produces a range of products used to
manage fluid and measure pressure during angiography and
angioplasty procedures.  A sale would be expected to include the
business as well as the Company's facilities in Glens Falls, New
York and Tullamore, Ireland.

"As we have previously announced, we are conducting a
comprehensive review of our non-strategic assets in an effort to
focus resources on our core businesses and improve our financial
strength," said Paul LaViolette, Chief Operating Officer of
Boston Scientific.  "One result of this review has been the
initiation of a process to explore the sale of our fluid
management business.  This is a very strong business with market
leadership, and we believe it has tremendous potential with the
focused attention and resources of external ownership.  We are
in the early stages of discussions with several potential
acquirers, and we expect the process to take a number of
months."

Headquartered in Natick, Massachusetts, Boston Scientific
Corporation (NYSE: BSX) -- http://www.bostonscientific.com/--
develops, manufactures and markets medical devices used in a
broad range of interventional medical specialties.  The company
has offices in Argentina, Chile, France, Germany, and Japan,
among others.

Moody's Investors Service downgraded the credit ratings of
Boston Scientific Corporation.  The company's senior unsecured
debt rating was downgraded to Ba2 from Baa3 and its short term
debt rating was downgraded to Not Prime from Prime-3.


BOSTON SCIENTIFIC: 2007 Second Quarter Sales Lowers by US$39 Mln
----------------------------------------------------------------
Boston Scientific Corporation reported that net sales for the
second quarter of 2007 decreased US$39 million to
US$2.1 billion, as compared to net sales for the second quarter
of 2006.

Net income for the second quarter of 2007 was US$115 million, on
1.5 billion weighted average shares outstanding.  GAAP results
for the second quarter of 2007 included net special charges of
US$9 million, which consisted primarily of charges attributable
to investment portfolio activity, integration of the Guidant
acquisition and discrete tax items.  Net loss for the second
quarter of 2006 was US$4.2 billion.  Results for the second
quarter of 2006 included net special charges of
US$4.541 billion.

The second quarter 2007 operating results include the Company's
Cardiac Rhythm Management and Cardiac Surgery businesses, which
were acquired as part of Guidant on April 21, 2006.  Worldwide
sales of the Company's CRM group for the second quarter of 2007
were US$524 million, which included US$377 million of
implantable cardioverter defibrillator sales, as compared to CRM
sales of US$539 million for the first quarter of 2007, which
included US$398 million of ICD sales.  U.S. CRM sales for the
second quarter of 2007 were US$332 million, which included
US$253 million of ICD sales, as compared to U.S. CRM sales of
US$349 million for the first quarter of 2007, which included
US$273 million of ICD sales.  International CRM sales for the
second quarter of 2007 were US$192 million, which included
US$124 million of ICD sales, as compared to International CRM
sales of US$190 million for the first quarter of 2007, which
included US$125 million of ICD sales.

At June 30, 2007, the company's balance sheet showed
US$31.3 billion in total assets, US$15.5 billion in total
liabilities, resulting in US$15.8 billion in total stockholders'
equity.

"We made progress in a number of key areas during the quarter,"
said Jim Tobin, president and chief executive officer of Boston
Scientific.  "Most important, we made progress on quality
throughout the organization, including the resolution of the CRM
warning letter.  Both the DES and CRM markets showed signs of
stabilizing, but neither has returned to the level we believe
they eventually will.  We launched TAXUS Express2 in Japan, and
we are off to a strong start in that market with impressive
sales.  Our Endosurgery group posted another solid quarter, with
double-digit growth in all three of its businesses.  Overall, we
continue to move in the right direction."

               Guidance for Third Quarter 2007

The company estimates net sales for the third quarter of 2007 of
between US$2 billion and US$2.1 billion.  The company estimates
EPS on a GAAP basis of between US$0.03 and US$0.08 per share.  
In the past, the reconciliation between GAAP and adjusted EPS
has excluded net special charges, amortization and stock
compensation expense. Beginning in the third quarter, the
company will exclude only acquisition-related charges and
amortization expense.  Using this definition, the company  
estimates adjusted EPS to range between US$0.12 and US$0.17 per
share for the third quarter.  Using this definition, adjusted
EPS for the second quarter would have been US$0.16 per share.

                   About Boston Scientific

Based in Natick, Massachusetts, Boston Scientific Corporation,
(NYSE: BSX) -- http://www.bostonscientific.com/-- develops,  
manufactures and markets medical devices, specializing in a
broad range of interventional and cardiac rhythm management
devices.  The company has offices in Argentina, Chile, France,
Germany, and Japan, among others.

Moody's Investors Service downgraded the credit ratings of
Boston Scientific Corporation.  The company's senior unsecured
debt rating was downgraded to Ba2 from Baa3 and its short term
debt rating was downgraded to Not Prime from Prime-3.


ELAN CORP: Seeks Re-Examination of Negative Opinion on TYSABRI
--------------------------------------------------------------
Elan Corporation plc and Biogen Idec have been informed by the
European Medicines Agency that the Committee for Medicinal
Products for Human Use has adopted a negative opinion on the
marketing application for the use of natalizumab in patients
with Crohn's disease.  

In accordance with European regulations, Elan and Biogen Idec
plan to apply for a re-examination of the negative opinion
through the appeal procedure.  A decision on the appeal is
expected by the first quarter of 2008.

"Without natalizumab, European patients with severely active
disease who failed other therapies and who are suffering from
continuous symptoms may be offered surgery, with its potential
complications, intravenous nutritional therapies or clinical
trials with unproven experimental agents, depending upon on the
patients' condition," Professor Jean-Frederick Colombel,
University of Lille, said.  "There is a need for new therapies
for this very difficult disease."

An application for approval of TYSABRI(R) (natalizumab) for
treatment of moderate to severe Crohn's disease was filed in the
US on Dec. 15, 2006.  The FDA is holding an advisory committee
to discuss the application on July 31, 2007.

                       About the Company

Headquartered in Ireland, Elan Corporation plc (NYSE: ELN) --
http://www.elan.com/-- is a neuroscience-based biotechnology  
company.  Elan shares trade on the New York, London and Dublin
Stock Exchanges.

The company has locations in Bermuda and Japan.

                         *     *     *

In April 2007, in connection with the implementation of its new
Probability-of-Default and Loss-Given-Default rating methodology
for the corporate families in the Gaming, Lodging and Leisure,
Manufacturing, and Energy sectors, Moody's Investors Service the
rating agency confirmed its B3 Corporate Family Rating for Elan
Corporation plc and assigned a B2 probability-of-default rating
to the company.

Debt ratings remain unchanged in conjunction with the
implementation of Moody's Loss Given Default and Probability of
Default rating methodology for existing non-financial
speculative-grade corporate issuers in Europe, Middle East and
Africa.

* Issuer: Elan Finance plc
                                                Projected
                              Debt     LGD      Loss-Given
   Debt Issue                 Rating   Rating   Default
   ----------                 -------  -------  --------
   US$300M Senior Unsecured
   Regular Bond/Debenture
   Due 2011                     B3      LGD4       65%

   US$300M Senior Unsecured
   Regular Bond/Debenture
   Due 2011                     B3      LGD4       65%

   US$150M Senior Unsecured
   Regular Bond/Debenture
   Due 2013                     B3      LGD4       65%

   US$850M 7.75% Senior Unsecured
   Regular Bond/Debenture
   Due 2011                     B3      LGD4       65%

   US$465M 8.875% Senior Unsecured
   Regular Bond/Debenture
   Due 2013                     B3      LGD4       65%

As reported in the TCR-Europe on Nov. 13, 2006, Standard &
Poor's Ratings Services assigned its 'B' rating to Elan Finance
plc's proposed offering of US$500 million senior unsecured notes
due 2013, to be issued in a combination of fixed and floating-
rate notes.

Outstanding ratings on Elan (including the 'B' corporate credit
rating) and its related entities were affirmed.  S&P said the
ratings outlook is stable.


FORD MOTOR: Seeks Concessions as Labor Talks With UAW Start
-----------------------------------------------------------
General Motors Corp. and Ford Motor Company officially opened
contract negotiations with the United Auto Workers on Monday,
seeking to win concessions that would reduce labor costs as they
grapple with rising health care expenses and stiff competition,
particularly from Japanese carmakers, Reuters reports.

DaimlerChrysler AG unit Chrysler Group started labor talks with
the UAW on Friday.

The TCR-Europe reported on June 14, 2007, that the car companies
are trying to deal with health care costs that GM CEO Rick
Wagoner says cost them a combined US$12 billion in 2006.  
Providing health care to 2 million employees, retirees and
dependents contributed to losses at each of the U.S. automakers
last year, while Japanese rivals posted record profits.  The
difference is made even more significant by higher pensions and
retiree health care costs.

Many analysts expect the UAW to consider establishing a union-
aligned trust fund for retiree health care, if it can reach an
agreement with the automakers on how fully to fund it.

GM and Ford hourly labor costs -- US$73.26 and US$70.51,
respectively -- are about US$30 an hour higher than those paid
by Japanese competitors operating U.S. plants, Reuters states,
referring to data compiled by the automakers.

The UAW's current four-year contract with the "Big Three"
automakers expires September 14, 2007, Reuters relates.  UAW
President Ron Gettelfinger said a strike was still possible if
the parties could not reach an agreement.
                      
                      About Ford Motor Co.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles  
in 200 markets across six continents.  With about 260,000
employees and about 100 plants worldwide, the company's core and
affiliated automotive brands include Ford, Jaguar, Land Rover,
Lincoln, Mercury, Volvo, Aston Martin, and Mazda.  The company
provides financial services through Ford Motor Credit Company.

Ford has operations in Japan.

                          *    *    *

To date, Ford Motor Company still carries Standard & Poor's
Ratings Services 'B' long-term foreign and local issuer credit
ratings and negative ratings outlook.

At the same time, the company carries Moody's Caa1 issuer and
senior unsecured debt ratings and negative ratings outlook.


MITSUKOSHI LTD: Denies Reports of Share Sale to Rival Isetan
------------------------------------------------------------
Mitsukoshi Ltd. denies reports that said it is planning to sell
JPY80 billion worth of shares to rival Isetan Co. and other
buyers, Stuart Biggs writes for Bloomberg News.

According to the report, Mitsukoshi said in a statement to the
Tokyo Stock Exchange on July 26, 2007, that the reports are
based on "speculation and is not factual."  

However, Mitsukoshi said it may ask Isetan and the Mitsui group
of companies to buy the shares with the proceeds to fund store
renovations, writes Mr. Biggs, citing the Yomiuri newspaper.

In a separate report by Mr. Biggs and Maki Shiraki of Bloomberg
News, shares of Mitsukoshi rose the most in 16 months on
July 25, 2007, to JPY587 or 7.5%, due to the merger reports with
Isetan.

However, as of July 26, 2007. 10:02 a.m., shares of Mitsukoshi
fell to JPY1 at JPY586 on the Tokyo Stock Exchange.

The Troubled Company Reporter-Asia Pacific reported on July 26,
2007, that both Mitsukoshi and Isetan said that no decision has
been made yet on the merger.

                     About Mitsukoshi Ltd.

Mitsukoshi Ltd. was established through the merger of Mitsukoshi
Ltd, Nagoya Mitsukoshi, Chiba Mitsukoshi, Kagoshima Mitsukoshi,
and Fukuoka Mitsukoshi.  The company operates department stores
throughout Japan, selling clothing, food, household goods,
cosmetics, and general merchandise.

                         *     *     *

Mitsukoshi Ltd. carries Standard & Poor's BB- Long-Term Foreign
and Local Issuer Credit Ratings.

Mikuni Credit Ratings gave the company a 'B' rating on its
mortgage debt, and a 'B' rating on its senior debt.


PAYLESS SHOESOURCE: Moody's Cuts Corporate Family Rating to B1
--------------------------------------------------------------
Moody's Investors downgraded the ratings of Payless ShoeSource,
Inc., (corporate family rating to B1) and assigned a B1 to
Collective Brands Finance, Inc.'s proposed US$750 million senior
secured term loan B.  The ratings outlook is stable.  The
downgrade reflects the substantial amount of debt (US$750
million) incurred to finance the acquisition of Stride Rite,
which results in a deterioration of credit metrics.  The
downgrade also reflects the aggressive financing of the purchase
price consisting of 80% debt. This rating action concludes the
review for possible downgrade initiated on May 24, 2007.

These ratings are downgraded:

Payless Shoesource, Inc.:

-- Corporate family rating to B1 from Ba3;

-- Probability of default rating to B1 from Ba3;

-- US$200 million 8.25% senior subordinated notes to
    B3(LGD6,94%) from B1(LGD4,64%).

The following rating is assigned:

Collective Brands Finance, Inc.:

-- US$750 million senior secured term loan B at B1(LGD3,42%).

The ratings are contingent upon the review of final
documentation.

On May 22, 2007 Payless announced the signing of a definitive
agreement to acquire The Stride Rite Corporation for nearly
US$800 million plus the assumption of Stride Rite's existing
debt.  The all cash offer of US$20.50 per share represents a 32%
premium over Stride Rite's average stock price.  Concurrent with
the closing of the transaction, Payless intends to rename the
company Collective Brands, Inc., and, as a holding company, will
operate three standalone business units; Payless, Stride Rite,
and Collective Licensing.  The borrower under the US$750 million
senior secured term loan will be an intermediary holding
company; Collective Brands Finance, Inc.

The B1 corporate family rating and stable outlook reflect the
impact of the Stride Rite acquisition on Payless's capital
structure and the additional stress it places on the company's
management team.  The Stride Rite acquisition makes strategic
sense for Payless; it broadens the company's portfolio of
brands, widens its price points, strengthens it market share in
the children's footwear category, and provides the company with
a wholesale presence. However, the acquisition significantly
increases Payless's debt levels (from US$200 million to US$950
million) resulting in a deterioration in credit metrics. Moody's
expects that Debt/EBITDA will likely not fall below 5.0 times
for the next twelve months.  The rating category also
incorporates the size of the Stride Rite acquisition and the
lack of experience of the Payless management team in integrating
large acquisitions.  In addition, the corporate family rating
reflects the company's pragmatic financial policies as
xemplified by the heavy debt component to finance the Stride
Rite acquisition and the company's good liquidity provided by
reasonable free cash flow generation and the proposed US$350
million asset based revolving credit facility (unrated) which
will be put in place upon closing of the acquisition.  The
rating also considers the company's numerous strengths, notably
its national footprint, credible market position, solid
portfolio of brand names, and recent improvement in
profitability to the same level as its peer group.  However, the
positive impact of these strengths on the rating category is
constrained by the high business risk associated with the retail
footwear segment, which includes a heavy fashion component,
intense competition, and high execution risk.

The ratings for the senior secured term loan B and the senior
subordinated notes reflect both the overall probability of
default of the company, to which Moody's assigns a PDR of B1,
and a loss given default of LGD 3 for the senior secured term
loan B and LGD 6 for the subordinated notes.  The rating on the
term loan is at the same level as the corporate family rating as
a result of it size and scale in the capital structure, its lack
of full collateral coverage (which Moody's estimates to be
nearly 37% deficient) as well as its seniority over the
company's US$200 million senior subordinated notes. The US$750
million term loan has a first lien on all non-current assets and
stock with a second lien behind the asset based revolving credit
facility on accounts receivable and inventory.  The senior
subordinated note rating of B3, two notches below the corporate
family rating, reflect its junior position in the capital
structure as well as its relatively small size and scale when
compared to the senior secured credit facilities (US$350 million
ABL and US$750 million term loan B).

Headquartered in Topeka, Kansas, Payless ShoeSource Inc.
(NYSE:PSS) -- http://www.payless.com/-- is a family footwear  
specialty retailer with 4,605 retail stores, as of fiscal
yearend Jan. 28, 2006 (fiscal 2005), including 22 stores not
open for operations.  The Company's Payless ShoeSource retail
stores in the United States, Canada, the Caribbean, Central
America, South America and Japan sold 182 million pairs of
footwear, in fiscal 2005.  The Company operates its business in
two segments -- Payless Domestic and Payless International.  The
Payless Domestic segment includes retail operations in the
United States, Guam and Saipan.  The Payless International
segment includes retail operations in Canada; Puerto Rico; the
United States Virgin Islands; Japan; the South American Region,
which includes Ecuador, and the Central American Region, which
includes Costa Rica, Guatemala, El Salvador, the Dominican
Republic, Honduras, Nicaragua, Panama and Trinidad and Tobago.


SNOW BRAND: Moody's Lifts Long-Term Debt Rating to Baa3 from Ba2
----------------------------------------------------------------
Moody's Investors Service has upgraded Snow Brand Milk Products
Co., Ltd.'s long-term debt rating to Baa3 from Ba2.  The rating
outlook is stable.  The ratings no longer incorporate
subordination of the senior unsecured bonds to the company's
secured bank debt.

The rating action reflects Moody's view that the company's more
stable operating base, cash flow, and capital structure, in
addition to strengthening financial flexibility, have boosted
its debt-servicing capabilities for the medium term.  This
action concludes the review initiated on May 16, 2007.

Snow Brand improved profitability in the last 4 fiscal years
until March 2007.  Prospects for revenue and cash flow have
become more stable, underpinned by management's cost-cutting
policy, ability to pass on cost fluctuations through its
products and its strong operating base.  This outcome has been
achieved despite deep changes in the global food market and
steep rises in the cost of materials.

Snow Brand has also reduced its interest-bearing debt and
improved its capital structure.  In the current fiscal year, it
will complete a buy back of 80% of its Class C Preferred Stock
and raise funds through a public equity offering.

Furthermore, it is promoting sales of cheese and strengthening
productivity in Hokkaido, including investments in its new
Nakashibetsu cheese factory.  These activities will temporarily
raise debt, but Moody's considers the investment as a positive
rating factor because it will help strengthen competitiveness
and cash generation.  In Moody's opinion, the company's debt
level will be reduced over the medium term.

In addition, Snow Brand's raw milk throughput capacity for the
manufacture of cheese will grow to approximately 270,000 tons in
FY2008, and it will continue to command the highest level of
productivity in the Japanese market.

Although domestic cheese consumption is increasing, other dairy
companies aim to capture market share.  Moody's will therefore
monitor how the company maintains its strong position as well as
improves profitability and cash flow through investments in
production.

Furthermore, the rating had factored in the subordination of
senior debt towards collateralized bank loans.  However, the
ratings no longer incorporate subordination of the senior
unsecured bonds to the company's secured bank debt.  This is
because the portion of collateralized loans in total debts has
declined and, in Moody's opinion, it is highly likely to
continue so.

Snow Brand Milk Products Co., Ltd. Headquartered in Tokyo, is a
leading dairy company in Japan.

                        About Snow Brand

Headquartered in Sapporo, Hokkaido, Snow Brand Milk Products
Co., Ltd. -- http://www.snowbrand.co.jp/-- is principally  
engaged in the food industry.  The company has three business
segments. The Food Products segment is engaged in the production
and sale of dairy and processed food products.  The feedstuffs
and Seeds segment is involved in the manufacture and sale of
feedstuffs and crop seeds.  The others segment is engaged in the
provision of delivery services, the manufacture and sale of
manufacturing materials, as well as the operation of restaurants
and sales stores.


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

ILSUNG CONSTRUCTION: Signs Services Contract with Jeong Mu
----------------------------------------------------------
Ilsung Construction Co., Ltd., has signed a contract with Jeong
Mu Industry Co., Ltd., to provide construction services, Reuters
Key Developments reports.

According to the report, the contract is worth
KRW18,450,000,000.

                    About Ilsung Construction

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

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


KENERTEC CO: Sings MOA for Terminal Warehouses Construction
-----------------------------------------------------------
Kenertec Co., Ltd., signed a memorandum of agreement on July 25,
2007, with Posco Engineering & Construction, The Provincial
Government Of Kalimantan Timur, PT Kereta Api, and PT Nuansa
Cipta Coal Investment, for the construction of terminal
warehouses and railway line for coal conveyance, Reuters Key
Developments reports.

On June 28, the report recalls, Kenertec, Posco Engineering &
Construction and PT, Nuansa Cipta Coal Investment signed a
Memorandum of Understanding on the strategic alliance.

                   About Kenertec Co.

Headquartered in Gyeongsangbuk Province, Korea, Kenertec Co.,
Ltd. -- http://www.kenertec.co.kr/-- is provides industrial   
burners and energy-related equipment.  The company operates two
main divisions: Furnace division, which provides regenerative
combustion systems, including regenerative combustion industrial
furnace burners, regenerative combustion radiant tube burners,
regenerative combustion raddle burners, radiant combustion
devices, direct heat-treatment burners, flat flame burners,
turndish-heating burners, high-spray burners, low-nitrogen-oxide
radiant tube burners, oxygen burners, flare stack burners and
rotary kiln burners, and Energy division, which provides
cogeneration systems, community energy systems and energy
diagnosis equipment.

Korea Ratings gave the company's convertible bond a BB rating on
Jan. 30, 2007.


SHINWHA INTERTEK: Converts First Convertible Bonds to Shares
------------------------------------------------------------
Shinwha Intertek Corporation's first convertible bonds have been
converted to 35,925 shares, Reuters Key Developments reports.

According to the report, the conversion price of the bond is
KRW4,250 per share.

This brings the total outstanding shares of the Company to
13,178,464, the report notes.

Reuters points out that the confirmed listing date was July 26,
2007.

                     About Shinwha Intertek

Hwasung Kyonggi, South Korea-based Shinwha Intertek Corporation
-- http://www.shinwha.com/main01_E.html-- is engaged in the  
manufacture and sale of adhesive tapes for the electronic,
electronic equipment, architecture and other industry fields.

Korea Ratings gave the company's convertible bonds a BB rating
on Oct. 24, 2006. The company's commercial papers also carry
Korea Rating's B rating effective Feb. 2, 2007.


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

ASIAN PAC: Enters MR23-Mil. Share Sale Pact With Safe Valley
------------------------------------------------------------
Asian Pac Holdings Berhad entered into a share sale agreement
with Safe Valley Sdn Bhd to acquire the latter's entire issued
and paid-up capital and freehold land for MYR22.8 million cash,
The Edge reports.

According to the report, MYR1,901,394 will be spent on the
acquisition of the 100% equity interest in Safe Valley while
another MYR20,915,334 is the cash consideration for the
acquisition of four freehold land parcels with a combined area
of 35,281 square metres in Setapak.

Asian Pac will use internally-generated funds and/or bank
borrowings, the company reportedly informed Bursa Malaysia in a
regulatory filing.

According to the company, the land will be used for property
development.  Currently, however, details of the development
have yet to be finalized since it still needs regulatory
approvals.

                        About Asian Pac

Kuala Lumpur-based Asian Pac Holdings Berhad --
http://www.asianpac.com.my/-- is principally engaged in   
investment holding, property development and investment.  The
Company operates in three segments: investment holding, which
includes holding of quoted and unquoted shares for capital
investment purposes; property investment and development, which
includes investment in land and the development of residential
and commercial properties, and trading of building materials.  
Asian Pac Holdings Berhad's projects are mainly located within
Klang Valley in areas, such as Kepong and Desa Parkcity, and
Kota Kinabalu, Sabah.

The company's long-term debt carries Rating Agency Malaysia's
BB3 rating.  BB Ratings means inadequate safety for timely
payment of interest and principal, and future cannot be
considered as well assured.


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

NUPLEX INDUSTRIES: To Rollover Capital Notes
--------------------------------------------
Nuplex Industries Limited discloses with the New Zealand Stock
Exchange the rollover of its capital notes.

Nuplex Industries will send, on Aug. 6, 2007, to the holders of
its capital notes (NPX010) an election notice outlining the new
terms of the notes that will apply from Sept. 17, 2007.  The new
terms of the notes are:

   * New Election Date: Sept. 15 2012
   * New Interest Rate: 9.3% per annum
   * The Capital Notes will be known as 2012 Capital Notes.

Interest dates, however, will not change.

According to the company, the Election Notice enables
noteholders to make an election to:

   -- retain all or some of their capital notes on the new
      terms;

   -- convert all or some of their capital notes into fully paid
      Nuplex shares (subject to Nuplex having the right to
      redeem or purchase those capital notes);

   -- sell all or some of their capital notes to other
      noteholders pursuant to a resale facility to be
      established;

   -- purchase further capital notes from other noteholders
      pursuant to a resale facility.

The key dates for the election process are:

   * Aug. 1, 2007: Election Record Date.  Noteholders on the
     register on this date will be sent an Election Notice.

   * Aug. 6, 2007: Election Notices to be issued.

   * Aug. 29, 2007: Election Notices must be returned to
     Computershare.

   * Sept. 3, 2007: Noteholders who elect to convert will be
     advised if Nuplex elects to exercise its option to redeem
     or purchase those notes.

   * Sept. 17 2007: Election Date.

To facilitate the implementation of the process, a trading halt
will be placed on Nuplex capital notes starting today, July 27,
2007, to Sept. 17, 2007.

                    About Nuplex Industries

Nuplex Industries Limited -- http://www.nuplex.co.nz/-- was
founded in 1956 and is incorporated in New Zealand.  The company
is listed on both the New Zealand (NZX) and Australian (ASX)
Stock Exchange.

Nuplex produces and supplies technical materials used as inputs
to a broad range of manufacturing processes.  It also provides
specialist building products.  Nuplex has operations in
Australasia, Asia, Europe, and The Americas, and reports in four
business segments.

According to Reuters, Nuplex is New Zealand and Australia's
largest maker and distributor of resins and polymers for the
paint, paper, and textile industries.  It also bought a coating
resins business in Holland.

                         *     *     *

The Troubled Company Reporter - Asia Pacific reported on its
June 12, 2007 Distressed Bonds Column that Nuplex Industries
Ltd.'s bond with a 9.300% coupon and which matures on Sept. 15,
2007, as trading at 8.75%.


TRUSTPOWER LTD: First Quarter Net Profit Up 22% to NZ$32 Million
----------------------------------------------------------------
TrustPower Ltd's unaudited after tax surplus for the three
months to June 30, 2007, was NZ$32.0 million, compared with
NZ$26.2 million for the same period last year.  The company
pointed it out that the result for the period includes a
reduction in tax expense of NZ$7.4 million attributable to a
reduction to deferred tax liability arising from the change in
the corporate tax rate from 33 per cent to 30 per cent effective
from April 1, 2008.  The company believes the adjustment to tax
expense should be considered as one-off in nature.  Earnings
before Interest, Tax, Depreciation, Amortization, and
adjustments for financial instruments were NZ$51.3 million
versus NZ$53.4 million for the prior period, a decrease of 4.0
per cent.

The reporting of the first quarter's results to June 30, 2007,
represents the company's first reporting period in its
transition to New Zealand equivalents to International Financial
Reporting Standards.  As part of this process, TrustPower is
required to restate its opening balance sheet as at April 1,
2006, and provide comparative balances calculated under NZIFRS.

As part of the transition to NZIFRS, the company has reviewed
the lives of its generation assets.  It has determined that the
economic lives of a number of the company's civil structures
should be extended.  As a result, depreciation charges on these
assets will be lower than in prior years.

More financial detail in relation to the NZIFRS transition is
provided in TrustPower's quarterly financial report which has
been released to the New Zealand Stock Exchange.

The first quarter trading environment was characterized by weak
hydro inflows but also lower than average electricity spot
prices.  This was in contrast to the favorable trading
conditions experienced by the company during the first quarter
of the previous year when there were very good hydro inflows as
well as above average wholesale spot prices for a prolonged
period.

TrustPower's own generation assets produced 483 GWh for the
quarter versus 520 GWh in the prior period (a decrease of 7.0
per cent).  While wind production was higher than the first
quarter of the previous year, hydro generation was well down on
long term average.  TrustPower's hydro generation storage
catchments have improved significantly during July which
together with purchase contracts the company has in place,
leaves it well positioned to meet customer demand over the
remainder of the winter.

Customer numbers have remained steady at around 219,000.  Total
electricity sold to customers in the quarter totaled 1,147 GWh
compared with 1,196 GWh sold in the prior period.

The company says its balance sheet remains strong.  The ratio of
debt to debt plus equity was 31.5 per cent as at June 30, 2007
up slightly from 30 per cent at the same time the previous year.

The 93 MW expansion of the Tararua Wind Farm is close to
commissioning with all turbines now operational.  Final project
cost is expected to be around NZ$174 million (including
capitalised interest) which is well under budget.  Construction
on the 5 MW Waipori hydro enhancement has ceased over winter but
remains on schedule for completion in December 2007.

Provisional resource consent has been received for the 72 MW
Wairau hydro generation scheme, in Marlborough.  However, a
further process is required to determine the specific conditions
of the consent which are expected to be advised by the end of
2007.  Once conditions have been finalized, subject to appeal,
the company will be in a better position to assess project
economics and the next steps to be taken in the development
process.

A resource consent hearing for up to 46 MW of hydro generation
at Arnold, on the West Coast, has been delayed a couple of
months and is scheduled to commence in November 2007.
The resource consent hearing for the 200 MW Lake Mahinerangi
wind project was completed in May and a decision is expected to
be received shortly.

Civil construction on the 88 MW Snowtown wind project in South
Australia is progressing well and the project remains on
schedule for commissioning by November 2008.  The New Zealand
Government has indicated that its National Energy Strategy will
be released in around two to three months time and that the
introduction of an emissions trading scheme is likely to
feature.

The Australian Government has recently reported that it plans to
announce a long-term emissions reduction goal in 2008 after
further analysis is completed.  It has also announced the likely
introduction of an emissions trading scheme based on a "cap and
trade" model beginning 2011.

At this stage, it appears that both the New Zealand and
Australian Governments are heading towards pricing carbon into
their respective economies which should be positive for the
development of renewable generation, TrustPower says.  However,
until legislation is enacted, there will remain a high degree of
market uncertainty with respect to generation investment.

The result for the first quarter to June 30, 2007, was
satisfactory given the lower than average level of hydro
generation produced and lower spot electricity prices.  While at
this early stage of the financial year it is not possible to
predict year end results, the directors are confident that the
business fundamentals are sound, which augurs well for a
satisfactory annual result.

                        About TrustPower

TrustPower Limited -- http://www.trustpower.co-- owns and   
operates 34 power stations and produces electricity exclusively
from renewable sources.  The company's power stations produce
enough electricity for 260,000 Kiwi households.

With assets of close to NZ$1.4 Billion, TrustPower is majority
New Zealand owned and is listed on the New Zealand stock
exchange.  TrustPower's head office is in Tauranga, with
regional offices in Auckland, Wellington, and Christchurch.

                          *     *     *
TrustPower Limited -- http://www.trustpower.co-- owns and   
operates 34 power stations and produces electricity exclusively
from renewable sources.  The company's power stations produce
enough electricity for 260,000 Kiwi households.

With assets of close to NZ$1.4 Billion, TrustPower is majority
New Zealand owned and is listed on the New Zealand stock
exchange.  TrustPower's head office is in Tauranga, with
regional offices in Auckland, Wellington, and Christchurch.

                          *     *     *

The Troubled Company Reporter - Asia Pacific, on July 24, 2007,
listed TrustPower Ltd.'s bonds as distressed.  The bonds have
these coupon and maturity dates:

      Coupon        Maturity          Price
      ------        --------          -----
      8.300%        09/15/07           9.60
      8.300%        12/15/08           9.05
      8.500%        09/15/12           9.00
      8.500%        03/15/14           8.80


WINDFLOW TECHNOLOGY: To Hold Shareholders Meeting on Oct. 24
------------------------------------------------------------
Windflow Technology Ltd intends to hold its 2007 annual meeting
of shareholders at 7:00 p.m., on Oct. 24, 2007, at Mancan House,
Corner Cambridge Terrace & Manchester Street, in Christchurch.

In that regard, the company discloses that the period for
director nominations is now open.  Any nominations should be
forwarded to Windflow Technology Ltd, c/o HFK Limited, Unit
4/567 Wairakei Road, PO Box 5071, Christchurch, attention
Michael Keyse.

The closing date for receipt of nominations is 5:00 p.m.,
Sept. 21, 2007.

Christchurch, New Zealand-based Windflow Technology Limited --
http://www.windflow.co.nz/-- is engaged in wind power   
development.  As of June 30, 2006, the company held a 20%
shareholding in Windpower Otago Limited.  The principal activity
of Windpower Otago Limited is the development of wind farms.
During the fiscal year ended June 30, 2006 (fiscal 2006),
Windflow Technology Limited, held a 42.99% shareholding in NZ
Windfarms Limited. The principal activity of NZ Windfarms
Limited is the development of wind farms.  Its other
subsidiaries and associates include Pacific Windfarms Limited,
Wind Blades Limited and Windpower Maungatua Limited.

The group incurred net deficits of NZ$2,215,478 and NZ$2,027,330
for the years ended June 30, 2006, and 2005, respectively
(parent: NZ$2,081,278 and NZ$1,772,690, respectively.)


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

BANCO DE ORO: FPHC Executes US$100-Million Promissory Note
----------------------------------------------------------
The First Philippine Holdings Corp. executed a promissory note
for US$100 million with Banco De Oro-EPCI Inc. as part of its
effort to raise funds for acquisition of holdings in Manila
Electric Co.

According to a disclosure, FPHC is raising up to US$350 million
for the MERALCO transaction.

Banco de Oro-Equitable PCI Inc. is the result of a merger
between Banco de Oro Universal Bank and Equitable PCI, with BDO
as the surviving entity.

                         *     *     *

On June 1, 2007, Moody's Investors Service said it had withdrawn
its ratings for Equitable PCI Bank following its merger with
Banco de Oro Universal Bank.

In a statement, Moody's said the merged entity, Banco de Oro-
EPCI, will assume BDO's "Ba2" rating both for its senior
unsecured debt and subordinated debt, with a stable outlook.

                        *     *     *

The Troubled Company Reporter-Asia Pacific reported on June 11,
2007, that Standard & Poor's Ratings Services withdrew its 'BB-'
counterparty credit ratings on Equitable PCI Bank Inc., as its
merger with Banco De Oro Universal Bank became effective on
May 31.

S&P retained its 'BB-' counterparty credit rating and the issue
ratings on both Equitable and Banco de Oro's rated debts.
Equitable's rated debts will be transferred to the Banco de Oro-
EPCI.


MAYNILAD WATER: DMCI Seeks Maynilad's Early Exit from Rehab
-----------------------------------------------------------
DMCI Holdings Inc. is seeking to have Maynilad Water Services
Inc. exit financial rehabilitation this year instead of 2013 in
order to access funds for its working capital requirements, DMCI
Vice-President Herbert Consunji told the Philippine Star.

DMCI is also infusing an additional US$20 million into its Metro
Manila west zone concessionaire for the improvement of its water
and waste services within the zone, in addition to its earlier
US$60-million infusion in Maynilad, the article relates.

According to the article, Ashmore Fund will put in US$20 million
in fresh capital, and Singaporean firm Noonday Asset Management
Group is expected to dish out US$14 million to acquire a 7.2%
stake in Maynilad.  With this, DMCI's stake will be reduced by
0.8 percentage points to 41.2%, while its partner, Metro Pacific
Investment Corp., will hold a reduced stake of 31%.

The Star recounts that the DMCI-MPIC consortium acquired the
government's 84% holdings in Maynilad last year for
US$503.9 million.

The report notes that Mr. Consunji also said the consortium
seeks to lower its non-revenue water performance to 55% for
2007.


Maynilad Water -- http://www.mayniladwater.com.ph/-- was  
incorporated on January 22, 1997 as a joint venture between the
Parent Company and Suez-Lyonnaise Des Eaux, now known as Suez
Environnement, primarily to bid for the operation of the
privatized system of waterworks and sewerage services of the
Metropolitan Waterworks and Sewerage System for Metropolitan
Manila.

According to a report by the TCR-AP on November 19, 2003, the
company filed for corporate rehabilitation with the Quezon City
Regional Trial Court, saying it could not pay its debts
following an international arbitration panel's decision
regarding the early termination of Maynilad's water concession
agreement with Metropolitan Waterworks & Sewerage System.

On August 6, 2004, the Rehabilitation Court directed Maynilad
Water to submit a revised rehabilitation plan based on a full
draw of a US$120-million performance bond within a non-
extendable 30-day period or until September 6, 2004.  On
September 9, 2004, Maynilad Water, its shareholders, MWSS, and
the Department of Finance set out their intents in a Memorandum
of Understanding relating to the restructuring of:

   -- the financial obligation of Maynilad Water with various
      banks; and

   -- the unpaid Concession Fees of Maynilad Water under the
      Concession Agreement.

            Debt Capital and Restructuring Agreement

On April 29, 2005, Maynilad Water, its shareholders, bank
creditors, and MWSS executed a debt capital and restructuring
agreement to set out the terms and conditions of their
understanding and to govern their respective rights and
obligations in connection with the restructuring of the debt and
capital of Maynilad Water.  The DCRA provides, among others, the
capital restructuring and restructuring of debt and concession
fees of Maynilad Water, and will take effect upon the
satisfaction of precedent conditions set forth in the DCRA,
including Court approval.  The Rehabilitation Court approved the
DCRA on June 1, 2005, and the DCRA was effected on July 20,
2005.


SAN MIGUEL: Must Decide on Power Asset to Invest In, PSALM Says
---------------------------------------------------------------
San Miguel Corp. must decide whether it will invest in the
generation assets or transmission assets of National Power Corp.
since owning both assets violates the cross-ownership rule of
the Electric Power Industry Reform Act of 2001, the Philippine
Star reports, citing Power Sector Assets and Liabilities Corp.

SMC President Ramon Ang had earlier confirmed the company's plan
to bid for the 600-megawatt Masinloc and Calaca coal-fired power
plants.  Mr. Ang also said SMC is interested to bid for the
National Transmission Corp.'s 25-year concession contract for
the operation of the country's power transmission bid.

"If they win a genco, they will have to divest their genco
holding if they want to continue participation in TransCo or
vice versa," the PSALM official stressed.


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.  The company's ratings have been placed on
S&P's CreditWatch with a Negative outlook on May 17, 2007.


SECURITY BANK: Plans To Expand Operations in Mindanao Area
----------------------------------------------------------
Security Bank Corp. is planning to expand its operations in key
cities in Mindanao, including Davao, General Santos, Cagayan de
Oro and Zamboanga, the Philippine Daily Inquirer reports, citing
the bank's vice president for consumer lending, Ralp Cadiz.

According to the report, the bank saw bright opportunities in
the area for consumer lending, housing and automotive loans.

Mr. Cadiz told the Inquirer that a large part of the
PHP72-billion earning in auto loans nationwide comes from the
Mindanao region, and pointed to the growing overseas Filipino
worker population for contributing to the auto loan market.

Makati City-based Security Bank Corporation --
http://www.securitybank.com.ph/-- offers a wide variety of  
financial products and services.  The bank's services include
peso, dollar and third currency deposits, domestic and
international fund transfers, deposit pick-up and payroll
services, and ancillary services.  Security Bank also provides
working capital financing, term arrangements and loan
syndication services.

Fitch Ratings gave Security Bank a 'BB' Long-Term Foreign
Currency Issuer Default Rating, a 'BB' Long-Term Local Currency
Issuer Default Rating, a 'D' Individual Rating and a '4' Support
Rating.


* Continued Use of Coco Methyl Ester Could Result in Power Hike
---------------------------------------------------------------
Sources within the power industry have indicated a possible rise
in power rates in the next few months due to continued use of
the 1% coco methyl ester blend in power generation, the
Philippine Star reports.

According to the Star, the sources said that industrial end-
users of diesel oil, including power plants, noted an almost
PHP1 per liter increase in diesel prices because of the CME
blend.  The power producers will have no choice but to pass
these on to consumers through the generation rate adjustment
mechanism in the bills, they said.

Power producers are also having trouble blending CME with
diesel, the sources added.

Since its rollout last April, the CME blend, which is mandated
under the Biofuels Act, has caused major problems in both power
and transport sectors, the report says.  According to the
article, power plant owners have complained that the technology
needed for efficient blending of CME and diesel would be
expensive, and said that "these costs will have to be passed on
to the consumers."

                          *     *     *

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.


* Government Remains Confident of Keeping PHP63BB Deficit Target
---------------------------------------------------------------
The Philippine Government remains confident in meeting its
PHP63-billion budget deficit target for 2007 despite predictions
by Fitch Ratings that it will double to PHP125 billion, the
Philippine Star reports.

Fitch had earlier said that the Philippine Government has little
chances of meeting its target because of disappointing results
in its first half performance as the Government incurred a
PHP41-billion deficit in the January to June period due to weak
collections by the Bureau of Internal Revenue and the Bureau of
Customs.

The Government will continue to intensify revenue raising
efforts in the second half, the report notes, citing a
government official.  The Government will also seek to cover any
shortfall in tax collections from possible asset sales during
the second semester.  Furthermore, the Government expects to
raise PHP100 billion from sales of assets in PNOC Energy
Development Corp., Manila Electric Co. and San Miguel Corp.

                          *     *     *

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
=================

ISP SERVICES: Declares First and Final Dividend
-----------------------------------------------
ISP Services Pte Ltd, which is in liquidation, declared the
first and final dividend on July 24, 2007.

The company paid 18.038% to all received claims.

The company's liquidator is:

          Tam Chee Chong
          6 Shenton Way, #32-00
          DBS Building Tower Two
          Singapore 068809


LEAR CORP: Terminated Agreement Cues S&P to Lift Rating to B+
-------------------------------------------------------------
Standard & Poor's Ratings Services raised its corporate credit
rating on Lear Corp. to 'B+' from 'B' and removed the ratings
from CreditWatch with positive implications where they were
placed on July 17, 2007.  The upgrade follows the termination of
the agreement to purchase Lear by Carl Icahn-controlled American
Real Estate Partners, L.P., which would have added US$1.5
billion of debt to Lear's balance sheet.  The outlook is
negative.

The upgrade reflects S&P's 2view that absent the increase in
Lear's leverage, the company's credit profile will remain
consistent with the 'B+' rating.  S&P do not expect any near-
term shifts in the company's business or financial strategies
now that Lear will remain independent.  Although S&P do not
expect a second attempt to acquire Lear, S&P note that AREP
currently owns or controls about 20% of Lear, and Carl Icahn's
ability to purchase the remainder without triggering the change
of control language in most of the rated public debt remains in
effect.

The Southfield, Michigan-based auto supplier had total debt of
about US$3.5 billion at March 31, 2007, including the present
value of operating leases and underfunded employee benefit
liabilities.


STATS CHIPPAC: Second Qtr. Profit Decreases by US$10.6 Million
--------------------------------------------------------------
STATS ChipPAC Ltd. posted a lower net profit of US$7.4 million
in the second quarter ended July 1, 2007, compared with the
US$18 million net profit booked in the same quarter of 2006.

Revenue for the second quarter of 2007 decreased 11.5% to
US$370.2 million, from the US$418.1 million in the second
quarter of 2006.  This represents a sequential decline of 5.2%
compared to the first quarter of 2007.

Tham Kah Locke, acting Chief Financial Officer of STATS ChipPAC
said, "We continue to focus our capital spending on strategic
customer programs and to emphasize the generation of cash flow
from our operations.  In the second quarter of 2007, we spent
approximately US$55.4 million in capital expenditures, which was
15.0% of revenue compared to 26.9% of revenue in the second
quarter of 2006.  Gross margin in this quarter was 18.1%
compared to 19.9% in prior quarter.  The margin declined due to
lower revenue."

                           Outlook

Tan Lay Koon, commented, "For the third quarter, we expect
revenue to be approximately in the range of US$389.0 million to
US$408.0 million or in the range of 5% to 10% higher than the
second quarter of 2007, with US GAAP net income in the range of
US$18.0 million to US$24.0 million, which represents US GAAP net
income per diluted ADS of US$0.08 to US$0.11, including the
impact of approximately US$0.01 per diluted ADS for the
expensing of share-based compensation."

As of July 1, 2007, the company's balance sheet showed US$600
million of total current assets and US$371.85 million of total
current liabilities.  Moreover, the company's balance sheet
reflects US$2.46 billion of total assets and US$1.15 billion of
total liabilities resulting in a shareholders' equity of US$1.3
billion.

                       About STATS ChipPAC

STATS ChipPAC Ltd is a back-end semiconductor assembly and test
company.  It provides full-turnkey solutions to semiconductor
businesses, including foundries, integrated device manufacturers  
and fabless companies in the U.S., Europe and Asia.  It ranked
fourth in the global outsourcing semiconductor assembly and test
industry as of end-2006.  In fiscal year 2006, packaging revenue
accounted for 74% of sales, and test and other revenues the
balance.  The communications segment accounted for 57% of sales.
The company's offices outside the United States are located in
Singapore, South Korea, China, Malaysia, Taiwan, Japan, the
Netherlands and United Kingdom.

As reported by the Troubled Company Reporter - Asia Pacific on
June 19, 2007, Moody's Investors Service upgraded STATS
ChipPAC's corporate family rating and foreign currency debt
ratings to Ba1 from Ba2.  This concludes the review for possible
upgrade which began on March 1, 2007.  The outlook for all the
ratings is stable.


STATS CHIPPAC: Enters Definitive Agreement with LSI Corp.
---------------------------------------------------------
STATS ChipPAC Ltd. has entered into a definitive agreement with
LSI Corporation on July 27, 2007.  Under the terms of the
agreement, STATS ChipPAC will acquire LSI's assembly and test
operation in Pathumthani, Thailand for an aggregate purchase
price of approximately US$100 million.

LSI's assembly and test operation in Thailand consists of a
facility with approximately 440,000 square feet of floor space,
manufacturing equipment and certain other assets.  STATS ChipPAC
will offer employment contracts to LSI employees in the Thailand
facility.  LSI will further enter into a long-term supply
agreement with STATS ChipPAC for their assembly and test
services needs.

"The acquisition of LSI's Thailand facility and its world class
workforce secures long term business commitment from LSI to
STATS ChipPAC and reinforces our position in the data storage
and communications market.  It also adds scale and improves the
economies of scale of our leadframe business.  Over the years,
we have built a strong relationship with LSI and we are pleased
to expand the level of services and support we can offer them,"
said Tan Lay Koon, President and Chief Executive Officer of
STATS ChipPAC.

"LSI's strategic agreement with STATS ChipPAC provides a
tremendous amount of value to both companies.  It reinforces our
transition to a fabless manufacturing business model and allows
us to focus our resources on designing and marketing
semiconductor solutions.  It also provides us with assured
capacity and access to the same high quality assembly and test
services that LSI requires going forward," said Andy Micallef,
Executive Vice President of Operations, LSI.

The transaction is expected to close within 90 days, subject to
the satisfaction of customary closing conditions and regulatory
approvals.


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

DAIMLERCHRYSLER: Chrysler Aims to Cut Costs as Labor Talks Begin
----------------------------------------------------------------
Chrysler Group and the United Auto Workers union have officially
begun contract negotiations through which the DaimlerChrysler AG
unit is hoping to get new concessions on pay and conditions to
narrow the efficiency gap with Japanese carmakers, the BBC
reports.

"It's been four years since our last round of negotiations with
the UAW, and since then, a lot has changed for our industry, and
for Chrysler," Chrysler Group President and CEO Tom LaSorda said
in a statement.  "Today, the domestic auto industry faces
unprecedented challenges, and we can no longer afford to conduct
'business as usual.'  Our circumstances demand that we re-think
our approach to our business and achieve true change."

The union and Chrysler have already been in negotiations over
retiree health care costs, initially aimed at giving the
automaker a cost-saving deal similar to the ones granted to Ford
and GM because of their own deteriorating finances, Reuters
relates.

Chrysler's hourly labor costs are an industry-leading US$75.86,
higher than GM at US$73.26 or Ford at US$70.51, according to
data compiled by the automaker.  Chrysler also pays its 26,000
UAW-represented workers over US$30 per hour more than Japan's
own Big Three -- Toyota Motor Corp., Honda Motor Co. and Nissan
Motor Co. -- pay their American workers, Reuters reveals.

The difference is made even more significant by higher pensions
and retiree health care costs.  These issues are expected to be
at the center of negotiations meant to cement a new contract
that shall replace the current four-year deal expiring at
midnight on September 14, 2007, Reuters states.  Many analysts
expect the UAW to consider establishing a union-aligned trust
fund for retiree health care, if it can reach an agreement with
the automakers on how fully to fund it.

"Finding answers to close the competitive gaps are crucial to
the U.S. auto industry," Cerberus Chairman John Snow told
reporters last week.  "If it's going to survive and prosper, we
need to close the gap.  That's for sure."

                      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.


THAI PROPERTY: Spends THB137.9 Mil. for Costs & Working Capital
---------------------------------------------------------------
Thai Property PCL spent THB137.88 million to pay for loans and
interest expenses, as well as construction costs and working
capital.

According to a disclosure with the Stock Exchange of Thailand,
the company specifically spent THB124.56 million for loans and
interest expenses, and THB13.32 million for construction costs
and working capital.

The amount represents the amount raised from the two offers of
new ordinary shares to existing shareholders during April 17
until April 20, and during May 21 until May 25, as part of the
company's capital raising procedures.

Thai Property Public Company Limited was formerly known as
Rattana Real Estate Public Company Limited.  The company
develops real estate for sale and rental including residential,
commercial, and office buildings.

                      Going Concern Doubt

After reviewing the company's financial statements for the first
quarter of 2007, Narong Puntawong at Ernst & Young Office Ltd.
raised doubt on the company's ability to continue as a going
concern.  Mr. Narong pointed out the uncertainty in the ability
of the company's new investor, Great China Millennium (Thailand)
Co. Ltd., to repay to the Company the overdue remuneration of
THB291 million under the reciprocal agreement.  Mr. Narong also
drew attention to the new investor's late progress with
construction, which may affect the real estate development
project for sales of the Company.


THAI WAH: Vipa Chimchan & Chaiwat Phengpinit Resign as Directors
----------------------------------------------------------------
Vipa Chimchan and Chaiwat Phengpinit have both resigned as
directors and members of the audit committee of Thai Wah PCL, a
disclosure with the Stock Exchange of Thailand says.

The company received their resignation letters on July 19.

Thai Wah Public Company Ltd's principal activity is the
manufacturing and marketing of various food products using mung
beans.  Products includes mung bean vermicelli, bean sheet
(Shanghai noodle) and salim starch.  Brands and trademarks of
the group include Double Dragon, Phoenix, Double Kilin and
Double Eagle brands for vermicelli; Double Dragon brand for
salim starch and bean sheet; and New Grade brand for tapioca
starch, tapioca pearls and rice flours.  It operates a factory
in Thailand located in Banglane District, Nakorn Pathom
Province.

Thai Wah is currently implementing a Reorganization Plan, whose
amendments were approved by the Central Bankruptcy Court in
November 2005.


TOTAL ACCESS: Awaits Proposals for Possible Thai Mobile Alliance
----------------------------------------------------------------
Total Access Communications Co. Ltd. (DTAC) is open to a
partnership with state-owned cellular operator Thai Mobile for
providing third-generation mobile services pending a viable
business venture, DTAC Chief Executive Officer Sigve Brekke told
the Bangkok Post.

According to the report, Mr. Brekke said the company is awaiting
proposals from TOT PLC, which owns 58% of Thai Mobile, for
possible ventures.

Thai Mobile is a joint venture between TOT and CAT Telecom,
which owns the remaining 42% of the venture, Bangkok Post
explains.  It is the only operator in Thailand using the 1900
Megahertz spectrum, the global frequency for 3G technology.

DTAC created its own alternative low-risk, high-return approach
for investing in the 3G business, Mr. Brekke said, because the
National Telecommunications Commission's 3G licensing framework
failed to offer clear specifications, especially about licensing
and universal service obligation fees as well as the number of
cell sites allowed.

However, the best investment would depend on the NTC's licensing
framework and specifications, Mr. Brekke added.

As an alternative, Mr. Brekke told the Bangkok Post of DTAC's
offer to let Thai Mobile customers use its roaming network in
exchange for 4 million to 5 million new numbers, for which it
will pay THB2 each for every month.  The decision came after the
NTC's complex procedures for allocating new numbers came out.  
TOT, however, would still need permission from the NTC for the
number allocation to be approved.


Total Access Communications, DTAC -- http://www.dtac.co.th/--  
is the second-largest cellular operator in Thailand with an
approximately 30% market share and strong brand recognition.  
With Telenor's recent purchase of a 39.9% interest in United
Communication Industry Plc and its subsequent tender offers for
UCOM and DTAC shares, Telenor lifted its aggregate economic
interest in DTAC to 70.2% from 40.3%. DTAC is Telenor's largest
acquisition in Asia and it ranks second in terms of EBITDA
contribution outside Norway.

                          *     *     *

The Troubled Company Reporter-Asia Pacific reported on Apr. 3,
2006, that Moody's Investors Service has upgraded its corporate
family and senior unsecured rating for Total Access
Communications Public Co Ltd to Ba1 from Ba2 with a positive
outlook.  This concluded the review for possible upgrade
commenced on October 21, 2005.

Standard and Poor's gave the company a BB+ Long-term local and
foreign issuer credit ratings.

Fitch Ratings on July 18, 2006, has affirmed DTAC's Long-term
foreign currency Issuer Default Rating at BB+ and National Long-
term rating at A(tha).  The company's National Short-term rating
was also affirmed at F1(tha).  The Outlook on the ratings is
Stable.


TRUE CORP: Resumes Trading After Capital Increase Procedures
------------------------------------------------------------
True Corp. PCL's securities resumed trading on July 25 after the
Stock Exchange of Thailand granted it permission to trade
following completion of capital increase procedures.

Following the exercise of 693,075 ESOP warrants to the
corresponding number of common shares on July 12, the company
now has THB45.024 billion issued and paid-up capital comprising
of 3,803,095,997 common shares and 699,363,846 preferred shares.


True Corporation Public Company Ltd's --
http://www.truecorp.co.th/-- principal activities are the  
provision of telecommunication services and various value-added-
services that includes: Digital Data Network Direct Inward
Dialing, Integrated Service Digital Network, Public Telephone,
Personal Communication Telephone Service, Multimedia and
Internet Service Provider.  Other activities include training
services, online games, rental services and investment holding.

The company carries Standard & Poor's Ratings Services B+
corporate credit rating.  The outlook is negative.

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


* Large Companies With Insolvent Balance Sheets
-----------------------------------------------

                                                      Total
                                           Total   Shareholders
                                          Assets      Equity
Company                        Ticker      ($MM)      ($MM)
-------                        ------     ------   ------------

AUSTRALIA

Austar United Communications
   Limited                        AUN     411.16      -43.72
Global Wine Ventures Limited      GWV      22.04       -0.84
Hutchison Telecommunications
   (Aust) Ltd.                    HTA    1637.04    -1443.69
Intellect Holdings Limited        IHG      15.01       -0.83
KH Foods Ltd                      KHF      62.30       -1.71
Lafayette Mining Limited          LAF      78.17     -127.82
Life Therapeutics Limited         LFE      59.00       -0.38
Orbital Corp. Ltd.                OEC      14.01       -4.86
RMG Ltd.                          RMG      22.33       -2.16
Tooth & Co. Ltd.                  TTH      99.25      -74.39


CHINA AND HONG KONG

Artel Solutions Group
  Holdings Limited                931      29.19      -18.65
Asia Telemedia Limited            376      16.97       -7.53
Beiya Industrial (Group)
  Co., Ltd                     600705     462.13      -20.57
Chang Ling Group                  561      85.06      -80.88
Chengdu Book Digital Co. Ltd.  600083      21.50       -3.07
Chia Tai Enterprises
   International Ltd.            0121     316.12       -8.92
China Kejian Co. Ltd.              35      54.71     -179.23
China Liaoning International
   Cooperation (Group) Ltd        638      20.12      -42.96
Chongqing Int'l Enterprise
   Investment Co               000736      16.97      -84.36
Datasys Technology
  Holdings Ltd                   8057     14.10        -2.07
Dynamic Global Holdings Ltd.      231      39.43       -2.21
Everpride Biopharmaceutical
   Company Limited               8019      10.16       -2.16
Fujian Changyuan Investment
   Holdings Limited               592      31.36      -54.04
Fujian Sannong Group Co. Ltd      732      44.23      -92.62
Guangdong Hualong Groups
   Co., Ltd                    600242      15.23      -46.94
Guangxia (Yinchuan) Industry
   Co. Ltd.                       557      48.71      -59.63
Hainan Dadonghai Tourism
   Centre Co., Ltd                613      19.74       -5.81
Hainan Overseas Chinese
   Investment Co., Ltd         600759      28.97       -9.90
Hans Energy Company Limited       554      85.00       -0.49
Heilongjiang Black Dragon
   Co., Ltd                    600187     113.45      -74.67
Heilongjiang SunField
   Science & Tech Co           000620      29.96      -49.18
Hisense Kelon Electrical
   Hldngs. Co., Ltd               921     596.71      -94.69
Hualing Holdings Limited          382     262.90      -32.17
Huda Technology & Education
   Development Co. Ltd.        600892      17.12       -0.39
Hunan Hengyang                 600762      61.08      -43.98
Innovo Leisure Recreation
   Holdings Ltd.                  703      13.37       -3.89
Junefield Department
   Store Group Limited            758      16.80       -6.34
Loulan Holdings Limited          8039      13.01       -1.04
New World Mobile Holdings Ltd     862     295.66      -12.53
New City China                    456     242.25      -21.46
Orient Power Holdings Ltd.        615     176.86      -64.20
Plus Holdings Ltd.               1013      18.52       -3.34
Qinghai Xiancheng Industry
   Stock Co.,Ltd               600381      55.85      -55.04
Regal Real Estate
   Investment Trust              1881     945.38     -234.38
Shanghai Worldbest
   Pharmaceutical Co.Ltd       600656      66.75      -13.42
Shenyang Hejin Holding
   Company Ltd.                   633     103.86       -3.16
Shenzhen China Bicycle Co.,
   Hlds.  Ltd.                     17      39.13     -224.64
Shenzhen Dawncom Business
   Tech. and Service Co., Ltd.    863      79.84      -37.30
Shenzhen Kondarl (Group)
   Co., Ltd.                   000048     112.05      -15.98
Shenzhen Shenxin Taifeng
   Group Co., Ltd.                 34      69.92      -44.65
Shijiazhuang Refining-Chemical
   Co., Ltd                       783     357.75      -84.57
Sichuan Langsha Holding Ltd.   600137      13.82      -62.11
Songliao Automobile Co. Ltd.   600715      46.99      -19.19
Stellar Megaunion Corporation  000892      54.33     -152.43
Success Information Industry
   Group Co.                      517      99.92      -14.29
Suntek Technology Co., Ltd     600728      48.81      -16.09
Suntime International
   Economic Trading            600084     359.49      -47.93
Taiyuan Tianlong Group Co.
   Ltd                         600234      19.47      -89.51
The First Investment &
   Merchant Co,, Ltd           600515      90.66        5.98
Tianjin Marine Shipping
   Co. Ltd                     600751     111.03       -3.59
Tianyi Science & Technology
   Co., Ltd                    600703      45.82      -41.20
Tibet Summit Industry
   Co., Ltd                    600338      90.92       -4.05
Winowner Group Co. Ltd.        600681      23.34      -72.39
Xiamen Eagle Group Co., Ltd    600711      18.82       -2.74
Yueyang Hengli Air-Cooling
   Equipment Inc.                 622      49.89      -17.71
Zarva Technology Co. Ltd.         688     101.76     -102.01
Zhejiang Haina Science & Tech
   Co., Ltd.                      925      28.53      -36.27


INDIA

Andhra Cement Ltd.               ANDC      58.94      -13.48
Andrew Yule & Co. Ltd             ANY      86.39      -12.47
Ashima Ltd.                     NASHM     101.78      -35.04
ATV Projects India Ltd.           ATV      68.25      -30.17
Bagalkot Udyog Ltd.               BUL      20.55       -0.63
Baroda Rayon Corp. Ltd.            BR      41.16      -26.62
CFL Capital Financial
  Services Ltd                  CEATF      25.42      -47.32
Core Healthcare Ltd.             CPAR     214.36     -199.02
Deccan Aviation Pte. Ltd.        DECA      86.94       -2.83
Fairfield Atlas Ltd.              ATG      23.38       -1.76
GKW Ltd.                          GKW      35.75      -13.52
Global Broadcast News Ltd         GBN      18.13       -1.27
Gujarat Sidhee Cement Ltd.       GSCL      51.12      -13.01
Himachal Futuris                 HMFC     574.62      -38.68
HMT Limited                       HMT     238.05     -288.85
Hindustan Organic
   Chemicals Limited              HOC     109.22      -15.18
IFCI Limited                     IFCI    2566.01     -727.71
JCT Electronics Ltd.             JCTE     118.28     -165.74
JK Synthetics Ltd                 JKS      24.04       -1.42
Kothari Sugars and
   Chemicals Ltd.               NKTSG      43.24      -29.24
LML Ltd.                          LML      81.21      -11.89
Mafatlal Ind.                     MFI      95.67      -85.81
Malanpur Steel Ltd.               HDC      82.08      -52.01
Modern Threads                    MRT      78.18      -20.71
Mysore Kirloskar Ltd.              MK      23.71       -3.04
Panchmahal Steel Ltd.             PMS      51.02       -0.33
Shree Digvijay Cement Co. Ltd.   DIGV      29.62      -32.38
Shree Rama Multi Tech Ltd.      NSRMT      86.31       -3.90
Shyam Telecom                    NSHY     147.34      -22.80
SIV Ind. Ltd.                    NSIV     101.16      -66.27
SpiceJet Ltd.                    SJET     121.34       -2.75
Shyam Telecom Limited             SHY     147.34      -22.80
Tata Teleservices (Maharashtra)
  Limited                       NTTLS     653.56       -9.99


INDONESIA

Ades Waters Indonesia Tbk        ADES      21.35       -8.93
Dharmala Intiland Tbk            DILD     197.91       -6.62
Eratex Djaja Ltd. Tbk            ERTX      30.30       -1.21
Hotel Sahid Jaya                 SHID      71.05       -4.26
Jakarta Kyoei Steel Works Tbk    JKSW      44.72      -38.57
Mulialand Tbk                    MLND     141.33      -45.99
Panca Wiratama Sakti Tbk         PWSI      39.72      -18.82
Sekar Bumi Tbk                   SKBM      23.07      -41.95
Steady Safe                      SAFE      19.65       -2.43
Suba Indah Tbk                   SUBA      85.17       -9.18
Surya Dumai Industri Tbk         SUDI     105.06      -30.49
Toba Pulp Lestrari Tbk           INRU     403.58     -198.86
Unitex Tbk                       UNTX      29.08       -5.87
Wicaksana Overseas
   International Tbk             WICO      43.09      -46.36


JAPAN

Mamiya-OP Co., Ltd.              7991     152.37      -67.11
Montecarlo Co. Ltd.              7569      66.29       -3.05
Nihon Seimitsu Sokki Co., Ltd.   7771      23.82       -1.10
Orient Corporation               8585   37956.19    -1109.02
Sumiya Co., Ltd.                 9939      89.32      -11.57
Tasco System Co., Ltd            2709      48.45      -14.07


KOREA

BHK Inc                          3990      24.36      -17.38
C&C Enterprise Co. Ltd.         38420      28.05      -14.50
DaeyuVesper Co. Ltd.            41140      19.06       -1.60
DongYang GangChul Co., Ltd.    001780     108.79       -9.80
EG Semicon Co. Ltd.             38720     166.70      -12.34
Everex Inc                      47600      23.15       -5.10
Seji Co., Ltd                   53330      37.25       -0.31
SY I&C Co., Ltd                 53470      19.89       -5.49


MALAYSIA

Ark Resources Bhd                 ARK      25.91      -28.35
Boustead Heavy Industries
   Corp. Bhd                     BHIC      62.80     -116.18
Gefung Holdings Bhd              GFHB      21.68       -1.74
Lityan Holdings Berhad            LIT      22.22      -19.11
Mentiga Corporation Berhad       MENT      22.13      -18.25
Mycom Bhd                         MYC     222.58     -136.17
Olympia Industries Bhd           OLYM     272.49     -281.44
Pan Malay Industries             PMRI     199.08       -6.30
PanGlobal Berhad                  PGL     189.92      -50.36
Sateras Resources Bhd.       SRM/4278      44.73      -38.82
Setegap Berhad                    STG      19.92      -26.88
Sino Hua-An International Bhd   HUAAN     184.60      -98.30
Sycal Ventures Berhad             SYC      58.47      -69.79
Wembley Industries
  Holdings Bhd                    WMY     111.72     -204.61


PHILIPPINES

APC Group Inc.                    APC      67.04     -163.14
Atlas Consolidated Mining and
   Development Corp.               AT      33.59      -57.17
Cyber Bay Corporation            CYBR      11.54      -58.06
East Asia Power Resources Corp.   PWR      92.55      -64.61
Filsyn Corporation                FYN      19.20       -8.83
Gotesco Land, Inc.                 GO      17.34       -9.59
Prime Orion Philippines Inc.     POPI      98.36      -74.34
Swift Foods Inc.                  SFI      26.95       -8.23
Unioil Resources & Holdings
   Company Inc.                   UNI      10.64       -9.86
Universal Rightfield Property      UP      45.12      -13.48
Uniwide Holdings Inc.              UW      61.45      -30.31
Victorias Milling Company Inc.    VMC     127.83      -32.21


SINGAPORE

Compact Metal Industries Ltd.     CMI      47.42      -36.47
Falmac Limited                    FAL      10.51       -2.30
Gul Technologies                  GUL     155.76      -15.21
HLG Enterprise                   HLGE     116.77       -8.71
Informatics Holdings Ltd         INFO      22.30       -9.14
L & M Group Investments Ltd       LNM      56.91      -10.59
Lindeteves-Jacoberg Limited        LJ     185.49      -46.43
Pacific Century Regional          PAC    1569.35      -88.20
Semitech Electronics Ltd.         SEMI     11.01       -0.23


THAILAND

Bangkok Rubber PCL                BRC      70.19      -56.98
Central Paper Industry PCL      CPICO      40.41      -37.02
Circuit Electronic
   Industries PCL              CIRKIT      20.37      -64.80
Daidomon Group PLC              DAIDO      12.92       -8.51
Datamat Public Co., Ltd           DTM      17.55       -1.72
Kuang Pei San Food Products
   Public Co.                  POMPUI      12.51       -9.87
Sahamitr Pressure Container
   Public Co. Ltd.               SMPC      20.77      -28.13
Sri Thai Food & Beverage Public
   Company Ltd                    SRI      18.29      -43.37
Tanayong PCL                    TYONG     178.27     -734.30
Thai-Denmark PCL                DMARK      21.37      -18.88
Thai-Wah PCL                      TWC      91.56      -41.24




                            *********


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.
   
This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.
   
TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.
   
                 *** End of Transmission ***